XTAD(SH:600359)2024-08-29 09:13Financial Performance - The company's operating revenue for the first half of 2024 was CNY 343,119,638.25, a decrease of 12.71% compared to CNY 393,089,402.95 in the same period last year[15]. - The net profit attributable to shareholders of the listed company was CNY 53,559,174.93, down 10.66% from CNY 59,947,443.94 year-on-year[15]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 53,063,368.83, a significant increase of 1,225.84% compared to a loss of CNY 4,713,212.37 in the previous year[15]. - Basic earnings per share for the first half of 2024 were CNY 0.14, down 12.50% from CNY 0.16 in the same period last year[16]. - The weighted average return on net assets was 7.99%, a decrease of 1.67 percentage points from 9.66% in the previous year[16]. - The company reported a net loss of CNY 909,495,681.54 for the first half of 2024, a marginal improvement from a loss of CNY 912,246,212.37 in the same period of 2023[65]. Cash Flow and Assets - The net cash flow from operating activities was CNY 61,914,582.67, a decrease of 6.29% from CNY 66,072,595.56 in the same period last year[15]. - The company's cash and cash equivalents at the end of the period amounted to 375,004,359.10, representing 28.46% of total assets, an increase of 48.23% from the previous year[27]. - The net cash flow from investing activities saw a significant decline of 124.01%, from 197,114,960.18 to -47,325,314.76[25]. - The net cash flow from financing activities increased by 715.77%, from 13,169,144.29 to 107,430,243.48[25]. - Total assets at the end of the reporting period were CNY 1,317,778,565.39, reflecting a growth of 5.59% compared to CNY 1,248,063,493.25 at the end of the previous year[15]. - The company's total assets increased to CNY 1,095,564,904.66 as of June 30, 2024, compared to CNY 994,575,024.25 at the end of 2023, reflecting a growth of 10.2%[65]. Inventory and Receivables - Inventory decreased by 23.74%, from 457,115,368.71 to 348,607,308.29, primarily due to sales reducing stock levels[27]. - Accounts receivable dropped by 48.89% to CNY 15,695,780.73 primarily due to the recovery of receivables from subsidiaries[28]. - The total accounts receivable at the end of the period amounted to ¥33,745,134.46, with a bad debt provision of ¥18,049,353.73, resulting in a net book value of ¥15,695,780.73[152]. - The aging analysis shows that accounts less than one year old had a provision rate of 1%, while those over five years had a 100% provision rate[155]. Business Operations - The company engages in seed processing and sales, with major products including cotton, rice, and wheat seeds, primarily through its subsidiary Tahua Seed Industry[20]. - The beef cattle breeding business is conducted through its subsidiary Xin Nong Fa, focusing on standardized and scaled production to enhance efficiency[21]. - The seed industry faces intense competition with low market concentration and challenges from new regulations aimed at enhancing intellectual property protection[21]. - The licorice industry is experiencing growth due to increasing health-conscious consumer demand, positioning the company favorably in the market[22]. - The beef cattle industry is under pressure from declining prices and demand, despite stable production capacity and government support measures[22]. Risk Management and Compliance - The report includes a risk statement regarding future plans and development strategies, advising investors to be aware of investment risks[4]. - The company is closely monitoring national policy changes that could affect its operations, particularly in tax and credit policies, to maintain stable profitability[35]. - The company received a regulatory warning from the Shanghai Stock Exchange on January 18, 2024, regarding the failure to timely review and disclose daily related party transactions exceeding initial estimates for the year 2023[48]. - The company plans to establish an effective risk control mechanism for related party transactions in 2024, ensuring timely reporting and compliance with disclosure obligations[48]. Shareholder and Governance - The company has 48,829 common shareholders as of the end of the reporting period[55]. - The company will enhance training for its directors, supervisors, and senior management on legal regulations and securities supervision rules to improve governance capabilities[48]. - The company has not engaged in any non-operating fund occupation by its controlling shareholders or related parties during the reporting period[47]. - The company has not reported any changes in major shareholders or strategic investors during the reporting period[58]. Accounting Policies and Financial Reporting - The accounting policies comply with the requirements of enterprise accounting standards, ensuring a true and complete reflection of the company's financial status[91]. - The company’s financial statements are prepared based on the principle of continuous operation[88]. - The company has not made any significant changes to its accounting policies or estimates during the reporting period[142]. - The company recognizes revenue when control of goods or services is transferred to customers, either at a point in time or over time, depending on the contract terms[134]. Investment and Capital Structure - The company reported a total of CNY 381,512,820.00 in paid-in capital, unchanged from the previous period[84]. - The total expected amount for daily related transactions with affiliates in 2024 is CNY 227.80 million, including CNY 13.95 million for procurement and services, CNY 212.15 million for sales, and CNY 1.70 million for leasing[50]. - The total amount of guarantees provided during the reporting period (excluding guarantees to subsidiaries) is CNY 181.75 million, with a total guarantee balance at the end of the reporting period of CNY 110.14 million[53].