LMGF(SZ:002734)2021-08-19 16:00Financial Performance - The company's operating revenue for the first half of 2021 was ¥2,540,464,320.04, a decrease of 4.34% compared to the same period last year[21]. - The net profit attributable to shareholders of the listed company was ¥247,259,941.59, down 18.91% year-on-year[21]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥239,722,888.27, a decline of 20.60% compared to the previous year[21]. - Basic earnings per share were ¥0.66, down 21.43% from ¥0.84 in the same period last year[21]. - The company's total revenue for the reporting period was ¥2,540,464,320.04, a decrease of 4.34% compared to ¥2,655,711,956.92 in the previous year[40]. - The company's net profit attributable to shareholders decreased by 18.91% to ¥247,259,941.59 from ¥304,910,538.66 in the previous year[40]. - The company's cash flow from operating activities showed a significant decline of 273.36%, resulting in a net outflow of ¥282,707,788.97 compared to a net inflow of ¥163,079,587.93 in the previous year[40]. - The net profit after deducting non-recurring gains and losses for the first half of 2021 was approximately ¥260.90 million, a decrease of 23.78% compared to the same period in 2020[169]. - The net profit for the first half of 2021 was CNY 268,434,861.18, a decline of 22.36% from CNY 345,275,628.06 in the same period last year[184]. Assets and Liabilities - Total assets at the end of the reporting period were ¥6,349,701,550.84, an increase of 22.35% from the end of the previous year[21]. - The company's total assets reached ¥6.35 billion as of June 30, 2021, compared to ¥5.19 billion at the end of 2020[177]. - The company's total liabilities increased to ¥3.46 billion from ¥2.67 billion, showing a substantial rise in debt levels[177]. - The company's equity attributable to shareholders increased to approximately ¥2.73 billion from ¥2.37 billion, indicating growth in shareholder value[177]. - The company's asset-liability ratio increased to 54.42% as of June 30, 2021, up from 51.52% at the end of 2020, representing a change of 2.90%[169]. Cash Flow - The net cash flow from operating activities was -¥282,707,788.97, a significant decrease of 273.36% compared to the same period last year[21]. - The company's cash and cash equivalents at the end of the reporting period were ¥1,147,710,111.60, representing 18.08% of total assets[49]. - The total cash and cash equivalents at the end of the first half of 2021 were 930,406,585.14, up from 599,911,652.96 at the end of the first half of 2020, reflecting a growth of approximately 55.1%[193]. - The cash flow from financing activities showed a net increase of 661,649,787.72 CNY, with total cash inflow of 995,750,000.00 CNY[196]. - The total cash outflow for financing activities was 334,100,212.28 CNY, primarily due to debt repayment and dividend distribution[196]. Research and Development - The company's R&D investment increased by 9.55% to ¥89,309,896.54 from ¥81,520,939.66 year-on-year[40]. - The company has established multiple research and development centers to enhance innovation capabilities and improve product traceability[107]. - Research and development expenses were CNY 79,294,565.67, slightly up from CNY 79,026,896.45 in the previous year[182]. Market and Industry Position - The pesticide industry in China has seen rapid development, with over 1,000 registered products and more than 400 production enterprises[29]. - The company is a key player in the pesticide sector, holding the largest production capacity for several key products, including mancozeb and fludioxonil[30]. - The veterinary medicine sector is also growing, with the company’s subsidiary, Weiyuan Pharmaceutical, certified by multiple international standards[30]. - The company's main products include fungicides, insecticides, herbicides, and veterinary medicines, with a focus on both raw materials and formulations[31]. - The revenue from the pesticide segment was ¥2,277,050,697.39, accounting for 89.63% of total revenue, with a year-on-year decrease of 4.35%[42]. Environmental Management - The company has established comprehensive environmental management regulations, including wastewater and air pollution control measures[80]. - The company has implemented a pollution liability insurance policy to comply with environmental regulations[80]. - Limin Holdings has a total of 14 emission outlets for volatile organic compounds, with emissions not exceeding regulatory standards[77]. - The company has established three comprehensive wastewater treatment facilities with a daily processing capacity of 7,800 tons, ensuring treated wastewater meets discharge standards before entering the local sewage treatment plant[81]. - The company has not faced any environmental administrative penalties or major pollution incidents during the reporting period, demonstrating compliance with environmental regulations[84]. Risk Management - The company faces various risks including market competition, raw material price fluctuations, and integration risks from acquisitions[5]. - Raw material costs constitute a large portion of operating costs, and fluctuations in prices can significantly affect gross margins and profitability; the company plans to enhance procurement controls and extend upstream in the supply chain to mitigate these risks[64]. - The company has implemented risk control measures for foreign exchange transactions, including internal control systems to mitigate potential risks[59]. Shareholder and Corporate Governance - The company has no significant litigation or arbitration matters during the reporting period[116]. - The company has not engaged in any non-operating fund occupation by controlling shareholders or related parties[112]. - The company has no preferred shares or corporate bonds outstanding as of the reporting period[157][161]. - The total number of common shareholders at the end of the reporting period is 23,010[151]. - The largest shareholder, Li Ming, holds 73,734,050 shares, representing 19.79% of total shares[152]. Future Outlook - The company’s future outlook includes continued investment in technology upgrades and market expansion strategies[30]. - The company plans to expand its market presence, focusing on new product development and technological advancements[199]. - The company is exploring potential mergers and acquisitions to enhance its competitive edge in the market[199].