Kewell(SH:688551)2023-08-25 16:00Revenue and Profit Growth - Pre-sales revenue for goods increased to 67,418,186.14 from 49,216,439.21, reflecting a growth of 36.9%[2] - Revenue for the reporting period increased by 43.46% year-on-year, reaching 219,828,459.87 RMB, driven by strong demand in the downstream energy storage and hydrogen sectors[64] - Net profit attributable to shareholders surged by 228.81% year-on-year to 50,168,804.26 RMB, with non-GAAP net profit increasing by 2,651.17% to 44,771,539.09 RMB[64] - Revenue for the first half of 2023 reached 220 million yuan, a year-on-year increase of 43.46%[107] - Net profit surged to 50.1688 million yuan, a year-on-year increase of 228.81%[107] - Revenue for the reporting period reached 219.8285 million yuan, a year-on-year increase of 43.46%[123] - Net profit attributable to shareholders of the listed company was 50.1688 million yuan, a year-on-year increase of 228.81%[123] - Net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses was 44.7715 million yuan, a year-on-year increase of 2,651.17%[123] - The company's sales revenue from goods and services in the first half of 2023 was RMB 225,166,640.37, a significant increase from RMB 134,097,930.56 in the same period of 2022[158] R&D and Innovation - R&D expenses increased to 39,191,363.57 from 34,488,182.18, a growth of 13.6%, with employee compensation being the largest component at 28,723,187.33[17] - R&D expenditure accounted for 17.83% of revenue, a decrease of 4.68 percentage points compared to the same period last year[64] - The company's R&D investment in the reporting period was 39,191,363.57 yuan, an increase of 13.64% compared to the same period last year[90] - R&D expenses reached 39.19 million yuan, a 13.64% increase year-over-year, accounting for 17.83% of total revenue[112] - The company has accumulated 287 authorized patents and 49 software copyrights, with 38 new patents and 3 new software copyrights added in the reporting period[88] - The company completed the development of a 200KW fuel cell stack testing system, achieving international advanced performance levels[95] - A new ultra-high power fuel cell stack testing system was developed, filling a domestic product gap and replacing imported products with advanced design indicators[95] - The company developed a 100W desktop fuel cell single-cell testing system, achieving performance and durability testing platform parameters comparable to mainstream products[95] - A high-power stack diagnostic device was developed, including power-level disturbance units, signal acquisition units, and analysis algorithms, for real-time online monitoring of fuel cell stack impedance[95] - The company applied for 3 invention patents, 5 utility model patents, and 1 software copyright for the high-power DC/DC technology platform[94] - The company completed the development of a battery module EOL testing system, improving software interface aesthetics and functionality[94] - The company developed a battery charge-discharge testing system, improving voltage and current accuracy and communication speed[94] - The company completed the development of a cell charge-discharge testing system, achieving high-frequency, modular, and structurally reasonable performance[94] - The company developed a module charge-discharge testing system, applying for 2 invention patents and 2 utility model patents[94] - The company developed a multi-channel data acquisition system, achieving channel isolation and small-batch trial production[95] - The company developed a second-generation fuel cell stack testing system with a core functional index improvement, standardized product functions, and modular design, covering the same platform power range, ensuring product consistency and simplified design[24] - The company developed a megawatt-level PEM electrolysis stack integrated testing platform solution for MW-level PEM electrolysis stack testing[25] - The company completed the development of a multi-channel electrolysis water testing platform prototype and functional modules, and developed a multi-channel flow, pressure, and temperature control system and control technology[26] - The company iterated hydrogen energy testing equipment technology solutions, improving fluid temperature, pressure, flow control technology, hardware and system compatibility, and control algorithms[27] - The company developed a semiconductor device testing system, improving test efficiency and reliability, and completing semiconductor dynamic testing[28] - The company introduced the IPD R&D process, combining market research, customer feedback, and national policy analysis to incubate highly competitive products, especially in high-power testing power supplies using SiC power devices[99] - The company achieved 1 invention patent, 3 utility model patents, and 1 design patent for the IGBT static testing system[101] - The power device thermal characteristic testing system completed the development of a prototype and established a technical platform[101] - The company developed a 1200V below (module specification) automotive-grade two-level module reactive aging system[101] - The M6000 series V2.0 optimized force control algorithms and improved hardware system integration[101] Subsidiaries and Investments - The company holds a 71.6529% stake in Anhui Hanxian Intelligent Technology Co., Ltd., with 82.9268% voting rights after a capital increase of 17 million RMB[21] - The company's subsidiaries include Kowell (Beijing) Technology Development Co., Ltd. and Shanghai Keqing Technology Co., Ltd., both with 100% ownership[21] - Total investment in subsidiaries increased to RMB 52.5 million, with an additional RMB 10.5 million invested in Hefei Kecai Intelligent Equipment Co., Ltd[36] - The company's long-term equity investment in subsidiaries increased to 52,500,000 RMB, up from 42,000,000 RMB at the beginning of the period[54] - The company's subsidiary, Kowell (Beijing) Technology Development Co., Ltd., reported a net loss of 645,000 yuan[133] - The company's subsidiary, Anhui Hanxian Intelligent Technology Co., Ltd., reported a net loss of 3.6552 million yuan[134] - The company's subsidiary, Hefei Kocell Intelligent Manufacturing Equipment Co., Ltd., reported a net profit of 10,800 yuan[134] - The company's subsidiary, Hefei Keyao Intelligent Equipment Angel Investment Partnership (Limited Partnership), reported a net profit of 7,700 yuan[134] - The company and its subsidiaries participated in the establishment of the Hefei Keyao Intelligent Equipment Angel Investment Partnership (Limited Partnership) with Hefei Guoyao Capital Investment Management Co., Ltd. and Hefei Angel Investment Fund Co., Ltd. The partnership completed its industrial and commercial registration on March 24, 2023, and obtained the "Business License" from the Hefei Market Supervision Administration[146] - The Hefei Keyao Intelligent Equipment Angel Investment Partnership (Limited Partnership) completed the filing procedures with the Asset Management Association of China on April 18, 2023, and obtained the "Private Investment Fund Filing Certificate"[146] Financial Performance and Cash Flow - Cash and cash equivalents increased to 619,533,173.97 from 519,045,211.53, reflecting a growth of 19.4%[19] - The company's cash and cash equivalents increased to 658,120,959.26 from 568,821,634.52, with significant growth in bank deposits from 520,430,900.53 to 620,918,862.97[186] - The company's cash flow from operating activities in the first half of 2023 was negative RMB 2,998,554.49, an improvement from negative RMB 5,620,145.39 in the same period of 2022[158] - The company's total cash inflow from operating activities in the first half of 2023 was RMB 237,080,995.09, compared to RMB 157,681,696.56 in the same period of 2022[158] - The company's total cash outflow from operating activities in the first half of 2023 was RMB 240,079,549.58, compared to RMB 163,301,841.95 in the same period of 2022[158] - The company's cash flow from investment activities in the first half of 2023 included RMB 230,000,000.00 from investment recovery and RMB 2,552,993.78 from investment income[158] - The company's total cash outflow for purchasing goods and accepting labor services in the first half of 2023 was RMB 132,025,936.04, compared to RMB 67,718,102.50 in the same period of 2022[158] - The company's total cash outflow for employee compensation in the first half of 2023 was RMB 57,432,101.74, compared to RMB 47,885,099.11 in the same period of 2022[158] - The company's total cash outflow for taxes in the first half of 2023 was RMB 17,291,444.52, compared to RMB 13,545,266.82 in the same period of 2022[158] - The company's total cash outflow for other operating activities in the first half of 2023 was RMB 33,330,067.28, compared to RMB 34,153,373.52 in the same period of 2022[158] - The company's total cash inflow from other operating activities in the first half of 2023 was RMB 5,156,047.94, compared to RMB 17,400,001.25 in the same period of 2022[158] - The company's monetary funds were restricted due to bank acceptance bills and guarantee deposits, totaling 18.1286 million yuan[126] - The company's trading financial assets at the end of the period were 170.5834 million yuan, with a decrease of 583,397.25 yuan in fair value changes[131] - The company's trading financial assets at the end of the period were 0, mainly due to the maturity and recovery of trading financial assets[187] - The total amount of bank acceptance bills and commercial acceptance bills at the end of the period was 14,549,436.86 RMB, a decrease from the initial balance of 19,476,034.04 RMB[191] - The top five prepayment balances at the end of the period totaled 5,803,000 RMB, accounting for 71.97% of the total prepayment balance[194] - The total other receivables at the end of the period amounted to 5,867,885.18 RMB, with 1-year receivables accounting for 4,886,667.15 RMB[195] - The bad debt provision for other receivables decreased by 101,362.98 RMB during the period, resulting in an ending balance of 396,313.83 RMB[197] - The company's right-of-use assets decreased by 33.59% compared to the beginning of the period, mainly due to the expiration of leases[200] Accounts Receivable and Bad Debt - Accounts receivable totaled 208,222,277.18 RMB, with a bad debt provision of 16,466,943.39 RMB, representing a provision ratio of 7.91%[31] - The top five accounts receivable balances accounted for 26.76% of the total, with the largest single balance being 20,769,987.31 RMB[34] - The company's bad debt provision increased by 938,815.59 RMB during the period, reaching a total of 16,951,241.90 RMB[34] - The company's accounts receivable aging analysis shows 180,214,993.52 RMB within 1 year, with a 5% provision ratio, and 4,057,105.33 RMB over 3 years, fully provisioned[31] - Accounts receivable increased by 14.37% to 192.95 million yuan, raising potential bad debt risks[120] - The company calculates expected credit losses for accounts receivable by referencing historical credit loss experience and current and future economic conditions[172] Inventory and Supply Chain - Payables for goods to be sold increased to 4,989,745.64 from 3,629,907.00, reflecting a growth of 37.5%[9] - Inventory value increased by 15.11% to 198.35 million yuan, driven by higher order volumes and potential inventory management risks[121] - The company faces risks of delayed product delivery cycles, with some projects extending to over 6 months[118] - Raw material supply and price fluctuations pose risks to cost and production timelines[119] Market and Industry Trends - The company's hydrogen energy sector saw significant growth in order volume due to improved market conditions and policy support[64] - In H1 2023, fuel cell vehicle production and sales reached 2,386 and 2,362 units respectively, with year-on-year growth of 38.4% and 73.5%[77] - Electrolyzer equipment bidding exceeded 600MW in H1 2023, reaching 75% of 2022's total shipments, with 2023 demand expected to double compared to 2022[77] - The global SiC power semiconductor market is projected to reach $2.28 billion in 2023, growing 41.4% YoY, and is expected to reach $5.33 billion by 2026[78] - Over 25 SiC-related companies completed new financing rounds in H1 2023, with total funding exceeding 8.5 billion RMB[78] - Hydrogen energy sector revenue increased by 210.48% year-over-year due to rising demand in hydrogen production and usage[109] - Power semiconductor sector revenue decreased by 15.14% year-over-year, but gross margin increased by 32.34 percentage points[110] Operational Risks and Challenges - Intensified market competition may lead to declining gross margins in core products[115] - Expansion of operations increases management complexity and operational risks[117] - Potential loss of technical talent could impact product development and cost control[114] - The company's "one horizontal, multiple vertical" strategy aims to expand into semiconductor equipment, automotive electronics, and medical fields[103] - The company has accumulated testing cases for electrolyzers ranging from 500W to 5MW, becoming one of the most comprehensive providers in China[105] Financial Instruments and Accounting Policies - The company classifies financial instruments as financial liabilities if they are settled using the company's own equity instruments as a substitute for cash or other financial assets[170] - The company measures expected credit losses for financial instruments based on the stage of credit risk, with different stages requiring different measurement approaches[171] - Financial instruments are considered to have low credit risk if the borrower has a strong ability to fulfill contractual cash flow obligations in the short term, even under adverse economic conditions[173] - The company assesses whether the credit risk of financial instruments has increased significantly by comparing the probability of default at the reporting date with the probability at initial recognition[173] - The company uses the equity method for long-term equity investments, adjusting the carrying amount based on the investee's net profit, other comprehensive income, and profit distribution[177] - Fixed assets are depreciated using the straight-line method, with annual depreciation rates ranging from 1.90% to 31.67% depending on the asset category[179] - The company capitalizes borrowing costs for qualifying assets, with specific methods for calculating capitalizable amounts for both specialized and general borrowings[180] - The company recognizes revenue for performance obligations over time using the input or output method, and at a point in time when control of goods or services is transferred to the customer[185] - The company's other monetary funds decreased from 34,568,808.07 to 16,742,907.44, while unearned interest increased from 13,803,371.23 to 20,450,534.24[186] - The company's investment properties are not applicable, and fixed assets are recognized based on actual cost when specific conditions are met[178] - The company's construction in progress is converted to fixed assets when the asset reaches its intended usable state, with costs including construction expenses, equipment costs, and necessary expenditures[176] - The company's equity investments in associates and joint ventures are accounted for using the equity method, with adjustments for unrealized internal transaction profits and losses[174] - The company's share-based payments include both cash-settled and equity-settled transactions, with fair value determined based on market prices or option pricing models[183] Environmental and Social Responsibility - The company reduced carbon dioxide equivalent emissions by 290.18 tons through measures such as installing solar photovoltaic systems on new factory roofs[143] - The company utilized clean energy generation to reduce indirect greenhouse gas emissions[143] Project Delays and Investments - The "High-Precision Low-Power Test Power Supply and Fuel Cell, Power Semiconductor Test Equipment Production Base Construction Project" and the "Test Technology Center Construction Project" were originally planned to start construction in September 2020 with a construction period of 2 years, to be completed and put into use by September 2022. However, due to land supply issues, the project implementation plan has been delayed[149] - Total investment during the reporting period was 11.6 million yuan, a year-on-year increase of 65.71%[128] Employee Benefits and Compensation - Short-term employee benefits decreased to 16,627,710.40 from 20,111,126.29, a reduction of 17.3%[3] - The company's total cash outflow for employee compensation in the first half of 2023 was RMB 57,432,101.74, compared to RMB 47,885,099.11 in the same period of 2022[158] Taxes and Payables - Taxes payable decreased by 75.65% to 1,079,566.02 from 4,434,021.15, primarily due to the payment of deferred corporate income tax[5] - Other payables decreased to 9,501,114.74 from 10,345,602.06, a reduction of 8.2%[6] - The company's total cash outflow for taxes in the first half of 2023 was RMB 17,291,444.52, compared to RMB 13,545,266.82 in the same period of 2022[158] Government Grants and Subsidies - Government grants decreased to 3,682,401.77 from 3,721,149.95, a reduction of 1.04%[11] - Non-operating income from government subsidies amounted to RMB 4.35 million[41] - The company holds 5,130,000.00 in funds from the Hefei High-Tech Zone Economic