XIIC(000159)2024-08-05 10:27Financial Performance - Revenue for the reporting period was RMB 1.89 billion, a decrease of 43.19% compared to the same period last year[9] - Net profit attributable to shareholders was RMB 21.14 million, down 21.17% year-on-year[9] - Operating cash flow was negative RMB 124.03 million, a 55.12% decrease compared to the same period last year[9] - Basic earnings per share were RMB 0.044, a decrease of 21.15% year-on-year[9] - Total assets increased by 8.18% to RMB 4.02 billion compared to the end of the previous year[9] - Net assets attributable to shareholders increased by 1.18% to RMB 2.47 billion compared to the end of the previous year[9] - Revenue for the reporting period was 1,890,097,891.08 yuan, a decrease of 43.19% year-on-year[20] - Net profit attributable to the parent company was 21,141,000 yuan, a decrease of 21.17% year-on-year[18] - Total operating revenue for the first half of 2024 was 1,890,097,891.08 yuan, a decrease of 43.2% compared to 3,326,807,101.93 yuan in the same period last year[84] - Operating profit for the first half of 2024 was 20,228,410.19 yuan, down 37.9% from 32,563,038.71 yuan in the first half of 2023[85] - Net profit attributable to the parent company's shareholders was 21,140,990.17 yuan, a decrease of 21.2% compared to 26,820,131.53 yuan in the same period last year[85] - Basic earnings per share for the first half of 2024 were 0.0440 yuan, down from 0.0558 yuan in the first half of 2023[85] - Total comprehensive income for the first half of 2024 was 28,011,374.14 yuan, a slight decrease of 5.1% compared to 29,504,789.74 yuan in the same period last year[85] - Parent company's operating income for the first half of 2024 was 233,420,290.25 yuan, an increase of 31.1% compared to 178,054,249.35 yuan in the same period last year[86] - Parent company's net profit for the first half of 2024 was -5,748,148.05 yuan, an improvement from -7,217,542.22 yuan in the same period last year[86] - Parent company's basic earnings per share for the first half of 2024 were -0.0120 yuan, an improvement from -0.0150 yuan in the same period last year[87] - Sales of goods and services received cash of 2,188,535,379.91 yuan in the first half of 2024, a decrease of 38.7% compared to 3,572,616,036.49 yuan in the same period last year[88] - Net cash flow from operating activities was -124,033,694.18 yuan in the first half of 2024, compared to -79,958,673.62 yuan in the same period last year[89] - Net cash flow from investing activities was -248,667,746.63 yuan in the first half of 2024, compared to 5,796,950.76 yuan in the same period last year[89] - Net cash flow from financing activities was 199,010,654.18 yuan in the first half of 2024, an increase of 66.6% compared to 119,468,572.85 yuan in the same period last year[89] - The company received 494,600,000.00 yuan from borrowings in the first half of 2024, a significant increase from 208,500,000.00 yuan in the same period last year[89] - The company repaid 220,077,317.22 yuan of debt in the first half of 2024, compared to 113,449,765.04 yuan in the same period last year[89] - The company's cash and cash equivalents decreased by 173,837,149.15 yuan in the first half of 2024, compared to an increase of 45,324,545.13 yuan in the same period last year[89] - The company's cash and cash equivalents balance at the end of the period was 97,649,508.97 yuan, a decrease of 38.2% compared to 158,015,460.45 yuan at the end of the same period last year[89] - The parent company's cash flow from operating activities was -117,443,837.89 yuan in the first half of 2024, compared to -30,730,277.26 yuan in the same period last year[91] - The parent company's cash and cash equivalents balance at the end of the period was 15,742,223.24 yuan, a decrease of 84.9% compared to 104,107,343.31 yuan at the end of the same period last year[91] - The company's comprehensive income for the current period increased by RMB 6,923,520.46[94] - The owner's equity decreased by RMB 163,945,716.45 due to capital reduction[97] - The company's total comprehensive income for the period was RMB 2,733,910.67[97] - The company's capital reserve decreased by RMB 163,945,716.45[97] - The company's undistributed profit decreased by RMB 134,612,995.94[97] - The company's minority shareholders' equity decreased by RMB 86,103,536.01[97] - The company's total comprehensive income attributable to the parent company was RMB 29,554,042.20[97] - The company's total comprehensive income attributable to minority shareholders was RMB 29,504,789.74[97] - The company's total comprehensive income attributable to the parent company decreased by RMB 220,716,531.95[97] - Total comprehensive income for the period decreased by RMB 5,748,148.05[101] - Owner's equity at the end of the period was RMB 2,236,745,467.13[102] - Total comprehensive income for the previous period decreased by RMB 7,217,542.22[103] - Owner's equity at the beginning of the period was RMB 2,242,493,615.18[101] - The company's capital reserve at the beginning of the period was RMB 364,234,952.07[101] - The company's undistributed profit at the beginning of the period was RMB 1,184,374,319.54[101] - The company's undistributed profit at the end of the period was RMB 1,178,626,171.49[102] - The company's capital reserve at the end of the period remained unchanged at RMB 364,234,952.07[102] - The company's share capital remained unchanged at RMB 480,685,993.00 throughout the period[101][102] - The company's surplus reserve remained unchanged at RMB 213,198,350.57 throughout the period[101][102] - The company's total equity as of the end of the period is RMB 2,276,316,037.22[104] - The company's registered capital is RMB 480,685,993.00[105] Business Segments - The company's oil and chemical product wholesale business achieved revenue of 1,592.24 million yuan, a decrease of 43.73% year-on-year[16] - The company's manufacturing business achieved revenue of 285.07 million yuan, a decrease of 34.37% year-on-year[17] - The company's real estate business achieved revenue of 2.38 million yuan, an increase of 143.16% year-on-year[17] - Revenue from oil and chemical product wholesale business decreased by 43.73% year-on-year to 1,592,242,119.78 yuan[23] - Revenue from the manufacturing sector decreased by 34.37% year-on-year to 285,072,801.63 yuan[23] - Revenue from photovoltaic brackets decreased by 49.01% year-on-year to 168,056,466.28 yuan[24] - Revenue from steel pipe poles decreased by 63.99% year-on-year to 10,314,070.65 yuan[24] - Revenue from entrusted galvanizing processing increased by 332.76% year-on-year to 49,510,710.29 yuan[23] - Revenue from angle steel towers increased by 14.87% to RMB 53,556,192.76, accounting for 85.19% of total revenue[25] - Revenue from entrusted galvanizing processing grew by 32.69% to RMB 49,510,710.29, with a 6.61 percentage point increase in contribution[25] - Domestic revenue rose by 4.92% to RMB 1,890,097,891.08, contributing 1.3 percentage points more to total revenue[25] Subsidiaries and Investments - The company's subsidiaries include Xinjiang Zhongyou Chemical Group and Xinjiang International Real Estate Development[4] - Subsidiary Xinjiang Zhongyou Chemical Group Co., Ltd. reported a net loss of RMB 3,241,875.19, with total assets of RMB 1,064,990,919.47 and revenue of RMB 372,502,148.26[36] - Subsidiary Jiangsu Zhongda Pole & Tower Technology Development Co., Ltd. achieved a net profit of RMB 42,492,540.43, with total assets of RMB 854,398,889.64 and revenue of RMB 285,072,801.63[36] - Subsidiary Jinghu Petroleum (Jiangsu) Co., Ltd. reported a net profit of RMB 1,943,023.36, with total assets of RMB 184,193,590.92 and revenue of RMB 520,697,123.90[36] - The company's subsidiary, Zhongda Pole & Tower, achieved a cumulative net profit of RMB 3,358.545 million from 2021 to 2023, falling short of the promised RMB 3,540 million by RMB 1.81455 million. Compensation of RMB 64.0731 million was fulfilled by Xuzhou Suling Building Materials Trading Co., Ltd.[45] - The company's subsidiary, Zhongyou Chemical, established a vapor recovery system at oil loading and unloading ports to prevent volatilization and leakage, with regular environmental inspections conducted by local authorities[43] - The company's subsidiary, Xinjiang Nanshan Villa Hotel Management Co., Ltd., entered into a construction contract with Nanjing Chuangcheng Construction Development Co., Ltd. for RMB 37.84 million, with RMB 9.48 million already paid[58] - The company's daily related-party transactions with Xuzhou Lulu Shun Transportation Co., Ltd. amounted to RMB 2.89 million, accounting for 72.71% of similar transactions[51] - The company's total related-party transactions for 2024 are expected to be within RMB 57 million, with actual transactions amounting to RMB 6.52 million during the reporting period[51] - The company leased a factory area of 318,898.93 square meters, including 47,926.00 square meters of factory buildings and 4,086.63 square meters of office buildings, with a monthly rent of 5 yuan per square meter and an annual increase of 2%[61] - The company provided a total guarantee of 109,790 million yuan during the reporting period, with actual guarantees issued amounting to 11,000 million yuan[63] - The company planned to issue shares to specific targets with a total fundraising amount not exceeding 300 million yuan, but later withdrew the application due to market conditions[66] - The company decided to terminate the investment in the 4GWh lithium iron phosphate energy storage battery PACK integration production line project due to market oversupply and uncertain international orders[66] - The company transferred 100% equity of two real estate subsidiaries for a total of 254 million yuan, with an expected impact on performance of approximately -540 million yuan[66] - Xinjiang Zhongyou Chemical Group plans to invest in an intelligent warehousing project and expand supporting railway lines, with land acquisition and design work currently underway[67] - Xinjiang Haorui New Energy's 30,000-ton biodiesel project completed equipment installation in 2023 but remains idle due to industry downturn in 2024[67] - Jiangsu Zhongda Tower Technology's 7 workshop zinc plating production line became operational in H1 2024, with two additional lines expected to start soon[68] - Jiangsu Zhongda Tower Technology established Jiangsu Ruixu Equity Investment in May 2022, which was dissolved in July 2024 without conducting any business[68] - Tokmok Refinery remains inactive, with the company conducting policy and market assessments during the reporting period[68] - Total shares outstanding remain unchanged at 480,685,993, with 100% being tradable shares[69] - Jiangsu Rongneng Investment Development Co., Ltd. holds 22.82% of shares, with 76,796,221 shares pledged[70] - Qiu Ruifeng, a new shareholder, holds 2.66% of shares, totaling 12,781,000 shares[70] - Liu Ping increased holdings by 2,150,400 shares, bringing total ownership to 2.00% (9,637,605 shares)[70] - Nanjing Kecheng Software Technology Co., Ltd. is a new shareholder with 1.91% ownership (9,171,298 shares)[70] Market and Industry Trends - Domestic gasoline prices showed a trend of rising first and then falling, while diesel prices fluctuated within a range, with the average price not exceeding 7,600 yuan/ton in the first half of the year[14] - The China Bulk Commodity Price Index (CBPI) was 116.8 points in June 2024, down 1.7% month-on-month but up 3.6% year-on-year[14] - The cumulative installed power generation capacity in China reached approximately 3.07 billion kilowatts by the end of June 2024, a year-on-year increase of 14.1%[15] - Solar power installed capacity reached approximately 710 million kilowatts, a year-on-year increase of 51.6%, while wind power installed capacity reached approximately 470 million kilowatts, a year-on-year increase of 19.9%[15] - Grid engineering investment completed 254 billion yuan in the first half of 2024, a year-on-year increase of 23.7%[15] - The company's power tower business won three bids on the State Grid platform, with order amounts increasing by 92.77% year-on-year[17] - The company's zinc plating production lines expanded, with three lines in workshops 1 and 7 already operational, and the remaining two lines to be put into operation soon[17] Risks and Challenges - The company faces market risks due to fluctuations in international crude oil prices and increased competition from new energy alternatives, prompting a "sales-driven procurement" strategy to control costs[37] - Investment risks include uncertainties in funding and project outcomes for new initiatives such as bridge steel structure construction, smart warehousing, and hotel projects, with plans to diversify financing and strengthen project management[37] - Raw material price volatility, particularly for steel, poses a risk to manufacturing costs, with the company focusing on market analysis, supplier relationships, and cost control measures[37] - The company is addressing significant accounts receivable pressure by intensifying collection efforts and reducing credit sales in new orders[38] - The Kyrgyzstan refinery project recorded a loss of RMB -2,639,800, accounting for 3.32% of the company's net assets[30] - The company is involved in multiple legal disputes, including a construction contract dispute with Dongying Tuoyu Chemical Technology Co., Ltd., involving RMB 24.7 million[48] - A counterclaim by the company against Dongying Tuoyu Chemical Technology Co., Ltd. seeks RMB 10.7 million in compensation for breach of contract[48] - The company won a lawsuit against Zhongliang Engineering (Xi'an) International Engineering Co., Ltd., with a judgment of RMB 7.69 million in engineering and equipment payments[48] - The company is pursuing a lawsuit against Xinjiang Potassium Salt Mineral Resources Co., Ltd. for the return of investment and loan funds totaling RMB 36.26 million[49] - A construction contract dispute with Xinjiang Suzhong Construction Engineering Co., Ltd. resulted in a judgment requiring the company to pay RMB 6.25 million in principal and interest[49] - The company reached a settlement agreement for partial repayment of outstanding property payments and rent fees totaling RMB 5.13 million with Xinjiang International Real Estate Development Co., Ltd.[49] Environmental and Social Responsibility - Zhongda Pole & Tower invested in pollution control facilities, including laser cutting equipment, dust and smoke removal systems, zinc smoke absorption towers, and acid mist absorption towers, ensuring emissions meet standards and minimizing environmental impact[43] - Zhongda Pole & Tower completed environmental protection acceptance monitoring in March 2023, following the issuance of an environmental impact assessment approval in April 2022 and a pollutant discharge permit in July 2022[43] - The company participated in a charity event organized by the Youth League Committee of High-tech Zone (Xinshi District), donating equipment to help establish a 17-member drum and bugle corps at a school[44] Financial Statements and Accounting Policies - The company's financial report for the first half of the year was not audited[78] - Total liabilities increased to 1,547,026,442.81 RMB from 1,272,087,955.78 RMB, reflecting a 21.6% rise[81] - Current liabilities rose to 1,429,040,302.91 RMB from 1,111,784,958.74 RMB, a 28.5% increase[81] - Non-current liabilities decreased to 117,986,139.90 RMB from 160,302,997.04 RMB, a 26.4% decline[81] - Total assets grew to 3,180,480,446.29 RMB from 2,974,360,711.78 RMB, a 6.9% increase[82] - Current assets increased to 832,277,611.64 RMB from 645,157,095.82 RMB, a 29.0% rise[82] - Non-current assets slightly increased to 2,348,202,834.65 RMB from 2,329,203,615.96 RMB, a 0.8% growth[82] - Short-term borrowings