XINGYE TECH.(SZ:002674)2021-08-16 16:00Financial Performance - The company's operating revenue for the first half of 2021 was ¥803,682,412.12, representing an increase of 87.08% compared to ¥429,587,203.73 in the same period last year[20]. - The net profit attributable to shareholders of the listed company reached ¥115,847,939.88, a significant increase of 5,439.23% from ¥2,091,407.95 in the previous year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥107,801,831.26, up 5,583.38% from ¥1,896,789.67 in the same period last year[20]. - The net cash flow from operating activities was ¥98,289,987.22, an increase of 724.44% compared to ¥11,922,094.38 in the previous year[20]. - Basic earnings per share were ¥0.3969, reflecting a growth of 5,570.00% from ¥0.0070 in the same period last year[20]. - The total assets at the end of the reporting period were ¥3,200,101,626.74, a 3.59% increase from ¥3,089,073,627.58 at the end of the previous year[20]. - The net assets attributable to shareholders of the listed company were ¥2,236,793,032.47, up 4.89% from ¥2,132,531,117.02 at the end of the previous year[20]. - The weighted average return on net assets increased to 5.32%, up 5.23 percentage points from 0.09% in the previous year[20]. Revenue and Sales - The company achieved operating revenue of 803.68 million yuan, representing a year-on-year growth of 87.08%[34]. - Net profit reached 115.85 million yuan, a significant increase of 5,439.23% year-on-year[34]. - Operating cash flow net amount was 98.29 million yuan, up 724.44% compared to the previous year[34]. - The company's revenue for the reporting period reached ¥803,682,412.12, representing an increase of 87.08% compared to ¥429,587,203.73 in the same period last year, primarily due to the recovery in market demand and increased sales volume[53]. - Operating costs increased by 63.80% to ¥595,366,575.86 from ¥363,475,409.26, attributed to the same factors of market demand recovery and increased sales volume[53]. - The revenue from the cowhide leather industry accounted for ¥783,295,200.74, which is 97.46% of total revenue, with a year-on-year growth of 88.10%[56]. - The gross profit margin for cowhide leather sales improved to 26.74%, an increase of 10.18 percentage points compared to the previous year[58]. - The revenue from the Zhejiang region was ¥254,694,918.95, showing a significant increase of 117.19% year-on-year[56]. - The company reported a 195.08% increase in revenue from international markets, totaling ¥115,210,056.49[58]. Production and Capacity - The company has a production capacity of nearly 150 million square feet of cowhide leather annually[28]. - The company is currently expanding its production capacity with the Baotai Leather Factory under construction, adjusting the pace based on market conditions[61]. - The capacity utilization rate increased to 74.15%, up 32.62 percentage points from 41.53% in the same period last year[61]. - The company's inventory turnover days for cow leather is 162 days, with a year-on-year increase in inventory balance by 32.81% due to increased production and sales volume[75]. - The total inventory balance as of June 30, 2021, is CNY 619,672,072.40, an increase from CNY 511,182,809.44 at the end of the previous year, reflecting a year-on-year increase of 21.2%[85]. Research and Development - The company has established a dual R&D system to enhance product development speed and meet market demands[39]. - The company has established a dual R&D system with a national enterprise technology center and product development teams, focusing on resource sharing and collaboration[46]. - Research and development expenses rose by 39.93% to ¥22,561,410.57 from ¥16,123,165.61, reflecting the company's commitment to enhancing its R&D capabilities[53]. Environmental Compliance - The company has obtained environmental permits for its subsidiaries, ensuring compliance with stringent environmental regulations and enhancing its competitive position as non-compliant firms are eliminated from the market[44]. - The company is classified as a key pollutant discharge unit by environmental protection authorities[124]. - The company reported a COD discharge concentration of 177.933 mg/L, which is below the standard of 300 mg/L, with a total discharge of 196.2 tons[124]. - The company has established a comprehensive wastewater treatment system that includes a biological treatment process to remove COD and ammonia nitrogen[125]. - The company achieved a 95% effective recycling rate for chromium-containing wastewater in the leather production process[129]. - The company has implemented measures to treat foul-smelling gases generated during the wastewater treatment process, ensuring emissions meet standards[132]. - The company has a dedicated system for treating dust generated during leather processing, ensuring compliance with emission standards[132]. - The company has established a comprehensive pollution prevention and control plan, focusing on reducing wastewater discharge and promoting recycling[125]. - The company has a systematic approach to managing and treating various types of wastewater generated during leather processing[126]. - The company has implemented measures to reduce noise pollution, including regular maintenance of equipment and acoustic control measures[133]. - Solid waste generated during production includes general solid waste and hazardous solid waste, with efforts made for resource recycling[134]. - The company has been operating wastewater treatment processes since 2008, with various facilities in place for environmental compliance[134]. - No administrative penalties were received due to environmental issues during the reporting period[137]. - The company has established an emergency response plan for environmental incidents, with regular drills conducted[135]. - All environmental protection facilities, including wastewater and waste gas treatment systems, are operating normally[137]. - The company adheres to national pollution discharge standards for wastewater, waste gas, solid waste, and noise[137]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 9,422[188]. - The company has a total of 291,862,944 shares, with 98.97% being unrestricted shares[182]. - The largest shareholder, Shihezi Wanxing Equity Investment Partnership, holds 29.04% of the shares, totaling 84,744,000[188]. - The second-largest shareholder, Wu Guoshi, owns 14.47% of the shares, amounting to 42,246,886[188]. - The company has a total of 2,996,292 restricted shares, representing 1.03% of the total shares[182]. - The top 10 shareholders include Shihezi Wanxing Equity Investment Partnership (Limited Partnership) holding 84,744,000 shares, accounting for 7.20% of total shares[189]. - The company reported no changes in the shareholding of directors, supervisors, and senior management during the reporting period[191]. - There were no changes in the controlling shareholder or actual controller during the reporting period[192][193]. - The company did not issue any preferred shares during the reporting period[196]. - The top 10 shareholders did not engage in any repurchase transactions during the reporting period[190]. Risks and Challenges - The company faces risks related to environmental regulations, which may increase operational costs if stricter standards are implemented[106]. - The company is exposed to raw material price fluctuations, particularly in the procurement of cowhide, which could adversely affect profitability[108]. - The company is addressing potential risks from the COVID-19 pandemic, which could impact domestic consumption and export of leather products[114]. Corporate Governance - The board of directors has confirmed the accuracy and completeness of the financial report, ensuring no significant omissions or misleading statements[2]. - The company has maintained its management team without any changes during the reporting period[119]. - There were no non-operating fund occupations by controlling shareholders or other related parties during the reporting period[146]. - The company did not experience any bankruptcy reorganization matters during the reporting period[151]. - There were no violations regarding external guarantees during the reporting period[147]. - The semi-annual financial report was not audited[148]. - The company did not have any major related transactions during the reporting period[161]. - There were no asset or equity acquisitions or sales related transactions during the reporting period[157]. - The company did not engage in any joint external investment related transactions during the reporting period[158]. - There were no related debt and credit transactions during the reporting period[159]. - The company did not have any major contracts or leasing matters during the reporting period[162]. Financial Management - The total amount of entrusted financial management reached 116,750,000 CNY, with an unexpired balance of 61,500,000 CNY[172]. - The annualized return on self-owned funds for bank financial products was reported at 6% for the year 2021[172]. - The company has no overdue amounts or impairment provisions for entrusted financial management[172]. - The company provided guarantees totaling 6,985.35 million CNY to shareholders and related parties[168]. - The actual guarantee total accounted for 5.51% of the company's net assets[168]. - The company approved a total external guarantee amount of 30,000 million CNY during the reporting period[168]. - The actual guarantee amount for the reporting period was 12,332.4 million CNY[168]. - The company had a guarantee amount of 5,347.05 million CNY for debt obligations exceeding 70% of the guarantee objects' asset-liability ratio[168]. - The company did not report any violations of procedures in providing guarantees[168]. - There were no indications of potential joint liability for guarantees that had not yet expired[168].