LZJT(SZ:300428)2021-08-15 16:00Financial Performance - The company reported a total revenue of 1.2 billion RMB for the first half of 2021, representing a year-on-year increase of 15%[22]. - The net profit attributable to shareholders reached 150 million RMB, up 20% compared to the same period last year[22]. - The company's operating revenue for the reporting period was ¥8,665,285,406.98, representing a 61.80% increase compared to the previous year's adjusted revenue of ¥5,355,545,470.77[32]. - The net profit attributable to shareholders was ¥275,476,681.73, a 61.32% increase from the previous year's adjusted net profit of ¥170,763,974.79[32]. - The net profit after deducting non-recurring gains and losses was ¥227,367,887.69, showing a significant increase of 116.38% compared to the previous year's adjusted figure of ¥105,079,245.42[32]. - Future guidance estimates a revenue growth of 12% for the second half of 2021, driven by increased demand in the automotive sector[22]. - The company reported a net cash flow from operating activities of -¥218,484,938.48, indicating a significant decrease of 139.62% compared to the previous year's cash flow of ¥551,473,369.60[32]. - The company reported a 20.15% increase in revenue from international markets, reaching ¥1,734,490,781.02, highlighting its global expansion efforts[85]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2022[22]. - The company is exploring potential mergers and acquisitions to enhance its product offerings and market reach[22]. - The company is actively pursuing overseas acquisitions and independent research and development to enhance its product technology and market share[51]. - The company is actively expanding its recycled aluminum production capacity and market layout, with new production bases being established in Jiangsu and Hubei provinces[71]. - The company is investing in a new energy lithium battery material project, producing lithium hexafluorophosphate and lithium bis(fluorosulfonyl)imide to alleviate supply shortages for electric vehicle customers[57]. Research and Development - Research and development expenses increased by 25% to 100 million RMB, focusing on new alloy materials and recycling technologies[22]. - The company has achieved a technological breakthrough in high-end aluminum grain refiners, reducing the addition rate by 70% compared to standard products, enhancing product quality and reducing production costs[44]. - The company has developed new aluminum alloy materials, including LDHM-02, which reduces production costs and enhances vehicle safety and performance[75]. - Research and development expenses rose to ¥219,531,820.22, marking a 47.36% increase compared to the previous year, indicating a commitment to innovation[82]. Environmental Management - The company reported total emissions of 0.5425 tons/year for particulate matter and 3.648 tons/year for sulfur dioxide[153]. - The company has 18 organized discharge outlets for pollutants[153]. - The company plans to implement stricter emission standards starting February 1, 2021, in accordance with GB31574-2015[156]. - The company achieved a total annual emission of 0.67 tons for sulfur dioxide, 7.19 tons for nitrogen oxides, and 3 tons for particulate matter[156]. - The company has implemented a selective catalytic reduction (SCR) system for nitrogen oxides reduction, operational since 2019 with a 90% efficiency[175]. - The company operates a dust removal system with a 99% efficiency, established in 2015[178]. - The company has obtained national pollutant discharge permits for all major projects, ensuring that emissions meet regulatory requirements[182]. Production and Capacity - The company is positioned as a global supplier of lightweight alloy new materials and automotive lightweight components, with a complete industrial chain from R&D to manufacturing[44]. - The company has a production capacity of 70,000 tons in the functional intermediate alloy new materials sector, with an additional 25,000 tons of high-end grain refining agent production line completed and a 50,000 tons aluminum-based rare earth intermediate alloy project under construction[59]. - The company’s aluminum alloy wheel production capacity is 18 million units, with a mold capacity of 1,200 sets and assembly capacity of 300,000 sets, showcasing significant scale advantages[59]. - The company has achieved a year-on-year increase of 26.7% and 31.3% in production and sales compared to the same period in 2019, with a significant growth in new energy vehicles[55]. Risk Management - The company faces risks related to raw material price fluctuations and has implemented measures to mitigate these risks[6]. - The company is exposed to foreign exchange risks due to fluctuations in the RMB/USD exchange rate, which may affect its consolidated profit levels[136]. - The company is actively monitoring international trade environment changes that could impact its export business, particularly in the context of US-China trade relations[137]. - The company is expanding its business scope, which necessitates adjustments in management practices to mitigate risks associated with scale expansion[138]. Corporate Governance - The company has no plans to distribute cash dividends or issue bonus shares for the current fiscal year[7]. - The first extraordinary general meeting of 2021 had an investor participation rate of 79.71%[144]. - The annual general meeting for 2020 had an investor participation rate of 74.11%[144]. - The company changed its name from "SITONG New Materials" to "LIZHONG Group" to reflect its expanded business scope and strengthen brand image[70].