[Definitions](index=4&type=section&id=Section%20I%20Definitions) This section defines company and subsidiary names, key customer names, pharmaceutical industry terms, drug types, and development stages - Defined company and subsidiary names, such as **Nuotai Bio**, **Aosainuo**, and **Pharmaceutical Technology Company**[10](index=10&type=chunk) - Explained major customer names, including **Incyte US**, **Gilead US**, and **Vertex Pharmaceuticals US**[10](index=10&type=chunk) - Clarified key pharmaceutical industry terms, such as **CRO** (Contract Research Organization), **CDMO/CMO** (Contract Development and Manufacturing Organization/Contract Manufacturing Organization), **CDE** (Center for Drug Evaluation, NMPA), **FDA** (U.S. Food and Drug Administration), and **GMP/cGMP** (Good Manufacturing Practice/current Good Manufacturing Practice)[10](index=10&type=chunk)[11](index=11&type=chunk) - Distinguished different drug types, including **innovative drugs/new drugs/originator drugs**, **generic drugs**, **small molecule chemical drugs**, **peptides**, and **oligonucleotides**[11](index=11&type=chunk) - Defined drug research and development and commercialization stages, including **preclinical research**, **clinical research**, and **commercialization stage**[12](index=12&type=chunk) [Company Profile and Key Financial Indicators](index=7&type=section&id=Section%20II%20Company%20Profile%20and%20Key%20Financial%20Indicators) This section provides an overview of the company's basic information, contact details, information disclosure, stock details, and key financial performance [Company Basic Information](index=7&type=section&id=I.%20Company%20Basic%20Information) Nuotai Bio is a biopharmaceutical company with Tong Ziquan as legal representative, registered in Lianyungang, and offices in Hangzhou - Company Chinese name: Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd., abbreviation: **Nuotai Bio**[14](index=14&type=chunk) - Legal Representative: **Tong Ziquan**[14](index=14&type=chunk) - Registered Address: No. 28 Linpu Road, Lianyungang Economic and Technological Development Zone[14](index=14&type=chunk) - Office Address: Room 1201, Building E, Hangzhou Normal University Science Park, No. 1378 Wenyi West Road, Yuhang District, Hangzhou[14](index=14&type=chunk) [Contact Persons and Information](index=7&type=section&id=II.%20Contact%20Persons%20and%20Information) This section discloses contact details for the Board Secretary Zhou Hua and Securities Affairs Representative Wu Le'er for investor and public communication - Board Secretary: **Zhou Hua**, Contact Number: **0571-86297893**, Email: **ir@sinopep.com**[15](index=15&type=chunk) - Securities Affairs Representative: **Wu Le'er**, Contact Number: **0571-86297893**, Email: **ir@sinopep.com**[15](index=15&type=chunk) [Brief Introduction to Information Disclosure and Document Placement Changes](index=7&type=section&id=III.%2E%20Brief%20Introduction%20to%20Information%20Disclosure%20and%20Document%20Placement%20Changes) The company designates specific newspapers for information disclosure, publishes semi-annual reports on the SSE website, and keeps them at the Board Office - Information Disclosure Newspapers: **China Securities Journal**, **Shanghai Securities News**, **Securities Times**, **Securities Daily**[16](index=16&type=chunk) - Report Publication Website: **www.sse.com.cn**[16](index=16&type=chunk) - Report Placement Location: **Board Office**[16](index=16&type=chunk) [Brief Introduction to Company Shares/Depositary Receipts](index=7&type=section&id=IV.%20Brief%20Introduction%20to%20Company%20Shares%2FDepositary%20Receipts) The company's shares are RMB ordinary shares (A-shares) listed on the STAR Market of the Shanghai Stock Exchange, with stock abbreviation "ST Nuotai" and code "688076" - Share Type: **RMB ordinary shares (A-shares)**[17](index=17&type=chunk) - Listing Exchange and Board: **Shanghai Stock Exchange STAR Market**[17](index=17&type=chunk) - Stock Abbreviation: **ST Nuotai**, Stock Code: **688076**[17](index=17&type=chunk) [Company's Key Accounting Data and Financial Indicators](index=8&type=section&id=VI.%20Company%27s%20Key%20Accounting%20Data%20and%20Financial%20Indicators) In H1 2025, revenue grew 26.07% to **1.048 billion RMB**, net profit attributable to parent grew 36.49% to **310 million RMB**, and operating cash flow increased significantly Major Accounting Data (H1 2025 vs Prior Year) | Indicator | Current Period (RMB) | Prior Year (RMB) | Period-on-Period Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,048,273,770.16 | 831,498,746.79 | 26.07 | | Total Profit | 339,765,178.72 | 256,962,652.74 | 32.22 | | Net Profit Attributable to Shareholders of Listed Company | 310,047,663.19 | 227,161,523.34 | 36.49 | | Net Profit Attributable to Shareholders of Listed Company After Deducting Non-recurring Gains and Losses | 306,208,950.72 | 229,389,895.66 | 33.49 | | Net Cash Flow from Operating Activities | 316,156,545.09 | 198,432,642.81 | 59.33 | Major Financial Indicators (H1 2025 vs Prior Year) | Indicator | Current Period | Prior Year | Period-on-Period Change | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | 0.99 | 0.76 | 30.26% | | Diluted Earnings Per Share (RMB/share) | 0.99 | 0.73 | 35.62% | | Basic Earnings Per Share After Deducting Non-recurring Gains and Losses (RMB/share) | 0.98 | 0.77 | 27.27% | | Weighted Average Return on Net Assets (%) | 11.03 | 9.94 | Increased by 1.09 percentage points | | Weighted Average Return on Net Assets After Deducting Non-recurring Gains and Losses (%) | 10.89 | 10.04 | Increased by 0.85 percentage points | | R&D Investment as Percentage of Operating Revenue (%) | 20.19 | 17.96 | Increased by 2.23 percentage points | - Operating revenue growth primarily due to increased sales of **peptide APIs**[20](index=20&type=chunk) - Net cash flow from operating activities growth primarily due to significantly higher collection of **accounts receivable** compared to the prior year[21](index=21&type=chunk) [Non-recurring Gains and Losses Items and Amounts](index=9&type=section&id=VIII.%20Non-recurring%20Gains%20and%20Losses%20Items%20and%20Amounts) Non-recurring gains and losses totaled **3.84 million RMB**, mainly from government subsidies and disposal of financial assets Non-recurring Gains and Losses Items and Amounts (Unit: RMB) | Item | Amount | | :--- | :--- | | Gains or losses from disposal of non-current assets | -467,971.62 | | Government grants recognized in current profit or loss | 4,117,522.02 | | Gains or losses from disposal of financial assets and financial liabilities | 13,419.23 | | Gains or losses from debt restructuring | 50,281.01 | | Other non-operating income and expenses | 838,429.38 | | Less: Income tax impact | 667,935.32 | | Minority interest impact (after tax) | 45,032.24 | | **Total** | **3,838,712.47** | - Non-recurring gains and losses mainly from **government subsidies** and **disposal of financial assets**[23](index=23&type=chunk) [Net Profit After Deducting Share-based Payment Impact](index=10&type=section&id=IX.%20Net%20Profit%20After%20Deducting%20Share-based%20Payment%20Impact) Net profit after deducting share-based payment impact was **309.16 million RMB**, a **20.95%** increase year-on-year Net Profit After Deducting Share-based Payment Impact (Unit: RMB) | Indicator | Current Period (Jan-Jun) | Prior Year (Jan-Jun) | Period-on-Period Change (%) | | :--- | :--- | :--- | :--- | | Net profit after deducting share-based payment impact | 309,157,973.31 | 255,612,791.56 | 20.95 | - This indicator reflects the impact of excluding **equity incentive expenses** on net profit[25](index=25&type=chunk) [Management Discussion and Analysis](index=11&type=section&id=Section%20III%20Management%20Discussion%20and%20Analysis) This section discusses the company's industry, main business, operational performance, core competitiveness, and risk factors [Company's Industry and Main Business Overview](index=11&type=section&id=I.%20Company%27s%20Industry%20and%20Main%20Business%20Overview) The company focuses on peptide and small molecule chemical drugs, strategically expanding into oligonucleotide business, using an "independent R&D + CDMO" model across the entire value chain - Company's Industry: **Biopharmaceutical industry**, specifically **biopharmaceutical services** and **chemical drug & API manufacturing**[29](index=29&type=chunk) - Main Business Model: **"Independent R&D + Customized R&D and Manufacturing"**, covering advanced intermediates, APIs, and formulations across the entire value chain[28](index=28&type=chunk) - Independent Selection Business: Focuses on **anti-diabetic**, **weight loss**, **antiviral**, **lipid-lowering** fields, with a rich product pipeline including **Semaglutide**, **Liraglutide**, **Tirzepatide** and other blockbuster peptide drugs, possessing large-scale production capacity for long-chain peptides, with single batch output exceeding **10 kilograms**[30](index=30&type=chunk)[31](index=31&type=chunk) - Customized Business (CDMO): Provides customized R&D and manufacturing services for innovative drug advanced pharmaceutical intermediates and APIs to global innovative drug companies, covering clinical Phase I, II, III to commercialization, having established partnerships with renowned pharmaceutical companies such as **Incyte** and **Gilead**[32](index=32&type=chunk) [Discussion and Analysis of Operations](index=11&type=section&id=II.%20Discussion%20and%20Analysis%20of%20Operations) In H1 2025, Nuotai Bio achieved **1.048 billion RMB** in revenue and **310 million RMB** in net profit, leveraging platform strategy, international BD, proactive capacity layout, and strategic partnerships H1 2025 Operating Performance | Indicator | Amount (Billion RMB) | Year-on-Year Growth (%) | | :--- | :--- | :--- | | Operating Revenue | 1.048 | 26.07 | | Net Profit Attributable to Parent Company Owners | 0.310 | 36.49 | | Net Profit Attributable to Parent Company Owners After Deducting Non-recurring Gains and Losses | 0.306 | 33.49 | Asset and Liability Structure | Indicator | End of June 2025 (Billion RMB) | Growth from Year-End (%) | | :--- | :--- | :--- | | Total Assets | 5.897 | 16.13 | | Owners' Equity Attributable to Parent Company | 2.961 | 11.31 | | Net Cash Flow from Operating Activities | 0.316 | - | - Platform Strategy and Interdisciplinary Integration: R&D competitiveness through interdisciplinary integration, dynamic application of emerging technologies, active layout in **synthetic biology**, **photochemistry**, **electrochemistry**, and **AI-driven process chemistry** and other cutting-edge technologies[34](index=34&type=chunk) - International Matrix and Global Coverage: BD team covers global serious medical markets, deep cooperation with leading enterprises, expanding into Europe, America, Latin America, and Asia-Pacific emerging markets, building second growth curves in **oligonucleotide** and **conjugation** businesses[35](index=35&type=chunk) - Proactive Layout and Capacity Building: Lianyungang factory's fourth-generation ton-level peptide production workshop (Workshop 601) is operational, peptide capacity reaches **5 tons/year**; ton-level oligonucleotide commercial production workshop expected to be completed by **October 2025**, forming a capacity of **1000 kg/year** for oligonucleotides, **100 kg/year** for PMO, and **200 kg/year** for PEG-conjugated cyclic peptides[36](index=36&type=chunk) - Strategic Partnerships: Achieved comprehensive strategic cooperation with **DeepMotion Technology** focusing on AI technology empowering biopharmaceutical industry transformation; partnered with **Vazyme** to build a synthetic biology technology platform[37](index=37&type=chunk) - Talent Cultivation: R&D personnel reached **459**, with **47%** holding master's or doctoral degrees, continuously improving talent selection, training, and incentive mechanisms[38](index=38&type=chunk) [Analysis of Core Competitiveness During the Reporting Period](index=13&type=section&id=III.%20Analysis%20of%20Core%20Competitiveness) The company's core competitiveness lies in interdisciplinary R&D, full-chain service capabilities, efficient operations, quality systems, and a globally covered BD team [Core Competitiveness Analysis](index=13&type=section&id=%28I%29%20Core%20Competitiveness%20Analysis) The company's core competitiveness is driven by interdisciplinary R&D, full-chain service, efficient operations, quality systems, and a global BD team, with leading peptide and small molecule technologies and FDA cGMP compliance - Interdisciplinary R&D Empowerment, Platform Strategy Advantages: Possesses a high-quality, international, multidisciplinary R&D team, established a **solid-liquid fusion peptide large-scale production technology platform**, capable of large-scale production (over **ten kilograms per batch**) for side-chain chemically modified peptides and long-chain modified peptides, significantly improving yield, efficiency, and reducing costs[40](index=40&type=chunk) - Full-Chain Service Capability, Meeting Diverse Needs: Owns two modern production bases in **Lianyungang** and **Jiande**, providing production services from clinical Phase I to commercialization; Jiande factory offers small molecule CDMO customized production, Lianyungang factory has **ton-level peptide API capacity**[41](index=41&type=chunk) - Efficient Operation and Quality System, Safeguarding Enterprise Development: Established a comprehensive and systematic quality management system and EHS management system compliant with international regulatory market standards, repeatedly passed **GMP inspections** by China, US, EU, and on-site audits by renowned pharmaceutical companies[42](index=42&type=chunk) - Global BD Team Coverage, Building a Pharmaceutical Ecosystem: International BD team drives business expansion in global serious medical markets, establishing good cooperative relationships with leading global pharmaceutical companies such as **Krka**, **Chemo**, **Cipla**, **Apotex**, **Incyte**, **Gilead**, **Vertex**, and **MSD**[43](index=43&type=chunk) [Core Technologies and R&D Progress](index=13&type=section&id=%28III%29%20Core%20Technologies%20and%20R%26D%20Progress) The company has established five industry-leading core technology platforms for peptide, oligonucleotide, and small molecule chemical drug R&D and production, addressing multiple global technical challenges [Core Technologies and Their Advanced Nature and Changes](index=13&type=section&id=1.%20Core%20Technologies%20and%20Their%20Advanced%20Nature%20and%20Changes) The company has five industry-leading core technology platforms for peptide, oligonucleotide, and small molecule chemical drug R&D and production, solving multiple global technical challenges - Solid-Liquid Fusion Peptide Large-Scale Production Technology Platform: Successfully developed multiple solid-liquid synthesis technologies, solving challenges like difficult sequences, peptide segment synthesis, and complex impurity profiles, achieving multi-kilogram scale production capacity, with single batch output exceeding **10 kg**[45](index=45&type=chunk) - Precision-Controlled Chiral Drug Technology Platform: Developed homogeneous catalytic asymmetric synthesis technology based on transition metal complexes and immobilized enzyme catalysis technology, achieving efficient, low-cost, and environmentally friendly production of chiral drugs[45](index=45&type=chunk)[46](index=46&type=chunk) - Inherently Safe Green Process Technology Platform: Mastered cascade condensation synthesis technology, highly selective metallation reaction technology, large-scale separation and purification technology for molecular distillation and rectification, high-pressure amination reaction technology, continuous flow reaction technology, and large-scale synthesis technology for organic alkynes, achieving green and safe production[46](index=46&type=chunk)[47](index=47&type=chunk) - Formulation and Drug Delivery Technology Platform: Mastered sustained/controlled release technology for peptide and small molecule drugs, precision and efficient excipient powder engineering and control technology, peptide drug formulation production and sterility assurance technology, peptide formulation compatibility research technology, and QbD-based efficient formulation development technology[47](index=47&type=chunk)[48](index=48&type=chunk) - Solid-Liquid Fusion Oligonucleotide Large-Scale Production Technology Platform: Introduced **Cytiva solid-phase synthesizer**, established solid-liquid combined oligonucleotide synthesis technology, GalNAc-oligonucleotide conjugation technology, purification technology, structural elucidation analysis technology, starting material quality control analysis technology, and oligonucleotide API quality research and process key parameter control technology[48](index=48&type=chunk)[49](index=49&type=chunk) - The company was recognized as a national **"Specialized, Refined, and New" Little Giant enterprise**[49](index=49&type=chunk) [R&D Achievements](index=18&type=section&id=2.%20R%26D%20Achievements) During the reporting period, the company obtained drug registration certificates for Ezetimibe Atorvastatin Calcium Tablets and Fluvoxamine Maleate Tablets, and filed 12 new invention patent applications, with 5 granted - Obtained drug registration certificates for **Ezetimibe Atorvastatin Calcium Tablets** and **Fluvoxamine Maleate Tablets**[50](index=50&type=chunk) Intellectual Property List | Type | New Applications This Period (units) | New Grants This Period (units) | Cumulative Applications (units) | Cumulative Grants (units) | | :--- | :--- | :--- | :--- | :--- | | Invention Patents | 12 | 5 | 191 | 72 | | Utility Model Patents | 0 | 0 | 34 | 34 | | Software Copyrights | 0 | 0 | 5 | 5 | | **Total** | **12** | **5** | **230** | **111** | [R&D Investment Table](index=18&type=section&id=3.%20R%26D%20Investment%20Table) Total R&D investment was **211.63 million RMB**, a **41.74%** increase, with R&D capitalization ratio significantly rising to **41.60%** due to projects like Semaglutide injection meeting capitalization criteria R&D Investment (Unit: RMB) | Indicator | Current Period | Prior Year | Change (%) | | :--- | :--- | :--- | :--- | | Expensed R&D Investment | 123,591,710.64 | 112,494,851.21 | 9.86 | | Capitalized R&D Investment | 88,038,376.65 | 36,810,598.61 | 139.17 | | **Total R&D Investment** | **211,630,087.29** | **149,305,449.82** | **41.74** | | Total R&D Investment as Percentage of Operating Revenue (%) | 20.19 | 17.96 | Increased by 2.23 percentage points | | Capitalization Ratio of R&D Investment (%) | 41.60 | 24.65 | Increased by 16.95 percentage points | - R&D investment growth mainly due to the company's continuous increase in R&D investment, expansion of product layout, and enhanced innovation[53](index=53&type=chunk) - Increase in R&D capitalization ratio mainly due to projects such as **Ezetimibe Atorvastatin Calcium Tablets**, **Semaglutide Injection**, and **Fluvoxamine Maleate Tablets** meeting capitalization criteria[54](index=54&type=chunk) [R&D Project Status](index=19&type=section&id=4.%20R%26D%20Project%20Status) The company has multiple R&D projects in diabetes, weight loss, influenza, lipid-lowering, hypercholesterolemia, chronic idiopathic constipation, acromegaly, and depression, with Semaglutide and Liraglutide injections in confirmatory clinical trials, and Ezetimibe Atorvastatin Calcium Tablets in registration application Overview of Selected R&D Projects (Unit: Ten Thousand RMB) | No. | Project Name | Estimated Total Investment Scale | Amount Invested This Period | Cumulative Investment Amount | Progress or Stage Achievements | Intended Goal | Technical Level | Specific Application Prospects | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 1 | Semaglutide Injection | 18,300.00 | 4,652.35 | 15,395.54 | Confirmatory clinical trial stage | Obtain drug registration certificate | Reaching technical level of similar products | Diabetes and weight loss | | 2 | Oseltamivir Phosphate Granules | 10,283.30 | 200.09 | 3,672.89 | Obtained drug registration certificate | Obtain product manufacturing approval and launch | Reaching technical level of similar products | Treating influenza | | 4 | Ezetimibe Atorvastatin Calcium Tablets (II) | 4,000.00 | 1,475.55 | 3,897.42 | Registration application stage | Obtain drug registration certificate | Reaching technical level of similar products | Lipid-lowering | | 6 | Liraglutide Injection | 8,100.00 | 659.22 | 4,402.34 | Confirmatory clinical trial stage | Obtain drug registration certificate | Reaching technical level of similar products | Diabetes and weight loss | | 11 | Tirzepatide API | 2,390.00 | 303.47 | 1,755.61 | Registration application stage | Obtain marketing approval | Reaching technical level of similar products | Lowering blood sugar | | 15 | Fluvoxamine Maleate Tablets | 1,200.00 | 1,163.97 | 1,163.97 | Obtained drug registration certificate | Obtain drug registration certificate | Reaching technical level of similar products | Depression, obsessive-compulsive disorder | - The company's R&D projects cover various drug types including **peptides**, **small molecule chemical drugs**, and **oligonucleotides**[55](index=55&type=chunk)[56](index=56&type=chunk) [5、R&D Personnel Status](index=20&type=section&id=5.%20R%26D%20Personnel%20Status) As of H1 2025, R&D personnel increased to **459**, accounting for **20.43%** of total staff, with **47%** holding master's or doctoral degrees. Total R&D personnel compensation was **40.74 million RMB** R&D Personnel Basic Information (Unit: Ten Thousand RMB) | Indicator | Current Period | Prior Year | | :--- | :--- | :--- | | Number of R&D personnel (persons) | 459 | 323 | | R&D personnel as percentage of total company staff (%) | 20.43 | 18.16 | | Total R&D personnel compensation | 4,074.35 | 2,886.20 | | Average R&D personnel compensation | 8.88 | 8.94 | R&D Personnel Education Level | Education Level | Number (persons) | Percentage (%) | | :--- | :--- | :--- | | Doctoral | 29 | 6.31 | | Master's | 185 | 40.30 | | Bachelor's | 218 | 47.49 | | Associate Degree | 26 | 5.70 | | High School and Below | 1 | 0.20 | | **Total** | **459** | **100.00** | R&D Personnel Age Structure | Age Range | Number (persons) | Percentage (%) | | :--- | :--- | :--- | | Under 30 | 234 | 50.98 | | 30-40 | 190 | 41.39 | | 40-50 | 29 | 6.32 | | 50-60 | 4 | 0.87 | | 60 and Above | 2 | 0.44 | | **Total** | **459** | **100.00** | - R&D team characterized by **youthful structure** and a **high proportion of highly educated talent**[58](index=58&type=chunk)[59](index=59&type=chunk) [Risk Factors](index=21&type=section&id=IV.%20Risk%20Factors) The company faces operational, core competitiveness, financial, industry, environmental, and macroeconomic risks [Operational Risks](index=21&type=section&id=%28I%29%20Operational%20Risks) The company faces uncertainties in obtaining registration approvals for self-developed formulations, volatility in API sales, and impacts on CDMO business from innovative drug R&D progress and market competition - Uncertainty in timely obtaining **registration approvals** and **commercial sales** for self-developed formulations[60](index=60&type=chunk) - **API sales revenue** is volatile, influenced by customer formulation R&D, registration, and commercialization progress[61](index=61&type=chunk) - **CDMO business sales revenue** is uncertain, affected by downstream innovative drug R&D progress, results, market launch scale, and competition[61](index=61&type=chunk) [Core Competitiveness Risks](index=21&type=section&id=%28II%29%20Core%20Competitiveness%20Risks) Drug R&D is challenging, long-cycle, high-investment, and uncertain in approval, posing risks of R&D failure or uncompetitive outcomes; loss of core technical personnel could also adversely affect projects and intellectual property - Drug R&D (including APIs and formulations) faces risks such as inability to overcome key technical difficulties, clinical trial failure, or failure to pass review and approval[62](index=62&type=chunk) - **CDMO business** requires strong R&D capabilities, technical systems, and experience, posing risks of R&D failure or outcomes lacking competitiveness[62](index=62&type=chunk) - Loss of **core technical personnel** may adversely affect the progress of R&D projects and the confidentiality of intellectual property[63](index=63&type=chunk) [Financial Risks](index=22&type=section&id=%28III%29%20Financial%20Risks) High proportion of overseas business, with products priced and settled in foreign currencies, exposes the company to exchange rate fluctuations that could lead to losses and impact price competitiveness and operating performance - Company's operating revenue has a **high proportion from overseas**, with product exports primarily priced and settled in foreign currencies such as USD[64](index=64&type=chunk) - Fluctuations in the **RMB exchange rate** against USD and other foreign currencies may lead to exchange losses and affect product price competitiveness, thereby impacting operating performance[64](index=64&type=chunk) [Industry Risks](index=22&type=section&id=%28IV%29%20Industry%20Risks) The pharmaceutical industry is strictly regulated, with policy changes potentially impacting market supply, business models, and product prices. CDMO business faces competition, while self-selected products face increasing market competition and formulation sales face challenges in market expansion and policy - Changes in national pharmaceutical industry policies (e.g., medical reform, volume-based procurement) may adversely affect the company's operating performance[65](index=65&type=chunk)[66](index=66&type=chunk) - **CDMO business** faces risks of being replaced by other suppliers or losing market share[65](index=65&type=chunk) - Market competition for **self-selected products** is intensifying; failure to accelerate R&D and commercialization progress may adversely affect operating performance[65](index=65&type=chunk) - **Formulation sales** are in their initial stage, lacking market expansion experience, posing risks of sales falling short of expectations[66](index=66&type=chunk) [Environmental Risks](index=22&type=section&id=%28V%29%20Environmental%20Risks) The pharmaceutical manufacturing industry is highly polluting, with rising environmental standards increasing costs. Improper pollutant treatment or non-compliance could lead to penalties, shutdowns, or closures, affecting operating performance - Pharmaceutical manufacturing is a **high-pollution industry**, and rising environmental standards increase environmental protection costs[67](index=67&type=chunk) - Improper pollutant treatment may lead to penalties, orders to close or suspend production by environmental authorities, affecting operating performance[67](index=67&type=chunk) [Macroeconomic Environment Risks](index=22&type=section&id=%28VI%29%20Macroeconomic%20Environment%20Risks) The company's high proportion of overseas customers exposes it to uncertainties in political, economic, legal, trade policies, and international trade environment changes, which could significantly impact operating performance - Company's customers are mainly **overseas multinational pharmaceutical companies**, and overseas market business faces uncertainties from changes in political, economic, legal, trade industrial policies, and the overall international trade environment[68](index=68&type=chunk) - Deterioration of political environment, unfavorable trade environment, or implementation of adverse legal policies in relevant countries may significantly impact the company's operating performance[68](index=68&type=chunk) [Key Operating Performance During the Reporting Period](index=22&type=section&id=V.%20Key%20Operating%20Performance) This section analyzes the company's main business, asset and liability situation, and cash flow during the reporting period [Main Business Analysis](index=22&type=section&id=%28I%29%20Main%20Business%20Analysis) Revenue grew **26.07%** driven by peptide API sales. Sales, administrative, and financial expenses increased, with financial expenses rising significantly due to increased bank loan interest. Operating cash flow increased **59.33%** due to higher collections Analysis of Financial Statement Items Changes (Unit: RMB) | Item | Current Period | Prior Year | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,048,273,770.16 | 831,498,746.79 | 26.07 | Increased sales revenue of peptide APIs and others | | Operating Cost | 319,007,268.92 | 271,763,389.66 | 17.38 | Increase in operating revenue | | Selling Expenses | 44,761,899.94 | 28,667,949.96 | 56.14 | Increase in commissions, marketing expenses, and sales personnel compensation | | Administrative Expenses | 176,528,443.73 | 130,667,954.41 | 35.10 | Increase in administrative personnel compensation and depreciation | | Financial Expenses | 19,036,302.21 | 5,102,228.60 | 273.10 | Increase in bank loan interest expenses | | Net Cash Flow from Operating Activities | 316,156,545.09 | 198,432,642.81 | 59.33 | Significant increase in collection of accounts receivable compared to prior year | | Net Cash Flow from Investing Activities | -598,657,971.90 | -551,669,268.57 | Not applicable | Increase in purchase of fixed assets and other long-term assets | | Net Cash Flow from Financing Activities | 293,928,347.71 | 213,195,696.89 | 37.87 | Increase in bank borrowings | - Operating revenue growth primarily due to increased sales of **peptide APIs** and others[72](index=72&type=chunk) - Financial expenses significantly increased mainly due to increased **bank loan interest expenses** during the current period[72](index=72&type=chunk) - Net cash flow from operating activities growth primarily due to significantly higher **collection of accounts receivable** compared to the prior year[73](index=73&type=chunk) [Analysis of Assets and Liabilities](index=23&type=section&id=%28III%29%20Analysis%20of%20Assets%20and%20Liabilities) Total assets increased by **16.13%** due to growth in construction in progress, fixed assets, and intangible assets. Liabilities saw significant increases in notes payable, long-term borrowings, and deferred income, with long-term borrowings up **173.64%**. Bonds payable decreased **100%** due to conversion or redemption Changes in Assets and Liabilities (Unit: RMB) | Item Name | Current Period End | Prior Year End | Change (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 676,678,104.65 | 571,391,578.32 | 18.43 | Redemption of structured deposits purchased during the period | | Financial Assets Held for Trading | 93,500,000.00 | 208,000,000.00 | -55.05 | Redemption of structured deposits purchased during the period | | Inventories | 716,190,032.86 | 584,040,572.40 | 22.63 | Increase in inventory preparation | | Investments in Other Equity Instruments | 82,888,000.00 | 52,888,000.00 | 56.72 | New investments during the period | | Fixed Assets | 1,722,128,464.44 | 1,516,535,046.87 | 13.56 | Multiple projects transferred to fixed assets | | Construction in Progress | 606,770,708.41 | 339,919,158.99 | 78.50 | Multiple projects under construction | | Intangible Assets | 154,057,838.06 | 108,193,280.07 | 42.39 | Oseltamivir Phosphate Granules, Fluvoxamine Maleate Tablets transferred to intangible assets | | Development Expenditures | 206,902,206.05 | 167,232,442.64 | 23.72 | Semaglutide Injection capitalized | | Deferred Income Tax Assets | 114,672,550.50 | 88,265,182.53 | 29.92 | Increase in deductible losses and unrealized profits from internal transactions | | Notes Payable | 327,943,364.13 | 133,762,275.64 | 145.17 | Issuance of bank acceptance bills for material and equipment payments | | Contract Liabilities | 24,040,234.94 | 61,214,172.28 | -60.73 | Decrease in advance receipts for goods | | Taxes Payable | 45,166,604.24 | 24,316,801.09 | 85.74 | Increase in corporate income tax and value-added tax payable | | Other Payables | 41,036,746.95 | 14,831,536.61 | 176.69 | Receipt of deposits, guarantees, and equity incentive contributions | | Long-term Borrowings | 771,798,962.79 | 282,044,220.88 | 173.64 | Increase in long-term bank borrowings | | Bonds Payable | - | 163,166,991.61 | -100.00 | All convertible corporate bonds converted to shares or redeemed | | Deferred Income | 125,778,438.06 | 55,992,325.24 | 124.64 | Increase in government grants received and transfer from long-term payables | | Share Capital | 314,819,281.00 | 219,780,048.00 | 43.24 | Capital reserve capitalization and convertible corporate bond conversion | | Other Equity Instruments | - | 69,834,692.18 | -100.00 | All convertible corporate bonds converted to shares or redeemed | Restricted Assets (Unit: RMB) | Item | Book Value | Reason for Restriction | | :--- | :--- | :--- | | Bank Deposits | 133,539.00 | Supervision fund for temporary land reclamation | | Cash and Cash Equivalents - Other Cash and Cash Equivalents | 171,079,918.42 | Bill margin | | Cash and Cash Equivalents - Accrued Deposit Interest | 955,631.43 | Accrued bank deposit interest | | Notes Receivable | 3,028,132.82 | Bank acceptance bills endorsed but not yet due, with lower credit rating | | **Total** | **175,197,221.67** | - | - Significant growth in **construction in progress** and **fixed assets** reflects the orderly advancement of the company's capacity building[76](index=76&type=chunk) - Increase in **notes payable** and **long-term borrowings** is related to the expansion of the company's operating scale and financing needs[77](index=77&type=chunk) - The full conversion or redemption of **convertible corporate bonds** led to a decrease in bonds payable and other equity instruments[77](index=77&type=chunk)[78](index=78&type=chunk) [Corporate Governance, Environment and Society](index=32&type=section&id=Section%20IV%20Corporate%20Governance%2C%20Environment%20and%20Society) This section covers changes in directors, supervisors, senior management, and core technical personnel, profit distribution plans, equity incentive plans, and environmental information disclosure [Changes in Directors, Supervisors, Senior Management, and Core Technical Personnel](index=32&type=section&id=I.%20Changes%20in%20Directors%2C%20Supervisors%2C%20Senior%20Management%2C%20and%20Core%20Technical%20Personnel) The company completed the re-election of the Board of Directors and Supervisory Board, with several former members departing and new ones appointed, including Tong Ziquan as President - Completed the re-election of the Fourth Board of Directors, electing **Tong Ziquan**, **Zhao Shubin**, **Zhao Zhenyuan**, **Fang Weiguo**, **Jiang Yan** as non-independent directors, **Sun Meilu** as employee representative director, and **Shou Junhua**, **Liu Jian**, **Xu Dongjuan** as independent directors[91](index=91&type=chunk) - Former Vice Chairman **Jin Fuqiang**, directors **Zhao Deyu**, **Zhao Dezhong**, **Pan Yuming**, **Shi Guoqiang**, and independent directors **Xu Qiangguo**, **Gao Jifu**, **Qu Feng**, **Hu Wenyan** left due to term expiration[91](index=91&type=chunk)[92](index=92&type=chunk) - Completed the re-election of the Fourth Supervisory Board, electing **Yin Xinbo** as Chairman of the Supervisory Board, **Qin Xiping** as non-employee representative supervisor, and **Qi Fangfei** as employee representative supervisor[91](index=91&type=chunk) - Completed the appointment of the Fourth Senior Management, appointing **Tong Ziquan** as President, **Shi Guoqiang**, **Li Xiaohua** as Senior Vice Presidents, **Jiang Jianjun** as Vice President, **Ding Wei** as CFO, and **Zhou Hua** as Board Secretary[91](index=91&type=chunk) [Profit Distribution or Capital Reserve Conversion Plan](index=32&type=section&id=II.%20Profit%20Distribution%20or%20Capital%20Reserve%20Conversion%20Plan) The company did not formulate a semi-annual profit distribution or capital reserve conversion plan during the reporting period - Whether to distribute or convert: **No**[91](index=91&type=chunk) - Number of bonus shares per 10 shares (shares): **Not applicable**[91](index=91&type=chunk) - Dividend per 10 shares (RMB) (tax inclusive): **Not applicable**[91](index=91&type=chunk) - Number of shares converted from capital reserve per 10 shares (shares): **Not applicable**[91](index=91&type=chunk) [Equity Incentive and Employee Stock Ownership Plans](index=33&type=section&id=III.%20Equity%20Incentive%20and%20Employee%20Stock%20Ownership%20Plans) The second vesting period of the company's 2023 Restricted Stock Incentive Plan met vesting conditions, approving the vesting of **1,232,616 shares** to 62 incentive recipients, which became tradable on July 9, 2025 - The **second vesting period** of the 2023 Restricted Stock Incentive Plan met vesting conditions[93](index=93&type=chunk) - Approved the vesting of **1,232,616 shares** to 62 incentive recipients[93](index=93&type=chunk) - These equity incentive shares became tradable on **July 9, 2025**[93](index=93&type=chunk) [Environmental Information Disclosure](index=33&type=section&id=IV.%20Environmental%20Information%20Disclosure) The company and its wholly-owned subsidiary, Hangzhou Aosainuo Biotechnology Co., Ltd., are both on the list of enterprises required to disclose environmental information and have published their reports - Number of enterprises included in the list for environmental information disclosure: **2**[94](index=94&type=chunk) - Enterprise Names: **Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd.**, **Hangzhou Aosainuo Biotechnology Co., Ltd.**[94](index=94&type=chunk) - Query index for environmental information disclosure reports provided[94](index=94&type=chunk) [Significant Matters](index=34&type=section&id=Section%20V%20Significant%20Matters) This section details the fulfillment of commitments, non-operating fund occupation, illegal guarantees, changes in non-standard audit opinions, major litigations, violations, related party transactions, significant contracts, and use of raised funds [Fulfillment of Commitments](index=34&type=section&id=I.%20Fulfillment%20of%20Commitments) The company's actual controllers, shareholders, directors, supervisors, senior management, and the company itself have timely and strictly fulfilled various commitments made during IPO and refinancing, including share lock-up, share repurchase, diluted immediate return compensation, profit distribution policies, and resolution of horizontal competition and related party transactions - Actual controllers **Zhao Deyu** and **Zhao Dezhong** committed to a **36-month share lock-up**, with a reduction price not lower than the issue price within 2 years after expiration, and compliance with reduction regulations[99](index=99&type=chunk)[100](index=100&type=chunk) - **Nuotai Investment**, **Fulong Trading**, **Pengting Trading** committed to a **36-month share lock-up**, with a reduction price not lower than the issue price within 2 years after expiration, and compliance with reduction regulations[101](index=101&type=chunk) - Directors, supervisors, senior management, and core technical personnel holding shares, **Gu Haitao** and **Liu Biao**, committed to a **12-month share lock-up**, with a reduction price not lower than the issue price within 2 years after expiration, transferring no more than **25%** annually during their tenure, and no transfers within six months after leaving; core technical personnel transfer no more than **25%** annually within four years after the lock-up period expires[104](index=104&type=chunk) - The company committed that the prospectus contains no false records, misleading statements, or major omissions; otherwise, it will **repurchase new shares** and compensate investors according to law[116](index=116&type=chunk) - Controlling shareholders and actual controllers committed to resolving **horizontal competition**, not engaging in or participating in any business or activities that compete with the company[128](index=128&type=chunk) - Controlling shareholders and actual controllers committed to resolving **related party transactions**, not using related party relationships to harm company interests, minimizing related party transactions, and conducting them under fair and reasonable terms[129](index=129&type=chunk) - All commitment matters were **timely and strictly fulfilled** during the reporting period[97](index=97&type=chunk)[98](index=98&type=chunk) [Non-operating Fund Occupation](index=44&type=section&id=II.%20Non-operating%20Fund%20Occupation) During the reporting period, there was no non-operating fund occupation by controlling shareholders or other related parties - No non-operating fund occupation by controlling shareholders or other related parties[6](index=6&type=chunk) [Illegal Guarantees](index=44&type=section&id=III.%20Illegal%20Guarantees) During the reporting period, the company did not provide external guarantees in violation of prescribed decision-making procedures - No external guarantees provided in violation of prescribed decision-making procedures[6](index=6&type=chunk) [Changes and Handling of Non-standard Audit Opinions](index=45&type=section&id=V.%20Changes%20and%20Handling%20of%20Non-standard%20Audit%20Opinions) Regarding the 2024 audit report's emphasis paragraph on the company and actual controller Zhao Dezhong being investigated for alleged information disclosure violations, the company received the CSRC's "Administrative Penalty Pre-notification Letter" on July 18, 2025, and will continue to monitor and disclose progress - Zhongtianyun Certified Public Accountants issued an unqualified audit report with an emphasis paragraph on the company's 2024 financial statements, highlighting the company and actual controller **Zhao Dezhong** being investigated for alleged information disclosure violations[139](index=139&type=chunk) - The company received the China Securities Regulatory Commission's **"Administrative Penalty Pre-notification Letter"** (Penalty Letter [2025] No. 59) on **July 18, 2025**[140](index=140&type=chunk) - The company will continue to monitor the progress of the aforementioned matters and strictly fulfill its information disclosure obligations[140](index=140&type=chunk) [Major Litigations and Arbitrations](index=45&type=section&id=VII.%20Major%20Litigations%20and%20Arbitrations) During the reporting period, the company had no major litigations or arbitrations - No major litigations or arbitrations during the reporting period[141](index=141&type=chunk) [Alleged Violations, Penalties, and Rectification](index=45&type=section&id=VIII.%20Alleged%20Violations%2C%20Penalties%2C%20and%20Rectification) The company and actual controller Zhao Dezhong were investigated by the CSRC in October 2024 for alleged information disclosure violations, receiving an "Administrative Penalty Pre-notification Letter" in July 2025. The company will continue to monitor and disclose progress - On **October 24, 2024**, the company and actual controller **Zhao Dezhong** received a **"Notice of Case Filing"** from the China Securities Regulatory Commission for alleged information disclosure violations[141](index=141&type=chunk) - On **July 18, 2025**, the company received the China Securities Regulatory Commission's **"Administrative Penalty Pre-notification Letter"** (Penalty Letter [2025] No. 59)[142](index=142&type=chunk) - The company will continue to monitor the progress of the aforementioned matters and strictly fulfill its information disclosure obligations[142](index=142&type=chunk) [Major Related Party Transactions](index=46&type=section&id=X.%20Major%20Related%20Party%20Transactions) During the reporting period, the company purchased goods worth **6,637.17 RMB** from Sichuan Duorui Pharmaceutical Co., Ltd., and sold goods to Zhejiang Huabei Pharmaceutical Co., Ltd. (**1.24 million RMB**) and Sichuan Duorui Pharmaceutical Co., Ltd. (**1.61 million RMB**) - The company purchased goods worth **6,637.17 RMB** from Sichuan Duorui Pharmaceutical Co., Ltd[144](index=144&type=chunk) - The company's subsidiary sold goods worth **1,238,938.05 RMB** to Zhejiang Huabei Pharmaceutical Co., Ltd[144](index=144&type=chunk) - The company's subsidiary sold goods worth **1,613,982.30 RMB** to Sichuan Duorui Pharmaceutical Co., Ltd[144](index=144&type=chunk) [Significant Contracts and Their Fulfillment](index=47&type=section&id=XI.%20Significant%20Contracts%20and%20Their%20Fulfillment) The company provided several joint liability guarantees for subsidiaries totaling **250 million RMB**, representing **8.44%** of net assets. A major service and supply contract with a customer, totaling approximately **102.1 million USD**, had **16.50 million USD** fulfilled during the period Company and Its Subsidiaries' Guarantees for Subsidiaries (Unit: RMB) | Guarantor | Guaranteed Party | Guarantee Amount | Guarantee Start Date | Guarantee End Date | Guarantee Type | Guarantee Fulfilled | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Aosainuo Biotechnology Co., Ltd. | 80,000,000.00 | 2024/2/28 | 2025/8/26 | Joint and several liability guarantee | No | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Aosainuo Biotechnology Co., Ltd. | 100,000,000.00 | 2024/7/10 | 2026/1/8 | Joint and several liability guarantee | No | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Nuoao Biopharmaceutical Technology Co., Ltd. | 30,000,000.00 | 2024/5/16 | 2025/4/21 | Joint and several liability guarantee | Yes | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Nuoao Biopharmaceutical Technology Co., Ltd. | 10,000,000.00 | 2025/5/19 | 2026/5/25 | Joint and several liability guarantee | No | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Nuoao Biopharmaceutical Technology Co., Ltd. | 10,000,000.00 | 2024/11/14 | 2025/12/3 | Joint and several liability guarantee | No | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Nuotai Nuohe Biopharmaceutical Technology Co., Ltd. | 20,000,000.00 | 2024/12/10 | 2025/9/12 | Joint and several liability guarantee | No | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Nuotai Nuohe Biopharmaceutical Technology Co., Ltd. | 10,000,000.00 | 2025/2/25 | 2026/2/19 | Joint and several liability guarantee | No | | Jiangsu Nuotai Aosainuo Biopharmaceutical Co., Ltd. | Hangzhou Nuotai Nuohe Biopharmaceutical Technology Co., Ltd. | 20,000,000.00 | 2025/2/18 | 2026/5/27 | Joint and several liability guarantee | No | - Total guarantee amount for subsidiaries during the reporting period: **280,000,000.00 RMB**[150](index=150&type=chunk) - Total outstanding guarantee amount for subsidiaries at the end of the reporting period: **250,000,000.00 RMB**[150](index=150&type=chunk) - Ratio of total guarantee amount to the company's net assets: **8.44%**[151](index=151&type=chunk) - The company's wholly-owned subsidiary, Hangzhou Aosainuo Biotechnology Co., Ltd., signed a master service and supply contract with a customer for a cumulative amount of approximately **102.1 million USD** (tax inclusive), with **16.50 million USD** fulfilled during the reporting period[152](index=152&type=chunk) [Progress in Use of Raised Funds](index=51&type=section&id=XII.%20Progress%20in%20Use%20of%20Raised%20Funds) IPO raised funds totaled **655 million RMB** (**90.33%** of commitment), and convertible bond funds totaled **333 million RMB** (**78.08%** of commitment). Some projects were completed or changed, and idle funds were temporarily used for working capital and later returned Overall Use of Raised Funds (Unit: RMB) | Source of Raised Funds | Committed Investment Amount of Raised Funds | Cumulative Investment Amount as of Reporting Period End | Cumulative Investment Progress (%) | | :--- | :--- | :--- | :--- | | Initial Public Offering of Shares | 725,162,993.16 | 655,052,045.34 | 90.33 | | Convertible Corporate Bonds | 426,248,396.23 | 332,793,686.20 | 78.08 | | **Total** | **1,151,411,389.39** | **987,845,731.35** | **85.79** | Use of Over-raised Funds (Unit: RMB) | Purpose | Total Over-raised Funds Intended for Investment | Cumulative Over-raised Funds Invested as of Reporting Period End | Cumulative Investment Progress (%) | | :--- | :--- | :--- | :--- | | Repayment of bank loans or permanent replenishment of working capital with over-raised funds | 175,162,993.16 | 174,042,003.72 | 99.36 | - The IPO raised fund investment project **"Workshop 106 Peptide API Product Technical Transformation Project"** has reached its intended usable state and been completed[169](index=169&type=chunk) - The **"Peptide Drugs and High-end Formulation R&D Center Project"** was completed, with remaining raised funds of **40 million RMB** used for the new **"Fulvestrant Production Project"** and the rest for permanent replenishment of working capital[161](index=161&type=chunk) - The **"API Manufacturing and Green Production Enhancement Project"** was changed to **"Workshops 601, 602 Peptide API Production Project"**[162](index=162&type=chunk) - Idle raised funds were temporarily used to supplement working capital, not exceeding **100 million RMB**, and were fully returned ahead of schedule on **January 15, 2025**[166](index=166&type=chunk) - On **January 21, 2025**, it was approved to use idle raised funds not exceeding **70 million RMB** to temporarily supplement working capital; as of **June 30, 2025**, this amount was not exceeded[167](index=167&type=chunk) - The company managed idle raised funds through cash management, with a cash management balance of **13.50 million RMB** at the end of the reporting period[169](index=169&type=chunk) [Share Changes and Shareholder Information](index=60&type=section&id=Section%20VI%20Share%20Changes%20and%20Shareholder%20Information) This section details changes in share capital, shareholder structure, and shareholdings of directors, supervisors, senior management, and core technical personnel [Changes in Share Capital](index=60&type=section&id=I.%20Changes%20in%20Share%20Capital) Share capital increased from **219,780,048 shares** to **314,819,281 shares**, mainly due to "Nuotai Convertible Bonds" conversion and capital reserve capitalization Share Capital Change Table (Unit: Shares) | Category | Quantity Before This Change | Percentage Before This Change (%) | Increase/Decrease This Change (Capital Reserve Conversion) | Increase/Decrease This Change (Other) | Total Increase/Decrease This Change | Quantity After This Change | Percentage After This Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Unrestricted Shares | 219,780,048 | 100 | 89,948,366 | 5,090,867 | 95,039,233 | 314,819,281 | 100 | | Total Shares | 219,780,048 | 100 | 89,948,366 | 5,090,867 | 95,039,233 | 314,819,281 | 100 | - **"Nuotai Convertible Bonds"** conversion resulted in **10,168,365 shares**[174](index=174&type=chunk) - The 2024 profit distribution plan capitalized capital reserves by **0.40 shares per share** to all shareholders, totaling **89,948,366 shares**[174](index=174&type=chunk) - The increase in share capital led to a corresponding dilution of **basic earnings per share** and **net assets per share attributable to ordinary shareholders**[175](index=175&type=chunk) [Shareholder Information](index=61&type=section&id=II.%20Shareholder%20Information) As of the reporting period end, there were **18,770** ordinary shareholders. Lianyungang Nuotai Investment Management Partnership (Limited Partnership) was the largest shareholder with **8.89%**, while actual controllers Zhao Deyu and Zhao Dezhong each held **5.97%** - Total number of ordinary shareholders at the end of the reporting period: **18,770**[176](index=176&type=chunk) Top Ten Shareholders' Shareholdings (Excluding shares lent through securities lending) (Unit: Shares) | Shareholder Name | Change During Reporting Period | Shares Held at Period End | Percentage (%) | Share Status | Quantity | Shareholder Nature | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Lianyungang Nuotai Investment Management Partnership (Limited Partnership) | 8,000,000 | 28,000,000 | 8.89 | Unrestricted | 0 | Other | | Zhao Deyu | 5,365,600 | 18,779,600 | 5.97 | Unrestricted | 0 | Domestic Natural Person | | Zhao Dezhong | 5,365,600 | 18,779,600 | 5.97 | Unrestricted | 0 | Domestic Natural Person | | Jiande City Xinglian Enterprise Management Co., Ltd. | 4,096,243 | 14,336,851 | 4.55 | Unrestricted | 0 | Domestic Non-State-Owned Legal Person | | Hangzhou Fulong Trading Co., Ltd. | 3,802,768 | 13,309,687 | 4.23 | Unrestricted | 0 | Domestic Non-State-Owned Legal Person | | Hangzhou Pengting Trading Co., Ltd. | 3,802,768 | 13,309,687 | 4.23 | Unrestricted | 0 | Domestic Non-State-Owned Legal Person | | Jiande City Shangjiang Enterprise Management Co., Ltd. | 3,227,562 | 11,296,466 | 3.59 | Unrestricted | 0 | Domestic Non-State-Owned Legal Person | | Jiande City Yuxin Enterprise Management Co., Ltd. | 2,723,472 | 9,532,151 | 3.03 | Unrestricted | 0 | Domestic Non-State-Owned Legal Person | | National Social Security Fund 110 Portfolio | 1,633,146 | 5,716,011 | 1.82 | Unrestricted | 0 | Other | | Jiande City Ruixin Enterprise Management Co., Ltd. | 1,439,996 | 5,039,986 | 1.60 | Unrestricted | 0 | Domestic Non-State-Owned Legal Person | - **Zhao Deyu** and **Zhao Dezhong** are the controlling shareholders and actual controllers of the company, brothers, and jointly control Lianyungang Nuotai Investment Management Partnership (Limited Partnership), Hangzhou Fulong Trading Co., Ltd., and Hangzhou Pengting Trading Co., Ltd[179](index=179&type=chunk) [Directors, Supervisors, Senior Management, and Core Technical Personnel Information](index=63&type=section&id=III.%20Directors%2C%20Supervisors%2C%20Senior%20Management%2C%20and%20Core%20Technical%20Personnel) Shareholdings of directors, supervisors, senior management, and core technical personnel generally increased due to the capital reserve capitalization in June 2025. Some key management also hold Class II restricted shares, with the second vesting period meeting conditions Shareholding Changes of Current and Former Directors, Supervisors, Senior Management, and Core Technical Personnel During the Reporting Period (Unit: Shares) | Name | Position | Shares Held at Beginning of Period | Shares Held at End of Period | Change in Shares During Reporting Period | Reason for Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Tong Ziquan | Chairman, President, Core Technical Personnel | 50,000 | 70,000 | 20,000 | Capital reserve capitalization in June 2025 | | Shi Guoqiang | Senior Vice President, Core Technical Personnel | 37,500 | 52,500 | 15,000 | Capital reserve capitalization in June 2025 | | Li Xiaohua | Senior Vice President | 25,000 | 35,000 | 10,000 | Capital reserve capitalization in June 2025 | | Jiang Jianjun | Vice President, Core Technical Personnel | 25,000 | 35,000 | 10,000 | Capital reserve capitalization in June 2025 | | Ding Wei | CFO | 20,000 | 28,000 | 8,000 | Capital reserve capitalization in June 2025 | | Zhou Hua | Board Secretary | 20,000 | 28,000 | 8,000 | Capital reserve capitalization in June 2025 | | Zhao Deyu | Director (Resigned) | 13,414,000 | 18,779,600 | 5,365,600 | Capital reserve capitalization in June 2025 | | Zhao Dezhong | Director (Resigned) | 13,414,000 | 18,779,600 | 5,365,600 | Capital reserve capitalization in June 2025 | Class II Restricted Stock Information (Unit: Shares) | Name | Position | Number of Restricted Shares Granted at Beginning of Period | Number of Shares Eligible for Vesting | Number of Shares Vested | Number of Restricted Shares Granted at End of Period | | :--- | :--- | :--- | :--- | :--- | :--- | | Tong Ziquan | Chairman, President, Core Technical Personnel | 140,000 | 28,000 | 112,000 | 140,000 | | Shi Guoqiang | Senior Vice President, Core Technical Personnel | 105,000 | 21,000 | 84,000 | 105,000 | | Li Xiaohua | Senior Vice President | 70,000 | 14,000 | 56,000 | 70,000 | | Jiang Jianjun | Vice President, Core Technical Personnel | 70,000 | 14,000 | 56,000 | 70,000 | | Ding Wei | CFO | 56,000 | 11,200 | 44,800 | 56,000 | | Zhou Hua | Board Secretary | 56,000 | 11,200 | 44,800 | 56,000 | | Zhao Chengqing | Core Technical Personnel | 70,000 | 14,000 | 56,000 | 70,000 | | **Total** | **/** | **567,000** | **113,400** | **453,600** | **567,000** | - The **second vesting period** of the 2023 Restricted Stock Incentive Plan met vesting conditions, approving the vesting of **1,232,616 shares** to 62 incentive recipients, which became tradable on **July 9, 2025**[184](index=184&type=chunk) - The implementation of the 2024 profit distribution plan for **capital reserve capitalization** led to an increase in shareholdings[185](index=185&type=chunk) [Bond-Related Information](index=66&type=section&id=Section%20VII%20Bond-Related%20Information) This section details the status of convertible corporate bonds, including their redemption and conversion, and the company's solvency [Convertible Corporate Bonds Information](index=66&type=section&id=II.%20Convertible%20Corporate%20Bonds%20Information) "Nuotai Convertible Bonds" were delisted from the Shanghai Stock Exchange on April 25, 2025, due to conditional redemption. During the period, **215 million RMB** was converted into **5,090,867 shares**, with cumulative conversion of **10,168,365 shares**. The company maintains good credit and strong solvency - **"Nuotai Convertible Bonds"** were issued on **December 15, 2023**, and listed on **January 18, 2024**[188](index=188&type=chunk) - Due to triggering the conditional redemption clause, the company decided to early redeem **"Nuotai Convertible Bonds"** and delisted them on **April 25, 2025**[189](index=189&type=chunk) Convertible Bond Changes During the Reporting Period (Unit: RMB) | Convertible Corporate Bond Name | Before This Change | Increase/Decrease This Change (Conversion) | Increase/Decrease This Change (Redemption) | After This Change | | :--- | :--- | :--- | :--- | :--- | | Nuotai Convertible Bonds | 219,060,000 | 215,016,000 | 4,044,000 | 0 | Cumulative Convertible Bond Conversion During the Reporting Period | Indicator | Value | | :--- | :--- | | Conversion Amount This Period (RMB) | 215,016,000 | | Number of Shares Converted This Period (shares) | 5,090,867 | | Cumulative Number of Shares Converted (shares) | 10,168,365 | | Cumulative Number of Shares Converted as Percentage of Total Shares Issued Before Conversion (%) | 4.7698 | | Unconverted Amount (RMB) | 0 | | Unconverted Convertible Bonds as Percentage of Total Convertible Bonds Issued (%) | 0 | - Conversion price adjustments: Adjusted from **42.73 RMB/share** to **42.33 RMB/share** on **June 17, 2024**; adjusted from **42.33 RMB/share** to **42.23 RMB/share** on **September 10, 2024**[196](index=196&type=chunk) - The company's business maintains a continuous and stable development trend, with relatively sufficient operating cash flow, possessing **strong solvency** and **risk resistance capabilities**[197](index=197&type=chunk) [Financial Report](index=68&type=section&id=Section%20VIII%20Financial%20Report) This section presents the company's consolidated and parent company financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in owners' equity, along with detailed notes on accounting policies, taxes, and financial items [Financial Statements](index=68&type=section&id=II.%20Financial%20Statements) This section provides the company's H1 2025 consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity, comprehensively presenting financial position, operating results, and cash flow Consolidated Balance Sheet (June 30, 2025) | Item | Amount (RMB) | | :--- | :--- | | Total Assets | 5,897,041,710.14 | | Total Liabilities | 2,921,054,022.14 | | Total Owners' Equity Attributable to Parent Company | 2,961,275,434.63 | Consolidated Income Statement (H1 2025) | Item | Amount (RMB) | | :--- | :--- | | Total Operating Revenue | 1,048,273,770.16 | | Total Profit | 339,765,178.72 | | Net Profit Attributable to Parent Company Shareholders | 310,047,663.19 | | Basic Earnings Per Share (RMB/share) | 0.99 | Consolidated Cash Flow Statement (H1 2025) | Item | Amount (RMB) | | :--- | :--- | | Net Cash Flow from Operating Activities | 316,156,545.09 | | Net Cash Flow from Investing Activities | -598,657,971.90 | | Net Cash Flow from Financing Activities | 293,928,347.71 | | Net Increase in Cash and Cash Equivalents | 11,953,496.87 | - Parent company financial statements are also disclosed, reflecting the parent company's financial performance[70](index=70&type=chunk)[74](index=74&type=chunk)[78](index=78&type=chunk)[90](index=90&type=chunk) [Company Basic Information](index=94&type=section&id=III.%20Company%20Basic%20Information) The company was established on September 30, 2015, listed on the STAR Market on May 20, 2021. Share capital increased due to convertible bond conversion and capital reserve capitalization. It primarily engages in R&D and CDMO of peptide and small molecule chemical drugs - The company was established on **September 30, 2015**, and listed on the STAR Market of the Shanghai Stock Exchange on **May 20, 2021**[235](index=235&type=chunk) - As of **June 30, 2025**, the company's share capital was **314,819,281.00 RMB**, mainly due to the conversion of convertible corporate bonds into **10,168,365 shares** and capital reserve capitalization of **89,948,366 shares**[236](index=236&type=chunk)[237](index=237&type=chunk) - Company's main business: Focuses on independent R&D and customized R&D and manufacturing of **peptide drugs** and **small molecule chemical drugs**, belonging to the **biopharmaceutical industry**[237](index=237&type=chunk) [Basis of Financial Statement Preparation](index=94&type=section&id=IV.%20Basis%20of%20Financial%20Statement%20Preparation) The financial statements are prepared on a going concern basis, with no significant doubts about the company's ability to continue as a going concern for the next 12 months - Financial statements are prepared on a **going concern basis**[239](index=239&type=chunk) - The company assessed its ability to continue as a going concern for **12 months** from the end of the reporting period, and there are no significant doubts or matters[240](index=240&type=chunk) [Significant Accounting Policies and Estimates](index=94&type=section&id=V.%20Significant%20Accounting%20Policies%20and%20Estimates) This section details the company's adherence to accounting standards, accounting period, operating cycle, functional currency, materiality, business combinations, consolidated financial statements, cash and cash equivalents, foreign currency translation, financial instrument classification and measurement, receivables, inventories, long-term equity investments, fixed assets, construction in progress, intangible assets, long-term deferred expenses, contract liabilities, employee compensation, provisions, share-based payments, revenue recognition, government grants, deferred tax assets/liabilities, and leases. New standards like "Interpretation No. 17" and "Interim Provisions for Accounting Treatment of Enterprise Data Resources" were implemented without significant impact - Adheres to **enterprise accounting standards**, accurately and completely reflecting financial information[243](index=243&type=chunk) - Detailed explanation of classification, recognition, measurement, and impairment provision methods for **financial instruments**, including financial assets measured at amortized cost, fair value through other comprehensive income, and fair value through profit or loss[100](index=100&type=chunk)[101](index=101&type=chunk)[102](index=102&type=chunk)[103](index=103&type=chunk)[104](index=104&type=chunk)[105](index=105&type=chunk)[106](index=106&type=chunk) - Clear **revenue recognition principles** and measurement methods, including specific conditions for recognizing revenue at a point in time and over time[119](index=119&type=chunk)[120](index=120&type=chunk) - New accounting policies, such as **"Interpretation No. 17"** and **"Interim Provisions for Accounting Treatment of Enterprise Data Resources,"** were implemented during the reporting period but did not have a significant impact on financial position and operating results[125](index=125&type=chunk)[126](index=126&type=chunk) [Taxation](index=127&type=section&id=VI.%20Taxation) The company's main taxes include VAT, corporate inc

苏州春秋电子科技股份有限公司2025 年半年度报告 公司代码：603890 公司简称：春秋电子 债券代码：113577 债券简称：春秋转债 债券代码：113667 债券简称：春23转债 2025 年半年度报告 1 / 160 苏州春秋电子科技股份有限公司2025 年半年度报告 重要提示 一、 本公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的真实性、准确 性、完整性，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。 二、 公司全体董事出席董事会会议。 三、 本半年度报告未经审计。 四、 公司负责人薛革文、主管会计工作负责人陆秋萍及会计机构负责人（会计主管人员）陆金 花声明：保证半年度报告中财务报告的真实、准确、完整。 五、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 苏州春秋电子科技股份有限公司 不适用 六、 前瞻性陈述的风险声明 √适用 □不适用 本报告涉及的发展战略、经营计划等前瞻性陈述受市场变化等多方面因素影响，并不构成公 司对投资者的实质承诺，请投资者注意投资风险。 七、 是否存在被控股股东及其他关联方非经营性占用资金情况 否 八、 是否存在违反规定决策 ...

广西桂冠电力股份有限公司2025 年半年度报告 公司代码：600236 公司简称：桂冠电力 广西桂冠电力股份有限公司 2025 年半年度报告 1 / 192 广西桂冠电力股份有限公司2025 年半年度报告 重要提示 一、 本公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的真实性、准确 性、完整性，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。 二、 公司全体董事出席董事会会议。 三、 本半年度报告未经审计。 四、 公司负责人赵大斌、主管会计工作负责人孙银钢及会计机构负责人（会计主管人员）赖小 陆声明：保证半年度报告中财务报告的真实、准确、完整。 五、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 广西桂冠电力股份有限公司（以下简称"公司"）2025年半年度实现归属于上市公司股东净 利润1,187,733,386.44元，2025年6月末公司累计未分配利润5,997,797,099.12元。以上财务数据 未经审计。 根据《广西桂冠电力股份有限公司章程》关于利润分配的有关规定及2025年半年度利润实现 情况，公司2025年度中期利润分配方案如下： 以公司2025年6 ...

公司代码：603906 公司简称：龙蟠科技 江苏龙蟠科技集团股份有限公司 2025 年半年度报告 1 / 201 江苏龙蟠科技集团股份有限公司2025 年半年度报告 重要提示 江苏龙蟠科技集团股份有限公司2025 年半年度报告 一、 本公司董事会及董事、高级管理人员保证半年度报告内容的真实性、准确性、完整性，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。 二、 公司全体董事出席董事会会议。 三、 本半年度报告未经审计。 四、 公司负责人石俊峰、主管会计工作负责人沈志勇及会计机构负责人（会计主管人员）周林声明： 保证半年度报告中财务报告的真实、准确、完整。 五、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 无 六、 前瞻性陈述的风险声明 √适用 □不适用 本报告中所涉及的未来计划、发展战略等前瞻性描述因存在不确定性，不构成公司对投资者的 实质承诺，敬请投资者注意投资风险。 七、 是否存在被控股股东及其他关联方非经营性占用资金情况 否 八、 是否存在违反规定决策程序对外提供担保的情况 □适用 √不适用 2 / 201 | 第一节 | 释义 | 4 | | --- | --- | ...

TBEA Co., Ltd. 2025 Semi-Annual Performance Express Report [Key Financial Data and Indicators](index=1&type=section&id=Item%201.%20Key%20Financial%20Data%20and%20Indicators) In the first half of 2025, the company achieved stable growth in total operating revenue, increasing by 1.12%, with operating profit and total profit seeing significant increases of 17.04% and 15.62% respectively, while net profit attributable to shareholders slowed to 5.00% and net profit excluding non-recurring gains and losses decreased by 5.30% year-on-year, indicating pressure on core profitability, though total assets and shareholders' equity maintained steady growth Key Financial Data for H1 2025 (Unit: Billion CNY) | Item | Current Period | Prior Period (Adjusted) | Change (%) | | :--- | :--- | :--- | :--- | | **Total Operating Revenue** | 484.01 | 478.63 | 1.12% | | **Operating Profit** | 43.84 | 37.46 | 17.04% | | **Total Profit** | 44.23 | 38.25 | 15.62% | | **Net Profit Attributable to Shareholders of the Listed Company** | 31.84 | 30.32 | 5.00% | | **Net Profit Attributable to Shareholders Excluding Non-Recurring Items** | 27.87 | 29.44 | -5.30% | | **Basic Earnings Per Share (CNY)** | 0.6342 | 0.6040 | 5.00% | | **Total Assets (Period-end)** | 2,207.99 | 2,079.68 (Period-start) | 6.17% | | **Equity Attributable to Shareholders (Period-end)** | 717.88 | 674.99 (Period-start) | 6.35% | - The company retrospectively adjusted prior period financial statement data due to a business combination under common control[3](index=3&type=chunk) - When calculating indicators such as earnings per share, the total share capital has excluded **32,543,837 shares** cumulatively repurchased[4](index=4&type=chunk) [Explanation of Operating Performance and Financial Position](index=2&type=section&id=Item%202.%20Explanation%20of%20Operating%20Performance%20and%20Financial%20Position) The company leveraged the synergistic advantages of its four major industries—power transmission and transformation, new energy, new materials, and energy—to successfully navigate challenges from declining polysilicon and coal prices, achieving stable overall performance, and plans to further deepen its industrial layout, expand domestic and international markets, and foster new growth points through major projects like coal-to-gas initiatives - The company achieved stable development by leveraging synergistic growth across its four major industries, seizing opportunities in new power system construction and international markets, and overcoming adverse impacts from declining polysilicon and coal prices[5](index=5&type=chunk) - Company strategic outlook: Adhere to synergistic development across four major industries, vigorously expand domestic and international markets, and build future growth poles by accelerating major project construction, such as the **2 billion Nm³/year coal-to-gas project**[5](index=5&type=chunk) [Risk Warning](index=2&type=section&id=Item%203.%20Risk%20Warning) The report emphasizes that the financial data presented in this performance express report are preliminary and unaudited, with final figures subject to the company's officially disclosed 2025 semi-annual report, cautioning investors about associated risks - The financial data contained in this announcement are preliminary and unaudited by an accounting firm, with specific figures subject to the company's 2025 semi-annual periodic report[6](index=6&type=chunk)

[Definitions](index=5&type=section&id=Item%201.%20Definitions) This chapter defines key terms and abbreviations used in the report, such as "the Company" referring to Sleemon Furniture Co., Ltd., and "Controlling Shareholder" referring to Zhejiang Huayi Intelligent Manufacturing Co., Ltd - This chapter defines key terms and abbreviations used in the report, such as **"the Company"** referring to Sleemon Furniture Co., Ltd., and **"Controlling Shareholder"** referring to Zhejiang Huayi Intelligent Manufacturing Co., Ltd[16](index=16&type=chunk) [Company Profile and Key Financial Indicators](index=6&type=section&id=Item%202.%20Company%20Profile%20and%20Key%20Financial%20Indicators) This section provides an overview of Sleemon Furniture Co., Ltd., including its basic information and key financial performance metrics for the first half of 2025 [Company Basic Information](index=6&type=section&id=Company%20Information) This chapter provides basic information about Sleemon Furniture Co., Ltd., including its Chinese and English names, legal representative, contact details, registered address, and information disclosure channels Company Information | Item | Information | | :--- | :--- | | **Company Chinese Name** | 喜临门家具股份有限公司 | | **Stock Abbreviation** | 喜临门 | | **Stock Code** | 603008 | | **Legal Representative** | 陈阿裕 | | **Registered Address** | 浙江省绍兴市越城区灵芝镇二环北路1号 | | **Company Website** | http://www.sleemon.cn/ | [Key Accounting Data and Financial Indicators](index=6&type=section&id=Key%20Accounting%20Data%20and%20Financial%20Indicators) In the first half of 2025, the company achieved operating revenue of 4.021 billion CNY, a 1.59% year-on-year increase, with net profit attributable to shareholders rising 14.04% to 266 million CNY. Basic earnings per share increased by 14.29% to 0.72 CNY/share, and net cash flow from operating activities significantly improved despite remaining negative Key Accounting Data for H1 2025 (Unit: CNY) | Key Accounting Data | Current Period (Jan-Jun) | Prior Period | YoY Change (%) | | :--- | :--- | :--- | :--- | | **Operating Revenue** | 4,020,509,915.07 | 3,957,601,195.25 | 1.59 | | **Net Profit Attributable to Shareholders of Listed Company** | 266,491,172.67 | 233,677,195.79 | 14.04 | | **Net Profit Attributable to Shareholders of Listed Company (Excluding Non-recurring Items)** | 259,560,008.85 | 222,899,255.22 | 16.45 | | **Net Cash Flow from Operating Activities** | -39,624,133.07 | -173,790,428.97 | Not Applicable | | **Total Assets (Period-end)** | 8,642,870,981.43 | 8,904,781,941.06 | -2.94 (Compared to prior year-end) | Key Financial Indicators for H1 2025 | Key Financial Indicators | Current Period (Jan-Jun) | Prior Period | YoY Change (%) | | :--- | :--- | :--- | :--- | | **Basic Earnings Per Share (CNY/share)** | 0.72 | 0.63 | 14.29 | | **Diluted Earnings Per Share (CNY/share)** | 0.72 | 0.63 | 14.29 | | **Weighted Average Return on Net Assets (%)** | 6.87 | 6.13 | Increased by 0.74 percentage points | | **Weighted Average Return on Net Assets (Excluding Non-recurring Items) (%)** | 6.69 | 5.85 | Increased by 0.84 percentage points | - During the reporting period, the company's non-recurring gains and losses totaled **6.9312 million CNY**, primarily from government subsidies and fair value changes in financial assets[27](index=27&type=chunk) [Management Discussion and Analysis](index=8&type=section&id=Item%203.%20Management%20Discussion%20and%20Analysis) This section provides management's perspective on the company's industry, business operations, core competencies, and financial performance during the reporting period, along with risk analysis and mitigation strategies [Industry and Main Business Overview](index=8&type=section&id=Description%20of%20the%20Company%27s%20Industry%20and%20Main%20Business%20During%20the%20Reporting%20Period) The company operates in the upholstered furniture manufacturing sector, focusing on mattresses, and despite industry pressures, benefits from consumption upgrades and "trade-in" policies, maintaining its leadership with extensive production bases and stores while investing in AI technology - The company operates in the **furniture manufacturing industry (C21)**, specifically the upholstered furniture sector, with products primarily including mattresses, upholstered beds, and sofas[30](index=30&type=chunk) - In the first half of 2025, China's furniture industry continued to exhibit characteristics of **"overall pressure with structural optimization"**, with revenue for large-scale furniture manufacturers decreasing by **4.9% year-on-year**, though the decline narrowed compared to Q1, showing marginal improvement[32](index=32&type=chunk) - The company is a leader in China's mattress industry, boasting **eight domestic production bases**, one overseas base in Thailand, **over 5,000 offline stores**, and continuous investment in AI smart sleep product R&D[36](index=36&type=chunk) - The company's sales models include **own-brand retail** (online and offline), **own-brand engineering channels** (hotels, apartments), and **OEM business channels** (manufacturing for leading domestic and international brands)[55](index=55&type=chunk)[56](index=56&type=chunk)[57](index=57&type=chunk) [Discussion and Analysis of Operations](index=13&type=section&id=Discussion%20and%20Analysis%20of%20Operations) In H1 2025, designated as "AI Year One," the company strategically transformed into a technology-driven sleep solution provider, achieving robust growth by optimizing online and offline retail, upgrading "Net-Sleep Formaldehyde Removal Technology," expanding its "aise Baobao" AI product matrix, and integrating AI into internal operations for efficiency gains - The company designated **2025 as "AI Year One"**, committing to transform from a traditional furniture manufacturer into a technology-driven sleep solution provider[60](index=60&type=chunk) - In technological innovation, the company upgraded its **"Net-Sleep Formaldehyde Removal Technology"**, launched new Net-Sleep M series and zero-glue mattresses; the AI product matrix continues to improve with the addition of **aise Baobao Cloud Enjoy series** and **Sleemon AI Net-Sleep E series** product lines[63](index=63&type=chunk) - The company deepened industry-academia-research collaboration, co-establishing a **Smart Sleep Technology Joint Research Center with Tsinghua University**, and forming an exclusive strategic partnership with **Strong Brain Technology** to launch co-branded AI mattresses and jointly develop brain-computer interface-based sleep solutions[63](index=63&type=chunk) - AI technology has been applied in various scenarios, including human resources, quality inspection, intelligent customer service, and in-store smart bed selection systems, effectively **improving operational efficiency and service conversion rates**[64](index=64&type=chunk) [Analysis of Core Competencies](index=14&type=section&id=Analysis%20of%20Core%20Competencies%20During%20the%20Reporting%20Period) The company's core competencies remained stable, highlighted by strong design and R&D, a leading brand position as "China's first mattress stock," extensive online and offline marketing networks, efficient manufacturing and digitalized supply chains, and robust quality control systems - **Design and R&D Advantage**: The company is a national high-tech enterprise, possessing provincial-level key enterprise research institutes and academician expert workstations, forming a virtuous cycle of independent R&D complemented by industry-academia-research collaboration[66](index=66&type=chunk)[67](index=67&type=chunk) - **Brand Advantage**: Known as "China's first mattress stock," the company has built a pyramid-shaped brand matrix centered on its main brand "Sleemon" and high-end sofa brands "Chateaux" and "M&D," continuously reinforcing its brand positioning of "spinal protection" and "deep quality sleep"[68](index=68&type=chunk)[69](index=69&type=chunk) - **Marketing Network Advantage**: A comprehensive multi-channel marketing network has been established, with **over 5,000 offline exclusive stores** and full coverage across mainstream e-commerce platforms like Tmall, JD.com, and Douyin[70](index=70&type=chunk) - **Manufacturing and Supply Chain Advantage**: The company operates **eight domestic production bases**, achieving full coverage across China, and an overseas production base in Thailand, integrating CRM, SAP, MES, and other systems to streamline order-to-production processes for efficient and intelligent supply chain management[72](index=72&type=chunk) - **Quality Control Advantage**: The company was among the first to pass the **ISO9001, ISO14001, ISO45001 "three-in-one" management system certification**, and has served as a primary drafting unit for multiple national and industry standards[73](index=73&type=chunk)[74](index=74&type=chunk) [Analysis of Main Operating Performance](index=16&type=section&id=Main%20Operating%20Performance%20During%20the%20Reporting%20Period) During the reporting period, the company's main business financial indicators remained stable, with sales expenses increasing by 8.42% while management, financial, and R&D expenses decreased; significant increases in prepayments, construction in progress, notes payable, and long-term borrowings were noted, alongside strategic investments in Milan Image and new sales subsidiaries Financial Statement Item Variation Analysis | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | **Operating Revenue** | 4,020,509,915.07 | 3,957,601,195.25 | 1.59 | | **Selling Expenses** | 833,673,502.19 | 768,947,186.99 | 8.42 | | **Administrative Expenses** | 208,718,414.85 | 222,087,357.78 | -6.02 | | **Financial Expenses** | 13,403,476.65 | 17,418,988.01 | -23.05 | | **R&D Expenses** | 82,333,831.16 | 90,105,586.15 | -8.63 | Analysis of Asset and Liability Status Changes | Item Name | Current Period End Amount (CNY) | Prior Period End Amount (CNY) | Change (%) | Primary Reason | | :--- | :--- | :--- | :--- | :--- | | **Prepayments** | 183,832,686.93 | 98,580,621.33 | 86.48 | Increase in prepaid material costs, brand promotion fees, etc | | **Construction in Progress** | 126,296,504.20 | 47,025,497.41 | 168.57 | Factory intelligent transformation, Jiangxi factory phase II construction, etc | | **Notes Payable** | 1,006,389,191.34 | 494,047,735.17 | 103.70 | Increase in settlement by notes | | **Accounts Payable** | 978,153,322.07 | 1,713,925,134.40 | -42.93 | Payment for goods, equipment | | **Long-term Borrowings** | 694,414,900.00 | 261,265,558.33 | 165.79 | Increase in borrowings | - During the reporting period, the company acquired a **30% equity stake** in Jiaxing Milan Image Furniture Co., Ltd. for **97.5 million CNY**, increasing its shareholding from 51% to 81%, aiming to strengthen its sofa product category and overseas business[80](index=80&type=chunk)[89](index=89&type=chunk) [Risk Analysis and Response](index=22&type=section&id=Potential%20Risks%20and%20Countermeasures) The company faces risks from raw material price fluctuations, market competition, demand volatility, international trade friction, operational management, and brand management, addressed through diversified procurement, enhanced competitiveness, market monitoring, adjusted overseas layouts, improved internal controls, and brand protection - The company identified six major risks: **raw material price fluctuations, intensified market competition, market demand volatility, international trade friction, operational management risks, and brand operation and management risks**[91](index=91&type=chunk)[92](index=92&type=chunk)[94](index=94&type=chunk)[96](index=96&type=chunk)[97](index=97&type=chunk) - Countermeasures include: managing raw material costs through centralized procurement and price locking; leveraging brand and channel advantages to capture market share; establishing a sensitive market monitoring system to respond to demand changes; adjusting overseas factory layouts to mitigate trade friction; improving internal organizational structure and risk control systems; and establishing dedicated departments for brand maintenance and crisis public relations[91](index=91&type=chunk)[92](index=92&type=chunk)[93](index=93&type=chunk)[95](index=95&type=chunk)[96](index=96&type=chunk)[97](index=97&type=chunk) [Corporate Governance, Environment, and Society](index=24&type=section&id=Item%204.%20Corporate%20Governance%2C%20Environment%2C%20and%20Society) This section covers the company's profit distribution plan, adjustments to its equity incentive plan, and the proposed cancellation of employee stock ownership plan shares due to unfulfilled performance targets [Profit Distribution Plan](index=24&type=section&id=Profit%20Distribution%20or%20Capital%20Reserve%20Conversion%20Plan) The board approved a H1 2025 profit distribution plan to pay a cash dividend of 2.80 CNY (tax inclusive) per 10 shares, totaling approximately 104 million CNY, representing 39.03% of half-year net profit attributable to the parent company, pending shareholder approval H1 2025 Profit Distribution Plan | Distribution/Conversion Item | Plan | | :--- | :--- | | **Number of Bonus Shares per 10 Shares** | 0 shares | | **Dividend per 10 Shares (tax inclusive)** | 2.80 CNY | | **Number of Shares Converted from Capital Reserve per 10 Shares** | 0 shares | | **Total Proposed Cash Dividend (tax inclusive)** | 104,003,614.40 CNY | | **Percentage of Half-Year Net Profit Attributable to Parent Company** | 39.03% | [Equity Incentive and Employee Stock Ownership Plans](index=24&type=section&id=Company%20Equity%20Incentive%20Plan%2C%20Employee%20Stock%20Ownership%20Plan) During the reporting period, the company adjusted and partially canceled its 2021 stock option incentive plan due to unachieved 2024 performance targets, leading to the cancellation of 872,820 stock options and a proposal to repurchase and cancel 3,149,045 unvested shares from the 2021 employee stock ownership plan - Due to the company's failure to meet its 2024 performance targets, the third exercise period conditions for the 2021 stock option incentive plan were not met, and the company **canceled all remaining 872,820 stock options** on May 29, 2025[103](index=103&type=chunk)[455](index=455&type=chunk) - As performance targets for 2022-2024 were not met, none of the three vesting periods for the 2021 employee stock ownership plan were achieved; the company proposes to **repurchase and cancel all remaining 3,149,045 unvested shares** from the plan at a price of **23.65 CNY/share**[105](index=105&type=chunk)[106](index=106&type=chunk) [Significant Matters](index=28&type=section&id=Item%205.%20Significant%20Matters) This section details the fulfillment of commitments, significant related-party transactions, and major guarantees during the reporting period [Fulfillment of Commitments](index=28&type=section&id=Fulfillment%20of%20Commitments) During and continuing into the reporting period, the company's actual controller, shareholders, and related parties strictly fulfilled all commitments made during major asset restructurings, initial public offerings, and equity incentives, including those concerning avoiding horizontal competition, regulating related-party transactions, and share lock-ups, with no breaches reported - The company's controlling shareholder, actual controller, and related parties strictly fulfilled all commitments during the reporting period regarding **avoiding horizontal competition, regulating related-party transactions, and share lock-ups**[109](index=109&type=chunk)[110](index=110&type=chunk)[111](index=111&type=chunk) [Significant Related-Party Transactions](index=31&type=section&id=Significant%20Related-Party%20Transactions) The company projected its 2025 annual routine related-party transactions and is currently preparing and refining materials for a proposed non-public issuance of A-shares to Anhui Xinhong Equity Investment Co., Ltd., a wholly-owned subsidiary of the controlling shareholder, which constitutes a related-party transaction - The company approved the **"Proposal on Estimated Routine Related-Party Transactions for 2025"** in April 2025[113](index=113&type=chunk) - The company plans to privately issue **66,354,410 A-shares** to Anhui Xinhong Equity Investment Co., Ltd., a wholly-owned subsidiary of the controlling shareholder, which constitutes a related-party transaction and is currently in progress[115](index=115&type=chunk)[116](index=116&type=chunk) [Significant Guarantees](index=33&type=section&id=Significant%20Guarantees) During the reporting period, all external guarantees were provided to wholly-owned subsidiaries to support their operations and business expansion; as of the period-end, the total guarantee balance for subsidiaries was 221 million CNY, representing 5.85% of the company's net assets, with no irregular guarantees Company Guarantee Total (Unit: Ten Thousand CNY) | Item | Amount | | :--- | :--- | | **Total Guarantees Provided to Subsidiaries During the Reporting Period** | 21,750.00 | | **Total Guarantee Balance for Subsidiaries at Period-End (B)** | 22,060.00 | | **Total Guarantees (A+B)** | 22,060.00 | | **Percentage of Total Guarantees to Company's Net Assets (%)** | 5.85 | [Share Changes and Shareholder Information](index=34&type=section&id=Item%206.%20Share%20Changes%20and%20Shareholder%20Information) This section details changes in the company's share capital due to share repurchases and cancellations, along with an overview of its shareholder structure, including the top ten shareholders and their respective holdings [Share Capital Changes](index=34&type=section&id=Share%20Capital%20Changes) During the reporting period, the company's total share capital changed due to share repurchases and cancellations, with 7,550,400 shares repurchased and canceled in May 2025, reducing the total share capital from 378,991,880 shares to 371,441,480 shares - The company completed share repurchases and cancellations in May 2025, resulting in a reduction of **7,550,400 shares** in its total share capital[122](index=122&type=chunk) Total Share Capital Changes | Item | Quantity Before Change (Shares) | Current Change (Shares) | Quantity After Change (Shares) | | :--- | :--- | :--- | :--- | | **Total Shares** | 378,991,880 | -7,550,400 | 371,441,480 | [Shareholder Information](index=35&type=section&id=Shareholder%20Information) As of the end of the reporting period, the company had 15,699 common shareholders, with the controlling shareholder, Zhejiang Huayi Intelligent Manufacturing Co., Ltd., holding 22.83%, and the actual controller, Chen Ayu, along with his concerted parties, holding a combined 36.05% - As of the end of the reporting period, the company had a total of **15,699 common shareholders**[124](index=124&type=chunk) Top Three Shareholders' Holdings | Shareholder Name | Shares Held at Period-End (Shares) | Percentage (%) | | :--- | :--- | :--- | | **Zhejiang Huayi Intelligent Manufacturing Co., Ltd.** | 84,799,659 | 22.83 | | **Shaoxing Yuecheng Huahan Equity Investment Partnership (Limited Partnership)** | 36,807,950 | 9.91 | | **National Social Security Fund 413 Portfolio** | 10,897,147 | 2.93 | - Controlling shareholder Zhejiang Huayi Intelligent Manufacturing Co., Ltd., Shaoxing Yuecheng Huahan Equity Investment Partnership (Limited Partnership), actual controller Chen Ayu, and Shaanxi Guotou · Jinyu No. 201 Trust Plan are **parties acting in concert**[127](index=127&type=chunk) [Bond-Related Information](index=38&type=section&id=Item%207.%20Bond-Related%20Information) This section confirms that the company had no outstanding corporate bonds, enterprise bonds, non-financial enterprise debt financing instruments, or convertible corporate bonds during the reporting period [Corporate Bonds and Convertible Corporate Bonds](index=38&type=section&id=Corporate%20Bonds%20and%20Convertible%20Corporate%20Bonds) During the reporting period, the company had no outstanding corporate bonds, enterprise bonds, non-financial enterprise debt financing instruments, or convertible corporate bonds - The company had **no corporate bonds, enterprise bonds, non-financial enterprise debt financing instruments, or convertible corporate bonds** during this reporting period[131](index=131&type=chunk) [Financial Report](index=39&type=section&id=Item%208.%20Financial%20Report) This section presents the company's unaudited consolidated and parent company financial statements for the first half of 2025, including the balance sheet, income statement, cash flow statement, and statement of changes in owners' equity [Financial Statements](index=39&type=section&id=Financial%20Statements) This chapter provides the company's unaudited consolidated and parent company financial statements for the first half of 2025, including the balance sheet, income statement, cash flow statement, and statement of changes in owners' equity - The financial report in this semi-annual report is **unaudited**[7](index=7&type=chunk)[133](index=133&type=chunk) Key Items from Consolidated Balance Sheet (June 30, 2025) (Unit: CNY) | Item | Period-End Balance (CNY) | Prior Year-End Balance (CNY) | | :--- | :--- | :--- | | **Total Assets** | 8,642,870,981.43 | 8,904,781,941.06 | | **Total Liabilities** | 4,823,048,333.35 | 4,983,821,714.47 | | **Total Owners' Equity Attributable to Parent Company** | 3,772,795,790.72 | 3,767,736,426.88 | Key Items from Consolidated Income Statement (Jan-Jun 2025) (Unit: CNY) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | **Total Operating Revenue** | 4,020,509,915.07 | 3,957,601,195.25 | | **Operating Profit** | 299,604,165.85 | 286,300,305.51 | | **Total Profit** | 297,144,153.02 | 276,020,944.13 | | **Net Profit** | 261,653,850.49 | 235,881,318.19 | | **Net Profit Attributable to Parent Company Shareholders** | 266,491,172.67 | 233,677,195.79 | Key Items from Consolidated Cash Flow Statement (Jan-Jun 2025) (Unit: CNY) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | **Net Cash Flow from Operating Activities** | -39,624,133.07 | -173,790,428.97 | | **Net Cash Flow from Investing Activities** | -234,195,718.43 | -39,527,543.50 | | **Net Cash Flow from Financing Activities** | -211,767,908.96 | 12,724,612.36 | | **Net Increase in Cash and Cash Equivalents** | -485,587,760.46 | -200,593,360.11 | [Notes to Financial Statements](index=57&type=section&id=Notes%20to%20Financial%20Statements) This chapter details the basis of financial statement preparation, accounting standards followed, significant accounting policies and estimates, and provides comprehensive notes on major consolidated financial statement items, related-party relationships and transactions, share-based payments, contingent liabilities, and post-balance sheet events - The financial statements are prepared on a **going concern basis** and comply with the requirements of **Enterprise Accounting Standards**[160](index=160&type=chunk)[163](index=163&type=chunk) - The company's principle for revenue recognition is to recognize revenue when the customer obtains control of the related goods or services; for domestic sales, revenue is recognized upon product delivery to the buyer, and for export sales, upon customs declaration and receipt of the bill of lading[221](index=221&type=chunk)[222](index=222&type=chunk) - As of the period-end, the total book value of assets with restricted ownership or use rights amounted to **1.14 billion CNY**, primarily comprising monetary funds, fixed assets, and intangible assets used for secured borrowings and issuing bank acceptance bills[332](index=332&type=chunk)

厦门厦钨新能源材料股份有限公司 2025 年半年度报告 公司代码：688778 公司简称：厦钨新能 厦门厦钨新能源材料股份有限公司 2025 年半年度报告 1 / 190 厦门厦钨新能源材料股份有限公司 2025 年半年度报告 重要提示 一、 本公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的真实性、准确性、 完整性，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。 二、 重大风险提示 本公司已在本报告中详细描述存在的风险因素，具体详见第三节"管理层讨论与分析"中 "四、风险因素"。 三、 未出席董事情况 | 未出席董事职务 | 未出席董事姓名 | 未出席董事的原因说明 | 被委托人姓名 | | --- | --- | --- | --- | | 董事 | 曾新平 | 工作原因 | 钟可祥 | | 独立董事 | 陈菡 | 工作原因 | 何燕珍 | 四、 本半年度报告未经审计。 五、 公司负责人杨金洪、主管会计工作负责人张瑞程及会计机构负责人（会计主管人员）张瑞程 声明：保证半年度报告中财务报告的真实、准确、完整。 六、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 ...

西安高压电器研究院股份有限公司2025 年半年度报告 公司代码：688334 公司简称：西高院 西安高压电器研究院股份有限公司 2025 年半年度报告 1 / 184 西安高压电器研究院股份有限公司2025 年半年度报告 重要提示 一、 本公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的真实性、准确 性、完整性，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。 二、 重大风险提示 报告期内，不存在对公司生产经营产生实质性影响的特别重大风险。公司在经营过程中可能 面临的各种风险，敬请查阅本报告"第三节 管理层讨论与分析"之"四、风险因素"部分，敬请 投资者注意投资风险。 三、 公司全体董事出席董事会会议。 四、 本半年度报告未经审计。 五、 公司负责人张晋波、主管会计工作负责人王辉及会计机构负责人（会计主管人员）郑重声 明：保证半年度报告中财务报告的真实、准确、完整。 六、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 经公司第二届董事会第三次会议及第二届监事会第三次会议审议，公司拟以实施权益分派股 权登记日的总股本为基数，向全体股东每 10 股派发现金红利 2.3 ...

[Glossary](index=4&type=section&id=Section%201%20Glossary) This chapter defines professional terms and company entity abbreviations used in the report, covering key products such as trichlorosilane, silicon tetrachloride, silane coupling agents, and potassium hydroxide, providing a foundation for understanding the report content - This chapter primarily explains the professional terms and company entity abbreviations used in the report, covering the company's main products like trichlorosilane, silicon tetrachloride, silane coupling agents, and potassium hydroxide, providing a basis for understanding the report content[12](index=12&type=chunk) [Company Profile and Key Financial Indicators](index=5&type=section&id=Section%202%20Company%20Profile%20and%20Key%20Financial%20Indicators) This section provides an overview of the company's fundamental information and a summary of its key financial performance during the reporting period [Company Basic Information](index=5&type=section&id=I.%20Company%20Information) This chapter provides the company's basic business registration information, including its Chinese and English names, legal representative, contact details, and registered and office addresses Company Basic Information | Item | Information | | :--- | :--- | | **Company Name** | Tangshan Sanfu Siyuan Co., Ltd. (Sanfu Stock) | | **Stock Code** | 603938 (A-share, Shanghai Stock Exchange) | | **Legal Representative** | Sun Renjing | | **Registered Address** | No. 512, Xiwang Road, Nanpu Development Zone, Tangshan City | [Key Accounting Data and Financial Indicators](index=6&type=section&id=VII.%20Company%20Key%20Accounting%20Data%20and%20Financial%20Indicators) During the reporting period, the company's operating revenue increased year-on-year, but net profit attributable to shareholders slightly declined, while net cash flow from operating activities significantly grew, indicating improved operational quality 2025 H1 Key Financial Data | Key Accounting Data | Current Reporting Period (Jan-Jun) (yuan) | Prior Year Period (yuan) | YoY Change (%) | | :--- | :--- | :--- | :--- | | **Operating Revenue** | 1,008,037,828.70 | 906,641,480.21 | 11.18% | | **Net Profit Attributable to Shareholders** | 38,458,409.75 | 40,741,068.73 | -5.60% | | **Net Profit Attributable to Shareholders (Excl. Non-recurring Items)** | 33,350,884.72 | 29,794,983.20 | 11.93% | | **Net Cash Flow from Operating Activities** | 22,305,655.87 | 9,903,698.49 | 125.23% | | **Basic Earnings Per Share (yuan/share)** | 0.10 | 0.11 | -9.09% | | **Weighted Average Return on Net Assets (%)** | 1.57 | 1.69 | Decrease of 0.12 percentage points | - Non-recurring gains and losses totaled **5.11 million yuan** during the reporting period, primarily from government subsidies and wealth management income[21](index=21&type=chunk)[23](index=23&type=chunk) [Management Discussion and Analysis](index=7&type=section&id=Section%203%20Management%20Discussion%20and%20Analysis) This section provides an in-depth analysis of the company's industry, main business operations, core competencies, and financial performance during the reporting period [Industry and Main Business](index=7&type=section&id=I.%20Description%20of%20the%20Company's%20Industry%20and%20Main%20Business%20During%20the%20Reporting%20Period) The company operates in the chemical raw materials and chemical products manufacturing industry, having established a circular economy model centered on silicon series products and supplemented by potassium series products - The company's business core is a circular economy model, where silicon and potassium series product production systems mutually support each other, enabling closed-loop material circulation, effectively reducing production costs, and enhancing environmental benefits[24](index=24&type=chunk) - The company offers a diverse product line covering multiple high-growth sectors: - **Trichlorosilane**: Primarily used in photovoltaic polysilicon and silane coupling agents[25](index=25&type=chunk) - **High-purity Silicon Tetrachloride**: Used for optical fiber preforms, having achieved import substitution and exports to Europe[26](index=26&type=chunk) - **Electronic Specialty Gases**: Including electronic-grade dichlorosilane, these are crucial materials for the semiconductor industry and are gradually achieving scaled supply[27](index=27&type=chunk) - **Silane Coupling Agents**: Widely applied downstream, the company aims to be a leading domestic producer[29](index=29&type=chunk) - **Potassium Hydroxide**: A new project with an annual capacity of **120,000 tons** has commenced production, further completing the circular economy chain[30](index=30&type=chunk) [Discussion and Analysis of Operations](index=9&type=section&id=II.%20Discussion%20and%20Analysis%20of%20Operating%20Conditions) In the first half of 2025, facing a complex market environment, the company achieved operating revenue of **1.008 billion yuan**, a year-on-year increase of **11.18%**, with net profit attributable to shareholders decreasing by **5.60%** to **38.46 million yuan** - The company's new **120,000 tons/year** potassium hydroxide (100% basis) project officially entered production in May 2025, with rapid capacity ramp-up, leading to a **70%** year-on-year increase in potassium hydroxide product output to **64,300 tons** during the reporting period[33](index=33&type=chunk) - By leveraging its circular economy advantages, the company achieved efficient production of other products despite weakening downstream demand for trichlorosilane and similar products; silane coupling agent output increased by **20%** year-on-year, sales increased by **30%** year-on-year; potassium sulfate capacity utilization exceeded **90%**; and fumed silica products reached full production[34](index=34&type=chunk)[35](index=35&type=chunk) - The company actively practices green development, enhancing resource recovery rates and reducing raw material consumption through technological upgrades, with some silane coupling agent products obtaining ISO 14067 product carbon footprint certification[36](index=36&type=chunk) [Analysis of Core Competencies](index=10&type=section&id=III.%20Analysis%20of%20Core%20Competencies%20During%20the%20Reporting%20Period) The company's core competencies are primarily reflected in its unique circular economy model, advanced technology and processes, stringent quality control system, significant logistics and location advantages, stable raw material supply, and prominent scale and brand advantages - **Circular Economy Model**: A core competitive advantage, extending the industrial chain to enable efficient material utilization across production systems, achieving cost reduction, efficiency improvement, and environmental benefits[37](index=37&type=chunk) - **Technology and Quality Advantages**: Employs various advanced production processes with high automation levels; the company participates in revising multiple national standards and has obtained ISO9001, IATF16949, and other quality system certifications[38](index=38&type=chunk)[39](index=39&type=chunk) - **Logistics and Supply Advantages**: Possesses a subsidiary with hazardous chemical transportation qualifications, reducing transportation costs; located in Tangshan Nanpu Development Zone, close to three major ports, facilitating raw material imports and product exports[39](index=39&type=chunk)[40](index=40&type=chunk) [Analysis of Key Operating Conditions](index=12&type=section&id=IV.%20Key%20Operating%20Conditions%20During%20the%20Reporting%20Period) This chapter provides a detailed analysis of the company's operating performance in the first half of the year, covering financial data changes, asset-liability structure, and investment status [Analysis of Financial Statement Item Changes](index=12&type=section&id=1.%20Analysis%20Table%20of%20Changes%20in%20Financial%20Statement%20Items) During the reporting period, both the company's revenue and costs increased, but cost growth outpaced revenue growth, leading to pressure on gross margins Profit Statement and Cash Flow Statement Key Item Changes | Item | Current Period (yuan) | Prior Year Period (yuan) | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | **Operating Revenue** | 1,008,037,828.70 | 906,641,480.21 | 11.18 | - | | **Operating Cost** | 863,195,888.83 | 756,696,785.83 | 14.07 | - | | **Selling Expenses** | 27,052,220.14 | 15,536,298.27 | 74.12 | Primarily due to increased technical service fees in the current period | | **Financial Expenses** | -1,256,044.70 | 3,958,822.04 | -131.73 | Primarily due to repayment of borrowings at the end of the prior year, leading to reduced interest expenses in the current period | | **Net Cash Flow from Operating Activities** | 22,305,655.87 | 9,903,698.49 | 125.23 | Primarily due to increased cash received from sales of goods and provision of services | [Analysis of Assets and Liabilities](index=12&type=section&id=1.%20Assets%20and%20Liabilities%20Status) At the end of the reporting period, the company's total assets increased by **3.61%** compared to the end of the previous year, with a significant change in asset structure as construction in progress substantially decreased by **83.03%** due to the capitalization of the potassium hydroxide project Balance Sheet Key Item Changes | Item Name | Current Period End (yuan) | Prior Year End (yuan) | Change (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | | **Accounts Receivable** | 158,578,042.27 | 119,449,387.45 | 32.76 | Primarily due to increased sales of silane coupling agents and longer collection cycles for some | | **Prepayments** | 43,992,117.26 | 26,306,809.72 | 67.23 | Primarily due to increased prepayments for raw materials at period-end | | **Construction in Progress** | 66,780,199.70 | 393,415,853.07 | -83.03 | Primarily due to the capitalization of the new potassium hydroxide project in the current period | | **Taxes Payable** | 10,894,159.05 | 4,294,150.92 | 153.70 | Primarily due to increased VAT and corporate income tax payable at period-end | [Risk Analysis](index=17&type=section&id=(I)%20Potential%20Risks) The company faces key risks including intensified market competition, raw material price fluctuations, exchange rate volatility, production safety, and tightening environmental policies - The company faces key operational risks including: - **Market Competition Risk**: Main product markets are highly competitive, potentially leading to price and gross margin declines[51](index=51&type=chunk) - **Raw Material Price Fluctuation Risk**: Key raw materials constitute a high proportion of costs, and price fluctuations significantly impact gross margins[52](index=52&type=chunk) - **Exchange Rate Fluctuation Risk**: Export business is primarily settled in USD, exposing the company to exchange rate volatility[53](index=53&type=chunk) - **Production Safety Risk**: Inherent risk in the chemical industry, involving hazardous chemicals[53](index=53&type=chunk) - **Environmental Protection Risk**: Stricter environmental standards may increase the company's operating costs[53](index=53&type=chunk) ["Quality Improvement, Efficiency Enhancement, and High Returns" Action Plan Progress](index=18&type=section&id=(II)%20Other%20Disclosure%20Matters) The company actively responded to the "Quality Improvement, Efficiency Enhancement, and High Returns" initiative, making progress in focusing on its main business, investor returns, corporate governance, and investor relations management - The company prioritizes investor returns, completing the 2024 annual equity distribution on June 13, 2025, with a cash dividend of **6.48 million yuan**[54](index=54&type=chunk) - To protect investor interests and establish a long-term incentive mechanism, the company completed a share repurchase, accumulating **1.41 million shares**, representing **0.37%** of total share capital, with a total payment of **17.01 million yuan**[56](index=56&type=chunk) [Corporate Governance, Environment, and Society](index=20&type=section&id=Section%204%20Corporate%20Governance,%20Environment,%20and%20Society) This section details changes in the company's senior management and its environmental information disclosure practices [Changes in Directors, Supervisors, and Senior Management](index=20&type=section&id=I.%20Changes%20in%20the%20Company's%20Directors,%20Supervisors,%20and%20Senior%20Management) During the reporting period, the company experienced personnel changes in its senior management, with Mr. Wan Baofeng resigning from his positions and Mr. Dong Liqiang being appointed as the new General Manager - Mr. Wan Baofeng resigned from his positions as company director, general manager, and member of the Board's Strategic Development Committee due to personal reasons[59](index=59&type=chunk)[60](index=60&type=chunk) - The company appointed Mr. Dong Liqiang as General Manager and elected Mr. Dai Shuai as a worker director to the Fifth Board of Directors[59](index=59&type=chunk)[60](index=60&type=chunk) [Environmental Information Disclosure](index=21&type=section&id=IV.%20Environmental%20Information%20of%20Listed%20Companies%20and%20Their%20Main%20Subsidiaries%20Included%20in%20the%20List%20of%20Enterprises%20Required%20to%20Disclose%20Environmental%20Information%20by%20Law) The company and two of its main subsidiaries (Tangshan Sanfu Electronic Materials Co., Ltd. and Tangshan Sanfu New Materials Co., Ltd.) are included in the list of enterprises required to disclose environmental information by law, demonstrating the company's transparency and social responsibility in environmental protection - The company and two subsidiaries are included in the list of enterprises required to disclose environmental information by law, with relevant reports available on the Hebei Enterprise Environmental Information Disclosure System[62](index=62&type=chunk) [Significant Matters](index=22&type=section&id=Section%205%20Significant%20Matters) This section covers the fulfillment of commitments by related parties and the company's significant guarantee situations [Fulfillment of Commitments](index=22&type=section&id=(I)%20Commitments%20by%20the%20Company's%20Actual%20Controller,%20Shareholders,%20Related%20Parties,%20Acquirers,%20and%20Other%20Committed%20Parties%20During%20or%20Continuing%20into%20the%20Reporting%20Period) During the reporting period, the company's controlling shareholder, actual controller, directors, supervisors, and senior management strictly fulfilled their commitments made during the initial public offering regarding avoiding horizontal competition and regulating related-party transactions - The "Commitment Letter to Avoid Horizontal Competition" and "Commitment Letter Regarding Regulation of Related-Party Transactions" issued by the company's controlling shareholder, actual controller Mr. Sun Renjing, and other related parties are still in effect, with no violations during the reporting period[66](index=66&type=chunk)[69](index=69&type=chunk)[70](index=70&type=chunk) [Significant Guarantees](index=27&type=section&id=(II)%20Significant%20Guarantees%20Performed%20and%20Unfulfilled%20During%20the%20Reporting%20Period) During the reporting period, all of the company's external guarantees were provided to its controlled subsidiary, Sanfu New Materials, with a period-end guarantee balance of **110 million yuan** for the subsidiary, representing **4.47%** of the company's net assets, indicating controllable risk Company Guarantee Total | Item | Amount (ten thousand yuan) | | :--- | :--- | | Total guarantees provided to subsidiaries during the reporting period | 6,000 | | Total outstanding guarantees to subsidiaries at period-end (B) | 11,000 | | Total Guarantees (A+B) | 11,000 | | Ratio of total guarantees to company net assets (%) | 4.47 | [Share Changes and Shareholder Information](index=28&type=section&id=Section%206%20Share%20Changes%20and%20Shareholder%20Information) This section provides details on the company's shareholder structure and changes in shareholdings of directors, supervisors, and senior management [Shareholder Information](index=28&type=section&id=(II)%20Table%20of%20Shareholdings%20of%20Top%20Ten%20Shareholders%20and%20Top%20Ten%20Circulating%20Shareholders%20(or%20Non-Restricted%20Shareholders)%20as%20of%20the%20End%20of%20the%20Reporting%20Period) As of the end of the reporting period, the company had **24,770** shareholders, with the top two shareholders, Sun Renjing and Tangshan Yuanheng Technology Co., Ltd., acting in concert and holding a combined **66.55%** of shares, indicating a highly concentrated equity structure - As of the end of the reporting period, the total number of common shareholders was **24,770**[81](index=81&type=chunk) Top Two Shareholders' Shareholdings | Shareholder Name | Shares Held at Period-End (shares) | Percentage (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | Sun Renjing | 153,649,738 | 40.16 | Domestic Natural Person | | Tangshan Yuanheng Technology Co., Ltd. | 100,964,261 | 26.39 | Domestic Non-State-Owned Legal Person | | **Total** | **254,613,999** | **66.55** | **Concerted Parties** | [Changes in Shareholdings of Directors, Supervisors, and Senior Management](index=30&type=section&id=(I)%20Changes%20in%20Shareholdings%20of%20Current%20and%20Departed%20Directors,%20Supervisors,%20and%20Senior%20Management%20During%20the%20Reporting%20Period) During the reporting period, the company's Chairman, Mr. Sun Renjing, increased his shareholding by **134,542** shares through centralized bidding, demonstrating management's confidence in the company's future development - Company Chairman Sun Renjing increased his shareholding by **134,542 shares** through centralized bidding during the reporting period, bringing his total shares held at period-end to **153,649,738 shares**[87](index=87&type=chunk) [Bond-Related Information](index=31&type=section&id=Section%207%20Bond-Related%20Information) This section provides an overview of the company's corporate bond situation [Corporate Bond Information](index=31&type=section&id=I.%20Corporate%20Bonds%20(Including%20Enterprise%20Bonds)%20and%20Non-Financial%20Enterprise%20Debt%20Financing%20Instruments) During the reporting period, the company had no outstanding corporate bonds, enterprise bonds, or non-financial enterprise debt financing instruments - The company had no corporate bonds or non-financial enterprise debt financing instruments during this reporting period[89](index=89&type=chunk) [Financial Report](index=32&type=section&id=Section%208%20Financial%20Report) This section presents the company's financial statements, significant accounting policies, taxation details, and notes to the consolidated financial statement items [Financial Statements](index=32&type=section&id=II.%20Financial%20Statements) This chapter provides unaudited consolidated and parent company financial statements, including the balance sheet, income statement, cash flow statement, and statement of changes in owners' equity [Consolidated Balance Sheet](index=32&type=section&id=Consolidated%20Balance%20Sheet) As of the end of the reporting period, the company's total assets were **3.218 billion yuan**, an increase of **3.61%** from the end of the previous year, with net assets attributable to shareholders of **2.459 billion yuan**, up **1.32%** Balance Sheet Key Items | Item | June 30, 2025 (yuan) | December 31, 2024 (yuan) | Change (%) | | :--- | :--- | :--- | :--- | | **Total Assets** | 3,217,582,846.03 | 3,105,380,127.91 | 3.61% | | **Total Liabilities** | 756,929,583.45 | 676,596,069.16 | 11.87% | | **Total Equity Attributable to Parent Company Owners** | 2,458,611,229.39 | 2,426,616,338.97 | 1.32% | [Consolidated Income Statement](index=36&type=section&id=Consolidated%20Income%20Statement) In the first half of 2025, the company achieved total operating revenue of **1.008 billion yuan**, a year-on-year increase of **11.18%**, but profit before tax decreased by **6.79%** and net profit attributable to shareholders decreased by **5.60%** to **38.46 million yuan** Income Statement Core Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | Change (%) | | :--- | :--- | :--- | :--- | | **Total Operating Revenue** | 1,008,037,828.70 | 906,641,480.21 | 11.18% | | **Total Operating Costs** | 964,679,243.82 | 860,228,421.31 | 12.14% | | **Total Profit** | 44,855,439.68 | 48,124,566.94 | -6.79% | | **Net Profit Attributable to Parent Company Shareholders** | 38,458,409.75 | 40,741,068.73 | -5.60% | [Consolidated Cash Flow Statement](index=40&type=section&id=Consolidated%20Cash%20Flow%20Statement) During the reporting period, net cash flow from operating activities was **22.31 million yuan**, a significant year-on-year increase of **125.23%**, primarily due to increased cash received from sales Cash Flow Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | Change (%) | | :--- | :--- | :--- | :--- | | **Net Cash Flow from Operating Activities** | 22,305,655.87 | 9,903,698.49 | 125.23% | | **Net Cash Flow from Investing Activities** | 40,234,496.89 | 113,139,544.48 | -64.44% | | **Net Cash Flow from Financing Activities** | 7,426,988.63 | -91,394,616.86 | Not Applicable | | **Net Increase in Cash and Cash Equivalents** | 70,803,789.30 | 33,574,580.88 | 110.89% | [Significant Accounting Policies and Estimates](index=53&type=section&id=V.%20Significant%20Accounting%20Policies%20and%20Estimates) This chapter details the company's fundamental accounting principles, accounting period, and functional currency, along with specific accounting policies and estimates for financial instruments, inventories, fixed assets, intangible assets, revenue recognition, and government grants - Financial statements are prepared on a going concern basis, with the accounting year from January 1 to December 31 of the Gregorian calendar, and the functional currency is Renminbi[123](index=123&type=chunk)[127](index=127&type=chunk)[129](index=129&type=chunk) - Revenue recognition policy: The company recognizes revenue when customers obtain control of the related goods, specifically detailing recognition points for delivery, customer pickup, and export sales models[193](index=193&type=chunk)[194](index=194&type=chunk) - Financial instrument impairment: The company accrues loss provisions for financial assets like accounts receivable based on expected credit losses; for accounts receivable without significant financing components, the simplified approach is used, accruing expected credit losses over the entire lifetime[144](index=144&type=chunk)[145](index=145&type=chunk) [Taxation](index=74&type=section&id=VI.%20Taxation) The company's main taxes include Value-Added Tax and Corporate Income Tax; the parent company and two subsidiaries (Sanfu Electronic Materials, Sanfu New Materials) enjoy a **15%** preferential corporate income tax rate due to their high-tech enterprise certifications - The parent company and its subsidiaries, Tangshan Sanfu Electronic Materials Co., Ltd. and Tangshan Sanfu New Materials Co., Ltd., are high-tech enterprises, and their corporate income tax is levied at a reduced rate of **15%**[207](index=207&type=chunk) - Some subsidiaries qualify as small-scale profit-making enterprises or small-scale taxpayers, enjoying various tax reductions and exemptions for income tax, urban maintenance and construction tax, and education surcharges[208](index=208&type=chunk)[209](index=209&type=chunk) [Notes to Consolidated Financial Statement Items](index=76&type=section&id=VII.%20Notes%20to%20Consolidated%20Financial%20Statement%20Items) This chapter provides detailed notes and explanations for key items in the consolidated financial statements, with significant changes in construction in progress reflecting the progress of major projects - **Construction in Progress**: Period-end balance of **53.41 million yuan**, a significant decrease from **384 million yuan** at the beginning of the period, primarily due to the "New 120,000 tons/year Potassium Hydroxide Project" and "110KVA Two-Way Power Line and Substation Renovation" project being capitalized into fixed assets, totaling approximately **354 million yuan**[275](index=275&type=chunk)[277](index=277&type=chunk) - **Accounts Receivable**: Period-end book balance of **173 million yuan**, with a bad debt provision of **14.80 million yuan**; accounts within 1 year of aging constitute **95.76%**[224](index=224&type=chunk)[225](index=225&type=chunk) - **Assets with Restricted Ownership or Use Rights**: Period-end book value totaled **186 million yuan**, primarily including **25.95 million yuan** in margin deposits for bill acceptance and **160 million yuan** in notes receivable and accounts receivable financing pledged, endorsed, or discounted for bill pools[297](index=297&type=chunk)

[Important Notice](index=2&type=section&id=%E9%87%8D%E8%A6%81%E6%8F%90%E7%A4%BA) [Management Statement and Audit Status](index=2&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%82%E5%A3%B0%E6%98%8E%E4%B8%8E%E5%AE%A1%E8%AE%A1%E6%83%85%E5%86%B5) The company's board of directors, supervisory board, and senior management declare the truthfulness, accuracy, and completeness of the semi-annual report content, assuming legal responsibility, and confirm the financial report is unaudited - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report content[5](index=5&type=chunk) - This semi-annual report is unaudited[7](index=7&type=chunk) - Company head Zhao Yongzhi, chief accountant Zheng Gaochao, and head of accounting department Chen Wang declare the financial report is true, accurate, and complete[7](index=7&type=chunk) [Profit Distribution Plan](index=2&type=section&id=%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E9%A2%84%E6%A1%88) The board of directors approved the 2025 interim profit distribution plan, proposing a cash dividend of 0.47 Yuan (tax inclusive) per 10 shares, totaling 240.92 million Yuan, representing 40.27% of the net profit attributable to shareholders 2025 Interim Profit Distribution Plan | Indicator | Amount/Ratio | | :--- | :--- | | Cash dividend per 10 shares (tax inclusive) | 0.47 Yuan | | Total cash dividend (tax inclusive) | 240,916,470.54 Yuan | | Percentage of net profit attributable to shareholders | 40.27% | - This profit distribution plan will be implemented upon approval by the board of directors and does not require submission to the general meeting of shareholders[8](index=8&type=chunk) [Risk Statement and Disclaimer](index=2&type=section&id=%E9%A3%8E%E9%99%A9%E5%A3%B0%E6%98%8E%E4%B8%8E%E6%8F%90%E7%A4%BA) The company advises investors that forward-looking statements in this report do not constitute substantive commitments and encourages reviewing the risk section in "Management Discussion and Analysis" - Forward-looking statements regarding future plans in this report do not constitute substantive commitments by the company to investors, so investors and relevant parties are advised to be aware of investment risks[9](index=9&type=chunk) - The company has described potential risks in the report, please refer to the "Risks" section in "Management Discussion and Analysis"[10](index=10&type=chunk) [Fund Occupation and External Guarantees](index=2&type=section&id=%E8%B5%84%E9%87%91%E5%8D%A0%E7%94%A8%E4%B8%8E%E5%AF%B9%E5%A4%96%E6%8B%85%E4%BF%9D) During the reporting period, the company had no non-operating fund occupation by controlling shareholders or other related parties, nor any external guarantees in violation of decision-making procedures - No non-operating fund occupation by controlling shareholders or other related parties[10](index=10&type=chunk) - No external guarantees provided in violation of decision-making procedures[10](index=10&type=chunk) [Section I Definitions](index=4&type=section&id=%E7%AC%AC%E4%B8%80%E8%8A%82%20%E9%87%8A%E4%B9%89) This section provides definitions and abbreviations for common terms used in the report to ensure consistent understanding of its content [Section II Company Profile and Key Financial Indicators](index=5&type=section&id=%E7%AC%AC%E4%BA%8C%E8%8A%82%20%E5%85%AC%E5%8F%B8%E7%AE%80%E4%BB%8B%E5%92%8C%E4%B8%BB%E8%A6%81%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) [Company Basic Information](index=5&type=section&id=%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E4%BF%A1%E6%81%AF) This section introduces the company's basic information, including its Chinese name, abbreviation, foreign name, legal representative, contact details, registered and office addresses, website, and information disclosure channels - The company's Chinese name is China Xidian Electric Co., Ltd., abbreviated as China Xidian[17](index=17&type=chunk) - The legal representative is Zhao Yongzhi, and the board secretary is Zheng Gaochao[17](index=17&type=chunk)[18](index=18&type=chunk) - The company's shares are listed on the Shanghai Stock Exchange, stock code 601179[21](index=21&type=chunk) [Key Accounting Data and Financial Indicators](index=6&type=section&id=%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) During the reporting period, the company achieved significant growth in operating revenue and net profit, but net cash flow from operating activities decreased substantially year-on-year, with net profit attributable to shareholders increasing by 30.08% due to scale expansion and improved gross profit margin Key Accounting Data (January-June 2025 vs. Prior Year Period) | Indicator | Current Period (Jan-Jun) | Prior Year Period (Adjusted) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 11,301,291,103.09 Yuan | 10,346,268,886.80 Yuan | 9.23 | | Total Profit | 811,085,482.38 Yuan | 698,150,238.78 Yuan | 16.18 | | Net Profit Attributable to Shareholders | 598,187,171.85 Yuan | 459,878,414.77 Yuan | 30.08 | | Net Cash Flow from Operating Activities | -29,303,071.09 Yuan | 708,591,149.42 Yuan | -104.14 | Key Financial Indicators (January-June 2025 vs. Prior Year Period) | Indicator | Current Period (Jan-Jun) | Prior Year Period (Adjusted) | Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (Yuan/share) | 0.12 | 0.09 | 33.33 | | Diluted Earnings Per Share (Yuan/share) | 0.12 | 0.09 | 33.33 | | Weighted Average Return on Net Assets (%) | 2.68 | 2.11 | Increased by 0.58 percentage points | - Net profit attributable to shareholders increased by **30.08%** year-on-year, primarily due to scale expansion and improved gross profit margin of main business[26](index=26&type=chunk) - Net cash flow from operating activities decreased by **104.14%** year-on-year, mainly due to increased payments for goods purchased by the company[26](index=26&type=chunk) [Non-Recurring Gains and Losses](index=7&type=section&id=%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E9%A1%B9%E7%9B%AE%E5%92%8C%E9%87%91%E9%A2%9D) During the reporting period, the company's total non-recurring gains and losses amounted to -11.25 million Yuan, with government subsidies of 38.35 million Yuan and fair value change losses of -51.75 million Yuan, while certain investment income was classified as recurring Non-Recurring Gains and Losses (Unit: Yuan) | Non-Recurring Gain/Loss Item | Amount | | :--- | :--- | | Disposal gains and losses of non-current assets | 2,684,654.83 | | Government subsidies included in current profit and loss | 38,349,132.81 | | Fair value change gains and losses and disposal gains and losses of financial assets | -51,747,999.50 | | Other non-operating income and expenses apart from the above | -2,823,172.30 | | Income tax impact | -7,206,840.70 | | Impact on minority interests (after tax) | 5,801,110.77 | | **Total** | **-11,246,038.34** | - The company classified **14.83 million Yuan** of investment income as recurring gains and losses, as it originated from cash management of idle raised funds, aiming to reflect the company's normal operating performance and profitability[31](index=31&type=chunk) [Section III Management Discussion and Analysis](index=9&type=section&id=%E7%AC%AC%E4%B8%89%E8%8A%82%20%E7%AE%A1%E7%90%86%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) [Industry Development and Main Business](index=9&type=section&id=%E8%A1%8C%E4%B8%9A%E5%8F%91%E5%B1%95%E4%B8%8E%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1) The power transmission and distribution equipment manufacturing industry is experiencing high-quality development driven by green transformation, policy support, technological innovation, and overseas market expansion, with the company's main business covering a full range of equipment and services - The power transmission and distribution equipment manufacturing industry benefits from policy dividends (large-scale equipment upgrades, high-quality development of distribution networks), technological innovation (UHV transmission, smart grids, grid-forming technology, AI applications), and overseas market expansion (grid upgrades, new energy base construction)[34](index=34&type=chunk)[35](index=35&type=chunk) - The company's main business includes R&D, design, manufacturing, sales, testing, complete sets of equipment, technical services, and engineering contracting for power transmission and distribution and control equipment[35](index=35&type=chunk) - The company's leading products include full voltage level high-voltage switches, transformers, reactors, converter valves, power capacitors, instrument transformers, bushings, insulators, and arresters[35](index=35&type=chunk) [Discussion and Analysis of Operations](index=9&type=section&id=%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5%E7%9A%84%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) During the reporting period, the company's overall operations showed steady improvement, with total operating revenue increasing by 8.91%, total profit by 16.18%, and net profit attributable to shareholders by 30.08%, driven by advancements in party building, core functions, technological innovation, and market expansion Operating Performance H1 2025 | Indicator | Amount (Billion Yuan) | Year-on-Year Growth (%) | | :--- | :--- | :--- | | Total Operating Revenue | 11.33 | 8.91 | | Total Profit | 0.81 | 16.18 | | Net Profit Attributable to Shareholders | 0.60 | 30.08 | - The company achieved significant results in quality improvement, with **100%** first-time test pass rate and on-site operation pass rate for UHV products[38](index=38&type=chunk) - Technological innovation stimulated new momentum, successfully developing the world's first complete set of switchgear for ultra-high altitude pumped storage and ±400kV/±200kV converter valve side bushings, overcoming multiple "bottleneck" challenges[40](index=40&type=chunk) - Market expansion showed new achievements, consolidating and expanding bids for State Grid, achieving a breakthrough with 110kV vacuum environmental-friendly combined electrical products for China Southern Power Grid, and accelerating single-unit equipment export business in the international market[41](index=41&type=chunk) [Core Competitiveness Analysis](index=10&type=section&id=%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B%E5%88%86%E6%9E%90) The company possesses strong R&D and technical capabilities in power transmission and distribution, leading globally in UHV technology, with advanced testing capabilities, significant industry influence, stable customer resources, full industry chain coverage, excellent financing channels, and a strong state-owned enterprise brand advantage - The company has a strong technological foundation in UHV power transmission and distribution equipment manufacturing, with internationally advanced technical performance indicators, world-class experimental testing capabilities, and significant industry influence[43](index=43&type=chunk) - Through long-term market expansion, the company has accumulated rich domestic and international high-quality customer resources, ensuring stable supply and demand, and possessing a good reputation and brand influence in the global market[44](index=44&type=chunk) - The company has strong equipment R&D and manufacturing capabilities, achieving full industry chain coverage for power transmission and distribution equipment, owning 6 national-level "little giant" enterprises and 13 provincial-level "specialized, refined, unique, and new" enterprises[45](index=45&type=chunk) - The company holds an **AAA** corporate credit rating and ample credit lines, with a debt-to-asset ratio below the industry average, indicating excellent financing channels[44](index=44&type=chunk) - As a state-owned central enterprise, the company is the most historically rich, capable of complete sets, with the most complete R&D and manufacturing system, and the highest degree of internationalization among China Electrical Equipment Group's listed companies, possessing strong brand advantages and supply chain integration capabilities[44](index=44&type=chunk) [Main Operating Conditions During the Reporting Period](index=11&type=section&id=%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E4%B8%BB%E8%A6%81%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5) During the reporting period, the company's operating revenue increased by 9.23% due to market expansion and increased product sales, while operating costs rose proportionally; sales expenses decreased, but management and R&D expenses increased, and net cash flow from operating activities significantly declined due to increased procurement [Main Business Analysis](index=11&type=section&id=%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) During the reporting period, the company's operating revenue increased by 9.23% due to intensified market expansion and increased product sales, with operating costs rising proportionally, sales expenses decreasing by 9.06%, and management and R&D expenses increasing, while net cash flow from operating activities decreased by 104.14% due to increased procurement Financial Statement Related Item Fluctuation Analysis (Unit: Yuan) | Item | Current Period Amount | Prior Year Period Amount | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 11,301,291,103.09 | 10,346,268,886.80 | 9.23 | | Operating Cost | 8,859,113,629.08 | 8,357,830,817.95 | 6.00 | | Selling Expenses | 325,183,911.79 | 357,585,924.50 | -9.06 | | Administrative Expenses | 712,366,544.66 | 653,700,388.62 | 8.97 | | R&D Expenses | 431,522,035.91 | 370,129,089.81 | 16.59 | | Net Cash Flow from Operating Activities | -29,303,071.09 | 708,591,149.42 | -104.14 | - The change in operating revenue was mainly due to intensified market expansion and increased product sales volume[47](index=47&type=chunk) - Net cash flow from operating activities decreased by **104.14%** year-on-year, primarily due to increased procurement volume and higher cash payments to suppliers for goods and services[48](index=48&type=chunk) [Analysis of Assets and Liabilities](index=12&type=section&id=%E8%B5%84%E4%BA%A7%E3%80%81%E8%B4%9F%E5%80%BA%E6%83%85%E5%86%B5%E5%88%86%E6%9E%90) As of the end of the reporting period, the company's total assets increased by 3.27%, and net assets attributable to shareholders increased by 2.35%, with increases in receivables, inventories, and construction in progress, alongside higher short-term and long-term borrowings and contract liabilities Asset and Liability Status Changes (Unit: Ten Thousand Yuan) | Project Name | Current Period End Amount | Current Period End % of Total Assets | Prior Year End Amount | Prior Year End % of Total Assets | Current Period End vs. Prior Year End Change % | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 1,035,501.68 | 21.74 | 1,042,296.93 | 22.59 | -0.65 | | Receivables | 1,163,332.02 | 24.42 | 1,022,083.65 | 22.16 | 13.82 | | Inventories | 499,818.27 | 10.49 | 472,007.78 | 10.23 | 5.89 | | Construction in Progress | 180,667.45 | 3.79 | 162,803.09 | 3.53 | 10.97 | | Short-term Borrowings | 91,405.57 | 1.92 | 86,492.97 | 1.87 | 5.68 | | Contract Liabilities | 531,933.78 | 11.17 | 472,401.55 | 10.24 | 12.60 | | Long-term Borrowings | 39,152.36 | 0.82 | 32,987.42 | 0.72 | 18.69 | - Receivables increased by **13.82%**, mainly due to increased revenue scale[50](index=50&type=chunk) - Construction in progress increased by **10.97%**, mainly due to increased investment in the high-tech smart industrial park construction[50](index=50&type=chunk) [Analysis of Investment Status](index=13&type=section&id=%E6%8A%95%E8%B5%84%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) During the reporting period, the company completed 505.90 million Yuan in significant non-equity investments, primarily for fixed asset projects like the Xi'an Smart Industrial Park and digital factories, and engaged in derivative investments for hedging exchange rate fluctuations - During the reporting period, the company completed significant non-equity investments totaling **505.90 million Yuan**, mainly for 5 key fixed asset investments including the Xi'an Smart Industrial Park project and Xidian Xirong Digital Factory project[53](index=53&type=chunk) Financial Assets Measured at Fair Value (Unit: Ten Thousand Yuan) | Asset Category | Beginning Balance | Fair Value Change Gains/Losses for Current Period | Amount Purchased for Current Period | Amount Sold/Redeemed for Current Period | Ending Balance | | :--- | :--- | :--- | :--- | :--- | :--- | | Trust Products | 25,948.75 | -5,696.33 | - | - | 20,252.42 | | Derivative Instruments | 77.40 | -77.40 | - | - | - | | Others | 94,087.75 | 346.74 | 374,751.14 | 418,700.49 | 50,485.14 | | **Total** | **120,113.90** | **-5,426.99** | **374,751.14** | **418,700.49** | **70,737.56** | - The company conducts derivative investments for hedging purposes to offset exchange rate fluctuation risks, with the total impact of value changes in hedging instruments and hedged items on current profit and loss being zero[55](index=55&type=chunk) [Analysis of Major Holding and Participating Companies](index=16&type=section&id=%E4%B8%BB%E8%A6%81%E6%8E%A7%E8%82%A1%E5%8F%82%E8%82%A1%E5%85%AC%E5%8F%B8%E5%88%86%E6%9E%90) Most of the company's major holding subsidiaries achieved profitability during the reporting period, with Xi'an Xidian Switchgear Electric Co., Ltd. reporting the highest net profit of 258.46 million Yuan, while Xi'an Xidian International Engineering Co., Ltd. incurred a loss Major Subsidiary Financial Data (Unit: Ten Thousand Yuan) | Company Name | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | | Xi'an Xidian Transformer Co., Ltd. | 187,446.20 | 4,731.25 | 5,789.09 | | Xidian Jinan Transformer Co., Ltd. | 118,720.27 | 10,980.82 | 10,579.96 | | Changzhou Xidian Transformer Co., Ltd. | 166,335.77 | 9,320.23 | 8,992.39 | | Xi'an Xidian Switchgear Electric Co., Ltd. | 240,981.58 | 29,322.41 | 25,845.70 | | Xi'an Xidian High Voltage Switch Co., Ltd. | 119,269.08 | 9,881.27 | 9,267.37 | | Xi'an High Voltage Apparatus Research Institute Co., Ltd. | 41,962.31 | 16,781.75 | 14,753.74 | | Xi'an Xidian International Engineering Co., Ltd. | 89,333.63 | -4,385.33 | -3,003.66 | | Xi'an Xidian Power System Co., Ltd. | 39,311.20 | 6,272.16 | 5,448.79 | - On June 27, 2025, the company's second meeting of the fifth board of directors approved the "Proposal on the Dissolution and Liquidation of Xidian General Electric Automation Co., Ltd.", agreeing to its dissolution and liquidation[58](index=58&type=chunk) [Other Disclosures](index=18&type=section&id=%E5%85%B6%E4%BB%96%E6%8A%AB%E9%9C%B2%E4%BA%8B%E9%A1%B9) The company faces multiple risks including macroeconomic, technological iteration, market competition, and overseas operations, and has formulated an action plan to enhance investment value through value creation, innovation, profit sharing, and improved communication [Potential Risks](index=18&type=section&id=%E5%8F%AF%E8%83%BD%E9%9D%A2%E5%AF%B9%E7%9A%84%E9%A3%8E%E9%99%A9) The company faces various risks from macroeconomic policies, technological iteration, intensified market competition, and overseas operations (geopolitical, cultural, legal differences, exchange rate fluctuations), which could significantly impact its development - Macroeconomic risks: The global economic environment is complex and severe, and factors such as energy development strategies, industry resource integration, and market supply-demand changes may significantly impact the company's development[59](index=59&type=chunk) - Technological iteration risks: The construction of new power systems increases demands on power transmission and distribution equipment, and the speed of technological iteration may lag behind expected development[59](index=59&type=chunk) - Market competition risks: Numerous domestic and international enterprises are entering the power transmission and distribution market, leading to compressed profit margins and increasingly fierce competition[59](index=59&type=chunk) - Overseas operational risks: Affected by complex geopolitical changes, the company faces overseas operational risks arising from international situations, political situations, cultural differences, legal differences, as well as business management, tax policies, and exchange rate fluctuations[60](index=60&type=chunk) [Quality Improvement and High Returns Action Plan](index=18&type=section&id=%E6%8F%90%E8%B4%A8%E5%A2%9E%E6%95%88%E9%87%8D%E5%9B%9E%E6%8A%A5%E8%A1%8C%E5%8A%A8%E6%96%B9%E6%A1%88) The company's "Quality Improvement and High Returns" action plan focuses on value creation, innovation, profit sharing, investor communication, and standardized operations to drive high-quality development and enhance investment value - The company adheres to value creation, achieving **11.33 billion Yuan** in total operating revenue in H1 2025, a year-on-year increase of **8.91%**; net profit attributable to shareholders was **598 million Yuan**, a year-on-year increase of **30.08%**[61](index=61&type=chunk) - The company insists on innovation-driven development, establishing the Smart Electrical Research Institute and Major Electrical Equipment Research Institute, successfully developing the world's first complete set of switchgear for ultra-high altitude pumped storage and overcoming a number of "bottleneck" challenges[62](index=62&type=chunk) - The company practices profit sharing, with total cash dividends of **425 million Yuan** (tax inclusive) distributed in H1, Q3, and annual profit distributions of 2024, accounting for **40.36%** of the annual net profit attributable to company shareholders[63](index=63&type=chunk) - The company strengthens investor communication, holding 2 regular performance briefings with a **100%** Q&A response rate, and actively participating in over 20 online and offline exchange meetings[64](index=64&type=chunk) - The company adheres to standardized operations, disclosing 61 types of information in H1 2025, publishing ESG reports for three consecutive years, and being awarded the "Top 50 Central Enterprises" in the 2024 ESG Golden Bull Awards[65](index=65&type=chunk) [Section IV Corporate Governance, Environment and Society](index=20&type=section&id=%E7%AC%AC%E5%9B%9B%E8%8A%82%20%E5%85%AC%E5%8F%B8%E6%B2%BB%E7%90%86%E3%80%81%E7%8E%AF%E5%A2%83%E5%92%8C%E7%A4%BE%E4%BC%9A) [Changes in Directors, Supervisors, and Senior Management](index=20&type=section&id=%E8%91%A3%E7%9B%91%E9%AB%98%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) During the reporting period, the company completed the re-election of its board of directors and supervisory board, with several members departing and new members elected or appointed, including a new chairman of the supervisory board and an employee representative supervisor Changes in Directors, Supervisors, and Senior Management | Name | Position Held | Change Status | | :--- | :--- | :--- | | Sun Peng | Director | Resigned | | Li Yajun | Director | Resigned | | Liu Wuzhou | Supervisor, Chairman of Supervisory Board | Resigned | | Guo Jianghong | Employee Representative Supervisor | Resigned | | Xie Qingfeng | Deputy General Manager | Resigned | | Ma Ding | Deputy General Manager | Resigned | | Ma Ding | Director | Elected | | Shen Zhixiang | Director | Elected | | Sun Chaoliang | Supervisor, Chairman of Supervisory Board | Elected | | Wang Lijuan | Employee Representative Supervisor | Elected | - During the reporting period, the company completed the re-election of its board of directors and supervisory board[67](index=67&type=chunk) [Profit Distribution or Capital Reserve Conversion Plan](index=20&type=section&id=%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E6%88%96%E8%B5%84%E6%9C%AC%E5%85%AC%E7%A7%AF%E9%87%91%E8%BD%AC%E5%A2%9E%E9%A2%84%E6%A1%88) The company proposes a cash dividend of 0.47 Yuan (tax inclusive) per 10 shares based on the total share capital on the equity distribution record date, totaling 240.92 million Yuan, representing 40.27% of the 2025 semi-annual consolidated net profit attributable to shareholders, with no shareholder approval required Semi-Annual Profit Distribution Plan | Indicator | Amount/Ratio | | :--- | :--- | | Is distribution or conversion applicable | Yes | | Dividend per 10 shares (Yuan) (tax inclusive) | 0.47 | | Total cash dividend (tax inclusive) | 240,916,470.54 Yuan | | Percentage of 2025 semi-annual consolidated net profit attributable to shareholders | 40.27% | - This profit distribution plan will be implemented upon approval by the board of directors and does not require submission to the general meeting of shareholders[69](index=69&type=chunk) [Environmental Information Disclosure in Accordance with Law](index=21&type=section&id=%E7%8E%AF%E5%A2%83%E4%BF%A1%E6%81%AF%E4%BE%9D%E6%B3%95%E6%8A%AB%E9%9C%B2) Four of the company's subsidiaries are included in the list of enterprises required to disclose environmental information in accordance with the law, and their reports are available through relevant systems - Four of the company's subsidiaries are included in the list of enterprises required to disclose environmental information in accordance with the law[70](index=70&type=chunk) - The subsidiaries included are Xi'an Xidian Switchgear Electric Co., Ltd., Xi'an Xidian Transformer Co., Ltd., Xi'an Xikai Surface Finishing Co., Ltd., and Liaoning Xidian Xingqi Electrical Material Co., Ltd[70](index=70&type=chunk) [Specifics of Consolidating Poverty Alleviation Achievements and Rural Revitalization](index=21&type=section&id=%E5%B7%A9%E5%9B%BA%E6%8B%93%E5%B1%95%E8%84%B1%E8%B4%AB%E6%94%BB%E5%9D%9A%E6%88%90%E6%9E%9C%E3%80%81%E4%B9%A1%E6%9D%91%E6%8C%AF%E5%85%B4%E7%AD%89%E5%B7%A5%E4%BD%9C%E5%85%B7%E4%BD%93%E6%83%85%E5%86%B5) The company actively promotes rural revitalization through stable team衔接, talent development, party-youth league co-building, and consumption assistance, achieving 1.8 million Yuan in consumption assistance during the reporting period - The company steadily connects assistance teams and continues to promote the construction of rural "photovoltaic + clean energy heating" projects[71](index=71&type=chunk) - The company orderly promotes talent revitalization, holding college application guidance sessions at Linyou Middle School and planning "Stepping Out of the Mountains to See the World" study tours[71](index=71&type=chunk) - During the reporting period, the company actively participated in the "Spring Action" for central enterprise consumption assistance, achieving **1.8 million Yuan** in consumption assistance[71](index=71&type=chunk) [Section V Important Matters](index=22&type=section&id=%E7%AC%AC%E4%BA%94%E8%8A%82%20%E9%87%8D%E8%A6%81%E4%BA%8B%E9%A1%B9) [Fulfillment of Commitments](index=22&type=section&id=%E6%89%BF%E8%AF%BA%E4%BA%8B%E9%A1%B9%E5%B1%A5%E8%A1%8C%E6%83%85%E5%86%B5) Both the company's controlling shareholder, China Electrical Equipment Group Co., Ltd., and the company itself strictly fulfilled all commitments during the reporting period, including those related to resolving horizontal competition, reducing and standardizing related-party transactions, maintaining independence, share lock-up, stabilizing stock prices, share repurchases, and compensating for diluted immediate returns - China Electrical Equipment Group Co., Ltd. committed to continuously and effectively resolving horizontal competition, reducing and standardizing related-party transactions, and maintaining the company's independence during its control period[73](index=73&type=chunk)[74](index=74&type=chunk)[75](index=75&type=chunk)[76](index=76&type=chunk)[77](index=77&type=chunk)[78](index=78&type=chunk)[79](index=79&type=chunk) - China Xidian committed not to transfer its shares within 36 months from the listing date of Xigao Research shares, and to reduce shares at a price no lower than the issue price within two years after the lock-up period expires[80](index=80&type=chunk)[85](index=85&type=chunk) - China Xidian committed to avoiding horizontal competition and minimizing related-party transactions with Xigao Research during its period as Xigao Research's controlling shareholder[81](index=81&type=chunk)[82](index=82&type=chunk)[83](index=83&type=chunk) - China Xidian committed to strictly adhering to the stock price stabilization plan for the three years after Xigao Research's listing, and made commitments regarding share repurchase for fraudulent issuance, compensation for diluted immediate returns, profit distribution policy, and legal liability for compensation[87](index=87&type=chunk)[88](index=88&type=chunk)[89](index=89&type=chunk)[90](index=90&type=chunk)[91](index=91&type=chunk)[92](index=92&type=chunk)[93](index=93&type=chunk)[94](index=94&type=chunk)[95](index=95&type=chunk)[96](index=96&type=chunk) [Significant Related-Party Transactions](index=29&type=section&id=%E9%87%8D%E5%A4%A7%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) During the reporting period, the company engaged in daily operating related-party transactions involving the purchase and sale of goods, provision of labor, and financial business with related parties, including significant procurement from China Electrical Equipment Group and its affiliates, and substantial deposit and loan activities with Xidian Group Finance Co., Ltd. [Related-Party Transactions in Daily Operations](index=29&type=section&id=%E4%B8%8E%E6%97%A5%E5%B8%B8%E7%BB%8F%E8%90%A5%E7%9B%B8%E5%85%B3%E7%9A%84%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company engaged in related-party transactions with China Electrical Equipment Group and its affiliated entities, joint ventures, and associates for the purchase and sale of goods and provision of labor, with sales totaling 442.07 million Yuan and procurement totaling 2.26 billion Yuan, all at market prices Related-Party Transactions in Daily Operations (Unit: Ten Thousand Yuan) | Related-Party Transaction Type | Related Party | Related-Party Transaction Amount | Percentage of Similar Transactions (%) | | :--- | :--- | :--- | :--- | | Sales of goods, provision of labor, interest income | China Electrical Equipment and its affiliated entities, joint ventures, associates | 44,207.22 | 3.91 | | Procurement of goods, acceptance of labor, interest expense | China Electrical Equipment and its affiliated entities, joint ventures, associates | 225,622.60 | 25.47 | | Procurement of goods, acceptance of labor | GE Group and its affiliated GE enterprises | 1,318.96 | 0.15 | | **Total** | **/** | **271,148.78** | **/** | - The pricing principle for related-party transactions is determined by market prices, with no instances of product prices sold to related parties being higher or lower than the company's normal selling prices[100](index=100&type=chunk) [Financial Business Between the Company and Related Financial Companies, and Between the Company's Holding Financial Company and Related Parties](index=32&type=section&id=%E5%85%AC%E5%8F%B8%E4%B8%8E%E5%AD%98%E5%9C%A8%E5%85%B3%E8%81%94%E5%85%B3%E7%B3%BB%E7%9A%84%E8%B4%A2%E5%8A%A1%E5%85%AC%E5%8F%B8%E3%80%81%E5%85%AC%E5%8F%B8%E6%8E%A7%E8%82%A1%E8%B4%A2%E5%8A%A1%E5%85%AC%E5%8F%B8%E4%B8%8E%E5%85%B3%E8%81%94%E6%96%B9%E4%B9%8B%E9%97%B4%E7%9A%84%E9%87%91%E8%9E%8D%E4%B8%9A%E5%8A%A1) The company has significant financial dealings with Xidian Group Finance Co., Ltd., a subsidiary of its controlling shareholder, including substantial deposits and loans, as well as various credit services like guarantees, factoring, electronic banking, and entrusted loans Deposit Business with Xidian Group Finance Co., Ltd. (Unit: Ten Thousand Yuan) | Related Party | Beginning Balance | Total Deposits for Current Period | Total Withdrawals for Current Period | Ending Balance | | :--- | :--- | :--- | :--- | :--- | | Xidian Group Finance Co., Ltd. | 954,032.05 | 2,899,266.42 | 2,934,926.62 | 918,371.85 | Loan Business with Xidian Group Finance Co., Ltd. (Unit: Ten Thousand Yuan) | Related Party | Beginning Balance | Total Loans for Current Period | Total Repayments for Current Period | Ending Balance | | :--- | :--- | :--- | :--- | :--- | | Xidian Group Finance Co., Ltd. | 96,262.50 | 33,921.79 | 27,684.66 | 102,499.63 | Credit Business with Xidian Group Finance Co., Ltd. (Unit: Ten Thousand Yuan) | Business Type | Total Amount | Actual Amount Incurred | | :--- | :--- | :--- | | Guarantees | 588,100.00 | 14,820.08 | | Factoring | 63,300.00 | - | | Electronic Banking | 207,810.00 | 76,451.41 | | Entrusted Loans | 900,000.00 | 11,000.00 | [Explanation of Other Important Matters](index=33&type=section&id=%E5%85%B6%E4%BB%96%E9%87%8D%E8%A6%81%E4%BA%8B%E9%A1%B9%E7%9A%84%E8%AF%B4%E6%98%8E) The company engaged in bill discounting business with Xidian Group Finance Co., Ltd., with an ending balance of 217.79 million Yuan, an increase of 269.91 million Yuan and a decrease of 62.88 million Yuan during the period Bill Discounting Business (Unit: Ten Thousand Yuan) | Related Party | Beginning Balance | Current Period Increase | Current Period Decrease | Ending Balance | | :--- | :--- | :--- | :--- | :--- | | Xidian Group Finance Co., Ltd. | 1,076.39 | 26,990.53 | 6,288.39 | 21,778.53 | [Section VI Changes in Shares and Shareholder Information](index=34&type=section&id=%E7%AC%AC%E5%85%AD%E8%8A%82%20%E8%82%A1%E4%BB%BD%E5%8F%98%E5%8A%A8%E5%8F%8A%E8%82%A1%E4%B8%9C%E6%83%85%E5%86%B5) [Changes in Share Capital](index=34&type=section&id=%E8%82%A1%E6%9C%AC%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) During the reporting period, the company's total share capital and share structure remained unchanged, with an ending total share capital of 5,125,882,352 shares - During the reporting period, the company's total share capital and share structure remained unchanged[113](index=113&type=chunk) Share Capital Status | Project | Ending Balance | | :--- | :--- | | Total Shares | 5,125,882,352.00 shares | [Shareholder Information](index=34&type=section&id=%E8%82%A1%E4%B8%9C%E6%83%85%E5%86%B5) As of the end of the reporting period, the company had 166,426 common shareholders; among the top ten shareholders, China Electrical Equipment Group Co., Ltd. held 51.87% as the controlling shareholder, and GE SMALLWORLD (SINGAPORE) PTE LTD held 10.00% - As of the end of the reporting period, the total number of common shareholders was **166,426** households[114](index=114&type=chunk) Top Ten Shareholders' Shareholding | Shareholder Name | Ending Shareholding (shares) | Percentage (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | China Electrical Equipment Group Co., Ltd. | 2,658,914,685 | 51.87 | State-owned Legal Person | | GE SMALLWORLD (SINGAPORE) PTE LTD | 512,588,238 | 10.00 | Overseas Legal Person | | HONG KONG SECURITIES CLEARING COMPANY LIMITED | 113,400,232 | 2.21 | Unknown | - The company is unaware of any associated relationships or concerted action among the aforementioned shareholders[117](index=117&type=chunk) [Information on Directors, Supervisors, and Senior Management](index=36&type=section&id=%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E5%92%8C%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E6%83%85%E5%86%B5) During the reporting period, there were no changes in the shareholdings of the company's directors, supervisors, and senior management, nor were they granted any equity incentives - Changes in shareholdings of current and resigned directors, supervisors, and senior management during the reporting period: Not applicable[118](index=118&type=chunk) - Equity incentives granted to directors, supervisors, and senior management during the reporting period: Not applicable[118](index=118&type=chunk) [Changes in Controlling Shareholder or Actual Controller](index=36&type=section&id=%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E6%88%96%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E5%8F%98%E6%9B%B4%E6%83%85%E5%86%B5) During the reporting period, there were no changes in the company's controlling shareholder or actual controller - During the reporting period, there were no changes in the company's controlling shareholder or actual controller[118](index=118&type=chunk) [Section VII Bond-Related Information](index=37&type=section&id=%E7%AC%AC%E4%B8%83%E8%8A%82%20%E5%80%BA%E5%88%B8%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) During the reporting period, the company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments, nor any convertible corporate bonds - Corporate bonds (including enterprise bonds) and non-financial enterprise debt financing instruments: Not applicable[120](index=120&type=chunk) - Convertible corporate bonds: Not applicable[120](index=120&type=chunk) [Section VIII Financial Report](index=38&type=section&id=%E7%AC%AC%E5%85%AB%E8%8A%82%20%E8%B4%A2%E5%8A%A1%E6%8A%A5%E5%91%8A) [Audit Report](index=38&type=section&id=%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A) This semi-annual report is unaudited - This semi-annual report is unaudited[122](index=122&type=chunk) [Financial Statements](index=38&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section provides the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity as of June 30, 2025, comprehensively reflecting the company's financial position at the end of the reporting period and operating results for the first half of the year [Consolidated Balance Sheet](index=38&type=section&id=%E5%90%88%E5%B9%B6%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8) As of June 30, 2025, the company's consolidated total assets were 47.64 billion Yuan, a 3.27% increase from the end of 2024, with total liabilities of 22.14 billion Yuan and total owners' equity of 25.50 billion Yuan Consolidated Balance Sheet Key Data (Unit: Yuan) | Project | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Assets | 47,641,559,137.10 | 46,132,601,108.92 | | Total Liabilities | 22,137,409,779.75 | 21,304,345,892.38 | | Total Owners' Equity Attributable to Parent Company | 22,543,156,488.82 | 22,024,621,140.11 | | Minority Interests | 2,960,992,868.53 | 2,803,634,076.43 | [Parent Company Balance Sheet](index=41&type=section&id=%E6%AF%8D%E5%85%AC%E5%8F%B8%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8) As of June 30, 2025, the parent company's total assets were 20.64 billion Yuan, a 1.72% increase from the end of 2024, with total liabilities of 392.84 million Yuan and total owners' equity of 20.25 billion Yuan Parent Company Balance Sheet Key Data (Unit: Yuan) | Project | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Assets | 20,642,893,722.70 | 20,293,405,107.85 | | Total Liabilities | 392,836,274.25 | 406,564,885.00 | | Total Owners' Equity | 20,250,057,448.45 | 19,886,840,222.85 | [Consolidated Income Statement](index=44&type=section&id=%E5%90%88%E5%B9%B6%E5%88%A9%E6%B6%A6%E8%A1%A8) From January to June 2025, the company's consolidated total operating revenue was 11.33 billion Yuan, an 8.91% increase year-on-year, with total profit of 811.09 million Yuan, and net profit attributable to parent company shareholders of 598.19 million Yuan, a 30.08% increase Consolidated Income Statement Key Data (Unit: Yuan) | Project | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Total Operating Revenue | 11,331,466,190.92 | 10,404,077,393.06 | | Total Profit | 811,085,482.38 | 698,150,238.78 | | Net Profit | 740,033,213.53 | 597,208,699.86 | | Net Profit Attributable to Parent Company Shareholders | 598,187,171.85 | 459,878,414.77 | | Basic Earnings Per Share (Yuan/share) | 0.12 | 0.09 | [Parent Company Income Statement](index=46&type=section&id=%E6%AF%8D%E5%85%AC%E5%8F%B8%E5%88%A9%E6%B6%A6%E8%A1%A8) From January to June 2025, the parent company's operating revenue was 11.82 million Yuan, and net profit was 475.99 million Yuan, an increase from 449.06 million Yuan in the prior year, with investment income being the primary source of profit Parent Company Income Statement Key Data (Unit: Yuan) | Project | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Operating Revenue | 11,815,354.21 | -578,593.11 | | Total Profit | 466,382,437.63 | 439,022,351.25 | | Net Profit | 475,986,637.35 | 449,057,094.08 | | Investment Income | 591,656,882.21 | 546,414,964.08 | [Consolidated Cash Flow Statement](index=48&type=section&id=%E5%90%88%E5%B9%B6%E7%8E%B0%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) From January to June 2025, the company's net cash flow from operating activities was -29.30 million Yuan, a significant 104.14% year-on-year decrease due to increased payments for goods and services, while net cash flow from investing activities was -102.90 million Yuan and from financing activities was -92.42 million Yuan Consolidated Cash Flow Statement Key Data (Unit: Yuan) | Project | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -29,303,071.09 | 708,591,149.42 | | Net Cash Flow from Investing Activities | -102,904,856.58 | -269,538,201.45 | | Net Cash Flow from Financing Activities | -92,419,673.86 | -875,410,949.74 | | Net Increase in Cash and Cash Equivalents | -181,245,965.70 | -476,691,206.65 | - Net cash flow from operating activities significantly decreased year-on-year, primarily due to increased cash payments for goods purchased and services received[138](index=138&type=chunk) [Parent Company Cash Flow Statement](index=50&type=section&id=%E6%AF%8D%E5%85%AC%E5%8F%B8%E7%8E%B0%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) From January to June 2025, the parent company's net cash flow from operating activities was -77.00 million Yuan, from investing activities was 1.02 billion Yuan, and from financing activities was -135.31 million Yuan, with an ending balance of cash and cash equivalents of 2.47 billion Yuan Parent Company Cash Flow Statement Key Data (Unit: Yuan) | Project | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -77,000,013.82 | -41,262,703.30 | | Net Cash Flow from Investing Activities | 1,020,762,270.22 | 220,372,012.43 | | Net Cash Flow from Financing Activities | -135,305,011.73 | - | | Net Increase in Cash and Cash Equivalents | 808,457,244.67 | 179,203,263.56 | [Consolidated Statement of Changes in Owners' Equity](index=52&type=section&id=%E5%90%88%E5%B9%B6%E6%89%80%E6%9C%89%E8%80%85%E6%9D%83%E7%9B%8A%E5%8F%98%E5%8A%A8%E8%A1%A8) From January to June 2025, the company's consolidated total owners' equity increased by 675.89 million Yuan to 25.50 billion Yuan, primarily due to comprehensive income, with parent company owners' equity increasing by 518.54 million Yuan and minority interests by 157.36 million Yuan Consolidated Statement of Changes in Owners' Equity (Unit: Yuan) | Project | Beginning Balance | Amount of Change for Current Period | Ending Balance | | :--- | :--- | :--- | :--- | | Total Owners' Equity Attributable to Parent Company | 22,024,621,140.11 | 518,535,348.71 | 22,543,156,488.82 | | Minority Interests | 2,803,634,076.43 | 157,358,792.10 | 2,960,992,868.53 | | **Total Owners' Equity** | **24,828,255,216.54** | **675,894,140.81** | **25,504,149,357.35** | [Parent Company Statement of Changes in Owners' Equity](index=57&type=section&id=%E6%AF%8D%E5%85%AC%E5%8F%B8%E6%89%80%E6%9C%89%E8%80%85%E6%9D%83%E7%9B%8A%E5%8F%98%E5%8A%A8%E8%A1%A8) From January to June 2025, the parent company's total owners' equity increased by 363.22 million Yuan to 20.25 billion Yuan, primarily driven by comprehensive income, while profit distribution led to a reduction in owners' equity Parent Company Statement of Changes in Owners' Equity (Unit: Yuan) | Project | Beginning Balance | Amount of Change for Current Period | Ending Balance | | :--- | :--- | :--- | :--- | | Total Owners' Equity | 19,886,840,222.85 | 363,217,225.60 | 20,250,057,448.45 | | Total Comprehensive Income | - | 475,986,637.35 | - | | Profit Distribution | - | -112,769,411.75 | - | [Company Basic Information](index=60&type=section&id=%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5) China Xidian Electric Co., Ltd. was established on April 30, 2008, listed on the Shanghai Stock Exchange on January 28, 2010, primarily engaged in power transmission and distribution equipment and related technical services, with China Electrical Equipment Group Co., Ltd. as its controlling shareholder and the State-owned Assets Supervision and Administration Commission of the State Council as its actual controller - China Xidian Electric Co., Ltd. was established on April 30, 2008, and listed on the Shanghai Stock Exchange on January 28, 2010[154](index=154&type=chunk) - The company's main business includes R&D, design, manufacturing, sales, testing, complete sets of equipment, technical services, and engineering contracting for power transmission and distribution and control equipment[155](index=155&type=chunk) - The company's controlling shareholder is China Electrical Equipment Group Co., Ltd., and the actual controller is the State-owned Assets Supervision and Administration Commission of the State Council[155](index=155&type=chunk) [Basis of Financial Statement Preparation](index=60&type=section&id=%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E7%9A%84%E7%BC%96%E5%88%B6%E5%9F%BA%E7%A1%80) These financial statements are prepared in accordance with the Accounting Standards for Business Enterprises issued by the Ministry of Finance and relevant regulations of the China Securities Regulatory Commission, on a going concern basis - These financial statements are prepared in accordance with the "Accounting Standards for Business Enterprises" issued by the Ministry of Finance and the relevant provisions of "Rules for Information Disclosure by Companies Issuing Securities to the Public No. 15 - General Provisions on Financial Reports" by the China Securities Regulatory Commission[156](index=156&type=chunk) - These financial statements are prepared on a going concern basis[157](index=157&type=chunk) [Significant Accounting Policies and Estimates](index=60&type=section&id=%E9%87%8D%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%8A%E4%BC%9A%E8%AE%A1%E4%BC%B0%E8%AE%A1) This section details the company's specific accounting policies and estimates across various areas, including accounting period, operating cycle, functional currency, materiality, business combinations, consolidated financial statements, joint arrangements, cash and cash equivalents, foreign currency transactions, financial instruments, receivables, contract assets, assets held for sale, long-term equity investments, investment properties, fixed assets, construction in progress, borrowing costs, intangible assets, long-term asset impairment, long-term deferred expenses, contract liabilities, employee compensation, provisions, share-based payments, revenue, contract costs, government grants, deferred tax assets/liabilities, leases, hedge accounting, and restructuring - The company's accounting year runs from January 1 to December 31 of the Gregorian calendar, with an operating cycle of **12 months**, and the functional currency is RMB[160](index=160&type=chunk)[161](index=161&type=chunk)[162](index=162&type=chunk) - The company classifies financial assets into those measured at amortized cost, at fair value through other comprehensive income, or at fair value through profit or loss, based on the business model for managing financial assets and their contractual cash flow characteristics[176](index=176&type=chunk) - The company applies impairment accounting based on expected credit losses for financial assets measured at amortized cost, financial assets measured at fair value through other comprehensive income (debt instruments), and financial guarantee contracts[186](index=186&type=chunk) - The company recognizes revenue when it satisfies a performance obligation in the contract, i.e., when the customer obtains control of the related goods or services, including revenue from product sales, provision of labor, and construction contracts[238](index=238&type=chunk) [Taxes](index=83&type=section&id=%E7%A8%8E%E9%A1%B9) The company's main taxes include VAT (6%, 9%, 13%) and corporate income tax (15%, 25%), with the company and some subsidiaries enjoying preferential rates for western development and high-tech enterprises, as well as tax incentives for small low-profit enterprises and advanced manufacturing enterprises Major Taxes and Tax Rates | Tax Type | Tax Base | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Sales of goods and taxable services income | 6%, 9%, 13% | | Corporate Income Tax | Taxable income | 15%, 25% | | Urban Maintenance and Construction Tax | Actual VAT paid | 7% | - The company and some subsidiaries enjoy a **15%** preferential corporate income tax rate for western development enterprises[269](index=269&type=chunk) - As of