FLDT(SH:600228)2016-08-23 16:00Financial Performance - The company's operating revenue for the first half of 2016 was approximately ¥189.89 million, a decrease of 37.22% compared to ¥302.45 million in the same period last year[17]. - The net profit attributable to shareholders was a loss of approximately ¥15.72 million, compared to a loss of ¥5.78 million in the previous year[17]. - The net cash flow from operating activities was negative at approximately ¥3.92 million, a decline of 112.12% from a positive cash flow of ¥32.31 million in the same period last year[17]. - The basic earnings per share for the first half of 2016 was -¥0.07, compared to -¥0.02 in the same period last year[19]. - The weighted average return on net assets was -31.01%, a significant decline from -7.40% in the previous year[19]. - The sales revenue from the main product, acrylamide, was CNY 182.06 million, down 38.15% year-on-year, with sales volume decreasing by 18.78%[34]. - The company reported a net loss of CNY 561,496,967.85, compared to a loss of CNY 545,778,976.79 in the prior period[78]. - The net profit for the first half of 2016 was a loss of CNY 9,889,866.06, compared to a loss of CNY 10,864,608.38 in the previous year, indicating an improvement of 9.0%[88]. - The operating profit for the first half of 2016 was a loss of CNY 8,091,352.89, which is an improvement of 28.5% from a loss of CNY 11,258,803.10 in the same period last year[88]. Assets and Liabilities - The total assets at the end of the reporting period were approximately ¥488.90 million, down 4.69% from ¥512.96 million at the end of the previous year[18]. - The net assets attributable to shareholders decreased by 24.89% to approximately ¥43.97 million from ¥58.54 million at the end of the previous year[18]. - The company's total assets decreased to CNY 488,899,477.46 from CNY 512,960,994.77, a decline of 4.7%[78]. - Total liabilities decreased to CNY 364,387,090.73 from CNY 371,016,985.15, a reduction of 1.7%[78]. - The total current liabilities amounted to CNY 328,992,843.66, slightly down from CNY 335,022,738.08, a decrease of 1.5%[78]. Cash Flow - The company's cash and cash equivalents decreased from ¥39,280,041.95 to ¥34,074,816.94, a decline of approximately 13.5%[76]. - The total current assets decreased from ¥166,231,185.03 to ¥156,782,304.99, a reduction of about 5.5%[76]. - The company's cash outflow from investing activities was CNY 178,502.30, a decrease from CNY 5,589,672.10 in the same period last year[91]. - The company's cash outflow for employee payments was 679,871.49 RMB, an increase from 593,177.87 RMB in the previous period, indicating rising labor costs[93]. - The ending balance of cash and cash equivalents was 412,968.48 RMB, down from 1,564,888.63 RMB in the previous period, representing a decrease of approximately 74%[94]. Operational Changes - The company plans to dispose of idle assets, including 100% equity of Changjiu Qingyuan and Changjiu Fertilizer, with a base price of CNY 54.34 million for the public transfer[26]. - The company plans to publicly transfer assets valued at 54.34 million RMB, including 100% equity of Changjiu Qingyuan and Changjiu Chemical, through a public listing from July 28 to August 26, 2016[46]. - The company plans to continue its major asset restructuring, with stock suspension starting from June 1, 2016, due to significant changes in control[61]. - The company terminated the major asset restructuring plan due to the inability to complete the related proposals by August 14, 2016[63]. - The company aims to enhance its acrylamide industry presence by focusing on the subsidiary Changjiu Agricultural Science, which holds a leading market share in the sector[112]. Related Party Transactions - The company did not report any non-operating fund occupation by controlling shareholders or related parties[3]. - The company maintains independence despite related party transactions, which are necessary for its operations[49]. - The company confirmed its share of assets and liabilities in joint operations and recognizes income from the sale of joint outputs[133]. Compliance and Governance - The report period covers January to June 2016, and the financial report has not been audited[3]. - The company has ensured compliance with corporate governance standards as per relevant laws and regulations[57]. - The company has not encountered any penalties or corrective actions involving its directors, supervisors, or major shareholders[56]. Financial Management - The company has engaged Da Hua Accounting Firm for financial and internal control audits for the year 2016[56]. - The company recognizes provisions for liabilities when there is a present obligation that is likely to result in an outflow of economic benefits and can be reliably measured[184]. - The company recognizes rental expenses on a straight-line basis over the lease term, including initial direct costs related to leasing transactions[193]. Accounting Policies - The company's financial statements are prepared in accordance with the accounting standards set by the Ministry of Finance, ensuring a true and complete reflection of its financial status[115]. - The company has not made any changes to its significant accounting policies or estimates during the reporting period[196]. - The company recognizes impairment losses on assets in joint operations fully, while sharing losses based on ownership share for purchased assets[133].