Revenue and Profitability - The company's revenue for Q1 2021 was ¥52,705,368.73, representing a 16.59% increase compared to ¥45,204,802.11 in the same period last year[8]. - Net profit attributable to shareholders decreased by 26.82% to ¥6,161,342.30 from ¥8,419,145.79 year-on-year[8]. - The company achieved operating revenue of 52.71 million yuan in Q1 2021, an increase of 16.59% year-on-year and 11.21% quarter-on-quarter[22]. - Net profit attributable to ordinary shareholders was 6.16 million yuan, a decrease of 26.82% year-on-year but an increase of 93.12% quarter-on-quarter[22]. - The total operating revenue for Q1 2021 was CNY 52,705,368.73, an increase of 16.5% compared to CNY 45,204,802.11 in Q1 2020[42]. - The net profit for Q1 2021 was CNY 6,161,342.30, a decrease of 26.8% from CNY 8,419,145.79 in Q1 2020[44]. - The total comprehensive income for the period was CNY 4,914,680.50, down from CNY 9,558,306.79 in the previous period[49]. Cash Flow - The net cash flow from operating activities surged by 16,313.25% to ¥13,291,876.11, compared to ¥80,982.58 in the previous year[8]. - The net cash flow from operating activities was CNY 13,291,876.11, a significant increase from CNY 80,982.58 in the previous period[52]. - Total cash inflow from operating activities reached ¥58,843,394.06, up from ¥50,385,304.11 in Q1 2020, reflecting a year-over-year increase of approximately 29.0%[55]. - Cash outflow for purchasing goods and services decreased to ¥26,381,033.98 from ¥32,529,018.15, representing a reduction of about 19.0%[55]. - The company reported a net cash outflow from investing activities of ¥10,279,838.00, which is a decline from a smaller outflow of ¥109,306.00 in the previous year[56]. - The ending balance of cash and cash equivalents increased to ¥131,421,555.55, compared to ¥39,521,135.74 at the end of Q1 2020, marking a substantial increase of approximately 233.0%[56]. Assets and Liabilities - Total assets increased by 2.26% to ¥560,173,184.62 from ¥547,813,965.43 at the end of the previous year[8]. - The total assets as of March 31, 2021, amounted to CNY 560,173,184.62, an increase from CNY 547,813,965.43 on December 31, 2020[34]. - Current assets totaled CNY 349,171,359.47, compared to CNY 334,619,079.10 at the end of 2020, reflecting a growth of approximately 4.2%[34]. - Total liabilities were CNY 37,378,413.33, up from CNY 31,990,780.37, marking an increase of about 16.5%[36]. - The total liabilities as of March 31, 2021, were CNY 34,178,968.14, compared to CNY 22,620,803.57 at the end of 2020, indicating a significant increase[40]. Shareholder Information - The total number of shareholders at the end of the reporting period was 9,914, with the top ten shareholders holding a significant portion of the shares[12]. - The company did not engage in any repurchase transactions among the top ten shareholders during the reporting period[13]. Research and Development - Research and development expenses increased by 76.20% to 3.00 million yuan, reflecting heightened investment following the launch of Hefei Huaye[20]. - The research and development expenses for Q1 2021 were CNY 3,001,432.44, which is an increase of 76.2% compared to CNY 1,703,444.64 in Q1 2020[43]. - Research and development expenses increased to CNY 1,939,266.58, up 35% from CNY 1,437,374.67 in the previous period[47]. Government Subsidies - The company received government subsidies amounting to ¥1,175,732.16 during the reporting period, which significantly contributed to its financial performance[9]. Other Financial Metrics - Basic and diluted earnings per share fell by 45.15% to ¥0.1074 from ¥0.1958 in the same period last year[8]. - The weighted average return on equity decreased to 1.19% from 3.29% year-on-year, a decline of 2.10%[8]. - The company's equity remained stable at CNY 57,350,000.00, with capital reserves unchanged at CNY 243,843,022.81[36]. - The company has no violations regarding external guarantees during the reporting period[28]. - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period[29]. - The company has not conducted any research, communication, or interview activities during the reporting period[30].

Financial Performance - The company's operating revenue for 2020 was CNY 206,021,034.71, a decrease of 4.09% compared to CNY 214,814,811.76 in 2019[16]. - The net profit attributable to shareholders for 2020 was CNY 40,217,022.85, down 12.12% from CNY 45,761,901.12 in the previous year[16]. - The net profit after deducting non-recurring gains and losses was CNY 22,524,546.68, a significant decline of 44.51% compared to CNY 40,590,232.19 in 2019[16]. - The net cash flow from operating activities was CNY 11,158,117.40, representing an 81.82% decrease from CNY 61,365,210.29 in 2019[16]. - The total assets at the end of 2020 reached CNY 547,813,965.43, an increase of 42.44% from CNY 384,594,202.14 at the end of 2019[16]. - The net assets attributable to shareholders increased by 105.32% to CNY 515,823,185.06 from CNY 251,225,197.39 in 2019[16]. - The basic earnings per share for 2020 were CNY 0.8633, down 18.88% from CNY 1.0642 in 2019[16]. - The weighted average return on net assets was 12.30%, a decrease of 7.52% from 19.82% in the previous year[16]. - The company achieved operating revenue of 206.02 million yuan, a year-on-year decrease of 4.09%, and a net profit attributable to shareholders of 40.22 million yuan, down 12.12%[47]. - The company reported a total investment of CNY 4,500,000, unchanged from the previous year, indicating stable investment activity[82]. Dividend Policy - The company plans to distribute a cash dividend of CNY 2 per 10 shares, based on a total of 57,350,000 shares[5]. - The cash dividend distributed in 2020 represents 28.52% of the net profit attributable to the company's ordinary shareholders, which was RMB 40,217,022.85[124]. - The total distributable profit for the year was RMB 184,629,112.42, with the cash dividend amounting to 100% of the profit distribution[120]. - The company has a clear and transparent cash dividend policy that complies with its articles of association and shareholder resolutions[120]. - The company has not made any adjustments to its cash dividend policy during the reporting period[120]. Market and Industry Overview - The company primarily engages in the research, production, and sales of lactone series synthetic flavors, being the largest producer in China[24]. - The main products include γ-Butyrolactone and δ-Valerolactone, widely used in food, daily chemicals, feed, and tobacco industries[25]. - The flavor and fragrance industry is characterized by strong cyclicality, closely tied to macroeconomic cycles and the performance of downstream industries such as food and beverage, daily chemicals, and tobacco[32]. - The domestic flavor and fragrance market is in a growth phase, with China's market share reaching approximately 20% of the global industry[31]. - The demand for flavoring agents in the food and beverage industry is driven by the increasing disposable income and consumption upgrades in China[98]. - The daily chemical industry is expected to see further growth in demand for flavoring agents due to rising living standards[100]. - The tobacco industry relies on flavoring agents to enhance cigarette quality and mask raw material defects, indicating a stable market demand[101]. - The feed industry is experiencing rapid growth, with the total industrial feed output expected to reach 220 million tons by the end of the 13th Five-Year Plan[102]. Research and Development - R&D investment for the year was 10.30 million yuan, accounting for 5% of operating revenue, with a steady increase in the proportion of R&D investment[51]. - The company completed the R&D of natural peach aldehyde, natural coconut aldehyde, and natural decanol, with plans to launch these products in 2021, which are expected to become new growth points[52]. - The company has obtained a total of 52 patent certificates by the end of 2020, enhancing its competitive edge in the industry[54]. - The number of R&D personnel increased to 39 in 2020, accounting for 16.05% of the total workforce[74]. - The company reported a significant increase in the number of new product development initiatives, focusing on solid acid catalysts and various flavor compounds[73]. Production and Operations - The company operates three types of workshops: propylene lactone workshop, butyrolactone workshop, and a comprehensive workshop for product processing and packaging[28]. - The company maintains a stable pricing policy for its products, consistent across direct sales and distribution channels[29]. - The company employs a batch procurement strategy to maintain appropriate inventory levels, ensuring quality control through inspection upon receipt[27]. - The company has established long-term stable partnerships with qualified suppliers for raw material procurement, enhancing supply chain reliability[27]. - The company has a production scale of over 4,000 tons for its lactone series products, making it the largest producer in the domestic market[43]. Environmental and Safety Management - The company has implemented a comprehensive occupational health management system, conducting health checks for all employees exposed to occupational hazards[178][179]. - The company has not experienced any significant safety production accidents in 2020 and has not faced administrative penalties due to safety issues[174]. - The company has established a safety responsibility system, ensuring accountability at all levels of the organization[176]. - The company has committed to environmental protection and has implemented measures to comply with national standards for pollutant emissions[107]. - The company has a wastewater treatment capacity of 1,200 tons per day and has built an 800m³ accident water pool[186]. Strategic Initiatives - The company is actively expanding its market presence in Europe and the United States, aiming to increase market share of its leading products[50]. - The company is currently constructing a project to produce 3,000 tons/year of butyrolactone series synthetic flavors[60]. - The company is considering potential acquisitions to diversify its product offerings, with a budget of 300 million RMB allocated for this purpose[132]. - A strategic acquisition of a local spice manufacturer is expected to be finalized in Q2 2021, which will enhance production capacity by 40%[128]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in sales from this region by the end of 2021[128]. Shareholder Commitments - The controlling shareholder remains optimistic about the company's and industry’s development prospects and is willing to hold shares long-term[129]. - The shareholder commits to not transferring shares within 12 months of the company's stock listing and will adhere to legal regulations regarding share transfers[129]. - The company has committed to not transferring or entrusting the management of its shares for twelve months following the stock listing[130]. - The company will ensure that any share reductions after the lock-up period will not be below 120% of the latest audited net asset value per share[130]. - The company has committed to strictly fulfill all public commitments made during the initial public offering process on the Growth Enterprise Market[138]. Compliance and Governance - The company has confirmed that it will comply with laws and regulations regarding the obligations of controlling shareholders[140]. - The company has not reported any non-standard audit reports for the current period[142]. - The company has not made any profit forecasts for assets or projects during the reporting period[141]. - The company has not engaged in any related party transactions during the reporting period[151]. - The company has established a stable profit distribution policy and dividend plan to actively return profits to shareholders[168].

Financial Performance - Operating revenue for the current period was CNY 44,156,362.10, a 3.88% increase year-on-year[7] - Net profit attributable to shareholders for the current period was CNY 11,996,501.05, a 6.76% increase year-on-year[7] - Basic earnings per share for the current period was CNY 0.2790, a 6.77% increase year-on-year[7] - The company's operating revenue for Q3 2020 was CNY 48,957,011.12, an increase from CNY 42,465,061.43 in the previous period[37] - The net profit for Q3 2020 reached CNY 11,996,501.05, compared to CNY 11,236,714.88 in the same period last year, reflecting a growth of approximately 6.8%[35] - The total profit for Q3 2020 was CNY 13,617,935.45, an increase from CNY 12,845,022.31 in the previous period[34] - The total profit for the year-to-date period reached CNY 41,935,103.58, compared to CNY 38,855,082.84 in the previous year[41] - The net profit attributable to the parent company was ¥40,022,636.30, representing a growth of 7.4% from ¥37,280,834.77 in the same period last year[46] Assets and Liabilities - Total assets increased by 63.07% to CNY 627,150,460.82 compared to the end of the previous year[7] - Total liabilities decreased to CNY 45,933,455.67 from CNY 49,348,204.45[30] - The total assets increased to ¥627,150,460.82, up from ¥384,594,202.14, reflecting overall growth in the company's financial position[25] - Total liabilities amounted to CNY 133,369,004.75, with non-current liabilities totaling CNY 71,022,175.50[58] - The total equity attributable to shareholders reached CNY 251,225,197.39, while total equity was CNY 251,225,197.39[58] Cash Flow - The net cash flow from operating activities was negative at CNY -8,684,509.99, a decrease of 136.33% compared to the same period last year[7] - Net cash flow from operating activities dropped by 117.11% to -¥7,083,071.61, mainly due to increased inventory for the Hefei Phase I project[16] - The cash flow from operating activities showed a net outflow of ¥7,083,071.61, a significant decrease compared to a net inflow of ¥41,395,558.51 in the previous period[49] - The net cash flow from financing activities was ¥220,913,743.00, a significant improvement from -¥4,162,753.59, reflecting successful fundraising through share issuance[16] - The company received cash inflow from financing activities totaling 260,579,275.19, significantly higher than 54,368,228.46 in the previous period[50] Expenses - Sales expenses decreased by 67.58% to ¥1,564,832.25, due to the adjustment of freight costs to operating costs under new revenue standards[15] - Financial expenses surged by 1320.51% to ¥1,895,385.03, primarily due to increased interest expenses and reduced foreign exchange gains[15] - The company reported a financial expense of CNY 1,895,385.03 for the current period, significantly higher than CNY 133,429.61 in the previous year[41] - The total operating costs increased to ¥126,620,408.19 from ¥93,525,797.33, reflecting a rise of 35.4%[44] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 18,935[11] - Owner's equity increased significantly to CNY 525,139,877.93 from CNY 261,426,922.95[30] Government Support - Government subsidies recognized in the current period amounted to CNY 12,857,887.50, primarily related to business operations[9] - Other income rose by 42.26% to ¥8,535,287.50, driven by increased government grants received[15] Research and Development - Research and development expenses rose to CNY 2,295,607.45 from CNY 1,646,007.15[33] - Research and development expenses for Q3 2020 amounted to CNY 1,882,160.34, compared to CNY 1,467,733.79 in the previous year, showing an increase of about 28.2%[37]