NSWRC(SH:600165)2021-10-27 16:00Financial Performance - The company's operating revenue for Q3 2021 was ¥61,464,339.78, a decrease of 11.5% compared to ¥69,556,352.51 in the same period last year[3] - The net profit attributable to shareholders was -¥7,268,303.38, compared to -¥3,214,784.63 in the previous year, indicating a worsening performance[3] - The basic earnings per share for the period was -¥0.011, down from -¥0.005 in the same period last year[4] - The company reported a loss of -¥7,479,335.94 for net profit after deducting non-recurring gains and losses, compared to -¥5,944,195.75 in the previous year[4] - Net profit for the first three quarters of 2021 was a loss of ¥24,999,842.01, worsening from a loss of ¥10,980,254.09 in the same period of 2020[22] - The total comprehensive income amounted to CNY -24,849,639.07, with the parent company's share at CNY -18,336,732.14, and minority shareholders' share at CNY -6,512,906.93[23] Assets and Liabilities - Total assets at the end of the reporting period were ¥3,191,476,473.10, a decrease of 4.29% from ¥3,334,571,091.58 at the end of the previous year[4] - The equity attributable to shareholders decreased by 2.07% to ¥936,350,251.65 from ¥956,151,389.74 at the end of the previous year[4] - Total liabilities decreased to ¥1,944,445,932.46 from ¥2,061,673,621.86 at the end of 2020, showing a reduction of approximately 5.7%[18] - Total liabilities decreased by 56.09% as the company reclassified short-term liabilities to long-term payables[9] - Current assets totaled ¥334,030,779.50, down from ¥719,321,307.10 at the end of 2020, indicating a decline of about 53.6%[17] - The total equity attributable to shareholders decreased to ¥936,350,251.65 from ¥956,151,389.74, reflecting a decline of about 2.1%[18] Cash Flow - The cash flow from operating activities was negative at -¥6,370,492.35 for the year-to-date period[4] - Cash inflows from operating activities totaled CNY 178,309,671.93, up from CNY 100,070,994.81 year-over-year[25] - The net cash flow from operating activities was CNY -6,370,492.35, an improvement from CNY -54,507,110.78 in the same period last year[25] - Cash inflows from investing activities were CNY 266,985,401.38, compared to CNY 104,442,347.01 in the previous year[26] - The net cash flow from investing activities was CNY 8,705,211.83, a significant recovery from CNY -444,809,006.18 in the same period last year[26] - The company reported a net cash flow from financing activities decrease of 104.71%, due to reduced fixed asset loans at subsidiary Hengli New Materials[10] - Cash inflows from financing activities were CNY 453,500,000.00, down from CNY 631,341,250.00 year-over-year[26] - The net cash flow from financing activities was CNY -19,238,059.74, compared to CNY 408,774,334.05 in the previous year[26] - The ending cash and cash equivalents balance was CNY 164,955,204.57, compared to CNY 40,162,730.16 at the end of the previous year[26] Research and Development - R&D expenses surged by 905.10%, primarily due to increased investment in research and development by Huahui Environmental Protection[10] - Research and development expenses increased to ¥7,674,376.60 in Q3 2021, compared to ¥763,539.90 in Q3 2020, reflecting a growth of over 900%[22] Subsidiaries and Market Activity - Revenue increased by 113.83% due to the consolidation of Ningxia Tianfu and increased sales from subsidiary Huahui Environmental Protection[10] - Operating costs rose by 82.13%, attributed to the consolidation of Ningxia Tianfu and increased sales from Huahui Environmental Protection[10] - Accounts receivable increased by 33.19%, mainly due to increased sales from subsidiary Ningxia Hengli New Materials[9] - Contract liabilities rose by 445.43%, driven by increased advance payments received by subsidiary Ningxia Huahui Environmental Protection[9] - Other receivables decreased by 97.82%, as the company recovered equity transfer payments from Boya Stem Cell Technology[9] - The company has not disclosed any new product developments or market expansion strategies in this report[2] - The company has announced progress on a 50,000 tons/year lauric acid project as of September 7, 2021[14] Shareholder Information - The company’s major shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., holds 29.20% of shares, with 200 million shares pledged[12]