Financial Performance - Operating revenue for the reporting period reached CNY 110,984,415.27, a 106.69% increase year-on-year[7] - Net profit attributable to shareholders was CNY 18,436,243.79, reflecting a growth of 17.72% compared to the same period last year[7] - The net profit after deducting non-recurring gains and losses was CNY 18,125,149.53, up by 15.95% year-on-year[7] - Basic earnings per share decreased by 33.33% to CNY 0.12 compared to the same period last year[7] - The weighted average return on equity was 2.55%, down by 12.07% year-on-year[7] - The company reported a net cash flow from operating activities of -CNY 311,915,668.99, a significant decline of 1,331.56%[7] - Total operating revenue for the current period reached ¥110,984,415.27, a significant increase from ¥53,697,020.59 in the previous period, representing a growth of approximately 106.7%[37] - Net profit for the current period was ¥19,221,666.65, up from ¥16,918,616.22 in the previous period, reflecting a growth of approximately 13.6%[39] - The total comprehensive income for the current period was ¥19,221,666.65, compared to ¥16,918,616.22 in the previous period, showing an increase of about 13.6%[40] Assets and Liabilities - Total assets increased by 62.85% to CNY 1,744,317,053.59 compared to the end of the previous year[7] - The total amount of short-term loans surged to ¥91,000,000.00, an increase of 814.57% from ¥9,950,000.00, reflecting higher borrowing[19] - The company’s total liabilities increased to ¥1,000,000,000.00, reflecting a substantial rise in financial obligations due to acquisitions and loans[19] - Total current assets increased to ¥499,709,567.42 from ¥318,168,060.18, representing a growth of approximately 57%[30] - Total non-current assets grew to ¥1,244,607,486.17 from ¥752,970,106.73, marking an increase of around 65%[31] - Total liabilities increased to ¥924,894,601.84 from ¥310,064,767.52, showing a growth of about 198%[32] - Owner's equity rose to ¥819,422,451.75 from ¥761,073,399.39, an increase of approximately 8%[32] Cash Flow - The company reported a significant increase in cash inflow from operating activities, totaling ¥271,244,072.31, a 69.51% rise from ¥160,019,527.43[20] - The cash flow from operating activities was CNY 271,244,072.31, significantly higher than CNY 160,019,527.43 in the previous period[52] - The company reported a significant increase in cash outflows for operating activities, totaling CNY 583,159,741.30, compared to CNY 181,807,989.98 in the previous period[52] - The net cash flow from operating activities was -58,813,192.06 CNY, compared to 1,073,935.40 CNY in the previous period, indicating a significant decline[57] - Cash inflow from investment activities totaled 183,573,498.03 CNY, while cash outflow was 240,078,138.13 CNY, resulting in a net cash flow of -56,504,640.10 CNY[58] - The total cash and cash equivalents at the end of the period amounted to 86,421,694.91 CNY, down from 173,298,331.10 CNY in the previous period[58] Shareholder Information - The total number of shareholders at the end of the reporting period was 17,585[11] - The largest shareholder, Zhang Bozhong, holds 21.56% of the shares, totaling 34,500,000 shares[11] Research and Development - Research and development expenses increased by 119.22% to ¥8,435,442.30, up from ¥3,847,879.38, indicating a focus on innovation[20] - Research and development expenses for the third quarter amounted to CNY 5,762,661.82, up from CNY 3,393,553.14 in the previous period, indicating a growth of about 69.5%[50] Strategic Initiatives - The company plans to expand its market presence and invest in new technologies to drive future growth[31] - The company plans to continue its market expansion and invest in new technologies to enhance its competitive position in the industry[39] Profitability Metrics - The company reported a gross profit margin of approximately 19% for the current period, compared to 30% in the previous period, indicating a decline in profitability[37] - The basic and diluted earnings per share for the current period were both ¥0.12, down from ¥0.18 in the previous period, indicating a decrease of approximately 33.3%[39] Investment Income - Investment income surged by 809.58% to ¥1,042,591.93, compared to ¥114,623.52, primarily due to increased bank wealth management products[20] - The company recognized investment income of CNY 160,795.79 during the current period[51] Acquisition Activity - The company completed the acquisition of a 90% stake in Lankao Ronghua Water Industry Co., Ltd. on September 11, 2018, enhancing its market position[21] - The company’s goodwill reached ¥33,403,364.83, attributed to the recent acquisition, indicating growth through strategic investments[19]

Revenue and Profitability - Total operating revenue for the reporting period was ¥141,985,747.09, an increase of 85.92% compared to the same period last year[25]. - Net profit attributable to shareholders was ¥23,009,331.55, representing a growth of 22.56% year-on-year[25]. - The company achieved operating revenue of 141.99 million yuan, representing a year-on-year growth of 85.92%[51]. - The net profit attributable to shareholders reached 23.01 million yuan, with a year-on-year increase of 22.56%[51]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was 21.16 million yuan, reflecting a year-on-year growth of 15.38%[51]. - Revenue from the wastewater treatment business accounted for 43.39% of total revenue, while environmental engineering business revenue made up 54.34%[51]. - The environmental engineering business saw significant growth, achieving revenue of 77.15 million yuan, a year-on-year increase of 313.18%[51]. - The company reported a total of 23,000,000 shares held by Chairman Zhang Bozhong, with an increase of 11,500,000 shares during the reporting period, resulting in a total of 34,500,000 shares held at the end of the period[152]. Financial Position - Total assets at the end of the reporting period reached ¥1,284,606,273.85, up 19.93% from the end of the previous year[26]. - The company reported a total of CNY 20,006.83 million raised from the public offering, with CNY 19,766.43 million already utilized by June 30, 2018[75]. - The company has significant restricted assets totaling CNY 64.74 million, primarily due to loans and pledges[66]. - The company’s total assets at the end of the current period are 341,132,914.56, reflecting growth in asset base[197]. - The total liabilities at the beginning of the year were 2,384,122.11 yuan, indicating the company's financial obligations[190]. Cash Flow and Investment - Net cash flow from operating activities was -¥191,208,571.06, a significant decrease of 14,047.73% compared to the previous year[25]. - The cash flow from investment activities saw a significant increase of 399.80%, amounting to ¥70,303,655.82 compared to ¥14,066,300.21 in the previous year, mainly due to bank wealth management product redemptions[56]. - The company received 405,350,000.00 CNY from investment recoveries, a significant increase from 16,400,000.00 CNY in the previous period[179]. - The company reported a net cash outflow from investment activities of -82,662,323.67 CNY, compared to -5,978,836.75 CNY in the previous period, highlighting increased investment expenditures[183]. Risk Management - The company plans to enhance its internal risk management system for PPP projects to mitigate investment risks associated with policy and market changes[7]. - The company acknowledges the risk of exceeding water quality standards due to new national emission regulations, which may lead to penalties[8]. - The company emphasizes the importance of financial management and internal controls to support its growth strategy[10]. - The company plans to invest more resources in accounts receivable and cash flow management, cost management, and internal controls to mitigate risks associated with rapid growth[91]. Business Strategy and Expansion - The company aims to become a national comprehensive environmental governance service provider, focusing on wastewater treatment and environmental engineering[34]. - The company is actively exploring new business models in the environmental protection sector, particularly through PPP initiatives[7]. - The company is expanding its business into water ecological restoration and related services, enhancing its competitive edge in the market[34]. - The company plans to expand its market presence through new projects and potential acquisitions in the environmental protection sector[67]. - The company is focused on expanding its market presence through strategic partnerships and technological advancements in waste management[70]. Shareholder and Capital Structure - The company’s total share capital increased to 160,005,000 shares after a capital reserve conversion, with a cash dividend of ¥0.5 per 10 shares distributed to shareholders[24]. - The company distributed a cash dividend of RMB 0.5 per share and increased its share capital by 50% based on the total share capital of 10,667 million shares as of December 31, 2017[135]. - The company plans to release 40,000,000 shares from lock-up, increasing the total number of shares to 120,000,000[140]. - The company has a total of 80,000,000 restricted shares before the current period, with no shares released during this period[140]. Environmental Compliance and Performance - The company is classified as a key pollutant discharge unit by environmental protection authorities, indicating its significant role in environmental management[122]. - The company has ongoing projects that include the transfer of water supply assets, with an asset valuation of 18,932 million yuan[121]. - The company is actively involved in environmental compliance, with no reported cases of exceeding discharge limits for key pollutants[122]. - The company has established emergency response plans for environmental incidents in accordance with regulatory requirements[126]. Management and Operational Efficiency - The company is focusing on improving management capabilities to adapt to the complexities arising from business expansion[10]. - The company is focusing on enhancing project management to ensure timely and quality delivery of key projects, which is expected to support continued growth in its environmental engineering and wastewater treatment businesses[52]. - The company has developed core technologies for urban wastewater treatment and industrial wastewater management, enhancing its competitive edge[42]. - The company has not experienced any major litigation or arbitration matters during the reporting period[100].

Financial Performance - Total revenue for Q1 2018 was ¥50,104,613.22, representing a 45.38% increase compared to ¥34,464,750.71 in the same period last year[8] - Net profit attributable to shareholders was ¥8,089,472.57, up 12.37% from ¥7,198,721.31 year-on-year[8] - Basic earnings per share decreased by 11.11% to ¥0.08 from ¥0.09 in the previous year[8] - The company reported a total revenue of CNY 50.10 million for the period, representing a year-on-year increase of 45.38% primarily due to increased revenue from environmental engineering projects[21] - In Q1 2018, the company achieved operating revenue of 50.10 million yuan, an increase of 45.38% year-on-year[22] - The net profit attributable to shareholders was 8.09 million yuan, representing a year-on-year growth of 12.37%[22] - The net profit for the period was CNY 8,739,161.60, compared to CNY 7,724,458.63 in the previous year, reflecting an increase of approximately 13.1%[46] - The profit attributable to the parent company's shareholders was CNY 8,089,472.57, up from CNY 7,198,721.31, marking a growth of about 12.4%[46] Cash Flow and Liquidity - The net cash flow from operating activities was -¥51,890,784.22, a decline of 25.60% compared to -¥41,313,194.48 in the same period last year[8] - Cash and cash equivalents at the end of the reporting period amounted to CNY 49.60 million, an increase of 79.64% compared to the end of the previous year, mainly due to the maturity of financial products during the period[20] - Cash inflows from operating activities totaled CNY 48,158,849.30, up from CNY 30,513,921.85 in the previous period, representing a growth of approximately 57.9%[53] - Cash outflows from operating activities amounted to CNY 100,049,633.52, compared to CNY 71,827,116.33 in the previous period, indicating an increase of about 39.4%[53] - The net cash flow from investment activities was CNY 77,142,314.20, compared to CNY 9,581,626.59 in the previous period, showing a substantial increase[54] - The ending balance of cash and cash equivalents was CNY 49,604,635.50, compared to CNY 23,276,056.40 in the previous period, reflecting a significant increase[54] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,056,723,986.26, down 1.35% from ¥1,071,138,166.91 at the end of the previous year[8] - The company's total assets decreased to CNY 716,776,602.22 from CNY 731,320,989.97, a decline of approximately 2.0%[42] - The total liabilities decreased to 286,911,425.27 yuan from 310,064,767.52 yuan, showing a reduction of approximately 7.5%[39] - The total liabilities decreased from CNY 143,725,598.13 to CNY 128,149,530.72, representing a reduction of about 10.9%[42] - The company's equity attributable to shareholders increased to 705,558,998.78 yuan from 697,469,526.21 yuan, marking a growth of about 1.6%[39] Operational Highlights - The company's operating costs increased by 92.73% to CNY 33.22 million, attributed to a higher volume of engineering project activities[20] - The total operating costs amounted to CNY 41,189,298.50, up from CNY 26,059,600.06, indicating a rise of about 58.2%[44] - The company recorded an investment income of CNY 0.77 million, a significant increase of 893.45% year-on-year, driven by higher returns from financial investments[20] - The company reported an operating profit of CNY 12,313,718.95, an increase from CNY 8,482,433.37, which is a growth of approximately 45.5%[45] Risks and Challenges - The company faces risks related to customer concentration, with a high dependency on a few major clients, which could impact revenue stability[11] - The company is exploring new business models such as PPP in the environmental sector, which carries inherent uncertainties and risks[11] - The company is facing risks related to project delays due to government land acquisition issues[22] - Management is focused on enhancing internal controls and risk management to mitigate potential risks associated with business expansion[12] Shareholder Information - The company announced a cash dividend of 0.5 yuan per 10 shares, totaling a distribution based on 10,667,000 shares, alongside a capital reserve conversion of 5 shares for every 10 shares held[28] - The company has not experienced significant changes in its top five suppliers, which will not impact operations[22] - Changes in the top five customers occurred due to the nature of project-based contracts, leading to a dynamic customer base[22] Fund Utilization - The company has invested a total of 14.67 million yuan from the raised funds, with 2.54 million yuan invested in the current quarter[25] - The total amount of raised funds is 200.07 million yuan, with no changes in usage reported[25] - As of March 31, 2018, the company had 54.83 million yuan of unutilized raised funds, with 30 million yuan invested in financial products[27] - The company has a commitment to replace self-raised funds with raised funds amounting to approximately 94.77 million yuan[27] Compliance and Audit - The report for the first quarter was not audited[58] - The company reported no non-compliance with external guarantees during the reporting period[30] - There were no significant changes in net profit or warnings of potential losses compared to the previous year[29] - The company did not report any non-operating fund occupation by controlling shareholders or related parties during the reporting period[31]

Customer Concentration and Revenue - The top five customers accounted for 63.88% of the total revenue, indicating a high customer concentration risk [4] - The wastewater treatment business accounted for 50.44% of total revenue, while the environmental engineering business contributed 49.49% [47] - The Anhui region contributed 70% of total revenue, with a significant year-on-year growth of 58.68% [52] - In Anhui region, revenue was ¥162,764,163.88, up 34.03% year-on-year, while Shandong region saw a 52.94% increase to ¥69,768,718.07 [55] Financial Performance - The company's operating revenue for 2017 was CNY 232,532,881.95, representing a 30.72% increase compared to CNY 177,891,397.43 in 2016 [23] - The net profit attributable to shareholders for 2017 was CNY 50,688,840.99, a 9.74% increase from CNY 46,187,847.24 in 2016 [23] - The net cash flow from operating activities was negative CNY 92,453,543.85, a decline of 216.36% compared to positive CNY 79,455,116.27 in 2016 [23] - The total assets at the end of 2017 amounted to CNY 1,071,138,166.91, a 32.48% increase from CNY 808,533,929.60 at the end of 2016 [23] - The net assets attributable to shareholders increased by 56.13% to CNY 697,469,526.21 at the end of 2017 from CNY 446,712,424.84 at the end of 2016 [23] Cash Dividend and Profit Distribution - The company plans to distribute a cash dividend of 0.50 RMB per 10 shares, with a capital reserve conversion of 5 shares for every 10 shares held [10] - The total distributable profit for the year 2017 is reported at 168,124,395.36 CNY [107] - The cash dividend policy stipulates that at least 10% of the distributable profit must be distributed as cash dividends annually, contingent on positive distributable profits and sufficient cash flow [105] - The company has a policy to distribute at least 20% of profits as cash dividends when in a growth phase with significant capital expenditures [108] - The company’s profit distribution decision-making process involves consultation with independent directors and requires a two-thirds majority approval from the board [106] Risk Management and Operational Challenges - All operating income is generated from Anhui and Shandong provinces, which may impact profitability and hinder business expansion in other regions [4] - Investment projects are subject to risks from changes in national policies and macroeconomic conditions, potentially delaying project completion and cash flow [6] - The company recognizes risks associated with investment projects, including potential delays and financial impacts due to changes in national policies and market conditions [98] - The company is committed to managing risks related to the new PPP business model, including policy uncertainties and project profitability concerns [98] Growth Strategies and Market Expansion - The company aims to enhance its competitive edge by expanding its market presence and investing in technology innovation in the wastewater treatment and environmental engineering sectors [34] - The company plans to accelerate market expansion across China, currently concentrated in Anhui and Shandong provinces, by enhancing team building and increasing R&D investment [96] - The company is actively exploring new strategies to enhance its market position and operational scale through potential mergers and acquisitions [94] - The company aims to expand its water treatment business, focusing on urban sewage and industrial park wastewater treatment, to establish a foundational revenue stream and connect with clients [95] Research and Development - Research and development (R&D) investment amounted to 8,104,494.95 yuan, accounting for 3.49% of operating revenue, up from 2.23% in 2016 [63] - The number of R&D personnel increased to 43, representing 14.53% of the total workforce, compared to 8.39% in 2016 [63] - The company is investing 50 million RMB in research and development for sustainable technologies over the next two years [185] Environmental and Technological Focus - The company is actively exploring PPP business models in the environmental sector, but faces uncertainties related to policy and project profitability [7] - The company has established a strong position in the wastewater treatment sector, focusing on urban sewage and industrial wastewater treatment, and has developed core technologies for efficient treatment processes [39] - The wastewater treatment industry in China is experiencing rapid growth, with a significant increase in the number of treatment plants and urban coverage, yet it remains in its early stages [38] Governance and Compliance - The company has established a clear and transparent decision-making mechanism for profit distribution, ensuring the protection of minority shareholders' rights [107] - The company has committed to maintaining transparency and accountability in its financial reporting practices [121] - The company has a clear governance structure with independent directors ensuring oversight and strategic guidance [178] Shareholder and Management Information - The total remuneration for directors, supervisors, and senior management during the reporting period was 1.5245 million CNY [195] - The company employed a total of 296 staff, including 127 production personnel, 11 sales personnel, 100 technical personnel, 24 financial personnel, and 34 administrative personnel [198] - The management team includes professionals with advanced degrees and significant industry experience, contributing to the company's operational effectiveness [180]

Financial Performance - Operating revenue for the reporting period was ¥53,697,020.59, representing a year-on-year growth of 37.99%[7] - Net profit attributable to shareholders was ¥15,661,228.06, up 9.49% compared to the same period last year[7] - The net profit after deducting non-recurring gains and losses was ¥15,632,103.14, reflecting a 9.75% increase year-on-year[7] - Operating profit for the current period was ¥19,521,629.43, compared to ¥12,307,137.89 in the previous period, reflecting a growth of approximately 58.8%[38] - Net profit for the current period was ¥16,918,616.22, an increase from ¥14,535,105.53, which is a growth of around 16.4%[38] - Total comprehensive income for the current period was ¥16,918,616.22, compared to ¥14,535,105.53, indicating an increase of about 16.4%[39] - The company's total operating revenue for the year-to-date reached ¥130,065,805.61, up from ¥101,512,360.68, representing a growth of approximately 28.2%[44] Assets and Liabilities - Total assets at the end of the reporting period reached ¥1,028,544,145.93, an increase of 27.21% compared to the previous year[7] - Net assets attributable to shareholders increased by 52.50% to ¥681,216,543.88 from ¥446,712,424.84[7] - Total current assets increased to CNY 361,788,256.71 from CNY 189,898,725.61, representing an increase of approximately 90.5%[29] - Total non-current assets amounted to CNY 666,755,889.22, up from CNY 618,635,203.99, indicating a growth of approximately 7.1%[30] - The total liabilities decreased to CNY 289,864,396.16 from CNY 313,017,407.52, reflecting a decline of about 7.4%[31] - Total current liabilities decreased to CNY 139,159,779.43 from CNY 162,874,505.73, a reduction of approximately 14.5%[31] Cash Flow - The net cash flow from operating activities was negative at -¥21,788,462.55, a decline of 128.03% compared to the previous year[7] - Net cash flow from investing activities increased by 303.81% to CNY 13.19 million, due to reduced fixed asset investments[19] - Net cash flow from financing activities increased by 306.69% to CNY 163.95 million, primarily from funds raised during the period[19] - The company reported a net cash outflow from operating activities of CNY -21,788,462.55, contrasting with a net inflow of CNY 77,732,368.89 in the previous year[53] - The net cash flow from financing activities was 185,396,302.70 CNY, a substantial improvement from -26,155,679.96 CNY year-over-year[56] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 24,743[11] - The top ten shareholders held a combined 72.56% of the company's shares, with the largest shareholder holding 21.56%[11] - The company issued 26.67 million shares, which began trading on the Shenzhen Stock Exchange on August 21, 2017[20] Inventory and Prepayments - Prepayments increased by 389.6% to CNY 6.75 million, attributed to increased advance payments for ongoing environmental projects[18] - Inventory rose by 338.46% to CNY 45.52 million, primarily due to the increase in unsettled environmental project costs[18] - Inventory surged to CNY 45,517,477.96 from CNY 10,381,313.24, reflecting an increase of about 338.5%[29] Earnings Per Share - The basic earnings per share remained at ¥0.18, unchanged from the previous year, while diluted earnings per share also stood at ¥0.18[7] - Earnings per share (EPS) remained stable at ¥0.18 for both the current and previous periods[39] - Earnings per share (EPS) for Q3 2017 was CNY 0.42, compared to CNY 0.33 in Q3 2016, reflecting a 27.3% increase[47]