SHANGHAI ENVIRONMENT(SH:601200)2021-08-30 16:00Financial Performance - The company's operating revenue for the first half of 2021 reached ¥3,834,413,285.27, representing a 100.50% increase compared to ¥1,912,414,129.07 in the same period last year[19]. - Net profit attributable to shareholders of the listed company was ¥414,619,703.67, an increase of 25.66% from ¥329,964,284.83 in the previous year[19]. - The net profit after deducting non-recurring gains and losses was ¥408,887,646.83, up 25.23% from ¥326,502,214.49 year-on-year[19]. - The net cash flow from operating activities was ¥429,846,053.52, reflecting a 26.46% increase compared to ¥339,910,155.12 in the same period last year[19]. - Basic earnings per share for the reporting period (January to June) increased to 0.36958 CNY, up 2.31% from 0.36124 CNY in the same period last year[20]. - Diluted earnings per share rose to 0.36958 CNY, reflecting a 14.82% increase from 0.32187 CNY year-over-year[20]. - The company's operating profit for the first half of 2021 was RMB 604,680,846.08, compared to RMB 455,737,646.62 in the same period of 2020, indicating a growth of approximately 32.6%[173]. - The total profit for the first half of 2021 was RMB 607,052,447.62, compared to RMB 456,715,721.90 in the previous year, reflecting an increase of approximately 32.8%[173]. - The company's total comprehensive income for the first half of 2021 was RMB 530,405,419.40, compared to RMB 395,540,995.36 in the same period of 2020, an increase of about 34%[176]. Assets and Liabilities - Total assets amounted to ¥28,950,114,197.41, which is a 6.99% increase from ¥27,057,450,816.75 at the end of the previous year[19]. - The net assets attributable to shareholders of the listed company at the end of the reporting period were ¥9,571,170,383.59, a 3.45% increase from ¥9,251,908,656.08 at the end of the previous year[19]. - The total current assets as of June 30, 2021, amounted to RMB 5,498,719,129.20, an increase from RMB 4,968,377,256.58 at the end of 2020, reflecting a growth of approximately 10.6%[160]. - The non-current assets totaled RMB 23,451,395,068.21 as of June 30, 2021, compared to RMB 22,089,073,560.17 at the end of 2020, indicating an increase of about 6.2%[160]. - The total liabilities reached ¥17,400,805,086.23, compared to ¥15,952,179,148.81, marking an increase of around 9%[163]. - Current liabilities rose to ¥9,884,095,940.39, up from ¥9,240,011,159.35, indicating an increase of about 7%[163]. - Long-term borrowings increased to ¥5,753,491,625.78 from ¥5,034,132,950.39, reflecting a growth of approximately 14%[163]. Operational Highlights - The company operates 27 waste incineration power generation projects across various cities, enhancing its capacity for waste management[28]. - The company has invested in 4 municipal wastewater treatment projects, further expanding its environmental service offerings[29]. - The company operates 22 waste incineration projects, processing 4.3293 million tons of waste, a year-on-year increase of 27.70%[57]. - The electricity generated from waste incineration reached 1,349.9948 million kWh, a year-on-year increase of 30.89%[57]. - The company operated 4 sewage treatment plants, processing a total of 204.6181 million tons of sewage, with an average daily processing capacity of 1.1305 million tons, remaining stable compared to the previous year[57]. Research and Development - Research and development expenses increased by 64.94% to approximately ¥40.12 million, driven by increased spending on projects by subsidiaries[66]. - The company is advancing 20 research projects in hazardous waste management, including significant national projects aimed at resource recovery[66]. - The company has been awarded multiple accolades, including the Shanghai Excellent Survey Achievement Award, highlighting its commitment to innovation and excellence in environmental services[63]. Environmental Responsibility - The company emphasizes environmental protection as a key component of its sustainable development strategy[115]. - The company actively responds to national "carbon peak" and "carbon neutrality" strategies, outlining future work plans for carbon reduction projects[117]. - The company has established effective pollution control facilities that operate in compliance with environmental regulations[109]. - The company has developed emergency response plans for environmental incidents[111]. - The company has implemented self-monitoring schemes for pollution sources to ensure compliance with discharge standards[114]. Risks and Challenges - The company is subject to industry policy risks, which may impact its market environment and development space if national policies change[82]. - Rising operational costs due to stricter environmental regulations and increased material and labor costs may impact profitability[88]. - The company faces operational risks due to regional concentration, which may affect performance if local policies fluctuate[87]. - The company must adapt to potential changes in subsidy policies for waste-to-energy projects, which could adversely affect cash flow and profitability[82]. Shareholder Information - The total number of shares post-capital reserve transfer is expected to increase to a minimum of 1,405,087,768 shares, with a minimum of 702,543,884 shares being distributed to shareholders[126]. - The largest shareholder, Shanghai Urban Investment (Group) Co., Ltd., held 46.50% of the shares, totaling 521,630,979 shares[143]. - The total equity attributable to the parent company increased to CNY 9,571,170,383.59, up from CNY 9,251,908,656.08, reflecting a growth of approximately 3.5%[196].