TENGDA CONST.(SH:600512)2021-08-24 16:00Financial Performance - The company's operating revenue for the first half of 2021 reached ¥3,385,769,183.58, representing a 91.24% increase compared to ¥1,770,431,149.48 in the same period last year[17]. - The net profit attributable to shareholders for the first half of 2021 was ¥595,012,013.62, a significant increase of 154.86% from ¥233,462,241.44 in the previous year[17]. - The net profit after deducting non-recurring gains and losses was ¥574,239,867.63, which is a 263.98% increase compared to ¥157,766,944.61 in the same period last year[17]. - The net cash flow from operating activities for the first half of 2021 was ¥359,548,452.37, up 25.08% from ¥287,444,916.02 in the previous year[17]. - The basic earnings per share for the first half of 2021 were ¥0.37, which is a 146.67% increase from ¥0.15 in the same period last year[18]. - The diluted earnings per share also stood at ¥0.37, marking a 146.67% increase compared to the previous year[18]. - The weighted average return on equity increased to 11.11%, up 6.23 percentage points from 4.88% in the previous year[18]. - The company reported a significant increase in the weighted average return on equity after deducting non-recurring gains and losses, reaching 10.49%, up 7.19 percentage points from 3.30% in the previous year[18]. Assets and Liabilities - The total assets at the end of the reporting period were ¥10,770,550,837.44, a decrease of 1.42% from ¥10,925,433,578.67 at the end of the previous year[17]. - The net assets attributable to shareholders increased to ¥5,834,115,967.92, reflecting a growth of 10.17% from ¥5,295,654,567.20 at the end of the previous year[17]. - The company’s total assets at the end of the reporting period were ¥10,770,550,837.44, down from ¥10,925,433,578.67, a decrease of about 1.4%[100]. - Total liabilities decreased to ¥5,061,198,607.55 from ¥5,755,282,200.66, a reduction of approximately 12.1%[100]. - The company reported a decrease in accounts receivable to ¥290,254,530.17 from ¥314,596,649.95, a decline of approximately 7.7%[98]. - Inventory decreased to ¥3,232,978,483.34 from ¥3,473,273,407.77, a decline of about 6.9%[98]. - Contract liabilities decreased by 14.62% to ¥1,667,677,394.27 from ¥1,953,337,918.62[37]. Revenue Sources - The company's main business is construction engineering, accounting for 66.07% of total revenue, with a significant increase in real estate sales revenue compared to the same period last year[22]. - Operating profit reached ¥711,585,500.48, up 161.99% year-on-year, while net profit attributable to shareholders was ¥595,012,013.62, reflecting a 154.86% increase, mainly driven by contributions from the real estate business[32]. - The company reported a significant change in profit sources, with real estate sales contributing 70% to net profit this period, compared to a loss in the same period last year[35]. Market Position and Strategy - The company primarily operates in the East China region, with no current overseas business, focusing on local market expansion[22]. - The financing construction contract model, which includes BT and PPP models, is a key driver of the company's revenue, allowing for upfront project financing[24]. - The company is actively pursuing a "going out" strategy, successfully winning bids for projects in regions such as Hubei and Ningbo during the reporting period[31]. - The company has a strong focus on municipal engineering and has been recognized with multiple awards for project quality, including national and provincial honors[27]. Risk Management - The company faces risks related to macroeconomic fluctuations, which could adversely affect its overall performance due to its reliance on government infrastructure projects[51]. - The company is focusing on enhancing its risk management mechanisms to mitigate credit risks associated with accounts receivable[52]. - The company is exploring multi-channel financing models to reduce financing costs and improve cash flow[52]. - The company acknowledges potential investment risks due to market fluctuations and changes in national policies[53]. Environmental and Compliance - The company has established a comprehensive environmental management system to ensure compliance with environmental standards[60]. - The company is not classified as a key pollutant discharge unit but has implemented measures to manage potential environmental impacts at project sites[60]. - The company has committed to not engaging in competitive activities that could harm its interests as stated in its commitments[63]. Management and Governance - There were changes in management, with Jiang Donghu resigning as Deputy General Manager and Zhao Feng appointed as Audit Deputy Director[57]. - The company has maintained a stable management team with experienced project managers, which is crucial for undertaking complex construction projects[30]. - The company held its annual general meeting on May 7, 2021, where the 2020 financial statements and profit distribution plan were approved[56]. Investment and Development - The company has made progress in research and development, particularly in improving construction technology and addressing challenges in ongoing projects[31]. - The company has a total of 27 enterprises under its control, including 15 wholly-owned subsidiaries[40]. - The company is expanding its investment in structured entities, including the Xiamen Trust - Ju Cai No. 1 Securities Investment Trust Plan, which has a controlled investment of 142,060.79 million[48]. Shareholder Information - As of the end of the reporting period, the total number of ordinary shareholders was 76,057[88]. - The largest shareholder, Ye Linfu, held 132,047,177 shares, accounting for 8.26% of the total shares[90]. - The second-largest shareholder, Xu Shuang, held 95,692,673 shares, representing 5.98% of the total shares[90]. - The company reported no changes in its total share capital or share structure during the reporting period[87]. Accounting and Financial Reporting - The financial statements are prepared based on the going concern principle, with no significant doubts about the company's ability to continue operations in the next 12 months[133]. - The company adheres to the accounting standards, ensuring that its financial reports accurately reflect its financial position and operating results[135]. - The company has established specific accounting policies for financial instruments, fixed asset depreciation, and revenue recognition based on its operational characteristics[134]. Contracts and Projects - The company has ongoing construction contracts exceeding RMB 50 million, including a contract with Shanghai Pudong Engineering Management Co., totaling RMB 864.18 million, which is still in progress due to changes in the construction plan[66]. - The company won a bid for the Shanghai Metro Line 13 Phase II project with a contract value of RMB 275.18 million, which is delayed due to demolition issues[67]. - The company secured a contract for the Taizhou Tengda Center project valued at RMB 1.191 billion, which is partially completed as of the reporting period[68].