BL(SZ:002592)2018-08-29 16:00Financial Performance - The company's operating revenue for the first half of 2018 was ¥373,014,120.73, a decrease of 10.60% compared to ¥417,223,255.94 in the same period last year[16]. - The net profit attributable to shareholders of the listed company was ¥10,708,943.73, down 86.39% from ¥78,710,549.02 in the previous year[16]. - The net profit after deducting non-recurring gains and losses was ¥6,623,077.81, a decline of 91.23% compared to ¥75,549,514.13 in the same period last year[16]. - Basic earnings per share decreased by 85.71% to ¥0.04 from ¥0.28 in the same period last year[16]. - Diluted earnings per share also fell by 85.71% to ¥0.04 from ¥0.28 in the previous year[16]. - The weighted average return on net assets was 0.50%, down 3.25% from 3.75% in the previous year[16]. - The company reported a net profit for the first half of 2018 was CNY -2,116.27 million, a significant decrease of 180.09% compared to the previous year[44]. - The average gross profit margin for the reporting period was 8.81%, down 6.21 percentage points from the previous year, primarily due to high production costs and a decrease in new product revenue contribution[92]. Cash Flow and Assets - The net cash flow from operating activities increased by 190.09% to ¥45,300,394.79 from ¥15,615,787.91 in the previous year[16]. - The total assets at the end of the reporting period were ¥2,505,929,409.28, a decrease of 2.67% from ¥2,574,739,121.76 at the end of the previous year[16]. - The net assets attributable to shareholders of the listed company were ¥2,075,833,724.91, down 2.82% from ¥2,136,106,450.45 at the end of the previous year[16]. - The company's cash and cash equivalents increased significantly from CNY 86,215,112.97 to CNY 532,450,201.14, an increase of over 517%[188]. - The company's total revenue for the first half of 2018 was CNY 373,014,120.73, a decrease of 10.60% compared to CNY 417,223,255.94 in the same period last year[45]. Investment and R&D - The company invested 1,106.90 million CNY in R&D, resulting in the development of 121 new products, with 26 of them already in mass production[39]. - The company has developed proprietary CAD software for radiator unit design, enhancing its innovation capabilities in the automotive heat management sector[30]. - The company has invested in various enterprises, including automotive parts and new materials, to enhance its operational diversification and reduce reliance on the automotive industry[26]. - Research and development expenses increased by 23.63% to CNY 11,069,021.04, indicating a focus on innovation despite overall revenue decline[46]. Market and Operational Challenges - The automotive sector accounted for 81.22% of total revenue, with a revenue of CNY 302,945,581.27, reflecting a decline of 16.48% year-on-year[48]. - The sales volume of automotive warm air heaters decreased by 33.27%, leading to a revenue drop of 38.71%, which is a reduction of 3,684.48 million CNY[37]. - The company faces risks from a slowing automotive industry and plans to expand its customer base and diversify into new materials, gaming, and cultural businesses[98]. - The company is focusing on developing module matching businesses to ensure steady growth amid market challenges[99]. - The company faces risks from intensified market competition and price declines, as domestic automotive companies engage in price wars to expand market share[100]. Strategic Initiatives and Future Plans - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company plans to utilize the remaining funds for new investment projects while ensuring risk control based on previous project experiences[74]. - The company plans to terminate the construction of the aluminum radiator production line with an annual capacity of 700,000 units due to a slowdown in the domestic automotive industry, reallocating the remaining funds to the injection molding project[80]. - The company is actively seeking to expand its customer base and explore new markets to reduce reliance on major clients[103]. - The company plans to reassess the feasibility of the "Impression: Shajiabang" project due to unsatisfactory performance of the "Gone with the Dinosaurs" project, which may lead to significant changes in investment scale, construction time, and economic benefits[75]. Environmental and Regulatory Compliance - The company is classified as a key pollutant discharge unit by environmental protection authorities[143]. - The chemical oxygen demand discharge was 128.28 kg, well below the limit of 1.38 tons[143]. - The company has passed the ISO 14001 environmental management system certification and the OHSAS 18001:2007 occupational health and safety management system certification, with no environmental pollution incidents reported to date[152]. Shareholder and Corporate Governance - The company has implemented three employee stock ownership plans, collectively purchasing 27,033,044 shares, accounting for 9.55% of the total share capital[119]. - The company has not distributed cash dividends or bonus shares for the half-year period, indicating a focus on reinvestment[110]. - The company has not experienced any major litigation or arbitration matters during the reporting period[115]. - The company has not faced any penalties or rectification issues during the reporting period[116].