DBG(SZ:300735)2021-08-26 16:00Financial Performance - The company's operating revenue for the first half of 2021 was CNY 1,194,432,804.07, representing a 4.67% increase compared to CNY 1,141,189,859.91 in the same period last year[26]. - The net profit attributable to shareholders of the listed company decreased by 38.99% to CNY 107,291,186.95 from CNY 175,846,443.17 in the previous year[26]. - The net profit after deducting non-recurring gains and losses fell by 56.29% to CNY 68,596,153.87 compared to CNY 156,926,607.21 in the same period last year[26]. - The net cash flow from operating activities was negative at CNY -27,451,357.77, a decline of 110.82% from CNY 253,789,959.54 in the previous year[26]. - Basic earnings per share decreased by 44.95% to CNY 0.1406 from CNY 0.2554 in the same period last year[26]. - The gross margin for the consumer electronics segment was 24.33%, with a year-on-year decrease of 3.10%[72]. - Operating cash flow net amount decreased by 110.82% to -CNY 27.45 million, primarily due to a decline in sales revenue in the previous quarter[66]. - The total cost of sales increased by 10.64% to CNY 923 million, indicating rising operational costs[66]. Assets and Liabilities - Total assets increased by 6.85% to CNY 5,320,501,768.93 from CNY 4,979,457,150.15 at the end of the previous year[26]. - The net assets attributable to shareholders of the listed company decreased by 1.27% to CNY 4,168,657,454.50 from CNY 4,222,153,988.38 at the end of the previous year[26]. - The company reported a significant increase in accounts receivable, totaling ¥946,244,994.65, which is 17.78% of total assets, up from 10.00%[76]. - Cash and cash equivalents decreased to ¥692,034,004.88, representing 13.01% of total assets, down from 16.66%[76]. - Fixed assets increased to ¥1,307,842,895.04, accounting for 24.58% of total assets, up from 23.43%[76]. - Total liabilities reached CNY 1,009,438,798.30, up from CNY 635,717,419.17, which is an increase of about 58.73%[199]. - Current liabilities totaled CNY 913,835,852.41, compared to CNY 559,014,061.43, indicating a rise of approximately 63.41%[199]. Investment and R&D - R&D investment increased by 29.19% to CNY 50 million, reflecting the company's commitment to innovation and technology development[66]. - The company committed to invest ¥198,320.66 million in the smart production project, with cumulative investment of ¥218,369.38 million by the end of the reporting period[86]. - The company plans to expand production capacity to meet increasing customer demand, supported by funds raised from a private stock issuance[64]. Business Operations - The main business includes providing electronic manufacturing services (EMS) for consumer electronics, network communications, and automotive electronics, with key products like smartphones and routers[37]. - The company operates under a "make-to-order" procurement model, ensuring materials are sourced based on production needs, which optimizes inventory management[39]. - The company has established a rigorous supplier management system, ensuring high standards for new suppliers through comprehensive evaluations[41]. - The company’s sales model is direct, engaging with clients to establish long-term relationships, primarily with well-known electronic brands[46]. - The EMS industry is characterized by high market concentration, with the company positioned as a leading player in the domestic market[49]. - The company has successfully entered the supply chains of major global brands like Huawei and Xiaomi, leveraging its quality and timely delivery advantages[50]. Global Expansion - The company is expanding its global footprint with a successful acquisition in India and new manufacturing bases in Vietnam and Bangladesh, enhancing its ability to meet overseas demand[48]. - The company successfully obtained global supplier qualification from Valeo, a well-known automotive parts supplier, indicating a significant opportunity for growth in the automotive electronics market[63]. Corporate Governance and Shareholder Matters - The company plans not to distribute cash dividends or bonus shares, nor to increase capital from reserves[7]. - The company held its annual shareholders' meeting with a participation rate of 55.19% on May 14, 2021[113]. - The company approved the 2021 Restricted Stock Incentive Plan, granting 9.3 million shares on June 21, 2021, with the listing date set for July 7, 2021[119]. - The total number of ordinary shareholders at the end of the reporting period was 38,871[171]. - The largest shareholder, Guanghong Investment Co., Ltd., holds 51.08% of the shares, totaling 395,691,660 shares[171]. Risk Management - The company has detailed potential risks in the report and emphasizes the importance of investors being aware of investment risks[7]. - The company is facing risks from rising labor costs and is focusing on equipment upgrades and automation to balance these costs[107][109]. Social Responsibility and Compliance - The company has maintained a commitment to social responsibility, contributing to local community welfare and education initiatives[125]. - The company has not faced any environmental penalties or been classified as a key pollutant unit during the reporting period[124]. - There were no significant lawsuits or arbitration matters reported during the period[135]. Miscellaneous - The half-year financial report has not been audited as of the reporting date[131]. - The company has not engaged in any derivative investments or significant asset sales during the reporting period[101][105]. - There were no employee stock ownership plans or other employee incentive measures implemented during the reporting period[121]. - The company has not reported any significant contracts that would impact profit by more than 10% during the reporting period[149].