SEWPG(SH:688660)2022-08-22 16:00Financial Performance - The company reported a total revenue of 1.2 billion CNY for the first half of 2022, representing a year-on-year increase of 15%[16]. - The company's operating revenue for the first half of the year was ¥5,177,525,376.79, a decrease of 57.75% compared to the same period last year[23]. - The net profit attributable to shareholders was ¥140,738,116.57, down 59.96% year-on-year[23]. - The net profit after deducting non-recurring gains and losses was ¥38,136,928.93, reflecting an 87.81% decline compared to the previous year[23]. - Basic and diluted earnings per share were both ¥0.11, a decrease of 72.50% from the same period last year[24]. - The weighted average return on net assets was 1.83%, down 4.33 percentage points year-on-year[24]. - The total assets at the end of the reporting period were ¥25,590,332,332.80, a decrease of 16.62% from the end of the previous year[23]. - The net cash flow from operating activities is -¥3,491,976,307.51, indicating a significant decline in cash inflow from sales[99]. - Government subsidies accounted for 84.78% of the total profit in the current period, up from 9.14% in the previous period, highlighting a growing dependency on government support[96]. - The company's gross profit margin is at risk due to rapid declines in wind turbine prices and increased market competition, necessitating cost reduction strategies[98]. Market Expansion and Strategy - User data indicates a customer base expansion of 25%, reaching 150 new clients in the renewable energy sector[16]. - Market expansion strategies include entering Southeast Asian markets, aiming for a 15% market penetration by 2025[16]. - The company is actively pursuing market expansion in overseas regions, specifically targeting South Korea, Cambodia, Vietnam, Eastern Europe, and Central Asia[85]. - The company plans to launch two new wind turbine models by the end of 2022, targeting a 10% increase in market share[16]. - The company has completed the acquisition of a local competitor, enhancing its operational capacity by 30%[16]. Research and Development - The company is investing 200 million CNY in R&D for new technologies, focusing on offshore wind energy systems[16]. - R&D investment totaled approximately ¥277.41 million, a decrease of 16.97% compared to the previous year, while the proportion of R&D investment to operating revenue increased by 2.63 percentage points to 5.36%[55]. - The company has filed 114 invention patents and obtained 51 during the reporting period, bringing the total to 648 filed and 183 obtained[52]. - The company is in the development verification stage for a 6MW direct-drive offshore wind turbine system optimization project, with a total expected investment of ¥12,303.10 million[58]. - The company is also focusing on the research of key core components, with a total expected investment of ¥12,731.99 million, aiming to enhance cost efficiency and competitiveness of new products[58]. Technology and Innovation - The company is focusing on digitalization and smart technology to enhance its core capabilities and transition to a full lifecycle service provider in the wind power sector[34]. - The company has maintained its leading position in offshore wind power technology development and manufacturing capabilities[34]. - The company successfully launched the first prototype of the "Poseidon" platform, the EW8.X-230 unit, which features a larger wind-swept area to better utilize mid-to-low wind speed offshore resources[38]. - The company completed the installation of the EW11.0-208 unit from the "Petrel" platform, which is currently the largest offshore product installed in China's market[38]. - The company has developed a new compact semi-direct drive chain topology, which offers high reliability and low cost, now applied in both the Zhuoke and "Poseidon" platforms[43]. Operational Efficiency - The company is enhancing its core component supply chain management to improve cost control and ensure delivery schedules[82]. - The company has implemented new technologies to improve operational efficiency, including aerial gearbox repairs and transformer replacements, which effectively reduce maintenance costs[86]. - The company aims to stabilize its gross profit margin by optimizing production processes and reducing costs across various operational areas[98]. - The company plans to enhance its main business profitability through increased technology research and innovation[96]. - The company aims to improve asset operation efficiency and strengthen budget and accounts receivable management[170]. Environmental Commitment - The company emphasized its commitment to environmental protection and pollution prevention, achieving ISO 14001:2015 certification for its environmental management system[145]. - The company reported no significant environmental violations or penalties during the reporting period[145]. - The company implemented measures to control noise, waste gas, and solid waste, ensuring compliance with national standards[146]. Corporate Governance and Compliance - The company has established a clear plan for compliance with these commitments to avoid any potential conflicts with shareholders[153]. - The company will ensure that any profits gained from non-compliance will be returned to the company[173]. - The company has committed to maintaining transparency with shareholders and the public regarding any issues related to its commitments[173]. - The company has established measures to address any failure to fulfill commitments, including timely disclosure and potential compensation for losses incurred by investors[173]. - The company will publicly explain any violations of commitments regarding share reductions and apologize to shareholders[153]. Legal Matters - The company is involved in a lawsuit with Jin Chang Cheng Yin, with a claim amounting to RMB 52,762,458.75[181]. - The company has reached a settlement agreement regarding a dispute with Wind Power Gansu, involving a payment of RMB 14.5 million for lease fees from 2022 to 2028[182]. - The company is currently involved in a lawsuit with Wuhan Heavy Industries, with a claim amount of RMB 335,120,000.00, which is under appeal[181]. - The company has ensured that there are no undisclosed significant litigation matters or overdue debts during the reporting period[187]. - The company’s controlling shareholder, Shanghai Electric, is under investigation by the China Securities Regulatory Commission for alleged information disclosure violations[186].