Yongjin Technology (SH:603995)2023-08-15 16:00Financial Performance - The company's operating revenue for the first half of 2023 was ¥17,335,205,140.31, a decrease of 17.35% compared to ¥20,975,045,744.39 in the same period last year[18]. - The net profit attributable to shareholders of the listed company was ¥213,516,068.12, down 29.32% from ¥302,090,661.66 in the previous year[18]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥198,004,617.63, a decrease of 32.55% compared to ¥293,552,910.77 in the same period last year[18]. - Basic earnings per share decreased by 33.33% to CNY 0.60 compared to the same period last year[19]. - Diluted earnings per share also decreased by 33.33% to CNY 0.60 compared to the same period last year[20]. - The weighted average return on equity decreased by 3.27 percentage points to 4.53% compared to the same period last year[19]. - The decrease in net profit attributable to shareholders was mainly due to a decline in market demand and narrowing profit margins for some products[19]. - The company reported a net profit of 1,145,327,000 for the current period, which is an increase from 1,143,659,000 in the same period last year, reflecting a growth of approximately 0.1%[194]. Cash Flow and Assets - The net cash flow from operating activities was ¥158,095,131.44, a significant improvement from a negative cash flow of ¥491,904,259.98 in the previous year[18]. - Total assets at the end of the reporting period were ¥12,228,479,133.78, reflecting a growth of 15.89% compared to ¥10,551,753,233.97 at the end of the previous year[18]. - The company's cash and cash equivalents increased by 117.31% to approximately ¥1.78 billion, up from ¥821.07 million at the end of the previous year[43]. - The ending cash and cash equivalents balance for H1 2023 was ¥1,199,054,073.37, a significant increase from ¥623,405,299.93 at the end of H1 2022[188]. - The total assets of the company reached 2,174,433,000, up from 1,276,825,000 in the previous year, marking a significant increase of about 70.3%[193]. Investments and R&D - The company has developed an annual production capacity of over 2.5 million tons of cold-rolled stainless steel products[26]. - The company is recognized as a national high-tech enterprise and has a strong focus on R&D for new products and production processes[26]. - The company’s research and development expenses decreased by 7.79% to approximately ¥333.92 million, down from ¥362.13 million in the previous year[41]. - The company is focusing on enhancing its research and development capabilities to innovate and improve product offerings[194]. - The company plans to invest in new technology development, aiming to enhance product offerings and improve operational efficiency[199]. Market and Production - In the first half of 2023, the domestic production of cold-rolled stainless steel decreased by 550,000 tons year-on-year, a reduction of approximately 7.5%[32]. - The company's cold-rolled product inventory output reached 1.1667 million tons, a year-on-year decrease of 4.23%, while sales were 1.1691 million tons, down 3.31%[38]. - The company has initiated the construction of the new Vietnam plant and terminated the investment in the Indonesia project, while also acquiring a 40% stake in Yinyang Pipe Industry[38]. - The company aims to achieve a revenue growth target of 10% for the upcoming fiscal year, driven by new market strategies and product launches[194]. Environmental Compliance - The company has committed to environmental compliance, with no major pollution incidents reported during the reporting period, and all emissions within government limits[72]. - Jiangsu Yongjin's environmental facilities operated normally in the first half of 2023, with all wastewater, noise, and air emissions meeting standards[76]. - Both companies are committed to clean production practices, improving energy utilization, and reducing pollutant emissions[76]. - Environmental monitoring includes quarterly testing of wastewater for various pollutants, ensuring compliance with standards[80][81]. - The company has implemented a comprehensive environmental self-monitoring plan, with online monitoring for key pollutants at wastewater discharge points[93]. Shareholder Commitments - The company has a commitment from its major shareholders to not transfer their shares for a period of 36 months following the IPO, ensuring stability in shareholding[99]. - The company’s controlling shareholders will not interfere with the management activities of the company and will not infringe upon the company's interests[112]. - The company’s controlling shareholders will ensure that any future business expansions do not compete with the company’s products or services[115]. - The company has established a commitment to reduce and regulate related party transactions, ensuring fairness and compliance with legal standards[117]. Future Outlook - Overall, the company remains optimistic about future performance, with a commitment to innovation and market leadership[199]. - Future guidance indicates a projected revenue growth of 12% for the next fiscal year, driven by new product launches[199]. - The company plans to continue its market expansion efforts, focusing on increasing user engagement and retention[199].