Core Viewpoint - The operating situation of North Huajin Chemical Industry Co., Ltd. remains severe in the first half of 2025, with a continued decline in revenue and an expanded net loss compared to the previous year [1][2]. Group 1: Financial Performance - In the first half of 2025, the company reported an operating revenue of 20.104 billion yuan, a year-on-year decrease of 5.01% [1][2]. - The net loss attributable to shareholders reached 989 million yuan, with the loss scale increasing by 33.15% year-on-year [1][2]. - Following a peak revenue of 49.062 billion yuan in 2022, both revenue and net profit have been declining since 2023, with a significant loss of 2.795 billion yuan in 2024 [2]. Group 2: Business Operations - North Huajin primarily engages in the production and sale of chemical fertilizers and has expanded into petrochemical products, refining, and ethylene since 2007 [2]. - The company has established a comprehensive refining and chemical integration industry chain, including refining, polyolefins, ABS, and pseudocumene [2]. - The decline in performance is attributed to multiple factors, including insufficient global economic growth, fluctuating international oil prices, and increased domestic production capacity [2]. Group 3: Fund Utilization Issues - The company has approximately 3 billion yuan of raised funds that have remained uninvested since they were received at the end of 2014, indicating a long-term idle status [4][6]. - The funds were initially intended for a project in Inner Mongolia, which was halted due to economic feasibility concerns and lack of stable low-cost raw material supply [4][5]. - The prolonged idleness of these funds has raised concerns about corporate governance and the potential negative impact on shareholder value and company performance [6][7].