New East(603110)2023-08-17 16:00Financial Performance - The company's operating revenue for the first half of 2023 was CNY 179,458,388.50, representing a 2.29% increase compared to CNY 175,446,322.14 in the same period last year[21]. - The net profit attributable to shareholders of the listed company decreased by 16.87% to CNY 8,135,671.08 from CNY 9,787,222.59 year-on-year[21]. - The net cash flow from operating activities was CNY 11,200,196.90, down 26.85% from CNY 15,311,977.62 in the previous year[21]. - Basic earnings per share for the first half of 2023 were CNY 0.04, down 20.00% from CNY 0.05 in the same period last year[22]. - The weighted average return on net assets decreased by 0.22 percentage points to 1.21% compared to 1.43% in the previous year[22]. - The company reported a significant increase in net profit after deducting non-recurring gains and losses, which rose by 200.00% to CNY 0.03 per share from CNY 0.01[22]. - The company achieved operating revenue of ¥179,458,388.50, a year-on-year increase of 2.29%[33]. - The net profit attributable to shareholders was ¥8,135,671.08, a decline of 16.87% year-on-year, while the net profit after deducting non-recurring gains and losses rose by 340.59% to ¥6,546,523.56[33]. - The company reported a total comprehensive income of CNY 8,135.67 million for the first half of 2023, down from CNY 9,787.22 million in the same period of 2022[107]. - The total profit for the first half of 2023 was CNY 11,388.66 million, compared to CNY 10,994.45 million in the same period of 2022, reflecting an increase of 3.6%[109]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 788,689,243.24, a decrease of 4.80% from CNY 828,464,108.16 at the end of the previous year[21]. - The net assets attributable to shareholders of the listed company decreased by 3.31% to CNY 645,046,079.54 from CNY 667,094,418.26 at the end of the previous year[21]. - As of June 30, 2023, the company has restricted assets totaling approximately RMB 45.49 million in cash, RMB 7.04 million in notes receivable, RMB 20.01 million in endorsed but not yet due notes, RMB 13.16 million in accounts receivable financing, RMB 52.79 million in fixed assets, and RMB 9.62 million in intangible assets[41]. - The company’s total assets were CNY 657,166,422.91 at the end of the reporting period[131]. - The total liabilities decreased to ¥30,700,504.30 from ¥3,899,687.66, indicating a significant reduction in liabilities[103]. Cash Flow - The cash flow from operating activities decreased by 26.85% to ¥11,200,196.90 due to increased outflows during the reporting period[38]. - Cash and cash equivalents increased significantly to ¥86,894,902.90 as of June 30, 2023, compared to ¥26,607,036.76 at the end of 2022, marking a growth of approximately 226.5%[101]. - The net cash flow from operating activities was CNY 11.20 million for the first half of 2023, down from CNY 15.31 million in the same period of 2022, indicating a decline of approximately 26.5%[112]. - Cash flow from investment activities showed a positive net amount of CNY 71.14 million in the first half of 2023, a significant recovery from a negative CNY 35.29 million in the first half of 2022[113]. - The company received CNY 220.00 million from investment recoveries in the first half of 2023, an increase from CNY 185.00 million in the same period of 2022[113]. Market and Industry Trends - The ink industry in China is growing at a rate exceeding 10% annually, driven by the booming printing and packaging sectors[27]. - UV ink is rapidly developing, with domestic brands now meeting domestic demand and beginning to penetrate international markets[27]. - Water-based inks are gaining popularity due to their environmental benefits, particularly in food and pharmaceutical packaging[28]. - The composite polyurethane adhesive market is expanding, with domestic companies narrowing the technology gap with international leaders[29]. - The PCB electronic ink industry is projected to grow significantly, supported by government policies and increasing demand in high-tech sectors[30]. Environmental Compliance - New Oriental Ink Co., Ltd. has been listed as a key pollutant discharge unit in Jiaxing City, indicating its environmental compliance status[55]. - The company has established comprehensive pollution prevention facilities, with all operations compliant with environmental regulations, and has not faced any administrative penalties during the reporting period[56]. - The company received multiple environmental impact assessments and approvals from local environmental authorities for various projects, including a 10,000 tons/year eco-friendly polyurethane adhesive project approved in 2009[57]. - The company’s subsidiary, New Oriental Ink Co., has implemented an emergency response plan for environmental incidents to minimize potential damages and ensure public safety[59]. - No administrative penalties were imposed on the company for environmental issues during the reporting period, reflecting its compliance with environmental laws[61]. Corporate Governance and Management - The company has committed to maintaining the independence of its operations and management in light of recent equity changes, ensuring no conflicts of interest arise[66]. - The company has established independent financial accounting departments and management systems for itself and its subsidiaries[67]. - The company ensures that it and its subsidiaries maintain independent operational capabilities, including production and sales systems, without reliance on related enterprises[68]. - The company will not use its controlling position to manipulate or harm the interests of other shareholders[72]. - The company has measures in place to prevent dilution of immediate returns and will not interfere with management activities[74]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period is 17,009[86]. - The largest shareholder, Xu Guangbin, holds 60,166,793 shares, accounting for 29.90% of the total shares, with 24,616,400 shares pledged[88]. - The second-largest shareholder, Zhu Junfei, holds 17,787,840 shares, representing 8.84% of the total shares[88]. Research and Development - The company has mastered core technology in the synthesis of polyurethane connecting materials, significantly enhancing product innovation capabilities[32]. - Research and development expenses for the first half of 2023 were ¥6,688,872.85, slightly up from ¥6,620,363.79 in the same period of 2022, indicating continued investment in innovation[105]. Financial Reporting and Compliance - The financial statements were approved by the board of directors on August 17, 2023, indicating a commitment to transparency and compliance with accounting standards[145]. - The company has assessed its ability to continue as a going concern for the next 12 months and found no issues affecting this capability[145]. - The accounting policies and estimates are in accordance with the enterprise accounting standards, ensuring accurate financial reporting[146].