CFLED(SZ:300301)2021-08-29 16:00Financial Performance - The company's operating revenue for the first half of 2021 was CNY 578,305,974.70, representing a 3.94% increase compared to CNY 556,391,543.30 in the same period last year[22]. - The net profit attributable to shareholders was a loss of CNY 10,803,037.93, an improvement of 67.99% from a loss of CNY 33,753,037.55 in the previous year[22]. - The basic earnings per share were CNY -0.0137, an improvement of 67.92% from CNY -0.0427 in the same period last year[22]. - The diluted earnings per share were also CNY -0.0137, reflecting the same percentage improvement as the basic earnings per share[22]. - The net loss for the first half of 2021 was CNY 10,801,692.63, an improvement from a net loss of CNY 33,745,292.65 in the same period of 2020, reflecting a reduction in losses by approximately 68%[132]. - The company reported a total comprehensive loss of ¥11,552,816.01 for the first half of 2021, compared to a loss of ¥43,154,257.52 in the same period of 2020[137]. Cash Flow and Liquidity - The net cash flow from operating activities was negative at CNY -59,917,876.67, a significant decline of 187.76% compared to CNY 68,278,464.36 in the same period last year[22]. - The net cash flow from investing activities increased significantly by 1,334.31% to CNY 294,582,034.94 from CNY -23,866,063.45[37]. - The company reported a significant reduction in cash received from sales, which was 102,328,882.72 CNY in H1 2021, down 41.7% from 175,915,121.23 CNY in H1 2020[143]. - The cash received from tax refunds decreased to 3,090,789.10 CNY in H1 2021, down 71.2% from 10,743,747.54 CNY in H1 2020[143]. - The company is exposed to liquidity risks due to tightening financing conditions in the financial market, and it aims to improve asset operation efficiency and utilize various financing tools[65]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 2,527,994,979.40, down 7.69% from CNY 2,738,728,428.73 at the end of the previous year[22]. - The company's total liabilities were CNY 1,381,660,405.95, down from CNY 1,581,592,162.65, reflecting a decrease of about 12.63%[124]. - The company's current assets totaled CNY 955,528,246.10, down from CNY 1,111,335,483.87 at the end of 2020, indicating a decrease of about 14.03%[123]. - The company's equity attributable to shareholders decreased from CNY 1,156,305,188.50 to CNY 1,145,502,150.57, a decline of approximately 0.65%[125]. - The company reported a negative retained earnings of CNY -428,271,019.21 as of June 30, 2021, compared to CNY -417,467,981.28 at the end of 2020[125]. Market and Industry Outlook - The increase in revenue was primarily due to the gradual recovery of domestic orders as the pandemic was brought under control[30]. - The LED packaging market is expected to see increased concentration, with larger companies gaining market share due to technological innovation and supply chain management[31]. - The global general lighting market is experiencing rapid growth, driven by advancements in Mini LED technology and increasing domestic demand[31]. - The company maintains a strong position in the LED packaging industry, supported by advanced technology and a robust R&D foundation[32]. Risks and Challenges - The company faces various risks including market competition, talent, liquidity, exchange rate, and rising raw material prices[5]. - The company faces increasing market competition risks due to rapid technological updates in LED applications and production equipment, which may pressure smaller firms[63]. - The company is at risk from rising raw material prices, which may impact product profit margins, and it will implement cost control measures and adjust product prices accordingly[67]. Research and Development - Research and development expenses decreased by 5.88% to CNY 42,330,059.52 from CNY 44,975,897.42[37]. - The company will enhance its core competitive advantages by increasing R&D investment and adjusting product and customer structures to improve competitiveness[65]. Shareholder and Governance - The company did not distribute cash dividends or issue bonus shares during the reporting period[73]. - The company has not implemented any employee incentive plans during the reporting period[74]. - The company’s major shareholder has not fulfilled its commitment to increase shareholding within the agreed timeframe due to market conditions[80]. Legal and Compliance - The company reached a settlement in a lawsuit with 聚灿光电, involving a payment of approximately ¥8,793.45 million, which impacted net profit by about -¥7,051,962.36[85]. - The company has not faced any penalties or rectification issues during the reporting period[87]. - The financial report for the first half of 2021 was not audited[120]. Financial Reporting and Accounting Policies - The financial report was approved by the board of directors on August 26, 2021, ensuring compliance with accounting standards[164]. - The company’s accounting policies are in accordance with the relevant enterprise accounting standards, ensuring accurate financial reporting[170]. - The company recognizes the income, expenses, and cash flows of newly acquired subsidiaries from the acquisition date to the end of the reporting period in the consolidated financial statements[181].