凯中精密(002823) - 2025 Q2 - 季度财报

Important Notes, Table of Contents, and Definitions This section provides essential disclaimers, the report's structural overview, a catalog of reference documents, and key term definitions Important Notes The Board, Supervisory Board, and senior management guarantee the semi-annual report's accuracy, completeness, and truthfulness - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions[3] - The profit distribution plan approved by the Board of Directors is to distribute a cash dividend of 1.832070 yuan (including tax) per 10 shares to all shareholders, based on a total share capital of 327,498,270 shares, with no bonus shares or capital reserve conversion to share capital[4] Table of Contents This section outlines the report's nine main chapters, covering company profile, management discussion, governance, and financial data - The report comprises nine main chapters, covering comprehensive information on company operations, finance, governance, and significant matters[6] Reference Documents Catalog Reference documents include signed financial statements, original public disclosures, and the full report, available at the Board Secretary's office - Reference documents include financial statements signed and sealed by the company's legal representative, chief accountant, and head of accounting department, original copies of all publicly disclosed company documents and announcements during the reporting period, and the full text and abstract of the report[8][9][10] Definitions This section defines key terms like "new energy vehicle components" and "commutator" to ensure clear understanding of the report content - Key terms in the report, such as "new energy vehicle components" and "commutator," are clearly defined to aid reader comprehension[12] Company Profile and Key Financial Indicators This section provides the company's basic information, contact details, and a summary of key accounting data and financial performance Company Profile Shenzhen Kaizhong Precision Technology Co., Ltd. (stock code 002823) is listed on the Shenzhen Stock Exchange, with Zhang Haoyu as its legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Kaizhong Precision | | Stock Code | 002823 | | Listing Exchange | Shenzhen Stock Exchange | | Legal Representative | Zhang Haoyu | Contact Person and Information Board Secretary Qin Rong manages investor relations, with contact details provided for the company's Shenzhen Bay Technology Ecological Park office - Board Secretary Qin Rong is responsible for company contact matters, with contact information including phone 0755-86264859 and email lilian.qin@kaizhong.com[16] Other Information The company's registered address, office address, website, email, and information disclosure locations remained unchanged during the reporting period - The company's contact information, information disclosure, and document storage locations remained unchanged from the 2024 annual report[17][18] Key Accounting Data and Financial Indicators In H1 2025, operating revenue decreased by 7.50% to 1.43 billion yuan, while net profit attributable to shareholders increased by 46.32% to 113.13 million yuan 2025 Semi-Annual Key Accounting Data and Financial Indicators | Indicator | Current Period (yuan) | Prior Year Period (yuan) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,430,010,887.62 | 1,545,994,359.07 | -7.50% | | Net Profit Attributable to Shareholders of Listed Company | 113,127,331.93 | 77,314,758.42 | 46.32% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Gains/Losses) | 119,530,027.39 | 69,359,971.70 | 72.33% | | Net Cash Flow from Operating Activities | 184,831,889.40 | 154,393,742.05 | 19.71% | | Basic Earnings Per Share (yuan/share) | 0.38 | 0.26 | 46.15% | | Diluted Earnings Per Share (yuan/share) | 0.38 | 0.26 | 46.15% | | Weighted Average Return on Net Assets | 5.69% | 4.90% | 0.79% | | Total Assets (Period-end) | 3,612,187,374.41 | 3,563,923,727.47 | 1.35% | | Net Assets Attributable to Shareholders of Listed Company (Period-end) | 2,015,821,272.82 | 1,923,685,465.88 | 4.79% | Differences in Accounting Data Under Domestic and Overseas Accounting Standards The company reported no differences in net profit and net assets under domestic and overseas accounting standards during the reporting period - The company reported no differences in net profit and net assets under domestic and overseas accounting standards during the reporting period[21][22] Non-Recurring Gains and Losses Items and Amounts Non-recurring gains and losses totaled -6.40 million yuan, primarily from asset disposals, government grants, and fair value changes, with some tax items classified as recurring 2025 Semi-Annual Non-Recurring Gains and Losses Items and Amounts | Item | Amount (yuan) | | :--- | :--- | | Disposal gains/losses of non-current assets | -390,428.84 | | Government grants recognized in current profit/loss | 8,383,722.25 | | Fair value changes and disposal gains/losses of financial assets and liabilities | -11,058,395.36 | | Other non-operating income and expenses | -4,311,938.18 | | Less: Income tax impact | -974,344.67 | | Total | -6,402,695.46 | - Input tax additional deductions (2,145,103.56 yuan) and handling fee refunds for withholding individual income tax (214,427.51 yuan) are classified as recurring gains/losses, being related to normal operations and sustainable[25] Management Discussion and Analysis This section analyzes the company's main business, core competencies, financial performance, investment status, risks, and management strategies Company's Main Business Activities During the Reporting Period The company, a high-tech enterprise, focuses on R&D, design, manufacturing, and sales of core precision components for automotive, new energy, and consumer electronics sectors - The company is a high-tech enterprise specializing in the R&D, design, manufacturing, and sales of core precision components, widely used in automotive electrification and intelligent driving, hydrogen energy, energy storage, communication, and consumer electronics sectors[27][28] - The company possesses core technologies such as precision stamping, plastic molding, and laser welding, maintaining long-term partnerships with global leaders like Daimler, Toyota, and Bosch[27][29] 2025 Semi-Annual Operating Performance | Indicator | Amount (10,000 yuan) | YoY Growth | | :--- | :--- | :--- | | Operating Revenue | 143,001.09 | -7.50% | | Net Profit Attributable to Parent Company | 11,312.73 | 46.32% | | Net Profit Excluding Non-Recurring Gains/Losses | 11,953.00 | 72.33% | Analysis of Core Competencies The company's core strengths include high R&D investment, over 200 patents, long-term partnerships with global leaders, robust quality management, and global operational capabilities - The company maintains high R&D investment, holds over 200 domestic and international patents, masters precision stamping, plastic molding, and laser welding, and has established a national-level engineering technology center[31] - The company is a long-term partner of global industry leaders such as Bosch and Daimler, capable of customized mass production for various products[32] - The company is certified with ISO9001, IATF16949, ISO14001, ISO45001 quality management systems, and operates a CNAS-accredited testing laboratory, ensuring product quality[33] - The company has established sales, R&D centers, and production bases in mainland China, Hong Kong, Taiwan, Germany, and Japan, demonstrating global operational capabilities[34] Analysis of Main Business Operations Operating revenue decreased by 7.50%, but a larger cost reduction improved gross margin; financial expenses significantly dropped by 87.85% due to lower interest and exchange gains Year-on-Year Changes in Key Financial Data | Indicator | Current Period (yuan) | Prior Year Period (yuan) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,430,010,887.62 | 1,545,994,359.07 | -7.50% | | | Operating Cost | 1,149,845,755.76 | 1,291,884,120.19 | -10.99% | | | Selling Expenses | 29,906,601.54 | 34,214,117.58 | -12.59% | | | Administrative Expenses | 52,329,280.02 | 52,397,164.89 | -0.13% | | | Financial Expenses | 4,940,508.34 | 40,659,116.53 | -87.85% | Primarily due to reduced interest expenses and exchange rate fluctuations | | Income Tax Expense | 19,796,315.87 | 11,832,411.58 | 67.31% | Primarily due to increased current profit | | R&D Investment | 36,961,201.88 | 42,104,363.27 | -12.22% | | | Net Cash Flow from Operating Activities | 184,831,889.40 | 154,393,742.05 | 19.71% | | | Net Cash Flow from Investing Activities | -71,400,371.93 | -117,744,536.48 | 39.36% | Primarily due to reduced infrastructure expenditures | | Net Cash Flow from Financing Activities | -117,550,834.18 | -65,673,839.66 | -78.99% | Primarily due to reduced bank loans | | Net Increase in Cash and Cash Equivalents | 3,599,228.65 | -29,107,361.88 | 112.37% | Primarily due to reduced investment expenditures and increased net cash flow from operating activities | | Investment Income | -13,629,697.63 | 988,494.20 | -1,478.83% | Primarily due to losses from foreign exchange financial derivatives disposal | | Fair Value Change Income | 2,571,302.27 | 0 | 100.00% | Primarily due to fair value changes in foreign exchange financial derivatives | | Credit Impairment Loss | -2,000,409.62 | 784,117.28 | -355.12% | Primarily due to increased provision for doubtful accounts | | Asset Impairment Loss | -5,811,409.04 | -1,335,112.38 | -335.27% | Primarily due to increased provision for inventory obsolescence | Operating Revenue Composition (by Product and Region) | Category | Item | Current Period Amount (yuan) | Proportion of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | | By Product | Automotive Motor Commutators and Other Precision Components | 747,704,705.81 | 52.29% | -10.86% | | | New Energy Vehicle Components | 407,196,906.01 | 28.48% | -3.67% | | | Communication and Consumer Electronics Products | 131,141,557.08 | 9.17% | -2.80% | | | Other | 143,967,718.72 | 10.07% | -3.73% | | By Region | Domestic | 713,815,682.40 | 49.92% | 2.53% | | | Overseas | 716,195,205.22 | 50.08% | -15.72% | Gross Profit Margin Changes by Business Segment | Category | Item | Current Period Gross Profit Margin | YoY Change in Gross Profit Margin | | :--- | :--- | :--- | :--- | | By Industry | Automotive, Communication, Consumer Interconnected Products and Precision Components | 21.17% | 3.73% | | By Product | Automotive Motor Commutators and Other Precision Components | 19.70% | 2.51% | | | New Energy Vehicle Components | 24.27% | 6.21% | | | Communication and Consumer Electronics Products | 19.90% | 2.81% | | By Region | Domestic | 22.35% | 4.13% | | | Overseas | 16.84% | 1.86% | Analysis of Non-Core Business Operations Non-core operations negatively impacted total profit, primarily due to foreign exchange derivative losses, fair value changes, and increased asset impairment Non-Core Business Gains and Losses | Item | Amount (yuan) | Proportion of Total Profit | Reason for Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment income | -13,629,697.63 | -10.25% | Primarily due to foreign exchange financial derivatives settlement | No | | Fair value change gains/losses | 2,571,302.27 | 1.93% | Primarily due to fair value changes in foreign exchange financial derivatives | No | | Asset impairment | -7,811,818.66 | -5.88% | Primarily due to provision for inventory obsolescence | Yes | | Non-operating income | 35,290.35 | 0.03% | Primarily due to recovery of customer project compensation | No | | Non-operating expenses | 4,737,657.37 | 3.56% | Primarily due to payment of tax overdue fines | No | Analysis of Assets and Liabilities Total assets increased by 1.35%, and net assets attributable to shareholders grew by 4.79%, with shifts in accounts receivable, construction in progress, fixed assets, and long-term borrowings Significant Changes in Asset Composition | Item | Period-end Amount (yuan) | Proportion of Total Assets | Prior Year-end Amount (yuan) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary funds | 119,882,820.01 | 3.32% | 114,734,370.09 | 3.22% | 0.10% | | Accounts receivable | 547,674,185.11 | 15.16% | 493,321,481.79 | 13.84% | 1.32% | | Inventories | 478,365,091.53 | 13.24% | 486,579,177.97 | 13.65% | -0.41% | | Fixed assets | 1,845,942,860.85 | 51.10% | 1,873,412,886.64 | 52.57% | -1.47% | | Construction in progress | 123,626,390.20 | 3.42% | 87,136,821.16 | 2.44% | 0.98% | | Short-term borrowings | 610,383,743.55 | 16.90% | 593,605,114.79 | 16.66% | 0.24% | | Long-term borrowings | 353,758,247.61 | 9.79% | 407,449,483.07 | 11.43% | -1.64% | Major Overseas Assets | Specific Asset Content | Asset Scale (yuan) | Country | Proportion of Overseas Assets to Company's Net Assets | | :--- | :--- | :--- | :--- | | Kaizhong Hermann Vogt GmbH | 31,875,541.78 | Germany | 1.58% | | Vogt Umformtechnik GmbH | 92,985,105.51 | Germany | 4.61% | | Hitx Gmbh | 191,605,606.63 | Germany | 9.51% | | SMK Systeme Metall-Kunststoff-Verbundteile GmbH & Co. KG | 344,316,956.08 | Germany | 17.08% | | Kaizhong Real Estate Management Co., Ltd. | 200,312,822.22 | Germany | 9.94% | Asset Restrictions | Item | Period-end Book Value (yuan) | Type of Restriction | Reason for Restriction | | :--- | :--- | :--- | :--- | | Monetary funds | 1,552,808.51 | Frozen | Account frozen | | Notes receivable | 21,442,015.36 | Endorsed or discounted but not yet due | Bank acceptance bills endorsed or discounted but not yet due | | Accounts receivable | 35,191,116.38 | Pledged | Pledged for loans | | Inventories | 79,399,056.64 | Pledged | Pledged for loans | | Fixed assets | 779,861,207.08 | Pledged | Pledged for loans | | Intangible assets | 41,892,559.05 | Pledged | Pledged for loans | | Total | 959,338,763.02 | | | Analysis of Investment Status The company primarily engages in hedging derivative investments, totaling 9.93% of net assets, to mitigate foreign exchange risks, with no significant equity or non-equity investments - The company had no securities investments, significant equity investments, or non-equity investments during the reporting period[53] Derivative Investments for Hedging Purposes | Derivative Investment Type | Period-end Amount (10,000 yuan) | Proportion of Period-end Net Assets | | :--- | :--- | :--- | | Foreign exchange options | 20,027.25 | 9.93% | | Foreign exchange forwards | 0 | 0.00% | | Foreign exchange swaps | 0 | 0.00% | | Total | 20,027.25 | 9.93% | - The company's derivative investments are primarily for hedging, effectively mitigating foreign exchange risks, with an actual gain/loss of 3.10 million yuan[55] - The company has established a 'Financial Derivative Transaction Management System' to manage market, liquidity, and credit risks by selecting simple, liquid, and controllable instruments, and strengthening internal controls and supervision[56] Significant Asset and Equity Sales The company did not sell any significant assets or equity during the reporting period - The company did not sell any significant assets or equity during the reporting period[60][61] Analysis of Major Holding and Participating Companies Heyuan Keshun Insulation Material Co., Ltd. reported a net profit of 17.20 million yuan, and a new wholly-owned subsidiary was established with no major impact Financial Information of Major Subsidiaries | Company Name | Company Type | Main Business | Registered Capital (10,000 yuan) | Net Profit (yuan) | | :--- | :--- | :--- | :--- | :--- | | Heyuan Keshun Insulation Material Co., Ltd. | Subsidiary | R&D, production, and sales of automotive parts, wires, and cables | 1,019.592 | 17,200,209.15 | - During the reporting period, the company established a wholly-owned subsidiary, Kaizhong Technology PTE. LTD., which had no significant impact on overall operations and performance[62] Information on Structured Entities Controlled by the Company The company did not control any structured entities during the reporting period - The company did not control any structured entities during the reporting period[63] Risks Faced by the Company and Countermeasures The company addresses risks from macroeconomic fluctuations, raw material prices, exchange rates, labor costs, and business expansion through strategic adjustments, supply chain management, and financial hedging - The company faces risks from macroeconomic fluctuations and industrial policy changes, addressed by market research and technological innovation to adjust strategies[63] - Raw material price fluctuation risks are mitigated by improving supply chain management and agreeing on price adjustment mechanisms with customers[64] - Foreign exchange rate fluctuation risks are reduced by using financial derivative instruments for hedging and agreeing on exchange rate linkage adjustment mechanisms with customers[64] - Rising labor cost risks are addressed by promoting intelligent manufacturing transformation, automation, informatization projects, and lean improvements[64] - Management risks from business expansion are handled by improving management systems, internal control systems, information platforms, and reserving professional talent[65] Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company did not formulate a market value management system or disclose a valuation enhancement plan during the reporting period - The company did not formulate a market value management system or disclose a valuation enhancement plan during the reporting period[66] Implementation of the "Dual Improvement in Quality and Returns" Action Plan The company did not disclose an announcement regarding the "Dual Improvement in Quality and Returns" action plan during the reporting period - The company did not disclose an announcement regarding the 'Dual Improvement in Quality and Returns' action plan during the reporting period[66] Corporate Governance, Environment, and Society This section covers changes in governance personnel, profit distribution, employee incentive plans, environmental disclosures, and social responsibility initiatives Changes in Directors, Supervisors, and Senior Management There were no changes in the company's directors, supervisors, and senior management during the reporting period, consistent with the 2024 annual report - There were no changes in the company's directors, supervisors, and senior management during the reporting period[68] Profit Distribution and Capital Reserve Conversion to Share Capital During the Reporting Period The company proposes a cash dividend of 1.832070 yuan per 10 shares (totaling 60 million yuan) based on 327,498,270 shares, with no bonus shares or capital reserve conversion Profit Distribution Plan | Indicator | Value | | :--- | :--- | | Dividend per 10 shares (incl. tax) | 1.832070 yuan | | Share capital base for distribution plan | 327,498,270 shares | | Cash dividend amount (incl. tax) | 60,000,000.00 yuan | | Distributable profit | 546,660,436.99 yuan | | Proportion of total cash dividend to total profit distribution | 100% | - The profit distribution plan is a cash dividend, with no bonus shares or capital reserve conversion to share capital, and the total cash dividend accounts for 100% of distributable profit[69] Implementation of Company's Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans but implemented three employee stock ownership plans, funded by special incentive funds, with some participants disqualified due to resignation - The company had no equity incentive plans during the reporting period[70] Employee Stock Ownership Plans | Plan Name | Number of Employees | Total Shares Held (shares) | Proportion of Listed Company's Total Share Capital | Source of Funds for Implementation | | :--- | :--- | :--- | :--- | :--- | | 2024 Employee Stock Ownership Plan | 110 | 1,541,300 | 0.53% | Special incentive fund extracted by the company for 2024 (within employee compensation scope) | | 2024 Second Employee Stock Ownership Plan | 110 | 1,110,800 | 0.34% | Special incentive fund extracted by the company for 2025 and other funds raised as permitted by laws and regulations (if any) (within employee compensation scope) | | 2025 Employee Stock Ownership Plan | 160 | 308,000 | 0.09% | Special incentive fund extracted by the company for 2026 and other funds raised as permitted by laws and regulations (if any) (within employee compensation scope) | - During the reporting period, some participants in the employee stock ownership plan were disqualified due to resignation, with their shares handled by the management committee[72] Environmental Information Disclosure The company and its Bao'an branch are listed as enterprises required to disclose environmental information, which is publicly available through national and provincial platforms - The company and its Bao'an branch are included in the list of enterprises required to disclose environmental information by law[73] - The company discloses environmental information through the National Pollutant Discharge Permit Management Information Platform and the Enterprise Environmental Information Disclosure System (Guangdong)[73] Social Responsibility The company actively fulfills social responsibilities, having disclosed its 2024 ESG report and contributed to local employment and rural revitalization through its Heyuan industrial base - The company has disclosed its 2024 Environmental, Social, and Governance (ESG) report[74] - By investing in and building a new energy vehicle component intelligent manufacturing industrial base in Heyuan City, the company has promoted local industrial upgrading and created 515 job opportunities, contributing to rural revitalization[74] Significant Matters This section details commitments, related party transactions, litigation, penalties, and other significant events affecting the company Commitments The company had no commitments fulfilled or overdue by its actual controller, shareholders, related parties, acquirers, or the company itself during the reporting period - The company had no commitments fulfilled or overdue by its actual controller, shareholders, related parties, acquirers, or the company itself during the reporting period[76] Non-Operating Funds Occupied There were no non-operating funds occupied by controlling shareholders or other related parties from the listed company during the reporting period - There were no non-operating funds occupied by controlling shareholders or other related parties from the listed company during the reporting period[77] Irregular External Guarantees The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[78] Appointment and Dismissal of Accounting Firms The company's semi-annual report was not audited - The company's semi-annual report was not audited[79] Board of Directors' and Supervisory Board's Explanations on 'Non-Standard Audit Reports' The company had no non-standard audit reports during the reporting period - The company had no non-standard audit reports during the reporting period[80] Board of Directors' Explanations on 'Non-Standard Audit Reports' for the Previous Year The company had no non-standard audit report related matters for the previous year during the reporting period - The company had no non-standard audit report related matters for the previous year during the reporting period[80] Bankruptcy Reorganization Matters The company had no bankruptcy reorganization matters during the reporting period - The company had no bankruptcy reorganization matters during the reporting period[80] Litigation Matters The company had no significant litigation or arbitration, but other ongoing lawsuits totaling 38.61 million yuan have formed provisions and are not expected to have a major impact - The company had no significant litigation or arbitration matters during the reporting period[81] Other Litigation Matters | Basic Information of Litigation (Arbitration) | Amount Involved (10,000 yuan) | Provision for Liabilities Formed | Progress of Litigation (Arbitration) | Outcome and Impact of Litigation (Arbitration) | | :--- | :--- | :--- | :--- | :--- | | Total amount involved in other litigation not meeting significant disclosure standards | 3,861.19 | Yes | Not yet concluded, total amount involved is 3,132.49 million yuan | No significant impact | Penalties and Rectification The company had no penalties or rectification matters during the reporting period - The company had no penalties or rectification matters during the reporting period[83] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller There were no integrity issues concerning the company, its controlling shareholder, or actual controller during the reporting period - There were no integrity issues concerning the company, its controlling shareholder, or actual controller during the reporting period[84] Significant Related Party Transactions The company had no significant related party transactions or financial dealings with related financial companies during the reporting period - The company had no related party transactions related to daily operations, asset/equity acquisitions/disposals, joint external investments, related party debt/credit, or other significant related party transactions during the reporting period[84][85][86][87][90] - There were no deposits, loans, credit lines, or other financial transactions between the company and related financial companies[88][89] Significant Contracts and Their Performance The company had no major contracts for entrustment, contracting, leasing, or wealth management, but provided 230.22 million yuan in guarantees to subsidiaries, representing 19.12% of net assets - The company had no entrustment, contracting, leasing, wealth management, or other significant contracts during the reporting period[91][92][93][97][98] Company Guarantees for Subsidiaries | Name of Guaranteed Party | Guarantee Limit (10,000 yuan) | Actual Guarantee Amount (10,000 yuan) | Type of Guarantee | Guarantee Period | Fulfilled | | :--- | :--- | :--- | :--- | :--- | :--- | | Heyuan Kaizhong Precision Manufacturing Technology Co., Ltd. | 60,000 | 17,920.73 | Joint and several liability guarantee | October 18, 2019, until the fulfillment of the principal debt | No | | Huizhou Kaizhong Precision Technology Co., Ltd. | 37,800 | 5,101.57 | Joint and several liability guarantee | Until three years after the expiration of the debt performance period | No | | Shenzhen Kaizhong Zehua Commutator Co., Ltd. | 8,500 | 0 | Joint and several liability guarantee | Until three years after the expiration of the debt performance period | Yes | | Shenzhen Kainan Intelligent Equipment Co., Ltd. | 3,200 | 0 | Joint and several liability guarantee | Until three years after the expiration of the debt performance period | Yes | | Total actual guarantee balance for subsidiaries at period-end | | 23,022.3 | | | | | Proportion of total actual guarantee to company's net assets | | | | | 19.12% | Explanation of Other Significant Matters The company had no other significant matters requiring explanation during the reporting period - The company had no other significant matters requiring explanation during the reporting period[99] Significant Matters of Company Subsidiaries The company had no significant matters concerning its subsidiaries during the reporting period - The company had no significant matters concerning its subsidiaries during the reporting period[100] Share Changes and Shareholder Information This section details changes in share capital, shareholder numbers, top shareholders, and shareholding changes of directors, supervisors, and senior management Share Capital Changes Total share capital remained at 328,368,949 shares, with restricted shares decreasing by 220,800 (0.07%) and unrestricted shares increasing by the same amount Share Capital Changes | Share Type | Quantity Before Change (shares) | Proportion Before Change | Increase/Decrease in Change (shares) | Quantity After Change (shares) | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 109,671,452 | 33.40% | -220,800 | 109,450,652 | 33.33% | | Of which: Shares held by domestic natural persons | 2,298,943 | 0.70% | -220,800 | 2,078,143 | 0.63% | | II. Unrestricted Shares | 218,697,497 | 66.60% | 220,800 | 218,918,297 | 66.67% | | III. Total Shares | 328,368,949 | 100.00% | 0 | 328,368,949 | 100.00% | Changes in Restricted Shares | Shareholder Name | Restricted Shares at Period Start (shares) | Shares Released from Restriction During Period (shares) | Restricted Shares at Period End (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | | Senior management locked-up shares | 109,671,452 | 220,800 | 109,450,652 | Senior management locked-up shares | Issuance and Listing of Securities The company had no securities issuance or listing during the reporting period - The company had no securities issuance or listing during the reporting period[105] Number of Shareholders and Shareholding Information As of the period-end, there were 34,165 common shareholders; Zhang Haoyu (23.58%) and Wu Ying (18.03%) are top shareholders and concerted parties, with Wu Ying's 16,954,020 shares pledged - As of the end of the reporting period, the total number of common shareholders was 34,165[106] Shareholding of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Proportion | Shares Held at Period End (shares) | Restricted Shares Held (shares) | Unrestricted Shares Held (shares) | Pledged, Marked, or Frozen Status (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Zhang Haoyu | Overseas natural person | 23.58% | 77,428,676 | 58,071,507 | 19,357,169 | 0 | | Wu Ying | Overseas natural person | 18.03% | 59,197,241 | 49,301,002 | 9,896,239 | 16,954,020 (Pledged) | | China Construction Bank Trust No. 12860 | Other | 1.99% | 6,537,428 | 0 | 6,537,428 | 0 | | Song Wenguang | Domestic natural person | 0.80% | 2,613,500 | 0 | 2,613,500 | 0 | | Industrial and Commercial Bank of China - Southern High-End Equipment Flexible Allocation Mixed Securities Investment Fund | Other | 0.71% | 2,341,470 | 0 | 2,341,470 | 0 | | Xinjiang Pingyang Industrial Group Co., Ltd. | Domestic non-state-owned legal person | 0.70% | 2,311,195 | 0 | 2,311,195 | 0 | | Luo Xiaoming | Domestic natural person | 0.62% | 2,032,718 | 0 | 2,032,718 | 0 | | Jiang Genqing | Domestic natural person | 0.56% | 1,833,700 | 0 | 1,833,700 | 0 | | Jin Zhangrong | Domestic natural person | 0.56% | 1,829,700 | 0 | 1,829,700 | 0 | | Wu Qi | Domestic natural person | 0.48% | 1,568,359 | 1,176,269 | 392,090 | 0 | - Wu Ying and Zhang Haoyu are spouses, and together with China Construction Bank Trust No. 12860, they form a concerted action relationship; Wu Qi is Wu Ying's sister[107] Changes in Shareholdings of Directors, Supervisors, and Senior Management Total shareholdings of directors, supervisors, and senior management decreased from 145,881,602 to 139,331,075 shares, mainly due to Ms. Wu Ying's transfer of 6,537,428 shares Changes in Shareholdings of Directors, Supervisors, and Senior Management | Name | Position | Shares Held at Period Start (shares) | Shares Increased During Period (shares) | Shares Decreased During Period (shares) | Shares Held at Period End (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | | Zhang Haoyu | Chairman, General Manager | 77,428,676 | 0 | 0 | 77,428,676 | | Wu Ying | Director | 65,734,669 | 0 | 6,537,428 | 59,197,241 | | Wu Qi | Director | 1,568,359 | 0 | 0 | 1,568,359 | | Yu Xiaoyun | Director | 29,961 | 0 | 0 | 29,961 | | Yao Kefu | Director | 0 | 0 | 0 | 0 | | An Jiawei | Director | 3,392 | 0 | 0 | 3,392 | | Liu Xiangqing | Independent Director | 0 | 0 | 0 | 0 | | Feng Yan | Independent Director | 0 | 0 | 0 | 0 | | Wang Chengyi | Independent Director | 0 | 0 | 0 | 0 | | Ye Qianru | Chairperson of Supervisory Board | 118,560 | 0 | 0 | 118,560 | | Leng Wenguang | Supervisor | 0 | 0 | 0 | 0 | | Ming Yao | Employee Representative Supervisor | 0 | 0 | 0 | 0 | | Ma Chaomeng | Deputy General Manager | 61,200 | 105,600 | 0 | 166,800 | | Wang Chengbin | Deputy General Manager | 207,484 | 0 | 0 | 207,484 | | Chen Lei | Deputy General Manager | 510,508 | 0 | 118,699 | 391,809 | | Wang Jianping | Deputy General Manager | 207,484 | 0 | 0 | 207,484 | | Qin Rong | Deputy General Manager, Board Secretary, CFO | 11,309 | 0 | 0 | 11,309 | | Total | | 145,881,602 | 105,600 | 6,656,127 | 139,331,075 | - Ms. Wu Ying transferred 6,537,428 shares of the company to her concerted action party, China Construction Bank Trust No. 12860[108] Changes in Controlling Shareholder or Actual Controller The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder and actual controller remained unchanged during the reporting period[109] Preferred Share Information The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[110] Bond-Related Information This section confirms that the company had no bond-related matters during the reporting period Bond-Related Information The company had no bond-related matters during the reporting period - The company had no bond-related matters during the reporting period[112] Financial Report This section presents the company's unaudited semi-annual financial statements, including balance sheets, income statements, cash flow statements, and detailed notes on accounting policies and items Audit Report The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[114] Financial Statements This section provides the company's H1 2025 consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity - Financial statements include consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity[115] Company Basic Information Shenzhen Kaizhong Precision Technology Co., Ltd., established in 2009, has a registered capital of 328.37 million yuan and specializes in precision components - The company's registered capital is 328.37 million yuan, with a total of 328.37 million shares, listed on the Shenzhen Stock Exchange on November 24, 2016[148] - The company's main business is the R&D, production, and sales of core precision components, falling under the electrical machinery and equipment manufacturing industry[148] Basis of Financial Statement Preparation The company's financial statements are prepared on a going concern basis, with no significant doubts about its ability to continue operations for the next 12 months - The company's financial statements are prepared on a going concern basis[149] - There are no matters or circumstances that would cause significant doubt about the company's ability to continue as a going concern for 12 months from the end of the reporting period[150] Significant Accounting Policies and Estimates This section details 44 key accounting policies and estimates, including revenue recognition, financial instruments, and fixed assets, ensuring transparency and compliance with accounting standards - The company's financial statements comply with enterprise accounting standards, accurately and completely reflecting its financial position[152] - The company has formulated specific accounting policies and estimates for financial instrument impairment, inventories, fixed asset depreciation, intangible assets, and revenue recognition based on its operational characteristics[151] - For financial instrument impairment, the company assesses impairment and recognizes loss provisions for various financial assets based on expected credit losses[168] - The company's revenue recognition principles are based on identifying distinct performance obligations and recognizing revenue as performance obligations are satisfied over time or at a point in time[199][200][201] Taxation The company's main taxes include VAT, urban maintenance tax, and corporate income tax, with various preferential tax policies for high-tech and small-profit enterprises Major Taxes and Tax Rates | Tax Type | Tax Rate | | :--- | :--- | | Value-added tax | 13%, 9%, 5%, 3% | | Urban maintenance and construction tax | 7%, 5% | | Enterprise income tax | 15%, 20%, 8.25%, 16.5% | | Property tax | 1.20%, 12% | | Land use tax | 2 yuan/sqm | | Education surcharge | 3% | | Local education surcharge | 2% | - The company and Heyuan Keshun are recognized as high-tech enterprises, enjoying a reduced enterprise income tax rate of 15%[215] - Subsidiaries Kaizhong Real Estate, Shanghai Kaizhong, and Heyuan Hongding are small-profit enterprises, benefiting from income tax preferential policies where the portion of annual taxable income not exceeding 3 million yuan is taxed at 20% after being reduced by 25%[216] - Hong Kong subsidiaries Kaizhong Hong Kong, Hong Kong Ruixi, and Kaizhong Precision Hong Kong pay profits tax at 8.25%/16.5% based on their profit levels[215] Notes to Consolidated Financial Statement Items This section provides detailed notes on consolidated financial statement items, including balances and changes in assets, liabilities, equity, revenue, costs, and expenses Composition of Monetary Funds | Item | Period-end Balance (yuan) | Period-start Balance (yuan) | | :--- | :--- | :--- | | Cash on hand | 37,889.09 | 27,928.54 | | Bank deposits | 117,777,512.78 | 114,018,790.47 | | Other monetary funds | 2,067,418.14 | 687,651.08 | | Total | 119,882,820.01 | 114,734,370.09 | | Of which: Total funds deposited overseas | 85,020,378.97 | 92,451,355.99 | - At the end of the reporting period, the company's derivative financial assets primarily consisted of foreign exchange derivatives, with a period-end balance of 7,019,455.52 yuan[221] - At the end of the reporting period, the book value of the company's accounts receivable was 547,674,185.11 yuan, with a bad debt provision rate of 5.09%[230] - At the end of the reporting period, the book value of the company's inventories was 478,365,091.53 yuan, with a total provision for inventory depreciation and contract performance cost impairment of 21,303,364.15 yuan[262] - At the end of the reporting period, the book value of the company's fixed assets was 1,845,942,860.85 yuan, with accumulated depreciation of 1,618,677,917.56 yuan[270][273] - At the end of the reporting period, the company's goodwill had an original book value of 107,289,352.95 yuan, with a goodwill impairment provision of 84,025,457.81 yuan[288][290] - At the end of the reporting period, the company's short-term borrowings totaled 610,383,743.55 yuan, primarily consisting of credit loans and pledged loans[313] - During the reporting period, the company's operating revenue was 1,430,010,887.62 yuan, and operating cost was 1,149,845,755.76 yuan[362] - During the reporting period, the company's financial expenses were 4,940,508.34 yuan, a significant year-on-year decrease of 87.85%, mainly due to reduced interest expenses and foreign exchange gains/losses[374] - During the reporting period, the company's investment income was -13,629,697.63 yuan, primarily due to losses from the disposal of foreign exchange financial derivatives[380] Research and Development Expenses Total R&D expenditure for the period was 36.96 million yuan, entirely expensed, primarily comprising salaries, depreciation, tooling, and material consumption R&D Expense Composition | Item | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Salaries, welfare, and social insurance | 23,738,566.26 | 24,734,951.80 | | Depreciation, amortization, and renovation expenses | 2,840,652.92 | 3,327,296.89 | | Parts and tooling expenses | 1,901,768.20 | 2,530,870.80 | | Material consumption | 4,593,274.17 | 7,415,053.04 | | Sample mold expenses | 82,638.67 | 899,982.92 | | Rent, utilities, and property management fees | 843,608.34 | 785,018.18 | | Equipment leasing and maintenance fees | 1,499,900.38 | 1,401,778.31 | | Business entertainment and travel expenses | 112,952.12 | 244,543.22 | | Testing and routine maintenance fees | 587,450.79 | 336,444.50 | | Office, communication, and postage fees | 47,937.41 | 62,366.39 | | Other | 712,452.62 | 366,057.22 | | Total | 36,961,201.88 | 42,104,363.27 | | Of which: Expensed R&D expenditures | 36,961,201.88 | 42,104,363.27 | - During the reporting period, all of the company's R&D expenditures were expensed, with no R&D projects meeting capitalization criteria[417][418] Changes in Consolidation Scope The company's consolidation scope expanded with the establishment of a wholly-owned subsidiary, Kaizhong Technology PTE. LTD., on April 16, 2025 - During the reporting period, the company's consolidation scope expanded with the establishment of a wholly-owned subsidiary, Kaizhong Technology PTE. LTD. (Kaizhong Singapore), on April 16, 2025, with a 100% equity interest[419][422] Interests in Other Entities The company holds interests in 22 subsidiaries, including Heyuan Keshun as a non-wholly-owned entity, with diverse business activities - The company has 22 subsidiaries, with business activities spanning trade, manufacturing, leasing and business services, and investment[420][422] - Heyuan Keshun is a non-wholly-owned subsidiary, with the company holding 44.28% directly and 55.72% indirectly[422] Government Grants Government grants primarily relate to deferred income, with a period-end balance of 87.31 million yuan, including 4.86 million yuan in new grants and 7.22 million yuan recognized as other income Liability Items Related to Government Grants | Accounting Account | Period-start Balance (yuan) | New Grants During Period (yuan) | Amount Transferred to Other Income During Period (yuan) | Period-end Balance (yuan) | Asset/Income Related | | :--- | :--- | :--- | :--- | :--- | :--- | | Deferred income | 89,674,206.26 | 4,860,000.00 | 7,220,046.30 | 87,314,159.96 | Asset-related | Government Grants Recognized in Current Profit/Loss | Accounting Account | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Other income | 10,743,253.32 | 11,199,319.80 | Risks Related to Financial Instruments The company manages credit, liquidity, and market risks (interest rate and foreign exchange) through credit assessment, diversification, financing optimization, and financial derivatives - The company faces credit risk, liquidity risk, and market risk (interest rate risk and foreign exchange risk)[429] - Credit risk is managed through customer credit assessment, monitoring accounts receivable balances, and diversifying customers, with the top five customers accounting for 17.82% of accounts receivable[431][432] - Liquidity risk is controlled by comprehensively utilizing various financing methods such as bill settlement and bank loans, while maintaining an appropriate mix of long-term and short-term financing[432] - Foreign exchange risk is managed by buying and selling foreign currencies when necessary and using financial derivative instruments for hedging[433] Fair Value Disclosure Total assets continuously measured at fair value were 104.90 million yuan at period-end, mainly comprising Level 2 derivative financial assets and Level 3 equity instrument investments and accounts receivable financing Period-end Fair Value of Assets and Liabilities Measured at Fair Value | Item | Period-end Fair Value (yuan) | Measurement Level | | :--- | :--- | :--- | | Derivative financial assets | 7,019,455.52 | Level 2 | | Other equity instrument investments | 86,345,000.00 | Level 3 | | Accounts receivable financing | 11,532,146.53 | Level 3 | | Total assets continuously measured at fair value | 104,896,602.05 | | Related Parties and Related Party Transactions Wu Ying and Zhang Haoyu are the ultimate controlling parties; no significant related party transactions occurred during the period, and prior guarantees by them were released - The company's ultimate controlling parties are Wu Ying and Zhang Haoyu[442] - During the reporting period, the company had no related party transactions involving goods/services, entrusted/contracted management, leasing, fund borrowing, asset transfers/debt restructuring, or other related party transactions[448][453] - Zhang Haoyu and Wu Ying previously provided a guarantee of 186,797,300.00 yuan for the company, which was released on March 31, 2025[446][449] Share-Based Payments The company had no share-based payment arrangements during the reporting period - The company had no share-based payment arrangements during the reporting period[450] Commitments and Contingencies As of the balance sheet date, the company had no significant commitments or contingencies requiring disclosure - As of the balance sheet date, the company had no significant commitments requiring disclosure[450] - The company had no significant contingencies requiring disclosure[451][452] Events After the Balance Sheet Date No significant non-adjusting events or sales returns occurred after the balance sheet date, but a cash dividend of 60 million yuan is proposed - The company had no significant non-adjusting events, sales returns, or other events after the balance sheet date[454][455] Profit Distribution Information | Indicator | Value | | :--- | :--- | | Proposed dividend per 10 shares (yuan) | 1.832070 | | Proposed bonus shares per 10 shares (shares) | 0 | | Proposed capital reserve conversion per 10 shares (shares) | 0 | | Approved and declared dividend per 10 shares (yuan) | 1.832070 | | Approved and declared bonus shares per 10 shares (shares) | 0 | | Approved and declared capital reserve conversion per 10 shares (shares) | 0 | | Profit distribution plan | Based on a total share capital of 328,368,949 shares minus 870,679 shares repurchased in securities accounts, i.e., 327,498,270 shares, a cash dividend of 1.832070 yuan (including tax) per 10 shares will be distributed to all shareholders, totaling 60,000,000.00 yuan, with no bonus shares or capital reserve conversion to share capital. | Other Significant Matters The company defines reporting segments by region and had no prior period accounting error corrections, debt restructurings, or other significant events - The company determines its reporting segments based on geographical divisions[456] - There were no prior period accounting error corrections, debt restructurings, asset exchanges, annuity plans, discontinued operations, or other significant matters during the reporting period[457] Notes to Parent Company Financial Statement Major Items This section details the parent company's accounts receivable (420.83 million yuan, 54.74% from related parties), other receivables, and long-term equity investments (800.79 million yuan) Parent Company Accounts Receivable by Bad Debt Provision Method | Category | Period-end Book Balance (yuan) | Proportion | Bad Debt Provision (yuan) | Provision Rate | | :--- | :--- | :--- | :--- | :--- | | Accounts receivable for which bad debt provision is made by portfolio | 430,593,691.97 | 100.00% | 9,762,460.66 | 2.27% | | Of which: Related party portfolio within consolidation scope | 235,719,628.74 | 54.74% | 0 | 0.00% | | Aging portfolio | 194,874,063.23 | 45.26% | 9,762,460.66 | 5.01% | Parent Company Other Receivables by Nature of Funds | Nature of Funds | Period-end Book Balance (yuan) | Period-start Book Balance (yuan) | | :--- | :--- | :--- | | Related parties within consolidation scope | 720,251,748.36 | 648,850,089.86 | | Employee loans | 62,527.81 | 27,976.20 | | Deposits, guarantees | 613,472.32 | 613,472.32 | | Other | 3,990,262.72 | 4,797,101.82 | | Total | 724,918,011.21 | 654,288,640.20 | - The parent company's long-term equity investments primarily consist of investments in subsidiaries, with a period-end book value of 800,786,335.27 yuan[486] - The parent company's operating revenue for the current period was 1,003,881,992.20 yuan, and operating cost was 828,527,015.60 yuan[491] - The parent company's investment income for the current period was -13,629,697.63 yuan, mainly from derivative financial products[493] Supplementary Information This section provides supplementary information, including a non-recurring gains and losses statement (-6.40 million yuan), weighted average return on net assets (5.69%), and basic earnings per share (0.38 yuan/share) Current Period Non-Recurring Gains and Losses Details | Item | Amount (yuan) | | :--- | :--- | | Disposal gains/losses of non-current assets | -390,428.84 | | Government grants recognized in current profit/loss | 8,383,722.25 | | Fair value changes and disposal gains/losses of financial assets and liabilities | -11,058,395.36 | | Other non-operating income and expenses | -4,311,938.18 | | Less: Income tax impact | -974,344.67 | | Total | -6,402,695.46 | Return on Net Assets and Earnings Per Share | Profit for the Reporting Period | Weighted Average Return on Net Assets | Basic Earnings Per Share (yuan/share) | Diluted Earnings Per Share (yuan/share) | | :--- | :--- | :--- | :--- | | Net profit attributable to ordinary shareholders of the company | 5.69% | 0.38 | 0.38 | | Net profit attributable to ordinary shareholders of the company after deducting non-recurring gains/losses | 6.01% | 0.40 | 0.40 | - The company reported no differences in accounting data under domestic and overseas accounting standards during the reporting period[498] Other Submitted Data This section covers other significant social security issues, investor relations activities, and fund transactions with controlling shareholders and related parties Other Significant Social Security Issues The company and its subsidiaries had no other significant social security issues or administrative penalties during the reporting period - The company and its subsidiaries had no other significant social security issues or administrative penalties during the reporting period[501] Registration Form for Investor Relations Activities During the Reporting Period On April 29, 2025, the company hosted investors via an online platform, with details available in the disclosed 'Investor Relations Activity Record Form dated April 29, 2025' - On April 29, 2025, the company hosted investors via an online platform, with details available in the disclosed 'Investor Relations Activity Record Form dated April 29, 2025'[501] Fund Transactions Between Listed Company and Controlling Shareholder and Other Related Parties At period-end, non-operating fund transactions with controlling shareholders and related parties totaled 720.25 million yuan, with significant balances from several subsidiaries Fund Transactions Between Listed Company and Controlling Shareholder and Other Related Parties | Counterparty Name | Nature of Transaction | Period-start Balance (10,000 yuan) | Amount Incurred During Period (10,000 yuan) | Amount Repaid During Period (10,000 yuan) | Period-end Balance (10,000 yuan) | Interest Income (10,000 yuan) | Interest Expense (10,000 yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Kaizhong Germany GmbH | Non-operating transaction | 18,393.86 | 1,528.37 | 0 | 20,302.89 | 380.66 | 0 | | Heyuan Kaizhong Precision Manufacturing Technology Co., Ltd. | Non-operating transaction | 14,790.69 | 81,001.97 | 73,003.23 | 22,789.43 | 0 | 0 | | Shenzhen Kainan Intelligent Equipment Co., Ltd. | Non-operating transaction | 379.3 | 474.45 | 831.47 | 22.28 | 0 | 0 | | Kaizhong Precision (Shanghai) Technology Co., Ltd. | Non-operating transaction | 1.1 | 0.94 | 0 | 2.04 | 0 | 0 | | Heyuan Hongding Machinery Equipment Manufacturing Co., Ltd. | Non-operating transaction | 0.03 | 0 | 0 | 0.03 | 0 | 0 | | Changsha Kaizhong Electrical Technology Co., Ltd. | Non-operating transaction | 1,871.12 | 13,011.05 | 12,580.93 | 2,301.24 | 0 | 0 | | Shenzhen Kaizhong Zehua Commutator Co., Ltd. | Non-operating transaction | 2.68 | 1,715.92 | 663.7 | 1,054.9 | 0 | 0 | | Heyuan Keshun Insulation Material Co., Ltd. | Non-operating transaction | 9,881.03 | 2,317.81 | 6,762.07 | 5,436.77 | 0 | 0 | | Shenzhen Kaizhong Hedong New Material Co., Ltd. | Non-operating transaction | 31.37 | 82.63 | 67.03 | 46.97 | 0 | 0 | | Ruixi Electromechanical (Dongguan) Co., Ltd. | Non-operating transaction | 0.1 | 83.91 | 68.38 | 15.63 | 0 | 0 | | Huizhou Kaizhong Precision Technology Co., Ltd. | Non-operating transaction | 19,533.73 | 40,504.39 | 39,985.12 | 20,053 | 0 | 0 | | Total | | 64,885.01 | 140,721.44 | 133,961.93 | 72,025.18 | 380.66 | 0 |