WBC(SZ:200706)2022-08-22 16:00Financial Performance - The company's operating revenue for the first half of 2022 was approximately CNY 1.086 billion, representing a 0.44% increase compared to the same period last year[16]. - The net loss attributable to shareholders for the first half of 2022 was CNY 37.46 million, a significant decline of 993.48% compared to a profit of CNY 4.19 million in the same period last year[16]. - The net cash flow from operating activities was negative CNY 13.59 million, a decrease of 143.26% compared to CNY 31.40 million in the previous year[16]. - The company reported a basic and diluted earnings per share of negative CNY 0.093, a decline of 994.23% compared to CNY 0.0104 in the same period last year[16]. - The total comprehensive income for the first half of 2022 was a loss of CNY 37.46 million, compared to a gain of CNY 4.19 million in the first half of 2021[105]. - The company reported a net loss of CNY 454,249,938.01 as of June 30, 2022, compared to a loss of CNY 416,794,159.01 at the beginning of the year[98]. - The company reported a net loss of 167,187,350.35 CNY for the current period, indicating a significant decline in profitability[130]. Assets and Liabilities - Total assets at the end of the reporting period were approximately CNY 3.34 billion, an increase of 3.62% from the end of the previous year[16]. - The net assets attributable to shareholders decreased by 6.02% to approximately CNY 571.66 million compared to the end of the previous year[16]. - Total liabilities reached CNY 2,765,110,980.27, up from CNY 2,611,858,822.54, marking an increase of about 5.87%[98]. - The company's equity attributable to shareholders decreased to CNY 571,664,884.76 from CNY 608,267,282.47, a decline of approximately 6.02%[98]. - Current assets totaled CNY 2,724,645,282.73, an increase of 4.86% from CNY 2,598,180,779.36 at the start of the year[97]. - The total owner's equity at the end of the reporting period is 608,267,282.47 CNY, compared to 729,184,283.23 CNY at the end of the previous year, reflecting a decrease of approximately 16.5%[123]. Cash Flow - The net cash flow from operating activities for the first half of 2022 was -13,585,174.40 CNY, a decrease from 31,402,343.49 CNY in the same period of 2021, indicating a decline of approximately 143.3%[111]. - Total cash inflow from financing activities increased to 892,643,983.71 CNY in the first half of 2022, compared to 524,566,252.78 CNY in the first half of 2021, representing an increase of about 70.0%[111]. - The cash and cash equivalents at the end of the period rose to 252,092,899.35 CNY, up from 160,772,019.45 CNY at the end of the previous period, marking an increase of approximately 56.8%[111]. - The company reported a net cash flow from financing activities of 55,698,567.60 CNY in the first half of 2022, compared to 1,642,489.74 CNY in the same period of 2021, reflecting a significant improvement[111]. Operational Performance - The main business activities include the production and sales of various types of bearings, including those for rolling mills and rail transit[25]. - Operating costs rose by 8.61% to ¥915,897,528.27 from ¥843,286,589.10 in the previous year[28]. - Research and development investment decreased by 14.04% to ¥84,475,472.06 from ¥98,277,786.26[28]. - The company faced significant losses during the reporting period, with a total loss of CNY 37.46 million attributed to various operational challenges[25]. - The company aims to enhance its market presence by focusing on cash flow management and improving fund turnover rates[43]. Shareholder Information - The total number of shares is 402,600,000, with 244,000,000 shares (60.61%) being unlisted and 158,600,000 shares (39.39%) being listed[81]. - The largest shareholder is Wafangdian Bearing Group Co., Ltd., holding 60.61% of the shares, equivalent to 244,000,000 shares[83]. - The second largest shareholder, Aktiebolaget SKF, holds 19.70% of the shares, amounting to 79,300,000 shares[83]. - The company has not reported any changes in the shareholding of directors, supervisors, and senior management during the reporting period[85]. Strategic Initiatives - The company plans to implement a distributed photovoltaic power generation system, expected to generate 13 million kWh annually, reducing carbon emissions by 10,800 tons[52]. - The company is committed to quality improvement and brand influence enhancement as part of its strategic initiatives[42]. - The company is collaborating with its major shareholder on poverty alleviation efforts, aligning with government initiatives[52]. Risk Management - The management has outlined potential risks and countermeasures in the report, emphasizing the importance of investor awareness regarding investment risks[3]. - The company is facing significant risks due to market demand uncertainties and rising labor costs, necessitating a strategy focused on high-end product development[42]. Compliance and Governance - The financial report for the half-year period was not audited[59]. - The company did not experience any non-operating fund occupation by controlling shareholders or related parties during the reporting period[57]. - There were no major litigation or arbitration matters reported during the period[61]. Accounting Policies - The company's financial statements are prepared based on the going concern assumption and in accordance with the accounting standards issued by the Ministry of Finance[137]. - The group uses Renminbi as its functional currency for accounting purposes[144]. - The group consolidates all controlled subsidiaries in its financial statements, adjusting for any inconsistencies in accounting policies or periods[146].