Geron(SZ:002722)2021-08-29 16:00Financial Performance - The company's operating revenue for the first half of 2021 was ¥1,522,216,008.29, representing a 49.49% increase compared to ¥1,018,294,844.02 in the same period last year[20]. - The net profit attributable to shareholders for the first half of 2021 was ¥80,474,078.05, a significant increase of 136.85% from ¥33,976,147.34 in the previous year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥74,997,015.93, up 163.72% from ¥28,437,993.89 year-on-year[20]. - The basic earnings per share for the first half of 2021 was ¥0.46, an increase of 142.11% compared to ¥0.19 in the same period last year[20]. - The diluted earnings per share was ¥0.45, reflecting a 136.84% increase from ¥0.19 in the previous year[20]. - The total operating revenue for the reporting period reached ¥1,522,216,008.29, representing a year-on-year increase of 49.49% due to the recovery from the pandemic and rising prices of stainless steel materials[48]. - The operating profit reached 111.84 million CNY, up 123.46% compared to the same period last year[37]. - The total profit amounted to 111.16 million CNY, reflecting a growth of 125.13% year-on-year[37]. - The company reported a significant increase in sales revenue from services, amounting to ¥63,966,251.79, compared to ¥39,162,779.13 in the previous year, marking a growth of approximately 63%[174]. - The company achieved a profit before tax of ¥111,160,005.32, which is a 125.0% increase from ¥49,375,035.71 in the first half of 2020[164]. Assets and Liabilities - The total assets at the end of the reporting period were ¥3,065,456,974.33, a 2.27% increase from ¥2,997,320,589.33 at the end of the previous year[20]. - The net assets attributable to shareholders at the end of the reporting period were ¥1,961,467,338.48, up 3.31% from ¥1,898,534,333.16 at the end of the previous year[20]. - The company's asset-liability ratio as of June 30, 2021, was 35.94%, a decrease of 0.64% from the previous year-end[149]. - Total liabilities as of June 30, 2021, were CNY 1,101,742,445.97, slightly up from CNY 1,096,548,200.86 at the end of 2020, indicating a marginal increase of about 0.48%[156]. - The total liabilities increased to ¥217,915,839.19 in the first half of 2021, up from ¥191,048,270.51 in the same period of 2020, indicating a growth of 14.1%[162]. Cash Flow - The net cash flow from operating activities was ¥13,081,019.45, a decrease of 90.03% compared to ¥131,169,395.20 in the same period last year[20]. - Cash inflows from operating activities reached ¥1,447,077,476.37, up from ¥1,132,119,610.65 in the same period last year, reflecting a growth of approximately 28%[170]. - The net cash flow from investing activities was -¥219,410,480.86, worsening from -¥69,069,621.78 year-over-year[172]. - The net cash flow from financing activities was -¥53,730,459.39, a decline from a positive net cash flow of ¥43,948,407.51 in the same period last year[172]. - The company's cash and cash equivalents decreased significantly from CNY 487,826,634.66 on December 31, 2020, to CNY 230,529,932.04 by June 30, 2021, a decline of about 52.76%[154]. Research and Development - Research and development investment rose by 26.71% to ¥10,758,498.70, indicating a commitment to innovation and product development[48]. - The company has established a comprehensive R&D system for textile combing equipment, recognized as a "Needle Cloth Product R&D Center" by the China Textile Machinery Association, and holds dozens of patents[38]. - The company has established a stainless steel surface treatment and nano-coating technology R&D center in collaboration with Nanjing University, enhancing its competitive edge in the stainless steel decorative materials market[42]. - The company focuses on high-performance needle cloth product design and development, continuously optimizing product structure and enhancing quality[38]. Market and Product Strategy - The company is focusing on enhancing product quality and expanding its product range to meet market demands, particularly in the stainless steel decorative board sector[36]. - The company plans to continue optimizing its product structure and increasing the proportion of high-end stainless steel decorative boards in response to rising consumer demand[36]. - The company is focusing on maintaining a diversified product range, including various types of stainless steel decorative panels, to meet customer demands and enhance competitive advantage[44]. - The company has built stable partnerships with over 5,000 domestic and international enterprises, ensuring robust and sustainable business growth[39]. Risks and Challenges - The management highlighted potential risks including raw material price fluctuations and liquidity risks[5]. - The company faces risks related to raw material price fluctuations, particularly in stainless steel and special steel, which significantly affect production costs[67]. - The company is expanding its scale, which increases the complexity of group management and poses risks to effective oversight[68]. - The company is implementing measures to attract and retain talent, addressing risks associated with human resources as business expands[68]. Shareholder Information - As of the end of the reporting period, the total number of ordinary shareholders was 18,621[129]. - The largest shareholder, Nantong Jinlun Holdings Co., Ltd., holds 31.07% of the shares, totaling 54,527,143 shares[129]. - The second largest shareholder, Anfu International (Hong Kong) Investment Co., Ltd., holds 9.81% of the shares, totaling 17,205,904 shares[129]. - The company has a second-phase employee stock ownership plan, which holds 5,066,825 shares[130]. Environmental and Legal Compliance - The company has established environmental protection measures, with no reported administrative penalties for environmental issues during the reporting period[83]. - The company has installed online automatic detection equipment for pollutant discharge, which is connected to the national environmental protection platform[83]. - There were no significant lawsuits or arbitration matters reported during the reporting period, with a total of 4,792.89 thousand yuan involved in minor disputes[92]. Financial Management - The total amount of entrusted financial management reached ¥29,000,000, with an outstanding balance of ¥20,400,000[110]. - The company has ongoing plans for entrusted financial management, indicating a strategy for future investments[112]. - The company reported a fixed interest rate of 3.11% on a ¥4,000,000 deposit, yielding a return of ¥10.37[112]. - The company has a strategy for market expansion through diversified financial management products[112].