CREAT(SZ:002350)2017-08-29 16:00Financial Performance - The company's operating revenue for the reporting period was ¥889,062,953.39, representing a 21.90% increase compared to the same period last year[18]. - The net profit attributable to shareholders decreased by 23.24% to ¥13,851,427.20, while the net profit excluding non-recurring gains and losses fell by 32.91% to ¥11,235,485.03[18]. - The net cash flow from operating activities was negative at ¥-155,978,283.46, a decline of 201.19% compared to the previous year[18]. - Total assets increased by 12.44% to ¥2,639,447,690.17, while net assets attributable to shareholders decreased slightly by 0.39% to ¥1,151,491,698.86[18]. - The gross margin was 24.44%, a decrease of 0.36 percentage points year-on-year[43]. - The company achieved operating revenue of 889.06 million yuan, a year-on-year growth of 21.90%[43]. - The net profit reached 1,880.00 million, representing a year-on-year increase of 3.59%[50]. - The company reported a total profit of approximately ¥22.61 million, down 13.5% from ¥26.11 million in the same period last year[176]. - The net profit attributable to the parent company was approximately ¥13.85 million, a decrease of 23.9% from ¥18.05 million in the previous year[177]. Investments and Capital Structure - The company made significant investments in equity assets, with a 374.05% increase in long-term equity investments, including a ¥20 million investment in Henan Guokong Keri Energy Management Co., Ltd.[29]. - The company plans to raise funds through a public offering, aiming to enhance production capabilities and reduce financial risks[49]. - The company issued new shares, increasing its capital stock to ¥387,005,000.00, which is 14.66% of total assets, up by 3.98% due to capital reserve conversion and stock incentive plans[61]. - The total registered capital increased to RMB 227,650,000, with a capital contribution of RMB 110,940,800 from the incentive plan participants[115]. - The company reported a total of 387,005,000 yuan in special reserves at the end of the period[195]. Research and Development - The company has a strong R&D capability, with a focus on continuous innovation in power distribution technology, maintaining a higher R&D investment than the industry average[32]. - Research and development expenses rose by 34.38% to ¥43,163,007.31, reflecting the company's commitment to innovation[51]. - The company is actively involved in the development and sales of energy-saving technologies and equipment, indicating a strategic focus on renewable energy solutions[66]. - The company reported a significant investment in research and development for new energy technologies, aiming to stay competitive in the evolving market[66]. Market Strategy and Operations - The report includes a detailed discussion of the company's operational performance and future outlook[5]. - The company is focused on developing new technologies and products in the distribution automation sector[11]. - The company is focusing on expanding into the power distribution and smart energy management sectors, leveraging its established resources and partnerships with grid companies and local governments[28]. - The company aims to strengthen its leading supplier position in the distribution network equipment sector and expand into new business areas[42]. - The company has established several joint ventures and partnerships to expand its market presence in energy management services[48]. Risk Management - The company emphasizes the importance of risk factors and their management strategies in the report[5]. - The company faces risks from increasing industry competition, particularly in the power distribution and control equipment sector, which may affect its market position if it fails to innovate[97]. - Customer concentration risk is present, with major clients being State Grid Corporation and Southern Power Grid, which could impact operations if procurement strategies change[98]. - There is a risk associated with technological updates and product development, as maintaining innovation is crucial for sustaining competitive advantage[100]. Corporate Governance and Compliance - The financial report ensures the accuracy and completeness of the information provided by the board and management[4]. - The report highlights the company's commitment to transparency and legal responsibility regarding the financial statements[4]. - The company has not engaged in any significant asset sales during the reporting period[74]. - The company has not undergone any bankruptcy reorganization during the reporting period[109]. - The company has not issued any non-standard audit reports during the previous year[109]. Shareholder Information - The company reported a basic earnings per share of 0.0373 yuan, a year-on-year decrease of 23.25%[145]. - The diluted earnings per share was 0.0358 yuan, down 26.34% year-on-year[145]. - The total number of ordinary shareholders at the end of the reporting period was 49,704[152]. - The company has a total of 139,663,005 shares pledged by Beijing Keri Northern Technology Development Co., Ltd.[152]. Environmental and Social Responsibility - The company and its subsidiaries are not classified as key pollutant discharge units by environmental protection authorities[133]. - The company has not yet initiated targeted poverty alleviation efforts and has no subsequent plans for such initiatives[132].