晋西车轴(600495) - 2025 Q2 - 季度财报

Important Notice This section contains important declarations from the board of directors and senior management, details on profit distribution, and risk disclosures Board Statement and Absences of Directors The company's board of directors and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with Director Liu Tie absent due to work reasons - The company's board of directors and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false statements, misleading representations, or major omissions[3] Absences of Directors | Absent Director Position | Absent Director Name | Reason for Absence | Proxy Name | | :--- | :--- | :--- | :--- | | Director | Liu Tie | Work reasons | Wu Zhenguo | Report Audit Status and Financial Officer Statement This semi-annual report is unaudited, and the company's responsible persons declare the financial report's truthfulness, accuracy, and completeness - This semi-annual report is unaudited[3] - Company head Wu Zhenguo, chief accountant Hao Ying, and head of accounting department Shi Dunli declare that the financial report in this semi-annual report is true, accurate, and complete[3] Profit Distribution and Risk Disclosure The board of directors did not approve any profit distribution or capital reserve capitalization plan for this reporting period, and related risks are detailed in the management discussion and analysis - The board of directors' resolution for profit distribution or capital reserve capitalization plan for this reporting period is "none"[4] - The company has described potential risks in detail in the "Risks Faced" section of "Section III Management Discussion and Analysis" of this report[4] Section I Definitions This section defines key terms used throughout the report, clarifying references to the company and its controlling shareholder Common Terms Defined This section primarily defines common terms used in the report, clarifying that "Jinxi Axle," "the Company," and "this Company" refer to Jinxi Axle Co., Ltd., while "Jinxi Group" and "Controlling Shareholder" refer to Jinxi Industrial Group Co., Ltd Common Terms Defined | Term | | Definition | | :--- | :--- | :--- | | Jinxi Axle, the Company, this Company | Refers to | Jinxi Axle Co., Ltd | | Jinxi Group, Controlling Shareholder | Refers to | Jinxi Industrial Group Co., Ltd | Section II Company Profile and Key Financial Indicators This section provides an overview of the company's basic information, contact details, stock summary, and key financial performance metrics Company Basic Information This section outlines the company's Chinese name, abbreviation, foreign name, and abbreviation, confirming Wu Zhenguo as the legal representative Company Basic Information | Item | | | | :--- | :--- | :--- | | Company's Chinese Name | Jinxi Axle Co., Ltd | | | Company's Chinese Abbreviation | Jinxi Axle | | | Company's Foreign Name | JINXI AXLE | COMPANY LIMITED | | Company's Foreign Name Abbreviation | JXAC | | | Company's Legal Representative | Wu Zhenguo | | Contact Information and Information Disclosure Contact addresses, phone numbers, faxes, and email addresses for the company secretary Han Qiushi and securities affairs representative Gao Hong are provided, along with information disclosure channels Contact Persons and Information | | Board Secretary | Securities Affairs Representative | | :--- | :--- | :--- | | Name | Han Qiushi | Gao Hong | | Contact Address | No. 5, Beixiang, Heping North Road, Taiyuan City | No. 5, Beixiang, Heping North Road, Taiyuan City | | Phone | 0351-6629075 | 0351-6628286 | | Fax | 0351-6628286 | 0351-6628286 | | Email | hqs@jinxiaxle.com | gh@jinxiaxle.com | Company Information Disclosure Channels | Item | Details | | :--- | :--- | | Name of information disclosure newspapers selected by the company | "China Securities Journal", "Securities Times", "Shanghai Securities News" | | Website address for semi-annual report publication | www.sse.com.cn | | Location for company semi-annual report availability | Company Securities Department | | Index for changes during the reporting period | None | Company Stock Summary The company's A-shares are listed on the Shanghai Stock Exchange, with the stock abbreviation Jinxi Axle and stock code 600495 Company Stock Summary | Stock Type | Stock Exchange | Stock Abbreviation | Stock Code | Former Stock Abbreviation | | :--- | :--- | :--- | :--- | :--- | | A-share | Shanghai Stock Exchange | Jinxi Axle | 600495 | | Key Accounting Data and Financial Indicators In the first half of 2025, the company achieved operating revenue of 607.89 million yuan, a 41.73% increase year-on-year, and a net profit attributable to shareholders of 13.90 million yuan, turning losses into profits Key Accounting Data (January-June 2025 vs. Prior Year Period) | Key Accounting Data | Current Reporting Period (Jan-Jun) | Prior Year Period | % Change from Prior Year Period | | :--- | :--- | :--- | :--- | | Operating Revenue (yuan) | 607,896,203.90 | 428,913,471.45 | 41.73 | | Total Profit (yuan) | 14,041,444.48 | -19,510,811.78 | - | | Net Profit Attributable to Shareholders of Listed Company (yuan) | 13,900,890.22 | -19,835,528.35 | - | | Net Profit Attributable to Shareholders of Listed Company (excluding non-recurring gains/losses) (yuan) | -808,008.07 | -50,847,527.56 | - | | Net Cash Flow from Operating Activities (yuan) | -12,501,008.71 | -118,819,378.58 | - | | Period-End Data | Current Period-End | Prior Year-End | % Change from Prior Year-End | | Net Assets Attributable to Shareholders of Listed Company (yuan) | 3,257,002,883.55 | 3,260,727,488.47 | -0.11 | | Total Assets (yuan) | 4,017,992,834.68 | 3,997,878,780.30 | 0.50 | Key Financial Indicators (January-June 2025 vs. Prior Year Period) | Key Financial Indicators | Current Reporting Period (Jan-Jun) | Prior Year Period | % Change from Prior Year Period | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (yuan/share) | 0.01 | -0.02 | - | | Diluted Earnings Per Share (yuan/share) | 0.01 | -0.02 | - | | Basic Earnings Per Share (excluding non-recurring gains/losses) (yuan/share) | -0.001 | -0.04 | - | | Weighted Average Return on Net Assets (%) | 0.43 | -0.61 | Increased by 1.04 percentage points | | Weighted Average Return on Net Assets (excluding non-recurring gains/losses) (%) | -0.02 | -1.57 | Increased by 1.55 percentage points | Non-Recurring Gains and Losses Items and Amounts During the reporting period, the company's total non-recurring gains and losses amounted to 14.71 million yuan, primarily from government subsidies and fair value changes and disposal gains/losses of financial assets and liabilities Non-Recurring Gains and Losses Items (Unit: yuan) | Non-Recurring Gains and Losses Item | Amount | | :--- | :--- | | Government subsidies recognized in current profit and loss, excluding those closely related to the company's normal operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit and loss | 7,564,231.79 | | Gains and losses from changes in fair value of financial assets and financial liabilities, and disposal gains and losses of financial assets and financial liabilities, excluding effective hedging activities related to the company's normal business operations | 6,750,982.58 | | Other non-operating income and expenses apart from the above items | 378,131.30 | | Other profit and loss items that meet the definition of non-recurring gains and losses | 15,552.62 | | Total | 14,708,898.29 | Section III Management Discussion and Analysis This section discusses the company's industry, business operations, competitive advantages, and financial performance during the reporting period, along with future outlook and risk factors Industry Overview and Main Business The company operates in the railway, shipbuilding, aerospace, and other transportation equipment manufacturing sectors, benefiting from national "transportation power" and "Belt and Road" strategies, with railway axles and vehicles as core products - The company's industry is "C37 Railway, Shipbuilding, Aerospace and Other Transportation Equipment Manufacturing," benefiting from the national "Transportation Power" strategy and "Belt and Road" initiative[21] - In the first half of 2025, national railways cumulatively transported 2.24 billion passengers, a 6.7% increase year-on-year; cumulative freight transport was 1.981 billion tons, a 3.0% increase year-on-year; and fixed asset investment reached 355.9 billion yuan, a 5.5% increase year-on-year[21] - The company's main business involves the R&D, manufacturing, and sales of railway vehicles and related accessories, while actively developing new business segments such as defense equipment, smart fire protection, and non-standard products[22] Main Models and Uses of Railway Axle Products | Type | Model | Use | | :--- | :--- | :--- | | Railway Freight Car Axle | RD2 type | Designed for 21-ton axle load, mainly used for 60-ton class freight cars | | | RE2B type | Designed for 25-ton axle load, mainly used for 70-ton class freight cars | | Railway Passenger Car Axle | RD3 type, RD3A type, RD3A1 type, etc. | Applicable to passenger cars with a maximum operating speed of 120km/h | | Subway Axle | Axles for urban rail transit vehicles | Applicable to subway vehicles with a maximum operating speed of 120km/h | | Locomotive Axle | Fuxing six-axle electric locomotive axle | Applicable to corresponding locomotive models and speeds | | EMU Axle | 350 km/h EMU axle | Applicable to corresponding speed levels of EMU trains | Main Models and Uses of Railway Vehicle Products | Type | Model | Use | | :--- | :--- | :--- | | Open-top Car | C70E general open-top car | For use on standard gauge railways, mainly for transporting coal, ore, building materials, machinery, steel, and timber | | Flat Car | X70 container flat car | For use on standard gauge railways, mainly for transporting containers | Company Operating Model The company operates a vertically integrated model encompassing R&D, manufacturing, sales, and after-sales service, with R&D driven by customer needs, procurement focused on cost reduction, production based on orders, and sales through diversified channels - The company adopts a vertically integrated operating model covering R&D, manufacturing, sales, and after-sales service, positioning itself as a specialized rail transit equipment manufacturer[24] - The R&D model is centered on scientific research project management, driven by customer demand, and relies on industry-academia-research cooperation to implement independent R&D and design[24] - The procurement model is cost-reduction oriented, utilizing competitive bidding, public tenders, strategic cooperation, and sales-driven procurement[24] - The production model is primarily order-driven, supplemented by market forecasts, optimizing production plans and strengthening process monitoring to ensure timely product delivery[24] - The sales model actively engages with major clients like China National Railway Group and CRRC Group through domestic and international bidding, exhibitions, direct negotiations, and agency sales to enhance customer satisfaction[25] Company Industry Position The company demonstrates outstanding capabilities in railway vehicle and core component manufacturing, holding a leading position in railway axle production, supply, process transformation, and innovation, with high market share in freight car and urban subway axles - The company possesses prominent equipment, technology, and process assurance capabilities in the manufacturing of railway vehicles and related core components[25] - Its comprehensive strength in railway axle production and manufacturing, supply capacity, process transformation capability, and innovation capability are in a leading position domestically[25] - The company consistently maintains a high market share in freight car axles for China National Railway Group and urban subway axles in China[25] Discussion and Analysis of Operations In the first half of 2025, the company's operating revenue increased by 41.73% to 607.89 million yuan, and net profit attributable to shareholders turned profitable at 13.90 million yuan, demonstrating significant progress in various operational aspects - In the first half of 2025, the company achieved operating revenue of 607.89 million yuan, a 41.73% increase year-on-year[25] - Net profit attributable to shareholders reached 13.90 million yuan, turning losses into profits year-on-year, indicating continuous improvement in operational quality[25] - Rail transit equipment business developed steadily, with increased production and sales of railway vehicles year-on-year, and high-speed EMU axles achieved batch supply[27] - New business segments continued to expand, with rapid growth in defense equipment business and the development of various specific-scenario fire extinguishing devices in smart fire protection business[27] - Scientific research projects progressed orderly, with CHR2 "Harmony" series EMU products completing trial production and supply, and Fuxing six-axle locomotive axles entering the type testing phase[27] - Management efficiency continuously strengthened through procurement reforms, supply chain optimization, lean management, and cost reduction initiatives to improve production delivery and management levels[27] - Risk control capabilities continuously improved by establishing a sound risk control system and deepening the four-dimensional linkage mechanism of audit supervision, risk control, internal control, and compliance management[27] Core Competitiveness Analysis The company's core competitiveness lies in its equipment manufacturing, technological brand, customer resources, and operational management, possessing full-产业链 capabilities, leading technology, extensive customer networks, and experienced talent - The company has developed into a specialized rail transit equipment company with a full industry chain, from railway axles, wheelsets, bolsters, side frames, bogies to complete freight cars[28] - Equipment manufacturing advantage: Possesses the most comprehensive production spectrum in global railway axle R&D and manufacturing, with an annual production capacity of over 100,000 high-quality rail transit axles, 3,000 railway freight cars, and 7,500 sets of bolsters and side frames[28] - Technology and brand advantage: Leads the development of the domestic railway axle industry, pioneered the R&D of 30-ton and 40-ton heavy-duty axles, and 350 km/h localized EMU axles have been used in "Fuxing Hao" trains and achieved batch supply[28] - Customer resource advantage: Established a customer network covering domestic and international markets, maintaining long-term stable cooperation with leading enterprises such as China National Railway Group, various railway rolling stock factories, Westinghouse Air Brake Technologies, and Alstom[29] - Operational management advantage: Accumulated rich experience in production and operation management, cultivated a high-quality management, technical, and skilled workforce with strong execution and cohesion, continuously optimizing talent structure and operational efficiency[29][30] Key Operating Performance During the reporting period, the company's operating revenue increased by 41.73%, and operating costs increased by 30.96%, primarily due to increased sales of railway vehicle products; investment cash flow decreased by 149.55% due to reduced recovery of maturing cash management products Financial Statement Related Account Changes Analysis (Unit: yuan) | Item | Current Period Amount | Prior Year Period Amount | % Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 607,896,203.90 | 428,913,471.45 | 41.73 | | Operating Cost | 535,686,768.52 | 409,039,305.09 | 30.96 | | Selling Expenses | 11,521,584.81 | 11,581,234.45 | -0.52 | | Administrative Expenses | 33,365,348.01 | 32,936,161.82 | 1.30 | | Financial Expenses | -6,528,515.01 | -7,310,353.92 | - | | R&D Expenses | 28,192,781.01 | 27,844,428.21 | 1.25 | | Net Cash Flow from Operating Activities | -12,501,008.71 | -118,819,378.58 | - | | Net Cash Flow from Investing Activities | -107,171,310.45 | 216,281,471.02 | -149.55 | | Net Cash Flow from Financing Activities | - | -14,498,290.63 | - | - The change in operating revenue and operating cost was primarily due to increased sales of railway vehicle products[32] - The change in net cash flow from investing activities was mainly due to a decrease in the recovery of maturing cash management products[32] Asset and Liability Status Changes (Unit: yuan) | Item Name | Current Period-End Amount | % of Total Assets at Current Period-End | Prior Year-End Amount | % of Total Assets at Prior Year-End | % Change from Prior Year-End | Explanation | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Notes Receivable | 21,906,133.68 | 0.55 | 75,224,516.63 | 1.88 | -70.88 | Mainly due to a decrease in accepted notes received | | Accounts Receivable Financing | 71,586,366.94 | 1.78 | 36,012,812.36 | 0.90 | 98.78 | Mainly due to an increase in Yunxin receivables | | Prepayments | 4,374,346.75 | 0.11 | 18,357,781.15 | 0.46 | -76.17 | Mainly due to a decrease in prepaid material costs | | Other Receivables | 4,024,536.08 | 0.10 | 1,345,100.73 | 0.03 | 199.20 | Mainly due to an increase in security deposits | | Other Current Assets | 6,136,529.14 | 0.15 | - | - | - | Mainly due to an increase in deductible input VAT | | Construction in Progress | 5,240,165.69 | 0.13 | 2,876,718.70 | 0.07 | 82.16 | Mainly due to increased investment in technical improvement projects | | Other Non-current Assets | 227,124,062.08 | 5.65 | 112,722,054.98 | 2.82 | 101.49 | Mainly due to an increase in time deposits over one year | | Taxes Payable | 97,463.62 | 0.002 | 7,133,597.69 | 0.18 | -98.63 | Mainly due to a decrease in VAT payable at period-end | | Other Payables | 27,137,435.11 | 0.68 | 16,535,614.99 | 0.41 | 64.12 | Mainly due to an increase in dividends payable at period-end | | Other Current Liabilities | 12,433,835.51 | 0.31 | 26,803,253.97 | 0.67 | -53.61 | Mainly due to a decrease in liabilities corresponding to un-derecognized notes | Investment Status Analysis The company had no significant equity or non-equity investments during this period, with financial assets measured at fair value totaling 1.00 billion yuan at period-end, including 790.00 million yuan in trading financial assets and 210.37 million yuan in other equity instrument investments - The company had no significant equity investments or non-equity investments in the current period[37] Financial Assets Measured at Fair Value (Unit: yuan) | Asset Category | Beginning Balance | Fair Value Change Gain/Loss for Current Period | Cumulative Fair Value Change Included in Equity | Amount Purchased in Current Period | Amount Sold/Redeemed in Current Period | Ending Balance | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Other | 1,001,949,894.36 | - | 57,713,483.20 | 790,000,000.00 | 790,000,000.00 | 1,000,365,810.31 | | Of which: Trading Financial Assets | 790,000,000.00 | - | - | 790,000,000.00 | 790,000,000.00 | 790,000,000.00 | | Other Equity Instrument Investments | 211,949,894.36 | - | 57,713,483.20 | - | - | 210,365,810.31 | | Total | 1,001,949,894.36 | - | 57,713,483.20 | 790,000,000.00 | 790,000,000.00 | 1,000,365,810.31 | Analysis of Major Holding and Invested Companies The company's main subsidiary, Jinxi Railway Vehicle Co., Ltd., with a registered capital of 130 million yuan, primarily engages in railway vehicles and related components, reporting 416.05 million yuan in operating revenue and a net loss of 7.94 million yuan during the period Major Subsidiary Financial Information (Unit: 10,000 yuan) | Company Name | Company Type | Main Business | Registered Capital | Total Assets | Net Assets | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jinxi Railway Vehicle Co., Ltd | Subsidiary | Railway vehicles, bolsters, side frames, wheelsets (wheels and axles), and bogies | 13,000 | 142,050.65 | 78,712.46 | 41,605.12 | -737.86 | -793.79 | Other Disclosure Matters The company faces risks related to declining core competitiveness, safety, product quality, cost control, exchange rate fluctuations, and international settlement, with the controlling shareholder planning to increase its A-share holdings by 50 million to 100 million yuan - The company faces risks of declining core competitiveness and will build new competitive advantages through diversified layout, industrial structure adjustment, technological upgrading, efficiency improvement, and sustainable development[40] - The company faces risks in safety production and product quality, and will continue to operate its safety management system, strengthen "penetrating" safety management, and deeply implement source quality control and quality strengthening projects[41] - The company faces cost control risks and will continue to promote cost reduction and efficiency improvement, optimize supply chain management, innovate procurement methods, and scientifically organize production[41] - The company faces exchange rate fluctuations and international settlement risks, and will use commercial strategies to lock in exchange rate risks, diversify market layouts, adjust pricing strategies or adopt local currency settlement, and strengthen exchange rate monitoring and financial planning[42] - The controlling shareholder, Jinxi Industrial Group Co., Ltd., plans to increase its holdings of the company's A-shares by no less than 50 million yuan and no more than 100 million yuan within 12 months starting from April 9, 2025[43] - As of June 30, 2025, this share increase plan has not yet been implemented; in August 2025, Jinxi Group obtained a 90 million yuan loan facility from Agricultural Bank of China Taiyuan Branch for the share increase[43] Section IV Corporate Governance, Environment, and Society This section details changes in the company's directors and senior management, as well as information regarding profit distribution plans Changes in Directors and Senior Management During the reporting period, the company's directors and senior management changed, with Wang Xiaoliang elected as an independent director, Hao Ying appointed as chief accountant, and Yao Xiaomin resigning as an independent director Changes in Directors and Senior Management | Name | Position Held | Change | | :--- | :--- | :--- | | Wang Xiaoliang | Independent Director | Election | | Hao Ying | Chief Accountant | Appointment | | Yao Xiaomin | Independent Director | Resignation | Profit Distribution Plan The company's proposed semi-annual profit distribution or capital reserve capitalization plan is "No," indicating no such plans for this reporting period Profit Distribution or Capital Reserve Capitalization Plan | Item | Value | | :--- | :--- | | Is there a distribution or capitalization | No | | Number of bonus shares per 10 shares (shares) | | | Dividend per 10 shares (yuan) (tax inclusive) | | | Number of shares converted from capital reserve per 10 shares (shares) | | | Explanation of profit distribution or capital reserve capitalization plan | None | Section V Significant Matters This section covers the fulfillment of commitments, major litigation, related party transactions, significant contracts, and the use of raised funds Fulfillment of Commitments The controlling shareholder, Jinxi Group, committed to resolving issues of horizontal competition and land title defects, both of which were strictly fulfilled during the reporting period - Jinxi Group committed that there are no businesses or activities that compete with Jinxi Axle, and to promptly notify of potential competing businesses, bearing all losses if violated; this commitment has been strictly fulfilled and is long-term effective since November 26, 2012[49] - Jinxi Group committed to resolving the issue of 8 workshops unable to obtain property certificates due to "separation of land and buildings," and to provide full compensation if penalties are incurred; this commitment has been strictly fulfilled and is long-term effective since February 26, 2013[49] Major Litigation and Arbitration Matters The company had no major litigation or arbitration matters during this reporting period - The company had no major litigation or arbitration matters during this reporting period[51] Significant Related Party Transactions The company has financial dealings with related party Binggong Finance Co., Ltd., including deposit and credit facilities, with a period-end deposit balance of 773.07 million yuan and actual credit utilization of 278.87 million yuan Related Party Deposit Business (Unit: 10,000 yuan) | Related Party | Related Relationship | Maximum Daily Deposit Limit | Deposit Interest Rate Range | Beginning Balance | Total Deposits in Current Period | Total Withdrawals in Current Period | Ending Balance | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Binggong Finance Co., Ltd | Same ultimate controlling party | 100,000.00 | 0.15%-2.2% | 79,002.15 | 137,311.67 | 139,006.76 | 77,307.07 | Related Party Credit and Other Financial Business (Unit: 10,000 yuan) | Related Party | Related Relationship | Business Type | Total Amount | Actual Amount | | :--- | :--- | :--- | :--- | :--- | | Binggong Finance Co., Ltd | Same ultimate controlling party | Issuance of notes, letters of credit, guarantees | 50,000 | 27,886.58 | Significant Contracts and Their Performance During the reporting period, the company had no entrustment, contracting, or leasing matters, and the total guarantee balance for its subsidiaries was 63.41 million yuan, representing 1.95% of the company's net assets - During the reporting period, the company had no entrustment, contracting, or leasing matters[57] Company Total Guarantee Information (Including Guarantees for Subsidiaries) (Unit: yuan) | Indicator | Amount | | :--- | :--- | | Total guarantee balance for subsidiaries at period-end (B) | 63,410,500.00 | | Total guarantees (A+B) | 63,410,500.00 | | % of total guarantees to company's net assets | 1.95 | | Of which: Amount of guarantees provided for shareholders, actual controllers, and their related parties (C) | 0 | | Amount of debt guarantees provided directly or indirectly for guaranteed parties with asset-liability ratio exceeding 70% (D) | 0 | | Amount of total guarantees exceeding 50% of net assets (E) | 0 | | Total of the above three guarantee amounts (C+D+E) | 0 | Progress on Use of Raised Funds The company's total raised funds were 1.29 billion yuan, with a net amount of 1.26 billion yuan; as of the reporting period end, 730.02 million yuan had been invested, representing 57.89% of the total Overall Use of Raised Funds (Unit: 10,000 yuan) | Source of Raised Funds | Total Raised Funds | Net Raised Funds (1) | Total Investment Committed in Prospectus or Offering Document (2) | Total Over-raised Funds (3)=(1)-(2) | Total Raised Funds Cumulatively Invested as of Reporting Period-End (4) | Investment Progress as of Reporting Period-End (%) (6)=(4)/(1) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Total Private Placement | 129,000.00 | 126,113.70 | 126,113.70 | 0 | 73,001.95 | 57.89 | - The "Maanshan Iron & Steel - Jinxi Wheelset Project" was terminated due to changes in market conditions, and the related raised funds of 87.11 million yuan have been transferred back to the company's special raised funds account[61][64][65] - The "Rail Transit and High-End Equipment Manufacturing Base Construction Project (Phase I)" has been completed and closed, with actual project investment of 630.02 million yuan and remaining raised funds of 320.51 million yuan[66] - The company will invest 29.86 million yuan of the remaining raised funds from the original "Rail Transit and High-End Equipment Manufacturing Base Construction Project (Phase I)" into the "High-Precision Axle Production Line Informationization Upgrade and Efficiency Improvement Technical Transformation Project"[62][67] Cash Management of Idle Raised Funds (Unit: 10,000 yuan) | Board of Directors Review Date | Approved Limit for Cash Management of Raised Funds | Start Date | End Date | Cash Management Balance at Period-End | Was the maximum balance during the period exceeded the authorized limit | | :--- | :--- | :--- | :--- | :--- | :--- | | August 9, 2024 | 79,000 | August 9, 2024 | August 8, 2025 | 79,000 | No | Section VI Share Changes and Shareholder Information This section provides details on changes in the company's share capital and the composition of its shareholders Share Change Information During the reporting period, the company's total share capital and share structure remained unchanged - During the reporting period, the company's total share capital and share structure remained unchanged[72] Shareholder Information As of the reporting period end, the company had 98,743 common shareholders; Jinxi Industrial Group Co., Ltd. held 30.79% of shares, serving as the controlling shareholder, with the top ten unrestricted shareholders largely consistent with the top ten shareholders - As of the end of the reporting period, the total number of common shareholders was 98,743[74] Top Ten Shareholders' Shareholdings (Excluding Shares Lent via Securities Lending) (Unit: shares) | Shareholder Name (Full Name) | Change During Reporting Period | Number of Shares Held at Period-End | % | Number of Restricted Shares Held | Pledged, Marked, or Frozen Status of Shares | Shareholder Nature | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jinxi Industrial Group Co., Ltd | 0 | 372,014,755 | 30.79 | 0 | None 0 | State-owned Legal Person | | Wang Yan | -110,000 | 7,019,000 | 0.58 | 0 | None 0 | Domestic Natural Person | | Hu Zuping | 4,411,000 | 4,511,000 | 0.37 | 0 | None 0 | Domestic Natural Person | | Dou Zhenjiang | 190,000 | 3,500,100 | 0.29 | 0 | None 0 | Domestic Natural Person | | BARCLAYS BANK PLC | 2,817,558 | 3,329,700 | 0.28 | 0 | None 0 | Overseas Legal Person | | Zhang Huixia | -219,400 | 3,237,080 | 0.27 | 0 | None 0 | Domestic Natural Person | | Wei Fulin | -150,000 | 3,000,000 | 0.25 | 0 | None 0 | Domestic Natural Person | | Shanxi Jiangyang Chemical Co., Ltd | 0 | 2,641,153 | 0.22 | 0 | None 0 | State-owned Legal Person | | Song Juan | 2,543,000 | 2,543,000 | 0.21 | 0 | None 0 | Domestic Natural Person | | Tan Shanming | 134,900 | 2,376,304 | 0.20 | 0 | None 0 | Domestic Natural Person | - Among the company's top ten shareholders, Jinxi Industrial Group Co., Ltd. and Shanxi Jiangyang Chemical Co., Ltd. are ultimately controlled by China North Industries Group Corporation Limited[76] Section VII Bond-Related Information This section reports on the company's outstanding corporate bonds and convertible bonds Corporate Bonds and Non-Financial Enterprise Debt Financing Instruments The company has no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments issued and not yet due or fully redeemed during the reporting period - The company has no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments issued and not yet due or fully redeemed during the reporting period[78] Convertible Corporate Bonds The company has no convertible corporate bonds issued and not yet converted into shares during the reporting period - The company has no convertible corporate bonds issued and not yet converted into shares during the reporting period[78] Section VIII Financial Report This section presents the company's unaudited financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in equity, along with accounting policies and notes Audit Report This semi-annual report is unaudited - This semi-annual report is unaudited[80] Financial Statements This section includes the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity for the first half of 2025, comprehensively presenting its financial position, operating results, and cash flows Consolidated Balance Sheet As of June 30, 2025, the company's consolidated total assets were 4.02 billion yuan, a 0.50% increase from the end of the previous year, with total current assets of 2.51 billion yuan and total non-current assets of 1.51 billion yuan - As of June 30, 2025, the company's consolidated total assets were 4.02 billion yuan, a 0.50% increase from 3.998 billion yuan at the end of 2024[81][17] - Total current assets were 2.51 billion yuan, and total non-current assets were 1.51 billion yuan[80][81] - Total liabilities were 760.99 million yuan, and total owners' equity was 3.26 billion yuan[82] Parent Company Balance Sheet As of June 30, 2025, the parent company's total assets were 3.22 billion yuan, a 1.21% increase from the end of the previous year, with total current assets of 1.89 billion yuan and total non-current assets of 1.33 billion yuan - As of June 30, 2025, the parent company's total assets were 3.22 billion yuan, a 1.21% increase from 3.185 billion yuan at the end of 2024[82] - Total current assets were 1.89 billion yuan, and total non-current assets were 1.33 billion yuan[83][84] - Total liabilities were 261.18 million yuan, and total owners' equity was 2.96 billion yuan[85] Consolidated Income Statement From January to June 2025, the company's consolidated total operating revenue was 607.90 million yuan, a 41.73% increase year-on-year, with total profit of 14.04 million yuan and net profit of 13.90 million yuan, achieving a turnaround from losses - From January to June 2025, the company's consolidated total operating revenue was 607.90 million yuan, a 41.73% increase from 428.91 million yuan in the prior year period[87][17] - Total profit was 14.04 million yuan, and net profit was 13.90 million yuan, achieving a turnaround from losses[88][17] - Basic earnings per share were 0.01 yuan/share[89][18] Parent Company Income Statement From January to June 2025, the parent company's operating revenue was 240.75 million yuan, an 11.07% increase year-on-year, while net profit was 21.03 million yuan, a 30.83% decrease from 30.41 million yuan in the prior year period - From January to June 2025, the parent company's operating revenue was 240.75 million yuan, an 11.07% increase from 216.76 million yuan in the prior year period[91] - Net profit was 21.03 million yuan, a 30.83% decrease from 30.41 million yuan in the prior year period[92] Consolidated Cash Flow Statement From January to June 2025, the company's net cash flow from operating activities was -12.50 million yuan, a significant improvement from -118.82 million yuan in the prior year period; net cash flow from investing activities was -107.17 million yuan, a significant decrease from 216.28 million yuan in the prior year period - From January to June 2025, net cash flow from operating activities was -12.50 million yuan, a significant improvement from -118.82 million yuan in the prior year period[95][17] - Net cash flow from investing activities was -107.17 million yuan, a significant decrease from 216.28 million yuan in the prior year period[95][17] - Net cash flow from financing activities was 0 yuan, compared to -14.50 million yuan in the prior year period[95] Parent Company Cash Flow Statement From January to June 2025, the parent company's net cash flow from operating activities was 111.05 million yuan, a 41.69% increase year-on-year; net cash flow from investing activities was -97.97 million yuan, a significant decrease from 225.51 million yuan in the prior year period - From January to June 2025, the parent company's net cash flow from operating activities was 111.05 million yuan, a 41.69% increase from 78.38 million yuan in the prior year period[97] - Net cash flow from investing activities was -97.97 million yuan, a significant decrease from 225.51 million yuan in the prior year period[97] Consolidated Statement of Changes in Owners' Equity As of June 30, 2025, the company's consolidated owners' equity totaled 3.26 billion yuan, a slight decrease from 3.261 billion yuan at the beginning of the period, with comprehensive income of 12.55 million yuan and profit distribution reducing equity by 16.91 million yuan - As of June 30, 2025, the company's consolidated owners' equity totaled 3.26 billion yuan, a 0.11% decrease from 3.261 billion yuan at the beginning of the period[102][17] - Total comprehensive income for the period was 12.55 million yuan, and profit distribution reduced equity by 16.91 million yuan[100] Parent Company Statement of Changes in Owners' Equity As of June 30, 2025, the parent company's owners' equity totaled 2.96 billion yuan, a slight increase from 2.959 billion yuan at the beginning of the period, with comprehensive income of 19.68 million yuan and profit distribution reducing equity by 16.91 million yuan - As of June 30, 2025, the parent company's owners' equity totaled 2.96 billion yuan, a 0.12% increase from 2.959 billion yuan at the beginning of the period[107] - Total comprehensive income for the period was 19.68 million yuan, and profit distribution reduced equity by 16.91 million yuan[106] Company Basic Information Jinxi Axle Co., Ltd., established in 2000, has a registered capital of 1.21 billion yuan, with Wu Zhenguo as its legal representative, and primarily engages in the manufacturing and sales of railway vehicle components, axles, and precision forged products - Jinxi Axle Co., Ltd. was established in 2000 with the approval of the State Economic and Trade Commission[110] - As of June 30, 2025, the company's total share capital was 1.21 billion shares, and its registered capital was 1.21 billion yuan[112] - The company's legal representative is Wu Zhenguo, and it belongs to the transportation equipment manufacturing industry[112] - The company's business scope includes the production and sales of railway vehicle components, axles, and precision forged products, as well as related technical consulting services; equipment maintenance; design, manufacturing, and sales of non-standard equipment; and import and export business of self-produced products and technologies[113] Basis of Financial Statement Preparation These financial statements are prepared in accordance with the Accounting Standards for Business Enterprises issued by the Ministry of Finance and relevant regulations of the China Securities Regulatory Commission, on a going concern basis - These financial statements are prepared in accordance with the "Accounting Standards for Business Enterprises" issued by the Ministry of Finance and the relevant provisions of "Information Disclosure Rules for Companies Issuing Securities No. 15 - General Provisions for Financial Reports" by the China Securities Regulatory Commission[114] - These financial statements are prepared on a going concern basis[115] Significant Accounting Policies and Estimates This section details the company's significant accounting policies and estimates, including accounting standards, period, operating cycle, functional currency, materiality, business combinations, consolidated financial statements, financial instruments, inventories, contract assets, fixed assets, intangible assets, employee benefits, and government grants - The company adheres to Accounting Standards for Business Enterprises, with a fiscal year from January 1 to December 31, an operating cycle of 12 months, and uses Renminbi as its functional currency[117][118][119][120] - Financial instruments are classified as financial assets and liabilities measured at amortized cost, fair value through other comprehensive income, or fair value through profit or loss[134][135] - Inventories are classified as raw materials, merchandise inventory, work in progress, contract performance costs, etc., valued at weighted average cost upon issuance, and measured at the lower of cost and net realizable value for impairment provisions[160][161] - Fixed assets are depreciated using the straight-line method, with depreciation periods of 20-40 years for buildings, 14-35 years for machinery, 8-12 years for transportation equipment, and 5-12 years for electronic equipment and others[179][180] - Intangible assets include software, land use rights, and non-patent technologies, with finite-lived intangible assets amortized over their useful lives[194] - Revenue is recognized when the performance obligations in the contract are satisfied, i.e., when the customer obtains control of the related goods or services[207] - Government grants are classified as asset-related or income-related, either reducing the carrying amount of the asset, recognized as deferred income, or directly recognized in current profit or loss[215][216] Taxes The company's main taxes include VAT (13%, 9%, 6%, 5%), Urban Maintenance and Construction Tax (7%), Corporate Income Tax (15%), Education Surcharge (3%), and Local Education Surcharge (2%); both the company and its subsidiary Jinxi Railway Vehicle Co., Ltd. are recognized as high-tech enterprises, enjoying a 15% corporate income tax rate from 2023 to 2025 Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Based on sales of goods and taxable services calculated according to tax laws, after deducting deductible input VAT for the current period, the difference is the VAT payable | 13.00%, 9.00%, 6.00%, 5.00% | | Urban Maintenance and Construction Tax | Calculated based on actual VAT and consumption tax paid | 7.00% | | Corporate Income Tax | Calculated based on taxable income | 15.00% | | Education Surcharge | Based on turnover tax amount paid | 3.00% | | Local Education Surcharge | Based on turnover tax amount paid | 2.00% | | Property Tax | Rental income from properties or original value of properties | 12.00%, 1.20% | - The company was recognized as a high-tech enterprise on December 8, 2023, and will pay corporate income tax at a reduced rate of 15% from 2023 to 2025[235] - Subsidiary Jinxi Railway Vehicle Co., Ltd. was recognized as a high-tech enterprise on December 8, 2023, and will pay corporate income tax at a reduced rate of 15% from 2023 to 2025[236] Notes to Consolidated Financial Statement Items This section provides detailed notes to the consolidated financial statement items, including cash and bank balances, financial assets at fair value, notes and accounts receivable, inventories, fixed assets, intangible assets, deferred income tax, notes and accounts payable, contract liabilities, employee benefits, taxes and surcharges, selling, administrative, R&D, and financial expenses, other income, investment income, credit impairment losses, asset impairment losses, non-operating income and expenses Cash and Bank Balances (Unit: yuan) | Item | Ending Balance | Beginning Balance | | :--- | :--- | :--- | | Bank Deposits | 15,774,545.64 | 8,414,392.80 | | Deposits with Finance Company | 563,070,658.39 | 690,021,527.85 | | Total | 578,845,204.03 | 698,435,920.65 | Operating Revenue and Operating Cost (Unit: yuan) | Item | Current Period Revenue | Current Period Cost | Prior Year Revenue | Prior Year Cost | | :--- | :--- | :--- | :--- | :--- | | Main Business | 604,503,268.72 | 532,091,766.23 | 421,712,911.89 | 402,752,383.50 | | Other Business | 3,392,935.18 | 3,595,002.29 | 7,200,559.56 | 6,286,921.59 | | Total | 607,896,203.90 | 535,686,768.52 | 428,913,471.45 | 409,039,305.09 | R&D Expenses (Unit: yuan) | Item | Amount for Current Period | Amount for Prior Period | | :--- | :--- | :--- | | Axle Product R&D | 7,789,412.19 | 9,249,762.16 | | Vehicle Product R&D | 15,645,537.50 | 12,031,184.25 | | Bolster and Side Frame Product R&D | 1,833,495.84 | 2,703,703.79 | | Other Product R&D | 2,924,335.48 | 3,859,778.01 | | Total | 28,192,781.01 | 27,844,428.21 | Investment Income (Unit: yuan) | Item | Amount for Current Period | Amount for Prior Period | | :--- | :--- | :--- | | Dividend income from other equity instrument investments held during the period | 6,120,000.00 | - | | Investment income from disposal of trading financial assets | 6,750,982.58 | 9,209,601.31 | | Other | 15,552.62 | - | | Total | 12,886,535.20 | 9,209,601.31 | R&D Expenses During the reporting period, the company's total R&D expenditure was 28.19 million yuan, all expensed, primarily allocated to materials, personnel, depreciation and amortization, and other expenses, with axle and vehicle product R&D as key areas R&D Expenses by Nature of Expense (Unit: yuan) | Item | Amount for Current Period | Amount for Prior Period | | :--- | :--- | :--- | | Direct input costs such as materials | 9,871,518.13 | 9,812,942.23 | | Personnel costs | 16,891,791.41 | 15,733,759.37 | | Depreciation and amortization expenses | 527,981.53 | 362,852.53 | | Other expenses | 901,489.94 | 1,934,874.08 | | Total | 28,192,781.01 | 27,844,428.21 | | Of which: Expensed R&D expenditures | 28,192,781.01 | 27,844,428.21 | | Capitalized R&D expenditures | - | - | Changes in Consolidation Scope During the reporting period, the company had no business combinations under non-common control, common control, reverse acquisitions, or disposals of subsidiaries leading to loss of control, nor any other changes in the scope of consolidation - During the reporting period, the company had no business combinations under non-common control, common control, reverse acquisitions, or disposals of subsidiaries leading to loss of control[384] - During the reporting period, the company had no other reasons leading to changes in the scope of consolidation[384] Interests in Other Entities The company's subsidiary, Jinxi Railway Vehicle Co., Ltd., has a registered capital of 130 million yuan, with a 100% direct shareholding, acquired through a business combination under common control Composition of Enterprise Group (Unit: yuan) | Subsidiary Name | Main Operating Location | Registered Capital | Registered Location | Business Nature | % of Shareholding (Direct) | Acquisition Method | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jinxi Railway Vehicle Co., Ltd | Taiyuan | 130,000,000.00 | Taiyuan | Manufacturing | 100.00 | Business combination under common control | Government Grants At the end of the reporting period, the company's total liabilities related to government grants amounted to 56.99 million yuan, primarily for asset-related projects such as green manufacturing processes and equipment for key complex rail transit castings, with 7.56 million yuan recognized in current profit or loss Liability Items Involving Government Grants (Unit: yuan) | Financial Statement Item | Beginning Balance | New Grants in Current Period | Amount Recognized in Non-Operating Income in Current Period | Transferred to Other Income in Current Period | Other Changes in Current Period | Ending Balance | Asset/Income Related | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Green Manufacturing Process and Equipment for Key Complex Rail Transit Castings Project | 17,460,774.76 | - | - | 1,310,646.18 | - | 16,150,128.58 | Asset-related | | Green Manufacturing Process and Equipment for Key Complex Castings Project | 5,926,875.01 | - | - | 307,862.94 | - | 5,619,012.07 | Asset-related | | 2023 High-Speed Train Wheelset Wheel and Axle Project | - | 7,400,000.00 | - | - | - | 7,400,000.00 | Asset-related | | Total | 61,252,027.34 | 7,950,000.00 | - | 3,933,452.04 | 330,000.00 | 56,988,575.30 | - | Government Grants Recognized in Current Profit or Loss (Unit: yuan) | Type | Amount for Current Period | Amount for Prior Period | | :--- | :--- | :--- | | Asset-related | 3,933,452.04 | 3,955,120.32 | | Income-related | 3,630,779.75 | 3,658,900.00 | | Total | 7,564,231.79 | 7,614,020.32 | Risks Related to Financial Instruments The company faces credit, liquidity, and market risks (including interest rate and exchange rate risks), managed through diversified investments, credit assessments, cash flow monitoring, and hedging; with no interest-bearing debt as of June 30, 2025, interest rate risk is minimal, while a 1% appreciation or depreciation of the RMB against the USD would impact net profit by 0.47 million yuan - The company faces credit risk, liquidity risk, and market risk (including interest rate risk and exchange rate risk)[389] - Credit risk primarily arises from cash and bank balances, notes receivable, accounts receivable, accounts receivable financing, contract assets, other receivables, and financial guarantee contracts, which the company controls by assessing customer creditworthiness and regular monitoring[390] - Liquidity risk is managed by monitoring cash balances, marketable securities, and forecasts of cash flows for the next 12 months to ensure sufficient funds to repay debts[391] - As of June 30, 2025, the company has no interest-bearing debt contracts, so it is less affected by interest rate risk[395] - Exchange rate risk primarily arises from financial assets and liabilities denominated in USD; if the RMB appreciates or depreciates by 1% against the USD, the company's net profit would decrease or increase by 0.47 million yuan[396] Disclosure of Fair Value As of the reporting period end, the company's total assets measured at fair value on a recurring basis amounted to 1.07 billion yuan, mainly comprising 790.00 million yuan in trading financial assets (structured deposits), 71.59 million yuan in accounts receivable financing, and 210.37 million yuan in other equity instrument investments Fair Value of Assets and Liabilities Measured at Fair Value at Period-End (Unit: yuan) | Item | Level 1 Fair Value Measurement | Level 2 Fair Value Measurement | Level 3 Fair Value Measurement | Total | | :--- | :--- | :--- | :--- | :--- | | I. Recurring Fair Value Measurement | | | | | | (I) Trading Financial Assets | - | 790,000,000.00 | - | 790,000,000.00 | | (4) Structured Deposits | - | 790,000,000.00 | - | 790,000,000.00 | | (VI) Accounts Receivable Financing | 71,586,366.94 | - | - | 71,586,366.94 | | (VII) Other Equity Instrument Investments | - | - | 210,365,810.31 | 210,365,810.31 | | Total Assets Measured at Fair Value on a Recurring Basis | 861,586,366.94 | - | 210,365,810.31 | 1,071,952,177.25 | Related Parties and Related Party Transactions The company's ultimate controlling party is China North Industries Group Corporation Limited, with various related party transactions including purchases, sales, leasing, and fund transfers; during the reporting period, total purchases from related parties were 56.60 million yuan, and total sales to related parties were 34.35 million yuan - The ultimate controlling party of this enterprise is China North Industries Group Corporation Limited[403] Purchases of Goods/Receipt of Services (Unit: yuan) | Related Party | Related Transaction Content | Amount for Current Period | Amount for Prior Period | | :--- | :--- | :--- | :--- | | Jinxi Industrial Group Co., Ltd | Purchases of goods/receipt of services | 27,350,468.71 | 15,569,640.26 | | Affiliated units of China North Industries Group Corporation Limited | Purchases of goods/receipt of services | 14,174,956.61 | 25,806,220.73 | | Shanxi Jinxi Transportation Co., Ltd | Purchases of goods/receipt of services | 7,598,051.79 | 4,652,798.78 | | Shanxi Jinxi Pressure Vessel Co., Ltd | Purchases of goods/receipt of services | 6,940,129.17 | 3,176,691.08 | | Total | 56,597,306.28 | 49,289,873.70 | Sales of Goods/Provision of Services (Unit: yuan) | Related Party | Related Transaction Content | Amount for Current Period | Amount for Prior Period | | :--- | :--- | :--- | :--- | | Jinxi Industrial Group Co., Ltd | Sales of goods/provision of services | 22,156,748.27 | 8,258,913.37 | | Affiliated units of China North Industries Group Corporation Limited | Sales of goods/provision of services | 8,367,949.58 | 6,258,849.55 | | Shanxi Jinxi Pressure Vessel Co., Ltd | Sales of goods/provision of services | 3,778,265.49 | 520,353.98 | | Total | 34,352,989.00 | 15,117,655.73 | - The company's time deposit business with Binggong Finance Co., Ltd. includes a principal of 210.00 million yuan and accrued interest income of 2.16 million yuan[411] Share-Based Payment During the reporting period, the company had no share-based payment transactions, including equity-settled and cash-settled share-based payments, and incurred no share-based payment expenses - During the reporting period, the company had no share-based payment transactions and incurred no share-based payment expenses[420] Commitments and Contingencies As of June 30, 2025, the company provided guarantees totaling 63.41 million yuan to its subsidiary, Jinxi Railway Vehicle Co., Ltd - As of June 30, 2025, the company provided guarantees totaling 63.41 million yuan to its subsidiary, Jinxi Railway Vehicle Co., Ltd[421] Post-Balance Sheet Events As of the report disclosure date, the company had no significant non-adjusting events, profit distribution, sales returns, or other post-balance sheet events - As of the report disclosure date, the company had no significant non-adjusting events, profit distribution, sales returns, or other post-balance sheet events[422] Other Significant Matters The company has segmented its operating business into two reporting segments, axle products and vehicle products, based on internal organizational structure and management requirements, and has disclosed the financial information for each segment - The company has segmented its operating business into two reporting segments, axle products and vehicle products, based on internal organizational structure, management requirements, and internal reporting system[422] Financial Information of Reporting Segments (Unit: yuan) | Item | Axle Product Segment | Vehicle Product Segment | Inter-segment Eliminations | Total | | :--- | :--- | :--- | :--- | :--- | | External Transaction Revenue | 193,134,008.53 | 414,762,195.37 | - | 607,896,203.90 | | Total Profit (Total Loss) | 21,038,066.90 | -7,806,228.95 | 809,606.53 | 14,041,444.48