华培动力(603121) - 2025 Q2 - 季度财报

Definitions Definitions of Common Terms This chapter provides definitions for common terms used in the report, including company names, subsidiaries, clients, industry terms, and accounting concepts, to aid reader comprehension - Company's full name: Shanghai Huapei Shuneng Technology (Group) Co., Ltd., formerly known as Shanghai Huapei Power Technology (Group) Co., Ltd[14] - Controlling shareholder: Shanghai Huajian Investment Management Co., Ltd. (formerly known as Shanghai Paffer Investment Management Co., Ltd.)[14] - Major clients include well-known domestic and international automotive brands such as Hyundai, Mercedes-Benz, BMW, Scania, Great Wall, BYD, Li Auto, and turbocharger manufacturers like BorgWarner and Garrett[14] Company Profile and Key Financial Indicators Company Information This section discloses the company's Chinese name, abbreviation, foreign name, and legal representative - Company's Chinese name: Shanghai Huapei Shuneng Technology (Group) Co., Ltd[18] - Company's Chinese abbreviation: Huapei Power[18] - Company's legal representative: Wu Huailei[18] Contact Person and Information This section provides the name, contact address, telephone, fax, and email of the company's Board Secretary - Board Secretary: Wang Chong[19] - Contact address: No. 218 Songxiu Road, Qingpu District, Shanghai[19] - Email: board@sinotec.cn[19] Overview of Changes in Basic Information This section discloses the company's registered address, office address, website, and email, stating no changes occurred during the reporting period - Company's registered address: Building 3, No. 218 Songxiu Road, Qingpu District, Shanghai[20] - Company website: www.sinotec.cn[20](index=20&type=chunk) - No changes in basic information during the reporting period[20] Overview of Changes in Information Disclosure and Document Custody Locations This section lists the company's selected newspapers for information disclosure, the website address for semi-annual reports, and the report custody location, with no changes during the reporting period - Company's selected newspapers for information disclosure: "Shanghai Securities News", "China Securities Journal", "Securities Daily", "Securities Times"[21] - Website address for semi-annual reports: http://www.sse.com.cn[21](index=21&type=chunk) - Company's semi-annual report custody location: 3rd Floor, Board Secretary's Office, No. 218 Songxiu Road, Qingpu District, Shanghai[21] Brief Introduction to Company Shares This section introduces the company's A-share listing exchange, stock abbreviation, and code - Share type: A-shares[22] - Stock exchange for listing: Shanghai Stock Exchange[22] - Stock abbreviation: Huapei Power, Stock code: 603121[22] Key Accounting Data and Financial Indicators This section discloses the company's key accounting data and financial indicators for the current reporting period (Jan-Jun), showing significant year-on-year declines in operating revenue, total profit, and net profit 2025 Semi-Annual Key Accounting Data | Metric | Current Period (Jan-Jun) (RMB) | Prior Year Period (RMB) | Change from Prior Year Period (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 578,090,195.57 | 644,620,949.16 | -10.32 | | Total Profit | 14,393,350.71 | 64,274,830.22 | -77.61 | | Net Profit Attributable to Shareholders of Listed Company | 20,175,905.94 | 61,290,757.00 | -67.08 | | Net Profit Attributable to Shareholders of Listed Company After Deducting Non-recurring Gains and Losses | 16,811,327.51 | 58,062,207.67 | -71.05 | | Net Cash Flow from Operating Activities | 44,937,067.88 | 171,648,510.22 | -73.82 | | Net Assets Attributable to Shareholders of Listed Company (Period-end) | 1,184,070,569.59 | 1,231,601,406.65 | -3.86 | | Total Assets (Period-end) | 2,148,633,589.63 | 2,117,565,307.04 | 1.47 | 2025 Semi-Annual Key Financial Indicators | Key Financial Indicator | Current Period (Jan-Jun) | Prior Year Period | Change from Prior Year Period (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | 0.06 | 0.18 | -66.67 | | Diluted Earnings Per Share (RMB/share) | 0.06 | 0.18 | -66.67 | | Basic Earnings Per Share After Deducting Non-recurring Gains and Losses (RMB/share) | 0.05 | 0.17 | -70.59 | | Weighted Average Return on Net Assets (%) | 1.64 | 4.87 | Decreased by 3.23 percentage points | | Weighted Average Return on Net Assets After Deducting Non-recurring Gains and Losses (%) | 1.37 | 4.61 | Decreased by 3.24 percentage points | Non-recurring Gains and Losses Items and Amounts This section lists the non-recurring gains and losses items and their amounts for the reporting period, totaling 3,364,578.43 RMB 2025 Semi-Annual Non-recurring Gains and Losses Items | Non-recurring Gains and Losses Item | Amount (RMB) | Notes (if applicable) | | :--- | :--- | :--- | | Gains or losses from disposal of non-current assets, including the write-back of impairment provisions already made | -256,523.36 | | | Government grants recognized in profit or loss for the current period, 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 | 6,398,778.38 | Primarily due to receipt of government industrial policy support funds | | Fair value changes and disposal gains/losses from financial assets and financial liabilities held by non-financial enterprises, excluding effective hedge accounting related to normal business operations | -678,304.66 | | | Other non-operating income and expenses apart from the above | -2,258,984.70 | | | Other profit and loss items that meet the definition of non-recurring gains and losses | 20,855.80 | | | Less: Income tax impact | 835,045.07 | | | Impact on minority interests (after tax) | -973,802.04 | | | Total | 3,364,578.43 | | Management Discussion and Analysis Explanation of the Company's Industry and Main Business during the Reporting Period This section outlines the global and Chinese automotive industry trends in H1 2025, including the growth of new energy vehicles and the decline of traditional fuel vehicles, along with the market size and localization trend of automotive sensors, detailing the company's powertrain and sensor businesses and product applications - In the first half of 2025, global automotive sales reached 46.32 million units, a year-on-year increase of 5.5%; new energy vehicle sales reached 9.92 million units, a year-on-year increase of 31%, with penetration rate climbing to 23%[30] - In the first half of 2025, China's automotive production and sales completed 15.621 million units and 15.653 million units respectively, with year-on-year increases of 12.5% and 11.4%; new energy vehicle production and sales increased by 41.4% and 40.3% respectively, with new vehicle sales reaching 44.3% of total new vehicle sales[30] - In 2025, the global body perception sensor market size is approximately $4.1 billion, and the Chinese market size is approximately 12.78 billion RMB; the growth rate of new energy vehicle sensor demand is 2.3 times that of traditional fuel vehicles[31] - The company's business is divided into powertrain business (core components for turbocharging systems) and sensor business (pressure, speed, temperature, urea quality sensors, and core chips)[33][35] Main Business The company's main business is divided into powertrain and sensor segments, with powertrain covering core components for turbocharging systems and sensors encompassing various sensor types and core chips, primarily serving the commercial vehicle OEM market and expanding into the passenger vehicle market - The powertrain business primarily produces core components for automotive engine turbocharging systems, including wastegate assemblies, turbine housings, and center housings, ultimately applied in terminal automotive brands such as Ford, Volvo, Daimler-Benz, etc[33] - The sensor business primarily produces various types of sensors, including full-pressure range pressure sensors, speed and position sensors, temperature sensors, urea quality sensors, and some core chips[35] - The sensor business mainly serves the domestic commercial vehicle OEM market, with clients including FAW Jiefang, China National Heavy Duty Truck, Weichai Power, etc., and has achieved initial breakthroughs in the passenger vehicle market[35] Business Model The company's business model primarily includes R&D, procurement, production, and sales, emphasizing continuous R&D investment in powertrain and sensor fields, a make-to-order production approach, and a direct sales strategy - R&D Model: The powertrain business involves interdisciplinary technologies such as high-temperature resistant metal materials and surface treatment; the sensor business has built an R&D and production system covering various types of automotive sensors, possessing a full process chain advantage from "sensitive elements to transmitter modules to transmitters"[43][44] - Procurement Model: A comprehensive supplier screening, evaluation, management, and annual review process has been established, with procurement plans formulated based on customer forecast orders and the company's production plans[45] - Production Model: Primarily adopts a Make to Order (MTO) approach, formulating production plans based on customer forecast order demands and tracking them in real-time[46] - Sales Model: Adopts a direct sales model, providing products to automotive OEMs, Tier 1 and Tier 2 suppliers, with the sensor business mainly serving the domestic commercial vehicle OEM market and expanding into the passenger vehicle market[47] Discussion and Analysis of Operations During the reporting period, the company's performance faced short-term pressure with declines in operating revenue and net profit, but it actively responded by securing new clients, orders, and project breakthroughs in both powertrain and sensor businesses, while continuously advancing digital transformation and efficiency improvements - In the first half of 2025, operating revenue was 578.09 million RMB, a 10.32% decrease from the prior year period[47] - Net profit attributable to shareholders of the listed company was 20.18 million RMB, a 67.08% decrease from the prior year period[47] - The Powertrain Business Unit continued to develop new projects, with new projects obtained during the reporting period expected to achieve total sales of approximately 800 million RMB over their lifecycle[49] - The Sensor Business Unit achieved a "0 to 1" breakthrough in mass production projects in the passenger vehicle sector, winning bids for sensor products and PTC water heater projects from a leading domestic new energy vehicle company, expected to be mass-produced in 2026, with total sales of approximately 190 million RMB over their lifecycle[49] - The company completed the establishment of its wholly-owned subsidiary, Shanghai Huapei Shuneng Embodied AI Technology Co., Ltd., accelerating the strategic layout of its sensor business in the embodied AI and industrial fields[50] - The Powertrain Business Unit deployed MES and IoT platforms to enhance production transparency and management efficiency; the Sensor Business Unit completed internal integration and deployed informatization systems such as OA, ERP, and PLM to improve cross-departmental collaboration efficiency[51][52] Seeking Innovation Amidst Stability: New Clients, New Orders, New Breakthroughs The company in its powertrain and sensor business actively developed new clients and projects, achieving breakthroughs particularly in the new energy vehicle sensor market and expanding its presence in embodied AI and industrial sectors - The Powertrain Business Unit continued to develop new projects with clients such as BorgWarner, Garrett, and Scania, with total sales expected to be approximately 800 million RMB over their lifecycle[49] - The Sensor Business Unit won bids for sensor product projects and PTC water heater projects from a leading domestic new energy vehicle company, expected to be mass-produced in 2026, with total sales of approximately 190 million RMB over their lifecycle[49] - The newly acquired domestic C-platform urea pressure sensor project has completed development and verification, with small-batch deliveries starting in the second quarter[50] - The company established its wholly-owned subsidiary, Shanghai Huapei Shuneng Embodied AI Technology Co., Ltd., to accelerate the strategic layout of its sensor business in the embodied AI and industrial fields[50] Enhancing Quality and Efficiency: Efficiency, Effectiveness, and Benefits The company improved operational efficiency, management effectiveness, and profitability for both powertrain and sensor divisions through digital transformation and internal integration - The Powertrain Business Unit deployed MES and IoT platforms, achieving full lifecycle visualization management of production orders, real-time monitoring and early warning of key production equipment, and precise traceability of quality data[51] - The Sensor Business Unit completed deep integration of Huapei Wuxi, Huapei Sensorneng Wuxi, and Shengmeixin, deploying informatization systems such as OA, ERP, and PLM, significantly enhancing cross-departmental collaboration efficiency[52] - The company completed the process streamlining and system re-establishment for client consignment warehouses, helping to monitor client inventory consumption in real-time and efficiently support monthly reconciliation and invoicing, positively impacting cash flow[52] Analysis of Core Competencies during the Reporting Period This section elaborates on the company's core competencies in its two major business segments, powertrain and sensors, including deep technological accumulation, stable market position, global sales network, rich product matrix, one-stop solution capability, and strong R&D strength - The Powertrain Business Unit has accumulated profound technical expertise in interdisciplinary fields such as high-temperature resistant metal materials, surface treatment, heat treatment processes, precision machining, and electron beam welding[53] - As an important supplier to international turbocharger giants, the company is a leader in the wastegate assembly sub-segment, holding a leading global market share[54] - The Sensor Business Unit, through internal integration, has built a sensor product matrix covering the full pressure range, providing "one-stop" solutions and enhancing customer stickiness[55] - The company has established long-term stable cooperative relationships with leading domestic and international diesel engine manufacturers and commercial vehicle manufacturers, and actively expands into international markets through its global sales network[56] - The Sensor Business Unit possesses the capability for in-house production of core pressure-sensitive elements across three ranges: MEMS low pressure, ceramic piezoresistive, and high-pressure glass-fused, forming comprehensive and strong R&D capabilities[58] Powertrain Business Unit The Powertrain Business Unit maintains a leading position in core turbocharger components through deep technological accumulation, a stable market position, and a global sales network - The company possesses profound technical expertise in high-temperature resistant metal material R&D, wear-resistant and corrosion-resistant surface treatment technology, heat treatment process R&D for enhancing low-temperature impact toughness of alloy steel, precision and ultra-precision machining, and electron beam welding[53] - The company is a leader in the wastegate assembly sub-segment, holding a leading global market share, and has established long-term stable cooperative relationships with globally renowned turbocharger manufacturers such as BorgWarner, Garrett, and Boma Technology[54] - Products are supplied to global mid-to-high-end passenger vehicle brands, such as Mercedes-Benz, BMW, Volvo, Ford, Volkswagen, Jaguar, and BYD, through Tier 1 suppliers[54] Sensor Business Unit The Sensor Business Unit provides "one-stop" solutions to customers through a rich product matrix, a leading domestic market position, global sales network expansion, and strong R&D capabilities - The company integrated internal resources to build a full-category pressure sensor product matrix covering micro-pressure MEMS, medium-pressure ceramic piezoresistive, and high-pressure glass-fused sensors, also including temperature, speed, and position sensors[55] - Long-term cooperation has been established with leading domestic and international diesel engine and commercial vehicle manufacturers such as Weichai Power, FAW Jiefang, Yuchai, Bosch, and Cummins, and multiple new projects have been designated by leading domestic passenger vehicle clients[56][57] - Possesses in-house manufacturing capabilities for core pressure-sensitive elements across three ranges: MEMS low pressure, ceramic resistive, and ceramic capacitive medium-pressure glass-fused high pressure, forming strong technical capabilities and a comprehensive product matrix[58] Key Operating Performance during the Reporting Period This section analyzes the reasons for changes in major financial statement items during the reporting period and details the company's asset, liability, and investment status, including external equity investments and financial assets measured at fair value - Operating revenue decreased by 10.32% year-on-year, primarily due to adjustments in production plans by some clients, delays in mass production due to technical solution optimization, and intensified industry competition[60][61] - Total profit decreased by 77.61% year-on-year, and net profit attributable to shareholders of the listed company decreased by 67.08% year-on-year[24] - Long-term equity investments at period-end were 313.71 million RMB, an increase of 199.56% from the prior year-end, primarily due to increased external equity investments during the reporting period[62] - Short-term borrowings at period-end were 245.73 million RMB, an increase of 94.32% from the prior year-end, primarily due to increased borrowings for expanding external investment scale[62] - New external equity investments during the reporting period amounted to 209 million RMB, including participation in the establishment of Wuxi Shengrui Venture Capital Fund and Jiaxing Shique Guiyou Venture Capital Fund[65][66][67] Analysis of Changes in Financial Statement Items This section details the changes and reasons for major financial statement items during the reporting period, reflecting declines in the company's revenue and profit, and increases in selling expenses, administrative expenses, and external investments Major Financial Item Changes | Item | Current Period Amount (RMB) | Prior Year Period Amount (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 578,090,195.57 | 644,620,949.16 | -10.32 | | Operating Cost | 438,465,614.28 | 471,098,213.38 | -6.93 | | Selling Expenses | 14,857,085.78 | 10,734,454.64 | 38.41 | | Administrative Expenses | 60,214,788.38 | 54,617,393.83 | 10.25 | | Financial Expenses | 4,408,880.73 | 6,396,130.42 | -31.07 | | R&D Expenses | 33,133,298.62 | 36,979,583.55 | -10.40 | | Net Cash Flow from Operating Activities | 44,937,067.88 | 171,648,510.22 | -73.82 | | Net Cash Flow from Investing Activities | -223,147,401.84 | -61,481,726.70 | N/A | | Net Cash Flow from Financing Activities | 46,152,830.75 | 33,529,251.85 | 37.65 | - The decrease in operating revenue was primarily due to adjustments in production plans by some clients, delays in mass production plans due to technical solution optimization, and intensified industry competition[60] - The increase in selling expenses was primarily due to increased personnel costs for business expansion and market promotion expenses[60] - The significant outflow in net cash flow from investing activities was primarily due to increased external equity investments during the reporting period[60] Analysis of Assets and Liabilities This section analyzes the changes in the company's period-end assets and liabilities, showing decreases in cash and cash equivalents and notes receivable, significant increases in long-term equity investments and short-term borrowings, and a doubling of provisions due to pending litigation Changes in Assets and Liabilities | Item Name | Current Period End Amount (RMB) | Percentage of Total Assets at Period-end (%) | Prior Year End Amount (RMB) | Percentage of Total Assets at Prior Year-end (%) | Change from Prior Year-end (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 161,966,853.15 | 7.54 | 284,959,404.76 | 13.46 | -43.16 | | Notes Receivable | 14,940,946.43 | 0.70 | 23,169,296.57 | 1.09 | -35.51 | | Accounts Receivable Financing | 27,305,463.24 | 1.27 | 16,851,941.59 | 0.80 | 62.03 | | Long-term Equity Investments | 313,709,607.30 | 14.60 | 104,724,749.70 | 4.95 | 199.56 | | Short-term Borrowings | 245,730,777.76 | 11.44 | 126,458,113.65 | 5.97 | 94.32 | | Notes Payable | 66,656,661.57 | 3.10 | 44,846,836.00 | 2.12 | 48.63 | | Provisions | 4,695,600.00 | 0.22 | 2,345,525.00 | 0.11 | 100.19 | - The decrease in cash and cash equivalents was primarily due to increased cash payments for external investments during the reporting period[62] - The significant increase in long-term equity investments was primarily due to increased external equity investments during the reporting period[62] - The increase in provisions was due to litigation losses accrued by subsidiary Huapei Sensorneng Wuxi[62] Analysis of Investment Status This section details the company's new external equity investments during the reporting period, including participation in multiple venture capital funds, and changes in financial assets measured at fair value - During the reporting period, the company's new external equity investments amounted to 209 million RMB[65] - The company, as a limited partner, subscribed 218 million RMB to Wuxi Shengrui Venture Capital Fund, accounting for 41.60%, with 206 million RMB actually paid in during the reporting period[66][68][73] - The company, as a limited partner, subscribed 3 million RMB to Jiaxing Shique Guiyou Venture Capital Fund, accounting for 11.71%, with the full amount paid in during the reporting period[67][69][74] Changes in Financial Assets Measured at Fair Value | Asset Category | Beginning Balance (RMB) | Fair Value Change Gain/Loss for the Period (RMB) | Amount Purchased in Current Period (RMB) | Ending Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | | Accounts Receivable Financing | 16,851,941.59 | | | 27,305,463.24 | | Other Non-current Financial Assets | 17,625,499.68 | -850,959.35 | 1,500,000.00 | 18,274,540.33 | | Financial Assets Held for Trading | 10,006,986.03 | 172,654.69 | | 10,179,640.72 | | Total | 44,484,427.30 | -678,304.66 | 1,500,000.00 | 55,759,644.29 | Analysis of Major Holding and Associate Companies This section lists the financial data of the company's major holding and associate companies, noting that Huapei Sensorneng Technology (Wuxi) Co., Ltd. reported a negative net profit for the current period Major Holding and Associate Companies Financial Data (Unit: 10,000 RMB) | Company Name | Company Type | Main Business | Registered Capital | Total Assets | Net Assets | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Shanghai Huaxu International Trade Co., Ltd. | Subsidiary | Import and export trade | 5,000.00 | 34,900.38 | 8,698.67 | 40,094.47 | 115.78 | 84.67 | | Wuhan Huapei Power Technology Co., Ltd. | Subsidiary | Automotive parts production and sales | 35,000.00 | 86,073.71 | 53,924.14 | 30,725.74 | 4,843.47 | 4,257.99 | | Huapei Sensorneng Technology (Wuxi) Co., Ltd. | Subsidiary | Sensor, automotive parts production and sales | 715.863908 | 27,943.55 | 5,706.60 | 9,627.54 | -1,071.00 | -1,295.58 | | Wuxi Shengrui Venture Capital Partnership (Limited Partnership) | Associate Company | Capital market services | 52,400.00 | 52,131.75 | 52,131.75 | 0.00 | 194.68 | 194.68 | - Huapei Sensorneng Technology (Wuxi) Co., Ltd. reported a net profit of -12.96 million RMB for the current period[78] Other Disclosure Matters This section discloses potential risks faced by the company, including industry fluctuations, new energy vehicle development, raw material price volatility, exchange rate risks, goodwill impairment risks, and tariff policy risks - The company faces risks from automotive industry fluctuations, as macroeconomic volatility may impact automotive production and consumption[79] - The development of new energy vehicles (especially pure electric vehicles) may, to some extent, affect the market demand for turbochargers[80] - Price fluctuations of major raw materials (nickel, cobalt, chromium, molybdenum, tungsten, etc.) significantly impact production costs and may affect the company's earnings stability[81] - A higher proportion of overseas sales revenue means fluctuations in USD and EUR exchange rates may result in exchange gains or losses, thereby affecting operating performance[82] - Goodwill formed from the acquisitions of Huapei Wuxi and Huapei Sensorneng Wuxi requires impairment testing, posing a risk of goodwill impairment[83] - Frequent adjustments or extreme policies in US tariff policies may disrupt regional and global trade, investment flows, and supply chains, indirectly impacting the company's operating performance[84] Corporate Governance, Environment, and Society Profit Distribution or Capital Reserve Conversion Plan The company has no profit distribution plan or capital reserve conversion to share capital plan for the reporting period - Semi-annual proposed profit distribution plan or capital reserve conversion to share capital plan: No[86] Significant Matters Fulfillment of Commitments This section discloses the fulfillment of commitments by the company's actual controller, controlling shareholder, and the company regarding initial public offering and other matters, including avoiding horizontal competition, reducing and regulating related-party transactions, measures to compensate for diluted immediate returns, and performance commitments, all of which were strictly and timely fulfilled - The company's actual controller, Wu Huailei, and controlling shareholder, Huajian Investment, both issued commitment letters to avoid horizontal competition with the company's business[90][92] - The company formulated the "Related-Party Transaction Management System", and the controlling shareholder and actual controller committed to strictly abide by it, adhering to fair and equitable principles to avoid and reduce related-party transactions[93][94] - All directors and senior management of the company committed to taking measures to compensate for diluted immediate returns, including not harming the company's interests, restricting job-related consumption, and linking compensation systems to return compensation measures[95][96] - Controlling shareholder Huajian Investment committed that the total net profit of Huapei Sensorneng Wuxi for 2023, 2024, and 2025 will be 129 million RMB[102] - All commitments were fulfilled strictly and timely[89] Alleged Violations, Penalties, and Rectification by the Listed Company, its Directors, Supervisors, Senior Management, Controlling Shareholder, and Actual Controller The company received an oral warning from the Shanghai Stock Exchange for potentially misleading investors by not fully disclosing risks in its responses to investor inquiries during a period of high interest in robot-related concepts - The company, during a period of high interest in robot-related concepts, did not fully disclose relevant risks in its responses to investor inquiries, which might have misled investors[104] - This action violated relevant provisions of the "Shanghai Stock Exchange Stock Listing Rules" and "Self-Regulatory Guidelines No. 1 for Listed Companies – Standardized Operations"[104] - On March 20, 2025, the Shanghai Stock Exchange issued an oral warning to the company and its Board Secretary[104] Explanation of the Integrity Status of the Company, its Controlling Shareholder, and Actual Controller during the Reporting Period During the reporting period, the company, its controlling shareholder, and actual controller maintained good integrity, with no adverse credit records such as unfulfilled court judgments or overdue large debts - During the reporting period, the company, its controlling shareholder, and actual controller maintained good integrity[105] - There were no adverse credit records such as unfulfilled court judgments or overdue large debts[105] Significant Related-Party Transactions This section discloses related-party transactions related to daily operations during the reporting period, including sales of goods and procurement of services from Huajian New Energy, and updates on the performance commitment fulfillment of Huapei Sensorneng Wuxi - The company sold goods worth 1.6654 million RMB and procured services worth 0.2191 million RMB from Huajian New Energy Technology (Shanghai) Co., Ltd. in the current period[106] - Controlling shareholder Huajian Investment committed that the total net profit of Huapei Sensorneng Wuxi for 2023, 2024, and 2025 will be 129 million RMB[108] - During the reporting period, Huapei Sensorneng Wuxi achieved a net profit of -12.63 million RMB (consolidated financial statement basis)[108] Significant Contracts and Their Fulfillment This section discloses the company's significant guarantees for its subsidiaries during the reporting period, with the total guarantee amount representing 48.70% of the company's net assets Company Guarantees for Subsidiaries (Unit: 10,000 RMB) | Metric | Amount | | :--- | :--- | | Total Guarantees Provided to Subsidiaries During Reporting Period | 44,000.00 | | Total Guarantee Balance for Subsidiaries at Period-end (B) | 57,658.60 | | Total Guarantees (A+B) | 57,658.60 | | Percentage of Total Guarantees to Company's Net Assets (%) | 48.70 | | Debt Guarantees Provided Directly or Indirectly to Guaranteed Parties with Asset-Liability Ratio Exceeding 70% (D) | 28,658.60 | | Total of the Above Three Guarantee Amounts (C+D+E) | 28,658.60 | - The company provided a guarantee limit of no more than 1.15 billion RMB for its subsidiaries' bank comprehensive credit lines in 2025[113] 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[116] Shareholder Information This section discloses the total number of ordinary shareholders and the shareholding details of the top ten shareholders as of the end of the reporting period, including share quantity, percentage, number of restricted shares, and pledge status - Total number of ordinary shareholders as of the end of the reporting period: 17,451 accounts[117] Top Ten Shareholders' Shareholding as of Period-end | Shareholder Name | Change during Reporting Period | Shares Held at Period-end (shares) | Percentage (%) | Number of Restricted Shares Held (shares) | Share Status | Quantity (shares) | Shareholder Type | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Shanghai Huajian Investment Management Co., Ltd. | 0 | 139,540,400 | 41.22 | 0 | Pledged | 57,840,000 | Domestic Non-State-Owned Legal Person | | Wu Huailei | 0 | 24,692,616 | 7.29 | 0 | Pledged | 9,540,000 | Domestic Natural Person | | Wu Jia | 0 | 11,323,728 | 3.34 | 0 | Pledged | 7,200,000 | Domestic Natural Person | | Minhou Leijia Consulting Management Partnership (Limited Partnership) | 0 | 3,511,404 | 1.04 | 0 | None | | Other | | Hangzhou Anyu Private Equity Fund Management Co., Ltd. - Anyu Tengfei No. 1 Private Equity Securities Investment Fund | 2,588,487 | 2,588,487 | 0.76 | 0 | None | | Other | | Liao Manmei | 2,337,297 | 2,337,297 | 0.69 | 0 | None | | Domestic Natural Person | | Shanghai Haisheng Private Equity Fund Management Co., Ltd. - Haisheng No. 16 Private Equity Securities Investment Fund | 2,263,280 | 2,263,280 | 0.67 | 0 | None | | Other | | Yinyue (Shanghai) Investment Management Co., Ltd. - Yinyue Zhixuan Private Equity Securities Investment Fund | -470,117 | 2,232,683 | 0.66 | 0 | None | | Other | | Hebei Degang Industrial Co., Ltd. | 1,425,210 | 1,425,210 | 0.42 | 0 | None | | Domestic Non-State-Owned Legal Person | | Yinyue (Shanghai) Investment Management Co., Ltd. - Yinyue Jinjiu Yinjiu Private Equity Securities Investment Fund | 1,146,505 | 1,146,505 | 0.34 | 0 | None | | Other | - Wu Huailei is the actual controller of Shanghai Huajian Investment Management Co., Ltd.; Wu Huailei and Wu Jia are husband and wife, acting in concert[120] 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[124] 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[124] Financial Report Audit Report This semi-annual report is unaudited - This semi-annual report is unaudited[126] Financial Statements This section includes the consolidated balance sheet, parent company balance sheet, consolidated income statement, parent company income statement, consolidated statement of changes in owners' equity, and parent company statement of changes in owners' equity Company Basic Information This section introduces the company's historical evolution, registration information, industry, and main operating activities - The company's predecessor was Shanghai Huapei Power Technology Co., Ltd., registered on June 22, 2006, with its headquarters in Qingpu District, Shanghai[151] - The company's shares were listed and traded on the Shanghai Stock Exchange on January 11, 2019[151] - The company belongs to the automotive parts and accessories manufacturing industry, with its main business activities being the R&D, production, and sales of key components such as turbochargers and sensors[151] Basis of Financial Statement Preparation This section states that the company's financial statements are prepared on a going concern basis and confirms the company's ability to continue as a going concern for at least 12 months from the end of the reporting period - The company's financial statements are prepared on a going concern basis[152] - The company has the ability to continue as a going concern for at least 12 months from the end of the reporting period, with no significant matters affecting its going concern ability[153] Significant Accounting Policies and Estimates This section discloses the company's statement of compliance with enterprise accounting standards and specific accounting policies and estimates for financial instruments, inventories, depreciation of fixed assets, construction in progress, intangible assets, and revenue recognition - The financial statements prepared by the company comply with the requirements of enterprise accounting standards, truly and completely reflecting the company's financial position, operating results, changes in shareholders' equity, and cash flows, among other relevant information[155] - The company's operating cycle is relatively short, using 12 months as the liquidity classification standard for assets and liabilities[157] - Assets and liabilities acquired in business combinations are measured at the book value of the acquiree in the ultimate controlling party's consolidated financial statements (under common control) or at fair value (not under common control) on the acquisition date[161][162] - The company classifies financial assets at initial recognition into three categories: measured at amortized cost, measured at fair value through other comprehensive income, and measured at fair value through profit or loss[169] - The company performs impairment accounting for financial assets measured at amortized cost, debt instrument investments measured at fair value through other comprehensive income, and contract assets, based on expected credit losses[180] - The company implemented the "Interpretation No. 18 of Enterprise Accounting Standards" issued by the Ministry of Finance regarding "Accounting Treatment for Guarantee-type Quality Assurance Not Constituting a Single Performance Obligation" starting from January 1, 2024, and retrospectively adjusted comparable period information, resulting in an increase in operating costs of 6,875,145.07 RMB and a decrease in selling expenses of 6,875,145.07 RMB[267] Taxation This section discloses the company's main tax categories and rates, as well as preferential policies for corporate income tax and value-added tax Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Sales of goods and taxable services revenue | 13%, 6% | | Urban Maintenance and Construction Tax | Actual amount of turnover tax paid | 7%, 5% | | Education Surcharge | Actual amount of turnover tax paid | 3% | | Local Education Surcharge | Actual amount of turnover tax paid | 2% | | Corporate Income Tax | Taxable income | 25%, 20%, 15% | | Property Tax | Original value of property or rental income | 12%, 1.2% | - Shanghai Huapei Shuneng Technology (Group) Co., Ltd., Wuhan Huapei Power Technology Co., Ltd., Jiangsu Huapei Power Technology Co., Ltd., and Huapei Sensorneng Technology (Wuxi) Co., Ltd. all enjoy a 15% corporate income tax rate as high-tech enterprises[270][271] - Subsidiary Shengmeixin Technology (Wuxi) Co., Ltd. and others that meet the conditions for small and micro-profit enterprises pay corporate income tax at a 20% rate[272] - Export businesses of subsidiaries Shanghai Huaxu International Trade Co., Ltd. and Huaxu International Trade (Wuhan) Co., Ltd. enjoy VAT "exemption and refund" preferential tax policies, with a refund rate of 13%[272] - The company and some subsidiaries enjoy a 5% additional deduction policy for VAT for advanced manufacturing enterprises[273] Notes to Consolidated Financial Statement Items This section provides detailed notes on various asset, liability, owners' equity, revenue, cost, and expense items in the consolidated financial statements, including period-end balances, beginning balances, reasons for changes, and related accounting treatments - Cash and cash equivalents at period-end amounted to 161,966,853.15 RMB, a 43.16% decrease from the beginning of the period, primarily due to increased cash payments for external investments during the reporting period; restricted funds at period-end due to pledges, collateral, or freezes amounted to 21,566,814.19 RMB[276] - Long-term equity investments at period-end amounted to 313,709,607.30 RMB, a 199.56% increase from the beginning of the period, primarily due to increased external equity investments during the reporting period[62][331] - Short-term borrowings at period-end amounted to 245,730,777.76 RMB, a 94.32% increase from the beginning of the period, primarily due to increased borrowings for expanding external investment scale during the reporting period[62][369] - Provisions at period-end amounted to 4,695,600.00 RMB, a 100.19% increase from the beginning of the period, due to litigation losses accrued by subsidiary Huapei Sensorneng Wuxi[62][390] - Current period operating revenue was 578,090,195.57 RMB, a 10.32% decrease year-on-year; operating cost was 438,465,614.28 RMB, a 6.93% decrease year-on-year[400] - Current period selling expenses were 14,857,085.78 RMB, a 38.41% increase year-on-year; administrative expenses were 60,214,788.38 RMB, a 10.25% increase year-on-year; R&D expenses were 33,133,298.62 RMB, a 10.40% decrease year-on-year[404][405][406] Research and Development Expenses This section discloses the composition of the company's R&D expenses by nature for the reporting period, totaling 33,133,298.62 RMB, all of which were expensed 2025 Semi-Annual R&D Expense Composition | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Employee Compensation | 25,242,084.82 | 26,916,313.57 | | Depreciation and Amortization | 3,576,163.55 | 3,602,960.68 | | Material Costs | 3,053,260.04 | 3,256,936.74 | | Testing Fees | 255,805.68 | 1,622,336.63 | | Tooling/Measuring Tools | 94,452.64 | 739,828.79 | | Design Fees | 202,500.00 | 202,500.00 | | Travel Expenses | 356,610.38 | 227,015.18 | | Patent Agency/Application Fees | 178,793.51 | 99,396.66 | | Office Expenses | 18,264.10 | 44,506.46 | | Other | 155,363.90 | 267,788.84 | | Total | 33,133,298.62 | 36,979,583.55 | - All R&D expenses for the current period were expensed[443] Changes in Consolidation Scope During the reporting period, the company had no changes in consolidation scope due to business combinations under common control, business combinations not under common control, reverse acquisitions, or disposal of subsidiaries - During the reporting period, the company had no changes in consolidation scope due to business combinations not under common control, business combinations under common control, reverse acquisitions, or disposal of subsidiaries[445] Interests in Other Entities This section discloses the company's interests in subsidiaries, significant non-wholly owned subsidiaries, and joint ventures or associates, including shareholding percentages and key financial information - The company owns 11 subsidiaries, including Wuhan Huapei Power Technology Co., Ltd., Jiangsu Huapei Power Technology Co., Ltd., and Shanghai Huaxu International Trade Co., Ltd., with shareholding percentages of 100% or controlling interests[446] - The significant non-wholly owned subsidiary is Huapei Sensorneng Technology (Wuxi) Co., Ltd., with minority shareholders holding 41.5% equity, and the current period's profit or loss attributable to minority shareholders was -6,517,215.93 RMB[447] - The significant associate company is Wuxi Shengrui Venture Capital Partnership (Limited Partnership), in which the company holds a 41.97% equity interest, accounted for using the equity method[452] - The total carrying amount of investments in insignificant associate companies is 94,892,533.52 RMB, and their total net profit for the current period is -5,415,690.24 RMB[454] Government Grants This section discloses the government grants received by the company during the reporting period, including asset-related and income-related grants, totaling 6,398,778.38 RMB 2025 Semi-Annual Government Grants Recognized in Profit or Loss | Type | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Asset-related | 1,360,929.88 | 1,241,602.11 | | Income-related | 5,037,848.50 | 3,907,974.50 | | Total | 6,398,778.38 | 5,149,576.61 | - The period-end balance of government grants in deferred income is 11,346,394.19 RMB, primarily consisting of asset-related government grants[456] Risks Related to Financial Instruments This section describes the credit risk, liquidity risk, and market risks (interest rate risk, foreign exchange risk) faced by the company and its management strategies - The company's credit risk primarily arises from cash and cash equivalents and accounts receivable, managed by depositing funds in financial institutions with high credit ratings and continuously assessing customer credit[460] - 43.85% of the company's accounts receivable are from its top five customers, indicating a certain degree of credit concentration risk[460] - Liquidity risk is managed by comprehensively utilizing various financing methods such as bill settlement and bank borrowings to maintain a balance between financing continuity and flexibility[461] - Market risks primarily include interest rate risk and foreign exchange risk; as the company's main activities are denominated in RMB, foreign exchange market risk is not significant[466] Financial Liabilities Classified by Remaining Maturity (Period-end, Unit: RMB) | Item | Carrying Amount | Undiscounted Contractual Cash Flows | Within 1 year | 1-3 years | Over 3 years | | :--- | :--- | :--- | :--- | :--- | :--- | | Bank Borrowings | 593,057,466.00 | 624,431,189.43 | 312,951,687.28 | 209,981,189.65 | 101,498,312.50 | | Notes Payable | 66,656,661.57 | 66,656,661.57 | 66,656,661.57 | | | | Accounts Payable | 171,895,137.39 | 171,895,137.39 | 171,895,137.39 | | | | Lease Liabilities | 3,587,039.64 | 3,698,062.78 | 2,592,717.34 | 1,105,345.44 | | | Subtotal | 864,678,828.97 | 898,381,459.42 | 569,870,611.83 | 227,012,535.09 | 101,498,312.50 | - The amount of financial assets (accounts receivable financing) derecognized due to transfer in the current period was 130,203,513.96 RMB, with related gains or losses of -253,241.97 RMB[469] Disclosure of Fair Value This section discloses the fair value of assets and liabilities measured at fair value at the end of the period, primarily including financial assets held for trading, accounts receivable financing, and other non-current financial assets Total Assets Measured at Fair Value on a Recurring Basis at Period-end | Item | Level 2 Fair Value Measurement (RMB) | Level 3 Fair Value Measurement (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | | Financial Assets Held for Trading (Wealth Management Products) | | 10,179,640.72 | 10,179,640.72 | | Accounts Receivable Financing | | 27,305,463.24 | 27,305,463.24 | | Other Non-current Financial Assets | | 18,274,540.33 | 18,274,540.33 | | Total Assets Measured at Fair Value on a Recurring Basis | | | 55,759,644.29 | - For unlisted equity instrument investments, the company considers using the market approach to estimate fair value[476] - The company's Level 3 fair value measured financial assets held for trading are bank wealth management products, whose fair value is determined by estimating future cash flows based on expected returns and discounting them[476] - The company's Level 3 fair value measured accounts receivable financing consists of bank acceptance bills, whose fair value is determined by their face value[476] Related Parties and Related-Party Transactions This section discloses the company's parent company, ultimate controlling party, subsidiaries, associates, and other related parties, as well as related-party transactions involving purchases and sales of goods, provision and acceptance of services, and related-party commitments during the reporting period - The parent company of the enterprise is Shanghai Huajian Investment Management Co., Ltd., and the ultimate controlling party is Wu Huailei[479] - Other related parties include Huajian New Energy Technology (Shanghai) Co., Ltd., a controlled subsidiary of the parent company, associate shareholder Wu Jia (acting in concert with Wu Huailei), and several directors, supervisors, and senior management personnel[480][120] - In the current period, the company procured services worth 219,075.00 RMB and sold goods worth 1,665,361.71 RMB to Huajian New Energy Technology (Shanghai) Co., Ltd[482][483] - Compensation for key management personnel in the current period amounted to 2.61 million RMB[485] - Controlling shareholder Huajian Investment committed that the total net profit of Huapei Sensorneng Wuxi for 2023-2025 will be 129 million RMB, with performance compensation to be made if the target is not met[489] Commitments and Contingencies As of the balance sheet date, the company has no significant commitments or contingencies requiring disclosure - As of the balance sheet date, the company has no significant commitments requiring disclosure[491] - As of the balance sheet date, the company has no significant contingencies requiring disclosure[491] Other Significant Matters This section discloses the progress of the company's arbitration case with Nantong Wantai Hydraulic Coupler Technology Co., Ltd., where Jiangsu Huapei was awarded compensation for losses due to factory relocation, but the payment has not yet been received as of the report issuance date - Jiangsu Huapei re-applied for arbitration with Nantong Wantai Hydraulic Coupler Technology Co., Ltd. due to a property land transfer dispute[494] - On May 13, 2025, the Shanghai International Arbitration Center ruled that Wantai Technology and others should compensate Jiangsu Huapei for factory equipment relocation and transportation costs, inventory relocation and transportation costs, equipment disposal value losses, employee early termination compensation, asset appraisal fees, notarization fees, legal fees, property preservation fees, etc., totaling approximately 22.75 million RMB[497] - As of the issuance date of this financial report, Jiangsu Huapei has not yet received the aforementioned arbitration award payment[498] Notes to Major Items in Parent Company Financial Statements This section provides detailed notes on major items in the parent company's financial statements, including accounts receivable, other receivables, long-term equity investments, operating revenue, and operating costs - The parent company's accounts receivable at period-end had a book balance of 14,532,661.10 RMB, with a bad debt provision of 18,270.03 RMB[503] - The parent company's other receivables at period-end had a book balance of 159,229,462.07 RMB, primarily consisting of amounts due from related parties within the consolidated scope[516][518] - The parent company's dividend receivable from Wuhan Huapei Power Technology Co., Ltd. at the beginning of the period was 30,000,000.00 RMB, which has been recovered by period-end[513] - The parent company's long-term equity investments at period-end had a book value of 1,221,405,644.08 RMB, including investments in subsidiaries of 907,696,036.78 RMB and investments in associates and joint ventures of 313,709,607.30 RMB[526] - The parent company's current period operating revenue was 158,953,665.27 RMB, primarily from wastegate assembly sales; operating cost was 111,635,067.03 RMB[531][533] Supplementary Information This section provides supplementary information, including a detailed statement of non-recurring gains and losses, return on net assets, and earnings per share - Total non-recurring gains and losses for the current period amounted to 3,364,578.43 RMB[538] 2025 Semi-Annual Return on Net Assets and Earnings Per Share | Profit for the Reporting Period | Weighted Average Return on Net Assets (%) | Basic Earnings Per Share (RMB/share) | Diluted Earnings Per Share (RMB/share) | | :--- | :--- | :--- | :--- | | Net Profit Attributable to Ordinary Shareholders of the Company | 1.64 | 0.06 | 0.06 | | Net Profit Attributable to Ordinary Shareholders of the Company After Deducting Non-recurring Gains and Losses | 1.37 | 0.05 | 0.05 |