SHBM(SH:900939)2024-10-30 08:13Financial Performance - The company's operating revenue for the first half of 2024 was CNY 7,643,394.81, a slight decrease of 0.03% compared to CNY 7,645,607.20 in the same period last year[13]. - The net profit attributable to shareholders for the first half of 2024 was CNY 3,183,149.33, representing a decline of 28.85% from CNY 4,473,578.15 in the previous year[13]. - Basic earnings per share for the first half of 2024 were CNY 0.0175, a decrease of 28.86% from CNY 0.0246 in the same period last year[14]. - The weighted average return on net assets was 2.14%, down 1.25 percentage points from 3.39% in the previous year[14]. - The company reported a financial loss of 1,545,158.96 RMB, which is not applicable for percentage change calculation[21]. - The company achieved a non-recurring profit of 86,990.17 RMB after accounting for tax and minority interests[16]. - The company reported a net loss for the period, with significant changes in the impairment provisions for debt investments[187]. Cash Flow and Assets - The net cash flow from operating activities decreased significantly by 60.26%, amounting to CNY 335,653.16 compared to CNY 844,528.03 in the same period last year[13]. - The total assets as of the end of the reporting period were CNY 163,959,737.11, down 8.58% from CNY 179,355,657.74 at the end of the previous year[13]. - The company's cash and cash equivalents decreased from 125,032,913.81 to 117,467,826.50, a decline of approximately 6.25%[39]. - The total current assets decreased from 148,328,559.69 to 134,800,869.01, a reduction of approximately 9.1%[39]. - The total cash and cash equivalents at the end of the period reached CNY 61,142,465.39, compared to CNY 14,458,303.85 at the end of the first half of 2023[49]. - The company reported a significant reduction in trading financial assets, down 50.05% to 10,000,000.00 RMB, attributed to a decrease in structured deposits[23]. Liabilities and Equity - The total liabilities decreased from 26,298,581.42 to 23,301,459.99, reflecting a decline of about 11.41%[41]. - Owner's equity decreased from 153,057,076.32 to 140,658,277.12, a reduction of approximately 8.06%[41]. - The total equity attributable to the parent company at the end of the reporting period was ¥134,908,627.79, reflecting a decrease due to a reduction in capital reserves[53]. - The company’s undistributed profits decreased to CNY -138,433,425.76, compared to CNY -61,086,027.00 in the previous year[54]. Investments and Subsidiaries - The joint venture, Huili Paint Company, experienced a 37% decline in revenue, with losses increasing by 56% compared to the previous year, negatively impacting the company's investment income[20]. - The company holds 90% of Shanghai Zhongyuan Huili Building Materials Co., which reported a net loss of 43.73 million RMB for the first half of 2024, an increase in losses compared to the previous year[26]. - The company reported an investment loss of CNY 1,089,688.13, compared to a loss of CNY 660,423.95 in the previous year[45]. Operational and Strategic Developments - The company did not disclose any new product developments or market expansion strategies in this report[12]. - The company is actively seeking to expand its business scope and scale to avoid marginalization in the market[20]. - The company has not proposed any profit distribution or capital reserve conversion plans for the half-year period[30]. - The company has not reported any significant changes in major shareholders or actual controllers during the reporting period[38]. Tax and Legal Matters - The company reported a civil lawsuit against Jiangsu Chen Sheng Company for unpaid rent amounting to ¥3,260,626.80, with the court ruling in favor of the company in March 2022[33]. - The company has taken various enforcement measures against Jiangsu Chen Sheng Company, including freezing bank accounts and auctioning off assets to recover debts[33]. - The corporate income tax rate for Hong Kong subsidiaries is 16.5%, while other subsidiaries are subject to a 25% tax rate[156]. Accounting Policies and Compliance - The company's accounting policies comply with the requirements of the enterprise accounting standards, ensuring accurate financial reporting[62]. - The company’s financial statements are prepared based on the principle of ongoing concern[60]. - The company has not reported any significant changes in accounting estimates or the adoption of new accounting standards for the current period[155]. Risk Factors - The company has faced risks related to potential delisting due to its small scale and single business focus, especially with tightening regulatory requirements[28]. - The report includes a risk statement regarding forward-looking statements, cautioning investors about potential risks[2].