乐惠国际(603076) - 2025 Q2 - 季度财报

Section I: Definitions Common Term Definitions This chapter defines common terms used in the report, including company names, business segments (equipment and craft brewing), and key activities, to ensure clear understanding of the content | Common Term | Meaning | | :--- | :--- | | Company, The Company, Lehui International | Ningbo Lehui International Engineering Equipment Co., Ltd | | Nanjing Lehui | Nanjing Lehui Fennerch Packaging Machinery Co., Ltd | | Equipment Segment | The company's main business, primarily including beer brewing and filling equipment, beverage pre-treatment and filling machinery, and dairy filling machinery | | Craft Brewing Segment | The company's main business, primarily including fresh beer production and sales | | CSRC | China Securities Regulatory Commission | Section II: Company Profile and Key Financial Indicators I. Company Information This section outlines the company's basic identification details, including its Chinese name, abbreviation, legal representative, and contact information for key personnel | Indicator | Content | | :--- | :--- | | Company Chinese Name | Ningbo Lehui International Engineering Equipment Co., Ltd | | Company Chinese Abbreviation | Lehui International | | Company Legal Representative | Huang Yuening | | Board Secretary | Xu Litao | | Securities Affairs Representative | Hu Haiyun | III. Brief Introduction to Changes in Basic Information This section details the company's registered and office addresses, including historical changes to the registered address, ensuring transparency of geographical information | Indicator | Content | | :--- | :--- | | Company Registered Address | No. 1 Chaohui Road, Xizhou Town, Xiangshan County, Ningbo City, Zhejiang Province | | Historical Changes to Company Registered Address | Xiangxi Electromechanical Industrial Park, Xizhou Town, Xiangshan County, Ningbo City, Zhejiang Province | | Company Office Address | No. 1 Chaohui Road, Xizhou Town, Xiangshan County, Ningbo City | | Company Website | www.lehui.com | | Email Address | international@lehui.com | IV. Brief Introduction to Changes in Information Disclosure and Document Storage Locations This section specifies the official newspaper, designated website, and storage location for the semi-annual report, ensuring timely access to public company information for investors | Indicator | Content | | :--- | :--- | | Name of Newspaper Selected by the Company for Information Disclosure | Securities Times | | Website Address for Semi-Annual Report Publication | Shanghai Stock Exchange (www.sse.com.cn) | | Storage Location for Company's Semi-Annual Report | Legal and Securities Department, No. 1 Chaohui Road, Xizhou Town, Xiangshan County, Ningbo City, Zhejiang Province | V. Company Stock Overview This section provides essential information about the company's stock, including its type, listing exchange, stock abbreviation, and code, for investor identification and trading | Stock Type | Stock Listing Exchange | Stock Abbreviation | Stock Code | | :--- | :--- | :--- | :--- | | A-share | Shanghai Stock Exchange | Lehui International | 603076 | VII. Company's Key Accounting Data and Financial Indicators This section presents the company's key accounting data and financial indicators for the first half of 2025, comparing them with the prior year and explaining significant changes in net profit, total profit, and cash flows Key Accounting Data (Consolidated Statements) | Indicator | Current Reporting Period (Jan-Jun) (RMB) | Prior Year Period (RMB) | Change from Prior Year Period (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 615,508,438.22 | 670,598,646.85 | -8.22 | | Total Profit | 29,315,002.51 | 36,364,572.06 | -19.39 | | Net Profit Attributable to Shareholders of the Listed Company | 25,636,403.65 | 22,219,069.20 | 15.38 | | Net Profit Attributable to Shareholders of the Listed Company After Deducting Non-Recurring Gains and Losses | 18,366,561.90 | 13,831,206.16 | 32.79 | | Net Cash Flow from Operating Activities | 107,603,102.73 | 167,272,279.42 | -35.67 | | Net Cash Flow from Investing Activities | -58,839,141.65 | -151,521,705.19 | 61.17 | | Net Cash Flow from Financing Activities | -186,399,740.51 | -55,504,372.76 | -235.83 | Key Financial Indicators | Key Financial Indicator | Current Reporting Period (Jan-Jun) | Prior Year Period | Change from Prior Year Period (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | 0.21 | 0.18 | 16.67 | | Diluted Earnings Per Share (RMB/share) | 0.21 | 0.18 | 16.67 | | Basic Earnings Per Share After Deducting Non-Recurring Gains and Losses (RMB/share) | 0.15 | 0.11 | 36.36 | | Weighted Average Return on Net Assets (%) | 1.98 | 1.68 | Increased by 0.30 percentage points | | Weighted Average Return on Net Assets After Deducting Non-Recurring Gains and Losses (%) | 1.42 | 1.05 | Increased by 0.37 percentage points | - Net profit attributable to shareholders after deducting non-recurring gains and losses increased by 32.79% year-on-year, primarily due to the gradual turnaround of the craft fresh beer segment[21] - Total profit decreased by 19.39% year-on-year, and net cash flow from operating activities decreased by 35.67%, mainly due to fluctuations in acceptance milestones for equipment segment projects during the reporting period[21] - Net cash flow from investing activities increased by 61.17% year-on-year, primarily due to the recovery of principal and returns from bank wealth management products; net cash flow from financing activities decreased by 235.83% year-on-year, mainly due to proactive repayment of bank loans and shareholder cash dividends during the reporting period[21] IX. Non-Recurring Gains and Losses Items and Amounts This section details the non-recurring gains and losses items and their amounts for the reporting period, totaling RMB 7.2698 million, primarily including government grants, fair value changes of financial assets, and disposal gains/losses of non-current assets Non-Recurring Gains and Losses Items and Amounts | Non-Recurring Gains and Losses Item | Amount (RMB) | | :--- | :--- | | Gains or losses from disposal of non-current assets, including the write-off portion of asset impairment provisions | 119,299.63 | | Government grants recognized in current profit or loss, excluding those closely related to the company's normal business operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit or loss | 8,481,021.84 | | Gains or losses from changes in fair value of financial assets and financial liabilities, and investment income from disposal of financial assets and financial liabilities, excluding effective hedging activities related to the company's normal business operations | 2,710,658.67 | | Other non-operating income and expenses apart from the above | -1,980,809.07 | | Less: Income tax impact | 1,144,160.74 | | Minority interest impact (after tax) | 916,168.58 | | Total | 7,269,841.75 | Section III: Management Discussion and Analysis I. Explanation of the Company's Industry and Main Business Operations During the Reporting Period The company's main business involves R&D, production, and manufacturing of liquid food equipment, covering beer, beverage, and dairy packaging, with craft beer as a secondary focus aiming for a national distributed supply chain - The company's main business falls under the specialized equipment manufacturing industry for food, alcohol, beverages, and tea production (C3531) and the specialized packaging equipment manufacturing industry (C3467), with main products including beer equipment, beverage machinery, and dairy packaging equipment[27] - The company has established its craft beer business ("Fresh Beer 30KM") as a secondary core business, building urban craft fresh beer breweries to create a national distributed supply chain, with this business belonging to the beer manufacturing industry (C1513)[27][28] II. Discussion and Analysis of Operations During the reporting period, the company's operating revenue decreased by 8.22% year-on-year, but net profit attributable to listed company shareholders increased by 15.38%, with the craft beer segment significantly reducing losses Overall Company Operating Performance | Indicator | Current Reporting Period (Jan-Jun) (RMB 10,000) | Prior Year Period (RMB 10,000) | Change from Prior Year Period (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 61,550.84 | 67,059.86 | -8.22 | | Net Profit Attributable to Listed Company | 2,563.64 | 2,221.91 | 15.38 | | Equipment Segment Net Profit | 3,544.95 | 5,557.00 | -36.22 | | Fresh Beer 30KM Craft Brewing Segment Revenue | 8,279.33 | 7,616.68 | 8.70 | | Fresh Beer 30KM Craft Brewing Segment Net Loss | 1,134.36 | 3,240.14 | -64.99 (Loss Reduction) | - The Fresh Beer 30KM craft brewing segment achieved an EBITDA of RMB 7.1973 million, reaching the strategic goal of cash flow breakeven[30] 2. Equipment Segment The equipment segment grew steadily with RMB 774 million in new orders, a 36.51% increase, and RMB 2.444 billion in outstanding orders, while advancing beer equipment technology and expanding packaging machinery - The equipment segment secured RMB 774 million in new orders in the first half of 2025, a 36.51% year-on-year increase[29] - As of the end of the reporting period, the equipment segment's cumulative outstanding orders reached RMB 2.444 billion, an increase of 9.74% compared to December 31, 2024[29] - The beer equipment segment continues to commercialize patented technologies, such as soil-free filtration and super-large filter presses, and implements 2.0 technology upgrades for core products like full-beer fermentation tanks, wet crushers, and filter tanks[29] - The baijiu and spirits segment received RMB 40.3105 million in orders during the first half, with orders declining due to the overall industry environment[29] - The packaging machinery segment experienced rapid growth, with the company being China's first aseptic line manufacturer and a drafter of aseptic packaging line industry standards[29] 3. Fresh Beer 30KM Craft Brewing Segment The Fresh Beer 30KM segment achieved RMB 82.7933 million in revenue, an 8.7% increase, and significantly reduced net loss by 64.99% to RMB 11.3436 million, reaching cash flow breakeven through channel expansion and operational efficiency Fresh Beer 30KM Craft Brewing Segment Operating Performance | Indicator | Current Reporting Period (Jan-Jun) | Prior Year Period | Change from Prior Year Period (%) | | :--- | :--- | :--- | :--- | | Revenue (RMB 10,000) | 8,279.33 | 7,616.68 | 8.70 | | Net Loss (RMB 10,000) | 1,134.36 | 3,240.14 | -64.99 (Loss Reduction) | | Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) (RMB 10,000) | 719.73 | -1,386.05 | Turned Loss into Profit | - Fresh Beer 30KM maintains partnerships with chain supermarkets like Metro and RT-Mart, and has deep cooperation with FamilyMart convenience stores, now available in 1,749 FamilyMart stores nationwide[30] - As of June 30, 2025, over 200 new franchised pubs were recruited, with over 60 new stores opened, totaling over 180 Fresh Beer 30KM pubs, successfully transitioning from asset-heavy to asset-light operation models[30] - The "Fresh Beer 30KM" brand received market recognition as the pioneer of Chinese craft fresh beer, attracting C-end consumers and potential partners through new media campaigns[31] III. Analysis of Core Competitiveness During the Reporting Period The company's core competitiveness lies in its equipment segment's talent, global presence, innovation, and brand, and the craft brewing segment's high-quality products, multi-channel sales, national supply chain, and innovative technologies - The equipment segment boasts an excellent team with over 30 years of experience, where 46% of frontline employees are veteran craftsmen with over 10 years of service, and 62% of senior technicians are aged 30-50[32] - The equipment segment has established an overseas sales and service system covering emerging markets in Asia, Africa, and Latin America, with subsidiaries or factories in Nigeria, Ethiopia, India, and Mexico[32] - The company has accumulated years of brand and technological advantages in beer, beverage, and dairy liquid food equipment, with beer brewing equipment and filtration equipment twice recognized as national single-champion products[32] - Fresh Beer 30KM products comply with the GB4927-2008 definition of fresh beer, ensuring fresh quality through high-level automated factories and short-distance transportation and sales[33] - Fresh Beer 30KM has established 5 fresh beer factories in Shanghai, Ningbo, Changsha, Wuhan, and Shenyang, with 2 more under construction in Kunming and Changchun, forming a national supply chain system[36] - The company successfully developed patented air-cooled draft beer machines, aseptic filling technology for fresh beer (extending shelf life to 90 days), and high-barrier PET material technology for mass production of disposable draft beer kegs[36][38] 1. Lehui International Equipment Segment Competitiveness Lehui International's equipment segment boasts core competitiveness through its experienced talent, extensive international presence, continuous technological innovation (two national single-champion products), strong brand reputation, and high-standard manufacturing facilities - The equipment segment possesses an excellent team with over 30 years of accumulated experience, where 46% of veteran craftsmen have worked for the company for over 10 years, and 62% of senior technicians are aged 30-50[32] - The company has established an overseas sales and service system covering emerging markets in Asia, Africa, and Latin America, with subsidiaries or factories in Nigeria, Ethiopia, India, and Mexico[32] - The company has twice been awarded national single-champion product status in the fields of beer brewing equipment and filtration equipment[32] - The company maintains a 100% successful delivery record for all customer orders, accumulating service experience with over 150 beer clients and over 500 clients across various industries[33] - Lehui International's equipment factories meet EU CE certification standards, offering customized services and building a global sales and service system[33] 2. Fresh Beer 30KM Segment Competitiveness The Fresh Beer 30KM segment's competitiveness stems from its high-quality fresh beer, city-focused multi-channel marketing, national network of five operational and two under-construction breweries, and innovations in air-cooled draft beer machines and aseptic filling technology - Fresh Beer 30KM's products comply with the GB4927-2008 definition of fresh beer, ensuring freshness and taste through high-level automated factories and short-distance transportation and sales[33] - The company focuses on brewery cities and their vicinities, building a four-in-one sales channel system encompassing key accounts, distributors, small pubs, and e-commerce[36] - The company has established 5 fresh beer factories in Shanghai, Ningbo, Changsha, Wuhan, and Shenyang, with 2 more under construction in Kunming and Changchun, forming a rational national supply chain system[36] - The company successfully developed a patented air-cooled draft beer machine, addressing issues such as long pouring times, excessive foaming, high beer loss, and frequent cleaning associated with traditional draft beer[36] - The company's developed aseptic filling technology for fresh beer extends its shelf life to 90 days, and high-barrier PET material technology enables mass production of disposable draft beer kegs[38] IV. Main Operating Performance During the Reporting Period This section analyzes the company's main operating performance, including changes in financial statement items, asset-liability status, and investment activities, highlighting significant shifts in expenses, cash flows, and asset structure Main Financial Statement Item Change Analysis | Item | Current Period (RMB) | Prior Year Period (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 615,508,438.22 | 670,598,646.85 | -8.22 | | Operating Cost | 457,762,917.05 | 481,521,704.66 | -4.93 | | Selling Expenses | 40,372,009.92 | 51,335,942.77 | -21.36 | | Administrative Expenses | 60,690,991.24 | 62,171,252.02 | -2.38 | | Financial Expenses | 1,746,696.54 | 8,607,285.33 | -79.71 | | R&D Expenses | 25,508,032.94 | 24,595,821.09 | 3.71 | | Net Cash Flow from Operating Activities | 107,603,102.73 | 167,272,279.42 | -35.67 | | Net Cash Flow from Investing Activities | -58,839,141.65 | -151,521,705.19 | 61.17 | | Net Cash Flow from Financing Activities | -186,399,740.51 | -55,504,372.76 | -235.83 | - The decrease in selling expenses is primarily due to the craft brewing segment's optimized organizational structure, improved human efficiency, and reduced depreciation and amortization of directly operated and small pubs[42] - Financial expenses significantly decreased by 79.71%, mainly due to the company's proactive optimization of its capital structure, reduction of external loans, and improved capital utilization efficiency[43] - Cash and bank balances at the end of the period decreased by 24.18% compared to the end of the previous year, primarily due to proactive debt structure optimization, repayment of bank loans, and a significant reduction in financial leverage[45] - Accounts receivable at the end of the period decreased by 25.82% compared to the end of the previous year, primarily due to good collection of receivables by the parent company and significantly improved cash recovery efficiency[45][46] - Overseas assets amounted to RMB 123.4166 million, accounting for 3.68% of total assets[47] (I) Analysis of Main Business Operating revenue decreased by 8.22% and operating costs by 4.93%; selling expenses significantly dropped by 21.36%, financial expenses by 79.71%, while R&D expenses slightly increased Analysis Table of Changes in Financial Statement Items | Item | Current Period (RMB) | Prior Year Period (RMB) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 615,508,438.22 | 670,598,646.85 | -8.22 | | Operating Cost | 457,762,917.05 | 481,521,704.66 | -4.93 | | Selling Expenses | 40,372,009.92 | 51,335,942.77 | -21.36 | | Administrative Expenses | 60,690,991.24 | 62,171,252.02 | -2.38 | | Financial Expenses | 1,746,696.54 | 8,607,285.33 | -79.71 | | R&D Expenses | 25,508,032.94 | 24,595,821.09 | 3.71 | | Net Cash Flow from Operating Activities | 107,603,102.73 | 167,272,279.42 | -35.67 | | Net Cash Flow from Investing Activities | -58,839,141.65 | -151,521,705.19 | 61.17 | | Net Cash Flow from Financing Activities | -186,399,740.51 | -55,504,372.76 | -235.83 | - Changes in selling expenses are primarily due to the craft brewing segment optimizing its organizational structure, improving human efficiency, and reducing depreciation and amortization of directly operated and small pubs[42] - Changes in financial expenses are primarily due to the company's proactive optimization of its capital structure, orderly reduction of external loans, and a consequent decrease in financial expenses[43] - Changes in net cash flow from operating activities are primarily due to the equipment segment recovering a larger amount of deposits in the previous reporting period compared to the current period[43] (III) Analysis of Assets and Liabilities At the end of the reporting period, cash and accounts receivable significantly decreased, while prepayments, other payables, and other current liabilities increased. Overseas assets constituted 3.68% of total assets, with certain assets restricted for guarantees and collateral Changes in Assets and Liabilities | Item Name | Current Period End (RMB) | Current Period End as % of Total Assets | Prior Year End (RMB) | Prior Year End as % of Total Assets | Change from Prior Year End (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Bank Balances | 335,285,684.74 | 9.98 | 442,185,956.20 | 12.72 | -24.18 | | Accounts Receivable | 378,322,087.73 | 11.27 | 510,035,370.49 | 14.68 | -25.82 | | Prepayments | 130,411,408.95 | 3.88 | 95,797,305.65 | 2.76 | 36.13 | | Contract Assets | 177,032,022.05 | 5.27 | 208,872,688.38 | 6.01 | -15.24 | | Right-of-Use Assets | 27,827,423.04 | 0.83 | 35,263,808.33 | 1.01 | -21.09 | | Employee Benefits Payable | 27,022,549.16 | 0.80 | 39,891,642.20 | 1.15 | -32.26 | | Taxes Payable | 10,518,446.43 | 0.31 | 27,089,729.04 | 0.78 | -61.17 | | Other Payables | 18,469,720.70 | 0.55 | 13,064,767.51 | 0.38 | 41.37 | | Other Current Liabilities | 35,963,593.67 | 1.07 | 13,558,905.34 | 0.39 | 165.24 | - Overseas assets amounted to RMB 123.4166 million, accounting for 3.68% of total assets[47] Major Asset Restrictions | Item | Period-End Book Value (RMB) | Reason for Restriction | | :--- | :--- | :--- | | Cash and Bank Balances | 24,215,984.91 | Guarantee deposits, etc | | Fixed Assets | 31,332,542.80 | Collateral | | Intangible Assets | 19,840,612.71 | Collateral | | Total | 75,389,140.42 | | (IV) Analysis of Investment Status The company's financial assets measured at fair value increased to RMB 169,239,780.90 at period-end, with subsidiaries participating in private equity funds, reflecting active investment in this area Financial Assets Measured at Fair Value | Asset Category | Beginning Balance (RMB) | Fair Value Change Gain/Loss for Current Period (RMB) | Amount Purchased for Current Period (RMB) | Amount Sold/Redeemed for Current Period (RMB) | Ending Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | | Other | 158,927,782.71 | 821,380.27 | 157,000,000.00 | 146,460,877.04 | 169,239,780.90 | | Total | 158,927,782.71 | 821,380.27 | 157,000,000.00 | 146,460,877.04 | 169,239,780.90 | - The company's subsidiary, Ningbo 30KM Investment Co., Ltd., participated in establishing Ningbo Jiuhai Enterprise Management Partnership (Limited Partnership), with a subscribed capital of RMB 5 million, accounting for 25%, and a paid-in capital of RMB 0.625 million as of the end of the reporting period[52] - The company, through its subsidiary Ningbo 30KM Investment Co., Ltd., participated in establishing Suzhou Hongzhuo Venture Capital Partnership (Limited Partnership), with a subscribed capital of RMB 10 million, accounting for 1.89% of the fund's initial total subscribed capital, and a paid-in capital of RMB 10 million as of the end of the reporting period[53] (VI) Analysis of Major Holding and Participating Companies This section details the operating performance of major subsidiaries, including their financials. Ningbo Fresh Beer 30KM and Ningbo Trading were profitable, while other craft brewing subsidiaries like Wuhan Fresh Beer remained in deficit. Ningbo Lehui Brazil Erely Co., Ltd. was deregistered without significant impact - During the reporting period, Ningbo Lehui Brazil Erely Co., Ltd. was deregistered; its total assets, net assets, and net profit were all small, so the deregistration had no impact on the company[56] Operating Performance of Major Holding Subsidiaries (Unit: RMB 10,000) | Company Name | Main Business | Registered Capital | Total Assets | Net Assets | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Ningbo Fresh Beer 30KM | Fresh beer production | 22,784.00 | 25,790.17 | 23,127.41 | 2,898.68 | 122.74 | 122.54 | | Nanjing Baolilong | High-end beverage packaging equipment | 3,000.00 | 38,291.86 | 13,217.01 | 802.16 | -16.64 | -36.59 | | Shanghai Crab Craft Beer | Fresh beer production | 9,910.00 | 5,701.60 | 2,076.20 | 705.51 | -203.38 | -202.45 | | Luzhou Lehui | Specialized equipment manufacturing | 3,000.00 | 22,743.27 | 3,510.58 | 5,601.09 | -279.86 | 27.75 | | Nanjing Lehui | Beer, beverage packaging equipment | 30,000.00 | 46,040.93 | 20,496.15 | 7,334.47 | -24.40 | -26.16 | | Lehui Import & Export | Specialized equipment export | 1,000.00 | 23,545.01 | 224.40 | 272.62 | 368.34 | 368.57 | | Ningbo Trading | Fresh beer sales | 1,310.00 | 5,839.27 | 485.59 | 5,987.86 | 406.44 | 413.28 | | Wuhan Fresh Beer | Fresh beer production | 17,700.00 | 17,125.87 | 15,737.36 | 322.87 | -519.36 | -520.08 | V. Other Disclosure Matters The company faces various risks, including market uncertainty in the craft brewing industry, management challenges from global operations, raw material price volatility, industry cyclicality, customer concentration, tax policy changes, exchange rate fluctuations, and production safety - The craft brewing industry is still in its nascent stage, possessing high growth potential but also facing market uncertainties and investment risks[57] - Global business expansion introduces management risks, particularly due to discriminatory and unequal political and economic policies from Western countries towards China, which may lead to an inability to adapt management levels[57] - Uncertainty in raw material prices, influenced by insufficient supply and global economic uncertainties, may adversely affect the company's cost control[57] - Operating risks include changes in the prosperity of the beer and beverage industry and the risk of relatively high customer concentration due to the high concentration of the global beer industry[57] - Financial risks primarily involve changes in tax incentives; if the company no longer meets the criteria for high-tech enterprise certification, it will not be able to enjoy the 15% corporate income tax preferential rate[58] - Exchange rate risk exists; although the company employs methods like forward exchange rate locking, significant future exchange rate fluctuations could still impact the company's profitability[58] - Safety production risks increase with more factories and expanded production scale, along with the risk of urban brewery projects falling behind schedule in implementation[58] Section IV: Corporate Governance, Environment, and Society I. Changes in Company Directors and Senior Management In accordance with the new Company Law, the company dissolved its supervisory board, with former supervisors being relieved of their duties, and the board's audit committee assuming the supervisory board's functions Changes in Directors and Senior Management | Name | Position Held | Change Status | | :--- | :--- | :--- | | Lin Changfu | Chairman of the Supervisory Board | Relieved | | Zhang Yongji | Supervisor | Relieved | | Cai Liangliang | Employee Supervisor | Relieved | - In accordance with the new Company Law and other regulations, the company abolished its supervisory board, with the board's audit committee now exercising the functions of the supervisory board[61] II. Profit Distribution or Capital Reserve Conversion Plan The company's proposed semi-annual profit distribution or capital reserve conversion plan is "none," indicating no profit distribution or capital reserve conversion for the reporting period Semi-Annual Profit Distribution or Capital Reserve Conversion Plan | Item | Quantity | | :--- | :--- | | Is there a distribution or conversion | No | | Number of bonus shares per 10 shares (shares) | 0 | | Dividend per 10 shares (RMB) (tax included) | 0 | | Number of shares converted from capital reserve per 10 shares (shares) | 0 | IV. Environmental Information of Listed Companies and Their Major Subsidiaries Included in the List of Enterprises Required to Disclose Environmental Information The company and its key subsidiaries, Ningbo Lehui International Engineering Equipment Co., Ltd. and Changsha Fresh Beer 30KM Technology Co., Ltd., are on the list of enterprises required to disclose environmental information, with provided links to their reports List of Enterprises Required to Disclose Environmental Information | No. | Enterprise Name | Query Index for Environmental Information Disclosure Report | | :--- | :--- | :--- | | 1 | Ningbo Lehui International Engineering Equipment Co., Ltd | https://mlzi.sthit.zi.gov.cneps/index/enterprise-search | | 2 | Changsha Fresh Beer 30KM Technology Co., Ltd | http://222.244.103.251:8181/hnyfpl/frontal/index.html/home/index | | 3 | Changsha Fresh Beer 30KM Technology Co., Ltd | http://219.140.164.18:8007/hbyfpl/frontal/index.html/home/index | Section V: Significant Matters I. Fulfillment of Commitments The company, its directors, and senior management strictly fulfilled commitments during the reporting period, including cash dividend policy, measures to mitigate diluted immediate returns, and the actual controller's pledge regarding stock transaction gains - The company commits to a primary cash dividend policy: when profitable with distributable profits, cumulative cash dividends over three years will be no less than 30% of the average annual distributable profits (barring significant investment plans or major cash expenditures)[66] - The company, its directors, and senior management made irrevocable commitments regarding measures to mitigate diluted immediate returns, including not transferring benefits without compensation, restricting job-related consumption, and not using company assets for unrelated investments or consumption[66][67] - Mr. Huang Yuening pledged that if the 10,000 shares of company stock he purchased on September 30, 2019, generate any profit upon sale after twelve months, all such profits will belong to the listed company[67] VII. Significant Litigation and Arbitration Matters The company faces significant litigation, including a lawsuit against its German subsidiary for EUR 6,580,141.14 based on a comfort letter, and patent infringement and contract disputes involving other subsidiaries, with one case having a first-instance judgment not yet effective - The insolvency administrator of the company's subsidiary, Fennerch Germany, filed a lawsuit based on a comfort letter issued by the company, requesting the company to bear payment liability of EUR 6,580,141.14 plus interest; the case has not yet been heard[69] Litigation and Arbitration Cases Not Disclosed or with Subsequent Progress | Plaintiff (Applicant) | Defendant (Respondent) | Type of Litigation/Arbitration | Amount Involved in Litigation/Arbitration (RMB 10,000) | Provision for Contingent Liability Formed | Progress of Litigation/Arbitration | | :--- | :--- | :--- | :--- | :--- | :--- | | Ningbo Fresh Beer 30KM Technology Co., Ltd | Harbin Jike Beer Brewing Co., Ltd., Jike Fresh Beer Brewing Technology Development Co., Ltd., Jike (Changchun) Beer Brewing Co., Ltd., Fujian Wuyi Xinghua Industrial Co., Ltd | Dispute over infringement of design patent rights | 1,016.86 | No | Not yet judged | | Jin Xin | Ningbo 30KM Investment Co., Ltd | Contract dispute | 3,392.77 | No | First-instance judgment, not yet effective | X. Significant Related-Party Transactions This section discloses significant related-party transactions not previously announced, primarily involving the company's purchase of office property from its controlling shareholder, Ningbo Lehui Investment Holding Co., Ltd., for RMB 1.3228 million Asset Acquisition Related-Party Transactions | Transacting Party | Related-Party Relationship | Transaction Type | Transaction Content | Transaction Price (RMB 10,000) | | :--- | :--- | :--- | :--- | :--- | | Ningbo Lehui Investment Holding Co., Ltd | Controlling Shareholder | Asset Purchase | Purchase of office property | 132.28 | XII. Explanation of Progress in Use of Raised Funds The company's raised funds have a cumulative investment of RMB 237.4113 million, reaching 58.74% of the total, with the "Fresh Beer 30KM Changsha Ten-Thousand-Ton Urban Factory Project" completed and operational, and RMB 157 million in idle funds managed as cash Overall Use of Raised Funds | Source of Raised Funds | Total Raised Funds (RMB 10,000) | Net Raised Funds (RMB 10,000) | Total Committed Investment (RMB 10,000) | Cumulative Investment as of Period End (RMB 10,000) | Cumulative Investment Progress as of Period End (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Issuance of Shares to Specific Objects | 41,799.99 | 40,419.08 | 40,419.08 | 23,741.13 | 58.74 | - The "Fresh Beer 30KM Changsha Ten-Thousand-Ton Urban Factory Project" committed RMB 80 million in raised funds, with a cumulative investment of RMB 80.2020 million, and has commenced operation and closed its special fund account[81] Detailed Use of Raised Investment Projects (Partial) | Project Name | Committed Investment Amount from Raised Funds (RMB 10,000) | Cumulative Investment Amount as of Period End (RMB 10,000) | Investment Progress (%) | Benefits Achieved This Year (RMB 10,000) | | :--- | :--- | :--- | :--- | :--- | | Fresh Beer 30KM Changsha Ten-Thousand-Ton Urban Factory Project | 8,000.00 | 8,020.20 | 100.25 | -2,067.12 | | Fresh Beer 30KM Wuhan Urban Factory Project | 16,313.56 | 12,587.86 | 77.16 | -1,470.78 | - During the reporting period, the company managed idle raised funds as cash, with an end-of-period cash management balance of RMB 157 million[88] Section VI: Share Changes and Shareholder Information I. Changes in Share Capital During the reporting period, there were no changes in the company's total share capital or share structure - During the reporting period, there were no changes in the company's total share capital or share structure[90] II. Shareholder Information As of the end of the reporting period, the company had 13,506 common shareholders. The top ten shareholders include Ningbo Lehui Investment Holding Co., Ltd. as the largest, with Lai Yunlai and Huang Yuening acting in concert, holding over 20% combined Total Number of Shareholders | Indicator | Quantity | | :--- | :--- | | Total number of common shareholders at the end of the reporting period (households) | 13,506 | Top Ten Shareholders' Holdings | Shareholder Name | Shares Held at Period End (shares) | Percentage (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | Ningbo Lehui Investment Holding Co., Ltd | 21,830,000 | 18.09 | Domestic Non-State-Owned Legal Person | | Lai Yunlai | 12,661,181 | 10.49 | Domestic Natural Person | | Huang Yuening | 12,646,242 | 10.48 | Domestic Natural Person | | Ningbo Leying Investment Management Center (Limited Partnership) | 6,534,080 | 5.41 | Other | | Ningbo Leli Investment Management Center (Limited Partnership) | 6,426,840 | 5.32 | Other | - Shareholders Lai Yunlai and Huang Yuening are concerted parties; Lai Yunlai serves as the Executive Director and General Manager of Ningbo Lehui Investment Holding Co., Ltd., and the Executive Partner of Ningbo Leli Investment Management Center (Limited Partnership); Huang Yuening serves as the Executive Partner of Ningbo Leying Investment Management Center (Limited Partnership)[95] Section VII: Bond-Related Information I. Corporate Bonds (Including Enterprise Bonds) and Non-Financial Enterprise Debt Financing Instruments During the reporting period, the company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments II. Convertible Corporate Bonds During the reporting period, the company had no convertible corporate bonds Section VIII: Financial Report I. Audit Report This semi-annual report has not been audited - This semi-annual report has not been audited[5] II. 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, reflecting its financial position, operating results, and cash flows Key Data from Consolidated Balance Sheet | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Total Assets | 3,358,014,849.93 | 3,475,072,132.20 | | Total Liabilities | 2,035,167,139.88 | 2,132,518,018.66 | | Total Owners' Equity Attributable to Parent Company | 1,288,027,258.74 | 1,307,718,142.58 | Key Data from Consolidated Income Statement | Item | First Half 2025 (RMB) | First Half 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 615,508,438.22 | 670,598,646.85 | | Total Profit | 29,315,002.51 | 36,364,572.06 | | Net Profit | 24,105,884.00 | 23,658,540.71 | | Net Profit Attributable to Parent Company Shareholders | 25,636,403.65 | 22,219,069.20 | | Basic Earnings Per Share (RMB/share) | 0.21 | 0.18 | Key Data from Consolidated Cash Flow Statement | Item | First Half 2025 (RMB) | First Half 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 107,603,102.73 | 167,272,279.42 | | Net Cash Flow from Investing Activities | -58,839,141.65 | -151,521,705.19 | | Net Cash Flow from Financing Activities | -186,399,740.51 | -55,504,372.76 | | Net Increase in Cash and Cash Equivalents | -127,909,783.91 | -43,007,001.03 | III. Company Basic Information This section details the company's overview, including its establishment date, registered capital, historical evolution, changes in equity structure, and current business scope, covering engineering equipment, food and beer brewing equipment manufacturing, and import/export - The company was established on September 15, 1998, originally named Ningbo Lehui Food Equipment Manufacturing Co., Ltd., with Huang Yuening as its legal representative[129] - The company's registered capital has undergone multiple changes, increasing from an initial RMB 1.5 million to the current RMB 120,701,344.00, with its equity structure also experiencing several adjustments[130][138] - The company's business scope is extensive, including engineering equipment, food and beer brewing and related equipment, stainless steel containers, new pulp and paper complete sets of equipment, amino acids, enzyme preparations, food additive equipment, high-speed aseptic filling key equipment manufacturing, installation, commissioning, as well as computer software, industrial automation product R&D, design, installation, and import/export businesses[139] IV. Basis of Financial Statement Preparation The company's financial statements are prepared on a going concern basis, with an assessment confirming sound going concern ability and no significant doubts within 12 months from the reporting period end - The company's financial statements are prepared on a going concern basis[140] - Based on the company's assessment, its going concern ability is sound within 12 months from the end of the reporting period, with no factors raising significant doubt about its ability to continue as a going concern[142] V. Significant Accounting Policies and Estimates This section details the company's adherence to accounting standards, covering accounting periods, functional currency, materiality, business combinations, consolidated financial statements, financial instruments, revenue recognition, contract costs, government grants, deferred income tax, and leases, including adjustments for accounting policy changes - The company's financial statements comply with enterprise accounting standards, accurately and completely reflecting financial position, operating results, and other information[144] - The company has fully disclosed the recognition, classification, measurement, and impairment of financial instruments, particularly the expected credit loss measurement methods for notes receivable, accounts receivable, and contract assets[165][177][183] - The company's revenue recognition principles are based on identifying distinct performance obligations, distinguishing between performance over time and at a point in time, and measuring revenue according to the transaction price allocated to each distinct performance obligation[222][224] - In accordance with Interpretation No. 18 of the Accounting Standards for Business Enterprises issued by the Ministry of Finance, the company adjusted the operating costs and selling expenses in the consolidated and parent company income statements for the year 2024[268][269] VI. Taxation This section lists the company's main tax categories and rates, including VAT, consumption tax, and corporate income tax. The company and some subsidiaries, as high-tech enterprises, enjoy a 15% corporate income tax preferential rate, with additional tax incentives for small and micro-enterprises and software product sales Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Taxable income | 1%, 3%, 6%, 7.5%, 13%, 15%, 16%, 18%, 19% | | Consumption Tax | Taxable sales of consumer goods | RMB 250 per ton | | Corporate Income Tax | Taxable income | 15%, 25% | Taxable Entities with Different Corporate Income Tax Rates | Taxable Entity Name | Income Tax Rate (%) | | :--- | :--- | | Ningbo Lehui International Engineering Equipment Co., Ltd | 15.00 | | Nanjing Lehui Fennerch Packaging Machinery Co., Ltd | 15.00 | | Nanjing Baolilong Packaging Machinery Co., Ltd | 15.00 | | Shanghai 30KM Catering Management Co., Ltd | 25.00 | | LEHUI WEST AFRICA ENGINEERING | 30.00 | - The company and its subsidiaries, Nanjing Lehui Fennerch Packaging Machinery Co., Ltd. and Nanjing Baolilong Packaging Machinery Co., Ltd., as high-tech enterprises, are subject to a 15% corporate income tax rate for three years from their certification[271][272] - General VAT taxpayers selling self-developed software products are subject to a 13% VAT rate, with a refund policy for the portion of actual VAT burden exceeding 3%[271][272] - For small and micro-profit enterprises, the portion of annual taxable income not exceeding RMB 3 million is reduced by 25% and taxed at a 20% corporate income tax rate[272] VII. Notes to Consolidated Financial Statement Items This section provides detailed notes for consolidated financial statement items, including cash, financial assets, receivables, inventory, fixed assets, intangible assets, goodwill, deferred taxes, borrowings, contract liabilities, employee compensation, taxes payable, and equity, explaining period-end balances, changes, and reasons Composition of Cash and Bank Balances | Item | Period-End Balance (RMB) | Period-Beginning Balance (RMB) | | :--- | :--- | :--- | | Cash on Hand | 113,691.15 | 112,178.99 | | Bank Deposits | 308,880,071.55 | 436,555,820.10 | | Other Cash and Bank Balances | 26,291,922.04 | 5,517,957.11 | | Total | 335,285,684.74 | 442,185,956.20 | | Of which: Total Amount of Funds Deposited Overseas | 46,486,952.92 | 40,161,163.52 | | Total Amount of Funds Restricted in Use Due to Pledge, Mortgage, or Freezing | 24,215,984.91 | 3,206,472.46 | Aging Analysis of Accounts Receivable | Aging | Period-End Book Balance (RMB) | Period-Beginning Book Balance (RMB) | | :--- | :--- | :--- | | Within 1 year (inclusive) | 288,549,960.95 | 260,716,875.92 | | 1 to 2 years | 28,677,138.61 | 167,378,327.54 | | 2 to 3 years | 39,015,010.20 | 150,706,763.51 | | Over 3 years | 112,242,271.60 | 19,567,388.79 | | Total | 468,484,389.36 | 598,369,347.11 | Inventory Classification and Impairment Provisions | Item | Period-End Book Balance (RMB) | Period-End Inventory Impairment Provision/Contract Performance Cost Impairment Provision (RMB) | Period-End Book Value (RMB) | | :--- | :--- | :--- | :--- | | Raw Materials | 160,022,830.73 | 0 | 160,022,830.73 | | Work in Progress | 1,092,424,404.71 | 8,699,123.59 | 1,083,725,281.12 | | Finished Goods | 3,375,918.84 | 0 | 3,375,918.84 | | Goods in Transit | 41,283,774.89 | 6,316,960.98 | 34,966,813.91 | | Total | 1,297,106,929.17 | 15,016,084.57 | 1,282,090,844.60 | Book Value of Fixed Assets | Item | Period-End Book Value (RMB) | Period-Beginning Book Value (RMB) | | :--- | :--- | :--- | | Buildings and Structures | 197,391,608.94 | 204,462,714.12 | | Machinery and Equipment | 251,327,915.53 | 248,171,759.93 | | Transportation Equipment | 10,650,514.63 | 10,711,035.58 | | Office Equipment | 9,072,317.38 | 8,131,586.64 | | Structures | 36,235,999.30 | 37,079,787.10 | | Total | 504,678,355.78 | 508,556,883.37 | Classification of Short-Term Borrowings | Item | Period-End Balance (RMB) | Period-Beginning Balance (RMB) | | :--- | :--- | :--- | | Mortgaged Loans | 81,000,000.00 | 72,000,000.00 | | Guaranteed Loans | 367,000,000.00 | 438,948,000.00 | | Credit Loans | 63,579,935.96 | 45,191,276.49 | | Interest Payable | 90,672.41 | 162,905.15 | | Total | 511,670,608.37 | 556,302,181.64 | Aging Analysis of Contract Liabilities | Item | Period-End Balance (RMB) | Period-Beginning Balance (RMB) | | :--- | :--- | :--- | | Within 1 year | 574,269,671.31 | 525,125,097.20 | | 1 to 2 years | 165,236,858.27 | 192,925,520.79 | | 2 to 3 years | 66,033,925.81 | 89,354,458.46 | | Over 3 years | 105,383,388.11 | 65,336,838.71 | | Total | 910,923,843.50 | 872,741,915.16 | VIII. Research and Development Expenses This section outlines the company's R&D expenses for the reporting period, totaling RMB 25,508,032.94, primarily comprising employee compensation, raw materials, depreciation, and other costs, all of which were expensed R&D Expenses by Nature of Expense | Item | Amount Incurred in Current Period (RMB) | Amount Incurred in Prior Period (RMB) | | :--- | :--- | :--- | | Employee Compensation | 16,197,854.01 | 14,411,485.62 | | Depreciation | 1,142,677.31 | 729,601.20 | | Raw Materials | 7,653,829.74 | 7,768,177.42 | | Other | 513,671.88 | 1,686,556.85 | | Total | 25,508,032.94 | 24,595,821.09 | | Of which: Expensed R&D Expenses | 25,508,032.94 | 24,595,821.09 | IX. Changes in Consolidation Scope During the reporting period, the company's consolidation scope changed due to the deregistration of Ningbo Lehui Brazil Erely Co., Ltd., which had no significant impact on the company's overall operations or performance due to its small scale Acquisition and Disposal of Subsidiaries During the Reporting Period | Company Name | Method of Acquisition and Disposal of Subsidiaries During the Reporting Period | Impact on Overall Production, Operations, and Performance | | :--- | :--- | :--- | | Ningbo Lehui Brazil Erely Co., Ltd | Deregistration | The Brazilian subsidiary's total assets, net assets, and net profit were all small, so the deregistration had no impact on the company | X. Interests in Other Entities This section details the company's equity interests in subsidiaries, including their main operating locations, registered capital, business nature, and shareholding percentages, covering various domestic and international entities in beer production, equipment manufacturing, and trade - The company owns multiple domestic and international subsidiaries, including Ningbo Fresh Beer 30KM Technology Co., Ltd., Nanjing Lehui Fennerch Packaging Machinery Co., Ltd., Lehui Fennerch Mechanical Engineering (Mexico) Co., Ltd., Crab Craft Beer (Shanghai) Co., Ltd., etc., with business natures covering beer production and sales, equipment manufacturing, import and export trade, and catering management[463][464][465][466] XI. Government Grants This section discloses the company's government grants for the reporting period. Asset-related grants are recognized as deferred income, with RMB 193,064.76 transferred to other income this period. Income-related grants totaled RMB 8,287,957.08 for the period Liability Items Involving Government Grants | Financial Statement Item | Period-Beginning Balance (RMB) | Amount Recognized as Non-Operating Income in Current Period (RMB) | Amount Transferred to Other Income in Current Period (RMB) | Period-End Balance (RMB) | Related to Assets/Income | | :--- | :--- | :--- | :--- | :--- | :--- | | Deferred Income | 4,470,733.35 | 0 | 193,064.76 | 4,277,668.59 | Related to Assets | Government Grants Recognized in Current Profit or Loss | Type | Amount Incurred in Current Period (RMB) | Amount Incurred in Prior Period (RMB) | | :--- | :--- | :--- | | Related to Income | 8,287,957.08 | 10,591,941.80 | | Total | 8,287,957.08 | 10,591,941.80 | XII. Risks Related to Financial Instruments The company's financial instruments face credit, liquidity, and market (primarily exchange rate) risks. Credit risk is managed by using large banks and good customer credit. Liquidity risk is addressed by maintaining sufficient cash and bank lines. Exchange rate risk, mainly from USD and EUR, is managed by matching foreign currency receipts/payments and forward contracts, with a 5% RMB fluctuation potentially impacting net profit by approximately RMB 11.36 million - The company primarily faces credit risks from bank deposits and receivables; bank deposits are mainly held in state-owned and other large and medium-sized listed banks, with no significant credit risk expected[472] - The company's major clients include AB InBev, China Resources Group, Heineken Group, etc., all with good credit records. The top five accounts receivable and contract assets account for 48.94%, with no significant credit risk expected for accounts receivable[472] - The company manages liquidity risk by maintaining sufficient cash and cash equivalents and monitoring bank borrowings, and has secured standby funding commitments from major financial institutions[475] - The company is primarily exposed to exchange rate risk, mainly arising from financial assets and liabilities denominated in USD and EUR. The company endeavors to match foreign currency income with expenditures and may enter into forward foreign exchange contracts to hedge risks[479] Impact of RMB Exchange Rate Fluctuations Against USD and EUR on Net Profit | Exchange Rate Change | Impact on Profit (Period-End Balance, RMB) | | :--- | :--- | | Increase by 5% | 11,359,237.19 | | Decrease by 5% | -11,359,237.19 | XIII. Disclosure of Fair Value This section discloses the fair value of the company's assets and liabilities measured at fair value at period-end, categorized by fair value hierarchy. Total assets measured at fair value on a recurring basis amounted to RMB 234,541,105.50, and total liabilities to RMB 26,479.64 Fair Value of Assets and Liabilities Measured at Fair Value at Period-End | Item | Level 1 Fair Value Measurement (RMB) | Level 2 Fair Value Measurement (RMB) | Level 3 Fair Value Measurement (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | :--- | | I. Recurring Fair Value Measurement | | | | | | (I) Trading Financial Assets | 433,414.32 | 222,411,452.13 | 0 | 222,844,866.45 | | (1) Debt Instrument Investments | 0 | 212,411,452.13 | 0 | 212,411,452.13 | | (2) Equity Instrument Investments | 0 | 10,000,000.00 | 0 | 10,000,000.00 | | (3) Derivative Financial Assets | 433,414.32 | 0 | 0 | 433,414.32 | | (III) Other Equity Instrument Investments | 0 | 9,125,000.00 | 0 | 9,125,000.00 | | (VI) Receivables Financing | 0 | 2,571,239.05 | 0 | 2,571,239.05 | | Total Assets Measured at Fair Value on a Recurring Basis | 433,414.32 | 234,107,691.18 | 0 | 234,541,105.50 | | (VII) Trading Financial Liabilities | | | | | | Derivative Financial Liabilities | 26,479.64 | 0 | 0 | 26,479.64 | | Total Liabilities Measured at Fair Value on a Recurring Basis | 26,479.64 | 0 | 0 | 26,479.64 | - Derivative financial assets and liabilities represent forward foreign exchange contracts, with their fair values determined based on active market quotes provided by banks at period-end[485] XIV. Related Parties and Related-Party Transactions This section discloses information on the company's parent company, ultimate controlling parties, subsidiaries, and other related parties, along with detailed related-party transactions for the reporting period, including goods purchases/sales, leases, guarantees, and key management personnel compensation Information on the Company's Parent Company | Parent Company Name | Registered Address | Business Nature | Registered Capital (RMB 10,000) | Parent Company's Shareholding Percentage in the Company (%) | Parent Company's Voting Rights Percentage in the Company (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Ningbo Lehui Investment Holding Co., Ltd | No. 2 Zhenying Road, Xizhou Town, Xiangshan County, Zhejiang Province | External investment; real estate development; leasing of houses, machinery, and equipment; self-operated and agency import and export of various goods and technologies | 6,800 | 18.09 | 18.09 | - The ultimate controlling parties of the company are Huang Yuening and Lai Yunlai[488] Related-Party Transactions for Purchase and Sale of Goods, Provision and Acceptance of Services | Related Party | Related-Party Transaction Content | Amount Incurred in Current Period (RMB) | | :--- | :--- | :--- | | Nanjing Leying Technology Co., Ltd | Direct purchase | 300,884.96 | | Nanjing Leying Technology Co., Ltd | Direct sales | 75,357.6 | | Nanjing Rixin Fluid Technology Co., Ltd | Direct sales | 4,941.6 | Related-Party Lease Situations (as Lessor) | Lessee Name | Type of Leased Asset | Lease Income Recognized in Current Period (RMB) | | :--- | :--- | :--- | | Nanjing Rixin | Factory building lease income | 184,337.62 | - The company, as the guaranteed party, received multiple maximum amount guarantees from Lai Yunlai, Huang Yuening, and Ningbo Lehui Investment Holding Co., Ltd., with total guaranteed amounts exceeding RMB 1.5 billion and guarantee periods varying until 2026-2028[494][495][496][497] Key Management Personnel Compensation | Item | Amount Incurred in Current Period (RMB 10,000) | | :--- | :--- | | Key Management Personnel Compensation | 486.82 | XVI. Commitments and Contingencies As of June 30, 2025, the company had no significant commitments or material contingencies requiring disclosure that would affect the reading and understanding of its financial statements - As of June 30, 2025, the company had no significant commitments affecting the reading and understanding of its financial statements[503] - The company has no material contingencies requiring disclosure[503] XVIII. Other Significant Matters This section discloses the company's segment information, categorizing its business into beer production equipment and beer sales. The beer production equipment segment dominates in assets, liabilities, revenue, and net profit, while the beer sales segment remains in deficit - Based on its business model and actual operating conditions, the company is divided into a beer production equipment segment and a beer sales business segment[504] Financial Information by Reporting Segment | Item | Segment 1_Beer Production Equipment (RMB) | Segment 2_Beer Sales Business (RMB) | Inter-Segment Eliminations (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | :--- | | Total Assets | 3,490,162,466.45 | 648,509,147.29 | -780,656,763.81 | 3,358,014,849.93 | | Total Liabilities | 1,972,639,559.36 | 126,392,039.27 | -63,864,458.75 | 2,035,167,139.88 | | Operating Revenue | 535,882,700.47 | 82,793,264.27 | -3,167,526.52 | 615,508,438.22 | | Operating Cost | 407,953,863.00 | 53,594,003.67 | -3,784,949.62 | 457,762,917.05 | | Net Profit | 35,206,144.55 | -11,343,639.32 | 243,378.77 | 24,105,884.00 | XIX. Notes to Major Items in Parent Company Financial Statements This section provides detailed notes for the parent company's financial statement items, including accounts receivable, other receivables, long-term equity investments, and operating revenue and costs. Parent company accounts receivable totaled RMB 475,023,497.93, with related-party combinations accounting for 45.23% Parent Company Accounts Receivable by Aging | Aging | Period-End Book Balance (RMB) | Period-Beginning Book Balance (RMB) | | :--- | :--- | :--- | | Within 1 year (inclusive) | 391,567,767.99 | 313,501,373.29 | | 1 to 2 years | 16,657,210.82 | 155,205,167.15 | | 2 to 3 years | 37,173,030.35 | 139,016,994.33 | | Over 3 years | 104,465,394.68 | 13,978,983.60 | | Total | 549,863,403.84 | 621,702,618.47 | Parent Company Accounts Receivable Classified by Bad Debt Provision Method | Category | Period-End Book Balance (RMB) | Period-End Bad Debt Provision (RMB) | Period-End Book Value (RMB) | | :--- | :--- | :--- | :--- | | Bad debt provision calculated by portfolio | 549,863,403.84 | 74,839,905.91 | 475,023,497.93 | | Of which: Aging portfolio | 301,175,296.27 | 74,839,905.91 | 226,335,390.36 | | Related-party portfolio | 248,688,107.57 | 0 | 248,688,107.57 | Parent Company Long-Term Equity Investments | Item | Period-End Book Value (RMB) | Period-Beginning Book Value (RMB) | | :--- | :--- | :--- | | Investments in Subsidiaries | 1,043,142,193.69 | 1,043,142,193.69 | | Total | 1,043,142,193.69 | 1,043,142,193.69 | Parent Company Operating Revenue and Operating Costs | Item | Amount Incurred in Current Period - Revenue (RMB) | Amount Incurred in Current Period - Cost (RMB) | Amount Incurred in Prior Period - Revenue (RMB) | Amount Incurred in Prior Period - Cost (RMB) | | :--- | :--- | :--- | :--- | :--- | | Main Business | 421,621,063.60 | 318,225,312.50 | 391,867,258.89 | 277,591,083.99 | | Other Business | 827,021.49 | 0 | 567,715.35 | 902,370.83 | | Total | 422,448,085.09 | 318,225,312.50 | 392,434,974.24 | 278,493,454.82 | XX. Supplementary Information This section provides supplementary financial information, including a detailed statement of non-recurring gains and losses totaling RMB 7.2698 million, and key metrics such as weighted average return on net assets of 1.98% and basic earnings per share of RMB 0.21/share Detailed Statement of Non-Recurring Gains and Losses for the Current Period | Item | Amount (RMB) | | :--- | :--- | | Gains or losses from disposal of non-current assets, including the write-off portion of asset impairment provisions | 119,299.63 | | Government grants recognized in current profit or loss, excluding those closely related to the company's normal business operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit or loss | 8,481,021.84 | | Gains or losses from changes in fair value of financial assets and financial liabilities, and investment income from disposal of financial assets and financial liabilities, excluding effective hedging activities related to the company's normal business operations | 2,710,658.67 | | Other non-operating income and expenses apart from the above | -1,980,809.07 | | Less: Income tax impact | 1,144,160.74 | | Minority interest impact (after tax) | 916,168.58 | | Total | 7,269,841.75 | Return on Net Assets and E