WSBE(SH:600421)2022-08-24 16:00Financial Performance - The company's operating revenue for the first half of 2022 was CNY 39,505,672.79, a decrease of 34.05% compared to CNY 59,899,379.67 in the same period last year[20]. - The net profit attributable to shareholders of the listed company was a loss of CNY 4,466,062.17, compared to a loss of CNY 2,976,354.84 in the previous year[20]. - The net cash flow from operating activities was a negative CNY 7,806,276.56, an improvement from a negative CNY 16,889,300.46 in the same period last year[20]. - The total assets at the end of the reporting period were CNY 106,811,643.34, down 11.74% from CNY 121,014,776.97 at the end of the previous year[20]. - The net assets attributable to shareholders of the listed company decreased by 16.09% to CNY 23,036,973.23 from CNY 27,452,970.12 at the end of the previous year[20]. - The basic earnings per share for the first half of 2022 was -CNY 0.02, compared to -CNY 0.015 in the same period last year[21]. - The weighted average return on net assets was -9.00%, slightly worse than -8.59% in the previous year[21]. - The company reported a main business revenue of 39.51 million yuan, a decrease of 34% compared to the same period last year[27]. - The net profit for the period was -5.38 million yuan, with a net profit attributable to shareholders of -4.47 million yuan[27]. - The company experienced a 12.99% decline in the shipment volume of housing PC molds compared to the same period in 2021[27]. - Non-housing PC related product shipments increased by 30.15% year-on-year[27]. - The company’s management expenses increased by 25.13% to 5.94 million yuan due to annual audit fee provisions[31]. - The company’s financial expenses decreased by 72.75% to 111,784.72 yuan due to the reversal of previously accrued interest[31]. - The company’s cash inflow from operating activities was primarily driven by a slight increase in other operating cash receipts, which rose to 884,619.82 RMB from 111,154.31 RMB[84]. - The company reported a significant increase in financial expenses, with interest expenses rising to -371,098.62 RMB in the first half of 2022, compared to 1,090,954.91 RMB in the same period of 2021[79]. Assets and Liabilities - Cash and cash equivalents decreased by 28.83% to ¥11,608,109.84, compared to ¥16,310,210.50 in the previous year[33]. - Contract assets decreased by 43.52% to ¥2,347,297.41, attributed to a decline in sales revenue[33]. - Contract liabilities increased by 43.62% to ¥1,079,131.61, due to an increase in advance payments received[33]. - Short-term borrowings remained stable at ¥14,014,704.17, a slight decrease of 0.02% from the previous year[33]. - Inventory decreased by 10.61% to ¥11,578,157.02, compared to ¥12,951,989.88 in the previous year[33]. - The company's total current assets decreased from 100,284,631.62 RMB at the beginning of the period to 90,415,613.90 RMB at the end of the period, a decline of approximately 9.3%[67]. - The total assets decreased from 121,014,776.97 RMB at the beginning of the period to 106,811,643.34 RMB at the end of the period, representing a decrease of about 11.7%[68]. - The company's non-current assets decreased from 20,730,145.35 RMB to 16,396,029.44 RMB, a decline of about 20.6%[68]. - The total liabilities decreased from 60,496,205.52 RMB to 54,649,405.43 RMB, indicating a reduction of approximately 9.8%[68]. - The total current liabilities decreased from 60,496,205.52 RMB to 54,649,405.43 RMB, a reduction of approximately 9.8%[68]. Business Strategy and Market Conditions - The company plans to maintain its housing PC mold business while actively expanding into non-housing PC markets[28]. - The company aims to reduce accounts receivable and control operational risks through enhanced customer management[30]. - The company faces increased market competition and a significant decline in demand for PC molds due to a downturn in the real estate market[36]. - The company is adjusting its product structure to maintain its core business in housing PC molds while expanding into other areas[36]. - The company is implementing cost control measures to mitigate the impact of rising raw material prices on profit margins[36]. Related Party Transactions - The company expects to have daily related party transactions amounting to RMB 35 million for 2022, including RMB 30 million from product sales and RMB 5 million from leasing and procurement[49]. - In the first half of 2022, the company recorded actual related party transactions of RMB 12.18 million, with RMB 11.15 million from product sales and RMB 0.71 million from leasing[49]. - As of June 30, 2022, the company owed a total of RMB 7 million in principal to its indirect controlling shareholder, with accrued interest of RMB 0.3099 million, totaling RMB 7.3099 million[53]. - The company’s subsidiary Zhejiang Zhuangchen received a loan of RMB 5 million from a related party, with accrued interest of RMB 0.0344 million, totaling RMB 5.0344 million[53]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period was 6,462[60]. - The top ten shareholders hold a total of 38,136,775 shares (19.50%) by Zhejiang Hengshun Investment Co., Ltd. and 34,234,261 shares (17.50%) by Wuhan New Generation Technology Co., Ltd.[61]. - There were no significant changes in the company’s share capital structure during the reporting period[57]. - The company has a registered capital of RMB 19,560,000 as of June 30, 2022[96]. - The company has a total share capital of 19,560,000 shares, with no changes reported in the first half of 2022[98]. Corporate Governance and Compliance - The company has not reported any major lawsuits or arbitration matters during the reporting period[48]. - The company believes it has sufficient operating funds to continue its operations for at least 12 months from the approval date of the financial statements[100]. - The company operates under the accounting standards for enterprises, ensuring the financial statements reflect its financial status accurately[101]. - The company follows a control-based approach for consolidation, including itself and all subsidiaries in the consolidated financial statements[107]. Accounting Policies - Revenue is recognized when the company fulfills its performance obligations, which occurs when the customer gains control of the related goods or services[162]. - The company recognizes expected credit losses for financial assets based on whether credit risk has significantly increased since initial recognition, with a threshold of 30 days overdue indicating significant risk increase[124][125]. - The company applies the effective interest method for calculating interest on financial assets measured at amortized cost[116]. - The company recognizes short-term employee compensation as a liability during the accounting period when services are provided, including social insurance and housing fund contributions[153]. - The company measures lease liabilities at the present value of unpaid lease payments at the lease commencement date, using the internal rate of return or incremental borrowing rate as the discount rate[157].