德生科技(002908) - 2025 Q2 - 季度财报

Important Notes, Table of Contents, and Definitions This section provides crucial information, lists the report's structure, and defines key terms used throughout the document Important Notes The Board of Directors, Supervisory Board, and senior management guarantee the report's accuracy and completeness, while the company's leadership confirms the financial report's integrity, and no dividends or bonus shares are planned - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions[4] - Company head Guo Xiaobin, chief accountant Chen Qu, and head of accounting department Zhang Qianrui declare that the financial report in this semi-annual report is true, accurate, and complete[4] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital[5] Table of Contents This chapter lists the nine main sections of the semi-annual report with their starting page numbers and provides a directory of reference documents - The report comprises nine main chapters, covering important notes, company profile, management discussion and analysis, corporate governance, significant matters, share changes, bond information, financial report, and other submitted data[7] - The directory of reference documents includes financial statements signed and sealed by the company head, chief accountant, and head of accounting department, originals of all company documents publicly disclosed on the CSRC-designated website during the reporting period, and the signed 2025 semi-annual report text[9][10][11] Definitions This chapter defines key terms used in the report, covering company names, shareholders, regulations, and industry concepts like AI and big data - Company, this company, and Tecsun Science refer to Guangdong Tecsun Science & Technology Co., Ltd., while controlling shareholder and actual controller refer to Guo Xiaobin[14] - AI refers to artificial intelligence, a computer program that can simulate human thought processes; Blockchain refers to a decentralized distributed ledger combining technologies such as distributed storage, peer-to-peer transmission, consensus mechanisms, and cryptography[14] - New productive forces refer to contemporary advanced productive forces driven by revolutionary technological breakthroughs, innovative allocation of production factors, and deep industrial transformation and upgrading[17] Company Profile and Key Financial Indicators This section presents the company's fundamental information and a summary of its key financial performance and position for the reporting period Company Profile This chapter provides the company's basic information, including its stock ticker "Tecsun Science," stock code "002908," and legal representative - Company stock ticker is "Tecsun Science", stock code is "002908", and it is listed on the Shenzhen Stock Exchange[19] - The company's legal representative is Guo Xiaobin[19] Contact Persons and Information This chapter lists the contact details for the company's Board Secretary and Securities Affairs Representative, including address, phone, fax, and email - The Board Secretary is Chen Qu, and the Securities Affairs Representative is Zhao Danmin, both located at Room 201, 2nd Floor, 3rd and 4th Floors, No. 15 Software Road, Tianhe District, Guangzhou City, Guangdong Province[20] - The contact phone number is 020-29118777, and the email address is stock@e-tecsun.net[20] Other Information This chapter states that the company's registered address, office address, website, and email remained unchanged during the reporting period - The company's registered address, office address and postal code, website, and email remained unchanged during the reporting period, as detailed in the 2024 annual report[21] - The company's designated website and media for semi-annual report disclosure, and the location for semi-annual report placement, remained unchanged during the reporting period, as detailed in the 2024 annual report[22] Key Accounting Data and Financial Indicators This chapter presents the company's key accounting data and financial indicators for the first half of 2025, showing declines in revenue, net profit, and earnings per share Key Accounting Data and Financial Indicators (2025 H1 vs. Prior Period) | Indicator | Current Period (Yuan) | Prior Period (Yuan) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 248,503,169.86 | 289,850,783.33 | -14.27% | | Net Profit | 10,751,072.04 | 16,014,567.62 | -32.87% | | Net Profit Attributable to Shareholders of Listed Company | 8,869,750.82 | 13,962,192.85 | -36.47% | | Net Profit Attributable to Shareholders of Listed Company Excluding Non-recurring Gains and Losses | 6,731,587.33 | 11,282,220.28 | -40.33% | | Net Cash Flow from Operating Activities | -149,686,961.12 | -121,544,453.17 | -23.15% | | Basic Earnings Per Share (Yuan/share) | 0.0206 | 0.0326 | -36.81% | | Diluted Earnings Per Share (Yuan/share) | 0.0206 | 0.0322 | -36.02% | | Weighted Average Return on Net Assets | 0.79% | 1.20% | -0.41% | | Total Assets (Yuan) | 1,442,053,550.42 | 1,542,241,732.60 | -6.50% | | Net Assets Attributable to Shareholders of Listed Company (Yuan) | 1,108,802,360.50 | 1,120,281,117.01 | -1.02% | Differences in Accounting Data under Domestic and International Accounting Standards This chapter confirms no differences in net profit and net assets between domestic and international accounting standards for the reporting period - The company had no differences in net profit and net assets between financial reports disclosed under International Accounting Standards and Chinese Accounting Standards during the reporting period[24] - The company had no differences in net profit and net assets between financial reports disclosed under overseas accounting standards and Chinese Accounting Standards during the reporting period[25] Non-recurring Gains and Losses and Amounts This chapter details the company's non-recurring gains and losses for the reporting period, totaling 2,138,163.49 yuan, primarily from fair value changes and government subsidies Non-recurring Gains and Losses and Amounts (Unit: Yuan) | Item | Amount (Yuan) | | :--- | :--- | | Gains or losses from disposal of non-current assets (including the write-off portion of asset impairment provisions) | -99,481.54 | | Government grants recognized in current profit or loss (excluding those closely related to the company's normal operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit or loss) | 486,700.89 | | Gains or losses from changes in fair value of financial assets and financial liabilities, and gains or losses from disposal of financial assets and financial liabilities, excluding effective hedge accounting related to normal business operations of non-financial enterprises | 1,900,969.19 | | Other non-operating income and expenses apart from the above items | 409,498.41 | | Less: Income tax impact | 345,552.39 | | Minority interest impact (after tax) | 213,971.07 | | Total | 2,138,163.49 | - The company has no other profit or loss items that meet the definition of non-recurring gains and losses, nor does it classify non-recurring gains and losses as recurring gains and losses[27][29] Management Discussion and Analysis This section provides an in-depth analysis of the company's operations, financial performance, and strategic initiatives during the reporting period Company's Main Business Activities During the Reporting Period This chapter outlines the company's core businesses in social security and public welfare, leveraging AI and big data to enhance government digital transformation and citizen services - The company is committed to "building a bridge between government and public welfare," deeply cultivating social security and public welfare services for over 20 years, and applying AI technology to optimize core scenarios such as employment, medical care, and government affairs[39] - The company undertakes government-side business, collaborates with business-side partners to build a service ecosystem, and establishes an integrated online and offline operation service system through "AI + Big Data" to precisely and efficiently serve C-side demands[39] (I) Industry Overview This chapter analyzes the social security and public welfare industry's development opportunities, driven by new productive forces like AI and data elements, and the expanding application of social security cards - The 2025 government work report proposes increasing efforts to guarantee and improve public welfare, with social security system expenditures continuously rising, creating broad opportunities for industry development[31] - AI and large model technologies accelerate industrial digital transformation, the National Data Bureau promotes data element market development, and public services such as government affairs, employment, and medical care continue to optimize[33][35][36][37][38] - As of the end of June 2025, national social security cardholders covered 98.9% of the population, third-generation social security cardholders exceeded 500 million, and electronic social security card users reached 1.097 billion, achieving multi-scenario applications[36] (II) Company's Main Business Activities During the Reporting Period This chapter details the company's progress in social security card services, digital employment, medical finance, smart government, and data operation services - Social Security Card Service Provider: Participated in the issuance of third-generation social security cards in nearly 170 cities, maintaining a leading market share[41] - Digital Employment Services: Implemented "AI Employment" services in multiple provinces and cities, building a "15-minute employment service circle", with the self-developed "AI Employment Counselor" serving over 200,000 person-times[43] - Medical Financial Services: "Seamless Medical Payment" service has been integrated into over 100 Grade-A hospitals in Guangzhou, with over 2.5 million signed users and a cumulative fund disbursement exceeding 210 billion Yuan[44] - Smart Government Services: The self-developed "Zhiwei Jieyu" large model officially passed national cybersecurity review, improving government service efficiency by over 40% in several cities[45] - Data Operation Services: Successfully re-bid for the "Guangzhou Data Exchange (Tianhe) Service Zone Operation Service" project and participated in compiling "Data Product Development and Management: From Data Resources to Data Capital"[46] Analysis of Core Competencies This chapter elucidates the company's five core competencies: AI application commercialization, technological innovation, big data depth operation, differentiated public services, and high-efficiency management - AI application commercialization: Pioneered the commercial application of AI large models in core public welfare scenarios such as employment, medical care, and government affairs, laying the foundation for future development[48] - Technological autonomous innovation: Built a complete AI technology foundation covering smart terminals, large model platforms, knowledge operations, and data middle-ends by introducing high-end AI talent and establishing an AI research institute[49] - Big data depth operation: Driven by a "data + scenario" dual-wheel strategy, deeply involved in local public data resource registration and governance, achieving efficient integration and value extraction of data resources[50] - Differentiated public services: Business network covers 28 provincial administrative regions and nearly 200 prefecture-level cities, forming a unique "1+N" integrated operation service system, creating high service barriers[51] - High-efficiency operation management: Established a scientific and reasonable performance management and incentive mechanism, building a result-oriented, highly executive professional team to maintain steady development[52] Analysis of Main Business This chapter analyzes the company's main business, noting improved gross margin despite revenue and profit declines, and outlines future strategic focus on cash flow and profitability - In the first half of the year, the company firmly advanced its strategic transformation and upgrading, leading to a narrowing decline in operating revenue and profit year-on-year, enhanced overall product profitability, and a 4.03% increase in gross margin year-on-year[53] - In the first half of the year, the issuance of third-generation social security cards increased by 20.47% year-on-year; new contract value for "Human Resources and Social Security Operations and Big Data Services" grew by 12.87% year-on-year[53] - In the second half of 2025, the company will continue to focus on "ensuring cash flow", "ensuring profit", improving overall team collaboration efficiency, and prioritizing social security card services, digital employment services, and government services[53] Key Financial Data YoY Change (Unit: Yuan) | Indicator | Current Period (Yuan) | Prior Period (Yuan) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 248,503,169.86 | 289,850,783.33 | -14.27% | | | Operating Cost | 136,136,458.84 | 170,458,070.64 | -20.13% | | | Selling Expenses | 44,529,862.59 | 41,531,492.66 | 7.22% | | | Administrative Expenses | 20,973,944.35 | 23,777,673.38 | -11.79% | | | Financial Expenses | -176,779.87 | -263,291.30 | 32.86% | Primarily due to decreased interest income | | Income Tax Expense | -138,101.93 | -29,804.24 | -363.36% | Primarily due to decreased profit in the current period, leading to a corresponding reduction in current income tax | | R&D Investment | 37,753,314.10 | 40,747,962.43 | -7.35% | | | Net Cash Flow from Operating Activities | -149,686,961.12 | -121,544,453.17 | -23.15% | | | Net Cash Flow from Investing Activities | -35,770,557.65 | -74,619,479.10 | 52.06% | Primarily due to decreased investment payments | | Net Cash Flow from Financing Activities | -10,074,978.33 | -70,431,180.05 | 85.70% | Primarily due to decreased debt repayments | Operating Revenue Composition (Unit: Yuan) | Category | Current Period Amount (Yuan) | % of Revenue | Prior Period Amount (Yuan) | % of Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 248,503,169.86 | 100% | 289,850,783.33 | 100% | -14.27% | | By Product | | | | | | | One-Card Application | 177,226,968.63 | 71.32% | 202,742,196.85 | 69.95% | -12.59% | | Human Resources and Social Security Operations and Big Data Services | 71,276,201.23 | 28.68% | 87,108,586.48 | 30.05% | -18.18% | | By Region | | | | | | | East China | 68,878,581.44 | 27.71% | 84,047,428.07 | 29.01% | -18.05% | | South China | 57,163,044.83 | 23.00% | 66,224,022.06 | 22.85% | -13.68% | | North China | 47,337,611.02 | 19.05% | 65,862,239.52 | 22.72% | -28.13% | | Central China | 24,222,012.29 | 9.75% | 25,093,347.47 | 8.66% | -3.47% | | Southwest China | 22,604,729.86 | 9.10% | 18,305,120.25 | 6.30% | 23.49% | | Northwest China | 18,730,857.97 | 7.54% | 15,215,322.56 | 5.25% | 23.11% | | Northeast China | 9,566,332.45 | 3.85% | 15,103,303.40 | 5.21% | -36.66% | Main Business Cost Composition (Unit: Yuan) | Cost Component | Current Period Amount (Yuan) | % of Operating Cost | Prior Period Amount (Yuan) | % of Operating Cost | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Direct Materials | 87,523,489.75 | 64.29% | 107,762,661.93 | 63.22% | -18.78% | | Labor and Other Costs | 48,612,969.09 | 35.71% | 62,695,408.71 | 36.78% | -22.46% | | Total | 136,136,458.84 | 100.00% | 170,458,070.64 | 100.00% | -20.13% | Analysis of Non-Core Business This chapter states that the company had no non-core business analysis during the reporting period - The company had no non-core business analysis during the reporting period[61] Analysis of Assets and Liabilities This chapter analyzes significant changes in the company's asset and liability structure, including a decrease in cash and an increase in accounts receivable and long-term borrowings Significant Changes in Asset Composition (Unit: Yuan) | Item | Period-End Amount (Yuan) | % of Total Assets | Prior Year-End Amount (Yuan) | % of Total Assets | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 301,997,985.96 | 20.94% | 499,934,458.07 | 32.42% | -11.48% | | Accounts Receivable | 558,784,617.14 | 38.75% | 494,810,752.14 | 32.08% | 6.67% | | Inventories | 80,613,893.78 | 5.59% | 74,825,780.64 | 4.85% | 0.74% | | Construction in Progress | 126,887,438.01 | 8.80% | 99,204,668.15 | 6.43% | 2.37% | | Long-term Borrowings | 17,282,087.65 | 1.20% | 11,202,772.91 | 0.73% | 0.47% | - As of June 30, 2025, restricted cash and cash equivalents amounted to 13,438,379.58 Yuan, primarily for acceptance bill deposits and letter of guarantee deposits[64] Restricted Cash and Cash Equivalents Composition (Unit: Yuan) | Item | Amount (Yuan) | | :--- | :--- | | Cash for bank acceptance bill deposits | 862,700.63 | | Letter of guarantee deposits | 12,123,013.33 | | Performance bond deposits | 374,349.49 | | Custody account risk fund | 20,000.00 | | Other | 58,316.13 | | Total | 13,438,379.58 | Analysis of Investment Status This chapter analyzes the company's investment status, noting a significant decrease in total investment and an extension of the fundraising project implementation period due to external factors Current Period Investment Amount (Unit: Yuan) | Indicator | Current Period Investment (Yuan) | Prior Period Investment (Yuan) | Change (%) | | :--- | :--- | :--- | :--- | | Total Investment Amount | 638,080,000.00 | 1,075,800,000.00 | -40.69% | - As of June 30, 2025, cumulative raised funds invested amounted to 222.2945 million Yuan, with an unused balance of 6.3231 million Yuan[74] - The main reason for the delay in the fundraising project's progress was the impact of land planning administrative permits and adverse weather conditions during the construction period, which slowed down the overall construction progress[78] - The expected date for the fundraising project to reach its intended usable state has been extended from December 2024 to March 2026[78][83] Significant Asset and Equity Sales This chapter states that the company did not engage in any significant asset or equity sales during the reporting period - The company did not sell significant assets during the reporting period[84] - The company did not sell significant equity during the reporting period[85] Analysis of Major Holding and Participating Companies This chapter discloses information on the company's major subsidiaries and associates, highlighting Beijing Jinse Huaqin Data Service Co., Ltd. as a key subsidiary Major Subsidiaries and Associates with Over 10% Impact on Company's Net Profit (Unit: Yuan) | Company Name | Company Type | Main Business | Registered Capital (Yuan) | Total Assets (Yuan) | Net Assets (Yuan) | Operating Revenue (Yuan) | Operating Profit (Yuan) | Net Profit (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Beijing Jinse Huaqin Data Service Co., Ltd. | Subsidiary | Human Resources Services | 20,000,000.00 | 151,273,997.15 | 88,227,437.96 | 41,713,402.19 | 5,739,993.22 | 4,905,249.51 | - Shandong Tecsun Fusion Data Service Co., Ltd. has been deregistered, with no significant impact on current period performance[86] Information on Structured Entities Controlled by the Company This chapter states that the company did not control any structured entities during the reporting period - The company had no controlled structured entities during the reporting period[87] Risks Faced by the Company and Countermeasures This chapter identifies five major risks, including policy changes, market competition, and technological challenges, along with the company's corresponding mitigation strategies - The company faces risks from industry policy changes, intensified market competition, technological challenges, business expansion investment, and rising labor costs[87][88][89][90] - Countermeasures include: closely following policy guidance and timely adjusting business strategies; strengthening internal cost reduction and efficiency improvement, and reinforcing full-process cost control; improving the performance system and incentive mechanism, and building employee growth channels[91] Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan This chapter states that the company has not formulated a market value management system or disclosed a valuation enhancement plan - The company has not formulated a market value management system, nor has it disclosed a valuation enhancement plan[92] Implementation of "Quality and Return Dual Improvement" Action Plan This chapter states that the company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan - The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan[92] Corporate Governance, Environment, and Society This section covers the company's governance structure, environmental practices, and social responsibility initiatives during the reporting period Changes in Directors, Supervisors, and Senior Management This chapter reports no changes in the company's directors, supervisors, and senior management during the reporting period - There were no changes in the company's directors, supervisors, and senior management during the reporting period, as detailed in the 2024 annual report[94] Profit Distribution and Capital Reserve Conversion to Share Capital in the Current Reporting Period This chapter confirms the company's plan not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the half-year - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the half-year[95] Implementation of Company's Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures This chapter discloses the cancellation of stock options from the 2022 plan due to unmet performance targets and the successful transfer of shares for the 2025 employee stock ownership plan - The company's "2022 Stock Option Incentive Plan" did not meet the company-level performance target for the second assessment year (2024), and all options for the second exercise period for all incentive recipients will be cancelled in accordance with relevant regulations[96] All Valid Employee Stock Ownership Plans During the Reporting Period | Employee Scope | Number of Employees | Total Shares Held (Shares) | Changes | % of Total Share Capital | Funding Source for Plan Implementation | | :--- | :--- | :--- | :--- | :--- | :--- | | Middle management, core backbone employees (excluding directors, supervisors, senior management) | 61 | 1,745,600 | None | 0.40% | Employees' legal remuneration, self-raised funds | - The company has transferred 1,745,600 shares of company stock via non-trading transfer to the dedicated securities account of the "Guangdong Tecsun Science & Technology Co., Ltd. - 2025 Employee Stock Ownership Plan"[98] - This employee stock ownership plan has a duration of 36 months, with the acquired shares unlocking in 2 tranches, each with a lock-up period of 12 months and 24 months, and an unlocking ratio of 50% per tranche[99] Environmental Information Disclosure This chapter states that the company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law - The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law[100] Social Responsibility This chapter highlights the company's commitment to social responsibility by leveraging technology to build a comprehensive service system for public welfare and government digital governance - The company is committed to "building a bridge between government and public welfare," constructing a full-scenario operation service system through internet, big data, and AI technologies, deeply covering public welfare scenarios such as employment, medical care, and government affairs[100] - The company will continue to uphold its commitment to public welfare services, continuously promote new leaps in public welfare service development, fully leverage its social value in the social security and public welfare industry, and give back to society with sincere service[101] Significant Matters This section details important events and disclosures that significantly impact the company's operations, financial position, or shareholder interests Fulfillment of Commitments This chapter confirms that the company's controlling shareholder and actual controller, Guo Xiaobin, strictly fulfilled all commitments made during the reporting period - The company's controlling shareholder and actual controller, Guo Xiaobin, strictly fulfilled his commitments during the reporting period, with no violations[103] - Commitments include that the subscription funds are legal self-owned or self-raised funds, with no external fundraising, leverage, or other structured arrangements for financing[103] - The non-publicly issued shares subscribed will not be transferred within 36 months from the end of the issuance[103] Non-Operating Funds Occupied This chapter states that there were no non-operating funds occupied by controlling shareholders or other related parties from the company during the reporting period - The company had no non-operating funds occupied by controlling shareholders or other related parties during the reporting period[105] Illegal External Guarantees This chapter states that the company had no illegal external guarantees during the reporting period - The company had no illegal external guarantees during the reporting period[106] Appointment and Dismissal of Accounting Firms This chapter states that the company's semi-annual financial report was not audited - The company's semi-annual report was not audited[107] Explanation of Non-Standard Audit Report This chapter states that there was no non-standard audit report for the company during the reporting period - The company had no non-standard audit report during the reporting period[108] Explanation of Previous Year's Non-Standard Audit Report This chapter states that there was no non-standard audit report for the previous year concerning the company - The company had no non-standard audit report for the previous year during the reporting period[108] Bankruptcy and Reorganization Matters This chapter states that the company did not experience any bankruptcy or reorganization matters during the reporting period - The company did not experience any bankruptcy or reorganization matters during the reporting period[108] Litigation Matters This chapter states that the company had no significant litigation or arbitration matters during the reporting period - The company had no significant litigation or arbitration matters during this reporting period[109] Penalties and Rectification This chapter states that the company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[109] Integrity Status This chapter states that there were no matters requiring disclosure regarding the integrity status of the company, its controlling shareholder, or actual controller - The company had no matters requiring disclosure regarding its integrity status during the reporting period[110] Significant Related Party Transactions This chapter states that the company had no significant related party transactions, including asset/equity acquisitions or disposals, or related party debt during the reporting period - The company had no related party transactions related to daily operations during the reporting period[110] - The company had no related party transactions involving asset or equity acquisition or disposal during the reporting period[111] - The company had no related party creditor-debtor transactions during the reporting period[113] - There were no deposits, loans, credit lines, or other financial business between the company and related financial companies or related parties[114] Significant Contracts and Their Performance This chapter discloses the company's related party guarantee for a subsidiary and its entrusted wealth management activities, with no outstanding balance at period-end - The company had no entrusted management, contracting, or leasing situations during the reporting period[118][119][120] Company Guarantees for Subsidiaries (Unit: Ten Thousand Yuan) | Guaranteed Party Name | Guarantee Limit (Ten Thousand Yuan) | Actual Guarantee Amount (Ten Thousand Yuan) | Guarantee Period | Fulfilled | Related Party Guarantee | | :--- | :--- | :--- | :--- | :--- | :--- | | Guangzhou Deyue Real Estate Investment Co., Ltd. | 20,000 | 1,870.34 | 18 years | No | Yes | | Total approved guarantee limit for subsidiaries during the reporting period (B1) | 20,000 | | | | | | Total actual guarantee amount for subsidiaries during the reporting period (B2) | | 724.56 | | | | | Total approved guarantee limit for subsidiaries at period-end (B3) | 20,000 | | | | | | Total actual guarantee balance for subsidiaries at period-end (B4) | | 1,870.34 | | | | | Ratio of total actual guarantee amount to company's net assets | | 1.69% | | | | Entrusted Wealth Management (Unit: Ten Thousand Yuan) | Type | Source of Funds | Amount of Entrusted Wealth Management (Ten Thousand Yuan) | Unmatured Balance (Ten Thousand Yuan) | Overdue Unrecovered Amount (Ten Thousand Yuan) | | :--- | :--- | :--- | :--- | :--- | | Bank wealth management products | Own funds | 63,780 | 0 | 0 | | Total | | 63,780 | 0 | 0 | Explanation of Other Significant Matters This chapter states that there were no other significant matters requiring explanation by the company during the reporting period - The company had no other significant matters requiring explanation during the reporting period[126] Significant Matters of Company Subsidiaries This chapter states that there were no significant matters concerning the company's subsidiaries during the reporting period - The company had no significant matters concerning its subsidiaries during the reporting period[127] Share Changes and Shareholder Information This section details changes in the company's share capital, information on its shareholders, and any shifts in control Share Change Information This chapter details the decrease in restricted shares and corresponding increase in unrestricted shares, primarily due to the lifting of restrictions on shares held by directors, supervisors, senior management, and the controlling shareholder Share Change Information (Unit: Shares) | Category | Quantity Before Change (Shares) | % Before Change | Change (+,-) (Shares) | Quantity After Change (Shares) | % After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 119,668,599 | 27.74% | -10,071,143 | 109,597,456 | 25.40% | | 3. Other Domestic Holdings | 119,668,599 | 27.74% | -10,071,143 | 109,597,456 | 25.40% | | Of which: Domestic Natural Persons | 119,668,599 | 27.74% | -10,071,143 | 109,597,456 | 25.40% | | II. Unrestricted Shares | 311,763,489 | 72.26% | 10,071,143 | 321,834,632 | 74.60% | | 1. RMB Ordinary Shares | 311,763,489 | 72.26% | 10,071,143 | 321,834,632 | 74.60% | | III. Total Shares | 431,432,088 | 100.00% | 0 | 431,432,088 | 100.00% | - Restricted shares for directors, supervisors, and senior management are released at 25% of their holdings on January 1st of each year[130] - The 38,024,000 RMB ordinary shares non-publicly issued by the company to controlling shareholder and actual controller Mr. Guo Xiaobin in April 2022 were released from restriction and listed for trading on May 14, 2025[130] - The company has transferred 1,745,600 shares of its repurchased stock to the dedicated securities account of the "Guangdong Tecsun Science & Technology Co., Ltd. - 2025 Employee Stock Ownership Plan," with the actual use consistent with the proposed use in the share repurchase plan[131] Securities Issuance and Listing Information This chapter states that there were no securities issuance or listing activities by the company during the reporting period - The company had no securities issuance or listing activities during the reporting period[134] Number of Shareholders and Shareholding Information This chapter discloses the total number of ordinary shareholders, the shareholding of the controlling shareholder, and the top 10 shareholders, noting no related party relationships among them - The total number of ordinary shareholders at the end of the reporting period was 45,056[135] Shareholdings of Shareholders Holding 5% or More or Top 10 Shareholders (Unit: Shares) | Shareholder Name | Shareholder Nature | Shareholding % | Shares Held at Period-End (Shares) | Restricted Shares Held (Shares) | Unrestricted Shares Held (Shares) | Share Status | Pledged Shares (Shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Guo Xiaobin | Domestic Natural Person | 33.40% | 144,087,714 | 108,065,785 | 36,021,929 | Pledged | 50,830,000 | | Sun Kuangbiao | Domestic Natural Person | 8.45% | 36,458,058 | 0 | 36,458,058 | Not Applicable | 0 | | Guangdong Tecsun Science & Technology Co., Ltd. – 2025 Employee Stock Ownership Plan | Other | 0.40% | 1,745,600 | 0 | 1,745,600 | Not Applicable | 0 | - There are no related party relationships among the aforementioned shareholders, and they do not constitute parties acting in concert[136] - The company's dedicated repurchase securities account holds 3,145,372 shares and has been excluded from the top 10 shareholders[136] Changes in Shareholdings of Directors, Supervisors, and Senior Management This chapter states that there were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period, as detailed in the 2024 annual report[138] Changes in Controlling Shareholder or Actual Controller This chapter states that there were no changes in the company's controlling shareholder or actual controller during the reporting period - The company's controlling shareholder did not change during the reporting period[139] - The company's actual controller did not change during the reporting period[139] Information on Preferred Shares This chapter states that the company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[140] Bond-Related Information This section provides information regarding any bonds issued or held by the company - The company had no bond-related information during the reporting period[142] Financial Report This section presents the company's complete financial statements, including balance sheets, income statements, and cash flow statements, along with detailed notes Audit Report This chapter states that the company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[144] Financial Statements This chapter provides the company's consolidated and parent company balance sheets, income statements, and cash flow statements for the first half of 2025 - The consolidated balance sheet shows that as of June 30, 2025, the company's total assets were 1,442,053,550.42 Yuan, and total equity attributable to parent company owners was 1,108,802,360.50 Yuan[148] - The consolidated income statement shows that for the first half of 2025, total operating revenue was 248,503,169.86 Yuan, net profit was 10,751,072.04 Yuan, and net profit attributable to parent company shareholders was 8,869,750.82 Yuan[155][156] - The consolidated cash flow statement shows that for the first half of 2025, net cash flow from operating activities was -149,686,961.12 Yuan, net cash flow from investing activities was -35,770,557.65 Yuan, and net cash flow from financing activities was -10,074,978.33 Yuan[160][161][162] Company Basic Information This chapter outlines the company's history, share capital structure, registration, and core business, emphasizing its focus on social security and public welfare services - Guangdong Tecsun Science & Technology Co., Ltd. was formerly Guangdong Tecsun Technology Co., Ltd., which was wholly converted into a joint-stock company on June 25, 2015, and listed on the Shenzhen Stock Exchange on October 20, 2017[179] - As of June 30, 2025, the company's total share capital was 431,432,088.00 shares, of which restricted shares accounted for 27.74% and unrestricted shares accounted for 72.26%[180] - The company has focused on social security and public welfare services for over 20 years, with a core mission of "serving public welfare and promoting consumption," utilizing AI technology to optimize core scenarios such as employment, medical care, and government affairs[181] Basis of Preparation of Financial Statements This chapter explains that the financial statements are prepared in accordance with Chinese Accounting Standards, using the accrual basis and historical cost, under the assumption of a going concern - These financial statements are prepared in accordance with the Enterprise Accounting Standards issued by the Ministry of Finance, their application guidelines, interpretations, and other relevant regulations[183] - The company's accounting is based on the accrual basis, and except for certain financial instruments, all items are measured at historical cost[183] - These financial statements are presented on a going concern basis[184] Significant Accounting Policies and Accounting Estimates This chapter details the company's accounting policies and estimates for financial instruments, revenue recognition, business combinations, fixed assets, intangible assets, and share-based payments - The company determines its financial instrument and revenue recognition policies based on its production and operation characteristics[186] - Financial assets are measured at fair value upon initial recognition and classified into three categories based on the business model for managing financial assets and the contractual cash flow characteristics: measured at amortized cost, measured at fair value with changes recognized in other comprehensive income, and measured at fair value with changes recognized in profit or loss[214] - The company recognizes revenue when it has satisfied its performance obligations in the contract, i.e., when the customer obtains control of the related goods or services, primarily from one-card applications, human resources and social security operations, and big data services[297][300] - Significant accounting estimates and key assumptions include the measurement of expected credit losses for accounts receivable, goodwill impairment, and deferred income tax assets[322][323][324] Taxation This chapter lists the company's main tax categories and applicable rates, including VAT and corporate income tax, noting its high-tech enterprise status Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Taxable Value Added | 13%, 9%, 6%, 5%, 3% | | Urban Maintenance and Construction Tax | Actual Amount of Turnover Tax Paid | 7%, 5% | | Corporate Income Tax | Taxable Income | 15%, 20%, 25% | | Education Surcharge | Actual Amount of Turnover Tax Paid | 3% | | Local Education Surcharge | Actual Amount of Turnover Tax Paid | 2% | - The company is a high-tech enterprise, re-certified on December 28, 2023, and enjoys a 15% corporate income tax rate for three years[330] - In the current reporting period, the company received a software VAT refund of 5,161,042.97 Yuan, impacting profit or loss by 4,388,572.16 Yuan[331] Notes to Consolidated Financial Statement Items This chapter provides detailed notes for each item in the consolidated financial statements, explaining balances, changes, and related accounting treatments - The period-end balance of cash and cash equivalents was 301,997,985.96 Yuan, compared to 499,934,458.07 Yuan at the beginning of the period[333] - The period-end carrying value of accounts receivable was 558,784,617.14 Yuan, with an allowance for doubtful accounts of 78,819,617.71 Yuan[352] - The period-end carrying value of inventories was 80,613,893.78 Yuan, with a total provision for inventory impairment and contract performance cost impairment of 12,875,693.80 Yuan[411] - The period-end carrying value of construction in progress was 126,887,438.01 Yuan, primarily for the Tecsun Science & Technology Headquarters Building project[466] - Operating revenue for the current period was 248,503,169.86 Yuan, and operating cost for the current period was 136,136,458.84 Yuan[554] Research and Development Expenses This chapter discloses the company's R&D expenses for the reporting period, totaling 37,753,314.10 yuan, all of which were expensed R&D Expense Composition (Unit: Yuan) | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Employee Compensation | 32,114,867.80 | 34,389,031.95 | | Office and Travel Expenses | 2,204,970.93 | 1,803,825.82 | | Depreciation and Amortization | 1,018,730.12 | 1,759,517.91 | | Technical Service Fees | 1,588,491.22 | 2,200,034.53 | | Other | 394,070.11 | 7,875.45 | | Share-Based Payments | 236,103.23 | 349,495.61 | | R&D Materials | 196,080.69 | 139,405.76 | | Intermediary Service Fees | 0.00 | 98,775.40 | | Total | 37,753,314.10 | 40,747,962.43 | | Of which: Expensed R&D | 37,753,314.10 | 40,747,962.43 | - Total R&D expenses for the current period decreased by 7.35% year-on-year, and all R&D expenses were expensed, with no R&D projects meeting capitalization criteria[601][602] Changes in Consolidation Scope This chapter states no changes in consolidation scope due to business combinations, but notes the deregistration of Shandong Tecsun Fusion Data Service Co., Ltd - In the current period, the company did not experience any business combinations under non-common control[604] - In the current period, the company did not experience any business combinations under common control[608] - Shandong Tecsun Fusion Data Service Co., Ltd. was deregistered on May 28, 2025, with no significant impact on current period performance[612] Interests in Other Entities This chapter details the company's interests in subsidiaries, joint ventures, and associates, including financial information for significant non-wholly owned subsidiaries - The company owns multiple subsidiaries, with business natures covering software and information technology services, business services, etc., and most shareholding ratios are 100%[614][615][616] - Beijing Jinse Huaqin Data Service Co., Ltd. is a significant non-wholly owned subsidiary, with a minority shareholder holding 25.00%[620] Key Financial Information of Significant Non-Wholly Owned Subsidiaries (Unit: Yuan) | Subsidiary Name | Current Assets (Yuan) | Non-Current Assets (Yuan) | Total Assets (Yuan) | Current Liabilities (Yuan) | Non-Current Liabilities (Yuan) | Total Liabilities (Yuan) | Operating Revenue (Yuan) | Net Profit (Yuan) | Total Comprehensive Income (Yuan) | Operating Cash Flow (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Beijing Jinse Huaqin Data Service Co., Ltd. | 121,335,827.05 | 29,938,170.10 | 151,273,997.15 | 62,535,035.62 | 511,523.57 | 63,046,559.19 | 41,713,402.19 | 4,905,249.51 | 4,905,249.51 | -56,561,526.78 | - The total carrying value of investments in insignificant joint ventures and associates is 0 Yuan, and the total comprehensive income for the current period is -580,310.22 Yuan[627] Government Grants This chapter discloses government grants recognized in profit or loss for the reporting period, totaling 5,647,743.86 yuan, with no grants recognized in deferred income Government Grants Recognized in Current Profit or Loss (Unit: Yuan) | Accounting Account | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Other Income | 5,647,743.86 | 10,977,376.28 | - In the current period, the company had no government grants recognized in deferred income[631] Risks Related to Financial Instruments This chapter detailedly analyzes the company's credit risk, liquidity risk, and market risk (including interest rate risk), and elaborates on the corresponding risk management objectives and policies - The main risks arising from the company's financial instruments are credit risk, liquidity risk, and market risk[632] - Credit risk primarily arises from bank deposits, notes receivable, accounts receivable, other receivables, etc., with the top five customers' accounts receivable accounting for 27.60% of the total[634][635] - Liquidity risk is managed by maintaining sufficient cash and cash equivalents, monitoring bank borrowings, and obtaining financing credit lines[636] - Interest rate risk primarily arises from long-term interest-bearing debts such as long-term bank borrowings; the company closely monitors interest rate changes but currently has no interest rate hedging policy[639] Financial Assets Transferred with Continuing Involvement (Unit: Yuan) | Item | Asset Transfer Method | Assets from Continuing Involvement (Yuan) | Liabilities from Continuing Involvement (Yuan) | | :--- | :--- | :--- | :--- | | Notes Endorsement | Bank acceptance bills endorsed but not yet due | 230,304.73 | 230,304.73 | | Notes Endorsement | Commercial acceptance bills endorsed but not yet due | 611,420.02 | 611,420.02 | | Total | | 841,724.75 | 841,724.75 | Fair Value Disclosure This chapter states that the carrying amounts of financial assets and liabilities measured at amortized cost are close to their fair values, with no fair value measurement level conversions - The carrying amounts of the company's financial assets and financial liabilities measured at amortized cost are very close to their fair values[650] - In the current year, there were no transfers between Level 1 and Level 2 fair value measurements for the company's financial assets and financial liabilities, nor were there any transfers into or out of Level 3[648] Related Parties and Related Party Transactions This chapter identifies the company's related parties and details related party transactions, including purchases, sales, and key management personnel compensation - The ultimate controlling party of the enterprise is Guo Xiaobin[651] Purchases of Goods/Receipt of Services (Unit: Yuan) | Related Party | Related Transaction Content | Current Period Amount (Yuan) | Approved Transaction Limit (Yuan) | Exceeded Limit | Prior Period Amount (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Hangzhou Hikvision Technology Co., Ltd. | Identity information recognition, access control products, etc. | 18,147.00 | | No | 15,692.99 | | Hangzhou Hikvision Digital Technology Co., Ltd. | Maintenance services | 212.00 | 300.00 | No | 0.00 | | Tibet Huaqin Interconnect Technology Co., Ltd. | Human resources services | 340,615.27 | | No | 432,941.13 | Sales of Goods/Provision of Services (Unit: Yuan) | Related Party | Related Transaction Content | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | :--- | | Hangzhou Hikvision Technology Co., Ltd. | AIOT IoT products | 2,330,650.40 | 3,049,139.81 | | Hangzhou Hikvision Digital Technology Co., Ltd. | AIOT IoT products | 6,300.00 | 12,600.00 | | Tongren City Minsheng One-Card Co., Ltd. | One-card and AIOT applications | 49,950.00 | 103,227.88 | | Tibet Huaqin Interconnect Technology Co., Ltd. | Special business service platform services, human resources services | 219,117.14 | 29,981.95 | - Key management personnel compensation for the current period was 1,770,045.00 Yuan, compared to 1,560,328.72 Yuan in the prior period[673] Share-Based Payments This chapter discloses the company's share-based payment activities, including the grant of shares for the 2025 employee stock ownership plan and the forfeiture of options from the 2022 plan Overall Share-Based Payment Information (Unit: Yuan) | Grantee Category | Current Period Granted Quantity | Current Period Granted Amount (Yuan) | Current Period Forfeited Quantity | Current Period Forfeited Amount (Yuan) | | :--- | :--- | :--- | :--- | :--- | | 2025 Employee Stock Ownership Plan | 1,245,600.00 | 392,364.00 | | | | 2022 Stock Option Incentive Plan (Initial Grant) | | | 61,500.00 | 17,359.02 | | Total | 1,245,600.00 | 392,364.00 | 61,500.00 | 17,359.02 | - The total expense recognized for equity-settled share-based payments in the current period was 978,548.47 Yuan, primarily allocated to sales personnel, management personnel, R&D personnel, and production personnel[680][681][682] Commitments and Contingencies This chapter discloses significant capital commitments for long-term asset construction and states no other material contingent matters as of the balance sheet date Capital Commitments Signed but Not Yet Recognized in Financial Statements (Unit: Ten Thousand Yuan) | Item | Period-End Balance (Ten Thousand Yuan) | Prior Year-End Balance (Ten Thousand Yuan) | | :--- | :--- | :--- | | Commitments for construction of long-term assets | 5,828.89 | 4,334.98 | - As of June 30, 2025, the company had no significant contingent matters requiring disclosure[683][684] Events After the Balance Sheet Date This chapter states that there were no significant non-adjusting events, profit distributions, sales returns, or other post-balance sheet events during the reporting period - The company had no significant non-adjusting events during the reporting period[686] - The company had no profit distribution events during the reporting period[687] - The company had no sales returns during the reporting period[688] Other Significant Matters This chapter states that there were no other significant matters such as prior period error corrections, debt restructurings, or asset exchanges during the reporting period - The company had no prior period accounting error corrections during the reporting period[688] - The company had no debt restructuring, asset replacement, annuity plans, or discontinued operations during the reporting period[691] Notes to Main Items of Parent Company Financial Statements This chapter provides detailed notes for the parent company's key financial statement items, including accounts receivable, other receivables, and long-term equity investments - The parent company's accounts receivable carrying value at period-end was 532,837,583.03 Yuan, with an allowance for doubtful accounts of 73,709,858.16 Yuan[698] - The parent company's other receivables carrying value at period-end was 97,132,963.96 Yuan, with an allowance for doubtful accounts of 6,819,706.64 Yuan[710][728] - The parent company's long-term equity investments carrying value at period-end was 510,662,231.90 Yuan, primarily investments in subsidiaries[739] Supplementary Information This chapter provides supplementary financial data, including a detailed statement of non-recurring gains and losses and key profitability ratios Current Period Non-recurring Gains and Losses Detail Statement (Unit: Yuan) | Item | Amount (Yuan) | | :--- | :--- | | Gains or losses from disposal of non-current assets | -99,481.54 | | Government grants recognized in current profit or loss (excluding those closely related to the company's normal operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit or loss) | 486,700.89 | | Gains or losses from changes in fair value of financial assets and financial liabilities, and gains or losses from disposal of financial assets and financial liabilities, excluding effective hedge accounting related to normal business operations of non-financial enterprises | 1,900,969.19 | | Other non-operating income and expenses apart from the above items | 409,498.41 | | Less: Income tax impact | 345,552.39 | | Minority interest impact (after tax) | 213,971.07 | | Total | 2,138,163.49 | Return on Net Assets and Earnings Per Share | Profit for the Period | Weighted Average Return on Net Assets | Basic EPS (Yuan/share) | Diluted EPS (Yuan/share) | | :--- | :--- | :--- | :--- | | Net profit attributable to ordinary shareholders of the company | 0.79% | 0.0206 | 0.0206 | | Net profit attributable to ordinary shareholders of the company after deducting non-recurring gains and losses | 0.60% | 0.0156 | 0.0156 | Other Submitted Data This section includes additional data submitted by the company, covering social security issues and investor relations activities Other Significant Social Security Issues This chapter states that the company and its subsidiaries had no other significant social security issues or administrative penalties during the reporting period - The listed company and its subsidiaries had no other significant social security issues[757] - No administrative penalties were received during the reporting period[757]