ENC(SH:603869)2018-10-19 16:00Financial Performance - Operating revenue for the first nine months reached CNY 1,998,649,907.39, a growth of 22.26% year-on-year[6] - Net profit attributable to shareholders increased by 50.25% to CNY 287,350,883.16 for the first nine months[6] - Basic earnings per share improved by 49.09% to CNY 0.82[6] - The company predicts a cumulative net profit growth of 35% to 45% for the year, driven by the expansion of smart policing and industry cognitive solutions[17] - Net profit for Q3 2018 was ¥154,618,216.60, representing a 45% increase from ¥106,728,867.42 in Q3 2017[31] - The total comprehensive income for Q3 2018 was ¥154,618,216.60, compared to ¥106,728,867.42 in Q3 2017, showing a 45% increase[32] Assets and Liabilities - Total assets increased by 8.01% to CNY 6,649,965,546.87 compared to the end of the previous year[6] - Total current assets increased to CNY 4,059,359,984.35 from CNY 3,334,940,765.05, representing a growth of approximately 21.7%[21] - Total non-current assets decreased to CNY 2,590,605,562.52 from CNY 2,821,798,228.36, a decline of about 8.2%[22] - Total liabilities increased to CNY 2,782,116,430.21 from CNY 2,370,283,798.69, indicating a rise of approximately 17.3%[23] - The total equity attributable to shareholders rose to CNY 3,795,520,870.58 from CNY 3,665,890,418.38, an increase of about 3.5%[23] Cash Flow - Cash flow from operating activities showed a reduction in outflow, improving by 37.22% to CNY -143,331,000.04[6] - The cash flow from operating activities improved, with a reduction in accounts receivable as a percentage of revenue, showing enhanced sales collection capabilities[14] - The cash flow from operating activities for the first nine months of 2018 was ¥2,986,780,792.19, compared to ¥1,359,185,069.41 in the same period last year, showing an increase of about 119.9%[38] - The net cash flow from operating activities for the first nine months of 2018 was -97,579,794.50 RMB, an improvement from -110,621,419.36 RMB in the same period last year[42] - Cash inflow from investing activities reached 241,178,871.33 RMB, compared to 69,793,759.99 RMB in the previous year, marking an increase of approximately 245.5%[42] Shareholder Information - The total number of shareholders reached 17,406 by the end of the reporting period[9] - The largest shareholder, Xin'ao Energy Supply Chain Co., Ltd., holds 34.96% of the shares, amounting to 121,959,360 shares[9] Research and Development - Research and development expenses increased by 57.44% to ¥70,883,358.05, as the company intensified investment in new product development[13] - The company reported a significant increase in R&D expenses, which reached ¥23,092,022.77 in Q3 2018, up from ¥9,647,958.07 in Q3 2017, indicating a 139.5% increase[30] Investment Activities - Investment income surged by 694.93% to ¥29,172,928.85, mainly from increased earnings from joint ventures and equity sales[14] - The company achieved investment income of ¥30,310,998.47 in Q3 2018, compared to ¥20,209,026.07 in the same period last year, reflecting an increase of approximately 50.4%[36] Operational Metrics - Cash and cash equivalents decreased by 37.08% to ¥683,411,399.89 compared to the end of last year, primarily due to increased operational expenses and the use of raised funds[12] - Inventory rose by 45.41% to ¥591,654,740.70, reflecting increased procurement of raw materials due to the growth in industry cognitive solutions business[12] - Total operating costs for Q3 2018 were ¥661,441,461.87, up 11.1% from ¥594,893,497.40 in Q3 2017[30]