TCEPC(SH:600874)2018-08-28 16:00Financial Performance - The company's operating revenue for the first half of 2018 was RMB 110,779.8 million, representing a 12.28% increase compared to RMB 98,663.5 million in the same period last year[17]. - The net profit attributable to shareholders for the first half of 2018 was RMB 28,256.5 million, a 10.78% increase from RMB 25,505.8 million year-on-year[17]. - The net cash flow from operating activities was RMB 33,799.0 million, up 4.27% from RMB 32,413.5 million in the previous year[17]. - The total assets at the end of the reporting period reached RMB 1,403,480.0 million, a 12.70% increase from RMB 1,245,289.0 million at the end of the previous year[17]. - The net assets attributable to shareholders increased to RMB 558,450.9 million, reflecting a 9.14% growth from RMB 511,704.0 million at the end of the previous year[17]. - The basic earnings per share for the first half of 2018 was RMB 0.20, an increase of 11.11% compared to RMB 0.18 in the same period last year[18]. - The company reported a total of RMB 2,325.6 million in non-recurring gains and losses during the reporting period[19]. - The company achieved a revenue of 1,107.8 million yuan in the first half of 2018, representing a 12.28% increase year-on-year[27]. - The net profit attributable to the parent company was 282.6 million yuan, up 10.78% compared to the same period last year, mainly due to increased revenue from sewage treatment and reclaimed water connection services[27]. - The sewage treatment and sewage plant construction business generated revenue of 748.0 million yuan, a 7.93% increase year-on-year, with a total sewage treatment volume of 57.5 million cubic meters, up 7.5%[27]. - Revenue from reclaimed water business surged by 50.83% to 149.0 million yuan, attributed to the new revenue recognition standards[27]. Investments and Projects - The company added three new PPP model wastewater treatment projects with a total scale of 128,000 tons/day and 498.1 kilometers of pipeline[21]. - The company expanded its energy service area by 250,000 square meters in the electric heating business[21]. - The company invested a total of 21,963.12 million in external equity investments, an increase of approximately 7,096 million compared to the same period last year, mainly in new projects in the water business sector[36]. - The company approved an investment of 8,400 million to increase capital in Fuyang Company for the construction of a PPP project for sewage treatment in Jieshou City[37]. - The company plans to invest 11,163.12 million to establish a project company for the construction and operation of a sewage treatment plant in Honghu City, holding 85% equity[39]. - The total investment for the upgrade and expansion of the Tianjin sewage treatment plants is approximately 1,298 million, with 162.39 million invested during the reporting period[40]. Risk Management - The company is facing potential risks including government credit risk, policy change risk, and operational management risk due to the nature of wastewater treatment projects[45][46]. - The company has implemented risk management measures, including legal protections and enhanced operational management to mitigate potential risks[47]. - The company received approval for a non-public offering of up to 285,445,686 new shares, but was unable to complete the issuance within the specified timeframe due to market conditions[48]. - The company plans to maintain its production and operational activities without significant impact despite the failure to complete the stock issuance[48]. Environmental Impact - The company operates 26 wastewater treatment projects, each with one discharge outlet, adhering to the Class A and Class B standards of the "Discharge Standard of Pollutants for Municipal Wastewater Treatment Plants" (GB18918-2002)[65]. - During the reporting period, the company discharged approximately 13,700 tons of COD, 3,600 tons of BOD, 3,900 tons of SS, 700 tons of total nitrogen, 60 tons of ammonia nitrogen, and 20 tons of total phosphorus, contributing significantly to environmental pollution reduction[67]. - The company achieved a cumulative reduction of approximately 189,200 tons of COD, 85,400 tons of BOD, 97,600 tons of SS, 20,600 tons of total nitrogen, 20,100 tons of ammonia nitrogen, and 7,800 tons of total phosphorus in the first half of the year[67]. - The company is currently upgrading the Xianyang Road wastewater treatment plant to comply with the new discharge standards effective from January 1, 2018, with completion expected by April 2019[69]. - The company has established an emergency response plan for sudden environmental incidents, which has been approved by the local environmental protection bureau[71]. - All operational wastewater treatment projects have passed the necessary environmental impact assessments and received approvals from environmental authorities[70]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 102,128, including 64 H-share shareholders[79]. - The largest shareholder, Tianjin Municipal Investment Co., Ltd., holds 715,565,186 shares, representing 50.14% of the total shares[81]. - HKSCC NOMINEES LIMITED is the second largest shareholder with 337,832,900 shares, accounting for 23.67%[81]. - The total number of shares held by the top ten shareholders includes significant stakes from state-owned entities[82]. - The company has not experienced any changes in its bond trustee or credit rating agency during the reporting period[91]. - The report indicates that there are no related party relationships among the top ten shareholders[82]. Financial Position - The current ratio improved to 2.61, a 99.24% increase compared to the previous year, while the quick ratio rose to 2.57, a 96.18% increase[97]. - The debt-to-asset ratio decreased to 55.35%, down 2.09% from the previous year, indicating an increase in total assets[97]. - The company maintained a loan repayment rate of 100% during the reporting period[97]. - The total credit line from various banks amounted to approximately RMB 7.101 billion, with RMB 1.471 billion utilized and RMB 5.630 billion remaining[100]. - The company reported no overdue debts during the reporting period[98]. - The company’s total liabilities increased to RMB 7.768 billion, up from RMB 6.777 billion at the end of the previous year[106]. - The company’s net assets increased to RMB 5.584 billion, reflecting a growth from RMB 5.285 billion at the end of the previous year[106]. - Total assets increased to RMB 10,785,167 thousand, up from RMB 9,474,580 thousand, representing a growth of approximately 13.8%[109]. Accounting and Compliance - The financial statements were approved by the board of directors on August 28, 2018, ensuring compliance and governance[139]. - The financial statements are prepared based on the "Enterprise Accounting Standards" and comply with the disclosure requirements of the China Securities Regulatory Commission[141]. - The financial report reflects the company's financial position and operating results for the six months ending June 30, 2018, accurately and completely[145]. - The company has not made any significant changes in accounting policies or prior period error corrections during this reporting period[129]. Employee and Social Responsibility - The company is involved in poverty alleviation efforts, having paid RMB 100,000 as initial support for designated assistance in Tianjin's Wuqing District[63]. - The company contributes to the local social basic pension insurance based on the local regulations, ensuring that employees receive social pensions upon retirement[197].