AIHUA GROUP(SH:603989)2024-04-29 09:21Financial Performance - The company's revenue for Q1 2024 was CNY 812,887,212.12, representing a year-on-year increase of 15.27%[5]. - Net profit attributable to shareholders decreased by 61.11% to CNY 35,166,574.64, while the net profit after deducting non-recurring gains and losses fell by 66.90% to CNY 22,210,121.19[5][8]. - The basic earnings per share decreased by 61.13% to CNY 0.0877, and diluted earnings per share dropped to zero due to the redemption of convertible bonds during the reporting period[5][8]. - In Q1 2024, the net profit was CNY 30,968,973.05, a decrease of 65.7% compared to CNY 90,153,219.02 in Q1 2023[24]. - The total revenue from operating activities was CNY 429,966,205.74, down 23.8% from CNY 564,491,522.47 in the same period last year[26]. - The operating profit for Q1 2024 was CNY 33,387,317.01, a decrease of 69.0% from CNY 107,696,443.78 in Q1 2023[24]. - The company reported a total comprehensive income of CNY 30,968,973.05, down from CNY 90,153,219.02 in Q1 2023[24]. Cash Flow and Financial Position - The net cash flow from operating activities was negative at CNY -84,895,378.00, a decline of 729.17% compared to the same period last year[5][8]. - The company reported a total cash and cash equivalents at the end of the period were CNY 241,711,001.78, compared to CNY 552,666,181.24 at the end of Q1 2023[27]. - The company raised CNY 280,000,000.00 through borrowings, compared to CNY 253,750,000.00 in the same period last year[27]. - The company reported a significant increase in cash payments for goods, exceeding cash receipts from sales compared to the previous year[8]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 5,539,187,923.83, a decrease of 0.82% from the previous year[6]. - Total liabilities decreased to CNY 1,883,629,070.16 in Q1 2024 from CNY 1,965,803,616.89 in the previous quarter, indicating a reduction of approximately 4.2%[21]. - Accounts receivable increased to CNY 1,126,073,372.65 from CNY 1,103,008,752.37[19]. - Inventory increased to CNY 920,001,155.02 from CNY 836,455,376.68[19]. - The company's trading financial assets decreased to RMB 893,899,655.00 from RMB 1,135,296,414.79[19]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 18,119[10]. - The company repurchased 2,350,743 shares, accounting for 0.59% of the total share capital[12]. - The company's total share capital increased by 11,130,603 shares due to the conversion of convertible bonds[12]. Government Support and Investments - The company received government subsidies amounting to CNY 7,893,108.28, which are expected to have a continuous impact on profits[7]. - The subsidiary Mianyang Zijiang has completed its relocation and expansion project with a total investment of approximately RMB 15,000 million[14]. - The subsidiary Hunan Aiyuanda is investing RMB 45,600 million in a new film capacitor and new materials project, with cumulative investment of RMB 7,369.62 million as of the reporting period[15][16]. Operational Changes - The decline in net profit was primarily due to lower gross margins from industrial control products and increased costs associated with employee placement due to the expiration of a joint venture[8]. - The subsidiary Jiangsu Lifeng has ceased all production and operational activities as of February 29, 2024[17]. Research and Development - Research and development expenses increased to ¥50,455,554.14 in Q1 2024, compared to ¥40,573,631.20 in Q1 2023, reflecting a growth of 24.3%[23]. - The company plans to continue investing in new technologies and market expansion, although specific figures were not provided in the report[23].