Stock Code: 000581, 200581 Public Notice No: 2023-042Short Form of the Stock: WFHT, Su Weifu-B
Weifu High-Technology Group Co., Ltd.Summary of Semi-Annual Report 2023I. Important NoticeThe summary is abstract from the full-text of Semi-Annual Report, for more details of operating results, financial condition andfuture development plan of the Company; investors should found in the full-text of Semi-Annual Report that published on mediaappointed by CSRC.
All directors have attended the Meeting for the Report deliberation.
Prompt of non-standard audit opinion
□Applicable ?Not applicable
Profit distribution pre-plan of common stock or capitalizing of common reserves pre-plan deliberated by the Board in the reportingperiod
□Applicable ?Not applicable
There is no plan of cash bonus, dividend distribution and capitalizing of common reserves carried out by the Company
Profit distribution pre-plan of preferred stock deliberated and approved by the Board in the reporting period
□Applicable ?Not applicable
II. Company information
1. Company Profile
| Short form of the stock | WFHT, Su Weifu-B | Stock code | 000581, 200581 | |
| Stock exchange for listing | Shenzhen Stock Exchange | |||
| Person/Way to contact | Secretary of the Board | Rep. of security affairs | ||
| Name | Liu Jinjun | Xu Kan | ||
| Contact add. | No.5 Huashan Road, Xinwu District, Wuxi | No.5 Huashan Road, Xinwu District, Wuxi | ||
| Tel. | 0510-80505999 | 0510-80505999 | ||
| Web@weifu.com.cn | Web@weifu.com.cn | |||
2. Main financial data and indexes
Whether it has retroactive adjustment or re-statement on previous accounting data or not
□Yes ?No
| Current period | Last period | Year-on-year increase(+)/decrease(-) | |
| Operation income (RMB) | 6,129,649,047.40 | 7,137,172,857.97 | -14.12% |
| Net profit attributable to shareholders of the listed company(RMB) | 948,760,859.55 | 1,091,126,480.08 | -13.05% |
| Net profit attributable to shareholders of the listed company after deducting extraordinary gains and losses(RMB) | 830,878,251.37 | 1,127,408,939.53 | -26.30% |
| Net cash flows arising from operating activities (RMB) | 1,089,961,237.42 | -2,493,982,044.89 | 143.70% |
| Basic earnings per share (RMB/Share) | 0.98 | 1.10 | -10.91% |
| Diluted earnings per share (RMB/Share) | 0.98 | 1.10 | -10.91% |
| Weighted average ROE | 5.24% | 5.55% | -0.31% |
| Ending balance of current period | Ending balance of last period | Year-on-year increase(+)/decrease(-) | |
| Total assets (RMB) | 28,352,668,665.53 | 28,528,913,065.01 | -0.62% |
| Net assets attributable to shareholders of listed company (RMB) | 18,544,382,977.56 | 17,696,679,170.72 | 4.79% |
3. Amount of shareholders of the Company and particulars about shares holding
Unit: share
| Total common stock shareholders at end of the reporting period | 71,080 | Total preference shareholders with voting rights recovered at end of reporting period (if applicable) | 0 | |||||
| Top 10 shareholders | ||||||||
| Full name of Shareholders | Nature of shareholder | Proportion of shares held | Amount of shares held | Amount of restricted shares held | Information of shares pledged, tagged or frozen | |||
| State of share | Amount | |||||||
| Wuxi Industry Development Group Co., Ltd. | State-owned corporate | 20.35% | 204,059,398 | 0 | ||||
| Robert Bosch Co., Ltd | Foreign corporate | 14.25% | 142,841,400 | 0 | ||||
| Hong Kong Securities Clearing Company | Foreign corporate | 2.37% | 23,810,734 | 0 | ||||
| BBH BOS S/A FIDELITY FD - CHINA FOCUS FD | Foreign corporate | 1.09% | 10,952,719 | 0 | ||||
| NSSF - 413 | Other | 1.06% | 10,650,000 | 0 | ||||
| Basic Pension Insurance Fund- 1003 | Other | 0.82% | 8,175,559 | 0 | ||||
| Ping An Life Insurance Co., Ltd. of China - Investment Link - Personal Insurance Investment Link | Other | 0.69% | 6,899,810 | 0 | ||||
| FIDELITY INVMT TRT FIDELITY INTL SMALL CAP FUND | Foreign corporate | 0.68% | 6,863,386 | 0 | ||||
| Shanghai Chongyang Strategic Investment Co., Ltd. - Chongyang Strategy Yingzhi Fund | Other | 0.55% | 5,500,106 | 0 | ||||
| Xie Zuogang | Domestic natural person | 0.51% | 5,132,967 | 0 | ||||
| Explanation on associated relationship concerted action among the aforesaid shareholders | Among the aforesaid shareholders, there has no associated relationship between Wuxi Industry Development Croup Co., Ltd., the first largest shareholder of the Company, and other shareholders; and they do not belong to the persons acting in concert regulated by the Management Measure of Information Disclosure on Change of Shareholding for Listed Company. | |||||||
| Explanation on the shareholders involved in margin trading (if applicable) | Among the top 10 shareholders, Shanghai Chongyang Strategic Investment Co., Ltd. - Chongyang Strategic Yingzhi Fund holds 5,500,106 shares through investor credit securities accounts; | |||||||
4. Changes in controlling shareholders or actual controllers
Change of controlling shareholder during the reporting period
□Applicable?Not applicable
The Company had no change of controlling shareholder during the reporting period
Change of actual controller during the reporting period
□Applicable?Not applicable
The Company had no change of actual controller during the reporting period
5. Total preferred shareholders and top 10 shares held by preferred shareholders
The Company has no preferred shareholders
6. Bonds in existence as of the approval date of the semi-annual report
□Applicable ?Not applicable
III. Important Matters
（1）The Company’s business conditions during the reporting period
Since the beginning of this year, the Company has earnestly implemented the annual work objectives and plans,and actively grasped and responded to the opportunities and challenges of the industry. During the reportingperiod, operation revenue from the Company was 6.130 billion yuan, down by 14.12% YOY; the net profitattributable to shareholder of listed company amounted to 0.949 billion yuan, down by 13.05% YOY.
（2）Main work carried out by the Company during the reporting period
1. Strengthened collaborative marketing management and accelerated the expansion of new industry markets.Since the beginning of this year, the Company has strengthened the collaborative marketing of existing businessand emerging business, and accelerated the expansion of key customer markets at home and abroad. Existingbusiness: The market shares of post-processing system purifier products kept rising, of which the year-on-yearsales increase of gasoline purifier has exceeded 20%; batch production of diesel purifier T4 has been achieved inmultiple key customer projects in non-road vehicle market. Batch production of gasoline supercharger has beenachieved or PPAP has been completed in some customer projects; a number of new customer projects have beenobtained for six cylinder diesel supercharger products, and small batch supply of methanol supercharger to keycustomers has been realized. The non-road vehicle market of distribution pump T4 was vigorously developed, andthe installation in 51 major agricultural machinery customers have been completed. The generator and loadermarkets were actively expanded; the overseas export market of products such as in-line pumps grew rapidly.Emerging business: The sales of electric drive parts maintained high growth, among which sales of motor shaftproducts rose by 2.6 times YOY; the first announced model of wheel hub motor was released, and a number ofnew model customer projects were carried out simultaneously; the construction of domestic production line,debugging or trial production of a number of hydrogen fuel cell products such as membrane electrode, metal
bipolar plate, alloy catalyst, electronic water pump, thermostat, hydrogen circulation pump and exhaust vent valvehave been completed, and domestic and foreign customer projects are successfully expanded. The OTSengineering recognition documents for electronic oil pump products have been submitted to the head customers,and the products have been designated for a number of customer projects. The tripartite strategic cooperation hasbeen reached with KargoBot and Arbe for 4D imaging radar products, and the first round of sample delivery androad testing have been completed; strategic cooperation has been reached with Shanxi Anshu IntelligentTechnology to jointly promote the research and development and commercial application in the smart mineindustry; testing and verification are actively carried out with a number of OEMs customers.
2. Strengthened technology R&D, and accelerated the development of new products. Existing business:
Successfully carried out the product reliability test of electronic fuel injection system 2200bar platform;Completed the sample functional verification and batch production manufacturing planning of dual-fuel directinjection product; Smoothly proceeded the development of low-carbon alternative fuel injection system.Completed the development and mass production of post-processing system platforms for light diesel vehicles,heavy diesel vehicles and non-road mobile machinery; Completed the development of post-processing systems forseveral plug-in hybrid vehicle models; Carried out the technical pre-research on products that meet national VIIemission standard and alternative fuel post-processing products. The development of diesel and natural gassupercharger projects that meet national VI emission standard was stably in progress. Completed the small batchverification of several key customer projects; Completed the development and small batch supply of gasolinesupercharger in the hybrid models of head new energy vehicle customers, which was in the ramp stage of massproduction; Actively promoted the use of 48V electric supercharger in customer pre-research projects. Emergingbusiness: Completed the production consistency verification of the pile core materials such as platinum-carboncatalyst and alloy catalyst production lines, as well as the commissioning and trial production of 1.1 millionpieces/year membrane electrode domestic production line; Achieved stable production of hydrogen ejector,hydrogen isolation valve and hydrogen safety valve; Completed production preparation for hydrogen exhaustvalve, electronic water pump and proportional three-way valve for batch production; Completed partial reliabilitytests for key BOP components such as 35/70 Mpa pressure relief valve and bottle valve, hydrogen circulatingpump and air bearing. Achieved the demonstration operation for electrolytic water hydrogen production system,and launched the development of platform product. Completed sample review and trial production of scatter radarand in-cabin radar C; Continuously promoted the customer project development and industrialization capacitybuilding for 4D imaging radar products.
3. Improved the operation quality of the strategic system, and promoted the investment layout of new business.Completed the review and evaluation of business strategic planning and strengthened the thermal managementbusiness and VH business capability planning, completed the strategic resource audit of hydraulic business,launched and promoted the strategic thematic studies on catalysts, coating technology and chassis; Acquired theland of hydrogen energy industrial park, and completed the preliminary design scheme and land application.Implemented the construction and investment of three global bases for hydrogen energy business, completedR&D and capacity expansion investment to graphite bipolar plate in IRD Europe and North America base and themetal bipolar plate in Borit Europe base, and accelerated the localization capacity building of Asia-Pacific base
WFQL joint venture; Finished the integration and collaboration after VH business acquisition; Carried out theresearch and exchanges on millimeter-wave radar enterprises, actively explored innovative cooperation modelsand deepened cooperation in wheel hub motor business. Jointly carried out market research with strategic partners,and actively promoted the research on technical path of PEM water-electrolytic hydrogen production business.Established post-investment management system and regulated the post-investment governance of subsidiaries.
4. Strengthened intelligent quality management, and steadily promoted engineering construction. Launched FMStooling management system and pilot implemented the phase I of WMS warehouse management system;Developed and tested MOM phase I manufacturing operation system; Completed the preliminary research on theiteration of TMS tool management system, EMS energy management system and PMS equipment managementsystem; Deployed IoT platform in the pilot units to achieve full connectivity of equipment interconnection.Completed the process planning of new platform products of the technology center, promoted the standardizationof process modules and launched phase II PLM development. Implemented Q11 quality criteria and continuouslyimprove the development quality management capability; Deepened the quality improvement review mechanism,audited core products and estimated the hierarchical evaluation of all elements of the process on a regular basis.Constructed R&D building according to the milestone, finished the project planning and foundation constructionof plant and station building on the lot 103, and proceeded the construction of the hydrogen energy industrial parkas planned.
5. Strengthened operation quality, and improved operation efficiency. Improved the standardized management oftax-related terms of contracts is improved promoted the tax early warning analysis in an orderly manner, andoptimized accounting process to improve operation efficiency; Strengthened business risk prevention, refinebusiness data analysis, optimized product and improved profitability. Improved and optimized the existingsystems and processes, invited external risk control experts for evaluation and training, continuously improved therisk control and management ability, and strengthened the risk detection and control at all levels of the Company.Improved business monitoring and analysis of lines and divisions, intensified deviation management andcorrective action tracking; Set up overseas project offices and investigated on overseas subsidiary managementand control mode; Developed and applied the phase II process operation analysis platform and document controlplatform. Evaluated status of procurement business, identified core problems and formulated optimizationmeasures; Completed the basic development of warehouse standardization system of the Group. Optimized thetalent structure, implement internal transfer and improved and the suitability of talents; Promoted theestablishment of talent sharing mechanism with high-skilled positions as a pilot; Explored the international talentwork exchange mechanism and business ability training program to build a sound international talent teams.
BOD of WEIFU HIGH-TECHNOLOGY GROUP CO., LTD.
22 August 2023