中际联合(605305) - 2025 Q2 - 季度财报

Definitions This section defines common terms, company names, reporting periods, and key subsidiaries to ensure accurate report interpretation Definitions of Common Terms The report clarifies definitions for common terms, including company names, reporting periods, and key subsidiaries, ensuring accurate interpretation - The reporting period is from January 1, 2025, to June 30, 2025, with the prior year's corresponding period being January 1, 2024, to June 30, 2024[14] - Key subsidiaries include Ficont Development, Zhongji Tianjin, Zhongji Equipment, Zhongji Hong Kong, Zhongji Americas, Zhongji Middle East, and Zhongji Yantai[14] Company Profile and Key Financial Indicators This section provides an overview of the company's basic information, contact details, stock information, and key financial performance metrics Company Information Basic registration information of the company, including its Chinese name, abbreviation, foreign name, abbreviation, and legal representative, is disclosed Company Basic Information | Indicator | Content | | :--- | :--- | | Chinese Name | 中际联合（北京）科技股份有限公司 | | Chinese Abbreviation | 中际联合 | | Foreign Name | Ficont Industry (Beijing) Co., Ltd. | | Foreign Abbreviation | 3S | | Legal Representative | Liu Zhixin | Contacts and Contact Information Detailed contact information for the company's Board Secretary and Securities Affairs Representative is provided for investor communication Contact Information | Position | Name | Contact Number | Email | | :--- | :--- | :--- | :--- | | Board Secretary | Liu Yafeng | 010-69598980 | ir@3slift.com | | Securities Affairs Representative | Qi Yajun | 010-69598980 | ir@3slift.com | Overview of Basic Information Changes The company's registered address, office address, website, and email address remained unchanged during the reporting period - The company's registered and office address is Building 1, No. 15 Courtyard, Chuangyi East 2nd Road, Tongzhou District, Beijing, with the website www.3sindustry.com and email ir@3slift.com[18] Overview of Information Disclosure and Document Storage Location Changes This section discloses the designated newspaper, website address, and document storage location for the company's information disclosure, with no changes during the reporting period - The company's designated information disclosure newspaper is "Shanghai Securities News", the website for half-year reports is www.sse.com.cn, and the report storage location is the company's Securities Department[19] Company Stock Overview This section introduces the listing exchange, abbreviation, and code of the company's A-shares Company Stock Information | Stock Type | Listing Exchange | Stock Abbreviation | Stock Code | | :--- | :--- | :--- | :--- | | A-share | Shanghai Stock Exchange | 中际联合 | 605305 | Key Accounting Data and Financial Indicators The company's key accounting data and financial indicators showed strong performance during the reporting period, with significant growth in operating revenue and net profit, and a notable increase in earnings per share Key Accounting Data (Jan-Jun 2025 vs Jan-Jun 2024) | Indicator | Current Period (Jan-Jun) | Prior Year Period | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 818,412,996.44 RMB | 570,253,781.59 RMB | 43.52 | | Total Profit | 295,426,473.43 RMB | 165,018,463.56 RMB | 79.03 | | Net Profit Attributable to Shareholders of Listed Company | 262,067,616.32 RMB | 140,432,369.00 RMB | 86.61 | | Net Profit Excluding Non-Recurring Items | 243,573,276.69 RMB | 123,159,445.05 RMB | 97.77 | | Net Cash Flow from Operating Activities | 108,590,176.84 RMB | 80,228,914.08 RMB | 35.35 | | Net Assets Attributable to Shareholders of Listed Company (Period-end) | 2,755,709,515.86 RMB | 2,588,161,367.00 RMB | 6.47 | | Total Assets (Period-end) | 3,543,489,672.88 RMB | 3,319,763,582.78 RMB | 6.74 | Key Financial Indicators (Jan-Jun 2025 vs Jan-Jun 2024) | Indicator | Current Period (Jan-Jun) | Prior Year Period | Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | 1.23 | 0.66 | 86.36 | | Diluted Earnings Per Share (RMB/share) | 1.23 | 0.66 | 86.36 | | Basic EPS Excluding Non-Recurring Items (RMB/share) | 1.15 | 0.58 | 98.28 | | Weighted Average Return on Net Assets (%) | 9.69 | 5.92 | Increased by 3.77 percentage points | | Weighted Average Return on Net Assets Excluding Non-Recurring Items (%) | 9.01 | 5.19 | Increased by 3.82 percentage points | Non-Recurring Gains and Losses Items and Amounts The company's total non-recurring gains and losses for the reporting period amounted to 18,494,339.63 RMB, primarily from government grants and fair value changes of financial assets, with some VAT refunds and additional deductions classified as recurring items Non-Recurring Gains and Losses Items and Amounts | Non-Recurring Gains and Losses Item | Amount (RMB) | | :--- | :--- | | Gains/Losses from disposal of non-current assets | -110,349.02 | | Government grants included in current profit/loss (excluding those closely related to business and continuously enjoyed) | 5,926,737.98 | | Gains/Losses from changes in fair value of financial assets and liabilities and disposal gains/losses | 15,533,831.72 | | Other non-operating income and expenses | 102,532.97 | | Other gains/losses meeting the definition of non-recurring items | 290,633.54 | | Less: Income tax impact | 3,249,047.56 | | Total | 18,494,339.63 | - 9,390,247.22 RMB in VAT refunds upon collection and 1,486,376.13 RMB in additional VAT deductions for advanced manufacturing enterprises were identified as recurring gains and losses[25] Management Discussion and Analysis This section provides an in-depth discussion of the company's industry, main business, operational performance, core competitiveness, and future outlook Description of the Company's Industry and Main Business During the Reporting Period The company specializes in R&D, manufacturing, sales of dedicated high-altitude safety equipment, and provision of high-altitude safety services, primarily for the wind power industry, with no changes in its industry or main business during the reporting period - The company's industry belongs to "C Manufacturing" under "CG35 Special Equipment Manufacturing"[28] - The wind power industry is the company's primary application area, with products also used in 17 other industries including power grids, communications, thermal power, construction, bridges, fire protection, and warehousing[28][39] - The company's products are developing in a "one horizontal, one vertical" direction, deepening its presence in the wind power sector while expanding into more fields[39] Development and Policy Situation of the Wind Power Industry The wind power industry is experiencing significant growth driven by carbon peak and neutrality goals, with continuous policy support and substantial market potential, especially in offshore wind power where China leads globally - The 2025 Government Work Report emphasizes actively and prudently advancing carbon peaking and neutrality, accelerating the construction of "desert, Gobi, and barren land" new energy bases, and developing offshore wind power[29] - In January 2025, the National Development and Reform Commission and National Energy Administration issued a plan targeting over 200 million kilowatts of new renewable energy capacity annually by 2027, with national renewable energy utilization rate no less than 90%[29] - Global new grid-connected wind power capacity reached 117 GW in 2024, with total global wind energy capacity projected to increase by 981 GW by 2030, representing an 8.8% CAGR[30] - By the end of 2024, global cumulative offshore wind power capacity was 83 GW, with China adding 4 GW and accumulating 41.8 GW, both accounting for 50% of the global total and ranking first[32] - In the first half of 2025, national new grid-connected wind power capacity was 51.39 million kilowatts, with cumulative capacity reaching 573 million kilowatts, a 22.7% year-on-year increase[35] Overview of Development in Other Industries The company's products are widely used in power grids, communications, and safety emergency equipment, with accelerated grid investment, ongoing 5G base station construction, and a projected safety emergency equipment market exceeding 1 trillion RMB by 2025, offering significant expansion opportunities - In 2025, total investment by State Grid and China Southern Power Grid will exceed 825 billion RMB, while global annual grid investment is expected to rise from 370 billion USD in 2024 to 870 billion USD by 2030[36] - As of the end of June 2025, the total number of 5G base stations nationwide reached 4.549 million units, a net increase of 298,000 units from the end of the previous year[37] - The "Action Plan for the Development of Key Areas of Safety Emergency Equipment (2023-2025)" aims for the safety emergency equipment industry scale to exceed 1 trillion RMB by 2025[38] - The company has launched energy safety system solutions, fire rescue equipment, and personal protective equipment in the safety emergency equipment sector[38] Company's Main Business, Products, and Their Uses The company focuses on high-altitude safety operations, providing specialized equipment and services, including high-altitude safety lifts and fall protection devices, while continuously introducing new products like energy safety systems - Main products include tower internal lifts, climb assists, industrial lifts, fall protection systems, and rescue descenders for high-altitude safety lifting and protection[40] - Rack and pinion lifts are a key product, offering advantages such as high load capacity, fast speed, stable operation, and strong adaptability[41] - The company also provides dual-machine synchronized climbing solutions, horizontal fall protection systems, platform cranes, single-blade lifting tools, turning gear, and energy safety systems[41][42][44] Business Model The company employs a supply chain model combining order demand with safety stock, a production model integrating project-based and stock-based approaches, and a technology-driven direct sales model supplemented by distribution and retail, generating profit through equipment sales and service provision - Supply chain management utilizes order demand and supplier safety stock models, achieving efficient turnover and cost control through a digital platform[45][46] - The production model combines project-based and stock-based approaches, maintaining finished product safety stock and enhancing efficiency with a digital management system[46] - The marketing model is primarily direct sales, supplemented by distribution and online retail, offering comprehensive engineering services and training, and promoting brand awareness through multiple channels[47] - The profitability model is mainly through the sale of specialized high-altitude safety equipment and provision of high-altitude safety services, with profit generation driven by R&D innovation and cost control[47] Market Position The company holds the leading market share in the wind power industry's niche market, serving all domestic new-installation wind turbine manufacturers, the five major power groups, and the top ten global wind turbine manufacturers, demonstrating significant brand influence - The company's main products hold the number one market share in the wind power industry's niche market[48] - Customer base covers all domestic new-installation wind turbine manufacturers, the five major power groups, and the top ten global new-installation wind turbine manufacturers[48] - The "3S" brand has significant influence, recognition, and reputation within the industry[48] Key Performance Drivers Rapid development of the wind power industry, proactive market expansion, optimized product structure, technological breakthroughs, process improvements, and cost reduction initiatives were the primary drivers of the company's performance growth during the reporting period - The rapid overall development of the wind power industry provided external opportunities for the company's performance growth[49] - The company strengthened market leadership, actively expanded business, provided better solutions, and increased customer coverage and product recognition[49] - The company improved cost competitiveness and enhanced profitability by optimizing product structure, achieving technological breakthroughs, improving process flows, and implementing cost reduction and efficiency enhancement measures, leading to a decrease in overall expense ratio[49] Discussion and Analysis of Operations In the first half of 2025, the company's management actively responded to external changes, coordinating R&D, production, and market expansion, achieving positive progress in various businesses and maintaining steady performance growth - The company's management coordinated technology R&D, production operations, and market expansion, achieving positive progress in various businesses[50] Steady Growth in Operating Performance, Significant Improvement in Operational Efficiency The company achieved substantial year-on-year growth in operating revenue and net profit in the first half, with steady increases in total assets and net assets, while significantly improving operational efficiency, reducing overall expense ratio, and increasing gross and net profit margins through refined management and technological innovation 2025 H1 Operating Performance | Indicator | Amount (10,000 RMB) | Year-on-Year Growth (%) | | :--- | :--- | :--- | | Operating Revenue | 81,841.30 | 43.52 | | Net Profit Attributable to Shareholders of Listed Company | 26,206.76 | 86.61 | | Earnings Per Share | 1.23 RMB | - | 2025 June 30 Asset Situation | Indicator | Amount (10,000 RMB) | Growth from End of Previous Year (%) | | :--- | :--- | :--- | | Total Assets | 354,348.97 | 6.74 | | Net Assets Attributable to Shareholders of Listed Company | 275,570.95 | 6.47 | - The company achieved a decrease in overall expense ratio and an increase in gross and net profit margins through refined management and technological innovation[51] Continuous Optimization of Product Structure, Continuous Launch of High-Quality New Products The company actively responded to the trend of larger wind turbines by promoting rack and pinion lifts and high-load lifts, intensifying new product R&D, and participating in industry standard setting to enhance product and service capabilities - Rack and pinion lifts and high-load lifts became the main drivers of the company's growth, offering various power supply methods and load coverage to meet different wind turbine application scenarios[52] - The group standard "Steel Wire Ropes for Wind Turbine Tower Barrels" (T/CIDA 462—2024), co-drafted by the company, has been implemented[52] - Subsidiary Zhongji Equipment obtained "Specialized, Refined, and New" SME certification and "Innovative" SME certification from Beijing[52] Continuous Improvement of Manufacturing Process, Establishment of a Comprehensive Quality Traceability System The company enhanced profitability by optimizing product structure, technological breakthroughs, process improvements, and cost reduction, while perfecting automated production lines and establishing a comprehensive quality control system, obtaining CNAS, GWO, and AEO advanced certifications - The company improved profitability by optimizing product structure, achieving technological breakthroughs, improving process flows, and implementing cost reduction and efficiency enhancement measures, leading to a decrease in overall expense ratio[53] - Automated production lines were perfected, establishing an innovative, flexible production and delivery system centered on customer needs[53] - The company holds CNAS (National Third-Party Laboratory) qualification and GWO (Global Wind Organisation) safety training capability, and has obtained AEO Advanced Certified Enterprise certificate[53] Deep Cultivation, Brand Empowerment to Lead Market Expansion The company systematically integrated online platforms to build a digital marketing matrix, using short videos and animations for product promotion, and implementing personalized marketing strategies to effectively enhance brand value and market competitiveness - The company integrated its official website, WeChat official account, video accounts, and LinkedIn to build a full-domain digital marketing matrix[55] - Innovative use of short videos, animations, and other visual communication forms to deeply analyze core product functions and application scenarios[55] - Implementation of personalized marketing strategies to enhance customer awareness and interest, shorten decision-making time, and strengthen brand value and market competitiveness[55] Analysis of Core Competitiveness During the Reporting Period The company's core competitiveness stems from its experienced management team, continuous R&D and technological innovation, leading market position and brand influence, extensive certifications, and comprehensive after-sales service and product quality management system - The company's core competitiveness was not significantly affected during the reporting period[62] Management Team Advantage The company possesses an experienced and proactive core management team with a deep understanding of industry trends, enhancing operational efficiency and profitability through optimized management, refined operations, and cost control - The core management team has over ten years of industry experience and a deep understanding of industry development trends[56] - The team optimizes business management models through scientific decision-making and efficient execution, improving operational efficiency and profitability[56] R&D and Technology Advantage The company focuses on intelligent, modular, and automated R&D, continuously exploring cutting-edge technologies, is a national intellectual property advantage enterprise with numerous patents and software copyrights, and participates in multiple national and industry standard formulations - The company is a national intellectual property advantage enterprise, having accumulated 54 authorized invention patents and 34 computer software copyright registration certificates[57] - Participated in drafting 11 national standards, 7 industry standards, and 5 group standards that have been published or implemented[57] - Subsidiary Zhongji Equipment obtained "Specialized, Refined, and New" SME certification and "Innovative" SME certification from Beijing[57] Leading Market Position and Brand Advantage With 20 years of industry experience, the company has built a stable customer base, covering major domestic and international wind turbine manufacturers and power groups, leveraging R&D innovation, quality control, production delivery, and after-sales support, with its "3S" brand demonstrating significant influence - The company has 20 years of deep cultivation in the industry, establishing a long-term stable customer base including wind turbine manufacturers, wind power enterprises, and tower barrel manufacturers[58] - Customer base covers all domestic new-installation wind turbine manufacturers, the five major power groups, and the top ten global new-installation wind turbine manufacturers[58] - The "3S" brand has significant influence, recognition, and reputation within the industry[58] Qualification and Certification Advantage The company's products, which require high safety standards, have cumulatively passed 170 domestic and international certifications, including EU CE, North American UL/ETL, and Eurasian Conformity EAC, meeting customer access requirements - As of June 30, 2025, the company's main products have cumulatively passed 170 domestic and international certifications, including EU CE, North American UL/ETL, and Eurasian Conformity EAC certifications[60] After-Sales Service Advantage The company boasts hundreds of after-sales service engineers and a global service network, ensuring rapid response and precise delivery through localized teams and domestic service outlets, earning widespread customer recognition - The company has hundreds of after-sales service engineers, with a service network covering multiple countries globally[61] - Internationally, it relies on local service teams in the United States, Germany, Japan, India, the Middle East, and Brazil, and domestically on 22 local service outlets under 8 major regions[61] Product Quality Advantage The company based on ISO9001 and APQP established a standardized quality management system, with quality management integrated across all stages, ensuring stable product quality and enhancing customer trust through a company-wide safety and quality culture - The company has established a standardized and regulated quality management system and policies based on ISO9001 and APQP[62] - Quality management is integrated across all stages, including technology R&D, material procurement, production processes, product installation, and after-sales service[62] - Through the establishment and promotion of a company-wide safety and quality culture, employee quality awareness is enhanced, making "quality first, full participation" a core competitiveness[62] Key Operating Performance During the Reporting Period During the reporting period, the company experienced significant growth in main business revenue, notable changes in various financial accounts, optimized asset-liability structure, and actively engaged in external equity and derivative investments, while facing risks such as wind power industry fluctuations and market competition - Operating revenue increased by 43.52% year-on-year, primarily due to the rapid development of the wind power industry and market expansion[65] - Total profit increased by 79.03% year-on-year, and net profit attributable to parent company shareholders increased by 86.61% year-on-year[22] Main Business Analysis The company's main business revenue and costs both increased significantly, sales expenses decreased, while administrative expenses, financial expenses, taxes and surcharges, other income, credit impairment losses, asset disposal gains, non-operating income, and income tax expenses all showed notable changes Financial Statement Related Account Changes Analysis (Jan-Jun 2025 vs Jan-Jun 2024) | Account | Current Period Amount (RMB) | Prior Year Period Amount (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 818,412,996.44 | 570,253,781.59 | 43.52 | | Operating Cost | 408,005,080.39 | 301,176,790.64 | 35.47 | | Selling Expenses | 48,918,305.61 | 52,807,522.09 | -7.36 | | Administrative Expenses | 62,118,785.91 | 50,299,953.31 | 23.50 | | Financial Expenses | -16,386,696.17 | -14,984,269.91 | -9.36 | | R&D Expenses | 35,934,020.51 | 36,742,711.64 | -2.20 | | Net Cash Flow from Operating Activities | 108,590,176.84 | 80,228,914.08 | 35.35 | | Net Cash Flow from Investing Activities | -74,017,080.16 | -304,822,006.47 | Not applicable | | Net Cash Flow from Financing Activities | -56,715,231.85 | -44,999,377.87 | Not applicable | | Taxes and Surcharges | 9,917,767.44 | 2,588,428.22 | 283.16 | | Other Income | 17,081,594.87 | 6,982,616.21 | 144.63 | | Gains from Changes in Fair Value | -912,136.40 | 3,823,148.18 | -123.86 | | Credit Impairment Losses | -5,753,350.32 | 69,492.17 | -8,379.13 | | Gains from Asset Disposal | -109,219.48 | -14,186.10 | -669.90 | | Non-Operating Income | 251,801.51 | 67,934.17 | 270.66 | | Non-Operating Expenses | 137,998.08 | 269,637.39 | -48.82 | | Income Tax Expenses | 33,358,857.11 | 24,586,094.56 | 35.68 | - Operating revenue growth was primarily due to the rapid development of the wind power industry and the company's proactive market expansion, leading to increased domestic and international revenue[65] - The change in financial expenses was mainly due to an increase in bank deposit interest income[66] - The increase in credit impairment losses was primarily due to an increase in bad debt provisions for accounts receivable[66] Analysis of Assets and Liabilities At the end of the reporting period, the company's asset-liability structure saw multiple changes, with significant increases in accounts receivable, notes receivable financing, prepayments, contract liabilities, and other current liabilities, while notes payable, employee compensation payable, taxes payable, and lease liabilities decreased; overseas assets accounted for 22.39% of total assets Analysis of Asset and Liability Changes | Item Name | Period-end Amount (RMB) | Prior Year-end Amount (RMB) | Change (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | | Accounts Receivable | 551,498,025.73 | 435,497,809.70 | 26.64 | Increase in sales revenue | | Notes Receivable Financing | 49,832,572.08 | 32,089,915.12 | 55.29 | Increase in bank acceptance bills | | Prepayments | 5,229,835.12 | 3,043,876.38 | 71.81 | Increase in prepaid material costs | | Other Receivables | 5,323,753.75 | 4,071,333.76 | 30.76 | Increase in bid deposits and housing lease deposits | | Construction in Progress | 0.00 | 2,147,574.35 | -100.00 | Construction in progress completed and transferred to fixed assets | | Short-term Borrowings | 41,573,371.07 | 30,611,238.50 | 35.81 | Increase in discounted notes receivable | | Notes Payable | 53,448,940.94 | 103,851,188.39 | -48.53 | Decrease in amount of goods settled by notes | | Contract Liabilities | 357,956,024.46 | 239,252,144.50 | 49.61 | Increase in contract prepayments | | Employee Compensation Payable | 41,859,261.62 | 72,565,270.01 | -42.32 | Payment of prior year-end bonuses | | Taxes Payable | 16,777,333.00 | 28,755,989.90 | -41.66 | Payment of large prior year-end corporate income tax | | Other Current Liabilities | 37,484,526.72 | 12,779,562.23 | 193.32 | Increase in deferred output VAT and endorsed unexpired notes | | Lease Liabilities | 4,199,755.10 | 6,165,347.75 | -31.88 | Decrease in lease payments | - Overseas assets amounted to 793,563,302.45 RMB, accounting for 22.39% of total assets[71] Analysis of Investment Status The company's total external equity investment increased, with the establishment of two new subsidiaries, Zhongji Middle East and Zhongji Yantai; it also actively invested in financial assets measured at fair value, including wealth management products and private equity funds, and conducted foreign exchange swap hedging to mitigate exchange rate risks - As of the end of the reporting period, the company's total external equity investment was 490.5621 million RMB, an increase of 2.0137 million RMB from the end of the previous year[73] - Two new subsidiaries were established: Zhongji Middle East, a wholly-owned second-tier subsidiary (registered capital 100,000 Dirhams), and Zhongji Yantai, a controlled subsidiary (company subscribed capital 14 million RMB, holding 70% equity)[73] Changes in Financial Assets Measured at Fair Value | Asset Category | Beginning Balance (RMB) | Fair Value Change Gains/Losses for Current Period (RMB) | Current Period Purchase Amount (RMB) | Current Period Sale/Redemption Amount (RMB) | Period-end Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | | Trading Financial Assets | 977,297,351.10 | -912,111.81 | 1,508,242,899.99 | 1,419,387,902.30 | 1,065,240,236.98 | | Notes Receivable Financing | 32,089,915.12 | - | 136,373,302.28 | 118,630,645.32 | 49,832,572.08 | | Total | 1,009,387,266.22 | -912,111.81 | 1,644,616,202.27 | 1,538,018,547.62 | 1,115,072,809.06 | - The company engaged in foreign exchange swap hedging, with a period-end book value of 250.551 million RMB, accounting for 9.09% of net assets, and an actual gain/loss of 594,300 RMB, effectively hedging exchange rate risks[78] Analysis of Major Holding and Joint-Stock Companies The company's major holding subsidiaries, including Zhongji Tianjin, Zhongji Equipment, Zhongji Hong Kong, and Zhongji Americas, significantly impact the consolidated financial statements in terms of total assets, net assets, operating revenue, and net profit; during the reporting period, Zhongji Middle East and Zhongji Yantai were established Major Holding Subsidiary Financial Performance (Jan-Jun 2025) | Company Name | Total Assets (10,000 RMB) | Net Assets (10,000 RMB) | Operating Revenue (10,000 RMB) | Net Profit (10,000 RMB) | | :--- | :--- | :--- | :--- | :--- | | Zhongji Tianjin | 43,761.84 | 31,865.59 | 19,087.20 | 2,730.33 | | Zhongji Equipment | 66,969.22 | 44,067.12 | 10,922.57 | 3,876.07 | | Zhongji Americas | 50,157.81 | 8,244.47 | 32,974.30 | 3,204.68 | - Zhongji Middle East was established to conduct equipment installation and maintenance services, equipment sales, equipment leasing, and engineering technical services in the region, expanding overseas business scale[82] - Zhongji Yantai was established with a subscribed capital of 14 million RMB and a 70% equity stake, to promote the production and sales of emergency and safety protection systems and products, and explore new markets[82][84] Other Disclosures The company faces various risks, including wind power industry fluctuations, market competition, operational risks, technological risks, financial risks, and international trade frictions; concurrently, it actively implemented a "Quality Improvement, Efficiency Enhancement, and Investor Returns" special action plan, achieving significant progress in main business, R&D innovation, corporate governance, and investor returns - The company faces risks from wind power industry fluctuations and policy changes, intensified market competition, customer concentration, high-altitude operation safety, R&D and core personnel loss, financial performance volatility, and international trade frictions[85][86][87][88][89][90][91] - The company actively responded to the Shanghai Stock Exchange's initiative for "Quality Improvement, Efficiency Enhancement, and Investor Returns", proposing a special action plan for 2025[92] Potential Risks The company's main risks include dependence on the wind power industry, intensifying market competition, customer concentration, high-altitude operation safety, R&D and core technical personnel retention, financial performance volatility, and international trade frictions - Downstream wind power industry fluctuations and policy changes may have a significant adverse impact on the company's operating performance[85] - Intensified industry competition may lead to a weakening of the company's competitive advantages and market position, resulting in decreased profitability[86] - Customer concentration means that changes in cooperation with major customers could have a significant adverse impact on operating performance[87] - Product quality control and safety production issues could adversely affect the company's operations, performance, and brand[88] - Ineffective product R&D, loss of core technical personnel, or intellectual property theft could adversely affect the company's operations or performance[89] - International trade frictions may have an adverse impact on the company's overall operating performance[91] Quality Improvement, Efficiency Enhancement, and Investor Returns Special Action Plan The company actively implemented the "Quality Improvement, Efficiency Enhancement, and Investor Returns" special action plan, achieving performance growth, product expansion, and improved governance through strengthening main business, enhancing R&D innovation, perfecting corporate governance, and prioritizing investor returns - In the first half of 2025, the company's operating revenue increased by 43.52% year-on-year, net profit attributable to parent company shareholders increased by 86.61% year-on-year, and earnings per share were 1.23 RMB[92] - The company achieved a decrease in overall expense ratio and an increase in gross and net profit margins by optimizing product structure, achieving technological breakthroughs, improving process flows, and implementing cost reduction and efficiency enhancement measures[93] - In the first half of 2025, the company and its subsidiaries submitted 30 new patent and software copyright applications, obtained 19 authorizations, and participated in the implementation of a group standard[94] - The company strictly adheres to laws and regulations, improving its corporate governance structure, holding 3 board meetings, 3 supervisory board meetings, and 1 shareholder meeting in the first half, and organizing training for directors, supervisors, and senior management[97] - Since its listing in 2021, the company has conducted annual cash dividends, with the annual (including interim) cash dividend ratio to net profit attributable to parent company shareholders consistently above 30%[99] - A cash dividend of 3.70 RMB (tax inclusive) per 10 shares is proposed to all shareholders, totaling 78,632,400.00 RMB (tax inclusive)[100] - In the first half, the company hosted 17 investor on-site and online surveys, published 16 investor relations activity records, and responded 48 times on the SSE E-Interaction platform, achieving a 100% response rate[102] Corporate Governance, Environment, and Society This section covers changes in the company's directors, supervisors, and senior management, profit distribution plans, employee incentive measures, environmental information disclosure, and rural revitalization efforts Changes in Directors, Supervisors, and Senior Management There were no changes in the company's directors, supervisors, or senior management during the reporting period - The status of changes in the company's directors, supervisors, and senior management during the reporting period is "Not applicable", indicating no changes[105] Profit Distribution or Capital Reserve Conversion Plan The company proposes a cash dividend of 3.70 RMB (tax inclusive) per 10 shares to all shareholders, with no bonus shares or capital reserve conversions, pending approval by the shareholders' meeting 2025 Half-Year Profit Distribution Plan | Indicator | Amount | | :--- | :--- | | Number of bonus shares per 10 shares (shares) | 0 | | Dividend per 10 shares (RMB) (tax inclusive) | 3.70 | | Number of shares converted from capital reserve per 10 shares (shares) | 0 | - The profit distribution plan complies with the "Articles of Association", does not harm the legitimate rights and interests of small and medium investors, and is subject to approval by the company's First Extraordinary General Meeting of Shareholders in 2025[105] Status and Impact of Company 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 during the reporting period - The company's equity incentive status, employee stock ownership plan status, and other incentive measures are all "Not applicable"[106] Environmental Information of Listed Companies and Their Major Subsidiaries Included in the List of Enterprises Required to Disclose Environmental Information The company was not included in the list of enterprises required to disclose environmental information during the reporting period - The company was not included in the list of enterprises required to disclose environmental information[106] Specifics of Consolidating and Expanding Poverty Alleviation Achievements, Rural Revitalization, and Other Work The company was not involved in consolidating and expanding poverty alleviation achievements, rural revitalization, or similar work during the reporting period - The company's specifics regarding consolidating and expanding poverty alleviation achievements, rural revitalization, and other work are "Not applicable"[106] Significant Matters This section details the fulfillment of commitments, absence of fund occupation or illegal guarantees, audit status, and other significant events during the reporting period Fulfillment of Commitments During the reporting period, the company's actual controllers, Liu Zhixin and Yu Haiyan, strictly fulfilled all commitments regarding social insurance, housing provident fund contributions, compensation for housing lease defects, resolution of horizontal competition, and standardization of related party transactions, with no breaches - Actual controllers Liu Zhixin and Yu Haiyan committed to bearing all losses arising from non-compliance with social insurance and housing provident fund contributions or housing lease defects[108] - Actual controllers committed to not engaging in or participating in businesses or activities that compete with the company's main business, and to avoiding related party transactions, ensuring fairness and impartiality[108][109] - During the reporting period, there were no new commitments from the company's controlling shareholder, actual controllers, shareholders, related parties, or the company itself, and all existing commitments were strictly adhered to and remain long-term effective[109] Non-Operating Fund Occupation by Controlling Shareholders and Other Related Parties During the Reporting Period There was no non-operating fund occupation by controlling shareholders or other related parties during the reporting period - There was no non-operating fund occupation by controlling shareholders or other related parties during the reporting period[110] Illegal Guarantees There were no illegal guarantees by the company during the reporting period - There were no illegal guarantees by the company during the reporting period[110] Half-Year Report Audit Status This half-year report has not been audited - This half-year report has not been audited[5][111] Changes and Handling of Matters Involving Non-Standard Audit Opinions in the Previous Year's Annual Report The company's previous year's annual report did not involve any non-standard audit opinions - The company's previous year's annual report had no matters involving non-standard audit opinions[111] Bankruptcy Reorganization Matters There were no bankruptcy reorganization matters for the company during the reporting period - The company had no bankruptcy reorganization matters[111] Significant Litigation and Arbitration Matters There were no significant litigation or arbitration matters for the company during the reporting period - There were no significant litigation or arbitration matters for the company during the reporting period[111] Alleged Violations, Penalties, and Rectification of Listed Companies, Their Directors, Supervisors, Senior Management, Controlling Shareholders, and Actual Controllers During the reporting period, neither the company nor its directors, supervisors, senior management, controlling shareholders, or actual controllers were involved in alleged violations, penalties, or rectification situations - Neither the company nor its directors, supervisors, senior management, controlling shareholders, or actual controllers were involved in alleged violations, penalties, or rectification situations[111] Explanation of the Integrity Status of the Company, Its Controlling Shareholders, and Actual Controllers During the Reporting Period During the reporting period, the company, its controlling shareholders, and actual controllers operated with integrity and in compliance with laws, with no unfulfilled effective court judgments or overdue large debts - During the reporting period, the company, its controlling shareholders, and actual controllers operated with integrity and in compliance with laws, with no unfulfilled effective court judgments or overdue large debts[111] Significant Related Party Transactions During the reporting period, the company had no significant related party transactions related to daily operations, asset acquisition/disposal, joint external investments, or related party creditor-debtor relationships, nor any financial business with finance companies - During the reporting period, the company had no disclosed or undisclosed significant related party transactions related to daily operations, asset acquisition or equity acquisition/disposal, joint external investments, or related party creditor-debtor relationships[112][113][114] - The company had no financial business with related finance companies or with finance companies controlled by the company and related parties[113][114] Significant Contracts and Their Fulfillment During the reporting period, the company had no entrustment, contracting, or leasing matters, but provided guarantees for subsidiaries totaling 39,728,940.94 RMB, representing 1.44% of the company's net assets - The company had no entrustment, contracting, or leasing matters during the reporting period[114] Company Guarantees for Subsidiaries | Indicator | Amount (RMB) | | :--- | :--- | | Total guarantees provided to subsidiaries during the reporting period | 39,728,940.94 | | Total outstanding guarantees to subsidiaries at period-end | 39,728,940.94 | | Total Guarantees (A+B) | 39,728,940.94 | | Total Guarantees as a percentage of the company's net assets (%) | 1.44 | - The company did not provide guarantees for shareholders, actual controllers, or their related parties, nor did it directly or indirectly provide debt guarantees for guaranteed entities with an asset-liability ratio exceeding 70%[116] Explanation of Progress in Use of Raised Funds The company's total raised funds amounted to 1,043.35 million RMB, with a net amount of 969.3406 million RMB; as of the end of the reporting period, cumulative investment reached 938.1952 million RMB, with a cumulative investment progress of 96.79%; some projects are completed, others are under construction, and idle funds are used for cash management Overall Use of Raised Funds | Indicator | Amount (10,000 RMB) | | :--- | :--- | | Total Raised Funds | 104,335.00 | | Net Raised Funds | 96,934.06 | | Total Committed Investment of Raised Funds in Prospectus or Offering Document | 96,934.06 | | Cumulative Investment of Raised Funds as of Period-end | 93,819.52 | | Cumulative Investment Progress (%) | 96.79 | Details of Raised Fund Investment Projects | Project Name | Committed Investment in Prospectus (10,000 RMB) | Cumulative Raised Funds Invested at Period-end (10,000 RMB) | Cumulative Investment Progress (%) | Date of Reaching Pre-determined Usable State | | :--- | :--- | :--- | :--- | :--- | | Annual Production of 50,000 High-Altitude Safety Equipment Project (Phase I) | 4,022.46 | 4,469.06 | 111.10 | February 2023 | | R&D Center Project | 12,000.00 | 12,087.08 | 100.73 | December 2023 | | National Marketing and After-Sales Service Network Construction Project | 4,054.66 | 4,534.90 | 111.84 | December 2023 | | Americas Marketing and After-Sales Service Network Construction Project | 7,000.00 | 7,318.43 | 104.55 | December 2023 | | Replenishment of Working Capital | 56,934.06 | 58,079.03 | 102.01 | Not applicable | | Zhongji United High-Altitude Equipment R&D and Production Project (Phase I) | 12,922.88 | 7,331.03 | 56.73 | August 2026 | - The company uses idle raised funds not exceeding 60 million RMB for cash management, with an investment period valid for 12 months from May 9, 2025[124][126] Explanation of Other Significant Matters There were no other significant matters requiring disclosure by the company during the reporting period - The company had no other significant matters requiring disclosure[126] Share Changes and Shareholder Information This section details the company's share capital changes, shareholder structure, and information on directors, supervisors, and senior management Share Capital Changes 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 during the reporting period[128] Shareholder Information As of the end of the reporting period, the company had 13,500 common shareholders; this section discloses the shareholding of the top ten shareholders and top ten unrestricted shareholders, with controlling shareholder Liu Zhixin holding a total of 30.00% of the company's shares directly and indirectly - As of the end of the reporting period, the total number of common shareholders was 13,500[129] Top Ten Shareholders' Shareholding | Shareholder Name | Period-end Shareholding (shares) | Percentage (%) | Share Status | | :--- | :--- | :--- | :--- | | Liu Zhixin | 51,656,387 | 24.31 | No pledge, no freeze | | Ficont (Beijing) Technology Development Co., Ltd. | 12,099,614 | 5.69 | No pledge, no freeze | | China-Japan Energy Saving and Environmental Protection Venture Capital Co., Ltd. | 7,948,362 | 3.74 | No pledge, no freeze | | Ma Dongsheng | 4,401,338 | 2.07 | No pledge, no freeze | | China Merchants Bank Co., Ltd. - Bodaohuitai Optimal Selection Mixed Securities Investment Fund | 3,766,084 | 1.77 | No pledge, no freeze | | Wang Xijun | 3,301,004 | 1.55 | No pledge, no freeze | | Hong Kong Securities Clearing Company Limited | 3,166,822 | 1.49 | No pledge, no freeze | | Ningbo Meishan Bonded Port Area Chuangyan Investment Partnership (Limited Partnership) | 3,040,084 | 1.43 | No pledge, no freeze | | Beijing Liuhe Fund Management Co., Ltd. - Beijing Foreign Economic and Trade Development Guidance Fund (Limited Partnership) | 3,023,108 | 1.42 | No pledge, no freeze | | Industrial and Commercial Bank of China Co., Ltd. - BOCOM Schroders Trend Priority Mixed Securities Investment Fund | 2,336,642 | 1.10 | No pledge, no freeze | - Controlling shareholder Liu Zhixin directly holds 24.31% of the company's shares and indirectly holds 5.69% through Ficont Development, totaling 30.00% of the shares[132] Information on 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, nor were they granted any equity incentives - The status of changes in shareholdings of the company's directors, supervisors, and senior management during the reporting period is "Not applicable"[133] - Directors, supervisors, and senior management were not granted equity incentives during the reporting period[133] Changes in Controlling Shareholder or Actual Controller There were no changes in the company's controlling shareholder or actual controller during the reporting period - There were no changes in the company's controlling shareholder or actual controller during the reporting period[133] Preferred Share Information There was no preferred share information for the company during the reporting period - The company had no preferred share information[133] Bond-Related Information This section confirms the absence of corporate bonds, enterprise bonds, non-financial enterprise debt financing instruments, and convertible corporate bonds during the reporting period Corporate Bonds (Including Enterprise Bonds) and Non-Financial Enterprise Debt Financing Instruments There were no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments for the company during the reporting period - The company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments[135] Convertible Corporate Bonds There were no convertible corporate bonds for the company during the reporting period - The company had no convertible corporate bonds[135] Financial Report This section includes the audit report, financial statements, company basic information, basis of financial statement preparation, significant accounting policies and estimates, taxation, and detailed notes to consolidated and parent company financial statement items Audit Report This half-year report has not been audited - This half-year report has not been audited[5][137] Financial Statements The company's 2025 half-year consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity are provided, comprehensively reflecting the financial position and operating results for the reporting period - Financial statements include the consolidated balance sheet, parent company balance sheet, consolidated income statement, parent company income statement, consolidated cash flow statement, parent company cash flow statement, consolidated statement of changes in owners' equity, and parent company statement of changes in owners' equity[137][140][144][148][151][154][156][161] Company Basic Information This section provides detailed information on the company's registration, main business activities, stock listing, and the approval authority and date for the financial report - The company name is Zhongji United (Beijing) Technology Co., Ltd., stock code 605305, listed on the Shanghai Stock Exchange on May 6, 2021[166] - The main business involves the R&D, manufacturing, and sales of specialized high-altitude safety equipment, and the provision of high-altitude safety operation services[166] - These financial statements were approved for issuance by the company's Board of Directors on August 21, 2025[166] Basis of Financial Statement Preparation The company's financial statements are prepared on a going concern basis, in accordance with accounting standards issued by the Ministry of Finance and significant accounting policies and estimates, confirming the company's ability to continue as a going concern for at least 12 months from the end of the reporting period - Financial statements are prepared on a going concern basis, complying with enterprise accounting standards[167] - The company possesses the ability to continue as a going concern for at least 12 months from the end of the reporting period, with no significant matters affecting this ability[168] Significant Accounting Policies and Estimates This section details the company's adherence to enterprise accounting standards, accounting period, operating cycle, functional currency, materiality criteria, business combinations, consolidated financial statement preparation, joint arrangements, cash and cash equivalents, foreign currency transactions, financial instruments, notes receivable, accounts receivable, notes receivable financing, other receivables, inventories, contract assets, assets held for sale, 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, revenue, contract costs, government grants, deferred income tax assets/liabilities, and leases, along with disclosures of accounting policy changes - The company adheres to enterprise accounting standards, with the accounting year from January 1 to December 31, and a normal operating cycle of 12 months[170][171][172] - Detailed provisions are made for the classification, recognition, measurement, derecognition of financial instruments, and the determination methods and accounting treatment of expected credit losses[184][185][186][187] - Revenue recognition and measurement policies are clarified, including sales of goods and provision of services, distinguishing between domestic and international sales models[236][237][238] - Disclosure of accounting policy changes due to "Interpretation No. 18 of Enterprise Accounting Standards", with adjustments made to selling expenses and cash flow statement items for January-June 2024 consolidated financial statements[248][249] Taxation This section discloses the company's main tax types and rates, including VAT, urban maintenance and construction tax, and corporate income tax, detailing different corporate income tax rates for various taxable entities and the company's enjoyment of high-tech enterprise income tax incentives, VAT immediate refund, and additional deduction policies Main Tax Types and Rates | Tax Type | Tax Base | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Current period output tax minus current period deductible input tax | 13%, 9% | | Urban Maintenance and Construction Tax | Actual VAT paid | 7%, 5% | | Corporate Income Tax | Taxable income | 8.25%, 15%, 16.50%, 21%, 23.40%, 25% | - The company and its subsidiaries, Zhongji United (Tianjin) Technology Co., Ltd. and Zhongji United (Beijing) Equipment Manufacturing Co., Ltd., enjoy a 15% high-tech enterprise corporate income tax preferential policy[251] - The company and its subsidiaries enjoy VAT immediate refund policy for software products and a 5% additional VAT deduction policy for advanced manufacturing enterprises[251][252] Notes to Consolidated Financial Statement Items This chapter details the period-end balances, beginning balances, and current period changes for each item in the consolidated financial statements, covering assets, liabilities, owners' equity, revenue, costs, expenses, and cash flows, comprehensively reflecting the company's financial position and operating results Composition of Monetary Funds | Item | Period-end Balance (RMB) | Beginning Balance (RMB) | | :--- | :--- | :--- | | Cash on Hand | 3,691.12 | 199.09 | | Bank Deposits | 891,635,598.45 | 917,265,950.29 | | Other Monetary Funds | 9,277,402.63 | 13,510,113.40 | | Accrued Interest | 4,311,094.95 | 6,224,152.97 | | Total | 905,227,787.15 | 937,000,415.75 | Accounts Receivable Bad Debt Provision Status | Category | Beginning Balance (RMB) | Provision for Current Period (RMB) | Recovered or Reversed in Current Period (RMB) | Period-end Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | | Individually assessed | 4,498,367.85 | - | 32,984.63 | 4,465,383.22 | | Collectively assessed | 26,572,320.24 | 5,973,033.66 | - | 32,545,353.90 | | Total | 31,070,688.09 | 5,973,033.66 | 32,984.63 | 37,010,737.12 | Operating Revenue and Operating Cost | Item | Current Period Amount (Revenue) (RMB) | Current Period Amount (Cost) (RMB) | Prior Period Amount (Revenue) (RMB) | Prio