建设工业(002265) - 2025 Q2 - 季度财报

Important Notes, Table of Contents, and Definitions Important Notes The Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, assuming legal responsibility, with no plans for cash dividends, bonus shares, or capital reserve conversions - The Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the report, assuming legal responsibility[5] - Company's responsible person Xian Zhigang, General Manager Wang Ziyong, Chief Accountant Xue Gangyi, and Head of Accounting Department Zhang Mengzhu declare the financial report is true, accurate, and complete[5] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital[6] Table of Contents This section presents the report's structured table of contents, outlining nine main chapters and their starting page numbers for quick navigation - The report comprises nine main chapters, covering important notes, company profile, management discussion and analysis, corporate governance, significant matters, share changes, bond information, financial reports, and other submitted data[8] List of Reference Documents This section lists reference documents, including original semi-annual report texts, financial statements, public disclosure files, and announcements, all available at the Board of Directors' office - Reference documents include the original semi-annual report signed by the chairman, original financial statements signed by the legal representative, original public disclosure documents from CSRC-designated newspapers, and original announcements[10] - All reference documents are kept at the company's Board of Directors' office[11] Definitions This section defines key terms and company abbreviations used in the report, such as 'Jianshe Industry,' 'Xiyi Company,' and 'China South Industries Group,' along with the reporting period - 'Jianshe Industry,' 'Company,' 'This Company,' and 'Parent Company' all refer to Jianshe Industry Group (Yunnan) Co., Ltd[12] - 'China South Industries Group' refers to China South Industries Group Corporation Limited[12] - 'This reporting period' refers to January to June 2025[12] Company Profile and Key Financial Indicators Company Profile This section provides the company's basic information, including its stock abbreviation 'Jianshe Industry,' stock code 002265, Chinese name Jianshe Industry Group (Yunnan) Co., Ltd., and legal representative Xian Zhigang Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Jianshe Industry | | Stock Code | 002265 | | Stock Exchange | Shenzhen Stock Exchange | | Chinese Name | Jianshe Industry Group (Yunnan) Co., Ltd. | | Legal Representative | Xian Zhigang | Contact Persons and Contact Information This section lists the contact information for the company's Board Secretary, Jiang Wei, including address, phone, fax, and email, to facilitate investor communication Board Secretary Contact Information | Position | Name | Address | Phone | Fax | Email | | :--- | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Jiang Wei | No. 1 Jianshe Avenue, Huaxi Industrial Park, Banan District, Chongqing | 023-66296173 | 023-66295555 | jsgy002265@cqjsgy.com | Other Information During the reporting period, there were no changes to the company's registered address, office address, website, email, or information disclosure and placement locations, with details available in the 2024 annual report - The company's registered address, office address, website, and email remained unchanged during the reporting period[16] - Information disclosure and placement locations remained unchanged during the reporting period[17] Key Accounting Data and Financial Indicators In the first half of 2025, the company's operating revenue decreased by 22.40% to 1.517 billion yuan, and net profit attributable to shareholders decreased by 44.90% to 48.87 million yuan, primarily due to contract signing cycles, while total assets and net assets attributable to shareholders slightly increased Key Accounting Data and Financial Indicators (Year-on-Year Change) | Indicator | Current Period (yuan) | Prior Year Period (yuan) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,517,297,732.76 | 1,955,177,427.92 | -22.40% | | Net Profit Attributable to Parent Company Shareholders | 48,865,767.32 | 88,693,426.77 | -44.90% | | Net Profit Attributable to Parent Company Shareholders After Deducting Non-Recurring Gains and Losses | 32,046,566.45 | 57,492,091.22 | -44.26% | | Net Cash Flow from Operating Activities | -853,744,482.07 | -869,085,434.78 | 1.77% | | Basic Earnings Per Share (yuan/share) | 0.05 | 0.09 | -44.44% | | Diluted Earnings Per Share (yuan/share) | 0.05 | 0.09 | -44.44% | | Weighted Average Return on Net Assets | 1.32% | 2.60% | -1.28% | | Indicator | Period-End Balance (yuan) | Prior Year-End Balance (yuan) | Period-End vs. Prior Year-End Change | | :--- | :--- | :--- | :--- | | Total Assets | 8,244,551,050.42 | 8,163,970,186.82 | 0.99% | | Net Assets Attributable to Parent Company Shareholders | 3,670,422,132.07 | 3,622,743,128.35 | 1.32% | - The decrease in operating revenue and net profit attributable to parent company shareholders was primarily due to the impact of contract signing cycles[19] Differences in Accounting Data Under Domestic and Foreign Accounting Standards During the reporting period, the company reported no differences in net profit and net assets between financial statements prepared under International Accounting Standards or foreign accounting standards and those prepared under Chinese Accounting Standards - The company reported no differences in net profit and net assets between financial statements disclosed under International Accounting Standards and Chinese Accounting Standards during the reporting period[20] - The company reported no differences in net profit and net assets between financial statements disclosed under foreign accounting standards and Chinese Accounting Standards during the reporting period[21] Non-Recurring Gains and Losses Items and Amounts The company's total non-recurring gains and losses for the reporting period amounted to 16.82 million yuan, primarily comprising government grants recognized in current profit or loss and handling fees for withholding individual income tax Non-Recurring Gains and Losses Items and Amounts | Item | Amount (yuan) | | :--- | :--- | | Gains or losses on disposal of non-current assets | -375,820.92 | | Government grants recognized in current profit or loss | 18,860,448.36 | | Debt restructuring gains or losses | 331,846.00 | | Other non-operating income and expenses apart from the above | 696,336.76 | | Other gains and losses meeting the definition of non-recurring | 338,782.01 | | Less: Income tax impact | 2,981,349.98 | | Minority interest impact (after tax) | 51,041.36 | | Total | 16,819,200.87 | - Other non-recurring gains and losses for January-June 2025 primarily consisted of handling fees for withholding individual income tax[24] Management Discussion and Analysis Main Businesses Engaged by the Company During the Reporting Period The company's main businesses remained largely unchanged, encompassing special products (light weapon equipment), automotive parts (connecting rods, transmission, steering, braking systems, including new energy vehicle components), and strategic emerging industries (civilian firearms, anti-terrorism, optoelectronic information, high-end titanium alloys), with a focus on integrated development and adaptation to automotive electrification and intelligence - The company's main businesses remained largely unchanged, primarily including special products, automotive parts, and strategic emerging industries[26] - Special product business covers light weapon equipment, focusing on the integrated development of mechanization, informatization, and intelligence, with export products sold to dozens of countries and regions worldwide[26] - The automotive parts industry actively adapts to electrification, intelligence, and lightweight trends, with steady development in new energy vehicle components and a leading market share in automotive connecting rods[26] - Strategic emerging industries focus on new special equipment, new energy vehicles, new materials, optoelectronic information, and other fields, accelerating their cultivation[26] Core Competitiveness Analysis The company's core competitiveness spans industry position, products, military-civilian integration, technological innovation, intelligent manufacturing, talent, quality control, and corporate culture, maintaining a leading position in light weapons and automotive connecting rods as a China South Industries Group-controlled listed company - The company is a listed company controlled by China South Industries Group Corporation Limited, a leading domestic R&D and manufacturing enterprise for light weapon equipment, and a leader in the automotive connecting rod industry, honored as a national-level "specialized, refined, unique, and new" small giant enterprise[27] - By deepening military-civilian integrated development, the company has achieved mutual advantages and support between military and civilian products, enhancing its sustainable development and risk resistance capabilities[29] - The company possesses multiple innovation platforms, including a national postdoctoral research workstation and a national defense science and technology industry technology center, and has been approved by the National Defense Science and Technology Industry Bureau as a "Special Product Manufacturing Discipline and Technology Center," leading the co-establishment of the "Chongqing Key Laboratory for Special Robot Design and Control Technology"[30] - The company holds core technologies such as special deep tube processing and complex parts manufacturing, has built over 60 automated production units, and has been recognized as a Chongqing Smart Factory and Digital Workshop[32] - The company operates a postdoctoral research workstation and an academician (expert) innovation workstation, having recruited 2 full-time PhDs in weapon science and technology and control in 2025, with 292 professionals in informatization and intelligent manufacturing[33] - The company is certified with ISO9000, GJB9001C, IATF16949:2016, and GJB5000B standards, being the eighth enterprise nationwide to achieve Level 3 maturity in the new era equipment quality management system[34] Main Business Analysis In the first half of 2025, the company's operating revenue decreased by 22.40% year-on-year, while operating costs decreased by 26.52%, leading to a 4.60% increase in gross margin; selling expenses significantly decreased due to accounting standard adjustments, management expenses increased due to performance incentives, and financial expenses substantially reduced due to deposit structure adjustments, with overseas revenue growing by 71.08% Key Financial Data Year-on-Year Changes | Indicator | Current Period (yuan) | Prior Year Period (yuan) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,517,297,732.76 | 1,955,177,427.92 | -22.40% | | | Operating Costs | 1,242,485,054.30 | 1,690,903,334.57 | -26.52% | | | Selling Expenses | 7,930,931.35 | 11,798,327.90 | -32.78% | Adjustment due to Accounting Standards Interpretation No. 18, where quality assurance provisions previously classified as selling expenses are now accounted for as main business costs | | Administrative Expenses | 151,421,719.68 | 127,547,512.97 | 18.72% | Impact of performance incentive payouts | | Financial Expenses | -8,563,370.52 | -131,132.96 | -6,430.30% | Impact of deposit structure adjustments | | Income Tax Expense | 657,695.00 | 6,217,486.34 | -89.42% | Impact of reduced total profit and increased R&D expense super deduction | | R&D Investment | 118,603,321.52 | 101,856,499.32 | 16.44% | | | Net Cash Flow from Operating Activities | -853,744,482.07 | -869,085,434.78 | 1.77% | | | Net Cash Flow from Investing Activities | -440,310,485.44 | -136,765,903.70 | -221.94% | Impact of new three-year fixed deposits | | Net Cash Flow from Financing Activities | 494,459,620.32 | 372,217,250.00 | 32.84% | Impact of increased borrowings | | Net Increase in Cash and Cash Equivalents | -799,310,282.68 | -633,714,734.37 | -26.13% | | Operating Revenue Composition (by Industry, Product, Region) | Category | Current Period Amount (yuan) | Proportion of Operating Revenue | Prior Year Period Amount (yuan) | Proportion of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 1,517,297,732.76 | 100% | 1,955,177,427.92 | 100% | -22.40% | | By Industry | | | | | | | Manufacturing | 1,517,297,732.76 | 100.00% | 1,955,177,427.92 | 100.00% | -22.40% | | By Product | | | | | | | Main Business | 1,479,285,157.08 | 97.49% | 1,911,794,836.47 | 97.78% | -22.62% | | Other Businesses | 38,012,575.68 | 2.51% | 43,382,591.45 | 2.22% | -12.38% | | By Region | | | | | | | Domestic | 1,440,026,778.62 | 94.91% | 1,910,011,088.34 | 97.69% | -24.61% | | Overseas | 77,270,954.14 | 5.09% | 45,166,339.58 | 2.31% | 71.08% | Industry, Product, or Region Accounting for Over 10% of Company's Operating Revenue or Operating Profit | Category | Operating Revenue (yuan) | Operating Costs (yuan) | Gross Margin | YoY Change in Operating Revenue | YoY Change in Operating Costs | YoY Change in Gross Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | By Industry | | | | | | | | Manufacturing | 1,517,297,732.76 | 1,242,485,054.30 | 18.11% | -22.40% | -26.52% | 4.60% | | By Product | | | | | | | | Main Business | 1,479,285,157.08 | 1,235,700,023.45 | 16.47% | -22.62% | -26.34% | 4.22% | Non-Main Business Analysis The company's non-main businesses significantly contribute to total profit, with investment income accounting for 47.45% (primarily from equity method investments) and other income for 62.87% (mainly from government grants), both demonstrating sustainability, while other items like asset impairment and non-operating income/expenses have minor, non-recurring impacts Impact of Non-Main Businesses on Total Profit | Item | Amount (yuan) | Proportion of Total Profit | Reason for Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 23,991,685.64 | 47.45% | Primarily investment income accounted for using the equity method | Yes | | Asset Impairment | -576,803.95 | -1.14% | See "71. Credit Impairment Losses" and "72. Asset Impairment Losses" in Note VII of the financial report | No | | Non-Operating Income | 2,909,053.43 | 5.75% | See "74. Non-Operating Income" in Note VII of the financial report | No | | Non-Operating Expenses | 2,212,716.67 | 4.38% | See "75. Non-Operating Expenses" in Note VII of the financial report | No | | Gains on Disposal of Assets | -375,820.92 | -0.74% | See "73. Gains on Disposal of Assets" in Note VII of the financial report | No | | Other Income | 31,788,181.90 | 62.87% | See "67. Other Income" in Note VII of the financial report | Yes | Analysis of Assets and Liabilities At the end of the reporting period, the company's total assets and net assets attributable to shareholders both increased; the asset structure showed a 10.29% decrease in cash and bank balances, while accounts receivable and inventories increased by 1.90% and 3.14% respectively, and short-term borrowings significantly increased by 6.04%, reflecting higher borrowing levels Significant Changes in Asset Composition | Item | Period-End Amount (yuan) | Proportion of Total Assets | Prior Year-End Amount (yuan) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 1,493,932,858.75 | 18.12% | 2,319,367,193.24 | 28.41% | -10.29% | | Accounts Receivable | 1,511,328,032.41 | 18.33% | 1,341,578,156.62 | 16.43% | 1.90% | | Inventories | 1,052,946,136.91 | 12.77% | 786,177,277.96 | 9.63% | 3.14% | | Short-Term Borrowings | 700,976,800.00 | 8.50% | 201,124,569.67 | 2.46% | 6.04% | | Total Assets | 8,244,551,050.42 | | 8,163,970,186.82 | | 0.99% | | Net Assets Attributable to Parent Company Shareholders | 3,670,422,132.07 | | 3,622,743,128.35 | | 1.32% | - At the end of the reporting period, there were no significant changes in the measurement attributes of the company's major assets[45] Asset Rights Restricted at the End of the Reporting Period | Item | Period-End Book Value (yuan) | Reason for Restriction | | :--- | :--- | :--- | | Cash and Bank Balances | 14,499,995.54 | Bill deposits, special funds, etc. | | Fixed Assets | 22,581,264.78 | Credit mortgage | | Intangible Assets | 12,365,657.83 | Credit mortgage | | Accounts Receivable | 1,408,013,439.96 | Pledged for financial institution credit | | Notes Receivable | 7,544,999.22 | Undue notes endorsed | | Total | 1,465,005,357.33 | | Investment Status Analysis During the reporting period, the company's total investment increased by 4.04% year-on-year, with an overall utilization rate of 88.37% for raised funds, primarily used for cash consideration for equity purchases and working capital, all committed projects achieved expected benefits and no significant changes in feasibility, and no securities, derivative investments, or changes in raised fund projects occurred Report Period Investment Amount | Indicator | Amount (yuan) | | :--- | :--- | | Report Period Investment Amount | 93,694,500.00 | | Prior Year Period Investment Amount | 90,048,600.00 | | Change Percentage | 4.04% | - The company had no securities investments or derivative investments during the reporting period[48][49] Overall Use of Raised Funds As of June 30, 2025, the company utilized 0.2512 million yuan of raised funds this year (for working capital), with a remaining balance of 150.04 million yuan (including interest income and handling fees), resulting in an overall utilization rate of 88.37% Overall Use of Raised Funds | Fundraising Year | Fundraising Method | Total Raised Capital (million yuan) | Net Raised Capital (1) (million yuan) | Total Raised Capital Used This Period (million yuan) | Total Raised Capital Used Cumulatively (2) (million yuan) | Raised Capital Utilization Rate at Period End (3)=(2)/(1) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 2023 | Issuance of Shares to Specific Objects | 100,000 | 97,827 | 25.12 | 86,447.38 | 88.37% | - As of June 30, 2025, 0.2512 million yuan of raised funds were used this year (for working capital), with a remaining balance of 150.04 million yuan (including interest income and handling fees)[53] Status of Committed Projects for Raised Funds The company's committed projects for raised funds include cash consideration for equity purchases, working capital, and issuance underwriting fees and other transaction taxes; all committed projects remain unchanged, have cumulatively invested between 51.07% and 100% of the total committed investment, and have achieved expected benefits by the end of the reporting period Status of Committed Projects for Raised Funds | Committed Investment Project | Project Nature | Project Changed | Total Committed Investment (million yuan) | Adjusted Total Investment (1) (million yuan) | Amount Invested This Period (million yuan) | Cumulative Amount Invested at Period End (2) (million yuan) | Investment Progress at Period End (3)=(2)/(1) | Achieved Expected Benefits | Significant Change in Project Feasibility | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 1. Cash Consideration for Equity Purchase | Investment & M&A | No | 70,000 | 70,000 | | 70,000 | 100.00% | Yes | No | | 2. Working Capital | Working Capital | No | 27,697 | 27,697 | 25.12 | 14,144.38 | 51.07% | Yes | No | | 3. Issuance Underwriting Fees and Other Transaction Taxes | Investment & M&A | No | 2,303 | 2,303 | | 2,303 | 100.00% | Yes | No | | Subtotal of Committed Investment Projects | | -- | 100,000 | 100,000 | 25.12 | 86,447.38 | -- | -- | -- | - All committed investment projects remained unchanged and achieved expected benefits[55] Changes in Raised Funds Projects The company had no changes in raised funds projects during the reporting period - The company had no changes in raised funds projects during the reporting period[58] Disposal of Significant Assets and Equity The company did not dispose of any significant assets or equity during the reporting period - The company did not dispose of significant assets during the reporting period[59] - The company did not dispose of significant equity during the reporting period[60] Analysis of Major Holding and Invested Companies This section details the company's major holding subsidiaries and invested companies with over 10% impact on net profit, including Chongqing Jianshe Industrial, Chengde Suken Yinhe Auto Parts Yancheng Co., Ltd., and Chongqing Nexteer Steering Systems Co., Ltd., which significantly contribute to operating revenue and net profit in special products and automotive parts Major Subsidiaries and Invested Companies with Over 10% Impact on Company's Net Profit | Company Name | Company Type | Main Business | Registered Capital (million yuan) | Total Assets (million yuan) | Net Assets (million yuan) | Operating Revenue (million yuan) | Operating Profit (million yuan) | Net Profit (million yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Chongqing Jianshe Industrial (Group) Co., Ltd. | Subsidiary | Special products, automotive parts, and others | 201.1559 | 6,773.8851 | 2,922.6115 | 740.9125 | 106.4753 | 107.9757 | | Chengde Suken Yinhe Auto Parts Yancheng Co., Ltd. | Subsidiary | Automotive parts | 137.6336 | 256.8571 | 173.2300 | 152.5891 | 19.7138 | 16.6833 | | Chongqing Nexteer Steering Systems Co., Ltd. | Invested Company | Automotive parts | 120.0000 | 1,301.2283 | 347.0784 | 793.4595 | 30.4125 | 25.5256 | - The company neither acquired nor disposed of subsidiaries during the reporting period[61] Information on Structured Entities Controlled by the Company The company had no controlled structured entities during the reporting period - The company had no controlled structured entities during the reporting period[62] Risks Faced by the Company and Countermeasures The company faces risks including transformation and development, market competition, safety production, environmental protection, product quality, digitalization, special product price fluctuations, inventory impairment, stock market volatility, and force majeure, which it addresses through strengthening mission, optimizing product structure, enhancing cost control, improving safety management, increasing environmental investment, reinforcing quality control, unified digital transformation planning, and refining market risk prevention mechanisms - The company faces transformation and development risks, and will promote light weapon equipment towards "three-integration" (mechanization, informatization, intelligence) and intelligent unmanned directions, accelerating the transformation of automotive parts business "from oil to electric," "from crude to refined," and "from components to assemblies"[62] - The company faces market competition risks and will strengthen market analysis and forecasting, accelerate new product cultivation and industrialization, enhance cost control, and improve market risk prevention mechanisms[63] - The company faces risks in safety production, environmental protection, product quality, and digitalization, which will be addressed through measures such as reinforcing safety responsibilities, increasing investment in environmental equipment upgrades, strengthening quality control, and unified planning for digital transformation[64][65] - The company is exposed to risks of special product price fluctuations and inventory impairment, as well as stock market volatility and force majeure risks[65][66] Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company has not formulated a market value management system nor disclosed a valuation enhancement plan - The company has not formulated a market value management system[67] - The company has not disclosed a valuation enhancement plan[67] Implementation of "Quality and Return Dual Enhancement" Action Plan The company formulated a "Quality and Return Dual Enhancement" action plan in April 2024, and during the reporting period, it continuously advanced product and industry development, technological innovation, modernization of corporate governance, improvement of information disclosure quality, and construction of a safety risk prevention and control system, leading to its inclusion in the Shenzhen Component Index sample stock in June 2025, further enhancing its capital market influence - The company formulated a "Quality and Return Dual Enhancement" action plan in April 2024, aiming to invigorate the capital market and boost investor confidence[68] - During the reporting period, the company continuously promoted the development of special and civilian product industries, accelerated new project approvals and overseas marketing transformation, ensuring stable development of the military-civilian integrated industrial segment[68] - The company adheres to technology-driven innovation, having been approved by the National Defense Science and Technology Industry Bureau as a "Special Product Manufacturing Discipline and Technology Center" and leading the co-establishment of the "Chongqing Key Laboratory for Special Robot Design and Control Technology"[69] - The company continuously improves its modern corporate governance system, optimizing organizational structure, revising governance policies, and strengthening Board of Directors construction[70] - The company enhances information disclosure quality through performance briefings, investor reception days, and interactive platforms, providing high-quality responses to investor questions, and published its "2024 Environmental, Social, and Governance (ESG) Report"[71] - The company was included in the Shenzhen Component Index sample stock on June 16, 2025, further enhancing its capital market influence[72] - The company steadily improved its overall safety management level, continuously refined its risk control system, and experienced no safety risk incidents in the first half of the year[74] Corporate Governance, Environment, and Society Changes in Company Directors, Supervisors, and Senior Management During the reporting period, company director Wang Xiaochang resigned due to job relocation, and Gu Daokun was elected as a director Changes in Directors, Supervisors, and Senior Management | Name | Position Held | Type | Date | Reason | | :--- | :--- | :--- | :--- | :--- | | Wang Xiaochang | Director | Resignation | January 06, 2025 | Job relocation | | Gu Daokun | Director | Election | February 14, 2025 | Job relocation | Profit Distribution and Capital Reserve Conversion to Share Capital for the Current Reporting Period The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[77] Implementation of Company's Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[78] Environmental Information Disclosure The company and its three major subsidiaries (Jianshe Industry Group (Yunnan) Co., Ltd., Chongqing Jianshe Industrial (Group) Co., Ltd., and Chengde Suken Yinhe Auto Parts Co., Ltd.) are all included in the list of enterprises required to disclose environmental information by law, with corresponding inquiry indexes provided - The company and its 3 major subsidiaries are included in the list of enterprises required to disclose environmental information by law[79] Enterprises Included in the List of Enterprises Required to Disclose Environmental Information by Law | No. | Enterprise Name | Inquiry Index for Environmental Information Disclosure Report | | :--- | :--- | :--- | | 1 | Jianshe Industry Group (Yunnan) Co., Ltd. | http://183.224.17.39:10097/ynyfpl/frontal/index.html/home/index | | 2 | Chongqing Jianshe Industrial (Group) Co., Ltd. | http://cqtpf.cqree.cn:10001/eps/index/enterprise-search | | 3 | Chengde Suken Yinhe Auto Parts Co., Ltd. | http://121.29.48.71:8080/ | Social Responsibility Performance In 2025, the company actively fulfilled its social responsibilities by strengthening organizational leadership, formulating assistance plans, and carrying out targeted poverty alleviation work, including allocating 1 million yuan for rural construction, purchasing 15,990 yuan worth of agricultural products from poverty-stricken areas, and dispatching cadres to support rural revitalization and conduct慰问调研 activities - The company's Party Committee highly values targeted assistance work, specifically studying and deploying the 2025 assistance plan[81] - The company allocated 1 million yuan in aid funds, with 0.9 million yuan to Yanshan County, Yunnan Province, and 0.1 million yuan to Yajiang County, Sichuan Province, for rural construction[83] - The company purchased 15,990 yuan worth of agricultural products from poverty-stricken areas, implementing consumption-based assistance[84] - The company dispatched Zhu Haizhou, an excellent young middle-level cadre, to serve as Deputy County Head of Yanshan County, Yunnan Province, and Dai Fei as First Secretary and Team Leader of the驻村干部 in Nimei Village, Leyu Town, Honghe County, Yunnan Province, to support rural revitalization[85] Significant Matters Commitments Fulfilled or Overdue by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company During the Reporting Period During the reporting period, there were no commitments fulfilled or overdue by the company's actual controller, shareholders, related parties, acquirers, or the company itself - The company had no overdue unfulfilled commitments during the reporting period[88] Non-Operating Fund Occupation by Controlling Shareholder and Other Related Parties During the reporting period, there was no non-operating fund occupation by the controlling shareholder or other related parties of the listed company - The company had no non-operating fund occupation by the controlling shareholder or other related parties during the reporting period[89] Illegal External Guarantees The company had no illegal external guarantees during the reporting period - The company had no illegal external guarantees during the reporting period[90] Appointment and Dismissal of Accounting Firms The company's semi-annual financial report is unaudited - The company's semi-annual report is unaudited[91] Board of Directors' and Supervisory Board's Explanation on "Non-Standard Audit Report" for the Current Reporting Period During the reporting period, the company received no "non-standard audit report" from its accounting firm - The company received no "non-standard audit report" from its accounting firm during the reporting period[92] Board of Directors' Explanation on "Non-Standard Audit Report" for the Previous Year During the reporting period, there was no explanation from the Board of Directors regarding the "non-standard audit report" for the previous year - There was no explanation from the Board of Directors regarding the "non-standard audit report" for the previous year during the reporting period[92] Bankruptcy and Reorganization Matters The company had no bankruptcy and reorganization matters during the reporting period - The company had no bankruptcy and reorganization matters during the reporting period[92] Litigation Matters During the reporting period, the company had no significant litigation or arbitration matters; other litigation involved 8.869 million yuan, with 8 cases concluded in the first half, including 5 favorable judgments in primary cases, 2 withdrawals by plaintiffs in defendant cases, and 1 defendant case fully enforced - This reporting period, the company had no significant litigation or arbitration matters[93] Summary of Other Litigation Matters | Litigation/Arbitration Details | Amount Involved (million yuan) | Provision for Liabilities Formed | Litigation/Arbitration Progress | Litigation/Arbitration Outcome and Impact | Judgment Enforcement Status | | :--- | :--- | :--- | :--- | :--- | :--- | | Summary of other litigation not meeting significant disclosure standards | 8.869 | No | 8 cases concluded in H1 2025 | 5 primary cases resulted in effective favorable judgments, 2 defendant cases were withdrawn by plaintiffs, and 1 defendant (third party) case required payment of 21,800 yuan, a minor amount | 4 primary cases have applied for compulsory enforcement (no monetary amount, requesting vacation of public housing), another primary case's defendant is bankrupt with claims filed; 1 defendant (third party) case has been fully enforced | Penalties and Rectification The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[95] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller During the reporting period, there were no integrity issues concerning the company, its controlling shareholder, or actual controller - There were no integrity issues concerning the company, its controlling shareholder, or actual controller during the reporting period[96] Significant Related Party Transactions During the reporting period, the company had no related party transactions concerning daily operations, asset or equity acquisition/disposal, joint external investments, or related party creditor/debtor relationships; however, the company engaged in financial business with China South Industries Group Finance Co., Ltd., including deposits, loans, and credit facilities - The company had no related party transactions concerning daily operations, asset/equity acquisition/disposal, joint external investments, or related party creditor/debtor relationships during the reporting period[96][97][98] Transactions with Related Finance Companies The company engages in deposit, loan, and credit financial services with China South Industries Group Finance Co., Ltd., with an ending deposit balance of 2.158 billion yuan, a loan balance of 700.98 million yuan, and actual credit utilization of 868.52 million yuan Deposit Transactions with China South Industries Group Finance Co., Ltd. | Related Party | Relationship | Max Daily Deposit Limit (million yuan) | Deposit Interest Rate Range | Beginning Balance (million yuan) | Total Deposits This Period (million yuan) | Total Withdrawals This Period (million yuan) | Ending Balance (million yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | China South Industries Group Finance Co., Ltd. | Same ultimate controller | 420,000 | 0.1%～3.1625% | 235,613 | 191,861 | 211,635 | 215,839 | Loan Transactions with China South Industries Group Finance Co., Ltd. | Related Party | Relationship | Loan Limit (million yuan) | Loan Interest Rate Range | Beginning Balance (million yuan) | Total Loans This Period (million yuan) | Total Repayments This Period (million yuan) | Ending Balance (million yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | China South Industries Group Finance Co., Ltd. | Same ultimate controller | 160,000 | 1%～2.95% | 20,100.82 | 49,996.86 | 0 | 70,097.68 | Credit and Other Financial Services with China South Industries Group Finance Co., Ltd. | Related Party | Relationship | Business Type | Total Amount (million yuan) | Actual Amount (million yuan) | | :--- | :--- | :--- | :--- | :--- | | China South Industries Group Finance Co., Ltd. | Same ultimate controller | Credit | 200,000 | 86,852.07 | Transactions Between the Company's Controlled Finance Company and Related Parties The company's controlled finance company has no deposit, loan, credit, or other financial transactions with related parties - The company's controlled finance company has no deposit, loan, credit, or other financial transactions with related parties[101] Other Significant Related Party Transactions The company had no other significant related party transactions during the reporting period - The company had no other significant related party transactions during the reporting period[102] Significant Contracts and Their Performance During the reporting period, the company had no entrustment, contracting, significant guarantees, or wealth management activities; current rental income totaled 13.67 million yuan, which did not exceed 10% of total profit, and there were no other significant contracts - The company had no entrustment, contracting, significant guarantees, or wealth management activities during the reporting period[103][104][108][109] Leasing Situation During this reporting period, the company recognized 13.67 million yuan in rental income from leasing land and properties at its Huaxi headquarters, Degan base, and Pengzhou base, with no leasing projects generating profits exceeding 10% of the company's total profit - During this reporting period, the company recognized 13.67 million yuan in rental income from leasing land and properties at its Huaxi headquarters, Degan base, and Pengzhou base[105] - No leasing projects generated profits exceeding 10% of the company's total profit for the reporting period[107] Explanation of Other Significant Matters The company's controlling shareholder, China South Industries Group Corporation Limited, is planning a restructuring, and on June 4, 2025, received notification from the State-owned Assets Supervision and Administration Commission of the State Council that China South Industries Group would undergo a split, with its automotive business segment becoming an independent central enterprise, and the equity of the split China South Industries Group would be injected into China North Industries Group Corporation Limited - The company's controlling shareholder, China South Industries Group Corporation Limited, is planning a restructuring[111] - China South Industries Group will undergo a split, with its automotive business segment becoming an independent central enterprise, and the equity of the split China South Industries Group will be injected into China North Industries Group Corporation Limited[111] Significant Matters of Company Subsidiaries There were no significant matters concerning the company's subsidiaries during the reporting period - There were no significant matters concerning the company's subsidiaries during the reporting period[112] Share Changes and Shareholder Information Share Capital Changes During the reporting period, the company's total share capital remained unchanged at 1,033,040,407 shares, with restricted shares accounting for 60.98% and unrestricted shares for 39.02% Share Capital Changes | Item | Quantity Before Change (shares) | Percentage Before Change | Increase/Decrease This Change (+,-) | Quantity After Change (shares) | Percentage After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 629,943,382 | 60.98% | 0 | 629,943,382 | 60.98% | | 2. State-owned Legal Person Shares | 629,943,382 | 60.98% | 0 | 629,943,382 | 60.98% | | II. Unrestricted Shares | 403,097,025 | 39.02% | 0 | 403,097,025 | 39.02% | | 1. RMB Ordinary Shares | 403,097,025 | 39.02% | 0 | 403,097,025 | 39.02% | | III. Total Shares | 1,033,040,407 | 100.00% | 0 | 1,033,040,407 | 100.00% | - The company's total share capital remained unchanged during the reporting period[115] Securities Issuance and Listing There were no securities issuance or listing activities during the reporting period - There were no securities issuance or listing activities during the reporting period[116] Company Shareholder Numbers and Shareholding As of the end of the reporting period, the company had 126,460 ordinary shareholders, with China South Industries Group Corporation Limited (65.89% shareholding) and Southern Industrial Asset Management Co., Ltd. (12.16% shareholding) as the top two shareholders - As of the end of the reporting period, the total number of ordinary shareholders was 126,460[117] Shareholding of Shareholders with 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Percentage | Number of Shares Held at Period End (shares) | Change During Reporting Period | Number of Restricted Shares Held (shares) | Number of Unrestricted Shares Held (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | China South Industries Group Corporation Limited | State-owned Legal Person | 65.89% | 680,700,035.00 | 0 | 629,943,382.00 | 50,756,653.00 | | Southern Industrial Asset Management Co., Ltd. | State-owned Legal Person | 12.16% | 125,605,626.00 | 0 | 0 | 125,605,626.00 | - China South Industries Group Corporation Limited is the controlling shareholder of Southern Asset and Changjiang Optoelectronics[117] Changes in Shareholdings of Directors, Supervisors, and Senior Management There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period, with details available in the 2024 annual report - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period[119] Changes in Controlling Shareholder or Actual Controller The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder did not change during the reporting period[120] - The company's actual controller did not change during the reporting period[120] Bond-Related Information Bond-Related Information There were no bond-related matters during the reporting period - There were no bond-related matters during the reporting period[123] Financial Report Audit Report The company's semi-annual financial report is unaudited - The company's semi-annual financial report is unaudited[125] Financial Statements This section provides 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; the consolidated statements show total assets of 8.245 billion yuan and equity attributable to parent company owners of 3.67 billion yuan at period-end, with current period net profit of 49.91 million yuan and net profit attributable to parent company shareholders of 48.87 million yuan Key Data from Consolidated Balance Sheet | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Total Assets | 8,244,551,050.42 | 8,163,970,186.82 | | Total Liabilities | 4,515,605,040.03 | 4,484,060,336.51 | | Total Equity Attributable to Parent Company Owners | 3,670,422,132.07 | 3,622,743,128.35 | Key Data from Consolidated Income Statement | Item | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 1,517,297,732.76 | 1,955,177,427.92 | | Operating Profit | 49,866,743.04 | 98,090,542.85 | | Total Profit | 50,563,079.80 | 97,586,682.31 | | Net Profit | 49,905,384.80 | 91,369,195.97 | | Net Profit Attributable to Parent Company Shareholders | 48,865,767.32 | 88,693,426.77 | | Basic Earnings Per Share (yuan/share) | 0.05 | 0.09 | | Diluted Earnings Per Share (yuan/share) | 0.05 | 0.09 | Key Data from Consolidated Cash Flow Statement | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -853,744,482.07 | -869,085,434.78 | | Net Cash Flow from Investing Activities | -440,310,485.44 | -136,765,903.70 | | Net Cash Flow from Financing Activities | 494,459,620.32 | 372,217,250.00 | | Net Increase in Cash and Cash Equivalents | -799,310,282.68 | -633,714,734.37 | | Cash and Cash Equivalents at Period End | 1,479,432,863.21 | 1,491,492,818.78 | Company Profile The company, formerly Yunnan Xiyi Industrial Co., Ltd., underwent multiple share capital changes and asset restructurings, including share issuances for asset acquisitions and supporting fund raising in 2017 and 2022, and was renamed Jianshe Industry Group (Yunnan) Co., Ltd. in 2023, with its main business being R&D, production, sales, and service of special and civilian products, and China South Industries Group Corporation Limited as its actual controller - The company, formerly Yunnan Xiyi Industrial Co., Ltd., was established on March 28, 2005, with a registered capital of 218.026 million yuan[163] - On July 25, 2008, the company's total share capital increased to 291.026 million shares after its initial public offering[163] - In 2017, the total share capital increased to 318.566 million shares following a share issuance for asset acquisition and supporting fund raising[164] - In 2022, the total share capital increased to 1.033 billion shares after issuing shares to acquire 100% equity of Chongqing Jianshe Industrial (Group) Co., Ltd. and raising supporting funds[164][165] - On July 19, 2023, the company's name changed to 'Jianshe Industry Group (Yunnan) Co., Ltd.' and its stock abbreviation to 'Jianshe Industry'[165] - The company's main business involves R&D, production, sales, and service of special products and civilian products, with China South Industries Group Corporation Limited as its actual controller[166] 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, accurately and completely reflecting the company's financial position, operating results, and cash flows - 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[167] - The financial statements are prepared on a going concern basis[168] - These financial statements comply with enterprise accounting standards, accurately and completely reflecting the company's consolidated and parent company financial position as of June 30, 2025, and operating results and cash flows for January-June 2025[170] Significant Accounting Policies and Estimates This section details the company's specific accounting policies and estimates regarding accounting period, operating cycle, functional currency, materiality, business combinations, consolidated financial statement preparation, joint arrangements, cash and cash equivalents, foreign currency transactions, financial instruments, notes receivable, accounts receivable, other receivables, contract assets, inventories, assets held for sale, debt investments, long-term equity investments, investment properties, fixed assets, construction in progress, borrowing costs, intangible assets, impairment of long-term assets, long-term deferred expenses, contract liabilities, employee benefits, provisions, share-based payments, preferred shares/perpetual bonds, revenue, contract costs, government grants, deferred income tax assets/liabilities, and leases - The company's accounting year adopts the calendar year, with a 12-month operating cycle, and uses RMB as its functional currency[171][172][173] - The company classifies financial assets as measured at amortized cost, at fair value through other comprehensive income, or at fair value through profit or loss[185] - The company provides for impairment losses on various financial assets based on expected credit losses[193] - The company depreciates fixed assets using the straight-line method, with buildings depreciated over 10-60 years and machinery over 5-15 years[217] - The company recognizes revenue when performance obligations are satisfied and the customer obtains control of the related goods or services, using different recognition methods for special products, civilian firearms, and automotive parts[245][251][256][257] Taxes The company's main taxes include Value-Added Tax, Urban Maintenance and Construction Tax, Enterprise Income Tax, Education Surcharge, and Local Education Surcharge; the company and several subsidiaries enjoy a 15% Enterprise Income Tax preferential rate, primarily due to high-tech enterprise qualifications and Western Development policies Major Taxes and Tax Rates | Tax Type | Tax Base | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Calculated based on sales of goods and taxable services as per tax laws, after deducting deductible input VAT | 5%, 6%, 9%, 13% | | Urban Maintenance and Construction Tax | Calculated based on actual VAT paid | 7% | | Enterprise Income Tax | Calculated based on taxable income | 15%, 25% | | Education Surcharge | Calculated based on actual VAT paid | 3% | | Local Education Surcharge | Calculated based on actual VAT paid | 2% | Taxable Entities with Different Enterprise Income Tax Rates | Taxable Entity Name | Income Tax Rate | | :--- | :--- | | The Company | 15% | | Chengde Suken Yinhe Auto Parts Co., Ltd. | 15% | | Suken Yinhe Auto Parts Yancheng Co., Ltd. | 15% | | Chongqing Jianshe Industrial (Group) Co., Ltd. | 15% | | Chongqing Jianshe Transmission Technology Co., Ltd. | 15% | | Chongqing Jianshe Haofang Precision Manufacturing Co., Ltd. | 15% | | Chongqing Jianshe Zhongtai Precision Manufacturing Co., Ltd. | 15% | | Sichuan Huaqing Machinery Co., Ltd. | 25% | | Chongqing Zhujiang Optoelectronic Technology Co., Ltd. | 25% | - The company and several subsidiaries enjoy a 15% enterprise income tax preferential rate, primarily due to high-tech enterprise qualifications and Western Development policies[276][277][278] Notes to Consolidated Financial Statement Items This section provides detailed disclosures of the period-end balances, period-beginning balances, and changes for each item in the consolidated financial statements, including cash and bank balances of 1.494 billion yuan, accounts receivable of 1.511 billion yuan, and inventories of 1.053 billion yuan at period-end, with operating revenue of 1.517 billion yuan, operating costs of 1.242 billion yuan, investment income of 23.99 million yuan, credit impairment losses of 1.50 million yuan, and asset impairment losses of -2.08 million yuan Cash and Bank Balances | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Bank Deposits | 624,801,159.49 | 822,650,441.31 | | Other Cash and Bank Balances | 10,743,044.86 | 12,791,867.37 | | Deposits with Finance Company | 858,388,654.40 | 1,483,924,884.56 | | Total | 1,493,932,858.75 | 2,319,367,193.24 | Accounts Receivable | Item | Period-End Book Balance (yuan) | Period-Beginning Book Balance (yuan) | | :--- | :--- | :--- | | Within 1 year (inclusive) | 1,388,265,467.55 | 1,212,201,940.74 | | 1 to 2 years | 80,077,341.93 | 113,654,628.57 | | 2 to 3 years | 47,444,121.48 | 19,218,280.51 | | Over 3 years | 47,864,010.08 | 49,479,486.10 | | Total | 1,563,650,941.04 | 1,394,554,335.92 | | Book Value | 1,511,328,032.41 | 1,341,578,156.62 | Inventories | Item | Period-End Book Value (yuan) | Period-Beginning Book Value (yuan) | | :--- | :--- | :--- | | Raw Materials | 100,349,485.35 | 105,048,657.00 | | Work in Progress | 373,604,401.32 | 130,920,095.16 | | Finished Goods | 538,395,441.44 | 471,374,681.59 | | Revolving Materials | 6,101,594.77 | 7,657,587.01 | | Contract Performance Costs | 10,695,396.84 | 28,937,527.89 | | Goods Issued | 1,988,723.36 | 4,887,294.68 | | Consigned Processing Materials | 21,811,093.83 | 37,351,434.63 | | Total | 1,052,946,136.91 | 786,177,277.96 | Fixed Assets | Item | Period-End Book Value (yuan) | Period-Beginning Book Value (yuan) | | :--- | :--- | :--- | | Buildings and Structures | 641,263,864.70 | 652,718,067.53 | | Machinery and Equipment | 974,727,942.94 | 1,053,210,275.87 | | Transportation Vehicles | 1,680,746.83 | 1,780,207.91 | | Other Equipment | 45,558,002.82 | 49,019,099.70 | | Total | 1,663,230,557.29 | 1,756,727,651.01 | Short-Term Borrowings | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Pledged Borrowings | 700,976,800.00 | 201,124,569.67 | | Total | 700,976,800.00 | 201,124,569.67 | Accounts Payable | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | M