Financial Performance - Total revenue for the three months ended March 31, 2024, was approximately RMB 354 million, a decrease of 15.9% compared to RMB 421 million in the same period last year[6]. - For the three months ended March 31, 2024, the company's gross profit was approximately RMB 4.0 million, an increase from RMB 2.4 million for the same period in 2023, resulting in a gross margin increase from approximately 5.7% to 11.3%[29]. - Profit attributable to equity holders for the three months ended March 31, 2024, was approximately RMB 0.1 million (compared to a loss of approximately RMB 5.7 million in the same period last year)[65]. - Basic earnings per share were approximately RMB 0.02 (compared to a basic loss per share of approximately RMB 0.72 in the same period last year)[65]. - The company reported a profit attributable to equity holders of RMB 147,000, a recovery from a loss of RMB 5,745,000 in the prior year[66]. - The company’s financial statements have been reviewed by the audit committee and approved by the board, ensuring compliance with accounting standards[126]. Cost Management - Sales and service costs decreased from approximately RMB 397 million for the three months ended March 31, 2023, to approximately RMB 314 million for the same period in 2024, a reduction of about RMB 83 million or 20.9%[7]. - Administrative expenses for the three months ended March 31, 2024, were approximately RMB 2.2 million, a decrease of about RMB 1.1 million or 33.3% compared to RMB 3.3 million for the same period in 2023[32]. - Financial costs for the group were approximately RMB 0.5 million, a decrease of approximately RMB 0.3 million or 37.5% compared to RMB 0.8 million in the same period last year[43]. - Sales and distribution expenses decreased by approximately RMB 0.3 million or 50.0% to about RMB 0.3 million for the three months ended March 31, 2024, primarily due to reduced transportation costs[31]. - The total administrative expenses decreased from RMB 3,341,000 to RMB 2,181,000, indicating cost control measures[66]. Business Strategy - The company aims to enhance its R&D system and expand new product development to meet customer demand for environmentally friendly functional fabrics[15]. - The company plans to diversify its existing business and explore high-tech projects to improve profitability and adapt to market changes[16]. - The company will continue to expand its business and supply chain platform, recruiting unlimited sales personnel and implementing a reward system to encourage employee contributions[15]. - The company aims to continue advancing high-tech initiatives while reducing energy consumption and expanding into new markets[85]. - The company is focusing on long-term stable customers and has chosen to forgo low-margin small clients due to market conditions[109]. Tax and Compliance - The company reported a tax expense of RMB 26 thousand for the current period, compared to RMB 1,014 thousand in the previous year[1]. - The company's tax expense for the three months ended March 31, 2024, was approximately RMB 0.03 million, compared to a tax credit of approximately RMB 1.0 million for the same period in 2023[36]. - The company has been recognized as a micro-profit enterprise, allowing for reduced taxable income calculations under certain thresholds[2]. - The effective tax rate for Huzhou Narnia is 15% for 2024, benefiting from its status as a "high-tech enterprise" recognized by local authorities[118]. - The company has not reported any significant violations of applicable laws and regulations that would impact its business operations[12]. Shareholder Information - The company’s major shareholders, including Mr. Dai Shunhua and Ms. Song Xiaoying, hold significant stakes, with Mr. Dai and Ms. Song each owning approximately 59.11% of Spring Sea, representing 472,848,000 shares[19]. - At least 25% of the issued shares were held by public shareholders in accordance with GEM listing rules[49]. - Spring Sea owned 472,848,000 shares, representing approximately 59.11% of the company's issued share capital[42]. - There were no conflicts of interest reported among directors or major shareholders during the reporting period[28]. - The company has not engaged in any related party transactions during the reporting period[26]. Revenue Breakdown - Revenue from fabric sales was RMB 5.9 million, while revenue from dyeing services was RMB 29.5 million, representing an increase of 18.0% from RMB 25.0 million in the previous year[124]. - Sales revenue from fabric decreased by approximately RMB 11.2 million or 65.5%, from RMB 17.1 million to RMB 5.9 million, with total sales volume dropping from approximately 3.6 million meters to 1.4 million meters[86]. - The company's revenue for the three months ended March 31, 2024, was RMB 35,406,000, a decrease of 16.5% from RMB 42,085,000 in the same period of 2023[66]. - For the three months ended March 31, 2024, total revenue was approximately RMB 35.4 million, a decrease of 15.5% compared to RMB 42.1 million for the same period in 2023[100]. Other Income - Other income and net gains for the three months ended March 31, 2024, amounted to approximately RMB 0.4 million, compared to a loss of approximately RMB 2.3 million for the same period in 2023[30]. - Interest income increased to RMB 17,000 from RMB 3,000, while foreign exchange gains improved to RMB 140,000 from a loss of RMB 1,636,000[77]. Corporate Governance - The company is committed to maintaining high standards of corporate governance and has adopted measures to strengthen its internal control systems[8]. - The company has not adopted new accounting standards that have been issued but are not yet effective, indicating a stable accounting approach[71]. - The board of directors decided not to declare any dividends for the three months ended March 31, 2024, consistent with the previous year[39].
纳尼亚集团(08607) - 2024 Q2 - 季度财报