YCC(SZ:000878)2021-08-24 16:00Financial Performance - The company's operating revenue for the first half of 2021 was approximately ¥59.32 billion, representing a 47.16% increase compared to the same period last year[22]. - The net profit attributable to shareholders was approximately ¥252.42 million, a decrease of 10.78% year-on-year[22]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately ¥262.28 million, an increase of 34.93% compared to the previous year[22]. - The company's total assets at the end of the reporting period were approximately ¥46.53 billion, reflecting a 16.81% increase from the end of the previous year[22]. - The net assets attributable to shareholders were approximately ¥8.75 billion, which is a 6.72% increase compared to the previous year[22]. - The basic earnings per share for the reporting period were ¥0.1485, down 10.81% from the same period last year[22]. - The company reported a net cash flow from operating activities of approximately -¥1.78 billion, a significant decrease of 191.68% compared to the previous year[22]. - The weighted average return on equity was 2.98%, down from 3.36% in the previous year[22]. - The total profit for the same period was 909 million yuan, up 50.28% year-on-year[40]. - The company reported a non-operating loss of 9.86 million yuan, primarily due to debt restructuring losses of 80.08 million yuan[doc id='27']. Production and Sales - The production of cathode copper reached 64630 tons, an increase of 4.8% year-on-year[40]. - The company produced 11.67 tons of gold, a year-on-year increase of 24%[40]. - The company produced 333.49 tons of silver, a year-on-year increase of 8.78%[40]. - The company produced 212.66 tons of sulfuric acid, a year-on-year increase of 1.53%[40]. - The total copper concentrate production for the first half of 2021 was 4.38 million tons, a decrease of 10.04% compared to 4.87 million tons in the first half of 2020[42]. - The company achieved a cathode copper production of 61.67 thousand tons in the first half of 2021, compared to 45.62 thousand tons in the same period of 2020, marking an increase of 35.2%[44]. - The revenue from the non-ferrous metal smelting and pressing industry accounted for 78.12% of total revenue, with a year-on-year increase of 40.43%[64]. - The revenue from trade increased by 77.52% year-on-year to ¥12,981,606,004.29, indicating significant growth in trading activities[64]. - Revenue from cathode copper increased by 49.95% year-on-year, with costs rising by 51.84%[66]. - Sulfuric acid revenue surged by 176.61% due to significant price increases during the reporting period[66]. Costs and Expenses - Total operating costs rose by 46.55% to CNY 58.32 billion, mainly driven by higher raw material prices[58]. - Research and development expenses surged by 192.66% to CNY 99.75 million, reflecting increased investment in R&D[58]. - The company’s sales expenses decreased by 15.43% to ¥283,780,377.16, while management expenses increased by 10.90% to ¥515,662,205.44[62]. - Total current assets grew by 38.76% to CNY 26.72 billion, mainly due to increases in prepayments and inventory[56]. - Short-term borrowings increased by 42.91% to CNY 12.15 billion, primarily to meet production and operational needs[56]. Investments and Financing - The company reported an investment income of ¥27.01 million, contributing 2.97% to total profit, but this is not considered sustainable[68]. - The total investment during the reporting period was ¥103.65 million, a significant decrease of 65.81% compared to ¥303.19 million in the previous year[75]. - The company achieved a project completion rate of 100% for all listed projects, indicating full execution of planned investments[78]. - The company has a total of 20,560,000.00 CNY invested in a 35,000-ton/year sulfuric acid project, with an expected return of 4,980,000.00 CNY[78]. - The company’s total investment in derivatives at the end of the reporting period was 112,830.75 CNY, representing 8.86% of the company's net assets[83]. Risk Management - The company has implemented a comprehensive risk monitoring system, achieving full coverage of audit scope and internal control evaluations[44]. - The company has established a comprehensive risk control mechanism for its financial derivatives trading, ensuring compliance with national regulations[85]. - The company’s hedging activities are limited to 90% of the corresponding spot quantity, reflecting a strategic approach to risk management[86]. - The company is exposed to risks from the COVID-19 pandemic affecting the supply of imported copper concentrate[95]. - The company faced market volatility risks due to fluctuations in copper, gold, silver, and sulfuric acid prices influenced by global economic conditions[95]. Environmental Compliance - The company has maintained compliance with national or local pollutant discharge standards, with zero environmental incidents reported[105]. - The company has implemented measures to comply with the "Standards for Discharge of Pollutants for Copper, Nickel, and Cobalt Industries"[109]. - The company has established a comprehensive environmental monitoring system, including real-time pollutant discharge monitoring and third-party assessments[124]. - The company has invested in noise pollution control measures, including sound insulation devices that have been operational since 2019[116]. - The company is committed to adhering to the latest environmental discharge standards, including GB13271-2014 and GB25467-2010, to ensure compliance and sustainability[111]. Corporate Governance - The company has established a solid governance structure and risk management framework, enhancing its overall market competitiveness and cost efficiency[54]. - The company has undergone changes in its board and management, including the appointment of new directors and the resignation of others due to job transfers[99]. - The company plans not to distribute cash dividends or issue bonus shares for the half-year period[100]. - The company has not sold any major assets during the reporting period[88]. - The semi-annual financial report has not been audited[149]. Community Engagement and Social Responsibility - The company has invested CNY 861.37 million in poverty alleviation and rural revitalization efforts in Diqing Prefecture, including industrial assistance and infrastructure development[138]. - The company has actively supported local healthcare by organizing free medical services, benefiting over 200 villagers[138]. - Yunnan Copper has deployed a team to assist in COVID-19 vaccination efforts, with 2,490 individuals receiving their first dose and 2,160 completing their second dose by June 30[138]. - The company plans to enhance the self-sustaining capabilities of assisted villages and align poverty alleviation efforts with rural revitalization initiatives[141]. Legal and Regulatory Matters - The company is involved in significant litigation, with amounts involved including 83.24 million CNY from Jiangmen Jiangci and 33.23 million CNY from Yunnan Kaitong, with the latter case already concluded[151]. - The company received an administrative penalty of RMB 600,000 for environmental violations related to the construction of necessary environmental protection facilities at the Chuxiong Mine[158]. - The company has recorded a bad debt provision of 46.30 million CNY related to Jiangmen Jiangci, which remains unpaid as of June 30, 2021[154]. - The company has a court ruling requiring Kaitong Group to repay a total of RMB 332,314,238.09 within ten days and to pledge 100% equity of Kaitong Nonferrous within thirty days after the ruling takes effect[156].