威唐工业(300707) - 2025 Q2 - 季度财报

Important Notice, Table of Contents and Definitions This section provides essential disclaimers, the report's complete table of contents, and definitions of key terms used throughout the document Important Notice The company's board, supervisory board, and senior management guarantee the accuracy and completeness of the semi-annual report, while financial officers confirm the financial statements' integrity, with no cash dividends or bonus shares planned - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, assuming individual and joint legal responsibility[3] - Company head Zhang Xiliang, chief accountant Zhang Yifeng, and head of accounting department Zhang Yifeng declare that the financial report in this semi-annual report is true, accurate, and complete[3] - The company plans not to distribute cash dividends, send bonus shares, or convert capital reserves into share capital[4] Table of Contents This section lists the report's complete directory structure, comprising eight main chapters covering company profile, management discussion, corporate governance, significant matters, share changes, bond information, and financial reports - The report comprises eight main chapters: Important Notice, Table of Contents and Definitions; Company Profile and Key Financial Indicators; Management Discussion and Analysis; Corporate Governance, Environment and Society; Significant Matters; Share Changes and Shareholder Information; Bond-Related Information; and Financial Report[6] Catalogue of Documents for Reference Reference documents include signed and sealed financial statements, the legal representative's original semi-annual report, original announcements of all publicly disclosed company documents during the reporting period, and other relevant materials, available at the company's Securities Legal Department - Reference documents include signed and sealed financial statements, the legal representative's original report, original drafts of publicly disclosed documents, and other relevant materials[8][9][10][11] - The reference documents are available at the company's Securities Legal Department[12] Definitions This section defines common terms used in the report, including company names, relevant institutions, laws, currency units, and abbreviations for major subsidiaries and affiliates, clarifying the "reporting period" as January 1, 2025, to June 30, 2025 - "The Company," "Company," or "Weitang Industrial" refers to Wuxi Weitang Industrial Technology Co., Ltd[13] - "Reporting Period" refers to January 1, 2025, to June 30, 2025[13] - Definitions are provided for various institutions and laws, including the China Securities Regulatory Commission, Shenzhen Stock Exchange, Company Law, and Securities Law[13] Company Profile and Key Financial Indicators This section introduces Wuxi Weitang Industrial Technology Co., Ltd., its contact information, and presents key accounting data and financial indicators, including significant declines in revenue and net profit but a substantial increase in operating cash flow, along with details on non-recurring gains and losses Company Profile Wuxi Weitang Industrial Technology Co., Ltd. (Stock Abbreviation: Weitang Industrial, Stock Code: 300707) is listed on the Shenzhen Stock Exchange, with Zhang Xiliang as its legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Weitang Industrial | | Stock Code | 300707 | | Stock Exchange | Shenzhen Stock Exchange | | Company Chinese Name | Wuxi Weitang Industrial Technology Co., Ltd. | | Legal Representative | Zhang Xiliang | Contact Person and Contact Information The company's Board Secretary is Zhang Yifeng, and the Securities Affairs Representative is Wu Yanzhi, both located at No. 32 Jianhong Road, Hongshan Street, Xinwu District, Wuxi, with contact numbers and fax at +86-510-68561147, and email at boardsecretary@vt-ind.com Contact Information | Position | Board Secretary | Securities Affairs Representative | | :--- | :--- | :--- | | Name | Zhang Yifeng | Wu Yanzhi | | Contact Address | No. 32 Jianhong Road, Hongshan Street, Xinwu District, Wuxi | No. 32 Jianhong Road, Hongshan Street, Xinwu District, Wuxi | | Phone | +86-510-68561147 | +86-510-68561147 | | Fax | +86-510-68561147 | +86-510-68561147 | | Email | boardsecretary@vt-ind.com | boardsecretary@vt-ind.com | Other Information During the reporting period, there were no changes in the company's contact information, information disclosure and document storage locations, or registration status, with specific details available in the 2024 annual report - The company's registered address, office address, website, and email address remained unchanged during the reporting period[18] - Information disclosure and document storage locations remained unchanged during the reporting period[19] - The company's registration status remained unchanged during the reporting period[20] Key Accounting Data and Financial Indicators In this reporting period, the company's operating revenue and net profit significantly decreased year-on-year, with revenue down by 26.60% and net profit attributable to shareholders down by 82.03%, while net cash flow from operating activities increased by 476.45%, and total assets and net assets attributable to shareholders saw slight growth Key Accounting Data and Financial Indicators (Current Reporting Period vs. Prior Year Period) | Indicator | Current Reporting Period (RMB) | Prior Year Period (RMB) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 328,523,621.52 | 447,567,206.43 | -26.60% | | Net Profit Attributable to Shareholders of Listed Company | 4,886,629.43 | 27,187,773.28 | -82.03% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-recurring Gains and Losses) | 3,109,475.70 | 25,828,199.80 | -87.96% | | Net Cash Flow from Operating Activities | 69,211,744.43 | 12,006,612.88 | 476.45% | | Basic Earnings Per Share (RMB/share) | 0.0276 | 0.1548 | -82.17% | | Diluted Earnings Per Share (RMB/share) | 0.0275 | 0.1420 | -80.63% | | Weighted Average Return on Net Assets | 0.40% | 2.28% | -1.88% | | Period-End Indicators | Current Reporting Period End (RMB) | Prior Year End (RMB) | Change from Prior Year End | | Total Assets | 1,899,087,306.47 | 1,881,764,972.03 | 0.92% | | Net Assets Attributable to Shareholders of Listed Company | 1,159,839,419.03 | 1,150,465,629.36 | 0.81% | Differences in Accounting Data under Domestic and Overseas Accounting Standards During the reporting period, the company reported no differences in net profit and net assets between financial statements prepared under International Accounting Standards or overseas accounting standards and those prepared under Chinese accounting standards - The company's financial reports disclosed under International Accounting Standards and Chinese Accounting Standards showed no differences in net profit and net assets during the reporting period[22] - The company's financial reports disclosed under overseas accounting standards and Chinese Accounting Standards showed no differences in net profit and net assets during the reporting period[23] Non-recurring Gains and Losses Items and Amounts In this reporting period, total non-recurring gains and losses amounted to RMB 1,777,153.73, primarily from disposal gains on non-current assets, government grants, and gains from entrusted investments or asset management Non-recurring Gains and Losses Items and Amounts | Item | Amount (RMB) | | :--- | :--- | | Gains or losses from disposal of non-current assets (including the write-off portion of asset impairment provisions) | 255,354.67 | | Government grants recognized in current profit and loss (excluding those closely related to the company's normal operations, compliant with national policies, enjoyed according to fixed standards, and having a continuous impact on the company's profit and loss) | 655,816.01 | | Gains or losses from entrusted investments or asset management | 1,104,041.88 | | Other non-operating income and expenses apart from the above | -67,925.10 | | Less: Income tax impact | 191,725.44 | | Minority interest impact (after tax) | -21,591.71 | | Total | 1,777,153.73 | - The company has no other profit and loss items that meet the definition of non-recurring gains and losses, nor has it classified non-recurring gains and losses as recurring profit and loss items[26] Management Discussion and Analysis This section analyzes the company's main business activities, core competencies, and financial performance, including revenue and cost changes, non-core business impacts, asset and liability status, investment activities, and risks, along with investor relations and social responsibility initiatives Main Business Activities during the Reporting Period The company's main business involves the R&D, production, and sales of automotive stamping dies and welded components, operating in the "C3525-Die Manufacturing" industry, with no significant changes in its main business, products, or operating model during the reporting period - The company operates in the "C3525-Die Manufacturing" industry, with its main business being the research, development, production, and sales of automotive stamping dies and automotive stamped and welded components[28] - In the first half of 2025, automotive production and sales reached 15.621 million units and 15.653 million units respectively, representing year-on-year increases of 12.5% and 11.4%[28] - The company's die products are supplied directly to international automotive manufacturers and Tier-1 suppliers such as BMW, Mercedes-Benz, and Stellantis, while stamped and welded components primarily serve well-known domestic and international new energy vehicle manufacturers[29] - The company adopts a "production-to-order" model, with die products primarily for export and stamped and welded components mainly for domestic sales[29] - During the reporting period, there were no significant changes in the company's main business, primary products, or operating model[30] Analysis of Core Competencies The company's core competencies span six areas: technological innovation, die and inspection tool production, automated stamping and welding component lines, product quality, customer resources, and operational management, demonstrating significant advantages in lightweight materials, high-precision manufacturing, integrated services, and global client relationships - The company leads in applying new metal materials like high-strength steel and aluminum-magnesium alloy sheets, successfully cold-stamping materials up to 1,200 MPa[31] - The company's die products achieve processing precision within ±0.01mm and critical technical indicators of surface deviation within 0.015mm[32] - The company possesses independent R&D and production capabilities for customized auxiliary machinery, enabling upgrades to stamping production lines[33] - The company has obtained ISO9001:2008 and ISO/TS16949 quality system certifications, establishing a comprehensive quality assurance system[34] - The company's products have successfully entered major automotive industry regions like North America and Europe, establishing stable partnerships with renowned companies such as Magna, Brose, and Lear Corporation[35] - The company has implemented information systems like ERP, MES, and WMS to enhance management efficiency and project execution capabilities[35] Analysis of Main Business In this reporting period, the company's operating revenue decreased by 26.60% year-on-year, and operating costs decreased by 22.83%, leading to a decline in gross profit margin, while financial expenses significantly decreased by 185.65% due to increased exchange gains, and net cash flow from operating activities surged by 476.45% primarily due to reduced material procurement Major Financial Data Year-on-Year Changes | Indicator | Current Reporting Period (RMB) | Prior Year Period (RMB) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 328,523,621.52 | 447,567,206.43 | -26.60% | | Operating Cost | 268,048,460.90 | 347,352,703.44 | -22.83% | | Financial Expenses | -4,889,779.88 | 5,709,069.76 | -185.65% | | Net Cash Flow from Operating Activities | 69,211,744.43 | 12,006,612.88 | 476.45% | | Net Cash Flow from Investing Activities | -31,434,190.99 | -45,250,046.88 | 30.53% | | Net Cash Flow from Financing Activities | -43,531,564.01 | -83,665,737.43 | 47.97% | | Net Increase in Cash and Cash Equivalents | 531,303.64 | -116,340,830.12 | 100.46% | - Financial expenses decreased by 185.65% year-on-year, primarily due to increased exchange gains in the current period compared to the same period last year[37] - Net cash flow from operating activities increased by 476.45% year-on-year, mainly due to a reduction in material procurement expenditures in the current period compared to the same period last year[37] Products or Services Accounting for Over 10% of Revenue | Product or Service | Operating Revenue (RMB) | Operating Cost (RMB) | Gross Profit Margin | YoY Change in Operating Revenue | | :--- | :--- | :--- | :--- | :--- | | Automotive Stamping Dies and Inspection Tools | 152,509,386.24 | 114,342,363.23 | 25.03% | -38.36% | | Automotive Stamped and Welded Components | 160,151,254.28 | 140,727,425.84 | 12.13% | -15.71% | | Domestic Sales | 188,029,085.91 | 158,103,926.43 | 15.92% | -11.07% | | Overseas Sales | 140,494,535.61 | 109,944,534.47 | 21.74% | -40.50% | Analysis of Non-Core Business Non-core business activities had a notable impact on total profit, with investment income accounting for 19.65%, primarily from the disposal of Snow Weitang equity, transactional financial assets, and equity method investments, which is sustainable, while asset impairment and non-operating income/expenses are non-sustainable factors Impact of Non-Core Business on Total Profit | Item | Amount (RMB) | Proportion of Total Profit | Explanation of Cause | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 1,795,632.16 | 19.65% | Primarily investment income from the disposal of long-term equity investment in Snow Weitang, investment income from transactional financial assets held, and equity method investment income from Mingshi Weitang and Ningbo Jiuju | Yes | | Asset Impairment | 1,315,309.89 | 14.40% | Primarily due to inventory depreciation losses | No | | Non-operating Income | 511,903.81 | 5.60% | Primarily due to government subsidies | No | | Non-operating Expenses | 586,075.89 | 6.41% | Primarily due to late payment fees and compensation | No | | Credit Impairment | -590,214.11 | -6.46% | Primarily due to bad debt losses on accounts receivable | No | Analysis of Assets and Liabilities At the end of the reporting period, the company's total assets and net assets attributable to shareholders both saw slight increases, with inventory and construction in progress increasing their proportion of assets, contract liabilities growing significantly by 3.49%, and short-term borrowings decreasing notably by 1.55%, while RMB 3.67 million in monetary funds and RMB 44.64 million in fixed assets were restricted Significant Changes in Asset Composition | Item | Amount at End of Current Reporting Period (RMB) | Proportion of Total Assets | Amount at End of Prior Year (RMB) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 560,487,933.15 | 29.51% | 566,851,533.84 | 30.12% | -0.61% | | Accounts Receivable | 201,263,298.46 | 10.60% | 234,277,213.87 | 12.45% | -1.85% | | Inventories | 329,362,550.76 | 17.34% | 291,764,778.37 | 15.50% | 1.84% | | Construction in Progress | 67,412,453.07 | 3.55% | 24,580,893.49 | 1.31% | 2.24% | | Short-term Borrowings | 1,000,741.94 | 0.05% | 30,024,395.16 | 1.60% | -1.55% | | Contract Liabilities | 184,817,993.67 | 9.73% | 117,409,344.62 | 6.24% | 3.49% | - At period-end, RMB 3,665,066.59 in monetary funds were restricted as bill deposits, performance bonds, and long-term dormant accounts, while fixed assets with an original value of RMB 44,644,331.94 were pledged for bank loans, constituting restricted assets[44] Analysis of Investment Status During the reporting period, the company's investment amount was RMB 0, a 100% year-on-year decrease, with the new energy vehicle core stamping and welding components capacity project still under construction, having accumulated RMB 113.25 million in investment, reaching 40.35% completion, while RMB 346.12 million in net raised funds saw RMB 178.71 million invested, leaving RMB 171.71 million in supervisory accounts, and RMB 922 million in entrusted wealth management with no outstanding balance at period-end Investment Amount during the Reporting Period | Indicator | Investment Amount in Reporting Period (RMB) | Investment Amount in Prior Year Period (RMB) | Change Rate | | :--- | :--- | :--- | :--- | | Investment Amount | 0.00 | 322,166,112.29 | -100.00% | Major Non-Equity Investment Projects | Project Name | Total Investment (RMB 10,000) | Amount Invested in Current Reporting Period (RMB 10,000) | Cumulative Investment at Period-End (RMB 10,000) | Investment Progress at Period-End | | :--- | :--- | :--- | :--- | :--- | | New Energy Vehicle Core Stamping and Welding Components Capacity Project | 28,066.47 | 4,069.87 | 11,325.46 | 40.35% | - The net amount of raised funds was RMB 346.12 million, and as of June 30, 2025, the company had cumulatively invested RMB 178.71 million of raised funds into projects, with the remaining unused amount totaling RMB 171.71 million[50] Overview of Entrusted Wealth Management | Specific Type | Entrusted Wealth Management Amount (RMB 10,000) | Unexpired Balance (RMB 10,000) | | :--- | :--- | :--- | | Bank Wealth Management Products (Own Funds) | 31,800 | 0 | | Bank Wealth Management Products (Raised Funds) | 60,400 | 0 | | Total | 92,200 | 0 | Significant Asset and Equity Sales During the reporting period, the company did not sell any significant assets or equity - The company did not sell significant assets during the reporting period[59] - The company did not sell significant equity during the reporting period[60] Analysis of Major Holding and Participating Companies Weitang Automotive Stamping Technology (Wuxi) Co., Ltd. is a major subsidiary of the company, reporting a net profit of RMB 10,129,095.03 during the period, while the sale of a 49% stake in Snow Weitang (Wuxi) Auto Parts Co., Ltd. had no significant impact on overall production, operations, or performance Major Subsidiary Financial Information | Company Name | Company Type | Registered Capital (RMB) | Total Assets (RMB) | Net Profit (RMB) | | :--- | :--- | :--- | :--- | :--- | | Weitang Automotive Stamping Technology (Wuxi) Co., Ltd. | Subsidiary | 60,000,000 | 302,947,662.37 | 10,129,095.03 | - The company sold a 49% stake in Snow Weitang (Wuxi) Auto Parts Co., Ltd., which had no significant impact on overall production, operations, or performance[61] 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[62] Risks Faced by the Company and Countermeasures The company faces multiple risks, including macroeconomic cyclical fluctuations, geopolitical and trade system changes, intensified market competition, unbalanced quarterly revenue and profit, and exchange rate volatility, which it addresses through expanding high-end business, global strategic布局, technological innovation, product line optimization, enhanced operational management, and strengthened foreign exchange management - The company faces macroeconomic cyclical fluctuation risks, with countermeasures including actively expanding domestic and international high-end automotive die and component businesses to enhance competitiveness[62] - The company faces geopolitical and trade system risks, with countermeasures including promoting the globalization of its automotive die business and actively expanding overseas operations[63] - The company faces intensified market competition risks, with countermeasures including stabilizing existing customer bases, actively expanding to other global automotive manufacturers and Tier-1 suppliers, and broadening its product lines[64] - The company faces risks of unbalanced quarterly revenue and profit, with countermeasures including improving operational management, rationally planning production capacity, and strengthening cost control and financial management[65] - The company faces exchange rate risks, with countermeasures including strengthening proactive foreign exchange management and studying geopolitical and global macroeconomic policies to mitigate the impact of exchange rate fluctuations[65] Registration Form for Research, Communication, Interview, and Other Activities during the Reporting Period During the reporting period, on May 7, 2025, the company hosted an online exchange with public investors via the Value Online platform, primarily discussing matters related to the 2024 annual online performance briefing Investor Relations Activity Record | Reception Time | Reception Location | Reception Method | Type of Reception Object | Main Content Discussed and Materials Provided | | :--- | :--- | :--- | :--- | :--- | | May 07, 2025 | Value Online | Online platform exchange | Public Investors | 2024 Annual Online Performance Briefing | Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company has not formulated a market value management system nor disclosed a valuation enhancement plan - The company has not formulated a market value management system[67] - The company has not disclosed a valuation enhancement plan[67] "Quality and Return Dual Improvement" Action Plan Implementation Status The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan - The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan[67] Corporate Governance, Environment and Society This section details changes in the company's directors, supervisors, and senior management, profit distribution plans, equity incentive implementation, environmental information disclosure, and social responsibility initiatives, emphasizing compliance and sustainable development Changes in Directors, Supervisors, and Senior Management During the reporting period, there were no changes in the company's directors, supervisors, or senior management, with specific details available in the 2024 annual report - The company's directors, supervisors, and senior management did not change during the reporting period[69] Profit Distribution and Capital Reserve Conversion to Share Capital in the Current Reporting Period The company plans not to distribute cash dividends, send bonus shares, or convert capital reserves into share capital for the semi-annual period - The company plans not to distribute cash dividends, send bonus shares, or convert capital reserves into share capital for the semi-annual period[70] Implementation of Company's Equity Incentive Plan, Employee Stock Ownership Plan, or Other Employee Incentive Measures During the reporting period, the company twice adjusted the repurchase price for its 2024 restricted stock incentive plan and completed the repurchase and cancellation of 462,500 restricted shares on July 18, 2025, with no other employee stock ownership plans or incentive measures implemented - The company adjusted the repurchase price for its 2024 restricted stock incentive plan twice, on April 26, 2025, and June 13, 2025, from RMB 6.79/share to RMB 6.74/share, and then to RMB 6.71/share (each including the sum of deposit interest at the People's Bank of China's同期 rate)[71][72] - The company completed the repurchase and cancellation of a total of 462,500 restricted shares on July 18, 2025[72] - The company had no employee stock ownership plans or other employee incentive measures implemented during the reporting period[73] Environmental Information Disclosure The company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law - The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law[74] Social Responsibility While pursuing performance growth, the company actively fulfills its social responsibilities by protecting shareholder and creditor interests, safeguarding employee rights, providing quality products and services, strictly adhering to environmental regulations with a green operating philosophy, and engaging in public welfare initiatives to foster harmonious company-society development - The company protects the legitimate rights and interests of investors and creditors through improving governance structure, standardized operations, and online/offline communication, and formulates stable profit distribution policies[74] - The company complies with labor laws and regulations, respects and safeguards employee rights, prioritizes employee health and safety, and values talent development[74] - The company adheres to a customer-first philosophy, earning customer recognition through excellent R&D, stable quality, rapid delivery, and high-quality service[75] - The company strictly complies with national ecological environment regulations, upholds a green operating philosophy, and its production and operation activities have minimal direct impact on the natural ecological environment[75] - The company actively fulfills its social responsibilities by creating employment opportunities, generating regional tax revenue, and organizing social welfare activities[75] Significant Matters This section covers significant matters including commitments by related parties, non-operating fund occupation, external guarantees, accounting firm appointments, audit report explanations, bankruptcy reorganization, litigation, penalties, integrity status, related party transactions, major contracts, and other important events Commitments Fulfilled and Overdue Unfulfilled by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company during the Reporting Period and as of the End of the Reporting Period During the reporting period, the company had no commitments fulfilled or overdue unfulfilled by its actual controller, shareholders, related parties, acquirers, or the company itself - During the reporting period, the company had no commitments fulfilled or overdue unfulfilled by its actual controller, shareholders, related parties, acquirers, or the company itself[77] Non-Operating Funds Occupied by Controlling Shareholder and Other Related Parties from the Listed Company During the reporting period, there was no non-operating occupation of funds from the listed company by its controlling shareholder or other related parties - During the reporting period, there was no non-operating occupation of funds from the listed company by its controlling shareholder or other related parties[78] Illegal External Guarantees The company had no illegal external guarantees during the reporting period - The company had no illegal external guarantees during the reporting period[79] Appointment and Dismissal of Accounting Firms The company's semi-annual financial report was unaudited - The company's semi-annual report was unaudited[80] Explanations by the Board of Directors, Supervisory Board, and Audit Committee on the "Non-Standard Audit Report" for the Current Reporting Period During the reporting period, there were no explanations from the board of directors, supervisory board, or audit committee regarding a "non-standard audit report" for the current period - During the reporting period, there were no explanations from the board of directors, supervisory board, or audit committee regarding a "non-standard audit report" for the current period[81] Explanations by the Board of Directors on the "Non-Standard Audit Report" for the Previous Year During the reporting period, there were no explanations from the board of directors regarding a "non-standard audit report" for the previous year - During the reporting period, there were no explanations from the board of directors regarding a "non-standard audit report" for the previous year[81] 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[81] Litigation Matters During the reporting period, the company had no significant litigation or arbitration matters, but there is an ongoing lawsuit filed by Nantong Fourth Construction Group Co., Ltd. for project settlement payments totaling RMB 59.60 million, which has not yet resulted in a provision for liabilities - The company had no significant litigation or arbitration matters during this reporting period[82] Other Litigation Matters | Basic Information of Litigation (Arbitration) | Amount Involved (RMB 10,000) | Provision for Liabilities Formed | Progress of Litigation (Arbitration) | | :--- | :--- | :--- | :--- | | Nantong Fourth Construction Group Co., Ltd. filed a lawsuit with Wuxi Xinwu District People's Court against the company for project settlement payments, claiming RMB 5,959.71 10,000 in disputed project funds. | 5,959.71 | No | Still under trial | 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[84] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller As of the report disclosure date, the company, its controlling shareholder, and actual controller Mr. Zhang Xiliang, have no unfulfilled effective court judgments or significant overdue debts - As of the disclosure date of this report, during the reporting period, the company, its controlling shareholder, and actual controller Mr. Zhang Xiliang, have no unfulfilled effective court judgments or significant overdue debts[85] Significant Related Party Transactions During the reporting period, the company had no related party transactions related to daily operations, asset/equity acquisitions or disposals, joint external investments, related party creditor/debtor relationships, or dealings with affiliated financial companies, and anticipates total daily related party transactions for 2025 not exceeding RMB 16.2 million - During the reporting period, the company had no related party transactions related to daily operations, asset or equity acquisitions/disposals, joint external investments, or related party creditor/debtor relationships[86][87][88][89] - The company and its affiliated financial companies, or financial companies controlled by the company, had no deposits, loans, credit lines, or other financial business with related parties[90][91] - The company estimates that the total amount of daily related party transactions for 2025 will not exceed RMB 16.2 million, primarily for goods sales and leasing services[92] Significant Contracts and Their Performance During the reporting period, the company had no entrustment or contracting arrangements, but engaged in several leasing activities for factory buildings and offices in China, the United States, and Shanghai, with no significant guarantees, major daily operating contracts, or other significant contracts - The company had no entrustment or contracting arrangements during the reporting period[94][95] - The company leases factory buildings and offices in Wuxi, Texas (USA), Michigan (USA), and Shanghai, with lease terms ranging from 2022 to 2029[96][97] - During the reporting period, the company recognized lease income of RMB 1.4959 million from leasing factory buildings and stamping machines to Mingshi Weitang, and RMB 0.5617 million from leasing factory buildings to Snow Weitang[97] - The company had no significant guarantees, major daily operating contracts, or other significant contracts during the reporting period[98][101] 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[102] 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[103] Share Changes and Shareholder Information This section details changes in the company's share capital, securities issuance, shareholder numbers, and shareholding structures, including information on major shareholders, changes in director, supervisor, and senior management shareholdings, and any changes in controlling shareholder or actual controller Share Change Information During the reporting period, the company's total shares slightly increased by 66 shares, primarily due to convertible bond conversions, while restricted shares decreased by 78,375 shares and unrestricted shares increased by 78,441 shares, mainly due to the annual recalculation of transferable shares for senior executives, with these changes having minimal impact on EPS and net assets per share Share Change Information | Share Type | Quantity Before This Change (shares) | Increase/Decrease in This Change (shares) | Quantity After This Change (shares) | | :--- | :--- | :--- | :--- | | I. Restricted Shares | 33,796,980 | -78,375 | 33,718,605 | | II. Unrestricted Shares | 143,205,241 | 78,441 | 143,283,682 | | III. Total Shares | 177,002,221 | 66 | 177,002,287 | - The main reasons for share changes were the conversion of 66 shares from convertible corporate bonds and a decrease in restricted shares due to the annual recalculation of the statutory transferable share quota for senior executives[106][107] - The share changes were minor, having little impact on basic and diluted earnings per share, and net assets per share attributable to common shareholders for the most recent year and period[108] Restricted Share Changes | Shareholder Name | Restricted Shares at Beginning of Period (shares) | Shares Released from Restriction in Current Period (shares) | Restricted Shares at End of Period (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | | Zhang Xiliang | 19,378,741 | -75,000 | 19,303,741 | Senior Executive Restricted Shares | | MARC YUEH | 3,375 | -3,375 | 0 | Senior Executive Restricted Shares | | 2024 Restricted Stock Incentive Plan First Grant Incentive Objects | 1,390,000 | 0 | 1,390,000 | Equity Incentive Restricted Shares | Securities Issuance and Listing Information The company had no securities issuance or listing activities during the reporting period - The company had no securities issuance or listing activities during the reporting period[110] Number of Shareholders and Shareholding Information At the end of the reporting period, the total number of common shareholders was 19,770, with Zhang Xiliang, Qian Guanghong, and Wuxi Boao Investment Center (Limited Partnership) acting in concert, collectively holding 33.90% of the company's shares, while Zhang Xiliang held 14.77% of shares, including 19,603,741 restricted shares and 11,500,000 pledged shares, and the company's repurchase account held 2,223,800 shares, representing 1.26% of the total share capital - At the end of the reporting period, the total number of common shareholders was 19,770[111] Shareholding of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Percentage | Shares Held at End of Reporting Period (shares) | Restricted Shares Held (shares) | Unrestricted Shares Held (shares) | Pledged, Marked, or Frozen Status (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Zhang Xiliang | Domestic Natural Person | 14.77% | 26,138,321.00 | 19,603,741.00 | 6,534,580 | Pledged 11,500,000 | | Qian Guanghong | Domestic Natural Person | 9.81% | 17,363,486.00 | 13,022,614.00 | 4,340,872 | Not Applicable 0 | | Wuxi Boao Investment Center (Limited Partnership) | Domestic Non-State-Owned Legal Person | 9.33% | 16,508,168.00 | 0.00 | 16,508,168.00 | Not Applicable 0 | - Zhang Xiliang, Qian Guanghong, and Wuxi Boao Investment Center (Limited Partnership) are parties acting in concert[112] - As of June 30, 2025, the company's repurchase account held 2,223,800 shares, accounting for 1.26% of the total share capital[112] Changes in Shareholdings of Directors, Supervisors, and Senior Management During the reporting period, there were no changes in the shareholdings of the company's directors, supervisors, or senior management, with specific details available in the 2024 annual report - The company's directors, supervisors, and senior management had no changes in shareholdings during the reporting period[114] 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 remained unchanged during the reporting period[115] - The company's actual controller remained unchanged during the reporting period[115] Information on Preference Shares The company had no preference shares during the reporting period - The company had no preference shares during the reporting period[116] Bond-Related Information This section provides an overview of the company's bond-related information, including corporate bonds, company bonds, non-financial enterprise debt financing instruments, and details on convertible corporate bonds, along with key financial indicators related to debt and solvency Corporate Bonds The company had no corporate bonds during the reporting period - The company had no corporate bonds during the reporting period[118] Company Bonds The company had no company bonds during the reporting period - The company had no company bonds during the reporting period[119] Non-Financial Enterprise Debt Financing Instruments The company had no non-financial enterprise debt financing instruments during the reporting period - The company had no non-financial enterprise debt financing instruments during the reporting period[120] Convertible Corporate Bonds The company issued RMB 301.38 million in convertible corporate bonds ("Weitang Convertible Bonds," code 123088) on December 15, 2020, with a conversion period from June 21, 2021, to December 14, 2026, and as of the end of the reporting period, there were 6,651 holders and 52,287 shares converted, representing 0.03% of the total shares issued before the conversion start date, with the latest conversion price of RMB 14.97/share to be adjusted to RMB 14.99/share on July 21, 2025, and the company's asset-liability ratio is 38.65% with an A+ credit rating and stable outlook, indicating strong solvency - The company issued 3,013,800 convertible corporate bonds on December 15, 2020, with a total issuance amount of RMB 301.38 million, bond abbreviation "Weitang Convertible Bonds," and bond code "123088"[121] - The conversion period for Weitang Convertible Bonds is from June 21, 2021, to December 14, 2026[121] Convertible Bond Holder Information at Period-End | Convertible Corporate Bond Name | Number of Convertible Bond Holders at Period-End | | :--- | :--- | | Wuxi Weitang Industrial Technology Co., Ltd. 2020 Convertible Corporate Bonds | 6,651 | Convertible Bond Changes during the Reporting Period | Convertible Corporate Bond Name | Amount Before This Change (RMB) | Increase/Decrease in This Change (Conversion) (RMB) | Amount After This Change (RMB) | | :--- | :--- | :--- | :--- | | Wuxi Weitang Industrial Technology Co., Ltd. 2020 Convertible Corporate Bonds | 300,449,500.00 | 1,000.00 | 300,448,500.00 | Cumulative Conversion Information | Convertible Corporate Bond Name | Total Issuance (sheets) | Cumulative Conversion Amount (RMB) | Cumulative Converted Shares (shares) | Unconverted Amount (RMB) | | :--- | :--- | :--- | :--- | :--- | | Wuxi Weitang Industrial Technology Co., Ltd. 2020 Convertible Corporate Bonds | 3,013,800 | 931,500.00 | 52,287 | 300,448,500.00 | - The conversion price has been adjusted multiple times; as of this reporting period, due to the implementation of the 2024 profit distribution plan, the conversion price was adjusted from the original RMB 15.00/share to RMB 14.97/share, effective from June 9, 2025[128] - Due to the repurchase and cancellation of some restricted equity incentive shares, the conversion price will be adjusted from the current RMB 14.97/share to RMB 14.99/share, effective from July 21, 2025[128] - As of the end of this reporting period, the company's total assets were RMB 1.899 billion, total liabilities were RMB 734 million, and the asset-liability ratio was 38.65%[129] - The company's main credit rating is A+, with a stable outlook; the credit rating for "Weitang Convertible Bonds" is maintained at A+[129] Consolidated Statement Scope Loss Exceeding 10% of Net Assets at End of Previous Year during Reporting Period The company did not experience a consolidated statement scope loss exceeding 10% of net assets at the end of the previous year during the reporting period - The company did not experience a consolidated statement scope loss exceeding 10% of net assets at the end of the previous year during the reporting period[130] Key Accounting Data and Financial Indicators for the Past Two Years as of the End of the Reporting Period As of the end of the reporting period, the company's current ratio and quick ratio decreased, while the asset-liability ratio slightly increased, and net profit after deducting non-recurring gains and losses significantly dropped by 87.96%, with interest coverage ratio and EBITDA interest coverage ratio both declining, but cash interest coverage ratio surged by 857.94% Key Accounting Data and Financial Indicators for the Past Two Years | Item | End of Current Reporting Period/Current Reporting Period (RMB 10,000) | End of Prior Year/Prior Year Period (RMB 10,000) | Change from End of Prior Year/Prior Year Period | | :--- | :--- | :--- | :--- | | Current Ratio | 3.23 | 3.33 | -3.00% | | Asset-Liability Ratio | 38.65% | 38.57% | 0.08% | | Quick Ratio | 2.32 | 2.50 | -7.20% | | Net Profit After Deducting Non-recurring Gains and Losses | 310.95 | 2,582.82 | -87.96% | | EBITDA to Total Debt Ratio | 7.61% | 11.33% | -3.72% | | Interest Coverage Ratio | 1.80 | 3.77 | -52.25% | | Cash Interest Coverage Ratio | 197.24 | 20.59 | 857.94% | | EBITDA Interest Coverage Ratio | 4.90 | 6.60 | -25.76% | | Loan Repayment Rate | 100.00% | 100.00% | 0.00% | | Interest Payment Rate | 100.00% | 100.00% | 0.00% | Financial Report This section presents the company's unaudited semi-annual financial statements, including consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owner's equity, along with notes on significant accounting policies, taxation, and other financial details Audit Report The company's semi-annual financial report was unaudited - The company's semi-annual financial report was unaudited[133] Financial Statements This section provides the company's consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owner's equity for the first half of 2025, with consolidated statements showing a 26.60% year-on-year decrease in operating revenue, an 82.03% decrease in net profit, but a 476.45% increase in net cash flow from operating activities Consolidated Balance Sheet Key Data (Period-End Balance) | Item | Period-End Balance (RMB) | | :--- | :--- | | Total Current Assets | 1,169,621,842.17 | | Total Non-Current Assets | 729,465,464.30 | | Total Assets | 1,899,087,306.47 | | Total Current Liabilities | 362,446,154.04 | | Total Non-Current Liabilities | 371,519,091.01 | | Total Liabilities | 733,965,245.05 | | Total Equity Attributable to Parent Company Owners | 1,159,839,419.03 | | Total Owners' Equity | 1,165,122,061.42 | Consolidated Income Statement Key Data (Current Period Amount) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 328,523,621.52 | 447,567,206.43 | | Total Operating Costs | 322,847,158.91 | 412,691,174.69 | | Operating Profit | 9,211,376.44 | 31,336,479.52 | | Total Profit | 9,137,204.36 | 32,246,749.59 | | Net Profit | 4,732,810.87 | 26,600,390.12 | | Net Profit Attributable to Parent Company Shareholders | 4,886,629.43 | 27,187,773.28 | | Basic Earnings Per Share | 0.0276 | 0.1548 | | Diluted Earnings Per Share | 0.0275 | 0.1420 | Consolidated Cash Flow Statement Key Data (Current Period Amount) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 69,211,744.43 | 12,006,612.88 | | Net Cash Flow from Investing Activities | -31,434,190.99 | -45,250,046.88 | | Net Cash Flow from Financing Activities | -43,531,564.01 | -83,665,737.43 | | Net Increase in Cash and Cash Equivalents | 531,303.64 | -116,340,830.12 | Company Basic Information Wuxi Weitang Industrial Technology Co., Ltd. was listed on the Shenzhen Stock Exchange in September 2017, with its registered office at No. 32 Jianhong Road, Hongshan Street, Xinwu District, Wuxi, primarily engaged in the R&D, production, and sales of automotive stamping dies and stamped parts, and its actual controller, Zhang Xiliang, directly and indirectly controls 24.10% of the company's shares, and together with Qian Guanghong and Wuxi Boao, controls 33.90% of the shares through a concerted action agreement - The company was listed on the Shenzhen Stock Exchange in September 2017, with stock code 300707[169] - The company's main business is the design, R&D, production, and sales of automotive stamping dies, as well as the production and sales of automotive stamped parts[169] - The company's controlling shareholder and actual controller is natural person Zhang Xiliang, who directly and indirectly controls 24.10% of the company's shares[170][171] - Zhang Xiliang, Qian Guanghong, and Wuxi Boao collectively hold 33.90% of the company's shares and have signed a concerted action agreement[171] Basis for Preparation of Financial Statements The company's financial statements are prepared on a going concern basis, recognizing and measuring transactions and events in accordance with enterprise accounting standards and their application guidelines and interpretations, and disclosing financial information in compliance with the China Securities Regulatory Commission's "Information Disclosure Rules for Companies Issuing Securities No. 15 – General Provisions for Financial Reports (Revised 2023)," with management assessing the company's going concern ability as good - The company prepares its financial statements on a going concern basis, recognizing and measuring transactions and events in accordance with enterprise accounting standards and their application guidelines and interpretations[172] - The company also discloses relevant financial information in accordance with the China Securities Regulatory Commission's "Information Disclosure Rules for Companies Issuing Securities No. 15 – General Provisions for Financial Reports (Revised 2023)"[172] - The company has assessed its ability to continue as a going concern for 12 months from the end of the reporting period and found no matters affecting its going concern ability[173] Significant Accounting Policies and Estimates This section details the company's significant accounting policies and estimates, including statements of compliance with enterprise accounting standards, accounting period, operating cycle, functional currency, materiality criteria, business combinations, consolidated financial statement preparation, joint arrangements, cash and cash equivalents, foreign currency translation, financial instruments, various receivables, inventories, long-term equity investments, fixed assets, construction in progress, borrowing costs, intangible assets, impairment of long-term assets, long-term deferred expenses, contract liabilities, employee compensation, provisions, share-based payments, revenue, contract costs, government grants, deferred income tax, and leases, with no significant changes in accounting policies or estimates during the reporting period - The company's financial statements comply with enterprise accounting standards, accurately and completely reflecting its financial position[174] - The company's accounting year runs from January 1 to December 31 of the Gregorian calendar, with this financial statement covering the period from January 1, 2025, to June 30, 2025[175] - The company defines investment activity cash flows exceeding 10% of the listed company's most recent audited total assets as significant investment activity cash flows[178] - At initial recognition, the company classifies financial assets as measured at amortized cost, fair value through profit or loss, or fair value through other comprehensive income, based on the business model for managing financial assets and their contractual cash flow characteristics[200] - For notes receivable, accounts receivable, financing receivables, and contract assets, the company measures loss provisions based on expected credit losses over the entire lifetime, regardless of whether a significant financing component exists[210] Expected Credit Loss Rates for Accounts Receivable, Contract Assets, and Other Receivables | Age | Expected Credit Loss Rate for Accounts Receivable (%) | Expected Credit Loss Rate for Contract Assets (%) | Expected Credit Loss Rate for Other Receivables (%) | | :--- | :--- | :--- | :--- | | Within 1 year (inclusive) | 3.00 | 3.00 | 3.00 | | 1 to 2 years (inclusive) | 20.00 | 20.00 | 20.00 | | 2 to 3 years (inclusive) | 50.00 | 50.00 | 50.00 | | Over 3 years | 100.00 | 100.00 | 100.00 | - The company recognizes revenue when it fulfills its performance obligations in the contract, meaning when the customer obtains control of the related goods[269] - During the reporting period, the company had no significant changes in accounting policies or significant changes in accounting estimates[297] Taxation This section lists the company's main tax categories and rates, including VAT, urban maintenance and construction tax, corporate income tax, and property tax, noting that the company enjoys a 15% corporate income tax preferential rate as a high-tech enterprise, with R&D expenses eligible for 100% super deduction, and some subsidiaries qualify as small low-profit enterprises, benefiting from a 20% corporate income tax rate on 25% of their taxable income Main Tax Categories and Rates | Tax Type | Tax Rate | | :--- | :--- | | Value-Added Tax | 19%, 13%, 10%, 9%, 6%, 3%, 0% | | Urban Maintenance and Construction Tax | 7% | | Corporate Income Tax | 30.21%, 25%, 21%, 20%, 15% | | Property Tax | 12% or 1.2% | | Urban Land Use Tax | RMB 3/㎡, RMB 10/㎡ | | Education Surcharge | 3% | | Local Education Surcharge | 2% | | Stamp Duty | 0.005%-0.1% | | Water Conservancy Fund | 0.06% | | Vehicle and Vessel Use Tax | RMB 180-1200/vehicle | - Wuxi Weitang Industrial Technology Co., Ltd. enjoys a preferential corporate income tax rate of 15% from 2023 to 2025[299] - Effective from January 1, 2021, the company's actual R&D expenses incurred in the current year are allowed an additional 100% d