EDIFIER(002351)2018-08-22 16:00Financial Performance - The company's operating revenue for the first half of 2018 was CNY 431,033,080.44, representing a 1.30% increase compared to CNY 425,492,657.02 in the same period last year[16]. - The net profit attributable to shareholders decreased by 39.91% to CNY 42,140,585.36 from CNY 70,127,560.69 year-on-year[16]. - The net profit after deducting non-recurring gains and losses fell by 54.23% to CNY 24,890,601.98 compared to CNY 54,384,390.17 in the previous year[16]. - The net cash flow from operating activities was CNY 9,970,214.75, down 30.43% from CNY 14,331,842.49 in the same period last year[16]. - The total operating revenue for the current period reached ¥431,033,080.44, a slight increase of 1.3% compared to ¥425,492,657.02 in the previous period[141]. - Net profit for the current period was ¥40,203,835.54, a decrease of 44.5% from ¥72,377,294.83 in the previous period[142]. - The company reported a net profit of CNY 9,802,953.36 for the current period, compared to a loss of CNY 58,800,000.00 in the previous period[158]. - The total comprehensive income for the current period is CNY 43,183,124.27, indicating a recovery from previous losses[158]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 1,977,600,746.65, a decrease of 1.63% from CNY 2,010,442,263.99 at the end of the previous year[16]. - Total current assets decreased to ¥1,477,561,209.22 from ¥1,510,733,603.72, a reduction of approximately 2%[131]. - Total liabilities decreased to ¥200,270,902.72 from ¥227,298,497.69, a reduction of approximately 12%[134]. - The total equity at the end of the current period is CNY 1,398,034,159.40, compared to CNY 1,425,752,016.98 at the end of the previous period, reflecting a decrease of approximately 1.94%[172][174]. Revenue Breakdown - Revenue from the headphone and headset series reached CNY 169.90 million, up 48.32% year-on-year[42]. - Revenue from multimedia speaker series was CNY 236.62 million, down 10.42% year-on-year[42]. - Revenue from professional audio products increased by 97.40% to CNY 8.04 million, driven by the "Air-Pulse" brand A series products[51]. - Revenue from air purifiers dropped by 79.72% to CNY 6.22 million due to improved air quality and reduced demand[51]. Research and Development - R&D expenses increased by 50.84% to CNY 29.65 million, reflecting higher investment in headphone product development[43]. - The company has received multiple international design awards, including the Red Dot Design Award and iF Product Design Award, showcasing its strong R&D and industrial design capabilities[32]. - The audio technology center project has been completed, enhancing the company's R&D capabilities for new products and technologies, although it does not generate direct economic benefits[69]. Market Strategy and Expansion - The company continues to focus on audio technology and has expanded its product lines, including the introduction of new brands such as "Xemal" and "Air-Pulse" for professional audio[24]. - The company has established over 50 overseas exclusive distributors, expanding its international sales network[38]. - Online sales channels have significantly contributed to growth, particularly through platforms like Amazon and JD.com[38]. - The company is actively developing new products such as wireless speakers and TV sound systems to adapt to the mobile internet era[68]. Shareholder Information - The total number of common shareholders at the end of the reporting period is 36,493[118]. - Zhang Wendong holds 31.31% of the shares, totaling 186,391,800 shares, with no changes during the reporting period[118]. - The company reported a total of 595,370,000 shares outstanding after the issuance of 7,370,000 restricted shares under the 2017 stock incentive plan[111]. - The company’s limited shares increased by 7,370,000 shares, with 6,470,000 shares allocated to employees under the stock incentive plan[115]. Financial Management - The company has implemented strict control over project expenses and reduced basic reserve costs to save on project expenditures[71]. - The company has not encountered any major changes in the use of raised funds during the reporting period[72]. - The company has not sold any significant assets or equity during the reporting period[75][76]. - The company has not reported any major environmental protection issues or engaged in targeted poverty alleviation efforts during the reporting period[104]. Future Outlook - The company expects a net profit attributable to shareholders for the first three quarters of 2018 to be between 40.31 million yuan and 70.55 million yuan, a decrease of 30% to 60% compared to 2017[78]. - The decline in performance is primarily due to unsold air purifier products, rising material and labor costs, and new equity incentive expenses[78]. - The company plans to strengthen human resource management and improve the performance evaluation system to stabilize core management and technical personnel[82].