JULI INC.(SZ:002342)2018-08-09 16:00Financial Performance - The company's operating revenue for the first half of 2018 was ¥772,120,089.13, representing a 6.34% increase compared to ¥726,112,221.64 in the same period last year[17]. - The net profit attributable to shareholders was ¥13,145,952.42, a decrease of 34.74% from ¥20,145,309.22 year-on-year[17]. - The net profit after deducting non-recurring gains and losses was ¥6,011,989.18, down 35.72% from ¥9,353,263.94 in the previous year[17]. - The net cash flow from operating activities increased by 128.56% to ¥16,748,852.73, compared to ¥7,327,856.98 in the same period last year[17]. - The total assets at the end of the reporting period were ¥4,003,055,059.91, a decrease of 2.57% from ¥4,108,452,825.73 at the end of the previous year[17]. - The net assets attributable to shareholders increased by 0.56% to ¥2,410,546,666.20 from ¥2,397,124,726.87 at the end of the previous year[17]. - The operating cost increased by 8.67% to 630.64 million RMB compared to the previous year[50]. - The company reported a significant increase of 262.17% in construction in progress, amounting to 88.36 million RMB, indicating ongoing project development[50]. - The company reported a net profit distribution of CNY 3,840,000.00 to shareholders, which is a significant aspect of its profit allocation strategy[169]. Research and Development - The company holds 170 patents, including 24 invention patents and 153 utility model patents, demonstrating its strong R&D capabilities[25]. - Research and development investment rose by 19.91% to 36.61 million RMB, reflecting the company's commitment to innovation[50]. - The company has obtained 90 patent authorizations, including 11 invention patents, and has participated in drafting 21 national and industry standards[31]. - The company has a dedicated technology research and development center recognized as a national-level technology center, contributing to its technological advantages[31]. - The company successfully launched the largest diameter galvanized-5% aluminum rare earth alloy sealed steel wire rope in China, marking a significant technological achievement[44]. Market Presence and Sales - The company has established over 100 branches domestically and a sales network in more than 100 countries and regions globally[26]. - The company has established a marketing service network covering seven major markets, including Europe, America, Australia, Japan, South Korea, and Southeast Asia[38]. - The company’s strategic customers and key customers account for approximately 70% of total product sales, indicating a strong customer base[38]. - Domestic sales reached CNY 658,691,068.88, making up 85.31% of total revenue, with a year-on-year increase of 9.34%[52]. - The engineering and metal rigging segment saw a revenue increase of 13.40% to CNY 346,023,639.28, with a gross profit margin of 21.30%[54]. Environmental and Regulatory Compliance - The company has implemented pollution prevention facilities and completed the installation of four overall welding fume purification devices, which are now operating normally[101]. - The company is classified as a key pollutant discharge unit and has reported emissions of 14.18 tons/year of sulfur dioxide and 32.57 tons/year of nitrogen oxides, all within regulatory limits[100]. - The company has completed the environmental impact assessment for all construction projects in compliance with relevant laws and regulations, receiving approval for the assessment report[104]. - The company has established an emergency response plan for sudden environmental pollution incidents, aiming to minimize environmental damage and financial losses[103]. Financial Position and Assets - The total current assets as of June 30, 2018, amounted to CNY 2,245,950,688.09, a decrease from CNY 2,337,671,299.70 at the beginning of the period, representing a decline of approximately 3.9%[130]. - The company's cash and cash equivalents decreased to CNY 352,819,859.38 from CNY 548,577,637.85, reflecting a significant drop of about 35.6%[130]. - Total liabilities decreased to CNY 1,592,508,393.71 from CNY 1,711,328,098.86, showing a reduction of about 6.9%[132]. - The company's total equity rose to ¥2,441,828,079.96 from ¥2,429,134,627.55, an increase of 0.5%[137]. - Short-term borrowings decreased to CNY 580,000,000.00 from CNY 750,000,000.00, a reduction of approximately 22.7%[132]. Corporate Governance and Structure - The company has established a corporate governance structure including a shareholders' meeting, board of directors, and supervisory board, with various operational departments[182]. - The financial statements are consolidated, including all subsidiaries, with no changes in the scope of consolidation during the reporting period[185]. - The financial report was approved by the company's board on August 9, 2018, reflecting the financial status as of June 30, 2018[184]. Challenges and Future Outlook - The company faced multiple challenges including domestic and international market conditions, raw material price fluctuations, and environmental pressures, which are expected to impact performance[70]. - The company plans to strengthen strategic cooperation with key participants in the "Belt and Road" initiative and enhance efforts in new product development to ensure stable profitability[70]. - The company aims to achieve profitability in 2018 to avoid delisting risks, as it reported a net loss in 2017[72].