HLGF(SH:600346)2015-07-21 16:00Financial Performance - The company achieved operating revenue of CNY 404.30 million in the first half of 2015, representing a year-on-year increase of 4.85% compared to CNY 385.60 million in the same period last year[18]. - The net profit attributable to shareholders was a loss of CNY 125.25 million, a decrease of CNY 36.84 million compared to the loss of CNY 88.41 million in the previous year[21]. - The company's gross profit margin declined, contributing to the overall loss in operating performance[21]. - Operating cash flow net amount was CNY 9.84 million, a significant decrease of 89.82% from CNY 96.70 million in the previous year[23]. - The company achieved a total operating revenue of CNY 403.55 million, a decrease of 5.27% compared to the previous year[30]. - The gross profit margin for the main business was 9.96%, down by 5.56 percentage points year-on-year[30]. - Domestic revenue decreased by 10.34% to CNY 186.41 million, while international revenue increased by 23.76% to CNY 217.13 million[33]. - The company reported a significant increase in asset impairment losses, which rose by 195.71% to CNY 32.61 million[26]. - The company set a sales revenue target of CNY 1.2 billion for 2015, achieving only 33.7% of this target by mid-year[29]. - The company reported a net loss of CNY 120,956,129.34 for the first half of 2015, compared to a loss of CNY 85,667,073.28 in the previous year[78]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 3.01 billion, a slight increase of 0.32% from CNY 3.00 billion at the end of the previous year[18]. - The company's net assets attributable to shareholders decreased by 20.69% to CNY 525.20 million from CNY 662.24 million at the end of the previous year[18]. - The company's operating costs increased by 12.17% to CNY 363.49 million, compared to CNY 324.05 million in the same period last year[23]. - The total liabilities reached RMB 2,402,696,577.51, up from RMB 2,251,142,870.61, reflecting an increase in financial obligations[72]. - The company's total equity was CNY 672,505,332.01, down from CNY 748,288,545.08 at the start of the year, reflecting a decrease of 10.1%[77]. - The company's total liabilities amounted to CNY 1,730,605,376.59, an increase of 8.0% from CNY 1,602,264,591.97 at the beginning of the year[76]. Cash Flow and Investments - Cash received from investment recoveries increased by 200% to CNY 150 million, primarily due to the maturity of financial products[26]. - The company’s financial activities showed a net cash outflow from financing activities, primarily due to increased borrowing from major shareholders[25]. - The company reported a net cash flow from operating activities of -12,114,158.21 RMB, a significant decrease compared to 72,539,715.95 RMB in the previous period[89]. - The total cash inflow from financing activities was 453,603,488.58 RMB, down from 741,134,457.59 RMB in the prior period[91]. - The company received 1,650,000.00 RMB from investment income, a decrease from 2,041,126.30 RMB in the previous period[89]. Shareholder Information - The total number of shares increased to 667,786,842 after a capital reserve conversion of 13 shares for every 10 shares held, effective July 14, 2015[58]. - The total number of shareholders reached 22,285 by the end of the reporting period[61]. - A total of 49,342,105 shares were released from restrictions on February 12, 2015, following a non-public offering[60]. - The company reported a shareholder contribution of CNY 49,342,105.00 during the current period, which contributed to the overall capital increase[102]. Governance and Compliance - The company confirmed compliance with corporate governance standards as per the Company Law and relevant regulations[55]. - The financial statements were approved by the board of directors on July 20, 2015, ensuring compliance with accounting standards[107]. - The company has not experienced any changes in its controlling shareholder or actual controller during the reporting period[64]. - The company has not proposed any profit distribution or capital reserve transfer plans for the reporting period[46]. Research and Development - Research and development expenses were CNY 13.92 million, a slight decrease of 2.06% from CNY 14.21 million in the previous year[23]. - Research and development expenses increased due to changes in personnel and salary adjustments[25]. Financial Management - The company has not reported any overdue principal or interest from entrusted financial management, indicating effective management of financial products[39]. - The company has confirmed that all financial products purchased were approved by the board and independent directors[39]. - The company has not made any changes to the planned use of raised funds during the reporting period[41]. Inventory and Assets Management - The company reported inventory of RMB 651,978,293.90, compared to RMB 613,092,691.14 at the beginning of the period[70]. - The company uses a perpetual inventory system for inventory management[152]. - Inventory is classified into finished goods, work in progress, and raw materials, among others[148]. Impairment and Losses - The company reported an increase in asset impairment losses to approximately ¥22.11 million, compared to ¥4.75 million in the previous year[82]. - Long-term asset impairment is assessed based on the recoverable amount, which is the higher of fair value less costs to sell and the present value of expected future cash flows[184]. - Impairment losses on long-term assets are recognized in the current period and cannot be reversed in future periods[185].