Financial Performance - Revenue for the six months ended June 30, 2021, was RMB 116,276,000, a decrease of 4.7% compared to RMB 121,968,000 in 2020[15]. - Gross profit for the same period was RMB 21,823,000, down 24.8% from RMB 29,017,000 in 2020, resulting in a gross profit margin of 19%[15]. - Profit attributable to shareholders decreased by 22.9% to RMB 12,624,000 from RMB 16,363,000 in 2020[15]. - Earnings per share dropped by 42.5% to RMB 0.050 from RMB 0.087 in the previous year[15]. - The Group recorded total revenue of approximately RMB 116 million for the six months ended 30 June 2021, a decrease of 4.7% from RMB 122 million in the same period of 2020, primarily due to lower selling prices of pitch control systems[38]. - For the six months ended June 30, 2021, the total revenue of the Group was approximately RMB116 million, a decrease of 4.7% compared to approximately RMB122 million in the same period of 2020[39]. - Revenue from the pitch control system business was approximately RMB91 million, representing a decrease of approximately RMB4 million or 4.2% from the first half of 2020[40]. - Revenue from the wind power generation business increased to approximately RMB12 million, an increase of approximately RMB3 million or 33.3% from the same period in 2020[41]. - Revenue from wind farm operation and maintenance decreased to approximately RMB13 million, a decrease of approximately RMB4 million or 23.5% from approximately RMB17 million in the first half of 2020[42]. - The Group's profit for the period amounted to approximately RMB13 million, representing a decrease of approximately RMB3 million or 18.8% from approximately RMB16 million in the first half of 2020[58]. - The total comprehensive income for the period was RMB 11,779,000, down 29.1% from RMB 16,567,000 in 2020[137]. Assets and Liabilities - Total liabilities as of June 30, 2021, were RMB 202,194,000, a reduction of 34.0% from RMB 306,325,000 at the end of 2020[15]. - Net liabilities decreased by 30.2% to RMB 107,463,000, while total equity increased by 4.2% to RMB 251,224,000[15]. - As of June 30, 2021, the balance of pledged bank deposits and cash and cash equivalents amounted to approximately RMB94.7 million, a decrease of approximately RMB57.7 million from approximately RMB152.4 million as of December 31, 2020[61]. - The Group's cash and cash equivalents amounted to approximately RMB71 million as of June 30, 2021, an increase of approximately RMB32 million from approximately RMB39 million as of June 30, 2020, mainly due to net proceeds from listing[66]. - The Group's interest-bearing bank and other borrowings amounted to RMB46.3 million as of June 30, 2021, a decrease of approximately RMB47.3 million from approximately RMB93.6 million as of December 31, 2020[61]. - Trade receivables as of June 30, 2021, were RMB 153,219,000, down 30.9% from RMB 221,565,000 at the end of 2020[186]. - The total trade and other receivables as of June 30, 2021, amounted to RMB 220,258,000, down 20.2% from RMB 275,965,000 at the end of 2020[184]. - Current assets decreased to RMB 351,835,000 from RMB 444,930,000, a reduction of 21.0%[139]. - Non-current assets amounted to RMB 101,583,000, slightly down from RMB 102,496,000 at the end of 2020[139]. Market and Business Development - The company has established a mature business network in North China, East China, and South China, focusing on wind power pitch control systems and energy storage[16]. - The energy storage market is expected to become a trillion RMB industry, presenting significant growth opportunities for the company[18]. - The Group's pitch control system business expanded to cover five of the ten largest wind turbine manufacturers in China, including new customers such as Sany Group and Sinovel[22]. - The Group plans to maintain and enhance its market position in the pitch control system market and increase market share through customer diversification[30]. - The Group aims to strengthen its R&D capabilities by expanding its technical team and developing high-efficiency pitch products, including 8 MW and 12 MW models[31]. - The Group is actively developing its smart energy business, including the construction of a 4 MW wind power storage demonstration project at Duolun Wind Farm[32]. - The Group's strategy includes leveraging advanced technologies such as big data and artificial intelligence for integrated energy service projects[27]. - The Group plans to invest RMB31.3 million into the development of a new distributed wind farm in Lingqiu, Shanxi, from July 1, 2021, to December 31, 2021[91]. - The Group aims to recruit 70 additional service personnel to expand wind farm operation and maintenance services, with an estimated cost of RMB3.6 million from July 1, 2021, to June 30, 2022[93]. - The Group intends to strengthen R&D capabilities to enhance pitch control systems, with an estimated investment of RMB10.9 million from July 1, 2021, to December 31, 2022[93]. Shareholder Information - As of June 30, 2021, Mr. Cheng Liquan Richard holds 187,500,000 Shares, representing 75% of the total shareholding[115]. - The total number of issued shares is 250,000,000[128]. - The Company has adopted a Share Option Scheme allowing the grant of options to Eligible Participants, including full-time employees and directors, as incentives for their contributions[110]. - No share options have been granted under the Share Option Scheme since its adoption up to the date of the interim report[112]. - The amount payable by the grantee to the Company upon acceptance of the offer is RMB1.00[111]. - The options granted are exercisable for a period not exceeding ten years from the offer date[111]. - The total number of Shares issued upon exercise of options in any 12-month period shall not exceed 1% of the Shares without separate shareholder approval[111]. Cash Flow and Financing Activities - For the six months ended June 30, 2021, net cash generated from operating activities was RMB 8,638,000, a decrease of 59.4% compared to RMB 21,321,000 in 2020[144]. - Net cash used in investing activities amounted to RMB 6,952,000, significantly higher than RMB 1,363,000 in the same period of 2020[144]. - Net cash used in financing activities was RMB 51,109,000, compared to RMB 16,438,000 in the previous year, indicating a substantial increase in financing outflows[144]. - The company reported a total cash decrease of RMB 49,423,000 during the first half of 2021, contrasting with a cash increase of RMB 3,520,000 in the same period of 2020[144]. - The Group's financial risk management includes strengthening accounts receivable management and monitoring cash flow dynamics[81]. - The Group has not entered into any forward foreign exchange contracts to hedge foreign exchange risk but will monitor and adopt measures to mitigate such risks[83]. Compliance and Governance - The audit committee consists of three independent non-executive directors[127]. - The company complies with the CG Code in establishing its audit committee[127]. - The company has not been notified of any other substantial shareholders with interests in shares as of June 30, 2021[126]. - There were no interests or short positions in shares reported by directors or chief executives as of June 30, 2021[121].
纳泉能源科技(01597) - 2021 - 中期财报