[Definitions](index=4&type=section&id=%E7%AC%AC%E4%B8%80%E8%8A%82%20%E9%87%8A%E4%B9%89) This section defines common terms used in the report, including company names, regulatory bodies, related parties, and core products [Definitions of Common Terms](index=4&type=section&id=%E5%B8%B8%E7%94%A8%E8%AF%8D%E8%AF%AD%E9%87%8A%E4%B9%89) This chapter defines common terms used in the report, including company names, regulatory bodies, related parties, and core products - Defined common terms such as the Company, CSRC, SSE, and related party companies like AiAi Precision and Jucheng Consulting[12](index=12&type=chunk) - Detailed professional terms for core products and materials such as "skeleton material", "light conveyor belt", "environmentally friendly material", "eco-friendly precision belt", and "general light belt"[12](index=12&type=chunk)[13](index=13&type=chunk) [Company Profile and Key Financial Indicators](index=5&type=section&id=%E7%AC%AC%E4%BA%8C%E8%8A%82%20%E5%85%AC%E5%8F%B8%E7%AE%80%E4%BB%8B%E5%92%8C%E4%B8%BB%E8%A6%81%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) This section provides an overview of the company's basic information, contact details, and a summary of key financial data and indicators for the reporting period [Company Information](index=5&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E4%BF%A1%E6%81%AF) Introduces the company's basic registration information, including its Chinese name, abbreviation, foreign name, and legal representative - The company's full name is AiAi Precision Industrial Conveyor Systems (Shanghai) Co., Ltd., abbreviated as AiAi Precision, with Tu Guosheng as the legal representative[14](index=14&type=chunk) [Contact Person and Information](index=5&type=section&id=%E4%BA%8C%E3%80%81%E8%81%94%E7%B3%BB%E4%BA%BA%E5%92%8C%E8%81%94%E7%B3%BB%E6%96%B9%E5%BC%8F) Provides contact details for the company's Board Secretary, including name, address, phone, fax, and email - The Board Secretary is Su Yangzhong, with the contact address at No 580 Xiangyin Road, Yangpu District, Shanghai, and phone number 021-65305237[15](index=15&type=chunk) [Brief Introduction to Changes in Basic Information](index=5&type=section&id=%E4%B8%89%E3%80%81%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5%E5%8F%98%E6%9B%B4%E7%AE%80%E4%BB%8B) Briefly describes changes in the company's basic information, such as registered address, office address, website, and email - The company's registered address is Room A240, Building 7, No 700 Wanrong Road, Jing'an District, Shanghai, and its office address is No 580 Xiangyin Road, Yangpu District, Shanghai[16](index=16&type=chunk) [Brief Introduction to Changes in Information Disclosure and Document Storage Locations](index=5&type=section&id=%E5%9B%9B%E3%80%81%E4%BF%A1%E6%81%AF%E6%8A%AB%E9%9C%B2%E5%8F%8A%E5%A4%87%E7%BD%AE%E5%9C%B0%E7%82%B9%E5%8F%98%E6%9B%B4%E6%83%85%E5%86%B5%E7%AE%80%E4%BB%8B) Discloses the company's designated information disclosure newspaper, website address, and report storage location - The company's designated information disclosure newspaper is Securities Times, and the website for semi-annual reports is http://www.sse.com.cn/[17](index=17&type=chunk) [Brief Introduction to Company Stock](index=5&type=section&id=%E4%BA%94%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E7%A5%A8%E7%AE%80%E5%86%B5) Introduces the company's stock type, listing exchange, stock abbreviation, and code - The company's A-shares are listed on the Shanghai Stock Exchange, with stock abbreviation **\*ST AiAi** and stock code **603580**[18](index=18&type=chunk) [Company's Key Accounting Data and Financial Indicators](index=5&type=section&id=%E4%B8%83%E3%80%81%E5%85%AC%E5%8F%B8%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) Summarizes key accounting data and financial indicators for the current and prior periods, showing significant growth in revenue and profit, but a decrease in operating cash flow Key Accounting Data (Jan-Jun 2025 vs Jan-Jun 2024) | Major Accounting Data | Current Period (Jan-Jun) (RMB) | Prior Period (RMB) | Period-on-Period Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 102,124,390.18 | 86,900,541.06 | 17.52 | | Total Profit | 9,329,410.52 | 2,753,762.86 | 238.79 | | Net Profit Attributable to Shareholders of Listed Company | 9,164,989.78 | 3,337,962.87 | 174.57 | | Net Profit Attributable to Shareholders of Listed Company Excluding Non-recurring Gains and Losses | 8,698,189.54 | 2,532,917.87 | 243.41 | | Net Cash Flow from Operating Activities | 4,458,318.06 | 11,893,053.07 | -62.51 | | Net Assets Attributable to Shareholders of Listed Company (Period-end) | 416,843,352.26 | 419,723,129.40 | -0.69 | | Total Assets (Period-end) | 754,511,623.11 | 508,148,789.98 | 48.48 | Key Financial Indicators (Jan-Jun 2025 vs Jan-Jun 2024) | Major Financial Indicators | Current Period (Jan-Jun) | Prior Period | Period-on-Period Change (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | 0.0701 | 0.0255 | 174.90 | | Diluted Earnings Per Share (RMB/share) | 0.0701 | 0.0255 | 174.90 | | Basic Earnings Per Share Excluding Non-recurring Gains and Losses (RMB/share) | 0.0666 | 0.0194 | 243.30 | | Weighted Average Return on Net Assets (%) | 2.16 | 0.76 | 1.40 | | Weighted Average Return on Net Assets Excluding Non-recurring Gains and Losses (%) | 2.05 | 0.58 | 1.47 | [Non-recurring Gains and Losses Items and Amounts](index=6&type=section&id=%E4%B9%9D%E3%80%81%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E9%A1%B9%E7%9B%AE%E5%92%8C%E9%87%91%E9%A2%9D) Lists specific non-recurring gains and losses for the period, totaling **RMB 466,800.24**, and clarifies the classification of certain recurring government subsidies Non-recurring Gains and Losses Items and Amounts (Jan-Jun 2025) | Non-recurring Gains and Losses Item | Amount (RMB) | | :--- | :--- | | Disposal gains and losses of non-current assets | -98,030.82 | | Government grants included in current profit or loss (excluding those closely related to the company's normal business operations, in line with national policies, and continuously enjoyed according to certain standards) | 670,639.31 | | Other non-operating income and expenses | -25,116.38 | | Less: Income tax impact | 80,695.95 | | Minority interest impact (after tax) | -4.08 | | **Total** | **466,800.24** | - Amortization of deferred income, handling fee refunds for withholding taxes, and VAT additional deductions are recognized as recurring gains and losses due to compliance with national policies and continuous occurrence, involving amounts of **RMB 154,423.85**, **RMB 18,812.79**, and **RMB 223,607.09** respectively[23](index=23&type=chunk) [Management Discussion and Analysis](index=7&type=section&id=%E7%AC%AC%E4%B8%89%E8%8A%82%20%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) This section provides a detailed discussion and analysis of the company's industry, main business operations, core competencies, and key financial performance during the reporting period [Explanation of the Company's Industry and Main Business Operations during the Reporting Period](index=7&type=section&id=%E4%B8%80%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%85%AC%E5%8F%B8%E6%89%80%E5%B1%9E%E8%A1%8C%E4%B8%9A%E5%8F%8A%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E6%83%85%E5%86%B5%E8%AF%B4%E6%98%8E) Details the company's industry, main business operations (light conveyor belts, precision metal structural parts & electronic components), market positioning, and the impact of the Taizhou Zhongshixin acquisition - The company operates in the rubber and plastic products industry (C29), specifically the conveyor belt industry, primarily engaged in the R&D, production, and sales of light conveyor belts[28](index=28&type=chunk) - The global light conveyor belt market is concentrated in Europe, North America, and Asia, with major manufacturers including Ammega, Habasit, and Forbo-Siegling, holding approximately **30% market share**; domestic leading enterprises, represented by Yongli Co., Ltd. and the Company, offer products with high cost-performance advantages[26](index=26&type=chunk)[27](index=27&type=chunk) - During the reporting period, the company acquired Taizhou Zhongshixin Electronics Co., Ltd. (holding **50.2008% equity**), adding precision metal structural parts and electronic components business, primarily providing R&D and manufacturing services for precision metal structural parts for consumer electronics and other terminal products, with main products being stamped parts and fasteners[29](index=29&type=chunk) - Taizhou Zhongshixin's controlled subsidiary, Jiangsu Quanzhishun Electronic Technology Co., Ltd., primarily engages in electronic component manufacturing, focusing on communication, automotive metal parts, and consumer electronics sectors, offering one-stop services including stamping, electroplating, injection molding, and design[29](index=29&type=chunk)[30](index=30&type=chunk) [Discussion and Analysis of Operations](index=8&type=section&id=%E4%BA%8C%E3%80%81%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5%E7%9A%84%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) Discusses the sales and production models for light conveyor belts and the product/market positioning of precision metal structural parts and electronic components - The light conveyor belt business adopts a sales model combining direct sales and intermediaries, with domestic sales primarily direct and overseas sales primarily through intermediaries, to expand market share and reduce service costs[31](index=31&type=chunk)[33](index=33&type=chunk) - The precision metal structural parts and electronic components business primarily provides R&D and manufacturing services for precision metal structural parts required by "Apple supply chain" customers such as Lens Technology, AAC Technologies, and Everwin Precision for consumer electronics and other terminal products[34](index=34&type=chunk) - Jiangsu Quanzhishun Electronic Technology Co., Ltd. enhances Taizhou Zhongshixin's service capabilities in the smartphone and automotive industry chains through one-stop services including stamping, electroplating, injection molding, and design[34](index=34&type=chunk) [Analysis of Core Competencies during the Reporting Period](index=9&type=section&id=%E4%B8%89%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B%E5%88%86%E6%9E%90) Analyzes the company's core competencies in R&D, integrated supply chains, experienced management, and continuous quality improvement across its two main business segments - The light conveyor belt business possesses strong R&D capabilities, mastering core technologies and processes, capable of providing comprehensive products and services, and actively expanding into new application areas (e.g., automotive, solar energy)[36](index=36&type=chunk) - The light conveyor belt business focuses on integrating internal business chains (R&D, production, sales synergy) and external industry chains (TPU modification, expansion to felt, synchronous toothed belts, etc.) to enhance product quality and control costs[36](index=36&type=chunk)[37](index=37&type=chunk) - The light conveyor belt business has a stable and experienced management team with years of industry experience, capable of promptly grasping market dynamics and introducing new products[37](index=37&type=chunk) - The precision metal structural parts and electronic components business also possesses strong R&D capabilities, holding multiple independent intellectual property rights and patented technologies, and focuses on industry innovation to meet differentiated customer needs[39](index=39&type=chunk) - The precision metal structural parts and electronic components business management team is experienced and familiar with the stamping, fastening, and electroplating industries, and emphasizes continuous product quality improvement, certified by ISO9001, ISO14001, IATF16949, and other quality management systems[39](index=39&type=chunk) [Key Operating Performance during the Reporting Period](index=10&type=section&id=%E5%9B%9B%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E4%B8%BB%E8%A6%81%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5) Analyzes changes in key financial statement items, including revenue, profit, cash flow, and asset-liability structure, primarily due to the Taizhou Zhongshixin acquisition Financial Statement Item Variation Analysis (Jan-Jun 2025 vs Jan-Jun 2024) | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 102,124,390.18 | 86,900,541.06 | 17.52 | Light conveyor belt business increased by approximately RMB 6 million, precision metal structural parts and electronic components business (consolidated) by approximately RMB 9 million | | Total Profit | 9,329,410.52 | 2,753,762.86 | 238.79 | Operating revenue growth, financial expenses shifted from exchange losses to exchange gains | | Net Profit Attributable to Shareholders of Listed Company | 9,164,989.78 | 3,337,962.87 | 174.57 | Same as above | | Net Cash Flow from Operating Activities | 4,458,318.06 | 11,893,053.07 | -62.51 | Cash received from sales of goods and provision of services was less than the prior period | | Net Cash Flow from Investing Activities | -45,504,282.92 | -10,253,072.25 | Not Applicable | Acquisition of Taizhou Zhongshixin led to increased cash outflow | | Net Cash Flow from Financing Activities | 48,975,211.51 | -2,386,076.57 | Not Applicable | Cash inflow from bank borrowings was more than the prior period | Asset and Liability Status Changes (June 30, 2025 vs December 31, 2024) | Item | Current Period Amount (RMB) | Prior Year-end Amount (RMB) | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Accounts Receivable | 103,762,271.21 | 46,145,694.11 | 124.86 | Due to consolidation of Taizhou Zhongshixin | | Prepayments | 4,982,388.83 | 1,299,510.05 | 283.41 | Due to consolidation of Taizhou Zhongshixin | | Other Receivables | 5,476,027.54 | 2,973,818.72 | 84.14 | Due to consolidation of Taizhou Zhongshixin | | Construction in Progress | 22,389,202.04 | 14,557,931.11 | 53.79 | Increase in "equipment under installation and minor projects" balance | | Right-of-use Assets | 16,654,580.68 | 7,201,507.86 | 131.27 | Due to consolidation of Taizhou Zhongshixin | | Short-term Borrowings | 109,095,482.68 | 17,041,120.00 | 540.19 | Increase in bank borrowings | | Accounts Payable | 64,448,607.67 | 32,003,502.03 | 101.38 | Due to consolidation of Taizhou Zhongshixin | | Other Payables | 33,318,422.40 | 1,048,607.13 | 3,077.40 | Increase in equity transfer payables and dividends payable | - As of the end of the reporting period, overseas assets amounted to **RMB 96.08 million**, accounting for **12.73%** of total assets[47](index=47&type=chunk) [Analysis of Major Holding and Participating Companies](index=12&type=section&id=%E5%85%AD%E3%80%81%E4%B8%BB%E8%A6%81%E6%8E%A7%E8%82%A1%E5%8F%82%E8%82%A1%E5%85%AC%E5%8F%B8%E5%88%86%E6%9E%90) Lists major subsidiaries and their financial data, highlighting the impact of consolidating Taizhou Zhongshixin Electronics Co., Ltd Major Subsidiary Financial Data (Unit: RMB million) | Company Name | Company Type | Main Business | Registered Capital (RMB) | Total Assets (RMB million) | Net Assets (RMB million) | Operating Revenue (RMB million) | Operating Profit (RMB million) | Net Profit (RMB million) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Suzhou Ino | Subsidiary | Production, sales of industrial belts | 107.25752401 | 183.75 | 164.25 | 30.61 | 2.46 | 2.42 | | Shanghai Ino | Subsidiary | Sales of industrial belts | 4.489259 | 84.52 | 12.25 | 33.11 | 6.83 | 5.13 | | Xi'an AiAi | Subsidiary | Production, sales of industrial belts | 50.00 | 104.87 | 36.63 | 6.16 | -2.10 | -1.62 | | Anhui AiAi | Subsidiary | Production, sales of industrial belts | 105.22831755 | 119.95 | 85.57 | 9.55 | -3.09 | -2.28 | | Hong Kong Ino | Subsidiary | Investment | USD 1 | 113.97 | -3.26 | 30.14 | 2.72 | 2.28 | | Taizhou Zhongshixin | Subsidiary | Production, sales of precision metal structural parts and electronic components | 24.90 | 186.53 | 91.51 | 8.85 | -0.72 | -0.81 | - During the reporting period, the company acquired Taizhou Zhongshixin Electronics Co., Ltd., consolidating it from June 2025, which impacted overall production, operations, and performance[50](index=50&type=chunk) [Other Disclosure Matters](index=13&type=section&id=%E4%BA%94%E3%80%81%E5%85%B6%E4%BB%96%E6%8A%AB%E9%9C%B2%E4%BA%8B%E9%A1%B9) Discloses eight potential risks, including control, market competition, technology leakage, exchange rate, tax, raw material, funding, and human resource risks - **Control Risk**: Actual controllers Tu Mulin and Cai Ruimei jointly hold **66.94%** of shares, potentially controlling the company's production, operations, and major decisions through voting rights[50](index=50&type=chunk) - **Market Competition Risk**: The domestic conveyor belt market is highly competitive, and the company still lags behind international renowned manufacturers in brand, technology, and scale, facing intensified competition risk[50](index=50&type=chunk) - **Technology Leakage Risk**: The quality of light conveyor belt products relies on material modification formulas and process design, posing risks of core technical personnel loss or key technology leakage[51](index=51&type=chunk) - **Exchange Rate Risk**: Overseas sales revenue accounts for over **50%**, and fluctuations in RMB against major international currencies may affect the company's pricing and profitability[51](index=51&type=chunk) - **Tax Incentive Change Risk**: Changes in export tax rebate policies or the inability to renew high-tech enterprise qualifications may lead to a decline in profitability[51](index=51&type=chunk)[52](index=52&type=chunk) - **Major Raw Material Fluctuation Risk**: Costs of major raw materials like TPU and PVC account for over **60%** of operating costs, and price fluctuations may impact the company's performance[52](index=52&type=chunk) - **Funding Risk**: A buyer's market leads to an increase in credit sales, resulting in higher capital tie-ups and financial costs[52](index=52&type=chunk) - **Human Resource Risk**: Company expansion increases demand for high-quality R&D, technology industrialization, and market support human resources[53](index=53&type=chunk) [Corporate Governance, Environment and Society](index=15&type=section&id=%E7%AC%AC%E5%9B%9B%E8%8A%82%20%E5%85%AC%E5%8F%B8%E6%B2%BB%E7%90%86%E3%80%81%E7%8E%AF%E5%A2%83%E5%92%8C%E7%A4%BE%E4%BC%9A) This section covers changes in the company's directors and senior management, as well as its profit distribution plan for the reporting period [Changes in Company Directors and Senior Management](index=15&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E8%91%A3%E4%BA%8B%E3%80%81%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) No changes occurred in the company's directors or senior management during the reporting period - No changes in the company's directors or senior management during the reporting period[56](index=56&type=chunk) [Profit Distribution or Capital Reserve Conversion Plan](index=15&type=section&id=%E4%BA%8C%E3%80%81%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E6%88%96%E8%B5%84%E6%9C%AC%E5%85%AC%E7%A7%AF%E9%87%91%E8%BD%AC%E5%A2%9E%E9%A2%84%E6%A1%88) The company will not undertake profit distribution or capital reserve conversion for the semi-annual period - The company's proposed profit distribution or capital reserve conversion plan for the semi-annual period is "none", meaning no distribution or conversion[6](index=6&type=chunk) [Significant Matters](index=16&type=section&id=%E7%AC%AC%E4%BA%94%E8%8A%82%20%E9%87%8D%E8%A6%81%E4%BA%8B%E9%A1%B9) This section addresses the fulfillment of commitments, non-operating fund occupation by related parties, illegal guarantees, audit status, major litigation, integrity, and significant related party transactions [Fulfillment of Commitments](index=16&type=section&id=%E4%B8%80%E3%80%81%E6%89%BF%E8%AF%BA%E4%BA%8B%E9%A1%B9%E5%B1%A5%E8%A1%8C%E6%83%85%E5%86%B5) No commitment matters requiring disclosure from the company's actual controllers, shareholders, or related parties during the reporting period - No commitment matters requiring disclosure from the company's actual controllers, shareholders, related parties, acquirers, or the company during the reporting period[59](index=59&type=chunk) [Non-operating Fund Occupation by Controlling Shareholder and Other Related Parties during the Reporting Period](index=16&type=section&id=%E4%BA%8C%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%B3%E8%81%94%E6%96%B9%E9%9D%9E%E7%BB%8F%E8%90%A5%E6%80%A7%E5%8D%A0%E7%94%A8%E8%B5%84%E9%87%91%E6%83%85%E5%86%B5) No non-operating fund occupation by controlling shareholders or other related parties during the reporting period - No non-operating fund occupation by controlling shareholders or other related parties during the reporting period[7](index=7&type=chunk) [Illegal Guarantees](index=16&type=section&id=%E4%B8%89%E3%80%81%E8%BF%9D%E8%A7%84%E6%8B%85%E4%BF%9D%E6%83%85%E5%86%B5) No instances of providing external guarantees in violation of prescribed decision-making procedures during the reporting period - No instances of providing external guarantees in violation of prescribed decision-making procedures during the reporting period[8](index=8&type=chunk) [Semi-Annual Report Audit Status](index=16&type=section&id=%E5%9B%9B%E3%80%81%E5%8D%8A%E5%B9%B4%E6%8A%A5%E5%AE%A1%E8%AE%A1%E6%83%85%E5%86%B5) This semi-annual report is unaudited - This semi-annual report is unaudited[5](index=5&type=chunk) [Major Litigation and Arbitration Matters](index=16&type=section&id=%E4%B8%83%E3%80%81%E9%87%8D%E5%A4%A7%E8%AF%89%E8%AE%BC%E3%80%81%E4%BB%B2%E8%A3%81%E4%BA%8B%E9%A1%B9) No major litigation or arbitration matters for the company during the reporting period - No major litigation or arbitration matters for the company during the reporting period[59](index=59&type=chunk) [Explanation of the Integrity Status of the Company, its Controlling Shareholder, and Actual Controllers during the Reporting Period](index=16&type=section&id=%E4%B9%9D%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%85%AC%E5%8F%B8%E5%8F%8A%E5%85%B6%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E3%80%81%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E8%AF%9A%E4%BF%A1%E7%8A%B6%E5%86%B5%E7%9A%84%E8%AF%B4%E6%98%8E) The company, its controlling shareholder, and actual controllers maintained good integrity during the reporting period, with no records of dishonesty - During the reporting period, the company, its controlling shareholder, and actual controllers strictly complied with all laws and regulations, maintained good integrity, and had no records of dishonesty[59](index=59&type=chunk) [Significant Related Party Transactions](index=16&type=section&id=%E5%8D%81%E3%80%81%E9%87%8D%E5%A4%A7%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) Details significant related party transactions, including purchases, sales, leases, and fund transfers, along with outstanding balances at period-end - Related party transactions related to daily operations occurred during the reporting period, detailed in Section VIII "Financial Report", XIV "Related Parties and Related Party Transactions"[60](index=60&type=chunk) - Related party creditor-debtor relationships occurred during the reporting period, detailed in Section VIII "Financial Report", XIV "Related Parties and Related Party Transactions"[63](index=63&type=chunk) [Share Changes and Shareholder Information](index=18&type=section&id=%E7%AC%AC%E5%85%AD%E8%8A%82%20%E8%82%A1%E4%BB%BD%E5%8F%98%E5%8A%A8%E5%8F%8A%E8%82%A1%E4%B8%9C%E6%83%85%E5%86%B5) This section details changes in the company's share capital and provides an overview of its shareholder structure, including major shareholders and actual controllers [Share Capital Changes](index=18&type=section&id=%E4%B8%80%E3%80%81%E8%82%A1%E6%9C%AC%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) No changes occurred in the company's total share capital or share structure during the reporting period - No changes occurred in the company's total share capital or share structure during the reporting period[66](index=66&type=chunk) [Shareholder Information](index=18&type=section&id=%E4%BA%8C%E3%80%81%E8%82%A1%E4%B8%9C%E6%83%85%E5%86%B5) Details the company's shareholder structure, including the total number of common shareholders and the shareholdings of the top ten, with actual controllers holding **66.94%** Total Number of Common Shareholders as of the End of the Reporting Period | Indicator | Number (Households) | | :--- | :--- | | Total Number of Common Shareholders | 9,158 | Shareholding of Top Ten Shareholders (as of the End of the Reporting Period) | Shareholder Name | Shares Held at Period-end | Percentage (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | Tu Mulin | 44,100,000 | 33.75 | Overseas Natural Person | | Cai Ruimei | 43,365,000 | 33.19 | Overseas Natural Person | | Xiamen Huarui Investment Management Co., Ltd. | 1,964,400 | 1.50 | Domestic Non-State-Owned Legal Person | | Xie Zhengli | 599,800 | 0.46 | Domestic Natural Person | | Tu Guosheng | 576,000 | 0.44 | Overseas Natural Person | | Qin Jie | 521,300 | 0.40 | Domestic Natural Person | | Jin Ye | 505,100 | 0.39 | Domestic Natural Person | | UBS AG | 455,045 | 0.35 | Overseas Legal Person | | BARCLAYS BANK PLC | 450,054 | 0.34 | Overseas Legal Person | | Hu Xuemin | 422,400 | 0.32 | Domestic Natural Person | - The company's controlling shareholders and actual controllers are Tu Mulin and Cai Ruimei, who are acting in concert with Tu Guosheng[69](index=69&type=chunk) [Bond-Related Information](index=21&type=section&id=%E7%AC%AC%E4%B8%83%E8%8A%82%20%E5%80%BA%E5%88%B8%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) This section confirms the absence of company bonds, enterprise bonds, non-financial enterprise debt financing instruments, and convertible corporate bonds during the reporting period [Company Bonds (including Enterprise Bonds) and Non-Financial Enterprise Debt Financing Instruments](index=21&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E5%80%BA%E5%88%B8%EF%BC%88%E5%90%AB%E4%BC%81%E4%B8%9A%E5%80%BA%E5%88%B8%EF%BC%89%E5%92%8C%E9%9D%9E%E9%87%91%E8%9E%8D%E4%BC%81%E4%B8%9A%E5%80%BA%E5%8A%A1%E8%9E%8D%E8%B5%84%E5%B7%A5%E5%85%B7) The company had no company bonds or non-financial enterprise debt financing instruments during the reporting period - The company had no company bonds (including enterprise bonds) or non-financial enterprise debt financing instruments during the reporting period[73](index=73&type=chunk) [Convertible Corporate Bonds](index=21&type=section&id=%E4%BA%8C%E3%80%81%E5%8F%AF%E8%BD%AC%E6%8D%A2%E5%85%AC%E5%8F%B8%E5%80%BA%E6%83%85%E5%86%B5) The company had no convertible corporate bonds during the reporting period - The company had no convertible corporate bonds during the reporting period[73](index=73&type=chunk) [Financial Report](index=22&type=section&id=%E7%AC%AC%E5%85%AB%E8%8A%82%20%E8%B4%A2%E5%8A%A1%E6%8A%A5%E5%91%8A) This section presents the company's unaudited semi-annual financial statements, including balance sheets, income statements, cash flow statements, and statements of changes in owners' equity, along with detailed notes on accounting policies, taxes, and specific financial items [Audit Report](index=22&type=section&id=%E4%B8%80%E3%80%81%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A) This semi-annual report is unaudited - This semi-annual report is unaudited[5](index=5&type=chunk) [Financial Statements](index=22&type=section&id=%E4%BA%8C%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) Presents the company's consolidated and parent company financial statements for the first half of 2025, reflecting financial position and operating results Consolidated Balance Sheet Summary (as of June 30, 2025) | Item | June 30, 2025 (RMB) | December 31, 2024 (RMB) | | :--- | :--- | :--- | | Total Assets | 754,511,623.11 | 508,148,789.98 | | Total Liabilities | 269,152,937.74 | 73,124,512.85 | | Total Owners' Equity | 485,358,685.37 | 435,024,277.13 | Consolidated Income Statement Summary (Jan-Jun 2025) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 102,124,390.18 | 86,900,541.06 | | Total Operating Costs | 92,347,589.29 | 85,968,463.85 | | Total Profit | 9,329,410.52 | 2,753,762.86 | | Net Profit | 7,971,242.33 | 2,437,557.85 | | Net Profit Attributable to Parent Company Shareholders | 9,164,989.78 | 3,337,962.87 | Consolidated Cash Flow Statement Summary (Jan-Jun 2025) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 4,458,318.06 | 11,893,053.07 | | Net Cash Flow from Investing Activities | -45,504,282.92 | -10,253,072.25 | | Net Cash Flow from Financing Activities | 48,975,211.51 | -2,386,076.57 | | Net Increase in Cash and Cash Equivalents | 9,133,801.26 | -485,583.34 | [Company Basic Information](index=40&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5) Introduces the company's history, capital, legal representative, registration, actual controllers, and current business scope - The company, formerly AiAi Industrial Belt (Shanghai) Co., Ltd., was first listed on May 15, 2017[105](index=105&type=chunk) - As of June 30, 2025, the company's total share capital and registered capital were both **RMB 130,673,200.00**[106](index=106&type=chunk) - The company's actual controllers are Taiwanese natural persons Tu Mulin and Cai Ruimei[106](index=106&type=chunk) - The company's main business activities include the R&D, production, and sales of light conveyor belts and precision metal structural parts & electronic components[106](index=106&type=chunk) [Basis of Financial Statement Preparation](index=40&type=section&id=%E5%9B%9B%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E7%9A%84%E7%BC%96%E5%88%B6%E5%9F%BA%E7%A1%80) States that the financial statements are prepared on a going concern basis, adhering to enterprise accounting standards and CSRC regulations - The company's financial statements are prepared on a going concern basis, with recognition and measurement performed in accordance with enterprise accounting standards, their application guidelines, and interpretations[107](index=107&type=chunk) - The company assessed its going concern ability for 12 months from the end of the reporting period and found no matters affecting its ability to continue as a going concern[108](index=108&type=chunk) [Significant Accounting Policies and Accounting Estimates](index=40&type=section&id=%E4%BA%94%E3%80%81%E9%87%8D%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%8A%E4%BC%9A%E8%AE%A1%E4%BC%B0%E8%AE%A1) Discloses specific accounting policies and estimates for key areas like business combinations, financial instruments, inventories, and revenue recognition, providing context for financial statements - Detailed accounting treatment methods for business combinations under common control and non-common control, including measurement of assets and liabilities, and recognition of goodwill[115](index=115&type=chunk)[116](index=116&type=chunk) - Classification and measurement of financial instruments are based on the business model for managing financial assets and contractual cash flow characteristics, categorized as financial assets measured at amortized cost, fair value through profit or loss, or fair value through other comprehensive income[135](index=135&type=chunk)[136](index=136&type=chunk)[137](index=137&type=chunk) - Inventories are valued using the moving weighted average method upon issuance and measured at the lower of cost or net realizable value, with provision for inventory impairment[160](index=160&type=chunk)[161](index=161&type=chunk) - Long-term equity investments in subsidiaries are accounted for using the cost method, while investments in associates and joint ventures are accounted for using the equity method[172](index=172&type=chunk) - Fixed assets are depreciated using the straight-line method, with depreciation periods of **20-25 years** for buildings and **5-10 years** for machinery and equipment[179](index=179&type=chunk) - Revenue is recognized when the customer obtains control of the related goods, with domestic sales recognized upon customer receipt and overseas sales upon delivery to the carrier and completion of customs declaration[201](index=201&type=chunk)[204](index=204&type=chunk) - Government grants are classified as asset-related or income-related, recognized as deferred income or directly into profit or loss, respectively[207](index=207&type=chunk)[208](index=208&type=chunk) - Deferred income tax assets and liabilities are recognized and measured based on temporary differences between the carrying amounts of assets and liabilities and their tax bases[209](index=209&type=chunk)[210](index=210&type=chunk) - As a lessee, simplified treatment is applied to short-term leases and leases of low-value assets; other leases recognize right-of-use assets and lease liabilities[215](index=215&type=chunk)[216](index=216&type=chunk)[217](index=217&type=chunk) [Taxes](index=69&type=section&id=%E5%85%AD%E3%80%81%E7%A8%8E%E9%A1%B9) Details the company's main tax categories and rates, including VAT and corporate income tax, noting the **15%** preferential rate for high-tech enterprises Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Sales of goods, taxable sales services income, intangible assets or real estate | 23%, 19%, 13% | | Urban Maintenance and Construction Tax | Amount of turnover tax payable | 7%, 5% | | Education Surcharge | Amount of turnover tax payable | 3% | | Local Education Surcharge | Amount of turnover tax payable | 2% | - The company's headquarters and Suzhou Ino Industrial Belt Co., Ltd. are recognized as high-tech enterprises, and for the first half of 2025, corporate income tax is calculated at a rate of **15.00%**[229](index=229&type=chunk) [Notes to Consolidated Financial Statement Items](index=70&type=section&id=%E4%B8%83%E3%80%81%E5%90%88%E5%B9%B6%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) Provides detailed notes and analysis for various assets, liabilities, owners' equity, income, costs, and expenses in the consolidated financial statements, including period-end balances, beginning-of-period balances, current period changes, and reasons for changes, with particular emphasis on the impact of the acquisition of Taizhou Zhongshixin Electronics Co., Ltd - Cash and cash equivalents at period-end amounted to **RMB 48,939,173.88**, of which **RMB 7,949,885.81** was deposited overseas[231](index=231&type=chunk) - Accounts receivable at period-end had a carrying value of **RMB 103,762,271.21**, a significant increase from the beginning of the period, primarily due to the consolidation of Taizhou Zhongshixin[243](index=243&type=chunk) - Inventories at period-end had a carrying value of **RMB 131,554,403.02**, an increase from the beginning of the period, primarily due to the consolidation of Taizhou Zhongshixin[269](index=269&type=chunk) - Short-term borrowings at period-end amounted to **RMB 109,095,482.68**, a substantial increase from the beginning of the period, primarily due to increased bank borrowings[307](index=307&type=chunk) - Other payables at period-end amounted to **RMB 33,318,422.40**, a substantial increase from the beginning of the period, primarily due to increased payables for equity transfer and dividends[320](index=320&type=chunk) - Operating revenue for the current period was **RMB 102,124,390.18**, with light conveyor belt business revenue of **RMB 92,517,028.33** and precision metal structural parts & electronic components business revenue of **RMB 8,655,901.97**[341](index=341&type=chunk) - Financial expenses for the current period were **RMB -5,034,831.71**, primarily due to exchange gains replacing losses from the previous period[344](index=344&type=chunk) - Net cash flow from investing activities was **RMB -45,504,282.92**, primarily due to increased cash outflow from investing activities in the current period for the acquisition of Taizhou Zhongshixin[360](index=360&type=chunk) [R&D Expenses](index=110&type=section&id=%E5%85%AB%E3%80%81%E7%A0%94%E5%8F%91%E6%94%AF%E5%87%BA) Lists the composition of the company's R&D expenses by nature of cost for the reporting period, with a total R&D expenditure of **RMB 4,354,625.13**, all expensed R&D Expenses by Nature of Cost (Jan-Jun 2025) | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Material Consumption | 1,433,713.22 | 1,046,925.97 | | Personnel Costs | 1,462,392.49 | 1,819,859.83 | | Fixed Asset Depreciation | 1,162,253.90 | 1,691,119.65 | | Fuel and Power | 144,862.68 | 163,741.36 | | Other | 151,402.84 | 114,938.21 | | **Total** | **4,354,625.13** | **4,836,585.02** | - All R&D expenses for the current period were expensed, with no capitalized R&D expenses[373](index=373&type=chunk) [Changes in Consolidation Scope](index=111&type=section&id=%E4%B9%9D%E3%80%81%E5%90%88%E5%B9%B6%E8%8C%83%E5%9B%B4%E7%9A%84%E5%8F%98%E6%9B%B4) Details the acquisition of **50.2008%** equity in Taizhou Zhongshixin Electronics Co., Ltd., its consolidation from May 31, 2025, and the resulting **RMB 87.089 million** goodwill - Acquired **50.2008%** equity of Taizhou Zhongshixin Electronics Co., Ltd. through a non-common control business combination in the current period, with the acquisition date being May 31, 2025[375](index=375&type=chunk) Taizhou Zhongshixin Electronics Co., Ltd. Consolidation Cost and Goodwill | Item | Amount (RMB million) | | :--- | :--- | | Consolidation Cost (Cash) | 125.00 | | Less: Fair Value Share of Identifiable Net Assets Acquired | 37.911 | | **Goodwill** | **87.089** | - From the acquisition date to the end of the period (June 30, 2025), Taizhou Zhongshixin generated revenue of **RMB 8.8453 million**, net profit of **RMB -0.8106 million**, and cash flow of **RMB -2.7672 million**[375](index=375&type=chunk) [Interests in Other Entities](index=113&type=section&id=%E5%8D%81%E3%80%81%E5%9C%A8%E5%85%B6%E4%BB%96%E4%B8%BB%E4%BD%93%E4%B8%AD%E7%9A%84%E6%9D%83%E7%9B%8A) Details the company's enterprise group structure, including domestic and overseas subsidiaries, their business nature, and acquisition methods - The company owns multiple domestic and overseas subsidiaries, including Suzhou Ino, Shanghai Ino, Bode Belting GmbH, Hong Kong Ino, ARCK Beteiligungen GmbH, INO Prozesstechnik GmbH, INO USA INC, INO POLSKA SP Z O O, Suzhou Bode, Xi'an AiAi, Anhui AiAi, Taizhou Zhongshixin Electronics Co., Ltd., and Jiangsu Quanzhishun Electronic Technology Co., Ltd[379](index=379&type=chunk)[380](index=380&type=chunk) - Taizhou Zhongshixin Electronics Co., Ltd. was included in the consolidation scope through acquisition, with a shareholding of **50.2008%**; its subsidiary, Jiangsu Quanzhishun Electronic Technology Co., Ltd., is indirectly held at **51.00%**[380](index=380&type=chunk) [Government Grants](index=115&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E6%94%BF%E5%BA%9C%E8%A1%A5%E5%8A%A9) Discloses government grant-related liabilities and total grants recognized in profit or loss for the period, with deferred income of **RMB 3,533,338.57** and total grants of **RMB 825,063.16** Government Grant Liability Items (as of June 30, 2025) | Financial Statement Item | Beginning Balance (RMB) | New Grants in Current Period (RMB) | Amount Included in Non-operating Income in Current Period (RMB) | Amount Transferred to Other Income in Current Period (RMB) | Ending Balance (RMB) | Asset/Income Related | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Deferred Income | 3,687,762.42 | 0.00 | 0.00 | 154,423.85 | 3,533,338.57 | Asset-related | Government Grants Recognized in Profit or Loss (Jan-Jun 2025) | Type | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Asset-related | 154,423.85 | 154,423.85 | | Income-related | 670,639.31 | 1,060,040.00 | | **Total** | **825,063.16** | **1,214,463.85** | [Risks Related to Financial Instruments](index=116&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E4%B8%8E%E9%87%91%E8%9E%8D%E5%B7%A5%E5%85%B7%E7%9B%B8%E5%85%B3%E7%9A%84%E9%A3%8E%E9%99%A9) Explains the company's credit, liquidity, and market risks (foreign exchange, interest rate) and the strategies employed for their management - **Credit risk** primarily arises from cash and cash equivalents, notes receivable, accounts receivable, accounts receivable financing, other receivables, etc; the company manages this risk by assessing customer creditworthiness and regularly monitoring credit records[386](index=386&type=chunk) - As of June 30, 2025, accounts receivable from the top five customers accounted for **36.50%** of the total, and other receivables from the top five companies accounted for **68.74%** of the total[389](index=389&type=chunk) - **Liquidity risk** is managed by regularly monitoring short-term and long-term liquidity needs, ensuring sufficient cash reserves and readily marketable securities[390](index=390&type=chunk) - **Foreign exchange risk** primarily stems from foreign currency-denominated assets and liabilities of overseas operating entities in Euro, USD, and Zloty; if the RMB appreciates or depreciates by **10%** against major foreign currencies, the annual net profit would increase or decrease by **RMB 1.637 million**[391](index=391&type=chunk)[392](index=392&type=chunk) - **Interest rate risk** primarily arises from bank borrowings; the company's headquarters finance department continuously monitors interest rate levels and makes timely adjustments based on market conditions[392](index=392&type=chunk)[393](index=393&type=chunk) [Disclosure of Fair Value](index=119&type=section&id=%E5%8D%81%E4%B8%89%E3%80%81%E5%85%AC%E5%85%81%E4%BB%B7%E5%80%BC%E7%9A%84%E6%8A%AB%E9%9C%B2) Discloses the fair value of the company's assets and liabilities measured at fair value at the end of the reporting period, primarily including accounts receivable financing and other non-current financial assets, and explains their valuation techniques Fair Value of Assets and Liabilities Measured at Fair Value at Period-End (as of June 30, 2025) | Item | Level 3 Fair Value Measurement (RMB) | Total (RMB) | | :--- | :--- | :--- | | Accounts Receivable Financing | 2,153,141.48 | 2,153,141.48 | | Other Non-current Financial Assets | 34,327,768.98 | 34,327,768.98 | | **Total Assets Measured at Fair Value on a Recurring Basis** | **36,480,910.46** | **36,480,910.46** | - Accounts receivable financing (bank acceptance bills) are valued at their face amount as fair value; valuation techniques for other non-current financial assets are not detailed[397](index=397&type=chunk) - Financial assets and liabilities not measured at fair value primarily include cash and cash equivalents, notes receivable, accounts receivable, other receivables, accounts payable, other payables, and short-term borrowings[399](index=399&type=chunk) [Related Parties and Related Party Transactions](index=120&type=section&id=%E5%8D%81%E5%9B%9B%E3%80%81%E5%85%B3%E8%81%94%E6%96%B9%E5%8F%8A%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) Details the company's related parties and significant related party transactions, including purchases, sales, leases, and fund transfers, along with outstanding balances at period-end - The company's ultimate controlling parties are Tu Mulin, Cai Ruimei, and 4 parties acting in concert, with a combined shareholding of **67.79%**[401](index=401&type=chunk) - During the reporting period, the company engaged in related party transactions for purchases and sales of goods with Jinfengfu (Chuzhou) Technology Co., Ltd., Chuzhou Hechuan Logistics Machinery Co., Ltd., Xi'an Degao Printing and Dyeing Automation Engineering Co., Ltd., and its subsidiaries[403](index=403&type=chunk) - The company, as lessor, leased buildings to Xi'an Degao Printing and Dyeing Automation Engineering Co., Ltd., recognizing lease income of **RMB 762,044.04** in the current period[404](index=404&type=chunk) - The company, as lessee, leased buildings from ANKE Gewerbeimmobilien GmbH & Co KG, paying **RMB 250,784.34** in rent in the current period[407](index=407&type=chunk) - Controlling shareholder Cai Ruimei provided loans to subsidiaries; as of June 30, 2025, loan balances were **EUR 1.53 million** (Ino Industrial Belt Co., Ltd.) and **EUR 0.2944 million** (ARCK Beteiligungen GmbH)[409](index=409&type=chunk)[411](index=411&type=chunk) - As of period-end, accounts receivable from Xi'an Degao Printing and Dyeing Automation Engineering Co., Ltd. amounted to **RMB 2,665,089.34**; other receivables from Tu Xiaozhu amounted to **RMB 420,120.00**[414](index=414&type=chunk) - As of period-end, short-term borrowings payable to Cai Ruimei amounted to **RMB 13,443,840.00**, and long-term borrowings amounted to **RMB 2,436,696.00**[417](index=417&type=chunk) [Notes to Parent Company Financial Statement Major Items](index=126&type=section&id=%E5%8D%81%E4%B9%9D%E3%80%81%E6%AF%8D%E5%85%AC%E5%8F%B8%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E4%B8%BB%E8%A6%81%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) Provides detailed notes for key parent company financial statement items, including accounts receivable, other receivables, and long-term equity investments, with aging analysis and bad debt provisions [Disclosure of Parent Company Accounts Receivable by Aging](index=126&type=section&id=%E6%AF%8D%E5%85%AC%E5%8F%B8%E5%BA%94%E6%94%B6%E8%B4%A6%E6%AC%BE%E6%8C%89%E8%B4%A6%E9%BE%84%E6%8A%AB%E9%9C%B2) Details the aging analysis of the parent company's accounts receivable at the end of the reporting period Parent Company Accounts Receivable by Aging (as of June 30, 2025) | Aging | Ending Book Balance (RMB) | Beginning Book Balance (RMB) | | :--- | :--- | :--- | | Within 1 Year (inclusive) | 37,319,414.79 | 41,365,404.18 | | 1 to 2 Years | 2,782,477.46 | 1,423,507.42 | | 2 to 3 Years | 180,320.25 | 65,807.55 | | Over 3 Years | 536,258.30 | 286,044.05 | | **Total** | **40,818,470.80** | **43,140,763.20** | - Parent company accounts receivable impairment provision at period-end was **RMB 2,452,893.02**, with a provision rate of **6.01%**[425](index=425&type=chunk) - Parent company long-term equity investments at period-end had a carrying value of **RMB 383,898,019.39**, increasing by **RMB 125,000,000.00** in the current period, primarily due to additional investment in Taizhou Zhongshixin Electronics Co., Ltd[441](index=441&type=chunk)[445](index=445&type=chunk) [Supplementary Information](index=134&type=section&id=%E4%BA%8C%E5%8D%81%E3%80%81%E8%A1%A5%E5%85%85%E8%B5%84%E6%96%99) Provides supplementary financial information, including a detailed statement of non-recurring gains and losses, return on net assets, and earnings per share, further elaborating on the financial report content [Detailed Statement of Non-recurring Gains and Losses](index=134&type=section&id=%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E6%98%8E%E7%BB%86%E8%A1%A8) Presents a detailed breakdown of non-recurring gains and losses for the reporting period Detailed Statement of Non-recurring Gains and Losses (Jan-Jun 2025) | Item | Amount (RMB) | | :--- | :--- | | Disposal gains and losses of non-current assets | -98,030.82 | | Government grants included in current profit or loss (excluding those closely related to the company's normal business operations, in line with national policies, and continuously enjoyed according to certain standards) | 670,639.31 | | Other non-operating income and expenses | -25,116.38 | | Less: Income tax impact | 80,695.95 | | Minority interest impact (after tax) | -4.08 | | **Total** | **466,800.24** | [Return on Net Assets and Earnings Per Share](index=134&type=section&id=%E5%87%80%E8%B5%84%E4%BA%A7%E6%94%B6%E7%9B%8A%E7%8E%87%E5%8F%8A%E6%AF%8F%E8%82%A1%E6%94%B6%E7%8E%87) Provides key profitability metrics including weighted average return on net assets and basic and diluted earnings per share Return on Net Assets and Earnings Per Share (Jan-Jun 2025) | Profit for the Reporting Period | Weighted Average Return on Net Assets (%) | Basic Earnings Per Share (RMB/share) | Diluted Earnings Per Share (RMB/share) | | :--- | :--- | :--- | :--- | | Net Profit Attributable to Common Shareholders of the Company | 2.16 | 0.0701 | 0.0701 | | Net Profit Attributable to Common Shareholders of the Company Excluding Non-recurring Gains and Losses | 2.05 | 0.0666 | 0.0666 |

1 / 188 基蛋生物科技股份有限公司2025 年半年度报告 重要提示 一、 本公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的真实性、准确 性、完整性，不存在虚假记载、误导性陈述或重大遗漏，并承担个别和连带的法律责任。 基蛋生物科技股份有限公司2025 年半年度报告 公司代码：603387 公司简称：基蛋生物 基蛋生物科技股份有限公司 2025 年半年度报告 二、 公司全体董事出席董事会会议。 三、 本半年度报告未经审计。 四、 公司负责人苏恩本、主管会计工作负责人倪文及会计机构负责人（会计主管人员）倪文声 明：保证半年度报告中财务报告的真实、准确、完整。 五、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 公司董事会提议拟以实施权益分派股权登记日总股本数为基数（具体日期将在权益分派实施 公告中明确，在实施权益分派的股权登记日前公司总股本发生变动的，拟维持分配总额不变，相 应调整每股分配比例），向全体股东每 10 股派发人民币 0.9 元（含税），以第四届董事会第七次会 议召开日的前一个交易日（即 2025 年 8 月 28 日）总股本 507,153,517 股进行计算，本次 ...

元成环境股份有限公司2025 年半年度报告 公司代码：603388 公司简称：*ST 元成 元成环境股份有限公司 2025 年半年度报告 1 / 193 元成环境股份有限公司2025 年半年度报告 重要提示 一、 本公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的真实性、准确性、 完整性，不存在虚假记载、误导性陈述或重大遗漏，并承担个别和连带的法律责任。 二、 公司全体董事出席董事会会议。 三、 本半年度报告未经审计。 四、 公司负责人祝昌人、主管会计工作负责人张彤及会计机构负责人（会计主管人员）程俊声明： 保证半年度报告中财务报告的真实、准确、完整。 五、 董事会决议通过的本报告期利润分配预案或公积金转增股本预案 不适用 六、 前瞻性陈述的风险声明 √适用 □不适用 本报告所涉及的公司未来发展规划、战略目标等前瞻性陈述，不构成公司对投资者的实质性承诺，请 投资者注意投资风险。 七、 是否存在被控股股东及其他关联方非经营性占用资金情况 否 八、 是否存在违反规定决策程序对外提供担保的情况 否 九、 是否存在半数以上董事无法保证公司所披露半年度报告的真实性、准确性和完整性 否 十、 重大风险提示 ...

美年大健康产业控股股份有限公司 2025 年半年度报告全文 美年大健康产业控股股份有限公司 2025 年半年度报告 2025 年 08 月 1 美年大健康产业控股股份有限公司 2025 年半年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容 的真实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担 个别和连带的法律责任。 公司负责人俞熔、主管会计工作负责人侯灵昌及会计机构负责人（会计 主管人员）侯灵昌声明：保证本半年度报告中财务报告的真实、准确、完整。 所有董事均已出席了审议本次半年报的董事会会议。 本半年度报告涉及的未来计划等前瞻性陈述不构成公司对投资者的实质 承诺，投资者及相关人士均应当对此保持足够的风险认识，并且应当理解计 划、预测与承诺之间的差异。 公司不存在经营状况、财务状况和持续盈利能力方面有严重不利影响的 风险因素。有关公司可能面临的风险及公司应对措施等详见本报告"第三节 管理层讨论与分析"中"十、公司面临的风险和应对措施"，敬请投资者认真阅 读并注意投资风险。 公司计划不派发现金红利，不送红股，不以公积金转增股本。 2 | 目录 ...

Important Notices, Table of Contents, and Definitions [Important Notices](index=2&type=section&id=%E9%87%8D%E8%A6%81%E6%8F%90%E7%A4%BA) The company's management guarantees the truthfulness and accuracy of the semi-annual report and plans no profit distribution for the period - The Board of Directors, Supervisory Committee, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, and bear individual and joint legal responsibility[3](index=3&type=chunk) - The company plans **not to distribute cash dividends, issue bonus shares, or convert capital reserves into share capital**[4](index=4&type=chunk) [Table of Contents](index=3&type=section&id=%E7%9B%AE%E5%BD%95) The report is structured into eight main sections covering key corporate and financial information Report Chapters | Section | Page Number | | :--- | :--- | | Section I Important Notices, Table of Contents, and Definitions | 2 | | Section II Company Profile and Key Financial Indicators | 6 | | Section III Management Discussion and Analysis | 9 | | Section IV Corporate Governance, Environment, and Society | 21 | | Section V Significant Events | 27 | | Section VI Changes in Share Capital and Shareholders | 38 | | Section VII Bond-related Matters | 43 | | Section VIII Financial Report | 44 | [List of Documents for Inspection](index=4&type=section&id=%E5%A4%87%E6%9F%A5%E6%96%87%E4%BB%B6%E7%9B%AE%E5%BD%95) Available documents for inspection include signed financial statements and the semi-annual report text - Documents available for inspection include financial statements signed by company officials, the semi-annual report text signed by the legal representative, and originals of all documents publicly disclosed during the reporting period[8](index=8&type=chunk) [Definitions](index=5&type=section&id=%E9%87%8A%E4%B9%89) This section defines key terms used throughout the report, including company entities and reporting periods Key Definitions | Term | Refers to | Definition | | :--- | :--- | :--- | | The Company, Chenming Group, Chenming Paper | Refers to | Shandong Chenming Paper Holdings Limited and its subsidiaries | | Parent Company, Shouguang Headquarters | Refers to | Shandong Chenming Paper Holdings Limited | | Chenming Holdings | Refers to | Chenming Holdings Limited | | SZSE | Refers to | Shenzhen Stock Exchange | | HKEX | Refers to | The Stock Exchange of Hong Kong Limited | | CSRC | Refers to | China Securities Regulatory Commission | | Shandong Securities Regulatory Bureau | Refers to | China Securities Regulatory Commission Shandong Regulatory Bureau | | Zhanjiang Chenming | Refers to | Zhanjiang Chenming Pulp & Paper Co, Ltd | | Jiangxi Chenming | Refers to | Jiangxi Chenming Paper Co, Ltd | | Huanggang Chenming | Refers to | Huanggang Chenming Pulp & Paper Co, Ltd | | Hong Kong Chenming | Refers to | Chenming (Hong Kong) Limited | | Jilin Chenming | Refers to | Jilin Chenming Paper Co, Ltd | | Shouguang Meilun | Refers to | Shouguang Meilun Paper Co, Ltd | | Jiangxi Port | Refers to | Jiangxi Chenming Port Co, Ltd | | Chenming Leasing | Refers to | Shandong Chenming Financial Leasing Co, Ltd and its subsidiaries | | Reporting Period | Refers to | January 1, 2025 to June 30, 2025 | | Beginning of the Year/Period | Refers to | January 1, 2025 | | End of the Half-Year/Period | Refers to | June 30, 2025 | Company Profile and Key Financial Indicators [Company Profile](index=6&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E7%AE%80%E4%BB%8B) The company is listed on both the Shenzhen and Hong Kong stock exchanges, with no changes to its contact or registration details during the period Company Basic Information | Stock Name | ST Chenming | Stock Code | 000488 | | :--- | :--- | :--- | :--- | | | ST Chenming B | | 200488 | | Stock Exchange | Shenzhen Stock Exchange | | | | Stock Name | Chenming Paper | Stock Code | 01812 | | Stock Exchange | The Stock Exchange of Hong Kong Limited | | | | Company Name (Chinese) | 山东晨鸣纸业集团股份有限公司 | | | | Company Abbreviation (Chinese) | 晨鸣纸业 | | | | Company Name (English) | SHANDONG CHENMING PAPER HOLDINGS LIMITED | | | | Company Abbreviation (English) | SCPH | | | | Legal Representative | Hu Changqing | | | - The company's registered address, office address, postal code, website, and email address remained unchanged during the reporting period, as detailed in the 2024 annual report[14](index=14&type=chunk) [Contact Persons and Methods](index=6&type=section&id=%E4%BA%8C%E3%80%81%E8%81%94%E7%B3%BB%E4%BA%BA%E5%92%8C%E8%81%94%E7%B3%BB%E6%96%B9%E5%BC%8F) Contact information for the Board Secretary, Securities Affairs Representative, and Hong Kong Company Secretary is provided for investor communication Company Contact Information | | Board Secretary | Securities Affairs Representative | | Hong Kong Company Secretary | | :--- | :--- | :--- | :--- | :--- | | Name | Yuan Xikun | Zhang Chuanyong | Chen Lin | Zhu Hanliang | | Email | chenmmingpaper@163.com | friend537@163.com | ZQCL0536@163.com | liamchu@li-partners.com | | Address | 2199 Nongsheng East Street, Shouguang, Shandong | 2199 Nongsheng East Street, Shouguang, Shandong | | 22/F, World-Wide House, Central, Hong Kong | | Phone | 0536-2158008 | 0536-2158008 | | 00852-21629600 | | Fax | 0536-2158977 | 0536-2158977 | | 00852-25010028 | [Key Accounting Data and Financial Indicators](index=7&type=section&id=%E5%9B%9B%E3%80%81%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) The company's revenue and net profit declined sharply, with a net loss attributable to shareholders of 3.86 billion yuan, a year-on-year decrease of 13,567.59% Key Accounting Data and Financial Indicators (Current Period vs Prior Year Period/End) | Indicator | Current Period/End | Prior Year Period/End | Change | | :--- | :--- | :--- | :--- | | Operating Revenue (Yuan) | 2,106,630,952.30 | 13,884,731,519.04 | -84.83% | | Net Profit Attributable to Shareholders (Yuan) | -3,857,953,190.56 | 28,646,205.42 | -13,567.59% | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) (Yuan) | -3,645,363,615.81 | -270,865,043.51 | -1,245.82% | | Net Cash Flow from Operating Activities (Yuan) | 785,303,274.19 | 1,992,499,393.07 | -60.59% | | Basic Earnings Per Share (Yuan/Share) | -1.31 | 0.01 | -13,200.00% | | Diluted Earnings Per Share (Yuan/Share) | -1.31 | 0.01 | -13,200.00% | | Weighted Average Return on Equity | -53.39% | 0.17% | Decreased by 53.56 percentage points | | Total Assets (Yuan) | 54,698,875,991.74 | 63,509,295,142.08 | -13.87% | | Net Assets Attributable to Shareholders (Yuan) | 5,318,763,216.33 | 9,156,104,358.91 | -41.91% | [Non-recurring Profit and Loss Items and Amounts](index=7&type=section&id=%E5%85%AD%E3%80%81%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E9%A1%B9%E7%9B%AE%E5%8F%8A%E9%87%91%E9%A2%9D) Non-recurring losses totaled -212.59 million yuan, mainly driven by asset disposals, fair value changes of biological assets, and debt restructuring Non-recurring Profit and Loss Items and Amounts | Item | Amount (Yuan) | Notes | | :--- | :--- | :--- | | Gains/Losses on Disposal of Non-current Assets (including write-offs of asset impairment provisions) | -97,049,878.76 | | | Government Grants Recognized in Current Profit/Loss (excluding grants closely related to normal business operations) | 25,503,367.73 | | | Fair Value Gains/Losses from Financial Assets/Liabilities held by non-financial enterprises, and gains/losses from their disposal | 8,439,571.88 | | | Reversal of Impairment Provisions for Individually Tested Receivables | 13,201,496.76 | | | Gains/Losses on Debt Restructuring | -37,171,293.24 | | | Gains/Losses from Fair Value Changes of Consumable Biological Assets Measured at Fair Value | -129,059,190.34 | | | Other Non-operating Income and Expenses | -18,188,031.78 | | | Less: Income Tax Effect | 2,948,680.16 | | | Minority Interest Effect (After Tax) | -24,683,063.16 | | | Total | -212,589,574.75 | | - Other income of 24,301,996.32 yuan from asset-related government grants closely tied to normal business operations is treated as recurring profit and loss[22](index=22&type=chunk) Management Discussion and Analysis [Principal Business Activities During the Reporting Period](index=9&type=section&id=%E4%B8%80%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%85%AC%E5%8F%B8%E4%BB%8E%E4%BA%8B%E7%9A%84%E4%B8%BB%E8%A6%81%E4%B8%9A%E5%8A%A1) The company's core business is pulp and paper manufacturing, but production halts for maintenance led to a significant revenue decline and a net loss of 3.86 billion yuan - The company is a large modern enterprise group focused on pulp and paper manufacturing, implementing a pulp-paper integration strategy with production bases across China[27](index=27&type=chunk) - During the reporting period, **production lines at the Zhanjiang, Jilin, and Shouguang bases were shut down for maintenance**, leading to a decline in production, sales, revenue, and profit[28](index=28&type=chunk) - From January to June 2025, the company achieved **operating revenue of 2.11 billion yuan** and a **net loss attributable to shareholders of 3.86 billion yuan**[28](index=28&type=chunk) Industry Overview The paper industry faced oversupply and weak demand in H1 2025, causing price drops and a 21.4% decline in total industry profit - In H1 2025, new capacity in China's paper industry led to increased supply and a structural imbalance, causing **significant price drops for cultural paper and white cardboard**[25](index=25&type=chunk) - From January to June 2025, the paper and paper products industry's **operating revenue decreased by 2.3% YoY** to 681.21 billion yuan, while **total profit fell by 21.4% YoY** to 17.57 billion yuan[25](index=25&type=chunk) - In the medium to long term, driven by "dual carbon" strategies and "anti-involution" policies, the paper industry's prosperity is expected to improve[26](index=26&type=chunk) Main Products and Their Uses The company offers a diverse product portfolio across seven major series, supported by leading R&D platforms - The company emphasizes R&D through leading innovation platforms, including a National Enterprise Technology Center and a Post-doctoral Research Workstation[29](index=29&type=chunk) Company's Main Paper Products and Uses | Category | Main Brands and Varieties | Application | | :--- | :--- | :--- | | Cultural Paper Series | "Biyuntian", "Yunjing" offset paper, lightweight paper, blueprint paper | Printing books, textbooks, magazines, notebooks, exam papers | | Coated Paper Series | "Xuesha", "Xueying" single/double-sided coated paper, matte coated paper | High-end albums, magazines, calendars, posters, cigarette labels, packaging | | White Cardboard Series | "Liya" series white card, food card, coated kraft, playing card stock | High-end gift boxes, cosmetic boxes, hang tags, handbags, promotional materials | | Copy Paper Series | "Jinmingyang", "Jinchenming" copy paper | Printing, copying, business documents, training materials | | Industrial Paper Series | High-grade/standard release liner base paper, PE-coated base paper | Base for release paper, self-adhesive label face stock, playing card composite | | Specialty Paper Series | Thermal paper, glassine paper | Labels for electronics, medicine, food, supermarkets; double-sided tape base | | Tissue Paper Series | Toilet paper, facial tissue, paper towels, napkins, "Xingzhilian" | Daily hygiene, restaurants, hotels, offices, and household use | [Analysis of Liquidity, Financial Resources, and Capital Structure under HKEX Listing Rules](index=10&type=section&id=%E4%BA%8C%E3%80%81%E6%8C%89%E9%A6%99%E6%B8%AF%E8%81%94%E4%BA%A4%E6%89%80%E4%B8%8A%E5%B8%82%E8%A7%84%E5%88%99%E6%8A%AB%E9%9C%B2%E7%9A%84%E8%B5%84%E9%87%91%E6%B5%81%E5%8A%A8%E6%80%A7%E5%8F%8A%E8%B4%A2%E6%94%BF%E8%B5%84%E6%BA%90%E3%80%81%E8%B5%84%E6%9C%AC%E7%BB%93%E6%9E%84%E5%88%86%E6%9E%90) As of June 30, 2025, the company's liquidity and solvency were constrained, with an asset-liability ratio of 85.93% and total bank borrowings of 29.10 billion yuan Liquidity and Financial Resources as of June 30, 2025 | Indicator | Amount/Ratio | | :--- | :--- | | Current Ratio | 23.72% | | Quick Ratio | 17.34% | | Asset-Liability Ratio | 85.93% | | Total Bank Borrowings | 29.103 billion yuan | | Cash and Cash Equivalents | 954 million yuan | | Number of Employees | 9,095 | | Total Employee Salaries in H1 | 432.10 million yuan | - The Group's **liquidity and solvency were constrained** due to production halts at some bases[31](index=31&type=chunk) - A **syndicated loan of 2.31 billion yuan** for resuming production has been approved, and the company will gradually restart operations based on funding and market conditions[31](index=31&type=chunk) [Core Competitiveness Analysis](index=11&type=section&id=%E4%B8%89%E3%80%81%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B%E5%88%86%E6%9E%90) The company's core strengths lie in its pulp-paper integration strategy, scale, diverse product range, and advanced technology - The company adheres to a **pulp-paper integration strategy** and is the first in China to achieve a balance between wood pulp self-sufficiency and paper production capacity[32](index=32&type=chunk) - The company has the **most diverse product portfolio** in the domestic paper industry, covering cultural paper, white cardboard, coated paper, and more[34](index=34&type=chunk) - The company possesses national-level R&D institutions, including a **National Enterprise Technology Center** and a Post-doctoral Research Workstation[37](index=37&type=chunk) - With a cumulative **environmental investment of over 8 billion yuan**, the company's environmental protection indicators are at the forefront nationally and globally[39](index=39&type=chunk) [Analysis of Principal Business](index=12&type=section&id=%E5%9B%9B%E3%80%81%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) Operating revenue plummeted by 84.83% due to reduced paper sales from production halts, leading to a significant shift in revenue composition and a substantial loss Year-on-Year Changes in Key Financial Data | Indicator | Current Period (Yuan) | Prior Year Period (Yuan) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 2,106,630,952.30 | 13,884,731,519.04 | -84.83% | Reduced paper sales due to production halts | | Operating Costs | 3,727,203,720.24 | 12,185,505,709.00 | -69.41% | Reduced paper sales due to production halts | | R&D Expenses | 36,567,185.69 | 611,914,096.41 | -94.02% | Reduced R&D investment due to production halts | | Investment Income | -430,669,782.44 | 181,332,096.11 | -337.50% | Decrease in investment income from associates and equity disposals | | Fair Value Change Gains | -129,487,561.79 | -2,221,596.44 | -5,728.58% | Increased losses from fair value changes in forest assets | | Credit Impairment Losses | -506,322,424.22 | -124,386,619.66 | 307.06% | Increased bad debt provisions for receivables | | Asset Impairment Losses | -240,561,409.32 | -3,041,427.75 | 7,809.49% | Increased impairment provisions for equipment | | Net Cash Flow from Operating Activities | 785,303,274.19 | 1,992,499,393.07 | -60.59% | Decreased sales revenue due to lower sales volume | Operating Revenue Composition (by Industry, Product, Region) | Item | Current Period Amount (Yuan) | % of Revenue | Prior Year Period Amount (Yuan) | % of Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | **By Industry** | | | | | | | Machine-made Paper | 1,121,420,145.71 | 53.23% | 12,429,565,296.10 | 89.52% | -90.98% | | Chemical Pulp | 740,160,267.96 | 35.13% | 676,203,401.45 | 4.87% | 9.46% | | **By Product** | | | | | | | Coated Paper | 322,730,071.72 | 15.32% | 2,407,591,953.96 | 17.34% | -86.60% | | White Cardboard | 260,654,282.46 | 12.37% | 2,926,439,060.82 | 21.08% | -91.09% | | Offset Paper | 213,202,847.01 | 10.12% | 3,710,036,202.61 | 26.72% | -94.25% | | **By Region** | | | | | | | Mainland China | 2,075,083,434.21 | 98.50% | 11,052,530,679.12 | 79.60% | -81.23% | | Other Countries and Regions | 31,547,518.09 | 1.50% | 2,832,200,839.92 | 20.40% | -98.89% | [Analysis of Non-Principal Business](index=14&type=section&id=%E4%BA%94%E3%80%81%E9%9D%9E%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) Non-principal business activities, including investment losses and impairment charges, had a significant negative impact on total profit Impact of Non-Principal Business on Total Profit | Item | Amount (Yuan) | % of Total Profit | Reason | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Other Income | 22,794,816.03 | -0.55% | Government grants related to daily operations and debt restructuring gains | Partially sustainable (annual amortization of grants) | | Investment Income | -430,669,782.44 | 10.30% | Investment income from external investments and gains from disposal of equity/financial assets | No | | Fair Value Change Gains/Losses | -129,487,561.79 | 3.10% | Fair value fluctuations of Bohai Bank stock and forest assets | No | | Credit Impairment Losses | -506,322,424.22 | 12.11% | Bad debt provisions for receivables | No | | Asset Impairment Losses | -240,561,409.32 | 5.75% | Impairment provisions for non-current assets | No | | Non-operating Expenses | 26,198,489.55 | -0.63% | Expenses not directly related to daily production and operations | No | [Analysis of Assets and Liabilities](index=14&type=section&id=%E5%85%AD%E3%80%81%E8%B5%84%E4%BA%A7%E5%8F%8A%E8%B4%9F%E5%80%BA%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) Total assets and net assets attributable to shareholders decreased significantly, while shifts in liabilities indicate increased liquidity pressure Significant Changes in Asset Composition | Item | End of Period Amount (Yuan) | % of Total Assets | Prior Year-End Amount (Yuan) | % of Total Assets | Change in % | Reason for Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 953,661,496.60 | 1.74% | 5,909,879,812.18 | 9.31% | -7.57% | Decrease in security deposits at period-end | | Accounts Receivable | 930,731,502.52 | 1.70% | 1,384,290,313.70 | 2.18% | -0.48% | Decrease in amounts due from customers | | Long-term Equity Investments | 3,621,265,404.11 | 6.62% | 3,971,035,411.54 | 6.25% | 0.37% | Decrease in investment income from associates | | Other Non-current Financial Assets | 344,266,989.06 | 0.63% | 751,030,454.68 | 1.18% | -0.55% | Consolidation of Weifang Chenchuang Equity Investment Fund | | Notes Payable | 107,370,000.00 | 0.20% | 1,423,918,112.99 | 2.24% | -2.04% | Reclassification of overdue notes to accounts payable and short-term borrowings | | Accounts Payable | 8,426,902,071.31 | 15.41% | 7,708,967,406.47 | 12.14% | 3.27% | Reclassification of overdue commercial bills to accounts payable | | Other Payables | 3,560,628,293.65 | 6.51% | 2,896,409,953.94 | 4.56% | 1.95% | Increase in payables to related parties and accrued expenses | | Non-current Liabilities Due within One Year | 2,534,511,114.58 | 4.63% | 1,577,936,964.14 | 2.48% | 2.15% | Increase in reclassified long-term liabilities due within one year | | Other Current Liabilities | 844,340,067.04 | 1.54% | 2,680,562,600.58 | 4.22% | -2.68% | Reclassification of extended equipment finance leases to long-term payables | | Long-term Payables | 2,544,988,247.10 | 4.65% | 774,965,008.29 | 1.22% | 3.43% | Reclassification of extended equipment finance leases to long-term payables | Restricted Assets as of Period-End | Item | Book Value at Period-End (Yuan) | Restriction Type | Reason for Restriction | | :--- | :--- | :--- | :--- | | Fixed Assets | 19,712,891,634.14 | Mortgage | Collateral for bank loans and long-term payables | | Investment Property | 5,195,027,744.73 | Mortgage | Collateral for bank loans | | Intangible Assets | 1,328,582,983.12 | Mortgage | Collateral for bank loans and long-term payables | | Long-term Equity Investments | 1,649,407,876.62 | Frozen | Frozen due to lawsuits over outstanding payments | | Cash and Cash Equivalents | 875,404,665.38 | Pledge, Frozen | Pledged as deposits for bills, letters of credit, loans, or frozen due to lawsuits | | Inventories | 14,865,436.95 | Court Seizure | Seized due to lawsuits over outstanding payments | | Total | 28,776,180,340.94 | | | [Investment Analysis](index=15&type=section&id=%E4%B8%83%E3%80%81%E6%8A%95%E8%B5%84%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) Investment amount increased by 3,490.27%, driven by major equity investments in an investment fund and two subsidiaries Investment Amount During the Reporting Period | Investment Amount in Reporting Period (Yuan) | Investment Amount in Prior Year Period (Yuan) | Change | | :--- | :--- | :--- | | 646,248,442.80 | 18,000,000.00 | 3,490.27% | Major Equity Investments During the Reporting Period | Investee Company Name | Investment Method | Investment Amount (Yuan) | Shareholding Ratio | Funding Source | Investment Type | Profit/Loss this Period (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Weifang Chenchuang Equity Investment Fund Partnership (LP) | Acquisition | 512,000,000.00 | 99.67% | Own funds | Investment | 626.63 | | Shandong Chenming Paper Sales Co, Ltd | Capital Increase | 98,500,000.00 | 100.00% | Own funds | Trading | -30,348,394.39 | | Shouguang Chenming Art Paper Co, Ltd | Acquisition | 35,748,442.80 | 100.00% | Own funds | Manufacturing | 66,979,940.94 | | Total | -- | 646,248,442.80 | -- | -- | -- | 97,327,708.70 | - The company had no derivative investments during the reporting period[57](index=57&type=chunk) [Disposal of Material Assets and Equity](index=17&type=section&id=%E5%85%AB%E3%80%81%E9%87%8D%E5%A4%A7%E8%B5%84%E4%BA%A7%E5%92%8C%E8%82%A1%E6%9D%83%E5%87%BA%E5%94%AE) The company sold 22 properties for 85.92 million yuan to optimize its asset structure and focus on its main business Disposal of Material Assets | Counterparty | Asset Sold | Date of Sale | Transaction Price (million yuan) | Impact on the Company | Contribution to Net Profit (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Zhejiang Aikesheng Real Estate Co, Ltd | 22 units in Fado Apartment | June 2025 | 85.92 | Aided in resource integration, asset structure optimization, and focusing on core business | 1.56% | - The company had no material equity disposals during the reporting period[60](index=60&type=chunk) [Analysis of Major Subsidiaries and Investees](index=17&type=section&id=%E4%B9%9D%E3%80%81%E4%B8%BB%E8%A6%81%E6%8E%A7%E8%82%A1%E5%8F%82%E8%82%A1%E5%85%AC%E5%8F%B8%E5%88%86%E6%9E%90) Key subsidiaries Zhanjiang Chenming and Shouguang Meilun both reported net losses, while the company's consolidation scope changed through acquisition and disposal Major Subsidiaries and Investees with >10% Impact on Net Profit | Company Name | Type | Main Business | Registered Capital (Yuan) | Total Assets (Yuan) | Net Assets (Yuan) | Operating Revenue (Yuan) | Operating Profit (Yuan) | Net Profit (Yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Zhanjiang Chenming Pulp & Paper Co, Ltd | Subsidiary | Production and sales of offset paper, copy paper, white cardboard | 6,913,572,423.00 | 17,837,776,517.63 | 6,881,696,853.57 | 143,191,538.56 | -956,012,412.30 | -844,270,649.67 | | Shouguang Meilun Paper Co, Ltd | Subsidiary | Production and sales of coated paper, cultural paper, tissue paper, chemical pulp | 4,801,045,519.00 | 13,489,027,547.87 | 7,053,307,921.36 | 805,084,480.98 | -836,167,663.19 | -677,427,573.67 | Acquisition and Disposal of Subsidiaries During the Reporting Period | Company Name | Method of Acquisition/Disposal | Impact on Overall Production and Performance | | :--- | :--- | :--- | | Chenming International Trade Co, Ltd | Newly established | None | | Shouguang Weiyuan Logistics Co, Ltd | Disposal | Increased net profit by 0.1664 million yuan | | Weifang Chenchuang Equity Investment Fund Partnership (LP) | Acquisition | Increased net profit by 0.0006 million yuan | [Risks and Countermeasures](index=18&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E9%9D%A2%E4%B8%B4%E7%9A%84%E9%A3%8E%E9%99%A9%E5%92%8C%E5%BA%94%E5%AF%B9%E6%8E%AA%E6%96%BD) The company faces risks from economic policies, competition, and liquidity, which it addresses through structural optimization, cost control, and debt restructuring - The company faces risks including **macroeconomic policy changes, environmental regulations, raw material price volatility, market competition, liquidity constraints, and financial leasing business risks**[63](index=63&type=chunk)[64](index=64&type=chunk)[65](index=65&type=chunk)[66](index=66&type=chunk) - To mitigate macroeconomic risks, the company will focus on its core pulp and paper business, adhere to an innovation-driven strategy, and optimize its industrial structure and regional layout[63](index=63&type=chunk) - To address liquidity risks, the company is **actively disposing of non-core assets**, intensifying debt collection, communicating with financial institutions to restructure debt, and seeking extensions and interest rate reductions[66](index=66&type=chunk) [Development and Implementation of Market Value Management System and Valuation Enhancement Plan](index=19&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E5%B8%82%E5%80%BC%E7%AE%A1%E7%90%86%E5%88%B6%E5%BA%A6%E5%92%8C%E4%BC%B0%E5%80%BC%E6%8F%90%E5%8D%87%E8%AE%A1%E5%88%92%E7%9A%84%E5%88%B6%E5%AE%9A%E8%90%BD%E5%AE%9E%E6%83%85%E5%86%B5) The company has established a market value management system and a valuation enhancement plan to improve its investment value and shareholder returns - The company has formulated the "Shandong Chenming Paper Holdings Limited Market Value Management System" in accordance with relevant laws and regulations, approved by the Board of Directors on March 31, 2025[68](index=68&type=chunk) - The company's "Valuation Enhancement Plan," approved on March 31, 2025, includes measures for **financial optimization, business optimization, market and brand building, and strategic investment and cooperation**[68](index=68&type=chunk)[69](index=69&type=chunk)[70](index=70&type=chunk)[71](index=71&type=chunk) Corporate Governance, Environment, and Society [Changes in Directors, Supervisors, and Senior Management](index=21&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E3%80%81%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) There were no changes to the company's directors, supervisors, or senior management during the reporting period - There were no changes to the company's directors, supervisors, and senior management during the reporting period; for details, please refer to the 2024 annual report[74](index=74&type=chunk) [Profit Distribution and Capitalization of Capital Reserve for the Reporting Period](index=21&type=section&id=%E4%BA%8C%E3%80%81%E6%9C%AC%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E5%8F%8A%E8%B5%84%E6%9C%AC%E5%85%AC%E7%A7%AF%E9%87%91%E8%BD%AC%E5%A2%9E%E8%82%A1%E6%9C%AC%E6%83%85%E5%86%B5) The company does not plan to distribute profits or capitalize capital reserves for the semi-annual period - The company plans not to distribute cash dividends, issue bonus shares, or convert capital reserves into share capital for the semi-annual period[75](index=75&type=chunk) [Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=21&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E6%9D%83%E6%BF%80%E5%8A%B1%E8%AE%A1%E5%88%92%E3%80%81%E5%91%98%E5%B7%A5%E6%8C%81%E8%82%A1%E8%AE%A1%E5%88%92%E6%88%96%E5%85%B6%E4%BB%96%E5%91%98%E5%B7%A5%E6%BF%00%E5%8A%B1%E6%8E%AA%E6%96%BD%E7%9A%84%E5%AE%9E%E6%96%BD%E6%83%85%E5%86%B5) The company completed the buy-back and cancellation for its 2020 A-share restricted stock incentive plan, though some shares remain outstanding due to judicial freezes - The company's 2020 A-share restricted stock incentive plan involved **111 participants** and granted **79.60 million A-share restricted stocks** at a price of 2.85 yuan per share[78](index=78&type=chunk) - In November 2024, the company paid the buy-back consideration for the unvested restricted stocks of the third vesting period and proceeded with the share buy-back and cancellation procedures[93](index=93&type=chunk) - As of the end of this reporting period, **6,900,000 A-share restricted stocks** held by 2 departed incentive participants have not been cancelled due to judicial freezes[93](index=93&type=chunk) [Environmental Information Disclosure](index=24&type=section&id=%E5%9B%9B%E3%80%81%E7%8E%AF%E5%A2%83%E4%BF%A1%E6%81%AF%E6%8A%AB%E9%9C%B2%E6%83%85%E5%86%B5) The company and seven of its major subsidiaries are listed for mandatory environmental information disclosure and have published their reports accordingly - The listed company and its major subsidiaries are included in the list of enterprises for mandatory environmental information disclosure: Yes[94](index=94&type=chunk) Enterprises Listed for Mandatory Environmental Information Disclosure | No | Enterprise Name | Index for Environmental Information Disclosure Report | | :--- | :--- | :--- | | 1 | Shandong Chenming Paper Holdings Limited | Enterprise Environmental Information Disclosure System (Shandong) | | 2 | Shouguang Meilun Paper Co, Ltd | Enterprise Environmental Information Disclosure System (Shandong) | | 3 | Shouguang Chenming Art Paper Co, Ltd | Enterprise Environmental Information Disclosure System (Shandong) | | 4 | Zhanjiang Chenming Pulp & Paper Co, Ltd | Enterprise Environmental Information Disclosure System (Guangdong) | | 5 | Huanggang Chenming Pulp & Paper Co, Ltd | Enterprise Environmental Information Disclosure System (Hubei) | | 6 | Jiangxi Chenming Paper Co, Ltd | Enterprise Environmental Information Disclosure System (Jiangxi) | | 7 | Jilin Chenming Paper Co, Ltd | Enterprise Environmental Information Disclosure System (Jilin) | [Social Responsibility](index=24&type=section&id=%E4%BA%94%E3%80%81%E7%A4%BE%E4%BC%9A%E8%B4%A3%E4%BB%BB%E6%83%85%E5%86%B5) The company fulfills its social responsibilities by optimizing corporate governance, protecting stakeholder interests, and adhering to green development principles - The company continuously optimizes its corporate governance structure, strengthens its internal control system, and strictly implements insider information management to ensure truthful, accurate, and timely information disclosure[96](index=96&type=chunk) - The company strictly complies with labor laws, upholds a people-centric employment philosophy, and focuses on employee well-being and development[96](index=96&type=chunk) - The company practices the philosophy that "lucid waters and lush mountains are invaluable assets" and is committed to a high-quality development path that is eco-friendly and low-carbon[97](index=97&type=chunk) [Disclosures under the Hong Kong Stock Exchange Listing Rules](index=25&type=section&id=%E5%85%AD%E3%80%81%E6%A0%B9%E6%8D%AE%E9%A6%99%E6%B8%AF%E8%81%94%E5%90%88%E4%BA%A4%E6%98%93%E6%89%80%E6%9C%89%E9%99%90%E5%85%AC%E5%8F%B8%E5%85%AC%E5%B8%83%E7%9A%84%E9%A6%99%E6%B8%AF%E4%B8%8A%E5%B8%82%E8%A7%84%E5%88%99%E6%8A%AB%E9%9C%B2) The company complied with the Corporate Governance Code, with the exception of a delayed board re-election due to pending work on governance updates - The company complied with the principles and code provisions of the Corporate Governance Code in Appendix C1 of the HKEX Listing Rules, except that the term of the tenth Board of Directors and Supervisory Committee, which expired on June 15, 2025, has been extended as the re-election process is not yet complete[98](index=98&type=chunk) - The company's directors have confirmed compliance with the Model Code for Securities Transactions by Directors of Listed Issuers in Appendix C3 of the HKEX Listing Rules, and the company is not aware of any non-compliance by its directors during the reporting period[99](index=99&type=chunk) Significant Events [Commitments](index=27&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E3%80%81%E8%82%A1%E4%B8%9C%E3%80%81%E5%85%B3%E8%81%94%E6%96%B9%E3%80%81%E6%94%B6%E8%B4%AD%E4%BA%BA%E4%BB%A5%E5%8F%8A%E5%85%AC%E5%8F%B8%E7%AD%89%E6%89%BF%E8%AF%BA%E7%9B%B8%E5%85%B3%E6%96%B9%E5%9C%A8%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%B1%A5%E8%A1%8C%E5%AE%8C%E6%AF%95%E5%8F%8A%E6%88%AA%E8%87%B3%E6%8A%A5%E5%91%8A%E6%9C%9F%E6%9C%AB%E8%B6%85%E6%9C%9F%E6%9C%AA%E5%B1%A5%E8%A1%8C%E5%AE%8C%E6%AF%95%E7%9A%84%E6%89%BF%E8%AF%BA%E4%BA%8B%E9%A1%B9) There were no commitments from the company's controlling shareholders or other related parties that were fulfilled or overdue during the reporting period - The company reports no fulfilled or overdue commitments from its de facto controller, shareholders, related parties, acquirers, or the company itself during the reporting period[101](index=101&type=chunk) [Non-operating Fund Occupation](index=27&type=section&id=%E4%BA%8C%E3%80%81%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%B3%E8%81%94%E6%96%B9%E5%AF%B9%E4%B8%8A%E5%B8%82%E5%85%AC%E5%8F%B8%E7%9A%84%E9%9D%9E%E7%BB%8F%E8%90%A5%E6%80%A7%E5%8D%A0%E7%94%A8%E8%B5%84%E9%87%91%E6%83%85%E5%86%B5) There was no non-operating occupation of the company's funds by its controlling shareholder or other related parties - The company reports no non-operating occupation of its funds by the controlling shareholder or other related parties during the reporting period[102](index=102&type=chunk) [Irregular External Guarantees](index=27&type=section&id=%E4%B8%89%E3%80%81%E8%BF%9D%E8%A7%84%E5%AF%B9%E5%A4%96%E6%8B%85%E4%BF%9D%E6%83%85%E5%86%B5) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[103](index=103&type=chunk) [Appointment and Dismissal of Accounting Firm](index=27&type=section&id=%E5%9B%9B%E3%80%81%E8%81%98%E4%BB%BB%E3%80%81%E8%A7%A3%E8%81%98%E4%BC%9A%E8%AE%A1%E5%B8%88%E4%BA%8B%E5%8A%A1%E6%89%80%E6%83%85%E5%86%B5) The company's semi-annual financial report has not been audited - The company's semi-annual report has not been audited[104](index=104&type=chunk) [Board's Explanation on Prior Year's "Non-standard Audit Report"](index=27&type=section&id=%E5%85%AD%E3%80%81%E8%91%A3%E4%BA%8B%E4%BC%9A%E5%AF%B9%E4%B8%8A%E5%B9%B4%E5%BA%A6%E2%80%9C%E9%9D%9E%E6%A0%87%E5%87%86%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A%E2%80%9D%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5%E7%9A%84%E8%AF%B4%E6%98%8E) The Board is actively addressing the issues raised in the 2024 qualified audit opinion by resuming production, securing loans, and restructuring debt - Grant Thornton China issued a qualified audit opinion on the company's 2024 financial report, for which the Board of Directors has provided a special explanation[105](index=105&type=chunk) - The company is actively working to **resume production, secure syndicated loan disbursements, restructure debt, attract strategic investors, and dispose of assets** to improve its going concern ability[106](index=106&type=chunk) - As of the period-end, production lines at the Huanggang, Jiangxi, and Shouguang bases are operational, and a **2.31 billion yuan syndicated loan** for resuming production has been approved[106](index=106&type=chunk) [Bankruptcy and Reorganization Matters](index=28&type=section&id=%E4%B8%83%E3%80%81%E7%A0%B4%E4%BA%A7%E9%87%8D%E6%95%B4%E7%9B%B8%E5%85%B3%E4%BA%8B%E9%A1%B9) The company did not undergo any bankruptcy or reorganization proceedings during the reporting period - The company did not undergo any bankruptcy or reorganization proceedings during the reporting period[108](index=108&type=chunk) [Litigation Matters](index=28&type=section&id=%E5%85%AB%E3%80%81%E8%AF%89%E8%AE%BC%E4%BA%8B%E9%A1%B9) The company is involved in several major lawsuits, with a winding-up petition having been dismissed and total pending cases against the company amounting to 4.98 billion yuan - On June 20, 2025, the company received an order from the High Court of Hong Kong dismissing the petitioner's summons and the winding-up petition[109](index=109&type=chunk) Overview of Other Litigation Matters | Litigation (Arbitration) Status | Amount Involved (million yuan) | Provision for Liabilities | Litigation (Arbitration) Outcome and Impact | | :--- | :--- | :--- | :--- | | Cases with Chenming Leasing as Plaintiff | 464.33 | No | Judgments have favored the company, ordering defendants to repay debts; no material impact on operations is expected | | Cases with the Company and its Subsidiaries as Plaintiffs | 434.06 | No | No material impact on the company's operations and financial condition | | Cases with the Company and its Subsidiaries as Defendants | 7,778.18 | Yes | Cases are being resolved through negotiation, active defense, and settlement with creditors | | Provision for Liabilities | 5.935 | | | [Penalties and Rectifications](index=29&type=section&id=%E4%B9%9D%E3%80%81%E5%A4%84%E7%BD%9A%E5%8F%8A%E6%95%B4%E6%94%B9%E6%83%85%E5%86%B5) The company was not subject to any penalties or rectification orders during the reporting period - The company was not subject to any penalties or rectification orders during the reporting period[110](index=110&type=chunk) [Integrity Status of the Company and its Controlling Shareholders](index=29&type=section&id=%E5%8D%81%E3%80%81%E5%85%AC%E5%8F%B8%E5%8F%8A%E5%85%B6%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E3%80%81%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E7%9A%84%E8%AF%9A%E4%BF%A1%E7%8A%B6%E5%86%B5) The company and its subsidiary Zhanjiang Chenming were listed as discredited judgment debtors for two cases, while the controlling shareholder was not - According to the China Enforcement Information Online portal, the company and its subsidiary Zhanjiang Chenming were listed as discredited judgment debtors in **2 cases** for failing to comply with court orders; the company's controlling shareholder and de facto controller are not listed as discredited judgment debtors[111](index=111&type=chunk) [Material Related-Party Transactions](index=29&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E9%87%8D%E5%A4%A7%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company engaged in routine service procurement with related parties and maintained non-operating debt balances with its associates and controlling shareholder Related-Party Transactions for Goods and Services | Related Party | Transaction Content | Amount this Period (Yuan) | Approved Transaction Limit (million yuan) | | :--- | :--- | :--- | :--- | | Weifang Port Wood Chip Terminal Co, Ltd | Port charges | 2,333,303.83 | 110.00 | Receivables from Related Parties | Related Party | Relationship | Balance at Period-End (million yuan) | | :--- | :--- | :--- | | Shouguang Meite Environmental Protection Technology Co, Ltd | Joint Venture | 11.38 | | Weifang Port Wood Chip Terminal Co, Ltd | Joint Venture | 81.30 | | Wuhan Chenming Hanyang Paper Co, Ltd | Associate | 177.97 | | Total | | 270.65 | Payables to Related Parties | Related Party | Relationship | Balance at Period-End (million yuan) | | :--- | :--- | :--- | | Chenming Holdings Limited | Controlling Shareholder | 36.84 | | Guangdong Nanyue Bank Co, Ltd | Associate | 758.29 | | Total | | 795.13 | [Material Contracts and Their Performance](index=30&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E9%87%8D%E5%A4%A7%E5%90%88%E5%90%8C%E5%8F%8A%E5%85%B6%E5%B1%A5%E8%A1%8C%E6%83%85%E5%86%B5) The company has an ongoing business outsourcing contract, generated leasing income, and provided significant guarantees for its subsidiaries totaling 19.75 billion yuan - Subsidiary Jiangxi Chenming has outsourced the operations of Jiangxi Port to Jiangxi Yirong Investment Co, Ltd for a fixed annual fee of 4 million yuan[121](index=121&type=chunk) - The company's total outstanding guarantees for its subsidiaries amounted to **19.75 billion yuan** as of June 30, 2025, representing **371.42% of the parent company's shareholders' equity**, with overdue guarantees totaling 1.98 billion yuan[127](index=127&type=chunk) Short-term or Low-value Asset Lease Expenses | Item | H1 2025 (Yuan) | | :--- | :--- | | Low-value Leases | 2,220,927.78 | | Total | 2,220,927.78 | Operating Lease Income as Lessor | Item | H1 2025 (Yuan) | | :--- | :--- | | Lease Income | 60,638,854.58 | [Other Significant Events](index=35&type=section&id=%E5%8D%81%E4%B8%89%E3%80%81%E5%85%B6%E4%BB%96%E9%87%8D%E5%A4%A7%E4%BA%8B%E9%A1%B9%E7%9A%84%E8%AF%B4%E6%98%8E) The company faces operational challenges including overdue debts, frozen bank accounts, and production halts, while its board re-election has been postponed - As of the period-end, the company had **cumulative overdue debts of 3.82 billion yuan**, **332 frozen bank accounts** with a total frozen amount of 39.38 million yuan, and some production lines remain under maintenance[135](index=135&type=chunk) - The re-election of the company's tenth Board of Directors and Supervisory Committee has been postponed to ensure operational continuity while the company revises its Articles of Association and related internal systems[137](index=137&type=chunk) [Significant Events of Subsidiaries](index=37&type=section&id=%E5%8D%81%E5%9B%9B%E3%80%81%E5%85%AC%E5%8F%B8%E5%AD%90%E5%85%AC%E5%8F%B8%E9%87%8D%E5%A4%A7%E4%BA%8B%E9%A1%B9) The company received approval to dissolve its finance subsidiary and terminated the construction of the Huanggang Chenming Phase II project to preserve liquidity - On February 12, 2025, Shandong Chenming Group Finance Co, Ltd received approval from the National Financial Regulatory Administration for its dissolution[141](index=141&type=chunk) - The company terminated the construction of the Huanggang Chenming Phase II project to avoid further capital expenditure that could impact liquidity, thereby protecting the interests of the company and its shareholders[142](index=142&type=chunk) Changes in Share Capital and Shareholders [Changes in Share Capital](index=38&type=section&id=%E4%B8%80%E3%80%81%E8%82%A1%E4%BB%BD%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) The number of restricted shares decreased while unrestricted shares increased due to the annual recalculation of transferable shares for senior management - The change in restricted shares was primarily due to the annual recalculation of the transferable quota for directors, supervisors, and senior management, and the release of locked-up shares for some executives who had been departed for over 6 months[145](index=145&type=chunk) Changes in Restricted Shares | Item | Pre-Change Quantity (Shares) | Ratio | Change (+, -) (Shares) | Post-Change Quantity (Shares) | Ratio | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 30,941,154 | 1.05% | -5,562,842 | 25,378,312 | 0.86% | | II. Unrestricted Shares | 2,910,515,046 | 98.95% | 5,562,842 | 2,916,077,888 | 99.14% | | III. Total Shares | 2,941,456,200 | 100.00% | 0 | 2,941,456,200 | 100.00% | [Number of Shareholders and Shareholdings](index=39&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E4%B8%9C%E6%95%B0%E9%87%8F%E5%8F%8A%E6%8C%81%E8%82%A1%E6%83%85%E5%86%B5) The company had 117,668 ordinary shareholders at the period-end, with Chenming Holdings Limited as the largest shareholder holding 15.50% - At the end of the reporting period, the total number of ordinary shareholders was **117,668** (99,783 A-shareholders, 17,568 B-shareholders, and 317 H-shareholders)[148](index=148&type=chunk) - The foreign legal entity shareholder Chenming Holdings (Hong Kong) Limited is a wholly-owned subsidiary of the state-owned legal entity shareholder Chenming Holdings Limited[149](index=149&type=chunk) Shareholdings of Shareholders with >5% or Top 10 Shareholders | Shareholder Name | Shareholder Type | Shareholding Ratio | Shares Held at Period-End | Pledged, Marked, or Frozen Status (Status/Quantity) | | :--- | :--- | :--- | :--- | :--- | | Chenming Holdings Limited | State-owned legal entity | 15.50% | 455,781,319 | Pledged: 386,811,546; Frozen: 409,956,441 | | HKSCC NOMINEES LIMITED | Foreign legal entity | 12.69% | 373,409,775 | N/A: 0 | | Chenming Holdings (Hong Kong) Limited | Foreign legal entity | 12.38% | 364,131,563 | N/A: 0 | | Jin Xing | Domestic individual | 1.27% | 37,385,427 | N/A: 0 | | Chen Hongguo | Domestic individual | 0.65% | 19,080,044 | Frozen: 19,080,044 | [Changes in Shareholdings of Directors, Supervisors, and Senior Management](index=41&type=section&id=%E5%9B%9B%E3%80%81%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E5%92%8C%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E6%8C%81%E8%82%A1%E5%8F%98%E5%8A%A8) There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period; for details, please refer to the 2024 annual report[152](index=152&type=chunk) [Changes in Controlling Shareholder or De Facto Controller](index=41&type=section&id=%E4%BA%94%E3%80%81%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E6%88%96%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E5%8F%98%E6%9B%B4%E6%83%85%E5%86%B5) There were no changes to the company's controlling shareholder or de facto controller during the reporting period - The company's controlling shareholder did not change during the reporting period[153](index=153&type=chunk) - The company's de facto controller did not change during the reporting period[153](index=153&type=chunk) [Interests of Directors, Supervisors, and Chief Executive in Securities under HKEX Listing Rules](index=41&type=section&id=%E4%B8%83%E3%80%81%E6%8C%89%E9%A6%99%E6%B8%AF%E8%81%94%E4%BA%A4%E6%89%80%E4%B8%8A%E5%B8%82%E8%A7%84%E5%88%99%E6%8A%AB%E9%9C%B2%E7%9A%84%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E5%8F%8A%E6%9C%80%E9%AB%98%E8%A1%8C%E6%94%BF%E4%BA%BA%E5%91%98%E4%B9%8B%E8%AF%81%E5%88%B8%E6%9D%83%E7%9B%8A) As of June 30, 2025, several directors and supervisors held A-shares in the company, with no other declarable interests or short positions A-Shares Held by Directors, Supervisors, and Chief Executive | Name | Position | Shares Held at Period-End (A-shares) | % of Total Share Capital | | :--- | :--- | :--- | :--- | | Hu Changqing | Chairman | 792,857 | 0.03% | | Li Xingchun | Executive Director & Vice Chairman | 2,000,000 | 0.07% | | Li Weixian | Executive Director & General Manager | 362,100 | 0.01% | | Li Feng | Executive Director & Deputy General Manager | 1,356,027 | 0.05% | | Li Kang | Chairman of the Supervisory Committee | 149,300 | 0.01% | - Other than as disclosed above, as of June 30, 2025, none of the directors, supervisors, or chief executive had any interests or short positions in the shares, underlying shares, or debentures of the company or its associated corporations that were required to be recorded in the register kept under Section 352 of the SFO[156](index=156&type=chunk) [Interests and Short Positions of Substantial Shareholders in Shares and Underlying Shares under HKEX Listing Rules](index=42&type=section&id=%E5%85%AB%E3%80%81%E6%8C%89%E9%A6%99%E6%B8%AF%E8%81%94%E4%BA%A4%E6%89%80%E4%B8%8A%E5%B8%82%E8%A7%84%E5%88%99%E6%8A%AB%E9%9C%B2%E7%9A%84%E4%B8%BB%E8%A6%81%E8%82%A1%E4%B8%9C%E4%BA%8E%E8%82%A1%E4%BB%BD%E5%8F%8A%E7%9B%B8%E5%85%B3%E8%82%A1%E4%BB%BD%E4%B8%AD%E4%B9%8B%E6%9D%83%E7%9B%8A%E5%8F%8A%E6%B7%A1%E4%BB%93) As of June 30, 2025, Chenming Holdings and its Hong Kong subsidiary were the principal shareholders with declarable interests under the SFO Interests and Short Positions of Substantial Shareholders | Name | Number of Shares Held | Approx. % of Shareholding (Total/Class) | | :--- | :--- | :--- | | Chenming Holdings Limited | 455,781,319 A-shares (L) | 15.50 / 26.70 | | Chenming Holdings (Hong Kong) Limited | 210,717,563 B-shares (L) | 7.16 / 29.83 | | Chenming Holdings (Hong Kong) Limited | 153,414,000 H-shares (L) | 5.22 / 29.04 | - Other than as disclosed above, as of June 30, 2025, no other person had an interest or short position in the shares and underlying shares of the company recorded in the register required to be kept under Section 336 of the SFO[157](index=157&type=chunk) Bond-related Matters [Bond-related Matters](index=43&type=section&id=%E5%80%BA%E5%88%B8%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) The company had no bond-related matters to report for the period - The company had no bond-related matters to report for the period[159](index=159&type=chunk) Financial Report [Audit Report](index=44&type=section&id=%E4%B8%80%E3%80%81%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A) The company's semi-annual financial report has not been audited - The company's semi-annual financial report has not been audited[161](index=161&type=chunk) [Financial Statements](index=44&type=section&id=%E4%BA%8C%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section presents the consolidated and parent company financial statements for the semi-annual period ending June 30, 2025 - This section includes the Consolidated Balance Sheet, Parent Company Balance Sheet, Consolidated Income Statement, Parent Company Income Statement, Consolidated Cash Flow Statement, Parent Company Cash Flow Statement, Consolidated Statement of Changes in Equity, and Parent Company Statement of Changes in Equity[162](index=162&type=chunk)[165](index=165&type=chunk)[169](index=169&type=chunk)[171](index=171&type=chunk)[173](index=173&type=chunk)[175](index=175&type=chunk)[178](index=178&type=chunk)[184](index=184&type=chunk) [Company's Basic Information](index=53&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5) Shandong Chenming Paper is a joint-stock company established in 1993, with shares listed on multiple exchanges and a diverse business portfolio - Shandong Chenming Paper Holdings Limited was established as a joint-stock company in 1993 through the restructuring of the former Shouguang County General Paper Mill[190](index=190&type=chunk) - As of June 30, 2025, the company's total share capital was **2,934.56 million shares**[191](index=191&type=chunk) - The company's main businesses include the production and sale of machine-made paper, power and heat generation, forestry, hotel services, and financial leasing[191](index=191&type=chunk) [Basis of Preparation of Financial Statements](index=54&type=section&id=%E5%9B%9B%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E7%9A%84%E7%BC%96%E5%88%B6%E5%9F%BA%E7%A1%80) The financial statements are prepared in accordance with China's Accounting Standards for Business Enterprises and on a going concern basis - These financial statements are prepared in accordance with the Accounting Standards for Business Enterprises and related guidelines issued by the Ministry of Finance[193](index=193&type=chunk) - The financial statements are presented on a **going concern basis**[193](index=193&type=chunk) - The company has no events or conditions that cast significant doubt on its ability to continue as a going concern for the next 12 months from the reporting date[194](index=194&type=chunk) [Significant Accounting Policies and Estimates](index=54&type=section&id=%E4%BA%94%E3%80%81%E9%87%8D%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%8A%E4%BC%9A%E8%AE%A1%E4%BC%B0%E8%AE%A1) This section details the company's accounting policies for key areas such as financial instruments, revenue recognition, and asset valuation - The financial statements comply with the requirements of the Accounting Standards for Business Enterprises, providing a true and complete view of the company's financial position and performance[197](index=197&type=chunk) - Financial assets are classified into three categories at initial recognition: **amortized cost, fair value through other comprehensive income, and fair value through profit or loss**[213](index=213&type=chunk) - The company accounts for impairment and recognizes loss provisions for financial instruments such as notes receivable, accounts receivable, and other receivables based on an **expected credit loss model**[218](index=218&type=chunk) - Revenue is recognized when control of goods or services is transferred to the customer, primarily from the sale of goods, provision of hotel and property services, and financial leasing services[262](index=262&type=chunk)[263](index=263&type=chunk) [Taxes](index=76&type=section&id=%E5%85%AD%E3%80%81%E7%A8%8E%E9%A1%B9) The company is subject to various taxes, including VAT and corporate income tax, with several subsidiaries enjoying preferential tax rates Main Taxes and Tax Rates | Tax Type | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Taxable value-added amount | 13%/9%/6% | | Property Tax | Based on rent or value | 1.2%/12% | | Urban Maintenance and Construction Tax | Actual turnover tax paid | 7% | | Corporate Income Tax | Taxable income | 25% | - The company and several of its subsidiaries, including Shouguang Meilun and Zhanjiang Chenming, are qualified as high-tech enterprises and enjoy a **preferential corporate income tax rate of 15%**[294](index=294&type=chunk)[295](index=295&type=chunk) - The company's forestry subsidiaries are exempt from corporate income tax in accordance with relevant tax laws[295](index=295&type=chunk) [Notes to Consolidated Financial Statements](index=77&type=section&id=%E4%B8%83%E3%80%81%E5%90%88%E5%B9%B6%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) This section provides detailed breakdowns and explanations for items in the consolidated financial statements, including assets, liabilities, and income statement components - The closing balance of **cash and cash equivalents was 953.66 million yuan**, down from 5.91 billion yuan at the beginning of the period, with a significant portion restricted as deposits or frozen due to litigation[298](index=298&type=chunk)[299](index=299&type=chunk) - The closing balance of **accounts receivable was 930.73 million yuan**, down from 1.38 billion yuan, with a bad debt provision of 69.71 million yuan recognized during the period[308](index=308&type=chunk)[317](index=317&type=chunk) - **Operating revenue for the period was 2.11 billion yuan**, a sharp decrease from 13.88 billion yuan in the prior year period[488](index=488&type=chunk) - **Net profit attributable to parent company shareholders was -3.86 billion yuan**, a significant turnaround from a profit of 28.65 million yuan in the prior year period[170](index=170&type=chunk) [R&D Expenses](index=118&type=section&id=%E5%85%AB%E3%80%81%E7%A0%94%E5%8F%91%E6%94%AF%E5%87%BA) R&D expenditure for the period was 36.57 million yuan, a 94.02% decrease year-on-year, with all expenses being charged to profit or loss Breakdown of R&D Expenses | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Depreciation | 14,930,274.98 | 36,311,580.22 | | Salaries and Surcharges | 10,026,470.26 | 63,586,172.66 | | Material Consumption | 6,530,356.81 | 414,455,113.32 | | Insurance | 2,282,295.78 | 13,601,674.17 | | Water, Steam, and Electricity | 1,770,284.72 | 76,607,858.27 | | Welfare | 469,909.54 | 3,372,176.58 | | Housing Provident Fund | 350,817.26 | 2,265,763.36 | | Other Expenses | 206,776.34 | 1,713,757.83 | | Total | 36,567,185.69 | 611,914,096.41 | | Of which: Expensed R&D | 36,567,185.69 | 611,914,096.41 | [Changes in the Scope of Consolidation](index=119&type=section&id=%E4%B9%9D%E3%80%81%E5%90%88%E5%B9%B6%E8%8C%83%E5%9B%B4%E7%9A%84%E5%8F%98%E6%9B%B4) The scope of consolidation changed with the disposal of one subsidiary and the establishment and acquisition of two new entities Disposal of Subsidiaries | Subsidiary Name | Disposal Price at Loss of Control (Yuan) | Disposal Ratio at Loss of Control | Disposal Method | Date of Loss of Control | | :--- | :--- | :--- | :--- | :--- | | Shouguang Weiyuan Logistics Co, Ltd | 650,000.00 | 100.00% | Transfer | 2025-4-30 | - During the year, one new subsidiary, Chenming International Trade Co, Ltd, was established, and one subsidiary, Weifang Chenchuang Equity Investment Fund Partnership (LP), was acquired[555](index=555&type=chunk) [Interests in Other Entities](index=119&type=section&id=%E5%8D%81%E3%80%81%E5%9C%A8%E5%85%B6%E4%BB%96%E4%B8%BB%E4%BD%93%E4%B8%AD%E7%9A%84%E6%9D%83%E7%9B%8A) The company has interests in 77 subsidiaries, including two significant non-wholly-owned subsidiaries that both incurred losses, as well as several joint ventures and associates - In 2025, the company's consolidated scope included a total of **77 subsidiaries**[192](index=192&type=chunk) - The company holds a 4.46% stake in Guangdong Nanyue Bank Co, Ltd, but as the second-largest shareholder with one board seat, it can exert significant influence[568](index=568&type=chunk) Significant Non-wholly-owned Subsidiaries | Subsidiary Name | Minority Interest Ratio | Profit/Loss Attributable to Minority Interests (Yuan) | Minority Interest Balance at Period-End (Yuan) | | :--- | :--- | :--- | :--- | | Shouguang Meilun Paper Co, Ltd | 13.22% | -142,204,918.84 | 560,742,910.47 | | Zhanjiang Chenming Pulp & Paper Co, Ltd | 19.72% | -166,516,344.51 | 1,237,916,095.04 | [Government Grants](index=125&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E6%94%BF%E5%BA%9C%E8%A1%A5%E5%8A%A9) The company recognized 52.56 million yuan in government grants in the current period, primarily related to environmental protection and infrastructure projects Liability Items Related to Government Grants | Liability Item | Opening Balance (Yuan) | Amount Recognized in Other Income (Yuan) | Closing Balance (Yuan) | Asset/Income Related | | :--- | :--- | :--- | :--- | :--- | | Environmental Protection Fund Grants | 478,415,952.52 | 25,464,041.36 | 452,951,911.16 | Asset-related | | Huanggang Pulp-Paper Integration Project | 420,942,087.45 | 12,513,108.90 | 408,428,978.55 | Asset-related | | Infrastructure and Environmental Projects | 185,285,787.80 | 5,758,794.74 | 179,526,993.06 | Asset-related | | Technical Upgrade Project Grants | 89,417,910.72 | 4,666,552.48 | 84,751,358.24 | Asset-related | | Zhanjiang Pulp-Paper Integration Project | 38,522,698.43 | 2,047,316.46 | 36,475,381.97 | Asset-related | | National Science and Technology Support Program | 629,025.00 | 82,350.00 | 546,675.00 | Asset-related | | Other | 27,726,023.60 | 843,605.04 | 26,882,418.56 | Asset-related | | Total | 1,240,939,485.52 | 51,375,768.98 | 1,189,563,716.54 | | Government Grants Recognized in Current Profit or Loss | Item | Account | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | :--- | | Environmental Protection Fund Grants | Other Income | 25,474,041.36 | 25,239,041.36 | | Huanggang Pulp-Paper Integration Project | Other Income | 12,513,108.90 | 12,513,108.90 | | Infrastructure and Environmental Projects | Other Income | 5,758,794.74 | 5,758,794.72 | | Technical Upgrade Project Grants | Other Income | 4,700,763.02 | 11,626,552.48 | | Zhanjiang Pulp-Paper Integration Project | Other Income | 2,113,105.92 | 2,047,316.46 | | Enterprise Reform and Development Grants | Other Income | 218,000.00 | | | Government Rewards | Other Income | 130,000.00 | 1,910,920.00 | | National Science and Technology Support Program | Other Income | 82,350.00 | 82,350.00 | | Tax Rebates | Other Income | 20,000.00 | 30,124.00 | | Employment Stability Subsidies | Other Income | 2,000.00 | 1,227,050.37 | | Afforestation Subsidies | Other Income | 39,730.53 | 491,960.00 | | Social Security Subsidies | Other Income | | 46,500.00 | | Other | Other Income | 1,504,445.92 | 3,327,666.75 | | Total | | 52,556,340.39 | 64,301,385.04 | [Risks Related to Financial Instruments](index=126&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E4%B8%8E%E9%87%91%E8%9E%8D%E5%B7%A5%E5%85%B7%E7%9B%B8%E5%85%B3%E7%9A%84%E9%A3%8E%E9%99%A9) The company manages its exposure to credit, liquidity, and market risks through diversified investment, credit assessment, and cash flow monitoring - The company's main financial risks are **credit risk, liquidity risk, and market risk** (including currency, interest rate, and commodity price risks)[579](index=579&type=chunk) - The company manages credit risk by portfolio classification, with primary exposure arising from bank deposits, notes receivable, accounts receivable, and other receivables[581](index=581&type=chunk) - As of June 30, 2025, the company's **financial assets due within one year were 12.19 billion yuan**, while its **financial liabilities due within one year were 38.62 billion yuan**, indicating a liquidity gap[583](index=583&type=chunk) - Although major operations are settled in RMB, the company is exposed to foreign exchange risk from its foreign currency-denominated assets, liabilities, and future transactions (mainly in USD, EUR, HKD, and JPY)[588](index=588&type=chunk) [Disclosure of Fair Value](index=131&type=section&id=%E5%8D%81%E4%B8%89%E3%80%81%E5%85%AC%E5%85%81%E4%BB%B7%E5%80%BC%E7%9A%84%E6%8A%AB%E9%9C%B2) The company's assets measured at fair value include financial assets and biological assets, utilizing both Level 1 and Level 3 inputs for valuation Fair Value of Assets and Liabilities at Period-End | Item | Level 1 Fair Value (Yuan) | Level 3 Fair Value (Yuan) | Total (Yuan) | | :--- | :--- | :--- | :--- | | (I) Trading Financial Assets | 36,692,409.73 | | 36,692,409.73 | | (II) Receivables Financing | | 92,166,113.62 | 92,166,113.62 | | (III) Other Non-current Financial Assets | | 344,266,989.06 | 344,266,989.06 | | (IV) Biological Assets | | 1,098,778,602.31 | 1,098,778,602.31 | | Total Assets at Fair Value | 36,692,409.73 | 1,535,211,704.99 | 1,571,904,114.72 | - For trading financial assets in active markets, the company determines their fair value based on quoted market prices[600](index=600&type=chunk) Valuation Techniques and Key Parameters for Level 3 Fair Value | Item | Valuation Technique | Unobservable Inputs | Range (Weighted Average) | | :--- | :--- | :--- | :--- | | Forest Assets | Market Price Back-Calculation | Price per ton of Eucalyptus | 500 Yuan | | | | Price per ton of Loblolly Pine | 520 Yuan | | | | Price per ton of Cunninghamia | 500 Yuan | [Related Parties and Transactions](index=132&type=section&id=%E5%8D%81%E5%9B%9B%E3%80%81%E5%85%B3%E8%81%94%E6%96%B9%E5%8F%8A%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company's ultimate controlling party is the Shouguang State-owned Assets Supervision and Administration Bureau, and it engages in various transactions with its related parties - The ultimate controlling party of the enterprise is the **Shouguang State-owned Assets Supervision and Administration Bureau**[605](index=605&type=chunk) - Related parties with transactions or outstanding balances during the period include joint ventures and associates such as Weifang Port Wood Chip Terminal Co, Ltd and Guangdong Nanyue Bank Co, Ltd[607](index=607&type=chunk) - The company engages in transactions with related parties, including the **purchase and sale of goods, provision of services, leasing, guarantees, and debt financing**[610](index=610&type=chunk)[612](index=612&type=chunk)[614](index=614&type=chunk)[624](index=624&type=chunk)[625](index=625&type=chunk) [Commitments and Contingencies](index=140&type=section&id=%E5%8D%81%E4%BA%94%E3%80%81%E6%89%BF%E8%AF%BA%E5%8F%8A%E6%88%96%E6%9C%89%E4%BA%8B%E9%A1%B9) The company has capital commitments of 294.24 million yuan for long-term asset construction and faces contingent liabilities from pending litigation totaling 3.10 billion yuan Capital Commitments | Contracted but not yet recognized capital commitments | Balance at Period-End (Yuan) | | :--- | :--- | | Commitments for construction of long-term assets | 294,241,260.20 | Contingent Liabilities from Pending Litigation and Arbitration | Plaintiff | Defendant | Cause of Action | Amount at Stake (Yuan) | Case Status | | :--- | :--- | :--- | :--- | :--- | | Guangdong Nanyue Bank | Zhanjiang Chenming, Shandong Chenming Paper | Failure to repay loan | 452,700,000.00 | First-instance judgment rendered, on second-instance appeal | | Guodu Venture Capital | Shandong Chenming Paper | Non-payment of equity transfer consideration | 63,706,000.00 | Awaiting first-instance judgment | | Beijing Chuanfa Investment | Shandong Chenming Paper, Zhanjiang Chenming | Refusal to pay for share repurchase | 405,134,700.00 | In first-instance trial | | Bank of Communications | Zhanjiang Chenming, Shandong Chenming Paper | Failure to repay loan | 394,529,036.28 | In first-instance trial | | China Minsheng Bank | Shandong Chenming Paper Sales, Shandong Chenming Paper | Non-payment of letter of credit advances | 200,005,000.00 | First-instance judgment rendered, on second-instance appeal | | Guangdong Nanyue Bank | Chongmin Culture, Shanxi

[Important Notes, Table of Contents, and Definitions](index=2&type=section&id=Important%20Notes%2C%20Table%20of%20Contents%2C%20and%20Definitions) [Important Notes](index=2&type=section&id=Important%20Notes) The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report content, assuming legal responsibility - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the report content, assuming legal responsibility[4](index=4&type=chunk) - Company head Wang Jiufang, chief accountant Yu Jie, and head of accounting department Zheng Shulin declare the financial report is true, accurate, and complete[4](index=4&type=chunk) - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital[5](index=5&type=chunk) [Table of Contents](index=3&type=section&id=Table%20of%20Contents) This report's clear table of contents lists nine main chapters, covering important notes, company profile, management discussion and analysis, corporate governance, significant matters, share changes, bond information, financial report, and other submitted data, providing comprehensive information navigation for investors - The report's table of contents includes nine main chapters, from important notes to the financial report, with a clear structure[7](index=7&type=chunk) [Definitions](index=4&type=section&id=Definitions) This section defines key terms used in the report, including the CSRC, SZSE, Ningbo Securities Regulatory Bureau, company name, Rong'an Group, reporting period, and the currency unit "yuan," ensuring accurate understanding of the report's content Major Definitions | Term | Definition | | :--- | :--- | | China Securities Regulatory Commission, CSRC | China Securities Regulatory Commission | | Shenzhen Stock Exchange, SZSE | Shenzhen Stock Exchange | | Rong'an Real Estate, Company, the Company | Rong'an Real Estate Co., Ltd. | | Reporting Period | January 1, 2025 to June 30, 2025 | [Company Profile and Key Financial Indicators](index=5&type=section&id=Company%20Profile%20and%20Key%20Financial%20Indicators) [Company Profile](index=5&type=section&id=Company%20Profile) Rong'an Real Estate Co., Ltd., with stock abbreviation "Rong'an Real Estate" and stock code 000517, is listed on the Shenzhen Stock Exchange, and its legal representative is Wang Jiufang Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Rong'an Real Estate | | Stock Code | 000517 | | Listing Exchange | Shenzhen Stock Exchange | | Chinese Name | 荣安地产股份有限公司 | | Legal Representative | Wang Jiufang | [Contact Person and Contact Information](index=5&type=section&id=Contact%20Person%20and%20Contact%20Information) The company's board secretary is Deng Huatang and the securities affairs representative is Zheng Sisi, both located at 18F (A), Rong'an Building, No. 700 Tiantong South Road, Yinzhou District, Ningbo City, Zhejiang Province, with identical phone and fax numbers, and provided email addresses Contact Information | Position | Name | Phone | Email | | :--- | :--- | :--- | :--- | | Board Secretary | Deng Huatang | 0574-87312566 | denghuatang@000517.com | | Securities Affairs Representative | Zheng Sisi | 0574-87312566 | zhengsisi@000517.com | [Other Information](index=5&type=section&id=Other%20Information) During the reporting period, there were no changes in the company's registered address, office address, website, email, or information disclosure and archiving locations, with specific details available in the 2024 annual report - The company's contact information, information disclosure, and archiving locations remained unchanged during the reporting period, consistent with the 2024 annual report[13](index=13&type=chunk)[14](index=14&type=chunk) [Key Accounting Data and Financial Indicators](index=6&type=section&id=Key%20Accounting%20Data%20and%20Financial%20Indicators) During the reporting period, the company's operating revenue and net profit attributable to shareholders of the listed company significantly decreased year-on-year by **71.95%** and **92.14%**, respectively, with net cash flow from operating activities also declining by **30.83%**, total assets decreasing by **24.17%**, but net assets attributable to shareholders slightly increasing by **0.63%** Key Accounting Data and Financial Indicators (Year-on-Year) | Indicator | Current Reporting Period (yuan) | Prior Year Same Period (yuan) | Year-on-year Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 3,895,014,587.17 | 13,884,161,304.65 | -71.95% | | Net Profit Attributable to Shareholders of the Listed Company | 36,450,786.55 | 464,033,165.86 | -92.14% | | Net Profit Attributable to Shareholders of the Listed Company (Excluding Non-recurring Gains and Losses) | 12,009,582.34 | 486,353,459.09 | -97.53% | | Net Cash Flow from Operating Activities | 560,583,084.05 | 810,411,928.87 | -30.83% | | Basic Earnings Per Share (yuan/share) | 0.0114 | 0.1457 | -92.18% | | Diluted Earnings Per Share (yuan/share) | 0.0114 | 0.1457 | -92.18% | | Weighted Average Return on Net Assets | 0.62% | 5.27% | -4.65% | | **Period-end Indicators** | **Current Reporting Period-end (yuan)** | **Prior Year-end (yuan)** | **Change from Prior Year-end** | | Total Assets | 14,414,301,174.99 | 19,008,979,439.71 | -24.17% | | Net Assets Attributable to Shareholders of the Listed Company | 5,854,624,756.00 | 5,818,173,969.45 | 0.63% | [Differences in Accounting Data Under Domestic and Foreign Accounting Standards](index=6&type=section&id=Differences%20in%20Accounting%20Data%20Under%20Domestic%20and%20Foreign%20Accounting%20Standards) During the reporting period, the company had no differences in net profit and net assets disclosed in financial reports prepared under International Accounting Standards or foreign accounting standards compared to Chinese Accounting Standards - The company had no differences in net profit and net assets under domestic and foreign accounting standards during the reporting period[17](index=17&type=chunk)[18](index=18&type=chunk) [Non-recurring Gains and Losses Items and Amounts](index=6&type=section&id=Non-recurring%20Gains%20and%20Losses%20Items%20and%20Amounts) During the reporting period, the company's total non-recurring gains and losses amounted to **24,441,204.21 yuan**, primarily from government grants, fair value changes in financial assets, and reversal of impairment provisions for receivables, positively impacting net profit Non-recurring Gains and Losses Items and Amounts | Item | Amount (yuan) | | :--- | :--- | | Gains or losses from disposal of non-current assets | -218,489.79 | | Government grants recognized in current profit or loss | 5,026,704.43 | | Gains or losses from changes in fair value and disposal of financial assets and liabilities | 13,531,145.02 | | Reversal of impairment provisions for receivables subject to separate impairment testing | 7,081,883.03 | | Other non-operating income and expenses apart from the above | 2,948,699.43 | | Less: Income tax impact | 3,898,415.74 | | Impact on minority interests (after tax) | 30,322.17 | | **Total** | **24,441,204.21** | - The company has no other profit or loss items that meet the definition of non-recurring gains and losses, nor has it classified any listed non-recurring gains and losses items as recurring gains and losses[21](index=21&type=chunk) [Management Discussion and Analysis](index=8&type=section&id=Management%20Discussion%20and%20Analysis) [Company's Main Business During the Reporting Period](index=8&type=section&id=Company%27s%20Main%20Business%20During%20the%20Reporting%20Period) In H1 2025, real estate policies focused on inventory digestion and new supply optimization, with central bank rate cuts and local measures stabilizing the market, leading to significant land transaction growth, while the company, primarily in real estate development in core Yangtze River Delta cities, reported **3.895 billion yuan** in operating revenue and a **1.50%** net gearing ratio - In the first half of 2025, real estate industry policies continued the theme of "digesting existing inventory and optimizing new supply," with the central bank cutting interest rates and local governments implementing city-specific measures, leading to market stabilization and improvement[23](index=23&type=chunk) - In the first half of the year, the transaction volume of residential land in 65 key cities nationwide increased by **18.4%** year-on-year, with land transfer fees reaching **644.16 billion yuan**, a **45%** year-on-year increase[24](index=24&type=chunk) - The company's main business is real estate development and sales, primarily located in the Yangtze River Delta region, including Ningbo, Hangzhou, and Jiaxing, focusing on mid-to-high-end refined residential properties, supplemented by commercial real estate[26](index=26&type=chunk) - During the reporting period, the company's operating revenue was approximately **3.895 billion yuan**, mainly from the handover of completed projects; the period-end net gearing ratio was **1.50%**[26](index=26&type=chunk) [Macroeconomic Situation and Industry Policies in the Reporting Period](index=8&type=section&id=Macroeconomic%20Situation%20and%20Industry%20Policies%20in%20the%20Reporting%20Period) In H1 2025, real estate policies emphasized inventory digestion and new supply optimization, with central bank rate cuts and local measures stabilizing the market, leading to significant land transaction growth, despite national real estate development investment decreasing by **11.2%** and commercial housing sales area by **3.5%**, with a shortened residential inventory destocking cycle - In the first half of 2025, the Central Political Bureau meeting proposed increasing the supply of high-quality housing and optimizing policies for acquiring existing commercial housing[23](index=23&type=chunk) - On May 7, the central bank adjusted the 5-year LPR and the 5-year first-home provident fund rate to **3.50%** and **2.60%** respectively, both reaching historical lows[23](index=23&type=chunk) H1 2025 Real Estate Market Data | Indicator | Data | Year-on-year Change | | :--- | :--- | :--- | | Transaction volume of residential land in 65 key cities nationwide | - | Increased by 18.4% | | Land transfer fees in 65 key cities nationwide | 644.16 billion yuan | Increased by 45% | | National real estate development investment | 4,665.8 billion yuan | Decreased by 11.2% | | Commercial housing sales area | 458.51 million M² | Decreased by 3.5% | | Commercial housing for sale (as of end of June) | 769.48 million M² | Decreased for four consecutive months month-on-month | | Real estate development prosperity index | 93.60 | Increased by 1.49 percentage points from the beginning of the year | [Company's Main Business and Operating Performance in the Reporting Period](index=8&type=section&id=Company%27s%20Main%20Business%20and%20Operating%20Performance%20in%20the%20Reporting%20Period) The company focuses on real estate development and sales in core Yangtze River Delta cities, developing mid-to-high-end residential and commercial projects, with no new land reserves in the reporting period, **579,400 M²** total salable area (**98.21%** in Zhejiang), all projects delivered, **1.695 billion yuan** financing at **3.46%** average cost, and **298 million yuan** in phased guarantees for purchasers - The company did not acquire land reserves during the reporting period[27](index=27&type=chunk) Company's Salable Resources | Region Name | Total Salable Construction Area (10,000 M²) | Proportion of Salable Resources | | :--- | :--- | :--- | | Within Zhejiang Province | 56.90 | 98.21% | | Outside Zhejiang Province | 1.04 | 1.79% | | **Total** | **57.94** | **100.00%** | - During the reporting period, the company's real estate projects have all been completed and delivered[30](index=30&type=chunk) Company's Financing Situation | Financing Channel | Period-end Financing Balance (10,000 yuan) | Average Financing Cost | | :--- | :--- | :--- | | Bank Loans | 169,487.13 | 3.46% | | **Total** | **169,487.13** | **3.46%** | - As of the end of the reporting period, the company's outstanding phased guarantees for commercial housing purchasers amounted to **298 million yuan**[36](index=36&type=chunk) [Development Strategy and Operating Plan for the Next Year](index=10&type=section&id=Development%20Strategy%20and%20Operating%20Plan%20for%20the%20Next%20Year) The company will pursue a strategy of "strategy-oriented, efficiency from management, risk control, and steady development," focusing on the Yangtze River Delta to strengthen its core real estate business and cultivate new profit drivers, with plans to increase quality land reserves, accelerate inventory destocking, enhance product quality, reduce financial costs, and improve organizational development - Company's development strategy: Deeply cultivate the Yangtze River Delta, refine, specialize, strengthen, and sustain the core real estate business, while also developing related industries such as agency construction and construction engineering, and actively fostering new profit growth points[37](index=37&type=chunk) - 2025 operating plan: Focus on cities like Hangzhou and Ningbo, actively increase quality land reserves, accelerate inventory destocking, strictly control product quality, reduce financial costs, and enhance organizational vitality[37](index=37&type=chunk) - The company will implement full-process standardized operations, including "operational standardization, product standardization, marketing standardization, and construction standardization," and conduct refined cost control[38](index=38&type=chunk) [Core Competitiveness Analysis](index=11&type=section&id=Core%20Competitiveness%20Analysis) The company's core competitiveness stems from its scientific management, experienced development team, flexible land strategy, strong regional brand, and prudent financial management, fostering long-term advantages through standardized operations, rapid development, and low debt levels - The company has established a process management system and performance management system, implementing a project operation model of rapid commencement, sales, and capital recovery to reduce development costs and policy risks[39](index=39&type=chunk) - The company possesses nearly thirty years of real estate development experience, cultivating an excellent management team with a rational knowledge structure and rich practical experience, and maintains strategic cooperation with upstream and downstream enterprises and financial institutions[39](index=39&type=chunk) - The company adheres to the principle of "better to miss than to acquire incorrectly," deeply cultivating core areas within Zhejiang Province's core cities, strictly controlling land costs, and opportunistically increasing quality land reserves[40](index=40&type=chunk) - The company enjoys high brand recognition and influence in the Yangtze River Delta region, particularly strong brand premium capability in the Zhejiang market, establishing a brand image as a "residential expert and luxury home master"[40](index=40&type=chunk) - The company adheres to prudent financial management, maintaining low debt levels and financing costs, and achieves cash flow and profit balance through a rapid development strategy[40](index=40&type=chunk) [Main Business Analysis](index=11&type=section&id=Main%20Business%20Analysis) Main business revenue decreased **71.95%** year-on-year due to smaller project delivery, with corresponding cost and expense reductions; housing sales, though down **72.16%**, still comprised **98.66%** of revenue, and while both Ningbo and non-Ningbo revenues fell, Ningbo's share rose Major Financial Data Year-on-Year Changes | Item | Current Reporting Period (yuan) | Prior Year Same Period (yuan) | Year-on-year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 3,895,014,587.17 | 13,884,161,304.65 | -71.95% | Mainly due to smaller scale of project delivery in the current reporting period | | Operating Cost | 3,432,139,101.81 | 12,937,750,144.23 | -73.47% | Mainly due to smaller scale of project delivery in the current reporting period | | Net Profit Attributable to Shareholders of the Listed Company | 36,450,786.55 | 464,033,165.86 | -92.14% | - | | Net Cash Flow from Operating Activities | 560,583,084.05 | 810,411,928.87 | -30.83% | Mainly due to reduced sales collection in the current reporting period | | Net Cash Flow from Investing Activities | -87,545,092.22 | 5,754,345.47 | -1,621.37% | Mainly due to increased investment in cooperative projects in the current reporting period | | Net Cash Flow from Financing Activities | -1,097,448,056.64 | -1,687,701,102.63 | 34.97% | Mainly due to reduced debt repayment cash outflow resulting from smaller debt scale in the current reporting period | Operating Revenue Composition (by Industry/Product) | Category | Item | Current Reporting Period Amount (yuan) | Proportion of Operating Revenue | Year-on-year Change | | :--- | :--- | :--- | :--- | :--- | | By Industry/Product | Housing Sales | 3,843,022,003.30 | 98.66% | -72.16% | | | Construction | 11,625,530.26 | 0.30% | -67.41% | | | Property Leasing | 33,460,763.39 | 0.86% | -1.96% | | By Region | Ningbo Region | 1,938,393,171.15 | 49.77% | -60.14% | | | Non-Ningbo Region | 1,956,621,416.02 | 50.23% | -78.31% | [Non-Main Business Analysis](index=13&type=section&id=Non-Main%20Business%20Analysis) During the reporting period, non-main business significantly impacted total profit, with investment income primarily from wealth management products, fair value change gains and losses mainly from other non-current financial assets, asset impairment losses substantially increasing due to inventory depreciation provisions, non-operating income mainly from forfeited deposits and quality guarantee deductions, and non-operating expenses primarily from unrecoverable funds Impact of Non-Main Business on Total Profit | Item | Amount (yuan) | Proportion of Total Profit | Explanation of Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 3,064,410.92 | 46.31% | Mainly from wealth management products in the current reporting period | No | | Fair Value Change Gains and Losses | 5,694,396.15 | 86.05% | Mainly due to fair value changes of other non-current financial assets in the current reporting period | No | | Asset Impairment | -176,099,369.48 | -2,661.00% | Mainly due to provision for inventory depreciation in the current reporting period | No | | Non-operating Income | 5,940,676.96 | 89.77% | Mainly from forfeited deposits and quality guarantee deductions | No | | Non-operating Expenses | 2,991,977.53 | 45.21% | Mainly from individual unrecoverable funds | No | [Analysis of Assets and Liabilities](index=13&type=section&id=Analysis%20of%20Assets%20and%20Liabilities) Period-end total assets decreased **24.17%** year-on-year, driven by reduced inventory and contract liabilities, while monetary funds and borrowings also fell, net assets attributable to shareholders slightly rose **0.63%**, and various assets remained restricted for borrowings Significant Changes in Asset Composition | Item | Current Reporting Period-end (yuan) | Proportion of Total Assets | Prior Year-end (yuan) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 1,601,983,572.40 | 11.11% | 2,226,747,417.35 | 11.71% | -0.60% | | Inventory | 9,383,842,540.76 | 65.10% | 13,192,106,381.35 | 69.40% | -4.30% | | Contract Liabilities | 1,545,869,357.35 | 10.72% | 4,286,906,539.18 | 22.55% | -11.83% | | Long-term Borrowings | 1,082,171,300.00 | 7.51% | 1,694,701,300.00 | 8.92% | -1.41% | | Non-current Liabilities Due Within One Year | 34,678,418.02 | - | 401,064,294.87 | - | - | | Total Assets | 14,414,301,174.99 | - | 19,008,979,439.71 | - | -24.17% | Period-end Asset Restrictions | Item | Book Balance (yuan) | Book Value (yuan) | Type of Restriction | Restriction Details | | :--- | :--- | :--- | :--- | :--- | | Inventory | 2,298,619,600.12 | 1,973,091,260.82 | Mortgage | Mortgaged for borrowings | | Investment Properties | 826,251,384.42 | 485,794,707.73 | Mortgage | Mortgaged for borrowings | | Fixed Assets | 39,832,028.49 | 17,281,142.71 | Mortgage | Mortgaged for borrowings | | Monetary Funds | 93,777,939.84 | 93,777,939.84 | Pledge/Freeze | Guarantee deposits, loan deposits, frozen funds | [Investment Status Analysis](index=14&type=section&id=Investment%20Status%20Analysis) During the reporting period, the company's investment amount remained unchanged, with no significant equity investments acquired or ongoing significant non-equity investments, and no securities investments, derivative investments, or use of raised funds - The company's investment amount was **0.00 yuan** during the reporting period, consistent with the prior year's same period[56](index=56&type=chunk) - The company had no significant equity investments, significant non-equity investments, securities investments, derivative investments, or use of raised funds during the reporting period[57](index=57&type=chunk)[58](index=58&type=chunk)[59](index=59&type=chunk)[60](index=60&type=chunk) [Significant Asset and Equity Sales](index=15&type=section&id=Significant%20Asset%20and%20Equity%20Sales) During the reporting period, the company did not engage in any sales of significant assets or equity - The company did not sell significant assets or equity during the reporting period[61](index=61&type=chunk)[62](index=62&type=chunk) [Analysis of Major Holding and Participating Companies](index=15&type=section&id=Analysis%20of%20Major%20Holding%20and%20Participating%20Companies) The company's main subsidiaries, Ningbo Rongxin Real Estate Co., Ltd. and Jiaxing Jiarong Real Estate Co., Ltd., impacted the company's net profit during the reporting period, with Ningbo Rongxin Real Estate achieving a net profit of **95,868,734.57 yuan** and Jiaxing Jiarong Real Estate achieving **16,195,949.68 yuan**, and no subsidiaries were acquired or disposed of during the reporting period Major Subsidiary Financial Information | Company Name | Company Type | Main Business | Registered Capital (yuan) | Net Profit (yuan) | | :--- | :--- | :--- | :--- | :--- | | Ningbo Rongxin Real Estate Co., Ltd. | Subsidiary | Real estate development and operation | 2,000,000.00 | 95,868,734.57 | | Jiaxing Jiarong Real Estate Co., Ltd. | Subsidiary | Real estate development and operation | 50,000,000.00 | 16,195,949.68 | - The company did not acquire or dispose of subsidiaries during the reporting period[63](index=63&type=chunk) [Information on Structured Entities Controlled by the Company](index=16&type=section&id=Information%20on%20Structured%20Entities%20Controlled%20by%20the%20Company) The company had no controlled structured entities during the reporting period - The company had no controlled structured entities during the reporting period[64](index=64&type=chunk) [Risks Faced by the Company and Countermeasures](index=16&type=section&id=Risks%20Faced%20by%20the%20Company%20and%20Countermeasures) The company faces policy, funding, project operation, and human resource risks, which it plans to address by strengthening macroeconomic policy research, rationally planning funds, adhering to rapid development and refined cost control, and continuously attracting and developing professional talent while improving its human resource management system - Policy risk: The real estate industry is highly susceptible to national macroeconomic regulation, so the company will strengthen policy tracking and research, invest rationally, and optimize product structure[64](index=64&type=chunk) - Funding risk: Real estate enterprises are capital-intensive, so the company will rationally plan funds, maintain financial stability, flexibly use financing tools, and reduce financial expenses[64](index=64&type=chunk) - Project operation risk: Real estate projects have long development cycles, high investment, and complex processes, so the company will adhere to "no hoarding land, no holding back sales," rapid development and destocking, and implement standardized operations and refined cost control[64](index=64&type=chunk)[65](index=65&type=chunk) - Human resource risk: As the industry enters an era of management dividends, the company will attract and develop professional talent, strengthen talent pipeline construction and internal training, and improve its human resource management system[65](index=65&type=chunk) [Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan](index=16&type=section&id=Formulation%20and%20Implementation%20of%20Market%20Value%20Management%20System%20and%20Valuation%20Enhancement%20Plan) The company has not formulated a market value management system nor disclosed a valuation enhancement plan - The company has not formulated a market value management system nor disclosed a valuation enhancement plan[66](index=66&type=chunk) [Implementation of "Quality and Return Dual Improvement" Action Plan](index=16&type=section&id=Implementation%20of%20%22Quality%20and%20Return%20Dual%20Improvement%22%20Action%20Plan) The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan - The company has not disclosed an announcement regarding the "Quality and Return Dual Improvement" action plan[66](index=66&type=chunk) [Corporate Governance, Environment, and Society](index=17&type=section&id=Corporate%20Governance%2C%20Environment%2C%20and%20Society) [Changes in Directors, Supervisors, and Senior Management](index=17&type=section&id=Changes%20in%20Directors%2C%20Supervisors%2C%20and%20Senior%20Management) During the reporting period, independent director Yan Guoqing resigned from his positions as independent director and member of the board's nomination, remuneration and appraisal, audit, and strategy committees due to personal reasons, and has ceased to perform his duties Changes in Directors, Supervisors, and Senior Management | Name | Position Held | Type | Date | Reason | | :--- | :--- | :--- | :--- | :--- | | Yan Guoqing | Independent Director, Chairman of Board Nomination Committee, Chairman of Remuneration and Appraisal Committee, Member of Audit Committee, Member of Strategy Committee | Resignation | August 12, 2025 | Personal reasons | [Profit Distribution and Capital Reserve to Share Capital Conversion in the Current Reporting Period](index=17&type=section&id=Profit%20Distribution%20and%20Capital%20Reserve%20to%20Share%20Capital%20Conversion%20in%20the%20Current%20Reporting%20Period) The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[69](index=69&type=chunk) [Implementation of Company's Equity Incentive Plan, Employee Stock Ownership Plan, or Other Employee Incentive Measures](index=17&type=section&id=Implementation%20of%20Company%27s%20Equity%20Incentive%20Plan%2C%20Employee%20Stock%20Ownership%20Plan%2C%20or%20Other%20Employee%20Incentive%20Measures) The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period[70](index=70&type=chunk) [Environmental Information Disclosure](index=17&type=section&id=Environmental%20Information%20Disclosure) The company and its major subsidiaries were not included in the list of enterprises required to disclose environmental information by law - The company and its major subsidiaries were not included in the list of enterprises required to disclose environmental information by law[71](index=71&type=chunk) [Social Responsibility](index=17&type=section&id=Social%20Responsibility) During the reporting period, the company actively fulfilled social responsibilities through continuous "Rong'an Cup" Children's Art Exhibitions, expanded Shared Reading and "Little Shark" Public Swimming programs, established a Children's Medical Aid Fund, conducted rural science and art teaching, and donated to rural revitalization and community projects - The company has continuously held the "Rong'an Cup" Children's Art Exhibition for **19 years** and expanded the Shared Reading Program to remote areas[71](index=71&type=chunk) - The company established a Children's Medical Aid Fund, successfully assisting **sixty-eight critically ill children**, and supported rural science and art public welfare teaching projects[71](index=71&type=chunk) - The company donated **1.2 million yuan** to Huangping County, Guizhou Province, to promote rural revitalization and an additional **1 million yuan** to consolidate poverty alleviation achievements[72](index=72&type=chunk) - The company donated funds for the Lemon Tree Sunshine Home project in Yinzhou District, Ningbo City, and local community public welfare projects[72](index=72&type=chunk) [Significant Matters](index=18&type=section&id=Significant%20Matters) [Fulfillment of Commitments](index=18&type=section&id=Fulfillment%20of%20Commitments) During the reporting period, the company had no commitments that were fulfilled or overdue and unfulfilled by the actual controller, shareholders, related parties, acquirers, or the company itself - The company had no commitments that were unfulfilled or overdue and unfulfilled during the reporting period[74](index=74&type=chunk) [Related Party Fund Occupation](index=18&type=section&id=Related%20Party%20Fund%20Occupation) During the reporting period, the company had no non-operating fund occupation by controlling shareholders or other related parties - The company had no non-operating fund occupation by controlling shareholders or other related parties during the reporting period[75](index=75&type=chunk) [Irregular External Guarantees](index=18&type=section&id=Irregular%20External%20Guarantees) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[76](index=76&type=chunk) [Appointment and Dismissal of Accounting Firms](index=18&type=section&id=Appointment%20and%20Dismissal%20of%20Accounting%20Firms) The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[77](index=77&type=chunk) [Board of Directors' and Supervisory Board's Explanation on Non-Standard Audit Report](index=18&type=section&id=Board%20of%20Directors%27%20and%20Supervisory%20Board%27s%20Explanation%20on%20Non-Standard%20Audit%20Report) The company had no non-standard audit report during the reporting period - The company had no non-standard audit report during the reporting period[78](index=78&type=chunk) [Board of Directors' Explanation on Prior Year's Non-Standard Audit Report](index=18&type=section&id=Board%20of%20Directors%27%20Explanation%20on%20Prior%20Year%27s%20Non-Standard%20Audit%20Report) The company had no non-standard audit report for the prior year during the reporting period - The company had no non-standard audit report for the prior year during the reporting period[78](index=78&type=chunk) [Bankruptcy and Reorganization Matters](index=18&type=section&id=Bankruptcy%20and%20Reorganization%20Matters) The company had no bankruptcy and reorganization matters during the reporting period - The company had no bankruptcy and reorganization matters during the reporting period[78](index=78&type=chunk) [Litigation Matters](index=18&type=section&id=Litigation%20Matters) The company had no significant litigation, arbitration, or other litigation matters during the reporting period - The company had no significant litigation or arbitration matters during the reporting period[79](index=79&type=chunk) [Penalties and Rectification](index=19&type=section&id=Penalties%20and%20Rectification) The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[80](index=80&type=chunk) [Integrity Status of the Company and its Controlling Shareholder and Actual Controller](index=19&type=section&id=Integrity%20Status%20of%20the%20Company%20and%20its%20Controlling%20Shareholder%20and%20Actual%20Controller) The company had no integrity issues requiring explanation during the reporting period - The company had no integrity issues requiring explanation during the reporting period[81](index=81&type=chunk) [Significant Related Party Transactions](index=19&type=section&id=Significant%20Related%20Party%20Transactions) During the reporting period, the company had no significant related party transactions related to daily operations, asset or equity acquisitions/disposals, joint external investments, related party creditor-debtor transactions, or transactions with financial companies - The company had no significant related party transactions related to daily operations during the reporting period[81](index=81&type=chunk) - The company had no related party transactions involving asset or equity acquisitions or disposals during the reporting period[82](index=82&type=chunk) - The company had no related party creditor-debtor transactions during the reporting period[84](index=84&type=chunk) [Significant Contracts and Their Performance](index=20&type=section&id=Significant%20Contracts%20and%20Their%20Performance) The company had no entrustment, contracting, or leasing matters, but provided **1.55637 billion yuan** in subsidiary guarantees (**31.84%** of net assets), including **1.57265 billion yuan** for high-leverage entities, and executed **1.1 billion yuan** in wealth management transactions with no outstanding balance, and no other significant contracts - The company had no entrustment, contracting, or leasing matters during the reporting period[88](index=88&type=chunk)[89](index=89&type=chunk)[90](index=90&type=chunk) Company's Guarantees to Subsidiaries | Guaranteed Party Name | Guarantee Limit (10,000 yuan) | Actual Guarantee Amount (10,000 yuan) | Guarantee Period | Fulfilled | | :--- | :--- | :--- | :--- | :--- | | Zhejiang Tianyuan Landscape Construction Co., Ltd. | 15,000 | 10,150 | Three years from the expiration of debt performance period | No | | Zhejiang Tianyuan Landscape Construction Co., Ltd. | 10,000 | 10,000 | Three years from the expiration of debt performance period | No | | Ningbo Happy Shopping Plaza Development Co., Ltd. | 31,000 | 30,750 | Three years from the expiration of debt performance period | No | | Hangzhou Xianghua Investment Management Co., Ltd. | 50,000 | 46,250 | Three years from the expiration of debt performance period | No | | Yiwu Huajie Real Estate Co., Ltd. | 35,000 | 7,926 | Three years from the expiration of debt performance period | No | | Ningbo Rongyuan Real Estate Co., Ltd. | 60,000 | 5,365 | Three years from the expiration of debt performance period | No | | **Total Actual Guarantee Balance to Subsidiaries at Period-end** | **299,000** | **155,637** | - | - | - The total actual guarantee amount at period-end was **1.86387 billion yuan**, accounting for **31.84%** of the company's net assets[94](index=94&type=chunk) - The debt guarantee balance provided for guaranteed parties with an asset-liability ratio exceeding **70%** was **1.57265 billion yuan**[94](index=94&type=chunk) Wealth Management Product Information | Specific Type | Wealth Management Product Transaction Amount (10,000 yuan) | Outstanding Balance at Period-end (10,000 yuan) | | :--- | :--- | :--- | | Bank Wealth Management Products | 110,000 | 0 | | **Total** | **110,000** | **0** | - The company had no other significant contracts during the reporting period[97](index=97&type=chunk) [Explanation of Other Significant Matters](index=23&type=section&id=Explanation%20of%20Other%20Significant%20Matters) The company had no other significant matters requiring explanation during the reporting period - The company had no other significant matters requiring explanation during the reporting period[98](index=98&type=chunk) [Significant Matters of Company Subsidiaries](index=23&type=section&id=Significant%20Matters%20of%20Company%20Subsidiaries) The company had no significant matters concerning its subsidiaries during the reporting period - The company had no significant matters concerning its subsidiaries during the reporting period[99](index=99&type=chunk) [Share Changes and Shareholder Information](index=24&type=section&id=Share%20Changes%20and%20Shareholder%20Information) [Share Changes](index=24&type=section&id=Share%20Changes) During the reporting period, the company's total share capital remained unchanged at **3,183,922,485 shares**, with the number and proportion of restricted and unrestricted shares also remaining constant Share Changes | Item | Number Before Change (shares) | Proportion Before Change | Number of Changes (shares) | Number After Change (shares) | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 691,936,069 | 21.73% | 0 | 691,936,069 | 21.73% | | II. Unrestricted Shares | 2,491,986,416 | 78.27% | 0 | 2,491,986,416 | 78.27% | | III. Total Shares | 3,183,922,485 | 100.00% | 0 | 3,183,922,485 | 100.00% | - The company's total share capital, restricted shares, and unrestricted shares all remained unchanged during the reporting period[102](index=102&type=chunk) [Securities Issuance and Listing](index=25&type=section&id=Securities%20Issuance%20and%20Listing) The company had no securities issuance and listing during the reporting period - The company had no securities issuance and listing during the reporting period[103](index=103&type=chunk) [Company Shareholder Numbers and Shareholding](index=25&type=section&id=Company%20Shareholder%20Numbers%20and%20Shareholding) At the end of the reporting period, the company had **35,707** common shareholders, with Rong'an Group Co., Ltd. holding **47.93%** and Wang Jiufang holding **28.69%** among the top ten shareholders, both acting in concert, and Rong'an Group's shares were pledged, while some shareholders participated in margin trading and securities lending through credit securities accounts - At the end of the reporting period, the total number of common shareholders was **35,707**[104](index=104&type=chunk) Shareholding of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Percentage | Number of Shares Held at Period-end (shares) | Number of Restricted Shares Held (shares) | Number of Unrestricted Shares Held (shares) | Pledge, Mark, or Freeze Status (number) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Rong'an Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 47.93% | 1,525,939,995 | 0 | 1,525,939,995 | Pledged: 306,150,000 | | Wang Jiufang | Domestic Natural Person | 28.69% | 913,500,000 | 685,125,000 | 228,375,000 | Not applicable: 0 | | Shanghai Yingshui Investment Management Co., Ltd. - Yingshui Jubao No. 13 Private Securities Investment Fund | Other | 0.99% | 31,500,000 | 0 | 31,500,000 | Not applicable: 0 | | Hong Kong Securities Clearing Company Limited | Overseas Legal Person | 0.59% | 18,786,443 | 0 | 18,786,443 | Not applicable: 0 | - Among the top 10 shareholders, Rong'an Group Co., Ltd., Wang Jiufang, and Wang Congwei are parties acting in concert[105](index=105&type=chunk) - Some of the top 10 common shareholders participated in margin trading and securities lending through credit securities accounts[105](index=105&type=chunk) [Changes in Shareholdings of Directors, Supervisors, and Senior Management](index=27&type=section&id=Changes%20in%20Shareholdings%20of%20Directors%2C%20Supervisors%2C%20and%20Senior%20Management) The shareholdings of the company's directors, supervisors, and senior management remained unchanged during the reporting period, as detailed in the 2024 annual report - The shareholdings of the company's directors, supervisors, and senior management remained unchanged during the reporting period[107](index=107&type=chunk) [Changes in Controlling Shareholder or Actual Controller](index=27&type=section&id=Changes%20in%20Controlling%20Shareholder%20or%20Actual%20Controller) The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder remained unchanged during the reporting period[108](index=108&type=chunk) - The company's actual controller remained unchanged during the reporting period[108](index=108&type=chunk) [Preferred Shares Information](index=27&type=section&id=Preferred%20Shares%20Information) The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[110](index=110&type=chunk) [Bond-Related Information](index=28&type=section&id=Bond-Related%20Information) The company had no bond-related information during the reporting period - The company had no bond-related information during the reporting period[112](index=112&type=chunk) [Financial Report](index=29&type=section&id=Financial%20Report) [Audit Report](index=29&type=section&id=Audit%20Report) The company's semi-annual financial report was not audited - The company's semi-annual financial report was not audited[114](index=114&type=chunk) [Financial Statements](index=29&type=section&id=Financial%20Statements) This section provides Rong'an Real Estate Co., Ltd.'s consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity for the first half of 2025, comprehensively presenting the company's financial position, operating results, and cash flow at the end of the reporting period - Financial statements include consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owners' equity[115](index=115&type=chunk)[119](index=119&type=chunk)[123](index=123&type=chunk)[126](index=126&type=chunk)[127](index=127&type=chunk)[130](index=130&type=chunk)[134](index=134&type=chunk)[140](index=140&type=chunk) [Consolidated Balance Sheet](index=29&type=section&id=Consolidated%20Balance%20Sheet) As of June 30, 2025, consolidated total assets were **14.414 billion yuan**, down **24.17%** from period-beginning, with total liabilities at **8.033 billion yuan**, and owners' equity attributable to the parent company at **5.855 billion yuan** Consolidated Balance Sheet Key Data | Item | Period-end Balance (yuan) | Period-beginning Balance (yuan) | | :--- | :--- | :--- | | Total Assets | 14,414,301,174.99 | 19,008,979,439.71 | | Total Liabilities | 8,032,604,659.80 | 12,543,443,124.74 | | Total Owners' Equity Attributable to Parent Company | 5,854,624,756.00 | 5,818,173,969.45 | | Minority Interests | 527,071,759.19 | 647,362,345.52 | [Parent Company Balance Sheet](index=32&type=section&id=Parent%20Company%20Balance%20Sheet) As of June 30, 2025, parent company total assets were **16.118 billion yuan**, down **4.88%** from period-beginning, with total liabilities at **5.103 billion yuan**, and total owners' equity at **11.015 billion yuan** Parent Company Balance Sheet Key Data | Item | Period-end Balance (yuan) | Period-beginning Balance (yuan) | | :--- | :--- | :--- | | Total Assets | 16,117,544,437.40 | 16,934,803,015.03 | | Total Liabilities | 5,102,717,500.68 | 6,926,697,767.07 | | Total Owners' Equity | 11,014,826,936.72 | 10,008,105,247.96 | [Consolidated Income Statement](index=34&type=section&id=Consolidated%20Income%20Statement) For H1 2025, consolidated total operating revenue was **3.895 billion yuan**, down **71.95%** year-on-year, with net profit attributable to parent company shareholders at **36.4508 million yuan**, a **92.14%** decrease, and basic earnings per share of **0.0114 yuan** Consolidated Income Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 3,895,014,587.17 | 13,884,161,304.65 | | Operating Profit | 3,669,092.32 | 515,590,923.27 | | Total Profit | 6,617,791.75 | 516,583,888.86 | | Net Profit | 2,160,200.22 | 421,178,892.10 | | Net Profit Attributable to Parent Company Shareholders | 36,450,786.55 | 464,033,165.86 | | Basic Earnings Per Share (yuan/share) | 0.0114 | 0.1457 | [Parent Company Income Statement](index=36&type=section&id=Parent%20Company%20Income%20Statement) For the first half of 2025, the parent company's operating revenue was **219,125.92 yuan**, a **48.3%** year-on-year decrease, with operating profit of **989 million yuan**, total profit of **989 million yuan**, and net profit of **1.007 billion yuan**, primarily driven by **971 million yuan** in investment income Parent Company Income Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Operating Revenue | 219,125.92 | 423,658.59 | | Operating Profit | 988,972,710.37 | 1,480,612,918.51 | | Total Profit | 988,898,697.27 | 1,480,434,495.05 | | Net Profit | 1,006,721,688.76 | 1,682,524,516.51 | | Investment Income | 970,723,047.45 | 1,418,947,181.25 | [Consolidated Cash Flow Statement](index=37&type=section&id=Consolidated%20Cash%20Flow%20Statement) For the first half of 2025, the company's net cash flow from operating activities was **561 million yuan**, a **30.83%** year-on-year decrease, with net cash flow from investing activities of **-88 million yuan** and net cash flow from financing activities of **-1.097 billion yuan**, resulting in a net decrease in cash and cash equivalents of **-624 million yuan** Consolidated Cash Flow Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 560,583,084.05 | 810,411,928.87 | | Net Cash Flow from Investing Activities | -87,545,092.22 | 5,754,345.47 | | Net Cash Flow from Financing Activities | -1,097,448,056.64 | -1,687,701,102.63 | | Net Increase in Cash and Cash Equivalents | -624,410,064.81 | -871,534,828.29 | | Period-end Cash and Cash Equivalents Balance | 1,508,205,632.56 | 3,176,151,894.14 | [Parent Company Cash Flow Statement](index=38&type=section&id=Parent%20Company%20Cash%20Flow%20Statement) For the first half of 2025, the parent company's net cash flow from operating activities was **-598 million yuan**, net cash flow from investing activities was **972 million yuan**, and net cash flow from financing activities was **-552 million yuan**, resulting in a net decrease in cash and cash equivalents of **-178 million yuan** Parent Company Cash Flow Statement Key Data | Item | H1 2025 (yuan) | H1 2024 (yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -598,410,404.52 | -1,582,589,050.54 | | Net Cash Flow from Investing Activities | 972,131,974.07 | 1,373,220,355.72 | | Net Cash Flow from Financing Activities | -552,161,258.41 | -54,000,000.00 | | Net Increase in Cash and Cash Equivalents | -178,439,688.86 | -263,368,694.82 | | Period-end Cash and Cash Equivalents Balance | 216,373,046.83 | 121,419,011.35 | [Consolidated Statement of Changes in Owners' Equity](index=40&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Owners%27%20Equity) For H1 2025, consolidated owners' equity decreased from **6.466 billion yuan** to **6.382 billion yuan**, mainly due to a **120 million yuan** decrease in minority interests and a **36.4508 million yuan** increase in parent company owners' equity Consolidated Statement of Changes in Owners' Equity | Item | Period-beginning Balance (yuan) | Amount of Change in Current Period (yuan) | Period-end Balance (yuan) | | :--- | :--- | :--- | :--- | | Total Owners' Equity Attributable to Parent Company | 5,818,173,969.45 | 36,450,786.55 | 5,854,624,756.00 | | Minority Interests | 647,362,345.52 | -120,290,586.33 | 527,071,759.19 | | Total Owners' Equity | 6,465,536,314.97 | -83,839,799.78 | 6,381,696,515.19 | [Parent Company Statement of Changes in Owners' Equity](index=44&type=section&id=Parent%20Company%20Statement%20of%20Changes%20in%20Owners%27%20Equity) For the first half of 2025, the parent company's total owners' equity increased from **10.008 billion yuan** at the beginning of the period to **11.015 billion yuan** at the end of the period, primarily due to a **1.007 billion yuan** increase in undistributed profits Parent Company Statement of Changes in Owners' Equity | Item | Period-beginning Balance (yuan) | Amount of Change in Current Period (yuan) | Period-end Balance (yuan) | | :--- | :--- | :--- | :--- | | Undistributed Profits | 5,051,310,209.72 | 1,006,721,688.76 | 6,058,031,898.48 | | Total Owners' Equity | 10,008,105,247.96 | 1,006,721,688.76 | 11,014,826,936.72 | [Company Basic Information](index=48&type=section&id=Company%20Basic%20Information) Rong'an Real Estate Co., Ltd., established May 19, 1989, acquired Rong'an Group assets in 2008, changing registered capital to **1,061,307,495 yuan**, headquartered in Ningbo, primarily engaged in real estate development and construction, with financial statements approved on August 28, 2025 - The company was established on **May 19, 1989**, formerly known as Success Information Industry (Group) Co., Ltd[147](index=147&type=chunk) - In **2008**, the company acquired assets from Rong'an Group Co., Ltd. through share issuance, changing its registered capital to **1,061,307,495 yuan**[147](index=147&type=chunk) - The company's main business includes real estate development, operation, and construction project contracting[147](index=147&type=chunk) [Basis of Financial Statement Preparation](index=48&type=section&id=Basis%20of%20Financial%20Statement%20Preparation) The company's financial statements are prepared on a going concern basis, with recognition and measurement performed in accordance with the "Enterprise Accounting Standards" and relevant regulations issued by the Ministry of Finance, and management has evaluated the company's ability to continue as a going concern for at least 12 months from the end of the reporting period, believing it can continue operations for the foreseeable future - The company prepares its financial statements on a going concern basis, in accordance with the "Enterprise Accounting Standards" and relevant regulations issued by the Ministry of Finance[148](index=148&type=chunk) - The company's management believes that the company can continue as a going concern for a foreseeable period of no less than **12 months** from the approval date of these financial statements[149](index=149&type=chunk) [Significant Accounting Policies and Estimates](index=48&type=section&id=Significant%20Accounting%20Policies%20and%20Estimates) This section details the significant accounting policies and estimates followed by the company in preparing its financial statements, covering business combinations, consolidated financial statements, financial instruments, receivables, inventories, investment properties, fixed assets, intangible assets, revenue recognition, government grants, deferred income tax, and leases, ensuring the truthfulness and completeness of the financial report - The financial statements prepared by the company comply with the requirements of enterprise accounting standards, truthfully and completely reflecting the financial position, operating results, cash flows, and other information[151](index=151&type=chunk) - The company's accounting year runs from January 1 to December 31 of the Gregorian calendar, and its operating cycle (usually more than **12 months**) is used as the basis for classifying assets and liabilities as current or non-current[152](index=152&type=chunk)[153](index=153&type=chunk) - When initially recognizing financial assets, the company classifies them as financial assets measured at amortized cost, at fair value through other comprehensive income, or at fair value through profit or loss, based on the business model for managing the financial assets and the contractual cash flow characteristics[165](index=165&type=chunk) - The company recognizes revenue when it satisfies a performance obligation in the contract, i.e., when the customer obtains control of the related goods or services, at the transaction price allocated to that performance obligation[214](index=214&type=chunk) [Taxes](index=64&type=section&id=Taxes) This section discloses the company's main tax categories and rates, including value-added tax, urban maintenance and construction tax, enterprise income tax, land value-added tax, education surcharge, and local education surcharge, with the company's subsidiary Zhejiang Boyuan Construction Co., Ltd. enjoying a **15%** enterprise income tax preferential rate as a high-tech enterprise Main Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Real estate sales, construction and installation projects, rental income, property management, sales agency, commodity sales | 13%, 9%, 6%, 5%, 3% | | Urban Maintenance and Construction Tax | Turnover taxes paid | 7%, 5% | | Enterprise Income Tax | Taxable income | 25%, 15% | | Education Surcharge | Turnover tax amount paid | 3% | | Local Education Surcharge | Turnover tax amount paid | 2% | - Subsidiary Zhejiang Boyuan Construction Co., Ltd. passed the high-tech enterprise review and was subject to a **15%** enterprise income tax rate during the reporting period[228](index=228&type=chunk) - Real estate development enterprises provisionally prepay land value-added tax at **1.5%-3%** of the pre-sale income as stipulated by the local tax authorities, and it is levied at a four-tier progressive rate upon final settlement[229](index=229&type=chunk) [Notes to Consolidated Financial Statement Items](index=65&type=section&id=Notes%20to%20Consolidated%20Financial%20Statement%20Items) This section details consolidated financial statement items, noting significant changes in monetary funds, inventory, contract liabilities, and long-term borrowings, along with asset impairment provisions and restricted assets, while operating revenue and net profit significantly decreased, cash flow was affected, and interests in subsidiaries, joint ventures, government grants, and financial instrument risks are disclosed Composition of Monetary Funds | Item | Period-end Balance (yuan) | Period-beginning Balance (yuan) | | :--- | :--- | :--- | | Bank Deposits | 1,508,205,632.56 | 2,132,615,697.37 | | Other Monetary Funds | 93,777,939.84 | 94,131,719.98 | | **Total** | **1,601,983,572.40** | **2,226,747,417.35** | - Other monetary funds primarily consist of guarantee deposits, loan deposits, and frozen funds[231](index=231&type=chunk) Disclosure of Accounts Receivable by Impairment Provision Method | Category | Period-end Book Balance (yuan) | Period-end Impairment Provision (yuan) | Period-end Book Value (yuan) | | :--- | :--- | :--- | :--- | | Accounts receivable for which impairment provisions are made individually | 34,845,421.34 | 27,763,538.31 | 7,081,883.03 | | Accounts receivable for which impairment provisions are made by portfolio | 156,090,456.80 | 21,359,302.78 | 134,731,154.02 | | **Total** | **190,935,878.14** | **49,122,841.09** | **141,813,037.05** | - Impairment provisions of **2,107,916.67 yuan** were made in the current period, with **7,081,883.03 yuan** recovered or reversed, and the period-end impairment provision balance was **49,122,841.09 yuan**[242](index=242&type=chunk) Inventory Classification | Item | Period-end Book Balance (yuan) | Period-end Inventory Depreciation Reserve (yuan) | Period-end Book Value (yuan) | | :--- | :--- | :--- | :--- | | Development Costs | 271,935,103.46 | - | 271,935,103.46 | | Developed Products | 11,356,862,964.76 | 2,244,955,527.46 | 9,111,907,437.30 | | **Total** | **11,628,798,068.22** | **2,244,955,527.46** | **9,383,842,540.76** | - The cumulative amount of capitalized interest in inventory at period-end was **681,824,675.74 yuan**, with the current period's interest capitalization rate ranging from **3.82%** to **11.45%**[283](index=283&type=chunk) Assets with Restricted Ownership or Use Rights | Item | Book Balance (yuan) | Book Value (yuan) | Type of Restriction | | :--- | :--- | :--- | | Inventory | 2,298,619,600.12 | 1,973,091,260.82 | Mortgage | | Investment Properties | 826,251,384.42 | 485,794,707.73 | Mortgage | | Fixed Assets | 39,832,028.49 | 17,281,142.71 | Mortgage | | Accounts Receivable | 3,079,779.47 | 2,905,536.92 | Pledge | | Monetary Funds | 93,777,939.84 | 93,777,939.84 | Pledge/Freeze | | **Total** | **3,261,560,732.34** | **2,572,850,588.02** | - | Operating Revenue and Operating Cost | Item | Current Period Revenue (yuan) | Current Period Cost (yuan) | Prior Period Revenue (yuan) | Prior Period Cost (yuan) | | :--- | :--- | :--- | :--- | :--- | | Main Business | 3,855,032,642.06 | 3,408,745,422.57 | 13,839,950,237.32 | 12,914,043,635.20 | | Other Business | 39,981,945.11 | 23,393,679.24 | 44,211,067.33 | 23,706,509.03 | | **Total** | **3,895,014,587.17** | **3,432,139,101.81** | **13,884,161,304.65** | **12,937,750,144.23** | - The revenue amount corresponding to contracts signed but not yet performed or not fully performed at the end of the current reporting period is **16,711,224.77 yuan**, expected to be recognized in **2025**[374](index=374&type=chunk) Top Five Projects by Revenue Recognition in the Reporting Period | No. | Project Name | Revenue Amount (yuan) | | :--- | :--- | :--- | | 1 | Guantang Qingyu Mansion | 754,770,236.44 | | 2 | Huixueli | 728,540,666.95 | | 3 | Xinyue Hebin Mansion | 432,790,643.58 | | 4 | Wenlan Wangzhuang | 398,192,503.69 | | 5 | Huicuili | 276,505,846.73 | Income Tax Expense | Item | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Current Income Tax Expense | 20,471,303.93 | 99,060,593.39 | | Deferred Income Tax Expense | -16,013,712.40 | -3,655,596.63 | | **Total** | **4,457,591.53** | **95,404,996.76** | Reconciliation of Net Cash Flow from Operating Activities | Supplementary Information | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Net Profit | 2,160,200.22 | 421,178,892.10 | | Add: Asset Impairment Provisions | 176,099,369.48 | -988,101.87 | | Credit Impairment Losses | 1,546,504.93 | 8,140,185.81 | | Decrease in Inventory (increase indicated by "-") | 3,630,173,304.95 | 12,425,038,394.73 | | Decrease in Operating Receivables (increase indicated by "-") | 180,410,911.87 | 404,464,718.02 | | Increase in Operating Payables (decrease indicated by "-") | -3,470,830,621.67 | -12,555,377,018.10 | | **Net Cash Flow from Operating Activities** | **560,583,084.05** | **810,411,928.87** | Operating Lease Income as Lessor | Item | Lease Income (yuan) | | :--- | :--- | | Ningbo Rong'an Building | 10,365,740.80 | | Hangzhou Rong'an Building | 12,816,828.23 | | Happy Shopping Plaza | 7,392,346.09 | | Other | 2,885,848.27 | | **Total** | **33,460,763.39** | [R&D Expenses](index=102&type=section&id=R%26D%20Expenses) During the reporting period, the company's total R&D expenses were **5,875,888.16 yuan**, all expensed, primarily comprising employee compensation and material costs, representing a significant year-on-year increase of **113.28%** R&D Expenses | Item | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Employee Compensation | 1,307,006.21 | 1,979,658.27 | | Material Costs | 4,487,763.00 | 621,221.32 | | Other | 81,118.95 | 154,086.68 | | **Total** | **5,875,888.16** | **2,754,966.27** | | Of which: Expensed R&D Expenses | 5,875,888.16 | 2,754,966.27 | [Changes in Consolidation Scope](index=103&type=section&id=Changes%20in%20Consolidation%20Scope) During the reporting period, the company did not experience business combinations under non-common control, business combinations under common control, reverse acquisitions, or disposal of subsidiaries leading to loss of control, but **6** subsidiaries were deregistered, resulting in changes in the consolidation scope - During the reporting period, the company did not experience business combinations under non-common control, business combinations under common control, reverse acquisitions, or disposal of subsidiaries leading to loss of control[424](index=424&type=chunk) - During the reporting period, **6** subsidiaries, including Ningbo Yiwang Real Estate Co., Ltd. and Ningbo Rong'an Education Investment Management Co., Ltd., were deregistered, leading to changes in the consolidation scope[424](index=424&type=chunk) [Interests in Other Entities](index=103&type=section&id=Interests%20in%20Other%20Entities) This section discloses the company's interests in subsidiaries, joint ventures, and associates, including several subsidiaries, with Yiwu Huayi Real Estate Co., Ltd. and Ningbo Kanghai Real Estate Co., Ltd. being important non-wholly-owned subsidiaries, and the company holds interests in multiple joint ventures, for which key financial information is provided, along with the basis for the company's control over certain joint ventures Important Non-Wholly-Owned Subsidiaries | Subsidiary Name | Minority Shareholding Percentage | Net Profit Attributable to Minority Shareholders in Current Period (yuan) | Minority Interests Balance at Period-end (yuan) | | :--- | :--- | :--- | :--- | | Yiwu Huayi Real Estate Co., Ltd. (Consolidated) | 49.00% | -21,172,611.77 | 413,725,519.45 | | Ningbo Kanghai Real Estate Co., Ltd. | 49.00% | -5,095,849.11 | 46,451,698.21 | - The company in Cangnan Rong'an Real Estate Co., Ltd., Longgang City Lianghui Real Estate Co., Ltd., and Jiaxing Yikun Real Estate Co., Ltd. joint ventures, through cooperation agreements and articles of association, holds more than half of the voting rights, thus including them in the consolidated financial statements[430](index=430&type=chunk)[431](index=431&type=chunk)[432](index=432&type=chunk) Key Financial Information of Important Joint Ventures (Period-end Balance/Current Period Amount) | Item | Hangzhou Zhenda Investment Co., Ltd. | Chongqing Rongquan Industrial Co., Ltd. | Ningbo Kangrui Enterprise Management Consulting Co., Ltd. | | :--- | :--- | :--- | :--- | | Total Assets (yuan) | 304,952,338.86 | 144,146,753.28 | 211,357,657.58 | | Total Liabilities (yuan) | 201,120,999.93 | 22,561,951.90 | 91,413,615.07 | | Owners' Equity Attributable to Parent Company (yuan) | 103,831,338.93 | 81,803,016.45 | 119,944,042.51 | | Net Profit (yuan) | 960,404.49 | 2,385.94 | -13,848,220.06 | Summary Financial Information of Unimportant Joint Ventures and Associates | Item | Period-end Balance/Current Period Amount (yuan) | | :--- | :--- | | Total Book Value of Joint Venture Investments | 258,252,068.31 | | Net Profit of Joint Ventures | -3,519,590.37 | | Total Comprehensive Income of Joint Ventures | -3,519,590.37 | [Government Grants](index=112&type=section&id=Government%20Grants) During the reporting period, government grants recognized in current profit or loss amounted to **5,026,704.43 yuan**, primarily consisting of income-related government grants Government Grants Recognized in Current Profit or Loss | Accounting Item | Current Period Amount (yuan) | Prior Period Amount (yuan) | | :--- | :--- | :--- | | Income-related government grants | 5,026,704.43 | 5,960,417.45 | [Risks Related to Financial Instruments](index=113&type=section&id=Risks%20Related%20to%20Financial%20Instruments) The company faces market risk (primarily interest rate risk), credit risk, and liquidity risk, with a **50 basis point** increase in interest rates leading to a **2.8353 million yuan** reduction in pre-tax profit, while credit risk is managed by depositing funds with highly reputable financial institutions and monitoring accounts receivable and implementing credit policies, and liquidity risk is managed by maintaining sufficient cash and cash equivalents and monitoring bank borrowings, with most financial liabilities maturing within **1 year** at period-end - The company faces market risk (interest rate risk), credit risk, and liquidity risk[446](index=446&type=chunk) - A **50 basis point** increase in interest rates would lead to an increase in interest expenses and a reduction in the company's pre-tax profit by **2.8353 million yuan**[447](index=447&type=chunk) - The company's credi

1 天齐锂业股份有限公司 2025 年半年度报告全文 天齐锂业股份有限公司 2025 年半年度报告全文 天齐锂业股份有限公司 Tianqi Lithium Corporation 二〇二五年半年度报告 股票简称：天齐锂业 股票代码：002466 披露时间：2025 年 8 月 30 日 2 天齐锂业股份有限公司 2025 年半年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容 的真实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担 个别和连带的法律责任。 公司负责人蒋安琪、主管会计工作负责人邹军及会计机构负责人(会计主 管人员)文茜声明：保证本半年度报告中财务报告的真实、准确、完整。 所有董事均已出席了审议本次半年报的董事会会议。 本半年度报告涉及未来计划等前瞻性陈述，不构成公司对投资者的实质 承诺，请投资者注意投资风险。 本报告第三节"管理层讨论与分析"之"十、公司面临的风险和应对措 施"部分，描述了公司可能存在的风险及应对的措施，敬请投资者关注相关 内容。 公司计划不派发现金红利，不送红股，不以公积金转增股本。 3 | 第一节 | 重要提 ...

Important Notes, Table of Contents, and Definitions [Important Notes](index=2&type=section&id=%E9%87%8D%E8%A6%81%E6%8F%90%E7%A4%BA) The company's management guarantees the report's authenticity and accuracy, and a cash dividend plan has been approved - The Board of Directors, Supervisory Committee, and senior management guarantee the authenticity, accuracy, and completeness of this semi-annual report, ensuring it is free from false records, misleading statements, or material omissions, and they assume individual and joint legal liability[4](index=4&type=chunk) - Company head He Qiqiang, chief accounting officer Huang Rongtai, and head of the accounting department Huang Yonglian declare that the financial statements in this semi-annual report are authentic, accurate, and complete[4](index=4&type=chunk) 2025 Semi-Annual Profit Distribution Plan | Metric | Value | | :--- | :--- | | Distribution Base (Shares) | 742,025,996 | | Cash Dividend per 10 Shares (CNY, incl tax) | 1.5 | | Bonus Shares per 10 Shares (incl tax) | 0 | | Capitalization of Capital Reserves | No | [Directory of Documents for Inspection](index=4&type=section&id=%E5%A4%87%E6%9F%A5%E6%96%87%E4%BB%B6%E7%9B%AE%E5%BD%95) This section lists the reference documents for the semi-annual report, available at the company's securities department and the Shenzhen Stock Exchange - Reference documents include financial statements signed and sealed by the legal representative, chief accounting officer, and head of the accounting department[8](index=8&type=chunk) - Originals of all company documents and announcements publicly disclosed in designated media during the reporting period are also available for inspection[9](index=9&type=chunk) - The documents for inspection are kept at the company's securities department and the Shenzhen Stock Exchange[12](index=12&type=chunk) [Definitions](index=5&type=section&id=%E9%87%8A%E4%B9%89) This section provides definitions for key terms used in the report, including company names, regulations, and industry-specific terminology - "Evergreen Group," "the Company," or "this Company" refers to Guangdong Evergreen (Group) Co, Ltd[13](index=13&type=chunk) - "The current reporting period" or "the reporting period" refers to the period from January 1, 2025, to June 30, 2025[14](index=14&type=chunk) - "MW" refers to megawatt, an electrical unit where 1 megawatt = 1,000,000 watts; "kWh" refers to kilowatt-hour, a unit for measuring electricity consumption, often called a "unit"[14](index=14&type=chunk) Company Profile and Key Financial Indicators [Company Profile](index=7&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E7%AE%80%E4%BB%8B) Guangdong Evergreen (Group) Co, Ltd, stock code 002616, is listed on the Shenzhen Stock Exchange with He Qiqiang as the legal representative - **Stock Name**: Evergreen Group, **Stock Code**: 002616[16](index=16&type=chunk) - **Stock Exchange**: Shenzhen Stock Exchange[16](index=16&type=chunk) - **Legal Representative**: He Qiqiang[16](index=16&type=chunk) [Contacts and Contact Information](index=7&type=section&id=%E4%BA%8C%E3%80%81%E8%81%94%E7%B3%BB%E4%BA%BA%E5%92%8C%E8%81%94%E7%B3%BB%E6%96%B9%E5%BC%8F) The company's Board Secretary is He Jun and the Securities Affairs Representative is Su Huiyi, both located in Zhongshan City, Guangdong Province - **Board Secretary**: He Jun, **Securities Affairs Representative**: Su Huiyi[17](index=17&type=chunk) - **Contact Address**: No 42, South Xiaolan Industrial Avenue, Zhongshan City, Guangdong Province[17](index=17&type=chunk) [Other Information](index=7&type=section&id=%E4%B8%89%E3%80%81%E5%85%B6%E4%BB%96%E6%83%85%E5%86%B5) No changes occurred in the company's registration, office address, website, or information disclosure locations during the reporting period - The company's registered address, office address, postal code, website, and email address remained unchanged during the reporting period, with details available in the 2024 annual report[18](index=18&type=chunk) - The stock exchange website and media for disclosing the semi-annual report, as well as the location for report inspection, remained unchanged during the reporting period, with details available in the 2024 annual report[19](index=19&type=chunk) [Key Accounting Data and Financial Indicators](index=7&type=section&id=%E5%9B%9B%E3%80%81%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) In H1 2025, net profit attributable to shareholders grew significantly despite a slight revenue decrease and a negative turn in operating cash flow 2025 Semi-Annual Key Accounting Data and Financial Indicators | Indicator | Current Period (CNY) | Prior Year Period (CNY) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,872,747,370.47 | 1,906,005,899.00 | -1.74% | | Net Profit Attributable to Shareholders | 120,627,031.11 | 82,492,756.02 | 46.23% | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) | 146,218,608.46 | 58,410,157.09 | 150.33% | | Net Cash Flow from Operating Activities | -167,359,609.97 | 109,461,627.05 | -252.89% | | Basic Earnings per Share (CNY/Share) | 0.1626 | 0.1112 | 46.22% | | Diluted Earnings per Share (CNY/Share) | 0.1617 | 0.1112 | 45.41% | | Weighted Average Return on Equity | 4.21% | 3.08% | 1.13% | | **End-of-Period Indicators** | **End of Current Period (CNY)** | **End of Prior Year (CNY)** | **Change from Prior Year-End** | | Total Assets | 10,456,704,649.47 | 10,506,489,178.26 | -0.47% | | Net Assets Attributable to Shareholders | 2,925,118,835.44 | 2,804,835,501.96 | 4.29% | [Differences in Accounting Data under Domestic and Foreign Accounting Standards](index=8&type=section&id=%E4%BA%94%E3%80%81%E5%A2%83%E5%86%85%E5%A4%96%E4%BC%9A%E8%AE%A1%E5%87%86%E5%88%99%E4%B8%8B%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%B7%AE%E5%BC%82) No discrepancies exist between net profit and net assets reported under Chinese accounting standards versus international or foreign accounting standards - The company reports no differences in net profit and net assets between financial reports prepared under international accounting standards and Chinese accounting standards[22](index=22&type=chunk) - The company reports no differences in net profit and net assets between financial reports prepared under foreign accounting standards and Chinese accounting standards[23](index=23&type=chunk) [Non-recurring Profit and Loss Items and Amounts](index=8&type=section&id=%E5%85%AD%E3%80%81%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E9%A1%B9%E7%9B%AE%E5%8F%8A%E9%87%91%E9%A2%9D) Non-recurring profit and loss for the period totaled -CNY 25,591,577.35, mainly from non-current asset disposal losses and government grants 2025 Semi-Annual Non-recurring Profit and Loss Items and Amounts | Item | Amount (CNY) | Notes | | :--- | :--- | :--- | | Gain/Loss on Disposal of Non-current Assets | -33,098,924.10 | Primarily net loss on disposal of assets and long-term assets | | Government Grants Recognized in Current Profit/Loss (Excluding Continuous Impact) | 1,200,302.78 | Government grants recorded in other income this period | | Other Non-operating Income and Expenses | 7,778,691.34 | - | | Other Items Meeting the Definition of Non-recurring Profit/Loss | 123,248.45 | Primarily personal income tax handling fee refunds and investment income | | Less: Income Tax Impact | 1,594,903.22 | - | | Minority Interest Impact (After Tax) | -7.40 | - | | **Total** | **-25,591,577.35** | - | Management Discussion and Analysis [Principal Business Activities During the Reporting Period](index=10&type=section&id=%E4%B8%80%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%85%AC%E5%8F%B8%E4%BB%8E%E4%BA%8B%E7%9A%84%E4%B8%BB%E8%A6%81%E4%B8%9A%E5%8A%A1) The company's main business is in environmental protection and governance, focusing on biomass cogeneration, centralized heating, and waste-to-energy projects - The company's main business includes agricultural and forestry biomass cogeneration, centralized coal-fired heating for industrial parks, and waste-to-energy generation, primarily engaged in power and heat production and comprehensive utilization of biomass[28](index=28&type=chunk) - The company is classified under category "N77 Ecological Protection and Environmental Governance" within the "N Water Conservancy, Environment and Public Facilities Management" industry[28](index=28&type=chunk) - As of the end of 2024, national biomass power generation installed capacity reached **45.99 million kW**, a year-on-year increase of **4.2%**; national biomass power generation in 2024 reached **208.3 billion kWh**, a year-on-year increase of **5.2%**[31](index=31&type=chunk) - The national voluntary greenhouse gas emission reduction trading market (CCER) officially restarted on January 22, 2024, which is expected to create new revenue streams for the company's biomass projects[35](index=35&type=chunk) [Industry Development](index=10&type=section&id=%EF%BC%88%E4%B8%80%EF%BC%89%E5%85%AC%E5%8F%B8%E6%89%80%E5%B1%9E%E8%A1%8C%E4%B8%9A%E5%8F%91%E5%B1%95%E6%83%85%E5%86%B5) National energy policies favor a green transition, with the carbon market and CCER restart presenting new opportunities for the biomass industry - The 2025 National Energy Work Conference emphasized the unwavering promotion of a green and low-carbon energy transition to build a new energy system based on non-fossil fuels[29](index=29&type=chunk) - The 2025 Government Work Report stressed the active and steady advancement of carbon peaking and neutrality, expanding the coverage of the national carbon emissions trading market[30](index=30&type=chunk) - In 2024, national biomass heating supply was approximately **489 million GJ**, with agricultural and forestry biomass cogeneration contributing about **137 million GJ**[33](index=33&type=chunk) [Principal Business Operations](index=11&type=section&id=%EF%BC%88%E4%BA%8C%EF%BC%89%E5%85%AC%E5%8F%B8%E4%BB%8E%E4%BA%8B%E7%9A%84%E4%B8%BB%E8%A6%81%E4%B8%9A%E5%8A%A1%E6%83%85%E5%86%B5) The company's main operations include biomass cogeneration, centralized coal-fired heating, and waste-to-energy, with a total biomass installed capacity of 446MW - The company's agricultural and forestry biomass cogeneration business uses crop straw and forestry waste as raw materials to produce heat and electricity, achieving resource recycling[37](index=37&type=chunk) - As of the end of the reporting period, the company's 14 agricultural and forestry biomass power projects had a total installed capacity of **446MW** and a boiler capacity of **1,920 tons/hour**[37](index=37&type=chunk) - By the end of the reporting period, **12** of the company's agricultural and forestry biomass power projects were included in the electricity price subsidy list[37](index=37&type=chunk) - The company's centralized coal-fired heating projects for industrial parks have a total installed capacity of **160MW**, all of which are operational[39](index=39&type=chunk) - The company has approved the transfer of 100% equity in its Zhongshan waste-to-energy projects and has received the first installment payment of **CNY 123.56 million**[42](index=42&type=chunk) [Operating Performance During the Reporting Period](index=13&type=section&id=%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E7%BB%8F%E8%90%A5%E4%B8%9A%E7%BB%A9) Operating revenue slightly decreased by 1.74%, while net profit attributable to shareholders grew significantly by 46.23% due to lower fuel costs 2025 Semi-Annual Operating Performance Overview | Indicator | Amount (ten thousand CNY) | YoY Change | | :--- | :--- | :--- | | Operating Revenue | 187,274.74 | -1.74% | | Operating Profit | 15,498.97 | 55.41% | | Total Profit | 16,276.83 | 25.22% | | Net Profit Attributable to Shareholders | 12,062.70 | 46.23% | | Total Assets (End of Period) | 1,045,670.47 | -0.47% | | Equity Attributable to Shareholders (End of Period) | 292,511.88 | 4.29% | | Basic Earnings per Share | 0.1626 CNY | 46.22% | - The slight decrease in operating revenue was mainly due to the downward adjustment of steam prices in industrial park heating projects, which was synchronized with the decline in coal prices[43](index=43&type=chunk) - The significant increase in net profit attributable to shareholders was primarily due to **lower fuel costs** and an increase in the number of projects qualifying for VAT refund policies for comprehensive resource utilization[43](index=43&type=chunk) [Major Work Undertaken During the Reporting Period](index=13&type=section&id=%E6%8A%A5%E5%91%8A%E6%9C%9F%E4%B8%BB%E8%A6%81%E5%BC%80%E5%B1%95%E7%9A%84%E5%B7%A5%E4%BD%9C) The company enhanced operational efficiency through technical upgrades, expanded its customer base, and advanced its digital transformation via strategic investments - Biomass cogeneration projects saw synchronous growth in operating hours, power generation, and electricity sales, with several projects expanding into new heating and steam supply services[44](index=44&type=chunk) - Fuel supply was secured and cost-effectiveness improved by exploring local resources, optimizing fuel structure, and developing straw storage suppliers[44](index=44&type=chunk) - Several projects completed SCR environmental technology upgrades for boilers, achieving compliant emissions even under ultra-low load conditions and improving unit energy efficiency[45](index=45&type=chunk][46](index=46&type=chunk) - Centralized coal-fired heating projects successfully expanded their customer base to include food production enterprises and increased biomass co-firing ratios to enhance resilience[47](index=47&type=chunk) - The waste-to-energy project significantly improved efficiency, with **power generation per ton of waste increasing by 16.24% and 8.02%** year-on-year, while plant power consumption rates decreased[48](index=48&type=chunk) - The company acquired a **49% stake** in Beijing ZKXK Big Data Co, Ltd to jointly promote the industry's digital transformation and intelligent upgrading[49](index=49&type=chunk) [Core Competitiveness Analysis](index=14&type=section&id=%E4%BA%8C%E3%80%81%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B%E5%88%86%E6%9E%90) The company's core competitiveness lies in its strategic risk control, operational efficiency, and significant scale in the biomass power generation sector - The company aligns with national low-carbon strategies, with coal-fired projects benefiting from carbon quota sales and biomass projects poised to gain from CCER trading[51](index=51&type=chunk) - Leveraging its refined management experience from manufacturing, the company implements a scientific project expansion and review system, prioritizing regions with high heat demand[52](index=52&type=chunk) - Most of the company's biomass projects are cogeneration-capable, with 12 already generating heating revenue, and plans to deepen the circular utilization of biomass resources[54](index=54&type=chunk) - The company utilizes information systems for data analysis across projects to enable timely warnings and optimizations, enhancing production efficiency and cost control[55](index=55&type=chunk][56](index=56&type=chunk) - According to a Guosen Securities research report, the company ranks **third nationally and first among private enterprises** in terms of agricultural and forestry biomass power generation installed capacity in 2024[58](index=58&type=chunk) [Main Business Analysis](index=16&type=section&id=%E4%B8%89%E3%80%81%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) Net profit grew 46.23% due to lower fuel costs and tax benefits, despite a 1.74% revenue decline and a significant drop in operating cash flow Key Financial Data YoY Changes for H1 2025 | Indicator | Current Period (CNY) | Prior Year Period (CNY) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,872,747,370.47 | 1,906,005,899.00 | -1.74% | - | | Operating Cost | 1,441,269,548.24 | 1,517,030,031.45 | -4.99% | - | | Finance Costs | 124,907,709.73 | 152,394,566.29 | -18.04% | - | | Net Cash Flow from Operating Activities | -167,359,609.97 | 109,461,627.05 | -252.89% | Mainly due to different timing of electricity payment collections | | Net Cash Flow from Investing Activities | 106,916,602.57 | -75,572,805.28 | 241.47% | Mainly due to increased proceeds from the sale of equity | | Net Profit Attributable to Parent Company | 120,627,031.11 | 82,492,756.02 | 46.23% | Lower fuel costs; increased VAT refunds from comprehensive resource utilization projects | Operating Revenue Composition for H1 2025 | Category | Current Period Amount (CNY) | % of Revenue | Prior Year Amount (CNY) | % of Revenue | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | **Total** | **1,872,747,370.47** | **100%** | **1,906,005,899.00** | **100%** | **-1.74%** | | **By Industry** | | | | | | | Environmental Thermal Energy | 1,862,230,395.16 | 99.44% | 1,893,786,714.60 | 99.36% | -1.67% | | **By Product** | | | | | | | Electricity | 1,095,243,254.72 | 58.48% | 1,010,260,570.33 | 53.00% | 8.41% | | Heat | 735,401,422.86 | 39.27% | 847,282,575.62 | 44.45% | -13.20% | - The gross margin for the environmental thermal energy business was **22.83%**, an increase of **2.70 percentage points** year-on-year[65](index=65&type=chunk) - Revenue from electricity products increased by **8.41%** year-on-year, with a gross margin of **21.78%**, up by **7.00 percentage points**[65](index=65&type=chunk) - Revenue from heat products decreased by **13.20%** year-on-year, with a gross margin of **23.63%**, down by **2.05 percentage points**[65](index=65&type=chunk) [Non-Main Business Analysis](index=18&type=section&id=%E5%9B%9B%E3%80%81%E9%9D%9E%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) The company had no non-main business activities during the reporting period [Analysis of Assets and Liabilities](index=18&type=section&id=%E4%BA%94%E3%80%81%E8%B5%84%E4%BA%A7%E5%8F%8A%E8%B4%9F%E5%80%BA%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) Total assets slightly decreased while net assets attributable to shareholders grew, with accounts receivable increasing due to pending subsidy payments Significant Changes in Asset Composition in H1 2025 | Item | End of Period Amount (CNY) | % of Total Assets | Prior Year-End Amount (CNY) | % of Total Assets | Change in % | Reason for Significant Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 482,857,281.39 | 4.62% | 544,211,078.39 | 5.18% | -0.56% | - | | Accounts Receivable | 3,540,992,470.31 | 33.86% | 3,419,136,638.78 | 32.54% | 1.32% | Mainly due to an increase in unsettled subsidy receivables for electricity fees | | Long-term Equity Investments | 4,973,911.68 | 0.05% | 0.00 | 0.00% | 0.05% | Mainly due to the new equity investment in Beijing ZKXK Big Data Co, Ltd | | Fixed Assets | 4,915,866,397.44 | 47.01% | 5,196,092,681.13 | 49.46% | -2.45% | - | | Short-term Borrowings | 579,461,094.29 | 5.54% | 717,751,563.81 | 6.83% | -1.29% | - | | Long-term Borrowings | 3,507,347,631.26 | 33.54% | 3,675,874,044.26 | 34.99% | -1.45% | - | Restricted Assets as of the End of the Reporting Period | Item | Book Balance (ten thousand CNY) | Book Value (ten thousand CNY) | Restriction Type | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 3,071.22 | 3,071.22 | Deposits, frozen & overseas funds | Guarantee and overseas funds | | Accounts Receivable | 276,866.64 | 259,582.05 | Pledge/Mortgage | Financing | | Fixed Assets | 178,043.04 | 129,774.91 | Pledge/Mortgage | Financing | | Intangible Assets | 34,187.32 | 29,134.08 | Pledge/Mortgage | Financing | | Long-term Equity Investments | 6,000.00 | 6,000.00 | Pledge/Mortgage | Financing | | **Total** | **498,168.22** | **427,562.26** | - | - | [Investment Analysis](index=19&type=section&id=%E5%85%AD%E3%80%81%E6%8A%95%E8%B5%84%E7%8A%B6%E5%86%B5%E5%88%86%E6%9E%90) The company's investment amount for the period was CNY 5,025,587.00, a significant increase year-on-year, with no major equity or securities investments Investment Amount in H1 2025 | Indicator | Amount (CNY) | YoY Change | | :--- | :--- | :--- | | Investment in Reporting Period | 5,025,587.00 | 50,155.87% | | Investment in Prior Year Period | 10,000.00 | - | - The company had no securities investments or derivative investments during the reporting period[71](index=71&type=chunk)[72](index=72&type=chunk) - The company had no use of raised funds during the reporting period[73](index=73&type=chunk) [Major Asset and Equity Sales](index=20&type=section&id=%E4%B8%83%E3%80%81%E9%87%8D%E5%A4%A7%E8%B5%84%E4%BA%A7%E5%92%8C%E8%82%A1%E6%9D%83%E5%87%BA%E5%94%AE) The company sold its 100% stake in Yutai Evergreen Environmental Energy Co, Ltd for CNY 293 million, with no material adverse impact on operations Major Asset Sale in H1 2025 | Counterparty | Asset Sold | Sale Date | Transaction Price (ten thousand CNY) | Net Profit Contribution of Asset to Sale Date (ten thousand CNY) | Ratio of Asset Sale Profit to Total Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | | Yutai County Huaxing New Energy Co, Ltd | 100% equity in Yutai Evergreen Environmental Energy Co, Ltd | 2025-04-30 | 29,300 | 921.41 | -25.62% | - Upon completion of this transaction, the company no longer holds equity in the target company, which will be removed from the consolidated financial statements[74](index=74&type=chunk) - The asset sale price was determined through negotiation between the parties, referencing the appraised value of the target equity as of the valuation date (November 30, 2024)[74](index=74&type=chunk) [Analysis of Major Holding and Participating Companies](index=20&type=section&id=%E5%85%AB%E3%80%81%E4%B8%BB%E8%A6%81%E6%8E%A7%E8%82%A1%E5%8F%82%E8%82%A1%E5%85%AC%E5%8F%B8%E5%88%86%E6%9E%90) The company's major subsidiaries in centralized heating, waste-to-energy, and biomass cogeneration contributed significantly to its net profit Major Holding and Participating Companies in H1 2025 | Company Name | Company Type | Main Business | Registered Capital (CNY) | Net Profit (CNY) | | :--- | :--- | :--- | :--- | :--- | | Guangdong Evergreen (Group) Mancheng Thermal Power Co, Ltd | Subsidiary | Industrial park centralized coal-fired heating | 65,000,000.00 | 61,462,325.98 | | Zhongshan Evergreen Environmental Thermal Energy Co, Ltd | Subsidiary | Waste-to-energy generation | 29,000,000.00 | 25,260,947.09 | | Juancheng Evergreen Biomass Energy Co, Ltd | Subsidiary | Biomass cogeneration | 26,000,000.00 | 22,329,570.49 | | Yanjin Evergreen Biomass Energy Co, Ltd | Subsidiary | Biomass cogeneration | 115,000,000.00 | 22,137,332.37 | | Xinye Evergreen Biomass Energy Co, Ltd | Subsidiary | Biomass cogeneration | 30,000,000.00 | 21,372,247.36 | - During the reporting period, Yutai Evergreen Environmental Energy Co, Ltd was removed from the consolidation scope due to its sale, with no significant impact on overall operations and performance[79](index=79&type=chunk) [Structured Entities Controlled by the Company](index=21&type=section&id=%E4%B9%9D%E3%80%81%E5%85%AC%E5%8F%B8%E6%8E%A7%E5%88%B6%E7%9A%84%E7%BB%93%E6%9E%84%E5%8C%96%E4%B8%BB%E4%BD%93%E6%83%85%E5%86%B5) The company did not control any structured entities during the reporting period [Risks and Countermeasures](index=22&type=section&id=%E5%8D%81%E3%80%81%E5%85%AC%E5%8F%B8%E9%9D%A2%E4%B8%B4%E7%9A%84%E9%A3%8E%E9%99%A9%E5%92%8C%E5%BA%94%E5%AF%B9%E6%8E%AA%E6%96%BD) The company faces risks from fuel price volatility, subsidy expirations, and delayed payments, which it mitigates through optimized procurement and business model adjustments - **Risk of biomass fuel supply and price fluctuations**: The company mitigates this by planning fuel procurement, managing seasonal purchasing rhythms, and increasing the proportion of local yellow straw fuel[80](index=80&type=chunk) - **Risk of subsidy expiration for early biomass projects**: The company is transitioning these projects to a cogeneration model focused on heat supply and increasing non-subsidized income to ensure continued operation[80](index=80&type=chunk) - **Risk of delayed subsidy payments for biomass projects**: The national renewable energy development fund faces a payment gap, posing a risk of delayed or incomplete subsidy payments[81](index=81&type=chunk) - **Risk of fuel price fluctuations for centralized coal-fired heating projects**: The company has incorporated price adjustment mechanisms into its steam supply agreements to hedge against the impact of volatile coal prices[81](index=81&type=chunk) - **Risk of rising average labor costs**: The company is actively implementing technical transformations and gradually adopting information technology and automation in production to address this risk[81](index=81&type=chunk) [Development and Implementation of Market Value Management System and Valuation Enhancement Plan](index=22&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E5%B8%82%E5%80%BC%E7%AE%A1%E7%90%86%E5%88%B6%E5%BA%A6%E5%92%8C%E4%BC%B0%E5%80%BC%E6%8F%90%E5%8D%87%E8%AE%A1%E5%88%92%E7%9A%84%E5%88%B6%E5%AE%9A%E8%90%BD%E5%AE%9E%E6%83%85%E5%86%B5) The company has not formulated a market value management system or disclosed a valuation enhancement plan during the reporting period [Implementation of the "Dual Improvement in Quality and Returns" Action Plan](index=22&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%22%E8%B4%A8%E9%87%8F%E5%9B%9E%E6%8A%A5%E5%8F%8C%E6%8F%90%E5%8D%87%22%E8%A1%8C%E5%8A%A8%E6%96%B9%E6%A1%88%E8%B4%AF%E5%BD%BB%E8%90%BD%E5%AE%9E%E6%83%85%E5%86%B5) The company has not disclosed a "Dual Improvement in Quality and Returns" action plan during the reporting period Corporate Governance, Environment, and Society [Changes in Directors, Supervisors, and Senior Management](index=23&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E3%80%81%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) No changes occurred among the company's directors, supervisors, or senior management during the reporting period - There were no changes in the company's directors, supervisors, and senior management during the reporting period; for details, please refer to the 2024 annual report[84](index=84&type=chunk) [Profit Distribution and Capitalization of Capital Reserves for the Reporting Period](index=23&type=section&id=%E4%BA%8C%E3%80%81%E6%9C%AC%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E5%8F%8A%E8%B5%84%E6%9C%AC%E5%85%AC%E7%A7%AF%E9%87%91%E8%BD%AC%E5%A2%9E%E8%82%A1%E6%9C%AC%E6%83%85%E5%86%B5) The company has approved a semi-annual profit distribution plan to pay a cash dividend of CNY 1.5 per 10 shares, totaling CNY 111,303,899.40 2025 Semi-Annual Profit Distribution Plan | Indicator | Value | | :--- | :--- | | Bonus Shares per 10 Shares | 0 | | Cash Dividend per 10 Shares (CNY, incl tax) | 1.5 | | Share Capital Base for Distribution (Shares) | 742,025,996 | | Total Cash Dividend (CNY, incl tax) | 111,303,899.40 | | Distributable Profit (CNY) | 1,002,857,637.33 | | Ratio of Cash Dividend to Total Profit Distribution | 100% | - This profit distribution plan is subject to approval at the company's general shareholders' meeting[85](index=85&type=chunk) [Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=23&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E6%9D%83%E6%BF%80%E5%8A%B1%E8%AE%A1%E5%88%92%E3%80%81%E5%91%98%E5%B7%A5%E6%8C%81%E8%82%A1%E8%AE%A1%E5%88%92%E6%88%96%E5%85%B6%E4%BB%96%E5%91%98%E5%B7%A5%E6%BF%80%E5%8A%B1%E6%8E%AA%E6%96%BD%E7%9A%84%E5%AE%9E%E6%96%BD%E6%83%85%E5%86%B5) The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[86](index=86&type=chunk) [Environmental Information Disclosure](index=23&type=section&id=%E5%9B%9B%E3%80%81%E7%8E%AF%E5%A2%83%E4%BF%A1%E6%81%AF%E6%8A%AB%E9%9C%B2%E6%83%85%E5%86%B5) The company and its 20 major subsidiaries are subject to mandatory environmental information disclosure, with all facilities operating at 100% capacity - The company and its **20 major subsidiaries** are included in the list of enterprises required to disclose environmental information by law[87](index=87&type=chunk) Mid-2025 Flue Gas Treatment Facility Operation Rate | Project | Desulfurization Facility (%) | Dust Removal Facility (%) | Denitrification Facility (%) | | :--- | :--- | :--- | :--- | | Evergreen Environmental (Central Group I, II) | 100 | 100 | 100 | | Evergreen Thermal (Central Group III Expansion) | 100 | 100 | 100 | | Mancheng Thermal Power | 100 | 100 | 100 | | Maoming Thermal Power | 100 | 100 | 100 | | Lixian Thermal Power | 100 | 100 | 100 | | Yishui Environmental | 100 | 100 | 100 | | Mingshui Environmental | / | 100 | 100 | | Yutai Environmental | 100 | 100 | 100 | | Ning'an Environmental | 100 | 100 | 100 | | Juancheng Biomass | 100 | 100 | 100 | | Yongcheng Biomass | 100 | 100 | 100 | | Tieling Environmental | 100 | 100 | 100 | | Funing Biomass | 100 | 100 | 100 | | Tancheng Biomass | 100 | 100 | 100 | | Xinye Biomass | 100 | 100 | 100 | | Yanjin Biomass | 100 | 100 | 100 | | Suining Biomass | 100 | 100 | 100 | | Songyuan Biomass | 100 | 100 | 100 | | Binxian Biomass | 100 | 100 | 100 | | Huaxian Biomass | 100 | 100 | 100 | - The Binxian biomass project's nitrogen oxide emissions slightly exceeded half of the annual permissible limit, and the company plans technical upgrades to reduce emissions and ensure annual compliance[91](index=91&type=chunk) [Social Responsibility](index=27&type=section&id=%E4%BA%94%E3%80%81%E7%A4%BE%E4%BC%9A%E8%B4%A3%E4%BB%BB%E6%83%85%E5%86%B5) The company integrates social responsibility into its operations by developing clean energy projects and supporting local economic and environmental development - The company replaces fossil fuels with renewable energy through its biomass and energy-saving projects, enhancing rural electricity supply and clean energy use[93](index=93&type=chunk) - The company's biomass projects create numerous indirect employment opportunities through fuel procurement, absorbing local labor and aiding impoverished households[94](index=94&type=chunk) - Biomass cogeneration projects drive local industries such as fuel collection and transportation, providing additional income for farmers and assisting with agricultural equipment subsidies[95](index=95&type=chunk) - Projects address environmental issues like straw burning and water pollution by standardizing biomass fuel acquisition, with some projects collaborating with forestry departments to manage diseased wood[96](index=96&type=chunk) - Several projects successfully completed winter heating supply for local residents with zero complaints during the heating season[96](index=96&type=chunk) Important Matters [Commitments by the Company and Related Parties](index=28&type=section&id=%E4%B8%80%E3%80%81%E5%85%AC%E5%8F%B8%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E3%80%81%E8%82%A1%E4%B8%9C%E3%80%81%E5%85%B3%E8%81%94%E6%96%B9%E3%80%81%E6%94%B6%E8%B4%AD%E4%BA%BA%E4%BB%A5%E5%8F%8A%E5%85%AC%E5%8F%B8%E7%AD%89%E6%89%BF%E8%AF%BA%E7%9B%B8%E5%85%B3%E6%96%B9%E5%9C%A8%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%B1%A5%E8%A1%8C%E5%AE%8C%E6%AF%95%E5%8F%8A%E6%88%AA%E8%B3%B3%E6%8A%A5%E5%91%8A%E6%9C%9F%E6%9C%AB%E8%B6%85%E6%9C%9F%E6%9C%AA%E5%B1%A5%E8%A1%8C%E5%AE%8C%E6%AF%95%E7%9A%84%E6%89%BF%E8%AF%BA%E4%BA%8B%E9%A1%B9) No commitments were fulfilled or overdue by the company's controlling shareholders, related parties, or the company itself during the reporting period - The company reports no fulfilled or overdue commitments by its actual controller, shareholders, related parties, acquirers, or the company itself during the reporting period[99](index=99&type=chunk) [Non-operating Fund Occupation by Controlling Shareholders and Other Related Parties](index=28&type=section&id=%E4%BA%8C%E3%80%81%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%B3%E8%81%94%E6%96%B9%E5%AF%B9%E4%B8%8A%E5%B8%82%E5%85%AC%E5%8F%B8%E7%9A%84%E9%9D%9E%E7%BB%8F%E8%90%A5%E6%80%A7%E5%8D%A0%E7%94%A8%E8%B5%84%E9%87%91%E6%83%85%E5%86%B5) There was no non-operating fund occupation by controlling shareholders or other related parties during the reporting period - The company reports no non-operating fund occupation by its controlling shareholders and other related parties[100](index=100&type=chunk) [Irregular External Guarantees](index=28&type=section&id=%E4%B8%89%E3%80%81%E8%BF%9D%E8%A7%84%E5%AF%B9%E5%A4%96%E6%8B%85%E4%BF%9D%E6%83%85%E5%86%B5) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[101](index=101&type=chunk) [Appointment and Dismissal of Accounting Firm](index=28&type=section&id=%E5%9B%9B%E3%80%81%E8%81%98%E4%BB%BB%E3%80%81%E8%A7%A3%E8%81%98%E4%BC%9A%E8%AE%A1%E5%B8%88%E4%BA%8B%E5%8A%A1%E6%89%80%E6%83%85%E5%86%B5) The company's semi-annual financial report has not been audited - The company's semi-annual report has not been audited[102](index=102&type=chunk) [Explanation by the Board of Directors and Supervisory Committee on the "Non-standard Audit Report" for the Current Period](index=28&type=section&id=%E4%BA%94%E3%80%81%E8%91%A3%E4%BA%8B%E4%BC%9A%E3%80%81%E7%9B%91%E4%BA%8B%E4%BC%9A%E5%AF%B9%E4%BC%9A%E8%AE%A1%E5%B8%88%E4%BA%8B%E5%8A%A1%E6%89%80%E6%9C%AC%E6%8A%A5%E5%91%8A%E6%9C%9F%22%E9%9D%9E%E6%A0%87%E5%87%86%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A%22%E7%9A%84%E8%AF%B4%E6%98%8E) This section is not applicable as there was no "non-standard audit report" for the current period [Explanation by the Board of Directors on the "Non-standard Audit Report" of the Previous Year](index=28&type=section&id=%E5%85%AD%E3%80%81%E8%91%A3%E4%BA%8B%E4%BC%9A%E5%AF%B9%E4%B8%8A%E5%B9%B4%E5%BA%A6%22%E9%9D%9E%E6%A0%87%E5%87%86%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A%22%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5%E7%9A%84%E8%AF%B4%E6%98%8E) This section is not applicable as there was no "non-standard audit report" in the previous year [Bankruptcy and Reorganization Matters](index=28&type=section&id=%E4%B8%83%E3%80%81%E7%A0%B4%E4%BA%A7%E9%87%8D%E6%95%B4%E7%9B%B8%E5%85%B3%E4%BA%8B%E9%A1%B9) The company did not undergo any bankruptcy or reorganization during the reporting period - The company did not undergo any bankruptcy or reorganization during the reporting period[103](index=103&type=chunk) [Litigation Matters](index=28&type=section&id=%E5%85%AB%E3%80%81%E8%AF%89%E8%AE%BC%E4%BA%8B%E9%A1%B9) The company had no major litigation or arbitration, but several minor cases involving contract disputes are ongoing or were initiated during the period - The company had no major litigation or arbitration matters during the reporting period[104](index=104&type=chunk) Other Litigation Matters in H1 2025 | Litigation (Arbitration) Details | Amount Involved (ten thousand CNY) | Provision for Liability | Litigation (Arbitration) Progress | Litigation (Arbitration) Outcome and Impact | | :--- | :--- | :--- | :--- | :--- | | Summary of other non-material litigation (1 case, mainly contract dispute) disclosed in the 2024 Annual Report and continuing into this period | 348.86 | No | Court has ruled (in favor of plaintiff Maoming Thermal Power) | - | | Summary of other non-material litigation (2 cases, mainly contract disputes, creditor objections) initiated during this period | 1,547.6 | No | - | - | [Penalties and Rectifications](index=29&type=section&id=%E4%B9%9D%E3%80%81%E5%A4%84%E7%BD%9A%E5%8F%8A%E6%95%B4%E6%94%B9%E6%83%85%E5%86%B5) The company was not subject to any penalties or rectifications during the reporting period - The company reports no penalties or rectifications during the reporting period[106](index=106&type=chunk) [Integrity of the Company, its Controlling Shareholders, and Actual Controllers](index=29&type=section&id=%E5%8D%81%E3%80%81%E5%85%AC%E5%8F%B8%E5%8F%8A%E5%85%B6%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E3%80%81%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E7%9A%84%E8%AF%9A%E4%BF%A1%E7%8A%B6%E5%86%B5) No issues concerning the integrity of the company, its controlling shareholders, or actual controllers were reported during the period [Major Related-Party Transactions](index=29&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E9%87%8D%E5%A4%A7%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company had no major related-party transactions related to daily operations, asset acquisitions, or debt during the reporting period - The company had no related-party transactions related to daily operations during the reporting period[107](index=107&type=chunk) - The company had no related-party transactions involving the acquisition or sale of assets or equity during the reporting period[108](index=108&type=chunk) - The company had no related-party credit or debt transactions during the reporting period[110](index=110&type=chunk) [Major Contracts and Their Performance](index=30&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E9%87%8D%E5%A4%A7%E5%90%88%E5%90%8C%E5%8F%8A%E5%85%B6%E5%B1%A5%E8%A1%8C%E6%83%85%E5%86%B5) The company has multiple ongoing major contracts and provides significant guarantees for its subsidiaries, with total guarantees reaching 148.60% of net assets - The company had no custody, contracting, or leasing arrangements during the reporting period[114](index=114&type=chunk][115](index=115&type=chunk][116](index=116&type=chunk) Company Guarantees for Subsidiaries in H1 2025 (Partial) | Guaranteed Party | Guarantee Limit (ten thousand CNY) | Actual Guarantee Amount (ten thousand CNY) | Guarantee Type | Guarantee Period | | :--- | :--- | :--- | :--- | :--- | | Zhongshan Evergreen Environmental Thermal Energy Co, Ltd | 34,000 | 18,700 | Joint and several liability | 2018-10-10 to 2030-10-9 | | Yongcheng Evergreen Biomass Energy Co, Ltd | 27,000 | 15,034 | Joint and several liability | 2019-10-29 to 2033-10-28 | | Maoming Evergreen Thermal Power Co, Ltd | 40,000 | 36,000 | Joint and several liability | 2024-1-1 to 2033-12-31 | | Guangdong Evergreen (Group) Mancheng Thermal Power Co, Ltd | 40,000 | 21,246.81 | Joint and several liability | 2025-1-1 to 2025-12-31 | - The total approved guarantee limit for subsidiaries at the end of the period was **CNY 5.7655 billion**, with an actual outstanding balance of **CNY 2.7648 billion**[120](index=120&type=chunk) - The company's total guarantee amount represents **148.60%** of its net assets[121](index=121&type=chunk) - The company disclosed several major contracts, including biomass power and cogeneration projects, most of which are currently being executed[124](index=124&type=chunk)[125](index=125&type=chunk][127](index=127&type=chunk][128](index=128&type=chunk][130](index=130&type=chunk) [Other Major Matters](index=40&type=section&id=%E5%8D%81%E4%B8%89%E3%80%81%E5%85%B6%E4%BB%96%E9%87%8D%E5%A4%A7%E4%BA%8B%E9%A1%B9%E7%9A%84%E8%AF%B4%E6%98%8E) The company disclosed several significant events, including convertible bond conversions, a strategic cooperation agreement, and changes to registered capital - On January 3, 2025, the company announced the results of convertible bond conversions for Q4 2024 and the resulting share capital change[131](index=131&type=chunk) - On February 28, 2025, the company announced the signing of a strategic cooperation framework agreement with ZKXK (Beijing) Technology Co, Ltd[131](index=131&type=chunk) - On April 22, 2025, the company announced an increase in its registered capital and amendments to the Articles of Association[131](index=131&type=chunk) [Major Matters Concerning Subsidiaries](index=40&type=section&id=%E5%8D%81%E5%9B%9B%E3%80%81%E5%85%AC%E5%8F%B8%E5%AD%90%E5%85%AC%E5%8F%B8%E9%87%8D%E5%A4%A7%E4%BA%8B%E9%A1%B9) The company completed the equity transfer of Yutai Environmental and is advancing the sale of two other subsidiaries, having received initial payments - The company signed an agreement to transfer 100% equity of Yutai Environmental and has received a partial payment of **CNY 173 million**; the equity transfer is complete, and Yutai Environmental is no longer consolidated[132](index=132&type=chunk][133](index=133&type=chunk) - The company signed an agreement to transfer 100% equity of Evergreen Environmental and Evergreen Thermal, having received the first installment payment of **CNY 123.56 million**[133](index=133&type=chunk) - The transfer of Evergreen Environmental and Evergreen Thermal has been approved by the shareholders' meeting, and the transaction is currently being implemented[133](index=133&type=chunk) Share Capital Changes and Shareholder Information [Changes in Share Capital](index=42&type=section&id=%E4%B8%80%E3%80%81%E8%82%A1%E4%BB%BD%E5%8F%98%E5%8A%A8%E6%83%85%E5%86%B5) The company's total share capital increased by 57,731 shares during the period due to the conversion of "Changji Convertible Bonds" Share Capital Changes in H1 2025 | Share Type | Pre-Change Quantity (Shares) | Pre-Change Ratio | Change (+/- Shares) | Post-Change Quantity (Shares) | Post-Change Ratio | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 271,736,100 | 36.62% | 0 | 271,736,100 | 36.62% | | II. Unrestricted Shares | 470,230,280 | 63.38% | 57,731 | 470,288,011 | 63.38% | | **III. Total Shares** | **741,966,380** | **100.00%** | **57,731** | **742,024,111** | **100.00%** | - The change in share capital was due to the conversion of **CNY 306,000.00** of "Changji Convertible Bonds" into **57,731** company shares during the reporting period[136](index=136&type=chunk) [Securities Issuance and Listing](index=43&type=section&id=%E4%BA%8C%E3%80%81%E8%AF%81%E5%88%B8%E5%8F%91%E8%A1%8C%E4%B8%8E%E4%B8%8A%E5%B8%82%E6%83%85%E5%86%B5) The company had no securities issuance or listing activities during the reporting period [Number of Shareholders and Shareholdings](index=43&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E8%82%A1%E4%B8%9C%E6%95%B0%E9%87%8F%E5%8F%8A%E6%8C%81%E8%82%A1%E6%83%85%E5%86%B5) At the end of the period, the company had 24,793 common shareholders, with top shareholders He Qiqiang and Mai Zhenghui acting in concert - The total number of common shareholders at the end of the reporting period was **24,793**[139](index=139&type=chunk) Top 10 Shareholders or Shareholders with over 5% Holding in H1 2025 | Shareholder Name | Holding Ratio | Shares Held at Period-End | Shareholder Type | Restricted Shares Held | Unrestricted Shares Held | Pledged, Marked, or Frozen Status | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | He Qiqiang | 25.77% | 191,213,800 | Domestic Individual | 143,410,350 | 47,803,450 | N/A | | Mai Zhenghui | 23.06% | 171,101,000 | Domestic Individual | 128,325,750 | 42,775,250 | N/A | | Zhongshan Evergreen New Industry Co, Ltd | 11.97% | 88,800,000 | Domestic Non-State-Owned Corp | 0 | 88,800,000 | N/A | | Huang Wangping | 1.63% | 12,083,000 | Domestic Individual | 0 | 12,083,000 | Frozen: 12,083,000 shares | | Xie Feichi | 0.22% | 1,601,900 | Domestic Individual | 0 | 1,601,900 | Marked: 725,100 shares | - He Qiqiang and Mai Zhenghui are parties acting in concert; He Qiqiang and Guo Miaobo are husband and wife; New Industry Co is controlled by He Qiqiang and Mai Zhenghui; Huang Wangping is the mother of He Qiqiang's daughter's spouse[139](index=139&type=chunk) [Changes in Shareholdings of Directors, Supervisors, and Senior Management](index=44&type=section&id=%E5%9B%9B%E3%80%81%E8%91%A3%E4%BA%8B%E3%80%81%E7%9B%91%E4%BA%8B%E5%92%8C%E9%AB%98%E7%BA%A7%E7%AE%A1%E7%90%86%E4%BA%BA%E5%91%98%E6%8C%81%E8%82%A1%E5%8F%98%E5%8A%A8) There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period - The shareholdings of the company's directors, supervisors, and senior management did not change during the reporting period; for details, please refer to the 2024 annual report[141](index=141&type=chunk) [Changes in Controlling Shareholder or Actual Controller](index=44&type=section&id=%E4%BA%94%E3%80%81%E6%8E%A7%E8%82%A1%E8%82%A1%E4%B8%9C%E6%88%96%E5%AE%9E%E9%99%85%E6%8E%A7%E5%88%B6%E4%BA%BA%E5%8F%98%E6%9B%B4%E6%83%85%E5%86%B5) The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder did not change during the reporting period[142](index=142&type=chunk) - The company's actual controller did not change during the reporting period[142](index=142&type=chunk) [Information on Preferred Shares](index=45&type=section&id=%E5%85%AD%E3%80%81%E4%BC%98%E5%85%88%E8%82%A1%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[143](index=143&type=chunk) Bond-related Information [Corporate Bonds](index=46&type=section&id=%E4%B8%80%E3%80%81%E4%BC%81%E4%B8%9A%E5%80%BA%E5%88%B8) The company had no corporate bonds during the reporting period - The company had no corporate bonds during the reporting period[145](index=145&type=chunk) [Company Bonds](index=46&type=section&id=%E4%BA%8C%E3%80%81%E5%85%AC%E5%8F%B8%E5%80%BA%E5%88%B8) The company had no company bonds during the reporting period - The company had no company bonds during the reporting period[146](index=146&type=chunk) [Non-financial Enterprise Debt Financing Instruments](index=46&type=section&id=%E4%B8%89%E3%80%81%E9%9D%9E%E9%87%91%E8%9E%8D%E4%BC%81%E4%B8%9A%E5%80%BA%E5%8A%A1%E8%9E%8D%E8%B5%84%E5%B7%A5%E5%85%B7) The company had no non-financial enterprise debt financing instruments during the reporting period - The company had no non-financial enterprise debt financing instruments during the reporting period[147](index=147&type=chunk) [Convertible Corporate Bonds](index=46&type=section&id=%E5%9B%9B%E3%80%81%E5%8F%AF%E8%BD%AC%E6%8D%A2%E5%85%AC%E5%8F%B8%E5%80%BA%E5%88%B8) The company's "Changji Convertible Bonds" (code 128105) had a balance of CNY 605 million at period-end, with a stable credit rating of AA- - On April 9, 2020, the company publicly issued **8 million** convertible corporate bonds with a total value of **CNY 800 million**, named "Changji Convertible Bond" (code "128105")[148](index=148&type=chunk) - The "Changji Convertible Bond" has been convertible into company shares since October 15, 2020, with an initial conversion price of **CNY 8.31 per share**[148](index=148&type=chunk) Convertible Bondholder Information for H1 2025 | Convertible Bond Name | Number of Bondholders at Period-End | Guarantor for the Company's Bonds | | :--- | :--- | :--- | | Changji Convertible Bond | 4,816 | None | Convertible Bond Changes in H1 2025 | Convertible Bond Name | Pre-Change Amount (CNY) | Change (Conversion) (CNY) | Post-Change Amount (CNY) | | :--- | :--- | :--- | :--- | | Changji Convertible Bond | 605,294,500.00 | 306,000.00 | 604,988,500.00 | Cumulative Conversion Status in H1 2025 | Convertible Bond Name | Total Issuance Amount (CNY) | Cumulative Converted Amount (CNY) | Cumulative Converted Shares | Unconverted Amount (CNY) | Unconverted Ratio | | :--- | :--- | :--- | :--- | :--- | :--- | | Changji Convertible Bond | 800,000,000.00 | 942,100.00 | 140,967 | 604,988,500.00 | 75.62% | - The conversion price of the "Changji Convertible Bond" has been adjusted multiple times, with the latest price being **CNY 5.30 per share** as of the end of this reporting period[154](index=154&type=chunk][155](index=155&type=chunk) - China Chengxin International Credit Rating Co, Ltd maintained the company's issuer credit rating at **AA-** with a stable outlook and the "Changji Convertible Bond" credit rating at **AA-** for the 2025 annual tracking[156](index=156&type=chunk) [Losses within the Consolidated Scope Exceeding 10% of Net Assets at the End of the Previous Year](index=48&type=section&id=%E4%BA%94%E3%80%81%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E5%90%88%E5%B9%B6%E6%8A%A5%E8%A1%A8%E8%8C%83%E5%9B%B4%E4%BA%8F%E6%8D%9F%E8%B6%85%E8%BF%87%E4%B8%8A%E5%B9%B4%E6%9C%AB%E5%87%80%E8%B5%84%E4%BA%A710%25) This situation did not occur during the reporting period [Key Accounting Data and Financial Indicators for the Past Two Years](index=48&type=section&id=%E5%85%AD%E3%80%81%E6%88%AA%E8%87%B3%E6%8A%A5%E5%91%8A%E6%9C%9F%E6%9C%AB%E5%85%AC%E5%8F%B8%E8%BF%91%E4%B8%A4%E5%B9%B4%E7%9A%84%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) Liquidity ratios improved and the asset-liability ratio decreased, while net profit excluding non-recurring items grew significantly by 150.33% Key Accounting Data and Financial Indicators for the Past Two Years | Item | End of Current Period (ten thousand CNY) | End of Prior Year (ten thousand CNY) | Change from Prior Year-End | | :--- | :--- | :--- | :--- | | Current Ratio | 1.41 | 1.33 | 6.02% | | Asset-Liability Ratio | 71.96% | 73.23% | -1.27% | | Quick Ratio | 1.33 | 1.24 | 7.26% | | **Item** | **Current Period (ten thousand CNY)** | **Prior Year Period (ten thousand CNY)** | **YoY Change** | | Net Profit Excluding Non-recurring Items | 14,621.86 | 5,841.02 | 150.33% | | EBITDA to Total Debt Ratio | 6.69% | 6.60% | 0.09% | | Interest Coverage Ratio | 2.30 | 1.85 | 24.32% | | Cash Interest Coverage Ratio | -1.15 | 1.25 | -192.00% | | EBITDA Interest Coverage Ratio | 4.04 | 3.28 | 23.17% | | Loan Repayment Ratio | 100.00% | 100.00% | 0.00% | | Interest Payment Ratio | 100.00% | 100.00% | 0.00% | Financial Report [Audit Report](index=49&type=section&id=%E4%B8%80%E3%80%81%E5%AE%A1%E8%AE%A1%E6%8A%A5%E5%91%8A) The company's semi-annual financial report has not been audited - The company's semi-annual financial report has not been audited[159](index=159&type=chunk) [Financial Statements](index=49&type=section&id=%E4%BA%8C%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section presents the consolidated and parent company financial statements for the first half of 2025, detailing the company's financial position and performance - The consolidated balance sheet shows total assets of **CNY 10,456,704,649.47**, total liabilities of **CNY 7,524,525,739.20**, and total equity of **CNY 2,932,178,910.27** at the end of the period[163](index=163&type=chunk) - The consolidated income statement shows total operating revenue of **CNY 1,872,747,370.47**, net profit of **CNY 121,881,864.35**, and net profit attributable to parent company shareholders of **CNY 120,627,031.11**[170](index=170&type=chunk) - The consolidated cash flow statement shows net cash flow from operating activities of **-CNY 167,359,609.97**, from investing activities of **CNY 106,916,602.57**, and from financing activities of **CNY 489,304.23**[174](index=174&type=chunk) [Company Basic Information](index=65&type=section&id=%E4%B8%89%E3%80%81%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5) Guangdong Evergreen (Group) Co, Ltd is an A-share listed company primarily engaged in waste treatment, biomass cogeneration, and industrial heating - The company has a total share capital of **742,024,111** shares with a par value of CNY 1 per share[193](index=193&type=chunk) - The company's main business activities include waste treatment and incineration for power generation, biomass cogeneration, centralized industrial heating, and waste heat power generation[194](index=194&type=chunk) - The financial report was approved for issuance by the Board of Directors on August 28, 2025[195](index=195&type=chunk) [Basis of Preparation of Financial Statements](index=65&type=section&id=%E5%9B%9B%E3%80%81%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E7%9A%84%E7%BC%96%E5%88%B6%E5%9F%BA%E7%A1%80) The financial statements are prepared on a going concern basis in accordance with the Enterprise Accounting Standards of China - These financial statements are prepared on a going concern basis, with recognition and measurement in accordance with the "Enterprise Accounting Standards - Basic Standard" and other specific accounting standards[197](index=197&type=chunk) - The company has assessed its going concern ability for the 12 months from the end of the reporting period and found it to be sound, with no significant doubts[198](index=198&type=chunk) [Significant Accounting Policies and Estimates](index=65&type=section&id=%E4%BA%94%E3%80%81%E9%87%8D%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%8A%E4%BC%9A%E8%AE%A1%E4%BC%B0%E8%AE%A1) This section details the company's significant accounting policies, including revenue recognition, financial instruments, fixed assets, and government grants - The financial statements comply with the requirements of the Enterprise Accounting Standards, providing a true and complete view of the company's financial position, operating results, and cash flows[200](index=200&type=chunk) - The company classifies financial assets into three categories: measured at amortized cost, measured at fair value through other comprehensive income, and measured at fair value through profit or loss[234](index=234&type=chunk) - The company applies an expected credit loss model for impairment accounting on items such as notes receivable, accounts receivable, and other receivables[244](index=244&type=chunk) - The company's revenue recognition principle involves identifying performance obligations in contracts and determining whether they are satisfied over time or at a point in time[314](index=314&type=chunk) - The company uses the straight-line method for depreciation of fixed assets, with depreciation periods of **10-54 years** for buildings and **5-20 years** for machinery and equipment[293](index=293&type=chunk) [Taxes](index=91&type=section&id=%E5%85%AD%E3%80%81%E7%A8%8E%E9%A1%B9) The company is subject to various taxes and benefits from preferential policies, including VAT refunds and corporate income tax reductions for its environmental projects Main Taxes and Tax Rates for H1 2025 | Tax Type | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Taxable value-added amount | 13%, 9%, 6% | | Urban Maintenance and Construction Tax | Payable VAT and consumption tax | 7%, 5%, 1% | | Corporate Income Tax | Taxable income | 25%, 16.5%, 20% | | Education Surcharge | Payable VAT and consumption tax | 3% | | Local Education Surcharge | Payable VAT and consumption tax | 2% | - Subsidiaries Evergreen Environmental Energy (Zhongshan) and Zhongshan Evergreen Environmental Thermal Energy enjoy a **100% VAT refund** on electricity generated from municipal solid waste[352](index=352&type=chunk) - The subsidiary Zhongshan Evergreen Environmental Thermal Energy's sewage treatment project benefits from a "three-year exemption, three-year half-rate" corporate income tax holiday[354](index=354&type=chunk) - Several biomass energy subsidiaries are eligible for a preferential policy where only **90%** of their income is included in the taxable income base for corporate income tax[355](index=355&type=chunk) [Notes to Consolidated Financial Statement Items](index=93&type=section&id=%E4%B8%83%E3%80%81%E5%90%88%E5%B9%B6%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) This section provides detailed notes on key items in the consolidated financial statements, including assets, liabilities, and equity components - The year-end balance of cash and cash equivalents was **CNY 482,857,281.39**, which includes restricted funds such as security deposits and regulated foreign exchange[357](index=357&type=chunk) - The year-end book value of accounts receivable was **CNY 3,540,992,470.31**, mainly due to an increase in unsettled subsidy receivables for electricity fees[366](index=366&type=chunk) - The year-end book value of fixed assets was **CNY 4,915,866,397.44**, and construction in progress was **CNY 149,794,338.94**[408](index=408&type=chunk][413](index=413&type=chunk) - The year-end balance of short-term borrowings was **CNY 579,461,094.29**, primarily consisting of credit loans[436](index=436&type=chunk) - The year-end balance of bonds payable (convertible corporate bonds) was **CNY 624,337,848.44**[464](index=464&type=chunk) - The year-end balance of retained earnings was **CNY 1,002,857,637.33**[488](index=488&type=chunk) [Changes in the Scope of Consolidation](index=122&type=section&id=%E5%85%AB%E3%80%81%E5%90%88%E5%B9%B6%E8%8C%83%E5%9B%B4%E7%9A%84%E5%8F%98%E6%9B%B4) The scope of consolidation decreased by one subsidiary due to the sale of Yutai Evergreen Environmental Energy Co, Ltd - During this period, one subsidiary, Yutai Evergreen Environmental Energy Co, Ltd, was sold[531](index=531&type=chunk) [Interests in Other Entities](index=122&type=section&id=%E4%B9%9D%E3%80%81%E5%9C%A8%E5%85%B6%E4%BB%96%E4%B8%BB%E4%BD%93%E4%B8%AD%E7%9A%84%E6%9D%83%E7%9B%8A) The company's corporate group consists of 31 subsidiaries engaged in businesses such as waste-to-energy, biomass cogeneration, and industrial heating - A total of **31** companies were included in the scope of consolidation for this reporting period[196](index=196&type=chunk) - Major subsidiaries include Chuangert Thermal Technology (Zhongshan) Co, Ltd and Evergreen Environmental Energy (Zhongshan) Co, Ltd, with business activities spanning leasing services, waste-to-energy, and biomass cogeneration[532](index=532&type=chunk][533](index=533&type=chunk][534](index=534&type=chunk) [Government Grants](index=124&type=section&id=%E5%8D%81%E3%80%81%E6%94%BF%E5%BA%9C%E8%A1%A5%E5%8A%A9) The company recognized government grants totaling CNY 95,338,595.77 in the current period, primarily from VAT refunds for comprehensive resource utilization Government Grants Recognized in Current Profit and Loss for H1 2025 | Account | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | VAT refund for comprehensive resource utilization | 94,138,292.99 | 65,457,526.70 | | Fiscal support funds | 915,440.31 | 1,126,223.12 | | Fiscal rewards, etc | 284,862.47 | 641,911.03 | | **Total** | **95,338,595.77** | **67,225,660.85** | [Risks Related to Financial Instruments](index=124&type=section&id=%E5%8D%81%E4%B8%80%E3%80%81%E4%B8%8E%E9%87%91%E8%9E%8D%E5%B7%A5%E5%85%B7%E7%9B%B8%E5%85%B3%E7%9A%84%E9%A3%8E%E9%99%A9) The company manages credit, liquidity, and market risks through debtor monitoring, maintaining sufficient cash reserves, and managing interest rate and currency exposures - The company's main financial instruments are exposed to credit risk, liquidity risk, and market risk[537](index=537&type=chunk) - Credit risk is controlled by assessing debtor creditworthiness, setting credit limits, and continuously monitoring receivable balances[538](index=538&type=chunk][539](index=539&type=chunk) - Liquidity risk is managed by maintaining adequate cash, monitoring bank loan usage, and securing backup credit facilities[540](index=540&type=chunk) - As of June 30, 2025, a **10%** appreciation/depreciation of the RMB against foreign currencies would increase/decrease the company's net profit by approximately **CNY 0.228 million**[543](index=543&type=chunk) - As of June 30, 2025, a **50 basis point** increase or decrease in interest rates on floating-rate financial liabilities (approx **CNY 4.872 billion**) would decrease or increase pre-tax profit by approximately **CNY 24.36 million**[545](index=545&type=chunk) [Fair Value Disclosure](index=126&type=section&id=%E5%8D%81%E4%BA%8C%E3%80%81%E5%85%AC%E5%85%81%E4%BB%B7%E5%80%BC%E7%9A%84%E6%8A%AB%E9%9C%B2) The company's only asset continuously measured at fair value is bank acceptance bills, with a period-end fair value of CNY 3,006,823.34 Year-end Fair Value of Assets and Liabilities Measured at Fair Value in H1 2025 | Item | Level 3 Fair Value Measurement (CNY) | Total (CNY) | | :--- | :--- | :--- | | (II) Receivables Financing | 3,006,823.34 | 3,006,823.34 | | **Total Assets Continuously Measured at Fair Value** | **3,006,823.34** | **3,006,823.34** | - The company's Level 3 fair value items are bank acceptance bills, whose fair value is determined by their face value due to their short remaining maturity[548](index=548&type=chunk) [Related Parties and Related-Party Transactions](index=126&type=section&id=%E5%8D%81%E4%B8%89%E3%80%81%E5%85%B3%E8%81%94%E6%96%B9%E5%8F%8A%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company's controlling shareholders are parties acting in concert with a 62.42% stake, and related-party transactions include services provided and guarantees - The company's controlling shareholders are parties acting in concert, including He Qiqiang and Mai Zhenghui, holding a combined **62.42%** stake[549](index=549&type=chunk) - The company's other related party is Zhongshan Chuangert Smart Home Technology Co, Ltd, which shares the same ultimate controlling shareholder[551](index=551&type=chunk) Related-Party Transactions for Goods and Services in H1 2025 | Related Party | Transaction Content | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | :--- | | Zhongshan Chuangert Smart Home Technology Co, Ltd | Provision of services | 9,553,280.58 | 10,816,698.96 | - The company provided guarantees for multiple subsidiaries, with amounts ranging from **CNY 1,372,100.00** to **CNY 360,000,000.00**, all under joint and several liability[555](index=555&type=chunk][556](index=556&type=chunk) - Key management personnel compensation for the current period amounted to **CNY 2,453,680.00**[558](index=558&type=chunk) Related-Party Payables in H1 2025 | Item Name | Related Party | Year-End Book Balance (CNY) | Beginning Book Balance (CNY) | | :--- | :--- | :--- | :--- | | Other Payables | Zhongshan Chuangert Smart Home Technology Co, Ltd | 1,592,213.43 | 1,802,783.16 | [Commitments and Contingencies](index=129&type=section&id=%E5%8D%81%E5%9B%9B%E3%80%81%E6%89%BF%E8%AF%BA%E5%8F%8A%E6%88%96%E6%9C%89%E4%BA%8B%E9%A1%B9) As of the balance sheet date, the company had no significant contingencies to disclose - As of the balance sheet date, the company has no contingencies that require disclosure[562](index=562&type=chunk) [Post-Balance Sheet Events](index=129&type=section&id=%E5%8D%81%E4%BA%94%E3%80%81%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8%E6%97%A5%E5%90%8E%E4%BA%8B%E9%A1%B9) The company approved the sale of two subsidiaries for CNY 494.24 million and has received the first installment payment of CNY 123.56 million - The company has approved the transfer of 100% equity in Evergreen Environmental Energy (Zhongshan) and Zhongshan Evergreen Environmental Thermal Energy for a transaction price of **CNY 494.2425 million**[564](index=564&type=chunk) - As of the disclosure date of this report, the company has received the first installment payment of **CNY 123.5607 million** from the counterparty[564](index=564&type=chunk) - This transaction does not involve related parties and does not constitute a major asset restructuring under the relevant regulations[564](index=564&type=chunk) [Notes to Major Items in the Parent Company's Financial Statements](index=129&type=section&id=%E5%8D%81%E5%85%AD%E3%80%81%E6%AF%8D%E5%85%AC%E5%8F%B8%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E4%B8%BB%E8%A6%81%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) The parent company's other receivables are primarily intercompany balances, and its long-term equity investments consist mainly of investments in subsidiaries - The parent company's other receivables at year-end totaled **CNY 3,740,848,384.66**, with intercompany balances accounting for **93.17%**[566](index=566&type=chunk][567](index=567&type=chunk][569](index=569&type=chunk) - The parent company's long-term equity investments had a book value of **CNY 3,431,752,617.99** at year-end, primarily consisting of investments in subsidiaries[578](index=578&type=chunk) - During the reporting period, the parent company reduced its investment in Yutai Evergreen Environmental Energy Co, Ltd by **CNY 270,000,000.00**[579](index=579&type=chunk) - The parent company's investment income for the period was **CNY 325,480,553.15**, mainly from cost-method long-term equity investments and gains on disposal of such investments[584](index=584&type=chunk) Supplementary Information [Detailed Schedule of Current Non-recurring Profit and Loss](index=136&type=section&id=1%E3%80%81%E5%BD%93%E6%9C%9F%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E6%98%8E%E7%BB%86%E8%A1%A8) Non-recurring profit and loss for the period totaled -CNY 25,591,577.35, mainly from non-current asset disposal losses and government grants Details of Non-recurring Profit and Loss for H1 2025 | Item | Amount (CNY) | Notes | | :--- | :--- | :--- | | Gain/Loss on Disposal of Non-current Assets | -33,098,924.10 | Primarily net loss on dispo

内蒙古欧晶科技股份有限公司 2025 年半年度报告全文 内蒙古欧晶科技股份有限公司 2025 年半年度报告 2025 年 8 月 1 内蒙古欧晶科技股份有限公司 2025 年半年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容 的真实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担 个别和连带的法律责任。 公司负责人张良、主管会计工作负责人马雷及会计机构负责人(会计主管 人员)霍雅楠声明：保证本半年度报告中财务报告的真实、准确、完整。 所有董事均已出席了审议本次半年报的董事会会议。 本报告所涉及的发展战略、经营计划等前瞻性陈述不构成公司对投资者的 实质承诺，敬请投资者注意投资风险。 公司在本报告第三节"管理层讨论与分析"之"十、公司面临的风险和应 对措施"中详细描述了公司经营中可能面临的风险，敬请投资者关注相关内 容并注意投资风险。 公司计划不派发现金红利，不送红股，不以公积金转增股本。 2 | | | | 第一节 | 重要提示、目录和释义 | | 2 | | --- | --- | --- | --- | | 第二节 | 公司简介和主要财务 ...

TCL 科技集团股份有限公司 2025 年半年度报告全文 TCL 科技集团股份有限公司 TCL Technology Group Corporation 2025 年半年度报告 2025 年 08 月 1 TCL 科技集团股份有限公司 2025 年半年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容 的真实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担 个别和连带的法律责任。 公司负责人李东生先生、主管会计工作负责人（CFO）黎健女士及会计 机构负责人（会计主管人员）净春梅女士声明：保证本半年度报告中财务报 告的真实、准确、完整。 所有董事均已出席了审议本次半年报的董事会会议。 本报告所涉及的未来计划、发展战略等前瞻性陈述不构成公司对投资者 的实质承诺，敬请投资者注意投资风险。 公司计划不派发现金红利，不送红股，不以公积金转增股本。 | | | 本报告将分别以中英文两种语言编制，在对中英文文本的理解上发生歧 义时，以中文文本为准。 2 TCL 科技集团股份有限公司 2025 年半年度报告全文 备查文件目录 （一）载有公司负责人、主管会计工作 ...