BHCC(SH:600800)2021-08-24 16:00Financial Performance - The company's operating revenue for the first half of 2021 reached ¥1,874,923,935.34, representing a 141.64% increase compared to ¥775,921,661.65 in the same period last year[19]. - The net profit attributable to shareholders of the listed company was ¥87,146,699.71, a significant recovery from a loss of ¥108,096,065.18 in the previous year[19]. - The total profit reached 129.78 million yuan, an increase of 256.21 million yuan year-on-year, with a net profit attributable to shareholders of the listed company amounting to 87.15 million yuan, marking a turnaround from loss to profit with an increase of 195.24 million yuan[29]. - The basic earnings per share for the first half of 2021 was ¥0.07, compared to a loss of ¥0.12 in the same period last year[20]. - The weighted average return on net assets increased to 3.09% from -5.67% in the previous year[20]. - The total comprehensive income for the first half of 2021 was CNY 84,844,975.36, compared to a loss of CNY -109,199,588.27 in the same period of 2020[106]. - The company's total equity attributable to shareholders increased to ¥2,860,065,224.20 from ¥2,773,315,498.88, marking an increase of about 3%[102]. - The company reported a profit distribution of CNY -384,556,049.88, indicating a loss allocation to shareholders[127]. Cash Flow and Liquidity - The net cash flow from operating activities was ¥95,320,903.07, down 26.03% from ¥128,858,966.08 in the same period last year[19]. - Operating cash inflow for the first half of 2021 was CNY 2,179,172,497.05, a significant increase from CNY 1,005,047,187.41 in the same period of 2020, representing a growth of approximately 117.3%[111]. - The net cash flow from operating activities for the first half of 2021 was CNY 95,320,903.07, compared to CNY 128,858,966.08 in the first half of 2020, indicating a decrease of about 26%[112]. - The ending cash and cash equivalents balance as of June 30, 2021, was CNY 612,569,229.67, compared to CNY 126,385,590.80 at the end of June 30, 2020, showing a significant increase[112]. - The company's cash and cash equivalents were approximately ¥709.11 million, down from ¥868.81 million, a decrease of about 18.3%[96]. Assets and Liabilities - The total assets at the end of the reporting period were ¥4,925,302,470.67, an increase of 4.30% from ¥4,722,196,586.44 at the end of the previous year[19]. - The total liabilities increased significantly, with accounts payable rising by 163.03% to CNY 514,447,920.23, reflecting increased raw material purchases[37]. - The total liabilities as of June 30, 2021, were ¥2,065,237,246.47, compared to ¥1,948,881,087.56 at the end of 2020, reflecting an increase of approximately 6%[102]. - The company's total liabilities decreased to CNY 2,860,065,224.20, indicating improved financial health[124]. Operational Efficiency and Strategy - The company focused on enhancing production efficiency and stability, optimizing equipment load to achieve optimal operation, and reducing production consumption[29]. - The company has a strong cost control advantage through refined management and optimization of existing resources[27]. - The company plans to continue expanding its procurement sources and optimizing costs through flexible contract and spot market strategies[31]. - The company is committed to enhancing safety and environmental standards to align with national carbon neutrality goals, despite facing substantial responsibility risks[46]. - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[106]. Environmental and Regulatory Compliance - The company reported a total nitrogen oxide emission of 137.664 tons, which is below the permitted limit of 591.21 tons per year[57]. - The sulfur dioxide emissions were recorded at 9.11154 tons, significantly lower than the allowed 115 tons per year[57]. - The total production wastewater discharged by the company in the first half of 2021 was 60,342 tons, within the annual permitted limit of 125,790 tons[57]. - The company has implemented a series of environmental protection measures, including the use of low NOx burners and NH3-SCR technology for emissions reduction[58]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[63]. Market Risks and Challenges - The company faces significant market risks due to reliance on major customers and potential slow market adoption of new products and technologies[45]. - The company anticipates a challenging market environment in the second half of 2021 due to potential oversupply in propylene production and weak downstream demand for polypropylene[45]. - The outlook for the third quarter indicates that propylene prices are expected to remain high, while a decline is anticipated in the fourth quarter due to the release of new production capacity[30]. Shareholder and Corporate Governance - The company has committed to maintaining the independence of its operations and not interfering with the decision-making of the listed company[68]. - The company guarantees the independence of its senior management and financial operations, ensuring no interference from the parent group[72]. - The company has pledged to compensate for any losses incurred due to violations of independence commitments[72]. - The total planned related party procurement amount for 2021 is CNY 212.25 million, while the planned related party sales amount is CNY 762 million, totaling CNY 974.25 million for annual related party transactions[78]. - The company has not engaged in any non-operating fund occupation by controlling shareholders or related parties during the reporting period[76]. Research and Development - R&D expenses surged by 329.09% to CNY 49,755,679.10, indicating a significant increase in investment in new technologies[32]. - The company is actively involved in research and development of IoT technologies and applications[140]. - Research and development expenses for the first half of 2021 were ¥49,755,679.10, significantly higher than ¥11,595,500.24 in the same period of 2020, indicating an increase of approximately 328%[104]. 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 for the next 12 months[145]. - The company adheres to the accounting policies and estimates related to bad debt provisions, fixed asset depreciation, intangible asset amortization, and revenue recognition[147]. - The company recognizes and measures identifiable assets and liabilities at fair value during business combinations, with any excess of cost over fair value recognized as goodwill[152]. - The company confirms its compliance with the enterprise accounting standards, ensuring that financial statements reflect a true and complete view of its financial status[148].