SITONG(SH:603838)2020-10-28 16:00Financial Performance - Operating revenue decreased by 50.95% to CNY 166,842,248.23 for the period from January to September compared to the same period last year[7]. - Net profit attributable to shareholders decreased by 108.54% to a loss of CNY 4,410,138.46 for the period from January to September compared to the same period last year[7]. - Basic earnings per share decreased by 108.00% to -CNY 0.0155 for the period from January to September compared to the same period last year[8]. - Operating profit decreased by 109.72% to -¥6,140,297.59, attributed to reduced operating income and increased expenses[20]. - Total comprehensive income decreased by 108.57% to -¥4,427,488.29, reflecting reduced operating income and increased expenses[21]. - Net profit for Q3 2020 was a loss of ¥3,921,405.76, compared to a profit of ¥25,423,547.30 in Q3 2019, representing a significant decline[42]. - The total profit for Q3 2020 was -1,174,836.05 RMB, compared to a profit of 23,825,799.51 RMB in Q3 2019, indicating a drastic decline in overall profitability[46]. Assets and Liabilities - Total assets increased by 55.53% to CNY 1,413,429,074.62 compared to the end of the previous year[7]. - Total liabilities included a new short-term loan of RMB 202,000,000.00, reflecting increased borrowing by Guangdong Dongwei New Materials Co., Ltd.[15]. - Total assets for the reporting period included an increase in intangible assets by 313.86% to RMB 301,916,499.43 from RMB 72,950,746.32, mainly due to the acquisition of land use rights[15]. - Total liabilities decreased to ¥149,746,603.44 in Q3 2020 from ¥180,267,386.15 in Q3 2019, a reduction of 17.0%[41]. - Non-current liabilities reached CNY 108,834,237.19, including long-term borrowings of CNY 45,000,000.00[55]. Cash Flow - Cash flow from operating activities decreased by 54.16% to CNY 21,130,777.22 for the period from January to September compared to the same period last year[7]. - Cash inflow from operating activities for the first three quarters of 2020 was CNY 281,924,602.46, a decrease of 8.8% compared to CNY 309,144,193.34 in the same period of 2019[48]. - Net cash flow from investment activities for the first three quarters of 2020 was -CNY 491,330,035.55, compared to -CNY 28,693,921.62 in 2019, indicating increased investment expenditures[49]. - Cash inflow from financing activities for the first three quarters of 2020 was CNY 531,733,490.56, a substantial increase from CNY 75,000,000.00 in the same period of 2019[49]. Equity and Shareholder Information - Net assets attributable to shareholders increased by 41.39% to CNY 1,058,994,553.59 compared to the end of the previous year[7]. - The total equity attributable to shareholders increased by 41.39% to RMB 1,058,994,553.59 from RMB 748,973,046.72, driven by income from a private placement[16]. - The company’s registered capital increased from ¥26,668 million to ¥32,001.60 million following the completion of registration changes[25]. - The company’s equity attributable to shareholders rose to approximately CNY 1.06 billion from CNY 748.97 million, an increase of about 41.3%[38]. Operational Challenges - The company experienced a significant decline in net profit due to various operational challenges and market conditions[7]. - The company expects a significant decline in cumulative net profit for the year compared to the same period last year, primarily due to reduced export sales orders and increased fixed asset depreciation costs[33]. - The company has a fixed asset depreciation and amortization expense due to new project renovations, impacting overall profitability[33]. Government Subsidies and Investment Income - The company reported government subsidies of CNY 6,743,357.00 for the period from January to September[9]. - Received government subsidies increased by 168.87% to ¥8,181,742.87 compared to ¥3,043,064.30 in the previous period[23]. - Investment income increased by 104.49% to ¥3,567,069.75, primarily from equity method investments[19]. - The company received a return of CNY 7.2 million from its investment in Chaozhou Guangzhantong Ceramics Co., Ltd. after a capital reduction[31].