Financial Performance - Total revenue for Q1 2019 reached ¥415,125,890.21, representing a 94.12% increase compared to ¥213,852,844.67 in the same period last year[8] - Net profit attributable to shareholders was ¥38,446,421.61, a significant increase of 476.25% from ¥6,671,807.81 year-on-year[8] - The net cash flow from operating activities surged to ¥140,865,675.38, marking a 2,031.46% increase from ¥6,608,885.24 in the previous year[8] - Basic and diluted earnings per share both increased to ¥0.3172, up 470.50% from ¥0.0556 in the same period last year[8] - The weighted average return on equity rose to 8.23%, compared to 1.80% in the previous year[8] - The company achieved operating revenue of CNY 415,125,890.21, a 94.12% increase compared to the same period last year[22] - Net profit reached CNY 38,446,421.61, reflecting a significant growth of 476.25% year-on-year[21] - Total operating revenue for the current period reached CNY 415,125,890.21, a significant increase of 94% compared to CNY 213,852,844.67 in the previous period[69] - Net profit for the current period was CNY 38,446,421.61, compared to CNY 6,671,807.81 in the previous period, representing a 476% increase[72] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,043,076,969.18, reflecting a 4.00% increase from ¥1,002,910,938.53 at the end of the previous year[8] - Total assets reached CNY 1,043.08 million, compared to CNY 1,002.91 million, marking an increase of about 4.02%[52] - Total liabilities were CNY 551.66 million, slightly down from CNY 554.55 million, indicating a decrease of about 0.52%[55] - The total assets of the company reached CNY 1,018,940,030.82, up from CNY 969,794,391.21, indicating a growth of approximately 5%[68] - Total liabilities increased to CNY 600,566,706.80 from CNY 590,424,037.01, showing a rise of about 2%[68] Shareholder Information - The company had a total of 9,695 common shareholders at the end of the reporting period[11] - The largest shareholder, Zhang Tianyu, held 49.57% of the shares, with a total of 60,075,000 shares[11] - Net assets attributable to shareholders increased to ¥491,419,685.18, a 9.60% rise from ¥448,360,731.41 at the end of the previous year[8] Cash Flow - Cash and cash equivalents increased to CNY 289.82 million from CNY 264.54 million, reflecting a growth of approximately 9.54%[49] - The net cash flow from operating activities was ¥140,865,675.38, a substantial increase from ¥6,608,885.24 in the prior period, reflecting improved operational efficiency[87] - The net cash flow from investing activities was negative at -¥41,401,055.72, compared to a positive cash flow of ¥97,623,811.20 in the previous period, indicating increased investment outflows[90] - The net cash flow from financing activities was -¥76,125,668.62, a decrease from a positive cash flow of ¥13,053,941.06 in the prior period, reflecting repayment of debts[90] Research and Development - Research and development expenses increased by 65.49% to CNY 37,777,395.96, reflecting the company's commitment to enhancing R&D investment[21] - Research and development expenses for the current period were CNY 37,777,395.96, compared to CNY 22,827,858.51, marking a 65% increase[69] Market and Competition - The company plans to expand into overseas markets and increase new revenue sources to mitigate intensified market competition risks[26] - The company has faced risks related to external processing and supply chain disruptions, which could impact production plans[29] - The company is exposed to foreign exchange risks due to the rapid growth of overseas business and multi-currency settlements[29] Financial Adjustments - The company has made adjustments in financial reporting due to the implementation of new financial instruments and revenue recognition standards, impacting asset valuations[97] - The company aims to maintain a strong cash position while exploring strategic investments and potential acquisitions to enhance growth prospects[103]

Financial Performance - The company reported a total revenue of 1.2 billion RMB for the fiscal year 2018, representing a year-over-year growth of 15%[25]. - The company's operating revenue for 2018 was ¥1,249,101,088.60, representing a 121.75% increase from ¥563,304,478.24 in 2017[36]. - Net profit attributable to shareholders for 2018 was ¥86,796,907.26, up 97.91% from ¥43,857,380.81 in 2017[36]. - The net profit after deducting non-recurring gains and losses was ¥74,775,052.47, an increase of 85.96% compared to ¥40,209,217.09 in 2017[36]. - The company's total assets at the end of 2018 reached ¥1,002,910,938.53, a 63.28% increase from ¥614,245,574.50 at the end of 2017[36]. - The weighted average return on equity for 2018 was 21.38%, up from 14.56% in 2017[36]. - The basic earnings per share for 2018 was ¥0.720, an increase of 89.47% from ¥0.380 in 2017[36]. - The company reported a total of ¥12,021,854.79 in non-recurring gains for 2018, compared to ¥3,648,163.72 in 2017[43]. - The company achieved operating revenue of ¥1,249,101,088.6, representing a year-on-year growth of 121.75%[50]. - Net profit attributable to the parent company was ¥86,796,907.26, an increase of 97.91% compared to the previous year[53]. Market Expansion and Strategy - The company aims to expand its overseas market and increase new profit sources in response to intensified market competition[6]. - The company plans to expand its market presence in Europe and North America, targeting a 30% increase in international sales by 2020[25]. - The company is actively developing customized solutions to meet diverse customer needs in the IoT sector[58]. - The company is considering strategic acquisitions to enhance its market position, with a target of acquiring companies that can add at least 100 million RMB in annual revenue[160]. - Market expansion plans include entering two new international markets, which are projected to generate an additional 300 million RMB in revenue over the next two years[159]. Research and Development - The company is committed to increasing R&D investment to enhance product competitiveness and achieve rapid technological upgrades[6]. - Research and development expenses increased by 20% to 150 million RMB, reflecting the company's commitment to innovation in IoT and M2M technologies[25]. - The company invested ¥110,762,187.3 in R&D, accounting for 8.87% of its total revenue[64]. - The number of R&D personnel increased to 328 in 2018, representing 57.85% of the total workforce, up from 50.77% in 2017[89]. - The company established a complete R&D system and management software to enhance R&D quality and performance evaluation[55]. Product Development - A new product line focused on smart grid technology is set to launch in Q3 2019, anticipated to contribute an additional 200 million RMB in revenue[25]. - The company is developing a 5G wireless communication module with a maximum downlink speed of 6Gbps and uplink speed of 3Gbps, targeting various applications including smart homes and automotive[87]. - The company launched a project for ultra-high-speed LTE communication modules, supporting speeds of up to 1Gbps, with future plans for 2Gbps[86]. - The company plans to further develop integrated modules based on Linux, Android, and Windows operating systems for future IoT applications[64]. Financial Management and Investments - The company has implemented a comprehensive accounts receivable management system to mitigate risks associated with large receivables[13]. - The company acknowledges the risk of foreign exchange fluctuations due to its expanding overseas business and multi-currency settlements[12]. - The company’s total cash inflow from operating activities reached CNY 1,196,495,995.01, a 138.53% increase year-over-year[93]. - The company’s total assets included CNY 264,536,050.81 in cash, which accounted for 26.38% of total assets, up from 13.48% in 2017[99]. - The company’s short-term loans increased to CNY 176,679,200.00, representing 17.62% of total assets, up from 8.72% in 2017[99]. Shareholder Returns - The company plans to distribute a cash dividend of 2.50 yuan per 10 shares (including tax) to all shareholders, based on a total of 121,188,600 shares[13]. - The cash dividend for the reporting period is set at 2.50 yuan per 10 shares, with a total cash dividend amounting to 30,297,150.00 yuan, representing 100% of the total profit distribution[133]. - In 2018, the total cash dividend amounted to 30,297,150 CNY, representing 34.91% of the net profit attributable to the company's ordinary shareholders[136]. - The company distributed a cash dividend of 2.5 CNY per 10 shares (including tax) for the year 2018, with no bonus shares issued[136]. Risk Management - The company is facing risks from the promotion and mass production of integrated chips that may replace its main wireless communication module products[8]. - The company has reported that the semiconductor chip manufacturing process is rapidly advancing, which could impact its existing product sales[8]. - The company has made significant investments in R&D and marketing, which has impacted profit growth relative to revenue growth[53]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[195]. Subsidiaries and Partnerships - The company established seven wholly-owned subsidiaries during the reporting period, indicating a strategic expansion[77]. - The company established seven new subsidiaries in 2018 to enhance R&D and market expansion efforts[64]. - The company is collaborating with major global PC suppliers to develop high-speed LTE communication modules, enhancing its product offerings[82]. - The company has formed strategic partnerships in the IoT sector, focusing on smart communication modules to capture market opportunities[83].

[Part I Important Notice](index=2&type=section&id=Part%20I%20Important%20Notice) The company's board, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of this quarterly report [Important Notice](index=2&type=section&id=Important%20Notice) The company's board, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of this quarterly report, with key personnel affirming the financial statements - The company's Board of Directors, Supervisory Board, and directors, supervisors, and senior management guarantee the truthfulness, accuracy, and completeness of the quarterly report content, with no false records, misleading statements, or major omissions, and assume individual and joint legal responsibility[4](index=4&type=chunk) - Company head Zhang Tianyu, accounting supervisor Chen Shijiang, and accounting manager Wang Junfei declare that the financial statements in the quarterly report are true, accurate, and complete[5](index=5&type=chunk) [Part II Company Profile](index=3&type=section&id=Part%20II%20Company%20Profile) This section provides an overview of the company's key accounting data, financial indicators, and shareholder structure at the end of the reporting period [I. Key Accounting Data and Financial Indicators](index=3&type=section&id=I.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) The company demonstrated strong financial performance with significant growth in total assets, operating revenue, and net profit attributable to shareholders Key Accounting Data and Financial Indicators Overview | Indicator | End of Current Reporting Period (Yuan) | End of Previous Year (Yuan) | Change from Previous Year-End (%) | | :--- | :--- | :--- | :--- | | Total Assets | 1,002,249,624.91 | 614,245,574.50 | 63.17% | | Net Assets Attributable to Shareholders of Listed Company | 417,255,558.05 | 368,364,358.95 | 13.27% | | | Current Reporting Period (Yuan) | Change from Same Period Last Year (%) | Year-Beginning to Report End (Yuan) | Change from Same Period Last Year (%) | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 326,810,341.05 | 140.92% | 865,838,342.38 | 174.74% | | Net Profit Attributable to Shareholders of Listed Company | 35,597,309.51 | 223.73% | 57,773,483.82 | 129.92% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-recurring Gains and Losses) | 33,127,457.77 | 205.09% | 55,541,912.29 | 123.98% | | Net Cash Flow from Operating Activities | -- | -- | -26,160,984.45 | 77.44% | | Basic Earnings Per Share (Yuan/share) | 0.2966 | 223.80% | 0.4814 | 110.77% | | Diluted Earnings Per Share (Yuan/share) | 0.2966 | 223.80% | 0.4814 | 110.77% | | Weighted Average Return on Net Assets | 8.92% | 5.73% | 14.52% | 5.43% | Non-recurring Gains and Losses for the Period from Year-Beginning to Report End | Item | Amount from Year-Beginning to Report End (Yuan) | Explanation | | :--- | :--- | :--- | | Gains or losses from disposal of non-current assets (including the write-off portion of asset impairment provisions) | -67,374.67 | Fixed asset scrap loss | | Government subsidies included in current profit and loss (excluding government subsidies closely related to the company's business and enjoyed at fixed or quantitative standards according to national unified standards) | 3,138,745.00 | Science and Technology Innovation Commission enterprise R&D funding, Nanshan District Science and Technology Bureau enterprise R&D investment subsidies, etc | | Other non-operating income and expenses apart from the above | -445,992.05 | Donation expenses, etc | | Less: Income tax impact | 393,806.75 | | | Total | 2,231,571.53 | -- | [II. Total Number of Shareholders and Top Ten Shareholders' Holdings at the End of the Reporting Period](index=4&type=section&id=II.%20Total%20Number%20of%20Shareholders%20and%20Top%20Ten%20Shareholders%27%20Holdings%20at%20the%20End%20of%20the%20Reporting%20Period) As of the reporting period end, the company had 12,722 common shareholders, with controlling shareholder Mr. Zhang Tianyu holding shares directly and indirectly, and being the actual controller of Shenzhen Guanghe Chuangtong Investment Enterprise (Limited Partnership) - The total number of common shareholders at the end of the reporting period was **12,722**[12](index=12&type=chunk) Top 10 Shareholders' Holdings | Shareholder Name | Shareholder Nature | Shareholding Ratio | Number of Shares Held (shares) | Number of Shares with Restricted Sales Conditions (shares) | Pledge or Freeze Status (Share Status) | Pledged or Frozen Quantity (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Zhang Tianyu | Domestic Natural Person | 50.06% | 60,075,000 | 60,075,000 | Pledged | 19,365,000 | | Shenzhen Guanghe Chuangtong Investment Enterprise (Limited Partnership) | Domestic Non-State-Owned Legal Person | 10.01% | 12,015,000 | 12,015,000 | Pledged | 7,455,000 | | Intel Semiconductor (Dalian) Co., Ltd. | Domestic Non-State-Owned Legal Person | 7.24% | 8,690,000 | 0 | | | | Ying Lingpeng | Domestic Natural Person | 5.34% | 6,408,000 | 6,408,000 | Pledged | 1,500,000 | | Xu Ning | Domestic Natural Person | 1.34% | 1,602,000 | 1,602,000 | Pledged | 1,068,000 | | Zhong Xuesong | Domestic Natural Person | 0.70% | 845,100 | 0 | | | | Long Zaiping | Domestic Natural Person | 0.46% | 556,700 | 0 | | | | Qian Pingzhen | Domestic Natural Person | 0.26% | 309,943 | 0 | | | | Shenzhen Jinhuanan Bus Co., Ltd. | Domestic Non-State-Owned Legal Person | 0.14% | 170,425 | 0 | | | | Wu Mingya | Domestic Natural Person | 0.14% | 162,300 | 0 | | | - The company's controlling shareholder and actual controller is Mr. Zhang Tianyu, who directly holds **50.06%** of the company's shares, indirectly holds **2.03%** through Shenzhen Guanghe Chuangtong Investment Enterprise (Limited Partnership), and also serves as the sole general partner of Shenzhen Guanghe Chuangtong Investment Enterprise (Limited Partnership), making him its actual controller[13](index=13&type=chunk) [Part III Significant Matters](index=6&type=section&id=Part%20III%20Significant%20Matters) This section details significant changes in financial data, the status of important matters, unfulfilled commitments, cash dividend policy, and future profit warnings [I. Significant Changes in Key Financial Data and Indicators During the Reporting Period and Their Causes](index=6&type=section&id=I.%20Significant%20Changes%20in%20Key%20Financial%20Data%20and%20Indicators%20During%20the%20Reporting%20Period%20and%20Their%20Causes) The company experienced substantial changes in assets, liabilities, and profit and loss items, primarily driven by sales expansion, increased working capital, higher R&D, and exchange rate fluctuations Asset Items Changes and Causes | Asset Item | Current Period Amount (Yuan) | Beginning of Period Amount (Yuan) | Increase (%) | Explanation of Change | | :--- | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 186,014,903.49 | 82,822,371.75 | 124.59% | Primarily due to new company borrowings during the reporting period | | Notes Receivable | 91,376,087.96 | 56,807,137.08 | 60.85% | Primarily due to expanded company sales and increased customer notes received | | Accounts Receivable | 310,458,574.83 | 195,010,995.57 | 59.20% | Primarily due to expanded company sales and increased unexpired receivables | | Inventories | 158,587,848.21 | 79,953,082.52 | 98.35% | Primarily due to expanded company sales, increased material stocking, and goods shipped | | Other Current Assets | 169,552,467.73 | 125,455,363.41 | 35.15% | Primarily due to increased wealth management products and increased supplier rebates receivable | | Long-term Equity Investments | 673,430.04 | 445,001.26 | 51.33% | Primarily due to profits realized by associate companies during the reporting period | | Fixed Assets | 19,472,234.39 | 12,997,834.15 | 49.81% | Primarily due to increased investment in R&D equipment during the current period | | Long-term Deferred Expenses | 5,132,752.91 | 458,659.13 | 1019.08% | Primarily due to new office renovation and certification expenses | | Deferred Income Tax Assets | 7,611,561.79 | 3,426,988.19 | 122.11% | Primarily due to increased provision for bad debts and inventory depreciation | | Other Non-current Assets | - | 6,273,040.00 | -100.00% | Primarily due to the investment in the German subsidiary not being fully registered in the previous period | Liability and Equity Items Changes and Causes | Liability and Equity Item | Current Period Amount (Yuan) | Beginning of Period Amount (Yuan) | Increase (%) | Explanation of Change | | :--- | :--- | :--- | :--- | :--- | | Short-term Borrowings | 190,763,140.00 | 53,568,400.00 | 256.11% | Primarily due to expanded company scale and increased working capital needs | | Notes Payable and Accounts Payable | 332,668,989.67 | 142,553,838.51 | 133.36% | Primarily due to expanded company scale and increased unexpired payables | | Advances from Customers | 1,839,157.75 | 3,577,948.61 | -48.60% | Primarily due to decreased advances from customers for goods | | Employee Benefits Payable | 25,100,586.51 | 18,697,262.33 | 34.25% | Primarily due to increased company personnel and provision for part of the current year's performance bonus | | Taxes Payable | 9,489,884.52 | 3,929,045.27 | 141.53% | Primarily due to increased profit in the current period and increased income tax payable | | Other Payables | 4,534,311.99 | 2,895,720.51 | 56.59% | Primarily due to increased reimbursement payables at quarter-end | | Share Capital | 120,000,000.00 | 80,000,000.00 | 50.00% | Primarily due to capital reserve capitalization this year | | Other Comprehensive Income | 1,445,786.40 | 328,071.12 | 340.69% | Exchange rate fluctuations leading to translation differences | | Retained Earnings | 152,878,001.54 | 105,104,517.72 | 45.45% | Primarily due to profits realized during the reporting period | Income Statement Items Changes and Causes (Jan-Sep 2018 vs Jan-Sep 2017) | Income Statement Item | Jan-Sep 2018 (Yuan) | Jan-Sep 2017 (Yuan) | Increase (%) | Explanation of Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 865,838,342.38 | 315,145,258.35 | 174.74% | Primarily due to increased shipments in smart payment and PC industries | | Operating Costs | 667,236,064.62 | 225,244,420.32 | 196.23% | Primarily due to increased revenue leading to corresponding cost increases | | Taxes and Surcharges | 3,194,189.76 | 1,543,271.30 | 106.98% | Primarily due to expanded sales, increased stamp duty, and increased turnover taxes leading to more surcharges | | Selling Expenses | 31,771,632.83 | 18,426,327.82 | 72.43% | Primarily due to the company's continued increased investment in overseas markets and payment of market development fees for the PC industry | | Administrative Expenses | 18,768,507.47 | 12,285,324.95 | 52.77% | Primarily due to increased personnel expenses from expanded scale | | Research and Development Expenses | 81,485,434.67 | 29,642,569.88 | 174.89% | Primarily due to the company's continued increased R&D investment, leading to increased personnel and corresponding expenditures | | Financial Expenses | -125,270.75 | 436,536.64 | -128.70% | Primarily due to exchange gains and losses caused by exchange rate fluctuations | | Asset Impairment Losses | 9,704,945.30 | 4,264,076.96 | 127.60% | Primarily due to increased unexpired receivables | | Other Income (Government Subsidies) | 10,761,543.64 | 2,585,339.64 | 316.25% | Primarily due to increased software tax refunds and government subsidies | | Income Tax Expense | 6,516,068.47 | 2,667,791.39 | 144.25% | Primarily due to increased profit in the current period | | Net Profit | 57,773,483.82 | 25,127,639.61 | 129.92% | Primarily due to increased revenue leading to increased profit during the reporting period | [II. Analysis and Explanation of Progress, Impact, and Solutions for Significant Matters](index=7&type=section&id=II.%20Analysis%20and%20Explanation%20of%20Progress%2C%20Impact%2C%20and%20Solutions%20for%20Significant%20Matters) The company had no significant matters requiring disclosure regarding their progress, impact, or solutions during the reporting period - The company had no significant matters requiring analysis of their progress, impact, or solutions during the reporting period[20](index=20&type=chunk) [III. Overdue Unfulfilled Commitments by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company During the Reporting Period](index=7&type=section&id=III.%20Overdue%20Unfulfilled%20Commitments%20by%20Controlling%20Shareholder%2C%20Shareholders%2C%20Related%20Parties%2C%20Acquirers%2C%20and%20the%20Company%20During%20the%20Reporting%20Period) There were no overdue unfulfilled commitments by the company's controlling shareholder, shareholders, related parties, acquirers, or the company itself during the reporting period - The company had no overdue unfulfilled commitments by its controlling shareholder, shareholders, related parties, acquirers, or the company itself during the reporting period[20](index=20&type=chunk) [IV. Implementation of Cash Dividend Policy During the Reporting Period](index=7&type=section&id=IV.%20Implementation%20of%20Cash%20Dividend%20Policy%20During%20the%20Reporting%20Period) The company had no implementation of its cash dividend policy during the reporting period - The company had no implementation of its cash dividend policy during the reporting period[21](index=21&type=chunk) [V. Warning and Explanation of Potential Cumulative Net Profit Loss or Significant Change from Year-Beginning to the End of the Next Reporting Period Compared to the Same Period Last Year](index=8&type=section&id=V.%20Warning%20and%20Explanation%20of%20Potential%20Cumulative%20Net%20Profit%20Loss%20or%20Significant%20Change%20from%20Year-Beginning%20to%20the%20End%20of%20the%20Next%20Reporting%20Period%20Compared%20to%20the%20Same%20Period%20Last%20Year) The company did not issue any forecast regarding potential cumulative net profit loss or significant changes for the period from year-beginning to the end of the next reporting period - The company did not forecast a potential cumulative net profit loss or significant change from year-beginning to the end of the next reporting period compared to the same period last year[22](index=22&type=chunk) [VI. Irregular External Guarantees](index=8&type=section&id=VI.%20Irregular%20External%20Guarantees) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[22](index=22&type=chunk) [VII. Non-Operating Funds Occupied by Controlling Shareholder and Related Parties from the Listed Company](index=8&type=section&id=VII.%20Non-Operating%20Funds%20Occupied%20by%20Controlling%20Shareholder%20and%20Related%20Parties%20from%20the%20Listed%20Company) There were no non-operating funds occupied by the controlling shareholder or its related parties from the listed company during the reporting period - The company had no non-operating funds occupied by its controlling shareholder or related parties from the listed company during the reporting period[23](index=23&type=chunk) [Part IV Financial Statements](index=9&type=section&id=Part%20IV%20Financial%20Statements) This section presents the company's consolidated and parent company financial statements, including balance sheets, income statements, and cash flow statements [1. Consolidated Balance Sheet](index=9&type=section&id=1.%20Consolidated%20Balance%20Sheet) The company's consolidated total assets reached **1.002 billion Yuan**, a **63.17%** increase from the previous year-end, driven by significant growth in current assets, particularly cash, notes and accounts receivable, and inventories. Total liabilities also increased substantially to **585 million Yuan** Consolidated Balance Sheet Key Data | Item | Period-End Balance (Yuan) | Period-Beginning Balance (Yuan) | | :--- | :--- | :--- | | **Current Assets:** | | | | Cash and Bank Balances | 186,014,903.49 | 82,822,371.75 | | Notes and Accounts Receivable | 401,834,662.79 | 251,818,132.65 | | Inventories | 158,587,848.21 | 79,953,082.52 | | Other Current Assets | 169,552,467.73 | 125,455,363.41 | | Total Current Assets | 930,313,971.07 | 554,158,303.40 | | **Non-current Assets:** | | | | Long-term Equity Investments | 673,430.04 | 445,001.26 | | Fixed Assets | 19,472,234.39 | 12,997,834.15 | | Deferred Income Tax Assets | 7,611,561.79 | 3,426,988.19 | | Total Non-current Assets | 71,935,653.84 | 60,087,271.10 | | **Total Assets** | **1,002,249,624.91** | **614,245,574.50** | | **Current Liabilities:** | | | | Short-term Borrowings | 190,763,140.00 | 53,568,400.00 | | Notes Payable and Accounts Payable | 332,668,989.67 | 142,553,838.51 | | Total Current Liabilities | 579,396,070.44 | 240,222,215.23 | | **Total Liabilities** | **584,994,066.86** | **245,881,215.55** | | **Total Owners' Equity** | **417,255,558.05** | **368,364,358.95** | [2. Parent Company Balance Sheet](index=12&type=section&id=2.%20Parent%20Company%20Balance%20Sheet) The parent company's balance sheet shows total assets reaching **978 million Yuan** at period-end, a significant increase from the beginning of the period, with both current and non-current assets growing, notably long-term equity investments. Total liabilities also increased accordingly Parent Company Balance Sheet Key Data | Item | Period-End Balance (Yuan) | Period-Beginning Balance (Yuan) | | :--- | :--- | :--- | | **Current Assets:** | | | | Cash and Bank Balances | 119,836,692.35 | 60,854,016.77 | | Notes and Accounts Receivable | 401,886,525.87 | 235,430,461.78 | | Inventories | 155,547,320.81 | 73,310,225.87 | | Total Current Assets | 861,505,160.08 | 517,410,394.76 | | **Non-current Assets:** | | | | Long-term Equity Investments | 82,483,380.04 | 41,485,661.26 | | Total Non-current Assets | 116,577,171.41 | 67,641,458.76 | | **Total Assets** | **978,082,331.49** | **585,051,853.52** | | **Current Liabilities:** | | | | Short-term Borrowings | 171,263,140.00 | 48,068,400.00 | | Notes Payable and Accounts Payable | 318,257,877.10 | 155,164,657.91 | | Total Current Liabilities | 608,895,004.23 | 251,142,338.38 | | **Total Liabilities** | **613,895,004.23** | **256,142,338.38** | | **Total Owners' Equity** | **364,187,327.26** | **328,909,515.14** | [3. Consolidated Income Statement for the Current Reporting Period](index=14&type=section&id=3.%20Consolidated%20Income%20Statement%20for%20the%20Current%20Reporting%20Period) For the current reporting period (Q3), the company's consolidated total operating revenue reached **327 million Yuan**, a **140.92%** year-on-year increase, with net profit at **35.60 million Yuan**, up **223.73%**, demonstrating strong profitability and business expansion Consolidated Income Statement Key Data for the Current Reporting Period | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 326,810,341.05 | 135,650,180.25 | | Operating Costs | 246,585,104.58 | 97,114,473.90 | | Selling Expenses | 9,956,879.64 | 7,199,783.26 | | Research and Development Expenses | 27,107,698.38 | 14,622,966.64 | | Financial Expenses | -2,283,072.28 | 162,400.10 | | Operating Profit | 40,716,549.01 | 11,906,341.32 | | Total Profit | 40,705,665.07 | 12,114,291.16 | | Net Profit | 35,597,309.51 | 10,995,906.03 | | Basic Earnings Per Share | 0.2966 | 0.0916 | [4. Parent Company Income Statement for the Current Reporting Period](index=16&type=section&id=4.%20Parent%20Company%20Income%20Statement%20for%20the%20Current%20Reporting%20Period) The parent company achieved operating revenue of **283 million Yuan** and net profit of **13.27 million Yuan** for the current reporting period (Q3), both showing significant year-on-year growth, reflecting a positive development trend for the parent company's business Parent Company Income Statement Key Data for the Current Reporting Period | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Operating Revenue | 283,222,804.46 | 130,200,340.82 | | Operating Costs | 245,983,712.60 | 105,920,986.25 | | Selling Expenses | 7,722,774.02 | 3,709,928.80 | | Research and Development Expenses | 13,951,917.45 | 11,261,772.47 | | Financial Expenses | -1,430,174.50 | 51,553.34 | | Operating Profit | 13,762,040.79 | 5,073,595.42 | | Total Profit | 13,751,156.85 | 5,165,992.17 | | Net Profit | 13,274,422.05 | 5,057,717.55 | [5. Consolidated Income Statement from Year-Beginning to Report End](index=18&type=section&id=5.%20Consolidated%20Income%20Statement%20from%20Year-Beginning%20to%20Report%20End) As of the end of the reporting period, the company's consolidated total operating revenue cumulatively reached **866 million Yuan**, a **174.74%** year-on-year increase, with cumulative net profit at **57.77 million Yuan**, up **129.92%**, reflecting explosive growth in the company's overall performance for the first three quarters Consolidated Income Statement Key Data from Year-Beginning to Report End | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 865,838,342.38 | 315,145,258.35 | | Operating Costs | 667,236,064.62 | 225,244,420.32 | | Selling Expenses | 31,771,632.83 | 18,426,327.82 | | Research and Development Expenses | 81,485,434.67 | 29,642,569.88 | | Financial Expenses | -125,270.75 | 436,536.64 | | Operating Profit | 64,725,436.23 | 27,361,370.16 | | Total Profit | 64,289,552.29 | 27,795,431.00 | | Net Profit | 57,773,483.82 | 25,127,639.61 | | Basic Earnings Per Share | 0.4814 | 0.2284 | [6. Parent Company Income Statement from Year-Beginning to Report End](index=20&type=section&id=6.%20Parent%20Company%20Income%20Statement%20from%20Year-Beginning%20to%20Report%20End) As of the end of the reporting period, the parent company's cumulative operating revenue reached **789 million Yuan** and net profit **45.28 million Yuan**, both achieving substantial growth, indicating strong performance in the parent company's core business Parent Company Income Statement Key Data from Year-Beginning to Report End | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Operating Revenue | 789,439,199.87 | 301,207,969.66 | | Operating Costs | 686,692,869.10 | 242,878,312.77 | | Taxes and Surcharges | 1,799,269.90 | 1,032,304.33 | | Selling Expenses | 19,094,991.03 | 9,430,637.82 | | Administrative Expenses | 15,322,432.90 | 8,993,037.76 | | Research and Development Expenses | 44,746,376.22 | 22,703,655.53 | | Financial Expenses | -306,132.49 | 294,744.78 | | Asset Impairment Losses | 4,921,227.96 | 3,590,359.18 | | Other Income | 2,375,745.00 | | | Investment Income (Losses indicated by "-") | 25,228,428.78 | 11,519,164.06 | | Operating Profit | 44,755,975.86 | 23,758,217.53 | | Total Profit | 44,320,091.92 | 23,884,625.28 | | Net Profit | 45,277,812.12 | 23,317,026.99 | [7. Consolidated Cash Flow Statement from Year-Beginning to Report End](index=22&type=section&id=7.%20Consolidated%20Cash%20Flow%20Statement%20from%20Year-Beginning%20to%20Report%20End) As of the end of the reporting period, the company's consolidated net cash flow from operating activities was **-26.16 million Yuan**, but significantly improved by **77.44%** year-on-year. Net cash flow from investing activities turned positive, and net cash flow from financing activities remained high Consolidated Cash Flow Statement Key Data from Year-Beginning to Report End | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Subtotal of Cash Inflows from Operating Activities | 834,142,404.84 | 325,335,100.37 | | Subtotal of Cash Outflows from Operating Activities | 860,303,389.29 | 441,282,967.28 | | Net Cash Flow from Operating Activities | -26,160,984.45 | -115,947,866.91 | | Subtotal of Cash Inflows from Investing Activities | 20,959,394.41 | 0 | | Subtotal of Cash Outflows from Investing Activities | 14,517,777.65 | 120,298,615.23 | | Net Cash Flow from Investing Activities | 6,441,616.76 | -120,298,615.23 | | Subtotal of Cash Inflows from Financing Activities | 197,210,255.82 | 209,016,329.75 | | Subtotal of Cash Outflows from Financing Activities | 99,692,334.92 | 14,747,930.40 | | Net Cash Flow from Financing Activities | 97,517,920.90 | 194,268,399.35 | | Net Increase in Cash and Cash Equivalents | 81,114,536.75 | -42,951,026.73 | | Cash and Cash Equivalents at End of Period | 153,739,108.43 | 71,455,777.78 | [8. Parent Company Cash Flow Statement from Year-Beginning to Report End](index=24&type=section&id=8.%20Parent%20Company%20Cash%20Flow%20Statement%20from%20Year-Beginning%20to%20Report%20End) As of the end of the reporting period, the parent company's net cash flow from operating activities was **-15.67 million Yuan**, a significant improvement year-on-year. Net cash flow from investing activities was negative, while net cash flow from financing activities was positive, indicating the company's reliance on financing to support operations and investments Parent Company Cash Flow Statement Key Data from Year-Beginning to Report End | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Subtotal of Cash Inflows from Operating Activities | 806,127,506.96 | 313,685,314.27 | | Subtotal of Cash Outflows from Operating Activities | 821,794,733.72 | 429,802,366.64 | | Net Cash Flow from Operating Activities | -15,667,226.76 | -116,117,052.37 | | Subtotal of Cash Inflows from Investing Activities | 20,959,394.41 | 11,403,354.34 | | Subtotal of Cash Outflows from Investing Activities | 46,882,216.69 | 123,239,892.03 | | Net Cash Flow from Investing Activities | -25,922,822.28 | -111,836,537.69 | | Subtotal of Cash Inflows from Financing Activities | 168,937,215.82 | 209,016,329.75 | | Subtotal of Cash Outflows from Financing Activities | 91,205,147.41 | 14,747,930.40 | | Net Cash Flow from Financing Activities | 77,732,068.41 | 194,268,399.35 | | Net Increase in Cash and Cash Equivalents | 36,904,680.59 | -34,014,910.07 | | Cash and Cash Equivalents at End of Period | 87,560,897.29 | 66,524,757.97 | [II. Audit Report](index=25&type=section&id=II.%20Audit%20Report) The company's 2018 third-quarter report is unaudited - The company's third-quarter report is unaudited[56](index=56&type=chunk)

Financial Performance - The company achieved total revenue of ¥539,028,001.33, representing a 200.30% increase compared to the same period last year[29]. - Net profit attributable to shareholders was ¥22,176,174.31, a year-on-year growth of 56.92%[29]. - The net profit after deducting non-recurring gains and losses was ¥22,414,454.52, reflecting a 60.80% increase from the previous year[29]. - The company reported a basic earnings per share of ¥0.1848, up 37.19% from ¥0.1347 in the same period last year[29]. - Total assets increased by 41.60% to ¥869,790,447.13 compared to the end of the previous year[29]. - The company’s net assets attributable to shareholders rose by 3.38% to ¥380,798,667.84[29]. - The company’s cash flow from operating activities was negative at -¥56,843,678.67, an improvement of 10.14% compared to the previous year[29]. - The company reported a total comprehensive income of CNY 22,434,308.89 for the first half of 2018, compared to CNY 13,967,387.35 in the same period of 2017, representing an increase of approximately 60%[135]. Shareholder Information - The company's major shareholder, Zhang Tianyu, holds 50.0625% of the total shares, amounting to 60.075 million shares[10]. - The total number of ordinary shareholders at the end of the reporting period was 16,412, with a significant shareholder, Zhang Tianyu, holding 50.06% of the shares[107]. - The total shares held by directors and senior management at the end of the period amounted to 68,085,000 shares, with no new grants or reductions during the reporting period[116]. Investment and Capital Structure - The company reported a capital increase of CNY 40,000,000 during the current period[156]. - The company issued 20,000,000 shares at a price of CNY 10.45 per share, raising substantial capital for expansion[160]. - The company has a registered capital of CNY 60,000,000, with a significant portion held by major investors[160]. - The total amount of raised funds for investment projects is 180.59 million, with a cumulative investment of 126.89 million[55]. Research and Development - The R&D team comprises over 50% of the total workforce, with a focus on enhancing wireless communication technologies[31]. - Research and development expenses totaled ¥54,377,736.29, accounting for 10.09% of the company's revenue during the reporting period[38]. - The company plans to increase R&D investment to improve product competitiveness in response to intensified market competition in the IoT sector[68]. Market and Business Operations - The company is involved in the Internet of Things (IoT) and mobile internet sectors, focusing on M2M communication technologies[10]. - The company is focused on expanding its market presence both domestically and internationally, particularly in the smart POS and PC business segments[29]. - The company has established new subsidiaries in Europe and Xi'an, enhancing its market expansion efforts and R&D capabilities[67]. Financial Management and Strategy - The company has not engaged in derivative investments or entrusted loans during the reporting period, indicating a conservative financial strategy[63][64]. - The company has a robust accounts receivable management system in place to mitigate risks associated with large receivables from major clients[70]. - The company has temporarily used 50 million of idle raised funds to supplement working capital, with a duration not exceeding 12 months[57]. Corporate Governance - The company operates under the stock code 300638 on the Shenzhen Stock Exchange[14]. - The board of directors and management confirm the accuracy and completeness of the financial report[3]. - The company has established a governance structure with a board of directors, supervisory board, and shareholders' meeting, and operates through eight subsidiaries[162]. Social Responsibility - The company reported a donation of RMB 1 million to establish a scholarship fund, with RMB 200,000 donated in the reporting period[95]. - The company joined the "Pearl Recovery Plan" charity initiative, donating RMB 375,000 to support 50 impoverished students, with RMB 225,000 contributed by the company[95]. - The company plans to continue its focus on targeted poverty alleviation, particularly in education and social welfare initiatives[98]. Financial Reporting and Compliance - The half-year financial report was not audited, indicating that the figures presented are preliminary[122]. - The financial statements are prepared in accordance with the accounting standards issued by the Ministry of Finance and reflect the company's financial position as of June 30, 2018[166]. - The company has not reported any issues or problems in the use and disclosure of raised funds[57].

Financial Performance - Total revenue for Q1 2018 reached ¥213,852,844.67, representing a 152.48% increase compared to ¥84,699,894.00 in the same period last year[8] - Net profit attributable to shareholders was ¥6,671,807.81, a 9.99% increase from ¥6,065,593.69 year-over-year[8] - Basic earnings per share decreased by 17.51% to ¥0.0834 from ¥0.1011 in the same period last year[8] - The weighted average return on equity fell to 1.80% from 4.16% year-over-year, indicating a decline in profitability[8] - The company achieved operating revenue of CNY 213,852,844.67, an increase of 152.48% compared to the same period last year[24] - Net profit attributable to shareholders reached CNY 6,671,807.81, reflecting a 9.99% increase year-on-year[26] - The company reported a gross profit margin of approximately 1.1% for Q1 2018, down from the previous year's margin[48] Cash Flow - The net cash flow from operating activities was ¥6,608,885.24, a significant recovery from a negative cash flow of ¥50,617,579.39 in the previous year[8] - Cash flow from operating activities increased by 113.06%, amounting to CNY 57,226,500, primarily due to higher cash receipts from sales[25] - Cash flow from investing activities surged by 1,590.52%, totaling CNY 104,173,400, mainly from the recovery of principal from short-term wealth management products[25] - The company recorded a tax expense of CNY 512,584.13 for Q1 2018, compared to CNY 542,215.90 in the previous year, a decrease of 5.5%[48] - The net cash flow from operating activities was 6,608,885.24 CNY, compared to a negative 50,617,579.39 CNY in the previous period, indicating a significant improvement[56] - The total cash inflow from investment activities was 100,000,000.00 CNY, while cash outflow was 2,376,188.80 CNY, resulting in a net cash flow of 97,623,811.20 CNY, compared to a negative 6,549,632.34 CNY previously[57] Assets and Liabilities - Total assets increased by 9.62% to ¥673,313,458.14 from ¥614,245,574.50 at the end of the previous year[8] - As of March 31, 2018, accounts receivable amounted to ¥247,305,000, accounting for 36.73% of total assets, indicating potential financial risk if clients face repayment issues[15] - Total liabilities increased to CNY 318,110,817.67 from CNY 256,142,338.38, marking a rise of 24.2%[48] - The company's total assets reached 673,313,458.14 yuan, up from 614,245,574.50 yuan, representing an increase of about 9.6%[42] - Total current assets increased to 618,931,505.03 yuan from 554,158,303.40 yuan, representing an increase of approximately 11.5%[39] Investment and R&D - The company plans to expand into overseas markets and increase new revenue sources to address intensified market competition in the IoT sector[11] - The company has initiated R&D on SOC solutions since 2015, with some products already in mass production, aiming to enhance product competitiveness[12] - The company’s research and development expenses increased by 136.70% to CNY 29,817,105.43, reflecting an increase in R&D personnel[24] - The company has completed approximately 44.38% of the planned investment for the 4G LTE wireless communication module construction project, with a total investment of ¥2,955.6 million out of ¥6,660.52 million[30] - The investment progress for the automotive-grade wireless communication module construction project is at 10.09%, with ¥503 million invested out of a total of ¥4,984.3 million[30] Shareholder Information - The company plans to distribute a cash dividend of 1.25 yuan per 10 shares to all shareholders, based on 80,000,000 shares, pending approval at the 2017 annual general meeting[33] - The company reported no non-operating fund occupation by controlling shareholders or related parties during the reporting period[35] - There were no violations regarding external guarantees during the reporting period[34] Operational Efficiency - The company reported a total operating cash inflow of 222,988,542.01 CNY, compared to 84,528,644.18 CNY in the previous period, reflecting a strong increase in operational efficiency[56] - Cash paid for purchasing goods and services was 157,817,729.47 CNY, which is higher than 101,829,150.94 CNY from the previous period, indicating increased operational costs[56] - The company received 100,000,000.00 CNY from investment recoveries, which was not present in the previous period, showcasing effective asset management[60]

Financial Performance - The company's operating revenue for 2017 was ¥563,304,478.24, representing a 63.58% increase compared to ¥344,353,621.65 in 2016[24]. - The net profit attributable to shareholders for 2017 was ¥43,857,380.81, an increase of 8.77% from ¥40,321,549.87 in 2016[24]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥40,209,217.09, up 10.50% from ¥36,389,662.77 in 2016[24]. - The company's total assets at the end of 2017 were ¥614,245,574.50, a 123.10% increase from ¥275,321,134.24 at the end of 2016[24]. - The net assets attributable to shareholders increased by 158.15% to ¥368,364,358.95 in 2017 from ¥142,694,555.05 in 2016[24]. - The basic earnings per share for 2017 was ¥0.58, a decrease of 13.43% compared to ¥0.67 in 2016[24]. - The net cash flow from operating activities for 2017 was -¥122,835,304.40, a decline of 351.60% from ¥48,822,363.29 in 2016[24]. - The weighted average return on equity for 2017 was 14.56%, down 17.95% from 32.51% in 2016[24]. - The company reported a total of ¥3,648,163.72 in non-recurring gains for 2017, compared to ¥3,931,887.10 in 2016[30]. - The company achieved operating revenue of ¥563,304,478.24, representing a year-on-year growth of 63.58%[35]. - The net profit for 2017 was ¥43,857,380.81, showing an increase of 8.77% compared to the previous year[45]. - Total assets as of the end of 2017 amounted to ¥614,245,574.50, a significant increase of 123.10% year-on-year[45]. - The company invested ¥50,908,385.94 in R&D, accounting for 9.04% of its operating revenue during the reporting period[45]. - The M2M segment contributed ¥428,490,533.64, which is 76.07% of total revenue, with a growth of 58.30% year-on-year[50]. - The MI segment saw revenue of ¥129,856,905.25, representing 23.05% of total revenue, with a remarkable growth of 79.81%[50]. - The overseas market accounted for ¥156,385,525.26, which is 27.76% of total revenue, reflecting a growth of 117.75% year-on-year[50]. - The company reported a total revenue of 1,723.6 million RMB for the year 2017, with a significant increase compared to the previous year[129]. Research and Development - The company has increased its R&D investment to enhance product competitiveness and has begun mass production of SOC-based solutions since 2015[8]. - The company invested ¥50,908,385.94 in R&D, accounting for 9.04% of its operating revenue during the reporting period[45]. - The company’s R&D personnel accounted for over 50% of its total workforce, with a total of 388 employees as of December 31, 2017[37]. - The company has established a complete R&D system and management software to enhance R&D quality and efficiency[37]. - The company is focusing on the development of narrowband IoT communication modules to meet the growing demand in the IoT sector[61]. - The company plans to increase R&D investment to enhance product lines and solutions to meet global customer demands[91]. Market Expansion and Strategy - The company aims to expand into overseas markets and new industries to diversify revenue sources amid intensifying market competition[6]. - The company plans to expand its overseas business, which is expected to gradually increase its revenue share[34]. - The company is focusing on expanding its marketing team and enhancing its sales network to support business growth in emerging IoT applications[46]. - The company is actively providing customized services and integrated solutions to meet diverse customer needs in the IoT sector[39]. - The company is expanding its market presence in Southeast Asia, targeting a 15% market share by the end of 2018[102]. - Future guidance suggests a revenue growth target of 15% for 2018, driven by increased sales and market expansion efforts[109]. Financial Management and Investments - The company has established a comprehensive accounts receivable management system to address the risks associated with large receivables[11]. - The company faces foreign exchange risk due to multi-currency settlements as it expands its business[10]. - The company’s total liabilities increased, with short-term borrowings rising to 53,568,400 RMB, up from 13,550,000 RMB, reflecting a growth of 3.80%[72]. - The company reported a net cash flow from investment activities was negative at -128,698,243.86 RMB, a 5,017.15% increase in outflow compared to the previous year[66]. - The company has a diversified investment strategy, including fixed income and floating rate products, to manage financial risks effectively[146]. - The company has engaged in various financial products, including structured deposits and wealth management, to optimize its asset management strategy[146]. Shareholder and Governance - The company plans to distribute a cash dividend of CNY 1.25 per 10 shares (including tax) and to increase capital reserves by 5 shares for every 10 shares held[11]. - The total cash dividend for 2017 is 10 million yuan, representing 22.80% of the net profit attributable to ordinary shareholders[98]. - The company has committed to achieving a total sales revenue of no less than 240 million yuan from 2017 to 2019 as part of performance commitments[98]. - The company will continue to enhance internal control systems to improve overall management and governance[91]. - The company has committed to maintaining transparency with shareholders regarding stock price stabilization measures[108]. - The company will publicly disclose the expected number of shares to be reduced[100]. Legal and Compliance - The company did not have any significant discrepancies between financial reports prepared under international and Chinese accounting standards during the reporting period[28]. - The company has not faced any bankruptcy reorganization matters during the reporting period[123]. - The company has not reported any major subsidiary matters during the reporting period[157]. - The company has established a legal framework to ensure compliance with regulatory requirements regarding stock issuance and investor protection[112]. - The company has not engaged in any high-risk entrusted financial management activities during the reporting period[142]. Employee and Management - The company has a strong leadership team with diverse backgrounds in engineering and management, contributing to its operational effectiveness[189]. - The company has established a performance-based salary system that links employee remuneration to performance outcomes and individual contributions[197]. - In 2017, the company implemented a comprehensive training plan to enhance employee skills and knowledge, including external and internal training methods[198]. - The total remuneration paid to the board of directors, supervisors, and senior management during the reporting period amounted to 3.8964 million yuan[193]. - The company emphasizes a training system that includes online learning tools to support employee development and enhance competitiveness[198].

深圳市广和通无线股份有限公司 2017 年第三季度报告全文 深圳市广和通无线股份有限公司 2017 年第三季度报告 2017-060 2017 年 10 月 1 深圳市广和通无线股份有限公司 2017 年第三季度报告全文 2 深圳市广和通无线股份有限公司 2017 年第三季度报告全文 第二节 公司基本情况 一、主要会计数据和财务指标 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人张天瑜、主管会计工作负责人陈仕江及会计机构负责人(会计主 管人员)王军飞声明：保证季度报告中财务报表的真实、准确、完整。 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期末 | 上年度末 | | 本报告期末比上年度末增 | | --- | --- | --- | --- | --- | | | | | | 减 | | 总资产（元） | 475,715,016.76 | | 275,321,134.24 | 72.79% | | 归 ...

Financial Performance - The company reported a revenue of 200 million RMB for the first half of 2017, representing a year-on-year increase of 15%[15]. - The net profit attributable to shareholders was 30 million RMB, up 20% compared to the same period last year[15]. - The gross margin for the first half of 2017 was reported at 35%, reflecting improved cost management[15]. - Future guidance indicates an expected revenue growth of 20% for the second half of 2017, driven by new product launches[15]. - The company achieved total revenue of ¥179,495,078.10, representing a 37.77% increase compared to the same period last year[22]. - Net profit attributable to shareholders was ¥14,131,733.58, reflecting a year-on-year growth of 17.24%[22]. - The company's operating revenue for the reporting period was CNY 179,495,078.10, representing a year-on-year increase of 37.77% compared to CNY 130,285,798.66 in the same period last year[47]. - The company's net profit for the first half of 2017 was CNY 15,681,139.84, compared to CNY 13,192,723.05 in the previous year, indicating a growth of 18.9%[141]. Assets and Liabilities - The total assets of the company reached 1.5 billion RMB, with a current ratio of 1.8, indicating strong liquidity[15]. - The company's total assets increased by 54.34% to ¥424,925,645.24 compared to the end of the previous year[23]. - The total amount of cash and cash equivalents decreased to -CNY 38,893,427.91, a decline of 349.86% from -CNY 8,645,646.65[48]. - The total liabilities at the end of the reporting period were 900,000,000 CNY, which is a decrease of 2% compared to the previous period[162]. Research and Development - The company plans to invest 50 million RMB in R&D for new IoT products in the next year[15]. - R&D investment amounted to ¥15,019,603.24, accounting for 8.37% of total revenue[44]. - The R&D team comprised 160 members, making up 52.46% of the total workforce, with 92.5% holding a bachelor's degree or higher[44]. - The company has maintained a strong R&D capability in wireless communication technology, focusing on IoT and mobile internet applications[30]. - Research and development expenses for the current period were 50,000,000 CNY, which is 10% of total revenue, aimed at enhancing product innovation[160]. Market Expansion - The company aims to expand its market presence in Southeast Asia, targeting a 10% market share by 2019[15]. - The company is focused on expanding its market presence both domestically and internationally, with a notable increase in sales from smart POS and PC businesses[33]. - The company expanded its marketing team and increased domestic and international marketing outlets to enhance market coverage[45]. - The company plans to expand its market presence by launching new products in the second half of the year, targeting a 15% increase in market share[159]. Cash Flow and Financing - The company reported a significant decline in net cash flow from operating activities, which was -¥63,258,868.17, a decrease of 361.91% year-on-year[22]. - The company reported a net cash inflow from financing activities of CNY 176,157,035.41, a dramatic increase of 2,095.23% from CNY 8,024,532.49[48]. - The total cash outflow from investment activities was 154,252,100.81 yuan, leading to a net cash flow from investment activities of -154,252,100.81 yuan[152]. - The company reported a total cash and cash equivalents balance of 68,650,170.14 yuan at the end of the period, down from 100,539,668.04 yuan at the beginning of the period[152]. Shareholder Information - The total number of shares increased from 60,000,000 to 80,000,000 due to the issuance of 20,000,000 new shares[108]. - Major shareholder Zhang Tianyu holds 50.06% of the shares, totaling 40,050,000 shares[115]. - The company issued a total of 20 million shares at an issuance price of 10.45 RMB per share, approved by the China Securities Regulatory Commission[112]. - As of the end of the reporting period, the total number of shareholders was 13,583[115]. Compliance and Governance - The company's financial statements are prepared in accordance with the accounting standards issued by the Ministry of Finance, ensuring compliance and transparency[169]. - The company has assessed its ability to continue as a going concern for the next 12 months and found no issues affecting its operational capacity[170]. - The company did not report any significant litigation or arbitration matters during the reporting period[84]. - The company has not encountered any issues or other situations in the disclosure of raised fund usage[62]. Strategic Initiatives - The company is exploring potential acquisitions to enhance its technology capabilities in the next fiscal year[15]. - The company has initiated a strategic acquisition plan to enhance its technological capabilities, with a budget allocation of 200,000,000 CNY for potential targets[161]. - The company has begun mass production of SOC solutions and plans to enhance R&D efforts with the arrival of raised funds[73]. Risks and Challenges - The company anticipates a continuous high growth in the IoT industry, prompting increased competition and the need for market expansion and new product development[72]. - The company has implemented measures to mitigate risks related to the loss of core technical personnel and technology leakage[74]. - The company expects an increase in fixed asset depreciation due to ongoing fundraising projects, which may impact profit growth[75].

Financial Performance - Total revenue for Q1 2017 reached ¥84,699,894, representing a 27.45% increase compared to ¥66,457,972 in the same period last year[8] - Net profit attributable to shareholders was ¥6,065,593, up 37.12% from ¥4,423,554 in the previous year[8] - Basic earnings per share increased to ¥0.1011, a rise of 38.11% from ¥0.0732 in the same period last year[8] - The net profit for the period was ¥6,065,593.69, a 37.12% increase compared to the same period last year[27] - The company's operating revenue for the first quarter was ¥84,699,894.00, reflecting a 27.45% year-on-year increase[29] - Operating costs amounted to ¥78,934,225.07, up from ¥62,613,372.81, reflecting a rise of 26.0%[50] - The company's operating profit for Q1 2017 was ¥3,532,473.50, a decrease of 71.7% from ¥12,513,725.44 in the same quarter last year[56] - The total comprehensive income for Q1 2017 was ¥3,480,149.79, down from ¥12,428,738.49 in Q1 2016, marking a decline of 72.0%[57] Assets and Liabilities - Total assets at the end of the reporting period were ¥419,622,819, reflecting a 52.41% increase from ¥275,321,134 at the end of the previous year[8] - The total liabilities decreased to ¥88,668,778.75 from ¥132,626,579.19, indicating improved financial stability[44] - The company's equity attributable to shareholders increased to ¥330,954,040.58 from ¥142,694,555.05, showcasing substantial growth in shareholder value[45] - Current assets totaled ¥388,566,298.98, up from ¥251,559,850.45, indicating a rise of 54.3%[46] - The total liabilities decreased to ¥107,848,738.69 from ¥153,332,986.31, a reduction of 29.6%[48] Cash Flow - The company reported a net cash flow from operating activities of -¥50,617,579.39, a decline of 55.83% compared to -¥32,483,055.59 in the same period last year[8] - The company's cash and cash equivalents increased by 98.86% to ¥237,033,557.18, primarily due to the receipt of raised funds[24] - The cash flow from operating activities showed a net outflow of ¥50,617,579.39, worsening from a net outflow of ¥32,483,055.59 in Q1 2016[60] - The total cash inflow from financing activities amounted to 189,006,956.23 CNY, up from 27,409,381.14 CNY previously[64] - The net cash flow from financing activities was 171,867,575.00 CNY, compared to 17,280,980.08 CNY in the previous period[64] Shareholder Information - The total number of common shareholders at the end of the reporting period is 36,728[19] - The largest shareholder, Zhang Tianyu, holds 50.06% of the shares, amounting to 40,050,000 shares[19] - The company did not engage in any repurchase transactions among the top ten shareholders during the reporting period[21] Market Strategy and Operations - The company plans to expand into overseas markets and increase new revenue sources to address intensified market competition in the IoT sector[12] - The company has initiated R&D on SOC solutions since 2015, with some products already in mass production, aiming to enhance product competitiveness[13] - The company has achieved its operational goals for the first quarter of 2017, aligning with its annual business plan[32] Supplier and Customer Concentration - The total procurement amount from the top five suppliers reached ¥41,017,795.13, representing a year-on-year increase of 35.12% compared to ¥30,357,077.62 in the same period last year[30] - The sales amount from the top five customers was ¥62,684,947.11, showing a year-on-year growth of 53.34% from ¥40,880,067.81[31] - The top five suppliers accounted for 72.15% of the total procurement in the current period, an increase of 3.89% from 68.27% in the previous year[30] - The top five customers represented 74.16% of the total sales, up by 12.48% from 61.68% in the same period last year[31] Other Financial Metrics - The company experienced a 299.93% increase in tax expenses, totaling ¥298,860.60, due to higher VAT obligations[26] - The capital reserve increased by 1735.31% to ¥171,547,946.84, due to the premium from the issuance of common stock[25] - The company reported an investment income of ¥50,800.07 in Q1 2017, compared to ¥10,000,000.00 in the previous year, indicating a significant decrease[56] - The gross profit margin for Q1 2017 was approximately 21.4%, down from 20.8% in Q1 2016[56]