Lafang(SH:603630)2021-08-26 16:00Financial Performance - The company's operating revenue for the first half of 2021 was CNY 505.59 million, representing a 25.23% increase compared to CNY 403.74 million in the same period last year[20]. - The net profit attributable to shareholders of the listed company was CNY 52.69 million, up 10.30% from CNY 47.77 million in the previous year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses showed a significant decline, reporting a loss of CNY 5.65 million compared to a profit of CNY 47.95 million in the same period last year, marking a decrease of 111.79%[20]. - The net cash flow from operating activities was negative at CNY -86.50 million, a decrease of 234.52% compared to CNY 64.30 million in the previous year[20]. - The basic earnings per share increased by 9.52% to 0.23 RMB per share[22]. - The total comprehensive income for the first half of 2021 was CNY 50.10 million, compared to CNY 45.95 million in the same period of 2020[137]. - The company reported a net loss of CNY 30,975,650.80 during the same period, indicating challenges in profitability[157]. Assets and Liabilities - As of the end of the reporting period, the net assets attributable to shareholders were CNY 1.86 billion, a 2.14% increase from CNY 1.82 billion at the end of the previous year[21]. - Total assets at the end of the reporting period amounted to CNY 2.08 billion, reflecting a 2.02% increase from CNY 2.04 billion at the end of the previous year[21]. - The total liabilities of the company were CNY 181,758,843.07, a marginal increase from CNY 180,229,784.03, showing a growth of about 0.8%[129]. - The company's total current assets were CNY 1,485,025,757.25, slightly down from CNY 1,531,669,711.77 at the end of 2020, indicating a decrease of about 3.1%[127]. - Non-current assets increased to CNY 596,363,250.36 from CNY 508,423,412.14, reflecting a growth of approximately 17.3%[128]. - The total owner's equity at the end of the reporting period was CNY 1,899,630,164.54, reflecting a slight increase from CNY 1,862,376,659.01 in the previous period[152]. Revenue Sources - The sales revenue from the brand "Lafang," "Yujie," and "Meiduosi" accounted for 86.31% of total revenue, totaling 43,635.21 RMB[36]. - The sales revenue from the imported brand "Ruiboxi" increased by 128.34% to 1,810.72 RMB[36]. - The new domestic brands "Jian'an" and "T8" achieved sales revenues of 360.98 RMB and 805.30 RMB, respectively, with growth rates of 100.00% and 128.79%[36]. - E-commerce and retail channels generated revenue of 15,471.88 RMB, a significant increase of 151.83%[36]. Expenses and Costs - The operating cost increased to ¥235,596,255.85, up 18.87% from ¥198,193,400.70, primarily due to the rise in revenue[47]. - Sales expenses surged by 90.15% to ¥228,900,590.04 from ¥120,378,100.20, driven by increased promotional and e-commerce platform costs[48]. - The company's sales expenses rose significantly to CNY 169.55 million in the first half of 2021, compared to CNY 95.85 million in the first half of 2020, an increase of 76.73%[140]. Research and Development - The company has 143 authorized patents, including 68 invention patents and 75 design patents, reflecting its commitment to R&D innovation[43]. - The company launched over 16 new products under the "肌安特" brand, focusing on whitening, acne treatment, and repair[40]. - Research and development expenses for the first half of 2021 were ¥16,221,499.24, slightly up from ¥15,625,941.72 in the same period of 2020[136]. Investments and Capital - The company raised a total of RMB 801,804,000.00 from the public offering of 43,600,000 shares at a price of RMB 18.39 per share, after deducting underwriting and sponsorship fees[105]. - The company plans to invest RMB 41,874.42 million in the Shantou production base project, with an expected construction period of 2 years[110]. - The company has allocated RMB 14,551.83 million from the fundraising for the second phase of daily chemical products (shampoo and shower gel) project, which has been repurposed for the Shantou production base project[109]. Market and Competition - The company faces risks from intensified market competition, particularly in the daily chemical market, and plans to implement differentiated strategies based on regional market conditions and customer needs[70]. - The company is focusing on expanding its product lines and enhancing brand recognition through innovative marketing strategies and new product development[40][41]. Compliance and Governance - The company has not faced any environmental penalties and has maintained compliance with environmental regulations during the reporting period[86]. - The company received the "Green Factory" certification from the Ministry of Industry and Information Technology in 2019, reflecting its commitment to sustainable practices[86]. - There are no significant lawsuits or arbitration matters during the reporting period[97]. Shareholder Information - The total number of shareholders at the end of the reporting period was 22,351[118]. - The largest shareholder, Wu Guoqian, holds 69,503,831 shares, representing 30.66% of the total shares[120]. - The total number of unrestricted circulating shares is 224,447,000, which is 99.01% of the total shares[114]. Financial Reporting and Accounting - The company has established a comprehensive financial reporting framework that adheres to accounting standards, ensuring transparency in financial performance[172]. - The company maintains a continuous operation basis, confirming its ability to sustain business activities for at least 12 months[171]. - The company recognizes goodwill when the acquisition cost exceeds the fair value of identifiable net assets acquired in a merger, while any excess of fair value over the acquisition cost is recognized as profit for the current period[180].