FOUNTAIN(SZ:000005)2023-08-29 16:00Financial Performance - The company's operating revenue for the first half of 2023 was ¥78,929,583.74, a decrease of 11.67% compared to ¥89,354,181.83 in the same period last year[20]. - The net profit attributable to shareholders was a loss of ¥2,127,811.06, representing a decline of 131.68% from a profit of ¥6,716,482.50 in the previous year[20]. - The net cash flow from operating activities was negative at ¥39,927,754.02, a significant decrease of 230.27% compared to ¥30,650,773.02 in the same period last year[20]. - The basic earnings per share for the first half of 2023 were -¥0.0020, a decrease of 131.75% from ¥0.0063 in the same period last year[20]. - The company achieved a total revenue of ¥78,929,583.74, representing a decrease of 11.67% compared to the previous year's ¥89,354,181.83[41]. - The net profit for the first half of 2023 was a loss of CNY 3,950,294.69, compared to a profit of CNY 4,135,757.09 in the same period of 2022[134]. - The company's total liabilities decreased to RMB 1,261,345,033.95 as of June 30, 2023, compared to RMB 1,293,702,476.68 at the beginning of the year[128]. - The total equity of the company as of June 30, 2023, was RMB 1,302,241,145.22, down from RMB 1,308,487,443.22 on January 1, 2023[128]. Revenue Breakdown - The environmental protection business generated ¥64,693,907.20, accounting for 81.96% of total revenue, down 10.65% from ¥72,408,273.14[42]. - The hotel management and property management services reported revenue of ¥12,492,191.63, a decline of 18.44% from ¥15,316,329.78[42]. - The company signed new contracts worth ¥318 million in the engineering services sector, with reported revenue of ¥65 million during the reporting period[31]. Assets and Liabilities - The total assets at the end of the reporting period were ¥2,563,586,179.17, down 1.48% from ¥2,602,189,919.90 at the end of the previous year[20]. - The net assets attributable to shareholders were ¥1,208,209,722.52, a slight decrease of 0.36% from ¥1,212,593,788.37 at the end of the previous year[20]. - The company's cash and cash equivalents decreased significantly from RMB 75,991,545.02 on January 1, 2023, to RMB 18,266,527.53 by June 30, 2023[126]. - The company's total liabilities as of June 30, 2023, were CNY 1,083,256,642.38, compared to CNY 1,055,607,560.41 at the start of the year, indicating a rise of 2.1%[132]. Legal and Compliance Issues - The company has filed a lawsuit to recover ¥320 million in damages from a partner due to contract termination related to the Pinghu urban renewal project[35]. - The company has received an administrative penalty decision from the China Securities Regulatory Commission on January 4, 2023, related to information disclosure violations[84]. - The company has acknowledged the need for improvements in governance and internal controls following the administrative penalty and has initiated a rectification plan[85]. - The company is currently involved in multiple ongoing lawsuits, with amounts totaling 3,200,000 CNY and 3,000,000 CNY in appeals, both of which are still pending[83]. Research and Development - The company has obtained 19 domestic and international patents, including 7 invention patents and 10 utility model patents, to support its low-carbon technology integration platform[30]. - The company’s research and development expenses decreased by 10.72% to ¥6,261,606.38 compared to the previous year[41]. - Research and development expenses for the first half of 2023 were CNY 6,261,606.38, down from CNY 7,013,337.28 in the same period of 2022, representing a decrease of 10.7%[134]. Future Plans and Investments - The company plans to develop a peat production line for humic acid organic polymer materials and water coke regeneration fuel in Hainan[29]. - The company has initiated preliminary work on the production line project for fly ash zeolite-based nanocage crystal materials[29]. - The company plans to invest in multiple projects, including a peat production line and a clean coal project, with significant investment reports completed[33]. Shareholder and Equity Information - The total number of shares outstanding is 1,058,536,842, with 99.94% being unrestricted shares[111]. - The largest shareholder, China Investment Corporation, holds 13.75% of the shares, totaling 145,573,779 shares, which are currently frozen[113]. - The company did not distribute cash dividends or issue bonus shares for the reporting period[6]. - The company has not engaged in any significant equity or non-equity investments during the reporting period, nor did it have any securities or derivative investments[58][59]. Financial Management and Guarantees - The total amount of guarantees provided by the company is 23,250 million, accounting for 19.16% of the latest audited net assets[79]. - The company’s actual controller, Ding Peng, has provided guarantees totaling 3,000 million, representing 2.47% of the latest audited net assets, with a guarantee period of 1 year[78]. - The company has a general guarantee of 4,500 million with a duration of 0.5 years, which is currently under review based on court judgments[78]. Operational Challenges - The company faces significant short-term liquidity challenges, needing to address a funding gap of 17,000,000 CNY due to tightened bank credit policies[86]. - The company has non-operating related party debts totaling 10,975,960 CNY from Shenzhen Kastech Central Ring, which is linked to construction disputes[92]. - The company also has non-operating related party debts of 3,282,550 CNY from Shenzhen Qingyan Ziguang Technology, which are unresolved[92].