Increase(SZ:300713)2019-08-27 16:00Financial Performance - Total revenue for the first half of 2019 was RMB 129,525,019.92, an increase of 6.55% compared to RMB 121,560,299.96 in the same period last year[18]. - Net profit attributable to shareholders decreased by 85.16% to RMB 4,844,790.16 from RMB 32,653,271.45 year-on-year[18]. - Net profit after deducting non-recurring gains and losses fell by 90.48% to RMB 2,775,586.82 from RMB 29,145,250.64 in the previous year[18]. - Basic and diluted earnings per share dropped by 85.15% to RMB 0.0338 from RMB 0.2276 year-on-year[18]. - The total profit decreased by 99.26% to CNY 265,557.59, while the net profit attributable to shareholders fell by 85.16% to CNY 4,844,790.16[56]. - The company reported a net loss for the first half of 2019, attributed to increased operational costs and expenses[195]. - The total comprehensive income for the first half of 2019 was CNY 1,819,432.46, a decrease of 94.6% from CNY 33,516,293.20 in the previous year[198]. Cash Flow and Assets - Operating cash flow improved significantly, with a net cash flow from operating activities of RMB 39,214,494.21, compared to a negative RMB 9,873,477.57 in the same period last year, representing a 497.17% increase[18]. - Total assets at the end of the reporting period were RMB 984,970,010.73, a slight increase of 0.03% from RMB 984,685,965.65 at the end of the previous year[18]. - Cash and cash equivalents were RMB 282,336,862.90, constituting 28.66% of total assets, down from 34.09% in the previous year[74]. - Accounts receivable decreased to RMB 280,919,438.89, representing 28.52% of total assets, a reduction of 2.65% compared to the previous year[74]. - The company's fixed assets decreased by 2.04% compared to the beginning of the period, primarily due to depreciation[48]. Research and Development - The company has increased its investment in R&D, with 142 R&D personnel accounting for 28.34% of the total workforce as of June 30, 2019[49]. - R&D expenses increased by 73.77% to CNY 23,034,827.69, compared to CNY 13,256,151.59 in the same period last year[59]. - The company emphasizes independent innovation and R&D, maintaining a focus on core technologies and customer-driven product upgrades[28]. - Investment in research and development increased by 20% in the first half of 2019, focusing on innovative technologies and new product development[118]. Market Strategy and Competition - The company plans to enhance its market competitiveness by integrating management platform, construction solutions, and products into a unified business model[35]. - The company is positioned to benefit from government policies aimed at accelerating the construction of electric vehicle charging infrastructure[34]. - The company faces risks related to declining gross margins due to increased competition and rising costs of raw materials[104]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2020[118]. Shareholder and Dividend Policies - The company plans not to distribute cash dividends or issue bonus shares[5]. - The board has approved a dividend policy, with plans to distribute 30% of net profits to shareholders starting from the next fiscal year[120]. - The company maintains a stable profit distribution policy, prioritizing cash dividends over stock dividends, with a minimum cash dividend ratio of 20% of the distributable profit for the year[121]. - The company will provide online voting options for shareholders during the general meeting to facilitate participation in profit distribution decisions[121]. Legal and Compliance Matters - The company is involved in a lawsuit with Shenzhen Jinbotianhua Electric Engineering Co., Ltd. regarding a contract dispute, with an amount of 187.11 million CNY at stake[130]. - The company's half-year financial report has not been audited[127]. - There are no bankruptcy reorganization matters reported during the reporting period[129]. - The company has not issued any non-standard audit reports for the previous year[128]. Operational Challenges - The company acknowledges the risk of management challenges due to its expanding scale and will focus on improving governance and talent acquisition[110]. - The company emphasizes the importance of managing accounts receivable to mitigate the risk of bad debts, especially from its major clients[108]. - The company reported a significant asset impairment loss of RMB -1,104,266.17, representing -415.83% of total profit due to inventory write-downs[72].