Financial Performance - The company's revenue for Q3 2021 was CNY 703,032,572.43, representing a 19.97% increase year-over-year and a total revenue of CNY 2,100,063,495.83 for the year-to-date, which is a 72.27% increase compared to the same period last year[5]. - The net profit attributable to shareholders for Q3 2021 was CNY 39,581,236.34, a decrease of 57.58% year-over-year, with a year-to-date net profit of CNY 123,583,980.64, down 23.46% compared to the previous year[5]. - The company reported a basic earnings per share of CNY 0.22 for Q3 2021, down 57.69% year-over-year, and a diluted earnings per share of CNY 0.22, down 57.69% as well[5]. - In Q3, the company achieved revenue of 703.03 million yuan, a year-on-year increase of 19.97%; net profit attributable to shareholders was 39.58 million yuan, a year-on-year decrease of 57.58%[22]. - For the first three quarters, the company reported revenue of 2.1 billion yuan, a year-on-year increase of 72.27%; net profit attributable to shareholders was 123.58 million yuan, a year-on-year decrease of 23.46%[22]. Assets and Liabilities - Total assets at the end of Q3 2021 were CNY 3,817,527,133.05, an increase of 33.14% compared to the end of the previous year[6]. - The company's total equity attributable to shareholders increased by 80.68% to CNY 1,845,132,827.12 compared to the previous year[6]. - The total current liabilities were RMB 1,251,603,166.63, compared to RMB 1,350,000,000.00 at the end of 2020, showing a decrease of approximately 7.3%[37]. - The company's total liabilities increased to ¥1,972,347,624.05 from ¥1,845,695,095.54, reflecting a rise of approximately 6.9%[39]. Cash Flow - The cash flow from operating activities for the year-to-date was CNY 117,818,432.75, reflecting a decrease of 8.66% compared to the same period last year[5]. - Operating cash inflow totaled RMB 2,155,943,102.76, an increase of 87.52% compared to RMB 1,149,710,516.31 in the same period last year, primarily due to increased revenue[15]. - Operating cash outflow reached RMB 2,038,124,670.01, up 99.68% from RMB 1,020,717,698.86 year-on-year, mainly due to increased cost expenditures associated with higher revenue[15]. - Net cash flow from investing activities was -RMB 278,960,036.69, a 42.24% improvement from -RMB 482,956,760.17 in the previous year, attributed to reduced overseas warehouse investments[15]. - Net cash flow from financing activities amounted to RMB 824,463,616.28, an increase of 86.65% from RMB 441,725,646.21, mainly due to RMB 690 million raised from issuing shares and an increase of RMB 167 million in bank loan repayments[15]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 11,726[17]. - The largest shareholder, Ningbo Lijing Electronics Group Co., Ltd., holds 28.04% of shares, totaling 50,914,906 shares[17]. - The second-largest shareholder, Lijing (Hong Kong) International Co., Ltd., owns 21.09% of shares, amounting to 38,308,483 shares[17]. - The company has a total of 7,731,278 restricted shares at the end of the reporting period, with 82,349 shares added during the period[21]. - The company’s actual controllers, Xiang Lehong and Jiang Yi, collectively control 62.78% of the shares through various entities[18]. Research and Development - Research and development expenses increased by 85.59% to CNY 84,725,859.14, attributed to the growth in business activities[13]. - The company's DTC (Direct To Customer) channel revenue continues to increase, enhancing brand awareness and market share[23]. - The company is investing in product R&D, automation, and information technology, which is expected to improve sustainable development capabilities over time[24]. - Research and development expenses for the quarter were ¥84,725,859.14, compared to ¥45,652,633.73 in the previous year, marking an increase of about 85.6%[40]. Operational Developments - The company is expanding its public overseas warehouse business, increasing the number of small and medium-sized enterprises served, which enhances bargaining power in the value chain[23]. - The company has implemented stock option incentive plans, with 1,486,825 stock options available for exercise in the first exercise period[26]. - The company granted 3.367 million shares of restricted stock to 203 incentive targets as part of the 2021 restricted stock incentive plan[29]. - The company has established new subsidiaries focused on technology services and information consulting, enhancing its operational capabilities[34]. Miscellaneous - External macroeconomic factors, including raw material prices and international shipping costs, have put pressure on net profit[24]. - The company has not disclosed any related party relationships or concerted actions among other shareholders[18]. - The third quarter report of Lege Ergonomics Technology Co., Ltd. is unaudited[51]. - The report was released on October 29, 2021[51].

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 1,397,030,923.40, representing a 120.68% increase compared to CNY 633,059,354.33 in the same period last year[21]. - The net profit attributable to shareholders for the first half of 2021 was CNY 84,002,744.30, which is a 23.25% increase from CNY 68,153,755.93 in the previous year[21]. - The basic earnings per share for the first half of 2021 was CNY 0.47, a decrease of 4.08% from CNY 0.49 in the same period last year[21]. - The diluted earnings per share was CNY 0.46, down 6.12% from CNY 0.49 in the previous year[21]. - The weighted average return on equity was 7.94%, slightly down from 8.24% in the same period last year[21]. - The company achieved operating revenue of CNY 1,397,030,923.40, representing a year-on-year growth of 120.68%[28]. - The net profit attributable to shareholders was CNY 84,002,744.30, an increase of 23.25% compared to the same period last year[28]. - The company reported a net cash flow from operating activities of CNY 32,447,332.10, a decrease of 58.50% compared to the previous year[75]. - Operating costs increased by 147.05% to CNY 838,251,379.81, primarily due to the growth in revenue[75]. - R&D expenses increased by 134.57%, enhancing product diversity and technological advancement[52]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 3,055,138,608.60, reflecting a 6.55% increase from CNY 2,867,334,027.65 at the end of the previous year[21]. - The net assets attributable to shareholders increased by 6.71%, reaching CNY 1,089,782,348.65 compared to CNY 1,021,219,329.56 at the end of the previous year[21]. - Cash and cash equivalents at the end of the reporting period amounted to CNY 831,917,768.07, representing 27.23% of total assets, a decrease of 4.34% compared to the previous year[81]. - Accounts receivable stood at CNY 156,916,252.85, accounting for 5.14% of total assets, down by 0.42% year-on-year[81]. - Inventory increased to CNY 549,583,906.19, making up 17.99% of total assets, a slight decrease of 0.36% from the previous year[81]. - Fixed assets rose significantly to CNY 810,939,078.14, representing 26.54% of total assets, an increase of 11.94% due to the transfer of overseas warehouses[81]. - Short-term borrowings reached CNY 786,748,270.00, which is 25.75% of total assets, reflecting a 0.90% increase from the previous year[81]. - Long-term borrowings amounted to CNY 297,356,055.00, accounting for 9.73% of total assets, up by 0.86% year-on-year[81]. Market and Product Development - The main products include ergonomic workstations, smart desks, and various health and smart home products, focusing on integrating linear drive technology[28]. - The cross-border e-commerce public overseas warehouse project generated revenue of CNY 68,110,173.60, and has turned profitable since April after initial losses in the first quarter[29]. - The company continues to focus on expanding its market presence through innovative services in cross-border e-commerce logistics[29]. - The company has diversified its sales channels, covering domestic and international markets through online and offline platforms, with a focus on M2C direct sales[49]. - The company has established a strong presence on major e-commerce platforms, including Tmall, JD.com, Amazon, and others, enhancing its market reach[49]. - The company has leveraged nearly ten years of cross-border e-commerce experience to maintain a competitive edge, offering lower shipping rates compared to smaller competitors[43]. - The company has established 14 overseas warehouses globally, with a total area of 148,000 square meters, and plans to expand to 260,000 square meters by the end of 2021[51]. - Cross-border e-commerce sales grew by 132.45%, with independent website sales increasing by 366.42%[53]. Research and Development - The company’s R&D efforts are centered around ergonomic design and smart technology integration for health-focused office solutions[28]. - The company holds 1,079 valid patents, including 72 authorized invention patents, showcasing its innovation capabilities[57]. - The company has invested 50 million RMB in R&D for innovative ergonomic solutions, aiming to lead the market in technology advancements[151]. - The company has actively engaged in product innovation based on linear drive technology, enhancing its ability to meet consumer demands and market trends[60]. Risk Management and Compliance - The company has implemented a foreign exchange hedging strategy to mitigate risks associated with currency fluctuations, ensuring stable operational performance[102]. - The company has established a comprehensive risk management system for foreign exchange hedging, including strict internal controls and regular audits[102]. - The company is facing risks from international political and economic fluctuations, particularly affecting its export business, which is heavily reliant on the US market[111]. - The company is exposed to foreign exchange risks due to a high proportion of export revenue, primarily settled in USD, which can affect competitiveness and lead to exchange gains or losses[113]. - The company is committed to maintaining compliance with the latest regulations set forth by the China Securities Regulatory Commission[154]. Employee and Social Responsibility - The company has established a comprehensive performance evaluation system for employees, tracking and assessing them from recruitment to ongoing development[135]. - In the first half of 2021, the company conducted 140 training sessions, with a total of 7,999 training participants[137]. - The company emphasizes employee welfare by providing comprehensive living facilities, including dormitories and free nutritious meals[138]. - The company actively participates in social responsibility initiatives, including educational funding for local universities[142]. - The company has invested over 70 million yuan in environmental protection equipment, including renewable energy devices and operational costs[140]. Shareholder and Financial Management - The company plans to prioritize cash dividends, aiming for a cumulative distribution of at least 30% of the average distributable profit over three consecutive years[148]. - The profit distribution policy includes a minimum cash dividend ratio of 80% for mature stages without significant capital expenditures, 40% for mature stages with significant expenditures, and 20% for growth stages with significant expenditures[148]. - The company has committed to not transferring benefits to other entities or individuals under unfair conditions, ensuring the protection of shareholder interests[149]. - The company’s board and senior management have pledged to adhere to measures that compensate for any dilution of immediate returns from the issuance of new shares[154]. - The company has established measures to avoid any competition with its subsidiaries and will ensure compliance with these commitments to prevent economic losses[150].

Financial Performance - The company's revenue for Q1 2021 reached ¥659,269,770.75, representing a 181.98% increase compared to ¥233,799,642.51 in the same period last year[8] - Net profit attributable to shareholders was ¥31,962,259.95, up 128.17% from ¥14,008,175.88 year-on-year[8] - The net profit after deducting non-recurring gains and losses was ¥30,297,170.62, reflecting a 126.14% increase from ¥13,397,250.16 in the previous year[8] - Basic earnings per share increased by 43.75% to ¥0.23 from ¥0.16 in the same period last year[8] - Total profit amounted to CNY 35,016,999.33, a 125.34% increase compared to the previous year[19] - The company's net profit was negatively impacted by rising raw material prices, with a significant increase in shipping costs of 22.12 million yuan, up 528.13% year-on-year[21] - The company reported a total of CNY 1,668.64 million in current assets, a decrease from CNY 1,715.41 million at the end of 2020[45] - The company reported a total of CNY 1,591,537,685.10 in current assets, unchanged from the previous period[72] Assets and Liabilities - Total assets at the end of the reporting period were ¥3,014,589,388.55, a 5.14% increase from ¥2,867,334,027.65 at the end of the previous year[8] - The total assets increased to CNY 3,014.59 million as of March 31, 2021, compared to CNY 2,867.33 million at the end of 2020[46] - Total liabilities increased to CNY 1.95 billion as of March 31, 2021, compared to CNY 1.85 billion at the end of 2020, reflecting a rise of approximately 5.9%[51] - The company’s total liabilities also rose, with current liabilities totaling ¥1,473,767,272.69, unchanged from the previous year[70] - Total liabilities reached CNY 1,703,419,905.25, compared to CNY 1,745,908,273.39, indicating an increase of CNY 42,488,368.14[74] Cash Flow - The company reported a net cash flow from operating activities of ¥6,228,936.98, a slight decrease of 1.08% compared to ¥6,297,019.66 in the same period last year[8] - Cash flow from operating activities was CNY 6.23 million, slightly down from CNY 6.30 million in the previous year, indicating stable cash generation[63] - Operating cash flow increased significantly to ¥734,763,952.74, up from ¥306,303,225.22, representing a growth of 140% year-over-year[66] - Cash flow from financing activities generated a net inflow of ¥43,631,418.90, a turnaround from a net outflow of -¥25,679,434.20 in the prior year[67] Investment and Expenditures - Research and development expenses rose by 123.27% to CNY 27,013,735.57, reflecting increased investment in innovation[18] - The company incurred total investment cash outflows of ¥98,533,528.48, up from ¥52,152,269.10 in the previous year, reflecting a 89% increase[67] - The total investment for the first phase of the "Smart Health West Industry Park" project is planned at 2 billion CNY, with fixed asset investment not less than 1 billion CNY[32] Market and Competitive Landscape - Cross-border e-commerce sales revenue grew by 243.94% year-on-year, while independent site sales revenue surged by 842.60%[20] - The ergonomic home office industry is experiencing rapid growth, leading to increased competition, which may affect the company's profit margins[27] - The company is expanding its global sales market and production supply chain to reduce the impact of potential trade tensions, particularly with the U.S.[24] Strategic Initiatives - The company aims to strengthen cost management and optimize supply chain resources to mitigate the impact of raw material price fluctuations on profit margins[25] - The company is focusing on product innovation, channel upgrades, and brand building to maintain its competitive edge in the ergonomic market[27] - The company has implemented an employee stock ownership plan to enhance employee engagement and align interests with shareholders[28] - The company completed its first employee stock ownership plan, purchasing 923,300 shares at an average price of 39.6483 CNY per share, totaling 36,607,262.80 CNY, representing 0.66% of the total share capital[29] Regulatory and Compliance - The company has not reported any non-compliance with fundraising management regulations during the reporting period[37] - There were no significant changes in project feasibility or any unutilized raised funds as of March 31, 2021, amounting to CNY 292.34 million[37] - The company received acceptance from the Shenzhen Stock Exchange for its application to issue shares to specific targets on February 22, 2021[30]

Financial Performance - The company achieved operating revenue of ¥1,940,664,262.01 in 2020, representing a 98.42% increase compared to ¥978,069,230.65 in 2019[27]. - Net profit attributable to shareholders reached ¥217,094,213.73, a significant increase of 244.70% from ¥62,980,526.80 in the previous year[27]. - The net profit after deducting non-recurring gains and losses was ¥184,740,280.50, up 277.30% from ¥48,963,997.58 in 2019[27]. - The company reported a weighted average return on equity of 24.17%, an increase of 15.94 percentage points from 8.23% in 2019[27]. - Total assets at the end of 2020 amounted to ¥2,867,334,027.65, reflecting a 90.76% increase from ¥1,503,124,846.39 at the end of 2019[27]. - The company reported a net cash flow from operating activities of ¥216,443,875.68, a 67.38% increase from ¥129,314,246.67 in 2019[27]. - The basic earnings per share increased to ¥1.57, up 241.30% from ¥0.46 in the previous year[27]. - In 2020, the company achieved a revenue of ¥1,940,664,262.01, representing a year-on-year growth of 98.42%[52]. - The net profit attributable to shareholders was ¥217,094,213.73, marking a significant increase of 244.7% compared to the previous year[52]. Research and Development - The company has a strong commitment to research and development in new products and technologies[14]. - The company increased its R&D investment by 105.5% during the reporting period, enhancing product diversity and technological advancement[53]. - The company has 647 R&D personnel, with R&D expenses increasing by 105.5% year-on-year, and holds 987 valid patents, including 63 authorized invention patents[80]. - The company has invested in R&D, focusing on core technologies such as embedded systems, IoT, and 5G applications, ensuring it maintains a leading position in the ergonomic office industry[67]. - The company has established a health research institute to support continuous innovation and development of new products and technologies[67]. Market Expansion and Strategy - The company operates in various sectors, including ergonomic technology and smart home products, with a focus on market expansion[14]. - The company has established multiple subsidiaries in regions such as Vietnam and the Philippines to enhance its market presence[11]. - The company has established a manufacturing base in Vietnam in 2015, which played a crucial role in ensuring timely order delivery during the pandemic[69]. - The company is focusing on expanding its overseas market presence and enhancing its logistics capabilities, including the establishment of overseas warehouses[155]. - The company plans to leverage its advantages in cross-border e-commerce and independent station strategies to enhance market positioning[155]. - The company has seen significant growth in its cross-border e-commerce business, leveraging its long-standing experience and partnerships to offer competitive shipping rates[41]. - The company has established 17 overseas warehouses globally, with a total area of 154,000 square meters, enhancing logistics efficiency[52]. Product Offerings - The main products include ergonomic workstations, smart adjustable desks, and intelligent fitness equipment, focusing on health and comfort for office workers[27]. - The product lineup includes smart electric desks, children's learning desks, and multifunctional fitness bikes, designed to improve user comfort and health during work and study[39]. - The smart electric bed features dual motor drive and wireless remote control, catering to various user needs, including the elderly and those with sleep disorders[31]. - The company continues to focus on innovation in ergonomic design and smart technology integration for its products[27]. - The company focuses on health-oriented office solutions, providing products that facilitate sit-stand and sit-move transitions for users, particularly targeting sedentary individuals[43]. Financial Management and Dividend Policy - The company reported a cash dividend of 1.8 RMB per 10 shares (including tax) and a capital reserve increase of 3 shares for every 10 shares held[6]. - The total number of shares for the dividend distribution is based on 138,896,080 shares[6]. - The cash dividend accounted for 11.52% of the net profit attributable to the company's ordinary shareholders[167]. - The cash dividend distribution policy requires a minimum of 30% of the average distributable profit over three consecutive years to be distributed in cash[162]. - The company has maintained a consistent cash dividend policy, with no changes made during the reporting period[162]. - The company emphasizes the importance of maintaining a reasonable return on investment for public shareholders and ensuring sustainable development[159]. Corporate Governance and Compliance - The financial report is guaranteed to be true, accurate, and complete by the board of directors and senior management[5]. - The company has committed to ensuring the accuracy and integrity of its financial disclosures, with strict adherence to legal responsibilities regarding misleading statements and omissions since December 2017[168]. - The company has established a long-term commitment to fulfill its promises regarding information disclosure and investor compensation in case of losses due to misleading information[168]. - The company has a commitment to protecting shareholder rights and ensuring compliance with relevant laws and regulations regarding profit distribution policies[170]. Operational Efficiency - The company has implemented a strategic layout of self-owned warehouses to mitigate future rental cost risks associated with third-party warehouses[63]. - The company has a complete value chain business model covering market research, product planning, R&D, supply chain management, manufacturing, channel construction, brand marketing, and after-sales service, which enhances its competitive advantage[64]. - The company has developed an ERP system and e-commerce management system to improve operational efficiency and data analysis capabilities[143]. - The company is leveraging data analytics to inform its strategic decisions and improve operational efficiency[151]. Challenges and Risks - The company emphasizes the importance of risk awareness regarding forward-looking statements in its strategic plans[6]. - The prevalence of cervical spondylosis in China is 17.3%, with over 200 million patients, indicating a significant market opportunity for ergonomic products[137]. - The ergonomic home industry in China is entering a rapid development phase due to increasing consumer demand for health-oriented office and lifestyle products, leading to intensified competition[151].

Financial Performance - Operating revenue for the period reached CNY 586,016,180.59, a year-on-year increase of 138.52%[8] - Net profit attributable to shareholders surged by 524.06% to CNY 93,300,308.26[8] - The net profit after deducting non-recurring gains and losses increased by 287.98% to CNY 80,483,331.40[8] - Basic earnings per share rose by 294.12% to CNY 0.67[8] - The company's total revenue for the reporting period reached ¥1,219,075,534.92, representing a 73.05% increase compared to ¥704,479,831.00 in the same period last year, primarily due to significant growth in overseas sales[21] - Net profit for the period was ¥161,124,156.82, a substantial increase of 320.79% from ¥38,291,197.08 in the previous year, driven by increased revenue[21] - Total operating revenue for Q3 2020 reached ¥586,016,180.59, a significant increase from ¥245,690,113.33 in the same period last year, representing a growth of approximately 138%[50] - The net profit for the third quarter reached CNY 93,200,437.20, compared to CNY 14,807,995.15 in the previous year, marking an increase of about 528%[52] - The total profit for Q3 2020 was CNY 168,000,245.45, compared to CNY 42,848,564.73 in Q3 2019, which is an increase of about 292%[60] Asset and Liability Management - Total assets increased by 59.74% to CNY 2,401,123,725.21 compared to the end of the previous year[8] - The total liabilities increased by 56.36% to ¥631,523,575.00, compared to ¥403,902,772.67, primarily due to increased borrowing[20] - Current liabilities totaled ¥1,188,093,418.67, compared to ¥703,241,456.43 in the previous year, marking an increase of about 69%[44] - Total assets reached ¥2,401,123,725.21, up from ¥1,503,124,846.39, indicating a growth of approximately 60%[45] - Total liabilities amounted to CNY 651,755,074.57, with current liabilities at CNY 647,373,153.92[82] Cash Flow and Investments - Cash flow from operating activities increased by 35.79% to CNY 50,814,312.21[8] - Cash flow from operating activities increased by 43.74% to ¥128,992,817.45, up from ¥89,741,014.37, attributed to business growth[22] - Cash inflow from investment activities totaled CNY 175,792,500.67, compared to CNY 220,155,168.99 in the previous period, reflecting a decrease of around 20%[70] - Cash outflow for investment activities surged to CNY 658,749,260.84, up from CNY 84,049,628.50, resulting in a net cash flow from investment activities of -CNY 482,956,760.17[70] - Financing activities generated cash inflow of CNY 969,100,451.80, compared to CNY 514,321,085.39 in the previous period, marking an increase of approximately 88%[70] Shareholder Information - The company reported a total of 8,714 common shareholders at the end of the reporting period[12] - The largest shareholder, Ningbo Lijing Electronics Group Co., Ltd., holds 28.20% of the shares[12] - The company has not conducted any repurchase transactions during the reporting period[14] - The top 10 shareholders did not engage in any repurchase transactions during the reporting period[14] - The company’s actual controller holds a combined 59.79% of the shares through various entities[16] Research and Development - Research and development expenses rose by 98.48% to ¥45,652,633.73, compared to ¥23,001,271.94 in the previous year, reflecting increased investment in R&D[21] - Research and development expenses for Q3 2020 were CNY 15,706,557.16, which is an increase from CNY 8,778,825.47, reflecting the company's commitment to innovation[55] Market Strategy and Growth - The company has seen significant growth in both revenue and profit, indicating strong market demand and operational efficiency[8] - The company plans to continue expanding its overseas market presence and investing in new product development to sustain growth[21] - The company anticipates continued growth driven by its internationalization strategy and the increasing demand for ergonomic products amid the pandemic[33] Stock and Equity Management - The company has a total of 10,795,683 shares that are subject to lock-up agreements, with specific release dates outlined[17] - The company has implemented a stock option incentive plan, with stock options granted on July 23, 2020[26] - The company increased its share capital by 6 shares for every 10 shares held, resulting in a total of 52,086,030 new shares issued, raising total share capital to 138,896,080 shares[34] Financial Compliance and Governance - The company has not disclosed any related party transactions among the top shareholders during the reporting period[14] - The company has no reported instances of non-compliance regarding external guarantees during the reporting period[35] - There were no non-operational fund occupations by controlling shareholders or related parties during the reporting period[36]

Financial Performance - The company's operating revenue for the first half of 2020 was ¥633,059,354.33, representing a 37.98% increase compared to ¥458,789,717.67 in the same period last year[18]. - The net profit attributable to shareholders of the listed company reached ¥68,153,755.93, a significant increase of 190.22% from ¥23,483,733.07 in the previous year[18]. - The net profit after deducting non-recurring gains and losses was ¥61,817,619.13, up 277.70% from ¥16,366,902.61 in the same period last year[18]. - The net cash flow from operating activities was ¥78,178,505.24, an increase of 49.42% compared to ¥52,320,972.75 in the previous year[18]. - The basic earnings per share rose to ¥0.79, a 192.59% increase from ¥0.27 in the same period last year[18]. - Total assets at the end of the reporting period were ¥1,763,630,425.86, reflecting a 17.33% increase from ¥1,503,124,846.39 at the end of the previous year[18]. - The net assets attributable to shareholders of the listed company increased to ¥853,535,054.81, a rise of 7.42% from ¥794,558,794.13 at the end of the previous year[18]. - The weighted average return on net assets was 8.24%, up from 3.17% in the same period last year, an increase of 5.07%[18]. Business Strategy and Operations - The company introduced a new cross-border e-commerce public overseas warehouse service project, expanding its service offerings to small and medium-sized foreign trade enterprises across China[26]. - The establishment of public overseas warehouses is crucial for small and medium-sized foreign trade enterprises, enabling them to overcome regional limitations and enhance their competitiveness in the cross-border e-commerce sector[38]. - The company has leveraged its extensive experience in cross-border e-commerce to help small and medium-sized enterprises expand internationally, achieving significant cost advantages with a shipping discount rate of approximately 35% compared to the typical 50-60% for smaller sellers[39]. - The company has focused on strategic partnerships for outsourcing low-value-added products to improve production capacity and delivery efficiency[44]. - The company has diversified its sales channels, including both online and offline strategies, with a strong emphasis on M2C direct sales through major e-commerce platforms like Tmall and Amazon[45]. - The company has established a robust supply chain management system, ensuring quality control and cost-effectiveness in procurement processes[42]. - The company aims to integrate resources and foster collaborative growth among enterprises in the cross-border e-commerce industry, promoting a sustainable development model[39]. Research and Development - The company has developed over 150 patents for its innovative products, showcasing its commitment to research and development[30]. - R&D expenses increased by 64.59% during the reporting period, enhancing product diversity and technological advancement[49]. - The company focuses on integrating IoT and sensing technology into its products, creating smart office and home environments[25]. - The company provides a comprehensive solution for users' health and productivity by offering products such as smart height-adjustable workstations and 5G smart meeting systems, addressing health issues related to prolonged sitting[36]. - The company has registered the "Loctek" trademark in 56 countries, enhancing its brand presence in international markets[69]. Financial Management - The company reported a financial expense of CNY 2,871,896.04, compared to a financial income of CNY 940,082.99 in the previous year, indicating a shift in financial performance[200]. - The company has not engaged in any entrusted loans during the reporting period, maintaining a conservative financial approach[119]. - The company has implemented a foreign exchange hedging strategy to mitigate risks associated with currency fluctuations, ensuring stable operational performance[118]. - The company has established a derivative trading management system to regulate foreign exchange hedging operations and enhance internal controls[118]. - The company has not engaged in any derivative investments during the reporting period[110]. Shareholder and Corporate Governance - The company plans to distribute a capital reserve bonus of 6 shares for every 10 shares held, with no cash dividends declared[4]. - The company held four shareholder meetings during the reporting period, with investor participation rates ranging from 62.55% to 64.66%[130]. - The company has not experienced any major litigation or arbitration matters during the reporting period[135]. - The company has not reported any litigation issues, reflecting a stable legal environment for its operations[118]. - The company has not engaged in any related party transactions during the reporting period[142]. Market Outlook and Challenges - The company faces risks from international political and economic conditions, particularly due to its significant export business, especially to the United States, which is its largest foreign sales region[124]. - The company is exposed to raw material price fluctuations, which could affect product gross margins and overall financial stability; it plans to enhance cost management and optimize supply chain resources[125]. - The competitive landscape in the ergonomic office furniture market is intensifying, with increasing competition potentially leading to a decline in average industry profit margins[126]. - The overall market outlook remains positive, with expectations of continued growth driven by increased demand for ergonomic products[116]. Capital and Investment - The company plans to issue convertible bonds totaling up to RMB 142 million to enhance production capacity, focusing on a project to upgrade production lines for 1.2 million ergonomic products annually[80]. - The company has invested in a manufacturing base in Vietnam, which has proven crucial for maintaining production during the pandemic and trade tensions[65]. - The company has committed to ensuring the effective use of raised funds to minimize investment risks and enhance efficiency[105]. - The total amount of raised funds is RMB 290.48 million, with RMB 3.16 million invested during the reporting period[100].

Financial Performance - Total revenue for Q1 2020 was CNY 233,799,642.51, representing a 3.11% increase compared to CNY 226,750,540.11 in the same period last year[8]. - Net profit attributable to shareholders was CNY 14,008,175.88, a 36.15% increase from CNY 10,288,589.45 year-on-year[8]. - Net profit after deducting non-recurring gains and losses surged by 340.83% to CNY 13,397,250.16 from CNY 3,039,067.66 in the previous year[8]. - Basic earnings per share increased by 33.33% to CNY 0.16 from CNY 0.12 in the same period last year[8]. - Operating profit reached 16.67 million yuan, reflecting a year-on-year growth of 41.49%[21]. - The company reported a total comprehensive income of CNY 14,013,405.70, compared to CNY 10,288,300.15 in the previous year[50]. - The company reported a net profit increase of 4.38% in undistributed profits from 328,698,896.44 to 343,193,921.59[65]. Cash Flow and Assets - The net cash flow from operating activities decreased significantly by 79.68% to CNY 6,297,019.66 compared to CNY 30,991,642.29 in the previous year[8]. - Cash inflow from operating activities totaled 245,503,350.51 CNY, slightly down from 246,138,565.12 CNY year-over-year[57]. - Cash outflow from operating activities was 239,206,330.85 CNY, compared to 215,146,922.83 CNY in the previous year, indicating an increase of approximately 11.2%[57]. - Current assets increased to CNY 1,132,988,124.98 as of March 31, 2020, up from CNY 1,063,601,375.55 as of December 31, 2019, representing a growth of approximately 6.9%[39]. - Total assets at the end of the reporting period were CNY 1,570,625,315.38, up 4.49% from CNY 1,503,124,846.39 at the end of the previous year[8]. - Total liabilities increased to CNY 745,780,396.91 as of March 31, 2020, compared to CNY 708,195,058.78 at the end of 2019, reflecting a rise of approximately 5.3%[41]. Investments and R&D - The company increased its investment in research and development, with R&D expenses rising by 62.52% to 12.10 million yuan[20]. - The company has invested CNY 4,000 million in financial products, with the remaining funds stored in a dedicated account[32]. - The project for producing 100,000 monitor brackets and 35,000 lifting platforms has achieved a utilization rate of 86.06%[31]. - The mold center upgrade project has a utilization rate of 89.98% with cumulative investment of 3,131.22 million[31]. - The R&D and design center upgrade project has a utilization rate of 57.64% with cumulative investment of 2,989.43 million[31]. Market and Operational Strategy - The increase in revenue was driven by the shift to remote work due to the COVID-19 pandemic, with the company's products aligning well with this trend[21]. - The company plans to continue expanding its market presence and product offerings in response to changing consumer needs[21]. - The company aims to raise up to RMB 30 million through the issuance of convertible bonds, with net proceeds intended for projects including the production line upgrade for 1.2 million ergonomic products and expansion of the Vietnam production base[27]. - The company continues to focus on product innovation and upgrading, channel enhancement, brand building, and international market layout to achieve strategic goals[25]. Risks and Compliance - The company faces risks from fluctuations in raw material prices, which could impact product gross margins and overall operational stability[24]. - The company is exposed to exchange rate fluctuations, particularly as a significant portion of revenue is generated in USD, which could affect competitiveness and result in foreign exchange gains or losses[25]. - The company has identified risks related to intensified industry competition, which may lead to declining average profit margins in the ergonomic furniture sector[26]. - The company is currently undergoing the re-certification process for high-tech enterprise status, which could impact tax benefits if not successfully renewed[26]. - The company has confirmed that there are no violations regarding the management of raised funds, and all disclosures regarding the use of these funds are accurate and timely[33]. Shareholder Information - The top shareholder, Ningbo Lijing Electronics Group Co., Ltd., holds 28.06% of the shares, amounting to 24,478,320 shares[12]. - The company does not have any plans for share repurchase transactions among the top shareholders during the reporting period[13].

Financial Performance - The company's operating revenue for 2019 was CNY 978,069,230.65, representing a 3.31% increase compared to CNY 946,775,935.21 in 2018[16]. - The net profit attributable to shareholders for 2019 was CNY 62,980,526.80, which is a 9.36% increase from CNY 57,590,907.68 in the previous year[16]. - The net profit after deducting non-recurring gains and losses was CNY 48,963,997.58, up 17.19% from CNY 41,782,139.92 in 2018[16]. - The net cash flow from operating activities increased by 34.54% to CNY 129,314,246.67, compared to CNY 96,118,018.76 in 2018[16]. - The total assets at the end of 2019 reached CNY 1,503,124,846.39, a 28.82% increase from CNY 1,166,803,043.32 in 2018[16]. - The net assets attributable to shareholders were CNY 794,558,794.13, reflecting a 7.55% increase from CNY 738,794,380.75 in the previous year[16]. - The basic earnings per share for 2019 was CNY 0.73, an increase of 8.96% from CNY 0.67 in 2018[16]. - The weighted average return on equity for 2019 was 8.23%, slightly up from 8.08% in 2018[16]. Dividend Distribution - The company plans to distribute a cash dividend of CNY 3 per 10 shares to all shareholders[5]. - The company declared a cash dividend of 3.00 CNY per share (including tax), totaling 26,046,435 CNY for the fiscal year 2019[140]. - The cash dividend amount represents 41.36% of the net profit attributable to ordinary shareholders, which was 62,980,526.80 CNY for the same period[141]. - The total number of shares for the dividend distribution was based on 86,821,450 shares after excluding repurchased shares[140]. - The company has maintained a cash dividend payout ratio of at least 20% in recent years, aligning with its profit distribution policy[140]. - The company has established a profit distribution policy prioritizing cash dividends, aiming for a minimum of 80% payout in mature stages without significant capital expenditures[136]. Research and Development - R&D expenses increased by 18.67%, driving the diversification and intelligence of product offerings[46]. - The company has established a health research institute focusing on the development of embedded systems, IoT, and 5G technology applications, ensuring a leading technical capability in the ergonomic office industry[58]. - The company is focusing on enhancing its R&D capabilities and market expansion strategies[108]. - The company aims to improve its product offerings through ongoing research and development initiatives[108]. Product and Market Strategy - The company focuses on ergonomic products and linear drive components, with a commitment to innovation in health and comfort solutions for office workers[27]. - The main products include smart height-adjustable workstations and ergonomic screen mounts, with the smart height-adjustable workstation winning the Upper Design Award[27]. - The company plans to expand its product offerings in smart office solutions and enhance user experience through technology integration[27]. - The ergonomic product line focuses on health-conscious solutions for office environments, addressing issues like cervical and lumbar diseases[48]. - The company maintains a multi-channel sales model, including both online and offline strategies, to expand market reach[44]. Financial Health and Investments - Long-term equity investments increased by 340.1% to approximately CNY 36.54 million, primarily due to new investments in Ningbo[52]. - Cash and cash equivalents increased by 150.51% to approximately CNY 616.23 million, driven by increased bank loans and cash inflows from operating activities[52]. - The company maintains a healthy financial status with strong asset quality and revenue-generating capabilities[27]. - The company reported a 28.62% increase in employee compensation liabilities, reaching approximately CNY 24.11 million, due to an expanded workforce[53]. Risk Management and Challenges - The company faces risks related to operational performance fluctuations due to market and external competition changes[126]. - The company is concerned about potential impacts from intensified US-China trade tensions on its export revenues[127]. - The ergonomic furniture industry is experiencing intensified competition, which may lead to a decline in average industry profit margins[130]. Corporate Governance and Compliance - The company has ensured that minority shareholders had the opportunity to express their opinions and that their legal rights were adequately protected[139]. - The company has committed to full compensation for any losses resulting from non-compliance with social security and housing fund contributions[147]. - The company has established measures to ensure that related party transactions are conducted at fair market value[146]. Shareholder Engagement and Management - The company plans to communicate actively with minority shareholders to gather their opinions and concerns regarding profit distribution policies[143]. - The company has a commitment to not transfer or manage shares held prior to the IPO for 36 months, ensuring stability in shareholding[144]. - The company will not exceed the cumulative distributable profits when distributing dividends, ensuring it does not harm the company's ongoing operations[143].

Financial Performance - The company's operating revenue for 2019 was approximately ¥978.07 million, representing a 3.31% increase compared to ¥946.78 million in 2018[16]. - The net profit attributable to shareholders for 2019 was approximately ¥62.98 million, an increase of 9.36% from ¥57.59 million in 2018[16]. - The net cash flow from operating activities increased by 34.54% to approximately ¥129.31 million in 2019, compared to ¥96.12 million in 2018[16]. - The total assets of the company at the end of 2019 were approximately ¥1.50 billion, reflecting a 28.82% increase from ¥1.17 billion at the end of 2018[16]. - The net assets attributable to shareholders increased by 7.55% to approximately ¥794.56 million at the end of 2019, compared to ¥738.79 million at the end of 2018[16]. - The basic earnings per share for 2019 were ¥0.73, up 8.96% from ¥0.67 in 2018[16]. - The company reported a significant increase in the net profit from non-recurring gains and losses, which rose by 17.19% to approximately ¥48.96 million in 2019[16]. - The weighted average return on net assets for 2019 was 8.23%, slightly up from 8.08% in 2018[16]. Dividend Policy - The company plans to distribute a cash dividend of ¥3 per 10 shares to all shareholders, based on a total of 86,821,450 shares[5]. - The company implemented a cash dividend distribution plan on May 24, 2019, distributing a total of RMB 17.4684 million, with a cash dividend of RMB 2.00 per 10 shares[137]. - The company aims to maintain a cash dividend ratio of at least 80% during mature stages without significant capital expenditures, and at least 40% with significant expenditures[138]. - The cash dividend amount represents 41.36% of the net profit attributable to ordinary shareholders, which was 62,980,526.80 CNY for 2019[144]. - The company has consistently maintained a minimum cash dividend payout ratio of 20% during its development phase[142]. - The company will conduct annual cash dividends post the annual shareholders' meeting, with potential mid-term distributions based on profitability and funding needs[140]. Research and Development - The company increased its R&D expenses by 18.67% during the reporting period, enhancing product diversity and innovation[47]. - The company’s R&D capabilities are positioned at the forefront of the industry, ensuring a competitive edge in product innovation and market responsiveness[52]. - The company maintains a research personnel ratio of 25.72%, indicating a strong focus on innovation and product development[90]. - The company plans to enhance product functionality, comfort, safety, and design through continuous innovation and market research[121]. Product Strategy - The company focuses on linear drive, smart office, and health office solutions, targeting sedentary office workers[27]. - The linear drive smart lifting system is a core technology integrated into various products, enhancing user comfort and health[28]. - The company plans to expand its product offerings, including a multifunctional fitness chair and adjustable children's study desks[31]. - Sales of ergonomic workstation products increased by 22.32%, contributing ¥645,374,357.48 to total revenue[78]. - The company’s overseas online sales grew by 8.22%, reaching ¥822,689,563.03, accounting for 84.11% of total revenue[72]. Market and Competition - The ergonomic furniture market in China is expected to grow rapidly, driven by increasing consumer awareness and demand for health-oriented products[50]. - The company faces risks related to operational performance fluctuations due to market changes and rising costs[128]. - The company is exposed to risks from intensified US-China trade tensions, which could impact its sales and profitability in the US market[129]. - The company faces intensified competition in the ergonomic furniture industry, which may lead to a decline in average industry profit margins[132]. Corporate Governance and Compliance - The company emphasizes compliance and governance, ensuring the protection of shareholders' rights through a structured board and supervisory committee[185]. - The company has established measures to avoid and minimize related party transactions during the tenure of major shareholders[149]. - The company has committed to not providing loans or financial assistance for the acquisition of restricted stock under the incentive plan[152]. - The company will disclose any failure to fulfill public commitments through designated channels, including shareholder meetings and regulatory bodies[152]. Investment and Financing - The company plans to raise up to RMB 30 million through a public offering of convertible bonds, with net proceeds allocated for a production line upgrade project for 1.2 million ergonomic products, expansion of the Vietnam production base, and working capital supplementation[192]. - The company has committed to invest RMB 29,048,300 in various projects, of which RMB 23,868,500 has been utilized[109]. - The total amount of cash and cash equivalents increased by 150.51% to approximately CNY 616.23 million, driven by increased bank loans and cash inflows from operating activities[53]. Social Responsibility - The company has established educational funds in several universities, demonstrating its commitment to social responsibility and community support[187]. - The company promotes employee satisfaction through health initiatives and feedback mechanisms, fostering a caring work environment[186]. Risk Management - The company is addressing raw material price volatility risks by optimizing supply chain resources and improving production efficiency[130]. - The company will actively explore the Belt and Road market and improve its global sales and supply chain layout to mitigate external risks[127].

Financial Performance - Net profit attributable to shareholders was ¥14,950,623.41, representing a year-on-year increase of 15.14%[10] - Operating revenue for the reporting period was ¥245,690,113.33, a slight increase of 0.90% compared to the same period last year[10] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥20,744,409.39, up 82.15% year-on-year[10] - Basic earnings per share for the reporting period was ¥0.17, an increase of 13.33% compared to the same period last year[10] - The weighted average return on equity was 1.97%, an increase of 0.19% compared to the previous year[10] - The company reported a decrease in operating profit, leading to a 30.70% reduction in income tax expenses to ¥4,557,367.65 from ¥6,575,978.95[26] - The total profit for Q3 2019 was ¥2,130,041.22, a decrease of 89.83% from ¥20,970,476.08 in Q3 2018[50] - Net profit for Q3 2019 was ¥2,492,849.75, down 84.91% from ¥16,526,368.24 in Q3 2018[51] - The total comprehensive income for Q3 2019 was ¥16,578,237.48, an increase of 14.87% from ¥14,431,510.37 in Q3 2018[51] - The company's total operating costs for the year-to-date period were ¥662,400,018.86, an increase from ¥644,870,876.88 in the same period last year[53] Assets and Liabilities - Total assets at the end of the reporting period reached ¥1,436,681,503.18, an increase of 23.13% compared to the end of the previous year[10] - The total assets increased to ¥1,436,681,503.18 from ¥1,166,803,043.32 at the end of 2018[39] - The total liabilities rose to ¥666,512,066.00 from ¥428,009,350.61 at the end of 2018[39] - The company's total liabilities increased significantly, reflecting a strategic shift towards leveraging for growth[24] - The total amount of other current assets decreased by 75.04% to ¥64,700,121.67 from ¥259,244,267.70, mainly due to the maturity of financial products[24] - The company's total liabilities increased to CNY 627,697,444.38 from CNY 472,884,343.79, representing a rise of about 32.7%[44] - Total liabilities amounted to CNY 428,009,350.61, with current liabilities at CNY 423,123,673.53 and non-current liabilities at CNY 4,885,677.08[70] Cash Flow - The company reported a net cash flow from operating activities of ¥89,741,014.37, an increase of 84.25% year-on-year[10] - The net cash flow from operating activities increased by 84.25% to ¥89,741,014.37, primarily due to an increase in received payments of ¥58 million compared to the previous period[27] - The net cash flow from investing activities showed a significant change, with a net inflow of ¥136,105,540.49, compared to a net outflow of ¥152,706,125.32 in the previous year, mainly due to the maturity of financial products purchased in the prior period[27] - The net cash flow from financing activities increased by 240.85% to ¥74,772,724.51, primarily due to an increase in bank loans during the reporting period[27] - Total cash inflow from operating activities reached ¥924,548,941.45, significantly up from ¥493,429,975.80 year-on-year[64] - The net cash flow from investing activities was ¥133,641,094.53, a recovery from a negative cash flow of ¥138,307,691.04 in the previous period[66] - The company reported a total cash inflow from financing activities of ¥418,592,126.88, up from ¥103,427,538.79 in the previous period[66] Shareholder Information - The total number of shareholders at the end of the reporting period was 9,118[14] - The largest shareholder, Ningbo Lijing Electronics Co., Ltd., held 28.03% of the shares[14] - The company completed the first unlock period of its 2018 restricted stock incentive plan, with 463,670 shares unlocked, while 111,370 shares were repurchased and canceled due to non-fulfillment of performance conditions by certain individuals[28] - The company has implemented a stock incentive plan, with various executives holding restricted shares that are subject to unlocking regulations[18] - The company reported no violations regarding external guarantees or non-operating fund occupation by controlling shareholders during the reporting period[32][31] Government Subsidies and Other Income - The company received government subsidies amounting to ¥7,242,416.61 during the reporting period[11] - Other income rose by 63.15% to ¥5,337,681.00 from ¥3,271,700.00, mainly due to increased government subsidies related to production[25] Research and Development - Research and development expenses for Q3 2019 were CNY 8,778,825.47, slightly up from CNY 8,483,733.99, indicating an increase of approximately 3.5%[46] - Research and development expenses increased to ¥8,778,825.47, up 14.19% from ¥7,687,815.19 in the previous year[50]