ZJDR(SH:600113)2021-08-13 16:00Financial Performance - The company's operating revenue for the first half of 2021 was ¥295,046,018.12, representing a 42.10% increase compared to ¥207,628,354.66 in the same period last year[18]. - The net profit attributable to shareholders of the listed company was ¥64,036,002.99, a slight decrease of 1.42% from ¥64,956,405.84 in the previous year[18]. - The net profit after deducting non-recurring gains and losses increased by 49.37% to ¥58,245,237.54 from ¥38,994,926.62 in the same period last year[18]. - The net cash flow from operating activities reached ¥175,852,927.30, a significant increase of 154.96% compared to ¥68,972,955.54 in the previous year[18]. - The total assets of the company at the end of the reporting period were ¥2,234,257,607.80, reflecting a 14.60% increase from ¥1,949,611,624.03 at the end of the previous year[18]. - The net assets attributable to shareholders of the listed company increased by 3.76% to ¥1,521,461,151.59 from ¥1,466,347,107.80 at the end of the previous year[18]. - The basic earnings per share remained stable at ¥0.16, unchanged from the same period last year[19]. - The diluted earnings per share also remained at ¥0.16, consistent with the previous year[19]. - The weighted average return on net assets was 4.28%, slightly down from 4.36% in the previous year[19]. - The weighted average return on net assets after deducting non-recurring gains and losses increased to 3.89%, up from 2.62% in the same period last year[19]. Business Operations - The company's main business revenue is composed of three parts: agricultural product wholesale market (46.41%), fresh food delivery (37.16%), and soybean product processing (12.20%) for the first half of 2021[24]. - The company acquired 100% equity of Wenzhou Xueding Soybean Products Co., Ltd., enhancing its capabilities in agricultural product processing and expanding its market presence[27]. - The company's Louqiao market cluster accounts for over 90% of the total supply of vegetables and fruits in Wenzhou, establishing it as a pricing center for agricultural products in the region[31]. - The company has developed a comprehensive management system for agricultural product wholesale market operations, leveraging its extensive experience in the industry[32]. - The company is implementing an online APP platform for agricultural product wholesale markets, aiming to integrate online and offline business operations effectively[33]. - The agricultural product wholesale market plays a crucial role in China's agricultural supply chain, contributing to the commercialization and professionalization of agricultural production[28]. - The company aims to enhance its supply chain management capabilities to solidify its position in the agricultural product service sector[28]. Financial Position - Total assets reached CNY 2,234.26 million, an increase of 14.60% year-on-year[35]. - Net profit attributable to shareholders increased by 49.37% to CNY 58.25 million, excluding non-recurring gains and losses[35]. - Revenue for the period was CNY 295.05 million, up 42.10% compared to the previous year[45]. - The company reported a net cash flow from operating activities of CNY 175.85 million, a significant increase of 154.96%[45]. - The company achieved a 99.84% pass rate in food safety inspections, with 128 out of 78,700 batches failing[40]. - The company’s investment activities generated a net cash outflow of CNY 37.35 million, primarily due to increased project investments[45]. - The company’s management expenses rose by 27.32% to CNY 19.99 million, mainly due to the inclusion of Xueding Bean Products in the consolidated financial statements[46]. Market Risks and Challenges - The company faces market risks due to potential economic fluctuations and increased competition from new business models in agricultural product distribution[55]. - Increased competition in the agricultural wholesale market may pose significant market risks, necessitating the company to maintain its competitive edge[56]. - The company operates five specialized wholesale markets, primarily in the Wenzhou area, which may limit future growth potential due to regional concentration risks[56]. - The company faces risks related to declining market rental and service fees, which could adversely affect its revenue streams[57]. Corporate Governance and Compliance - The company has not distributed any dividends or stock bonuses in the first half of 2021, indicating a focus on reinvestment rather than shareholder returns[61]. - The company has complied with environmental regulations, obtaining necessary permits for its operations, including those for newly acquired entities[64]. - The company has not reported any measures taken to reduce carbon emissions during the reporting period[65]. - The company will not use its controlling position over the listed company to seek preferential treatment for its subsidiaries in business operations[67]. - The group commits to fair and reasonable market pricing principles for unavoidable related transactions, ensuring no harm to the interests of minority shareholders[67]. - The group will take measures to规范 and reduce related transactions with the listed company to protect the interests of minority shareholders[67]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 26,052[82]. - The largest shareholder, Zhejiang Dongfang Group Company, holds 202,807,800 shares, representing 49.29% of the total shares[84]. - The company has not experienced any changes in its total share capital or share structure during the reporting period[81]. Accounting Policies and Financial Reporting - The financial statements were approved by the board on August 13, 2021, ensuring compliance with regulatory requirements[127]. - The company includes 18 subsidiaries in the consolidated financial statements, including Wenzhou Dongri Gas Co., Wenzhou Yiyou Agricultural Products Market Management Co., and others[128]. - The financial statements are prepared on a going concern basis, with no significant doubts about the company's ability to continue operations for the next 12 months[130]. - The accounting policies comply with the requirements of the enterprise accounting standards, reflecting the company's financial position and operating results accurately[130]. - The company applies the equity method for accounting for subsidiaries and joint ventures[135]. Asset Management - The company recognizes impairment losses for non-current assets held for sale when their carrying amount exceeds the fair value less costs to sell[153]. - The company assesses long-term assets for impairment if there are indications of impairment, and goodwill and indefinite-life intangible assets are tested for impairment annually[171]. - The company recognizes long-term deferred expenses that have an amortization period exceeding one year, and these expenses are amortized evenly over the benefit period[172]. Revenue Recognition - Revenue is recognized based on the progress of performance obligations, with specific criteria determining whether revenue is recognized over time or at a point in time[181]. - The company measures revenue based on the transaction price allocated to each performance obligation, excluding amounts collected on behalf of third parties[182]. - For contracts with variable consideration, the company estimates the best estimate of variable consideration using expected value or most likely amount[182].