Investment and Market Development - The company plans to increase investment in the market development of large offshore wind power ring forgings to enhance core competitiveness[4]. - The company emphasizes a balanced development strategy between domestic and overseas markets to mitigate risks from policy fluctuations in the wind power industry[4]. - The company is actively expanding its product variety and market dimensions in response to changes in global wind power market conditions[5]. - The company is focused on expanding its production capacity to meet market demands in various sectors, including construction machinery and nuclear power[90]. - The company plans to increase its export business, which currently accounts for 30% of total sales, aiming for a 10% increase in the next fiscal year[96]. - The company is expanding its market presence, targeting new regions in Southeast Asia, with an estimated investment of 100 million RMB for market entry[117]. Financial Performance - The company's operating revenue for 2021 was approximately ¥1.069 billion, a decrease of 2.59% compared to ¥1.097 billion in 2020[17]. - The net profit attributable to shareholders for 2021 was approximately ¥72.39 million, down 45.94% from ¥133.90 million in 2020[17]. - The total operating revenue for 2021 was ¥1,068,930,986.04, a decrease of 2.59% compared to ¥1,097,353,755.08 in 2020[57]. - Wind power revenue accounted for 80.75% of total revenue, totaling ¥863,202,681.15, down 7.98% from the previous year[57]. - The company's gross profit margin for wind power was 13.28%, a decrease of 7.14% year-over-year[59]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the fiscal year 2021, representing a year-over-year growth of 15%[116]. Research and Development - The company invested CNY 34,937,301.04 in R&D in 2021, representing 3.27% of its operating revenue[68]. - The company is developing a 2.5-3.0MW wind turbine gearbox forging, aiming for batch production to enhance product performance and specifications[64]. - The R&D project for ultra-large wall-thickness flanges is in the process of verification and aims to meet industry advanced levels, enhancing the company's market position[64]. - The company is working on a high-performance alloy wind turbine main bearing cage, which is currently in trial production, to improve product durability in harsh environments[66]. - The company plans to enhance its talent acquisition and training to build a professional team for R&D, production, and management[177]. - The company is focusing on new product development, with an investment of 50 million yuan allocated for R&D in advanced equipment technology[96]. Profit Distribution - The profit distribution plan approved by the board is a cash dividend of 2.00 yuan per 10 shares (including tax) based on a base of 100,000,000 shares[6]. - The company plans to conduct at least one profit distribution annually, with cash dividends prioritized over stock distributions[135]. - The company aims for a stable profit distribution policy, considering investor returns and operational conditions[135]. - The total distributable profit for the year is reported at 310,788,972.45 CNY, with the cash dividend amounting to 100% of the profit distribution total[141]. - The cash dividend policy requires a minimum distribution of 10% of the distributable profit, with specific thresholds based on the company's development stage[138]. - The company will ensure that the profit distribution plan complies with legal and regulatory requirements[183]. Risk Management - The company acknowledges risks related to macroeconomic fluctuations and the impact of wind power industry policies on operational conditions[4]. - The company faces risks from fluctuations in wind power industry demand, which could significantly impact revenue and profitability[89]. - Raw material costs account for over 70% of the company's main business costs, making it sensitive to price fluctuations[89]. - The company plans to mitigate risks from raw material price fluctuations through technological innovation, process improvements, and establishing long-term relationships with suppliers[90]. - The COVID-19 pandemic has negatively impacted the company's performance, with potential risks of insufficient new orders and declining sales if the situation persists[92]. Corporate Governance - The board of directors consists of 9 members, including 3 independent directors, ensuring compliance with governance standards[100]. - The company has maintained a strong commitment to investor relations, ensuring timely and accurate information disclosure[101]. - The company has established a performance evaluation mechanism for senior management, linking compensation directly to company performance metrics[101]. - The company has committed to protecting investors' legal rights, although specific measures were not detailed[106]. - The company has not faced any objections from the board members regarding company matters during the reporting period[124]. Production and Operations - The company specializes in the research, development, production, and sales of industrial metal forgings, with a focus on high-end equipment manufacturing[38]. - The company has made significant advancements in technology and production capabilities, enabling it to produce large, complex, and high-end industrial metal forgings[38]. - The company operates a production model that is market-oriented and based on customer demand, allowing for customized production of non-standard products[49]. - The company has established a comprehensive procurement, production, and sales system, ensuring efficient operations and quality control throughout the manufacturing process[48]. - The company is enhancing production safety by strictly implementing safety management systems and conducting regular employee training to prevent accidents during the manufacturing process[91]. Environmental and Social Responsibility - The company actively responded to national carbon neutrality policies by acquiring the latest environmental protection equipment and improving energy efficiency[153]. - The company has achieved certifications for quality management (ISO 9001), environmental management (ISO 14001), and occupational health and safety (ISO 45001) during the reporting period[154]. - The company has committed to sustainable development by implementing pollution control measures and ensuring proper waste disposal[158]. - Employee rights are protected through fair compensation, performance evaluation systems, and compliance with labor laws, including social insurance provisions[156]. Shareholder Commitments - The controlling shareholders have committed to not abusing their positions and to uphold the interests of the company and all shareholders[179]. - The company has committed to not transferring or entrusting the management of its shares for 36 months post-IPO, with a maximum annual transfer limit of 25% of total shares held after the lock-up period[161]. - The commitments made by the controlling shareholders are binding and cannot be revoked without the company's consent, ensuring long-term compliance[163]. - The company will ensure that any share reductions comply with the stipulated legal and regulatory frameworks, maintaining transparency in disclosures[163]. - The company has committed to ensuring that all information disclosed in its IPO prospectus is true, accurate, and complete, taking legal responsibility for any misleading statements[175].

Financial Performance - The company's operating revenue for Q3 2021 was ¥221,911,929.04, a decrease of 30.54% compared to the same period last year[3] - The net profit attributable to shareholders for Q3 2021 was ¥29,816,595.20, down 25.71% year-on-year[3] - The net profit after deducting non-recurring gains and losses was ¥21,627,564.81, a decline of 45.81% compared to the previous year[3] - Total operating revenue for Q3 2021 was CNY 777,822,690.44, a decrease of 2.0% compared to CNY 795,303,363.65 in the same period last year[22] - Net profit for Q3 2021 was CNY 87,414,589.96, down 11.5% from CNY 98,610,954.01 in Q3 2020[24] - Basic and diluted earnings per share decreased to CNY 1.0851 from CNY 1.3148 in the previous year[25] - The company reported a tax expense of CNY 11,124,839.81, down from CNY 17,611,365.03 in the same period last year[24] Assets and Liabilities - The total assets at the end of Q3 2021 reached ¥1,357,738,266.76, an increase of 31.64% from the end of the previous year[3] - The company's total liabilities amounted to CNY 375,833,163.06, a decrease from CNY 417,308,123.87 in the previous year[21] - The total current liabilities decreased from RMB 10,013,291.67 to zero, indicating a significant reduction in short-term borrowings[19] - The equity attributable to shareholders increased by 59.89% to ¥981,905,103.70 compared to the end of the previous year[3] - Total equity attributable to shareholders increased to CNY 981,905,103.70 from CNY 614,120,753.49 year-on-year[21] Cash Flow - The net cash flow from operating activities for the year-to-date was ¥56,952,085.09, a decrease of 34.34% year-on-year[9] - The net cash flow from operating activities for Q3 2021 was ¥56,952,085.09, a decrease from ¥86,742,633.51 in Q3 2020, representing a decline of approximately 34.4%[28] - The total cash inflow from financing activities was ¥369,300,000.00, significantly higher than ¥62,150,000.00 in the same period last year, indicating a year-over-year increase of approximately 493.5%[28] - The net cash flow from financing activities was ¥253,057,846.70, compared to a negative net cash flow of -¥25,189,290.21 in Q3 2020, showing a substantial turnaround[28] - The total cash and cash equivalents at the end of Q3 2021 amounted to ¥302,449,281.32, up from ¥71,435,767.46 at the end of Q3 2020, reflecting an increase of approximately 323.5%[28] - The cash outflow from investment activities was ¥52,519,952.68, compared to ¥35,855,345.74 in Q3 2020, representing an increase of about 46.4%[28] Shareholder Information - The company issued new shares, resulting in a 33.33% increase in share capital to ¥100,000,000.00[6] - The company successfully raised a total of RMB 339,250,000.00 from its initial public offering, with a net amount of RMB 280,369,760.25 after deducting issuance costs[16] - The number of shares issued in the IPO was 25,000,000 at a price of RMB 13.57 per share, increasing the registered capital by RMB 25,000,000[16] - The company has a total of 76,291,379 restricted shares, with various shareholders holding significant amounts, including Wu Junsan with 22,575,000 shares[15] Government Support and Other Income - The company received government subsidies amounting to ¥7,245,500.00 during the reporting period, contributing to other income growth of 414.65%[8] Future Outlook - The company plans to continue its market expansion and product development strategies, although specific future projections were not detailed in the report[16] Miscellaneous - The company has no significant non-recurring gains or losses beyond those reported, ensuring clarity in financial reporting[5] - The Q3 2021 report was not audited, indicating that the figures presented are unaudited[30]

Financial Performance - The company's operating revenue for the first half of 2021 was ¥555,910,761.40, representing a 16.83% increase compared to ¥475,843,810.58 in the same period last year[23]. - The net profit attributable to shareholders was ¥57,597,994.76, showing a decrease of 1.50% from ¥58,473,725.84 in the previous year[23]. - The net cash flow from operating activities was -¥19,539,876.08, a decline of 131.21% compared to ¥62,605,079.23 in the same period last year[23]. - The total assets at the end of the reporting period were ¥1,000,562,468.66, down 2.99% from ¥1,031,428,877.36 at the end of the previous year[23]. - The weighted average return on net assets decreased to 8.96% from 11.48% in the previous year[23]. - The company's revenue for the reporting period reached ¥555,910,761.40, representing a year-on-year increase of 16.83% due to increased orders[57]. - Operating costs rose to ¥456,656,885.28, a 21.01% increase, primarily driven by the rise in raw material prices[57]. - The company reported a significant increase in financial expenses by 4,957.32% to ¥1,087,694.44, attributed to fluctuations in the USD to RMB exchange rate[57]. - Basic and diluted earnings per share for the first half of 2021 were CNY 0.7680, compared to CNY 0.7796 in the first half of 2020[152]. Assets and Liabilities - The total liabilities amounted to CNY 328.84 million, down 21.2% from CNY 417.31 million in the previous period[146]. - The company reported a significant reduction in other current liabilities, which decreased from CNY 96.41 million to CNY 34.25 million[146]. - The company's total assets included ¥127,313,759.23 in construction in progress, reflecting an increase of 11.13% due to ongoing projects[59]. - The company maintained a strong capital reserve of CNY 262.44 million, unchanged from the previous period[147]. Production and Capacity - The company has an annual production capacity of 140,000 tons, which is expected to increase to 190,000 tons through the implementation of the high-end ring forging green intelligent manufacturing project[45]. - The company produced large ring forgings with a diameter of 9 meters and a maximum single piece weight of 50 tons, enhancing its competitive edge in the market[50]. - The company is focused on increasing production capacity to meet market demands in sectors beyond wind power, such as construction machinery and nuclear power[72]. Market and Industry - The company specializes in the research, production, and sales of industrial metal forgings, with key products including bearing forgings, flange forgings, and gear ring forgings[31]. - The company's products are widely used in various industries, including wind power, construction machinery, mining machinery, nuclear power, and shipbuilding[32]. - The wind power industry is projected to see increased capital investment due to favorable policies, which will expand market demand for wind power and related specialized components[48]. - The forging industry is supported by national policies aimed at enhancing manufacturing innovation capabilities and promoting the integration of information technology with manufacturing technology[47]. Research and Development - Research and development investment increased by 2.05% to ¥18,411,211.82, reflecting the company's commitment to innovation[57]. - The company has accumulated rich manufacturing experience and technological advantages in forging, heat treatment, machining, and inspection[45]. Customer Base and Relationships - The company serves numerous well-known domestic clients, including China Shipbuilding Industry Corporation and SANY Group, as well as international companies like Thyssenkrupp and Siemens Gamesa[46]. - The company has established a strong customer base, including notable domestic and international clients such as Siemens and Thyssenkrupp[52]. - The company has received multiple awards for its products, including the Jiangsu Province Excellent New Product Gold Award for large ring forgings used in wind turbines[51]. Cash Flow and Financing - The cash flow from operating activities was negative at -¥19,539,876.08, a decline of 131.21% compared to the previous year, mainly due to increased payments for materials and services[57]. - Total cash inflow from operating activities was 199,124,360.84 CNY, down from 285,665,985.19 CNY in the previous year, representing a decrease of about 30.3%[155]. - Cash outflow from operating activities totaled 218,664,236.92 CNY, slightly lower than 223,060,905.96 CNY in the first half of 2020, indicating a decrease of approximately 2%[155]. - The company received 10,000,000.00 CNY in borrowings during the first half of 2021, which is double the 5,000,000.00 CNY received in the same period of 2020[156]. Corporate Governance and Compliance - The company has maintained a good relationship with shareholders, ensuring the protection of their rights and interests, particularly for minority shareholders[95]. - The company has established a comprehensive salary distribution and performance evaluation system to protect employee rights and provide various welfare guarantees[96]. - The company has not experienced any major litigation or arbitration matters during the reporting period[109]. - The company is not classified as a key pollutant discharge unit and has not faced any administrative penalties related to environmental issues during the reporting period[92]. Risk Factors - The company faces risks related to fluctuations in wind power demand, which could adversely affect revenue if the industry experiences a downturn or if subsidy policies change[68]. - Raw material costs account for over 70% of the company's main business costs, making it vulnerable to price volatility in materials like alloy steel and carbon steel[70]. - The ongoing COVID-19 pandemic poses a risk to the company's performance, with potential impacts on production, exports, and downstream demand[76]. Future Plans - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company is actively developing new products and expanding its product range to mitigate risks associated with wind power demand fluctuations[69]. - The company plans to enhance the maintenance frequency of its fixed assets to improve production efficiency and competitiveness[79].