HSSM(SZ:002290)2020-08-06 16:00Financial Performance - The company's operating revenue for the first half of 2020 was ¥716,878,772.36, a decrease of 13.05% compared to the same period last year[17]. - The net profit attributable to shareholders was ¥27,624,746.29, representing a significant increase of 127.73% from a loss of ¥99,614,420.98 in the previous year[17]. - The net profit after deducting non-recurring gains and losses was ¥22,740,343.38, up 121.06% from a loss of ¥107,982,899.07 in the same period last year[17]. - The basic earnings per share improved to ¥0.11, compared to a loss of ¥0.41 per share in the previous year, marking a 126.83% increase[17]. - The total assets at the end of the reporting period were ¥1,382,031,843.28, down 9.15% from the end of the previous year[17]. - The net assets attributable to shareholders increased to ¥413,718,014.32, reflecting a growth of 7.15% compared to the previous year[17]. - The net cash flow from operating activities was ¥97,957,253.88, a decrease of 16.00% from ¥116,617,507.04 in the same period last year[17]. - The weighted average return on equity was 6.91%, an increase of 15.27% from -8.36% in the previous year[17]. - The company reported a net profit of ¥27,624,746.29, a significant turnaround from a net loss of ¥99,614,420.98 in the first half of 2019[143]. - Operating profit for the first half of 2020 was ¥32,907,623.24, compared to an operating loss of ¥90,189,484.09 in the same period last year[143]. Revenue and Sales - Domestic sales accounted for 82.90% of total revenue, with a decrease of 15.49% year-on-year[38]. - Cash received from sales of goods and services was ¥438,835,593.23, down from ¥551,616,512.34 in the previous year, reflecting a decrease of 20.39%[150]. - Total operating revenue for the first half of 2020 was ¥716,878,772.36, a decrease of 13.06% compared to ¥824,438,652.78 in the same period of 2019[141]. Costs and Expenses - Total operating costs decreased to ¥689,860,011.17, down 12.43% from ¥787,595,281.87 year-on-year[141]. - Research and development expenses decreased by 23.87% to ¥19,684,229.83[36]. - Financial expenses increased significantly to ¥21,926,967.54, compared to ¥3,090,899.45 in the same period last year[141]. - Tax expenses for the first half of 2020 were ¥7,971,123.39, compared to ¥9,456,301.92 in the same period of 2019[143]. Assets and Liabilities - The total amount of funds raised was ¥36,138.57 million, with a cumulative investment of ¥3,936.09 million, and 95.51% of the raised funds have been repurposed[51]. - Total current assets decreased from CNY 1,233,880,809.12 as of December 31, 2019, to CNY 1,107,966,421.30 as of June 30, 2020, a decline of approximately 10.2%[134]. - Total liabilities decreased from CNY 1,135,205,921.90 to CNY 968,313,828.96, a reduction of about 14.7%[135]. - The company’s total equity increased from CNY 386,093,268.03 to CNY 413,718,014.32, an increase of approximately 7.2%[136]. Cash Flow - The net cash flow from operating activities for the first half of 2020 was CNY 97,957,253.88, a decrease from CNY 116,617,507.04 in the same period of 2019, representing a decline of approximately 16.5%[151]. - The net cash flow from financing activities was -CNY 75,871,131.24, indicating a significant reduction in cash available from financing sources compared to the previous year[156]. - The total cash inflow from operating activities increased to CNY 79,981,512.58 in the first half of 2020, compared to CNY 62,351,174.29 in the same period of 2019, reflecting a growth of approximately 28.4%[155]. Strategic Initiatives - The company plans to strengthen strategic partnerships with suppliers to mitigate raw material price volatility risks[64]. - The company plans to enhance its market expansion strategies and invest in new product development to drive future growth[162]. - The company is exploring potential mergers and acquisitions to strengthen its market position and expand its product offerings[162]. Legal and Compliance - The company is involved in multiple litigation cases with a total amount of approximately ¥25,000 million related to commercial factoring disputes[74]. - The company has a pending case involving ¥35,000 million concerning a debt transfer contract dispute[74]. - The company has no media scrutiny reported during the reporting period[76]. - The company has no penalties or rectification measures during the reporting period[77]. Environmental Compliance - The company has established a wastewater treatment system with a daily processing capacity of 100 tons, which has been operating normally since its completion[99]. - The company has achieved stable compliance with all external wastewater discharge standards during the production period this year[99]. - The company has implemented a comprehensive environmental monitoring plan, ensuring that all waste gas, wastewater, and noise emissions meet regulatory standards[103]. Shareholder Information - The total number of shares before the change was 242,712,330, with 10.81% being limited shares and 89.20% being unrestricted shares[112]. - The largest shareholder, Shenzhen Zhongke Chuangzi Asset Management Co., Ltd., holds 32.00% of the total shares, amounting to 77,667,917 shares[115]. - The company did not experience any changes in its controlling shareholder or actual controller during the reporting period[117]. Corporate Governance - The financial report for the half-year period was not audited[131]. - The financial report was approved by the board of directors on August 5, 2020[175]. - The company follows the Chinese Accounting Standards for the preparation of its financial statements, ensuring they reflect a true and complete picture of its financial status[181].