ZJDR(SH:600113)2022-08-19 16:00Financial Performance - The company's operating revenue for the first half of 2022 was CNY 547,148,869.53, an increase of 85.45% compared to CNY 295,046,018.12 in the same period last year[21]. - The net profit attributable to shareholders for the first half of 2022 was CNY 79,415,846.80, representing a 24.02% increase from CNY 64,036,002.99 in the previous year[21]. - Basic earnings per share for the first half of 2022 were CNY 0.19, an increase of 18.75% from CNY 0.16 in the same period last year[22]. - The company achieved operating revenue of 54,714.89 million yuan, an increase of 85.45% compared to the same period last year[38]. - Net profit attributable to shareholders reached 7,941.58 million yuan, up 24.02% year-on-year, while the net profit excluding non-recurring gains and losses was 7,530.74 million yuan, increasing by 29.29%[38]. - The profit margin improved, with net profit margin at approximately 19.6% compared to 21.5% in the previous year[101]. - The company reported a total profit of ¥144,518,903.38 for the first half of 2022, up from ¥86,715,712.40 in the same period of 2021[101]. Cash Flow and Assets - The net cash flow from operating activities decreased by 86.02%, amounting to CNY 24,577,099.33 compared to CNY 175,852,927.30 in the same period last year[21]. - The company's cash and cash equivalents decreased from RMB 397.25 million at the beginning of the period to RMB 255.43 million at the end of the period[92]. - Cash flow from operating activities decreased by 86.02% to 24,577,099.33 yuan, primarily due to the previous year's pre-sale funds from the Longyou Baiyi Agricultural Market[46]. - The ending balance of cash and cash equivalents was CNY 254,531,976.06, down from CNY 384,103,132.66 at the end of the first half of 2021[109]. - Total assets decreased from ¥3,057,180,557.88 to ¥2,802,827,116.26, a decline of approximately 8.3%[93]. - The total current assets decreased from RMB 1.64 billion to RMB 1.40 billion[92]. Business Operations and Strategy - The company attributed the increase in operating revenue primarily to the recognition of sales from the Longyou Baiyi Agricultural Market[21]. - The company aims to develop into a professional agricultural product service provider, integrating procurement, processing, inspection, and distribution services, thereby improving supply chain management capabilities[32]. - The company operates agricultural product wholesale markets strategically located near highways, enhancing logistics efficiency and market coverage[33]. - The fresh food delivery business leverages the company's market advantages to provide bulk procurement and delivery services to various institutions, primarily generating profits through product markups[29]. - The company is focused on enhancing market infrastructure, cold chain facilities, and logistics systems to improve agricultural product supply chains in the future[32]. Investments and Acquisitions - The company acquired 100% equity of Wenzhou Xueding Soy Products Co., Ltd., enhancing its capabilities in the agricultural product processing sector and ranking among the top 50 in the national soybean product industry[30]. - The company made a capital increase of 9.45 million RMB in Harbin Dongji Industrial Co., Ltd., raising its registered capital to 127 million RMB[48]. - The company established Wenzhou Ma Pai Fresh Co., Ltd. with a registered capital of 5 million RMB during the reporting period[48]. - The company’s investment in Wenzhou Xueding Tofu Co., Ltd. increased by 15 million RMB, raising its registered capital to 20 million RMB[48]. Market Risks and Challenges - The company faces market risks due to macroeconomic fluctuations and increasing competition from new business models in agricultural product distribution[54]. - Increased competition in the wholesale market poses significant risks to the company's market position and operational advantages[55]. - The reliance on a single regional market creates risks due to the lack of a unified national agricultural product circulation system, which could hinder the establishment of an efficient wholesale network[55]. - The complexity of management has increased with the expansion of operations, necessitating higher standards in market management, talent acquisition, and financial oversight[55]. Governance and Compliance - The company completed the election of its ninth board of directors and supervisory board members, ensuring governance continuity[62]. - The company has complied with environmental regulations, obtaining necessary permits for its operations in the agricultural wholesale market sector[66]. - The company has not disclosed any measures taken to reduce carbon emissions during the reporting period, indicating a potential area for future focus[67]. - The company has committed to ensuring that its subsidiary, Wenzhou Modern Cold Chain Logistics Co., Ltd., does not engage in any competitive business with Zhejiang Dongri and its subsidiaries[72]. Financial Position and Liabilities - The total liabilities decreased from ¥898,926,713.85 to ¥638,229,345.22, a reduction of about 29%[94]. - Current liabilities decreased from ¥750,921,018.79 to ¥492,000,041.10, representing a decrease of approximately 34.4%[93]. - The company’s contract liabilities decreased by 97.73%, from 244,384,633 RMB to 5,536,883.6 RMB, primarily due to the transfer of income from Longyou Baiyi Agricultural Products[47]. - The company has a total guarantee amount of 35,814.40 million RMB, which accounts for 17.01% of the company's net assets[78]. Research and Development - The company reported a significant increase in research and development expenses, which rose by 167.40% to 3,261,411.60 yuan due to increased investments in its subsidiaries in Hangzhou and Xi'an[46]. - Research and development expenses increased to ¥3,261,411.60, compared to ¥1,219,662.61 in the first half of 2021, reflecting a focus on innovation[100]. Accounting and Financial Reporting - The financial statements are prepared based on the assumption of going concern, with no significant doubts regarding the company's ability to continue operations for the next 12 months[130]. - The company adheres to the accounting standards for enterprises, ensuring that the financial statements reflect a true and complete picture of its financial status and operating results[131]. - The company measures expected credit losses for other receivables based on historical credit loss experience and current economic conditions, applying similar aging criteria[149].