Routon(SH:600355)2015-08-28 16:00Financial Performance - The company's operating revenue for the first half of 2015 was CNY 196,041,474.89, representing a 0.64% increase compared to CNY 194,799,307.14 in the same period last year[21]. - The net profit attributable to shareholders for the first half of 2015 was a loss of CNY 53,662,991.04, compared to a loss of CNY 3,075,910.73 in the previous year[21]. - The net cash flow from operating activities was a negative CNY 10,519,106.65, an improvement from a negative CNY 16,702,644.30 in the same period last year[21]. - The total assets as of June 30, 2015, were CNY 595,694,264.73, an increase of 8.17% from CNY 550,694,329.87 at the end of the previous year[21]. - The net assets attributable to shareholders increased by 3.88% to CNY 434,919,630.72 from CNY 418,671,472.76 at the end of the previous year[21]. - The basic earnings per share for the first half of 2015 was -CNY 0.22, compared to -CNY 0.01 in the same period last year[22]. - The weighted average return on net assets was -12.57% for the first half of 2015, a significant decline from -0.74% in the previous year[22]. - The company reported a total undistributed profit of -CNY 249,512,843.80 as of June 30, 2015[5]. - The company reported a total net profit of -249,512,843.80 RMB as of June 30, 2015, indicating ongoing financial challenges[51]. - The company reported a net loss of CNY -53,662,991.04, compared to a net loss of CNY -3,075,910.73 in the same period last year, reflecting a significant increase in losses[85]. - The total comprehensive loss for the period was CNY -53,662,991.04, compared to CNY -3,075,910.73 in the previous year, reflecting a substantial increase in overall losses[86]. Revenue and Costs - Operating costs increased by 1.22% to ¥140,808,961.55, while sales expenses decreased by 35.23% to ¥10,528,068.24[30]. - The company achieved operating revenue of ¥196,041,474.89, remaining flat compared to the previous year, primarily due to overcoming economic downturn pressures[28]. - Revenue from commercial terminal product 1 was 110,513,387.07 RMB, with a gross margin of 29.88%, showing a revenue increase of 123.38% compared to the previous year[41]. - Revenue from servo control products decreased by 31.83%, with a gross margin of 20.04%, reflecting a decline of 2.82 percentage points year-over-year[41]. - Domestic revenue was 188,139,992.98 RMB, representing a decrease of 1.73% compared to the previous year[44]. Cash Flow and Financing - The net cash flow from operating activities improved by 37.02%, reaching -¥10,519,106.65, compared to -¥16,702,644.30 in the previous year[30]. - Cash and cash equivalents increased by 53.00% to ¥55,475,864.61, mainly due to new short-term borrowings[38]. - The net cash flow from investing activities decreased by 56.06%, from -3,242,365.89 RMB to -1,424,745.98 RMB, mainly due to reduced cash payments for fixed asset purchases[39]. - The net cash flow from financing activities increased significantly by 410.02%, from 3,733,388.34 RMB to 19,041,133.33 RMB, primarily due to new bank loans[39]. - Cash inflow from financing activities was CNY 20,000,000.00, significantly up from CNY 5,000,000.00 in the previous period[92]. - Net cash flow from financing activities increased to CNY 19,041,133.33 from CNY 3,733,388.34 in the previous period[92]. Shareholder Information - The total number of shareholders reached 20,719 by the end of the reporting period[61]. - Shareholder Zhang Xueyang reduced his holdings by 6,820,000 shares, holding a total of 37,000,000 shares, representing 15.04% of the total[63]. - The company has not experienced any changes in its total share capital or share structure during the reporting period[59]. - The company plans to convert its capital reserve into share capital, with a proposal to increase the total share capital from 246,044,600 shares to 492,089,200 shares[5]. - The company has implemented a stock incentive plan for senior management and key personnel, with 6.82 million shares allocated as part of the equity division reform plan[54]. Assets and Liabilities - Total current assets increased to CNY 413,722,204.11 from CNY 370,233,949.82, representing an increase of approximately 11.5%[77]. - Total liabilities rose to CNY 161,960,666.50 from CNY 133,208,889.60, an increase of approximately 21.5%[78]. - The company's total assets reached CNY 595,694,264.73, up from CNY 550,694,329.87, indicating a growth of about 8.2%[79]. - The total liabilities amounted to CNY 155,410,945.71, up from CNY 84,486,174.05, indicating a growth of approximately 83.8%[83]. - Owner's equity totaled CNY 438,263,098.19, a slight increase from CNY 423,693,041.13, showing a growth of about 3.5%[83]. Management and Governance - The company has renewed the appointment of Zhonghuan Haihua Accounting Firm for the 2015 financial report audit[55]. - There were no significant related party transactions during the reporting period[54]. - The company has revised its governance structure to comply with regulatory requirements, including updates to its articles of association and shareholder meeting rules[56]. - The financial statements were audited and found to fairly reflect the financial position of Jinglun Electronics as of June 30, 2015[74]. Investment and Development - The company plans to extend its product line into industrial and commercial human-machine interaction terminals and other Internet+ businesses[35]. - The company has a history of capital increases, with the latest being a conversion of capital reserves to equity totaling 12,302.23 million[105]. - The company is engaged in the research, manufacturing, and sales of electronic and communication equipment, indicating a focus on technology and innovation[107]. - The company has plans for market expansion and new product development in the electronic and automation sectors[107]. Accounting Policies - The financial statements are prepared based on the principle of going concern, in accordance with the revised accounting standards issued by the Ministry of Finance in 2014[115]. - The accounting policies and estimates comply with the requirements of the enterprise accounting standards, reflecting the company's financial position and operating results accurately[116]. - The company adopts the equity method for mergers under common control and the purchase method for mergers not under common control[120][122]. - The company recognizes inventory when economic benefits are likely to flow in and costs can be reliably measured[166].