Financial Performance - The company reported revenue of RMB 24,741,000 for the six months ended June 30, 2021, a significant increase of 243% compared to RMB 7,217,000 in the same period of 2020[5] - Gross profit for the same period was RMB 6,620,000, up from RMB 1,957,000, reflecting a gross margin improvement[5] - The company achieved a profit before tax of RMB 173,000, a turnaround from a loss of RMB 4,173,000 in the previous year[5] - Total comprehensive income for the period was RMB 145,000, compared to a loss of RMB 4,084,000 in the prior year[6] - Basic earnings per share improved to RMB 0.1 from a loss of RMB 1.7 per share in the same period last year[5] - The company recorded a net profit of approximately RMB 0.2 million for the six months ended June 30, 2021, compared to a net loss of approximately RMB 4.2 million in the same period last year, indicating a turnaround in performance[46] Assets and Liabilities - The company's total assets as of June 30, 2021, were RMB 42,465,000, slightly up from RMB 42,320,000 at the end of 2020[9] - Current assets amounted to RMB 33,353,000, compared to RMB 33,977,000 at the end of 2020, indicating a decrease in liquidity[9] - The company maintained a net asset value of RMB 37,465,000, an increase from RMB 37,320,000 at the end of the previous year[9] - The company had no short-term borrowings and long-term borrowings of RMB 5 million as of June 30, 2021, consistent with the previous year[59] - The company has no significant contingent liabilities as of June 30, 2021[39] Revenue Sources - Total revenue from real estate consulting and sales agency services in China reached RMB 24,403 thousand for the six months ended June 30, 2021, a significant increase of 345% from RMB 5,462 thousand in 2020[19] - Revenue from comprehensive real estate consulting and sales agency services accounted for approximately 98.6% of total revenue, up from 77.2% in the same period last year[46] - The company executed 12 comprehensive real estate consulting and sales agency projects in China and Cambodia, with a total floor area of approximately 83,000 square meters, a significant increase from 9 projects and 42,000 square meters in the same period last year[49] - The company provided pure real estate planning consulting services for 3 property development projects, generating total revenue of approximately RMB 331,000, which accounted for about 1.4% of total revenue, down from 22.8% in the same period last year[52] Cash Flow and Investments - The company’s net cash used in operating activities for the six months ended June 30, 2021, was RMB (1,425) thousand, compared to RMB (8,826) thousand for the same period in 2020, indicating an improvement[12] - The net cash generated from investing activities was RMB 6,946 thousand for the six months ended June 30, 2021, slightly down from RMB 7,264 thousand in 2020[12] - The cash and cash equivalents at the end of the period increased to RMB 11,909 thousand from RMB 8,646 thousand at the end of the previous year[12] - The company acquired property, plant, and equipment amounting to RMB 45,000 during the review period, unchanged from the same period in 2020[28] Operational Efficiency - The company’s operating and administrative expenses decreased by approximately 3.3% during the reporting period due to strict cost-saving measures[44] - The liquidity ratio increased from 5.90 as of December 31, 2020, to 6.76 as of June 30, 2021, indicating improved financial stability[57] Market Conditions and Future Outlook - The real estate market in China showed a strong recovery, with GDP growth of approximately 12.7% year-on-year and a record high in national commodity housing sales of about RMB 9.3 trillion, up approximately 38.9% year-on-year[40] - The company anticipates a continued tight regulatory environment in China's real estate market, with a focus on cautious operations and risk prevention[53] - The company is closely monitoring the economic and market conditions in China due to the impact of the Delta variant of COVID-19, which may hinder economic recovery[56] - The company plans to enhance cost control measures and strictly manage cash flow to improve operational performance in the second half of the year[56] Shareholder Information - Active Star holds 89,659,979 shares, representing 36.42% of the total shares issued as of June 30, 2021[80] - Upwell Assets owns 43,722,460 shares, accounting for 17.76% of the total shares issued as of June 30, 2021[80] - The total number of shares issued by the company as of June 30, 2021, is 246,183,390[82] - The stock option plan was adopted on June 17, 2016, and is valid for ten years, allowing the company to grant options to selected participants[83] - The stock options granted to Zhang and Jiang amount to 4,200,000 shares, with 1,800,000 and 2,400,000 shares respectively[79] Corporate Governance - The company has adhered to the corporate governance code, with no deviations reported for the six months ending June 30, 2021[95] - All directors confirmed compliance with the standard code of conduct for securities trading for the six months ending June 30, 2021[96] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited interim financial statements for the six months ending June 30, 2021[98]
富阳(00352) - 2021 - 中期财报