Financial Performance - For the nine months ended September 30, 2023, the company's revenue was RMB 36,252,000, a decrease of 8.9% compared to RMB 39,605,000 for the same period in 2022[8]. - The gross profit for the nine months ended September 30, 2023, was RMB 7,161,000, down 30.0% from RMB 10,386,000 in the previous year[8]. - The operating loss for the nine months ended September 30, 2023, was RMB 379,000, compared to an operating profit of RMB 2,348,000 for the same period in 2022[8]. - The net loss for the nine months ended September 30, 2023, was RMB 1,602,000, compared to a profit of RMB 776,000 in the same period last year[8]. - Basic and diluted loss per share for the nine months ended September 30, 2023, was RMB 0.40, compared to earnings of RMB 0.19 per share in the previous year[8]. - The company reported total other income of RMB 81,000 for the nine months ended September 30, 2023, down from RMB 1,742,000 in the same period of 2022[8]. - The company reported a net loss attributable to owners of the company of RMB 1,602,000 for the nine months ended September 30, 2023, compared to a profit of RMB 776,000 for the same period in 2022[22]. - Basic loss per share for the nine months ended September 30, 2023, was RMB 0.40, compared to earnings of RMB 0.19 per share for the same period in 2022[22]. - The company recorded a net loss of approximately RMB 16 million for the nine months ended September 30, 2023, compared to a net profit of approximately RMB 8 million for the same period in 2022[43]. Revenue Breakdown - The revenue from fiberglass products for the three months ended September 30, 2023, was RMB 10,639,000, down 34.5% from RMB 16,264,000 in the same period of 2022[15]. - Revenue from fiberglass grating products decreased by 15.9% from approximately RMB 183 million for the nine months ended September 30, 2022, to approximately RMB 154 million for the nine months ended September 30, 2023[40]. - Revenue from epoxy wedge products slightly decreased by 2.0% from approximately RMB 213 million to approximately RMB 208 million for the same periods[40]. - The revenue from overseas markets decreased by approximately 24.5% to about RMB 6.4 million for the nine months ended September 30, 2023, compared to RMB 8.5 million in the same period of 2022[37]. - Domestic market sales decreased by approximately 4.1% to about RMB 29.9 million for the nine months ended September 30, 2023, accounting for approximately 82.3% of total sales, an increase of 3.7 percentage points from 78.6% in the same period of 2022[37]. Cost and Expenses - Administrative expenses for the nine months ended September 30, 2023, were RMB 6,093,000, a decrease of 30.4% from RMB 8,768,000 in the previous year[8]. - Distribution costs increased by 32.8% from approximately RMB 15 million to approximately RMB 20 million due to rising wages and salaries[42]. - Administrative expenses decreased by 30.5% from approximately RMB 88 million to approximately RMB 61 million, mainly due to reduced rental expenses classified as cost of sales[42]. - The total cost of inventory for the nine months ended September 30, 2023, was RMB 25,984,000, a decrease from RMB 27,962,000 for the same period in 2022[17]. - Research and development costs for the nine months ended September 30, 2023, amounted to RMB 805,000, down from RMB 1,554,000 for the same period in 2022[17]. - The company incurred finance costs of RMB 213,000 for the nine months ended September 30, 2023, compared to RMB 46,000 for the same period in 2022[17]. - The income tax expense for the nine months ended September 30, 2023, was RMB 1,010,000, a decrease from RMB 1,526,000 for the same period in 2022[19]. Strategic Initiatives - The company plans to continue its focus on research and development of fiberglass products and industrial silica sand materials in China[11]. - The company plans to commence production and sales of industrial silica sand materials in the second half of 2024, anticipating significant economic benefits from this initiative[35]. - The company is currently constructing a new factory in Inner Mongolia to support its silica sand business segment, responding to the increasing domestic demand for silica sand materials[35]. - The company aims to enhance product recognition and competitiveness through improved product technology and R&D capabilities, which are deemed crucial for future growth[33]. - The financial results indicate a need for strategic reassessment to improve profitability and operational efficiency moving forward[8]. Shareholder Information - Major shareholder Li Yubao holds 40.9% of the company's shares, amounting to 163.6 million shares[45]. - Other major shareholders include LFS and LFB, each holding 30.9% of the company's shares, totaling 123.6 million shares[50]. - The board confirmed that there were no interests held by directors or their close associates in any business that competes directly or indirectly with the group as of September 30, 2023[54]. Governance and Compliance - The company has adopted the GEM Listing Rules regarding the code of conduct for directors' securities transactions, and all directors complied with these standards during the nine months ended September 30, 2023[55]. - The board believes that the company has complied with all applicable code provisions of the Corporate Governance Code as set out in Appendix 15 of the GEM Listing Rules for the nine months ended September 30, 2023[56]. - The Audit Committee, established on December 16, 2016, consists of three independent non-executive directors and is responsible for reviewing and supervising financial reporting procedures and internal controls[58]. - The unaudited results for the nine months ended September 30, 2023, have been reviewed by the Audit Committee[58].
硅鑫集团(08349) - 2023 Q4 - 季度业绩