THEC(BJ:833509)2023-08-24 16:00Financial Performance - The company's operating revenue for the first half of 2023 was ¥76,356,934.30, a decrease of 7.56% compared to ¥82,597,702.57 in the same period last year[24]. - The net profit attributable to shareholders decreased by 29.26% to ¥16,467,649.71, down from ¥23,278,326.03 in the previous year[25]. - The net profit after deducting non-recurring gains and losses was ¥15,880,936.96, a decline of 18.46% compared to ¥19,476,038.67 last year[25]. - Basic earnings per share decreased by 28.57% to ¥0.10, compared to ¥0.14 in the same period last year[25]. - The company's net profit for the period was CNY 16,451,840.66, a decrease of 29.01% from CNY 23,175,665.18 in the previous year[46]. - The comprehensive income for the first half of 2023 is CNY 16,467,649.71, compared to CNY 23,278,326.03 in the same period of 2022, indicating a decrease of about 29.2%[128]. - The company reported a profit distribution of CNY -32,624,434.20 for the first half of 2023, which is a decline from CNY -29,736,871.92 in the first half of 2022[131]. Profitability Metrics - The gross profit margin improved to 58.87%, up from 53.48% year-on-year[25]. - The weighted average return on equity based on net profit attributable to shareholders was 4.96%, down from 7.63% in the previous year[25]. - The company's main business revenue decreased by 8.50% to ¥75,560,927.13 compared to the previous period, while other business revenue surged by 3815.59% to ¥796,007.17[49]. - The gross profit margin for component parameter testing instruments was 68.85%, with a slight decrease of 7.08% in revenue, indicating a shift towards higher-end product sales[51]. Cash Flow and Liquidity - Operating cash flow increased by 835.06% to CNY 11,970,869.26 compared to the same period last year[27]. - The company's cash and cash equivalents decreased by 25.77% to CNY 61,375,180.76 from CNY 82,684,602.12 at the end of the previous year[41]. - The company's cash flow from operating activities was positively impacted by an increase in cash received from sales, which rose to ¥88,057,314.20 in H1 2023 from ¥75,631,854.79 in H1 2022, marking an increase of about 16.3%[121]. - The net cash flow from financing activities was negative at -¥32,660,434.20 in H1 2023, worsening from -¥29,772,871.92 in H1 2022, indicating increased financial outflows[122]. Research and Development - Research and development expenses increased by 37.54% to CNY 10,867,177.96, compared to CNY 7,900,995.87 in the same period last year[45]. - The company plans to enhance R&D and market expansion efforts to adapt to market demands[36]. - The company is focused on enhancing its core competitiveness through increased R&D investment and collaboration with universities in the electronic measurement instrument industry[67]. Assets and Liabilities - Total assets decreased by 7.04% to CNY 372,908,104.47 compared to the previous year[26]. - Total liabilities decreased by 22.87% to CNY 56,638,092.12 compared to the previous year[26]. - The company's net asset per share decreased by 35.55% to CNY 1.94 compared to the previous year[26]. - The total liabilities and equity at the end of the first half of 2023 is CNY 316,270,012.35, which shows a stable financial position compared to previous periods[132]. Shareholder Information - The company approved a stock incentive plan on September 22, 2022, granting 3.005 million restricted shares to 80 core employees, with 2.545 million shares initially granted[72][74]. - The total number of ordinary shares increased to 163,122,171, with a total of 54,374,057 shares issued during the period[78]. - The company has not engaged in any significant related party transactions during the reporting period[71]. - The company reported a significant increase in major shareholders, with Zhao Haohua increasing his holdings from 13,457,400 shares to 20,186,100 shares, representing a 49.9% increase[80]. Market and Competitive Landscape - The electronic measurement instrument market in China is projected to grow from CNY 346.7 billion in 2022 to CNY 422.9 billion by 2025[37]. - The company faces risks from increased market competition, particularly from domestic companies entering the electronic measurement instrument sector[66]. - The company is addressing the risk of reliance on imported semiconductor chips by accelerating the development of domestic alternatives[66]. Compliance and Governance - The company has passed certifications for occupational health and safety, environmental management, and energy management systems, laying a solid foundation for formal development[3]. - The company has not reported any significant errors in prior periods that would affect the current financial statements[138]. - The company has not experienced any changes in its chairman, general manager, or financial director during the reporting period[93]. Employee and Compensation - The company emphasizes the importance of maintaining employee rights and has not reduced salaries or laid off staff during challenging economic conditions[64]. - The average salary for key positions in the company is around 60,000, reflecting a stable compensation structure[97]. - The company aims to optimize its long-term incentive mechanisms to attract and retain talent, enhancing core employee engagement[103].