I. Overview
In the first half of 2020, faced with the impact of the COVID-19 epidemic, companies and upstream and downstream enterprises delayed their resumption of work, and the persistent outbreak of the COVID-19 epidemic plunged the global economy and aggravated its stagnation. The trade friction between China and the United States and the complicated relationship with other economies are superimposed, and the domestic economy is facing new challenges, which has caused a certain impact on Beibinhai, a subsidiary with more foreign-related business. In view of the above situation, Northern Binhai vigorously explored the domestic and foreign markets, actively searched for substitutes, and treated the existing inventory products by transforming the existing production lines to reduce losses.
Facing the complicated macroeconomic situation at home and abroad, the company insists on implementing the decision-making and deployment of the CPC Central Committee as the highest strategy, closely focuses on the main line of fulfilling the first responsibility of strengthening the army and promoting high-quality development, focuses on its main business, thoroughly implements the development policy of the new era, and promotes steady growth as a whole. Adhere to both production and operation and epidemic prevention and control, pay attention to innovation, adjust the structure, promote reform, strengthen management and prevent risks, achieve steady growth in operating income and profits, greatly increase the net cash flow from operating activities, and maintain a good economic operation.
(A) the basic situation of economic operation
From June to June, 2020, the company realized a total operating income of 2,365,438+0,865,438+0.52110,000 yuan, a year-on-year increase of 5.13%; The total profit was 2,654,380+0,382,800 yuan, a year-on-year increase of 65,438+0.20%; The net profit attributable to the parent company was 654,38+082,654,900 yuan, a year-on-year increase of 654,38+03.22%. The weighted average return on equity is 2.21%; The total assets turnover rate is 0.2 1 time; The net cash flow from operating activities is 87,868,700 yuan; The cost rate is 92.86%; The asset-liability ratio is 25.88%, and the basic earnings per share is 0. 13 12 yuan/share.
(2) Military scientific research and production are progressing smoothly.
Actively sorting out the impact of the epidemic on military production, rearranging the production schedule, increasing investment in scientific and technological innovation, strengthening production organization, fulfilling responsibilities, and resuming production has achieved remarkable results. In the first half of the year, the company's military tasks were successfully delivered, and its military revenue increased substantially.
(three) outstanding achievements in scientific research of civilian products
The technology of cultivating diamond single crystal by Central South Diamond has been continuously improved, and the technology of cultivating 2-4 carat diamond products has reached the world leading level and is being gradually promoted; Hongyu Special Purpose Vehicle Co., Ltd. completed the delivery of vehicle-mounted unmanned aerial vehicle fire truck (national VI) and fire rescue vehicle prototype and obtained the sales license, and completed the design and development of six new products such as SX 1 189 blasting equipment transport vehicle; Galaxy Power has completed the development of new civilian products represented by Yuchai Liuguo piston.
(D) Basic management to improve quality and efficiency
First, continue to strengthen the investigation of the company's safety and environmental protection responsibilities, revise and improve the company's safety production management system, sign a special target responsibility letter, and compact the responsibilities layer by layer to create a "zero tolerance" safety and environmental protection culture. The second is to refine and decompose the company's list of key work safety in 2020, form a "list" and a "list of enterprises" and gradually implement them. The third is to continue to carry out the "four major annihilation wars" and further standardize the four major operations: hot work, confined space operation, management of interested parties and aerial work.
Domain management processes and requirements, strengthen the implementation of the company's safety production risk classification control responsibilities and measures, set up a supervision team to increase the implementation of safety production hidden dangers rectification. Fourth, continue to intensify environmental protection work, clarify the work objectives and key tasks in 2020, and promote the overall improvement of environmental protection. Sixth, strengthen financial policy research, assist enterprises in difficulty to apply for special loans for bail-out, and strive for special fund support from relevant subsidiaries to replace external high-interest project loans and follow-up investments, so as to reduce capital costs. Fifth, strengthen equipment quality control, increase the comprehensive improvement of equipment quality and the implementation of upgrading projects, decompose and formulate tasks for 2020, establish a healthy quality management system, and strengthen communication, investigation and coordinated solution of quality information problems.
(V) Lean management has been further promoted.
The company systematically deploys lean management, studies and formulates the key points of lean management, and defines the work objectives and specific measures of the company and its subsidiaries; Organize the formulation of special responsibility letters for lean management of each unit in 2020, and decompose the key work of lean management in 2020; Organize subsidiaries to carry out lean production line construction, and constantly improve the level of automation and informatization of enterprises; Carry out the evaluation of management innovation achievements step by step according to the idea of "reserve, declaration, evaluation, award-winning and promotion"; Improve the construction of two-level procurement management system, strengthen the control of key procurement links, solidly promote online procurement, centralized procurement and open procurement, and reduce procurement costs; Carry out lean management and procurement management supervision and inspection to improve the management level of enterprises.
(6) Party building and clean government building have achieved fruitful results.
First, strengthen ideological party building, strengthen the party with theory, build the ideological "soul", give play to the exemplary role of the theoretical central group of the party Committee, carry out centralized discussion and study around the implementation of the company work conference, the spirit of the National "Two Sessions", epidemic prevention and control, and pay attention to ideological education.
The second is to implement the main responsibility of the party Committee, give full play to the leading role of the party Committee in "controlling the direction, managing the overall situation and ensuring implementation", and further clarify the matters discussed and decided by the party Committee. Third, earnestly fulfill the responsibility of the Discipline Inspection Commission for the supervision of the party's work style and clean government, continue to strictly manage the party in an all-round way, supervise and inspect the subsidiaries' implementation of the responsibility system for the party's work style and clean government, sign annual responsibility letters for the construction of the party's work style and clean government at different levels, and check and inspect the implementation of the "three noes" mechanism and the three-year plan.
Two. Risks faced by the company and countermeasures: the company plans not to pay cash dividends, send bonus shares or convert reserve funds into share capital. Contents of semi-annual report in 2020 ............................................................................................................................. 1 No. Kloc-0/ section important tips, Content and explanation ........................................................................................................ 2 Section 2 Company profile and main financial indicators ........................... ......................................................................... 5 Section 3 Company Business Overview ..................................................................'s Transportation On ...................................................... 8 in the fourth quarter. .......................................................................................... ................ 1 0 Section 5 Important Matters .............................................................................................................................. 1 6 Section 6 Changes in Shares and Shareholders .......................................................................................................... 35 Section 7 Preferred Shares .......................... ........................................................................................ 39 Section 8 Convertible corporate bonds related information. .................................................................................................. 40 Section 9 Directors, Supervisors, Senior Management Information ...................................................................................... 4 1 Section 10 Information on Corporate Bonds .................................................................................................................. 42 1 1 Section Financial Report .......................................................................................................................... 43 Paragraph 1 Two sections of document contents are for reference and explanation of ................................................................................................................ 180.
Three. Analysis of core competitiveness During the reporting period, in order to meet the requirements of strong military responsibility and high-quality development, the company took a number of measures, and the military products business segment, superhard materials business segment, special purpose vehicle and auto parts business segment achieved benign development, and the core competitiveness was constantly stabilized and enhanced. The following sub-business segments explain the company's core competitiveness. (I) Military business segment This business segment is undertaken by five wholly-owned subsidiaries, namely Northern Hongyang, Northern Hongyu, Northern Xiangdong, Northern Binhai and Jiangjite. Its core competitiveness is mainly manifested in the following aspects: the military products business is located in R&D and intelligent ammunition manufacturing, involving large-caliber artillery shells, rockets, missiles, submunitions and other weapons and equipment fields, with a variety of ammunition research and test design conditions, a variety of production methods of technical equipment capabilities, a number of national key model products R&D and mass production capacity, which can meet the production requirements of different ammunition and is at the domestic advanced level; There are special test sites and risk assessment test sites for insensitive ammunition. (II) Ultra-hard materials business segment This business segment is undertaken by Zhongnan Diamond, a wholly-owned subsidiary. Its core competitiveness mainly lies in: Zhongnan Diamond is a "high-tech enterprise", "national technological innovation demonstration enterprise" and "single manufacturing champion demonstration enterprise", with a nationally recognized enterprise technology center, a nationally recognized superhard material testing center and a Henan diamond products engineering technology center. The main products of Zhongnan Diamond include synthetic diamond, cubic boron nitride single crystal and polycrystalline series products, composite materials, synthetic diamond, high purity graphite and products. Zhongnan Diamond is a leading enterprise in superhard material industry, with strong technical force, strong scientific and technological innovation ability and integrated innovation ability, and has the technical advantages of the whole process of superhard material products. Its leading product, industrial diamond, ranks first in the world in terms of production, sales and market share for many years. Cultivating diamond products is a newly developed product of Zhongnan Diamond in recent years, and it is an important strategic product for Zhongnan Diamond to enter the field of consumer goods and realize transformation and upgrading, with broad market prospects. Zhongnan diamond has the technical advantage of scientific research and production of large-particle diamond single crystal, and has the technical leading advantage in HTHP technology production and cultivation of diamond products. At present, products of 2 carats and above are the main products. Zhongnan Diamond adheres to the concept of "customer first, honest management", implements the quality policy of "innovation for high quality, honesty for brand creation", vigorously strengthens brand building, and meticulously builds "Zhongnan" brand. At present, Zhongnan Diamond has become the first choice brand of industrial diamond products recognized by the industry, enjoying high popularity and reputation at home and abroad. (III) Special Purpose Vehicle and Auto Parts Sector This business sector is undertaken by three wholly-owned subsidiaries of Hongyu Special Purpose Vehicle, Northern Binhai and Galaxy Power. Its core competitiveness is mainly manifested in: 1. Hongyu Special Purpose Vehicle is a integration of defense and civilian technologies enterprise and a high-tech enterprise in Henan Province. Mainly engaged in the research and development, manufacturing and sales of series products such as refrigerated and insulated vehicles, blasting equipment transport vehicles, medical waste transfer vehicles and supporting military shelters. Its market share of blasting equipment transport vehicles ranks first in the country, and the market share of refrigerated and insulated vehicles ranks first in the country. It is one of the three pillar vehicle enterprises in Zhengzhou Automobile Industrial Park. During the reporting period, Hongyu Automobile Co., Ltd. continued the cooperative development of new products of unmanned aerial vehicles (National VI) and fire rescue vehicles, obtained production and sales licenses, and exhibited high-level fire equipment products and unmanned aerial vehicles for many times, laying the foundation for accelerating marketization; At the same time, special vehicles for medical waste were listed as key enterprises for epidemic prevention and control in COVID-19 by the Ministry of Industry and Information Technology. 2. Binhai North adheres to the development concept of "internationalization, big customers and famous supporting roles" to promote high-quality development. Focusing on the R&D and manufacturing of commercial vehicle parts, focusing on the world's top trailer enterprises, we have continuously strengthened our technology, brand, quality and service capabilities, extensively carried out technical exchanges, information sharing and docking, and made continuous progress in building a domestic production and testing base for van trailer parts. 3. Galaxy Power has excellent management and technical team, and strong industrial product R&D, manufacturing capability and technical support capability. On the basis of traditional internal combustion engine accessories such as cylinder liners and pistons, great progress has been made in industrial transformation and upgrading in recent years. The development and promotion of military piston cylinder liner and beam saber products have laid a solid foundation for the company to realize transformation and upgrading.