BHAS(600960)2024-08-27 10:15Financial Performance - The company's operating revenue for the first half of 2024 was ¥2,328,767,440.14, a decrease of 4.16% compared to ¥2,429,960,838.69 in the same period last year[12]. - The net profit attributable to shareholders of the listed company was -¥113,356,726.12, compared to -¥52,755,382.34 in the previous year, indicating a worsening performance[12]. - The net cash flow from operating activities decreased by 60.03%, amounting to ¥73,551,157.83, down from ¥184,002,572.25 in the same period last year[12]. - The basic earnings per share for the first half of 2024 was -¥0.1193, compared to -¥0.0555 in the same period last year[13]. - The company reported a decline in export revenue from its subsidiary Taian Qicheng due to market shrinkage and rising aluminum prices[15]. - In the first half of 2024, the company achieved operating revenue of 2.329 billion yuan, but faced operating losses due to multiple pressures including geopolitical conflicts and declining demand in the German electric vehicle market[25]. - The company sold 11.14 million pistons in the first half of 2024, representing a year-on-year increase of 9.94%, driven by growth in the commercial vehicle market and sales to major clients like BYD and Chery[27]. - The company reported a net profit of -44,478,131.86 RMB for the first half of 2024, compared to -25,280,479.70 RMB in the same period of 2023, indicating a decline of approximately 76% year-over-year[93]. - The company recorded a total comprehensive income of CNY 146,966,977.69 for the first half of 2024, compared to a loss of CNY 54,099,435.30 in the same period of 2023[91]. Assets and Liabilities - The total assets at the end of the reporting period were ¥7,984,015,192.80, reflecting a 5.21% increase from ¥7,588,819,725.52 at the end of the previous year[12]. - The net assets attributable to shareholders of the listed company increased by 3.28%, reaching ¥4,611,088,815.49 compared to ¥4,464,733,384.75 at the end of the previous year[12]. - The company's short-term borrowings rose by 36.56% to ¥1,663,768,492.05, up from ¥1,218,376,928.29 at the end of the previous year[33]. - The company's total liabilities amounted to CNY 3,329,135,452.80, up from CNY 3,082,623,357.17, indicating a growth of around 8.0%[84]. - The company's total current assets amounted to approximately CNY 3.67 billion, an increase from CNY 3.58 billion as of December 31, 2023, reflecting a growth of about 2.5%[82]. - The company's long-term equity investments decreased to CNY 429.12 million from CNY 457.64 million, a decline of approximately 6.3%[82]. - The company's total liabilities were reported at ¥2,635,638,371.85, reflecting the financial obligations[104]. Operational Challenges - The company faced challenges due to geopolitical conflicts and a decline in demand in the German electric vehicle market, leading to a decrease in sales volume and revenue for its German subsidiary BTAH[14]. - The company experienced increased financial costs due to a rise in bank borrowings and inflation rates abroad, impacting overall financial performance[15]. - The company is enhancing its management and operational control over its German subsidiary BTAH, focusing on improving operational management and project monitoring[30]. - The company faces macroeconomic risks that could impact demand from its commercial and passenger vehicle clients[43]. - The company faces multiple pressures from macroeconomic uncertainties, including insufficient domestic demand and structural transformation, which may negatively impact performance if downstream customer demand decreases[44]. Research and Development - The company has developed over 1,000 types of high-performance pistons, with diameters ranging from 30mm to 400mm, serving major automotive and engine manufacturers[18]. - The company has established a strategic collaboration between its subsidiaries to enhance R&D capabilities in lightweight aluminum products[18]. - The company's research and development expenses increased by 2.44% to ¥47,518,733.29, compared to ¥46,384,927.31 in the same period last year[31]. - The company is focusing on innovation and technology development, with significant advancements in piston design and lightweight component manufacturing[28]. - The company has developed 40 new piston models that have passed testing and are ready for mass production, including 16 new designs for low-carbon and zero-carbon pistons[28]. Environmental and Social Responsibility - The company invested 1.35 million yuan in environmental protection facilities and maintenance in the first half of 2024, while another subsidiary invested 390,000 yuan for similar purposes[53]. - The company’s subsidiary, Bohai Piston, has 39 exhaust emission outlets, with 27 equipped with treatment facilities, and wastewater is treated before being sent to the municipal sewage treatment plant[52]. - The company adheres to various pollution discharge standards, including limits for SO2 at 50 mg/m³ and COD at 500 mg/L[52]. - The company actively manages environmental risks by installing monitoring devices at major discharge points and maintaining compliance with waste management regulations[54]. - The company has established emergency response plans for environmental incidents to mitigate potential risks[55]. Shareholder and Governance - The company held four shareholder meetings in 2024, with key resolutions including the election of independent directors and amendments to the company’s articles of association[48]. - The company appointed Fan Xiaohua as an independent director on January 12, 2024, following the resignation of Li Gang, which reduced the number of independent directors below one-third of the board[49]. - The company did not propose any profit distribution or capital reserve transfer to increase share capital during this reporting period[2]. - No profit distribution or capital reserve increase plans were proposed for the half-year period, with no dividends or stock bonuses declared[50]. Financial Management - The company is committed to cost optimization and efficiency improvements, implementing measures to control procurement and labor costs while enhancing lean operations[29]. - The company is enhancing its supply chain management and procurement strategies to mitigate the impact of rising raw material costs, including potential price adjustments for certain products[44]. - The company is implementing a currency hedging mechanism to manage risks associated with foreign exchange fluctuations, given that a significant portion of sales revenue is denominated in euros and dollars[44]. - The company reported a total of 47,252.20 million RMB in related party transactions for the first half of 2024, with an expected annual related party transaction amount of 1,099.60 million RMB[62]. Accounting and Compliance - The financial statements are prepared based on the going concern assumption, indicating the company has the ability to continue operations for at least 12 months from the reporting date[117]. - The company adheres to the accounting standards set by the Ministry of Finance, ensuring that the financial reports reflect a true and complete picture of its financial status as of June 30, 2024[119]. - The company recognizes significant receivables and payables based on a threshold of 5% of total amounts, ensuring proper financial management[122]. - The company has not disclosed any changes in accounting policies or prior period error corrections[111].