海鸥住工(002084) - 2025 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section provides crucial preliminary information, including the board's declaration of report accuracy, the report's structure, and definitions of key terms for clarity. Important Notice The company's board and senior management affirm the semi-annual report's truthfulness, accuracy, and completeness, taking legal responsibility. * The company's board of directors and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions, and assume individual and joint legal liabilities[4] * The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital[4] Table of Contents This section lists the report's nine main chapters and their starting page numbers, covering company operations, finance, governance, and significant matters. * The report comprises nine main chapters, covering company operations, finance, governance, and significant matters[6] Definitions This section defines common terms used in the report, primarily entity names like the company and its subsidiaries, ensuring clear understanding of the content. * This section clearly defines core entities such as "Company," "the Company," and "Seagull Living" mentioned in the report, along with over 30 names of its numerous subsidiaries and affiliates, including "Zhuhai Edison," "Siwei Sanitary Ware," and "Jacopolo"[11][12] Company Profile and Key Financial Indicators This section introduces the company's basic information and presents its key financial performance and position indicators for the reporting period. Company Profile Guangzhou Seagull Residential Industrial Co., Ltd. (stock code: 002084) is listed on the Shenzhen Stock Exchange, with Chen Wei as its legal representative. * The company's stock abbreviation is "Seagull Living," stock code "002084," listed on the Shenzhen Stock Exchange[14] * The company's legal representative is Chen Wei, and the Board Secretary is Wang Fang[14][15] * The company's information disclosure media include Securities Times, Shanghai Securities News, Economic Reference, and Juchao Information Network (www.cninfo.com.cn)[17](index=17&type=chunk) Key Accounting Data and Financial Indicators In H1 2025, the company's operating revenue decreased by 4.31% YoY, and net profit attributable to shareholders significantly dropped by 331.42%, turning from profit to loss. 2025 Semi-Annual Key Accounting Data and Financial Indicators | Indicator | Current Period (RMB) | Prior Year Period (RMB) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,367,464,642.23 | 1,429,051,303.08 | -4.31 | | Net Profit Attributable to Shareholders of Listed Company | -26,045,825.06 | 11,255,006.50 | -331.42 | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains/Losses) | -29,346,758.88 | 10,272,924.49 | -385.67 | | Net Cash Flow from Operating Activities | 83,175,017.84 | 82,373,714.79 | 0.97 | | Basic Earnings Per Share (RMB/share) | -0.0404 | 0.0174 | -332.18 | | Diluted Earnings Per Share (RMB/share) | -0.0404 | 0.0174 | -332.18 | | Weighted Average Return on Net Assets | -1.78 | 0.69 | -2.47 | | End of Current Period (RMB) | End of Prior Year (RMB) | Change from Prior Year End (%) | | | Total Assets | 3,347,379,126.30 | 3,496,730,613.17 | -4.27 | | Net Assets Attributable to Shareholders of Listed Company | 1,438,509,244.11 | 1,477,515,198.44 | -2.64 | Non-Recurring Gains and Losses and Amounts The company's H1 2025 non-recurring gains and losses totaled RMB 3.30 million, primarily from government subsidies, other non-operating income and expenses, and other items defined as non-recurring gains and losses. 2025 Semi-Annual Non-Recurring Gains and Losses and Amounts | Item | Amount (RMB) | | :--- | :--- | | Gains or losses from disposal of non-current assets | 46,268.60 | | Government subsidies recognized in current profit or loss | 1,957,279.98 | | Gains or losses from changes in fair value of financial assets and liabilities held by non-financial enterprises, and from disposal of financial assets and liabilities | -80,695.92 | | Other non-operating income and expenses apart from the above | 50,736.09 | | Other non-recurring gains and losses as defined | 1,937,255.61 | | Less: Income tax impact | 244,065.76 | | Minority interest impact (after tax) | 365,844.78 | | Total | 3,300,933.82 | * The company does not classify non-recurring gains and losses listed in "Interpretive Announcement No. 1 on Information Disclosure by Companies Issuing Securities to the Public—Non-Recurring Gains and Losses" as recurring gains and losses[24] Management Discussion and Analysis This section provides an in-depth analysis of the company's business operations, financial performance, core competitiveness, and future outlook. Main Business Activities During the Reporting Period The company focuses on the industrialized full-chain assembly of integrated kitchen and bathroom interiors, specializing in R&D, manufacturing, and service of high-end sanitary ware and related components, while also expanding into smart home solutions. Overview of Main Business The company's core business involves the R&D, manufacturing, and service of a full range of components for assembled integrated kitchen and bathroom spaces, including high-end sanitary ware, ceramics, and cabinets, with ongoing expansion into smart home security and portal systems. * The company's core business is the R&D, manufacturing, and service of a full range of components for assembled integrated kitchen and bathroom spaces, including high-end sanitary ware, ceramics, bathtubs, shower rooms, bathroom cabinets, integrated cabinets, and tiles[26] * The company is continuously expanding its smart home business, primarily focusing on smart portals and security engineering[26] Industry Overview of Main Business The sanitary ware industry is undergoing structural transformation, shifting from traditional growth to deep integration and market share competition, driven by trends in customized scenarios, smart home penetration, and green manufacturing. * The sanitary ware industry is undergoing structural transformation, with traditional incremental dividends fading and the market shifting from scale expansion to deep integration and competition for existing market share[29] * Industry development trends include a shift from single products to scenario-based customization, continuous penetration of smart homes as a necessity, and market restructuring under a dual-circulation strategy[30][31][32][33] * Driven by dual carbon goals, the ceramics industry is accelerating its green transformation, with new national standards GB21252-2023 and GB/T45817-2025 pushing energy consumption limits and quality grading, forcing production-side upgrades[36] Main Business Operating Performance In H1 2025, the company's operating revenue was RMB 1.367 billion, a 4.31% YoY decrease, with net profit attributable to the parent company showing a loss of RMB 26.0458 million, a 331.42% YoY decrease, as the company pursued dual-circulation strategies, technological innovation, and channel expansion. 2025 Semi-Annual Main Business Operating Data | Indicator | Amount (RMB 10,000) | YoY Change (%) | | :--- | :--- | :--- | | Operating Revenue | 136,746.46 | -4.31 | | Net Profit Attributable to Shareholders of Listed Company | -2,604.58 | -331.42 | * The company is building a dual-circulation development strategy emphasizing both domestic and international sales, deepening cooperation with core overseas clients, expanding channel partners, and focusing on "Belt and Road" market布局, with the Vietnam factory continuously building full-category, full-process manufacturing service capabilities[40] * The faucet business is advancing a digital and information-driven operation strategy, optimizing organizational structure, promoting production line integration and factory resource optimization, and applying AI visual inspection technology to enhance quality inspection accuracy[41][42] 2025 Semi-Annual Revenue by Product | Product Category | Operating Revenue (RMB 10,000) | YoY Change (%) | | :--- | :--- | :--- | | Hardware Faucet Products | 79,556.50 | -4.36 | | Tiles | 31,534.07 | -2.12 | | Bathtub and Ceramic Products | 5,115.99 | -22.94 | | Assembled Integrated Solutions | 2,824.02 | 92.25 | | Custom Cabinet Business | 2,391.71 | -11.98 | | Smart Home Products | 10,917.80 | -12.64 | * Champion Tiles launched the Huizhou Impression 4.0 series, utilizing DCMB-TEC core technology, winning multiple design awards, and being selected by the Zhongguancun Digital Building Green Development Alliance[47][48] * Zhuhai Edison (Smart Home segment) focuses on R&D of smart control for air conditioners, valves, HVAC, system integration, and IoT technology products, holding over 30 patents, with products certified in multiple countries and recognized as a National High-Tech Enterprise[51][52] Outlook for H2 2025 The company anticipates a complex market environment in H2, with global trade slowdowns and domestic real estate adjustments, and plans to continue its "dual-circulation" strategy, optimize production, and explore new growth areas. * The H2 export market faces challenges from global trade slowdowns, uncertainties in European and American trade policies, and intensified international brand competition[53] * The domestic market continues to experience real estate industry adjustments, with renovation of existing homes and aging-friendly modifications becoming key growth drivers[53] * The company will firmly implement its "dual-circulation" strategy, leveraging the synergistic effects of its Dong Nai and Barton manufacturing bases in Vietnam to meet customer demands for "China+1" supply chain diversification[54] * Domestic business will strictly control risks, deepen capacity integration and resource optimization, promote "three refinements and two modernizations," reduce asset-liability ratio, and actively explore a second growth curve[54] Analysis of Core Competitiveness The company's core competitiveness is driven by its extensive patent portfolio, continuous R&D investment, and technological innovation, leading to significant advancements in smart manufacturing and green technologies. Company Patent Situation During the reporting period, the company obtained 60 new patent authorizations, bringing its cumulative total to 722 patents, alongside 92 foreign patents and 397 registered trademarks. * During the reporting period, the company obtained 60 patent authorizations, including 2 invention patents, 29 utility model patents, and 29 design patents[55] * As of the end of the reporting period, the company had obtained a total of 722 patent authorizations, including 95 invention patents, 369 utility model patents, and 258 design patents[55] * As of the end of the reporting period, the company had obtained a total of 92 foreign patent authorizations, including 43 design patents and 49 invention patents[57] * As of the end of the reporting period, the company had obtained a total of 397 registered trademarks, including 390 domestic trademarks and 7 international trademarks[59] Major Projects and Scientific Research Achievements In H1 2025, the company achieved multiple significant results in product certification, industrial design, and digital transformation, including green building product certifications and various design awards. * Siwei Sanitary Ware's four product categories received China Green Building Product Certification[61] * Champion Tiles won the "Original Design Product Award" at the Foshan Tanzhou Ceramic Exhibition 2025, the "FDA French Design Gold Award 2025," and the "New Quality Cup - Tile Design Gold Award" at the 2025 China Tile Design and Craft Innovation Forum[61][62] * Champion Tiles was awarded the title of "Advanced Enterprise for Digital Transformation in China's Light Industry Ceramics Sector"[62] Research and Development Status The company continuously invests in new processes and technologies for kitchen and bathroom products, driving high-end, intelligent, and green transformation of its production lines. * The company continuously conducts research on new processes and technologies for kitchen and bathroom home products, promoting the transformation of production lines towards high-end, intelligent, and green manufacturing[63] * Key investments are made in fundamental technology research for faucets, smart sanitary ware, and kitchen and bathroom products, developing green and environmentally friendly coating technology, stainless steel precision casting and laser welding technology, and ozone water deodorization module technology[63] * In terms of digital transformation, the company successfully implemented a product R&D digital platform (PLM, 3D auxiliary design software, CAE) and an S2B2B digital supply chain model[64][65] * In smart manufacturing, the company is building digital workshops and smart factories, introducing robots, CNC machining centers, WMS smart warehousing systems, and AGV smart logistics equipment[66] * Smart sanitary ware focuses on control system R&D, achieving breakthroughs in precise temperature and flow control, multi-functional smart valve cores, and low-carbon energy-saving power systems, while utilizing AI technology to accelerate domestic substitution[68] * Champion Tiles independently developed DCMB-TEC technology, launching the Huizhou Impression 4.0 series, achieving 1200℃ hot bending process, 400dpi micro-carving precision, and nano-silver ion antibacterial technology[69] * Zhuhai Edison provides comprehensive solutions in smart control, including FFU three-phase 380V control systems, achieving high efficiency, energy saving, and air cleanliness standards[70] * Assembled integrated sanitary ware focuses on combining flexible customization with industrial standardization, developing integrated wall panel seamless splicing technology, and launching health modules for sterilization, mite removal, and water purification[71] Main Business Analysis In H1 2025, the company's operating revenue decreased by 4.31% YoY, with a 0.17% decrease in operating costs, leading to a 3.62% decline in gross profit margin, while financial and income tax expenses significantly increased. 2025 Semi-Annual Key Financial Data YoY Change | Item | Current Period (RMB) | Prior Year Period (RMB) | YoY Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,367,464,642.23 | 1,429,051,303.08 | -4.31 | | | Operating Cost | 1,191,150,701.12 | 1,193,144,678.30 | -0.17 | | | Selling Expenses | 59,960,796.15 | 67,174,991.48 | -10.74 | | | Administrative Expenses | 79,173,484.28 | 87,848,855.17 | -9.88 | | | Financial Expenses | 8,696,192.45 | 6,592,271.07 | 31.91 | Primarily due to a YoY decrease in interest income during the reporting period | | Income Tax Expenses | 3,501,707.95 | 2,006,658.08 | 74.50 | Primarily due to a YoY increase in corporate income tax during the reporting period | | R&D Investment | 42,987,773.23 | 41,564,213.39 | 3.42 | | | Net Cash Flow from Operating Activities | 83,175,017.84 | 82,373,714.79 | 0.97 | | | Net Cash Flow from Investing Activities | 71,049,402.37 | -40,161,448.22 | 276.91 | Primarily due to increased redemption of wealth management products during the reporting period | | Net Cash Flow from Financing Activities | -18,609,104.72 | 86,727,417.93 | -121.46 | Primarily due to a decrease in bank borrowings obtained during the reporting period | | Net Increase in Cash and Cash Equivalents | 136,163,922.46 | 129,270,345.95 | 5.33 | | 2025 Semi-Annual Operating Revenue Composition | Category | Amount (RMB) | Proportion of Operating Revenue (%) | Prior Year Period Amount (RMB) | Proportion of Operating Revenue in Prior Year (%) | YoY Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 1,367,464,642.23 | 100.00 | 1,429,051,303.08 | 100.00 | -4.31 | | By Product | | | | | | | Hardware Faucet Products | 795,564,988.88 | 58.18 | 831,799,700.71 | 58.21 | -4.36 | | Smart Home Products | 109,178,038.16 | 7.98 | 124,975,223.37 | 8.75 | -12.64 | | Bathtub and Ceramic Products | 51,159,853.38 | 3.74 | 66,391,004.82 | 4.65 | -22.94 | | Integrated Sanitary Ware | 28,240,154.11 | 2.07 | 14,689,179.48 | 1.03 | 92.25 | | Custom Cabinets | 23,917,113.08 | 1.75 | 27,171,704.30 | 1.90 | -11.98 | | Tiles | 315,340,704.60 | 23.06 | 322,161,550.75 | 22.54 | -2.12 | | Other | 44,063,790.02 | 3.22 | 41,862,939.65 | 2.92 | 5.26 | | By Region | | | | | | | Domestic | 490,975,481.08 | 35.90 | 532,859,680.03 | 37.29 | -7.86 | | International | 876,489,161.15 | 64.10 | 896,191,623.05 | 62.71 | -2.20 | 2025 Semi-Annual Main Business Gross Profit Margin | Category | Operating Revenue (RMB) | Operating Cost (RMB) | Gross Profit Margin (%) | YoY Change in Operating Revenue (%) | YoY Change in Operating Cost (%) | YoY Change in Gross Profit Margin (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Manufacturing | 1,367,464,642.23 | 1,191,150,701.12 | 12.89 | -4.31 | -0.17 | -3.62 | | By Product | | | | | | | | Hardware Faucet Products | 795,564,988.88 | 695,736,445.05 | 12.55 | -4.36 | -0.66 | -3.25 | | Tiles | 315,340,704.60 | 266,972,343.55 | 15.34 | -2.12 | 0.66 | -2.34 | | By Region | | | | | | | | Domestic | 490,975,481.08 | 429,209,548.31 | 12.58 | -7.86 | 0.00 | -6.87 | | International | 876,489,161.15 | 761,941,152.81 | 13.07 | -2.20 | -0.26 | -1.69 | Non-Core Business Analysis Non-core operations negatively impacted total profit, with asset impairment losses, primarily inventory write-downs, accounting for 44.04% of the total, alongside investment income and fair value changes. 2025 Semi-Annual Non-Core Business Analysis | Item | Amount (RMB) | Proportion of Total Profit (%) | Reason for Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 283,041.15 | -0.97 | Primarily from investment income from associates and joint ventures, wealth management products, and derecognition gains from financial assets measured at amortized cost during the reporting period | No | | Gains/Losses from Fair Value Changes | -80,695.92 | 0.28 | Primarily from fair value changes of unclosed forward foreign exchange contracts at period-end due to exchange rate fluctuations | No | | Asset Impairment | -12,913,969.33 | 44.04 | Primarily from inventory write-downs during the reporting period | No | | Non-Operating Income | 723,970.57 | -2.47 | Primarily from various non-operating income items | No | | Non-Operating Expenses | 1,404,796.04 | -4.79 | Primarily from losses on disposal of non-current assets during the reporting period | No | Analysis of Assets and Liabilities At the end of the reporting period, total assets and net assets attributable to shareholders both decreased, with an increase in cash and receivables but a decrease in inventory and borrowings, while non-current liabilities due within one year significantly rose by 4.91%. 2025 Semi-Annual Significant Changes in Asset Composition | Item | End of Current Period Amount (RMB) | Proportion of Total Assets (%) | End of Prior Year Amount (RMB) | Proportion of Total Assets in Prior Year (%) | Change in Proportion (%) | Explanation of Significant Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 638,920,732.21 | 19.09 | 506,906,482.39 | 14.50 | 4.59 | | | Accounts Receivable | 658,289,597.70 | 19.67 | 639,170,667.13 | 18.28 | 1.39 | | | Inventories | 699,362,009.21 | 20.89 | 810,011,272.23 | 23.16 | -2.27 | | | Short-Term Borrowings | 199,988,726.40 | 5.97 | 264,438,892.28 | 7.56 | -1.59 | | | Long-Term Borrowings | 388,352,990.13 | 11.60 | 495,811,428.46 | 14.18 | -2.58 | | | Notes Receivable | 5,756,357.52 | 0.17 | 44,425,615.82 | 1.27 | -1.10 | Primarily due to a decrease in notes receivable at the end of the reporting period | | Prepayments | 28,632,865.26 | 0.86 | 16,615,448.27 | 0.48 | 0.38 | Primarily due to an increase in prepayments for goods at the end of the reporting period | | Non-Current Liabilities Due Within One Year | 244,234,266.90 | 7.30 | 83,497,425.83 | 2.39 | 4.91 | Primarily due to an increase in long-term borrowings due within one year during the reporting period | 2025 Semi-Annual Key Overseas Assets | Specific Asset Content | Asset Scale (RMB 10,000) | Profit/Loss (RMB 10,000) | Proportion of Overseas Assets to Company's Net Assets (%) | | :--- | :--- | :--- | :--- | | Dong Nai | 28,373.71 | -976.27 | 19.72 | | Seagull (Vietnam) Living | 32,437.51 | -697.56 | 22.55 | 2025 Semi-Annual Assets and Liabilities Measured at Fair Value | Item | Period-End Amount (RMB) | | :--- | :--- | | Subtotal of Financial Assets | 3,119,875.37 | | Accounts Receivable Financing | 6,029,028.76 | | Total Above | 9,148,904.13 | | Financial Liabilities | 80,695.92 | 2025 Semi-Annual Asset Restriction Status | Item | Book Balance (RMB) | Book Value (RMB) | | :--- | :--- | :--- | | Cash and Bank Balances | 60,391,537.36 | 60,391,537.36 | | Inventories | 76,720,000.77 | 76,720,000.77 | | Fixed Assets | 428,141,690.44 | 199,397,419.62 | | Intangible Assets | 56,399,061.00 | 39,527,136.78 | | Total | 621,652,289.57 | 376,036,094.53 | Investment Status Analysis During the reporting period, the company's investment amount increased by 71.82% YoY, with derivative investments in USD forward foreign exchange contracts totaling RMB 156.761 million, representing 10.90% of net assets, primarily for hedging exchange rate risks. 2025 Semi-Annual Investment Amount Change | Indicator | Investment Amount in Reporting Period (RMB) | Investment Amount in Prior Year Period (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Investment Amount | 1,883,505.92 | 1,096,188.95 | 71.82 | 2025 Semi-Annual Securities Investment | Security Name | Beginning of Period Book Value (RMB) | End of Period Book Value (RMB) | | :--- | :--- | :--- | | Qiyi Technology | 4,283,294.19 | 3,119,875.37 | 2025 Semi-Annual Derivative Investment (Hedging) | Derivative Investment Type | End of Period Investment Amount (RMB 10,000) | Proportion of Company's Net Assets at Period-End (%) | | :--- | :--- | :--- | | USD Forward Foreign Exchange Settlement | 15,676.1 | 10.90 | * The company conducts derivative hedging business to mitigate exchange rate risks, avoiding speculative trading, but still faces risks such as exchange rate fluctuations, internal control, customer default, and repayment forecasting[92] Use of Raised Funds The company had no use of raised funds during the reporting period. * The company had no use of raised funds during the reporting period[95] Major Asset and Equity Sales The company did not engage in any major asset or equity sales during the reporting period. * The company did not sell any major assets during the reporting period[96] * The company did not sell any major equity during the reporting period[97] Analysis of Major Holding and Participating Companies The company's key subsidiaries include Zhuhai Edison, Siwei Sanitary Ware, and Seagull (Hong Kong) Living, with some achieving profitability while others, such as Suzhou Seagull Nest and Jacopolo, incurred losses. 2025 Semi-Annual Financials of Major Holding and Participating Companies | Company Name | Company Type | Main Business | Registered Capital (RMB) | Total Assets (RMB) | Net Assets (RMB) | Operating Revenue (RMB) | Net Profit (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Zhuhai Edison | Subsidiary | R&D, production, and sales of smart control for air conditioners, valves, HVAC, system integration, and IoT technology products | 41,815,700.00 | 194,596,472.33 | 152,689,440.28 | 111,654,766.95 | 15,181,249.13 | | Suzhou Seagull Nest | Subsidiary | R&D, production, and sales of integrated bathroom equipment and accessories, and provision of related interior decoration services | 225,000,000.00 | 142,287,749.00 | 79,425,417.29 | 15,554,614.83 | -3,968,513.03 | | Jacopolo | Subsidiary | R&D, production, and sales of wooden furniture and related after-sales services | 142,950,000.00 | 70,739,754.49 | 239,248,316.65 | 24,047,445.14 | -4,663,155.94 | | Zhejiang Seagull Nest | Subsidiary | R&D, production, and sales of integrated bathroom equipment and accessories | 230,000,000.00 | 248,646,416.43 | 108,644,612.89 | 17,365,334.82 | 13,331,819.02 | | Siwei Sanitary Ware | Subsidiary | Production and sales of sanitary products | 55,865,921.79 | 148,515,310.43 | 13,172,594.37 | 51,699,655.01 | 15,153,882.02 | | Dong Nai | Subsidiary | Production and sales of tiles including floor tiles, wall tiles, quartz tiles, polished quartz tiles, and various ceramic products | 60,000,000,000 Vietnamese Dong | 283,737,085.25 | 86,331,676.20 | 117,067,490.10 | -9,762,703.65 | | Seagull (Vietnam) Living | Subsidiary | R&D, production, and sales of kitchen, bathroom, and shower facilities and accessories | 34,800,000,000 Vietnamese Dong | 324,375,117.95 | 22,673,691.31 | 107,244,670.48 | -6,975,551.23 | | Seagull (Hong Kong) Living | Subsidiary | General trade | 5,000,000 HKD, 20,000,000 USD | 808,343,220.69 | 439,473,402.63 | 581,988,526.35 | 19,266,762.29 | Structured Entities Controlled by the Company The company had no controlled structured entities during the reporting period. * The company had no controlled structured entities during the reporting period[100] Risks Faced by the Company and Countermeasures The company faces multiple risks including exchange rate fluctuations, raw material price volatility, accounts receivable bad debts, and overseas operations, which it mitigates through hedging, diversified procurement, credit management, and localized strategies. * The company faces exchange rate fluctuation risks, primarily mitigated by incorporating exchange rate volatility into product pricing, establishing exchange rate linkage mechanisms, and utilizing financial derivatives such as forward contracts[100][101] * The company faces raw material price fluctuation risks, primarily mitigated by establishing product sales price and raw material price linkage mechanisms with customers, diversifying procurement, signing long-term cooperation agreements, and using futures hedging to stabilize costs[102][103] * The company faces risks of accounts receivable becoming bad debts, primarily mitigated by strengthening credit management, improving collection efficiency, utilizing factoring services, purchasing credit insurance, and employing legal means to promote collection efforts[104][105] * The company faces overseas operational risks, primarily mitigated by in-depth market research, establishing local management teams, ensuring compliance, diversifying supply chains, purchasing insurance, and developing emergency plans[106][107] Implementation of Market Value Management System and Valuation Enhancement Plan The company's Eighth Board of Directors' Third Interim Meeting on June 25, 2025, approved and established the "Market Value Management System," but a valuation enhancement plan has not yet been disclosed. * The company has established a "Market Value Management System," approved at the Eighth Board of Directors' Third Interim Meeting on June 25, 2025[109] * The company has not yet disclosed a valuation enhancement plan[109] Implementation of "Quality and Return Dual Improvement" Action Plan The company did not disclose any "Quality and Return Dual Improvement" action plan announcements during the reporting period. * The company did not disclose any "Quality and Return Dual Improvement" action plan announcements during the reporting period[110] Corporate Governance, Environment, and Society This section outlines changes in the company's governance structure, profit distribution plans, environmental disclosures, and social responsibility initiatives. Changes in Directors, Supervisors, and Senior Management During the reporting period, Director Deng Huajin resigned on June 12, 2025, due to personal reasons. * Director Deng Huajin resigned on June 12, 2025, due to personal reasons[112] Profit Distribution and Capital Reserve Conversion to Share Capital in This Reporting Period The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period. * The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[113] Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period. * The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures or their implementation during the reporting period[114] Environmental Information Disclosure The company and its four major subsidiaries are included in the list of enterprises required to disclose environmental information by law and have publicly disclosed this information on relevant government websites. * The company and its four major subsidiaries (Guangzhou Seagull Residential Industrial Co., Ltd., Zhuhai Chengzhou Sanitary Ware Co., Ltd., Chongqing Guozhi Siwei Sanitary Ware Co., Ltd., and Heilongjiang Beiou Sanitary Ware Co., Ltd.) are included in the list of enterprises required to disclose environmental information by law[115] Social Responsibility The company adheres to a social responsibility policy encompassing compliance, environmental protection, customer focus, employee welfare, and community engagement, actively supporting education and public welfare through its foundation. * The company strictly adheres to laws and regulations, establishes a sound corporate governance structure, communicates with investors through various channels, and actively rewards shareholders[117][118] * The company upholds a "people-oriented" approach, deepens its "employee care program," improves employee working and living environments, and enhances employee well-being[119] * The company aims for 100% customer satisfaction, responds quickly to customer needs, improves service and product quality, promotes green procurement, and selects suppliers fairly and justly[120] * The company adheres to the principles of "green mountains and clear waters, clean energy and reduced consumption, safety and environmental protection," actively responds to national policies, continuously implements cleaner production, energy saving and emission reduction, promotes equipment upgrades, and encourages all employees to participate in cost saving[121] * The Guangdong Seagull Education Foundation carries out public welfare activities such as annual dream-building scholarships, visits to Hope Primary Schools, donations of teaching materials, essay competitions, and summer camps, conveying love and hope[122][123] Significant Matters This section details the company's commitments, related party transactions, litigation, and other significant events during the reporting period. Commitments The company and its related parties have strictly fulfilled all commitments made during initial public offerings, refinancing, and other undertakings to small and medium shareholders, including those related to avoiding horizontal competition, related party transactions, and fund occupation. * Zhongyu Investment Co., Ltd., Zhongsheng Group Co., Ltd., and others commit not to directly or indirectly engage in any business or activity that constitutes or may constitute competition with the company within or outside China[125] * The company has established and strictly implements a monthly reporting system to prevent fund occupation[125] * Shanghai Dongtie Trading Co., Ltd. commits to avoid engaging in businesses that constitute horizontal competition with Seagull Living and its subsidiaries' main business of smart door locks[125] * The company has formulated and strictly implements the "Company's Shareholder Return Plan for the Next Three Years (2023-2025)"[125] Non-Operating Fund Occupation by Controlling Shareholders and Other Related Parties During the reporting period, there was no non-operating fund occupation by controlling shareholders or other related parties of the listed company. * The company had no non-operating fund occupation by controlling shareholders or other related parties of the listed company during the reporting period[126] Irregular External Guarantees The company had no irregular external guarantees during the reporting period. * The company had no irregular external guarantees during the reporting period[127] Appointment and Dismissal of Accounting Firms The company's semi-annual report was not audited. * The company's semi-annual report was not audited[128] Board of Directors' and Supervisory Board's Explanation of "Non-Standard Audit Report" for This Period The company had no explanation from the Board of Directors or Supervisory Board regarding a "non-standard audit report" for this reporting period. * The company had no explanation from the Board of Directors or Supervisory Board regarding a "non-standard audit report" for this reporting period[129] Board of Directors' Explanation of "Non-Standard Audit Report" for the Previous Year The company had no explanation from the Board of Directors regarding a "non-standard audit report" for the previous year. * The company had no explanation from the Board of Directors regarding a "non-standard audit report" for the previous year[129] Bankruptcy and Reorganization Matters The company had no bankruptcy or reorganization matters during the reporting period. * The company had no bankruptcy or reorganization matters during the reporting period[129] Litigation Matters The company is involved in multiple litigation and arbitration cases, primarily contract disputes and trademark infringement claims, with some cases resolved and others ongoing. 2025 Semi-Annual Major Litigation and Arbitration Matters | Basic Information of Litigation (Arbitration) | Amount Involved (RMB 10,000) | Litigation (Arbitration) Progress | Litigation (Arbitration) Outcome and Impact | | :--- | :--- | :--- | :--- | | Jacopolo v. Guangzhou Hengqian Material Equipment Co., Ltd. for annual cabinet purchase and sales contract dispute | 1,407.88 | First instance judgment effective | Ruled Guangzhou Hengqian to pay Jacopolo RMB 14.0788 million, enforcement procedure concluded | | Jacopolo v. Guangzhou Hengqian Material Equipment Co., Ltd. for annual bathroom mirror cabinet purchase and sales contract dispute | 631.61 | First instance judgment effective | Ruled Guangzhou Hengqian to pay Jacopolo RMB 6.3161 million, compulsory enforcement applied | | Jacopolo v. Shenzhen Evergrande Material Equipment Co., Ltd. for annual cabinet purchase and sales contract dispute | 1,192.73 | First instance judgment effective | Ruled Shenzhen Evergrande to pay Jacopolo RMB 11.9273 million, enforcement procedure concluded | | Zhuhai Jacopolo v. Enping Oushang Real Estate Development Co., Ltd. and others for contract dispute | 4,101.63 | First instance judgment rendered | First instance judgment rejected plaintiff's claims, ruling the in-kind payment contract valid, plaintiff had paid all housing funds, and defendant should compensate plaintiff for economic losses | | Seagull Champion v. Jinan Zhuogao, Shandong Zhuogao New Material Co., Ltd. and others for trademark infringement dispute | 1,000 | Settled | Settled | | Zhuhai Jacopolo v. Guangdong Jutingfeng Real Estate Development Co., Ltd. and others for contract dispute | 6,837.2 | Withdrawn | Withdrawn | | Xinyi Ceramics (China) Co., Ltd. v. Seagull Champion for infringement claim dispute | 612.09 | First instance hearing held | Case not yet judged | | Company v. Xinyi Ceramics (China) Co., Ltd., Champion Building Materials Co., Ltd. for equity transfer agreement dispute | 2,123.54 | Hearing held | Case not yet ruled | Penalties and Rectification The company had no penalties or rectification situations during the reporting period. * The company had no penalties or rectification situations during the reporting period[133] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller The company had no integrity issues concerning itself, its controlling shareholder, or its actual controller during the reporting period. * The company had no integrity issues concerning itself, its controlling shareholder, or its actual controller during the reporting period[134] Major Related Party Transactions The company engaged in various daily related party transactions for procurement and sales, leveraging cost advantages to ensure supply chain stability and operational efficiency, with no other major related party transactions during the period. 2025 Semi-Annual Related Party Transactions for Purchase and Sale of Goods, Provision and Acceptance of Services | Related Party | Related Transaction Type | Related Transaction Content | Related Transaction Amount (RMB 10,000) | Approved Transaction Limit (RMB 10,000) | Exceeded Approved Limit | | :--- | :--- | :--- | :--- | :--- | :--- | | Jiangxi Oudi Copper Industry Co., Ltd. | Purchase of Goods | Purchase of copper materials and copper fittings | 1,119.43 | 5,900 | No | | Quzhou Beixiou Smart Sanitary Ware Co., Ltd. | Purchase of Goods | Purchase of smart toilets | 230.73 | 800 | No | | Dongguan Hailin Smart Technology Co., Ltd. | Purchase of Goods | Purchase of CNC equipment | 6.65 | 500 | No | | Shanghai Dongtie Hardware Co., Ltd. | Sale of Goods | Sale of valves and electronic products | 3.1 | 200 | No | | Shenzhen Jimendi Smart Technology Co., Ltd. | Sale of Goods | Sale of valves and electronic products | 24.34 | 100 | No | | Zhejiang Bannigo Fluid Control Co., Ltd. | Sale of Goods | Sale of valves and electronic products | 32.34 | 300 | No | | Total | | | 1,416.59 | 7,800 | | * The company's daily related party transactions are based on the cost advantages of both parties, helping to provide lower competitive costs, ensure supply chain stability and timeliness, and improve operational efficiency within the group[136] * The company had no related party transactions involving asset or equity acquisition or disposal during the reporting period[137] * The company had no related party transactions involving joint external investment during the reporting period[138] * The company had no related party creditor-debtor transactions during the reporting period[139] Major Contracts and Their Performance The company has various leasing arrangements for facilities and equipment, provides guarantees totaling RMB 40.5386 million to subsidiaries (2.82% of net assets), engaged in entrusted wealth management of RMB 481 million, and holds multiple bank loan contracts totaling RMB 529 million. * The company had no trusteeship or contracting situations during the reporting period[143][144] * The company has multiple leasing arrangements, including leased factory buildings, equipment, and land use rights, with contract terms ranging from 2023 to 2052, and total amounts from RMB 1.40818 million to RMB 82.50 million[145][146][147] 2025 Semi-Annual Company Guarantees to Subsidiaries | Name of Guaranteed Party | Guarantee Limit (RMB 10,000) | Actual Guarantee Amount (RMB 10,000) | Guarantee Fulfilled | | :--- | :--- | :--- | :--- | | Beiou | 1,200 | 5 | No | | Siwei Sanitary Ware | 4,000 | 1,750 | No | | Seagull (Hong Kong) Living | 5,742 | 0 | No | | Seagull (Vietnam) Living | 7,177.5 | 0 | No | | Total Company Guarantees | | | | | Total Approved Guarantee Limit in Reporting Period | 18,119.5 | | | | Total Actual Guarantee Amount in Reporting Period | | 1,755 | | | Total Approved Guarantee Limit at End of Reporting Period | 20,418.36 | | | | Total Actual Guarantee Balance at End of Reporting Period | | 4,053.86 | | | Proportion of Total Actual Guarantee to Company's Net Assets | | 2.82% | | 2025 Semi-Annual Entrusted Wealth Management | Specific Type | Entrusted Wealth Management Amount (RMB 10,000) | Unexpired Balance (RMB 10,000) | Overdue Unrecovered Amount (RMB 10,000) | | :--- | :--- | :--- | :--- | | Bank Wealth Management Products | 48,100 | 0 | 0 | 2025 Semi-Annual Other Major Contracts (Loans) | Contracting Party Name | Subject | Transaction Price (RMB 10,000) | Execution Status as of End of Reporting Period | | :--- | :--- | :--- | :--- | | Bank of China Guangzhou Panyu Branch | Loan | 4,000 | Ongoing | | Bank of China Guangzhou Panyu Branch | Loan | 5,000 | Ongoing | | Bank of China Guangzhou Panyu Branch | Loan | 5,900 | Ongoing | | Bank of China Guangzhou Panyu Branch | Loan | 4,000 | Ongoing | | China Construction Bank Guangzhou Panyu Branch | Loan | 5,000 | Ongoing | | China Construction Bank Guangzhou Panyu Branch | Loan | 5,000 | Ongoing | | China Construction Bank Guangzhou Panyu Branch | Loan | 5,000 | Ongoing | | China Construction Bank Guangzhou Panyu Branch | Loan | 6,000 | Ongoing | | Export-Import Bank of China | Loan | 5,000 | Ongoing | | Export-Import Bank of China | Loan | 8,000 | Ongoing | | Export-Import Bank of China | Loan | 5,000 | Ongoing | | Export-Import Bank of China | Loan | 7,000 | Ongoing | | China Everbright Bank Guangzhou Branch | Loan | 2,000 | Ongoing | | Industrial and Commercial Bank of China Guangzhou Third Branch | Loan | 2,000 | Ongoing | | Total | | 52,900 | | Explanation of Other Significant Matters During the reporting period, the company disclosed several significant matters, including its 2024 annual performance forecast, share repurchase progress, profit distribution plan, and revisions to governance documents. * The company disclosed its 2024 annual performance forecast, as well as the progress and completion of share repurchases[156] * The company disclosed its 2024 annual profit distribution plan, 2025 annual estimated daily related party transactions, and announcements on providing guarantees to subsidiaries[157] * The company disclosed announcements regarding the provision for asset impairment in 2024, cumulative litigation and arbitration cases, and an increase in the registered capital of its wholly-owned subsidiaries[157] * The company disclosed announcements regarding the resignation of non-independent directors and the revision of its Articles of Association and certain governance systems[157] Significant Matters of Company Subsidiaries The company's holding subsidiaries and sub-subsidiaries obtained high-tech enterprise certifications. * The company's holding subsidiaries and sub-subsidiaries obtained high-tech enterprise certifications[158] Share Changes and Shareholder Information This section details changes in the company's share capital, information on its major shareholders, and any changes in the holdings of directors, supervisors, and senior management. Share Change Status During the reporting period, the company's restricted shares decreased by 2,662,067 shares, while unrestricted shares increased by the same amount, with the total share capital remaining unchanged. 2025 Semi-Annual Share Change Status | Share Category | Number Before This Change (shares) | Proportion Before This Change (%) | Increase/Decrease in This Change (shares) | Number After This Change (shares) | Proportion After This Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 4,083,665.00 | 0.63 | -2,662,067 | 1,421,598.00 | 0.22 | | II. Unrestricted Shares | 641,972,375.00 | 99.37 | 2,662,067 | 644,634,442.00 | 99.78 | | III. Total Shares | 646,056,040.00 | 100.00 | 0 | 646,056,040.00 | 100.00 | * The main reason for the share change is that former director Mr. Tang Taiying's term expired and he resigned, and his company shares became unrestricted after the lock-up period, releasing 2,662,067 shares[161] * The company's share repurchase plan was approved on February 13, 2025, intending to repurchase shares for no less than RMB 20 million and no more than RMB 40 million[164] * As of the end of the reporting period, the company had repurchased 9,900 shares, accounting for 0.0015% of the total share capital, with a total transaction amount of RMB 28,116[164] 2025 Semi-Annual Restricted Share Change Status | Shareholder Name | Restricted Shares at Beginning of Period (shares) | Shares Released from Restriction in Current Period (shares) | Restricted Shares at End of Period (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | | Tang Taiying | 2,662,067 | 2,662,067 | 0 | Shares restricted due to resignation after term expiration | Securities Issuance and Listing The company had no securities issuance or listing during the reporting period. * The company had no securities issuance or listing during the reporting period[167] Company Shareholder Numbers and Shareholding Status At the end of the reporting period, the company had 32,320 common shareholders, with Zhongyu Investment Co., Ltd. and Zhongsheng Group Co., Ltd. being among the top ten shareholders. * The total number of common shareholders at the end of the reporting period was 32,320[168] 2025 Semi-Annual Shareholding of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Ratio (%) | Number of Shares Held at End of Reporting Period (shares) | Number of Unrestricted Shares Held (shares) | | :--- | :--- | :--- | :--- | :--- | | Zhongyu Investment Co., Ltd. | Overseas Legal Person | 28.27 | 182,622,263 | 182,622,263 | | Zhongsheng Group Co., Ltd. | Overseas Legal Person | 6.77 | 43,713,340 | 43,713,340 | | Shanghai Qiyu Information Technology Co., Ltd. | Domestic Non-State-Owned Legal Person | 3.71 | 23,958,000 | 23,958,000 | | Zhang Sufen | Domestic Natural Person | 3.03 | 19,560,000 | 19,560,000 | | Guangzhou Yujin Trading Co., Ltd. | Domestic Non-State-Owned Legal Person | 2.46 | 15,906,597 | 15,906,597 | | HSBC Hong Kong | Overseas Legal Person | 1.40 | 9,054,316 | 9,054,316 | | Qijia.com (Shanghai) Network Technology Co., Ltd. | Domestic Non-State-Owned Legal Person | 1.38 | 8,890,893 | 8,890,893 | | Guangdong Dongpeng Cultural Creative Co., Ltd. | Domestic Non-State-Owned Legal Person | 1.33 | 8,594,136 | 8,594,136 | | Dai Wenping | Domestic Natural Person | 1.20 | 7,747,700 | 7,747,700 | | BARCLAYS BANK PLC | Overseas Legal Person | 1.14 | 7,396,190 | 7,396,190 | * Zhongyu Investment Co., Ltd. is an acting in concert party with Zhongsheng Group Co., Ltd. and Tang Taiying; Qijia.com (Shanghai) Network Technology Co., Ltd. is an acting in concert party with Shanghai Qiyu Information Technology Co., Ltd., Shanghai Qisheng E-commerce Co., Ltd., and Shanghai Qixu Investment Management Co., Ltd[169] * Shareholder Dai Wenping holds 6,343,100 shares through a margin trading and securities lending account[169] Changes in Shareholdings of Directors, Supervisors, and Senior Management There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period. * There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period[171] Changes in Controlling Shareholder or Actual Controller 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[172] * The company's actual controller did not change during the reporting period[172] Preferred Share Information The company had no preferred shares during the reporting period. * The company had no preferred shares during the reporting period[173] Bond-Related Information The company had no bond-related information during the reporting period. * The company had no bond-related information during the reporting period[175] Financial Report This section presents the company's audited financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in owner's equity, along with detailed notes on accounting policies and financial items. Audit Report The company's semi-annual financial report was not audited. * The company's semi-annual financial report was not audited[177] Financial Statements This section provides the company's H1 2025 consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owner's equity, comprehensively presenting the company's financial position, operating results, and cash flow. Consolidated Balance Sheet As of June 30, 2025, the company's consolidated total assets were RMB 3.347 billion, total liabilities RMB 1.804 billion, and total owner's equity RMB 1.544 billion, with significant components in cash, receivables, and inventory. 2025 June 30 Consolidated Balance Sheet Key Data | Item | Period-End Balance (RMB) | Period-Beginning Balance (RMB) | | :--- | :--- | :--- | | Total Assets | 3,347,379,126.30 | 3,496,730,613.17 | | Total Liabilities | 1,803,817,893.79 | 1,904,193,890.98 | | Total Owner's Equity | 1,543,561,232.51 | 1,592,536,722.19 | | Cash and Bank Balances | 638,920,732.21 | 506,906,482.39 | | Accounts Receivable | 658,289,597.70 | 639,170,667.13 | | Inventories | 699,362,009.21 | 810,011,272.23 | | Short-Term Borrowings | 199,988,726.40 | 264,438,892.28 | | Accounts Payable | 482,773,798.55 | 496,238,902.22 | | Non-Current Liabilities Due Within One Year | 244,234,266.90 | 83,497,425.83 | Parent Company Balance Sheet As of June 30, 2025, the parent company's total assets were RMB 2.299 billion, total liabilities RMB 1.086 billion, and total owner's equity RMB 1.213 billion, with key figures in cash, receivables, and short-term borrowings. 2025 June 30 Parent Company Balance Sheet Key Data | Item | Period-End Balance (RMB) | Period-Beginning Balance (RMB) | | :--- | :--- | :--- | | Total Assets | 2,298,824,142.06 | 2,350,690,151.40 | | Total Liabilities | 1,086,016,563.87 | 1,121,190,174.19 | | Total Owner's Equity | 1,212,807,578.19 | 1,229,499,977.21 | | Cash and Bank Balances | 343,078,530.12 | 218,655,627.58 | | Accounts Receivable | 370,704,783.48 | 349,855,711.80 | | Inventories | 118,252,246.49 | 171,374,965.29 | | Short-Term Borrowings | 49,937,425.00 | 100,080,972.22 | | Accounts Payable | 244,076,967.29 | 252,966,700.33 | | Non-Current Liabilities Due Within One Year | 227,538,219.71 | 63,563,863.94 | Consolidated Income Statement In H1 2025, consolidated total operating revenue was RMB 1.367 billion, a 4.31% YoY decrease, resulting in an operating loss of RMB 28.6434 million and a net profit loss attributable to parent company shareholders of RMB 26.0458 million. 2025 Semi-Annual Consolidated Income Statement Key Data | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 1,367,464,642.23 | 1,429,051,303.08 | | Total Operating Costs | 1,388,666,763.13 | 1,405,265,968.80 | | Operating Profit | -28,643,406.99 | 15,605,884.53 | | Total Profit | -29,324,232.46 | 13,027,971.54 | | Net Profit | -32,825,940.41 | 11,021,313.46 | | Net Profit Attributable to Parent Company Shareholders | -26,045,825.06 | 11,255,006.50 | | Basic Earnings Per Share | -0.0404 | 0.0174 | | Diluted Earnings Per Share | -0.0404 | 0.0174 | Parent Company Income Statement In H1 2025, the parent company's operating revenue was RMB 573 million, a 6.18% YoY decrease, resulting in an operating loss of RMB 13.0126 million and a net profit loss of RMB 13.3404 million. 2025 Semi-Annual Parent Company Income Statement Key Data | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Operating Revenue | 572,664,836.70 | 610,412,491.13 | | Operating Profit | -13,012,609.24 | 16,258,201.09 | | Total Profit | -13,173,863.09 | 16,575,585.78 | | Net Profit | -13,340,439.61 | 16,531,778.05 | Consolidated Cash Flow Statement In H1 2025, net cash flow from operating activities slightly increased by 0.97% to RMB 83.175 million, while net cash flow from investing activities significantly grew by 276.91% to RMB 71.0494 million, primarily due to increased redemption of wealth management products. 2025 Semi-Annual Consolidated Cash Flow Statement Key Data | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 83,175,017.84 | 82,373,714.79 | | Net Cash Flow from Investing Activities | 71,049,402.37 | -40,161,448.22 | | Net Cash Flow from Financing Activities | -18,609,104.72 | 86,727,417.93 | | Net Increase in Cash and Cash Equivalents | 136,163,922.46 | 129,270,345.95 | Parent Company Cash Flow Statement In H1 2025, the parent company's net cash flow from operating activities decreased by 79.82% to RMB 10.6804 million, while net cash flow from investing activities surged by 6210.29% to RMB 123.2064 million. 2025 Semi-Annual Parent Company Cash Flow Statement Key Data | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 10,680,366.01 | 52,928,028.86 | | Net Cash Flow from Investing Activities | 123,206,413.29 | 1,952,169.30 | | Net Cash Flow from Financing Activities | -3,862,220.63 | 79,072,719.53 | | Net Increase in Cash and Cash Equivalents | 130,232,769.35 | 135,517,778.98 | Consolidated Statement of Changes in Owner's Equity In H1 2025, consolidated owner's equity decreased by RMB 48.9755 million, primarily due to a net profit loss attributable to parent company owners, a decrease in other comprehensive income, and an increase in treasury stock. 2025 Semi-Annual Consolidated Owner's Equity Changes | Item | H1 2025 Change Amount (RMB) | | :--- | :--- | | Total Comprehensive Income Attributable to Parent Company Owners | -35,653,994.92 | | Total Comprehensive Income Attributable to Minority Shareholders | -6,780,115.35 | | Capital Contributed and Reduced by Owners (Increase in Treasury Stock) | -3,351,959.41 | | Profit Distribution (Distribution to Minority Shareholders) | -3,189,420.00 | | Total Change Amount for Current Period (Decrease indicated by "-") | -48,975,489.68 | Parent Company Statement of Changes in Owner's Equity In H1 2025, parent company owner's equity decreased by RMB 16.6924 million, mainly due to a net profit loss and an increase in treasury stock. 2025 Semi-Annual Parent Company Owner's Equity Changes | Item | H1 2025 Change Amount (RMB) | | :--- | :--- | | Total Comprehensive Income | -13,340,439.61 | | Capital Contributed and Reduced by Owners (Increase in Treasury Stock) | -3,351,959.41 | | Total Change Amount for Current Period (Decrease indicated by "-") | -16,692,399.02 | Company Basic Information Guangzhou Seagull Residential Industrial Co., Ltd., established in December 1997 and listed on the Shenzhen Stock Exchange in November 2006, specializes in R&D, manufacturing, and service of high-end sanitary ware, ceramics, and integrated kitchen and bathroom components, with a focus on smart home solutions. * Guangzhou Seagull Residential Industrial Co., Ltd. was established in December 1997 and listed on the Shenzhen Stock Exchange in November 2006[210][218] * As of June 30, 2025, the company's total issued share capital was 646,056,040 shares, and its registered capital was RMB 646,056,040.00[219] * The company's main business activities include the R&D, manufacturing, and service of a full range of components for assembled integrated kitchen and bathroom spaces, such as high-end sanitary ware, ceramics, bathtubs, shower rooms, bathroom cabinets, integrated cabinets, and tiles, as well as the development of smart portals and security engineering in the smart home sector[219] Basis of Financial Statement Preparation These financial statements are prepared in accordance with the Enterprise Accounting Standards issued by the Ministry of Finance and relevant regulations of the China Securities Regulatory Commission, on a going concern basis. * These financial statements are prepared in accordance with the "Enterprise Accounting Standards" issued by the Ministry of Finance and the relevant provisions of "Reporting Rules No. 15 for Information Disclosure by Companies Issuing Securities to the Public—General Provisions for Financial Reports" by the China Securities Regulatory Commission[221] * These financial statements are prepared on a going concern basis[222] Significant Accounting Policies and Estimates This section details the company's significant accounting policies and estimates, including financial instruments, revenue recognition, inventory valuation, fixed assets, and government subsidies, all prepared in accordance with enterprise accounting standards. * The company adheres to enterprise accounting standards, uses RMB as its bookkeeping base currency, and has an operating cycle of 12 months[224][225][226][227] * Financial assets are classified into three categories: 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; financial liabilities are classified into two categories: measured at fair value with changes recognized in profit or loss, and measured at amortized cost[247][248][249] * The company applies impairment accounting for accounts receivable and contract assets based on expected credit losses, categorizing them into different portfolios based on credit risk characteristics[271](index=271&ty