CANNY(SZ:002367)2014-04-22 16:00Financial Performance - The company's operating revenue for Q1 2014 was ¥517,815,267.53, representing a 21.49% increase compared to ¥426,211,715.42 in the same period last year[8]. - Net profit attributable to shareholders was ¥58,950,345.62, up 37.53% from ¥42,864,561.12 year-on-year[8]. - The net profit after deducting non-recurring gains and losses was ¥53,740,532.25, reflecting a 21.44% increase from ¥44,253,101.07 in the previous year[8]. - Basic earnings per share increased by 40.56% to ¥0.0797 from ¥0.0567 year-on-year[8]. - The net profit attributable to shareholders for the first half of 2014 is expected to increase by 20% to 40%, ranging from 131.60 million to 153.54 million yuan[21]. Cash Flow and Assets - The net cash flow from operating activities improved to -¥63,141,219.00, a 51.65% reduction in loss compared to -¥130,588,017.32 in the same period last year[8]. - Total assets at the end of the reporting period were ¥2,917,809,793.10, a decrease of 1.98% from ¥2,976,706,848.06 at the end of the previous year[8]. - The net assets attributable to shareholders decreased by 2.81% to ¥1,676,357,668.73 from ¥1,724,787,015.22 at the end of the previous year[8]. - Cash and cash equivalents at the end of the period decreased by 32.48% compared to the beginning of the period, mainly due to cash dividend distribution[19]. Operational Changes - The company reported a 34.41% increase in prepaid accounts, primarily due to increased advance payments for materials to lock in prices[16]. - The construction in progress increased by 45.49%, attributed to investments in the testing tower and component industrial park[16]. - The company issued a total of 80,730,000 yuan in notes payable, reflecting the use of bank acceptance bills for settling part of the goods and construction payments[16]. Expense Increases - Operating tax and additional fees increased by 41.86% year-on-year, mainly due to the increase in value-added tax paid by the company[17]. - Sales expenses rose by 69.15% year-on-year, primarily due to the expansion of the marketing network and sales scale, leading to increased personnel and costs[17]. - Management expenses increased by 33.10% year-on-year, mainly due to rising R&D costs and employee compensation[17]. - Financial expenses increased by 43.56% year-on-year, primarily due to a decrease in deposit interest[17]. Investment and Cash Flow - Investment income doubled year-on-year, primarily due to returns from purchased financial products[17]. - Operating cash flow net increased by 51.65% year-on-year, mainly due to increased cash received from sales and government subsidies related to revenue[19]. - Cash flow from investment activities increased by 49.51% year-on-year, mainly due to the recovery of financial products exceeding new investments by 20 million yuan[19]. Order Growth - The company has effective orders of 2.889 billion yuan as of March 31, 2014, with a year-on-year order growth of over 30%[23].