*ST和科(002816) - 2018 Q2 - 季度财报

Financial Performance - The company's operating revenue for the first half of 2018 was ¥156,893,546.04, a decrease of 2.93% compared to ¥161,627,984.66 in the same period last year[17]. - The net profit attributable to shareholders was ¥7,083,344.87, down 16.36% from ¥8,468,834.70 year-on-year[17]. - The net profit after deducting non-recurring gains and losses was ¥5,392,380.56, representing a decline of 22.09% compared to ¥6,921,528.84 in the previous year[17]. - The basic earnings per share decreased to ¥0.0708, down 16.41% from ¥0.0847 in the same period last year[17]. - The company's main business involves the research, design, production, and sales of precision cleaning equipment, with applications across various industries including consumer electronics, automotive parts, and semiconductors[25]. - The company's revenue for the reporting period was approximately ¥156.89 million, a decrease of 2.93% compared to ¥161.63 million in the same period last year[35]. - The company's operating costs increased by 1.17% to ¥109.08 million from ¥107.82 million year-on-year[35]. - The gross profit margin for the main business was 30.47%, with a slight decrease from the previous year[40]. - The company reported a significant reduction in financial expenses by 82.57%, primarily due to decreased interest expenses on bank loans[35]. Cash Flow and Assets - The net cash flow from operating activities improved significantly to ¥28,963,166.55, compared to a negative cash flow of ¥30,031,472.86 in the same period last year, marking a 196.44% increase[17]. - Cash and cash equivalents decreased by 15.34% to ¥65,076,880.75, while inventory increased by 3.94% to ¥195,730,672.09[44]. - Total assets at the end of the reporting period were ¥742,496,684.02, an increase of 3.60% from ¥716,730,060.13 at the end of the previous year[17]. - The net assets attributable to shareholders at the end of the reporting period were ¥527,977,401.43, up 0.86% from ¥523,494,056.56 at the end of the previous year[17]. - The company experienced a 35.57% decrease in cash and cash equivalents compared to the beginning of the year, mainly due to the purchase of financial products with idle raised funds[28]. Investment and Projects - The total amount of raised funds was ¥17,239.00 million, with ¥1,176.57 million invested during the reporting period[51]. - The company has invested RMB 8.64 million in the flat panel cleaning equipment production project, achieving a progress of 49.19% by September 30, 2018[54]. - The ultrasonic cleaning equipment expansion project has received RMB 0.27 million in investment, with a progress of 12.45% as of September 30, 2018[54]. - A total of RMB 3 million of idle raised funds was temporarily used to supplement working capital, which was fully returned to the special account by June 30, 2018[55]. - The company has invested a total of RMB 11.76 million in various projects, with a cumulative investment of RMB 66.34 million as of the report date[54]. Market and Competition - The company maintains a strong competitive edge through its technological capabilities and a comprehensive cleaning solution offering, which includes pure water equipment and wastewater treatment[30]. - The company is a leading manufacturer of precision cleaning equipment in China, facing intensified market competition due to increasing demand and technological advancements[67]. - The company is focused on expanding its market presence and enhancing its product offerings to meet the evolving needs of its customers[63]. Risks and Challenges - The company anticipates fluctuations in operating performance due to the impact of downstream customer demand on its business operations[65]. - The company is facing risks related to a slowdown in fixed asset investment from downstream customers, which could lead to a decrease in orders and a potential decline in performance[66]. - Risks include potential bad debts from accounts receivable if downstream customers experience performance declines or increased competition[68]. - The company faces challenges in maintaining product quality due to the highly customized nature of its equipment, which is tailored to specific customer production processes[69]. - Rising labor costs due to structural shortages in the labor market may negatively impact the company's product competitiveness[72]. Shareholder and Equity Information - The total number of shareholders at the end of the reporting period was 13,549, with significant shareholders including Qin Youtan holding 12,427,200 shares (12.43%) and Long Xiaoming holding 11,666,470 shares (11.67%)[110]. - The report indicates that there were no changes in the controlling shareholder or actual controller during the reporting period[112]. - The company reported an increase in limited sale shares due to the addition of 50,000 shares from a departing employee, bringing the total to 1,963,812 shares[108]. - The company maintains a strong position with a total of 100,000,000 shares outstanding, ensuring stability in its capital structure[106]. Financial Reporting and Compliance - The semi-annual financial report for 2018 was not audited[78]. - The financial statements are prepared based on the going concern principle and comply with the relevant accounting standards issued by the Ministry of Finance[162]. - There are no significant doubts regarding the company's ability to continue as a going concern for the next 12 months from the reporting period[163]. - The company did not engage in any significant related party transactions during the reporting period[84].