ARGUS(SH:603790)2021-08-19 16:00Financial Performance - The company's operating revenue for the first half of 2021 was approximately ¥470.52 million, representing a year-on-year increase of 26.51% compared to ¥371.92 million in the same period last year[20]. - The net profit attributable to shareholders of the listed company reached approximately ¥51.71 million, a year-on-year increase of 47.11% from ¥35.15 million[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately ¥49.21 million, reflecting a significant year-on-year growth of 69.30% from ¥29.07 million[20]. - The basic earnings per share for the first half of 2021 was ¥0.27, an increase of 50.00% compared to ¥0.18 in the same period last year[21]. - The weighted average return on net assets increased to 4.48%, up by 1.40 percentage points from 3.08% in the previous year[21]. - Revenue from overseas markets amounted to 66.94 million yuan, growing by 44.80% year-on-year, with overseas revenue accounting for 14.23% of total revenue[39]. - The total comprehensive income for the first half of 2021 was ¥51,995,524.15, compared to ¥34,197,067.70 in the same period of 2020[100]. Assets and Liabilities - The total assets of the company at the end of the reporting period were approximately ¥1.53 billion, an increase of 8.54% from ¥1.41 billion at the end of the previous year[20]. - The net assets attributable to shareholders of the listed company at the end of the reporting period were approximately ¥1.15 billion, reflecting a slight increase of 1.57% from ¥1.13 billion at the end of the previous year[20]. - The company's total current assets amounted to RMB 1,027,924,315.12, an increase from RMB 1,007,760,204.20 at the end of 2020, reflecting a growth of approximately 1.1%[91]. - The total liabilities of the company as of June 30, 2021, were not specified but are critical for assessing financial health[91]. - Current liabilities rose to ¥277,623,735.68, compared to ¥196,613,766.65, marking an increase of about 41.2%[92]. - Total liabilities reached ¥299,311,720.42, up from ¥196,801,507.56, indicating a significant increase of approximately 52%[93]. Cash Flow - The net cash flow from operating activities was approximately ¥12.25 million, a decrease of 66.31% compared to ¥36.37 million in the same period last year[20]. - Operating cash inflow for the first half of 2021 was CNY 250,347,825.18, an increase of 19.2% compared to CNY 210,041,343.59 in the first half of 2020[105]. - Cash inflow from investment activities was CNY 360,102,396.98, a decrease of 55.5% compared to CNY 808,137,515.64 in the first half of 2020[106]. - Net cash flow from financing activities was CNY 21,593,460.73, compared to a negative CNY 26,287,900.31 in the first half of 2020[106]. Research and Development - As of June 30, 2021, the company had 135 R&D and technical personnel, making up 22.73% of the total workforce[35]. - Research and development expenses rose by 20.89% to approximately ¥19.24 million, compared to ¥15.91 million in the previous year, reflecting increased investment in R&D projects[44]. - The company holds 164 authorized patents, including 116 invention patents, which have been applied in the production of dyes and textile auxiliaries[35]. - The company emphasizes the importance of R&D for new products and technologies to maintain market competitiveness, but faces risks related to the uncertainty and costs of new product development[53]. Market Position and Strategy - The company is positioned as a major player in the dye and textile auxiliary industry, with nearly 50 series and over 500 products in dyeing, and nearly 20 series and 400 products in textile auxiliaries[31]. - The company is focusing on digital transformation and green development in response to the 2030 carbon peak and 2060 carbon neutrality goals[29]. - The company is actively expanding its production capacity with ongoing projects in key industrial areas, which will enhance self-production capabilities[30]. - The company provides diversified products and application technology services to downstream printing and dyeing and textile garment enterprises[28]. Environmental Responsibility - The company has developed new eco-friendly products and processes, including energy-saving dyeing technologies, which have been recognized in the industry for their advanced energy-saving and emission-reduction capabilities[40]. - The company actively promotes low-carbon production practices, aiming to reduce carbon emissions through the use of clean energy and energy-efficient equipment[68]. - The company has established a comprehensive environmental management system, achieving ISO 14001 certification and compliance with external audits[65]. - The company strictly adheres to national environmental protection laws and regulations, with all subsidiaries meeting relevant environmental standards[64]. Corporate Governance - The company appointed a new CFO, Tao Jianqin, effective June 10, 2021, following the retirement of the previous CFO, Xu Yaqin[59]. - The integrity status of the company and its actual controllers is good, with no unfulfilled court judgments or significant overdue debts[73]. - There were no major related party transactions or significant contracts during the reporting period[74][78]. - The company has not reported any changes in controlling shareholders or actual controllers during the reporting period[87]. Risks and Challenges - Fluctuations in raw material prices, such as cotton and nylon dyes, significantly impact production costs, and the company may struggle to pass these costs onto sales prices if they rise sharply[51]. - Accounts receivable are primarily short-term, but the company faces risks of increased receivables and potential bad debts due to economic conditions affecting clients[53]. - The company relies on a highly skilled R&D team, and the loss of key technical personnel could hinder new product development and innovation[54]. - Safety management systems are in place to mitigate production risks, but the company remains vulnerable to accidents that could disrupt operations[55].