BLB(SZ:002286)2025-08-26 09:00Corporate Governance and Legal Matters - The company plans not to distribute cash dividends, issue bonus shares, or convert reserves into share capital[5]. - The legal representative of the company is Dai Sijue[16]. - The company has not disclosed any significant changes in its contact information during the reporting period[18]. - The company has not made any changes to its information disclosure and storage locations during the reporting period[19]. - The company has not reported any changes in other relevant information during the reporting period[20]. - The company has not engaged in speculative derivative investments during the reporting period[163]. - There were no significant asset or equity sales during the reporting period[165]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[187]. - The company has not experienced any major litigation or arbitration matters during the reporting period[192]. - The company has not undergone any bankruptcy reorganization during the reporting period[190]. - The company has not disclosed any non-standard audit reports for the current or previous year[190]. - The controlling shareholder Yongyu Investment has been listed as a defendant by the Harbin Intermediate People's Court with an execution amount of ¥35,156,315, which remains unpaid[193]. - Yongyu Investment has also been listed as a defendant by the Nanchang Intermediate People's Court with an execution amount of ¥252,854,798[193]. - There were no related party transactions during the reporting period concerning daily operations[194]. - The company did not engage in any asset or equity acquisitions or sales during the reporting period[195]. - There were no joint external investment related party transactions during the reporting period[196]. - The company reported no related party debt and credit transactions during the reporting period[197]. - There were no financial transactions with related financial companies during the reporting period[198]. - The controlling financial company of the company did not have any deposits, loans, or credit transactions with related parties during the reporting period[199]. - The company had interest income and interest expense transactions with the related legal entity Yucheng Rural Commercial Bank during the reporting period[200]. Financial Performance - The report period covers from January 1, 2025, to June 30, 2025[14]. - Revenue for the reporting period reached ¥1,399,238,903.60, an increase of 18.02% compared to ¥1,185,567,446.50 in the same period last year[21]. - Net profit attributable to shareholders, excluding share-based payment impacts, was ¥95,327,189.76, up 37.49% from ¥69,331,995.88 year-over-year[21]. - The net cash flow from operating activities was ¥23,083,640.38, representing a significant increase of 211.41% compared to ¥7,412,539.62 in the previous year[21]. - Basic and diluted earnings per share increased to ¥0.25, a rise of 31.58% from ¥0.19 in the same period last year[21]. - Total assets at the end of the reporting period were ¥2,779,578,750.95, reflecting a growth of 3.95% from ¥2,673,967,499.20 at the end of the previous year[21]. - The net assets attributable to shareholders increased to ¥2,123,020,501.39, up 3.99% from ¥2,041,529,687.09 at the end of the previous year[21]. - The comprehensive gross margin improved to 13.17%, up 1.36% from the previous year[128]. - The operating cost increased to ¥1,214,903,447.95, up 16.21% from ¥1,045,448,405.34, primarily due to increased sales volume of core products[142]. - The cash and cash equivalents increased by ¥16,740,280.91, compared to a decrease of ¥8,979,170.36 in the previous year, mainly due to increased revenue and net profit[142]. - The company reported a significant decrease in contract liabilities, which fell to CNY 13,989,024.58, down by 0.75% from the previous year[150]. - The company has adjusted its revenue classification to better reflect the development of its core business and long-term value, effective from the 2025 semi-annual report[147]. - The company engaged in hedging activities to mitigate market risks, achieving a hedging effect that supports stable long-term development[162]. - The company reported a total of 3,065 million in hedging business, with a loss of 6.15 million during the reporting period[162]. Market and Industry Trends - The company’s main business focuses on functional foods and related products[14]. - The company operates in the functional ingredients sector, focusing on prebiotics, dietary fibers, and sugar-reducing sweeteners, which are aligned with consumer demand for health products[28]. - The core products, including prebiotics and dietary fibers, are expected to drive future growth due to their high profit margins and contribution to revenue[28]. - The company has identified significant market opportunities in the health food and beverage sectors, indicating a positive outlook for expansion[28]. - The global market size for probiotic-containing consumer products reached $8.628 billion in 2023, with the food and beverage segment accounting for 71% of this market[40]. - The global oligofructose market is projected to reach $1.386 billion in sales by 2024, with a compound annual growth rate (CAGR) of 3.9% expected until 2031[40]. - The probiotic industry is experiencing rapid growth due to increasing consumer awareness of health and nutrition, driven by aging populations and rising health consciousness[39]. - The demand for functional foods and beverages is increasing, driven by rising obesity rates and health issues, which is significantly boosting the probiotic industry[41]. - Probiotics are being increasingly integrated into various food categories, including dairy, beverages, and infant formula, reflecting a growing trend in health-oriented product development[41]. - The dietary fiber industry is experiencing rapid growth in China, driven by increasing health awareness and the prevalence of chronic diseases[48]. - The dietary fiber market in China is expected to reach RMB 1.17 billion by 2025, with a compound annual growth rate (CAGR) of 13.4% from 2019 to 2030[49]. - The global dietary fiber market is projected to reach RMB 4.42 billion by 2025, with a CAGR of 8.8% from 2019 to 2030[49]. - The average daily fiber intake in China is only 11-13 grams, which is less than half of the recommended intake of 25-35 grams[49]. - The dietary fiber market is characterized by a high concentration of leading manufacturers, including international giants like ADM and domestic companies like Baolingbao[49]. - The company is focusing on cross-field health solutions, moving beyond traditional nutrition supplements to address broader health needs[42]. - The global consumer awareness of health has reached a historical high, with 83% of respondents considering "low sugar" as a core purchasing factor for food and beverages, an increase of 31 percentage points since 2019[72]. - In 2023, the sugar-free beverage market in China reached a scale of 24.1 billion yuan, representing a year-on-year growth of 26%[72]. - The market for sugar substitutes in China is projected to grow by 27.6% year-on-year in 2024, with natural sugar substitutes like erythritol and steviol glycosides experiencing growth rates exceeding 40%[72]. - The trend of zero-sugar beverages has led to the rapid adoption of erythritol in various application fields, while Alotose is gaining market attention due to its unique properties[68]. - The sugar tax policies have created a favorable external environment for the rapid development of the natural sweetener market[74]. Product Development and Innovation - The company is launching new products in 2024, including 2'-FL and LNnT in the field of human milk oligosaccharides, and starting production of isomerized lactose[42]. - The company is developing new prebiotics with high stability and safety, aimed at enhancing gut health and preventing constipation[42]. - The company plans to launch new sugar-free high-fiber polydextrose and sugar-free resistant dextrin products in 2024, further enhancing its dietary fiber product portfolio[52]. - The company is advancing the approval process for human milk oligosaccharides (HMOs) and allulose, with HMOs technology winning the iSEE Global Innovation Award[183]. - The company has established a "company + base + farmer" cooperation model to support rural revitalization and promote modern efficient agriculture[183]. - The company is actively pursuing the approval of alloheptulose enzyme preparations to expedite market entry for its products[135]. - The company has established long-term partnerships with major clients such as Coca-Cola, Yili, and Mengniu since 2006, enhancing its market presence in the starch sugar industry[88]. - The company focuses on developing customized and differentiated products based on customer needs, such as low-viscosity liquid starch sugars for the beverage industry[90]. - The company has developed over 90 different specifications of functional food ingredients, making it one of the largest manufacturers in the industry in terms of product variety[94]. - The company has nearly 100 authorized patents and over 90 proprietary core technologies, having participated in the revision of more than 40 international, national, and industry standards[113]. - The company has achieved significant advancements in technology, being the first in China to industrialize functional sugars, and has established multiple national-level research platforms[121]. Strategic Goals and Future Outlook - The company aims to become a world-class provider of functional and health solutions, focusing on the food and nutrition sectors[91]. - The company plans to enhance its procurement strategies and improve production processes to reduce raw material costs[169]. - The company is focusing on expanding into new application areas and developing new downstream clients to mitigate demand fluctuations from major customers[170]. - The competitive landscape in the functional sugar industry is intensifying, prompting the company to invest in R&D to maintain its market position[172]. - The company aims to strengthen brand recognition and customer loyalty to safeguard its market share against competitors[172]. - The company plans to enhance market development for new products and improve the revenue-generating capability of new projects[174]. - The company launched a restricted stock incentive plan for 2025, with performance targets set for net profit of no less than ¥1.7 billion in 2025 and a cumulative target of ¥6.47 billion from 2025 to 2027[139]. - The company aims to achieve peak carbon emissions by 2030, with significant reductions in carbon intensity and water consumption observed in the first half of 2025[182].