CTC(SH:603060)2025-08-28 11:30Financial Performance - The company's revenue for the first half of the year was approximately ¥1.05 billion, representing a year-on-year increase of 1.31% compared to ¥1.04 billion in the same period last year[21]. - Total profit decreased significantly by 76.25% to approximately ¥8.19 million from ¥34.49 million in the previous year[21]. - Net profit attributable to shareholders dropped by 77.94% to approximately ¥5.81 million, down from ¥26.34 million year-on-year[21]. - The basic earnings per share decreased by 78.05% to ¥0.0072 from ¥0.0328 in the same period last year[22]. - The weighted average return on equity fell by 1.08 percentage points to 0.28% compared to 1.36% in the previous year[22]. - The net cash flow from operating activities was negative at approximately ¥36.45 million, slightly worse than the negative ¥34.53 million from the previous year, a decrease of 5.56%[21]. - The company's total assets increased by 1.31% to approximately ¥5.71 billion from ¥5.64 billion at the end of the previous year[21]. - The company achieved operating revenue of CNY 1,054.84 million, a year-on-year increase of 1.31%[48]. - The total profit was CNY 8.19 million, a year-on-year decrease of 76.25%[48]. - Net profit reached CNY 4.43 million, down 81.30% year-on-year[48]. Risk Management - The report includes a detailed description of potential risks in the "Management Discussion and Analysis" section[6]. - The company emphasizes the importance of risk management in its strategic planning and future outlook[4]. - The company faces risks from potential damage to its credibility, which could impact business expansion and performance[71]. - The company plans to optimize its business layout and focus on strategic emerging industries to mitigate market and policy risks[72]. - The company has strengthened its risk management and compliance training for directors and senior management to enhance governance capabilities[84]. Corporate Governance - The board of directors confirmed the authenticity, accuracy, and completeness of the semi-annual report, with all directors present at the meeting[3]. - The company has made significant progress in governance by optimizing its internal governance structure and ensuring compliance with updated regulations[82]. - The company has established a technology committee and six specialized committees, resulting in the acquisition of one international patent and four awards in building materials science and technology during the reporting period[80]. - The company has revised its information disclosure management measures to enhance the quality and effectiveness of communication with investors[81]. - The company has fulfilled its commitments regarding avoiding competition and related transactions, with no breaches reported during the reporting period[92]. International Expansion - The company is focusing on international expansion, having established a holding subsidiary in Nigeria, marking its first overseas branch[28]. - The company established a new subsidiary in Nigeria to enhance its international presence and expand overseas inspection and certification services[69]. Research and Development - The company holds 256 valid invention patents and has completed over 200 provincial and ministerial-level research projects[54][55]. - The company has a significant focus on research and development in safety production and environmental protection technologies[174]. - Research and development expenses for the first half of 2025 were ¥89,973,584.36, slightly lower than ¥94,252,535.32 in 2024, representing a decrease of approximately 4.5%[151]. Market Trends - The domestic inspection and testing market is projected to grow at a compound annual growth rate of 11.6% from 2014 to 2024, driven by increasing demand in emerging sectors[30]. - In 2024, the inspection and testing industry in China is projected to reach a value of CNY 487.6 billion, growing by 4.4% year-on-year, with a compound annual growth rate (CAGR) of only 6.0% from 2022 to 2024[35]. - The number of inspection and testing institutions in China decreased by 1.46% year-on-year to 53,057 by the end of 2024, marking the first decline in nearly 20 years[35]. Financial Management - The company has a debt-to-asset ratio of 53.58%, which is within a reasonable range[48]. - The company reported a total deposit amount of CNY 1,947,317,428.06 with a year-end balance of CNY 179,767,565.27, reflecting a significant increase in deposits during the period[103]. - The loan limit with related parties was CNY 530,000,000.00, with a year-end balance of CNY 90,312,223.85 after disbursing CNY 41,312,223.85 and recovering CNY 75,683,801.00 during the period[105]. - The company raised a total of CNY 80,000,000.00 through convertible bonds, with a net amount of CNY 79,214,15. The cumulative investment progress reached 66.44%[109]. Shareholder Information - The cash dividend for the fiscal year 2024 is set at 0.114 yuan per share, totaling approximately 91.65 million yuan, which represents 45% of the net profit attributable to shareholders, marking a historical high for the company[79]. - The largest shareholder, China Building Materials Science Research Institute Co., Ltd., holds 64.27% of the shares, totaling 516,685,203 shares[124]. - The second largest shareholder, Qinhuangdao Glass Industry Research and Design Institute Co., Ltd., holds 1.69% of the shares, totaling 13,607,657 shares[124]. Compliance and Regulations - The company confirmed that the financial company complies with the regulatory requirements and has no significant risk management deficiencies[100]. - The company is actively cooperating with regulatory inquiries regarding its convertible bond issuance[129]. - The company has committed not to engage in financial or quasi-financial services with the funds raised from the convertible bond issuance[130]. Operational Highlights - The company issued 542,461 inspection reports in the first half of 2025, with inspection revenue amounting to CNY 744.92 million, a slight decline of 0.48% year-on-year[40]. - The certification business generated revenue of CNY 48.40 million in the reporting period, reflecting a year-on-year increase of 0.57%[43]. - The measurement and calibration business achieved revenue of CNY 22.78 million in the first half of 2025, marking a year-on-year growth of 12.11%[45].