Financial Performance - For the six months ended June 30, 2019, total revenue was approximately RMB 291,028,000, an increase of about 25.8% compared to RMB 231,373,000 for the same period last year[1] - The unaudited net loss for the six months ended June 30, 2019, was approximately RMB 487,000, a decrease of about 95.2% from a net loss of RMB 10,196,000 in the same period last year[1] - The basic loss per share for the six months ended June 30, 2019, was approximately RMB 0.0003, compared to RMB 0.0194 for the same period in 2018[1] - The company reported a total profit of RMB 7,156,000 for the six months ended June 30, 2019, down from RMB 8,961,000 in 2018[25] - The group recorded an unaudited total revenue of approximately RMB 291,028,000 for the six months ended June 30, 2019, representing an increase of approximately 25.8% compared to RMB 231,373,000 for the same period last year[46] - The unaudited gross profit for the six months ended June 30, 2019, was approximately RMB 47,486,000, with a gross profit margin of approximately 16.3%, up 7.4 percentage points from 8.9% in the previous year[47] Assets and Liabilities - Total assets as of June 30, 2019, amounted to RMB 1,009,085,000, an increase from RMB 957,773,000 as of December 31, 2018[7] - Total liabilities as of June 30, 2019, were RMB 392,994,000, compared to RMB 341,195,000 as of December 31, 2018[7] - Total equity attributable to owners of the parent as of June 30, 2019, was RMB 607,053,000, slightly down from RMB 607,238,000 as of December 31, 2018[7] - Trade receivables as of June 30, 2019, totaled RMB 203,074,000, a decrease from RMB 211,364,000 as of December 31, 2018[9] - Trade payables as of June 30, 2019, totaled RMB 226,109,000, an increase from RMB 217,514,000 as of December 31, 2018[34] - Other payables increased to RMB 31,169,000 as of June 30, 2019, compared to RMB 22,886,000 as of December 31, 2018[36] - As of June 30, 2019, the company's debt-to-equity ratio was 4.87%, unchanged from December 31, 2018[54] Cash Flow - The net cash used in operating activities for the six months ended June 30, 2019, was RMB (15,488,000), an improvement from RMB (26,984,000) in the same period last year[10] Dividends - The company did not recommend any interim dividend for the six months ended June 30, 2019, consistent with the previous year[1] - The company did not recommend the distribution of an interim dividend for the six months ended June 30, 2019, consistent with the previous year[32] Expenses - Selling expenses increased by approximately RMB 15,500,000 or about 106.1%, totaling approximately RMB 30,109,000 for the six months ended June 30, 2019, compared to RMB 14,609,000 in the previous year[48] - Management expenses rose by approximately RMB 3,400,000 or about 23.5%, totaling approximately RMB 17,879,000 for the six months ended June 30, 2019, compared to RMB 14,479,000 in the previous year[48] - The company incurred approximately RMB 4,821,000 in expenses related to employee retirement benefit plans for the six months ended June 30, 2019[59] Taxation - The company’s income tax expense for the six months ended June 30, 2019, was RMB 653,000, compared to RMB 325,000 in the same period of 2018[27] Corporate Governance - The company adhered to the corporate governance code as per the listing rules during the six months ending June 30, 2019[79] - All directors and supervisors confirmed compliance with the standard code of conduct for securities trading during the same period[80] - There are no provisions in the company's articles of association or Chinese law regarding preemptive rights for existing shareholders when new shares are issued[81] Shareholder Information - Major shareholders included Xinjiang Tianye Co., Ltd. holding 202,164,995 shares, representing 63.75% of the company's issued domestic shares[67] - The total number of issued shares was 519,521,560, including both domestic and H shares[68] - Longmao Holdings Limited held 14,407,000 H shares, accounting for approximately 7.12% of the total issued H shares[73] Operations - The company confirmed that its operations are primarily conducted in China, with all transactions denominated in RMB, resulting in no significant foreign exchange risk[57] - The company employed approximately 535 full-time employees as of June 30, 2019[58] - The company did not engage in any significant acquisitions or disposals of subsidiaries during the six months ended June 30, 2019[63] - There were no major investment plans as of June 30, 2019[61] New Standards - The company adopted the new leasing standards effective January 1, 2019, with a weighted average incremental borrowing rate of 4.698%[15] - The company’s total liabilities included lease liabilities of RMB 698,450,340 as of January 1, 2019, due to the adoption of the new leasing standards[18] Losses - The company reported a total comprehensive loss attributable to owners of the parent of RMB (10,091,000) for the six months ended June 30, 2019[8] - The group recorded an unaudited net loss attributable to the owners of the parent company of approximately RMB 185,000 for the six months ended June 30, 2019, a decrease of approximately RMB 9,906,000 compared to a net loss of RMB 10,091,000 in the previous year[52] Future Plans - The group plans to accelerate the construction and promotion of efficient water-saving demonstration bases and expand sales channels in response to the increasing demand for water-saving agricultural irrigation in China[53] - The group aims to enhance market revenue and competitiveness by increasing investment in the research and development of new products and technologies[53]
天业节水(00840) - 2019 - 中期财报