HOLSIN(SH:603909)2020-04-24 16:00Financial Performance - Operating revenue fell by 28.45% to CNY 104,325,368.20, primarily due to delays in business resumption caused by the COVID-19 pandemic[9] - Net profit attributable to shareholders decreased by 63.20% to CNY 2,343,556.65, reflecting the decline in operating revenue[9] - Basic and diluted earnings per share dropped by 63.41% to CNY 0.0165[8] - The company reported a significant reduction in new contracts signed, impacting future revenue projections[9] - The net profit for Q1 2020 was CNY 2,625,059.75, a significant decrease from CNY 7,122,594.23 in Q1 2019, reflecting a decline of about 63.16%[31] - The total profit for Q1 2020 was CNY 3,736,919.32, down from CNY 8,990,531.04 in Q1 2019, indicating a decrease of approximately 58.5%[30] - The company's basic and diluted earnings per share for Q1 2020 were both CNY 0.0165, compared to CNY 0.0451 in Q1 2019, a decline of about 63.5%[31] Assets and Liabilities - Total assets decreased by 8.10% to CNY 1,314,356,243.08 compared to the end of the previous year[8] - Total liabilities decreased by 66.93% to ¥19,374,726.22 due to the impact of year-end bonuses from 2019[16] - Total assets decreased to ¥1,314,356,243.08 from ¥1,430,130,634.85, reflecting a decline in both current and non-current assets[21] - Current assets decreased to ¥937,676,003.23 from ¥1,046,529,836.35, with a significant drop in accounts receivable[20] - Total liabilities decreased to CNY 478,491,732.97 from CNY 590,524,688.67, indicating improved financial stability[26] - Total liabilities were CNY 590,524,688.67, which is an increase of CNY 1,686,247.31 compared to the previous reporting period[46] Cash Flow - The net cash flow from operating activities improved by 26.11%, reaching CNY -19,683,047.10 compared to CNY -26,638,893.46 in the same period last year[8] - Net cash flow from operating activities improved by 26.11% to -¥19,683,047.10, influenced by a reduction in labor payments[16] - The cash flow from financing activities included 13,100,000.00 RMB in borrowings received, down from 19,500,000.00 RMB in the previous year, a decrease of about 32.3%[39] - Total cash inflow from operating activities was 222,543,355.55 RMB, while cash outflow was 242,226,402.65 RMB, resulting in a net cash flow deficit[38] - The net cash flow from financing activities was -15,514,549.27 RMB, compared to a positive cash flow of 1,718,509.84 RMB in Q1 2019, reflecting a substantial decrease[39] Revenue Recognition and Accounting Changes - The implementation of the new revenue recognition standard began on January 1, 2020, affecting how revenue is measured and recognized[49] - The company did not recognize revenue for uncompleted design services due to uncertainty in cost recovery and customer acceptance[50] - The company reclassified prepayments to contract liabilities, impacting the financial position as of January 1, 2020[48] - The company implemented new revenue recognition standards starting January 1, 2020, affecting the classification of contract assets and liabilities[56] - Prepayments were reclassified as contract liabilities, reflecting a shift in revenue recognition practices[56] Operational Costs and Expenses - Operating costs fell by 33.73% to ¥68,885,117.54, primarily due to delays in project commencement caused by the COVID-19 pandemic[16] - The company reported a significant increase in non-operating expenses, with donations related to COVID-19 rising by 1483.35% to ¥420,454.10[16] - Research and development expenses for Q1 2020 were CNY 5,556,532.84, compared to CNY 5,349,923.15 in Q1 2019, indicating continued investment in innovation[29] - The company's research and development expenses for Q1 2020 were CNY 1,191,319.29, a decrease from CNY 1,643,462.95 in Q1 2019, reflecting a reduction of about 27.5%[33] Equity and Capital - The company reported a capital reserve of CNY 233,046,198.09, showing a slight increase from CNY 232,166,031.13[23] - The company’s total equity attributable to shareholders was CNY 788,779,673.36, down from CNY 792,468,735.05[23] - Shareholders' equity totaled CNY 839,605,946.18, reflecting a decrease of CNY 6,104,375.18[47] - The company reported a decrease in undistributed profits by CNY 6,104,375.18, totaling CNY 404,821,989.40[47]