EBEM(SH:603002)2016-08-24 16:00Financial Performance - The company's operating revenue for the first half of 2016 was ¥434,303,040.20, a decrease of 10.63% compared to ¥485,933,734.84 in the same period last year[17]. - The net profit attributable to shareholders for the first half of 2016 was ¥16,742,393.66, down 41.92% from ¥28,824,003.47 in the previous year[17]. - Basic earnings per share for the first half of 2016 were ¥0.03, a decrease of 57.14% compared to ¥0.07 in the same period last year[19]. - The weighted average return on net assets was 1.7%, down 1.34 percentage points from 3.04% in the previous year[19]. - The company reported a total of CNY 1,192,162,212.33 in current assets, slightly up from CNY 1,169,243,860.64, marking an increase of about 2.0%[82]. - The company recorded a decrease in total profit to ¥18,785,634.98, compared to ¥31,437,975.69 in the previous year, representing a decline of 40.5%[92]. Cash Flow and Liquidity - The net cash flow from operating activities improved significantly to ¥11,273,772.48, compared to a negative cash flow of ¥58,982,736.67 in the same period last year, representing a 119.11% increase[17]. - The company's cash and cash equivalents increased to CNY 531,188,250.25 from CNY 426,425,063.99, representing a growth of about 24.6%[82]. - The net cash flow from financing activities was ¥24,877,264.47, compared to a negative cash flow of ¥2,610,649.77 in the previous period, showing a turnaround in financing activities[98]. - The company reported a comprehensive income total of ¥16,828,115.69 for the period, reflecting the overall profitability and financial health[101]. Assets and Liabilities - The total assets at the end of the reporting period were ¥1,362,516,849.93, an increase of 1.36% from ¥1,344,219,026.02 at the end of the previous year[17]. - Total liabilities were CNY 356,768,835.92, slightly up from CNY 346,575,770.81 year-on-year[88]. - The company's equity attributable to shareholders increased to CNY 1,006,995,651.68 from CNY 979,370,741.39, reflecting a growth of approximately 2.6%[84]. Revenue Sources and Operating Costs - The main revenue sources were flame-retardant epoxy resin and liquid epoxy resin, contributing 62.86% and 20.28% to total revenue, respectively[27]. - Operating costs decreased by 9.44% to RMB 385.54 million, primarily due to a drop in raw material prices[26]. - The gross margin for the epoxy resin segment was 11.08%, down 1.14 percentage points year-on-year[28]. Shareholder Information - The company distributed a cash dividend of RMB 0.52 per share, totaling RMB 31,926,008.40, which is 51.31% of the net profit attributable to shareholders for 2015[41]. - As of the end of the reporting period, the total number of shareholders reached 42,032[65]. - The total number of shares increased from 600,000,000 to 613,961,700 due to the issuance of new restricted shares[61]. Investment and Projects - The company has committed RMB 280,389,731.48 to the Zhuhai electronic high-tech chemical project, with RMB 40,205,106.90 invested in the current period[37]. - The construction of the Zhuhai project is over 80% complete, with 95% of static equipment installation finished[38]. - The company has engaged in various wealth management products, with expected returns ranging from 1.99% to 5.8% across different investments[36]. Accounting Policies and Compliance - The company’s accounting policies comply with the requirements of the enterprise accounting standards, reflecting its financial status and operating results accurately[124]. - The company's functional currency for accounting purposes is RMB[127]. - The consolidated financial statements include all subsidiaries controlled by the company, reflecting the overall financial position, operating results, and cash flows of the entire corporate group[130]. Risk Management and Impairment - The company assesses the carrying amount of financial assets for impairment at the balance sheet date, recognizing impairment losses if there is objective evidence of impairment[146]. - The company applies impairment testing for investments in subsidiaries, joint ventures, and associates when there is objective evidence of impairment[165]. Research and Development - Research and development expenses increased by 3.23% to RMB 7.89 million, reflecting a focus on product innovation[26]. - Internal research and development costs during the research phase are expensed as incurred, while development phase costs can be capitalized if certain criteria are met[174].