阳光乳业(001318) - 2025 Q2 - 季度财报

Part I Important Notes, Table of Contents, and Definitions This section provides important disclaimers, the report's detailed table of contents, and definitions of key terms for clarity Important Notes The Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, including the financial statements - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report content[4] - The company's responsible person, chief accountant, and accounting department head declare the truthfulness, accuracy, and completeness of the financial report[4] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[5] Table of Contents This section lists the detailed table of contents, covering nine major chapters from company profile and financial indicators to corporate governance and financial reports - The report's table of contents includes nine major chapters, covering comprehensive information on company operations, finance, governance, and significant matters[8][9][10] Definitions This section defines and explains key terms used in the report, such as the company, controlling shareholder, actual controller, major subsidiaries, and reporting period, ensuring clear understanding - "Company" or "the Company" refers to Jiangxi Sunshine Dairy Co., Ltd[16] - "Reporting Period" refers to January 1, 2025, to June 30, 2025[16] - Names of the company's controlling shareholder, actual controller, and major subsidiaries are listed[16] Part II Company Profile and Key Financial Indicators This section introduces the company's basic information, contact details, and presents key accounting data and financial indicators for the reporting period 1. Company Profile Jiangxi Sunshine Dairy Co., Ltd., stock code 001318, is listed on the Shenzhen Stock Exchange, with Hu Xiaoyun as its legal representative - Company stock abbreviation: Sunshine Dairy, stock code: 001318[18] - The company is listed on the Shenzhen Stock Exchange, with Hu Xiaoyun as its legal representative[18] 2. Contacts and Contact Information This section provides detailed contact information for the company's Board Secretary Yang Faxing and Securities Affairs Representative Tu Jianqin - Board Secretary is Yang Faxing, and Securities Affairs Representative is Tu Jianqin[19] - Contact address is No. 1 Daishan East Road, Qingyunpu District, Nanchang City, Jiangxi Province[19] 3. Other Information The company's contact information, information disclosure, and document storage locations remained unchanged during the reporting period, referring to the 2024 annual report for details - The company's registered address, office address, website, and email address remained unchanged during the reporting period[20] - The company discloses its semi-annual report on the Shenzhen Stock Exchange website (http://www.szse.cn) and through Securities Times and Juchao Information Network (http://www.cninfo.com.cn)[21](index=21&type=chunk) 4. Key Accounting Data and Financial Indicators In the first half of 2025, the company's operating revenue decreased by 7.03% to CNY 237 million, while net profit attributable to shareholders increased by 8.27% to CNY 59.82 million 2025 Semi-Annual Key Accounting Data and Financial Indicators | Indicator | Current Reporting Period (CNY) | Prior Year Period (CNY) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 236,565,707.48 | 254,465,867.30 | -7.03% | | Net Profit Attributable to Shareholders of Listed Company | 59,819,462.68 | 55,250,583.61 | 8.27% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains and Losses) | 60,042,834.57 | 59,463,934.93 | 0.97% | | Net Cash Flow from Operating Activities | 58,650,007.78 | 60,184,878.15 | -2.55% | | Basic Earnings Per Share (CNY/share) | 0.2116 | 0.1955 | 8.24% | | Diluted Earnings Per Share (CNY/share) | 0.2116 | 0.1955 | 8.24% | | Weighted Average Return on Net Assets | 4.17% | 3.92% | 0.25% | | Indicator | End of Current Reporting Period (CNY) | End of Prior Year (CNY) | Change from Prior Year End (%) | | Total Assets | 1,484,377,190.76 | 1,488,952,832.62 | -0.31% | | Net Assets Attributable to Shareholders of Listed Company | 1,414,364,876.99 | 1,405,451,999.56 | 0.63% | 5. Differences in Accounting Data under Domestic and Overseas Accounting Standards The company reported no differences in net profit and net assets between international or overseas accounting standards and Chinese accounting standards during the reporting period - The company reported no differences in accounting data under domestic and overseas accounting standards during the reporting period[24][25] 6. Non-Recurring Gains and Losses and Amounts During the reporting period, the company's total non-recurring gains and losses amounted to -CNY 223,371.89, primarily due to losses from disposal of non-current assets, government grants, and other non-operating income and expenses 2025 Semi-Annual Non-Recurring Gains and Losses and Amounts | Item | Amount (CNY) | Explanation | | :--- | :--- | :--- | | Gains/Losses from Disposal of Non-Current Assets | -1,691,396.82 | Losses from disposal and elimination of biological assets by the company | | Government Grants Included in Current Profit/Loss | 1,731,088.86 | Government grants received by the company | | Other Non-Operating Income and Expenses Apart from the Above | -17,573.11 | Other expenses | | Less: Income Tax Impact | 241,048.73 | | | Minority Interest Impact (After Tax) | 4,442.09 | | | Total | -223,371.89 | | - The company has no other profit/loss items that meet the definition of non-recurring gains and losses, nor does it classify non-recurring gains and losses as recurring profit/loss items[28] Part III Management Discussion and Analysis This section provides an in-depth analysis of the company's business operations, financial performance, core competitiveness, and risk factors during the reporting period 1. Main Business Activities of the Company During the Reporting Period The company primarily engages in R&D, production, and sales of liquid milk and milk-containing beverages, focusing on low-temperature products and a "door-to-door delivery" sales channel - The company's main business involves the R&D, production, and sales of liquid milk, milk-containing beverages, and other products, with low-temperature dairy products as its core offerings[38] - The company has established a "door-to-door milk delivery" differentiated sales channel, covering the Jiangxi market and radiating to surrounding provinces and cities[38] - In the first half of 2025, the company achieved operating revenue of CNY 237 million, a year-on-year decrease of 7.03%; net profit attributable to shareholders of the listed company was CNY 60 million, a year-on-year increase of 8.27%[46] (I) Industry Development Status China's dairy industry is highly concentrated with significant growth potential, despite facing short-term pressures, driven by quality improvement, product innovation, and increasing low-temperature milk demand - China's dairy industry exhibits a "two giants, many strong players" competitive landscape, with per capita consumption significantly lower than the world average, indicating substantial future growth potential[31][37] - Industry development trends include quality enhancement, product innovation, and sustainable development, with rapidly growing demand for low-temperature milk[33][34][35] - Since 2024, the dairy industry has faced overall pressure, with declining revenue and production/sales volumes, but the long-term consumption growth trend remains unchanged[36][37] (II) Company's Main Business and Products The company specializes in R&D, production, and sales of liquid milk and milk-containing beverages, with low-temperature dairy products as its core, primarily packaged in glass bottles - The company's main business includes liquid milk, milk-containing beverages, etc., with primary products covering low-temperature dairy products, low-temperature milk beverages, room-temperature dairy products, and room-temperature milk beverages[38] - Low-temperature products are the company's core offerings, with glass bottle packaging being the primary form[38] - The company owns "Sunshine" and "Tian Tian Sunshine" as its two core trademarks, with its market centered in Jiangxi and radiating to surrounding provinces such as Hunan and Anhui[38] (III) Business Model The company's business model integrates procurement, production, and sales, featuring "production based on sales" for fresh products and a distribution-led sales approach with door-to-door delivery - Procurement Model: Raw milk supply is secured through annual contracts, while other materials are purchased based on monthly plans, with suppliers undergoing strict evaluation[41] - Production Model: Low-temperature products strictly follow a "production based on sales" approach to ensure freshness, while room-temperature products primarily adopt "production based on sales, supplemented by inventory adjustment"[42] - Sales Model: Primarily a distribution model (door-to-door delivery, specialty stores, distributors), supplemented by direct sales (malls, supermarkets, schools, etc.)[43] (IV) Company's Position in the Industry As a regional dairy enterprise with 69 years of history and a "China Time-Honored Brand" title, the company holds significant influence and a strong reputation in Jiangxi and central China - The company boasts a 69-year history and has been recognized as a "China Time-Honored Brand" enterprise[44] - The company's sales channel, primarily door-to-door milk delivery, has established a good reputation and brand image among consumers[44] - The company has developed into one of the influential dairy enterprises and brands in the central region[44] (V) Main Competitive Advantages and Performance Drivers This section refers to the "Core Competitiveness Analysis" for a detailed discussion of the company's competitive advantages and performance drivers - The company's competitive advantages and main performance drivers are detailed in "Section II, Core Competitiveness Analysis" of this report[46] (I) Company's Operating Status In the first half of 2025, the company's operating revenue was CNY 237 million, a 7.03% year-on-year decrease, while net profit attributable to shareholders increased by 8.27% to CNY 60 million 2025 Semi-Annual Company Operating Status | Indicator | Amount (CNY 100M) | YoY Change (%) | | :--- | :--- | :--- | | Operating Revenue | 2.37 | -7.03% | | Net Profit Attributable to Shareholders of Listed Company | 0.60 | 8.27% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains and Losses) | 0.60 | 0.97% | (II) Company's Production and Operation License Status The company and its subsidiaries hold various production and operation licenses, including food production, raw milk acquisition, and animal epidemic prevention, ensuring legal compliance - The company holds a food production license, with permitted categories including liquid milk, protein beverages, other beverages, and milk powder[47] - The company possesses raw milk acquisition licenses and raw milk transportation permits, ensuring milk source supply and transportation[48] - Subsidiaries Changshan Pasture and Jiamu Agriculture hold animal epidemic prevention qualification certificates, with a business scope of dairy cattle farming[50] Brand Operation Status The company operates with "Sunshine" and "Tian Tian Sunshine" as core brands, offering diverse dairy products, holding "China Time-Honored Brand" status, and continuously innovating with new products - The company owns "Sunshine" and "Tian Tian Sunshine" as its two core brands, along with multiple sub-brands such as "Huahao Pasture" and "Baikal Lake"[51] - The company has been recognized as a "China Time-Honored Brand" enterprise and has received multiple honors, including "Top 50 Agricultural Products in Jiangxi Province" and "National High-Tech Enterprise"[52][53] - In 2024, new products such as A2-β Casein Concentrated Milk and Old Nanchang Osmanthus Rice Wine Yogurt were launched and received accolades[53] Main Sales Models The company's sales are primarily driven by distribution (82.27%), with both distribution and direct sales experiencing declines in the first half of 2025, while low-temperature dairy products' gross margin increased - The company's sales models are divided into distribution and direct sales, with the distribution model being the primary sales channel, accounting for 82.27%[54][57] 2025 January-June Sales Model Revenue and Gross Margin | Sales Model | Operating Revenue (CNY) | Revenue Share | Growth Rate (%) | Operating Cost (CNY) | Gross Margin (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Distribution Model | 194,617,649.16 | 82.27% | -6.03% | 116,339,765.51 | 40.22% | | Direct Sales Model | 41,945,110.97 | 17.73% | -11.40% | 25,907,521.16 | 38.23% | | Main Business Revenue | 236,562,760.13 | 100.00% | -7.03% | 142,247,286.67 | 39.87% | - The number of distributors increased to 1,905 at the end of the period, with the Nanchang region contributing 56.95% of distribution revenue[59][61] - The gross margin of low-temperature dairy products increased by 3.57 percentage points year-on-year to 46.28%[60] Procurement Model and Content The company's procurement model combines "purchase based on production" with safety stock, primarily sourcing raw materials, fuel, and power, with raw materials accounting for the largest expenditure at CNY 119 million - The procurement model combines "purchase based on production" with safety stock[64] Major Procurement Content Amounts | Procurement Content | Amount (CNY) | | :--- | :--- | | Power | 1,964,949.88 | | Fuel | 5,603,788.40 | | Raw Materials | 119,019,167.20 | Main Production Models The company employs a "production based on sales" model, strictly controlling inventory for low-temperature products and adjusting for room-temperature products, with detailed process flows provided for various milk types - The company adopts a "production based on sales" model, strictly controlling inventory for low-temperature products and appropriately adjusting inventory for room-temperature products[64] - The report provides detailed production process flowcharts for pasteurized milk, sterilized milk, flavored milk, and fermented milk[66][68][70] 2025 January-June Main Product Production, Sales, and Inventory | Product Category | Item | Unit | 2025 Jan-Jun | 2024 Jan-Jun | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Room-Temperature Dairy Products | Inventory | tons | 118.01 | 46.96 | 151.30% | | Low-Temperature Milk Beverages | Inventory | tons | 4.70 | 8.89 | -47.13% | | Milk Powder | Sales Volume | tons | 32.33 | 1.74 | 1758.05% | | Milk Powder | Production Volume | tons | 32.33 | 1.74 | 1758.05% | - The company's designed capacity and actual capacity are both 78,000 tons, with ongoing capacity expansion primarily from fundraising projects[78] Main Components of Operating Costs Main business costs constitute 100% of operating costs, primarily driven by direct materials, direct labor, and manufacturing expenses, with direct materials being the largest component - Main business costs account for 100% of operating costs, and the composition of operating costs remains stable[72][75] 2025 January-June Main Business Cost Composition by Product Category | Category | Item | Amount (CNY) | Share | | :--- | :--- | :--- | :--- | | Low-Temperature Dairy Products | Direct Materials | 67,692,601.24 | 68.71% | | Low-Temperature Dairy Products | Subtotal | 98,521,516.56 | 100.00% | | Room-Temperature Dairy Products | Direct Materials | 16,920,647.53 | 70.56% | | Room-Temperature Dairy Products | Subtotal | 23,980,921.41 | 100.00% | | Total | Direct Materials | 95,906,793.65 | 67.42% | | Total | Subtotal | 142,247,286.67 | 100.00% | 2. Core Competitiveness Analysis The company's core competitiveness stems from its differentiated sales channels, robust cold chain logistics, unique product structure, reliable quality, strong regional brand, stable milk sources, and experienced management team - The company possesses differentiated sales channels, primarily door-to-door milk delivery, fostering high customer loyalty and covering Jiangxi and surrounding provinces[79] - The company has established a cold chain logistics system covering urban areas of Jiangxi Province, ensuring the quality and timeliness of low-temperature products[80] - The company focuses on "low-temperature, fresh" products, such as low-temperature dairy products and milk beverages, with glass bottle packaging creating a differentiated competitive advantage[81][82] - With a 69-year history, the company has been awarded the "China Time-Honored Brand" title, enjoying high recognition and market reputation within Jiangxi Province[84] - The company owns its milk source bases and cooperates with controlled milk source bases, ensuring high-quality and stable milk supply[85] - The company's core management team and key technical personnel remain stable, providing support for sustainable development[86] - In the first half of 2025, the company's core competitiveness did not undergo significant changes[88] (I) Core Competitive Advantages The company's core competitive advantages include its unique door-to-door sales, comprehensive cold chain, differentiated glass bottle products, consistent quality, "China Time-Honored Brand" status, stable milk sources, and experienced management - Differentiated Sales Channels: Primarily door-to-door milk delivery, with high customer loyalty, covering Jiangxi and neighboring provinces[79] - Comprehensive Cold Chain Logistics System: Ensures the quality and timeliness of low-temperature products from factory to consumer[80] - Differentiated Product Structure: Focuses on low-temperature, fresh glass bottle products, avoiding direct competition with large dairy enterprises[81][82] - Long-term Reliable Product Quality Advantage: Certified by ISO, HACCP, and other systems, with no major food safety incidents[83] - Regional Brand Influence Advantage: 69 years of history, awarded "China Time-Honored Brand" title, high recognition in Jiangxi Province[84] - High-Quality and Stable Milk Source Bases: Owns its pastures and cooperates with controlled milk source bases, achieving digital and refined management[85] - Stable Core Management Team Advantage: Core management team and key technical personnel remain stable, with a well-developed talent cultivation mechanism[86] (II) Significant Changes in Core Competitiveness In the first half of 2025, the company's core management team, specialized equipment, land use rights, patents, and business models remained stable without significant changes - The company's core management team and key technical personnel remained stable, with no high-level personnel resignations or dismissals[88] - The company's specialized equipment usage, land use rights quantity and area, patent applications, authorizations, and usage remained stable[88] - The company's operating models, including procurement, production, and sales, and its profitability model did not undergo significant changes[88] 3. Main Business Analysis In the first half of 2025, operating revenue decreased by 7.03% to CNY 237 million, but operating costs fell by 11.95%, boosting gross margin; investment cash flow significantly increased due to redemption of wealth management products 2025 Semi-Annual Key Financial Data Year-on-Year Changes | Indicator | Current Reporting Period (CNY) | Prior Year Period (CNY) | YoY Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 236,565,707.48 | 254,465,867.30 | -7.03% | | | Operating Cost | 142,250,356.32 | 161,557,574.11 | -11.95% | | | Administrative Expenses | 12,590,999.50 | 10,639,753.85 | 18.34% | | | Net Cash Flow from Investment Activities | 35,431,358.07 | -5,445,531.15 | 750.65% | The company redeemed a wealth management product this year | | Net Increase in Cash and Cash Equivalents | 43,202,565.85 | 9,513,747.00 | 354.11% | Affected by the redemption of wealth management products from investment activities | 2025 Semi-Annual Operating Revenue Composition | Category | Item | Amount (CNY) | Share of Operating Revenue | YoY Change (%) | | :--- | :--- | :--- | :--- | :--- | | By Product | Low-Temperature Dairy Products | 185,402,475.57 | 78.37% | -9.61% | | By Product | Milk Powder | 1,106,256.31 | 0.47% | 1,189.94% | | By Region | Nanchang Region | 146,825,053.62 | 62.07% | -5.37% | | By Region | Regions Outside Jiangxi Province | 8,401,573.00 | 3.55% | -30.64% | - The company's profit composition or sources of profit did not undergo significant changes during the reporting period[90] 4. Non-Main Business Analysis Non-main business activities primarily included asset impairment, non-operating income, and non-operating expenses, with losses from disposal of non-current assets being a major component, none of which are sustainable 2025 Semi-Annual Non-Main Business Analysis | Item | Amount (CNY) | Share of Total Profit | Reason for Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Asset Impairment | 101,341.45 | 0.16% | Provision for bad debts | No | | Non-Operating Income | -9,914.60 | -0.02% | Other income | No | | Non-Operating Expenses | 1,699,055.33 | 2.75% | Losses from disposal and elimination of biological assets | No | 5. Asset and Liability Status Analysis At the end of the reporting period, total assets slightly decreased by 0.31%, with cash and cash equivalents increasing by 3.02%; both current and non-current liabilities decreased by approximately 16% 2025 Semi-Annual Significant Changes in Asset Composition | Item | Amount at End of Current Reporting Period (CNY) | Share of Total Assets | Change in Share | | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 595,746,650.80 | 40.13% | 3.02% | | Construction in Progress | 2,070,000.41 | 0.14% | 0.10% | | Total Assets | 1,484,377,190.76 | 100% | -0.31% | | Total Current Liabilities | 54,813,321.54 | 3.69% | -16.82% | | Total Non-Current Liabilities | 7,777,270.98 | 0.52% | -16.93% | - At the end of the reporting period, CNY 4 million of the company's bank deposits were restricted as guarantees for bank acceptance bills, which were released after the reporting period on July 10, 2025[103] - The company had no overseas assets or assets and liabilities measured at fair value during the reporting period[102] 6. Investment Status Analysis The company's investment decreased by 54.71% to CNY 5.37 million year-on-year, with 16.92% of raised funds utilized, and project implementation periods extended to ensure performance stability 2025 Semi-Annual Investment Amount | Indicator | Investment Amount in Reporting Period (CNY) | Investment Amount in Prior Year Period (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Investment Amount | 5,367,154.93 | 11,849,523.15 | -54.71% | Overall Utilization of Raised Funds | Total Raised Funds (CNY '000) | Net Raised Funds (CNY '000) | Total Raised Funds Used in Current Period (CNY '000) | Total Raised Funds Used Cumulatively (CNY '000) | Utilization Rate of Raised Funds at End of Reporting Period (%) | | :--- | :--- | :--- | :--- | :--- | | 66,882.2 | 60,079.96 | 429.11 | 10,164.07 | 16.92% | - The company slowed down the implementation of the Jiangxi Base Dairy Product Expansion and R&D Upgrade Project and the Marketing Channel Construction and Brand Promotion Project, extending their implementation period to December 31, 2026, to ensure performance stability[113][116] 1. Overall Situation During the reporting period, the company's investment amounted to CNY 5.37 million, a 54.71% decrease compared to the same period last year Investment Amount in Reporting Period | Investment Amount in Reporting Period (CNY) | Investment Amount in Prior Year Period (CNY) | Change | | :--- | :--- | :--- | | 5,367,154.93 | 11,849,523.15 | -54.71% | 2. Significant Equity Investments Acquired During the Reporting Period The company did not have any significant equity investments during the reporting period - The company had no securities investments or derivative investments during the reporting period[105][106] 3. Significant Non-Equity Investments Underway During the Reporting Period The company did not have any significant non-equity investments during the reporting period - The company had no significant non-equity investments during the reporting period[105] 4. Financial Asset Investments The company did not engage in securities or derivative investments during the reporting period - The company had no securities investments during the reporting period[105] - The company had no derivative investments during the reporting period[106] 5. Utilization of Raised Funds The company utilized CNY 102 million of its CNY 601 million net raised funds, a 16.92% utilization rate, and extended the implementation period for key projects to December 31, 2026 Overall Utilization of Raised Funds | Total Raised Funds (CNY '000) | Net Raised Funds (CNY '000) | Total Raised Funds Used in Current Period (CNY '000) | Total Raised Funds Used Cumulatively (CNY '000) | Utilization Rate of Raised Funds at End of Reporting Period (%) | | :--- | :--- | :--- | :--- | :--- | | 66,882.2 | 60,079.96 | 429.11 | 10,164.07 | 16.92% | - The company slowed down the implementation of the Jiangxi Base Dairy Product Expansion and R&D Upgrade Project and the Marketing Channel Construction and Brand Promotion Project, extending their implementation period to December 31, 2026[113] - The company changed the use of raised funds for the "Anhui Base Dairy Product Phase II Construction Project" to increase investment in the "Marketing Channel Construction and Brand Promotion Project," and extended its implementation period[116] 7. Significant Asset and Equity Disposals The company did not engage in any significant asset or equity disposals during the reporting period - The company did not dispose of significant assets during the reporting period[118] - The company did not dispose of significant equity during the reporting period[119] 8. Analysis of Major Holding and Participating Companies The company had no significant holding or participating company information to disclose during the reporting period - The company had no significant holding or participating company information to disclose during the reporting period[119] 9. Information on Structured Entities Controlled by the Company The company did not control any structured entities during the reporting period - The company did not control any structured entities during the reporting period[120] 10. Risks Faced by the Company and Countermeasures The company faces risks related to food safety, milk source, investment projects, sales concentration, tax policies, and market expansion, with corresponding measures in place to mitigate them - Food Safety Risk: The company implements a comprehensive quality control system to achieve full-process quality control[120] - Milk Source Shortage and Price Volatility Risk: The company mitigates this by increasing self-owned pasture construction and strategic cooperation with large pastures to secure milk supply and prices[121] - Raised Funds Investment Project Risk: The company will steadily implement raised funds investment projects and complementary marketing channel construction to quickly absorb capacity[122][123] - Sales Region Concentration Risk: The company actively expands into markets outside the province and has built core competitive advantages in existing regions[124] - Tax Preferential Policy Change Risk: The company aims to reduce performance impact by enhancing core competitiveness, optimizing product structure, and increasing market share[125] - Out-of-Province Market Expansion Risk: The company will adopt a gradual approach to expand into out-of-province markets, reducing the risk of losses[126] 11. Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company has not formulated a market value management system nor disclosed a valuation enhancement plan - The company has not formulated a market value management system[127] - The company has not disclosed a valuation enhancement plan[127] 12. Implementation of "Quality and Return Dual Improvement" Action Plan The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan - The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan[127] Part IV Corporate Governance, Environment, and Society This section covers changes in the company's directors, supervisors, and senior management, profit distribution, environmental information disclosure, and social responsibility initiatives 1. Changes in Directors, Supervisors, and Senior Management There were no changes in the company's directors, supervisors, and senior management during the reporting period, with details available in the 2024 annual report - There were no changes in the company's directors, supervisors, and senior management during the reporting period[129] 2. Profit Distribution and Capital Reserve Conversion to Share Capital in the Current Reporting Period The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[130] 3. Implementation of Company's Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[131] 4. Environmental Information Disclosure Status The company and its major subsidiary, Jiangxi Sunshine Dairy Co., Ltd., are included in the list of enterprises required to disclose environmental information and have done so via the designated website - Jiangxi Sunshine Dairy Co., Ltd. is included in the list of enterprises required to disclose environmental information by law[132] - The environmental information disclosure report can be accessed at http://111.75.227.203:15001[132](index=132&type=chunk) 5. Social Responsibility Status During the reporting period, the company actively fulfilled its social responsibilities, including protecting stakeholders' rights, prioritizing safety and environmental sustainability, and contributing to rural revitalization - The company protects shareholder rights through standardized governance structure and information disclosure[134] - The company strictly adheres to labor laws, safeguards employees' legitimate rights, and prioritizes production safety and talent development[135][136] - The company upholds principles of honesty and trustworthiness, establishing long-term stable cooperative relationships with suppliers and customers to protect their rights[137] - The company emphasizes safety and environmental protection, implementing technological innovations for energy saving and emission reduction, fulfilling its environmental sustainability responsibilities[138] - The company contributes to rural revitalization by encouraging farmers to engage in dairy cattle farming and forage cultivation, and by providing employment opportunities for rural residents[138] Part V Significant Matters This section details the fulfillment of commitments by related parties, absence of fund occupation, external guarantees, and significant asset/equity changes, along with litigation and related party transactions 1. Commitments Fulfilled and Overdue Unfulfilled Commitments by Actual Controller, Shareholders, Related Parties, Acquirers, and the Company During and as of the End of the Reporting Period During the reporting period, all relevant parties, including the controlling shareholder, actual controller, directors, supervisors, senior management, and shareholder Nanchang Zhihe, fulfilled their commitments regarding share circulation restrictions and stock price stability - Controlling shareholder Sunshine Group, actual controller Hu Xiaoyun, and shareholder Nanchang Zhihe have fulfilled their 36-month share circulation restriction commitments[140] - Directors, supervisors, and senior management have fulfilled their share circulation restriction commitments[140] - The company, controlling shareholder, directors, and senior management have fulfilled their stock price stability commitments[140] - All commitments were fulfilled on time, with no overdue unfulfilled commitments[142] 2. Non-Operating Fund Occupation by Controlling Shareholder and Other Related Parties of the Listed Company The company reported no non-operating fund occupation by its controlling shareholder or other related parties during the reporting period - The company reported no non-operating fund occupation by its controlling shareholder or other related parties during the reporting period[143] 3. Illegal External Guarantees The company had no illegal external guarantees during the reporting period - The company had no illegal external guarantees during the reporting period[144] 4. Appointment and Dismissal of Accounting Firms The company's semi-annual financial report was unaudited - The company's semi-annual financial report was unaudited[145] 5. Board of Directors' and Supervisory Board's Explanations on the Accounting Firm's "Non-Standard Audit Report" for the Current Reporting Period The company's Board of Directors and Supervisory Board had no explanations regarding a "non-standard audit report" from the accounting firm for the current reporting period - The company's Board of Directors and Supervisory Board had no explanations regarding a "non-standard audit report" from the accounting firm for the current reporting period[146] 6. Board of Directors' Explanations on Matters Related to the "Non-Standard Audit Report" for the Previous Year The company's Board of Directors had no explanations regarding matters related to a "non-standard audit report" for the previous year - The company's Board of Directors had no explanations regarding matters related to a "non-standard audit report" for the previous year[146] 7. Bankruptcy and Reorganization Matters The company did not experience any bankruptcy or reorganization matters during the reporting period - The company did not experience any bankruptcy or reorganization matters during the reporting period[146] 8. Litigation Matters The company had no significant litigation or arbitration matters during the reporting period, though minor cases included a CNY 392,800 compensation ruling under appeal and a CNY 36,600 work-related injury subsidy arbitration - The company had no significant litigation or arbitration matters during the current reporting period[147] - A lawsuit involving CNY 392,800 resulted in a second-instance judgment for the company to pay compensation; the company has applied for retrial, which has been accepted, suspending the execution of the original judgment[147] - An arbitration case involving CNY 106,800 ruled the company to pay a one-time work-related injury employment subsidy of CNY 36,600[147] 9. Penalties and Rectification Status The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[148] 10. Integrity Status of the Company, its Controlling Shareholder, and Actual Controller The company, its controlling shareholder Jiangxi Sunshine Dairy Group Co., Ltd., and actual controller Mr. Hu Xiaoyun maintained good credit standing during the reporting period, with no records of unfulfilled court judgments or overdue large debts - The company and its controlling shareholder and actual controller maintained good credit standing[149] - There were no unfulfilled effective court judgments[149] - There were no illegal or dishonest situations such as large overdue debts[149] 11. Significant Related Party Transactions The company engaged in routine related party transactions totaling CNY 35.66 million for goods and services, primarily purchasing from Anhui Huahao Ecological Breeding Co., Ltd. and selling to Jiangxi Sunshine Dairy E-commerce Technology Co., Ltd 2025 Semi-Annual Routine Related Party Transactions | Related Party | Related Transaction Type | Related Transaction Content | Related Transaction Amount (CNY '000) | Share of Similar Transactions (%) | Approved Transaction Limit (CNY '000) | | :--- | :--- | :--- | :--- | :--- | :--- | | Anhui Huahao Ecological Breeding Co., Ltd. | Purchase of Goods | Purchase Payment | 2,669.31 | 21.09% | 5,800 | | Jiangxi Sunshine Dairy E-commerce Technology Co., Ltd. | Sale of Goods to Them | Sales Payment | 512.49 | 2.17% | 1,800 | | Jiangxi Sunshine Dairy Group Co., Ltd. | Lease of Property from Them | Rent | 46.2 | 0.36% | 100 | | Total | | | 3,565.6 | | 8,740 | - The company did not engage in related party transactions involving asset or equity acquisition/disposal during the reporting period[153] - The company had no related party transactions involving joint external investments or related party creditor-debtor relationships during the reporting period[154][155] 12. Significant Contracts and Their Performance The company had minor property lease contracts for office and sales management, with negligible impact on total profit, and no other significant contracts such as entrustment, contracting, guarantees, or wealth management - During the reporting period, the company leased some properties for office and sales management, with minor lease expenses that did not significantly impact total profit[161] - The company had no entrustment, contracting, significant guarantees, or wealth management situations during the reporting period[159][160][162][163] - The company had no other significant contracts during the reporting period[164] 13. Explanation of Other Significant Matters The company had no other significant matters requiring explanation during the reporting period - The company had no other significant matters requiring explanation during the reporting period[165] 14. Significant Matters of Company Subsidiaries The company's subsidiaries had no significant matters during the reporting period - The company's subsidiaries had no significant matters during the reporting period[165] Part VI Share Changes and Shareholder Information This section details changes in share capital, including the lifting of sales restrictions on pre-IPO shares, and provides information on shareholder numbers and major shareholders 1. Share Change Status During the reporting period, pre-IPO shares held by Sunshine Group and Nanchang Zhihe were released from restrictions on June 10, 2025, resulting in all shares becoming unrestricted 2025 Semi-Annual Share Change Status | Item | Number Before Change (shares) | Proportion Before Change | Increase/Decrease in This Change (shares) | Number After Change (shares) | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 205,600,000 | 72.74% | -205,600,000 | 0 | 0% | | II. Unrestricted Shares | 77,060,000 | 27.26% | 205,600,000 | 282,660,000 | 100.00% | | III. Total Shares | 282,660,000 | 100.00% | 0 | 282,660,000 | 100.00% | - Shares held by pre-IPO shareholders Sunshine Group and Nanchang Zhihe were released from restrictions on June 10, 2025[169] - As of the end of this reporting period, all of the company's shares are unrestricted shares[169] 2. Securities Issuance and Listing Status During the reporting period, restricted shares of pre-IPO shareholders were released from restrictions, with no other securities issuance or listing activities Changes in Restricted Shares | Shareholder Name | Restricted Shares at Beginning of Period (shares) | Restricted Shares Released in Current Period (shares) | Restricted Shares at End of Period (shares) | Reason for Restriction | Date of Release from Restriction | | :--- | :--- | :--- | :--- | :--- | :--- | | Jiangxi Sunshine Dairy Group Co., Ltd. | 154,200,000 | 154,200,000 | 0 | Pre-IPO shares | June 10, 2025 | | Nanchang Zhihe Enterprise Management Center (Limited Partnership) | 51,400,000 | 51,400,000 | 0 | Pre-IPO shares | June 10, 2025 | | Total | 205,600,000 | 205,600,000 | 0 | | | 3. Company Shareholder Numbers and Shareholding Status At the end of the reporting period, the company had 27,249 common shareholders, with controlling shareholder Jiangxi Sunshine Dairy Group Co., Ltd. holding 55.53% and Nanchang Zhihe holding 18.18%, acting in concert - The total number of common shareholders at the end of the reporting period was 27,249[172] Shareholding Status of Shareholders Holding 5% or More or Top 10 Shareholders at End of Reporting Period | Shareholder Name | Shareholder Nature | Shareholding Proportion | Number of Shares Held at End of Reporting Period (shares) | Number of Unrestricted Shares Held (shares) | | :--- | :--- | :--- | :--- | :--- | | Jiangxi Sunshine Dairy Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 55.53% | 156,965,200 | 156,965,200 | | Nanchang Zhihe Enterprise Management Center (Limited Partnership) | Domestic Non-State-Owned Legal Person | 18.18% | 51,400,000 | 51,400,000 | | Gongqingcheng Dingsheng Boying Investment Center (Limited Partnership) | Domestic Non-State-Owned Legal Person | 0.98% | 2,775,600 | 2,775,600 | - Jiangxi Sunshine Dairy Group Co., Ltd. and Nanchang Zhihe Enterprise Management Center (Limited Partnership) have an associated relationship and are parties acting in concert[172] 4. Changes in Shareholdings of Directors, Supervisors, and Senior Management There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period, with details available in the 2024 annual report - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period[176] 5. Changes in Controlling Shareholder or Actual Controller The company's controlling shareholder and actual controller did not change during the reporting period - The company's controlling shareholder did not change during the reporting period[177] - The company's actual controller did not change during the reporting period[177] 6. Preferred Share Information The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[178] Part VII Bond Information This section confirms the absence of any bond-related information for the company during the reporting period Bond Information The company had no bond-related information during the reporting period - The company had no bond-related information during the reporting period[180] Part VIII Financial Report This section presents the company's unaudited semi-annual financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in equity, along with detailed notes 1. Audit Report The company's semi-annual financial report was unaudited - The company's semi-annual financial report was unaudited[182] 2. Financial Statements This section provides the company's 2025 semi-annual consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity - Financial statements include consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity[183][187][190][192][195][198][201][210] 1. Consolidated Balance Sheet As of June 30, 2025, the company's consolidated total assets were CNY 1.48 billion, total liabilities CNY 63 million, and total owners' equity CNY 1.42 billion June 30, 2025 Consolidated Balance Sheet Key Data | Item | Period-End Balance (CNY) | | :--- | :--- | | Total Assets | 1,484,377,190.76 | | Total Liabilities | 62,590,592.52 | | Total Owners' Equity | 1,421,786,598.24 | | Cash and Cash Equivalents | 595,746,650.80 | | Total Owners' Equity Attributable to Parent Company | 1,414,364,876.99 | 2. Parent Company Balance Sheet As of June 30, 2025, the parent company's total assets were CNY 1.55 billion, total liabilities CNY 63 million, and total owners' equity CNY 1.49 billion June 30, 2025 Parent Company Balance Sheet Key Data | Item | Period-End Balance (CNY) | | :--- | :--- | | Total Assets | 1,552,289,453.75 | | Total Liabilities | 63,087,423.64 | | Total Owners' Equity | 1,489,202,030.11 | | Cash and Cash Equivalents | 552,971,812.98 | | Long-Term Equity Investments | 173,383,309.10 | 3. Consolidated Income Statement In the first half of 2025, consolidated total operating revenue was CNY 237 million, a 7.03% year-on-year decrease, with net profit attributable to parent company shareholders of CNY 59.82 million, up 8.27% 2025 Semi-Annual Consolidated Income Statement Key Data | Item | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 236,565,707.48 | 254,465,867.30 | | Total Operating Costs | 174,757,208.84 | 193,299,268.54 | | Net Profit | 58,997,491.01 | 54,735,978.02 | | Net Profit Attributable to Parent Company Shareholders | 59,819,462.68 | 55,250,583.61 | | Basic Earnings Per Share | 0.2116 | 0.1955 | 4. Parent Company Income Statement In the first half of 2025, the parent company's operating revenue was CNY 233 million, with net profit of CNY 61.59 million, largely consistent with the prior year 2025 Semi-Annual Parent Company Income Statement Key Data | Item | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Operating Revenue | 232,973,663.58 | 245,055,599.11 | | Operating Cost | 143,971,965.06 | 155,836,045.48 | | Net Profit | 61,593,972.05 | 61,689,821.07 | 5. Consolidated Cash Flow Statement In the first half of 2025, net cash flow from operating activities was CNY 58.65 million, from investing activities CNY 35.43 million (due to wealth management product redemption), and from financing activities -CNY 50.88 million 2025 Semi-Annual Consolidated Cash Flow Statement Key Data | Item | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 58,650,007.78 | 60,184,878.15 | | Net Cash Flow from Investment Activities | 35,431,358.07 | -5,445,531.15 | | Net Cash Flow from Financing Activities | -50,878,800.00 | -45,225,600.00 | | Net Increase in Cash and Cash Equivalents | 43,202,565.85 | 9,513,747.00 | | Cash and Cash Equivalents at End of Period | 595,746,650.80 | 497,400,953.54 | - The significant increase in net cash flow from investment activities was primarily due to the redemption of wealth management products[196] 6. Parent Company Cash Flow Statement In the first half of 2025, the parent company's net cash flow from operating activities was CNY 47.96 million, from investing activities CNY 35.97 million, and from financing activities -CNY 50.88 million 2025 Semi-Annual Parent Company Cash Flow Statement Key Data | Item | H1 2025 (CNY) | H1 2024 (CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 47,962,716.35 | 60,113,692.24 | | Net Cash Flow from Investment Activities | 35,974,518.76 | -7,654,413.55 | | Net Cash Flow from Financing Activities | -50,878,800.00 | -45,225,600.00 | | Net Increase in Cash and Cash Equivalents | 33,058,435.11 | 7,233,678.69 | | Cash and Cash Equivalents at End of Period | 552,971,812.98 | 446,116,644.21 | 7. Consolidated Statement of Changes in Owners' Equity In the first half of 2025, consolidated owners' equity increased by CNY 8.09 million, primarily due to a CNY 59.82 million increase in net profit attributable to parent company owners, offset by a CNY 50.91 million decrease from profit distribution 2025 Semi-Annual Consolidated Statement of Changes in Owners' Equity | Item | Beginning Balance (CNY) | Change in Current Period (CNY) | Ending Balance (CNY) | | :--- | :--- | :--- | :--- | | Total Owners' Equity Attributable to Parent Company | 1,405,451,999.56 | 8,912,877.43 | 1,414,364,876.99 | | Minority Interests | 8,243,692.92 | -821,971.67 | 7,421,721.25 | | Total Owners' Equity | 1,413,695,692.48 | 8,090,905.76 | 1,421,786,598.24 | | Net Profit Attributable to Parent Company Owners | | 59,819,462.68 | | | Distribution to Owners (or Shareholders) | | -50,878,800.00 | | 8. Parent Company Statement of Changes in Owners' Equity In the first half of 2025, parent company owners' equity increased by CNY 10.69 million, driven by a CNY 61.59 million net profit, partially offset by a CNY 50.91 million profit distribution 2025 Semi-Annual Parent Company Statement of Changes in Owners' Equity | Item | Beginning Balance (CNY) | Change in Current Period (CNY) | Ending Balance (CNY) | | :--- | :--- | :--- | :--- | | Total Owners' Equity | 1,478,514,643.31 | 10,687,386.80 | 1,489,202,030.11 | | Net Profit | | 61,593,972.05 | | | Distribution to Owners (or Shareholders) | | -50,878,800.00 | | 3. Company Basic Information The company, Jiangxi Sunshine Dairy Co., Ltd., is registered in Nanchang, Jiangxi, primarily engaged in dairy and beverage production, food sales, and livestock farming, with five subsidiaries included in its consolidated financial statements - Company's registered Chinese name: Jiangxi Sunshine Dairy Co., Ltd[218] - Main business scope: Dairy product production, beverage production, food business (sales of pre-packaged food), livestock farming[218] - The consolidated financial statements for this period include Jiangxi Anjie Outsourcing Service Co., Ltd., Jiangxi Changshan Modern Organic Pasture Co., Ltd., Jiangxi Jiamu Ecological Agriculture Technology Development Co., Ltd., Anhui Huahao Sunshine Dairy Co., Ltd., and Jiangxi Sunshine Dairy New Retail Co., Ltd., totaling five subsidiaries[219] 4. Basis of Financial Statement Preparation The company's financial statements are prepared on a going concern basis, adhering to "Enterprise Accounting Standards" and established accounting policies, with no identified issues affecting its going concern ability - The company's financial statements are prepared on a going concern basis, in accordance with "Enterprise Accounting Standards"[220] - The company assessed its going concern ability and found no matters affecting it[221] 5. Significant Accounting Policies and Estimates This section details the company's adherence to Enterprise Accounting Standards, covering accounting periods, reporting currency, financial instrument classification, impairment provisions, fixed asset depreciation, revenue recognition, and lease accounting - The company adheres to Enterprise Accounting Standards, with the accounting year being the calendar year and RMB as the functional currency[222][223][225] - Financial assets are classified into three categories: measured at amortized cost, measured at fair value through other comprehensive income, and measured at fair value through profit or loss[243][244] - Accounts receivable are measured at expected credit losses over their entire lifetime using a simplified approach, with bad debt provisions based on aging portfolios[252][253] - Fixed assets are depreciated using the straight-line method, with buildings and structures having a depreciation period of 17-22 years, and machinery and equipment 3-12 years[270] - Revenue is recognized when performance obligations are satisfied and the customer obtains control of the related goods or services, primarily from dairy product sales[298][304] - As a lessee, the company recognizes right-of-use assets and lease liabilities for leases other than short-term leases and leases of low-value assets[315] 6. Taxation The company's main taxes include VAT and corporate income tax, benefiting from various preferential policies such as 15% high-tech enterprise income tax, exemptions for agricultural product processing and livestock farming, and VAT deductions for advanced manufacturing Main Tax Categories and Rates | Tax Category | Tax Rate | | :--- | :--- | | Value-Added Tax | 13%, 9%, 6% | | Urban Maintenance and Construction Tax | 7%, 5% | | Corporate Income Tax | 25%, 20%, 15% | - As a high-tech enterprise, the company enjoys a 15% preferential corporate income tax rate[324] - Income from the company's initial processing of dairy products and subsidiaries' livestock farming is exemp