Group 1: Company Overview - The company is named Meirui New Materials Co., Ltd. with stock code 300848 [1] - The investor relations activity took place on January 17, 2022, from 13:30 to 14:30 [2] Group 2: Product and Technology - The company has developed its own PBS production technology, which is considered a trade secret [3] - Meirui is the first domestic company to achieve localization of key TPU production equipment, significantly reducing reliance on imported equipment and costs [3] Group 3: Project Updates - The polyurethane new materials industrial park project in Hebi, Henan, is being implemented by Meirui Technology (Henan) Co., Ltd., with land acquisition completed and preliminary project approvals underway [2] - The project will primarily focus on producing polyurethane new materials and aims to develop a complete industrial chain for polyurethane production [2] Group 4: Financial Aspects - The company has a significant amount of accounts payable due to payment terms established in procurement contracts with raw material suppliers [3]

Revenue and Profit - Revenue for Q3 2022 was CNY 372,842,981.84, a decrease of 1.20% year-on-year, while year-to-date revenue reached CNY 1,166,240,366.50, an increase of 29.10%[3] - Net profit attributable to shareholders for Q3 2022 was CNY 25,384,031.00, down 16.83% year-on-year, with year-to-date net profit at CNY 80,949,669.11, an increase of 6.39%[3] - Basic earnings per share for Q3 2022 was CNY 0.13, a decrease of 13.33% compared to the same period last year, while year-to-date basic earnings per share was CNY 0.40, an increase of 5.26%[3] - The net profit for the current period is CNY 81,260,747.01, an increase from CNY 76,082,889.06 in the previous period, representing a growth of approximately 4.5%[21] - The total profit for the current period is CNY 96,120,757.97, compared to CNY 89,643,747.63 in the previous period, reflecting an increase of approximately 7.3%[21] - The company’s operating profit for the current period is CNY 96,336,650.78, an increase from CNY 89,539,421.13 in the previous period, representing a growth of about 7.9%[21] Assets and Liabilities - Total assets at the end of Q3 2022 were CNY 1,709,914,344.48, reflecting a 1.30% increase from the end of the previous year[4] - Total assets as of September 30, 2022, were RMB 1,709,914,344.48, up from RMB 1,687,997,248.82 at the beginning of the year, marking a growth of 1.3%[17] - Total liabilities decreased to RMB 690,104,011.24 from RMB 723,979,662.59, a reduction of 4.7%[16] - Shareholders' equity attributable to the parent company increased by 6.11% year-on-year, reaching CNY 943,122,226.59 at the end of Q3 2022[4] - Shareholders' equity increased to RMB 1,019,810,333.24 from RMB 964,017,586.23, reflecting a growth of 5.8%[17] Cash Flow - The net cash flow from operating activities for the first nine months of 2022 was CNY -30,346,027.66, a significant decrease of 172.95% compared to CNY 41,596,669.62 in the same period of 2021[9] - The cash flow from operating activities showed a net outflow of CNY -30,346,027.66, a decline from a net inflow of CNY 41,596,669.62 in the previous period[24] - The cash and cash equivalents at the end of the period totaled CNY 398,977,706.73, a decrease from CNY 423,241,990.97 in the previous period[25] - Cash and cash equivalents as of September 30, 2022, were RMB 415,268,706.73, compared to RMB 371,132,753.41 at the beginning of the year, reflecting a growth of 11.9%[14] - The cash flow from investing activities generated a net inflow of CNY 8,793,343.13, down from CNY 81,976,505.47 in the previous period[24] Research and Development - Research and development expenses for the first nine months of 2022 were CNY 51,892,623.20, a 42.71% increase compared to CNY 36,361,070.40 in the same period of 2021[9] - Research and development expenses increased to RMB 51,892,623.20, representing a rise of 42.8% from RMB 36,361,070.40 in the previous period[18] Inventory and Receivables - The company reported a significant increase in inventory, with a decrease of 30.03% year-on-year, attributed to a reduction in stock quantity[8] - Inventory decreased to RMB 239,418,046.60 from RMB 342,176,648.39, showing a decline of 30.0%[15] - Accounts receivable increased to RMB 113,050,753.30 from RMB 41,709,278.61, indicating a significant rise of 171.5%[15] Financial Expenses - The company’s financial expenses showed a 79.90% increase due to growth in foreign exchange gains[9]

Financial Performance - The company reported a revenue of RMB 500 million for the first half of 2022, representing a year-on-year increase of 15%[15]. - The company's operating revenue for the first half of 2022 was ¥793,397,384.66, representing a 50.82% increase compared to ¥526,038,477.47 in the same period last year[21]. - Net profit attributable to shareholders was ¥55,565,638.11, up 21.95% from ¥45,563,214.82 year-on-year[21]. - The net profit after deducting non-recurring gains and losses was ¥44,433,937.51, reflecting a 24.84% increase from ¥35,592,001.53 in the previous year[21]. - The company's basic and diluted earnings per share increased to ¥0.28, a rise of 21.74% compared to ¥0.23 in the same period last year[21]. - The total comprehensive income for the period was CNY 55,761,180.33, compared to CNY 45,563,214.82 in the same period last year, indicating a growth of 22.4%[154]. - The company's net profit for the first half of 2022 was CNY 55.76 million, representing a 22.4% increase from CNY 45.56 million in the first half of 2021[153]. - Total operating revenue for the first half of 2022 reached CNY 793.40 million, a significant increase of 50.7% compared to CNY 526.04 million in the same period of 2021[152]. Research and Development - The company plans to invest RMB 100 million in R&D for new product development in the next fiscal year[15]. - Research and development investment increased by 65.89% to CNY 35.78 million, indicating a strong focus on innovation[43]. - The company added 4 international invention patents and 17 domestic invention patents in the first half of 2022[39]. - The company has developed strong R&D capabilities, enabling it to provide differentiated products and services through innovative production formulas and processes[33]. - The company plans to continue investing in new product development and market expansion strategies to drive future growth[157]. Market Strategy and Expansion - The company has outlined a market expansion strategy targeting Southeast Asia, aiming for a 25% market share by 2025[15]. - User data indicates a 20% increase in customer base, reaching 10,000 active users by the end of June 2022[15]. - The company is exploring potential mergers and acquisitions to enhance its market position and product offerings[15]. - The company is actively seeking collaborations in the fields of new energy, medical, and personal care to expand its market presence[39]. - The company is focusing on enhancing its production capabilities and expanding its market presence through new projects[59]. Financial Position and Assets - Total assets at the end of the reporting period reached ¥1,789,698,455.32, a 6.02% increase from ¥1,687,997,248.82 at the end of the previous year[21]. - Cash and cash equivalents increased to ¥477,758,391.03, representing 26.69% of total assets, up from 21.99% last year, a 4.70% increase[47]. - Accounts receivable rose to ¥71,413,416.81, accounting for 3.99% of total assets, an increase of 1.52% from the previous year[47]. - Inventory decreased to ¥301,637,406.81, now 16.85% of total assets, down by 3.42% compared to last year[47]. - The company's intangible assets increased to ¥195,050,433.29, now accounting for 10.90% of total assets, a rise of 9.35% from last year[48]. Environmental and Compliance - The management emphasized the importance of environmental compliance and sustainability in its operational strategy[15]. - The company has passed environmental assessments and established an environmental management system certified by ISO14001:2015, but may face increased operational costs due to stricter environmental regulations[74]. - The company reported a total wastewater discharge of 14.137 tons, with a COD concentration of 93 mg/L, which is compliant with the national standards[87]. - The company has not faced any significant environmental issues or violations during the reporting period, ensuring all pollution prevention facilities are operating normally[88]. - The company has implemented a self-monitoring plan for environmental management, with all emissions meeting the required standards[90]. Risks and Challenges - The company is facing risks related to raw material price fluctuations, with a projected increase of 10% in costs due to market conditions[3]. - Rising labor costs are a concern, as the trend of increasing employee wages could impact the company's future profitability[74]. - The construction and operation of the polyurethane new materials industrial park may face uncertainties due to macroeconomic and market environment factors, as well as potential policy adjustments[75]. - The company faces intensified market competition in the TPU industry, necessitating continuous innovation and efficiency improvements[73]. Shareholder and Capital Management - No cash dividends or stock bonuses will be distributed to shareholders for this period[4]. - The company has not planned to distribute cash dividends or issue bonus shares for the half-year period[83]. - The company is focused on enhancing shareholder value through strategic capital management and dividend distribution[126]. - The company anticipates further growth in shareholder equity and market capitalization in the next fiscal period[129]. - The company has implemented a strategy to manage shareholding structures effectively, ensuring compliance with regulations[127].

Financial Performance - The company's operating revenue for Q1 2022 was ¥391,094,965.74, representing a 43.24% increase compared to the same period last year[3] - The net profit attributable to shareholders was ¥22,606,400.09, showing a slight increase of 0.49% year-on-year[3] - Total operating revenue for the current period reached ¥391,094,965.74, a significant increase of 43.3% compared to ¥273,027,968.17 in the previous period[26] - Net profit for the current period was ¥22,610,253.21, slightly up from ¥22,495,546.52, reflecting a growth of 0.5%[27] - Earnings per share remained stable at ¥0.17 for both the current and previous periods[28] Cash Flow - The net cash flow from operating activities was -¥48,891,628.78, a significant decrease of 249.75% compared to the previous year[14] - Cash inflow from operating activities totaled ¥278,721,398.58, an increase of 48.5% compared to ¥187,557,468.24 in the last period[28] - The net cash flow from operating activities was -48,891,628.78, a decrease from 32,648,629.03 in the previous period[30] - The company experienced a net decrease in cash and cash equivalents of -76,625,356.81, contrasting with an increase of 92,731,887.32 in the prior period[31] - The company’s cash outflow from operating activities totaled 327,613,027.36, compared to 154,908,839.21 in the previous period[30] Assets and Liabilities - The total assets at the end of the reporting period were ¥1,751,537,271.14, reflecting a 3.76% increase from the end of the previous year[3] - The total liabilities stood at CNY 1,303,229,886.39, with short-term borrowings remaining stable at CNY 27,024,581.95[23] - Total liabilities rose to ¥764,909,431.70, compared to ¥723,979,662.59 in the previous period, reflecting a growth of 5.7%[24] - The total equity attributable to shareholders increased by 2.54% to ¥911,446,957.57[4] - Total equity increased to ¥986,627,839.44, up from ¥964,017,586.23, marking a growth of 2.7%[24] Receivables and Inventory - The company's accounts receivable increased by 171.60% to ¥113,282,871.11, primarily due to increased sales[9] - The company has a significant receivable increase, with accounts receivable rising to CNY 113,282,871.11 from CNY 41,709,278.61, marking an increase of approximately 171.36%[22] - Inventory levels increased to CNY 355,377,906.85 from CNY 342,176,648.39, showing a growth of about 3.06%[23] Expenses - Research and development expenses rose by 49.40% to ¥17,083,509.02, indicating a focus on innovation[12] - Research and development expenses increased to ¥17,083,509.02, up 49.8% from ¥11,434,529.54 in the previous period, indicating a focus on innovation[26] - The company reported a significant increase in management expenses by 55.39% to ¥7,895,161.21, attributed to rising operational costs[12] Shareholder Information - The company has a total of 91,502,000 shares held by major shareholders, with the largest shareholder, Wang Renhong, holding 51,802,000 shares[20] - The company’s major shareholders include Shandong Ruichuang Investment Partnership and Shandong Shangge Investment Partnership, holding 12,000,000 and 8,000,000 shares respectively[20] Government Subsidies - The company received government subsidies amounting to ¥1,597,163.22, which are closely related to its normal business operations[6] Financial Performance Indicators - The weighted average return on equity was 2.51%, a decrease of 0.32% compared to the previous year[3] - The company reported a financial income of ¥1,006,384.04 from fair value changes, compared to ¥613,725.24 in the previous period, indicating improved financial performance[26] Other Information - The company has not reported any new product developments or market expansion strategies during the conference call[21]

Financial Performance - The company's operating revenue for 2021 was CNY 1,297,752,752.20, representing a 71.47% increase compared to CNY 756,861,545.18 in 2020[18]. - The net profit attributable to shareholders for 2021 was CNY 119,146,747.52, a 16.77% increase from CNY 102,031,654.33 in 2020[18]. - The net cash flow from operating activities increased by 27.29% to CNY 161,032,852.34 in 2021, up from CNY 126,509,945.36 in 2020[18]. - The total assets at the end of 2021 reached CNY 1,687,997,248.82, a 62.56% increase from CNY 1,038,382,907.11 at the end of 2020[18]. - The company reported a basic earnings per share of CNY 0.89 for 2021, a slight decrease of 1.11% from CNY 0.90 in 2020[18]. - The company has seen a significant increase in its net assets, which rose by 13.51% to CNY 888,840,557.48 at the end of 2021 compared to CNY 783,027,809.96 at the end of 2020[18]. - In 2021, the company achieved a revenue of 1.298 billion yuan, representing a year-on-year growth of 71.47%[44]. - The sales volume reached 62,500 tons, an increase of 25.43% compared to the previous year[44]. - The net profit attributable to shareholders was 119 million yuan, reflecting a growth of 16.77% year-on-year[44]. - The TPU production volume reached 69,900 tons in 2021, marking a 36.37% increase from the previous year[45]. Profit Distribution - The company reported a profit distribution plan of 2.00 RMB cash dividend per 10 shares (including tax) and a capital reserve increase of 5 shares per 10 shares[4]. - The company reported a cash dividend of RMB 2.00 per 10 shares, totaling RMB 26,668,000.00, which represents 100% of the total profit distribution[140]. - The company plans to distribute cash dividends with a minimum of 80% of profits during profit distribution when in a mature stage without significant capital expenditure[168]. - In the case of significant capital expenditures during a mature stage, the minimum cash dividend proportion is set at 40%[168]. - For companies in a growth stage with significant capital expenditures, the minimum cash dividend proportion is 20%[168]. - The company aims to distribute at least 30% of the average distributable profit over any three consecutive fiscal years in cash, provided conditions are met[167]. Risks and Challenges - The company faces risks including raw material price fluctuations, intensified market competition, rising labor costs, and environmental protection risks[4]. - The company emphasizes the importance of risk awareness for investors regarding potential market and policy risks[4]. - The management highlighted the importance of macroeconomic conditions and raw material price fluctuations on the supply and demand dynamics of the TPU market[28]. - The company is facing risks from fluctuations in raw material prices, which significantly impact production costs and operating results[98]. - The construction and operation of the polyurethane new materials industrial park may face uncertainties due to macroeconomic and policy changes, potentially leading to project delays or modifications[100]. Research and Development - The company is actively engaged in R&D, with 58 patents, including 16 authorized inventions from overseas[37]. - The R&D budget has increased by 20% to support innovation and technology advancements in material science[122]. - The company launched 5 international invention patents and 13 domestic invention patents in 2021, enhancing its innovation capabilities[45]. - The number of R&D personnel increased by 9.84% to 67 in 2021, with a notable rise in the number of bachelor's degree holders by 20.93%[64]. - The company aims to improve product performance through technological research and development, enhancing product quality and supply capabilities[97]. Market Position and Strategy - The company is positioned in the polyurethane industry, which is experiencing rapid growth due to its wide applications across various sectors[27]. - The TPU (thermoplastic polyurethane) segment is identified as a key growth area, with increasing production capabilities and competitive advantages in the domestic market[28]. - The company has established a significant competitive advantage in certain niche markets through product quality, technological innovation, and differentiated services[29]. - The company is focused on optimizing product structure and enhancing production automation to strengthen its market position[28]. - The company has expanded its sales channels and is focusing on direct customers in the mid-to-high-end market to enhance profitability and customer loyalty[34]. Governance and Compliance - The company's governance structure includes a shareholder meeting, board of directors, and supervisory board, ensuring compliance with relevant laws and protecting shareholder rights[105]. - The board consists of 7 members, including 3 independent directors, and operates in accordance with established rules to ensure diligent decision-making[106]. - The company maintains strict compliance with information disclosure regulations, ensuring timely and accurate information is provided to all shareholders[107]. - The company operates independently from its controlling shareholders, with no reliance on them for business operations, and has a complete R&D, procurement, and sales system[109]. - The company has established effective internal control systems in compliance with relevant regulations[142]. Employee and Management - The total number of employees at the end of the reporting period was 285, with 265 in the parent company and 20 in major subsidiaries[135]. - The employee composition includes 147 production personnel, 26 sales personnel, 67 technical personnel, 5 financial personnel, and 40 administrative personnel[136]. - The company has implemented a performance-based compensation system to maintain market competitiveness and ensure internal fairness[137]. - The company emphasizes talent development through a comprehensive training system aimed at enhancing employees' skills and capabilities[138]. - The company reported a total remuneration of 6.3243 million yuan paid to directors, supervisors, and senior management during the reporting period[124]. Environmental and Social Responsibility - The company has established an environmental management system and passed the ISO 14001:2015 certification, but faces risks related to stricter environmental regulations that may increase operational costs[99]. - The company actively engages in social responsibility initiatives, including disaster relief efforts and educational support through scholarships[156]. - The company has implemented a comprehensive hazard identification and management system, conducting daily, weekly, and monthly inspections to ensure safety management[158]. - The company invests in safety production according to regulatory requirements, ensuring adequate funding for safety conditions[157]. Investment and Capital Management - The company raised a total of CNY 469.76 million from its initial public offering, with a net amount of CNY 421.02 million after deducting issuance costs[85]. - The company has a total of CNY 22.28 million in unused raised funds, which includes interest income after deducting fees[85]. - The company has engaged in wealth management activities, with a total of CNY 80.56 million in entrusted financial management, including CNY 20 million in bank wealth management products and CNY 16 million in securities firm wealth management products[200]. - The company has established a management system for the use of raised funds to ensure compliance with legal and regulatory requirements[176]. Future Outlook - The company expects a revenue growth guidance of 10-15% for the next fiscal year, driven by new product launches and market expansion[122]. - The company plans to achieve an annual production capacity of 200,000 tons of thermoplastic polyurethane (TPU) by 2023, with an investment of RMB 286 million[88]. - The company aims to enhance its core competitiveness by providing differentiated and customized TPU products, targeting various high-performance applications[97]. - The company will actively promote the construction of the Henan polyurethane new materials industrial park project to create new profit growth points[98].

美瑞新材料股份有限公司 证券代码：300848 证券简称：美瑞新材 公告编号：2021-077 2021 年第三季度报告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没有虚假记载、误导 性陈述或重大遗漏。 重要内容提示： 1、董事会、监事会及董事、监事、高级管理人员保证季度报告的真实、准确、完整，不 存在虚假记载、误导性陈述或重大遗漏，并承担个别和连带的法律责任。 2、公司负责人、主管会计工作负责人及会计机构负责人(会计主管人员)声明：保证季度 报告中财务信息的真实、准确、完整。 3、第三季度报告是否经过审计 □ 是 √ 否 一、主要财务数据 (一)主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期 | 本报告期比上年同期 | 年初至报告期末 | 年初至报告期末 | | --- | --- | --- | --- | --- | | | | 增减 | | 比上年同期增减 | | 营业收入（元） | 377,354,669.83 | 64.15% | 903,393,147.30 | 77.76% | | 归属于上市公司股东的净利 | 30,521, ...

Financial Performance - The company reported a revenue of RMB 500 million for the first half of 2021, representing a year-on-year increase of 20%[14] - The company's operating revenue for the reporting period was ¥526,038,477.47, representing an increase of 88.99% compared to the same period last year[20] - The net profit attributable to shareholders was ¥45,563,214.82, reflecting a growth of 23.03% year-over-year[20] - The company achieved a revenue of CNY 526.04 million in the first half of 2021, representing a year-on-year growth of 88.99%[34] - The net profit attributable to shareholders was CNY 45.56 million, an increase of 23.03% compared to the same period last year[35] - The company reported a total comprehensive income attributable to the parent company of approximately ¥45.56 million, compared to ¥37.04 million in the same period of 2020, marking an increase of 23.2%[145] Research and Development - The company plans to invest RMB 100 million in R&D for new product development in the next fiscal year[14] - R&D investment increased by 109.87% year-on-year, amounting to CNY 21.57 million, reflecting the company's commitment to innovation[39] - The company filed for 2 international invention patents and 3 domestic invention patents in the first half of 2021, showcasing its focus on R&D[37] - The company has a robust R&D capability, enabling rapid response to market demands and customization of product formulations[31] Market Strategy and Expansion - The company has outlined a market expansion strategy targeting Southeast Asia, aiming for a 10% market share by 2023[14] - User data indicates a 15% increase in customer base, reaching 1 million active users by June 30, 2021[14] - The company has developed new partnerships in the smart wearable sector, enhancing its market presence and brand influence[36] Financial Position - Total assets at the end of the reporting period reached ¥1,489,579,593.29, up 43.45% from the end of the previous year[20] - Cash and cash equivalents increased to ¥408,072,828.38, representing 27.40% of total assets, up from 19.02% last year, a change of 8.38%[46] - Inventory rose significantly to ¥342,623,040.03, accounting for 23.00% of total assets, compared to 9.11% last year, an increase of 13.89% due to higher sales and stockpiling of raw materials and finished goods[46] - Total liabilities increased to CNY 674,322,568.51 from CNY 255,355,097.15, which is an increase of about 164.5%[136] Risk Factors - The company is facing risks related to raw material price fluctuations, which could impact future profitability[4] - The company acknowledges the risk of project investment returns being affected by market changes and project implementation challenges[76] - To mitigate risks from market competition, the company will increase R&D investment and enhance production efficiency through intelligent upgrades[73] Corporate Governance - No cash dividends or stock bonuses will be distributed to shareholders for this period[5] - The company has not engaged in any major asset or equity acquisitions during the reporting period[99] - There were no significant lawsuits or penalties against the company during the reporting period[97] - The annual shareholders' meeting had a participation rate of 72.61%[82] Investment Projects - The company plans to invest in the "Polyurethane New Material Industrial Park," focusing on the production of polyurethane new materials, with an initial registered capital of RMB 50 million[104] - The annual production capacity of the integrated elastomer project is expected to reach 200,000 tons, with an estimated investment of RMB 366 million, aiming for sales of 160,000 tons and revenue of RMB 2.7 billion, net profit projected at RMB 300 million[61] - The marketing network project is aimed at improving operational and information management capabilities, with a construction period of 2 years, and is currently under development[61] Environmental and Social Responsibility - The company emphasizes the importance of environmental protection and has passed the ISO 14001:2015 environmental management system certification[74] - The company has obtained the high-tech enterprise certificate, valid for three years, which allows it to enjoy a preferential corporate income tax rate of 15%[75] Financial Reporting and Compliance - The half-year financial report has not been audited[94] - The financial statements are prepared based on the going concern assumption, indicating no significant issues affecting the company's ability to continue operations for at least 12 months[178] - The company adheres to the accounting policies and estimates as per the relevant accounting standards, ensuring accurate financial reporting[180]

美瑞新材料股份有限公司 2021 年第一季度报告全文 美瑞新材料股份有限公司 2021 年第一季度报告 2021-034 2021 年 04 月 1 美瑞新材料股份有限公司 2021 年第一季度报告全文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 除下列董事外，其他董事亲自出席了审议本次季报的董事会会议 | 未亲自出席董事姓名 | 未亲自出席董事职务 | 未亲自出席会议原因 | 被委托人姓名 | | --- | --- | --- | --- | | 刘沪光 | 董事 | 其他公务 | 王仁鸿 | 公司负责人王仁鸿、主管会计工作负责人都英涛及会计机构负责人(会计主 管人员)都英涛声明：保证季度报告中财务报表的真实、准确、完整。 2 非经常性损益项目和金额 √ 适用 □ 不适用 单位：元 | 项目 | 年初至报告期期末金额 | 说明 | | --- | --- | --- | | 计入当期损益的政府补助（与企业业务密切相关，按照国家统 | 280,633.04 | - | | 一标准定 ...

Financial Performance - The company's operating revenue for 2020 was ¥756,861,545.18, representing a 16.71% increase compared to ¥648,518,070.18 in 2019[17]. - The net profit attributable to shareholders for 2020 was ¥102,031,654.33, a 22.39% increase from ¥83,363,822.07 in 2019[17]. - The net cash flow from operating activities increased by 41.56% to ¥126,509,945.36 in 2020, compared to ¥89,367,404.18 in 2019[17]. - The total assets at the end of 2020 reached ¥1,038,382,907.11, a 134.09% increase from ¥443,582,321.90 at the end of 2019[17]. - The net assets attributable to shareholders increased by 201.20% to ¥783,027,809.96 at the end of 2020, compared to ¥259,973,464.13 at the end of 2019[17]. - The company reported a basic earnings per share of ¥1.79 for 2020, up 7.19% from ¥1.67 in 2019[17]. - The gross profit margin for 2020 was 21.60%, a decrease of 2.71 percentage points compared to 2019, but adjusted gross margin was 24.16%, nearly flat with 2019's 24.31%[42]. - The company reported a net profit of ¥43,155,219.32 in Q4 2020, showing significant growth compared to previous quarters[19]. Dividend Distribution - The company plans to distribute a cash dividend of 2 RMB per 10 shares to all shareholders, based on a total share capital of 66,670,000 shares as of December 31, 2020[4]. - The company reported a cash dividend of 13,334,000 CNY, representing 100% of the total distributable profit, with a distribution ratio of 2 CNY per 10 shares[98]. - The cash dividend distribution for 2020 represents 13.07% of the net profit attributable to ordinary shareholders, which was RMB 102,031,654.33[105]. - In 2019, the company distributed a cash dividend of RMB 4 per 10 shares, totaling RMB 20,000,000, which accounted for 23.99% of the net profit attributable to ordinary shareholders[101][105]. - The company has consistently provided dividends over the past three years, indicating a commitment to returning value to shareholders[105]. - The total cash dividends distributed over the last three years were RMB 43,334,000, reflecting a stable dividend policy[105]. Research and Development - The company focuses on the research, production, and sales of thermoplastic polyurethane elastomers (TPU), which are widely used in various industries[26]. - The company emphasizes advanced R&D technology and production processes to meet customized customer needs and market demands[26]. - The company has established a product manager system to enhance R&D efficiency, with performance evaluations conducted monthly and annually[27]. - R&D expenses rose by 35.92% to approximately ¥32.25 million, representing 4.26% of total operating revenue, driven by new product development[61]. - The company filed for 6 international invention patents and 9 domestic invention patents in 2020, along with 14 international trademarks and 8 domestic trademarks[42]. - The number of R&D personnel increased to 61, accounting for 23.46% of the total workforce[63]. Market Position and Strategy - The company focuses on differentiated technology innovation, providing customized products to meet diverse customer needs in the TPU market[34]. - The company has successfully established a stable cooperation with benchmark customers in various application fields, enhancing its market influence and profitability[28]. - The TPU industry in China is experiencing rapid growth, with the company positioned to compete directly with foreign firms in the mid-to-high-end market[30]. - The company’s marketing strategy combines distribution and direct sales, enhancing market penetration and brand influence while reducing marketing costs[28]. - The company aims to enhance its core competitiveness by focusing on differentiated and customized TPU products, targeting to replace imported materials and increase domestic production rates[89]. Risks and Challenges - The company faces risks including fluctuations in raw material prices, intensified market competition, environmental protection risks, and rising labor costs[4]. - The average procurement price of raw material A increased by approximately 16% in the second half of 2020 compared to the first half[46]. - The competitive landscape in the TPU industry is intensifying, necessitating continuous innovation and efficiency improvements to meet mid-to-high-end market demands[92]. - Labor costs are rising due to diminishing demographic dividends, prompting the company to invest in automation to mitigate the impact on profitability[94]. Corporate Governance and Compliance - The company has a commitment to ensuring the accuracy and completeness of its financial reports, as stated by the responsible executives[3]. - The company maintained a governance structure involving the shareholders' meeting, board of directors, and supervisory board to protect the rights of shareholders and creditors[147]. - The company has established a fundraising management system to ensure that raised funds are used effectively for intended projects[118]. - The company has implemented changes in accounting policies in accordance with the new revenue recognition standards, effective from January 1, 2020[121]. - The company has not experienced any non-operating fund occupation by controlling shareholders or related parties during the reporting period[120]. Environmental and Social Responsibility - The company is committed to environmental sustainability, having established an environmental management system and achieved ISO14001:2015 certification, while also addressing potential waste emissions[93]. - The company has made significant contributions to community support during the pandemic, including donations of protective materials and financial aid to local medical institutions[151]. - The company has established a scholarship program to support underprivileged students, promoting social responsibility and community engagement[151]. - The company is committed to environmental protection and has implemented various measures to prevent pollution and promote sustainable practices[156]. Shareholder Commitments and Stock Management - The company has a lock-up period for major shareholders, preventing them from transferring shares for a specified duration post-IPO[107]. - The company will extend the lock-up period by at least six months if the stock price falls below the issuance price for 20 consecutive trading days[108]. - The company plans to limit annual share reductions to no more than 5% of the total share capital during the two years following the lock-up period[109]. - The company will conduct cash dividends annually after the shareholders' meeting, based on its profit status and funding needs[111]. - The company commits to compensating losses to investors if it fails to fulfill its share reduction commitments under specific circumstances[110]. Employee and Management Structure - The company employed a total of 260 staff, with 135 in production, 26 in sales, 61 in technical roles, 4 in finance, and 34 in administration[195][196]. - The educational background of employees includes 40 with master's degrees or above, 90 with bachelor's degrees, 54 with associate degrees, and 76 with vocational or lower education levels[196]. - The total remuneration paid to directors, supervisors, and senior management during the reporting period amounted to 5.2807 million yuan[193]. - The company emphasizes a performance-oriented compensation system to maintain market competitiveness and internal fairness[197].

Financial Performance - Operating revenue for the quarter was ¥229,883,184.42, up 33.71% from the same period last year[8] - Net profit attributable to shareholders was ¥21,840,792.95, representing a 15.64% increase year-over-year[8] - Total operating revenue for Q3 2020 was CNY 229,883,184.42, an increase of 33.7% compared to CNY 171,928,795.56 in Q3 2019[39] - Net profit for Q3 2020 reached CNY 21,840,792.95, representing a growth of 15.4% from CNY 18,886,384.66 in Q3 2019[39] - Total operating revenue for the period reached ¥508,220,970.65, an increase of 13.2% compared to ¥449,058,725.97 in the previous period[41] - Net profit for the period was ¥58,876,435.01, representing a growth of 12.4% from ¥52,020,218.11 in the same period last year[43] Assets and Liabilities - Total assets increased to ¥944,579,907.07, a growth of 112.94% compared to the end of the previous year[8] - Current assets totaled CNY 750,789,437.83 as of September 30, 2020, compared to CNY 259,594,395.25 at the end of 2019, indicating a significant increase[34] - The company's total assets reached CNY 944,579,907.07, a substantial increase from CNY 443,582,321.90 at the end of 2019[37] - The total liabilities amounted to CNY 204,707,316.43, compared to CNY 183,608,857.77 at the end of 2019, showing a growth of 11.9%[36] - The total assets amounted to 443,582,321.90 CNY, with total liabilities at 183,608,857.77 CNY, resulting in total equity of 259,973,464.13 CNY[54] Shareholder Information - Net assets attributable to shareholders reached ¥739,872,590.64, reflecting a 184.60% increase year-over-year[8] - The company had a total of 66,670,000 shares outstanding as of the last trading day before the report[8] - The top shareholder, Wang Renhong, holds 38.85% of the shares, totaling 25,901,000 shares[12] - The company reported no changes in share capital due to new stock issuance or other reasons affecting equity[8] Cash Flow - Net cash flow from operating activities surged to ¥50,329,076.90, a dramatic increase of 1,093.47% compared to the previous year[8] - Net cash flow from operating activities decreased by 87.57% to ¥4,896,507.73, primarily due to increased cash payments for inventory[23] - The net cash flow from financing activities surged by 4,190.69% to ¥440,757,817.00, attributed to funds raised from the public offering[23] - The total cash and cash equivalents at the end of the period decreased to 74,965,249.09 CNY from 117,266,615.60 CNY at the beginning of the period[48] Expenses - Total operating costs for Q3 2020 were CNY 202,885,479.97, up 35.8% from CNY 149,349,398.72 in the same period last year[39] - Research and development expenses for Q3 2020 were CNY 9,066,954.24, an increase of 36% from CNY 6,673,292.55 in Q3 2019[39] - Research and development expenses increased to ¥19,343,526.61, up from ¥16,609,446.00, indicating a growth of 10.5%[41] - Sales expenses dropped by 67.75% to ¥5,362,453.15, as shipping costs were reclassified under operating costs[21] - Sales expenses decreased significantly to ¥5,362,453.15 from ¥16,627,442.09, a reduction of 67.8%[41] Legal and Regulatory - The company received a favorable ruling from the Düsseldorf District Court, dismissing BASF's patent infringement claims[24] - The company has implemented new revenue and leasing standards starting from 2020, requiring adjustments to the financial statements[49] - The company did not conduct an audit for the third-quarter report, which remains unaudited[55]