CPEC(SH:600339)2015-07-30 16:00Financial Performance - The company's operating revenue for the first half of 2015 was CNY 851.03 million, a decrease of 33.81% compared to CNY 1,285.71 million in the same period last year[17]. - The net profit attributable to shareholders of the listed company was a loss of CNY 210.22 million, a decline of 306.47% compared to a loss of CNY 51.72 million in the previous year[22]. - The company's operating revenue decreased by 33.81% year-on-year, amounting to ¥851,032,433.74 compared to ¥1,285,705,685.80 in the previous year[24]. - The company reported a net loss of CNY 244,817,591.81 for the first half of 2015, compared to a loss of CNY 65,584,319.82 in the previous year[73]. - The net profit for the first half of 2015 was a loss of approximately ¥235.88 million, compared to a loss of ¥59.94 million in the same period last year, indicating a significant increase in losses[74]. - The total comprehensive income for the first half of 2015 was a loss of approximately ¥235.88 million, compared to a loss of ¥59.94 million in the same period last year[74]. - The company's total equity decreased to CNY 815,742,781.77 from CNY 1,097,865,219.29, a decline of 25.7%[72]. - The company reported a significant change in inventory levels, which may impact future operational strategies and cash flow management[68]. Cash Flow and Investments - The net cash flow from operating activities was CNY 258.28 million, an increase of 198.05% compared to CNY 86.66 million in the same period last year[17]. - The cash flow from operating activities generated a net cash inflow of approximately ¥258.28 million, an increase from ¥86.66 million in the same period last year[80]. - The company achieved investment income of approximately ¥6.15 million, an increase from ¥4.04 million in the same period last year, indicating improved performance in investments[77]. - The company reported a cash dividend of RMB 1,048,855.46 from its investment in Kunlun Bank[184]. - The net cash flow from investing activities was negative CNY 3,536,852.27, an improvement from negative CNY 64,182,326.16 in the same period last year[84]. Assets and Liabilities - The company's total assets decreased by 4.18% to CNY 3,769.34 million from CNY 3,933.85 million at the end of the previous year[17]. - Total assets as of June 30, 2015, amounted to CNY 3,769,337,392.63, a decrease from CNY 3,933,850,489.70 at the beginning of the period[67]. - Current assets totaled CNY 426,476,678.78, down from CNY 506,020,836.84 at the start of the period, indicating a decline of approximately 15.7%[67]. - Total liabilities increased to CNY 2,355,219,970.09, up from CNY 2,252,769,161.22, representing a rise of 4.5%[71]. - The company's total equity attributable to the parent company at the end of the period is CNY 1,201,754,889.54, showing a decrease of CNY 59,833,439.56 compared to the previous period[91]. Production and Sales - The company reported a decrease in production and sales of key chemical products such as acetone, MTBE, and polypropylene due to a sluggish downstream market[22]. - Sales revenue from the Xinjiang region decreased by 52.62%, while revenue from outside Xinjiang decreased by 21.07%[32]. - The sales prices of key products such as acetone and MTBE fell by nearly 30%-40% compared to the previous year[30]. - Revenue from sales of goods and services was CNY 717,089,244.86, a decline of 15.0% compared to CNY 843,371,907.76 in the previous year[83]. Cost Management and Efficiency - The company plans to continue cost reduction and efficiency enhancement projects in the second half of the year to lower energy consumption and compress expenses[22]. - The gross margin for industrial products decreased by 10.27 percentage points, reflecting weak market demand and declining sales prices[30]. - Total operating costs amounted to CNY 1,101,995,998.49, down 18.7% from CNY 1,355,326,465.13 year-on-year[73]. Shareholder and Corporate Governance - The largest shareholder, Xinjiang Dushanzi Tianli Industrial Co., Ltd., held 121,271,388 shares, accounting for 20.98% of the total shares, with 10,647,576 shares pledged[58]. - The company strictly adheres to the requirements of the Company Law and the Securities Law, enhancing its internal control system and fulfilling information disclosure obligations[53]. - The company has made long-term commitments to avoid business competition with its major shareholders[57]. - The total number of shares and the capital structure of the company remained unchanged during the reporting period[55]. Research and Development - The company's R&D expenditure increased by 36.19%, reaching ¥1,222,286.81 compared to ¥897,458.82 in the previous year, due to new R&D projects[24]. Impairment and Financial Strain - The asset impairment loss increased by 107.51%, amounting to ¥71,242,246.82, attributed to lower net realizable values of certain products[27]. - The company reported an asset impairment loss of approximately ¥169.85 million for the first half of 2015, compared to ¥41.46 million in the same period last year, reflecting increased financial strain[76]. Related Party Transactions - The company has reported a significant reliance on related party transactions, with a total of 864,127.55 RMB in related transactions during the reporting period[48]. - The company has a 71.36% stake in Xinjiang Tianhong Industrial Co., Ltd. and a 55.00% stake in Xinjiang Lande Fine Petrochemical Co., Ltd.[38]. Accounting Policies and Compliance - The company has not experienced any changes in its accounting policies or significant prior period error corrections during the reporting period[54]. - The company has not appointed or dismissed any accounting firms during the reporting period[52]. - There were no penalties or rectifications for the company or its major stakeholders during the reporting period[52].