Financial Performance - Revenue decreased by 2.1% to approximately RMB 68,065,000 compared to RMB 69,519,000 in the previous year[7] - Gross profit decreased by 12.4% to approximately RMB 24,645,000, with a gross margin of 36.2% compared to 40.5% in the previous year[7] - The loss attributable to equity holders of the company was approximately RMB 1,005,000, compared to a profit of approximately RMB 4,116,000 in the previous year[7] - Basic loss per share was approximately RMB 0.026, compared to basic earnings per share of RMB 0.107 in the previous year[7] - The company reported a net loss of RMB 1,004,912 for the six months ended June 30, 2022, compared to a profit of RMB 4,115,812 for the same period in 2021, indicating a significant decline in performance[12] - Total revenue for the six months ended June 30, 2022, was RMB 68,065,441, a decrease of 2.09% from RMB 69,519,419 in the same period of 2021[28] Assets and Liabilities - Total assets as of June 30, 2022, were RMB 172,705,269, a decrease from RMB 248,597,593 at the end of the previous year[9] - Current liabilities increased to RMB 164,326,872 from RMB 132,946,495 at the end of the previous year[10] - Inventory increased to RMB 66,794,255 from RMB 59,401,955 at the end of the previous year[9] - Trade and other receivables rose to RMB 75,614,563 from RMB 60,348,289 at the end of the previous year[9] - Total trade receivables increased to RMB 71,902,195 as of June 30, 2022, up from RMB 65,246,586 as of December 31, 2021, reflecting a growth of approximately 10.1%[43] - Trade payables rose to RMB 27,269,881 as of June 30, 2022, compared to RMB 21,361,473 as of December 31, 2021, indicating an increase of about 27.7%[46] Cash Flow - The company experienced a net cash outflow from operating activities of RMB 13,310,390 for the six months ended June 30, 2022, compared to a net inflow of RMB 9,044,448 in 2021[14] - Cash and cash equivalents at the end of the period increased to RMB 16,404,098, up from RMB 10,242,592 at the end of June 30, 2021[14] - The group's cash and cash equivalents increased by approximately RMB 8,168,000 during the reporting period, with net cash outflows from operating activities of about RMB 13,310,000 and net cash inflows from financing activities of approximately RMB 25,650,000[70] Expenses - The company reported a net financial expense of RMB 3,229,182 for the six months ended June 30, 2022, compared to RMB 2,628,960 in the same period of 2021[31] - Other income decreased to RMB 636,575 in 2022 from RMB 1,225,758 in 2021, primarily due to a reduction in cost-related government grants[30] - Total sales costs increased by approximately RMB 2,030,000 or 4.9% to RMB 43,420,000, with raw material costs accounting for 75.7% of total sales costs[55] - Research and development expenses increased by approximately RMB 1,019,000 or 26.2% to RMB 4,903,000, mainly due to increased work on environmental research projects[63] - Distribution costs rose by approximately RMB 1,488,000 or 18.5% to RMB 9,529,000, primarily due to increased transportation costs[60] Dividends and Shareholder Information - The company did not declare any interim dividend for the six months ended June 30, 2022, consistent with the previous year[7] - As of June 30, 2022, Mr. Zhang Youlian holds 19,220,600 shares, representing approximately 50.05% of the issued share capital[85] - Ms. Yu Hua is a beneficial owner of 3,576,000 shares, accounting for 9.31% of the issued share capital[88] - The board resolved not to declare any interim dividend for the six months ended June 30, 2022, consistent with the previous year[97] Corporate Governance and Compliance - The company has maintained compliance with the corporate governance code, with no significant deviations reported during the period[98] - The audit committee reviewed the unaudited consolidated financial statements for the six months ended June 30, 2022, and confirmed compliance with accounting standards[105] - There were no related party transactions or continuous related party transactions that required disclosure during the reporting period[91] Future Plans and Developments - The company continues to focus on the development and sales of bentonite-based products, with no new segments reported[27] - The company plans to focus on the research and development of high-end water-based bentonite and its application in water-based coatings, responding to the growing demand for environmentally friendly products[81] - The group aims to develop new products, including high-performance flame-retardant composite materials in collaboration with Jiangnan University[84] Other Information - The company has not reported any significant impact from the adoption of new international financial reporting standards expected to take effect by December 31, 2022[22] - There were no major acquisitions or disposals during the six months ended June 30, 2022[79] - The company has no significant contingent liabilities, legal proceedings, or potential lawsuits as of June 30, 2022[77] - There were no significant events occurring after the reporting period that require disclosure[106] - The company will issue its interim report for the six months ending June 30, 2022, to shareholders at an appropriate time[107] - The interim report will be available on the company's website and the Hong Kong Stock Exchange website[107] - The board of directors is led by Chairman Zhang Youlian, with executive directors including She Wenjie and Fan Fang[107]
长安仁恒(08139) - 2022 - 中期财报