FOET(SZ:300173)2018-08-29 16:00Financial Performance - The total revenue for the first half of 2018 was ¥185,445,108.13, a decrease of 25.69% compared to the same period last year[7]. - The operating profit for the same period was ¥36,307,466.00, down 25.94% year-on-year[7]. - The net profit attributable to shareholders was ¥31,073,181.58, reflecting a decline of 38.61% compared to the previous year[8]. - The total profit for the first half of 2018 was ¥36,310,480.32, a decrease of 42.74% compared to the same period last year[7]. - Net profit attributable to shareholders was ¥31,073,181.58, down 38.61% year-on-year[24]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion RMB for the first half of 2018, representing a year-on-year growth of 20%[86]. - The company reported a total of 167,545.00 CNY in owner contributions during the current period[183]. - The total comprehensive income for the current period was 30,928,521.11 CNY, reflecting a decrease of 144,660.00 CNY compared to the previous period[180]. Cash Flow and Assets - Operating cash flow net amount reached ¥64,422,843.64, a significant increase of 459.15% compared to the previous year[24]. - The company's total assets increased by 8.46% to ¥2,839,669,603.36 compared to the end of the previous year[24]. - The company's net assets attributable to shareholders increased by 0.80% to ¥1,700,282,498.83[24]. - The ending cash and cash equivalents balance was ¥275,657,750.42, a decrease from ¥583,976,899.07 in the previous period[175]. - The total assets amount to CNY 2,164,665,325.12, an increase of 5.6% from CNY 2,049,915,649.91 in the previous period[168]. - The company's total liabilities amount to CNY 743,723,886.63, an increase of 7.4% from CNY 692,718,825.23 in the previous period[168]. Inventory and Receivables - The accounts receivable balance as of June 30, 2018, was ¥592,680,680.87, indicating a high proportion of current assets[9]. - The company’s accounts receivable increased to ¥592,680,680.87, up 5.92% from the previous year, indicating potential cash flow risks[53]. - Inventory increased by 45.88%, mainly due to unrecognized revenue from goods shipped[36]. - The company is experiencing a risk of liquidity shortage due to high inventory levels and low asset turnover rates[78]. Market and Industry Outlook - The domestic smartphone market saw a shipment volume of 196 million units in the first half of 2018, a year-on-year decrease of 17.8%[6]. - The company faces risks related to the slowdown in market demand for smartphones, which may impact business development and revenue growth[6]. - The company maintains a positive outlook on the 3C consumer electronics industry, anticipating growth driven by technological innovations and the adoption of 5G[47]. - The company provided a positive outlook for the second half of 2018, projecting a revenue growth of 25% year-on-year, driven by new product launches and market expansion strategies[88]. Research and Development - The company has applied for 220 national patents and has 27 invention patents pending[38]. - The company is investing heavily in R&D, allocating 10% of its revenue to develop new technologies and improve existing product lines[86]. - Investment in R&D increased by 30% compared to the previous year, focusing on innovative technologies and product development[92]. Strategic Initiatives - The company is undergoing a product structure adjustment, which has led to a higher proportion of inventory and increased working capital requirements[10]. - The company is actively expanding its industrial park and has signed contracts for land use rights for new projects, which will enhance overall competitiveness[46]. - A strategic acquisition was announced, with the company acquiring a competitor for 500 million RMB, aimed at enhancing its technological capabilities and market presence[88]. - The company is in the process of a major asset restructuring, planning to acquire 80% stakes in Shenzhen Desen Precision Equipment Co., Ltd. and Beijing Huamao Weiye Precision Electronics Co., Ltd. through a combination of issuing shares and cash payments[124]. Shareholder and Equity Information - The company distributed cash dividends of 0.3 RMB per 10 shares to all shareholders based on the total share capital as of the dividend distribution date[129]. - The total number of shares before the recent changes was 586,180,503, with a reduction of 71,988,980 shares in limited sale conditions, resulting in 198,814,225 shares remaining[136]. - The largest shareholder, Guo Jingsong, holds 21.21% of shares, totaling 124,323,826 shares[143]. - The total number of common shareholders at the end of the reporting period is 19,426[142]. Compliance and Governance - The semi-annual financial report was not audited[96]. - The company has committed to covering any tax liabilities and related expenses due to the tax rate adjustment[94]. - The company has not reported any significant litigation or arbitration matters during the reporting period[99]. - The company is committed to transparency and compliance in its financial reporting and disclosures[116].