GETM(SH:600232)2014-08-21 16:00Financial Performance - The company reported a total operating income of RMB 513.52 million for the first half of 2014, a decrease of 2.40% compared to RMB 526.13 million in the same period last year[16]. - The net profit attributable to shareholders was RMB 10.48 million, down 16.76% from RMB 12.59 million year-on-year[16]. - Basic earnings per share decreased by 17.14% to RMB 0.029 from RMB 0.035 in the previous year[15]. - The net cash flow from operating activities fell significantly by 68.20% to RMB 7.91 million, compared to RMB 24.89 million in the same period last year[16]. - The company reported a significant decrease in accounts payable by 60.53% to 300,000 yuan, indicating improved cash flow management[28]. - The company reported a net profit of ¥10,479,701.83 for the current period, contributing to a total comprehensive income of ¥11,362,407.57[67]. - The company experienced a decrease in net profit compared to the previous year, with a reported figure of CNY 11,277,206.31 for the current period[74]. Revenue and Cost Analysis - The company achieved a gross profit of RMB 32.89 million in the textile machinery segment, an increase of 2.21% from RMB 32.18 million year-on-year[18]. - The textile machinery segment's revenue increased by 7.47% to RMB 123.66 million, compared to RMB 115.06 million in the previous year[18]. - The plastic machinery segment's revenue decreased by 8.47% to RMB 82.39 million, down from RMB 90.01 million year-on-year[18]. - The main business revenue from hemp textile products was 108.71 million yuan, a decrease of 3.27% compared to 112.39 million yuan in the same period last year[19]. - The main business cost was 89.69 million yuan, down 5.81% from 95.22 million yuan year-on-year, resulting in a gross profit of 19.02 million yuan, an increase of 10.77% from 17.17 million yuan[19]. - Total operating revenue for the current period is ¥513,517,152.07, a decrease of 2.3% from ¥526,125,840.59 in the previous period[53]. - Total operating costs decreased to ¥497,701,304.79 from ¥510,990,846.46, reflecting a reduction of 2.6%[53]. Research and Development - The company invested 12.85 million yuan in R&D, a slight increase of 2.14% from 12.58 million yuan in the previous year[22]. - The company has made significant improvements in the key technology of new flax wet spinning machines, enhancing reliability and stability[17]. - The company is investing 100 million RMB in technology upgrades to enhance production efficiency, expected to reduce costs by 10%[121]. - Research and development expenses have increased to 50 million RMB, focusing on innovative textile technologies[121]. Market and Sales - Domestic sales revenue increased by 22.05%, while foreign sales revenue decreased by 25.46%[27]. - The company has seen an increase in orders for new products such as flax knitted yarn and flax fabrics compared to the previous year[17]. - The company plans to expand its market presence by entering two new provinces in the next quarter, aiming for a 15% increase in market share[121]. - The company is exploring partnerships with international brands to enhance product offerings and expand distribution channels[121]. Assets and Liabilities - As of June 30, 2014, the total assets of Zhejiang Jinying Co., Ltd. amounted to CNY 1,777,723,659.78, a decrease from CNY 1,838,987,324.55 at the beginning of the year, representing a decline of approximately 3.6%[45][47]. - The company's current assets totaled CNY 1,295,859,423.89, down from CNY 1,344,100,397.25, indicating a decrease of about 3.6%[45]. - Total liabilities decreased to CNY 598,186,414.92 from CNY 641,635,003.74, a reduction of about 6.7%[47]. - The company's equity totaled CNY 1,179,537,244.86, down from CNY 1,197,352,320.81, indicating a decrease of approximately 1.5%[47]. Shareholder Information - Zhejiang Jinying Group holds 46.87% of the shares, totaling 170,952,293 shares, with 167,000,000 shares pledged[38]. - The company distributed a cash dividend of 0.8 RMB per 10 shares, totaling 29,177,483.52 RMB for the 2013 fiscal year[32]. - There were no changes in the total number of shares or shareholding structure during the reporting period[36]. Compliance and Governance - The board of directors consists of 9 members, including 3 independent directors, meeting regulatory requirements[35]. - The company has no non-public fundraising investment projects during the reporting period[31]. - There were changes in the board members due to the passing of a director and subsequent elections[43]. Taxation and Subsidies - The company benefits from a 25% corporate income tax rate, with certain subsidiaries enjoying tax exemptions[115][116]. - The company received government subsidies totaling CNY 2,206,999.17, an increase from CNY 1,149,818.11 in the previous period, contributing positively to non-operating income[196]. Accounting Policies - The financial statements are prepared based on the going concern assumption and comply with the requirements of enterprise accounting standards[81]. - There are no changes in accounting policies or estimates reported for the current period[114]. - The company has confirmed that there are no prior accounting errors requiring restatement[114].