| WinnerMedical | Purcotton |
WinnerMedicalCo.,Ltd.AnnualReport
WinnerMedicalCo.,Ltd.AnnualReport
Caringforhealthandlife,makingabetterworld
ToShareholdersDearshareholdersandpartners:
Thechallengingandvolatileyearof2023haspassed,andthroughthecollectiveeffortsoftheentireWinnerMedicalteam,wehaveachievedthishard-wonoutcome.Wearegratefulforthestrongsupportoftheinvestorsandpartnersfromallsectors,withoutwhomthisaccomplishmentwouldnothavebeenpossible.OnbehalfoftheCompany’sBoardofDirectorsandmanagement,wesincerelythankyouforyourunderstandingandassistance.ForWinnerMedical,2023wasexceptionallydifficult.Themacroeconomicenvironmentpresentednumerouschallenges,withasharpdeclineindemandforinfectionprotectionproductsandavolatileandsegmentedconsumermarket.Thesefactorssignificantlyimpactedourproductionandoperations.TheseverityofexternalimpactsmadeensuringasmoothtransitionoftheCompany’soveralloperationstheprimaryconcernformanagementthroughouttheyear.In2023,theentireindustrialchainofinfectionprotectionproductsgrappledwithexcessinventory.Despitethischallenge,themedicalbusinessteamrosetotheoccasion,innovatingandproactivelyadjustingtheproductstructurewhileactivelyseekingopportunitiesandbreakthroughs.Forourinfectionprotectionproducts,wedecisivelyandefficientlymanagedinventoryanddisposedofequipment.Simultaneously,weproactivelycollaboratedwithsuppliers,distributors,andcustomerstonavigatethroughchallengesandweathertheindustrydownturntogether.Westeadfastlyupholdtheprinciplethatintimesofdifficulty,wemustnotpasstheburdenontoothersbutworkcollectivelytofindsolutions.It’sthroughjointeffortsduringcrisesthatweforgeenduringandhealthycooperativerelationships.Asthedomesticmarketcontinuestoadjustin2023,werecognizetheimportanceofseizingopportunitiesinforeignmarkets.Wededicatedconsiderableeffortstothisendeavor,withmanagementfrequentlyexploringinternationalmarketstosecurebusinessopportunitiesandexpandourmarketshare.Additionally,afterayearofempowerment,efficiencyenhancements,andresourceintegration,ityieldedpositiveresultsintermsofbusinesssynergyandvalueoptimizationacrossthemergedcompanies.Overall,whilethescaleofmedicalbusinessrevenueexperiencedadeclineduetoahighbasefigure,ourbusinessesgraduallyreturnedtonormalthisyear.Excludinginfectionprotectionproducts,revenuefromconventionalmedicalproductssawdouble-digitgrowth,stabilizingthefundamentalsofourlong-termbusinessdevelopmentandshowcasingtheresilienceofouroperationsforsustainedgrowth.In2023,amidstthegeneralrecoveryoftheconsumermarket,thetrendofconsumptionstratificationandthecoexistenceofpleasureandrationalitysignificantlyinfluencedthecompetitivelandscapeofthesegment.Movingforward,theConsumerGoodsbusinessteamwillpersistinexploringtheessenceof“rationality”underpressure.Weholdthebeliefthat“rationality”doesnotequatetolowprices;instead,itscoreshouldembodytheconceptofvalueformoney.Asaresult,wehaveconsistentlyupheldourstrategicstrengthbymaintainingproductleadership,prioritizingthedevelopmentofthecottoncategory,exercisingcontroloverdiscounts,andensuringtheprovisionofhigh-quality,differentiatedcottonproductstoconsumersatreasonableprices.Weprioritizeconsumerdemandasourcorefocus,implementinganexplosiveproductstrategybyactivelyinnovating,acceleratingnewproductlaunches,andexpandingchannels.WearecommittedtostrengtheningthebrandbuildingofPurcotton,refiningmanagementpractices,andultimatelydrivingsteadygrowthinrevenueandprofitability.Simultaneously,ouroverseasdivisionofPurcottonwasestablishedinAugustlastyear,andwearesteadilytestingthewatersandgraduallypromotingthebrandglobally.ThequalityofPurcotton’soperationsremainsrobust,demonstratingstrongpotentialforoveralldevelopment.Reflectingonthepastyear,weconfrontedthechallengesofthedownturncyclewithresilience,perseveringwhileupholdingourbusinessfundamentalsandcontinuallyenhancingoperationalquality.Aswereflectonourpastexperiences,it’sessentialtoalsogazeaheadtochartourcourse.Astheindustrycyclecontinuestounfold,WinnerMedicalhasadeptlynavigatedthroughfoureconomiccyclesoverits33-yearhistory.Ourresiliencestemsfromconsistentlymeetingtheneedsofourtargetconsumersandcustomers,maintainingsteadfastnessinourstrategicgoalsdespiteshort-termtemptationsmostimportantly,embodyingourcorevaluesof“qualityoverprofit,brandoverspeed,andsocialresponsibilityovercorporatevalue”.Theseprincipleshaveformedthebedrockofourlong-termdevelopmentandarethecriticalsuccessfactorswemustremaincommittedto.Inthelongrun,ourbusinesshasconsistentlyrevolvedaroundlife,health,andpeople’squestforabetterqualityoflife.Theindustryweoperateinfollowsahigh-qualitytrajectorywithampleopportunitiesforlong-termsurvivalandexpansivegrowth.Externally,theprevailingtrendemphasizesgreen,health,andsustainabledevelopment.Withinthemedicalsector,theemergenceoftrendssuchasthesilvereconomy,domesticsubstitution,andconsumermedicalcareispoisedtounlocksignificantmarketopportunitiesforWinnerMedical.Intheconsumergoodsindustry,ourproductsboastjust-in-demand,high-frequency,high-quality,andsafecharacteristics.TheCottonEra’scommitmenttodeliveringhigh-qualityproductswillpersistinmeetingconsumers’unwaveringpursuitofsafetyandqualityoflife.Furthermore,ourcontinuouslyenhancingbrandawarenessandreputationwillserveaspivotalassurancesforsteadfastdevelopmentalongthequalitytrajectory.
2023AnnualReport
Whileourbrandandoperationalmanagementcapabilitieshaveaccumulatedovertime,thereremainsampleroomforrefinement.Movingforward,wearededicatedtofurtherenhancingtheseaspectsofourbusiness.Inourmedicalbusiness,weprioritizeinvestmentinresearchanddevelopment,boastingaremarkableadvantageinthenumberofmedicalproductregistrationcertificates.Thisformsarobustcompetitivebarrierandsupportsourstrategicgoalof“one-stopprocurementofglobalmedicalconsumables”.Overthepastthreeyears,ourmedicalbrandhasbuiltvaluableawarenessandreputation.Convertingthisreputationintosalesandchannelcapacitytodrivegrowthisnowacriticalbusinessfocus.Movingforward,weaimtoenhancetheserviceresponsecapabilityformajoroverseascustomers,expediteentryintodomestichospitals,andadvancethebest-sellingproductstrategyforC-endchannels.Weshouldembraceastrategyof“leadingproductswithoperationalexcellence”whilebreakingfreefrompastinertia.It’scrucialtoestablishspecializedcapabilitiesfordeepindustryengagementunderthenewnormal.Refinedmanagementtailoredtotheuniquecharacteristicsofproductsandchannelsisimperative.Intermsofconsumergoodsbusiness,Purcottonstandsasanationalbrandwithwidelyacknowledgedproductquality.We’velaidthegroundworkforaproductconceptcenteredon“comfortable,healthy,andenvironmentallyfriendly”,garneringinitialtraction.Moreover,ourcorebest-sellingproductshavedemonstratedconsistentgrowthinperformance.Inlightofthecurrenteraofrationalconsumption,wemustaddresschallengeswithoutmerelychasingshort-termtrends.Instead,wemustapproachitwholeheartedly,takingactiontodeliverunmatchedcomfortable,healthy,andenvironmentallyfriendlybenefitstoconsumers.Simultaneously,weshouldadaptoursalesstrategiestoalignwithevolvingconsumershoppinghabits,facilitatingconversionandcreatingsynergies.WeaimtotellthePurcotton’sstory,allowingconsumerstorecognizeourcommitmenttocottonquality,ourinnovationsincottonfabricprocessingtechnology,andourongoingdedicationtomeetingconsumerneeds.Intermsofchannels,ouronlinee-commerceeffortswillfocusonboostingproductmarketsharetocapturealargerportionofthemarket.Offlinestoreswillworkonenhancingoperationalefficiencywhilesteadilyexpanding,aimingtoincreasestorepenetrationrates.Intermsofoperationsandmanagement,we’llleveragecutting-edgeinformationtechnology,themetaverse,artificialintelligence,andotheradvancedtechnologiestoprogressivelyimplementbasicmanagementprocessed,processmanagementdigitized,anddigitalmanagementintelligence,ultimatelyenhancingoveralloperationalefficiencyandquality.Regardingorganizationandtalentdevelopment,we’llstaycommittedtothe“fourhighs”talentconcept:“highquality,highefficiency,highperformanceandhighreward”.We’llgraduallyadjustthetalentstructureandactivelyenhancetheorganization’scapacityandtalentdensity,ensuringasolidfoundationforstrategicpolicyimplementation.Inthelongterm,corporatecultureservesastheintangibleassetthatunifiesandrejuvenatestheorganizationthroughoutitsdevelopmentjourney.Ourcoreoperatingprincipleis“qualityoverprofit,brandoverspeed,andsocialvalueovercorporatevalue”.Wewillstickbyourcorevaluesof“hardwork,self-criticism,explorationandinnovation,andsustainabledevelopment”.TheCompanyoperateswithhonestyandintegrity,activelyembracingsocialresponsibility.Ourenterprisingculture,characterizedbyupwardstriving,inspiresallstableandhealthyindividuals,eventuallycoalescingintoastrongfightingforcedrivingtheCompany’scontinuousdevelopment.Thisethosformstheresilientbackbonedrivingourcontinuousdevelopment,embodyingtheenduringspiritualessenceweuphold.Encouragepeopletopavethewayforsuccess,onestepatatime.Withadevelopmenthistoryof33yearsforWinnerMedicaland15yearsforPurcotton,webelieveintheimportanceoflong-termcommitmenttonavigatethroughcycles.Ourendurancehingesonconsistentlydeliveringvaluetocustomersandconsumers.Underthestrategicframeworkof“leadingproductswithoperationalexcellence”,theCompanyhasacleardevelopmentpath.Allstaffwilladoptanintegratedapproach,seizingeverymarketopportunitywithaproactivemindset,andstrivingforexcellenceineverydetail.Inthefuture,wewillallcontinuetostrive,forgeahead,andendeavortopropeltheCompanytoward“acenturyofWinnerMedical”!
LiJianquanChairmanandgeneralmanagerofWinnerMedical
April23,2024
BrandAmbassadorofPurcottonGuoJingjing
SectionⅠImportantNotes,Contents,and
Definitions
ImportantNotes
Theboardofdirectors,theboardofsupervisorsanddirectors,supervisorsandseniormanagementoftheCompanyherebyguaranteethatnofalseormisleadingstatementormajoromissionwasmadetothematerialsinthisreportandthattheywillassumealltheresponsibility,individuallyandjointly,fortheauthenticity,accuracyandcompletenessofthecontentsoftheannualreport.LiJianquan,theheadoftheCompany,FangXiuyuan,theheadofaccountingwork,andWuKezhen,theheadofaccountingbody(accountantincharge),guaranteetheauthenticity,accuracy,andcompletenessofthefinancialreportinthecurrentyearreport.AlldirectorsoftheCompanypersonallyattendedtheboardmeetingforreviewingthisreport.In2023,thenetprofitattributabletoshareholdersofthelistedcompanyamountedto580millionyuan,markingayear-on-yeardecreaseof64.84%.Thisdeclinewasprimarilyattributedtothreefactors:(1)Theimpactofpublichealtheventsresultedinasignificantdropinmarketdemandforinfectionprotectionproducts,leadingtoadecreaseinoperatingincomebyapproximately
3.82billionyuancomparedtothepreviousyear,consequentlycausingasubstantialdeclineinnetprofitattributabletotheCompany.(2)TheCompanyaddressedthedecreaseindemandforinfectionprotectionproductsbydisposingofrelatedproductionequipment,resultinginareductioninnetprofitofabout250millionyuan.(3)Additionally,theimpairmentofgoodwillfurtherreducednetprofitbyapproximately188millionyuan.TheCompany’sbusinessperformancealignswithindustrytrends,andtherearenosignificantriskstoitsabilitytocontinueoperating.Theforward-lookingcontentsinthisreport,suchasthefuturedevelopmentstrategyandperformanceplanning,arethegoalssetsbytheCompany,whichareplannedmatters.Theachievementofthegoalsdependsonmanyfactors,includingmarketchange,whichisuncertain.SothesecontentsarenottheCompany’sprofitforecastforthenextyearanddonotconstituteasubstantialcommitmentoftheCompanytoinvestorsandrelatedparties.Investorsandrelatedpartiesshouldbefullyawareofrelatedrisksandunderstandthedifferencesamongplans,forecasts,andcommitments.Investorsareaskedtobewareofinvestmentrisks!TheprofitdistributionproposalconsideredandapprovedbytheBoardofDirectorsisasfollows:acashdividendof5.00yuan(inclusiveoftax)per10sharestoallshareholders,basedon583,938,148sharesafterdeductionofrepurchasedshares.Additionally,therearenobonussharesortransferofsharesfromthecapitalreserve.
Contents
SectionⅠImportantNotes,Contents,andDefinitions ...... 4
SectionⅡCompanyProfileandMajorFinancialIndicators ...... 9
SectionⅢManagementDiscussionandAnalysis ...... 15
SectionⅣCorporateGovernance ...... 75
SectionVEnvironmentalProtectionandSocialResponsibility ...... 101
SectionVIImportantMatters ...... 113
SectionⅦChangesinSharesandShareholders ...... 126
SectionⅧPreferredShares-relatedInformation ...... 136
SectionⅨBond-relatedInformation ...... 137
SectionⅩFinancialReport ...... 138
DocumentCatalog(I)FinancialstatementscontainingthesignaturesandsealsofthepersoninchargeoftheCompany,theaccountinghead,
andthepersoninchargeoftheaccountingbody(accountingmanager).(II)Theoriginalauditreportswiththesealoftheaccountingfirmandthesignaturesandsealsofthecertifiedpublic
accountants.(III)TheoriginalsofallCompanydocumentsandannouncementspubliclydisclosedduringthereportingperiod.
Definitions
WinnerMedical
Term
| Term | Refersto | Definition |
| Company,WinnerMedical | Refersto | WinnerMedicalCo.,Ltd. |
| Reportingperiod | Refersto | Sunday,January1,2023toSunday,December31,2023 |
| Purcotton | Refersto | ShenzhenPurcottonTechnologyCo.,Ltd.,awholly-ownedsubsidiaryoftheCompany |
| LongtermMedical | Refersto | ZhejiangLongtermMedicalTechnologyCo.,Ltd.,ofwhichtheCompanyacquired55%equityin2022 |
| WinnerMedical(Hunan) | Refersto | WinnerMedical(Hunan)Co.,Ltd.,ofwhichtheCompanyholds68.70%equityafteracquisitionandcapitalincrementin2022 |
| WinnerGuilin | Refersto | WinnerGuilinLatexCo.,Ltd.,ofwhichtheCompanyhasacquireditsequityin2022 |
| WinnerJinzhou | Refersto | Winner(Jinzhou)LatexProductsCo.,Ltd.,acompanyacquiredbyitssubsidiaryWinnerGuilinLatexCo.,Ltd.in2023with100%equity |
| JunjianMedical | Refersto | ShenzhenJunjianMedicalDeviceCo.,Ltd.,ofwhichtheCompanyhasacquired100%equityin2022 |
| WinnerMedical(Huanggang) | Refersto | WinnerMedical(Huanggang)Co.,Ltd.,awholly-ownedsubsidiaryoftheCompany |
| WinnerMedical(Jiayu) | Refersto | WinnerMedical(Jiayu)Co.,Ltd.,awholly-ownedsubsidiaryoftheCompany |
| WinnerMedical(Chongyang) | Refersto | WinnerMedical(Chongyang)Co.,Ltd.,awholly-ownedsubsidiaryoftheCompany |
| WinnerMedical(Jingmen) | Refersto | WinnerMedical(Jingmen)Co.,Ltd.,awholly-ownedsubsidiaryoftheCompany |
PurcottonHomeTextilesandHomeApparelGlobalspokespersonZhaoLiying
SectionⅡCompanyProfileandMajorFinancialIndicators
SectionⅡCompanyProfileandMajorFinancialIndicators
Purcotton
I.Companyinformation
WinnerMedicalStockabbreviation
| Stockabbreviation | WinnerMedical | Stockcode | 300888 |
| CompanynameinChinese | WinnerMedicalCo.,Ltd. | ||
| ChineseabbreviationoftheCompany | WinnerMedical | ||
| Companynameinforeignlanguage(ifany) | WinnerMedicalCo.,Ltd. | ||
| Companyshortnameinforeignlanguage(ifany) | WinnerMedical | ||
| LegalrepresentativeoftheCompany | LiJianquan | ||
| Registeredaddress: | F42,Building2,HuilongBusinessCenter,ShenzhenNorthRailwayStationArea,MinzhiSubdistrict,LonghuaDistrict,ShenzhenCity;WinnerIndustrialPark,No.660BulongRoad,LonghuaDistrict,ShenzhenCity | ||
| PostalcodeoftheCompany’sregisteredaddress | 518131 | ||
| ChangehistoryoftheCompany’sregisteredaddress | OnJune1,2021,theCompanycompletedtheregistrationofindustrialandcommercialchangeofregisteredaddressfrom“WinnerIndustrialPark,No.660BulongRoad,LonghuaNewDistrict,ShenzhenCity”to“F42,Building2,HuilongBusinessCenter,ShenzhenNorthRailwayStationArea,MinzhiSubdistrict,LonghuaDistrict,ShenzhenCity;WinnerIndustrialPark,No.660BulongRoad,LonghuaNewDistrict,ShenzhenCity” | ||
| OfficeaddressoftheCompany | F42,Building2,HuilongBusinessCenter,ShenzhenNorthRailwayStationArea,MinzhiSubdistrict,LonghuaDistrict,ShenzhenCity | ||
| PostalcodeoftheCompany’sofficeaddress | 518131 | ||
| Website | http://www.winnermedical.com | ||
| investor@winnermedical.com | |||
II.Contactsandcontactinformation
| SecretarytotheBoardofDirectors | Securitiesaffairsrepresentative | |
| Name | ChenHuixuan | LiuYanxiang |
| Contactaddress | F42,Building2,HuilongBusinessCenter,ShenzhenNorthRailwayStationArea,MinzhiSubdistrict,LonghuaDistrict,ShenzhenCity | F42,Building2,HuilongBusinessCenter,ShenzhenNorthRailwayStationArea,MinzhiSubdistrict,LonghuaDistrict,ShenzhenCity |
| Tel | 0755-28066858 | 0755-28066858 |
| Fax | 0755-28134688 | 0755-28134688 |
| investor@winnermedical.com | investor@winnermedical.com |
III.Informationdisclosureandkeepingplace
| WebsiteofthestockexchangewheretheCompanydisclosesitsannualreport | http://www.szse.cn/ |
| NameandwebsitesofthemediaonwhichtheCompanydisclosesitsannualreport | http://www.cninfo.com.cn/new/index |
| PlaceofpreparationoftheCompany’sannualreport | SecuritiesDepartmentoftheCompany |
IV.Otherrelevantinformation
AccountingfirmengagedbytheCompany
| Nameoftheaccountingfirm | BDOCHINASHULUNPANCERTIFIEDPUBLICACCOUNTANTSLLP |
| Officeaddressoftheaccountingfirm | Floor4,No.61,NanjingEastRoad,HuangpuDistrict,Shanghai |
| Nameofsignatoryaccountant | ChengJin,WuLihong |
ThesponsorinstitutionengagedbytheCompanytoperformthecontinuoussupervisionresponsibilityduringthereportingperiod
√Applicable□Notapplicable
| Nameofsponsorinstitution | Officeaddressofsponsorinstitution | Nameofsponsorrepresentative | Continuoussupervisionperiod |
| ChinaInternationalCapitalCorporationLimited | 27thand28thfloors,Tower2,InternationalTradeBuilding,No.1,JianguoMenwaiMainStreet,ChaoyangDistrict,Beijing | ShenLulu,WangShenchen | FromthedateofinitialpublicofferingtoDecember31,2023 |
ThefinancialadvisorengagedbytheCompanytoperformthecontinuoussupervisionresponsibilityduringthereportingperiod
□Applicable√NotapplicableV.Majoraccountingdataandfinancialindicators
WhethertheCompanyneedstoretroactivelyadjustorrestatetheaccountingdataofthepreviousyears
√Yes□NoRetroactiveadjustmentorrestatementofreasons
Changesinaccountingpolicies
WinnerMedical2023
| 2023 | 2022 | Increase/decreasethisyearcomparedtothepreviousyear | 2021 | |||
| Beforeadjustments | Afteradjustments | Afteradjustments | Beforeadjustments | Afteradjustments | ||
| Operatingincome(yuan) | 8,185,022,057.20 | 11,351,331,545.08 | 11,351,331,545.08 | -27.89% | 8,037,420,812.91 | 8,037,420,812.91 |
| Netprofitsattributabletoshareholdersoflistedcompanies(yuan) | 580,403,232.37 | 1,650,582,427.43 | 1,650,717,282.64 | -64.84%1 | 1,239,320,067.26 | 1,254,164,970.92 |
| Netprofitsattributabletoshareholdersofthelistedcompanyafterdeductionofnon-recurringprofitsandlosses(yuan) | 412,027,497.25 | 1,560,914,973.08 | 1,561,049,828.29 | -73.61% | 1,029,005,582.98 | 1,043,850,486.64 |
| Netcashflowfromoperatingactivities(yuan) | 1,063,326,232.23 | 2,983,472,230.27 | 2,983,472,230.27 | -64.36%2 | 871,689,901.93 | 871,689,901.93 |
| BasicEPS(yuan/share) | 0.98 | 3.90 | 2.79 | -64.87% | 2.91 | 2.11 |
| DilutedEPS(yuan/share) | 0.98 | 3.90 | 2.79 | -64.87% | 2.91 | 2.11 |
| Weightedaveragereturnonnetassets | 5.03% | 14.89% | 14.87% | -9.84% | 11.76% | 11.89% |
| Endof2023 | Endof2022 | Increase/decreaseattheendofthisyearcomparedtotheendofthepreviousyear | Endof2021 | |||
| Beforeadjustments | Afteradjustments | Afteradjustments | Beforeadjustments | Afteradjustments | ||
| Totalassets(yuan) | 17,112,022,449.97 | 18,237,749,401.56 | 18,252,727,626.66 | -6.25% | 13,266,610,200.37 | 13,281,456,374.32 |
| Netassetsattributabletoshareholdersoflistedcompanies(yuan) | 11,533,224,328.00 | 11,704,606,570.71 | 11,719,585,811.13 | -1.59% | 10,674,912,166.80 | 10,689,757,070.46 |
Note1:Thisdeclineof64.84%wasprimarilyattributedtothreefactors:(1)Theimpactofpublichealtheventsresultedinasignificantdropinmarketdemandforinfectionprotectionproducts,leadingtoadecreaseinoperatingincomebyapproximately
3.82billionyuancomparedtothepreviousyear,consequentlycausingasubstantialdeclineinnetprofitattributabletotheCompany.(2)TheCompanyaddressedthedecreaseindemandforinfectionprotectionproductsbydisposingofrelatedproductionequipment,resultinginareductioninnetprofitofabout250millionyuan.(3)Additionally,theimpairmentofgoodwillfurtherreducednetprofitbyapproximately188millionyuan.Note2:The64.36%declineinnetcashflowsfromoperatingactivitieswasprimarilyattributedtothedecreaseinrevenuefromtheCompany’smedicalbusiness.ReasonsforchangesinaccountingpoliciesandcorrectionofaccountingerrorsOnNovember30,2022,theMinistryofFinancepromulgatedandimplementedtheInterpretationofAccountingStandardsforBusinessEnterprisesNo.16,whichstipulates“thedeferredincometaxrelatedtoassetsandliabilitiesarisingfromindividualtransactionsshallnotbeapplicabletotheaccountingtreatmentofinitialrecognitionexemption”,andshallcomeintoeffectfromJanuary1,2023.Forleaseliabilitiesandright-of-useassetsrecognizedatthebeginningoftheearliestperiodoffinancialstatementpresentationinwhichtheprovisionisfirstimplementedthatgiverisetotaxabletemporarydifferencesanddeductibletemporarydifferencesasaresultofasingletransactiontowhichtheprovisionapplies,theCompanyhasadjustedthecumulativeeffecttoretainedearningsatthebeginningoftheearliestperiodoffinancialstatementpresentationandotherrelevantfinancialstatementitemsinaccordancewiththesaidprovisionandAccountingStandardNo.18forBusinessEnterprises-IncomeTax.TheCompany’snetprofitsbeforeorafterthedeductionofnon-recurringprofitandlossforthelastthreefiscalyears,whicheverislower,isnegative,andtheauditor’sreportforthelatestyearshowsthatthereareuncertaintiesabouttheCompany’ssustainableoperationability.
□Yes√NoThenetprofitsbeforeorafterthedeductionofnon-recurringprofitandloss,whicheverislower,isnegative
□Yes√No
VI.Keyquarterlyfinancialindicators
| Unit:yuan | ||||
| Q1 | Q2 | Q3 | Q4 | |
| Revenue | 2,352,114,690.56 | 1,914,723,348.10 | 1,743,604,478.34 | 2,174,579,540.20 |
| Netprofitsattributabletoshareholdersoflistedcompanies | 376,938,135.34 | 304,678,887.35 | 1,466,156,270.99 | -1,567,369,246.941 |
| NetprofitsattributabletoshareholdersofthelistedCompanyafterdeductionofnon-recurringprofitsandlosses | 309,834,876.09 | 240,223,583.10 | 70,847,155.84 | -208,878,117.78 |
| Netcashflowfromoperatingactivities | -223,247,317.38 | 381,426,030.27 | 64,194,457.56 | 851,121,625.28 |
Note:1(1)Themainreasonsforthehighernetincomeinthethirdquarterandthelowernetincomeinthefourthquarterwereasfollows:(i)Inthethirdquarter,againof1,360,206,000yuanwasrecognizedfromthedisposaloftheurbanrenewalandrenovationproject;and(ii)Inthefourthquarter,duetothedeferraloftheprogressoftheurbanrenewalproject,theCompanyreversedthegainof1,360,206,000yuanfromthedisposaloftheprojectasaforementioned.Furtherdetailsonthesemattersareprovidedin“SectionVIImportantMatters-ⅩⅥDescriptionofotherimportantevents”and“SectionXFinancialReport-ⅩⅧOtherimportantmatters-7.Otherimportanttransactionsandmattersaffectingthedecision-makingofinvestors”(2)Factorscontributingtothenetlossinthefourthquarter,afterexcludingtheimpactofurbanrenewalandreconstruction,include:(i)Impairmentlossofgoodwillamountingto188.79millionyuan.(ii)Significantnetlossondisposalofinventoryofinfectionprotectionproductsandrelatedequipment.WhetherthereissignificantdifferencebetweentheabovefinancialindicatorsorthetotalsumofthemandthefinancialindicatorsrelatedtothequarterlyreportandsemiannualreportdisclosedbytheCompany
□Yes√No
VII.Differencesinaccountingdataunderdomesticandforeignaccountingstandards
1.DifferencesbetweennetprofitsandnetassetsinfinancialstatementsdisclosedaccordingtotheInternationalAccountingStandards(IAS)andChineseAccountingStandardssimultaneously
□Applicable√NotapplicableNodifferencebetweennetprofitsandnetassetsinfinancialstatementsdisclosedaccordingtotheInternationalAccountingStandards(IAS)andChineseAccountingStandardsduringthereportingperiod.
2.DifferencesbetweennetprofitsandnetassetsinfinancialstatementsdisclosedaccordingtotheOverseasAccountingStandardsandChineseAccountingStandardsSimultaneously
□Applicable√NotapplicableNodifferencebetweennetprofitsandnetassetsinfinancialstatementsdisclosedaccordingtotheOverseasAccountingStandardsandChineseAccountingStandardsduringthereportingperiod.
VIII.Non-recurringprofitandlossitemsandamount
√Applicable□Notapplicable
WinnerMedical
Unit:yuan
| Unit:yuan | ||||
| Item | Amountin2023 | Amountin2022 | Amountin2021 | Description |
| Profitsandlossesonthedisposalofnon-currentassets(includingthewrite-offpartoftheprovisionforassetimpairment) | -46,464,882.49 | -39,993,220.64 | -9,080,387.29 | |
| Governmentgrantsrecognizedinthecurrentperiod’sprofitorloss(excludinggrantscloselyrelatedtotheCompany’sregularbusinessoperations,alignedwithnationalpolicies,andmeetingspecificcriteriawithacontinuousimpactontheCompany’sprofitorloss) | 74,822,989.42 | 84,859,103.35 | 105,132,971.30 | |
| Gainsandlossesfromchangesinthefairvalueoffinancialassetsandliabilitiesheldbynon-financialcorporations,andgainsandlossesfromthedisposaloffinancialassetsandliabilities,excludingeffectivehedgingoperationsrelatedtotheCompany’sregularbusinessoperations | 172,439,376.04 | 78,921,808.85 | 158,186,445.51 | ThesubstantialincreaseinFY2023,asopposedtoFY2022,wasmainlyattributabletoshort-termfluctuationsinthenetvalueofthewealthmanagementmarketduringQ4ofFY2022,resultinginadeclineinwealthmanagementincomeforFY2022 |
| Incomeandexpenditureotherthanthosementionedabove | 10,371,355.38 | -13,810,132.25 | -2,530,827.65 | |
| Less:Amountaffectedbyincometax | 35,321,337.22 | 17,067,455.98 | 41,394,596.42 | |
| Amountofminorityshareholders’equityaffected(aftertax) | 7,471,766.01 | 3,242,648.98 | -878.83 | |
| Total | 168,375,735.12 | 89,667,454.35 | 210,314,484.28 | -- |
Otherprofitandlossitemsthatareconsistentwiththedefinitionofnon-recurringprofitandloss:
□Applicable√NotapplicableTherewasnootherprofitandlossitemsthatareconsistentwiththedefinitionofnon-recurringprofitandloss.Explanationondefiningthenon-recurringprofitandlossitemsenumeratedintheInterpretativeAnnouncementNo.1onInformationDisclosureofPublicSecuritiesIssuingCompanies-Non-recurringProfitsandLossesasrecurringprofitandlossitems
□Applicable√NotapplicableTherewasnocircumstanceinwhichnon-recurringprofitandlossitemsenumeratedintheInterpretativeAnnouncementNo.1onInformationDisclosureofPublicSecuritiesIssuingCompanies-Non-recurringProfitsandLossesaredefinedasnon-recurringprofitandlossitems.
I.Theindustryinwhichweoperate
1.IndustrydefinitionAccordingtotheClassificationRulesofMedicalDevices(2015)(OrderNo.15oftheChinaFoodandDrugAdministration)andtheClassificationCatalogueofMedicalDevices(NoticeNo.104oftheChinaFoodandDrugAdministrationin2017),themedicaldressingsproducedandsoldbytheCompanybelongtothenursingandprotectivedevicesinmedicaldevices.AccordingtoAccordingtotheIndustryClassificationofNationalEconomy(GB/T4754-2017)andtheIndustryClassificationGuidelinesforListedCompanies(revisedin2012),theindustryoftheCompanyisspecialequipmentmanufacturingindustry(C35)inmanufacturingindustry(C).TheproductsoftheCompany’shealthyconsumergoodsincludepurecottontissues,sanitarynapkinswithpurecottonsurface,cottonwettissuesandothernon-wovenconsumergoods,babysupplies,babyclothing,adultapparelandothertextileconsumergoods.AccordingtotheIndustryClassificationofNationalEconomy(GB/T4754-2017)andtheIndustryClassificationGuidelinesforListedCompanies(revisedin2012),theconsumergoodsoperatedbytheCompanymainlybelongtothetextileindustry(C17)andthetextileandapparelindustry(C18)inthemanufacturingindustry(C).
2.Developmentoftheindustry
Withthestrengtheningofthenationalpolicysupportforthemedicaldeviceindustry,thesubstitutionofimportedmedicaldevicewithdomesticproductshasgraduallyacceleratedinrecentyears.Meanwhile,globalagingandchronicdiseasearebecomingincreasinglyprominent.AccordingtotheUnitedNationsWorldPopulationProspects2022,theglobalfertilityratescontinuetodecline.Inthe1950s,womenintheworldhadaround5childreneach.In2021,thishasdroppedto2.3.Thestatisticalbulletinonnationaleconomicandsocialdevelopment,releasedbytheNationalBureauofStatistics(NBS),indicatesthatChina’spopulationaged60yearsandabovenumbered280millionattheendof2022,constituting19.8%ofthecountry’spopulation.Bytheendof2023,thepopulationaged60yearsandaboveinChinareached296million,accountingfor21.1%ofthecountry’spopulation.Adaptingthesocialmedicalenvironmenttothedemandofagingpopulationisbecomingamajortrend.Thishasprovidednewspaceforthedevelopmentofthemedicaldeviceindustryandwilldrivetheinnovationofthemedicaldeviceindustry.
(1)Developmentofmedicalconsumablesindustryathomeandabroad
Medicalconsumablesrefertothemedicalandhealthmaterialsusedintheprocessofclinicaldiagnosisandnursing,testingandrepair.Withawidevarietyofmodelsandwideapplication,theyareimportantmaterialsformedicalinstitutionstocarryoutdailymedicalandnursingwork.Fromtheperspectiveofvalue,medicalconsumablescanbedividedintohigh-valuemedicalconsumablesandlow-valuemedicalconsumables.Sizeofmedicalconsumablesmarketinchinafrom2015to-2025(100millionyuan)
Datasource:ChinaMedicalConsumablesMarketConditionsandInvestmentProspectSurveyReport2021-2026,ChinaMedicalDeviceBlueBook,ChineseMedicine,IBMReport
Sizeoflow-valuemedicalconsumablesmarketinchinafrom2015to2025(100millionyuan)
Datasource:ChinaMedicalDeviceBlueBook,ChineseMedicine,MagnaInformationCentre,IBMReportComparedwithhigh-valuemedicalconsumables,low-valuemedicalconsumablesaremainlymedicalhygienematerialsanddressings,injectionandpunching,medicalpolymermaterialsandproducts,medicaldisinfectionmaterials,anestheticconsumables,operatingroomconsumablesandmedicaltechnologyconsumables,withlowentrythresholdandfiercemarketcompetition.Duetothewideapplicationandbenefitfromtheimprovementofpeople’slivingstandardsandthecontinuousgrowthofmedicaldemandinChina,themarketspaceoflow-valuemedicalconsumablesishuge,andwillcontinuetomaintainhigh-speedgrowthinthefuture.AccordingtotheresearchandanalysisofIBM,itisestimatedthatthemarketscaleoflow-valuemedicalconsumablesinChinawillreach221.3billionyuanby2025(Terminalmarketprice).Inadditiontomedicaltechnologyconsumables,theexistingbusinessofWinnerMedicalhascoveredsixofthesevenmajorcategoriesoflow-valuemedicalconsumables.TheCompany’smedicalbusinessispositionedasaleaderinthemedicalconsumablesfield,providingone-stopmedicalconsumablessolutions.Low-valuemedicalconsumableshavethecharacteristicsofrigiddemandandhighusagefrequency.Relyingongoodbrandreputation,channelcoverageandstrongmanufacturingcapability,theCompanywillcontinuetoincreaseitsshareintheinternationalanddomesticmarkets.1Marketdevelopmentofoperatingroominfectioncontrolproducts
Duetothegrowthofthenumberofsurgicaloperationsandthestrengtheningofinfectioncontrolmeasures,themarketofoperatingroominfectioncontrolproductsisgrowingcontinuously.AccordingtothestatisticsofCMI,thedomesticmarketsizeofoperatingroominfectioncontrolproductsisexpectedtoreachUSD3.688billionin2026,withanaverageannualcompoundgrowthrateof4.9%.Operatingroominfectioncontrolproductscanbedividedintoreusableproductsanddisposableproducts.Comparedwiththereusableproducts,thedisposableoperatingroominfectioncontrolproductscansignificantlyreducetheriskofcrossinfection.AccordingtoCoherent,disposableoperatingroominfectioncontrolproductscanreducetheriskofcrossinfectionduringsurgeryby60%.TheGuidetoOperatingRoomNursingPracticecompiledbytheOperatingRoomProfessionalCommitteeofChineseNursingAssociationalsorecommendstheuseofdisposableasepticproductsintheoperatingroomtoreducetheriskofcrossinfectionduringsurgery.Atthesametime,disposableoperatingroominfectioncontrolproductsalsohaveadvantagesinconveniencecomparedwithreusableproducts,whichmakesthedemandfordisposableproductsmoreactive.Comparedwithindividualproducts,customizedsurgicalpackageproductsmaybecustomizedaccordingtothetypeofsurgeryanddoctor’sneeds.Therefore,itmayimprovesurgicalefficiencyandsafety,avoidwasteofsurgicaldevicesandmaterialsandreducehospitalcostsandenvironmentalburdens.Forthesereasons,themarketofcustomizedsurgicalpackageisgrowingrapidly.AccordingtothestatisticsofCMI,themarketsizeofglobalcustomizedsurgicalpacksisexpectedtogrowtoUSD21.347billionin2026,withanaverageannualcompoundgrowthrateof10.2%.InChina,themarketsizeofcustomizedsurgicalpacksisexpectedtorisetoUSD1.504billion,withanaveragecompoundannualgrowthrateof12.2%,whichisquitepromising.
Marketdevelopmentofhigh-endwounddressingproductsComparedtothetraditionalwounddressings,high-endwounddressingsareabletocontrolexudateandhavebetterbreathability.Inaddition,itdoesnotadheretothewound,doesnotdestroynewtissue,andmayavoidbacterialinfection.Thetypicalproductsincludehydrogeldressings,hydrocolloiddressings,transparentfilmdressings,foamdressings,alginatedressings,etc.Judgingfromtheglobaltrend,thedemandforhighvalue-addedandmultifunctionalmedicaldressingsmadeofnewmaterialsisincreasing,andthehigh-endmedicaldressingindustrywillusheringooddevelopmentopportunities.AccordingtotheresearchcompiledbyQYResearch,theglobalhigh-endwounddressingsmarketsizereachedUSD5.846billionin2020,andisexpectedtoreachUSD7.230billionin2027.ThemarketsizeinChinaisgrowingrapidlyandthemajorfactorscontributingtothegrowthofthehigh-endwounddressingsmarketincludeincreasingagingpopulation,increasingawarenessofhigh-endwounddressings,increasingnumberofroadaccidentsandburncases,andhighincidenceofdiabeticwoundsandchronicinfections.Mostofthesalesofthehigh-endwounddressingenterprisesinChinaarestillfromoverseasmarkets.Afteryearsofdevelopment,theproductqualityhasreachedahigherlevelandgainedrecognitionintheinternationalmarket.Withtheincreaseofconsumptionbydomesticresidents,therisingawarenessofmedicalcare,thepopularizationofdomestichomecaresystem,andthegradualconvergencewithinternationaladvancedmedicalcareknowledge,thehigh-endwounddressingsmarketinChinawillembraceapromisingfuture.Inrecentyears,therelevantgovernmentdepartmentsandagencieshaveintroducedsupportingpolicies,indicatingageneraltrendofreplacementofinternationalbrandsbydomesticbrands.Therewillalsobeagreaterspaceinthehigh-endmedicaldressingsfieldfordomesticproducts,andthemarketconcentrationinChinawillfurtherincrease.3DevelopmentstatusofinjectionandpuncturedevicesmarketTheinjectionandpuncturedeviceindustryaredividedintotwocategories:infusionandpuncture.Themainproductsintheinfusioncategoryareinfusionsets,syringesandotherinfusiondevices.Mostofthemaredisposablemedicalsuppliesofhighdemand.Asoneofthemostconventionalmedicaldevices,syringesaremainlyusedforinjectingmedicineintohumanmuscles,subcutaneoustissueandvein.Punctureproductsmainlyrefertopunctureneedle,andarerichincategoriessuchasnursingandspecialistcategories.AccordingtoQYResearch,atpresent,China’sinjectionandpuncturedevicesindustrymainlypresentsthreemajordevelopmenttrends.Fromtheperspectiveofmarketconcentration,withtheriseofvolumeprocurementformedicalinjectionandpuncturedevicesattheprovincialandmunicipallevel,largeenterprisesareexpectedtooccupymoremarketbyvirtueofscaleadvantage,andthemarketofsmallandmedium-sizedenterpriseswillbefurthercompressed.Therefore,theindustryconcentrationwillcontinuetoincrease.Fromtheperspectiveofapplicationscenarios,itisextendingfromthedominantinfusionscenariostomorescenarios.Thedemandforpunctureneedleproductsarisingfromtheclinicalneedsmainlyincludeshigh-endmulti-sitebiopsyneedles,andneedlesforassistedreproductionsuchaseggretrieval.Fromthetechnicalpointofview,high-end,intelligenceandsafetywillbecomethetechnicaldevelopmenttrendofinfusionandpuncturedevices.QYResearchestimatesthatthesalesofinjectionandpuncturedevicesinChinawillreach36.75billionyuanin2026.4DevelopmentstatusofmedicallatexglovesmarketMedicalglovesaremainlydividedintolatexgloves,nitrilegloves,polyethylene(PE)glovesandpolyvinylchloride(PVC)glovesaccordingtothematerial;accordingtotheapplicationscenarios,theyaredividedintomedicalsurgicalglovesandmedicalexaminationgloves.Latexglovesfeaturehighelasticityandskin-friendliness,andoccupyanimportantpositioninmedicalgloves.AccordingtoQYResearchdata,theglobalmarketsizeofdisposablemedicalglovesreached$23.014billionin2021,withalatexglovesmarketsizeof$6.99billion,accountingfor30%.LatexglovesareexpectedtogrowataCAGRof5.84%during2021-2027andwillreachamarketsizeof$9,829millionby2027.
(2)DevelopmentofconsumergoodssegmentationindustryInrecentyears,aspeoplegrowmoreconfidentonthenationalculture,thedomesticgoodshaveinjectednewvitalityintothenationaleconomy,becominganimportantdrivingforceofconsumptionanddomesticdemand.Atthesametime,consumersareincreasinglyconcernedabouttheenvironmentalperformanceandsustainabilityofproducts,andtheriseofenvironmentalprotectionandlowcarbonconceptisalsodrivingthetransformationandupgradingoftheconsumergoodsindustry.InJanuary2022,theNationalDevelopmentandReformCommissionandotherdepartmentsissuedtheImplementationPlanforPromotingGreenConsumptiontocomprehensivelypromotethegreentransformationofconsumptioninkeyareas.Itismentionedinoneofthemaingoalsoftheplanthatby2025,theconceptofgreenconsumptionwillbedeeplyrootedinpeople’sminds;by2030,greenconsumptionwillbecomeaconsciouschoiceofthepublicandgreenlow-carbonproductswillbecomethemainstreamofthemarket.
DevelopmentofcottontissuesBecauseofitsmoreenvironmentalprotectionandlesssensitization,purecottontissuescanreplacetraditionalpaperproductsandtowelswithincreasingmarketpenetration.AccordingtotheChina’sCottonTissuesIndustryStatusandDevelopmentTrendResearchReport2019-2025publishedbytheChinaIRNIndustryResearchInstitute,basedonproductattributes,productionefficiency,environmentalprotectionandotheradvantages,thecustomersgroupsofinfants,maternity,peoplewithsensitiveskinandpeoplewithfrequentbeautymakeupandskincareneedsaremorewillingtopayhigherpricesforhigh-qualityproducts.Sotheconsumerawarenessforcottontissueproductisrapidlyincreasing,promotingtherapidgrowthofmarketdemand.AccordingtoEuromonitorstatistics,theglobalcottontissuesmarketdemandreached61billionpiecesin2023,indicatingahighgrowthstage.TheCompanydevelopedanewproductcategoryforcottontissuesandledtherapidgrowthofthecottontissuessegment.In2021,asthefirstdraftingunit,Purcottonparticipatedinthedevelopmentofnationalstandardsforcottontissues.Thankstotheincreasinglystrictenvironmentalregulation,thissegmentationwillbecomemorematureandstandardized.
DevelopmentofdisposablesanitaryproductsindustryAccordingtoEuromonitorstatistics,themarketofabsorptivecareproductsinChinaincreasedfrom151.1billionyuanto160.5billionyuanin2017-2023,withanaverageannualcompoundgrowthrateof1.0%.Amongthem,femalehealthcareproductsincreasedfrom82.3billionyuanin2017to102.1billionyuanin2023,withanaverageannualcompoundgrowthrateof3.7%.AsChinesewomen’shealthcareawarenessandconsumptionabilitycontinuetorise,consumersarepayingmoreattentiontoproductquality,functionality,materialsafetyandproductexperience,leadingtotheincreasingproportionofmedium-andhigh-endsanitarynapkinconsumption.
In2023,themarketsizeofbabydiapersreached40.2billionyuan.Themarketscaleofadultincontinenceproductsincreasedfrom3.7billionyuanin2017to6.6billionyuanin2023,withanaverageannualcompoundgrowthrateof10.1%.SincetheoveralldevelopmentofadultincontinenceproductsinChinaislaggingbehindthefemininesanitarynapkinsandinfantdiapersmarket,itisstillintheintroductionperiod.Consideringmultiplefactorssuchasgrowinglifeexpectancypercapita,increasingnumberofelderlypopulation,increasingdisposableincomepercapitaandincreasinghygieneandhealthawareness,China’sadultincontinenceproductsmarketisatastageofrapidgrowthinsalesandmarketpenetration.Themarketscaleofwettissuesincreasedfrom6.7billionyuanin2017to11.6billionyuanin2023,withanaverageannualcompoundgrowthrateof9.4%.Atpresent,themarketisdominatedbybabywettissuesandgeneral-purposewettissues.Femalehygienewettissues,makeupremovalwettissues,homecleaningwettissuesandothercategoriesaccountforarelativelysmallproportion,sothereisalargemarketspacetodevelop.
3Developmentoftextileindustryandtextileclothingandapparelindustry
AccordingtodatareleasedbytheNationalBureauofStatistics,retailsalesofapparel,footwear,headwear,needles,andtextilesincreasedfrom302.4billionyuanin2007to1,409.5billionyuanin2023,representingacompoundannualgrowthrateof10.1%.Thedevelopmentofe-commerceindustryalsoledtothetransformationandupgradingoftextileandapparel.AccordingtostatisticsfromtheMinistryofCommerce,onlineretailsalesofapparel,shoes,hats,needles,andtextilesinChinaaccountedfor
22.0%ofthenation’sonlineretailsalesofphysicalcommoditiesin2023,makingitthecategorywiththelargestshare.AccordingtoEuromonitorstatistics,themarketsizeofChina’schildren’sapparelindustryfluctuatedupfrom2016to2021,withslightdeclinein2020and2022undertheinfluenceofpublichealthevents.Asof2023,China’schildren’sapparelmarketsizeisabout252.6billionyuan.Inthefuture,undertheinfluenceofthegrowingattitudeof“exquisitechildraising”,thechildren’sapparelindustrystillhasalargedevelopmentpotential.Aspeople’sdemandforhealthandcomfortcontinuestorise,themarketofintimateapparel(inthebroadsenseofunderwear,meaningclothingwornclosetotheskinorunderouterwear,includingunderwear,warmclothing,leisurewear,socks,etc.)isalsoevolvinginthedirectionofhighqualityandcomfort.Accordingtothecustomergroup,underwearcanbedividedintothreecategories:men’sunderwear,women’sunderwearandchildren’sunderwear,ofwhichwomen’sunderwearoccupiesadominantposition,accountingforabouthalfoftheoverallmarketshare.AccordingtotheChineseLingerieIndustryDevelopmentBlueBookreleasedbyCIC,themarketsizeofwomen’slingeriewillreach217.14billionyuanandmen’slingeriewillreach84.91billionyuanby2026,andtheoverallmarketsizeofmen’sandwomen’slingeriewillincreaseataCAGRof5.2%from2020to2026.
TheCompanyneedstocomplywiththedisclosurerequirementsofthe“TextileandApparelBusiness”stipulatedintheNo.3GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-IndustryInformationDisclosure.II.MainbusinessofthecompanyduringreportingperiodTheCompanyneedstocomplywiththedisclosurerequirementsofthe“MedicalDeviceBusiness”intheNo.4GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-InformationDisclosurebyGrowthEnterprises.WinnerMedicalisahealthenterprisedevelopingbothmedicalandconsumptionproductsunderitsbrandsof“Winner”and“Purcotton”.Specifically,theCompanyhasadheredtothecorebusinessprinciplesof“qualityoverprofit,brandoverspeed,andsocialresponsibilityovercorporatevalue”.Withthedevelopmentofdomesticandinternationalmarkets,ithasevolvedfromasinglemedicalconsumablesmanufacturerintoacompanythatencompasseswoundcare,infectionprotection,personalcare,homecare,maternalandchildcare,hometextiles,apparel,andotherfieldsofmedicalcareandconsumerhealthenterprises.
WinnerMedical
Winner
WinnerMedicalconsumables
Medicalconsumables
Healthyconsumergoods
Healthyconsumergoods
WinnerMedical
WinnerMedicalPurcotton
PurcottonTraditionalwoundcareandwounddressingproducts
TraditionalwoundcareandwounddressingproductsHigh-endwounddressing
products
High-endwounddressing
productsOperatingroomconsumables
OperatingroomconsumablesInfectionprotection
InfectionprotectionHealth&personalcare
Health&personalcareOtherproducts
OtherproductsWetanddrycottontissues
WetanddrycottontissuesSanitarynapkins
SanitarynapkinsOthernon-wovenproducts
Othernon-wovenproductsBabyclothingandsupplies
BabyclothingandsuppliesAdultapparel
AdultapparelOtherwovenproducts
OtherwovenproductsCottontissues,wettissuesetc.
Cottontissues,wettissuesetc.Sanitarynapkins,disposableperiodpantiesetc.
Sanitarynapkins,disposableperiodpantiesetc.Facialmask,makeupcotton,cottondiapersetc.
Facialmask,makeupcotton,cottondiapersetc.Baby’sleisurewear,bathtowelsandquiltsetc.
Baby’sleisurewear,bathtowelsandquiltsetc.Adult’sleisurewear,outingcostume,underwearetc.
Adult’sleisurewear,outingcostume,underwearetc.Bedding,toiletries,etc.
Bedding,toiletries,etc.Medicalcotton,gauze,bandages,etc.
Medicalcotton,gauze,bandages,etc.Siliconedressings,alginatedressings,superabsorbent
dressingsetc.
Siliconedressings,alginatedressings,superabsorbent
dressingsetc.Surgicalgloves,surgicalpacks,surgicalgowns,etc.
Surgicalgloves,surgicalpacks,surgicalgowns,etc.Masks,protectiveclothing,isolationgowns,etc.
Masks,protectiveclothing,isolationgowns,etc.Oralandnasalcavity,medicalbeauty,personalcare,nursing
care,etc.
Oralandnasalcavity,medicalbeauty,personalcare,nursing
care,etc.
Injectionandpunctureproducts,testkits,etc.
1.Medicalconsumablessection
WinnerMedicalisabenchmarkingenterpriseinthedomesticmedicalconsumablesindustry,withitsprimaryproductlinesincludingtraditionalwoundcareandwounddressings,high-endwounddressings,operatingroomconsumables,infectionprotection,andhealthandpersonalcare.
TheCompanyisoneoftheearliestmedicalconsumablesenterprisesinChinatoestablishafullindustrialchaincoveringcottonprocurement,R&D,production,anddirectexport.TheCompany’sproductshavebeencertifiedbytheEUCEcertification,theUSFDAcertificationandtheJapaneseMinistryofHealth,LabourandWelfarecertification,andexportedtoEurope,America,Japanandothercountries.In2005,“Winner”brandenteredthedomestichospitalanddrugstoremarket.Withitsexcellentproductqualityandservice,WinnerMedicalgraduallyestablishedagoodbrandandreputationindomestichospitalsanddrugstores.Sincetheoutbreakofpublichealthincident,the“Winner”brandepidemicpreventionproductshaveenteredthehospitalandthecivilianmarket.Thankstoitspubliccommitmentnottoincreasepricesandthequalityofitsproducts,ithaswontheunanimouspraiseathomeandabroad,fromgovernmentunitsandthepublic,andthebrandreputationandpopularityhavebeengreatlyimproved.Intermsofproducts,WinnerMedicalfocusesonmarketdemand,isclosetoclinicalandterminal,isdrivenbyR&Dandinnovation,andconstantlyimprovesproductlayout.Itsbusinessscopeextendsfromsalesofsinglewoundcareproductssuchascottongauzetosalesofintegratedsolutionsofwoundcare,infectionprotection,andhealthandpersonalcareproducts.Disposableoperatingroomconsumablescanmoreeffectivelyreducenosocomialinfectionthanreusablemedicalproducts.Withmoreattentionofthestateandhospitalstonosocomialinfectionandresidents’attentiontopersonalhealthenvironment,disposableoperatingroomconsumablesaregraduallyacceptedbythedomesticmarket.WinnerMedical’smedicaldressingproductlinehasbeenexpandedfromtraditionaldressingproductsmainlyfocusingongauzeproductstohigh-endwounddressingproducts,suchassilicagelfoamdressing,hydrocolloiddressing,superabsorbentpad,negativepressuredrainageproducts,etc.,whicharemainlyappliedtochronicwoundhealingscenessuchasdiabetes,large-areaburnsandwounds.TheCompany’stechnicallevelinthefieldofhigh-endwounddressingshasbeenintheforefrontoftheindustry,andisexpectedtobecomethecoreproductsforthedevelopmentofWinnerMedical.
2.HealthyconsumergoodssectionPurcottonisahealthylifebrandwith“Medicalbackground,Purcottonphilosophy,QualityinourDNA”asitscorecompetitiveness,whichstartswithpurecottonspunlacenon-wovenfabricandtakes“medicineclosetolife,Purcottoncareforhealth”asitsbrandproposition.Itsproductsincludewetanddrycottontowels,sanitarynapkins,babyandchildren’sapparelandsupplies,adultapparel,andothernon-woven/wovenproducts.Purcottonadvocatesthelifeconceptof“comfortable,healthy,andenvironmentallyfriendly”,replacingchemicalfiberwithcottonandkeepingawayfromchemicalstimulation.Itprovidesoverallsolutionsfordifferentlifescenes,havingagooduserreputationandformedafullydifferentiatedbrandimageinthefieldofconsumergoodswithstrongbrandappeal.
Intermsofproducts,withexcellentqualitycontrolabilityandtechnologyresearchanddevelopmentability,theCompanycontinuestointroducemedicalgradequalityconsumergoods.CottonisthemainrawmaterialofcoreproductsofPurcotton,whichadoptsglobalhigh-qualitycottontocontrolproductqualityandsafetyfromthesource.Accordingtothehighstandardofmedicalconsumables,allkindsofpollutionsourcesarestrictlycontrolledintheproductionprocess.Disposableunderwear,newbornbabyclothesandotherclose-fittingclothingarepackagedwithmedicalgradesterilizationtofurtherensurethesafetyandenvironmentalprotectionoftheproducts.Purcottonproductscovermultipleconsumergroups,suchasmothersandinfants,childrenandadults,andspanmultipleproductlines,suchashigh-endpurecottontissues,femalecare,babycare,hometextileproductsandapparel.
(II)MainproductsandpurposesTheproductcategoriesofthemedicalconsumablessegmentaredividedintotraditionalwoundcareandwounddressing,high-endwounddressing,operatingroomconsumables,infectionprotection,healthandpersonalcareandotherproducts;theproductcategoriesofthehealthyconsumerproductssegmentaredividedintowetanddrywipes,sanitarynapkins,othernon-wovenproducts,babyclothingandsupplies,adultapparelandothertextileproducts.ThemaincategoriesandimagesofsomeproductsundertheCompany’smedicalconsumablessectionareasfollows:
WinnerMedicalMedicalsterile-gradewoundcareMedicalgauzesheetsavailableinmultiplespecifications
| Medicalsterile-gradewoundcareMedicalgauzesheetsavailableinmultiplespecifications | Medical-gradeingredientsensuregentlenessandsafetySilicontreatmentstrip(1pc/box) | |
Traditionalwoundcareandwounddressing
products
| Traditionalwoundcareandwounddressingproducts | High-endwounddressingproducts | Operatingroomconsumables |
MainPurpose:
| MainPurpose: | MainPurpose: | MainPurpose: |
| Forabsorbingwoundexudate,dressingwounds,andsportsprotection | Forcreatingamoisturebalanceatthewoundinterfacetooptimizeitsbenefitsforwoundhealing,reducethefrequencyofdressingreplacement,andreducesecondarydamage | Forpreventinginfectionsintheoperatingroom |
| Product: | Product: | |
| Medicalcotton,gauze,bandages,etc. | Product: | Surgicalgloves,surgicalpacks,surgicalgowns,etc. |
| Siliconedressings,alginatedressings,superabsorbentdressingsetc. |
WoundhealingskinrepairMedical-gradesodiumhyaluronaterepairpatch,1pieceperbag,5bags
perbox
WoundhealingskinrepairMedical-gradesodiumhyaluronaterepairpatch,1pieceperbag,5bags
perboxInfectionprotection
| Infectionprotection | Health&personalcare | Otherproducts |
boxes
boxesMainPurpose:
| MainPurpose: | MainPurpose: | MainPurpose: |
| Foroccupationalprotectionofmedicalstaffandpatientisolation | Forwoundcleaninganddisinfection,anddailyhealthcare | Forhealthmanagementtomeettheirmedicalneeds |
| Product: | Product: | Product: |
| Masks,protectiveclothing,isolationgowns,gloves,footstraps,hats,etc. | Oralandnasalcavity,medicalbeauty,personalcare,nursingcare,etc. | Injectionandpunctureproducts,testkits,etc. |
ThemaincategoriesandimagesofsomeproductsundertheCompany’shealthyconsumergoodssectionareasfollows:
| Wetanddrycottontissues | Sanitarynapkins |
Othernon-wovenproducts
Othernon-wovenproductsProduct:
| Product: | Product: | Product: |
| Cottontissues,wettissuesetc. | Sanitarynapkins,disposableperiodpantiesetc. | Facialmask,makeupcotton,cottondiapers,disposableunderwear,etc. |
Babyclothingandsupplies
| Babyclothingandsupplies | Adultapparel |
Otherwovenproducts
Otherwovenproducts
Product:
| Product: | Product: | Product: |
| Baby’sleisurewear,outingcostume,underwear,bathtowels,handkerchiefsandquilts,etc. | Adult’sleisurewear,outingcostume,underwear,footwear,etc. | Bedding,toiletries,etc. |
(III)Mainoperatingmodes
1.Procurementmode
TheCompanypromotesdigitalplatformmanagementandhasestablishedarobustprocurementmanagementsystem,procurementprocess,andriskcontrolplatform.Procurementisdrivenbyplanning,withprocurementplansandstrategiesformulatedbasedonannual,quarterly,andmonthlydemands.Differentmodesofprocurementareimplementedaccordingtothetypesofmaterialsrequired,includingstrategicprocurement,biddingprocurement,centralizedprocurement,andseparateprocurement,amongothermodels.IntegratingpurchasingneedswithR&D,productspecifications,andqualitystandardstoestablishtechnicalbenchmarks,formulatepurchasingstrategiesencompassingplans,supplierselection,andcommercialnegotiations,anddeviseorderallocationplansinconjunctionwithsupplierperformanceevaluations.Inthepursuitofasustainablesupplychainecosystem,collaborativesuppliersacrossproductdevelopment,manufacturing,procurementfulfillmentandotherdomainsremainsteadfastintheircommitmenttoachievinglowcarbonemissions,cost-effectiveness,transparencyandsocialresponsibility.
1)ResponsiblePurchasing:TheCompanymandatesthatpurchasingrequirementsbegeneratedbythedemanddepartmentbasedoncustomerorders,salesplans,andproductionschedulestofulfillproductionandsalesneeds.TheGroup’ssupplychainthendevisestailoredpurchasingstrategiesfordifferentprocurementtypes,includingstrategic,bidding,centralized,anddecentralizedpurchasing.Forinstance,strategicprocurementrulesareuniformlyappliedtoformulatepurchasingstrategiesandplansforbulkrawmaterialslikecottonandcottonyarn.Centralizedpurchasingstrategiesareemployedformaterialsorcategoriesconducivetogroup-wideadaptabilityandscaleeffects.ToensuretheeffectiveimplementationoftheGroup’sprocurementstrategy,theCompanyadoptsasystemthatvisualizestheentireprocurementprocessandfacilitatessupervisionandmanagement.Thisincludesdemandassessment,sourcing,quotation,pricecomparison,contractsigning,purchaseorderissuanceandapproval,receipt,warehousing,reconciliation,paymentprocessing,etc.Thisensuresthattheprocurementprocessadheresstrictlytotheprinciplesoffairness,openness,andimpartialityasoutlinedintheprocurementmanagementsystem.
2)Procurementcontrolprocess:TheCompanyhasestablishedtheProcurementControlProcessandProcurementPriceManagementSystemalongsideothermanagementprotocolstodelineateclearresponsibilitiesandapprovalauthoritiesforeachposition.Thisensuresthereliabilityofproductqualityandthestabilityofproductsupply.Additionally,byimplementingtheIntegrityCommitmentAgreementwithsuppliers,theCompanyfostersacultureofintegrity,openness,transparency,andmutualtrust.Thiscooperativemechanismprioritizesprocurementprinciplessuchastransparency,quality,andsustainability,therebynurturingasustainablesupplychainecosystem.
3)Implementinghierarchicalclassificationmanagementofsupplyresources:BasedontheCompany’sdevelopmentgoalsandcommodityplanningrequirements,reserveresourcesfromatleasttwoormoresuppliers.Forcriticalmaterialsorservices,establishaframeworkformultiplesupplierstocompete,ensuringsupplystabilityandmitigatingrisks.Simultaneously,adheretotheCompany’ssupplierevaluationcriteriatoselectvendorsalignedwiththeCompany’srequirements,strivingforamutuallybeneficialcooperationmodelwithsuppliers.Usingthesupplierevaluationsystemandconsideringtheiroverallcapabilities,suppliersareregularlygradedandcategorized.Theseassessmentsguidethecreationofcooperationprogramsandorderallocation,withthegoalofcostcontrol,efficiencyimprovement,andmitigatingsupplyrisks.
4)SupplierManagementProcess
4.1Admissionassessment:NewsuppliersundergovalidationfollowingtheSupplierAdmissionAssessmentSpecification.Suppliersareevaluatedacrossvariousdimensions,includingtechnicalcapability,qualitymanagement,planningandproductioncapabilities,andcorporatesocialresponsibility,throughwrittenassessments.On-siteauditsareconductedforallkeysuppliers,withadditionalauditsforothersuppliersasneeded.TheCompanyentersintoagreementssuchasPurchasingFrameworkContract,QualityAgreement,ConfidentialityAgreement,IntegrityCommitmentAgreement,andotherswithverifiedsuppliers,establishingalistofqualifiedsuppliers.
4.2Performancemanagement:AdheringtotheSupplierPerformanceManagementSystem,conductroutineperformanceevaluationsofsuppliers.Engageinongoingcommunicationwithsuppliersregardingtheirperformancestatus,analyzereasonsforanydeficienciesidentified,developimprovementplans,monitortheimplementationoftheseplans,andverifytheireffectiveness.
4.3Annualreview:AdheretotheSupplierManagementProgramtoconductyearlyevaluationsforkeysuppliers,thosewithsignificantdeviationsoranomaliesintheprioryear,andsupplierswithalterationsinproductionsitesorequipment.Issueimprovementnoticesforanynon-complianceidentifiedduringthereviewprocess,monitortheimplementationofimprovements,andverifytheireffectiveness.
4.4Qualificationadjustment:FollowingtheSupplierGradingandClassificationManagementSystemandSupplierPerformanceManagementSystem,aswellastheresultsoftheannualreview,supplierqualificationsareregularlyrevised.Aneliminationmechanismisactivatedforsupplierswhoseimprovementsproveineffective.
5)Sustainablesupplychain:TheCompanykeepsimprovingitsgreenandsustainabledevelopment,suchascooperationwithschoolsandhospitals.Atthesametime,italsoalignstheupstreamanddownstreamofthesupplychaintofurtherachievesustainabledevelopment.Forexample,wehavepromotedtheprojectofproductpackagede-plasticization;multiplecategoriesofPurcottonproductshaveobtainedcarbonfootprintcertification;weoptimizeproductprocesstominimizetheuseofenergy,andupgradetheproductionequipmenttoenableenergyrecoveryandreuse.
6)Digitalsupplychain:In2023,theCompanyintroducedaSupplierRelationshipManagement(SRM)andSupplyChainManagement(SCM)suppliercollaborationsystem.Additionally,enhancementsweremadetotheMaterialDataManagementSystem(MDC)andProductLifecycleManagement(PLM)datamanagementsystem.Theintegrationofvarioussystemsandmodulesadvancesdigitalmanagement,significantlyenhancingprocurementexecutionefficiencyandmakingpricingmodulesmoretransparent.Implementingend-to-endorderdeliveryandinboundandoutboundinventoryvisualizationmanagement;leveraginginternallydevelopedBusinessIntelligence(BI)visualizationtoolsbytheITteam;integratingdemandandsupplyplanninginformationdatatominimizeofflinecommunicationandenhanceoveralloperationalefficiency.
2.Productionmode
AlignedwiththeCompany’sbusinessstrategyobjectives,anddirectedbytheCompany-levelS&OPsalesandoperationplan,weformulatemediumandlong-termstrategicplansandshort-termproductionandprocurementplansaccordingtotheCompany’sdevelopmentandcustomerdemand.Wealsocoordinateallrelatedupstreamanddownstreamdepartmentstoensurethebalancefromfront-enddemandtosupplyanddelivery.Intheprocessoforderfulfillment,wematchcapacityaccordingtothecharacteristicsofdifferentdemandsandincombinationoftheactualsupplyofhuman,machine,material,methodandenvironment.Throughtheflexibledeploymentofdifferentproductionmodes(MTO(MaketoOrder),MTS(MaketoStore),ETO(EngineertoOrder)andATO(AssembletoOrder)),wecontinuouslyimproveourserviceleveltomeetcustomerdemandsandcreatevalueforcustomers.
）IntheproductionmodeofMaketoOrderMTO,productsareproducedaccordingtothecustomer’soriginalproductdesign;procurementisperformedaccordingtotheBOMfortheacceptedorder.Therefore,inventorybasicallyremainszero.ForOEMcustomerorders,asthemarketconstantlyreducesdeliverycycle,itiscommonnowtocombineMTO&MTSproductionmodes.2）IntheproductionmodeofMaketoStockMTS,productsarenotcustomizedforspecificcustomers,andareusuallydeliveredtodifferentcustomers;productionplansareformulatedaccordingtomarketdemandandexistinginventory.Safeinventoryisdeterminedforsuchproductsaccordingtotheproductioncycleandthefrequencyofdemandtoensurethatproductsareavailablewhenthecustomerplacesorder.
）InthemodeofEngineertoOrder,specificdesignrequirementsfromasinglecustomercanbemet,usuallyforsmallproductionlots;intheproductionprocess,thevaluemainlyliesinproductandpackagingdesignwork.Supportforcustomdesignisanimportantpartofthisproductionmode.Inventorybasicallyremainszero.4）IntheAssembletoOrdermode,thecomponentsrequiredfortheproductionoffinishedproductsarestockedinadvance.Whenthecustomerplacesorder,productscanbeassembledquicklytomeetflexibledeliverydemands.Commonmaterialsarestockedinadvancetomaintainbalancebetweenrapiddeliveryandinventory.
3.SalesmodeTheCompanysellsproductsthroughmultiplechannels.Themainsaleschannelsareshowninthefollowingfigure:
WinnerMedicalWinnerMedical
WinnerMedicalMedicalconsumables
Medicalconsumables
Third-partyB2Cplatforms,suchasTmall,JD.com
andAmazon
Third-partyB2Cplatforms,suchasTmall,JD.com
andAmazon
Winner
Winner
Healthyconsumer
goods
Healthyconsumer
goodsOnlinechannels
OnlinechannelsOnlinechannels
OnlinechannelsOfflinechannels
OfflinechannelsDomesticsales
DomesticsalesOverseassales
Overseassales
E-commerce
platforms
E-commerce
platforms
Realstores
RealstoresHospitals
HospitalsPharmacy/conveniencestores
Pharmacy/conveniencestoresGovernmentandenterpriseplatform
GovernmentandenterpriseplatformPrivatebrand
PrivatebrandOEM/ODMsales
OEM/ODMsalesTmall,JD.comandothertraditionale-commerceplatforms
Tmall,JD.comandothertraditional
e-commerceplatformsTikTok,Kuaishouandotherinterest
e-commerceplatforms
TikTok,Kuaishouandotherinterest
e-commerceplatformsOfficialshoppingmallandWechatmini
programsofPurcotton
OfficialshoppingmallandWechatmini
programsofPurcottonDirectlyoperatedandfranchisedchain
stores
Directlyoperatedandfranchisedchain
storesSupermarkets,conveniencestoresand
beautystores
Supermarkets,conveniencestoresand
beautystores
Offlinechannels
4.Marketingmode
TheCompanyisdevelopingitsproductsundertheWinnerMedicalandPurcottoninacoordinatedway.With30yearsofexperienceintheproductionofmedicalsupplies,WinnerisaleadingmedicalconsumablesbrandintheChinesemarketandabrandwithaglobalvision.With“caringforhealthandlife,makingabetterworld”asitsvisionandindustry-leadingproductqualityasthecornerstoneofitsbrandvalue,theproductmarketingandpromotionforthebrandrelymoreonitsbrandreputation.Withpurecottonproductsasitslabel,Purcottonadoptsunique,differentiatedstrategiestobuilditsbrand.Byintegratingmultiplepromotionchannelssuchasdirectly-salesstores,brandroadshows,celebrityendorsements,eventsponsorship,newmedia,andadvertising,Purcottonkeepsconveyingtoconsumersitspropositionof“medicineclosetolife,Purcottoncareforhealth”anditsvisionof“changingtheworldwithpurecotton”,whichhelpsdeepenthemeaningofPurcottonbrandandincreaseitsbrandawarenessandloyalty.
(IV)Maindrivingfactorsofperformance
1.Medicalconsumablesindustryandconsumergoodsindustrywillkeepgrowingrapidly
Asglobalhealthcareimprovesanddailyhealthcaredemandsrise,theglobalmedicalconsumablesmarketisexperiencingstablegrowthandlandscapechanges.Concurrently,domesticpublichealthcareinstitutionsareundergoingreform,drivenbypolicieslikenationalexaminations,centralizedprocurement,andSPD/DRGadvancements.Thesechangesareexpectedtoleadtoconsolidationandreshufflingwithinthemedicalconsumablesindustry.Afterpublichealthevents,there’sheightenedfocusfromthegovernment,healthcareprofessionals,andconsumersonemergencypreventionandpersonalhealthmanagementautonomy.Consequently,demandforfamilyemergencyanddailyhealthcarehassignificantlyincreasedcomparedtopre-eventlevels.Thedomesticmarketformedicalandhouseholdconsumablesisrapidlyconsolidating,providingafavorableexternalenvironmentforthedevelopmentofleadingenterprises.
InOctober25,2021,theCPCCentralCommitteeandtheStateCouncilofficiallyannouncedtheOpinionsonthecomplete,accurateandcomprehensiveimplementationofthenewdevelopmentconcepttoachievecarbonpeakandcarbonneutrality.ItispointedoutthatstrengtheningChina’sgreenandlow-carbontechnologicalinnovationandcontinuouslyexpandinggreenandlow-carbonindustrieswillacceleratetheformationofnewdriversandsustainablegrowthpolesofgreeneconomy.WewillsignificantlyimprovethequalityandefficiencyofeconomicandsocialdevelopmentandprovidestrongimpetustobuildChinaintoagreatmodernsocialistcountryinallrespects.InDecember2023,theOpinionsonComprehensivePromotionofBuildingaBeautifulChinaissuedbytheCPCCentralCommitteeandtheStateCouncilemphasizedtheimportanceofprioritizingtheconstructionofabeautifulChinainthenation’sdevelopmentandrevivalefforts.Itunderscoredthestrategicimperativetostrengthenecologicalcivilizationconstruction,steadfastlypursueapathofcivilizeddevelopmentencompassingproduction,prosperity,andecologicalwell-being.Theaimistocreateapicturesquehomelandcharacterizedbyclearskies,verdantlandscapes,andpristinewaters,whileadvocatingforsimple,moderate,green,low-carbon,civilized,andhealthylifestylesandconsumptionhabits.Atthesametime,consumersareincreasinglyconcernedabouttheenvironmentalperformanceandsustainabilityofproducts,andtheriseofenvironmentalprotectionandlowcarbonconceptisalsodrivingthetransformationandupgradingoftheconsumergoodsindustry.
2.High-qualityproductsandprecisebrandpositioningenhancebrandvalue
TheCompanyisoneoftheearliestmedicalconsumablesenterprisesinChinatoestablishafullindustrialchaincoveringcottonprocurement,R&D,production,anddirectexport.TheCompanyisoneoftheearlycompaniesthatestablishedamedical-gradequalitymanagementsystemintheindustry,andhaspassedtheISO13485MedicalDevicesQualityManagementSystemCertification.ItsproductqualitycomplieswiththeEuropean,American,Japanese,andChinesestandards.WinnerMedicalenjoysahighbrandreputationandrecognition.InMay2021,WinnerMedicalwasselectedbytheFederationofShenzhenIndustriesasthe“BenchmarkingEnterpriseinChina’sMedicalConsumablesSector”andatthesametimerecognizedasan“InternationalRenownedBrand”bytheUnitedNationsIndustrialDevelopmentOrganization.InDecember2021,“purecottonspunlacenon-wovenfabricsanditsproducts”ofWinnerMedicalwasawardedasthenationalsinglechampionofmanufacturingindustry.InApril2022,WinnerMedicalwasawardedthehonorof“NationalPioneerWorker”bytheAll-ChinaFederationofTradeUnions.WinnerMedicalhasexpandeditsbusinessfromthemedicalfieldtotheconsumergoodsfield,whichhasalsoincreasedthebrandvalueofitsconsumerproducts.Purcottoniscommittedtofulfillingconsumers’demandforhigh-qualityproductswhichare“comfortable,healthy,andenvironmentallyfriendly”.Constantlywinningrecognitionfromconsumerssinceitslaunchin2009,PurcottonhasrapidlygrownintoatopbrandofmaternalandchildproductsonTmall,andhasgainedgreatermarketsharesinthefieldofmaternalandchildconsumerproducts.InOctober2019,Purcottonwonthereputationof“70Brandofthe70
th
AnniversaryoftheFoundingofNewChina”sponsoredbyCCTV.InJanuary2021,Purcottonwashonoredasoneofthe“ShenzhenTopBrands”byFederationofShenzhenIndustries.InApril2021,Purcottonwasincludedintothelistofthesecond“ShenzhenTop100Brands”announcedbyShenzhenQualityCityPromotionAssociation.Inconclusion,withhighbrandvalue,theWinnerMedicalandPurcottonbrandswillhelptheCompanyenhancecustomerloyalty,stabilizeproductprices,andexpanditsmarketshareinthecompetitivemarket,therebyensuringitssustainableandstableprofitability.TheCompanyneedstocomplywiththedisclosurerequirementsofthe“TextileandApparelBusiness”stipulatedintheNo.3GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-IndustryInformationDisclosure.
III.Analysisofcorecompetitiveness
1.Advantagesofbusinessphilosophyandcorporateculture
TheWinnerMedicalbrandembracestheresponsibilityof“promotinghealth,nurturinglife”,guidingtheCompanyandthemedicaldressingindustryfromhumblebeginningstoglobalrecognition,transitioningfromOEMtoanindependentbrand,andearningthetrustofcustomersandusers.Afterover30yearsofdevelopment,theCompanyremainscommittedtoR&Dinnovationandmaintainingproductleadership.Inthehospitalsector,itprovidesawiderangeofmedicalconsumables,includinginfusionsets,gloves,high-endwounddressings,andoperatingroomsupplies,aimingtobealeadingforceinthisfieldandofferingcomprehensivesolutionsthroughan“internalgrowth+externalgrowth”approach.Intheretailsector,theCompanycontinuouslyintroducesconsumers’favoritehomepersonalhealthcareproducts,fosteringasenseofhealthguardianshipandcompanionship.
Withitscorporatevisionof“changingtheworldwithpurecotton”,Purcottonadvocatesalifestylewithpurecottonbyapplying“comfortable,healthy,andenvironmentallyfriendly”inallaspectsofdailylife,anddeliverthebrandconceptof“reassurance,happinessandsustainability”toconsumers.Stickingtothe“cottonfiberonly”principleinitsoperation,Purcottonaimstodeveloprecyclableandrenewableresources,graduallyreplacechemicalfiberswithnaturalfibers,andgivefullplaytotheusevalueandenvironmentalprotectionvalueofcottonfibers,followingthepathoflowcarbon,environmentalfriendlyandsustainabledevelopment.ThevisionsandbusinessphilosophiesregardingtheCompany’stwobrandsarefocusedonhumanhealth,environmentalprotection,andimprovingthequalityoflife,whichareinlinewithhumans’sustainabledevelopmentstrategy.Adheringtocorebusinessprinciples“qualityoverprofit,brandoverspeed,andsocialresponsibilityovercorporatevalue”,theCompanyconsistentlydeliverssuperiorsolutionsandserviceexperiencestocustomersanduserswhileactivelycontributingtocommunitydevelopment,showcasingitssocialresponsibility.Guidedbythevaluesof“hardwork,self-criticism,explorationandinnovation,andsustainabledevelopment”,wewillstaytruetotheoriginalentrepreneurialspiritandbrand-buildingefforts.Attheorganizationallevel,weprioritizebuildingprocess-orientedstructureswhilealsoestablishinganintegratedorganizationtosupportcohesivebusinessoperations.Wemaintainalong-termfocusonenhancingorganizationalefficiencyandcapacitytoelevatebusinessvalue.Ourteamincentivesaimtobolstermarketcompetitivenessthroughfixedsalaryenhancementsandtheimplementationofperformance-basedbonussharingsystems.Weincentivizebusinessownershipandgrowth,retainingcoreleadersthroughtheinitiationofequityincentiveplans.Regardingtalent,weembraceaculturecenteredontheprinciplesof“high-quality,high-efficiency,high-performanceandhigh-return”,fosteringanenvironmentconducivetotherapidgrowthofindividuals.Weaimtoremovebarrierstothedevelopmentoftop-tiertalentandcontinuallyfortifyourbusinesspartnermechanism.
2.AdvantagesofR&Dandinnovation
TheCompanyindependentlydevelopedthepurecottonspunlacenon-woventechnologyin2005,andhasbuiltacompletetechnologyclusterbasedonthetechnology,obtainingpatentlicensesinmorethan30countriesandregionsincludingtheUnitedStates,Europe,andJapan.ThesilicagelfoamdressingandfoamdressingssuccessfullydevelopedandlaunchedbytheCompanyhavebeenawardedwithChina’sregistrationcertificateforClassIIandClassIIImedicaldevicesrespectively.Buildinguponthesuccessoflastyear’sresearchanddevelopmenteffortsincorematerialsandmassproductionapplications,theCompanyhasfurtherrefineditstechnologylayoutforthesecondgenerationofhigh-endwetwounddressings.Newscarrepairproductshavebeensuccessfullyintroducedtothedomesticmarket,whilevariousantimicrobialdressingsandbio-activecollagendressingsdevelopedthisyearhaveobtainedFDAqualificationsforaccessintheUnitedStates.Inthefieldofmedicalconsumables,theCompanyfocusedonthedevelopmentofcorebasicmaterialsontheapplicationofoperatingroomconsumablessuchassurgicalgowns,isolationgowns,surgicaltowelsandwipes,toenhancethecomfortoftheproducts,reducethecostofproductionoftheproducts,andtofurtherenhancethemarketcompetitivenessoftheproducts.Itwasinvitedtoparticipateintheformulationofmanynationalstandardsandindustrystandards,includingtheperformancerequirementsofpurecottonnonwovensurgicaldressings,andtechnicalspecificationsforcontactlayerdressingsandmasksforchildren.Inthefieldofconsumerproducts,theCompanyhasdevelopedpurecottontissues,purecottonwettissues,sanitarynapkinswithpurecottonsurface,aswellasdisposalcleansingtowels,disposableunderwearandotherproducts.Asthefirstandmajordrafter,Purcotton,awholly-ownedsubsidiaryoftheCompany,ledthedevelopmentofnationalstandardsforcottontissues(GB/T40276-2021),whichrequiresthatthefibercompositionandcontentofcottontissuesshallbeidentified,andthefibercontenttoleranceshallcomplywiththeprovisionsofGB/T29862(implementedonDecember1,2021).InDecember2021,“purecottonspunlacenon-wovenfabricsanditsproducts”oftheCompanywasawardedasthenationalsinglechampionofmanufacturingindustry.In2023,wewereinvolvedintheestablishmentofagroupstandardfortechnicalrequirementsincarbonfootprintevaluationforseveralproducts,includingsofttowels,sanitarynapkins,anddiapers.Sinceitsestablishment,theCompanyhasbeenattachinggreatimportancetoscientificandtechnologicalinnovationandcooperation.Ithascarriedoutindustry–university–research(IUR)projectswithmanyuniversitiesandresearchinstitutes,includingHongKongPolytechnicUniversity,HongKongResearchInstituteofTextilesandApparel,WuhanTextileUniversity,andSoochowUniversity.InJanuary2022,theCompanyandHuazhongAgriculturalUniversityjointlyestablishedtheCottonResearchInstituteandappointedAcademicianZhangXianlongastheChiefCottonScientistofPurcottontocooperateinresearchanddevelopment.Theresearchinstitutereliesonbiologicalbreedingtechnologytocultivatecottonstrainsthatareexclusivetocotton,andtodiscovercottonstrainsthatarespecializedforspunlacenonwovenfabrics.InJune2022,theCompany,togetherwithWuhanTextileUniversityandHuazhongUniversityofScienceandTechnology,jointlydeclaredamajorscienceandtechnologyprojectinHubeitopromotetheindustrializationofthecurrentlydevelopedcorrugatedstructurewithslow-releasefunctionartificialbloodvesselsandpolyesterlarge-caliberwovenartificialbloodvessels,soastorealizethedomesticreplacementofartificialbloodvesselsearly,solvethebottleneckprojectinChina,andbetterservepatientswithvasculardiseases.Inaddition,theCompanyalsojoinedhandswithWuhanTextileUniversitytosetuptheInnovationResearchInstituteofWinnerMedical&WuhanTextileUniversitytoacceleratethetransformationofscientificandtechnologicalachievements.XuWeilin,academicianoftheChineseAcademyofEngineering,deputypartysecretaryandprincipalofWuhanTextileUniversity,wasappointedasthepresidentoftheResearchInstitute.AsofSunday,December31,2023,theCompanyhasobtained112inventionpatents,802utilitymodelpatents,and425designpatentsinChina;28inventionpatentsand8utilitymodelpatentshavebeenobtainedoverseas.TheCompanywasregardedasa
“LeadingEnterpriseinIndependentInnovation”bytheShenzhenMunicipalPeople’sGovernment,anda“ShenzhenEnterprisewithIntellectualPropertyAdvantages”bytheShenzhenAdministrationforMarketRegulation.
3.Advantagesofqualitycontrol
Withahistoryofmorethan30yearssinceitsestablishment,WinnerMedicalhasachievedsustainabledevelopmentandmaintainedaleadingpositionintheindustry.ItisinseparablefromtheCompany’sthreecoreprinciplesof“qualityoverprofit,brandoverspeed,socialvalueovercorporatevalue”.Inthiscontext,thequalitypolicyof“Rigorouswork,strictcompliancewithlawsandregulations,andcontinuouslyimprovetowinthefulltrustofcustomers”wasformedandhasbeenimplementedtodate.Basedonthisguideline,WinnerMedicalGrouphasadoptedENISO13485:2016(ISO13485:2016),China’sMedicalDeviceManufacturingQualityManagementPractice,theUnitedStates21CFRPart820,andtheEuropeanUnionMDD(DIRECTIVE93/42/EEC),EUMDR(REGULATION(EU)2017/745)andEUPPE(REGULATION(EU)2016/425)ascornerstones,formingaqualitymanagementsystemmodelbasedonprocessmanagement.Underthismodel,WinnerMedicalfocusesontheresearchofproductqualitystandardsandregulatoryrequirementsofdifferentcountries/regions,andactivelypassesthecorrespondingproductregistration/certificationprocedures.IthasobtainedproductaccessqualificationsinChina,EU,USA,Japan,UK,Switzerland,Russia,Australia,Malaysia,Thailand,SaudiArabiaandothercountries/regions,providingdomesticandforeigncustomerswithhighqualityproductsandgoodafter-salesservice.Atthesametime,WinnerMedicalhasbeencommittedtobuildingprofessional,reliableandcomprehensiveproductqualitytestingcapabilities.TheCompany’sR&DcenterlaboratoryandJingmenWinnerLaboratoryhavebeenaccreditedbytheChinaNationalAccreditationServiceforConformityAssessment(CNAS).Withprofessionalandreliableproducttestingcapabilities,itnotonlyprovidesguaranteeforproductqualitycontrol,butalsoservesasasourceofdataforcontinuousproductimprovement.Toensurethesafetyofrawmaterialsforitsproducts,Purcottonuseshigh-qualitycottonfromaroundtheworldtoproduceitscoreproducts,suchasitspurecottontissue,sanitarynapkinswithpurecottonsurface,andpurecottonwettissues.Alltheworkshopsaremanagedaccordingtothemanagementrequirementsfortheworkshopsofmedicaldressings,whichcanhelpstrictlycontrolbacterialcontaminationandpollutionsources.Withitsstrictquantitymanagementcontrolsystem,Purcottonisabletoprovidecustomerswithhigh-qualityconsumergoodsthataresafeandenvironmentallyfriendly.Adheringtotheconceptof“medicineclosetolife,Purcottoncareforhealth”,Purcottonnotonlyappliesqualitynaturalcottonbutalsoattachesimportancetotheenvironmentalfriendlyweavingandfinishingprocess.Toensurethatitsproductsareecologicallysafe,nofluorescentbrightenersareaddedtoitsproducts.SomeofitsproductsareOEKO-TEXStandard100certified.Somenon-wovenproductshavepassedthetestingperformedinaccordancewiththeEUAP(2002)1andEC1935/2004EUFoodContactMaterialsRegulation.
4.Productadvantages
(1)MedicalconsumablesTheCompany’sproductcategoriesincludehigh-endwounddressingproducts,traditionalwoundcareandwounddressingproducts,consumableproductsinoperatingroom,infectionprotectionproductsandhealth&personalcareproducts,coveringapplicationscenarioslikeclinicalandmedicalinstitutionsandfamilies,whichcanbettermeetclients’needsofone-stopprocurement.Inadditiontotraditionalwoundcareproductsandwounddressingproducts,theCompanyhasalsodevelopedrepresentativehigh-endwetdressingslikesiliconefoamdressings,hydrocolloiddressings,superabsorbentpadsandscartreatmentstripforchronicwoundsthataredifficulttoheal,whichhasfurtherenrichitsproducts.Fortheclinicalusescenarios,theCompanyiscommittedtochangingfromsellingsingleproductstoprovidingcustomerswithintegratedsolutions.Itsinfectionprotectionproductsincludedozensofsurgicalpacksforvarioussections,suchasheartandbrain,abdominalcavity,urology,reproduction,facialfeatures,andlimbs.Intermsofprotectiveproducts,theCompanyhassuccessfullydevelopedandmarketedbiodegradablemasks,N95medicalprotectivemasksofhighpermeabilityandotherproducts,providingsolutionsfortheenvironmentalattributesofmaskproductsandgreatlyenhancingthecomfortofmaskproducts.Inthefieldofhomecare,theCompanyprovidesprofessionalproductsforclinicalusesuchashyaluronicacidmasks,salinecleaningpads,hydrocolloidband-aidsandmedicalsheetmaskstoconsumersthroughportable,sterilizedanddiversifiedpackages.Theseprofessionalhealthcareproductsandservicesindailyhomecarehelpcustomersreducethefrequencyofgoingtothehospital.
(2)HealthyconsumergoodsTheCompany’shealthyconsumergoodsconsistofnon-wovenconsumergoodsandtextileconsumergoods.Non-wovenconsumerproductsmainlyincludewetanddrycottontowels,sanitarynapkins,etc.;textileconsumerproductsmainlyincludebabyclothingandsupplies,adultapparelandothertextileproducts.Cottonfiberhastenprominentadvantages,includingnatural,safe,comfortable,naturallydegradable,highoutputratio,drought-resistant,saltandalkali-resistant,environmentallyfriendly,time-honored,aswellasgreateconomicandsocialvalue.TheCompanytakestheleadinproposingtheinnovativeconceptofreplacingchemicalfiberswithcottonandgettingridofchemicalstimulation,andprovidesconsumerswithhealthy,comfortableandenvironmentallyfriendlyconsumergoods.Anditscottontissuesarepioneeringtissuesintheindustry,whichcanpartiallyreplacehouseholdpaper.Purecottontissuesaremadeofdegradablecottonafterphysicalprocessing.Therearelesschemicalstimulationandthetissuescanbereused.Thetissuesaremorecomfortable,safe,andenvironmentallyfriendly,soconsumeracceptanceofthetissueshasbeensignificantlyimproved,andtherearemanyimitatorsinthemarket.Forpurecottonwettissues
andsanitarynapkinswithpurecottonsurface,cottonmaterialsareinnovativelyusedinthepartsoftheseproductsthatcontacthumanskintoreplacetraditionalchemicalfiberandeffectivelyreducechemicalirritation,sotheyarepopularinthemarketsofbabyandfemaleconsumers.Duetotheexcellentbreathabilityandsoftnessofgauzefabrics,theCompany’sapparelandtextileconsumerproductssuchasgauzechildren’sapparel,householdapparel,beddingandbathtowelsaregettingmorepopular.
5.Brandadvantages
(1)BrandadvantagesinthefieldofmedicalconsumablesAsaleadingenterpriseinthemedicalconsumablessector,theCompany’scorestrategyrevolvesaround“leadingproductswithoperationalexcellence”.Throughglobalexhibitions,theStableAcademy’ssensecontroltrainingcourses,operatingroommanagementforums,woundtrainingprograms,andotherinitiatives,the“WinnerMedical”brandhasgainedwidespreadrecognitioninthemedicalindustry.Bothdomesticallyandinternationally,customerstrusttheCompany’sbusinessphilosophyandproductquality.TheCompany’smedicalconsumablesaremainlysoldto110countries,mainlydevelopedcountriesandregionssuchasEurope,JapanandtheUnitedStates,andtheproductsunderitsbrandWinneraremainlysoldtodevelopingcountriesandregionssuchasAsia,Africa,andLatinAmerica.TheCompanyareprovidingservicesforworld-renownedmedicalsuppliescompaniessuchasM?lnlycke,Lohmann,andPAULHARTMANN.Theproductsof“WinnerMedical”brandshavecoveredallpublicandmostprivatehospitalsinHongKong.
(2)BrandadvantagesinthefieldofhealthyconsumergoodsPurcottonisawhollyownedsubsidiaryofWinnerMedical.Withhighqualitycottonasthecorematerial,Purcottoninsistsonprioritizingqualitywithheartandsoul,bringingcomfortable,healthy,andenvironmentallyfriendlycottonlifestyletoconsumers.Purcottonproductshavebeenrecognizedandtrustedbymorethan52.42millionmembers.Adheringtothebrandconceptof“reassurance,happinessandsustainability”,Purcottonadvocatesthepublictousemorecotton,reduceenvironmentalpollutionandreturntothenaturalwayoflife.ThePurcottontissuesdevelopedbyPurcottonisapioneeringcategory.Purcottonarecreatingnewcategoriesandlifestylesbyapplyingcottonmaterialsinitscoreproducts,suchasitsall-cottoncottonwetwipes,sanitarynapkinswithpurecottonsurface,purecottondiapers,anditsgauzetextileproductsandapparel.Ithasshapedanbrandimageof“newChineseproducts”withcottonasthecorematerialandexcellentproductquality.Itsbrandawarenessisincreasinganditsreputationisimprovingyearbyyear,formingeffectivecompetitionbarriersandbringingpowerfuladdedvalueofproductsforPurcotton.
6.Advantagesofsaleschannels
(1)AdvantagesofonlinechannelsIntermsofonlinechannels,theCompany’s“WinnerMedical”and“Purcotton”havecompletedthedeploymentofmainstreamthird-partye-commerceplatforms,includingTmall,JD.com,Pinduoduo,VipshopandAmazon.Withthehugeusertrafficgathered,itssaleshascoveredmostonlineshoppingconsumergroups,andthesalesdataindicatedthatthesalesofitsproductsrankamongthetopintherelevantproductcategoriesinmajore-commerceplatforms.Withtheattributesof“sales+social”,Purcotton’sofficialwebsiteandWeChatminiprogramsareimportantplatformsforitsproductdisplay,userinteraction,andbrandpromotion.Atthesametime,PurcottonisalsocooperatingwithnewsocialretailplatformssuchasTikTok,KuaishouandXiaohongshu,whichhelpsitopenupnewsalesgrowthchannels.
(2)AdvantagesofofflinechannelsAsoftheendof2023,themedicalconsumablessegmenthasreachedover6,000medicalinstitutionsand190,000retailpharmaciesacrossChina.Additionally,theCompany’sforeignmedicalbusinessservescustomersanddistributorsinhundredsofcountriesandregionsworldwide,includingEurope,Japan,andtheUnitedStates.Inthehealthyconsumergoodssection,asofJune30,2023,Purcottonhasopened411offlinestores(including74franchisees)inmorethan90mid-andhigh-endshoppingmallsinShenzhen,Shanghai,Beijing,GuangzhouandotherkeycitiesinChina.TheCompanyintegratesitsbrandconceptintoitsstoredesign.Ithireswell-knowndesignersathomeandabroadtoupgradeitsstoreimageandtoenhanceitsconsumerexperiencewithanexhibition-styleproductdisplaybalancingbothaestheticsandrichnessofproducts.Italsoaddsanexperienceareatohighlightproductdisplayandconsumerexperience,whichhashelpedincreasetheCompany’ssalesrevenueandfurtherincreaseitsbrandawareness.Asforofflineterminalslikechainstoresandsupermarkets,basedonPurcotton’spositioningofhigh-qualityconsumergoods,theCompanymainlydeploysPurcottonproductsinnationallyrenownedsupermarketchains,high-endboutiquesupermarkets,leadingregionalsupermarkets,conveniencestorechains,beautystores,andofflinemotherandbabystores.Meanwhile,theCompanyalsohassetupdedicatedsalesteamstocoverthebulkpurchaseorcustomizedpurchaseneedsofcorporateclients.
(3)AdvantagesofintegrationbetweenonlineandofflinechannelsTheomnichannelretailmodelisanewlyemergingretailformthatprovidesconsumerswithaconsistentshoppingexperiencebyintegratingphysicalstores,third-partye-commerceplatforms,andmobilee-commercechannels.Insuchform,theconvenienceofonlinechannelsandtheconsumerexperienceofofflinechannelscancomplementeachother.Havingadeepinsightintothedevelopmenttrendofintegratingonlineandofflineomni-channelintegration,theCompanythoroughlyoptimizedandintegratedvariouschannelstointegratetrafficandsalesofofflinestores,supermarkets,storesandonlineapps,andhomedeliveryplatforms(Meituan,daojia.jd.com,andele.me,etc.),therebyfurtherimprovingitsoperatingefficiencyandperformance.Onlinechannelscanmeetofflineconsumerssubsequentconsumptionneedswhileofflinechannelscanprovideonlineconsumersfurtherproductinformationandserviceexperience.Flowsoftrafficscanbedirectedbetweenthetwokindsofchannels,soonlineandofflinetrafficcanbeeffectivelyobtained.AsofDecember31,2023,Purcottonboastedapproximately52.42millionmembersacrossalldomains,withover26millionregisteredmembersontheprivatedomainplatform(over12millioninstoresandover14millionontheofficialwebsiteandmini-programs).
7.Advantagesoffullindustrialchain
Adheringtothebusinessphilosophyof“qualityoverprofit”,theCompanyhasbeenconstantlyimprovingitsproductquality,costanddeliverymanagementandcontrol,andhasbuiltafullindustrialchainwithadvantagesfromprocurement,production,sterilization,warehousing,todelivery.Withelevenmanufacturingbranches/subsidiaries,theCompanyannuallydistributesawiderangeofhigh-qualitymedicalconsumablesandhealth-consciousconsumergoodsworldwide.WinnerMedical(Yichang),establishedin1999,operateswith137advancedair-jetloomsandservesastheprimaryproductionbaseforgreyfabrics.WinnerMedical(Tianmen),foundedin2000andspanninganareaof150,000squaremeters,specializesinproducingcottonspunlacenonwovenfabrics,cottonsofttowels,medicaldressings,andmedicalprotectionproducts.Itservesasakeydomesticproductionbaseforcottonspunlacenonwovenfabricsandmedicalgauze.Establishedin2005withanareaof550,000squaremeters,WinnerMedical(Huanggang)isthemainproductionsiteofpurecottonspunlacenon-wovenfabrics,cottontissues,sanitarynapkins,andmasks;withanareaof67,000squaremeters,WinnerMedical(Jingmen)isthemainproductionsiteofgauzeapparel,degreasedmedicalbleachedgauze,anddyedmedicalgauze;withanareaof93,000squaremeters,WinnerMedical(Jiayu)hasfourproductcategorieswithpurecottonasbasicmaterials,i.e.thecleaning,disinfection,beauty,andcarecategories,andtwoproductcollections:medicalanddailyuseproducts;establishedin2001withanareaof140,000squaremeters,WinnerMedical(Chongyang)istheCompany’smainforceofproducingitsdisposablesurgicalkitsandotherinfectioncontrolproductsinoperatingroom,protectiveclothingandotherepidemicpreventionproducts,allkindsofcottonballsandcottonpads;establishedin2017withatotalareaofabout467,000squaremetersofitsphaseIandphasesIIsites,WinnerMedical(Wuhan)hasbroughtinelectronbeamsterilizationandinternationalmoderncottonspunlaceproductionline.InJanuary2022,theCompanyacquiredanindustriallandofnearly15,000squaremeterslocatedinGuanlanStreet,LonghuaDistrict.Inthefuture,thelandwillbebuiltintoanindustrialbaseformedicalbiologicalandinfectioncontrolprotectionintheGuangdong-HongKong-MacaoGreaterBayArea,whichwillbeusedforscientificresearchinnovationandindustrialproductionofmedicalbiology,high-endmedicaldressingsandmedicalinfectioncontrolprotectionproducts.In2022,theCompanyacquiredthreecompanies,i.e.LongtermMedical,WinnerGuilin,andWinnerMedical(Hunan),tosolidifythekeyfoundationforbuildingthecapabilityofone-stopmedicalconsumablessolution.Throughcontinuousconstructionandimprovement,thedailymanagementsystemwithinthefactorywasoptimizedthroughleanmanagement,standardization,automation,digitalizationandgreening.Infuture,theCompanyisalsogoingtoexploreandbuildsmartfactories.Itwillrealize“unmannedproduction,process-basedmanagement,andprocessdigitalization”stepbystep.
IV.Analysisofmainbusiness
1.Overview(I)Businessanalysis
In2023,thedomesticeconomyfullyrebounded,withsupplyanddemandsteadilyimproving,leadingtooveralleconomicenhancement.Inthefaceofthechangingexternalenvironmentunderthenewsituation,WinnerMedicalpositionsitselfasaleadinghealthcareenterprise,emphasizingsynergisticdevelopmentinhealthcareandconsumersector.Basedonthetwobusinessesofmedicalconsumablesandconsumerhealthcareproducts,ithasrespondedpositivelyandadjustedflexiblyundertheguidanceofthethreecorebusinessprinciplesof“qualityoverprofit,brandoverspeed,andsocialvalueovercorporatevalue”.In2023,theCompanystickstothecorestrategyof“leadingproductswithoperationalexcellence”,maintainingacommitmenttoindependentinnovationandR&Doffundamentalmaterials.Weconsistentlyenhanceproductcompetitiveness,prioritizecorepopularproducts,expandchanneldevelopment,andfosterthecontinuousenhancementofbrandawarenessandreputation.Additionally,we’llfocusonelevatingoveralloperationandmanagementquality.Inthepreviousyear,duetothehighbaseininfectionprotectionproducts,marketdemandsharplydeclinedthisyear,leadingtounfavorableconditions.In2023,theCompany’scumulativeoperatingincomereached8.19billionyuan,markingayear-on-yeardeclineof27.9%.Itachievedanetprofitattributabletoshareholdersoflistedcompaniesof580millionyuan,withanetprofitof410millionyuanexcludingnon-recurringgainsandlosses,reflectingyear-on-yeardeclinesof64.8%and73.6%,respectively.Excludinginfectionprotectionproducts,thetraditionalmedicalconsumablesbusinessachievedoperatingincomeof2.95billionyuan,whiletheconsumerproductsbusinessachievedoperatingincomeof4.26billionyuan.Thismarksayear-on-yeargrowthof17.3%and6.4%,respectively,highlightingtheenduringstrengthofWinnerMedical’slong-termdevelopment.
(1)Medicalconsumablesbusiness:significantimpactofhighbaseofinfectionprotectionproducts,steadydevelopment
ofconventionalproductsbusinessInrecentyears,undertheinfluenceoftighteningglobalmedicalregulationandacceleratedprocessofpopulationagingandchronicdisease,themedicaldeviceindustryhasusheredinagoldenperiodofrapiddevelopment.Themedicalconsumablessectorisinarapiddevelopmentstageforitshighfrequencyofuseandlowindustryconcentrationratio.Comparedwiththeglobalmarket,China’smedicalconsumablesmarketismorepromisingintermsofscaleandgrowthrate.Ourmedicalconsumablesbrand,WinnerMedical,hasbeencultivatingthemedicalconsumablesindustryformorethan33yearsandhassteadilywentthroughseveralroundsofeconomicandindustrydevelopmentcycles.Inthefaceofpublichealtheventsinthepastthreeyears,theCompanyhasmadeeveryefforttoguaranteethesupplyofmedicalsupplies.Whilemakingduecontributionstosociety,itsbrandawarenessandreputationhavebeensignificantlyimproved.Ourchannelshavebeenfurtherconsolidated.In2023,duetotheimpactofthehighbaselinesetbyinfectionprotectionproductsinthepreviousyearandasignificantdecreaseinmarketdemandthisyear,themedicalconsumablesbusinessachievedacumulativeoperatingincomeof
3.86billionyuan.Thisrepresentsayear-on-yeardeclineof46.7%.Meanwhile,thecoremedicalconsumablessectorrecordedanoperatingincomeof2.95billionyuan,markingarobust17.3%year-on-yeargrowth.Thissetsastrongfootingfortheenduringadvancementofourmedicalbusiness.
1ProductsCommittedtoevolvingintoacomprehensivesolutionbrandformedicalconsumables,theCompanyoffersawiderangeofproductsencompassingtraditionalwoundcareandwounddressings,high-endwounddressingproducts,operatingroomconsumables,infectionprotectionproducts,andhealthpersonalcareproducts.TheCompanyprioritizesR&Dinvestmentandholdsasignificantadvantageinthenumberofmedicalproductregistrationcertificates,establishingacompetitivebarrierinthestablemedicalsector.Asoftheendofthereportingperiod,wehold883patentsinthemedicalconsumablessegmentand367medicalproductregistrations(including25registrationsofCategoryIIImedicalproducts).In2023,therewere159netnewR&Dpatentsand48netnewmedicalproductregistrations.Throughoutthereportingperiod,marketdemandforinfectionprotectionproductsnotablydeclinedstartingfromthesecondquarter.Coupledwithhighmarketinventory,thiscategoryexperiencedasteepyear-on-yeardecreaseinannualoperatingincome,droppingby3.82billionyuanor80.7%duetolowsalesvolume.Inaddition,thebusinessofconventionalmedicalconsumablesdevelopedsteadily.Amongthem,thetraditionaldressingsbusinessgeneratedrevenueof1.15billionyuan,markinga7.0%year-on-yearincrease;thehigh-enddressingsandoperatingroomconsumablesbusinessesachievedoperatingrevenueof600millionyuanand560millionyuan,respectively,representinga27.7%and17.7%year-on-yeargrowth,demonstratingstrongergrowthmomentum.Guidedbythestrategyof“leadingproductswithoperationalexcellence”,severalcategoriesupheldrobustcompetitivenesswithintheirrespectivesegments.In2023,salesofvariouscoreproductssurgedsignificantly,withsurgicalkits,filmdressings,andoral-nasalandincontinencecarecategoriesallexperiencingyear-on-yeargrowthratesexceeding35%.ThroughtheacquisitionofLongtermMedical,WinnerMedical(Hunan),WinnerGuilinandothercompanies,theCompanyincreasedproductlinesinthefieldsofhigh-endwounddressings,injectionandpunctureconsumables,latexglovesandcondoms,whichstronglyimproveditsindustriallayout.Followingayearofextensiveempowermentandresourceintegrationin2023,themergedcompaniesdeliveredpositiveoutcomesinbusinesssynergyandvalueoptimization.Inthefuture,theCompanywillcontinuetostrengthenthein-depthintegrationofM&Acompaniesinmultiplefieldssuchascapacityenhancement,producttechnology,brandchannelsandoperationmanagementtohelptherelevantcategoryandtheproductproductionlinesmakegreatercontributionstotheCompany.
ChannelIn2023,theCompanycontinuedtoenhanceitsmarketinginitiativesthroughvariousmeansandactivelyexpandeditsmarketingchannels.Besides,changesinthepublichealtheventsituationrestoredamorebalancedandrationalizedrevenuestructureacrosschannels.Throughoutthereportingperiod,despitethemultifacetedimpactsoftheinternationalenvironment,theCompany’soverseaschannelsremainedresilient,achievingacumulativeoperatingincomeof1.45billionyuan.Thismarksaremarkablegrowthof
15.4%againsttheprevailingtrendandconstitutes37.5%oftherevenueofthemedicalsegment.Domestichospitalchannelsaresteadilyexpanding.Asoftheendof2023,theCompanyhasreachedoversixthousandmedicalinstitutions,generatingoperatingincomeof920millionyuanfortheyear.Thisaccountsfor23.7%oftherevenueshareinthemedicalsegment.TheC-suitebusinesssawactivedevelopment,withe-commerceanddomesticpharmaciesgeneratingoperatingrevenuesof630millionyuanand330millionyuanrespectivelyduringtheyear,collectivelyrepresenting24.7%ofthemedicalsegment’srevenue.Thedomesticpopulare-commerceproductstrategyisgainingclarityandfocus.Cross-bordere-commerceisrapidlygrowing,withthecorelarge-itemcategorymaintainingitstoppositionontheAmazonplatformforcross-bordersales.Inthedomesticmarket,theCompany’sproductswereavailableinover190,000over-the-counter(OTC)pharmaciesbytheendoftheperiod,markinganadditionofover40,000pharmaciesthroughouttheyear,reflectingsignificantexpansion.
(2)Consumerhealthproductsbusiness:remarkableproductadvantages,andsubstantialefficiencyimprovementinstore
expansionAccordingtodatafromtheNationalBureauofStatistics,thetotalretailsalesofconsumergoodsin2023reached47.1trillionyuan,markinga7.2%year-on-yearincreaseandsettinganotherrecordhigh.Astheoverallvitalityoftheconsumermarketcontinuestoimprove,thetrendofconsumptionstratificationisevident,wherebothpleasingaestheticsandrationalitycoexist.Thisprofoundlyinfluencesthecompetitivedynamicswithinsegmentedmarkettracks.Insuchamarketenvironment,theCompanyispositionedinthepremiumnationalproductsegment,aligningwiththecontemporarysurgeinthenationaltrendeconomyanddemonstratingsustainedgrowthmomentum.BackedbytheparentCompanywithamedicalbackgroundofmorethan30years,Purcotton,theCompany’shealthyconsumergoodsbrandstartswiththetechnologyofcottonspunlacenon-wovenfabric,andcontinuouslyenrichitsproductcategories.Theconsumptionscenehasexpandedfrommaternalandinfanttothewholefamilyconsumptionofwomenandhome.Thethreecoreadvantagesof“Medicalbackground,Purcottonphilosophy,QualityinourDNA”haveunitedahighlyloyalcustomerbaseinpursuitof“reassurance,happinessandsustainability”forPurcotton.In2023,Purcottoncontinuedtostrengthenbrandbuilding,emphasizingthreemajorscenariosandimplementingthepop-upstrategy,achievingoperatingincomeof4.26billionyuanduringthereportingperiod.Withthebasefromlastyearnotsignificantlylower,itgrewby6.4%year-on-year,andby41.7%comparedtothatof2019,demonstratingstrongdevelopmentresilience.
ProductsGuidedbytheprincipleof“cottonfiberonly”,Purcottoncontinuouslyinvestsintechnologyresearchanddevelopment,andhasbuiltupadifferentiatedproductmatrix.In2023,theCompanycontinuedtoinnovatethroughresearchanddevelopment,highlightingtheuniquesellingpointsofitsproducts.Itsteadilyimproveditsindustryrankingincorecategories,achievingrecord-highsell-outratesforbothinfantandadultapparel.Additionally,itsignificantlyreducedinventoryturnoverdays,greatlyenhancingmerchandiseoperationsefficiency.Amidstconsumptionstratification,theCompanyembracedthebrandIPstoryof“WhatSheChanged”,launchedthebrand“Hello,CottonColor”,andemployedscientificmarketingstrategiessuchas“SoftCottonTissues≠CottonTissues”.TheofficialannouncementofspokespersonsandotherpromotionalactivitieseffectivelyhighlightedtheadvantagesofPurcotton,resultinginarecord-highbrandvolume.TheCompanyintroducedthecottonsofttowelcategoryin2009,andPurcottonledtheformulationofthenationalstandardof“SoftTowels”in2021,furtherpromotingitspositionintheindustry.Salesofwetanddrycottontowels,thecoreflagshipproducts,haveseensteadygrowth,maintainingaleadingmarketposition.Inthereportingperiod,theyachievedoperatingincomeof1.19billionyuan,markinga2.8%year-on-yearincrease.ThePurcottonsanitarynapkinproductstransitionedtoa100%cottoncorefromwoodpulp,boastingskin-friendlyandnon-allergenicqualities.Duringthereportingperiod,theCompanyachievedanoperatingincomeof590millionyuan,markinga4.2%increase.Thankstotherecoveryofofflinesales,therewasanotablegrowthrateinadultapparelandothertextileproducts,particularlybeddingandtoiletriesproducts,whichprioritizethesensoryexperience.Duringthereportingperiod,theyachievedoperatingrevenuesof840millionyuanand410millionyuan,respectively,representingyear-on-yeargrowthof21.7%and17.1%.Bytheendofthereportingperiod,Purcottonhasobtainedatotalof492patents,67newpatentsin2023.TheCompanycontinuestopromotegreenproductcertification,productcarbonfootprinting,researchanddevelopmentofbiodegradableproducts,organiccottonbreedingandapplication,leadingthegreendevelopmentoftheindustry.
ChannelIntermsofchannels,Purcottonhasdiversifiedonlineandofflinechannels,includingtraditionalthird-partyplatformssuchasTmall,JD.com,Vipshop,e-commerceplatformssuchasTikTok,Xiaohongshuandotherinterestine-commerceplatforms,aswellasitsownofficialwebsiteandappletsandotherself-ownedplatforms.Intermsoftheofflinechannel,thestrategyinvolvesdirectencryptionofofflinepresenceinfirstandsecond-tiercities,whilefocusingonjoininginthecoreofthirdandfourth-tiercities;Atthesametime,throughthemodeofofflineexperienceandonlinere-purchase,deepintegrationofmultiplechannels,complementaryadvantagesofmultipleplatforms.In2023,buildingonitsomni-channelstrategy,Purcottonvigorouslyexpandeditsofflinepresencethroughhigh-qualitychainsuperstoresandinstantretailoutlets.Meanwhile,onlineoperationswerefine-tunedwithafocusonplatformsliketheTikTok.Asoftheendofthereportingperiod,therewereapproximately52.42millionmembersinacrossthedomain,anincreaseof12.1%fromtheendoflastyear.Theofflinemarketwitnessedaswiftrecovery,withofflinestoresemergingastheprimaryrevenuedriverforPurcotton.Duringthereportingperiod,offlinestoresgeneratedoperatingincomeof1.36billionyuan,markinganimpressive18.7%year-on-yearincrease.Embracingdigitaltransformation,theCompanyleveragedtoolssuchassmartshelvesandtailoreddisplaystrategiesfordifferentstoreformats.Italsoprioritizedareaefficiencyimprovement,targetingcabinetandproductefficiencyenhancements.Asaresult,storeareaefficiencysurgedbyapproximately15%year-on-year.Inlinewithitsexpansionstrategy,theCompanysignificantlyrampedupstoreopeningsduringthereportingperiod,launchingatotalof84newstores(comprising42newdirectly-managedstoresand42franchisestores).Bytheendofthereportingperiod,theCompanyboastedatotalof411offlinestores,including337directly-managedstoresand74franchisestores.Duringtheyear,Purcottoncontinuedtoexploreitsonlinechannels.Itimprovesitsfineoperationability,focusesonthematrixofnewproductsandpopularproducts,andstrengthensthemutualpenetrationamongcategories.Throughbrandactivities,contentcommunity,membershipsystemandotherin-depthoperation,theconversionrateofnewcustomersandoldcustomersareincreased.Duringthereportingperiod,theonlinechannelachievedoperatingrevenueof2.58billionyuan,markinga1.2%year-on-yearincrease.Thedevelopmentofthesupermarketchannelremainedsteadyandpromising,contributingrevenueof240millionyuanin2023,reflectingasolid4.3%year-on-yearincrease.
(3)CompanyprofitabilityanalysisTheprofitabilityperformanceofthetwobusinessesdivergedduetothevaryingindustryconditionstheyoperatein.Inthemedicalconsumablessector,therewasanotabledeclineindemandforinfectionprotectionproductsthroughouttheyear.Thisledtoawidespreadissueofhighinventorylevelscoupledwithsluggishsalesmovementacrosstheindustry.Ononehand,theCompanydecisivelyandefficientlyclearedinventoryanddisposedofequipment.Ontheotherhand,tosafeguardthesustainabledevelopmentoftheCompany’ssupplychain,theCompanytooktheinitiativetocollaboratewithsuppliers,distributors,andcustomerstomanageinventoryandsharethepressurecollectively.Whiletheseactionsimpactedprofitabilityforthecurrentyear,theymaintainedlong-termcooperativerelationships,reflectingtheCompany’scommitmenttoresponsibilityandforward-thinkingoperations.Thesemeasurescollectivelyreducednetprofitbyapproximately250millionyuanforthefullyear.Inthehealthylivingconsumerproductbusiness,Purcottonpursuedamultifacetedstrategytoenhanceprofitabilityin2023.Thisincludedstrictdiscountcontrol,cost-savingmeasures,efficiencyenhancements,productinnovation,structuraloptimization,andoperationalrefinement.Duringthereportingperiod,Purcottonachievedagrossprofitmarginof56.9%fortheyear,markinga3.9percentagepointincreaseyear-on-year.Operatingprofitamountedto490millionyuan,reflectinga24.0%year-on-yearincrease,withanoperatingprofitmarginof11.4%,indicatingsteadyprofitabilityimprovement.Additionally,duetoshiftsinthemedicalconsumablesindustryandmarketconditions,thetwosubsidiaries,WinnerMedical(Hunan)andWinnerGuilin,acquiredbytheCompanyin2022,experiencedlower-than-expectedperformanceduringthereportingperiod.Signsofgoodwillimpairmentemerged,promptingtheCompanytoengageYinxinAppraisalCo.,Ltd.foragoodwillassessment.Theassessmentrevealedagoodwillimpairmentof160millionyuanforWinnerMedical(Hunan)and30millionyuanforWinnerGuilin,significantlyimpactingtheincomestatementfortheperiod.Throughout2023,theCompanyimplementedvariousoperationalinitiativestofacilitateastabletransitionintheacquiredcompanies’performanceandlayarobustfoundationfortheirlong-termdevelopment.Toboostitsoverallcompetitiveness,WinnerMedical(Hunan)dedicateditselftoconstructingabenchmarkprojectforthesecondphaseoftheMedicalDeviceIndustrialPark.Thegoalwastotransitionintoasmartfactoryemphasizingprecisionmanufacturing,standardization,automation,intelligence,anddigitization.Additionally,theCompanyworkedtosuccessfullyengageoverseasstrategiccooperationcustomersinlaunchinghigh-endinfusionproductsinEuropeandtheUnitedStates,aimingfordual-wheelgrowthinbothoverseasanddomesticsales.Theseeffortsaimedtoestablishastrongfoundationforthelong-termdevelopmentofWinnerMedical(Hunan).Throughouttheyear,WinnerMedical(Hunan)acquiredWinnerMedicalJingzhouGloveFactory,whichofferscostadvantagesandoperates10gloveproductionlines.Thisacquisitionfacilitatedincreasedinvestmentinautomation,aimedatenhancingcostcompetitiveness,overcomingcapacityconstraints,andstrivingtoexpandbothdomesticandoverseasmarketshares.
(II)Businessanalysis
(1)ProductR&DTheCompanystickstoindependentinnovationanddevelopmentofbasicmaterials.Inthefieldofmedicalwoundcare,theCompanycontinuedtoimprovethesecondgenerationofhigh-endwetwounddressingsproductlinetechnologyarrangements,hadthescarrepairnewproductssuccessfullymarketedinChina,andseveralnewlydevelopedantimicrobialdressingsandbioactivecollagendressingsreceivedFDAclearanceintheUS.Relyingonthesuccessoflastyear’sresearchanddevelopmentofavarietyofcorebasicmaterialsandmassproductionandapplication,theCompanyinthefirsthalfofthisyearfocusedonimprovingproductcompetitivenessinthedirectionofproductdevelopmentandupgradingtomeetthedifferentiatedcustomizeddesignneedsofcustomers.Inthefieldofmedicalconsumables,theCompanyfocusesonthedevelopmentofcorebasicmaterialsontheapplicationofoperatingroomconsumablessuchassurgicalgowns,isolationgowns,surgicaltowelsandwipes,toenhancethecomfortoftheproducts,reducethecostofproductionoftheproducts,andtofurtherenhancethemarketcompetitivenessoftheproducts,provideabetterexperienceoftheproductsforthemedicalpractitionersandotherusers,andcontinuetocreategreatervalueforusers.Intheareaofproductionandresearch,inJune2023,theCompanyandWuhanTextileUniversityjointlybuiltacomprehensivetechnologicalinnovationplatformforadvancedfibermaterialsinHubeiProvincetocarryoutindustrialincubation,andtryingtocompletetheinvitroandinvivobiologicalevaluationofanewseriesofartificialbloodvesselswithhighpatencyrateearly,tobreakthemonopolyofartificialbloodvesselsabroad,andtoachievethesubstitutionwithhome-madeproducts.InNovember2023,theCompany’sbionicartificialcorneaprojectwassuccessfullydesignatedasamajorscientificandtechnologicalresearchprojectinShenzhen,incollaborationwiththeSouthernUniversityofScienceandTechnology.Venturingintotheresearchofhigh-valuemedicalbionicimplantmaterialsandexpandingtheapplicationfieldsofcollagenwillhelptheCompanyenhancetheproductioncapacityofitscollagenproductionline.Inthehealthyconsumergoodssector,theCompanycombinedsnowcottonyarntechnologywiththemercerizationprocesstolaunchthefirstcoolsensationgauzeproducts.Theseproductssurpassedthenationalstandardforcoolsensationvalueby30%uponcontact.Additionally,byleveragingcottoncoveringyarntechnologyandequipmentupgrades,theCompanyachievedabreakthroughingauzeelasticitywithitselasticgauze.Moreover,implementingalow-temperaturede-bleachingprocessenhancedthesoftnessofcotton-softtowelsby15%.Combiningthiswithhigh-fluffhydroentspunlacetechnologyincreasedthicknessby10%whilesignificantlyreducingenergyconsumptionthroughlowerproductiontemperatures.Throughindependentresearchonwind-softcottonyarn,theCompanydevelopedaseriesofwarmproductscalledwind-softcottonwarmflannels.Theseproductsboastaheatpreservationrateexceeding30%andare20%lighter.Thedevelopmentofstretchjerseyfabricshassignificantlyenhancedthecomfortandelasticityofbabyandtoddlerjerseysandpants.Thedevelopedozonebleachingtechnologycanbeusedtodesizeandbleachcottonfabricbygaseousozonetreatmentatlowtemperature.Comparedwithtraditionalpretreatment,itsaves92%ofwateranddischargeszerosewage;anditsaves44%ofchemicals,49%ofenergy,andreducescarbondioxideemissionsby95%.Thetechnologyhasbeenpioneeredintheapplicationofbeddingsuitsandsandwichquilts.TheCompanycontinuestocarryouttheexcavationandtransformationoflow-carbonproductionprocesses,andhascompletedtheverificationstatementofcarbonfootprintforseveralcoreproducts.Inaddition,onthatbasis,theCompanyhascarriedoutcarbonreductionbythelow-temperaturede-bleachingtechnology,withtheunitsteamconsumptionreducedbymorethan30%.Intermsofproduction,learning,andresearch,theCompanycollaborateswithTianjinPolytechnicUniversitytoconductresearchonthewearingcomfortofcottonleisurewear.Additionally,itpartnerswithJiangnanUniversitytoenhancetheperformanceofcottonandcotton-typeyarnthroughtechnologicaladvancements.Furthermore,theCompanyconductsresearchwithSoochowUniversityontheeffectsoffabricsonthesurfacetemperatureofbabyblanketsandsleepingbags.
(2)BrandbuildingWinnerMedicalcontinuedtoconsolidatethebrandimagefavoredbythepublicandtrustedbydoctorsandnurses,andcontinuouslyimprovedbrandawarenessandreputationthrougheffectivemeans.Throughclinicalpromotion,WinnerMedicaloptimizesend-to-endmarketingtransformationthroughcontentoperation,createsbrandvaluesthroughpublicwelfareactivities,andachievescorporatestrategiesbyleveragingbrandmarketingasacatalyst.Duringthereportingperiod,brandbuildingeffortsprimarilyfocusedonlarge-scaletournamentactivities,collaborationswithpublicrelationsmedia,andpartnershipswithvariousindustrybrandassociations.The“55HandCareFestival”,anoriginalIPbrandofWinnerMedical,garneredover110millionexposures.Additionally,theCompanycollaboratedwithvariousC-endyoungbrandsacrossdifferentindustries,resultinginonlineexposureexceeding16million.WinnerMedicalparticipatedin14domesticandoverseaslargeandmedium-sizedexhibitions,showcasingitsproductrangeandoverallcapabilitiestobothprofessionalandgeneralaudiences.InNovember2023,WinnerMedicaltookpartintheinauguralChinaInternationalSupplyChainPromotionExpoinBeijing,representingtheHealthyLifePavilionandshowcasingChineseenterprises’supplychainresilience.Astobranding,WinnerMedicalcooperatedandinteractedwithleadingmediaandbusinessmagnatestoco-createpositivecommunicationsandactivelybuilditsbrandimage.TheadvertisingonWeibo,WeChat,Xiaohongshu,TikTok,elevatoradsandotherchannelsgeneratedanoverallexposureofover
1.4billion.TheCompanyshowcaseditslatestproductsandstate-of-the-arttechnologiestocustomersandconsumersathomeandabroad.Intermsofbrandconstruction,Purcottoncontinuedtodeepenitscommunicationwithconsumers,andcontinuedtoconveytoconsumersthemultipleadvantagesof“cotton”inenvironmentalprotectionandsustainabledevelopmentthroughspokespersons,creationoforiginalhigh-qualitycontent,offlineexhibitiontoursandpressconferences,soastoenhanceconsumerawarenessand
ishighlytothebrand.InFebruary2023,PurcottonofficiallyannouncednewgenerationactorSunQianasitsbrandambassadorandheldanewproductreleaseevent.InMarch2023,thebrandcontinuedtolaunchitsoriginalcharacterdocumentaryseries,“WhatSheChanged”byBaiXiangen,withover42millionvideoviewsand734millionmicroblogtopicreads.ThePurcottonTraceabilityTourcontinuesitsmissionofspreadingcottoncultureandvalues.Duringtheannual818membershipday,weventuredintothecottonfieldsinXinjiang,situatedat44°northlatitude.Withcamerasinhand,wecapturedthelifejourneyofcotton.Additionally,wehostedthe“HelloCottonColor”cottoncolorthemeexhibition,blendingart,science,andhumanities.Thisinnovativeexhibitioninvitesthepublictoexplorethevibrantworldofcottonandexperienceitsunique“gentlebutresilient”vitality.OnAugust16,2023,the“HelloCottonColor”themeevent-SunQianmeetingtookplaceinShenzhen,invitingmemberstodelveintothenaturalbeautyandcolorcharmofcotton.InOctober2023,ZhaoLiyingwasannouncedastheglobalspokespersonforCottonEraHomeTextilesandHomeApparel,promotingthesoft,light,andwarmcottonhomelifestyle.CNYcontinuesitsthemeof“EveryGenerationhasaCottonEra”,sharingcotton-relatedNewYearstoriesthatbringjoytoeverygenerationofChinesepeople.InFebruary,WinnerMedicalandPurcotton,asthe“OfficialPartnerof2022ShenzhenMarathon”and“OfficialSponsorofShenzhenMarathon2023”,providedhigh-qualityhealthprotectionproductsandcottonlifestyleproductstoconveytheconceptof“LoveLifeandLoveHealth”.Toharnesstheenvironmentalactivismofyoungpeople,CottonErahasintroducedthe[WEEcoCotton-Use]CampusEnvironmentalProtectionSeriesin50citiesacross25provincesand296collegesanduniversitiesnationwide.Thisinitiativeinvitesyoungindividualstoembraceagreenandsustainableall-cottonlifestylethroughpublicwelfarelectures,packagingdesigncompetitions,andvariousonlineandofflinecampus-wideenvironmentalprotectionactivities.Thegoalistopromotecleanskies,greenlandscapes,andclearwaters.
2.Revenuesandcosts
(1)CompositionofoperatingincomeOveralloperatingincome
Unit:yuan
WinnerMedical
2023
| 2023 | 2022 | Year-on-yearincrease/decrease | |||
| Amount | Proportioninoperatingincome | Amount | Proportioninoperatingincome | ||
| Totaloperatingincome | 8,185,022,057.20 | 100% | 11,351,331,545.08 | 100% | -27.89% |
| Byindustries | |||||
| Medicalconsumables | 3,861,746,216.57 | 47.18% | 7,250,181,476.631 | 63.87% | -46.74% |
| Healthyconsumergoods | 4,262,578,436.61 | 52.08% | 4,007,570,333.37 | 35.30% | 6.36% |
| Others | 60,697,404.02 | 0.74% | 93,579,735.08 | 0.82% | -35.14% |
| Byproducts | |||||
| Medicalconsumables-traditionalwoundcareandwounddressingproducts | 1,152,978,257.74 | 14.09% | 1,077,558,999.19 | 9.49% | 7.00% |
| Medicalconsumables-advancedwounddressingproducts | 595,391,352.74 | 7.27% | 466,329,531.98 | 4.11% | 27.68% |
| Medicalconsumables-operatingroomconsumables | 555,205,865.12 | 6.78% | 471,737,488.55 | 4.16% | 17.69% |
| Medicalconsumables-infectionprotectionproducts | 912,495,298.85 | 11.15% | 4,735,248,687.64 | 41.72% | -80.73% |
| Medicalconsumables-health&personalcareproducts | 298,890,864.36 | 3.65% | 316,264,298.92 | 2.79% | -5.49% |
| Medicalconsumables-otherproducts | 346,784,577.76 | 4.24% | 183,042,470.35 | 1.61% | 89.46%2 |
| Healthyconsumergoods-wetanddrycottontissues | 1,187,127,619.96 | 14.50% | 1,155,141,187.50 | 10.18% | 2.77% |
| Healthyconsumergoods-sanitarynapkins | 593,006,956.43 | 7.25% | 569,333,764.43 | 5.02% | 4.16% |
| Healthyconsumergoods-othernon-wovenproducts | 381,405,875.17 | 4.66% | 393,710,479.90 | 3.47% | -3.13% |
| 2023 | 2022 | Year-on-yearincrease/decrease | ||||
| Amount | Proportioninoperatingincome | Amount | Proportioninoperatingincome | |||
| Healthyconsumergoods-babyclothingandsupplies | 850,728,263.63 | 10.39% | 848,630,484.33 | 7.48% | 0.25% | |
| Healthyconsumergoods-adultapparel | 836,195,171.03 | 10.22% | 687,219,850.71 | 6.05% | 21.68% | |
| Healthyconsumergoods-otherwovenproducts | 414,114,550.39 | 5.06% | 353,534,566.50 | 3.11% | 17.14% | |
| Otherbusinesses | 60,697,404.02 | 0.74% | 93,579,735.08 | 0.82% | -35.14% | |
| Byregions | ||||||
| Domestic | 6,641,101,860.83 | 81.14% | 10,044,710,560.59 | 88.49% | -33.88% | |
| Abroad | 1,543,920,196.37 | 18.86% | 1,306,620,984.49 | 11.51% | 18.16% | |
| Bysalesmodes | ||||||
| Medicalconsumables-directsales | 1,304,478,252.94 | 15.94% | 1,489,139,092.80 | 13.12% | -12.40% | |
| Medicalconsumables-distribution | 1,694,286,484.17 | 20.70% | 4,539,719,035.77 | 40.01% | -62.68% | |
| Medicalconsumables-agency | 235,692,905.75 | 2.88% | 267,075,893.05 | 2.35% | -11.75% | |
| Medicalconsumables-e-commerce | 627,288,573.71 | 7.66% | 954,247,455.01 | 8.41% | -34.26% | |
| Healthyconsumergoods-e-commerce | 2,582,593,865.54 | 31.55% | 2,552,211,792.04 | 22.48% | 1.19% | |
| Healthyconsumergoods-offlinestores | 1,364,371,807.21 | 16.67% | 1,149,718,252.71 | 10.13% | 18.67% | |
| Healthyconsumergoods-supermarketchannels | 241,650,661.47 | 2.95% | 231,766,054.19 | 2.04% | 4.26% | |
| Healthyconsumergoods-keyaccounts | 73,962,102.39 | 0.90% | 73,874,234.43 | 0.65% | 0.12% | |
| Otherbusinesses | 60,697,404.02 | 0.74% | 93,579,735.08 | 0.82% | -35.14% | |
Note:1-In2023,theCompanyundertookarestructuringandmanagementorganizationadjustmentofthePureH2Bbusiness.ItmergedthehealthandpersonalcarebusinessofPureH2Bintothemedicalsegmentformanagement.Consequently,thedataforFY2022wassynchronouslyadjustedbyreallocatingaportionofPureH2B’sbusiness,originallyintheconsumergoodssegment,tothehealthpersonalcareproductsofthemedicalsegment.Theadjustedrevenueamountedto47,415,228.79yuan.2-MedicalConsumables-OtherproductsprimarilyincludeinfusionproductsfromWinnerMedical(Hunan),whichexperiencedan
89.46%increase.ThissurgeislargelyattributabletoWinnerMedical(Hunan)’sconsolidationintoouroperationsinJuly2022.RevenuefromWinnerMedical(Hunan)wasconsolidatedfromJulytoDecemberin2022,andthefullyearinthecurrentperiod.
(2)Industries,products,regionsandsalespatternsthataccountformorethan10%oftheCompany’soperatingincome
oroperatingprofits
√Applicable□Notapplicable
Unit:yuan
WinnerMedicalRevenue
| Revenue | Operatingcosts | Grossprofitmargin | Year-on-yearincrease/decreaseofrevenue | Increaseordecreaseincostsoverthesameperiodofthepreviousyear | Year-on-yearincrease/decreaseofgrossprofitmargin | |
| Byindustries | ||||||
| Medicalconsumables | 3,861,746,216.57 | 2,300,419,930.63 | 40.43% | -46.74% | -42.87% | -4.03% |
| Healthyconsumergoods | 4,262,578,436.61 | 1,839,082,724.68 | 56.86% | 6.36% | -2.36% | 3.85% |
| Byproducts | ||||||
| Medicalconsumables-infectionprotectionproducts | 912,495,298.85 | 504,221,134.36 | 44.74% | -80.73% | -79.35% | -3.69% |
| Medicalconsumables-traditionalwoundcareandwounddressingproducts | 1,152,978,257.74 | 756,271,542.20 | 34.41% | 7.00% | 4.83% | 1.36% |
| Healthyconsumergoods-wetanddrycottontissues | 1,187,127,619.96 | 560,892,390.86 | 52.75% | 2.77% | -4.19% | 3.43% |
| Healthyconsumergoods-babyclothingandsupplies | 850,728,263.63 | 361,286,447.91 | 57.53% | 0.25% | -9.55% | 4.60% |
| Healthyconsumergoods-adultapparel | 836,195,171.03 | 308,237,685.37 | 63.14% | 21.68% | 8.63% | 4.43% |
| Byregions | ||||||
| Domestic | 6,641,101,860.83 | 3,289,931,216.04 | 50.46% | -33.26% | -36.28% | 2.34% |
| Abroad | 1,543,920,196.37 | 884,666,071.70 | 42.70% | 18.16% | 18.39% | -0.11% |
| Bysalesmodes | ||||||
| Medicalconsumables-directsales | 1,304,478,252.94 | 777,136,388.30 | 40.43% | -12.40% | -5.30% | -4.46% |
| Medicalconsumables-distribution | 1,694,286,484.17 | 1,051,643,696.25 | 37.93% | -62.68% | -60.07% | -4.05% |
| Healthyconsumergoods-e-commerce | 2,582,593,865.54 | 1,223,659,985.13 | 52.62% | 1.19% | -7.11% | 4.23% |
| Healthyconsumergoods-offlinestores | 1,364,371,807.21 | 487,857,068.67 | 64.24% | 18.67% | 10.42% | 2.67% |
Note:In2023,theCompanyunderwentarestructuringandmanagementorganizationadjustmentofthePureH2Bbusiness.ItmergedthehealthpersonalcarebusinessofPureH2Bintothemedicalsegmentformanagement.Consequently,thedatafor2022wassynchronouslyadjustedbyreallocatingaportionofPureH2B’sbusiness,originallyintheconsumergoodssegment,tothemedicalsegment.Theadjustedrevenueamountedto47,415,228.79yuan,andtheadjustedcostamountedto30,538,838.48yuan.IntheeventthatthestatisticalcaliberoftheCompany’smainbusinessdataisadjustedinthereportingperiod,theCompanyshallfollowthemainbusinessdatainthepastyearadjustedbythecaliberattheendofthereportingperiod
□Applicable√Notapplicable
TheCompanyneedstocomplywiththedisclosurerequirementsofthe“TextileandApparelBusiness”stipulatedintheNo.3GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-IndustryInformationDisclosure.
Unit:yuan
| Revenue | Operatingcosts | Grossprofitmargin | Year-on-yearincrease/decreaseofrevenue | Increaseordecreaseincostsoverthesameperiodofthepreviousyear | Year-on-yearincrease/decreaseofgrossprofitmargin | |
| Byindustries | ||||||
| Healthyconsumergoods | 4,262,578,436.61 | 1,839,082,724.68 | 56.86% | 6.36% | -2.36% | 3.85% |
| Byproducts | ||||||
| Healthyconsumergoods-wetanddrycottontissues | 1,187,127,619.96 | 560,892,390.86 | 52.75% | 2.77% | -4.19% | 3.43% |
| Healthyconsumergoods-babyclothingandsupplies | 850,728,263.63 | 361,286,447.91 | 57.53% | 0.25% | -9.55% | 4.60% |
| Healthyconsumergoods-adultapparel | 836,195,171.03 | 308,237,685.37 | 63.14% | 21.68% | 8.63% | 4.43% |
| Byregions | ||||||
| Bysalesmodes | ||||||
| Healthyconsumergoods-e-commerce | 2,582,593,865.54 | 1,223,659,985.13 | 52.62% | 1.19% | -7.11% | 4.23% |
| Healthyconsumergoods-offlinestores | 1,364,371,807.21 | 487,857,068.67 | 64.24% | 18.67% | 10.42% | 2.67% |
In2023,theCompanysplitPureH2B’sbusinessandreorganizeditsmanagementstructure.ThehealthandpersonalcarebusinessofPureH2Bwasintegratedintothemedicalsegmentformanagement.Consequently,thedatafor2022wasadjustedaccordingly.ThePureH2Bbusiness,originallyclassifiedundertheconsumergoodssegment,wasreclassifiedtothemedicalsegment.Thisresultedinanadjustedincomeamountingto47,415,228.79yuanandanadjustedcostamountingto30,538,838.48yuan.IfthestatisticalcaliberoftheCompany’smainbusinessdataisadjustedinthereportingperiod,theCompanyshallfollowtheprimarybusinessdatainthepastyearchangedbythecaliberattheendofthereportingperiod
□Applicable√NotapplicableWhethertheCompanyhassalesterminalsinbrick-and-mortarstores
√Yes□NoDistributionofbrick-and-mortarstores
| Typesofstores | Numberofstores | Areaofstores | Numberofnewstoresduringthereportingperiod | Numberofstoresclosedattheendofthereportingperiod | Reasonsforstoreclosings | Brandsinvolved |
| Direct-salestores | 337 | 107,800 | 42 | 13 | Voluntarilystoreclosingbecauseofexpirationofcontractorsubjectivewishes | Purcotton |
| Franchises | 74 | 16,591 | 42 |
Totalareaandperformancesofdirect-salestores
WinnerMedicalLevelsofareas
| Levelsofareas | Numberofstores | Totalarea | Revenue(10,000yuan) | Sameperiodlastyear | Averageperformanceofstores |
| Year-on-yearincrease/decrease | |||||
| 300m2orless | 150 | 33,729.59 | 47,252.71 | 40,900.38 | 15.53% |
| 300-500m2 | 94 | 34,454.11 | 39,980.40 | 35,413.13 | 12.90% |
| 500-800m2 | 36 | 21,392.89 | 21,105.56 | 18,577.52 | 13.61% |
| 800m2ormore | 11 | 8,750.48 | 7,332.41 | 6,594.88 | 11.18% |
| Total | 291 | 98,327.07 | 115,671.09 | 01,485.92 | 13.98% |
Note:TheabovestoresarePurcotton’sstoresopenedformorethan12monthsasofSunday,December31,2023.Thisfigureincludesstoresthatweredownsizedduringthecurrentyear.Afteradjustingfortheefficiencyofdirectstores(pingefficiency),thesame-storeyear-on-yeargrowthratewas15.5%.It’simportanttonotethattheoperatingincomeofofflinestoresdoesnotincluderevenuefromofflinestoresthattransitionedtoonlinesalesthroughmini-programs.Top5StoresintermsofOperatingRevenues
| S/N | Nameofstores | Openingdate | Operatingincome(yuan) | Averageperformanceofthestore |
| 1 | First | October25,2017 | 14,270,991.38 | 35,298.02 |
| 2 | Second | August6,2012 | 12,723,977.12 | 21,758.20 |
| 3 | Third | May15,2010 | 12,571,671.70 | 19,326.17 |
| 4 | Fourth | September19,2014 | 11,473,019.50 | 15,256.67 |
| 5 | Fifth | November11,2017 | 11,158,182.93 | 10,061.48 |
| Total | 62,197,842.62 | 17,767.82 |
Newstoresoflistedcompanies
√Yes□No
| Nameofstores | Addressofstores | Openingtime | Contractarea(m2) | Investmentamount(yuan) | Productcategory | Businesstype | Businessmodel | Propertyownershipstatus | Numberofstores |
| Direct-salestoresofPurcotton | NorthChina | 2023 | 1,148.50 | 9,058,522.70 | Healthyconsumergoods | Retail | Direct-salestores | Purcottonleasing | 7 |
| Direct-salestoresofPurcotton | EastChina | 2023 | 2,114.00 | 13,286,007.24 | Healthyconsumergoods | Retail | Direct-salestores | Purcottonleasing | 10 |
| Direct-salestoresofPurcotton | SouthChina | 2023 | 2,012.77 | 12,302,631.39 | Healthyconsumergoods | Retail | Direct-salestores | Purcottonleasing | 10 |
| Direct-salestoresofPurcotton | WestChina | 2023 | 1,565.59 | 10,898,149.36 | Healthyconsumergoods | Retail | Direct-salestores | Purcottonleasing | 7 |
| Direct-salestoresofPurcotton | CentralChina | 2023 | 1818.78 | 11,038,628.87 | Healthyconsumergoods | Retail | Direct-salestores | Purcottonleasing | 7 |
| Direct-salestoresofPurcotton | NortheastChina | 2023 | 250.00 | 1,750,056.20 | Healthyconsumergoods | Retail | Direct-salestores | Purcottonleasing | 1 |
| Purcottonfranchises | SouthChina | 2023 | 1297.66 | 3,420,387.79 | Healthyconsumergoods | Retail | Franchisees | Purcottonfranchisees | 6 |
| Purcottonfranchises | WestChina | 2023 | 3196.64 | 8,061,534.58 | Healthyconsumergoods | Retail | Franchisees | Purcottonfranchisees | 16 |
| Purcottonfranchises | CentralChina | 2023 | 1710.82 | 3,928,841.99 | Healthyconsumergoods | Retail | Franchisees | Purcottonfranchisees | 8 |
| Purcottonfranchises | EastChina | 2023 | 1601.11 | 3,495,491.81 | Healthyconsumergoods | Retail | Franchisees | Purcottonfranchisees | 7 |
| Purcottonfranchises | NorthChina | 2023 | 937.13 | 2,328,504.45 | Healthyconsumergoods | Retail | Franchisees | Purcottonfranchisees | 5 |
| Total | 17,653.00 | 79,568,756.37 | 84 |
Note:Investmentamountincludes:stores’inventorybalance,renovationcosts,renovationdeposit,6-monthleaseandpersonnelcostsattheendofthereportingperiod.DoestheCompanydisclosetheinformationonTop5franchises
√Yes□No
TopfivefranchisedstoresFormoredetails,pleasesee“SectionIIIManagementDiscussionandAnalysis-4.OtherInformationRequiredbyIndustryDisclosureGuidelines-(3)FranchisingandDistribution”below.
(3)WhethertheCompany’sphysicalsalesrevenueisgreaterthanthelaborservicerevenue
√Yes□No
WinnerMedicalClassificationofsectors
| Classificationofsectors | Item | Unit | 2023 | 2022 | Year-on-yearincrease/decrease |
| Medicalconsumables-gauze | Salesvolume | ton | 7,044.14 | 7,173.86 | -1.81% |
| Output | ton | 6,983.00 | 6,957.17 | 0.37% | |
| Inventory | ton | 718.10 | 779.24 | -7.85% | |
| Medicalconsumables-masks | Salesvolume | ‘0,000pieces | 223,322.00 | 596,641.63 | -62.57% |
| Output | ‘0,000pieces | 183,736.00 | 606,491.33 | -69.71% | |
| Inventory | ‘0,000pieces | 30,555.19 | 70,141.19 | -56.44% | |
| Medicalconsumables-medicalcombokits | Salesvolume | ‘0,000kits | 4,049.36 | 3,393.69 | 19.30% |
| Output | ‘0,000kits | 4,126.75 | 3,452.04 | 19.50% | |
| Inventory | ‘0,000kits | 424.12 | 346.73 | 22.30% | |
| Healthyconsumergoods-cottontissues | Salesvolume | ‘0,000kits | 18,058.51 | 17,751.6 | 1.70% |
| Output | ‘0,000kits | 18,537.53 | 16,558.21 | 11.95% | |
| Inventory | ‘0,000kits | 2,733.00 | 2,253.98 | 21.25% | |
| Healthyconsumergoods-sanitarynapkins | Salesvolume | ‘0,000pieces | 74,976.64 | 69,709.59 | 7.56% |
| Output | ‘0,000pieces | 76,266.63 | 71,338.37 | 6.91% | |
| Inventory | ‘0,000pieces | 20,545.53 | 19,255.54 | 6.70% |
ReasonsforaYoYchangeof30%oraboveinrelevantdata
√Applicable□NotapplicableThemarketdemandformaskssharplydeclinedduetorecentpublichealthevents,resultinginasignificantdropinmaskproduction,sales,andinventory.
(4)PerformanceofsignificantsalescontractsandsignificantprocurementcontractsenteredintobytheCompanyupto
thecurrentreportingperiod
□Applicable√Notapplicable
(5)CompositionofoperatingcostsClassificationofsectorsandproducts
Unit:yuan
| Classificationofsectors | Item | 2023 | 2022 | Year-on-yearincrease/decrease | ||
| Amount | Proportioninoperatingcosts | Amount | Proportioninoperatingcosts | |||
| Medicalconsumables | Directmaterialcost | 1,554,038,332.02 | 67.55% | 2,998,344,558.83 | 74.46% | -48.17% |
| Medicalconsumables | Directlaborcost | 373,090,284.06 | 16.22% | 566,440,550.52 | 14.07% | -34.13% |
| Medicalconsumables | Manufacturingcost | 373,291,314.55 | 16.23% | 461,886,870.12 | 11.47% | -19.18% |
| Subtotalofmedicalconsumables | 2,300,419,930.63 | 100.00% | 4,026,671,979.47 | 100.00% | -42.87% | |
| Healthyconsumergoods | Directmaterialcost | 1,397,052,162.76 | 75.96% | 1,420,245,134.45 | 75.41% | -1.63% |
| Healthyconsumergoods | Directlaborcost | 186,270,904.11 | 10.13% | 189,156,042.76 | 10.04% | -1.53% |
| Healthyconsumergoods | Manufacturingcost | 255,759,657.81 | 13.91% | 274,073,422.55 | 14.55% | -6.68% |
| Subtotalofhealthylivingconsumerproducts | 1,839,082,724.68 | 100.00% | 1,883,474,599.76 | 100.00% | -2.36% | |
| Otherbusinesses | 35,094,632.43 | 0.84% | 62,654,238.06 | 1.05% | -43.99% | |
| Total | 4,174,597,287.74 | 100.00% | 5,972,800,817.29 | 100.00% | -30.11% | |
Unit:yuan
| Classificationofproducts | Item | 2023 | 2022 | Year-on-yearincrease/decrease | ||
| Amount | Proportioninoperatingcosts | Amount | ProportioninoperatingCost | |||
| Medicalconsumables | Traditionalwoundcareandwounddressingproducts | 756,271,542.20 | 18.12% | 721,435,653.90 | 12.08% | 4.83% |
| Medicalconsumables | Advancedwounddressingproducts | 267,838,902.18 | 6.42% | 214,388,590.22 | 3.59% | 24.93% |
| Medicalconsumables | Operatingroomconsumables | 305,768,350.25 | 7.32% | 324,986,710.26 | 5.44% | -5.91% |
| Medicalconsumables | Infectionprotectionproducts | 504,221,134.36 | 12.08% | 2,441,987,072.10 | 40.89% | -79.35% |
| Medicalconsumables | Health&personalcareproducts | 181,923,331.62 | 4.36% | 191,426,828.33 | 3.20% | -4.96% |
| Medicalconsumables | Otherproducts | 284,396,670.02 | 6.81% | 132,447,124.66 | 2.22% | 114.72% |
| Subtotalofmedicalconsumables | 2,300,419,930.63 | 55.11% | 4,026,671,979.47 | 67.42% | -42.87% | |
| Healthyconsumergoods | Wetanddrycottontissues | 560,892,390.86 | 13.44% | 585,437,456.89 | 9.80% | -4.19% |
| Healthyconsumergoods | Sanitarynapkins | 199,809,154.77 | 4.79% | 208,924,450.61 | 3.50% | -4.36% |
| Healthyconsumergoods | Othernon-wovenproducts | 230,564,498.16 | 5.52% | 238,661,531.94 | 4.00% | -3.39% |
| Healthyconsumergoods | Babyclothingandsupplies | 361,286,447.91 | 8.65% | 399,427,311.55 | 6.69% | -9.55% |
| Healthyconsumergoods | Adultapparel | 308,237,685.37 | 7.38% | 283,748,829.92 | 4.75% | 8.63% |
WinnerMedical
Classificationofproducts
| Classificationofproducts | Item | 2023 | 2022 | Year-on-yearincrease/decrease | ||
| Amount | ProportioninoperatingCost | Amount | Proportioninoperatingcosts | |||
| Healthyconsumergoods | Otherwovenproducts | 178,292,547.61 | 4.27% | 167,275,018.85 | 2.80% | 6.59% |
| Subtotalofhealthylivingconsumerproducts | 1,839,082,724.68 | 44.05% | 1,883,474,599.76 | 31.53% | -2.36% | |
| Otherbusinesses | 35,094,632.43 | 0.84% | 62,654,238.06 | 1.05% | -43.99% | |
| Total | 4,174,597,287.74 | 100.00% | 5,972,800,817.29 | 100.00% | -30.11% | |
In2023,theCompanyrestructuredthePureH2Bbusiness,mergingitshealthpersonalcaredivisionintothemedicalsegmentforstreamlinedmanagement.Consequently,thedataforFY2022wasadjustedaccordingly.Specifically,aportionofPureH2B’sbusiness,initiallycategorizedundertheConsumerProductsSegment,wasshiftedfromHealthyLifeConsumerProducts-OtherNonwovenstotheHealthPersonalCareProductscategorywithintheMedicalSegment.Thisadjustmentamountedtoacostadjustmentof30,538,838.48yuan.
(6)Whethertheconsolidationscopechangesinthereportingperiod
√Yes□NoFordetails,seeSectionX.FinancialReport“Note10.Interestsinotherentities”.
(7)Majorchangesoradjustmentsofbusiness,productsorservicesoftheCompanyduringthereportingperiod
□Applicable√Notapplicable
(8)MajorcustomersandmajorsuppliersTheCompany’smajorcustomers
| TotalsalesamountoftheTop5customers(Rmb) | 1,197,940,332.64 |
| TheproportionofTop5customers’combinedsalesamountintotalannualsales | 14.64% |
| TheproportionofrelatedpartysalesinthetotalannualsalesoftheTop5customers | 0.00% |
InformationontheCompany’sTop5customers
| S/N | Nameofcustomer | Sales(Rmb) | Proportionintotalannualsales |
| 1 | First | 574,835,439.21 | 7.02% |
| 2 | Second | 230,352,491.53 | 2.81% |
| 3 | Amazon | 146,990,248.64 | 1.80% |
| 4 | HenganGroup | 123,024,162.99 | 1.50% |
| 5 | MOGroup | 122,747,568.23 | 1.50% |
| Total | -- | 1,197,949,910.60 | 14.64% |
Otherdescriptionofmajorcustomers
□Applicable√NotapplicableTheCompany’smajorsuppliers
| TotalsalesamountoftheTop5customers(Rmb) | 1,197,940,332.64 |
| TheproportionofTop5customers’combinedsalesamountintotalannualsales | 14.64% |
| TheproportionofrelatedpartysalesinthetotalannualsalesoftheTop5customers | 0.00% |
InformationontheCompany’sTop5suppliers
| S/N | Nameofsupplier | Purchaseamount(RMB) | Proportionintotalannualpurchases |
| 1 | First | 342,533,460.41 | 10.69% |
| 2 | Second | 129,263,350.56 | 4.03% |
| 3 | Third | 83,927,253.35 | 2.62% |
| 4 | ZhongshanFendiyaUnderwearCo.,Ltd. | 78,123,798.02 | 2.44% |
| 5 | YichangDiyuanMedicalMaterialsCo.,Ltd. | 56,888,432.38 | 1.78% |
| Total | -- | 690,736,294.72 | 21.56% |
Otherdescriptionsofmajorsupplier
□Applicable√Notapplicable
3.Cost
Unit:yuan
| 2023 | 2022 | Year-on-yearincrease/decrease | Descriptionofsignificantchanges | |
| Sellingexpenses | 2,090,492,506.10 | 2,050,176,407.46 | 1.97% | Nomajorchanges |
| Administrativeexpenses | 693,647,621.42 | 633,614,634.95 | 9.47% | Nomajorchanges |
| Financialexpenses | -61,858,959.93 | -122,574,572.07 | -49.53% | Primarilyattributedtoreducedforeignexchangegains. |
| R&Dexpenses | 322,051,868.43 | 487,583,652.11 | -33.95% | MainlyduetothedecreaseinR&Dinvestment |
TheCompanyneedstocomplywiththedisclosurerequirementsofthe“TextileandApparelBusiness”stipulatedintheNo.3GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-IndustryInformationDisclosure.
Compositionofsellingexpenses:
WinnerMedical
Sellingexpenses
| Sellingexpenses | 2023 | 2022 | Year-on-yearincrease/decrease | Descriptionofsignificantchanges |
| Advertisingandpromotionexpenses | 651,816,390.71 | 600,156,113.14 | 8.61% | MainlyattributedtoPurcotton’sbrandingandmarketingeffortsPromotioncost |
| Employeecompensation | 643,446,712.68 | 649,605,092.33 | -0.95% | Nomajorchanges |
| Salescommissionsandexpensesfromthee-commerceplatform | 261,088,807.68 | 240,516,336.22 | 8.55% | Primarilye-commerceplatformcommissions |
| DepreciationofRight-of-useassets | 196,694,977.33 | 188,658,565.69 | 4.26% | Nomajorchanges |
| Leaseandpropertymanagementexpenses | 118,909,705.83 | 152,186,000.56 | -21.87% | Nomajorchanges |
| Depreciationandamortization | 54,120,612.33 | 82,408,480.44 | -34.33% | ThereductioninstorerenovationamortizationinthecurrentperiodismainlyduetothetransferanddownsizingofPurcottonstores.Additionally,therewasanincreaseinrenovationlossesduetostoreremodelinginthesameperiodlastyear. |
| Travelexpenses | 24,738,868.66 | 12,266,843.44 | 101.67% | Moreover,thelowerbaseoftravelexpensesin2022,largelystemmingfromtheimpactofthepublichealthincident,returnedtonormallevelsin2023. |
| Materialconsumption | 23,880,919.78 | 29,027,854.76 | -17.73% | Nomajorchanges |
| Officecommunicationcosts | 15,318,336.04 | 17,665,180.74 | -13.29% | Nomajorchanges |
| Water/electricityfee | 12,448,568.50 | 12,817,521.54 | -2.88% | Nomajorchanges |
| Insurancepremiums | 7,355,088.51 | 5,076,079.44 | 44.90% | Primarilyduetotheincreaseinexportcreditinsurance |
| Servicefees | 17,439,391.54 | 7,485,101.27 | 132.99% | Mainlyattributedtotheriseinservicefees,includingconsultancyfees |
| Others | 63,234,126.51 | 52,307,237.89 | 20.89% | Nomajorchanges |
| Total | 2,090,492,506.10 | 2,050,176,407.46 | 1.97% | Nomajorchanges |
4.Otherinformationrequiredbyindustrydisclosureguidelines
TheCompanyneedstocomplywiththedisclosurerequirementsofthe“TextileandApparelBusiness”stipulatedintheNo.3GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-IndustryInformationDisclosure.
(1)ProductioncapacityTheCompany’sownproductioncapacity
| Currentreportingperiod | Sameperiodlastyear |
Morethan10%YoYchangeinproductioncapacityutilizationrate
√Yes□No
| Businesscategory | Productcategory | Unit | 2023 | 2022 | Percentageofchangeinproductioncapacityutilizationrate | Changereasondescription | ||||
| Productioncapacity | Output | Productioncapabilityutilizationrate | Productioncapacity | Output | Productioncapabilityutilizationrate | |||||
| Medicalconsumables | Gauze | ton | 10,396 | 6,983 | 67.17% | 10,396 | 7,056 | 67.87% | -0.70% | Nomajorchanges |
| Mask | ‘0,000pieces | 365,313 | 183,736 | 50.30% | 726,710 | 590,693 | 81.28% | -30.98% | Themaskmarketsawadeclineindemandduetopublichealthevents,promptingtheCompanytoswiftlyadjustproductionsupply.Thisadjustmentresultedindecreasedcapacityutilizationrates. | |
| Medicalcombokits | ‘0,000kits | 4,550 | 4,127 | 90.70% | 4,550 | 3,452 | 75.87% | 14.83% | Conversely,therewasasurgeindemandforsalesofcombinationpacks,leadingtoincreasedoutputandhighercapacityutilization. | |
| Purecottonspunlacenon-wovenfabric | ton | 54,330 | 29,000 | 53.38% | 54,330 | 29,922 | 55.08% | -1.70% | Nomajorchanges | |
| Healthyconsumergoods | Cottontissues | ‘0,000kits | 37,641 | 18,538 | 49.25% | 34,795 | 16,558 | 47.59% | 1.66% | Nomajorchanges |
| Sanitarynapkins | ‘0,000pieces | 63,738 | 53,012 | 83.17% | 50,078 | 44,858 | 89.57% | -6.40% | Nomajorchanges | |
Note:Thecapacityandproductioninthistablearebasedonthestatisticsofself-producedcapacityandoutput,whiletheoutputintheSales-outputRatioTableincludesself-producedandpurchasedoutputs,wheretheoutputofmenstrualpadsunder“healthylivingconsumerproduct”islowerthanthatintheSales-outputRatioTable,whichismainlyduetotheoutsourcedprocessingofsomemodelsofmenstrualpads.Additionally,theoutputof100%cottonspunlacenonwovenfabricsisthetotaloutput,includingtheoutputfordirectexternalsalesandthatforself-consumption.Isthereoverseasproductioncapacity?
□Yes√No
(2)SalesmodelandchannelsSaleschannelsandactualoperationofproductsTheCompany’shealthyconsumergoodsareinvolvedinthetextileandapparelindustries.Thesaleschannelsforhealthyconsumergoodsincludeonlinesales,offlinestores,supermarkets,keyaccounts.
Unit:yuan
WinnerMedicalSaleschannels
| Saleschannels | Revenue | Operatingcosts | Grossprofitmargin | Year-on-yearincrease/decreaseofoperatingincome(%) | Year-on-yearincrease/decreaseofoperatingcost(%) | Year-on-yearincrease/decreaseofgrossmarginratio |
| Onlinesales | 2,582,593,865.54 | 1,223,659,985.13 | 52.62% | 1.19% | -7.11% | 4.23% |
| Offlinestores | 1,364,371,807.21 | 487,857,068.69 | 64.24% | 18.67% | 10.42% | 2.67% |
| Supermarketchannels | 241,650,661.47 | 91,561,909.56 | 62.11% | 5.21% | 4.67% | 0.34% |
| KeyClient | 73,962,102.39 | 36,003,761.30 | 51.32% | 0.12% | -3.65% | 1.90% |
Reasonforthechange:In2023,theCompanyunderwentorganizationalrestructuring,splittingthePureH2Bbusinessandmergingitshealthpersonalcaredivisionintothemedicalsegment.Consequently,thedatafor2022wasadjustedtoreallocateonlinesalesandofflinestorerevenuesfromPureH2B’sconsumergoodssegmenttothemedicalsegment.Thisresultedinarevenueadjustmentof47,415,228.79yuanandacostadjustmentof30,538,838.48yuan.
(3)FranchisinganddistributionTheproportionoffranchiseesanddistributors’salesrevenuesexceeds30%
□Yes√NoTop5franchisees
| S/N | Nameoffranchisee | Timeofcooperation | Arelatedpartyornot | Totalsales(yuan) | Leveloffranchisee |
| 1 | First | November9,2020 | No | 5,557,369.21 | Primary |
| 2 | Second | May1,2020 | No | 4,759,814.67 | Primary |
| 3 | Third | December28,2022 | No | 4,389,501.83 | Primary |
| 4 | Fourth | June26,2021 | No | 3,792,428.13 | Primary |
| 5 | Fifth | June10,2021 | No | 3,571,729.92 | Primary |
| Total | -- | -- | -- | 22,070,843.76 | -- |
(4)OnlinesalesTheproportionofonlinesalesinsalesrevenuesexceedsmorethan30%
√Yes□NoIsthereaself-builtsalesplatform?
√Yes□No
| Operationstartingtime | January6,2014 |
| Numberofregisteredusers | 14,027,034 |
| Averagenumberofmonthlyactiveusers | 1,648,165 |
Doesitworkwithathird-partysalesplatform?
√Yes□No
Unit:yuan
| Nameofplatform | Transactionamountduringthereportingperiod | Returnrate |
| Taobao(healthyconsumergoods) | 1,292,094,692.54 | 2.24% |
OpeningorclosingonlinesaleschannelsbytheCompany
□Applicable√NotapplicableDescriptionoftheimpactonthecurrentandfuturedevelopmentoftheCompany
(5)AgencyoperationDoesitadoptagencyoperation?
□Yes√No
(6)InventoryInventory
WinnerMedicalMainproducts
| Mainproducts | Inventoryturnoverindays | Inventoryamount | Inventoryaging | YoYincrease/decreaseininventorybalance | Reasons |
| Rawmaterialsandgoodsprocessedbythecommission | 243,950,021.65 | -143,892,457.63 | Mainlyduetodecreaseddemandforinfectionprotectionproductsfollowingthepublichealthincident,resultinginreducedmaterialpreparation | ||
| Workinprocess | 166,527,201.33 | 2,984,188.61 | |||
| Merchandiseinventory | 982,467,601.73 | 52,193,314.38 | |||
| Semi-finishedproductsshippedintransit | 24,716,158.02 | -36,673,954.10 | Resultingmainlyfromdecreaseinshipments | ||
| Lowpricedandeasilywornarticles | 16,665,305.23 | 791,623.33 | |||
| Total | 154 | 1,434,326,287.96 | -124,597,285.41 | MainlyattributedtoadecreaseininventoriesofinfectionprotectionproductsandadeclineininventoriesofPurcottontextileproducts |
Provisionaccrualforinventorydepreciation
| Class | Closingbalanceofthepreviousyear | Amountincreasedincurrentperiod | Amountdecreasedincurrentperiod | ClosingBalance | |||
| Currentconsolidatedincrease | Accrual | Others | Reversalorwrite-back | Other-Exchangeratemovement | |||
| Rawmaterialsandgoodsprocessedbythecommission | 54,831,465.50 | 16,801,848.94 | 58,042,549.52 | 13,590,764.92 | |||
| Workinprocess | 9,184,849.77 | 26,909,385.39 | 36,094,235.16 | ||||
| Merchandiseinventory | 258,680,380.74 | 1,084,931.09 | 266,138,204.39 | 320,646,375.36 | -2,814.07 | 205,259,954.93 | |
| Semi-finishedproductsshippedintransit | 130,228.78 | 130,228.78 | |||||
| Lowpricedandeasilywornarticles | 1,591,988.35 | 1,352,093.22 | 1,345,090.99 | 1,598,990.58 | |||
| Total | 324,418,913.14 | 1,084,931.09 | 311,201,531.94 | 380,164,244.65 | -2,814.07 | 256,543,945.59 | |
InventoryinformationofendchannelssuchasfranchisesordistributorsThePurcottonhad74franchiseesstores.ItsbusinessmodelrequiresfranchiseestoberesponsibleforstoreconstructionanddailyoperationwhilePurcottonprovidesgoodsandsupplychainsupports.Afterthesalesofstores,Purcottonandthefranchiseesobtaintheirrespectiveprofitsthroughsharing;thefranchisestoreinventoryownershipbelongstoPurcotton.AsofSunday,December31,2023,therewasaninventorybalanceof39.85millionyuan,withaverage540,000yuanineachstore.
(7)BrandbuildingWhetherthecompanyisinvolvedintheproductionandsalesofbrandedclothing,apparelandhometextileproducts
√Yes□NoPrivatebrand
| Brandname | Trademarkname | Mainproducttypes | Features | Targetcustomers | Mainproductpricebands | Mainmarketterritory | Levelofcities |
| Purcotton | Purcotton | Cottontissues | Madeof100%high-qualitynaturalcottonwithoutfluorescentwhiteningagent;mildandnon-irritating;meetingthedailyneedsofconsumers | All-agecustomerbase | 5-30yuan/pack(100pieces) | Nationwide | Second-andthird-tiercitiesandabove |
| Purcotton | NicePrincess | Sanitarynapkins | 100%cottonsurfacelayer(surfacelayer,spacer,sanitarywingsurfacelayer) | Femalepopulationatappropriateages | 1.5-4.99yuan/piece | Nationwide | Second-andthird-tiercitiesandabove |
| Purcotton | BBNice | Cottondiapers | 100%cottonsurfacelayer;uniqueinthemarket;madefromnaturalcotton;2mmultra-thincorewith28timesultra-highabsorptioncapacity | Parentalpopulation | 2.45-5.45yuan/piece | Nationwide | Second-andthird-tiercitiesandabove |
| Purcotton | Purcotton | Wettissues | 100%cottonmaterial;softandnon-slippery;gentleandnon-irritating | All-agecustomerbase | 20-40yuan/pack | Nationwide | Second-andthird-tiercitiesandabove |
| Purcotton | Purcotton | Babyproducts/clothing | 100%cottonmaterialwithoutfluorescentnorformaldehyde;theuniquegauzefabrictoprovidemorecomfortablecare | Expectingmothers,newborns,babies,toddlers | 100-500yuan/piece | Nationwide | Second-andthird-tiercitiesandabove |
| Purcotton | Purcotton | Adultapparel/intimateapparel | 100%cottonmaterial;high-qualitycottonwithoutfluorescentnorformaldehyde;softtothetouch;theuniquegauzefabricstoprovidemorecomfortablecare | Adultapparel:adultmenandwomenofallages;intimateapparel:customersofallages | Outwear:150-800yuan/piece;leisurewear:200-800yuan/piece;thermalunderwear:200-600yuan/piece;underwear:58-108yuan/pair(pack);socks:20-40yuan/pair | Nationwide | Second-andthird-tiercitiesandabove |
| Purcotton | Purcotton | Bedding,toiletries | 100%cottonmaterial;high-qualitycottonwithoutfluorescentnorformaldehyde;softtothetouch;theuniquegauzefabricstoprovidemorecomfortablecare | Expectingmothers,newborns,babies,toddlersandadultcustomerbase | Childrenbedding:268-500yuan/set;toddlerbedding:198-1098yuan/set;Adultbedding:268-3198yuan/set;toiletries:38-398yuan/piece | Nationwide | Second-andthird-tiercitiesandabove |
Partnerbrands
WinnerMedicalBrandname
| Brandname | Trademarkname | Mainproducttypes | Features | Targetcustomers | Mainproductpricebands | Mainmarketterritory | Levelofcities | Brandandtrademarkrightsownership | Partnername | Cooperationmode | Cooperationperiod |
Licensedbrand
| Brandname | Trademarkname | Mainproducttypes | Features | Targetcustomers | Mainproductpricebands | Mainmarketterritory | Levelofcities | Licensor | Licenseperiod | Exclusivelicenseornot |
| Purcotton,ChinaAerospace | Purcotton,ChinaAerospacemodelingfigures | Babyclothingandsupplies | Theproductismadefrom100%cottonmaterialanddesignedwithChinaAerospaceimage | Infantsandyoungchildrencustomergroup | 198-458yuan/piece | Nationwide | Second-andthird-tiercitiesandabove | PartyA:KoniCulture(Beijing)Co.,Ltd.PartyB:HangzhouQianxiCultureCommunicationCo.,Ltd. | 2021.9.15-2023.10.14 | No |
| Purcotton,Ultraman | Purcotton,Ultramanmodelingcharacters | Cottontissues,wettissues,bathtowels | Theproductismadefrom100%cottonmaterialanddesignedwithUltramancartoonimage | All-agecustomerbase | 21.8-298yuan/piece | Nationwide | Second-andthird-tiercitiesandabove | ShanghaiCharacterLicenseAdministrativeCo,.Ltd. | 2021.9.1-2024.1.31 | No |
MarketingandoperationofeachbrandduringthereportingperiodPleaserefertothe“1.Overview”in“IV.AnalysisofMainBusiness”of“SectionⅢManagementDiscussionandAnalysis”fordetails.Casesinvolvedintrademarkownershipdisputes
□Applicable√Notapplicable
(8)OthersWhethertheCompanyisengagedinappareldesign-relatedbusiness
√Yes□No
| ThenumberoffashiondesignersintheCompany | 41 | Thenumberofcontractedfashiondesigners | 0 |
| Theoperationofthebuiltdesignerplatform | PLMsyetem,3Ddesignplatformanddigitalcolortool |
DidtheCompanyholdanordermeeting?
□Yes√No
5.R&Dexpenses
√Applicable□Notapplicable
| NameofmajorR&Dprojects | Projectpurpose | Projectprogress | Objectives | ExpectedimpactsontheCompany |
| Researchandapplicationoffullymoldedintegratedweavingtechnology | Throughresearchintofullymoldedintegratedweavingtechnology,itstreamlinestheproductionprocess,shortensproductioncycles,minimizesrawmaterialwastage,achievesrapidproductiterationakinto3Dprinting,andmeetsconsumers’demandforhigh-techcomfort. | Launched | Fullformingtechnologyrevolutionizesthetraditionalknittingprocess,eliminatingstitchingandothersteps,achievingone-timeformingknittingofthefabric,andenhancingwearercomfort.Achieveanewbreakthroughincottonbabyproductsandcottonunderwearcategory. | Adoptionofnewprocessestodevelopinnovativeproducts,enhanceconsumerexperience,andbolsterthecompetitiveadvantageoftheCompany’sofferingsinthemarket |
| Developmentandexpandedapplicationofhigh-countfineblending“wind-softcotton”. | Thisprojectbeginswithresearchoncottonblending,integratingspinningtechnology,independentinnovation,anddevelopmentofwind-softcottonyarn.Itthenprogressestofulfillthedemandforfluffy,lightweight,andwarmcottonproducts,aimingtoprovideasolutionforthickandlightweightcottonproducts. | Launched | Basedontheprincipleofhigh-countfinematching,weindependentlyinnovateandresearchwind-softcottonyarntofacilitatemulti-categoryapplicationtransformationwhileensuringoptimalquality.Thisensuresourautumnandwinterproductsarelight,soft,andwarm,allwhileadheringtotheprinciplesofcomfortable,healthy,andenvironmentallyfriendly. | Enhancetheaddedvalueofproducts,increasethevarietyoffallandwinterproducts,andimprovetheirmarketcompetitiveness. |
| Researchandproductdevelopmentof“Sandwich”hollowwarmfeelingcottonfabrics | Enhancingthemarketfortraditionalchemicalfibermaterialairlayerorsandwichfabrictoaddressissuessuchasstiffness,lackofbreathability,sweatabsorption,andsusceptibilitytocreasing,therebyenhancingthewearer’sexperience. | Launched | Throughadifferentiatedthree-layerthree-dimensionalweavingprocess,utilizingvaryingstructuresandyarnthicknesses,weachievethedesiredeffect:atightouterlayer,ahollowmiddlelayer,andafluffyinnerlayer.Thisapproachenhancesfabricwarmthandimprovesthewearingexperience,facilitatingthedevelopmentofwarmcottonproductsforfallandwinterseasons. | Substitutechemicalfiberwithcottontoenhancethequalityoffallandwintercottonproducts,leadingthetechnologicaladvancementinthecottonproductsindustry |
| Developacrepe-feelfreshcottonsunscreenjacket | Addressthedrawbacksoftraditionalchemicalfibersunscreenapparel,includingpoormoistureabsorptionandbreathability,resultingindiscomfortfromsweatbuildupandskinirritationduringwear. | Massproduction | Developacottonwovensunscreenjacketwithawrinkledtexture.TheproductboastsUPF>50andUVA<5%,withthecottonmaterialbeingabsorbentandbreathable.Itswrinkledtexturepreventsstickingtotheskin,whileitsthinandelasticnatureensurescomfortablewear. | Usecottontoreplacechemicalfibertoimprovethequalityofoutwear,leadingthetechnologicalupgradinganddevelopmentofcottonproducts |
| Researchanddevelopmentofasystemforevaluatinghumandeepsleepcomfortandcottongauzebedding | EstablishamethodtoevaluatethesleepcomfortperformanceofgauzequiltsthroughsubjectivesleepevaluationandEEGtestanalysis | Closed | Publishawhitepaperonsleepqualitytooffertechnicalsupportforproductdesignanddevelopment,andprovideconsumerswithascientificbasisforpurchasingsuitablesleepproducts. | Addressuserpainpointsandreinforcebrandvalues |
| Biodegradableagriculturalcultivationfabricmaterial | Developbiodegradableagriculturalcultivationfabricmaterialstoexpandtheapplicationrangeofcottonspunlacematerials,providingenvironmentallyfriendlyoptionsforagriculturalcultivation | Launched | Achievedegradationwithin2-3monthswhilemeetingmaterialstrengthrequirements | Expandtheutilizationscopeofcottonspunlacenonwovenfabricsandboostsales |
WinnerMedicalNameofmajorR&Dprojects
| NameofmajorR&Dprojects | Projectpurpose | Projectprogress | Objectives | ExpectedimpactsontheCompany |
| Conductresearchanddevelopmentonultra-softandultra-thickcottonspunlacematerials | Enhancethepackagingheightandimprovethecomfortexperienceofcottonsofttowelproducts | Launched | Enhancethethicknessandsoftnessofthematerialwhileensuringminimallinting,therebyimprovingthecomfortofcottontowelproducts | Theproductsaremorealignedwithconsumerdemand,enhancingtheproductcompetitivenessofcottonsofttowelproducts. |
| Cotton-linedsurgicalmask | Developedcotton-linedsurgicalmaskstoenhancecomfortandeco-friendliness | Launched | Ensurehighprotectionwhileimprovingthecomfortofwearingsurgicalmasks | DevelopuniquemaskproductstoenhancemarketcompetitivenessandpromotetheCompany’sofferingstowardsgreenenvironmentalprotectionandresourceconservation. |
| Low-resistanceindustrialprotectivemasks | Improvethewearingcomfortofindustrialprotectivemasks | Launched | Ensurehighprotectionwhileimprovingthecomfortofwearingsurgicalmasks | Expandmaskproductcategoriestoboostsales |
| CollagendressingproductsR&D | Developedabiologicallyactivecollagendressingforwoundcare | Massproduction | Masteredthecollagenextractionanddressingmoldingprocess,andobtainedmarketingauthorizationfortheproduct | Also,masteredthecollagenrawmaterialextractiontechnology,enteredtheresearchfieldofbioactivewoundrepairmaterials,expandedthehigh-enddressingproductline,andestablishedtechnicalbarriers |
| Biodegradablethree-dimensionalmasks | Developenvironmentally-friendlybiodegradablemaskstoprotecttheearthandreduceenvironmentalpollution | Massproduction | Ensurethehighprotectiveperformanceofmaskswhilekeepingthebiodegradationrateofmasks≥95%; | ExpandthebiodegradablemaskproductseriestoenhancethecompetitivenessofthemaskcategoryinthemarketandpromotethedevelopmentoftheCompany’scoreproductstowardsgreenenvironmentalprotectionandresourceconservation |
| Optimizetheresearchanddevelopmentofantibacterialhydrogeldressingproducts | Developmentofahydrogeldressingproductwithantimicrobialproperties | Massproduction | Obtainedmarketingauthorizationfortheproduct | Expandedhigh-enddressingproductlineandincreasedsales |
R&DpersonneloftheCompany
| 2023 | 2022 | Proportionofchange | |
| NumberofR&Dpersonnel(people) | 1,259 | 1,588 | -20.72% |
| ProportionofR&Dpersonnel | 9.67% | 10.63% | -0.96% |
| EducationalbackgroundofR&Dpersonnel | |||
| Bachelor | 314 | 413 | -23.97% |
| Master | 93 | 102 | -8.82% |
| AgecompositionofR&Dpersonnel | |||
| Under30 | 199 | 316 | -37.03% |
| 30-40 | 587 | 732 | -19.81% |
TheamountofR&Dinvestmentandtheproportionofoperatingincomeinthepastthreeyears
| 2023 | 2022 | 2021 | |
| R&Dinvestmentamount(yuan) | 322,051,868.43 | 487,583,652.11 | 298,162,366.16 |
| TheproportionofR&Dinvestmentinoperatingincome | 3.93% | 4.30% | 3.71% |
| CapitalizedamountofR&Dexpenditure(yuan) | 0.00 | 0.00 | 0.00 |
| TheproportionofcapitalizedR&DexpenditureinR&Dinvestment | 0.00% | 0.00% | 0.00% |
| TheproportionofcapitalizedR&Dexpenditureincurrentnetpro?t | 0.00% | 0.00% | 0.00% |
ReasonsforandeffectsofsignificantchangesinthecompositionoftheCompany’sR&Dpersonnel
□Applicable√NotapplicableReasonsforsignificantchangesintheproportionoftotalR&Dinvestmentinoperatingincomecomparedtothepreviousyear
□Applicable√NotapplicableReasonsforsignificantchangesincapitalizationrateofR&Dinvestmentanditsreasonableexplanation
□Applicable√NotapplicableTheCompanyneedstocomplywiththedisclosurerequirementsofthe“MedicalDeviceBusiness”intheNo.4GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-InformationDisclosurebyGrowthEnterprises.InformationonMedicalDeviceProducts
√Applicable□NotapplicableFordetails,pleaserefertotheAnnex“InformationonMedicalDeviceProducts”attheendoftheannualreport.
6.Cashflow
Unit:yuan
WinnerMedicalItem
| Item | 2023 | 2022 | Year-on-yearincrease/decrease |
| Subtotalofcashinflowfromoperatingactivities | 9,103,514,793.19 | 12,542,790,330.22 | -27.42% |
| Subtotalofcashoutflowfromoperatingactivities | 8,040,188,560.96 | 9,559,318,099.95 | -15.89% |
| Netcashflowfromoperatingactivities | 1,063,326,232.23 | 2,983,472,230.27 | -64.36% |
| Subtotalofcashinflowfrominvestmentactivities | 6,589,667,664.51 | 8,238,580,617.85 | -20.01% |
| Subtotalofcashoutflowfrominvestmentactivities | 5,559,389,985.82 | 12,056,695,936.67 | -53.89% |
| Netcashflowfrominvestingactivities | 1,030,277,678.69 | -3,818,115,318.82 | 126.98% |
| Subtotalofcashinflowfromfinancialactivities | 2,303,457,500.00 | 2,276,661,290.38 | 1.18% |
| Subtotalofcashoutflowfromfinancialactivities | 4,088,884,914.09 | 1,159,153,982.55 | 252.75% |
| Netcashflowfromfinancingactivities | -1,785,427,414.09 | 1,117,507,307.83 | -259.77% |
| Netincreaseincashandcashequivalents | 306,518,824.28 | 282,209,696.13 | 8.61% |
Explanationofthemaininfluencingfactorsofsignificantchangesonayear-on-yearbasisinrelevantdata
√Applicable□Notapplicable
1.Thesubstantialyear-on-yeardeclineinnetcashflowsfromoperatingactivitieswasmainlydrivenbyasignificantdecreaseinmarketdemandforinfectionprotectionproducts.
2.Thelargeryear-on-yeardecreaseinthesubtotalcashoutflowfrominvestmentactivitieswasmainlyattributedtothereducedpurchaseofwealthmanagementproductsandhighercashdisbursementsformergersandacquisitionsin2022.
3.Netcashflowfrominvestmentactivitieswaspositiveinthecurrentperiodcomparedtonegativeinthesameperiodlastyear.Thiswasmainlybecausecashreceivedfromredemptionsofwealthmanagementproductsexceededcashpaidforpurchasesofwealthmanagementproductsinthecurrentperiod,andcashpaidformergersandacquisitionswaslowerthaninthesameperiodlastyear.
4.Thelargersubtotalincreaseincashoutflowsfromfinancingactivitiesandthecashgeneratedfromfinancingactivitiesweremainlyduetotheincreaseincashpaidfordebtrepaymentinthecurrentperiod.ExplanationofthereasonforthesignificantdifferencebetweentheCompany’snetcashflowgeneratedfromoperatingactivitiesduringthereportingperiodandthenetprofitinthecurrentyear
√Applicable□NotapplicableThemainreasonsforthesubstantialdifferencebetweenthenetcashflowsfromoperatingactivitiesof1,063millionyuanfortheyearandthenetprofitof629millionyuanfortheyeararedetailedin“SectionXFinancialReport-ⅦNotestoItemsintheConsolidatedFinancialStatements78.SupplementaryInformationtotheStatementofCashFlows”.
V.Non-mainoperations
√Applicable□Notapplicable
Unit:yuan
| Amount | Proportionintotalprofits | Formationreasons | Isitsustainable | |
| Investmentincome | 127,342,880.98 | 16.98% | Itismainlyduetothegainonmaturityoffinancialproductsandtherecognitionofinvestmentincomefromjointventures. | InvestmentincomefromjointventuresYes,othersNo |
| Pro?t/lossfromchangesinfairvalue | 46,678,103.27 | 6.23% | Itismainlyduetothechangesinfairvalueoffinancialproducts(suchasstructureddeposits). | No |
| Impairmentofassets | -393,761,240.50 | -52.51% | Mainlyduetoprovisionsforinventoryvaluedecline,goodwillimpairment,andfixedassetimpairment | No |
| Non-operatingincome | 16,618,496.48 | 2.22% | Mainlyattributedtonon-operatingincomefromnon-currentassets,suchasgainsonassetretirementandcompensationincome | No |
| Non-operatingexpenses | 84,742,148.34 | 11.30% | Itismainlyduetothelossesonthescrappingofnon-currentassets. | No |
| CreditimpairmentLoss | 4,725,509.30 | 0.63% | Itismainlyduetotheexpectedcreditlossesontheaccrualofaccountsreceivableandotherreceivables. | No |
| Gainsfromassetdisposal | 32,201,950.01 | 4.29% | Itismainlyduetothelossesondisposalofnon-currentassets. | No |
| Otherincomes | 101,105,274.61 | 13.48% | Itismainlyduetoreceivinggovernmentsubsidiesrelatedtooperatingactivities. | No |
VI.Analysisofassetsandliabilities
1.Majorchangesinassetcomposition
Unit:yuan
WinnerMedical
Endof2023
| Endof2023 | Early2023 | Increase/decreaseinproportions | Descriptionofsignificantchanges | |||
| Amount | Theproportionintotalassets | Amount | Theproportionintotalassets | |||
| Cashandcashequivalents | 4,706,132,071.27 | 27.50% | 4,526,877,578.90 | 24.80% | 2.70% | Nomajorchanges |
| Accountsreceivable | 768,602,289.60 | 4.49% | 932,642,061.04 | 5.11% | -0.62% | Nomajorchanges |
| Inventory | 1,434,326,287.96 | 8.38% | 1,558,923,573.37 | 8.54% | -0.16% | Nomajorchanges |
| Investmentrealestates | 7,693,341.79 | 0.04% | 8,747,014.25 | 0.05% | -0.01% | Nomajorchanges |
| Long-termequityinvestment | 20,879,244.20 | 0.12% | 21,747,635.99 | 0.12% | 0.00% | Nomajorchanges |
| Fixedassets | 2,749,018,750.62 | 16.06% | 2,312,982,598.88 | 12.67% | 3.39% | Nomajorchanges |
| Constructioninprogress | 984,571,329.05 | 5.75% | 765,009,910.63 | 4.19% | 1.56% | Nomajorchanges |
| Right-of-useassets | 417,496,021.36 | 2.44% | 472,356,125.64 | 2.59% | -0.15% | Nomajorchanges |
| Short-termloans | 1,493,238,955.00 | 8.73% | 2,295,218,930.85 | 12.57% | -3.84% | Mainlyattributedtotherestructuringofshort-termandlong-termloansandloanrepaymentsduringtheperiod |
| Contractliabilities | 193,262,892.15 | 1.13% | 566,819,254.08 | 3.11% | -1.98% | Itismainlyduetotheincreasedconsiderationreceivedinadvancefromcustomers. |
| Long-termloans | 170,000,000.00 | 0.99% | 0.99% | Itismainlyduetotheincreaseinlong-termbankborrowings | ||
| Leaseliabilities | 292,009,504.04 | 1.71% | 326,459,697.90 | 1.79% | -0.08% | Nomajorchanges |
| Tradablefinancialassets | 2,850,058,540.71 | 16.66% | 4,378,789,960.23 | 23.99% | -7.33% | Mainlyduetothedecreaseinpurchasesofstructureddepositsandotherfinancialproducts |
| Amountsreceivablefinancing | 29,348,618.44 | 0.17% | 93,093,113.79 | 0.51% | -0.34% | Mainlyduetoadecreaseinthereceiptofbankers’acceptances |
| Advancestosuppliers | 122,281,742.75 | 0.71% | 229,225,273.09 | 1.26% | -0.55% | Mainlyduetothedecreaseinmaterialpurchases |
| Othercurrentassets | 378,853,652.64 | 2.21% | 119,059,084.47 | 0.65% | 1.56% | Mainlyattributedtotheincreaseinpledgedlargecertificatesofdeposit |
| Othernon-currentfinancialAssets | 70,000,000.00 | 0.41% | 40,000,000.00 | 0.22% | 0.19% | Itismainlyduetothepurchaseoflong-termfinancialassets |
| Notespayable | 315,902,844.15 | 1.85% | 24,760,000.00 | 0.14% | 1.71% | Mainlyduetotheincreaseduseofbankers’acceptancesforsettlingpaymentsforgoods |
| Taxespayable | 62,877,779.86 | 0.37% | 322,255,874.61 | 1.77% | -1.40% | Mainlyduetoadecreaseincorporateincometaxandvalue-addedtax |
| Othercurrentliabilities | 19,712,328.19 | 0.12% | 59,604,591.85 | 0.33% | -0.21% | Mainlyduetothedecreaseinadvancereceipts,correspondingtothedecreaseinsalestaxpendingtransfer |
| Capitalstock | 594,387,367.00 | 3.47% | 426,492,308.00 | 2.34% | 1.13% | Mainlyduetothecapitalizationofcapitalsurplusduringtheperiod |
Highpercentageofforeignassets
□Applicable√Notapplicable
2.Assetsandliabilitiesmeasuredatfairvalue
√Applicable□Notapplicable
Unit:yuan
| Item | Openingbalance | Gain/lossfromchangesinfairvaluefortheperiod | Accumulatedfairvaluechangesincludedinequity | Impairmentinaccrualofcurrentperiod | Purchaseamountduringthereportingperiod | Salesamountduringthereportingperiod | Otherchanges | Closingbalance |
| Financialassets | ||||||||
| 1.Tradablefinancialassets(excludingderivativefinancialassets) | 4,378,789,960.23 | 46,678,103.27 | 4,409,245,000.00 | 6,027,240,000.00 | 42,585,477.21 | 2,850,058,540.71 | ||
| Financialassetssubtotal | 4,378,789,960.23 | 46,678,103.27 | 4,409,245,000.00 | 6,027,240,000.00 | 42,585,477.21 | 2,850,058,540.71 | ||
| Totaloftheabove | 4,378,789,960.23 | 46,678,103.27 | 4,409,245,000.00 | 6,027,240,000.00 | 42,585,477.21 | 2,850,058,540.71 | ||
| Financialliabilities | 0.00 | 0.00 | ||||||
OtherchangesTheitem“Others”mainlyreferstotheincreasebybusinesscombination.WhethertherewereanysignificantchangesinthemeasurementattributesoftheCompany’smajorassetsduringthereportingperiod
□Yes√No
3.Restrictedrightstoassetsasoftheendofthereportingperiod
Fordetails,see“SectionX.FinancialReport-ⅦNotestoconsolidatedfinancialstatements-31.AssetswithRestrictedOwnershiporUseRights”.
VII.Analysisofinvestment
1.Overallsituation
√Applicable□Notapplicable
WinnerMedicalInvestmentamountinthereportingperiod(yuan)
| Investmentamountinthereportingperiod(yuan) | Investmentamountinthesameperiodofthepreviousyear(yuan) | Changepercentage |
| 5,203,756,536.64 | 12,418,231,649.20 | -58.10% |
Note:Thelargerdecreaseininvestmentsinthereportingperiodcomparedtothesameperiodofthepreviousyearwasmainlydueto(1)ahigheramountoffinancialproductinvestmentspurchasedinthepreviousyear;and(2)ahighernumberofinputsfortheacquisitionofmergedcompaniesinthepreviousyear.
2.Significantequityinvestmentsacquiredduringthereportingperiod
□Applicable√Notapplicable
3.Significantnon-equityinvestmentsinprogressduringthereportingperiod
√Applicable□Notapplicable
Unit:yuan
| Projectname | Investmentmethod | Investmentinfixedassetsornot | Industriesinvolvedininvestmentprojects | Investmentamountinthecurrentreportingperiod | Cumulativeactualinvestmentamountasoftheendofthereportingperiod | Sourceoffunds | Projectprogress | Estimatedincome | Gainsrealizeduptothereportingperiod,notcumulatively | Reasonsfornotmeetingthescheduledprogressandprojectedearnings | Dateofdisclosure(ifany) | Disclosureindex(ifany) |
| High-enddressingproductionlineconstructionproject | Independent | Yes | Medicalconsumables | 30,057,916.26 | 145,788,435.58 | Proceeds | 67.23% | 0.00 | 0.00 | N/A | ||
| Marketingnetworkconstructionproject | Independent | Yes | Healthyconsumergoods | 313,168,743.39 | 621,494,696.40 | Proceeds | 100.56% | 0.00 | 0.00 | N/A | ||
| R&DCenterconstructionproject | Independent | Yes | Medicalconsumables+healthyconsumergoods | 65,615,625.90 | 189,569,797.87 | Proceeds | 88.00% | 0.00 | 0.00 | N/A | ||
| Digitalmanagementsystemproject | Independent | Yes | Medicalconsumables+healthyconsumergoods | 78,593,887.95 | 198,807,408.59 | Proceeds | 73.96% | 0.00 | 0.00 | N/A | ||
| WinnerIndustrialPark(Jiayu)Project | Independent | Yes | Medicalconsumables | 193,532,132.51 | 435,061,389.73 | Proceeds | 103.59% | 0.00 | 0.00 | N/A | ||
| PhaseIIExpansionProjectofWinnerMedicalWuhan | Independent | Yes | Medicalconsumables+healthyconsumergoods | 83,428,830.16 | 609,515,780.73 | Proceeds | 101.59% | 0.00 | 0.00 | N/A | ||
| Total | -- | -- | -- | 764,397,136.17 | 2,200,237,508.90 | -- | -- | 0.00 | 0.00 | -- | -- | -- |
4.Investmentinfinancialassets
(1)Securitiesinvestment
√Applicable□Notapplicable
Unit:yuan
| Category | Code | Abbreviation | Initialinvestmentcost | Accountingmeasurementmode | Beginningbookvalue | Gain/lossfromchangesinfairvaluefortheperiod | Accumulatedfairvaluechangesincludedinequity | Purchaseamountduringthereportingperiod | Salesamountduringthereportingperiod | Profitorlossforthereportingperiod | Endingbookvalue | Accountingaccount | Sourceoffunds |
| Trustproducts | N/A | N/A | 1,340,000,000.00 | Fairvaluemeasurement | 1,351,258,920.46 | 3,550,353.51 | 400,000,000.00 | 640,000,000.00 | 22,663,804.95 | 1,114,809,273.97 | Tradablefinancialassets | Self-ownedfunds | |
| Others | N/A | N/A | 3,041,995,000.00 | Fairvaluemeasurement | 3,027,531,039.77 | 43,127,749.76 | 4,009,245,000.00 | 5,387,240,000.00 | 103,097,467.82 | 1,735,249,266.74 | Tradablefinancialassets | Owned+raisedfunds | |
| Funds | N/A | ShenzhenHongtuYihaoPrivateEquityInvestmentFundPartnership(LimitedPartnership) | 40,000,000.00 | Fairvaluemeasurement | 40,000,000.00 | 30,000,000.00 | 70,000,000.00 | Othernon-currentfinancialassets | Self-ownedfunds | ||||
| Total | 4,421,995,000.00 | -- | 4,418,789,960.23 | 46,678,103.27 | 0.00 | 4,439,245,000.00 | 6,027,240,000.00 | 125,761,272.77 | 2,920,058,540.71 | -- | -- |
Note1:Trustproductsprimarilyconsistofrisk-ratedR2/R3productsanddonotinvolveinvestmentsinstocksandrealestate.Note2:Securities-Others:Theamountderivedfromthechangeinbookvalueatthebeginningoftheperiod,plusgainsorlossesonchangesinfairvalueduringtheperiod,plustheamountpurchasedduringtheperiod,minustheamountsoldduringtheperiod,was42,585,477.21yuanlowerthanthebookvalueattheendoftheperiod.Thisdifferencewasmainlyduetotheinclusionoftheincreaseintheopeningbalanceresultingfromthebusinesscombinationin2023inthebookvalueattheendoftheperiod.
(2)Derivativesinvestment
□Applicable√NotapplicableNoderivativeinvestmentintheCompanyduringthereportingperiod
5.Theuseofproceeds
√Applicable□Notapplicable
(1)Theoveralluseofproceeds
√Applicable□Notapplicable
Unit:10,000yuan
| WinnerMedical | ||||||||||||
| Year | ProceedsMethod | Totalamountofproceeds | Netamountofproceeds | Totalamountofproceedsusedduringthecurrentreportingperiod | Totalaccumulatedamountofproceedsusedduringthecurrentreportingperiod | Totalamountofproceedsforalterationpurposesduringthecurrentreportingperiod | Totalaccumulatedamountofproceedsforalterationpurposesduringthecurrentreportingperiod | Proportionoftotalamountofproceedsforalterationpurposesduringthecurrentreportingperiod | Totalamountofproceedsnotusedduringthecurrentreportingperiod | Usageandpurposesofproceedsnotusedduringthecurrentreportingperiod | Amountofproceedsthathavebeenidleformorethantwoyears | |
| 2020 | IPO | 371,500 | 355,884.93 | 76,451.15 | 346,567.62 | 2,000 | 11,102.34 | 2.99% | 24,806.64 | Ofwhich:thebalanceofcashmanagementwas780.00millionyuan,andthebalancedepositedintheproceedsaccountwas203.6361yuan. | 0 | |
| Total | -- | 371,500 | 355,884.93 | 76,451.15 | 346,567.62 | 2,000 | 11,102.34 | 2.99% | 24,806.64 | -- | 0 | |
| Descriptionoftheoveralluseofproceeds | ||||||||||||
| TheChinaSecuritiesRegulatoryCommission(CSRC)approvedthat,inits“CSRCLicense[2020]No.1822”document,theCompanymadeaninitialpublicofferingof50millionyuanordinaryshares(Ashares)atanofferpriceof74.30yuanpershare,andthetotalproceedsamountedto3,715.0000millionyuan.Afterdeductingissuancefeesof156.1507millionyuan(excludingtax),netproceedstotaled3,558.8493millionyuan.TheproceedsmentionedabovewereverifiedbyBDOCHINASHULUNPANCERTIFIEDPUBLICACCOUNTANTSLLPwithaCapitalVerificationReport(XinKuaiShiBaoZi[2020]No.ZI210584).InFY2023,theCompanyutilizedproceedsof764,511,500yuan,with764,397,000yuanallocatedtofundraisingprojectsand114,400,000yuandesignatedforsupplementingworkingcapital.Asoftheendof2023,theCompanyhadutilizedatotalof3,465,676,200,000yuaninproceeds.Ofthisamount,2,200,237,500,000yuanwasutilizedforfundraisingprojects,including1,866,346,100,000yuaninvestedcumulativelyinfundraisingprojectsand333,891,400,000yuanusedtopre-investinfundraisingprojectsbyreplacingself-financedfunds.Additionally,1,265,438,700,000yuanwasutilizedtopermanentlysupplementliquidity. | ||||||||||||
(2)Committedproceedsprojects
√Applicable□Notapplicable
Unit:10,000yuan
| Committedinvestmentprojectsandinvestmentofover-raisedproceeds | Whethertheprojecthasbeenchanged(includingpartialchange) | Totalinvestmentincommittedproceeds | Adjustedtotalinvestment(1) | Investmentamountinthecurrentreportingperiod | Cumulativeinvestmentamountasoftheendofthereportingperiod(2) | Investmentprogressasoftheendofthereportingperiod(3)=(2)/(1) | Theprojectreachestheintendedusablestatusdate | Benefitsrealizedinthecurrentreportingperiod | Cumulativebenefitsrealizedasoftheendofthereportingperiod | Whetherprojectedbenefitsaremet | Whetherthereisasignificantchangeinprojectfeasibility |
| Committedinvestmentprojects | |||||||||||
| High-enddressingproductionlineconstructionproject | No | 21,685.86 | 21,685.86 | 3,005.79 | 14,578.84 | 67.23% | September1,2024 | 0 | 0 | N/A | No |
| Marketingnetworkconstructionproject | Yes | 70,456.87 | 61,804.04 | 31,316.87 | 62,149.47 | 100.56% | September1,2024 | 0 | 0 | N/A | No |
| R&DCenterconstructionproject | Yes | 23,542.15 | 21,542.15 | 6,561.56 | 18,956.98 | 88.00% | September1,2024 | 0 | 0 | N/A | No |
| Digitalmanagementsystemproject | No | 26,881.05 | 26,881.05 | 7,859.39 | 19,880.74 | 73.96% | September1,2024 | 0 | 0 | N/A | No |
| Bolsterworkingcapital | No | 9,102.34 | 0.21 | 9,102.34 | 0 | 0 | N/A | No | |||
| Subtotalofcommittedinvestmentprojects | -- | 142,565.93 | 141,015.44 | 48,743.82 | 124,668.37 | -- | -- | 0 | 0 | -- | -- |
| Investmentofover-raisedproceeds | |||||||||||
| Committedinvestmentprojectsandinvestmentofover-raisedproceeds | Whethertheprojecthasbeenchanged(includingpartialchange) | Totalinvestmentincommittedproceeds | Adjustedtotalinvestment(1) | Investmentamountinthecurrentreportingperiod | Cumulativeinvestmentamountasoftheendofthereportingperiod(2) | Investmentprogressasoftheendofthereportingperiod(3)=(2)/(1) | Theprojectreachestheintendedusablestatusdate | Benefitsrealizedinthecurrentreportingperiod | Cumulativebenefitsrealizedasoftheendofthereportingperiod | Whetherprojectedbenefitsaremet | Whetherthereisasignificantchangeinprojectfeasibility | |
| WinnerIndustrialPark(Jiayu)Project | Yes | 42,000 | 19,353.21 | 43,506.14 | 103.59% | December1,2023 | 0 | 0 | N/A | No | ||
| PhaseIIExpansionProjectofWinnerMedicalWuhan | No | 60,000 | 8,342.88 | 60,951.58 | 101.59% | December1,2023 | 0 | 0 | N/A | No | ||
| Bolsterworkingcapital(ifany) | -- | 117,441.53 | 11.23 | 117,441.53 | -- | -- | -- | -- | -- | |||
| Subtotalofuseofover-raisedproceeds | -- | 219,441.53 | 27,707.32 | 221,899.25 | -- | -- | 0 | 0 | -- | -- | ||
| Total | -- | 142,565.93 | 360,456.97 | 76,451.14 | 346,567.62 | -- | -- | 0 | 0 | -- | -- | |
| Descriptionofandreasonsfornotmeetingthescheduledprogressorprojectedearningsbyprojects(includingthereasonsforselecting“Notapplicable”for“Whetherprojectedbenefitsaremet”) | N/A | |||||||||||
| Descriptionofsignificantchangesinprojectfeasibility | N/A | |||||||||||
| Amount,purposeandprogressofuseofover-raisedproceeds | Applicable | |||||||||||
| OnOctober12,2020,the13thmeetingoftheSecondBoardofDirectorsandtheseventhmeetingoftheSecondBoardofSupervisorsoftheCompanyreviewedandapprovedtheProposalRegardingtheUseofSomeOver-raisedProceedsToPermanentlySupplementtheWorkingCapital,andagreedthattheCompanycouldallocate639millionyuanoftheover-raisedproceedstosupplementtheworkingcapitalpermanently.TheFifthExtraordinaryGeneralMeetingof2020heldonOctober29,2020,consideredandapprovedtheproposal.AsofNovember2,2020,639.0000millionyuanofover-raisedproceedshavebeenusedtobolsterworkingcapital.OnNovember27,2020,the15thmeetingoftheSecondBoardofDirectorsandthe9thmeetingoftheSecondBoardofSupervisorsoftheCompanyreviewedandapprovedtheProposalRegardingtheUseofOver-raisedProceedsfortheInvestmentinWinnerIndustrialPark(Jiayu)Project.TheproposalwasconsideredandpassedbytheSixthExtraordinaryGeneralMeetingof2020heldonDecember15,2020andbecameeffective.ThemainbodyoftheProposalisasfollows:TheCompanyplanstoallocate400.0000millionyuanoftheover-raisedproceedstotheinvestmentintheWinnerIndustrialPark(Jiayu)Project.ThetotalinvestmentinWinnerIndustrialPark(Jiayu)Projectisestimatedat900.0000millionyuan,andtheimplementingentityisWinnerMedical(Jiayu)Co.,Ltd.TheprojectislocatedinHubeiJiayuEconomicDevelopmentZone,adjacenttothePark’s2ndRoadinthenorth,3rdRoadinthesouth,JiayuAvenueintheeast,andShijingpuRoadinthewest.Thetotallandareaisabout451mu.Theprojectreliesonindependentresearchanddevelopmentofpatentedtechnologyachievements,andbasedontheexistingadvantagesoftheCompanyintheindustry,considersnaturalcottonasthemainrawmaterialtoinnovateandimprovedegreasingandspunlacetechnology.Itadoptscomprehensiveuseofhigh-pressure“waterneedle”andotherhigh-efficiencyproductiontechnologies,andplanstobuildproductionprojectsinrelationtospunlace,washcare,wettissues,medicalcotton/gauze/non-wovenfabrics,handsanitizerandotherproducts.AsofSunday,December31,2023,thetotalamountinvestedintheaboveprojectis435.0614millionyuan.OnNovember27,2020,the15thmeetingoftheSecondBoardofDirectorsandthe9thmeetingoftheSecondBoardofSupervisorsoftheCompanyreviewedandapprovedtheProposalRegardingtheUseofOver-raisedProceedsforthePhaseIIExpansionProjectofWinnerMedicalWuhan.ThemainbodyoftheProposalisasfollows:TheCompanyplanstoallocate600.0000millionyuanoftheover-raisedproceedstotheinvestmentinthePhaseIIExpansionProjectofWinnerMedicalWuhan.ThetotalinvestmentinPhaseIIExpansionProjectofWinnerMedicalWuhantotals1,500.0000millionyuan,andtheimplementingentityisWinnerMedical(Wuhan)Co.,Ltd.Theprojectincludesnon-wovencoilcenter,sterilizationprocessingcenter,domesticmedicalsalesandmarketingcenter,intelligentdistributioncenterofHubeiregionalheadquarters,regionalheadquartersinCentralChinaandthesecondR&DcenteroftheGroup,whicharefullyinvestedandindependentlyoperatedbytheCompany.Thankstotheprojectconstruction,theCompany’sproductioncapacityandmarketsharewillbeincreased,enablingittobecomeagloballeaderinoveralltechnicallevelandproductqualityscale.AsofSunday,December31,2023,thetotalamountinvestedintheaboveprojectis609.5158millionyuan.TheCompanyheldthesixthmeetingofthethirdsessionoftheBoardofDirectorsandthefifthmeetingofthethirdsessionoftheBoardofSupervisorsonApril20,2022andreviewedandapprovedtheProposalRegardingtheUseofSomeOver-raisedProceedsToPermanentlySupplementtheWorkingCapital,andagreedthattheCompanycouldallocate494.19millionyuanoftheover-raisedproceedsandthecorrespondingcashproceedstopermanentlysupplementtheworkingcapital(andsubsequently,togetherwiththeproceedsfromfinanceproducts,theactuallysupplementedworkingcapitalwas535.4153millionyuan).TheproposalwasconsideredandpassedbytheAnnualGeneralMeetingof2021heldonMay13,2022andbecameeffective. | ||||||||||||
WinnerMedical
Changeoflocationfortheimplementationoftheproceedsinvestmentproject
| Changeoflocationfortheimplementationoftheproceedsinvestmentproject | Applicable |
| Occurredinthepreviousyear | |
| OnNovember27,2020,the15thmeetingoftheSecondBoardofDirectorsandthe9thmeetingoftheSecondBoardofSupervisorsoftheCompanyreviewedandapprovedtheProposalRegardingCapitalIncreaseinWhollyownedSubsidiarieswithSomeoftheProceeds,ChangestoImplementingEntityoftheFundraisingProjects,andAdditionofImplementationSitesofSomeFundraisingProjects.ThemainbodyoftheProposalisasfollows:Tofurtherimprovetheproduction,managementefficiencyandcomprehensiveutilizationrateofresources,seizemarketdevelopmentopportunities,andbetterpromotetheimplementationoffundraisingprojects,theCompanyplanstousesomeoftheproceedstoincreasethecapitalofthewholly-ownedsubsidiariesandchangetheimplementingentityofthefundraisingprojects,andaddnewimplementationsitesforthefundraisingprojects.Amongthem,theoriginalimplementingentityofthe“R&DCenterConstructionProject”wasWinnerMedical(Wuhan)Co.,Ltd.AccordingtotheCompany’sdevelopmentstrategyandactualbusinessneeds,itplanstoincludeWinnerMedicalProductsCo.,Ltd.astheimplementingentityof“R&DCenterConstructionProject”,afundraisingproject.AnewimplementationsiteinWinnerIndustrialPark,No.660BulongRoad,LonghuaNewDistrict,Shenzhenisalsoincludedaccordingly. | |
| Adjustmentoftheimplementationmodeoftheproceedsinvestmentproject | Applicable |
| Occurredinthepreviousyear | |
| TheCompanyheldthesixthmeetingofthethirdsessionoftheBoardofDirectorsandthefifthmeetingofthethirdsessionoftheBoardofSupervisorsonApril20,2022,andreviewedandapprovedtheProposalonAdjustingtheImplementationMode,ExtendingtheConstructionPeriodandPermanentlyBolsteringtheWorkingCapitalofSomeFundRaisingProjects,whichbecameeffectiveaftertheconsiderationofthe2021AnnualGeneralMeetingofShareholdersheldonMay13,2022.Themaincontentsoftheproposalwereasfollows:Toquicklyrespondtomarketchangesandimprovetheutilizationefficiencyofproceeds,themarketingnetworkbuildingprojectincreasedtheinvestmentrelatedtoonlinemarketingofShenzhenPurcottonTechnologyCo.,Ltd.,awholly-ownedsubsidiary.Also,duetostrategicadjustments,themarketingnetworkbuildingprojectterminatedtheinvestmentrelatedtonetworkbuildingofShenzhenPureH2BTechnologyCo.,Ltd.,awholly-ownedsubsidiary. | |
| Pre-investmentandreplacementoftheproceedsinvestmentproject | Applicable |
| OnFebruary26,2021,the18thmeetingoftheSecondBoardofDirectorsandthe12thmeetingoftheSecondBoardofSupervisorsoftheCompanyreviewedandapprovedtheProposalonOpeningbankAccountsandtheReplacementofSelf-financingFundsPre-investedinNewProjectswithExcessFundsRaised,respectively,andagreedthattheCompanycouldreplacetheself-raisedfundspre-investedinthefundraisingprojectwith100.1742millionyuanofproceeds.Ithasbeenverifiedbythe[2021]No.ZI10031SpecialAuditor’sReportonProceedsReplacementofWinnerMedicalProductsCo.,Ltd.issuedbyBDOCertifiedPublicAccountants(SpecialGeneralPartnership)onFebruary23,2021.Amongthem:theactualinvestmentamountoftheCompany’sself-raisedfundspre-investedintheproceedsinvestmentprojectis100.1742millionyuan,ofwhich:85.8942millionyuanwasinvestedintheWuhanPhaseIIexpansionproject,and14.28millionyuanwasinvestedinWinnerIndustrialPark(Jiayu)Project.InFebruaryandMarch2021,theCompanytransferred14.28millionyuanand85.8942millionyuanrespectivelyfromthespecialaccountforproceedstoreplacetheself-raisedfundsthathadbeeninvestedinadvanceintheproceedsproject.OnOctober12,2020,the13thmeetingoftheSecondBoardofDirectorsandtheseventhmeetingoftheSecondBoardofSupervisorsoftheCompanyreviewedandapprovedtheProposalRegardingtheUseofProceedstoReplaceSelf-raisedFundsPre-investedintheFundraisingProject,respectively,andagreedthattheCompanycouldreplacetheself-raisedfundspre-investedinthefundraisingprojectwith233.7173millionyuanofproceeds.Ithasbeenverifiedbythe[2020]No.ZI10635SpecialAuditor’sReportonProceedsReplacementofWinnerMedicalProductsCo.,Ltd.issuedbyBDOCertifiedPublicAccountants(SpecialGeneralPartnership)onOctober12,2020.Amongthem:theactualinvestmentamountoftheCompany’sself-raisedfundspre-investedintheproceedsinvestmentprojectis233.7173millionyuan,ofwhich:26.5062millionyuanwasinvestedinhigh-enddressingproductionlineconstructionproject,110.0794millionyuanwasinvestedinmarketingnetworkconstructionproject,50.2174millionyuanwasinvestedinR&Dcenterconstructionproject,46.9143millionyuanwasinvestedindigitalmanagementsystemproject.InOctoberandNovember2020,theCompanytransferred73.4204millionyuanand160.2968millionyuanrespectivelyfromthespecialaccountforproceedstoreplacingtheself-raisedfundsthathadbeeninvestedinadvanceintheproceedsproject. | |
| Temporaryreplenishmentofworkingcapitalwithidleproceeds | N/A |
| Amountofandreasonsforthebalanceofproceedsresultingfromprojectimplementation | N/A |
| Usageandpurposesofproceedsnotusedduringthecurrentreportingperiod | AsofSunday,December31,2023,thebalanceofunusedproceedsoftheCompanywas248.0664millionyuan,ofwhich:thebalanceofcashmanagementwas88.0000millionyuanandthebalanceof160.0664millionyuanwasdepositedintheaccountforproceeds. |
| Problemsorothercircumstancesintheuseanddisclosureofproceeds | None |
(3)Changesinproceedsprojects
√Applicable□Notapplicable
Unit:10,000yuan
| Projectafterchange | Correspondingoriginalcommittedprojects | Totalamountofproceedstobeinvestedinthechangedproject(1) | Actualinvestmentamountinthecurrentreportingperiod | Actualcumulativeinvestmentamountasoftheendofthereportingperiod(2) | Investmentprogressasoftheendofthereportingperiod(3)=(2)/(1) | Theprojectreachestheintendedusablestatusdate | Benefitsrealizedinthecurrentreportingperiod | Whetherprojectedbenefitsaremet | Whetherthereisasignificantchangeinthefeasibilityofthechangedproject |
| Marketingnetworkconstructionproject | Marketingnetworkconstructionproject | 61,804.04 | 31,316.87 | 62,149.47 | 100.56% | 2024September1st | 0 | N/A | No |
| R&DCenterconstructionproject | R&DCenterconstructionproject | 21,542.15 | 6,561.56 | 18,956.98 | 88.00% | 2024September1st | 0 | N/A | No |
| WinnerIndustrialPark(Jiayu)Project | WinnerIndustrialPark(Jiayu)Project | 42,000 | 19,353.21 | 43,506.14 | 103.59% | 2023December1st | 0 | N/A | No |
| Total | -- | 125,346.19 | 57,231.64 | 124,612.59 | -- | -- | 0 | -- | -- |
| Reasonsforchange,decision-makingproceduresandinformationdisclosure(Dependingonspecificproject) | TheCompanyheldthesixthmeetingofthethirdsessionoftheBoardofDirectorsandthefifthmeetingofthethirdsessionoftheBoardofSupervisorsonApril20,2022,andreviewedandapprovedtheProposalonAdjustingtheImplementationMode,ExtendingtheConstructionPeriodandPermanentlyBolsteringtheWorkingCapitalofSomeFundRaisingProjects,whichbecameeffectiveaftertheconsiderationofthe2021AnnualGeneralMeetingofShareholdersheldonMay13,2022.TheinvestmentonthemarketingnetworkbuildingprojectofPureH2Bwasterminated.Theremainingproceedsnotusedforthemarketingnetworkbuildingprojectamountedtoapproximately89.6426millionyuan(includingtheincomeoffinancialproducts),whichwillbeusedforpermanentlyreplenishingtheworkingcapital(theactualamounttobereplenishedtogetherwiththeproceedsofthefinancialproductswillbe91.0234millionyuan).(AnnouncementNo.:2022-021)TheCompanyheldthetwelfthmeetingofthethirdsessionoftheBoardofDirectorsandtheninthmeetingofthethirdsessionoftheBoardofSupervisorson5May2023,andreviewedandapprovedtheProposalonAdjustingtheUseofProceeds,ExtendingtheConstructionPeriodofSomeFundRaisingProjects,whichbecameeffectiveaftertheconsiderationofthe2022AnnualGeneralMeetingofShareholdersheldonMay16,2022.Theproceedsfromtheresearchanddevelopmentcenterconstructionprojectshouldbeadjustedamongtheimplementationentities,partoftheproceedsfromtheR&DCenterConstructionProjectshallbemovedtotheWinnerIndustrialPark(Jiayu)Project.(AnnouncementNo.:2023-018) | ||||||||
| Informationonandreasonsfornotmeetingthescheduledprogressorprojectedearnings(byspecificproject) | Thefund-raisingcapitalinvestmentprojecthasnotbeencompletedandthebenefitsgeneratedbythefund-raisingcapitalinvestmentprojectcannotbecalculatedyet | ||||||||
| Descriptionofsignificantchangesinthefeasibilityofthechangedproject | Therehasbeennomaterialchangeinthefeasibilityofthemarketingnetworkbuildingproject,theR&DcenterconstructionprojectandtheWinnerIndustrialPark(Jiayu)Project | ||||||||
VIII.Salesofsignificantassetandequity
1.Informationofsignificantassetsforsale
□Applicable√NotapplicableTheCompanydidnotsellanysignificantassetsduringthereportingperiod.
2.Informationofsignificantequityforsale
□Applicable√NotapplicableIX.Analysisofmajorholdingcompaniesandjointstockcompanies
√Applicable□NotapplicableInformationonmajorsubsidiariesandjointstockcompanieswithanimpactof10%ormoreontheCompany’snetprofit
Unit:yuan
WinnerMedicalCompanyname
| Companyname | Companytype | Principaloperation | Registeredcapital | Totalassets | Netassets | Revenue | Operatingprofit | Netprofit |
| WinnerMedical(Huanggang)Co.,Ltd. | Subsidiaries | Mainlyresponsiblefortheproductionoflargerollsofcottonandcottontissues | 259,459,200.00 | 1,306,689,791.06 | 899,666,078.81 | 1,142,916,472.34 | 169,616,886.45 | 135,030,291.42 |
Acquisitionanddisposalofsubsidiariesduringthereportingperiod
√Applicable□Notapplicable
| Companyname | Methodofacquisitionanddisposalofsubsidiariesduringthereportingperiod | Impactonoverallproductionoperationsandperformances |
| Winner(Jinzhou)LatexProductsCo.,Ltd. | Acquisition | Nosignificantdirectimpacts |
| ShanghaiHongsongMedicalDeviceCo.,Ltd. | Acquisition | Nosignificantdirectimpacts |
DescriptionofmajorholdingcompaniesandjointstockcompaniesN/A
X.StructuredsubjectscontrolledbytheCompany
□Applicable√Notapplicable
XI.ProspectsoftheCompany(I)StrategicplanningAsaleadinghealthcareenterprise,ourcorevaluessteerourstrategictrajectory.Sinceitsinception33yearsago,spanningfourglobaleconomiccycles,wehavemaintainedrobustvitalitywhileupholdingourfoundingvision:“Caringforhealthandlife,makingabetterworld”and“changingtheworldwithpurecotton”.Weconsistentlyadheretothreecoreprinciples:qualityoverprofit,brandoverspeed,andsocialresponsibilityabovecorporatevalue.Ourcommitmenttothevaluesof“hardwork,self-criticism,explorationandinnovation,andsustainabledevelopment”ensuresthatthesteadymarchofWinnerMedicalandPurcottonremainsfirmlyoncourse.Astheworldchanges,ourvision,coreprinciples,andvaluesstayconstant.Ouroriginalgoalofcreatingvalueforconsumersandsocietyremainsunchanged.Westicktothestrategicguidelineof“leadingproductswithoperationalexcellence”.Movingforward,we’rededicatedtoembracingchange,tacklingchallenges,andchampioningtransformativepracticesandcapacitybuilding.We’llrampupdigitalempowermentanddrivedigitalupgradingtowards“basicmanagementprocessed,processmanagementdigitized,anddigitalmanagementintelligence”.We’llboosttheorganization’soperationalcapabilityandtalentdensity,stickingtothe“fourhighs”talentconcept,forgingrobustbusinesspartnerships,leadinghigh-qualitydevelopment,andnavigatingthecycle.
1.MedicalbusinessOverthenextthreeyears,theCompanywillmaintainitsstrategicprowess,solidifyitsfinancialfoundation,andsteadilyadvancetofirmlyestablishitselfasaone-stopexpertinmedicalconsumablessolutionsthroughbothinternalandexternalapproachestomeetmarketdemand.We’llenhancetechnologyandR&Dinnovationfocusingonmaterials,userneeds,andscenarios,aimingtodrivebreakthroughsinoverseasbusiness,domesticcriticalmedicalcare,andeverydayconsumermedicalcare,withaprimaryemphasisonstrategicproducts.Refiningourcommitmenttooperationalexcellence,we’veoutlinedaclearmissionandsetofrequirements:toestablishinternationallyrenowned,fullyautomated,intelligent,unmanned,environmentallysustainablelighthousefactoriesandblack-lightworkshopswithinourmanufacturingoperations.ThisinitiativeaimstoacceleratetheintegrationandsynergyofstrategicacquisitionswithintheGroupwhilemaintainingasteadfastfocusoninnovation,quality,andvalue.
2.HealthyconsumergoodsbusinessOverthepast15years,Purcottonhasdedicateditselftobecomingtheepitomeofsafety,happiness,andsustainabilityintheeyesofconsumers.Inthefuture,followingthestrategicguidelineof“leadingproductswithoperationalexcellence”,theCompanywilladheretothe“fouradherence”:adheringtocorporatevisionandvalues;adheringtonon-wovenoverspun,cottonoversyntheticfiber;adheringtoall-cottonall-categories;adheringtosocialistcorevalues.Bymaintainingstrategicstrength,theaimistoachievetheworld’sunique“Purcotton.”Overthenextthreeyears,inproductleadership:guidedbythevisionofPurcotton,wewillprioritizematerials,innovate,andembracechange.Wewillremaincommittedtobasicmaterialresearchanddevelopmentandcottoncultivation.Throughcotton/geneticmodificationandtechnologicalapplications,weaimtounlockmorepossibilitiesforcotton.Relyingonscienceandtechnologytoempowerall-cottonproducts,ourultimategoalistoestablishasignificantadvantage,leadingtheindustryforward.Clearlyfocusonfivestrategicproductstoestablishanabsoluteadvantage.Throughinnovativemarketingstrategies,deepmarketpenetration,andthegradualdevelopmentofa“cottonforallcategories”brandidentity,weaimtosolidifyourposition.Simultaneously,wewillconcentrateonbest-sellingproducts,activelystreamlineoperations,andfurtherenhanceoverallefficiencytoachieveproductleadership.Intermsofoperationalexcellence,theCompanyhasestablishedanefficientoperationalmechanismcomprisingthreekeyelements.Startingwiththeproductasthefocalpoint,werefineourmarketingandchanneloperationsmanagementmodels.Movingforward,wewillmaintainourfocusonproductbrandingandstorytelling,emphasizingthebrandandproductvaluesofPurcottonandNicePrincess.Wewillenhanceourstrategicproductcontentproductionandmarketingcapabilitiestoenableprecisionmarketing.Thechannelprioritizesthegrowthopportunitiesofstrategicproducts,deliversexcellentcustomerservice,enhancesoveralloperationalawareness,furtherbooststheCompany’soverallprofitability,andachievesoperationalexcellence.
(II)FY2024businessplans
1.MedicalconsumablesbusinessAmidsttheongoing“newhealthcarereform”policy,themedicalindustryisundergoingsignificantchangesandseekingnewideas.Prioritizingessentialsandeliminatingunnecessaryelements,theprocurementofmedicalequipmentbandsisunderway,withdomesticsubstitutionaccelerating.Thedemandceilingforurbanandruralprimaryhealthcareandthesinkingmarketremainsunmet.Meanwhile,theoverseasmarketpatternanddivisionoflaborintheindustrialvaluechainarebeingreshaped.Additionally,meetingthepublic’sdemandformoreconvenientandefficientmedicalservicesimposeshigherdevelopmentrequirementsonenterprises.Meanwhile,theagingpopulation,worseningchronicdiseases,andincreasedhealthawarenessamongthepublichaveheightenedmarketdemandanditerativerequirementsforproductsandservicesintheconsumerhealthcarebusiness.In2024,theCompanywillprioritizefourmanagementthemes:“Aggressiveness,Growth,Efficiency,andTalent”.Wewillfocusonstrategiccategories,deepencultivationanditeration,andenhanceintegratedcombatcapabilitiesthroughrefinedoperationsinoverseasbusiness,serioushealthcare,andconsumerhealthcare.Additionally,wewillboostoperationalexcellencethroughtheupgradingofourdigitalizationstrategy.Withtheseefforts,weaimtoconfidentlynavigatechangesintheglobalmarket,pursuenewgrowthopportunities,explorenewpaths,andstimulatenewmomentum.Ourgoalistomoveforwardsteadilytowardsahundredyearsofdevelopment.
(1)Commoditystrategy:Focusonstrategicproducts,engageindeepiterativedevelopment,consistentlyinnovate,acceleratein-houseresearch,andintegrateindustry,academia,andmedicalsectorsforinnovation.Thisincludestechnology,materials,design,production,andothervaluechainintegrationstoenhancecombatcapability.Theseeffortsaimtodrivetheupgradeofcorecategorycompetitiveness,establishanabsoluteleadingpositioninstrategicproductmarketsegments,andfosterbrandandscenemindfulnesstosupporttheCompany’soverallstrategicdevelopment.
(2)Channeloperation:Breakthrougheachtrackwiththreekeystrategies,continuouslyadjustthecategorystructure,andprioritizestrategiccategoriesandcustomers.Enhanceoperationalthinking,strengthenthefoundation,refineoperations,andimproveexecutionefficiency.Prioritizecustomer-centricityandenhanceintegrationandsynergy.
(3)Onthemanufacturingside,weaimtopreciselyalignandfocusonstrategiccategoriesandstrategiccustomers.Weadoptaproactiveandinnovativeapproach,embracingchangewithazeromindset.Bybenchmarkingagainstindustrystandards,wecontinuouslystriveforcostreduction,efficiencyenhancement,costcontrol,andsupplyassurance.Thiscomprehensiveeffortaimstoupgradeourmanufacturingcapabilities,creatingmodernized,high-technology,high-efficiency,andhigh-qualityproductivity.Simultaneously,wecontinuetoacceleratetheintegrationandcoordinationofM&Abusinesswithinthegroup.Westrengthenpost-investmentmanagement,empowerandsupportinvesteecompanies,anddriveprogressandexecutionofnewbusinessandprojectstoachievemaximumvalue.
2.HealthyconsumergoodsbusinessTheexternalenvironmentischanging,buttheoveralltrendofconsumers’awarenessofsocialandenvironmentalprotectionandtheconceptofsustainablelivingremainsunchanged.Inthetrillion-dollarindustrytrack,therelentlesspursuitofqualitylifestylesbymid-to-high-endusershascreatednewconsumptionopportunities.Nationalbrandsareinnovatingandgrowing,markinganeraofeconomicstrengthandnationalself-confidence.Socialawarenessofenvironmentalprotectionandtheconceptofsustainablelivingisontherise,withthe“all-cotton”conceptleadingthetrendofthenewera.In2024,guidedbythestrategicprinciplesofleadingproductswithoperationalexcellence,theCompanyprioritized“aggressiveness,growth,efficiency,andtalent”asthefourmajorbusinessthemes.Itformulatedaseriesofbusinessplansformerchandise,branding,marketing,channels,supplychain,andmore.
(1)Commoditystrategy:Focusonfivestrategiccategoriestoensureleadershipinmarketshareandcompetitiveness,drivingpenetrationacrosstheentirecategoryscene.
(2)Brandstrategy:ContinuouslystrengthenthebranddevelopmentofthePurcottonflagshipbrandwhilemanagingtheNicePrincesssub-brand.Maintainadual-brandoperation,ensuringseamlessvaluetransferandconsistencyinproducteffectiveness.
(3)Marketingstrategy:IntegrateoperationsaroundthestrategiccategoryGTM(Go-To-Market),strengthenscientificcommunicationaroundproductsellingpoints,andemploysocialmediafordifferentiatedproductseedingtoachieveextensivebrandmarketingpenetrationandensurecommercialsuccess
(4)Channelstrategy:Maintainoperationalexcellence,focusingonplatform/storetraffic,customerorders,conversionmetrics,andsolidfoundationalmanagement.Strengthenuserengagementamonghigh-valueusers,enhanceusercommunicationcapabilities,reinforcebrandstrength,improveperformance,andincreaserevenue.
(5)Supplychainstrategy:Establishacomprehensiveorganizationalandoperationalmechanism,enhancingtheagilityandcapabilityofomni-channelcommodityoperations.Wewillestablishaquick-responsemechanism,withafocusonstrategiccorefabrics,strengthenprocurementandsuppliermanagementcapabilities,enhancecollaborationwithglobalfirst-classsuppliers,andstreamlinetheentirechainfromR&Dtosupplytodelivery.In2024,opportunitiesandchallengescoexist.Confrontingrisksandchallengesinbothdomesticandinternationalmarketeconomies,competitors,andthenaturalenvironment,theCompanyremainscommittedtosustainabledevelopmentandvaluecreationforcustomersandconsumers.WewidentheCompany’scompetitiveadvantagethroughoperationalexcellence,achievemarketleadershipthroughproductinnovation,andstrideconfidentlytowardourcentennialmilestone!TheabovebusinessplandoesnotconstituteacommitmentbytheCompanytoinvestors.Investorsareadvisedtoinvestrationally,beawareofinvestmentrisksandunderstandthedifferencesbetweenbusinessplansandcommitments.(III)PossibleriskstotheCompany
1.RiskofchangesinindustrypoliciesandstandardsMedicaldevice,whichdirectlyaffectsusers’lifeandhealthsafety,hasbeenakeysupervisedindustry.Inrecentyears,asChinafurtherdeepensthereformofthemedicalandhealthsystem,relevantgovernmentdepartmentshaveintroducedaseriesofregulationsandpoliciesonindustrystandards,bidding,priceformationmechanisms,circulationsystems,etc.,whichhaveawideandprofoundimpactonthedevelopmentofthemedicaldeviceindustry.IftheCompanyfailstoadapttoprofoundchangesinindustrypoliciesinatimelymanner,itmayimpacttheCompany’soperations.
2.RiskofrawmaterialpricefluctuationsandcountermeasuresTheCompany’smainrawmaterialsarecottonaswellascottonyarnandcottongreigefabricformedicalusemadefromcotton.Thepricesofcottonareaffectedbymultiplefactorssuchasplantingarea,naturalproduction,inventorycycle,agriculturalpricepolicyoforigin,consumerdemandandevenfuturesprices.Inaddition,thepricesofimportedcottonarealsoaffectedbyotherfactorssuchasinternationaltradepoliciesandexchangeratefluctuations.Ifthepurchasepriceofrawmaterialssuchascottoncontinuestoriseinthefuture,itwillhaveagreatercostpressureontheCompany’sproductionandoperation.IftheCompanyfailstotheadjustmentofsalespricewiththatofrawmaterialprice,itmayhaveanegativeimpactonthestabilityoftheCompany’sprofitability.Tomanagetheriskofcottonpricefluctuations,theCompanyemploysacottonprocurementstockingmechanism.Typically,itprocurescottonatrelativelylowprices.Whencottonpricesincreasetoacertainlevel,theCompanyadjuststhesalespriceaccordinglyandcontrolsthesalespricediscounttomitigatetheadverseimpactonprofitability.TheCompanywillinvestincottonderivativeproductsattheappropriatetimetomitigatetheimpactofcottonpricefluctuationsonitsperformance.
3.ExchangeraterisksandcountermeasuresMedicalconsumablesarethemainexportsoftheCompany,whicharesettledinmajorinternationalcurrenciessuchasUSdollars.In2023,theCompany’sforeignsalesamountintheoverallrevenueaccountedfor11%.Additionally,exchangeratefluctuationswillaffectthecostofcottonpurchasedbytheCompanyfromabroad.Inrecentyears,withtheacceleratedpaceofChinaYuaninternationalizationandfurthermarketizationoftheChinaYuanexchangerateformationmechanism,theexchangerateflexibilityofChinaYuanhasincreased.FluctuationsintheRMBexchangeratewill,ontheonehand,affecttheCompany’sproductexportsalesprices;ontheotherhand,itwillalsocausetheCompanytogenerateexchangegainsandlosses.SupposethereisasignificantappreciationofChinaYuaninthefuture.Inthatcase,itwillaffecttheCompany’spricecompetitivenessinoverseasmarkets,andcauseexchangelosses,whichwilladverselyaffecttheCompany’soperatingincomeandprofits.
ToreducetheimpactofexchangeratefluctuationsontheCompany’sperformance,(1)forlong-termstablecustomers,theCompanyhasanagreedpriceadjustmentmechanism,andincaseofsignificantfluctuationsinkeyelementsaffectingtheprice,thepriceshallbeadjustedgenerallyaccordingtotheagreedpriceadjustmentmechanism;andatthesametime,theCompanyadjuststhequotationcyclefornewordersreceived,shortensthequotationcycle,andadjuststhequotationexchangerateinatimelymanner;Secondly,theCompanyconductsforwardsettlementandsaleofforeignexchangebusinessforhedgingpurposesaccordingtothemarketsituation.Itlocksintheforwardsettlementexchangerateinadvancetoreducetheriskandhedgeagainstexchangeratefluctuationsininternationalbusiness.Thirdly,theCompanywillenhanceresearchandanalysisofexchangerates,closelymonitorchangesintheinternationalmarketenvironment,adjustbusinessstrategiesasnecessary,andminimizetheriskofexchangeratefluctuations.
4.ImpairmentriskofgoodwillandcountermeasuresToestablishacomprehensivesolutionformedicalconsumables,since2022,theCompanyacquiredLongtermMedical,WinnerMedical(Hunan)andWinnerGuilintoimproveitsindustrialchain.AsofDecember31,2023,thecarryingvalueofgoodwillamountedto860billionyuan,representing7.49%oftheequityattributabletotheownersoftheparentcompany.TheCompanywillconductimpairmenttestsongoodwillattheendofeachyearandwillmakeprovisionsforimpairmentbasedontheresultsofthesetests.Therefore,thereisariskofgoodwillimpairment,whichcouldnegativelyimpactnetprofit.duetoshiftsinthemedicalconsumablesindustryandmarketconditions,thetwosubsidiaries,WinnerMedical(Hunan)andWinnerGuilin,acquiredbytheCompanyin2022,experiencedlower-than-expectedperformanceduringthereportingperiod.Signsofgoodwillimpairmentemerged,promptingtheCompanytoengageYinxinAppraisalCo.,Ltd.foragoodwillassessment.Theassessmentrevealedagoodwillimpairmentof160millionyuanforWinnerMedical(Hunan)and30millionyuanforWinnerGuilin,significantlyimpactingtheincomestatementfortheperiod.Todealwiththeriskofimpairmentofasgoodwill,theCompanywillmakemoreeffortstostrengthenitsbusinessmanagement,improveitsbusinessperformanceandreducetheriskofassetimpairment.
5.RiskofnotreceivingreimbursementfortheMedicalInvestmentProjectofWinnerMedical(Heyuan)and
countermeasuresDuetotheplanningofthesquareofHeyuanHigh-speedRailwayStationandthesurroundinghigh-speedrailwaynewtownalongtheJiangxi-ShenzhenHigh-speedRailway,theAgreementonInvestmentandConstructionofMedicalPackageandCottonHouseholdGoodsProductionProjectenteredintobyandbetweentheCompanyandthePeople’sGovernmentofZijinCounty,HeyuanCityinMay2016couldnotbefulfilled.InNovember2019,theInternationalArbitrationCourtinGanjiangNewDistrictissuedanAwardconfirmingtheterminationoftheAgreementonInvestmentandConstructionofMedicalPackageandCottonHouseholdGoodsProductionProject,andthePeople’sGovernmentoftheZijinCountyshallcompensatetheCompanyforeconomiclossesof550millionyuan,with50%tobepaidbythePeople’sGovernmentofZijinCountybyDecember31,2019and50%byFebruary29,2020.Asofthedisclosuredateofthereport,theCompanyhasreceivedalandtransferdepositof3millionyuanandacompensationpaymentof330millionyuanreturnedbythePeople’sGovernmentofZijinCounty.Thereisariskthattheremainingamountof220millionyuanmaynotbereceivedontimeinaccordancewiththeAward.TheCompanyhasmadeaprovisionforbaddebtsof110millionyuaninaccordancewiththeaccountingpolicy.TheCompanyhasappliedtothecourtforenforcementandhasbeenacceptedbythecourt.TheCompanyiscurrentlycloselyfollowinguponthesubsequentpaymentplanofthePeople’sGovernmentofZijinCounty,HeyuanCity.
6.RisksofproceedsprojectsandcountermeasuresTheCompanyplanstoallocatetheproceedsfromthislistingtotheconstructionprojectsofadvancedwounddressingproductionlines,amarketingnetwork,anR&DCenterandadigitalmanagementsystem.Suchprojects’developmentprogressandoperationwillcontributetotheCompany’sdevelopmentandprofitabilityinthenextfewyears.In2023,the“High-enddressingproductionlineconstructionproject”,“PhaseIIExpansionProjectofWinnerMedicalWuhan”and“WinnerIndustrialPark(Jiayu)Project”allreachedtheirintendedoperationalstatus.TheseprojectswereofficiallyclosedinJanuary2024,andthesurplusfundswereusedtobolstertheCompany’sworkingcapital.Otherprojectsareprogressingasplanned.AsofDecember31,2023,theremaining250millionyuanhadnotbeenutilized.Basedonthefuturemarketforecast,theCompanyhasconductedaprudentialandsufficientfeasibilitystudyanddemonstrationoftheproceedsinvestmentproject.ThankstotheCompany’srichbusinessexperienceandmarketfoundationaccumulatedovertheyears,itisexpectedthattheproceedsinvestmentprojectcouldrealizegoodinvestmentincome.However,iftherearechangesinexternalfactorssuchastheindustrymarket,itcannotruleoutthatsomeprojectsmaynotbeimplementedasscheduledortheactualinvestmentreturnsmaybelowerthanexpected.Inaccordancewithchangesintheexternalmarketandtheinternalcontrolandmanagementsystemofproceedsprojects,theCompanywillstrictlycontroltheprogressofcapitalinvestmentinvariousprojectsandkeepaneyeontheriskofprojectinvestment.
7.RisksassociatedwiththeUrbanRenewalProjectofWinnerIndustrialParkTheLonghuaDistrictGovernmentofShenzhenapprovedaspecialplanfortheurbanrenewalprojectoftheUrbanRenewalProjectofWinnerIndustrialParkinMay2023.Theplanoutlinedatotalareaof138,915squaremeters,with88,450squaremetersdesignatedforresidentialuse,39,740squaremetersforcommercial,office,andhotelbuildings,and10,725squaremetersforpublicfacilities(includingundergroundstructures).Followingthisapproval,theCompanyfinalizedanagreementwithitspartner,SINDAGroup,inJuly2023,regardingtherelocation,compensation,andresettlementoftheurbanrenewalunitwithintheUrbanRenewalProjectofWinnerIndustrialPark.Subsequently,theCompanycarriedoutsiteclearanceandothernecessarytasksaspertheagreement.AsofDecember31,2023,theCompanyhadreceivedatotalof250millionyuanincash:A50millionyuandepositwasreceivedinApril2017.InFebruary2020,100millionyuanwasreceivedasprepaidrelocationcompensation.Another100millionyuan,theinitialinstallmentofmonetarycompensationaccordingtotherelocationcompensationandresettlementagreement,cameinJuly2023.Duetosignificantshiftsintherealestatemarket,inJanuary2024,afterfriendlynegotiations,bothSINDAGroupandtheCompanyagreedtotemporarilyhalttheproject’sconstruction.TheysignedtheConfirmationLetterontheRevocationofthe“RelinquishmentofRealEstateRightsStatement”,confirmingthesuspensionofconstructionadvancement.TheCompanytemporarilyrescindedtheStatementofRenunciationofRealEstateRightsentirely,withdrawingallrelatedstatements,andsimilarlywithdrewtheDeclarationofWaiverofRealEstateRightsundertheAgreement,nullifyingitscontents.Consequently,uncertaintyloomsovertheproject’scompletiontimeline.TheCompanycommitstocloselymonitoringrealestatemarketdynamics,fosteringcommunicationwithSINDAGroup,andcollaborativelyreinstatingprojectimplementationwhentherealestatemarketrebounds.
XII.Registrationformsforreceptionsofsurveys,communication,interviewsandotheractivitiesduringthereportingperiod
√Applicable□NotapplicableTheCompanyprioritizesinvestorcommunication,valuingopportunitiestoengagewithstakeholders.Weactivelyaddressinquiriesandwelcomesuggestionsfrominvestors,strivingtocultivateapositivecapitalmarketenvironment.Duringthereportingperiod,theCompanyattractedover600institutionalinvestorsofdiverseprofiles.
| Time | Location | Method | Typesofobjects | Objects | Maincontentsofdiscussionsanddocumentsprovided | Basicinformationindexofsurveys |
| January17,2023 | Headquarterconferencerooms | Telephonecommunication | Institutions | 119investors,includingChinaSouthernFund,FullgoalFundandInvescoGreatWallFunds | 2022annualperformanceforecast | Fordetails,pleaserefertoSZSEInteractiveEase |
| February18,2023 | Headquarterconferencerooms | Telephonecommunication | Institutions | 32investorsincludingHuataiAssetManagement,PingAnFund,andNomuraAssetManagement | Businessoverviewandoperation | Fordetails,pleaserefertoSZSEInteractiveEase |
| February20,2023 | Headquarterconferencerooms | Telephonecommunication | Institutions | 53investorsincludingBoshiFund,ChinaMerchantsFund,andCICCAssetManagement | Businessoverviewandoperation | Fordetails,pleaserefertoSZSEInteractiveEase |
| April25,2023 | Panoramastudio | Others | Others | 87investorsandmediaincludingSouthernFund,DachengFund,and21stCenturyBusinessHerald | FY2022operation | Fordetails,pleaserefertoSZSEInteractiveEase |
| April26,2023 | Headquarterconferencerooms | Telephonecommunication | Institutions | 80investors,includingGFFund,ChinaAMC,WanJiaAssetManagement | Businessoverviewandoperation | Fordetails,pleaserefertoSZSEInteractiveEase |
| June5,2023 | Headquarterconferencerooms | Fieldsurveys | Institutions | 4investors,includingCCBWealthManagement,DanyiInvestment,ChinaEuropeFund | Businessoverviewandoperation | Fordetails,pleaserefertoSZSEInteractiveEase |
| July14,2023 | Headquarterconferencerooms | Telephonecommunication | Institutions | 104investors,includingChinaSouthernFund,DachengFundandInvescoGreatWallFunds | Businessoverviewandoperation | Fordetails,pleaserefertoSZSEInteractiveEase |
| August16,2023 | Headquarterconferencerooms | Fieldsurveys | Institutions | 164investorsincludingHarvestFund,ChinaEuropeFund,HSBCJinxin | 2023Half-YearOperations | Fordetails,pleaserefertoSZSEInteractiveEase |
| October24,2023 | Headquarterconferencerooms | Telephonecommunication | Institutions | 110investorsincludingGuoTaiFund,HuaAnFund,andDajiaAssetManagement | Businessoverviewandoperation | Fordetails,pleaserefertoSZSEInteractiveEase |
XIII.Progressonthe“DualEnhancementofQualityandReturns”actionplan
HastheCompanydiscloseditsactionplanfor“DualEnhancementofQualityandReturns”?
√Yes□NoTheCompanydetaileditsconceptof“DualEnhancementofQualityandReturns”byfocusingonbuildinghigh-qualitycorebusinessdevelopment,strengtheningcorporategovernance,fulfillingsocialresponsibility,providinghigh-qualityinformationdisclosure,andemphasizinginvestorreturns.Intermsofadvancinghigh-qualitycorebusinessdevelopment,theCompanyalwaysupholdsthevisionof“caringforhealthandlife,makingabetterworld”,withamissionto“pioneerthemovementtowardoptimalhealthandfosteringharmonybetweenhumanityandtheenvironment”.Itadherestothefourcorporatevaluesof“hardwork,self-criticism,explorationandinnovation,andsustainabledevelopment”.TheCompanyoperatesunderthestrategicdirectionof“withleadingproductsasthedirection,innovativeR&Dasthecore,brandmarketingasthedriver,digitaloperationasthefoundation,intelligentmanufacturingastheweapon,andhigh-quality,high-efficiency,high-performanceandhigh-returntalentsastheguarantee,tobuildanewchapterofhigh-qualitydevelopment”.WinnerMedicalwillstayactivetoseekopportunitiesforoutwardmergersandacquisitionssoastomakegreatstridestowardsthestrategicgoalof“leadinginmedicalconsumablesandprovidingone-stopmedicalconsumablessolutions”.InFY2023,theCompanyexperiencedrobustgrowthinrevenuefromitscoremedicalproducts,whilePurcottonexpandeditsofflinestorenetwork.Moreover,theCompanysignificantlyincreaseditspatentportfolioandactivelycontributedtothedevelopmentofnational,industry,andgroupstandards.Regardingcorporategovernanceandsocialresponsibility,theCompanycontinuedtostrengthenitsgovernancestructure,enhanceinternalcontrols,andimproveriskmanagementpractices.Theseinitiativesfacilitatedinformeddecision-makingandsustainedcorporatedevelopmentwhilesafeguardingshareholders’interests.TheCompanyhasbeenrecognizedwithhonorssuchasthe“BestPracticesofDirector’sOffice”and“5ALevelPerformanceEvaluationofSecretaryoftheBoardofDirectors”bytheChinaListedCompaniesAssociation(CLCA)fortwoconsecutiveyears.Forthreeyearsrunning,theCompanyhasvoluntarilypublisheditsCorporateSocialResponsibilityReportorEnvironmental,Social,andGovernanceReport,demonstratingitsimpactfulsocialresponsibilitypractices.AsamemberoftheUnitedNationsGlobalCompact,theCompanyactivelypursuessustainabledevelopmentstrategiesandhasreceivedthe2021UnitedNationsGlobalCompactBestPracticeCasesforChineseEnterprisesaward.Ithasalsobeenhonoredwiththe“ExcellentPracticeCasesofESGforListedCompanies”bytheChinaListedCompaniesAssociationforthreeconsecutiveyears.Regardinginformationdisclosure,theCompanynotonlymeetsstatutoryobligationsinaccordancewithsecuritieslawsandregulationsbutalsoproactivelysharesadditionalvaluableinformationforinvestors.TheCompanyhasbeenfeaturedasanoutstandingcaseintheShenzhenStockExchangeGEMBoard’sannualreportfortwoconsecutiveyears.Furthermore,ithasconsistentlyreceivedanAratingininformationdisclosureassessmentsbytheShenzhenStockExchangesinceitslistinginFY2021andFY2022.Intermsofinvestorreturns,sinceitslistinginSeptember2020uptothedateofthisreport’sdisclosure,theCompanyhasexecutedcashdividendstotaling1.94billionyuan(excludingtheproposedcashdividendsforFY2023)andsharebuybacksamountingto640millionyuan,summingupto2.58billionyuan,whichrepresents72.51%ofthenetproceedsraisedduringitsdebut.Amongthese,6,094,659shares(equivalentto1.03%oftheCompany’stotalsharecapitalbeforecancellation)wererepurchasedinMarch2024forsubsequentcancellation.Furthermore,theCompanydisclosedtheAnnouncementonthePlansofCertainDirectors,Supervisors,andSeniorManagementoftheCompanytoIncreaseTheirPurchasesoftheCompany’sSharesonJanuary30,2024.ThisannouncementoutlinedintentionsbyMr.FangXiuyuan,Director,DeputyGeneralManager,andChiefFinancialOfficer,Ms.XuXiaodan,Director,Ms.LiuHua,Supervisor,Ms.ChenHuixiang,ViceGeneralManagerandSecretarytotheBoardofDirectors,Ms.ZhangLi,DeputyGeneralManager,andotherDirectorsandSupervisorstoincreasetheirpurchasesoftheCompany’ssharesbyatotalamountrangingfrom3.15millionyuanto6.3millionyuan.Asofthereport’sdisclosuredate,theaforementioneddirectorsandsupervisorshadcollectivelyincreasedtheirholdingsby96,800sharesand
3.1049millionyuanintotal.
I.BasicstateofcorporategovernanceTheCompanystrictlycomplieswiththeCompanyLawofthePeople’sRepublicofChina,theSecuritiesLawofthePeople’sRepublicofChina,theCodeofCorporateGovernanceforListedCompanies,theShenzhenStockExchangeGEMListingRules,theStandardizedOperationofListedCompaniesintheNo.2GuidelineofShenzhenStockExchangeSelf-RegulatoryGuidelinesforListedCompanies,andotherrelevantlawsandregulationspromulgatedbytheCSRCandShenzhenStockExchange,andformulatestheArticlesofAssociationandotherinternalcontrolrulesandregulationstostandardizetheCompany’sbehavior.ThecorporategovernancestructureconformstorelevantnormativedocumentsonlistedcorporategovernanceissuedbyChinaSecuritiesRegulatoryCommission.
1.Shareholdersandgeneralmeetingofshareholders
InstrictaccordancewiththeCompanyLawofthePeople’sRepublicofChina,theSecuritiesLawofthePeople’sRepublicofChina,theRulesofShareholders’MeetingofListedCompanies,theArticlesofAssociationandtheRulesofProcedureofShareholders’Meeting,theCompanystandardizestheproceduresofconvening,holdingandvoting,etc.ofthegeneralmeetingofshareholders,treatsallinvestorsequally,andenablesthemtofullyexercisetheirrightstoensuretherightsandinterestsofminorityshareholders.TheCompanyemployslawyerstoattendthegeneralmeetingofshareholdersasnonvotingdelegatesandissuelegalopinionsontheholdingandvotingproceduresofthegeneralmeetingofshareholders,fullyrespectingandsafeguardingthelegitimaterightsandinterestsofallshareholders.
2.Companyandcontrollingshareholders,actualcontroller
TheCompanyhasindependentandcompletemainbusinessandindependentmanagementability,independentfromthecontrollingshareholdersandactualcontrollersinpersonnel,assets,business,managementorganizationandfinancialaccountingsystem,andcanindependentlyoperate,independentlymanageandbearresponsibilitiesandrisks.ThecontrollingshareholdersandactualcontrollersoftheCompanycanexercisetheirrightsandundertakecorrespondingobligationsinaccordancewiththelaw.Duringthereportingperiod,therewasnobehaviordirectlyorindirectlyinterferingintheCompany’sdecision-makingandbusinessactivitiesandusingitscontrollingpositiontoinfringeontheinterestsofothershareholdersbeyondtheauthorizationofthegeneralmeetingofshareholdersandtheboardofdirectors,whichhadnoadverseimpactonthecorporategovernancestructureandindependence.Basedonitsconfidenceinthelong-termdevelopmenttrendsofbothdomesticandforeignmedicalandconsumerindustries,aswellasitsrecognitionofthevalueofWenwenMedicalanditsstrategicvision,WinnerGroupvoluntarilycommittedtoextendingthelock-upperiodforitssharesofWenwenMedicalfromSeptember16,2023,toSeptember16,2024.
3.Directorsandboardofdirectors
ThedirectorsoftheCompanydonothavethecircumstancesthattheyarenotallowedtobedirectorsoftheCompanyasstipulatedinArticle146oftheCompanyLaw.Theirappointmentandremovalstrictlycomplywiththeboardofdirectors’approvalproceduresandtheshareholders’generalmeeting,andthereisnoconflictwithrelevantlaws,regulationsortheArticlesofAssociation.Alldirectorsworkstrictlyanddiligentlyduringtheirtenure,cancontinuouslypayattentiontotheCompany’soperatingconditions,activelyparticipateinrelevanttraining,andimprovethestandardoperationlevel;activelyparticipateintheboardmeetings,givefullplaytotheirownprofessionalexpertise,makeprudentdecisionsandsafeguardtheinterestsoftheCompanyandthemajorityofshareholders.TheconveningandholdingproceduresoftheboardmeetingoftheCompanymeettherequirementsofrelevantregulations;thecontentsofpreviousboardmeetingminutesaretrue,accurate,completeandundersafepreservation;theresolutionsofthemeetingsarefully,accuratelyandtimelydisclosed.UndertheBoardofDirectorsisaStrategyandSocialResponsibilityCommittee,aNominationCommittee,aRemunerationandAssessmentCommitteeandanAuditCommittee.
4.Supervisorsandboardofsupervisors
ThesupervisorsoftheCompanydonothavethecircumstancesthattheyarenotallowedtobesupervisorsoftheCompanyasstipulatedinArticle146oftheCompanyLaw.TheirqualificationsmeettherelevantrequirementsoftheArticlesofAssociation.Theproceduresforconvening,holdingandvotingoftheboardofsupervisors’meetingsoftheCompanyconformtotheRulesofProcedureoftheBoardofSupervisors.TheCompany’ssupervisorscanexercisethefunctionsandpowersoftheboardofsupervisorsandfulfilltheirdutiesdiligently.
5.PerformanceevaluationandincentiveandrestraintmechanismsThroughperformanceevaluation,theCompanycaneffectivelymakeacomprehensiveevaluationoneachemployee,andfurtherunderstandseachemployee’sworkabilityandexpertise,soastoeffectivelyadjusttheappropriatepositionandachievethegoalofperformanceevaluation.TheCompanyisgraduallyimprovingitsperformanceevaluationmechanism.SeniorandmiddlemanagementremunerationislinkedtotheCompany’soperatingperformanceindicators.TheCompanyhasestablishedanenterpriseperformanceevaluationandincentivesystem.Theperformanceevaluationstandardsandevaluationproceduresofdirectors,supervisorsandseniormanagersarefairandtransparent.TheirincomeislinkedtotheCompany’soperatingperformance.Theappointmentofseniormanagersisopenandtransparent,complyingwiththeprovisionsoflawsandregulations.
6.Informationdisclosureandtransparency
Duringthereportingperiod,theCompanydisclosedtheCompany’sinformationtruthfully,accurately,completely,timelyandfairlyinstrictaccordancewiththerequirementsofrelevantlawsandregulations,ArticlesofAssociationandManagementSystemofInformationDisclosureAffairs.TheCompanyhasdesignatedChinaSecuritiesJournal,ShanghaiSecuritiesNews,SecuritiesTimesandSecuritiesDailyasthedesignatedpapermediaforinformationdisclosureoftheCompany,andCNINFO.comisthewebsitespecifiedfortheinformationdisclosuretoensurethatallshareholdershavefairaccesstotheCompany’sinformation.Sinceitslistingin2020,theCompanyhasconsistentlyearnedthehighestinformationdisclosureratingofAfromtheShenzhenStockExchangefortwoconsecutiveyears,in2021and2022.
7.Investorrelationsmanagement
FollowingtherequirementsofrelevantlawsandregulationsandtheInvestorRelationsManagementSystem,theCompanydesignatesthesecretaryoftheboardofdirectorsasthepersoninchargeofinvestorrelationsmanagement,responsibleforcoordinatinginvestorrelations,receivingshareholders’visits,answeringinvestors’inquiries,providinginvestorswiththeinformationdisclosedbytheCompany,etc.TheCompanyrespondstoinvestors’inquiriesthroughtelephone,e-mail,investorrelationsinteractiveplatform,investorreceptiondayandotherforms,whichstrengthensinformationcommunication,promotesbenigninteractionwithinvestors,andeffectivelyimprovesthetransparencyoftheCompany.Furthermore,theCompanyhasbeenrecognizedwithhonorssuchasthe“ExcellentPracticeCasesofAnnualReportPerformanceBriefingMeeting”bytheChinaListedCompaniesAssociationforthreeconsecutiveyearsfrom2021to2023.Italsoreceivedthe“TianmaAwardforInvestorRelationsofChinaListedCompanies”bytheSecuritiesTimesin2022,andtheChinaListedCompanyInvestorRelationsAwardin2023fromthePublicCompanyAssociation,highlightingitsexceptionalpracticesininvestorrelationsmanagement.
8.Stakeholders
TheCompanyfullyrespectsandsafeguardsthelegitimaterightsandinterestsofrelevantstakeholders,realizesthecoordinationandbalanceofinterestsoftheshareholders,employees,doctorsandpatients,societyandotherparties,paysattentiontoenvironmentalprotectionandactivelyparticipatesinpublicwelfareundertakingswhilerealizingthesustainableandhealthydevelopmentoftheCompanyandtheinterestsofshareholders.
9.Establishmentandimplementationofaninternalauditsystem
Anauditcommitteeissetupundertheboardofdirectorstoestablishaninternalauditsystem,andisresponsibleforthecommunication,supervision,meetingorganizationandverificationoftheCompany’sinternalandexternalaudit.TheInternalAuditDepartmentundertheauditcommitteeisthedailyoffice.Undertheleadershipoftheauditcommittee,itindependentlyexercisesitsfunctionsandpowerstoinspectandsupervisetheestablishmentandimplementationoftheCompany’sinternalcontrolsystem,theauthenticityandintegrityoftheCompany’sfinancialinformation,andtheefficiencyandeffectofbusinessactivities.Whetherthereisasignificantdifferencebetweentheactualsituationofcorporategovernanceandtherulesonlistedcorporategovernanceprescribedbylaws,administrativeregulationsandtheChinaSecuritiesRegulatoryCommission
□Yes√NoThereisnosignificantdifferencebetweentheactualsituationofcorporategovernanceandtherulesonlistedcorporategovernanceprescribedbylaws,administrativeregulationsandtheChinaSecuritiesRegulatoryCommission
II.IndependenceoftheCompanyfromitscontrollingshareholdersandactualcontrollersintermsofguaranteeingassets,personnel,finance,institutionsandbusinessSinceitsestablishment,theCompanyhasstandardizeditsoperationinaccordancewiththeCompanyLawofthePeople’sRepublicofChina,theSecuritiesLawofthePeople’sRepublicofChinaandotherrelevantlawsandregulationsaswellastherequirementsoftheArticlesofAssociation,establishedandimprovedthecorporategovernancestructure,completelyseparatedfromtheexistingshareholdersinbusiness,assets,personnel,organizationsandfinance,andhasacompletebusinesssystemandtheabilitytooperateindependentlyinthemarket.
1.AssetindependenceTheCompanyhasindependentandtotalassetswithclearownership,aseparateproductionsystem,auxiliaryproductionsystemandsupportingfacilities,andhaslegalrightofplants,land,equipment,trademarks,patents,non-patentedtechnologyandotherassetsrelatedtoproductionandoperation.IthascompletecontroloveralltheassetsoftheCompany,andthereisnobehaviorofcontrollingshareholdersandactualcontrollersoccupyingtheassetsoftheCompany.
2.Personnelindependence
TheCompanyhassignedlaborcontractswithitsemployees,hasindependentlabor,personnel,salaryandwelfaresystems,andmaintainsindependencewithitscontrollingshareholders,actualcontrollersandotherenterprisesundertheircontrol.TheCompanyhasestablishedasoundcorporategovernancestructure,andthedirectors,supervisorsandseniormanagersarelegallyselectedinstrictaccordancewiththeCompanyLaw,ArticlesofAssociationandotherrelevantprovisions.Thegeneralmanager,deputygeneralmanager,financialchief,secretaryoftheboardofdirectorsandotherseniormanagersoftheCompanydonotholdanyotherpositionsexceptdirectors,supervisorsandlimitedpartnersinthecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem,anddonotreceiveasalaryinthecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.ThefinancialpersonneloftheCompanydonotworkpart-timeintheenterprisesofcontrollingshareholders,actualcontrollersorotherenterprisescontrolledbythem.
3.Financialindependence
TheCompanyhassetupanindependentfinancialdepartment,equippedwithfull-timefinancialpersonnel,andhasestablishedanindependentfinancialaccountingsystem.TheCompanycanmakefinancialdecisionsindependently,andhasastandardizedfinancialaccountingsystemandinternalcontrolsystem,suchasinternalfinancialmanagementsystemforbranchesandsubsidiaries.ThereisnosituationofcontrollingshareholdersinterferinginusingtheCompany’sfunds.TheCompanyhasanindependentbankaccountanddoesnotsharethebankaccountwiththecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.Asanindependenttaxpayer,theCompanymakestaxreturnsandfulfillsitspaymentobligationsindependentlyinaccordancewiththelaw.Thereisnosituationofmixedtaxpaymentwiththecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.TheCompany’sfinancialoperationisindependentofthecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.
4.Organizationindependence
InstrictaccordancewiththeCompanyLawofthePeople’sRepublicofChina,ArticlesofAssociationandotherrelevantprovisions,theCompanyhasestablishedandimprovedtheGeneralMeetingofShareholders,theBoardofDirectors,theBoardofSupervisors,themanagementdepartmentandthecorrespondingrulesofprocedureofthethreemeetings,andformedaperfectcorporategovernancestructureandstandardizedoperationsystem.Accordingtothedevelopmentneedsofproductionandoperation,theCompanyhassetupcorrespondingofficesandproductionandoperationorganizations,andindependentlyexercisedtheoperatingmanagementauthority,andhascompleteprocurement,R&D,production,salessystemsandsupportingdepartments.TheCompany’sproduction,operationandofficearestrictlyseparatedfromthecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem,andthereisnomixedoperationorjointofficewiththecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.
5.BusinessindependenceTheCompanyhasthecorrespondingqualificationsrequiredforoperation,independentandcompletebusinesssystem,informationsystemandmanagementsystem,etc.necessarytoengageinoperatingbusiness,andindependentandcompleteR&D,productioncapacity,procurementandsalesbusinesssystems.ThebusinessoftheCompanyisindependentofthecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.Thereisnodependenceonthecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.Thereisnohorizontalcompetitionorunfairrelatedtransactionwiththecontrollingshareholders,actualcontrollersandotherenterprisescontrolledbythem.
III.Horizontalcompetition
□Applicable√NotapplicableIV.Informationabouttheannualgeneralmeetingofshareholdersandextraordinarygeneralmeetingofshareholdersheldduringthereportingperiod
1.Generalmeetingofshareholdersduringthereportingperiod
| Meetingsession | Meetingtype | Investorparticipationproportion | Conveningdate | Dateofdisclosure | Resolutionsofthemeeting |
| 2022AnnualGeneralMeetingofShareholders | Annualgeneralmeetingofshareholders | 76.92% | May16,2023 | May17,2023 | Proposalsforthe2022AnnualReport,ProposalonthePlanontheProfitDistributionfor2022,ProposalonAdjustingtheUseofProceeds,ExtendingtheConstructionPeriodofSomeFundRaisingProjects,andOtherMatters |
| The1stExtraordinaryGeneralMeetingofShareholdersin2023 | Extraordinarygeneralmeetingofshareholders | 76.50% | July7,2023 | July7,2023 | RegardingadjustmentstotheProposalonAdjustingtheCompany’sScopeofBusiness,RegisteredCapital,andAmendmenttothe“ArticlesofAssociation”,ProposalonNominatingCandidatesfortheThirdSessionoftheBoardofSupervisorsonBehalfofShareholders,andProposalonExecutingRelevantAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialPark. |
| The2ndExtraordinaryGeneralMeetingofShareholdersin2023 | Extraordinarygeneralmeetingofshareholders | 74.85% | September5,2023 | September5,2023 | RegardingtheProposalontheCompany’sFirstEmployeeStockOwnershipPlan(Draft)andmattersrelatedtotheProposalontheManagementMeasuresfortheCompany’sFirstEmployeeStockOwnershipPlan,amongothers. |
2.Thepreferredshareholderswithvotingrightsrestoredrequestanextraordinarygeneralmeetingofshareholders
□Applicable√Notapplicable
V.TheCompanyhasavotingrightsdifferentialarrangement
□Applicable√NotapplicableVI.Corporategovernanceinthered-chipstructure
□Applicable√NotapplicableVII.Directors,supervisorsandseniormanagement
1.Basicinformation
WinnerMedicalName
| Name | Gender | Age | Position | Statusofservice | Startdateoftenure | Enddateoftenure | Numberofsharesheldatthebeginningoftheperiod(shares) | Numberofsharesincreasedincurrentperiod(shares) | Numberofsharesdecreasedincurrentperiod(shares) | Otherincreaseanddecrease(shares) | Numberofsharesheldattheendoftheperiod(shares) | Causesforchangeinshares |
| LiJianquan | Male | 67 | ChairmanandGeneralManager | Incumbent | May18,2015 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| FangXiuyuan | Male | 56 | Director,ChiefFinancialOfficerandDeputyGeneralManager | Incumbent | May18,2015 | July12,2024 | 40,000 | 0 | 16,000 | 56,000 | Listedcompaniesimplementconversionofcapitalreservesintosharecapital | |
| XuXiaodan | Female | 36 | Director | Incumbent | May18,2015 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| GuoZhenwei | Male | 40 | Director | Incumbent | June28,2018 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| PengJianfeng | Male | 63 | Independentdirector | Incumbent | July13,2021 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| XieJiawei | Female | 51 | Independentdirector | Incumbent | July13,2021 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| KeyKeLiu | Male | 60 | Independentdirector | Incumbent | July13,2021 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| ZhangTingting | Female | 38 | ChairmanoftheBoardofSupervisors | Incumbent | July13,2021 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| LiuHua | Female | 51 | EmployeeRepresentativeSupervisor | Incumbent | July13,2021 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| ZhangYan | Female | 40 | Supervisor | Incumbent | July7,2023 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| ChenHuixuan | Female | 42 | Secretarytotheboardofdirectors,deputygeneralmanager | Incumbent | May18,2015 | July12,2024 | 5,300 | 0 | 0 | 2,120 | 5,300 | Listedcompaniesimplementconversionofcapitalreservesintosharecapital |
| ZhangLi | Female | 46 | Deputygeneralmanager | Incumbent | July13,2021 | July12,2024 | 0 | 0 | 0 | 0 | 0 | N/A |
| WangYing | Female | 42 | Formersupervisor | Resign | May18,2015 | July7,2023 | 30,000 | 0 | 0 | 12,000 | 42,000 | Listedcompaniesimplementconversionofcapitalreservesintosharecapital |
| Total | -- | -- | -- | -- | -- | -- | 75,300 | 0 | 0 | 30,120 | 103,300 | -- |
Dismissalofdirectors,supervisorsandseniormanagementinthetermofofficeduringthereportingperiod
√Yes□NoMs.WangYing,theformerSupervisoroftheCompany,submittedawrittenResignationApplicationtotheCompanyonJune5,2023.TheCompanyconvenedtheFirstExtraordinaryShareholders’GeneralMeetingof2023onJuly7,2023,andMs.ZhangYanwasre-electedtofillherpositionasSupervisor.Changeofdirectors,supervisorsandseniormanagement
√Applicable□Notapplicable
| Name | Positionheld | Type | Date | Reasons |
| WangYing | Supervisor | Resign | July7,2023 | Resign |
| ZhangYan | Supervisor | Elected | July7,2023 | Generalmeetingelection |
2.Servicestatus
Professionalbackground,mainworkexperienceandmainresponsibilitiescurrentlyintheCompanyofcurrentdirectors,supervisorsandseniormanagementoftheCompany
(1)BoardofdirectorsMr.LiJianquan,bornin1957,Chinese,apermanentresidentoftheHongKongSpecialAdministrativeRegion;HeholdsacollegedegreeandiscurrentlypursuinganEMBAatPBCSchoolofFinance,TsinghuaUniversity.Hecreatedtwobrandsof“WinnerMedical”and“Purcotton”andservedastheChairmanandGeneralManagerofWinnerMedicalCo.,Ltd.,aswellastheChairmanandGeneralManagerofShenzhenPurcottonTechnologyCo.,Ltd.HeisthefounderoftheMedicalDressingBranchoftheChinaMedicalInsuranceChamberofCommerceandrotatingchairmanofthe“ChinaCottonSustainableDevelopmentProject”oftheChinaCottonAssociation,andwashonoredasoneofthe“40Peopleforthe40
th
AnniversaryoftheShenzhenSpecialEconomicZone”bytheShenzhenMunicipalPartyCommitteeandMunicipalGovernment.Mr.FangXiuyuan,borninAugust1968,Chinese,withoutpermanentresidencyabroad;Collegedegree,ChineseCertifiedPublicAccountant.HeiscurrentlystudyingforaFinanceEMBAattheChineseUniversityofHongKong(Shenzhen).FromJuly1988toApril1998,heservedastheAccountantandChiefofFinanceDepartmentofHubeiMedicalandHealthProductsImportandExportCorporation.Since2000,hehasbeentheDirector,DeputyGeneralManagerandChiefFinancialOfficerofWinnerMedicalCo.,Ltd.Mr.FangXiuyuanconcurrentlyholdsthepostsofChairmanofZhejiangLongtermMedicalTechnologyCo.,Ltd.aswellasanExecutivePartnerofShenzhenPurcottonTechnologyCo.,Ltd.,ShenzhenQianhaiPurcottonE-CommerceCo.,Ltd.,WinnerMedical(Huanggang)Co.,Ltd.,WinnerMedical(Chongyang)Co.,Ltd.,WinnerMedical(Jiayu)Co.,Ltd.,WinnerMedical(Jingmen)Co.,Ltd.,YichangWinnerMedicalTextileCo.,Ltd.,WinnerMedical(Tianmen)Co.,Ltd.,directorofWinnerMedical(Wuhan)Co.,Ltd.andXiamenLeyuanInvestmentPartnership(L.P.).Mr.FangXiuyuaniscurrentlyamemberofthe7
th
ShenzhenStandingCommitteeoftheCPPCCandViceChairmanoftheFederationofIndustryandCommerceofShenzhenLonghuaDistrict(generalchamberofcommerce).Ms.XuXiaodan,bornin1987,Chinese,withoutpermanentresidencyabroad;Sheholdsagraduatediploma.ShejoinedtheCompanyin2010;fromAugust2013toJanuary2015,shewasthePurchasingManageroftheProcurementDepartmentofShenzhenPurcottonTechnologyCo.,Ltd.FromJanuary2015toJanuary2020,sheservedastheDirectorofCommodityCenterofShenzhenPurcottonTechnologyCo.,Ltd.,overseeingcommodities,majorplanning,andprocurement.InMay2015,shealsoassumedtheroleofCompanyDirector.FromFebruary2020toMarch2024,heheldthepositionofDirectoroftheCompany’sStrategicPlanningDepartment.StartingMarch2024,sheservesastheCompany’sChiefInformationOfficer(CIO)andDirectoroftheStrategicPlanningDepartment.Atpresent,Ms.XuXiaodanisalsoaDirectorofWinnerMedical(Heyuan)Co.,Ltd.andWinnerMedical(Wuhan)Co.,Ltd.
Mr.GuoZhenwei,bornin1984,Chinese,withoutpermanentresidencyabroad;BachelordegreeofCentralUniversityofFinanceandEconomics,EMBAMasterDegreeofChinaEuropeInternationalBusinessSchool.FromJuly2007toSeptember2009,hewasaSeniorAuditorofDeloitteToucheTohmatsuLimited;fromSeptember2009toJuly2010,hewasaresearcherofChinaInternationalCapitalCorporationLimited;fromJuly2010tonow,hehasbeenworkingatSequoiaCapitalChinaandiscurrentlythemanagingdirector;fromJune2018tonow,hehasbeenadirectorofWinnerMedicalCo.,Ltd.Atpresent,Mr.GuoZhenweiisalsoadirectorofShijiazhuangJunlebaoDairyCo.,Ltd.,ShanghaiBuyQuicklyTechnologyandServicesCo.,Ltd.,LiuliuOrchardGroupCo.,Ltd.,HangzhouDahitiScience&TechnologyCo.,Ltd.,DeqingJiajunBeverageCo.,Ltd.,SichuanVanovNewMaterialCo.Ltd.,ShanghaiShouquanzhaiE-commerceCo.,Ltd.,LOHOHoldingInc.,DynamicsChinaHoldingCompany,ShanghaiRuishuElectronicCommerceCo.,Ltd.,andGenkiForestTechnologyGroupHoldingsLimited,DirectorofJixiangjuFoodCo.,Ltd.,aswellasasupervisorofShanghaiQiyaoAutomobileTechnologyCo.,Ltd.Mr.KeyKeLiu,bornin1964,American,BachelorandMasterdegreeinChemicalEngineeringofNorthwestUniversity,DoctorateofCityUniversityofNewYork,USA,MasterofManagementofRensselaerPolytechnicInstitute,USA,foreignacademicianofAustralianNationalAcademyofEngineering.HewasaChiefScientistofGEGlobalResearch,adirectorofPowerEnvironmentandEnergyResearchCenter(PEER)oftheCaliforniaInstituteofTechnology,adirectoroftheInternationalPittsburghCoalConference(PCC)Organization,amemberofPCCOrganization,anindependentdirectorofKonfoongMaterialsInternationalCo.,Ltd.,ShenzhenHifutureInformationTechnologyCo.,Ltd.,andHunanYussenEnergyTechnologyCo.,Ltd.Healsohasworkedformanyyearswithwell-knownmultinationalcompaniessuchasExxon-MobilandUTC.HeiscurrentlythedeanoftheSchoolofInnovationandEntrepreneurship,PresidentoftheCleanEnergyResearchInstituteandchairprofessoroftheDepartmentofChemistry,SouthernUniversityofScienceandTechnology,standingdirectoranddeputydirectorofCenterforChinaandGlobalization(CCG),directorofCarnegie–TsinghuaCenter,anddirectorofPuritekCompanyLtd.AfterreturningtoChina,hewasappointedasthedeputydirectorandChiefTechnologyOfficer(CTO)ofNationalInstituteofClean-and-Low-CarbonEnergy.HewasawardedtheTopFiftyChinaOverseas-educatedScholarsinInnovationandEntrepreneurshipin2015,PittAwardin2013andEmeraldHonorsSpecialRecognitionAwardin2006.Mr.PengJianfeng,bornin1961,Chinese,withoutpermanentresidencyabroad;masterdegreeofRenminUniversityofChina.Since1986,hehassuccessivelyservedaslecturer,associateprofessorandprofessorintheSchoolofLaborandHumanResourcesofRenminUniversityofChina;previously,hehadsuccessivelyservedastheindependentdirectorofTellingTelecommunicationHoldingCo.,Ltd.,SunwardIntelligentMachineryCo.,Ltd.,GoertekCo.,Ltd.,ChineseUniversePublishingandMediaGroupCo.,Ltd.,HaierSmartHomeCo.,Ltd.,ChinaMerchantsShekouIndustrialZoneHoldingsCo.,Ltd.andChowTaiSengJewelleryCo.,Ltd.;currentlytheindependentdirectorofJinkoPowerTechnologyCo.,Ltd.,non-independentdirectorofHyteraCommunicationsCorporationLimited,directorofCCBTrustCo.,Ltd.,independentdirectorofKuang-ChiTechnologiesCo.,Ltd.,executivedirectorofChinaStoneManagementConsultingLtd.andexecutivedirectorofChinaStone(Beijing)CorporationCultureManagementConsultingCo.,Ltd.Mr.PengJianfenghasbeendeeplyinvolvedinenterprisesforalongtimetoprovideconsultingservices.HehasbeenemployedasaseniormanagementconsultantandanexpertgroupleaderbyShenzhenHuawei,GuangdongMideaGroup,ShandongLiuheGroup,ENNGroup,etc..Theexpertteamledbyhimhasprovidedconsultingservicesforhundredsoffamousenterprises,andthemanagementconsultingteamledbyhimhascreatedtheHuaweiBasicLaw,CharterofOCT,TCLFightsScalewithSpeed,TheThirdRoadofMidea,Samsung(China)Culture,MeagerProfitManagementandServiceMarketingofShandongLiuheGroup,ThreeMechanismsandSixSystemsofHumanResourcesofBaishaGroup,JointProgrammeofActionofDongfengNissan,LenovoCulturalStudiesandJingdongCulture.Hewasawardedthe“TopTenFigures”ofthesecondChinaHumanResourceManagementAwardandthe“TopTenRespectableManagementConsultingExperts”bytheManagementConsultingCommitteeofChinaEnterpriseConfederation.Ms.XieJiawei,bornin1973,Chinese,withoutpermanentresidencyabroad;Bachelordegree,certifiedpublicaccountantandtaxaccountant.Previously,shesuccessivelyservedastheDeputyDirectorofBeijingZhongtianHuazhengCertifiedPublicAccountantsCo.,Ltd.,DeputyDirectorofShenzhenBranchofBDOChinaShuLunPanCertifiedPublicAccountantsLLP,ViceChairmanofthe6
th
CouncilofShenzhenInstituteofCertifiedPublicAccountants,andIndependentDirectorofShenzhenGuangjuEnergyCo.,Ltd.,ShenzhenTopbandCo.,Ltd.,GuangdongXinhuiMeidaNylonCo.,Ltd.,andShenzhenDynanonicCo.,Ltd.,aswellasIndependentDirectorofShenzhenHeungkongHoldingCo.,Ltd.andHan’sLaserTechnologyIndustryGroupCo.,Ltd.,acorememberofVanhoSecurities,andamemberofthe6
th
CouncilofGuangdongCertifiedPublicAccountantsAssociation.HeiscurrentlyapartnerofDahuaAccountingFirm.
(2)BoardofsupervisorsMs.ZhangTingting,bornin1986,Chinese,withoutpermanentresidencyabroad;Bachelordegree.ShejoinedtheCompanyinNovember2010,fromJuly2014toJanuary2021,successivelyservedastheManageroftheSupplierManagementDepartment,DomesticTradeDrugstoreManagementDepartment,DistributorManagementDepartment,ProductDevelopmentDepartmentandE-commerceCommodityDepartmentfromJuly2014toJanuary2021.SheiscurrentlytheDeputyDirectorofCommodityDepartmentoftheCompany.ShecurrentlyservesasamemberoftheWorkingCommitteeoftheTwoNewPartiesofLonghuaStreet,SecretaryoftheCompanyPartyCommittee,ChairwomanoftheWomen’sFederation,SecretaryoftheYouthLeagueCommittee,PartyRepresentativeofLonghuaDistrict,Memberofthe9
th
ShenzhenYouthFederation,andRepresentativeofthe
th
Women’sCongress.Shehasbeenawardedthetitleof“ShenzhenOutstandingCommunistPartyMember”bytheShenzhenMunicipalCommitteeofCPC.Ms.LiuHua,bornin1973,Chinese,withoutpermanentresidencyabroad;MBAandMasterdegreeofTongjiUniversity.FromApril2004toSeptember2009,shewastheManagerofInternationalTradeDepartmentofWinnerIndustries(Shenzhen)Co.,Ltd.;fromSeptember2009toNovember2011,sheservedastheDirectorofOperationCenterofShenzhenPurcottonTechnologyCo.,Ltd.;fromNovember2011toApril2021,sheservedastheDeputyGeneralManageroftheShenzhenPurcottonTechnologyCo.,Ltd.;sinceJanuary2015,shehasbeenaDirectorofShenzhenPurcottonTechnologyCo.,Ltd.;fromJuly2015topresent,sheservesasdirectorofShenzhenQianhaiPurcottonE-CommerceCo.,Ltd.,;andsinceApril2021,shehasbeentheVicePresidentofShenzhenPurcottonTechnologyCo.,Ltd.Ms.ZhangYan,bornin1984,Chinese,withoutpermanentresidencyabroad;Bachelor’sdegree.JoinedtheCompanyinJuly2006,andpreviouslyheldrolesincludingtheheadofthesupplychainatWinnerMedical,executivedeputygeneralmanagerofthewholly-ownedsubsidiaryWinnerMedicalSupplies(Jingmen)Co.,Ltd.,andheadofthesupplychainatthewholly-ownedsubsidiaryShenzhenPurcottonTechnologyCo.,Ltd.SinceMarch2020topresent,hehasservedastherotatingCEOoftheCompany’smedicalsector,concurrentlyholdingpositionsastheexecutivedirectorandlegalrepresentativeofthewholly-ownedsubsidiaryWinnerGuilinLatexCo.,Ltd.,andthesub-subsidiaryofWinnerMedical(Jingmen)Co.,Ltd.
(3)OtherseniormanagementMs.ZhangLi,bornin1978,Chinese,withoutpermanentresidencyabroad;Bachelor’sdegree.JoinedWinnerMedicalProductsCo.,Ltd.inSeptember2010.FromSeptember2010toJune2021,shesuccessivelyservedastheMedicalBusinessMarketingDirector,R&DDirector,ExportDirector,SalesDirector,RotatingCEO,andVicePresidentoftheMedicalSector.Currently,sheservesastheCompany’sDeputyGeneralManager,VicePresidentofInvestmentManagement,andChairmanofWinnerPinganMedical(Hunan)Co.,Ltd.Ms.ChenHuixuan,bornin1982,Chinese,withoutpermanentresidencyabroad;MasterdegreeinFinance,UniversityofGlasgow,UK.FromFebruary2007toJune2009,shewasanAnalystAssistantofBreanMurray,Carret&Co.;fromSeptember2009toMay2015,sheservedasaManageroftheInvestmentManagementDepartmentofWinnerIndustries(Shenzhen)Co.,Ltd.;sinceMay2015,shehasbeentheDeputyGeneralManagerandSecretarytotheBoardofDirectors.Atpresent,shealsoservesasanExecutivePartnerofXiamenHuikangInvestmentPartnership(L.P.)andDirectorofChengduWinnerLikangMedicalProductsCo.,Ltd.Ms.ChenHuixuancurrentlyservesasamemberoftheThirdInvestorRelationsCommitteeoftheChinaAssociationofPublicCompaniesandasDeputyDirectoroftheInvestorRelationsCommitteeoftheShenzhenAssociationofPublicCompanies.Shehasbeenrecognizedwiththe“Level5APerformanceEvaluationoftheBoardSecretary”bytheChinaAssociationofPublicCompaniesin2022and2023,aswellasprestigioushonorsincludingthe18
th
and19
th
NewFortuneGoldMedalBoardSecretaryawards.
Servicestatusintheshareholderunit
√Applicable□Notapplicable
WinnerMedicalNameofstaff
| Nameofstaff | Shareholderunitname | Positionheldinshareholderunit | Startdateoftenure | Enddateoftenure | Whethertoreceiveremunerationorallowanceintheshareholderunit |
| LiJianquan | WinnerGroupLimited | Director | April8,2003 | No | |
| FangXiuyuan | XiamenLeyuanInvestmentPartnership(LimitedPartnership) | Executivepartner | May2,2013 | No | |
| ChenHuixuan | XiamenHuikangInvestmentPartnership(LimitedPartnership) | Executivepartner | May2,2013 | No | |
| Descriptionofservicestatusintheshareholderunit | None |
Servicestatusinotherunit
√Applicable□Notapplicable
| Nameofstaff | Otherunitname | Positionheldinotherunit | Startdateoftenure | Enddateoftenure | Whethertoreceiveremunerationorallowanceinotherunit |
| LiJianquan | GloryRayHoldingsLimited | Director | April11,2012 | No | |
| LiJianquan | GloryRayLimited | Director | May4,2012 | No | |
| LiJianquan | ShenzhenPurcottonTechnologyCo.,Ltd. | Chairman,generalmanager | December7,2009 | No | |
| LiJianquan | ShenzhenQianhaiPurcottonE-commerceCo.,Ltd. | Chairman | July21,2015 | No | |
| LiJianquan | WinnerMedicalMalaysiaCo.,Ltd. | Director | July17,2013 | No | |
| LiJianquan | WinnerMedical(HongKong)Limited | Director | January14,2008 | No | |
| LiJianquan | ShenzhenPureH2BTechnologyCo.,Ltd. | Chairman,generalmanager | January25,2018 | No | |
| LiJianquan | ShenzhenCottonLiningTechnologyInnovationCo.,Ltd. | Chairman | July9,2019 | No | |
| LiJianquan | FanyuInnovationHolding(Shenzhen)Co.,Ltd. | Supervisor | September18,2021 | No | |
| FangXiuyuan | ShenzhenPurcottonTechnologyCo.,Ltd. | Director | December7,2009 | No | |
| FangXiuyuan | ShenzhenQianhaiPurcottonE-commerceCo.,Ltd. | Director | July21,2015 | No | |
| FangXiuyuan | WinnerMedical(Huanggang)Co.,Ltd. | Director | January14,2005 | No | |
| FangXiuyuan | WinnerMedical(Chongyang)Co.,Ltd. | Director | November13,2001 | No |
| Nameofstaff | Otherunitname | Positionheldinotherunit | Startdateoftenure | Enddateoftenure | Whethertoreceiveremunerationorallowanceinotherunit |
| FangXiuyuan | WinnerMedical(Jiayu)Co.,Ltd. | Director | February20,2001 | No | |
| FangXiuyuan | WinnerMedical(Jingmen)Co.,Ltd. | Director | December15,1995 | No | |
| FangXiuyuan | YichangWinnerMedicalTextileCo.,Ltd. | Director | April22,1999 | No | |
| FangXiuyuan | WinnerMedical(Tianmen)Co.,Ltd. | Director | February23,2001 | No | |
| FangXiuyuan | WinnerMedical(Heyuan)Co.,Ltd. | Director | May18,2016 | No | |
| FangXiuyuan | WinnerMedical(Wuhan)Co.,Ltd. | Director | January23,2017 | No | |
| FangXiuyuan | WinnerMedical(HongKong)Limited | Director | January14,2008 | No | |
| FangXiuyuan | ChengduWinnerLikangMedicalProductsCo.,Ltd. | Director | May31,2009 | No | |
| FangXiuyuan | ShenzhenPureH2BTechnologyCo.,Ltd. | Director | January25,2018 | No | |
| FangXiuyuan | ShenzhenCottonLiningTechnologyInnovationCo.,Ltd. | Director | July9,2019 | No | |
| FangXiuyuan | ZhejiangLongtermMedicalTechnologyCo.,Ltd. | Chairman | May10,2022 | No | |
| XuXiaodan | WinnerMedical(Heyuan)Co.,Ltd. | Director | May18,2016 | No | |
| XuXiaodan | WinnerMedical(Wuhan)Co.,Ltd. | Director | January23,2017 | No | |
| GuoZhenwei | SequoiaCapitalChina | Director,generalmanager | October1,2010 | Yes | |
| GuoZhenwei | DeqingJiajunBeverageCo.,Ltd. | Director | April22,2015 | No | |
| GuoZhenwei | SichuanVanovNewMaterialCo.Ltd. | Director | December5,2017 | No | |
| GuoZhenwei | ShanghaiShouquanzhaiE-commerceCo.,Ltd. | Director | July13,2018 | No | |
| GuoZhenwei | LOHOHoldingInc. | Director | July2,2018 | No | |
| GuoZhenwei | NewDynamicsChinaHoldingCompany | Director | September2,2019 | No | |
| GuoZhenwei | ShijiazhuangJunlebaoDairyCo.,Ltd. | Director | March16,2020 | No | |
| GuoZhenwei | LiumGroupCo.,Ltd. | Director | January14,2020 | No | |
| GuoZhenwei | HangzhouDahitiScience&TechnologyCo.,Ltd. | Director | May21,2020 | No | |
| GuoZhenwei | GenkiForestTechnologyGroupHoldingsLimited | Director | December1,2020 | No | |
| GuoZhenwei | ShanghaiRuishuElectronicCommerceCo.,Ltd. | Director | August26,2020 | No | |
| GuoZhenwei | ShanghaiWanwuyouyangCateringManagementCo.,Ltd. | Director | April8,2021 | No |
WinnerMedicalNameofstaff
| Nameofstaff | Otherunitname | Positionheldinotherunit | Startdateoftenure | Enddateoftenure | Whethertoreceiveremunerationorallowanceinotherunit |
| GuoZhenwei | ShanghaiHuaqiaoCateringManagementCo.,Ltd. | Director | July5,2021 | No | |
| GuoZhenwei | SichuanHaocaitouIndustrialCo.,Ltd. | Director | March30,2020 | No | |
| GuoZhenwei | JixiangjuFoodCo.,Ltd. | Director | July19,2023 | No | |
| GuoZhenwei | PuchengDairy(Group)Co.,Ltd. | Supervisor | March12,2021 | No | |
| KeyKeLiu | SouthernUniversityofScienceandTechnology | CollegeDeanandChairEducationThecredit | February19,2016 | Yes | |
| KeyKeLiu | PuritekCompanyLtd. | Director | January1,2019 | Yes | |
| KeyKeLiu | BeijingLowCarbonandCleanEnergyResearchInstitute | DeputyDirectorandChiefScientist(CTO) | January1,2010 | No | |
| KeyKeLiu | Carnegie–TsinghuaCenter | Director | January1,2015 | No | |
| KeyKeLiu | ZhejiangUniversity | HonoraryProfessorandDoctorialtutor | January1,2014 | No | |
| KeyKeLiu | CenterforChinaandGlobalization | ExecutiveDirector,Deputydirector | January1,2012 | No | |
| PengJianfeng | RenminUniversityofChina | Professor | September1,1996 | Yes | |
| PengJianfeng | Kuang-ChiTechnologiesCo.,Ltd. | Independentdirector | August4,2023 | Yes | |
| PengJianfeng | HyteraCommunicationsCorporationLimited | Director | December6,2019 | Yes | |
| PengJianfeng | CCBTrustCo.,Ltd. | Director | March25,2020 | Yes | |
| PengJianfeng | ChinaStoneManagementConsultingLtd. | Executivedirector | January12,2006 | No | |
| PengJianfeng | HunanHappyTimesNetworkTechnologyCo.,Ltd. | Director | December31,2015 | No | |
| PengJianfeng | SiwodEducationTechnologyCo.,Ltd. | Director | January17,2018 | No | |
| PengJianfeng | JiangxiSiwodCommercialDevelopmentCo.,Ltd. | Director | November18,2014 | No | |
| PengJianfeng | ChinaStone(Beijing)CorporationCultureManagementConsultingCo.,Ltd. | ExecutiveDirector,GeneralManager | November16,2004 | No | |
| PengJianfeng | BeijingChinaStoneHumanResourceConsultingCo.,Ltd. | Executivedirector | October30,2003 | No | |
| PengJianfeng | HangzhouChinaStoneManagementConsultingCo.,Ltd. | Director | May6,2009 | No | |
| PengJianfeng | BeijingIceSmartTechnologyCo.,Ltd. | Director | June1,2012 | No | |
| PengJianfeng | BeijingChinaStoneHuntingNetworkTechnologyCo.,Ltd. | Supervisor | July9,2019 | No |
| Nameofstaff | Otherunitname | Positionheldinotherunit | Startdateoftenure | Enddateoftenure | Whethertoreceiveremunerationorallowanceinotherunit |
| PengJianfeng | BeijingChinaStoneHumanResourcesManagementServicesCo.,Ltd. | Supervisor | April21,2016 | No | |
| PengJianfeng | Beijing51NewbieEducationTechnologyCo.,Ltd. | Supervisor | November13,2015 | No | |
| XieJiawei | DahuaCertifiedPublicAccountantsCo.,Ltd.ShenzhenBranch | Partner | May4,2010 | Yes | |
| LiuHua | ShenzhenPurcottonTechnologyCo.,Ltd. | DirectorandVicePresident | January5,2015 | No | |
| LiuHua | ShenzhenQianhaiPurcottonE-commerceCo.,Ltd. | Director | July21,2015 | No | |
| ZhangYan | WinnerGuilinLatexCo.,Ltd. | Executivedirector | May24,2023 | No | |
| ZhangYan | Winner(Jinzhou)LatexProductsCo.,Ltd. | Executivedirector | July10,2023 | No | |
| ChenHuixuan | ChengduWinnerLikangMedicalProductsCo.,Ltd. | Director | May1,2018 | No | |
| ZhangLi | WinnerMedical(Hunan)Co.,Ltd. | Chairman | July4,2022 | No | |
| Descriptionofservicestatusinotherunit | None |
Punishmentofcurrentdirectors,supervisorsandseniormanagementoftheCompanyandthosewholeftduringthereportingperiodbysecuritiesregulatorsinrecentthreeyears
√Applicable□NotapplicableMr.PengJianfeng,anindependentdirectoroftheCompany,engagedinshort-termtradingbypurchasing215,800sharesofHyteraCommunicationsCorporationLimitedonFebruary2,2023,andselling53,950sharesofHyteraonFebruary3,2023,whileservingasadirectorofHyteraCommunicationsCorporationLimited.OnJuly11,2023,theShenzhenSecuritiesRegulatoryBureauissuedawarninglettertohim.DuringMr.KeyKeLiu’stenureasanindependentdirectoroftheCompany,ShenzhenHifutureInformationTechnologyCo.,Ltd.,whereheservedasanindependentdirector,wasidentifiedbytheSFCassuspectedofinaccuratedisclosureofinformation,misstatementofprofits,andirregularitiesinaccountingtreatment.OnFebruary1,2024,theSFCissuedaletterofpriornoticeofadministrativepenalty,proposingadministrativepenaltiesagainstMr.KeyKeLiu,ShenzhenHifutureInformationTechnologyCo.,Ltd.,andotherthen-directorsandsupervisorsoftheCompany.
3.Remunerationofdirectors,supervisorsandseniormanagement
Decision-makingprocedures,determinationbasisandactualpaymentofremunerationofdirectors,supervisorsandseniormanagementTheremunerationofdirectors,supervisorsandseniormanagersconsistsofwages,allowancesandbonuses.TheCompany’sboardofdirectorshasaremunerationandassessmentcommitteeresponsibleforformulatingperformanceevaluationstandards,procedures,systems,andmainschemesandrewardsandpunishments.Theremunerationplansofdirectors,supervisorsandseniormanagershaveallgonethroughthecorrespondingdeliberationproceduresinaccordancewiththeArticlesofAssociation,RemunerationManagementSystemandothercorporategovernancesystems.Remunerationofdirectors,supervisorsandseniormanagementduringthereportingperiod
Unit:‘0,000yuan
WinnerMedicalName
| Name | Gender | Age | Position | Statusofservice | TotalpretaxremunerationreceivedfromtheCompany | WhethertogetremunerationfromrelatedpartiesoftheCompany |
| LiJianquan | Male | 67 | ChairmanandGeneralManager | Incumbent | 307.34 | No |
| FangXiuyuan | Male | 56 | Director,DeputyGeneralManager,ChiefFinancialOfficer | Incumbent | 164.49 | No |
| XuXiaodan | Female | 36 | Director | Incumbent | 106.49 | No |
| GuoZhenwei | Male | 40 | Director | Incumbent | 0 | No |
| PengJianfeng | Male | 63 | Independentdirector | Incumbent | 18 | No |
| XieJiawei | Female | 51 | Independentdirector | Incumbent | 18 | No |
| KeyKeLiu | Male | 60 | Independentdirector | Incumbent | 18 | No |
| ZhangTingting | Female | 38 | ChairmanoftheBoardofSupervisors | Incumbent | 68.38 | No |
| LiuHua | Female | 51 | EmployeeRepresentativeSupervisor | Incumbent | 125.94 | No |
| ZhangYan | Female | 40 | Supervisor | Incumbent | 66.45 | No |
| ZhangLi | Female | 46 | Deputygeneralmanager | Incumbent | 113.87 | No |
| ChenHuixuan | Female | 42 | DeputyGeneralManager,SecretarytotheBoardOfDirectors | Incumbent | 100.34 | No |
| WangYing | Female | 42 | Supervisor | Resign | 36.7 | No |
| Total | -- | -- | -- | -- | 1,1441 | -- |
Note:1Thecompensationdatamentionedaboveencompassesthecompensationreceivedwhileservingasdirectors,supervisors,orseniormanagementduringthespecifiedperiod.Ms.WangYingformallyresignedfromthepositionofsupervisorinJuly2023,andMs.ZhangYanassumedthepositionofsupervisorinJuly2023.Bothindividualsservedassupervisorsforlessthanoneyearin2023.OtherInformation
□Applicable√Notapplicable
VIII.Performanceofdutiesbydirectorsduringthereportingperiod
1.Boardofdirectorsduringthereportingperiod
| Meetingsession | Conveningdate | Dateofdisclosure | Resolutionsofthemeeting |
| The11thmeetingoftheThirdBoardofDirectors | April23,2023 | April25,2023 | Proposalonthe<AnnualReportandSummaryfor2022>,ProposalonthePlanontheProfitDistributionfor2022,etc. |
| The12thmeetingoftheThirdBoardofDirectors | May5,2023 | May8,2023 | ConsiderationandadoptionoftheProposalonAdjustingtheUseofProceeds,ExtendingtheConstructionPeriodofSomeFundRaisingProjects. |
| The13thmeetingoftheThirdBoardofDirectors | June7,2023 | June8,2023 | ConsiderationandadoptionoftheProposalonAdjustingtheCompany’sScopeofBusiness,RegisteredCapital,andAmendmenttothe“ArticlesofAssociation”,aswellastheProposalontheCompany’sSocial,Environmental,andGovernanceReportfortheYear2022,amongothermatters. |
| The14thmeetingoftheThirdBoardofDirectors | June12,2023 | June14,2023 | ConsiderationandadoptionoftheProposalonExecutingRelevantAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialPark. |
| The15thmeetingoftheThirdBoardofDirectors | June21,2023 | June22,2023 | DeliberatedandadoptedtheProposalonholdingthe1stExtraordinaryGeneralMeetingofShareholdersin2023. |
| The16thmeetingoftheThirdBoardofDirectors | August15,2023 | August16,2023 | TheProposalontheCompany’s2023Semi-annualReportandSummary,theProposalontheCompany’sFirstEmployeeStockOwnershipPlan(Draft),andothermatterswereconsideredandapproved. |
| The17thmeetingoftheThirdBoardofDirectors | October23,2023 | October24,2023 | TheProposalontheQ32023Report,ProposalontheUseofPartofIdleProceedsforCashManagement,andothermatterswereconsideredandapproved. |
| The18thmeetingoftheThirdBoardofDirectors | December19,2023 | December21,2023 | ConsiderationandapprovalofProposalontheRepurchaseandCancellationofRemainingSharesintheSpecialSecuritiesAccountandProposalonClosingPartoftheProjectandPermanentlySupplementingtheWorkingCapitalwiththeSurplusRaisedFunds |
2.Attendanceofdirectorsattheboardmeetingsandthegeneralmeetingofshareholders
WinnerMedical
Attendanceofdirectorsattheboardmeetingsandthegeneralmeetingofshareholders
| Attendanceofdirectorsattheboardmeetingsandthegeneralmeetingofshareholders | |||||||
| NameofDirectors | Timesofattendingtheboardmeetingsduringthisreportingperiod | Timesofattendingtheboardmeetingsonsite | Timesofattendingtheboardmeetingsusingcommunication | Timesofattendingtheboardmeetingsbyproxy | Timesofabsencesfromtheboardmeetingsbyproxy | Whetherhehasnotattendedtwoconsecutiveboardmeetingsinperson | Timesofattendingthegeneralmeetingofshareholders |
| LiJianquan | 8 | 8 | 0 | 0 | 0 | No | 3 |
| FangXiuyuan | 8 | 8 | 0 | 0 | 0 | No | 3 |
| XuXiaodan | 8 | 8 | 0 | 0 | 0 | No | 3 |
| GuoZhenwei | 8 | 1 | 7 | 0 | 0 | No | 3 |
| PengJianfeng | 8 | 0 | 8 | 0 | 0 | No | 3 |
| XieJiawei | 8 | 1 | 7 | 0 | 0 | No | 3 |
| KeyKeLiu | 8 | 1 | 7 | 0 | 0 | No | 3 |
ExplanationofnotattendingtheboardmeetinginpersonfortwoconsecutivetimesDuringthereportingperiod,therewerenoinstancesofadirectorfailingtoattendtheboardofdirectorsinpersonfortwoconsecutivetimes.
3.Objectionsmadebydirectorsonrelevantmatters
WhetherthedirectorraisesanyobjectiontotherelevantmattersoftheCompany
□Yes√NoDuringthereportingperiod,thedirectorsdidnotraiseanyobjectiontotherelevantmattersoftheCompany.
4.Otherdescriptionsoftheperformanceofdutiesbythedirectors
WhethertherelevantsuggestionsofthedirectortotheCompanyhavebeenadopted
√Yes□NoExplanationoftherelevantsuggestionsofthedirectortotheCompanyhaveorhavenotbeenadoptedDuringthereportingperiod,theCompany’sdirectorsfaithfullyanddiligentlyfulfilledtheirduties,activelyattendingrelevantmeetingsontimeinstrictaccordancewiththeCompanyLawofthePeople’sRepublicofChina,theSecuritiesLawofthePeople’sRepublicofChina,andotherrelevantlaws,regulations,andtheArticlesofAssociation.Bytelephone,email,sitevisitsandotherforms,theindependentdirectorskeptcommunicationwithotherdirectors,seniormanagementandrelatedpersonneloftheCompany,activelyacquiretheCompany’sproductionandoperationsituationandfinancialposition,putforwardpositivesuggestionsontheCompany’sdevelopmentstrategyandimprovementofcorporategovernance,andexpressedindependentopinionsontheCompany’speriodicreports,remunerationofdirectorsandseniormanagementandothermatters,guaranteeingthefairnessandobjectivityofthedecisionsmadebytheCompany’sBoardofDirectors.ThedirectorsoftheCompanyfulfilledtheirdutiesfaithfullyanddiligently,strovetosafeguardtheoverallinterestsoftheCompanyandthelegitimaterightsandinterestsofthemajorityofminorityshareholders,andplayedapositiveroleinthestandardizedoperationandhealthydevelopmentoftheCompany.
IX.Situationofspecialcommitteesundertheboardofdirectorsduringthereportingperiod
| Nameofcommittee | Members | Numberofmeetings | Conveningdate | Content | Importantcommentsandsuggestions | Performanceofotherduties | Detailsofobjection(ifany) |
| AuditCommitteeoftheThirdBoardofDirectors | XieJiawei,KeyKeLiuandFangXiuyuan | 1 | January6,2023 | 1.InternalAuditWorkReportforQ420222.InternalAuditWorkPlanforQ120233.AuditCommitteeWorkReportforQ42022 | Ensurethatthefinancialstatementstruly,accuratelyandcompletelyreflecttheCompany’soverallfinancialposition | ReviewtheCompany’sfinancialdataandrelatedwrittenreports | None |
| AuditCommitteeoftheThirdBoardofDirectors | XieJiawei,KeyKeLiuandFangXiuyuan | 1 | April23,2023 | 1.Proposalonthe2020InternalControlSelf-evaluationReport2.InternalAuditWorkReportforQ120233.InternalAuditWorkPlanforQ220234.AuditCommitteeWorkReportforQ120235.Proposalonthe2022AnnualReportandItsAbstract6.Proposalonthe2022FinancialFinalAccountsReport7.ProposalontheQ12023Report8.ProposalontheRenewaloftheAppointmentoftheAccountingFirmfortheYear2023 | Ensurethatthefinancialstatementstruly,accuratelyandcompletelyreflecttheCompany’soverallfinancialposition | ReviewtheCompany’sfinancialdataandrelatedwrittenreports | None |
| AuditCommitteeoftheThirdBoardofDirectors | XieJiawei,KeyKeLiuandFangXiuyuan | 1 | August14,2023 | 1.InternalAuditWorkReportforQ220232.InternalAuditWorkPlanforQ320233.AuditCommitteeWorkReportforQ220234.ProposalontheCompany’s2023Semi-annualReportandSummary | Ensurethatthefinancialstatementstruly,accuratelyandcompletelyreflecttheCompany’soverallfinancialposition | ReviewtheCompany’sfinancialdataandrelatedwrittenreports | None |
| AuditCommitteeoftheThirdBoardofDirectors | XieJiawei,KeyKeLiuandFangXiuyuan | 1 | October23,2023 | 1.InternalAuditWorkReportforQ320232.InternalAuditWorkPlanforQ420233.AuditCommitteeWorkReportforQ320234.ProposalontheQ32023Report5.ProposalontheUseofPartofIdleProceedsforCashManagement | Ensurethatthefinancialstatementstruly,accuratelyandcompletelyreflecttheCompany’soverallfinancialposition | ReviewtheCompany’sfinancialdataandrelatedwrittenreports | None |
| RemunerationandEvaluationCommitteeoftheThirdBoardofDirectors | PengJianfeng,XieJiaweiandLiJianquan | 1 | April23,2023 | 1.ProposalontheConfirmationoftheRemunerationofNon-IndependentDirectorsin20222.ProposalontheConfirmationoftheRemunerationofSeniorManagementin20223.ProposalonAchievingVestingConditionsfortheSecondVestingPeriodofthe2020RestrictedStockIncentivePlan4.ProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVested | ItisessentialtoalignsalarylevelswiththeCompany’soperationalperformanceandensurethattheimplementationofequityincentivescomplieswithlegalrequirementsandregulations | Reviewtherelatedwrittenreports | None |
| RemunerationandEvaluationCommitteeoftheThirdBoardofDirectors | PengJianfeng,XieJiaweiandLiJianquan | 1 | August14,2023 | 1.ProposalontheCompany’sFirstEmployeeStockOwnershipPlan(Draft)2.ProposalontheManagementMeasuresfortheCompany’sFirstEmployeeStockOwnershipPlan | ItisnecessarytoensurethattheESOPschemecomplieswiththerequirementsoflawsandregulations. | Reviewtherelatedwrittenreports | None |
| StrategyrelatedSocialResponsibilityCommitteeoftheThirdBoardofDirectors | LiJianquan,FangXiuyuan,XuXiaodan,GuoZhenweiandPengJianfeng | 1 | June7,2023 | ProposalontheCompany’sSocial,Environmental,andGovernanceReportfortheYear2022 | TheCompanyshallactivelyundertakesocialresponsibilityandpracticeenvironmentalprotectionconcept | Activelyfollowtheprogressofundertakingsocialresponsibilityandthepreparationprogressofthesocialresponsibilityreport | None |
X.Workoftheboardofsupervisors
DoestheboardofsupervisorsfindanyrisksinthesupervisionactivitiesoftheCompanyduringthereportingperiod
□Yes√NoTheBoardofSupervisorshasnoobjectiontothesupervisorymattersduringthereportingperiod
XI.Companyemployees
1.Numberofemployees,professionalcompositionandeducationalbackground
WinnerMedicalNumberofemployeesintheparentcompanyattheendofthereportingperiod(person)
| Numberofemployeesintheparentcompanyattheendofthereportingperiod(person) | 1,120 |
| Numberofemployeesinmainsubsidiariesattheendofthereportingperiod(person) | 11,894 |
| Totalnumberofemployeesattheendofthereportingperiod(person) | 13,014 |
| Totalnumberofemployeesreceivingsalaryinthecurrentperiod(person) | 13,014 |
| Numberofretiredemployeeswhoseexpensesneedtobebornebytheparentcompanyandmajorsubsidiaries(person) | 100 |
| Professionalcomposition | |
| Professionalcompositioncategories | Numberofprofessionals(person) |
| Productionpersonnel | 6,136 |
| Salespersonnel | 3,667 |
| Technicalpersonnel | 1,259 |
| Financialpersonnel | 147 |
| Administrativepersonnel | 1,805 |
| Total | 13,014 |
| Educationbackground | |
| Educationbackgroundcategories | Number(person) |
| Master’sdegreeorabove | 254 |
| Bachelor | 1,839 |
| Bachelor’sdegreeorbelow | 10,921 |
| Total | 13,014 |
2.PaypolicyToalignwiththeCompany’sstrategicdirectionandbusinessplanning,andtocontinuouslyfosterindividualvalue(initiative,innovation)leadingtoperformancegrowth,theCompanyhasadjusteditsemployeesalarystructure.Movingfromtheprevioustargetannualsalarysystem,itnowadoptsastructureof“fixedsalary+bonus+long-termincentives”.Thefixedsalaryisgraduallyadjustedtomatchmarketstandards,bonusesareallocatedbasedonperformancecontributiongreatercontributionsyieldhigherincomeandlong-termincentivesaretiedtoboththeCompany’slong-termperformanceandindividuallong-termcontribution.Thisadjustmentaimstoboostteammorale,enhancethesenseofresponsibilityandmissionamongcoreteammembers,implementabusinesspartnershipethos,andrefinethesalaryincentivesystemforhigh-performingemployees.Highlightintegratedteamworkratherthansharingindividualcontributions,buildaclosedperformancemanagementmechanismfromstrategy,organizationtoindividuals,adoptabalancedscorecardfororganizationalperformance,andlinkindividualperformancetoorganizationalKPIs,whiletheperformanceresultscanbeusedasthebasisforbonusdistribution.Variablecompensationemploysthedistributionlogicofstockandexcessbonuses,withhighincentiveforexcessbusinessandsharedrevenue.Thedesignlogicencouragesambitious,high-qualityandhigh-efficiencygrowth,andpromotestheoverallpursuitofshort-andlong-termbenefits,buildingthecapacityofdaringtocompeteandbeingabletowin.Introducesupplementaryinsuranceontopofthebasicsocialinsurance,suchaspersonalaccidentinsuranceandsupplementalmedicalinsurance.TheCompanygraduallyimprovestheemployeewelfaresystem,startingfrombasicneedssuchas:transportationandcateringsubsidies,tohigher-levelneedssuchas:reunionandanniversarygifts,andprovidesvariousformsofwelfaretoenhanceemployees’senseofsecurity,happinessandidentity.
3.Trainingplan
TheCompanyputsforwardtheconceptof“high-quality,high-efficiency,high-performanceandhigh-returntalents”asthetargetsoftalentattractionandtraining.Itconstantlyupgradestalentstructure,enhancestalentteambuilding,improvestalentdensity,andcontinuestostrengthenthecapacitybuildingandtrainingofleadingtalentsandprofessionals.First,adual-channeldevelopmentmechanismandqualificationsystemhasbeensetup,encouragingprofessionalstoconductfurtherresearchandcreatevalueintheirareasofexpertisetomeettheCompany’sgrowingdemandforprofessionalcapacityenhancementandcaringofprofessionals,andpromotetalentspecializationanddiversification.Second,conducttalentinventorytoidentifypotentialoutstandingtalents,setbenchmarks,andimprovetalentdensityinthevalueplateau.Third,carryoutextensive“industry-university-researchcollaboration”,strengthencooperationandexchangewithuniversitiesandresearchinstitutions,continuouslyintroducetoptechnicaltalents,improvethecomprehensivequalityandprofessionalabilityoftalentteams,improveinnovationintechnologyR&Dtobeatrueinfluencerinthemedicalindustry.Fourth,taketheinitiativetobuildtraininganddevelopmentsystems,carryout“LeadingProgram”,skillsforproductline/marketingline,costreductionandefficiency,teamleaders,corporatecultureinterpretationandpromotion,generalknowledge,etc.,allowingfortheempowermentofkeyareasandposts,talentdevelopment,andimprovementofgeneralistskillsinallareasofexpertiseavailablethroughoutthesystem.Finally,theCompanyattachesgreatimportancetothenewgenerationofemployees.Itsystematicallypromotesthetraininganddevelopmentofcollegestudents,includingcamptraining,assignmentofmentors,rotationalpractice,andfixed-termdevelopment.Thisformsaclosed-loopmanagementforthetraininganddevelopmentofyoungtalents,comprehensivelyimprovestheirmulti-dimensionaldevelopment,suchasculturalintegration,productknowledge,professionalskillsandprofessionalism,helpingthemtransformfromstudentsincampustoelitesinworkplace.Allkindsoftrainingsystems,coveringmanagement,professionalandgeneraltrainingsystems,havebeenpreparedforallprofessionalfields.Wefocusonannualstrategicplanningandcapacitybuildingofkeypositionsbyofferingspecialtraining.Internaltrainingandexternaltrainingcanbecombinedtoenrichtheexistingcurriculum.Moreover,theCompanyintegratesonlineplatformresourceswithofflinepracticalprojectstoproviderichtrainingresources,continuouslyiteratethecurriculumsystemaccordingtothedevelopmentandchangesofthebusiness,andkeeponexpandingthefacultytohelpbuildthetalentteamandimproveprofessionalcapabilities,tosupporttheachievementoftheCompany’sbusinessgoals.
4.Laboroutsourcing
□Applicable√Notapplicable
XII.Profitdistributionandsharecapitalincreasefromcapitalsurplus
Profitdistributionpolicyduringthereportingperiod,especiallytheformulation,implementationoradjustmentofcashdividendpolicy
□Applicable√Notapplicable
TheCompany’sprofitdistributionplanandcapitalsurplusconvertedintoasharecapitalplaninthereportingperiodareconsistentwiththerelevantprovisionsofthearticlesofassociationanddividendmanagementmeasures
√Yes□No□NotapplicableTheCompany’sprofitdistributionplanandcapitalsurplusconvertedintoasharecapitalplaninthereportingperiodconformtotherelevantprovisionsofthearticlesofassociation.Profitdistributionandsharecapitalincreasefromcapitalsurplusincurrentyear
WinnerMedicalBonussharesper10shares(shares)
| Bonussharesper10shares(shares) | 0 |
| Dividendper10shares(yuan)(includingtax) | 5.00 |
| Increasesharesper10shares | 0 |
| Sharecapitalbaseindistributionplan(shares) | 583,938,148 |
| Amountofcashdividend(yuan)(includingtax) | 291,969,074.00 |
| Amountofcashdividendinotherforms(e.g.sharerepurchase)(yuan) | 0.00 |
| Totalcashdividends(includingothermethods)(yuan) | 291,969,074.00 |
| Distributiveprofit(yuan) | 4,897,039,093.59 |
| Proportionoftotalcashdividends(includingothermethods)intotalprofitdistribution | 100.00% |
| Thiscashdividends | |
| Others | |
| Detaileddescriptionoftheproposalofprofitdistributionorsharecapitalincreasefromaccumulationfund | |
| AccordingtotheAuditReportofWinnerMedicalCo.,Ltd.in2023issuedbyBDOCHINASHULUNPANCERTIFIEDPUBLICACCOUNTANTSLLP,thenetprofitattributabletotheshareholdersoftheparentcompanyintheconsolidatedstatementsoftheCompanyin2023is580,403,232.37yuan,andthenetprofitoftheincomestatementoftheparentcompanyin2023is825,570,993.25yuan.AsofDecember31,2022,theparentcompany’sprofitavailablefordistributionis4,897,039,093.59yuan.Onthedisclosuredateofthedistributionplan,theCompany’stotalsharecapitalstoodat588,292,708shares,with4,354,560sharesheldinaspecialsecuritiesaccountforrepurchase.Deductingtheserepurchasedshares,thetotalsharecountamountedto583,938,148shares.Itwasplannedtodistributeacashdividendof5.00yuanper10sharestoallshareholders(taxincluded),withnocapitalincreaseorbonusshares.Thetotalcashdividendamountedto291,969,074.00yuan,representing50.30%ofthenetprofitattributabletoshareholdersoftheparentcompanyaspertheconsolidatedincomestatement. | |
TheCompanymadeprofitsduringthereportingperiodandtheprofitsavailablefordistributiontoshareholdersoftheparentcompanywerepositive,butnodistributionplanforcashdividends.
□Applicable√Notapplicable
XIII.ImplementationoftheCompany’sequityincentiveplan,employeestockownershipplanorotheremployeeincentivemeasures
√Applicable□Notapplicable
1.ShareIncentiveTheCompanyconvenedthe15
thmeetingofthesecondboardofdirectorsandtheninthmeetingofthesecondboardofsupervisorsonNovember27,2020,followedbythesixthextraordinarygeneralmeetingofshareholdersof2020onDecember15,2020.ThepurposeofthesemeetingswastoreviewandapprovetheProposalontheCompany’s2020RestrictedStockIncentivePlan(Draft)andItsAbstractanditsSummary,aswellastheProposalonRelatedMatters.Thegeneralmeetingofshareholdersauthorizedtheboardofdirectorstodeterminethegrantdateofrestrictedstocks,andrelevantmatterswhichisnecessarytograntrestrictedsharestotheincentiveobjectandgothroughtheproceduresforgrantingrestrictedshareswhentheincentiveobjectmeetstheconditions.Fordetails,pleaserefertorelevantannouncementsdisclosedbytheCompanyonthewebsite(http://www.cninfo.com.cn)onDecember16,2020andNovember30,2020.OnDecember18,2020,theCompanyheldthe17
th
meetingofthesecondboardofdirectorsandthe11
th
meetingofthesecondboardofsupervisorsrespectively,deliberatedandpassedtheProposalonMattersRelatedtotheAdjustmentoftheRestrictedStockIncentivePlanin2020andtheProposalontheFirstGrantofRestrictedStockstotheIncentiveObjects,anddeterminedthatDecember18,2020willbethegrantdateoftheincentiveplan,5.833millionrestrictedshareswillbegrantedto1,036eligibleincentiveobjects.Fordetails,pleaserefertorelevantannouncementdisclosedbytheCompanyonthewebsite(http://www.cninfo.com.cn)onDecember22,2020.TheCompanyheldthe6
th
meetingoftheThirdBoardofDirectorsandthe5
th
meetingoftheThirdBoardofSupervisorsonApril20,2022,aswellastheAnnualGeneralMeetingofShareholders2021onMay13,2021,respectively,deliberatedandapprovedtheProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVested.3.366925milliongrantedbutunvestedrestrictedshareswererevoked,becausesomeincentiverecipientscouldnotmeettheincentiveconditionsduetotheirdemissionorholdingthepostofsupervisors,whiletheCompanyfailedtocompletetheincentiveassessmenttargetsfor2021.Fordetails,pleaserefertorelevantannouncementsdisclosedbytheCompanyonCNINFO.com(http://www.cninfo.com.cn)onApril22,2022.TheCompanyconvenedthe11
thmeetingofthethirdboardofdirectorsandthe8
th
meetingofthethirdboardofsupervisorsonApril23,2023,toconsiderandadopttheProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVested.Duetotheresignationof95additionalincentivetargetsand419incentivetargetsfailingtomeetindividual-levelperformanceappraisalstandardsin2022undertheCompany’s2020RestrictedStockIncentivePlan,atotalof1,303,935sharesofgrantedrestrictedstocksareplannedtobevoided.Onthesameday,theProposalonAchievingVestingConditionsfortheSecondVestingPeriodofthe2020RestrictedStockIncentivePlanwasreviewedandapproved.Theconditionsforthesecondvestingperiodofthe2020RestrictedStockIncentivePlanhavebeenmet,with1,162,140sharesofClassIIrestrictedsharesvested.OnApril23,2024,theCompanyconductedthe20
th
meetingofthethirdboardofdirectorsandthe15
th
meetingofthethirdboardofsupervisors.Duringthissession,theProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVestedwasreviewedandapproved.ItwasconfirmedbytheCompanythatincentiverecipientswhomettheassessmentstandardsduringthesecondvestingperiodofthefirst-timegrantunderthisincentiveplanhavechosentoforgothisvestingopportunity.TheCompanyintendstovoidatotalof1,162,140restrictedsharesthathavebeengrantedbuthavenotyetvested.
Equityincentivegrantedtodirectorsandseniormanagement
√Applicable□Notapplicable
Unit:share
WinnerMedicalName
| Name | Position | Numberofstockoptionsheldatthebeginningoftheyear | Numberofnewstockoptionsgrantedduringthereportingperiod | Numberofexercisablesharesduringthereportingperiod | Numberofsharesexercisedduringthereportingperiod | Exercisepriceofsharesexercisedduringthereportingperiod(yuan/share) | Numberofstockoptionsheldattheendoftheperiod | Marketpriceattheendofthereportingperiod(yuan/share) | Numberofrestrictedsharesheldatthebeginningoftheperiod | Numberofsharesunlockedinthecurrentperiod | Numberofnewrestrictedsharesgrantedduringthereportingperiod | Grantpriceofrestrictedshares(yuan/share) | Numberofrestrictedsharesheldattheendoftheperiod |
| LiJianquan | ChairmanandGeneralManager | 0 | 0 | 0 | 0 | 0 | 0 | 37.25 | 40,000 | 0 | 0 | 72.50 | 44,800 |
| FangXiuyuan | Director,ChiefFinancialOfficerandDeputyGeneralManager | 0 | 0 | 0 | 0 | 0 | 0 | 37.25 | 25,000 | 0 | 0 | 72.50 | 28,000 |
| XuXiaodan | Director | 0 | 0 | 0 | 0 | 0 | 0 | 37.25 | 15,000 | 0 | 0 | 72.50 | 16,800 |
| ChenHuixuan | Secretarytotheboardofdirectors,deputygeneralmanager | 0 | 0 | 0 | 0 | 0 | 0 | 37.25 | 15,000 | 0 | 0 | 72.50 | 16,800 |
| ZhangLi | Deputygeneralmanager | 0 | 0 | 0 | 0 | 0 | 0 | 37.25 | 20,000 | 0 | 0 | 72.50 | 28,000 |
| Total | -- | 0 | 0 | 0 | 0 | -- | 0 | -- | 115,000 | 0 | 0 | -- | 134,400 |
| Remark(ifany) | (i)TherestrictedstocksheldbytheaforementioneddirectorsandseniormanagersareCategoryIIrestrictedstocks,whichhavefulfilledthevestingconditionsbuthavenotyetundergonethevestingprocedures.TheCompanyconvenedthe20thmeetingofthethirdsessionoftheBoardofDirectorsonApril23,2024.Duringthemeeting,theProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVestedwasreviewedandapproved.SincethemarketpriceoftheCompany’sstockislowerthanthegrantpriceandtheincentiverecipientshaveexpressednointentiontovest,theCompanywillinvalidatetheaforementionedrestrictedstocksthathavemetthevestingconditionsbuthavenotyetundergonethevestingprocedures.(ii)TheincreaseinthenumberofrestrictedstocksheldattheendoftheperiodwasduetotheCompany’simplementationofconvertingcapitalreservesintoequitycapital. | ||||||||||||
EvaluationmechanismandincentiveofseniormanagementTheCompanyhasestablishedatargetaccountabilityevaluationsystemforseniormanagementandanannualperformanceappraisalsystemforseniormanagementteams,examinedandevaluatedtheseniormanagementaccordingtotheexaminationandevaluationsystem,takingintoaccountthelong-termdevelopmentneedsoftheCompanyfromtheCompany’sbusinessperformance,individuallevelandscientificperspective
2.Implementationofemployeestockownershipplan
√Applicable□NotapplicableAlleffectiveemployeestockownershipplansimplementedduringthereportingperiod
| EmployeeScope | Totalnumberofemployees | Totalnumberofstocksheld(shares) | Change | Proportionoftotalsharecapitaloflistedcompanies | Sourcesoffundstoimplementtheplan |
| Coreemployeesatdirectorlevelorabove(ifany) | 14 | 505,000 | None | 0.08% | IncentivefundsraisedbyemployeesthemselvesandprovidedbytheCompany |
Shareholdingstatusofdirectors,supervisors,andseniormanagersinemployeestockownershipplansduringthereportingperiod
| Name | Position | Numberofsharesheldatthebeginningoftheperiod(shares) | Numberofsharesheldattheendoftheperiod(shares) | Proportionoftotalsharecapitaloflistedcompanies |
| N/A | N/A | 0 | 0 | 0.00% |
Changesinassetmanagementinstitutionsduringthereportingperiod
□Applicable√NotapplicableChangesinequitycausedbyholders’disposalofsharesduringthereportingperiod
□Applicable√NotapplicableNotapplicabletotheexerciseofshareholders’rightsduringthereportingperiodOtherpertinentcircumstancesandexplanationsregardingtheemployeestockownershipplanduringthereportingperiod.NotapplicableChangesinthemembershipoftheEmployeeStockOwnershipPlanManagementCommittee
□Applicable√NotapplicableThefinancialimpactofemployeestockownershipplansonlistedcompaniesduringthereportingperiodandtheassociatedaccountingtreatment
√Applicable□NotapplicableAccordingtotheprovisionsofAccountingStandardsforBusinessEnterprisesNo.11-Share-basedPayment,oneachbalancesheetdateduringthevestingperiod,therelevantcostsorexpensesandcapitalreservesaredeterminedbasedonthebestestimateofthenumberofexercisableequityinstrumentsandthefairvalueoftheequityinstrumentonthegrantdate,reflectingtheservicesobtainedinthecurrentperiod.In2023,thetotalexpensesrecognizedforequity-settledshare-basedpaymentwere2,181,718.82yuan,withtheentireamountincludedinthecapitalreserve.Terminationofemployeestockownershipplansduringthereportingperiod
□Applicable√NotapplicableOtherdescription:
Notapplicable
3.Otheremployeeincentivemeasures
□Applicable√Notapplicable
XIV.Establishmentandimplementationofinternalcontrolsysteminthereportingperiod
1.EstablishmentandimplementationofinternalcontrolDuringthereportingperiod,theCompanyadheredtotherisk-orientedprinciple.ItcontinuallyimprovedandoptimizedtheCompany’sinternalcontrolsystemonthebasisofdailysupervisionandspecialsupervisionofinternalcontrolaccordingtotheBasicNormsofEnterpriseInternalControlanditssupportingguidelinesandotherinternalcontrolsupervisionrequirements,combinedwiththeinternalcontrolsystemandevaluationmethodstoconstantlyadapttothechangesintheexternalenvironmentandtherequirementsofinternalmanagement.Accordingtotheoperation,analysisandevaluationoftheinternalcontrolsystem,theCompanyeffectivelypreventedrisksinmanagementandpromotedtherealizationofinternalcontrolobjectives.
2.Detailsofsignificantinternalcontroldefectsdiscoveredduringthereportingperiod
□Yes√NoXV.ManagementandcontroloftheCompanyoveritssubsidiariesduringthereportingperiod
WinnerMedicalCompanyname
| Companyname | Integrationplan | Integrationprogress | Problemsencountered | Solutionstaken | Progress | Follow-upsolution |
| LongtermMedical,WinnerGuilin,WinnerMedical(Hunan),JunjianMedical,WinnerJinzhou | Buildandimprovethecorporategovernancestructuresforsubsidiaries,assigndirectors,supervisorsandfinancialofficerstothesubsidiaries,andappointgeneralmanagers.ClarifytheGeneralManagerResponsibilitySystemundertheGroup’scontrolstructure;formulateeffectiveplansforbusinessempowerment,controlandsynergyaccordingtothebusinessconditionsofsubsidiaries;improvetheefficiencyofcorporateoperations,andpromotethesubsidiaries’complianceaswellasorderly,steadydevelopment | TheCompanysetsoutclearrequirementsthroughtheauthorityandresponsibilityoperationmanualthat,formaterialmattersrelatedtocorporategovernancestructureandsystem,strategicplanning,investmentandfinancingactivities,assetleasingandtransfer,financialmanagement,humanresources,complianceandriskcontrol,informationtechnologyprojectsandotheroperationalactivities,subsidiariesshall,inaccordancewiththeauthorizationsystem,reporttotheCompanyforapprovalbeforeimplementation,andsubmitsuchmaterialmatterstotheCompany’sBoardofDirectorsforreviewandapprovalasperregulations. | N/A | N/A | N/A | N/A |
XVI.Internalcontrolevaluationreportorinternalcontrolauditreport
1.Internalcontrolevaluationreport
| Disclosuredateoffulltextofinternalcontrolevaluationreport | April25,2024 | ||
| Disclosureindexoffulltextofinternalcontrolevaluationreport | http://www.cninfo.com.cn | ||
| TheproportionofthetotalassetsoftheunitincludedinthescopeofevaluationinthetotalassetsoftheCompany’sconsolidatedfinancialstatements | 97.61% | ||
| TheproportionoftheoperatingincomeoftheunitincludedinthescopeofevaluationintheoperatingincomeoftheCompany’sconsolidatedfinancialstatements | 86.92% | ||
| Defectidentificationstandard | |||
| Class | FinancialReport | Non-financialreports | |
| Qualitativestandard | Significantdefects:1)Thecontrolenvironmentisinvalid;2)Thedirectors,supervisorsandseniormanagementoftheCompanycommitfraudandcausesignificantlossesandadverseeffectstotheCompany;3)Thecertifiedpublicaccountantfindsthatthereismaterialmisstatementinthecurrentfinancialreport,whichisnotfoundbytheinternalcontrolintheprocessofoperation;4)ThesupervisionoftheCompany’sAuditCommitteeandtheinternalauditinstitutionovertheinternalcontrolisinvalid.Majordefects:1)Failuretoselectandapplyaccountingpoliciesinaccordancewithgenerallyacceptedaccountingprinciples;2)Noanti-fraudproceduresandcontrolmeasureshavebeenestablished;3)Thereisnocorrespondingcontrolmechanismestablishedornoimplementationofandnocorrespondingcompensatorycontrolfortheaccountingtreatmentofnon-routineorspecialtransactions;4)Thereareoneormoredefectsinthecontrolofthefinancialreportingprocessattheendoftheperiod,anditcannotreasonablyguaranteethepreparedfinancialstatementstoachievethetrueandaccurategoal.Commondefects:Otherinternalcontroldefectsthatdonotconstitutesignificantdefectsormajordefects. | Significantdefects:lackofdemocraticdecision-makingprocess;thedecision-makingprocessleadstomajorerrors,theimportantbusinesslackssystemcontrolorissystematicallyinvalid,andlackofeffectivecompensatorycontrol;thelossofmiddleandseniormanagersandseniortechniciansisserious;theresultsofinternalcontrolevaluation,especiallythesignificantdefects,havenotbeenrectified;othersituationsthathaveasignificantnegativeimpactontheCompany.Majordefect:democraticdecision-makingprocessexistsbutisnotperfect;thedecision-makingprocessleadstogeneralerrors;therearedefectsinimportantbusinesssystemsorsystem;thelossofbusinesspersonnelinkeypositionsisserious;theresultsofinternalcontrolevaluation,especiallythemajordefects,havenotbeenrectified;othersituationsthathavealargenegativeimpactontheCompany.Commondefects:thedecision-makingprocessisinefficient;thegeneralbusinesssystemsorsystemhasdefects;thelossofbusinesspersonnelingeneralpositionsisserious;generaldefectshavenotbeenrectified. | |
| Quantitativestandards | Significantdefects:1.potentialmisstatementofoperatingincome≥2%ofthetotaloperatingincomeintheconsolidatedfinancialstatement;2.potentialmisstatementoftotalprofit≥5%ofthetotalprofitinconsolidatedfinancialstatement;3.potentialmisstatementoftotalassets≥2%ofthetotalassetsinconsolidatedstatement.Majordefects:1.1%oftheoperatingincomeintheconsolidatedfinancialstatement≤potentialmisstatementofoperatingincome＜2%oftheoperatingincomeintheconsolidatedfinancialstatement;2.2%ofthetotalprofitintheconsolidatedfinancialstatement≤potentialmisstatementofthetotalprofit<5%ofthetotalprofitintheconsolidatedfinancialstatement;3.1%ofthetotalassetsintheconsolidatedfinancialstatement≤potentialmisstatementoftotalassets<2%ofthetotalassetsintheconsolidatedfinancialstatement.Commondefects:1.potentialmisstatementofoperatingincome<1%ofthetotaloperatingincomeintheconsolidatedfinancialstatement;2.potentialmisstatementoftotalprofit<2%ofthetotalprofitinconsolidatedfinancialstatement;3.potentialmisstatementoftotalassets<1%ofthetotalassetsinconsolidatedstatement.Whenthepotentialmisstatementcausedbyaninternalcontroldefectaffectsmultipleindexes,thenatureofthedefectshallbedeterminedaccordingtotheprincipleofwhichislower. | Significantdefects:theamountoflossaccountedfor5%ormoreofthetotalprofitintheauditedconsolidatedfinancialstatementofthepreviousyear;Majordefects:theamountoflossaccountedfor2%(included)to5%ofthetotalprofitintheauditedconsolidatedfinancialstatementofthepreviousyear;Commondefects:theamountoflossislessthan2%ofthetotalprofitintheauditedconsolidatedfinancialstatementofthepreviousyear | |
| Numberofsignificantdefectsinfinancialreport | 0 | ||
| Numberofsignificantdefectsinnon-financialreport | 0 | ||
| Numberofmajordefectsinfinancialreport | 0 | ||
| Numberofmajordefectsinnon-financialreport | 0 | ||
2.Internalcontrolauditreportorauthenticationreport
Notapplicable
XVII.Rectificationofself-inspectionproblemsinthespecialactionongovernanceoflistedcompaniesNotapplicable.
I.Majorenvironmentalissues
Whetherthelistedcompanyanditssubsidiariesarekeypollutantdischargingunitsannouncedbyenvironmentalprotectionauthorities
√Yes□NoEnvironmentalprotection-relatedpoliciesandindustrystandardsTheCompanystrictlycomplieswithenvironmentalprotectionrelatedlawsandregulationsinitsdailyproductionandoperation,includingtheEnvironmentalProtectionLawofthePeople’sRepublicofChina,theLawofPeople’sRepublicofChinaonEnvironmentalImpactAssessmentandProtection,theLawofthePeople’sRepublicofChinaonthePreventionandControlofAtmosphericPollution,theLawofthePeople’sRepublicofChinaonPreventionandControlofEnvironmentalPollutionbySolidWaste,theWaterPollutionPreventionandControlLawofthePeople’sRepublicofChina,theLawofthePeople’sRepublicofChinaonthePreventionandControlofEnvironmentalNoisePollution,RegulationsonAdministrationofPollutantDischargePermits,andtheMeasuresfortheManagementofAutomaticPollutionSourcesMonitoringandGuidelinesforAutomaticPollutionSourcesMonitoringandManagementTechnologyofHubeiProvince;andstrictlyimplementsrelevantnationalemissionstandards,includingtheDischargeStandardsofWaterPollutantsforDyeingandFinishingofTextileIndustry(GB4287-2012),theIntegratedWastewaterDischargeStandard(GB8978-1996),theIntegratedEmissionStandardofAirPollutants(GB16297-1996),theEmissionStandardofAirPollutantsforBoiler(GB13271-2014),theEmissionStandardsforOdorPollutants(GB14554-1993),andtheEmissionStandardforIndustrialEnterprisesNoiseatBoundary(GB12348-2008).AdministrativelicenseforenvironmentalprotectionProjectpermitstatus
WinnerMedicalBranch
| Branch | Projectname | Approvalunit | Approvaltime | Acceptance |
| WinnerMedical(Chongyang) | Medicaldegreasinggauzeseriesproductionline | ChongyangCountyEnvironmentalProtectionBureau | September21,2005 | August22,2008 |
| Sterilizationpackagingandsterilizationproductionlineproject | March29,2013 | June26,2014 | ||
| Qingshanplantconstructionproject | November18,2015 | March01,2016 | ||
| Qingshansewagetreatmentplantproject | XianningEnvironmentalProtectionBureau | March01,2017 | March20,2017 | |
| Newlybuilt6390M2workshopproject | Registration | May17,2017 | / | |
| WinnerMedical(Jiayu) | Annualoutputof800tonsofdegreasedcottonproject | JiayuCountyEnvironmentalProtectionBureau | March20,2013 | September20,2014 |
| WinnerMedicalPurcottonconstructionproject | December25,2014 | September28,2017 | ||
| EnvironmentalImpactAssessmentReportofWinnerIndustrialPark(Jiayu)Project | ApprovedbyXianningEcologicalEnvironmentBureau | March15,2021 | Underconstruction | |
| WinnerMedical(Yichang) | Annualoutputof90millionmetersofmedicalgauzeproject | ZhijiangEnvironmentalProtectionBureau | December19,2014 | October14,2015 |
| WinnerMedical(Tianmen) | Purecottonspunlacenon-wovenfabricandmedicaldressingproductsproductionproject | TianmenEnvironmentalProtectionBureau | March11,2015 | PhaseIJanuary25,2017;PhaseIIMay10,2020;PhaseIIIDecember31,2022 |
| Medicaldressingproductionlineautomationupgradingproject | January19,2016 | March23,2018 | ||
| Medicalproductsterilizationcenterproject | January17,2022 | December31,2022 |
| Branch | Projectname | Approvalunit | Approvaltime | Acceptance |
| WinnerMedical(Jingmen) | 30millionmeters/yearmedicalgauzebleachingandrefiningproductionlineexpansionproject | JingmenEnvironmentalProtectionBureau | October18,1999 | December14,2001 |
| Reformandexpansionprojectofgauzepads,gauzesheetsandshrinkagebandages | September23,2003 | August03,2005 | ||
| Annualoutputof1500tde-bleachingmedicalgauzeproject | JingmenDongbaoDistrictEnvironmentalProtectionBureau | April05,2006 | September27,2017 | |
| WinnerMedicalPurcottonconstructionproject | JingmenEnvironmentalProtectionBureau | October19,2016 | September27,2017 | |
| Expansionprojectofdeblendedgauzeproductionline(PurcottonphaseIIexpansionproject) | JingmenEcologicalEnvironmentBureau | December24,2020 | Underconstruction | |
| WinnerMedical(Huanggang) | PhaseIofpurecottonspunlacenon-wovenfabricproductionproject | HubeiE.P.D. | August5,2011 | May8,2012; |
| PhaseIIofpurecottonspunlacenon-wovenfabricproductionproject | HuanggangEnvironmentalProtectionBureau | December31,2015 | January24,2017 | |
| NewprojectofPurcottondistributioncenter | June27,2016 | October10,2018 | ||
| Boilerremodelingproject | January29,2018 | November14,2019 | ||
| Foamrollproductionlineproject(expansion) | February05,2018 | October08,2018 | ||
| High-endwounddressingproductionlineconstructionproject | November06,2018 | Constructionhasnotstartedyet | ||
| Medicalprotectiveproductsrenovationproject | July20,2020 | October19,2021 | ||
| WinnerMedical(Wuhan) | HubeiWinnerMedicalCo.,Ltd.cottonspunlacednonwovensandproductsproductionproject | WuhanXinzhouDistrictAdministrationandApprovalBureau | July12,2017 | PhaseIJanuary18,2020;PhaseIIJune13,2023 |
| R&DCenterconstructionproject | December24,2018 | Constructionhasnotstartedyet | ||
| Newelectronacceleratorirradiatorproject | WuhanEnvironmentalProtectionBureau | January15,2018 | PhaseIMay15,2020;PhaseIINovember19,2021 | |
| Medicalprotectiveequipmentrenovationproject | XinzhouDistrictAdministrativeApprovalBureau | May07,2021 | Underconstruction | |
| WinnerMedicalphaseIIexpansionproject | AdministrativeApprovalBureauofWuhanEcologicalEnvironmentBureau | June21,2022 | Underconstruction | |
| Innovationresearchinstituteconstructionproject | August09,2022 | June13,2023 | ||
| WinnerMedical(Shenzhen) | PingshanSongzeIndustrialParkNewProjectofShenzhenBranchofWinnerMedicalCo.,Ltd. | ShenzhenEcologicalEnvironmentBureauPingshanAdministration | November26,2021 | March18,2022 |
| ExpansionProjectofShenzhenBranchofWinnerMedicalCo.,Ltd. | August11,2023 | December01,2023 | ||
| WinnerGuilin | ExpansionandTechnicalTransformationProjectofMedicalGloveProductionLineCapacity | AdministrativeApprovalBureauofGuilinCity | December30,2020 | March2022 |
| Annualoutputof200millionpairsofTPU-coveredmedicalgloves,automationupgradingandenergysavingretrofitproject | GuilinEcologicalEnvironmentBureau | May15,2023 | Underconstruction |
Sewagedischargeprocedures:
AllsubsidiariesoftheCompanyhaveappliedfordischargepermitsinaccordancewithrelevanttechnicalspecifications,includingTechnicalSpecificationsfortheApplicationandIssuanceofPollutantPermit-GeneralRules(HJ942-2018),TechnicalSpecificationsfortheApplicationandIssuanceofPollutantPermit-TextileandDyeingIndustry(HJ861-2017),TechnicalSpecificationsfortheApplicationandIssuanceofPollutantPermit-Boiler(HJ953-2018),TechnicalSpecificationsfortheApplicationandIssuanceofPollutantPermit-GeneralWastewaterTreatingProcess(HJ1120-2020),Self-monitoringTechnologyGuidelinesforPollutionSources-GeneralRules(HJ819-2017),TechnicalSpecificationsforEnvironmentalManagementLedgerandEmissionPermitImplementationReportforPollutionSources-GeneralRules(Trial)(HJ944-2018),Self-monitoringTechnologyGuidelinesforPollutionSources-TextileandDyeingIndustry(HJ879-2017),andSelf-monitoringTechnologyGuidelinesforPollutionSources-ThermalPowerGenerationandBoiler(HJ820-2017).Thestatusofemissionpermitsforeachandsubsidiaryisasfollows:
WinnerMedicalSubsidiaries
| Subsidiaries | Certificatetype | CertificateNo. | Validity | Remark |
| ChongyangPlantI | Pollutantdischargepermit | 91421223732699160U003P | August12,2023-August11,2028 | |
| ChongyangPlantII | Dischargeregistrationform | 91421223732699160U001P | April28,2020-April27,2025 | |
| ChongyangPlantIII | Dischargeregistrationform | 91421223732699160U002w | April28,2020-April27,2025 | |
| WinnerMedical(Huanggang) | Pollutantdischargepermit | 91421100767435675X001V | September22,2023-September21,2028 | |
| WinnerMedical(Jiayu) | Pollutantdischargepermit | 914212217261049092001V | August21,2023-August20,2028 | |
| WinnerMedical(Jiayu)-NewFactory | Pollutantdischargepermit | 914212217261049092002P | September7,2023-September6,2028 | Inactive |
| WinnerMedical(Jingmen) | Pollutantdischargepermit | 914208006158216140001P | August27,2023-August26,2028 | |
| WinnerMedical(Tianmen) | Pollutantdischargepermit | 914290067261112368001P | December13,2022-August30,2027 | |
| WinnerMedical(Wuhan) | Pollutantdischargepermit | 91420000MA48TD7BXB001V | September1,2023-August31,2028 | |
| WinnerMedical(Yichang) | Dischargeregistrationform | 91420583706860379K001W | April30,2020-April29,2025 | |
| WinnerMedical(Shenzhen) | Pollutantdischargepermit | 91440300MA5GKGMX3Y001W | November8,2023-November7,2028 | |
| WinnerGuilin | Pollutantdischargepermit | 914503008988813841001U | March24,2022-March23,2027 | |
| WinnerMedical(Hunan) | Dischargeregistrationform | 91430723565949803B001X | June5,2020-June4,2025 | |
| LongtermMedical | Dischargeregistrationform | 91330500051340478U001Z | May29,2020-May28,2025 |
Industryemissionstandardsanddetailsofpollutantemissionsinvolvedinproductionandoperationactivities
| Companyorsubsidiaryname | Categoryofmainpollutantsandcharacteristicpollutants | Namesofmainpollutantsandcharacteristicpollutants | Emissionmode | Numberofdischargeoutlets | Distributionofdischargeoutlets | Emissionconcentration/intensity | Pollutantemissionstandardsimplemented | Totalemissions | Totalemissionsapproved | Emissionsbeyondstandards |
| WinnerMedical(Chongyang)Co.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | 1 | Boilerdischargeoutlet | 6.2mg/m3,<3mg/m3,136mg/m3 | 20mg/m3,50mg/m3,200mg/m3 | NOX:0.378T,SO2:0.008T | NOX:13.28T/a,SO2:3.32T/a | Notexceedingthestandard |
| WinnerMedical(Chongyang)Co.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Directdischarge | 1 | Sewagedischargeoutlet | 7.6,65mg/L,18.4mg/L,0.18mg/L,5mg/L | 6-9,80mg/L,20mg/L,10mg/L,50mg/L | COD:14.53T,NH3-N:0.26T | COD:57.6T/a,NH3-N:7.27T/a | Notexceedingthestandard |
| WinnerMedical(Jiayu)Co.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | 1 | Boilerdischargeoutlet | 8.3mg/m3,<3mg/m3,87mg/m3 | 20mg/m3,50mg/m3,200mg/m3 | NOX:2.692T,SO2:0.078T | NOX:unlicensed,SO2:unlicensed | Notexceedingthestandard |
| WinnerMedical(Jiayu)Co.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Directdischarge | 1 | Sewagedischargeoutlet | 7.4,25mg/L,8.0mg/L,0.323mg/L,9mg/L | 6-9,100mg/L,20mg/L,15mg/L,70mg/L | COD:11.45T,NH3-N:0.534T | COD:44.7T/a,NH3-N:1.19T/a | Notexceedingthestandard |
| WinnerMedical(Huanggang)Co.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | 2 | 1#2#boilerdischargeoutlet | 10.6/8.0mg/m3,<3mg/m3,93/87mg/m3 | 20mg/m3,50mg/m3,200mg/m3 | NOX:11.9T,SO2:0.12T | NOX:23.52T/a,SO2:unlicensed | Notexceedingthestandard |
| WinnerMedical(Huanggang)Co.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Indirectdischarge | 1 | Sewagedischargeoutlet | 7.2,68mg/L,14.3mg/L,2.78mg/L,22mg/L | 6-9,500mg/L,300mg/L,45mg/L,400mg/L | COD:47.06T,NH3-N:1.02T | COD:78.5T/a,NH3-N:7.85T/a | Notexceedingthestandard |
| WinnerMedical(Tianmen)Co.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | 1 | Boilerdischargeoutlet | 2.8mg/m3,<3mg/m3,104mg/m3 | 20mg/m3,50mg/m3,200mg/m3 | NOX:3.167T,SO2:0.107T | NOX:16.8764T/a,SO2:1.804T/a | Notexceedingthestandard |
| WinnerMedical(Tianmen)Co.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Indirectdischarge | 1 | Sewagedischargeoutlet | 7.2,45mg/L,24.6mg/L,0.83mg/L,20mg/L | 6-9,400mg/L,150mg/,30mg/L,250mg/L | COD:12.09TNH3-N:0.431T | COD:62.573T/a,NH3-N:6.2573T/ | Notexceedingthestandard |
| WinnerMedical(Wuhan)Co.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | / | / | / | / | / | Noboiler,nolicense | Notexceedingthestandard |
WinnerMedicalCompanyorsubsidiaryname
| Companyorsubsidiaryname | Categoryofmainpollutantsandcharacteristicpollutants | Namesofmainpollutantsandcharacteristicpollutants | Emissionmode | Numberofdischargeoutlets | Distributionofdischargeoutlets | Emissionconcentration/intensity | PollutionSolidwasteemissionstandardsimplemented | Totalemissions | Totalemissionsapproved | Emissionsbeyondstandards |
| WinnerMedical(Wuhan)Co.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,chromaticity | Indirectdischarge | 1 | Sewagedischargeoutlet | 7.4,203mg/L,39.0mg/L,1.1mg/L,3 | 6-9,500mg/L,300mg/L,45mg/L,64 | COD:32.51T,NH3-N:3.251T | COD:90.35T/a,NH3-N:9.04T/a | Notexceedingthestandard |
| WinnerMedical(Jingmen)Co.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | 1 | Boilerdischargeoutlet | 2.8mg/m3,<3mg/m3,86mg/m3 | 20mg/m3,50mg/m3,150mg/m3 | NOX:1.51T,SO2:0.107T | NOX:10.83T/a,SO2:3.11T/a | Notexceedingthestandard |
| WinnerMedical(Jingmen)Co.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Indirectdischarge | 1 | Sewagedischargeoutlet | 8.1,43mg/L,9.4mg/L,0.54mg/L,12mg/L | 6-9,200mg/L,50mg/L,20mg/L,100mg/L | COD:9.3T,NH3-N:0.93T | COD:19.48T/a,NH3-N:1.95T/a | Notexceedingthestandard |
| YichangWinnerMedicalTextileCo.,Ltd. | Gaseouspollutants | PM,SO2,NOX | / | 1 | Boilerdischargeoutlet | / | 20mg/m3,50mg/m3,150mg/m3 | Unlicensed | Unlicensed | Decommissionedin2023 |
| YichangWinnerMedicalTextileCo.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Indirectdischarge | 1 | Sewagedischargeoutlet | 7.6,131mg/L,39.3mg/L,12.5mg/L,45mg/L | 6-9,500mg/L,300mg/L,45mg/L,400mg/L | Unlicensed | Unlicensed | Notexceedingthestandard |
| ShenzhenBranchofWinnerMedicalCo.,Ltd. | Gaseouspollutants | HCl,VOC | / | 2 | Productionexhaustgasoutlet | 2.86/0.9mg/m3,3/0.94mg/m3 | 100mg/m3,80mg/m3 | Unlicensed | Unlicensed | Notexceedingthestandard |
| WinnerGuilinLatexCo.,Ltd. | Liquidpollutants | PH,COD,BOD,NH3-N,SS | Indirectdischarge | 1 | Sewagedischargeoutlet | 7.4,54mg/L,16mg/L,4.2mg/L,110mg/L | 6-9,300mg/L,80mg/L,30mg/L,150mg/L | Unlicensed | Unlicensed | Notexceedingthestandard |
| WinnerMedical(Hunan)Co.,Ltd. | Liquidpollutants | Residualchlorine | Indirectdischarge | 1 | Sewagedischargeoutlet | 0.2mg/L | - | Unlicensed | Unlicensed | Notexceedingthestandard |
| ZhejiangLongtermMedicalTechnologyCo.,Ltd. | Liquidpollutants | PH,COD,NH3-N | Indirectdischarge | 1 | Sewagedischargeoutlet | 7.3,300mg/L,0.195mg/L | 6-9,500mg/L,45mg/L | Unlicensed | Unlicensed | Notexceedingthestandard |
Processingofpollutants
(1)WinnerMedical(Jiayu)Co.,Ltd.Itisakeywastewaterdischargeenterprise,andthewastewatermainlyincludesdomesticsewageandproductionwastewater.Domesticsewage(includingcanteenwastewater)isfirsttreatedinoilseparationtankandseptictank,andthenmixedwithproductionwastewatertoenterthesewagetreatmentstationintheplant.Thesewagetreatmentstationadopts“hydrolysisacidification+biologicalcontactoxidationmethod”fortreatment,andthendischargedfromthedrainageoutletthroughpipelineafterreachingthestandard.Thewastewaterhasbeeninstalledwithon-linemonitoring.ThesewagetreatmentstationpassedtheenvironmentalprotectionacceptanceaftercompletionofEnvironmentalProtectionBureauofJiayuCountyonSeptember28,2017,implementingthelimitvalueofDischargeStandardsofWaterPollutantsforDyeingandFinishingofTextileIndustry(GB4287-2012).Thesewageplant’sstructureisconcretestructure,withaservicelifeof20yearsandenvironmentalprotectionequipmentfor10years.Solidwasteismainlydomesticwasteofemployees;impurities(cottonresidue,cottondustandcottonbatting)generatedintheproductionprocessandcottondustcollectedbydustremovalequipment;theleftovermaterialsproducedintheslicingprocess;sludgefromsewagetreatmentstation;thehazardouswastegeneratedischemicalmaterialpackagingbarrel.Forgeneralsolidwastes,disposalagreementsaresignedwithdisposalunits;forhazardouswastes,disposalagreementsaresignedwithqualifieddisposalunits.
(2)WinnerMedical(Chongyang)Co.,Ltd.Itisakeywastewaterdischargeenterprise.Thewastewateroftheprojectmainlyincludesdomesticsewage,productionwastewaterandexperimentalwastewater,etc.Theproductionwastewaterisdischargedintothewastewatertreatmentstation(hydrolysisacidification+biologicalcontactoxidationmethod),andthetreatmentreachesthestandard;theexperimentalwastewaterishazardouswasteandhasbeenentrustedtoathirdpartycompanyfortreatment.Thedomesticsewageoftheemployeesandproductionwastewatergeneratedbytheenterprisearedirectlydischargedintothesewagetreatmentplantanddischargedafterreachingthestandard.Onlinemonitoringofwastewaterhasbeeninstalled,andthesewagestationcompletedindependentacceptanceonMarch20,2017,implementingthelimitvalueofDischargeStandardsofWaterPollutantsforDyeingandFinishingofTextileIndustry(GB4287-2012)Thesewageplant’sstructureisconcretestructure,withaservicelifeof20yearsandenvironmentalprotectionequipmentfor10years.Solidwastemainlyincludesofficeanddomesticwasteofemployees,dust,leftovermaterialsandunqualifiedproductsproducedinproduction.Fordomesticwasteandgeneralsolidwaste,disposalagreementsaresignedwithdisposalunits,andforhazardouswaste,entrustmentagreementsaresignedwiththirdparties.
(3)YichangWinnerMedicalTextileCo.,Ltd.:
Noproductionwastewaterdischarge,domesticwastewaterentersthemunicipalpipenetwork,andcleanenergynaturalgasisusedasfuel.Thegasboilerwasdecommissionedin2022.
(4)WinnerMedical(Tianmen)Co.,Ltd.Itisakeywastewaterdischargeenterprise.Thewastewatermainlycomesfromtheproductionwastewaterproducedbythedegreasingandbleachingworkshopandthedomesticsewageintheplantarea.ThemainpollutantsarepH,COD,suspendedsolidsandBOD5.Theproductionwastewaterisdischargedtothesewagetreatmentstation(hydrolysisacidification+biologicalcontactoxidationmethod),andthetreatmentreachesthestandard;domesticsewageentersthesewagetreatmentstationandistreatedwiththeproductionwastewater.Onlinemonitoringofwastewaterhasbeeninstalled,andthephaseIprojectofthesewagestationcompletedindependentacceptanceonMarch23,2018,implementingthelimitvalueofDischargeStandardsofWaterPollutantsforDyeingandFinishingofTextileIndustry(GB4287-2012).Thesewageplant’sstructureisconcretestructure,withaservicelifeof20yearsandenvironmentalprotectionequipmentfor10years.Treatmentagreementsaresignedwithdisposalunitsforgeneralsolidwasteanddomesticwaste.Hazardoussolidwasteismainlychemicalmaterialpackagingbarrels,whichrawmaterialsuppliersrecycle,andnohazardouswasteistransferredfordisposal.
(5)WinnerMedical(Jingmen)Co.,Ltd.Itisakeywastewaterdischargeenterprise,andthewastewaterdischargedbytheenterpriseismainlyproductionwastewateranddomesticsewage.Theproductionwastewatermainlycomesfromthescouringandbleachingprocess.ThePHvalueofthewastewaterisobviouslyalkalineandtheCODvalueishigh,butthereisnoharmfulpoisonoussubstanceinit.Thewastewaterisdischargedintotheself-builtsewagestation,treatedby“flocculationprecipitation+hydrolysisacidification+biologicalcontactoxidationmethod+biologicalaeratedfilter”,andthendischargedintothedownstreammunicipalsewageplant.Aftersimpletreatmentinseptictank,domesticsewagewillbetreatedinself-builtsewagestation.Thesewagestationhasbeenbuilt,onlinewastewatermonitoringhasbeeninstalled,andthepollutantdischargepermithasbeenobtained.Itistobeaccepted.ItimplementsthelimitvalueofDischargeStandardsofWaterPollutantsforDyeingandFinishingofTextileIndustry(GB4287-2012).Thesewageplant’sstructureisconcretestructure,withaservicelifeof20yearsandenvironmentalprotectionequipmentfor10years.Fordomesticwasteandgeneralsolidwastes,disposalagreementsaresignedwithdisposalunits,andforhazardouswastes,transferagreementsaresignedwiththird-partydisposalunits.
(6)WinnerMedical(Huanggang)Co.,Ltd.Itisakeywastewaterdischargeenterprise,andthewastewaterdischargedbytheenterpriseismainlyproductionwastewateranddomesticsewage.Thewastewatermainlycomesfromspunlaceformingprocess,degreasing/bleachingprocessandsoftwaterpreparationprocess.Mostofthewastewaterfromspunlaceformingprocessisreusedforproductionafterbeingtreatedbywatertreatmentcirculationsystem,whileasmallpartofthewastewateraredischargedintotheself-builtsewagestationwiththatfromdegreasing/bleachingprocess,andthendischargedafterbeingtreatedby“hydrolysisacidification+biologicalcontactoxidation”andreachingthestandard.Aftersimpletreatmentinseptictank,domesticsewagewillbetreatedinself-builtsewagestation.Onlinemonitoringofwastewaterhasbeeninstalled,andthesewagestationpassedtheenvironmentalprotectionacceptanceaftercompletionofEnvironmentalProtectionBureauofHuanggangCityonJanuary24,2017,implementingthelevelIIIstandardlimitinTable4ofIntegratedWastewaterDischargeStandard(GB8978-1996).Thesewageplant’sstructureisconcretestructure,withaservicelifeof20yearsandenvironmentalprotectionequipmentfor10years.Thesolidwastesoftheprojectincludegeneralsolidwastes,othersolidwastesandhazardoussolidwastes.Thegeneralsolidwastesaremainlycottonimpurities,leftovermaterials,defectiveproducts,boilercoalcinders,sludgefromsewagetreatmentfacilities,etc.generatedintheproductionprocess.Othersolidwastesaredomesticwastesgeneratedfromofficeandlife.Amongthem,cottonimpurities,leftovermaterialsanddefectiveproductsaresoldforcomprehensiveutilization;afterthesludgeisdehydrated,itwillbetreatedbytheenvironmentalsanitationdepartmenttogetherwiththedomesticwaste.Hazardoussolidwastesaremainlychemicalwastepackagingbarrels,whichrawmaterialsuppliersrecycle,andthewasteoilisstoredintheplantarea,anddeliveredtoqualifiedunitsfordisposalafterreachingthetransportationvolume.
(7)WinnerMedical(Wuhan)Co.,Ltd.Itisakeywastewaterdischargeenterprise.Theproject’swastewatermainlyincludespreparation,spunlaced,degreasing,bleaching,domesticwater,etc.Thewastewaterdischargeoftheprojectis2126.93t/dafterthecompletionofphaseI,4067.11t/dafterphaseII,and6004.5t/dafterphaseIII.Thewastewaterundergoestreatmentusingthe‘hydrolysisacidification+anaerobic+biologicalcontactoxidationmethod.’Onlinemonitoringhasbeeninstalledforthewastewater.TheinitialphaseofthesewagestationcompleteditsindependentacceptanceonJanuary7,2020,whilethesecondphaseconcludedin2023.TheindependentacceptanceofthesecondphaseprojectwasfinalizedonJune13.Thethird-levelstandardlimitsoutlinedinTable4oftheIntegratedWastewaterDischargeStandard(GB8978-1996)wereimplemented.Thesewageplant’sstructureisconcretestructure,withaservicelifeof20yearsandenvironmentalprotectionequipmentfor10years.Thesolidwastesoftheprojectaremainlydividedintogeneralsolidwastes,othersolidwastesandhazardoussolidwastes.Amongthem,cottonimpurities,leftovermaterials,defectiveproductsandfiberdustarepurchasedandrecycled,andsludgeanddomesticwastearedisposedbytheenvironmentalsanitationdepartment.AccordingtotheStandardforPollutionControlonHazardousWasteStorage(GB18597-2023),thetemporarystorageroomofhazardouswasteshallbeconstructedandthehazardouswasteshallbestoredasrequired.Meanwhile,thedailymanagementofhazardouswasteshouldbestrengthened.Disposalagreementsforallhazardouswastearesignedwiththequalifiedunits.
(8)ShenzhenBranchofWinnerMedicalCo.,Ltd.Aftertheproductionwastewateriscollected,itshouldbeentrustedtoaqualifiedunitfortreatmentandwillnotbedischarged.Asmallamountofacidicwastegasandorganicwastegasaredischargedafterspraying+activatedcarbonadsorption.Generalsolidwastemainlyconsistsofwastepackagingandstickers,whicharecollectedandprocessedbyspecializedrecyclingunits.Hazardouswastemainlyincludeswastecontainers,wasteactivatedcarbon,biologicalwaste,etc.,whicharetemporarilystoredinhazardouswastestorageroomsandareregularlyentrustedtoqualifiedunitsforcentralizedprocessing.HazardouswasteisstoredinaccordancewiththeStandardforPollutionControlonHazardousWasteStorage(GB18597-2023).
(9)WinnerGuilinLatexCo.,Ltd.Thewastewateroftheprojectmainlyincludesmoldcleaningwastewater,leachingwastewater,soakingwastewaterandequipmentcleaningwastewater,andtheproductionwastewatercontainsgum,insolublecoagulantandimpuritiesinotherrawandauxiliarymaterials,whicharepretreatedandremovedbeforeenteringthecomprehensivewastewatertreatmentstationintheplant.Theexistingthree-stageseptictanktreatsthedomesticwastewaterofemployeesandthenentersthecomprehensivesewagetreatmentstationtogetherwiththepretreatedproductionwastewater.Thestationadoptsanairflotation+filtrationprocessanddischargestreatedwaterintothemunicipalsewagetreatmentplant.Theexhaustgasfromcompoundpreparation,pre-vulcanizationtank,latexparkingtank,latexdippingdryingandpost-vulcanizationiscollectedanddischargedaftertreatmentbyexhaustgastreatmentsystem(waterspray+dehumidification+activatedcarbonadsorption).Generalindustrialsolidwasteiswasterubber,unqualifiedproducts,wastepackagingshallbetakenupbythelatexsupplierforregularrecycling,sludgeanddomesticwasteshallbetakenupbythelocalsanitationdepartmentforunifiedcleaninganddisposal.Hazardouswastesarewasteresinandwasteactivatedcarbon.Theyshallbecollectedcentrallyandentrustedtounitswithcorrespondinghazardouswastetreatmentqualificationsfordisposal.
(10)WinnerMedical(Hunan)Co.,Ltd.Asmallamountofproductionwastewateranddomesticsewageisdischarged,amongwhichproductionwastewatermainlyincludescleaningwastewater,workshopcleaningwastewater,ethyleneoxideexhaustabsorptionwastewaterandpurewaterpreparationwastewater.Thewastewater,includingthecleaningwastewaterandworkshopcleaningwastewatertreatedbysedimentationtank,theethyleneoxideexhaustabsorptionwastewatertreatedbyadsorptionmethod,andthecanteenwastewaterpretreatedbygreasetrap,willbedischargedtoseptictankfortreatment,andtoLiCountyWastewaterTreatmentPlantforfurthertreatmentthroughmunicipalpipelinenetwork.Thewastegas,includingtheInjectionmoldingwastegas,organicwastegasvolatilizedfromprintingprocess,andorganicwastegasfrombonding,willbecollectedandtreatedbylyesprayingtower,andthensenttothe“UVphotolysis+activatedcarbonadsorptiondevice”fortreatment.Aftertreatment,thewastegaswillbedischargedthrougha15mexhaustpipe.Thegeneralindustrialsolidwasteconsistsofwastefabricandwastepackagingmaterials,whicharecollectedandrecycledbythematerialcompanyforcomprehensivepurposes.Hazardouswastesarewasterawmaterialdrums,wasteactivatedcarbon,wastemineraloil,wasteUVphotolysislampsandwasteadsorbent,whicharecollectedcentrallyafterclassificationanddisposedofbyunitsentrustedwiththecorrespondinghazardouswastetreatmentqualification.
(11)ZhejiangLongtermMedicalTechnologyCo.,Ltd.Cleaningwastewater,concentratedwaterforpurewaterpreparationanddomesticsewagearedischarged.Theseptictankinthefactorypretreatsdomesticsewage,andthenpipedtoDeqingHengfengSewageTreatmentCo.,Ltd.forcentralizedtreatmentwiththeconcentratedwaterforpurewaterpreparationanddomesticsewage.Processexhaustgasistreatedbyonesetofphoto-oxidationcatalytictreatmentequipmentandthendischargedthrougha15mexhaustfunnel.Afterthedustisprocessedbyabagdustcollector,theexhaustgasisdischargedthrougha15-meter-highexhaustpipe.Thesolidwastesaremainlythewastefromthedailylifeofemployeesandsolidwastesfromthecanteenaredisposedofbysanitationdepartment,thetrimmingsanddefectiveproductsgeneratedintheproductionprocess,wastepackagingbagsgeneratedfromrawandauxiliarymaterialsaresoldtomaterialrecyclingcompanies;hazardouswastesarewasteactivatedcarbongeneratedintheprocessofwastegastreatmentandethyleneoxidewasteliquidgeneratedintheprocessofsterilization,whichisentrustedtocorrespondingqualifiedcompaniesfortreatment.
EmergencyplanforenvironmentalemergenciesInordertofurtherimprovetheemergencymanagementsystemofenvironmentalpollutionaccidents,improvetheabilitytodealwithmajorenvironmentalpollutionaccidentstoensurethesafetyofproductionandoperation,improvetheabilityofemployeestodealwithaccidents,standardizetheCompany’semergencymanagementandrespondemergencyprocedures,andimplementemergencyrescueworkinatimelyandeffectivemanner,preventandreducetheoccurrenceofaccidentstothegreatestextent,WinnerMedicalCo.,Ltd.anditssubsidiarieshavesetupanenvironmentalaccidentemergencyleadinggroupandformulatedtheEmergencyPlanforEnvironmentalAccidents.Environmentalself-monitoringschemeAllcompanieshaveappliedfordischargepermits,ofwhichtheself-monitoringprogramsareformulatedinaccordancewiththerelevantindustrynorms.Pollutantsaremainlydetectedthroughacombinationofmanuallaboratorytests+commissionedmonitoring+onlinemonitoring.Thekeysewagesubsidiariesinvolvedintheproductionofwastewaterdischargeareinstalledwithonlinemonitoringsystems,whicharenetworkedwithgovernmentauthoritiesforreal-timemonitoring,andtheonlinemonitoringequipmentisentrustedtoaprofessionalthird-partycompanyforoperationandmaintenance.Commissionedmonitoringandmanualmonitoringprojectsareimplementedaccordingtotherequirementsofthemonitoringprogram,andthemonitoringresultsarereleasedinatimelymannerontheprovincialpollutantplatform.Self-monitoringschemeofeachcompanyismadepubliconthenationalpollutantdischargepermitmanagementplatform.InvestmentinenvironmentaltreatmentandprotectionandrelatedinformationonpaymentofenvironmentalprotectiontaxIn2023,theCompanyanditssubsidiariescollectivelydisbursed133,000yuanforenvironmentalprotectiontaxes.Measurestakentoreduceitscarbonemissionsduringthereportingperiodandtheireffects
√Applicable□NotapplicableTheCompanyhasbeenactivelyengagedinenergy-savingandconsumptionreductionactivitiesbytakingmeasuressuchasswitchingtohigh-efficiencymotors,implementingwasteheatrecovery,andoptimizingpipelines.Duringthereportingperiod,atotalof8millionyuanwassavedinenergycosts.Administrativepenaltiesimposedduetoenvironmentalissuesduringthereportingperiod
WinnerMedicalCompanyorsubsidiaryname
| Companyorsubsidiaryname | Reasonsforpenalty | Violations | Punishment | Impactsontheproductionandoperationoflistedcompanies | RectificationmeasuresoftheCompany |
| N/A | N/A | N/A | N/A | N/A | N/A |
OtherenvironmentalinformationthatshouldbedisclosedNone.OtherinformationrelatedtoenvironmentalprotectionNone
TheCompanyneedstocomplywiththedisclosurerequirementsofthe“TextileandApparelBusiness”stipulatedintheNo.3GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-IndustryInformationDisclosure.InformationonenvironmentalaccidentsoflistedcompaniesNone.
II.Socialresponsibility
Wewillalwaysprioritize“qualityoverprofit,brandoverspeed,andsocialresponsibilityovercorporatevalue”.Wearemeticulous,responsible,resilient,andcommittedtofulfillingoursocialobligations.Webelievethatbyprioritizingthesymbiosisandco-prosperityofcorporateandsocialvalues,persistinginandinnovatingwithintherealmofsocialresponsibility,andcraftingenvironmentallyfriendlyproductsendorsedbysociety,wecanseizebroaderandmorediverseinnovationopportunitiesandadvancefurtheralongthepathofsustainabledevelopment.
1.ProductsandcustomerresponsibilitiesIntermsofscientificresearchandinnovation,theCompanyactivelydrivestheimplementationofresearchfindings,acceleratingtheefficiencyofscientificresearchandtechnologytransformation.Numerousprojectsinmedicaldressingsandconsumergoodshaveachievedtechnologicalbreakthroughs,enablingmassproductionandmarketing.NewfoamdressingproductshavebeenaddedtotheShenzhenstandardcertificationcatalogforthemedicaldeviceindustry.Furthermore,Purcotton’sgauzebathtowelshaveearnedtheindustry’sfirstcertificationforbeingfreeofaddedsofteners,ensuringconsumersreceivehigherqualitycottonproducts.Inqualitymanagement,theCompanyupholdstheprincipleof“qualityoverprofit”andplacessignificantemphasisonensuringproductquality.Throughthe“WinnerMedical(Wuhan)MedicalTextileIntelligentManufacturingDemonstrationFactory”project,WinnerMedicalwassuccessfullyselectedasoneoftheintelligentmanufacturingdemonstrationfactorieslistedbytheMinistryofIndustryandInformationTechnologyin2023.Additionally,thequalitymanagementcenterachievedISO9001qualitymanagementsystemcertification,andCottonErawashonoredasa“LonghuaDistrictQualityProductionDemonstrationEnterprise”.Intermsofcustomerservice,weadheretoacustomer-centeredapproach,continuallyinnovatingandenhancingservicemodels.Initiativessuchasthe“VoiceofCustomers”and“MysteryShopper”projectsareinnovativelydesignedtoenhancecustomersatisfaction.Ourgoalistosharethecomfortandbeautyofcottonwithcustomerswhileensuringtheirpeaceofmind.Intermsofproductionsafety,theCompanycontinuallyenhancestheproductionsafetymanagementmechanism.Itactivelyconductsinvestigationsintopotentialsafetyhazards,assessesrisks,andimplementscontrolstoensureoverallproductionsafetyismanageable.Simultaneously,itfocusesonpreventinginternalandexternalinformationsecurityriskstosafeguardinternalandexternalinformationsecurity.In2023,theCompanyincurrednoadministrativepenaltiesforproductionsafety,andtherewerenomajorproductionsafetyaccidents.
2.Environmentresponsibility
Alignedwiththegoalof“achievingcarbonpeakby2027andcarbonneutralityby2050”,theCompanyisdrivingthedevelopmentofagreenandlow-carbondemonstrationprojectthroughacomprehensiveapproachspanningproductiontoconsumption.Ontheproductionside,WinnerMedical(Wuhan)Co.,Ltd.wasawardedthetitleof“GreenFactory”,recognizingitsexpertiseinsystematic,intelligentenergy-saving,andenvironmentalmanagement.Ontheconsumerside,theCompanyhasimplementedthe“ZeroPlasticProgram”forgreenpackaging,distributingatotalof48.05millionnon-wovenenvironmentalshoppingbagstoreplaceplasticbags,thuscontributingtoabetterenvironment.
3.Responsibilitiesofemployeesandcommunities
TheCompanyalwaysputsitsemployeesfirst,continuallyenhancingtheirbenefitsandworkingenvironment.Itstrengthensemployeetrainingprogramsandoffersdiversecareerdevelopmentpathstohelpthemrealizetheirpotential.Additionally,itprioritizesemployees’physicalandmentalhealth,fosteringcohesionandasenseofbelongingthroughvariouscultural,sportsactivities,andhealthlectures.
TheCompanyactivelyengagesinvariousphilanthropicactivities,aimingtoprovidemedicalassistanceandhealtheducationservicestolocalcommunities.InDecember2023,followingtheearthquakeinJishishanCounty,GansuProvince,wepartneredwiththeBeijingPublicHealthFoundationtodonatesuppliesworthoveronemillionyuan.Theseincludedfirstaidkits,medicalsurgicalmasks,surgicalgloves,cottonsanitarywipes,Fengroucottonthermalstoragesets,andmore.Additionally,ourbrandsPurcottonandNicePrincesspromptlyinitiateddisasterreliefefforts,collaboratingwiththeChinaWomen’sDevelopmentFoundationtodonate40,000pairsofpajamasand800,000sanitarynapkinstotheearthquake-affectedarea.Nearlytwomillionyuanwasallocatedtosupportmedicalinstitutions,affectedindividuals,anddisasterreliefpersonnelintheearthquake-strickenregions.Furthermore,theCompanycollaborateswithcharitableorganizationstoorganizedonationactivitiesfortheelderly,demonstratingcorporatesocialresponsibilitythroughtangibleactions.
III.ConsolidatingandexpandingtheachievementsofpovertyalleviationandruralrevitalizationRespondingactivelytothenationalinitiative,weleverageourresourceadvantagestocontributetoruralrevitalization.In2023,theCompanyparticipatedinthe“GuangdongExpoRuralClassroom”on-campusevent,providingactivesupportforeducationaldevelopmentinLuobaTownandpromotingculturalcreativitytoaidruralrevitalizationefforts.Wedonated171computersuppliestotheGuangdongProvincialEducationFoundation,establishingacomputerlaboratorytoenablechildreninimpoverishedmountainousareastoutilizecomputersforlearning,broadeningtheirhorizons,andacquiringpracticalcomputeroperationskills.
I.Performanceinfulfillingcommitments
1.CommitmentsfulfilledwithinandnotfulfilledbytheendofthereportingperiodbytheCompany’sactualcontroller,shareholders,relatedparties,acquirerandothercommitmentparties
√Applicable□Notapplicable
WinnerMedicalCommitment
reason
| Commitmentreason | Commitmentparty | Commitmenttype | Commitmentcontent | Commitmenttime | Timelimitforacceptance | Degreeofperformance |
| CommitmentmadeatthetimeofIPOorrefinancing | WinnerGroup,LiJianquan,XiePing,LiXiaoyuan | IPOlock-up | Within36monthsfromthedateoflistingandtradingoftheCompany’sshares,theCompanyshallnottransferorentrustotherstomanagethesharesdirectlyorindirectlyheldbytheCompanythathavebeenissuedbeforetheinitialpublicofferingoftheCompany’sshares,norshalltheCompanyrepurchasesuchshares | September17,2020 | 2023September17th | Completionofperformance |
| WinnerGroup,LiJianquan,XiamenLeyuanInvestmentPartnership(L.P.),BeijingSequoiaXinyuanEquityInvestmentCenter(LimitedPartnership) | IPOreduction | TheCompanyguaranteesthatitwillabidebytherelevantlaws,regulations,departmentalrulesandnormativedocumentsinforceatthattimeonreducingshareholders’sharesofthelistedCompany.WhenreducingthesharesoftheCompanythatheldbytheenterpriseissuedpriortotheIPO,theenterprisewillinformtheCompanyinadvanceofthereductionintentionandthenumberofsharestobereducedinwrittenform,TheCompanyshallmakeanannouncementthreetradingdaysinadvance,exceptwhenthesharesoftheCompanyheldbytheenterprisearelessthan5%. | September17,2020 | Long-termperformance | Inperformance | |
| WinnerMedical,WinnerGroup,LiJianquan | SharerepurchaseuponIPOfraudulentlisting | ThereisnofraudulentissuanceintheprocessofthispublicofferingandlistingonGEM;ifthesecuritiesregulatoryauthority,thestockexchangeorthejudicialauthoritydeterminesthattheCompanyhasfraudulentissuancebehavior,whichhasasignificantandsubstantialimpactonjudgingwhethertheissuermeetstheissuanceconditionsstipulatedbylaw,theCompanywillbepunishedbythesecuritiesregulatoryauthority,thestockexchangeorthejudicialauthorityWithin5workingdaysfromthedatewhentheillegalfactsarefinallyconfirmedbythestockexchangeorthejudicialauthorityandothercompetentauthority,thestockrepurchaseplanshallbeformulatedinaccordancewiththerelevantlawsandregulationsandtheArticlesofAssociation,andallthenewsharesissuedandlistedshallberepurchased | September17,2020 | Long-termperformance | Inperformance | |
| WinnerMedical,WinnerGroup,LiJianquan,FangXiuyuan,XuXiaodan,LiuWeiwei,WangYing,ChenHuixuan,YinWenling,BiQun,ZhouXiaoxiong,LiangWenzhao,GuoZhenwei,YeYangjing | Commitmenttoassumecompensationliabilityaccordingtolaw | Theprospectushasnofalserecords,misleadingstatementsormajoromissions.Weassumeindividualandjointlegalliabilitiesforitsauthenticity,accuracyandintegrity. | September17,2020 | Long-termperformance | Inperformance |
| Commitmentreason | Commitmentparty | Commitmenttype | Commitmentcontent | Commitmenttime | Timelimitforacceptance | Degreeofperformance |
| WinnerMedical,WinnerGroup,LiJianquan,FangXiuyuan,XuXiaodan,ChenHuixuan,YinWenling | CommitmenttostabilizetheCompany’ssharepriceinIPO | SupposethestockpriceoftheCompanyislowerthanthenetassetspersharewithinthreeyearsafterlisting.Inthatcase,theCompanyandtherelevantresponsiblepartiescanchoosetoimplementthefollowingmeasuresseparatelyorcomprehensivelytostabilizethestockpriceaccordingtotheactualsituationoftheCompanyandthestockmarketwhenthepreconditionsforstartingthemeasurestostabilizethestockpricearemet:1.TheCompanyrepurchasestheshares;2.ThecontrollingshareholdersandactualcontrollersincreasetheirholdingsoftheCompany’sshares;3.Non-independentdirectorsandseniormanagerswhoholdpostsandreceiveremunerationintheCompanyincreasetheirholdingsoftheCompany’sshares;4.Laws,administrativeregulations,normativedocumentsandothermethodsapprovedbyCSRC. | September17,2020 | 2023September17th | Completionofperformance | |
| WinnerMedical | Measuresandcommitmentstomakeupforthedilutedimmediatereturn | Inordertoreducetheimpactofthedilutedimmediatereturnofthisissuance,wepromisetotakethefollowingmeasures:(I)acceleratetheinvestmentprogressoftheinvestmentprojectswithraisedfundsandstrivetoachievetheexpectedbenefitsoftheprojectassoonaspossible;(II)Strengthenthesupervisionofinvestmentprojectswithraisedfundstoensurethereasonableandlegaluseofraisedfunds;(III)Strengthentheoperatingmanagementandinternalcontrol,improvetheoperatingefficiencyandprofitability;(IV)Ensureasustainableandstableprofitdistributionsystemandstrengthenthereturnmechanismforinvestors | September17,2020 | Long-termperformance | Inperformance | |
| WinnerGroup,LiJianquan | Measuresandcommitmentstomakeupforthedilutedimmediatereturn | I/OurCompanyshallnotinterfereintheCompany’soperationandmanagementactivitiesbeyondmy/ourauthority,encroachontheCompany’sinterests,transferintereststootherunitsorindividualsfreeofchargeorunderunfairconditions,damagetheCompany’sinterestsinotherways,orusetheCompany’sassetstoengageininvestmentandconsumptionactivitiesunrelatedtomy/ourperformanceofduties.I/OurCompanypromisetofully,completelyandtimelyperformmeasuresofmakingupforreturnestablishedbytheCompanyandanycommitmentonmeasuresofmakingupforreturn.IfI/ourCompanyviolatessuchcommitment,I/ourCompanyiswillingtobearcorrespondinglegalresponsibilityaccordingtolaw | September17,2020 | Long-termperformance | Inperformance | |
| FangXiuyuan,XuXiaodan,ChenHuixuan,YinWenling,BiQun,ZhouXiaoxiong,LiangWenzhao,GuoZhenwei, | Measuresandcommitmentstomakeupforthedilutedimmediatereturn | 1.Shallnottransferintereststootherunitsorindividualsfreeofchargeorunderunfairconditions,ordamagetheCompany’sinterestsinotherways.2.Restrictmydutyconsumptionbehaviorasadirector,supervisorandseniormanageroftheCompany.3.ShallnotusetheCompany’sassetstoengageininvestmentandconsumptionactivitiesunrelatedtomyperformanceofthedutiesofadirector,supervisorandseniormanager.4.ActivelypromotetheimprovementoftheCompany’ssalarysystem.5.WhenintroducingtheCompany’sequityincentivescheme(ifany),thevestingconditionsofequityincentiveshallbelinkedwiththeimplementationoftheCompany’smeasurestomakeupforthereturn.6.IpromisethatIwillissuesupplementarycommitmentsinaccordancewiththelatestprovisionsoftheCSRC,andactivelypromotetheCompanytomakenewprovisions.7.Ipromisetofully,completelyandtimelyperformmeasuresofmakingupforreturnestablishedbytheCompanyandanycommitmentIhavemadetomakeupforreturn. | 2020September17th | Long-termperformance | Inperformance |
WinnerMedicalCommitmentreason
| Commitmentreason | Commitmentparty | Commitmenttype | Commitmentcontent | Commitmenttime | Timelimitforacceptance | Degreeofperformance |
| WinnerMedical | Commitmentonprofitdistributionpolicy | Inordertobetterprotectthelegitimaterightsandinterestsofinvestors,theCompanydeliberatedandpassedtherevisedArticlesofAssociation(Draft)atthesecondextraordinarygeneralmeetingofshareholdersin2020.TheCompanydeterminesthedividendreturnplanforthenextthreeyears:onthepremisethatthenetprofitattributabletotheshareholdersoftheparentcompanyispositiveinthecurrentyear,theCompanywillmakeprofitdistributionatleastonceayear,andtheboardofdirectorsmayproposetheCompanytomakeinterimprofitdistributionaccordingtotheCompany’sprofitandcapitaldemand.TheCompanyshallprioritizecashdividendforprofitdistributionwhenitisundertheconditionsofcashdividend. | September17,2020 | Long-termperformance | Inperformance | |
| WinnerGroup,LiJianquan | Commitmentonavoidinghorizontalcompetition | 1.Asofthedateofthisletterofcommitment,ourCompany/IdonotandwillnotengageinorparticipateinthesameorsimilarbusinessandactivitiesastheCompany’smainbusinessinanyform,andwillnotengageinorparticipateinthesameorsimilarbusinessandactivitiesastheCompany’smainbusinessthroughinvestmentinothercompanies.2.OurCompany/IundertakenottoengageinorparticipateinanybusinessoractivitiesthatarethesameorsimilartotheCompany’smainbusiness.3.IftheCompanyfurtherexpandsitsbusinessscopeonthebasisofitsexistingbusiness,andotherenterprisesunderourCompany’s/mycontrolatthattimehavealreadyproducedandoperatedthebusiness,theotherenterprisesunderourCompany’s/mycontrolatthattimeshallselltherelevantbusiness,andtheCompanyhastheprioritytopurchasetherelevantbusinessunderthesamecommercialconditions.4.IncasethattheCompanyfurtherexpandsitsbusinessscopebasedonitsexistingbusinessscope,andtheotherenterprisescontrolledbytheCompany/Iatthattimehavenotyetcarriedoutproductionoroperationinthisregard,theotherenterprisescontrolledbytheCompany/IatthattimewillnotengageinthesameorsimilarbusinessandactivitiesassuchnewbusinessoftheCompany. | September17,2020 | Long-termperformance | Inperformance | |
| WinnerGroup,LiJianquan | Commitmenttoindemnityfortherecoveryofsocialsecurityaccumulationfund | ThesocialsecurityandhousingprovidentfundmanagementdepartmentsoftheCompanyanditsmajorsubsidiarieshaveissuedtheCertificate,confirmingthatfromJanuary1,2017toDecember31,2019,theCompanyanditssubsidiarieshavenorecordsofadministrativepunishmentforviolatinglawsandregulationsrelatedtolabor,socialsecurityandhousingprovidentfund.IfWinnerMedicalanditssubsidiariesarerequiredtomakeupthesocialinsurancepremiumorhousingprovidentfundthatshouldbepaidbyWinnerMedicalanditssubsidiariesfortheiremployeesorclaimedbytheiremployees,oriflitigation,arbitrationandadministrativepunishmentfromrelevantadministrativedepartmentsoccurtherefrom,ourCompany/Ishallunconditionallybearthefullamountofthefeesthatshouldbemadeupandbearthecorrespondingliabilityforcompensation,toensurethatWinnerMedicalanditssubsidiarieswillnotsufferanylossesasaresult.ThecontrollingshareholdersandtheCompany’sactualcontroller,LiJianquan,arejointlyandseverallyliabletoeachother | September17,2020 | Long-termperformance | Inperformance |
| Commitmentreason | Commitmentparty | Commitmenttype | Commitmentcontent | Commitmenttime | Timelimitforacceptance | Degreeofperformance |
| WinnerGroup,LiJianquan | CompensationcommitmentfordemolitionofYichangWinner’sproperties | ThelandandrealestateauthoritiesofYichangWinnerissuedacertificatetoconfirmthattherelevantsubsidiariesdidnotviolatelawsandrulesduringthereportingperiod;moreover,thetotalareaofthetwopropertiesaccountsforasmallproportionofthetotalareaoftheCompany’sanditssubsidiaries’ownproperties.Evenifthereisariskofdemolition,itwillnothaveasignificantadverseimpactontheproductionandoperationoftheCompanyanditssubsidiaries.Inresponsetotherelocationriskofthetwoproperties,thecontrollingshareholdersandtheactualcontrolleroftheissuercommit:“ifsuchpropertiesarerequiredtobedemolishedwithinatimelimitbythecompetentgovernmentdepartment,thecontrollingshareholdersandtheactualcontrolleragreetotimely,unconditionallyandfullycompensatealllossescausedtotheCompany.” | September17,2020 | Long-termperformance | Inperformance | |
| WinnerMedical,WinnerGroup,LiJianquan,FangXiuyuan,XuXiaodan,LiuWeiwei,WangYing,ChenHuixuan,YinWenling,BiQun,ZhouXiaoxiong,LiangWenzhao,GuoZhenwei,YeYangjing | RestraintmeasuresforIPOfailuretoperformthecontract | Ifwefailtofulfilltherelevantcommitmentsdisclosedintheprospectus,wewillpubliclyexplainthespecificreasonsforourfailuretofulfillthecommitmentsinthegeneralmeetingofshareholdersandtheinformationdisclosuremediadesignatedbytheCSRC,andapologizetoallshareholdersandpublicinvestors.Ifwefailtofulfilltherelevantpubliccommitments,theproceedswillbelongtotheCompany.IfwecauselossestotheCompanyoritsshareholdersorotherinvestorsduetoourfailuretofulfilltherelevantpubliccommitments,wewillcompensatetherelevantlossestotheCompanyoritsshareholdersorotherinvestorsinaccordancewiththelaw.Atthesametime,weshallnottransfertheshares(ifany)oftheissuerdirectlyorindirectlyheldbyusduringtheperiodofassumingthecompensationaboveliability.Ifwefailtobeartheabovecompensationliability,wewillstopreceivingsalary(ifany)within10daysaftertheoccurrenceoftheabovemattersuntilIfulfilltherelevantpubliccommitments.Ifwefailtofulfill,havebeenunabletofulfillorhavebeenunabletofulfillourcommitmentsontimeduetoobjectivereasonsbeyondourcontrol,suchaschangesofrelevantlawsandregulations,policy,naturaldisastersandotherforcemajeure,wewilltakethefollowingmeasures:(1)timelyandfullydisclosethespecificreasonswhywefailtofulfill,havebeenunabletofulfillorhavebeenunabletofulfillourcommitmentsontime;(2)PutforwardsupplementarycommitmentsoralternativecommitmentstotheCompany’sinvestors(relevantcommitmentsshallbesubjecttorelevantapprovalproceduresinaccordancewithlaws,regulationsandArticlesofAssociation),soastoprotecttherightsandinterestsofinvestorsasfaraspossible | September17,2020 | Long-termperformance | Inperformance | |
| Others | WinnerMedical | Sharebuyback | Within12monthsfromthedatewhentherepurchaseplanwasreviewedandapprovedatthe19thmeetingofthethirdboardofdirectorsonJanuary29,2024,theCompany’sshareswillberepurchasedatapricenotexceeding46yuanpershare(inclusive)of100millionyuanto2billionyuan. | January29,2024 | Within12months | Inperformance |
| FangXiuyuan,XuXiaodan,LiuHua,ZhangLi,ChenHuixuan | Shareholdingsincrease | Atotalof3.15millionyuanto6.3millionyuanworthofCompanyshareswillbeaddedwithin6monthsfromtheannouncementoftheshareholdingincreaseplan. | January30,2024 | 6months | Inperformance |
WinnerMedicalCommitmentreason
| Commitmentreason | Commitmentparty | Commitmenttype | Commitmentcontent | Commitmenttime | Timelimitforacceptance | Degreeofperformance | |
| WinnerGroup | Restrictedsaleofshares | Basedonitsconfidenceinthelong-termdevelopmenttrendsofbothdomesticandforeignmedicalandconsumerindustries,aswellasitsrecognitionofthevalueofWenwenMedicalanditsstrategicvision,WinnerGroupvoluntarilycommittedtoextendingthelock-upperiodforitssharesofWenwenMedicalfromSeptember16,2023,toSeptember16,2024.Throughoutthesalesrestrictionperiod,WinnerGroupshallrefrainfromtransferringordelegatingthemanagementofsharesheldbyWinnerMedical,andWinnerMedicalwillnotengageinrepurchasingsaidshares.Moreover,anysharesacquiredbyWinnerGroupthroughsharetransfers,bonusshares,orallotmentsbyWinnerMedicalduringthisperiodwillalsobesubjecttotheaforementionedsalesrestrictionrequirements. | August28,2023 | September16,2024 | Inperformance | ||
| Whetherthecommitmentisfulfilledontime | Yes | ||||||
| Ifthecommitmentsurpassesthedeadlinewithoutfulfillment,it’scrucialtospecifythereasonsfornon-completionandoutlinethenextstepsoftheworkplan | N/A | ||||||
2.IncasetheCompany’sassetorprojectsawearningexpectation,andthetermoftheearningexpectationstillcoversthereportingperiod,theCompanyshallmakeastatementabouttheassetorprojectfulfillingtheoriginalexpectationandthereasonsthereof
□Applicable√Notapplicable
II.Non-operatingoccupationoffundsoflistedcompaniesbycontrollingshareholdersandtheirrelatedparties
□Applicable√NotapplicableNonon-operatingoccupationoffundsoflistedcompaniesbycontrollingshareholdersandtheirrelatedpartiesduringthereportingperiod.III.Illegalexternalguarantee
□Applicable√NotapplicableNoillegalexternalguaranteeoftheCompanyduringthereportingperiod.IV.Statementoftheboardofdirectorsonthelatest“non-standardauditreport”
□Applicable√Notapplicable
V.Statementoftheboardofdirectors,theboardofsupervisorsandindependentdirectors(ifany)onthe“non-standardauditreport”oftheaccountingfirmduringthereportingperiod
□Applicable√NotapplicableVI.Statementoftheboardofdirectorsonaccountingpolicy,accountingestimatechangeorsignificantaccountingerrorcorrectioninthereportingperiod
□Applicable√Notapplicable
VII.Explanationofchangesinthescopeofcombinedfinancialstatementswhencomparedwithfinancialstatementsofthepreviousfiscalyear
√Applicable□NotapplicableFordetails,pleasereferto“SectionX.FinancialReport-Ⅸ.Consolidationscopechanges”
VIII.AppointmentofanddismissalofaccountingfirmsAccountingfirmcurrentlyappointed
| Nameofdomesticaccountingfirm | BDOCHINASHULUNPANCERTIFIEDPUBLICACCOUNTANTSLLP |
| Remunerationofdomesticaccountingfirm(10,000yuan) | 280 |
| Continuousyearsofauditservicesofdomesticaccountingfirm | 10 |
| Nameofcertifiedpublicaccountantofdomesticaccountingfirm | ChengJin,WuLihong |
| Continuousyearsofauditservicesprovidedbycertifiedpublicaccountantsofdomesticaccountingfirm | 3 |
Hastheaccountingfirmbeenchanged?
□Yes√NoEngagementofinternalcontrolauditaccountingfirm,financialconsultantorsponsor
□Applicable√Notapplicable
IX.Delistingconfrontedupondisclosureoftheannualreport
□Applicable√NotapplicableX.Bankruptcyreorganization
□Applicable√NotapplicableNobankruptcyreorganizationoftheCompanyduringthereportingperiod.XI.Majorlitigation,arbitrationmatters
√Applicable□Notapplicable
WinnerMedicalBasicinformationoflitigation(arbitration)
| Basicinformationoflitigation(arbitration) | Amountinvolved(10,000yuan) | Whethertoformestimatedliabilities | Progressoflitigation(arbitration) | Trialresultandinfluenceoflitigation(arbitration) | Implementationoflitigation(arbitration)judgment | Dateofdisclosure | Disclosureindex |
| WinnerMedicalv.People’sGovernmentofZijinCounty,arbitrationcaseofcontractdispute[CaseNo.:(2019)GGZZNo.095,(2022)Yue16ExecutionNo.299] | 55,565.53 | No | ThePeople’sGovernmentofZijinCountyhasnotyetpaidthefullamountofcompensationtotheCompanyinaccordancewiththeaward,andtheCompanyhasappliedtotheHeyuanCityIntermediatePeople’sCourtforenforcementandhasbeenacceptedbythecourt.OnDecember28,2023,thecourtterminatedenforcementduetolackofavailablepropertyforenforcement.Currently,theprocessinvolvesfilingamotiontoterminatetheenforcementobjection | TherulingofCaseNo.:(2019)JiangxiNationalArbitrationLetterNo.095confirmedthattheoriginalInvestmentAgreementwasterminated,andthePeople’sGovernmentofZijinCountyhadtoreturn3millionyuanoflandtransferdeposittotheCompany,andcompensateforeconomiclossesof550millionyuanaswellasthelawyer’sfeesof500,000yuanandlegalcostof2.15532millionyuan.Theland,above-groundbuildings,equipmentandfacilitiesandrelevantsupportingmaterialsofHeyuanWinnerinvestmentandconstructionprojectwerehandedovertothePeople’sGovernmentofZijinCounty.TherewillbenoadverseimpactontheCompany | Asofthedisclosuredateofthereport,theCompanyhasreceivedthelandtransferdepositof3millionyuanandcompensationof330millionyuanreturnedandpaidbythePeople’sGovernmentofZijinCounty.Thereremainsoutstandingcompensationof220millionyuan,lawyerfeesof500,000yuan,andarbitrationfeesof2.1553millionyuanyettobepaid.TheCompanyhashandedovertheprojectland,above-groundbuildings,equipmentandfacilitiesandrelevantsupportingmaterialstothePeople’sGovernmentofZijinCounty. | ||
| WinnerMedical(Tianmen),ShenzhenPurcotton,WinnerMedical(Huanggang)v.ChinaNationalIntellectualPropertyAdministration,administrativedisputecaseofpatentinvalidation | 0 | No | InJune,2020,theReexaminationandInvalidationDepartmentofthePatentOfficeofChinaNationalIntellectualPropertyAdministrationissuedtheDecisiononExaminationofInvalidationRequest,whichdecidedtodeclarethepatentrightof“productionmethodofcottonnon-wovenmedicaldressings”(PatentNo.ZL200510033147.1,validuntilFebruary6,2025)invalid.InAugust,2020,Purcotton,WinnerMedical(Tianmen),andWinnerMedical(Huanggang)filedalawsuittoBeijingIntellectualPropertyCourtinaccordancewiththeprovisionsofthePatentLawforrevocationofthepatentinvalidationdecision.ThecourtofthefirstinstanceandtheCourtofSecondinstancesubsequentlyrejectedtheplaintiff’srequest. | Ifthelawsuitdoesnotsupporttheplaintiff’sclaim,thepatentisfinallyfoundtobeinvalid.ThereasonforthepatentinvalidationdecisionisnotthattheCompanyand/orthepatentinfringestherightsofothers.Therefore,theCompanycanstillusethetechnologyandwillnothaveasignificantadverseimpactonthenormalproductionandoperationoftheCompany | N/A |
| Basicinformationoflitigation(arbitration) | Amountinvolved(10,000yuan) | Whethertoformestimatedliabilities | Progressoflitigation(arbitration) | Trialresultandinfluenceoflitigation(arbitration) | Implementationoflitigation(arbitration)judgment | Dateofdisclosure | Disclosureindex |
| SummaryofothersmalllawsuitsinwhichtheCompanyoritssubsidiariesareplaintiffsthatdonotmeetthecriteriafordisclosureofmateriallitigation | 4,718.98 | No | Inprogressaccordingtothelitigation/arbitrationprocess,somecaseshavenotyetbeenconcluded,andtheconcludedcasesareexecutedaccordingtotheprocess | NosignificantimpactsontheCompany’sproductionandoperation | Executedaccordingtolitigation/arbitrationprocess | ||
| SummaryofothersmalllawsuitsinwhichtheCompanyoritssubsidiariesaredefendantsthatdonotmeetthecriteriafordisclosureofmateriallitigation | 200.63 | No | Inprogressaccordingtothelitigation/arbitrationprocess,somecaseshavenotyetbeenconcluded,andtheconcludedcasesareexecutedaccordingtotheprocess | NosignificantimpactsontheCompany’sproductionandoperation | Executedaccordingtolitigation/arbitrationprocess |
XII.Punishmentandrectification
□Applicable√NotapplicableNopunishmentorrectificationoftheCompanyduringthereportingperiod.XIII.CreditconditionsoftheCompany,itscontrollingshareholdersandactualcontrollers
□Applicable√Notapplicable
XIV.Majorrelatedtransactions
1.Connectedtransactionsrelatedtodailyoperation
□Applicable√NotapplicableTherewerenoconnectedtransactionsrelatedtothedailyoperationoftheCompanyduringthereportingperiod.
2.Connectedtransactionsarisingfromtheacquisitionorsaleofassetsorequity
□Applicable√NotapplicableNoconnectedtransactionsarisingfromtheacquisitionorsaleofassetsorequityoftheCompanyduringthereportingperiod.
3.Connectedtransactionofjointforeigninvestments
□Applicable√NotapplicableNoconnectedtransactionsofjointforeigninvestmentoftheCompanyduringthereportingperiod.
4.Relatedcreditanddebttransactions
□Applicable√NotapplicableNorelatedclaimsanddebtsoftheCompanyduringthereportingperiod.
5.Transactionswithrelatedfinancecompanies
□Applicable√NotapplicableThereisnodeposit,loan,creditorotherfinancialbusinessbetweentheCompanyandthefinancecompanywithwhichitisaffiliatedandtherelatedparties.
6.TransactionsbetweenfinancecompaniescontrolledbytheCompanyandrelatedparties
□Applicable√NotapplicableThereisnodeposit,loan,creditorotherfinancialbusinessbetweenthefinancecompaniescontrolledbytheCompanyandrelatedparties.
7.Othermajorconnectedtransactions
□Applicable√NotapplicableNoothermajorconnectedtransactionsoftheCompanyduringthereportingperiod.
XV.Majorcontractsandtheirperformance
1.Trusteeship,contractingandlease
(1)Trusteeship
□Applicable√NotapplicableNotrusteeshipoftheCompanyduringthereportingperiod.
(2)Contracting
□Applicable√NotapplicableNocontractingoftheCompanyduringthereportingperiod.
(3)Lease
□Applicable√NotapplicableNoleasingoftheCompanyduringthereportingperiod.
2.Majorguarantee
□Applicable√NotapplicableNomajorguaranteesoftheCompanyduringthereportingperiod.
3.Entrustedcashassetmanagement
(1)Informationofentrustedfinancialmanagement
√Applicable□NotapplicableOverviewofentrustedfinancialmanagementduringthereportingperiod
Unit:‘0,000yuan
| Specifictype | Sourceoffundsforentrustedfinancialmanagement | Amountincurredinentrustedfinancialmanagement | Outstandingbalance | Overdueamountnotrecovered | Theamountofimpairmentforoverduefinancialmanagement |
| Bankfinancialproducts | Self-ownedfunds | 297,274.5 | 161,600 | 0 | 0 |
| Bankfinancialproducts | Proceeds | 103,650 | 5,800 | 0 | 0 |
| Trustfinancialproducts | Self-ownedfunds | 110,000 | 110,000 | 0 | 0 |
| Total | 510,924.5 | 277,400 | 0 | 0 |
Specificcircumstanceofhigh-riskentrustedfinancingwithsignificantsingleamountorwithlowsecurityandpoorliquidity
□Applicable√NotapplicableTheentrustedfinancingisexpectednottorecovertheprincipalorhasothercircumstancesthatmaycauseimpairment
□Applicable√Notapplicable
(2)Informationofentrustedloans
□Applicable√NotapplicableTheCompanyhadnoentrustedloanduringthereportingperiod.
4.Othermajorcontracts
√Applicable□Notapplicable
WinnerMedicalNameoftheCompanytothecontract
| NameoftheCompanytothecontract | Nameoftheotherpartytothecontract | Contractobject | Dateofcontract | Bookvalueofcontractassets(10,000yuan)(ifapplicable) | Appraisedvalueofcontractassets(10,000yuan)(ifapplicable) | Nameofappraisalinstitution(ifany) | Appraisalreferencedate(ifany) | Pricingprinciple | Transactionprice(10,000yuan) | Whetherthepaymentsarisefromrelatedtransactions | Affiliatedrelationship | Performanceasofthereportingperiod’send | Dateofdisclosure | Disclosureindex |
| WinnerMedicalCo.,Ltd. | ShenzhenXingdaRealEstateDevelopmentCo.,Ltd. | Landandbuildings/structures(includingappurtenances)withinWinnerIndustrialPark | July10,2023 | 160,100.99 | ShenzhenXingdaRealEstateDevelopmentCo.,Ltd. | June30,2023 | Basedonvaluationreportsfromaccreditedappraisalorganizations | No | N/A | Transactionsuspended | June14,2023 | CNINFO.comAnnouncementontheSigningofAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialPark(AnnouncementNo.2023-029) |
XVI.Descriptionofotherimportantevents
√Applicable□NotapplicableTheLonghuaDistrictGovernmentofShenzhenapprovedaspecialplanfortheurbanrenewalprojectoftheUrbanRenewalProjectofWinnerIndustrialParkinMay2023.Theplanoutlinedatotalareaof138,915squaremeters,with88,450squaremetersdesignatedforresidentialuse,39,740squaremetersforcommercial,office,andhotelbuildings,and10,725squaremetersforpublicfacilities(includingundergroundstructures).Subsequently,theCompanyconvenedthe14
th
meetingofthethirdboardofdirectorsonJune12,2023,andthefirstextraordinaryshareholdersmeetingof2023onJuly7,2023,toscrutinizeandendorsethe“ProposalonExecutingRelevantAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialPark”.TheCompanyintendstocollaboratewithShenzhenXingdaRealEstateDevelopmentCo.,Ltd.(“XingdaCompany”),aproficientandexperienceddevelopmentoperatorundertheGalaxyGroup,foranurbanrenewal,relocation,compensation,andresettlementagreementinShenzhenLonghuaDistrict.Thisagreementencompassesthelandandabove-groundbuildingssituatedatthenorthwestcorneroftheintersectionofMeiguanExpresswayandBulongRoad.TheobjectiveistosignificantlyaugmentthequalityandvalueoftheCompany’spertinentassets,furtherinvigorateitsassetportfolio,andenhancetheoperationalenvironment,therebymaximizingtheCompany’sinterests.Subsequently,bothpartieshaveformallyexecutedthepertinentagreements.Consequently,inlinewiththeassetdisposalprinciple,theCompanywillrecognizethenetprofitcorrespondingtotheassetdisposalincomeinthethirdquarterof2023.Thisrecognitionwillbebasedonthefairvalueoftherelocationpropertyassessedbythethird-partyappraisalagencyYinxinAssetAppraisalCo.,Ltd.onJune30,2023,amountingto1.36billionyuan(calculatedastheassetassessmentvalueof1.6billionminusincometaxexpensescorrespondingtodeferredincometaxliabilitiesof240millionyuan).Forfurtherinformation,pleaserefertotheAnnouncementonthePlantoExecuteRelevantAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialParkdisclosedbytheCompanyonJune14,2023,andtheAnnouncementontheSigningofAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialParkdisclosedbytheCompanyonJuly11,2023.AsofDecember31,2023,theCompanyreceivedatotalof250millionyuanincash.Thisincludesadepositof50millionyuanreceivedinApril2017,aprepaidrelocationcompensationof100millionyuanreceivedinFebruary2020,andanotherprepaidrelocationcompensationof100millionyuanreceivedinJuly2023,asagreeduponintherelocationcompensationandresettlementagreement.
Followingtheagreement’ssigning,theCompanyvacatedtheindustrialparkandtransferredittoXingdaCompany.BothpartiessignedtheTransferConfirmationLetterandsettledoutstandingwaterandelectricitybills.Subsequently,XingdaCompanycommencedthedemolitionoftheoldbuildings.However,duetosignificantsubsequentchangesintherealestatemarket,followingamicablenegotiationsbetweenthetwoparties,theCompanyandXingdacompanysignedtheConfirmationLetterontheRevocationofthe“RelinquishmentofRealEstateRightsStatement”onJanuary29,2024.ThisconfirmedthesuspensionofprojectconstructionandthetemporarywithdrawalofallDeclarationofWaiverofRealEstateRightsmadebytheCompanyundertheagreement,alongwiththewithdrawalofallstatementsmadeintheDeclarationofWaiverofRealEstateRights.Consequently,theCompanyreversedthenetincomefromassetdisposalof1.36billionyuanrecognizedinthethirdquarterof2023.Forfurtherdetails,pleaserefertotheAnnouncementontheSuspendedPromotionoftheRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialParkdisclosedbytheCompanyonJanuary30,2024.Therecognitionandreversalofrelevantprofitsandlosseswilltakeplaceindifferentquartersof2023,anditwillnotaffectthefinancialdatapresentedintheannualreport.Subsequently,thereisuncertaintyregardingtheprogressoftheproject’spropertydeliveryandpayment.TheCompanycommitstocloselymonitoringrealestatemarketdynamics,fosteringcommunicationwithSINDAGroup,andcollaborativelyreinstatingprojectimplementationwhentherealestatemarketrebounds.XVII.Majoreventsofsubsidiaries
□Applicable√Notapplicable
WinnerMedical
SectionⅦChangesinSharesandShareholders
I.Changesinshares
1.Changesinshares
Unit:share
| Beforethischange | Increase/decrease(+,-) | Afterthischange | |||||||
| Quantity | Proportion | Newissueofshares | Sharedonation | Sharecapitalincreasefromreservedfunds | Others | Subtotal | Quantity | Proportion | |
| I.Restrictedshares | 290,495,323 | 68.11% | 116,198,129 | 10,500 | 116,208,629 | 406,703,952 | 68.42% | ||
| 1.Stateshareholding | |||||||||
| 2.Statelegalpersonshareholding | |||||||||
| 3.Otherdomesticholdings | 56,475 | 0.01% | 22,590 | 10,500 | 33,090 | 89,565 | 0.02% | ||
| Wherein:domesticlegalpersonshareholding | |||||||||
| Domesticnaturalpersonshareholding | 56,475 | 0.01% | 22,590 | 10,500 | 33,090 | 89,565 | 0.02% | ||
| 4.Foreignshareholding | 290,438,848 | 68.10% | 116,175,539 | 116,175,539 | 406,614,387 | 68.41% | |||
| Wherein:foreignlegalpersonshareholding | 290,438,848 | 68.10% | 116,175,539 | 116,175,539 | 406,614,387 | 68.41% | |||
| Foreignnaturalpersonshareholding | |||||||||
| II.Unrestrictedshares | 135,996,985 | 31.89% | 51,696,930 | -10,500 | 51,686,430 | 187,683,415 | 31.58% | ||
| 1.RMBcommonshare | 135,996,985 | 31.89% | 51,696,930 | -10,500 | 51,686,430 | 187,683,415 | 31.58% | ||
| 2.ForeignshareslistedinChina | |||||||||
| 3.Foreignshareslistedabroad | |||||||||
| 4.Others | |||||||||
| III.Totalamountofshares | 426,492,308 | 100.00% | 167,895,059 | 167,895,059 | 594,387,367 | 100.00% | |||
Causesforchangeinshares
√Applicable□NotapplicableTheCompanywillexecutethe2022equitydistributionwithJune1,2023,astheequityregistrationdate.Thisdistributionplanentailsaconversionratioof4sharesforevery10shares,leadingtoaproportionalincreaseinbothsharessubjecttolimitedsalesconditionsandshareswithoutsuchrestrictions.Moreover,theCompany’sformerSupervisor,Ms.WangYing,tenderedawrittenresignationreporttotheCompanyinJune2023.Herresignationwasformalizedaftertheelectionofanewsupervisoratthe2023FirstExtraordinaryGeneralMeetingofShareholdersheldinJuly2023.SharesdirectlyheldbyMs.WangYingarelocked,resultinginacorrespondingincreaseintheCompany’srestrictedshares.Approvalofchangesinshares
√Applicable□Notapplicable
TheCompanyheldthe11
thmeetingofthe3
rdBoardofDirectors,the8thmeetingofthe3
rd
BoardofSupervisorsonApril23,2023,andthe2022AnnualGeneralMeetingonMay16,2023,respectively,toreviewandapprovetheProposalonthePlanontheProfitDistributionfor2022.Basedonthe419,737,649sharesafterdeductingtherepurchasedshares,theCompanyintendedtodistributeacashdividendof19.00yuan(tax-inclusive)per10sharestoallshareholders,with4sharesconvertedintosharecapitalforevery10shareswithoutanybonusshares.Transferofsharechanges
□Applicable√NotapplicableInfluenceofsharechangesonthebasicEPS,dilutedEPS,netassetspershareattributabletocommonshareholdersoftheCompanyandotherfinancialindexesinthemostrecentyearandthemostrecentperiod
√Applicable□NotapplicableInfluenceofsharechangesonthebasicEPS,dilutedEPS,netassetspershareattributabletocommonshareholdersoftheCompanyandotherfinancialindexesinthemostrecentyearandthemostrecentperiod.Fordetails,referto“SectionⅡ-Ⅴ.MainAccountingDataandFinancialIndicators.”OtherinformationtheCompanydeemsnecessaryorrequiredbythesecuritiesregulatoryauthoritiestodisclose
□Applicable√Notapplicable
2.Changesinrestrictedshares
√Applicable□Notapplicable
Unit:share
WinnerMedicalShareholder’sname
| Shareholder’sname | Numberofrestrictedsharesatthebeginningoftheperiod | NumberofrestrictedsharesincreasedincurrentperiodNote1 | Numberofsharesreleasedfromrestrictedsaleincurrentperiod | Numberofrestrictedsharesattheendoftheperiod | Reasonsforrestrictedsale | Thedateofliftingtherestrictedsale |
| WinnerGroupCompany | 290,438,848 | 116,175,539 | 0 | 406,614,387 | Commitmenttopostponetheinitialreleaseperiodbyoneyear | September16,2024 |
| FangXiuyuan | 30,000 | 12,000 | 0 | 42,000 | Shareslockedbydirectors,supervisorsandseniormanagement | Unlock25%ofthetotalnumberofsharesheldatthebeginningofeachyearuntilthenumberofshareshelddoesnotexceed1,000shares. |
| ChenHuixuan | 3,975 | 1,590 | 0 | 5,565 | Shareslockedbydirectors,supervisorsandseniormanagement | Unlock25%ofthetotalnumberofsharesheldatthebeginningofeachyearuntilthenumberofshareshelddoesnotexceed1,000shares. |
| WangYing | 22,500 | 19,500 | 0 | 42,000 | Shareslockedbydirectors,supervisorsandseniormanagement | Adheretorelevantregulationsregardingsharesalesrestrictionsimposedbydepartingdirectors,supervisors,andseniormanagement |
| Total | 290,495,323 | 116,208,629 | 0 | 406,703,952 | -- | -- |
Note:TheCompanywillimplementthe2022equitydistributionplan,withJune2,2023,designatedastheex-rightsanddividenddate.Thisplaninvolvesaconversionratioof4sharesforevery10shares,resultinginaproportionalincreaseinthenumberofrestrictedsharesheldbyrelevantshareholders.
II.Securitiesissuanceandlisting
1.Securitiesissuanceduringthereportingperiod(excludingpreferredshares)
□Applicable√Notapplicable
2.ChangesinthetotalnumberofsharesandshareholderstructureoftheCompany,aswellasthechangesinthe
Company’sassetandliabilitystructure
√Applicable□NotapplicableTheCompanywillexecutethe2022equitydistribution,withJune1,2023,setastheequityregistrationdate.Atthattime,theCompany’stotalsharecapitalstoodat426,492,308shares,with6,754,659sharesheldinthespecialsecuritiesaccountforrepurchase,resultingin419,737,649sharesafterdeductingtherepurchaseshares.TheCompanyintendedtodistributeacashdividendof19.00yuan(tax-inclusive)per10sharestoallshareholders,with4sharesconvertedintosharecapitalforevery10shareswithoutanybonusshares.Followingthesharetransferimplementation,thetotalnumberofCompanysharesincreasedfrom426,492,308sharesto594,387,367shares.TheCompanyconvenedthe18
th
meetingofthethirdboardofdirectorsandthe13
thmeetingofthethirdboardofsupervisorsonDecember19,2023.Duringthesemeetings,theProposalontheRepurchaseandCancellationofRemainingSharesintheSpecialSecuritiesAccountwasreviewedandendorsed.TheCompanyintendstoutilizetheremaining6,094,659sharesintherepurchaseaccount,excludingthoseallocatedforthefirstphaseoftheemployeestockownershipplan,forcancellation,therebyreducingtheregisteredcapital.OnMarch28,2024,theCompanycompletedtheaforementionedindustrialandcommercialchangeprocedurestoreducetheregisteredcapital.Asaresult,thetotalsharecapitaldecreasedfrom594,387,367sharesto588,292,708shares.
3.Existinginternalemployeeshares
□Applicable√Notapplicable
III.Shareholdersandactualcontrollers
1.NumberandshareholdingoftheCompany’sshareholders
Unit:share
WinnerMedical
Totalnumberofcommonshareholdersattheendofthereportingperiod
| Totalnumberofcommonshareholdersattheendofthereportingperiod | 28,332 | Totalnumberofcommonshareholdersasoftheendofthepreviousmonthbeforethedisclosuredateoftheannualreport | 27,872 | Totalnumberofpreferredshareholderswithvotingrightsrestoredattheendofthereportingperiod(ifany)(seeNote9) | 0 | Totalnumberofpreferredshareholderswithvotingrightsrestoredasoftheendofthepreviousmonthbeforethedisclosuredateoftheannualreport | 0 | Totalnumberofshareholdersholdingspecialvotingshares(ifany) | 0 | ||||||
| Shareholdersholdingmorethan5%sharesortop10shareholders(Excludingsharesloanedthroughrefinancing) | |||||||||||||||
| Shareholder’sname | Shareholdernature | Shareholdingratio | EndofthereportingperiodNumberofsharesheld | IncreaseordecreaseduringthereportingperiodNote1 | Numberofsharesheldwithlimitedsalesconditions | Numberofsharesheldwithunlimitedsalesconditions | Pledge,markorfrozen | ||||||||
| Statusofshares | Quantity | ||||||||||||||
| WinnerGroupLimited | Overseaslegalperson | 68.41% | 406,614,387 | 116,175,539 | 406,614,387 | 0 | N/A | 0 | |||||||
| BeijingSequoiaXinyuanEquityInvestmentCenter(limitedpartnership) | Domesticnon-statelegalperson | 4.19% | 24,888,027 | 2,753,885 | 0 | 24,888,027 | N/A | 0 | |||||||
| XiamenLeyuanInvestmentPartnership(LimitedPartnership) | Domesticnon-statelegalperson | 2.72% | 16,142,550 | 2,380,375 | 0 | 16,142,550 | N/A | 0 | |||||||
| XiamenYutongInvestmentPartnership(LimitedPartnership) | Domesticnon-statelegalperson | 1.44% | 8,560,222 | 1,235,649 | 0 | 8,560,222 | N/A | 0 | |||||||
| XiamenHuikangInvestmentPartnership(LimitedPartnership) | Domesticnon-statelegalperson | 0.87% | 5,167,887 | 749,825 | 0 | 5,167,887 | N/A | 0 | |||||||
| NationalSocialSecurityFund101Portfolio | Others | 0.49% | 2,940,162 | 1,376,162 | 0 | 2,940,162 | N/A | 0 | |||||||
| HuaxiaLifeInsuranceCo.,Ltd.-Ownfunds | Others | 0.49% | 2,934,540 | 2,436,240 | 0 | 2,934,540 | N/A | 0 | |||||||
| IndustrialandCommercialBankofChinaLimited-EFundETF | Others | 0.48% | 2,848,729 | 2,279,425 | 0 | 2,848,729 | N/A | 0 | |||||||
| BasicEndowmentInsuranceFund1001Portfolio | Others | 0.46% | 2,754,742 | 2,754,742 | 0 | 2,754,742 | N/A | 0 | |||||||
| XiamenZepengInvestmentPartnership(LimitedPartnership) | Domesticnon-statelegalperson | 0.45% | 2,650,223 | 418,235 | 0 | 2,650,223 | N/A | 0 | |||||||
| Situationofstrategicinvestorsorgenerallegalpersonsbecomingthetop10shareholdersduetotheallotmentofnewshares(ifany)(seenote4) | None | ||||||||||||||
| Descriptionoftheabove-mentionedshareholderassociationorconcertedaction | None | ||||||||||||||
| Descriptionoftheaboveshareholdersinvolvedinentrusting/entrustedvotingrightandwaiverofvotingright | None | ||||||||||||||
| Specialnoteontheexistenceofrepurchasespecialaccountsamongthetop10shareholders(ifany)(seeNote10) | AsofSunday,December31,2023,theCompanyrepurchased6,249,659sharesheldinthe“specialsecuritiesaccountfortherepurchaseofWinnerMedicalCo.,Ltd.” | ||||||||||||||
| Shareholdingoftop10shareholderswithunlimitedsalesconditions | ||||
| Shareholder’sname | Numberofshareswithunlimitedsalesconditionsheldattheendofthereportingperiod | Sharetype | Sharetype | Quantity |
| BeijingSequoiaXinyuanEquityInvestmentCenter(limitedpartnership) | 24,888,027 | RMBcommonshare | 24,888,027 | |
| XiamenLeyuanInvestmentPartnership(LimitedPartnership) | 16,142,550 | RMBcommonshare | 16,142,550 | |
| XiamenYutongInvestmentPartnership(LimitedPartnership) | 8,560,222 | RMBcommonshare | 8,560,222 | |
| XiamenHuikangInvestmentPartnership(LimitedPartnership) | 5,167,887 | RMBcommonshare | 5,167,887 | |
| NationalSocialSecurityFund101Portfolio | 2,940,162 | RMBcommonshare | 2,940,162 | |
| HuaxiaLifeInsuranceCo.,Ltd.-Ownfunds | 2,934,540 | RMBcommonshare | 2,934,540 | |
| IndustrialandCommercialBankofChinaLimited-EFundETF | 2,848,729 | RMBcommonshare | 2,848,729 | |
| BasicEndowmentInsuranceFund1001Portfolio | 2,754,742 | RMBcommonshare | 2,754,742 | |
| XiamenZepengInvestmentPartnership(LimitedPartnership) | 2,650,223 | RMBcommonshare | 2,650,223 | |
| HongKongSecuritiesClearingCompanyLtd. | 2,473,111 | RMBcommonshare | 2,473,111 | |
| Descriptionoftheassociationorconcertedactionbetweentop10publicshareholderswithunlimitedsalesconditions,andbetweentop10publicshareholderswithunlimitedsalesconditionsandtop10shareholders | None | |||
| Participationinthesecuritiesmargintrading(ifany)(seeNote5) | None | |||
Note1:TheCompanydesignatedJune2,2023,astheex-rightsandex-dividenddatefortheimplementationofthe2022equitydistributionplan,whichinvolvesaconversionratioof4sharesforevery10shares.Consequently,thisledtoanincreaseinthetotalnumberofcompanysharesheldbyallshareholders.
Thetoptenshareholdersengagedintherefinancingbusinessandlendingofshares
√Applicable□Notapplicable
Unit:share
WinnerMedical
Toptenshareholdersinvolvedinrefinancingandsharelending
| Toptenshareholdersinvolvedinrefinancingandsharelending | ||||||||
| Shareholder’sname(fullname) | Holdingsinordinaryaccountsandcreditaccountsatthebeginningoftheperiod | Shareslentunderrefinancingatthestartoftheperiodthatremainoutstanding | Holdingsingeneralaccountsandcreditaccountsattheendoftheperiod | Sharesloanedthroughrefinancingattheendoftheperiodthatareyettobereturned | ||||
| Total | Proportiontototalsharecapital | Total | Proportiontototalsharecapital | Total | Proportiontototalsharecapital | Total | Proportiontototalsharecapital | |
| IndustrialandCommercialBankofChinaLimited-EFundETF | 569,304 | 0.13% | 177,200 | 0.04% | 2,848,729 | 0.48% | 52,700 | 0.01% |
Changesinthetoptenshareholderscomparedtothepreviousperiod
√Applicable□Notapplicable
Unit:share
| Changesinthetoptenshareholderscomparedtotheendofthepreviousperiod | |||||
| Shareholder’sname(fullname) | Additions/Exitsduringthisreportingperiod | Numberofshareslentthroughrefinancingattheendoftheperiodthathavenotbeenreturned | Numberofsharesheldbyshareholdersinordinaryaccounts,creditaccounts,andrefinancingloansattheendoftheperiodthathavenotbeenreturned | ||
| Total | Proportiontototalsharecapital | Total | Proportiontototalsharecapital | ||
| HuaxiaLifeInsuranceCo.,Ltd.-Self-ownedfunds | Numberofadditions | 0 | 0.00% | 2,934,540 | 0.49% |
| IndustrialandCommercialBankofChinaLimited-EFundETF | Numberofadditions | 52,700 | 0.01% | 2,901,429 | 0.49% |
| BasicEndowmentInsuranceFund1001Portfolio | Numberofadditions | 0 | 0.00% | 2,754,742 | 0.46% |
| HongKongSecuritiesClearingCompanyLtd. | Retreat | 0 | 0.00% | 2,473,111 | 0.42% |
| BasicEndowmentInsuranceFund808Portfolio | Retreat | 0 | 0.00% | 2,312,860 | 0.39% |
| ZhengJunhui | Retreat | 0 | 0.00% | 1,626,380 | 0.27% |
Whetherthecompanyhasavotingrightsdifferentialarrangement
□Applicable√NotapplicableWhethertheCompany’stop10commonshareholdersandop10commonshareholderswithunlimitedsalesconditionsagreedonarepurchasetransactionduringthereportingperiod
□Yes√NoTheCompany’stop10commonshareholdersandop10commonshareholderswithunlimitedsalesconditionsdidnotagreeonarepurchasetransactionduringthereportingperiod
2.ControllingshareholderoftheCompany
Natureofcontrollingshareholder:foreignholdingTypeofcontrollingshareholder:legalperson
| Nameofthecontrollingshareholder | LegalRepresentative/HeadofUnit | Dateofestablishment | Organizationcode | Mainbusiness |
| WinnerGroupLimited | LiJianquan | April8,2003 | 124887 | Investmentmanagement |
| Equityofotherdomesticandforeignlistedcompaniescontrolledandinvestedbycontrollingshareholderduringthereportingperiod | None |
Changeofcontrollingshareholdersduringthereportingperiod
□Applicable√NotapplicableNochangeincontrollingshareholdersduringthereportingperiod.
3.ActualcontrolleroftheCompanyandthepersonactinginconcert
Natureofactualcontroller:overseasnaturalpersonTypeofactualcontroller:naturalperson
| Nameofactualcontroller | Relationshipwithactualcontroller | Nationality | Grantedwiththerightofresidenceinothercountriesorregions |
| LiJianquan | Himself | HongKong,China | Yes |
| Mainoccupationandposition | ChairmanandGeneralManager | ||
| Domesticandforeignlistedcompaniesthathaveheldsharesinthepast10years | None |
Changesinactualcontrollerduringthereportingperiod
□Applicable√NotapplicableNochangeinactualcontrollerduringthereportingperiod.BlockdiagramofthepropertyrightsandcontrolrelationshipbetweentheCompanyandtheactualcontroller
WinnerMedical
LiJianquan
LiJianquanWinnerGroupLimited
WinnerGroupLimitedWinnerMedicalCo.,Ltd.
TheactualcontrollercontrolstheCompanythroughtrustorotherassetmanagement
□Applicable√Notapplicable
4.ThecumulativenumberofpledgedsharesofthecontrollingshareholderorthelargestshareholderoftheCompanyandthepersonactinginconcertaccountsfor80%ofthetotalnumberofsharesheldbythemintheCompany
□Applicable√Notapplicable
5.Othercorporateshareholdersholdingmorethan10%oftheshares
□Applicable√Notapplicable
6.Restrictionandreductionofthesharesofcontrollingshareholders,actualcontrollers,reorganizationpartiesand
otherpromisedentities
√Applicable□NotapplicableThecompany’scontrollingshareholder,WinnerGroupLimited,haspledgednottodecreaseitsholdingsoftheCompany’ssharesforthreeyearsfromthedateoflisting,effectiveuntilSeptember17,2023.Furthermore,WinnerGroupLimitedissuedtheCommitmentonVoluntarilyExtendingtheSaleRestrictionPeriodonAugust28,2023,prolongingthesalerestrictionperiodofitsrestrictedsharesbyoneyearuntilSeptember16,2024.
IV.SpecificimplementationofsharerepurchaseinthereportingperiodImplementationprogressofsharerepurchase
□Applicable√NotapplicableImplementationprogressofreducingrepurchasedsharesbycentralizedbiddingtransactions
□Applicable√Notapplicable
WinnerMedical
SectionⅧPreferredShares-related
Information
SectionⅧPreferredShares-related
Information
□Applicable√NotapplicableNopreferredsharesoftheCompanyduringthe
reportingperiod.
SectionⅨBond-relatedInformation
□Applicable√Notapplicable
WinnerMedical
SectionⅩFinancialReport
I.Auditreport
| Typeofauditopinion | Standardunqualifiedopinion |
| Dateofsigningtheauditreport | April23,2024 |
| Nameofauditinstitution | BDOCHINASHULUNPANCERTIFIEDPUBLICACCOUNTANTSLLP |
| Auditreportdocumentnumber | X.K.S.B.Zi[2024]No.ZI10222 |
| Nameofcertifiedpublicaccountants | ChengJin,WuLihong |
AuditReportText
?AuditOpinionWehaveauditedtheaccompanyingfinancialstatementsofWinnerMedicalCo.,Ltd.(hereinafterreferredto“WinnerMedical”),includingtheconsolidatedandparentcompanybalancesheetasofSunday,December31,2023,consolidatedandparentcompanyincomestatement,consolidatedandparentcompanycashflowstatementandconsolidatedandparentcompanystatementofchangeinequityfortheyear2023andnotestofinancialstatements.Inouropinion,theattachedfinancialstatementsofWinnerMedicalhavebeenpreparedinaccordancewiththeprovisionsoftheAccountingStandardsforBusinessEnterprisesandgiveatrueandfairviewoftheconsolidatedandparentcompanyfinancialpositionasofSunday,December31,2023andtheconsolidatedandparentcompanyfinancialperformanceandcashflowsfortheyear2023inallsignificantterms.?BasisforAuditOpinionWeconductedourauditinaccordancewiththeChinaRegisteredAccountantsAuditingStandards(CRAAS).The“Responsibilityofcertifiedpublicaccountantsforauditoffinancialstatements”intheauditreportfurtherstatesourresponsibilityundertheStandards.WewereindependentofWinnerMedicalandfulfillotherresponsibilitiesintermsofprofessionalethicsaccordingtothecodeofprofessionalethics.Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoactasabasisforourauditopinion.?KeyAuditItemsThekeyaudititemsarethosethatweconsidermostimportanttoauditthefinancialstatementsofthecurrentperiodinourprofessionaljudgment.Theresponsetotheseitemsisbasedontheauditofthefinancialstatementsasawholeandtheformationofanauditopinion.Wedonotcommentontheseitemsseparately.
Thekeyaudititemsweidentifiedintheauditaresummarizedasfollows:
WinnerMedicalKeyAuditItems
| KeyAuditItems | Howistheitemhandledintheaudit |
| Existenceofmonetaryfundsandtradingfinancialassets | |
| PleaserefertoNotesIII,(X)andNotesV,(I),(II)totheconsolidatedfinancialstatements.OnDecember31,2022,thebalanceofWinnerMedical’smonetaryfundsandtradingfinancialassetswasabout7.556billionyuan,accountingfor44.16%ofthetotalassets;OnDecember31,2021,thebalanceofWinnerMedical’smonetaryfundsandtradingfinancialassetswasapproximately8.906billionyuan,accountingfor48.79%ofthetotalassets,whichisimportanttothefinancialstatements.Therefore,weidentifiedthepresenceofmonetaryfundsandtradingfinancialassetsaskeyauditmatters. | Ourmainauditproceduresfortheexistenceofmonetaryfundsandtradingfinancialassetsinclude:1.Understandthekeyinternalcontrolsrelatedtotheexistenceofmonetaryfundsandtradingfinancialassets,evaluatethedesignofthesecontrols,determinewhethertheyareimplemented,andtesttheoperationeffectivenessoftherelevantinternalcontrols;2.Obtainthebankaccountstatementsandcheckwiththebookbalance.Obtainthebankreconciliationstatementsfortheitemswithdifferences,understandthenatureofthereconciliationitems,andtestthemajorreconciliationitems;3.Implementconfirmationproceduresformonetaryfundsandtradingfinancialassets,andcalculateaccordingtothelatestnetvalueasofthebalancesheetdateprovidedbythebank.4.Checklargeamountsofmonetaryfunds;inspectproductspecificationsandpurchasereceiptsfortradingfinancialassets;5.Obtaincorporatecreditreportsandcheckwhethertherearepledgeguaranteemattersrelatedtomonetaryfunds;6.Implementthebanksettlementaccountinformationinquiryproceduretoconfirmtheaccuracyandcompletenessofthebanksettlementaccountprovidedtousbythemanagement. |
| Recognitionofoperatingincome | |
| Fordetailsoftheaccountingpoliciesforincomerecognitionandtheanalysisofincome,pleaserefertoNotesIII,(XXVII)andNotesV,(XLIII)totheconsolidatedfinancialstatements.TheincomeofWinnerMedicalmainlycomesfromthesalesbusinessofmedicalconsumablesandhealthyconsumergoods.Comparedwiththepreviousperiod,duetoadjustmentofpublichealtheventspolicyandthetightenedgovernment’sepidemicpreventionpoliciesinChina,theincomeofmedicalconsumablesexperiencedayear-on-yeardecreaseof46.74%,whichwasasignificantchangesinrevenue.Therefore,wedetermineincomerecognitionasakeyauditissue. | OurmainauditproceduresfortheoperatingincomerecognitionofWinnerMedicalinclude:1.Understandthekeyinternalcontrolsrelatedtotherecognitionofincome,evaluatethedesignofthesecontrols,determinewhethertheyareimplemented,andtesttheoperationeffectivenessoftherelevantinternalcontrols;conductacomprehensiveassessmentofthemainITsystemswithinthegroup,withparticularfocusonensuringtheimplementationofkeycontrolactivitiesintherealmofinformationmanagement.2.Checkthemajorsalescontracts,understandthetermsorconditionsofthemajorcontracts,andevaluatewhethertheincomerecognitionpolicyconformstotheprovisionsoftheAccountingStandardsforBusinessEnterprises;3.Implementsubstantiveanalysisproceduresforincomeandgrossprofitmarginaccordingtomajorproducts,identifywhethertherearesignificantorabnormalfluctuations,andfindoutthecausesoffluctuations;4.Confirmcurrentsalestomaincustomersbysamplingcombinedwiththeconfirmationofaccountsreceivable;1.Fordomesticsalesincome,checksupportingdocumentsrelatedtoincomerecognitionbysampling,includingsalescontract,order,salesinvoice,deliverynoteandcustomerreceipt,etc.;forexportincome,checksupportingdocumentssuchassalescontract,exportdeclarationform,billoflandingbysampling;2.Implementananalyticalreviewprocedurefore-commercesalesincome,selecttheTaosystem,JD.comandofficialwebsitewiththehighestproportionofe-commerce,obtainthesalesdataofeachplatformforconsumptionbehavioranalysis,andcompareitwiththecarryingamountofCompany’ssalesincome;3.Checkthecapitalflowofthird-partypaymentplatformssuchasAlipayandcheckitwiththecarryingamount;8.Carryoutcutofftestontheincomerecognizedbeforeandafterthebalancesheetdatetoevaluatewhethertheincomeisrecognizedintheappropriateperiod. |
| KeyAuditItems | Howistheitemhandledintheaudit |
| Accountingoffixedassetsandconstructioninprogress | |
| PleaserefertoNotesIII,(XVI),(XVII)andNotesV,(XV),(XVI)totheconsolidatedfinancialstatements.OnDecember31,2023,thenetvalueoffixedassetsandprojectsunderconstructiontotaled3.734billionyuan,representingapproximately21.82%ofthetotalassets.Bycomparison,onDecember31,2022,thenetvalueoffixedassetsandprojectsunderconstructionamountedto3.078billionyuan,accountingforapproximately16.86%ofthetotalassets.FixedassetsandconstructioninprogressareanimportantpartoftheconsolidatedbalancesheetofWinnerMedical.Thetimepointwhentheconstructioninprogressreachesthepredeterminedusableconditionandtransferintothefixedassets,themethodofdepreciationcalculationofthefixedassets,thejudgmentoftheusefullifeofthefixedassetsandthenetrealizablevalueofthefixedassetswillimpactthebookvalueofthefixedassetsandconstructioninprogress,andtheyareofimportancetotheconsolidatedfinancialstatements. | OurmainauditproceduresfortheaccountingoffixedassetsandconstructioninprogressofWinnerMedicalinclude:1.Checktheprogressofimportantfixedassetsandconstructioninprogressonthebasisofsampling,todeterminetheirexistenceandpayattentiontowhetherthereareidleordamagedfixedassets;2.Selectsamplesoffixedassetsandconstructioninprogressincreasedordecreaseincurrentyear,andchecksupportingdocumentssuchascontracts,invoices,acceptancecertificates,collectionorpaymentorders,etc.;3.Checktheownershiporcontroloffixedassets;4.Checkwhetherthedepreciationpoliciesandmethodscomplywiththestandards,whethertheestimatedservicelifeandestimatednetresidualvaluearereasonable,andcalculatewhetherthedepreciationiscorrect;5.Onthebasisofsampling,checkthedateofacceptancereport,checkdebuggingandproductionrecords,andjudgetheappropriatenessofthetimepointwhentheconstructioninprogressistransferredintofixedassets.6.Confirmrelevanteconomicmatters(contractterms,receiptandpayment,invoicing,transactionbalance,projectprogress,projectstatus)throughcorrespondence. |
| Goodwillimpairmenttests | |
| PleaserefertoNotesV,(XIX),VI,(I)totheconsolidatedfinancialstatements.AsofDecember31,2023,netgoodwillamountedtoaround864millionyuan,representingapproximately5.05%oftotalassets.Bycomparison,asofDecember31,2022,netgoodwillstoodatapproximately1.045billionyuan,accountingforroughly5.72%oftotalassets.Duringtheevaluationofgoodwillimpairment,theapplykeyassumptionssuchasincomegrowthrate,grossprofitmarginanddiscountrate.Duetotheimportanceofgoodwilltotheoverallfinancialstatementsandtheinvolvementofmanagement’ssubjectivejudgmentsandsignificantestimatesinimpairmenttest,whichareinherentlyuncertainandmaybeaffectedbymanagement’sbias,weregardgoodwillanditsimpairmenttestaskeyauditmatters. | OurmainauditproceduresforimpairmenttestofWinnerMedical’sgoodwillinclude:1.Evaluateandtestthedesignandexecutioneffectivenessofinternalcontrolsrelatedtogoodwillimpairmenttest;2.Comparethedatausedinthecashflowforecastwithhistoricaldatatoevaluatetherationalityofthedataused;3.Comparetheincomegrowthrateofthedetailedforecastperiodwiththehistoricalincomegrowthratetoevaluateitsrationality.Understandthebasisforthemanagementtodeterminetheincomegrowthrateinthesubsequentforecastperiod,andevaluateitsrationality;4.Comparethegrossprofitmarginofthedetailedforecastperiodwiththehistoricalgrossprofitmargin,andanalyzetherationalityofthegrossprofitmarginofthedetailedforecastperiod;5.Reviewtherationalityofthevaluationmodelandkeyparametersusedbymanagementinimpairmenttestswiththeassistanceofinternalvaluationexperts;6.Reviewtheadequacyandcompletenessofthedisclosureofimpairmentofgoodwillinthenotestofinancialstatements. |
?OtherinformationThemanagementofWinnerMedical(hereinafterreferredtoasthemanagement)isresponsibleforotherinformation,includingtheinformationcoveredinWinnerMedical’sannualreportfor2023,butexcludingthefinancialstatementsandourauditreport.Ourauditopiniononthefinancialstatementsdoesnotinvolveotherinformationandwedoesnotmadeanyformofverificationconclusionsonotherinformation.
Combinedwithourauditofthefinancialstatements,it’sourresponsibilitytoreadotherinformation.Inthisprocess,weshallconsiderwhethermaterialinconsistencyormaterialmisstatementofotherinformationwiththefinancialstatementsorthesituationunderstoodbyusintheauditprocess.Basedontheworkthathasbeendonebyus,weshouldreportthefactofmaterialmisstatementconfirmedinotherinformation.Wehavenothingtoreportinthisregard.?ResponsibilityofmanagementandgovernmentforthefinancialstatementsThemanagementisresponsibleforpreparingthefinancialstatementsinaccordancewiththeprovisionsoftheAccountingStandardsforBusinessEnterprisesandgivingatrueandfairview;designing,implementingandmaintainingnecessaryinternalcontrol,sothatthefinancialstatementsarefreefrommaterialmisstatement,whetherduetofraudorerror.Whenpreparingthefinancialstatements,themanagementisresponsibleforevaluatingthegoing-concernabilityofWinnerMedical,disclosingthemattersrelatedtothegoing-concern(ifapplicable)andusingthegoing-concernassumption,unlessthemanagementplanstoliquidateSpectrumChemicalorstopoperationornootherrealisticoptions.ThegovernmentisresponsibleforsupervisingthefinancialreportingprocessofWinnerMedical.?ResponsibilityofcertifiedpublicaccountantsforauditoffinancialstatementsOurgoalistoobtainreasonableguaranteeoninexistenceofthematerialmisstatementofthefinancialstatementswhetherduetofraudorerrorandtoissueanauditreportincludingauditopinion.Reasonableguaranteeishighlevelguarantee,butitcannotguaranteethatamaterialmisstatementoftheauditexecutedaccordingtotheauditingstandardswillalwaysbefound.Misstatementmaybecausedbyfraudorerror.Ifthereasonableexpectedmisstatementsmayaffecttheeconomicdecisionmadebythefinancialstatementuseraccordingtothefinancialstatements,whetherindividuallyorcollectively,themisstatementisgenerallybelievedmaterial.Wemadeprofessionaljudgmentandmaintainedprofessionalskepticismintheauditprocessaccordingtotheauditingstandards.Wealsoperformedthefollowing:
(I)Identifyandassesstherisksofmaterialmisstatementofthefinancialstatements,whetherduetofraudorerror,designandimplementauditprocedurestoaddresstheserisks,andobtainsufficientandappropriateauditevidenceasthebasisforauditopinion.Sincethefraudmayinvolvecollusion,forge,intentionalomission,falsestatementoraboveinternalcontrol,theriskofmaterialmisstatementcausedbyfraudishigherthanthatcausedbyerror.(II)Understandinternalcontrolrelatedtotheauditinordertodesignauditproceduresthatareappropriateinthecircumstances,butnotforthepurposeofexpressinganopinionontheeffectivenessoftheinternalcontrol.(III)Evaluatetheappropriatenessoftheaccountingpoliciesbeingusedbythemanagementandthereasonablenessofaccountingestimatesandrelevantdisclosurebeingmadebythemanagement.(IV)Drawaconclusionabouttheappropriatenessofthegoing-concernassumptionusedbythemanagement.Meanwhile,drawaconclusionaboutthemajoruncertaintyofthemattersorcircumstancespossiblyresultinginmajorconcernsaboutthegoing-concernabilityofWinnerMedicalaccordingtotheauditevidenceobtained.Ifwedrawaconclusionthatmajoruncertaintyexists,theauditingstandardsrequireustorequestthestatementusertonoticerelevantdisclosureinthefinancialstatementsintheauditreport;incaseofinsufficientdisclosure,weshouldissueamodifiedauditreport.Ourconclusionismadeonthebasisoftheinformationavailableasoftheauditreportdate.However,thefuturemattersorcircumstancesmayresultingoingconcernfailureofWinnerMedical.(V)Evaluatetheoverallpresentation(includingdisclosure),structureandcontentofthefinancialstatementsandevaluatewhetherthefinancialstatementsgiveatrueandfairviewofrelevanttransactionsandmatters.
(VI)ObtainadequateandappropriateauditevidenceforthefinancialinformationofWinnerMedicalentityorbusinessactivitiestoexpressanopinionontheconsolidatedfinancialstatements.Weareresponsibleforguiding,supervisingandimplementingthegroupauditandtakefullresponsibilityfortheauditopinions.Wecommunicatewiththegovernanceontheplannedauditscope,timearrangementandmajorauditfindings,includingtheinternalcontroldefectsidentifiedbyusintheauditandworthingattention.Wealsoprovidethegovernancewithastatementofcompliancewiththeethicalrequirementsrelatingtoourindependenceandcommunicatewiththegovernancewithrespecttoallrelationsandothermattersthatmayreasonablybeconsideredtoaffectourindependenceandtherelevantprecautions(ifapplicable).Fromtheitemscommunicatedwiththegovernance,wedeterminewhichitemsaremostimportanttotheauditofcurrentfinancialstatementsandthusconstitutethekeyaudititems.Wedescribetheseitemsinourauditreport,unlessthedisclosureofthesemattersisprohibitedbylaworregulation,or,inrarecircumstances,wedeterminethatweshouldnotcommunicatetheitemsinourauditreportifitisreasonablyexpectedthatthenegativeconsequencesofcommunicatinganitemoutweighthebenefitsinthepublicinterest.
| BDOCHINASHULUNPANCERTIFIEDPUBLICACCOUNTANTSLLP | ChineseCertifiedPublicAccountant:ChengJin |
| (ProjectPartner) |
Shanghai,China
| Shanghai,China | ChineseCertifiedPublicAccountant:WuLihong |
April23,2023
II.Financialstatements
Unitofstatementsinfinancialnotes:yuan
1.ConsolidatedBalanceSheet
WinnerMedicalPreparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | December31,2023 | Unit:yuan |
| Item | December31,2023 | January01,2023 |
| Currentassets: | ||
| Cashandcashequivalents | 4,706,132,071.27 | 4,526,877,578.90 |
| Depositreservationforbalance | ||
| Lendingfunds | ||
| Tradablefinancialassets | 2,850,058,540.71 | 4,378,789,960.23 |
| Derivativefinancialassets | ||
| Notesreceivable | 42,963,076.53 | 51,001,784.57 |
| Accountsreceivable | 768,602,289.60 | 932,642,061.04 |
| Amountsreceivablefinancing | 29,348,618.44 | 93,093,113.79 |
| Advancestosuppliers | 122,281,742.75 | 229,225,273.09 |
| Premiumsreceivables | ||
| Reinsuranceaccountsreceivable | ||
| Provisionofcessionreceivable | ||
| Otherreceivables | 218,913,405.18 | 236,298,390.78 |
| Including:Interestreceivable | ||
| Dividendsreceivable | ||
| Redemptorycashandcashequivalentsforsale | ||
| Inventory | 1,434,326,287.96 | 1,558,923,573.37 |
| Contractassets | ||
| Assetsheldforsales | ||
| Non-currentassetsduewithinayear | 4,379,308.17 | |
| Othercurrentassets | 378,853,652.64 | 119,059,084.47 |
| Totalcurrentassets | 10,555,858,993.25 | 12,125,910,820.24 |
| Non-currentassets: |
| Item | December31,2023 | January01,2023 |
| Loansandadvances | ||
| Debtinvestment | ||
| Otherdebtinvestments | ||
| Long-termreceivables | 35,689,264.21 | |
| Long-termequityinvestment | 20,879,244.20 | 21,747,635.99 |
| Otherequityinstrumentinvestments | ||
| Othernon-currentfinancialassets | 70,000,000.00 | 40,000,000.00 |
| Investmentrealestates | 7,693,341.79 | 8,747,014.25 |
| Fixedassets | 2,749,018,750.62 | 2,312,982,598.88 |
| Constructioninprogress | 984,571,329.05 | 765,009,910.63 |
| Productivebiologicalassets | ||
| Oilandgasassets | ||
| Right-of-useassets | 417,496,021.36 | 472,356,125.64 |
| Intangibleassets | 995,228,233.51 | 1,033,109,803.45 |
| Developmentexpenditure | ||
| Goodwill | 864,289,002.45 | 1,044,674,814.01 |
| Long-termunamortizedexpenses | 131,090,470.15 | 132,692,286.03 |
| Deferredincometaxassets | 175,351,248.02 | 211,971,976.90 |
| Othernon-currentassets | 104,856,551.36 | 83,524,640.64 |
| Totalnon-currentassets | 6,556,163,456.72 | 6,126,816,806.42 |
| Totalassets | 17,112,022,449.97 | 18,252,727,626.66 |
| Currentliabilities | ||
| Short-termloans | 1,493,238,955.00 | 2,295,218,930.85 |
| Borrowingsfromcentralbank | ||
| Borrowingfunds | ||
| Tradablefinancialliabilities | ||
| Derivativefinancialliabilities | ||
| Notespayable | 315,902,844.15 | 24,760,000.00 |
| Accountspayable | 1,116,802,220.38 | 1,119,574,518.58 |
| Advancefromcustomers |
WinnerMedicalItem
| Item | December31,2023 | January01,2023 |
| Contractliabilities | 193,262,892.15 | 566,819,254.08 |
| Financialassetssoldforrepurchase | ||
| Depositsfromcustomersandinterbank | ||
| Actingtradingsecurities | ||
| Actingunderwritingsecurities | ||
| Payrollpayable | 254,475,235.72 | 312,450,241.38 |
| Taxespayable | 62,877,779.86 | 322,255,874.61 |
| Otherpayables | 591,310,917.61 | 570,843,242.88 |
| Including:Interestpayable | ||
| Dividendspayable | ||
| Feesandcommissionspayable | ||
| Dividendpayableforreinsurance | ||
| Liabilitiesheldforsales | ||
| Non-currentliabilitiesduewithinoneyear | 223,426,826.45 | 215,946,889.32 |
| Othercurrentliabilities | 19,712,328.19 | 59,604,591.85 |
| Totalcurrentliabilities | 4,271,009,999.51 | 5,487,473,543.55 |
| Non-currentliabilities | ||
| Reservefundforinsurancecontracts | ||
| Long-termloans | 170,000,000.00 | |
| Bondspayable | ||
| Including:preferredshare | ||
| Perpetualbond | ||
| Leaseliabilities | 292,009,504.04 | 326,459,697.90 |
| Long-termpayable | ||
| Long-termpayrollpayable | 8,511,000.00 | 8,579,637.94 |
| Estimatedliabilities | ||
| Deferredincome | 121,649,364.97 | 98,791,412.91 |
| Deferredincometaxliabilities | 138,520,778.30 | 133,677,102.81 |
| Othernon-currentliabilities | ||
| Totalnon-currentliabilities | 730,690,647.31 | 567,507,851.56 |
| Item | December31,2023 | January01,2023 |
| Totalliabilities | 5,001,700,646.82 | 6,054,981,395.11 |
| Owner’sequity: | ||
| Capitalstock | 594,387,367.00 | 426,492,308.00 |
| Otherequityinstruments | ||
| Including:preferredshare | ||
| Perpetualbond | ||
| Capitalreserve | 4,381,126,487.29 | 4,546,247,611.24 |
| Less:treasurystock | 473,552,442.85 | 500,082,734.11 |
| Othercomprehensiveincome | 2,215,369.44 | 782,778.15 |
| Specialreserve | ||
| Surplusreserve | 420,212,778.13 | 420,212,778.13 |
| Generalriskprovision | ||
| Undistributedprofit | 6,608,834,768.99 | 6,825,933,069.72 |
| Totalowners’equitiesattributabletotheownersofparentcompany | 11,533,224,328.00 | 11,719,585,811.13 |
| Minorityequity | 577,097,475.15 | 478,160,420.42 |
| Totalowners’equities | 12,110,321,803.15 | 12,197,746,231.55 |
| Totalliabilitiesandowners’equities | 17,112,022,449.97 | 18,252,727,626.66 |
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
2.BalanceSheetofParentCompany
WinnerMedical
Preparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | Unit:yuan | |
| Item | December31,2023 | January01,2023 |
| Currentassets: | ||
| Cashandcashequivalents | 3,709,959,628.26 | 3,657,596,762.00 |
| Tradablefinancialassets | 2,723,751,837.29 | 3,937,805,999.74 |
| Derivativefinancialassets | ||
| Notesreceivable | 4,467,239.17 | 15,100,060.05 |
| Accountsreceivable | 329,056,250.56 | 454,131,329.85 |
| Amountsreceivablefinancing | 3,373,685.21 | 72,766,987.70 |
| Advancestosuppliers | 819,879,677.04 | 1,247,948,057.70 |
| Otherreceivables | 116,040,893.47 | 123,628,108.60 |
| Including:Interestreceivable | ||
| Dividendsreceivable | ||
| Inventory | 251,311,204.70 | 335,624,519.05 |
| Contractassets | ||
| Assetsheldforsales | ||
| Non-currentassetsduewithinayear | 4,379,308.17 | |
| Othercurrentassets | 219,250,046.91 | 100,484,526.44 |
| Totalcurrentassets | 8,181,469,770.78 | 9,945,086,351.13 |
| Non-currentassets: | ||
| Debtinvestment | ||
| Otherdebtinvestments | ||
| Long-termreceivables | 35,689,264.21 | |
| Long-termequityinvestment | 3,628,308,515.87 | 3,547,654,880.31 |
| Otherequityinstrumentinvestments | ||
| Othernon-currentfinancialassets | 70,000,000.00 | 40,000,000.00 |
| Investmentrealestates | ||
| Fixedassets | 39,029,180.33 | 99,683,983.66 |
| Constructioninprogress | 81,523,183.74 | 28,127,353.45 |
| Item | December31,2023 | January01,2023 |
| Productivebiologicalassets | ||
| Oilandgasassets | ||
| Right-of-useassets | 53,018,721.37 | 73,896,162.36 |
| Intangibleassets | 42,201,830.86 | 37,561,928.32 |
| Developmentexpenditure | ||
| Goodwill | ||
| Long-termunamortizedexpenses | 19,425,804.21 | 20,782,444.19 |
| Deferredincometaxassets | 38,890,354.71 | 39,382,354.76 |
| Othernon-currentassets | 41,395,668.54 | 24,649,870.57 |
| Totalnon-currentassets | 4,049,482,523.84 | 3,911,738,977.62 |
| Totalassets | 12,230,952,294.62 | 13,856,825,328.75 |
| Currentliabilities: | ||
| Short-termloans | 1,270,138,900.00 | 1,010,087,083.33 |
| Tradablefinancialliabilities | ||
| Derivativefinancialliabilities | ||
| Notespayable | 104,617,096.39 | 980,000,000.00 |
| Accountspayable | 247,993,184.23 | 868,496,158.04 |
| Advancefromcustomers | ||
| Contractliabilities | 90,354,800.16 | 464,022,623.08 |
| Payrollpayable | 62,965,400.32 | 123,859,226.02 |
| Taxespayable | 2,852,502.16 | 145,381,044.31 |
| Otherpayables | 358,800,377.50 | 346,143,459.66 |
| Including:Interestpayable | ||
| Dividendspayable | ||
| Liabilitiesheldforsales | ||
| Non-currentliabilitiesduewithinoneyear | 47,239,311.11 | 22,369,924.68 |
| Othercurrentliabilities | 4,700,685.90 | 44,098,604.24 |
| Totalcurrentliabilities | 2,189,662,257.77 | 4,004,458,123.36 |
| Non-currentliabilities: | ||
| Long-termloans | 170,000,000.00 |
WinnerMedicalItem
| Item | December31,2023 | January01,2023 |
| Bondspayable | ||
| Including:preferredshare | ||
| Perpetualbond | ||
| Leaseliabilities | 51,992,935.59 | 54,991,421.86 |
| Long-termpayable | ||
| Long-termpayrollpayable | ||
| Estimatedliabilities | ||
| Deferredincome | 1,312,817.62 | 17,434,675.44 |
| Deferredincometaxliabilities | 8,333,039.89 | 1,510,415.96 |
| Othernon-currentliabilities | ||
| Totalnon-currentliabilities | 231,638,793.10 | 73,936,513.26 |
| Totalliabilities | 2,421,301,050.87 | 4,078,394,636.62 |
| Owner’sequity: | ||
| Capitalstock | 594,387,367.00 | 426,492,308.00 |
| Otherequityinstruments | ||
| Including:preferredshare | ||
| Perpetualbond | ||
| Capitalreserve | 4,380,380,114.80 | 4,571,654,373.59 |
| Less:treasurystock | 473,552,442.85 | 500,082,734.11 |
| Othercomprehensiveincome | ||
| Specialreserve | ||
| Surplusreserve | 411,397,111.21 | 411,397,111.21 |
| Undistributedprofit | 4,897,039,093.59 | 4,868,969,633.44 |
| Totalowners’equities | 9,809,651,243.75 | 9,778,430,692.13 |
| Totalliabilitiesandowners’equities | 12,230,952,294.62 | 13,856,825,328.75 |
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
3.ConsolidatedStatementofIncome
| Preparedby:WinnerMedicalCo.,Ltd. | Unit:yuan | |
| Item | Year2023 | Year2022 |
| I.Totaloperatingincome | 8,185,022,057.20 | 11,351,331,545.08 |
| Including:Operatingincome | 8,185,022,057.20 | 11,351,331,545.08 |
| Interestrevenue | ||
| Premiumearned | ||
| Feeandcommissionincome | ||
| II.Operatingcost | 7,285,343,794.63 | 9,119,688,180.06 |
| Including:Operatingcosts | 4,174,597,287.74 | 5,972,800,817.29 |
| Interestexpenditure | ||
| Feeandcommissionexpense | ||
| Surrendervalue | ||
| Netpaymentsforinsuranceclaims | ||
| Netreservefundextractedforinsuranceliabilitycontracts | ||
| Bondinsuranceexpense | ||
| Reinsurancecosts | ||
| Taxesandsurcharges | 66,413,470.87 | 98,087,240.32 |
| Sellingexpenses | 2,090,492,506.10 | 2,050,176,407.46 |
| Administrativeexpenses | 693,647,621.42 | 633,614,634.95 |
| R&Dexpenses | 322,051,868.43 | 487,583,652.11 |
| Financialexpenses | -61,858,959.93 | -122,574,572.07 |
| Including:interestexpenditure | 63,441,562.69 | 50,043,346.95 |
| Interestrevenue | 133,913,862.72 | 123,909,561.75 |
| Plus:otherincomes | 101,105,274.61 | 84,373,262.34 |
| Incomefrominvestment(lossexpressedwith“-”) | 127,342,880.98 | 51,470,767.16 |
| Including:Incomefrominvestmentofjointventureandcooperativeenterprise | 1,581,608.21 | 4,697,834.75 |
| Incomefromderecognitionoffinancialassetsmeasuredatamortizedcost | ||
| Exchangegain(lossexpressedwith“-”) | ||
| Netexposurehedginggain(lossexpressedwith“-”) | ||
WinnerMedicalItem
| Item | Year2023 | Year2022 |
| Incomefromfairvaluechanges(lossexpressedwith“-”) | 46,678,103.27 | 32,148,876.44 |
| Creditimpairmentlosses(lossexpressedwith“-”) | 4,725,509.30 | -63,943,322.52 |
| Assetsimpairmentlosses(lossexpressedwith“-”) | -393,762,054.87 | -362,869,340.23 |
| Incomefromdisposalofassets(lossexpressedwith“-”) | 32,201,950.01 | 3,726,204.37 |
| III.Operatingprofit(losstobefilledoutwiththeminussign“-”) | 817,969,925.87 | 1,976,549,812.58 |
| Plus:Non-revenue | 16,618,496.48 | 10,569,559.38 |
| Less:non-operatingexpenditure | 84,742,148.34 | 67,613,275.63 |
| IV.Totalprofit(totallosstobefilledoutwiththeminussign“-”) | 749,846,274.01 | 1,919,506,096.33 |
| Less:Incometaxexpenses | 121,301,087.57 | 245,168,629.65 |
| V.Netprofit(netlosstobefilledoutwiththeminussign“-”) | 628,545,186.44 | 1,674,337,466.68 |
| (I)Classifiedbybusinesscontinuity | ||
| 1.Netprofitsfromgoingconcern(netlossexpressedwith“-”) | 628,545,186.44 | 1,674,337,466.68 |
| 2.Netprofitsfromdiscontinuingoperation(netlossexpressedwith“-”) | ||
| (II)Classifiedbyownership | ||
| 1.Netprofitsattributabletoshareholdersofparentcompany | 580,403,232.37 | 1,650,717,282.64 |
| 2.Minorityinterestincome | 48,141,954.07 | 23,620,184.04 |
| VI.Netamountofothercomprehensiveincomeaftertax | 2,623,741.12 | 3,547,462.46 |
| Netamountofothercomprehensiveincomeaftertaxattributedtoparentcompanyowners | 1,432,591.30 | 2,339,713.58 |
| (I)Othercomprehensiveincomethatcan’tbereclassifiedintoprofitandloss | -206,495.38 | 601,000.00 |
| 1.Remeasurethevariationofnetindebtednessornetassetofdefinedbenefitplan | -206,495.38 | 601,000.00 |
| 2.Othercomprehensiveincomesubsequentlyunabletobeclassifiedintotheprofitsorlossesbasedonequitymethod | ||
| 3.Changesinfairvalueforotherequityinstrumentsinvestment | ||
| 4.Changesinfairvaluefortheenterprisecreditrisks | ||
| 5.Others | ||
| (II)Othercomprehensiveincomethatwillbereclassifiedintoprofitandloss | 1,639,086.68 | 1,738,713.58 |
| 1.Othercomprehensiveincomethatwillbereclassifiedintoprofitandlossintheinvestedenterpriseunderequitymethod | ||
| 2.Changesinfairvalueforotherdebtinvestment | ||
| 3.Theamountoffinancialassetsubsequentlytobereclassifiedintoothercomprehensiveincome | ||
| 4.Provisionsforimpairmentofotherdebtinvestment | ||
| 5.Cashflowhedge |
| Item | Year2023 | Year2022 |
| 6.Balancearisingfromthetranslationofforeigncurrencyfinancialstatements | 1,639,086.68 | 1,738,713.58 |
| 7.Others | ||
| Netamountofothercomprehensiveincomeaftertaxattributedtominorityshareholders | 1,191,149.82 | 1,207,748.88 |
| VII.Totalcomprehensiveincome | 631,168,927.56 | 1,677,884,929.14 |
| Totalcomprehensiveincomeattributedtoparentcompanyowners | 581,835,823.67 | 1,653,056,996.22 |
| Totalcomprehensiveincomeattributedtominorityshareholders | 49,333,103.89 | 24,827,932.92 |
| VIII.EarningsPerShare | ||
| (I)Basicearningspershare | 0.98 | 2.79 |
| (II)Dilutedearningspershare | 0.98 | 2.79 |
Incaseofbusinesscombinationinvolvingenterprisesundercommoncontrolincurrentperiod,thenetprofitsachievedbythemergedpartybeforecombinationwere0.00yuanandachievedbythemergedpartyinpreviousperiodwere0.00yuan.
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
4.IncomeStatementofParentCompany
WinnerMedicalPreparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | Unit:yuan | |
| Item | Year2023 | Year2022 |
| I.Revenue | 2,892,090,654.45 | 6,524,892,771.82 |
| Subtract:Operatingcosts | 2,034,115,507.03 | 4,161,507,373.94 |
| Taxesandsurcharges | 8,489,244.95 | 36,034,584.59 |
| Sellingexpenses | 387,608,950.08 | 452,754,200.04 |
| Administrativeexpenses | 313,981,375.21 | 334,694,723.83 |
| R&Dexpenses | 104,581,622.35 | 204,606,781.00 |
| Financialexpenses | -73,711,157.59 | -124,366,125.15 |
| Including:interestexpenditure | 38,242,399.91 | 22,677,277.27 |
| Interestrevenue | 121,106,387.31 | 112,771,887.57 |
| Plus:otherincomes | 19,329,429.96 | 20,759,967.82 |
| Incomefrominvestment(lossexpressedwith“-”) | 817,024,682.96 | 727,290,299.21 |
| Including:Incomefrominvestmentofjointventureandcooperativeenterprise | 1,184,337.91 | 4,692,894.92 |
| Incomefromderecognitionoffinancialassetsmeasuredatamortizedcost(lossexpressedwith“-”) | ||
| Netexposurehedginggain(lossexpressedwith“-”) | ||
| Incomefromfairvaluechanges(lossexpressedwith“-”) | 44,940,837.55 | 29,434,882.75 |
| Creditimpairmentlosses(lossexpressedwith“-”) | 8,788,024.82 | -72,175,899.92 |
| Assetsimpairmentlosses(lossexpressedwith“-”) | -135,881,132.07 | -105,473,198.20 |
| Incomefromdisposalofassets(lossexpressedwith“-”) | 21,798,190.53 | -94,094.68 |
| II.Operatingprofit(losstobefilledoutwiththeminussign“-”) | 893,025,146.17 | 2,059,403,190.55 |
| Plus:Non-revenue | 3,058,779.51 | 1,353,390.78 |
| Less:non-operatingexpenditure | 60,362,700.49 | 17,761,666.63 |
| III.Totalprofit(totallosstobefilledoutwiththeminussign“-”) | 835,721,225.19 | 2,042,994,914.70 |
| Less:Incometaxexpenses | 10,150,231.94 | 187,930,805.33 |
| IV.Netprofit(netlosstobefilledoutwiththeminussign“-”) | 825,570,993.25 | 1,855,064,109.37 |
| (I)Netprofitsfromgoingconcern(netlossexpressedwith“-”) | 825,570,993.25 | 1,855,064,109.37 |
| (II)Netprofitsfromdiscontinuingoperation(netlossexpressedwith“-”) | ||
| Item | Year2023 | Year2022 |
| V.Netamountofothercomprehensiveincomeaftertax | ||
| (I)Othercomprehensiveincomethatcan’tbereclassifiedintoprofitandloss | ||
| 1.Remeasurethevariationofnetindebtednessornetassetofdefinedbenefitplan | ||
| 2.Othercomprehensiveincomesubsequentlyunabletobeclassifiedintotheprofitsorlossesbasedonequitymethod | ||
| 3.Changesinfairvalueforotherequityinstrumentsinvestment | ||
| 4.Changesinfairvaluefortheenterprisecreditrisks | ||
| 5.Others | ||
| (II)Othercomprehensiveincomethatwillbereclassifiedintoprofitandloss | ||
| 1.Othercomprehensiveincomethatwillbereclassifiedintoprofitandlossintheinvestedenterpriseunderequitymethod | ||
| 2.Changesinfairvalueforotherdebtinvestment | ||
| 3.Theamountoffinancialassetsubsequentlytobereclassifiedintoothercomprehensiveincome | ||
| 4.Provisionsforimpairmentofotherdebtinvestment | ||
| 5.Cashflowhedge | ||
| 6.Balancearisingfromthetranslationofforeigncurrencyfinancialstatements | ||
| 7.Others | ||
| VI.Totalcomprehensiveincome | 825,570,993.25 | 1,855,064,109.37 |
| VII.Earningspershare: | ||
| (I)Basicearningspershare | 0.0000 | |
| (II)Dilutedearningspershare | 0.0000 |
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
5.ConsolidatedStatementofCashFlow
WinnerMedicalPreparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | Unit:yuan | |
| Item | Year2023 | Year2022 |
| I.Cashflowfromfinancingactivities: | ||
| Cashfromsellinggoodsorofferinglabor | 8,846,783,036.30 | 12,313,842,633.16 |
| Netincreaseofcustomerdepositanddepositfromotherbanks | ||
| Netincreaseofborrowingsfromcentralbank | ||
| Netincreaseofborrowingfundsfromotherfinancialinstitutions | ||
| Cashfromobtainingoriginalinsurancecontractpremium | ||
| Cashreceivedfrominsurancepremiumoforiginalinsurancecontract | ||
| Netincreaseofdepositandinvestmentofinsured | ||
| Cashfrominterest,handlingchargesandcommissions | ||
| Netincreaseofborrowingfunds | ||
| Netincreaseofrepurchaseofbusinessfunds | ||
| Netcashfromactingtradingsecurities | ||
| Refundoftaxandlevies | 79,672,356.36 | 13,034,931.53 |
| Othercashreceivedrelatedtooperatingactivities | 177,059,400.53 | 215,912,765.53 |
| Subtotalofcashinflowfromoperatingactivities | 9,103,514,793.19 | 12,542,790,330.22 |
| Cashpaidtobuyproductsandacceptlaborservices | 5,055,100,441.56 | 6,458,046,080.74 |
| Netincreaseofcustomerloansandadvances | ||
| Netincreaseofamountduefromcentralbankandinterbank | ||
| Cashpaidfororiginalinsurancecontractclaimspayment | ||
| Netincreaseoflendingfunds | ||
| Cashpaidforinterest,handlingchargesandcommissions | ||
| Cashpaidforpolicydividend | ||
| Cashpaidtoandforemployees | 1,794,520,705.17 | 1,775,089,609.22 |
| Taxesandfeespaid | 750,512,089.73 | 723,930,241.85 |
| Othercashpaidrelatedtooperatingactivities | 440,055,324.50 | 602,252,168.14 |
| Subtotalofcashoutflowfromoperatingactivities | 8,040,188,560.96 | 9,559,318,099.95 |
| Netcashflowfromoperatingactivities | 1,063,326,232.23 | 2,983,472,230.27 |
| II.Cashflowfrominvestmentactivities: | ||
| Cashfrominvestmentwithdrawal | 6,247,266,220.01 | 8,019,668,619.78 |
| Item | Year2023 | Year2022 |
| Cashfrominvestmentincome | 234,362,316.07 | 155,708,427.23 |
| Netcashfromdisposaloffixedassets,intangibleassetsandotherlong-termassets | 108,039,128.43 | 63,203,570.84 |
| Netcashreceivedfromthedisposalofsubsidiariesandotherbusinessentities | ||
| Othercashreceivedrelatedtoinvestmentactivities | ||
| Subtotalofcashinflowfrominvestmentactivities | 6,589,667,664.51 | 8,238,580,617.85 |
| Cashpaidforthepurchaseandconstructionoffixedassets,intangibleassetsandotherlongtermassets | 753,066,181.04 | 1,199,381,228.11 |
| Cashpaidforinvestment | 4,659,245,208.32 | 9,180,242,000.00 |
| Netcashreceivedfromreinsurancebusiness | ||
| Netcashpaidforobtainingsubsidiariesandotherbusinessunits | 147,078,596.46 | 1,677,072,708.56 |
| Othercashpaidrelatedtoinvestmentactivities | ||
| Subtotalofcashoutflowfrominvestmentactivities | 5,559,389,985.82 | 12,056,695,936.67 |
| Netcashflowfrominvestingactivities | 1,030,277,678.69 | -3,818,115,318.82 |
| III.Cashflowfromfinancingactivities: | ||
| Receiptsfromequitysecurities | ||
| Including:Cashreceivedfromsubsidies’absorptionofminorityshareholders’investment | ||
| Cashreceivedfromborrowings | 2,153,100,000.00 | 2,276,661,290.38 |
| Othercashreceivedrelatedtofinancingactivities | 150,357,500.00 | |
| Subtotalofcashinflowfromfinancialactivities | 2,303,457,500.00 | 2,276,661,290.38 |
| Cashrepaymentsofamountsborrowed | 2,803,050,000.00 | 149,941,702.35 |
| Cashpaidfordistributionofdividendsorprofitsandforinterestexpenses | 821,623,483.60 | 400,990,321.44 |
| Including:Dividendsandprofitspaidbysubsidiariestominorityshareholders | ||
| Othercashpaidrelatedtofinancingactivities | 464,211,430.49 | 608,221,958.76 |
| Subtotalofcashoutflowfromfinancialactivities | 4,088,884,914.09 | 1,159,153,982.55 |
| Netcashflowfromfinancingactivities | -1,785,427,414.09 | 1,117,507,307.83 |
| IV.Impactofexchangeratemovementsoncashandcashequivalents | -1,657,672.55 | -654,523.15 |
| V.Netincreaseincashandcashequivalents | 306,518,824.28 | 282,209,696.13 |
| Plus:Balanceofcashandcashequivalentsatthebeginningoftheperiod | 4,370,821,958.17 | 4,088,612,262.04 |
| VI.Balanceofcashandcashequivalentsatendofperiod | 4,677,340,782.45 | 4,370,821,958.17 |
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
6.CashFlowStatementofParentCompany
WinnerMedicalPreparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | Unit:yuan | |
| Item | Year2023 | Year2022 |
| I.Cashflowfromfinancingactivities: | ||
| Cashfromsellinggoodsorofferinglabor | 2,725,815,354.22 | 7,024,626,852.61 |
| Refundoftaxandlevies | 68,165,815.59 | 8,723,940.00 |
| Othercashreceivedrelatedtooperatingactivities | 49,890,829.94 | 45,569,799.37 |
| Subtotalofcashinflowfromoperatingactivities | 2,843,871,999.75 | 7,078,920,591.98 |
| Cashpaidtobuyproductsandacceptlaborservices | 4,071,208,907.64 | 3,123,159,254.41 |
| Cashpaidtoandforemployees | 470,253,224.88 | 488,580,185.70 |
| Taxesandfeespaid | 192,076,507.34 | 314,821,144.26 |
| Othercashpaidrelatedtooperatingactivities | 115,904,010.32 | 165,828,956.84 |
| Subtotalofcashoutflowfromoperatingactivities | 4,849,442,650.18 | 4,092,389,541.21 |
| Netcashflowfromoperatingactivities | -2,005,570,650.43 | 2,986,531,050.77 |
| II.Cashflowfrominvestmentactivities: | ||
| Cashfrominvestmentwithdrawal | 4,485,782,040.58 | 6,428,041,223.52 |
| Cashfrominvestmentincome | 917,554,636.32 | 120,343,865.20 |
| Netcashfromdisposaloffixedassets,intangibleassetsandotherlong-termassets | 106,705,409.51 | 41,772,465.29 |
| Netcashreceivedfromthedisposalofsubsidiariesandotherbusinessentities | ||
| Othercashreceivedrelatedtoinvestmentactivities | ||
| Subtotalofcashinflowfrominvestmentactivities | 5,510,042,086.41 | 6,590,157,554.01 |
| Cashpaidforthepurchaseandconstructionoffixedassets,intangibleassetsandotherlongtermassets | 125,841,659.50 | 129,095,084.78 |
| Cashpaidforinvestment | 2,752,606,926.68 | 7,550,845,323.13 |
| Netcashpaidforobtainingsubsidiariesandotherbusinessunits | 108,812,000.00 | 2,020,549,500.00 |
| Othercashpaidrelatedtoinvestmentactivities | ||
| Subtotalofcashoutflowfrominvestmentactivities | 2,987,260,586.18 | 9,700,489,907.91 |
| Netcashflowfrominvestingactivities | 2,522,781,500.23 | -3,110,332,353.90 |
| III.Cashflowfromfinancingactivities: | ||
| Receiptsfromequitysecurities | ||
| Cashreceivedfromborrowings | 1,870,000,000.00 | 1,010,000,000.00 |
| Item | Year2023 | Year2022 |
| Othercashreceivedrelatedtofinancingactivities | 127,857,500.00 | |
| Subtotalofcashinflowfromfinancialactivities | 1,997,857,500.00 | 1,010,000,000.00 |
| Cashrepaymentsofamountsborrowed | 1,420,000,000.00 | |
| Cashpaidfordistributionofdividendsorprofitsandforinterestexpenses | 819,607,699.75 | 397,234,965.83 |
| Othercashpaidrelatedtofinancingactivities | 106,980,345.17 | 377,499,720.17 |
| Subtotalofcashoutflowfromfinancialactivities | 2,346,588,044.92 | 774,734,686.00 |
| Netcashflowfromfinancingactivities | -348,730,544.92 | 235,265,314.00 |
| IV.Impactofexchangeratemovementsoncashandcashequivalents | 923,515.28 | -1,231,353.71 |
| V.Netincreaseincashandcashequivalents | 169,403,820.16 | 110,232,657.16 |
| Plus:Balanceofcashandcashequivalentsatthebeginningoftheperiod | 3,540,343,438.87 | 3,430,110,781.71 |
| VI.Balanceofcashandcashequivalentsatendofperiod | 3,709,747,259.03 | 3,540,343,438.87 |
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
7.ConsolidatedStatementonChangesinOwners’Equity
WinnerMedicalPreparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | Currentamount | Unit:yuan | |||||||||||||||
| Year2023 | |||||||||||||||||
| Item | Owners’equitiesattributabletotheownersofparentcompany | ||||||||||||||||
| Capitalstock | Otherequityinstruments | Capitalreserve | Less:Treasurystock | Othercomprehensiveincome | Specialreserve | Surplusreserve | Generalriskprovision | Undistributedprofit | Others | Subtotal | Minorityequity | Totalowners’equities | |||||
| Preferredshare | Perpetualbond | Others | |||||||||||||||
| I.Endingbalanceofpreviousyear | 426,492,308.00 | 4,546,247,611.24 | 500,082,734.11 | 782,778.15 | 420,212,778.13 | 6,810,953,829.30 | 11,704,606,570.71 | 478,161,435.74 | 12,182,768,006.45 | ||||||||
| PlusChangesinaccountingpolicies | 14,979,240.42 | 14,979,240.42 | -1,015.32 | 14,978,225.10 | |||||||||||||
| Priorperioderrorcorrection | |||||||||||||||||
| Others | |||||||||||||||||
| II.Beginningbalanceincurrentyear | 426,492,308.00 | 4,546,247,611.24 | 500,082,734.11 | 782,778.15 | 420,212,778.13 | 6,825,933,069.72 | 11,719,585,811.13 | 478,160,420.42 | 12,197,746,231.55 | ||||||||
| III.Increase/decreaseinthecurrentperiod(lesstobefilledoutwiththeminussign“-) | 167,895,059.00 | -165,121,123.95 | -26,530,291.26 | 1,432,591.29 | -217,098,300.73 | -186,361,483.13 | 98,937,054.73 | -87,424,428.40 | |||||||||
| (I)Totalcomprehensiveincome | 1,432,591.29 | 580,403,232.37 | 581,835,823.66 | 49,333,103.89 | 631,168,927.55 | ||||||||||||
| (II)Owner’sinvestedanddecreasedcapital | 3,151,091.47 | 3,151,091.47 | 3,151,091.47 | ||||||||||||||
| 1.Commonstockinvestedbytheowner | |||||||||||||||||
| 2.Capitalinvestedbyotherequityinstrumentholders | |||||||||||||||||
| 3.Amountofshare-basedpaymentincludedintheowner’sequity | 3,151,091.47 | 3,151,091.47 | 3,151,091.47 | ||||||||||||||
| 4.Others | |||||||||||||||||
| (III)Profitdistribution | -797,501,533.10 | -797,501,533.10 | -797,501,533.10 | ||||||||||||||
| 1.Withdrawalofsurplusreserves | |||||||||||||||||
| 2.Withdrawalofgeneralriskpreparation | |||||||||||||||||
| 3.Distributionofowners(orshareholders) | -797,501,533.10 | -797,501,533.10 | -797,501,533.10 | ||||||||||||||
| 4.Others | |||||||||||||||||
| (IV)Internaltransferofowner’sequity | 167,895,059.00 | -194,425,350.26 | -26,530,291.26 | ||||||||||||||
| 1.Capitalsurplustransfertopaid-incapital(orcapitalstock) | 167,895,059.00 | -167,895,059.00 | |||||||||||||||
| 2.Earnedsurplustransfertopaid-incapital(orcapitalstock) | |||||||||||||||||
| 3.Earnedsurpluscoveringthedeficit | |||||||||||||||||
| 4.Carryforwardretainedearningsinvariationofdefinedbenefitplan | |||||||||||||||||
| 5.Carryforwardretainedearningsofothercomprehensiveincome | |||||||||||||||||
| 6.Others | -26,530,291.26 | -26,530,291.26 | |||||||||||||||
| (V)Specialreserve | |||||||||||||||||
| 1.Drawinthiscurrent | |||||||||||||||||
| 2.Useinthiscurrent | |||||||||||||||||
| (VI)Others | 26,153,134.84 | 26,153,134.84 | 49,603,950.84 | 75,757,085.68 | |||||||||||||
| IV.Balanceattheendofcurrentperiod | 594,387,367.00 | 4,381,126,487.29 | 473,552,442.85 | 2,215,369.44 | 420,212,778.13 | 6,608,834,768.99 | 11,533,224,328.00 | 577,097,475.15 | 12,110,321,803.15 | ||||||||
7.ConsolidatedStatementonChangesinOwners’Equity(continued)
| Preparedby:WinnerMedicalCo.,Ltd. | Lasttermamount | Unit:yuan | |||||||||||||||
| Year2022 | |||||||||||||||||
| Item | Owners’equitiesattributabletotheownersofparentcompany | ||||||||||||||||
| Capitalstock | Otherequityinstruments | Capitalreserve | Less:Treasurystock | Othercomprehensiveincome | Specialreserve | Surplusreserve | Generalriskprovision | Undistributedprofit | Others | Subtotal | Minorityequity | Totalowners’equities | |||||
| Preferredshare | Perpetualbond | Others | |||||||||||||||
| I.Endingbalanceofpreviousyear | 426,492,308.00 | 4,549,621,096.81 | 257,992,366.68 | -1,556,935.43 | 420,212,778.13 | 5,538,135,285.97 | 10,674,912,166.80 | 12,196,045.94 | 10,687,108,212.74 | ||||||||
| Plus:Changesinaccountingpolicies | 14,844,385.21 | 14,844,385.21 | 924.66 | 14,845,309.87 | |||||||||||||
| Priorperioderrorcorrection | |||||||||||||||||
| Others | |||||||||||||||||
| II.Beginningbalanceincurrentyear | 426,492,308.00 | 4,549,621,096.81 | 257,992,366.68 | -1,556,935.43 | 420,212,778.13 | 5,552,979,671.18 | 10,689,756,552.01 | 12,196,970.60 | 10,701,953,522.61 | ||||||||
| III.IncreaseordecreaseincurrentperiodAmount(lesstobefilledoutwiththeminussign“-) | -3,373,485.57 | 242,090,367.43 | 2,339,713.58 | 1,272,953,398.54 | 1,029,829,259.12 | 465,963,449.82 | 1,495,792,708.94 | ||||||||||
| (I)Totalcomprehensiveincome | 2,339,713.58 | 1,650,717,282.64 | 1,653,056,996.22 | 24,827,932.92 | 1,677,884,929.14 | ||||||||||||
| (II)Owner’sinvestedanddecreasedcapital | -3,373,485.57 | -3,373,485.57 | -3,373,485.57 | ||||||||||||||
| 1.Commonstockinvestedbytheowner | |||||||||||||||||
| 2.Capitalinvestedbyotherequityinstrumentholders | |||||||||||||||||
| 3.Amountofshare-basedpaymentincludedintheowner’sequity | -3,373,485.57 | -3,373,485.57 | -3,373,485.57 | ||||||||||||||
| 4.Others | |||||||||||||||||
| (III)Profitdistribution | -377,763,884.10 | -377,763,884.10 | -377,763,884.10 | ||||||||||||||
| 1.Withdrawalofsurplusreserves | |||||||||||||||||
| 2.Withdrawalofgeneralriskpreparation | |||||||||||||||||
| 3.Distributionofowners(orshareholders) | -377,763,884.10 | -377,763,884.10 | -377,763,884.10 | ||||||||||||||
| 4.Others | |||||||||||||||||
| (IV)Internaltransferofowner’sequity | |||||||||||||||||
| 1.Capitalsurplustransfertopaid-incapital(orcapitalstock) | |||||||||||||||||
| 2.Earnedsurplustransfertopaid-incapital(orcapitalstock) | |||||||||||||||||
| 3.Earnedsurpluscoveringthedeficit | |||||||||||||||||
| 4.Carryforwardretainedearningsinvariationofdefinedbenefitplan | |||||||||||||||||
| 5.Carryforwardretainedearningsofothercomprehensiveincome | |||||||||||||||||
| 6.Others | |||||||||||||||||
| (V)Specialreserve | |||||||||||||||||
| 1.Drawinthiscurrent | |||||||||||||||||
| 2.Useinthiscurrent | |||||||||||||||||
| (VI)Others | 242,090,367.43 | -242,090,367.43 | 441,135,516.90 | 199,045,149.47 | |||||||||||||
| IV.Balanceattheendofcurrentperiod | 426,492,308.00 | 4,546,247,611.24 | 500,082,734.11 | 782,778.15 | 420,212,778.13 | 6,825,933,069.72 | 11,719,585,811.13 | 478,160,420.42 | 12,197,746,231.55 | ||||||||
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
8.StatementonChangesinOwners’EquityofParentCompany
WinnerMedicalPreparedby:WinnerMedicalCo.,Ltd.
| Preparedby:WinnerMedicalCo.,Ltd. | Currentamount | Unit:yuan | ||||||||||||
| Item | Year2023 | |||||||||||||
| Capitalstock | Otherequityinstruments | Capitalreserve | Less:treasurystock | Othercomprehensiveincome | Specialreserve | Surplusreserve | Undistributedprofit | Others | Totalowners’equities | |||||
| Preferredshare | Perpetualbond | Others | ||||||||||||
| I.Endingbalanceofpreviousyear | 426,492,308.00 | 4,571,654,373.59 | 500,082,734.11 | 411,397,111.21 | 4,868,449,855.81 | 9,777,910,914.50 | ||||||||
| Plus:Changesinaccountingpolicies | 519,777.63 | 519,777.63 | ||||||||||||
| Priorperioderrorcorrection | ||||||||||||||
| Others | ||||||||||||||
| II.Beginningbalanceincurrentyear | 426,492,308.00 | 4,571,654,373.59 | 500,082,734.11 | 411,397,111.21 | 4,868,969,633.44 | 9,778,430,692.13 | ||||||||
| III.Increase/decreaseinthecurrentperiod(lesstobefilledoutwiththeminussign“-) | 167,895,059.00 | -191,274,258.79 | -26,530,291.26 | 28,069,460.15 | 31,220,551.62 | |||||||||
| (I)Totalcomprehensiveincome | 825,570,993.25 | 825,570,993.25 | ||||||||||||
| (II)Owner’sinvestedanddecreasedcapital | 3,151,091.47 | 3,151,091.47 | ||||||||||||
| 1.Commonstockinvestedbytheowner | ||||||||||||||
| 2.Capitalinvestedbyotherequityinstrumentholders | ||||||||||||||
| 3.Amountofshare-basedpaymentincludedintheowner’sequity | 3,151,091.47 | 3,151,091.47 | ||||||||||||
| 4.Others | ||||||||||||||
| (III)Profitdistribution | -797,501,533.10 | -797,501,533.10 | ||||||||||||
| 1.Withdrawalofsurplusreserves | ||||||||||||||
| 2.Distributionofowners(orshareholders) | -797,501,533.10 | -797,501,533.10 | ||||||||||||
| 3.Others | ||||||||||||||
| (IV)Internaltransferofowner’sequity | 167,895,059.00 | -194,425,350.26 | -26,530,291.26 | |||||||||||
| 1.Capitalsurplustransfertopaid-incapital(orcapitalstock) | 167,895,059.00 | -167,895,059.00 | ||||||||||||
| 2.Earnedsurplustransfertopaid-incapital(orcapitalstock) | ||||||||||||||
| 3.Earnedsurpluscoveringthedeficit | ||||||||||||||
| 4.Carryforwardretainedearningsinvariationofdefinedbenefitplan | ||||||||||||||
| 5.Carryforwardretainedearningsofothercomprehensiveincome | ||||||||||||||
| 6.Others | -26,530,291.26 | -26,530,291.26 | ||||||||||||
| (V)Specialreserve | ||||||||||||||
| 1.Drawinthiscurrent | ||||||||||||||
| 2.Useinthiscurrent | ||||||||||||||
| (VI)Others | ||||||||||||||
| IV.Balanceattheendofcurrentperiod | 594,387,367.00 | 4,380,380,114.80 | 473,552,442.85 | 411,397,111.21 | 4,897,039,093.59 | 9,809,651,243.75 | ||||||||
8.StatementonChangesinOwners’EquityofParentCompany(continued)
| Preparedby:WinnerMedicalCo.,Ltd. | Lasttermamount | Unit:yuan | ||||||||||||
| Item | Year2022 | |||||||||||||
| Capitalstock | Otherequityinstruments | Capitalreserve | LessTreasurystock | Othercomprehensiveincome | Specialreserve | Surplusreserve | Undistributedprofit | Others | Totalowners’equities | |||||
| Preferredshare | Perpetualbond | Others | ||||||||||||
| I.Endingbalanceofpreviousyear | 426,492,308.00 | 4,575,027,859.16 | 257,992,366.68 | 411,397,111.21 | 3,391,392,215.70 | 8,546,317,127.39 | ||||||||
| Plus:Changesinaccountingpolicies | 277,192.47 | 277,192.47 | ||||||||||||
| Priorperioderrorcorrection | ||||||||||||||
| Others | ||||||||||||||
| II.Beginningbalanceincurrentyear | 426,492,308.00 | 4,575,027,859.16 | 257,992,366.68 | 411,397,111.21 | 3,391,669,408.17 | 8,546,594,319.86 | ||||||||
| III.Increase/decreaseinthecurrentperiod(lesstobefilledoutwiththeminussign“-) | -3,373,485.57 | 242,090,367.43 | 1,477,300,225.27 | 1,231,836,372.27 | ||||||||||
| (I)Totalcomprehensiveincome | 1,855,064,109.37 | 1,855,064,109.37 | ||||||||||||
| (II)Owner’sinvestedanddecreasedcapital | -3,373,485.57 | -3,373,485.57 | ||||||||||||
| 1.Commonstockinvestedbytheowner | ||||||||||||||
| 2.Capitalinvestedbyotherequityinstrumentholders | ||||||||||||||
| 3.Amountofshare-basedpaymentincludedintheowner’sequity | -3,373,485.57 | -3,373,485.57 | ||||||||||||
| 4.Others | ||||||||||||||
| (III)Profitdistribution | -377,763,884.10 | -377,763,884.10 | ||||||||||||
| 1.Withdrawalofsurplusreserves | ||||||||||||||
| 2.Distributionofowners(orshareholders) | -377,763,884.10 | -377,763,884.10 | ||||||||||||
| 3.Others | ||||||||||||||
| (IV)Internaltransferofowner’sequity | ||||||||||||||
| 1.Capitalsurplustransfertopaid-incapital(orcapitalstock) | ||||||||||||||
| 2.Earnedsurplustransfertopaid-incapital(orcapitalstock) | ||||||||||||||
| 3.Earnedsurpluscoveringthedeficit | ||||||||||||||
| 4.Carryforwardretainedearningsinvariationofdefinedbenefitplan | ||||||||||||||
| 5.Carryforwardretainedearningsofothercomprehensiveincome | ||||||||||||||
| 6.Others | ||||||||||||||
| (V)Specialreserve | ||||||||||||||
| 1.Drawinthiscurrent | ||||||||||||||
| 2.Useinthiscurrent | ||||||||||||||
| (VI)Others | 242,090,367.43 | -242,090,367.43 | ||||||||||||
| IV.Balanceattheendofcurrentperiod | 426,492,308.00 | 4,571,654,373.59 | 500,082,734.11 | 411,397,111.21 | 4,868,969,633.44 | 9,778,430,692.13 | ||||||||
Legalrepresentative:LiJianquan
| Legalrepresentative:LiJianquan | Headofaccountingwork:FangXiuyuan | Headofaccountinginstitution:WuKezhen |
III.BasicinformationoftheCompany
1.Companyprofile
WinnerMedicalCo.,Ltd.(hereinafterreferredtoasthe“theCompany”or“ourCompany”),formerlyknownasWinnerIndustries(Shenzhen)Co.,Ltd.(hereinafterreferredtoas“WinnerIndustries”),isawhollyforeign-ownedenterpriseestablishedonAugust24,2000withtheapprovalofShenzhenMunicipalAdministrationforIndustryandCommerce.TheoriginalbusinesslicensenumberoftheCompanyis:Q.D.Y.S.Z.ZiNo.307199.TheoriginalregisteredcapitalisHKD30million,andthetotalinvestmentisHKD60million.TheCompanyiswhollyownedbyWinnerInternationalTradingCorporation.Theregisteredcapitalwasinvestedinthreephases.OnApril2,2001,theregisteredcapitalofHKD18,023,154.30wasinvestedinmonetaryfunds,whichwasverifiedbythecapitalverificationreport(Z.T.Z.T.No.Y2001-1133)ofZhuhaiZhongtuoZhengtaiAccountingFirm.Thebusinessscopeoftheoriginalcompanyis:theproductionandoperationofsanitarymaterials,dressingsandtheirproducts,medicalclothing,textiles,non-wovenproductsandmouldedpackaging(excludingtheproductssubjecttonationalexportlicensemanagement).OnMay18,2001,theBoardofDirectorsoftheCompanydecidedtoincreasetheregisteredcapitalfromHKD30.00milliontoHKD60.00million,andthetotalinvestmentfromHKD60.00milliontoHKD120.00million,whichwaspaidinthreeinstallmentssincethedateofregistrationoftheCompany.OnJune5,2001,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.AsofDecember21,2001,ithasreceivedthesecondinstallmentoftheregisteredcapitalpaidbyWinnerInternationalTradingCorporation.WinnerInternationalTradingCorporationcontributedHKD31,445,194.91inmonetaryfunds,andthisinvestmentwasverifiedbyShenzhenZhongpengCertifiedPublicAccountants,Ltd.(S.P.K.Y.Zi[2002]No.037capitalverificationreport).AsofFebruary21,2002,ithasreceivedthethirdinstallmentoftheregisteredcapitaltotalingHKD6,005,722.20paidbyWinnerInternationalTradingCorporation,includingHKD3,665,722.20incurrencyandHKD2,340,000.00inkind.ThisinvestmentwasverifiedbyShenzhenLishangCertifiedPublicAccountantsCo.,Ltd.(S.L.S.Y.Zi[2002]No.039capitalverificationreport)OnOctober8,2002,theBoardofDirectorsoftheCompanydecidedtoincreasetheCompany’sregisteredcapitalfromHKD
60.00milliontoHKD70.00million,andthetotalinvestmentfromHKD120.00milliontoHKD134.00million.OnDecember10,2002,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.AsofMay27,2003,ithasreceivedthefourthinstallmentoftheregisteredcapitaltotalingHKD14,525,928.59paidby(HongKong)WinnerInternationalTradingCorporation.ThiscapitalincreasewasverifiedbyShenzhenYuehuaCertifiedPublicAccountantsCo.,Ltd.(S.Y.H.Y.Zi[2003]No.339capitalverificationreport).OnMay25,2003,withtheapprovaloftheBoardofDirectorsoftheCompany,theshareholderWinnerInternationalTradingCorporationsignedtheEquityTransferAgreementwithWinnerGroupLimited,underwhichWinnerInternationalTradingCorporationtransferred100%ofitsequitytoWinnerGroupLimited.OnJuly28,2003,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.OnJune8,2006,theBoardofDirectorsoftheCompanydecidedtoincreasetheCompany’sregisteredcapitalfromHKD70.00milliontoHKD126.00million,andthetotalinvestmentfromHKD134.00milliontoHKD270.00million.Thenewlyincreasedregisteredcapitalwasinvestedwithinhalfayearaftertheregistrationofthechange.OnJune30,2006,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.AsofAugust30,2006,theCompanytransferredundistributedprofitsHKD49,423,804.00topaid-incapital,andthepaid-incapitalafterthechangewasHKD119,423,804.00.ThiscapitalincreasewasverifiedbytheShenzhenBranchofBeijingZhonglianCertifiedPublicAccountantsCo.,Ltd.(Z.L.S.S.Y.Zi[2007]No.043capitalverificationreport).OnDecember2,2006,theBoardofDirectorsoftheCompanydecidedtochangetheoriginalinvestmentperiodoftheshareholdersfromJune30,2006toDecember31,2006intoJune30,2006toJune30,2007.OnDecember6,2006,theCompanywasapprovedbyGeneralAdministrationforIndustryandCommerceofShenzhentochangeitstypeofenterprisefromawhollyforeign-ownedenterpriseintoalimitedliabilitycompany(whollyownedbyforeignlegalperson)andchangeitsbusinessterm.
AsofMarch15,2007,theCompanytransferredundistributedprofitsHKD6,576,196.00topaid-incapital,andthecumulativepaid-incapitalafterthechangewasHKD126.00million.ThiscapitalincreasewasverifiedbyShenzhenHengpingCertifiedPublicAccountantsCo.,Ltd.(S.H.P.W.Y.Zi[2007]No.0004capitalverificationreport).OnAugust13,2007,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.TheregistrationnumberwaschangedfromQ.D.Y.S.Z.ZiNo.307199to440306503230896.OnJune8,2009,theBoardofDirectorsoftheCompanydecidedtoaddsterilizationtechnologyservicestothebusinessscope.OnJune30,2009,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.OnApril1,2010,theBoardofDirectorsoftheCompanydecidedtoincreasetheCompany’sregisteredcapitalfromHKD126.00milliontoHKD192.00million,andthetotalinvestmentfromHKD270.00milliontoHKD380.00million.Theincreasedamountoftheregisteredcapitalwascontributedbytheoriginalshareholdersincashinforeigncurrency.AsofJune18,2010,ithasreceivedtheregisteredcapitaltotalingUSD8,473,500.00(equivalenttoHKD66,000,653.75)paidbyWinnerGroupLimited.ThiscapitalincreasewasverifiedbyShenzhenHengpingCertifiedPublicAccountantsLLP(S.H.P.S.(W.)Y.Zi[2010]No.13capitalverificationreport).OnJuly2,2010,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenAdministrationforMarketRegulation(sinceSeptember9,2009,ShenzhenMunicipalBureauforIndustryandCommercehasbeenintegratedintoShenzhenAdministrationforMarketRegulation)andamendedtheArticlesofAssociationaccordingly.OnApril27,2011,withtheapprovalofGeneralAdministrationforIndustryandCommerceofShenzhen,theCompanychangeditsresidencefromNo.1WenjianAvenue,BulongRoad,LonghuaStreet,Bao’anDistrict,ShenzhenCitytoWinnerIndustrialParkbesideBulongRoad,LonghuaStreet,Bao’anDistrict,ShenzhenCity.OnFebruary20,2013,theBoardofDirectorsoftheCompanydecidedandagreedtoincreasetheCompany’sregisteredcapitalbyHKD4,271,300.TheregisteredcapitalafterthechangewasHKD196,271,300,andthetotalinvestmentwasstillHKD380,000,000.Theshareholder,WinnerGroupLimitedmadecapitalcontributionwithitsequityinthesixenterprises.Theequitycontributionisasfollows:
| Nameofinvestedentity | Proportion(%) | Bookvalueofequitycontributionnetassets | Amountofequitycontribution | Amountincludedincapitalsurplus | Amountofequitycontribution |
| (10,000yuan) | (10,000yuan) | (10,000yuan) | (ConverttoHKD10,000) | ||
| (a) | (b) | (c)=(a)-(b) | (d)=(b)*conversionexchangerate | ||
| WinnerMedical(Chongyang)Co.,Ltd.(formerlyknownas“ChongyangWinnerMedicalTextileCo.,Ltd.”) | 100.00 | 3,232.93 | 32.33 | 3,200.60 | 39.94 |
| WinnerMedical(Jiayu)Co.,Ltd.(formerlyknownas“JiayuWinnerMedicalTextileCo.,Ltd.”) | 100.00 | 3,520.95 | 35.21 | 3,485.74 | 43.50 |
| WinnerMedical(Jingmen)Co.,Ltd.(formerlyknownas“JingmenWinnerMedicalTextileCo.,Ltd.”) | 100.00 | 2,527.24 | 25.27 | 2,501.97 | 31.22 |
| YichangWinnerMedicalTextileCo.,Ltd. | 100.00 | 1,800.69 | 18.01 | 1,782.68 | 22.25 |
| WinnerMedical(Huanggang)Co.,Ltd. | 75.00 | 19,729.30 | 197.29 | 19,532.01 | 243.76 |
| WinnerMedical(Tianmen)Co.,Ltd.(formerlyknownas“HubeiWinnerTextileCo.,Ltd.”) | 100.00 | 3,760.89 | 37.61 | 3,723.28 | 46.46 |
| Total | 34,572.00 | 345.72 | 34,226.28 | 427.13 |
Afterthecapitalincrease,theoriginalshareholdersstillhave100%oftheCompany’sequity,andtheabovesixcompaniesbecometheCompany’ssubsidiaries.OnJuly25,2013,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.ThiscapitalincreasewasverifiedbytheShenzhenBranchofZhonglianCertifiedPublicAccountantsCo.,Ltd.(Z.L.S.S.Y.Zi[2013]No.102capitalverificationreport).OnSeptember2,2013,theBoardofDirectorsoftheCompanydecidedtoincreasetheCompany’sregisteredcapitalbyHKD18,068,200.TheregisteredcapitalafterthechangewasHKD214,339,500,andthetotalinvestmentwasstillHKD380.00million.ThenewinvestmentwassubscribedbyShenzhenKangshengInvestmentPartnership(limitedpartnership)(hereinafterreferredtoasthe“KangshengInvestment”),ShenzhenKangxinInvestmentPartnership(limitedpartnership)(hereinafterreferredtoasthe“KangxinInvestment”),ShenzhenKanglongInvestmentPartnership(limitedpartnership)(hereinafterreferredtoasthe“KanglongInvestment”)withHKD10,322,400,HKD4,414,500andHKD3,331,300respectively.Afterthecompletionofthecapitalincrease,theCompany’sownershipstructurewaschangedasfollows:
WinnerMedicalInvestor
| Investor | Capitalcontributionamount(HKDtenthousand) | Proportion(%) |
| WinnerGroupLimited | 19,627.13 | 91.5703 |
| KangshengInvestment | 1,032.24 | 4.8159 |
| KangxinInvestment | 441.45 | 2.0596 |
| KanglongInvestment | 333.13 | 1.5542 |
| Total | 21,433.95 | 100.0000 |
OnOctober17,2013,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenAdministrationforMarketRegulationandamendedtheArticlesofAssociationaccordingly.ThiscapitalincreasewasverifiedbyShenzhenHengpingCertifiedPublicAccountantsLLP(S.H.P.S.Y.Zi[2013]No.035capitalverificationreport).OnOctober26,2013,theBoardofDirectorsoftheCompanydecidedtochangeitsresidencefromWinnerIndustrialParkbesideBulongRoad,LonghuaStreet,Bao’anDistrict,ShenzhenCitytoWinnerIndustrialPark,No.660BulongRoad,LonghuaNewDistrict,ShenzhenCity.OnNovember4,2013,theCompanycompletedtheindustrialandcommercialregistrationofchanges,obtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenMunicipalBureauforIndustryandCommerceandamendedtheArticlesofAssociationaccordingly.OnJuly1,2014,theBoardofDirectorsoftheCompanydecidedandagreedtoincreasetheCompany’sregisteredcapitalbyHKD3,646,600.TheregisteredcapitalafterthechangewasHKD217,986,100,andthetotalinvestmentwasstillHKD380,000,000.Thecapitalincreasewasmadebytheoriginalshareholder,KangshengInvestment,whichsubscribedHKD3,646,600with13.585millionyuan,andtheincreasedregisteredcapitalwaspaidintwoinstallments.Afterthecompletionofthecapitalincrease,theCompany’sownershipstructurewaschangedasfollows:
| Investor | Capitalcontributionamount(HKDtenthousand) | Proportion(%) |
| WinnerGroupLimited | 19,627.13 | 90.0385 |
| KangshengInvestment | 1,396.90 | 6.4082 |
| KangxinInvestment | 441.45 | 2.0251 |
| KanglongInvestment | 333.13 | 1.5282 |
| Total | 21,798.61 | 100.0000 |
OnJuly24,2014,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenAdministrationforMarketRegulationandamendedtheArticlesofAssociationaccordingly.ThiscapitalincreasewasverifiedbyShenzhenHengpingCertifiedPublicAccountantsLLP(S.H.P.S.Y.Zi[2014]No.030andS.H.P.S.Y.Zi[2015]No.003capitalverificationreports.
OnJuly28,2014,theboardofdirectorsoftheCompanydecidedtoagreethattheshareholderoftheCompany,WenjianGroupLimited,wouldtransferits2.9503%equityoftheCompanytoKangxinInvestment,KanglongInvestment,andthenewlyintroducedshareholder,ShenzhenKangliInvestmentPartnership(limitedpartnership)(hereinafterreferredtoas“KangliInvestment”).Afterthecompletionoftheequitytransfer,theCompany’sownershipstructurewaschangedasfollows:
| Investor | Capitalcontributionamount(HKDtenthousand) | Proportion(%) |
| WinnerGroupLimited | 18,984.01 | 87.0882 |
| KangshengInvestment | 1,396.90 | 6.4082 |
| KangxinInvestment | 740.83 | 3.3985 |
| KanglongInvestment | 447.37 | 2.0523 |
| KangliInvestment | 229.50 | 1.0528 |
| Total | 21,798.61 | 100.0000 |
OnAugust29,2014,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenAdministrationforMarketRegulationandamendedtheArticlesofAssociationaccordingly.OnSeptember28,2014,theBoardofDirectorsoftheCompanydecidedandagreedtoincreasetheCompany’sregisteredcapitalbyHKD22,550,300.TheregisteredcapitalafterthechangewasHKD240,536,400,andthetotalinvestmentwasstillHKD
380.00million.ThenewregisteredcapitalwassubscribedbyBeijingSequoiaXinyuanEquityInvestmentCenter(L.P.)(hereinafterreferredtoas“SequoiaXinyuan”)with300.00millionyuan.Afterthecompletionofthecapitalincrease,theCompany’sownershipstructurewaschangedasfollows:
| Investor | Capitalcontributionamount(HKDtenthousand) | Proportion(%) |
| WinnerGroupLimited | 18,984.01 | 78.9236 |
| KangshengInvestment | 1,396.90 | 5.8074 |
| KangxinInvestment | 740.83 | 3.0800 |
| KanglongInvestment | 447.37 | 1.8599 |
| KangliInvestment | 229.50 | 0.9541 |
| SequoiaXinyuan | 2,255.03 | 9.3750 |
| Total | 24,053.6400 | 100.0000 |
AsofOctober31,2014,ithasreceived300.00millionyuanfromSequoiaXinyuaninmonetaryfunds.OnNovember06,2014,theCompanyobtainedthechangedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenAdministrationforMarketRegulationandamendedtheArticlesofAssociationaccordingly.ThiscapitalincreasewasverifiedbytheShenzhenBranchofZhonglianCertifiedPublicAccountantsCo.,Ltd.(Z.L.S.S.Y.Zi[2014]No.087capitalverificationreport).OnApril30,2015,throughtheresolutionoftheBoardofDirectorsoftheCompany,withFebruary28,2015asthebasedate,WinnerIndustrieswaswhollychangedintoalimitedliabilityCompany,witharegisteredcapitalof368millionyuan.Pursuanttothestipulationsoutlinedinthepromoteragreementandarticlesofassociation,eachshareholder’sauditednetassetsasofFebruary28,2015,amountedto1,058,194,956.32yuan.Theseassetswereconvertedinto368millionsharesataratioof1:0.3478.Parvalueofeachsharewas1yuan,andthetotalsharecapitalwas368millionyuanandheldseparatelybytheoriginalshareholdersinaccordancewiththeiroriginalproportions;theremaining690,194,956.32yuanwasincludedinthecapitalsurplus(duetothechangeofcalculationpolicyofCompany’sreceivablesbaddebtprovisionduringthereportingperiod,theauditednetassetsoftheCompanyasofthebasedateofsharereformwereadjustedto1,050,812,354.45yuan,andthecorrespondingshareconversionratiowasadjustedto1:0.3502).June4,2015,withtheapprovalofEconomy,TradeandInformationCommissionofShenzhenMunicipality,WinnerIndustrieswaswhollychangedintoalimitedliabilitycompany,renamedas“WinnerMedicalCo.,Ltd.”,andobtainedthebusinesslicenseofenterpriselegalpersonwiththeregistrationnumberof440306503230896.
OnMay28,2018,afterbeingvotedthroughandapprovedbytheextraordinarygeneralmeetingofshareholders,theCompanyagreedtoincreasetheregisteredcapitalby8,492,308yuan,withtheregisteredcapitalafterthechangeof376,492,308yuan.ThenewregisteredcapitalwassubscribedbyShenzhenCapitalGroupCo.,Ltd.(hereinafterreferredtoas“SCGC”)with300.00millionyuan.Afterthecompletionofthecapitalincrease,theCompany’sownershipstructurewaschangedasfollows:
WinnerMedicalInvestor
| Investor | Amountofcontribution(10,000yuan) | Proportion(%) |
| WinnerGroupLimited | 29,043.8848 | 77.1434 |
| KangshengInvestment | 2,137.1232 | 5.6764 |
| KangxinInvestment | 1,133.4400 | 3.0105 |
| KanglongInvestment | 684.4432 | 1.8179 |
| KangliInvestment | 351.1088 | 0.9326 |
| SequoiaXinyuan | 3,450.0000 | 9.1635 |
| SCGC | 849.2308 | 2.2556 |
| Total | 37,649.2308 | 100.0000 |
AsofJune13,2018,ithasreceived300.00millionyuanfromSCGCinmonetaryfunds.OnJune15,2018,ShenzhenAdministrationforMarketRegulationissuedtheNoticeofChange(Filing)(No.:21801665051)onthischangeandapprovedthecapitalincrease.TheCompanyamendedtheArticlesofAssociationinrespectoftheabovematters.TheCompanyamendedtheArticlesofAssociationinrespectoftheabovematters.ThiscapitalincreasewasverifiedbyBDOChinaShuLunPanCertifiedPublicAccountantsLLP(X.K.S.B.Zi[2018]No.ZI10525capitalverificationreport).OnFebruary28,2018,theCompanyobtainedtherenewedbusinesslicenseoftheenterpriselegalpersonissuedbyShenzhenAdministrationforMarketRegulationwiththeunifiedsocialcreditcode91440300723009295R.OnAugust,18,2020,afterthereplyofChinaSecuritiesRegulatoryCommissiononApprovaloftheRegistrationoftheInitialPublicOfferingofWinnerMedicalCo.,Ltd.(Z.J.X.K.[2020]No.1822),theCompanyissued50millioncommonsharesinRMBtothepublic,whichwaslistedontheShenzhenStockExchangeonSeptember17,2020.Uponcompletionoftheissuance,theregisteredcapitaloftheCompanywas426,492,308yuan.Atthe2022AnnualGeneralMeetingofShareholders,theequitydistributionplanwasreviewedandendorsed.Basedonthe419,737,649sharespostthedeductionofrepurchasedshares,theplanincludesacashdividendof19.00yuan(taxincluded)forevery10shares,alongsideaconversionofevery10sharesinto4sharesofcapitalstock.Subsequently,theCompany’ssharecapitalwasadjustedto594,387,367.00yuan.TheCompanybelongstotextileindustry.Businessterm:sustainableoperation.Businessscope:EngagedintheproductionandoperationofClassIIandIII6864medicalandsanitarymaterials,medicalbiologicalmaterials,dressingsandproducts,medicalclothing,protectiveequipment,textiles,non-wovenproducts,andmoldedpackaging(excludinggoodsmanagedundernationalexportlicenses),alongwithrelatedproductssuchasdisposableconsumablesandmoldedpackaging.Additionally,involvedinallClassImedicaldevices,allClassIImedicaldevices(excludinginvitrodiagnosticreagents),andClassIIImedicaldevices.
Medicalhygienematerialsanddressings,medicalsuturematerialsandadhesives,medicalpolymermaterialsandproducts(exceptdisposabletransfusionapparatus(needle)),generaldiagnosticinstruments,medicalcoldtreatment,lowtemperature,refrigeratingequipmentandtools,cottonhouseholdarticles,cottonapparel,cottoncostume,purecottonspunlacenon-wovenfabricanditsmanufacturedproducts,cotton,disinfectionproducts,dailynecessities,cosmetics,protectiveequipmentandinstrumentsandmeters(ifitdoesnotinvolvegoodssubjecttostatetrading,orinvolvesgoodssubjecttoquotas,licensemanagementandotherspecialprovisions,itshallapplyinaccordancewithrelevantregulationsofthestate);providethetechnicalconsulting,technicalservicesandafter-salesservicesofabove-mentionedproducts;sterilizationtechnicalservices(ifitneedstoobtainrelevantqualificationstooperate,itshallapplyinaccordancewithrelevantregulations);enterprisemanagementconsulting,businessinformationconsulting,economicinformationconsulting,warehouseservices(excludinghazardouschemicals,precursorchemicals,refinedoilandotherdangerousgoods),ownpropertyleasing(itcanbeoperatedonlywiththelegalrealestateownershipcertificateundertheCompany’sname).Theabovebusinessscopedoesnotincludetheitemssubjecttospecialadministrativemeasuresforaccessstipulatedbythestate,andthoseinvolvingtherecordandlicensingqualificationsneedtoobtaintherelevantcertificatesbeforeoperation.DomicileoftheCompany:F42,Building2,HuilongBusinessCenter,ShenzhenNorthRailwayStationArea,MinzhiSubdistrict,LonghuaDistrict,ShenzhenCity;WinnerIndustrialPark,No.660BulongRoad,LonghuaNewDistrict,Shenzhen.ThefinancialstatementswereapprovedbytheBoardofDirectorsoftheCompanyonApril23,2024.
2.ScopeofconsolidatedfinancialstatementsAsofSunday,December31,2023,thesubsidiariesintheconsolidatedfinancialstatementsoftheCompanyareasfollows:
| Subsidiaryname |
| WinnerMedical(Jingmen)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Jingmen)”) |
| YichangWinnerMedicalTextileCo.,Ltd.(hereinafterreferredtoas“WinnerMedical(Yichang)”) |
| WinnerMedical(Tianmen)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Tianmen)”) |
| WinnerMedical(Chongyang)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Chongyang)”) |
| WinnerMedical(Jiayu)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Jiayu)”) |
| WinnerMedical(HongKong)Ltd.(hereinafterreferredtoas“HongKongWinner”) |
| Winner(Huanggang)CottonProcessing&TradingCo.,Ltd.(hereinafterreferredtoas“HuanggangCotton”)(HuanggangCottonwasmergedbyWinnerHuanggangin2023.) |
| WinnerMedical(Huanggang)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Huanggang)”) |
| ShenzhenPurcottonTechnologyCo.,Ltd.(hereinafterreferredtoas“ShenzhenPurcotton”) |
| GuangzhouPurcottonMedicalTechnologyCo.,Ltd.(hereinafterreferredtoas“GuangzhouPurcotton”) |
| BeijingPurcottonTechnologyCo.,Ltd.(hereinafterreferredtoas“BeijingPurcotton”) |
| ShanghaiPurcottonTechnologyCo.,Ltd.(hereinafterreferredtoas“ShanghaiPurcotton”) |
| ShenzhenQianhaiPurcottonE-CommerceCo.,Ltd.(hereinafterreferredtoas“QianhaiPurcotton”) |
| WinnerMedicalMalaysiaSdn.Bhd.(hereinafterreferredtoas“WinnerMedicalMalaysia”) |
| WinnerMedical(Heyuan)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Heyuan)”) |
| WinnerMedical(Wuhan)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Wuhan)”)(formername:HubeiWinnerMedicalCo.,Ltd.) |
| ShenzhenPureH2BTechnologyCo.,Ltd.(hereinafterreferredtoas“PureH2B”) |
| ShenzhenPurunderwearSci-TechInnovationCo.,Ltd.(hereinafterreferredtoas“Purunderwear”) |
WinnerMedical
Subsidiaryname
| Subsidiaryname |
| HuanggangPurcottonLtd.(hereinafterreferredtoas“HuanggangPurcotton”) |
| WinnerMedicalTechnology(Foshan)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Foshan)”) |
| ZhejiangLongtermMedicalTechnologyCo.,Ltd.(hereinafterreferredtoas“LongtermMedical”) |
| Xi’anLongtemuMedicalTechnologyCo.,Ltd.(hereinafterreferredtoas“Xi’anLongtemu”) |
| HangzhouShengyiTechnologyCo.,Ltd.(hereinafterreferredtoas“HangzhouShengyi”) |
| DeqingLongtermMedicalSilicaGelProductsCo.,Ltd.(hereinafterreferredtoas“DeqingLongterm”) |
| LongtermMedicalUSLLC(hereinafterreferredtoas“AmericanLongterm”) |
| LONGTERMMEDICAL,S.DE.R.L.DEC.V(hereinafterreferredtoas“MexicoLongterm”) |
| WinnerGuilinLatexCo.,Ltd.(hereinafterreferredtoas“WinnerGuilin”) |
| WinnerMedical(Hunan)Co.,Ltd.(hereinafterreferredtoas“WinnerMedical(Hunan)”) |
| HunanRuianMedicalDeviceTechnologyCo.,Ltd.(hereinafterreferredtoas“RuianMedicalDevice”) |
| ShenzhenJunjianMedicalDeviceCo.,Ltd.(hereinafterreferredtoas“JunjianMedical”) |
| ShanghaiHongsongMedicalDeviceCo.,Ltd.(hereinafterreferredtoas“ShanghaiHongsong”) |
| Winner(Jinzhou)LatexProductsCo.,Ltd.3*(hereinafterreferredtoas“WinnerJinzhou”) |
| WuhanPurcottonLtd.4*(hereinafterreferredtoas“WuhanPurcotton”) |
| HongKongPurcottonLtd.5*(hereinafterreferredtoas“HongKongPurcotton”) |
| NatureHealthDevelopment(HongKong)Co.,Ltd.(hereinafterreferredtoas“Pan-China(H.K.)”) |
| WinnerMedical(Wuhan)DigitalTechnologyCo.,Ltd.7*(hereinafterreferredtoas“WuhanDigitalTechnology”) |
1*:MexicoLongtaiwasestablishedin2023.2*:ShanghaiHongsongwasintegratedthroughMergersandAcquisitionsonApril30,2023.3*:WinnerJinzhouwasintegratedthroughMergersandAcquisitionsonJuly1,2023.4*:PurcottonWuhanwasestablishedin2023.5*:PurcottonHongKongwasestablishedin2023.6*:Pan-China(H.K.)wasestablishedin2023.7*:WuhanDigitalTechnologywasestablishedin2023.Thescopeoftheconsolidatedfinancialstatementsforthisreportingperiodanditschangesaredetailedinthenotes“IX.Consolidationscopechanges”and“X.Interestsinotherentities”.
IV.Preparationbasisoffinancialstatements
1.PreparationbasisThisfinancialstatementispreparedinaccordancewiththeAccountingStandardforBusinessEnterprises-BasicStandardissuedbytheMinistryofFinance,variousspecialaccountingstandards,guidelineforapplicationofaccountingstandardforbusinessenterprises,ASBEinterpretationsandotherrelevantregulations(hereinaftercollectivelyreferredtoas“AccountingStandardsforBusinessEnterprises”)andNo.15ofCompilationRulesforInformationDisclosurebyCompaniesOfferingSecuritiestothePublic-GeneralProvisionsofFinancialReportsissuedbyChinaSecuritiesRegulatoryCommission.
2.Continualoperation
TherearenoeventsaffectingtheCompany’sgoing-concernabilityanditisexpectedthattheCompanywillbeabletooperateasagoingconcernwithinthenext12months.TheCompany’sfinancialstatementsarepreparedonthebasisoftheassumptionofgoingconcern.V.Significantaccountingpoliciesandaccountingestimates
Specificaccountingpolicyandaccountingestimate:
ThefollowingsignificantaccountingpolicyandaccountingestimateoftheCompanyareformulatedinaccordancewiththeAccountingStandardsforBusinessEnterprises.ThebusinessnotmentionedisimplementedinaccordancewiththerelevantaccountingpoliciesintheAccountingStandardsforBusinessEnterprises.
1.Statementofcompliancewithaccountingstandardsforbusinessenterprises
ThesefinancialstatementscomplywiththerequirementsoftheAccountingStandardsforBusinessEnterprisesissuedbytheMinistryofFinance,andtrulyandcompletelyreflecttheconsolidatedandparentCompanyfinancialpositionoftheCompanyonSunday,December31,2023andthebusinessperformanceandcashflowsoftheCompanyinthefirsthalfof2023.
2.Accountingperiod
ThefiscalyearoftheCompanyrunsfromJanuary1toDecember31ofeachcalendaryear.
3.OperatingcycleTheoperatingcycleoftheCompanyis12months.
4.ReportingcurrencyThereportingcurrencyoftheCompanyisRMB.
5.Methodologyfordeterminingmaterialitycriteriaandselectionrationale
□Applicable□Notapplicable
WinnerMedical
Item
| Item | Materialitystandard |
| Importantindividualaccountsreceivablewithallowancesfordoubtfuldebts | 5millionyuan |
| Provisionforbaddebtsonsignificantreceivablesiseitherrecoveredorreversed | 5millionyuan |
| Write-offofimportantaccountsreceivable | 5millionyuan |
| Importantprepaidaccountsagedoveroneyear | 5millionyuan |
| Importantaccountspayableagedoveroneyear | 5millionyuan |
| Importantconstructioninprogress | Theamountincurredorthebalanceattheendoftheperiodsurpasses30millionyuan |
| Importantcooperativeenterprisesorjointventures | Morethan0.5%oftotalassets |
6.Accountingtreatmentofbusinesscombinationinvolvingenterprisesunderandnotundercommoncontrol
Businesscombinationinvolvingenterprisesunderthesamecontrol:theassetsandliabilitiesacquiredbythemergingpartyinthebusinesscombination(includingthegoodwillformedbythefinalcontrollingpartybypurchasingthemergedparty)shallbemeasuredonthebasisofthebookvalueoftheassetsandliabilitiesofthemergedpartyintheconsolidatedfinancialstatementsofthefinalcontrollingpartyonthemergerdate.Thedifferencebetweenthebookvalueofthenetassetsobtainedandtheconsiderationpaidforthecombination(ortotalparvalueofissuedshares)isadjustedagainstcapitalreserve(capitalstockpremium);ifthecapitalreserve(capitalstockpremium)isnotsufficienttoabsorbthedifference,theretainedearningsshallbeadjusted.Businesscombinationnotinvolvingenterprisesundercommoncontrol:thecostofcombinationisthefairvalueoftheassetspaid,liabilitiesincurredorassumedandequitysecuritiesissuedbytheacquirerontheacquiringdateforacquisitionofthecontrolrightoftheacquiree.Ifthecostofcombinationisgreaterthantheshareofthefairvalueoftheacquiree’sidentifiablenetassetsacquiredinthecombination,thedifferenceisrecognizedasgoodwill;ifthecostofcombinationislessthantheshareofthefairvalueoftheacquiree’sidentifiablenetassetsacquiredinthecombination,thedifferenceisincludedintheprofitandlossofthecurrentperiod.Theacquiree’sidentifiableassets,liabilitiesandcontingentliabilitiesobtainedbytheacquirerinthecombinationmeetingtherecognitionconditionsaremeasuredatfairvalueontheacquiringdate.Thedirectlyrelatedexpensesincurredforthebusinesscombinationareincludedintheprofitandlossofthecurrentperiod;thetransactioncostsassociatedwiththeissueofequityordebtsecuritiesforthebusinesscombinationareincludedintheinitiallyrecognizedamountsoftheequityordebtsecurities.
7.Thecriterionofcontrolthemethodsofpreparingconsolidatedfinancialstatements
1.ThecriterionofcontrolTheconsolidationscopeoftheconsolidatedfinancialstatementsisdeterminedonacontrolbasisandincludestheCompanyandallsubsidiaries.ControlmeansthattheCompanyhasthepowerovertheinvestedentity,enjoysvariablereturnsbyparticipatingintherelevantactivitiesoftheinvestedentity,andhastheabilitytousethepowertoinfluencetheamountofreturns.
2.ConsolidationproceduresTheCompanyregardsthewholeenterprisegroupasanaccountingentityandpreparesconsolidatedfinancialstatementsinaccordancewithunifiedaccountingpoliciestoreflecttheoverallfinancialposition,operatingresultsandcashflowoftheenterprisegroup.TheimpactofinternaltransactionsbetweentheCompanyanditssubsidiariesandbetweenthesubsidiariesareoffset.Iftheinternaltransactionindicatesthatimpairmentlosshasoccurredtorelevantassets,suchlossshallberecognizedinfull.IftheaccountingpoliciesandtheaccountingperiodsadoptedbythesubsidiariesareinconsistentwiththoseoftheCompany,necessaryadjustmentsshallbemadeinaccordancewiththeaccountingpoliciesandtheaccountingperiodsoftheCompanywhenpreparingtheconsolidatedfinancialstatements.
Theminorityshareholders’shareofthesubsidiary’sowners’equity,currentnetprofitandlossandcurrentcomprehensiveincomeshallbeseparatelylistedundertheowners’equityitemintheconsolidatedbalancesheet,underthenetprofititemandunderthetotalcomprehensiveincomeitemintheconsolidatedincomestatement.Ifthecurrentlosssharedbytheminorityshareholdersofthesubsidiaryexceedstheirshareintheowner’sequityofthesubsidiaryatthebeginningoftheperiod,theminorityequityshallbeoffsetbythebalance.
(1)IncreaseofsubsidiariesorbusinessDuringthereportingperiod,ifsubsidiariesorbusinessareincreasedduetobusinesscombinationinvolvingenterprisesunderthesamecontrol,theoperatingresultsandcashflowfromthebeginningofthecurrentperiodtotheendareincorporatedintotheconsolidatedfinancialstatements,andtheopeningbalanceintheconsolidatedfinancialstatementsandtherelateditemsincomparativestatementsareadjusted,whichshallberegardedthatthereportingsubjectaftercombinationhasbeenexistedsincetheinitialcontrolpointoftheultimatecontrollingparty.Iftheinvestedpartyunderthesamecontroliscontrolledbytheadditionalinvestmentandotherreasons,theequityinvestmentheldbeforeobtainingthecontrolofthemergedparty,andtherelevantprofitsandlosses,othercomprehensiveincomeandothernetassetsandothernetassetschangesbetweenthedateofacquisitionoftheoriginalequityandthedateonwhichthemergingpartyandthemergedpartyareunderthesamecontrol(whicheverislater)andthemergerdateshalloffsettheperiodofbetweentheopeningretainedearningsorcurrentprofitsandlossesinthecomparativereportingperiod.Duringthereportingperiod,ifsubsidiariesorbusinessareincreasedduetobusinesscombinationofenterprisesnotunderthesamecontrol,itshallbeincludedintheconsolidatedfinancialstatementsasoftheacquisitiondateonthebasisofthefairvalueofallidentifiableassets,liabilitiesandcontingentliabilitiesdeterminedontheacquisitiondate.Ifitisabletoexercisecontrolovertheinvestedentitythatisnotunderthesamecontrolduetoadditionalinvestmentorotherreasons,theequityheldbytheacquireebeforetheacquisitiondateshallbere-measuredaccordingtothefairvalueoftheequityontheacquisitiondate,andthedifferencebetweenthefairvalueandthebookvalueshallbeincludedintothecurrentinvestmentincome.Othercomprehensiveincome,whichcanbereclassifiedintoprofitandlossinthefuture,andotherchangesinowners’equityundertheequitymethodasrelatedtotheacquiree’sequityheldbeforetheacquisitiondateareconvertedtotheinvestmentincomeofthecurrentperiodasoftheacquisitiondate.
(2)Disposalofsubsidiary
GeneraldisposalmethodWhentheCompanylosesthecontrolrightovertheinvestedentityduetodisposalofpartoftheequityinvestmentorotherreasons,theresidualequityinvestmentafterthedisposalshallbere-measuredatitsfairvalueonthedateoflosingthecontrolright.Thedifferencebetweenthesumoftheconsiderationacquiredbydisposaloftheequityandthefairvalueoftheresidualequity,minusthesumoftheshareofthenetassetsoftheoriginalsubsidiarycontinuouslycalculatedfromtheacquisitiondateorthemergingdateandthegoodwillaccordingtotheoriginalshareholdingratio,shallbeincludedintheinvestmentincomeintheperiodofloseofthecontrolright.Othercomprehensiveincomerelatedtotheequityinvestmentoftheoriginalsubsidiarythatcanbereclassifiedintoprofitandlossinthefuture,andotherchangesinowners’equityundertheequitymethodareconvertedtotheinvestmentincomeintheperiodofloseofthecontrolright.
DisposalofsubsidiarybystepsFordisposaloftheequityinvestmentinthesubsidiarybystepsthroughmultipletransactionstilllossofthecontrolright,theterms,conditionsandeconomicimpactofthedisposaloneachtransactioninrespectoftheequityinvestmentofthesubsidiaryaresubjecttooneormoreofthefollowingcircumstances,whichgenerallyindicatethatthemultipletransactionsarepackagedeals:
i.Thetransactionswereenteredintosimultaneouslyorwithconsiderationoftheirmutualinfluence;ii.Thesetransactionsasawholecanonlyachieveacompletebusinessresult;iii.Theoccurrenceofonetransactiondependsontheoccurrenceofatleastoneothertransaction;iv.Atransactionisnoteconomicalalone,buteconomicwhenconsideredwithothertransactions.Ifeachtransactionbelongstoapackagedeal,eachtransactionshallbesubjecttoaccountingtreatmentasadealfordisposalofsubsidiaryandlossofthecontrolright;thedifferencebetweenthedisposalpriceandtheshareofnetassetsofthesubsidiarycorrespondingtothedisposalofinvestmentbeforethelossofcontrolrightisrecognizedasothercomprehensiveincomeintheconsolidatedfinancialstatementsandtransferredintothecurrentprofitandlossintheperiodoflossofcontrolright.
Ifeachtransactiondoesnotbelongtoapackagedeal,theequityinvestmentofthesubsidiaryshallbesubjecttoaccountingtreatmentwithoutlossofcontrolrightbeforelosingthecontrolright;andaccountingtreatmentshallbecarriedoutinaccordancewiththegeneraldisposalmethodofthesubsidiarywhenlosingthecontrolright.
(3)PurchaseoftheminorityequityofthesubsidiariesThedifferencebetweenthelong-termequityinvestmentobtainedduetothepurchaseofminorityequityandtheshareofthenetassetstobeenjoyedandcontinuouslycalculatedfromtheacquisitiondateormergingdateaccordingtotheincreasedshareholdingratioisadjustedagainstthecapitalstockpremiuminthecapitalreserveintheconsolidatedbalancesheet;ifthecapitalstockpremiuminthecapitalreserveisnotsufficienttooffsetthedifference,theretainedearningsshallbeadjusted.
(4)PartialdisposalofequityinvestmentinsubsidiarieswithoutlossofcontrolrightThedifferencebetweenthedisposalpriceandthedisposaloflong-termequityinvestmentandtheshareofthenetassetstobeenjoyedandcontinuouslycalculatedfromtheacquisitiondateormergingdate,isadjustedagainstthecapitalstockpremiuminthecapitalreserveintheconsolidatedbalancesheet;ifthecapitalstockpremiuminthecapitalreserveisnotsufficienttooffsetthedifference,theretainedearningsshallbeadjusted.
8.JointventurearrangementsclassificationandCo-operationaccountingtreatmentThejointventurearrangementisdividedintojointmanagementandjointventure.Jointmanagementmeansthejointventurearrangementinwhichthejointventurepartiesenjoytheassetsandassumestheliabilitiesrelatedtothearrangement.TheCompanyconfirmsthefollowingitemsrelatedtotheshareofinterestsinthejointoperation:
(1)RecognizetheassetsheldsolelybytheCompanyandtheassetsjointlyheldaccordingtotheshareoftheCompany;
(2)RecognizetheliabilitiesundertakensolelybytheCompanyandtheliabilitiesjointlyundertakenaccordingtotheshareoftheCompany;
(3)RecognizetheincomegeneratedfromthesaleoftheCompany’sshareofthejointoperationoutput;
(4)RecognizetheincomegeneratedfromthesaleofoutputsofthejointoperationaccordingtotheshareoftheCompany;
(5)RecognizetheexpensesincurredseparatelyandtheexpensesincurredinjointoperationaccordingtotheshareoftheCompanyTheCompany’sinvestmentinthejointventureshallbeaccountedbytheequitymethod.SeeNote“V.22Long-termequityinvestment”fordetails.
9.Determiningstandardsofcashandcashequivalents
CashrepresentstheCompany’scashonhandandthedepositreadilyavailableforpayment.Cashequivalentsrepresenttheshort-term,highlyliquidinvestmentsthatarereadilyconvertibleintoknownamountsofcashandthataresubjecttoaninsignificantriskofchangeinvalue.
10.Foreigncurrencytransactionandforeigncurrencystatementtranslation
1.ForeignCurrencyBusinessForeigncurrencytransactionadoptsthespotexchangerateonthedateofthetransactionastheconversionexchangeratetoconverttheforeigncurrencyamountintoRMBforreporting.Atthebalancesheetdate,thebalanceofforeigncurrencymonetaryitemsareconvertedbyusingthespotexchangeratesatthebalancesheetdate.Exchangedifferencesarisingtherefromarerecognizedincurrentprofitandloss,excepttheexchangedifferencesrelatedtoaspecific-purposeborrowingdenominatedinforeigncurrencythatqualifyforcapitalizationaretreatedaccordingtothecapitalizationofborrowingcosts.
2.ConversionoffinancialstatementsdenominatedinforeigncurrenciesTheassetandliabilityitemsintheforeigncurrencybalancesheetsshallbetranslatedataspotexchangerateonthebalancesheetdate.Amongtheowner’sequityitems,excepttheonesas“undistributedprofits”,othersshallbetranslatedatthespotexchangerateatthetimewhentheyareincurred.Incomeandexpenseitemsintheincomestatementaretranslatedusingtheannualaverageexchangerate.Whendisposingoftheoverseasoperation,thebalanceofthefinancialstatementsdenominatedinforeigncurrenciesrelatedtotheoverseasoperationshallbetransferredfromtheowner’sequityitemtotheprofitandlossofthedisposalperiod.
11.Financialinstruments
TheCompanyrecognizesafinancialasset,financialliabilityorequityinstrumentwhenbecomingapartyofthefinancialinstrumentcontract.
1.ClassificationoffinancialinstrumentsAccordingtotheCompany’sbusinessmodelofmanagingfinancialassetsandthecontractualcashflowcharacteristicsoffinancialassets,thefinancialassetsareclassifiedattheinitialrecognitionas:financialassetsmeasuredattheamortizedcost,financialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome,andfinancialassetsatfairvalueofwhichchangesarerecordedincurrentprofitandloss.TheCompanyclassifiesthefinancialassetsthatmeetthefollowingconditionsandarenotdesignatedtobemeasuredatfairvalueandwhosechangesarerecordedintotheprofitsandlossesofthecurrentperiodasfinancialassetsmeasuredattheamortizedcost:
-Thebusinessmodelisaimedatcollectingcontractcashflows;-Thecontractcashflowisonlythepaymentoftheprincipalandinterestbasedontheoutstandingprincipalamount.TheCompanyclassifiesthefinancialassetsthatmeetthefollowingconditionsandarenotdesignatedtobemeasuredatfairvalueandwhosechangesarerecordedintotheprofitsandlossesofthecurrentperiodasfinancialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome(debtinstrument):
-Thebusinessmodelisaimedatcollectingcontractcashflowsandthesaleofsuchfinancialassets;-Thecontractcashflowisonlythepaymentoftheprincipalandinterestbasedontheoutstandingprincipalamount.Fornon-tradingequityinstrumentinvestments,theCompanymay,atthetimeofinitialrecognition,irrevocablydesignatethemasfinancialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome(equityinstrument).Thedesignationismadeonasingleinvestmentbasisandtherelatedinvestmentsmeetthedefinitionofanequityinstrumentfromanissuer’sperspective.Excepttheabovefinancialassetsmeasuredattheamortizedcostandthefinancialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome,theCompanyclassifiesallotherfinancialassetsasfinancialassetsatfairvalueofwhichchangesarerecordedincurrentprofitandloss.Uponinitialrecognition,ifaccountingmismatchescanbeeliminatedorsignificantlyreduced,theCompanymayirrevocablydesignatethefinancialassetsthatshouldhavebeenclassifiedasthosemeasuredattheisbasedamortizedcostormeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincomeasthefinancialassetsmeasuredatfairvalueofwhichchangesarerecordedincurrentprofitandloss.Financialliabilitiesareclassifiedattheinitialrecognitionas:financialliabilitiesmeasuredatfairvalueofwhichchangesarerecordedincurrentprofitandlossandfinancialliabilitiesmeasuredattheamortizedcost.Financialliabilitiesthatmeetoneofthefollowingconditionsmaybedesignatedattheinitialrecognitionasthefinancialliabilitiesmeasuredatfairvalueofwhichchangesarerecordedincurrentprofitandloss.
1)Thisdesignationcaneliminateorsignificantlyreduceaccountingmismatches.
2)Manageandconductperformanceevaluationofthefinancialliabilityportfolioorfinancialassetsandfinancialliabilityportfolioonthebasisoffairvalueaccordingtotheenterpriseriskmanagementorinvestmentstrategysetforthintheofficialwrittendocuments,andreporttothekeymanagementpersonnelwithintheenterpriseonthisbasis.
3)Thefinancialliabilitycontainsembeddedderivativesthatneedtobesplitseparately.
2.Recognitionbasisandmeasurementmethodoffinancialinstruments
(1)Financialassetmeasuredonthebasisofpost-amortizationcostsThefinancialassetsmeasuredattheamortizedcostsincludebillsreceivable,accountsreceivable,otherreceivables,long-termreceivables,debtinvestment,etc.,whichshallbeinitiallymeasuredatfairvalue,andtherelevanttransactionexpensesareincludedintheinitialrecognizedamount;thereceivablesexcludingmajorfinancingcomponentsandtheaccountsreceivablethattheCompanydecidesnottoconsiderthefinancingcomponentsoflessthanoneyearshallbeinitiallymeasuredatthecontracttransactionprice.Theinterestcalculatedbytheeffectiveinterestratemethodduringtheholdingperiodisrecordedintothecurrentprofitandloss.Uponrecoveryordisposal,thedifferencebetweenthepriceobtainedandthebookvalueofthefinancialassetsshallberecordedintothecurrentprofitorloss.
(2)Financialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome(debtinstrument)Financialassetsmeasuredatfairvalueofwhichthechangesareincludedinothercomprehensiveincome(debtinstrument),includingreceivablesfinancingandotherdebtinvestments,areinitiallymeasuredatfairvalueandrelatedtransactioncostsareincludedintheinitialrecognizedamount.Thefinancialassetissubsequentlymeasuredatitsfairvalue,andchangesinthefairvaluearerecordedinothercomprehensiveincome,excepttheinterest,impairmentlossorgainsandexchangegainandlosscalculatedbytheeffectiveinterestratemethod.Uponthede-recognition,theaccumulatedgainsorlossespreviouslyrecordedinothercomprehensiveincomewillbetransferredfromothercomprehensiveincometocurrentprofitandloss.
(3)Financialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome(equityinstrument)Financialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome(equityinstrument),includingotherequityinstrumentinvestment,areinitiallymeasuredatfairvalueandrelatedtransactioncostsareincludedintheinitialrecognizedamount.Suchfinancialassetsaresubsequentlymeasuredatthefairvalueandthechangeinthefairvalueisrecordedintoothercomprehensiveincome.Thedividendsobtainedarerecordedincurrentprofitandloss.Uponthede-recognition,theaccumulatedgainsorlossespreviouslyrecordedinothercomprehensiveincomewillbetransferredfromothercomprehensiveincometoretainedearnings.
(4)FinancialassetsmeasuredatfairvalueofwhichthechangesareincludedincurrentprofitandlossFinancialassetsmeasuredatfairvalueofwhichchangesarerecordedincurrentprofitandloss,includingtradingfinancialassets,derivativefinancialassets,othernon-currentfinancialassets,etc.,areinitiallymeasuredatfairvalueandrelatedtransactionexpensesarerecordedincurrentprofitandloss.Suchfinancialassetsaresubsequentlymeasuredatthefairvalueandthechangeinthefairvalueisrecordedintocurrentprofitandloss.
(5)Financialliabilitiesmeasuredatfairvalues,changesofwhichrecordedinthecurrentprofitsorlossesFinancialliabilitiesmeasuredatfairvalueofwhichchangesareincludedincurrentprofitandloss,includingtradingfinancialliabilities,derivativefinancialliabilities,etc.,areinitiallymeasuredatfairvalueandrelatedtransactionexpensesarerecordedincurrentprofitandloss.Suchfinancialliabilitiesaresubsequentlymeasuredatthefairvalueandthechangeinthefairvalueisrecordedintocurrentprofitandloss.Uponthede-recognition,thedifferencebetweenitsbookvalueandtheconsiderationpaidisrecordedincurrentprofitandloss.
(6)FinancialliabilitiesmeasuredattheamortizedcostFinancialliabilitiesmeasuredatamortizedcost,includingshort-termloans,notespayable,accountspayable,otherpayables,long-termborrowings,bondspayableandlong-termpayables,areinitiallymeasuredatfairvalue,andrelatedtransactionexpensesareincludedintheinitialrecognizedamount.Theinterestcalculatedbytheeffectiveinterestratemethodduringtheholdingperiodisrecordedintothecurrentprofitandloss.Uponthede-recognition,thedifferencebetweentheconsiderationpaidandthebookvalueofsuchfinancialliabilityisrecordedincurrentprofitandloss.
3.BasisforrecognitionandmethodofmeasurementforderecognitionoffinancialassetsandtransferoffinancialassetsTheCompanyshallderecognizethefinancialassetsifoneofthefollowingconditionsissatisfied:
-Terminationofthecontractualrighttocollectthecashflowoffinancialassets;-Thefinancialassetshavebeentransferred,andalmostalltherisksandremunerationinitsownershiphavebeentransferredtothetransferee;-Thefinancialassetshavebeentransferred,andwhiletheCompanyhasneithertransferrednorretainedvirtuallyalloftherisksandremunerationintheownershipofthefinancialassets,ithasnotretainedcontrolofthefinancialassets.IftheCompanyandthecounterpartymodifyorrenegotiatethecontract,anditconstitutesasubstantialmodification,theoriginalfinancialassetwillbeterminated,andanewfinancialassetwillberecognizedinaccordancewiththemodifiedterms.Intheeventofafinancialassettransfer,ifalmostalltherisksandremunerationintheownershipofthefinancialassetareretained,therecognitionofthefinancialassetwillnotbeterminated.Theprincipleofsubstanceoverformisadoptedwhenjudgingwhetherthetransferoffinancialassetsmeetstheaboveconditionsforde-recognitionoffinancialassets.TheCompanydividesthetransferoffinancialassetsintothewholetransferoffinancialassetsandthepartialtransferoffinancialassets.Iftheoveralltransferofthefinancialassetmeetsthede-recognitionconditions,thedifferencebetweenthefollowingtwoamountsshallberecordedintothecurrentprofitsandlosses:
(1)Thebookvalueofthetransferredfinancialasset;
(2)Thesumoftheconsiderationreceivedfromthetransferandthecumulativeamountofthefairvaluechangesoriginallyincludedinowner’sequitydirectly(wherethefinancialassetinvolvedinthetransferismeasuredatfairvalueandthechangeisrecordedinothercomprehensiveincome(debtinstrument)).Ifthepartialtransferofthefinancialassetmeetsthede-recognitionconditions,thebookvalueoftheoveralltransferredfinancialassetisdistributedbetweenthederecognizedandnon-derecognizedpartaccordingtotherelativefairvalueandthedifferencebetweenthefollowingtwoamountsisincludedincurrentprofitandloss:
(1)Thebookvalueofderecognizedpart;
(2)Sumoftheconsiderationofthederecognizedpartandtheamountofcorrespondingderecognizedpartinthetotalfairvaluechangesoriginallyincludedinowner’sequitydirectly(wherethefinancialassetinvolvedinthetransferismeasuredatfairvalueandthechangeisrecordedinothercomprehensiveincome(debtinstrument)).Ifthetransferofthefinancialassetdoesnotmeettheconditionsofde-recognition,suchfinancialassetshallcontinuetoberecognizedandtheconsiderationreceivedshallberecognizedasafinancialliability.
4.De-recognitionoffinancialliabilitiesWherethecurrentobligationofafinancialliabilityhasbeendischargedinwholeorinpart,suchfinancialliabilityorpartthereofshallbederecognized;iftheCompanyentersintoanagreementwiththecreditortoreplacetheexistingfinancialliabilitiesbyassumingnewfinancialliabilities,andthecontracttermsofthenewfinancialliabilitiesandtheexistingfinancialliabilitiesaresubstantiallydifferent,theCompanyshallderecognizetheexistingfinancialliabilitiesandrecognizethenewfinancialliabilitiesatthesametime.Ifallorpartofthecontracttermsoftheexistingfinancialliabilitiesaresubstantiallymodified,theexistingfinancialliabilityorpartthereofshallbederecognized,andthefinancialliabilitiesafterthemodificationshallberecognizedasnewfinancialliabilities.Whenafinancialliabilityisderecognizedinwholeorinpart,thedifferencebetweenthebookvalueofthederecognizedfinancialliabilityandtheconsiderationpaid(includingnon-cashassettransferredoutorthenewfinancialliabilityundertaken)isrecordedincurrentprofitandloss.IftheCompanyrepurchasespartofthefinancialliability,itshallallocatetheoverallbookvalueofthefinancialliabilityontherepurchasedateaccordingtotherelativefairvalueofthecontinuingrecognitionpartandthede-recognitionpart.Thedifferencebetweenthebookvalueallocatedtothederecognizedpartandtheconsiderationpaid(includingnon-cashassettransferredoutortheliabilityundertaken)isrecordedincurrentprofitandloss.
5.FairvaluedeterminationmethodoffinancialassetsandfinancialliabilitiesThefairvalueofafinancialinstrumentwithanactivemarketshallberecognizedbasedonthequotationintheactivemarket.Thefairvalueofafinancialinstrumentwithoutanactivemarketshallberecognizedbymeansofvaluationtechniques.Uponvaluation,theCompanyadoptsvaluationtechniquesapplicabletothecurrentsituationandsupportedbysufficientavailabledataandotherinformation,selectsinputvaluesconsistentwiththeassetorliabilitycharacteristicsconsideredbymarketparticipantsinthetransactionofrelatedassetsorliabilities,andgivesprioritytorelevantobservableinputvalues.TheCompanyusesnon-observableinputvaluesonlywhenrelevantobservableinputvaluescannotbeobtainedorarenotpracticabletoobtain.
6.TestmethodandaccountingtreatmentmethodoffinancialinstrumentimpairmentTheCompanyestimatestheexpectedcreditlossesoffinancialassetsmeasuredatamortizedcost,financialassetsmeasuredatfairvalueofwhichchangesarerecordedintoothercomprehensiveincome(debtinstrument)andfinancialguaranteecontracts.TheCompanycalculatestheprobabilisticweightedamountofthepresentvalueofthedifferencebetweenthecashflowsreceivableunderthecontractsandthecashflowsexpectedtobereceivedandrecognizestheexpectedcreditloss,takingintoaccountreasonableandevidentialinformationconcerningpastevents,currentconditionsandprojectionsoffutureeconomicconditions,andweightingtheriskofdefault.ForreceivablesandcontractassetsformedbytransactionsregulatedbyAccountingStandardsforBusinessEnterprisesNo.14-Revenue(2017),theCompanyalwaysmeasuresitslossprovisionatanamountequivalenttotheexpectedcreditlossovertheentireduration,whetherornotitcontainsmajorfinancingcomponents.ForleasereceivablesformedbytransactionsregulatedbyAccountingStandardsforBusinessEnterprisesNo.21-Leasing,theCompanyoptstoconsistentlymeasureitslossprovisionsatanamountequivalenttotheexpectedcreditlossesthroughouttheentireduration.Forotherfinancialinstruments,theCompanyevaluateschangesinthecreditriskofrelevantfinancialinstrumentssinceinitialrecognitiononeachbalancesheetdate.Bycomparingtheriskofdefaultoffinancialinstrumentsonthebalancesheetdatewiththeriskofdefaultontheinitialrecognitiondate,theCompanydeterminesthechangeofthedefaultriskduringtheexpecteddurationofthefinancialinstruments,soastoassesswhetherthecreditrisksoffinancialinstrumentshavesignificantlyincreasedsincetheinitialrecognition.Ingeneral,theCompanywillconsiderthatthecreditrisksofthefinancialinstrumenthasincreasedsignificantlyifitismorethan30daysoverdue,unlessthereisconclusiveevidencethatthecreditrisksofsuchfinancialinstrumenthavenotincreasedsignificantlysincetheinitialrecognition.Ifthecreditrisksofthefinancialinstrumentislowonthebalancesheetdate,theCompanyconsidersthatthecreditrisksofthefinancialinstrumenthavenotincreasedsignificantlysincetheinitialrecognition.Ifthecreditrisksofsuchfinancialinstrumenthaveincreasedsignificantlysincetheinitialrecognition,theCompanyshallmeasureitslossprovisionaccordingtotheamountequivalenttotheexpectedcreditlossintheentiredurationofsuchfinancialinstrument.Ifthecreditrisksofsuchfinancialinstrumenthavenotincreasedsignificantlysincetheinitialrecognition,theCompanyshallmeasurethelossprovisionaccordingtotheamountequivalenttotheexpectedcreditlossofsuchfinancialinstrumentinthenext12months.Theamountoftheincreaseorreversalofthelossprovisionresultingtherefromshallberecordedintothecurrentprofitandlossasanimpairmentlossorprofit.Forfinancialassets(debtinstruments)measuredatfairvalueandwhosechangesareincludedinothercomprehensiveincome,thelossprovisionisrecognizedinothercomprehensiveincome,andtheimpairmentlossorgainisincludedinthecurrentprofitandloss,withoutreducingthefinancialasset’scarryingamountshownonthebalancesheet.Ifthereisobjectiveevidencethatacertainreceivableshassufferedcreditimpairment,theCompanyshallmakeprovisionfortheimpairmentofthereceivablesonanindividualbasis.Forfinancialassets(debtinstruments)measuredatfairvalueandwhosechangesareincludedinothercomprehensiveincome,thelossprovisionisrecognizedinothercomprehensiveincome,andtheimpairmentlossorgainisincludedinthecurrentprofitandloss,withoutreducingthefinancialasset’scarryingamountshownonthebalancesheet.
TheCompanymeasuresprovisionsforlossesonpromissorynotesandreceivablefinancingbasedonanamountequivalenttotheexpectedcreditlossesthroughouttheentireduration.Basedonthecreditriskcharacteristicsofnotesreceivableandreceivablefinancing,itisdividedintodifferentportfolios:
| Item | Basisforrecognitionofcombinationandaccrualmethodofprovisionforbaddebt |
| Notesreceivable: | |
| Banker’sacceptancebill | Iftheacceptorisabankwithhighercreditrating(suchaslargestate-ownedcommercialbanksandlistedjoint-stockcommercialbanks),noprovisionforbaddebtsshallbemade;iftheacceptorisanotherbankorfinancialcompany,theexpectedcreditlossisanalyzedbasedonhistoricalinformationandjudgedwhetheritisnecessarytomakeprovisionforbaddebts. |
| Tradeacceptance | Iftheacceptorisanon-financialinstitution,itsdivisionisthesameasthatofaccountsreceivable(ifaccountsreceivablearetransferredtonotesreceivables,theageofaccountsiscalculatedcontinuously). |
| Amountsreceivablefinancing: | |
| Banker’sacceptancebill | Iftheacceptorisabankwithahighercreditrating,noprovisionforbaddebtswillbemade. |
TheCompany’scategorizationanddeterminationbasisforexpectedcreditlossesfornotesreceivable-commercialacceptancebills,accountsreceivable,otherreceivables,prepaidaccounts,etc.areasfollows:
| Item | CategoryClass | Basisfordetermination |
| Accountsreceivable: | ||
| Amountsreceivablefromrelatedpartieswithintheconsolidationscope | Nocreditriskportfolio | Unlessthereisobjectiveevidencethattheycannotberecovered,noprovisionforbaddebtswillbemadeforamountswithinthescopeofconsolidation |
| Amountsreceivablefromothercustomers | Agingcombination | Segmentportfoliosbasedoncreditriskcharacteristicsdeterminedbytheageofaccountsreceivable |
| Otherreceivables: | ||
| Thereisnocreditriskassociatedwithreceivablessuchasexporttaxrebates | Nocreditriskportfolio | Segmentportfoliosbasedoncreditriskcharacteristicsdeterminedbythenatureofreceivables,primarilyincludingexporttaxrebates,etc. |
| Otherreceivablesfromrelatedpartieswithintheconsolidationscope | Nocreditriskportfolio | Unlessthereisobjectiveevidencethattheycannotberecovered,noprovisionforbaddebtswillbemadeforamountswithinthescopeofconsolidation |
| Securitydepositreceivable | Balancepercentagecombination | Thecreditriskcharacteristicsofreceivablesaredividedintocombinationsbasedonthenatureofthereceivables,primarilyincludingdepositsandmargins. |
| Otherreceivables | Agingcombination | Segmentportfoliosbasedoncreditriskcharacteristicsdeterminedbytheageofaccountsreceivable |
| Advancestosuppliers: | ||
| Prepaidamountstorelatedpartieswithintheconsolidationscope | Unlessthereisobjectiveevidencethattheycannotberecovered,noprovisionforbaddebtswillbemadeforamountswithinthescopeofconsolidation | |
| Otherprepaidamounts | Agingcombination | Segmentportfoliosbasedontheagingofotherprepaymentstodeterminecreditriskcharacteristics |
Provisionfordoubtfulaccountsforagingportfolio:
WinnerMedicalAging
| Aging | Accruingproportionofaccountsreceivable(%) | Provisionrateforotherreceivables | Accruingproportionofprepaidaccounts(%) |
| Within1year(including1year) | 5 | 5 | |
| 1-2years | 10 | 10 | |
| 2-3years | 30 | 30 | 50 |
| 3-4years | 50 | 50 | 100 |
| 4-5years | 80 | 80 | 100 |
| Morethan5years | 100 | 100 | 100 |
Baddebtprovisionsforcommercialacceptancebillsreceivableareaccruedaccordingtotheexpectedcreditlossrateofaccountsreceivablementionedearlier,withtheagingstartdateofcommercialacceptancebillscorrespondingtothatoftheaccountsreceivable.Theaccrualratioforbalancepercentagecombinationis5%ofthebalanceofaccountsreceivable.IftheCompanynolongerreasonablyexpectsthatthecontractcashflowofafinancialassetcanberecoveredinwholeorinpart,itwilldirectlywritedownthebookbalanceofsuchfinancialasset.
12.Notesreceivable
PleaserefertotheNote“V.11Financialinstruments”.
13.Accountsreceivable
ThisNote“V.11.FinancialInstruments”
14.Amountsreceivablefinancing
ThisNote“V.11.FinancialInstruments”
15.Otherreceivables
Forthemeasurementofimpairmentlossofotherreceivablesotherthanaccountsreceivableandnotesreceivable(includingotherreceivables,long-termreceivables,etc.),itshallbetreatedbyreferringtothe“V.11.Financialinstruments6)Testmethodandaccountingtreatmentmethodoffinancialassets(excludingreceivables)impairment”.
16.ContractassetsTheCompanyliststhecontractualassetsorcontractualliabilitiesinthebalancesheetaccordingtotherelationshipbetweenperformanceobligationsandcustomerpayment.TheCompany’srightstoreceiveconsiderationforthetransferofgoodsorservicestothecustomer(andsuchrightsaresubjecttofactorsotherthanthepassageoftime)arelistedascontractualassets.Thecontractualassetsandcontractualliabilitiesunderthesamecontractarelistedinthenetamount.TherightsthattheCompanyownsandunconditionally(dependingonlyonthepassageoftime)tocollectconsiderationfromthecustomerarelistedseparatelyasreceivables.
Fortherecognitionmethodsandaccountingtreatmentmethodsoftheexpectedcreditlossofthecontractassets,pleaserefertoNote“V.11.FinancialInstruments6)Testmethodandaccountingtreatmentmethodoffinancialassetsimpairment(excludingreceivables)”.
17.Inventory
1.ClassificationandcostofinventoriesTheinventoriesareclassifiedasrawmaterials,lowpricedandeasilywornarticles,merchandiseinventory,workinprogress,goodsshippedintransit,goodsprocessedbycommission,wrappage,etc.Inventoriesareinitiallymeasuredatcost.Theinventorycostincludesprocurementcosts,processingcosts,andotherexpensesincurredtobringtheinventorytoitscurrentlocationandcondition.
2.ValuationmethodofdeliveredinventoryThesalesofpurchasedfinishedproductsarepricedaccordingtothemovingweightedaveragemethodatthetimeofshipment;thesalesofself-producedproductsarepricedaccordingtothestandardcostmethodatthetimeofshipment,andthedifferencebetweentheactualcostandthestandardcostshallbeapportionedaccordingtotheinventoryandsalesratioattheendoftheperiod.
3.PerpetualinventorysystemAdoptedastheinventorysystem.
4.Amortizationmethodsoflowpricedandeasilywornarticlesandwrappage
(1)The50-50amortizationmethodisadoptedforlow-valueconsumables;
(2)Thepackagingadoptstheone-timewrite-offmethod.
5.RecognitioncriteriaandaccrualmethodsforinventorydepreciationprovisionsTheinventoriesshallbemeasuredonthebalancesheetdateaccordingtothecostofinventoriesornetrealizablevalue,whicheverislower.Ifthecostoftheinventoriesishigherthanthenetrealizablevalue,theinventoryfallingpricereservesshallbewithdrawn.Thenetrealizablevalueofinventoriesistheamountoftheestimatedsalepriceoftheinventoriessubtractedbytheestimatedcostabouttooccurincompletion,estimatedsellingexpensesandrelatedtaxesindailyactivities.Forthefinishedproducts,merchandiseinventory,materialsforsaleandothermerchandiseinventoriesdirectlyusedforsale,thenetrealizablevalueisrecognizedbytheamountoftheestimatedsalepriceoftheinventoriessubtractedbytheestimatedsellingexpensesandrelatedtaxesinnormalproductionandoperationprocess;forthematerialinventoryrequiredtobeprocessed,thenetrealizablevalueisrecognizedbytheamountoftheestimatedsalepriceofthefinishedproductssubtractedbytheestimatedcostabouttooccurincompletion,estimatedsellingexpensesandrelatedtaxesinnormalproductionandoperationprocess;fortheinventoriesheldtoperformthesalescontractorlaborcontract,thenetrealizablevalueiscalculatedonthebasisofcontractprice.Ifthenumberoftheinventoriesheldisgreaterthanthequantityorderedinthesalescontract,thenetrealizablevalueoftheexcessiveinventoriesiscalculatedonthebasisofgeneralsaleprice.Iftheinfluencefactorswritingdowntheinventoryvaluebeforehavedisappearedafterwithdrawaloftheinventoryfallingpricereserves,resultinginthenetrealizablevalueoftheinventorieshigherthanthebookvalue,theamountwrittendownisreversedwithintheoriginallywithdrawnamountofinventoryfallingpricereservesandtheamountreversedisincludedincurrentprofitsandlosses.
18.Assetsheldforsales
1.HeldforsalesIfthebookvalueofanassetisrecoveredmainlythroughthesale(includingthenon-monetaryassetsexchangeofcommercialnature)ratherthancontinuoususeofanon-currentassetordisposalgroup,suchassetisclassifiedasanassetheldforsale.
TheCompanyclassifiesnon-currentassetsordisposalgroupsasheldforsaleiftheymeetthefollowingconditionssimultaneously:
(1)Immediatelyavailableforsaleundercurrentconditionsinaccordancewiththeusualpracticeofsellingsuchtypeofassetsordisposalgroupsinsimilartransactions;
(2)Thesaleishighlylikely,thatis,theCompanyhasresolvedasaleplanandobtainedafirmpurchasecommitment,andthesaleisexpectedtobecompletedwithinoneyear.WheretherelevantprovisionsrequiretheapprovaloftherelevantauthorityorregulatoryauthorityoftheCompanybeforethesale,theapprovalhasbeenobtained.Whereitisclassifiedasnon-currentassets(notincludingfinancialassetsanddeferredincometaxassets,theassetsformedbytheemployeecompensation)ordisposalgroupsheldforsale,ifitsbookvalueishigherthanthenetamountofthefairvalueminusthesellingexpense,thebookvalueiswrittendowntothenetamountofthefairvalueminusthesellingexpense,theamountwrittendownisrecognizedastheassetsimpairmentlossandincludedinthecurrentprofitandloss.Theprovisionforimpairmentofavailableforsaleassetsiswithdrawn.
2.DiscontinuedoperationDiscontinuedoperationisaseparatecomponentthatmeetsoneofthefollowingconditionsandhasbeendisposedoforclassifiedintotheheldforsalecategorybytheCompany:
(1)Thecomponentrepresentsanindependentprincipalbusinessoranindependentprincipalareaofoperation;
(2)Thecomponentispartofanassociatedplanproposedtodisposeofanindependentprincipalbusinessoranindependentprincipalareaofoperation;
(3)Thecomponentisasubsidiaryacquiredexclusivelyforresale.Theincomestatementsegregatesprofitsandlossesfromcontinuingoperationsandthosefromdiscontinuedoperations.Impairmentlosses,reversalamountsfromdiscontinuedoperations,otheroperatinggainsandlosses,anddisposalgainsandlossesareaccountedforwithingainsandlossesfromdiscontinuedoperations.Inthecurrentperiod,iftherearediscontinuedoperations,theCompanywillreclassifytheinformationinitiallypresentedasprofitsandlossesfromcontinuingoperationstoprofitsandlossesfromdiscontinuedoperationsinthecomparableaccountingperiodwithinthecurrentfinancialstatements.
19.Debtinvestment
Pleasereferto“11.Financialinstruments”.
20.Otherdebtinvestments
Pleasereferto“11.Financialinstruments”.
21.Long-termreceivables
Fordetails,seeNote41,Lease(2)Accountingtreatmentofleaseaslessor2)Accountingtreatmentoffinancelease.
22.Long-termequityinvestment
1.CriteriafordeterminingjointcontrolandsignificantinfluenceJointcontrolreferstothejointcontroloveranarrangementinaccordancewiththerelevantagreement,andtherelatedactivitiesofthearrangementcanonlybedecidedupontheunanimousconsentofthepartiessharingthecontrol.WheretheCompanyandotherjointventurepartiesjointlyexercisejointcontrolovertheinvestedentityandenjoyrightsoverthenetassetsoftheinvestedentity.TheinvestedentityshallbethejointventureoftheCompany.
Significantinfluencemeansthepowertoparticipateintheformulationoffinancialandoperatingdecisionsoftheinvestedentity,butnotthepowertocontrolorjointlycontroltheformulationofthesepoliciestogetherwithotherparties.IftheCompanyisabletoexertsignificantinfluenceontheinvestedentity,theinvestedentityisajointventureoftheCompany.
2.Recognitionofinitialinvestmentcost
(1)Long-termequityinvestmentformedbybusinesscombinationForthelong-termequityinvestmentinasubsidiaryformedbybusinesscombinationundercommoncontrol,theshareofthebookvalueoftheowner’sequityofthecombiningpartyintheconsolidatedfinancialstatementsofthefinalcontrollingparty,onthecombinationdate,isregardedastheinitialcostofthelong-termequityinvestment.Thedifferencebetweentheinitialcostofthelong-termequityinvestmentandthebookvalueofpaidconsiderationshalladjustthecapitalstockpremiumincapitalreserve.Ifthecapitalstockpremiumincapitalreserveisinsufficienttooffset,theretainedearningsshallbeadjusted.Whereitimplementsthecontrolupontheinvestedentityunderthesamecontrolduetoadditionalinvestmentorotherreasons,thedifferencebetweentheinitialinvestmentcostofthelong-termequityinvestmentrecognizedaccordingtotheaboveprincipleandthesumofthebookvalueofthelong-termequityinvestmentbeforethecombinationplusthebookvalueofthenewconsiderationfortheacquisitionoffurthersharesonthemergingdateshalladjustthecapitalstockpremium.Ifthecapitalstockpremiumisinsufficienttooffset,theretainedearningsshallbeoffset.Forthelong-termequityinvestmentinasubsidiaryformedbybusinesscombinationnotundercommoncontrol,thecombinedcostrecognizedontheacquisitiondateisregardedastheinitialcostofthelong-termequityinvestment.Whereitimplementsthecontrolupontheinvestedentitynotunderthesamecontrolduetoadditionalinvestmentandotherreasons,thesumofthebookvalueoftheoriginalequityinvestmentplusthenewinvestmentcostistakenastheinitialinvestmentcost.
(2)Long-termequityinvestmentacquiredbymeansotherthanbusinesscombinationIfthelong-termequityinvestmentisacquiredbymeansofcashpayment,theinitialinvestmentcostshallbethepurchasepriceactuallypaid.Ifthelong-termequityinvestmentisacquiredbyissuingequitysecurities,theinitialinvestmentcostshallbethefairvalueoftheequitysecuritiesissued.
3.SubsequentMeasurementandApproachfortheDeterminationofProfitandLoss
(1)Long-termequityinvestmentcheckedbycostmethodThelong-termequityinvestmentmadebytheCompanyinitssubsidiariesadoptsthecostmethod,unlesstheinvestmentmeetstheconditionsofholdingforsale.Exceptforcashdividendsorprofitsalreadydeclaredbutnotyetpaidthatareincludedinthepriceorconsiderationactuallypaiduponacquisitionoftheinvestment,theCompanyrecognizetheinvestmentincomeincurrentperiodinaccordancewiththeattributableshareofcashdividendsorprofitdistributionsdeclaredbytheinvestedentity.
(2)Long-termequityinvestmentcheckedbyequitymethodThelong-termequityinvestmentofjointventuresandcooperativeenterprisesshallbecalculatedbytheequitymethod.Theinitialinvestmentcostofthelong-termequityinvestmentisnotadjustedifitisgreaterthanthedifferencebetweenthefairvalueshareofthenetidentifiableassetsoftheinvestedentityintheinvestment;iftheinitialinvestmentcostofthelong-termequityinvestmentislessthanthedifferencebetweenthefairvalueshareofthenetidentifiableassetsoftheinvestedentityintheinvestment,itisrecordedincurrentprofitandlossandthecostofthelong-termequityinvestmentisadjusted.TheCompanyrecognizestheinvestmentincomeandothercomprehensiveincomeaccordingtoitsshareofnetprofitorlossandothercomprehensiveincomeoftheinvestedentity,andadjuststhebootvalueofthelong-termequityinvestmentaccordingly;theCompanydecreasesthebookvalueofthelong-termequityinvestmentaccordinglyinaccordancewiththeshareoftheprofitdistributionorcashdividendsdeclaredbytheinvestedentity;forchangesinowner’sequityoftheinvestedentityotherthanthosearisingfromitsnetprofitorloss,othercomprehensiveincomeandprofitdistribution(abbreviatedas“otherchangesinowner’sequity”),theCompanyadjuststhebookvalueofthelong-termequityinvestmentandrecordsintheowner’sequity.Uponrecognizingtheshareofthenetprofitandloss,othercomprehensiveincomeandotherchangesinowner’sequityoftheinvestedentity,itshallberecognizedafteradjustingthenetincomeandothercomprehensiveincomeoftheinvestedentityonthebasisofthefairvalueoftheidentifiablenetassetsoftheinvestedentitywhenobtainingtheinvestment,andinaccordancewiththeCompany’saccountingpoliciesandaccountingperiods.
TheprofitsandlossesofunrealizedinternaltransactionsbetweentheCompanyandjointventures,cooperativeenterprisesshallbecalculatedaccordingtotheproportionthatshouldbeenjoyedbytheCompanyandshallbeoffset.Onthisbasis,investmentincomeshallberecognized,exceptthattheassetsinvestedorsoldconstitutebusiness.TheunrealizedinternaldeallossbetweentheCompanyandtheinvestedentityisrecognizedinfullamountifattributabletotheassetsimpairmentloss.ThenetlossincurredbytheCompanytothecooperativeenterpriseorjointventure,exceptfortheliabilityforadditionalloss,shallbewrittendowntozerobythebookvalueoflong-termequityinvestmentandotherlong-termequitysubstantiallyconstitutingthenetinvestmentinthecooperativeenterpriseorjointventure.Ifthecooperativeenterpriseorjointventureachievesthenetprofitsinthelaterperiods,theCompanyrecoverstorecognizethegainsharingamountaftermakingupfortheunrecognizedlosssharingamountwiththegainsharingamount.
(3)Disposaloflong-termequityinvestmentOndisposalofthelong-termequityinvestment,thebalancebetweenthebookvalueoftheequitydisposedofandtheactualpriceobtainedischargedtocurrentprofitandloss.Ifpartofthelong-termequityinvestmentisdisposedofbytheequitymethod,andtheremainingequityisstillaccountedbytheequitymethod,theothercomprehensiveincomerecognizedbytheoriginalequitymethodshallbecarriedforwardonthesamebasisastherelevantassetsorliabilitiesdirectlydisposedofbytheinvestedentityatthecorrespondingproportion,andthechangesinotherowners’equityshallbecarriedforwardtothecurrentprofitandlossonaproportionalbasis.Ifthejointcontrolorsignificantinfluenceontheinvestedentityislostduetothedisposalofequityinvestmentorotherreasons,othercomprehensiveincomeoftheoriginalequityinvestmentrecognizedbytheequitymethodshallbesubjecttoaccountingtreatmentthroughadoptingthebasisforthedirectdisposalofrelevantassetsordebtswhentheequitymethodisterminated.Otherchangesinowners’equitywillbetransferredtocurrentprofitandlosswhentheequitymethodisterminated.IftheCompanylosesitscontrolrightsovertheinvestedentityduetothedisposalofpartoftheequityinvestment,whenpreparingindividualfinancialstatement,incaseoftheresidualequitywithjointcontrolorsignificantinfluenceontheinvestedentity,theCompanyshallcalculateandadjusttheresidualequitywithequitymethodasuponobtaining.Othercomprehensiveincomerecognizedbeforetheacquisitionofthecontrolrightoftheinvestedentityshallbecarriedforwardproportionatelyonthesamebasisasthedirectdisposalofrelevantassetsorliabilitiesbytheinvestedentity,andotherchangesinowners’equityrecognizedbytheequitymethodshallbecarriedforwardproportionatelytothecurrentprofitandloss.Iftheresidualequitycannotexercisejointcontrolorexertsignificantinfluenceontheinvestedentity,itshallberecognizedasfinancialassets,thedifferencebetweenitsfairvalueandbookvalueonthedateoflossofcontrolshallbeincludedinthecurrentprofitandloss,andallothercomprehensiveincomeandotherchangesinowner’sequityrecognizedbeforeobtainingthecontrolrightoftheinvestedentityshallbecarriedforward.Ifthedealsfordisposalofthesubsidiary’sequityinvestmentbystepsthroughseveraltimesoftransactionuntilthelossofthecontrolrightbelongtoapackagedeal,thedealsshallbesubjecttoaccountingtreatmentasadealfordisposaloftheequityinvestmentinthesubsidiaryandlossofthecontrolright;thedifferencebetweeneachdisposalpriceandthebookvalueofthelong-termequityinvestmentcorrespondingtotheequitydisposedofbeforethelossofcontrolrightis,inindividualfinancialstatements,recognizedasothercomprehensiveincomeandthentransferredintothecurrentprofitandlossintheperiodoflossofcontrolright.Ifitdoesnotbelongtoapackagedeal,eachdealshallbeaccountedforseparately.
23.Investmentrealestates
MeasurementmodeofinvestmentrealestateCostmethodDepreciationoramortizationmethodInvestmentrealestatereferstorealestateheldforthepurposeofearningrentand/orcapitalappreciation,includingleasedlanduserights,landuserightsheldandpreparedfortransferafterappreciation,leasedbuildings(includingself-constructedbuildingsandthebuildingsthatareselfbuiltordevelopedforrentaftercompletionofactivities,aswellasthebuildingsthatareunderconstructionordevelopmentforfuturelease).Subsequentexpendituresrelatedtoinvestmentrealestatearerecognizedasinvestmentrealestatecostswhentherelatedeconomicbenefitsarelikelytoflowinandtheircostscanbereliablymeasured;Otherwise,itwillbeincludedinthecurrentprofitandlossatthetimeofoccurrence.TheexistinginvestmentrealestatearemeasuredbyourCompanythroughthecostmethod.Forinvestmentrealestatemeasuredthroughthecostmethod,buildingsforleaseisapplicabletothesamedepreciationpolicyastheCompany’sfixedassets,rightofusetheleasedlandisapplicabletothesameamortizationpolicyasintangibleassets.
24.Fixedassets
(1)Recognitionconditions
1.RecognitionandinitialmeasurementoffixedassetsThefixedassetsrefertothetangibleassetswhichareheldforproductionofgoods,provisionoflabor,leaseoroperatingmanagementandwhoseservicelifeexceedsafiscalyear.Thefixedassetscanberecognizedinthefollowingconditions:
(1)Theeconomicbenefitsrelatedtothefixedassetsarelikelytoflowtotheenterprise;
(2)Thecostofthefixedassetscanbereliablymeasured.Thefixedassetsareinitiallymeasuredaccordingtothecost(andtheinfluenceoftheexpecteddisposalcostfactors).Subsequentexpenditurerelatedtofixedassets,iftheeconomicbenefitsrelatedmayflowinandthecostcanbereliablymeasured,isincludedinthefixedassetcost;andthebookvalueofthereplacedpartisderecognized;allothersubsequentexpendituresarerecordedintocurrentprofitandlosswhenincurred.
(2)Depreciationmethod
| Class | Depreciationmethod | Expectedservicelife | Residualrate | Yearlydepreciation |
| Housesandbuilding | Straight-linedepreciation | 10-38years | 5.00%-10.00% | 2.37%-9.50% |
| Machineryequipment | Straight-linedepreciation | 2-15years | 5.00%-10.00% | 6.00%-47.50% |
| Transportationequipment | Straight-linedepreciation | 3-10years | 5.00%-10.00% | 9.00%-31.67% |
| Electronicequipmentandofficeequipment,etc. | Straight-linedepreciation | 2-10years | 5.00%-10.00% | 9.00%-47.5% |
N/A
25.Constructioninprogress
Theconstructioninprogressismeasuredaccordingtotheactualcostincurred.Actualcostsincludeconstructioncosts,installationcosts,borrowingcostseligibleforcapitalization,andotherexpensesnecessarytobringtheconstructioninprogresstoapredeterminedusablestate.Whentheconstructioninprogressreachestheintendedserviceablecondition.itistransferredintofixedassetsandbegintowithdrawthedepreciationsincethenextmonth.ThecriteriaandtimingfortransferringtheCompany’sconstruction-in-progresstofixedassetsareasfollows:
| Class | Criteriaandtimingforconversiontofixedassets |
| Housesandbuilding | (1)Themainconstructionprojectandsupportingprojectsaresubstantiallycompleted.(2)Theconstructionprojectmeetsthescheduleddesignrequirementsandundergoesinspectionandacceptancebysurvey,design,construction,supervision,fireprotection,andqualitysupervisionunits.(3)Theconstructionprojectreachestheintendedusablestate.Iffinalaccountsforcompletionarepending,itwillbetransferredtofixedassetsatanestimatedvaluebasedontheactualprojectcostfromthedateofachievingusability. |
| Machineryequipment | (1)Relevantequipmentandsupportingfacilitiesareinstalled.(2)Equipmentoperatesnormallyandstablyafterdebugging.(3)Productionequipmentconsistentlyyieldsqualifiedproducts.(4)Equipmentisacceptedbyassetmanagersanduserspost-inspection. |
26.Borrowingcosts
1.RecognitionprincipleofcapitalizationofborrowingcostsIftheborrowingcostsincurredbytheCompanycanbedirectlyattributedtothepurchase,constructionorproductionoftheassetseligibleforcapitalization,theyshallbecapitalizedandrecordedintothecostoftherelevantassets;otherborrowingcostsshallberecognizedasexpensesaccordingtotheamountincurredatthetimeofoccurrenceandshallberecordedintothecurrentprofitandloss.Assetsmeetingthecapitalizationconditionsrefertothefixedassets,investmentrealestate,inventoriesandotherassetswhichcanreachtheintendedusableormarketablestatusonlyafterquitealongtimeofconstructionorproductionactivities.
2.CapitalizationperiodofborrowingcostsCapitalizationperiodreferstotheperiodfromthetimepointatwhichborrowingcostsbegintobecapitalizedtothetimepointatwhichborrowingcostsceasetobecapitalized,excludingtheperiodduringwhichthecapitalizationofborrowingcostsissuspended.Capitalizationbeginswhenborrowingcostsmeetthefollowingconditions:
(1)Assetexpenditureshavebeenincurred,includingexpendituresincurredintheformofcashpayment,transferofnon-cashassetsorundertakinginterest-bearingliabilitiesforthepurchaseandconstructionoforproductionofassetseligibleforcapitalization;
(2)Borrowingcostshavebeenincurred;
(3)Thepurchase,constructionorproductionactivitieswhicharenecessarytopreparetheassetforitsintendeduseorsalehavestarted.Whenthepurchase,constructionorproductionofassetsthatmeetthecapitalizationconditionsreachthepredeterminedusableormarketablestate,thecapitalizationofborrowingcostsshallcease.
3.CapitalizationsuspensionperiodIftheassetsthatmeetthecapitalizationconditionsareabnormallyinterruptedintheprocessofpurchaseandconstructionorproduction,andtheinterruptionperiodismorethan3consecutivemonths,thecapitalizationofborrowingcostsshallbesuspended;iftheinterruptionisnecessaryforthepurchase,constructionorproductionoftheassetsthatmeetthecapitalizationconditionstoreachthepredeterminedusablestateormarketablestate,theborrowingcostsshallcontinuetobecapitalized.Theborrowingcostsincurredduringtheinterruptionperiodarerecognizedasthecurrentprofitandloss,untiltheborrowingcostscontinuetobecapitalizedafterthepurchaseandconstructionortheproductionactivitiesoftheassetsarerestarted.
4.CalculationmethodofcapitalizationrateandcapitalizationamountofborrowingcostsForthespecificborrowingforthepurchaseandconstructionorproductionofassetseligibleforcapitalization,thecapitalizationamountofborrowingcostsshallberecognizedbytheborrowingcostsactuallyoccurringinthecurrentperiodofspecificborrowing,minustheamountoftheinterestincomeobtainedbydepositingtheunusedborrowingfundsinthebankortheinvestmentincomeobtainedbymakingtemporaryinvestment.Forthegeneralborrowingoccupiedforthepurchase,constructionorproductionofassetsthatmeetthecapitalizationconditions,theamountofborrowingexpensestobecapitalizedforthegeneralborrowingshallbecalculatedandrecognizedaccordingtotheweightedaverageoftheaccumulatedassetexpenditureexceedingthespecificborrowingmultipliedbythecapitalizationrateofthegeneralborrowingoccupied.Thecapitalizationrateiscalculatedandrecognizedaccordingtotheweightedaverageeffectiveinterestrateofthegeneralborrowing.Duringthecapitalizationperiod,thedifferencebetweentheexchangeoftheprincipalandinterestofthespecificforeigncurrencyborrowingshallbecapitalizedandrecordedintothecostoftheassetseligibleforcapitalization.Theexchangedifferencearisingfromtheprincipalandinterestofforeigncurrencyborrowingsotherthanspecificforeigncurrencyborrowingisrecordedintothecurrentprofitandloss.
27.Biologicalassets
N/A
28.Oilandgasassets
N/A
29.Intangibleassets
(1)Determiningtheusefullifeanditsbasis,estimation,amortizationmethod,orreviewprocedure
1.Pricingmethodsforintangibleassets
(1)Theintangibleassetsareinitiallymeasuredaccordingtothecost;Thecostsofpurchasedintangibleassetsincludethepurchaseprice,relatedtaxesaswellasotherexpensesincurredtomaketheassetsreachtheintendedserviceableconditionsandattributabletotheassets.
(2)SubsequentmeasurementTheCompanyanalyzesandjudgestheusefullifeoftheintangibleassetswhenobtaining.TheintangibleassetswithlimitedusefullifeareamortizedwithintheperiodwhentheintangibleassetsbringeconomicbenefitstotheCompany;theintangibleassetsthatcannotbeexpectedtobringeconomicbenefitstotheCompanyaredeemedtohaveuncertainlifeandarenotamortized.
2.Estimationofusefullifeofintangibleassetswithlimitedlife
| Item | Expectedusefullife | Basisfordeterminingexpectedservicelife |
| Landuseright | 38-50years | Termofusespecifiedintheland-userightcertificate |
| Softwareuseright | 2-8years | Usefullifeestimatedbythemanagement |
| Trademarkright | 5-10years | Benefitperiodspecifiedinthecertificateoftrademarkuse |
| Patentright | 5-10years | Benefitperiodspecifiedinthecertificateofpatentuse |
| Franchiseduseright | 3 | Termofusestipulatedinthecontract |
| Clientrelations | 10 | Usefullifeestimatedbythemanagement |
3.BasisforjudgingintangibleassetswithuncertainservicelifeandtheproceduresforreviewingtheirservicelifeDuringthisreportingperiod,theCompanyhasnointangibleassetswithuncertainservicelife.
(2)CollectionscopeofR&Dexpendituresandrelatedaccountingtreatmentmethods
1.CollectionscopeofR&DexpendituresTheCompany’sR&DexpendituresaredirectlyassociatedwithitsR&Dactivities,coveringemployeesalariesofpersonnelengagedinR&D,directinputmaterialcosts,depreciationandamortizationexpenses,andotherrelevantexpenses.Theseexpendituresarecollectedasfollows:
RelevantEmployeeCompensation:ThisincludescompensationforpersonneldirectlyinvolvedinR&Dactivities,aswellasmanagementandservicepersonnelcloselylinkedtoR&Defforts.DirectlyInvestedMaterialCosts:ThiscategoryencompassesmaterialsdirectlyinvestedinR&Dactivities.DepreciationandAmortizationExpenses:TheseexpensespertaintothedepreciationoramortizationoffixedassetsorintangibleassetsutilizedforR&Dactivities.OtherExpenses:ThisincludesadditionalexpensessuchastravelexpensesforR&DpersonnelandtestingfeesdirectlyassociatedwiththeCompany’sR&Dactivities.
2.TheexpenditureoftheCompany’sinternalR&Dprojectsisclassifiedintotheexpenditureattheresearchstageandtheexpenditureatthedevelopmentstage.Researchstage:thestageoforiginal,plannedinvestigationandresearchactivitiestoacquireandunderstandnewscientificortechnicalknowledge,etc.Developmentstage:thestageinwhichresearchorotherknowledgeisappliedtoaplanordesigntoproduceneworsubstantiallyimprovedmaterials,devices,products,etc.,priortocommercialproductionoruse.
3.SpecificconditionsforthecapitalizationofexpendituresinthedevelopmentstageTheexpenditureattheresearchstageischargedtothecurrentprofitandlossinoccurrence.Theexpenditureatthedevelopmentstagecanberecognizedasintangibleassetsonlywhenmeetingthefollowingconditionsandchargedtothecurrentprofitandlossifnotmeetingthefollowingconditions:
1)Technicallyfeasibletocompletetheintangibleassets,sothattheycanbeusedorsold;
2)Itisintendedtofinishanduseorselltheintangibleassets;
3)Waysofintangibleassetstogenerateeconomicbenefits,includingthosecanprovethattheproductsgeneratedbytheintangibleassetscanbesoldortheintangibleassetsthemselvescanbesoldandprovethattheintangibleassetstobeusedinternallyareuseful;
4)Itisabletofinishthedevelopmentoftheintangibleassets,andabletouseorselltheintangibleassets,withthesupportofsufficienttechnologies,financialresourcesandotherresources;and
5)ThedevelopmentexpendituresoftheintangibleassetscanbereliablymeasuredIftheexpenditureattheresearchstageandtheexpenditureatthedevelopmentstagecannotbedistinguished,theR&Dexpenditureincurredisfullychargedtothecurrentprofitandloss.TheCompanyneedstocomplywiththedisclosurerequirementsofthe“MedicalDeviceBusiness”intheNo.4GuidelineofShenzhenStockExchangeforSelf-regulatoryofListedCompanies-InformationDisclosurebyGrowthEnterprises.
30.Long-termassetsimpairment
Long-termassetssuchaslong-termequityinvestmentpropertiesusing,fixedassets,constructioninprogress,right-of-useassets,intangibleassetswithlimitedservicelife,andoilandgasassets,whichshowsignsofimpairmentonthebalancesheetdate,shallbesubjecttoimpairmenttests.Iftheimpairmenttestresultsshowthatrecoverableamountoftheassetisbelowitsbookvalue,theprovisionforimpairmentiswithdrawnaccordingtothebalanceandchargedtotheimpairmentloss.Therecoverableamountisdeterminedaccordingtothehigherofthenetamountoftheassetsfairvaluesubtractedbythedisposalcostsandthepresentvalueoftheexpectedfuturecashflowoftheassets.Theprovisionforimpairmentofassetsiscalculatedandrecognizedonthebasisofsingleasset.TheCompanyrecognizestherecoverableamountoftheassetgroupbasedontheassetgrouptowhichtheassetbelongsiftherecoverableamountofthesingleassetisdifficulttoestimate.Anassetgroupisthesmallestgroupofassetsthatcangeneratecashinflowsindependently.Thegoodwillformedduetobusinesscombination,intangibleassetswithuncertainservicelifeandintangibleassetsthathavenotyetreachedtheusablestateshallbesubjecttoimpairmenttestatleastattheendofeachyearregardlessofwhethertherearesignsofimpairment.TheCompanyconductsthegoodwillimpairmenttests.Forthebookvalueofthegoodwillformedduetobusinesscombination,itshallbeapportionedtorelevantassetgroupbyareasonablemethodfromthedateofpurchase;ifitisdifficulttoapportiontotherelevantassetgroup,itshallbeapportionedtotherelevantassetgroupcombination.Therelevantassetgrouporassetgroupcombinationisanassetgrouporassetgroupcombinationthatcanbenefitfromthesynergiesofbusinesscombination.Whenconductingimpairmenttestontherelevantassetgrouporassetgroupcombinationcontaininggoodwill,iftherearesignsofimpairmentintheassetgrouporassetgroupcombinationrelatedtogoodwill,conductimpairmenttestontheassetgrouporassetgroupcombinationwithoutgoodwillatfirst,calculatetherecoverableamountandrecognizethecorrespondingimpairmentlosscomparedwiththerelevantbookvalue.Thenconductanimpairmenttestontheassetgrouporassetgroupcombinationcontaininggoodwilltocompareitsbookvaluewiththerecoverableamount.Iftherecoverableamountislessthanthebookvalue,theamountofimpairmentlossshallfirstoffsetthebookvalueofgoodwillamortizedtotheassetgrouporassetgroupcombination,andthenoffsetthebookvalueofotherassetsproportionallyaccordingtotheproportionofthebookvalueofassetsotherthangoodwillintheassetgrouporassetgroupcombination.Theaboveimpairmentlossofassetswillnotbereservedinsubsequentaccountingperiodsoncerecognized.
31.Long-termunamortizedexpenses
Long-termunamortizedexpensesrefertotheexpensesthathaveoccurredbutshallbeburdenedincurrentperiodandlaterperiodswiththeapportionmentperiodmorethanoneyear.Amortizationmethod:long-termunamortizedexpensesareamortizedonanaveragebasisoverthebenefitperiod.
32.Contractliabilities
TheCompanyliststhecontractualassetsorcontractualliabilitiesinthebalancesheetaccordingtotherelationshipbetweenperformanceobligationsandcustomerpayment.TheobligationsoftheCompanytotransfergoodsorprovideservicestocustomersforwhichconsiderationhasbeenreceivedorreceivablearelistedascontractualliabilities.Thecontractualassetsandcontractualliabilitiesunderthesamecontractarelistedinthenetamount.
33.Employeecompensation
(1)Short-termcompensationaccountingmethodTheCompanyrecognizestheshort-termcompensationincurredactuallyduringtheaccountingperiodwhentheemployeesprovideservicesfortheCompanyastheliabilitiesandincludesincurrentprofitsandlossesorrelatedassetcosts.ForthesocialinsurancepremiumsandhousingfundspaidbytheCompanyfortheemployeesaswellsasthelaborunionexpenditureandpersonneleducationfundwithdrawnaccordingtotheprovisions,thecorrespondingemployeecompensationamountisrecognizedaccordingtothestipulatedaccruingbasisandaccruingproportionduringtheaccountingperiodwhentheemployeesprovideservicesfortheCompany.TheemployeewelfareexpensesincurredbytheCompanyshallberecordedintothecurrentprofitandlossorrelevantassetcostaccordingtotheactualamountwhenactuallyincurred,andthenon-monetarywelfareshallbemeasuredatitsfairvalue.
(2)Post-employmentbenefitsaccountingmethod
(1)DefinedcontributionplanTheCompanypaysthebasicendowmentinsuranceandunemploymentinsurancefortheemployeesaccordingtorelevantprovisionsofthelocalgovernment,calculatestheamountpayableaccordingtolocalpaymentbaseandproportionintheaccountingperiodwhentheemployeesprovideservicesfortheCompany,recognizestheamountpayableastheliabilitiesandincludesincurrentprofitsandlossesorrelatedassetcosts.Inaddition,theCompanyhasalsoparticipatedinthecorporationpensionplan/supplementarypensioninsurancefundapprovedbytherelevantdepartmentsofthestate.TheCompanypaysthefeestothepensionplan/localsocialsecurityinstitutionaccordingtoacertainproportionofthetotalemployeewagesandincludescorrespondingexpensesincurrentprofitsandlossesorrelatedassetcosts.
(2)DefinedbenefitplanTheCompanyattributesthewelfareobligationsgeneratedfromthedefinedbenefitplantotheperiodwhentheemployeesprovideservicesbytheformularecognizedaccordingtotheexpectedcumulativewelfareunitmethodandincludesincurrentprofitsandlossesorrelatedassetcosts.Thedeficitorsurplusformedfromthepresentvalueofthedefinedbenefitplanobligationsubtractedbythefairvalueofthedefinedbenefitplanassetsisrecognizedasanetliabilityornetassetofthedefinedbenefitplan.Incaseofsurplusinthedefinedbenefitplan,theCompanymeasuresthenetassetsofthedefinedbenefitplanaccordingtothelowerofthesurplusandassetupperlimitsofthedefinedbenefitplan.Alldefinedbenefitplanobligations,includingtheobligationsforpaymentwithin12monthsaftertheendoftheexpectedannualreportingperiodinwhichtheemployeesprovideservices,arediscountedaccordingtothenationaldebtsmatchingthedefinedbenefitplanobligatorytermandcurrencyorthemarketreturnofthehigh-qualitycorporationbondsactiveinthemarketonthebalancesheetdate.Theservicecostsgeneratedfromthedefinedbenefitplanandthenetinterestofthenetliabilitiesornetassetsofthedefinedbenefitplanareincludedincurrentprofitsandlossesorrelatedassetcosts;thechangesfromre-measurementofthenetliabilitiesornetassetsofthedefinedbenefitplanareincludedinothercomprehensiveincomeandnotwrittenbacktotheprofitsandlossesinsubsequentaccountingperiod.Upontheterminationoftheoriginaldefinedbenefitplan,thepartoriginallyrecordedintoothercomprehensiveincomewithinthescopeofrightsandinterestsshallbecarriedforwardtoundistributedprofit.Inthesettlementofthedefinedbenefitplan,thesettlementprofitsorlossesarerecognizedaccordingtothebalancebetweenthepresentvalueofthedefinedbenefitplanobligationandthesettlementpricerecognizedonthesettlementdate.
(3)TerminationbenefitsaccountingmethodWhenprovidingdismissionwelfare,theCompanyshallrecognizetheemployeecompensationliabilitiesarisingfromthedismissionwelfareandrecorditinthecurrentprofitandlosswheneverisearlierbelow:whentheCompanyfailstounilaterallywithdrawthedismissionwelfareduetoterminationoflaborrelationplanordownsizingsuggestions;whentheCompanyrecognizesthecostsorexpensesrelatedtorestructuringinvolvingpaymentofdimissionwelfare.
(4)Otherlong-termemployeebenefitsaccountingmethod
34.EstimatedliabilitiesTheestimatedliabilitiesarerecognizedwhentheobligationrelatedtocontingenciesmeetsthefollowingconditionssimultaneously:
(1)TheobligationisthecurrentobligationundertakenbytheCompany;
(2)Performanceoftheobligationislikelytoleadtotheoutflowofeconomicbenefits;
(3)Theamountoftheobligationcanbereliablymeasured.Theestimatedliabilitiesareinitiallymeasuredatthebestestimateoftheexpenditurerequiredtoperformtherelevantcurrentobligations.Inrecognizingthebestestimate,factorssuchasrisk,uncertaintyandtimevalueofmoneyrelatedtocontingenciesaretakenintoaccount.Ifthetimevalueofmoneyhasasignificantimpact,thebestestimateisdeterminedbydiscountingtherelevantfuturecashoutflows.Ifthereisacontinuousrangeofexpenditurerequiredandtheprobabilityofvariousoutcomeswithinthisrangeisthesame,thebestestimateisrecognizedaccordingtothemiddlevaluewithinthisrange;inothercases,thebestestimatesarehandledasfollows:
?Whenacontingencyinvolvesasingleitem,thebestestimateisrecognizedbythemostpossibleamount.?Whenacontingencyinvolvesmorethanoneitem,thebestestimateisrecognizedaccordingtoavarietyofpossibleoutcomesandrelatedprobabilities.Whenallorsomeoftheexpensesnecessaryfortheliquidationofanestimatedliabilitiesisexpectedtobecompensatedbyathirdparty,thecompensationshallbeseparatelyrecognizedasanassetonlywhenitisvirtuallycertainthatthereimbursementwillbeobtained.Besides,theamountrecognizedforthereimbursementshallnotexceedthebookvalueoftheestimatedliabilities.TheCompanyreviewsthebookvalueoftheestimatedliabilitiesonthebalancesheetdate,andifthereisconclusiveevidencethatthebookvaluecannotreflectthecurrentbestestimate,itshalladjustthebookvalueaccordingtothecurrentbestestimate.
35.Share-basedpaymentTheCompany’sshare-basedpaymentreferstoatransactioninwhichtheCompanygrantsequityinstrumentsorundertakesequity-instrument-basedliabilitiesinreturnforservicesfromemployeeorotherparties.TheCompany’sshare-basedpaymentsshallconsistofequity-settledshare-basedpaymentsandcash-settledshare-basedpayments.
1.Equity-settledshare-basedpaymentsandequityinstrumentsWheretheequity-settledshare-basedpaymentisexchangedfortheservicesprovidedbytheemployee,itshallbemeasuredatthefairvalueoftheequityinstrumentgrantedtotheemployee.Forshare-basedpaymenttransactionswithexercisablerightsimmediatelyafterthegrant,itshallbeincludedintherelevantcostsorexpensesinaccordancewiththefairvalueoftheequityinstrumentonthegrantdate,andthecapitalreservesshallbeincreasedaccordingly.Fortheshare-basedpaymenttransactionwheretheservicewithinthewaitingperiodiscompletedafterthegrantorspecifiedperformanceconditionsaremet,oneverybalancesheetdateofthewaitingperiod,theCompanyshallincludetheserviceobtainedatthecurrentperiodintorelevantcostsorexpensesaccordingtothefairvalueofthegrantdateonthebasisofthebestestimateofthenumberofequityinstrumentswithexercisablerights,andincreasethecapitalreserveaccordingly.Ifthetermsoftheequity-settledshare-basedpaymentaremodified,theservicesacquiredarerecognizedatleastintermsoftheunmodifiedterms.Inaddition,anymodificationthatincreasesthefairvalueoftheequityinstrumentgranted,orthatisbeneficialtotheemployeeatthedateofmodification,recognizesanincreaseintheacquisitionofservices.Duringthewaitingperiod,ifthegrantedequityinstrumentiscanceled,theCompanywilltreatthecanceledequityinstrumentastheacceleratedexerciseofpower,andimmediatelyincludethebalancethatshallberecognizedintheremainingwaitingperiodintothecurrentprofitandloss,andsimultaneouslyconfirmthecapitalreserve.However,ifanewequityinstrumentisgrantedandthenewequityinstrumentgrantedisdeemedtobeareplacementforthecancelledequityinstrumentonthegrantdate,thegrantedreplacementequityinstrumentwillbehandledinthesamemannerasanyamendmenttothetermsandconditionsoftheoriginalequityinstrument.
2.Cash-settledshare-basedpaymentsandequityinstrumentThecash-settledshare-basedpaymentswillbemeasuredaccordingtothefairvalueoftheliabilityconfirmedbasingonthesharesbornebytheCompanyandotherequityinstruments.Forshare-basedpaymenttransactionswithexercisablerightsimmediatelyafterthegrant,theCompanyshallincludeitintherelevantcostsorexpensesinaccordancewiththefairvalueoftheequityinstrumentonthegrantdate,andtheliabilitiesshallbeincreasedaccordingly.Iftherightscanonlybeexercisedafterthesituationthatservicewithinthewaitingperiodiscompletedandsetperformanceisachieved,theserviceobtainedinthecurrentperiod,accordingtothefairvalueoftheliabilitiesbornebytheCompany,andbasingonthebestestimatefortheconditionofexercisingrights,willberecordedintorelevantcostsorexpensesoneachandeverybalancesheetdateduringthewaitingperiod,andcorrespondinglyrecordedintotheliabilities.Eachandeverybalancesheetdateandsettlementbeforerelevantliabilitysettlement,thefairvalueofliabilitywillberemeasured,ofwhichchangesoccurredwillbecountedintothecurrentperiod.IftheCompanymodifiesthetermsandconditionsofthecash-settledshare-basedpaymentagreementsettledincashtochangeittoequity-settledshare-basedpayment,onthedateofmodification(whetherduringorafterthewaitingperiod),theCompanywillmeasuretheequity-settledshare-basedpaymentaccordingtothecurrentfairvalueofthegrantedequityinstrument,andincludetheservicesacquiredinthecapitalreserve.Atthesametime,itshallterminatetherecognitionofliabilitiesrecognizedonthemodificationdateforthecash-settledshare-basedpayment,withthedifferencerecordedintothecurrentprofitandloss.Ifthewaitingperiodisextendedorshortenedduetothemodification,theCompanywillcarryoutaccountingtreatmentaccordingtothemodifiedwaitingperiod.
36.Preferredshares,perpetualbondsandotherfinancialinstruments
Atthetimeofinitialrecognition,theCompanyclassifiesthefinancialinstrumentoritscomponentsasafinancialasset,financialliabilityorequityinstrumentbasedonthetermsofthecontractandtheeconomicsubstancereflectedintheissuedpreferredstock/perpetualbond,andnotsolelyinlegalform.Incasethatthefinancialinstrumentsuchasperpetualbond/preferredstockissuedbytheCompanymeetoneofthefollowingconditions,it,inwholeorinpartthereof,isclassifiedasfinancialliabilitiesatthetimeofinitialrecognition:
(1)TherearecontractualobligationswhichtheCompanycannotunconditionallyavoidfulfillingbydeliveringcashorotherfinancialassets;
(2)Itcontainscontractualobligationsofdeliveringavariablenumberofitsownequityinstrumentsforsettlement;
(3)Itcontainsderivativeinstrument(suchasequitytransfer,etc.)thatissettledwithitsownequity,andsuchderivativeinstrumentdoesnotexchangeafixednumberofitsownequityinstrumentsforafixedamountofcashorotherfinancialassetsforsettlement;
(4)Therearecontractclausesthatmayindirectlyleadtocontractualobligations;
(5)Whentheissuerliquidates,theperpetualbondsareinthesameorderofliquidationastheordinarybondsandotherdebtsissuedbytheissuer.Incasethatthefinancialinstrumentsuchasperpetualbond/preferredstockissuedbytheCompanydoesnotmeetoneoftheaboveconditions,it,inwholeorinpartthereof,isclassifiedasequityinstrumentatthetimeofinitialrecognition.
37.Income
Accountingpoliciesforincomerecognitionandmeasurement
1.AccountingpoliciesforincomerecognitionandmeasurementTheCompanyhasfulfilleditscontractualobligationtorecognizeincomewhenthecustomeracquirescontroloftherelevantgoodsorservices.Obtainingcontroloftherelevantgoodsorservicesistheabilitytodominatetheuseofthegoodsorservicesandgainalmostalleconomicbenefitsfromthem.Ifthecontractcontainstwoormoreperformanceobligations,theCompanyshall,onthecommencementdateofthecontract,apportionthetransactionpricetoeachindividualperformanceobligationaccordingtotherelativeproportionoftheindividualsellingpriceofthegoodsorservicescommittedbyeachindividualperformanceobligation.TheCompany’sincomeshallbemeasuredaccordingtothetransactionpriceapportionedtoeachindividualperformanceobligation.
ThetransactionpricemeanstheamountofconsiderationthattheCompanyisexpectedtobeentitledtocollectforthetransferofgoodsorservicestothecustomer,excludingpaymentscollectedonbehalfofthirdpartiesandamountsexpectedtobereturnedtothecustomer.TheCompanydeterminesthetransactionpriceinaccordancewiththetermsofthecontractandincombinationwithitspastpractices,andindeterminingthetransactionprice,ittakesintoaccounttheimpactofvariableconsideration,materialfinancingelementsinthecontract,non-cashconsideration,considerationpayabletocustomersandotherfactors.TheCompanydeterminesthetransactionpriceincludingthevariableconsiderationbyanamountnotexceedingtheamountofaccumulatedrecognizedincomewhichishighlyunlikelytobemateriallyreversedwhentherelevantuncertaintyiseliminated.Ifthereisamaterialfinancingcomponentinthecontract,theCompanyshalldeterminethetransactionpricebasedontheamountpayableincashwhenthecustomeracquirescontrolofthegoodsorservices,andshallamortizethedifferencebetweenthetransactionpriceandthecontractconsiderationbytheeffectiveinterestmethodduringthecontractperiod.Ifoneofthefollowingconditionsissatisfied,itshallbedeemedtohaveperformeditsperformanceobligationwithinacertainperiodoftime;otherwise,itshallbedeemedtohaveperformeditsperformanceobligationatacertaintimepoint:
(1)ThecustomerobtainsandconsumestheeconomicbenefitsarisingfromtheCompany’sperformanceatthesametimeoftheCompany’sperformance.
(2)ThecustomercancontrolthegoodsunderconstructionduringtheCompany’sperformance.
(3)ThegoodsproducedbytheCompanyduringtheperformanceareofirreplaceableuse,andtheCompanyshallbeentitledtoreceivepaymentfortheaccumulatedpartoftheperformancecompletedsofarduringthewholecontractperiod.Fortheperformanceobligationsperformedwithinacertainperiodoftime,theCompanyshallrecognizetheincomeinaccordancewiththeperformanceprogressduringthatperiod,exceptwheretheperformanceprogresscannotbereasonablydetermined.Takingintoaccountthenatureofthegoodsorservices,theCompanywillusetheoutputmethodorinputmethodtodeterminetheperformanceschedule.Iftheperformanceschedulecannotbereasonablydeterminedandthecostalreadyincurredisexpectedtobecompensated,theCompanyshallrecognizetheincomeaccordingtothecostalreadyincurreduntiltheperformanceschedulecanbereasonablydetermined.Forperformanceobligationsperformedatacertaintimepoint,theCompanyrecognizesincomeatthetimepointwhenthecustomeracquirescontroloftherelevantgoodsorservices.Indeterminingwhetherthecustomerhasacquiredcontrolofgoodsorservices,theCompanyconsidersthefollowingindications:
(1)TheCompanyhasthecurrentcollectionrightforthegoodsorservices,thatis,thecustomerhasthecurrentpaymentobligationforthegoodsorservices.
(2)TheCompanyhastransferredlegalownershiptothegoodstothecustomer,thatis,thecustomerhaslegalownershipofthegoods.
(3)TheCompanyhasphysicallytransferredthegoodstothecustomer,thatis,thecustomerhasphysicallypossessedthegoods.
(4)TheCompanyhastransferredthemainriskandremunerationintheownershipofthegoodstothecustomer,thatis,thecustomerhasacquiredthemainriskandremunerationintheownershipofthegoods.
(5)Thecustomerhasacceptedthegoodsorservices,etc.TheCompanydeterminesitsroleasprincipaloragentintransactionsbasedonwhetheritexercisescontroloverthegoodsorservicesbeforetransferringthemtothecustomer.IftheCompanyhascontroloverthegoodsorservicespriortotransfer,itactsastheprincipalandrecognizesrevenuebasedonthetotalconsiderationreceivedorreceivable.Conversely,iftheCompanylackscontroloverthegoodsorservicesbeforetransfer,itactsastheagentandrecognizesrevenueintheformofcommissionsorfeesaccordingtoexpectations.Specificprinciplesofrecognitionofincomefromsellinggoods:
(1)Generalforeignsales:recognizetheincomeaftercommodityinspection,customsdeclarationandshipmentofgoods(theCompany’sexportincomesettlementmainlyadoptsFOBandCIFmethods.Foraverysmallnumberofothersettlementmethods,suchasforthoseadoptingEXWterms,thebuyerdesignatescarrierdoor-to-doordeliveryasthetimepointofrecognitionofproductsalesrevenue;forthoseadoptingFCAterms,thedeliveryofproductstothecarrierdesignatedbythebuyershallbethetimepointofrecognitionofproductsalesrevenue;forthoseadoptingtheDDP/DDUterms,thedeliveryofproductstothedestinationdesignatedbythebuyershallbethetimepointofrecognitionofproductsalesrevenue).
(2)Generaldomesticsales:therecognitiontimeofsalesrevenueisbasedonthecustomer’sconfirmationofreceipt(thatis,theincomeisrecognizedafterthecustomersignsforthereceipt,butifthecontractstipulatesthatacceptanceisneeded,theincomewillberecognizedafteracceptancebythecustomer).
(3)E-commercebusiness(B2C):therecognitiontimeofsalesrevenueisbasedonthecustomer’sconfirmationofthe
completionofthetransaction(i.e.,theincomeisrecognizedwhenthecustomerinitiativelyconfirmsreceiptofthegoodsonthee-commerceplatformandwhenthee-commerceplatformautomaticallyconfirmsreceiptofthegoodswithinacertainperiodoftimeafterdelivery,whicheverisearlier).
(4)Storesalesmodel:salesrevenueisrecognizedaccordingtosettlementtimeandprice(thatis,theincomeisrecognizedafterthestoresalespersonreceivespaymentanddeliversthegoodstothecustomer).
(5)Consignmentmode:theCompanydeliversthegoodstotheplacedesignatedbytheagent,andrecognizestheincomeafterreceivingthesaleslistandcheckingitaccordingtothetimeofreconciliationagreedinthecontract.Confirmationandmeasurementmethodfordifferencesinincomerecognitionaccountingpoliciescausedbydifferentbusinessmodesforthesamebusiness
38.Contractcost
Contractcostincludesthecontractperformancecostandthecontractacquisitioncost.IfthecostincurredbytheCompanyfortheperformanceofthecontractisnotwithinthescopeofrelevantstandardsforinventory,fixedassetsorintangibleassets,itshallberecognizedasanassetasacontractperformancecostwhenthefollowingconditionsaremet:
1.Thecostisdirectlyrelatedtoacurrentoranticipatedcontract.
2.ThecostincreasestheCompany’sfutureresourcestomeetitsperformanceobligations.
3.Thecostisexpectedtoberecoverable.IftheCompanyisexpectedtorecovertheincrementalcostincurredinacquiringthecontract,itshallberecognizedasanassetasthecontractacquisitioncost.Assetsrelatedtocontractcostsareamortizedonthesamebasisasincomerecognitionofgoodsorservicesrelatedtotheasset;however,iftheamortizationperiodofthecontractacquisitioncostislessthanoneyear,theCompanyshallrecorditintothecurrentprofitandlosswhenitisincurred.Ifthebookvalueofanassetrelatedtothecontractcostishigherthanthedifferencebetweenthefollowingtwoitems,theCompanyshalldrawanimpairmentprovisionfortheexcessportionandrecognizeitastheassetsimpairmentloss:
1.Remainingconsiderationexpectedtobeobtainedasaresultofthetransferofthegoodsorservicesrelatedtotheasset;
2.Thecostsisestimatedandtobeincurredforthetransferoftherelevantgoodsorservices.Ifthefactorsofimpairmentinthepreviousperiodchangesothatthedifferenceaboveishigherthanthebookvalueoftheasset,theCompanyshallreversethewithdrawnimpairmentprovisionandincludeitintothecurrentprofitandloss,butthebookvalueofthereversedassetshallnotexceedthebookvalueofsuchassetonthereversaldateiftheimpairmentprovisionisnotwithdrawn.
39.Governmentsubsidies
1.TypeGovernmentsubsidiesrefertothemonetaryassetsornon-monetaryassetsobtainedfreeofchargebytheCompanyfromthegovernment,andareclassifiedintoassetrelatedgovernmentsubsidiesandtheincomerelatedgovernmentsubsidies.GovernmentsubsidiesrelatedtoassetsrefertothegovernmentsubsidiesobtainedbytheCompanyforthepurchaseandconstructionoflong-termassetsortheformationoflong-termassetsbyothermeans.Governmentsubsidiesrelatedtoincomerefertogovernmentsubsidiesinadditiontogovernmentsubsidiesrelatedtoassets.TheCompany’sclassifyinggovernmentsubsidiesasrelatedtoassetsissubjecttothefollowingspecificcriteria:thegovernmentdocumentsclearlystipulatetheuseoffunds,andtheexpectedusedirectionofthefundsisexpectedtoformrelatedassets;TheCompany’sclassifyinggovernmentsubsidiesasrelatedtoincomeissubjecttothefollowingspecificcriteria:thegovernmentdocumentsdonotstipulatetheusepurpose,andtheexpectedusedirectionofthefundsistosupplementworkingcapital;
Ifthesubsidyobjectisnotclearlyspecifiedinthegovernmentdocuments,thejudgmentbasisfortheCompanytoclassifythegovernmentsubsidyasrelatedtoassetsorrelatedtoincomeisasfollows:exceptthattheCompanydesignatesitspurposeasrelatedtoassets,itwillbeincludedinthecurrentprofitandloss.
2.RecognitiontimepointGovernmentsubsidieswillberecognizedwhentheconditionsattachedtothemaremetandreceivedbytheCompany.
3.AccountingtreatmentThegovernmentsubsidiesrelatedtoassetswritedownthebookvalueoftherelevantassetsorisrecognizedasdeferredincome.Ifitisrecognizedasdeferredincome,itshallberecordedintothecurrentprofitandlossbystagesinaccordancewithreasonableandsystematicmethodsduringtheservicelifeoftherelevantassets(ifitisrelatedtothedailyactivitiesoftheCompany,itshallberecordedintootherincome;thosenotrelatedtothedailyactivitiesoftheCompanyshallbeincludedinnon-revenue);IfthegovernmentsubsidyrelatedtotheincomeisusedtocompensatetheCompany’srelatedcosts,expensesorlossesinthefollowingperiod,itshallberecognizedasdeferredincomeandrecordedintothecurrentprofitandlossduringtheperiodofrecognitionoftherelevantcosts,expensesorlosses(ifitisrelatedtotheCompany’sdailyactivities,itshallberecordedintootherincome;ifitisnotrelatedtothedailyactivitiesoftheCompany,itshallbeincludedinnon-operatingincome)orwritedownrelevantcosts,expensesorlosses;thoseusedtocompensatetherelevantcosts,expensesorlossesincurredbytheCompanyshallbedirectlyrecordedintothecurrentprofitandloss(ifitisrelatedtothedailyactivitiesoftheCompanyshallberecordedintootherincome;ifitisnotrelatedtothedailyactivitiesoftheCompany,itshallbeincludedinnon-operatingincomeorwritedownrelevantcosts,expensesorlosses.Theinterestsubsidyonpolicy-basedpreferentialloansobtainedbytheCompanyshallbeaccountedforunderthefollowingtwoconditions:
(1)Ifthefinancedepartmentallocatestheinterestsubsidyfundtothelendingbank,andthelendingbankprovidestheloantotheCompanyatthepolicy-basedpreferentialinterestrate,theCompanyshalltaketheloanamountactuallyreceivedastheentryvalueoftheborrowing,andcalculatetherelevantborrowingcostinaccordancewiththeloanprincipalandthepolicy-basedpreferentialinterestrate.
(2)IfthefinancedepartmentallocatestheinterestsubsidyfunddirectlytotheCompany,theCompanywilloffsetthecorrespondinginterestsubsidyagainsttherelatedborrowingcosts.
40.Deferredincometaxassetsanddeferredincometaxliabilities
Theincometaxincludescurrentincometaxanddeferredincometax.Exceptfortheincometaxarisingfromthebusinesscombinationandthetransactionoritemdirectlybookedintotheowners’equity(includingothercomprehensiveincome),theCompanywillrecordthecurrentincometaxanddeferredincometaxintothecurrentprofitandloss.Deferredincometaxassetsanddeferredincometaxliabilitiesshallbecalculatedandrecognizedonthebasisofthedifference(temporarydifference)betweenthetaxbasisoftheassetsandliabilitiesandtheirbookvalue.Forthedeferredincometaxassetsrecognizedthroughdeductibletemporarydifference,itislimitedtotheamountoftaxableincomewhichislikelytobeobtainedtooffsetthedeductibletemporarydifferenceinthefutureperiod.Forthedeductiblelossandtaxdeductionthatcanbecarriedforwardtothesubsequentyear,thecorrespondingdeferredincometaxassetsarerecognizedwithinthelimitofthefuturetaxableincomeamountthatispossiblyobtainedtodeductthedeductiblelossandtaxdeduction.Fortaxabletemporarydifferences,exceptinspecialcircumstances,thedeferredincometaxliabilityisrecognized.Specialcircumstancesinwhichdeferredincometaxassetsordeferredincometaxliabilitiesarenotrecognizedinclude:
1.Initialrecognitionofgoodwill;
2.Transactionsoreventsthatareneitherabusinesscombinationnoraffectaccountingprofitandtaxableincome(ordeductiblelosses)atthetimeofoccurrence,andtheinitialrecognitionofassetsandliabilitiesdoesnotresultinequalamountsoftaxabletemporarydifferencesanddeductibletemporarydifferences.
Forthetaxabletemporarydifferencerelatedtotheinvestmentofthesubsidiaries,associatedenterprisesandjointventures,relevantdeferredincometaxliabilitiesarenotrecognized,unlesstheCompanycancontrolthetemporarydifferencewrite-backtimeandthetemporarydifferencewillprobablynotbewrittenbackintheforeseeablefuture.Forthedeductibletemporarydifferencerelatedtotheinvestmentofthesubsidiaries,jointventuresandcooperativeenterprises,deferredincometaxassetsarerecognizedwhenitislikelytowritebackthetemporarydifferenceintheforeseeablefutureortoobtaintheincometaxpayableusedtooffsetthedeductibletemporarydifferenceinthefuture.Thedeferredincometaxassetsanddeferredincometaxliabilitiesaremeasuredonthebalancesheetdateaccordingtothetaxlawandtheapplicabletaxrateintheperiodofexpectedrecoveryofrelevantassetsofliquidationofrelevantliabilities.Onthebalancesheetdate,theCompanyreviewsthebookvalueofthedeferredincometaxassets.Ifitislikelynottoobtainsufficientincometaxpayabletodeducttheinterestsofthedeferredincometaxassetsinthefuture,thebookvalueofthedeferredincometaxassetsiswrittendown.Ifitislikelytoobtainsufficientincometaxpayable,theamountwrittendowniswrittenback.WhentheCompanyhasthelegalrighttosettlewithnetamountandintendstosettlewithnetamountorobtaintheassetsandliquidatetheliabilitiessimultaneously,theincometaxassetsandincometaxliabilitiesinthecurrentperiodarepresentedbythenetamountafteroffset.Onthebalancesheetdate,thedeferredincometaxassetsanddeferredincometaxliabilitiesarelistedinnetamountafteroffsetwhenbothofthefollowingconditionsaremet:
1.Thetaxpayerhasthelegalrighttosettlethecurrentincometaxassetsandcurrentincometaxliabilitiesonanetbasis;
2.Thedeferredincometaxassetsanddeferredincometaxliabilitiesarerelatedtotheincometaxleviedbythesametaxcollectionandmanagementdepartmentfromthesamesubjectoftaxpaymentorfromdifferentsubjectsoftaxpaymentbutthesubjectoftaxpaymentinvolvedintendstosettlethecurrentincometaxassetsandliabilitieswiththenetamountorobtaintheassetsandliquidatetheliabilitiessimultaneouslyineachfutureimportantperiodwhenthedeferredincometaxassetsandliabilitiesarewrittenback.
41.Leased
(1)LeaseaccountingforlesseesLeasereferstoacontractinwhichthelessortransferstherighttousetheassettothelesseewithinacertainperiodoftimetoforconsideration.Onthecommencementdateofthecontract,theCompanyassesseswhetherthecontractisaleaseorcontainsalease.Ifapartytothecontracttransferstherighttocontroltheuseofoneormoreidentifiedassetswithinacertainperiodinexchangeforconsideration,thecontractisaleaseorcontainsalease.Ifacontractcontainsseveralseparateleasesinformation,theCompanywillsplitthecontractandconductaccountingtreatmentforeachoftheseparateleases.Whenacontractcontainsbothleaseandnon-leaseinformation,thelesseeandthelessorshallseparateleaseinformationfromandnon-leaseinformation.
1.TheCompanyactsasthelessee:
(1)Right-of-useassetsOnthecommencementdateoftheleaseperiod,theCompanyrecognizesright-of-useassetsforleasesotherthanshort-termleasesandleasesoflow-valueassets.Theright-of-useassetsisinitiallymeasuredatcost.Thecostincludes:
1)Theinitialmeasurementamountoftheleaseliabilities;
2)Ifthereisaleaseincentivefortheleasepaymentpaidonorbeforethestartoftheleaseterm,theamountofthegrantedleaseincentiveshallbededucted;
3)TheinitialdirectexpensesincurredbytheCompany;
4)CostsexpectedtobeincurredbytheCompanytodisassembleandremovealeasedasset,restorethesitewheretheleasedassetislocated,orrestoretheleasedassettotheconditionagreeduponunderthetermsofthelease(excludingcostsincurredtoproduceinventory).
TheCompanysubsequentlywithdrawsdepreciationofright-of-useassetswiththestraight-linemethod.Whereitcanbereasonablydeterminedthattheownershipoftheleasedassetscanbeacquiredupontheexpirationoftheleaseterm,depreciationshallbecalculatedandwithdrawnbytheCompanywithintheservicelifeoftheleasedassets;Otherwise,thedepreciationshallbecalculatedandwithdrawnwithinashorterperiodoftheleasetermandtheservicelifeoftheleasedassets.TheCompanydetermineswhethertheright-of-useassethasbeenimpairedinaccordancewiththeprinciplesdescribedinNote“V.SignificantAccountingPoliciesandAccountingEstimates,30.Long-termassetsimpairment”,andconductsaccountingtreatmentfortheidentifiedimpairmentlosses.
(2)LeaseliabilitiesOnthecommencementdateoftheleaseperiod,theCompanyrecognizesleaseliabilitiesforleasesotherthanshort-termleasesandleasesoflow-valueassets.Leaseliabilitiesareinitiallymeasuredatthepresentvalueofoutstandingleasepayments.Leasepaymentsinclude:
1)Fixedpayments(includingactualfixedpayments),ifthereisleaseincentive,therelevantamountofleaseincentiveshallbededucted;
2)Variableleasepaymentsthatdependonanindexorrate;
3)TheamountestimatedtobepaidbasedontheresidualvalueoftheguaranteeprovidedbytheCompany;
4)Theexercisepriceofthepurchaseoption,providedthattheCompanyreasonablydeterminesthattheoptionwillbeexercised;
5)Theamounttobepaidtoexercisetheoptiontoterminatethelease,providedthattheleasetermreflectsthattheCompanywillexercisetheoptiontoterminatethelease.TheCompanyadoptstheinterestrateimplicitintheleaseasthediscountrate.However,iftheinterestrateimplicitintheleasecannotbereasonablydetermined,theincrementalborrowinginterestrateoftheCompanywillbeadoptedasthediscountrate.TheCompanycalculatestheinterestexpenseoftheleaseliabilityduringeachperiodoftheleasetermatafixedperiodicrate,andincludesitinthecurrentprofitandlossorthecostofrelatedassets.Variableleasepaymentsthatarenotincludedinthemeasurementoftheleaseliabilitiesshallbeincludedincurrentprofitorlossorthecostoftherelatedassetwhentheyareactuallyincurred.Afterthecommencementdateoftheleaseterm,incaseofthefollowingcircumstances,theCompanyshallremeasuretheleaseliabilitiesandadjustthecorrespondingright-of-useassets.Ifthebookvalueoftheright-of-useassetshasbeenreducedtozero,buttheleaseliabilitiesstillneedtobefurtherreduced,thedifferenceshallbeincludedinthecurrentprofitandloss:
1)Incaseofanychangeintheappraisalresultsofthepurchaseoption,leaserenewaloptionorterminationoption,ortheactualexerciseoftheaforementionedoptionsisinconsistentwiththeoriginalappraisalresult,theCompanyshallremeasuretheleaseliabilityaccordingtothepresentvaluewhichiscalculatedbasedonthechangedleasepaymentandthereviseddiscountrate;
2)Incaseofanychangeinsubstantialfixedpayment,theestimatedpayableamountoftheresidualvalueoftheguarantee,ortheindexorratiousedtodeterminetheleasepayment,theCompanyshallremeasuretheleaseliabilityaccordingtothepresentvaluewhichiscalculatedbasedonthechangedleasepaymentandthereviseddiscountrate.However,wherethechangesinleasepaymentresultsfromthechangeinfloatinginterestrate,areviseddiscountratewillbeusedforcalculationofthepresentvalue.
(3)Short-termleasesandlow-valueassetleasesTheCompanychoosesnottorecognizeright-of-useassetsandleaseliabilitiesforshort-termleasesandlow-valueassetleases,andincludestherelevantleasepaymentsinthecurrentprofitandlossorrelatedassetcostsonastraight-linebasisovereachperiodoftheleaseterm.Short-termleasesrefertotheleaseswithaleasetermofnotmorethan12monthsandexcludingpurchaseoptionsonthecommencementdateoftheleaseterm.Low-valueassetleasesreferstotheleaseswithalowervaluewhenthesingleleasedassetisanewasset.WheretheCompanysubleasesorexpectstosubleasetheleasedassets,theoriginalleasewillnotbealow-valueassetlease.
(4)LeasechangesIncaseofanyleasechangesthatmeetthefollowingconditions,theCompanyshalltreattheleasechangeasaseparateleaseforaccountingtreatment:
1)Theleasechangeexpandstheleasescopebyaddingtherighttouseoneormoreleasedassets;
2)Theincreasedconsiderationisequivalenttotheamountoftheseparatepriceoftheexpandedpartoftheleaseuponadjustmentbasedonthecontract.Iftheleasechangeisnotaccountedforasaseparatelease,ontheeffectivedateoftheleasechange,theCompanyshallreallocatetheconsiderationofthecontractafterthechange,redeterminetheleaseterm,andremeasuretheleaseliabilityaccordingtothepresentvaluewhichiscalculatedbasedonthechangedleasepaymentandthereviseddiscountrate.Iftheleasechangeleadstothenarrowingoftheleasescopeortheshorteningoftheleaseterm,theCompanyshallreducethebookvalueoftheright-of-useassetaccordingly,andcredittherelevantgainsorlossesonpartialorcompleteterminationoftheleaseintothecurrentprofitandloss.Ifotherleasechangesresultinre-measurementofleaseliabilities,theCompanyshalladjustthebookvalueoftheright-of-useassetaccordingly.
(2)LeaseaccountingforlessorsTheCompanyclassifiesleasesasfinanceleasesandoperatingleasesatthecommencementdateoftheleaseterm.Financeleasesreferstotheleaseswherealmostallrisksandrewardsrelatedtotheownershipofleasedassetshavebeensubstantivelytransferredregardlessofwhethertheownershipiseventuallytransferredornot.Operatingleasesrefertoleasesotherthanfinancialleases.WhentheCompanyactsasasubleaselessor,subleaseclassificationwillbemadebasedontheright-of-useassetarisingfromtheoriginallease.
(1)AccountingforoperatingleaseTheleasereceiptsfromoperatingleasearerecognizedasrentalincomeonastraight-linebasisovereachperiodoftheleaseterm.TheCompanycapitalizestheinitialdirectexpensesincurredinrelationtooperatingleases,whichareamortizedandincludedinthecurrentprofitandlossonthesamebasisastherentalincomeisrecognizedduringtheleaseterm.Thevariableleasepaymentsnotcreditedintoleasereceiptsshallbeincludedintocurrentprofitorlossorwhentheyareactuallyincurred.Incaseofanychangeintheoperatinglease,theCompanyshalltreatitasanewleaseforaccountingtreatmentfromtheeffectivedateofthechange,andtheadvancereceiptsorleasereceivablesrelatedtotheleasebeforethechangeshallbedeemedtobetheamountreceivedforthenewlease.
(2)AccountingforfinanceleaseOnthecommencementdateoftheleaseterm,theCompanyrecognizesfinanceleasereceivablesforfinanceleasesandterminatestherecognitionofthefinanceleaseassets.WhentheCompanyinitiallymeasuresthefinanceleasereceivables,thenetleaseinvestmentisregardedastheentryvalueofthefinanceleasereceivables.Thenetleaseinvestmentisthesumoftheunguaranteedresidualvalueandthepresentvalueoftheleasereceiptsthathavenotbeenreceivedatthecommencementdateofthelease,discountedattheinterestrateimplicitinthelease.TheCompanycalculatesandrecognizestheinterestincomeduringeachperiodoftheleasetermatafixedperiodicrate.ThederecognitionandimpairmentoffinanceleasereceivablesshallbeaccountedforinaccordancewithNote“V.SignificantAccountingPoliciesandAccountingEstimates,11.Financialinstruments”.Thevariableleasepaymentsthatarenotincludedinthemeasurementofnetleaseinvestmentshallbeincludedincurrentprofitorlossorwhentheyareactuallyincurred.Incaseofanychangestofinanceleasethatmeetthefollowingconditions,theCompanyshalltreatthechangeasaseparateleaseforaccountingtreatment:
1)Thechangeexpandstheleasescopebyaddingtherighttouseoneormoreleasedassets;
2)Theincreasedconsiderationisequivalenttotheamountoftheseparatepriceoftheexpandedpartoftheleaseuponadjustmentbasedonthecontract.Incasethatthechangeofafinancialleaseisnotaccountedforasaseparatelease,theCompanyshalldealwiththechangedleaseunderthefollowingcircumstances:
1)Ifthechangetakeseffectonthecommencementdateoftheleaseterm,andtheleaseisclassifiedasanoperatinglease,theCompanywillaccountforitasanewleasefromtheeffectivedateoftheleasechange,andtakethenetleaseinvestmentbeforetheeffectivedateoftheleasechangeasthebookvalueoftheleasedasset;
2)Ifthechangetakeseffectonthecommencementdateoftheleaseterm,andtheleaseisclassifiedasafinanciallease,theCompanywillconductaccountingtreatmentaccordingtothepolicyinNote“V.SignificantAccountingPoliciesandAccountingEstimates,11.Financialinstruments”regardingthemodificationorrenegotiationofcontracts.
42.Othersignificantaccountingpolicyandaccountingestimate
1.Hedgeaccounting
(1).Classificationofhedging
1)Afairvaluehedgereferstoahedgeofthefairvaluechangeriskofanassetorliabilitythathasbeenrecognizedandacertaincommitmentthathasnotbeenrecognized(exceptforeignexchangerisk).
2)Acashflowhedgereferstoahedgeoftheriskofchangesincashflowarisingfromaparticulartypeofriskrelatingtoarecognizedassetorliability,ananticipatedtransactionthatislikelytooccur,ortheforeignexchangeriskcontainedinanunrecognizedfirmcommitment
3)Ahedgeofnetinvestmentinoverseasoperationsreferstoahedgeofforeignexchangerisksofnetinvestmentofoverseasoperations.Netinvestmentinoverseasoperationsreferstotheequityshareoftheenterpriseinthenetassetsofoverseasoperations.
(2).DesignationofhedgingrelationshipandidentificationofhedgingeffectivenessAtthebeginningofthehedgingrelationship,theCompanyhasaformaldesignationofthehedgingrelationshipandhaspreparedformalwrittendocumentsonthehedgingrelationship,riskmanagementobjectivesandhedgingstrategies.Thedocumentsspecifythenatureandquantityofthehedginginstrument,thenatureandquantityofthehedgeditems,thenatureofthehedgedrisk,typeofhedging,andtheCompany’sevaluationoftheeffectivenessofthehedginginstrument.Hedgingeffectivenessreferstothedegreetowhichthechangeinthefairvalueorcashflowofthehedginginstrumentcanoffsetthechangeinthefairvalueorcashflowofthehedgeditemcausedbythehedgedrisk.TheCompanycontinuouslyevaluatestheeffectivenessofhedgingandjudgeswhetherthehedgingmeetstherequirementsofhedgingaccountingforeffectivenessduringtheaccountingperiodinwhichthehedgingrelationshipisdesignated.Ifitisnotsatisfied,thehedgingrelationshipshallbeterminated.Theapplicationofhedgeaccountingshallmeetthefollowingrequirementsfortheeffectivenessofhedging:
1)Thereisaneconomicrelationshipbetweenthehedgeditemandthehedginginstrument.
2)Inthevaluechangescausedbytheeconomicrelationshipbetweenthehedgeditemandthehedginginstrument,theinfluenceofcreditriskdoesnotplayadominantrole.
3)Adoptingtheappropriatehedgeratiowillnotcausetheimbalancebetweentherelativeweightofthehedgeditemandthehedginginstrument,thusgeneratingaccountingresultsinconsistentwiththehedgeaccountingobjectives.Ifthehedgeratioisnolongerappropriate,butthehedgingriskmanagementobjectiveshavenotchanged,thenumberofhedgeditemsorhedginginstrumentsshallbeadjustedtomakethehedgeratiomeettherequirementsofeffectivenessagain.
(3).Hedgeaccountingtreatmentmethods
1)FairvaluehedgingChangesinthefairvalueofhedgederivativeinstrumentsarerecordedinthecurrentprofitandloss.Changesformedbythefairvalueofthehedgeditemduetothehedgingriskshallbeincludedinthecurrentprofitandloss,andthebookvalueofthehedgeditemshallbeadjustedsimultaneously.Forfairvaluehedgingrelatedtofinancialinstrumentsmeasuredatamortizedcost,theadjustmentstothebookvalueofthehedgeditemareamortizedduringtheremainingperiodbetweentheadjustmenttotheduedateandrecordedinthecurrentprofitandloss.Amortizationundertheeffectiveinterestratemethodmaycommenceimmediatelyafterthebookvalueadjustmentandshallnotbelaterthantheadjustmentoffairvaluechangesintheterminationofhedgingrisksbythehedgeditem.Ifthehedgeditemisterminated,theunamortizedfairvalueisrecognizedasthecurrentprofitandloss.Wherethehedgeditemisafirmcommitmentthathasnotbeenrecognized,theaccumulativechangeinthefairvalueofthefirmcommitmentcausedbythehedgingriskisrecognizedasanassetorliability,andtherelevantgainsorlossesarerecordedintothecurrentprofitsandlosses.Changesinthefairvalueofhedginginstrumentsarealsorecordedinthecurrentprofitandloss.
2)Cashflowhedging
Thepartofthegainorlossofthehedginginstrumentthatbelongstotheeffectivehedgingshallbedirectlyrecognizedasothercomprehensiveincome,whilethepartthatbelongstotheinvalidhedgingshallberecordedintothecurrentprofitandloss.Ifthehedgedtransactionaffectsthecurrentprofitandloss,suchaswhenthehedgedfinancialincomeorfinancialexpenseisrecognizedorwhentheexpectedsaleoccurs,theamountrecognizedinothercomprehensiveincomewillbetransferredtothecurrentprofitandloss.Ifahedgeditemisthecostofanon-financialassetornon-financialliability,theamountoriginallyrecognizedinothercomprehensiveincomeamountistransferredoutandrecordedintotheamountofinitialrecognitionofthenon-financialassetornon-financialliability(ortheamountoriginallyrecognizedinothercomprehensiveincomeistransferredoutduringthesameperiodasthenon-financialassetornon-financialliabilityaffectingtheprofitandloss,andrecordedintothecurrentprofitandloss).Iftheexpectedtransactionorfirmcommitmentisnotexpectedtooccur,theaccumulatedgainsorlossesofthehedginginstrumentpreviouslyrecordedinothercomprehensiveincomearetransferredoutandrecordedinthecurrentprofitandloss.Ifthehedginginstrumenthasexpired,beensold,thecontractterminatedorexercised(butnotreplacedorrenewed),orthedesignationofthehedgingrelationshipiswithdrawn,theamountpreviouslyrecordedinothercomprehensiveincomeisnottransferredoutuntiltheanticipatedtransactionorfirmcommitmentaffectsthecurrentprofitorloss.
3)HedgingofnetinvestmentinoverseasoperationsThehedgingofnetinvestmentinoverseasoperations,includingthehedgingofmonetaryitemsthatarepartofthenetinvestment,shallbetreatedsimilarlytothecashflowhedging.Inthegainorlossofthehedginginstrument,thepartthatisrecognizedaseffectivehedgingisrecordedinothercomprehensiveincome,whilethepartthatisinvalidhedgingisrecognizedascurrentprofitandloss.Whendisposingofoverseasoperations,anyaccumulatedgainsorlossespreviouslyrecordedinothercomprehensiveincomewillbetransferredoutandrecordedintocurrentprofitandloss.
2.RepurchaseoftheCompany’ssharesIftheCompanyrepurchasesitssharesduetothereductionofitsregisteredcapital,itshalldebitthe“TreasuryStock”andcreditthe“BankDeposits”andothersubjectsaccordingtotheamountactuallypaid.Whenthetreasurystockiscancelled,thetotalparvalueofthesharescalculatedaccordingtotheparvalueofthesharesandthenumberofcancelledsharesshallbedebitedtothe“ShareCapital”,andthebookbalanceofthecancelledtreasurystockshallbecreditedtothe“TreasuryStock”.Thepremiumoriginallyrecordedinthecapitalsurplusatthetimeofstockissuanceshallbeoffsetaccordingtothedifference,andthe“CapitalSurplus-capitalstockpremium”shallbedebited.Thepartoftherepurchasepriceexceedingtheaboveoffsetof“ShareCapital”and“CapitalSurplus-capitalstockpremium”shallbedebitedtothe“SurplusReserves”and“ProfitDistribution-undistributedprofits”andothersubjectsinturn.Iftherepurchasepriceislowerthanthesharecapitalcorrespondingtotherepurchasedshares,thedifferencebetweenthebookbalanceofthecancelledtreasurystockandtheoffsetsharecapitalwillbetreatedasanincreaseincapitalstockpremium,anddebittothe“ShareCapital”accordingtotheparvalueofthesharecapitalcorrespondingtotherepurchasedshares,creditthe“TreasuryStock”accordingtothebookbalanceofthecancelledtreasurystock,andcreditthe“CapitalSurplus-capitalstockpremium”accordingtothedifference.
3.Debtrestructuring
(1).TheCompanyactsasthelessor:
TheCompanyceasesrecognitionofclaimswhenthecontractualrighttocollectcashflowsfromtheclaimsexpires.Incaseswheredebtisrestructuredthroughsettlementwithassetsorconversionintoequityinstruments,theCompanyrecognizestherelevantassetsoncetheymeetthecriteriafordefinitionandrecognition.Ifdebtrestructuringinvolvesrepayingdebtswithassets,transferrednon-financialassetsareinitiallymeasuredatcostuponrecognitionbytheCompany.Thecostofinventorycomprisesthefairvalueofrelinquishedclaimsandotherdirectlyattributablecostssuchastaxes,transportationfees,loadingandunloadingfees,insurancepremiums,andexpensesincurredtobringtheassettoitscurrentlocationandcondition.Similarly,thecostofaninvestmentinanassociateorjointventureencompassesthefairvalueofrelinquishedclaimsandotherdirectlyattributablecostssuchastaxes.Thecostofinvestmentrealestateincorporatesthefairvalueofrelinquishedclaimsandotherdirectlyattributablecosts,suchastaxes,associatedwiththeasset.Similarly,thecostofafixedassetencompassesthefairvalueofrelinquishedclaimsandotherdirectlyattributablecosts,includingtaxes,transportationfees,loadingandunloadingfees,installationfees,professionalservicefees,andotherexpensesincurredbeforetheassetreachesitsintendedusablecondition.Thecostofbiologicalassetscomprisesthefairvalueofrelinquishedclaimsandotherdirectlyattributablecosts,suchastaxes,transportationfees,andinsurancepremiums,associatedwiththeassets.Thecostsofintangibleassetsincludethepurchaseprice,relatedtaxesaswellasotherexpensesincurredtomaketheassetsreachtheintendedserviceableconditionsandattributabletotheassets.Ifdebtrestructuringinvolvesconvertingdebtintoequityinstruments,resultinginthecreditorconvertingitsclaimintoanequityinvestmentinanassociateorjointventure,theCompanyshallmeasureitbasedonthefairvalueoftherelinquishedclaimandtaxes,alongwithothercostsdirectlyattributabletotheasset,todetermineitsinitialinvestmentcost.Uponrecoveryordisposal,thedifferencebetweenthepriceobtainedandthebookvalueofthefinancialassetsshallberecordedintothecurrentprofitorloss.
Incaseswheredebtrestructuringisconductedbymodifyingotherterms,theCompanyshallrecognizeandmeasuretherestructuredclaimsaccordingtotheguidelinesoutlinedin“V.SignificantAccountingPoliciesandAccountingEstimates,11.FinancialInstruments”ofthisnote.Intheeventthatmultipleassetsareutilizedtorepaydebtsoracombinationisemployedtorestructuredebts,theCompanywillfirstconfirmandmeasurethetransferredfinancialassetsandrestructuredclaimsinaccordancewith“V.SignificantAccountingPoliciesandAccountingEstimates,11.FinancialInstruments”outlinedinthisnote.Subsequently,thefairvalueratioofeachasset,excludingthetransferredfinancialassets,shallbeallocatedtothenetamountafterdeductingtheconfirmedamountofthetransferredfinancialassetsandrestructuredclaimsfromthefairvalueoftherelinquishedclaims.Basedonthisallocation,thecostofeachassetshallbedeterminedseparatelyusingtheaforementionedmethod.Thedifferencebetweenthefairvalueandthebookvalueoftherelinquishedclaimsshallberecognizedinthecurrentprofitandloss.
(2).TheCompanyactsasthedebtor:
TheCompanyderecognizesadebtonceitscurrentobligationsaredischarged.Ifdebtreorganizationisexecutedbyrepayingdebtswithassets,theCompanywillderecognizetherelevantassetsanddebtsrepaidwhentheymeettheconditionsforderecognition.Thedifferencebetweenthebookvalueofthedebtsrepaidandthebookvalueofthetransferredassetsshallbeincludedinthecurrentprofitandloss.Ifdebtrestructuringinvolvesconvertingdebtintoequityinstruments,theCompanywillderecognizethedebtwhentherepaiddebtmeetstheconditionsforderecognition.Wheninitiallyrecognizinganequityinstrument,theCompanymeasuresitbasedonthefairvalueoftheequityinstrument.Ifthefairvalueoftheequityinstrumentcannotbereliablymeasured,itismeasuredbasedonthefairvalueofthedebtrepaid.Thedifferencebetweenthebookvalueofthedebtrepaidandtherecognizedamountoftheequityinstrumentshallbeincludedinthecurrentprofitandloss.IncaseswhereDebtisconductedbymodifyingotherterms,theCompanyshallrecognizeandmeasuretherestructuredclaimsaccordingtotheguidelinesoutlinedin“V.SignificantAccountingPoliciesandAccountingEstimates,11.FinancialInstruments”ofthisnote.Ininstanceswheremultipleassetsareutilizedtorepaydebtsoracombinationisemployedtoreorganizedebts,theCompanyshallconfirmandmeasureequityinstrumentsandrestructureddebtsusingtheaforementionedmethods.Thebookvalueofthedebtsrepaidshallbethesumofthebookvalueofthetransferredassetsandtheconfirmedamountofequityinstrumentsandrestructureddebts.Anydifferencebetweenthissumandtheprofitandlossshallbeincludedinthecurrentprofitandloss.
4.SegmentalreportingTheCompanydeterminestheoperatingsegmentsbasedontheinternalorganizationalstructure,managementrequirementsandinternalreportingsystem,anddeterminesthereportingsegmentsbasedontheoperatingsegmentsanddisclosestheinformationofthesegments.OperatingsegmentsrefertocomponentswithintheCompanythatsimultaneouslymeetthefollowingconditions:
(1)Thecomponentcangenerateincomeandincurexpensesindailyactivities.
(2)TheCompany’smanagementcanregularlyevaluatetheoperatingresultsofthiscomponenttodecideonresourceallocationandevaluateitsperformance.
(3)TheCompanycanobtainrelevantaccountinginformationsuchasthefinancialstatus,operatingresults,andcashflowofthiscomponent.Iftwoormoreoperatingsegmentshavesimilareconomiccharacteristicsandmeetcertainconditions,theymaybemergedintooneoperatingsegment.
43.Significantaccountingpolicyandaccountingestimatechange
(1)Changesinsignificantaccountingpolicies
√Applicable□Notapplicable
Unit:yuan
WinnerMedicalContentandreasonsofchangesinaccounting
policies
| Contentandreasonsofchangesinaccountingpolicies | ImportantAffectedreportitemName | Amountofimpact |
(1)ImplementedtheInterpretationofAccountingStandardsforBusinessEnterprisesNo.16,whichstipulates“thedeferredincometaxrelatedtoassetsandliabilitiesarisingfromindividualtransactionsshallnotbeapplicabletotheaccountingtreatmentofinitialrecognitionexemption”.OnNovember30,2022,theMinistryofFinancepromulgatedandimplementedtheInterpretationofAccountingStandardsforBusinessEnterprisesNo.16(CK〔2022〕No.31,hereafterreferredtoas“No.16Interpretation”),whichstipulates“thedeferredincometaxrelatedtoassetsandliabilitiesarisingfromindividualtransactionsshallnotbeapplicabletotheaccountingtreatmentofinitialrecognitionexemption”,andshallcomeintoeffectfromJanuary1,2023.InterpretationNo.16stipulatesthatforacompanynotinvolvedinabusinesscombination,ifatransactiondoesn’timpactaccountingprofitsortaxableincome(ordeductiblelosses)atthetimeofoccurrence,andiftheinitialrecognitionofassetsandliabilitiesresultsinequalamountsoftaxabletemporarydifferencesanddeductibletemporarydifferences,thenexemptionsfromrecognizingdeferredincometaxliabilitiesanddeferredincometaxassetsdon’tapply.Instead,theenterpriseshouldrecognizethecorrespondingamountsinaccordancewithrelevantprovisionssuchasAccountingStandardNo.18forBusinessEnterprises-IncomeTaxandotherapplicableregulations.Thisincludessingletransactionsthatcanresultindeductibletemporarydifferences,suchasleasingtransactionswhereleaseliabilitiesareinitiallyrecognizedonthestartdateoftheleasetermandincludedinright-of-useassets,andtransactionsinvolvingestimatedliabilitiesfordisposalobligationsoffixedassets,whicharethenincludedinthecostofrelatedassets.Ifataxabletemporarydifferenceandadeductibletemporarydifferencearisefromasingletransactioncoveredbytheprovision,occurringbetweentheearliestperiodcoveredbythefinancialstatementspresentedforthefirsttimeandthedateofitsapplication,andstemmingfromtherecognitionofaleaseliabilityandright-of-useassetatthebeginningofsaidearliestperiodaswellasfromtherecognitionofaprojectedliabilityrelatedtoanabandonmentobligationandthecorrespondingrelatedasset,theenterpriseshallmakeadjustmentsaspertheprovision.TheCompanywillimplementthisregulationstartingfromJanuary1,2023.Themainimpactsofimplementingthisregulationareasfollows:
| Contentandreasonsofchangesinaccountingpolicies | Affectedreportitem | AffectedamountinbalanceonJanuary1,2022 | |
| Consolidation | Parentcompany | ||
| InterpretationofAccountingStandardsforBusinessEnterprisesNo.16(No.16Interpretation) | Deferredincometaxassets | 14,845,309.87 | 277,192.47 |
| Deferredincometaxliabilities | |||
| Incometaxexpenses | -14,845,309.87 | -277,192.47 | |
| Undistributedprofit | 14,844,385.21 | 277,192.47 | |
| Minorityinterestincome | -924.66 | ||
| Minorityequity | 924.66 | ||
Contentandreasonsofchangesinaccountingpolicies
| Contentandreasonsofchangesinaccountingpolicies | Affectedreportitem | Consolidation | Parentcompany | ||
| 2023.12.31/2023 | December31,2023/2022 | 2023.12.31/2023 | December31,2023/2022 | ||
| InterpretationofAccountingStandardsforBusinessEnterprisesNo.16(No.16Interpretation) | Deferredincometaxassets | 12,773,788.21 | 14,978,225.10 | 519,777.63 | |
| Deferredincometaxliabilities | 2,099,092.05 | 2,099,092.05 | |||
| Incometaxexpenses | 4,303,528.94 | -132,915.23 | 2,618,869.68 | -242,585.16 | |
| Undistributedprofit | 10,693,719.10 | 14,979,240.42 | -2,099,092.05 | 519,777.63 | |
| Minorityinterestincome | -18,007.62 | -1,939.98 | |||
| Minorityequity | -19,022.94 | -1,015.32 | |||
(2)Changesinmajoraccountingestimates
□Applicable√Notapplicable
(3)Adjustmentofrelevantitemsinfinancialstatementsatthebeginningoffirstimplementationyearasaresultoffirstimplementationofnewaccountingstandardsfrom2023
√Applicable□NotapplicableAdjustmentdescriptionFordetails,refertoNote43,“SignificantChangesinAccountingPoliciesandAccountingEstimates,”specificallyfocusingon(1)SignificantChangesinAccountingPolicies.
44.OthersNone
VI.Taxation
1.Maintaxcategoriesandtaxrates
WinnerMedicalTaxcategory
| Taxcategory | Taxationbasis | Taxrate |
| Addedvaluetax | CalculatethesubstitutedmoneyonVATonthebasisoftheincomefromsellinggoodsandtaxableservicesaccordingtothetaxlaw.AfterdeductionofthewithholdingsonVATallowedtodeductincurrentperiod,thebalanceistheVATpayable | 13%,9%,6%,3%,1%,0% |
| Consumptiontax | N/A | N/A |
| Urbanmaintenanceandconstructiontax | Actualpaidvalueaddedtax(includingtheexemptionpart)andconsumptiontax | 7%,5% |
| Corporateincometax | Leviedbyincometaxpayable | 30%,25%,20%,16.5%,15% |
| Educationsurcharge | Actualpaidvalueaddedtax(includingtheexemptionpart)andconsumptiontax | 3% |
Iftherearetaxpayerswithdifferententerpriseincometaxrates,thedisclosurestatementshallpresent
| Nameoftaxpayer | Incometaxrate |
| WinnerMedical,WinnerMedical(Huanggang),WinnerMedical(Tianmen),WinnerMedical(Jingmen),WinnerMedical(Chongyang),WinnerMedical(Jiayu),QianhaiPurcotton,WinnerMedical(Wuhan),LongtermMedical,WinnerGuilin,WinnerMedical(Hunan) | 15% |
| WinnerMedical(HongKong) | 16.5% |
| HangzhouShengyi,Xi’anLongtemu,DeqingLongterm,RuianMedicalDevice | 20% |
| MexicoLongtai | 30% |
2.Taxpreference
(1)OnDecember23,2021,accordingtotheNoticeonPublicizingtheListofFirstBatchofHigh-techEnterprisestobeIdentifiedinShenzhenin2021issuedbytheLeadingGroupOfficeofNationalHigh-techEnterpriseAccreditationAdministration,theCompanypassedtheHigh-techEnterpriseQualificationReexamination(CertificateNo.:GR202144202494).From2021to2023,thecorporateincometaxcanbepaidatapreferentialtaxrateof15.00%.
(2)AccordingtotheNoticeonPublicizingtheListoftheSecondBatchofHigh-techEnterprisestobeIdentifiedinHubeiProvincein2019,WinnerMedical(Huanggang)wasidentifiedasthesecondbatchofhigh-techenterpriseswiththecertificatenumberofGR201942002414,andpassedthequalificationreviewofhigh-techenterprisesin2022.WinnerMedical(Huanggang)iseligibletopaycorporateincometaxatapreferentialrateof15.00%from2022to2024.
(3)QianhaiPurcottonwasestablishedonJuly21,2015,withitsdomicilelocatedinShenzhenQianhaiShenzhen-HongKongCooperationZone.AccordingtotheNoticeofEnterpriseIncomeTaxPreferentialPoliciesandPreferentialDirectoryinShenzhenQianhaiShenzhen-HongKongModernServiceIndustryCooperationZoneofHengqinNewFujianPingtanComprehensiveExperimentalArea(C.S.[2014]No.26)issuedbytheMinistryofFinanceandStateTaxationAdministration,QianhaiPurcottonpaysitsenterpriseincometaxatthetaxrateof15.00%.
(4)AccordingtotheNoticeonPublicizingtheListofFourthBatchofHigh-techEnterprisestobeIdentifiedinHubeiProvincein2021issuedbytheLeadingGroupOfficeofNationalHigh-techEnterpriseAccreditationAdministrationonDecember23,2021,WinnerMedical(Jingmen)obtainedtheHigh-techEnterpriseCertificate(CertificateNo.:GR202142004475)onDecember3,2021.From2021to2023,corporateincometaxcanbepaidatapreferentialtaxrateof15.00%.
(5)AccordingtotheNoticeonPublicizingtheListofFifthBatchofHigh-techEnterprisestobeIdentifiedinHubeiProvincein2021issuedbytheLeadingGroupOfficeofNationalHigh-techEnterpriseAccreditationAdministrationonDecember23,2021,WinnerMedical(Jiayu)obtainedtheHigh-techEnterpriseCertificate(CertificateNo.:GR202142005582)onDecember17,2021.From2021to2023,corporateincometaxcanbepaidatapreferentialtaxrateof15.00%.
(6)AccordingtotheNoticeonPublicizingtheListofSecondBatchofHigh-techEnterprisestobeIdentifiedinHubeiProvincein2021onDecember15,2021,WinnerMedical(Chongyang)andWinnerMedical(Tianmen)obtainedtheHigh-techEnterpriseCertificates(CertificateNo.:GR202142000579,GR202142002367)onNovember15,2021.Theprepaymentofcorporateincometaxshallbeatarateof15.00%in2021.
(7)AccordingtotheNoticeonPublicizingtheListofSecondBatchofHigh-techEnterprisestobeIdentifiedinHubeiProvincein2022issuedonNovember9,2022,WinnerMedical(Wuhan)obtainedtheHigh-techEnterpriseCertificate(CertificateNo.:
GR202242002319)onNovember9,2022.From2022to2024,thecorporateincometaxcanbepaidatapreferentialtaxrateof
15.00%.
(8)LongtaiMedicalwasinitiallyrecognizedasahigh-techenterpriseonNovember13,2017.Itsubsequentlyobtainedanupdatedhigh-techenterprisequalificationcertificateonDecember8,2023,withthecertificatenumberGR202345000323.Paycorporateincometaxatapreferentialtaxrateof15%withavalidityperiodofthreeyears.
(9)HangzhouShengyi,Xi’anLongtemu,DeqingLongtermareallsmallenterpriseswithsmallprofits.Thepartwithannualtaxableincomenotexceeding1millionyuanshallbereducedby12.5%andincludedintothetaxableincome,andthecorporateincometaxshallbepaidatthetaxrateof20%;Thepartwithannualtaxableincomeexceeding1millionyuanbutnotexceeding3millionyuanshallbereducedby25%andincludedintothetaxableincome,andcorporateincometaxshallbepaidattherateof20%.
(10)WinnerMedical(Hunan)wasrecognizedasahigh-techenterprisein2010topaycorporateincometaxatapreferentialtaxrateof15%.LongtermMedicalobtainedanupdatedhigh-techenterprisequalificationcertificateonMondaywithavalidityperiodofthreeyearsuntilThursday,December1,2022.passedthehigh-techenterprisecertificationforthethirdtimein2022toobtainacertificatewithnumberofGR202243004478andexpirationdateofDecember12,2025.
(11)RuianMedicalDeviceisasmallenterprisewithsmallprofits.Thepartwithannualtaxableincomenotexceeding1millionyuanshallbereducedby12.5%andincludedintothetaxableincome,andthecorporateincometaxshallbepaidatthetaxrateof20%;Thepartwithannualtaxableincomeexceeding1millionyuanbutnotexceeding3millionyuanshallbereducedby50%andincludedintothetaxableincome,andcorporateincometaxshallbepaidattherateof20%.Atpresent,theannualtaxableincomeofRuianMedicalDeviceislessthan1millionyuan,andtheactualtaxrateis2.5%.
(12)OnDecember4,2023,WinnerGuilinpassedthehigh-techenterprisecertificationtoobtainthehigh-techenterprisecertificatewithnumberofGR202345000323andvalidityperiodofthreeyears.AccordingtotherelevantpreferentialpoliciesofChinaforhigh-techenterprises,qualifiedhigh-techenterprisesshallbesubjecttoacorporateincometaxatapreferentialtaxrateof15%forthreeyearsfromtheyearofrecognition.WinnerGuilincanbeentitletothispreferentialpolicyin2023.
3.Others
None
VII.Notestoitemsintheconsolidatedfinancialstatements
1.Cashandcashequivalents
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Cashonhand | 76,471.98 | 246,825.76 |
| Bankdeposit | 4,676,600,881.85 | 4,169,305,311.41 |
| Othercashandcashequivalents | 29,454,717.44 | 357,325,441.73 |
| Total | 4,706,132,071.27 | 4,526,877,578.90 |
| Including:Totalamountdepositedabroad | 6,765,888.80 | 15,822,664.52 |
Otherdescription:
Wherein,thebreakdownofmonetaryfundsthatarerestrictedinuseduetomortgages,pledgesorfreezes,restrictedinwithdrawalduetocentralizedmanagementoffunds,aswellasthoseplacedoutsideChinawithrestrictionsonrepatriationoffunds,isasfollows:
| Item | ClosingBalance | Closingbalanceofthepreviousyear |
| Depositforbankacceptancebill*1 | 10,935,300.00 | 7,428,000.00 |
| LetterofCreditdeposit*2 | 100,000.00 | 139,600,000.00 |
| Performancebond*3 | 5,077,060.94 | 2,922,681.16 |
| LetterofGuaranteebond*4 | 6,600,000.00 | |
| Balanceofotherrestrictedmonetaryfunds*5 | 6,078,927.88 | 6,104,939.57 |
| Total | 28,791,288.82 | 156,055,620.73 |
*1DepositforbankacceptancebillreferstothedepositdepositedbyZhejiangLongtermtoapplyforbankacceptancebill.*2LetterofCreditdepositisthedepositmadebyWinnerMedical(Tianmen)forinternationalanddomesticLettersofCredit.*3TheperformancebondreferstothebonddepositedbyZhejiangLongtermforautomatictransferofelectricitycharges;thebonddepositedbyWinnerMedical(HongKong)forbiddingtransactionswithhospitals.*4RepresentsthedepositmadebyWinnerMedical(Hunan)forsigningthedemandguarantee.*5ThebalanceofotherrestrictedmonetaryfundsreferstothereceiptdepositofWinnerMedical(Shenzhen);thebalanceofspecialdepositaccountsforrestrictednon-budgetunitsopenedbyShenzhenPurecottoninaccordancewiththeregulationsofprepaidcardissuanceformulatedbytheMinistryofCommerce,andproductdepositfortheAPPandminiprogram.
2.Tradablefinancialassets
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Financialassetsmeasuredatfairvalueofwhichthechangesareincludedincurrentprofitandloss | 2,850,058,540.71 | 4,378,789,960.23 |
| Including: | ||
| Bankfinancialproducts | 1,735,249,266.74 | 3,027,531,039.77 |
| Trustproducts | 1,114,809,273.97 | 1,351,258,920.46 |
| Including: | ||
| Total | 2,850,058,540.71 | 4,378,789,960.23 |
Otherdescription:
None
3.Derivativefinancialassets
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherdescription:
None
4.Notesreceivable
(1)Classifiedpresentationofnotesreceivable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Bankacceptancebill | 42,963,076.53 | 51,001,784.57 |
| Total | 42,963,076.53 | 51,001,784.57 |
(2)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
WinnerMedicalClass
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Including: | ||||||||||
| Including: | ||||||||||
Provisionforbaddebtsonpromissorynotesifbasedonageneralmodelofexpectedcreditlosses:
□Applicable√Notapplicable
(3)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiodProvisionforbaddebtsincurrentperiod:
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Write-off | Others | |||
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
□Applicable√Notapplicable
(4)NotesreceivablepledgedbytheCompanyattheendoftheperiod
Unit:yuan
| Item | Pledgedamountattheendoftheperiod |
(5)NotesreceivableendorsedordiscountedbytheCompanyattheendoftheperiodandnotexpiredyetonthebalancesheetdate
Unit:yuan
| Item | Amountwithrecognitionterminatedattheendoftheperiod | Amountwithrecognitionnotterminatedattheendoftheperiod |
| Bankacceptancebill | 334,223,420.29 | 28,991,818.10 |
| Total | 334,223,420.29 | 28,991,818.10 |
(6)Notesreceivableactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
Write-offofimportantnotesreceivable:
Unit:yuan
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-offnotesreceivable:
None
5.Accountsreceivable
(1)Disclosurebyaging
Unit:yuan
| Aging | Endingbookbalance | Beginningbookbalance |
| Within1year(including1year) | 802,426,859.44 | 966,089,497.52 |
| 1~2years | 12,583,559.62 | 15,332,065.15 |
| 2~3years | 4,051,224.68 | 1,968,459.71 |
| Morethan3years | 2,899,121.73 | 3,906,882.01 |
| 3~4years | 1,601,949.62 | 502,727.73 |
| 4~5years | 292,384.46 | 1,622,782.36 |
| Morethan5years | 1,004,787.65 | 1,781,371.92 |
| Total | 821,960,765.47 | 987,296,904.39 |
(2)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Accountsreceivableofprovisionforbaddebtbysingleitem | 9,715,810.58 | 1.18% | 9,715,810.58 | 100.00% | 2,811,067.30 | 0.28% | 2,811,067.30 | 100.00% | ||
| Including: | ||||||||||
| Accountsreceivableofprovisionforbaddebtbycombination | 812,244,954.89 | 98.82% | 43,642,665.29 | 5.37% | 768,602,289.60 | 984,485,837.09 | 99.72% | 51,843,776.05 | 5.27% | 932,642,061.04 |
| Including: | ||||||||||
| Aginganalysismethod | 812,244,954.89 | 98.82% | 43,642,665.29 | 5.37% | 768,602,289.60 | 984,485,837.09 | 99.72% | 51,843,776.05 | 5.27% | 932,642,061.04 |
| Total | 821,960,765.47 | 100.00% | 53,358,475.87 | 6.49% | 768,602,289.60 | 987,296,904.39 | 100.00% | 54,654,843.35 | 5.54% | 932,642,061.04 |
Provisionforbaddebtbysingleitem:1
Unit:yuan
WinnerMedicalName
| Name | Balanceatthebeginningoftheperiod | ClosingBalance | ||||
| Bookbalance | Provisionforbaddebt | Bookbalance | Provisionforbaddebt | Accruingproportion | Reasonsforprovision | |
| BetterLifeCommercialChainShareCo.,Ltd. | 6,387,334.23 | 6,387,334.23 | 100.00% | Thecustomerhasdeclaredbankruptcy,andthepaymentforthegoodsisunlikelytoberecovered. | ||
| Others | 2,811,067.30 | 2,811,067.30 | 3,328,476.35 | 3,328,476.35 | 100.00% | Expectedtobeirrecoverable |
| Total | 2,811,067.30 | 2,811,067.30 | 9,715,810.58 | 9,715,810.58 | ||
Provisionforbaddebtbycombination:aginganalysis
Unit:yuan
| Name | ClosingBalance | ||
| Bookbalance | Provisionforbaddebt | Accruingproportion | |
| Within1year | 796,361,879.54 | 39,638,001.21 | 5.00% |
| 1~2years | 9,676,946.08 | 967,694.62 | 10.00% |
| 2~3years | 3,296,613.23 | 988,983.97 | 30.00% |
| 3~4years | 1,601,949.62 | 800,974.82 | 50.00% |
| 4~5years | 302,778.77 | 242,223.02 | 80.00% |
| Morethan5years | 1,004,787.65 | 1,004,787.65 | 100.00% |
| Total | 812,244,954.89 | 43,642,665.29 | |
Descriptionofthebasisfordeterminingthecombination:
OnSunday,December31,2023,theCompanyreviewedtheappropriatenessoftheprovisionforbaddebtsofreceivablesinthepreviousyearaccordingtothehistoricalbaddebtloss,andbelievedthatthedefaultprobabilityhasastrongcorrelationwiththeagingofaccounts,andtheaccountageisstillasignofwhetherthecreditriskoftheCompany’sreceivableshassignificantlyincreased.Therefore,theCompany’screditrisklossonSunday,December31,2023isestimatedbasedontheagingofaccountsandestimatedattheoriginallossratio.Iftheprovisionforbaddebtsonaccountsreceivablereliesonageneralmodelofexpectedcreditlosses:
□Applicable√Notapplicable
(3)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiodProvisionforbaddebtsincurrentperiod:
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Write-off | Others | |||
| Provisionforbaddebtofaccountsreceivable | 54,654,843.35 | 26,628,661.68 | 29,684,826.02 | 1,759,796.86 | 53,358,475.87 | |
| Total | 54,654,843.35 | 26,628,661.68 | 29,684,826.02 | 1,759,796.86 | 53,358,475.87 | |
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
(4)Accountsreceivableactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
Write-offofimportantaccountsreceivable:
Unit:yuan
| Unitname | Natureofaccountsreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-offaccountsreceivable:
None
(5)AccountsreceivablewithTop5endingbalancesbydebtor
Unit:yuan
| Unitname | Endingbalanceofaccountsreceivable | Closingbalanceofcontractassets | Closingbalanceofaccountsreceivableandcontractassets | Percentageoftotalclosingbalanceofaccountsreceivableandcontractassets | Endingbalanceofbaddebtprovisionforaccountsreceivableandimpairmentprovisionforcontractassets |
| First | 132,804,349.62 | 132,804,349.62 | 16.16% | 6,640,217.48 | |
| Second | 28,162,882.67 | 28,162,882.67 | 3.43% | 1,408,144.13 | |
| Third | 23,054,581.06 | 23,054,581.06 | 2.80% | 1,152,729.05 | |
| Fourth | 21,432,541.07 | 21,432,541.07 | 2.61% | 1,071,627.05 | |
| Fifth | 18,989,901.82 | 18,989,901.82 | 2.31% | 949,495.09 | |
| Total | 224,444,256.24 | 224,444,256.24 | 27.31% | 11,222,212.80 |
6.Contractassets
(1)Contractassets
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |
(2)Amountandreasonsforsignificantchangesinbookvalueduringthereportingperiod
Unit:yuan
| Item | Amountofchange | Reasonforchange |
(3)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Including: | ||||||||||
| Including: | ||||||||||
Provisionforbaddebtsbasedonthegeneralexpectedcreditloss(ECL)model
□Applicable√Notapplicable
(4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
| Item | Accrualincurrentperiod | Recoveredorreversedduringtheperiod | Writeoff/verificationincurrentperiod | Reasons |
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
(5)Actualcontractassetswrittenoffduringtheperiod
Unit:yuan
| Item | Amountwrittenoff |
Write-offofimportantcontractassets:
Unit:yuan
| Unitname | Natureofpayment | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Notesonthewrite-offofcontractassets:
Otherdescription:
7.Amountsreceivablefinancing
(1)Presentationofreceivablesfinancingclassifications
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Notesreceivable-banker’sacceptancebill | 29,348,618.44 | 93,093,113.79 |
| Total | 29,348,618.44 | 93,093,113.79 |
(2)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Including: | ||||||||||
| Including: | ||||||||||
Provisionforbaddebtsbasedonthegeneralexpectedcreditloss(ECL)model
Unit:yuan
| Provisionforbaddebt | Stage1 | Stage2 | Stage3 | Total |
| Expectedcreditlossesoverthenext12months | Expectedcreditlossesovertheentireduration(withoutcreditimpairment) | Expectedcreditlossesovertheentireduration(withcreditimpairment) | ||
| BalanceonSunday,January1,2023inthecurrentperiod |
BasisfordivisionofeachstageandprovisionratioforbaddebtsNoneDescriptionofsignificantchangesinthebookbalanceofaccountsreceivablefinancing,particularlythosereflectingadjustmentsinlossprovisionsduringthecurrentperiod:
(3)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
WinnerMedicalClass
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Otherchanges | |||
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
None
(4)ReceivablesfinancingpledgedbytheCompanyattheendoftheperiod
Unit:yuan
| Item | Pledgedamountattheendoftheperiod |
(5)ReceivablesfinancingendorsedordiscountedbytheCompanyattheendoftheperiodandnotexpiredyetonthebalancesheetdate
Unit:yuan
| Item | Amountwithrecognitionterminatedattheendoftheperiod | Amountwithrecognitionnotterminatedattheendoftheperiod |
(6)Receivableactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
Importantwrite-offsofreceivablesfinancing
Unit:yuan
| Unitname | Natureofpayment | Amountwrittenoff | Reasonsforwrite-off | Whethertheamountwrittenoffresultedfromarelatedtransaction |
Descriptionofwrite-off:
None
(7)ChangesintheincreaseanddecreaseofreceivablesfinancingandchangesinthefairvalueinthecurrentperiodNone
(8)OtherdescriptionNone
8.Otherreceivables
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Otherreceivables | 218,913,405.18 | 236,298,390.78 |
| Total | 218,913,405.18 | 236,298,390.78 |
(1)Interestreceivable
1)Classificationofinterestreceivable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
2)Importantoverdueinterest
Unit:yuan
| Borrower | ClosingBalance | Overduetime | Overduereason | Whetherthereisimpairmentanditsjudgmentbasis |
Otherdescription:
3)Classifieddisclosureaccordingtobaddebtaccrualmethod
□Applicable√Notapplicable
4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance |
Accrual
| Accrual | Recoveredorreversed | Writeoff/verification | Otherchanges |
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
5)Interestreceivableactuallywrittenoffduringtheperiod.
Unit:yuan
| Item | Amountwrittenoff |
Write-offofimportantinterestreceivable:
Unit:yuan
WinnerMedicalUnitname
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-off:
Otherdescription:
(2)Dividendsreceivable
1)Classificationofdividendsreceivable
Unit:yuan
| Project(orinvestedunit) | ClosingBalance | Balanceatthebeginningoftheperiod |
2)Importantdividendsreceivablewiththeagingmorethan1year
Unit:yuan
| Project(orinvestedunit) | ClosingBalance | Aging | Reasonfornon-recovery | Whetherthereisimpairmentanditsjudgmentbasis |
3)Classifieddisclosureaccordingtobaddebtaccrualmethod
□Applicable√Notapplicable
4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Otherchanges | |||
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
5)Actualwrite-offofdividendsreceivablefortheperiod
Unit:yuan
| Item | Amountwrittenoff |
Importantwrite-offofdividendsreceivable:
Unit:yuan
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-off:
Otherdescription:
(3)Otherreceivables
1)Otherreceivablesclassifiedbynature
Unit:yuan
| Natureofpayment | Endingbookbalance | Beginningbookbalance |
| CompensationforinvestmentandconstructionprojectofWinnerMedical(Heyuan) | 220,155,320.00 | 224,655,320.00 |
| Marginanddeposit | 101,019,054.40 | 107,940,240.20 |
| Exportdrawback | 147,743.12 | |
| Employeeprettycash | 3,453,440.82 | 3,851,541.87 |
| Others | 13,192,323.37 | 20,322,649.47 |
| Total | 337,820,138.59 | 356,917,494.66 |
2)Disclosurebyaging
Unit:yuan
| Aging | Endingbookbalance | Beginningbookbalance |
| Within1year(including1year) | 37,682,315.11 | 41,891,601.58 |
| 1~2years | 17,911,211.16 | 20,875,710.36 |
| 2~3years | 13,979,257.63 | 20,538,043.37 |
| Morethan3years | 268,247,354.69 | 273,612,139.35 |
| 3~4years | 17,098,300.38 | 240,857,729.75 |
| 4~5years | 228,654,779.32 | 29,659,408.36 |
| Morethan5years | 22,494,274.99 | 3,095,001.24 |
| Total | 337,820,138.59 | 356,917,494.66 |
3)Classifieddisclosureaccordingtobaddebtaccrualmethod
√Applicable□Notapplicable
Unit:yuan
WinnerMedicalClass
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Provisionforbaddebtbysingleitem | 220,391,165.90 | 65.24% | 110,313,505.90 | 50.05% | 110,077,660.00 | 224,656,320.00 | 62.94% | 112,328,660.00 | 50.00% | 112,327,660.00 |
| Including: | ||||||||||
| Provisionforbaddebtbycombination | 117,428,972.69 | 34.76% | 8,593,227.51 | 7.32% | 108,835,745.18 | 132,261,174.66 | 37.06% | 8,290,443.88 | 6.27% | 123,970,730.78 |
| Including: | ||||||||||
| Agingcombination | 16,845,623.22 | 4.99% | 3,565,039.11 | 21.16% | 13,280,584.11 | 24,821,784.54 | 6.96% | 2,925,861.53 | 11.79% | 21,895,923.01 |
| Margin/depositcombination | 100,583,349.47 | 29.77% | 5,028,188.40 | 5.00% | 95,555,161.07 | 107,291,647.00 | 30.06% | 5,364,582.35 | 5.00% | 101,927,064.65 |
| Othercombination | 147,743.12 | 0.04% | 147,743.12 | |||||||
| Total | 337,820,138.59 | 100.00% | 118,906,733.41 | 35.20% | 218,913,405.18 | 356,917,494.66 | 100.00% | 120,619,103.88 | 33.79% | 236,298,390.78 |
Provisionforbaddebtbysingleitem:
Unit:yuan
| Name | Balanceatthebeginningoftheperiod | ClosingBalance | ||||
| Bookbalance | Provisionforbaddebt | Bookbalance | Provisionforbaddebt | Accruingproportion | Reasonsforprovision | |
| ZijinCountyPeople’sGovernment | 224,655,320.00 | 112,327,660.00 | 220,155,320.00 | 110,077,660.00 | 50.00% | Governmentreceivableswithanaccountingageof4-5years. |
| Others | 1,000.00 | 1,000.00 | 235,845.90 | 235,845.90 | 100.00% | Expectedtobeirrecoverable |
| Total | 224,656,320.00 | 112,328,660.00 | 220,391,165.90 | 110,313,505.90 | ||
Provisionforbaddebtsbasedonacombinationofcreditriskcharacteristics:
Combinedprovisionitemsbasedonaging:
| Name | ClosingBalance | ||
| Otherreceivables | Provisionforbaddebt | Accruingproportion(%) | |
| Within1year | 11,172,638.33 | 558,631.88 | 5.00 |
| 1~2years | 159,603.64 | 15,960.37 | 10.00 |
| 2~3years | 54,266.80 | 16,280.04 | 30.00 |
| 3~4years | 4,801,895.28 | 2,400,947.65 | 50.00 |
| 4~5years | 420,000.00 | 336,000.00 | 80.00 |
| Morethan5years | 237,219.17 | 237,219.17 | 100.00 |
| Total | 16,845,623.22 | 3,565,039.11 | 21.16 |
Provisionforbaddebtsbasedonthegeneralexpectedcreditloss(ECL)model:
Unit:yuan
| Provisionforbaddebt | Stage1 | Stage2 | Stage3 | Total |
| Expectedcreditlossesoverthenext12months | Expectedcreditlossesovertheentireduration(withoutcreditimpairment) | Expectedcreditlossesovertheentireduration(withcreditimpairment) | ||
| BalanceonSunday,January1,2023 | 108,878,474.34 | 11,740,629.54 | 120,619,103.88 | |
| BalanceonSunday,January1,2023inthecurrentperiod | ||||
| Accrualincurrentperiod | 2,431,037.90 | 2,431,037.90 | ||
| Reversalincurrentperiod | 4,100,382.86 | 4,100,382.86 | ||
| Written-offincurrentperiod | 57,953.35 | 57,953.35 | ||
| Otherchanges | 14,927.84 | 14,927.84 | ||
| BalanceonSunday,December31,2023 | 107,166,103.87 | 11,740,629.54 | 118,906,733.41 |
BasisfordivisionofeachstageandprovisionratioforbaddebtsChangesinbookbalancewithsignificantchangesinthecurrentperiodofprovisionforloss
□Applicable√Notapplicable
4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiodProvisionforbaddebtsincurrentperiod:
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Others | |||
| Provisionforbaddebtsofotherreceivables | 120,619,103.88 | 2,431,037.90 | 4,100,382.86 | 57,953.35 | 14,927.84 | 118,906,733.41 |
| Total | 120,619,103.88 | 2,431,037.90 | 4,100,382.86 | 57,953.35 | 14,927.84 | 118,906,733.41 |
Wheretheamountofbaddebtprovisionreversedorrecoveredisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
5)Otherreceivableactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
| Otherreceivablesactuallywrittenoff | 57,953.35 |
Write-offofimportantotherreceivables:
Unit:yuan
WinnerMedicalUnitname
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-offofotherreceivables:
6)OtherreceivableswithTop5endingbalancesbydebtor
Unit:yuan
| Unitname | Natureofpayment | ClosingBalance | Aging | Proportionintotalotherendingbalancereceivable | Endingbalanceofbaddebtprovision |
| First | ReceivablesrelatedtoHeyuanproject | 220,155,320.00 | 4~5years(including5years) | 65.17% | 110,077,660.00 |
| Second | Marginanddeposit | 2,311,115.80 | 1~2years(including2years) | 0.68% | 115,555.79 |
| Third | Others | 2,000,000.00 | 3~4years(including4years) | 0.59% | 1,000,000.00 |
| Fourth | Deposit | 1,328,196.61 | 1~2years(including2years) | 0.39% | 66,409.83 |
| Fifth | Deposit | 1,176,513.00 | Within1year(including1year) | 0.35% | 58,825.65 |
| Total | 226,971,145.41 | 67.18% | 111,318,451.27 |
7)RecordedunderotherreceivablesduetocentralizedfundmanagementUnit:yuanOtherdescription:
None
9.Advancestosuppliers
(1)Presentationofadvancestosuppliersbyaging
Unit:yuan
| Aging | ClosingBalance | Balanceatthebeginningoftheperiod | ||
| Amount | Proportion | Amount | Proportion | |
| Within1year | 119,158,386.43 | 97.45% | 226,208,813.98 | 98.68% |
| 1~2years | 2,613,992.18 | 2.14% | 2,922,303.77 | 1.28% |
| 2~3years | 509,364.14 | 0.42% | 94,155.34 | 0.04% |
| Morethan3years | ||||
| Total | 122,281,742.75 | 229,225,273.09 | ||
Reasonsfornon-timelysettlementofimportantadvancesfromcustomerswiththeagingmorethan1year:
(2)AdvancestosupplierswithTop5endingbalancesbyprepaymentobject
| Advanceobject | ClosingBalance | Proportionintotalendingbalanceofadvances(%) |
| First | 36,429,259.56 | 29.2 |
| Second | 5,158,215.30 | 4.13 |
| Third | 3,967,110.70 | 3.18 |
| Fourth | 2,157,568.73 | 1.73 |
| Fifth | 1,636,461.99 | 1.31 |
| Total | 49,348,616.28 | 39.55 |
Otherdescription:
10.Inventory
DoestheCompanyneedtofollowthedisclosurerequirementsofrealestateindustryNo
(1)Inventoryclassification
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Inventoryfallingpricereservesorprovisionforimpairmentofcontractperformancecosts | Bookvalue | Bookbalance | Inventoryfallingpricereservesorprovisionforimpairmentofcontractperformancecosts | Bookvalue | |
| Rawmaterials | 257,540,786.57 | 13,590,764.92 | 243,950,021.65 | 442,673,944.78 | 54,831,465.50 | 387,842,479.28 |
| Workinprocess | 202,621,436.49 | 36,094,235.16 | 166,527,201.33 | 172,727,862.49 | 9,184,849.77 | 163,543,012.72 |
| Merchandiseinventory | 1,187,727,556.66 | 205,259,954.93 | 982,467,601.73 | 1,188,954,668.09 | 258,680,380.74 | 930,274,287.35 |
| Semi-finishedproductsshippedintransit | 24,716,158.02 | 24,716,158.02 | 61,520,340.90 | 130,228.78 | 61,390,112.12 | |
| Lowpricedandeasilywornarticles | 18,264,295.81 | 1,598,990.58 | 16,665,305.23 | 17,465,670.25 | 1,591,988.35 | 15,873,681.90 |
| Total | 1,690,870,233.55 | 256,543,945.59 | 1,434,326,287.96 | 1,883,342,486.51 | 324,418,913.14 | 1,558,923,573.37 |
(2)Inventoryfallingpricereservesandprovisionforimpairmentofcontractperformancecosts
Unit:yuan
WinnerMedicalItem
| Item | Balanceatthebeginningoftheperiod | Amountincreasedincurrentperiod | Amountdecreasedincurrentperiod | ClosingBalance | ||
| Accrual | Others | Reversalorwrite-back | Others | |||
| Rawmaterials | 54,831,465.50 | 16,801,848.94 | 58,042,549.52 | 13,590,764.92 | ||
| Workinprocess | 9,184,849.77 | 26,909,385.39 | 36,094,235.16 | |||
| Merchandiseinventory | 258,680,380.74 | 266,138,204.39 | 1,084,931.09 | 320,646,375.36 | -2,814.07 | 205,259,954.93 |
| Semi-finishedproductsshippedintransit | 130,228.78 | 130,228.78 | ||||
| Lowpricedandeasilywornarticles | 1,591,988.35 | 1,352,093.22 | 1,345,090.99 | 1,598,990.58 | ||
| Total | 324,418,913.14 | 311,201,531.94 | 1,084,931.09 | 380,164,244.65 | -2,814.07 | 256,543,945.59 |
Inventoryimpairmentprovisionbyportfolio
Unit:yuan
| Combinationname | Theendoftheperiod | Thebeginningoftheperiod | ||||
| ClosingBalance | Provisionfordepreciation | Accruingproportionfordepreciationprovision | Balanceatthebeginningoftheperiod | Provisionfordepreciation | Accruingproportionfordepreciationprovision | |
Theaccountingstandardforcalculatingtheprovisionforinventoryimpairmentbyportfolio
(3)Descriptionofendingbalanceofinventorycontainingthecapitalizedamountofborrowingcosts
(4)Descriptionofcurrentamortizationamountofcontractperformancecost
11.Assetsheldforsales
Unit:yuan
| Item | Endingbookbalance | Provisionforimpairment | Endingbookvalue | Fairvalue | Estimateddisposalcost | Estimateddisposaltime |
Otherdescription:
12.Non-currentassetsduewithinayear
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Long-termreceivesduewithinoneyear | 4,379,308.17 | |
| Total | 4,379,308.17 |
(1)Non-currentassetsduewithinayear
□Applicable√Notapplicable
(2)Othernon-currentassetsduewithinayear
□Applicable√Notapplicable
13.Othercurrentassets
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Returncostreceivable | 779,058.41 | 1,181,368.44 |
| Interestonfixeddeposit/largedeposit | 97,786,429.67 | 101,670,459.07 |
| VATinputtaxtobededucted/uncertifiedinputtax | 51,890,783.52 | 5,863,706.62 |
| Prepaidcorporateincometax | 38,171,660.89 | 4,773,735.12 |
| Unamortizedexpenses | 10,150,883.88 | 4,853,649.47 |
| Pledgedcertificateofdeposit(1*) | 180,000,000.00 | |
| Others | 74,836.27 | 716,165.75 |
| Total | 378,853,652.64 | 119,059,084.47 |
Otherdescription:
1*ShenzhenWinnerMedicalandShenzhenPurcottonpledgedtimedepositcertificatestoissuebankacceptancebills.
14.Debtinvestment
(1)Debtinvestment
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
Changesintheprovisionforimpairmentofdebtinvestmentsduringtheperiod
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
(2)Majordebtinvestmentsattheendoftheperiod
Unit:yuan
| Debtitem | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookvalue | Couponrate | Actualrate | Maturitydate | Overdueprincipal | Bookvalue | Couponrate | Actualrate | Maturitydate | Overdueprincipal | |
(3)Provisionforimpairment
Unit:yuan
WinnerMedicalProvisionforbaddebt
| Provisionforbaddebt | Stage1 | Stage2 | Stage3 | Total |
| Expectedcreditlossesoverthenext12months | Expectedcreditlossesovertheentireduration(withoutcreditimpairment) | Expectedcreditlossesovertheentireduration(withcreditimpairment) | ||
| BalanceonSunday,January1,2023inthecurrentperiod |
Basisfordivisionofeachstageandprovisionratioforbaddebts
(4)Debtinvestmentsactuallywrittenoffduringtheperiod
Unit:yuan
| Item | Amountwrittenoff |
Significantwrite-offsofdebtinvestmentsDebtinvestmentwrite-offs:
Changesinbookbalancewithsignificantchangesinthecurrentperiodofprovisionforloss
□Applicable√NotapplicableOtherdescription:
15.Otherdebtinvestments
(1)Otherdebtinvestments
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Accruedinterest | Interestadjustments | Fairvaluechangeincurrentperiod | ClosingBalance | Cost | Accumulatedfairvaluechange | Accumulatedimpairmentprovisionrecognizedinothercomprehensiveincome | Remark |
(2)Changesintheprovisionforimpairmentofotherdebtinvestmentsduringtheperiod
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
Otherimportantdebtinvestmentsattheendoftheperiod
Unit:yuan
| Debtitem | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookvalue | Couponrate | Actualrate | Maturitydate | Overdueprincipal | Bookvalue | Couponrate | Actualrate | Maturitydate | Overdueprincipal | |
(3)Provisionforimpairment
Unit:yuan
| Provisionforbaddebt | Stage1 | Stage2 | Stage3 | Total |
| Expectedcreditlossesoverthenext12months | Expectedcreditlossesovertheentireduration(withoutcreditimpairment) | Expectedcreditlossesovertheentireduration(withcreditimpairment) | ||
| BalanceonSunday,January1,2023inthecurrentperiod |
Basisfordivisionofeachstageandprovisionratioforbaddebts
(4)Otherdebtinvestmentactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
Importantwrite-offsofotherdebtinvestmentsChangesinbookbalancewithsignificantchangesinthecurrentperiodofprovisionforloss
□Applicable√NotapplicableOtherdescription:
16.Otherequityinstrumentinvestments
Unit:yuan
| Projectname | ClosingBalance | Balanceatthebeginningoftheperiod | Gainrecognizedinothercomprehensiveincomefortheperiod | Lossincludedinothercomprehensiveincomefortheperiod | Accumulatedgainsincludedinothercomprehensiveincomeattheendoftheperiod | Lossaccumulatedinothercomprehensiveincomeattheendoftheperiod | Dividendincomerecognizedduringtheperiod | Reasonsfordesignatingtobemeasuredatfairvalueanditschangesarerecordedintoothercomprehensiveincome |
Derecognitionoccurredinthecurrentperiod
Unit:yuan
| Projectname | Accumulatedgainstransferredtoretainedearnings | Cumulativelossestransferredtoretainedearnings | Reasonsforterminationofconfirmation |
Itemizeddisclosureofthecurrentnon-tradingequityinstrumentinvestment
Unit:yuan
| Projectname | Recognizeddividendincome | Accumulatedgains | Accumulatedlosses | Amountofothercomprehensiveincometransferredintoretainedincome | Reasonsfordesignatingtobemeasuredatfairvalueanditschangesarerecordedintoothercomprehensiveincome | Reasonsforothercomprehensiveincometransferringintoretainedincome |
Otherdescription:
17.Long-termreceivables
(1)Long-termreceivables
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | Discountraterange | ||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | ||
| Financeleases | 40,068,572.38 | 40,068,572.38 | |||||
| Including:unrealizedfinancingincome. | -9,320,807.04 | -9,320,807.04 | |||||
| Non-currentassetsduewithinayear | -4,379,308.17 | -4,379,308.17 | |||||
| Total | 35,689,264.21 | 35,689,264.21 | |||||
(2)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Including: | ||||||||||
| Including: | ||||||||||
Provisionforbaddebtsbasedonthegeneralexpectedcreditloss(ECL)model
Unit:yuan
| Provisionforbaddebt | Stage1 | Stage2 | Stage3 | Total |
| Expectedcreditlossesoverthenext12months | Expectedcreditlossesovertheentireduration(withoutcreditimpairment) | Expectedcreditlossesovertheentireduration(withcreditimpairment) | ||
| BalanceonSunday,January1,2023inthecurrentperiod |
Basisfordivisionofeachstageandprovisionratioforbaddebts
(3)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Otherchanges | |||
Wheretheamountofbaddebtprovisionreversedorrecoveredisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
(4)Long-termreceivablesactuallywrittenoffduringtheperiod
Unit:yuan
| Item | Amountwrittenoff |
Significantlong-termreceivableswrittenoff:
Unit:yuan
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Notesonthewrite-offoflong-termreceivables:
18.Long-termequityinvestment
Unit:yuan
| Investedunit | Beginningbalance(bookvalue) | Openingbalanceofprovisionforimpairment | Increaseordecreaseincurrentperiod | Endingbalance(bookvalue) | Endingbalanceofimpairmentprovision | |||||||
| Furtherinvestment | Capitalreduction | Investmentgainsandlossesrecognizedbytheequitymethod | Adjustmentofothercomprehensiveincome | Changesinotherequity | Declaredpaymentofcashdividendsorprofits | Provisionforimpairment | Others | |||||
| I.Jointventures | ||||||||||||
| II.Cooperativeenterprise | ||||||||||||
| ChengduWinner | 21,642,696.16 | 1,184,337.91 | 2,450,000.00 | 20,377,034.07 | ||||||||
| HubeiXianchuangTechnologyCo.,Ltd. | 104,939.83 | 397,270.30 | 502,210.13 | |||||||||
| Subtotal | 21,747,635.99 | 1,581,608.21 | 2,450,000.00 | 20,879,244.20 | ||||||||
| Total | 21,747,635.99 | 1,581,608.21 | 2,450,000.00 | 20,879,244.20 | ||||||||
Therecoverableamountisdeterminedaccordingtothehigherofthenetamountoftheassetsfairvaluesubtractedbythedisposalcosts
□Applicable√NotapplicableTherecoverableamountisdeterminedbasedonthepresentvalueofexpectedfuturecashflows
□Applicable√NotapplicableReasonsfortheapparentinconsistencybetweentheaforementionedinformationandthedatausedinimpairmenttestinginprioryearsorexternalinformationN/AReasonsforthevariancebetweentheinformationutilizedintheCompany’simpairmenttestinginprioryearsandtheactualcircumstancesofthecurrentyearN/AOtherdescription:
19.Othernon-currentfinancialassets
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Equityinstrumentinvestments | 70,000,000.00 | 40,000,000.00 |
| Total | 70,000,000.00 | 40,000,000.00 |
Otherdescription:
20.Investmentrealestates
(1)Investmentrealestatesusingcostmeasurementmode
√Applicable□Notapplicable
Unit:yuan
| Item | Housesandbuildings | Landuseright | Constructioninprogress | Total |
| I.Originalbookvalue | ||||
| 1.Balanceatthebeginningoftheperiod | 10,739,083.13 | 10,739,083.13 | ||
| 2.Amountincreasedincurrentperiod | ||||
| (1)Outsourcing | ||||
| (2)Transferfrominventory/fixedassets/constructioninprogress | ||||
| (3)Increasebybusinesscombination | ||||
| 3.Amountdecreasedincurrentperiod | ||||
| (1)Disposal | ||||
| (2)Otherroll-out | ||||
| 4.ClosingBalance | 10,739,083.13 | 10,739,083.13 | ||
| II.Accumulateddepreciationandaccumulatedamortization | ||||
| 1.Balanceatthebeginningoftheperiod | 1,992,068.88 | 1,992,068.88 | ||
| 2.Amountincreasedincurrentperiod | 1,053,672.46 | 1,053,672.46 | ||
| (1)Provisionoramortization | 1,053,672.46 | 1,053,672.46 | ||
| 3.Amountdecreasedincurrentperiod | ||||
| (1)Disposal | ||||
| (2)Otherroll-out | ||||
| 4.ClosingBalance | 3,045,741.34 | 3,045,741.34 | ||
| III.Provisionforimpairment | ||||
| 1.Balanceatthebeginningoftheperiod | ||||
| 2.Amountincreasedincurrentperiod |
| Item | Housesandbuildings | Landuseright | Constructioninprogress | Total |
| (1)Accrual | ||||
| 3.Amountdecreasedincurrentperiod | ||||
| (1)Disposal | ||||
| (2)Otherroll-out | ||||
| 4.ClosingBalance | ||||
| IV.Bookvalue | ||||
| 1.Endingbookvalue | 7,693,341.79 | 7,693,341.79 | ||
| 2.Beginningbookvalue | 8,747,014.25 | 8,747,014.25 |
Therecoverableamountisdeterminedaccordingtothehigherofthenetamountoftheassetsfairvaluesubtractedbythedisposalcosts
□Applicable√NotapplicableTherecoverableamountisdeterminedbasedonthepresentvalueofexpectedfuturecashflows
□Applicable√NotapplicableReasonsfortheapparentinconsistencybetweentheaforementionedinformationandthedatausedinimpairmenttestinginprioryearsorexternalinformationN/AReasonsforthevariancebetweentheinformationutilizedintheCompany’simpairmenttestinginprioryearsandtheactualcircumstancesofthecurrentyearN/AOtherdescription:
None
(2)Investmentrealestatesusingfairvaluemeasurementmode
□Applicable√Notapplicable
(3)Convertedtoinvestmentpropertyandvaluedatfairvalue
Unit:yuan
| Item | Accountsbeforeconversion | Amount | Conversionreason | Approvalprocedures | Impactonprofitorloss | Impactonothercomprehensiveincome |
(4)Investmentrealestateswithoutcertificateoftitle
Unit:yuan
| Item | Bookvalue | Reasonsfornotobtainingthecertificateoftitle |
Otherdescription:
21.Fixedassets
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Fixedassets | 2,749,018,750.62 | 2,312,982,598.88 |
| Total | 2,749,018,750.62 | 2,312,982,598.88 |
(1)Fixedassets
Unit:yuan
| Item | Housesandbuilding | Machineryequipment | Transportationequipment | Electronicequipmentandofficeequipment,etc. | Total |
| I.Originalbookvalue: | |||||
| 1.Balanceatthebeginningoftheperiod | 1,539,756,530.45 | 1,738,833,686.67 | 32,042,953.81 | 173,097,303.06 | 3,483,730,473.99 |
| 2.Amountincreasedincurrentperiod | 515,581,061.39 | 244,193,161.07 | 4,987,640.28 | 15,506,096.57 | 780,267,959.31 |
| (1)Purchase | 39,289,356.95 | 104,783,316.30 | 1,718,927.89 | 12,061,059.72 | 157,852,660.86 |
| (2)Transferfromconstructioninprogress | 422,939,409.33 | 93,296,726.87 | 1,637,866.64 | 517,874,002.84 | |
| (3)Increasebybusinesscombination | 53,352,295.11 | 46,113,117.90 | 3,268,712.39 | 1,807,170.21 | 104,541,295.61 |
| 3.Amountdecreasedincurrentperiod | 45,508,790.43 | 122,452,296.25 | 1,486,722.32 | 24,469,263.69 | 193,917,072.69 |
| (1)Disposalorscrap | 45,508,790.43 | 122,452,296.25 | 1,486,722.32 | 24,469,263.69 | 193,917,072.69 |
| 4.ClosingBalance | 2,009,828,801.41 | 1,860,574,551.49 | 35,543,871.77 | 164,134,135.94 | 4,070,081,360.61 |
| II.Accumulateddepreciation | |||||
| 1.Balanceatthebeginningoftheperiod | 342,594,926.93 | 597,986,893.92 | 18,669,157.81 | 87,708,190.39 | 1,046,959,169.05 |
| 2.Amountincreasedincurrentperiod | 69,485,618.51 | 148,331,950.96 | 4,626,339.44 | 26,598,885.75 | 249,042,794.66 |
| (1)Accrual | 66,327,702.62 | 145,447,227.12 | 3,745,028.42 | 26,356,373.89 | 241,876,332.05 |
| (2)Increasebybusinesscombination | 3,157,915.89 | 2,884,723.84 | 881,311.02 | 242,511.86 | 7,166,462.61 |
| 3.Amountdecreasedincurrentperiod | 29,865,953.21 | 43,192,397.01 | 1,219,541.07 | 21,552,966.59 | 95,830,857.88 |
| (1)Disposalorscrap | 29,865,953.21 | 43,192,397.01 | 1,219,541.07 | 21,552,966.59 | 95,830,857.88 |
| 4.ClosingBalance | 382,214,592.23 | 703,126,447.87 | 22,075,956.18 | 92,754,109.55 | 1,200,171,105.83 |
| III.Provisionforimpairment | |||||
| 1.Balanceatthebeginningoftheperiod | 43,277,161.98 | 79,082,344.13 | 25,258.85 | 1,403,941.10 | 123,788,706.06 |
| 2.Amountincreasedincurrentperiod | 1,457,194.17 | 13,111.06 | 1,470,305.23 | ||
| (1)Accrual | 1,457,194.17 | 13,111.06 | 1,470,305.23 | ||
| 3.Amountdecreasedincurrentperiod | 4,070,489.91 | 297,017.22 | 4,367,507.13 | ||
| (1)Disposalorscrap | 4,070,489.91 | 297,017.22 | 4,367,507.13 | ||
| 4.ClosingBalance | 43,277,161.98 | 76,469,048.39 | 25,258.85 | 1,120,034.94 | 120,891,504.16 |
| IV.Bookvalue | |||||
| 1.Endingbookvalue | 1,584,337,047.20 | 1,080,979,055.23 | 13,442,656.74 | 70,259,991.45 | 2,749,018,750.62 |
| 2.Beginningbookvalue | 1,153,884,441.54 | 1,061,764,448.62 | 13,348,537.15 | 83,985,171.57 | 2,312,982,598.88 |
(2)Fixedassetsthataretemporarilyidle
Unit:yuan
| Item | Originalbookvalue | Accumulateddepreciation | Provisionforimpairment | Bookvalue | Remark |
| Housesandbuilding | 36,623.93 | 24,171.79 | 8,789.75 | 3,662.39 | |
| Machineryequipment | 36,313,653.56 | 16,519,158.73 | 3,763,922.85 | 16,030,571.98 | |
| Electronicequipmentandofficeequipment,etc. | 465,676.93 | 193,738.05 | 10,204.04 | 261,734.84 | |
| Total | 36,815,954.42 | 16,737,068.57 | 3,782,916.64 | 16,295,969.21 |
(3)Fixedassetsleasedoutbyoperatinglease
(4)Fixedassetswithoutcertificateoftitle
Unit:yuan
| Item | Bookvalue | Reasonsfornotobtainingthecertificateoftitle |
| WinnerMedical(Tianmen)-Automatedstorage | 65,000,041.16 | Theformalitieshavenotyetbeencompleted |
| SpunlacePhaseIIINo.2FinishedProductWorkshopProjectofWinnerMedical(Tianmen) | 13,630,500.13 | Theformalitieshavenotyetbeencompleted |
| WinnerMedical(Wuhan)-No.1SortingWorkshops(PhaseII) | 63,227,429.04 | Theformalitieshavenotyetbeencompleted |
| WinnerMedical(Wuhan)-No.2SortingWorkshops(PhaseII) | 123,176,674.20 | Theformalitieshavenotyetbeencompleted |
| WinnerMedical(Wuhan)-No.3SortingWorkshops(PhaseII) | 55,901,342.48 | Theformalitieshavenotyetbeencompleted |
Otherdescription:
(5)Impairmenttestingoffixedassets
√Applicable□NotapplicableTherecoverableamountisdeterminedaccordingtothehigherofthenetamountoftheassetsfairvaluesubtractedbythedisposalcosts
□Applicable√NotapplicableTherecoverableamountisdeterminedbasedonthepresentvalueofexpectedfuturecashflows
□Applicable√NotapplicableReasonsfortheapparentinconsistencybetweentheaforementionedinformationandthedatausedinimpairmenttestinginprioryearsorexternalinformation
ReasonsforthevariancebetweentheinformationutilizedintheCompany’simpairmenttestinginprioryearsandtheactualcircumstancesofthecurrentyearOtherdescription:
(6)Liquidationoffixedassets
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherdescription:
22.Constructioninprogress
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Constructioninprogress | 984,571,329.05 | 765,009,910.63 |
| Total | 984,571,329.05 | 765,009,910.63 |
(1)Constructioninprogress
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
| WinnerMedical(Wuhan)engineeringproject | 312,034,251.51 | 312,034,251.51 | 375,173,643.40 | 375,173,643.40 | ||
| WinnerMedical(Jiayu)engineeringproject | 308,354,182.04 | 308,354,182.04 | 165,245,291.40 | 165,245,291.40 | ||
| WinnerMedical(Shenzhen)engineeringproject | 76,348,750.97 | 76,348,750.97 | 12,844,241.04 | 12,844,241.04 | ||
| WinnerMedical(Hunan)engineeringproject | 59,274,700.93 | 59,274,700.93 | 597,437.74 | 597,437.74 | ||
| LongtermMedicalengineeringproject | 18,342,398.26 | 18,342,398.26 | 285,487.51 | 285,487.51 | ||
| WinnerGuilinengineeringproject | 46,030,337.25 | 10,205,833.26 | 35,824,503.99 | 1,877,054.35 | 1,877,054.35 | |
| WinnerMedical(Huanggang)EngineeringProject | 12,299,188.10 | 12,299,188.10 | 83,828,495.28 | 83,828,495.28 | ||
| Jingmeninfrastructureproject | 36,276,311.67 | 36,276,311.67 | ||||
| Tianmeninfrastructureproject | 1,009,831.16 | 1,009,831.16 | 397,954.71 | 397,954.71 | ||
| Otherequipmenttobeinstalledandsporadicprojects | 161,112,922.09 | 29,400.00 | 161,083,522.09 | 99,349,473.53 | 10,865,480.00 | 88,483,993.53 |
| Total | 994,806,562.31 | 10,235,233.26 | 984,571,329.05 | 775,875,390.63 | 10,865,480.00 | 765,009,910.63 |
(2)Currentchangesinmajorprojectsunderconstruction
Unit:yuan
| Projectname | Budgetnumber | Balanceatthebeginningoftheperiod | Amountincreasedincurrentperiod | Amountcarriedforwardtofixedassetsincurrentperiod | Otherdecreasesincurrentperiod | Cumulativeinvestmentintheproject | Accumulatedamountofinterestcapitalization | Including:interestcapitalizationfundsinthecurrentperiod | Fundsforthecurrentperiod | |||
| ClosingBalance | Proportiontothebudget | Progressofworks | Interestcapitalizationrate | Sourceoffunds | ||||||||
| IntegratedWorkshopProjectofWinnerMedical(Huanggang) | 85,000,000.00 | 83,828,495.28 | 277,357.92 | 84,105,853.20 | 98.95% | 100.00% | Others | |||||
| WinnerIndustrialPark(Jiayu)ProjectConstructionEngineeringofWorkshop1-4 | 272,380,000.00 | 141,859,864.32 | 43,523,853.22 | 185,383,717.54 | 68.06% | 68.06% | Others | |||||
| ComprehensiveWorkshopEngineeringofWinnerMedical(Jingmen) | 73,000,000.00 | 36,276,311.67 | 41,574,765.10 | 77,851,076.77 | 106.65% | 100.00% | Others | |||||
| PileFoundationWorksforPhaseII1-3SortingCenterofWinnerMedical(Wuhan) | 268,000,000.00 | 184,403,669.79 | 57,901,775.91 | 242,305,445.70 | 90.41% | 100.00% | Others | |||||
| WinnerMedical(Wuhan)PhaseIIMainProject | 110,871,722.11 | 91,545,458.64 | 91,545,458.64 | 82.57% | 95.00% | Others | ||||||
| AutomatedStorageEngineeringinPhaseIIPlantofWinnerMedical(Wuhan) | 96,000,000.00 | 21,238,938.05 | 59,469,026.55 | 80,707,964.60 | 84.07% | 95.00% | Others | |||||
| R&DCenterProjectofWinnerMedical(Wuhan) | 35,666,270.00 | 19,632,809.17 | 11,452,472.03 | 31,085,281.20 | 87.16% | 95.00% | Others | |||||
| ShiftBuildingandCanteenExpansionProjectofWinnerMedical(Wuhan) | 33,213,730.00 | 19,928,238.00 | 11,777,162.06 | 31,705,400.06 | 95.46% | 98.00% | Others | |||||
| MedicalIndustryBuildingofWinnerMedical(Shenzhen) | 261,723,960.00 | 2,741,232.41 | 66,245,742.34 | 68,986,974.75 | 26.36% | 14.00% | Others | |||||
| WinnerMedical(Hunan)MedicalDeviceIndustrialParkProjectPhaseI | 600,000,000.00 | 597,437.74 | 58,677,263.19 | 59,274,700.93 | 9.88% | 60.00% | Others | |||||
| Total | 1,835,855,682.11 | 602,052,455.07 | 350,899,418.32 | 404,262,375.67 | 548,689,497.72 | |||||||
(3)Provisionforimpairmentofconstructioninprogressincurrentperiod
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance | Reasonforaccrual |
| BeltpressingandthreadingmachineforN95masks | 9,899,180.00 | 9,899,180.00 | |||
| Loaderandothers | 966,300.00 | 29,400.00 | 966,300.00 | 29,400.00 | |
| WinnerGuilin-Buildingsin1-3#Workshops | 10,205,833.26 | 10,205,833.26 | Projectonholdduetopolicyreason | ||
| Total | 10,865,480.00 | 10,235,233.26 | 10,865,480.00 | 10,235,233.26 | -- |
Otherdescription:
(4)Impairmenttestingofconstructioninprogress
□Applicable√Notapplicable
(5)Engineeringmaterials
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
Otherdescription:
23.Productivebiologicalassets
(1)Productivebiologicalassetsusingcostmeasurementmode
□Applicable√Notapplicable
(2)Impairmenttestingofproductivebiologicalassetsusingthecostmeasurementmodel
□Applicable√Notapplicable
(3)Productivebiologicalassetsusingfairvaluemeasurementmode
□Applicable√Notapplicable
24.Oilandgasassets
□Applicable√Notapplicable
25.Right-of-useassets
(1)Right-of-useassets
Unit:yuan
| Item | Housebuilding | Total |
| I.Originalbookvalue | ||
| 1.Balanceatthebeginningoftheperiod | 916,984,153.11 | 916,984,153.11 |
| 2.Amountincreasedincurrentperiod | 215,342,341.68 | 215,342,341.68 |
| (1)Newlease | 207,448,900.27 | 207,448,900.27 |
| (2)Increasebybusinesscombination | 7,893,441.41 | 7,893,441.41 |
| 3.Amountdecreasedincurrentperiod | 266,772,845.29 | 266,772,845.29 |
| (1)Disposal | 266,772,845.29 | 266,772,845.29 |
| 4.ClosingBalance | 865,553,649.50 | 865,553,649.50 |
| II.Accumulateddepreciation | ||
| 1.Balanceatthebeginningoftheperiod | 444,628,027.47 | 444,628,027.47 |
| Item | Housebuilding | Total |
| 2.Amountincreasedincurrentperiod | 225,687,987.31 | 225,687,987.31 |
| (1)Accrual | 224,710,757.36 | 224,710,757.36 |
| (2)Increasebybusinesscombination | 985,973.86 | 985,973.86 |
| (3)Exchangeratemovement | -8,743.91 | -8,743.91 |
| 3.Amountdecreasedincurrentperiod | 222,258,386.64 | 222,258,386.64 |
| (1)Disposal | 222,258,386.64 | 222,258,386.64 |
| 4.ClosingBalance | 448,057,628.14 | 448,057,628.14 |
| III.Provisionforimpairment | ||
| 1.Balanceatthebeginningoftheperiod | ||
| 2.Amountincreasedincurrentperiod | ||
| (1)Accrual | ||
| 3.Amountdecreasedincurrentperiod | ||
| (1)Disposal | ||
| 4.ClosingBalance | ||
| IV.Bookvalue | ||
| 1.Endingbookvalue | 417,496,021.36 | 417,496,021.36 |
| 2.Beginningbookvalue | 472,356,125.64 | 472,356,125.64 |
(2)Testingforimpairmentofright-of-useassets
□Applicable√NotapplicableOtherdescription:
26.Intangibleassets
(1)Intangibleassets
Unit:yuan
WinnerMedicalItem
| Item | Landuseright | Patentright | Nonpatentedtechnology | Softwareuseright | Franchiseduseright | Trademarkright | Clientrelations | Total |
| I.Originalbookvalue | ||||||||
| 1.Balanceatthebeginningoftheperiod | 566,900,313.57 | 269,943,554.50 | 83,745,573.57 | 10,228,226.53 | 67,090,980.97 | 180,488,908.40 | 1,178,397,557.54 | |
| 2.Amountincreasedincurrentperiod | 14,767,966.00 | 14,898,538.57 | 28,080,000.00 | 9,080,000.00 | 66,826,504.57 | |||
| (1)Purchase | 13,115.00 | 14,898,538.57 | 14,911,653.57 | |||||
| (2)InternalR&D | ||||||||
| (3)Increasebybusinesscombination | 14,754,851.00 | 28,080,000.00 | 9,080,000.00 | 51,914,851.00 | ||||
| 3.Amountdecreasedincurrentperiod | 33,988,851.00 | 80,968.09 | 67,000.00 | 34,136,819.09 | ||||
| (1)Disposal | 9,018,493.00 | 80,968.09 | 67,000.00 | 9,166,461.09 | ||||
| (2)Otherdecreases | 24,970,358.00 | 24,970,358.00 | ||||||
| 4.ClosingBalance | 547,679,428.57 | 269,943,554.50 | 98,563,144.05 | 10,228,226.53 | 95,103,980.97 | 189,568,908.40 | 1,211,087,243.02 | |
| II.Accumulatedamortization | ||||||||
| 1.Balanceatthebeginningoftheperiod | 51,413,899.49 | 22,902,340.61 | 48,333,127.60 | 10,228,226.53 | 7,377,554.38 | 5,032,605.48 | 145,287,754.09 | |
| 2.Amountincreasedincurrentperiod | 13,069,639.33 | 29,325,576.50 | 6,832,684.40 | 7,746,945.04 | 17,450,479.45 | 74,425,324.72 | ||
| (1)Accrual | 12,448,088.33 | 29,325,576.50 | 6,832,684.40 | 7,746,945.04 | 17,450,479.45 | 73,803,773.72 | ||
| (2)Increasebybusinesscombination | 621,551.00 | 621,551.00 | ||||||
| 3.Amountdecreasedincurrentperiod | 3,791,683.44 | 12,135.86 | 50,250.00 | 3,854,069.30 | ||||
| (1)Disposal | 3,791,683.44 | 12,135.86 | 50,250.00 | 3,854,069.30 | ||||
| 4.ClosingBalance | 60,691,855.38 | 52,227,917.11 | 55,153,676.14 | 10,228,226.53 | 15,074,249.42 | 22,483,084.93 | 215,859,009.51 | |
| III.Provisionforimpairment | ||||||||
| 1.Balanceatthebeginningoftheperiod | ||||||||
| 2.Amountincreasedincurrentperiod | ||||||||
| (1)Accrual | ||||||||
| 3.Amountdecreasedincurrentperiod | ||||||||
| (1)Disposal | ||||||||
| 4.ClosingBalance | ||||||||
| IV.Bookvalue | ||||||||
| 1.Endingbookvalue | 486,987,573.19 | 217,715,637.39 | 43,409,467.91 | 80,029,731.55 | 167,085,823.47 | 995,228,233.51 | ||
| 2.Beginningbookvalue | 515,486,414.08 | 247,041,213.89 | 35,412,445.97 | 59,713,426.59 | 175,456,302.92 | 1,033,109,803.45 |
TheproportionofintangibleassetsformedthroughinternalR&DoftheCompanyinthebalanceofintangibleassetsattheendofcurrentperiod:0.00%
(2)Landuserightwithoutcertificateoftitle
Unit:yuan
| Item | Bookvalue | Reasonsfornotobtainingthecertificateoftitle |
| WinnerMedical(Shenzhen)-NorthSideofGuifangRoad,GuanlanStreetPlanning | 26,973,333.33 | Thetwocertificatesareconsolidatedintoone,andtherealestatecertificatecanbeappliedforuponcompletion |
| WinnerMedical(Hunan)-PhaseIIlandforinfusioncategory | 83,166,813.30 | Thetwocertificatesareconsolidatedintoone,andtherealestatecertificatecanbeappliedforuponcompletion |
| Total | 110,140,146.63 |
Otherdescription:
(3)Testingforimpairmentofintangibleassets
□Applicable√Notapplicable
27.Goodwill
(1)Originalbookvalueofgoodwill
Unit:yuan
| Investedentitynameorgoodwillformingmatter | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance | |
| Formedbybusinesscombination | Increasebusinessacquisition | Disposal | |||
| Businesscombinationnotundercommoncontrol-AcquisitionofWinnerMedicalMalaysia | 2,681,232.09 | 2,681,232.09 | |||
| Businesscombinationnotundercommoncontrol-AcquisitionofLongtermHealth | 390,472,978.67 | 390,472,978.67 | |||
| Businesscombinationnotundercommoncontrol-AcquisitionofWinnerGuilin | 244,814,604.75 | 8,401,335.65 | 253,215,940.40 | ||
| Businesscombinationnotundercommoncontrol-AcquisitionofWinnerMedical(Hunan) | 388,989,258.26 | 388,989,258.26 | |||
| Businesscombinationnotundercommoncontrol-AcquisitionofJunjianMedical | 20,397,972.33 | 20,397,972.33 | |||
| Total | 1,047,356,046.10 | 8,401,335.65 | 1,055,757,381.75 | ||
(2)Provisionforimpairmentofgoodwill
Unit:yuan
WinnerMedicalInvestedentitynameorgoodwillformingmatter
| Investedentitynameorgoodwillformingmatter | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| Accrual | Disposal | |||
| Businesscombinationnotundercommoncontrol-AcquisitionofMalaysiaWinner | 2,681,232.09 | 2,681,232.09 | ||
| Businesscombinationnotundercommoncontrol-AcquisitionofWinnerGuilin | 32,642,673.30 | 32,642,673.30 | ||
| Businesscombinationnotundercommoncontrol-AcquisitionofWinnerMedical(Hunan) | 156,144,473.91 | 156,144,473.91 | ||
| Total | 2,681,232.09 | 188,787,147.21 | 191,468,379.30 |
(3)Informationrelatingtotheassetgrouporassetgroupcombinationofgoodwill
| Name | Thecompositionandbasisoftheassetgrouporportfolioitbelongsto | Operatingsegmentsandbasis | Isitconsistentwithpreviousyears? |
| LongtermMedicalanditssubsidiaries | LongtaiMedicalanditssubsidiariesoperaterelatedlong-termassets,withcashinflowsgeneratedbeinglargelyindependentofthosegeneratedbyotherassetsorassetgroups. | Yes | |
| WinnerGuilinanditssubsidiaries | WinnerGuilinanditssubsidiariesoperaterelatedlong-termassets,withcashinflowsgeneratedbeinglargelyindependentofthosegeneratedbyotherassetsorassetgroups. | No | |
| WinnerMedical(Hunan) | WinnerMedical(Hunan)anditssubsidiariesoperaterelatedlong-termassets,withthecashinflowsgeneratedbeingessentiallyindependentofthosegeneratedbyotherassetsorassetgroups. | Yes | |
| JunjianMedical | JunjianMedicaloperaterelatedlong-termassets,withcashinflowsgeneratedbeinglargelyindependentJunjiangeneratedbyotherassetsorassetgroups. | Yes |
Changesinassetgroupsorcombinationsofassetgroups
| Name | Compositionbeforethechange | Compositionafterthechange | Objectivefactsandbasisleadingtochanges |
| WinnerGuilinanditssubsidiaries | Operatinglong-termassetsofWinnerGuilin | Operatinglong-termassetsofWinnerGuilinanditssubsidiaries | Acquisitionofsubsidiaries |
Otherdescription
(4)SpecificmethodfordeterminingrecoverableamountTherecoverableamountisdeterminedaccordingtothehigherofthenetamountoftheassetsfairvaluesubtractedbythedisposalcosts
□Applicable√Notapplicable
Therecoverableamountisdeterminedbasedonthepresentvalueofexpectedfuturecashflows
√Applicable□Notapplicable
Unit:yuan
| Item | Bookvalue | Recoverableamount | Impairmentamount | Yearsoftheforecastperiod | Keyparametersfortheforecastperiod | Keyparametersforthestabilizationperiod | Basisfordeterminingthekeyparametersofthestableperiod |
| LongtermMedicalanditssubsidiaries | 1,380,269,574.65 | 1,500,150,000.00 | 5 | [Note1] | [Note1] | Thepre-taxdiscountratelevelisdeterminedbasedontheregionwheretheCompany’smainbusinessislocatedandthebusinessscope,consideringthepastperformanceoftheassetgroup,productionexpansionplans,andexpectationsforthedevelopmentofthemarketinwhichitoperates. | |
| WinnerGuilinanditssubsidiaries | 578,432,673.30 | 545,790,000.00 | 32,642,673.30 | 5 | [Note2] | [Note2] | Thepre-taxdiscountratelevelisdeterminedbasedontheregionwheretheCompany’smainbusinessislocatedandthebusinessscope,consideringthepastperformanceoftheassetgroup,productionexpansionplans,andexpectationsforthedevelopmentofthemarketinwhichitoperates. |
| WinnerMedical(Hunan) | 965,514,532.61 | 738,230,000.00 | 156,144,473.91 | 5 | [Note3] | [Note3] | Thepre-taxdiscountratelevelisdeterminedbasedontheregionwheretheCompany’smainbusinessislocatedandthebusinessscope,consideringthepastperformanceoftheassetgroup,productionexpansionplans,andexpectationsforthedevelopmentofthemarketinwhichitoperates. |
| JunjianMedical | 130,313,066.66 | 214,578,947.95 | 5 | [Note4] | [Note4] | Thepre-taxdiscountratelevelisdeterminedbasedontheregionwheretheCompany’smainbusinessislocatedandthebusinessscope,consideringthepastperformanceoftheassetgroup,andexpectationsforthedevelopmentofthemarketinwhichitoperates. | |
| Total | 3,054,529,847.22 | 2,998,748,947.95 | 188,787,147.21 |
Reasonsfortheapparentinconsistencybetweentheaforementionedinformationandthedatausedinimpairmenttestinginprioryearsorexternalinformation[Note1]ZhejiangLongtermanditssubsidiariesaremainlyengagedintheresearchanddevelopment,productionandsalesofproductsrelatedtowoundcare,puncturecare,stomacare,disinfection,minimallyinvasiveandothers.Basedonacomprehensiveanalysisofitssignedcontracts,agreements,developmentplans,businesstrendsovertheyears,marketcompetitionandotherfactors,accordingtospecificproductcategories,itispredictedthattheincomegrowthratesfrom2024to2028willbe13.10%,14.09%,11.62%,8.79%and5.65%,respectively.Grossmarginsare
45.78%,45.34%,45.06%,44.77%,and44.51%from2024to2028,respectively.Inthestableperiod,therevenuegrowthrateiszero,maintainingconsistencywiththegrossprofitmarginof2028,andapplyingadiscountrateof12.36%.[Note2]WinnerGuilinanditssubsidiariesaremainlyengagedintheresearchanddevelopment,productionandsalesofproductssuchasmedicalgloves,protectiveglovesandcondoms.Basedonacomprehensiveanalysisofitssignedcontracts,agreements,developmentplans,businesstrendsovertheyears,marketcompetitionandotherfactors,accordingtospecificproductcategories,itispredictedthattheincomegrowthratesfrom2024to2028willbe17.99%,23.80%,23.61%,16.42%and8.37%,respectively.Grossmarginsare24.22%,25.94%,27.79%,28.58%,and
28.61%from2024to2028,respectively.Inthestableperiod,therevenuegrowthrateiszero,maintainingconsistencywiththegrossprofitmarginof2028,andapplyingadiscountrateof11.72%.[Note3]WinnerMedical(Hunan)anditssubsidiariesaremainlyengagedintheresearchanddevelopment,productionandsalesofdisposablesterileinfusionmedicaldevices.Basedonacomprehensiveanalysisofitssignedcontracts,agreements,developmentplans,businesstrendsovertheyears,marketcompetitionandotherfactors,accordingtospecificproductcategories,itispredictedthattheincomegrowthratesfrom2024to2028willbe16.36%,38.60%,31.11%,15.60%and10.72%,respectively.Grossmarginsare27.38%,24.70%,26.28%,27.65%,and28.23%from2024to2028,respectively.Inthestableperiod,therevenuegrowthrateiszero,maintainingconsistencywiththegrossprofitmarginof2028,andapplyingadiscountrateof11.64%.[Note4]JunjianMedicalismainlyengagedinthesalesofmedicalequipment.Basedonacomprehensiveanalysisofitssignedcontracts,agreements,developmentplans,businesstrendsovertheyears,marketcompetitionandotherfactors,accordingtospecificproductcategories,itispredictedthattheincomegrowthratesfrom2024to2028willbe8.50%,18.11%,23.34%,19.67%and18.91%,respectively.Grossmarginsare
42.67%,40.86%,39.62%,39.51%and38.90%from2024to2028,respectively.Inthestableperiod,therevenuegrowthrateiszero,maintainingconsistencywiththegrossprofitmarginof2028,andapplyingadiscountrateof15.17%.
TheCompanyengagedYinxinAppraisalCo.,Ltd.toperformimpairmenttestsandproduceassetevaluationreportsregardingthegoodwillgeneratedfromtheacquisitionofequityinitsthreesubsidiaries:ZhejiangLongtermMedicalTechnologyCo.,Ltd.,WinnerGuilinLatexCo.,Ltd.,andWinnerMedical(Hunan)Co.,Ltd.Intheimpairmenttest,thepresentvalue(recoverableamount)oftheestimatedfuturecashflowsofthethreecompanieswasevaluatedusingthegoodwillformedbythemergerandacquisitionofZhejiangLongtaiMedicalTechnologyCo.,Ltd.byWinnerMedicalCo.,Ltd.forfinancialreportingpurposes.TheevaluationresultswereobtainedfromtheAssetEvaluationReportontheRecoverableAmountoftheAssetGroup(YinXinPingBaoZi[2024]No.D00027),theAssetAssessmentReportontheRecoverableAmountoftheAssetGroupforWinnerMedicalCo.,Ltd.’sacquisitionofWinnerGuilinLatexCo.,Ltd.forfinancialreportingpurposes(YinxinPingbaoZi[2024]No.D00026),andtheAssetEvaluationReportontheRecoverableAmountoftheAssetGroupforWinnerMedicalCo.,Ltd’sinvolvementinthefinancialreportingpurposeofitsmergerwithWinnerMedical(Hunan)Co.,Ltd.,(YinXinPingBaoZi[2024]No.D00025).Followingtheassessment,therecoverableamountofZhejiangLongtaiMedicalTechnologyCo.,Ltd.exceededthebookvalueoftheassetgroup,includinggoodwill,thusnogoodwillimpairmentprovisionwasmadeforthisperiod.Conversely,therecoverableamountofWinnerGuilinLatexCo.,Ltd.waslowerthanthebookvalueoftheassetgroup,resultinginagoodwillimpairmentprovisionof32,642,673.30yuaninthecurrentperiod.Similarly,therecoverableamountofWinnerPinganMedical(Hunan)Co.,Ltd.wasalsolowerthanthebookvalueoftheassetgroupcontaininggoodwill,leadingtoagoodwillimpairmentprovisionof156,144,473.91yuaninthecurrentperiod.ThereasonsforthevariancebetweentheCompany’simpairmenttestinformationfrompreviousyearsandthecurrentyear’sactualsituationarenotapplicable.
(5)CompletionofperformancecommitmentsandcorrespondingimpairmentofgoodwillAperformancecommitmentispresentwhengoodwillisestablished,andthereportingperiod,ortheprecedingperiod,fallswithinthecommitmentperiod.v
□Applicable√NotapplicableOtherdescription:
28.Long-termunamortizedexpenses
Unit:yuan
WinnerMedicalItem
| Item | Balanceatthebeginningoftheperiod | Amountincreasedincurrentperiod | Amortizationamountincurrentperiod | Otherdecreases | ClosingBalance |
| Decorationcost | 38,774,369.19 | 23,525,966.15 | 8,729,563.16 | 17,104,589.82 | 36,466,182.36 |
| Decorationexpensesforoperatingleasedfixedassets | 93,917,916.84 | 43,581,658.01 | 44,585,335.55 | 1,126,061.50 | 91,788,177.80 |
| Others | 0.00 | 4,159,913.21 | 1,323,803.22 | 0.00 | 2,836,109.99 |
| Total | 132,692,286.03 | 71,267,537.37 | 54,638,701.93 | 18,230,651.32 | 131,090,470.15 |
Otherdescription:
29.Deferredincometaxassets/deferredincometaxliabilities
(1)Unoffsetdeferredincometaxassets
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||
| Deductibletemporarydifferences | Deferredincometaxassets | Deductibletemporarydifferences | Deferredincometaxassets | |
| Provisionforimpairmentofassets | 563,729,896.96 | 93,836,596.43 | 635,561,435.85 | 113,878,209.59 |
| Unrealizedprofitofinternaltransaction | 95,050,168.29 | 19,008,937.89 | 176,701,413.90 | 33,954,186.63 |
| Deductibleloss | 162,261,104.42 | 27,044,245.03 | 121,028,998.43 | 29,902,881.36 |
| Dismissionwelfare | 4,779,605.32 | 716,940.80 | 2,858,415.48 | 483,093.52 |
| Deferredincome | 121,649,364.97 | 19,453,796.42 | 98,791,412.91 | 14,929,042.38 |
| Memberpoints | 8,896,543.12 | 2,224,135.78 | 9,067,179.42 | 2,266,794.86 |
| Accruedliabilities | 1,171,229.85 | 292,807.46 | 2,781,740.46 | 624,681.92 |
| Advertisingexpensesinexcessofthetaxdeductiblelimit | 1,176,743.33 | 176,511.50 | ||
| Changesinfairvalueoftradingfinancialassets | 5,189,000.26 | 778,350.04 | ||
| Deferredtaxassetsarisingfromleases | 494,525,992.95 | 115,610,000.62 | 533,664,057.97 | 125,559,711.50 |
| Total | 1,452,063,905.88 | 278,187,460.43 | 1,586,820,398.01 | 322,553,463.30 |
(2)Unoffsetdeferredincometaxliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||
| Taxabletemporarydifferences | Deferredincometaxliabilities | Taxabletemporarydifferences | Deferredincometaxliabilities | |
| Assetevaluationincrementforbusinesscombinationnotundercommoncontrol | 647,328,681.03 | 110,179,927.94 | 665,595,964.73 | 109,308,421.87 |
| Changesinfairvalueoftradingfinancialassets | 41,058,540.71 | 6,289,451.44 | 1,983,960.49 | 304,114.59 |
| Depreciationoffixedassets | 116,084,112.68 | 17,416,107.82 | 149,207,192.40 | 22,381,078.85 |
| Others | 16,907,993.66 | 2,536,199.05 | 11,223,250.00 | 1,683,487.50 |
| casethatthechangeofadifferencesarisingDeferredincometaxliabilities | 457,331,866.07 | 104,935,304.46 | 472,356,125.66 | 110,581,486.40 |
| Total | 1,278,711,194.15 | 241,356,990.71 | 1,300,366,493.28 | 244,258,589.21 |
(3)Deferredincometaxassetsorliabilitiespresentedasnetamountafteroffset
Unit:yuan
WinnerMedicalItem
| Item | Endingoffsetamountofdeferredincometaxassetsandliabilities | Endingbalanceofdeferredincometaxassetsandliabilitiesafteroffset | Beginningoffsetamountofdeferredincometaxassetsandliabilities | Beginningbalanceofdeferredincometaxassetsandliabilitiesafteroffset |
| Deferredincometaxassets | 102,836,212.41 | 175,351,248.02 | 110,581,486.40 | 211,971,976.90 |
| Deferredincometaxliabilities | 102,836,212.41 | 138,520,778.30 | 110,581,486.40 | 133,677,102.81 |
(4)Detailsofunrecognizeddeferredincometaxassets
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Deductibleloss | 237,469,440.67 | 251,019,604.38 |
| Provisionforimpairmentofassetsandamortizationofdepreciation | 1,003,903.52 | 7,053,355.76 |
| Dismissionwelfare | 996,517.00 | |
| Total | 238,473,344.19 | 259,069,477.14 |
(5)Deductiblelossesonunrecognizeddeferredincometaxassetswillexpireinthefollowingyear
Unit:yuan
| Year | Closingbalance | Beginningamount | Remark |
| 2023 | 25,574,944.59 | ||
| 2024 | 49,242,056.04 | 48,794,287.92 | |
| 2025 | 53,806,994.23 | 46,546,726.71 | |
| 2026 | 67,039,319.19 | 74,343,804.38 | |
| 2027 | 64,047,377.46 | 55,364,880.58 | |
| 2028 | 2,597,636.60 | ||
| 2029yearsandtothefollowing | |||
| Nomaturitydate | 736,057.15 | 394,960.20 | |
| Total | 237,469,440.67 | 251,019,604.38 |
Otherdescription:
30.Othernon-currentassets
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
| Advanceprojectpayment/equipmentpurchasespayment/advancestoreengineeringanddecorationpayment | 84,628,360.75 | 84,628,360.75 | 83,524,640.64 | 83,524,640.64 | ||
| ShenzhenLonghuaIndustrialParkandlanduserights | 20,228,190.61 | 20,228,190.61 | ||||
| Total | 104,856,551.36 | 104,856,551.36 | 83,524,640.64 | 83,524,640.64 | ||
Otherdescription:
31.Assetswithownershiporuserightsrestricted
Unit:yuan
| Item | Theendoftheperiod | Thebeginningoftheperiod | ||||||
| Bookbalance | Bookvalue | Typeofrestriction | Restrictedsituation | Bookbalance | Bookvalue | Typeofrestriction | Restrictedsituation | |
| Cashandcashequivalents | 28,791,288.82 | 28,791,288.82 | Securitydeposit | Fordetails,see“VII.NotestoItemsintheConsolidatedFinancialStatements/1.MonetaryFunds”. | 156,055,620.73 | 156,055,620.73 | Securitydeposit | Marginandperformancedepositdepositedforhandlinginternationalanddomesticlettersofcredit |
| Fixedassets | 189,752,483.28 | 189,752,483.28 | Pledge | Mortgage | ||||
| Intangibleassets | 24,467,616.10 | 24,467,616.10 | Pledge | LargeplotofLongtermMedical,loanmortgage,dailyproductionandoperationneeds,supplementaryworkingcapital | ||||
| Investmentrealestates | 4,766,112.61 | 4,766,112.61 | Pledge | Buildings7-9#ofLongtermMedical,loanmortgage,dailyproductionandoperationneeds,supplementaryworkingcapital | ||||
| Othernon-currentassets | 20,228,190.61 | 20,228,190.61 | Fordetails,pleaserefertoNote“XIII.OtherImportantMatters(IV)OtherImportantEventsthatAffectInvestors’Decisions2.UrbanRenewalProjectofWinnerIndustrialPark”WinnerMedical(Shenzhen)-LonghuaIndustrialPark | |||||
| Othercurrentassets | 180,000,000.00 | 180,000,000.00 | Pledgedcertificateofdeposit | Refertonote“VII.Notestotheconsolidatedfinancialstatements,item13,Othercurrentassets.” | ||||
| Total | 229,019,479.43 | 229,019,479.43 | 375,041,832.72 | 375,041,832.72 | ||||
Otherdescription:
32.Short-termloans
(1)Classificationofshort-termloans
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Guaranteedborrowing | 100,000.00 | 5,000,000.00 |
| Debtofhonor | 233,000,000.00 | 100,000,000.00 |
| Billdiscount | 1,060,000,000.00 | 1,130,050,000.00 |
| Tradefinancing(LetterofCredit,etc.) | 200,000,000.00 | 1,000,000,000.00 |
| Mortgage+Guaranteedborrowing | 60,000,000.00 | |
| Borrowinginterest | 138,955.00 | 168,930.85 |
| Total | 1,493,238,955.00 | 2,295,218,930.85 |
Descriptionofclassificationofshort-termloans:
Billdiscount:
1.WinnerMedical(Shenzhen)enteredintoabanker’sacceptanceagreementwithShenzhenLonghuaSub-branchofIndustrialandCommercialBankofChinaLimitedfromMaytoDecember2023:0400000014-2023(AcceptanceAgreement)No.00241,0400000014-2023(AcceptanceAgreement)No.00242,0400000014-2023(AcceptanceAgreement)No.00243,No.0400000014-2023(AcceptanceAgreement)00244,0400000014-2023(AcceptanceAgreement)00245,0400000014-2023(AcceptanceAgreement)00246,0400000014-2023(AcceptanceAgreement)00333,0400000014-2023(AcceptanceAgreement)No.00330,0400000014-2023(AcceptanceAgreement)No.00331,0400000014-2023(AcceptanceAgreement)No.00332,0400000014-2023(AcceptanceAgreement)No.00334,0400000014-2023(AcceptanceAgreement)No.00335,0400000014-2023(AcceptanceAgreement)No.00656,0400000014-2023(AcceptanceAgreement)No.00679,0400000014-2023(AcceptanceAgreement)No.00678,inthetotalamountof670,000,000.00yuan(sixhundredandseventymillionyuan),withinterestratesof1.15%to1.85%.AsofDecember31,2023,maturedbillsamountedto400,000,000.00yuan,whiletheamountofundiscountedbillsstoodatyuan270,000,000.00yuan.Additionally,acceptanceagreementnumber0400000014-2023(AcceptanceAgreement)No.00656involvesapledgeddepositcertificateof80millionyuan,andtheguaranteecontractnumberis0400000014-2023Longhua(Zhi)No.0466.
2.WinnerMedical(Shenzhen)enteredintoabanker’sacceptanceagreementwithAgriculturalBankofChina,ShenzhenJinxiuJiangnanSub-branch,ContractNo.81180120230001117andContractNo.81180120230001129totaling200,000,000.00(200millionyuan)inDecember2023ataninterestrateof1.20%to1.22%.AsofDecember31,2023,theamountofunduediscountedbillswas200,000,000.00yuan.
3.InMayandOctober2023,WinnerMedical(Shenzhen)enteredintobanker’sacceptanceagreementswithBankofChinaLimited,ShenzhenLonghuaSub-branch.Theseagreements,numbered2023ShenzhenZhongyinHuachengxieZiNo.0042-1and2023ShenzhenZhongyinHuachengxieZiNo.0042-2,amountedtoatotalof400millionyuan,atinterestratesof1.08%and
1.3%.AsofDecember31,2023,theoutstandingamountofdiscountedbillswas200,000,000.00yuan.
4.InJulyandOctober2023,ShenzhenPurcottonenteredintobanker’sacceptanceagreementswithICBCShenzhenLonghuaSub-branch.TheseagreementswerenumberedAcceptanceAgreementNo.0400000014-2023(AcceptanceAgreement)00416,AcceptanceAgreementNo.0400000014-2023(AcceptanceAgreement)00414,AcceptanceAgreementNo.0400000014-2023(AcceptanceAgreement)00415,andAcceptanceAgreementNo.0400000014-2023(AcceptanceAgreement)00657,totaling190,000,000.00yuan.Theinterestratesrangedfrom1.25%to1.42%.AsofDecember31,2023,theoutstandingamountofdiscountedbillswas200,000,000.00yuan.AcceptanceAgreementNo.:0400000014-2023(AcceptanceAgreement)No.00657involvesapledgeddepositcertificateof100millionyuan,withthepledgecontractnumberbeing0400000014-2023Longhua(Pledge)No.0467.Tradefinancing(LetterofCredit,etc.):
OnJanuary10,2023,WinnerMedical(Shenzhen)openedLetterofCreditNo.744101KL23000006withCITICBankShenzhenBranchfor200,000,000yuanataninterestrateof1.65%.Thecreditagreement,No.[2022SZIBANKLONGHUAZONGZHINO.0024],hadacreditlimitof500,000,000yuan.ThebeneficiaryisWinnerMedical(Chongyang)Co.,Ltd.,withnocollateralguarantee.AsofDecember31,2023,theletterofcredithasbeendiscountedbuthasnotyetexpired.Creditloan:
1.OnMarch13,2023,WinnerMedical(Shenzhen)signedaworkingcapitalloancontract(No.81010120230003946)withtheShenzhenLonghuaSub-branchofAgriculturalBankofChinaLimited.ThisagreementispartofNo.4401400202200027signedbetweenSteadfastMedicalSuppliesCompanyLimitedandtheShenzhenLonghuaSub-branch.UndertheCreditLineAgreement,theloanamountis200,000,000.00yuan,withaninterestrateof2.5%.TheborrowingperiodspansfromMarch13,2023,toMarch12,2024,andnocollateralsecurityisrequired.TheloanhasnotbeenrepaidasofSunday,December31,2023.
2.WinnerGuilinenteredintoaworkingcapitalloancontractwiththeGuilinBranchofBankofCommunicationsCo.,Ltd.onJanuary13,2023.Theloancontract,numbered[Z2212LN15663183],isbetweenWinnerGuilinLatexCo.,Ltd.andGuilinBranchofBankofCommunicationsCo.,Ltd.ItfallsundertheCreditLineAgreementNo.Z2212IN1566318300001.Theloanamountis33,000,000.00yuan,withaninterestrateof0.86%(adjustedfromthe“GuiHuiLoan”fiscalsubsidyloaninterestrateby2.79percentagepoints).TheloanperiodspansfromJanuary13,2023,toJanuary11,2024,andnorelevantmortgageguaranteeisinvolved.TheloanhasnotbeenrepaidasofSunday,December31,2023.Guaranteedborrowing:
1.LongtaiMedicalenteredintoaworkingcapitalloanagreementwiththeDeqingBranchofBankofChinaCo.,Ltd.onDecember26,2023.Thecontractisnumbered[Deqing2023Renbori295],withaloanamountof100,000.00yuanandaborrowinginterestrateof3.3%.TheloanperiodspansfromDecember26,2023,toJune25,2024,andnorelevantmortgageguaranteeisinvolved.TheloanhasnotbeenrepaidasofSunday,December31,2023.
(2)short-termloansunpaidoverdueThetotalamountofoverdueshort-termborrowingsattheendoftheperiodis0.00yuan,ofwhichtheimportantoverdueshort-termborrowingsareasfollows:
Unit:yuan
| Borrower | ClosingBalance | Borrowinginterestrate | Overduetime | Overdueinterestrate |
Otherdescription:
33.Tradablefinancialliabilities
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Including: | ||
| Including: |
Otherdescription:
34.Derivativefinancialliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherdescription:
35.Notespayable
Unit:yuan
| Type | ClosingBalance | Balanceatthebeginningoftheperiod |
| Banker’sacceptancebill | 315,902,844.15 | 24,760,000.00 |
| Total | 315,902,844.15 | 24,760,000.00 |
Thetotalamountofnotespayabledueandunpaidattheendofcurrentperiodis0.00yuan.
36.Accountspayable
(1)Presentationofaccountspayable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Within1year(including1year) | 1,088,985,790.28 | 1,094,753,592.92 |
| 1~2years(including2years) | 21,481,374.19 | 19,338,059.30 |
| 2~3years(including3years) | 1,568,734.69 | 2,914,279.27 |
| Morethan3years | 4,766,321.22 | 2,568,587.09 |
| Total | 1,116,802,220.38 | 1,119,574,518.58 |
(2)ImportantaccountspayablewithOverduetheagingmorethan1year
Unit:yuan
| Item | ClosingBalance | Reasonsforfailureofpaymentorcarryover |
Otherdescription:
None
37.Otherpayables
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Otherpayables | 591,310,917.61 | 570,843,242.88 |
| Total | 591,310,917.61 | 570,843,242.88 |
(1)Interestpayable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Importantoverdueandunpaidinterest:
Unit:yuan
| Borrower | Overdueamount | Overduereason |
Otherdescription:
(2)Dividendspayable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherexplanations,includingimportantdividendspayablethathavenotbeenpaidformorethan1year,shalldisclosethereasonsfornon-payment:
(3)Otherpayables
1)Otherpayableslistedbynature
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Marginanddeposit(1*) | 281,427,299.00 | 170,299,618.40 |
| Freightandotheraccruedexpenses | 186,895,812.59 | 222,336,599.71 |
| Commission | 58,667,353.50 | 58,911,887.83 |
| VAT&Customs(2*) | 12,701,935.49 | |
| Intercoursefundswiththethirdparties | 12,658,807.80 | 19,647,462.33 |
| ESOPstockbuybackrequirement | 10,857,500.00 | |
| Intercoursefundswithrelatedparties | 5,395,945.27 | 83,907,582.49 |
| Others | 22,706,263.96 | 15,740,092.12 |
| Total | 591,310,917.61 | 570,843,242.88 |
2)Significantoverdueaccountspayableagedover1yearorpastdue
Unit:yuan
| Item | ClosingBalance | Reasonsforfailureofpaymentorcarryover |
3)Topfivemiscellaneousaccountspayablewithclosingbalances,groupedbycounterpartyOtherdescription:
1*Theyear-on-yearincreaseisprimarilyattributedtotwokeyfactors:Firstly,theShenzhenIndustrialParkprojectreceivedasubstantialpaymentof100millionyuanfromGalaxy.Secondly,thesurgeindepositsisaresultoftheexpansionofPurcottonfranchisestores.2*Theyear-on-yearincreaseisprimarilyattributedtochangesintradingmethodsbycertainforeigntradecustomersofWinnerMedical(Shenzhen).
38.Contractliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Customerconsiderationreceived | 184,366,349.03 | 557,752,074.66 |
| Memberpoints | 8,896,543.12 | 9,067,179.42 |
| Total | 193,262,892.15 | 566,819,254.08 |
Significantcontractualobligationsagedover1year
Unit:yuan
| Item | ClosingBalance | Reasonsforfailureofpaymentorcarryover |
Amountandreasonsforsignificantchangesinbookvalueduringthereportingperiod
Unit:yuan
| Item | Amountofchange | Reasonforchange |
39.Payrollpayable
(1)Presentationofpayrollpayable
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| I.Short-termcompensation | 301,139,811.76 | 1,586,574,551.94 | 1,645,107,046.15 | 242,607,317.55 |
| II.Welfareafterdismission-definedcontributionplan | 7,455,497.14 | 126,381,258.57 | 125,970,065.49 | 7,866,690.22 |
| III.Dismissionwelfare | 3,854,932.48 | 23,679,099.83 | 23,532,804.36 | 4,001,227.95 |
| Total | 312,450,241.38 | 1,736,634,910.34 | 1,794,609,916.00 | 254,475,235.72 |
(2)Presentationofshort-termcompensation
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| 1.Salary,bonus,allowanceandsubsidy | 297,664,958.99 | 1,438,905,059.45 | 1,497,798,720.00 | 238,771,298.44 |
| 2.Welfareexpensesforemployees | 2,789,216.06 | 41,770,910.75 | 41,735,812.20 | 2,824,314.61 |
| 3.Socialsecurity | 409,397.19 | 63,505,132.10 | 63,440,825.53 | 473,703.76 |
| Including:medicalinsurancepremium | 232,375.41 | 56,051,358.70 | 56,022,955.70 | 260,778.41 |
| Industrialinjuryinsurancepremium | 124,437.99 | 4,501,318.91 | 4,465,378.05 | 160,378.85 |
| Birthinsurancepremium | 52,583.79 | 2,952,454.49 | 2,952,491.78 | 52,546.50 |
| 4.Housingaccumulationfund | 3,943.00 | 39,134,046.66 | 39,113,891.66 | 24,098.00 |
| 5.Unionduesandstaffeducationfund | 272,296.52 | 2,510,901.70 | 2,469,295.48 | 313,902.74 |
| 7.Short-termprofitsharingplan | 748,501.28 | 548,501.28 | 200,000.00 | |
| Total | 301,139,811.76 | 1,586,574,551.94 | 1,645,107,046.15 | 242,607,317.55 |
(3)Presentationofdefinedcontributionplans
Unit:yuan
WinnerMedical
Item
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| 1.Basicendowmentinsurance | 7,350,564.34 | 122,281,431.66 | 121,887,250.46 | 7,744,745.54 |
| 2.Unemploymentinsurancepremium | 104,932.80 | 4,099,826.91 | 4,082,815.03 | 121,944.68 |
| Total | 7,455,497.14 | 126,381,258.57 | 125,970,065.49 | 7,866,690.22 |
Otherdescription:
40.Taxespayable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Addedvaluetax | 8,974,689.54 | 96,897,978.48 |
| Corporateincometax | 40,190,413.70 | 197,571,709.68 |
| Individualincometax | 3,866,181.55 | 4,579,372.68 |
| Urbanmaintenanceandconstructiontax | 946,970.72 | 8,167,572.37 |
| Housingpropertytax | 6,172,395.17 | 5,597,557.89 |
| Educationsurchargeandlocaleducationsurcharge | 837,582.92 | 6,150,636.51 |
| Landusetax | 1,057,104.57 | 1,153,638.19 |
| Others | 42,498.42 | 35,809.57 |
| Stampduty | 789,943.27 | 2,101,599.24 |
| Total | 62,877,779.86 | 322,255,874.61 |
Otherdescription:
41.Liabilitiesheldforsales
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherdescription:
42.Non-currentliabilitiesduewithinoneyear
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Long-termborrowingduewithinoneyear | 20,138,900.00 | 8,011,977.78 |
| Leaseliabilitiesduewithinoneyear | 202,660,926.45 | 207,314,911.54 |
| Long-termpayrollpayableduewithinoneyear | 627,000.00 | 620,000.00 |
| Total | 223,426,826.45 | 215,946,889.32 |
Otherdescription:
43.Othercurrentliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Refundpayable | 1,950,288.26 | 3,963,108.90 |
| Outputtaxtobetransferred | 17,762,039.93 | 55,641,482.95 |
| Total | 19,712,328.19 | 59,604,591.85 |
Increase/decreaseofshort-termbondspayable:
Unit:yuan
| Nameofbond | Bookvalue | Couponrate | Issuedate | Maturityofbond | Issueamount | Balanceatthebeginningoftheperiod | Currentissue | Accruedinterestatbookvalue | Amortizationofpremiumanddiscount | Currentrepayment | ClosingBalance | Defaultornot |
Total
Otherdescription:
44.Long-termloans
(1)Classificationoflong-termborrowing
Unit:yuan
TotalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Debtofhonor | 170,000,000.00 | |
| Total | 170,000,000.00 |
Descriptionofclassificationoflong-termborrowing:
OnMarch27,2023,WinnerMedical(shenzhen)enteredaworkingcapitalloanagreementwiththeShenzhenLonghuaBranchofBankofChinaCo.,Ltd.Thelong-termloan,identifiedbycontractnumber2023ZhongyinHuachangBorrowerNo.0043,amountedto200,000,000.00yuan,withamaturitydatesetforMarch27,2025.Initially,theloancarriedafloatinginterestrate.ByDecember31,2023,theoutstandingprincipaloftheloanstoodat190,000,000.00yuan,withamountsduewithinoneyearreclassifiedasnon-currentliabilities.Otherdescriptions,includinginterestraterange:
45.Bondspayable
(1)Bondspayable
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
(2)Increaseanddecreaseofbondspayable(excludingpreferredshares,perpetualbondsandotherfinancialinstrumentsclassifiedasfinancialliabilities)
Unit:yuan
| Nameofbond | Bookvalue | Couponrate | Issuedate | Maturityofbond | Issueamount | Balanceatthebeginningoftheperiod | Currentissue | Accruedinterestatbookvalue | Amortizationofpremiumanddiscount | Currentrepayment | ClosingBalance | Defaultornot |
Total
| Total | -- | -- |
(3)Descriptionofconvertiblebonds
(4)DescriptionofotherfinancialinstrumentsclassifiedasfinancialliabilitiesBasicinformationoftheoutstandingpreferredshares,perpetualbondsandotherfinancialinstrumentsattheendoftheperiodTableofchangesinoutstandingfinancialinstruments,suchaspreferredshares,perpetualbondsattheendoftheperiod
Unit:yuan
| Outstandingfinancialinstruments | Thebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | Theendoftheperiod | ||||
| Quantity | Bookvalue | Quantity | Bookvalue | Quantity | Bookvalue | Quantity | Bookvalue | |
DescriptionofthebasisfortheclassificationofotherfinancialinstrumentsintofinancialliabilitiesOtherdescription:
46.Leaseliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Leasepayments | 332,663,417.84 | 365,030,013.20 |
| Unrecognizedfinancingexpenses | -40,653,913.80 | -38,570,315.30 |
| Total | 292,009,504.04 | 326,459,697.90 |
Otherdescription:
47.Long-termpayable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
(1)Long-termpayableslistedbynature
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherdescription:
(2)Specialaccountspayable
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance | Causes |
Otherdescription:
48.Long-termpayrollpayable
(1)Tableoflong-termpayrollpayable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| I.Welfareafterdismission-netliabilitiesofdefinedbenefitplan | 9,138,000.00 | 9,199,637.94 |
| Long-termpayrollpayableduewithinoneyear | -627,000.00 | -620,000.00 |
| Total | 8,511,000.00 | 8,579,637.94 |
(2)ChangesindefinedbenefitplanPresentvalueofdefinedbenefitplanobligations:
Unit:yuan
WinnerMedicalItem
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| I.Balanceatthebeginningoftheperiod | 9,199,637.94 | 9,982,066.32 |
| II.Definedbenefitexpensesrecognizedintheincomestatementfortheperiod | 335,000.00 | 433,000.00 |
| 1.Currentservicecost | 16,000.00 | 42,000.00 |
| 2.Pastservicecost | 52,000.00 | 102,000.00 |
| 4.Netinterest | 267,000.00 | 289,000.00 |
| III.Costofdefinedbenefitplansincludedinothercomprehensiveincome | 225,081.26 | -601,000.00 |
| 1.Actuarialgain(loss) | 225,081.26 | -601,000.00 |
| IV.Otherchanges | -621,719.20 | -614,428.38 |
| 2.Benefitspaid | -621,719.20 | -614,428.38 |
| V.ClosingBalance | 9,138,000.00 | 9,199,637.94 |
Plannedassets:
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Netliabilities(netassets)ofdefinedbenefitplan
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Descriptionofthecontentofdefinedbenefitplananditsrelatedrisks,impactontheCompany’sfuturecashflow,timeanduncertainty:
PerAccountingStandardsforBusinessEnterprisesNo.9-EmployeeCompensationandtheCompany’saccountingpolicies,welfarepaymentsmadeovertheyearstoretiredemployees,survivors,andthoseremainingfrompreviousCompanyrestructuringmustundergoactuarialcalculationforinclusionaslong-termemployeeremunerationpayable.Welfareexpensesforretiredemployeesandsurvivorsundergoactuarialassessmentaspost-employmentbenefitplans,whiledefinedbenefitplanscovercontinuingsalaryandbenefitexpensesforretiredemployees,subjecttoactuarialevaluationasterminationbenefitplans.ActuarialevaluationofaCompany’semployeebenefitplansentailscertainrisks,including:
InterestRateRisk:Thediscountrateutilizedtocalculatethepresentvalueoftheplan’sbenefitobligationsisderivedfromtheyieldonChinesegovernmentbonds.FallingTreasuryyieldsresultinactuariallosses.WelfareLevelGrowthRisk:Theselectionofwelfaregrowthrateassumptionsforcalculatingthepresentvalueofplanwelfareobligationsreliesonhistoricalgrowthlevelsofvariousbenefitsandthelong-termgrowthrateexpectationssetbytheCompany’smanagement.Anactuariallosswillariseiftheactualwelfaregrowthrateexceedstheactuarialassumption.
Descriptionofsignificantactuarialassumptionsandsensitivityanalysisresultsofdefinedbenefitplan:
| Item | December31,2023 |
| Annualdiscountratesforpost-retirementbenefitplansfordifferentpersonnelcategories | 2.75% |
| Mortalityrate | China’slifeinsuranceindustryexperiencelifetable(2010-2013)forelderlycarebusiness,segmentedintoMen’sandWomen’stables. |
Thediscountrateisestablishedusingthegovernmentbondyieldasthebenchmark.Duringevaluation,thecashflowanticipatedfromthewelfareplaninthefutureyearisinitiallyestimated.Subsequently,themodifieddurationofthewelfareliabilityattheevaluationtimeiscalculatedbasedonthiscashflow.Finally,theapplicablediscountrateisdeterminedbyreferencingtheTreasurybondyieldcorrespondingtothatperiod.Otherdescription:
49.Estimatedliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | Causes |
Otherdescriptions,includingrelevantimportantassumptionsandestimationdescriptionsofimportantestimatedliabilities:
50.Deferredincome
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance | Causes |
| Governmentsubsidies | 98,791,412.91 | 48,677,287.37 | 25,819,335.31 | 121,649,364.97 | Governmentsubsidiesrelatedtoassets |
| Total | 98,791,412.91 | 48,677,287.37 | 25,819,335.31 | 121,649,364.97 |
Otherdescription:
51.Othernon-currentliabilities
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
Otherdescription:
52.Capitalstock
Unit:yuan
WinnerMedicalBalanceatthebeginning
oftheperiod
| Balanceatthebeginningoftheperiod | Increase/decrease(+,-) | ClosingBalance | |||||
| Newissueofshares | Sharedonation | Sharecapitalincreasefromreservedfunds | Others | Subtotal | |||
| Totalamountofshares | 426,492,308.00 | 167,895,059.00 | 167,895,059.00 | 594,387,367.00 | |||
Otherdescription:
53.Otherequityinstruments
(1)Basicinformationoftheoutstandingpreferredshares,perpetualbondsandotherfinancialinstrumentsattheendoftheperiod
(2)Tableofchangesinoutstandingfinancialinstruments,suchaspreferredshares,perpetualbondsattheendoftheperiod
Unit:yuan
| Outstandingfinancialinstruments | Thebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | Theendoftheperiod | ||||
| Quantity | Bookvalue | Quantity | Bookvalue | Quantity | Bookvalue | Quantity | Bookvalue | |
Theincreaseanddecreaseofotherequityinstrumentsincurrentperiod,thereasonsforthechange,andthebasisofrelevantaccountingtreatment:
Otherdescription:
54.Capitalreserve
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| Capitalpremium(capitalstockpremium) | 4,457,762,555.30 | 194,425,350.26 | 4,263,337,205.04 | |
| Othercapitalsurplus | 88,485,055.94 | 29,304,226.31 | 117,789,282.25 | |
| Total | 4,546,247,611.24 | 29,304,226.31 | 194,425,350.26 | 4,381,126,487.29 |
Otherdescription,includingcurrentincrease/decreaseandchangereasons:
1.Thedecreaseincapitalpremium(equitypremium)duringtheperiodisprimarilydueto:
(1)Aspertheequitydistributionplanapprovedatthe2022AnnualGeneralMeetingofShareholders,theCompanydistributedstockdividendstoallshareholders,converting4sharesintocapitalforevery10shares.Consequently,thecapitalpremium(equitypremium)decreasedby167,895,059.00yuanduringthisperiod.
(2)Additionally,theCompanyimplementedanemployeestockownershipplan,adjustingthetreasurysharestomatchtherepurchaseobligation,totaling26,530,291.26yuan.
2.Theincreaseinothercapitalsurplusduringtheperiodwasprimarilydueto:
(1)TheCompanyrecognizedincentiveexpensestotaling3,151,091.47yuanfortheimplementationofrestrictedstockincentivesin2020andtheemployeestockownershipplanin2023.
(2)Additionally,WinnerGuilinintroducedminorityshareholdersviaitscapitalincrease,resultinginpassivedilutionoftheCompany’sequitywithoutlossofcontrol.Othercapitalreservesamountingto26,153,134.84yuanwereconfirmed.
55.Treasurystock
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| Treasurystock | 500,082,734.11 | 26,530,291.26 | 473,552,442.85 | |
| Total | 500,082,734.11 | 26,530,291.26 | 473,552,442.85 |
Otherdescription,includingcurrentincrease/decreaseandchangereasons:
Decreaseincurrentperiod10Additionally,theCompanyimplementedanemployeestockownershipplan,adjustingthetreasurysharestomatchtherepurchaseobligation,totaling26,530,291.26yuan.
56.Othercomprehensiveincome
Unit:yuan
| Item | Amountincurredincurrentperiod | |||||||
| Balanceatthebeginningoftheperiod | Amountbeforecurrentincometax | Less:amountincludedinothercomprehensiveincomeinpreviousperiodtransferredintoprofitandlossincurrentperiod | Less:amountincludedinothercomprehensiveincomeinpreviousperiodtransferredintoretainedincomeincurrentperiod | Less:Incometaxexpenses | Attributabletotheparentcompanyaftertax | Attributabletominorityshareholdersaftertax | ClosingBalance | |
| I.Othercomprehensiveincomethatcan’tbereclassifiedintoprofitandloss | 601,000.00 | -225,081.26 | -206,495.39 | -18,585.87 | 394,504.61 | |||
| Including:Changesarisingfromre-measurementfordefinedbenefitplans | 601,000.00 | -225,081.26 | -206,495.39 | -18,585.87 | 394,504.61 | |||
| II.Othercomprehensiveincomethatwillbereclassifiedintoprofitandloss | 181,778.15 | 2,848,822.37 | 1,639,086.68 | 1,209,735.69 | 1,820,864.83 | |||
| Balancearisingfromthetranslationofforeigncurrencyfinancialstatements | 181,778.15 | 2,848,822.37 | 1,639,086.68 | 1,209,735.69 | 1,820,864.83 | |||
| Totalothercomprehensiveincome | 782,778.15 | 2,623,741.11 | 1,432,591.29 | 1,191,149.82 | 2,215,369.44 | |||
Otherexplanations,includingtheadjustmentoftheeffectivepartofthecashflowhedginggainsandlossestransferredtotheinitialrecognizedamountofthehedgeditem:
57.Specialreserve
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
Otherdescription,includingcurrentincrease/decreaseandchangereasons:
58.Surplusreserve
Unit:yuan
WinnerMedicalItem
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance |
| Statutorysurplusreserves | 420,212,778.13 | 420,212,778.13 | ||
| Total | 420,212,778.13 | 420,212,778.13 |
Descriptionofsurplusreserves,includingcurrentincrease/decreaseandchangereasons:
59.Undistributedprofit
Unit:yuan
| Item | Currentperiod | Priorperiod |
| Undistributedprofitattheendofpreviousperiodbeforeadjustment | 6,810,953,829.30 | 5,538,135,285.97 |
| Totalundistributedprofitsatthebeginningoftheadjustmentperiod(+forincreaseand-fordecrease) | 14,979,240.42 | 14,844,385.21 |
| Undistributedprofitsatthebeginningoftheperiodafteradjustment | 6,825,933,069.72 | 5,552,979,671.18 |
| Plus:Netprofitsattributabletotheownersofparentcompanyinthecurrentperiod | 580,403,232.37 | 1,650,717,282.64 |
| Commonstockdividendspayable | 797,501,533.10 | 377,763,884.10 |
| Undistributedprofitsattheendoftheperiod | 6,608,834,768.99 | 6,825,933,069.72 |
Detailsofundistributedprofitsatthebeginningoftheadjustmentperiod:
1).DuetoretroactiveadjustmentofAccountingStandardsforBusinessEnterprisesandrelevantnewregulations,0.00yuanoftheundistributedprofitatthebeginningoftheperiodwasaffected.
2).Duetothechangeofaccountingpolicy,14,979,240.42yuanoftheundistributedprofitatthebeginningoftheperiodwasaffected.
3).Duetothecorrectionofmajoraccountingerrors,0.00yuanoftheundistributedprofitatthebeginningoftheperiodwasaffected.
4).Duetothechangeofconsolidationscopecausedbythesamecontrol,0.00yuanoftheundistributedprofitatthebeginningoftheperiodwasaffected.
5).0.00yuanoftheundistributedprofitatthebeginningoftheperiodwasaffectedbythetotalamountofotheradjustments
60.Revenueandcost
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | ||
| Income | Cost | Income | Cost | |
| Mainbusiness | 8,124,324,653.18 | 4,139,502,655.31 | 11,257,751,810.00 | 5,910,146,579.23 |
| Otherbusinesses | 60,697,404.02 | 35,094,632.43 | 93,579,735.08 | 62,654,238.06 |
| Total | 8,185,022,057.20 | 4,174,597,287.74 | 11,351,331,545.08 | 5,972,800,817.29 |
Whetherthenetprofitdeductingnon-recurringprofitandlossafterauditisnegative
□Yes√NoBreakdownofoperatingrevenuesandoperatingcosts:
Unit:yuan
| Contractclassification | Segment1 | Segment2 | Medicalconsumables | Healthyconsumergoods | Total | |||||
| Revenue | Operatingcosts | Revenue | Operatingcosts | Revenue | Operatingcosts | Revenue | Operatingcosts | Revenue | Operatingcosts | |
| Businesstype | 3,922,443,620.59 | 2,335,514,563.06 | 4,262,578,436.61 | 1,839,082,724.68 | 8,185,022,057.20 | 4,174,597,287.74 | ||||
| Including: | ||||||||||
| Mainbusiness | 3,861,746,216.57 | 2,300,419,930.63 | 4,262,578,436.61 | 1,839,082,724.68 | 8,124,324,653.18 | 4,139,502,655.31 | ||||
| Otherbusinesses | 60,697,404.02 | 35,094,632.43 | 60,697,404.02 | 35,094,632.43 | ||||||
| Classifiedbyoperatingarea | 3,922,443,620.59 | 2,335,514,563.06 | 4,262,578,436.61 | 1,839,082,724.68 | 8,185,022,057.20 | 4,174,597,287.74 | ||||
| Including: | ||||||||||
| Domesticsales | 2,378,523,424.22 | 1,450,848,491.36 | 4,262,578,436.61 | 1,839,082,724.68 | 6,641,101,860.83 | 3,289,931,216.04 | ||||
| Overseassales | 1,543,920,196.37 | 884,666,071.70 | 1,543,920,196.37 | 884,666,071.70 | ||||||
| Typeofmarketsorclients | ||||||||||
| Including: | ||||||||||
| Typeofcontracts | ||||||||||
| Including: | ||||||||||
| Sortedbytimeofgoodstransfer | ||||||||||
| Including: | ||||||||||
| Sortedbycontractduration | ||||||||||
| Including: | ||||||||||
| Sortedbysaleschannels | ||||||||||
| Including: | ||||||||||
| Total | ||||||||||
Informationrelatedtoperformanceobligations:
| Item | Timetofulfillperformanceobligations | Importantpaymentterms | ThenatureofthegoodstheCompanypromisestotransfer | Ishethemainresponsibleperson? | AmountsbornebytheCompanythatareexpectedtoberefundedtocustomers | TypesofqualityassuranceprovidedbytheCompanyandrelatedobligations |
OtherdescriptionInformationrelatedtothetransactionpriceapportionedtotheremainingperformanceobligations:
Theamountofincomecorrespondingtotheperformanceobligationssignedbutnotyetperformedorcompletedattheendofthisreportingperiodis0.00yuan,ofwhich0.00yuanisexpectedtoberecognizedasrevenueinyear0,0.00yuanisexpectedtoberecognizedasrevenueinyear0,and0.00yuanisexpectedtoberecognizedasrevenueinyear0.
Informationrelatedtovariableconsiderationinthecontract:
Majorcontractchangesormajortransactionpriceadjustments
Unit:yuan
WinnerMedicalItem
| Item | Accountingtreatmentmethods | Amountofimpactonrevenue |
Otherdescription:
61.Taxesandsurcharges
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Urbanmaintenanceandconstructiontax | 23,828,308.48 | 43,075,435.03 |
| Educationsurcharge | 11,109,423.30 | 19,248,049.13 |
| Housingpropertytax | 13,826,245.30 | 10,547,488.67 |
| Landusetax | 5,164,407.85 | 4,462,427.50 |
| Stampduty | 5,292,583.81 | 7,410,934.06 |
| Surchargeforlocaleducation | 6,894,324.42 | 12,835,042.86 |
| Others | 298,177.71 | 507,863.07 |
| Total | 66,413,470.87 | 98,087,240.32 |
Otherdescription:
62.Administrativeexpenses
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Employeecompensation | 343,893,839.96 | 356,528,450.43 |
| Depreciationandamortizationcharge | 126,637,904.03 | 93,586,310.72 |
| Scraplossoninventoryandmaterialconsumption(*1) | 59,888,593.56 | 2,451,385.18 |
| Travelexpenses | 6,775,498.55 | 4,737,997.83 |
| Officeallowance | 6,399,725.18 | 3,066,482.44 |
| Consultantandintermediaryservicefees | 31,915,068.83 | 27,481,281.65 |
| Water/electricityfee | 12,013,901.42 | 11,445,522.43 |
| Informationsystemcost | 18,991,236.76 | 39,836,787.42 |
| Maintenancecost | 28,116,320.44 | 35,254,976.30 |
| DepreciationofRight-of-useassets | 24,199,602.13 | 22,168,279.11 |
| Others | 34,815,930.56 | 37,057,161.44 |
| Total | 693,647,621.42 | 633,614,634.95 |
Otherdescription:
*1Thenotableyear-on-yearincreasewasprimarilyattributedtoheightenedlossesstemmingfromtherelocationofShenzhenLonghuaIndustrialParkandthedisposalofinventoryforinfectionprotectionproducts.
63.Sellingexpenses
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Advertisingandpromotionexpenses | 651,816,390.71 | 600,156,113.14 |
| Employeecompensation | 643,446,712.68 | 649,605,092.33 |
| Salescommissionsandexpensesfromthee-commerceplatform | 261,088,807.68 | 240,516,336.22 |
| DepreciationofRight-of-useassets | 196,694,977.33 | 188,658,565.69 |
| Leaseandpropertymanagementexpenses | 118,909,705.83 | 152,186,000.56 |
| Depreciationandamortization | 54,120,612.33 | 82,408,480.44 |
| Travelexpenses | 24,738,868.66 | 12,266,843.44 |
| Materialconsumption | 23,880,919.78 | 29,027,854.76 |
| Officecommunicationcosts | 15,318,336.04 | 17,665,180.74 |
| Water/electricityfee | 12,448,568.50 | 12,817,521.54 |
| Insurancepremiums | 7,355,088.51 | 5,076,079.44 |
| Servicefees | 17,439,391.54 | 7,485,101.27 |
| Others | 63,234,126.51 | 52,307,237.89 |
| Total | 2,090,492,506.10 | 2,050,176,407.46 |
Otherdescription:
64.R&Dexpenses
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Employeecompensation | 156,098,327.58 | 164,802,423.37 |
| Depreciationandamortization | 20,944,780.06 | 20,937,418.03 |
| Material | 83,875,970.91 | 232,395,899.93 |
| Othermiscellaneousexpenses | 61,132,789.88 | 69,447,910.78 |
| Total | 322,051,868.43 | 487,583,652.11 |
Otherdescription:
65.Financialexpenses
Unit:yuan
WinnerMedicalItem
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Interestexpenses | 63,441,562.69 | 50,043,346.95 |
| Including:Interestexpenseonleaseliabilities | 28,614,724.12 | 26,647,978.76 |
| Less:Interestrevenue | 133,913,862.72 | 123,909,561.75 |
| Financialdiscountinterest | ||
| Exchangegainorloss | 7,627,126.27 | -52,070,721.48 |
| Bankhandlingchargeandothers | 986,213.83 | 3,362,364.21 |
| Total | -61,858,959.93 | -122,574,572.07 |
Otherdescription:
66.Otherincomes
Unit:yuan
| Othersourcesofincome | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Governmentsubsidies | 80,639,097.23 | 76,662,122.86 |
| Taxcreditsanddeductions | 20,466,177.38 | 7,711,139.48 |
| Total | 101,105,274.61 | 84,373,262.34 |
67.Netexposurehedging
Unit:yuan
| Othersourcesofincome | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Otherdescription:
68.Incomefromchangesinfairvalue
Unit:yuan
| Sourcesofgainsfromfairvaluechange | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Bankfinancialproductsandtrustproducts | 46,678,103.27 | 32,148,876.44 |
| Total | 46,678,103.27 | 32,148,876.44 |
Otherdescription:
69.Investmentincome
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Long-termequityinvestmentgainsmeasuredbyemployingtheequitymethod | 1,581,608.21 | 4,697,834.75 |
| Investmentincomefrompurchasingfinancialproducts | 30,114,666.09 | |
| Incomefromtheredemptionoftradingfinancialassets | 125,761,272.77 | 16,658,266.32 |
| Total | 127,342,880.98 | 51,470,767.16 |
Otherdescription:
70.CreditimpairmentLoss
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Lossonbaddebtsofaccountsreceivable | 3,056,164.34 | 4,946,266.03 |
| Lossonbaddebtsofotherreceivables | 1,669,344.96 | -68,889,588.55 |
| Total | 4,725,509.30 | -63,943,322.52 |
Otherdescription:
71.Assetsimpairmentlosses
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| I.Inventoryfallingpricelossandimpairmentlossofcontractperformancecosts | -190,214,320.23 | -331,806,543.64 |
| IV.Impairmentlossoffixedassets | -1,470,305.23 | -19,343,113.09 |
| VI.Impairmentlossofconstructioninprogress | -10,205,833.26 | -10,865,480.00 |
| X.Goodwillimpairmentloss | -188,787,147.21 | |
| XII.Others | -3,084,448.94 | -854,203.50 |
| Total | -393,762,054.87 | -362,869,340.23 |
Otherdescription:
Theothersareimpairmentlossesonprepaidaccounts
72.Gainsfromassetdisposal
Unit:yuan
WinnerMedicalSourceofincomefromdisposalofassets
| Sourceofincomefromdisposalofassets | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Gainsfromdisposalofnon-currentassets | 18,934,269.72 | 4,466,739.85 |
| Including:Gainsondisposaloffixedassets | 10,540.42 | 150,442.48 |
| Gainsfromdisposalofright-of-useassets | 18,923,729.30 | 4,316,297.37 |
| Lossondisposalofnon-currentassets | -1,232,319.71 | -740,535.48 |
| Including:Lossondisposaloffixedassets | -1,232,319.71 | -740,535.48 |
| Others(1*) | 14,500,000.00 | |
| Total | 32,201,950.01 | 3,726,204.37 |
Note:1*Thisisbecausetheinfectionprotectionproductsandequipmentarescrapped,leadingtotheone-timetransferofdeferredincomethathasnotyetbeenamortizedtoassetdisposalincome.
73.Non-operatingincome
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | Amountsrecordedinthenon-recurringgainsandlossesofthecurrentperiod |
| Governmentsubsidies | 171,825.26 | 485,841.01 | 171,825.26 |
| Non-currentassetsscrapgains | 2,458,639.59 | 1,104,717.15 | 2,458,639.59 |
| Incomefromcompensationorfines | 7,273,705.13 | 2,923,432.97 | 7,273,705.13 |
| Others | 6,714,326.50 | 6,055,568.25 | 6,714,326.50 |
| Total | 16,618,496.48 | 10,569,559.38 | 16,618,496.48 |
Otherdescription:
74.Non-operatingexpenses
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | Amountsrecordedinthenon-recurringgainsandlossesofthecurrentperiod |
| Externaldonations | 2,088,058.84 | 2,698,153.48 | 2,088,058.84 |
| Lossondamageandscrapofnon-currentassets | 81,125,472.09 | 44,824,142.16 | 81,125,472.09 |
| Overduefines | 429,933.94 | 5,587,691.07 | 429,933.94 |
| Liquidateddamages | 95,536.17 | 11,433,314.10 | 95,536.17 |
| Others | 1,003,147.30 | 3,069,974.82 | 1,003,147.30 |
| Total | 84,742,148.34 | 67,613,275.63 | 84,742,148.34 |
Otherdescription:
75.Incometaxexpenses
(1)Incometaxexpensetable
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Currentincometaxexpenses | 97,007,712.22 | 318,328,487.05 |
| Deferredincometaxexpenses | 27,814,952.80 | -72,656,057.90 |
| Adjustmentofthepreviousannualincometaxamountinthecurrentperiod | -3,521,577.45 | -503,799.50 |
| Total | 121,301,087.57 | 245,168,629.65 |
(2)Accountingprofitandincometaxexpenseadjustmentprocess
Unit:yuan
| Item | Amountincurredincurrentperiod |
| Totalprofit | 749,846,274.01 |
| Incometaxexpensescalculatedattheappropriate/applicabletaxrate | 112,476,941.10 |
| Impactofdifferenttaxratesappliedonsubsidiaries | 21,013,929.84 |
| Impactofincometaxbeforeadjustment | -3,521,577.45 |
| Theeffectofnon-taxableincome | -569,116.82 |
| Impactofnon-deductiblecosts,expensesandlosses | 28,495,686.47 |
| Impactofdeductiblelossesonunrecognizeddeferredincometaxassetsinthepriorperiod | -3,454,470.23 |
| Impactoftemporarydifferenceordeductiblelossesonunrecognizeddeferredincometaxassetsinthecurrentperiod | 1,130,247.95 |
| ImpactofweighteddeductionofR&Dcosts | -34,270,553.29 |
| Incometaxexpenses | 121,301,087.57 |
Otherdescription:
76.Othercomprehensiveincome
SeeNote57fordetails.
77.Cashflowstatementitems
(1)CashrelatedtooperatingactivitiesOthercashreceivedrelatedtooperatingactivities
Unit:yuan
WinnerMedicalItem
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Deposit,marginandqualityguaranteedepositreceived | 18,253,683.99 | 20,839,933.57 |
| Interestincomereceived | 34,146,193.53 | 29,396,223.39 |
| Governmentsubsidiesreceived | 107,118,837.18 | 74,022,751.98 |
| Others | 17,540,685.83 | 91,653,856.59 |
| Total | 177,059,400.53 | 215,912,765.53 |
Explanationonothercashreceivedrelatedtooperatingactivities:
Othercashpaidrelatedtooperatingactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Managementanddevelopmentcostspaidincash | 168,245,402.79 | 214,977,555.82 |
| Sellingexpensespaidincash | 239,409,655.00 | 239,471,468.15 |
| Deposit,marginandqualityguaranteedepositpaid | 8,959,379.78 | 8,316,592.48 |
| Bankhandlingcharge | 1,921,639.86 | 3,348,042.45 |
| Others | 21,519,247.07 | 136,138,509.24 |
| Total | 440,055,324.50 | 602,252,168.14 |
Descriptionofothercashpaidrelatedtooperatingactivities
(2)CashrelatedtoinvestingactivitiesOthercashreceivedrelatedtoinvestmentactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Significantcashreceivedrelatedtoinvestingactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Descriptionofothercashreceivedrelatedtoinvestmentactivities:
Othercashpaidrelatedtoinvestmentactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Significantcashpaidforinvestingactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
Descriptionofothercashpaidrelatedtoinvestmentactivities:
(3)CashrelatedtofinancingactivitiesOthercashreceivedrelatedtofinancingactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Securitydepositrecovered | 139,500,000.00 | |
| Employeestockownershipplan | 10,857,500.00 | |
| Total | 150,357,500.00 |
Descriptionofothercashreceivedrelatedtofinancingactivities:
Othercashpaidrelatedtofinancingactivities
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Principalandinterestpaidonleaseliabilities | 280,704,130.49 | 246,700,957.46 |
| Treasurystockrepurchasepaid | 242,090,367.43 | |
| Depositpaidonbillsandlettersofcredit(forfinancingpurposes) | 183,507,300.00 | 119,430,633.87 |
| Total | 464,211,430.49 | 608,221,958.76 |
Descriptionofothercashpaidrelatedtofinancingactivities:
Changesinvariousliabilitiesarisingfromfinancingactivities
□Applicable√Notapplicable
(4)Instructionsforpresentingcashflowsonanetbasis
| Item | Relevantfacts | Basisfornetpresentation | Financialimpact |
(5)SignificantactivitiesandfinancialimpactsthatdonotinvolvecurrentcashreceiptsandpaymentsbutaffecttheCompany’sfinancialstatusormayaffecttheCompany’scashflowinthefuture
78.Supplementaryinformationtothestatementofcashflows
(1)SupplementaryInformationtotheStatementofCashFlows
Unit:yuan
WinnerMedicalFurtherinformation
| Furtherinformation | Currentamount | Lasttermamount |
| 1.Reconciliationofnetprofitstocashflowsfromoperatingactivities: | ||
| Netprofit | 628,545,186.44 | 1,674,337,466.68 |
| Plus:Provisionforimpairmentofassets | 389,036,545.57 | 426,812,662.75 |
| Depreciationoffixedassets,oilandgasassetsandproductivebiologicalassets | 241,876,332.05 | 210,820,306.94 |
| DepreciationofRight-of-useassets | 224,710,757.36 | 215,248,882.88 |
| Amortizationofintangibleassets | 73,803,773.72 | 55,669,156.15 |
| Amortizationoflong-termdeferredexpenses | 54,638,701.93 | 73,413,333.87 |
| Lossesondisposaloffixedassets,intangibleassetsandotherlong-termassets(gainsexpressedwith“-”) | -32,201,950.01 | -3,726,204.37 |
| Lossonretirementoffixedassets(gainsexpressedwith“-”) | 78,666,832.50 | 43,719,425.01 |
| Lossfromfairvaluechange(gainsexpressedwith“-”) | -46,678,103.27 | -32,148,876.44 |
| Financialexpenses(gainsexpressedwith“-”) | -35,603,859.98 | -43,801,146.50 |
| Investmentlosses(gainsexpressedwith“-”) | -127,342,880.98 | -51,470,767.16 |
| Decreasedindeferredincometaxassets(increaseexpressedwith“-”) | 36,620,728.88 | -74,410,284.04 |
| Increaseindeferredincometaxliabilities(decreaseexpressedwith“-”) | -8,805,924.74 | 1,754,226.14 |
| Decreaseininventories(increaseexpressedwith“-”) | -53,103,044.13 | -73,528,720.88 |
| Decreaseinoperatingreceivables(increaseexpressedwith“-”) | 182,401,595.94 | 42,540,286.26 |
| Increaseinoperatingpayables(decreaseexpressedwith“-”) | -578,417,187.65 | 526,247,452.59 |
| Others | 35,178,728.60 | -8,004,969.61 |
| Netcashflowfromoperatingactivities | 1,063,326,232.23 | 2,983,472,230.27 |
| 2.Significantinvestmentandfinancingactivitiesnotinvolvingcashdepositandwithdrawal | ||
| Conversionofdebtintocapital | ||
| Convertiblebondsduewithin1year | ||
| Fixedassetsunderfinancinglease | ||
| 3.Netchangesincashandcashequivalents: | ||
| Endingbalanceofcash | 4,677,340,782.45 | 4,370,821,958.17 |
| Less:Beginningbalanceofcash | 4,370,821,958.17 | 4,088,612,262.04 |
| Plus:Endingbalanceofcashequivalents | ||
| Less:Endingbalanceofcashequivalents | ||
| Netincreaseincashandcashequivalents | 306,518,824.28 | 282,209,696.13 |
(2)Netcashpaidforobtainingsubsidiariesincurrentperiod
Unit:yuan
| Amount | |
| Cashorcashequivalentspaidinthecurrentperiodforbusinesscombinationsoccurredincurrentperiod | 77,260,000.00 |
| Including: | |
| ShanghaiHongsong | 30,000,000.00 |
| WinnerJinzhou | 47,260,000.00 |
| Less:CashandcashequivalentsheldbytheCompanyontheacquisitiondate | 8,993,403.54 |
| Including: | |
| ShanghaiHongsong | 8,823,863.68 |
| WinnerJinzhou | 169,539.86 |
| Plus:Cashorcashequivalentspaidinthecurrentperiodforbusinesscombinationsthatoccurredinpreviousperiods | 78,812,000.00 |
| Including: | |
| JunjianMedical | 78,812,000.00 |
| Netcashpaidforobtainingsubsidiaries | 147,078,596.46 |
Otherdescription:
(3)Netcashfromdisposalofsubsidiariesincurrentperiod
Unit:yuan
| Amount |
| Including: |
| Including: |
| Including: |
Otherdescription:
(4)Compositionofcashandcashequivalents
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| I.Cash | 4,677,340,782.45 | 4,370,821,958.17 |
| Including:cashonhand | 76,471.98 | 246,825.76 |
| Bankdepositreadilyavailableforpayment | 4,676,600,881.85 | 4,169,305,311.38 |
| Othermonetarycapitalreadilyavailableforpayment | 663,428.62 | 201,269,821.03 |
| III.Balanceofcashandcashequivalentsatendofperiod | 4,677,340,782.45 | 4,370,821,958.17 |
(5)Thescopeofuseislimitedbutitisstillclassifiedascashandcashequivalents
Unit:yuan
| Item | Currentamount | Lasttermamount | Reasonsforretainingcashandcashequivalents |
(6)Monetaryfundsthatarenotclassifiedascashandcashequivalents
Unit:yuan
| Item | Currentamount | Lasttermamount | Reasonsfornotqualifyingascashandcashequivalents |
Otherdescription:
(7)Descriptionofothersignificantactivities
79.Notestoitemsinstatementofowner’sequityStatethenameof“other”itemsandtheamountofadjustmenttotheendingbalanceofpreviousyear:
N/A
80.Foreigncurrencymonetaryitems
(1)Foreigncurrencymonetaryitems
Unit:yuan
| Item | Endingbalanceinforeigncurrency | Conversionexchangerate | EndingbalanceconvertedtoRMB |
| Cashandcashequivalents | 435,196,098.42 | ||
| Including:USD | 57,390,116.35 | 7.0827 | 406,476,977.07 |
| EUR | 643,144.41 | 7.8592 | 5,054,600.55 |
| HKD | 22,971,973.80 | 0.9062 | 20,817,202.66 |
| Mexicanpeso | 54,990,865.00 | 0.0502 | 2,760,541.42 |
| Ringgit | 56,293.69 | 1.5415 | 86,776.72 |
| Accountsreceivable | 169,560,564.27 | ||
| Including:USD | 21,558,056.44 | 7.0827 | 152,689,246.35 |
| EUR | 598,202.04 | 7.8592 | 4,701,389.47 |
| HKD | 11,749,192.84 | 0.9062 | 10,647,118.55 |
| Mexicanpeso | 60,061.96 | 0.0502 | 3,015.11 |
| Ringgit | 985,919.42 | 1.5415 | 1,519,794.79 |
| Long-termloans | |||
| Including:USD | |||
| EUR | |||
| HKD | |||
| Otherreceivables | 604,520.58 | ||
| Including:HKD | 667,094.00 | 0.9062 | 604,520.58 |
| Accountspayable | 3,910.09 | ||
| Mexicanpeso | 77,890.25 | 0.0502 | 3,910.09 |
| Otherpayables | 1,119,958.02 | ||
| Including:HKD | 845,102.79 | 0.9062 | 765,832.15 |
| Ringgit | 229,728.10 | 1.5415 | 354,125.87 |
Otherdescription:
(2)Descriptionofoverseasoperatingentities,includingforimportantoverseasoperatingentities,themainoverseasbusinessplace,recordingcurrencyandselectionbasisshallbedisclosed,andthereasonsforchangesinrecordingcurrencyshallalsobedisclosed.
□Applicable√Notapplicable
81.Leased
(1)TheCompanyasthelessee:
√Applicable□NotapplicableVariableleasepaymentsthatarenotincludedinthemeasurementoftheleaseliabilities
√Applicable□Notapplicable
WinnerMedicalItem
| Item | Currentamount |
| Interestexpenseofleaseliabilities | 28,614,724.12 |
| Simplifiedtreatmentofshort-termleaseexpensesincludedinthecostofrelatedassetsorcurrentprofitsandlosses | 687,850.31 |
| Thesimplifiedtreatmentoflow-valueassetleaseexpensesincludedintherelevantassetcostorcurrentprofitandloss(exceptforshort-termleaseexpensesoflow-valueassets) | |
| Variableleasepaymentsexcludedfromtheleaseliabilitymeasurement,includedinthecostoftherelatedasset,orinthecurrentperiod’sprofitorloss | 20,627,211.88 |
| Portionstemmingfromsaleandleasebacktransactions | |
| Incomefromsubleasingright-to-useassets | 908,441.15 |
| Totalcashoutflowrelatedtoleases | 302,019,192.68 |
| Relatedgainsandlossesfromsaleandleasebacktransactions | |
| Cashinflowandfromsaleandleasebacktransactions | |
| Cashoutflowfromsaleandleasebacktransactions |
Leasecostsforshort-termleasesorlow-valueassetswithsimplifiedtreatment
√Applicable□NotapplicableSeethefigureaboveInvolvementinsaleandleasebacktransactionsNone
(2)TheCompany’sroleaslessorOperatingleasesaslessor
√Applicable□Notapplicable
Unit:yuan
| Item | Leaseincome | Including:Incomerelatedtovariableleasepaymentsnotaccountedforinleasereceipts |
| Operatingleasecommitment | 430,764.22 | |
| Total | 430,764.22 |
Financialleasesprovidedbythelessor
□Applicable√NotapplicableUndiscountedleasepaymentsforeachofthenextfiveyears
√Applicable□Notapplicable
Unit:yuan
| Item | Annualleasereceiptsbeforediscounting | |
| Closingbalance | Beginningamount | |
| Firstyear | 132,000.00 | 219,483.67 |
| Secondyear | 95,238.10 | |
Reconciliationofundiscountedleasereceiptsandnetleaseinvestment
(3)Recognizingfinancialleasesalesprofitsandlossesasamanufacturerordistributor
□Applicable√Notapplicable
82.Others
VIII.Researchanddevelopmentexpenditure
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
1.Researchanddevelopmentprojectseligibleforcapitalization
Unit:yuan
| Item | Balanceatthebeginningoftheperiod | Amountincreasedincurrentperiod | Amountdecreasedincurrentperiod | ClosingBalance | ||
| Internaldevelopmentexpenditure | Others | Recognizedasintangibleassets | Transfertocurrentprofitandloss | |||
Total
SignificantcapitalizedR&Dprojects
TotalItem
| Item | R&Dprogress | Estimatedcompletiontime | Howeconomicbenefitsareexpectedtobegenerated | Thepointatwhichcapitalizationbegins | Specificcriteriaforinitiatingcapitalization |
Provisionforimpairmentofdevelopmentexpenses
Unit:yuan
WinnerMedicalItem
| Item | Balanceatthebeginningoftheperiod | Increaseincurrentperiod | Decreaseincurrentperiod | ClosingBalance | Impairmenttesting |
2.Importantoutsourcedresearchprojects
| Projectname | Themannerinwhicheconomicbenefitsareexpectedtobegenerated | Judgmentstandardsandspecificbasisforcapitalizationorexpense |
Otherdescription:
IX.Consolidationscopechanges
1.Businesscombinationnotundercommoncontrol
(1)Businesscombinationnotundercommoncontroloccurredincurrentperiod
Unit:yuan
| Nameoftheacquiree | Timeofequityacquisition | Costofequityacquisition | Equityacquisitionratio | Methodofequityacquisition | Acquisitiondate | Basisfordeterminationofacquisitiondate | Incomeoftheacquireefromtheacquisitiondatetotheendoftheperiod | Netprofitoftheacquireefromtheacquisitiondatetotheendoftheperiod | Cashflowsoftheacquiredentityfromtheacquisitiondatetotheendoftheperiod |
| ShanghaiHongsongMedicalDeviceCo.,Ltd. | April30,2023 | 30,000,000.00 | 60.00% | Shareacquisition | April30,2023 | Acquisitionofcontrol | 29,533,043.04 | 7,910,958.99 | -218,570.29 |
| Winner(Jinzhou)LatexProductsCo.,Ltd. | 2023July1st | 103,000,000.00 | 100.00% | Shareacquisition | July1,2023 | Acquisitionofcontrol | 1,825,402.15 | -10,961,860.92 | 1,197,505.80 |
Otherdescription:
[Note1]OnOctober9,2022,theCompanyandtheindividualshareholders,ZhangYuqingandCaoWensong,enteredintoanAgreementonEquityTransferofShanghaiHongsongMedicalDevicesCo.,Ltd.TheCompanyacquireda60.00%equityinterestinShanghaiHongsongfromtheaforementionedindividualsforaconsiderationof30millionyuan.ShanghaiHongsongfinalizedtheregistrationproceduresforindustrialandcommercialchangesonApril28,2023.ThedirectorsappointedbytheCompanynowconstitutethemajorityofthenewboardofdirectors.Foraccountingpurposes,April30,2023,wasdesignatedastheacquisitiondate,andShanghaiHongsonghasbeenconsolidatedintothefinancialstatementsfromApril30,2023,onward.[Note2]SubsidiaryWinnerGuilinsignedtheEquityTransferAgreementanditssupplementaryagreementwithJiangsuYoujiaGlovesCo.,Ltd.,YuyaoWennaMachineryIndustryandTradeCo.,Ltd.,andGuilinGoldenEagleLatexTechnologyCo.,Ltd.onMay24,2023.WinnerGuilinacquired100.00%oftheequityofWinnerGuilinheldbytheaboveshareholdersfor103millionyuan.WinnerJinzhouhascompletedthebusinesschangeregistrationproceduresonJuly11,2023.TheCompanyhasappointedamajorityofdirectorstothenewboardofdirectors.Foraccountingpurposes,July1,2023,wasestablishedastheacquisitiondate,andithasbeenincludedinthescopeoftheconsolidatedfinancialstatementsstartingfromJuly1,2023.
(2)Combinationcostandgoodwill
Unit:yuan
| Combinationcost | ShanghaiHongsongMedicalDeviceCo.,Ltd. | Winner(Jinzhou)LatexProductsCo.,Ltd. |
| -Cash | 30,000,000.00 | 47,260,000.00 |
| -Fairvalueofnon-cashassets | 55,740,000.00 | |
| -Fairvalueofdebtissuedorassumed | ||
| Fairvalueofequitysecuritiesissued | ||
| Fairvalueofcontingentconsideration | ||
| Fairvalueoftheequityheldpriortothepurchasedateonthepurchasedate | ||
| -Others | ||
| Totalcombinationcost | 30,000,000.00 | 103,000,000.00 |
| Less:theshareofthefairvalueofidentifiablenetassetsacquired | 30,025,628.52 | 94,598,664.35 |
| Theamountofgoodwill/combinationcostlessthantheshareofthefairvalueofidentifiablenetassetsacquired | -25,628.52 | 8,401,335.65 |
Methodfordeterminingthefairvalueofconsolidationcosts:
Contingentconsiderationandexplanationofitschanges:
Mainreasonsfortheformationoflargeamountofgoodwill:
TheCompanyacquired100.00%equityofWinnerGuilinLatexCo.,Ltd.withamergecostof103,000,000.00yuan.Onthepurchasedate,theCompanyobtainedtheidentifiablenetassetsofWinnerGuilinLatexCo.,Ltd.withthefairvalueof94,598,664.35yuan,andthedifferencebetweenthemergecostandthefairvalueoftheidentifiablenetassetsobtainedinthemergerof8,401,335.65yuanwasrecognizedasgoodwill.Otherdescription:
(
(3)Identifiableassetsandliabilitiesoftheacquireeontheacquisitiondate
Unit:yuan
WinnerMedicalShanghaiHongsongMedicalDeviceCo.,Ltd.
| ShanghaiHongsongMedicalDeviceCo.,Ltd. | Winner(Jinzhou)LatexProductsCo.,Ltd. | |||
| Fairvalueontheacquisitiondate | Bookvalueontheacquisitiondate | Fairvalueontheacquisitiondate | ||
| Assets: | 105,903,686.47 | 94,701,104.45 | 193,136,941.56 | 149,741,122.62 |
| Cashandcashequivalents | 8,823,863.68 | 8,823,863.68 | 169,539.86 | 169,539.86 |
| Accountsreceivablepayments | 29,718,604.59 | 29,718,604.59 | 481,417.05 | 481,417.05 |
| Inventory | 3,631,478.92 | 2,174,472.57 | 8,882,511.77 | 8,261,963.67 |
| Fixedassets | 2,199,354.00 | 1,618,600.25 | 95,175,479.00 | 82,920,529.77 |
| Intangibleassets | 9,080,000.00 | 42,213,300.00 | 12,697,399.00 | |
| Tradablefinancialassets | 45,084,821.92 | 45,000,000.00 | ||
| Advancetosupplier | 190,174.00 | 190,174.00 | 541,660.19 | 541,660.19 |
| Netotheraccountsreceivable | 267,921.81 | 267,921.81 | 9,326.71 | 9,326.71 |
| Othercurrentassets | 7,309,869.00 | 7,309,869.00 | ||
| Constructioninprogress | 35,243,285.25 | 34,238,864.64 | ||
| Netright-to-useassets | 6,907,467.55 | 6,907,467.55 | ||
| Long-termunamortizedexpenses | 2,859,991.18 | 2,859,991.18 | ||
| Othernon-currentassets | 250,561.55 | 250,561.55 | ||
| Debt: | 55,860,972.26 | 53,060,326.76 | 98,538,277.21 | 87,689,322.48 |
| Loan | 21,500,000.00 | 21,500,000.00 | ||
| Accountpayablepayments | 18,439,452.22 | 18,439,452.22 | 32,361,218.69 | 32,361,218.69 |
| Deferredincometaxliabilities | 2,800,645.50 | 10,848,954.73 | ||
| Contractliabilities | 653,648.93 | 653,648.93 | 1,015,777.86 | 1,015,777.86 |
| Payrollpayable | 1,715,576.91 | 1,715,576.91 | 845,715.00 | 845,715.00 |
| Taxespayable | 1,657,742.59 | 1,657,742.59 | 427,460.66 | 427,460.66 |
| Dividendspayable | 23,192,786.50 | 23,192,786.50 | ||
| Otherpayables | 149,420.94 | 149,420.94 | 11,857,061.78 | 11,857,061.78 |
| Non-currentliabilitiesduewithinoneyear | 641,367.96 | 641,367.96 | 6,000,000.00 | 6,000,000.00 |
| Othercurrentliabilities | 85,910.37 | 85,910.37 | 132,051.12 | 132,051.12 |
| Long-termloans | 2,500,000.00 | 2,500,000.00 | ||
| Leaseliabilities | 6,524,420.34 | 6,524,420.34 | ||
| Deferredincome | 11,050,037.37 | 11,050,037.37 | ||
| Netassets | 50,042,714.21 | 41,640,777.69 | 94,598,664.35 | 62,051,800.14 |
| Less:Minorityequity | 20,017,085.68 | 16,656,311.08 | ||
| Netassetsacquired | 30,025,628.53 | 24,984,466.61 | 94,598,664.35 | 62,051,800.14 |
Determinationmethodoffairvalueofidentifiableassetsandliabilities:
TheacquisitiontargetShanghaiHongsongMedicalDeviceCo.,Ltd.hasbeenappraisedbyYinxinAppraisalCo.,Ltd.withanissuanceoftheAssetsAppraisalReportontheMarketValueItemsofVariousIdentifiableAssets,LiabilitiesandContingentLiabilitiesofShanghaiHongsongMedicalDeviceCo.,Ltd.RelatedtotheProposedMergerConsiderationAllocationofWinnerMedicalCo.,Ltd.(Y.X.P.B.Zi[2023]No.D00027),andtheappraisalbenchmarkdateofApril30,2023.Accordingtotheappraisalreport,consideringtheimpactofdeferredincometaxandtheimpactofthecapitalincrease,thefairvalueoftheidentifiablenetassetsoftheacquired100%equityofShanghaiHongsongMedicalDeviceCo.,Ltd.is50,042,714.20yuan.TheacquisitiontargetWinner(Jinzhou)LatexProductsCo.,Ltd.hasbeenappraisedbyYinxinAppraisalCo.,Ltd.withanissuanceoftheAssetsAppraisalReportontheMarketValueItemsofVariousIdentifiableAssets,LiabilitiesandContingentLiabilitiesofShanghaiHongsongMedicalDeviceCo.,Ltd.RelatedtotheProposedMergerConsiderationAllocationofWinnerMedicalCo.,Ltd.(Y.X.P.B.Zi[20231]No.D00138),andtheappraisalbenchmarkdateofJune30,2022.Accordingtotheappraisalreport,consideringtheimpactofdeferredincometaxandtheimpactofthecapitalincrease,thefairvalueoftheidentifiablenetassetsoftheacquired100%equityofWinner(Jinzhou)LatexProductsCo.,Ltd.is94,598,664.35yuan.Contingentliabilitiesoftheacquireeincurredinbusinesscombination:Otherdescription:
(4)GainsorlossesarisingfromremeasurementofequityheldpriortotheacquisitiondateatfairvalueWhethertherearetransactionsthatrealizethebusinesscombinationstepbystepthroughmultipletransactionsandobtaincontrolrightduringthereportingperiod
□Yes√No
(5)Relevantdescriptionofthecombinationconsiderationorthefairvalueoftheidentifiableassetsandliabilitiesoftheacquireethatcannotbereasonablydeterminedontheacquisitiondateorattheendofcurrentperiodofthecombination
(6)Otherdescription
2.Businesscombinationundercommoncontrol
(1)Businesscombinationundercommoncontroloccurredincurrentperiod
Unit:yuan
| Nameofmergedparty | Proportionofequityobtainedinbusinesscombination | Basisofbusinesscombinationundercommoncontrol | Mergerdate | Basisfordeterminationofmergerdate | Incomeofthecombinedpartyfromthebeginningofcurrentperiodtothedateofcombination | Netprofitofthecombinedpartyfromthebeginningofcurrentperiodtothedateofcombination | Incomeofthecombinedpartyduringthecomparisonperiod | Netprofitofthecombinedpartyduringthecomparisonperiod |
Otherdescription:
(2)Combinationcost
Unit:yuan
WinnerMedicalCombinationcost
| Combinationcost |
| ‐Cash |
| ‐Bookvalueofnon-cashassets |
| ‐Bookvalueofdebtissuedorassumed |
| ‐Bookvalueofequitysecuritiesissued |
| ‐Contingentconsideration |
Contingentconsiderationandexplanationofitschanges:
Otherdescription:
(3)Bookvalueofassetsandliabilitiesofthecombinedpartyonthedateofcombination
Unit:yuan
| Mergerdate | Endofpreviousperiod |
| Assets: | |
| Cashandcashequivalents | |
| Accountsreceivablepayments | |
| Inventory | |
| Fixedassets | |
| Intangibleassets | |
| Debt: | |
| Loan | |
| Accountpayablepayments | |
| Netassets | |
| Less:Minorityequity | |
| Netassetsacquired |
Contingentliabilitiesofthecombinedpartyincurredinbusinesscombination:
Otherdescription:
3.ReversepurchaseBasicinformationoftransaction,basisoftransactionformingreversepurchase,whethertheassetsandliabilitiesretainedbythelistedcompanyconstitutebusinessandtheirbasis,determinationofcombinationcost,amountandcalculationofadjustedequityinaccordancewithequitytransaction:
4.DisposalofsubsidiaryArethereanytransactionsoreventsduringthisperiodthatleadtothelossofcontrolofsubsidiaries?
□Yes√NoWhetherthereisasituationthattheinvestmentinsubsidiariesisdisposedstepbystepthroughmultipletransactionsandthecontrolrightislostincurrentperiod
□Yes√No
5.Changeofmergerscopeforotherreasons
Explainthechangesinthescopeofcombinationcausedbyotherreasons(suchastheestablishmentofnewsubsidiaries,liquidationofsubsidiaries,etc.)andrelevantinformation:
HuanggangCottonwasmergedbyWinnerHuanggangduringtheperiod
6.Others
None
X.Interestsinotherentities
1.Interestsinasubsidiary
(1)Compositionofenterprisegroup
Unit:yuan
| Subsidiaryname | Registeredcapital | Mainoperationsite | Registrationplace | Businessnature | Shareholdingratio | Wayofobtaining | |
| Direct | Indirect | ||||||
| ShenzhenPurcotton | 130,000,000.00 | ShenzhenCity,GuangdongProvince | ShenzhenCity,GuangdongProvince | SaleofPurcottonproducts | 100.00% | Establishment | |
| BeijingPurcotton | 3,000,000.00 | Beijing | Beijing | SaleofPurcottonproducts | 100.00% | Establishment | |
| GuangzhouPurcotton | 1,000,000.00 | GuangzhouCity,GuangdongProvince | GuangzhouCity,GuangdongProvince | SaleofPurcottonproducts | 100.00% | Establishment | |
| ShanghaiPurcotton | 3,000,000.00 | Shanghai | Shanghai | SaleofPurcottonproducts | 100.00% | Establishment | |
| QianhaiPurcotton | 10,000,000.00 | ShenzhenCity,GuangdongProvince | ShenzhenCity,GuangdongProvince | SaleofPurcottonproducts | 100.00% | Establishment | |
| WinnerMedical(Huanggang) | 259,459,200.00 | HuanggangCity,HubeiProvince | HuanggangCity,HubeiProvince | Productionandsalesofpurecottonspunlacenon-wovenfabric,medicalconsumablesandPurcottonproducts | 100.00% | Businesscombinationundercommoncontrol | |
| WinnerMedical(Jingmen) | 23,000,000.00 | JingmenCity,HubeiProvince | JingmenCity,HubeiProvince | ProductionandsalesofmedicalconsumablesandPurcottonproducts | 100.00% | Businesscombinationundercommoncontrol | |
WinnerMedicalSubsidiaryname
| Subsidiaryname | Registeredcapital | Mainoperationsite | Registrationplace | Businessnature | Shareholdingratio | Wayofobtaining | |
| Direct | Indirect | ||||||
| WinnerMedical(Chongyang) | 28,550,000.00 | ChongyangCounty,HubeiProvince | ChongyangCounty,HubeiProvince | Productionandsalesofmedicalconsumables | 100.00% | Businesscombinationundercommoncontrol | |
| WinnerMedical(Jiayu) | 233,040,000.00 | JiayuCounty,HubeiProvince | JiayuCounty,HubeiProvince | ProductionandsalesofmedicalconsumablesandPurcottonproducts | 100.00% | Businesscombinationundercommoncontrol | |
| WinnerMedical(Yichang) | 12,413,668.87 | ZhijiangCity,HubeiProvince | ZhijiangCity,HubeiProvince | Productionandsalesofmedicalgraycloth | 100.00% | Businesscombinationundercommoncontrol | |
| WinnerMedical(Tianmen) | 37,670,000.00 | TianmenCity,HubeiProvince | TianmenCity,HubeiProvince | Productionandsalesofpurecottonspunlacenon-wovenfabricandPurcottonproducts | 100.00% | Businesscombinationundercommoncontrol | |
| WinnerMedical(HongKong) | 897,570.00 | HongKong | HongKong | Salesofmedicalconsumablesandhealthylivingconsumergoods | 60.00% | Businesscombinationundercommoncontrol | |
| Winner(Huanggang)Cotton | 18,738,690.96 | HuanggangCity,HubeiProvince | HuanggangCity,HubeiProvince | Cottontrade | 100.00% | Businesscombinationundercommoncontrol | |
| WinnerMedicalMalaysia | 4,943,266.40 | Malaysia | Malaysia | Thereisnoactualbusinessoperation | 100.00% | Businesscombinationnotundercommoncontrol | |
| WinnerMedical(Heyuan) | 100,000,000.00 | HeyuanCity,GuangdongProvince | HeyuanCity,GuangdongProvince | Thereisnoactualbusinessoperationatpresent | 100.00% | Establishment | |
| WinnerMedical(Wuhan) | 400,000,000.00 | WuhanCity,HubeiProvince | WuhanCity,HubeiProvince | Productionandsterilizationofpurecottonspunlacenon-wovenfabricandPurcottonproducts | 100.00% | Establishment | |
| PureH2B | 150,000,000.00 | ShenzhenCity,GuangdongProvince | ShenzhenCity,GuangdongProvince | Salesofpersonalcareandotherproducts | 100.00% | Establishment | |
| Purunderwear | 5,000,000.00 | ShenzhenCity,GuangdongProvince | ShenzhenCity,GuangdongProvince | SalesofCottonLiningproducts | 100.00% | Establishment | |
| HuanggangPurcotton | 10,000,000.00 | HuanggangCity,HubeiProvince | HuanggangCity,HubeiProvince | SaleofPurcottonproducts | 100.00% | Establishment | |
| WinnerMedical(Foshan) | 1,000,000.00 | FoshanCity,GuangdongProvince | FoshanCity,GuangdongProvince | Thereisnoactualbusinessoperationatpresent | 100.00% | Establishment | |
| LongtermMedical | 5,000,000.00 | Huzhou,Zhejiang | Huzhou,Zhejiang | Productionandsalesofmedicalconsumables | 55.00% | Businesscombinationnotundercommoncontrol | |
| HangzhouShengyi | 5,000,000.00 | Hangzhou,Zhejiang | Hangzhou,Zhejiang | Othertechnologypromotionservices | 55.00% | Businesscombinationnotundercommoncontrol | |
| Xi’anLongtemu | 5,000,000.00 | Xi’an,Shaanxi | Xi’an,Shaanxi | Engineeringtechnicalresearchandexperimentaldevelopment | 55.00% | Businesscombinationnotundercommoncontrol | |
| DeqingLongterm | 2,000,000.00 | Huzhou,Zhejiang | Huzhou,Zhejiang | Manufacturingofmedicalinstruments,equipmentanddevice | 55.00% | Businesscombinationnotundercommoncontrol | |
| UnitedStatesLongterm | US | US | Manufacturingofmedicalinstruments,equipmentanddevice | 55.00% | Businesscombinationnotundercommoncontrol | ||
| WinnerGuilin | 86,600,997.00 | XiufengDistrict,GuilinCity,GuangxiZhuangAutonomousRegion | XiufengDistrict,GuilinCity,GuangxiZhuangAutonomousRegion | Rubberproductsindustry | 91.74% | Businesscombinationnotundercommoncontrol | |
| WinnerMedical(Hunan) | 44,000,111.00 | Changde,Hunan | Changde,Hunan | Productionandsalesofmedicalconsumables | 68.70% | Businesscombinationnotundercommoncontrol | |
| RuianMedicalDevice | 2,000,000.00 | Changsha,Hunan | Changsha,Hunan | Engineeringtechnicalresearchandexperimentaldevelopment | 68.70% | Businesscombinationnotundercommoncontrol | |
| JunjianMedical | 20,120,000.00 | ShenzhenCity,GuangdongProvince | ShenzhenCity,GuangdongProvince | Salesofmedicalconsumables | 100.00% | Businesscombinationnotundercommoncontrol | |
| MexicoLongtai | 32,320,032.00 | Mexico | Mexico | Productionandsalesofmedicalconsumables | 55.00% | Establishment | |
| ShanghaiHongsong | 2,000,000.00 | Shanghai | Shanghai | Salesofmedicalconsumables | 60.00% | Establishment | |
| WinnerJinzhou | 87,500,000.00 | JingzhouCity,HubeiProvince | JingzhouCity,HubeiProvince | Productionandsaleofrubberproducts | 91.74% | Businesscombinationnotundercommoncontrol | |
| PurcottonWuhan | 20,000,000.00 | WuhanCity,HubeiProvince | WuhanCity,HubeiProvince | SaleofPurcottonproducts | 100.00% | Establishment | |
| PurcottonHongKong | HongKong | HongKong | SaleofPurcottonproducts | 100.00% | Establishment | ||
| Pan-China(H.K.) | 860,840.00 | HongKong | HongKong | Thereisnoactualbusinessoperationatpresent | 100.00% | Establishment | |
| WuhanDigitalTechnology | 500,000.00 | WuhanCity,HubeiProvince | WuhanCity,HubeiProvince | Softwaredevelopmentandsales | 100.00% | Establishment | |
Unit:yuanDifferencebetweentheshareholdingratioandthevotingrightratiointhesubsidiary:
Basisforholdinghalforlessofthevotingrightsbutstillcontrollingtheinvestedentity,andholdingmorethanhalfofthevotingrightsbutnotcontrollingtheinvestedentity:
Fortheimportantstructuredentityincludedinthecombinationscope,thecontrolbasisisasfollows:
Basisfordeterminingwhetherthecompanyisanagentoraprincipal:
Otherdescription:
HuanggangCottonwasmergedbyWinnerHuanggangin2023.
(2)Importantnon-whollyownedsubsidiary
Unit:yuan
| Subsidiaryname | Minorityshareholdingratio | Currentprofitsandlossesattributabletominorityshareholders | Currentdividendsdeclaredtominorityshareholders | Endingbalanceofminorityequity |
Differencebetweentheshareholdingratioandthevotingrightratiooftheminorityshareholdersofthesubsidiary:
Otherdescription:
(3)Mainfinancialinformationofimportantnon-whollyownedsubsidiaries
Unit:yuan
| Subsidiaryname | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||||
| Currentassets | Non-currentassets | Totalassets | Currentliabilities | Non-currentliabilities | Totalliabilities | Currentassets | Non-currentassets | Totalassets | Currentliabilities | Non-currentliabilities | Totalliabilities | |
Unit:yuan
| Subsidiaryname | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | ||||||
| Revenue | Netprofit | Totalcomprehensiveincome | Cashflowfromfinancingactivities | Revenue | Netprofit | Totalcomprehensiveincome | Cashflowfromfinancingactivities | |
Otherdescription:
(4)Majorrestrictionsontheuseofenterprisegroupassetsandthesettlementofenterprisegroupdebts
(5)FinancialorothersupportprovidedtostructuredentityincludedintheconsolidatedfinancialstatementsOtherdescription:
2.Transactionsinwhichtheshareofownershipinterestinasubsidiarychangesandthesubsidiaryisstillcontrolled
(1)Descriptionofchangesintheowner’sequityshareinthesubsidiaryAdditionally,WinnerGuilinintroducedminorityshareholdersviaitscapitalincrease,resultinginpassivedilutionoftheCompany’sequitywithoutlossofcontrol.Othercapitalreservesamountingto26,153,134.84yuanwereconfirmed.
(2)Impactoftransactionsonminorityshareholders’equityandowners’equitiesattributabletotheownersofparentcompany
Unit:yuan
WinnerMedicalPurchasecost/Disposalconsideration
| Purchasecost/Disposalconsideration |
| -Cash |
| -Fairvalueofnon-cashassets |
| Totalpurchasecost/Disposalconsideration |
| Loss:Theshareofthenetassetofasubsidiarycalculatedbasedontheproportionofequityacquired/disposed |
| Balance |
| Including:Capitalreserveadjusted |
| Surplusreserveadjusted |
| Undistributedprofitadjusted |
Otherdescription:
3.Equityinjointventurearrangementorjointventure
(1)Importantcooperativeenterprisesorjointventures
| Nameofcooperativeenterpriseorjointventure | Mainoperationsite | Registrationplace | Businessnature | Shareholdingratio | Accountingtreatmentmethodofinvestmentincooperativeenterprisesorjointventures | |
| Direct | Indirect | |||||
Differencebetweentheshareholdingratioandthevotingrightratiointhecooperativeenterpriseorjointventure:
Basisforholdinglessthan20%ofthevotingrightsbuthavingasignificantimpact,orholding20%ormoreofthevotingrightsbutnothavingasignificantimpact:
(2)MajorFinancialInformationaboutImportantCooperativeEnterprises
Unit:yuan
| Endingbalance/amountincurredincurrentperiod | Beginningbalance/amountincurredinpreviousperiod | |
| Currentassets | ||
| Including:Cashandcashequivalents | ||
| Non-currentassets | ||
| Totalassets | ||
| Currentliabilities | ||
| Non-currentliabilities | ||
| Totalliabilities | ||
| Minorityequity | ||
| Attributabletotheparentcompanyshareholders’equity | ||
| Shareofnetassetsbyshareholdingratio | ||
| Adjustmentitems | ||
| -Goodwill | ||
| -Unrealizedprofitofinternaltransaction | ||
| -Others | ||
| Bookvalueofequityinvestmentsinjointventures | ||
| Fairvalueofequityinvestmentsinjointventureswithpubliclyquotedprices | ||
| Revenue | ||
| Financialexpenses | ||
| Incometaxexpenses | ||
| Netprofit | ||
| Netprofitofdiscontinuedoperation | ||
| Othercomprehensiveincome | ||
| Totalcomprehensiveincome | ||
| Dividendsreceivedfromjointventuresincurrentyear |
Otherdescription:
(3)MajorFinancialInformationAboutImportantJointlyOperatedEnterprises
Unit:yuan
WinnerMedicalEndingbalance/amountincurredincurrent
period
| Endingbalance/amountincurredincurrentperiod | Beginningbalance/amountincurredinpreviousperiod | |
| Currentassets | ||
| Non-currentassets | ||
| Totalassets | ||
| Currentliabilities | ||
| Non-currentliabilities | ||
| Totalliabilities | ||
| Minorityequity | ||
| Attributabletotheparentcompanyshareholders’equity | ||
| Shareofnetassetsbyshareholdingratio | ||
| Adjustmentitems | ||
| -Goodwill | ||
| -Unrealizedprofitofinternaltransaction | ||
| -Others | ||
| Bookvalueofequityinvestmentsincooperativeenterprises | ||
| Fairvalueofequityinvestmentsincooperativeenterpriseswithpubliclyquotedprices | ||
| Revenue | ||
| Netprofit | ||
| Netprofitofdiscontinuedoperation | ||
| Othercomprehensiveincome | ||
| Totalcomprehensiveincome | ||
| Dividendsreceivedfromcooperativeenterprisesincurrentyear |
Otherdescription:
(4)Summaryoffinancialinformationofunimportantcooperativeenterprisesandjointventures
Unit:yuan
| Endingbalance/amountincurredincurrentperiod | Beginningbalance/amountincurredinpreviousperiod | ||
| Cooperativeenterprise: | |||
| Totalnumberoffollowingitemsbyshareholdingratio | |||
| -Jointventure: | |||
| Totalbookvalueofinvestment | 20,879,244.20 | 21,747,635.99 | |
| Totalnumberoffollowingitemsbyshareholdingratio | |||
| -Netprofit | 1,581,608.21 | 4,697,834.75 | |
| -Totalcomprehensiveincome | 1,581,608.21 | 4,697,834.75 |
Otherdescription:
(5)SignificantrestrictionsontheabilityofcooperativeenterprisesandjointventurestotransferfundstotheCompany
(6)Excesslossesofcooperativeenterpriseorjointventure
Unit:yuan
| Nameofcooperativeenterpriseorjointventure | Accumulatedunrecognizedlossesinthepreviousperiod | Unrecognizedlossincurrentperiod(ornetprofitsharedincurrentperiod) | Accumulatedunrecognizedlossesattheendofcurrentperiod |
Otherdescription:
(7)Unconfirmedcommitmentsrelatedtoinvestmentincooperativeenterprise
(8)Contingentliabilitiesrelatedtoinvestmentincooperativeenterpriseorjointventure
4.Importantpoolingofinterests
| Nameofjointoperation | Mainoperationsite | Registrationplace | Businessnature | Shareholdingratio/shareenjoyed | |
| Direct | Indirect | ||||
Differencebetweentheshareholdingratioorshareenjoyedandthevotingrightratioinjointoperation:
Ifthejointoperationisaseparateentity,itshallbeclassifiedasthebasisofjointoperation:
Otherdescription:
5.EquityinthestructuredentitythatisnotincludedintheconsolidatedfinancialstatementsDescriptionofstructuredentitynotincludedintheconsolidatedfinancialstatements
6.Others
XI.Governmentsubsidies
1.Governmentsubsidiesrecognizedbasedonthereceivableamountattheendofthereportingperiod
□Applicable√NotapplicableReasonsforthefailuretoreceivetheestimatedamountofgovernmentsubsidyattheestimatedtime
□Applicable√Notapplicable
2.Projectsinvolvinggovernmentsubsidies
√Applicable□Notapplicable
Unit:yuan
WinnerMedicalAccounting
subject
| Accountingsubject | Balanceatthebeginningoftheperiod | Amountofadditionalsubsidyincurrentperiod | Amountincludedincurrentnon-revenue | Amountstransferredtootherearningsduringtheperiod | Otherchangesduringtheperiod | ClosingBalance | Asset/incomerelated |
| Deferredincome | 98,791,412.91 | 48,677,287.37 | 11,319,335.31 | 14,500,000.00 | 121,649,364.97 | Governmentsubsidiesrelatedtoassets |
3.Governmentsubsidiesincludedincurrentprofitandloss:
√Applicable□Notapplicable
Unit:yuan
| Accountingsubject | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Otherincomes | 101,105,274.61 | 84,373,262.34 |
| Non-operatingincome | 171,825.26 | 485,841.01 |
| Gainsfromassetdisposal | 14,500,000.00 | 0.00 |
Otherdescription
XII.Risksassociatedwithfinancialinstruments
1.TypesofrisksarisingfromfinancialinstrumentsTheCompanyisexposedtovariousfinancialrisksintheprocessofoperation:creditrisk,liquidityriskandmarketrisk,includingexchangeraterisk,interestrateriskandotherpricerisk.TheaforementionedfinancialrisksandtheriskmanagementpoliciesadoptedbytheCompanytomitigatetheserisksaredescribedbelow:TheBoardofDirectorsisresponsibleforplanningandestablishingtheCompany’sriskmanagementstructure,formulatingtheCompany’sriskmanagementpoliciesandrelevantguidelines,andsupervisingtheimplementationofriskmanagementmeasures.TheCompanyhasformulatedriskmanagementpoliciestoidentifyandanalyzetheriskstowhichtheCompanyisexposed.Theseriskmanagementpoliciesspecifyspecificrisks,coveringvariousaspectssuchasmarketrisk,creditriskandliquidityriskmanagement.TheCompanyregularlyevaluatesthechangesinthemarketenvironmentandtheCompany’soperatingactivitiestodeterminewhethertoupdatetheriskmanagementpoliciesandsystems.TheriskmanagementoftheCompanyiscarriedoutbytheRiskManagementCommitteeinaccordancewiththepoliciesapprovedbytheBoardofDirectors.TheRiskManagementCommitteeidentifies,evaluates,andavoidsrelatedrisksthroughclosecooperationwithotherbusinessdepartmentsoftheCompany.TheinternalauditdepartmentoftheCompanyconductsregularauditontheriskmanagementcontrolandprocedures,andreportedtheauditresultstotheAuditCommitteeoftheCompany.TheCompanydispersesfinancialinstrumentrisksthroughappropriatediversifiedinvestmentsandbusinessportfolios,andreducerisksconcentratedinasingleindustry,specificregion,orspecificcounterpartybyformulatingcorrespondingriskmanagementpolicies.
(1)CreditriskCreditriskreferstotheriskoffinanciallosstotheCompanyduetothefailureofthecounterpartytofulfillitscontractualobligations.TheCompany’screditriskmainlyarisesfrommonetaryfunds,notesreceivable,accountsreceivable,receivablesfinancing,contractassets,otherreceivables,debtinvestment,otherdebtinvestmentsandfinancialguaranteecontracts,aswellasdebtinstrumentinvestmentsandderivativefinancialassetsmeasuredatfairvaluethroughprofitorlossandnotincludedintheimpairmentassessmentscope.Onthebalancesheetdate,thebookvalueoftheCompany’sfinancialassetsrepresentsitsmaximumcreditriskexposure.TheCompany’smonetaryfundsaremainlydepositedinstate-ownedbanksandotherlargeandmedium-sizedlistedbankswithhighcreditrating.TheCompanybelievesthatthereisnosignificantcreditriskandalmostcannotcausesignificantlossescausedbybankdefault.Inaddition,fornotesreceivable,accountsreceivable,receivablesfinancing,contractualassetsandotherreceivables,theCompanymakesrelevantpoliciestocontrolcreditriskexposure.TheCompanyevaluatesthecustomers’creditqualificationandsetsthecorrespondingcreditperiodbasedonthecustomer’sfinancialstatus,thepossibilityofobtainingguaranteefromathirdparty,creditrecordsandotherfactorssuchascurrentmarketconditions.TheCompanywillregularlymonitorcustomers’creditrecords.Forcustomerswithpoorcreditrecords,theCompanywouldurgepaymentinwriting,shortenthecreditperiodorcancelthecreditperiod,etc.,toensurethattheoverallcreditriskoftheCompanyisundercontrol.
(2)LiquidityriskLiquidityriskreferstotheriskofcapitalshortagewhentheCompanyperformstheobligationofsettlementbycashpaymentorotherfinancialassets.TheCompany’spolicyistoensurethatthereissufficientcashtopaythedebtdue.LiquidityriskiscentrallycontrolledbytheFinancialDepartmentoftheCompany.Bymonitoringcashbalances,securitiesthatcanbeturnedintocashatanytime,androllingforecastingofcashflowsoverthenext12months,theFinanceDepartmentensuresthattheCompanyhassufficientfundstorepayitsdebtsunderallreasonableprojections.atthesametime,itcontinuouslymonitorsthecomplianceoftheprovisionsoftheloanagreements,andobtainedcommitmentsfrommajorfinancialinstitutionstoprovidesufficientstandbycapitaltomeetshort-termandlong-termcapitalneeds.
TheCompany’svariousfinancialliabilitiesareshownasfollowsintermsofundiscountedcontractcashflowsonmaturitydates:
WinnerMedicalItem
| Item | ClosingBalance | |||||
| Immediaterepayment | Within1year | 1-2years | 2-5years | Morethan5years | Totalundiscountedcontractamount | |
| Short-termloans | 1,493,238,955.00 | 1,493,238,955.00 | ||||
| Notespayable | 315,902,844.15 | 315,902,844.15 | ||||
| Accountspayable | 1,116,802,220.38 | 1,116,802,220.38 | ||||
| Otherpayables | 591,310,917.61 | 591,310,917.61 | ||||
| Non-currentliabilitiesduewithinoneyear | 223,426,826.45 | 223,426,826.45 | ||||
| Long-termloans | 170,000,000.00 | 170,000,000.00 | ||||
| Leaseliabilities | 152,725,191.59 | 160,706,193.96 | 19,232,032.29 | 332,663,417.84 | ||
| Total | 3,740,681,763.59 | 322,725,191.59 | 160,706,193.96 | 19,232,032.29 | 4,243,345,181.43 | |
Item
| Item | Closingbalanceofthepreviousyear | |||||
| Immediaterepayment | Within1year | 1-2years | 2-5years | Morethan5years | Totalundiscountedcontractamount | |
| Short-termloans | 2,295,218,930.85 | 2,295,218,930.85 | ||||
| Notespayable | 24,760,000.00 | 24,760,000.00 | ||||
| Accountspayable | 1,119,574,518.58 | 1,119,574,518.58 | ||||
| Otherpayables | 570,843,242.88 | 570,843,242.88 | ||||
| Non-currentliabilitiesduewithinoneyear | 215,946,889.32 | 215,946,889.32 | ||||
| Leaseliabilities | 160,958,289.43 | 204,071,723.77 | 365,030,013.20 | |||
| Total | 4,226,343,581.63 | 160,958,289.43 | 204,071,723.77 | 4,591,373,594.83 | ||
(3)MarketriskMarketriskoffinancialinstrumentsreferstotheriskthatthefairvalueorfuturecashflowoffinancialinstrumentsfluctuatesduetothechangeofmarketprice,includingexchangeraterisk,interestrateriskandotherpricerisk.
1)InterestrateriskInterestrateriskreferstotheriskthatthefairvalueorfuturecashflowoffinancialinstrumentsfluctuatesduetothechangeofmarketinterestrate.TheinterestbearingfinancialinstrumentswithfixedandfloatinginterestratesexposetheCompanytofairvalueinterestrateriskandcashflowinterestraterisk,respectively.TheCompanydeterminestheratiooffixedrateandfloatingrateinstrumentsbasedonthemarketenvironment,andmaintainsanappropriatecombinationoffixedrateandfloatingrateinstrumentsthroughregularreviewandmonitoring.Ifnecessary,theCompanywilluseinterestrateswapinstrumentstohedgeinterestraterisk.
OnDecember31,2023,ifothervariablesremainunchanged,andtheborrowingrateatthefloatingraterisesorfallsby100basepoints,theCompany’snetprofitwilldecreaseorincreaseby3,680,579.09yuan(December31,2022:1,419,254.31yuan).Themanagementconsidersthat100basispointsreasonablyreflectsareasonablerangeofpossiblechangesininterestrateoverthenextyear.
2)ExchangerateriskExchangerateriskreferstotheriskthatthefairvalueorfuturecashflowoffinancialinstrumentsfluctuatesduetothechangeofforeignexchangerate.TheCompanycontinuouslymonitorsforeigncurrencytransactionsandthescaleofforeigncurrencyassetsandliabilitiestominimizeforeignexchangerisks.Inaddition,theCompanymayenterintoforwardforeignexchangecontractsorcurrencyexchangecontractstoachievethepurposeofavoidingtheexchangeraterisk.TheCompanyhasnotsignedanyforwardforeignexchangecontractsorcurrencyswapcontractsduringthecurrentperiodandthepreviousperiod.TheexchangerateriskfacedbytheCompanymainlycomesfromfinancialassetsandfinancialliabilitiesdenominatedinUSD.TheamountsofforeigncurrencyfinancialassetsandforeigncurrencyfinancialliabilitiesconvertedintoRMBarelistedasfollows:
| Item | ClosingBalance | |||||
| USD | EUR | HKD | Mexicanpeso | Ringgit | Total | |
| Foreigncurrencyfinancialassets | ||||||
| Cashandcashequivalents | 406,476,977.07 | 5,054,600.55 | 20,817,202.66 | 2,760,541.42 | 86,776.72 | 435,196,098.42 |
| Accountsreceivable | 152,689,246.35 | 4,701,389.47 | 10,647,118.55 | 3,015.11 | 1,519,794.79 | 169,560,564.27 |
| Otherreceivables | 604,520.58 | 604,520.58 | ||||
| Subtotal | 559,166,223.42 | 9,755,990.02 | 32,068,841.79 | 2,763,556.53 | 1,606,571.51 | 605,361,183.27 |
| Foreigncurrencyfinancialliabilities | ||||||
| Accountspayable | 3,910.09 | 3,910.09 | ||||
| Otherpayables | 765,832.15 | 354,125.87 | 1,119,958.02 | |||
| Subtotal | 765,832.15 | 3,910.09 | 354,125.87 | 1,123,868.11 | ||
| Netamount | 559,166,223.42 | 9,755,990.02 | 31,303,009.64 | 2,759,646.44 | 1,252,445.64 | 604,237,315.16 |
OnDecember31,2023,iftheRMBappreciatesordepreciatesby5%againstaforementionedcurrencies,allothervariablesbeingheldconstant,thenetprofitoftheCompanywillbereducedorincreasedby25,321,546.56yuan(December31,2022:
16,092,001.76yuan).Managementconsidersthat5%isareasonablereflectionofthereasonablerangeofpossiblechangesinRMBagainstUSD.
3)OtherpricerisksOtherpricerisksrefertotherisksthatthefairvalueorfuturecashflowsoffinancialinstrumentsfluctuateduetothechangesinmarketpricesotherthanexchangerateriskandinterestraterisk.
2.Hedge
(1)TheCompanycarriesouthedgingbusinessforriskmanagement
□Applicable√Notapplicable
(2)TheCompanycarriesoutqualifiedhedgingbusinessandapplieshedgingaccounting
Unit:yuan
WinnerMedicalItem
| Item | Bookvaluerelatedtohedgeditemsandhedginginstruments | Cumulativefairvaluehedgingadjustmentsofhedgeditemsincludedinrecognizedcarryingamounts | Somesourcesofhedgingeffectivenessandineffectiveness | Theimpactofhedgeaccountingonacompany’sfinancialstatements |
| Hedgingrisktype | ||||
| Hedgetype |
Otherdescription
(3)TheCompanyengagesinhedgingactivitiesforriskmanagementpurposesandanticipatesachievingriskmanagement
objectivesbutdoesnotapplyhedgeaccounting
□Applicable√Notapplicable
3.Financialassets
(1)Transfermethodclassification
√Applicable□Notapplicable
Unit:yuan
| Transfermethod | Natureoffinancialassetstransferred | Amountoffinancialassetstransferred | De-recognition | Basisforjudgmentonterminationofconfirmation |
| Billendorsement | Notesreceivable | 28,991,818.10 | Notterminated | Retainsubstantiallyallofitsrisksandrewards,includingdefaultrisksassociatedtherewith |
| Billendorsement | Notesreceivable | 334,223,420.29 | De-recognition | Substantiallyallrisksandrewardshavebeentransferred |
| Total | 363,215,238.39 |
(2)Financialassetsderecognizedasaresultofatransfer
√Applicable□Notapplicable
Unit:yuan
| Item | Methodsoftransferringfinancialassets | Amountoffinancialassetsderecognized | Gainsorlossesrelatedtoderecognition |
| Notesreceivable | Billendorsement | 334,223,420.29 | |
| Total | 334,223,420.29 |
(3)Assettransferfinancialassetsthatcontinuetobeinvolved
□Applicable√NotapplicableOtherdescription
XIII.Fairvaluedisclosure
1.Endingfairvalueofassetsandliabilitiesmeasuredwithfairvalue
Unit:yuan
| Item | Closingfairvalue | |||
| Measurementoffairvalueatfirstlevel | Measurementoffairvalueatsecondlevel | Measurementoffairvalueatthirdlevel | Total | |
| I.Continuousfairvaluemeasurement | -- | -- | -- | -- |
| (I)Tradablefinancialassets | 1,735,249,266.74 | 1,114,809,273.97 | 2,850,058,540.71 | |
| 1.Financialassetsmeasuredatfairvalueofwhichthechangesareincludedincurrentprofitandloss | 1,735,249,266.74 | 1,114,809,273.97 | 2,850,058,540.71 | |
| (3)Derivativefinancialassets | 1,735,249,266.74 | 1,735,249,266.74 | ||
| (4)Others | 1,114,809,273.97 | 1,114,809,273.97 | ||
| ?Amountsreceivablefinancing | 29,348,618.44 | 29,348,618.44 | ||
| ?Othernon-currentfinancialassets | 70,000,000.00 | 70,000,000.00 | ||
| Totalassetscontinuouslymeasuredatfairvalue | 1,764,597,885.18 | 1,184,809,273.97 | 2,949,407,159.15 | |
| II.Non-continuousfairvaluemeasurement | -- | -- | -- | -- |
2.Continuousandnon-continuousmeasurementitemsoffairvalueatfirstlevelandrecognitionbasisformarketprice
Theinputvalueofthefirstlevelistheunadjustedquotationofthesameassetsorliabilitiesontheactivemarketthatcanbeobtainedonthemeasurementday.
3.Continuousandnon-continuousmeasurementitemsoffairvalueatsecondlevel,qualitativeandquantitative
informationonvaluationtechniquesadoptedandimportantparameters
Theinputvalueofthesecondlevelisthedirectorindirectobservableinputvalueofrelatedassetsorliabilitiesotherthantheinputvalueofthefirstlevel.
4.Continuousandnon-continuousmeasurementitemsoffairvalueatthirdlevel,qualitativeandquantitativeinformationonvaluationtechniquesadoptedandimportantparameters
Theinputvalueofthethirdlevelisthenon-observableinputvalueoftherelevantassetsorliabilities.
5.Continuousmeasurementitemsoffairvalueatthirdlevel,adjustmentinformationbetweenopeningandclosingbookvalueandsensitivityanalysisofunobservableparametersFortheCompany’songoingLevel3fairvaluemeasurementprogram,thereconcilinginformationprimarilyincludesvaluationchanges,sales,andsettlements.Therehavebeennochangesinunobservableparametersthatcouldsignificantlyimpactfairvalue.
6.Forcontinuousmeasurementitemsoffairvalue,ifthereisaconversionbetweendifferentlevelsincurrentperiod,
thereasonsfortheconversionandthepoliciesfordeterminingtheconversiontimepointTherewerenotransitionsbetweenlevelsduringtheyear.
7.ValuationtechnologychangeandreasonofchangeincurrentperiodTherewerenochangestothevaluationtechniquesusedduringtheyear.
8.Fairvalueoffinancialassetsandfinancialliabilitiesnotmeasuredatfairvalue
TheCompany’sfinancialassetsandfinancialliabilitiesmeasuredatamortizedcostmainlyinclude:notesreceivable,accountsreceivable,otherreceivables,othercurrentassets,notespayable,accountspayable,otherpayables,non-paymentsduewithinoneyear.Currentliabilities,othercurrentliabilities,andleaseliabilities.ThereisnosignificantdifferencebetweenthebookvalueandfairvalueoftheCompany’svariousfinancialassetsandfinancialliabilitiesmeasuredatamortizedcostonDecember31,2023.
9.Others
None
XIV.Relatedpartiesandconnectedtransactions
1.ParentcompanyoftheCompany
WinnerMedicalParentcompanyname
| Parentcompanyname | Registrationplace | Businessnature | Registeredcapital | ShareholdingratiooftheparentcompanyintheCompany | VotingrightratiooftheparentcompanyintheCompany |
| WinnerGroupLimited | CaymanIslands | Equityinvestmentandmanagementbusiness | HKD1,143,000.00 | 68.41% | 68.41% |
ParentcompanyoftheCompanyWinnerGroupLimitedwasincorporatedintheCaymanIslandsonApril8,2003withregistrationnumber124887andanauthorizedsharecapitalof360,000,000.00shareswithanominalvalueofHKD1pershare.1,143,000shareshavebeenissued.TheregisteredaddressisVistra(Cayman)Limited,P.O.Box31119,GrandPavilion,HibiscusWay,802WestBayRoad,GrandCaymanKY1-1205,CaymanIslands.TheultimatecontrollingpartyoftheCompanyisLiJianquan.Otherdescription:
2.SubsidiariesoftheCompany
SeeNote“X.Interestsinotherentities”.
3.CooperativeenterprisesandjointventuresSeethenote“X.Interestsinotherentities”forimportantcooperativeenterprisesorjointventuresoftheCompany.OthercooperativeenterprisesorjointventuresthatmaderelatedpartytransactionswiththeCompanyinthecurrentperiod,orformedthebalanceofrelatedpartytransactionswiththeCompanyinthepreviousperiodsareasfollows:
| Nameofcooperativeenterpriseorjointventure | RelationshipwiththeCompany |
| ChengduWinner | Cooperativeenterprise |
| HubeiXianchuangTechnologyCo.,Ltd. | Cooperativeenterprise |
Otherdescription:
4.Situationofotherrelatedparties
| Nameofotherrelatedparties | RelationshipofotherrelatedpartieswiththeCompany |
| GloryRayHoldingsLimited | Acompanycontrolledbytheactualcontroller |
| GloryRayLimited | AcompanycontrolledbytheactualcontrollerthroughGloryRayHoldings |
| BeijingSequoiaXinyuanEquityInvestmentCenter(limitedpartnership) | ShareholderoftheCompany |
| XiamenLeyuanInvestmentPartnership(LimitedPartnership) | ShareholderoftheCompany |
| XiamenYutongInvestmentPartnership(LimitedPartnership) | ShareholderoftheCompany |
| XiamenHuikangInvestmentPartnership(LimitedPartnership) | ShareholderoftheCompany |
| ShenzhenCapitalGroupCo.,Ltd. | ShareholderoftheCompany |
| XiamenZepengInvestmentPartnership(LimitedPartnership) | ShareholderoftheCompany |
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | Jointventure,with49%equityholdbytheCompany |
| WuhanZhuolingPackagingCo.,Ltd. | AcompanycontrolledbyclosefamilymembersoftheCompany’skeymanagers |
| GloryRayHoldingsLimited | Acompanycontrolledbytheactualcontroller |
| LiJianquan | ActualcontrolleroftheCompany |
| FangXiuyuan | Director,deputygeneralmanager,chieffinancialofficer |
| XuXiaodan | Director |
| GuoZhenwei | Director |
| PengJianfeng | Independentdirector |
| XieJiawei | Independentdirector |
| LiuKe | Independentdirector |
| ZhangTingting | ChairmanoftheBoardofSupervisors |
| WangYing | Formersupervisor |
WinnerMedical
Nameofotherrelatedparties
| Nameofotherrelatedparties | RelationshipofotherrelatedpartieswiththeCompany |
| Nameofotherrelatedparties | RelationshipofotherrelatedpartieswiththeCompany |
| LiuHua | Employeesupervisor |
| ZhangYan | Supervisor |
| ChenHuixuan | Secretarytotheboardofdirectors,deputygeneralmanager |
| ZhangLi | Deputygeneralmanager |
| HuangJun | OriginalshareholderandoriginaldirectorofWinnerMedical(Hunan) |
| LixianSHRCBRuralBankCo.,Ltd. | AcompanyinwhichZhengDatian,ViceChairmanofWinnerMedical(Hunan),servesasadirector |
| JingyiBiotechnology(Shanghai)Co.,Ltd. | AcompanyactuallycontrolledbyWuKangping,ashareholderofLongtermMedical |
| ShenzhenNineStarsPrintingandPackagingGroupCo.,Ltd. | AcompanycontrolledbythefinalcontrollerofWinnerGuilinbeforemerge |
| ShenzhenJunheshengTechnologyCo.,Ltd. | AcompanycontrolledbytheactualcontrollerofJunjianMedicalbeforemerge |
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | AcompanycontrolledbytheactualcontrollerofJunjianMedicalbeforemerge |
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | AcompanycontrolledbytheactualcontrollerofJunjianMedicalbeforemerge |
| ZhejiangKanglidiMedicalSuppliesCo.,Ltd. | AcompanyactuallycontrolledbyWuDi,ashareholderofLongtermMedical |
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | AcompanyactuallycontrolledbyWuDi,ashareholderofLongtermMedical |
| ZheJiangLongrisingMedicalNewMaterialsCo.,Ltd. | AcompanyactuallycontrolledbyWuKangping,ashareholderofLongtermMedical |
| ZhengJunhui | ControllingshareholderandactualcontrollerofJunjianMedicalbeforemerger |
| WuKangping,HuangLepei,WuDi | ControllingshareholderofLongtermMedicalbeforemergeranditscurrentminorityshareholder |
| CaoWensong,ZhangYuqing | ControllingshareholderofShanghaiHongsongbeforemergeranditscurrentminorityshareholder |
| GuilinGoldenEagleLatexTechnologyCo.,Ltd. | MinorityshareholderofWinnerGuilin,formershareholderofWinnerJinzhou |
Otherdescription:
5.Connectedtransaction
(1)Connectedtransactionofpurchasesandsalesofgoods,provisionandacceptanceofservicesPurchaseofgoods/acceptanceofservices
Unit:yuan
| Relatedparty | Connectedtransactioncontent | Amountincurredincurrentperiod | Approvedtransactionquota | Whetherthetransactionquotaisexceeded | Amountincurredinpreviousperiod |
| WuhanZhuolingPackagingCo.,Ltd. | Purchasinggoodsorservices | 16,916,433.65 | No | 77,258,887.85 | |
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | Purchasinggoodsorservices | 216,261.26 | No | 563,725.61 | |
| ShenzhenNineStarsPrintingandPackagingGroupCo.,Ltd. | Purchasinggoodsorservices | 1,985,289.48 | No | 352,151.87 |
| Relatedparty | Connectedtransactioncontent | Amountincurredincurrentperiod | Approvedtransactionquota | Whetherthetransactionquotaisexceeded | Amountincurredinpreviousperiod |
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | Purchasinggoodsorservices | 897,359.19 | No | 668,252.32 | |
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | Purchasinggoodsorservices | 25,872.75 | No | 139,551.39 | |
| ZhejiangKanglidiMedicalSuppliesCo.,Ltd. | Purchasinggoodsorservices | No | 643,678.38 | ||
| ZheJiangLongrisingMedicalNewMaterialsCo.,Ltd. | Purchasinggoodsorservices | 15,974.14 | No | 150,642.09 | |
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | Purchasinggoodsorservices | 225,644.59 | No | 149,844.78 | |
| GuilinGoldenEagleLatexTechnologyCo.,Ltd. | Purchasinggoodsorservices | 2,345,811.69 | No |
Sellingcommodities/offeringlabor
Unit:yuan
| Relatedparty | Connectedtransactioncontent | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | Sellofgoodsorservices | 3,310,936.37 | 11,746,826.18 |
| LixianSHRCBRuralBankCo.,Ltd. | Sellofgoodsorservices | 3,893.81 | |
| ZheJiangLongrisingMedicalNewMaterialsCo.,Ltd. | Sellofgoodsorservices | 5,532.76 | |
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | Sellofgoodsorservices | 784,905.96 | 468,765.43 |
| ZhejiangKanglidiMedicalSuppliesCo.,Ltd. | Sellofgoodsorservices | 7,958,719.59 | 6,735,072.47 |
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | Sellofgoodsorservices | 1,427,243.15 | 9,121,976.34 |
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | Sellofgoodsorservices | -424,759.31 | 399,011.49 |
Relatedtransactionofpurchasesandsalesofgoods,provisionandacceptanceofservicesSalestoShenzhenZhengjunMedicalDeviceCo.,Ltd.werenegativeprimarilyduetoreturnsprocessedduringtheperiod.
(2)Associatedfiduciarymanagement/contractingandentrustedmanagement/subcontractingEntrustedmanagement/contractingoftheCompany:
Unit:yuan
| Nameofentrustingparty/subcontractor | Nameofentrustingparty/contractor | Entrusted/contractingassettype | Fiduciary/contractingstartdate | Fiduciary/contractingterminationdate | Pricingbasisoffiduciaryincome/contractingincome | Fiduciaryincome/contractingincomerecognizedincurrentperiod |
Associatedfiduciary/contractingN/A
Entrustmentmanagement/subcontractingoftheCompany:
Unit:yuan
WinnerMedicalNameofentrustingparty/subcontractor
| Nameofentrustingparty/subcontractor | Nameofentrustingparty/contractor | Entrusting/subcontractingassettype | Entrusting/subcontractingstartdate | Entrusting/subcontractingterminationdate | Pricingbasisoffiduciaryfee/subcontractingfee | Fiduciaryfee/subcontractingfeerecognizedincurrentperiod |
Descriptionofassociatedmanagement/subcontractingnotapplicable
(3)Related-partyleaseTheCompanyasthelessor:
Unit:yuan
| Nameoflessee | Typeofleasedassets | Leaseincomerecognizedinthecurrentperiod | Leaseincomerecognizedinthepreviousperiod |
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | Plant | 430,764.22 | 257,033.03 |
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | Plant | 908,441.15 |
TheCompanyasthelessee:
Unit:yuan
| Nameoflessor | Typeofleasedassets | Simplifiedprocessingofshort-termleasesandrentalexpensesoflow-valueassetleases(ifapplicable) | Variableleasepaymentsthatarenotincludedinthemeasurementoftheleaseliabilities(ifapplicable) | Rentpaid | Interestexpensesincurredonleaseliabilities | Right-of-useassetsincreased | |||||
| Amountincurredincurrentperiod | Amountincurredinpreviousperiod | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | ||
Related-partyleasedescription
(4)Related-partyguaranteeTheCompanyastheguarantor
Unit:yuan
| Securedparty | Amountguaranteed | Guaranteestartdate | Guaranteematuritydate | Whethertheguaranteehasbeenfulfilled |
TheCompanyastheguarantor
Unit:yuan
| Guarantor | Amountguaranteed | Guaranteestartdate | Guaranteematuritydate | Whethertheguaranteehasbeenfulfilled |
| WuKangping,HuangLepei | 150,000,000.00 | February23,2022 | February22,2026 | Yes |
| WuKangping,HuangLepei | 60,000,000.00 | April13,2021 | April12,2027 | Yes |
| WuKangping | 11,000,000.00 | February7,2021 | February6,2025 | Yes |
| HuangLepei | 11,000,000.00 | February7,2021 | February6,2025 | Yes |
| WuDi | 11,000,000.00 | February7,2021 | February6,2025 | Yes |
| WuKangping | 10,000,000.00 | February24,2022 | February23,2025 | Yes |
| HuangLepei | 10,000,000.00 | February24,2022 | February23,2025 | Yes |
| ZhejiangKanglidiMedicalSuppliesCo.,Ltd. | 10,000,000.00 | February24,2022 | February23,2025 | Yes |
Related-partyguaranteeTheloanhasbeenrepaidasofDecember31,2023.
(5)Relatedpartyloanatcall
Unit:yuan
| Relatedparty | Borrowingamount | Startdate | Maturitydate | Description |
| Borrowing | ||||
| Lending |
(6)Assettransferanddebtrestructuringofrelatedparty
Unit:yuan
| Relatedparty | Connectedtransactioncontent | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
(7)Keymanagementpersonnelremuneration
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | |
| Keymanagementpersonnelremuneration | 11,823,627.11 | 13,446,315.05 |
The“Keymanagementpersonnelremuneration”hereincludesthe“fiveinsurancesandonefund”paidbytheCompany.Thepreviousarticle“SectionⅣCorporateGovernance-ⅦDirectors,SupervisorsandSeniorManagement-3.RemunerationofDirectors,SupervisorsandSeniorManagement”“Themediumcaliberdoesnotincludethe“fiveinsurancesandonehousingfund”paidbytheCompany.
(8)Otherconnectedtransactions
6.Accountsreceivableandpayablebyrelatedparties
(1)Receivables
Unit:yuan
WinnerMedicalProjectname
| Projectname | Relatedparty | ClosingBalance | Balanceatthebeginningoftheperiod | ||
| Bookbalance | Provisionforbaddebt | Bookbalance | Provisionforbaddebt | ||
| Accountsreceivable | |||||
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | 121,107.25 | 6,055.36 | 369,395.74 | 18,469.79 | |
| JingyiBiotechnology(Shanghai)Co.,Ltd. | 651,786.67 | 362,599.47 | 651,786.67 | 220,006.76 | |
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | 7,331,532.66 | 366,576.63 | |||
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | 1,762,022.32 | 88,101.12 | |||
| ZhejiangKanglidiMedicalSuppliesCo.,Ltd. | 6,273,681.66 | 3,262,314.46 | 1,837,108.40 | 91,855.42 | |
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | 44,264.20 | 22,132.10 | 144,673.40 | 7,233.67 | |
| ZheJiangLongrisingMedicalNewMaterialsCo.,Ltd. | 55,964.00 | 2,798.20 | |||
Advancestosuppliers
| Advancestosuppliers | ||||
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | 274,273.56 | |||
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | 1,170.00 | |||
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | 62,934.14 | |||
| WinnerGroupLimited | 516,504.00 | |||
| Long-termreceivables1* | ||||
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | 40,068,572.38 |
1*Thisitemcomprisesnon-currentassetsreclassifiedtomaturitywithinoneyear.
(2)Payables
Unit:yuan
| Projectname | Relatedparty | Endingbookbalance | Beginningbookbalance |
Accountspayable
| Accountspayable | WuhanZhuolingPackagingCo.,Ltd. | 763,921.27 | 23,113,608.45 | |
| ChengduWinnerLikangMedicalProductsCo.,Ltd. | 11,682.12 | 81,750.48 | ||
| ShenzhenNineStarsPrintingandPackagingGroupCo.,Ltd. | 194,545.00 | |||
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | 54,808.53 | 9,219.64 | ||
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | 2,964.00 |
| Projectname | Relatedparty | Endingbookbalance | Beginningbookbalance | |
| ZhejiangKanglidiMedicalSuppliesCo.,Ltd. | 83,441.97 | 93,378.17 | ||
| ZheJiangLongmedMedicalTechnologyCo.,Ltd. | 10,617.60 | |||
| GuilinGoldenEagleLatexTechnologyCo.,Ltd. | 7,048,938.08 | |||
| Otherpayables | ||||
| HuangJun | 3,157,385.18 | 4,490,583.41 | ||
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | 470,799.92 | |||
| ShenzhenZhengjunMedicalDeviceCo.,Ltd. | 134,199.16 | |||
| ZhengJunhui | 78,812,000.00 | |||
| CaoWensong | 568,310.09 | |||
| GuilinGoldenEagleLatexTechnologyCo.,Ltd. | 1,670,250.00 | |||
| Contractliabilities | ||||
| ShenzhenShengtianningMedicalDeviceCo.,Ltd. | 1,165.93 |
7.Relatedpartycommitment
8.Others
XV.Share-basedpayment
1.Overallstatusofshare-basedpayment
√Applicable□Notapplicable
Unit:yuan
| Grantobjectcategory | Grantedinthecurrentperiod | Exercisedinthecurrentperiod | Unlockedinthecurrentperiod | Invalidatedinthecurrentperiod | ||||
| Quantity | Amount | Quantity | Amount | Quantity | Amount | Quantity | Amount | |
| Managementpersonnel | 505,000 | 10,857,500.00 | ||||||
| Total | 505,000 | 10,857,500.00 | ||||||
Stockoptionsorotherequityinstrumentsoutstandingattheendoftheperiod
□Applicable√NotapplicableOtherdescription:
1.2020RestrictedStockIncentivePlan
(1)NumberofrestrictedstockgrantedOnNovember27,2020,theCompanyheldthe15
th
meetingofthesecondBoardofDirectorsandthe9
th
meetingofthesecondBoardofSupervisors,deliberatedandpassedtheProposalontheCompany’s2020RestrictedStockIncentivePlan(Draft)andItsAbstract.OnDecember15,2020,theCompanyheldthesixthextraordinarygeneralmeetingofshareholdersin2020todeliberateandpasstheProposalontheCompany’s2020RestrictedStockIncentivePlan(Draft)andItsAbstract.Accordingtotheaboveproposal,thenumberofrestrictedstock(ClassIIrestrictedstock)tobegrantedinthisincentiveplanis6.5million,andtheunderlyingstockinvolvedisA-sharecommonstock,accountingforabout1.52%ofthetotalcapitalstockoftheCompanyatthetimeofannouncementofthedraftincentiveplan.Amongthem,5.9millionsharesweregrantedforthefirsttime,accountingforabout1.38%ofthetotalcapitalstockoftheCompanyatthetimeofannouncementofthedraftincentiveplan,and90.77%ofthetotalequitytobegranted.0.6millionshareswerereservedtobegranted,accountingforabout0.14%ofthetotalcapitalstockoftheCompanyatthetimeofannouncementofthedraftincentiveplan,and9.23%ofthetotalequitytobegranted.Nomorethan1,053incentiveobjectswillbegrantedatthefirsttime,includingdirectors,seniormanagers,andotherpersonsdeemedtoneedincentivesbytheBoardofDirectors.OnDecember18,2020,theCompany’s17
th
meetingofthesecondBoardofDirectorsandthe11
th
meetingofthesecondBoardofSupervisorsdeliberatedandadoptedtheProposalontheFirstGrantofRestrictedStockstotheIncentiveObjects.Inviewofthefactthat17incentiveobjectsgaveuptherestrictedstocktobegrantedbytheCompanyduetoresignationorpersonalreasons,theynolongerqualifiedfortheincentiveconditions.Accordingtothe2020RestrictedStockIncentivePlan(Draft),theCompanyadjustedtheincentiveobjectsandthenumberofgrants.Thenumberofincentiveobjectsgrantedforthefirsttimewasadjustedfrom1,053to1,036,andthetotalnumberofrestrictedstockgrantedforthefirsttimewasadjustedfrom5.90millionto5.833million.Thegrantpricefortheinitialallocationofrestrictedstockwas72.50yuanpershare.
(2)Validity,grantdate,vestingarrangementandlock-upperiodofthisincentiveplan
Theincentiveplanshallbevalidfornomorethan48monthsfromthedateofthefirstgrantofrestrictedstocktothedatewhenalltherestrictedstockgrantedtotheincentiveobjectisvestedorinvalidated.
AftertheincentiveplanisapprovedbythegeneralmeetingofshareholdersoftheCompany,theBoardofDirectorsshalldeterminethegrantdate,andthegrantdatemustbethetradingday.TheCompanyshallgranttherestrictedstockandcompletetheannouncementwithin60daysaftertheapprovalofthegeneralmeetingofshareholders.IftheCompanyfailstocompletetheaboveworkwithin60days,theimplementationofthisincentiveplanwillbeterminated,andtherestrictedstocknotgrantedwillbecomeinvalid.TheCompanyshall,within12monthsafterthedeliberationandapprovaloftheincentiveplanbythegeneralmeetingofshareholders,specifytheincentiveobjectsreservedforaward.Iftheincentiveobjectsarenotspecifiedformorethan12months,therestrictedstockcorrespondingtothereservedpartshallbecomeinvalid.
Thevestingarrangementforthefirstgrantofrestrictedstockinthisincentiveplanisshowninthefollowingtable:
WinnerMedical
Vestingarrangement
| Vestingarrangement | Vestingperiod | Vestingratio |
| Firstvestingperiod | Fromthefirsttradingdayof17monthsfromthedateofthefirstgranttothelasttradingdaywithin29monthsfromthedateofthefirstgrant | 50% |
| Secondvestingperiod | Fromthefirsttradingdayof29monthsfromthedateofthefirstgranttothelasttradingdaywithin41monthsfromthedateofthefirstgrant | 50% |
Iftherestrictedstockcorrespondingtothereservedpartisgrantedwithin2020,thevestingarrangementforgrantingrestrictedstocksreservedinthisincentiveplanisconsistentwiththevestingarrangementforthefirstgrantofrestrictedstock.
Iftherestrictedstockcorrespondingtothereservedpartisgrantedwithin2021,thevestingarrangementforgrantingrestrictedstocksreservedinthisincentiveplanisshowninthefollowingtable:
| Vestingarrangement | Vestingperiod | Vestingratio |
| Firstvestingperiod | Fromthefirsttradingdayof12monthsfromthedateofreservedgrantingtothelasttradingdaywithin24monthsfromthedateofreservedgranting | 50% |
| Secondvestingperiod | Fromthefirsttradingdayof24monthsfromthedateofreservedgrantingtothelasttradingdaywithin36monthsfromthedateofreservedgranting | 50% |
IftheincentiveobjectsaredirectorsandseniormanagementoftheCompany,thesharestransferredeachyearduringtheirtermofofficeshallnotexceed25%ofthetotalnumberoftheCompany’ssharestheyhold;theyshallnottransferthesharestheyholdwithinhalfayearafterleavingtheCompanyTherangeofexercisepricesoftheCompany’sstockoptionsissuedandoutstandingattheendoftheperiodandtheremainingtermofthecontract:Incaseoftheauditedoperatingincomein2021≥12billionyuan,theownershipproportionattheCompanylevelis100%;incaseof10billionyuan≤theauditedoperatingincomein2021<12billionyuan,theownershipproportionattheCompanylevelis80%;incaseoftheauditedbusinessincomein2021<10billionyuan,therestrictedstockplannedtobevestedbytheincentiveobjectshallnotbevestedandbecomeinvalid.Incaseoftheauditedrevenuein2022≥theauditedrevenuein2021*(1+30%),theownershipproportionattheCompanylevelis100%;incaseoftheauditedrevenuein2021*(1+20%)≤theauditedrevenuein2022<theauditedrevenuein2021*(1+30%),theownershipproportionattheCompanylevelis80%;incaseoftheauditedbusinessincomein2022<theauditedrevenuein2021*(1+20%),therestrictedstockplannedtobevestedbytheincentiveobjectshallnotbevestedandbecomeinvalid.OnApril20,2022,theCompanyconvenedtheSixthMeetingoftheThirdSessionoftheBoardofDirectorsandtheFifthMeetingoftheThirdSessionoftheBoardofSupervisorstoreviewandapprovetheProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVested.DuetotheCompany’sfailuretocompletetheperformanceappraisalrequirementsinthefirstvestingperiod(2021),166incentivetargetsresignedfromthedateofinitialgrantofrestrictedstockstoApril20,2022,andtheoriginalincentivetargetsMs.ZhangTingtingandMs.LiuHuawereelectedastheCompany’ssupervisorsonJuly13,2021.TheCompanycanceledatotalof3.366925millionrestrictedshares.Atthistime,thereare868remainingincentivetargetsand2,466,075remainingrestrictedshares.OnMay20,2021,theCompanyimplementedthe2020annualequitydistribution,andthegrantpriceofrestrictedstockswasadjustedfrom72.50yuan/shareto70.70yuan/share.OnMay27,2022,theCompanyimplementedthe2021annualequitydistribution,andthegrantpriceofrestrictedstockswasadjustedagainfrom70.70yuan/shareto69.81yuan/share.OnApril23,2023,theCompanyconvenedtheEleventhMeetingoftheThirdSessionoftheBoardofDirectorsandtheEighthMeetingoftheThirdSessionoftheBoardofSupervisorstodeliberateandapprovetheProposalontheRevocationofPartofGrantedRestrictedSharesNotYetVestedandtheProposalonAchievingVestingConditionsfortheSecondVestingPeriodofthe2020RestrictedStockIncentivePlan.ThefirstgrantofrestrictedsharesinthisincentiveplanwillenterthesecondvestingperiodonMay18,2023.Thevestingconditionsforthesecondvestingperiodhavebeenmet,andtheCompanywilluseDecember18,2020,asthegrantdate.1,162,140restrictedsharesweregrantedto388incentivetargetsatagrantpriceof69.81yuanpershare.
2.2023EquityincentiveorESOPTheCompanyheldthe16
th
meetingofthethirdboardofdirectorsandthe11
th
meetingofthethirdboardofsupervisorsonAugust15,2023,andheldThe2
nd
ExtraordinaryGeneralMeetingofShareholdersof2023onSeptember5,2023,whichreviewedandapprovedtheProposalontheCompany’sFirstEmployeeStockOwnershipPlan(Draft)andProposalontheManagementMeasuresfortheCompany’sFirstEmployeeStockOwnershipPlanalongwithotherrelatedproposals.Thepurchasepriceofthisemployeestockownershipplanwasdeterminedtobe43.00yuanpershare.Theactualtotalsubscriptionfundsamountedto21,715,000yuan(excludingreservedshares),andtheactualsubscribedshareswere21,715,000shares.Theratioofemployeeself-raisedfundstoincentivefundssetasidebytheCompanyis1:1.ThesourceofthesharesistheCompany’sA-sharecommonsharesthathavebeenrepurchasedintheCompany’sspecialrepurchaseaccount.
TheCompanycompletedthenon-tradingtransferofthe2023EmployeeStockOwnershipPlanonOctober11,2023.Thedurationofthisemployeestockownershipplanis60months,calculatedfromthedatewhentheshareholders’meetingapprovestheplanandtheCompanyannouncesthetransferoftheunderlyingstockstothenameoftheemployeestockownershipplan.ThisEmployeeStockOwnershipPlanwillvestthecorrespondingunderlyingrightsandintereststoeachholderoftheEmployeeStockOwnershipPlaninthreephasesbasedontheassessmentresultsduringthevestingassessmentperiod.ThevestingtimepointsarethetransferoftheshareholdingplantothenameoftheEmployeeStockOwnershipPlan.After12months,24months,and36monthsfromthedateofcompletion,thevestingproportionswillbe30%,30%,and40%ofthetotalnumberofunderlyingstocksheldbythisshareownershipplan,respectively.
2.Equity-settledshare-basedpayments
√Applicable□Notapplicable
Unit:yuan
WinnerMedicalMethodfordeterminingthefairvalueofequityinstrumentsonthegrantdate
| Methodfordeterminingthefairvalueofequityinstrumentsonthegrantdate | 1.2020RestrictedStockIncentivePlan:ThefairvalueoftherestrictedstockiscalculatedusingtheBlack-Scholesmodeloptionpricingformula;thefairvalueofotheremployeerestrictedstocksisdeterminedbyreferencetothestockclosingpriceonthegrantdatewithouttakingintoaccounttheliquiditydiscount.2.2023EmployeeStockOwnershipPlan:ThefairvalueoftheCompany’ssharesonthedateofgrant(calculatedbasedontheclosingpriceoftheCompany’ssharesonthatday). |
| Significantparametersofdeterminingthefairvalueofequityinstrumentsonthegrantdate | Stockprice,risk-freerateofreturn,historicalvolatility |
| Basisforthedeterminationofthenumberofviableequityinstruments | Oneachbalancesheetdateofthewaitingperiod,theCompanymakesitsbestestimatebasedonthelatestchangesinthenumberofexercisablepersonsandthecorrespondingnumberofoptionsharesandothersubsequentinformationandrevisesthenumberofstockoptionsexpectedtobeexercisable. |
| Reasonsforsignificantdifferencesbetweenthecurrentandpreviousestimates | None |
| Accumulatedamountofequity-settledshare-basedpaymentsrecordedincapitalreserves | 91,636,147.41 |
| Totalamountofexpensesrecognizedbyequity-settledshare-basedpaymentsincurrentperiod | 3,151,091.47 |
Otherdescription:
1.2020RestrictedStockIncentivePlan:Thecumulativeamountofequity-settledshare-basedpaymentincludedincapitalreservesis89,454,428.59yuan,andthetotalexpensesrecognizedforequity-settledshare-basedpaymentinthisperiodare969,372.65yuan.
2.2023EmployeeStockOwnershipPlan:Thecumulativeamountofequity-settledshare-basedpaymentincludedincapitalreservesis2,181,718.82yuan,andthetotalexpensesrecognizedforequity-settledshare-basedpaymentinthisperiodare2,181,718.82yuan.
3.Cash-settledshare-basedpayments
□Applicable√Notapplicable
4.Share-basedcompensationexpensefortheperiod
√Applicable□Notapplicable
Unit:yuan
| Grantobjectcategory | Equityshare-basedpaymentexpense | Cashshare-basedpaymentexpense |
| Managementpersonnel | 3,151,091.47 | 0.00 |
| Total | 3,151,091.47 | 0.00 |
Otherdescription:
5.Modificationandterminationofshare-basedpaymentNone
6.OthersNone
XVI.Commitmentandcontingencies
1.Importantcommitmentissues
Importantcommitmentsonbalancesheetdate
(1)Large-scaleoutsourcingcontractsthathavebeensignedorareabouttobeperformedandtheirfinancialimplicationsAsofSunday,December31,2023,theoutstandingcontractsamongthelarge-valuecontractssignedbytheCompanyanditssubsidiariesthatarebeingorareabouttobeperformedareasfollows:
| Projectname | Amount | |
| Item1 | 131,980,000.00 | |
| Item2 | 68,986,974.75 | |
| Item3 | 57,735,000.00 | |
| Item4 | 38,400,000.00 | |
| Item5 | 21,440,000.00 | |
| Item6 | 16,449,754.57 | |
| Item7 | 10,600,000.00 | |
| Item8 | 10,280,522.97 |
WinnerMedicalProjectname
| Projectname | Amount | |
| Item9 | 9,000,000.00 | |
| Item10 | 8,740,000.00 | |
| Item11 | 7,812,000.00 | |
| Item12 | 7,453,800.00 | |
| Item13 | 6,657,744.80 | |
| Item14 | 5,971,000.00 | |
| Item15 | 5,514,119.60 | |
| Total | 407,020,916.69 |
2.Contingencies
(1)ImportantcontingenciesonbalancesheetdateAsofSunday,December31,2023,theCompanyhasnoimportantcontingenciestobedisclosed.
(2)ExplanationisalsorequirediftheCompanyhasnoimportantcontingenciestobedisclosedTheCompanyhasnoimportantcontingenciestobedisclosed.
3.Others
XVII.Post-balancesheetevents
1.Importantnon-adjustmentitems
Unit:yuan
| Item | Description | Influencenumberoffinancialpositionandoperatingresults | Reasonsforinfluencenumbercannotbeestimated |
2.Profitdistribution
Theprofitdistributionproposalsforthereportingperiod,approvedattheTwentiethMeetingoftheThirdSessionoftheBoardofDirectorsandtheFifteenthMeetingoftheThirdSessionoftheSupervisoryCommitteeoftheCompany,areasfollows:
Onthedateofthedisclosureofthedistributionplan,theCompany’stotalsharecapitalwas588,292,708shares,ofwhich4,354,560shareswereinthespecialsecuritiesaccountforrepurchase.Basedonthe583,938,148sharesafterdeductingtherepurchaseshares,acashdividendof$5per10shareswasplannedtobedistributedtoallshareholders(includingtax),totaling291,969,074.00yuanincashdividendstobedistributed.Capitalreserveswillnotbetransferredtosharecapital,andnobonusshareswillbeissued.TheproposalstillneedsdeliberationandapprovedbytheCompany’sannualgeneralmeetingofshareholdersin2023.
3.SalesreturnNA.
4.Otherpost-balancesheeteventsTakingintoaccountthemajorchangestakingplaceinthecurrentrealestatemarket,afterfriendlynegotiationbetweenthetwoparties,theCompanyandtheprojectpartnersignedtheConfirmationLetterontheRevocationofthe“RelinquishmentofRealEstateRightsStatement”onJanuary29,2024,andsuspendedtheprojectconstruction.Fordetails,seethisReport“ⅩⅧOtherimportantmatters-7Otherimportanttransactionsandmattersaffectingthedecision-makingofinvestors-UrbanRenewalProjectofWinnerIndustrialPark”.
XVIII.Otherimportantmatters
1.Retrospectiverestatement
Unit:yuan
| Contentofaccountingerrorcorrection | Processingprocedures | Reportitemnameofeachaffectedcomparisonperiod | Cumulativeinfluencenumber |
(1)Prospectiveapplication
| Contentofaccountingerrorcorrection | Approvalprocedures | Reasonforadoptingprospectiveapplication |
2.Debtrestructuring
3.Assetsreplacement
(1)Exchangeofnon-monetaryassetsNone
(2)OtherassetreplacementNone
4.Pensionplan
None
5.Discontinuedoperation
Unit:yuan
| Item | Income | Cost | Totalprofit | Incometaxexpenses | Netprofit | Profitfromdiscontinuedoperationsattributabletotheownersofparentcompany |
Otherdescription:
None
6.Segmentinformation
(1)DeterminationbasisandaccountingpolicyofreportingsegmentAccordingtotheCompany’sinternalorganizationalstructure,managementrequirementsandinternalreportingsystem,tworeportingsegmentshavebeendetermined,respectively:medicalconsumables,healthyconsumergoods.ReportingsegmentsoftheCompanyoffersdifferentproductsorservicesoroperatesindifferentregions.Sinceeachsegmentrequiresdifferenttechnologiesormarketingstrategies,themanagementoftheCompanymanagestheoperatingactivitiesofeachreportingsegmentseparatelyandregularlyevaluatestheoperatingresultsofthesereportingsegmentstodeterminetheallocationofresourcestothemandevaluatetheirperformance.Theinter-segmenttransferpriceisdeterminedonthebasisoftheactualtransactionprice,andtheexpensesindirectlyattributabletothesegmentsaredistributedamongthesegmentsinproportiontotheincome(asdeterminedbytheCompany).Assetsareallocatedaccordingtotheoperationsofasegmentandthelocationoftheassets.Liabilitiesofasegmentincludeliabilitiesattributabletothatsegmentarisingfromtheoperationsofasegment.Ifexpensesrelatedtoliabilitiessharedbymultipleoperatingsegmentsareallocatedtothoseoperatingsegments,suchsharedliabilitiesarealsoallocatedtothoseoperatingsegments.
(2)Financialinformationofthereportingsegment
Unit:yuan
WinnerMedicalItem
| Item | Medicalconsumables | Healthyconsumergoods | UnallocatedOffsetbetweensegments | Total |
| Revenue | 3,922,443,620.59 | 4,262,578,436.61 | 8,185,022,057.20 | |
| Operatingcosts | 2,335,514,563.06 | 1,839,082,724.68 | 4,174,597,287.74 | |
| AssetsimpairmentlossesCreditimpairmentLoss | 179,336,815.01 | 20,912,583.35 | 188,787,147.21 | 389,036,545.57 |
| Depreciationexpenseandamortizationexpense | 146,319,055.56 | 276,278,820.32 | 422,597,875.88 | |
| Operatingprofit/loss | 340,417,200.52 | 486,354,544.67 | -8,801,819.32 | 817,969,925.87 |
| Non-revenueandexpense | -68,123,651.86 | -68,123,651.86 | ||
| Assetsandliabilities | ||||
| Totalassets | 7,300,236,708.35 | 3,792,798,370.86 | 6,018,987,370.76 | 17,112,022,449.97 |
| Totalliabilities | 1,186,560,471.70 | 1,581,540,663.14 | 2,233,599,511.98 | 5,001,700,646.82 |
(3)IftheCompanyhasnoreportingsegments,orcannotdisclosethetotalassetsandtotalliabilitiesofeachreportingsegment,
thereasonsshallbeexplainedNone
(4)OtherdescriptionNone
7.Otherimportanttransactionsandmattersaffectingthedecision-makingofinvestorsUrbanRenewalProjectofWinnerIndustrialPark
(1)ProjectOverviewOnApril6,2017,theCompanyandShenzhenGalaxyRealEstateDevelopmentCo.,Ltd.(hereinafterreferredtoas“GalaxyRealEstate”)signedtheCooperationAgreementonUrbanRenewalProjectofWinnerIndustrialParktoapplyforandimplementthedemolitionandreconstructionofurbanrenewalandreconstructionofWinnerIndustrialParkinLonghuaDistrict,ShenzhenCity(hereinafterreferredtoas“theProject”).ThescopeoflandtobedemolishedfortheProjectisastate-ownedlandthathasbeentransferred.ThelandparcelnumberisA819-0123.Thelandareais29,064.49m
,andthecurrentuseisindustrialland.Accordingtothestatutoryplanof[Pinustabulaeformisarea]ofNo.402-19&20&21,Bao’anDistrict,ShenzhenCity,theplanneduseofthislandparcelisasecond-classresidentialland.Thelandhasbeenregisteredfortitlewithaconstructionareaof36,625.89m
,usedforoffice,plantanddormitory.TheCompanyshallbethesolesubjectofrightstothesaidparcelandallthebuildings(structures)andappendagesthereon.Thefirsttosixthfloorsofthesecondofficebuilding,thefirsttosixthfloorsofthethirddormitorybuilding,andthefirsttosixthfloorsofthefourthdormitorybuildinghavebeenmortgagedatpresent.
(2)CooperationmodeTheCompanyagreestoentrustthetargetlandandbuildingtoGalaxyRealEstateforapplicationforapprovaloftheurbanrenewalunitplan,andacceptstherelocationcompensationofGalaxyRealEstateaccordingtotheconditionsagreedinthisagreement.GalaxyRealEstateisresponsibleforalltheworkrelatedtothedeclarationofrenewalunitplanofthetargetlandandbuildingandimplementationofurbanrenewal,responsiblefortherelocationcompensationanddemolitionandreconstructionfunds,andenjoystheinterestintherenewalprojectasthesinglemarketimplementer.Aftertherenewalandreconstructionofthetargetlandandbuildingsisapprovedbytheurbanrenewalunitplan,thespecifictransformationanddevelopmentintensity,plannedpurposeandindicators,etc.shallbediscussedbyGalaxyRealEstatewiththeCompanyinadvancebeforetheformalapplicationforconstruction,butthefinalapprovalshallbesubjecttotherelevantgovernmentdepartments.GalaxyRealEstateshallpaythecooperationconsiderationtotheCompanybypayingtherelocationcompensationconsiderationtotheCompany.TheCompanyvoluntarilychoosestherelocationcompensationmethodthatcombinesmonetarycompensationandpropertyrightexchange(relocation),including:1)monetarycompensation:400millionyuan;2)Propertyrightexchange(relocation):theareaofpropertyrightexchange(relocation)obtainedbyPartyBshallbedeterminedat40%ofthegrossfloorareaforsalebasedonthegrossfloorareaforsaledeterminedinthefinalapprovalofthespecialplanningoftherenewalunitofthisProject.
(3)CurrentprogressTheCompanyheldthe14
th
meetingofthethirdsessionoftheBoardofDirectorsonJune12,2023,andthefirstextraordinarygeneralmeetingofshareholdersin2023onJuly7,2023,respectively,toreviewandapprovetheProposalonExecutingRelevantAgreementsonRelocationCompensationandResettlementfortheUrbanRenewalProjectofWinnerIndustrialPark.TheCompanycooperatedwithShenzhenXingdaRealEstateDevelopmentCo.,Ltd.(hereinafterreferredtoas“XingdaCompany”)andsignedtheAgreementonRelocationCompensationandResettlementforUrbanRenewalUnitsoftheWinnerIndustrialParkinLonghuaDistrictinShenzhenandtheRelinquishmentofRealEstateRightsStatementandotherrelevantdocumentswithXingdaCompanyonthelandandabove-groundbuildingsoftheIndustrialParkinLonghuaDistrictofShenzhenCity.AftertheCompanyandXingdaCompanysignedtheAgreementonRelocationCompensationandResettlementforUrbanRenewalUnitsoftheWinnerIndustrialParkinLonghuaDistrictinShenzhenandtheRelinquishmentofRealEstateRightsStatementandotherrelevantdocuments,bothpartiesactivelypromotedtheexecutionofthetransaction.TheprojectobtainedtheReplyLetterfromtheShenzhenLonghuaDistrictUrbanRenewalandLandPreparationBureauontheApprovalStatusofthe“UrbanRenewalUnitPlanningofWenwenIndustrialPark,LonghuaStreet,LonghuaDistrict”(ShenhuaUpdateLetter[2023]No.25).Accordingtothereplyletter,theapprovalstatusindicatesthatthecurrentClassIindustriallandfunctionofWinnerIndustrialParkhasbeenadjustedtoplannedClassIIresidentialland+commerciallandfunction.TheCompanyvacatedtheindustrialparkandhandeditovertoXingdaCompanyonJuly17,2023.ThetwopartiessignedtheTransferConfirmationLetterandsettledthewaterandelectricity.ThenXingdaCompanybegantodemolishtheoldbuildings.TheCompanyconductedaccountingtreatmentinaccordancewiththeprincipleofassetdisposalinJuly2023.WhentheindustrialparkwashandedovertoXingdaCompanyfordemolition,aone-timenetincomeof1.36billionyuanwasrecognizedfromassetdisposal,andthefairvalueoftherelocatedhouseevaluatedbyaprofessionalappraisalagencywasusedasthebasisforrevenuemeasurement.AsofDecember31,2023,theCompanyreceivedatotalof250millionyuanincash.Thisincludesadepositof50millionyuanreceivedinApril2017,aprepaidrelocationcompensationof100millionyuanreceivedinFebruary2020,andanotherprepaidrelocationcompensationof100millionyuanreceivedinJuly2023,asagreeduponintherelocationcompensationandresettlementagreement.Consideringthesignificantchangesoccurringinthecurrentrealestatemarket,followinganamicablenegotiationbetweenthetwoparties,theCompanyandXingdaCompanyexecutedtheConfirmationLetterontheRevocationofthe“RelinquishmentofRealEstateRightsStatement”onJanuary29,2024.Theprimarycontentsoftheaforementioneddocumentareasfollows:
Temporarilyhaltingprojectadvancement,theCompanyretrievedallRelinquishmentofRealEstateRightsStatement(original
installmentdistribution)accordingtotheagreement,andrescindedallthestatementscontainedwithintheRelinquishmentofRealEstateRightsStatement.TheCompanywillcontinuetocloselymonitorchangesintherealestatemarketwithXingdaCompany,strengthencommunication,andresumeprojectconstructioniftherealestatemarketimprovesinthefuture.Basedontheactualprogressoftheproject,theCompanypromisestofullycooperatewithXingdaCompanyinhandlingrelevantprocedures.ConsideringtheprojectpostponementthatoccurredinDecember2023,andtheunanimousagreementamongtheprojectstakeholderstodelayconstruction,theCompanyhasrescindedtheRelinquishmentofRealEstateRightsStatementandwithdrawnallstatementscontainedtherein.XingdaCompanyhasalsoissuedawrittenStatementconfirmingtheseactions.Thiseventqualifiesasafutureadjustmenttothebalancesheet.Basedonthisanalysis,theCompanyhasreversedthecorrespondingnetprofitof1.36billionyuaninassetdisposalincome(deductingtheincometaxexpensecorrespondingtothedeferredincometaxliabilityof240millionyuanfromtheassessedvalueof1.6billionyuan).Therecognitionandreversalofrelevantprofitsandlosseswilltakeplaceindifferentquartersof2023,anditwillnotaffectthefinancialdatapresentedintheannualreport.Consequently,uncertaintyloomsovertheproject’scompletiontimeline.TheCompanycommitstocloselymonitoringrealestatemarketdynamics,fosteringcommunicationwithSINDAGroup,andcollaborativelyreinstatingprojectimplementationwhentherealestatemarketrebounds.
2.Heyuaninvestmentandconstructionproject
(1)ProblembackgroundIn2016,undertheguidanceandpromotionofShenzhenLonghuaDistrictCommitteeandDistrictGovernment,theCompanyplanstotransferpartoftheproductionandlogisticsfunctionstoHeyuanZijinLinjiangIndustrialParkinresponsetothepolicyofsupportingHeyuanCityasacounterpartofShenzhenCity.InMay2016,theCompanyandthePeople’sGovernmentofZijinCountyofHeyuanCitysignedtheAgreementonInvestmentandConstructionofMedicalPackageandCottonHouseholdGoodsProductionProject(hereinafterreferredtoasthe“InvestmentAgreement”),withtheconstructionlandoftheprojectcovering200,000m2AftertheagreementwassignedandtheLandUseNoticewasobtained,theCompanysubmittedtheplanningplan,projectapplicationandapprovalformasrequired,andstartedtheconstruction.InAugust2016,WinnerMedical(Heyuan)obtainedtheRecordCertificateofEnterpriseInvestmentProjectsinGuangdongProvinceissuedbytheDevelopmentandReformBureauofZijinCounty.InJune2017,EnvironmentalProtectionBureauofZijinCountyissuedtheApprovalontheEnvironmentalImpactReportFormoftheConstructionProjectofWinnerMedical(Heyuan)Co.,Ltd.Inaccordancewiththeagreement,theZijinCountyGovernmentassistedinobtainingaseriesoflicensessuchasstate-ownedlanduserightcertificateandconstructionlandplanningpermit.Aftertheprojectwassignedandstartedconstruction,thegovernmentrequiredallconstructionprojectsunderconstructioninZijinLinjiangIndustrialParktostopduetolandconflictsbetweentheprojectsiteandtheplannedHeyuanEastStationofJiangxi-ShenzhenHigh-speedRailwayandtheHigh-speedRailwayNewTown.Meanwhile,therelevantlanduseproceduresweresuspended.
(2)CurrentprogressInJune2019,theRegulatoryDetailedPlanningandConstructionalDetailedUrbanDesignoftheCoreAreaofHeyuanHigh-speedRailwayNewTownwaspublishedtothepublicfromJune22,2019toJuly22,2019.Accordingtothefinalpublicitycontent,itisdeterminedthatthesquareinfrontofHeyuanEastStationofHigh-speedRailway,NationalHighway205andtheHigh-speedRailwayNewTownoverlapwiththeprojectlandofWinnerMedical(Heyuan).InOctober2019,theCompanysignedatripartiteagreementwiththePeople’sGovernmentofZijinCountyandtheManagementCommitteeofHeyuanJiangdongNewDistricttoclarifytheoveralldisposalplan.ThelandusedforWinnerMedical(Heyuan)’sprojectanditsabove-groundbuildingswillberecoveredbythePeople’sGovernmentofZijinCounty,andthethreepartiesagreetodeterminetheamountofcompensationthrougharbitration.ThePeople’sGovernmentofZijinCountypaid30millionyuantotheCompanyastheperformancebond.InNovember2019,InternationalArbitrationCourtofGanjiangNewDistrictissuedtheAward((2019)G.G.Z.ZiNo.095),whichconfirmedtheterminationoftheoriginalInvestmentAgreement,andthePeople’sGovernmentofZijinCountyshallbeartheattorneyfees,legalcostsandotherexpensestotaling2,655,320.00yuan.Thelandtransferdepositof3millionyuanshallbereturnedtotheCompanyandcompensatefortheeconomiclossof550millionyuan.ThePeople’sGovernmentofZijinCountyshallpay50%oftheamountbeforeDecember31,2019and50%beforeFebruary29,2020.AsofSunday,December31,2023,theCompanyhasreceivedthelandtransferdepositof3millionyuanreturnedbythePeople’sGovernmentofZijinCountyandpaidthecompensationof319millionyuan.TheCompanyhasalsohandedovertheprojectland,above-groundbuildings,equipmentandfacilitiesandrelevantsupportingmaterialstothePeople’sGovernmentofZijinCounty.
(3)ImpactofthismatterontheCompany’soperationWinnerMedical(Heyuan)’sbusinesspositioningismainlytheproduction,logisticsandwarehousingfunctionsofmedicalpackageandcottondailynecessities.Atpresent,theCompanyhastransferredtheproduction,logisticsandwarehousingfunctionsofPurcottondailynecessitiestotheCompany’ssubsidiaryWinnerMedical(Wuhan),andtheproductionofmedicalpackagehas
beentransferredtotheCompany’ssubsidiaryWinnerMedical(Chongyang).WinnerMedical(Wuhan)andWinnerMedical(Chongyang)havesufficientcapacitytoundertaketheaforementionedproduction,logisticsandwarehousingbusinessoriginallyintendedtobeundertakenbyWinnerMedical(Heyuan).TheabovemattersofWinnerMedical(Heyuan)havenotcausedsignificantadverseimpactonthenormalproductionandoperationoftheCompany.
8.OthersNoneXIX.Notesonmainitemsofparentcompany’sfinancialstatement
1.Accountsreceivable
(1)Disclosurebyaging
Unit:yuan
| Aging | Endingbookbalance | Beginningbookbalance |
| Within1year(including1year) | 340,774,634.65 | 468,679,968.14 |
| 1~2years | 1,043,737.97 | 4,823,718.66 |
| 2~3years | 179,652.24 | 81,233.50 |
| Morethan3years | 2,318,934.33 | 2,311,033.96 |
| 3~4years | 57,900.37 | 168,509.20 |
| 4~5years | 118,509.20 | 1,609,931.76 |
| Morethan5years | 2,142,524.76 | 532,593.00 |
| Total | 344,316,959.19 | 475,895,954.26 |
(2)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Including: | ||||||||||
| Accountsreceivableofprovisionforbaddebtbycombination | 344,316,959.19 | 100.00% | 15,260,708.63 | 4.43% | 329,056,250.56 | 475,895,954.26 | 100.00% | 21,764,624.41 | 4.57% | 454,131,329.85 |
| Including: | ||||||||||
| Aginganalysismethod | 302,550,055.56 | 87.87% | 15,260,708.63 | 5.04% | 287,289,346.93 | 429,616,144.67 | 90.28% | 21,764,624.41 | 5.07% | 407,851,520.26 |
| Othercombination | 41,766,903.63 | 12.13% | 41,766,903.63 | 46,279,809.59 | 9.72% | 46,279,809.59 | ||||
| Total | 344,316,959.19 | 100.00% | 15,260,708.63 | 4.43% | 329,056,250.56 | 475,895,954.26 | 100.00% | 21,764,624.41 | 4.57% | 454,131,329.85 |
Provisionforbaddebtbycombination
Unit:yuan
WinnerMedicalName
| Name | ClosingBalance | ||
| Bookbalance | Provisionforbaddebt | Accruingproportion | |
Descriptionofthebasisfordeterminingthecombination:
Provisionforbaddebtbycombination
Unit:yuan
| Name | ClosingBalance | ||
| Bookbalance | Provisionforbaddebt | Accruingproportion | |
Descriptionofthebasisfordeterminingthecombination:
Iftheprovisionforbaddebtsonaccountsreceivablereliesonageneralmodelofexpectedcreditlosses:
□Applicable√Notapplicable
(3)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiodProvisionforbaddebtsincurrentperiod:
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Write-off | Others | |||
| Provisionforbaddebtofaccountsreceivable | 21,764,624.41 | 2,817,673.66 | 9,321,589.44 | 15,260,708.63 | ||
| Total | 21,764,624.41 | 2,817,673.66 | 9,321,589.44 | 15,260,708.63 | ||
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
(4)Accountsreceivableactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
Write-offofimportantaccountsreceivable:
Unit:yuan
| Unitname | Natureofaccountsreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-offaccountsreceivable:
(5)AccountsreceivablewithTop5endingbalancesbydebtor
Unit:yuan
| Unitname | Endingbalanceofaccountsreceivable | Closingbalanceofcontractassets | Closingbalanceofaccountsreceivableandcontractassets | Percentageoftotalclosingbalanceofaccountsreceivableandcontractassets | Endingbalanceofbaddebtprovisionforaccountsreceivableandimpairmentprovisionforcontractassets |
| First | 23,601,630.57 | 23,601,630.57 | 6.85% | ||
| Second | 21,432,541.07 | 21,432,541.07 | 6.22% | 1,071,627.05 | |
| Third | 19,372,648.93 | 19,372,648.93 | 5.63% | 968,632.45 | |
| Fourth | 14,892,197.04 | 14,892,197.04 | 4.33% | 744,609.85 | |
| Fifth | 13,652,094.96 | 13,652,094.96 | 3.96% | 682,604.75 | |
| Total | 92,951,112.57 | 92,951,112.57 | 26.99% | 3,467,474.10 |
2.Otherreceivables
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
| Otherreceivables | 116,040,893.47 | 123,628,108.60 |
| Total | 116,040,893.47 | 123,628,108.60 |
(1)Interestreceivable
1)Classificationofinterestreceivable
Unit:yuan
| Item | ClosingBalance | Balanceatthebeginningoftheperiod |
2)Importantoverdueinterest
Unit:yuan
| Borrower | ClosingBalance | Overduetime | Overduereason | Whetherthereisimpairmentanditsjudgmentbasis |
Otherdescription:
3)Classifieddisclosureaccordingtobaddebtaccrualmethod
□Applicable√Notapplicable
4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
WinnerMedicalClass
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Otherchanges | |||
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
5)Interestreceivableactuallywrittenoffduringtheperiod.
Unit:yuan
| Item | Amountwrittenoff |
Write-offofimportantinterestreceivable:
Unit:yuan
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-off:
Otherdescription:
(2)Dividendsreceivable
1)Classificationofdividendsreceivable
Unit:yuan
| Project(orinvestedunit) | ClosingBalance | Balanceatthebeginningoftheperiod |
2)Importantdividendsreceivablewiththeagingmorethan1year
Unit:yuan
| Project(orinvestedunit) | ClosingBalance | Aging | Reasonfornon-recovery | Whetherthereisimpairmentanditsjudgmentbasis |
3)Classifieddisclosureaccordingtobaddebtaccrualmethod
□Applicable√Notapplicable
4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiod
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Otherchanges | |||
Wheretheamountofbaddebtprovisionrecoveredorreversedisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
Otherdescription:
5)Actualwrite-offofdividendsreceivablefortheperiod
Unit:yuan
| Item | Amountwrittenoff |
Importantwrite-offofdividendsreceivable:
Unit:yuan
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Descriptionofwrite-off:
Otherdescription:
(3)Otherreceivables
1)Otherreceivablesclassifiedbynature
Unit:yuan
| Natureofpayment | Endingbookbalance | Beginningbookbalance |
| CompensationforinvestmentandconstructionprojectofWinnerMedical(Heyuan) | 220,155,320.00 | 224,655,320.00 |
| Marginanddeposit | 3,740,072.80 | 3,941,268.30 |
| Employeeprettycash | 558,778.18 | 592,876.83 |
| Intercoursefundswithrelatedparties | 4,688,603.35 | |
| Others | 1,978,710.15 | 2,426,136.82 |
| Total | 226,432,881.13 | 236,304,205.30 |
2)Disclosurebyaging
Unit:yuan
WinnerMedicalAging
| Aging | Endingbookbalance | Beginningbookbalance |
| Within1year(including1year) | 3,533,854.33 | 8,925,718.50 |
| 1~2years | 28,992.00 | 2,723,166.80 |
| 2~3years | 2,714,714.80 | |
| Morethan3years | 220,155,320.00 | 224,655,320.00 |
| 3~4years | 224,655,320.00 | |
| 4~5years | 220,155,320.00 | |
| Total | 226,432,881.13 | 236,304,205.30 |
3)Classifieddisclosureaccordingtobaddebtaccrualmethod
Unit:yuan
| Class | ClosingBalance | Balanceatthebeginningoftheperiod | ||||||||
| Bookbalance | Provisionforbaddebt | Bookvalue | Bookbalance | Provisionforbaddebt | Bookvalue | |||||
| Amount | Proportion | Amount | Accruingproportion | Amount | Proportion | Amount | Accruingproportion | |||
| Including: | ||||||||||
| Including: | ||||||||||
Provisionforbaddebtsbasedonthegeneralexpectedcreditloss(ECL)model
Unit:yuan
| Provisionforbaddebt | Stage1 | Stage2 | Stage3 | Total |
| Expectedcreditlossesoverthenext12months | Expectedcreditlossesovertheentireduration(withoutcreditimpairment) | Expectedcreditlossesovertheentireduration(withcreditimpairment) | ||
| BalanceonSunday,January1,2023 | 112,676,096.70 | 112,676,096.70 | ||
| BalanceonSunday,January1,2023inthecurrentperiod | ||||
| Accrualincurrentperiod | 353,321.25 | 353,321.25 | ||
| Reversalincurrentperiod | 2,637,430.29 | 2,637,430.29 | ||
| BalanceonSunday,December31,2023 | 110,391,987.66 | 110,391,987.66 |
BasisfordivisionofeachstageandprovisionratioforbaddebtsChangesinbookbalancewithsignificantchangesinthecurrentperiodofprovisionforloss
□Applicable√Notapplicable
4)Provision,recoveryorreversalofbaddebtreservesinthecurrentperiodProvisionforbaddebtsincurrentperiod:
Unit:yuan
| Class | Balanceatthebeginningoftheperiod | Amountofchangeincurrentperiod | ClosingBalance | |||
| Accrual | Recoveredorreversed | Writeoff/verification | Others | |||
| Provisionforbaddebt | 112,676,096.70 | 353,321.25 | 2,637,430.29 | 110,391,987.66 | ||
| Total | 112,676,096.70 | 353,321.25 | 2,637,430.29 | 110,391,987.66 | ||
Wheretheamountofbaddebtprovisionreversedorrecoveredisimportant:
Unit:yuan
| Unitname | Amountrecoveredorreversed | Reasons | Recoveryway | Therationalebehinddeterminingtheoriginalprovisionratioforbaddebtsanditsjustification |
5)Otherreceivableactuallywrittenoffatthecurrentperiod
Unit:yuan
| Item | Amountwrittenoff |
Significantlong-termreceivableswrittenoff:
Unit:yuan
| Unitname | Natureofnotesreceivable | Amountwrittenoff | Reasonsforwrite-off | Write-offproceduresperformed | Whetherthepaymentsarisefromconnectedtransactions |
Notesonthewrite-offoflong-termreceivables:
6)OtherreceivableswithTop5endingbalancesbydebtor
Unit:yuan
| Unitname | Natureofpayment | ClosingBalance | Aging | Proportionintotalotherendingbalancereceivable | Endingbalanceofbaddebtprovision |
| First | ReceivablesrelatedtoHeyuanproject | 220,155,320.00 | 4-5years | 97.23% | 110,077,660.00 |
| Second | Deposit | 2,311,115.80 | 2-3years | 1.02% | 115,555.79 |
| Third | Deposit | 399,599.00 | 2-3years | 0.18% | 19,979.95 |
| Fourth | Employeeloan | 100,000.00 | Within1year | 0.04% | 5,000.00 |
| Fifth | Employeeloan | 95,420.00 | Within1year | 0.04% | 4,771.00 |
| Total | 223,061,454.80 | 98.51% | 110,222,966.74 |
7)Recordedunderotherreceivablesduetocentralizedfundmanagement
Unit:yuan
Otherdescription:
None
3.Long-termequityinvestment
Unit:yuan
WinnerMedicalItem
| Item | ClosingBalance | Balanceatthebeginningoftheperiod | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
| Investmentinsubsidiaries | 3,612,018,476.28 | 4,086,994.48 | 3,607,931,481.80 | 3,530,099,178.63 | 4,086,994.48 | 3,526,012,184.15 |
| Investmentinassociatedenterprisesandjointenterprises | 20,377,034.07 | 20,377,034.07 | 21,642,696.16 | 21,642,696.16 | ||
| Total | 3,632,395,510.35 | 4,086,994.48 | 3,628,308,515.87 | 3,551,741,874.79 | 4,086,994.48 | 3,547,654,880.31 |
(1)Investmentinsubsidiaries
Unit:yuan
| Investedunit | Beginningbalance(bookvalue) | Openingbalanceofprovisionforimpairment | Increaseordecreaseincurrentperiod | Endingbalance(bookvalue) | Endingbalanceofimpairmentprovision | |||
| Furtherinvestment | Capitalreduction | Provisionforimpairment | Others | |||||
| WinnerMedical(Huanggang) | 267,491,627.79 | 267,491,627.79 | ||||||
| WinnerMedical(Jingmen) | 27,242,761.31 | 27,242,761.31 | ||||||
| ShenzhenPurcotton | 130,000,000.00 | 1,058,457.65 | 131,058,457.65 | |||||
| WinnerMedical(Chongyang) | 33,629,806.08 | 33,629,806.08 | ||||||
| WinnerMedical(Jiayu) | 236,436,595.28 | 236,436,595.28 | ||||||
| WinnerMedical(Tianmen) | 39,697,276.28 | 39,697,276.28 | ||||||
| WinnerMedical(HongKong) | 1,456,720.00 | 1,456,720.00 | ||||||
| WinnerMedical(Yichang) | 18,595,897.41 | 18,595,897.41 | ||||||
| WinnerMedicalMalaysia | 4,086,994.48 | 4,086,994.48 | ||||||
| WinnerMedical(Heyuan) | 100,000,000.00 | 100,000,000.00 | ||||||
| WinnerMedical(Wuhan) | 400,000,000.00 | 400,000,000.00 | ||||||
| PureH2B | 150,000,000.00 | 150,000,000.00 | ||||||
| LongtermMedical | 727,540,000.00 | 727,540,000.00 | ||||||
| WinnerGuilin | 450,000,000.00 | 50,000,000.00 | 500,000,000.00 | |||||
| WinnerMedical(Hunan) | 751,921,500.00 | 751,921,500.00 | ||||||
| JunjianMedical | 192,000,000.00 | 192,000,000.00 | ||||||
| ShanghaiHongsong | 30,000,000.00 | 30,000,000.00 | ||||||
| Pan-China(H.K.) | 860,840.00 | 860,840.00 | ||||||
| Total | 3,526,012,184.15 | 4,086,994.48 | 81,919,297.65 | 3,607,931,481.80 | 4,086,994.48 | |||
(2)Investmentinassociatedenterprisesandjointenterprises
Unit:yuan
| Investedunit | Balanceatthebeginningoftheperiod(Bookvalue) | Openingbalanceofprovisionforimpairment | Increaseordecreaseincurrentperiod | ClosingBalance(Bookvalue) | Endingbalanceoftheprovisionforunspentbalances | |||||||
| Furtherinvestment | Capitalreduction | Investmentgainsandlossesrecognizedbytheequitymethod | Adjustmentofothercomprehensiveincome | Changesinotherequity | Declaredpaymentofcashdividendsorprofits | Allowanceforimpairmentofunspecifiedacts | Others | |||||
| I.Jointventures | ||||||||||||
| II.Cooperativeenterprise | ||||||||||||
| ChengduWinner | 21,642,696.16 | 1,184,337.91 | 2,450,000.00 | 20,377,034.07 | ||||||||
| Subtotal | 21,642,696.16 | 1,184,337.91 | 2,450,000.00 | 20,377,034.07 | ||||||||
| Total | 21,642,696.16 | 1,184,337.91 | 2,450,000.00 | 20,377,034.07 | ||||||||
Therecoverableamountisdeterminedaccordingtothehigherofthenetamountoftheassetsfairvaluesubtractedbythedisposalcosts
□Applicable√NotapplicableTherecoverableamountisdeterminedbasedonthepresentvalueofexpectedfuturecashflows
□Applicable√NotapplicableReasonsfortheapparentinconsistencybetweentheaforementionedinformationandthedatausedinimpairmenttestinginprioryearsorexternalinformationN/AReasonsforthevariancebetweentheinformationutilizedintheCompany’simpairmenttestinginprioryearsandtheactualcircumstancesofthecurrentyearN/A
(3)OtherdescriptionNone
4.Revenueandcost
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod | ||
| Income | Cost | Income | Cost | |
| Mainbusiness | 2,814,210,405.74 | 2,028,042,457.15 | 6,424,434,990.51 | 4,145,092,045.28 |
| Otherbusinesses | 77,880,248.71 | 6,073,049.88 | 100,457,781.31 | 16,415,328.66 |
| Total | 2,892,090,654.45 | 2,034,115,507.03 | 6,524,892,771.82 | 4,161,507,373.94 |
Breakdownofoperatingrevenuesandoperatingcosts:
Unit:yuan
WinnerMedicalContractclassification
| Contractclassification | Segment1 | Segment2 | Total | |||||
| Revenue | Operatingcosts | Revenue | Operatingcosts | Revenue | Operatingcosts | Revenue | Operatingcosts | |
| Businesstype | ||||||||
| Including: | ||||||||
| Classifiedbyoperatingarea | ||||||||
| Including: | ||||||||
| Typeofmarketsorclients | ||||||||
| Including: | ||||||||
| Typeofcontracts | ||||||||
| Including: | ||||||||
| Sortedbytimeofgoodstransfer | ||||||||
| Including: | ||||||||
| Sortedbycontractduration | ||||||||
| Including: | ||||||||
| Sortedbysaleschannels | ||||||||
| Including: | ||||||||
| Total | ||||||||
Informationrelatedtoperformanceobligations:
| Item | Timetofulfillperformanceobligations | Importantpaymentterms | ThenatureofthegoodstheCompanypromisestotransfer | Ishethemainresponsibleperson? | AmountsbornebytheCompanythatareexpectedtoberefundedtocustomers | TypesofqualityassuranceprovidedbytheCompanyandrelatedobligations |
OtherdescriptionInformationrelatedtothetransactionpriceapportionedtotheremainingperformanceobligations:
Theamountofincomecorrespondingtotheperformanceobligationssignedbutnotyetperformedorcompletedattheendofthisreportingperiodis0.00yuan,ofwhich0.00yuanisexpectedtoberecognizedasrevenueinyear0,0.00yuanisexpectedtoberecognizedasrevenueinyear0,and0.00yuanisexpectedtoberecognizedasrevenueinyear0.
Majorcontractchangesormajortransactionpriceadjustments
Unit:yuan
| Item | Accountingtreatmentmethods | Amountofimpactonrevenue |
Otherdescription:
5.Investmentincome
Unit:yuan
| Item | Amountincurredincurrentperiod | Amountincurredinpreviousperiod |
| Long-termequityinvestmentincomecheckedbycostmethod | 700,000,000.00 | 699,939,868.87 |
| Long-termequityinvestmentgainsmeasuredbyemployingtheequitymethod | 1,184,337.91 | 4,692,894.92 |
| Incomefromtheredemptionoftradingfinancialassets | 115,840,345.05 | 6,708,135.26 |
| Investmentincomefrompurchasingfinancialproducts | 15,949,400.16 | |
| Total | 817,024,682.96 | 727,290,299.21 |
6.Others
XX.Furtherinformation
1.Statementofcurrentnon-recurringgainandloss
√Applicable□Notapplicable
Unit:yuan
| Item | Amount | Description |
| Profitandlossondisposalofnon-currentassets | -46,464,882.49 | |
| Governmentgrantsrecognizedinthecurrentperiod’sprofitorloss(excludinggrantscloselyrelatedtotheCompany’sregularbusinessoperations,alignedwithnationalpolicies,andmeetingspecificcriteriawithacontinuousimpactontheCompany’sprofitorloss) | 74,822,989.42 | |
| Gainsandlossesfromchangesinthefairvalueoffinancialassetsandliabilitiesheldbynon-financialcorporations,andgainsandlossesfromthedisposaloffinancialassetsandliabilities,excludingeffectivehedgingoperationsrelatedtotheCompany’sregularbusinessoperations | 172,439,376.04 | |
| Incomeandexpenditureotherthanthosementionedabove | 10,371,355.38 | |
| Less:Amountaffectedbyincometax | 35,321,337.22 | |
| Amountofminorityshareholders’equityaffected(aftertax) | 7,471,766.01 | |
| Total | 168,375,735.12 | -- |
Otherprofitandlossitemsthatareconsistentwiththedefinitionofnon-recurringprofitandloss:
□Applicable√NotapplicableTherewasnootherprofitandlossitemsthatareconsistentwiththedefinitionofnon-recurringprofitandloss.Explanationondefiningthenon-recurringprofitandlossitemsenumeratedintheInterpretativeAnnouncementNo.1onInformationDisclosureofPublicSecuritiesIssuingCompanies-Non-recurringProfitsandLossesasrecurringprofitandlossitems
□Applicable√Notapplicable
1.Returnonnetassetsandearningspershare
WinnerMedicalReportingprofit
| Reportingprofit | Weightedaveragereturnonnetassets | EarningsPerShare | |
| BasicEPS(yuan/share) | DilutedEPS(yuan/share) | ||
| NetprofitattributabletocommonshareholdersoftheCompany | 5.03% | 0.98 | 0.98 |
| NetprofitattributabletocommonshareholdersoftheCompanyafterdeductionofnon-recurringprofitsandlosses | 3.57% | 0.69 | 0.69 |
2.Differencesinaccountingdataunderdomesticandforeignaccountingstandards
(1)ThedifferencebetweennetprofitsandnetassetsinfinancialstatementsdisclosedaccordingtotheInternationalAccountingStandards(IAS)andChineseAccountingStandardssimultaneously
□Applicable√Notapplicable
(2)ThedifferencebetweennetprofitsandnetassetsinfinancialstatementsdisclosedaccordingtotheOverseasAccountingStandards(IAS)andChineseAccountingStandardssimultaneously
□Applicable√Notapplicable
(3)Causesfordifferencesinaccountingdataunderdomesticandforeignaccountingstandards.Ifthedifferenceadjustmenthasbeenmadetothedataauditedbytheoverseasauditinstitution,thenameoftheoverseasauditinstitutionshallbeindicated
□Applicable√Notapplicable
3.Others
Annex:
InformationonMedicalDeviceProducts(I)Statisticsonthenumberofregistrationcertificatesformedicaldevices
| Statisticsonthenumberofdomesticproductregistrationcertificate | ||||
| RegistrationCategories | Openingbalance | Numberofadditions | Numberoffailures | Closingbalance |
| ClassI | 110 | 9 | 6 | 113 |
| CategoryII | 126 | 12 | 1 | 137 |
| CategoryIII | 22 | 3 | 0 | 25 |
| Total | 258 | 24 | 7 | 275 |
| Statisticsonthenumberofforeignproductregistrationcertificate | ||||
| RegistrationCategories | Openingbalance | Numberofadditions | Numberoffailures | Closingbalance |
| Abroad | 61 | 31 | 0 | 92 |
Note:ThestatisticalcaliberofnewregistrationcertificatesisthatofnewcertificatesintheCompany’sconsolidatedfinancialstatementsattheendof2023.
(II)Medicaldevicesintheregistrationapplicationprocess
1.Domestic
| S/N | Nameofcertificates | Applicant | Registrationcategories | Forclinicalpurpose | Registrationstages | Progress | Whethertoapplyforinnovativemedicaldevicesinaccordancewiththeregulationsofthenationaldrugregulatorydepartment. |
| 1 | FlexiblePoly-siliconeFoamDressing | WinnerMedical | ClassIII | Suitableforcoveringwoundsandabsorbingexudatefromwoundssuchaspressuresores,legorfootulcers,andtraumaticwounds(suchasskintearsandsurgicalwounds). | Correction | Inprogress | No |
| 2 | Hydrophilicfiberdressing | WinnerMedical | ClassIII | Registrationreview | Inprogress | No | |
| 3 | Foamdressing | WinnerMedical(Huanggang) | ClassIII | Forcoveringwoundsandabsorbingwoundexudate,suchaswoundswithmoreexudate,lowerlimbulcers,non-infecteddiabeticfootulcersandpressuresores | Registrationreview | Inprogress | No |
| 4 | Transparentdressing | WinnerMedical(Huanggang) | ClassII | Usedforacutewounds(suchassuperficialwounds,post-surgicalsuturewounds,mechanicalwounds,minorwounds,abrasions,incisions,puncturesitesofpunctureinstruments,first-degreeorshallowsecond-degreeburnwounds,careofumbilicalcordstumps,oralwounds,laser/photon/fruitacidpeeling/microplasticsurgerywounds)toprovideamicroenvironmentforwoundhealing.Itcanalsobeusedtocareforthepuncturesiteofpunctureinstruments(suchascathetersandindwellingintravenousneedles)andtosecurepunctureinstruments. | Registrationdeclaration | Inprogress | No |
WinnerMedicalS/N
| S/N | Nameofcertificates | Applicant | Registrationcategories | Forclinicalpurpose | Registrationstages | Progress | Whethertoapplyforinnovativemedicaldevicesinaccordancewiththeregulationsofthenationaldrugregulatorydepartment. |
| 5 | Seawaternasalcleansingsolution | WinnerMedical(Jiayu) | ClassII | Itisusedfornasalirrigationinpatientswithacuteandchronicrhinitis,allergicrhinitis,nasalpolyps,andsinusitis.Itisalsousedfornasalirrigationafterrhinitissurgeryandchemotherapy. | Correction | Inprogress | No |
| 6 | Disposablemedicalnitrilerubberexaminationgloves | WinnerGuilin | ClassII | Itiswornonthehandsofdoctorstoexamineorpalpatepatients’conditions. | Correction | Inprogress | No |
| 7 | Sterileultrasoundprobeisolationsheath | WinnerGuilin | ClassII | Itisusedtoisolateandprotectultrasoundprobesandpreventcross-infectionduringclinicalultrasoundimagingequipmentinspections. | Registrationreview | Inprogress | No |
| 8 | Disposablesterilerubbersurgicalgloves | WinnerGuilin | ClassII | Itiswornonthehandsofsurgicalpersonneltopreventthespreadofskinflakesandbacteriatoopensurgicalwoundsandtopreventthespreadofbodyfluidsfromsurgicalpatientstomedicalstaff,thusprovidingtwo-waybiologicalprotection. | Registrationreview | Inprogress | No |
| 9 | Automaticretractablesafetyself-destructingsyringewithneedle | WinnerMedical(Hunan) | ClassIII | Usedtoaspirateliquidsorperformintradermal,subcutaneous,intramuscular,orintravenousinjectionsbeforeorafterinjectingliquids. | Registrationreview | Inprogress | No |
| 10 | Disposableprecisionfilteredinfusionsetwithneedle | WinnerMedical(Hunan) | ClassIII | Usingtheprincipleofgravity,itisusedforhumanintravenousdrip. | Registrationreview | Inprogress | No |
| 11 | Disposableextensiontubes | WinnerMedical(Hunan) | ClassIII | Itissuitableforextendingtheinfusiontubingforhumanintravenousinfusionundertheforceofgravity. | Registrationreview | Inprogress | No |
| 12 | Disposablecorelessrodsyringeformedicationdispensing | WinnerMedical(Hunan) | ClassII | Usedinconjunctionwithultra-cleandispensers,itissuitablefordissolvingandpreparingpharmaceuticalsolutionsandaddingmedication. | Registrationreview | Inprogress | No |
| 13 | Disposablelight-proofdispensingsyringewithneedle | WinnerMedical(Hunan) | ClassII | Thelight-proofrangeis290nmto450nm,suitableforformulatingphotosensitivedrugs. | Registrationreview | Inprogress | No |
| 14 | Skinstapler | WinnerMedical(Hunan) | ClassII | Itissuitablefortheclosureofsurgicalwoundsandlinearorapproximatelylinearincisions. | Registrationreview | Inprogress | No |
| 15 | Transparentfilmapplication | LongtermMedical | ClassII | Itisusedtocareforthepuncturesiteofpunctureinstrumentsandcanalsobeusedtosecurepunctureinstruments. | Correction | Inprogress | No |
| 16 | Disposablesiliconegelmicro-negativepressuredressing | LongtermMedical | ClassII | Forthenegativepressureabsorptionofexudatefrompatients’bodysurfacewounds,specificallyfornon-chronicwounds. | Correction | Inprogress | No |
| 17 | Scartreatmentstrips | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ClassII | Toaidinimprovingortreatingdermatopathicscarscausedbycesareansection,trauma,burns,plasticsurgery,orsurgery,andtohelppreventtheformationofsuchscars. | Correction | Inprogress | No |
| 18 | Steriledressing | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ClassII | Itisusedforwoundprotectionafterdebridement,postoperativewounds,andnewbornumbilicalopenings.Itcanalsobeusedtosecureintravenousinfusioncatheters. | Correction | Inprogress | No |
| 19 | Polyurethanefoamdressing | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ClassII | Itisusedforcoveringwounds,andabsorbingexudatefromnon-chronicwounds. | Correction | Inprogress | No |
| S/N | Nameofcertificates | Applicant | Registrationcategories | Forclinicalpurpose | Registrationstages | Progress | Whethertoapplyforinnovativemedicaldevicesinaccordancewiththeregulationsofthenationaldrugregulatorydepartment. |
| 20 | Transparentfilmdressings | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ClassII | Usedforthecareofacutewounds(suchassuperficialwounds,suturewoundsaftersurgery,mechanicalwounds,minorwounds,abrasions,incisions,puncturesitesofpunctureinstruments,first-degreeorshallowsecond-degreeburnwounds,infantumbilicalcordstumps,woundsafterlaser/photon/fruitacidpeeling/microplasticsurgery)andthepuncturesiteofpunctureinstruments.Itcanalsobeusedtosecurepunctureinstruments. | Registrationreview | Inprogress | No |
| 21 | Umbilicalprotectionpatch | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ClassII | Itisusedtoprotectandcareforthetraumaticareaoftheumbilicalcordofinfantsandchildren. | Correction | Inprogress | No |
2.Abroad
| Region | S/N | Nameofcertificates | Registrationcategories | Applicant | Product | Registrationstages | Progress |
| EU | 1 | EUQualityManagementSystemCertificate(MDR) | ClassIIa,IIb | WinnerMedical | Sterilehydrocolloiddressing | Certificationreview | Inprogress |
| SterileCMCdressing | |||||||
| Sterilesiliconewoundcontactlayer | |||||||
| Sterilesiliconegelsuperabsorbentpad | |||||||
| Sterilesuperabsorbentpadwithactivatedcarbon | |||||||
| Purecottonnon-wovenfabric | |||||||
| Syntheticnon-wovenfabrics | |||||||
| EU | 2 | EUQualityManagementSystemCertificate(MDR) | ClassIs | WinnerMedical | Sterileabsorbentpads | Certificationreview | Inprogress |
| Sterilecotton | |||||||
| Sterilemedicalcombokits | |||||||
| Sterilenon-wovenfabricdressing | |||||||
| Steriletransparentdressing | |||||||
| Sterilenon-stickpaddressing | |||||||
| Sterilewipecombinationpackage | |||||||
| Sterilewipes | |||||||
| Sterilesyntheticnonwovensurgicalgown | |||||||
| Sterileskinprotectivefilm | |||||||
| Purecottonnon-wovenfabric | |||||||
| Syntheticnon-wovenfabrics | |||||||
| US | 3 | 510(k)PremarketNotification | Unclassified | WinnerMedical | Acellularmatrixdressing | Substantivereview | Inprogress |
| SaudiArabia | 4 | MedicalDeviceMarketingAuthorization | ClassI | WinnerMedical | Non-wovendressings(eyepads) | Officialreview | Inprogress |
| SaudiArabia | 5 | MedicalDeviceMarketingAuthorization | ClassI | WinnerMedical | Siliconetapes | Officialreview | Inprogress |
| SaudiArabia | 6 | MedicalDeviceMarketingAuthorization | ClassI | WinnerMedical | Siliconscartreatmentstrips | Officialreview | Inprogress |
WinnerMedicalRegion
| Region | S/N | Nameofcertificates | Registrationcategories | Applicant | Product | Registrationstages | Progress |
| Malaysia | 7 | MDACertification | ClassIIa | WinnerMedical | Non-sterilethreadedgauzeproducts | Datapreparation | Inprogress |
| Malaysia | 8 | MDACertification | ClassIIb | WinnerMedical | CMCdressing | Officialreview | Inprogress |
| Russia | 9 | 俄罗斯卫生部证书 | ClassIIb | WinnerMedical | Fourhigh-enddressings(superabsorbentpad,siliconesuperabsorbentpad,activatedcarbonsuperabsorbentpad,siliconefoamdressing) | Samplepreparation | Inprogress |
| Russia | 10 | 俄罗斯卫生部证书 | ClassIIb | WinnerMedical | HydrocolloidandalginatedressingsWinnerMedical | Samplepreparation | Inprogress |
| Russia | 11 | 俄罗斯卫生部证书 | ClassIs | WinnerMedical | Wipecombokits | Datapreparation | Inprogress |
| Brazil | 12 | ANVISAregistration | ClassIII | WinnerGuilin | Malecondom | Datapreparation | Inprogress |
| Brazil | 13 | ANVISAregistration | ClassII | WinnerGuilin | Disposablesterilemedicalsurgicalgloves | Datapreparation | Inprogress |
| Ethiopia | 14 | EFDAMarketAuthorization | ClassII | WinnerGuilin | Malecondom | Datapreparation | Inprogress |
| Ethiopia | 15 | EFDAMarketAuthorization | ClassII | WinnerGuilin | Disposablesterilemedicalsurgicalgloves | Datapreparation | Inprogress |
| SouthAfrica | 16 | SABSPermit | ClassIIa | WinnerGuilin | Disposablesterilemedicalsurgicalgloves | Officialreview | Inprogress |
| SouthAfrica | 17 | SABSPermit | ClassIIa | WinnerGuilin | Malecondom | Officialreview | Inprogress |
| EU | 18 | EUQualityManagementSystemCertificate(MDR) | ClassIIa | WinnerMedical(Hunan) | Auto-destructsyringe | Officialreview | Inprogress |
| EU | 19 | EUQualityManagementSystemCertificate(MDR) | ClassIIa | WinnerMedical(Hunan) | Hypodermicsyringe | Officialreview | Inprogress |
| EU | 20 | EUQualityManagementSystemCertificate(MDR) | ClassIIa | WinnerMedical(Hunan) | Insulinsyringe | Officialreview | Inprogress |
(I)Newlyregisteredmedicaldevicecertificatesin2023
1.Domestic
| S/N | Nameofcertificates | Registrationcategories | Certificateowner | Productrecordnumber/registrationnumber | Forclinicalpurpose | Dateofissuance | Validity |
| 1 | Medicalisolationshoecovers | ClassI | WinnerMedical | Guangdong&ShenzhenMedicalDeviceRecordNo.20230178 | Itisusedbymedicalstaffinmedicalinstitutionstopreventexposuretopotentiallyinfectiouspatientblood,bodyfluids,secretions,etc.,andactasabarrierandprotection. | March10,2023 | / |
| 2 | Disposablesterilerubbersurgicalgloves | ClassII | WinnerMedical | YueXieZhuZhunNo.20232141954 | Itiswornonthehandsofsurgicalpersonneltopreventthespreadofskinflakesandbacteriatoopensurgicalwoundsandtopreventthespreadofbodyfluidsfromsurgicalpatientstomedicalstaff,thusprovidingtwo-waybiologicalprotection. | November27,2023 | November26,2028 |
| 3 | Disposablemedicalrubberexaminationgloves | ClassII | WinnerMedical | YueXieZhuZhunNo.20232141953 | Itiswornonthehandsofdoctorstoexamineorpalpatepatients’conditions. | November27,2023 | November26,2028 |
| 4 | Surgicalfixationinstruments | ClassI | WinnerMedical(Chongyang) | HubeiXianningMedicalDeviceRecordNo.20230013 | Itisusedtoimmobilizethepatient’slimbsduringsurgicalprocedures,anditsusagedurationistemporary. | March15,2023 | / |
| 5 | Medicalpad | ClassI | WinnerMedical(Chongyang) | HubeiXianningMedicalDeviceRecordNo.20230021 | Itisakindofhygienecareproductforhospitalbedsorexaminationbeds. | May09,2023 | / |
| 6 | Single-usesterileprotectivesleeve | ClassI | WinnerMedical(Chongyang) | HubeiMedicalDeviceRegistrationCertificateNo.20232144441 | Itisusedtocovertheinstrumenttable,operatingtableanddisplayscreenintheoperatingroomtoavoidtheinfectionofthepatient’swoundcausedbythesurgeontouchingtheinstrumentsmentionedaboveduringsurgery. | July18,2023 | July17,2028 |
| 7 | Single-usemedicalexaminationkits | ClassI | WinnerMedical(Chongyang) | HubeiXianningMedicalDeviceRecordNo.20230044 | Itisusedforcleansing,examining,andaidingintheimmobilizationofskinandwounds. | August11,2023 | / |
| 8 | Medicalisolationsleeves | ClassI | WinnerMedical(Chongyang) | HubeiXianningMedicalDeviceRecordNo.20230066 | Itisusedinmedicalinstitutionsoutpatient,wards,laboratories,etc.forgeneralisolation. | September15,2023 | / |
| 9 | Medicalbreathableadhesivetape | ClassI | WinnerMedical(Huanggang) | HubeiMedicalDeviceRecordNo.20230041 | Itisusedtoaffixdressingstowoundsorfixothermedicaldevicestospecificbodyparts. | September07,2023 | / |
| 10 | Wounddressing | ClassII | WinnerMedical(Jiayu) | HubeiMedicalDeviceRegistrationCertificateNo.20232144599 | Itisusedforthemanagementofacutewounds(suchassuperficialwounds,surgicalsuturewounds,mechanicalwounds,incisions,first-degreeorshallowsecond-degreeburnwounds). | October25,2023 | October24,2028 |
WinnerMedicalS/N
| S/N | Nameofcertificates | Registrationcategories | Certificateowner | Productrecordnumber/registrationnumber | Forclinicalpurpose | Dateofissuance | Validity |
| 11 | Liquiddressing | ClassII | WinnerMedical(Jiayu) | HubeiMedicalDeviceRegistrationCertificateNo.20232144678 | Itactsasaphysicalbarrierbyformingaprotectivelayeronthesurfaceofthewound.Itisusedforthetreatmentofminorwounds,abrasions,cuts,superficialwounds,andsurroundingskin. | December14,2023 | December13,2028 |
| 12 | Medicaldisposableprotectiveclothing | ClassII | WinnerMedical(Jingmen) | HubeiMedicalDeviceRegistrationCertificateNo.20232144182 | Itprovidesbarriersforandkeepsmedicalstaffawayfromcontactingpotentiallyinfectiouspatientblood,bodyfluids,andsecretionsatwork. | January19,2023 | January18,2028 |
| 13 | Urethanescondom | ClassII | WinnerGuilin | GuilinMedicalDeviceRegistrationCertificateNo.20232180082 | Itisusedinalocalizedareaofthereproductivetracttophysicallypreventspermfromreachingtheuterineopening,thusobstructingtheencounterbetweenspermandeggtoachievecontraceptivepurposes. | May05,2023 | May04,2028 |
| 14 | Medicalexaminationgloves | ClassI | WinnerGuilin | GuilinMedicalDeviceRecordNo.20230111 | Itiswornonthehandsofdoctorstoexamineorpalpatepatients’conditions. | October10,2023 | / |
| 15 | Disposablebaginfusionsetwithneedle | ClassIII | WinnerMedical(Hunan) | NationalMedicalDeviceRegistrationCertificateNo.20233140068 | Itissuitableforclinicalinfusionafterdispensingliquidmedicationandisintendedsolelyforgravityinfusion. | January13,2023 | January12,2028 |
| 16 | Disposableprecisionfilteredinfusionsetwithneedle | ClassIII | WinnerMedical(Hunan) | NationalMedicalDeviceRegistrationCertificateNo.20233140245 | Suitableforhumanintravenousinfusionofmedicinalliquids,intendedsolelyforgravityinfusion. | March07,2023 | March06,2028 |
| 17 | Disposableinfusionsetwithneedle | ClassIII | WinnerMedical(Hunan) | NationalMedicalDeviceRegistrationCertificateNo.20233140247 | Itissuitablefortheintravenousinfusionofmedicinalliquidsintothehumanbodyundertheforceofgravity. | March07,2023 | March06,2028 |
| 18 | Liquiddressing | ClassII | LongtermMedical | ZhejiangMedicalDeviceRegistrationCertificateNo.20232141145 | Itactsasaphysicalbarrierbyformingaprotectivelayeronthesurfaceofthewound.Itisusedforthecareofsmallwounds,abrasions,cutsandothersuperficialwoundsaswellassurroundingskin. | March22,2023 | March21,2028 |
| 19 | Transparentwounddressing | ClassII | LongtermMedical | ZhejiangMedicalDeviceRegistrationCertificateNo.20232141863 | Usedforthecareofacutewounds(suchassuperficialwounds,suturewoundsaftersurgery,mechanicalwounds,minorwounds,abrasions,incisions,puncturesitesofpunctureinstruments,first-degreeorshallowsecond-degreeburnwounds,infantumbilicalcordstumps,woundsafterlaser/photon/fruitacidpeeling/microplasticsurgery)andthepuncturesiteofpunctureinstruments.Itcanalsobeusedtosecurepunctureinstruments. | October16,2023 | October15,2028 |
| 20 | Compressionhemostaticpatch | ClassII | LongtermMedical | ZhejiangMedicalDeviceRegistrationCertificateNo.20232142015 | Thisproductissuitableforclosingandcompressingthepuncturepointtostopbleedingaftersurgicalproceduressuchasarterialinterventionalsurgery,oraftertheremovalofthearteriovenousindwellingneedleattheendofsurgery. | December06,2023 | December05,2028 |
| S/N | Nameofcertificates | Registrationcategories | Certificateowner | Productrecordnumber/registrationnumber | Forclinicalpurpose | Dateofissuance | Validity |
| 21 | Medicalalcoholswabs | ClassII | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ShanxiMedicalDeviceRegistrationCertificateNo.20232140105 | Thisproductismadeofmedicalcottonswabssoakedinmedicalalcohol.Thecottonswabsareenclosedinplastictubesmadeofpolypropyleneandabsorbentcotton. | September22,2023 | September21,2028 |
| 22 | Hydrogeldressings | ClassII | Xi’anLongtemuMedicalTechnologyCo.,Ltd. | ShanxiMedicalDeviceRegistrationCertificateNo.20232140141 | Thisproductisusedtoabsorbwoundexudateordrainwaterfromthewound.Itisalsousedtocovernon-chronicwoundssuchassurgicalsuturewounds. | December18,2023 | December17,2028 |
| 23 | Medicaltape | ClassI | LongtermMedical | ZhejiangHuzhouMedicalDeviceRecordNo.20230042 | Itisusedtoaffixdressingstowoundsorfixothermedicaldevicestospecificbodyparts. | July10,2023 | / |
| 24 | Medicalrubberblanket | ClassI | LongtermMedical | ZhejiangHuzhouMedicalDeviceRecordNo.20230043 | Itisusedtoaffixdressingstowoundsorfixothermedicaldevicestospecificbodyparts. | July10,2023 | / |
2.Abroad
| Region | S/N | CertificateNo. | Nameofcertificates | Registrationcategories | Certificateowner | Product | Dateofissuance | Validity |
| EU | 1 | G100462410073Rev.00 | EUQualityManagementSystemCertificate(MDR) | ClassIIa,IIb | WinnerMedical | Threadedgauzeproducts(sheets,pads,balls,rolls)Alginatedressings,Foamdressings,Siliconefoamdressings,Superabsorbentpads | July10,2023 | July09,2028 |
| July10,2023 | July09,2028 | |||||||
| July10,2023 | July09,2028 | |||||||
| July10,2023 | July09,2028 | |||||||
| July10,2023 | July09,2028 | |||||||
| EU | 2 | G110462410074Rev.00 | EUQualityManagementSystemCertificate(MDR) | ClassIs | WinnerMedical | Threadlessgauzeproducts(sheets,pads,balls,rolls,throatpieces)100%purecottonspunlacenon-wovenfabricsurgicalgowns,masks,siliconescartreatmentstrips | July10,2023 | July09,2028 |
| July10,2023 | July09,2028 | |||||||
| July10,2023 | July09,2028 | |||||||
| July10,2023 | July09,2028 | |||||||
| EU | 3 | DE/CA61/00196280 | Notification | ClassIns | WinnerMedical | Non-sterileskinprotectorspray | August17,2023 | / |
WinnerMedicalRegion
| Region | S/N | CertificateNo. | Nameofcertificates | Registrationcategories | Certificateowner | Product | Dateofissuance | Validity |
| EU | 4 | DE/CA61/00196279 | Notification | ClassIns | WinnerMedical | Non-sterileskinprotectivefilmwipes | August17,2023 | / |
| Switzerland | 5 | / | / | ClassIs | WinnerMedical | Non-wovenproductswithoutthreads(sheets,pads,balls,rolls)madeofsyntheticmaterials. | February15,2023 | / |
| Switzerland | 6 | / | / | ClassIIa | WinnerMedical | Syntheticnon-wovenfabricswiththreads(sheets,pads,balls,rolls). | February15,2023 | / |
| Switzerland | 7 | / | / | ClassIns | WinnerMedical | Patientexaminationkit | February15,2023 | / |
| Switzerland | 8 | / | / | ClassIs | WinnerMedical | Medicalcombokits(Carepack) | September13,2023 | / |
| Switzerland | 9 | / | / | ClassIns | WinnerMedical | Skinprotectivefilm | September13,2023 | / |
| US | 10 | K221755 | 513(k)premarketnotification | Unclassified | WinnerMedical | Over-the-counterantibacterialcurvedcotton. | January13,2023 | / |
| US | 11 | K221754 | 512(k)premarketnotification | Unclassified | WinnerMedical | Over-the-countersilver-containingfoamandsiliconefoam | January17,2023 | / |
| US | 12 | K221532 | 511(k)premarketnotification | Unclassified | WinnerMedical | OTC&Rxdressingsforantibacterialnon-wovencloth | January30,2023 | / |
| US | 13 | K223232 | 517(k)premarketnotification | ClassII | WinnerMedical | Mask(OTC)Level3 | March06,2023 | / |
| US | 14 | K221311 | 515(k)premarketnotification | Unclassified | WinnerMedical | BZKAntibacterialBand-AidOTC | June21,2023 | / |
| US | 15 | K231152 | 510(k)premarketnotification | Unclassified | WinnerMedical | Collagendressing | October12,2023 | / |
| US | 16 | K231564 | 514(k)premarketnotification | Unclassified | WinnerMedical | Rx&OTCantibacterialflushingagent | November10,2023 | / |
| US | 17 | K231057 | 516(k)premarketnotification | Unclassified | WinnerMedical | AntimicrobialHydrogel(Rx) | December01,2023 | / |
| EU | 18 | DE/CA20/00193670 | RegistrationConfirmationLetter | ClassIns | WinnerGuilin | Non-sterilenitrileexaminationgloves | May30,2023 | / |
| EU | 19 | DE/CA20/00193594 | RegistrationConfirmationLetter | ClassIns | WinnerGuilin | Non-sterilelatexexaminationgloves | May30,2023 | / |
| Region | S/N | CertificateNo. | Nameofcertificates | Registrationcategories | Certificateowner | Product | Dateofissuance | Validity |
| EU | 20 | NO.G100834780030Rev.00 | NON-ADHERENTABSORBENTDRESSINGS | ClassIIb | LongtermMedical | NON-ADHERENTABSORBENTDRESSINGS | April11,2023 | April10,2028 |
| EU | 21 | NO.G100834780030Rev.00 | ALGINATEDRESSINGS | ClassIIb | LongtermMedical | ALGINATEDRESSINGS | April11,2023 | April10,2028 |
| EU | 22 | NO.G100834780030Rev.00 | HYDROCOLLOIDDRESSINGS | ClassIIb | LongtermMedical | HYDROCOLLOIDDRESSINGS | April11,2023 | April10,2028 |
| EU | 23 | NO.G100834780030Rev.00 | POLYURETHANEDRESSINGS | ClassIIb | LongtermMedical | FoamdressingNegativePressureWoundTherapydressing(NPWTdressing) | April11,2023 | April10,2028 |
| EU | 24 | NO.G100834780030Rev.00 | SILICONEDRESSINGS | ClassIIb | LongtermMedical | Siliconefoamdressing,Siliconenet、NPWTsiliconefoamdressing | April11,2023 | April10,2028 |
| EU | 25 | No.G200834780031Rev.00 | HYDROCOLLOIDDRESSINGS | ClassIIa | LongtermMedical | HYDROCOLLOIDDRESSINGS | October16,2023 | October15,2028 |
| EU | 26 | No.G210834780029Rev.00 | SUTURETAPES | ClassIs | LongtermMedical | SUTURETAPES | April11,2023 | April10,2028 |
| EU | 27 | No.G210834780029Rev.00 | ADHESIVEDRESSINGS,WITHABSORBENTPAD | ClassIs | LongtermMedical | ADHESIVEDRESSINGS,WITHABSORBENTPAD | April11,2023 | April10,2028 |
| EU | 28 | No.G210834780029Rev.00 | DRESSINGS | ClassIs | LongtermMedical | DRESSINGS | April11,2023 | April10,2028 |
| EU | 29 | No.G210834780029Rev.00 | HAEMOSTATICDRESSINGS-OTHER | ClassIs | LongtermMedical | HAEMOSTATICDRESSINGS-OTHER | April11,2023 | April10,2028 |
| EU | 30 | No.G210834780029Rev.00 | NON-EXTENSIBLEWOVENPLASTERS | ClassIs | LongtermMedical | NON-EXTENSIBLEWOVENPLASTERS | April11,2023 | April10,2028 |
| EU | 31 | No.G210834780029Rev.00 | MEDICALUSEFACEMASKS,TYPEIIANDIIR | ClassIs | LongtermMedical | MEDICALUSEFACEMASKS,TYPEIIANDIIR | April11,2023 | April10,2028 |