南方精工(002553) - 2025 Q2 - 季度财报

Section I Important Notice, Table of Contents, and Definitions Important Notice The company's board, supervisory board, and senior management ensure the semi-annual report's integrity, with no cash dividends, bonus shares, or capital reserve conversions planned for the period - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report[4] - Company head Shi Jianwei, chief accountant Gu Zhenjiang, and head of accounting department Gu Zhenjiang declare the financial report is true, accurate, and complete[4] - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital[5] Catalog of Reference Documents This section lists the company's semi-annual report reference documents, including financial statements and original disclosures, stored in the securities department office - Reference documents include: financial statements bearing the signatures and seals of the company head, chief accountant, and head of accounting department; originals and announcement drafts of all company documents publicly disclosed during the reporting period; the original 2025 semi-annual report signed by Mr. Shi Jianwei, the company's legal representative; and other related documents[9] - Location of the above documents: Company Securities Department Office[10] Definitions This section defines key terms used in the report, covering legal, corporate, product, and temporal aspects for clarity Key Definitions for the Reporting Period | Term | Definition | | :--- | :--- | | Company, the Company, Nanfang Precision | Jiangsu Nanfang Precision Co., Ltd. | | Jiangsu Nanfang Bearing | Jiangsu Nanfang Bearing Co., Ltd. | | Nanfang Changsheng | Jiangsu Nanfang Changsheng New Energy Technology Co., Ltd. | | Shanghai Zhencheng | Shanghai Zhencheng Microelectronics Technology Co., Ltd. | | Reporting Period | January 1, 2025 to June 30, 2025 | | Same Period Last Year, Last Year's Period | January 1, 2024 to June 30, 2024 | Section II Company Profile and Key Financial Indicators I. Company Profile Jiangsu Nanfang Precision Co., Ltd. (002553) is listed on the Shenzhen Stock Exchange, with Shi Jianwei as its legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Nanfang Precision | | Stock Code | 002553 | | Stock Exchange for Listing | Shenzhen Stock Exchange | | Company Chinese Name | Jiangsu Nanfang Precision Co., Ltd. | | Legal Representative | Shi Jianwei | II. Contact Persons and Contact Information The company provides contact details for its Board Secretary and Securities Affairs Representative to facilitate investor communication Company Contact Information | Position | Name | Contact Address | Phone | Fax | Email | | :--- | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Wang Fang | No. 9 Longxiang Road, Wujin High-tech Development Zone, Changzhou City, Jiangsu Province | 0519-67893573 | 0519-89810195 | zhengquanbu@nf-precision.com | | Securities Affairs Representative | He Tian | No. 9 Longxiang Road, Wujin High-tech Development Zone, Changzhou City, Jiangsu Province | 0519-67893573 | 0519-89810195 | zhengquanbu@nf-precision.com | III. Other Information The company's contact details, information disclosure, and document storage locations remained unchanged during the reporting period - The company's registered address, office address, website, and email address remained unchanged during the reporting period[16] - Information disclosure and document storage locations remained unchanged during the reporting period[17] - Other relevant information showed no changes during the reporting period[19] IV. Key Accounting Data and Financial Indicators In H1 2025, operating revenue grew by 13.92%, and net profit attributable to shareholders surged by 32,852.69%, driven by non-recurring items Key Accounting Data and Financial Indicators for H1 2025 | Indicator | Current Reporting Period (yuan) | Same Period Last Year (yuan) | Year-on-Year Change in Current Reporting Period | | :--- | :--- | :--- | :--- | | Operating Revenue | 414,142,643.89 | 363,524,498.35 | 13.92% | | Net Profit Attributable to Shareholders of the Listed Company | 229,465,289.97 | -700,599.73 | 32,852.69% | | Net Profit Attributable to Shareholders of the Listed Company (Excluding Non-Recurring Gains and Losses) | 64,845,593.94 | 58,659,982.21 | 10.54% | | Net Cash Flow from Operating Activities | 34,099,602.95 | 36,967,169.55 | -7.76% | | Basic Earnings Per Share (yuan/share) | 0.6594 | -0.0020 | 33,070.00% | | Diluted Earnings Per Share (yuan/share) | 0.6594 | -0.0020 | 33,070.00% | | Weighted Average Return on Net Assets | 18.40% | -0.06% | 18.46% | | Indicator | End of Current Reporting Period (yuan) | End of Last Year (yuan) | Change from End of Last Year | | :--- | :--- | :--- | :--- | | Total Assets | 1,682,526,911.28 | 1,434,598,769.38 | 17.28% | | Net Assets Attributable to Shareholders of the Listed Company | 1,326,597,110.17 | 1,132,806,154.26 | 17.11% | V. Differences in Accounting Data Under Domestic and Overseas Accounting Standards The company reported no differences in net profit or net assets between domestic and international accounting standards during the period - During the reporting period, the company had no differences in net profit and net assets in financial reports disclosed under International Accounting Standards compared to Chinese Accounting Standards[20] - During the reporting period, the company had no differences in net profit and net assets in financial reports disclosed under overseas accounting standards compared to Chinese Accounting Standards[21] VI. Non-Recurring Gains and Losses and Their Amounts Total non-recurring gains and losses for the period were 164.62 million yuan, mainly from fair value changes and disposal gains/losses on financial instruments Non-Recurring Gains and Losses for H1 2025 | Item | Amount (yuan) | Description | | :--- | :--- | :--- | | Gains and Losses from Disposal of Non-Current Assets | -7,601.55 | | | Government Subsidies Recognized in Current Profit and Loss (Excluding Those with Continuous Impact) | 1,664,204.38 | | | Fair Value Change Gains and Losses and Disposal Gains and Losses from Financial Assets and Liabilities Held by Non-Financial Enterprises | 193,494,966.32 | | | Other Non-Operating Income and Expenses Apart from the Above Items | -1,000,056.70 | | | Less: Income Tax Impact | 29,131,171.26 | | | Impact on Minority Shareholders' Equity (After Tax) | 400,645.16 | | | Total | 164,619,696.03 | | - The company has no other profit and loss items that meet the definition of non-recurring gains and losses, nor does it classify non-recurring gains and losses as recurring gains and losses[23][24] Section III Management Discussion and Analysis I. Main Business Activities During the Reporting Period The company, a precision machinery manufacturer, diversified into new energy vehicle parts and integrated circuits, maintaining stable operations and no significant changes in its business model - The company's main business includes the R&D, manufacturing, and sales of precision components such as needle roller bearings, one-way clutches, one-way pulley assemblies, and mechanical parts[26] - Product application areas have expanded to new energy vehicles, commercial vehicles, industrial robots, reducers, electric scroll compressors, and other fields[26] - The company expanded its new energy vehicle parts business by establishing Nanfang Changsheng and entered the integrated circuit industry by acquiring a controlling stake in Shanghai Zhencheng, enhancing its diversified operational capabilities[26] (I) Company's Main Business The company, a precision machinery manufacturer, focuses on bearings and clutches, actively expanding into new energy vehicle components and integrated circuits, with stable operations - The company's main business is the R&D, manufacturing, and sales of precision components such as needle roller bearings, one-way clutches, one-way pulley assemblies, and mechanical parts[26] - Product application areas have expanded from fuel passenger vehicles and motorcycles to new energy vehicles, commercial vehicles, industrial robots, reducers, electric scroll compressors, and more[26] - The company expanded its new energy vehicle parts business by establishing Nanfang Changsheng and entered the integrated circuit industry by acquiring a controlling stake in Shanghai Zhencheng[26] (II) Industry Operating Conditions In H1 2025, China's GDP grew by 5.3%; the company's revenue was largely from automotive and precision bearings, with strong growth in new energy vehicles - In the first half of 2025, China's Gross Domestic Product (GDP) grew by 5.3% year-on-year, indicating stable economic growth[28] Company Operating Revenue Composition for H1 2025 | Composition | Proportion | | :--- | :--- | | Automotive Industry | 63.20% | | Precision Bearing Products | 58.34% | Automotive and Bearing Industry Production and Sales Data for January-June 2025 | Indicator | Automotive Production/Sales (ten thousand vehicles) | Year-on-Year Growth | New Energy Vehicle Production/Sales (ten thousand vehicles) | Year-on-Year Growth | Bearing Output (hundred million sets) | Year-on-Year Growth | Bearing Sales Volume (hundred million sets) | Year-on-Year Growth | Bearing Export Sales Volume (hundred million sets) | Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jan-Jun | 1562.1 (Production) / 1565.3 (Sales) | 12.5% (Production) / 11.4% (Sales) | 696.8 (Production) / 693.7 (Sales) | 41.4% (Production) / 40.3% (Sales) | 45.97 | 7.40% | 46.77 | 4.99% | 12.07 | -1.5% | II. Analysis of Core Competitiveness The company's core competitiveness remained stable, driven by strong R&D, established customer relationships, and a robust talent development system - The company's core competitiveness has not undergone significant changes, and key technical personnel remain stable[32] - The company maintains core competitive advantages in technology R&D, customer resources, and talent development[32] (I) Technological R&D Competitiveness The company maintains strong R&D competitiveness through continuous innovation, national-level platforms, and active patenting, with 172 effective patents - Leveraging advanced manufacturing process technology, experience, and product R&D capabilities, the company was an early entrant into the global procurement systems of internationally renowned automotive component suppliers in the domestic needle roller bearing industry[34] - The company possesses national-level postdoctoral workstations, provincial engineering technology research centers, and other scientific research platforms, with over 170 technical R&D personnel[35] Patent Situation for H1 2025 | Indicator | Applications | Grants | Effective as of H1 End | | :--- | :--- | :--- | :--- | | Total Patents | 13 | 15 | 172 | | Invention Patents | 5 | 3 | 38 | (II) Customer Resource Advantage The company benefits from long-term, stable high-end customer relationships with major automotive and motorcycle industry players, earning multiple awards - The company possesses long-term stable high-end customer resources, which is a concentrated reflection of its comprehensive competitive advantage[38] - The company maintains stable strategic cooperative relationships with internationally renowned automotive component suppliers (such as Valeo, Bosch, ZF) and domestic and international motorcycle OEMs (such as Honda, Suzuki)[39] - The company has successively received honorary awards such as the 'Thornge Excellent Service Award' and 'Wuyang Honda Quality Excellence Award'[38] (III) Significant Achievements in Tiered Talent Development System The company prioritizes talent development, implementing an integrated 'select, cultivate, utilize, retain' system to build a professional and dynamic core team - The company highly values talent development, establishing an integrated 'selection, cultivation, utilization, and retention' talent development system[40] - Mechanisms such as performance incentives, specialized training, talent vehicle services, and special car purchase subsidies stimulate employee enthusiasm and creativity[40] - The company is committed to building a professional, youthful, and highly effective core team, maintaining team stability and organizational vitality[40] III. Analysis of Main Business In H1 2025, operating revenue grew by 13.92% to 414 million yuan, with financial expenses down 103.56%; automotive and precision bearings dominated revenue, while integrated circuits saw significant growth - There were no significant changes in the company's profit composition or sources of profit during the reporting period[43] Key Financial Data Year-on-Year Changes for H1 2025 | Indicator | Current Reporting Period (yuan) | Same Period Last Year (yuan) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 414,142,643.89 | 363,524,498.35 | 13.92% | | | Operating Cost | 284,838,615.12 | 242,128,635.55 | 17.64% | | | Financial Expenses | -8,061,052.80 | -3,959,958.49 | -103.56% | Increased exchange gains year-on-year | | Income Tax Expense | 35,412,809.72 | -3,895,961.68 | 1,008.96% | Increase in total profit | | Net Cash Flow from Investing Activities | 106,386,187.26 | -136,062,964.30 | 178.19% | Increased cash received from divestment of Pan Asia Micro-Permeable shares and decreased cash paid for investments | | Net Cash Flow from Financing Activities | 9,468,099.81 | -21,074,016.39 | 144.93% | Last year's dividends not yet distributed | Operating Revenue Composition for H1 2025 (by Industry, Product, Region) | Category | Item | Amount (yuan) | Proportion of Operating Revenue | Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | | By Industry | Automotive Industry | 223,866,885.71 | 54.06% | 5.94% | | | Motorcycle Industry | 89,929,962.51 | 21.71% | 14.41% | | | New Energy Vehicles | 37,834,928.30 | 9.14% | 6.83% | | | Industrial Robots | 9,850,831.26 | 2.38% | 57.16% | | | Integrated Circuit Industry | 18,810,432.92 | 4.54% | 1,881.01% | | By Product | Precision Bearings | 241,616,323.09 | 58.34% | 10.00% | | | One-Way Clutches | 86,797,833.05 | 20.96% | 17.38% | | | One-Way Pulley Assemblies | 61,200,089.92 | 14.78% | 3.65% | | | Integrated Circuit Design and Software/Hardware | 18,810,432.92 | 4.54% | 1,881.01% | | By Region | Domestic | 301,352,377.69 | 72.77% | 18.20% | | | International | 112,790,266.20 | 27.23% | 3.89% | IV. Analysis of Non-Core Business Non-core business significantly boosted total profit, primarily from fair value changes and investment income, but these gains are not sustainable Impact of Non-Core Business on Total Profit for H1 2025 | Item | Amount (yuan) | Proportion of Total Profit | Reason for Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 31,171,521.75 | 12.07% | Dividends and divestment gains from Pan Asia Micro-Permeable shares held | Not sustainable | | Fair Value Change Gains and Losses | 162,821,926.14 | 63.06% | Fair value change gains from Pan Asia Micro-Permeable shares held | Not sustainable | | Asset Impairment | -4,182,199.85 | -1.62% | | Not sustainable | | Non-Operating Expenses | 1,000,056.70 | 0.39% | | Not sustainable | | Other Income | 2,662,200.33 | 1.03% | | Not sustainable | | Credit Impairment Losses | -2,900,258.37 | -1.12% | | Not sustainable | V. Analysis of Assets and Liabilities Total assets grew by 17.28%; cash, non-current financial assets, and deferred tax liabilities increased, while accounts receivable and fixed assets decreased Significant Changes in Asset Composition for H1 2025 | Item | Amount at End of Current Period (yuan) | Proportion of Total Assets | Amount at End of Last Year (yuan) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 593,956,019.43 | 35.30% | 441,795,680.26 | 30.80% | 4.50% | | Accounts Receivable | 228,884,324.95 | 13.60% | 225,596,072.21 | 15.73% | -2.13% | | Inventories | 158,945,951.62 | 9.45% | 149,591,941.25 | 10.43% | -0.98% | | Fixed Assets | 203,929,687.57 | 12.12% | 209,574,160.01 | 14.61% | -2.49% | | Other Non-Current Financial Assets | 337,144,200.00 | 20.04% | 258,756,704.54 | 18.04% | 2.00% | | Contract Liabilities | 4,416,847.51 | 0.26% | 15,642,345.76 | 1.09% | -0.83% | | Deferred Income Tax Liabilities | 26,611,747.67 | 1.58% | 12,333,682.08 | 0.86% | 0.72% | - There were no significant changes in the measurement attributes of the company's main assets during the reporting period[52] Asset Restrictions as of the End of the Reporting Period | Item | Book Balance (yuan) | Book Value (yuan) | Type of Restriction | Restriction Details | | :--- | :--- | :--- | :--- | :--- | | Notes Receivable | 15,526,349.96 | 15,438,074.89 | Endorsement | Endorsement | VI. Analysis of Investment Status Investment decreased by 100% during the period, with no significant equity, non-equity, securities, or derivative investments, and no use of raised funds Investment Amount Changes for H1 2025 | Indicator | Investment Amount in Reporting Period (yuan) | Investment Amount in Same Period Last Year (yuan) | Change Rate | | :--- | :--- | :--- | :--- | | Investment Amount | 0.00 | 125,000,000.00 | -100.00% | - During the reporting period, the company had no securities investments, derivative investments, significant equity investments, or significant non-equity investments[55][56] - The company had no use of raised funds during the reporting period[57] VII. Significant Asset and Equity Sales The company did not engage in any significant asset or equity sales during the reporting period - The company did not sell any significant assets during the reporting period[58] - The company did not sell any significant equity during the reporting period[59] VIII. Analysis of Major Holding and Participating Companies Major subsidiaries include automotive bearing and microelectronics firms; Shanghai Zhencheng Microelectronics had the highest revenue, but several subsidiaries reported negative net profits Financial Performance of Major Holding and Participating Companies for H1 2025 | Company Name | Company Type | Main Business | Registered Capital (yuan) | Total Assets (yuan) | Net Assets (yuan) | Operating Revenue (yuan) | Operating Profit (yuan) | Net Profit (yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jiangsu Nanfang Automotive Compressor Bearing Co., Ltd. | Subsidiary | R&D, manufacturing, and sales of automotive air conditioning compressor parts | 20,000,000.00 | 1,720,540.16 | 1,447,475.93 | 7,725.67 | -9,819.34 | -9,869.34 | | Nanfang Bearing(Germany)GmbH | Subsidiary | Bearing sales | 7,804,033.00 | 14,807,460.40 | -2,542,901.46 | 200,581.51 | -1,618,314.76 | -1,618,314.76 | | Shanghai Zhencheng Microelectronics Technology Co., Ltd. | Subsidiary | Integrated circuit, computer software development, design, and sales | 20,408,163.00 | 40,456,341.98 | 30,274,497.32 | 19,135,085.18 | -9,190,590.08 | -9,078,642.96 | | Jiangsu Nanfang Changsheng New Energy Technology Co., Ltd. | Subsidiary | R&D, production, and sales of new energy vehicle electric compressor products, new energy thermal management systems and components, and electronic intelligent control products | 20,000,000.00 | 60,045,483.53 | -5,572,370.10 | 431,199.90 | -10,379,201.71 | -6,905,573.23 | | Nanfang Yongning New Energy Automotive Bearing (Zhejiang) Co., Ltd. | Subsidiary | Bearing manufacturing and sales | 10,000,000.00 | 6,920,703.51 | 2,882,636.47 | 3,346,439.08 | -418,352.76 | -313,764.57 | - The company did not acquire or dispose of any subsidiaries during the reporting period[61] IX. Information on Structured Entities Controlled by the Company The company had no structured entities under its control during the reporting period - The company had no structured entities under its control during the reporting period[62] X. Risks Faced by the Company and Countermeasures The company faces macroeconomic, trade, raw material, exchange rate, and operational risks, addressed by market monitoring, R&D, market expansion, pricing mechanisms, and governance optimization - The company faces risks from macroeconomic fluctuations and market volatility in downstream industries, which could lead to a decline in operating performance[62] - International trade friction may affect the company's export sales revenue; the company will actively explore domestic, ASEAN, and EU markets[63] - Price fluctuations of main raw materials (bearing steel and steel products) affect production costs; the company will adopt a steel price linkage quotation mechanism and enhance product added value[64] - Exchange rate fluctuation risk is primarily related to export business settled in USD and EUR; the company will establish a quotation-exchange rate linkage mechanism and utilize hedging tools[66] - Operational management risks increase with company expansion; the company will enhance management by improving governance mechanisms, optimizing processes, and attracting talent[67] XI. Implementation of Market Value Management System and Valuation Enhancement Plan The company has not established a market value management system or disclosed a valuation enhancement plan - The company has not formulated a market value management system[68] - The company has not disclosed a valuation enhancement plan[68] XII. Implementation of the 'Dual Enhancement of Quality and Returns' Action Plan The company has not disclosed an announcement regarding the 'Dual Enhancement of Quality and Returns' action plan - The company has not disclosed an announcement regarding the 'Dual Enhancement of Quality and Returns' action plan[68] Section IV Corporate Governance, Environment, and Society I. Changes in Directors, Supervisors, and Senior Management No changes occurred in the company's directors, supervisors, or senior management during the reporting period - There were no changes in the company's directors, supervisors, and senior management during the reporting period[70] II. Profit Distribution and Capital Reserve Conversion to Share Capital for the Current Reporting Period The company plans no cash dividends, bonus shares, or capital reserve conversions for the semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[71] III. Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[72] IV. Environmental Information Disclosure The company and its main subsidiary are on the list of enterprises required to disclose environmental information by law, with a query index provided - The listed company and its main subsidiaries are included in the list of enterprises required to disclose environmental information by law[73] Enterprises Included in the List for Environmental Information Disclosure | No. | Enterprise Name | Query Index for Environmental Information Disclosure Report | | :--- | :--- | :--- | | 1 | Jiangsu Nanfang Precision Co., Ltd. | http://ywxt.sthjt.jiangsu.gov.cn:18181/spsarchivewebapp/web/viewRunner.html?viewId=http://ywxt.sthjt.jiangsu.gov.cn:18181/spsarchivewebapp/web/sps/views/yfpl/views/yfplHomeNew/index.js | V. Social Responsibility The company actively fulfills social responsibilities by prioritizing investor interests, employee welfare, customer and supplier relations, environmental protection, and public welfare - The company strictly adheres to laws and regulations to improve its corporate governance structure, operate compliantly, ensure truthful, accurate, timely, complete, and fair information disclosure, and protect the legitimate rights and interests of all shareholders[75] - The company adheres to a 'people-oriented' philosophy, established Nanfang Business School to cultivate talent, and focuses on employee safety and well-being, organizing team activities[77] - The company values relationships with suppliers and customers, ensuring product quality, promptly responding to customer needs, and assisting suppliers in improving their management levels[78] - The company highly prioritizes environmental protection, clean production, and energy conservation and emission reduction, transitioning towards low-carbon manufacturing through process optimization, energy efficiency improvements, and clean energy substitution[79] - During the reporting period, the company made donations to the China National Committee on Aging Development Foundation, fulfilling its social responsibility and promoting public welfare and charity[80] Section V Significant Matters I. Commitments Fulfilled During the Reporting Period and Overdue Unfulfilled Commitments by the Company's Actual Controller, Shareholders, Related Parties, Acquirers, and the Company All commitments by the actual controller, shareholders, directors, and senior management regarding non-competition, related-party transactions, fund occupation, social security, tax, and shareholder returns were fulfilled on time - The company's actual controller and controlling shareholders, Shi Jianwei, Shi Juanhua, and Shi Wei, committed not to engage in businesses that compete with the company and to bear relevant legal responsibilities[82] - The company committed that no related-party sales or purchases will occur with Minli Bearing, Nanfang Motorcycle Starter Gear Factory, or Haifeng Machinery in the future[82] - The company's controlling shareholders and actual controller committed to bear the supplementary payment obligations and losses arising from historical failures to pay employee social security and housing provident funds, as well as tax arrears and penalties[84] - The company disclosed its shareholder return plan for the next three years (2025-2027), prioritizing cash dividends, with annual cash dividends not less than 10% of the distributable profit for the year[87] - The company's actual controller, directors, and senior management committed not to overstep their authority in interfering with company operations, not to infringe upon company interests, to restrain job-related consumption, and to link the compensation system with measures to mitigate dilution of returns[91] - All commitments were fulfilled on time, with no overdue unfulfilled situations[91][92] II. Non-Operating Fund Occupation by Controlling Shareholders and Other Related Parties of the Listed Company No non-operating fund occupation by controlling shareholders or related parties occurred during the reporting period - During the reporting period, there was no non-operating occupation of funds by controlling shareholders or other related parties of the listed company[93] III. Irregular External Guarantees The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[94] IV. Appointment and Dismissal of Accounting Firms The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[95] V. Board of Directors' and Supervisory Board's Explanation of 'Non-Standard Audit Report' for the Current Period The company had no non-standard audit reports during the reporting period - The company had no non-standard audit reports during the reporting period[96] VI. Board of Directors' Explanation of 'Non-Standard Audit Report' for the Previous Year The company had no non-standard audit reports during the reporting period - The company had no non-standard audit reports during the reporting period[96] VII. Bankruptcy and Reorganization Matters The company did not experience any bankruptcy or reorganization matters during the reporting period - The company did not experience any bankruptcy or reorganization matters during the reporting period[96] VIII. Litigation Matters The company had no significant litigation, arbitration, or other litigation matters during the reporting period - The company had no significant litigation or arbitration matters during the current reporting period[97] - The company had no other litigation matters during the reporting period[97] IX. Penalties and Rectification The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[97] X. Integrity Status of the Company, its Controlling Shareholders, and Actual Controller No integrity issues were reported for the company, its controlling shareholders, or actual controller during the period - During the reporting period, there were no issues regarding the integrity status of the company, its controlling shareholders, or actual controller[98] XI. Significant Related-Party Transactions The company reported no significant related-party transactions, including those related to operations, asset/equity dealings, joint investments, or debt, during the period - The company had no related-party transactions related to daily operations during the reporting period[98] - The company had no related-party transactions involving asset or equity acquisition/disposal during the reporting period[99] - The company had no related-party transactions involving joint external investments during the reporting period[100] - There were no related-party creditor-debtor relationships during the reporting period[101] - There were no deposits, loans, credit lines, or other financial transactions between the company and affiliated finance companies or related parties[102] - The company had no other significant related-party transactions during the reporting period[104] XII. Significant Contracts and Their Performance The company had no entrustment, contracting, leasing, significant guarantees, entrusted wealth management, or other major contracts during the reporting period - The company had no entrustment situations during the reporting period[105] - The company had no contracting situations during the reporting period[106] - The company had no leasing situations during the reporting period[107] - The company had no significant guarantee situations during the reporting period[108] - The company had no entrusted wealth management during the reporting period[109] - The company had no other significant contracts during the reporting period[110] XIII. 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[111] XIV. Significant Matters of Company Subsidiaries The company's subsidiaries had no significant matters during the reporting period - The company's subsidiaries had no significant matters during the reporting period[112] Section VI Share Changes and Shareholder Information I. Share Change Situation Total share capital remained at 348 million shares, with no changes in restricted/unrestricted shares, no repurchase progress, and no impact on financial indicators Share Change Situation for H1 2025 | Share Class | Quantity Before Change (shares) | Proportion Before Change | Increase/Decrease in Current Change (shares) | Quantity After Change (shares) | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 97,200,000 | 27.93% | 0 | 97,200,000 | 27.93% | | 3. Other Domestic Shares | 97,200,000 | 27.93% | 0 | 97,200,000 | 27.93% | | Shares held by domestic natural persons | 97,200,000 | 27.93% | 0 | 97,200,000 | 27.93% | | II. Unrestricted Shares | 250,800,000 | 72.07% | 0 | 250,800,000 | 72.07% | | 1. RMB Ordinary Shares | 250,800,000 | 72.07% | 0 | 250,800,000 | 72.07% | | III. Total Shares | 348,000,000 | 100.00% | 0 | 348,000,000 | 100.00% | - During the reporting period, there were no changes in the reasons for share changes, approval status, transfer status, progress of share repurchase implementation, or impact on financial indicators[115][116] II. Securities Issuance and Listing The company had no securities issuance or listing situations during the reporting period - The company had no securities issuance or listing situations during the reporting period[116] III. Number of Shareholders and Shareholding Structure As of period-end, the company had 93,738 ordinary shareholders; controlling shareholder Shi Jianwei held 34.60%, with several top shareholders having related-party or concerted action relationships - The total number of ordinary shareholders at the end of the reporting period was 93,738[117] Shareholding of Shareholders Holding 5% or More or Top 10 Shareholders at Period-End | Shareholder Name | Shareholder Nature | Shareholding Proportion | Number of Shares Held at Period-End (shares) | Number of Restricted Shares Held (shares) | Number of Unrestricted Shares Held (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | | Shi Jianwei | Domestic Natural Person | 34.60% | 120,400,000 | 90,300,000 | 30,100,000 | | Shi Wei | Domestic Natural Person | 2.64% | 9,200,000 | 6,900,000 | 2,300,000 | | Zhejiang Yinwan Private Equity Fund Management Co., Ltd. - Yinwan Quanying No. 30 Private Securities Investment Fund | Other | 2.00% | 6,957,230 | 0 | 6,957,230 | | Xu Weinan | Domestic Natural Person | 0.96% | 3,357,832 | 0 | 3,357,832 | | Shi Jianzhong | Domestic Natural Person | 0.57% | 2,000,000 | 0 | 2,000,000 | - The company's controlling shareholders and actual controllers are Shi Jianwei, Shi Juanhua, and Shi Wei; Shi Jianwei is the Chairman, Shi Juanhua is Shi Jianwei's wife, and Shi Wei is Shi Jianwei's daughter. Xu Weinan is Shi Jianwei's brother-in-law, and Shi Jianzhong is Shi Jianwei's brother[118] - Zhejiang Yinwan Private Equity Fund Management Co., Ltd. - Yinwan Quanying No. 30 Private Securities Investment Fund signed a 'Concerted Action Agreement' with Ms. Shi Juanhua, fully entrusting Ms. Shi Juanhua to exercise shareholder rights[118] IV. Changes in Shareholdings of Directors, Supervisors, and Senior Management No changes occurred in the shareholdings of the company's directors, supervisors, or senior management during the reporting period - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period[121] V. Changes in Controlling Shareholder or Actual Controller No changes occurred in the company's controlling shareholder or actual controller during the reporting period - The company's controlling shareholder did not change during the reporting period[122] - The company's actual controller did not change during the reporting period[122] VI. Preferred Share Information The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[123] Section VII Bond-Related Information The company had no bond-related information during the reporting period - The company had no bond-related information during the reporting period[125] Section VIII Financial Report I. Audit Report The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[127] II. Financial Statements This section presents the company's H1 2025 consolidated and parent company financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in owners' equity - This section includes the consolidated balance sheet, parent company balance sheet, consolidated income statement, parent company income statement, consolidated cash flow statement, parent company cash flow statement, consolidated statement of changes in owners' equity, and parent company statement of changes in owners' equity[128][135][139][144][149][150][152][162] 1. Consolidated Balance Sheet As of June 30, 2025, total consolidated assets reached 1.683 billion yuan, up 17.28%, with total owners' equity at 1.337 billion yuan Key Data from Consolidated Balance Sheet as of June 30, 2025 | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Total Assets | 1,682,526,911.28 | 1,434,598,769.38 | | Total Current Assets | 1,054,788,475.59 | 884,096,503.84 | | Total Non-Current Assets | 627,738,435.69 | 550,502,265.54 | | Total Liabilities | 345,651,872.04 | 284,993,284.97 | | Total Owners' Equity | 1,336,875,039.24 | 1,149,605,484.41 | 2. Parent Company Balance Sheet As of June 30, 2025, parent company total assets reached 1.670 billion yuan, up 19.19%, with total owners' equity at 1.403 billion yuan Key Data from Parent Company Balance Sheet as of June 30, 2025 | Item | Period-End Balance (yuan) | Period-Beginning Balance (yuan) | | :--- | :--- | :--- | | Total Assets | 1,670,092,299.84 | 1,401,150,492.92 | | Total Current Assets | 1,023,133,188.55 | 834,151,702.13 | | Total Non-Current Assets | 646,959,111.29 | 566,998,790.79 | | Total Liabilities | 266,823,361.61 | 204,397,206.98 | | Total Owners' Equity | 1,403,268,938.23 | 1,196,753,285.94 | 3. Consolidated Income Statement In H1 2025, total operating revenue reached 414 million yuan (up 13.92%), with net profit attributable to parent company shareholders at 229 million yuan, driven by fair value and investment gains Key Data from Consolidated Income Statement for H1 2025 | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 414,142,643.89 | 363,524,498.35 | | Total Operating Costs | 344,491,477.03 | 302,245,691.41 | | Operating Profit | 259,216,755.31 | -10,149,348.18 | | Total Profit | 258,216,698.61 | -10,165,097.11 | | Net Profit | 222,803,888.89 | -6,269,135.43 | | Net Profit Attributable to Parent Company Shareholders | 229,465,289.97 | -700,599.73 | | Basic Earnings Per Share (yuan/share) | 0.6594 | -0.0020 | - Fair value change gains significantly shifted from -71.03 million yuan in the same period last year to 162.82 million yuan in the current period, a primary driver of net profit growth[141] - Investment income increased from 2.78 million yuan in the same period last year to 31.17 million yuan in the current period[141] 4. Parent Company Income Statement In H1 2025, parent company operating revenue reached 397 million yuan (up 9.38%), with net profit at 241 million yuan, a 3127.08% increase, driven by fair value and investment gains Key Data from Parent Company Income Statement for H1 2025 | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Operating Revenue | 396,546,791.93 | 362,514,404.99 | | Operating Profit | 281,521,973.42 | 4,965,679.86 | | Total Profit | 280,521,966.72 | 4,950,179.86 | | Net Profit | 241,315,652.29 | 7,480,989.62 | - Fair value change gains significantly shifted from -71.03 million yuan in the same period last year to 162.82 million yuan in the current period[147] - Investment income increased from 2.78 million yuan in the same period last year to 31.17 million yuan in the current period[147] 5. Consolidated Cash Flow Statement In H1 2025, operating cash flow was 34.10 million yuan (down 7.76%), investing cash flow was 106 million yuan (up 178.19%), and financing cash flow was 9.47 million yuan (up 144.93%), with period-end cash at 594 million yuan Key Data from Consolidated Cash Flow Statement for H1 2025 | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 34,099,602.95 | 36,967,169.55 | | Net Cash Flow from Investing Activities | 106,386,187.26 | -136,062,964.30 | | Net Cash Flow from Financing Activities | 9,468,099.81 | -21,074,016.39 | | Net Increase in Cash and Cash Equivalents | 152,160,339.17 | -119,680,046.48 | | Cash and Cash Equivalents at Period-End | 593,956,019.43 | 275,958,540.05 | - Subtotal cash inflow from investing activities significantly increased from 3.09 million yuan in the same period last year to 120.03 million yuan in the current period, primarily due to 88.83 million yuan in cash received from investment recovery[149][150] 6. Parent Company Cash Flow Statement In H1 2025, parent company operating cash flow was 55.04 million yuan (up 10.96%), investing cash flow was 108 million yuan (up 176.93%), and financing cash flow was 0 yuan, with period-end cash at 590 million yuan Key Data from Parent