Financial Performance - The company reported a total revenue of RMB 1.2 billion for the year 2018, representing a year-on-year increase of 15%[6] - The net profit attributable to shareholders was RMB 218 million, an increase of 10% compared to the previous year[6] - The company's operating revenue for 2018 was ¥649,683,244.58, representing an increase of 18.12% compared to ¥550,025,687.03 in 2017[28] - The net profit attributable to shareholders for 2018 was ¥58,808,599.14, a decrease of 8.16% from ¥64,034,567.92 in 2017[28] - The net cash flow from operating activities for 2018 was ¥5,125,028.59, a significant decrease of 87.07% compared to ¥39,622,302.08 in 2017[28] - The total assets at the end of 2018 were ¥1,444,148,387.35, an increase of 63.99% from ¥880,613,557.31 at the end of 2017[28] - The net assets attributable to shareholders at the end of 2018 were ¥613,456,738.04, an increase of 8.58% from ¥564,989,048.35 at the end of 2017[28] - The basic earnings per share for 2018 was ¥0.27, down 18.18% from ¥0.33 in 2017[28] - The diluted earnings per share for 2018 was also ¥0.27, reflecting the same decrease of 18.18% from ¥0.33 in 2017[28] - The weighted average return on equity for 2018 was 9.98%, down from 14.98% in 2017, indicating a decline of 5.00%[28] Market Expansion and Strategy - The company is focusing on expanding its market presence in Southeast Asia, targeting a 25% increase in market share by 2020[6] - User data indicates a growth in customer base by 20%, reaching a total of 1,000 active clients[6] - The company has established stable supply channels for raw materials, ensuring a reliable procurement process for its production needs[46] - The sales model includes direct sales and trading company agency sales, with a focus on major markets in mainland China, Europe, Taiwan, and Southeast Asia[48] - The company aims to enhance its market expansion and customer service capabilities to increase revenue and net profit levels, striving to become an internationally recognized producer of high-purity metals and sputtering targets[57] - The company has established a complete and strict quality control and management system to ensure the reliability and quality of its high-purity sputtering targets, which are critical for the semiconductor and solar cell industries[67] Research and Development - The company has allocated RMB 100 million for R&D in new technologies, aiming to enhance production efficiency by 30%[6] - The company is focused on the research and development of high-purity sputtering targets, which are essential materials for the electronics and information industries, indicating a robust market demand[55] - The company has obtained a total of 228 domestic authorized patents, including 182 invention patents, indicating a strong focus on technological innovation and product development[64] - The number of R&D personnel increased to 122, representing 15.50% of the total workforce, indicating a focus on enhancing research capabilities[145] - The company has developed strong technical research and production capabilities, allowing for customized product production and technical services based on customer requirements[190] Product Development and Innovation - New product development includes advanced sputtering targets, expected to contribute an additional RMB 300 million in revenue in 2019[6] - The company has achieved mass supply of ultra-pure metal sputtering targets for the 7nm technology node, indicating its strong position in the semiconductor manufacturing sector[37] - The production of aluminum targets, which require a purity of 99.9995% (5N5), has been widely applied in semiconductor chips, flat panel displays, and solar cells[38] - Titanium targets and rings are primarily used in advanced semiconductor manufacturing processes, showcasing the company's focus on high-tech applications[40] - The company has developed proprietary technologies that improve cost efficiency and production capabilities, allowing for competitive pricing against multinational corporations[70] Financial Management and Investments - The company has successfully completed the fundraising project for "Supplementing Working Capital and Repaying Bank Loans" as planned after its IPO in 2017[99] - The company adjusted the fundraising allocation, increasing the investment in the "Annual Production of 400 Tons of Molybdenum Sputtering Target Material Project" by RMB 25 million, while reducing the investment in the "Analysis and Testing and Customer Support Service Center Construction Project" by RMB 25 million[100] - The company has confirmed that there are no issues with the disclosure of fundraising usage, ensuring compliance with regulations[166] - The total amount raised from the IPO was ¥253.76 million, with a net amount of ¥219.23 million after deducting fees[158] Risks and Challenges - Future risks include fluctuations in raw material prices, which could impact profit margins by up to 5%[6] - The company faces risks in new product development due to the high costs and long cycles associated with electronic sputtering targets, but it has accumulated significant experience and technology reserves to mitigate these risks[198] - The company acknowledges the cyclical nature of the semiconductor industry and plans to increase investments in technology and market development to mitigate potential business slowdowns[200] Customer and Market Relationships - The company has become a major supplier of high-purity sputtering targets for leading clients such as TSMC, SK Hynix, and SMIC, enhancing its market position in the semiconductor sector[74] - The company successfully entered the flat panel display market, with significant sales growth in aluminum, copper, and titanium targets, becoming a key supplier for major manufacturers[81] - The company actively participates in global market competition, supplying major clients such as TSMC, UMC, and SMIC[190] Production and Capacity - The "Annual Production of 300 Tons of Electronic Grade Ultra-Pure Aluminum Production Project" achieved a production capacity of 200 tons, generating a profit of RMB 2.201 million in 2018, enhancing the company's competitiveness and risk resistance[104] - The "Annual Production of 400 Tons of Molybdenum Sputtering Target Material Project" has completed basic construction and some equipment installation, with the first batch of self-developed high-purity molybdenum sputtering targets successfully produced[105] - The company’s products, including 300mm wafer target materials, are now in mass production for semiconductor chips at 90-7nm technology nodes[89] Subsidiaries and Joint Ventures - The company established two wholly-owned subsidiaries in Japan and Guangdong to expand its market presence and improve supply chain management[107] - The establishment of the wholly-owned subsidiary KFMI JAPAN in Tokyo, with a capital of JPY 301 million, aims to enhance procurement and sales operations in Japan[110] - Guangdong Jiangfeng was established with a registered capital of RMB 100 million to meet the growing demand for sputtering targets in the South China market[111]

Financial Performance - Operating revenue for the period reached CNY 173,304,703.72, a growth of 24.82% year-on-year[7] - Net profit attributable to shareholders was CNY 20,595,250.10, reflecting a 14.19% increase compared to the same period last year[7] - The net profit after deducting non-recurring gains and losses was CNY 19,477,649.98, up by 20.41% year-on-year[7] - The basic earnings per share for the period was CNY 0.09, an increase of 12.50% year-on-year[7] - The total profit for the period was CNY 21,814,463.28, an increase of 22.1% compared to CNY 17,850,125.29 in Q3 2017[40] - Net profit for the current period was ¥51,007,394.54, up 30.5% from ¥39,102,763.81 in the previous period[48] - Basic and diluted earnings per share increased to ¥0.23 from ¥0.21, reflecting a 9.5% growth[48] Assets and Liabilities - Total assets increased by 28.02% to CNY 1,127,333,745.01 compared to the end of the previous year[7] - Current liabilities surged to CNY 474.88 million, compared to CNY 189.68 million at the start of the year, reflecting a substantial increase in short-term borrowings[30] - The company's total assets grew to CNY 1,127.33 million, a significant increase from CNY 880.61 million at the beginning of the year[30] - The total equity attributable to shareholders increased to CNY 599.58 million, compared to CNY 564.99 million at the beginning of the year[30] Cash Flow - The company reported a net cash flow from operating activities of CNY -17,300,272.63, a decline of 168.95%[7] - Cash flow from operating activities showed a net outflow of ¥17,300,272.63, compared to a net inflow of ¥25,090,044.84 in the previous period[51] - Cash and cash equivalents increased by 61.70% to RMB 239,394,894.03 compared to the end of the previous year, primarily due to the increase in short-term bank loans for financing[16] - Cash and cash equivalents at the end of the period totaled ¥231,552,996.63, an increase from ¥136,683,962.05 at the end of the previous period[52] - The net cash flow from financing activities increased to ¥220,532,225.09 from ¥130,788,466.38 in the previous period, indicating stronger financing capabilities[52] Expenses - Total operating costs amounted to CNY 152.59 million, up 24.4% from CNY 122.67 million year-on-year[35] - Research and development expenses increased by 45.75% to ¥32,090,536.36, reflecting the company's intensified focus on technology development[18] - Financial expenses dropped significantly by 94.14% to ¥582,942.97, primarily due to a substantial decrease in exchange loss compared to the previous year[18] - The company reported a decrease in financial expenses to ¥254,894.67 from ¥10,041,260.48 in the previous period, indicating improved financial management[46] Inventory and Prepayments - Inventory increased by 45.10% to RMB 212,779,983.04, driven by market expansion and increased stock to meet customer orders[16] - Prepayments rose significantly by 344.45% to RMB 20,119,084.82, mainly due to increased advance payments for materials[16] - The total inventory rose to ¥212,779,983.04, up from ¥146,645,648.72, indicating a strategic increase in stock levels to meet customer demand[28] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 36,390[11] - The largest shareholder, Yao Lijun, holds 28.27% of the shares, with 61,832,716 shares pledged[11] Government Subsidies and Tax - Government subsidies recognized in the current period amounted to CNY 10,350,452.23[8] - Tax and additional fees decreased by 36.19% to ¥1,897,667.24 compared to the same period last year, mainly due to reductions in urban construction tax and education fees[18] - The company received tax refunds amounting to ¥24,552,936.28, a significant increase of 3377.82% compared to the previous year, primarily from increased export tax rebates[19] Comprehensive Income - The total comprehensive income for the period was CNY 20,858,947.28, compared to CNY 18,182,376.55 in Q3 2017, reflecting a growth of 14.8%[38] - Total comprehensive income attributable to the parent company was ¥46,188,730.24, compared to ¥38,432,977.28 in the previous period, marking a 20.5% increase[45]

Financial Performance - The company reported a revenue of 1.5 billion RMB for the first half of 2018, representing a year-on-year increase of 20%[3]. - Total revenue for the reporting period reached ¥295,722,100.38, an increase of 18.11% compared to ¥250,377,670.30 in the same period last year[21]. - Net profit attributable to shareholders was ¥24,593,736.38, reflecting a growth of 19.48% from ¥20,584,008.10 year-on-year[21]. - The company reported a significant increase in revenue for the first half of 2018, achieving a total of 1.2 billion RMB, representing a year-on-year growth of 25%[123]. - The company achieved a revenue of RMB 295.72 million in the first half of 2018, representing an 18.11% increase compared to RMB 250.38 million in the same period last year[81]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion CNY for the first half of 2018, representing a year-on-year growth of 20%[137]. - The net profit after deducting non-recurring gains and losses decreased by 2.13% to 18.55 million yuan[65][67]. Profitability and Margins - The gross profit margin improved to 35%, up from 30% in the same period last year[3]. - The gross margin for the first half of 2018 improved to 35%, up from 30% in the same period last year, reflecting better cost management[124]. - The weighted average return on equity decreased to 4.27% from 5.07% year-on-year, a drop of 0.80%[21]. - The company faces risks related to raw material price fluctuations and international trade policies[3]. Research and Development - The company plans to invest 200 million RMB in R&D for new product development in the semiconductor materials sector[3]. - The company's research and development expenses for the first half of 2018 amounted to RMB 19.43 million, accounting for 6.57% of total revenue, which is a 42.93% increase from the previous year[77]. - The company is investing heavily in R&D, with a budget increase of 30% to enhance product innovation and technology development[126]. - The company emphasizes continuous R&D investment to mitigate risks associated with new product development and maintain core technology[107]. Market Expansion and Strategy - The company has expanded its market presence in Southeast Asia, achieving a 25% growth in sales in that region[3]. - The company is actively expanding into new application areas such as LCDs and solar cells, leveraging its technology and customer resources from the semiconductor market[60]. - The company plans to increase investment in technology development and market expansion to enhance market share and operational performance[110]. - The company is considering strategic acquisitions to bolster its market position, with potential targets identified in the electronic materials sector[126]. Customer and Client Relationships - User data indicates a 15% increase in the number of active clients compared to the previous year, reaching 1,200 clients[3]. - The company has established stable supply relationships with major clients such as SMIC, TSMC, and Toshiba, which supports steady growth in operating income and performance[59]. - The company has established a professional technical service team to quickly respond to customer needs and issues, enhancing customer service levels[57]. Financial Position and Cash Flow - The net cash flow from operating activities was negative at ¥-13,195,762.87, a decline of 189.66% compared to ¥14,717,882.87 in the previous year[21]. - The cash balance at the end of the reporting period was 255.67 million yuan, an increase of 72.69% compared to the end of the previous year, mainly due to an increase in short-term borrowings during the reporting period[47]. - Total liabilities reached CNY 530,802,661.79, compared to CNY 312,663,212.44 at the beginning of the period, marking an increase of around 69.9%[191]. Shareholder and Stock Management - The company commits to holding a board meeting within three trading days to discuss the stock price stabilization plan if the conditions for repurchase are met[128]. - The company will disclose the repurchase plan and necessary approvals within three trading days after the board resolution is made[128]. - The company emphasizes that the repurchase decision requires approval from more than half of the board members and two-thirds of the voting rights at the shareholders' meeting[128]. - The company is committed to enhancing shareholder returns and reducing the risk of dilution from public offerings[132]. Risks and Challenges - The company faces exchange rate fluctuation risks, particularly with high foreign sales revenue primarily settled in USD and JPY, which could affect competitiveness and net profit[114][115]. - The semiconductor industry is characterized by cyclical development and market fluctuations, impacting the company's business performance[110]. - There is a risk that investment projects may not achieve expected returns due to market environment changes and challenges in customer development[112]. Corporate Governance and Compliance - The management emphasized the importance of compliance with regulatory standards to maintain investor confidence and protect shareholder interests[126]. - The company has not engaged in any significant related party transactions during the reporting period, ensuring transparency and independence in operations[146]. - The company has committed to environmental sustainability, ensuring compliance with all relevant regulations and not being classified as a major polluter[145].

Financial Performance - Total revenue for Q1 2018 was ¥138,635,560.25, an increase of 19.97% compared to ¥115,555,450.57 in the same period last year[7] - Net profit attributable to shareholders was ¥13,112,777.74, representing a growth of 36.74% from ¥9,589,666.96 year-on-year[7] - The net profit for the reporting period increased, although the net profit after deducting non-recurring gains and losses decreased year-on-year[34] - The net profit attributable to shareholders for Q1 2018 was 13.11 million CNY, a year-on-year increase of 20.08% from 10.92 million CNY in the same period last year[35] - The net profit attributable to shareholders after deducting non-recurring gains and losses was 8.74 million CNY, a decrease of 14.50% compared to 10.22 million CNY in the same period last year[35] - The company reported a gross profit of ¥9,503,329.10, with a gross margin of approximately 6.86%[55] - The comprehensive income totalled ¥12,900,965.62, compared to ¥9,393,583.17 in the previous year, indicating a growth of approximately 37.00%[57] Cash Flow and Liquidity - The net cash flow from operating activities was -¥6,785,228.91, showing a slight improvement of 2.05% compared to -¥6,926,977.04 in the previous year[7] - Cash and cash equivalents saw a net increase of ¥34,043,602.80, a substantial rise compared to the previous year[32] - Operating cash inflow for the current period reached ¥161,707,471.14, an increase of 19.5% compared to ¥135,277,247.32 in the previous period[63] - Cash inflow from financing activities was ¥123,692,777.97, compared to ¥116,069,418.58 in the previous period, leading to a net cash flow of ¥78,186,246.80[64] - The ending balance of cash and cash equivalents increased to ¥173,967,343.84 from ¥77,292,883.81 in the previous period[64] - The company reported a net cash flow from financing activities of ¥78,239,684.30, an increase from ¥37,833,459.75 in the previous period[67] Assets and Liabilities - Total assets at the end of the reporting period reached ¥971,381,493.43, reflecting a 10.31% increase from ¥880,613,557.31 at the end of the previous year[7] - Total current assets increased to CNY 506,068,016.33 from CNY 439,798,369.58, representing a growth of approximately 15.0%[47] - Total liabilities rose to CNY 390,530,182.94 from CNY 312,663,212.44, an increase of approximately 25.0%[49] - Total equity increased to CNY 580,851,310.49 from CNY 567,950,344.87, representing a growth of approximately 2.5%[50] Shareholder Information - As of the end of the reporting period, the total number of common shareholders was 34,901, with the top 10 shareholders holding significant stakes[25] - The largest shareholder, Yao Lijun, holds 28.27% of shares, amounting to 61,832,716 shares, with a portion pledged[25] - The second-largest shareholder, Shanghai Zhiding Boneng Investment Partnership, holds 8.46% of shares, totaling 18,507,072 shares, also pledged[25] - The company has a total of 10 major shareholders, with significant percentages of shares pledged, indicating potential liquidity risks[25] Market and Operational Risks - The company faces risks in new product development due to the high costs and long cycles associated with electronic sputtering target materials[9] - Market promotion risks exist for new products due to stringent certification requirements from chip manufacturers[10] - The semiconductor industry is subject to cyclical fluctuations, which may impact the company's business performance[11] - The company faces risks related to investment projects not achieving expected returns due to market environment changes and other factors[21] - Demand for LCD carbon fiber composite materials may decline if downstream LCD manufacturers slow down or halt expansion, potentially impacting the company's performance[22] - The company is exposed to exchange rate fluctuations, particularly with high foreign sales revenue in USD and JPY, which could affect competitiveness and net profit[23] Investment and R&D - Significant investments in fixed assets and R&D may lead to increased depreciation costs, impacting profitability if market development does not progress as planned[12] - The company plans to continue expanding its production capacity and investing in new R&D projects to drive future growth[33] - The company plans to establish a professional project team to ensure timely funding and effective implementation of investment projects[21] - The company has invested a total of 21,211.78 million CNY in fundraising projects, with 668.84 million CNY utilized in the current quarter[39] - The cumulative investment in fundraising projects reached 11,193.31 million CNY, representing a utilization rate of approximately 52.7%[39] Operational Efficiency - The company aims to minimize operational cost increases through efficient management practices[20] - Management expenses increased by 35.59% year-on-year, driven by rising technical development costs, employee salaries, and depreciation[30] - Financial expenses surged by 53.32% compared to the previous year, largely due to significant foreign exchange losses from currency fluctuations[30] - The company is on track to meet its 2018 operational goals, having effectively executed its annual business plan in Q1[36] - There are no significant risks or difficulties affecting the company's future operations as outlined in the report[36]

Financial Performance - The company reported a total revenue of 218,760,000 RMB for the year 2017, with a cash dividend of 0.53 RMB per 10 shares distributed to shareholders[6]. - The company's operating revenue for 2017 was ¥550,025,687.03, representing a 24.21% increase compared to ¥442,808,748.02 in 2016[21]. - The net profit attributable to shareholders for 2017 was ¥64,034,567.92, up 16.55% from ¥54,940,766.33 in 2016[21]. - The net profit after deducting non-recurring gains and losses was ¥50,674,199.62, a 14.72% increase from ¥44,170,490.44 in 2016[21]. - The total assets at the end of 2017 reached ¥880,613,557.31, a 36.13% increase from ¥646,900,667.21 at the end of 2016[21]. - The net assets attributable to shareholders increased by 95.02% to ¥564,989,048.35 from ¥289,704,893.85 in 2016[21]. - The basic earnings per share remained at ¥0.33, consistent with the previous year[21]. - The cash flow from operating activities for 2017 was ¥39,622,302.08, a decrease of 35.46% compared to ¥61,387,701.24 in 2016[21]. - The company reported quarterly revenues of ¥160,809,175.68 in Q4 2017, the highest among the four quarters[23]. - The weighted average return on equity for 2017 was 14.98%, down from 20.96% in 2016[21]. - The company reported a net profit of ¥13,360,368.30 in 2017, an increase from ¥10,770,275.89 in 2016, representing a growth of approximately 24%[27]. Market Expansion and Strategy - The company plans to expand its market presence and enhance its product offerings, focusing on new technologies and materials in the semiconductor industry[6]. - The company aims to enhance its market development and customer service capabilities to increase revenue and net profit levels, striving to become an internationally recognized producer of high-purity metals and sputtering target materials[45]. - The company has established stable supply relationships with major clients such as TSMC and SMIC, enhancing its market position in the semiconductor industry[59]. - The company has become the largest domestic producer of high-purity sputtering targets for semiconductor chips, with plans to expand into LCD and solar cell applications[60]. - The company is set to launch its first overseas factory in Malaysia in 2018, aimed at increasing sales in the solar energy sector[68]. - The company plans to continue expanding both domestic and international markets, leveraging its strong brand and quality service to increase market share[71]. Research and Development - The company specializes in the research, production, and sales of high-purity sputtering targets, with key products including aluminum, titanium, tantalum, and tungsten-titanium targets[29]. - The company has invested in advanced testing and analysis equipment to ensure product quality and support ongoing research and development efforts[54]. - In 2017, the company invested CNY 32.49 million in R&D, accounting for 5.91% of its revenue, representing a 20.85% increase from 2016[73]. - The company has established a strong technical team with international standards, which is critical for transforming substantial capital investment into operational efficiency[49]. - The company emphasizes continuous technological innovation and has established a robust R&D system to maintain its competitive edge in the high-purity sputtering target material industry[50]. - The company is actively developing core technologies for integrated circuits, with products already in mass production at client sites, expected to significantly boost sales[97]. Financial Management and Investment - The company has made significant progress in its capital operation, ensuring funding for ongoing projects and enhancing its financial stability[79]. - The company successfully completed its IPO in June 2017, raising a total of CNY 253.76 million, with a net amount of CNY 212.12 million after expenses[78]. - The company has reported government subsidies of ¥17,461,979.62 in 2017, up from ¥13,984,412.06 in 2016, indicating a significant increase in support[27]. - The company has established a complete business process that includes grain orientation control, material welding, precision processing, product testing, and cleaning packaging[37]. - The company has a total of RMB 21,211.78 million commitment for investment projects, with significant progress in its fundraising initiatives[115]. Profit Distribution and Shareholder Relations - The company has a profit distribution policy that prioritizes cash dividends, aiming to distribute at least 20% of the available profits annually[141]. - The proposed cash dividend is RMB 0.53 per 10 shares (including tax), totaling RMB 11,594,280.00 (including tax) for the current year[151]. - The cash dividend represents 100% of the total profit distribution, adhering to the minimum requirement of 20% for companies in a growth phase with significant capital expenditure[151]. - The company will actively communicate with shareholders, especially minority shareholders, to gather opinions on profit distribution proposals[150]. - The company is committed to improving investor relations by increasing transparency and actively engaging with investors through various communication channels[80]. Risks and Challenges - The semiconductor industry is subject to cyclical fluctuations, which may impact the company's business development and performance[131]. - The company faces risks in new product development due to the high costs and long cycles associated with R&D, but has accumulated significant experience to mitigate these risks[128]. - The company is exposed to foreign exchange risks due to high foreign sales revenue, primarily in USD and JPY, which could affect its competitiveness and net profit[135]. - The company is expanding its investment scale, which may lead to increased depreciation costs and potential declines in profitability if market development is not successful[131]. Future Outlook - The company provided a future outlook projecting a revenue growth of 25% for the next fiscal year, driven by new product launches and market expansion[161]. - The company aims to launch three new products in the next quarter, which are anticipated to contribute an additional 200 million RMB in revenue[161]. - The company has set a performance guidance of 1.8 billion RMB in revenue for the upcoming fiscal year, indicating a strong growth trajectory[161]. - The company plans to stabilize its stock price if it falls below the audited net asset value per share for 20 consecutive trading days[164].

宁波江丰电子材料股份有限公司 2017 年第三季度报告全文 宁波江丰电子材料股份有限公司 2017 年第三季度报告 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。 公司负责人姚力军、主管会计工作负责人于泳群及会计机构负责人(会计主 管人员)符利燕声明：保证季度报告中财务报表的真实、准确、完整。 2 宁波江丰电子材料股份有限公司 2017 年第三季度报告全文 2017-044 2017 年 10 月 1 宁波江丰电子材料股份有限公司 2017 年第三季度报告全文 对公司根据《公开发行证券的公司信息披露解释性公告第 1 号——非经常性损益》定义界定的非经常性损益项目，以及把《公 开发行证券的公司信息披露解释性公告第 1 号——非经常性损益》中列举的非经常性损益项目界定为经常性损益的项目，应 说明原因 第二节 公司基本情况 一、主要会计数据和财务指标 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 | | ...

Financial Performance - Total revenue for the reporting period reached ¥250,377,670.30, an increase of 32.46% compared to ¥189,014,957.94 in the same period last year[19]. - Net profit attributable to shareholders was ¥20,584,008.10, reflecting a growth of 34.23% from ¥15,334,576.32 year-on-year[19]. - Net profit after deducting non-recurring gains and losses was ¥18,950,403.88, up 32.76% from ¥14,274,683.14 in the previous year[19]. - Basic earnings per share increased to ¥0.11, a rise of 22.22% compared to ¥0.09 in the same period last year[19]. - Total assets at the end of the reporting period were ¥893,577,979.86, representing a 38.13% increase from ¥646,900,667.21 at the end of the previous year[19]. - Net assets attributable to shareholders grew by 80.28% to ¥522,276,260.83 from ¥289,704,893.85 at the end of the previous year[19]. - The net cash flow from operating activities was ¥14,717,882.87, down 46.48% from ¥27,501,688.37 in the same period last year[19]. - The weighted average return on equity was 5.07%, a decrease of 1.26% from 6.33% in the previous year[19]. Risk Management - The company emphasizes the importance of risk awareness regarding future plans and projections[5]. - The report includes a detailed analysis of potential risks and countermeasures faced by the company[5]. - The company faces risks related to rapid product updates and the need for continuous development to meet customer demands in the semiconductor industry[91]. - The company faces market promotion risks for new products due to strict certification requirements from chip manufacturers, which may affect large-scale sales of new sputtering target materials for 28-14nm technology nodes[93]. - The semiconductor industry is characterized by cyclical technological development and market fluctuations, which may impact the company's business growth if the industry enters a downturn[94]. - Increased investment scale and R&D expenditures may lead to a decline in profitability due to rising depreciation costs and potential market development challenges[95]. - The company plans to enhance new market development efforts to mitigate risks associated with declining profitability and control operational cost increases[96]. Research and Development - The company specializes in the research, production, and sales of high-purity sputtering targets, including aluminum, titanium, tantalum, and tungsten-titanium targets, primarily used in semiconductor, flat panel display, and solar energy industries[26]. - The company has established a diversified product R&D system focusing on high-purity sputtering targets for semiconductor chips, LCDs, and solar cells[45]. - The company emphasizes continuous technological innovation and has increased R&D investment to maintain product innovation and technological leadership[45]. - Investment in R&D increased by 25% year-on-year, focusing on advanced electronic materials technology[106]. - The company is focusing on the production of tantalum and titanium targets for the 28-14nm technology nodes, with some products already in mass production at client sites[61]. - The company is developing high-purity aluminum and molybdenum materials to enhance product quality and market competitiveness[61]. Market Expansion - The company has become the largest domestic producer of high-purity sputtering targets for semiconductor chips, competing with multinational companies from the US and Japan[54]. - The company is actively expanding into new application areas such as LCD displays and solar cells, leveraging its existing technology and customer resources from the semiconductor market[54]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% market share by 2020[105]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2018[109]. - The company is exploring partnerships with technology firms to enhance its product offerings and innovation pipeline[109]. Corporate Governance - All board members attended the meeting to review the report, ensuring accountability for its content[4]. - The financial report is guaranteed to be true, accurate, and complete by the company's management[4]. - The company is committed to maintaining transparency and compliance with regulatory requirements[11]. - The company has established a commitment to fill the dilution of immediate returns caused by public offerings through various strategies[115]. - The company is committed to enhancing the management of raised funds, ensuring they are used legally and reasonably[115]. Shareholder Returns - The company plans to limit the total amount used for stock repurchases in a fiscal year to 50% of the audited net profit attributable to shareholders of the parent company from the previous year[112]. - The company has committed to distributing at least 20% of the annual distributable profits as cash dividends, provided it is profitable and has positive retained earnings[117]. - The company plans to adopt a combination of cash and stock dividends, with the possibility of increasing the distribution ratio based on business development and profitability[118]. - The company has established a profit distribution policy that emphasizes stability and continuity in investor returns, aligning with regulatory requirements[116]. Financial Position - The total share capital increased from 164.07 million shares to 218.76 million shares after the issuance of 54.69 million new shares[143]. - The company’s stock code is 300666, and it is traded under the name "江丰电子" on the ChiNext board[144]. - The total assets of Ningbo Jiangfeng Electronic Materials Co., Ltd. reached RMB 893,577,979.86 as of June 30, 2017, an increase from RMB 646,900,667.21 at the beginning of the period, representing a growth of approximately 38.1%[168]. - The company's current assets amounted to RMB 503,039,303.24, up from RMB 306,307,218.69, indicating a growth of about 64.3%[169]. - Cash and cash equivalents increased significantly to RMB 276,667,619.23 from RMB 85,721,538.10, reflecting a growth of approximately 223.5%[168]. Operational Efficiency - The company has implemented new strategies to enhance operational efficiency, aiming for a 5% reduction in production costs by optimizing supply chain management[120]. - The company will strengthen the assessment of management and improve the performance-linked compensation system[115]. - The company intends to strictly control expenses and enhance cost management to improve profit margins[115].