沪宁股份(300669) - 2025 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section provides critical disclaimers, outlines the report's structure, and defines key terminology for clarity Important Notice The board and management assure report accuracy; the company, an elevator component supplier, faces real estate, competition, and geopolitical risks, with no dividend plans - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, assuming individual and joint legal responsibility for any false statements or omissions[3] - The company's head, Zou Jiachun, chief accountant, Gao Yueqin, and head of accounting, Gao Yueqin, declare that the financial report in this semi-annual report is true, accurate, and complete[3] - The company is a supplier of critical elevator components and systems, primarily engaged in the development, design, manufacturing, and sales of various elevator safety components, including safety gears, speed governors, buffers, rope grippers, and roller guides[3] - The company currently faces key risks including a continuous decline in new elevator demand due to the ongoing real estate market downturn, intense price competition leading to decreasing gross profit margins from shrinking market demand, uncertainties in economy and trade due to geopolitical factors, and the risk of not quickly securing large orders after new product development[3] - The company plans not to distribute cash dividends, issue bonus shares, or convert capital reserves into share capital[4] Table of Contents The report's table of contents clearly outlines six main chapters, covering important notices, company profile, management discussion and analysis, corporate governance, significant matters, and financial reports - The report's table of contents includes: Section I Important Notice, Table of Contents, and Definitions; Section II Company Profile and Key Financial Indicators; Section III Management Discussion and Analysis; Section IV Corporate Governance, Environment, and Society; Section V Significant Matters[6] Reference Documents The company lists the 2025 semi-annual report, financial statements, original disclosure documents, and other relevant materials as reference files, available at the company's securities department - Reference documents include: the 2025 semi-annual report signed by the company's legal representative, financial statements signed and sealed by the company's legal representative, chief accountant, and head of accounting, original copies of all company documents publicly disclosed on the CSRC-designated website during the reporting period, and other relevant materials[8][9][10][11] - The aforementioned reference documents are available at the company's securities department[12] Definitions This section defines common terms used in the report, including company names, major shareholders, subsidiaries, core products like buffers and safety gears, and specifies the reporting period as January to June 2025 - "Company," "the Company," "Huning," or "Huning Shares" refers to Hangzhou Huning Elevator Components Co., Ltd[13] - Definitions of main products include: buffer (elevator bottom protection device), safety gear (elevator overspeed or fall emergency protection device), roller guide shoe (elevator car guidance, bearing, and vibration reduction device), rope gripper (elevator upward overspeed or unintended car movement emergency protection device), and speed governor (safety protection device that detects elevator overspeed and triggers safety gear action)[13] - The reporting period refers to January to June 2025, and the end of the reporting period refers to June 30, 2025[13] Company Profile and Key Financial Indicators This section provides an overview of the company's fundamental information and presents its key financial performance metrics and indicators Company Profile This section introduces the company's basic information, including its stock ticker, code, listing exchange, Chinese and English names, and legal representative - Stock Abbreviation: Huning Shares, Stock Code: 300669, Stock Exchange: Shenzhen Stock Exchange[15] - The company's Chinese name: Hangzhou Huning Elevator Components Co., Ltd., The company's legal representative: Zou Jiachun[15] Contact Person and Contact Information This section provides contact details for the company's Board Secretary and Securities Affairs Representative, including names, addresses, phone numbers, fax, and email - Board Secretary: Chen Zhenli, Securities Affairs Representative: Liu Hongmei[16] - Contact Address: No 11, Huanyuan South Road, Industrial Park, Zhongtai Street, Yuhang District, Hangzhou City[16] - Phone: 0571-89053183 (Board Secretary), 0571-88637676-8855 (Securities Affairs Representative)[16] Other Information The company states that its registered address, office address, website, email, information disclosure, and registration changes remained unchanged during the reporting period, as detailed in the 2024 annual report - The company's registered address, office address and postal code, website, email, etc., remained unchanged during the reporting period, as detailed in the 2024 annual report[17] - Information disclosure and storage locations remained unchanged during the reporting period, as detailed in the 2024 annual report[18] - The company's registration status remained unchanged during the reporting period, as detailed in the 2024 annual report[19] Key Accounting Data and Financial Indicators This section discloses key accounting data and financial indicators for the current reporting period compared to the same period last year, showing a slight decrease in operating revenue and significant declines in net profit attributable to shareholders and net cash flow from operating activities Key Accounting Data and Financial Indicators (Consolidated Statements) | Indicator | Current Reporting Period (Yuan) | Prior Year Same Period (Yuan) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 148,308,730.81 | 150,978,254.98 | -1.77% | | Net Profit Attributable to Shareholders of Listed Company | 9,302,662.57 | 15,629,045.71 | -40.48% | | Net Profit Attributable to Shareholders of Listed Company After Non-recurring Gains and Losses | 7,695,713.23 | 13,881,970.37 | -44.56% | | Net Cash Flow from Operating Activities | 11,370,946.16 | 32,244,008.48 | -64.73% | | Basic Earnings Per Share (Yuan/share) | 0.0483 | 0.0811 | -40.44% | | Diluted Earnings Per Share (Yuan/share) | 0.0483 | 0.0811 | -40.44% | | Weighted Average Return on Net Assets | 1.06% | 1.76% | -0.70% | | Period-End Indicators | Current Period-End (Yuan) | Prior Year-End (Yuan) | Change from Prior Year-End | | Total Assets | 981,373,284.79 | 1,010,892,831.36 | -2.92% | | Net Assets Attributable to Shareholders of Listed Company | 868,660,806.71 | 878,527,226.74 | -1.12% | Differences in Accounting Data Under Domestic and Foreign Accounting Standards During the reporting period, the company reported no differences in net profit and net assets between financial statements prepared under International Accounting Standards or foreign accounting standards and those prepared under Chinese Accounting Standards - During the reporting period, the company reported no differences in net profit and net assets between financial statements prepared under International Accounting Standards and those prepared under Chinese Accounting Standards[21] - During the reporting period, the company reported no differences in net profit and net assets between financial statements prepared under foreign accounting standards and those prepared under Chinese Accounting Standards[22] Non-recurring Gains and Losses and Amounts This section lists the non-recurring gains and losses and their amounts for the reporting period, totaling 1,606,949.34 Yuan, primarily including disposal gains/losses on non-current assets, government subsidies, and fair value changes of financial assets and liabilities Non-recurring Gains and Losses and Amounts | Item | Amount (Yuan) | | :--- | :--- | | Gains or losses from disposal of non-current assets (including the offset portion of asset impairment provisions) | -783,918.53 | | Government subsidies recognized in current profit and loss (excluding government subsidies closely related to the company's normal operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit and loss) | 674,437.92 | | Gains or losses from changes in fair value of financial assets and financial liabilities held by non-financial enterprises, and gains or losses from disposal of financial assets and financial liabilities, except for effective hedging activities related to normal business operations | 1,967,126.55 | | Other non-operating income and expenses apart from the above items | 33,221.24 | | Less: Income tax impact | 283,917.84 | | Total | 1,606,949.34 | Management Discussion and Analysis This section provides an in-depth analysis of the company's operational performance, financial condition, and future outlook, including market trends, core competencies, and risk factors Main Business Activities During the Reporting Period During the reporting period, the company's main business was affected by a stabilizing real estate market but weak new elevator demand, while benefiting from policy-driven renovation and upgrade markets; the company focuses on developing, producing, and selling elevator safety components and systems, continuously innovating and researching new products - In the first half of 2025, China's real estate market showed initial signs of stabilization, with sales, completion, funding, and new construction starts all experiencing narrower declines, though developer investment sentiment remained insufficient, keeping overall market pressure high[27][28][29] - In the first half of 2025, national elevator, escalator, and moving walk production totaled 654,000 units, a 6.40% year-on-year decrease, narrowing the decline by 1.5 percentage points compared to the previous year, indicating overall stabilization, partly due to government ultra-long-term special treasury bonds and other policies boosting the elevator maintenance and renovation market[29] - The company is a supplier of critical elevator components and systems, primarily engaged in the development, design, manufacturing, and sales of various elevator safety components and systems, including safety gears, speed governors, buffers, rope grippers, and roller guides[33] Real Estate Market Shows Initial Signs of Stabilization, New Elevator Demand Remains Weak In the first half of 2025, China's real estate market showed initial signs of stabilization with narrowing declines in sales, completions, funding, and new construction starts, but developer investment remained insufficient, leading to continued severe new elevator demand pressure as a lagging industry - From January to June 2025, cumulative sales area of new commercial housing reached 459 million square meters, a 3.5% year-on-year decrease, significantly narrowing from the 19.0% decline in the same period last year[27] - Cumulative housing completion area was 226 million square meters, a 14.8% year-on-year decrease, a notable reduction from the 21.8% decline in the same period last year, with the June single-month completion area decline significantly narrowing to 1.7%[27] - Cumulative new housing construction starts reached 304 million square meters, a 20.0% year-on-year decrease, a slight narrowing from the 23.7% decline in the same period last year, with the June single-month new construction starts decline significantly narrowing to 9.4%, marking the best monthly performance since 2024[28] - In the first half of 2025, national elevator, escalator, and moving walk production totaled 654,000 units, a 6.40% year-on-year decrease, narrowing the decline by 1.5 percentage points compared to the previous year, indicating overall stabilization, but the actual demand contraction in the new elevator market remains severe[29] Renovation and Upgrade Market Prospects Broad, Multiple Policies Drive High-Quality Development With over 12 million elevators nationwide, the demand for old elevator renovation is growing, supported by ultra-long-term special treasury bonds and policy documents that accelerate market development and ensure quality and safety - As of June 2025, the national elevator inventory has exceeded 12 million units, with over 1 million old elevators in use for more than 15 years, highlighting increasing demand for renovation and replacement[30] - In 2024, multiple ministries jointly issued special policies, including old elevator renovation and installation costs within the 300 billion Yuan ultra-long-term special treasury bond support scope, significantly accelerating the elevator renovation and upgrade market development[30] - International elevator leader Otis's 2025 semi-annual report shows its China region elevator maintenance base increased by approximately 15% year-on-year, with renovation business revenue growing over 20% year-on-year[30] - The General Office of the CPC Central Committee and the General Office of the State Council jointly issued "Opinions on Continuously Advancing Urban Renewal Actions," explicitly listing "renovation and upgrading of old urban residential communities" as a core task and providing policy support for elevator installation in eligible buildings[31] - The General Office of the State Administration for Market Regulation issued the "Notice on Further Improving the Renovation of Old Residential Elevators," providing actionable guidance for the elevator renovation market and promoting the high-quality development of the elevator industry[32] Company's Main Business Operations The company is a supplier of critical elevator components and systems, offering five main product categories including safety gears, speed governors, buffers, rope grippers, and roller guides, continuously innovating and developing new products to meet market demands, especially in the old elevator renovation market - The company's main products include five major categories: safety gears, speed governors, buffers, rope grippers, and roller guides, with hundreds of specifications, making it one of the industry's technology innovation-driven enterprises[33] - The new NS02 series safety gear aims to improve redundancy for different guide rail matches and reduce guide rail sensitivity to braking through structural innovation, especially suitable for old elevator renovation projects under ultra-long-term special treasury bonds where guide rails are retained[33] - Ultra-high-speed safety gears are provided as ODM projects for high-end brand customers; the future key R&D direction for safety gears is to build an "independent safety braking system with absolute value" to achieve active elevator safety protection[34] - Sales of the new HNGN series speed governor increased by over 140% year-on-year again, building on significant growth last year; the new HNGQ series speed governor has completed R&D and verification, with mass production and matching expected by the end of 2025[36] - The G series buffer, incorporating "powerful cold spinning" technology, achieved 500,000 units of capacity in its first phase by the end of June 2024, with full release of 1 million units equivalent capacity expected by the end of 2025, featuring high strength, lightweight design, and high cost-effectiveness[37] - For the elevator renovation and upgrade market, the company developed a matching rope gripper control power supply, offering a cost-effective solution for installing UCMP in old elevator renovations[38] - The industrialization technology R&D projects for "composite (metal) traction sheaves" and "composite guide rails," two strategic products, currently face technical challenges where material oil resistance and wear reliability indicators have not met standards, requiring significant investment and time for further research and improvement[41] Core Competitiveness Analysis The company's core competitiveness stems from its dedicated management team and systematic strategic planning, continuously innovating core products, a vibrant team of business professionals, and capital market financing support for new project investments - The company's core competitiveness is concentrated in four aspects: a focused and pragmatic core management team and systematic strategic planning, continuously innovating and systematic core products, a vibrant team of business professionals, and the capital market financing platform's support for new project investments[42] - In the third quarter of 2023, the company conducted a systematic review, evaluation, and adjustment of its previous strategies, forming a systematic strategic planning framework for 2024-2026, establishing "business focus and value reshaping" as its core overall development direction[43] - "Innovation Leadership" is Huning's most core value, with the company's R&D investment accounting for 5.4% of revenue; during the reporting period, it applied for 6 new patents, including 3 invention patents, and as of June 30, 2025, the company had 88 authorized invention patents and 42 pending invention patents[45][46] - The company is recognized as a "National Intellectual Property Advantage Enterprise" by the National Intellectual Property Administration and a "Zhejiang Province Intellectual Property Demonstration Enterprise" by the Zhejiang Provincial Intellectual Property Administration, and in 2021, it was successfully selected into the third batch of specialized, refined, unique, and new "Little Giant" enterprises by the SME Bureau of the Ministry of Industry and Information Technology[46][47] - The company has 60 core development personnel, including 4 with senior titles and 25 with junior or intermediate titles, most of whom have over ten years of experience in elevator safety component and critical component design, maintaining team stability through employee stock ownership and equity incentive schemes[48] - The company successfully raised 242,657,513.48 Yuan in net proceeds through a private placement of shares in November 2021, investing in the "Annual Production of 1 Million Innovative G-Series Buffers Production Line Construction Project" and the "Strategic Product Industrialization Technology System R&D Project"[50] - The company actively seeks "organic + inorganic" development opportunities, successfully introducing strategic investors in 2023 and planning to contribute up to 28 million Yuan in cash with other professional investment institutions to establish the Guoke Haoyu Fund, primarily investing in strategic emerging industries such as high-end manufacturing, optoelectronic complete equipment, and integrated circuits[51] Main Business Analysis During the reporting period, the company's main business revenue slightly decreased year-on-year, while operating costs, selling expenses, and administrative expenses remained largely stable; financial expenses and income tax expenses significantly declined, and net cash flow from operating activities substantially decreased, with elevator safety components remaining the primary revenue source despite a slight decrease in gross profit margin Year-on-Year Changes in Key Financial Data | Indicator | Current Reporting Period (Yuan) | Prior Year Same Period (Yuan) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 148,308,730.81 | 150,978,254.98 | -1.77% | No significant change | | Net Profit Attributable to Shareholders of Listed Company | 9,302,662.57 | 15,629,045.71 | -40.48% | | | Net Cash Flow from Operating Activities | 11,370,946.16 | 32,244,008.48 | -64.73% | Primarily due to increased cash payments for goods purchased in the current period | | Financial Expenses | -1,078,821.89 | -4,399,832.45 | -75.48% | Primarily due to decreased bank interest received in the current period | | Income Tax Expense | 984,143.21 | 1,955,113.41 | -49.66% | Primarily due to a decline in total profit in the current period | Products or Services Accounting for Over 10% of Revenue | Product or Service | Operating Revenue (Yuan) | Operating Cost (Yuan) | Gross Profit Margin | Year-on-Year Change in Operating Revenue | Year-on-Year Change in Operating Cost | Year-on-Year Change in Gross Profit Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Elevator Safety Components | 126,194,518.36 | 101,116,260.92 | 19.87% | -1.78% | 3.54% | -4.12% | | Other Key Elevator Components | 17,312,602.14 | 11,664,562.59 | 32.62% | -6.04% | -8.74% | 1.99% | Non-Main Business Analysis During the reporting period, the company had no non-main business analysis - The company had no non-main business analysis during the reporting period[57] Analysis of Assets and Liabilities At the end of the reporting period, the company's total assets and net assets attributable to shareholders both decreased; significant changes in fixed assets and construction in progress were primarily due to the completion and transfer of construction in progress to fixed assets Significant Changes in Asset Composition | Item | Amount at Period-End (Yuan) | Proportion of Total Assets | Amount at Prior Year-End (Yuan) | Proportion of Total Assets | Change in Proportion | Explanation of Significant Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 25,925,244.82 | 2.64% | 54,024,544.85 | 5.34% | -2.70% | No significant change | | Fixed Assets | 296,094,435.64 | 30.17% | 210,397,349.34 | 20.81% | 9.36% | Primarily due to the completion and transfer of construction in progress to fixed assets | | Construction in Progress | 69,360,079.34 | 7.07% | 167,758,063.91 | 16.60% | -9.53% | Primarily due to the completion and transfer of construction in progress to fixed assets | | Short-term Borrowings | 64,050,000.00 | 6.53% | 45,350,000.00 | 4.49% | 2.04% | No significant change | - The company had no asset restrictions at period-end[62] Investment Status Analysis During the reporting period, the company had no significant equity or non-equity investments; financial assets measured at fair value totaled 178 million Yuan at period-end, mainly wealth management products; total raised capital utilization was 73.75%, with both the G-series buffer project and strategic product R&D project delayed due to external environment and technical challenges Financial Assets Measured at Fair Value | Item | Beginning Balance (Yuan) | Fair Value Change Gain/Loss in Current Period (Yuan) | Amount Purchased in Current Period (Yuan) | Amount Sold in Current Period (Yuan) | Ending Balance (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Trading Financial Assets | 194,000,000.00 | 559,932.89 | 305,500,000.00 | 321,500,000.00 | 178,559,932.89 | | Other Equity Instrument Investments | 4,543,936.21 | - | - | - | 4,543,936.21 | | Total | 198,543,936.21 | 559,932.89 | 305,500,000.00 | 321,500,000.00 | 183,103,869.10 | - Total raised capital was 242.66 million Yuan, with 178.95 million Yuan utilized, representing a utilization rate of 73.75%[67] - The "Annual Production of 1 Million Innovative G-Series Buffers Production Line Construction and Technical Transformation Project" has completed its first phase of 500,000 units capacity, but due to unforeseen external operating environment impacts, overall workshop relocation plans, and capacity matching optimization, the project's expected ready-for-use date has been adjusted to December 31, 2025[71] - The "Strategic Product Industrialization Technology System R&D Project" has had its expected ready-for-use date adjusted to December 31, 2025, because the wear resistance of composite (metal) traction sheaves did not meet design expectations, requiring further research in materials, structure, process methods, and testing[71] Disposal of Major Assets and Equity During the reporting period, the company did not engage in any significant asset or equity disposals - The company did not sell significant assets during the reporting period[77] - The company did not sell significant equity during the reporting period[78] Analysis of Major Holding and Participating Companies This section lists the basic information and financial data for three major subsidiaries: Hangzhou Kasiding Electromechanical Manufacturing Co., Ltd., Cixi Zhenhua Machinery Co., Ltd., and Hangzhou Huning New Material Technology Co., Ltd Major Subsidiary Information | Company Name | Company Type | Registered Capital (Yuan) | Total Assets (Yuan) | Net Assets (Yuan) | Operating Revenue (Yuan) | Net Profit (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Hangzhou Kasiding Electromechanical Manufacturing Co., Ltd. | Subsidiary | 53,000,000.00 | 110,643,143.16 | 96,918,689.75 | 48,904,655.51 | 2,643,660.51 | | Cixi Zhenhua Machinery Co., Ltd. | Subsidiary | 12,000,000.00 | 67,582,533.31 | 63,412,448.61 | 23,126,608.21 | 4,169,306.25 | | Hangzhou Huning New Material Technology Co., Ltd. | Subsidiary | 150,000,000.00 | 115,587,422.35 | 112,851,981.27 | 0.00 | -1,909,040.47 | Information on Structured Entities Controlled by the Company During the reporting period, the company did not control any structured entities - The company had no controlled structured entities during the reporting period[80] Risks Faced by the Company and Countermeasures During the reporting period, the company's operating revenue remained largely flat year-on-year, but profit indicators significantly declined; key risks include continuous contraction in new elevator demand, intensified market competition, increased fixed asset depreciation, and delayed sales release of strategic products, which the company addresses through technological iteration, cost optimization, market expansion, and continuous R&D investment - During the reporting period, the company achieved operating revenue of 148.31 million Yuan, a 1.77% year-on-year decrease; net profit attributable to shareholders of the listed company was 9.30 million Yuan, a 40.48% year-on-year decrease[80] - Risk 1: Continuous contraction in new elevator demand and intensified market competition led the company to proactively adjust product prices to secure orders, systematically compressing profit margins. Countermeasures: Accelerate technological iteration of old products to enhance product competitiveness; optimize existing product lines to build a differentiated first-mover advantage, especially for the elevator renovation and upgrade market[80][81] - Risk 2: Fixed asset depreciation, with the G-series buffer production line and new material company's factory buildings transferred to fixed assets and beginning depreciation, but delayed order acquisition impacted short-term book profit. Countermeasures: Subsequent growth in G-series buffer sales is expected to drive economies of scale, reducing per-unit depreciation share[82][83] - Risk 3: Delayed sales release of strategic products, as the "three major strategic products" (G-series buffers, NS02 series safety gears, HNGN/HNGQ series speed governors) have completed R&D and passed type tests, but sales have not fully materialized due to long certification and customer introduction cycles. Countermeasures: Continue to vigorously promote the "three major strategic products," especially for old elevator renovation projects, which are expected to support sustained development over the next three years[85][86] - Risk 4: Sustained high R&D investment and guaranteed employee compensation; despite significant declines in revenue and profit, the company maintained stable employee compensation and continued high R&D investment (R&D expenses accounted for 5.4% of sales revenue during the reporting period). Countermeasures: Adhere to innovation leadership, win market share with differentiated and cost-effective products; promote refined operational management and product cost reduction to ensure employee compensation and product quality[87][88] Registration Form for Research, Communication, Interview, and Other Activities During the Reporting Period During the reporting period, on April 30, 2025, the company held its 2024 annual online performance briefing via an online platform, engaging in discussions with investors - On April 30, 2025, the company hosted an online performance briefing for its 2024 annual report via an online platform, engaging with investors who participated online[89] Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company has not formulated a market value management system nor disclosed a valuation enhancement plan - The company has not formulated a market value management system[90] - The company has not disclosed a valuation enhancement plan[90] Implementation of "Quality and Return Dual Improvement" Action Plan The company has not disclosed an announcement regarding its "Quality and Return Dual Improvement" action plan - The company has not disclosed an announcement regarding its "Quality and Return Dual Improvement" action plan[91] Corporate Governance, Environment, and Society This section details the company's governance structure, environmental protection efforts, and social responsibility initiatives Changes in Directors, Supervisors, and Senior Management During the reporting period, there were no changes in the company's directors, supervisors, or senior management, as detailed in the 2024 annual report - The company's directors, supervisors, and senior management remained unchanged during the reporting period, as detailed in the 2024 annual report[93] Profit Distribution and Capital Reserve Conversion to Share Capital in Current Reporting Period The company plans not to distribute cash dividends, issue bonus shares, or convert capital reserves into share capital for the semi-annual period - The company plans not to distribute cash dividends, issue bonus shares, or convert capital reserves into share capital for the semi-annual period[94] Implementation of 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 and their implementation - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[95] Environmental Information Disclosure The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law - The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law[96] Social Responsibility The company actively fulfills its social responsibilities, including protecting the rights and interests of shareholders, creditors, employees, suppliers, and customers, participating in social welfare, and prioritizing safety production and environmental protection - The company continuously improves its corporate governance structure, strictly adheres to principles of openness, fairness, and impartiality, and promptly, accurately, and completely discloses information to ensure all shareholders receive timely information and protect the legitimate rights and interests of minority shareholders[96] - During the reporting period, the company successfully completed its 2024 profit distribution plan: based on a total share capital of 192,705,526 shares, a cash dividend of 1.00 Yuan (tax inclusive) per 10 shares was distributed to all shareholders, totaling 19,169,082.60 Yuan in cash dividends[97] - Adhering to the philosophy of "development relies on employees, development is for employees," the company strictly complies with labor laws and regulations, legally signs labor contracts with all employees, fully pays social insurance and housing provident funds, and has established a scientific and comprehensive training system[98] - The company consistently maintains and develops long-term, stable strategic cooperative relationships with suppliers and customers, respects and protects their legitimate rights and interests, pursues win-win cooperation and common development, and actively promotes the construction of a "community of shared destiny"[99] - The company actively fulfills its social responsibilities, proactively strengthens communication with government departments, investors, customers, suppliers, and all sectors of society to build harmonious public relations, and actively participates in and supports social welfare undertakings[100] - The company regards safety production as the lifeline of enterprise development, continuously increases investment in safety production technology innovation, establishes and improves safety production management systems, strengthens equipment maintenance and hazard identification, and regularly conducts employee safety education and training[101] - The company implements national environmental protection laws and regulations, establishes and improves environmental management systems and occupational health and safety management systems to achieve an ecologically friendly and green production environment, and actively responds to the national calls for "carbon peak" and "carbon neutrality"[102] Significant Matters This section covers all significant events and issues that occurred during the reporting period, including commitments, related party transactions, and legal matters Commitments Fulfilled and Overdue Unfulfilled Commitments by Actual Controller, Shareholders, Related Parties, Acquirers, and the Company During the Reporting Period During the reporting period, the company had no commitments that were fulfilled or overdue and unfulfilled by the actual controller, shareholders, related parties, acquirers, or the company itself - During the reporting period, the company had no commitments that were fulfilled or overdue and unfulfilled by the actual controller, shareholders, related parties, acquirers, or the company itself[104] Non-Operating Fund Occupation by Controlling Shareholder and Other Related Parties During the reporting period, the company had no non-operating fund occupation by controlling shareholders or other related parties - During the reporting period, the listed company had no non-operating fund occupation by controlling shareholders or other related parties[105] Irregular External Guarantees During the reporting period, the company had no irregular external guarantees - The company had no irregular external guarantees during the reporting period[106] Appointment and Dismissal of Accounting Firms The company's semi-annual financial report was not audited - The company's semi-annual report was not audited[107] Explanation by the Board of Directors, Supervisory Board, and Audit Committee on the Accounting Firm's "Non-Standard Audit Report" for the Current Reporting Period The company had no non-standard audit report during the reporting period - The company had no non-standard audit report during the reporting period[108] Explanation by the Board of Directors on the "Non-Standard Audit Report" for the Previous Year The company had no non-standard audit report during the reporting period - The company had no non-standard audit report during the reporting period[108] Bankruptcy and Reorganization Matters During the reporting period, the company did not experience any bankruptcy or reorganization matters - The company did not experience any bankruptcy or reorganization matters during the reporting period[108] Litigation Matters During the reporting period, the company had no significant litigation or arbitration matters - During the current reporting period, the company had no significant litigation or arbitration matters[109] Penalties and Rectification Status During the reporting period, the company had no penalties or rectification situations - The company had no penalties or rectification situations during the reporting period[110] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller During the reporting period, the company, its controlling shareholder, and actual controller had no integrity issues - During the reporting period, the company, its controlling shareholder, and actual controller had no integrity issues[111] Significant Related Party Transactions During the reporting period, the company had no related party transactions related to daily operations, asset or equity acquisitions/disposals, joint external investments, related party debts/receivables, or other significant related party transactions - The company had no related party transactions related to daily operations during the reporting period[111] - The company had no related party transactions involving asset or equity acquisitions/disposals during the reporting period[112] - The company had no related party transactions involving joint external investments during the reporting period[113] - The company had no related party debts or receivables during the reporting period[114] - The company had no other significant related party transactions during the reporting period[117] Significant Contracts and Their Performance During the reporting period, the company had no trusteeship, contracting, leasing, significant guarantees, or other significant contract situations - The company had no trusteeship situations during the reporting period[118] - The company had no contracting situations during the reporting period[119] - The company had no leasing situations during the reporting period[120] - The company had no significant guarantee situations during the reporting period[121] - The company had no other significant contracts during the reporting period[124] Explanation of Other Significant Matters During the reporting period, the company had no other significant matters requiring explanation - The company had no other significant matters requiring explanation during the reporting period[125] Significant Matters of Company Subsidiaries During the reporting period, the company's subsidiaries had no significant matters - The company's subsidiaries had no significant matters[126] Share Changes and Shareholder Information This section details changes in the company's share capital and provides information on its shareholders Share Changes During the reporting period, the company's restricted shares decreased by 412,119 shares, while unrestricted shares increased by 412,119 shares, primarily due to senior executives transferring no more than 25% of their total holdings annually Share Change Information | | Quantity Before This Change (shares) | Proportion Before This Change | Net Increase/Decrease in This Change (shares) | Quantity After This Change (shares) | Proportion After This Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 10,617,708 | 5.51% | -412,119 | 10,205,589 | 5.30% | | II. Unrestricted Shares | 182,087,818 | 94.49% | 412,119 | 182,499,937 | 94.70% | - The reason for the share change is that senior executives transfer no more than 25% of the total company shares they hold each year[130] Changes in Restricted Shares During the reporting period, Zou Yuya's restricted shares decreased by 412,119 shares, with 2,223,643 restricted shares remaining at period-end due to senior executive lock-up; Zou Jiachun's restricted shares remained unchanged Changes in Restricted Shares | Shareholder Name | Restricted Shares at Beginning of Period (shares) | Shares Unlocked in Current Period (shares) | Restricted Shares at End of Period (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | | Zou Jiachun | 7,981,946 | 0 | 7,981,946 | Senior Executive Lock-up Shares | | Zou Yuya | 2,635,762 | 412,119 | 2,223,643 | Senior Executive Lock-up Shares | Securities Issuance and Listing During the reporting period, the company had no securities issuance or listing activities - The company had no securities issuance or listing activities during the reporting period[132] Number of Shareholders and Shareholding Structure At the end of the reporting period, the total number of common shareholders was 4,704; the shareholding of major shareholders (5% or more) or top 10 shareholders is disclosed, with Hangzhou Huning Investment Co., Ltd. as the largest shareholder holding 28.83%; Zou Jiachun, Zou Yuya, Hangzhou Huning Investment Co., Ltd., and Hangzhou Staifu Investment Management Co., Ltd. constitute parties acting in concert, but Shanghai Guoke Longhui Private Equity Fund Management Co., Ltd. and Shanghai Xuno Asset Management Co., Ltd. dissolved their acting-in-concert relationship on January 22, 2025 - Total number of common shareholders at the end of the reporting period: 4,704[133] Shareholding of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Ratio | Shares Held at End of Reporting Period (shares) | Restricted Shares Held (shares) | Unrestricted Shares Held (shares) | Pledged, Marked, or Frozen Status | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Hangzhou Huning Investment Co., Ltd. | Domestic Non-State-Owned Legal Person | 28.83% | 55,551,242 | 0 | 55,551,242 | Pledged 1,800,000 shares | | Hangzhou Staifu Investment Management Co., Ltd. | Domestic Non-State-Owned Legal Person | 9.11% | 17,550,000 | 0 | 17,550,000 | Not applicable | | Zou Jiachun | Domestic Natural Person | 5.52% | 10,642,595 | 7,981,946 | 2,660,649 | Not applicable | | Shanghai Guoke Longhui Private Equity Fund Management Co., Ltd. - Suzhou Guoke Haochen Equity Investment Partnership (Limited Partnership) | Other | 5.05% | 9,731,629 | 0 | 9,731,629 | Not applicable | | Shanghai Xuno Asset Management Co., Ltd. - Xuno Excellence No. 1 Private Securities Investment Fund | Other | 5.05% | 9,731,629 | 0 | 9,731,629 | Not applicable | - Mr. Zou Jiachun holds 99% of Hangzhou Huning Investment Co., Ltd.'s capital contribution and 66.57% of Hangzhou Staifu Investment Management Co., Ltd.'s capital contribution. Mr. Zou Jiachun and Mr. Zou Yuya are brothers. The aforementioned four shareholders constitute parties acting in concert[134] - Shanghai Guoke Longhui Private Equity Fund Management Co., Ltd. - Suzhou Guoke Haochen Equity Investment Partnership (Limited Partnership) and Shanghai Xuno Asset Management Co., Ltd. - Xuno Excellence No. 1 Private Securities Investment Fund, as shareholders, fulfilled their relevant commitments and dissolved their acting-in-concert relationship on January 22, 2025[134] Changes in Shareholdings of 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, as detailed in the 2024 annual report - The company's directors, supervisors, and senior management had no changes in shareholdings during the reporting period, as detailed in the 2024 annual report[136] Changes in Controlling Shareholder or Actual Controller During the reporting period, there were no changes in the company's controlling shareholder or actual controller - The company's controlling shareholder did not change during the reporting period[137] - The company's actual controller did not change during the reporting period[137] Preferred Shares Information During the reporting period, the company had no preferred shares - The company had no preferred shares during the reporting period[138] Bond-Related Information During the reporting period, the company had no bond-related information - The company had no bond-related information during the reporting period[140] Financial Report This section presents the company's comprehensive financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in equity, along with detailed financial notes Audit Report The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[142] Financial Statements This section provides the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity for the first half of 2025, along with detailed financial notes Consolidated Balance Sheet As of June 30, 2025, the company's consolidated total assets were 981.37 million Yuan, a 2.92% decrease from the beginning of the period; total liabilities were 112.71 million Yuan, a 14.70% decrease; and total owners' equity was 868.66 million Yuan, a 1.12% decrease Major Data from Consolidated Balance Sheet | Item | Period-End Balance (Yuan) | Period-Beginning Balance (Yuan) | | :--- | :--- | :--- | | Total Assets | 981,373,284.79 | 1,010,892,831.36 | | Total Liabilities | 112,712,478.08 | 132,365,604.62 | | Total Owners' Equity | 868,660,806.71 | 878,527,226.74 | Parent Company Balance Sheet As of June 30, 2025, the parent company's total assets were 1.01 billion Yuan, a 0.85% decrease from the beginning of the period; total liabilities were 196.71 million Yuan, a 3.11% increase; and total owners' equity was 811.31 million Yuan, a 1.76% decrease Major Data from Parent Company Balance Sheet | Item | Period-End Balance (Yuan) | Period-Beginning Balance (Yuan) | | :--- | :--- | :--- | | Total Assets | 1,008,014,515.07 | 1,016,657,177.77 | | Total Liabilities | 196,705,184.32 | 190,777,259.12 | | Total Owners' Equity | 811,309,330.75 | 825,879,918.65 | Consolidated Income Statement In the first half of 2025, the company achieved total operating revenue of 148.31 million Yuan, a 1.77% year-on-year decrease; net profit was 9.30 million Yuan, a 40.48% year-on-year decrease; and basic earnings per share were 0.0483 Yuan, a 40.44% year-on-year decrease Major Data from Consolidated Income Statement | Item | First Half of 2025 (Yuan) | First Half of 2024 (Yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 148,308,730.81 | 150,978,254.98 | | Net Profit | 9,302,662.57 | 15,629,045.71 | | Net Profit Attributable to Parent Company Shareholders | 9,302,662.57 | 15,629,045.71 | | Basic Earnings Per Share | 0.0483 | 0.0811 | | Diluted Earnings Per Share | 0.0483 | 0.0811 | Parent Company Income Statement In the first half of 2025, the parent company achieved operating revenue of 148.94 million Yuan, a 1.40% year-on-year decrease; net profit was 4.60 million Yuan, a significant 88.52% year-on-year decrease Major Data from Parent Company Income Statement | Item | First Half of 2025 (Yuan) | First Half of 2024 (Yuan) | | :--- | :--- | :--- | | Operating Revenue | 148,935,911.44 | 151,043,484.39 | | Net Profit | 4,598,494.70 | 40,183,804.83 | Consolidated Cash Flow Statement In the first half of 2025, the company's net cash flow from operating activities was 11.37 million Yuan, a 64.73% year-on-year decrease; net cash flow from investing activities was -37.24 million Yuan, a 76.72% year-on-year improvement; and net cash flow from financing activities was -2.23 million Yuan, a 95.06% year-on-year improvement Major Data from Consolidated Cash Flow Statement | Item | First Half of 2025 (Yuan) | First Half of 2024 (Yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 11,370,946.16 | 32,244,008.48 | | Net Cash Flow from Investing Activities | -37,235,977.62 | -159,937,038.82 | | Net Cash Flow from Financing Activities | -2,234,268.57 | -45,261,315.13 | | Net Increase in Cash and Cash Equivalents | -28,099,300.03 | -172,954,345.47 | | Cash and Cash Equivalents at Period-End | 25,925,244.82 | 207,566,284.41 | Parent Company Cash Flow Statement In the first half of 2025, the parent company's net cash flow from operating activities was 12.40 million Yuan, turning positive year-on-year; net cash flow from investing activities was -30.11 million Yuan, a 77.70% year-on-year improvement; and net cash flow from financing activities was -4.29 million Yuan, an 87.09% year-on-year improvement Major Data from Parent Company Cash Flow Statement | Item | First Half of 2025 (Yuan) | First Half of 2024 (Yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 12,397,368.18 | -9,521,125.00 | | Net Cash Flow from Investing Activities | -30,105,870.65 | -134,984,606.38 | | Net Cash Flow from Financing Activities | -4,285,082.60 | -33,203,638.88 | | Net Increase in Cash and Cash Equivalents | -21,993,585.07 | -177,709,370.26 | | Cash and Cash Equivalents at Period-End | 20,488,925.89 | 191,621,318.44 | Consolidated Statement of Changes in Owners' Equity In the first half of 2025, consolidated owners' equity totaled 868.66 million Yuan, a 1.12% decrease from the beginning of the period, primarily due to a reduction in undistributed profits - Total owners' equity attributable to the parent company decreased from 878,527,226.74 Yuan at the beginning of the period to 868,660,806.71 Yuan at the end of the period, a decrease of 9,866,420.03 Yuan[164] - Total comprehensive income for the current period was 9,302,662.57 Yuan, and profit distribution (to owners) was -19,169,082.60 Yuan[165] Parent Company Statement of Changes in Owners' Equity In the first half of 2025, parent company owners' equity totaled 811.31 million Yuan, a 1.76% decrease from the beginning of the period, primarily due to a reduction in undistributed profits - Total parent company owners' equity decreased from 825,879,918.65 Yuan at the beginning of the period to 811,309,330.75 Yuan at the end of the period, a decrease of 14,570,587.90 Yuan[171] - Total comprehensive income for the current period was 4,598,494.70 Yuan, and profit distribution (to owners) was -19,169,082.60 Yuan[174] Company Basic Information Hangzhou Huning Elevator Components Co., Ltd. was registered on December 10, 2015, and listed on the Shenzhen Stock Exchange on June 29, 2017, with stock code 300669; its registered and paid-in capital are both 192,705,526.00 Yuan, and its main business includes elevator parts manufacturing, general equipment manufacturing, R&D, and new material technology R&D - Hangzhou Huning Elevator Components Co., Ltd. was registered on December 10, 2015, and listed on the Shenzhen Stock Exchange on June 29, 2017, with stock code 300669[177] - As of June 30, 2025, the company's registered capital and paid-in capital (share capital) were both 192,705,526.00 Yuan[181] Share Capital Structure | Shareholder Name | Share Capital (Yuan) | Equity Ratio (%) | | :--- | :--- | :--- | | Restricted Tradable Shares | 10,205,589.00 | 5.30 | | Unrestricted Tradable Shares | 182,499,937.00 | 94.70 | | Total | 192,705,526.00 | 100.00 | - The company belongs to the elevator parts manufacturing industry. Its main business activities include: general equipment manufacturing, general parts manufacturing, mechanical equipment sales, mechanical equipment R&D, new material technology R&D, metal surface treatment and heat treatment processing, non-residential real estate leasing, mechanical equipment leasing, and import and export of goods[182] [Basis of Financial Statement Preparation](index=56&type=section&id=%E5%9B%9B%E3%80%81%E8%B4%A