秦安股份(603758) - 2025 Q2 - 季度财报

Definitions Definitions of Common Terms This chapter lists definitions of common terms used in the report, including company names, subsidiaries, related parties, and major customers, to ensure clear understanding of the report content Definitions of Common Terms | Common Term | Definition | | :--- | :--- | | Qin'an M&E, Qin'an Stock, Company, This Company | Chongqing Qin'an M&E PLC | | Qin'an Casting | Chongqing Qin'an Casting Co., Ltd | | Meifeng Qin'an | Chongqing Meifeng Qin'an Automotive Drive System Co., Ltd | | Changan Ford | Changan Ford Automobile Co., Ltd | | Jiangling Motors | Jiangling Motors Corporation, Ltd | | North American Ford | Ford Motor Company, USA | | Changan, Changan Automobile | Chongqing Changan Automobile Co., Ltd | | Geely | Zhejiang Geely Holding Group | | FAW, FAW Hongqi | China FAW Group Co., Ltd | | Ideal Xinchen | Sichuan Ideal Xinchen Technology Co., Ltd | | ESTA | Early Sourcing Target Agreement | | Moxian Technology | Moxian Technology (Dongguan) Co., Ltd | | CSRC | China Securities Regulatory Commission | Company Profile and Key Financial Indicators Company Information This section outlines the company's basic registration information, including its Chinese name, abbreviation, English name, abbreviation, and legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Company Chinese Name | Chongqing Qin'an M&E PLC | | Company Chinese Abbreviation | Qin'an Stock | | Company English Name | Chongqing Qin'an M&E PLC | | Company English Abbreviation | QA | | Company Legal Representative | YUANMING TANG | Contact Person and Information This section provides contact information for the company's Board Secretary and Securities Affairs Representative, including name, address, phone, fax, and email Contact Information | Position | Board Secretary | Securities Affairs Representative | | :--- | :--- | :--- | | Name | Xu Rui | Yang Binruo | | Contact Address | No. 58 Sendi Avenue, Xipeng Industrial Park, Jiulongpo District, Chongqing | No. 58 Sendi Avenue, Xipeng Industrial Park, Jiulongpo District, Chongqing | | Phone | 19923812993 | 19923812993 | | Fax | 023-61381896 | 023-61381896 | | Email | zq@qamemc.com | zq@qamemc.com | Brief Introduction to Changes in Basic Information This section introduces historical changes to the company's registered address and lists the current office address, website, and email - The company's registered address changed from its original address to Room 211, Party-Masses Service Center, Xipeng Park, Building 1, No. 8 Sendi Avenue, Xipeng Town, Jiulongpo District, Chongqing on January 16, 2020[18] Brief Introduction to Changes in Information Disclosure and Document Storage Locations This section discloses the company's designated information disclosure newspapers, the website address for publishing semi-annual reports, and the report storage location - The company's selected information disclosure newspapers are "Shanghai Securities News" and "Securities Times", and the website address for publishing semi-annual reports is http://www.sse.com.cn/[19](index=19&type=chunk) Company Stock Profile This section provides basic information about the company's stock, including the listing exchange, stock abbreviation, and stock code Company Stock Profile | Stock Type | Stock Exchange | Stock Abbreviation | Stock Code | Former Stock Abbreviation | | :--- | :--- | :--- | :--- | :--- | | A-share | Shanghai Stock Exchange | Qin'an Stock | 603758 | None | Company's Key Accounting Data and Financial Indicators This section details the company's key accounting data and financial indicators for the current and prior reporting periods, with explanations for significant changes Key Accounting Data for H1 2025 | Key Accounting Data | Current Period (Jan-Jun) (Yuan) | Prior Period (Yuan) | Current Period vs. Prior Period Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 675,374,807.79 | 777,882,900.24 | -13.18 | | Total Profit | 90,931,487.87 | 73,316,129.55 | 24.03 | | Net Profit Attributable to Shareholders of the Listed Company | 80,387,391.48 | 61,849,693.15 | 29.97 | | Net Profit Attributable to Shareholders of the Listed Company After Deducting Non-recurring Gains and Losses | 83,824,862.99 | 98,415,027.85 | -14.83 | | Net Cash Flow from Operating Activities | 114,586,001.35 | 227,715,129.49 | -49.68 | | | End of Current Period (Yuan) | End of Prior Year (Yuan) | End of Current Period vs. End of Prior Year Change (%) | | Net Assets Attributable to Shareholders of the Listed Company | 2,487,988,209.09 | 2,384,111,861.98 | 4.36 | | Total Assets | 2,808,505,938.24 | 2,884,489,843.36 | -2.63 | Key Financial Indicators for H1 2025 | Key Financial Indicators | Current Period (Jan-Jun) | Prior Period | Current Period vs. Prior Period Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (Yuan/share) | 0.19 | 0.14 | 35.71 | | Diluted Earnings Per Share (Yuan/share) | 0.19 | 0.14 | 35.71 | | Basic Earnings Per Share After Deducting Non-recurring Gains and Losses (Yuan/share) | 0.20 | 0.23 | -13.04 | | Weighted Average Return on Net Assets (%) | 3.30 | 2.44 | Increased by 0.86 percentage points | | Weighted Average Return on Net Assets After Deducting Non-recurring Gains and Losses (%) | 3.44 | 3.88 | Decreased by 0.44 percentage points | - Net profit attributable to shareholders of the listed company for the current period increased by 18.54 million Yuan year-on-year, a 29.97% increase, primarily due to a 38.26 million Yuan year-on-year increase in fair value change gains and losses from financial assets held for trading[24] Non-recurring Gains and Losses Items and Amounts This section details the specific items and amounts of the company's non-recurring gains and losses for the reporting period, totaling -3.44 million Yuan Non-recurring Gains and Losses Items and Amounts for H1 2025 | Non-recurring Gains and Losses Item | Amount (Yuan) | | :--- | :--- | | Gains and losses from disposal of non-current assets, including the write-back of impairment provisions | -59,292.31 | | Government grants recognized in current profit or loss, excluding those closely related to the company's normal business operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit or loss | 1,318,099.73 | | Gains and losses from changes in fair value of financial assets and financial liabilities, and from disposal of financial assets and financial liabilities, excluding effective hedging activities related to the company's normal business operations | -5,277,395.36 | | Other non-operating income and expenses apart from the above items | -22,525.40 | | Less: Income tax impact | -603,641.83 | | Total | -3,437,471.51 | Management Discussion and Analysis Explanation of the Company's Industry and Main Business Operations during the Reporting Period This section elaborates on the company's automotive manufacturing industry status, main business, key products, operating model, and market position, along with an analysis of industry competition Company's Industry Situation during the Reporting Period The company operates in the automotive manufacturing industry (C36), with vehicle production and sales growing by 12.5% and 11.4% respectively in H1 2025, and new energy vehicles growing by 41.4% and 40.3%, but the industry faces intensified "price wars" and declining profitability - The company operates in the automotive manufacturing industry (code C36), specifically automotive parts and accessories manufacturing (C3660)[31] H1 2025 Automotive Production and Sales Data | Indicator | Production/Sales (10,000 units) | Year-on-year growth (%) | | :--- | :--- | :--- | | Automotive Production/Sales | 1562.1 / 1565.3 | 12.5 / 11.4 | | Passenger Vehicle Production/Sales | 1352.2 / 1353.1 | 13.8 / 13 | | New Energy Vehicle Production/Sales | 696.8 / 693.7 | 41.4 / 40.3 | - New energy vehicle sales reached 44.3% of total new vehicle sales, further solidifying their mainstream market position[32] - The overall profitability of the automotive industry is declining, with intensified "involutionary" competition, primarily in the form of disorderly "price wars", being a significant factor in the industry's reduced efficiency[32] Explanation of the Company's Main Business Operations The company is a professional supplier of automotive lightweight structural components, specializing in engine core parts, critical transmission parts, and new energy drive system products, operating on an "order-based production" model while actively expanding into new energy and overseas markets - The company primarily engages in the R&D, production, and sales of automotive engine core components (cylinder blocks, cylinder heads, crankshafts), critical transmission components (casings, housings), hybrid transmission casings, extended-range engine cylinder heads and blocks, and pure electric vehicle motor housings[34] - In 2018, the company established its wholly-owned subsidiary, Meifeng Qin'an, to enter the new energy sector, focusing on the R&D, production, and sales of new energy hybrid drive system products[35] - The company adopts an "order-based production" model, serving major customers including Changan Ford, Ideal Xinchen, China FAW, Jiangling Motors, North American Ford, Geely Automobile, Changan Automobile, Dongan Power, and BAIC Foton[44][50] H1 2025 Market Share of Fuel Passenger Vehicles | Main Product | Annual Sales Volume (units) | Annual Passenger Vehicle Production (excluding NEV) (units) | H1 2025 Market Share | | :--- | :--- | :--- | :--- | | Cylinder Head | 280,105 | 6,554,000 | 4.27% | | Cylinder Block | 96,835 | 6,554,000 | 1.48% | | Crankshaft | 127,559 | 6,554,000 | 1.95% | | Transmission Casing and Others | 62,784 | 6,554,000 | 0.96% | H1 2025 Market Share of New Energy Plug-in Hybrid Electric Vehicles | Main Product | Annual Sales Volume (units) | Annual New Energy Plug-in Hybrid Electric Vehicle Production (units) | H1 2025 Market Share | | :--- | :--- | :--- | :--- | | Cylinder Head | 193,764 | 2,479,000 | 7.82% | | Cylinder Block | 103,111 | 2,479,000 | 4.16% | | Crankshaft | 39,730 | 2,479,000 | 1.60% | | Transmission Casing and Others | 39,730 | 2,479,000 | 1.60% | Discussion and Analysis of Operating Performance During the reporting period, the company's operating revenue decreased by 13.18% year-on-year, but net profit attributable to the parent company increased by 29.97%, primarily due to fair value changes in financial assets held for trading. The company focused on its core business, expanded into new energy and overseas markets, and pursued M&A and investments in new businesses to create multiple growth curves Key Operating Performance In H1 2025, the company's operating revenue was 675.37 million Yuan, a year-on-year decrease of 13.18%; net profit attributable to the parent company was 80.39 million Yuan, a year-on-year increase of 29.97%, mainly influenced by fair value changes in financial assets held for trading. The company maintains a stable financial position with a low asset-liability ratio and ample cash H1 2025 Key Operating Data | Indicator | Jan-Jun 2025 (Ten Thousand Yuan) | Year-on-year Change (%) | | :--- | :--- | :--- | | Operating Revenue | 67,537.48 | -13.18 | | Net Profit Attributable to Parent Company Shareholders | 8,038.74 | 29.97 | | Net Profit Attributable to Parent Company Shareholders After Deducting Non-recurring Gains and Losses | 8,382.49 | -14.83 | - Net profit attributable to shareholders of the listed company increased by 18.54 million Yuan year-on-year, primarily due to a 38.26 million Yuan year-on-year increase in fair value change gains and losses from financial assets held for trading[62] - As of June end 2025, the company's total assets were 2.81 billion Yuan, total net assets were 2.49 billion Yuan, and the asset-liability ratio was 11.41%; the company's monetary funds and financial assets held for trading totaled 1.06 billion Yuan, with a cash ratio of 339.85%, indicating ample capital and stable financial indicators[63] Key Work in H1 2025 In the first half of the year, the company focused on its core business, stabilized customer order volumes, expanded into overseas markets, and achieved mass production for the North American Ford cylinder block project. Concurrently, cost reduction and efficiency improvements were implemented through the completion of a rooftop photovoltaic project and technological innovation. In the new energy sector, hybrid power drive system R&D progressed steadily. Furthermore, the company entered the high-end vacuum coating field through the acquisition of Yigao Optoelectronics and invested in Moxian Technology to enter the sensor market, creating multiple growth curves - The company secured multiple project orders from customers including Changan Ford, Ideal, Dongan Power, and FAW, successfully supplied North American Ford directly, and completed sample delivery and achieved mass production for the North American Ford cylinder block project[64] - The company completed a 6MW distributed photovoltaic project on the parent company's rooftop, which was connected to the grid in June, expected to save 7% to 10% of the company's electricity costs annually[67] - Subsidiary Meifeng Qin'an steadily advanced the R&D of hybrid power drive system products, completing the development and manufacturing of dedicated engine, motor, and reducer prototypes, and developing single-motor reducers and electric drive assemblies applicable to pure electric vehicles[68] - The company initiated the acquisition of 99% equity of Anhui Yigao Optoelectronic Technology Co., Ltd. by issuing shares and paying cash, strategically entering the high-end vacuum coating field, which is expected to open new performance growth points[70] - The company officially entered the sensor market by investing in Moxian Technology, which specializes in flexible tactile sensors with broad applications in consumer electronics, automotive, robotics, and medical fields[71] Significant Changes in Company's Operating Performance and Material Impact Events during the Reporting Period The company plans to acquire 99% equity of Anhui Yigao Optoelectronic Technology Co., Ltd. by issuing shares and paying cash, and raise supporting funds; this transaction is still in progress and is expected to have a significant impact on the company's future operations - The company plans to acquire 99% equity of Anhui Yigao Optoelectronic Technology Co., Ltd. by issuing shares and paying cash, and raise supporting funds; this transaction requires approval from the company's board of directors and shareholders' meeting, and formal implementation after approval by competent regulatory authorities[72][73] Analysis of Core Competencies during the Reporting Period The company's core competencies include advantages in process technology and equipment, integrated R&D and production capabilities for casting and machining, product development, R&D and testing capabilities, quality management systems, excellent cost control, and advantages in scale and product diversity - The company possesses full-process highly automated equipment and matching process technology capabilities, including low-pressure, gravity, and high-pressure casting technologies, as well as advanced machining technologies for engine core 3C parts and critical transmission and motor housing components[74] - The company has integrated R&D and production capabilities for casting and machining, covering the entire process from raw material and auxiliary material preparation to casting, rough machining, and fine machining, ensuring stable product quality, short logistics, and high production efficiency[78] - The company boasts an experienced technical team capable of supporting diverse product development, and has established a comprehensive product development system and historical experience database for casting and machining, earning multiple "Excellent Innovation Award" and "Best Development Award" from customers[79] - The company has a professional technical team for hybrid electric drive system assembly R&D and has built over ten large-scale testing facilities, including vehicle dynamometers, powertrain, triple motor, engine, motor, and vibration environment test benches[80] - The company strictly adheres to IATF16949 requirements for its quality management system, demonstrating stable quality performance in mass production of core products, achieving 0 PPM for 24 consecutive months for fine-machined engine parts supplied to Changan Ford[85] - The company has developed a mature capability for large-scale production line construction and integrated wiring, enabling the configuration of complete production lines at the procurement cost of individual equipment, significantly reducing equipment procurement costs, and possesses alloy preparation capabilities and a sound cost management system[86] - The company holds a competitive advantage in production and sales scale and OEM market share among engine core component manufacturers, with product diversity covering fuel engine core components and new energy drive system products, effectively mitigating single-product market risks[88] Key Operating Performance during the Reporting Period This section analyzes the reasons for changes in key financial statement items, including decreased operating revenue, increased total profit and net profit, and decreased net cash flow from operating activities, along with detailed disclosures of asset and liability status and major asset restrictions Analysis Table of Changes in Financial Statement Items During the reporting period, the company's operating revenue decreased by 13.18% year-on-year, operating costs decreased by 10.48%, sales, administrative, and R&D expenses all decreased, and financial expense interest income decreased. Net cash flow from operating activities significantly decreased by 49.68%, net cash flow from investing activities decreased by 79.79%, and net cash flow from financing activities decreased by 43.24% Analysis of Changes in Financial Statement Items | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 675,374,807.79 | 777,882,900.24 | -13.18 | | Operating Cost | 527,791,617.98 | 589,576,602.80 | -10.48 | | Selling Expenses | 5,802,181.66 | 8,133,098.31 | -28.66 | | Administrative Expenses | 40,182,190.06 | 48,282,999.37 | -16.78 | | Financial Expenses | -7,305,953.67 | -8,569,584.97 | 14.75 | | R&D Expenses | 14,614,989.16 | 15,567,305.01 | -6.12 | | Net Cash Flow from Operating Activities | 114,586,001.35 | 227,715,129.49 | -49.68 | | Net Cash Flow from Investing Activities | -61,288,712.14 | -34,088,715.07 | -79.79 | | Net Cash Flow from Financing Activities | -143,040,387.18 | -251,995,835.49 | 43.24 | - The decrease in operating revenue was primarily due to intensified industry competition, leading to lower product prices, and reduced customer order demand and product deliveries[90] - The change in net cash flow from operating activities was mainly due to a year-on-year decrease in receivables at the end of the prior year, resulting in reduced collection of goods payments in the current period[90] - The change in net cash flow from investing activities was primarily due to increased payments for equity investments and long-term asset investments[92] Analysis of Assets and Liabilities At the end of the reporting period, the company's total assets and monetary funds decreased, but accounts receivable financing significantly increased by 653.11%. Regarding liabilities, short-term borrowings and derivative financial liabilities were zeroed out, and other payables significantly decreased by 93.65%, mainly due to the payment of cash dividends. The company's overseas assets accounted for 0.50% of total assets, and bills receivable of 2,253,456.09 Yuan were restricted at period-end Changes in Assets and Liabilities | Item Name | End of Current Period (Yuan) | End of Prior Year (Yuan) | Change (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 985,860,381.34 | 1,082,660,246.99 | -8.94 | | | Bills Receivable | 11,053,114.19 | 19,466,416.96 | -43.22 | Decrease in bills receivable from lower-credit banks at period-end | | Accounts Receivable Financing | 77,553,909.84 | 10,297,763.24 | 653.11 | Increase in bills receivable from higher-credit banks at period-end | | Other Equity Instrument Investments | 15,517,241.00 | | | Increase in equity instrument investments in current period | | Other Non-current Assets | 10,564,269.39 | 4,169,564.40 | 153.37 | Increase in prepaid equipment costs | | Short-term Borrowings | | 14,710,000.00 | -100.00 | Decrease in non-derecognizable bills receivable | | Derivative Financial Liabilities | | 532,100.00 | -100.00 | Decrease in cash flow hedging reserve | | Other Payables | 8,675,262.37 | 136,654,683.62 | -93.65 | Payment of cash dividends in current period | | Deferred Tax Liabilities | 6,371,968.29 | 16,336,801.02 | -61.00 | Decrease in taxable temporary differences | - The company's overseas assets amounted to 14,145,873.86 Yuan, accounting for 0.50% of total assets[95] - At period-end, bills receivable of 2,253,456.09 Yuan were restricted because they were endorsed or discounted but had not yet matured on the balance sheet date and were not derecognized[97] Analysis of Investment Status The company engages in stock financial investments in the secondary market to improve capital utilization efficiency, with financial assets held for trading having a book value of 74,566,073.10 Yuan at period-end and a fair value change of -55,797,923.24 Yuan. Additionally, the company subscribed for a 5% equity stake in Moxian Technology, designated as other equity instrument investment, with a book value of 15,517,241.00 Yuan - As of June 30, 2025, the company's financial assets held for trading had a book value of 74,566,073.10 Yuan, including an investment cost of 130,363,996.34 Yuan and a fair value change of -55,797,923.24 Yuan[98][100] - On June 18, 2025, the company signed an agreement with Moxian Technology to subscribe for a 5% equity stake, designated as other equity instrument investment, with a book value of 15,517,241.00 Yuan as of June 30, 2025[98] Securities Investment Status | Security Type | Security Code | Security Abbreviation | Initial Investment Cost (Yuan) | End of Period Book Value (Yuan) | Fair Value Change Gain/Loss for Current Period (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Stock | 002129 | TCL Zhonghuan | 52,059,081.81 | 28,165,248.00 | -4,364,146.50 | | Stock | 601012 | Longi Green Energy | 75,776,179.96 | 44,957,864.00 | -2,065,308.00 | | Stock | 835368 | Liancheng CNC | 2,528,734.57 | 1,442,961.10 | -35,734.30 | | Total | / | / | 130,363,996.34 | 74,566,073.10 | -6,465,188.80 | Analysis of Major Holding and Participating Companies The company's main subsidiaries include Chongqing Qin'an Casting Co., Ltd. and Chongqing Meifeng Qin'an Automotive Drive System Co., Ltd. Qin'an Casting achieved operating revenue of 412 million Yuan and net profit of 14.8045 million Yuan in H1; Meifeng Qin'an had operating revenue of 33,500 Yuan and a net loss of 420,000 Yuan Key Subsidiary Financial Data (H1 2025) | Company Name | Company Type | Registered Capital (Ten Thousand Yuan) | Total Assets (Ten Thousand Yuan) | Net Assets (Ten Thousand Yuan) | Operating Revenue (Ten Thousand Yuan) | Operating Profit (Ten Thousand Yuan) | Net Profit (Ten Thousand Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Chongqing Qin'an Casting Co., Ltd | Subsidiary | 12,000.00 | 78,434.59 | 72,206.04 | 41,192.46 | 1,697.17 | 1,480.45 | | Chongqing Meifeng Qin'an Automotive Drive System Co., Ltd | Subsidiary | 2,000.00 | 901.91 | 849.04 | 3.35 | -42.00 | -42.00 | Other Disclosure Matters The company faces risks from macroeconomic fluctuations, industry policy adjustments, challenges in new energy expansion, customer concentration, product price declines, raw material price volatility, and investments in new businesses through M&A - The company's main products are used in the automotive market, facing risks from macroeconomic fluctuations and market changes, which may have a significant adverse impact on its operating prosperity and performance[103] - If the macroeconomy overheats or environmental pollution intensifies, policies encouraging automotive production and consumption may be adjusted, or even policies to curb overcapacity may be introduced, thereby posing industry policy risks to the company's operations[104] - The company's involvement in the new energy sector will face new challenges and market competition, as its drive system products are currently in the early R&D and testing phase, potentially facing technical risks and unfavorable market development risks[105] - The company faces risks of customer concentration; if its core customers experience large-scale order transfers or significant adverse changes in their operating conditions in the future, it will directly affect the company's production and operations, thereby adversely impacting its sustained profitability[107] - With the continuous increase in product models and intensifying market competition, the company's products will face price reduction pressure; if product prices significantly decrease in the future, it will have a major adverse impact on the company's profitability[108] - The main raw materials required for the company's products include aluminum ingots, carbon steel (compacted blocks), etc., and their price fluctuations will directly affect the company's production costs, thus the company faces operating risks from raw material price fluctuations[109] - The company's plan to invest in and acquire new businesses involves various risks, such as inaccurate valuation of target companies, inability to effectively integrate corporate cultures and management models after acquisition, loss of key talent, and uncertainties in new business market demand[110] Corporate Governance, Environment, and Society Profit Distribution or Capital Reserve Conversion Plan The company's board of directors resolved not to distribute profits or convert capital reserves into share capital for this reporting period - No profit distribution or capital reserve conversion into share capital will be conducted for this reporting period[6][112] Status and Impact of Company's Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The first tranche of the company's 2023 employee stock ownership plan completed its initial lock-up period on September 8, 2024, with 4.854 million shares unlocked, of which 2.934 million shares have been transferred to individual securities accounts. The reserved portion completed non-trading transfer on November 1, 2024. The second lock-up period will expire on September 8, 2025, with 4.905 million shares eligible for unlocking - The first tranche of 16,350,000 A-shares of the company's 2023 employee stock ownership plan was transferred from the company's repurchase special securities account to the employee stock ownership plan securities account via non-trading transfer on September 8, 2023, at a price of 4.41 Yuan/share[114] - The first lock-up period for the initial tranche of the 2023 employee stock ownership plan expired on September 8, 2024, with 4.854 million shares unlocked, of which 2.934 million shares were transferred to individual securities accounts via non-trading transfer on September 27, 2024[115][116] - The reserved portion of 730,274 A-shares of the company's 2023 employee stock ownership plan was transferred from the company's repurchase special securities account to the 2023 employee stock ownership plan securities account via non-trading transfer on November 1, 2024[117] - The second lock-up period for the initial tranche of the company's 2023 employee stock ownership plan will expire on September 8, 2025, with 4.905 million shares eligible for unlocking, accounting for 1.12% of the company's current total share capital[118] Environmental Information of Listed Companies and Their Major Subsidiaries Included in the List of Enterprises Required to Disclose Environmental Information by Law The company and its subsidiary, Chongqing Qin'an Casting Co., Ltd., have been included in the list of enterprises required to disclose environmental information by law. Chongqing Qin'an Casting Co., Ltd.'s environmental information disclosure report can be found on the Enterprise Environmental Information Disclosure System Status of Inclusion in the List of Enterprises Required to Disclose Environmental Information by Law | No. | Enterprise Name | Query Index for Environmental Information Disclosure Report | | :--- | :--- | :--- | | 1 | Chongqing Qin'an Casting Co., Ltd | http://cqtpf.cqree.cn:10001/eps/index/enterprise search | | 2 | Chongqing Qin'an M&E PLC | Not applicable (Chongqing Qin'an M&E PLC's Jiangjin factory will be included in the list of enterprises required to disclose environmental information by law in 2025, with its environmental information disclosure report submission due in early 2026, not yet reaching the statutory disclosure time) | Significant Matters Fulfillment of Commitments The company and relevant parties have made commitments regarding major asset restructuring, resolution of horizontal competition, and other matters, all of which have been timely and strictly fulfilled. Commitments related to major asset restructuring will become effective upon approval by the competent regulatory authorities - The company, its directors, supervisors, senior management, controlling shareholder, actual controller, transaction counterparties, and target company have timely and strictly fulfilled commitments related to major asset restructuring, with some commitments becoming effective after approval, sanction, or registration by competent regulatory authorities for this transaction[122][123] - Controlling shareholder and actual controller YUANMING TANG committed not to directly or indirectly engage in or participate in any business or activity that is the same, similar, or commercially competitive with the company and its subsidiaries; this commitment is long-term effective and has been timely and strictly fulfilled[122] - Shareholder Tang Yadong committed not to reduce his holding of 5,000 shares acquired during the window period on March 13, 2020, within eighteen months, and to voluntarily return any gains from sales after eighteen months to the listed company, also committing to diligently study relevant laws and regulations and strictly comply with them to prevent similar incidents; this commitment has been fulfilled[124] Significant Related Party Transactions The company is planning to acquire 99% equity of Anhui Yigao Optoelectronic Technology Co., Ltd. by issuing shares and paying cash, and raise supporting funds; this transaction is expected to constitute a related party transaction, with due diligence, audit, and appraisal work currently in progress - The company is planning to acquire 99% equity of Anhui Yigao Optoelectronic Technology Co., Ltd. by issuing shares and paying cash, and raise supporting funds, which is expected to constitute a related party transaction but not a major asset restructuring as defined by the "Measures for the Administration of Major Asset Restructuring of Listed Companies"[126] - As of the disclosure date of this report, due diligence, audit, and appraisal work related to this transaction are continuously and orderly progressing[127] Major Contracts and Their Fulfillment During the reporting period, the company provided a comprehensive credit guarantee of 60 million Yuan to its subsidiary, Chongqing Meifeng Qin'an Automotive Drive System Co., Ltd., accounting for 2.41% of the company's net assets Company Guarantee Total Amount | Indicator | Amount (Yuan) | | :--- | :--- | | Total Guarantees to Subsidiaries in Current Period | 60,000,000 | | Total Guarantees to Subsidiaries at End of Current Period (B) | 60,000,000 | | Total Guarantees (A+B) | 60,000,000 | | Total Guarantees as % of Company's Net Assets | 2.41 | - The company signed an agreement with Everbright Bank in January 2023 to provide a comprehensive credit guarantee of 60 million Yuan to its wholly-owned subsidiary Meifeng Qin'an for a term of three years[131] Share Changes and Shareholder Information Changes in Share Capital During the reporting period, there were no changes in the company's total share capital or share structure - During the reporting period, there were no changes in the company's total share capital or share structure[133] Shareholder Information As of the end of the reporting period, the total number of common shareholders was 13,210. Among the top ten shareholders, YUANMING TANG held 64.76%, serving as the controlling shareholder. The company's 2023 employee stock ownership plan held 12,175,310 shares, accounting for 2.77% of the total share capital - As of the end of the reporting period, the total number of common shareholders was 13,210[134] Top Ten Shareholders' Holdings | Shareholder Name | Shares Held at Period End (shares) | Percentage (%) | Shareholder Type | | :--- | :--- | :--- | :--- | | YUANMING TANG | 284,153,069 | 64.76 | Overseas Natural Person | | Chongqing Qin'an M&E PLC - 2023 Employee Stock Ownership Plan | 12,175,310 | 2.77 | Other | | Lin Zhijun | 3,827,300 | 0.87 | Domestic Natural Person | | Shao Yixing | 2,786,909 | 0.64 | Domestic Natural Person | | Zhang Huaming | 2,450,000 | 0.56 | Domestic Natural Person | | Song Zeyang | 1,971,100 | 0.45 | Domestic Natural Person | | Zhou Bin | 1,760,000 | 0.40 | Domestic Natural Person | | Tang Zichang | 1,740,000 | 0.40 | Domestic Natural Person | | Industrial and Commercial Bank of China Co., Ltd. - Noah Flexible Allocation Mixed Securities Investment Fund | 1,681,500 | 0.38 | Other | | Yantai Zhaojin Private Equity Fund Management Co., Ltd. - Zhaojin FOF Selection No. 1 Private Securities Investment Fund | 1,365,500 | 0.31 | Other | - Chongqing Qin'an M&E PLC's repurchase special securities account held 11,182,900 shares, accounting for 2.55% of the company's total share capital[137] Bond-Related Information Corporate Bonds (Including Enterprise Bonds) and Non-Financial Enterprise Debt Financing Instruments During the reporting period, the company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments - During the reporting period, the company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments[140] Convertible Corporate Bonds During the reporting period, the company had no convertible corporate bonds - During the reporting period, the company had no convertible corporate bonds[140] Financial Report Audit Report This semi-annual report has not been audited - This semi-annual report has not been audited[5][142] Financial Statements This section provides the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity for H1 2025, comprehensively reflecting the financial position and operating results at the end of the reporting period - This section includes the consolidated balance sheet, consolidated income statement, consolidated cash flow statement, consolidated statement of changes in owners' equity, parent company balance sheet, parent company income statement, parent company cash flow statement, and parent company statement of changes in owners' equity[142][145][148][152][155][158][161][168] Company Basic Information Chongqing Qin'an M&E PLC. was established in 1995, restructured into a joint-stock company in 2011, listed on the Shanghai Stock Exchange in 2017, primarily engages in automotive parts manufacturing, and has a registered capital of 438,797,049.00 Yuan - Chongqing Qin'an M&E PLC. was formerly Chongqing Qin'an M&E Manufacturing Co., Ltd., an foreign-invested enterprise established on August 24, 1995, with approval from the Chongqing Jiulongpo District Foreign Economic and Trade Commission[173] - The company was restructured into a joint-stock company in September 2011 and listed on the Shanghai Stock Exchange on May 17, 2017[173] - The company's registered capital is 438,797,049.00 Yuan, with a total of 438,797,049 shares[173] - The company belongs to the automotive parts manufacturing industry, with its main business activities being the design, development, manufacturing, and sales of automotive engine core components and critical automotive transmission components[174] Basis of Financial Statement Preparation The company's financial statements are prepared on a going concern basis, with no significant doubts about its ability to continue as a going concern for the 12 months from the end of the reporting period - The company's financial statements are prepared on a going concern basis[176] - There are no matters or circumstances that cause significant doubt about the company's ability to continue as a going concern for the 12 months from the end of the reporting period[177] Significant Accounting Policies and Estimates This section details the company's statement of compliance with 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, bills receivable, accounts receivable, accounts receivable financing, other receivables, inventories, contract assets, assets held for sale, long-term equity investments, fixed assets, construction in progress, borrowing costs, intangible assets, impairment of long-term assets, long-term prepaid expenses, contract liabilities, employee compensation, provisions, share-based payments, revenue, contract costs, government grants, deferred tax assets/liabilities, leases, and other significant accounting policies and estimates - The financial statements prepared by the company comply with the requirements of enterprise accounting standards and truly and completely reflect the company's financial position, operating results, changes in shareholders' equity, and cash flows[179] - The company's accounting year runs from January 1 to December 31 of the Gregorian calendar, and its operating cycle is short, with 12 months used as the liquidity classification standard for assets and liabilities[180][181] - The company identifies individual accounts receivable, other receivables, prepayments, construction in progress, accounts payable, other payables, contract liabilities, and provisions exceeding 0.3% of total assets as material items[183] - Financial assets are initially classified into financial assets measured at amortized cost, financial assets measured at fair value through other comprehensive income, and financial assets measured at fair value through profit or loss[192] - The company performs impairment testing and recognizes loss provisions for financial assets measured at amortized cost, debt instrument investments measured at fair value through other comprehensive income, contract assets, lease receivables, loan commitments, and financial guarantee contracts based on expected credit losses[208] - Inventories include finished goods or merchandise held for sale in ordinary activities, work in progress, and materials and supplies consumed in the production process or in the rendering of services; inventories issued are accounted for using the weighted average method at month-end, and the inventory system is perpetual inventory[228] Fixed Asset Depreciation Methods | Category | Depreciation Method | Depreciation Period (years) | Salvage Rate | Annual Depreciation Rate | | :--- | :--- | :--- | :--- | :--- | | Buildings and Structures | Straight-line method | 20 | 0-10 | 4.50-5.00 | | Machinery and Equipment | Straight-line method | 5-10 | 0-10 | 9.00-20.00 | | Transportation Equipment | Straight-line method | 4-5 | 5-10 | 18.00-23.75 | | Office Equipment | Straight-line method | 3-5 | 0-10 | 18.00-33.33 | - Intangible assets include land use rights and software; land use rights are amortized over the 50-year term of property registration, and software is amortized over its expected useful life of 5-10 years[261] - Expenditures in the development phase of internal research and development projects are recognized as intangible assets when they simultaneously meet conditions such as technical feasibility, intention to complete, manner of generating economic benefits, availability of sufficient resources, and reliable measurement of expenditures[267] - Revenue recognition principle: at the contract inception date, the company assesses the contract to identify each distinct performance obligation and determines whether each distinct performance obligation is satisfied over time or at a point in time, recognizing revenue when the customer obtains control of the related goods or services[286][287] - The company applies hedge accounting for qualifying hedges (including fair value hedges, cash flow hedges, and hedges of a net investment in a foreign operation)[307] Taxation This section lists the company's main tax categories and rates, including VAT, urban maintenance and construction tax, corporate income tax, property tax, education surcharge, local education surcharge, and land use tax. The company and its subsidiaries benefit from Western Development corporate income tax incentives, high-tech enterprise corporate income tax incentives, advanced manufacturing enterprise VAT additional deduction policies, and small and micro-profit enterprise corporate income tax incentives Main Tax Categories and Rates | Tax Type | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Based on sales of goods and taxable services calculated according to tax laws, the output tax is calculated, and after deducting the input tax allowed for the current period, the difference is the VAT payable | 13% | | Urban Maintenance and Construction Tax | Actual amount of turnover tax paid | 7% | | Corporate Income Tax | Taxable income | 15%, 20% | | Property Tax | For value-based assessment, 1.2% of the remaining value after a one-time deduction of 30% from the original value of the property; for rent-based assessment, 12% of rental income | 1.2% | | Education Surcharge | Actual amount of turnover tax paid | 3% | | Local Education Surcharge | Actual amount of turnover tax paid | 2% | | Land Use Tax | Taxable area | 8.00 Yuan/㎡, 10.00 Yuan/㎡ | - The company and its subsidiary Chongqing Qin'an Casting Co., Ltd. enjoy Western Development corporate income tax incentives, with corporate income tax levied at a reduced rate of 15% from January 1, 2021, to December 31, 2030[314] - The company was recognized as a state-supported high-tech enterprise on October 28, 2024, and is subject to corporate income tax at a reduced rate of 15%[315] - As an advanced manufacturing enterprise, the company is allowed to deduct an additional 5% of the current period's deductible input VAT from its VAT payable from January 1, 2023, to December 31, 2027[315] - Subsidiary Chongqing Meifeng Qin'an Automotive Drive System Co., Ltd. enjoys small and micro-profit enterprise corporate income tax incentives for 2025, paying corporate income tax at a rate of 20%[316] Notes to Consolidated Financial Statement Items This section provides detailed disclosures for each item in the consolidated financial statements, including monetary funds, financial assets held for trading, bills receivable, accounts receivable, accounts receivable financing, prepayments, other receivables, inventories, other current assets, other equity instrument investments, fixed assets, construction in progress, intangible assets, long-term prepaid expenses, deferred tax assets/liabilities, other non-current assets, assets restricted by ownership or use rights, short-term borrowings, derivative financial liabilities, notes payable, accounts payable, contract liabilities, employee compensation payable, taxes payable, other payables, other current liabilities, provisions, deferred income, share capital, capital reserves, treasury stock, other comprehensive income, specific reserves, surplus reserves, undistributed profits, operating revenue and costs, taxes and surcharges, selling expenses, administrative expenses, R&D expenses, financial expenses, other income, investment income, fair value change gains, credit impairment losses, asset impairment losses, asset disposal gains, non-operating income, non-operating expenses, income tax expense, other comprehensive income, cash flow statement items, supplementary cash flow information, notes to statement of changes in owners' equity, foreign currency monetary items, leases, and data resources Monetary Funds | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Cash on Hand | 33,551.40 | 5,605.55 | | Bank Deposits | 962,920,146.71 | 957,519,509.51 | | Other Monetary Funds | 15,297,002.67 | 118,429,618.04 | | Interest on Notice Deposits and Large-Denomination Certificates of Deposit | 7,609,680.56 | 6,705,513.89 | | Total | 985,860,381.34 | 1,082,660,246.99 | | Of which: Total Funds Deposited Overseas | 9,180,816.66 | 2,781,013.18 | Financial Assets Held for Trading | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Financial Assets Measured at Fair Value Through Profit or Loss | 74,566,073.10 | 81,031,261.90 | | Of which: Equity Investments | 74,566,073.10 | 81,031,261.90 | | Total | 74,566,073.10 | 81,031,261.90 | Bills Receivable Classified | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Bank Acceptance Bills | 11,053,114.19 | 19,466,416.96 | | Total | 11,053,114.19 | 19,466,416.96 | Bills Receivable Endorsed or Discounted and Not Yet Due at Period-End | Item | Amount Not Derecognized at Period-End (Yuan) | | :--- | :--- | | Bank Acceptance Bills | 2,253,456.09 | | Total | 2,253,456.09 | Accounts Receivable Aging Disclosure | Aging | End of Period Book Balance (Yuan) | Beginning of Period Book Balance (Yuan) | | :--- | :--- | :--- | | Within 1 year (inclusive) | 290,212,097.92 | 339,675,204.35 | | Within 3 months | 289,411,513.41 | 336,172,960.74 | | 3 months to 1 year | 800,584.51 | 3,502,243.61 | | 1 to 2 years | 15,522.79 | 133,606.72 | | 2 to 3 years | 4,200.00 | 409,713.79 | | 3 to 4 years | 409,713.79 | | | Total | 290,641,534.50 | 340,218,524.86 | Accounts Receivable Financing Classified | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Bank Acceptance Bills | 77,553,909.84 | 10,297,763.24 | | Total | 77,553,909.84 | 10,297,763.24 | Accounts Receivable Financing Endorsed or Discounted and Derecognized at Period-End | Item | Amount Derecognized at Period-End (Yuan) | | :--- | :--- | | Bank Acceptance Bills | 20,457,954.68 | | Total | 20,457,954.68 | Inventory Classification | Item | End of Period Book Value (Yuan) | Beginning of Period Book Value (Yuan) | | :--- | :--- | :--- | | Raw Materials | 16,232,792.70 | 15,452,911.21 | | Work in Progress | 45,136,588.71 | 24,235,271.67 | | Finished Goods | 131,763,583.85 | 119,292,274.56 | | Revolving Materials | 66,763,479.56 | 64,906,430.73 | | Consigned Processing Materials | 942,071.82 | 846,633.35 | | Total | 260,838,516.64 | 224,733,521.52 | Fixed Asset Status | Item | End of Period Book Value (Yuan) | Beginning of Period Book Value (Yuan) | | :--- | :--- | :--- | | Fixed Assets | 791,666,767.39 | 821,469,091.10 | | Total | 791,666,767.39 | 821,469,091.10 | Construction in Progress Status | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Construction in Progress | 32,253,895.67 | 43,776,947.62 | | Total | 32,253,895.67 | 43,776,947.62 | Intangible Asset Status | Item | End of Period Book Value (Yuan) | Beginning of Period Book Value (Yuan) | | :--- | :--- | :--- | | Land Use Rights | 120,037,702.72 | 121,434,849.40 | | Software | 3,275,462.08 | 3,404,450.27 | | Total | 123,313,164.80 | 124,839,299.67 | Long-term Prepaid Expenses Status | Item | Beginning of Period Balance (Yuan) | Amount Increased in Current Period (Yuan) | Amount Amortized in Current Period (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | :--- | :--- | | Tools, Molds | 29,927,905.43 | 5,068,231.66 | 10,105,480.20 | 24,870,711.14 | | Revolving Materials | 7,000,395.84 | 2,180,713.71 | 2,521,942.95 | 6,659,166.60 | | Decoration Expenses | 167,671.75 | | 21,739.74 | 145,932.01 | | Total | 37,095,973.02 | 7,248,945.37 | 12,649,162.89 | 31,675,809.75 | Net Deferred Tax Assets and Liabilities | Item | Deferred Tax Assets or Liabilities Balance After Offset (Yuan) | | :--- | :--- | | Deferred Tax Assets | 14,231,831.39 | | Deferred Tax Liabilities | 6,371,968.29 | Short-term Borrowing Classification | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Credit Borrowings | | 14,710,000.00 | | Total | | 14,710,000.00 | Derivative Financial Liabilities | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Cash Flow Hedging Reserve | | 532,100.00 | | Total | | 532,100.00 | Notes Payable Classification | Type | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Bank Acceptance Bills | 127,786,785.94 | 133,168,035.03 | | Total | 127,786,785.94 | 133,168,035.03 | Accounts Payable Listing | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Goods Payable | 92,546,152.87 | 94,164,774.85 | | Equipment Payable | 46,029,253.65 | 55,752,857.06 | | Total | 138,575,406.52 | 149,917,631.91 | Contract Liabilities Status | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Advance Receipts for Goods | 7,470,173.34 | 2,295,034.98 | | Total | 7,470,173.34 | 2,295,034.98 | Employee Compensation Payable Listing | Item | End of Period Balance (Yuan) | | :--- | :--- | | I. Short-term Compensation | 10,537,210.40 | | II. Post-employment Benefits - Defined Contribution Plans | | | III. Termination Benefits | | | IV. Other Benefits Due Within One Year | | | Total | 10,537,210.40 | Taxes Payable Status | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Value-Added Tax | 8,570,870.12 | 7,561,059.61 | | Corporate Income Tax | 7,700,749.06 | 14,910,275.97 | | Individual Income Tax | 565,391.01 | 531,660.37 | | Urban Maintenance and Construction Tax | 599,294.56 | 527,812.28 | | Stamp Duty | 315,928.60 | 335,959.78 | | Education Surcharge | 256,840.53 | 226,205.27 | | Local Education Surcharge | 171,227.02 | 150,803.51 | | Other | 37,363.73 | 37,374.74 | | Total | 18,217,664.63 | 24,281,151.53 | Other Payables Listing | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | | :--- | :--- | :--- | | Dividends Payable | | 128,284,244.70 | | Other Payables | 8,675,262.37 | 8,370,438.92 | | Total | 8,675,262.37 | 136,654,683.62 | Provisions Status | Item | End of Period Balance (Yuan) | Beginning of Period Balance (Yuan) | Reason for Formation | | :--- | :--- | :--- | :--- | | Product Quality Warranty | 1,653,828.15 | 1,294,917.21 | Accrued product quality warranty expenses | | Total | 1,653,828.15 | 1,294,917.21 | / | Deferred Income Status | Item | Beginning of Period Balance (Yuan) | Amount Increased in Current Period (Yuan) | Amount Decreased in Current Period (Yuan) | End of Period Balance (Yuan) | Related to Asset/Income | | :--- | :--- | :--- | :--- | :--- | :--- | | Government Grants | 666,932.09 | 192,800.00 | 393,814.17 | 465,917.92 | Asset-related | Share Capital Status | Item | Beginning of Period Balance (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | | Total Shares | 438,797,049.00 | 438,797,049.00 | Capital Reserve Status | Item | Beginning of Period Balance (Yuan) | Amount Increased in Current Period (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | | Capital Premium (Share Premium) | 670,732,040.79 | | 670,732,040.79 | | Other Capital Reserves | 37,503,051.78 | 22,721,486.24 | 60,224,538.02 | | Total | 708,235,092.57 | 22,721,486.24 | 730,956,578.81 | - Other capital reserves increased by 22,721,486.24 Yuan in the current period, including 13,779,095.58 Yuan for equity incentive expenses recognized from the employee stock ownership plan; 8,635,178.80 Yuan for income tax impact recognized when the income tax deductible amount related to stock option exercise exceeded the cost recognized during the vesting period; and 307,211.86 Yuan for gains from the employee stock ownership plan where actual unlocked shares were less than target unlocked shares, and gains from former executives' non-compliant share purchases during the window period returned to the company[429] Treasury Stock Status | Item | Beginning of Period Balance (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | | Repurchased for Employee Incentives | 39,996,688.01 | 39,996,688.01 | | Other | 39,996,257.00 | 39,996,257.00 | | Total | 79,992,945.01 | 79,992,945.01 | Other Comprehensive Income Status | Item | Beginning of Period Balance (Yuan) | Pre-tax Amount for Current Period (Yuan) | Less: Income Tax Expense (Yuan) | After-tax Attributable to Parent Company (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | II. Other Comprehensive Income to be Reclassified to Profit or Loss | -452,285.00 | 532,100.00 | 79,815.00 | 452,285.00 | | | Of which: Cash Flow Hedging Reserve | -452,285.00 | 532,100.00 | 79,815.00 | 452,285.00 | | | Total Other Comprehensive Income | -452,285.00 | 532,100.00 | 79,815.00 | 452,285.00 | | Specific Reserves Status | Item | Beginning of Period Balance (Yuan) | Amount Increased in Current Period (Yuan) | Amount Decreased in Current Period (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | :--- | :--- | | Safety Production Fund | 0.33 | 4,818,019.20 | 4,502,834.81 | 315,184.72 | | Total | 0.33 | 4,818,019.20 | 4,502,834.81 | 315,184.72 | - The increase in specific reserves for the current period represents the safety production fund accrued at the prescribed ratio according to the "Measures for the Administration of Enterprise Safety Production Expense Accrual and Use" (Cai Zi (2022) No. 136), while the decrease represents the actual use of the safety production fund[435] Surplus Reserve Status | Item | Beginning of Period Balance (Yuan) | End of Period Balance (Yuan) | | :--- | :--- | :--- | | Statutory Surplus Reserve | 228,895,053.45 | 228,895,053.45 | | Total | 228,895,053.45 | 228,895,053.45 | Undistributed Profits Status | Item | Current Period (Yuan) | Prior Year (Yuan) | | :--- | :--- | :--- | | Undistributed Profits at End of Prior Period (Adjusted) | 1,088,629,896.64 | 1,275,640,848.61 | | Add: Net Profit Attributable to Parent Company Owners for Current Period | 80,387,391.48 | 172,862,279.40 | | Less: Appropriation for Statutory Surplus Reserve | | 15,306,549.17 | | Dividends Payable on Common Stock | | 344,566,682.20 | | Undistributed Profits at End of Period | 1,169,017,288.12 | 1,088,629,896.64 | Operating Revenue and Operating Cost Status | Item | Current Period Amount (Revenue) (Yuan) | Current Period Amount (Cost) (Yuan) | Prior Period Amount (Revenue) (Yuan) | Prior Period Amount (Cost) (Yuan) | | :--- | :--- | :--- | :--- | :--- | | Main Business | 659,591,543.67 | 527,763,692.07 | 763,856,757.86 | 589,576,562.35 | | Other Business | 15,783,264.12 | 27,925.91 | 14,026,142.38 | 40.45 | | Total | 675,374,807.79 | 527,791,617.98 | 777,882,900.24 | 589,576,602.80 | Taxes and Surcharges | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Urban Maintenance and Construction Tax | 1,325,413.84 | 2,557,993.01 | | Education Surcharge | 568,034.50 | 1,096,282.72 | | Property Tax | 2,219,846.68 | 1,778,050.51 | | Land Use Tax | 1,718,854.96 | 1,718,854.96 | | Vehicle and Vessel Usage Tax | 8,029.65 | 6,444.45 | | Stamp Duty | 585,589.12 | 597,291.94 | | Local Education Surcharge | 378,689.67 | 730,855.13 | | Environmental Protection Tax | 64,629.32 | 55,658.51 | | Total | 6,869,087.74 | 8,541,431.23 | Selling Expenses | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Employee Compensation | 2,930,926.04 | 3,405,702.98 | | Share-based Payment Expense | 2,296,700.58 | 4,250,487.50 | | Other | 574,555.04 | 476,907.83 | | Total | 5,802,181.66 | 8,133,098.31 | Administrative Expenses | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Employee Compensation | 21,788,287.89 | 23,823,631.61 | | Depreciation and Amortization | 7,385,942.09 | 6,883,549.16 | | Share-based Payment Expense | 7,167,786.42 | 14,034,475.00 | | Other | 1,839,299.06 | 1,497,620.75 | | Office and Vehicle Usage Expenses | 1,348,037.29 | 1,459,161.02 | | Consulting Fees | 361,667.15 | 398,237.33 | | Maintenance Fees | 291,170.16 | 186,324.50 | | Total | 40,182,190.06 | 48,282,999.37 | R&D Expenses | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Salaries and Wages | 6,836,291.64 | 5,341,613.85 | | Materials and Testing Fees | 2,739,769.13 | 3,563,703.42 | | Depreciation and Amortization | 2,335,572.01 | 2,132,398.03 | | Share-based Payment Expense | 1,436,124.66 | 3,919,562.50 | | Other | 1,267,231.72 | 610,027.21 | | Total | 14,614,989.16 | 15,567,305.01 | Financial Expenses | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Interest Expense | 33,324.17 | 24,820.01 | | Less: Interest Income | 7,562,915.82 | 8,678,726.93 | | Exchange Gains and Losses | 32,632.75 | -34,355.84 | | Handling Fees and Other | 191,005.23 | 118,677.79 | | Total | -7,305,953.67 | -8,569,584.97 | Other Income | Classified by Nature | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :-