SHGBIT(SH:603918)2017-10-29 16:00Financial Performance - Operating revenue for the first nine months rose by 5.86% to CNY 365,360,295.75 year-on-year[5] - Net profit attributable to shareholders increased by 47.63% to CNY 6,209,362.86 for the first nine months[5] - The net profit after deducting non-recurring gains and losses surged by 704.93% to CNY 6,203,712.71 compared to the same period last year[5] - Basic earnings per share rose by 71.22% to CNY 0.0351[7] - The total profit increased by 72.50% to ¥8.49 million, reflecting improved project completions compared to the previous year[20] - Net profit rose by 47.63% to ¥6.21 million, driven by a 5.86% increase in operating revenue and a gross margin improvement of 2.41 percentage points to 28.82%[20] - Net profit attributable to shareholders for Q3 2017 was ¥5,210,801.47, up 36.0% from ¥3,833,048.38 in Q3 2016[37] - The company’s total comprehensive income for the period was CNY 3,092,551.67, down from CNY 3,402,784.86, indicating a decline of approximately 9.1%[41] Assets and Liabilities - Total assets increased by 8.93% to CNY 877,365,609.78 compared to the end of the previous year[5] - Total liabilities increased to ¥398,535,253.10 from ¥323,732,270.02, reflecting a growth of about 23.1%[29] - Current assets decreased to ¥662,976,102.97 from ¥704,863,710.95, a decline of about 5.9%[28] - Non-current assets totaled ¥214,389,506.81, up from ¥100,551,869.70, indicating a growth of approximately 112.5%[28] - Total cash and cash equivalents at the end of the period stood at CNY 137,410,494.60, down from CNY 197,894,953.70, a decrease of about 30.5%[44] Cash Flow - The company reported a net cash flow from operating activities of CNY -79,450,431.52 for the first nine months[5] - Cash inflow from operating activities totaled $422,746,632.18, an increase of 8.2% from $390,626,659.89 in the previous year[46] - Cash outflow from operating activities was $507,826,566.21, up from $459,542,700.96, resulting in a net cash flow from operating activities of -$85,079,934.03[46] - The net cash flow from investing activities was negative at ¥115.93 million, largely due to equity investments in Hangmei Media Group and Xiaoyu Youdao[22] - Financing activities generated a net cash inflow of CNY 34,331,831.16, compared to a net outflow of CNY -4,882,746.11 in the same period last year, showing a positive turnaround[44] Shareholder Information - The total number of shareholders reached 20,177 by the end of the reporting period[10] - The largest shareholder, Jin Guopei, holds 29.69% of the shares, with 52,656,000 shares pledged[10] Operational Challenges - The company reported a significant increase in asset impairment losses, up 444.58% to ¥6.47 million, due to an increase in overdue receivables[19] - The company is involved in a lawsuit regarding its investment in Hangmei Media Group, which may impact future capital allocation[23] - The company has not disclosed any new product or technology developments in this report[5] Inventory and Expenses - Inventory increased by 102.40% to ¥175.33 million, attributed to ongoing engineering projects and increased raw material reserves[12] - Other payables surged by 282.75% to ¥28.58 million, mainly due to the implementation of stock incentive plans[15] - The company paid CNY 354,430,266.42 for goods and services, which is an increase from CNY 311,286,370.11, reflecting a rise of about 13.9%[43]