CHANGCHAICOMPANY,LIMITED
ANNUALREPORT2020
April2021
TableofContents
PartIImportantNotes,TableofContentsandDefinitions ...... 3
PartIICorporateInformationandKeyFinancialInformation ...... 5
PartIIIBusinessSummary ...... 9
PartIVOperatingPerformanceDiscussionandAnalysis ...... 11
PartVSignificantEvents ...... 30
PartVIShareChangesandShareholderInformation ...... 42
PartVIIPreferredShares ...... 49
PartVIIIConvertibleCorporateBonds ...... 50
PartIXDirectors,Supervisors,SeniorManagementandStaff ...... 51
PartXCorporateGovernance ...... 60
PartXICorporateBonds ...... 67
PartXIIFinancialStatements ...... 68
PartXIIIDocumentsAvailableforReference ...... 202
PartIImportantNotes,TableofContentsandDefinitionsTheBoardofDirectors(orthe“Board”),theSupervisoryCommitteeaswellasthedirectors,supervisorsandseniormanagementofChangchaiCompany,Limited(hereinafterreferredtoasthe“Company”)herebyguaranteethefactuality,accuracyandcompletenessofthecontentsofthisReportanditssummary,andshallbejointlyandseverallyliableforanymisrepresentations,misleadingstatementsormaterialomissionstherein.ShiXinkun,theCompany’slegalrepresentative,ZhangXin,theCompany’sGeneralManager,andJiangHe,headoftheCompany’sfinancialdepartment(equivalenttofinancialmanager)herebyguaranteethattheFinancialStatementscarriedinthisReportarefactual,accurateandcomplete.AllthedirectorsoftheCompanyattendedinpersontheboardmeetingfortheapprovalofthisReportexceptforthefollowing:
Name | Officetitle | Reasonfornotattendingthemeetinginperson | Proxyentrustedtoattendthemeeting |
XingMin | IndependentDirector | Forreasonofwork | ZhangYan |
Anyplansforthefutureandotherforward-lookingstatementsmentionedinthisReportshallNOTbeconsideredasabsolutepromisesoftheCompanytoinvestors.Therefore,investorsarekindlyremindedtopayattentiontopossibleinvestmentrisks.TheCompanyhasdescribedindetailtherisksitmightfacein“PartIVOperatingPerformanceDiscussionandAnalysis”,IX,“4.PossibleRisksinFuture”herein.TheBoardhasapprovedafinaldividendplanasfollows:theCompanyhasnofinaldividendplan,eitherintheformofcashorstock.ThisReportanditssummaryhavebeenpreparedinbothChineseandEnglish.Shouldtherebeanydiscrepanciesormisunderstandingsbetweenthetwoversions,theChineseversionsshallprevail.
Definitions
Term | Definition |
The“Company”,“Changchai”or“we” | ChangchaiCompany,Limitedanditsconsolidatedsubsidiaries,exceptwherethecontextotherwiserequires |
ChangchaiBenniu | ChangzhouChangchaiBenniuDieselEngineFittingsCo.,Ltd. |
ChangchaiWanzhou | ChangchaiWanzhouDieselEngineCo.,Ltd. |
HoushengInvestment | ChangzhouHoushengInvestmentCo.,Ltd. |
HoushengAgriculturalEquipment | ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. |
ChangchaiRobin | ChangzhouFujiChangchaiRobinGasolineEngineCo.,Ltd. |
XingshengRealEstateManagement | ChangzhouXingshengRealEstateManagementCo.,Ltd. |
ChangchaiMachinery | JiangsuChangchaiMachineryCo.,Ltd. |
RMB,RMB’0,000 | ExpressedintheChinesecurrencyofRenminbi,expressedintensofthousandsofRenminbi |
The“ReportingPeriod”or“CurrentPeriod” | Theperiodfrom1January2020to31December2020 |
PartIICorporateInformationandKeyFinancialInformation
ICorporateInformation
Stockname | Changchai,Changchai-B | Stockcode | 000570,200570 |
Stockexchangeforstocklisting | ShenzhenStockExchange | ||
CompanynameinChinese | 常柴股份有限公司 | ||
Abbr. | 苏常柴 | ||
CompanynameinEnglish(ifany) | CHANGCHAICOMPANY,LIMITED | ||
Abbr.(ifany) | CHANGCAHICO.,LTD. | ||
Legalrepresentative | ShiXinkun | ||
Registeredaddress | 123HuaideMiddleRoad,Changzhou,Jiangsu,China | ||
Zipcode | 213002 | ||
Officeaddress | 123HuaideMiddleRoad,Changzhou,Jiangsu,China | ||
Zipcode | 213002 | ||
Companywebsite | http://www.changchai.com.cn | ||
Emailaddress | cctqm@public.cz.js.cn |
IIContactInformation
BoardSecretary | SecuritiesRepresentative | |
Name | HeJianjiang | |
Address | 123HuaideMiddleRoad,Changzhou,Jiangsu,China | |
Tel. | (86)519-68683155 | |
Fax | (86)519-86630954 | |
Emailaddress | cchjj@changchai.com |
IIIMediaforInformationDisclosureandPlacewherethisReportIsLodged
NewspapersdesignatedbytheCompanyforinformationdisclosure | SecuritiesTimes,TaKungPao(HK) |
WebsitedesignatedbyCSRCforpublicationofthisReport | http://www.cninfo.com.cn |
PlacewherethisReportislodged | BoardSecretariatoftheCompanyandtheShenzhenStockExchange |
IVChangetoCompanyRegisteredInformation
Unifiedsocialcreditcode | 91320400134792410W |
ChangetoprincipalactivityoftheCompanysincegoingpublic | Nochange |
Everychangeofcontrollingshareholdersinceincorporation | On22November2018,theState-ownedAssetsSupervisionandAdministrationCommissionofChangzhouMunicipalPeople’sGovernmenttransferreditsentireholdingsof170,845,236sharesintheCompany(astakeof30.43%)toChangzhouInvestmentGroupCo.,Ltd.fornocompensation.Thesesharesarenon-restrictedpublicshares. |
VOtherInformation
TheindependentauditfirmhiredbytheCompany:
Name | GongzhengTianyeCertifiedPublicAccountantsLLP |
Officeaddress | YingtongCommerceBuilding,Changzhou,Jiangsu,China |
Accountantswritingsignatures | DaiWeizhong,XuWenxiang |
TheindependentsponsorhiredbytheCompanytoexerciseconstantsupervisionovertheCompanyintheReportingPeriod:
□Applicable√NotapplicableTheindependentfinancialadvisorhiredbytheCompanytoexerciseconstantsupervisionovertheCompanyintheReportingPeriod:
□Applicable√NotapplicableVIKeyFinancialInformationIndicatebytickmarkwhetherthereisanyretrospectivelyrestateddatuminthetablebelow.
√Yes□NoReasonforretrospectiverestatement:
Correctionofaccountingerror.
2020 | 2019 | 2020-over-2019change(%) | 2018 | |||
Before | Restated | Restated | Before | Restated | ||
Operatingrevenue(RMB) | 2,296,464,711.24 | 2,040,133,717.30 | 2,045,820,801.10 | 12.25% | 2,132,902,718.60 | 2,139,272,523.92 |
Netprofitattributabletothelistedcompany’sshareholders(RMB) | 52,432,443.05 | 24,934,586.11 | 24,966,526.85 | 110.01% | 62,021,374.04 | 62,409,528.46 |
Netprofitattributabletothelistedcompany’sshareholdersbeforeexceptionalgainsandlosses(RMB) | 25,483,147.57 | 14,376,783.21 | 14,405,485.64 | 76.90% | -43,333,196.13 | -42,961,549.69 |
Netcashgeneratedfrom/usedinoperatingactivities(RMB) | 251,796,654.53 | -20,542,857.52 | -20,325,189.56 | —— | 273,819,526.89 | 274,514,945.73 |
Basicearningspershare(RMB/share) | 0.0934 | 0.0444 | 0.0445 | 109.89% | 0.1112 | 0.1112 |
Dilutedearningspershare(RMB/share) | 0.0934 | 0.0444 | 0.0445 | 109.89% | 0.1112 | 0.1112 |
Weightedaveragereturnonequity(%) | 2.40% | 1.20% | 1.21% | 1.19% | 2.84% | 2.86% |
31December2020 | 31December2019 | Changeof31December2020over | 31December2018 |
31December2019(%) | ||||||
Before | Restated | Restated | Before | Restated | ||
Totalassets(RMB) | 3,952,954,464.45 | 3,484,975,990.48 | 3,488,820,324.60 | 13.30% | 3,542,019,195.75 | 3,546,079,628.86 |
Equityattributabletothelistedcompany’sshareholders(RMB) | 2,273,349,347.02 | 2,109,239,597.94 | 2,110,892,767.58 | 7.70% | 2,043,308,026.74 | 2,044,929,255.64 |
Reasonforchangeinaccountingpoliciesandcorrectionofaccountingerror:
Fordetails,see“PartXIIFinancialStatements/XVOtherSignificantEvents/1.CorrectionofPreviousAccountingError”.Indicatebytickmarkwhetherthelowerofthenetprofitattributabletothelistedcompany’sshareholdersbeforeandafterexceptionalgainsandlosseswasnegativeforthelastthreeaccountingyears,andthelatestindependentauditor’sreportindicatedthattherewasuncertaintyabouttheCompany’sabilitytocontinueasagoingconcern.
□Yes√NoIndicatebytickmarkwhetherthelowerofthenetprofitattributabletothelistedcompany’sshareholdersbeforeandafterexceptionalgainsandlosseswasnegative.
□Yes√NoVIIAccountingDataDifferencesunderChina’sAccountingStandardsforBusinessEnterprises(CAS)andInternationalFinancialReportingStandards(IFRS)andForeignAccountingStandards
1.NetProfitandEquityunderCASandIFRS
□Applicable√Notapplicable
2.NetProfitandEquityunderCASandForeignAccountingStandards
□Applicable√Notapplicable
3.ReasonsforAccountingDataDifferencesAbove
□Applicable√Notapplicable
VIIIKeyFinancialInformationbyQuarter
Unit:RMB
Q1 | Q2 | Q3 | Q4 | |
Operatingrevenue | 537,033,349.19 | 630,422,433.11 | 584,404,482.93 | 544,604,446.01 |
Netprofitattributabletothelistedcompany’sshareholders | 1,510,305.60 | 26,180,005.46 | 11,263,467.62 | 13,478,664.37 |
Netprofitattributabletothelistedcompany’sshareholdersbeforeexceptionalgainsandlosses | 1,271,708.92 | 19,400,431.04 | 8,151,814.68 | -3,340,807.07 |
Netcashgeneratedfrom/usedinoperatingactivities | 19,241,295.96 | -39,596,025.21 | 38,040,529.46 | 234,110,854.32 |
IndicatebytickmarkwhetheranyofthequarterlyfinancialdatainthetableaboveortheirsummationsdiffersmateriallyfromwhathavebeendisclosedintheCompany’squarterlyorinterimreports.
□Yes√No
IXExceptionalGainsandLosses
√Applicable□Notapplicable
Unit:RMB
Item | 2020 | 2019 | 2018 | Note |
Gainorlossondisposalofnon-currentassets(inclusiveofimpairmentallowancewrite-offs) | 263,408.53 | 1,914,137.47 | 662,151.89 | |
Governmentgrantsthroughprofitorloss(exclusiveofgovernmentgrantsgivenintheCompany’sordinarycourseofbusinessatfixedquotasoramountsasperthegovernment’suniformstandards) | 7,763,215.65 | 5,312,295.51 | 6,291,685.65 | |
Capitaloccupationchargesonnon-financialenterprisesthatarerecognizedinprofitorloss | 344,842.86 | 536,504.84 | 938,737.87 | |
Gainorlossonfair-valuechangesonheld-for-tradingandderivativefinancialassetsandliabilities&incomefromdisposalofheld-for-tradingandderivativefinancialassetsandliabilitiesandotherdebtinvestments(exclusiveoftheeffectiveportionofhedgesthatariseintheCompany’sordinarycourseofbusiness) | 27,526,935.85 | -49,255.00 | 105,672,874.83 | |
Non-operatingincomeandexpenseotherthantheabove | -1,571,453.49 | 375,943.68 | 483,119.47 | |
Reversedportionsofimpairmentallowancesforentrustmentloanswhicharetestedindividuallyforimpairment | 4,000,000.00 | 10,000,000.00 | ||
Less:Incometaxeffects | 7,122,148.63 | 1,521,028.42 | 18,672,206.20 | |
Non-controllinginterestseffects(netoftax) | 255,505.29 | 7,556.87 | 5,285.36 | |
Total | 26,949,295.48 | 10,561,041.21 | 105,371,078.15 | -- |
ExplanationofwhytheCompanyreclassifiesasrecurrentanexceptionalgain/lossitemdefinedorlistedintheExplanatoryAnnouncementNo.1onInformationDisclosureforCompaniesOfferingTheirSecuritiestothePublic—ExceptionalGain/LossItems:
□Applicable√NotapplicableNosuchcasesfortheReportingPeriod.
PartIIIBusinessSummary
IPrincipalActivityoftheCompanyintheReportingPeriod
Asamanufacturer,wespecializeinthemanufactureandsaleofdieselengines,dieselenginefittingsandcastings,gasolineengines,gasolineenginefittings,rotovators,walkingtractors,moldsandjigsaswellastheassemblyandsaleofdieselengineandgasolineenginesupportingsets.Wemainlymanufactureandsellsmallandmedium-sizedsingle-cylinderandmulti-cylinderdieselenginesunderthebrandof“Changchai”,whichareoftenusedintractors,combine-harvesters,lightcommercialvehicles,agricultureequipment,small-sizedengineeringmachinery,generatorsets,shipmachines,etc.IISignificantChangesinMajorAssets
1.SignificantChangesinMajorAssets
Majorassets | Mainreasonforsignificantchanges |
Othercurrentassets | TheendingamountwasupbyRMB20,878,087.25(or325.14%)fromthebeginningamount,primarilydrivenbyanincreaseinoverpaidVATintheReportingPeriod. |
Intangibleassets | TheendingamountwasupbyRMB59,171,181.45(or59.35%)fromthebeginningamount,primarilydrivenbytheacquisitionoflanduserightsbyChangchaiMachineryinanauctionintheReportingPeriod. |
Deferredincometaxassets | TheendingamountwasupbyRMB3,208,010.11(or313.32%)fromthebeginningamount,primarilydrivenbyanincreaseindeductiblelossesintheReportingPeriod. |
Taxesandleviespayable | TheendingamountwasdownbyRMB6,224,897.17(or68.45%)fromthebeginningamount,primarilydrivenbyadecreaseinincometaxpayableintheReportingPeriod. |
Deferredincometaxliabilities | TheendingamountwasupbyRMB23,588,708.55(or41.32%)fromthebeginningamount,primarilydrivenbyanincreaseinthefairvalueofthefinancialassetsheldbytheCompanyduringtheReportingPeriod. |
Othercomprehensiveincome | TheendingamountwasupbyRMB108,422,983.24(or34.20%)fromthebeginningamount,primarilydrivenbyanincreaseinthefairvalueofthefinancialassetsheldbytheCompanyduringtheReportingPeriod. |
Notespayable | TheendingamountwasupbyRMB192,311,000.00(or47.72%)fromthebeginningamount,primarilydrivenbyanincreaseinbankacceptancenotessettlementintheReportingPeriod. |
Othercurrentliabilities | TheendingamountwasupbyRMB4,056,234.74(or344.42%)fromthebeginningamount,primarilydrivenbyanincreaseinaccruedelectricitychargesofsubsidiaries,aswellasadjustmentstofinancialstatementitemsasperthechangedaccountingpolicies. |
2.MajorAssetsOverseas
□Applicable√Notapplicable
IIICoreCompetitivenessAnalysis
1.AdvantagesinBrandChangchaiisanationalindustrialenterprisewithahistoryofoveronehundredyears.ItisoneoftheearliestprofessionalmanufacturersofinternalcombustionenginesinChina.Thebrand"Changchai"istheearliest
domestictrademarkofproductiongoodsknownasChina'swell-knowntrademarks.Thedieselengineof"Changchai"brandisChina'sbrand-nameproduct.TheenterprisehasbeencertifiedbyISO9001andIATF16949qualitysystems,ISO14001environmentalmanagementsystem,ISO/TS16949automotiveproductqualitymanagementsystem,andaccessedtothenationalexport-freeenterprisequalification.Changchaiwashonorablyrankedamong“theTopOneHundredChineseEnterprisesinEngineeringIndustry”and“ChinaPacesetterEnterpriseofIndustrialIndustry”forseveraltimes,andwasawardedthehonorarytitleof“State-levelEnterpriseofObservingContractsandKeepingPromise”,“China'sAgriculturalMachineryPartsandComponentsLeadingEnterprises”,“China'sAgriculturalMachineryAAACreditEnterprise”,“QualityManagementExcellenceAwardofJiangsuProvince”and“MayorQualityAwardofChangzhouCity”.Also,ithasbeenamongthe10users’mostsatisfiedleadingbrandsin“JingGeng”competitionformanyyears.In2020,theCompanywasawardedthetitlesofTop100ChinaMachineryIndustryCompanies,NationalModelEnterpriseforTrustworthyProductandServiceQuality,TheChina’s500MostValuableBrands,InternalCombustionEngineMakerwithLeadingQualityinChina,Top100InnovativeCompaniesofJiangsuProvince,NationalBenchmarkCompanyinQualityandIntegrity,amongothers.Formanyyears,intheprocessofachievingsteadyeconomicdevelopmentoftheenterprise,wedevelopedinasoundmannerandcultivatedthe“Changchai”brand,afamoussmalldieselenginebrandofChinawithindependentintellectualpropertyrights.
2.AdvantagesinTechnologyTheCompanyhasastate-leveltechnologycenterandpost-doctoralresearchstation,andaresearchcenterofsmallandmedium-powerinternalcombustionengineengineeringandtechnologyinJiangsuProvince.Currently,itismainlyengagedinproductionofsmallandmedium-powersingle-cylinderandmulti-cylinderdieselengine.Ithasacompleteproductrange,awidepowerlevelcoverage,ahighreputationandintellectualpropertyrightsforitsmainproducts.DuringtheReportingPeriod,theCompanypassedthere-evaluationoftheNationalEnterpriseTechnologyCenter.Itsresearchcenterofsmall-andmedium-powerinternalcombustionengineengineeringandtechnologyinJiangsuProvincewasratedasexcellentintheperformanceevaluation.Thepost-doctoralresearchstationwasratedasanexcellentunit.The4G33V16DieselEnginewasrecognizedasan"InnovativeProductofChangzhouManufacturing".TheCompany'sfiveelectronicallycontrolledsingle-cylinderdieselenginesoftheChinaIIIemissionstandards,includingL28andZS1115,wererecognizedashigh-techproductsbythecity.DuringtheReportingPeriod,theCompanyfiledfor13patentsandwasgranted12patents.Currently,theCompanyhasatotalof141patentsgrantedbyauthoritiesathomeandabroad,including13inventionpatents.
3.AdvantagesinMarketingChangchaihasbuiltupasalesservicenetworkcoveringthewholecountry,with5salesbusinessunits,26salesservicecenters,over900servicestationsand750designatedmaintenancestations.Inaddition,inordertomeettheNationalEmissionStandardIVforNon-RoadVehiclesandprovidebetterafter-salesserviceforcustomers,aservicemonitoringplatformwithChangchaicharacteristicshasbeenputinplace.Withaperfectdieselsalesservicenetworksystem,theCompanyisabletoprovidehighquality,efficientandtimelyservicesforcustomers.
PartIVOperatingPerformanceDiscussionandAnalysis
IOverview
In2020,theoutbreakoftheCOVID-19pandemiccauseddeclineintheinternationaltradeandturmoilinthefinancialmarkets.Theagriculturalmachineryindustryandtheinternalcombustionengineindustryusheredinatrendofcontrariangrowthinthecontinuousdeepadjustmentunderthecombinedeffectofvariousfavorablefactorssuchasthecomprehensiveandeffectivenationalpreventionandcontrolmeasures,theproactivelocalpoliciesforsupportingtheresumptionofworkandproduction,Chinaattachinggreatimportancetofoodsafetyandstandardizingtheimplementationofsubsidypoliciesforagriculturalmachinerypurchases,andnewinfrastructureconstructionpromotingtherapidgrowthoftheconstructionmachinerymarket.TheCompanycloselyfollowedthedecisionsandarrangementsofthecentral,provincialandmunicipalgovernments,andcoordinatedthepromotionofpandemicpreventionandcontrolandcorporateeconomicdevelopment.Underthepremiseofcomprehensivelystrengtheningtheimplementationofpandemicpreventionandcontrolarrangementsandnormalizingpandemicpreventionandcontrol,theCompanycorrectlygraspedthestrategicdevelopmentdirectionandinsistedonstrengtheningthemainbusiness,expandingtheareasandimprovingqualityandefficiency,thusachievinggoodoperatingresults.Performanceineconomicindicatorssuchassalesandprofitshaveimproved.DuringtheReportingPeriod,theCompanysold759,500unitsofdieselengines,gasolineenginesandrelatedgeneratorsets,including132,200unitsofgasolineengines,generatingtotalsalesrevenueofRMB2,296,464,711.24,anincreaseof12.25%year-on-year.Intermsofproductdevelopmentandsupportingareas,theCompanycompletedthedevelopment,promotionandsupportingworkofmajornon-roadmulti-cylinderdieselenginesoftheChinaIVemissionstandardsandavarietyofultra-conventionalvarieties,whichhasbuiltstrongsupportfortheannualsales.Fourpowerrangesof192FAandtwopowerrangesofZN390BhaveobtainedEuroVemissioncertificates.Exceptfornon-agriculturalsectors,productshavesignificantlyincreasedinmarine,electromechanicalandconstructionindustries.TheCompanycontinuedtooptimizeitsproductsandhadsufficientnewproductreserves;itcomprehensivelyexpandedsupportingresources,andachievedsignificantincreasesinthefieldofbenchmarking.Withregardtomarketservice,theCompanystrengthenedtheafter-marketservicebusiness,builtandimprovedtheafter-marketsalesnetwork;itoptimizedmarketserviceresourcesandpersonnelstructure,andenhancedtheassessmentmanagementofservicecentersandservicestationsintheserviceprocess.Marketservicecapabilitiesandservicetimelinesshavebeenimproved.TheCompanyreachedanewhighlevelofmarketservicesatisfaction.TheCRMprojectwasintegratedwiththereleasedapplicationswithintheCompany,whichmadecustomermanagementmorestandardizedandconsolidatedthefoundationforpromotingtheinformationizationoftheentiremarket.Concerningqualitymanagement,theCompanypassedtheISO9001andIATF16949qualitysystemsupervisionandauditviewsduringtheReportingPeriod,andpassedthevoluntarycertificationof4L88agriculturalmachineryproductsbyNanjingSamCertificationT&DCo.,Ltd.TheCompanyfurtheroptimizedthequalityassessmentsystemtoeffectivelyimproveproductreliability.Asforinternalmanagement,theCompanystrengthenedleanmanagementtopromotetheimprovementofqualityandefficiency;itfurtherdeepenedtheconstructionofinternalcontrolsystems,strengthenedthesupervisionofkeyprojects,andachievedobviousresultsinstandardizingthemanagementofsubsidiaries.Byacceleratingthemobilizationofinternalandexternalresources,theCompanymetmarketdemandtothegreatestextentand
improveditsproductionandoperationefficiency.DuringtheReportingPeriod,constructionofChangchaiMachinerywasinfullswingandproceededsmoothly.Inmid-April,theCompanylaunchedaprivateplacementprojectof2020,andtheplanwasreviewedandapprovedbytheChinaSecuritiesRegulationCommission.
IICoreBusinessAnalysis
1.OverviewSee“IOverview”above.
2.RevenueandCostAnalysis
(1)BreakdownofOperatingRevenue
Unit:RMB
2020 | 2019 | Change(%) | |||
Operatingrevenue | As%oftotaloperatingrevenue(%) | Operatingrevenue | As%oftotaloperatingrevenue(%) | ||
Total | 2,296,464,711.24 | 100% | 2,045,820,801.10 | 100% | 12.25% |
Byoperatingdivision | |||||
Internalcombustionengines | 2,252,479,553.51 | 98.08% | 2,001,911,782.04 | 97.85% | 12.52% |
Other | 43,985,157.73 | 1.92% | 43,909,019.06 | 2.15% | 0.17% |
Byproductcategory | |||||
Dieselengines | 2,112,251,290.73 | 91.98% | 1,856,130,365.33 | 90.73% | 13.80% |
Gasolineengines | 132,735,777.75 | 5.78% | 133,936,656.91 | 6.55% | -0.90% |
Other | 51,477,642.76 | 2.24% | 55,753,778.86 | 2.73% | -7.67% |
Byoperatingsegment | |||||
Domestic | 1,922,972,122.74 | 83.74% | 1,731,861,396.59 | 84.65% | 11.03% |
Overseas | 373,492,588.50 | 16.26% | 313,959,404.51 | 15.35% | 18.96% |
(2)OperatingDivision,ProductCategoryorOperatingSegmentContributingover10%ofOperatingRevenueorOperatingProfit
√Applicable□Notapplicable
Unit:RMB
Operatingrevenue | Costofsales | Grossprofitmargin | YoYchangeinoperatingrevenue(%) | YoYchangeincostofsales(%) | YoYchangeingrossprofitmargin(%) | |
Byoperatingdivision | ||||||
Internalcombustionengines | 2,252,479,553.51 | 1,918,486,625.85 | 14.83% | 12.52% | 14.21% | -1.26% |
Byproductcategory |
Dieselengines | 2,112,251,290.73 | 1,799,217,464.83 | 14.82% | 13.80% | 15.29% | -1.10% |
Gasolineengines | 132,735,777.75 | 108,270,190.66 | 18.43% | -0.90% | -0.38% | -0.43% |
Other | 51,477,642.76 | 43,086,335.78 | 16.30% | -7.67% | -4.70% | -2.61% |
Byoperatingsegment | ||||||
Domestic | 1,922,972,122.74 | 1,587,725,941.54 | 17.43% | 11.03% | 12.63% | -1.17% |
Overseas | 373,492,588.50 | 362,848,049.73 | 2.85% | 18.96% | 19.04% | -0.06% |
CorebusinessdataoftheprioryearrestatedaccordingtothechangedstatisticalcaliberfortheReportingPeriod:
□Applicable√Notapplicable
(3)WhetherRevenuefromPhysicalSalesIsHigherthanServiceRevenue
√Yes□No
Operatingdivision | Item | Unit | 2020 | 2019 | Change(%) |
Dieselengines | Unitsales | Unit | 627,331 | 536,932 | 16.84% |
Output | Unit | 657,917 | 519,339 | 26.68% | |
Inventory | Unit | 78,589 | 48,003 | 63.72% |
Anyover30%YoYmovementsinthedataaboveandwhy:
√Applicable□NotapplicableTheCompanyproperlyincreaseditsinventoryinresponsetotherecoveryintheagriculturalmachineryindustryandthespringfarmingseasonin2021.
(4)ExecutionProgressofMajorSignedSalesContractsintheReportingPeriod
□Applicable√Notapplicable
(5)BreakdownofCostofSales
Unit:RMB
Productcategory | Item | 2020 | 2019 | Change(%) | ||
Costofsales | As%oftotalcostofsales(%) | Costofsales | As%oftotalcostofsales(%) | |||
Dieselengines | Rawmaterials | 1,526,191,466.63 | 78.24% | 1,317,459,424.33 | 78.43% | 15.84% |
Dieselengines | Laborcost | 222,248,951.31 | 11.39% | 214,361,508.91 | 12.76% | 3.68% |
Dieselengines | Depreciation | 71,562,851.51 | 3.67% | 74,355,935.23 | 4.43% | -3.76% |
Dieselengines | Energy | 34,214,195.38 | 1.75% | 27,773,748.68 | 1.65% | 23.19% |
(6)ChangesintheScopeofConsolidatedFinancialStatementsfortheReportingPeriod
□Yes√No
(7)MajorChangestotheBusinessScopeorProductorServiceRangeintheReportingPeriod
□Applicable√Notapplicable
(8)MajorCustomersandSuppliersMajorcustomers:
Totalsalestotopfivecustomers(RMB) | 1,026,672,658.60 |
Totalsalestotopfivecustomersas%oftotalsalesoftheReportingPeriod(%) | 44.71% |
Totalsalestorelatedpartiesamongtopfivecustomersas%oftotalsalesoftheReportingPeriod(%) | 0.00% |
Informationabouttopfivecustomers:
No. | Customer | SalesrevenuecontributedfortheReportingPeriod(RMB) | As%oftotalsalesrevenue(%) |
1 | Customer1 | 439,066,347.33 | 19.12% |
2 | Customer2 | 242,920,433.07 | 10.58% |
3 | Customer3 | 142,420,154.12 | 6.20% |
4 | Customer4 | 103,689,649.75 | 4.52% |
5 | Customer5 | 98,576,074.33 | 4.29% |
Total | -- | 1,026,672,658.60 | 44.71% |
Otherinformationaboutmajorcustomers:
□Applicable√NotapplicableMajorsuppliers:
Totalpurchasesfromtopfivesuppliers(RMB) | 250,959,619.80 |
Totalpurchasesfromtopfivesuppliersas%oftotalpurchasesoftheReportingPeriod(%) | 11.07% |
Totalpurchasesfromrelatedpartiesamongtopfivesuppliersas%oftotalpurchasesoftheReportingPeriod(%) | 0.00% |
Informationabouttopfivesuppliers:
No. | Supplier | PurchaseintheReportingPeriod(RMB) | As%oftotalpurchases(%) |
1 | Supplier1 | 80,662,072.00 | 3.56% |
2 | Supplier2 | 58,983,251.28 | 2.60% |
3 | Supplier3 | 47,225,855.00 | 2.08% |
4 | Supplier4 | 39,322,805.50 | 1.73% |
5 | Supplier5 | 24,765,636.06 | 1.09% |
Total | -- | 250,959,619.84 | 11.07% |
Otherinformationaboutmajorsuppliers:
□Applicable√Notapplicable
3.Expense
Unit:RMB
2020 | 2019 | Change(%) | Reasonforanysignificantchange | |
Sellingexpense | 128,372,278.62 | 97,085,117.05 | 32.23% | Increaseinaccrual-warrantyexpenseduetoprolongedwarrantyperiodsrequiredbycertaincustomersintheReportingPeriod |
Administrativeexpense | 87,446,195.74 | 107,015,957.41 | -18.29% |
Financecosts | 15,768,310.32 | -4,436,573.36 | —— |
R&Dexpenses | 72,258,781.08 | 66,221,376.27 | 9.12% |
4.R&DInvestments
√Applicable□NotapplicableTheCompanyhasbeenvaluingtheR&Dofnewproductsandapplicationofnewtechnologies.Basedonthemarket-orientedpolicy,theCompanycontinuouslypromotestechnologicalupgrading,makesgreateffortstoimprovethetechnologicaldevelopmentcapacityandself-innovationcapacityandincreasestheaddedvalueofproductssoastocontinuouslyenhancetheCompany’smarketcompetitiveness.DetailsaboutR&Dinvestments:
2020 | 2019 | Change(%) | |
NumberofR&Dpersonnel | 354 | 360 | -1.67% |
R&Dpersonnelas%oftotalemployees | 12.36% | 11.96% | 0.40% |
R&Dinvestments(RMB) | 72,258,781.08 | 66,221,376.27 | 9.12% |
R&Dinvestmentsas%ofoperatingrevenue | 3.15% | 3.24% | -0.09% |
CapitalizedR&Dinvestments(RMB) | 0.00 | 0.00 | --- |
CapitalizedR&Dinvestmentsas%oftotalR&Dinvestments | 0.00% | 0.00% | --- |
ReasonsforanysignificantYoYchangeinthepercentageofR&Dexpenseinoperatingrevenue:
□Applicable√NotapplicableReasonforanysharpvariationinthepercentageofcapitalizedR&Dexpenseandrationale:
□Applicable√Notapplicable
5.CashFlows
Unit:RMB
Item | 2020 | 2019 | Change(%) |
Subtotalofcashgeneratedfromoperatingactivities | 2,281,623,334.91 | 2,233,233,647.12 | 2.17% |
Subtotalofcashusedinoperatingactivities | 2,029,826,680.38 | 2,253,558,836.68 | -9.93% |
Netcashgeneratedfrom/usedinoperatingactivities | 251,796,654.53 | -20,325,189.56 | —— |
Subtotalofcashgeneratedfrominvestingactivities | 564,355,776.61 | 23,975,484.12 | 2,253.89% |
Subtotalofcashusedininvestingactivities | 717,612,880.11 | 105,167,007.71 | 582.36% |
Netcashgeneratedfrom/usedininvestingactivities | -153,257,103.50 | -81,191,523.59 | —— |
Subtotalofcashgeneratedfromfinancingactivities | 22,000,000.00 | 34,000,000.00 | -35.29% |
Subtotalofcashusedinfinancingactivities | 27,732,890.38 | 78,505,058.96 | -64.67% |
Netcashgeneratedfrom/usedinfinancingactivities | -5,732,890.38 | -44,505,058.96 | —— |
Netincreaseincashandcashequivalents | 83,979,542.30 | -145,306,375.14 | —— |
Explanationofwhyanyofthedataabovevariessignificantly:
√Applicable?NotapplicableThesignificantyear-on-yearchangeinnetcashgeneratedfrom/usedinoperatingactivitieswasprimarilybecausebankacceptancenoteswereadoptedmoreofteninthesettlementwithsuppliers,resultinginadecreaseincashusedinoperatingactivitiesandthusanincreaseinnetcashgeneratedfromoperatingactivities.Thesignificantyear-on-yearchangeinnetcashgeneratedfrom/usedininvestingactivitieswasactualinvestementinChangchaiMachineryandtheparticipationinarightsissueofBankofJiangsu,inthecurrentperiod.Thesignificantyear-on-yearchangeinnetcashgeneratedfrom/usedinfinancingactivitieswasprimarilybecauselastyearsawtherepaymentofsomebankborrowingsandthepaymentof2018finaldividends,resultinginayear-on-yearincreaseinnetcashgeneratedfromfinancingactivitiesintheReportingPeriod.ReasonforanybigdifferencebetweenthenetoperatingcashflowandthenetprofitforthisReportingPeriod
√Applicable?NotapplicableThebigdifferencebetweenthenetoperatingcashflowandthenetprofitforthisReportingPeriodwasmainlybecausebankacceptancenoteswereadoptedmuchmoreofteninthesettlementwithsuppliers,affectingnetcashgeneratedfromoperatingactivities.IIIAnalysisofNon-CoreBusinesses
□Applicable√NotapplicableIVAnalysisofAssetsandLiabilities
1.SignificantChangesinAssetCompositionIndicatewhethertheCompanyhasadoptedthenewaccountingstandardsgoverningrevenueandleasessince2020andrestatedthebeginningamountsofrelevantfinancialstatementlineitemsintheyear.Applicable.
Unit:RMB
31December2020 | 1January2020 | Changeinpercentage(%) | Reasonforanysignificantchange | |||
Amount | As%oftotalassets | Amount | As%oftotalassets | |||
Monetaryassets | 760,728,222.85 | 19.24% | 638,589,260.09 | 18.30% | 0.94% | |
Accountsreceivable | 397,154,016.49 | 10.05% | 419,302,056.87 | 12.02% | -1.97% | |
Inventories | 606,680,340.55 | 15.35% | 473,359,168.90 | 13.57% | 1.78% | |
Investmentproperty | 46,239,326.03 | 1.17% | 48,447,666.83 | 1.39% | -0.22% | |
Long-termequityinvestments | 0.00 | 0.00% | 0.00 | 0.00% | —— | |
Fixedassets | 454,181,555.68 | 11.49% | 457,722,667.32 | 13.12% | -1.63% |
Constructioninprogress | 66,502,432.41 | 1.68% | 91,358,156.24 | 2.62% | -0.94% |
Short-termborrowings | 22,000,000.00 | 0.56% | 22,000,000.00 | 0.63% | -0.07% |
Long-termborrowings | 0.00 | 0.00% | 0.00 | 0.00% | —— |
2.AssetsandLiabilitiesatFairValue
√Applicable□Notapplicable
Unit:RMB
Item | Beginningamount | Gain/lossonfair-valuechangesintheReportingPeriod | Cumulativefair-valuechangeschargedtoequity | ImpairmentallowancefortheReportingPeriod | PurchasedintheReportingPeriod | SoldintheReportingPeriod | Otherchange | Endingamount |
Financialassets | ||||||||
1.Held-for-tradingfinancialassets(derivativefinancialassetsexclusive) | 13,050,000.00 | 200,272.00 | 33,822,956.16 | 35,572,956.16 | 11,500,272.00 | |||
2.Derivativefinancialassets | ||||||||
3.Otherdebtinvestment | ||||||||
4.Investmentinotherequityinstruments | 532,886,000.00 | 127,966,296.36 | 24,786,000.00 | 500,345.49 | 685,137,950.87 | |||
Subtotaloffinancialassets | 545,936,000.00 | 200,272.00 | 127,966,296.36 | 58,608,956.16 | 36,073,301.65 | 696,638,222.87 | ||
Investment |
property | ||||||||
Productivelivingassets | ||||||||
Other | 77,952,101.63 | 20,780,837.00 | 98,732,938.63 | |||||
Totalofabove | 623,888,101.63 | 20,981,109.00 | 127,966,296.36 | 58,608,956.16 | 36,073,301.65 | 795,371,161.50 | ||
Financialliabilities | 0.00 | 0.00 |
SignificantchangestothemeasurementattributesofthemajorassetsintheReportingPeriod:
□Yes√No
3.RestrictedAssetRightsasatthePeriod-End
Item | Endingcarryingvalue | Reasons |
Monetaryassets | 130,788,682.35 | Securitydepositsassociatedwithbankacceptancenotes,environment,etc. |
Houseconstructions | 2,012,894.88 | Collateralforbankloan |
Landuseright | 962,953.87 | Collateralforbankloan |
Machineryequipment | 34,959,585.43 | Collateralforbankloan |
Total | 168,724,116.53 | -- |
VInvestmentsMade
1.TotalInvestmentAmount
√Applicable□Notapplicable
InvestmentsmadeinReportingPeriod(RMB) | Investmentsmadeinsameperiodoflastyear(RMB) | +/-% |
154,786,000.00 | 60,000,000.00 | 157.98% |
2.MajorEquityInvestmentsMadeintheReportingPeriod
√Applicable□Notapplicable
Unit:RMB
Investee | Mainbusiness | Investmentmethod | Investmentamount | Shareholdingpercentage | Capitalresources | Partner | Investmentterm | Typeofproducts | Progressasofthebalancesheetdate | Estimatedincome | ProfitsorlossesofinvestmentintheReportingPeriod | Involvinginlawsuitornot | Disclosuredate(ifany) | Disclosureindex(ifany) |
JiangsuHoushengNewEnergyTechnologyCo.,Ltd. | Lithiumbatterybaffle | Capitalincrease | 26,250,000.00 | 8.72% | Self-owned | ChangzhouInvestmentGroupCo.,Ltd.andChangzhouSynergeticInnovationPrivateEquityFund(LimitedPartnership) | Long-term | Lithiumbatterybaffle | Capitalincreaseregisteredwiththeindustrialandcommercialadministration | 0.00 | 2,500,000.00 | No | 12Dec.2020 | 2020-074 |
JiangsuChangchaiMachineryCo.,Ltd. | Internalcombustionengine,relatedgeneratorsetsandparts | Paidincapital | 130,000,000.00 | 100.00% | Self-owned | Naught | Long-term | Internalcombustionengine,relatedgeneratorsetsandparts | Theinputhasbeenmade | 0.00 | -1,594,404.47 | No | 26February2019 | 2019-004 |
Total | -- | -- | 156,250,000.00 | -- | -- | -- | -- | -- | -- | 0.00 | 905,595.53 | -- | -- | -- |
3.MajorNon-EquityInvestmentsOngoingintheReportingPeriod
□Applicable√Notapplicable
4.FinancialInvestments
(1)SecuritiesInvestments
√Applicable□Notapplicable
Varietyofsecurity | Codeofsecurity | Nameofsecurity | Initialinvestmentcost | Accountingmeasurementmethod | Beginningcarryingvalue | Gain/LossonfairvaluechangesinReportingPeriod | Accumulatedfairvaluechangeschargedtoequity | PurchasedinReportingPeriod | SoldinReportingPeriod | Gain/lossinReportingPeriod | Endingcarryingvalue | Accountingtitle | Sourceofinvestmentfunds |
Domestic/Foreignstock | 600166 | FotonMotor | 41,784,000.00 | Fairvaluemethod | 302,005,000.00 | 0.00 | 351,382,350.00 | 0.00 | 0.00 | 0.00 | 455,175,000.00 | Investmentinotherequityinstruments | Self-ownedfund |
Domestic/Foreignstock | 600919 | BankofJiangsu | 42,786,000.00 | Fairvaluemethod | 130,320,000.00 | 0.00 | 72,231,300.00 | 24,786,000.00 | 0.00 | 5,004,000.00 | 127,764,000.00 | Investmentinotherequityinstruments | Self-ownedfund |
Domestic/Foreignstock | 600377 | JiangsuExpressway | 90,500.00 | Fairvaluemethod | 561,000.00 | 0.00 | 340,425.00 | 0.00 | 491,000.00 | 0.00 | Investmentinotherequityinstruments | Self-ownedfund |
Domestic/Foreignstock | 300912 | KailongHighTechnology | 20,001,268.00 | Fairvaluemethod | 20,001,268.00 | 18,280,837.00 | 0.00 | 0.00 | 0 | 18,280,837.00 | 38,282,105.00 | Othernon-currentfinancialassets | Self-ownedfund |
Othersecuritiesinvestmentsheldattheperiod-end | -- | -- | -- | ||||||||||
Total | 104,661,768.00 | -- | 452,887,268.00 | 18,280,837.00 | 423,954,075.00 | 24,786,000.00 | 491,000.00 | 23,284,837.00 | 621,221,105.00 | -- | -- | ||
Disclosuredateoftheannouncementontheboard’sapprovalofthesecuritiesinvestments | 12Dec.2020 |
(2)InvestmentsinDerivativeFinancialInstruments
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
5.UseofFundsRaised
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
VISaleofMajorAssetsandEquityInterests
1.SaleofMajorAssets
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
2.SaleofMajorEquityInterests
□Applicable√Notapplicable
VIIMajorSubsidiaries
√Applicable□NotapplicableMajorfully/majority-ownedsubsidiariesandthoseminority-ownedsubsidiarieswithanover10%effectontheCompany’snetprofit:
Unit:RMB
Name | RelationshipwiththeCompany | Principalactivity | Registeredcapital | Totalassets | Netassets | Operatingrevenue | Operatingprofit | Netprofit |
Changcha | Subsidiar | Production | 55,063,0 | 164,656, | 86,054,6 | 209,003, | 1,880,28 | 137,775. |
iBenniu | y | ofdieselengineaccessories | 00.00 | 448.49 | 92.70 | 734.70 | 0.35 | 00 |
ChangchaiWanzhou | Subsidiary | Dieselengineassembly | 85,000,000.00 | 74,311,171.17 | 49,529,648.65 | 43,143,296.52 | 554,513.62 | 494,776.84 |
HoushengInvestment | Subsidiary | Externalinvestmentandconsulting | 40,000,000.00 | 64,827,753.14 | 59,714,534.13 | 344,842.86 | 16,316,082.73 | 11,684,821.20 |
HoushengAgriculturalEquipment | Subsidiary | agriculturalmachineryproductofricetransplanteretc. | 10,000,000.00 | 26,779,698.80 | -6,265,406.20 | 14,280,066.47 | -6,462,052.03 | -6,712,052.03 |
ChangchaiRobin | Subsidiary | Gasolineenginesassembly | 37,250,000.00 | 113,064,063.56 | 100,165,773.29 | 132,735,777.75 | 10,850,800.51 | 10,074,337.57 |
ChangchaiMachinery | Subsidiary | Internalcombustionengineandrelatedaccessories | 300,000,000.00 | 138,696,225.19 | 138,011,999.19 | 0.00 | -1,586,825.63 | -1,594,404.47 |
XingshengRealEstateManagement | Subsidiary | Realestatemanagementservice | 1000,000.00 | 5,870,002.21 | 3,408,672.66 | 5,608,871.93 | 808,606.70 | 773,836.84 |
SubsidiariesobtainedordisposedintheReportingPeriod:
□Applicable√Notapplicable
VIIIStructuredBodiesControlledbytheCompany
□Applicable√NotapplicableIXProspects
1.IndustrialCompetitionPatternandDevelopmentTrendIn2020,duetotheCOVID-19pandemic,theagriculturalmachineryindustryandtheinternalcombustionengineindustryusheredinatrendofcontrariangrowthinthecontinuousdeepadjustmentunderthecombinedeffectofvariousfavorablefactorssuchasnationalpolicies,localsupportandmarketboosts.In2021,China'sagriculturalmachinerymarketwillstillbeinastateofdeepadjustmentandtransformationofupgrading.Despitethedeclineofthetraditionalcategoriesmarket,opportunitiescanstillbefoundinmarketsegments,withintelligentagriculturalmachineryfavoredbythemarket.Thenationalmacro-economywillbepositiveinthelongrunandagriculturalmachineryindustryissupportedbypolicies.Theagriculturalmachinerymarketisprospectivefromtheperspectiveoflong-termdevelopment.Astotalmarketdemandislarge,itisnotonlyanopportunitybutalsoachallengeforagriculturalmachinerymanufacturers,whoneedtoacceleratetheupgradingofagricultural
machineryproductsandtechnology.Inaddition,thehugepressurebroughtbythenewenergyindustrytotraditionalinternal-combustionenginecompanieshasforcedtraditionalenginemanufacturerstoactivelyorpassivelybecomeinvolvedinthedevelopmentofnewenergyautomotiveindustries.Atpresent,thedevelopmenttrendandmarketsituationoftheindustryaremainlyasfollows:First,theagriculturalindustryisinthestageofdeepadjustment,bringingfurthercompetitiontotheindustry;second,marketdemandshowsfragmentationandsegmentation;third,thedevelopmentofagriculturalmachineryisdiversified.Largescaleandminiaturizationcoexist.High-endintelligencehasbecomethedominantdirection;fourth,theconcentrationoftheinternalcombustionengineindustrywillincreaserapidly,withintensiveindustrialreshuffle;fifth,thecombinationofcapitalandindustrywillboostinternationallycompetitivelargeenterprises.Thethresholdofcompetitionwillbehigherinthefuture.Overall,thedieselmarketcompetitionisfierce.Therewillbebettermarketprospectsfordieselengineswithhigh-performanceinenergysavingandenvironmentalprotectionandmeetingtherigiddemandofspecificfields.
2.Companydevelopmentstrategies:
TheCompany’sdevelopmentstrategiesaretobaseonthefarmmachinery,dostrongerinthepower,developthefieldsanddevelopscientifically.Inthefieldofagriculturalmachinery,theCompanymaintainedaleadingpositioninthehorsepowersegmentandcontinuestoexpandthemarketshare,andactivelyexploredandenteredthemarketinlarge-horse-poweredvehiclesandnon-road-specificpowersupportingareasforengineeringuseandachievedstablebreakthroughsintheniche.Intheterminalarea,theCompanyactivelyexpandedthemarketshareoftransplanterproducts.Intermsofproductsupport,theCompanyfocusedonagricultureoriginallyandgraduallyenteredintoengineering,construction,orchard,forestry,fisheryandelectromechanicalindustries.Meanwhile,itexpandedthemilitarysupportandbiddingmarket,andgraduallypromotedthedevelopmentofthemarketofmotorgeneratorsets.Inaddition,theCompanyextendeditsproductstructuretothegasolineenginefieldbyacquiringChangzhouFujiChangchaiRobinGasolineEngineCo.,Ltd.,continuouslyexpandedproductapplication,firmlygraspedproductqualityandactivelydevelopedoverseasanddomesticcustomers.TheCompanywillfurtherinnovatethemanagementmechanism,acceleratetheprogressofproductdevelopmentandvigorouslyexpandthemarkettopromotethesustainedandsteadydevelopmentoftheCompany.TheCompanyisusingthecloudplatformtechnologytopromoteinformationbuildinganddevelopahighlyefficientandpracticalinformationplatform.Meanwhile,asaresponsetogovernmentalplanning,theCompanyisimplementinglightengineandcastingrelocationprojectstointegrateexistingresources,improvequalityandincreaseefficiency,whichisbeneficialtotheCompany’ssustainabledevelopment.Aprivateplacementprogramislaunchedtothecapitalmarkettoraisefinancingsandactivateresources,whichwillhelpboosttheCompany’sR&Dprojectsanddevelopment.
3.OperationPlanfortheYear2021:
TheCompanywillconsolidateitsleadingpositionwithsingle-cylinderdieselenginesandbuildaboutiqueimagewithmulti-cylinderdieselengines,acceleratetheexpansionofterminals,comprehensivelyupgradeproductemissionstandards,createnewmanagementmodelsforhigherreturns,andutilizecapitaltodrivedevelopment.In2021,salesrevenueisexpectedtobeRMB2.15billion,andnewproductssaleswillexceed100,000units.TheaboveoperationplandoesnotrepresenttheprofitforecastofY2021bythelistedcompany,andwhethercanberealizeddependsonvariousfactorsonthechangesofmarketconditionsandtheeffortlevelofthemanagementteam.Thereisalotofuncertainty,andinvestorsshouldpayspecialattentiononit.
4.Possiblerisksandcountermeasures:
(1)Marketrisk:
Fiercecompetitionresultsinover-capacityofsometraditionalproducts.Withtheadjustmentofthenationalagriculturalproductionstructureandthecontinuousexpansionofthescaleoffarmoperation,aswellasthechangesinfarmers'productionandoperationmethods,agriculturalmachineryisdevelopingtowardsthetrendoflarge-scale,high-efficiencyandintelligentautomation,andresource-savingandenvironmentally-friendlyproductshavegraduallybecomethemainstream.Inthefuture,emissionstandardsofinternalcombustionengineswillbefurtherupdatedandairpollutioncontrolwillbefurtherstringent.Safetyproductionandenvironmentalprotectionwillbenormalized,andtheindustrywillstillbeinaperiodoftransformationandadjustment.However,long-termimprovementofthenationalmacro-economyremainsunchanged,andtheagriculturalmachinerymarketisstillpromisingwithalargetotalmarketdemand.Countermeasures:
Thefirstistosolidlyupgradeemissionstandardsandactivelyexpandproductareas.Thesecondistoboostbothinternalandexternalmarketsindifferentareasandempowertheenterprisetodevelopsteadilyandwell.Thethirdistofocusonqualitymanagementinthewholeprocessandcontinuouslyenhancethecompetitiveadvantageofquality.ThefourthistostrictlystandardizeandimplementationoftechnicaltransformationprojectsandvigorouslypromotethecompletionandcommissioningofChangchaiIndustryPark.Thefifthistocontinuouslystrengthenrefinedmanagementandcomprehensivelyimprovetheefficiencyofproduction,operationandmanagement.Thesixthistocontinuouslyimprovethedevelopmentstrengthofsubsidiariesandpromotecapitaloperationprojectsinasteadyandorderlymanner.
(2)Industrialrisk:
Therapiddevelopmentofthenewenergyindustryhasimpactedthetraditionalfuelautomobileindustryanditsindustrialchain.Withthesupportofnationalpoliciesandinvestment,thematurityofthenewenergyindustryhasbeengrowingcontinuouslyandgraduallyexertinganimpactontheagriculturalmachineryindustry.Battery-poweredproductshavegraduallyappearedinplantingmachinery,gardenmachineryandsoon.Inordertocopewiththeupgradingofemissionstandardsandtherapiddevelopmentofnewenergyindustry,enterprisesinthetraditionalinternalcombustionengineindustryneedtoseeknewdevelopmentopportunities,improvetheirtechnicallevelortrytomakecooperationstotransfertheindustrialrisks.Countermeasures:
Thefirstmeasureistopreparelayoutinnewenergyindustriesinadvancetoseizetheopportunityforindustrydevelopment.ThesecondistodevelopinnovativeproductsandupgradeproductstowardsintelligentandInternet-basedhigh-endproducts.Thethirdistoexplorenewfields,boostthecompetitivenessoftheproductchain,explorethedevelopmentdirectionofnewindustriesandmeettheindustrialupgradingandtransformation.
(3)Policyrisk:
Themacro-economicenvironmentiscomplexandchangeable,economicgrowthisslowingdownandthepolicyonthedieselengineemissionsisbecomingstricterandstricter,whichincreasedtheoperatingdifficultiesandthepressure.Assuch,themarketdemandsforsomeproductsoftheCompanywillbeaffectedtosomeextent.Countermeasures:TheCompanywillpaycloseattentiontothegovernment’seconomicmacro-controlpoliciesandmarketdevelopments.Topromotetheworksuchas“promotetheproductsupgradeandqualityenhancing”,toembracetheupgradingoftheengineemissionstandards,toacceleratetheforgingofthenew“StandardV”platform,andtoexecutethenecessaryproductsresourcesreservesinadvance.
(4)Rawmaterialpricerisk:
Duetotheeconomicsituationandtheglobalfinancialeasingpolicies,fluctuationsinthepricesofrawmaterialssuchassteelandpigironwillputpressureontheCompany'smanufacturingcosts.Countermeasures:TheCompanywillfurtherimproveitsoperatingefficiency,reducecostsandimproveefficiency,andreducethepressureofrisingcoststhroughmeasuressuchasoptimizingthesupplysystem,strengtheninginventoryandplanmanagement,andcontrollingcostsandexpenses.
(5)Talentrisk:
AstheCompanykeeps,inrecentyears,improvingoperationalefficiencyandtechnologicalinnovationtocopewiththeincreasinglyfiercemarketcompetitionandindustrydevelopmenttrend,thedemandforprofessionalandseniormanagementpersonnelisgreatlyincreased.Countermeasures:
Thefirstistostrengthenthebuildingofmanagementandtalentteams,acceleratethetrainingofyoungmanagement,continuouslyenhancethevitalityofthemanagementteam,strengthenthetraining,assessmentandutilizationofexistingtalentssuchasskilledexperts,technicalmanagementpersonnelandworkertechnicians,andincreaserecruitmentandintroductionofurgentlyneededtalentsbasedontheCompany'sdevelopmentneeds;Thesecondistooptimizethedeploymentofenterpriseemploymentandimproveemployeeskills,supplementfrontlineemployeesthroughmultiplechannels,strengthenthetrainingofmanagementandemployeesatalllevels,andfurtherimproveemployeeskillsthroughtheorganizationanddevelopmentofskilllevelidentification.
XCommunicationswiththeInvestmentCommunitysuchasResearches,InquiriesandInterviews
1.DuringtheReportingPeriod
√Applicable□Notapplicable
Dateofvisit | Placeofvisit | Wayofvisit | Typeofvisitor | Visitor | Contentsandmaterialsprovided | Indextomaininquiryinformation |
2020-12-18 | EasyIR | Other | Individual | Individualinvestor | ProductssituationoftheCompany | EasyIR |
2020-12-17 | EasyIR | Other | Individual | Individualinvestor | ProductssituationoftheCompany | EasyIR |
2020-12-08 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-11-18 | EasyIR | Other | Individual | Individualinvestor | ProgressofR&DprojectsoftheCompany | EasyIR |
2020-10-29 | EasyIR | Other | Individual | Individualinvestor | ShareholdersoftheCompany | EasyIR |
2020-10-15 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-09-14 | EasyIR | Other | Individual | Individualinvestor | PricingoftheCompany'snon-publicofferingofsharesin2020 | EasyIR |
2020-08-18 | EasyIR | Other | Individual | Individualinvestor | EquitystructureandproductsituationofHoushengNewEnergyTechnology | EasyIR |
2020-08-18 | EasyIR | Other | Individual | Individualinvestor | EquitystructureofHoushengNewEnergyTechnology | EasyIR |
2020-08-13 | EasyIR | Other | Individual | Individualinvestor | DisposalplanofFotonsharesheldbytheCompany | EasyIR |
2020-08-13 | EasyIR | Other | Individual | Individualinvestor | ReasonsfortheCompany'ssalesexpensesincreaseinthefirsthalfoftheyear | EasyIR |
2020-08-13 | EasyIR | Other | Individual | Individualinvestor | ProgressoftheCompany'sapplicationfornon-publicofferingofshares | EasyIR |
2020-07-27 | EasyIR | Other | Individual | Individualinvestor | ProgressoftheCompany'snon-publicofferingofshares | EasyIR |
2020-07-27 | EasyIR | Other | Individual | Individualinvestor | ConstructionperiodoftheCompany'stechnologycenterinnovationcapabilityconstructionproject | EasyIR |
2020-07-24 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompanytoseekhelpfromthegovernment | EasyIR |
2020-07-24 | EasyIR | Other | Individual | Individualinvestor | Treatmentprocessofoldplant | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | ExecutivesalaryassessmentstandardsandinvestorexchangemeetingplanoftheCompany | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | Factoryauditoflithiumbatterybaffleproject | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | TheCompany'sindustrialtransformationandupgrading | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | TheCompany'sindustrialtransformationandupgrading | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | ProductR&DoftheCompany | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | AppointmentofBoardSecretaryoftheCompany | EasyIR |
2020-07-07 | EasyIR | Other | Individual | Individualinvestor | LaborcontractrelationshipofthegeneralmanagerofHoushengNewEnergyTechnology | EasyIR |
2020-07-06 | EasyIR | Other | Individual | Individualinvestor | LandsituationoftheCompany | EasyIR |
2020-06-12 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-06-12 | EasyIR | Other | Individual | Individual | Productssituationoflithium | EasyIR |
investor | batterybaffleproject | |||||
2020-06-12 | EasyIR | Other | Individual | Individualinvestor | WhethertheCompanyisinvolvedinregionalacquisitionanddemolitionprojects | EasyIR |
2020-06-02 | EasyIR | Other | Individual | Individualinvestor | ProductapplicationfieldoftheCompany | EasyIR |
2020-06-02 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-05-28 | EasyIR | Other | Individual | Individualinvestor | Productionsituationoflithiumbatterybaffleproject | EasyIR |
2020-05-27 | EasyIR | Other | Individual | Individualinvestor | Productionsituationoflithiumbatterybaffleproject | EasyIR |
2020-05-13 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-05-13 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-05-13 | EasyIR | Other | Individual | Individualinvestor | TheCompany'slayoutinthenewenergyindustry | EasyIR |
2020-05-07 | EasyIR | Other | Individual | Individualinvestor | Productapplicationfieldofthelithiumbatterybaffleproject | EasyIR |
2020-04-29 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-04-26 | EasyIR | Other | Individual | Individualinvestor | SecuritiesinvestmentoftheCompany | EasyIR |
2020-04-14 | EasyIR | Other | Individual | Individualinvestor | FinancingoftheCompany | EasyIR |
2020-04-14 | EasyIR | Other | Individual | Individualinvestor | PositioningoftheCompany | EasyIR |
2020-04-13 | EasyIR | Other | Individual | Individualinvestor | ImpactoftheCompany'sadditionalstockissuance | EasyIR |
2020-04-11 | EasyIR | Other | Individual | Individualinvestor | PurchaseandstorageplanoftheoriginalplantaftertheCompany'srelocationprojectiscompleted | EasyIR |
2020-04-11 | EasyIR | Other | Individual | Individualinvestor | SalarygrowthofCompanyexecutivesandindependentdirectors | EasyIR |
2020-04-11 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-04-11 | EasyIR | Other | Individual | Individualinvestor | Suggestionsontheobjectsofnon-publicoffering | EasyIR |
2020-04-11 | EasyIR | Other | Individual | Individualinvestor | Non-publicofferingofstockpricingandnetassets | EasyIR |
2020-04-09 | EasyIR | Other | Individual | Individual | RenewalofDirectorsand | EasyIR |
investor | Supervisors | |||||
2020-04-09 | EasyIR | Other | Individual | Individualinvestor | TheCompany'smixedreformsituation | EasyIR |
2020-04-09 | EasyIR | Other | Individual | Individualinvestor | RenewalofDirectors | EasyIR |
2020-03-19 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-03-19 | EasyIR | Other | Individual | Individualinvestor | Companytransformationandupgrading | EasyIR |
2020-03-12 | EasyIR | Other | Individual | Individualinvestor | TheCompany's2019annualreport | EasyIR |
2020-03-09 | EasyIR | Other | Individual | Individualinvestor | Productsituationoflithiumbatterybaffleproject | EasyIR |
2020-03-09 | EasyIR | Other | Individual | Individualinvestor | Productsituationoflithiumbatterybaffleproject | EasyIR |
2020-03-09 | EasyIR | Other | Individual | Individualinvestor | ProductssituationoftheCompany | EasyIR |
2020-03-03 | EasyIR | Other | Individual | Individualinvestor | BusinesssituationoftheCompany | EasyIR |
2020-03-02 | EasyIR | Other | Individual | Individualinvestor | BrandvalueoftheCompany | EasyIR |
2020-02-28 | EasyIR | Other | Individual | Individualinvestor | ReformanddevelopmentoftheCompany | EasyIR |
2020-02-22 | EasyIR | Other | Individual | Individualinvestor | Operationoflithiumbatterybaffleproject | EasyIR |
2020-02-22 | EasyIR | Other | Individual | Individualinvestor | Operationoflithiumbatterybaffleproject | EasyIR |
2020-02-22 | EasyIR | Other | Individual | Individualinvestor | Lithiumbatterybaffleprojectproductionplan | EasyIR |
2020-02-17 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-02-17 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-02-14 | EasyIR | Other | Individual | Individualinvestor | WorkresumptionoftheCompany | EasyIR |
2020-02-14 | EasyIR | Other | Individual | Individualinvestor | RenewalofDirectors | EasyIR |
2020-02-06 | EasyIR | Other | Individual | Individualinvestor | TheCompany'sepidemicpreventionsituation | EasyIR |
2020-02-05 | EasyIR | Other | Individual | Individualinvestor | CompletionoftheCompany'smaintasksin2019andmaingoalsin2020 | EasyIR |
2020-02-04 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-02-04 | EasyIR | Other | Individual | Individualinvestor | MarketconceptoftheCompany | EasyIR |
2020-02-03 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-02-03 | EasyIR | Other | Individual | Individualinvestor | ChangeofDirectorsandSupervisors | EasyIR |
2020-01-22 | EasyIR | Other | Individual | Individualinvestor | SuggestionsfortheCompany'sdevelopment | EasyIR |
2020-01-22 | EasyIR | Other | Individual | Individualinvestor | DevelopmentoftheCompany | EasyIR |
2020-01-15 | EasyIR | Other | Individual | Individualinvestor | Lithiumbatterybaffleprojectsituation | EasyIR |
2020-01-14 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-01-13 | EasyIR | Other | Individual | Individualinvestor | CustomersituationoftheCompany | EasyIR |
2020-01-09 | EasyIR | Other | Individual | Individualinvestor | Progressoflithiumbatterybaffleproject | EasyIR |
2020-01-07 | EasyIR | Other | Individual | Individualinvestor | TheprogressofthelithiumbatterybaffleprojectandthesalaryoftheCompany'sexecutives | EasyIR |
2020-01-01 | EasyIR | Other | Individual | Individualinvestor | DevelopmentoftheCompany | EasyIR |
Timesofcommunications | 78 | |||||
Numberofinstitutionscommunicatedwith | 0 | |||||
Numberofindividualscommunicatedwith | 78 | |||||
Numberofothercommunicationparties | 0 | |||||
Tip-offsorleakagesofsubstantialsupposedly-confidentialinformationduringcommunications | None |
PartVSignificantEvents
IProfitDistributionstoOrdinaryShareholders(intheFormofCashand/orStock)Howtheprofitdistributionpolicy,especiallythecashdividendpolicy,forordinaryshareholderswasformulated,executedorrevisedintheReportingPeriod:
√Applicable□NotapplicableInArticlesofAssociation,whichhadconfirmedthespecificprofitsdistributionandclearedouttheconditions,standardsandproportionofthecashbonus,stipulatedthedecision-makingprogressoftheformulationandalternationoftheprofitsdistributionpoliciesandthechaptersaswellastheregulationsfullyensuretheopportunitiesforthemediumandsmallshareholderstoexertthefunctionsandtoprovideadvicesaswellasappeals.Thecashbonusofrecent3yearsoftheCompanymetwiththeregulationsoftheArticlesofAssociationandduringthedecision-makingprocessoftheprofitsdistributionproposal,theIndependentDirectorsstatedtheindependentadvicesandfullyrespectedtheadvicesfromthemediumandsmallshareholders.TheprofitsdistributionpreplanandtheturningcapitalreserveintosharecapitalpreplanoftheCompanywerebothmetwiththerelevantregulationsoftheArticlesofAssociationandsoon.
Specialstatementaboutthecashdividendpolicy | |
IncompliancewiththeCompany’sArticlesofAssociationandresolutionofgeneralmeeting | Yes |
Specificandcleardividendstandardandratio | Yes |
Completedecision-makingprocedureandmechanism | Yes |
Independentdirectorsfaithfullyperformedtheirdutiesandplayedtheirduerole | Yes |
Non-controllinginterestsareabletofullyexpresstheiropinionanddesireandtheirlegalrightsandinterestsarefullyprotected | Yes |
Incaseofadjustingorchangingthecashdividendpolicy,theconditionsandproceduresinvolvedareincompliancewithapplicableregulationsandtransparent | N/A |
Theprofitdistributionstoordinaryshareholders,eitherintheformofcashorstock,inthepastthreeyears(includingtheReportingPeriod)aresummarizedasfollows:
Year | Profitsdistributionproposal | Turningcapitalreserveintosharecapitalproposal | Execution |
2020 | No | No | StillneededtosubmittotheAnnualGeneralMeeting |
2019 | No | No | Finishedtheexecution |
2018 | DistributedRMB0.25ofevery10shares(taxesincluding) | No | Finishedtheexecution |
Cashdividendforordinaryshareholdersinthepastthreeyears(includingtheReportingPeriod):
Unit:RMB
Year | Cashdividends(taxinclusive)(A) | Netprofitattributabletoordinaryshareholdersofthelistedcompanyinconsolidatedstatementsfortheyear(B) | Aas%ofB(%) | Cashdividendsinotherforms(C) | Cas%ofB(%) | Totalcashdividends(includingthoseinotherforms)(D) | Das%ofB(%) |
2020 | 0.00 | 52,432,443.05 | 0.00% | 0.00 | 0.00% | 0.00 | 0.00% |
2019 | 0.00 | 24,966,526.85 | 0.00% | 0.00 | 0.00% | 0.00 | 0.00% |
2018 | 14,034,358.15 | 62,409,528.46 | 22.49% | 0.00 | 0.00% | 14,034,358.15 | 22.49% |
IndicatebytickmarkwhethertheCompanyfailstoputforwardacashdividendproposalfortheordinaryshareholdersdespitethefactsthattheCompanyhasmadeprofitsintheReportingPeriodandtheprofitsoftheCompanyastheparentdistributabletotheordinaryshareholdersarepositive.
√Applicable□Notapplicable
ReasonwhytheCompanyfailstoputforwardacashdividendproposalfortheordinaryshareholdersdespitethefactsthattheCompanyhasmadeprofitsintheReportingPeriodandtheprofitsoftheCompanyastheparentdistributabletotheordinaryshareholdersarepositive | UseanduseplanforretainedearningsoftheCompany |
Simpledescriptionaboutthereasonwhynocashdividendwasmadeattheendofthisyear:thesumofcashdividendmadebytheCompanyinrecentthreeyearswasRMB14.0344million,exceeding30%oftheyearlynetprofitofthelistedcompany’sshareholders,andhasmettherelevantrulesoncashdividend.Generallyconsideringtheconstructioncapitaldemand,developmentproject’sprogressandnon-publicofferingproject’sprogressofChangchaiMachinery,asubsidiaryoftheCompany,in2021,theCompanyintendednottodistributecashdividendorissuebonussharesortransfercommonreservefundintosharecapitalin2020. | SupporttheconstructionofthesubsidiaryChangchaiMachineryandthepromotionofR&DprojectsoftheCompany |
IIFinalDividendPlanfortheReportingPeriod
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
IIIFulfillmentofCommitments
1.CommitmentsoftheCompany’sActualController,Shareholders,RelatedPartiesandAcquirers,aswellastheCompanyItselfandotherEntitiesFulfilledintheReportingPeriodorOngoingatthePeriod-end
√Applicable□Notapplicable
Commitment | Promisor | Type | Detailsofcommitment | Date | Term | Fulfil |
ofcommitment | ofcommitmentmaking | ofcommitment | lment | |||
Othercommitmentsmadetominorityshareholders | ChangchaiCompany,Limited | Bonus | RewardsPlanforShareholdersinNextThreeYears(2020-2022)Underthepremiseofpositivedistributiveprofit(remainingafter-taxprofitsaftermakingupforthelossandextractingforthecommonreserves)inthisyearorhalfyearandabundantmoneyflowandnoinfluenceonthefollowing-upgoingconcernaftercashbonus,theprofitsallocatedbycasheveryyearshouldn’tbelowerthan10%oftheallocableprofitsfromparentcompany.Meanwhile,theaccumulatedallocableprofitsbycashinthearbitrarycontinuousthreeaccountingyearsshouldnotbelowerthan30%oftheannualaverageallocableprofitsinthosethreeyears. | 8May2020 | Year2020-2022 | Ongoing |
Fulfilledontime | Yes | |||||
Specificreasonsforfailingtofulfillcommitmentsontimeandplansfornextstep(ifany) | N/A |
2.WheretherehadbeenanearningsforecastforanassetorprojectandtheReportingPeriodwasstillwithintheforecastperiod,explainwhytheforecasthasbeenreachedfortheReportingPeriod.
□Applicable√NotapplicableIVOccupationoftheCompany’sCapitalbytheControllingShareholderorItsRelatedPartiesforNon-OperatingPurposes
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.VExplanationsGivenbytheBoardofDirectors,theSupervisoryBoardandtheIndependentDirectors(ifany)RegardingtheIndependentAuditor's“ModifiedOpinion”ontheFinancialStatementsoftheReportingPeriod
□Applicable√NotapplicableVIYoYChangestoAccountingPolicies,EstimatesandMethods
√Applicable□Notapplicable
Changestotheaccountingpoliciesandwhy | Approvalprocess | Remark |
TheMinistryofFinanceissuedtheNoticeonRevisingandIssuingtheAccountingStandardsforBusinessEnterprisesNo.14-Revenue(CK[2017]No.22)(hereinafterreferredtoasthe“NewStandardsgoverningRevenue)inJuly2017andrequiredallcompanieslisteddomesticallytoimplementitsince1January2020. | On28April2020,theCompanyconvenedthe2ndMeetingofthe9thBoardofDirectorsandthe2ndMeetingofthe9thSupervisoryCommitteeandapprovedtheProposalonChangesofSomeAccountingPolicies. |
(1)InfluenceofImplementingtheNewStandardsgoverningRevenueAffecteditemsintheconsolidatedbalancesheetandamountthereof:
Item | 31December2019 | Affectedbyclassificationandmeasurement | 1January2020 |
Advancesfromcustomers | 31,789,001.78 | -31,789,001.78 | |
Contractliabilities | 29,652,202.74 | 29,652,202.74 | |
Othercurrentliabilities | 1,177,712.38 | 2,136,799.04 | 3,314,511.42 |
AffecteditemsinthebalancesheetoftheCompanyastheparentandamountthereof:
Item | 31December2019 | Affectedbyclassificationandmeasurement | 1January2020 |
Advancesfromcustomers | 28,673,664.87 | -28,673,664.87 | |
Contractliabilities | 26,661,229.33 | 26,661,229.33 | |
Othercurrentliabilities | 2,012,435.54 | 2,012,435.54 |
VIIRetrospectiveRestatementsduetoCorrectionofMaterialAccountingErrorsintheReportingPeriod
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.VIIIYoYChangestotheScopeoftheConsolidatedFinancialStatements
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.IXEngagementandDisengagementofIndependentAuditorCurrentindependentauditor:
Nameofthedomesticindependentauditor | GongzhengTianyeCertifiedPublicAccountants(SpecialGeneralPartnership) |
TheCompany’spaymenttothedomesticindependentauditor(RMB’0,000) | 60 |
HowmanyconsecutiveyearsthedomesticindependentauditorhasprovidedauditservicefortheCompany | 19 |
Namesofthecertifiedpublicaccountantsfromthedomesticindependentauditorwritingsignaturesontheauditor’sreport | DaiWeizhong,XuWenxiang |
HowmanyconsecutiveyearsthecertifiedpublicaccountantshaveprovidedauditservicefortheCompany | DaiWeizhongfiveyears,XuWenxiangthreeyears |
IndicatebytickmarkwhethertheindependentauditorwaschangedfortheReportingPeriod.
□Yes√NoIndependentauditor,financialadvisororsponsorengagedfortheauditofinternalcontrols:
√Applicable□NotapplicableInthisyear,theCompanyretainedGongzhengTianyeCertifiedPublicAccountants(SpecialGeneralPartnership)astheauditinstitutionforitsinternalcontrolattheauditfeesofRMB120,000;theCompanyemployedIndustrialSecuritiesCo.,Ltd.andDonghaiSecuritiesCo.,Ltd.asco-sponsorunderwriterfornon-publicissuanceofAsharesin2020.Inthereportperiod,theCompanypaidthesponsorfeesofRMB1.50milliontoIndustrialSecuritiesCo.,Ltd.andDonghaiSecuritiesCo.,Ltd.respectively.
XPossibilityofDelistingafterDisclosureofthisReport
□Applicable√Notapplicable
XIInsolvencyandReorganization
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.XIIMajorLegalMatters
√Applicable□Notapplicable
Generalinformation | Involvedamount(RMB’0,000) | Provision | Progress | Decisionsandeffects | Executionofdecisions | Disclosuredate | Indextodisclosedinformation |
AsforthelawsuitagainstShandongHongliGroupCo.,Ltd.,thedefendantaccumulativelyowedtheCompany’spaymentforgoodsofRMB14.36million.TheCompanyfiledanappealtoChangzhouIntermediatePeople’sCourtin2001andappliedtothecourtforcompulsoryexecutioninApril2002.Theinsolvencyliquidationprocedureshavebeencompletedon12November2020andtheliquidityrateofarrearsoftheCompanywaszero. | 1,436 | None | Thejudgmentwasmadeatthesecondinstance | Notapplicable | Theinsolvencyliquidationprocedureshavebeencompleted. |
XIIIPunishmentsandRectifications
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.XIVCreditQualityoftheCompanyaswellasItsControllingShareholderandActualController
√Applicable□NotapplicableThedefactocontrolleroftheCompanyisSASACofChangzhouPeople’sGovernmentandthecontrolling
shareholderofitisChangzhouInvestmentGroupCo.,Ltd.Thereisnosuchcasethatthecontrollingshareholderfailstoperformanylegallyeffectivejudgmentofcourtsortopayoffmatureddebtswithalargeamount.XVEquityIncentivePlans,EmployeeStockOwnershipPlansorOtherIncentiveMeasuresforEmployees
□Applicable√Notapplicable
XVIMajorRelated-PartyTransactions
1.ContinuingRelated-PartyTransactions
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
2.Related-PartyTransactionsRegardingPurchaseorSalesofAssetsorEquityInterests
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
3.RelatedTransactionsRegardingJointInvestmentsinThirdParties
√Applicable□Notapplicable
Co-investor | Relation | Nameofinvestee | Mainbusinessofinvestee | Registeredcapitalofinvestee | Totalassetsofinvestee(RMB’0,000) | Netassetsofinvestee(RMB’0,000) | Netprofitofinvestee(RMB’0,000) |
ChangzhouInvestmentGroupCo.,Ltd. | ControllingshareholderoftheCompany | JiangsuHoushengNewEnergyTechnologyCo.,Ltd. | Li-ionbatterydiaphragm | RMB860million | 100,081.00 | 54,165.13 | -2,969.75 |
On11December2020,theBoardofDirectorsoftheCompanydiscussedandapprovedtheProposalonParticipatinginEquityCapitalIncreaseandRelatedTransactionsofJiangsuHoushengNewEnergyTechnologyCo.,Ltd.,andagreedtheCompanyandthecontrollingshareholderChangzhouInvestmentGroupCo.,Ltd.toinvestRMB26.25millionrespectivelyforequitycapitalincreaseinJiangsuHoushengNewEnergyTechnologyCo.,Ltd.Forthedetails,pleaseseetheNoticeforParticipatinginEquityCapitalIncreaseandRelatedTransactionsofJiangsuHoushengNewEnergyTechnologyCo.,Ltd.(No.2020-074)disclosedbytheCompanyonwww.cninfo.com.cnon12December2020.ThebusinessregistrationchangeofJiangsuHoushengNewEnergyTechnologyCo.,Ltd.wascompletedon31December2020.TheCompanypaidtheinvestmentfundinJanuary2021.
4.CreditsandLiabilitieswithRelatedParties
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
5.OtherMajorRelated-PartyTransactions
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
XVIIMajorContractsandExecutionthereof
1.Entrustment,ContractingandLeases
(1)Entrustment
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
(2)Contracting
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
(3)Leases
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
2.Majorguarantees
√Applicable□Notapplicable
(1)Guarantees
Unit:RMB'0,000
GuaranteesprovidedbytheCompanyastheparentanditssubsidiariesforexternalparties(exclusiveofthoseforsubsidiaries) | ||||||||
Obligor | Disclosuredateoftheguaranteelineannouncement | Lineofguarantee | Actualoccurrencedate(dateofagreementsigning) | Actualguaranteeamount | Typeofguarantee | Termofguarantee | Havingexpiredornot | Guaranteeforarelatedpartyornot |
GuaranteesbetweentheCompanyastheparentanditssubsidiaries | ||||||||
Obligor | Disclosuredateoftheguaranteelineannouncement | Lineofguarantee | Actualoccurrencedate(dateofagreementsigning) | Actualguaranteeamount | Typeofguarantee | Termofguarantee | Havingexpiredornot | Guaranteeforarelatedpartyornot |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | 25November2019 | 2,000 | 16April2020 | 2,000 | Jointliability | 1year | No | No |
TotalapprovedlineforsuchguaranteesintheReportingPeriod(B1) | 2,000 | TotalactualamountofsuchguaranteesintheReportingPeriod(B2) | 2,000 | |||||
TotalapprovedlineforsuchguaranteesattheendoftheReportingPeriod(B3) | 2,000 | TotalactualbalanceofsuchguaranteesattheendoftheReportingPeriod(B4) | 2,000 | |||||
Guaranteesprovidedbetweensubsidiaries |
Obligor | Disclosuredateoftheguaranteelineannouncement | Lineofguarantee | Actualoccurrencedate(dateofagreementsigning) | Actualguaranteeamount | Typeofguarantee | Termofguarantee | Havingexpiredornot | Guaranteeforarelatedpartyornot |
Totalguaranteeamount(totalofthethreekindsofguaranteesabove) | ||||||||
TotalguaranteelineapprovedintheReportingPeriod(A1+B1+C1) | 2,000 | TotalactualguaranteeamountintheReportingPeriod(A2+B2+C2) | 2,000 | |||||
TotalapprovedguaranteelineattheendoftheReportingPeriod(A3+B3+C3) | 2,000 | TotalactualguaranteebalanceattheendoftheReportingPeriod(A4+B4+C4) | 2,000 | |||||
Totalactualguaranteeamount(A4+B4+C4)as%oftheCompany’snetassets | 0.88% | |||||||
Ofwhich: | ||||||||
Balanceofguaranteesprovidedforshareholders,actualcontrollerandtheirrelatedparties(D) | 0 | |||||||
Balanceofdebtguaranteesprovideddirectlyorindirectlyforobligorswithanover70%debt/assetratio(E) | 2,000 | |||||||
Amountbywhichthetotalguaranteeamountexceeds50%oftheCompany’snetassets(F) | 0 | |||||||
Totalofthethreeamountsabove(D+E+F) | 2,000 | |||||||
Explanationonpossibilitytobearjointliabilityduetoundueguarantees(ifany) | N/A | |||||||
Explanationontheexternalguaranteesinviolationofstipulatedprocedures(ifany) | N/A |
(2)IrregularitiesinProvisionofGuarantees
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
3.CashEntrustedtoOtherEntitiesforManagement
(1)CashEntrustedforWealthManagement
√Applicable□NotapplicableOverviewsofcashentrustedforwealthmanagementduringtheReportingPeriod
Unit:RMB’0,000
Specifictype | Capitalresources | Amountincurred | UndueBalance | Overdueamount |
Brokerfinancialproducts | Self-ownedfunds | 3,072.30 | 1,130.00 | 0.00 |
Particularsofcashentrustedforwealthmanagementwithsinglesignificantamountorlowsecurity,badliquidity,
andnocapitalpreservation
□Applicable√NotapplicableWhetherthereisthecasewheretheprincipalcannotberecoveredatmaturityorothercasewhichmaycauseimpairmentforentrustedassetmanagement
□Applicable√Notapplicable
(2)EntrustedLoans
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
4.ContinuingMajorContracts
□Applicable√Notapplicable
5.OtherMajorContracts
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
XVIIICorporateSocialResponsibility(CSR)
1.MeasuresTakentoFulfillCSRCommitmentTheCompanyisundercompliancemanagementandstableoperation,createseconomicbenefit,performsitssocialliabilityandactivelyparticipatesinconstructionofharmonioussociety.Bytaking"ProvideGreenPowerforABetterLife"asitscorporatemissionand"CustomerFirst,StaffFirst,RewardingShareholdersandBenefitingtheSociety"asitscorevalue,theCompanypaysattentiontotheinterestsofallparties,earnestlyfulfilltheresponsibilitiesandobligationsduetoshareholders,employees,consumers,suppliersandotherparties,andsupportandassistcommondevelopment.Overtheyears,theCompanyhasformedanenterpriseculturesystemof"LoveCountryaswellasLoveFactory,WorkDowntoEarthaswellasGoodatInnovation,StrictinDiscipline,andNobleinEthics",andstrivestoachievethecoordinationandunitybetweenenterprisedevelopmentandecologicalandenvironmentalprotectionaswellassocialharmony.I.Compliancemanagementforensuringinterestsofallshareholders.TheCompanyhasestablisheditsperfectcorporategovernancestructureandsoundinternalcontrolsystem,strengthensriskmanagementandinternalsupervisionandimprovesscientificdecisionlevelinaccordancewiththeCompaniesLaw,SecuritiesLaw,CodeofCorporateGovernanceforListedCompanies,ListingRulesofShenzhenStockExchangeandotherlawsandregulations,standarddocumentsoncorporategovernanceforlistedcompaniesandarticlesofassociationoftheCompany.Inthereportperiod,thegeneralmeeting,boardofdirectors,boardofsupervisorsoftheCompanywereconvened,anddecision-makingprocesswasperformedinaccordancewithlaws,regulationsandrules,exerciseofdutiesandpowerswassubjecttorelevantlawsandregulations,andinterestsofallshareholderswereproperlyprotected.TheinformationdisclosureoftheCompanywasincompliancewithrelevantrulesandthedisclosedinformationwastrue,accurateandcompletesoastoensureshareholders’righttolearnthetruthandprovidesufficientinvestmentinformationforinvestors.TheCompanyproperlymanagedinvestors,keptsmoothandeffectivecommunicationwithshareholdersandfairlytreatedallshareholders.TheCompanyattachedimportancetomanagementofinsiderinformationandnocircumstanceofinsiderdealingorimpairingshareholder’sinterestexistedintheCompanyinthereportperiod.II.Loveemployeesandprotecttheirlegalrightsandinterests.TheCompanysignslaborcontractswithitsstaffinaccordancewiththeLaborLaw,LaborContractLaw,SocialInsuranceLawandotherlawsandregulations,protectlegalrightsandinterestsofemployees,payssocialinsurancesforemployeesonschedule,carriesoutphysicalexaminationsforemployeesandguaranteestheirleaveinterest,includingannualleave,marriageleaveandmaternityleave.TheCompanypaysattentiontomajorfamilyaffairsofemployees,assiststheminbalancingworkandlife,andpromptlyprovidesspiritcomfortandactualassistanceatthecrucialmoment.Byestablishinga
reasonablehumanresourcemanagementsystemandperfectperformanceexaminationsystem,theCompanypayscloseattentiontopersonneltraining,buildsupsteadyandharmoniouslaborcapitalrelationship,improvessenseofbelongingandsenseofcollectivehonorofemployeesandpromotescommongrowthofemployeesandenterprise.III.Maintainhonestybusinessoperationandbalanceinterestsofallconcernedparties.TheCompanykeepshonestybusinessoperationonthebasisofmutualbenefitandhasobtainedhonorssuchasQualityBenchmarkEnterpriseofChina,Top100QualityInspectionBenchmarkEnterprise.TheCompanyalwaysinsistsonthemoralstandardof“goodfaith”,strengthensqualitymanagement,providessatisfactoryservicestocustomersandmaintainslong-termcooperationwithsuppliers.TheCompanyfirstselectsthosesupplierswhoownadvancedtechnologiesandsupplygreenproducts,andsupportstheirtechnicalprogressandenvironmentalprotectionefforts.TheCompanykeepsimprovingservicelevelbasedonmarketdemandandsituationchange,providesefficientservicesforcustomersandestablishesaperfectservicesystems.IV.Followthestrategicdevelopmentdirection,insistonmajorbusinessandextendscopeofbusiness.Basedonthenationalpoliciesandactualsituation,theCompanytakestheopportunityofemissionstandardupdatingofnon-roadmachineryandruralconstructiontopromotetheresearchanddevelopmentofagriculturalmachineryproductsandspeedsupproductupdating,andpromotesthesupportingapplicationofproducts.TheCompanyhascontinuouslyimplementedthemeasuresofenergyconservationandemissionreduction,improvedtheefficiencyofenergyutilization,andachievedremarkableresultsincostandexpenditurereduction,andithaspromotedtheCompanytocontinuouslyimproveitsgovernancesystemandenhanceitsmanagementlevel.Underthesupportofrelevantgovernmentdepartments,theCompanyproceedstheconstructionofindustrialparksinaccordancewithurbanplanninginanorderlymannertoformindustrialagglomerationfortheimplementofurbanplanningandagreenandharmoniouslivingenvironment.TheCompanyutilizesfinancingplatformstoactivelypromotere-financingforprojectdevelopmentandindustrytransformationandupgrade.TheCompanyalsoactivelyextendsnewinvestmentprojectsandimprovesitscompetiveness.V.Activelycarryoutcharityactivities.TheCompanysupportseducation.AfterChangchaiHopePrimarySchoolwasbuiltup25yearsago,theCompanydonatedseveraltimesfortheschooltosupportitsoperationandimproveitsteachinglevel;theCompanysetupChangchaiAwardFundincollegesanduniversitiesandpaidRMB1millionintotalforencouragingstudentstoworkhardandserveourmotherland.TheCompanyactivelyparticipatesinrelevantcharityactivitiesanddonatesdifficultresidentseveryyear.TheCompanyalwaysremembersitssocialresponsibilitiesanddoesnotforgetsocialcontributioninbusinessoperation,forexample,helpfarmers,donationforfightingblood;encouragesitsemployeestoparticipateinblooddonation,volunteerservice,environmentalprotectionandotherbeneficialactivities.
2.MeasuresTakenforTargetedPovertyAlleviation
(1)PlansRespondingtothecalloftheCentralCommitteeoftheCommunistYouthLeagueofChina,Province,CityandChangzhouHopeproject,theCompanyparticipatesinpovertyalleviationactivitiesandsupportsthebusinessofeducationofChina.
(2)SummaryoftheRelatedWorkDoneintheReportingPeriodDuringtheReportingPeriod,theCompanydonatedRMB250,000totheHopePrimarySchoolthatwebuiltupin1995bytheCompany,foritsfurtherdevelopment.
(3)Results
Indicator | Measurementunit | Quantity/Progress |
1.Generalresults | —— | —— |
Ofwhich:1.1Funds | Tenthousand | 25 |
1.2Materialsconvertedintocash | Tenthousand | |
1.3Numberofpersonsoutofpovertywhichwerehelpedtosetupfilecard | Person | |
2.Itemizedresults | —— | —— |
2.1Outofpovertybyindustrialdevelopment | —— | —— |
2.2Outofpovertybytransferringemployment | —— | —— |
2.3Outofpovertybyrelocation | —— | —— |
2.4Outofpovertybyeducation | —— | —— |
Ofwhich:2.4.1Investedamountstosubsidizepoorstudents | Tenthousand | |
2.4.2Numberofpoorstudentssubsidized | Person | |
2.4.3Investedamountstoimproveeducationresourcesinpoverty-strickenarea | Tenthousand | 25 |
2.5Outofpovertybyimprovinghealth | —— | —— |
2.6Outofpovertybyprotectingecologicalenvironment | —— | —— |
2.7Subsidyforthepoorest | —— | —— |
2.8Socialpovertyalleviation | —— | —— |
2.9Otheritems | —— | —— |
3.Accoladesreceived(forwhatandatwhatlevel) | —— | —— |
ThecaseofChangchaidonatinginconstructionanddevelopmentoftheHopeprimaryschoolbecameanexcellentcaseonpovertyalleviationintheagriculturalmachineryindustryofChina. |
(4)SubsequentPlansIn2020,theFifthPlenumofthe17thCPCCentralCommitteelisted“consolidatingpovertyalleviationresultandoverallimplementationofruralrevitalizationstrategy”themajortargetsoftheeconomicandsocialdevelopmentinthe“fourteenthfive-yearplan”.TheCompanywillactivelyparticipateinpovertyalleviationworkaccordingtothecalloftheCommunistPartyofChinaandthegovernmentalplanningandmakeitsowncontributionforrealizingcommonprosperityinChina.
3.IssuesRelatedtoEnvironmentalProtectionIndicatebytickmarkwhethertheCompanyoranyofitssubsidiariesisidentifiedasamajorpolluterbytheenvironmentalprotectionauthorities.
□Yes√NoTheCompanyanditssubsidiariesarenotthemajorpolluteridentifiedbytheenvironmentalprotectionauthoritiesofChinaduringtheReportingPeriod.TheCompanyattachesgreatimportancetotheworkofenvironmentalprotection,andrequiresthesubsidiariestobuildcorrespondingenvironmentalprotectionfacilitiesaccordingtotheactualsituationofproductionandoperation,strictlycontrollingthepollutants,like“wastegas,wastewater,andwasteresidue”generatedfromtheproductionprocess.XIXOtherSignificantEvents
√Applicable□NotApplicable
1.Non-publicofferingmattersin2020On9April2020,the24
th
meetingofthe8
th
boardofdirectorsoftheCompanydiscussedandapprovedtheNon-publicOfferingPlanoftheCompanyfor2020.TheCompanyintendedtomakenon-publicissuanceof
domesticcommonshareslistedinRMBtospecificobjects,andthismatterwasapprovedbythecontrollingshareholderChangzhouInvestmentGroupCo.,Ltd.andwasreviewedandadoptedinthemeetingofshareholdersof2019.On18September2020,thetemporarymeetingoftheboardofdirectorsoftheCompanydiscussedandapprovedtherelevantrevisionmattersconcerningnon-publicissuanceofshares,theCompanysupplementedandimprovedtheforesaidplanaccordingtotherelevantrevisionmatters,andpreparedtheNon-publicOfferingPlanoftheCompanyfor2020(RevisionVersion),whichwasdiscussedandapprovedinthesecondtemporarymeetingofshareholdersin2020.TheapplicationoftheCompanyaboutnon-publicofferingin2020wasreviewedandapprovedbytheIssuanceExaminationCommissionofChinaSecuritiesRegulatoryCommissionandtheCompanyreceivedthewrittenapprovaldocumentfromChinaSecuritiesRegulatoryCommission.NowtheCompanyisactivelycarryingoutrelevantworkonnon-publicoffering.XXSignificantEventsofSubsidiaries
□Applicable√Notapplicable
PartVIShareChangesandShareholderInformation
I.ShareChanges
1.ShareChanges
Unit:share
Before | Increase/decreaseintheReportingPeriod(+/-) | After | |||||||
Shares | Percentage(%) | Newissues | Sharesasdividendconvertedfromprofit | Sharesasdividendconvertedfromcapitalreserves | Other | Subtotal | Shares | Percentage(%) | |
I.Restrictedshares | 0 | 0.00% | 0 | 0.00% | |||||
1.Sharesheldbythestate | 0 | 0.00% | 0 | 0.00% | |||||
2.Sharesheldbystate-ownLegal-person | 0 | 0.00% | 0 | 0.00% | |||||
3.Sharesheldbyotherdomesticinvestors | 0 | 0.00% | 0 | 0.00% | |||||
Amongwhich:sharesheldbydomesticlegalperson | 0 | 0.00% | 0 | 0.00% | |||||
Sharesheldbydomesticnaturalperson | 0 | 0.00% | 0 | 0.00% | |||||
4.Overseashareholdings | 0 | 0.00% | 0 | 0.00% | |||||
Amongwhich:sharesheldbyoversealegalperson | 0 | 0.00% | 0 | 0.00% | |||||
Sharesheldbyoverseanaturalperson | 0 | 0.00% | 0 | 0.00% | |||||
II.Unrestrictedshares | 561,374,326 | 100.00% | 561,374,326 | 100.00% | |||||
1.RMBordinaryshares | 411,374,326 | 73.28% | 411,374,326 | 73.28% | |||||
2.Domesticallylistedforeignshares | 150,000,000 | 26.72% | 150,000,000 | 26.72% |
3.Overseaslistedforeignshares | 0 | 0.00% | 0 | 0.00% | |
4.Other | 0 | 0.00% | 0 | 0.00% | |
III.Totalshares | 561,374,326 | 100.00% | 561,374,326 | 100.00% |
Reasonsforsharechanges:
□Applicable√NotapplicableApprovalofsharechanges:
□Applicable√NotapplicableTransferofshareownership:
□Applicable√NotapplicableProgressonanysharerepurchases:
□Applicable√NotapplicableProgressonreducingtherepurchasedsharesbymeansofcentralizedbidding:
□Applicable√NotapplicableEffectsofsharechangesonthebasicanddilutedearningspershare,equitypershareattributabletotheCompany’sordinaryshareholdersandotherfinancialindicatorsoftheprioryearandtheprioraccountingperiod,respectively:
□Applicable√NotapplicableOtherinformationthattheCompanyconsidersnecessaryorisrequiredbythesecuritiesregulatortobedisclosed:
□Applicable√Notapplicable
2.ChangesinRestrictedShares
□Applicable√NotapplicableII.IssuanceandListingofSecurities
1.Securities(ExclusiveofPreferredShares)IssuedintheReportingPeriod
□Applicable√Notapplicable
2.ChangestoTotalShares,ShareholderStructureandAssetandLiabilityStructures
□Applicable√Notapplicable
3.ExistingStaff-HeldShares
□Applicable√NotapplicableIIIShareholdersandActualController
1.ShareholdersandTheirShareholdingsatthePeriod-End
Unit:share
Numberofordinaryshareholders | 47,770 | Numberofordinaryshareholdersatthemonth-endpriortothedisclosureofthisReport | 57,470 | Numberofpreferredshareholderswithresumedvotingrights | 0 | Numberofpreferredshareholderswithresumedvotingrightsatthemonth-endpriortothedisclosureofthisReport | 0 | |||||||
5%orgreatershareholdersortop10shareholders | ||||||||||||||
Nameofshareholder | Natureofshareholder | Shareholdingpercent | Totalsharesheldattheperiod-end | Increase/decreaseinthe | Restrictedsharesheld | Unrestrictedsharesheld | Sharesinpledgeorfrozen | |||||||
Status | Shares |
age | ReportingPeriod | ||||||
ChangzhouInvestmentGroupCo.,Ltd | State-ownedlegalperson | 30.43% | 170,845,236 | 170,845,236 | |||
ChinaConstructionBank-FirstStateCindaNewEnergyIndustryStockTypeSecuritiesInvestmentFund | Other | 1.47% | 8,233,132 | 8,233,132 | |||
KGIASIALIMITED | Foreignlegalperson | 0.57% | 3,189,845 | 3,189,845 | |||
ChenJian | Domesticnaturalperson | 0.49% | 2,764,000 | 2,764,000 | |||
LiSuinan | Domesticnaturalperson | 0.28% | 1,548,100 | 1,548,100 | |||
HuangGuoliang | Domesticnaturalperson | 0.27% | 1,528,891 | 1,528,891 | |||
ZengLi | Domesticnaturalperson | 0.24% | 1,360,000 | 1,360,000 | |||
ChenHengjun | Domesticnaturalperson | 0.23% | 1,281,000 | 1,281,000 | |||
XueHong | Domesticnaturalperson | 0.22% | 1,240,000 | 1,240,000 | |||
HuWenyong | Domesticnaturalperson | 0.22% | 1,230,066 | 1,230,066 | |||
Strategicinvestororgenerallegalpersonbecomingatop-10ordinaryshareholderduetorightsissue | N/A | ||||||
Relatedoracting-in-concertpartiesamongtheshareholdersabove | Itisunknownwhetherthereisamongthetop10publicshareholdersandthetop10unrestrictedpublicshareholdersanyrelatedpartiesoracting-in-concertpartiesasdefinedintheAdministrativeMeasuresforInformationRegardingShareholdingAlteration. |
Aboveshareholdersinvolvedinentrusting/beingentrustedwithvotingrightsandgivingupvotingrights | N/A | ||
Top10unrestrictedshareholders | |||
Nameofshareholder | Unrestrictedsharesheldattheperiod-end | Sharesbytype | |
Type | Shares | ||
ChangzhouInvestmentGroupCo.,Ltd | 170,845,236 | RMBordinaryshares | 170,845,236 |
ChinaConstructionBank-FirstStateCindaNewEnergyIndustryStockTypeSecuritiesInvestmentFund | 8,233,132 | RMBordinaryshares | 8,233,132 |
KGIASIALIMITED | 3,189,845 | Domesticallylistedforeignshares | 3,189,845 |
ChenJian | 2,764,000 | RMBordinaryshares | 2,764,000 |
LiSuinan | 1,548,100 | Domesticallylistedforeignshares | 1,548,100 |
HuangGuoliang | 1,528,891 | Domesticallylistedforeignshares | 1,528,891 |
ZengLi | 1,360,000 | RMBordinaryshares | 1,360,000 |
ChenHengjun | 1,281,000 | RMBordinaryshares | 1,281,000 |
XueHong | 1,240,000 | Domesticallylistedforeignshares | 1,240,000 |
HuWenyong | 1,230,066 | Domesticallylistedforeignshares | 1,230,066 |
Relatedoracting-in-concertpartiesamongtop10unrestrictedpublicshareholders,aswellasbetweentop10unrestrictedpublicshareholdersandtop10shareholders | Itisunknownwhetherthereisamongthetop10publicshareholdersandthetop10unrestrictedpublicshareholdersanyrelatedpartiesoracting-in-concertpartiesasdefinedintheAdministrativeMeasuresforInformationRegardingShareholdingAlteration. | ||
Top10ordinaryshareholdersinvolvedinsecuritiesmargintrading | TheshareholdersChenJianheld900,000sharesoftheCompanythroughthecreditaccounts. |
Indicatebytickmarkwhetheranyofthetop10ordinaryshareholdersorthetop10unrestrictedordinaryshareholdersoftheCompanyconductedanypromissoryrepoduringtheReportingPeriod.
□Yes√No
2.ControllingShareholderNatureofthecontrollingshareholder:Controlledbyalocalstate-ownedlegalpersonTypeofthecontrollingshareholder:Legalperson
Nameofcontrollingshareholder | Legalrepresentative/personincharge | Dateofestablishment | Unifiedsocialcreditcode | Principalactivity |
ChangzhouInvestmentGroupCo.,Ltd | ChenLimin | 20June2002 | 91320400467283980X | Propertyinvestmentandmanagement |
Controllingshareholder’s | None |
ChangeofthecontrollingshareholderintheReportingPeriod:
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.
3.ActualControllerandItsActing-in-ConcertPartiesNatureoftheactualcontroller:Localinstitutionforstate-ownedassetsmanagementTypeoftheactualcontroller:Legalperson
holdingsinotherlistedcompaniesathomeorabroadintheReportingPeriodNameofactualcontroller
Nameofactualcontroller | Legalrepresentative/personincharge | Dateofestablishment | Unifiedsocialcreditcode | Principalactivity |
State-ownedAssetsSupervisionandAdministrationCommissionofChangzhouMunicipalPeople’sGovernment | LiuYuedong | 01411025-1 | Notapplicable | |
OtherlistedcompaniesathomeorabroadcontrolledbytheactualcontrollerintheReportingPeriod | None |
ChangeoftheactualcontrollerduringtheReportingPeriod:
□Applicable√NotapplicableNosuchcasesintheReportingPeriod.OwnershipandcontrolrelationsbetweentheactualcontrollerandtheCompany:
AccordingtothedocumentofChangzhouMunicipalPeople'sGovernment(CZF[2006]No.62]),thecontrollingshareholderChangzhouInvestmentGroupCo.,Ltd.istheenterprisetoperformtheinvestorrolefortheState-ownedAssetsSupervisionandAdministrationCommissionofChangzhouMunicipalPeople’sGovernmentasauthorizedbyChangzhouMunicipalPeople’sGovernment.Thus,theState-ownedAssetsSupervisionandAdministrationCommissionofChangzhouMunicipalPeople’sGovernmentistheactualcontrollerofthe
Company.IndicatebytickmarkwhethertheactualcontrollercontrolstheCompanyviatrustorotherwaysofassetmanagement.
□Applicable√Notapplicable
4.Other10%orGreaterCorporateShareholders
□Applicable√Notapplicable
5.LimitationsonShareholdingDecreasebytheCompany’sControllingShareholder,ActualController,ReorganizerandOtherCommitmentMakers
□Applicable√Notapplicable
PartVIIPreferredShares
□Applicable√NotapplicableNopreferredsharesintheReportingPeriod.
PartVIIIConvertibleCorporateBonds
□Applicable√NotapplicableNoconvertiblecorporatebondsintheReportingPeriod.
PartIXDirectors,Supervisors,SeniorManagementandStaffIChangeinShareholdingsofDirectors,SupervisorsandSeniorManagement
Name | Officetitle | Incumbent/Former | Gender | Age | Startoftenure | Endoftenure | Endingshareholding(share) |
ShiXinkun | ChairmanoftheBoard | Incumbent | Male | 57 | 18October2016 | Uptonow | 0 |
ZhangXin | Director,GeneralManager | Incumbent | Male | 55 | 18October2016 | Uptonow | 0 |
LinTian | Director | Incumbent | Male | 58 | 17December2018 | Uptonow | 0 |
XuYi | Director,Vice-generalManager | Incumbent | Male | 57 | 16April2020 | Uptonow | 0 |
JiangHe | Director,ChiefAccountant | Incumbent | Male | 49 | 16April2020 | Uptonow | 0 |
YangFeng | Director | Incumbent | Male | 49 | 16April2020 | Uptonow | 0 |
WangMancang | Independentdirector | Incumbent | Male | 58 | 16April2020 | Uptonow | 0 |
XingMin | Independentdirector | Incumbent | Male | 67 | 16April2020 | Uptonow | 0 |
ZhangYan | Independentdirector | Incumbent | Female | 51 | 16April2020 | Uptonow | 0 |
YinLihou | Vice-generalManager | Incumbent | Male | 57 | 18October2016 | Uptonow | 0 |
XieGuozhong | Vice-generalManager | Incumbent | Male | 52 | 16April2020 | Uptonow | 0 |
SunJianzhong | Vice-generalManager | Incumbent | Male | 49 | 16April2020 | Uptonow | 0 |
HeJianguang | ChairmanoftheSupervisoryCommittee | Incumbent | Male | 57 | 17December2020 | Uptonow | 0 |
LuZhonggui | Supervisor | Incumbent | Male | 54 | 18October2016 | Uptonow | 0 |
LiuYi | Supervisor | Incumbent | Male | 52 | 18October2016 | Uptonow | 0 |
ChenLijia | Supervisor | Incumbent | Female | 38 | 16April2020 | Uptonow | 0 |
GeJiangli | Supervisor | Incumbent | Female | 51 | 16April2020 | Uptonow | 0 |
HeJianjiang | SecretaryoftheBoard | Incumbent | Male | 42 | 18October2016 | Uptonow | 0 |
ShiJianchun | Director,Vice-generalManager | Former | Male | 59 | 18October2016 | 16April2020 | 0 |
ZhangQiong | Director | Former | Female | 63 | 18October2016 | 16April2020 | 0 |
LiMinghui | Independentdirector | Former | Male | 47 | 18October2016 | 16April2020 | 0 |
JiaBin | Independentdirector | Former | Male | 43 | 18October2016 | 16April2020 | 0 |
FengGenfu | Independentdirector | Former | Male | 64 | 18October2016 | 16April2020 | 0 |
LiuXiaoyun | Vice-generalManager | Former | Male | 59 | 18October2016 | 16April2020 | 0 |
WeiJinxiang | Vice-generalManager | Former | Male | 58 | 18October2016 | 16April2020 | 0 |
NiMingliang | ChairmanoftheSupervisoryCommittee | Former | Male | 54 | 18October2016 | 17December2020 | 0 |
ZhuMin | Supervisor | Former | Male | 57 | 18October2016 | 16April2020 | 0 |
Total | -- | -- | -- | -- | -- | -- | 0 |
IIChangeofDirectors,SupervisorsandSeniorManagement
Name | Officetitle | Typeofchange | Dateofchange | Reasonforchange |
ShiJianchun | Director,Vice-generalManager | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
ZhangQiong | Director | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
LiMinghui | Independentdirector | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
JiaBin | Independentdirector | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
FengGenfu | Independentdirector | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
LiuXiaoyun | Vice-generalManager | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
WeiJinxiang | Vice-generalManager | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
NiMingliang | ChairmanoftheSupervisoryCommittee | Left | 17December2020 | Jobchange |
ZhuMin | Supervisor | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
XuYi | Director | Elected | 16April2020 | Generalelection |
XuYi | Vice-generalManager | Appointed | 16April2020 | AppointedbytheBoard |
JiangHe | Director | Elected | 16April2020 | Generalelection |
IIIBiographicalInformation
Professionalbackgrounds,majorworkexperienceandcurrentdutiesintheCompanyoftheincumbentdirectors,supervisorsandseniormanagement:
ShiXinkun:Nowheactsasvice-presidentofChangzhouInvestmentGroupCo.,Ltd.,theChairmanoftheBoardandPartySecretaryintheCompanyandthedirectorinJiangsuHoushengNewEnergyTechnologyCo.,Ltd.ZhangXin:HesuccessivelytookthepostsofSalesManager,GeneralManagerAssistant,andvice-generalmanagerinourcompany.Now,heactsasDirector,GeneralManager,deputyPartySecretaryoftheCompanyandexecutivedirectorofJiangsuChangchaiMachineryCo.,Ltd.LinTian:HesuccessivelyworkedasdeputydirectorofenterprisedevelopmentDept.,GMofinvestmentmanagementDept.IIandI,assistantpresidentinChangzhouInvestmentGroupCo.,Ltd.Nowheisthevicepresident,directorofChangzhouInvestmentGroupCo.,Ltd.,andthedirectoroftheCompany.XuYi:successivelyservedasthedirectorandassistanttotheGMoftheCompany’stechnologycenter,andcurrentlyservesasthedirectoranddeputyGMoftheCompany.JiangHe:successivelyservedastheaccountant,assistanttotheminister,andviceministerofthefinancialdepartmentoftheCompany.Heiscurrentlyadirector,chiefaccountantandministerofthefinancialdepartmentoftheCompany.YangFeng:successivelyservedasthebusinessmanageroftheShanghaiInvestmentBankingDepartmentofChinaEconomicDevelopmentTrustandInvestmentCo.,Ltd.,businessdirectoroftheinvestmentbankingdepartmentofOrientSecuritiesCo.,Ltd.,GMofandassistantchairmanofAJSecurities’investmentbankingdepartment,operationmanagementheadquarters,workedinthedevelopmentfinancedepartmentandinvestment
JiangHe | ChiefAccountant | Appointed | 16April2020 | AppointedbytheBoard |
YangFeng | Director | Elected | 16April2020 | Generalelection |
WangMancang | Independentdirector | Elected | 16April2020 | Generalelection |
XingMin | Independentdirector | Elected | 16April2020 | Generalelection |
ZhangYan | Independentdirector | Elected | 16April2020 | Generalelection |
XieGuozhong | Supervisor | Leftforexpirationofappointment | 16April2020 | Leftforexpirationofappointment |
XieGuozhong | Vice-generalManager | Appointed | 16April2020 | AppointedbytheBoard |
SunJianzhong | Vice-generalManager | Appointed | 16April2020 | AppointedbytheBoard |
HeJianguang | ChairmanoftheSupervisoryCommittee | Elected | 17December2020 | Elected |
ChenLijia | Supervisor | Elected | 16April2020 | Generalelection |
GeJiangli | Supervisor | Elected | 16April2020 | Generalelection |
bankingdepartment,andservedastheEGMintheequipmentgroup,investmentrecommendationgroup,NEEQbusinessdepartmentandcomprehensivegroupofCITICSecuritiesCo.,Ltd.CurrentlyservingasthedirectorandGMofShanghaiLingheAssetManagementPartnership(LP),DaiwaSecuritiesChinaCo.,Ltd.,andthedirectoroftheCompany.WangMancang:successivelyservedasateacher,lecturer,lecturerandprofessorintheDepartmentofFinanceoftheSchoolofEconomicsandManagementofNorthwestUniversity,andcurrentlyservesasthedirectoroftheDepartmentofFinanceoftheSchoolofEconomicsandManagementofNorthwestUniversity,andthedirectorofInstituteofPublicEconomics,counselorofXi'anmunicipalgovernment,expertofthe"financialgroup"ofthegovernmentdecisionadvisorycommittee,independentdirectorofXi'anChenxiAviationTechnologyCorp.,Ltd.,ShaanxiConstructionMachineryCo.,Ltd,Chang'anInternationalTrustCo.,Ltd.,FocuslightTechnologiesInc.andtheCompany.XingMin:successivelyservedassecretaryofthePartyCommitteeandadministrativeassistantgeneralmanager(AGM)ofChinaNationalHeavyMachineryCorporation;secretaryofthePartyCommitteeandGMofChinaNationalMachineToolSalesandTechnicalServiceCorporation(CNMTC);currentlySecretary-GeneralofChinaInternalCombustionEngineIndustryAssociation(CICEIA),IndependentDirectorofZYNPCorporation,ZhejiangZhongjianTechnologyCo.,Ltd.,JiangsuYunyiElectricCo.,Ltd.,andtheCompany.ZhangYan:successivelyservedaschiefaccountantofChangzhouZhengdaCertifiedPublicAccountantsCo.,Ltd.,executivedeputychiefaccountantofJiangsuGongzhengCertifiedPublicAccountantsCo.,Ltd.,currentlyassociateprofessorofBusinessSchoolofJiangsuUniversityofTechnology,independentnon-executivedirectorofS-EnjoyServiceGroupCo.,Limited,independentdirectorofJiangsuChanghaiCompositeMaterialsCo.,Ltd.,WuxiSAHATElectricTechnologyCo.,Ltd.,JiangsuTianmuLakeTourismCo.,Ltd.andtheCompany.YinLihou:HeworkedasMinisterofHumanResourcesDepartmentandGeneralManagerAssistant.NowheactsasDeputyGeneralManageroftheCompany,andtheChairmanoftheBoardofChangchaiRobin.XieGuozhong:NowheactsasGeneralManagerAssistantoftheCompany,GeneralManagerandSecretaryofPartyGeneralBranchoftheSalesCompany,SupervisorandDeputyGMoftheCompanyandChairmanoftheBoardofChangchaiWanzhou.SunJianzhong:successivelyservedasthedirectorofthetechnicalcenterandassistanttothegeneralmanageroftheCompany.HeiscurrentlythedeputygeneralmanageroftheCompany.HeJianguang:successivelyservedasdeputychiefofDesignSectionofChangzhouDieselEngineFactory,engineerofProductDevelopmentDepartment,deputydirectoroftheCompany’sJointVentureOffice,deputydirectorofTechnologyCenter,chiefengineer,director,generalmanager,vicechairmanofChangzhouDieselEngineFactory,amemberofthePartycommittee,secretaryoftheDisciplineInspectionCommissionandsupervisorofChangzhouInvestmentGroupCo.,Ltd.,currentlyamemberofthePartyCommitteeofChangzhouInvestmentGroupCo.,Ltd.,andchairmanoftheboardofsupervisorsoftheCompany.ChenLijia:generalmanagerofriskcontrollegaldepartmentofChangzhouInvestmentGroupCo.,Ltd.andsupervisoroftheCompany.GeJiangli:directorandsupervisorofHumanResourcesDepartmentoftheCompany.LuZhonggui:NowheactsasMinisterofpoliticalDepartmentoftheCompany,OfficeDirector,Secretaryof
OrganPartyGeneralBranchaswellasemployeesupervisoroftheCompanyandDirectorofXingshengRealEstateManagement.LiuYi:HesuccessivelytookthepostsofAssistantMinisterofEnterpriseManagementDepartment.NowheactsasDeputyDirectorofAuditDepartmentandemployeesupervisoroftheCompany,ChangchaiWanzhou,ChangchaiBenniu,HoushengInvestment,HoushengAgriculturalEquipment,ChangchaiRobin,ChangchaiMachineryandXingshengRealEstateManagement.HeJianjiang:HesuccessivelyactedastheSectionMember,AssistantMinister,ViceMinisterofInvestmentandDevelopmentDepartment,RepresentativeofSecuritiesintheCompany.NowheisSecretaryoftheBoardandMinisterofInvestmentandDevelopmentDepartmentinourCompany,andDirectorGMofHoushengInvestment,DirectorofHoushengAgriculturalEquipmentandChangchaiWanzhou.Officesheldconcurrentlyinshareholdingentities:
√Applicable□Notapplicable
Name | Shareholdingentity | Officeheldintheshareholdingentity | Startoftenure | Endoftenure | Remunerationorallowancefromtheshareholdingentity |
LinTian | ChangzhouInvestmentGroupCo.,Ltd. | Vicepresident,director | December2017 | Yes | |
ChenLijia | ChangzhouInvestmentGroupCo.,Ltd. | GMofRiskControlLegalDepartment | March2018 | Yes | |
ShiXinkun | ChangzhouInvestmentGroupCo.,Ltd. | Vicepresident | No | ||
HeJianguang | ChangzhouInvestmentGroupCo.,Ltd. | MemberofthePartyCommittee | January2019 | Yes | |
Notes | None |
Officesheldconcurrentlyinotherentities:
√Applicable□Notapplicable
Name | Otherentity | Officeheldintheentity | Startoftenure | Endoftenure | Remunerationorallowancefromtheentity |
YangFeng | DaiwaSecurities(China)Co.Ltd. | Director,GM | 1January2021 | Yes | |
WangMancang | FinanceDepartmentofSchoolofEconomics&ManagementNorthwestUniversity | Teacher | 1October1996 | Yes | |
Xi’anGovernment | Consultant | 1October2015 | |||
Decision-makingAdvisoryCommitteeofXi’anGovernment | Financegroupleader | 1April2017 | |||
ShaanxiSecuritiesResearchAssociation | President | 1October2017 |
Chang'anInternationalTrustCo.,Ltd. | IndependentDirector | 1July2018 | |||
ShaanxiConstructionMachineryCo.,Ltd. | IndependentDirector | 16November2018 | |||
Xi’anChenxiAviationTechnologyCorp.,Ltd. | IndependentDirector | 26September2018 | 5December2020 | ||
Xi’anFocuslightTechnologyCo.,Ltd. | IndependentDirector | 1October2018 | |||
XingMin | ChinaInternalCombustionEngineIndustryAssociation | Secretary-general | 1August2008 | Yes | |
TianjinUniversity | Full-timeprofessor | 1June2019 | |||
ZYNPCorporation | IndependentDirector | 29January2016 | |||
ZhongjianTechnologyCo.,Ltd | IndependentDirector | 20June2017 | |||
JiangsuYunyiElectronicCo.,Ltd. | IndependentDirector | 15July2019 | |||
ZhangYan | JiangsuUniversityofTechnology | Associateprofessor | 1August2008 | Yes | |
JiangsuChanghaiCompositeMaterialsCo.,Ltd. | IndependentDirector | 16February2016 | |||
S-EnjoyServiceGroupCo.,Limited | Independentnon-executivedirector | 20October2018 | |||
WuxiSAHATElectricTechnologyCo.,Ltd. | IndependentDirector | 2November2020 | |||
JiangsuTianmuLakeTourismCo.,Ltd. | IndependentDirector | 8February2021 | |||
Notes | None |
Punishmentsimposedintherecentthreeyearsbythesecuritiesregulatorontheincumbentdirectors,supervisorsandseniormanagementaswellasthosewholeftintheReportingPeriod:
□Applicable√NotapplicableIVRemunerationofDirectors,SupervisorsandSeniorManagementDecision-makingprocedure,determinationbasisandactualpaymentsofremunerationfordirectors,supervisorsandseniormanagement:
In2020,themonthlysalariesofdirectors,supervisorsandseniorexecutivesintheCompanywereinlinewiththestipulationsofrelevantsalarymanagementandgradestandards,andthebenefitsoftheCompanyandassessmentresults.TheDirectorLinTian,SupervisorHeJianguangandChenLijiaobtainedsalariesinshareholders'entities.Remunerationofdirectors,supervisorsandseniormanagementfortheReportingPeriod
Unit:RMB’0,000
Name | Officetitle | Gender | Age | Incumbent/Former | Totalbefore-taxremunerationfromtheCompany | Anyremunerationfromrelatedparty |
ShiXinkun | ChairmanoftheBoard | Male | 57 | Incumbent | 81.5 | No |
ZhangXin | Director,GeneralManager | Male | 55 | Incumbent | 81.5 | No |
LinTian | Director | Male | 58 | Incumbent | 0 | Yes |
XuYi | Director,Vice-generalManager | Male | 57 | Incumbent | 72.12 | No |
JiangHe | Director,ChiefAccountant | Male | 49 | Incumbent | 66.22 | No |
YangFeng | Director | Male | 49 | Incumbent | 0 | No |
WangMancang | Independentdirector | Male | 58 | Incumbent | 7.5 | No |
XingMin | Independentdirector | Male | 67 | Incumbent | 7.5 | No |
ZhangYan | Independentdirector | Female | 51 | Incumbent | 7.5 | No |
YinLihou | Vice-generalManager | Male | 57 | Incumbent | 71.09 | No |
XieGuozhong | Vice-generalManager | Male | 52 | Incumbent | 70.72 | No |
SunJianzhong | Vice-generalManager | Male | 49 | Incumbent | 67.83 | No |
HeJianguang | ChairmanoftheSupervisoryCommittee | Male | 57 | Incumbent | 0 | Yes |
ChenLijia | Supervisor | Female | 38 | Incumbent | 0 | Yes |
LuZhonggui | Supervisor | Male | 54 | Incumbent | 17.19 | No |
GeJiangli | Supervisor | Female | 51 | Incumbent | 17.41 | No |
LiuYi | Supervisor | Male | 52 | Incumbent | 17.52 | No |
HeJianjiang | SecretaryoftheBoard | Male | 42 | Incumbent | 48.41 | No |
LiMinghui | Independentdirector | Male | 47 | Former | 1.5 | No |
JiaBin | Independentdirector | Male | 43 | Former | 1.5 | No |
FengGenfu | Independentdirector | Male | 64 | Former | 1.5 | No |
NiMingliang | ChairmanoftheSupervisoryCommittee | Male | 54 | Former | 70.58 | No |
Total | -- | -- | -- | -- | 709.09 | -- |
Equityincentivesfordirectors,supervisorsandseniormanagementintheReportingPeriod:
□Applicable√NotapplicableVEmployees
1.Number,FunctionsandEducationalBackgroundsofEmployees
Numberofin-serviceemployeesoftheCompanyastheparent | 2,308 |
Numberofin-serviceemployeesofmajorsubsidiaries | 555 |
Totalnumberofin-serviceemployees | 2,863 |
TotalnumberofpaidemployeesintheReportingPeriod | 2,863 |
NumberofretireestowhomtheCompanyastheparentoritsmajorsubsidiariesneedtopayretirementpensions | 0 |
Functions | |
Function | Employees |
Production | 1,919 |
Sales | 211 |
Technical | 354 |
Financial | 39 |
Administrative | 322 |
Other | 18 |
Total | 2,863 |
Educationalbackgrounds | |
Educationalbackground | Employees |
Juniorhighschoolgraduatesandbelow | 1,259 |
Highschoolgraduates | 826 |
Collegegraduatesandtechnicalsecondaryschoolgraduates | 499 |
Bachelors | 260 |
Mastersandabove | 19 |
Total | 2,863 |
2.EmployeeRemunerationPolicyTheCompanyalwaysadheredtotheprincipleoftiltingtheremunerationincentivemechanismtowardsexcellent
talents,soastodisplaytherolesofvariousprofessionaltechnicians,managementstaffsandskilledbackbones.Besides,itadheredtotheprincipleofincreasingtheemployee’sincomeintegratedwithincreasinglaborproductionefficiencyandproduction&operationefficiency,soastoperfectthesalarystructureandfurtherincreaseemployees’incomesteadily.
3.EmployeeTrainingPlansTheCompanyestablishedtheManagementRulesontheEducation&TrainingforEmployees,aimingtoenhanceemployees’qualityandtryitsbesttocultivateateamoffaithfulandhighlyprofessionaltalents.Besides,itinnovatedthetrainingmechanism,optimizedthetrainingenvironment,andreinforcedtoencourageemployeestoattendvarioustraining,soastoinspiretheemployees’potentialtothemaximumextentandfurtherpromotethesustainabledevelopmentoftheCompany.
4.LaborOutsourcing
□Applicable√Notapplicable
PartXCorporateGovernance
IGeneralInformationofCorporateGovernance
IntheReportingPeriod,theCompanywasstrictlyinlinewithlaws,statutessuchasCompanyLaw,SecuritiesLaws,CodeofCorporateGovernanceofListedCompanies,GuideOpiniononEstablishmentofIndependentDirectorSystembyListedCompaniesandGuidelinesonInternalControlsofListedCompaniesandsoon,continuouslyperfectedcorporategovernance,establishedandaccomplishedinternalmanagementandcontrolsystem,consistentlyanddeeplyputforwardcorporategovernanceactivities,soastofurthernormalizedoperationoftheCompany,raisingcorporategovernancelevel,layingaguardforsteadyandhealthydevelopmentoftheCompany,protectlegalrightsandinterestsoftheCompanyandallshareholders.TheCompanypromulgatedorrevisedaseriesofinternalcontrolsystemthroughallaspectsofnormaloperationandmanagementactivitiesinaccordancewitheachnationallawsandregulations,characteristicsoftheindustry,operationandself-managingbusiness,andimproveditcontinuously,andfinallyformedanormativemanagementsystem.Andformulatedaseriesofmanagementsystem,processandstandardcoveredeachoperationlinkandlevelofthefinancialassetscontrol,humanresourcesmanagement,qualityenvironmentmanagementandinternalauditsupervisoretc.,whichensuredalltheworkhadrulestofollow.IndicatebytickmarketwhetherthereisanymaterialincompliancewiththeregulatorydocumentsissuedbytheCSRCgoverningthegovernanceoflistedcompanies.
□Yes√NoNosuchcasesintheReportingPeriod.IITheCompany’sIndependencefromItsControllingShareholderinBusiness,Personnel,Asset,OrganizationandFinancialAffairsTheCompanywastotallyindependentfromthecontrollingshareholderChangzhouInvestmentGroupCo.,Ltdintermsofassets,business,personnel,organizationandfinancing,withindependent&completebusinessandcapabilitytooperateindependently.
IIIHorizontalCompetition
□Applicable√NotapplicableIVAnnualandSpecialGeneralMeetingsConvenedduringtheReportingPeriod
1.GeneralMeetingConvenedduringtheReportingPeriod
Meeting | Type | Investorparticipationratio | Dateofthemeeting | Disclosuredate | Indextodisclosedinformation |
The1stExtraordinaryGeneralMeetingof2020 | ExtraordinaryGeneralMeeting | 31.35% | 16April2020 | 17April2020 | 2020-026 |
The2019AnnualGeneralMeeting | AnnualGeneralMeeting | 34.88% | 8May2020 | 9May2020 | 2020-036 |
The2ndExtraordinaryGeneralMeetingof2020 | ExtraordinaryGeneralMeeting | 32.89% | 12October2020 | 13October2020 | 2020-061 |
The3rdExtraordinaryGeneralMeetingof2020 | ExtraordinaryGeneralMeeting | 30.49% | 17December2020 | 18December2020 | 2020-079 |
2.SpecialGeneralMeetingsConvenedattheRequestofPreferredShareholderswithResumedVotingRights
□Applicable√Notapplicable
VPerformanceofDutybyIndependentDirectorsintheReportingPeriod
1.AttendanceofIndependentDirectorsatBoardMeetingsandGeneralMeetings
Attendanceofindependentdirectorsatboardmeetingsandgeneralmeetings | |||||||
Independentdirector | Totalnumberofboardmeetingstheindependentdirectorwaseligibletoattend | Boardmeetingsattendedonsite | Boardmeetingsattendedbywayoftelecommunication | Boardmeetingsattendedthroughaproxy | Boardmeetingstheindependentdirectorfailedtoattend | Theindependentdirectorfailedtoattendtwoconsecutiveboardmeetings(yes/no) | Generalmeetingsattended |
XingMin | 8 | 6 | 2 | 0 | 0 | No | 3 |
WangMancang | 8 | 6 | 2 | 0 | 0 | No | 3 |
ZhangYan | 8 | 6 | 2 | 0 | 0 | No | 3 |
LiMinghui | 3 | 3 | 0 | 0 | 0 | No | 1 |
FengGenfu | 3 | 3 | 0 | 0 | 0 | No | 1 |
JiaBin | 3 | 2 | 0 | 1 | 0 | No | 1 |
2.ObjectionsRaisedbyIndependentDirectorsonMattersoftheCompanyIndicatebytickmarkwhetheranyindependentdirectorsraisedanyobjectionsonanymatteroftheCompany.
□Yes√NoNosuchcasesintheReportingPeriod.
3.OtherInformationaboutthePerformanceofDutybyIndependentDirectorsIndicatebytickmarkwhetheranysuggestionsfromindependentdirectorswereadoptedbytheCompany.
√Yes□NoSuggestionsfromindependentdirectorsadoptedornotadoptedbytheCompany:
TheindependentdirectorsoftheCompanyinlinewiththelaw,rules,normativedocumentsandobligationsgivenbytheCompanyoftheCompanylaw,ArticleofAssociationsandIndependentDirectorsWorkRules,comprehensivelyfocusedonthedevelopmentandoperationoftheCompany,activelyattendedthegeneralmeetingofshareholderandmeetingofboardofdirectors,andgivenindependentopinionsforthesignificanteventsoftheCompany,andeffectivelymaintainedtheprofitsoftheCompanyandalltheshareholders.TheCompanyactivelylistenedtothesuggestionsfromtheindependentdirectorsuponthesignificanteventsandadoptedthem.VIPerformanceofDutybySpecializedCommitteesundertheBoardintheReportingPeriod
1.SummaryReportonResponsibilityPerformanceoftheAuditCommitteeundertheBoardofDirectors:
DuringtheReportingPeriod,theAuditCommitteeundertheBoardofDirectorsperformeditsdutyaccordingtothediligentandresponsibleprinciple,basedonrelevantregulationssuchastheCompanyLaw,theGuidelinesforCorporateGovernanceofListedCompanies,theArticlesofAssociationaswellasprovisionsintheEnforcementRegulationoftheAuditCommitteeundertheBoardofDirectoroftheCompany.
(1)MajorworkofAuditCommitteeinReportingPeriod:
1)PeriodicallyexaminedtheworkingplanandexecutionofinnercontroloftheCompany;
2)CommunicatedfullywiththeCPAsfirmonplanandcontentofaudit;
3)UrgedtheCPAsfirmtosummitreportasscheduled;
4)TheAuditCommitteereviewedthefinancialstatementsoftheCompanybeforetheauditandaftertheissuanceofpreliminaryopinionbytheCPAsfirm.AfteritcommunicatedwiththeCPAsfirmonsomeimportantitemsaswellasmajoraccountingestimationitems,auditadjustmentitemsandimportantaccountingpolicieswhichwerelikelytohavepotentialinfluenceonthefinancialstatements,itconsideredthatthefinancialstatementsreflectedtheoverallsituationoftheCompanyauthentically,accuratelyandcompletely.
5)SubmittedthesummaryreportonannualauditoftheCompanyconductedbytheCPAsfirmtotheBoardofDirectors;
(2)WrittenopinionsonfinancialstatementsoftheCompanyissuedbytheAuditCommittee
1)On18January2021,theAuditCommitteetheAuditCommitteecommunicatedwiththeChairmanoftheBoard,GM,FinanceDirectorandtheCPAsfirmonsomeimportantitemsincludingtheoverallauditplan,membersoftheauditgroup,riskjudgment,thetestingandevaluationmethodsforrisksandfraudulentpracticesandkeypointsoftheannualaudit.
2)Withregardtotheauditedfinancialstatements2020,on6April2021,theAuditCommitteemadethefollowingresolution:theAuditCommitteereviewedthefinancialstatements2020auditedbyauditors,andbelievedthatthesaidfinancialstatementsfaithfullyreflectedthefinancialpositionoftheCompanyasat31December2020,aswellasthebusinessresultsandcashflowsin2020inallmaterialaspects.ItagreedtosubmitthestatementstotheBoardofDirectorsforexaminationandapproval.
(3)SummaryreportontheauditworkconductedbytheCPAsfirmin2020:
AccordingtotheannualauditplanjointlyformulatedbytheAuditCommitteeandGongzhengTianyeCertifiedPublicAccountants(SpecialGeneralPartnership),auditorscommunicatedfullywiththemanagementpersonneloftheCompanyandmembersoftheAuditCommitteeontheconsolidationoffinancialstatements,accountingadjustment,accountingpolicyandotheraccountingworkneededtobeimproved,whichhelpedbothpartiesacquireadeeperunderstandingabouttheoperation,financialprocessandimplementationoftheNewAccountingStandardsforBusinessEnterprisesintheCompany.Withsuchunderstanding,theannualauditaccountantswouldmakemorematurejudgmenttoissueafairauditconclusion.TheAuditCommitteeheldthattheCPAsfirmconductedtheauditstrictlyinaccordancewithprovisionsstipulatedintheIndependentAuditingStandardsforCPAsofthePRC.Thetimeofauditwassufficient,andtheauditorswithexcellentabilitytopracticeweredeployedreasonably.Theissuedauditor’sreportfullyreflectedthefinancialpositionoftheCompanyasat31December2020,aswellasthebusinessresultsandcashflowsin2020,andtheauditconclusionwasinlinewiththeactualsituationoftheCompany.
2.SummaryReportonResponsibilityPerformanceofRemuneration&AppraisalCommitteeundertheBoardofDirectors:
TheRemuneration&AppraisalCommitteeundertheBoardofDirectorswascomposedof3Directors,including2IndependentDirectorsand1Non-independentDirector.AndoneoftheIndependentDirectorsassumedthepositionofChairmanoftheCommittee.IntheReportingPeriod,theRemuneration&AppraisalCommitteeraisedtheproposalonimplementingthe
appraisalofseniorexecutivesin2020,basedonthefulfillmentofthemainfinancialindicatorsandoperationtargetsin2020,whichweredeterminedintheContractforAppraisalofSeniorExecutivesin2020.IntheReportingPeriod,basedonrelevantregulationsandrules,theRemuneration&AppraisalCommitteeexaminedtheremunerationoftheCompany’sseniorexecutivesin2020andissuedopinionsasfollows:
TheRemuneration&AppraisalCommitteeheldthat,theremunerationoftheCompany’sseniorexecutivesin2020wasinaccordancewithprovisionsintheContractforAppraisalofSeniorExecutivesin2020,aswellasthelaws,regulationsandrulesoftheCompany.
3.SummaryReportonResponsibilityPerformanceofStrategicDevelopmentCommitteeundertheBoardofDirectors:
TheStrategicDevelopmentCommitteeundertheBoardofDirectorswascomposedof3Directors,including1IndependentDirectors,1ExternalDirectorand1InternalDirector.AndtheChairmanoftheBoardassumedthepositionofChairmanoftheCommittee.TheStrategicDevelopmentCommitteeundertheBoardofDirectorsdidsomeresearchonthedevelopmentdirectionoftheCompanyinthefutureaccordingtotheCompanyLaw,theGuidelinesforCorporateGovernanceofListedCompanies,theArticlesofAssociationaswellasRulesofProceduresforStrategicDevelopmentCommitteeundertheBoardofDirectors.
VIIPerformanceofDutybytheSupervisoryCommittee
IndicatebytickmarkwhethertheSupervisoryCommitteefoundanyrisktotheCompanyduringitssupervisionintheReportingPeriod.
□Yes√NoTheSupervisoryCommitteeraisednoobjectionsintheReportingPeriod.VIIIAppraisalofandIncentiveforSeniorManagementTheCompanyhasestablishedafairandobjectiveperformanceappraisalandincentiverestraintmechanismforseniormanagementstaffs.Theannualremunerationofseniormanagementstaffsconsistedofthebasicannualsalaryandperformanceappraisalbonus,andthebasicannualsalarywasdistributedmonthlywithacertainproportion,whiletheperformanceappraisalbonuswasdistributedafterbeingappraisedaccordingtotheappraisalschemeforseniormanagementstaffssignedbetweentheBoardofDirectorsandthemanagersforeachyear.
IXInternalControl
1.MaterialInternalControlWeaknessesIdentifiedfortheReportingPeriod
□Yes√No
2.InternalControlSelf-EvaluationReport
Disclosuredateoftheinternalcontrolself-evaluationreport | 15April2021 | |
Indextothedisclosedinternalcontrolself-evaluationreport | 2021-012 | |
Evaluatedentities’combinedassetsas%ofconsolidatedtotalassets | 100.00% | |
Evaluatedentities’combinedoperatingrevenueas%ofconsolidatedoperatingrevenue | 100.00% | |
Identificationstandardsforinternalcontrolweaknesses | ||
Type | Weaknessesininternalcontroloverfinancialreporting | Weaknessesininternalcontrolnotrelatedtofinancialreporting |
Naturestandard | TheCompanyclassifiedthedefectsasseriousdefect,importantdefectandgeneraldefectaccordingtotheinfluencedegreefromtheinternalcontrol:(1)Seriousdefect:referstooneormultiplegroupswithcontroldefectwhichmayleadtheenterpriseseriouslydeviatesthecontroltarget;(2)Importantdefect:referstooneormultiplegroupswithcontroldefectwiththeseverityandtheeconomicresultslowerthanthegreatdefectbutmaystillleadtheenterpriseseriouslydeviatesthecontroltarget;(3)Generaldefect:referstootherdefectexceptforthegreatdefectandsignificantdefect.Naturestandards:defectswiththefollowingrandomcharacteristicsshouldberecognizedasseriousdefect:1)thedefectinvolveswiththemalpracticeoftheDirectors,SupervisorsandSeniorExecutives;2)revisedthedisclosedfinancialreport;3)CPAsdiscoveredthegreatmisstatementamongthecurrentfinancialstatementwhilewhichcouldnotbefoundduringtheoperatingprocessoftheinternalcontrol;4)thesupervisionfromtheAuditCommitteeandtheinternalauditinstitutionoftheenterprisewasinvalid. | Defectswiththefollowingrandomcharacteristicsshouldberecognizedasseriousdefect:1)Seriouslyviolatedthenationallawsandadministrativeregulationsandthenormativedocuments;2)“threesignificantonegreat”eventhadnotbeenthroughthecollectivedecision-makingprocess;3)thesignificanteventsinvolvedwiththeproductionandoperationoftheCompanylackedofsystematiccontrolortheinstitutionalsystemwasinvalid;4)theinternalcontroloftheinformationdisclosurewasinvalid,whichledtheCompanybeopencondemnedbythesupervisiondepartment;5)theseriousdefectfromtheassessmentresultsoftheinternalcontrolhadnotbeenrevised. |
Quantitativestandard | Quantitativestandards:Thequantitativestandardsofrecognizingthesignificantdegreeofthemisstatement(includingthefalsenegatives)oftheconsolidatedfinancialreportoftheCompanybasedonthedatafromthe2020consolidatedstatementswasas:Seriousdefect:misstatement≥5%oftheannualprofitsImportantdefect:2.5%oftheannualprofits≤misstatement<5%oftheannualprofitsGeneraldefect<2.5%oftheannualprofits | Refertothequantitativecriteriaoftheinternalcontroldefectofthefinancialreport,torecognizethequantitativecriteriaofthesignificantdegreeoftheinternalcontroldefectofthenon-financialreportoftheCompanyas:Seriousdefect:possiblycauseddirectlylosses≥0.1%ofthenetassetsImportantdefect:0.05%ofthenetassets≤possiblycauseddirectlylosses<0.1%ofthenetassetsGeneraldefect:possiblycauseddirectlylosses<0.05%ofthenetassets |
Numberofmaterialweaknessesininternalcontroloverfinancialreporting | 0 | |
Numberofmaterialweaknessesininternalcontrolnotrelatedtofinancialreporting | 0 | |
Numberofseriousweaknessesininternalcontroloverfinancialreporting | 0 | |
Numberofseriousweaknessesininternalcontrolnotrelatedtofinancialreporting | 0 |
XIndependentAuditor’sReportonInternalControl
√Applicable□Notapplicable
Opinionparagraphintheindependentauditor’sreportoninternalcontrol | |
WebelievedthatChangchaiCompany,LimitedmaintainedeffectiveinternalcontrolofthefinancialreportinsignificantaspectsaccordingtotheBasicNormsofInternalControlandrelevantregulationson31December2020. | |
Independentauditor’sreportoninternalcontroldisclosedornot | Disclosed |
Disclosuredate | 15April2021 |
Indextosuchreportdisclosed | 2021-012 |
Typeoftheauditor’sopinion | Unmodifiedunqualifiedopinion |
Materialweaknessesininternalcontrolnotrelatedtofinancialreporting | None |
Indicatebytickmarkwhetheranymodifiedopinionisexpressedintheindependentauditor’sreportonthe
Company’sinternalcontrol.
□Yes√NoIndicatebytickmarkwhethertheindependentauditor’sreportontheCompany’sinternalcontrolisconsistentwiththeinternalcontrolself-evaluationreportissuedbytheCompany’sBoard.
√Yes□No
PartXICorporateBonds
DoestheCompanyhaveanycorporatebondspubliclyofferedonthestockexchange,whichwereoutstandingbeforethedateofthisReport’sapprovalorwereduebutcouldnotberedeemedinfull?No.
PartXIIFinancialStatements
IIndependentAuditor’sReport
Typeoftheindependentauditor’sopinion | Unmodifiedunqualifiedopinion |
Dateofsigningthisreport | 13April2021 |
Nameoftheindependentauditor | GongzhengTianyeCertifiedPublicAccountants(SpecialGeneralPartnership) |
No.oftheauditor’sreport | SGW[2021]ANo.359 |
Nameofthecertifiedpublicaccountants | DaiWeizhong,XuWenxiang |
TextoftheIndependentAuditor’sReport
TotheShareholdersofChangchaiCompany,Limited,
IOpinionWehaveauditedtheaccompanyingfinancialstatementsofChangchaiCompany,Limited.(togetherwithitsconsolidatedsubsidiariesincludedintheconsolidatedfinancialstatements,the“Company”),whichcomprisetheparent’sandconsolidatedbalancesheetsasat31December2020,theparent’sandconsolidatedincomestatements,theparent’sandconsolidatedcashflowstatements,theparent’sandconsolidatedstatementsofchangesinowners’equityfortheyearthenended,aswellasthenotestothefinancialstatements.Inouropinion,thefinancialstatementsattachedwerepreparedinlinewiththeregulationsofAccountingStandardsforBusinessEnterprisesinallsignificantaspectswhichgaveatrueandfairviewoftheconsolidatedandparentfinancialpositionofChangchaiCompany,Limited.asat31December2020andtheconsolidatedandparentbusinessperformanceandcashflowfor2020.IIBasisforOpinionWeconductedourauditsinaccordancewiththeAuditStandardsforChineseRegisteredAccountants.OurresponsibilitiesunderthosestandardsarefurtherdescribedintheAuditor’sResponsibilitiesforAuditofFinancialStatementssectionofourreport.WeareindependentoftheCompanyinaccordancewiththeChinaCodeofEthicsforCertifiedPublicAccountants,andwehavefulfilledourotherethicalresponsibilitiesinaccordancewiththesaidCodeofEthics.Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforouropinion.IIIKeyAuditMattersKeyauditmattersarethosemattersthat,inourprofessionaljudgment,wereofmostsignificanceinourauditofthefinancialstatementsofthecurrentperiod.Thesematterswereaddressedinthecontextofourauditofthefinancialstatementsasawhole,andinformingouropinionthereon,andwedonotprovideaseparateopiniononthesematters.Andkeyauditmatteridentifiedinourauditissummarizedasfollows:
(I)Recognitionofrevenue
1.DescriptionoftheitemFordetailsofaccountingpoliciesgoverningrevenuerecognition,pleaserefertotheNoteIII-28RevenueandtheNoteV-35OperatingRevenueandCostofSales.TheoperatingrevenueoftheCompanyin2020isRMB2,296,464,700.SincetheoperatingrevenueisoneofkeyperformanceindicatorsoftheCompany,andthereistheinherentriskthatthemanagementmaymanipulatethetimingofrevenuerecognitionforthepurposeofachievingcertaingoalsorexpectations,soweidentifytherevenuerecognitionasakeyaudititem.
2.Responseforaudit
(1)Knowthekeyinternalcontrolrelatedtorevenuerecognition,evaluatewhetheritsdesignandexecutionare
validornot,andtesttheoperationeffectivenessoftherelatedinternalcontrol.
(2)Interviewthemanagement,knowabouttherecognitionpoliciesregardingrevenueoftheCompany,getandcheckcontractsoragreementsoftheCompanysignedwithcustomers,identifycontracttermsrelatedtotherecognitionofsalesrevenueofproductsandevaluatewhethertherevenuerecognitionoftheCompanymeetstherequirementsofaccountingstandardsforbusinessenterprises.
(3)Checkthesupportingdocumentsrelatedtorevenuerecognition,suchassalescontracts,orderform,invoiceforsales,shippingorder,declarationforexportation,andetc.
(4)Checktheoperatingrevenuerecognizedbeforeandafterthebalancesheetdatetothesupportingdocuments,suchasshippingorder,declarationforexportation,andetcbysamplingmethodtoassesswhethertheoperatingrevenueisrecognizedwithinappropriateperiod.
(5)Implementtheconfirmationbydrawingsampletorecognizethebalanceofaccountsreceivableandtheamountofsalesrevenueaccordingtothefeaturesandnaturesofcustomertransaction.(II)Baddebtprovisionforaccountsreceivable
1.DescriptionoftheitemPleaserefertotheaccountingpoliciesstipulatedintheNoteIII-10ImpairmentofFinancialInstrumentsandtheNoteV-4AccountsReceivable.On31December2020,asforaccountsreceivableoftheCompany,thecarryingamountwasRMB563.1894million,thebaddebtprovisionwasRMB166.0354million,andthecarryingvaluewasRMB397.154million,accountingfor10.05%oftotalassetsattheperiod-end.Thebaddebtofaccountsreceivableduetofailureofrecoveryatmaturityorfailureofrecoverywillgeneratesignificantimpactsonfinancialstatements,thus,weidentifytheimpairmentofaccountsreceivableasakeyaudititem.
2.Responseforaudit
(1)AccessChangchai’sinternalcontrolsystemsofsalesandaccountsreceivablemanagementtounderstandandevaluatethedesignofinternalcontrol,andcarryoutwalk-throughtesttoconfirmtheimplementationofinternalcontrolsystems.
(2)AnalyzeandconfirmthereasonablenessofChangchai’saccountingestimatesofbaddebtprovisionforaccountsreceivable,includingthebasisfordeterminingthecombinationofaccountsreceivable,theexpectedcreditlossrateandthejudgmentofimpairmenttestofaccountsreceivableevaluatedindividually.
(3)Accessandchecktheaccountreceivabledetails,agingschedule,statementofprovisionsforbaddebts,andconfirmthereasonablenessofbaddebtprovisionforaccountsreceivablebycombiningwiththerequestofconfirmationofbalanceandsubsequentcollectioninspection;
(4)Understandthereasonsforaccountsreceivable,checkChangchai’sreconciliationandcollectionduringthereportingperiodandanyotherdatarelatedtopaymentrecovery,verifyandconfirmitsaccountsreceivablewithouttransactiondisputeattheendofthereportingperiod,aswellastheadequacyofbaddebtprovisionforaccountsreceivable.
(5)Sendrequestforconfirmationofbalance,andconfirmtheauthenticityandaccuracyoftheamountofaccountsreceivableonthebalancesheetdatebycombiningwithsubsequentinspectionandotherprocedures.IVOtherInformationTheCompany’smanagement(hereinafterreferredtoas“management”)isresponsiblefortheotherinformation.TheotherinformationcomprisesalloftheinformationincludedintheCompany’s2020AnnualReportotherthanthefinancialstatementsandourauditor’sreportthereon.Ouropiniononthefinancialstatementsdoesnotcovertheotherinformationandwedonotexpressanyformofassuranceconclusionthereon.Inconnectionwithourauditofthefinancialstatements,ourresponsibilityistoreadtheotherinformationand,indoingso,considerwhethertheotherinformationismateriallyinconsistentwiththefinancialstatementsorour
knowledgeobtainedintheauditorotherwiseappearstobemateriallymisstated.If,basedontheworkwehaveperformed,weconcludethatthereisamaterialmisstatementofthisotherinformation;wearerequiredtoreportthatfact.Wehavenothingtoreportinthisregard.VResponsibilitiesofManagementandThoseChargedwithGovernanceforFinancialStatementsThemanagementisresponsibleforthepreparationofthefinancialstatementsthatgiveafairviewinaccordancewithCAS,andfordesigning,implementingandmaintainingsuchinternalcontrolasthemanagementdeterminesisnecessarytoenablethepreparationoffinancialstatementsthatarefreefrommaterialmisstatement,whetherduetofraudorerror.Inpreparingthefinancialstatements,themanagementisresponsibleforassessingtheCompany’sabilitytocontinueasagoingconcern,disclosing,mattersrelatedtogoingconcernandusingthegoingconcernbasisofaccountingunlessthemanagementeitherintendstoliquidatetheCompanyortoceaseoperations,orhavenorealisticalternativebuttodoso.ThosechargedwithgovernanceareresponsibleforoverseeingtheCompany’sfinancialreportingprocess.VIAuditor’sResponsibilitiesforAuditofFinancialStatementsOurobjectivesaretoobtainreasonableassuranceaboutwhetherthefinancialstatementsasawholearefreefrommaterialmisstatement,whetherduetofraudorerror,andtoissueanauditor’sreportthatincludesouropinion.Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconductedinaccordancewithCASwillalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarisefromfraudorerrorandareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpectedtoinfluencetheeconomicdecisionsofuserstakenonthebasisofthesefinancialstatements.AspartofanauditinaccordancewithCAS,weexerciseprofessionaljudgmentandmaintainprofessionalskepticismthroughouttheaudit.Wealso:
(1)Identifyandassesstherisksofmaterialmisstatementofthefinancialstatements,whetherduetofraudorerror,designandperformauditproceduresresponsivetothoserisks,andobtainauditevidencethatissufficientandappropriatetoprovideabasisforouropinion.Theriskofnotdetectingamaterialmisstatementresultingfromfraudishigherthanforoneresultingfromerror,asfraudmayinvolvecollusion,forgery,intentionalomissions,misrepresentations,ortheoverrideofinternalcontrol.
(2)Obtainanunderstandingofinternalcontrolrelevanttotheauditinordertodesignauditproceduresthatareappropriateinthecircumstances.
(3)Evaluatetheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesandrelateddisclosuresmadebythemanagement.
(4)Concludeontheappropriatenessofthemanagement’suseofthegoingconcernbasisofaccountingand,basedontheauditevidenceobtained,whetheramaterialuncertaintyexistsrelatedtoeventsorconditionsthatmaycastsignificantdoubtontheCompany’sabilitytocontinueasagoingconcern.Ifweconcludethatamaterialuncertaintyexists,wearerequiredbyCAStodrawusers’attentioninourauditor’sreporttotherelateddisclosuresinthefinancialstatements.Ifsuchdisclosuresareinadequate,weneedtomodifyouropinion.Ourconclusionsarebasedontheauditevidenceobtaineduptothedateofourauditor’sreport.However,futureeventsorconditionsmaycausetheCompanytoceasetocontinueasagoingconcern.
(5)Evaluatetheoverallpresentation,structureandcontentofthefinancialstatements,andwhetherthefinancialstatementsrepresenttheunderlyingtransactionsandeventsinamannerthatachievesfairpresentation.
(6)ObtainsufficientappropriateauditevidenceregardingthefinancialinformationoftheentitiesorbusinessactivitieswithintheCompanytoexpressanopiniononthefinancialstatements.Weareresponsibleforthedirection,supervisionandperformanceoftheCompanyaudit.Weremainsolelyresponsibleforourauditopinion.Wecommunicatewiththosechargedwithgovernanceregardingtheplannedscopeandtimingoftheauditand
significantauditfindings,includinganynoteworthydeficienciesininternalcontrolthatweidentifyduringouraudit.Wealsoprovidethosechargedwithgovernancewithastatementthatwehavecompliedwithrelevantethicalrequirementsregardingindependence,andcommunicatewiththemallrelationshipsandothermattersthatmayreasonablybethoughttobearonourindependence,andwhereapplicable,relatedsafeguards.Fromthematterscommunicatedwiththosechargedwithgovernance,wedeterminethosemattersthatwereofmostsignificanceintheauditofthefinancialstatementsofthecurrentperiodandarethereforethekeyauditmatters.Wedescribethesemattersinourauditor’sreportunlesslaworregulationprecludespublicdisclosureaboutthematterorwhen,inextremelyrarecircumstances,wedeterminethatamattershouldnotbecommunicatedinourreportbecausetheadverseconsequencesofdoingsowouldreasonablybeexpectedtooutweighthepublicinterestbenefitsofsuchcommunication.GongzhengTianyeCertifiedPublicAccountantsChineseCPADaiWeizhong
(SpecialGeneralPartnership)(EngagementPartner)
ChineseCPAXuWenxiangWuxi·China13April2021IIFinancialStatementsCurrencyunitforthefinancialstatementsandthenotesthereto:RMB
1.ConsolidatedBalanceSheetPreparedbyChangchaiCompany,Limited
31December2020
Unit:RMB
Item | 31December2020 | 31December2019 |
Currentassets: | ||
Monetaryassets | 760,728,222.85 | 638,589,260.09 |
Settlementreserve | ||
Interbankloansgranted | ||
Held-for-tradingfinancialassets | 11,500,272.00 | 13,050,000.00 |
Derivativefinancialassets | ||
Notesreceivable | 600,140,938.05 | 606,283,023.05 |
Accountsreceivable | 397,154,016.49 | 419,302,056.87 |
Accountsreceivablefinancing | ||
Prepayments | 9,357,840.75 | 12,968,746.16 |
Premiumsreceivable | ||
Reinsurancereceivables | ||
Receivablereinsurancecontractreserve | ||
Otherreceivables | 6,212,062.80 | 9,703,390.94 |
Including:Interestreceivable | ||
Dividendsreceivable | ||
Financialassetspurchasedunderresaleagreements | ||
Inventories | 606,680,340.55 | 473,359,168.90 |
Contractassets | ||
Assetsheldforsale | ||
Currentportionofnon-currentassets | ||
Othercurrentassets | 27,299,362.72 | 6,421,275.47 |
Totalcurrentassets | 2,419,073,056.21 | 2,179,676,921.48 |
Non-currentassets: | ||
Loansandadvancestocustomers | ||
Investmentsindebtobligations | ||
Investmentsinotherdebtobligations | ||
Long-termreceivables | ||
Long-termequityinvestments | ||
Investmentsinotherequityinstruments | 685,137,950.87 | 532,886,000.00 |
Othernon-currentfinancialassets | 98,732,938.63 | 77,952,101.63 |
Investmentproperty | 46,239,326.03 | 48,447,666.83 |
Fixedassets | 454,181,555.68 | 457,722,667.32 |
Constructioninprogress | 66,502,432.41 | 91,358,156.24 |
Productivelivingassets | ||
Oilandgasassets | ||
Right-of-useassets | ||
Intangibleassets | 158,870,631.71 | 99,699,450.26 |
Developmentcosts | ||
Goodwill | ||
Long-termprepaidexpense | 13,693.20 | 53,497.80 |
Deferredincometaxassets | 4,231,873.15 | 1,023,863.04 |
Othernon-currentassets | 19,971,006.56 | |
Totalnon-currentassets | 1,533,881,408.24 | 1,309,143,403.12 |
Totalassets | 3,952,954,464.45 | 3,488,820,324.60 |
Currentliabilities: | ||
Short-termborrowings | 22,000,000.00 | 22,000,000.00 |
Borrowingsfromthecentralbank | ||
Interbankloansobtained | ||
Held-for-tradingfinancialliabilities | ||
Derivativefinancialliabilities | ||
Notespayable | 595,346,000.00 | 403,035,000.00 |
Accountspayable | 612,757,392.46 | 525,625,016.89 |
Advancesfromcustomers | 661,612.17 | 31,789,001.78 |
Contractliabilities | 35,944,517.15 | |
Financialassetssoldunderrepurchaseagreements | ||
Customerdepositsandinterbank |
deposits | ||
Payablesforactingtradingofsecurities | ||
Payablesforunderwritingofsecurities | ||
Employeebenefitspayable | 50,127,161.47 | 44,559,015.79 |
Taxespayable | 2,869,485.41 | 9,094,382.58 |
Otherpayables | 197,545,076.08 | 205,064,145.10 |
Including:Interestpayable | ||
Dividendspayable | 3,891,433.83 | 3,891,433.83 |
Handlingchargesandcommissionspayable | ||
Reinsurancepayables | ||
Liabilitiesdirectlyassociatedwithassetsheldforsale | ||
Currentportionofnon-currentliabilities | ||
Othercurrentliabilities | 5,233,947.12 | 1,177,712.38 |
Totalcurrentliabilities | 1,522,485,191.86 | 1,242,344,274.52 |
Non-currentliabilities: | ||
Insurancecontractreserve | ||
Long-termborrowings | ||
Bondspayable | ||
Including:Preferredshares | ||
Perpetualbonds | ||
Leaseliabilities | ||
Long-termpayables | ||
Long-termemployeebenefitspayable | ||
Provisions | ||
Deferredincome | 56,949,737.60 | 58,864,111.22 |
Deferredincometaxliabilities | 80,671,598.82 | 57,082,890.27 |
Othernon-currentliabilities | ||
Totalnon-currentliabilities | 137,621,336.42 | 115,947,001.49 |
Totalliabilities | 1,660,106,528.28 | 1,358,291,276.01 |
Owners’equity: | ||
Sharecapital | 561,374,326.00 | 561,374,326.00 |
Otherequityinstruments | ||
Including:Preferredshares | ||
Perpetualbonds | ||
Capitalreserves | 164,328,665.43 | 164,328,665.43 |
Less:Treasurystock | ||
Othercomprehensiveincome | 425,482,758.24 | 317,059,775.00 |
Specificreserve | 18,812,986.55 | 17,560,202.07 |
Surplusreserves | 325,451,531.14 | 322,228,533.72 |
Generalreserve | ||
Retainedearnings | 777,899,079.66 | 728,341,265.36 |
TotalequityattributabletoownersoftheCompanyastheparent | 2,273,349,347.02 | 2,110,892,767.58 |
Non-controllinginterests | 19,498,589.15 | 19,636,281.01 |
Totalowners’equity | 2,292,847,936.17 | 2,130,529,048.59 |
Totalliabilitiesandowners’equity | 3,952,954,464.45 | 3,488,820,324.60 |
Legalrepresentative:ShiXinkunGeneralManager:ZhangXinHeadoftheaccountingdepartment:JiangHe
2.BalanceSheetoftheCompanyastheParent
Unit:RMB
Item | 31December2020 | 31December2019 |
Currentassets: | ||
Monetaryassets | 682,322,659.41 | 584,957,678.96 |
Held-for-tradingfinancialassets | ||
Derivativefinancialassets | ||
Notesreceivable | 581,230,938.05 | 576,948,023.05 |
Accountsreceivable | 317,828,161.25 | 337,447,538.04 |
Accountsreceivablefinancing | ||
Prepayments | 6,592,567.26 | 6,386,284.14 |
Otherreceivables | 24,327,355.36 | 22,741,542.22 |
Including:Interestreceivable | ||
Dividendsreceivable | ||
Inventories | 475,688,026.57 | 368,653,472.39 |
Contractassets | ||
Assetsheldforsale | ||
Currentportionofnon-currentassets | ||
Othercurrentassets | 17,521,203.46 | 3,898,333.51 |
Totalcurrentassets | 2,105,510,911.36 | 1,901,032,872.31 |
Non-currentassets: | ||
Investmentsindebtobligations | ||
Investmentsinotherdebtobligations | ||
Long-termreceivables | ||
Long-termequityinvestments | 375,752,730.03 | 252,752,730.03 |
Investmentsinotherequityinstruments | 685,137,950.87 | 532,886,000.00 |
Othernon-currentfinancialassets | 52,500,000.00 | 50,000,000.00 |
Investmentproperty | 46,239,326.03 | 48,447,666.83 |
Fixedassets | 369,194,314.03 | 364,071,199.07 |
Constructioninprogress | 26,195,189.06 | 89,330,161.60 |
Productivelivingassets | ||
Oilandgasassets | ||
Right-of-useassets | ||
Intangibleassets | 68,088,982.37 | 70,169,770.91 |
Developmentcosts | ||
Goodwill | ||
Long-termprepaidexpense | ||
Deferredincometaxassets | 4,179,544.86 | 970,026.67 |
Othernon-currentassets | ||
Totalnon-currentassets | 1,627,288,037.25 | 1,408,627,555.11 |
Totalassets | 3,732,798,948.61 | 3,309,660,427.42 |
Currentliabilities: | ||
Short-termborrowings | 5,000,000.00 | 5,000,000.00 |
Held-for-tradingfinancialliabilities | ||
Derivativefinancialliabilities | ||
Notespayable | 589,534,000.00 | 392,105,000.00 |
Accountspayable | 550,360,564.07 | 481,854,210.18 |
Advancesfromcustomers | 661,612.17 | 28,673,664.87 |
Contractliabilities | 32,344,514.86 | |
Employeebenefitspayable | 42,455,158.67 | 39,125,477.30 |
Taxespayable | 1,099,861.63 | 5,952,664.10 |
Otherpayables | 184,513,545.20 | 192,046,130.29 |
Including:Interestpayable | ||
Dividendspayable | 3,243,179.97 | 3,243,179.97 |
Liabilitiesdirectlyassociatedwithassetsheldforsale | ||
Currentportionofnon-currentliabilities | ||
Othercurrentliabilities | 2,426,575.40 | |
Totalcurrentliabilities | 1,408,395,832.00 | 1,144,757,146.74 |
Non-currentliabilities: | ||
Long-termborrowings | ||
Bondspayable | ||
Including:Preferredshares | ||
Perpetualbonds | ||
Leaseliabilities | ||
Long-termpayables | ||
Long-termemployeebenefitspayable | ||
Provisions | ||
Deferredincome | 56,949,737.60 | 58,864,111.22 |
Deferredincometaxliabilities | 75,460,192.63 | 55,951,725.00 |
Othernon-currentliabilities | ||
Totalnon-currentliabilities | 132,409,930.23 | 114,815,836.22 |
Totalliabilities | 1,540,805,762.23 | 1,259,572,982.96 |
Owners’equity: | ||
Sharecapital | 561,374,326.00 | 561,374,326.00 |
Otherequityinstruments | ||
Including:Preferredshares | ||
Perpetualbonds | ||
Capitalreserves | 183,071,147.70 | 183,071,147.70 |
Less:Treasurystock | ||
Othercomprehensiveincome | 425,482,758.24 | 317,059,775.00 |
Specificreserve | 18,812,986.55 | 17,560,202.07 |
Surplusreserves | 325,451,531.14 | 322,228,533.72 |
Retainedearnings | 677,800,436.75 | 648,793,459.97 |
Totalowners’equity | 2,191,993,186.38 | 2,050,087,444.46 |
Totalliabilitiesandowners’equity | 3,732,798,948.61 | 3,309,660,427.42 |
3.ConsolidatedIncomeStatement
Unit:RMB
Item | 2020 | 2019 |
1.Revenue | 2,296,464,711.24 | 2,045,820,801.10 |
Including:Operatingrevenue | 2,296,464,711.24 | 2,045,820,801.10 |
Interestincome | ||
Insurancepremiumincome | ||
Handlingchargeandcommissionincome | ||
2.Costsandexpenses | 2,267,289,166.18 | 1,991,399,859.93 |
Including:Costofsales | 1,950,573,991.27 | 1,714,533,867.50 |
Interestexpense | ||
Handlingchargeandcommissionexpense | ||
Surrenders | ||
Netinsuranceclaimspaid | ||
Netamountprovidedasinsurancecontractreserve | ||
Expenditureonpolicydividends | ||
Reinsurancepremiumexpense | ||
Taxesandsurcharges | 12,869,609.15 | 10,980,115.06 |
Sellingexpense | 128,372,278.62 | 97,085,117.05 |
Administrativeexpense | 87,446,195.74 | 107,015,957.41 |
R&Dexpense | 72,258,781.08 | 66,221,376.27 |
Financecosts | 15,768,310.32 | -4,436,573.36 |
Including:Interestexpense | 8,084,428.03 | 5,722,554.43 |
Interestincome | 6,249,975.99 | 6,733,183.88 |
Add:Otherincome | 7,808,732.52 | 5,324,358.80 |
Returnoninvestment(“-”forloss) | 6,545,826.85 | 8,010,260.85 |
Including:Shareofprofitorlossofjointventuresandassociates | ||
Incomefromthederecognitionoffinancialassetsatamortizedcost(“-”forloss) |
Exchangegain(“-”forloss) | ||
Netgainonexposurehedges(“-”forloss) | ||
Gainonchangesinfairvalue(“-”forloss) | 20,981,109.00 | -49,255.00 |
Creditimpairmentloss(“-”forloss) | 2,378,630.68 | -925,811.28 |
Assetimpairmentloss(“-”forloss) | -11,155,930.76 | -42,371,202.17 |
Assetdisposalincome(“-”forloss) | 229,121.29 | 2,059,668.56 |
3.Operatingprofit(“-”forloss) | 55,963,034.64 | 26,468,960.93 |
Add:Non-operatingincome | 1,047,114.21 | 462,351.48 |
Less:Non-operatingexpense | 2,629,797.33 | 231,938.89 |
4.Profitbeforetax(“-”forloss) | 54,380,351.52 | 26,699,373.52 |
Less:Incometaxexpense | 2,085,600.33 | 1,715,045.77 |
5.Netprofit(“-”fornetloss) | 52,294,751.19 | 24,984,327.75 |
5.1Byoperatingcontinuity | ||
5.1.1Netprofitfromcontinuingoperations(“-”fornetloss) | 52,294,751.19 | 24,984,327.75 |
5.1.2Netprofitfromdiscontinuedoperations(“-”fornetloss) | ||
5.2Byownership | ||
5.2.1NetprofitattributabletoshareholdersoftheCompanyastheparent | 52,432,443.05 | 24,966,526.85 |
5.2.1Netprofitattributabletonon-controllinginterests | -137,691.86 | 17,800.90 |
6.Othercomprehensiveincome,netoftax | 108,771,351.91 | 52,654,100.00 |
AttributabletoownersoftheCompanyastheparent | 108,771,351.91 | 52,654,100.00 |
6.1Itemsthatwillnotbereclassifiedtoprofitorloss | 108,771,351.91 | 52,654,100.00 |
6.1.1Changescausedbyremeasurementsondefinedbenefitschemes | ||
6.1.2Othercomprehensiveincomethatwillnotbereclassifiedtoprofitorlossundertheequitymethod |
6.1.3Changesinthefairvalueofinvestmentsinotherequityinstruments | 108,771,351.91 | 52,654,100.00 |
6.1.4Changesinthefairvaluearisingfromchangesinowncreditrisk | ||
6.1.5Other | ||
6.2Itemsthatwillbereclassifiedtoprofitorloss | ||
6.2.1Othercomprehensiveincomethatwillbereclassifiedtoprofitorlossundertheequitymethod | ||
6.2.2Changesinthefairvalueofinvestmentsinotherdebtobligations | ||
6.2.3Othercomprehensiveincomearisingfromthereclassificationoffinancialassets | ||
6.2.4Creditimpairmentallowanceforinvestmentsinotherdebtobligations | ||
6.2.5Reserveforcashflowhedges | ||
6.2.6Differencesarisingfromthetranslationofforeigncurrency-denominatedfinancialstatements | ||
6.2.7Other | ||
Attributabletonon-controllinginterests | ||
7.Totalcomprehensiveincome | 161,066,103.10 | 77,638,427.75 |
AttributabletoownersoftheCompanyastheparent | 161,203,794.96 | 77,620,626.85 |
Attributabletonon-controllinginterests | -137,691.86 | 17,800.90 |
8.Earningspershare | ||
8.1Basicearningspershare | 0.0934 | 0.0445 |
8.2Dilutedearningspershare | 0.0934 | 0.0445 |
Legalrepresentative:ShiXinkunGeneralManager:ZhangXinHeadoftheaccountingdepartment:JiangHe
4.IncomeStatementoftheCompanyastheParent
Unit:RMB
Item | 2020 | 2019 |
1.Operatingrevenue | 2,123,200,238.11 | 1,866,291,739.39 |
Less:Costofsales | 1,823,443,404.79 | 1,575,626,989.46 |
Taxesandsurcharges | 10,349,672.15 | 8,407,285.53 |
Sellingexpense | 110,774,087.06 | 89,281,567.68 |
Administrativeexpense | 70,342,720.73 | 89,269,943.25 |
R&Dexpense | 67,074,041.38 | 60,705,823.99 |
Financecosts | 10,879,173.24 | -7,320,351.23 |
Including:Interestexpense | 5,197,914.71 | 3,477,128.23 |
Interestincome | 6,017,663.50 | 6,955,017.26 |
Add:Otherincome | 5,478,200.87 | 3,864,303.74 |
Returnoninvestment(“-”forloss) | 5,437,925.05 | 6,206,814.50 |
Including:Shareofprofitorlossofjointventuresandassociates | ||
Incomefromthederecognitionoffinancialassetsatamortizedcost(“-”forloss) | ||
Netgainonexposurehedges(“-”forloss) | ||
Gainonchangesinfairvalue(“-”forloss) | 2,500,000.00 | |
Creditimpairmentloss(“-”forloss) | 2,599,053.83 | 755,537.33 |
Assetimpairmentloss(“-”forloss) | -18,384,759.06 | -41,914,242.93 |
Assetdisposalincome(“-”forloss) | 80,014.23 | 2,072,367.71 |
2.Operatingprofit(“-”forloss) | 28,047,573.68 | 21,305,261.06 |
Add:Non-operatingincome | 542,506.89 | 13,825.00 |
Less:Non-operatingexpense | 262,488.62 | 141,118.07 |
3.Profitbeforetax(“-”forloss) | 28,327,591.95 | 21,177,967.99 |
Less:Incometaxexpense | -3,554,013.58 | 236,773.02 |
4.Netprofit(“-”fornetloss) | 31,881,605.53 | 20,941,194.97 |
4.1Netprofitfromcontinuingoperations(“-”fornetloss) | 31,881,605.53 | 20,941,194.97 |
4.2Netprofitfrom |
discontinuedoperations(“-”fornetloss) | ||
5.Othercomprehensiveincome,netoftax | 108,771,351.91 | 52,654,100.00 |
5.1Itemsthatwillnotbereclassifiedtoprofitorloss | 108,771,351.91 | 52,654,100.00 |
5.1.1Changescausedbyremeasurementsondefinedbenefitschemes | ||
5.1.2Othercomprehensiveincomethatwillnotbereclassifiedtoprofitorlossundertheequitymethod | ||
5.1.3Changesinthefairvalueofinvestmentsinotherequityinstruments | 108,771,351.91 | 52,654,100.00 |
5.1.4Changesinthefairvaluearisingfromchangesinowncreditrisk | ||
5.1.5Other | ||
5.2Itemsthatwillbereclassifiedtoprofitorloss | ||
5.2.1Othercomprehensiveincomethatwillbereclassifiedtoprofitorlossundertheequitymethod | ||
5.2.2Changesinthefairvalueofinvestmentsinotherdebtobligations | ||
5.2.3Othercomprehensiveincomearisingfromthereclassificationoffinancialassets | ||
5.2.4Creditimpairmentallowanceforinvestmentsinotherdebtobligations | ||
5.2.5Reserveforcashflowhedges | ||
5.2.6Differencesarisingfromthetranslationofforeigncurrency-denominatedfinancialstatements | ||
5.2.7Other | ||
6.Totalcomprehensiveincome | 140,652,957.44 | 73,595,294.97 |
7.Earningspershare |
7.1Basicearningspershare |
7.2Dilutedearningspershare |
5.ConsolidatedCashFlowStatement
Unit:RMB
Item | 2020 | 2019 |
1.Cashflowsfromoperatingactivities: | ||
Proceedsfromsaleofcommoditiesandrenderingofservices | 2,230,952,492.49 | 2,178,835,433.27 |
Netincreaseincustomerdepositsandinterbankdeposits | ||
Netincreaseinborrowingsfromthecentralbank | ||
Netincreaseinloansfromotherfinancialinstitutions | ||
Premiumsreceivedonoriginalinsurancecontracts | ||
Netproceedsfromreinsurance | ||
Netincreaseindepositsandinvestmentsofpolicyholders | ||
Interest,handlingchargesandcommissionsreceived | ||
Netincreaseininterbankloansobtained | ||
Netincreaseinproceedsfromrepurchasetransactions | ||
Netproceedsfromactingtradingofsecurities | ||
Taxrebates | 33,693,741.46 | 42,607,617.45 |
Cashgeneratedfromotheroperatingactivities | 16,977,100.96 | 11,790,596.40 |
Subtotalofcashgeneratedfromoperatingactivities | 2,281,623,334.91 | 2,233,233,647.12 |
Paymentsforcommoditiesandservices | 1,571,967,433.96 | 1,824,178,697.91 |
Netincreaseinloansandadvancestocustomers | ||
Netincreaseindepositsinthecentralbankandininterbankloansgranted | ||
Paymentsforclaimsonoriginalinsurancecontracts | ||
Netincreaseininterbankloansgranted |
Interest,handlingchargesandcommissionspaid | ||
Policydividendspaid | ||
Cashpaidtoandforemployees | 294,472,502.80 | 287,894,549.87 |
Taxespaid | 39,853,712.33 | 19,999,117.04 |
Cashusedinotheroperatingactivities | 123,533,031.29 | 121,486,471.86 |
Subtotalofcashusedinoperatingactivities | 2,029,826,680.38 | 2,253,558,836.68 |
Netcashgeneratedfrom/usedinoperatingactivities | 251,796,654.53 | -20,325,189.56 |
2.Cashflowsfrominvestingactivities: | ||
Proceedsfromdisinvestment | 557,198,253.76 | 15,101,882.58 |
Returnoninvestment | 6,545,826.85 | 8,546,765.69 |
Netproceedsfromthedisposaloffixedassets,intangibleassetsandotherlong-livedassets | 275,546.00 | 326,835.85 |
Netproceedsfromthedisposalofsubsidiariesandotherbusinessunits | ||
Cashgeneratedfromotherinvestingactivities | 336,150.00 | |
Subtotalofcashgeneratedfrominvestingactivities | 564,355,776.61 | 23,975,484.12 |
Paymentsfortheacquisitionoffixedassets,intangibleassetsandotherlong-livedassets | 133,737,262.64 | 39,236,511.40 |
Paymentsforinvestments | 579,733,766.76 | 65,930,496.31 |
Netincreaseinpledgedloansgranted | ||
Netpaymentsfortheacquisitionofsubsidiariesandotherbusinessunits | ||
Cashusedinotherinvestingactivities | 4,141,850.71 | |
Subtotalofcashusedininvestingactivities | 717,612,880.11 | 105,167,007.71 |
Netcashgeneratedfrom/usedininvestingactivities | -153,257,103.50 | -81,191,523.59 |
3.Cashflowsfromfinancingactivities: |
Capitalcontributionsreceived | ||
Including:Capitalcontributionsbynon-controllingintereststosubsidiaries | ||
Borrowingsraised | 22,000,000.00 | 34,000,000.00 |
Cashgeneratedfromotherfinancingactivities | ||
Subtotalofcashgeneratedfromfinancingactivities | 22,000,000.00 | 34,000,000.00 |
Repaymentofborrowings | 22,000,000.00 | 59,500,000.00 |
Interestanddividendspaid | 3,232,890.38 | 19,005,058.96 |
Including:Dividendspaidbysubsidiariestonon-controllinginterests | ||
Cashusedinotherfinancingactivities | 2,500,000.00 | |
Subtotalofcashusedinfinancingactivities | 27,732,890.38 | 78,505,058.96 |
Netcashgeneratedfrom/usedinfinancingactivities | -5,732,890.38 | -44,505,058.96 |
4.Effectofforeignexchangerateschangesoncashandcashequivalents | -8,827,118.35 | 715,396.97 |
5.Netincreaseincashandcashequivalents | 83,979,542.30 | -145,306,375.14 |
Add:Cashandcashequivalents,beginningoftheperiod | 545,959,998.20 | 691,266,373.34 |
6.Cashandcashequivalents,endoftheperiod | 629,939,540.50 | 545,959,998.20 |
6.CashFlowStatementoftheCompanyastheParent
Unit:RMB
Item | 2020 | 2019 |
1.Cashflowsfromoperatingactivities: | ||
Proceedsfromsaleofcommoditiesandrenderingofservices | 1,963,288,154.66 | 1,911,679,765.84 |
Taxrebates | 25,903,016.36 | 34,035,423.13 |
Cashgeneratedfromotheroperatingactivities | 9,006,278.01 | 9,754,947.38 |
Subtotalofcashgeneratedfromoperatingactivities | 1,998,197,449.03 | 1,955,470,136.35 |
Paymentsforcommoditiesandservices | 1,388,644,147.32 | 1,637,576,894.25 |
Cashpaidtoandforemployees | 247,717,051.40 | 237,310,147.26 |
Taxespaid | 26,755,852.89 | 8,675,558.38 |
Cashusedinotheroperatingactivities | 110,744,198.57 | 107,932,998.05 |
Subtotalofcashusedinoperatingactivities | 1,773,861,250.18 | 1,991,495,597.94 |
Netcashgeneratedfrom/usedinoperatingactivities | 224,336,198.85 | -36,025,461.59 |
2.Cashflowsfrominvestingactivities: | ||
Proceedsfromdisinvestment | 500,487.00 | 4,000,000.00 |
Returnoninvestment | 5,437,925.05 | 6,206,814.50 |
Netproceedsfromthedisposaloffixedassets,intangibleassetsandotherlong-livedassets | 183,890.00 | 297,935.85 |
Netproceedsfromthedisposalofsubsidiariesandotherbusinessunits | ||
Cashgeneratedfromotherinvestingactivities | 9,718,669.72 | 9,500,000.00 |
Subtotalofcashgeneratedfrominvestingactivities | 15,840,971.77 | 20,004,750.35 |
Paymentsfortheacquisitionoffixedassets,intangibleassetsandotherlong-livedassets | 4,071,225.07 | 30,078,441.85 |
Paymentsforinvestments | 154,786,000.00 | 60,000,000.00 |
Netpaymentsfortheacquisitionofsubsidiariesandotherbusinessunits | ||
Cashusedinotherinvestingactivities | 9,000,000.00 | 9,500,000.00 |
Subtotalofcashusedininvestingactivities | 167,857,225.07 | 99,578,441.85 |
Netcashgeneratedfrom/usedininvestingactivities | -152,016,253.30 | -79,573,691.50 |
3.Cashflowsfromfinancingactivities: | ||
Capitalcontributionsreceived | ||
Borrowingsraised | 5,000,000.00 | 5,000,000.00 |
Cashgeneratedfromotherfinancingactivities | ||
Subtotalofcashgeneratedfromfinancingactivities | 5,000,000.00 | 5,000,000.00 |
Repaymentofborrowings | 5,000,000.00 | 28,500,000.00 |
Interestanddividendspaid | 1,027,748.70 | 16,009,069.84 |
Cashusedinotherfinancingactivities | 2,500,000.00 | |
Subtotalofcashusedinfinancingactivities | 8,527,748.70 | 44,509,069.84 |
Netcashgeneratedfrom/usedinfinancingactivities | -3,527,748.70 | -39,509,069.84 |
4.Effectofforeignexchangerateschangesoncashandcashequivalents | -6,995,969.85 | 1,031,120.95 |
5.Netincreaseincashandcashequivalents | 61,796,227.00 | -154,077,101.98 |
Add:Cashandcashequivalents,beginningoftheperiod | 497,777,104.81 | 651,854,206.79 |
6.Cashandcashequivalents,endoftheperiod | 559,573,331.81 | 497,777,104.81 |
7.ConsolidatedStatementsofChangesinOwners’Equity2020
Unit:RMB
Item | 2020 | ||||||||||||||
EquityattributabletoownersoftheCompanyastheparent | Non-controllinginterests | Totalowners’equity | |||||||||||||
Sharecapital | Otherequityinstruments | Capitalreserves | Less:Treasurystock | Othercomprehensiveincome | Specificreserve | Surplusreserves | Generalreserve | Retainedearnings | Other | Subtotal | |||||
Preferredshares | Perpetualbonds | Other | |||||||||||||
1.Balanceasattheendof | 561,374,326.00 | 164,328,665.43 | 317,059,775.00 | 17,560,202.07 | 322,226,700.34 | 726,689,929.10 | 2,109,239,597.94 | 19,636,281.01 | 2,128,875,878.95 |
theprioryear | ||||||||
Add:Adjustmentforchangeinaccountingpolicy | ||||||||
Adjustmentforcorrectionofpreviouserror | 1,833.38 | 1,651,336.26 | 1,653,169.64 | 1,653,169.64 | ||||
Adjustmentforbusiness |
combinationundercommoncontrol | |||||||||||||
Otheradjustments | |||||||||||||
2.Balanceasatthebeginningoftheyear | 561,374,326.00 | 164,328,665.43 | 317,059,775.00 | 17,560,202.07 | 322,228,533.72 | 728,341,265.36 | 2,110,892,767.58 | 19,636,281.01 | 2,130,529,048.59 | ||||
3.Increase/decreaseintheperio | 108,422,983.24 | 1,252,784.48 | 3,222,997.42 | 49,557,814.30 | 162,456,579.44 | -137,691.86 | 162,318,887.58 |
d(“-”fordecrease) | ||||||||
3.1Totalcomprehensiveincome | 108,771,351.91 | 52,432,443.05 | 161,203,794.96 | -137,691.86 | 161,066,103.10 | |||
3.2Capitalincreasedandreducedbyowners | ||||||||
3.2.1Ordinarysharesincreased |
byowners |
3.2.2Capitalincreasedbyholdersofotherequityinstruments |
3.2.3Share-basedpaymentsincludedinowners’ |
equity | ||||
3.2.4Other | ||||
3.3Profitdistribution | 3,222,997.42 | -3,222,997.42 | ||
3.3.1Appropriationtosurplusreserves | 3,222,997.42 | -3,222,997.42 | ||
3.3.2Appropriationtogeneralreserve |
3.3.3Appropriationtoowners(orshareholders) | ||||
3.3.4Other | ||||
3.4Transferswithinowners’equity | -348,368.67 | 348,368.67 | ||
3.4.1Increaseincapital(or |
sharecapital)fromcapitalreserves |
3.4.2Increaseincapital(orsharecapital)fromsurplusreserves |
3.4.3Lossoffsetbysurplus |
reserves |
3.4.4Changesindefinedbenefitschemestransferredtoretainedearnings |
3.4.5Othercomprehensiveincometransferred |
toretainedearnings | |||||||||||||
3.4.6Other | -348,368.67 | 348,368.67 | |||||||||||
3.5Specificreserve | 1,252,784.48 | 1,252,784.48 | 1,252,784.48 | ||||||||||
3.5.1Increaseintheperiod | 3,766,291.74 | 3,766,291.74 | 3,766,291.74 | ||||||||||
3.5.2Usedintheperiod | 2,513,507.26 | 2,513,507.26 | 2,513,507.26 | ||||||||||
3.6Other | |||||||||||||
4.Bala | 561,374,326.00 | 164,328,665.43 | 425,482,758.24 | 18,812,986.55 | 325,451,531.14 | 777,899,079.66 | 2,273,349,347.02 | 19,498,589.15 | 2,292,847,936.17 |
2019
Unit:RMB
nceasattheendoftheperiod
Item
Item | 2019 | ||||||||||||||
EquityattributabletoownersoftheCompanyastheparent | Non-controllinginterests | Totalowners’equity | |||||||||||||
Sharecapital | Otherequityinstruments | Capitalreserves | Less:Treasurystock | Othercomprehensiveincome | Specificreserve | Surplusreserves | Generalreserve | Retainedearnings | Other | Subtotal | |||||
Preferredshares | Perpetualbonds | Other | |||||||||||||
1.Balanceasattheendoftheprioryear | 561,374,326.00 | 164,328,665.43 | 264,405,675.00 | 15,182,958.83 | 320,133,050.15 | 717,883,351.33 | 2,043,308,026.74 | 19,618,480.11 | 2,062,926,506.85 | ||||||
Add:Adjustmentforchangeinaccounti |
ngpolicy | |||||||||||||
Adjustmentforcorrectionofpreviouserror | 1,364.08 | 1,619,864.82 | 1,621,228.90 | 1,621,228.90 | |||||||||
Adjustmentforbusinesscombinationundercommoncontrol | |||||||||||||
Otheradjustments | |||||||||||||
2.Balanceasatthebeginningoftheyear | 561,374,326.00 | 164,328,665.43 | 264,405,675.00 | 15,182,958.83 | 320,134,414.23 | 719,503,216.15 | 2,044,929,255.64 | 19,618,480.11 | 2,064,547,735.75 | ||||
3.Increase/decreaseinthe | 52,654,100.00 | 2,377,243.24 | 2,094,119.49 | 8,838,049.21 | 65,963,511.94 | 17,800.90 | 65,981,312.84 |
period(“-”fordecrease) | ||||||||
3.1Totalcomprehensiveincome | 52,654,100.00 | 24,966,526.85 | 77,620,626.85 | 17,800.90 | 77,638,427.75 | |||
3.2Capitalincreasedandreducedbyowners | ||||||||
3.2.1Ordinarysharesincreasedbyowners | ||||||||
3.2.2Capitalincreasedbyholdersofotherequity |
instruments | ||||||||
3.2.3Share-basedpaymentsincludedinowners’equity | ||||||||
3.2.4Other | ||||||||
3.3Profitdistribution | 2,094,119.49 | -16,128,477.64 | -14,034,358.15 | -14,034,358.15 | ||||
3.3.1Appropriationtosurplusreserves | 2,094,119.49 | -2,094,119.49 | ||||||
3.3.2Appropriationtogeneralreserve |
3.3.3Appropriationtoowners(orshareholders) | -14,034,358.15 | -14,034,358.15 | -14,034,358.15 | |||
3.3.4Other | ||||||
3.4Transferswithinowners’equity | ||||||
3.4.1Increaseincapital(orsharecapital)fromcapitalreserves | ||||||
3.4.2Increaseincapital(orshare |
capital)fromsurplusreserves |
3.4.3Lossoffsetbysurplusreserves |
3.4.4Changesindefinedbenefitschemestransferredtoretainedearnings |
3.4.5Othercomprehensiveincometransferredtoretained |
earnings | |||||||||||||
3.4.6Other | |||||||||||||
3.5Specificreserve | 2,377,243.24 | 2,377,243.24 | 2,377,243.24 | ||||||||||
3.5.1Increaseintheperiod | 3,868,727.07 | 3,868,727.07 | 3,868,727.07 | ||||||||||
3.5.2Usedintheperiod | 1,491,483.83 | 1,491,483.83 | 1,491,483.83 | ||||||||||
3.6Other | |||||||||||||
4.Balanceasattheendoftheperiod | 561,374,326.00 | 164,328,665.43 | 317,059,775.00 | 17,560,202.07 | 322,228,533.72 | 728,341,265.36 | 2,110,892,767.58 | 19,636,281.01 | 2,130,529,048.59 |
8.StatementsofChangesinOwners’EquityoftheCompanyastheParent2020
Unit:RMB
Item | 2020 | |||||||||||
Sharecapital | Otherequityinstruments | Capitalreserves | Less:Treasurystock | Othercomprehensiveincome | Specificreserve | Surplusreserves | Retainedearnings | Other | Totalowners’equity | |||
Preferredshares | Perpetualbonds | Other | ||||||||||
1.Balanceasattheendoftheprioryear | 561,374,326.00 | 183,071,147.70 | 317,059,775.00 | 17,560,202.07 | 322,226,700.34 | 648,776,959.53 | 2,050,069,110.64 | |||||
Add:Adjustmentforchangeinaccountingpolicy | ||||||||||||
Adjustmentforcorrectionofpreviouserror | 1,833.38 | 16,500.44 | 18,333.82 | |||||||||
Otheradjustments | ||||||||||||
2.Balanceasatthebeginningoftheyear | 561,374,326.00 | 183,071,147.70 | 317,059,775.00 | 17,560,202.07 | 322,228,533.72 | 648,793,459.97 | 2,050,087,444.46 |
3.Increase/decreaseintheperiod(“-”fordecrease) | 108,422,983.24 | 1,252,784.48 | 3,222,997.42 | 29,006,976.78 | 141,905,741.92 | ||
3.1Totalcomprehensiveincome | 108,771,351.91 | 31,881,605.53 | 140,652,957.44 | ||||
3.2Capitalincreasedandreducedbyowners | |||||||
3.2.1Ordinarysharesincreasedbyowners | |||||||
3.2.2Capitalincreasedbyholdersofotherequityinstruments | |||||||
3.2.3Share-basedpaymentsincludedinowners’ |
equity | |||||
3.2.4Other | |||||
3.3Profitdistribution | 3,222,997.42 | -3,222,997.42 | |||
3.3.1Appropriationtosurplusreserves | 3,222,997.42 | -3,222,997.42 | |||
3.3.2Appropriationtoowners(orshareholders) | |||||
3.3.3Other | |||||
3.4Transferswithinowners’equity | -348,368.67 | 348,368.67 | |||
3.4.1Increaseincapital(orsharecapital)fromcapitalreserves |
3.4.2Increaseincapital(orsharecapital)fromsurplusreserves | |||||||
3.4.3Lossoffsetbysurplusreserves | |||||||
3.4.4Changesindefinedbenefitschemestransferredtoretainedearnings | |||||||
3.4.5Othercomprehensiveincometransferredtoretainedearnings | -348,368.67 | 348,368.67 | |||||
3.4.6Other | |||||||
3.5 | 1,252,784. | 1,252,784.48 |
Specificreserve | 48 | |||||||||
3.5.1Increaseintheperiod | 3,766,291.74 | 3,766,291.74 | ||||||||
3.5.2Usedintheperiod | 2,513,507.26 | 2,513,507.26 | ||||||||
3.6Other | ||||||||||
4.Balanceasattheendoftheperiod | 561,374,326.00 | 183,071,147.70 | 425,482,758.24 | 18,812,986.55 | 325,451,531.14 | 677,800,436.75 | 2,191,993,186.38 |
2019
Unit:RMB
Item | 2019 | |||||||||||
Sharecapital | Otherequityinstruments | Capitalreserves | Less:Treasurystock | Othercomprehensiveincome | Specificreserve | Surplusreserves | Retainedearnings | Other | Totalowners’equity | |||
Preferredshares | Perpetualbonds | Other | ||||||||||
1.Balanceasattheendoftheprioryear | 561,374,326.00 | 183,071,147.70 | 264,405,675.00 | 15,182,958.83 | 320,133,050.15 | 643,968,465.93 | 1,988,135,623.61 | |||||
Add:Adjustmentforchangeinaccountingpolicy |
Adjustmentforcorrectionofpreviouserror | 1,364.08 | 12,276.71 | 13,640.79 | |||||||
Otheradjustments | ||||||||||
2.Balanceasatthebeginningoftheyear | 561,374,326.00 | 183,071,147.70 | 264,405,675.00 | 15,182,958.83 | 320,134,414.23 | 643,980,742.64 | 1,988,149,264.40 | |||
3.Increase/decreaseintheperiod(“-”fordecrease) | 52,654,100.00 | 2,377,243.24 | 2,094,119.49 | 4,812,717.33 | 61,938,180.06 | |||||
3.1Totalcomprehensiveincome | 52,654,100.00 | 20,941,194.97 | 73,595,294.97 | |||||||
3.2Capitalincreasedandreducedbyowners | ||||||||||
3.2.1Ordinarysharesincreasedbyowners |
3.2.2Capitalincreasedbyholdersofotherequityinstruments | |||||
3.2.3Share-basedpaymentsincludedinowners’equity | |||||
3.2.4Other | |||||
3.3Profitdistribution | 2,094,119.49 | -16,128,477.64 | -14,034,358.15 | ||
3.3.1Appropriationtosurplusreserves | 2,094,119.49 | -2,094,119.49 | |||
3.3.2Appropriationtoowners(orshareholders) | -14,034,358.15 | -14,034,358.15 | |||
3.3.3Other |
3.4Transferswithinowners’equity |
3.4.1Increaseincapital(orsharecapital)fromcapitalreserves |
3.4.2Increaseincapital(orsharecapital)fromsurplusreserves |
3.4.3Lossoffsetbysurplusreserves |
3.4.4Changesindefinedbenefitschemestransferred |
toretainedearnings | ||||||||||
3.4.5Othercomprehensiveincometransferredtoretainedearnings | ||||||||||
3.4.6Other | ||||||||||
3.5Specificreserve | 2,377,243.24 | 2,377,243.24 | ||||||||
3.5.1Increaseintheperiod | 3,868,727.07 | 3,868,727.07 | ||||||||
3.5.2Usedintheperiod | 1,491,483.83 | 1,491,483.83 | ||||||||
3.6Other | ||||||||||
4.Balanceasattheendoftheperiod | 561,374,326.00 | 183,071,147.70 | 317,059,775.00 | 17,560,202.07 | 322,228,533.72 | 648,793,459.97 | 2,050,087,444.46 |
III.CompanyProfileChangchaiCompany,Limited(hereinafterreferredtoas“theCompany”)wasfoundedon5May1994,whichisacompanylimitedbysharespromotedsolelybyChangzhouDieselEnginePlantthroughtheapprovalbytheStateCommissionforRestructuringtheEconomicSystemswithdocumentTGS[1993]No.9on15January1993bywayofpublicofferingofshares.WiththeapprovedofthePeople’sGovernmentofJiangsuProvinceSZF[1993]No.67,aswellasreexaminedandapprovedbyChinaSecuritiesRegulatoryCommission(“CSRC”)throughdocumentZJFSZ(1994)No.9,theCompanyinitiallyissuedAsharestothepublicfrom15March1994to30March1994.AsapprovedbytheShenzhenStockExchangethroughdocumentSZSFZ(1994)No.15,suchtradablesharesofthepublicgotlistingon1July1994atShenzhenStockExchangewith“SuChangchaiA”forshortofstock,aswellas“0570”asstockcode(presentstockcodeis“000570”).In1996,withtherecommendationoftheOfficeofthePeople’sGovernmentofJiangsuProvinceSZBH[1996]No.13,aswellasfirstreviewbyShenzhenMunicipalSecuritiesAdministrationOfficethroughSZBZ[1996]No.24,andapprovaloftheStateCouncilSecuritiesCommissionZWF[1996]No.27,theCompanyissued100millionBsharestoqualifiedinvestorson27August1996to30August1996,gettinglistedon13September1996.On9June2006,theCompanyheldashareholders’generalmeetingrelatedtoAsharesmarkettoexamineandapprovesharemergerreformplan,andperformedthesharemergerreformon19June2006.Asexaminedandapprovedatthe2
ndExtraordinaryGeneralMeetingof2009inSeptember2009,basedonthetotalsharecapitalof374,249,551sharesasat30June2009,theCompanyimplementedtheprofitdistributionplan,i.e.todistribute5bonussharesandcashofRMB0.80forevery10shares,withregisteredcapitalincreasedbyRMB187,124,775.00,aswellasregisteredcapitalofRMB561,374,326.00afterchange.Asat31December2015,thetotalsharecapitaloftheCompanyis561,374,326.00shares,aswellasregisteredcapitalofRMB561,374,326.00,whichverifiedbyJiangsuGongzhengTianyeCertifiedPublicAccountantsCompanyLimitedwithissuingCapitalVerificationReportSGC[2010]No.B002.AndtheunifiedsocialcreditcodeoftheenterprisebusinesslicenseoftheCompanyis91320400134792410W.TheCompany’sregisteredaddressissituatedatNo.123HuaideMiddleRoad,Changzhou,Jiangsu,aswellasitsheadofficelocatedatNo.123HuaideMiddleRoad,Changzhou,Jiangsu.TheCompanybelongstomanufacturingwithbusinessscopeincludingmanufacturingandsaleofdieselengine,dieselenginespartandcasting,grainharvestingmachine,rotarycultivators,walkingtractor,mouldandfixtures,assemblingandsaleofdieselgeneratingsetandpumpingunit.TheCompanymainlyengagedintheproductionandsalesofsmallandmedium-sizedsinglecylindersandmulti-cylinderdieselenginewiththelabelofChangchaiBrand.ThedieselengineproducedandsoldbytheCompanyweremainlyusedintractors,combineharvestmodels,lightcommercialvehicle,farmequipment,small-sizedconstructionmachinery,generatingsetsandshipbornemachineryandequipment,etc.TheCompany’smainbusinessremainedunchangedintheReportingPeriod.TheCompanyestablishedtheShareholders’GeneralMeeting,theBoardofDirectorsandtheSupervisoryCommittee,Corporateoffice,FinancialDepartment,PoliticalDepartment,InvestmentandDevelopmentDepartment,AuditDepartment,HumanRecoursesDepartment,ProductionDepartment,ProcurementDepartment,SalesCompany,ChiefEngineerOffice,TechnologyCenter,QADepartment,FoundryBranch,MachineProcessingBranch,Single-cylinderEnginebranch,Multi-cylinderEngineBranchandOverseasBusinessDepartmentintheCompany.ThefinancialreporthasbeenapprovedtobeissuedbytheBoardofDirectorson13April2021.TheconsolidatedscopeoftheCompanyoftheReportingPeriodincludestheCompanyastheparentand7subsidiaries.ForthedetailsoftheconsolidatedscopeoftheReportingPeriodandthechangessituation,please
refertothechangesoftheconsolidatedscopeofthenotestothefinancialreportandthenotestotheequitiesamongotherentities.
IV.BasisforPreparationoftheFinancialReport
1.BasisforPreparationWiththegoing-concernassumptionasthebasisandbasedontransactionsandothereventsthatactuallyoccurred,theGrouppreparedfinancialstatementsinaccordancewithTheAccountingStandardsforBusinessEnterprises—BasicStandardissuedbytheMinistryofFinancewithDecreeNo.33andrevisedwithDecreeNo.76,thevariousspecificaccountingstandards,theApplicationGuidanceofAccountingStandardsforBusinessEnterprises,theInterpretationofAccountingStandardsforBusinessEnterprisesandotherregulationsissuedandrevisedfrom15February2006onwards(hereinafterjointlyreferredtoas“theAccountingStandardsforBusinessEnterprises”,“ChinaAccountingStandards”or“CAS”),aswellastheRulesforPreparationConventionofDisclosureofPublicOfferingCompaniesNo.15–GeneralRegulationsforFinancialReporting(revisedin2014)byChinaSecuritiesRegulatoryCommission.InaccordancewithrelevantprovisionsoftheAccountingStandardsforBusinessEnterprises,theGroupadoptedtheaccrualbasisinaccounting.Exceptforsomefinancialinstruments,whereimpairmentoccurredonanasset,animpairmentreservewaswithdrawnaccordinglypursuanttorelevantrequirements.
2.ContinuationTheCompanycomprehensivelyevaluatedtheinformationacquiredrecentlythattherewouldbenosuchfactorsinthe12monthsfromtheendoftheReportingPeriodthatwouldobviouslyinfluencethecontinuationcapabilityoftheCompanyandpredictedthattheoperatingactivitieswouldcontinueinthefuture12monthsoftheCompany.Thefinancialstatementcompiledbaseonthecontinuousoperation.
V.ImportantAccountingPoliciesandEstimationsNotificationofspecificaccountingpoliciesandaccountingestimations:
TheCompanyandeachsubsidiaryaccordingtotheactualproductionandoperationcharacteristicsandinaccordwiththeregulationsoftherelevantASBE,formulatedcertainspecificaccountingpoliciesandaccountingestimations,whichmainlyreflectedinthefinancialinstruments,withdrawalmethodofthebaddebtprovisionoftheaccountsreceivable,themeasurementoftheinventoryandthedepreciationofthefixedassetsetc.
1.StatementofCompliancewiththeAccountingStandardsforBusinessEnterprisesThefinancialstatementspreparedbytheGroupareincompliancewithincompliancewiththeAccountingStandardsforBusinessEnterprises,whichfactuallyandcompletelypresenttheCompany’sandtheGroup’sfinancialpositions,businessresultsandcashflowsandotherrelevantinformation.
2.FiscalPeriodThefiscalperiodsaredividedintofiscalyearandmetaphase,thefiscalyearisfromJanuary1toDecember31andasthemetaphaseincludedmonthly,quarterlyandsemi-yearlyperiods.
3.OperatingCycleAnormaloperatingcyclereferstoaperiodfromtheGrouppurchasingassetsforprocessingtorealizingcashorcashequivalents.AnoperatingcyclefortheGroupis12months,whichisalsotheclassificationcriterionfortheliquidityofitsassetsandliabilities.
4.CurrencyUsedinBookkeepingRenminbiisfunctionalcurrencyoftheCompany.
5.AccountingMethodsforBusinessCombinationsundertheSameControlandBusinessCombinationsnotundertheSameControl
(1)Businesscombinationsunderthesamecontrol:
Abusinesscombinationunderthesamecontrolisabusinesscombinationinwhichallofthecombiningenterprisesareultimatelycontrolledbythesamepartyorthesamepartiesbothbeforeandafterthebusinesscombinationandonwhichthecontrolisnottemporary.Forthemergerofenterprisesunderthesamecontrol,iftheconsiderationofthemergingenterpriseisthatitmakespaymentincash,transfersnon-cashassetsorbearitsdebts,itshall,onthedateofmerger,regardtheshareofthebookvalueoftheowner'sequityofthemergedenterpriseastheinitialcostofthelong-termequityinvestment.Thedifferencebetweentheinitialcostofthelong-termequityinvestmentandthepaymentincash,non-cashassetstransferredaswellasthebookvalueofthedebtsbornebythemergingpartyshalloffsetagainstthecapitalreserve.Ifthecapitalreserveisinsufficienttodilute,theretainedearningsshallbeadjusted.Iftheconsiderationofthemergingenterpriseisthatitissuesequitysecurities,itshall,onthedateofmerger,regardtheshareofthebookvalueoftheowner'sequityofthemergedenterpriseastheinitialcostofthelong-termequityinvestment.Thetotalfacevalueofthestocksissuedshallberegardedasthecapitalstock,whilethedifferencebetweentheinitialcostofthelong-termequityinvestmentandtotalfacevalueofthesharesissuedshalloffsetagainstthecapitalreserve.Ifthecapitalreserveisinsufficienttodilute,theretainedearningsshallbeadjusted.Alldirectcostsforthebusinesscombination,includingexpensesforaudit,evaluatingandlegalservicesshallberecordedintotheprofitsandlossesatthecurrentperiod.Theexpensessuchasthehandlingchargesandcommissionetc,premiumincomeofdeductingtheequitysecurities,andasforthepremiumincomewasinsufficienttodilute,theretainedearningsshallbewrittendown.Owningtothereasonssuchastheadditionalinvestment,fortheequityinvestmentheldbeforeacquiringthecontrolrightofthecombinedparties,theconfirmedrelevantgainsandlosses,othercomprehensiveincomeandthechangesofothernetassetssincethedateoftheearlieronebetweenthedatewhenacquiringtheoriginalequityrightandthedatewhenthecombinepartiesandcombinedoneswereunderthesamecontroltothecombinationdate,shouldberespectivelywrittendownandcomparedwiththebeginningbalanceofretainedearningsorthecurrentgainsandlossesduringthestatementperiod.
(2)BusinesscombinationsnotunderthesamecontrolAbusinesscombinationnotunderthesamecontrolisabusinesscombinationinwhichthecombiningenterprisesarenotultimatelycontrolledbythesamepartyorthesamepartiesbothbeforeandafterthebusinesscombination.Thecombinationcostsoftheacquirerandtheidentifiablenetassetsobtainedbytheacquirerinabusinesscombinationshallbemeasuredatthefairvalues.Theacquirershallrecognizethepositivebalancebetweenthecombinationcostsandthefairvalueoftheidentifiablenetassetsitobtainsformstheacquireeasbusiness
reputation.Thedirectrelevantexpensesoccurredfromtheenterprisecombinationshouldbeincludedinthecurrentgainsandlosseswhenoccurred.Thecombinationcostsoftheacquirerandtheidentifiablenetassetsobtainedbyitinthecombinationshallbemeasuredaccordingtotheirfairvaluesattheacquiringdate.ThedifferencebetweenthefairvalueoftheassetspaidoutbytheCompanyanditsbookvalueshouldbeincludedinthecurrentgainsandlosses.Thepurchasedatereferstothedatethatthepurchaseracquiresthecontrolrightoftheacquiree.Forthebusinesscombinationsnotunderthesamecontrolrealizedthroughstepbystepmultipletransaction,asfortheequityintereststhattheGroupholdsintheacquireebeforetheacquiringdate,theyshallbere-measuredaccordingtotheirfairvaluesattheacquiringdate;thepositivedifferencebetweentheirfairvaluesandcarryingamountsshallberecordedintotheinvestmentgainsfortheperiodincludingtheacquiringdate.Theequityholedbytheacquireewhichinvolvedwiththeothercomprehensiveincomeandtheotherowners’equitieschangesexceptforthenetgainsandlosses,othercomprehensiveincomeandtheprofitsdistributionandotherrelatedcomprehensivegainsandotherowners’equitieswhichinrelationtotheequityintereststhattheGroupholdsintheacquireebeforetheacquiringdateshouldbetransferredintothecurrentinvestmentincomeontheacquiringdate,exceptfortheothercomprehensiveincomeoccurredfromthere-measurementofthenetprofitsofthedefinedbenefitplansorthechangesofthenetassetsoftheinvestees.
6.MethodsforPreparingConsolidatedFinancialStatementsTheCompanyconfirmstheconsolidatedscopebasedonthecontrolandincludesthesubsidiarieswithactualcontrolrightintotheconsolidatedfinancialstatement.TheconsolidatedfinancialstatementoftheCompanyiscompiledaccordingtotheregulationsofNo.33ofASBE-ConsolidatedFinancialStatementandtherelevantregulationsandasforthewholesignificantcome-and-gobalance,investment,transactionandtheunrealizedprofitsshouldbewrittenoffwhencompilingtheconsolidatedfinancialstatement.Theportionofasubsidiary’sshareholders’equityandtheportionofasubsidiary’snetprofitsandlossesfortheperiodnotheldbytheGrouparerecognizedasminorityinterestsandminorityshareholderprofitsandlossesrespectivelyandpresentedseparatelyundershareholders’equityandnetprofitsintheconsolidationfinancialstatements.Theportionofasubsidiary’snetprofitsandlossesfortheperiodthatbelongtominorityinterestsispresentedastheitemof“minorityshareholderprofitsandlosses”underthebiggeritemofnetprofitsintheconsolidatedfinancialstatements.Wherethelossofasubsidiarysharedbyminorityshareholdersexceedstheportionenjoyedbyminorityshareholdersinthesubsidiary’sopeningowners’equity,minorityinterestsareoffset.TheaccountingpolicyoraccountingperiodofeachsubsidiaryisdifferentfromwhichoftheCompany,whichshallbeadjustedastheCompany;orsubsidiariesshallpreparefinancialstatementagainrequiredbytheCompanywhenpreparingtheconsolidatedfinancialstatements.Asfortheaddedsubsidiarycompanynotcontrolledbythesameenterprisepreparingtheconsolidatedfinancialstatement,shalladjustindividualfinancialstatementbasedonthefairvalueoftheidentifiablenetassetsontheacquisitiondate;asfortheaddedsubsidiarycompaniescontrolledbythesameenterprisepreparingthefinancialstatement,shallnotadjustthefinancialstatementofthesubsidiaries,namelysurvivedbyintegrationasparticipatingintheconsolidationwhenthefinalcontrolpartystartsimplementingcontrolandshouldadjusttheperiod-beginamountoftheconsolidatedbalancesheetandatthesametimeadjusttherelevantitemsofthecomparedstatement.Asforthedisposedsubsidiaries,theoperationresultandthecashflowshouldbeincludedintheconsolidatedincomestatementandtheconsolidatedcashflowbeforethedisposingdate;thedisposedsubsidiariesofthe
currentperiod,shouldnotbeadjustedtheperiod-beginamountoftheconsolidatedbalancesheet.WheretheGrouplossescontrolonitsoriginalsubsidiariesduetodisposalofsomeequityinvestmentsorotherreasons,theresidualequityinterestsarere-measuredaccordingtothefairvalueonthedatewhensuchcontrolceases.Thesummationoftheconsiderationobtainedfromthedisposalofequityinterestsandthefairvalueoftheresidualequityinterests,minustheportionintheoriginalsubsidiary’snetassetsmeasuredonacontinuousbasisfromtheacquisitiondatethatisenjoyablebytheGroupaccordingtotheoriginalshareholdingpercentageinthesubsidiary,isrecordedininvestmentgainsfortheperiodwhentheGroup’scontrolonthesubsidiaryceases.Othercomprehensiveincomesinrelationtotheequityinvestmentandtheotherowners’equitieschangesexceptforthenetgainsandlosses,othercomprehensiveincomeandprofitsdistributionintheoriginalsubsidiaryaretreatedonthesameaccountingbasisastheacquireedirectlydisposestherelevantassetsorliabilities(thatis,exceptforthechangesinthenetliabilitiesorassetswithadefinedbenefitplanresultedfromre-measurementoftheoriginalsubsidiary,therestshallallbetransferredintocurrentinvestmentgains)whensuchcontrolceases.AndsubsequentmeasurementisconductedontheresidualequityinterestsaccordingtotheNo.2AccountingStandardforBusinessEnterprises-Long-termEquityInvestmentsortheNo.22AccountingStandardforBusinessEnterprises-RecognitionandMeasurementofFinancialInstruments.Forthedisposalofequityinvestmentbelongstoapackagedeal,shouldbeconsideredasatransactionandconductaccountingtreatment.However,Beforelosingcontrol,everydisposalcostandcorrespondingnetassetsbalanceofsubsidiaryofdisposalinvestmentareconfirmedasothercomprehensiveincomeinconsolidatedfinancialstatements,whichtogethertransferredintothecurrentprofitsandlossesinthelossofcontrol,whentheGrouplosingcontrolonitssubsidiary.Forthedisposaloftheequityinvestmentnotbelongstoapackagedeal,shouldbeexecutedaccountingtreatmentaccordingtotherelevantpoliciesofpartlydisposingtheequityinvestmentofthesubsidiariesunderthesituationnotlosethecontrolrightbeforelosingthecontrolright;whenlosingthecontrolright,theformershouldbeexecutedaccountingtreatmentaccordingtothegeneraldisposingmethodofthedisposalofthesubsidiaries.
7.ClassificationofJointArrangementsandAccountingTreatmentofJointOperationsTheGroupclassifiesjointarrangementsintojointoperationsandjointventures.AjointoperationreferstoajointarrangementwheretheGroupisthejointoperationspartyofthejointarrangementandenjoysassetsandhastobearliabilitiesrelatedtothearrangement.TheCompanyconfirmsthefollowingitemsrelatedtotheinterestsshareamongthejointoperationsandexecutesaccountingtreatmentaccordingtotheregulationsoftherelevantASBE:
(1)Recognizestheassetsthatitholdsandbearsinthejointoperationandrecognizesthejointly-heldassetsaccordingtotheGroup’sstakeinthejointoperation;
(2)Recognizestheliabilitiesthatitholdsandbearsinthejointoperationandrecognizesthejointly-heldliabilitiesaccordingtotheGroup’sstakeinthejointoperation;
(3)RecognizestheincomefromsaleoftheGroup’sshareintheoutputofthejointoperation
(4)Recognizestheincomefromsaleofthejointoperation’soutputsaccordingtotheGroup’sstakeinit
(5)RecognizestheexpensesolelyincurredtotheGroupandtheexpenseincurredtothejointoperationaccordingtotheGroup’sstakeinit.
8.RecognitionStandardforCashandCashEquivalentsIntheGroup’sunderstanding,cashandcashequivalentsincludecashonhand,anydepositthatcanbeusedforcover,andshort-term(usuallyduewithin3monthssincethedayofpurchase)andhighcirculatinginvestments,whichareeasilyconvertibleintoknownamountofcashandwhoserisksinchangeofvalueareminimal.
9.ForeignCurrencyBusinessesandTranslationofForeignCurrencyFinancialStatements
(1)ForeigncurrencybusinessConcerningtheforeign-currencytransactionsthatoccurred,theforeigncurrencyshallbeconvertedintotherecordingcurrencyaccordingtothemiddlepriceofthemarketexchangeratedisclosedbythePeople’sBankofChinaonthedateofthetransaction.Amongthesaidtransactionsthatoccurred,thoseinvolvingforeignexchangesshallbeconvertedaccordingtotheexchangeratesadoptedintheactualtransactions.Onthebalancesheetdate,theforeign-currencymonetaryassetsandthebalanceoftheliabilityaccountshallbeconvertedintotherecodingcurrencyaccordingtothemiddlepriceofthemarketexchangeratesdisclosedbythePeople’sBankofChinaontheBalanceSheetDate.Thedifferencebetweentherecording-currencyamountconvertedaccordingtotheexchangerateontheBalanceSheetDateandtheoriginalbookrecording-currencyamountshallberecognizedasgains/lossesfromforeignexchange.Andtheexchangegain/losscausedbytheforeign-currencyborrowingsrelatedtopurchasingfixedassetsshallbehandledaccordingtotheprincipleofcapitalizingborrowingexpenses;theexchangegain/lossincurredintheestablishmentperiodshallberecordedintotheestablishmentexpense;othersshallberecordedintothefinancialexpensesforthecurrentperiod.Onthebalancesheetdate,theforeign-currencynon-monetaryitemsmeasuredbyhistoricalcostshallbeconvertedaccordingtothemiddlepriceofthemarketexchangedisclosedbythePeople’sBankofChinaonthedateofthetransaction,withnochangesintheoriginalrecording-currencyamount;whiletheforeign-currencynon-monetaryitemsmeasuredbyfairvalueshallbeconvertedaccordingtothemiddlepriceofthemarketexchangedisclosedbythePeople’sBankofChinaonthedatewhenthefairvalueisrecognized,andtheexchangegain/losscausedthereofshallberecognizedasthegain/lossfromfairvaluechangesandrecordedintothegain/lossofthecurrentperiod.
(2)TranslationofforeigncurrencyTheassetsandliabilitiesitemsamongthebalancesheetoftheforeignoperationshallbetranslatedataspotexchangerateonthebalancesheetdate.Amongtheowner’sequityitems,exceptfortheitemsas“undistributedprofits”,otheritemsshallbetranslatedatthespotexchangerateatthetimewhentheyareincurred.Andtherevenuesandexpensesitemsamongthebalancesheetoftheforeignoperationshallbetranslatedattheapproximateexchangerateofthetransactiondate.Thedifferencecausedfromtheabovetransactionoftheforeigncurrencystatementshouldbelistedintheothercomprehensiveincomeamongtheowners’equities.
10.FinancialInstruments
(1)ClassificationofFinancialInstrumentsTheCompanyclassifiesthefinancialassetswheninitiallyrecognizedintothefollowingthreecategoriesbasedonthebusinessmodelforfinancialassetsmanagementandcharacteristicsofcontractualcashflowoffinancialassets:
financialassetsmeasuredatamortizedcost,financialassetsatfairvaluethroughothercomprehensiveincome(debtinstruments)andfinancialassetsatfairvaluethroughprofitorlossFinancialliabilitieswereclassifieswheninitiallyrecognizedintofinancialliabilitiesatfairvaluethroughprofitorlossandfinancialliabilitiesmeasuredatamortizedcost.
(2)RecognitionBasisandMeasurementMethodforFinancialInstruments
①FinancialassetsmeasuredatamortizedcostFinancialassetsatamortizedcostincludenotesreceivable,accountsreceivable,otherreceivables,long-termreceivables,andinvestmentindebtobligationswhichareinitiallymeasuredatfairvalueandrelatedtransactioncostshallberecordedintotheinitialrecognizedamount.ForaccountsreceivableexcludingsignificantfinancingandaccountsreceivablethattheCompanydecidesnottoconsiderfinancingcomponentslessthanoneyear,theinitialmeasurementshallbemadeatthecontracttransactionprice.Theinterestcalculatedwithactualratesfortheholdingperiodshallberecordedintothecurrentprofitorloss.Whenrecoveredordisposed,thedifferencebetweenthepriceobtainedandthecarryingvalueofthefinancialassetsshallberecordedintothecurrentprofitorloss.
②Financialassetsatfairvaluethroughothercomprehensiveincome(debtinstruments)Financialassetsatfairvaluethroughothercomprehensiveincome(debtinstruments)includeaccountsreceivablefinancingandinvestmentinotherdebtobligationswhichareinitiallymeasuredatfairvalueandrelatedtransactioncostshallberecordedintotheinitialrecognizedamount.Thesubsequentmeasurementofthefinancialassetsshallbeatfairvalueandchangesoffairvalueexceptforinterestcalculatedwithactualrates,impairmentlossesorgainsandexchangegainsorlossesshallberecordedintoothercomprehensiveincome.Whenderecognized,theaccumulatedgainsorlossesoriginallyrecordedintoothercomprehensiveincomeshallbetransferredintothecurrentprofitorloss.
③Financialassetsatfairvaluethroughothercomprehensiveincome(equityinstruments)Financialassetsatfairvaluethroughothercomprehensiveincome(equityinstruments)includeinvestmentinotherequityinstruments,etc.whichareinitiallymeasuredatfairvalueandrelatedtransactioncostshallberecordedintotheinitialrecognizedamount.Thesubsequentmeasurementofthefinancialassetsshallbeatfairvalueandchangesoffairvalueshallberecordedintoothercomprehensiveincome.Thedividendsobtainedshallberecordedintothecurrentprofitorloss.Whenderecognized,theaccumulatedgainsorlossesoriginallyrecordedintoothercomprehensiveincomeshallbetransferredintoretainedearnings.
④FinancialassetsatfairvaluethroughprofitorlossFinancialassetsatfairvaluethroughprofitorlossincludeheld-for-tradingfinancialassets,derivativefinancialassetsandothernon-currentfinancialassetswhichareinitiallymeasuredatfairvalueandtherelatedtransactioncostshallberecordedintothecurrentprofitorloss.Thesubsequentmeasurementofthefinancialassetsshallbeatfairvalueandthechangesoffairvalueshallberecordedintothecurrentprofitorloss.
⑤FinancialliabilitiesatfairvaluethroughprofitorlossFinancialliabilitiesatfairvaluethroughprofitorlossincludeheld-for-tradingfinancialliabilitiesandderivativefinancialliabilitieswhichareinitiallymeasuredatfairvalueandtherelatedtransactioncostshallberecordedintothecurrentprofitorloss.Thesubsequentmeasurementofthefinancialliabilitiesshallbeatfairvalueandthechangesoffairvalueshallberecordedintothecurrentprofitorloss.Whenderecognized,thedifferencebetweenthecarryingvalueandthepaidconsiderationshallberecordedintothecurrentprofitorloss.
⑥FinancialliabilitiesatamortizedcostFinancialliabilitiesatamortizedcostincludeshort-termborrowings,notespayable,accountspayable,otherpayables,long-termborrowings,bondspayableandlong-termpayableswhichareinitiallymeasuredatfairvalueandtherelatedtransactioncostshallberecordedintotheinitialrecognizedamount.Theinterestcalculatedwithactualratesfortheholdingperiodshallberecordedintothecurrentprofitorloss.Whenderecognized,thedifferencebetweenthepaidconsiderationandthecarryingvalueofthefinancialliabilitiesshallberecordedintothecurrentprofitorloss.
(3)RecognitionBasisandMeasurementofTransferofFinancialAssets
WheretheCompanyhastransferrednearlyalloftherisksandrewardsrelatedtotheownershipofthefinancialassettothetransferee,itshallstoprecognizingthefinancialassetandseparatelyrecognizetherightsandobligationsgeneratedretainedfromthetransferasassetsorliabilities.Ifitretainednearlyalloftherisksandrewardsrelatedtotheownershipofthefinancialasset,itshallcontinuetorecognizethetransferredfinancialasset.WheretheCompanydoesnottransferorretainnearlyalloftherisksandrewardsrelatedtotheownershipofafinancialasset,itshalldealwithitaccordingtothecircumstancesasfollows,respectively:(1)Ifitgivesupitscontroloverthefinancialasset,itshallstoprecognizingthefinancialassetandseparatelyrecognizetherightsandobligationsgeneratedretainedfromthetransferasassetsorliabilities;(2)Ifitdoesnotgiveupitscontroloverthefinancialasset,itshall,accordingtotheextentofitscontinuousinvolvementinthetransferredfinancialasset,recognizetherelatedfinancialassetandrecognizetherelevantliabilityaccordingly.Ifthetransferofanentirefinancialassetsatisfiestheconditionsforstoppingrecognition,thedifferencebetweentheamountsofthefollowing2itemsshallberecordedintheprofitsandlossesofthecurrentperiod:(1)Thecarryingvalueofthetransferredfinancialassetonthederecognitiondate;(2)Thesumofconsiderationreceivedfromthetransferoffinancialassets,andderecognitionamountamongtheaccumulativeamountofthechangesofthefairvalueoriginallyrecordedintheothercomprehensiveincome(thefinancialassetsinvolvetransferareinvestmentsindebtinstrumentsatfairvaluethroughothercomprehensiveincome.Ifthetransferofpartialfinancialassetsatisfiestheconditionstostoptherecognition,theentirecarryingvalueofthetransferredfinancialassetshall,betweentheportionwhoserecognitionhasbeenstoppedandtheportionwhoserecognitionhasnotbeenstopped,beapportionedaccordingtotheirrespectiverelativefairvalueonthetransferdate,andthedifferencebetweentheamountsofthefollowingtwoitemsshallbeincludedintotheprofitsandlossesofthecurrentperiod:(1)Thecarryingvalueoftheportionwhoserecognitionhasbeenstopped;(2)Thesumofconsiderationoftheportionwhoserecognitionhasbeenstopped,andderecognitionamountamongtheaccumulativeamountofthechangesofthefairvalueoriginallyrecordedintheothercomprehensiveincome(thefinancialassetsinvolvetransferareinvestmentsindebtinstrumentsatfairvaluethroughothercomprehensiveincome.
(4)DerecognitionBasisofFinancialLiabilitiesAfinancialliabilityorpartofitcanbederecognizedafteritscurrentobligationhasbeenrelievedinfullorinpart.
(5)RecognitionofFairValueofFinancialAssetsandFinancialLiabilitiesThefairvalueoffinancialinstrumentswithanactivemarketisdeterminedbythequotedpriceintheactivemarket.Forfinancialinstrumentswithoutactivemarket,thefairvalueisdeterminedbyvaluationtechniques.TheCompanyadoptsthevaluationtechniquesapplicabletothecurrentconditionswhicharesupportedbysufficientdataandotherinformationforvaluation,andselectstheinputvaluesconsistentwiththecharacteristicsofassetsorliabilitiesconsideredbymarketparticipantsinassetorliabilitytransactions,withprioritytoobservableinputvalues.Unobservableinputvaluesareusedonlywhenrelevantobservableinputvaluesarenotavailableorpractical.
(6)Impairmentoffinancialinstrument
①ImpairmentmeasurementandaccountinghandlingoffinancialinstrumentBasedonexpectedcreditloss,theCompanyconductsimpairmenthandlingandconfirmscreditimpairmentlossforfinancialassetswhichismeasuredbyamortizedcost,debtinstrumentinvestmentwhichismeasuredbyfairvalueandwhosechangeiscalculatedintoothercomprehensiveprofits,financialguaranteecontract.Expectedcreditlossreferstoweightedaverageofcreditlossoffinancialinstrumentwhichtakestheriskofcontractbreachoccurrenceastheweight.Creditlossreferstothedifferencebetweenallcontractcashflowwhichisconvertedintocashaccordingtoactualinterestrateandreceivableaccordingtocontractandallcashflowwhichtobechargedasexpected,i.e.currentvalueofallcashshortage.Amongit,asforfinancialassetpurchased
ororiginalwhichhashadcreditimpairment,itshouldbeconvertedintocashaccordingactualinterestrateofthisfinancialassetaftercreditadjustment.Asforfinancialassetpurchasedororiginalwhichhashadcreditimpairment,theCompanyonlyconfirmscumulativechangeofexpectedcreditlosswithinthewholedurationafterinitialconfirmationonthebalancesheetdateaslossreserve.Asforaccountsreceivablewhichdon’tincludemajorfinancingcontentsortheCompanydoesnotconsiderfinancingcontentsincontractwhichislessthanoneyear,theCompanyappliessimplifiedmeasurementmethod,andmeasureslossreserveaccordingtoamountofexpectedcreditlosswithinthewholeduration.Asforaccountreceivableofrentalandaccountsreceivableincludingmajorfinancingcontents,theCompanyappliessimplifiedmeasurementmethod,andmeasurelossreserveaccordingtoamountofexpectedcreditlosswithinthewholeduration.Asforfinancialassetbeyondabovementionedmeasurementmethods,theCompanyevaluateswhetheritscreditriskhasincreasedobviouslysincetheinitialconfirmationoneachbalancesheetdate.Incasecreditriskhasincreasedobviously,theCompanymeasuresthelossreserveaccordingtoamountofexpectedcreditlosswithinthewholeduration;incasethecreditriskdoesnotincreaseobviously,theCompanymeasureslossreserveaccordingtotheamountofexpectedcreditlossinnext12months.Byutilizingobtainablerationalandwellgroundedinformation,includingforward-lookinginformation,comparingtheriskofcontractbreachonbalancesheetdateandriskofcontractbreachoninitialconfirmationdate,theCompanyconfirmswhetherthecreditriskoffinancialinstrumenthasincreasedobviouslyfrominitialconfirmation.Onbalancesheetdate,incasetheCompanyjudgesthatthefinancialinstrumentjusthasrelativelylowcreditrisk,thenitwillbeassumedthatcreditriskofthefinancialinstrumenthasnotincreasedobviously.Basedonsinglefinancialinstrumentorfinancialportfolio,theCompanyevaluatesexpectedcreditriskandmeasuresexpectedcreditloss.Whenbasedonfinancialinstrumentportfolio,theCompanytakescommonriskcharacteristicsasthebasis,anddividesfinancialinstrumentsintodifferentportfolios.TheCompanymeasuresexpectedcreditlossagainoneachbalancesheetdate,theincreaseoflossreserveoramountwhichistransferbackgeneratedbyitiscalculatedintocurrentprofitsandlossesasimpairmentprofitsorlosses.Asforfinancialassetwhichismeasuredbyamortizedcost,lossreserveoffsetsthecarryingvalueofthefinancialassetlistedinthebalancesheet;asfordebtinvestmentwhichismeasuredbyfairvalueandwhosechangeiscalculatedintoothercomprehensiveprofits,theCompanyconfirmsitslossreserveinothercomprehensiveprofitsanddoesnotoffsetthecarryingvalueofthefinancialasset.
②Fornotesreceivable,accountsreceivable,otherreceivablesandlong-termreceivableswithobjectiveevidenceindicatingimpairmentandthosesuitableforindividualevaluation,theCompanycarriesoutimpairmenttestseparatelytoconfirmexpectedcreditlossandprepareprovisionforimpairmentofsingleitems.Fornotesreceivable,accountsreceivableandotherreceivableswithoutobjectiveevidenceofimpairment,orasinglefinancialassetwithexpectedcreditlossimpossibletobeassessedatareasonablecost,theCompanydividesthereceivablesintogroupsaccordingtothecharacteristicsofcreditrisk,andcalculatestheexpectedcreditlossbasedonreceivablegroups.AccountsreceivablewithexpectedcreditlossesmeasuredbygroupsSpecificgroupsandmethodofmeasuringexpectedcreditloss
Item | Recognitionbasis | Methodofmeasuringexpectedcreditlosses |
Bank’sacceptancebillsreceivable | Billtype | Consultinghistoricalexperienceincreditlosses,combiningcurrentsituationandpredictionforfutureeconomicsituation,theexpectedcredit |
Tradeacceptancebillsreceivable | lossshallbeaccountedthroughexposureatdefaultandtheexpectedcreditlossrateovertheentirelife | |
Accountsreceivable-creditriskcharacteristicsgroup | Aginggroup | Preparethecomparativelistbetweenagingofaccountsreceivableandexpectedcreditlossrateovertheentirelifeandcalculatetheexpectedcreditlossbyconsultinghistoricalexperienceincreditlosses,combiningcurrentsituationandpredictionforfutureeconomicsituation |
Accountsreceivable-intercoursefundsamongrelatedpartygroupwithintheconsolidationscope | Relatedpartywithintheconsolidationscope | Consultinghistoricalexperienceincreditlosses,combiningcurrentsituationandpredictionforfutureeconomicsituation,theexpectedcreditlossshallbeaccountedthroughexposureatdefaultandtheexpectedcreditlossrateovertheentirelife |
Accountsreceivable-thecomparativelistbetweenagingofcreditriskcharacteristicgroupandexpectedcreditlossrateovertheentirelife
Aging | Withdrawalproportion |
Within1year | 2.00% |
1to2years | 5.00% |
2to3years | 15.00% |
3to4years | 30.00% |
4to5years | 60.00% |
Over5years | 100.00% |
OtherreceivableswithexpectedcreditlossesmeasuredbygroupsSpecificgroupsandmethodofmeasuringexpectedcreditloss
Item | Recognitionbasis | Methodofmeasuringexpectedcreditlosses |
Otherreceivables-aginganalysisgroup | Aginggroup | Consultinghistoricalexperienceincreditlosses,combiningcurrentsituationandpredictionforfutureeconomicsituation,theexpectedcreditlossshallbeaccountedthroughexposureatdefaultandtheexpectedcreditlossratewithinthenext12monthsorovertheentirelife |
Otherreceivables-intercoursefundsamongrelatedpartygroupwithintheconsolidationscope | Relatedpartywithintheconsolidationscope | Consultinghistoricalexperienceincreditlosses,combiningcurrentsituationandpredictionforfutureeconomicsituation,theexpectedcreditlossshallbeaccountedthroughexposureatdefaultandtheexpectedcreditlossrateovertheentirelife |
Forthemeasurementofimpairmentlossofotherreceivables,refertotheaforesaidmeasurementofimpairmentlossofaccountsreceivable.
11.NotesReceivableSee“10.FinancialInstruments”.
12.AccountsReceivableSee“10.FinancialInstruments”.
13.Inventory
(1)CategoryofInventoryInventoryreferstotheheld-for-salefinishedproductsorcommodities,goodsinprocess,materialsconsumedintheproductionprocessortheprocessprovidingthelaborserviceetc.Inventoryismainlyincludingtherawmaterials,lowpricedandeasilywornarticles,unfinishedproducts,inventoriesandworkinprocess–outsourcedetc.
(2)PricingmethodPurchasingandstorageofthevariousinventoriesshouldbevaluedaccordingtotheplanedcostandthedispatchbecalculatedaccordingtotheweightedaveragemethod;carriedforwardthecostofthefinishedproductsaccordingtotheactualcostofthecurrentperiodandthesalescostaccordingtotheweightedaveragemethod.
(3)DeterminationbasisofthenetrealizablevalueofinventoryandwithdrawalmethodoftheprovisionforfallingpriceofinventoryAtthebalancesheetdate,inventoriesaremeasuredatthelowerofthecostsandnetrealizablevalue.Whenalltheinventoriesarecheckedroundly,forthosewhichweredestroyed,outdatedinallorinpart,soldataloss,etc,theCompanyshallestimatetheirrecoverablepartofitscostandwithdrawaltheinventoryfallingpricereserveattheyear-end.Wherethecostofthesingleinventoryitemishigherthanthenetrealizablevalue,theinventoryfallingpricereserveshallbewithdrawnandrecordedintoprofitsandlossesofthecurrentperiod.Ofwhich:inthenormalproductionandoperatingprocess,asforthecommoditiesinventorydirectlyforsalessuchasthefinishedproducts,commoditiesandthematerialsforsales,shouldrecognizethenetrealizablevalueaccordingtotheamountoftheestimatedsellingpriceoftheinventoryminusestheestimatedsellingexpensesandtherelevanttaxes;asforthematerialsinventoryneedstobeprocessedinthenormalproductionandoperatingprocess,shouldrecognizeitsnetrealizablevalueaccordingtotheamountoftheestimatedsellingpriceofthefinishedproductsminusesthecostpredictstobeoccurwhentheproductioncompletesandtheestimatedsellingexpensesaswellastherelevanttaxes;onthebalancesheetdate,forthesameinventorywithonepartagreedbythecontractpriceandotherpartsnotbythecontractprice,shouldberespectivelyrecognizedthenetrealizablevalue.Foritemsofinventoriesrelatingtoaproductlinethatareproducedandmarketedinthesamegeographicalarea,havethesameorsimilarendusersorpurposes,andcannotbepracticablyevaluatedseparatelyfromotheritemsinthatproductlineprovisionfordeclineinvalueisdeterminedonanaggregatebasis;forlargequantityandlowvalueitemsofinventories,provisionfordeclineinvalueismadebasedoncategoriesofinventories.
(4)Theperpetualinventorysystemismaintainedforstocksystem.
(5)Amortizationmethodoflow-valueconsumablesandpackagesOnetimeamortizationmethodisadoptedforlow-valueconsumablesandpackages.
14.ContractAssetsContractAssetsmeansthattheCompanyisendowedwiththerighttochargetheconsiderationthroughtransferringanycommodityorservicetotheclient,andsuchrightdependsonotherfactorsexceptthepassingoftime.TheCompany’sunconditionalright(onlydependingonthepassingoftime)ofchargingtheconsiderationfromtheclientshallbeseparatelypresentedasreceivables.TherecognitionmethodandaccountingtreatmentmethodoftheestimatedcreditlossofcontractassetsareconsistentwiththatspecifiedinNotesV.12.
15.ContractCosts
(1)CostsfromAcquiringContractIftheincrementalcostresultingfromtheCompany’sacquiringofcontract(namelycostsmerelyresultingfromtheacquiringofcontract)ispredictedtoberetrieved,itshallberecognizedasanassets,amortizedbyadoptingthesamebasiswiththerecognitionofcommoditiesorservicerevenuesrelatedtotheassetsandincludedintothecurrentprofitandloss.Iftheassets’amortizationperioddoesnotexceedoneyear,itshallbeimmediatelyincludedintothecurrentprofitandloss.OtherexpensesresultingfromtheCompany’sacquiringofcontractshallalsobeincludedintothecurrentprofitandlossunlessitisexplicitlybornebytheclient.
(2)CostsfromExecutingContractTheCompany’scostsfromexecutingcontractisnotcoveredbyotherASBEexceptforRevenueStandards,andwhenthefollowingsituationsaremet,suchcostscanberecognizedasanassets:①thecostsaredirectlyrelatedtoacurrentorpredictedcontract;②thecostsincreasetheCompany’sresourcesappliedtofulfillperformanceobligationsinthefuture;③thecostsarepredictedtoberetrieved.Therecognizedassetsshallbeamortizedbyadoptingthesamebasiswiththerecognitionofcommoditiesorservicerevenuesrelatedtotheassetsandincludedintothecurrentprofitandloss.Ifthebookvalueofcontractcostsishigherthanthedifferenceofthefollowingtwoitems,correspondingdepreciationreservesshallbecountedandwithdrawnanditshallberecognizedastheassetsdepreciationloss:①theresidualconsiderationpredictedtobeacquiredbytransferringcommoditiesrelatedtotheassets;②thecostspredictedtooccurduetothetransferofrelatedcommodities.Ifthedifferencebetween①and②ishigherthanthebookvalueofcontractcostsduetoanychangeinvariousfactorscausingdepreciationinpreviousperiods,itshallberestitutedtothewithdrawnassetsdepreciationreservesandincludedinthecurrentprofitandloss.However,thebookvalueofrestitutedcontractcostsshallnotexceedthebookvalueoftheassetsonthedayofrestitutionbasedonthehypothesisthatdepreciationreservesarenotcountedandwithdrawn.
16.AssetsHeldforSaleTheCompanyrecognizesthecomponents(orthenon-currentassets)whichmeetwiththefollowingconditionsasassetsheldforsale:
(1)Thecomponentsmustbeimmediatelysoldonlyaccordingtotheusualtermsofsellingthiskindofcomponentsunderthecurrentconditions;
(2)TheCompanyhadmadesolutionsondisposingthecomponents(orthenon-currentassets),forexample,theCompanyshouldgaintheapprovalfromtheshareholdersaccordingtotheregulationsandhadacquiredtheapprovedfromtheAnnualGeneralMeetingortherelevantauthorityinstitutions;
(3)TheCompanyhadsignedtheirrevocabletransformationagreementwiththetransferee;
(4)Thetransformationshouldbecompletedwithin1year.
17.Long-termEquityInvestments
(1)JudgmentstandardofjointcontrolandsignificantinfluencesJointcontrol,referstothecontroljointlyownedaccordingtotherelevantagreementonanarrangementbytheCompanyandtherelevantactivitiesofthearrangementshouldbedecidedonlyaftertheparticipantswhichsharethecontrolrightmakeconsensus.SignificantinfluencereferstothepoweroftheCompanywhichcouldanticipateinthefinanceandtheoperationpolicesoftheinvestees,butcouldnotcontrolorjointlycontroltheformulationofthepolicieswiththeotherparties.
(2)RecognitionforinitialinvestmentcostTheinitialinvestmentcostofthelong-termequityinvestmentshallberecognizedbyadoptingthefollowingwaysinaccordancewithdifferentmethodsofacquisition:
1)Asforthoseformsunderthesamecontroloftheenterprisecombine,ifthecombinepartytakesthecashpayment,non-cashassetstransformation,liabilitiesassumptionorequitysecuritiesissuanceasthecombinationconsideration,shouldtakethesharesofthebookvaluebytheultimatecontrolpartyintheconsolidatefinancialstatementoftheowners’equitiesofthecombinersacquiredonthemergerdateastheinitialinvestmentcost.Thedifferencebetweentheinitialinvestmentcostandthebookvalueofthepaidcombinationconsiderationorthetotalamountoftheissuedsharesofthelong-termequityinvestmentshouldbeadjustedthecapitalreserve;Ifthecapitalreserveisinsufficienttodilute,theretainedearningsshallbeadjusted.Toincludeeachdirectrelevantexpenseoccurredwhenexecutingtheenterprisemergerintothecurrentgainsandlosses;whilethehandlingchargesandcommissionoccursfromtheissuingtheequitysecuritiesorthebondsfortheenterprisemergershouldbeincludedintheinitialmeasurementamountoftheshareholders’equitiesortheliabilities.
2)Asforlong-termequityinvestmentacquiredthroughthemergerofenterprisesnotunderthesamecontrol,itsinitialinvestmentcostshallregardasthecombinationcostcalculatedbythefairvalueoftheassets,equityinstrumentissuedandliabilitiesincurredorundertakenonthepurchasedateaddingthedirectcostrelatedwiththeacquisition.Theidentifiableassetsofthecombinedpartyandtheliabilities(includingcontingentliability)undertakenonthecombiningdateshallbemeasuredatthefairvaluewithoutconsideringtheamountofminorityinterest.Theacquirershallrecognizethepositivebalancebetweenthecombinationcostsandthefairvalueoftheidentifiablenetassetsitobtainsfromtheacquireeasbusinessreputation.Theacquirershallrecordthenegativebalancebetweenthecombinationcostsandthefairvalueoftheidentifiablenetassetsitobtainsfromtheacquireeintotheconsolidatedincomestatementdirectly.Theagentexpenseandotherrelevantmanagementexpensessuchastheaudit,legalserviceandevaluationconsultationoccursfromtheenterprisemerger,shouldbeincludedinthecurrentgainsandlosseswhenoccur;whilethehandlingchargesandcommissionoccursfromtheissuingtheequitysecuritiesorthebondsfortheenterprisemergershouldbeincludedintheinitialmeasurementamountoftheshareholders’equitiesortheliabilities.
3)Long-termequityinvestmentobtainedbyothermeansTheinitialcostofalong-termequityinvestmentobtainedbymakingpaymentincashshallbethepurchasecostwhichisactuallypaid.Theinitialcostofalong-termequityinvestmentobtainedonthebasisofissuingequitysecuritiesshallbethefairvalueoftheequitysecuritiesissued.Theinitialcostofalong-termequityinvestmentofaninvestorshallbethevaluestipulatedintheinvestmentcontractoragreement,theunfairvaluestipulatedinthecontractoragreementshallbemeasuredatfairvalue.Asforlong-terminvestmentobtainedbytheexchangeofnon-monetaryassets,whereitiscommercialinnature,
thefairvalueoftheassetssurrenderedshallberecognizedastheinitialcostofthelong-termequityinvestmentreceived;whereitisnotcommercialinnature,thebookvalueoftheassetssurrenderedshallberecognizedastheinitialcostofthelong-termequityinvestmentreceived.Theinitialcostofalong-termequityinvestmentobtainedbyrecombinationofliabilitiesshallberecognizedatfairvalueoflong-termequityinvestment.
(3)Subsequentmeasurementandrecognitionofprofitsandlosses
1)AninvestmentinthesubsidiarycompanyshallbemeasuredbyemployingthecostmethodWheretheCompanyhold,andisabletodoequityinvestmentwithcontroloveraninvestedentity,theinvestedentityshallbeitssubsidiarycompany.WheretheCompanyholdsthesharesofanentityover50%,or,whiletheCompanyholdsthesharesofanentitybelow50%,buthasarealcontroltothesaidentity,thenthesaidentityshallbeitssubsidiarycompany.
2)AninvestmentinthejointenterpriseorassociatedenterpriseshallbemeasuredbyemployingtheequitymethodWheretheCompanyhold,andisabletodoequityinvestmentwithjointcontrolwithotherpartiesoveraninvestedentity,theinvestedentityshallbeitsjointenterprise.WheretheCompanyhold,andisabletohaveequityinvestmentwithsignificantinfluencesonaninvestedentity,theinvestedentityshallbeitsassociatedentity.AftertheCompanyacquiredthelong-termequityinvestment,shouldrespectivelyrecognizeinvestmentincomeandothercomprehensiveincomeaccordingtothenetgainsandlossesaswellastheportionofothercomprehensiveincomewhichshouldbeenjoyedorbeshared,andatthesametimeadjustthebookvalueofthelong-termequityinvestment;correspondingreducethebookvalueofthelong-termequityinvestmentaccordingtoprofitswhichbedeclaredtodistributebytheinvesteesortheportionofthecalculationofcashdividendswhichshouldbeenjoyed;fortheotherchangesexceptforthenetgainsandlosses,othercomprehensiveincomeandtheowners’equityexceptfortheprofitsdistributionoftheinvestees,shouldadjustthebookvalueofthelong-termequityinvestmentaswellasincludeintheowners’equity.Theinvestingenterpriseshall,onthegroundofthefairvalueofallidentifiableassetsoftheinvestedentitywhenitobtainstheinvestment,recognizetheattributableshareofthenetprofitsandlossesoftheinvestedentityafteritadjuststhenetprofitsoftheinvestedentity.IftheaccountingpolicyadoptedbytheinvesteesisnotaccordwiththatoftheCompany,shouldbeadjustedaccordingtotheaccountingpoliciesoftheCompanyandthefinancialstatementoftheinvesteesduringtheaccountingperiodandaccordingwhichtorecognizetheinvestmentincomeaswellasothercomprehensiveincome.ForthetransactionhappenedbetweentheCompanyandassociatedenterprisesaswellasjointventures,iftheassetslaunchedorsoldnotformintobusiness,theportionoftheunrealizedgainsandlossesoftheinternaltransaction,whichbelongstotheCompanyaccordingtothecalculationoftheenjoyedproportion,shouldrecognizetheinvestmentgainsandlossesonthebasis.ButthelossesoftheunrealizedinternaltransactionhappenedbetweentheCompanyandtheinvesteeswhichbelongstotheimpairmentlossesofthetransferredassets,shouldnotbeneutralized.TheCompanyshallrecognizethenetlossesoftheinvestedenterpriseaccordingtothefollowingsequence:firstofall,towritedownthebookvalueofthelong-termequityinvestment.Secondly,ifthebookvalueofthelong-termequityinvestmentisinsufficientforwrittendown,shouldbecontinuedtorecognizedtheinvestmentlosseslimitedtothebookvalueofotherlong-termequitywhichformsofthenetinvestmentoftheinvesteesandtowrittendownthebookvalueofthelong-termaccountsreceivableetc.Lastly,throughtheabovehandling,forthoseshouldstillundertaketheadditionalobligationsaccordingtotheinvestmentcontractsortheagreements,itshall
berecognizedastheestimatedliabilitiesinaccordancewiththeestimateddutiesandthenrecordedintoinvestmentlossesatcurrentperiod.Iftheinvestedentityrealizesanynetprofitslater,theCompanyshall,aftertheamountofitsattributableshareofprofitsoffsetsagainstitsattributableshareoftheun-recognizedlosses,resumerecognizingitsattributableshareofprofits.Inthepreparationforthefinancialstatements,thebalanceexistedbetweenthelong-termequityinvestmentincreasedbyacquiringsharesofminorityinterestandtheattributablenetassetsonthesubsidiarycalculatedbytheincreasedsharesheldsincethepurchasedate(orcombinationdate),thecapitalreservesshallbeadjusted,ifthecapitalreservesarenotsufficienttooffset,theretainedprofitsshallbeadjusted;theCompanydisposedpartofthelong-termequityinvestmentonsubsidiarieswithoutlosingitscontrollingrightonthem,thebalancebetweenthedisposedpriceandattributablenetassetsofsubsidiariesbydisposingthelong-termequityinvestmentshallberecordedintoowners’equity.Forotherwaysondisposaloflong-termequityinvestment,thebalancebetweenthebookvalueofthedisposedequityanditsactualpaymentgainedshallberecordedintocurrentprofitsandlosses.Forthelong-termequityinvestmentmeasuredbyadoptingequitymethod,iftheremainedequityafterdisposalstilladoptstheequitymethodformeasurement,theothercomprehensiveincomeoriginallyrecordedintoowners’equityshouldadoptthesamebasisoftheaccountingdisposaloftherelevantassetsorliabilitiesdirectlydisposedbytheinvesteesaccordingtothecorrespondingproportion.Theowners’equityrecognizedowningtothechangesoftheotherowners’equityexceptforthenetgainsandlosses,othercomprehensiveincomeandtheprofitsdistributionoftheinvestees,shouldbetransferredintothecurrentgainsandlossesaccordingtotheproportion.Forthelong-termequityinvestmentwhichadoptsthecostmethodofmeasurement,iftheremainedequitystilladoptthecostmethod,theothercomprehensiveincomerecognizedowningtoadoptingtheequitymethodformeasurementortherecognitionandmeasurementstandardsoffinancialinstrumentbeforeacquiringthecontroloftheinvestees,shouldadoptthesamebasisoftheaccountingdisposaloftherelevantassetsorliabilitiesdirectlydisposedbytheinvesteesandshouldbecarriedforwardintothecurrentgainsandlossesaccordingtotheproportion;thechangesoftheotherowners’equityexceptforthenetgainsandlosses,othercomprehensiveincomeandtheprofitsdistributionamongthenetassetsoftheinvesteeswhichrecognizedbyadoptingtheequitymethodformeasurement,shouldbecarriedforwardintothecurrentgainsandlossesaccordingtotheproportion.ForthosetheCompanylostthecontroloftheinvesteesbydisposingpartoftheequityinvestmentaswellastheremainedequityafterdisposalcouldexecutejointcontrolorsignificantinfluencesontheinvestees,shouldchangetomeasurebyequitymethodwhencompilingtheindividualfinancialstatementandshouldadjustthemeasurementoftheremainedequitytoequitymethodasadoptedsincethetimeacquired;iftheremainedequityafterdisposalcouldnotexecutejointcontrolorsignificantinfluencesontheinvestees,shouldchangetheaccountingdisposalaccordingtotherelevantregulationsoftherecognitionandmeasurementstandardsoffinancialinstrument,anditsdifferencebetweenthefairvalueandbookvalueonthedatelosethecontrolrightshouldbeincludedinthecurrentgainsandlosses.FortheothercomprehensiveincomerecognizedbyadoptingequitymethodformeasurementortherecognitionandmeasurementstandardsoffinancialinstrumentbeforetheCompanyacquiredthecontroloftheinvestees,shouldexecutetheaccountingdisposalbyadoptingthesamebasisoftheaccountingdisposaloftherelevantassetsorliabilitiesdirectlydisposedbytheinvesteeswhenlosethecontrolofthem,whilethechangesoftheotherowners’equityexceptforthenetgainsandlosses,othercomprehensiveincomeandtheprofitsdistributionamongthenetassetsoftheinvesteeswhichrecognizedbyadoptingtheequitymethodformeasurement,shouldbecarriedforwardintothecurrentgainsandlossesaccordingtotheproportion.Ofwhich,forthedisposedremainedequitywhichadoptedtheequitymethodformeasurement,theothercomprehensiveincomeandtheotherowners’equityshouldbecarriedforwardaccordingtotheproportion;forthedisposedremainedequitywhichchangedtoexecutetheaccountingdisposalaccordingto
therecognitionandmeasurementstandardsoffinancialinstrument,theothercomprehensiveincomeandtheotherowners’equityshouldbecarriedforwardinfullamount.ForthosetheCompanylostthecontroloftheinvesteesbydisposingpartoftheequityinvestment,thedisposedremainedequityshouldchangetocalculateaccordingtotherecognitionandmeasurementstandardsoffinancialinstrument,anddifferencebetweenthefairvalueandbookvalueonthedatelosethecontrolrightshouldbeincludedinthecurrentgainsandlosses.Fortheothercomprehensiveincomerecognizedfromtheoriginalequityinvestmentbyadoptingtheequitymethod,shouldexecutetheaccountingdisposalbyadoptingthesamebasisoftheaccountingdisposaloftherelevantassetsorliabilitiesdirectlydisposedbytheinvesteeswhenterminatetheequitymethodformeasurement,whilefortheowners’equityrecognizedowningtothechangesoftheotherowner’sequityexceptforthenetgainsandlosses,othercomprehensiveincomeandtheprofitsdistributionoftheinvestees,shouldbetransferredintothecurrentinvestmentincomewithfullamountwhenterminateadoptingtheequitymethod.
18.InvestmentRealEstateMeasurementmodeofinvestmentrealestate:
MeasurementofcostmethodDepreciationoramortizationmethodTheinvestmentrealestateshallbemeasuredatitscost.Ofwhich,thecostofaninvestmentrealestatebyacquisitionconsistsoftheacquisitionprice,relevanttaxes,andotherexpensedirectlyrelegatedtotheasset;thecostofaself-builtinvestmentrealestatecomposesofthenecessaryexpensesforbuildingtheassettothehopedconditionforuse.Theinvestmentrealestateinvestedbyinvestorsshallberecordedatthevaluestipulatedintheinvestmentcontractsoragreements,buttheunfairvalueappointedinthecontractoragreementshallbeenteredintotheaccountbookatthefairvalue.Asforwithdrawalbasisofprovisionforimpairmentofinvestmentrealestates,pleaserefertowithdrawalmethodforprovisionforimpairmentoffixedassets.
19.FixedAssets
(1)RecognitionConditionsFixedassetsreferstothetangibleassetsthatsimultaneouslypossessthefeaturesasfollows:(a)theyareheldforthesakeofproducingcommodities,renderinglaborservice,rentingorbusinessmanagement;and(b)theirusefullifeisinexcessofonefiscalyear.ThefixedassetsareonlyrecognizedwhentherelevanteconomicbenefitsprobablyflowintheCompanyanditscostcouldbereliablemeasured.
(2)DepreciationMethod
Categoryoffixedassets | Method | Usefullife | Annualdeprecation |
Housingandbuilding | Averagemethodofusefullife | 20-40 | 2.50%-5% |
Machineryequipment | Averagemethodofusefullife | 6-15 | 6.67%-16.67% |
Transportationequipment | Averagemethodofusefullife | 5-10 | 10%-20% |
Otherequipment | Averagemethodofusefullife | 5-10 | 10%-20% |
(3)RecognitionBasis,PricingandDepreciationMethodofFixedAssetsbyFinanceLeaseTheCompanyrecognizesthosemeetwiththefollowingoneorcertainstandardsasthefixedassetsbyfinancelease:
1)Theleasingcontracthadagreedthat(ormadethereasonablejudgmentaccordingtotherelevantconditionsontheleasestartingdate)whentheleasetermexpires,theownershipofleasingthefixedassetscouldbetransferredtotheCompany;
2)TheCompanyownsthechoosingrightforpurchasingandleasingthefixedassets,withthesetpurchasepricewhichisestimatedfarlowerthanthefairvalueofthefixedassetsbyfinanceleasewhenexecutingthechoosingright,sotheCompanycouldexecutethechoosingrightreasonablyontheleasestartingdate;
3)Eveniftheownershipofthefixedassetsnotbetransferred,theleaseperiodisof75%oraboveoftheusefullifeoftheleasefixedassets;
4)ThecurrentvalueoftheminimumleasepaymentontheleasestartingdateoftheCompanyisequalto90%oraboveofthefairvalueoftheleasefixedassetsontheleasestartingdate;thecurrentvalueoftheminimumleasereceiptsontheleasestartingdateoftheleaserisequalto90%oraboveofthefairvalueoftheleasefixedassetsontheleasestartingdate;
5)ThenatureoftheleaseassetsisspecialthatonlytheCompanycoulduseitifnotexecutelargetransformation.Thefixedassetsbyfinanceleaseshouldtaketheloweronebetweenthefairvalueoftheleasingassetsandthecurrentvalueoftheminimumleasepaymentontheleasestartingdateastheentryvalue.Asfortheminimumleasepaymentwhichberegardedastheentryvalueofthelong-termaccountspayable,itsdifferenceshouldberegardedastheunrecognizedfinancingexpense.Fortheinitialdirectexpensesoccurintheleasenegotiationsandthesigningprocessoftheleasecontractsthatattributetothehandlingexpenses,counselfees,travelexpensesandstamptaxesoftheleaseitems,shouldbeincludedinthecharter-inassetsvalue.Theunrecognizedfinancingexpensesshouldbeamortizedbyadoptingtheactualinterestrateduringtheperiodoftheleaseterm.Thefixedassetsbyfinanceleaseshalladoptthesamedepreciationpolicyforself-ownedfixedassets.Ifitisreasonabletobecertainthatthelesseewillobtaintheownershipoftheleasedassetwhentheleasetermexpires,theleasedassetshallbefullydepreciatedoveritsusefullife.Ifitisnotreasonabletobecertainthatthelesseewillobtaintheownershipoftheleasedassetattheexpiryoftheleaseterm,theleasedassetshallbefullydepreciatedovertheshorteroneoftheleasetermoritsusefullife
20.ConstructioninProgress
(1)ValuationoftheprogressinconstructionConstructioninprogressshallbemeasuredatactualcost.Self-operatingprojectsshallbemeasuredatdirectmaterials,directwagesanddirectconstructionfees;constructioncontractshallbemeasuredatprojectpricepayable;projectcostforplantengineeringshallberecognizedatvalueofequipmentsinstalled,costofinstallation,trailrunofprojects.Costsofconstructioninprocessalsoincludeborrowingcostsandexchangegainsandlosses,whichshouldbecapitalized.
(2)StandardizationonconstructioninprocesstransferredintofixedassetsandtimepointTheconstructioninprocess,ofwhichthefixedassetsreachtothepredictedconditionforuse,shallcarryforwardfixedassetsonschedule.Theonethathasnotauditedthefinalaccountingshallrecognizethecostandmakedepreciationinlinewithvaluationvalue.Theconstructioninprocessshalladjusttheoriginalvaluationvalueatitshistoricalcostbutnotadjustthedepreciationthathasbeenmadeafterauditingthefinalaccounting.
21.BorrowingCosts
(1)RecognitionprincipleofcapitalizationofborrowingcostsTheborrowingcostsshallincludetheinterestonborrowings,amortizationofdiscountsorpremiumsonborrowings,ancillaryexpenses,andexchangebalanceonforeigncurrencyborrowings.Wheretheborrowingcostsoccurredbelongtospecificallyborrowedloanorgeneralborrowingusedfortheacquisitionandconstructionofinvestmentrealestatesandinventoriesoveroneyear(includingoneyear)shallbecapitalized,andrecordintorelevantassetscost.Otherborrowingcostsshallberecognizedasexpensesonthebasisoftheactualamountincurred,andshallberecordedintothecurrentprofitsandlosses.Theborrowingcostsshallnotbecapitalizedunlesstheysimultaneouslymeetthefollowingthreerequirements:(1)Theassetdisbursementshavealreadyincurred;(2)Theborrowingcostshavealreadyincurred;and(3)Theacquisitionandconstructionorproductionactivitieswhicharenecessarytopreparetheassetforitsintendeduseorsalehavealreadystarted.
(2)TheperiodofcapitalizationofborrowingcostsTheborrowingcostsarisingfromacquisitionandconstructionoffixedassets,investmentrealestatesandinventories,iftheymeettheabove-mentionedcapitalizationconditions,thecapitalizationoftheborrowingcostsshallbemeasuredintoassetcostbeforesuchassetsreachtotheintendeduseorsale,Whereacquisitionandconstructionoffixedassets,investmentrealestatesandinventoriesisinterruptedabnormallyandtheinterruptionperiodlastsformorethan3months,thecapitalizationoftheborrowingcostsshallbesuspended,andrecordedintothecurrentexpense,tilltheacquisitionandconstructionoftheassetsrestarts.Whenthequalifiedassetisreadyfortheintendeduseorsale,thecapitalizationoftheborrowingcostsshallbeceased,theborrowingcostsoccurredlatershallbeincludedintothefinancialexpensedirectlyatthecurrentperiod.
(3)MeasurementmethodofcapitalizationamountofborrowingcostsAsforspecificallyborrowedloansfortheacquisitionandconstructionorproductionofassetseligibleforcapitalization,theto-be-capitalizedamountofinterestsshallbedeterminedinlightoftheactualcostincurredofthespeciallyborrowedloanatthepresentperiodminustheincomeofinterestsearnedontheunusedborrowingloansasadepositinthebankorasatemporaryinvestment.Whereageneralborrowingisusedfortheacquisitionandconstructionorproductionofassetseligibleforcapitalization,theenterpriseshallcalculateanddeterminetheto-be-capitalizedamountofinterestsonthegeneralborrowingbymultiplyingtheweightedaverageassetdisbursementofthepartoftheaccumulativeassetdisbursementsminusthegeneralborrowingbythecapitalizationrateofthegeneralborrowingused.Thecapitalizationrateshallbecalculatedanddeterminedinlightoftheweightedaverageinterestrateofthegeneralborrowing.
22.IntangibleAssets
(1)PricingMethod,ServiceLife,andImpairmentTest
(1)PricingmethodofintangibleassetsIntangibleassetspurchasedshouldtaketheactualpaymentandtherelevantotherexpensesastheactualcost.Fortheintangibleassetsinvestedbytheinvestorsshouldberecognizedtheactualcostaccordingtothevalueoftheinvestmentcontractsoragreements,however,forthevalueofthecontractsoragreementsisnotfair,theactualcostshouldberecognizedaccordingtothefairvalue.Fortheintangibleassetsacquiresfromtheexchangeofthenon-currencyassets,ifownthecommercialnature,shouldberecordedaccordingtothefairvalueoftheswap-outassets;forthosenotownthecommercialnature,shouldberecordedaccordingtothebookvalueoftheswap-outassets.Fortheintangibleassetsacquiresfromthedebtsreorganizationshouldberecognizedbythefairvalue.
(2)AmortizationmethodandtermofintangibleassetsAsfortheintangibleassetswithlimitedservicelife,whichareamortizedbystraight-linemethodwhenitisavailableforusewithintheserviceperiod,shallberecordedintothecurrentprofitsandlosses.TheCompanyshall,atleastattheendofeachyear,checktheservicelifeandtheamortizationmethodofintangibleassetswithlimitedservicelife.Whentheservicelifeandtheamortizationmethodofintangibleassetsaredifferentfromthosebefore,theyearsandmethodoftheamortizationshallbechanged.Intangibleassetswithuncertainservicelifemaynotbeamortized.However,theCompanyshallchecktheservicelifeofintangibleassetswithuncertainservicelifeduringeachaccountingperiod.Wherethereareevidencestoprovetheintangibleassetshavelimitedservicelife,itshallbeestimatedofitsservicelife,andbeamortizedaccordingtotheabovemethodmentioned.TherightstouselandoftheCompanyshallbeamortizedaccordingtotherestservicelife.
(2)AccountingPolicesofInternalR&DCostsTheinternalresearchanddevelopmentprojectsofanenterpriseshallbeclassifiedintoresearchphaseanddevelopmentphase:theterm“research”referstothecreativeandplannedinvestigationtoacquireandunderstandnewscientificortechnologicalknowledge;theterm“development”referstotheapplicationofresearchachievementsandotherknowledgetoacertainplanordesign,priortothecommercialproductionoruse,soastoproduceanynewmaterial,deviceorproduct,orsubstantiallyimprovedmaterial,deviceandproduct.TheCompanycollectsthecostsofthecorrespondingphasesaccordingtotheabovestandardofclassifyingtheresearchphaseandthedevelopmentphase.Theresearchexpendituresforitsinternalresearchanddevelopmentprojectsofanenterpriseshallberecordedintotheprofitorlossforthecurrentperiod.Thedevelopmentcostsforitsinternalresearchanddevelopmentprojectsofanenterprisemaybecapitalizedwhentheysatisfythefollowingconditionssimultaneously:itisfeasibletechnicallytofinishintangibleassetsforuseorsale;itisintendedtofinishanduseorselltheintangibleassets;theusefulnessofmethodsforintangibleassetstogenerateeconomicbenefitsshallbeproved,includingbeingabletoprovethatthereisapotentialmarketfortheproductsmanufacturedbyapplyingtheintangibleassetsorthereisapotentialmarketfortheintangibleassetsitselfortheintangibleassetswillbeusedinternally;itisabletofinishthedevelopmentoftheintangibleassets,andabletouseorselltheintangibleassets,withthesupportofsufficienttechnologies,financialresourcesandotherresources;thedevelopmentcostsoftheintangibleassetscanbereliablymeasured.
23.ImpairmentofLong-termAssetsFornon-currentfinancialAssetsoffixedAssets,projectsunderconstruction,intangibleAssetswithlimitedservicelife,investingrealestatewithcostmodel,long-termequityinvestmentofsubsidiaries,cooperativeenterprisesandjointventures,theCompanyshouldjudgewhetherdecreaseinvalueexistsonthedateofbalancesheet.Recoverableamountsshouldbetestedfordecreaseinvalueifitexists.OtherintangibleAssetsofreputationanduncertainservicelifeandothernon-accessibleintangibleassetsshouldbetestedfordecreaseinvaluenomatterwhetheritexists.Iftherecoverableamountislessthanbookvalueinimpairmenttestresults,theprovisionforimpairmentofdifferencesshouldincludeinimpairmentloss.Recoverableamountswouldbethehigherofnetvalueofassetfairvaluedeductingdisposalchargesorpresentvalueofpredictedcashflow.Assetfairvalueshouldbedeterminedaccordingtonegotiatedsalespriceoffairtrade.Ifnosalesagreementexistsbutwithassetactivemarket,fairvalueshouldbedeterminedaccordingtotheBuyer’spriceoftheasset.Ifnosalesagreementorassetactivemarketexists,assetfairvaluecouldbeacquiredonthebasisofbestinformationavailable.Disposalexpensesincludelegalfees,taxes,cartageorotherdirectexpensesofmerchantableAssetsrelatedtoassetdisposal.Present
valueofpredictedassetcashflowshouldbedeterminedbytheproperdiscountrateaccordingtoAssetsinserviceandpredictedcashflowoffinaldisposal.AssetdepreciationreservesshouldbecalculatedonthebasisofsingleAssets.IfitisdifficulttopredicttherecoverableamountsforsingleAssets,recoverableamountsshouldbedeterminedaccordingtothebelongingassetgroup.Assetgroupistheminimumassetcombinationproducingcashflowindependently.Inimpairmenttest,bookvalueofthebusinessreputationinfinancialreportshouldbesharedtobeneficialassetgroupandassetgroupcombinationincollaborationofbusinessmerger.Itisshowninthetestthatifrecoverableamountsofsharedbusinessreputationassetgrouporassetgroupcombinationarelowerthanbookvalue,itshoulddeterminetheimpairmentloss.Impairmentlossamountshouldfirstlybedeductedandsharedtothebookvalueofbusinessreputationofassetgrouporassetgroupcombination,thendeductbookvalueofallassetsaccordingtoproportionsofotherbookvalueofaboveassetsinassetgrouporassetgroupcombinationexceptbusinessreputation.Aftertheassetimpairmentlossisdetermined,recoverablevalueamountswouldnotbereturnedinfuture.
24.Long-termDeferredExpensesLong-termdeferredexpansesoftheCompanyshallberecordedinlightoftheactualexpenditure,andamortizedaveragelywithinbenefitperiod.Incaseofnobenefitinthefutureaccountingperiod,theamortizedvalueofsuchprojectthatfailstobeamortizedshallbetransferredintotheprofitsandlossesofthecurrentperiod.
25.ContractLiabilitiesContractliabilitiesrefertotheCompany’sobligationsintransferringcommoditiesorservicestotheclientforthereceivedorpredictedconsideration.Contractassetsandcontractliabilitiesunderthesamecontractshallbepresentedbasedonthenetamount.
26.EmployeeBenefits
(1)AccountingTreatmentofShort-termCompensationShort-termcompensationmainlyincludingsalary,bonus,allowancesandsubsidies,employeeservicesandbenefits,medicalinsurancepremiums,birthinsurancepremium,industrialinjuryinsurancepremium,housingfund,laborunionexpenditureandpersonneleducationfund,non-monetarybenefitsetc.Theshort-termcompensationactuallyhappenedduringtheaccountingperiodwhentheactivestaffofferingtheservicefortheCompanyshouldberecognizedasliabilitiesandisincludedinthecurrentgainsandlossesorrelevantassetscost.Ofwhichthenon-monetarybenefitsshouldbemeasuredaccordingtothefairvalue.
(2)AccountingTreatmentoftheWelfareafterDemissionTheCompanyclassifiesthewelfareplansafterdemissionintodefinedcontributionplansanddefinedbenefitplans.WelfareplansafterdemissionreferstotheagreementonthewelfareafterdemissionreachesbetweentheCompanyandtheemployees,ortheregulationsormethodsformulatedbytheCompanyforprovidingthewelfareafterdemissionfortheemployees.Ofwhich,definedcontributionplansreferstothewelfareplansafterdemissionthattheCompanynomoreundertakethefurtherpaymentobligationsafterthepaymentofthefixedexpensesfortheindependentfunds;definedbenefitplans,referstothewelfareplansafterdemissionexceptforthedefinedcontributionplans.DefinedcontributionplansDuringtheaccountingperiodthattheCompanyprovidingtheservicefortheemployees,theCompanyshould
recognizetheliabilitiesaccordingtothedepositedamountcalculatedbydefinedcontributionplans,andshouldbeincludedinthecurrentgainsandlossesortherelevantassetscost.
(3)AccountingTreatmentoftheDemissionWelfareTheCompanyshouldrecognizethepayrollpaymentliabilitiesoccurfromthedemissionwelfareaccordingtotheearlierdatebetweenthefollowingtwoconditionsandincludewhichinthecurrentgainsandlosseswhenprovidingthedemissionwelfarefortheemployees:theCompanycouldnotunilaterallywithdrawthedemissionwelfareowningtotherelieveplansofthelaborrelationshiporreduction;whentheCompanyrecognizingthecostsorexpensesrelatedtothereorganizationinvolveswiththedemissionwelfarepayments.
27.Provisions
(1)CriteriaofprovisionsOnlyiftheobligationpertinenttoacontingenciesshallberecognizedasanestimateddebtswhenthefollowingconditionsaresatisfiedsimultaneously:
1)ThatobligationisacurrentobligationoftheCompany;
2)ItislikelytocauseanyeconomicbenefittoflowoutoftheCompanyasaresultofperformanceoftheobligation;
3)Theamountoftheobligationcanbemeasuredinareliableway.
(2)MeasurementofprovisionsTheCompanyshallmeasuretheprovisionsinaccordancewiththebestestimateofthenecessaryexpensesfortheperformanceofthecurrentobligation.TheCompanyshallcheckthebookvalueoftheprovisionsontheBalanceSheetDate.Ifthereisanyconclusiveevidenceprovingthatthesaidbookvaluecan’ttrulyreflectthecurrentbestestimate,theCompanyshall,subjecttochange,makeadjustmenttocarryingvaluetoreflectthecurrentbestestimate.
28.RevenueAccountingpoliciesforrecognitionandmeasurementofrevenue:
WhentheCompanyfulfillsitsdueperformanceobligations(namelywhentheclientobtainsthecontroloverrelatedcommoditiesorservices),revenuesshallberecognizedbasedontheobligation’samortizedtransactionprice.PerformanceObligationreferstotheCompany’spromiseoftransferringcommoditiesorservicesthatcanbeclearlydefinedtotheclient.TransactionPricereferstotheconsiderationamountdulychargedbytheCompanyfortransferringcommoditiesorservicestotheclient,excludinganyamountchargedbythethirdpartyandanyamountpredictedtobereturnedtotheclient.ControlOverRelevantCommoditiesmeansthattheuseofcommoditiescanbecontrolledandalmostalleconomicinterestscanbeobtained.Onthecontractcommencementday,theCompanyshallevaluatethecontract,recognizeindividualperformanceobligationandconfirmthatindividualperformanceobligationisfulfilledinacertainperiod.Whenoneofthefollowingconditionsismet,suchperformanceobligationshallbedeemedasfulfilledinacertainperiod,andtheCompanyshallrecognizeitasrevenuewithinacertainperiodaccordingtotheperformanceschedule:(1)theclientobtainsandconsumestheeconomicinterestsresultingfromtheCompany’sperformanceofcontractwhileperformingthecontract;(2)theclientisabletocontrolthecommoditiesunderconstructionduringtheperformance;(3)commoditiesproducedbytheCompanyduringtheperformancepossesstheirreplaceablepurpose,andtheCompanyhastherighttochargeallfinishedpartsduringthecontractperiod;otherwise,theCompanyshallrecognizetherevenuewhentheclientobtainsthecontroloverrelevantcommoditiesorservices.
TheCompanyshalladopttheInputMethodtodeterminethePerformanceSchedule.Namely,thePerformanceScheduleshallbedeterminedaccordingtotheCompany’sinputforfulfillingperformanceobligations.WhenthePerformanceSchedulecannotbereasonablydeterminedandallresultingcostsarepredictedtobecompensated,theCompanyshallrecognizetherevenuebasedontheresultingcostamounttillthePerformanceSchedulecanbereasonablydetermined.Whenthecontractinvolvestwoormorethantwoperformanceobligations,thetransactionpriceshallbeamortizedtoeachsingleperformanceobligationonthecontractcommencementdayaccordingtotherelativeproportionoftheindependentsellingpriceofcommoditiesorservicesundereachsingleperformanceobligation.Ifanysolidevidenceprovesthatthecontractdiscountorvariableconsiderationonlyrelatestooneormorethanone(notall)performanceobligationunderthecontract,theCompanyshallamortizethecontractdiscountorvariableconsiderationtooneormorethanonerelatedperformanceobligations.IndependentsellingpricereferstothepriceadoptedbytheCompanytoindependentlysellcommoditiesorservicestotheclient.However,independentsellingpricecannotbedirectlyobserved.TheCompanyshallestimatetheindependentsellingpricebycomprehensivelyconsideringallrelatedinformationthatcanbereasonablyobtainedandmaximallyadoptingtheobservableinputvalue.VariableConsiderationIfanyvariableconsiderationexistsinthecontract,theCompanyshalldeterminetheoptimalestimationofthevariableconsiderationbasedontheexpectedvaluesorthemostpossibleamount.Thevariableconsideration’stransactionpriceshallbeincludedwithoutexceedingthetotalrevenueamountrecognizedwithouttheriskofsignificantrestitutionwhenalluncertaintiesareeliminated.Oneachbalancesheetday,theCompanyshallre-estimatethevariableconsiderationamounttobeincludedinthetransactionprice.ConsiderationPayabletotheClientIfanyconsiderationpayabletotheclientexistsinthecontract,theCompanyshallusesuchconsiderationtooffsetthetransactionpriceunlesssuchconsiderationispaidforacquiringotherclearly-definedcommoditiesorservicesfromtheclient,andwritedownthecurrentrevenueatthelatertimebetweenthetimeofrecognizingrelevantrevenuesandthetimeofpaying(orpromisingthepayment)theconsiderationtotheclient.SaleswiththeQualityAssuranceForsaleswiththeQualityAssurance,iftheQualityAssuranceinvolvesanotherseparateserviceexceptfortheguaranteeofallsoldcommoditiesorservicesmeetingallestablishedstandards,theQualityAssuranceshallconstituteasinglePerformanceObligation;otherwise,theCompanyshallmakecorrespondingaccountingtreatmenttotheQualityAssuranceaccordingtoASBENo.13--Contingency.MainResponsibilityPerson/AgentAccordingtowhetherthecontrolovercommoditiesorservicesisobtainedbeforetheyaretransferredtotheclient,theCompanycanjudgewhetheritisMainResponsibilityPersonorAgentbasedonitsstatusduringthetransaction.IftheCompanycancontrolcommoditiesorservicesbeforetheyaretransferredtotheclient,theCompanyshallbeMainResponsibilityPerson,andrevenuesshallberecognizedaccordingtothetotalconsiderationamountreceivedortobereceived;otherwise,theCompanyshallbeAgent,andrevenuesshallberecognizedaccordingtothecommissionorservicefeespredictedtobedulycharged.However,suchamountshallbedeterminedbasedonthenetamountafterdeductingotheramountspayabletootherrelatedpartiesfromthetotalconsiderationreceivedortobedulyreceivedorthefixedcommissionamountorproportion.InterestRevenueInterestRevenueshallbedeterminedaccordingtothetimeoftheCompany’suseofmonetarycapitalandtheactualinterestrate.
RentalIncomeTherentalincomefromoperatingleaseshallberecognizedduringeachleaseperiodaccordingtothestraight-linemethod,andthecontingentrentshallbeincludedintothecurrentprofitandlosswithoutdelay.
29.GovernmentGrants
(1)TypeAgovernmentgrantmeansthemonetaryornon-monetaryassetsobtainedfreebyanenterprisefromthegovernment.Governmentgrantsconsistofthegovernmentgrantspertinenttoassetsandgovernmentgrantspertinenttoincomeaccordingtotherelevantgovernmentdocuments.Forthosethegovernmentdocumentsnotdefinitestipulatetheassistanceobject,thejudgmentbasisoftheCompanyclassifiesthegovernmentgrantspertinenttoassetsandgovernmentsubsidiespertinenttoincomeis:
whetherareusedforpurchasingorconstructingorforformingthelong-termassetsbyothermethods.
(2)RecognitionofGovernmentSubsidiesThegovernmentsubsidiesshouldberecognizedonlywhenmeetwiththeattachedconditionsofthegovernmentgrantsaswellascouldbeacquired.Ifthegovernmentgrantsarethemonetaryassets,shouldbemeasuredaccordingtothereceivedorreceivableamount;andforthegovernmentgrantsarethenon-monetaryassets,shouldbemeasuredbyfairvalue.
(3)AccountingTreatmentThegovernmentgrantspertinenttoassetsshallberecognizedasdeferredincome,andincludedinthecurrentgainsandlossesoroffsetthebookvalueofrelatedassetswithintheusefullivesoftherelevantassetswithareasonableandsystematicmethod.Governmentgrantspertinenttoincomeusedtocompensatetherelevantcosts,expensesorlossesoftheCompanyinthesubsequentperiodshallberecognizedasdeferredincome,andshallbeincludedinthecurrentprofitandlossduringtheperiodofconfirmingtherelevantcosts,expensesorlosses;thoseusedtocompensatetherelevantcosts,expensesorlossesoftheCompanyalreadyhappenedshallbeincludedinthecurrentgainsandlossesorusedtooffsetrelevantcostsdirectly.Forgovernmentgrantsthatincludebothassets-relatedandincome-relatedparts,theyshouldbedistinguishedseparatelyforaccountingtreatment;forgovernmentsubsidiesthataredifficulttobedistinguished,theyshouldbeclassifiedasincome-related.GovernmentgrantsrelatedtothedailyactivitiesoftheCompanyshallbeincludedintootherincomeorusedtooffsetrelevantcostsbythenatureofeconomicbusiness;thoseunrelatedshallbeincludedintonon-operatingincome.Thegovernmentgrantsrecognizedwithrelevantdeferredincomebalancebutneedtoreturnshallbeusedtooffsetthebookbalanceofrelevantdeferredincome,theexcessivepartshallbeincludedinthecurrentgainsandlossesoradjustingthebookvalueofassetsforthegovernmentgrantsassets-relatedthatoffsetthebookvalueofrelevantassetswhentheyareinitiallyrecognized;thosebelongtoothercasesshallbedirectlyincludedinthecurrentgainsandlosses.
30.DeferredIncomeTaxAssets/DeferredIncomeTaxLiabilities
(1)BasisofrecognizingthedeferredincometaxassetsAccordingtothedifferencebetweenthebookvalueoftheassetsandliabilitiesandtheirtaxbasis,adeferredtaxassetshallbemeasuredinaccordwiththetaxratesthatareexpectedtoapplytotheperiodwhentheassetisrealizedortheliabilityissettled.
TherecognitionofthedeferredincometaxassetsislimitedbytheincometaxpayablethattheCompanyprobablygainsfordeductingthedeductibletemporarydifferences.Atthebalancesheetdate,wherethereisstrongevidenceshowingthatsufficienttaxableprofitwillbeavailableagainstwhichthedeductibletemporarydifferencecanbeutilized,thedeferredtaxassetunrecognizedinpriorperiodshallberecognized.TheCompanyassessesthecarryingamountofdeferredtaxassetatthebalancesheetdate.Ifit’sprobablethatsufficienttaxableprofitwillnotbeavailableagainstwhichthedeductibletemporarydifferencecanbeutilized,theCompanyshallwritedownthecarryingamountofdeferredtaxasset,orreversetheamountwrittendownlaterwhenit’sprobablethatsufficienttaxableprofitwillbeavailable.
(2)BasisofrecognizingthedeferredincometaxliabilitiesAccordingtothedifferencebetweenthebookvalueoftheassetsandliabilitiesandtheirtaxbasis,Adeferredtaxliabilityshallbemeasuredinaccordwiththetaxratesthatareexpectedtoapplytotheperiodwhentheassetisrealizedortheliabilityissettled.
31.Lease
(1)AccountingTreatmentofOperatingLeaseLesseeinanoperatingleaseshalltreattheleasepaymentunderanoperatingleaseasarelevantassetcostorthecurrentprofitorlossonastraight-linebasisovertheleaseterm.Theinitialdirectcostsincurredshallberecognizedasthecurrentprofitorloss;Contingentrentsshallbechargedasexpensesintheperiodsinwhichtheyareincurred.Lessorsinanoperatingleaseshallberecognizedasthecurrentprofitorlossonastraight-linebasisovertheleaseterm;Initialdirectcostsincurredbylessorsshallberecognizedasthecurrentprofitorloss;theinitialdirectexpensesoccurshouldbedirectlyincludedinthecurrentgainsandlossesexceptforthosewithlargeramountandbecapitalizedaswellasbeincludedinthegainsandlossesbystages.Contingentrentsshallbechargedasexpensesintheperiodsinwhichtheyareincurred.
(2)AccountingTreatmentsofFinancialLeaseWhentheCompanyasthelessee,Ontheleasebeginningdate,theCompanyshallrecordtheloweroneofthefairvalueoftheleasedassetandthepresentvalueoftheminimumleasepaymentsontheleasebeginningdateastheenteringvalueinanaccount,recognizetheamountoftheminimumleasepaymentsastheenteringvalueinanaccountoflong-termaccountpayable,andtreatthebalancebetweentherecordedamountoftheleasedassetandthelong-termaccountpayableasunrecognizedfinancingchargesandtheoccurredinitialdirectexpenses,shouldberecordedintheleaseassetsvalue.Duringeachleaseperiod,shouldrecognizethecurrentfinancingexpensesbyadoptingtheactualinterestrate.WhentheCompanyastheleasorandonthebeginningdateoftheleaseterm,theCompanyshallrecognizethesumoftheminimumleasereceiptsontheleasebeginningdateandtheinitialdirectcostsastheenteringvalueinanaccountofthefinancingleasevaluesreceivable,andrecordtheunguaranteedresidualvalueatthesametime.Thebalancebetweenthesumoftheminimumleasereceipts,theinitialdirectcostsandtheunguaranteedresidualvalueandthesumoftheirpresentvaluesshallberecognizedasunrealizedfinancingincome.Duringeachleaseperiod,shouldrecognizethecurrentfinancingrevenuesadoptingtheactualinterestrate.
32.ChangesinMainAccountingPoliciesandEstimates
(1)ChangeofAccountingPolicies
√Applicable□Notapplicable
Changestotheaccountingpoliciesandwhy | Approvalprocess | Remark |
TheMinistryofFinanceissuedtheNoticeonRevisingandPrintingtheAccountingStandardsforBusinessEnterprisesNo.14-Revenue(CK[2017]No.22)(hereinafterreferredtoasthe“NewStandardsgoverningRevenue”)inJuly2017andrequiredalldomesticallylistedcompaniestoimplementitsince1January2020. | On28April2020,theCompanyheldthe2ndMeetingofthe9thBoardofDirectorsandthe2ndMeetingofthe9thSupervisoryCommitteeandapprovedtheProposalonChangesofSomeAccountingPolicies |
(1)InfluenceofImplementingtheNewStandardsGoverningRevenueAffecteditemsintheconsolidatedbalancesheetandamountthereof:
Item | 31December2019 | Affectedbyclassificationandmeasurement | 1January2020 |
Advancesfromcustomers | 31,789,001.78 | -31,789,001.78 | |
Contractliabilities | 29,652,202.74 | 29,652,202.74 | |
Othercurrentliabilities | 1,177,712.38 | 2,136,799.04 | 3,314,511.42 |
AffecteditemsinthebalancesheetoftheCompanyastheparentandamountthereof:
Item | 31December2019 | Affectedbyclassificationandmeasurement | 1January2020 |
Advancesfromcustomers | 28,673,664.87 | -28,673,664.87 | |
Contractliabilities | 26,661,229.33 | 26,661,229.33 | |
Othercurrentliabilities | 2,012,435.54 | 2,012,435.54 |
(2)ChangesinAccountingEstimates
□Applicable√Notapplicable
(3)AdjustmentstotheFinancialStatementsattheBeginningoftheFirstExecutionYearofanyNewStandardsGoverningRevenueorLeasessince2020ApplicableConsolidatedBalanceSheet
Unit:RMB
Item | 31December2019 | 1January2020 | Adjusted |
Currentassets: | |||
Monetaryassets | 638,589,260.09 | 638,589,260.09 | |
Settlementreserve | |||
Interbankloansgranted | |||
Held-for-tradingfinancialassets | 13,050,000.00 | 13,050,000.00 | |
Derivativefinancialassets |
Notesreceivable | 606,283,023.05 | 606,283,023.05 |
Accountsreceivable | 419,302,056.87 | 419,302,056.87 |
Accountsreceivablefinancing | ||
Prepayments | 12,968,746.16 | 12,968,746.16 |
Premiumsreceivable | ||
Reinsurancereceivables | ||
Receivablereinsurancecontractreserve | ||
Otherreceivables | 9,703,390.94 | 9,703,390.94 |
Including:Interestreceivable | ||
Dividendsreceivable | ||
Financialassetspurchasedunderresaleagreements | ||
Inventories | 473,359,168.90 | 473,359,168.90 |
Contractassets | ||
Assetsheldforsale | ||
Currentportionofnon-currentassets | ||
Othercurrentassets | 6,421,275.47 | 6,421,275.47 |
Totalcurrentassets | 2,179,676,921.48 | 2,179,676,921.48 |
Non-currentassets: | ||
Loansandadvancestocustomers | ||
Investmentsindebtobligations | ||
Investmentsinotherdebtobligations | ||
Long-termreceivables | ||
Long-termequityinvestments | ||
Investmentsinotherequityinstruments | 532,886,000.00 | 532,886,000.00 |
Othernon-currentfinancialassets | 77,952,101.63 | 77,952,101.63 |
Investmentproperty | 48,447,666.83 | 48,447,666.83 |
Fixedassets | 457,722,667.32 | 457,722,667.32 |
Constructioninprogress | 91,358,156.24 | 91,358,156.24 |
Productivelivingassets |
Oilandgasassets | |||
Right-of-useassets | |||
Intangibleassets | 99,699,450.26 | 99,699,450.26 | |
Developmentcosts | |||
Goodwill | |||
Long-termprepaidexpense | 53,497.80 | 53,497.80 | |
Deferredincometaxassets | 1,023,863.04 | 1,023,863.04 | |
Othernon-currentassets | |||
Totalnon-currentassets | 1,309,143,403.12 | 1,309,143,403.12 | |
Totalassets | 3,488,820,324.60 | 3,488,820,324.60 | |
Currentliabilities: | |||
Short-termborrowings | 22,000,000.00 | 22,000,000.00 | |
Borrowingsfromthecentralbank | |||
Interbankloansobtained | |||
Held-for-tradingfinancialliabilities | |||
Derivativefinancialliabilities | |||
Notespayable | 403,035,000.00 | 403,035,000.00 | |
Accountspayable | 525,625,016.89 | 525,625,016.89 | |
Advancesfromcustomers | 31,789,001.78 | -31,789,001.78 | |
Contractliabilities | 29,652,202.74 | 29,652,202.74 | |
Financialassetssoldunderrepurchaseagreements | |||
Customerdepositsandinterbankdeposits | |||
Payablesforactingtradingofsecurities | |||
Payablesforunderwritingofsecurities | |||
Employeebenefitspayable | 44,559,015.79 | 44,559,015.79 | |
Taxespayable | 9,094,382.58 | 9,094,382.58 | |
Otherpayables | 205,064,145.10 | 205,064,145.10 | |
Including:Interestpayable | |||
Dividends | 3,891,433.83 | 3,891,433.83 |
payable | |||
Handlingchargesandcommissionspayable | |||
Reinsurancepayables | |||
Liabilitiesdirectlyassociatedwithassetsheldforsale | |||
Currentportionofnon-currentliabilities | |||
Othercurrentliabilities | 1,177,712.38 | 3,314,511.42 | 2,136,799.04 |
Totalcurrentliabilities | 1,242,344,274.52 | 1,242,344,274.52 | |
Non-currentliabilities: | |||
Insurancecontractreserve | |||
Long-termborrowings | |||
Bondspayable | |||
Including:Preferredshares | |||
Perpetualbonds | |||
Leaseliabilities | |||
Long-termpayables | |||
Long-termemployeebenefitspayable | |||
Provisions | |||
Deferredincome | 58,864,111.22 | 58,864,111.22 | |
Deferredincometaxliabilities | 57,082,890.27 | 57,082,890.27 | |
Othernon-currentliabilities | |||
Totalnon-currentliabilities | 115,947,001.49 | 115,947,001.49 | |
Totalliabilities | 1,358,291,276.01 | 1,358,291,276.01 | |
Owners’equity: | |||
Sharecapital | 561,374,326.00 | 561,374,326.00 | |
Otherequityinstruments | |||
Including:Preferredshares | |||
Perpetualbonds | |||
Capitalreserves | 164,328,665.43 | 164,328,665.43 | |
Less:Treasurystock | |||
Othercomprehensive | 317,059,775.00 | 317,059,775.00 |
income | ||
Specificreserve | 17,560,202.07 | 17,560,202.07 |
Surplusreserves | 322,228,533.72 | 322,228,533.72 |
Generalreserve | ||
Retainedearnings | 728,341,265.36 | 728,341,265.36 |
TotalequityattributabletoownersoftheCompanyastheparent | 2,110,892,767.58 | 2,110,892,767.58 |
Non-controllinginterests | 19,636,281.01 | 19,636,281.01 |
Totalowners’equity | 2,130,529,048.59 | 2,130,529,048.59 |
Totalliabilitiesandowners’equity | 3,488,820,324.60 | 3,488,820,324.60 |
BalanceSheetoftheCompanyastheParent
Unit:RMB
Item | 31December2019 | 1January2020 | Adjusted |
Currentassets: | |||
Monetaryassets | 584,957,678.96 | 584,957,678.96 | |
Held-for-tradingfinancialassets | |||
Derivativefinancialassets | |||
Notesreceivable | 576,948,023.05 | 576,948,023.05 | |
Accountsreceivable | 337,447,538.04 | 337,447,538.04 | |
Accountsreceivablefinancing | |||
Prepayments | 6,386,284.14 | 6,386,284.14 | |
Otherreceivables | 22,741,542.22 | 22,741,542.22 | |
Including:Interestreceivable | |||
Dividendsreceivable | |||
Inventories | 368,653,472.39 | 368,653,472.39 | |
Contractassets | |||
Assetsheldforsale | |||
Currentportionofnon-currentassets | |||
Othercurrentassets | 3,898,333.51 | 3,898,333.51 | |
Totalcurrentassets | 1,901,032,872.31 | 1,901,032,872.31 | |
Non-currentassets: | |||
Investmentsindebt |
obligations | |||
Investmentsinotherdebtobligations | |||
Long-termreceivables | |||
Long-termequityinvestments | 252,752,730.03 | 252,752,730.03 | |
Investmentsinotherequityinstruments | 532,886,000.00 | 532,886,000.00 | |
Othernon-currentfinancialassets | 50,000,000.00 | 50,000,000.00 | |
Investmentproperty | 48,447,666.83 | 48,447,666.83 | |
Fixedassets | 364,071,199.07 | 364,071,199.07 | |
Constructioninprogress | 89,330,161.60 | 89,330,161.60 | |
Productivelivingassets | |||
Oilandgasassets | |||
Right-of-useassets | |||
Intangibleassets | 70,169,770.91 | 70,169,770.91 | |
Developmentcosts | |||
Goodwill | |||
Long-termprepaidexpense | |||
Deferredincometaxassets | 970,026.67 | 970,026.67 | |
Othernon-currentassets | |||
Totalnon-currentassets | 1,408,627,555.11 | 1,408,627,555.11 | |
Totalassets | 3,309,660,427.42 | 3,309,660,427.42 | |
Currentliabilities: | |||
Short-termborrowings | 5,000,000.00 | 5,000,000.00 | |
Held-for-tradingfinancialliabilities | |||
Derivativefinancialliabilities | |||
Notespayable | 392,105,000.00 | 392,105,000.00 | |
Accountspayable | 481,854,210.18 | 481,854,210.18 | |
Advancesfromcustomers | 28,673,664.87 | -28,673,664.87 | |
Contractliabilities | 26,661,229.33 | 26,661,229.33 | |
Employeebenefitspayable | 39,125,477.30 | 39,125,477.30 | |
Taxespayable | 5,952,664.10 | 5,952,664.10 |
Otherpayables | 192,046,130.29 | 192,046,130.29 | |
Including:Interestpayable | |||
Dividendspayable | 3,243,179.97 | 3,243,179.97 | |
Liabilitiesdirectlyassociatedwithassetsheldforsale | |||
Currentportionofnon-currentliabilities | |||
Othercurrentliabilities | 2,012,435.54 | 2,012,435.54 | |
Totalcurrentliabilities | 1,144,757,146.74 | 1,144,757,146.74 | |
Non-currentliabilities: | |||
Long-termborrowings | |||
Bondspayable | |||
Including:Preferredshares | |||
Perpetualbonds | |||
Leaseliabilities | |||
Long-termpayables | |||
Long-termemployeebenefitspayable | |||
Provisions | |||
Deferredincome | 58,864,111.22 | 58,864,111.22 | |
Deferredincometaxliabilities | 55,951,725.00 | 55,951,725.00 | |
Othernon-currentliabilities | |||
Totalnon-currentliabilities | 114,815,836.22 | 114,815,836.22 | |
Totalliabilities | 1,259,572,982.96 | 1,259,572,982.96 | |
Owners’equity: | |||
Sharecapital | 561,374,326.00 | 561,374,326.00 | |
Otherequityinstruments | |||
Including:Preferredshares | |||
Perpetualbonds | |||
Capitalreserves | 183,071,147.70 | 183,071,147.70 | |
Less:Treasurystock |
Othercomprehensiveincome | 317,059,775.00 | 317,059,775.00 |
Specificreserve | 17,560,202.07 | 17,560,202.07 |
Surplusreserves | 322,228,533.72 | 322,228,533.72 |
Retainedearnings | 648,793,459.97 | 648,793,459.97 |
Totalowners’equity | 2,050,087,444.46 | 2,050,087,444.46 |
Totalliabilitiesandowners’equity | 3,309,660,427.42 | 3,309,660,427.42 |
(4)RetroactiveAdjustmentstoComparativeDataofPriorYearswhenFirstExecutionofanyNewStandardsGoverningRevenueorLeasessince2020
□Applicable√Notapplicable
VI.Taxation
1.MainTaxesandTaxRate
Categoryoftaxes | Taxbasis | Taxrate |
VAT | Payabletosalesrevenue | 13%,9%,6% |
Urbanmaintenanceandconstructiontax | Taxableturnoveramount | Taxpaidinaccordancewiththetaxregulationsoftaxunitslocation |
Enterpriseincometax | Taxableincome | 25%、15%、5% |
Educationsurcharge | Taxableturnoveramount | 5% |
Notesofthedisclosuresituationofthetaxpayingbodieswithdifferententerprisesincometaxrate
Name | Incometaxrate |
ChangchaiCompany,Limited | 15% |
ChangchaiWanzhouDieselEngineCo.,Ltd. | 15% |
ChangzhouChangchaiBenniuDieselEngineFittingsCo.,Ltd. | 25% |
ChangzhouHoushengInvestmentCo.,Ltd. | 25% |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | 25% |
ChangzhouFujiChangchaiRobinGasolineEngineCo.,Ltd. | 15% |
JiangsuChangchaiMachineryCo.,Ltd. | 25% |
ChangzhouXingshengRealEstateManagementCo.,Ltd. | 5% |
2.TaxPreferenceOn24October2018,theCompanyobtainedtheCertificatesforHigh-techEnterprisesagain,anditstillenjoys15-percentpreferentialrateforcorporateincometaxduringtheReportingPeriod;theCompany’scontrollingsubsidiary-ChangchaiWanzhouDieselEngineCo.,Ltd.,thecontrollingsubsidiarycompany,shallpaythecorporateincometaxattaxrate15%from1January2011to31December2020inaccordancewiththeNoticeoftheMinistryofFinance,theGeneralAdministrationofCustomsofPRCandtheNationalAdministrationofTaxationaboutthePreferentialTaxPoliciesfortheWesternDevelopment.On2December2020,thewholly-ownedsubsidiaryChangzhouFujiChangchaiRobinGasolineEngineCo.,Ltd.obtainedthe"High-techEnterpriseCertificate"andenjoyeda15%preferentialcorporateincometaxrateduringtheReportingPeriod;Thewholly-ownedsubsidiariyChangzhouXingshengRealEstateManagementCo.,Ltd.iseligiblesmallenterprisewithlowprofitsandshallpaythecorporateincometaxattaxrate5%forsmallenterpriseswithlowprofitsduringtheReportingPeriod.
VII.NotestoMajorItemsintheConsolidatedFinancialStatementsoftheCompany
1.MonetaryAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
Cashonhand | 287,505.91 | 181,115.21 |
Bankdeposits | 620,966,786.57 | 545,271,159.50 |
Othermonetaryassets | 139,473,930.37 | 93,136,985.38 |
Total | 760,728,222.85 | 638,589,260.09 |
Ofwhich:Totalamountdepositedoverseas |
Attheperiod-end,therestrictedmonetaryassetsoftheCompanywasRMB130,788,682.35,ofwhichRMB126,979,327.60wasthecashdepositforbankacceptancebills,RMB2,993,220.00wascashdepositforL/G,andRMB816,134.75wascashdepositforenvironment.
2.TradingFinancialAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
Financialassetsatfairvaluethroughprofitorloss | 11,500,272.00 | 13,050,000.00 |
Ofwhich:Forwardsettlement | 200,272.00 | |
Financialproducts | 11,300,000.00 | 13,050,000.00 |
Total | 11,500,272.00 | 13,050,000.00 |
3.NotesReceivable
(1)NotesReceivableListedbyCategory
Unit:RMB
Item | Endingbalance | Beginningbalance |
Bankacceptancebill | 600,140,938.05 | 606,283,023.05 |
Total | 600,140,938.05 | 606,283,023.05 |
Ifthebaddebtprovisionfornotesreceivablewaswithdrawninaccordancewiththegeneralmodelofexpectedcreditlosses,informationrelatedtobaddebtprovisionshallbedisclosedbyreferencetothedisclosuremethodofotherreceivables:
□Applicable√Notapplicable
(2)ThereWereNoNotesReceivablePledgedbytheCompanyatthePeriod-end
(3)NotesReceivablewhichHadEndorsedbytheCompanyorhadDiscountedbuthadnotDueontheBalanceSheetDateatthePeriod-end
Unit:RMB
Item | Amountofrecognitionterminationattheperiod-end | Amountofnotterminatedrecognitionattheperiod-end |
Bankacceptancebill | 765,010,766.00 | |
Total | 765,010,766.00 |
(4)ThereWereNoNotesTransferredtoAccountsReceivablebecauseDraweroftheNotesFailedtoExecutetheContractorAgreementatthePeriod-end
4.AccountsReceivable
(1)AccountsReceivableClassifiedbyCategory
Unit:RMB
Category | Endingbalance | Beginningbalance | ||||||||
Carryingamount | Baddebtprovision | Carryingvalue | Carryingamount | Baddebtprovision | Carryingvalue | |||||
Amount | Proportion | Amount | Withdrawalproportion | Amount | Proportion | Amount | Withdrawalproportion | |||
Accountsreceivableforwhichbaddebtprovisionseparatelyaccrued | 33,703,039.72 | 5.98% | 31,807,452.89 | 94.38% | 1,895,586.83 | 35,534,574.55 | 5.31% | 33,449,794.41 | 94.13% | 2,084,780.14 |
Ofwhich: | ||||||||||
Accountsreceivablewithsignificantamountforwhichbaddebtprovisionseparatelyaccrued | 29,870,525.05 | 5.30% | 27,974,938.22 | 93.65% | 1,895,586.83 | 30,642,717.62 | 4.58% | 28,557,937.48 | 93.20% | 2,084,780.14 |
Accountsreceivablewithinsignificantamountforwhichbaddebtprovisionseparatelyaccrued | 3,832,514.67 | 0.68% | 3,832,514.67 | 100.00% | 0.00 | 4,891,856.93 | 0.73% | 4,891,856.93 | 100.00% | 0.00 |
Accountsreceivableforwhichbaddebtprovisionaccruedbygroup | 529,486,382.09 | 94.02% | 134,227,952.43 | 25.35% | 395,258,429.66 | 633,062,365.04 | 94.69% | 215,845,088.31 | 34.10% | 417,217,276.73 |
Ofwhich: |
Accountsreceivableforwhichbaddebtprovisionaccruedbycreditriskfeaturesgroup | 529,486,382.09 | 94.02% | 134,227,952.43 | 25.35% | 395,258,429.66 | 633,062,365.04 | 94.69% | 215,845,088.31 | 34.10% | 417,217,276.73 |
Total | 563,189,421.81 | 100.00% | 166,035,405.32 | 29.48% | 397,154,016.49 | 668,596,939.59 | 100.00% | 249,294,882.72 | 37.29% | 419,302,056.87 |
Accountreceivableswithdrawnbaddebtprovisionseparatelywithsignificantamountattheperiodend:
Unit:RMB
Name | Endingbalance | |||
Carryingamount | Baddebtprovision | Withdrawalproportion | Reasonofwithdrawal | |
Customer1 | 1,470,110.64 | 1,470,110.64 | 100.00% | Difficulttorecover |
Customer2 | 1,902,326.58 | 1,902,326.58 | 100.00% | Difficulttorecover |
Customer3 | 6,215,662.64 | 6,215,662.64 | 100.00% | Difficulttorecover |
Customer4 | 2,254,860.60 | 2,175,814.38 | 96.49% | Expectedtodifficultlyrecover |
Customer5 | 3,633,081.23 | 1,816,540.62 | 50.00% | Expectedtodifficultlyrecover |
Customer6 | 3,279,100.00 | 3,279,100.00 | 100.00% | Difficulttorecover |
Customer7 | 1,617,988.01 | 1,617,988.01 | 100.00% | Difficulttorecover |
Customer8 | 5,359,381.00 | 5,359,381.00 | 100.00% | Difficulttorecover |
Customer9 | 2,584,805.83 | 2,584,805.83 | 100.00% | Difficulttorecover |
Customer10 | 1,553,208.52 | 1,553,208.52 | 100.00% | Difficulttorecover |
Total | 29,870,525.05 | 27,974,938.22 | -- | -- |
Accountsreceivableforwhichbaddebtprovisionaccruedbycreditriskfeaturesgroup:
Unit:RMB
Aging | Endingbalance | ||
Carryingamount | Baddebtprovision | Withdrawalproportion | |
Within1year | 385,027,068.11 | 7,700,541.84 | 2.00% |
1to2years | 10,151,185.00 | 507,559.25 | 5.00% |
2to3years | 4,745,351.68 | 711,802.76 | 15.00% |
3to4years | 5,193,053.09 | 1,557,915.93 | 30.00% |
4to5years | 1,548,978.90 | 929,387.34 | 60.00% |
Over5years | 122,820,745.31 | 122,820,745.31 | 100.00% |
Total | 529,486,382.09 | 134,227,952.43 | -- |
Notesofthebasisofdeterminingthegroup:
Theaccountsreceivablewasadoptedtheaginganalysisbasedonthemonthswhentheaccountsincurredactually,amongwhichtheaccountsincurredearlierwillbeprioritytobesettledintermsofthecapitalturnover.Explanationoftheinputvalueandassumptionadoptedtodeterminethewithdrawalamountofbaddebtprovision
ontheCurrentPeriod:Withreferencetotheexperienceofthehistoricalcreditloss,combiningwiththepredictionofthepresentstatusandfuturefinancialsituation,thecomparisontablewaspreparedbetweentheagingoftheaccountsreceivableandestimatedcreditlossrateinthedurationandtocalculatetheestimatedcreditloss.Pleaserefertotherelevantinformationofdisclosureofbaddebtprovisionofotheraccountsreceivableifadoptingthegeneralmodeofexpectedcreditlosstowithdrawbaddebtprovisionofaccountsreceivable.
□Applicable√NotapplicableDisclosurebyaging
Unit:RMB
Aging | Carryingamount |
Within1year(including1year) | 385,027,068.11 |
1to2years | 10,871,134.25 |
2to3years | 6,695,101.24 |
Over3years | 160,596,118.21 |
3to4years | 7,729,342.84 |
4to5years | 4,161,559.72 |
Over5years | 148,705,215.65 |
Total | 563,189,421.81 |
(2)BadDebtProvisionWithdrawn,ReversedorRecoveredintheReportingPeriodInformationofbaddebtprovisionwithdrawn:
Unit:RMB
Category | Beginningbalance | ChangesintheReportingPeriod | Endingbalance | ||
Withdrawal | Reversalorrecovery | Write-off | |||
Baddebtprovisionwithdrawnseparately | 33,449,794.41 | 159,597.80 | 1,801,939.32 | 31,807,452.89 | |
Baddebtprovisionwithdrawnbygroup | 215,845,088.31 | 766,429.39 | 4,361.56 | 82,379,203.71 | 134,227,952.43 |
Total | 249,294,882.72 | 926,027.19 | 1,806,300.88 | 82,379,203.71 | 166,035,405.32 |
OfwhichbaddebtprovisionreversedorrecoveredwithsignificantamountintheReportingPeriod:No.
(3)AccountsReceivablewithActualVerificationduringtheReportingPeriod
Unit:RMB
Item | Verifiedamount |
Accountsreceivablewithactualverification | 82,379,203.71 |
Ofwhichtheverificationofsignificantaccountsreceivable:
Unit:RMB
Nameoftheentity | Natureoftheaccountsreceivable | Verifiedamount | Reasonforverification | Verificationproceduresperformed | Arisingfromrelated-party |
transactionsornot | |||||
Customer1 | Baddebtlosses | 14,234,302.79 | Theagingofcanceledreceivablesshallexceed5yearsandresultfromfruitlesscollection,andifanysingleclient’slargeamountisinvolvedwithoutanybusinesstransactionwiththeCompanyforovertenyears,theclient’squalificationforbusinessoperationshallbecanceledortheinsolvencyliquidationisfinishedwithoutanyproductionandoperationactivities. | 1.TheCompanyheldthe3rdMeetingofthe9thBoardofDirectorsandthe3rdMeetingofthe9thSupervisoryCommitteeon28June2020andapprovedtheProposalonVerificationofSomeAccountsReceivable.2.On12November2020,thebankruptcyliquidationproceduresofShandongHongliGroupCo.,Ltd.hadbeenimplemented,andtherepaymentrateoftheCompany’soutstandingpaymentwas0.On29January2021,theCompanyheldthe7thMeetingofthe9thBoardofDirectorsandapprovedtheProposalonVerificationofAccountsReceivableofShandongHongliGroupCo.,Ltd.. | Not |
Customer2 | 10,000,000.00 | ||||
Customer3 | 7,583,232.65 | ||||
Customer4 | 4,581,880.41 | ||||
Customer5 | 3,600,000.00 | ||||
Customer6 | 2,752,840.00 | ||||
Customer7 | 2,450,966.67 | ||||
Customer8 | 2,180,243.72 | ||||
Customer9 | 1,976,282.47 | ||||
Customer10 | 1,860,830.82 | ||||
Customer11 | 1,758,686.48 | ||||
Customer12 | 1,662,052.98 | ||||
Customer13 | 1,285,160.60 | ||||
Customer14 | 1,236,225.30 | ||||
Customer15 | 1,235,170.95 | ||||
Customer16 | 1,200,000.00 | ||||
Customer17 | 1,149,217.70 | ||||
Customer18 | 848,158.92 | ||||
Customer19 | 841,642.86 | ||||
Customer20 | 830,000.00 | ||||
Customer21 | 800,000.00 | ||||
Customer22 | 797,786.72 | ||||
Customer23 | 796,226.73 | ||||
Customer24 | 760,197.20 | ||||
Customer25 | 728,666.36 | ||||
Customer26 | 677,250.00 | ||||
Customer27 | 551,305.36 | ||||
Customer28 | 549,800.00 | ||||
Customer29 | 537,698.10 | ||||
Customer30 | 12,343,782.28 | ||||
Customer31 | 520,892.51 | ||||
Total | -- | 82,330,500.58 | -- | -- | -- |
(4)Top5oftheEndingBalanceoftheAccountsReceivableCollectedaccordingtotheArrearsParty
Unit:RMB
Nameoftheentity | Endingbalanceofaccountsreceivable | Proportiontototalendingbalanceofaccountsreceivable | Endingbalanceofbaddebtprovision |
Customer1 | 140,334,103.03 | 24.92% | 2,806,682.06 |
Customer2 | 36,991,841.04 | 6.57% | 856,733.55 |
Customer3 | 33,407,519.00 | 5.93% | 668,150.38 |
Customer4 | 22,051,755.53 | 3.92% | 441,035.11 |
Customer5 | 18,721,197.34 | 3.32% | 374,423.95 |
Total | 251,506,415.94 | 44.66% |
5.Prepayments
(1)ListbyAgingAnalysis
Unit:RMB
Aging | Endingbalance | Beginningbalance | ||
Amount | Proportion | Amount | Proportion | |
Within1year | 7,039,656.05 | 75.23% | 10,857,776.65 | 83.72% |
1to2years | 641,762.79 | 6.86% | 993,030.99 | 7.66% |
2to3years | 673,819.29 | 7.20% | 115,335.90 | 0.89% |
Over3years | 1002602.62 | 10.71% | 1,002,602.62 | 7.73% |
Total | 9,357,840.75 | -- | 12,968,746.16 | -- |
AsoftheendoftheReportingPeriod,theCompanyhadnoprepaymentswithanagingofmorethan1yearandasignificantamount.
(2)Top5oftheEndingBalanceofthePrepaymentsCollectedaccordingtothePrepaymentTargetAttheperiod-end,thetotaltop5oftheendingbalanceoftheprepaymentscollectedaccordingtotheprepaymenttargetwasRMB5,537,493.47accountingfor59.17%ofthetotalendingbalanceofprepayments.
6.OtherReceivables
Unit:RMB
Item | Endingbalance | Beginningbalance |
Interestreceivable | 0.00 | 0.00 |
Dividendreceivable | 0.00 | 0.00 |
Otherreceivables | 6,212,062.80 | 9,703,390.94 |
Total | 6,212,062.80 | 9,703,390.94 |
(1)OtherReceivables
1)OtherReceivablesClassifiedbyAccountsNature
Unit:RMB
Nature | Endingcarryingvalue | Beginningcarryingvalue |
Marginandcashpledge | 4,200.00 | 7,758.60 |
Intercoursefunds | 22,967,220.99 | 24,536,151.71 |
Pettycashandborrowingsbyemployees | 1,359,483.08 | 3,208,541.67 |
Other | 13,806,779.19 | 15,374,916.41 |
Total | 38,137,683.26 | 43,127,368.39 |
2)WithdrawalofBadDebtProvision
Unit:RMB
Baddebtprovision | Firststage | Secondstage | Thirdstage | Total |
Expectedcreditlossofthenext12months | Expectedlossintheduration(creditimpairmentnotoccurred) | Expectedlossintheduration(creditimpairmentoccurred) | ||
Balanceof1January2020 | 33,423,977.45 | 33,423,977.45 |
Balanceof1January2020intheCurrentPeriod | |||
--TransfertoSecondstage | |||
--TransfertoThirdstage | |||
--ReversetoSecondstage | |||
--ReversetoFirststage | |||
WithdrawaloftheCurrentPeriod | 27,302.92 | 27,302.92 | |
ReversaloftheCurrentPeriod | 1,525,659.91 | 1,525,659.91 | |
Write-offsoftheCurrentPeriod | |||
VerificationoftheCurrentPeriod | |||
Otherchanges | |||
Balanceof31December2020 | 31,925,620.46 | 31,925,620.46 |
Changesofcarryingamountwithsignificantamountchangedoflossprovisioninthecurrentperiod
□Applicable√NotapplicableDisclosurebyaging
Unit:RMB
Aging | Endingbalance |
Within1year(including1year) | 4,544,798.95 |
1to2years | 488,230.94 |
2to3years | 461,642.22 |
Over3years | 32,643,011.15 |
3to4years | 1,168,912.97 |
4to5years | 208,579.74 |
Over5years | 31,265,518.44 |
Total | 38,137,683.26 |
3)BadDebtProvisionWithdrawn,ReversedorRecoveredintheReportingPeriodInformationofwithdrawalofbaddebtprovision:
Unit:RMB
Category | Beginningbalance | ChangesintheReportingPeriod | Endingbalance | |||
Withdrawal | Reversalorrecovery | Write-off | Other |
Baddebtprovisionforwhichaccruedseparately | 5,042,448.58 | 3,080.17 | 5,039,368.41 | ||
Baddebtprovisionforwhichaccruedbygroup | 28,381,528.87 | 27,302.92 | 1,522,579.74 | 26,886,252.05 | |
Total | 33,423,977.45 | 27,302.92 | 1,525,659.91 | 31,925,620.46 |
4)ThereWasNoParticularsoftheActualVerificationofOtherReceivablesduringtheReportingPeriod
5)Top5oftheEndingBalanceoftheOtherReceivablesCollectedaccordingtotheArrearsParty
Unit:RMB
Nameoftheentity | Nature | Endingbalance | Aging | Proportiontoendingbalanceofotherreceivables% | Endingbalanceofbaddebtprovision |
ChangzhouCompressorFactory | Intercoursefunds | 2,940,000.00 | Over5years | 7.71% | 2,940,000.00 |
ChangchaiGroupImp.&Exp.Co.,Ltd. | Intercoursefunds | 2,853,188.02 | Over5years | 7.48% | 2,853,188.02 |
ChangzhouNewDistrictAccountingCenter | Intercoursefunds | 1,626,483.25 | Over5years | 4.26% | 1,626,483.25 |
ChangchaiGroupSettlementCenter | Intercoursefunds | 1,140,722.16 | Over5years | 2.99% | 1,140,722.16 |
ChangzhouHuadiEngineeringGuaranteeCo.,Ltd. | Intercoursefunds | 1,065,400.00 | Within1year | 2.79% | 21,308.00 |
Total | -- | 9,625,793.43 | -- | 25.23% | 8,581,701.43 |
7.InventoryWhethertheCompanyneedstocomplywiththerequirementsofrealestateindustryNo
(1)CategoryofInventory
Unit:RMB
Item | Endingbalance | Beginningbalance | ||||
Carryingamount | Fallingpricereserves | Carryingvalue | Carryingamount | Fallingpricereserves | Carryingvalue | |
Rawmaterials | 134,712,519.83 | 5,559,513.66 | 129,084,129.60 | 125,757,856.89 | 6,539,831.39 | 119,218,025.50 |
Materialsprocessedoncommission | 14,065,866.52 | 68,876.57 | 14,065,866.52 | 12,444,566.41 | 183,111.28 | 12,261,455.13 |
Goodsinprocess | 134,454,109.88 | 18,512,449.08 | 115,941,660.80 | 142,399,981.66 | 26,985,350.14 | 115,414,631.52 |
Finishedgoods | 361,975,004.89 | 15,261,416.17 | 346,713,588.72 | 239,701,513.09 | 15,404,153.29 | 224,297,359.80 |
Lowpricedandeasilywornarticles | 1,906,803.53 | 1,031,708.62 | 875,094.91 | 3,373,235.80 | 1,205,538.85 | 2,167,696.95 |
Total | 647,114,304.65 | 40,433,964.10 | 606,680,340.55 | 523,677,153.85 | 50,317,984.95 | 473,359,168.90 |
(2)FallingPriceReserves
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance | ||
Withdrawal | Other | Reversalorwrite-off | Other | |||
Rawmaterials | 6,539,831.39 | 1,393,521.63 | 2,373,839.36 | 5,559,513.66 | ||
Materialsprocessedoncommission | 183,111.28 | 68,876.57 | 183,111.28 | 68,876.57 | ||
Goodsinprocess | 26,985,350.14 | 4,107,305.33 | 12,580,206.39 | 18,512,449.08 | ||
Finishedgoods | 15,404,153.29 | 7,064,868.66 | 7,207,605.78 | 15,261,416.17 | ||
Lowpricedandeasilywornarticles | 1,205,538.85 | 1,031,708.62 | 1,205,538.85 | 1,031,708.62 | ||
Total | 50,317,984.95 | 13,666,280.81 | 23,550,301.66 | 40,433,964.10 |
(3)ThereWasNoCapitalizedBorrowingExpenseintheEndingBalanceofInventories
8.OtherCurrentAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
TheVATtaxcredits | 22,534,134.72 | 6,043,473.29 |
Privateplacementofintermediaryagencyfees | 2,358,490.56 | |
Prepaidcorporateincometax | 2,240,396.88 | |
Prepaidexpense | 80,070.32 | 98,856.26 |
Other | 86,270.24 | 278,945.92 |
Total | 27,299,362.72 | 6,421,275.47 |
9.Long-termEquityInvestment
Unit:RMB
Invest | Begin | Increase/decrease | Endin | Endin |
ees | ningbalance(carryingvalue) | Additionalinvestment | Reducedinvestment | Gainorlossrecognizedundertheequitymethod | Adjustmentofothercomprehensiveincome | Changesinotherequity | Cashbonusorprofitannouncedtoissue | Withdrawalofdepreciationreserves | Other | gbalance(carryingvalue) | gbalanceofdepreciationreserves |
II.Associatedenterprises | |||||||||||
BeijingTsinghuaIndustrialInvestmentManagementCo.,Ltd. | 0.00 | 0.00 | 44,182.50 | ||||||||
Subtotal | 0.00 | 0.00 | 44,182.50 | ||||||||
Total | 0.00 | 0.00 | 44,182.50 |
10.OtherEquityInstrumentInvestment
Unit:RMB
Item | Endingbalance | Beginningbalance |
ChangzhouSynergeticInnovationPrivateEquityFund(LimitedPartnership) | 102,198,950.87 | 100,000,000.00 |
Otherequityinstrumentinvestmentmeasuredbyfairvalue | 582,939,000.00 | 432,886,000.00 |
Total | 685,137,950.87 | 532,886,000.00 |
Non-tradingequityinstrumentinvestmentdisclosedbycategory
Unit:RMB
Item | Dividendincomerecognized | Accumulativegains | Accumulativelosses | Amountofothercomprehensivetransferredtoretainedearnings | Reasonforassigningtomeasurebyfairvalueofwhichchangesbeincludedtoothercomprehensiveincome | Reasonforothercomprehensiveincometransferredtoretainedearnings |
FotonMotorCo.,Ltd. | 192,185,000.00 | Non-tradingequityinvestment | ||||
BankofJiangsu | 5,004,000.00 | 522,000.00 | Non-tradingequityinvestment | |||
JiangsuNinghuExpresswayCo.,Ltd. | 348,368.67 | 348,368.67 | Non-tradingequityinvestment | Thestockhasbeensoldthisyear | ||
ChangzhouSynergeticInnovationPrivateEquityFund(LimitedPartnership) | 2,198,950.87 | Non-tradingequityinvestment | ||||
Total | 5,004,000.00 | 195,254,319.54 | 348,368.67 |
Othernotes:
SecuritiesoftheCompany'ssecuritiesrefinancingbusinesswhichwasstillonloanattheendoftheperiod:
26,272,100sharesofFotonMotorCo.,Ltd.
11.OtherNon-currentFinancialAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
JiangsuLianceElectromechanicalTechnologyCo.,Ltd. | 7,200,000.00 | 7,200,000.00 |
KailongHighTechnologyCo.,Ltd. | 38,282,105.00 | 20,001,268.00 |
GuizhouWeimenPharmaceuticalCo.,Ltd. | 200,104.80 | 200,104.80 |
GuizhouAndaTechnologyEnergyCo.,Ltd. | 195,297.49 | 195,297.49 |
HenanLantianGasCo.,Ltd. | 160,744.76 | 160,744.76 |
HebeiSongheRenewableResourcesCo.,Ltd. | 104,699.44 | 104,699.44 |
AnhuiHaofangElectromechanicalCo.,Ltd. | 89,987.14 | 89,987.14 |
JiangsuHosunNewEnergyTechnologyCo.,Ltd. | 52,500,000.00 | 50,000,000.00 |
Total | 98,732,938.63 | 77,952,101.63 |
12.InvestmentProperty
(1)InvestmentPropertyAdoptingtheCostMeasurementMode
√Applicable□Notapplicable
Unit:RMB
Item | Housesandbuildings | Total |
I.Originalcarryingvalue | ||
1.Beginningbalance | 87,632,571.14 | 87,632,571.14 |
2.Increasedamountoftheperiod | ||
(1)Outsourcing | ||
(2)Transferfrominventories/fixedassets/constructioninprogress | ||
(3)Enterprisecombinationincrease | ||
3.Decreasedamountoftheperiod | ||
(1)Disposal | ||
(2)Othertransfer | ||
4.Endingbalance | 87,632,571.14 | 87,632,571.14 |
II.Accumulativedepreciationandaccumulativeamortization | ||
1.Beginningbalance | 39,184,904.31 | 39,184,904.31 |
2.Increasedamountoftheperiod | 2,208,340.80 | 2,208,340.80 |
(1)Withdrawaloramortization | 2,208,340.80 | 2,208,340.80 |
3.Decreasedamountoftheperiod | ||
(1)Disposal | ||
(2)Othertransfer | ||
4.Endingbalance | 41,393,245.11 | 41,393,245.11 |
III.Depreciationreserves | ||
1.Beginningbalance | ||
2.Increasedamountoftheperiod | ||
(1)Withdrawal | ||
3.Decreasedamountoftheperiod | ||
(1)Disposal | ||
(2)Othertransfer | ||
4.Endingbalance | ||
IV.Carryingvalue | ||
1.Endingcarryingvalue | 46,239,326.03 | 46,239,326.03 |
2.Beginningcarryingvalue | 48,447,666.83 | 48,447,666.83 |
13.FixedAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
Fixedassets | 454,181,555.68 | 457,722,667.32 |
Disposaloffixedassets | ||
Total | 454,181,555.68 | 457,722,667.32 |
(1)ListofFixedAssets
Unit:RMB
Item | Housesandbuildings | Machineryequipment | Transportationequipment | Otherequipment | Total |
I.Originalcarryingvalue | |||||
1.Beginningbalance | 448,688,661.22 | 956,138,240.18 | 17,283,169.54 | 42,791,587.37 | 1,464,901,658.31 |
2.Increasedamountoftheperiod | 16,740,314.49 | 55,956,615.74 | 1,265,424.03 | 1,253,215.06 | 75,215,569.32 |
(1)Purchase | 418,626.65 | 1,790,876.46 | 420,194.69 | 605,480.50 | 3,235,178.30 |
(2)Transferfromconstructioninprogress | 16,321,687.84 | 54,165,739.28 | 845,229.34 | 647,734.56 | 71,980,391.02 |
(3)Enterprisecombinationincrease | |||||
3.Decreasedamountoftheperiod | 15,123,976.27 | 1,609,285.56 | 1,920,409.32 | 18,653,671.15 | |
(1)Disposalorscrap | 15,123,976.27 | 1,609,285.56 | 1,920,409.32 | 18,653,671.15 | |
4.Endingbalance | 465,428,975.71 | 996,970,879.65 | 16,939,308.01 | 42,124,393.11 | 1,521,463,556.48 |
II.Accumulativedepreciation | |||||
1.Beginningbalance | 281,666,582.26 | 674,545,182.51 | 13,892,318.80 | 35,580,792.42 | 1,005,684,875.99 |
2.Increasedamountoftheperiod | 16,501,775.40 | 57,821,450.01 | 1,098,838.47 | 2,985,836.70 | 78,407,900.58 |
(1)Withdrawal | 16,501,775.40 | 57,821,450.01 | 1,098,838.47 | 2,985,836.70 | 78,407,900.58 |
3.Decreasedamountoftheperiod | 1,235.25 | 13,868,284.82 | 1,526,161.49 | 1,895,768.46 | 17,291,450.02 |
(1)Disposalorscrap | 1,235.25 | 13,868,284.82 | 1,526,161.49 | 1,895,768.46 | 17,291,450.02 |
4.Endingbalance | 298,167,122.41 | 718,498,347.70 | 13,464,995.78 | 36,670,860.66 | 1,066,801,326.55 |
III.Depreciationreserves |
14.ConstructioninProgress
Unit:RMB
Item | Endingbalance | Beginningbalance |
Constructioninprogress | 44,844,896.77 | 63,216,445.03 |
Engineeringmaterials | 21,657,535.64 | 28,141,711.21 |
Total | 66,502,432.41 | 91,358,156.24 |
(1)ListofConstructioninProgress
Unit:RMB
Item | Endingbalance | Beginningbalance | ||||
Carryingamount | Depreciationreserves | Carryingvalue | Carryingamount | Depreciationreserves | Carryingvalue | |
Expansioncapacityofmulti-cylinder(The2ndPeriod) | 1,128,887.90 | 1,128,887.90 | 11,375,531.74 | 11,375,531.74 | ||
DieselEngineCylinderBodyFlexibleManufacturingLine | 38,266,788.31 | 38,266,788.31 |
1.Beginningbalance | 1,494,115.00 | 1,494,115.00 | |||
2.Increasedamountoftheperiod | |||||
(1)Withdrawal | |||||
3.Decreasedamountoftheperiod | 1,013,440.75 | 1,013,440.75 | |||
(1)Disposalorscrap | 1,013,440.75 | 1,013,440.75 | |||
4.Endingbalance | 480,674.25 | 480,674.25 | |||
IV.Carryingvalue | |||||
1.Endingcarryingvalue | 167,261,853.30 | 277,991,857.70 | 3,474,312.23 | 5,453,532.45 | 454,181,555.68 |
2.Beginningcarryingvalue | 167,022,078.96 | 280,098,942.67 | 3,390,850.74 | 7,210,794.95 | 457,722,667.32 |
35KVSubstation | 1,321,959.41 | 1,321,959.41 | ||||
Oilywaterseparatingequipment | 340,800.00 | 340,800.00 | ||||
Relocationprojectoflightengineandcasting | 40,307,243.35 | 40,307,243.35 | 1,687,194.64 | 1,687,194.64 | ||
Equipmenttobeinstalledandpaymentforprojects | 3,408,765.52 | 3,408,765.52 | 10,224,170.93 | 10,224,170.93 | ||
Total | 44,844,896.77 | 44,844,896.77 | 63,216,445.03 | 63,216,445.03 |
(2)ChangesinSignificantConstructioninProgressduringtheReportingPeriod
Unit:RMB
Item | Budget | Beginningbalance | Increasedamount | Transferredinfixedassets | Otherdecreasedamount | Endingbalance | Proportionofaccumulatedinvestmentinconstructionstobudget | Jobschedule | Accumulatedamountofinterestcapitalization | Ofwhich:AmountofcapitalizedinterestsfortheReportingPeriod | CapitalizationrateofinterestsfortheReportingPeriod | Capitalresources |
Expansioncapacityofmulti-cylinder(The2ndPeriod) | 79,000,000.00 | 11,375,531.74 | 31,452.00 | 10,278,095.84 | 1,128,887.90 | Uncompleted | Self-funded |
DieselEngineCylinderBodyFlexibleManufacturingLine | 116,040,000.00 | 38,266,788.31 | 187,769.94 | 38,454,558.25 | 0.00 | Self-funded | ||||
35KVSubstation | 73,290,000.00 | 1,321,959.41 | 390,676.04 | 1,712,635.45 | 0.00 | Self-funded | ||||
Relocationprojectoflightengineandcasting | 474,706,000.00 | 1,687,194.64 | 38,620,048.71 | 0.00 | 40,307,243.35 | 8.49% | Uncompleted | Self-funded | ||
Total | —— | 52,651,474.10 | 39,229,946.69 | 50,445,289.54 | 41,436,131.25 | -- | -- | -- |
(3)EngineeringMaterials
Unit:RMB
Item | Endingbalance | Beginningbalance | ||||
Carryingamount | Depreciationreserves | Carryingvalue | Carryingamount | Depreciationreserves | Carryingvalue | |
Engineeringmaterials | 21,657,535.64 | 21,657,535.64 | 28,141,711.21 | 28,141,711.21 | ||
Total | 21,657,535.64 | 21,657,535.64 | 28,141,711.21 | 28,141,711.21 |
15.IntangibleAssets
(1)ListofIntangibleAssets
Unit:RMB
Item | Landuseright | Patentright | Licensefee | Trademarkuseright | Total |
I.Originalcarryingvalue |
1.Beginningbalance | 144,770,507.85 | 12,866,992.58 | 5,488,000.00 | 163,125,500.43 | |
2.Increasedamountoftheperiod | 62,013,038.83 | 1,200,922.58 | 1,087,042.79 | 64,301,004.20 | |
(1)Purchase | 62,013,038.83 | 1,200,922.58 | 1,087,042.79 | 64,301,004.20 | |
(2)InternalR&D | |||||
(3)Businesscombinationincrease | |||||
3.Decreasedamountoftheperiod | |||||
(1)Disposal | |||||
4.Endingbalance | 206,783,546.68 | 14,067,915.16 | 5,488,000.00 | 1,087,042.79 | 227,426,504.63 |
II.Accumulatedamortization | |||||
1.Beginningbalance | 51,100,000.82 | 10,771,116.13 | 1,554,933.22 | 63,426,050.17 | |
2.Increasedamountoftheperiod | 3,445,675.20 | 1,108,171.52 | 548,799.96 | 27,176.07 | 5,129,822.75 |
(1)Withdrawal | 3,445,675.20 | 1,108,171.52 | 548,799.96 | 27,176.07 | 5,129,822.75 |
3.Decreasedamountoftheperiod | |||||
(1)Disposal | |||||
4.Endingbalance | 54,545,676.02 | 11,879,287.65 | 2,103,733.18 | 27,176.07 | 68,555,872.92 |
III.Depreciationreserves | |||||
1.Beginningbalance | |||||
2.Increasedamountoftheperiod | |||||
(1)Withdrawal | |||||
3.Decreasedamountoftheperiod | |||||
(1)Disposal | |||||
4.Endingbalance | |||||
IV.Carryingvalue | |||||
1.Endingcarryingvalue | 152,237,870.66 | 2,188,627.51 | 3,384,266.82 | 1,059,866.72 | 158,870,631.71 |
2.Beginningcarryingvalue | 93,670,507.03 | 2,095,876.45 | 3,933,066.78 | 0.00 | 99,699,450.26 |
16.Long-termPrepaidExpenses
Item | Beginningbalance | Increase | Amortizedamount | Decrease | Endingbalance |
Furnitureofemployeedormitory,etc. | 53,497.80 | 39,804.60 | 13,693.20 | ||
Total | 53,497.80 | 39,804.60 | 13,693.20 |
17.DeferredIncomeTaxAssets/DeferredIncomeTaxLiabilities
(1)DeferredIncomeTaxAssetsthatHadnotBeenOff-set
Unit:RMB
Item | Endingbalance | Beginningbalance | ||
Deductibletemporarydifference | Deferredincometaxassets | Deductibletemporarydifference | Deferredincometaxassets | |
Baddebtprovision | 6,544,083.47 | 981,314.04 | 6,682,294.34 | 1,023,863.04 |
Deductibleloss | 21,670,394.08 | 3,250,559.11 | ||
Total | 28,214,477.55 | 4,231,873.15 | 6,682,294.34 | 1,023,863.04 |
(2)DeferredIncomeTaxLiabilitiesHadNotBeenOff-set
Unit:RMB
Item | Endingbalance | Beginningbalance | ||
Taxabletemporarydifference | Deferredincometaxliabilities | Taxabletemporarydifference | Deferredincometaxliabilities | |
Changesinfairvalueofotherequityinstrumentinvestment | 500,567,950.87 | 75,085,192.63 | 373,011,500.00 | 55,951,725.00 |
Changesinfairvalueoftradingfinancialassets | 18,481,109.00 | 4,600,250.05 | ||
Changesinfairvalueofothernon-currentfinancialassets | 2,500,000.00 | 375,000.00 | ||
Assetsevaluationappreciationforbusinesscombinationnotunderthesamecontrol | 4,074,374.26 | 611,156.14 | 4,524,661.07 | 1,131,165.27 |
Total | 525,623,434.13 | 80,671,598.82 | 377,536,161.07 | 57,082,890.27 |
(3)ListofUnrecognizedDeferredIncomeTaxAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
Baddebtprovision | 191,416,942.31 | 276,036,565.83 |
Fallingpricereservesofinventories | 40,433,964.10 | 50,317,984.95 |
Total | 231,850,906.41 | 326,354,550.78 |
18.OtherNon-currentAssets
Unit:RMB
Item | Endingbalance | Beginningbalance |
Carryingamount | Depreciationreserves | Carryingvalue | Carryingamount | Depreciationreserves | Carryingvalue | |
Advancespaymentofequipments | 19,971,006.56 | 19,971,006.56 | ||||
Total | 19,971,006.56 | 19,971,006.56 |
19.Short-termBorrowings
(1)CategoryofShort-termBorrowings
Unit:RMB
Item | Endingbalance | Beginningbalance |
Mortgageloans | 7,000,000.00 | 7,000,000.00 |
Guaranteedloans | 10,000,000.00 | 10,000,000.00 |
Creditloans | 5,000,000.00 | 5,000,000.00 |
Total | 22,000,000.00 | 22,000,000.00 |
(2)ThereWasNoShort-termBorrowingsOverduebutUnpaid.
20.NotesPayable
Unit:RMB
Category | Endingbalance | Beginningbalance |
Bankacceptancebill | 595,346,000.00 | 403,035,000.00 |
Total | 595,346,000.00 | 403,035,000.00 |
Attheendofthecurrentperiod,thetotalamountofnotespayabledueandnotpaidwasRMB0.
21.AccountsPayable
(1)ListofAccountsPayable
Unit:RMB
Item | Endingbalance | Beginningbalance |
Paymentforgoods | 612,757,392.46 | 525,625,016.89 |
Total | 612,757,392.46 | 525,625,016.89 |
(2)ThereWasNoSignificantAccountsPayableAgingoverOneYear
22.DepositReceived
Unit:RMB
Item | Endingbalance | Beginningbalance |
Paymentforgoods | 661,612.17 | |
Total | 661,612.17 |
Referto“VSignificantAccountingPolicies,Estimates-32(1)ChangestoSignificantAccountingPolicies”forthedifferencebetweenthebeginningbalanceandendingbalanceofpriorperiod(31December2019).
(2)ThereWasNoSignificantAccountsPayableAgingoverOneYear
23.ContractLiabilities
Unit:RMB
Item | Endingbalance | Beginningbalance |
Contractliabilities | 35,944,517.15 | 29,652,202.74 |
Total | 35,944,517.15 | 29,652,202.74 |
Referto“VSignificantAccountingPolicies,Estimates-32(1)ChangestoSignificantAccountingPolicies”forthedifferencebetweenthebeginningbalanceandendingbalanceofpriorperiod(31December2019).
24.PayrollPayable
(1)ListofPayrollPayable
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance |
I.Short-termsalary | 44,559,015.79 | 277,676,314.10 | 272,108,168.42 | 50,127,161.47 |
II.Post-employmentbenefit-definedcontributionplans | 22,003,717.86 | 22,003,717.86 | ||
III.Terminationbenefits | 109,584.00 | 109,584.00 | ||
Total | 44,559,015.79 | 299,789,615.96 | 294,221,470.28 | 50,127,161.47 |
(2)ListofShort-termSalary
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance |
1.Salary,bonus,allowance,subsidy | 36,894,953.71 | 237,003,162.20 | 231,989,488.74 | 41,908,627.17 |
2.Employeewelfare | 1,592.74 | 3,302,752.84 | 3,302,752.84 | 1,592.74 |
3.Socialinsurance | 14,152,537.94 | 14,152,537.94 | ||
Ofwhich:Medicalinsurancepremiums | 11,550,069.03 | 11,550,069.03 | ||
Work-relatedinjuryinsurance | 1,128,043.94 | 1,128,043.94 | ||
Maternityinsurance | 1,474,424.97 | 1,474,424.97 | ||
4.Housingfund | 18,592,725.00 | 18,592,725.00 | ||
5.Laborunionbudgetandemployeeeducationbudget | 7,662,469.34 | 4,625,136.12 | 4,070,663.90 | 8,216,941.56 |
6.Short-termabsencewithsalary | ||||
7.Short-termprofitsharingscheme | ||||
Total | 44,559,015.79 | 277,676,314.10 | 272,108,168.42 | 50,127,161.47 |
(3)ListofDefinedContributionPlans
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance |
1.Basicpensionbenefits | 21,335,032.17 | 21,335,032.17 |
2.Unemploymentinsurance | 668,685.69 | 668,685.69 | |
3.Enterpriseannuities | |||
Total | 22,003,717.86 | 22,003,717.86 |
25.TaxesPayable
Unit:RMB
Item | Endingbalance | Beginningbalance |
VAT | 461.22 | 1,290,060.47 |
Corporateincometax | 531,557.38 | 5,090,781.18 |
Personalincometax | 114,208.40 | 367,624.40 |
Urbanmaintenanceandconstructiontax | 879,346.31 | 970,067.92 |
Propertytax | 94,863.50 | 94,257.20 |
Landusetax | 100,135.19 | 100,135.19 |
Stampduty | 6,851.35 | 6,282.95 |
EducationSurcharge | 35,023.81 | 99,824.96 |
Comprehensivefees | 1,075,134.76 | 1,075,134.76 |
Environmentalprotectiontax | 31,903.49 | 213.55 |
Total | 2,869,485.41 | 9,094,382.58 |
26.OtherPayables
Unit:RMB
Item | Endingbalance | Beginningbalance |
Interestpayable | ||
Dividendspayable | 3,891,433.83 | 3,891,433.83 |
Otherpayables | 193,653,642.25 | 201,172,711.27 |
Total | 197,545,076.08 | 205,064,145.10 |
(1)DividendsPayable
Unit:RMB
Thereasonfornon-paymentforoveroneyear:Notgottenbyshareholdersyet.
Item | Endingbalance | Beginningbalance |
Ordinarysharedividends | 3,243,179.97 | 3,243,179.97 |
Interestofpreferredshares/perpetualbondclassifiedasequityinstrument | ||
Dividendsfornon-controllingshareholders | 648,253.86 | 648,253.86 |
Other | ||
Total | 3,891,433.83 | 3,891,433.83 |
(2)OtherPayables
1)OtherPayablesListedbyNatureofAccount
Unit:RMB
Item | Endingbalance | Beginningbalance |
Margin&cashpledged | 3,406,041.83 | 3,271,541.83 |
Intercoursefundsamongunits | 9,309,617.95 | 11,321,462.95 |
Intercoursefundsamongindividuals | 1,256,848.49 | 430,612.05 |
Salesdiscountandthreeguarantees | 147,739,746.71 | 143,497,522.22 |
Other | 31,941,387.27 | 42,651,572.22 |
Total | 193,653,642.25 | 201,172,711.27 |
2)SignificantOtherPayablesAgingoverOneYearThesignificantotherpayablesagingoveroneyearattheperiod-endmainlyreferredtotheunsettledtemporarycreditsandchargesowned.
27.OtherCurrentLiabilities
Unit:RMB
Item | Endingbalance | Beginningbalance |
Saleservicefee | 365,047.65 | 229,387.96 |
Transportationstoragefee | 260,055.33 | 132,551.86 |
Electriccharge | 1,972,314.61 | 815,772.56 |
Taxtobetransferred | 2,636,529.53 | 2,136,799.04 |
Total | 5,233,947.12 | 3,314,511.42 |
Referto“VSignificantAccountingPolicies,Estimates-32(1)ChangestoSignificantAccountingPolicies”forthedifferencebetweenthebeginningbalanceandendingbalanceofpriorperiod(31December2019).
28.DeferredIncome
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance | Reasonforformation |
Governmentgrants | 58,864,111.22 | 1,914,373.62 | 56,949,737.60 | Governmentappropriation | |
Total | 58,864,111.22 | 1,914,373.62 | 56,949,737.60 | -- |
Iteminvolvinggovernmentgrants:
Unit:RMB
Item | Beginningbalance | Amountofnewsubsidy | Amountrecordedintonon-operatingincomeintheReportingPeriod | AmountrecordedintootherincomeintheReportingPeriod | AmountoffsetcostintheReportingPeriod | Otherchanges | Endingbalance | Relatedtoassets/relatedincome |
Electriccontrolofdieselengineresearchanddevelopmentandindustrializationallocations | 248,400.00 | 248,400.000 | Relatedtoassets | |||||
Nationalmajorprojectspecialallocations | 28,770,000.00 | 28,770,000.00 | Relatedtoassets | |||||
Removecompensation | 19,845,711.22 | 665,973.62 | 19,179,737.60 | Relatedtoassets |
ResearchanddevelopmentandindustrializationallocationsofnationalIII/IVstandardhigh-poweredefficientdieselengineforagriculturaluse | 10,000,000.00 | 1,000,000.00 | 9,000,000.00 | Relatedtoassets | ||
Total | 58,864,111.22 | 1,914,373.62 | 56,949,737.60 |
29.ShareCapital
单位:元
Beginningbalance | Increase/decrease(+/-) | Endingbalance | |||||
Newsharesissued | Bonusshares | Bonusissuefromprofit | Other | Subtotal | |||
Thesumofshares | 561,374,326.00 | 561,374,326.00 |
30.CapitalReserves
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance |
Capitalpremium(premiumonstock) | 143,990,690.24 | 143,990,690.24 | ||
Othercapitalreserves | 20,337,975.19 | 20,337,975.19 | ||
Total | 164,328,665.43 | 164,328,665.43 |
31.OtherComprehensiveIncome
Unit:RMB
Item | Beginni | ReportingPeriod | Endin |
ngbalance | IncomebeforetaxationintheCurrentPeriod | Less:RecordedinothercomprehensiveincomeinpriorperiodandtransferredinprofitorlossintheCurrentPeriod | Less:RecordedinothercomprehensiveincomeinpriorperiodandtransferredinretainedearningsintheCurrentPeriod | Less:Incometaxexpense | AttributabletoownersoftheCompanyastheparentaftertax | Attributabletonon-controllinginterestsaftertax | gbalance | |
I.Othercomprehensiveincomethatwillnotbereclassifiedtoprofitorloss | 317,059,775.00 | 127,966,296.36 | 348,368.67 | 19,194,944.45 | 108,422,983.24 | 425,482,758.24 | ||
Ofwhich:Changescausedbyre-measurementsondefinedbenefitpensionschemes | ||||||||
Shareofothercomprehensiveincomeofinvesteesthatwillnotbereclassifiedtoprofitorlossunderequitymethod | ||||||||
Changesinfairvalueofotherequityinstrumentinvestment | 317,059,775.00 | 127,966,296.36 | 348,368.67 | 19,194,944.45 | 108,422,983.24 | 425,482,758.24 | ||
Changesinfairvalueofcorporatecreditrisk | ||||||||
II.Othercomprehensiveincomethatmaysubsequentlybereclassifiedtoprofitorloss |
Ofwhich:Shareofothercomprehensiveincomeofinvesteesthatwillbereclassifiedtoprofitorlossunderequitymethod | ||||||||
Changesinfairvalueofinvestmentinotherdebtobligations | ||||||||
Amountoffinancialassetsreclassifiedtoothercomprehensiveincome | ||||||||
Creditdepreciationreservesofinvestmentinotherdebtobligations | ||||||||
Reservesforcashflowhedges | ||||||||
Differencesarisingfromtranslationofforeigncurrency-denominatedfinancialstatements | ||||||||
Totalofothercomprehensiveincome | 317,059,775.00 | 127,966,296.36 | 348,368.67 | 19,194,944.45 | 108,422,983.24 | 425,482,758.24 |
32.SpecificReserve
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance |
Safetyproductioncost | 17,560,202.07 | 3,766,291.74 | 2,513,507.26 | 18,812,986.55 |
Total | 17,560,202.07 | 3,766,291.74 | 2,513,507.26 | 18,812,986.55 |
33.SurplusReserves
Unit:RMB
Item | Beginningbalance | Increase | Decrease | Endingbalance |
Statutorysurplusreserves | 309,071,675.82 | 3,222,997.42 | 312,294,673.24 | |
Discretionalsurplusreserves | 13,156,857.90 | 13,156,857.90 | ||
Total | 322,228,533.72 | 3,222,997.42 | 325,451,531.14 |
34.RetainedEarnings
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Beginningbalanceofretainedearningsbeforeadjustments | 726,689,929.10 | 717,883,351.33 |
Totalretainedearningsatthebeginningoftheadjustmentperiod(“+”meansup,“-”meansdown) | 1,651,336.26 | 1,619,864.82 |
Beginningbalanceofretainedearningsafteradjustments | 728,341,265.36 | 719,503,216.15 |
Add:NetprofitattributabletoownersoftheCompanyastheparent | 52,432,443.05 | 24,966,526.85 |
Less:Withdrawalofstatutorysurplusreserves | 3,222,997.42 | 2,094,119.49 |
Withdrawalofdiscretionalsurplusreserves | ||
Withdrawalofgeneralreserve | ||
Dividendofordinarysharespayable | 14,034,358.15 | |
Dividendsofordinarysharestransferredassharecapital | ||
RecordedinothercomprehensiveincomeinpriorperiodandtransferredinretainedprofitsintheCurrentPeriod | 348,368.67 | |
Endingretainedearnings | 777,899,079.66 | 728,341,265.36 |
Notes:
Theretainedearningsatthebeginningoftheadjustmentperiodduetotheaccountingerrorscorrectioninpreviousperiod:RMB1,651,336.26attheperiod-beginningof2020,andRMB1,619,864.82attheperiod-beginningof2019.
35.OperatingRevenueandCostofSales
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear | ||
Operatingrevenue | Costofsales | Operatingrevenue | Costofsales | |
Mainoperations | 2,252,479,553.51 | 1,918,486,625.85 | 2,001,911,782.04 | 1,679,856,891.00 |
Otheroperations | 43,985,157.73 | 32,087,365.42 | 43,909,019.06 | 34,676,976.50 |
Total | 2,296,464,711.24 | 1,950,573,991.27 | 2,045,820,801.10 | 1,714,533,867.50 |
Informationrelatedtoperformanceobligations:performingaccordingtothecontractofferInformationrelatedtotransactionvalueassignedtoresidualperformanceobligations:
TheamountofrevenuecorrespondingtoperformanceobligationsofcontractssignedbutnotperformedornotfullyperformedyetwasRMB0attheperiod-end.
36.TaxesandSurtaxes
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Urbanmaintenanceandconstructiontax | 2,090,758.82 | 967,755.74 |
Educationsurcharge | 1,493,399.12 | 690,897.41 |
Propertytax | 4,573,282.78 | 4,692,583.81 |
Landusetax | 3,752,947.49 | 3,813,015.72 |
Vehicleandvesselusetax | 1,350.00 | 1,320.00 |
Stampduty | 698,047.82 | 541,541.14 |
Environmenttax | 221,775.24 | 238,068.00 |
Other | 38,047.88 | 34,933.24 |
Total | 12,869,609.15 | 10,980,115.06 |
37.SellingExpense
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Officeexpenses | 15,665,504.29 | 15,164,256.65 |
Employeebenefits | 38,670,632.17 | 29,850,039.44 |
Salespromotionalexpense | 6,859,494.25 | 5,260,765.63 |
Threeguarantees | 65,108,496.52 | 38,321,773.50 |
Transportcharge | 7,296,670.11 | |
Other | 2,068,151.39 | 1,191,611.72 |
Total | 128,372,278.62 | 97,085,117.05 |
38.AdministrativeExpense
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Safetyexpenses | 3,766,291.74 | 3,868,727.07 |
Officeexpenses | 10,970,658.73 | 11,096,718.08 |
Other | 7,389,204.00 | 22,624,149.85 |
Repaircharge | 788,498.70 | 391,744.51 |
Transportfees | 2,035,060.15 | |
Depreciationandamortization | 10,255,597.50 | 11,166,156.58 |
Employeebenefits | 54,275,945.07 | 55,833,401.17 |
Total | 87,446,195.74 | 107,015,957.41 |
39.DevelopmentCosts
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Directinputexpense | 43,808,908.87 | 39,929,867.41 |
Employeebenefits | 20,288,706.97 | 19,795,993.59 |
Depreciationandamortization | 4,534,946.69 | 3,926,467.26 |
Entrusteddevelopmentcharges | 430,000.00 | 26,000.00 |
Other | 3,196,218.55 | 2,543,048.01 |
Total | 72,258,781.08 | 66,221,376.27 |
40.FinanceCosts
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Interestexpense | 7,302,086.80 | 5,722,554.43 |
Less:Interestincome | 5,467,634.76 | 6,733,183.88 |
Netforeignexchangegainsorlosses | 14,491,248.00 | -1,709,183.70 |
Other | -557,389.72 | -1,716,760.21 |
Total | 15,768,310.32 | -4,436,573.36 |
41.OtherIncome
Unit:RMB
Sources | ReportingPeriod | Sameperiodoflastyear |
Governmentgrants | 7,763,215.65 | 5,312,295.51 |
Other | 45,516.87 | 12,063.29 |
42.InvestmentIncome
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Long-termequityinvestmentincomeaccountedbyequitymethod | ||
Investmentincomefromdisposaloflong-termequityinvestment | ||
Investmentincomefromholdingoftradingfinancialassets | ||
Investmentincomefromdisposaloftradingfinancialassets | -25,036.13 | |
Dividendincomefromholdingofotherequityinstrumentinvestment | 5,004,000.00 | 6,069,000.00 |
Investmentincomefromholdingofheld-to–maturityinvestment | ||
Investmentincomefromholdingofavailable-for-salefinancialassets | ||
Investmentincomefromdisposalofavailable-for-salefinancialassets | ||
Investmentincomefromdisposalofheld-to–maturityinvestment | ||
Incomefromre-measurementofresidualstockrightsatfairvalueafterlosingcontrolpower | ||
Interestincomefromholdingofinvestmentindebtobligations | ||
Interestincomefromholdingofinvestmentinotherdebtobligations | ||
Investmentincomefromdisposalofinvestmentinotherdebtobligations | ||
Investmentincomefromdisposalofothernon-currentfinancialassets | -18,685.03 | |
Dividendincomefromholdingofothernon-currentfinancialassets | 149,821.58 | 1,408,752.61 |
Otherincomefromholdingofotherequityinstrumentinvestments | 433,925.05 | 137,814.50 |
Investmentincomefromfinancialproducts | 753,991.35 | 413,378.77 |
Forwardincomefromforeignexchangesettlement | 229,125.00 |
Total | 6,545,826.85 | 8,010,260.85 |
43.GainonChangesinFairValue
Unit:RMB
Sources | ReportingPeriod | Sameperiodoflastyear |
Transactionalfinancialassets | 200,272.00 | -49,255.00 |
Othernon-currentfinancialassets | 20,780,837.00 | |
Total | 20,981,109.00 | -49,255.00 |
44.CreditImpairmentLoss
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Baddebtlossofotherreceivables | 1,498,356.99 | -288,027.65 |
Baddebtlossofaccountsreceivable | 880,273.69 | -4,637,783.63 |
Impairmentlossofentrustedloan | 4,000,000.00 | |
Total | 2,378,630.68 | -925,811.28 |
45.AssetImpairmentLoss
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
I.Baddebtloss | ||
II.Lossoninventoryvaluationandcontractperformancecost | -11,155,930.76 | -42,371,202.17 |
III.Impairmentlossonlong-termequityinvestment | ||
IV.Impairmentlossoninvestmentproperty | ||
V.Impairmentlossonfixedassets | ||
VI.Impairmentlossonengineeringmaterials | ||
VII.Impairmentlossonconstructioninprogress | ||
VIII.Impairmentlossonproductivelivingassets | ||
IX.Impairmentlossonoilandgasassets | ||
X.Impairmentlossonintangibleassets | ||
XI.Impairmentlossongoodwill | ||
XII.Other | ||
Total | -11,155,930.76 | -42,371,202.17 |
46.AssetDisposalIncome
Unit:RMB
Sources | ReportingPeriod | Sameperiodoflastyear |
Disposalincomeoffixedassets | 229,121.29 | 2,059,668.56 |
47.Non-operatingIncome
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear | Amountrecordedinthecurrentnon-recurringprofitorloss |
Incomefrompenalty | 267,439.00 | 373,200.44 | 267,439.00 |
Nopaymentrequired | 399,049.91 | 29,831.10 | 399,049.91 |
Other | 380,625.30 | 59,319.94 | 380,625.30 |
Total | 1,047,114.21 | 462,351.48 | 1,047,114.21 |
48.Non-operatingExpense
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear | Amountrecordedinthecurrentnon-recurringprofitorloss |
Retirementlossofnon-currentassets | 34,356.44 | 158,128.44 | 34,356.44 |
Qualityindemnity | 2,085,438.03 | 2,085,438.03 | |
Donationexpenditure | 250,000.00 | 250,000.00 | |
Other | 260,002.86 | 73,810.45 | 260,002.86 |
Total | 2,629,797.33 | 231,938.89 | 2,629,797.33 |
49.IncomeTaxExpense
(1)ListofIncomeTaxExpense
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Currentincometaxexpense | 838,369.52 | 1,939,568.19 |
Deferredincometaxexpense | 1,247,230.81 | -224,522.42 |
Total | 2,085,600.33 | 1,715,045.77 |
(2)AdjustmentProcessofAccountingProfitandIncomeTaxExpense
Unit:RMB
Item | ReportingPeriod |
Profitbeforetaxation | 54,380,351.52 |
Currentincometaxexpenseaccountedatstatutory/applicabletaxrate | 8,157,052.73 |
Influenceofapplyingdifferenttaxratesbysubsidiaries | 733,969.40 |
Influenceofincometaxbeforeadjustment | -728,340.92 |
Influenceofnon-taxableincome | -788,055.39 |
Influenceofnon-deductablecosts,expensesandlosses | 456,287.08 |
InfluenceofdeductablelossesofunrecognizeddeferredincometaxatthebeginningoftheReportingPeriod | -2,140,409.67 |
InfluenceofdeductabletemporarydifferenceordeductablelossesofunrecognizeddeferredincometaxassetsintheReportingPeriod | 110,589.49 |
Taxpreferencegeneratedfromeligibleexpense | -3,241,494.34 |
Changesinthebalanceofdeferredincometaxassets/liabilitiesatthebeginningoftheperiodduetotaxrateadjustments | -473,998.05 |
Incometaxexpense | 2,085,600.33 |
50.CashFlowStatement
(1)CashGeneratedfromOtherOperatingActivities
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Subsidyandappropriation | 5,857,679.00 | 4,247,921.89 |
Otherintercoursesincash | 5,144,619.79 | 176,497.69 |
Interestincome | 5,467,634.76 | 6,987,251.60 |
Other | 507,167.41 | 378,925.22 |
Total | 16,977,100.96 | 11,790,596.40 |
(2)CashUsedinOtherOperatingActivities
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Sellingandadministrativeexpensespaidincash | 120,289,403.78 | 120,086,467.93 |
Handlingcharges | 1,776,237.12 | 938,872.65 |
Other | 777,383.09 | 317,407.08 |
Othertransactions | 690,007.30 | 143,724.20 |
Total | 123,533,031.29 | 121,486,471.86 |
(3)CashGeneratedfromOtherInvestingActivities
Item | ReportingPeriod | Sameperiodoflastyear |
Depositofconstructionunit | 336,150.00 | |
Total | 336,150.00 |
(4)CashUsedinOtherInvestingActivities
Item | ReportingPeriod | Sameperiodoflastyear |
Productmargin | 4,141,850.71 | |
Total | 4,141,850.71 |
(5)CashUsedinOtherFinancialActivities
Item | ReportingPeriod | Sameperiodoflastyear |
Privateplacementofintermediaryagencyfees | 2,500,000.00 | |
Total | 2,500,000.00 |
51.SupplementalInformationforCashFlowStatement
(1)SupplementalInformationforCashFlowStatement
Unit:RMB
Supplementalinformation | ReportingPeriod | Sameperiodoflastyear |
1.Reconciliationofnetprofittonetcashflowsgeneratedfromoperatingactivities | -- | -- |
Netprofit | 52,294,751.19 | 24,984,327.75 |
Add:Provisionforimpairmentofassets | 8,777,300.08 | 43,297,013.45 |
Depreciationoffixedassets,ofoilandgasassets,ofproductivelivingassets | 80,616,241.38 | 85,591,455.99 |
Depreciationofright-of-useassets | ||
Amortizationofintangibleassets | 5,129,822.75 | 4,826,730.02 |
Amortizationoflong-termdeferredexpenses | 39,804.60 | 39,804.60 |
Lossesondisposaloffixedassets,intangibleassetsandotherlong-termassets(gainsby“-”) | -229,121.29 | -2,059,668.56 |
Lossesonthescrappingoffixedassets(gainsby“-”) | 34,356.44 | 158,128.44 |
Lossesonthechangesinfairvalue(gainsby“-”) | -20,981,109.00 | 49,255.00 |
Financialexpenses(gainsby“-”) | 16,911,546.38 | 5,007,157.46 |
Investmentlosses(gainsby“-”) | -6,545,826.85 | -8,010,260.85 |
Decreaseindeferredincometaxassets(increaseby“-”) | -3,208,010.11 | -43,732.33 |
Increaseindeferredincometaxliabilities(decreaseby“-”) | 4,455,240.92 | -180,790.09 |
Decreaseininventory(increaseby“-”) | -144,477,102.41 | 42,238,508.04 |
Decreaseinaccountsreceivablefromoperatingactivities(increaseby“-”) | 16,892,902.36 | -138,877,379.35 |
Increaseinpayablesfromoperatingactivities(decreaseby“-”) | 278,992,494.07 | -99,909,743.96 |
Other | -36,906,635.98 | 22,564,004.83 |
Netcashflowsgeneratedfromoperatingactivities | 251,796,654.53 | -20,325,189.56 |
2.Investingandfinancingactivitiesthatdonotinvolvingcashreceiptsandpayment: | -- | -- |
Debttransferredascapital | ||
Convertiblecorporatebondduewithinoneyear | ||
Fixedassetsfromfinancinglease | ||
3.Netincreaseincashandcashequivalents | -- | -- |
Endingbalanceofcash | 629,939,540.50 | 545,959,998.20 |
Less:Beginningbalanceofcash | 545,959,998.20 | 691,266,373.34 |
Add:Endingbalanceofcashequivalents | ||
Less:Beginningbalanceofcashequivalents | ||
Netincreaseincashandcashequivalents | 83,979,542.30 | -145,306,375.14 |
(2)CashandCashEquivalents
Unit:RMB
Item | Endingbalance | Beginningbalance |
I.Cash | 629,939,540.50 | 545,959,998.20 |
Including:Cashonhand | 287,505.91 | 181,115.21 |
Bankdepositondemand | 620,966,786.57 | 545,271,159.5 |
Othermonetaryassetsondemand | 8,685,248.02 | 507,723.49 |
Accountsdepositedinthecentralbankavailableforpayment | ||
Depositsinotherbanks | ||
Accountsofinterbank | ||
II.Cashequivalents | ||
Ofwhich:Bondinvestmentexpiredwithinthreemonths | ||
III.Endingbalanceofcashandcashequivalents | 629,939,540.50 | 545,959,998.20 |
Ofwhich:CashandcashequivalentswithrestrictioninusefortheCompanyastheparentorsubsidiariesoftheGroup |
52.AssetswithRestrictedOwnershiporRighttoUse
Unit:RMB
Item | Endingcarryingvalue | Reasonforrestriction |
Monetaryassets | 130,788,682.35 | Ascashdepositforbankacceptancebillandenvironment |
Housesandbuildings | 2,012,894.88 | Mortgagedforborrowingsfrombanks |
Landuseright | 962,953.87 | Mortgagedforborrowingsfrombanks |
Machineryequipment | 34,959,585.43 | Mortgagedforborrowingsfrombanks |
Total | 168,724,116.53 | -- |
53.ForeignCurrencyMonetaryItems
(1)ForeignCurrencyMonetaryItems
Unit:RMB
Item | Endingforeigncurrencybalance | Exchangerate | EndingbalanceconvertedtoRMB |
Monetaryassets | -- | -- | 88,036,406.31 |
Ofwhich:USD | 22,205,667.87 | 6.5249 | 144,889,762.28 |
EUR | |||
HKD | 285,402.45 | 0.84164 | 240,206.12 |
SGD | 54,427.95 | 4.9314 | 268,405.99 |
JPY | 1.00 | 0.0632 | 0.06 |
Accountsreceivable | -- | -- | |
Ofwhich:USD | 7,621,884.47 | 6.5249 | 49,732,033.97 |
Accountspayable | |||
Ofwhich:USD | 302.60 | 6.5249 | 1,974.43 |
(2)NotestoOverseasEntitiesIncluding:forSignificantOverseaEntities,MainOperatingPlace,RecordingCurrencyandSelectionBasisShallBeDisclosed;ifthereAreChangesinRecordingCurrency,RelevantReasonsShallBeDisclosed.
□Applicable√Notapplicable
54.GovernmentGrants
(1)BasicInformationonGovernmentGrants
Unit:RMB
Category | Amount | Listeditems | Amountrecordedinthecurrentprofitorloss |
Industrialandinformationindustrytransformationandupgradingsubsidies | 150,000.00 | Otherincome | 150,000.00 |
Trinitysubsidy | 615,000.00 | Otherincome | 615,000.00 |
Subsidyforstabilizingposts | 3,147,000.03 | Otherincome | 3,147,000.03 |
Businessdevelopmentfund | 10,600.00 | Otherincome | 10,600.00 |
Smallandmedium-sizedenterprisesexploitcapital | 14,200.00 | Otherincome | 14,200.00 |
Exportcreditinsurancesubsidies | 323,200.00 | Otherincome | 323,200.00 |
Relocationcompensation | 665,973.62 | Otherincome | 665,973.62 |
R&Dandindustrializationofoff-roaddieselenginecontrolledbyelectricity | 248,400.00 | Otherincome | 248,400.00 |
Taxcontributionaward | 50,000.00 | Otherincome | 50,000.00 |
Fundingforthefirstyearofthedemonstrationbasefortrainingadvancedskilledpersonnel | 35,000.00 | Otherincome | 35,000.00 |
Subsidiesfortrainingbywork | 1,217,500.00 | Otherincome | 1,217,500.00 |
Epidemicsubsidy | 2,000.00 | Otherincome | 2,000.00 |
Developmentfundsforscienceandtechnologyprojects | 10,000.00 | Otherincome | 10,000.00 |
Post-doctoralgrants,outboundawardsandsiteestablishmentawards | 50,000.00 | Otherincome | 50,000.00 |
ThethirdbatchofintellectualpropertyawardfundsinChangzhou | 100,000.00 | Otherincome | 100,000.00 |
Financialcentersubsidy | 50,460.00 | Otherincome | 50,460.00 |
Innovation-drivenrewards | 6,000.00 | Otherincome | 6,000.00 |
SubsidyfundofNewDistrictFinanceBureauaward | 7,882.00 | Otherincome | 7,882.00 |
Subsidiesforhigh-techenterprisesfromtheNewDistrictFinanceBureau | 60,000.00 | Otherincome | 60,000.00 |
AppropriationorresearchanddevelopmentandindustrializationallocationsofnationalIII/IVstandardhigh-poweredefficientdieselengineforagriculturaluse | 1,000,000.00 | Otherincome | 1,000,000.00 |
ReturnofGovernmentGrants
□Applicable√Notapplicable
VIII.ChangesofConsolidationScopeNoneIX.EquityinOtherEntities
1.EquityinSubsidiary
(1)Subsidiaries
Name | Mainoperatingplace | Registrationplace | Natureofbusiness | Holdingpercentage(%) | Wayofgaining | |
Directly | Indirectly | |||||
ChangchaiWanzhouDieselEngineCo.,Ltd. | Chongqing | Chongqing | Industry | 60.00% | Set-up | |
ChangzhouChangchaiBenniuDieselEngineFittingsCo.,Ltd. | Changzhou | Changzhou | Industry | 99.00% | 1.00% | Set-up |
ChangzhouHoushengInvestmentCo.,Ltd. | Changzhou | Changzhou | Service | 100.00% | Set-up |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | Changzhou | Changzhou | Industry | 70.00% | 25.00% | Set-up |
ChangzhouFujiChangchaiRobinGasolineEngineCo.,Ltd. | Changzhou | Changzhou | Industry | 100.00% | Combinationnotunderthesamecontrol | |
JiangsuChangchaiMachineryCo.,Ltd. | Changzhou | Changzhou | Industry | 100.00% | Set-up | |
ChangzhouXingshengPropertyManagementCo.,Ltd. | Changzhou | Changzhou | Service | 100.00% | Set-up |
(2)SignificantNon-wholly-ownedSubsidiary
Unit:RMB
Name | Shareholdingproportionofnon-controllinginterests | Theprofitorlossattributabletothenon-controllinginterests | Declaringdividendsdistributedtonon-controllinginterests | Balanceofnon-controllinginterestsattheperiod-end |
ChangchaiWanzhouDieselEngineCo.,Ltd. | 40.00% | 197,910.74 | 19,811,859.46 | |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | 5.00% | -335,602.60 | -313,270.31 |
Holdingproportionofnon-controllinginterestsinsubsidiarydifferentfromvotingproportion:Notapplicable
(3)TheMainFinancialInformationofSignificantNotWholly-ownedSubsidiary
Unit:RMB
Name | Endingbalance | Beginningbalance | ||||||||||
Currentassets | Non-currentassets | Totalassets | Currentliabilities | Non-currentliability | Totalliabilities | Currentassets | Non-currentassets | Totalassets | Currentliabilities | Non-currentliability | Totalliabilities | |
ChangchaiWanzhouDieselEngineCo.,Ltd. | 49,267,159.00 | 25,044,012.17 | 74,311,171.17 | 24,781,522.52 | 24,781,522.52 | 43,807,991.71 | 25,821,314.00 | 69,629,305.71 | 20,594,433.90 | 20,594,433.90 |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | 26,356,205.03 | 423,493.77 | 26,779,698.80 | 33,045,105.00 | 33,045,105.00 | 28,573,892.12 | 514,669.94 | 29,088,562.06 | 28,641,916.23 | 28,641,916.23 |
Unit:RMB
Name | ReportingPeriod | Sameperiodoflastyear | ||||||
Operatingrevenue | Netprofit | Totalcomprehensiveincome | Cashflowsfromoperatingactivities | Operatingrevenue | Netprofit | Totalcomprehensiveincome | Cashflowsfromoperatingactivities | |
ChangchaiWanzhouDieselEngineCo.,Ltd. | 43,143,296.52 | 494,776.84 | 494,776.84 | 2,183,407.36 | 40,959,222.43 | 160,355.43 | 160,355.43 | 1,526,529.99 |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | 14,280,066.47 | -6,712,052.03 | -6,712,052.03 | -171,680.44 | 13,888,579.77 | -926,825.38 | -926,825.38 | -419,750.02 |
2.EquityintheStructuredEntityExcludedintheScopeofConsolidatedFinancialStatementsNotestothestructuredentityexcludedinthescopeofconsolidatedfinancialstatements:
In2017,theCompanysetupChangzhouXietongPrivateEquityFund(LimitedPartnership)togetherwithSynergeticInnovationFundManagementCo.,Ltd.throughjointinvestment.On18October2018and3December2020,newpartnerswereadded.InlinewiththerevisedPartnershipAgreement,thegeneralpartnerisSynergeticInnovationFundManagementCo.,Ltd.,andthelimitedpartnersareChangchaiCompany,Limited,ChangzhouZhongyouPetroleumSalesCo.,Ltd.,ChangzhouFuelCo.,Ltd.,TongYinzhu,TongYinxinandAnhui
HaiyunzhouEquityInvestmentPartnershipEnterprise(Limited).InaccordancewiththePartnershipAgreement,thelimitedpartnerdoesnotexecutethepartnershipaffairs.Thus,theCompanydoesnotcontrolChangzhouXietongPrivateEquityFund(LimitedPartnership)anddidnotincludeitintothescopeofconsolidatedfinancialstatements.X.TheRiskRelatedtoFinancialInstruments
ThegoaloftheCompany’sriskmanagementwasgainingthebalancebetweentheriskandincome,andreducedthenegativeimpacttotheoperationperformanceoftheCompanyinthelowestlevelandmaximizedtheinterestsofshareholdersandotherequityinvestors.Baseontheriskmanagementgoal,thebasisstrategyoftheCompany’sriskmanagementwastorecognizedandanalyzeallkindsofriskthattheCompanyfaced,setupsuitableriskbottomlineandconductriskmanagement,andsupervisedtheriskstimelyandreliablyandcontroltheriskwithinthelimitedscope.ThemainrisksoftheCompanyduetofinancialinstrumentswerecreditrisk,liquidityriskandmarketrisk.Themanagementlevelhadreviewedandapprovedthepoliciestomanagetherisks,whichsummarizedasfollows:
(I)CreditRiskCreditriskwasonepartyofthecontractfailedtofulfilltheobligationsandcauseslossoffinancialassetsoftheotherparty.ThecreditofriskoftheCompanymainlywasrelatedtoaccountreceivable,inordertocontroltherisk,theCompanyconductthefollowingmethods.TheCompanyonlyconductsrelatedtransactionwithapprovedandreputablethirdparty,inlinewiththepolicyoftheCompany,theCompanyneedtoconductcredit-checkfortheclientsadoptingwayofcredittoconducttransaction.Inaddition,theCompanycontinuouslymonitorsthebalanceofaccountreceivabletoensuretheCompanywouldnotfacethesignificantbaddebtrisk.(II)LiquidityRiskLiquidityriskisreferredtotheriskofincurringcapitalshortagewhenperformingsettlementobligationinthewayofcashpaymentorotherfinancialassets.ThepoliciesoftheCompanyaretoensurethattherewassufficientcashtopaythedueliabilities.TheliquidityriskwascentralizedcontrolledbythefinancialdepartmentoftheCompany.Thefinancialdepartmentsthroughsupervisingthebalanceofthecashandsecuritiescanbeconverttocashatanytimeandtherollingpredictionofcashflowinfuture12monthstoensuretheCompanyhassufficientcashtopaytheliabilitiesunderthecaseofallreasonableprediction.(III)MarketRiskMarketriskisrefertoriskofthefairvalueorfuturecashflowoffinancialinstrumentchangedduetothechangeofmarketprice,includingforeignexchangeraterisk,interestraterisk.
1.InterestRateRiskInterestrateriskisreferstofluctuationriskofthefairvalueorfuturecashflowoffinancialinstrumentchangeduetothechangeofmarketprice.
2.ForeignExchangeRiskForeignexchangerateriskisreferredtotheriskincurredformthechangeofexchangerate.AsfortheCompany’sexportbusiness,customerswillbegivenacertaincreditterm,iftheRMBappreciatesagainstthedollar,thecompany'saccountsreceivablewillincurforeigncurrencyexchangeloss.XI.TheDisclosureofFairValue
1.EndingFairValueofAssetsandLiabilitiesatFairValue
Unit:RMB
Item | Endingfairvalue | |||
Fairvaluemeasurementitemsatlevel1 | Fairvaluemeasurementitemsatlevel2 | Fairvaluemeasurementitemsatlevel3 | Total | |
I.Consistentfairvaluemeasurement | -- | -- | -- | -- |
1.Tradingfinancialassets | 49,582,105.00 | 60,651,105.63 | 110,233,210.63 | |
(I)Financialassetsatfairvaluethroughprofitorloss | 49,582,105.00 | 60,651,105.63 | 110,233,210.63 | |
(1)Debtinstrumentinvestment | ||||
(2)Equityinstrumentinvestment | 49,582,105.00 | 60,651,105.63 | 110,233,210.63 | |
(3)Derivativefinancialassets | ||||
2.Financialassetsdesignatedtobemeasuredatfairvalueandthechangesincludedintothecurrentprofitorloss | ||||
(1)Debtinstrumentinvestment | ||||
(2)Equityinstrumentinvestment | ||||
(II)Otherbondinvestment | ||||
(III)Otherequityinstrumentinvestment | 582,939,000.00 | 102,198,950.87 | 685,137,950.87 | |
(2)Equityinstrumentinvestment | ||||
(IV)Investmentproperty | ||||
1.Landuserightforlease | ||||
2.Buildingsleasedout | ||||
3.Landuserightheldandplannedtobetransferredonceappreciating | ||||
(V)Livingassets | ||||
1.Consumptivelivingassets | ||||
2.Productivelivingassets | ||||
Totalassetsconsistentlymeasuredbyfairvalue | 632,521,105.00 | 162,850,056.50 | 795,371,161.50 | |
(VI)Tradingfinancialliabilities | ||||
Ofwhich:Issuedtradingbonds | ||||
Derivativefinancialliabilities | ||||
Other | ||||
(VII)Financialliabilitiesdesignatedtobemeasuredatfairvalueandthechangesrecordedintothecurrentprofitorloss |
Totalliabilitiesconsistentlymeasuredbyfairvalue | ||||
II.Inconsistentfairvaluemeasurement | -- | -- | -- | -- |
(1)Assetsheldforsale | ||||
Totalassetsinconsistentlymeasuredbyfairvalue | ||||
Totalliabilitiesinconsistentlymeasuredbyfairvalue |
2.MarketPriceRecognitionBasisforConsistentandInconsistentFairValueMeasurementItemsatLevel
Forthelistedcompanystocksheldbythecompanyintheinvestmentofotherequityinstrumentsmeasuredatfairvalue,theclosingpriceattheendoftheperiodwasthebasisforthemeasurementoffairvalue.
3.ValuationTechniqueAdoptedandNatureandAmountDeterminationofImportantParametersforConsistentandInconsistentFairValueMeasurementItemsatLevel3
(1)Amongthetradingfinancialassets,thebasicassetsinvestedinfinancialproductsincludebondassets,depositassets,fundassets,etc.Theportfolioofinvestmentismanageddynamically,andthechangeinthefairvalueoffinancialproductsisdifficulttomeasure,sothecostamountisadoptedtoconfirmitsfairvalue.Fortheunsettledforwardsettlementcontractattheendoftheperiod,itsfairvaluewasmeasuredbasedonthevaluationofthebank.
(2)Amongthenon-currentfinancialassets,suchastheequityinvestmentinJiangsuLianceMechanicalandElectricalTechnologyCo.,Ltd.,whichdidnothaveactivemarkettransactions,theCompany’sequityoftheinvesteewasrelativelylowandhadnosignificantimpact,soitisnotfeasibletousetheincomemethodormarketmethodtoestimatethevalue.Therefore,theinvestmentcostwastreatedasreasonableestimationoffairvaluetomeasureattheperiod-end.IntermsofsharesofNEEQunlistedpubliccompaniesheldbytheCompany,asfortheequityinstrumentinvestmentwithinactivemarkettransactions,duetothemarketvalueofsharescannotbereflectedbythemarkettransactionpricewiththelowvolumeofholding,sotheappraisementtotheinvestedcompaniesbyincomeormarketapproachwasunfeasible.Therefore,theinvestmentcostshallbetreatedasreasonableestimationoffairvaluetomeasureattheperiod-end.JiangsuHoushengNewEnergyTechnologyCo.,Ltd.entrustedanappraisalagencytoevaluatethevalueofallitsshareholders’equityduetotheneedforcapitalincreaseandshareexpansionin2020,andconfirmedthepremiumrateofcapitalincreasebasedontheappreciationrateoftheequityvalue(on30December2020,thecompany’sinvestorssignedaninvestmentagreement).Therefore,attheendoftheperiod,thefairvalueoftheequityinvestmenthadbeenadjustedandconfirmedaccordingly.
(3)Amongotherequityinvestmentinstruments,thetotalinvestmentinChengduChangwanDieselEngineDistributionCo.,Ltd.,ChongqingWanzhouChangwanDieselEnginePartsCo.,Ltd.,ChangzhouEconomicandTechnologicalDevelopmentCompany,ChangzhouTractorCompany,ChangzhouEconomicCommissionIndustrialCapitalMutualAidAssociation,BeijingEngineeringMachineryAgriculturalMachineryCompanywasRMB1.21million,andthefairvaluewasRMB0.00duetothedifficultyinrecoveringtheinvestment.SinceitsestablishmentinOctober2017,ChangzhouSynergeticInnovationPrivateEquityFund(LimitedPartnership)hasinvestedinJiangsuHoushengNewEnergyTechnologyCo.,Ltd.,andthechangeinfairvalueofthecompany'sequityheldbyithadincreasedtheequityofpartnersattheendoftheyear.Inaddition,thecompany'sbusinessenvironment,operatingconditions,andfinancialstatushadnotundergonemajorchanges.
Therefore,thecompanydetermineditsfairvalueonthebasisofthenetbookassetsofthepartnershipattheendoftheperiod.XII.RelatedPartyandRelated-partyTransactions
1.InformationRelatedtotheCompanyastheParentoftheCompany
Name | Registrationplace | Natureofbusiness | Registeredcapital | ProportionofshareheldbytheCompanyastheparentagainsttheCompany | ProportionofvotingrightsownedbytheCompanyastheparentagainsttheCompany |
ChangzhouInvestmentGroupCo.,Ltd. | Changzhou | Investmentandoperationsofstate-ownedassets,assetsmanagement(excludingfinancialbusiness),investmentconsulting(excludingconsultingoninvestmentinsecuritiesandoptions),etc. | RMB1.2billion | 30.43% | 30.43% |
Notes:InformationontheCompanyastheparentTheparentcompanyoftheenterpriseisChangzhouInvestmentGroupCo.,Ltd.,whichisawholly-ownedsubsidiaryofChangzhouMunicipalPeople'sGovernment.InaccordancewithChangzhouPeople’sGovernmentDocument(CZF[2006]No.62),boththeCompanyandChangzhouInvestmentGroupCo.,Ltd.areenterpriseswhichChangzhouPeople’sGovernmentauthorizesChangzhouGovernmentState-ownedAssetsSupervisionandAdministrationCommissiontoperformdutiesofinvestors.Thus,afterthesharertransfer,ChangzhouInvestmentGroupCo.,Ltd.isthecontrollingshareholderoftheCompanyandChangzhouGovernmentState-ownedAssetsSupervisionandAdministrationCommissionisstilltheactualcontrolleroftheCompany.ThefinalcontrolleroftheCompanyisChangzhouGovernmentState-ownedAssetsSupervisionandAdministrationCommission.
2.SubsidiariesoftheCompanyRefertoNoteIXfordetails.
3.InformationonOtherRelatedParties
Name | RelationshipwiththeCompany |
SynergeticInnovationFundManagementCo.,Ltd. | SeniorexecutivesofthecompanyusedtoserveasdirectorsoftheCompany(nolongerasdirectorsoftheCompanyon16April2020) |
ChangzhouSynergeticInnovationPrivateEquityFund(LimitedPartnership) | Participatedinestablishingtheindustrialinvestmentfund |
JiangsuHoushengNewEnergyTechnologyCo.,Ltd. | ShareholdingenterpriseoftheCompany |
DonghaiSecuritiesCo.,Ltd. | ControlledbythesameCompanyastheparent |
4.Related-partyTransactions
(1)OtherRelated-partyTransactionOn28June2020,the3rdMeetingofthe9thBoardofDirectorsapprovedtheProposalonSignatureofJointSponsorshipUnderwritingAgreementofthePrivatePlacementofAsharesandRelated-partyTransaction,which
allowedtheCompanysigningthejointsponsorshipunderwritingagreementwithIndustrialSecuritiesCo.,Ltd.(hereinafterreferredtoas“IndustrialSecurities”)andDonghaiSecuritiesCo.,Ltd.(hereinafterreferredtoas“DonghaiSecurities”),andappointingIndustrialSecuritiesandDonghaiSecuritiesastheco-sponsorunderwritersfortheprivateplacementofAsharesoftheCompanywithsponsorfeeofRMB3milliontoIndustrialSecuritiesandDonghaiSecuritiesandtheunderwritingfeeofnomorethanRMB11million(inclusiveofRMB11million).Asof31December2020,theCompanyhaspaidasponsorshipfeeofRMB750,000toDonghaiSecurities.XIII.CommitmentsandContingency
1.SignificantCommitmentsSignificantcommitmentsonbalancesheetdateAsof31December2020,therewasnosignificantcommitmentfortheCompanytodisclose.
2.ContingencyAsof31December2020,therewasnocontingenciesfortheCompanytodisclose.
XIV.EventsafterBalanceSheetDate
1.ProfitDistribution
Unit:RMB
Profitsordividendstobedistributed | 0 |
2.NotestoOtherEventsafterBalanceSheetDateAccordingtotheInvestmentAgreementsignedon30December2020,theCompanyincreaseditscapitaltoJiangsuHoushengNewEnergyTechnologyCo.,Ltd.byRMB26.25millionon11January2021.Asoftheapprovalissuedateoffinancialstatements,therewasnoothersignificanteventafterbalancesheetdatethatshallbedisclosed.
XV.OtherSignificantEvents
1.CorrectionofPreviousAccountingError
(1)RetrospectiveRestatement
Unit:RMB
Content | Processingprocedure | Affectedfinancialstatementlineitemsofthecomparativeperiods | Cumulativeeffects |
ChangzhouXingshengPropertyManagementCo.,Ltd.thatwasnotincludedinthescopeofconsolidatedstatementsbeforehasbeenconductedaccountingtreatmentaccordingto | The4thMeetingofthe9thBoardofDirectorsheldon29July2020reviewedandapprovedtheProposalonAccountingErrorsCorrectioninPreviousPeriod. | ConsolidatedBalanceSheetin2019-Mnetaryassets | 1,375,254.03 |
ConsolidatedBalanceSheetin2019-Tradingfinancialassets | 3,050,000.00 | ||
ConsolidatedBalanceSheetin2019-Accountsreceivable | 6,391.36 | ||
ConsolidatedBalanceSheetin2019-Prepayment | 38,200.00 | ||
ConsolidatedBalanceSheetin2019-Otherreceivables | -893,682.24 | ||
ConsolidatedBalanceSheetin2019-Inventories | 7,158.32 | ||
ConsolidatedBalanceSheetin2019-Othercurrentassets | 67,355.14 | ||
ConsolidatedBalanceSheetin2019-Totalofcurrentassets | 4,632,342.79 | ||
ConsolidatedBalanceSheetin2019-Fixedassets | 140,153.19 | ||
ConsolidatedBalanceSheetin2019-Long-termprepaidexpenses | 53,497.80 |
theprovisionsoftheaccountingstandardsduringtheReportingPeriod. | ConsolidatedBalanceSheetin2019-Deferredincometaxassets | 6.52 | |
ConsolidatedBalanceSheetin2019-Totalofnon-currentassets | 193,657.51 | ||
ConsolidatedBalanceSheetin2019-Totalassets | 4,826,000.30 | ||
ConsolidatedBalanceSheetin2019-Accountspayable | 14,760.00 | ||
ConsolidatedBalanceSheetin2019-Advancesfromcustomers | 952,386.57 | ||
ConsolidatedBalanceSheetin2019-Otherpayables | 1,224,017.91 | ||
ConsolidatedBalanceSheetin2019-Totalofcurrentliabilities | 2,191,164.48 | ||
ConsolidatedBalanceSheetin2019-Totalliabilities | 2,191,164.48 | ||
ConsolidatedBalanceSheetin2019-Surplusreserves | 163,483.58 | ||
ConsolidatedBalanceSheetin2019-Retainedearnings | 1,471,352.24 | ||
ConsolidatedBalanceSheetin2019-TotalequityattributabletoownersoftheCompanyastheparent | 2,634,835.82 | ||
ConsolidatedBalanceSheetin2019-Totalowners’equity | 2,634,835.82 | ||
ConsolidatedBalanceSheetin2019-Totalliabilitiesandowners’equity | 4,826,000.30 | ||
ConsolidatedIncomeStatementin2019-Revenue | 5,687,083.80 | ||
ConsolidatedIncomeStatementin2019-Operatingrevenue | 5,687,083.80 | ||
ConsolidatedIncomeStatementin2019-Operatingcosts | 5,726,254.73 | ||
ConsolidatedIncomeStatementin2019-Costofsales | 4,884,089.75 | ||
ConsolidatedIncomeStatementin2019-Taxesandsurtaxes | 21,043.17 | ||
ConsolidatedIncomeStatementin2019-Administrativeexpense | 832,824.01 | ||
ConsolidatedIncomeStatementin2019-Financecosts | -11,702.20 | ||
ConsolidatedIncomeStatementin2019-Interestincome | 13,193.10 | ||
ConsolidatedIncomeStatementin2019-Otherincome | 12,063.29 | ||
ConsolidatedIncomeStatementin2019-Investmentincome | 58,549.24 | ||
ConsolidatedIncomeStatementin2019-Credit | 7,317.61 |
impairmentloss | |
ConsolidatedIncomeStatementin2019-Operatingprofit | 38,759.21 |
ConsolidatedIncomeStatementin2019-Non-operatingincome | 16,006.10 |
ConsolidatedIncomeStatementin2019-Non-operatingexpense | 12,597.35 |
ConsolidatedIncomeStatementin2019-Profitbeforetaxation | 42,167.96 |
ConsolidatedIncomeStatementin2019-Incometax | 10,227.22 |
ConsolidatedIncomeStatementin2019-Netprofit | 31,940.74 |
ConsolidatedIncomeStatementin2019-Netprofitfromcontinuingoperations | 31,940.74 |
ConsolidatedIncomeStatementin2019-NetprofitattributabletoownersoftheCompanyastheparent | 31,940.74 |
ConsolidatedIncomeStatementin2019-Totalcomprehensiveincome | 31,940.74 |
ConsolidatedIncomeStatementin2019-AttributabletoownersoftheCompanyastheparent | 31,940.74 |
ConsolidatedIncomeStatementin2019-Earningspershare | 0.00005 |
ConsolidatedIncomeStatementin2019-Dilutedearningspershare | 0.00005 |
ConsolidatedCashFlowStatementin2019-Proceedsfromsaleofcommoditiesandrenderingofservices | 6,150,306.39 |
ConsolidatedCashFlowStatementin2019-Cashgeneratedfromotheroperatingactivities | 110,627.50 |
ConsolidatedCashFlowStatementin2019-Subtotalofcashusedinoperatingactivities | 6,260,933.89 |
ConsolidatedCashFlowStatementin2019-Paymentsforcommoditiesandservices | 4,051,587.11 |
ConsolidatedCashFlowStatementin2019-Cashpaidtoandforemployees | 1,415,158.29 |
ConsolidatedCashFlowStatementin2019-Taxespaid | 223,381.96 |
ConsolidatedCashFlowStatementin2019-Cashusedinotheroperatingactivities | 353,138.57 |
ConsolidatedCashFlowStatementin2019-Subtotalofcashusedinoperatingactivities | 6,043,265.93 |
ConsolidatedCashFlowStatementin2019-Netcashgeneratedfrom/usedinoperatingactivities | 217,667.96 |
ConsolidatedCashFlowStatementin | 3,900,000.00 |
2019-Proceedsfromdisinvestments | |
ConsolidatedCashFlowStatementin2019-Investmentincome | 58,549.24 |
ConsolidatedCashFlowStatementin2019-Subtotalofcashgeneratedfrominvestingactivities | 3,958,549.24 |
ConsolidatedCashFlowStatementin2019-Paymentsforacquisitionoffixedassets,intangibleassetsandotherlong-livedassets | 37,696.92 |
ConsolidatedCashFlowStatementin2019-Paymentsforinvestments | 6,950,000.00 |
ConsolidatedCashFlowStatementin2019-Subtotalofcashusedininvestingactivities | 6,987,696.92 |
ConsolidatedCashFlowStatementin2019-Netcashgeneratedfrom/usedininvestingactivities | -3,029,147.68 |
ConsolidatedCashFlowStatementin2019-Netincreaseincashandcashequivalents | -2,811,479.72 |
2.SegmentInformation
(1)DeterminationBasisandAccountingPoliciesofReportableSegmentDuetotheoperationscopeoftheCompanyandsubsidiariesweresimilar,theCompanyconductscommonmanagement,anddidnotdividebusinessunit,sotheCompanyonlymadesinglebranchreport.
3.OtherSignificantTransactionsandEventswithInfluenceonInvestors’Decision-makingNo.
XVI.NotesofMainItemsintheFinancialStatementsoftheCompanyastheParent
1.AccountsReceivable
(1)AccountsReceivableClassifiedbyCategory
Unit:RMB
Category | Endingbalance | Beginningbalance | ||||||||
Carryingamount | Baddebtprovision | Carryingvalue | Carryingamount | Baddebtprovision | Carryingvalue | |||||
Amount | Proportion | Amount | Withdrawalproportion | Amount | Proportion | Amount | Withdrawalproportion | |||
Accountsreceivableforwhichbaddebtprovisionseparatelyaccrued | 33,543,441.92 | 7.29% | 31,647,855.09 | 94.35% | 1,895,586.83 | 37,510,056.90 | 6.66% | 33,788,291.86 | 90.08% | 3,721,765.04 |
Ofwhich: |
Accountsreceivablewithsignificantsingleamountforwhichbaddebtprovisionseparatelyaccrued | 29,870,525.05 | 6.50% | 27,974,938.22 | 93.65% | 1,895,586.83 | 32,618,199.97 | 5.79% | 28,896,434.93 | 88.59% | 3,721,765.04 |
Accountsreceivablewithinsignificantsingleamountforwhichbaddebtprovisionseparatelyaccrued | 3,672,916.87 | 0.80% | 3,672,916.87 | 100.00% | 4,891,856.93 | 0.87% | 4,891,856.93 | 100.00% | ||
Accountsreceivableforwhichbaddebtprovisionaccruedbygroup | 426,300,279.29 | 92.71% | 110,367,704.87 | 25.89% | 315,932,574.42 | 525,874,423.56 | 93.34% | 192,148,650.56 | 36.54% | 333,725,773.00 |
Ofwhich: | ||||||||||
Accountsreceivableforwhichbaddebtprovisionaccruedbycreditriskfeaturesgroup | 426,300,279.29 | 92.71% | 110,367,704.87 | 25.89% | 315,932,574.42 | 525,874,423.56 | 93.34% | 192,148,650.56 | 36.54% | 333,725,773.00 |
Total | 459,843,721.21 | 100.00% | 142,015,559.96 | 30.88% | 317,828,161.25 | 563,384,480.46 | 100.00% | 225,936,942.42 | 40.10% | 337,447,538.04 |
Accountsreceivablewithsignificantsingleamountforwhichbaddebtprovisionseparatelyaccruedattheendoftheperiod:
Unit:RMB
Name | Endingbalance | |||
Carryingamount | Baddebtprovision | Withdrawalproportion | Withdrawalreason | |
Customer1 | 1,470,110.64 | 1,470,110.64 | 100.00% | Difficulttorecover |
Customer2 | 1,902,326.58 | 1,902,326.58 | 100.00% | Difficulttorecover |
Customer3 | 6,215,662.64 | 6,215,662.64 | 100.00% | Difficulttorecover |
Customer4 | 2,254,860.60 | 2,175,814.38 | 96.49% | Expectedtodifficultlyrecover |
Customer5 | 3,633,081.23 | 1,816,540.62 | 50.00% | Expectedtodifficultlyrecover |
Customer6 | 3,279,100.00 | 3,279,100.00 | 100.00% | Difficulttorecover |
Customer7 | 1,617,988.01 | 1,617,988.01 | 100.00% | Difficulttorecover |
Customer8 | 5,359,381.00 | 5,359,381.00 | 100.00% | Difficulttorecover |
Customer9 | 2,584,805.83 | 2,584,805.83 | 100.00% | Difficulttorecover |
Customer10 | 1,553,208.52 | 1,553,208.52 | 100.00% | Difficulttorecover |
Total | 29,870,525.05 | 27,974,938.22 | -- | -- |
Accountsreceivableforwhichbaddebtprovisionaccruedbycreditriskfeaturesgroup
Unit:RMB
Name | Endingbalance | ||
Carryingamount | Baddebtprovision | Withdrawalproportion | |
Within1year | 309,661,916.82 | 6,193,238.34 | 2.00% |
1to2years | 8,482,312.62 | 424,115.63 | 5.00% |
2to3years | 1,236,457.38 | 185,468.61 | 15.00% |
3to4years | 4,343,446.09 | 1,303,033.83 | 30.00% |
4to5years | 785,744.81 | 471,446.89 | 60.00% |
Over5years | 101,790,401.57 | 101,790,401.57 | 100.00% |
Total | 426,300,279.29 | 110,367,704.87 | -- |
Notestothebasisforthedeterminationofthegroups:
Theaccountsreceivablewasadoptedtheaginganalysisbasedonthemonthswhentheaccountsoccurredactually,amongwhichtheaccountsoccurredearlierwillbeprioritytobesettledintermsofthecapitalturnover.ExplanationoftheinputvalueandassumptionadoptedtodeterminethewithdrawalamountofbaddebtprovisionontheCurrentPeriod:Withreferencetotheexperienceofthehistoricalcreditloss,combiningwiththepredictionofthepresentstatusandfuturefinancialsituation,thecomparisontablewaspreparedbetweentheagingoftheaccountsreceivableandestimatedcreditlossrateinthedurationandtocalculatetheestimatedcreditloss.Pleaserefertotherelevantinformationofdisclosureofbaddebtprovisionofotheraccountsreceivableifadoptingthegeneralmodeofexpectedcreditlosstowithdrawbaddebtprovisionofaccountsreceivable.
□Applicable√NotapplicableDisclosurebyaging
Unit:RMB
Aging | Carryingamount |
Within1year(including1year) | 309,661,916.82 |
1to2years | 9,058,714.07 |
2to3years | 3,186,206.94 |
Over3years | 137,936,883.38 |
3to4years | 6,867,235.84 |
4to5years | 3,394,775.63 |
Over5years | 127,674,871.91 |
Total | 459,843,721.21 |
(2)BadDebtProvisionWithdrawn,ReversedorRecoveredintheReportingPeriod
Unit:RMB
Category | Beginningbalance | ChangesintheReportingPeriod | Endingbalance | |||
Withdrawal | Reversalorrecovery | Write-off | Other | |||
Baddebtprovisionwithdrawnseparately | 33,788,291.86 | 2,140,436.77 | 31,647,855.09 | |||
Baddebtprovisionwithdrawnbygroup | 192,148,650.56 | 598,258.02 | 82,379,203.71 | 110,367,704.87 | ||
Total | 225,936,942.42 | 598,258.02 | 2,140,436.77 | 82,379,203.71 | 142,015,559.96 |
OfwhichbaddebtprovisionreversedorrecoveredwithsignificantamountintheReportingPeriod:No.
(3)ThereWasNoParticularsoftheActualVerificationofAccountsReceivableduringtheReportingPeriod
Unit:RMB
Item | Amount |
Actualverificationofaccountsreceivable | 82,379,203.71 |
Ofwhichtheverificationofsignificantaccountsreceivable:
Unit:RMB
Nameoftheentity | Nature | Amountverified | Reason | Performanceofverificationprocedures | Whethergeneratedfromrelated-partytransaction |
Customer1 | Baddebtlosses | 14,234,302.79 | Theagingofcanceledreceivablesshallexceed5yearsandresultfromfruitlesscollection,andifanysingleclient’slargeamountisinvolvedwithoutanybusinesstransactionwiththe | 1.TheCompanyheldthe3rdMeetingofthe9thBoardofDirectorsandthe3rdMeetingofthe9thSupervisoryCommitteeon28June2020andapprovedtheProposalonVerificationofSomeAccountsReceivable.2.On12November2020,thebankruptcyliquidation | Not |
Customer2 | 10,000,000.00 | ||||
Customer3 | 7,583,232.65 | ||||
Customer4 | 4,581,880.41 | ||||
Customer5 | 3,600,000.00 | ||||
Customer6 | 2,752,840.00 | ||||
Customer7 | 2,450,966.67 | ||||
Customer8 | 2,180,243.72 | ||||
Customer9 | 1,976,282.47 | ||||
Customer10 | 1,860,830.82 |
Customer11 | 1,758,686.48 | Companyforovertenyears,theclient’squalificationforbusinessoperationshallbecanceledortheinsolvencyliquidationisfinishedwithoutanyproductionandoperationactivities. | proceduresofShandongHongliGroupCo.,Ltd.hadbeenimplemented,andtherepaymentrateoftheCompany’soutstandingpaymentwas0.On29January2021,theCompanyheldthe7thMeetingofthe9thBoardofDirectorsandapprovedtheProposalonVerificationofAccountsReceivableofShandongHongliGroupCo.,Ltd.. | ||
Customer12 | 1,662,052.98 | ||||
Customer13 | 1,285,160.60 | ||||
Customer14 | 1,236,225.30 | ||||
Customer15 | 1,235,170.95 | ||||
Customer16 | 1,200,000.00 | ||||
Customer17 | 1,149,217.70 | ||||
Customer18 | 848,158.92 | ||||
Customer19 | 841,642.86 | ||||
Customer20 | 830,000.00 | ||||
Customer21 | 800,000.00 | ||||
Customer22 | 797,786.72 | ||||
Customer23 | 796,226.73 | ||||
Customer24 | 760,197.20 | ||||
Customer25 | 728,666.36 | ||||
Customer26 | 677,250.00 | ||||
Customer27 | 551,305.36 | ||||
Customer28 | 549,800.00 | ||||
Customer29 | 537,698.10 | ||||
Customer30 | 12,343,782.28 | ||||
Customer31 | 520,892.51 | ||||
Total | 82,330,500.58 | -- | -- | -- |
(4)Top5oftheEndingBalanceofOtherReceivablesCollectedaccordingtotheArrearsParty
Unit:RMB
Nameoftheentity | Endingbalanceofaccountsreceivable | Proportiontototalendingbalanceofaccountsreceivable | Endingbalanceofbaddebtprovision |
Customer1 | 140,334,103.03 | 30.52% | 2,806,682.06 |
Customer2 | 36,991,841.04 | 8.04% | 856,733.55 |
Customer3 | 33,407,519.00 | 7.26% | 668,150.38 |
Customer4 | 22,051,755.53 | 4.80% | 441,035.11 |
Customer5 | 18,721,197.34 | 4.07% | 374,423.95 |
Total | 251,506,415.94 | 54.69% |
2.OtherReceivables
Unit:RMB
Item | Endingbalance | Beginningbalance |
Otherreceivables | 24,327,355.36 | 22,741,542.22 |
Total | 24,327,355.36 | 22,741,542.22 |
(1)OtherReceivable
1)OtherReceivablesClassifiedbyAccountNature
Unit:RMB
Nature | Endingcarryingamount | Beginningcarryingamount |
CashdepositandMargin | 4,200.00 | 4,200.00 |
Intercoursefundsamongunits | 39,857,085.87 | 37,618,642.29 |
Pettycashandborrowingsbyemployees | 673,198.96 | 624,083.07 |
Other | 13,614,585.00 | 15,373,206.41 |
Total | 54,149,069.83 | 53,620,131.77 |
2)WithdrawalofBadDebtProvision
Unit:RMB
Baddebtprovision | Firststage | Secondstage | Thirdstage | Total |
Expectedcreditlossofthenext12months | Expectedlossintheduration(creditimpairmentnotoccurred) | Expectedlossintheduration(creditimpairmentoccurred) | ||
Balanceof1January2020 | 30,878,589.55 | 30,878,589.55 | ||
Balanceof1January2020intheCurrentPeriod | —— | —— | —— | —— |
--TransfertoSecondstage | ||||
--TransfertoThirdstage | ||||
--ReversetoSecondstage | ||||
--ReversetoFirststage | ||||
WithdrawaloftheCurrentPeriod | ||||
ReversaloftheCurrentPeriod | 1,056,875.08 | 1,056,875.08 | ||
Write-offsoftheCurrentPeriod | ||||
VerificationoftheCurrentPeriod | ||||
Otherchanges | ||||
Balanceof31December2020 | 29,821,714.47 | 29,821,714.47 |
ChangesofcarryingamountwithsignificantamountchangedoflossprovisionintheCurrentPeriod
□Applicable√NotapplicableDisclosurebyaging
Unit:RMB
Aging | Carryingamount |
Within1year(including1year) | 14,386,648.65 |
1to2years | 8,533,236.84 |
2to3years | 1,450,140.04 |
Over3years | 29,779,044.30 |
3to4years | 1,151,162.51 |
4to5years | 208,579.74 |
Over5years | 28,419,302.05 |
Total | 54,149,069.83 |
3)BadDebtProvisionWithdrawn,ReversedorRecoveredintheReportingPeriodInformationofbaddebtprovisionwithdrawn:
Unit:RMB
Category | Beginningbalance | ChangesintheReportingPeriod | Endingbalance | |||
Withdrawal | Reversalorrecovery | Write-off | Other | |||
Baddebtprovisionwithdrawnseparately | 5,042,448.58 | 3,080.17 | 5,039,368.41 | |||
Baddebtprovisionwithdrawnbygroup | 25,836,140.97 | 1,053,794.91 | 24,782,346.06 | |||
Total | 30,878,589.55 | 1,056,875.08 | 29,821,714.47 |
4)ParticularsoftheActualVerificationofOtherReceivablesduringtheReportingPeriod:No.
5)Top5oftheEndingBalanceofOtherReceivablesCollectedaccordingtotheArrearsParty
Unit:RMB
Nameoftheentity | Nature | Endingbalance | Aging | Proportiontototalendingbalanceofotherreceivables | Endingbalanceofbaddebtprovision |
ChangzhouChangchaiBenniuDieselEngineFittingsCo.,Ltd. | Intercoursefunds | 10,000,000.00 | Within1year | 18.47% | 200,000.00 |
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | Intercoursefunds | 10,522,177.72 | Within1yearwithRMB1,411,701.19,1-2yearswithRMB8,088,841.90,2-3yearswithRMB1,021,634.63 | 19.43% | 585,921.31 |
ChangzhouCompressorsFactory | Intercoursefunds | 2,940,000.00 | Over5years | 5.43% | 2,940,000.00 |
ChangchaiGroupImp.&Exp.Co.,Ltd. | Intercoursefunds | 2,853,188.02 | Over5years | 5.27% | 2,853,188.02 |
ChangchaiNewDistrictAccountingCenter | Intercoursefunds | 1,626,483.25 | Over5years | 3.00% | 1,626,483.25 |
Total | -- | 27,941,848.99 | 51.60% | 8,205,592.58 |
3.Long-termEquityInvestment
Unit:RMB
Item | Endingbalance | Beginningbalance | ||||
Carryingamount | Depreciationreserves | Carryingvalue | Carryingamount | Depreciationreserves | Carryingvalue | |
Investmenttosubsidiaries | 382,752,730.03 | 7,000,000.00 | 375,752,730.03 | 252,752,730.03 | 252,752,730.03 | |
Investmenttojointventuresandassociatedenterprises | 44,182.50 | 44,182.50 | 44,182.50 | 44,182.50 | ||
Total | 382,796,912.53 | 7,044,182.50 | 375,752,730.03 | 252,796,912.53 | 44,182.50 | 252,752,730.03 |
(1)InvestmenttoSubsidiaries
Unit:RMB
Investee | Beginningbalance(carryingvalue) | Increase/decrease | Endingbalance(carryingvalue) | Endingbalanceofdepreciationreserve | |||
Additionalinvestment | Reducedinvestment | Withdrawalofdepreciationreserve | Other | ||||
ChangchaiWanzhouDieselEngineCo.,Ltd. | 51,000,000.00 | 51,000,000.00 | |||||
ChangzhouChangchaiBenniuDieselEngineFittingsCo.,Ltd. | 96,466,500.00 | 96,466,500.00 |
ChangzhouHoushengInvestmentCo.,Ltd. | 40,000,000.00 | 40,000,000.00 | |||||
ChangzhouChangchaiHoushengAgriculturalEquipmentCo.,Ltd. | 7,000,000.00 | 7,000,000.00 | 7,000,000.00 | ||||
ChangzhouFujiChangchaiRobinGasolineEngineCo.,Ltd. | 47,286,230.03 | 47,286,230.03 | |||||
JiangsuChangchaiMachineryCo.,Ltd. | 10,000,000.00 | 130,000,000.00 | 140,000,000.00 | ||||
ChangzhouXingshengPropertyManagementCo.,Ltd. | 1,000,000.00 | 1,000,000.00 | |||||
Total | 252,752,730.03 | 130,000,000.00 | 7,000,000.00 | 375,752,730.03 | 7,000,000.00 |
(2)InvestmenttoJointVenturesandAssociatedEnterprises
Unit:RMB
Investee | Beginningbalance(carryingvalue) | Increase/decrease | Endingbalance(carryingvalue) | Endingbalanceofdepreciationreserve | |||||||
Additionalinvestment | Reducedinvestment | Gainsandlossesrecognizedundertheequitymethod | Adjustmentofothercomprehensiveincome | Changesofotherequity | Cashbonusorprofitsannouncedtoissue | Withdrawalofimpairmentprovision | Other | ||||
II.Associatedenterprises |
BeijingTsinghuaXingyeIndustrialInvestmentManagementCo.,Ltd. | 0.00 | 0.00 | 44,182.50 | |
Subtotal | 0.00 | 0.00 | 44,182.50 | |
Total | 0.00 | 0.00 | 44,182.50 |
4.OperatingRevenueandCostofSales
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear | ||
Operatingrevenue | Costofsales | Operatingrevenue | Costofsales | |
Mainoperations | 2,086,035,553.15 | 1,794,202,913.98 | 1,829,511,302.64 | 1,547,250,831.33 |
Otheroperations | 37,164,684.96 | 29,240,490.81 | 36,780,436.75 | 28,376,158.13 |
Total | 2,123,200,238.11 | 1,823,443,404.79 | 1,866,291,739.39 | 1,575,626,989.46 |
Informationrelatedtoperformanceobligations:performingaccordingtothecontractofferInformationrelatedtotransactionvalueassignedtoresidualperformanceobligations:
TheamountofrevenuecorrespondingtoperformanceobligationsofcontractssignedbutnotperformedornotfullyperformedyetwasRMB0attheperiod-end.
5.InvestmentIncome
Unit:RMB
Item | ReportingPeriod | Sameperiodoflastyear |
Dividendincomefromholdingofotherequityinstrumentinvestment | 5,004,000.00 | 6,069,000.00 |
Incomefromtransferringtoaccommodationbusiness | 433,925.05 | 137,814.50 |
Total | 5,437,925.05 | 6,206,814.50 |
XVII.SupplementaryMaterials
1.ItemsandAmountsofNon-recurringProfitorLoss
√Applicable□Notapplicable
Unit:RMB
Item | Amount | Note |
Gainorlossondisposalofnon-currentassets | 263,408.53 |
Governmentsubsidieschargedtocurrentprofitorloss(exclusiveofgovernmentsubsidiesgivenintheCompany’sordinarycourseofbusinessatfixedquotasoramountsasperthegovernment’suniformstandards) | 7,763,215.65 | |
Capitaloccupationchargesonnon-financialenterprisesthatarerecordedintocurrentgainsandlosses | 344,842.86 | |
Gain/lossfromchangeoffairvalueoftradingfinancialassetsandliabilities,andderivativefinancialassetsandliabilities,andinvestmentgainsfromdisposaloftradingfinancialassetsandliabilities,andderivativefinancialassetsandliabilities,andinvestmentinotherdebtobligations,otherthanvalidhedgingrelatedtotheCompany’scommonbusinesses | 27,526,935.85 | |
Othernon-operatingincomeandexpensesotherthantheabove | -1,571,453.49 | |
Less:Incometaxeffects | 7,122,148.63 | |
Non-controllinginterestseffects | 255,505.29 | |
Total | 26,949,295.48 | -- |
ExplainthereasonsiftheCompanyclassifiesanitemasannon-recurringgain/lossaccordingtothedefinitionintheExplanatoryAnnouncementNo.1onInformationDisclosureforCompaniesOfferingTheirSecuritiestothePublic—Non-recurringGainsandLosses,orclassifiesanyextraordinarygain/lossitemmentionedinthesaidexplanatoryannouncementasarecurrentgain/lossitem.
□Applicable√Notapplicable
2.ReturnonEquityandEarningsPerShare
ProfitasofReportingPeriod | WeightedaverageROE | EPS | |
EPS-basic(Yuan/share) | EPS-diluted(Yuan/share) | ||
NetprofitattributabletoordinaryshareholdersoftheCompany | 2.45% | 0.0934 | 0.0934 |
NetprofitattributabletoordinaryshareholdersoftheCompanyafterdeductionofnon-recurringprofitorloss | 1.19% | 0.0454 | 0.0454 |
PartXIIIDocumentsAvailableforReference
1.ThefinancialstatementssignedandsealedbytheCompany’slegalrepresentative,GeneralManagerandheadofthefinancialdepartment;
2.TheoriginalcopyoftheIndependentAuditor’sReportsignedandsealedbytheCPAs,aswellassealedbytheCPAfirm;
3.TheoriginalsofalltheCompany’sdocumentsandannouncementswhichweredisclosedonSecuritiesTimeandTaKungPao(HK)(newspapersdesignatedbytheCSRCforinformationdisclosure)duringtheReportingPeriod;
4.TheAnnualReportdisclosedonotherstockmarkets.Theabove-mentioneddocumentsavailableforreferenceareallkeptintheSecretariatoftheBoardofDirectorsoftheCompanyandtheShenzhenStockExchange.ThisAnnualReportanditsabstracthavebeenpreparedinbothChineseandEnglish.Shouldtherebeanydiscrepanciesormisunderstandingsbetweenthetwoversions,theChineseversionshallprevail.
TheBoardofDirectorsChangchaiCompany,Limited
15April2021