Financial Performance - The company reported revenue of approximately RMB 864,200,000 for the six months ended June 30, 2021, representing an increase of about 135.0% compared to RMB 367,700,000 in the same period of 2020[11]. - The loss attributable to ordinary shareholders was RMB 41,700,000, an improvement from a loss of RMB 223,900,000 in the first half of 2020[11]. - Gross profit for the period was approximately RMB 98,800,000, a 15.4% increase from RMB 85,600,000 in the first half of 2020, with a gross margin of about 11.4%[18]. - Other income and gains amounted to approximately RMB 298,000,000, a substantial increase of about 2,597.2% compared to RMB 11,000,000 in the same period of 2020[21]. - Selling and distribution expenses were approximately RMB 28,500,000, up about 16.2% from RMB 24,500,000 in the first half of 2020[21]. - Administrative expenses increased to approximately RMB 139,900,000, a rise of about 16.0% from RMB 120,600,000 in the same period of 2020, primarily due to increased R&D costs[21]. - Financing costs decreased to approximately RMB 110,800,000, down about 36.1% from RMB 173,400,000 in the first half of 2020, mainly due to a reduction in average borrowing balances[21]. - The net loss attributable to ordinary shareholders was approximately RMB 41,700,000, with a loss per share of RMB 0.04, compared to a net loss of RMB 223,900,000 and a loss per share of RMB 0.22 in the same period of 2020[22]. - The group recorded a total tax expense of RMB 64,036,000 for the six months ended June 30, 2021, compared to a tax credit of RMB 138,000 for the same period in 2020, showing a shift to taxable income[152]. Sales and Market Performance - Domestic sales accounted for approximately 42.3% of total revenue, while overseas sales accounted for about 57.7%, a significant increase from 4.6% in the same period of 2020[12]. - The significant increase in overseas sales was attributed to a substantial order delivered for the Nigeria gas pipeline project[12]. - The group received new orders for approximately 240,000 tons of steel pipes during the period and delivered about 229,000 tons of welded steel pipes[24]. - Revenue from the manufacturing and sales of straight seam submerged arc welded pipes was RMB 683,245,000, up from RMB 228,612,000, marking an increase of 199%[134]. - The company’s revenue from the African market reached RMB 351,464,000, with no revenue reported in the previous year[131]. - Sales to external customers in mainland China amounted to RMB 365,190,000, an increase from RMB 350,836,000 in the previous year[131]. Assets and Liabilities - The company has a total borrowing amount of approximately RMB 3,620,700,000 as of June 30, 2021, compared to approximately RMB 3,700,000,000 as of December 31, 2020[52]. - The asset-liability ratio is approximately 42.3% as of June 30, 2021, compared to 43.3% as of December 31, 2020[52]. - The company’s cash and bank balances are approximately RMB 87,700,000 with a current ratio of 0.87 as of June 30, 2021, compared to RMB 19,500,000 and 0.83 as of December 31, 2020[49]. - The group reported a decrease in total liabilities to RMB 1,188,092,000 as of June 30, 2021, from RMB 1,888,387,000 as of June 30, 2020[89]. - The group had trade payables of RMB 499,800,000 as of June 30, 2021, down from RMB 609,568,000 as of December 31, 2020, suggesting improved cash flow management[167]. - The group’s net trade receivables increased to RMB 555,794,000 as of June 30, 2021, from RMB 500,237,000 as of December 31, 2020, reflecting a growth in sales[163]. Future Plans and Investments - The company plans to complete six main gas pipelines totaling 751 kilometers in Guangdong province by the end of 2021, aiming for "city-to-city" gas access[1]. - The company aims to achieve "county-to-county" gas access in Guangdong province by the end of 2022[1]. - The group plans to change the land use of Panyu from "industrial" to "residential and commercial," with an investment of RMB 240,000,000 for a 19% equity stake in Panyu Jiang Steel Pipe[30]. - The company expects to receive remaining compensation of RMB 1,036,000,000 and an early completion bonus of RMB 691,000,000 from the land reclamation agreement in the second half of 2021[105]. - The company is actively negotiating with debtors regarding outstanding receivables to agree on repayment schedules[105]. - The company is implementing cost control measures to improve operational cash flow and achieve profitability[105]. Corporate Governance and Compliance - The board of directors has confirmed compliance with the corporate governance code throughout the reporting period[72]. - The accounting policies used in the preparation of the interim financial statements are consistent with those used in the previous annual financial statements[111]. - The company has not declared any interim dividends for the six months ending June 30, 2021[43]. - There were no purchases, redemptions, or sales of the company's listed securities by the company or its subsidiaries during the reporting period[73]. Miscellaneous - The company has adopted a share option scheme on June 18, 2020, and a share award scheme that was terminated on March 21, 2021, with no options or awards granted as of June 30, 2021[68]. - The company has not recognized any rent concessions due to the direct impact of COVID-19, indicating stability in rental agreements[114]. - The company has issued a total of 1,011,142,000 shares as of June 30, 2021, unchanged from the previous year[190]. - The total remuneration for key management personnel was RMB 1,950,000 for the six months ended June 30, 2021, down from RMB 2,600,000 in the previous year[199].
珠江钢管(01938) - 2021 - 中期财报