Financial Performance - The total revenue for the six months ended June 30, 2024, was approximately RMB 1,017,421,000, an increase of about 9.58% compared to RMB 928,462,000 for the same period last year[1] - The unaudited net profit for the six months ended June 30, 2024, reached approximately RMB 13,857,000, compared to RMB 7,613,000 for the same period last year[2] - The basic earnings per share for the six months ended June 30, 2024, was approximately RMB 0.0317, compared to RMB 0.00966 for the same period last year[4] - Total revenue for the six months ended June 30, 2024, was RMB 1,017,421,000, an increase from RMB 928,462,000 in the same period of 2023, representing a growth of approximately 9.6%[12] - The net profit attributable to the parent company for the six months ended June 30, 2024, was approximately RMB 16,487,000, a substantial increase from RMB 5,020,000 in the same period of 2023, indicating a growth of about 228.5%[17] - Basic earnings per share for the six months ended June 30, 2024, was RMB 0.0317, compared to RMB 0.0097 for the same period in 2023[17] Operating Costs and Expenses - The total operating costs for the six months ended June 30, 2024, were RMB 1,001,086,000, compared to RMB 928,477,000 for the same period last year[3] - Selling expenses for the six months ended June 30, 2024, were approximately RMB 8,284,000, down about RMB 4,881,000 or 37.08% from RMB 13,165,000 in the previous year[33] - Administrative expenses increased to approximately RMB 27,077,000, up about RMB 5,144,000 or 23.45% from RMB 21,933,000 in the previous year[33] - The net financial expenses for the six months ended June 30, 2024, were approximately RMB 1,388,000, compared to a net financial income of approximately RMB (111,000) in the previous year[33] - The gross profit for the same period was approximately RMB 58,598,000, with a gross margin of about 5.76%, up from RMB 39,062,000 and a gross margin of 4.21% in the previous year, indicating a margin increase of approximately 1.55%[32] Cash Flow and Financial Position - Cash flow from operating activities for the six months ended June 30, 2024, was RMB 74,064,000, compared to a negative cash flow of RMB 60,277,000 for the same period last year[8] - The total assets as of June 30, 2024, amounted to RMB 1,417,829,000, compared to RMB 1,219,950,000 as of December 31, 2023[5] - The total liabilities as of June 30, 2024, were RMB 948,057,000, compared to RMB 769,279,000 as of December 31, 2023[6] - The company's capital debt ratio as of June 30, 2024, is 11.49%, down from 16.34% on December 31, 2023, indicating improved financial stability[39] - The company has no significant contingent liabilities as of June 30, 2024, reflecting a strong risk management position[40] Revenue Breakdown - Revenue from PVC/PE pipes increased significantly to RMB 161,552,000, up from RMB 115,899,000, marking an increase of about 39.3% year-over-year[12] - Installation service revenue surged to RMB 416,650,000, compared to RMB 266,857,000 in the previous year, reflecting a growth of approximately 56.0%[12] - Trade revenue decreased from approximately RMB 462,623,000 to RMB 390,258,000, accounting for 49.83% to 38.36% of total revenue[32] Accounts Receivable - The company reported a significant increase in accounts receivable, which rose to RMB 227,572,000 from RMB 158,278,000[5] - Accounts receivable as of June 30, 2024, totaled RMB 292,507,000, an increase from RMB 223,213,000 as of December 31, 2023, representing a rise of approximately 31.1%[19] Corporate Governance and Compliance - The company has complied with the corporate governance code during the six months ending June 30, 2024[54] - The audit committee has reviewed the accounting principles and practices adopted by the group and discussed internal controls and financial reporting matters[53] - The company has adopted the standard code of conduct for securities trading and all directors and supervisors have confirmed compliance during the reporting period[55] - 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[56] Employee and Shareholder Information - The company has a total of approximately 407 full-time employees as of June 30, 2024, emphasizing the importance of employee quality for business growth[42] - The major shareholder, Xinjiang Tianye (Group) Co., Ltd., holds 98.98% of the domestic shares and 60.42% of the total issued share capital as of June 30, 2024[48] - Longmao Holdings owns 14,407,000 H shares, representing approximately 7.12% of the total issued H shares of the company[50] - The total issued share capital of the company is 519,521,560 shares, including domestic shares and H shares[50] - The ownership percentage of Longmao Holdings in the total issued share capital is approximately 2.77%[50] - Mr. Ding Wei is the sole owner of Longmao Holdings and is considered to have an interest in the 14,407,000 H shares held by Longmao Holdings[51] - Ms. Wang Bing, as Mr. Ding's spouse, is also considered to have an interest in the 14,407,000 H shares held by Longmao Holdings[51] Strategic Initiatives - The company plans to continue increasing investment in water-saving irrigation technology research and development to maintain industry leadership[38] - The company is focusing on expanding its agricultural supply chain layout, particularly in digital agricultural services and agricultural trade logistics[38] - The company aims to enhance core competitiveness through deepening industry-academic-research cooperation and accelerating technology transformation[38] Dividend Policy - The company did not recommend any interim dividend for the six months ended June 30, 2024, consistent with the previous year[1] - The company did not recommend any interim dividend for the six months ended June 30, 2024, consistent with the previous year[18] Asset Management - The company recorded no asset impairment losses for the six months ended June 30, 2024, and the same for the previous year[34] Equity Transactions - The company has entered into a conditional equity transfer agreement to acquire 100% of Beijing Tianye International Agricultural Engineering Technology Co., Ltd. for RMB 20,161,900 as of November 30, 2023[46] - There were no purchases, sales, or redemptions of any listed securities by the company or its subsidiaries during the six months ending June 30, 2024[57]
天业节水(00840) - 2024 - 中期财报