Bull Group received approximately RMB 259 million in government subsidies; Dongshan Precision achieved double growth in Revenue and net profit in the first half of the year

01 Dongshan Precision's net profit increased by 18.25% in the first half of the year, with significant growth in the LED display device business

Dongshan Precision disclosed its semi-annual report on the evening of August 11. The company's revenue for the first half of 2021 was RMB 14.005 billion, a year-on-year (YoY) increase of 23.50%; net profit attributable to shareholders of the listed company was RMB 605 million, a year-on-year (YoY) increase of 18.25%; basic earnings per share was RMB 0.35.

Dongshan Precision's business covers electronic circuits, optoelectronic displays, and precision manufacturing. In the optoelectronic display sector, the company is a well-known manufacturer of touch panels and LCD modules, as well as a producer of LED display devices.

Touch products are mainly applied in the display field for medium to large sizes, including laptops and tablets; LCD display module products are mainly applied in the display field for small to medium sizes, including mobile phones and tablets; LED display devices are widely used in indoor and outdoor fine-pitch HD displays, and Mini LED products are new products that the company is focusing on developing this year.

Dongshan Precision stated that from January to June 2021, the company integrated its touch panel and LCD module businesses to further leverage their synergies. Benefiting from the industry recovery driven by the widespread adoption of new technologies, the revenue from its touch display module business grew by 81.64%. However, due to factors such as exchange rate fluctuations, rising raw material prices, and adjustments in product structure, the gross profit margin in the first half of the year decreased compared to the same period last year.

From January to June 2021, with the recovery of the LED display industry, strong downstream product demand drove up utilization rates. Coupled with effective improvements in internal operational quality and efficiency, the company's LED display device business saw significant year-on-year (YoY) growth in both revenue and profit compared to the same period last year.

02 Bull Group receives government subsidies of approximately RMB 259 million

On August 10, Bull Group announced the receipt of government subsidies. The announcement stated that Bull Group received approximately RMB 259 million in government subsidies on August 6, 2021. Details are as follows:

Bull Group stated that the aforementioned government subsidies are all related to income, and the company will account for these subsidy funds in accordance with the relevant regulations of the Ministry of Finance. The specific accounting treatment and its impact on the company's annual profit shall be subject to the results confirmed by the auditors' annual audit.