弘元绿能(603185) - 2025 Q2 - 季度财报

Important Notes Statement of the Board of Directors, Board of Supervisors, and Senior Management The company's management guarantees the truthfulness, accuracy, and completeness of the semi-annual report and assumes legal responsibility - The Board of Directors, Board of Supervisors, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions[3] - All directors of the company attended the Board of Directors meeting[4] - The company's person in charge, Yang Jianliang, the person in charge of accounting, Wang Yong, and the head of the accounting department, He Jiachen, declare that the financial report in the semi-annual report is true, accurate, and complete[5] Unaudited Report This semi-annual report has not been audited - This semi-annual report is unaudited[4] Profit Distribution Plan There is no profit distribution or capitalization of public reserve plan for the reporting period - There is no profit distribution plan or plan to convert public reserve into share capital for the reporting period[6] Forward-Looking Statements Risk Disclaimer Forward-looking statements in this report do not constitute substantive commitments to investors - Forward-looking statements in this report, such as development strategies and business plans, do not constitute substantive commitments to investors, who are advised to be aware of investment risks[7] Fund Occupation and External Guarantees No non-operating fund occupation by controlling shareholders or provision of external guarantees occurred during the reporting period - There was no non-operating occupation of funds by the controlling shareholder or other related parties[8] - There were no external guarantees provided in violation of prescribed decision-making procedures[8] Major Risk Warning The company has detailed potential risks in "Section III Management Discussion and Analysis" - The company has detailed potential risks in this report; please refer to the "Potential Risks" section in "Section III Management Discussion and Analysis"[8] Section I Definitions Definitions of Common Terms This section defines key terms used throughout the report, covering company entities, reporting conventions, and photovoltaic industry terminology Definitions of Common Terms | Term | Meaning | | :--- | :--- | | The Company, Our Company, Shangji CNC, Hongyuan Green Energy | HONGYUAN GREEN ENERGY CO.,LTD. | | Controlling Shareholder | Yang Jianliang | | Actual Controllers | Yang Jianliang, Hang Hong, Yang Hao, Li Xiaodong, Dong Xixing | | Reporting Period | January 1, 2025 to June 30, 2025 | | Yuan, Ten Thousand Yuan, Hundred Million Yuan | RMB Yuan, RMB Ten Thousand, RMB Hundred Million | | Monocrystalline Silicon | A single crystal in which silicon atoms are arranged periodically throughout the entire silicon crystal | | Polycrystalline Silicon | A polycrystalline material composed of silicon grains of a certain size | | Silicon Wafer | A square or octagonal slice cut from a monocrystalline silicon ingot or polycrystalline silicon block | | Silicon Ingot | A rod-shaped single silicon crystal grown from polycrystalline silicon raw material using the Czochralski (CZ) or Float-Zone (FZ) method | | Cell, Solar Cell | A device that converts solar radiation energy into electrical energy through the photovoltaic effect in semiconductor materials | | Module | A solar module composed of high-efficiency crystalline silicon solar cells, tempered glass, a transparent TPT backsheet, and an aluminum alloy frame | | GW | Gigawatt, a unit of power for solar cells, where 1 gigawatt = 1,000 megawatts | Section II Company Profile and Key Financial Indicators Company Basic Information This section provides the company's names, abbreviations, and legal representative, clarifying its basic identity Company Basic Information | Indicator | Content | | :--- | :--- | | Chinese Name | 弘元绿色能源股份有限公司 | | Chinese Abbreviation | 弘元绿能 | | English Name | HONGYUAN GREEN ENERGY CO.,LTD. | | English Abbreviation | HONGYUAN | | Legal Representative | Yang Jianliang | Contact Information This section lists the contact details for the company's Board Secretary and Securities Affairs Representative Company Contact Information | Position | Name | Address | Phone | Fax | | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Zhuang Kejie | No. 158, Nanhuzhong Road, Xuelang Street, Binhu District, Wuxi City | 0510-85390590 | 0510-85958787 | | Securities Affairs Representative | Zhao Qin | No. 158, Nanhuzhong Road, Xuelang Street, Binhu District, Wuxi City | 0510-85390590 | 0510-85958787 | Company Registration and Office Information The company's registered and office addresses remained unchanged during the reporting period Company Registration and Office Information | Indicator | Content | | :--- | :--- | | Company Registered Address | No. 158, Nanhuzhong Road, Xuelang Street, Binhu District, Wuxi City | | Historical Changes to Registered Address | None | | Company Office Address | No. 158, Nanhuzhong Road, Xuelang Street, Binhu District, Wuxi City | | Postal Code of Office Address | 214128 | | Company Website | https://hysolar.com/ | | Email Address | wxsjzqb@163.com | | Index for Inquiries on Changes during the Reporting Period | None | Information Disclosure Channels The company's designated information disclosure newspapers and websites remained unchanged during the reporting period Information Disclosure Channels | Indicator | Content | | :--- | :--- | | Designated Information Disclosure Newspapers | China Securities Journal, Shanghai Securities News | | Website for Semi-Annual Report Publication | www.sse.com.cn | | Location for Semi-Annual Report Filing | Company's Securities Department | | Index for Inquiries on Changes during the Reporting Period | None | Company Stock Information The company's A-shares are listed on the Shanghai Stock Exchange under the stock code 603185 Company Stock Information | Stock Type | Stock Exchange | Stock Ticker | Stock Code | Previous Stock Ticker | | :--- | :--- | :--- | :--- | :--- | | A-Share | Shanghai Stock Exchange | Hongyuan Green Energy | 603185 | Shangji CNC | Key Accounting Data and Financial Indicators In H1 2025, revenue declined 19.52% while net loss narrowed by 74.35% to -¥297 million, though operating cash flow decreased significantly Key Accounting Data for H1 2025 | Indicator | Current Period (Jan-Jun) | Same Period Last Year | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 3,228,586,997.55 | 4,011,584,407.84 | -19.52 | | Total Profit | -384,868,029.29 | -1,437,012,796.49 | N/A | | Net Profit Attributable to Shareholders | -296,804,289.02 | -1,157,247,885.47 | N/A | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) | -355,613,112.10 | -960,556,885.06 | N/A | | Net Cash Flow from Operating Activities | -375,754,202.37 | 112,123,596.75 | -435.12 | | End of Current Reporting Period | | | | | Net Assets Attributable to Shareholders | 11,570,511,119.02 | 11,884,162,700.05 | -2.64 | | Total Assets | 26,522,342,200.44 | 29,222,793,933.67 | -9.24 | Key Financial Indicators for H1 2025 | Key Financial Indicator | Current Period (Jan-Jun) | Same Period Last Year | Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/Share) | -0.438 | -1.905 | N/A | | Diluted Earnings Per Share (RMB/Share) | -0.438 | -1.905 | N/A | | Basic EPS (Excluding Non-recurring Items) (RMB/Share) | -0.525 | -1.581 | N/A | | Weighted Average Return on Equity (%) | -2.53 | -8.47 | Increased by 5.94 percentage points | | Weighted Average ROE (Excluding Non-recurring Items) (%) | -3.03 | -7.03 | Increased by 4 percentage points | - Net loss significantly narrowed by 74.35%[32] Non-recurring Gains and Losses Non-recurring gains and losses for the period totaled ¥58.81 million, primarily from government grants and fair value changes Non-recurring Gains and Losses Items and Amounts for H1 2025 | Non-recurring Gains and Losses Item | Amount (RMB) | | :--- | :--- | | Gains/Losses on Disposal of Non-current Assets | -130,769.13 | | Government Grants Recognized in Current Profit or Loss | 12,571,546.40 | | Gains/Losses from Fair Value Changes and Disposal of Financial Assets/Liabilities | 42,491,209.00 | | Gains/Losses from Debt Restructuring | 6,832,000.00 | | Other Non-operating Income and Expenses | 7,410,408.01 | | Less: Income Tax Impact | 10,365,571.20 | | Total | 58,808,823.08 | Section III Management Discussion and Analysis Industry and Main Business Overview The company is deepening its N-type zero-carbon PV industry chain layout amid rapid market growth and intensifying competition - The company adheres to a "technology-led, innovation-driven" philosophy, deepening its layout in the N-type zero-carbon photovoltaic full industry chain and strengthening R&D and industrial synergy[28] - In H1 2025, China's new photovoltaic installations reached 212.21 GW, a year-on-year increase of 107%, with May installations hitting a new monthly high of 92.92 GW, up 388.03% YoY[29] - Government departments are guiding the PV industry to shift from price competition to value competition, focusing on product quality, technological innovation, and service capabilities to phase out outdated capacity[31] Analysis of Operating Performance Despite industry overcapacity, the company significantly narrowed its net loss by 74.35% through innovation and cost management - In H1 2025, amid industry overcapacity and low product prices, the company achieved a net profit attributable to shareholders of -¥297 million, representing a 74.35% reduction in net loss[32] - The company's vertically integrated "polysilicon-wafer-cell-module" industrial layout effectively reduces intermediate losses and optimizes supply chain cost structure[38] - The company has established a full lifecycle quality and low-carbon management system, with its polysilicon, wafer, and cell products certified by France's ADEME for LCA, and modules receiving Certisolis carbon footprint ECS certification[38] Polysilicon Business The polysilicon business achieved industry-leading product quality and cost control through process innovation and refined management - The company's polysilicon products consistently meet electronic grade II standards, with an industry-leading primary output ratio of N-type dense polysilicon, and excel in core operational metrics[33] - Energy consumption was further reduced and costs optimized by increasing single-furnace output and enhancing the comprehensive control process of reduction furnaces[33] Silicon Wafer Business The silicon wafer business focuses on next-generation technology R&D and cost reduction through process and equipment enhancements - The company has a professional R&D team focused on next-generation wafer technology and has established deep collaborations with universities like Zhejiang University and Lanzhou University, co-founding the "Hongyuan New Materials Future Research Institute"[34] - Various improvement measures in thermal field design, equipment process upgrades, and process automation have been implemented to enhance quality, reduce costs, and increase efficiency[34] Cell Business The cell business enhanced conversion efficiency and reduced production costs through new material applications and process optimizations - The company's cell product matrix is comprehensive, with mass-produced specifications covering 183, 188R, 210, and 210R sizes to meet diverse market demands[35] - The introduction of UV lamps and new paste applications has driven an overall efficiency improvement across multiple product lines, enhancing market competitiveness[35] - Cost reduction measures, including new screen types and additives, have significantly lowered the consumption of key raw materials like paste, additives, sodium hydroxide, and hydrofluoric acid[35] Module Business The module business launched several scenario-specific products, including anti-soiling, anti-glare, and offshore modules - Launched the 182 series 72-cell anti-soiling module with a short-frame design and high-efficiency N-type TOPCon cell technology, offering excellent conversion efficiency and temperature characteristics[36] - The 210R series 66-cell anti-glare module, featuring specially textured glass, is suitable for integrated applications like "PV + transportation" and "PV + public facilities"[36] - The 182 series 72-cell offshore module has passed multiple stringent reliability tests and received TÜV Rheinland's offshore PV certification, ensuring reliable operation in harsh environments[36] Core Competitiveness Analysis The company's core competitiveness is built on superior products, technology, full-chain synergy, cost advantages, and customer resources - The company is committed to advancing the global green energy transition, focusing on high-end equipment manufacturing, industrial and high-purity silicon, monocrystalline wafers, and high-efficiency cells and modules[40] - The company's integrated cost advantage stems from the deep synergy of its "polysilicon + wafer + cell + module" full industry chain and comprehensive cost reduction driven by technological innovation[43] - Since 2004, the company has been engaged in the R&D, manufacturing, and sales of high-end equipment for the photovoltaic sector, accumulating extensive customer resources and sales networks[44] Product Advantages The company offers comprehensive equipment solutions and high-quality, customizable silicon wafers with robust quality control - The company can produce a full set of equipment required for processing from silicon ingots/blocks to wafers, providing ample options for downstream wafer production line construction[39] - In silicon wafer production, the company continuously invests in R&D to optimize technical specifications and offers flexible production of various-sized monocrystalline silicon wafers and customized services[39] - The company implements full-process quality management and strict process controls, ensuring product traceability and achieving quality targets for process and product yield through ISO systems and MES integration[40] Technological Advantages The company leverages its deep R&D capabilities in intelligent equipment and production processes to drive efficiency and quality - The company possesses strong full-machine design and development capabilities, utilizing modular design to shorten design and trial production cycles and accelerate product upgrades[41] - By integrating its equipment technology with monocrystalline silicon production processes, the company has independently upgraded its crystal pulling furnace systems, enhancing production efficiency and product quality while significantly reducing costs[42] - The company uses internationally advanced automated production lines and leading TOPCon technology for cell production, creating technical synergy with the wafer segment to advance wafer thinning and improve profit per watt[42] Full Industry Chain Synergy and Cost Advantages The company's vertically integrated "polysilicon-to-module" layout significantly reduces costs through resource integration and process innovation - The company has established a "polysilicon + wafer + cell + module" full industry chain layout, which effectively reduces intermediate logistics costs and profit sharing with external suppliers through upstream and downstream capacity matching[43] - In the wafer segment, the mature application of large-size, thinning processes, and tungsten wire cutting has significantly reduced unit silicon consumption and manufacturing costs[43] - In the cell and module segments, the large-scale mass production of N-type TOPCon technology continuously boosts conversion efficiency, increasing power per cell and diluting manufacturing costs per watt[43] Customer Resource Advantages With deep industry roots since 2004, the company has built strong relationships with major downstream customers - Since 2004, the company has been engaged in the R&D, manufacturing, and sales of high-end equipment for the photovoltaic sector, giving it a deep understanding of the industry landscape and customer needs[44] - Through years of technological accumulation and process improvements, the company has earned the trust of numerous strong downstream users with its cost-effective products and high-quality services, establishing strong partnerships across the PV industry chain[44] Service Advantages The company provides customer-centric, integrated solutions with strong technical support and rapid response capabilities - The company consistently operates with a customer-centric approach, providing practical product solutions based on specific customer requirements, backed by strong technical capabilities, capacity reserves, and full-cycle product support[45] - The company is dedicated to refining the customer experience by providing end-to-end services including installation, commissioning, and acceptance, and responds quickly to urgent customer needs[45] Main Operating Activities During the period, revenue and costs decreased, while cash flows from operations and financing declined sharply Analysis of Changes in Financial Statement Items | Item | Current Period (RMB) | Same Period Last Year (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 3,228,586,997.55 | 4,011,584,407.84 | -19.52 | | Operating Costs | 3,132,313,751.04 | 4,275,767,560.46 | -26.74 | | Selling Expenses | 37,371,974.36 | 61,177,160.56 | -38.91 | | Administrative Expenses | 141,310,847.84 | 142,779,371.32 | -1.03 | | Financial Expenses | 62,674,883.45 | 51,310,453.56 | 22.15 | | R&D Expenses | 224,322,441.94 | 259,800,711.06 | -13.66 | | Net Cash Flow from Operating Activities | -375,754,202.37 | 112,123,596.75 | -435.12 | | Net Cash Flow from Investing Activities | 1,280,800,487.72 | -3,174,636,905.99 | N/A | | Net Cash Flow from Financing Activities | -1,466,006,407.70 | 2,869,459,894.39 | -151.09 | - Reason for change in net cash flow from operating activities: Increased net outflow for business deposits such as bank acceptance bills and the impact of receiving VAT input tax refunds in the same period last year[47] - Reason for change in net cash flow from investing activities: Primarily due to an increase in the redemption of wealth management products during the period[47] - Reason for change in net cash flow from financing activities: Primarily due to the receipt of proceeds from a private placement last year, combined with increased loan repayments and payments for letters of credit this period[47] Changes in Assets and Liabilities | Item | Closing Balance (RMB) | % of Total Assets | Opening Balance (RMB) | % of Total Assets | Change from Opening (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Trading Financial Assets | 3,048,284,535.78 | 11.49 | 4,395,769,646.42 | 15.04 | -30.65 | Increase in redeemed wealth management products | | Prepayments | 222,848,038.60 | 0.84 | 336,688,307.15 | 1.15 | -33.81 | Decrease in prepayments to suppliers | | Assets Held for Sale | 0 | 0 | 4,884,955.80 | 0.02 | -100.00 | Sale of assets held for sale | | Other Non-current Financial Assets | 40,048,000.00 | 0.15 | 540,048,000.00 | 1.85 | -92.58 | Disposal of equity investment partnership shares | | Deferred Tax Assets | 363,099,034.29 | 1.37 | 273,276,954.06 | 0.94 | 32.87 | Mainly due to an increase in deductible losses | | Other Non-current Assets | 145,861,573.39 | 0.55 | 243,911,650.63 | 0.83 | -40.20 | Mainly due to prepaid land payments transferred to fixed assets | | Short-term Borrowings | 1,352,207,222.22 | 5.10 | 744,370,555.55 | 2.55 | 81.66 | New short-term borrowings in the current period | | Advances from Customers | 0 | 0 | 1,656,000.00 | 0.01 | -100.00 | Sale of assets held for sale | | Employee Benefits Payable | 69,220,917.24 | 0.26 | 128,231,245.35 | 0.44 | -46.02 | Mainly due to payment of prior year's annual bonuses | | Taxes Payable | 7,482,046.14 | 0.03 | 68,373,909.97 | 0.23 | -89.06 | Mainly due to a decrease in VAT payable | | Other Payables | 121,247,159.09 | 0.46 | 44,382,508.16 | 0.15 | 173.19 | Mainly due to receipt of deposit for equity transfer | | Non-current Liabilities Due within One Year | 736,010,938.29 | 2.78 | 542,622,418.93 | 1.86 | 35.64 | Mainly due to an increase in long-term borrowings due within 1 year | | Long-term Borrowings | 419,300,000.00 | 1.58 | 599,300,000.00 | 2.05 | -30.04 | Reclassification of long-term borrowings due within 1 year | Financial Information of Major Subsidiaries (Unit: RMB 10,000) | Company Name | Company Type | Main Business | Registered Capital | Total Assets | Net Assets | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Hongyuan New Materials (Baotou) Co., Ltd. | Subsidiary | Monocrystalline silicon ingots, wafers | 71,000.00 | 1,536,236.58 | 484,375.90 | 172,679.20 | -14,025.09 | -10,307.08 | | Hongyuan Energy Technology (Baotou) Co., Ltd. | Subsidiary | Industrial silicon, high-purity polysilicon | 101,000.00 | 839,267.46 | 19,950.40 | 93,066.63 | -13,957.50 | -11,730.59 | | Hongyuan New Materials (Xuzhou) Co., Ltd. | Subsidiary | Silicon wafers, cells | 51,000.00 | 887,709.30 | -39,331.70 | 175,642.44 | -3,355.71 | -1,391.06 | | Hongyuan Solar (Wuxi) Co., Ltd. | Subsidiary | Modules | 101,000.00 | 784,897.75 | 80,265.41 | 128,077.27 | -7,167.65 | -4,847.57 | Risk Disclosure The company faces risks from economic cycles, trade policies, market competition, and technological changes - The company faces risks from macroeconomic and industry cyclical fluctuations and will mitigate adverse impacts through enhanced R&D, inventory management, and financial controls[54] - International trade disputes and policy adjustments may adversely affect operations; the company will monitor policy changes and optimize its global marketing platform[56] - Intensified market competition due to industry overcapacity may reduce profitability; the company will leverage its full-chain advantages and continue cost reduction and quality improvement efforts[57] - Technology R&D risks arise from the rapid evolution of PV technology; the company will continuously track market trends and develop products and technologies based on its strengths[58] - Product substitution risk may arise from breakthroughs in alternative technologies like thin-film solar cells; the company will maintain a reserve of advanced technologies to reduce reliance on a single technology[59] Section IV Corporate Governance, Environment, and Society Profit Distribution Plan The company does not plan to distribute profits or capitalize public reserves for the semi-annual period Semi-annual Profit Distribution or Capitalization of Public Reserve Plan | Item | Content | | :--- | :--- | | Whether to distribute or capitalize | No | | Bonus shares per 10 shares (shares) | 0 | | Cash dividend per 10 shares (RMB) (tax included) | 0 | | Shares converted per 10 shares (shares) | 0 | Environmental Information Disclosure Two of the company's subsidiaries are included in the list of enterprises required to disclose environmental information Subsidiaries on the List for Mandatory Environmental Information Disclosure | No. | Company Name | Query Index for Environmental Information Disclosure Report | | :--- | :--- | :--- | | 1 | Hongyuan New Materials (Baotou) Co., Ltd. | http://106.74.1.102:8181/cas/home | | 2 | Hongyuan Energy Technology (Baotou) Co., Ltd. | http://106.74.1.102:8181/cas/home | Section V Important Matters Fulfillment of Commitments The company's actual controllers have strictly fulfilled their long-term commitments regarding non-competition and related-party transactions - The company's actual controllers have committed to avoiding competition by not engaging, directly or indirectly, in any business that competes with the company's operations[66] - The company's actual controllers have committed to avoiding future fund lending between related parties and the company, strictly prohibiting the occupation of the issuer's funds[67][68] - During the reporting period, all the above commitments were promptly and strictly fulfilled[65] Major Related-Party Transactions The company's polysilicon procurement from a related party in H1 2025 was within the approved transaction limit Daily Related-Party Transaction Contract Signing in H1 2025 | Transaction Category | Related Party | Transaction Content | Pricing Principle | 2025 Estimated Contract Amount (tax incl., RMB 10,000) | H1 2025 Signed Contract Amount (tax incl., RMB 10,000) | | :--- | :--- | :--- | :--- | :--- | :--- | | Purchase of Goods | Inner Mongolia Xinyuan Silicon Material Technology Co., Ltd. | Polysilicon | Market price reference | 12,000 | 6,524.97 | Major Contracts and Guarantees At the end of the reporting period, the company's total guarantees for its subsidiaries amounted to ¥2.84 billion Total Company Guarantees (Including Guarantees for Subsidiaries) | Indicator | Amount (RMB 10,000) | | :--- | :--- | | Total Guarantees Provided to Subsidiaries during the Period | 284,387.40 | | Outstanding Balance of Guarantees for Subsidiaries at Period-End (B) | 284,387.40 | | Total Guarantees (A+B) | 284,387.40 | | Total Guarantees as a Percentage of Company's Net Assets (%) | 24.58 | Progress on Use of Raised Funds As of the period-end, the company had invested ¥3.32 billion of the total ¥3.67 billion raised from bond and stock issuances Overall Use of Raised Funds (Unit: RMB 10,000) | Source of Funds | Total Funds Raised | Net Funds Raised (1) | Cumulative Investment as of Period-End (4) | Investment Progress (%) (4)/(1) | | :--- | :--- | :--- | :--- | :--- | | Convertible Bonds Issuance | 66,500 | 65,453.54 | 52,747.36 | 80.59 | | Private Placement | 300,000 | 297,622.65 | 279,210.41 | 93.81 | | Total | 366,500 | 363,076.19 | 331,957.77 | / | Detailed Use of Funds for Investment Projects (Unit: RMB 10,000) | Project Name | Planned Investment Amount (1) | Cumulative Investment as of Period-End (2) | Investment Progress (%) (2)/(1) | Benefits or R&D Achievements This Year | | :--- | :--- | :--- | :--- | :--- | | 5GW Monocrystalline Silicon Pulling Production (Phase II) | 65,453.54 | 52,747.36 | 80.59 | -1,613.86 | | 8GW Monocrystalline Silicon Pulling Production Project | 207,622.65 | 188,925.44 | 90.99 | -686.35 | | Supplementary Working Capital Project | 90,000.00 | 90,284.97 | 100.32 | Yes | | Total | 363,076.19 | 331,957.77 | / | -2,300.21 | - The company used idle raised funds for cash management, with a balance of ¥137 million at the end of the reporting period, which did not exceed the authorized limit[81] Section VI Share Capital Changes and Shareholder Information Changes in Share Capital The company's total number of shares and share capital structure remained unchanged during the reporting period - During the reporting period, the company's total number of shares and share capital structure did not change[84] Shareholder Information As of the period-end, the company had 58,103 common shareholders, with the top shareholder holding a 29.12% stake Total Number of Common Shareholders as of Period-End | Indicator | Number (Households) | | :--- | :--- | | Total number of common shareholders as of the end of the reporting period | 58,103 | Top Ten Shareholders' Holdings as of Period-End | Shareholder Name | Shares Held at Period-End | Percentage (%) | Number of Restricted Shares | Share Status | Shareholder Nature | | :--- | :--- | :--- | :--- | :--- | :--- | | Yang Jianliang | 197,723,948 | 29.12 | 0 | None | Domestic Natural Person | | Hang Hong | 86,361,133 | 12.72 | 0 | None | Domestic Natural Person | | Jiangsu Jinpu Private Equity Fund Management Co., Ltd. - Xuzhou Jintou New Energy Industry Investment Fund Partnership (Limited Partnership) | 31,720,856 | 4.67 | 0 | None | Other | | Wuxi Hongyuan Dingchuang Investment Enterprise (Limited Partnership) | 16,823,597 | 2.48 | 0 | None | Domestic Non-state-owned Legal Person | | Generali China Asset Management - ICBC - Generali Asset - Zhuoyue Xichuang No. 1 Asset Management Product | 15,860,428 | 2.34 | 0 | None | Other | | Wuxi Yuanyue Private Equity Fund Management Co., Ltd. - Wuxi Jinyuan Rongda Investment Partnership (Limited Partnership) | 9,764,912 | 1.44 | 0 | None | Other | | Hong Kong Securities Clearing Company Ltd. | 7,487,333 | 1.10 | 0 | None | Other | | Yang Hao | 4,942,542 | 0.73 | 0 | None | Domestic Natural Person | | Bank of China Limited - Huatai-PineBridge CSI Photovoltaic Industry ETF | 4,725,405 | 0.70 | 0 | None | Other | | Shanghai State-owned Capital Management Co., Ltd. - Shanghai SOE Reform and Development Phase III Private Equity Investment Fund Partnership (Limited Partnership) | 3,965,107 | 0.58 | 0 | None | Other | - Among the top ten shareholders, Yang Jianliang and Hang Hong are husband and wife; Wuxi Hongyuan Dingchuang Investment Enterprise (Limited Partnership) is a limited partnership established by Yang Jianliang and Hang Hong; Yang Hao is the son of Yang Jianliang and Hang Hong[89] Section VII Bond-related Matters Corporate Bonds and Debt Financing Instruments The company had no corporate bonds or non-financial enterprise debt financing instruments during the reporting period - During the reporting period, the company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments[93] Convertible Corporate Bonds The company had no convertible corporate bonds during the reporting period - During the reporting period, the company had no convertible corporate bonds[93] Section VIII Financial Report Audit Report This semi-annual report has not been audited - This semi-annual report is unaudited[4] Financial Statements This section provides the consolidated and parent company financial statements for the semi-annual period ending June 30, 2025 - The consolidated balance sheet shows total assets of ¥26.52 billion and total equity attributable to parent company owners of ¥11.57 billion as of June 30, 2025[97] - The consolidated income statement shows total operating revenue of ¥3.23 billion and a net loss of ¥296.80 million for the period from January to June 2025[102][104] - The consolidated cash flow statement shows a net cash outflow from operating activities of ¥375.75 million, a net inflow from investing activities of ¥1.28 billion, and a net outflow from financing activities of ¥1.47 billion for H1 2025[109][110] Company Basic Information The company is primarily engaged in the photovoltaic crystalline silicon industry chain and high-end intelligent equipment businesses - Hongyuan Green Energy Co., Ltd. (formerly Wuxi Shangji CNC Co., Ltd.) was listed on the Shanghai Stock Exchange on December 28, 2018[124] - As of June 30, 2025, the company's total issued share capital was 679.02 million shares, with a registered capital of ¥679.02 million[124] - The company's main businesses include the sale of products in the photovoltaic crystalline silicon industry chain (polysilicon, monocrystalline silicon wafers, PV cells, PV modules, etc.) and high-end intelligent equipment[125] - A total of 18 subsidiaries were included in the scope of consolidation for the current period[126] Basis of Preparation of Financial Statements The financial statements are prepared on a going concern basis in accordance with relevant accounting standards - The company's financial statements are prepared on a going concern basis, in accordance with the "Enterprise Accounting Standards" issued by the Ministry of Finance and relevant CSRC regulations[128] - The company has assessed its ability to continue as a going concern for the 12 months from the end of the reporting period and has not identified any material uncertainties[129] Significant Accounting Policies and Estimates This section details the specific accounting policies and estimates applied in preparing the financial statements - The company's specific accounting policies and estimates are mainly reflected in inventory valuation methods, expected credit loss provisioning for receivables, fixed asset depreciation, and revenue recognition timing[130] - The company classifies financial assets into three categories: measured at amortized cost, measured at fair value through other comprehensive income, and measured at fair value through profit or loss[155] - Revenue is recognized when the customer obtains control of the related goods or services, with sales of PV products and equipment both recognized at a specific point in time[229][230] Taxation The company and some of its subsidiaries are subject to a preferential corporate income tax rate of 15% Main Taxes and Tax Rates | Tax Type | Tax Rate | | :--- | :--- | | Value-Added Tax (VAT) | 13%, 6% | | Urban Maintenance and Construction Tax | 7%, 5% | | Corporate Income Tax | 15%, 25%, 17%, 30% | | Education Surcharge | 5%, 3% | - The company was re-certified as a high-tech enterprise in December 2024 and is eligible for a reduced corporate income tax rate of 15% for three years[246] - Certain subsidiaries located in western regions qualify for the Western Development Program's preferential tax policy, enjoying a reduced corporate income tax rate of 15%[247] Notes to Consolidated Financial Statement Items This section provides detailed notes on key items in the consolidated financial statements, highlighting major changes Changes in Cash and Cash Equivalents | Item | Closing Balance (RMB) | Opening Balance (RMB) | | :--- | :--- | :--- | | Total | 4,306,990,419.41 | 5,233,754,962.40 | | Including: Total restricted cash and cash equivalents | 3,516,257,917.59 | 3,887,171,802.68 | Changes in Trading Financial Assets | Item | Closing Balance (RMB) | Opening Balance (RMB) | | :--- | :--- | :--- | | Financial assets at fair value through profit or loss | 3,048,284,535.78 | 4,395,769,646.42 | Changes in Operating Revenue and Costs | Item | Current Period (Revenue) | Current Period (Cost) | Prior Period (Revenue) | Prior Period (Cost) | | :--- | :--- | :--- | :--- | :--- | | Total | 3,228,586,997.55 | 3,132,313,751.04 | 4,011,584,407.84 | 4,275,767,560.46 | Changes in Net Cash Flow | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net cash flow from operating activities | -375,754,202.37 | 112,123,596.75 | | Net cash flow from investing activities | 1,280,800,487.72 | -3,174,636,905.99 | | Net cash flow from financing activities | -1,466,006,407.70 | 2,869,459,894.39 | R&D Expenditures The company's R&D expenditure for the period totaled ¥224.32 million, all of which was expensed R&D Expenditures by Nature | Item | Current Period (RMB) | Prior Period (RMB) | | :--- | :--- | :--- | | Direct Material Inputs | 135,933,182.40 | 160,272,076.13 | | Salaries and Wages | 49,221,682.52 | 65,086,889.21 | | Depreciation and Amortization | 27,805,721.18 | 26,412,865.09 | | Others | 11,361,855.84 | 8,028,880.63 | | Total | 224,322,441.94 | 259,800,711.06 | | Including: Expensed R&D expenditures | 224,322,441.94 | 259,800,711.06 | Changes in Consolidation Scope There were no changes in the scope of consolidation during the reporting period - During the reporting period, there were no business combinations under common or non-common control, reverse acquisitions, or disposals of subsidiaries leading to a loss of control[423][424] - There were no other changes in the scope of consolidation (e.g., establishment or liquidation of subsidiaries) or related circumstances[424] Interests in Other Entities The company holds interests in 18 subsidiaries and several key associate companies accounted for using the equity method Composition of the Corporate Group (Partial) | Subsidiary Name | Main Place of Business | Registered Capital (RMB 10,000) | Business Nature | Shareholding Ratio (%) (Direct) | | :--- | :--- | :--- | :--- | :--- | | Hongyuan New Materials (Baotou) Co., Ltd. | Baotou, Inner Mongolia | 71,000.00 | Manufacturing | 98.59 | | Hongyuan Energy Technology (Baotou) Co., Ltd. | Baotou, Inner Mongolia | 101,000.00 | Manufacturing | 99.01 | | Wuxi Hongyuan New Energy Technology Co., Ltd. | Wuxi, Jiangsu | 20,000.00 | Photovoltaic Power Generation | 100.00 | | Hongyuan Solar (Wuxi) Co., Ltd. | Wuxi, Jiangsu | 101,000.00 | Manufacturing | 99.01 | Significant Associate Companies | Joint Venture or Associate Name | Main Place of Business | Business Nature | Shareholding Ratio (%) (Direct) | Accounting Method for Investment | | :--- | :--- | :--- | :--- | :--- | | Inner Mongolia Xinyuan Silicon Material Technology Co., Ltd. | Baotou, Inner Mongolia | Manufacturing | 27.07 | Equity Method | | Guyang County Huineng Hongyuan New Energy Co., Ltd. | Baotou, Inner Mongolia | Photovoltaic Power Generation | 20.00 | Equity Method | | Xuzhou Guoyuan Energy Co., Ltd. | Xuzhou, Jiangsu | Photovoltaic Power Generation | 49.00 | Equity Method | Key Financial Information of Significant Associate (Inner Mongolia Xinyuan Silicon Material Technology Co., Ltd.) | Item | Closing Balance / Current Period Amount (RMB) | | :--- | :--- | | Total Assets | 11,775,851,255.03 | | Total Liabilities | 8,325,733,696.61 | | Equity Attributable to Parent Company Shareholders | 3,450,117,558.42 | | Net Profit | -72,948,270.59 | Government Grants The company recognized a total of ¥12.59 million in government grants in the current period's profit and loss Government Grants Recognized in Current Profit or Loss | Type | Current Period (RMB) | Prior Period (RMB) | | :--- | :--- | :--- | | Asset-related | 11,486,720.00 | 5,736,720.00 | | Income-related | 1,107,587.75 | 22,329,183.32 | | Total | 12,594,307.75 | 28,065,903.32 | Major Government Grant Projects (Current Period) | Grant Project | Accounting Item | Current Period Amount (RMB) | Asset-related/Income-related | | :--- | :--- | :--- | :--- | | High-Quality Development Fund - Asset-related portion | Other Income | 5,631,720.00 | Asset-related | | Equipment R&D and Industrialization Project - Asset-related portion | Other Income | 5,750,000.00 | Income-related | | Talent Introduction Subsidy | Other Income | 312,000.00 | Income-related | | Talent Apartment Rental Reward | Other Income | 610,600.00 | Income-related | Financial Instrument Risk Management The company actively manages credit, liquidity, and market risks associated with its financial instruments - The company's main financial instruments include cash, equity investments, borrowings, receivables, and payables, exposing it to credit risk, liquidity risk, and market risk (exchange rate, interest rate, price)[435] - The company manages credit risk by assessing customer creditworthiness, setting credit terms, continuously monitoring receivables, and using aging analysis for impairment assessment[436][437] - The company manages liquidity risk through cash flow forecasting, monitoring loan covenants, securing financing facilities, and establishing credit lines with major banks[439] - The company's current policy is to have 100% of its external borrowings at fixed interest rates to balance interest rate risk[442] Fair Value Disclosure As of the period-end, the company's assets measured at fair value totaled ¥3.20 billion Fair Value of Assets and Liabilities at Period-End | Item | Level 1 Fair Value (RMB) | Level 2 Fair Value (RMB) | Level 3 Fair Value (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | :--- | | (I) Trading Financial Assets | | 3,048,284,535.78 | | 3,048,284,535.78 | | 1. Financial assets at FVTPL | | 3,048,284,535.78 | | 3,048,284,535.78 | | Notes Receivable Financing | | | 109,060,695.24 | 109,060,695.24 | | Other Non-current Financial Assets | | | 40,048,000.00 | 40,048,000.00 | | Other Equity Instrument Investments | | | 1,000,000.00 | 1,000,000.00 | | Total Assets at Fair Value | | 3,048,284,535.78 | 150,108,695.24 | 3,198,393,231.02 | - The company's Level 2 fair value trading financial assets are cash management products, with fair value determined based on manager-provided valuations or interest rates[448] - Level 3 fair value items include notes receivable financing (valued at face amount) and unlisted equity investments (valued based on equity value or investment cost)[449] Related Parties and Transactions The company's main related-party transactions involved the procurement of polysilicon from an associate company Purchase of Goods/Services | Related Party | Transaction Content | Current Period Amount (RMB) | Approved Transaction Limit (RMB) | Exceeded Limit? | | :--- | :--- | :--- | :--- | :--- | | Inner Mongolia Xinyuan Silicon Material Technology Co., Ltd. | Polysilicon | 57,743,081.12 | 106,194,690.27 | No | Receivables (Prepayments) | Item | Related Party | Closing Book Balance (RMB) | | :--- | :--- | :--- | | Prepayments | Inner Mongolia Xinyuan Silicon Material Technology Co., Ltd. | 22,350,283.89 | Payables (Notes Payable) | Item | Related Party | Opening Book Balance (RMB) | | :--- | :--- | :--- | | Notes Payable | Inner Mongolia Xinyuan Silicon Material Technology Co., Ltd. | 25,401,815.17 | Share-based Payments The company had no share-based payment arrangements during the reporting period - During the reporting period, the company had no details on equity instruments, equity-settled or cash-settled share-based payments, nor any modifications or terminations of such plans[462] Commitments and Contingencies As of the period-end, the company had significant commitments related to guarantees, letters of credit, and pledged assets - As of June 30, 2025, assets were pledged and mortgaged for issuing notes, letters of guarantee, and bank borrowings[463] - As of June 30, 2025, the outstanding balance of performance guarantees was ¥100.23 million and quality guarantees was ¥79.75 million[464] - A subsidiary, Hongyuan New Materials (Baotou) Co., Ltd., had outstanding domestic letters of credit amounting to ¥2.01 billion as of June 30, 2025, for electricity payments[465] - As of June 30, 2025, the amount of endorsed or discounted bank acceptance bills that were not yet due but had been derecognized was ¥7.94 billion[466] - As of June 30, 2025, the company provided guarantees totaling ¥7.26 billion for its controlling subsidiaries[466] Post-Balance Sheet Events No significant post-balance sheet events occurred between the reporting date and the financial report's approval date - Between the end of the reporting period and the approval date of the financial report, the company had no significant non-adjusting events, profit distribution plans, sales returns, or other post-balance sheet events to disclose[468][469] Other Important Matters The company had no other significant transactions or matters to report for the period - During the reporting period, the company had no prior period accounting error corrections, significant debt restructurings, asset swaps, annuity plans, discontinued operations, segment information, or other significant transactions affecting investor decisions[469][470] Notes to Parent Company Financial Statement Items This section details key items from the parent company's financial statements, including receivables and long-term investments Parent Company Accounts Receivable by Aging | Aging | Closing Book Balance (RMB) | Opening Book Balance (RMB) | | :--- | :--- | :--- | | Within 1 year (inclusive) | 600,428,934.84 | 559,604,774.86 | | 1 to 2 years | 32,801,982.11 | 27,187,704.16 | | 2 to 3 years | 17,753.32 | 560,395.00 | | Over 3 years | 64,484,346.87 | 64,881,318.19 | | Total | 697,733,017.14 | 652,234,192.21 | Parent Company Other Receivables by Nature | Nature of Funds | Closing Book Balance (RMB) | Opening Book Balance (RMB) | | :--- | :--- | :--- | | Deposits and Guarantees | 3,694,058.65 | 17,025,199.02 | | Other Funds | 299,928.82 | 230,647.52 | | Intercompany Balances with Consolidated Affiliates | 7,327,970,009.13 | 3,081,024,479.94 | | Total | 7,331,963,996.60 | 3,098,280,326.48 | Parent Company Long-term Equity Investments | Item | Closing Balance (Book Value, RMB) | Opening Balance (Book Value, RMB) | | :--- | :--- | :--- | | Investments in Subsidiaries | 4,101,343,236.18 | 4,100,843,236.18 | | Investments in Associates and Joint Ventures | 933,946,823.06 | 953,693,919.91 | | Total | 5,035,290,059.24 | 5,054,537,156.09 | Supplementary Information This section provides details on non-recurring gains and losses and calculations for return on equity and earnings per share Detailed Schedule of Current Non-recurring Gains and Losses | Item | Amount (RMB) | | :--- | :--- | | Gains/Losses on Disposal of Non-current Assets | -130,769.13 | | Government Grants Recognized in Current Profit or Loss | 12,571,546.40 | | Gains/Losses from Fair Value Changes and Disposal of Financial Assets/Liabilities | 42,491,209.00 | | Gains/Losses from Debt Restructuring | 6,832,000.00 | | Other Non-operating Income and Expenses | 7,410,408.01 | | Less: Income Tax Impact | 10,365,571.20 | | Total | 58,808,823.08 | Return on Equity and Earnings Per Share | Reporting Period Profit | Weighted Average Return on Equity (%) | Basic Earnings Per Share (RMB/Share) | Diluted Earnings Per Share (RMB/Share) | | :--- | :--- | :--- | :--- | | Net profit attributable to common shareholders | -2.53 | -0.438 | -0.438 | | Net profit attributable to common shareholders after deducting non-recurring gains/losses | -3.03 | -0.525 | -0.525 |