TGCF(SZ:301217)2023-08-30 16:00Financial Performance - The company's revenue for the first half of 2023 was CNY 1,752,700,436.39, a decrease of 11.45% compared to CNY 1,979,297,349.60 in the same period last year[23]. - The net profit attributable to shareholders decreased by 85.35% to CNY 28,196,400.12 from CNY 192,442,951.10 year-on-year[23]. - The net cash flow from operating activities was CNY 15,972,997.32, a significant decline of 90.59% compared to CNY 169,684,594.97 in the previous year[23]. - The weighted average return on net assets decreased to 0.50%, down 4.53 percentage points from 5.03% in the previous year[23]. - The company's revenue for the reporting period was ¥1,752,700,436.39, a decrease of 11.45% compared to ¥1,979,297,349.60 in the same period last year, primarily due to a slowdown in sales and a decline in copper foil processing fees[90]. - The company's operating costs were ¥1,688,923,988.10, showing a slight decrease of 0.05% from ¥1,689,798,753.85 in the previous year[90]. - Research and development investment decreased by 26.76% to ¥27,960,470.84 from ¥38,177,097.50, mainly due to the expiration of some R&D projects and new projects being in the initial stage[90]. - The company reported a significant decrease in net profit for the first half of 2023, with net profit at 2.48 million CNY, a substantial decline compared to the previous period due to reduced processing fee income from PCB copper foil[168]. Production and Capacity - The company has a total production capacity of 55,000 tons per year, including 35,000 tons for PCB copper foil and 20,000 tons for lithium battery copper foil[30]. - The company achieved a copper foil production of 21,953 tons in the first half of 2023, representing a year-on-year increase of 4.22%, with 92.16% of this being lithium battery copper foil production[108]. - The production capacity for electronic copper foil is 55,000 tons per year, with an additional 25,000 tons under construction[112]. - The company is expanding its lithium battery copper foil capacity with projects underway in Tongling and Chizhou, aiming to meet increasing market demand[30]. Research and Development - The company holds 59 patents, including 31 invention patents and 28 utility model patents, showcasing its strong R&D capabilities[64]. - The company successfully developed a 3.5μm lithium battery copper foil during the reporting period, enhancing its product offerings[67]. - The company has received multiple awards for its technological innovations, including first prizes for key process technology research and industrialization in high-precision electronic copper foil[86]. - The company emphasizes the importance of continuous technological innovation to maintain competitiveness in the increasingly crowded copper foil market[174]. - The company has a strong technical research and development team, which is crucial for maintaining its leading position in the industry[175]. Market and Industry Trends - The global PCB market growth rate was 1.0% in 2022, with demand for high-end PCB copper foil expected to maintain a relatively high growth rate due to advancements in digital economy, 6G, and artificial intelligence[52]. - The demand for lithium battery copper foil is driven by the rapid development of the new energy vehicle industry, with the company’s products primarily used in this sector[171]. - The company anticipates growth in the high-end copper foil market driven by the development of 5G and cloud computing technologies[134]. - The copper foil industry has seen a significant recovery in demand, but increased competition may negatively impact the company's operational performance if it cannot maintain its competitive advantages[153]. Financial Management - The company has established a procurement plan that anticipates market changes, aiming to reduce inventory and procurement costs while ensuring stable supply[61]. - The company’s pricing strategy is based on a "copper price + processing fee" model, which is tailored to different customer requirements[62]. - The company has implemented hedging through derivatives to mitigate risks associated with raw material price fluctuations[128]. - The company has conducted futures hedging business with a fair value change profit of RMB 35.06 million during the reporting period, with a total purchase amount of RMB 9,509.48 million[144]. - The company has implemented measures to retain core technical personnel and enhance their motivation through incentive policies and management systems[156]. Shareholder Structure - The top 10 shareholders include Hefei Guoxuan High-Tech Power Energy Co., Ltd. with 21,761,658 shares, accounting for a significant portion of the total shares[194]. - The total number of shares held by the top 10 unrestricted shareholders is 38,000,000, reflecting a concentrated ownership structure[194]. - The company does not have any preferred shares outstanding, simplifying its capital structure[198]. - The report indicates that the company is actively managing its shareholder base, with a focus on institutional investors[195]. - The company has not disclosed any relationships or concerted actions among the top 10 shareholders, maintaining transparency in shareholder structure[195].