JSCN(SH:600959)2021-08-30 16:00Financial Performance - The company's operating revenue for the first half of 2021 was CNY 3,669,514,250.01, representing a year-on-year increase of 4.85% compared to CNY 3,499,765,029.52 in the same period last year[21]. - The net profit attributable to shareholders of the listed company decreased by 19.52% to CNY 128,261,348.28 from CNY 159,368,104.28 in the previous year[21]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY -99,993,671.46, a significant decline of 268.00% compared to CNY 59,519,628.74 in the same period last year[21]. - The net cash flow from operating activities was CNY 584,441,560.54, down 34.46% from CNY 891,737,631.67 in the previous year[21]. - Basic earnings per share for the first half of 2021 were CNY 0.0256, down 14.67% from CNY 0.03 in the same period last year[21]. - The weighted average return on net assets was 0.59%, a decrease of 0.14 percentage points compared to 0.73% in the previous year[21]. - The company reported a significant decline in cash flow from operating activities, primarily due to increased cash outflows[21]. - The company reported a non-recurring gain of ¥228,255,019.74, primarily from other non-operating income of ¥159,658,531.80 and investment income from entrusted management of ¥72,402,921.97[24]. - The company reported a non-recurring loss from the disposal of non-current assets amounting to ¥70,417.64[24]. - The company’s operating revenue for the reporting period was approximately ¥3.50 billion, representing a year-on-year increase of 4.85%[46]. - Operating costs amounted to approximately ¥2.71 billion, reflecting a year-on-year increase of 1.88%[46]. - The net cash flow from operating activities decreased by 34.46% to approximately ¥891.74 million, mainly due to increased cash outflows[46]. - The net cash flow from investment activities was approximately -¥1.37 billion, showing a year-on-year increase of 9.37%[46]. - The net cash flow from financing activities increased significantly by 317.61% to approximately ¥272.19 million, driven by increased borrowings and bonds[46]. - The company reported a total revenue of 70,257,611 RMB, with a net profit margin of 1.40%[90]. - The company reported a total asset value of ¥34,850,351,218.53 as of June 30, 2021, compared to ¥33,713,490,589.24 at the end of 2020, an increase of approximately 3.4%[103]. - The company reported a total comprehensive income for the period of 159,368,104.28 CNY, with a net profit distribution of -19,055,000.00 CNY[137]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 34,850,351,218.53, an increase of 3.37% from CNY 33,713,490,589.24 at the end of the previous year[21]. - The net assets attributable to shareholders of the listed company were CNY 21,610,989,072.37, a slight decrease of 0.10% from CNY 21,632,749,254.67 at the end of the previous year[21]. - Cash and cash equivalents at the end of the period amounted to ¥3,613,184,977.81, representing 10.37% of total assets, an increase of 7.60% compared to the previous year[49]. - Accounts receivable reached ¥1,030,538,456.78, accounting for 2.96% of total assets, with a year-on-year increase of 17.79%[49]. - Inventory stood at ¥1,183,386,895.43, which is 3.40% of total assets, reflecting a 13.22% increase from the previous year[49]. - Total liabilities increased to ¥12,494,354,222.45 from ¥11,350,278,208.41, indicating a rise of approximately 10.1%[103]. - The total equity attributable to shareholders decreased slightly to ¥21,610,989,072.37 from ¥21,632,749,254.67, a decrease of about 0.1%[103]. - Short-term borrowings decreased significantly by 55.49% to ¥259,508,443.17, accounting for 0.74% of total liabilities[49]. - The company reported a 36.09% increase in trading financial assets, totaling ¥1,502,308,541.59, which is 4.31% of total assets[49]. Business Operations and Strategy - The company continues to focus on the integration of media and technology, enhancing its competitive edge through a "5G+4K/8K+AI" innovative communication model[29]. - The company is actively developing smart broadcasting digital economy initiatives, aiming to enhance the effectiveness of three-network integration and expand into new business areas such as government big data and smart home ecosystems[32]. - The company maintains a unified planning and management approach for broadcasting networks across Jiangsu Province, ensuring high-quality service and safety for local broadcasting stations[28]. - The company has established a robust cash collection system through various payment methods, ensuring timely and accurate revenue collection from users[28]. - The company emphasizes the importance of content quality and public service capabilities in its broadcasting operations, aiming to become a leader in high-quality cultural information services[29]. - The company is investing in the construction of a 5G core network and base stations to support new communication services and applications[32]. - The company has not changed its main business focus since its establishment in 2008, continuing to operate in the cable broadcasting and television transmission industry[28]. - The company’s revenue model includes fees from network construction, program transmission, and user subscriptions for television and broadband services[28]. - The company is actively pursuing strategic investments and partnerships, conducting due diligence on multiple projects[39]. - The company is promoting unified marketing activities across subsidiaries to boost user acquisition and retention[39]. - The company is leveraging smart broadcasting initiatives to enhance public service capabilities in rural areas[39]. Employee Engagement and Cultural Initiatives - The company organized over 500 employees to participate in the "100 Years of the Communist Party" exhibition, enhancing employee engagement and education[33]. - The company launched a VR television hall showcasing 3,900 exhibits related to the history of the Communist Party, utilizing new technologies for educational purposes[33]. - The company held a grand celebration for the 100th anniversary of the Communist Party, including a flag-raising ceremony and recognition of long-serving party members[33]. - The company developed a "Red Gene·Spirit Eternal" online classroom series, promoting the dissemination of party history education[33]. - The company implemented a comprehensive plan for party history education, with 92 specific tasks assigned to various departments[33]. - The company utilized multiple media platforms to promote the significance of the Communist Party's centenary and the ongoing education efforts[33]. - The company established a regular guidance and supervision mechanism for party history education across its subsidiaries[33]. - The company integrated party history learning with practical problem-solving to enhance operational effectiveness[33]. Risk Management and Governance - The company faces intensified market competition risks due to the convergence of telecom, broadcasting, and internet networks, impacting its television transmission business[53]. - The company is exposed to transmission security risks, which could significantly affect its operations and brand image if incidents occur[53]. - The company aims to improve its governance capabilities by integrating party leadership with corporate governance practices[45]. - The company completed the election of the fifth board of directors and supervisory board during the reporting period due to the expiration of the term of the fourth board[63]. - No profit distribution or capital reserve fund transfer plan was proposed, with a distribution of 0 shares per 10 shares and no cash dividends[64]. - The company has not implemented any employee stock ownership plans or other incentive measures during the reporting period[67]. - There were no significant non-operating fund occupations by controlling shareholders or related parties during the reporting period[78]. - There were no violations of guarantees during the reporting period[79]. Accounting and Financial Reporting - The financial statements are prepared in accordance with the Accounting Standards for Business Enterprises, ensuring a true and complete reflection of the company's financial status[162]. - The company adopts the purchase method for mergers under non-same control, measuring identifiable assets and liabilities at fair value[166]. - The company recognizes foreign currency transactions at the exchange rate published by the People's Bank of China on the transaction date[174]. - The company assesses expected credit losses based on the probability-weighted present value of cash flows from contracts receivable, considering the risk of default[185]. - The company categorizes receivables into different groups for expected credit loss assessment, using historical loss experience and current economic forecasts to calculate expected losses[185]. - The company recognizes long-term equity investments at initial cost, which includes the fair value of debt waived and other costs directly attributable to the asset[196]. - The company confirms investment income based on the cash dividends or profits declared by the investee, regardless of whether they are from pre-investment or post-investment profits[196].