Revenue and Profitability - The company's revenue for Q3 2021 reached ¥702,702,988.74, representing a 33.02% increase year-over-year, while the year-to-date revenue was ¥1,921,972,737.10, up 48.04% compared to the same period last year[4] - Net profit attributable to shareholders decreased by 51.45% in Q3 2021 to ¥39,978,461.05, with a year-to-date net profit of ¥178,585,516.84, reflecting a 3.96% increase year-over-year[4] - Total operating revenue for Q3 2021 reached CNY 1,921,972,737.10, an increase of 48.0% compared to CNY 1,298,262,896.47 in the same period last year[22] - Net profit for Q3 2021 was CNY 178,218,339.79, representing a 3.0% increase from CNY 171,789,390.85 in the previous year[24] - Earnings per share (EPS) for Q3 2021 were CNY 0.53, down from CNY 1.01 in the same quarter last year[25] Assets and Liabilities - The company's total assets increased by 68.57% to ¥5,863,828,932.26 compared to the end of the previous year, while equity attributable to shareholders rose by 118.43% to ¥2,919,219,811.79[5] - The company's total liabilities reached CNY 2,942,036,297.52, an increase from CNY 2,142,127,291.78 year-on-year[22] - As of September 30, 2021, total current assets amounted to 4,788,887,973.30 RMB, up from 2,553,545,529.18 RMB at the end of 2020[20] - The total assets of the company reached CNY 5,863,828,932.26, compared to CNY 3,478,576,453.06 in the previous year, indicating significant growth[22] Cash Flow - Cash flow from operating activities showed a negative net amount of ¥460,137,515.45 year-to-date, a decline of 16.56% compared to the previous year[4] - The net cash flow from operating activities for the year-to-date period was -460,137,515.45 RMB, a decrease of 16.56% compared to the same period last year, primarily due to rising raw material prices and overdue commercial acceptance bills from Evergrande[13] - The net cash flow from investing activities was -746,194,527.97 RMB, reflecting a 33.15% increase year-over-year, mainly due to increased payments for engineering equipment and performance guarantees[13] - The net cash flow from financing activities surged to 1,894,324,867.08 RMB, a significant increase of 507.40% compared to the previous year, primarily due to stock issuance to specific investors and equity incentives[13] - The ending balance of cash and cash equivalents was 1,143,183,274.90 CNY, up from 123,913,468.10 CNY in the previous year, marking an increase of about 820.5%[28] Operating Costs and Expenses - The company experienced an 80.89% increase in operating costs, totaling ¥1,330,200,977.50, primarily due to higher sales volume and rising raw material prices[12] - Total operating costs amounted to CNY 1,690,714,185.99, up 62.0% from CNY 1,044,505,392.17 year-on-year[22] - Research and development expenses for the year-to-date period reached ¥97,746,054.71, marking a 53.11% increase compared to the previous year, indicating a focus on innovation[12] - Research and development expenses for Q3 2021 were CNY 97,746,054.71, compared to CNY 63,842,191.49 in the same period last year, indicating a focus on innovation[22] - The company reported a decrease in sales expenses to CNY 128,362,535.10 from CNY 161,688,564.76 year-on-year, reflecting improved cost management[22] Accounts Receivable and Customer Relations - The company reported a significant increase in accounts receivable, which rose by 82.10% to ¥1,572,179,051.85, attributed to increased market expansion and marketing efforts[9] - Accounts receivable increased to 1,572,179,051.85 RMB from 863,348,635.25 RMB year-over-year, indicating a substantial rise in credit extended to customers[20] - The company reported overdue commercial acceptance bills totaling 14,909.72 million RMB, with a total receivable balance from Evergrande Group and its affiliates amounting to 188.32 million RMB[17] - The company has halted supply to Evergrande Group since June 2021 due to payment issues, indicating a strategic shift in customer relations[17] Shareholder Information - The top shareholder, Karen Holdings Investment Co., Ltd., holds 43.09% of the shares, with significant portions of shares pledged[15] - The company has a total of 14,008 common shareholders as of the report date[15] Miscellaneous - The third-quarter report was not audited, which may affect the reliability of the financial data presented[30] - The company did not require adjustments to the initial balance sheet items due to the new leasing standards, as it does not engage in leasing-related business[29] - The company experienced a negative impact of -748,533.54 CNY from exchange rate fluctuations on cash and cash equivalents[27]

Financial Performance - The company's operating revenue for the first half of 2021 was ¥1,219,269,748.35, representing a 58.35% increase compared to ¥770,002,469.10 in the same period last year[24] - The net profit attributable to shareholders was ¥138,607,055.79, up 54.97% from ¥89,440,973.13 in the previous year[24] - The net profit after deducting non-recurring gains and losses was ¥120,940,750.95, which is a 41.22% increase from ¥85,639,642.84 year-on-year[24] - The total assets at the end of the reporting period reached ¥5,707,562,931.92, a 64.08% increase from ¥3,478,576,453.06 at the end of the previous year[24] - The net assets attributable to shareholders increased by 114.48% to ¥2,866,364,581.37 from ¥1,336,449,161.28 at the end of the previous year[24] - The basic earnings per share decreased by 16.98% to ¥0.44 from ¥0.53 in the same period last year[24] - The diluted earnings per share also fell by 18.87% to ¥0.43 from ¥0.53 year-on-year[24] - The net cash flow from operating activities was negative at -¥370,048,952.63, worsening from -¥268,881,151.02 in the previous year, a decline of 37.63%[24] - The weighted average return on equity increased to 8.64%, up from 7.75% in the previous year, an increase of 0.89%[24] Research and Development - Research and development investment for the first half of 2021 reached ¥5,771.92 million, a year-on-year increase of 70.77%, accounting for 4.73% of total revenue[37] - The company is focusing on high polymer waterproof materials, leveraging imported production lines to enhance its competitive edge in MBP, TPO, and PVC applications[33] - The company aims to enhance its market position by focusing on innovation in waterproof systems and expanding applications in various construction sectors[33] - The company has initiated research and development for new technologies aimed at improving production efficiency and product quality[181] - The company is focusing on technological advancements and innovation in its product offerings to enhance competitiveness[187] Market Expansion and Strategy - The company has established long-term strategic partnerships with approximately 50 leading real estate companies, with plans to expand the number of distributors from 600 to 1,500 in the next three years[39] - The company plans to enhance its market expansion strategies and invest in new product development to drive future growth[181] - The company is exploring potential mergers and acquisitions to strengthen its market position and expand its product offerings[181] - The company has allocated resources for potential mergers and acquisitions to strengthen its market position[187] Environmental Compliance - The company has achieved a waste gas treatment efficiency with a collection rate and VOCs treatment rate exceeding 90%[99] - Solid waste is disposed of by qualified third parties, with hazardous waste being classified and stored properly[99] - The company has established an emergency response plan for environmental incidents, with a dedicated rescue command organization[100] - The company has complied with all relevant environmental protection laws and has not faced any administrative penalties from environmental authorities[100] - The company has timely paid the environmental protection tax as per legal requirements[100] - No significant environmental accidents have occurred during the reporting period[100] - The company has implemented an environmental monitoring plan, conducting quarterly assessments by qualified third-party institutions[100] - The company has invested in automatic monitoring devices for wastewater treatment to ensure compliance with discharge standards[100] Financial Position and Liabilities - The total liabilities amounted to CNY 2,838,258,457.37, an increase from CNY 2,142,127,291.78 at the end of 2020, representing a rise of about 32.5%[157] - The company's total assets reached CNY 5,707,562,931.92, compared to CNY 3,478,576,453.06 at the end of 2020, marking an increase of approximately 64.0%[158] - Short-term borrowings increased to CNY 991,192,568.55 from CNY 687,811,256.14, reflecting a rise of approximately 44.3%[157] - The company’s long-term borrowings rose to CNY 523,545,868.89 from CNY 209,783,307.55, indicating an increase of approximately 149.0%[157] - The total liabilities at the end of the reporting period were 1,880 million yuan, which is an increase from 1,807 million yuan at the end of the previous year[182] Shareholder Information - The company plans not to distribute cash dividends or issue bonus shares[6] - The company completed a share repurchase and cancellation of restricted stock on February 23, 2021[130] - A cash dividend of CNY 6.00 per 10 shares was distributed, along with a capital reserve conversion of 8 shares for every 10 shares held, increasing total shares to 307,353,600[130] - The total number of shares increased from 170,907,500 to 390,156,028 due to the completion of the 2018 restricted stock incentive plan and the issuance of new shares[133] - The company’s shareholders' meeting approved the profit distribution plan for the year 2020 on April 20, 2021[133] Legal and Compliance Issues - A patent infringement lawsuit could potentially impact profits significantly, with claims amounting to CNY 70 million[81] - The company is involved in a patent litigation case with a disputed amount of 70 million yuan, which is still pending[110] - The company has alternative production methods to mitigate risks associated with potential legal outcomes[82] Operational Challenges - The company faces risks from macro policies affecting the real estate sector, which is a major source of revenue, and plans to diversify its income sources[77] - Raw material costs, which account for approximately 90% of the main business costs, have increased, prompting the company to enhance procurement strategies[78] - Accounts receivable are on the rise due to expanded sales, with a focus on maintaining relationships with high-credit clients[79] - The company is addressing intensified industry competition by enhancing R&D and optimizing product offerings[80]

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 1,219,269,748.35, representing a 58.35% increase compared to CNY 770,002,469.10 in the same period last year[24]. - The net profit attributable to shareholders of the listed company was CNY 138,607,055.79, up 54.97% from CNY 89,440,973.13 year-on-year[24]. - The net profit after deducting non-recurring gains and losses was CNY 120,940,750.95, reflecting a 41.22% increase from CNY 85,639,642.84 in the previous year[24]. - The basic earnings per share increased to CNY 0.76, a rise of 43.40% compared to CNY 0.53 in the same period last year[24]. - The diluted earnings per share were CNY 0.75, an increase of 41.51% from CNY 0.53 year-on-year[24]. - The total comprehensive income for the first half of 2021 was CNY 138,606,948.97, compared to CNY 89,440,973.13 in the first half of 2020, indicating a growth of approximately 55%[166]. - The total profit for the first half of 2021 was CNY 160,519,739.56, compared to CNY 105,954,928.66 in the first half of 2020, representing an increase of approximately 51%[165]. Assets and Liabilities - Total assets at the end of the reporting period reached CNY 5,707,562,931.92, marking a 64.08% increase from CNY 3,478,576,453.06 at the end of the previous year[24]. - The net assets attributable to shareholders of the listed company were CNY 2,866,364,581.37, which is a 114.48% increase from CNY 1,336,449,161.28 at the end of the previous year[24]. - Current assets totaled CNY 4,660,547,150.68, a rise of 82.5% from CNY 2,553,545,529.18[158]. - Current liabilities increased to CNY 2,281,487,634.21, compared to CNY 1,918,092,857.72, marking a growth of 18.9%[157]. - The company's equity attributable to shareholders reached CNY 2,866,364,581.37, up 114.0% from CNY 1,336,449,161.28[158]. - The total liabilities at the end of the reporting period were 1,446 million yuan, a decrease from 1,447 million yuan at the end of the previous year[181]. Cash Flow - The company reported a net cash flow from operating activities of CNY -370,048,952.63, which is a decline of 37.63% compared to CNY -268,881,151.02 in the same period last year[24]. - Cash and cash equivalents increased by 311.57% to CNY 942,979,338.53, reflecting improved cash flow management[46]. - The company reported a net cash flow from financing activities of 1,497,298,645.63 CNY, up from 169,174,899.62 CNY in the same period last year, indicating successful fundraising efforts[177]. - Cash and cash equivalents at the end of the period increased to 1,292,027,902.51 CNY from 285,921,372.01 CNY at the end of the previous year[177]. Research and Development - Research and development investment in the first half of 2021 reached CNY 5,771.92 million, a year-on-year increase of 70.77%, accounting for 4.73% of total revenue[37]. - Research and development expenses increased to CNY 57,719,246.78 in the first half of 2021, compared to CNY 33,798,515.02 in the same period of 2020, reflecting a growth of about 70%[165]. - The company has established partnerships with several research institutions to enhance product development and optimization, further solidifying its R&D capabilities[38]. Market Position and Strategy - The company aims to enhance its leading position in the polymer waterproofing sector by leveraging imported high-end production lines for MBP, TPO, and PVC materials[33]. - The company has established long-term strategic partnerships with approximately 50 leading real estate companies, including Vanke and China Overseas, with plans to expand the number of distributors from 600 to 1,500 in the next three years[39]. - The company is focusing on expanding the application scenarios of polymer waterproof materials, including single-layer roofs and photovoltaic roofs[45]. - The company plans to enhance its core strategy in polymer waterproof materials and diversify revenue sources by expanding into new business areas such as distributed rooftop photovoltaics and new infrastructure[77]. Challenges and Risks - The company is facing an increase in accounts receivable due to expanded sales, primarily from large, reputable real estate clients, which poses a risk if economic conditions worsen[79]. - Raw material costs, which account for approximately 90% of the company's main business costs, have increased, impacting cost control[78]. - A patent infringement lawsuit has been filed against the company, with potential financial implications of up to RMB 70 million if the company loses[81]. - The company has implemented strict customer credit assessments and collection strategies to mitigate accounts receivable risks[79]. Environmental and Social Responsibility - The company has achieved a waste gas treatment efficiency with a collection rate and VOCs treatment rate exceeding 90%[99]. - Solid waste is disposed of by qualified third parties, with hazardous waste being classified and stored properly[99]. - The company has complied with all relevant environmental protection laws and has not faced any administrative penalties from environmental authorities[100]. Shareholder and Equity Information - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company approved a profit distribution plan for 2020, distributing cash dividends of 6.00 RMB per 10 shares and a capital increase of 8 shares for every 10 shares held[130]. - The largest shareholder, Karen Holdings Investment Co., Ltd., holds 43.09% of shares, totaling 168,118,419 shares, with an increase of 103,534,419 shares during the reporting period[140]. Corporate Governance - The financial report for the first half of 2021 was approved by the board on August 26, 2021[192]. - The financial statements are prepared based on the assumption of going concern, with no significant doubts about the company's ability to continue operations in the next 12 months[194]. - The company has not engaged in any derivative investments or entrusted loans during the reporting period, maintaining a conservative financial strategy[71][72].

Financial Performance - The company's revenue for Q1 2021 was ¥445,138,267.07, representing an increase of 81.78% compared to ¥244,872,803.08 in the same period last year[9] - Net profit attributable to shareholders was ¥54,154,880.98, up 104.03% from ¥26,543,167.77 year-on-year[9] - The net profit after deducting non-recurring gains and losses was ¥47,833,350.44, an increase of 86.01% compared to ¥25,715,157.48 in the previous year[9] - The basic earnings per share for the period was ¥0.32, doubling from ¥0.16 in the same quarter last year[9] - Total operating revenue for Q1 2021 reached ¥445,138,267.07, a significant increase of 81.5% compared to ¥244,872,803.08 in Q1 2020[49] - Operating profit for Q1 2021 was ¥72,162,178.31, representing a 110.9% increase from ¥34,195,833.09 in Q1 2020[50] - Net profit for Q1 2021 after tax was ¥54,154,880.98, compared to ¥26,543,167.77 in Q1 2020, marking a growth of 104.5%[50] - The company reported a gross profit margin of approximately 37.6% for Q1 2021, compared to 34.9% in the same period last year, showing improved profitability[53] Assets and Liabilities - Total assets at the end of the reporting period reached ¥3,991,276,800.84, a 14.74% increase from ¥3,478,576,453.06 at the end of the previous year[9] - The net assets attributable to shareholders were ¥1,390,823,475.19, reflecting a growth of 4.07% from ¥1,336,449,161.28 at the end of the last year[9] - Current assets totaled ¥2,728,533,262.18, up from ¥2,521,980,948.21 at the end of 2020, reflecting a growth of 8.2%[46] - Total liabilities increased to CNY 2,600,453,325.65 from CNY 2,142,127,291.78, representing a growth of approximately 21.37%[43] Cash Flow - The company reported a net cash flow from operating activities of -¥247,271,452.28, a slight improvement of 0.88% compared to -¥249,474,498.20 in the previous year[9] - The cash flow from operating activities showed a net outflow of CNY -247,271,452.28, slightly improved from CNY -249,474,498.20 in the previous year[58] - The total cash inflow from financing activities was CNY 652,008,722.24, significantly higher than CNY 130,000,000.00 in Q1 2020, indicating increased borrowing[58] - The company experienced a net decrease in cash and cash equivalents of -217,325,018.91 CNY, compared to -645,367,032.30 CNY in the previous period, showing a reduction in cash outflow[62] Research and Development - Research and development expenses increased by 88.12% year-on-year, indicating a significant boost in R&D investment[20] - The company reported R&D expenses of ¥17,165,718.86 for Q1 2021, which is an increase of 88.5% compared to ¥9,124,745.54 in Q1 2020[50] - The company incurred research and development expenses of CNY 9,733,827.25, up from CNY 8,531,354.82 in the same quarter last year, reflecting a focus on innovation[53] Market and Competition - The waterproof materials market is experiencing increased competition, with numerous manufacturers leading to price pressures and a shift towards quality and technology competition[25] - The company aims to leverage its strengths in R&D, brand influence, and product quality to maintain a competitive edge in the industry[25] - The tightening of industry regulations is expected to accelerate the elimination of non-compliant products, benefiting leading companies like the firm[25] Legal Matters - The company is facing a patent infringement lawsuit with a claim of 70 million RMB in damages, which could significantly impact current profits if lost[26][27] - The company has alternative technology solutions for the disputed product, minimizing potential operational impacts if the lawsuit results in a loss[27] - The company is preparing to file another invalidation request against the disputed patent, indicating ongoing legal strategies[27] Strategic Initiatives - The company plans to optimize sales channels and increase the proportion of non-real estate business to mitigate risks from the real estate sector[23] - The company will enhance raw material price trend analysis and implement reasonable raw material reserves to manage cost risks[23] - The company aims to strengthen credit risk management and improve collection efforts to address the increasing accounts receivable risk[24] - The company plans to enhance its brand influence through R&D innovation, product optimization, and market expansion[25] - The company has approved a non-public issuance of corporate bonds and a stock incentive plan to enhance capital and motivate employees[28][29] - The company emphasizes the strategic importance of the polymer waterproof membrane project for enhancing core competitiveness and market positioning[33] Shareholder Information - The total number of shareholders at the end of the reporting period was 9,316, with the largest shareholder holding 37.82% of the shares[12] - The company is committed to adhering to its equity incentive promises, ensuring no financial assistance is provided to incentive recipients[30]

Revenue and Profitability - The company reported that the real estate industry is the main source of sales revenue, and macroeconomic controls have led to a decline in revenue growth, impacting profitability [6]. - The company's operating revenue for 2020 was CNY 2,007,646,596.20, representing a 72.33% increase compared to CNY 1,164,996,147.79 in 2019 [27]. - The net profit attributable to shareholders for 2020 was CNY 278,551,614.56, a 105.66% increase from CNY 135,444,751.96 in 2019 [27]. - The net profit after deducting non-recurring gains and losses was CNY 259,446,006.48, up 98.72% from CNY 130,557,143.90 in 2019 [27]. - The company reported a net profit of RMB 277,021,060.89 for the year 2020, with a total distributable profit of RMB 491,621,624.43 after accounting for statutory surplus reserves and previous undistributed profits [116]. Costs and Expenses - The cost of raw materials accounts for approximately 90% of the company's main business costs, and significant price increases could lead to a decline in performance if not passed on to customers [8]. - The total cost of main business operations was ¥1,140,244,701.63, an increase from ¥709,658,949.02 in 2019 [64]. - The sales expenses rose by 106.65% to ¥274,031,785.79, primarily due to increased personnel costs and advertising expenses [69]. Research and Development - The company is focusing on research and development to enhance product quality and expand market presence, aiming to create new value growth points [6]. - The company's R&D investment increased to 10,591.60 CNY in 2020, accounting for 5.28% of total revenue [47]. - The number of R&D personnel increased to 163 in 2020, representing 12.39% of total employees, up from 11.73% in 2019 [72]. - Research and development investment amounted to ¥105,915,972.15 in 2020, accounting for 5.28% of operating revenue, compared to 4.32% in 2019 [72]. Market Position and Strategy - The company plans to optimize sales channels and increase the proportion of non-real estate business to mitigate risks associated with the real estate sector [6]. - The company is facing intensified competition in the waterproof materials market, with a shift from price competition to competition based on product quality and technology [10]. - The company plans to expand its dealer network from over 500 to 1,000 in the next two years, enhancing sales channel balance [49]. - The company aims to become a leading manufacturer in the functional building materials sector within three to five years, focusing on high polymer waterproof materials [104]. Legal and Compliance Issues - A patent infringement lawsuit has been filed against the company, with potential damages claimed at 70 million RMB, which could significantly impact profits if the company loses [12]. - The company has submitted two invalidation requests against the disputed patent, with the first request being upheld by the National Intellectual Property Administration [112]. - The company has not encountered any major litigation or arbitration matters during the reporting period, except for a patent lawsuit with a claim amount of 70 million yuan, which is still pending [136]. Shareholder and Dividend Information - The company has a profit distribution plan to distribute cash dividends of 6 RMB per 10 shares and to increase capital reserves by 8 shares per 10 shares [14]. - The proposed cash dividend for 2020 is CNY 6 per 10 shares (including tax), with an additional capital reserve distribution of 8 shares for every 10 shares held [120]. - The cash dividend distribution plan for 2020 is set at RMB 6 per 10 shares, totaling RMB 102,451,200, which represents 100% of the profit distribution amount [118]. Financial Health and Cash Flow - The net cash flow from operating activities was negative CNY 111,344,963.33, worsening by 139.61% compared to negative CNY 46,469,825.18 in 2019 [27]. - The company reported a weighted average return on equity of 23.36% for 2020, down from 27.08% in 2019 [27]. - The company received government subsidies amounting to CNY 8,423,315.35 in 2020, compared to CNY 3,784,268.89 in 2019 [33]. Production and Capacity - The company is focusing on expanding its production capacity and enhancing product quality through the introduction of advanced production lines for PVC and TPO waterproof materials [44]. - The production capacity layout has been optimized with the successful commissioning of production bases in Hubei and Sichuan, enhancing supply efficiency [55]. - The company achieved a production volume of 99,196,603.64 square meters, a 74.94% increase compared to the previous year [61]. Corporate Governance and Management - The company has established multiple subsidiaries focused on the production and research of building materials, enhancing its market presence [86]. - The company has implemented a stock incentive plan, granting 1,953,000 restricted shares to 54 eligible incentive objects [140]. - The company has maintained a continuous relationship with Tianjian Accounting Firm for 9 years, with an audit fee of 1.1 million yuan for the reporting period [135]. Future Outlook and Growth Plans - The company plans to enhance its competitive advantage in high polymer waterproof materials, with significant investments in production capacity and product variety [106]. - The company is focusing on enhancing its digital marketing strategies, aiming for a 30% increase in online sales channels [198]. - The company plans to pursue mergers and acquisitions to enhance its competitive edge and expand service offerings [107].

Financial Performance - Net profit attributable to shareholders reached ¥82,348,417.72, representing a 201.99% increase year-on-year[7]. - Operating revenue for the period was ¥528,260,427.37, up 96.65% from the same period last year[7]. - Basic earnings per share increased to ¥0.49, reflecting a growth of 133.33% year-on-year[7]. - The company reported a significant increase in revenue for Q3 2020, with a year-over-year growth of 25%[30]. - The company reported a significant increase in revenue for Q3 2020, reaching 1.2 billion RMB, representing a 15% year-over-year growth[52]. - The net profit attributable to shareholders of the listed company for Q3 2020 was CNY 27,088.96 million, representing a growth of 150% compared to the previous year[58]. - The company expects to maintain rapid growth in operating performance for the year 2020, driven by significant achievements in developing group procurement for large real estate developers and optimizing dealer channels[58]. Assets and Liabilities - Total assets increased to ¥2,929,080,105.83, a growth of 42.90% compared to the previous year[7]. - The company's total liabilities rose to ¥1,617,548,475.93, compared to ¥944,395,813.31 in the previous year, indicating a growth of approximately 71.4%[72]. - The total liabilities of the company amounted to CNY 1,711,757,518.46, an increase from CNY 991,035,799.15 at the end of 2019[68]. - The company's current assets totaled CNY 2,216,694,150.01, up from CNY 1,622,249,717.22 at the end of 2019[66]. - The company's inventory as of September 30, 2020, was CNY 245,011,838.54, compared to CNY 126,788,154.87 at the end of 2019[66]. Cash Flow - The net cash flow from operating activities was -¥125,875,288.88, a decline of 85.51% compared to the previous year[7]. - The net cash flow from operating activities showed a negative change of 239.12%, amounting to -¥394,756,439.90, primarily due to increased raw material procurement payments[20]. - The company reported a net cash outflow from operating activities of CNY -394,756,439.90, worsening from CNY -116,407,793.17 in the previous period[92]. - Cash inflow from financing activities totaled CNY 570,842,275.00, an increase from CNY 346,492,088.09 in the previous year[96]. Shareholder Information - The company reported a total of 5,372 common shareholders at the end of the reporting period[11]. - The largest shareholder, Kairun Holdings Investment Co., Ltd., holds a 37.79% stake, with 64,584,000 shares[11]. - The company did not engage in any repurchase transactions among the top 10 shareholders during the reporting period[12]. - The company has committed to not transferring or entrusting the management of its shares for 36 months from the date of the stock listing, ensuring stability in shareholding[24]. Research and Development - Research and development expenses rose significantly by 141.18% to ¥63,842,191.49, indicating a strong commitment to innovation[20]. - Research and development investments increased by 40% in Q3 2020, focusing on innovative building materials[31]. - Research and development expenses for Q3 2020 were ¥30,043,676.47, up from ¥10,595,366.69 in Q3 2019, marking an increase of about 183%[75]. Market Expansion and Strategy - The company is expanding its market presence in Southeast Asia, targeting a 30% market share by the end of 2021[30]. - New product launches are expected to contribute an additional 10% to overall revenue in the next quarter[33]. - The company is exploring potential mergers and acquisitions to enhance its product portfolio and market reach[32]. - A new strategic partnership was announced, aimed at improving supply chain efficiency and reducing costs by 15%[33]. Sustainability Initiatives - The management emphasized a commitment to sustainability, aiming for a 50% reduction in carbon emissions by 2025[31]. - A commitment to sustainability initiatives was reiterated, with a goal to reduce carbon emissions by 20% by 2025[49]. Stock Price Stabilization - The company initiated a stock price stabilization plan due to the stock closing below its audited net asset value per share for 20 consecutive trading days[41]. - The company will hold a board meeting to discuss the stock price stabilization plan within 10 trading days after the conditions are triggered[38]. - The company plans to disclose the stock purchase plan of non-independent directors within 10 trading days after the conditions for stabilization are met[42].

Financial Performance - The company's operating revenue for the first half of 2020 was ¥770,002,469.10, representing an increase of 82.70% compared to ¥421,452,527.66 in the same period last year[19]. - The net profit attributable to shareholders of the listed company was ¥89,440,973.13, a growth of 103.81% from ¥43,884,128.09 in the previous year[19]. - The net profit after deducting non-recurring gains and losses was ¥85,639,642.84, up 106.00% from ¥41,573,125.72 year-on-year[19]. - The basic earnings per share increased by 55.88% to ¥0.53 from ¥0.34 in the same period last year[19]. - Operating profit reached 108 million CNY, up 99.82% compared to the previous year[42]. - The company achieved a revenue of 770 million CNY, an increase of 82.70% year-on-year[42]. - The company reported a total net profit for the first half of 2020 was CNY 63,058,554.34, an increase of 43.8% compared to CNY 43,844,421.71 in the same period of 2019[200]. - Operating profit reached CNY 76,018,953.43, up from CNY 52,776,216.56, reflecting a growth of 44.3% year-over-year[200]. Assets and Liabilities - The total assets at the end of the reporting period were ¥2,545,523,917.14, a rise of 24.19% compared to ¥2,049,757,277.32 at the end of the previous year[19]. - The net assets attributable to shareholders of the listed company were ¥1,135,551,631.42, reflecting a 7.26% increase from ¥1,058,721,478.17 at the end of the previous year[19]. - The total liabilities increased to CNY 1,409,972,285.72 as of June 30, 2020, compared to CNY 991,035,799.15 at the end of 2019, reflecting a growth of about 42.3%[188]. - The company's equity attributable to shareholders rose to CNY 1,135,551,631.42 from CNY 1,058,721,478.17, an increase of approximately 7.3%[189]. Cash Flow - The net cash flow from operating activities was negative at -¥268,881,151.02, worsening by 453.79% compared to -¥48,552,824.50 in the same period last year[19]. - Cash and cash equivalents decreased by ¥445,704,394.58, reflecting a decline of 1,030.71% year-on-year[46]. - The company reported a net cash outflow from operating activities of ¥268,881,151.02, a decrease of 453.79% compared to the previous year, mainly due to increased accounts receivable[46]. Research and Development - Research and development investment increased to 50 million CNY in 2019, accounting for 4.32% of revenue[36]. - Research and development expenses rose to CNY 33,798,515.02, a 112.5% increase compared to CNY 15,875,092.96 in the previous year[194]. - The company is focusing on continuous R&D in high polymer waterproof materials to maintain its leading position in the market[44]. Market and Competition - The waterproof materials industry in China is characterized by low concentration and intense competition, with 653 companies reported in 2019[29]. - The company has established a comprehensive sales network covering the entire country, utilizing both direct sales and distribution models[28]. - The company has introduced the "integrated waterproof" concept, enhancing its product innovation and service capabilities[32]. Risk Management - The company has detailed potential risks and countermeasures in the report, which can be found in the section discussing operational conditions[5]. - The company faces risks from market demand fluctuations, particularly due to the impact of the COVID-19 pandemic on the real estate and infrastructure sectors[79]. - The company is exposed to raw material price volatility, particularly due to reliance on petroleum-based products[80]. Shareholder Commitments - The company plans not to distribute cash dividends or issue bonus shares for the reporting period[6]. - The company’s controlling shareholder has committed to not transferring shares for 36 months post-IPO[86]. - The company will announce any planned share reductions by its actual controller three trading days in advance[89]. Environmental Compliance - The company achieved a waste gas collection rate and VOCs treatment rate of over 90% through the use of advanced incineration technology[140]. - The company has obtained pollution discharge permits for both itself and its subsidiary, ensuring compliance with environmental regulations[140]. - There were no administrative penalties from environmental protection authorities during the reporting period[140]. Corporate Governance - The company has not conducted an audit for the semi-annual financial report[116]. - There were no significant litigation or arbitration matters during the reporting period[118]. - The company has fulfilled its commitments to minority shareholders in a timely manner[120].

Financial Performance - Total revenue for Q1 2020 reached ¥244,872,803.08, an increase of 50.49% compared to ¥162,714,749.98 in the same period last year[9] - Net profit attributable to shareholders was ¥26,543,167.77, up 56.21% from ¥16,991,791.19 year-on-year[9] - Net profit excluding non-recurring gains and losses was ¥25,715,157.48, reflecting a 52.76% increase from ¥16,833,492.95 in the previous year[9] - Basic earnings per share rose to ¥0.16, a 23.08% increase from ¥0.13 in the same period last year[9] - Operating revenue reached 244.87 million yuan, a year-on-year increase of 50.49%, driven by enhanced market development and marketing efforts[20] - Net profit attributable to shareholders increased by 56.21% year-on-year, amounting to 26.54 million yuan[20] Assets and Liabilities - Total assets at the end of the reporting period were ¥2,060,854,539.90, a slight increase of 0.54% from ¥2,049,757,277.32 at the end of the previous year[9] - Total liabilities increased to CNY 953,948,984.38 from CNY 944,395,813.31, representing a rise of approximately 1.8%[77] - The total equity attributable to shareholders of the parent company increased to CNY 1,082,142,336.63 from CNY 1,055,303,212.82, reflecting a growth of about 2.5%[77] Cash Flow - The net cash flow from operating activities was negative at -¥249,474,498.20, worsening by 60.60% compared to -¥155,337,732.06 in the same period last year[9] - Cash and cash equivalents at the end of the period totaled CNY 189,773,931.75, down from CNY 767,873,932.88 at the beginning of the period[90] - The total net increase in cash and cash equivalents was -645,367,032.30 yuan, compared to -86,734,705.08 yuan in the previous period[93] Research and Development - Research and development expenses grew by 79.44% year-on-year, reflecting increased investment in R&D[19] - Research and development expenses for Q1 2020 were CNY 9,124,745.54, up from CNY 5,085,058.80 in Q1 2019, indicating an increase of about 79.5%[80] Market Strategy and Expansion - The company plans to enhance brand influence, actively explore domestic and international markets, and strengthen management and refined operations[22] - The company is exploring market expansion opportunities in Southeast Asia, targeting a 15% increase in market penetration by the end of 2020[35] - New product development efforts are underway, with two new product lines expected to launch by Q3 2020, aiming to capture an additional 10% market share[34] Shareholder Commitments and Stock Management - The company has committed to not providing financial assistance or guarantees to incentive objects under the equity incentive plan[27] - The actual controller of the company, Qian Lindong, has committed to not transferring or entrusting the management of shares held prior to the issuance for 36 months[29] - The company has made commitments regarding shareholding and reduction intentions, which will be announced three trading days in advance[30] - The company is in compliance with all relevant regulations set by the China Securities Regulatory Commission and the stock exchange regarding shareholding commitments[30] Future Outlook - The company provided a positive outlook for the upcoming quarters, projecting a revenue growth of 30% for the next quarter, driven by new product launches and market expansion strategies[33] - The company predicts a net profit attributable to shareholders for the first half of 2020 to grow by 40%-70%, estimating a profit of between 61.44 million and 74.60 million yuan[64] Investment and Projects - The new polymer waterproof membrane production line project has an investment progress of 79.67%, with 2,058.78 million CNY invested out of a total of 9,003.3 million CNY[62] - The Tangshan waterproof membrane production base project has been completed with an investment of 10,280.2 million CNY, exceeding the planned investment by 0.29%[62] - The company aims to enhance its core competitiveness by accelerating the construction of the polymer waterproof membrane project, which is expected to yield high investment returns[62]

Financial Performance - The company's operating revenue for 2019 was CNY 1,164,996,147.79, representing an increase of 88.11% compared to CNY 619,307,792.59 in 2018[21]. - The net profit attributable to shareholders for 2019 was CNY 135,444,751.96, up 108.05% from CNY 65,102,837.70 in 2018[21]. - The net profit after deducting non-recurring gains and losses was CNY 130,557,143.90, an increase of 118.86% from CNY 59,653,215.50 in 2018[21]. - The total assets at the end of 2019 reached CNY 2,049,757,277.32, a growth of 125.28% from CNY 909,866,760.86 at the end of 2018[21]. - The net assets attributable to shareholders increased by 144.42% to CNY 1,058,721,478.17 from CNY 433,152,276.82 in 2018[21]. - The company reported a basic earnings per share of CNY 0.93, which is a 106.67% increase compared to CNY 0.45 in 2018[21]. - The cash flow from operating activities showed a negative net amount of CNY -46,469,825.18, worsening by 92.81% from CNY -24,100,939.19 in 2018[21]. - The company achieved a total operating revenue of CNY 1,164,996,147.79, representing an increase of 88.11% year-on-year[45]. - The net profit attributable to shareholders reached CNY 13,544,480, an increase of 108.05% compared to the previous year[45]. Research and Development - The company plans to increase R&D investment and enhance brand influence to mitigate risks from market demand fluctuations, particularly due to the impact of COVID-19 on the real estate and infrastructure sectors[6]. - Research and development investment increased from CNY 12.63 million in 2017 to CNY 50.33 million in 2019, representing a growth in the proportion of revenue from 3.20% to 4.32%[39]. - The company is focusing on R&D in high polymer waterproof materials, aiming to maintain its leading position in the market[46]. - The company will increase R&D investment in polymer waterproofing membranes and coatings, developing more products to meet market needs[100]. Market Strategy - The company aims to enhance core competitiveness and product quality to achieve sustainable profit growth amidst macroeconomic fluctuations[6]. - The company will actively explore domestic and international markets to expand its business presence and mitigate risks associated with economic uncertainties[6]. - The company has established a nationwide sales network combining direct sales and distribution channels, focusing on large real estate and infrastructure projects[31]. - The company plans to deepen its channel strategy, focusing on partnerships with top 100 real estate developers, currently collaborating with over 20[101]. Risk Management - The company acknowledges the risk of raw material price fluctuations, particularly due to the volatility in international oil prices, and aims to manage costs through improved production efficiency and product innovation[8]. - The company is facing an increased risk of accounts receivable due to expanded sales, and will implement measures to strengthen credit risk management and collection efforts[9]. - The company will enhance credit risk management and collection efforts to mitigate the risk of increasing accounts receivable as sales scale up[103]. - The company faces risks from market demand fluctuations, particularly due to the impact of the COVID-19 pandemic on the real estate and infrastructure sectors[102]. Production and Operations - The company is committed to maintaining reasonable inventory levels in response to raw material price trends[8]. - The company emphasizes the importance of refined management and operational strategies to ensure stable business performance[8]. - The company has expanded its production capabilities with increased investments in construction projects in Hubei and Sichuan, contributing to its growth strategy[35]. - The company has established production bases in multiple regions, including Suzhou and Tangshan, to cover most of the market areas in East, North, Central, Southwest, South, and Northwest China[42]. Shareholder and Dividend Information - The profit distribution plan approved by the board is to distribute a cash dividend of 1 RMB per 10 shares to all shareholders, with no bonus shares issued[9]. - The cash dividend for 2019 was set at 0.50 yuan per 10 shares, totaling 17,090,750 yuan, representing 100% of the profit distribution[108]. - The proposed cash dividend for 2019 is RMB 1 per 10 shares, totaling RMB 17,090,750, based on a total share capital of 170,907,500 shares[111]. - The cash dividend payout ratio for 2019 is 12.62% of the net profit attributable to shareholders, compared to 10.10% in 2018 and 32.31% in 2017[112]. Environmental Compliance - The company has obtained pollution discharge permits for its operations, ensuring compliance with environmental regulations[180]. - The company’s waste gas treatment systems achieve over 90% collection and VOCs treatment rates[181]. - Solid waste is disposed of legally by qualified third parties, while domestic sewage is treated effectively before discharge[181]. - The company has not faced any penalties for environmental violations during the reporting period[179]. Corporate Governance - The actual controller Qian Lindong holds 25% of the company's shares directly and indirectly, with restrictions on share transfers during his tenure[117]. - The company has established a plan to ensure compliance with relevant regulations regarding shareholding and transfer notifications[119]. - The company is currently fulfilling its commitments regarding shareholding and lock-up arrangements[120]. - The company has committed to not engage in any business activities that compete with its main operations[141].

Financial Performance - Operating revenue for the period reached CNY 268,624,161.34, a 59.17% increase year-on-year[7] - Net profit attributable to shareholders rose by 76.38% to CNY 27,268,972.27 for the quarter[7] - The net profit after deducting non-recurring gains and losses increased by 76.64% to CNY 25,794,017.11[7] - Basic earnings per share increased by 75.00% to CNY 0.21[7] - The company's net profit increased by 44.18% to CNY 210,749,861.14, reflecting improved profitability during the reporting period[19] - The company reported a significant increase in revenue for Q3 2019, with a year-over-year growth of 25%[32] - The company expects a net profit for the year 2019 to be between 110.67 million yuan and 130.21 million yuan, representing a growth of 70% to 100% compared to the same period last year[59] Assets and Liabilities - Total assets increased by 48.61% to CNY 1,352,177,753.09 compared to the end of the previous year[7] - The company's total liabilities increased to CNY 811,993,929.98, compared to CNY 479,447,866.49 in the previous year, marking a 69.3% rise[74] - Total current assets increased to ¥992,694,535.85 as of September 30, 2019, up from ¥700,635,504.66 at the end of 2018, representing a growth of approximately 41.7%[66] - Total liabilities reached ¥851,597,453.29, up from ¥476,714,484.04, indicating an increase of approximately 78.5%[68] Cash Flow - The company reported a net cash flow from operating activities of -CNY 116,407,793.17, a decrease of 284.24% year-on-year[7] - The company's cash flow from financing activities surged by 1,381.00% to CNY 205,677,681.66, primarily due to increased short-term and long-term borrowings[20] - Cash inflow from operating activities amounted to ¥618,347,672.95, up from ¥343,912,190.92 in the previous period, indicating a growth of approximately 80%[93] - Net cash flow from operating activities was negative at -¥116,407,793.17, worsening from -¥30,295,350.95 in the previous period[93] Shareholder Information - The total number of shareholders at the end of the reporting period was 6,771[10] - The largest shareholder, Karen Holdings Investment Co., Ltd., holds 37.68% of the shares, amounting to 49,680,000 shares[10] - The controlling shareholder, Qian Lind, has committed to not transferring or entrusting the management of shares for 36 months post-listing, with a lock-up period extending until October 26, 2020[24] Research and Development - Research and development expenses increased by 81.98% to CNY 26,470,459.65, indicating a significant increase in investment in R&D activities[19] - Research and development expenses for Q3 2019 were CNY 10,595,366.69, an increase of 75.1% compared to CNY 6,056,212.47 in the same quarter last year[76] Market Expansion and Strategy - The company's operating revenue increased by 66.43% to CNY 690,076,689.00 compared to CNY 414,645,513.58 in the same period last year, driven by enhanced market expansion and marketing efforts[19] - Market expansion plans include entering two new provinces, aiming for a 30% market share in those regions by the end of 2020[32] - The company is considering strategic acquisitions to enhance its product portfolio, with potential targets identified[33] Stock Price Stabilization Measures - The company plans to initiate stock repurchase measures if the stock price remains below the audited net asset value per share for 20 consecutive trading days after the expiration of the current repurchase plan[38] - The company has initiated a stock price stabilization plan, which will be activated if the stock price falls below the audited net asset value per share for 20 consecutive trading days[43] - The stock price stabilization measures are part of the company's ongoing commitment to maintaining market confidence and shareholder value[41] Operational Costs and Efficiency - The company has set a target to reduce operational costs by 15% through efficiency improvements in the supply chain[35] - Operating costs for the same period were CNY 231,744,045.27, up 60.0% from CNY 145,140,918.02 year-over-year[76] Future Outlook - The company provided a positive outlook for Q4 2019, projecting a revenue growth of 20%[34] - New product launches are expected to contribute an additional 10% to overall revenue in the next quarter[35]