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粤高速B：2023年半年度报告(英文版) （下载公告）
公告日期:2023-08-29

GuangdongProvincialExpresswayDevelopmentCo.,Ltd.

TheSemi-AnnualReport2023

August2023

I.ImportantNotice,TableofContentsandDefinitionsTheBoardofDirectors,theSupervisoryCommitteeaswellasalldirectors,supervisorsandseniormanagementstaffoftheCompanywarrantthatthisReportisfactual,accurateandcompletewithoutanyfalserecord,misleadingstatementormaterialomission.Andtheyshallbejointlyandseverallyliableforthat.Mr.MiaoDeshan,Companyprincipal,Mr.WangChunhua,GeneralManager,Mr.LuMing,Chiefoftheaccountingwork,Ms.ZhouFang,Chiefoftheaccountingorgan(chiefofaccounting)herebyconfirmtheauthenticityandcompletenessofthefinancialreportenclosedinthisSemi-annualreport.Allthedirectorshaveattendedthemeetingoftheboardmeetingatwhichthisreportwasexamined.ThetollrevenuesofExpresswayismainsourceofthemajorbusinessincomeofthecompany,Thechargestandardofvehicletollmustbesubmittedtothesamelevelpeople'sgovernmentforreviewandapprovalafterthetransportregulatorydepartmentofprovince,autonomousregionormunicipalitydirectlyunderthecentralgovernmentinconjunctionwiththepriceregulatorydepartmentatthesamelevelconsenteduponexamination.Therefore,theadjustmenttrendofthechargepriceandthechargepriceifhasthecorrespondingadjustmentinthefuturepricelevelwhenthecostofthecompanyrisesstilldependontheapprovalofrelevantnationalpoliciesandgovernmentdepartments,andthecompanyisn'tabletomaketimelyadjustmenttothechargestandardinaccordancewiththeitsownoperationcostorthechangeofmarketsupplydemand.So,thechangeofchargepolicyandtheadjustmentofchargestandardalsohaveinfluenceontheexpresswaysoperatedbythecompanytosomeextent.So,thechargingpolicychangesandchargesadjustmentwillaffectthehighwaysoperationofthecompany.TheCompanyhasnoplanofcashdividendscarriedout,bonusissuedandcapitalizingofcommonreserveseither.

TableofContents

I.ImportantNotice,TableofcontentsandDefinitionsII.CompanyProfile&FinancialHighlights.III.ManagementDiscussion&AnalysisIV.CorporateGovernanceV.Environmental&SocialResponsibilityVI.ImportantEventsVII.ChangeofsharecapitalandshareholdingofPrincipalShareholdersVIII.SituationofthePreferredSharesIX.CorporateBondX.FinancialReport

Documentsavailableforinspection

1.Accountingstatementscarriedwithpersonalsignaturesandsealsoflegalrepresentative,GeneralManager,ChiefFinancialofficerandFinancialPrincipal.

2.OriginalofAuditors’ReportcarriedwiththesealofCertifiedPublicAccountantsaswellaspersonalsignaturesofcertifiedPublicaccountants.

3.ThetextsofalltheCompany'sdocumentspubliclydisclosedonthenewspapersandperiodicalsdesignatedbyChinaSecuritiesRegulatoryCommissioninthereportperiod.

Definition

TermstobedefinedReferstoDefinition
ReportingperiodReferstoJanuary1,2023toJune30,2023
ReportingdateReferstoThesemi-annualreportofthecompanywasapprovedbytheboardofdirectorsof2023,thatis,August28,2023
YOYReferstoComparedwithJanuary-June2022
TheCompany,ThisCompany,TheGroup,GuangdongExpresswayReferstoGuangdongProvincialExpresswayDevelopmentCo.,Ltd.
GuangfoCompanyReferstoGuangdongGuangfoExpresswayCo.,Ltd.
GuanghuiCompanyReferstoGuangdongGuanghuiExpresswayCo.,Ltd.
ProvincialExpresswayReferstoGuangdongProvincialExpresswayCo.,Ltd.

II.CompanyProfile&FinancialHighlights.

1.CompanyProfile

Stockabbreviation:ExpresswayA,ExpresswayBStockcode000429、200429
StockexchangeforlistingShenzhenStockExchange
NameinChinese广东省高速公路发展股份有限公司
AbbreviationofRegisteredCompany(ifany)粤高速
Englishname(Ifany)GuangdongProvincialExpresswayDevelopmentCo.,Ltd.
Englishabbreviation(Ifany)GPED
LegalRepresentativeMiaoDeshan

2.Contactpersonandcontactmanner

BoardsecretarySecuritiesaffairsRepresentative
NameYangHanmingLiangJirong
Contactaddress46/F,LitongPlaza,No.32,ZhujiangEastRoad,ZhujiangNewCity,TianheDistrict,Guangzhou45/F,LitongPlaza,No.32,ZhujiangEastRoad,ZhujiangNewCity,TianheDistrict,Guangzhou
Tel020-29004619020-29004523
Fax020-38787002020-38787002
E-mailHmy69@126.com139221590@qq.com

3.Other

1).WayofcontactWhetherregistrationsaddress,officesaddressandcodesaswellaswebsiteandemailoftheCompanychangedinreportingperiodornot

□Applicable√NotapplicableRegistrationsaddress,officesaddressandcodesaswellaswebsiteandemailoftheCompanyhasnochangeinreportingperiod,foundmoredetailsinannualreport2022.

2).InformationinquiryWhetherinformationdisclosureandpreparationplacechangedinreportingperiodornot

□Applicable√NotapplicableNoneoftheofficialpresses,website,andplaceofenquiryhasbeenchangedinthesemireportperiod.FordetailspleasefindtheAnnualReport2022.

3).OtherrelevantinformationDidanychangeoccurtootherrelevantinformationduringthereportingperiod?

□Applicable√Notapplicable

4.SummaryofAccountingDataandFinancialIndicatorsWhetherithasretroactiveadjustmentorre-statementonpreviousaccountingdata

√Yes□NoRetroactiveadjustmentorrestatementofcausesAccountingpolicychange

ReportingperiodSameperiodoflastyearYoY+/-（%）
BeforeadjustmentAfteradjustmentAfteradjustment
Operatingincome（yuan）2,340,436,775.082,057,420,809.682,057,420,809.6813.76%
Netprofitattributabletotheshareholdersofthelistedcompany（yuan）885,644,187.99773,786,851.68773,736,908.2914.46%
Netprofitafterdeductingofnon-recurringgain/lossattributabletotheshareholdersoflistedcompany（yuan）913,683,625.12743,090,095.19743,040,151.8022.97%
Cashflowgeneratedbybusinessoperation,net（yuan）2,013,917,191.701,443,551,266.301,443,551,266.3039.51%
Basicearningpershare(yuan/Share)0.420.370.3713.51%
Dilutedgainspershare(yuan/Share)0.420.370.3713.51%
Weightedaverageincome/assetratio（%）9.30%8.45%8.45%0.85%
AsattheendofthereportingperiodAsattheendoflastyearYoY+/-（%）
BeforeadjustmentAfteradjustmentAfteradjustment
Grossassets（yuan）21,477,092,071.7720,267,197,153.8820,267,998,963.785.97%
Shareholders’equityattributabletoshareholdersofthelistedcompany（yuan）9,074,979,474.419,075,877,244.129,075,659,162.80-0.01%

Reasonsforthechangesinaccountingpolicies

OnNovember30,2022,theMinistryofFinanceissuedtheNoticeonPrintingandDistributingtheNo.16InterpretationofAccountingStandardsforBusinessEnterprises(No.31[2022]CaiHui).AccordingtotherelevantrequirementsoftheNo.16InterpretationofAccountingStandardsforBusinessEnterprises,theCompanyshallmakecorrespondingadjustmentstotherelevantaccountingpoliciesoriginallyadopted.Adoptedbytheresolutionoftheseventhmeetingofthe10thsessionoftheBoardofDirectorsoftheCompanyonMarch20,2023,theCompanyimplementstherelevantprovisionsoftheNo.16InterpretationofAccountingStandardsforBusinessEnterprisesfromJanuary1,2023.

5.Differencesbetweenaccountingdataunderdomesticandoverseasaccountingstandards

1).SimultaneouslypursuanttobothChineseaccountingstandardsandinternationalaccountingstandardsdisclosedinthefinancialreportsofdifferencesinnetincomeandnetassets.

□Applicable□√NotapplicableNone

2).DifferencesofnetprofitandnetassetsdisclosedinfinancialreportspreparedunderoverseasandChineseaccountingstandards.

□Applicable√Notapplicable

None

6.Itemsandamountofnon-currentgainsandlosses

√Applicable□Notapplicable

InRMB

ItemsAmountNote
Non-currentassetdisposalgain/loss(includingthewrite-offpartforwhichassetsimpairmentprovisionismade)-15,753.62
Governmentsubsidiesrecognizedincurrentgainandloss(excludingthosecloselyrelatedtotheCompany’sbusinessandgrantedunderthestate’spolicies)5,654,550.96
Theimpairmentprovisionfortheadvanceexpensesthathaveoccurredbutneedtobedefinedfromthesourceoffunds-43,681,523.62
Netamountofnon-operatingincomeandexpenseexcepttheaforesaiditems1,923,823.88
Othernon-recurringGains/lossitems795,422.82
Less:Influencedamountofincometax2,088,521.91
Influencedamountofminorshareholders’equity(aftertax)-9,372,564.36
Total-28,039,437.13

Detailsofotherprofitandlossitemsthatmeetthenon-recurringprofitandlossdefinition

√Applicable□Notapplicable

DuetothespecialnatureoftheimpairmentprovisionformanagementandmaintenanceexpensesoftheGuangzhou-FoshanExpresswaythathasbeenadvancedbutthesourceoffundsneedstobeclarified,itwillaffectthenormaljudgmenttotheCompany'soperatingperformanceandprofitabilitybytheuserofthereport.FortheCompany’snon-recurringgain/lossitemsasdefinedintheExplanatoryAnnouncementNo.1oninformationdisclosureforCompaniesOfferingtheirSecuritiestothePublic-Non-recurringGainsandLossesanditsnon-recurringgain/lossitemsasillustratedintheExplanatoryAnnouncementNo.1oninformationDisclosureforCompaniesofferingtheirsecuritiestothepublic-non-recurringGainsandlosseswhichhavebeendefinedasrecurringgainsandlosses,itisnecessarytoexplainthereason.

□Applicable√Notapplicable

NoneofNon-recurringgain/lossitemsrecorgnizedasrecurringgain/loss/itemsasdefinedbytheinformationdisclosureexplanatoryAnnouncementNo.1-Non–recurringgain/lossinthereportperiod.

III.ManagementDiscussion&AnalysisⅠ.MainBusinesstheCompanyisEngagedinDuringtheReportPeriodTheCompany'smainbusinessindevelopingandoperatingexpresswayandbigbridges.ItisoneofthemaininstitutionsofdevelopingexpresswayandbigbridgeinGuangdongExpresswaySystem.Theexpresswayindustryistheindustryhelpedbygovernment.TheCompanyismainlyengagedintollingandmaintenanceofGuangfoExpressway,FokaiExpressway,JingzhuExpresswayGuangzhuSectionandGuanghuiExpresswayinvestmentintechnologicalindustriesandprovisionofrelevantconsultationwhileinvestinginShenzhenHuiyanExpresswayCo.,Ltd.,GuangdongJiangzhongExpresswayCo.,Ltd.,ZhaoqingYuezhaoExpresswayCo.,Ltd.,GanzhouKangdaExpressway,GanzhouGankangExpresswayCo.,Ltd.,GuangdongYuekeTechnologyPettyLoanCo.,Ltd.,GuangdongGuangleExpresswayCo.,Ltd.,GuoyuanSecuritiesCo.,Ltd.,ChinaEverbrightBank,HunanLianzhiTechnologyCo.,Ltd.,SPICYuetongQiyuanChipPowerTechnologyCo.,Ltd.，CMSTNanjingIntelligentLogisticsTechnologyCo.,Ltd.,ShenzhenGarageElectricPileTechnologyCo.,Ltd.andBeijingInstituteofArchitecturalDesign.Asoftheendofthereportingperiod,thecompany’sshare-controlledexpresswayis306.78km,andtheshare-participationexpresswayis295.88km.II.AnalysisOncoreCompetitiveness

Thetollrevenueofexpresswayindustrymainlydependsontheregionaleconomicdevelopment.Theregionaleconomyisthecriticalfactorthatinfluencesthetrafficvolume.TheGuangfoexpresswayandtheFokaiexpressway,controlledbythecompany,arepartoftheNationalExpresswayNetworkPlanning-“Fiveverticalandsevenhorizontal”,JingzhuExpresswayGuangzhuSectionisafastandconvenientexpressway,GuanghuiExpresswayisanimportantsectionofthenationalkeyhighway-the15thHengshanweitoYunnanQingshuihehighway,Andmanyofthecompany’sequity-participationexpresswaysthatarepartofthemainskeletonoftheGuangdongProvincialExpresswayPlanning-“Tenverticalandfivehorizontal”,whichprovidesastrongguaranteeforstabletrafficvolume.Meanwhile,theregionaleconomyisthecriticalfactorthatinfluencesthetrafficvolume,asGuangdongprovinceistheeconomicallydevelopedregion,withyears’continuoushighgrowthofGDP,sothatprovidesthestablerisingdemandforthecompany.III.Mainbusinessanalysis

GeneralWhetherthesameasthemainbusinessdisclosureengagedinthecompanyduringthereportingperiod

□Yes√NoDuringthereportingperiod,thedomesticeconomygraduallyimproved,andthetrafficflowandthetollincomeoftheCompany'sparticipation-inhighwayprojectsincreasedsteadily.

Volumeofvehicletrafficinthefirsthalfyearof2023(Perunit)Tollincomeinthefirsthalfyearof2023Tollincomeinthefirsthalfyearof2023（Tenthousand）Increase/Decrease(%）
GuangfoExpressway45,879,14426.22%0-100.00%
FokaiExpressway43,909,98017.09%73,431.9815.28%
JingzhuExpressway35,207,72127.86%55,839.0627.64%
GuangzhuEastSection
GuanghuiExpressway43,671,05620.98%101,783.8915.61%
HuiyanExpressway25,545,90420.09%10,660.5710.02%
GuangzhaoExpressway20,467,90025.02%26,335.1317.06%
JiangzhongExpressway25,015,753-4.08%15,813.19-10.59%
KangdaExpressway760,01628.61%14,483.875.06%
GangkangExpressway2,550,87733.04%11,693.5729.65%
GuangleExpressway19,825,2315.20%153,652.08-0.56%

Note：GuangfoExpresswaystoppedtollcollectionfrom00:00onMarch3,2022.Year-on-yearchangeofmainfinancialdata

InRMB

ThisreportperiodSameperiodlastyearYOYchange（%）Causechange
Operatingincome2,340,436,775.082,057,420,809.6813.76%
Operatingcost740,670,310.49696,143,722.506.40%
Administrativeexpenses80,023,845.7185,773,267.04-6.70%
Financialexpenses91,153,090.4787,302,056.624.41%
Incometaxexpenses369,040,383.81290,224,512.5327.16%
R&DInvestment81,651.821,368,887.22-94.04%ThemainR&Dprojectsinthecurrentperiodarestillintheearlystages.
Cashflowgeneratedbybusinessoperation,net2,013,917,191.701,443,551,266.3039.51%MainlyduetotheincreaseintollrevenueandtheimpactofgovernmentsubsidiesreceivedbytheBeijing-ZhuhaiExpressway.
Netcashflowgeneratedbyinvestment-634,590,288.73-274,972,125.19-130.78%MainlyduetotheincreaseincashoutflowduetotherenovationandexpansionoftheGuangzhusectionoftheBeijing-ZhuhaiExpressway.
Netcashflowgeneratedbyfinancing-389,241,866.55-80,767,682.59-381.93%Mainlyduetotherepaymentofmaturedebts
Netincreasingofcashandcashequivalents990,085,036.421,087,811,458.52-8.98%

MajorchangestotheprofitstructureorsourcesoftheCompanyinthereportingperiod

□Applicable√NotapplicableNone.ComponentofBusinessIncome

InRMB

ThisreportperiodSameperiodlastyearIncrease/decrease
AmountProportionAmountProportion
Totaloperatingrevenue2,340,436,775.08100%2,057,420,809.68100%13.76%
OnIndustry
Highwaytransportations2,310,707,369.5798.73%2,019,631,631.4198.16%14.41%
Other29,729,405.511.27%37,789,178.271.84%-21.33%
OnProduct
Highwaytransportations2,310,707,369.5798.73%2,019,631,631.4198.16%14.41%
Other29,729,405.511.27%37,789,178.271.84%-21.33%
OnArea
FokaiExpressway734,319,820.3331.38%636,965,610.5530.96%15.28%
JingzhuExpresswayGuangzhuSection558,390,597.9523.86%437,471,193.1621.26%27.64%
GuanghuiExpressway1,017,838,852.7643.49%880,413,820.7042.79%15.61%
Other29,729,405.511.27%37,789,178.271.84%-21.33%

SituationofIndustry,ProductandDistrictOccupyingtheCompany’sBusinessIncomeandOperatingProfitwithProfitover10%

√Applicable□Notapplicable

InRMB

TurnoverOperationcostGrossprofitrate(%)Increase/decreaseofrevenueinthesameperiodofthepreviousyear(%)Increase/decreaseofbusinesscostoverthesameperiodofpreviousyear(%)Increase/decreaseofgrossprofitrateoverthesameperiodofthepreviousyear(%)
OnIndustry
Highwaytransportations2,310,707,369.57726,266,759.5068.57%14.41%7.03%2.17%
OnIndustry
Highwaytransportations2,310,707,369.57726,266,759.5068.57%14.41%7.03%2.17%
OnArea
FokaiExpressway734,319,820.33241,299,076.0867.14%15.28%-2.79%6.11%
JingzhuExpresswayGuangzhuSection558,390,597.95161,090,051.4971.15%27.64%11.77%4.09%
GuanghuiExpressway1,017,838,852.76324,067,327.5368.16%15.61%20.26%-1.23%

Undercircumstancesofadjustmentinreportingperiodforstatisticscopeofmainbusinessdata,adjustedmainbusinessbasedonlatestonyear’sscopeofperiod-end.

□Applicable√NotapplicableIV.Non-corebusinessanalysis

√Applicable□Notapplicable

InRMB

AmountRatiointotalprofitNoteWhetherbesustainable
InvestmentIncome181,402,127.6711.60%ItisduetotheoperationaccumulationofparticipantcompaniesYes
Non-operatingincome2,148,292.850.14%MainlyinsuranceclaimsandroadpropertyclaimsNo
Non-operatingexpenses240,222.590.02%MainlyroadpropertyrepairexpensesNo
Creditimpairmentloss-45,626,953.18-2.92%MainlyduetothatGuangfoCompanyhasfullymadeanimpairmentprovisionforthesubstitutepaymentofmanagementandmaintenanceexpenses.No

V.ConditionofAssetandLiabilities

1.ConditionofAssetCausingSignificantChange

InRMB

EndofReportingperiodEndofsameperiodoflastyearChangeinpercentage(%)Reasonforsignificantchange
AmountAsapercentageoftotalassets(%)AmountAsapercentageoftotalassets(%)
Monetaryfund5,284,849,991.9024.61%4,290,581,490.7821.17%3.44%
Accountsreceivable108,862,469.850.51%108,368,797.560.53%-0.02%
Investmentrealestate2,557,585.690.01%2,668,144.930.01%0.00%
Long-termequityinvestment3,068,430,688.2214.29%2,923,368,667.8414.42%-0.13%
Fixedassets9,558,708,878.1144.51%10,098,252,638.0749.83%-5.32%
Constructioninprocess1,287,072,029.025.99%753,565,502.123.72%2.27%
Userightassets30,342,505.710.14%4,077,555.430.02%0.12%
Shore-termloans0.00%430,387,597.202.12%-2.12%
Long-termborrowing5,868,719,950.0027.33%5,566,595,350.0027.74%-0.14%
Leaseliabilities18,856,223.730.09%150,984.470.00%0.09%

2.Mainassetsoverseas

□Applicable√Notapplicable

3.AssetandLiabilitiesMeasuredbyFairValue

√Applicable□Notapplicable

InRMB

ItemsOpeningamountGain/LossonfairvaluechangeinthereportingperiodCumulativefairvaluechangerecordedintoequityImpairmentprovisionsinthereportingperiodPurchasedamountinthereportingperiodSoldamountinthereportingperiodOtherchangeClosingamount
Financialassets
1.Tradingfinancialassets(excludingderivativefinancialassets101,400,000.0080,000,000.00181,400,000.00
4.Otherequityinstrumentinvestment1,557,303,730.98236,734,309.371,552,643,487.90
Totaloftheabove1,658,703,730.980.00236,734,309.370.0080,000,000.000.000.001,734,043,487.90
Financialliabilities0.000.00

OtherchangeDidanysignificantchangeoccurtotheattributeoftheCompany’smainassetmeasurementduringthereportingperiod?

□Yes√No

4.AssetsrightrestrictiontillendofreportingperiodThebalanceofrestrictedbankdepositsattheendoftheperiodwasRMB1,221,200.00,whichwasthelandreclamationfunddepositedintothefundcustodyaccountforthereconstructionandexpansionprojectofsanbaotoshuikousectionofFokaiExpressway.VI.Investmentsituation

1.General

√Applicable□Notapplicable

CurrentInvestmentAmount(Yuan)Sameperiodoflastyear(Yuan)Changerate
592,619,036.60250,000,000.00137.68%

2.ConditionofAcquiringSignificantShareRightInvestmentduringtheReportPeriod

?Applicable?Notapplicable

3.SituationoftheSignificantNon-equityInvestmentUndergoingintheReportPeriod?Applicable□Notapplicable

InRMB

ProjectnameInvestmentmethodFixedinvestmentsornotIndustryinvolvedininvestmentprojectsInvestmentamountinthisreportingperiodAccruedActualInvestmentAmountuptotheEndofReportingPeriodCapitalSourceProjectscheduleAnticipatedincomeAccruedRealizedIncomeuptotheEndofReportingPeriodReasonsfornotReachingthePlannedScheduleandAnticipatedIncomeDisclosuredateDisclosureIndex
Nansha-ZhuhaiSectionofGuangzhou-MacaoExpresswayWasrebuiltandExpandedSelf-builtYesExpressway467,619,036.601,021,162,978.77SelfandLoan7.43%NoOctober22,2022AnnouncementofResolutionoftheSecond(Provisional)MeetingtheTenthBoardofDirectors
Total------467,619,036.601,021,162,978.77----0.000.00------

4.InvestmentofFinancialAsset

（1）Securitiesinvestment

√Applicable□Notapplicable

InRMB

SecuritycategorySecuritycodeStockAbbreviation:InitialinvestmentcostModeofaccountingmeasurementBookvaluebalanceatthebeginningofthereportingChangesinfairvalueoftheCumulativefairvaluechangesinequityPurchaseamountintheSaleamountinthethisGain/lossofthereportingperiodBookvaluebalanceattheendofthereportingAccountingitemsSourcesoffunds
periodthisperiodthisperiodperiodperiod
Domesticandforeignstocks601818EverbrightBank517,560,876.80FVM722,232,678.080.00204,671,801.280.000.0044,698,439.36722,232,678.08OtherequityinstrumentinvestmentsSelf
Total517,560,876.80--722,232,678.080.00204,671,801.280.000.0044,698,439.36722,232,678.08----
DisclosureDateofAnnouncementonSecuritiesInvestmentApprovedbytheBoardofDirectorsJuly22,2009
DisclosureDateofAnnouncementonSecuritiesInvestmentApprovedbytheShareholdersMeeting(Ifany)August7,2009

（2）InvestmentinDerivatives

□Applicable√NotapplicableTheCompanyhadnoinvestmentinderivativesinthereportingperiod.

5.Applicationoftheraisedcapital

□Applicable√NotapplicableTheCompanyhadnoapplicationoftheraisedcapitalinthereportingperiod.VII.Salesofmajorassetsandequity

1.Salesofmajorassets

□Applicable√NotapplicableTheCompanyhadnosalesofmajorassetsinthereportingperiod.

2.Salesofmajorequity

□Applicable√Notapplicable

VIII.AnalysisoftheMainShareHoldingCompaniesandShareParticipatingCompanies

√Applicable□NotapplicableSituationofMainSubsidiariesandtheJoint-stockCompanywithover10%netprofitinfluencingtotheCompany

InRMB

CompanyNameCompanytypeLeadingproductsandservicesRegisteredcapitalTotalassetsNetassetsOperatingIncomeOperatingprofitNetProfit
JingzhuExpresswayGuangzhuSectionCo.,Ltd.SubsidiaryTheoperationandmanagementofGuangzhuExpressway2.856billionyuan3,846,825,629.091,295,606,246.92574,690,822.31374,160,147.14280,406,973.97
GuangdongGuanghuiExpresswayCo.,Ltd.SharingcompanyInvestmentinandconstructionofGuanghuiExpresswayCo.,Ltd.andsupportingfacilities,thetollcollectionandmaintenancemanagementofGuanghuiExpressway,TheGuanghuiExpressway'ssupportinggasstation,salvation,vehiclemaintenance,vehicletransport,catering,warehousinginvestmentanddevelopment2.352billionyuan4,623,129,743.354,265,827,694.331,024,822,529.29687,494,026.11507,331,189.13

Subsidiariesobtainedordisposedinthereportingperiod

□Applicable√NotapplicableParticularsabouttheMutualholdingcompanies

TheoperatingprofitofBeijingZhuhaiExpresswayGuangzhuSectionCo.,Ltd.increasedby44.04%year-on-yearfromJanuarytoJune2023,mainlyduetothegradualimprovementoftheeconomyandasignificantyear-on-yearincreaseintollrevenue.Thereasonfortheyear-on-yearchangeinnetprofitisthesameasbefore.IX．StructuredvehiclecontrolledbytheCompany

□Applicable√NotapplicableX.RisksfacingtheCompanyandcountermeasures

Thecompany’sprofitsmainlycomefromtheexpresswaytollsrevenueandthetollchargingstandardsshallbeexaminedbythetrafficauthorityoftheprovincial,autonomousregionandthedirect-controlledmunicipalitypeople’sgovernmentstogetherwiththesame-levelpricingauthorityandthensubmittedtothesame-levelpeople’sgovernmentforapproval.Therefore,thechargingpriceadjustmenttrendandthepossibilityofthechargingpriceadjustmentuponrisingofthecommoditypriceandthecompanycostinthefuturearestillsubjecttorelevantnationalpoliciesandtheapprovalofthegovernmentaldepartment.Andthecompanycan’tadjustthechargingstandardspromptlybasedonitsownoperationcostorthemarketsupply-demandchanges.Inconclusion,thechargingpolicieschangeandthechargingstandardsadjustmenthavetheinfluenceontheexpresswaybusinessofthecompanytosomeextent.

IV.CorporateGovernanceI.AnnualGeneralMeetingandProvisionalShareholders’MeetingsintheReportingPeriod

1.AnnualGeneralMeeting

MeetingTypeInvestorparticipationratioConveneddateDisclosuredateIndextodisclosedinformation
2022Shareholders’generalmeetingAnnualShareholders’GeneralMeeting66.79%June28,2023June29,20231.ThemeetingexaminedandadoptedtheProposalConcerningFinalAccountingReportfor2022.2.ThemeetingexaminedandadoptedtheProposalConcerningPreplanforProfitDistributionfor2022.3.ThemeetingexaminedandadoptedtheProposalConcerningOverallbudgetreportoftheCompanyfor2023.4.ThemeetingexaminedandadoptedtheWorkReportoftheBoardofDirectorsfor2022.5.ThemeetingexaminedandadoptedtheWorkReportofthesupervisoryCommitteefor2022.6.ThemeetingexaminedandadoptedAnnualReportfor2022anditssummary.7.ThemeetingexaminedandadoptedtheProposalforHiringthe2023AnnualFinancialReportAuditAgency.8.ThemeetingexaminedandadoptedtheProposalforHiringthe2023InternalControlAuditInstitution.9.ThemeetingexaminedandadoptedtheProposalontheInvestmentPlanfor2023.10.ThemeetingexaminedandadoptedtheProposalonAmendingPartoftheArticlesofAssociationoftheCompany.

2.PreferredshareholderswiththerestorationofvotingrightsmadearequestfortheSpecialMeetingofShareholders

□Applicable√NotapplicableII.Changeinsharesheldbydirectors,supervisorsandseniorexecutives

√Applicable□Notapplicable

NamePositionsTypesDateReason
ZhuQijunDeputyGeneralManagerAppointmentApril27,2023Appointment

III.Pre-planforprofitallocationandturningcapitalreserveintosharecapitalforthereportingperiod

□Applicable√NotapplicableTheCompanyplannednottodistributecashdividendandbonusshare,andnottoconvertcapitalreservesintosharecapitalinhalfyear.IV.Implementationofanyequityincentiveplan,employeestockownershipplanorotherincentivemeasuresforemployees

□Applicable√Notapplicable

None.

V.Environmental&SocialResponsibilityI.SignificantenvironmentalissuesWhethertheCompanyoranyofitssubsidiariesisidentifiedasakeypolluterbytheenvironmentauthorities

□Yes√NoAdministrativepenaltiesforenvironmentalproblemsduringthereportingperiod

None。

Refertootherenvironmentalinformationdisclosedbykeypollutantdischargeunits

None

Measuresandeffectstakentoreduceitscarbonemissionsduringthereportingperiod

□Applicable√NotapplicableReasonsfornotdisclosingotherenvironmentalinformationNoneII.Socialresponsibilities

Inthefirsthalfof2023,theCompanyadheredtotheessenceoftheenterprise,deepenedcorporategovernance,andactivelyfulfilledtheresponsibilityofstate-ownedenterpriseswhilepromotingthehigh-qualitydevelopmentofenterprises.Inthefirsthalfoftheyear,theCompanyactivelyrespondedtogovernmentpolicies,providedpreferentialexemptionsandreductionsinaccordancewithlawsandregulations,andreducedthetransportationcostsofenterprisesandthemasstravelcosts;TheCompanycontinuestoimplementthetollexemptionpolicyforpassengercarswithlessthansevenseatsonhighwaysinmajorholidays,andimplementtheintermittentfreereleaseandpreferentialpoliciesforgreenchannels,thustoeffectivelyachieve"recognitioninplace,personnelinplace,responsibilityinplace,andmeasuresinplace",andsuccessfullycompletevariousworktoensuresafety,smoothflowandexcellentservice.

VI.ImportantEvents

1.Thefulfilledcommitmentsinthereportingperiodandunder-fulfillmentcommitmentsbytheendofthereportingperiodmadebythecompany,shareholder,actualcontroller,acquirer,director,supervisor,seniormanagementpersonnelandotherrelatedparities.

√Applicable□Notapplicable

CommitmentCommitmentmakerTypeContentsTimeofmakingcommitmentPeriodofcommitmentFulfillment
CommitmentonsharereformGuangdongProvincialFreewayCo.,Ltd.PerformancecommitmentThepredictednetprofitofGuangdongGuanghuiExpresswayCo.,Ltd.afterdeductingnon-recurringgainsandlossesin2020,2021and2022(hereinafterreferredtoas"predictednetprofit")isRMB652,477,500,RMB1,112,587,300andRMB1,234,200,900respectively.Accordingtothespecialauditopinionissuedbytheaccountingfirm,iftheaccumulatedrealizednetprofitofGuangdongGuangzhou-HuizhouExpresswayCo.,Ltd.attheendofanyfiscalyeardoesnotreachtheaccumulatedpredictednetprofitwithinthecompensationperiod,GuangdongProvincialFreewayCo.,Ltd.willcompensateincashasagreed.November25,20202020-2022Proposedchangecommitment
Completedontime(Y/N)Yes

II.Particularsaboutthenon-operatingoccupationoffundsbythecontrollingshareholder

□Applicable√NotapplicableNoneIII.Illegalprovisionofguaranteesforexternalparties

□Applicable√NotapplicableNone

IV.EngagementanddisengagementofCPAsfirm

Whetherthesemi-annualfinancialreporthasbeenaudited

□Yes√NoThesemi-annualfinancialreportoftheCompanyhasnotbeenauditedV.Notesfor“non-standardauditreport”ofCPAsfirmduringtheReportingPeriodbyboardofdirectorsandsupervisoryboard

□Applicable√NotapplicableVI.Notesfortherelatedinformationof“non-standardauditreports”lastyearbyboardofdirectors

□Applicable√NotapplicableVII.Bankruptcyandrestructuring

□Applicable√NotapplicableNosuchcasesinthereportingperiod.VIII.LitigationsandarbitrationsSignificantlitigationsandarbitrations

□Applicable√NotapplicableNosuchcasesinthereportingperiod.Otherlawsuits

□Applicable√NotapplicableIX.Punishmentsandrectifications

□Applicable√NotapplicableX.CreditconditionsoftheCompanyaswellasitscontrollingshareholderandactualcontroller

□Applicable√NotapplicableXI.Materialrelatedtransactions

1.Relatedtransactionsinconnectionwithdailyoperation

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

2.Related-partytransactionsarisingfromassetacquisitionorsold

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

3.Related-partytransitionswithjointinvestments

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

4.Creditsandliabilitieswithrelatedparties

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

5.Transactionswithrelatedfinancecompany,especiallyonethatiscontrolledbytheCompany

√Applicable□NotapplicableDepositbusiness

RelatedpartyRelationshipMaximumdailydepositlimitd（Tenthousandyuan）DepositinterestraterangeBeginningbalance（Tenthousandyuan）TheamountincurredEndingbalance（Tenthousandyuan）
Totaldepositamountofthecurrentperiod（Tenthousandyuan）Totalamountwithdrawninthecurrentperiod（Tenthousandyuan）
GuangdongCommunicationsGroupFinanceCo.,LtdControlledbythesameparentcompany300,0000.35%-2.85%239,396.61298,189.83254,255.77283,330.67

Loanbusiness

RelatedpartyRelationshipLoanlimit（Tenthousandyuan）LoantinterestraterangeBeginningbalance（Tenthousandyuan）TheamountincurredEndingbalance（Tenthousandyuan）
Totalloanamountforthecurrentperiod（Tenthousandyuan）Totalrepaymentamountofthisperiod（Tenthousandyuan）
GuangdongCommunicationsGroupFinanceCo.,LtdControlledbythesameparentcompany400,0002.95%-3.40%62,859.33659.1043,797.1319,721.3

Creditextensionorotherfinancialservices

RelatedpartyRelationshipBusinesstypeTotalamount（Tenthousandyuan）Actualamountincurred（Tenthousandyuan）
GuangdongCommunicationsGroupFinanceCo.,ControlledbythesameparentcompanyCreditextension220,00019,700

6.TransactionswithrelatedfinancecompanycontrolledbytheCompany

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

7.Othersignificantrelated-partytransactions

√Applicable□Notapplicable

1.TheProposalonConcerningtheCompanyDailyAssociatedTransactionsPredictedof2023wasreviewdandapprovedinthe7thmeetingoftheTenthboardofdirectorsoftheCompany,Agreeonthepredicteddailyassociatedtransactionsforthecompanyheadquarters,wholly-ownedandholdingsubsidiariesof2023,whoseamountintotalisRMB58.6612million.

2.TheProposalonSigningtheOfficePropertyLeaseContractofthe45thandthe46thFloorsofLitongPlazawasreviewdandapprovedinthe7thmeetingoftheTenthboardofdirectorsoftheCompany,It’sagreedthattheCompanywillcontinuetoleasetheentire43rdfloorand44thfloorunitsofLitongPlaza(self-numberedfloors45and46)asofficespaceforusefromGuangdongLitongDevelopmentInvestmentCo.,Ltd,withaleaseperiodof3yearsfromMay5,2023toMay4,2026.ThemonthlyrentstandardisRMB908,133.47fortheperiodfromMay5,2023toMay4,2024,themonthlyrentstandardisRMB935,400.05fortheperiodfromMay5,2024toMay4,2025,andthemonthlyrentfortheperiodfromMay5,2025toMay4,2026isRMB963,449.61.Thewebsitetodisclosetheinterimannouncementsonsignificantrelated-partytransactions

LtdDescriptionofprovisionalannouncement

DescriptionofprovisionalannouncementDateofdisclosingprovisionalannouncementDescriptionofthewebsitefordisclosingprovisionalannouncements
EstimatesannouncementoftheDailyRelatedPartyTransactionof2023March21,2023www.cninfo.com.cn
AnnouncementofrelatedpartytransactionMarch21,2023www.cninfo.com.cn

XII.Significantcontractsandexecution

1.Entrustments,contractingandleasing

（1）Entrustment

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

（2）Contracting

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

（3）Leasing

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

2.SignificantGuarantees

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

3.Financemanagementoncommission

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

4.Othersignificantcontract

□Applicable√NotapplicableNosuchcasesinthereportingperiod.XIII.Explanationonothersignificantevents

√Applicable□Notapplicable

In2020,theCompanyacquiredthe21%stakeofGuangdongGuanghuiExpresswayCo.,Ltd.heldby

GuangdongProvincialFreewayCo.,Ltd.incash.TheCompanysignedthe"ProfitCompensationAgreementbetweenGuangdongProvincialExpresswayDevelopmentCo.,Ltd.andGuangdongProvincialFreeway

Co.,Ltd."(hereinafterreferredtoasthe"ProfitCompensationAgreement")withtheGuangdongProvincialFreewayCo.,Ltd.andGuangdongExpressway,whichmadecommitmentonthefutureprofitabilityofGuanghui

Company.

Inviewofthefactthatduringtheperformancecompensationperiod,duetotheimpactofdomesticmacroeconomicfluctuations,thenetprofitrealizedbyGuanghuiCompanyafterdeductingnon-recurringprofitsandlossesduringtheperformancecompensationperioddidnotreachthecumulativeforecastnetprofit,whichtriggeredthecompensationobligationstipulatedintheProfitCompensationAgreement.Inordertosafeguardthelong-terminterestsoftheCompanyanditsshareholders,especiallysmallandmedium-sizedshareholders,takingintoaccounttherelevantarrangementsofthetwopartiesundertheoriginalagreement,andinaccordancewiththerelevantrequirementsoftheAdministrativeMeasuresfortheRestructuringofMajorAssetsofListedCompaniesandtheconsultationbetweenthepartiestotheoriginalagreement,the"ProposalonChangingthePerformanceCommitmentofMajorAssetRestructuringProjectin2020andSinningtheSupplementaryAgreementtotheProfitCompensationAgreement"wasdeliberatedandadoptedinthe10thmeeting(interim)ofthe10thBoardofDirectorsoftheCompany,agreeingtochangetheperformancecommitmentofmajorassetrestructuringprojectin2020andsigntheSupplementaryAgreementtotheProfitCompensationAgreementwiththeProvincialExpressway.Theperformancecompensationperiodforthisrestructuringhadbeenadjustedto2020,2021,and2023.TheProvincialExpresswaypromisedthatthenetprofitaccumulatedbyGuanghuiExpresswayafterdeductingnon-recurringprofitsandlossesinthethreeyearsof2020,2021and2023shallnotbelessthan2,999,265,700yuan.

[The"ProposalonChangingthePerformanceCommitmentofMajorAssetRestructuringProjectin2020andSinningtheSupplementaryAgreementtotheProfitCompensationAgreement"wasdeliberatedandpassedintheCompany'sfirstextraordinarygeneralmeetingofshareholdersin2023.】

Fordetailsofthematter,pleaserefertothe"AnnouncementonChangingthePerformanceCommitmentofMajorAssetRestructuringProjectin2020"disclosedonCninfoInformationNetwork(www.cninfo.com.cn)(AnnouncementNo.:2023-18)onAugust8,2023,andthe"AnnouncementofResolutionoftheFirstProvisionalGeneralMeetingofShareholdersin2023"disclosedonAugust24,2023.

XIV.SignificanteventofsubsidiaryoftheCompany

□Applicable√Notapplicable

VII.ChangeofsharecapitalandshareholdingofPrincipalShareholdersI.Changesinsharecapital

1.Changesinsharecapital

Inshares

BeforethechangeIncrease/decrease（+，-）AftertheChange
AmountProportionShareallotmentBonussharesCapitalizationofcommonreservefundOtherSubtotalQuantityProportion
1.Shareswithconditionalsubscription438,833,39520.99%-5,850-5,850438,827,54520.99%
1.State-ownedshares410,105,73819.61%410,105,73819.61%
2.State-ownedlegalpersonshares21,712,7381.04%21,712,7381.04%
3.Otherdomesticshares7,014,9190.34%-5,850-5,8507,009,0690.34%
Including：DomesticLegalpersonshares6,543,9360.31%-4,214-4,2146,539,7220.31%
Domesticnaturalpersonshares470,9830.02%-1,636-1,636469,3470.02%
4.Foreignshares00.00%00.00%
Including：Foreignlegalpersonshares00.00%00.00%
Foreignnaturalpersonshares00.00%00.00%
II.Shareswithunconditionalsubscription1,651,972,73179.01%5,8505,8501,651,978,58179.01%
1.CommonsharesinRMB1,303,324,05662.34%5,8505,8501,303,329,90662.34%
2.Foreignsharesin348,648,67516.68%348,648,67516.68%
domesticmarket
3.Foreignsharesinforeignmarket00.00%00.00%
4.Other00.00%00.00%
III.Totalofcapitalshares2,090,806,126100.00%002,090,806,126100.00%

Reasonsforsharechanged

√Applicable□Notapplicable

1.Duringthereportingperiod,4,214sharesof"domesticlegalpersonshareholding"wereconvertedinto"domesticnaturalpersonshareholding".

2.Duringthereportingperiod,the1950"restrictedsharesheldbydomesticnaturalpersons"heldbytheresigneddirectorMr.DuJunwereconvertedinto"unrestrictedshares".ApprovalofChangeofShares

□Applicable√NotapplicableOwnershiptransferofsharechanges

□Applicable√NotapplicableImplementationprogressofsharesbuy-back

□Applicable√NotapplicableImplementationprogressofreducingholdingsofsharesbuy-backbycentralizedbidding

□Applicable√NotapplicableInfluenceonthebasicEPSanddilutedEPSaswellasotherfinancialindexesofnetassetspershareattributabletocommonshareholdersofCompanyinlatestyearandperiod

□Applicable√NotapplicableOtherinformationnecessarytodiscloseforthecompanyorneedtodisclosedunderrequirementfromsecurityregulators

□Applicable√Notapplicable

2.Changeofshareswithlimitedsalescondition

√Applicable□Notapplicable

Inshares

ShareholderNameInitialRestrictedSharesNumberofUnrestrictedSharesThisTermNumberofIncreasedRestrictedSharesThisTermRestrictedSharesintheEndoftheTermReasonforRestrictedSharesDateofRestrictionRemoval
DuJun5,8505,8500OutgoingexecutiveslockedupsharesJune2023
Total5,8505,85000----

II.Securitiesissueandlisting

□Applicable√Notapplicable

III.Shareholdersandactualcontrollingshareholder

1.Numberofshareholdersandshareholding

InShares

Totalnumberofcommonshareholdersattheendofthereportingperiod49,752Totalnumberofpreferredshareholdersthathadrestoredthevotingrightattheendofthereportingperiod(ifany)(note8)0
Particularsaboutsharesheldabove5%byshareholdersortoptenshareholders
ShareholdersNatureofshareholderProportionofsharesheld（%）Numberofsharesheldatperiod-endChangesinreportingperiodAmountofrestrictedsharesheldAmountofun-restrictedsharesheldNumberofsharepledged/frozen
StateofshareAmount
GuangdongCommunicationGroupCo.,LtdState-ownedlegalperson24.56%513,485,480410,105,738103,379,742
GuangdongHighwayConstructionCo.,Ltd,State-ownedlegalperson22.30%466,325,020466,325,020
ShangdongExpresswayInvestmentDevelopmentCo.,Ltd.State-ownedlegalperson10.10%211,069,245211,069,245
TibetHetaiEnterpriseManagementCo.,Ltd.State-ownedlegalperson4.84%101,214,574101,214,574
GuangdongProvincialFreewayCo.,Ltd.State-ownedlegalperson2.53%52,937,49119,582,228.0033,355,263
HKSCCOverseaslegalperson0.92%19,291,61219,291,612
FengWuchuDomesticnaturalpersonshares0.80%16,678,821-6,695,58416,678,821
XinyueCo.,Ltd.Overseaslegalperson0.63%13,201,08613,201,086
OrientsecuritiesState-ownedlegalperson0.52%10,775,91319,40010,775,913
HappylifeinsuranceCo.,Ltd.-DividendOther0.50%10,438,130-12,547,10010,438,130
Strategicinvestororgenerallegalpersonbecomingtop-10ordinaryshareholderduetorightsissue(ifany)(seenote3)None
Relatedoracting-in-concertpartiesamongshareholdersaboveGuangdongCommunicationGroupCo.,Ltd.istheparentcompanyofGuangdongHighwayConstructionCo.,Ltd.，GuangdongProvincialFreewayCo.,Ltd.andXinyueCo.,Ltd.,ItisunknownwhetherthereisrelationshipbetweenothershareholdersandwhethertheyarepersonstakingconcertedactionspecifiedintheRegulationsonDisclosureofInformationaboutChangeinShareholdingofShareholdersofListedCompanies.
Aboveshareholdersentrustingorentrustedwithvotingrights,orwaivingvotingrightsNone
Top10shareholdersincludingthespecialaccountforrepurchase(ifany)(seenote10)None
Shareholdingoftop10shareholdersofunrestrictedshares
NameoftheshareholderQuantityofunrestrictedsharesheldattheendofthereportingperiodSharetype
SharetypeQuantity
GuangdongHighwayConstructionCo.,Ltd,466,325,020.00RMBCommonshares466,325,020.00
ShangdongExpresswayInvestmentDevelopmentCo.,Ltd.211,069,245.00RMBCommonshares211,069,245.00
GuangdongCommunicationGroupCo.,Ltd103,379,742.00RMBCommonshares103,379,742.00
TibetHetaiEnterpriseManagementCo.,Ltd.101,214,574.00RMBCommonshares101,214,574.00
GuangdongProvincialFreewayCo.,Ltd.33,355,263.00RMBCommonshares33,355,263.00
HKSCC19,291,612.00RMBCommonshares19,291,612.00
FengWuchu16,678,821RMBCommonshares13,931,458
Foreignsharesplacedindomestic2,747,363
XinyueCo.,Ltd.13,201,086Foreignsharesplacedindomestic13,201,086
Orientsecurities10,775,913.00RMBCommonshares10,775,913.00
HappylifeinsuranceCo.,Ltd.-Dividend10,438,130.00RMBCommonshares10,438,130.00
Explanationonassociatedrelationshiporconsistentactionamongthetop10shareholdersofnon-restrictednegotiablesharesandthatbetweenthetop10shareholdersofnon-restrictednegotiablesharesandtop10shareholdersGuangdongCommunicationGroupCo.,Ltd.istheparentcompanyofGuangdongHighwayConstructionCo.,Ltd.，GuangdongProvincialFreewayCo.,Ltd.andXinyueCo.,Ltd.,Itisunknownwhetherthereisrelationshipbetweenothershareholdersandwhethertheyarepersonstakingconcertedaction
specifiedintheRegulationsonDisclosureofInformationaboutChangeinShareholdingofShareholdersofListedCompanies.
Top10ordinaryshareholdersconductingsecuritiesmargintrading(ifany)(seenote4)None

Whethertoptencommonshareholdersortoptencommonshareholderswithun-restrictsharesheldhaveabuy-backagreementdealinginreportingperiod.

□Yes√NoThetoptencommonshareholdersortoptencommonshareholderswithun-restrictsharesheldoftheCompanyhavenobuy–backagreementdealinginreportingperiod.IV.Changesinshareholdingsofdirectors,supervisorsandexecutiveofficers

□Applicable√NotapplicableTherewasnochangeinshareholdingofdirectors,supervisorsandseniormanagementstaffs,forthespecificinformationpleaserefertothe2022AnnualReportV.ChangeofthecontrollingshareholderortheactualcontrollerChangeofthecontrollingshareholderinthereportingperiod

□Applicable√NotApplicableTherewasnoanychangeofthecontrollingshareholderoftheCompanyinthereportingperiod.Changeoftheactualcontrollerinthereportingperiod

□Applicable√NotapplicableTherewasnoanychangeoftheactualcontrolleroftheCompanyinthereportingperiod.

VIII.SituationofthePreferredShares

□Applicable√NotapplicableTheCompanyhadnopreferredsharesinthereportingperiod

IX.CorporateBond

√Applicable□NotapplicableI.Enterprisebond

□Applicable√NotapplicableNosuchcasesinthereportingperiod.II.Corporatebond

□Applicable√NotapplicableNosuchcasesinthereportingperiod.

III.Debtfinancinginstrumentsofnon-financialenterprises

√Applicable□Notapplicable

1.Basicinformation

InRMB10,000

BondnameBondshortnameBondcodeIssuedayValuedateDuedayBondbalanceInterestrateServicingwayTrading
GuangdongProvincialExpresswayDevelopmentCo.,Ltd.2019firstphasemedium-termnotes19GuangdongExpresswayMTN001101900252February27,2019March1,2019March1,2024679,703,854.664%Duepaymentsonceayear,Theprincipalandthelastinstalmentinterestarepaidinonelumpsumontheredemptiondate.Interbankmarket
GuangdongProvincialExpresswayDevelopmentCo.,Ltd.2020firstphasemedium-termnotes20GuangdongExpresswayMTN001102000367March13,2020March17,2020March17,2025749,147,101.953%Duepaymentsonceayear,Theprincipalandthelastinstalmentinterestarepaidinonelumpsumontheredemptiondate.Interbankmarket
ApplicabletradingmechanismCirculationandtransferinthenationalinter-

Overdueandunpaidbonds

□Applicable√Notapplicable

2.Triggerandimplementationofoptionclausesandinvestorprotectionclausesoftheissuerorinvestor

□Applicable√Notapplicable

3.Adjustmentofcreditratingresultsduringthereportingperiod

□Applicable√Notapplicable4Theimplementationandchangesofguarantee,debtrepaymentplanandotherdebtrepaymentguaranteemeasuresduringthereportingperiodandtheirimpactontherightsandinterestsofbondinvestors

□Applicable√Notapplicable

IV.Convertiblebond

□Applicable√NotapplicableNosuchcasesinthereportingperiodV.Thelosswithinthescopeofconsolidatedstatementsinthereportingperiodexceeded10%ofthenetassetsattheendofthepreviousyear

□Applicable√NotapplicableVI.MainaccountingdataandfinancialindicatorsoftheCompanyinrecenttwoyearsbytheendofthereportingperiod

InRMB10,000

ItemsAttheendofthereportingperiodAttheendoflastyearAtthesametimerateofchange
Currentratio1.982.90-31.72%
Debtratio46.25%43.90%2.35%
Quickratio1.982.89-31.49%
AmountofthisperiodAmountoflastperiodAtthesametimerateofchange
Netprofitafterdeductingnon-recurringprofitandloss91,368.3674,304.0222.97%
EBITDAtotaldebtratio28.03%29.29%-1.26%
Timeinterestearnedratio12.5411.945.03%
Cashinterestguaranteetimes14.8612.5718.19%
EBITDATimeinterestearnedratio16.7415.964.89%
Repaymentofdebt(%)100.00%100.00%
Paymentofinterest(%)100.00%100.00%

X.FinancialReportI.AuditreportHasthissemi-annualreportbeenaudited?

□Yes√NoThesemi-annualreportwasnotaudited.II.FinancialstatementsCurrencyunitforthestatementsinthenotestothesefinancialstatements:RMB

1.ConsolidatedbalancesheetPreparedby:GuangdongProvincialExpresswayDevelopmentCo.,Ltd.

June30,2023

InRMB

ItemsJune30,2023January1,2023
Currentasset：
Monetaryfund5,284,849,991.904,290,581,490.78
Settlementprovision
Outgoingcallloan
Transactionalfinancialassets
Derivativefinancialassets
Notesreceivable
Accountreceivable108,862,469.85108,368,797.56
Financingofreceivables
Prepayments4,797,746.857,785,192.95
Insurancereceivable
ProvisionsofReinsurancecontractsreceivable
Otheraccountreceivable
Including：Interestreceivable56,736,432.7634,456,244.64
Dividendreceivable
Otherreceivable45,903,912.261,205,472.90
Repurchasingoffinancialassets
Inventories
Contractassets
Assetsheldforsales
Non-currentassetduewithin1year
Othercurrentasset34,733.272,042,395.28
Totalofcurrentassets5,455,281,374.634,443,234,121.21
Non-currentassets：
Loansandpaymentonother’sbehalfdisbursed
ItemsJune30,2023January1,2023
Creditor'srightinvestment
Othercreditor'srightinvestment
Long-termreceivable
Longtermshareequityinvestment3,068,430,688.222,923,305,042.30
Otherequityinstrumentsinvestment1,552,643,487.901,557,303,730.98
Othernon-currentfinancialassets181,400,000.00101,400,000.00
Propertyinvestment2,557,585.692,668,144.93
Fixedassets9,558,708,878.1110,098,252,638.07
Constructioninprogress1,287,072,029.02753,565,502.12
Productionphysicalassets
Oil&gasassets
Userightassets30,342,505.714,077,555.43
Intangibleassets234,050,221.33246,772,471.44
Developmentexpenses
Goodwill
Long-germexpensestobeamortized
Deferredincometaxasset46,836,719.58129,044,978.46
Othernon-currentasset59,768,581.588,374,778.84
Totalofnon-currentassets16,021,810,697.1415,824,764,842.57
Totalofassets21,477,092,071.7720,267,998,963.78
Currentliabilities
Short-termloans430,387,597.20
LoanfromCentralBank
Borrowingfunds
Transactionalfinancialliabilities
Derivativefinancialliabilities
Notespayable
Accountpayable167,332,578.88197,788,782.77
Advancereceipts3,252,887.092,718,756.97
Contractliabilities
Sellingofrepurchasedfinancialassets
Deposittakingandinterbankdeposit
Entrustedtradingofsecurities
Entrustedsellingofsecurities
Employees’wagepayable21,219,186.5820,660,328.60
Taxpayable163,676,885.0372,307,773.41
Otheraccountpayable1,044,725,398.43191,167,560.23
Including：Interestpayable
Dividendpayable920,558,170.1759,994,517.46
Feesandcommissionspayable
Reinsurancefeepayable
Liabilitiesheldforsales
Non-currentliabilityduewithin1year851,123,675.32117,011,466.96
Othercurrentliability500,564,930.33500,723,556.23
ItemsJune30,2023January1,2023
Totalofcurrentliability2,751,895,541.661,532,765,822.37
Non-currentliabilities：
Reservefundforinsurancecontracts
Long-termloan5,868,719,950.005,566,595,350.00
Bondpayable749,147,101.951,428,381,232.94
Including：preferredstock
Sustainabledebt
Leaseliability18,856,223.73150,984.47
Long-termpayable2,022,210.112,517,493.12
Long-termremunerationpayabletostaff
Expectedliabilities
Deferredincome237,249,225.2561,082,981.63
Deferredincometaxliability305,873,349.54307,825,916.58
Othernon-currentliabilities
Totalnon-currentliabilities7,181,868,060.587,366,553,958.74
Totalofliability9,933,763,602.248,899,319,781.11
Owners’equity
Sharecapital2,090,806,126.002,090,806,126.00
Otherequityinstruments
Including：preferredstock
Sustainabledebt
Capitalreserves743,059,586.56743,133,557.03
Less：Sharesinstock
Othercomprehensiveincome179,248,772.69170,633,656.67
Specialreserve
Surplusreserves1,373,056,469.021,373,056,469.02
Commonriskprovision
Retainedprofit4,688,808,520.144,698,029,354.08
Totalofowner’sequitybelongtotheparentcompany9,074,979,474.419,075,659,162.80
Minorityshareholders’equity2,468,348,995.122,293,020,019.87
Totalofowners’equity11,543,328,469.5311,368,679,182.67
Totalofliabilitiesandowners’equity21,477,092,071.7720,267,998,963.78

LegalRepresentative:MiaoDeshanGeneralManager:WangChunhuaPersoninchargeofaccounting：LuMing

AccountingDeptLeader:ZhouFang

2.ParentCompanyBalanceSheet

InRMB

ItemsJune30,2023January1,2023
Currentasset：
Monetaryfund2,707,888,802.081,813,035,761.84
Transactionalfinancialassets
ItemsJune30,2023January1,2023
Derivativefinancialassets
Notesreceivable
Accountreceivable21,127,358.7323,817,016.30
Financingofreceivables
Prepayments2,809,613.755,515,813.54
Otheraccountreceivable1,286,164,460.201,542,022,671.18
Including：Interestreceivable
Dividendreceivable45,903,912.2636,905,472.90
Inventories
Contractassets
Assetsheldforsales
Non-currentassetduewithin1year
Othercurrentasset111,143.99
Totalofcurrentassets4,017,990,234.763,384,502,406.85
Non-currentassets：
Creditor'srightinvestment
Othercreditor'srightinvestment
Long-termreceivable
Longtermshareequityinvestment6,560,494,196.196,096,415,643.96
Otherequityinstrumentsinvestment1,552,643,487.901,557,303,730.98
Othernon-currentfinancialassets
Propertyinvestment2,305,447.442,416,006.68
Fixedassets5,107,546,847.795,299,569,148.92
Constructioninprogress208,907,444.68152,388,974.47
Productionphysicalassets
Oil&gasassets
Userightassets29,423,746.223,069,576.00
Intangibleassets128,646,097.36132,991,895.23
Developmentexpenses
Goodwill
Long-germexpensestobeamortized
Deferredincometaxasset41,695,083.71123,579,950.33
Othernon-currentasset
Totalofnon-currentassets13,631,662,351.2913,367,734,926.57
Totalofassets17,649,652,586.0516,752,237,333.42
Currentliabilities
Short-termloans
Transactionalfinancialliabilities
Derivativefinancialliabilities
Notespayable
Accountpayable84,341,061.5994,446,623.15
Advancereceipts752,954.28250,984.75
ContractLiabilities
Employees’wagepayable7,395,204.748,103,399.09
Taxpayable5,618,530.694,643,917.73
ItemsJune30,2023January1,2023
Otheraccountpayable1,332,431,588.92362,996,135.95
Including：Interestpayable
Dividendpayable920,558,170.1725,694,517.46
Liabilitiesheldforsales
Non-currentliabilityduewithin1year796,835,939.08116,904,509.53
Othercurrentliability38,917.9833,596.70
Totalofcurrentliability2,227,414,197.28587,379,166.90
Non-currentliabilities：
Long-termloan5,508,083,200.005,552,070,350.00
Bondpayable749,147,101.951,428,381,232.94
Including：preferredstock
Sustainabledebt
Leaseliability18,705,239.26
Long-termpayable2,022,210.112,517,493.12
Long-termremunerationpayabletostaff
Expectedliabilities
Deferredincome5,197,208.426,838,432.16
Deferredincometaxliability67,459,482.6661,985,198.42
Othernon-currentliabilities
Totalnon-currentliabilities6,350,614,442.407,051,792,706.64
Totalofliability8,578,028,639.687,639,171,873.54
Owners’equity
Sharecapital2,090,806,126.002,090,806,126.00
Otherequityinstruments
Including：preferredstock
Sustainabledebt
Capitalreserves934,926,723.73934,908,293.69
Less：Sharesinstock
Othercomprehensiveincome179,248,772.69170,633,656.67
Specialreserve
Surplusreserves1,193,084,201.461,193,084,201.46
Retainedprofit4,673,558,122.494,723,633,182.06
Totalofowners’equity9,071,623,946.379,113,065,459.88
Totalofliabilitiesandowners’equity17,649,652,586.0516,752,237,333.42

3.ConsolidatedIncomestatement

InRMB

ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
I.Incomefromthekeybusiness2,340,436,775.082,057,420,809.68
Incl：Businessincome2,340,436,775.082,057,420,809.68
Interestincome
Insurancefeeearned
Feeandcommissionreceived
ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
II.Totalbusinesscost921,351,272.48879,520,254.68
Incl：Businesscost740,670,310.49696,143,722.50
Interestexpense
Feeandcommissionpaid
Insurancedischargepayment
Netclaimamountpaid
Netamountofwithdrawalofinsurancecontractreserve
Insurancepolicydividendpaid
Reinsuranceexpenses
Businesstaxandsurcharge9,422,373.998,932,321.30
Salesexpense
Administrativeexpense80,023,845.7185,773,267.04
R&Dcosts81,651.821,368,887.22
Financialexpenses91,153,090.4787,302,056.62
Including：Interestexpense109,161,060.69123,517,238.10
Interestincome18,067,700.3136,907,508.27
Add:Otherincome6,449,973.788,178,352.38
Investmentgain（“-”forloss）181,402,127.67162,320,728.99
Incl:investmentgainsfromaffiliates109,631,134.53101,561,222.92
Financialassetsmeasuredatamortizedcostceasetoberecognizedasincome
Gainsfromcurrencyexchange
Netexposurehedgingincome
Changingincomeoffairvalue
Creditimpairmentloss-45,626,953.18
Impairmentlossofassets
Assetsdisposalincome463,363.89
III.Operationalprofit（“-”forloss）1,561,310,650.871,348,863,000.26
Add：Non-operationalincome2,148,292.855,821,631.65
Less:Non-operatingexpense240,222.592,955,659.39
IV.Totalprofit(“-”forloss)1,563,218,721.131,351,728,972.52
Less：Incometaxexpenses369,040,383.81290,224,512.53
V.Netprofit1,194,178,337.321,061,504,459.99
(I)Classificationbybusinesscontinuity
1.Netcontinuingoperatingprofit1,194,178,337.321,061,504,459.99
2.Terminationofoperatingnetprofit
(II)Classificationbyownership
1.Netprofitattributabletotheownersofparentcompany885,644,187.99773,736,908.29
2.Minorityshareholders’equity308,534,149.33287,767,551.70
VI.Netafter-taxofothercomprehensiveincome8,615,116.02-34,872,070.60
Netofprofitofothercomprehensiveincomeattributabletoownersoftheparentcompany.8,615,116.02-34,872,070.60
ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
（I）Othercomprehensiveincomeitemsthatwillnotbereclassifiedintogains/lossesinthesubsequentaccountingperiod-3,495,182.31-34,035,245.89
1.Re-measurementofdefinedbenefitplansofchangesinnetdebtornetassets
2.Othercomprehensiveincomeundertheequitymethodinvesteecannotbereclassifiedintoprofitorloss.
3.Changesinthefairvalueofinvestmentsinotherequityinstruments-3,495,182.31-34,035,245.89
4.Changesinthefairvalueofthecompany’screditrisks
5.Other
（II）Othercomprehensiveincomethatwillbereclassifiedintoprofitorloss.12,110,298.33-836,824.71
1.Othercomprehensiveincomeundertheequitymethodinvesteecanbereclassifiedintoprofitorloss.12,110,298.33-836,824.71
2.Changesinthefairvalueofinvestmentsinotherdebtobligations
3.Othercomprehensiveincomearisingfromthereclassificationoffinancialassets
4.Allowanceforcreditimpairmentsininvestmentsinotherdebtobligations
5.Reserveforcashflowhedges
6.Translationdifferencesincurrencyfinancialstatements
7.Other
NetofprofitofothercomprehensiveincomeattributabletoMinorityshareholders’equity
VII.Totalcomprehensiveincome1,202,793,453.341,026,632,389.39
Totalcomprehensiveincomeattributabletotheowneroftheparentcompany894,259,304.01738,864,837.69
Totalcomprehensiveincomeattributableminorityshareholders308,534,149.33287,767,551.70
VIII.Earningspershare
（I）Basicearningspershare0.420.37
(II)Dilutedearningspershare0.420.37

Thecurrentbusinesscombinationundercommoncontrol,thenetprofitsofthecombinedpartybeforeachievednetprofitofRMB0.00,lastperiodthecombinedpartyrealizedRMB0.00.LegalRepresentative:MiaoDeshanGeneralManager：WangChunhua,,

Personinchargeofaccounting：LuMingAccountingDeptLeader:ZhouFang

4.IncomestatementoftheParentCompany

InRMB

ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
I.Incomefromthekeybusiness740,672,433.01642,655,502.74
Incl：Businesscost244,287,384.51251,072,086.53
Businesstaxandsurcharge3,726,508.483,509,918.91
Salesexpense
Administrativeexpense49,125,187.4949,546,552.29
R&Dexpense
Financialexpenses110,048,379.4695,640,651.97
Including：Interestexpenses121,332,718.54115,831,785.91
Interestincome11,309,040.2620,217,007.24
Add：Otherincome2,607,245.652,295,878.36
Investmentgain（“-”forloss）596,720,630.99791,681,986.64
Including:investmentgainsfromaffiliates108,689,822.9298,360,414.38
Financialassetsmeasuredatamortizedcostceasetoberecognizedasincome
Netexposurehedgingincome
Changingincomeoffairvalue
Creditimpairmentloss
Impairmentlossofassets
Assetsdisposalincome463,363.89
II.Operationalprofit（“-”forloss）932,812,849.711,037,327,521.93
Add：Non-operationalincome517,077.90562,977.76
Less：Non-operationalexpenses15,753.62
III.Totalprofit(“-”forloss)933,314,173.991,037,890,499.69
Less：Incometaxexpenses88,524,211.6354,001,197.13
IV.Netprofit844,789,962.36983,889,302.56
1.Netcontinuingoperatingprofit844,789,962.36983,889,302.56
2.Terminationofoperatingnetprofit
V.Netafter-taxofothercomprehensiveincome8,615,116.02-34,872,070.60
（I）Othercomprehensiveincomeitemsthatwillnotbereclassifiedintogains/lossesinthesubsequentaccountingperiod-3,495,182.31-34,035,245.89
1.Re-measurementofdefinedbenefitplansofchangesinnetdebtornetassets
2.Othercomprehensiveincomeundertheequitymethodinvesteecannotbereclassifiedintoprofitorloss.
3.Changesinthefairvalueofinvestmentsinotherequityinstruments-3,495,182.31-34,035,245.89
4.Changesinthefairvalueofthecompany’screditrisks
5.Other
(II)Othercomprehensiveincomethatwillbereclassifiedintoprofitorloss12,110,298.33-836,824.71
ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
1.Othercomprehensiveincomeundertheequitymethodinvesteecanbereclassifiedintoprofitorloss.12,110,298.33-836,824.71
2.Changesinthefairvalueofinvestmentsinotherdebtobligations
3.Othercomprehensiveincomearisingfromthereclassificationoffinancialassets
4.Allowanceforcreditimpairmentsininvestmentsinotherdebtobligations
5.Reserveforcashflowhedges
6.Translationdifferencesincurrencyfinancialstatements
7.Other
VI.Totalcomprehensiveincome853,405,078.38949,017,231.96
VII.Earningspershare
（I）Basicearningspershare
(II)Dilutedearningspershare

5.ConsolidatedCashflowstatement

InRMB

ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
I.Cashflowsfromoperatingactivities
Cashreceivedfromsalesofgoodsorrendingofservices2,387,824,431.302,100,682,366.85
Netincreaseofcustomerdepositsandcapitalkeptforbrothercompany
Netincreaseofloansfromcentralbank
Netincreaseofinter-bankloansfromotherfinancialbodies
Cashreceivedagainstoriginalinsurancecontract
Netcashreceivedfromreinsurancebusiness
Netincreaseofclientdepositandinvestment
Cashreceivedfrominterest,commissionchargeandcommission
Netincreaseofinter-bankfundreceived
Netincreaseofrepurchasingbusiness
Netcashreceivedbyagentinsecuritiestrading
Taxreturned
Othercashreceivedfrombusinessoperation239,874,283.4367,435,536.39
Sub-totalofcashinflow2,627,698,714.732,168,117,903.24
Cashpaidforpurchasingofmerchandiseandservices93,721,829.45131,225,559.09
Netincreaseofclienttradeandadvance
Netincreaseofsavingsincentralbankandbrothercompany
Cashpaidfororiginalcontractclaim
Netincreaseinfinancialassetsheldfortradingpurposes
NetincreaseforOutgoingcallloan
Cashpaidforinterest,processingfeeandcommission
Cashpaidtostaffsorpaidforstaffs208,391,670.68201,663,653.64
Taxespaid272,784,405.49344,543,903.69
Othercashpaidforbusinessactivities38,883,617.4147,133,520.52
Sub-totalofcashoutflowfrombusinessactivities613,781,523.03724,566,636.94
Netcashgeneratedfrom/usedinoperatingactivities2,013,917,191.701,443,551,266.30
II.Cashflowgeneratedbyinvesting
Cashreceivedfrominvestmentretrieving
Cashreceivedasinvestmentgains48,694,370.25114,163,108.50
Netcashretrievedfromdisposaloffixedassets,intangibleassets,andotherlong-termassets13,110.00522,436.84
Netcashreceivedfromdisposalofsubsidiariesorotheroperationalunits28,514,496.27
Otherinvestment-relatedcashreceived
Sub-totalofcashinflowduetoinvestmentactivities48,707,480.25143,200,041.61
Cashpaidforconstructionoffixedassets,intangibleassetsandotherlong-termassets582,217,768.98168,081,166.80
Cashpaidasinvestment101,080,000.00250,091,000.00
Netincreaseofloanagainstpledge
ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
Netcashreceivedfromsubsidiariesandotheroperationalunits
Othercashpaidforinvestmentactivities
Sub-totalofcashoutflowduetoinvestmentactivities683,297,768.98418,172,166.80
Netcashflowgeneratedbyinvestment-634,590,288.73-274,972,125.19
III.Cashflowgeneratedbyfinancing
Cashreceivedasinvestment88,470,000.47
Including:Cashreceivedasinvestmentfromminorshareholders88,470,000.47
Cashreceivedasloans414,525,000.00320,000,000.00
Otherfinancing–relatedcashreceived1,460,847.6738,470,400.00
Sub-totalofcashinflowfromfinancingactivities504,455,848.14358,470,400.00
Cashtorepaydebts469,864,650.0065,836,100.00
Cashpaidasdividend,profit,orinterests415,505,541.67367,159,468.70
Including:Dividendandprofitpaidbysubsidiariestominorshareholders255,975,174.55218,751,982.19
Othercashpaidforfinancingactivities8,327,523.026,242,513.89
Sub-totalofcashoutflowduetofinancingactivities893,697,714.69439,238,082.59
Netcashflowgeneratedbyfinancing-389,241,866.55-80,767,682.59
IV.Influenceofexchangeratealternationoncashandcashequivalents
V.Netincreaseofcashandcashequivalents990,085,036.421,087,811,458.52
Add:balanceofcashandcashequivalentsatthebeginningofterm4,284,688,231.332,955,183,190.55
VI..Balanceofcashandcashequivalentsattheendofterm5,274,773,267.754,042,994,649.07

6.CashFlowStatementoftheParentCompany

InRMB

ItemsThefirsthalfyearof2023Thefirsthalfyearof2022
I.Cashflowsfromoperatingactivities
Cashreceivedfromsalesofgoodsorrendingofservices763,931,695.41661,912,004.69
Taxreturned
Othercashreceivedfrombusinessoperation142,656,776.3124,521,728.95
Sub-totalofcashinflow906,588,471.72686,433,733.64
Cashpaidforpurchasingofmerchandiseandservices24,172,182.6813,570,674.87
Cashpaidtostaffsorpaidforstaffs62,195,705.4860,633,887.05
Taxespaid24,138,943.3623,470,841.12
Othercashpaidforbusinessactivities55,091,483.76236,627,095.73
Sub-totalofcashoutflowfrombusinessactivities165,598,315.28334,302,498.77
Netcashgeneratedfrom/usedinoperatingactivities740,990,156.44352,131,234.87
II.Cashflowgeneratedbyinvesting
Cashreceivedfrominvestmentretrieving60,623,900.00
Cashreceivedasinvestmentgains499,852,096.70693,296,160.51
Netcashretrievedfromdisposaloffixedassets,intangibleassets,andotherlong-termassets13,110.00517,888.00
Netcashreceivedfromdisposalofsubsidiariesorotheroperationalunits
Otherinvestment-relatedcashreceived
Sub-totalofcashinflowduetoinvestmentactivities499,865,206.70754,437,948.51
Cashpaidforconstructionoffixedassets,intangibleassetsandotherlong-termassets68,690,286.5943,488,728.78
Cashpaidasinvestment98,000,000.00246,000,000.00
Netcashreceivedfromsubsidiariesandotheroperationalunits
Othercashpaidforinvestmentactivities
Sub-totalofcashoutflowduetoinvestmentactivities166,690,286.59289,488,728.78
Netcashflowgeneratedbyinvestment333,174,920.11464,949,219.73
III.Cashflowgeneratedbyfinancing
Cashreceivedasinvestment
Cashreceivedasloans
Otherfinancing–relatedashreceived
Sub-totalofcashinflowfromfinancingactivities
Cashtorepaydebts25,339,650.0032,001,100.00
Cashpaidasdividend,profit,orinterests145,644,863.29136,048,729.34
Othercashpaidforfinancingactivities8,327,523.026,214,613.89
Sub-totalofcashoutflowduetofinancingactivities179,312,036.31174,264,443.23
Netcashflowgeneratedbyfinancing-179,312,036.31-174,264,443.23
IV.Influenceofexchangeratealternationoncashandcashequivalents
V.Netincreaseofcashandcashequivalents894,853,040.24642,816,011.37
Add:balanceofcashandcashequivalentsatthebeginningofterm1,811,814,561.841,859,614,927.30
VI..Balanceofcashandcashequivalentsattheendofterm2,706,667,602.082,502,430,938.67

7.ConsolidatedStatementonChangeinOwners’EquityAmountinthisperiod

InRMB

ItemsThefirsthalfyearof2023
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
I.Balanceattheendoflastyear2,090,806,126.00743,133,557.03170,633,656.671,373,056,469.024,698,029,354.089,075,659,162.802,293,020,019.8711,368,679,182.67
Add:Changeofaccountingpolicy
Correctingofpreviouserrors
Mergerofentitiesundercommoncontrol
Other
II.Balanceatthebeginning2,090,806,126.00743,133,557.03170,633,656.671,373,056,469.024,698,029,354.089,075,659,162.802,293,020,019.8711,368,679,182.67
ItemsThefirsthalfyearof2023
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
ofcurrentyear
III.Changedinthecurrentyear-73,970.478,615,116.02-9,220,833.94-679,688.39175,328,975.25174,649,286.86
（1）Totalcomprehensiveincome8,615,116.02885,644,187.99894,259,304.01308,534,149.331,202,793,453.34
（II）Investmentordecreasingofcapitalbyowners88,470,000.4788,470,000.47
1．OrdinarySharesinvestedbyshareholders88,470,000.4788,470,000.47
2．Holdersofotherequityinstrumentsinve
ItemsThefirsthalfyearof2023
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
stedcapital
3．Amountofsharespaidandaccountedasowners’equity
4．Other
（III）Profitallotment-894,865,021.93-894,865,021.93-221,675,174.55-1,116,540,196.48
1.Providingofsurplusreserves
2.Providingofcommonriskprovisions
3．Allotmenttotheowners(orshareholders)-894,865,021.93-894,865,021.93-221,675,174.55-1,116,540,196.48
ItemsThefirsthalfyearof2023
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
4．Other
(IV)Internaltransferringofowners’equity
1.Capitalizingofcapitalreserves(ortocapitalshares)
2.Capitalizingofsurplusreserves(ortocapitalshares)
3．Makinguplossesbysurplusreserves.
4.Changeamountofdefinedbenefit
ItemsThefirsthalfyearof2023
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
plansthatcarryforwardRetainedearnings
5．Othercomprehensiveincomecarry-overretainedearnings
6．Other
(V).Specialreserves
1.Providedthisyear
2．Usedthisterm
（VI）Other-73,970.47-73,970.47-73,970.47
IV.Balanceat2,090,806,12743,059,5179,248,71,373,056,4,688,809,074,972,468,348,995.111,543,328,469.53
ItemsThefirsthalfyearof2023
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
theendofthisterm6.0086.5672.69469.028,520.149,474.412

AmountinlastyearInRMB

ItemsThefirsthalfyearof2022
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
I.Balanceattheendoflastyear2,090,806,126.00713,460,518.49192,177,466.341,225,375,330.564,760,618,543.788,982,437,985.172,338,551,172.9611,320,989,158.13
Add:Changeofaccountingpolicy510,117.60510,117.60330.74510,448.34
Correctingofpreviouserrors
Mergerofentitiesundercommoncontrol
ItemsThefirsthalfyearof2022
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
Other
II.Balanceatthebeginningofcurrentyear2,090,806,126.00713,460,518.49192,177,466.341,225,375,330.564,761,128,661.388,982,948,102.772,338,551,503.7011,321,499,606.47
III.Changedinthecurrentyear19,708,141.17-34,872,070.60-418,022,583.53-433,186,512.96-28,984,430.49-462,170,943.45
（1）Totalcomprehensiveincome-34,872,070.60773,736,908.29738,864,837.69287,767,551.701,026,632,389.39
（II）Investmentordecreasingofcapitalbyowners
1．OrdinarySharesinvestedbyshareholders
ItemsThefirsthalfyearof2022
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
2．Holdersofotherequityinstrumentsinvestedcapital
3．Amountofsharespaidandaccountedasowners’equity
4．Other
（III）Profitallotment-1,191,759,491.82-1,191,759,491.82-316,751,982.19-1,508,511,474.01
1.Providingofsurplusreserves
2.Providingofcommon
ItemsThefirsthalfyearof2022
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
riskprovisions
3．Allotmenttotheowners(orshareholders)-1,191,759,491.82-1,191,759,491.82-316,751,982.19-1,508,511,474.01
4．Other
(IV)Internaltransferringofowners’equity
1.Capitalizingofcapitalreserves(ortocapitalshares)
2.Capitalizingofsurplus
ItemsThefirsthalfyearof2022
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
reserves(ortocapitalshares)
3．Makinguplossesbysurplusreserves.
4.ChangeamountofdefinedbenefitplansthatcarryforwardRetainedearnings
5．Othercomprehensiveincomecarry-overretained
ItemsThefirsthalfyearof2022
Owner’sequityAttributabletotheParentCompanyMinorshareholders’equityTotalofowners’equity
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesCommonriskprovisionRetainedprofitOtherSubtotal
PreferredstockSustainabledebtOther
earnings
6．Other
(V).Specialreserves
1.Providedthisyear
2．Usedthisterm
（VI）Other19,708,141.1719,708,141.1719,708,141.17
IV.Balanceattheendofthisterm2,090,806,126.00733,168,659.66157,305,395.741,225,375,330.564,343,106,077.858,549,761,589.812,309,567,073.2110,859,328,663.02

8.Statementofchangeinowner’sEquityoftheParentCompanyAmountinthisperiod

InRMB

ItemsThefirsthalfyearof2023
SharecapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesRetainedprofitOtherTotalofowners’equity
PreferredstockSustainabledebtOther
I.Balanceattheendoflastyear2,090,806,126.00934,908,293.69170,633,656.671,193,084,201.464,723,633,182.069,113,065,459.88
Add:Changeofaccountingpolicy
Correctingofpreviouserrors
Other
II.Balanceatthebeginningofcurrentyear2,090,806,126.00934,908,293.69170,633,656.671,193,084,201.464,723,633,182.069,113,065,459.88
III.Changedinthecurrentyear18,430.048,615,116.02-50,075,059.57-41,441,513.51
（I）Totalcomprehensiveincome8,615,116.02844,789,962.36853,405,078.38
(II)Investmentordecreasingofcapitalbyowners
1．OrdinarySharesinvestedbyshareholders
2．Holdersofotherequityinstrumentsinvestedcapital
3.Amountofsharespaidandaccountedasowners’equity
4．Other
ItemsThefirsthalfyearof2023
SharecapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesRetainedprofitOtherTotalofowners’equity
PreferredstockSustainabledebtOther
（III）Profitallotment-894,865,021.93-894,865,021.93
1.Providingofsurplusreserves
2．Allotmenttotheowners(orshareholders)-894,865,021.93-894,865,021.93
3．Other
(IV)Internaltransferringofowners’equity
1.Capitalizingofcapitalreserves(ortocapitalshares)
2.Capitalizingofsurplusreserves(ortocapitalshares)
3．Makinguplossesbysurplusreserves.
4.ChangeamountofdefinedbenefitplansthatcarryforwardRetainedearnings
5．Othercomprehensiveincomecarry-overretainedearnings
6．Other
(V)Specialreserves
1.Providedthisyear
ItemsThefirsthalfyearof2023
SharecapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesRetainedprofitOtherTotalofowners’equity
PreferredstockSustainabledebtOther
2．Usedthisterm
（VI）Other18,430.0418,430.04
IV.Balanceattheendofthisterm2,090,806,126.00934,926,723.73179,248,772.691,193,084,201.464,673,558,122.499,071,623,946.37

Amountinlastyear

InRMB

ItemsThefirsthalfyearof2022
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesRetainedprofitOtherTotalofowners’equity
PreferredstockSustainabledebtOther
I.Balanceattheendoflastyear2,090,806,126.00934,851,285.51192,177,466.341,045,403,063.004,586,482,016.108,849,719,956.95
Add:Changeofaccountingpolicy509,125.37509,125.37
Correctingofpreviouserrors
Other
II.Balanceatthebeginningofcurrentyear2,090,806,126.00934,851,285.51192,177,466.341,045,403,063.004,586,991,141.478,850,229,082.32
III.Changedinthecurrentyear88,237.17-34,872,070.60-207,870,189.26-242,654,022.69
（I）Totalcomprehensiveincome-34,872,070.60983,889,302.56949,017,231.96
(II)Investmentordecreasingofcapitalbyowners
1．OrdinarySharesinvestedbyshareholders
2．Holdersofotherequityinstrumentsinvestedcapital
3.Amountofsharespaidandaccountedasowners’equity
4．Other
（III）Profitallotment--
ItemsThefirsthalfyearof2022
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesRetainedprofitOtherTotalofowners’equity
PreferredstockSustainabledebtOther
1,191,759,491.821,191,759,491.82
1.Providingofsurplusreserves
2．Allotmenttotheowners(orshareholders)-1,191,759,491.82-1,191,759,491.82
3．Other
(IV)Internaltransferringofowners’equity
1.Capitalizingofcapitalreserves(ortocapitalshares)
2.Capitalizingofsurplusreserves(ortocapitalshares)
3．Makinguplossesbysurplusreserves.
4.ChangeamountofdefinedbenefitplansthatcarryforwardRetainedearnings
5．Othercomprehensiveincomecarry-overretainedearnings
6．Other
(V)Specialreserves
1.Providedthisyear
2．Usedthisterm
ItemsThefirsthalfyearof2022
ShareCapitalOtherEquityinstrumentCapitalreservesLess:SharesinstockOtherComprehensiveIncomeSpecializedreserveSurplusreservesRetainedprofitOtherTotalofowners’equity
PreferredstockSustainabledebtOther
（VI）Other88,237.1788,237.17
IV.Balanceattheendofthisterm2,090,806,126.00934,939,522.68157,305,395.741,045,403,063.004,379,120,952.218,607,575,059.63

III.CompanyProfile

1.BasicinformationoftheIPOandsharecapitalofthecompany

1.TheCompanywasestablishedinFebruary1993,whichwasoriginallynamedasGuangdongFokaiExpresswayCo.,Ltd.OnJune30,1993,itwasrenamedasGuangdongProvincialExpresswayDevelopmentCo.,Ltd.afterreorganizationpursuanttotheapprovaloftheOfficeofJointExaminationGroupofExperimentalUnitsofShareHoldingSystemwithYLSB(1993)No.68document.Thesharecapitalstructureafterreorganizationisasfollows:

Compositionofstate-ownedshares:Theappraisednetvalueofstate-ownedassetsofGuangdongJiujiangBridgeCo.andGuangfoExpresswayCo.,Ltd.asofJanuary31,1993confirmedbyGuangdongState-ownedAssetManagementDept.,i.e.,RMB418.2136million,wasconvertedinto155.025millionshares.GuangdongExpresswayCo.investedcashofRMB115milliontosubscribefor35.9375millionshares.OtherlegalpersonsinvestedcashofRMB286.992milliontosubscribefor89.685millionshares.StaffoftheCompanyinvestedRMB87.008milliontosubscribefor27.19millionshares.ThetotalisRMB307.8375millionshares.2．PursuanttotheapprovalofGuangdongEconomicSystemReformCommitteeandGuangdongSecuritiesRegulatoryCommissionwithYTG(1996)No.67document,partoftheshareholdersofnon-state-ownedlegalpersonsharestransferred20millionnon-state-ownedlegalpersonsharestoMalaysiaYibaoEngineeringCo.,Ltd.inJune1996.

3.PursuanttotheapprovalofSecuritiesCommissionundertheStateCouncilwithWF(1996)No.24approvaldocumentandthatofGuangdongEconomicSystemReformCommitteewithYTG(1996)No.68document,theCompanyissued135milliondomesticallylistedforeigninvestmentshares(Bshares)tooverseasinvestorsatthepriceofHKD3.54(equivalenttoRMB3.8)withtheparvalueofeachsharebeingRMB1duringJunetoJuly1996.

4.PursuanttothereplyoftheMinistryofForeignTradeandEconomicCooperationofthePeople’sRepublicofChinawith(1996)WJMZYHZNo.606document,theCompanywasapprovedtobeaforeign-investedjointstockcompanylimited.5．TheCompanydistributeddividendsandcapitalizedcapitalcommonreservefortheyear1996inthefollowingmanner:TheCompanypaid1.7bonussharesforeach10sharesandcapitalizedcapitalcommonreserveon3.3-for-10basis.

6.PursuanttotheapprovalofChinaSecuritiesRegulatoryCommittee(CSRC)withZJFZ(1997)No.486andNo.487document,theCompanyissued100millionpublicshares(Ashares)atthepriceofRMB5.41intermof“payableinfullonapplication,pro-rateplacingandsubjecttorefund”withtheparvalueofeachsharebeingRMB1inJanuary1998.7．InaccordancewiththeResolutionsofthe1999Shareholders’GeneralMeetingoftheCompanyandpursuanttotheapprovalofGuangzhouSecuritiesRegulatoryOfficeunderCSRCwithGZZJH(2000)No.99andthatofCSRCwithZJGSZ(2000)No.98,theCompanyoffered3Rightsforevery10sharesof764.256249millionsharesatthepriceofRMB11perRight.73,822,250ordinaryshareswereactuallyplacedtoall.

8.PursuanttothereplyoftheGeneralOfficeofthePeople’sGovernmentofGuangdongProvincewithYBH(2000)No.574document,thestate-ownedsharesweretransferredtoGuangdongCommunicationGroupCo.,

Ltd.(GroupCo.)forholdingandmanagementwithoutcompensation.

9.PursuanttotheapprovalofShenzhenStockExchange,53.0205millionstaffsharesoftheCompany(132,722sharesheldbydirectors,supervisorsandseniorexecutivesaretemporarilyfrozen)werelistedonFebruary5,2001.

10.Inaccordancewiththeresolutionsof2000annualshareholders’generalmeeting,theCompanycapitalizedcapitalcommonreserveinto419,039,249shareson5-for-10basiswiththetotalsharecapitalasoftheendof2000,i.e.,838,078,499sharesasbase.ThedateofstockrightregistrationwasMay21,2001.Theex-rightdatewasMay22,2001.11．OnMarch8,2004,AsapprovedbyChinaSecuritiesRegulatoryCommissionbydocumentZheng-Jian-Gong-Si-Zi[2003]No.3,the45,000,000non-negotiableforeignshareswereplacedinShenzhenStock

12.OnDecember21,2005,theCompany'splanforshareholdingstructurereformwasvotedthroughattheshareholders'meetingconcerningAshares.OnJanuary262006,TheMinistryofCommerceofPRCissued“TheapprovalonshareconvertingofGuangdongProvincialExpresswayDevelopmentCo.,Ltd.”toapprovetheshareequityrelocationandtransformation.OnOctober92006,accordingtothe“Circularaboutimplementingofshareequityrelocationandrelativetrading”issuedbyShenzhenStockExchange,theabbreviationIDoftheCompany’sAshareswasrestoredfrom“G-Expressway”“ExpresswayA”.UpontheapprovaldocumentofCSRCNo.230-2016ZhengJianXuke-ApprovaloftheShare-IssuingtoPartiessuchasGuangdongProvincialExpresswayCo.,LtdtoPurchaseAssetsandRaiseMatchingFundsbyGuangdongProvincialExpresswayDevelopmentCo.,Ltd,inJune2016thecompanyissued33,355,263sharesandpaidRMB803.50milliontoGuangdongProvincialExpresswayCo.,Ltdforpurchasingthe25%stakeofGuangdongProvincialFokaiExpresswayCo.,LtdheldbyGuangdongProvincialExpresswayCo.,Ltd;andissued466,325,020sharestoGuangdongProvincialHighwayConstructionCo.,Ltdforpurchasingthe100%stakeofGuangzhouGuangzhuTrafficInvestmentManagementCo.,LtdheldbyGuangdongProvincialHighwayConstructionCo.,Ltd.OnJune21,2016,thecompanydirectionallyissued334,008,095A-sharestoYadongFuxingYalianInvestmentCo.,Ltd,TibetYinyueInvestmentManagementCo.,LtdandGuangfaSecuritiesCo.,Ltd.TheissuanceofshareshavebeenregisteredonJuly7,2016,thenewshareswillbelistedonJuly8,2016.

2.Company'sregisteredplaceandheadquartersaddressCompanyname：GuangdongProvincialExpresswayDevelopmentCo.,Ltd.RegistrationplaceNo.85,BaiyunRoad,YuexiuDistrict,Guangzhou.

HeadquartersOffice：45-46/F,LitongPlaza,No.32,ZhujiangEastRoad,ZhujiangNewCity,TiheDisrtict,Guangzhou

3.BusinessnatureandmainbusinessactivitiesIndustryandmainproductsofthecompany:highwaymanagementandmaintenance.

Generalbusinessitems:investment,construction,charging,maintenanceandservicemanagementofexpressways,graderoadsandbridges;Automobilerescueservice,maintenanceandcleaning;Parkinglotcharges;Design,production,releaseandagencyofallkindsofadvertisementsathomeandabroad;Landdevelopmentalongthehighway;Warehousingbusiness;Intelligenttransportationtechnologyresearchanddevelopmentandservice;Equityinvestment,managementandconsultation.(Projectsthatmustbeapprovedaccordingtolawcanbeoperatedonlyafterbeingapprovedbyrelevantdepartments).

TheCompanyismainlyengagedintollingandmaintenanceofGuangfoExpressway,FokaiExpressway,JingzhuExpresswayGuangzhuSectionandGuanghuiExpresswayinvestmentintechnologicalindustriesandprovisionofrelevantconsultaionwhileinvestinginShenzhenHuiyanExpresswayCo.,Ltd.,GuangzhouGuanghuiExpresswayCo.,Ltd..,GuangdongJiangzhongExpresswayCo.Ltd.,ZhaoqingYuezhaoExpresswayCo.,Ltd.,GanzhouKangdaExpressway,GanzhouGankangExpresswayCo.,Ltd.,GuangdongYuekeTechnologyPettyLoanCo.,Ltd.,GuangdongGuangleExpresswayCo.,Ltd.,GuoyuanSecuritiesCo.,Ltd,HunanLianzhiTechnologyCo.,Ltd.,SPICYuetongQiyuanChipPowerTechnologyCo.,Ltd.andShenzhenGarageElectricPileTechnologyCo.,Ltd.

4.Scopeandchangesofconsolidatedfinancialstatementsinthecurrentperiod

(1)Scopeofcurrentconsolidatedfinancialstatements

TheconsolidatedscopeofthecurrentfinancialstatementsinvovlesGuangdongExpresswayTechnologyInvestmentCo.,Ltd.,YuegaoCapitalHolding(Guangzhou)Co.,Ltd.,itsholdingsubsidiariesGuangfoExpresswayCo.,Ltd.,JingzhuExpresswayGuangzhuSectionCo.,Ltd.andGuanghuiExpresswayCo.,Ltd..

(2)Changesinthescopeofconsolidatedfinancialstatementsinthecurrentperiod

None.

5.ApprovalandsubmissiondateoffinancialreportThefinancialstatementshavebeenauthorizedforissuanceoftheBoardofDirectorsoftheCompanyonAugust28,2023.IV.Basisforthepreparationoffinancialstatements

1.Preparationbasis

ThefinancialstatementsoftheCompanyhavebeenpreparedonbasisofgoingconcerninconformitywithChineseAccountingStandardsforBusinessEnterprisesandtheAccountingSystemsforBusinessEnterprisesissuedbytheMinistryofFinanceofPeople’sRepublicofChina(MinistryofFinanceissuedorderNo.33,theMinistryofFinancerevisedorderNo.76)onFebruary15,2006,andrevisedAccountingStandards(order42oftheMinistryofFinance)andCompilationRulesforInformationDisclosurebyCompaniesOfferingSecuritiestothePublicNo.15–GeneralProvisionsonFinancialReports(2014Revision)issuedbytheChinaSecuritiesRegulatoryCommission(CSRC).

AccordingtotherelevantaccountingregulationsinChineseAccountingStandardsforBusinessEnterprises,theCompanyhasadoptedtheaccrualbasisofaccounting.Held-for-salenon-currentassetsaremeasuredatthelowerofitsbookvalueatitsclassificationdateandfairvalueminusexpecteddisposalcosts.Whereassetsareimpaired,provisionsforassetimpairmentaremadeinaccordancewithrelevantrequirements

2.Continuation

Therewillbenosucheventsorsituationsinthe12monthsfromtheendofthereportingperiodthatwillcausematerialdoubtsastothecontinuationcapabilityoftheCompany.

V.SignificantAccountingPoliciesandAccountingEstimatesSpecificaccountingpoliciesandaccountingestimatesareindicatedasfollows:

None

1.StatementofCompliancewiththeAccountingStandardsforBusinessEnterprises

ThefinancialstatementsoftheCompanyarerecognizedandmeasuredinaccordancewiththeregulationsintheChineseAccountingStandardsforBusinessEnterprisesandtheygiveatrueandfairviewofthefinancialposition,businessresultandcashflowoftheCompany,.Inaddition,thefinancialstatementsoftheCompanycomply,inallmaterialrespects,withthereviseddisclosingrequirementsforfinancialstatementsandtheCompilationRulesforInformationDisclosurebyCompaniesOfferingSecuritiestothePublicNo.15—GeneralProvisionsonFinancialReports(2014Revision)issuedbyChinaSecuritiesRegulatoryCommission(CSRC)in2014,NoticeonMattersRelatedtotheImplementationofNewEnterpriseAccountingStandardsbyListedCompaniesissuedin2018.

2.Accountingperiod

TheaccountingperiodoftheCompanyisclassifiedasinterimperiodandannualperiod.Interimperiodreferstothereportingperiodshorterthanacompleteannualperiod.TheaccountingperiodoftheCompanyisthecalendaryearfromJanuary1toDecember31.

3.Operatingcycle

ThenormaloperatingcyclereferstotheperiodfromthetimewhentheGrouppurchasesassetsforprocessingtothetimewhencashorcashequivalentsarerealized.TheCompanytakes12monthsasabusinesscycleandusesitasacriterionforliquidityclassificationofassetsandliabilities.

4.Standardcurrencyforbookkeeping

TheCompanyadoptsCNYtoprepareitsfunctionalstatements.

5.AccountingsforBusinessCombinationsundertheSameControl&BusinessCombinationsnotundertheSameControl

1.BusinessCombinationsundertheSameControl

Ifbusinessparticipatinginthecombinationareultimatelycontrolledbythesamepartyorpartiesbeforeandafterthecombination,andthecontrolisnottemporary,itisanbusinesscombinationunderthesamecontrol.Usually,businesscombinationunderthesamecontrolreferstothecombinationbetweenbusinesswithinthesamebusiness,exceptwhichitisgenerallynotregardedasbusinesscombinationunderthesamecontrol.

TheassetsandliabilitiesobtainedbytheCompanyasthecombiningpartyinthebusinesscombinationshallbemeasuredaccordingtothebookvalueofthecombinedpartyintheconsolidatedfinancialstatementsoftheultimatecontrollingpartyonthecombinationdate.Forthelong-termequityinvestmentformedbyholdingcombinationunderthesamecontrol,thecompanytakestheshareofthebookowner'sequityofthecombinedpartyonthecombinationdateastheinitialinvestmentcostforformingthelong-termequityinvestment.Seethelong-termequityinvestmentforrelevantaccountingtreatment;TheassetsandliabilitiesobtainedbyabsorptionandcombinationunderthesamecontrolshallberecordedbytheCompanyaccordingtotheoriginalbookvalueoftherelatedassetsandliabilitiesinthecombinedparty.Thecompanyadjuststhecapitalreserveaccordingtothedifferencebetweenthebookvalueofthenetassetsobtainedandthebookvalueofthecombinationconsiderationpaid(orthetotalparvalueoftheissuedshares);Ifthecapitalreserveisinsufficienttooffset,theretainedearningsshallbeadjusted.

AlldirectlyrelatedexpensesincurredbytheCompanyasacombiningpartyforbusinesscombination,

includingauditfees,evaluationfees,legalservicefees,etc.,areincludedinthecurrentprofitsandlosseswhenincurred.

Feesandcommissionspaidforbondsissuedbyenterprisesorotherdebtsshallbeincludedintheinitialmeasurementamountofbondsandotherdebtsissued.Fees,commissionsandotherexpensesincurredinissuingequitysecuritiesinbusinesscombinationshallbeoffsetagainstthepremiumincomeofequitysecurities,andifthepremiumincomeisinsufficienttooffset,theretainedearningsshallbeoffset.Iftheholdingunderthesamecontroliscombinedtoformaparent-subsidiaryrelationship,theparentcompanyshallprepareconsolidatedfinancialstatementsontheconsolidationdate,includingconsolidatedbalancesheet,consolidatedincomestatementandconsolidatedcashflowstatement.

Fortheconsolidatedbalancesheet,thebookvalueofthecombinedpartyintheconsolidatedfinancialstatementsoftheultimatecontrollingpartyshallbeincorporatedintotheconsolidatedfinancialstatements,andthetransactionsbetweenthecombiningpartyandthecombinedpartyontheconsolidationdateandthepreviousperiodshallberegardedasinternaltransactionsandoffsetaccordingtotherelevantprinciplesof"ConsolidatedFinancialStatements";Theconsolidatedincomestatementandcashflowstatementincludethenetprofitandcashflowrealizedbythecombiningpartyandthecombinedpartyfromthebeginningofthecurrentconsolidationperiodtotheconsolidationdate,andinvolvethecashflowgeneratedbythetransactionsandinternaltransactionsbetweenthetwopartiesinthecurrentperiod,whichshallbeoffsetaccordingtotherelevantprinciplesoftheconsolidatedfinancialstatements.

2.Ifthepartiesinvolvedinthecombinationarenotultimatelycontrolledbythesamepartyorpartiesbeforeandafterthecombination,itisabusinesscombinationnotunderthesamecontrol.BusinessCombinationsnotundertheSameControl

Determinethecostofbusinesscombination:thecostofbusinesscombinationincludesthefairvalueofcashornon-cashassetspaidbythepurchaserforbusinesscombination,debtsissuedorassumed,andequitysecuritiesissuedonthepurchasedate.

Inthebusinesscombinationnotunderthesamecontrol,theintermediaryexpensessuchasauditing,legalservices,evaluationandconsultationandotherrelatedmanagementexpensesincurredbythepurchaserforthebusinesscombinationshallbeincludedinthecurrentprofitsandlosseswhentheyoccur;Transactioncostsofequitysecuritiesordebtsecuritiesissuedbythepurchaserascombinationconsiderationshallbeincludedintheinitialrecognizedamountofequitysecuritiesordebtsecurities.

Forthelong-termequityinvestmentobtainedbyholdingcombinationnotunderthesamecontrol,thecompanytakesthecombinationcostdeterminedonthepurchasedate(excludingcashdividendsandprofitsthatshouldbecollectedfromtheinvestee)astheinitialinvestmentcostforthelong-termequityinvestmentofthepurchaser;Allidentifiableassetsandliabilitiesobtainedbyabsorptionandcombinationunderdifferentcontrolthatmeettherecognitionconditionsshallberecognizedasassetsandliabilitiesoftheenterpriseatfairvalueonthedateofpurchase.IftheCompanytakesnon-monetaryassetsasconsiderationtoobtainthecontrolrightofthepurchaserorvariousidentifiableassetsandliabilities,thedifferencebetweenthefairvalueoftherelevantnon-monetaryassetsonthepurchasedateandtheirbookvalueshallbetakenasthedisposalprofitandlossoftheassetsandrecordedintheincomestatementofthecurrentconsolidationperiod.

Inabusinesscombinationnotunderthesamecontrol,thedifferencebetweenthecostofbusinesscombinationandthefairvalueshareofidentifiablenetassetsofthepurchaserobtainedinthecombinationisrecognizedasgoodwill;Inthecaseofabsorptionandcombination,thedifferenceisrecognizedasgoodwillintheindividualfinancialstatementsoftheparentcompany;Inthecaseofholdingcombination,thedifferenceislistedasgoodwillintheconsolidatedfinancialstatements.

Thecostofbusinesscombinationislessthanthedifferencebetweenthefairvalueshareofidentifiablenet

assetsacquiredduringthecombination,whichisincludedintheprofitsandlosses(non-operatingincome)ofthecurrentcombinationperiodafterreviewbytheCompany.Inthecaseofabsorptionandcombination,thedifferenceisincludedintheindividualincomestatementoftheparentcompanyinthecurrentcombinationperiod;Inthecaseofholdingcombination,thedifferenceisincludedintheconsolidatedincomestatementofthecurrentcombinationperiod.

Ifthebusinesscombinationnotunderthesamecontrolrealizedstepbystepthroughmultipleexchangetransactionsisapackagetransaction,eachtransactionwillbetreatedasatransactiontoobtaincontrolrights;Ifitisnotapackagetransaction,theequityofthepurchasedpartyheldbeforethepurchasedateshallbere-measuredaccordingtothefairvalueoftheequityonthepurchasedate,andthedifferencebetweenthefairvalueanditsbookvalueshallbeincludedinthecurrentinvestmentincome;Iftheequityofthepurchasedpartyheldbeforethepurchasedateinvolvesothercomprehensiveincome,othercomprehensiveincomerelatedtoitshallbeconvertedintotheinvestmentincomeofthecurrentperiodonthepurchasedate,exceptforothercomprehensiveincomearisingfromthere-measurementofnetliabilitiesorchangesinnetassetsofthedefinedbenefitplansbytheinvestedparty.

6.Compilationmethodofconsolidatedfinancialstatements

(1)Consolidationscope

Theconsolidationscopeofconsolidatedfinancialstatementsisdeterminedonthebasisofcontrol.ControlmeansthattheCompanyhasthepowerovertheinvestee,isentitledtovariablereturnsbyparticipatingintherelatedactivitiesoftheinvestee,andhastheabilitytousethepowerovertheinvesteetoinfluenceitsreturnamount.SubsidiariesrefertosubjectscontrolledbytheCompany(includingenterprises,divisiblepartsofinvestee(s),structuredsubjects,etc.).

(2)Compilationmethodofconsolidatedfinancialstatements

TheconsolidatedfinancialstatementsoftheCompanyarebasedonthefinancialstatementsoftheparentcompanyanditssubsidiaries,andarepreparedaccordingtootherrelevantinformation.Whencompiling,theimportantinternaltransactionsbetweentheparentcompanyanditssubsidiaries,suchasinvestment,transactions,purchaseandsaleofinventoriesandtheirunrealizedprofits,areoffsetandcombineditembyitem,andtheminorityshareholders'rightsandinterestsandthecurrentincomeofminorityshareholdersarecalculated.Iftheaccountingpoliciesandaccountingperiodsofsubsidiariesareinconsistentwiththoseoftheparentcompany,theaccountingstatementsofsubsidiariesshallbeadjustedaccordingtotheaccountingpoliciesandaccountingperiodsoftheparentcompanybeforecombination.

(3)Increaseanddecreasetheconsolidatedreportprocessingofsubsidiariesduringthereportingperiod

Duringthereportingperiod,whenpreparingtheconsolidatedbalancesheet,thebalanceatthebeginningoftheconsolidatedbalancesheetisadjustedforthesubsidiariesaddedduetobusinesscombinationunderthesamecontrol.Whenpreparingtheconsolidatedbalancesheet,thebalanceatthebeginningoftheyearoftheconsolidatedbalancesheetisnotadjustedforthesubsidiariesaddedduetobusinesscombinationnotunderthesamecontrol.Duringthereportingperiod,thesubsidiariesaredisposedofandthebalanceatthebeginningoftheconsolidatedbalancesheetisnotadjustedwhentheconsolidatedbalancesheetisprepared.

Duringthereportingperiod,theincome,expensesandprofitsofsubsidiariesaddedbybusinesscombinationunderthesamecontrolfromthebeginningtotheendofthereportingperiodareincludedintheconsolidatedincomestatement,andthecashflowsfromthebeginningtotheendofthereportingperiodareincludedintheconsolidatedcashflowstatement.Forsubsidiariesaddedduetobusinesscombinationnotunderthesamecontrol,theincome,expensesandprofitsofsuchsubsidiariesfromthepurchasedatetotheendofthereportingperiodareincludedintheconsolidatedincomestatement,andtheircashflowfromthepurchasedatetotheendofthereportingperiodisincludedintheconsolidatedcashflowstatement.Duringthereportingperiod,thesubsidiaryis

disposedof,andtheincome,expensesandprofitsfromthebeginningoftheperiodtothedisposaldateareincludedintheconsolidatedincomestatement,andthecashflowfromthebeginningoftheperiodtothedisposaldateisincludedintheconsolidatedcashflowstatement.Whenthecontrolrightoftheoriginalsubsidiaryislostduetothedisposalofpartoftheequityinvestmentorotherreasons,theremainingequityinvestmentafterdisposalshallbere-measuredaccordingtoitsfairvalueonthedateoflossofcontrolright.Thesumoftheconsiderationobtainedfromthedisposalofequityandthefairvalueoftheremainingequity,minusthedifferencebetweentheshareoftheoriginalsubsidiary'snetassetscalculatedcontinuouslyfromthepurchasedateandthesumofgoodwillcalculatedaccordingtotheoriginalshareholdingratio,isincludedintheinvestmentincomeinthecurrentperiodwhenthecontrolrightislost.Othercomprehensiveincomerelatedtotheoriginalsubsidiary'sequityinvestmentisconvertedintocurrentinvestmentincomewhenthecontrolrightislost,exceptforothercomprehensiveincomegeneratedbytheinvestee'sre-measurementofnetliabilitiesorchangesinnetassetsofthesetincomeplan.Thedifferencebetweenthenewlyacquiredlong-termequityinvestmentduetothepurchaseofminoritysharesandtheidentifiablenetassetsshareofsubsidiariescalculatedaccordingtotheincreasedshareholdingratio,andthedifferencebetweenthedisposalpriceobtainedfrompartialdisposalofequityinvestmentinsubsidiariesandthenetassetsshareofsubsidiariescorrespondingtothedisposaloflong-termequityinvestmentareusedtoadjusttheequitypremiuminthecapitalreserveintheconsolidatedbalancesheet.Iftheequitypremiuminthecapitalreserveisinsufficienttooffset,theretainedearningswillbeadjusted.

(4)Processingofconsolidatedstatementsfromstep-by-stepdisposalofequitytolossofcontrolrightsIfthetransactionsthatdisposeoftheequityinvestmentinsubsidiariesuntilthelossofcontrolrightsareofapackagetransaction,thetransactionsshallbetreatedastransactionsthatdisposeofsubsidiariesandlosecontrolrights;However,thedifferencebetweenthedisposalpriceandtheshareofthesubsidiary'snetassetsrelatedtothedisposalinvestmentbeforethelossofcontrolrightisrecognizedasothercomprehensiveincomeintheconsolidatedfinancialstatements,whichwillbetransferredtothecurrentprofitandlosswhenthecontrolrightislost,exceptforothercomprehensiveincomearisingfromthere-measurementofthenetliabilitiesorchangesinnetassetsofthesetincomeplanbytheinvestee.Ifitisnotapackagetransaction,beforethelossofcontrol,thedifferencebetweenthedisposalpriceandthecorrespondingnetassetscontinuouslycalculatedbythesubsidiaryfromthepurchasedatewillbeadjustedtothecapitalreserve,andifthecapitalreserveisinsufficienttooffset,theretainedearningswillbeadjusted;Incaseoflossofcontrolright,theaccountingtreatmentshallbecarriedoutaccordingtotheaboveaccountingpolicywhenthecontrolrightovertheoriginalsubsidiaryislost.

7.RecognitionStandardofCash&CashEquivalents

CashandcashequivalentsoftheCompanyincludecashonhand,readyusabledepositsandinvestmentshavingshortholdingterm(normallywillbeduewithinthreemonthsfromthedayofpurchase),withstrongliquidityandeasytobeexchangedintocertainamountofcashthatcanbemeasuredreliablyandhavelowrisksofchange.

8.ForeignCurrencyTransaction

(1)Foreigncurrencybusiness

ForeigncurrencytransactionsoftheCompanyareconvertedintotheamountofbookkeepingbasecurrencyaccordingtothespotrateonthetransactiondate.

Onthebalancesheetdate,foreigncurrencymonetaryitemsandforeigncurrencynon-monetaryitemsshallbetreatedaccordingtothefollowingprovisions:foreigncurrencymonetaryitemsshallbeconvertedatthespotrateonthebalancesheetdate.Exchangedifferencesarisingfromthedifferencebetweenthespotrateonthe

balancesheetdateandthespotrateatthetimeofinitialrecognitionorthepreviousbalancesheetdateareincludedinthecurrentprofitsandlosses;Foreigncurrencynon-monetaryitemsmeasuredathistoricalcostarestillconvertedatthespotrateonthetransactiondate,withoutchangingtheirbookkeepingbasecurrencyamount;Foreigncurrencynon-monetaryitemsmeasuredatfairvalueshallbeconvertedatthespotrateonthefairvaluedeterminationdate,andthedifferencebetweentheconvertedbookkeepingbasecurrencyamountandtheoriginalbookkeepingbasecurrencyamountshallbetreatedaschangesinfairvalue(includingexchangeratechanges)andincludedinthecurrentprofitsandlosses;Duringthecapitalizationperiod,theexchangedifferencebetweentheprincipalandinterestofforeigncurrencyspecialloansiscapitalizedandincludedinthecostofassetsthatmeetthecapitalizationconditions.

(2)TranslationofforeigncurrencyfinancialstatementsWhenconvertingforeigncurrencyfinancialstatements,theCompanyshallcomplywiththefollowingregulations:assetsandliabilitiesinthebalancesheetshallbeconvertedatthespotrateonthebalancesheetdate,andotheritemsofowner'sequityexcept"undistributedprofits"shallbeconvertedatthespotrateatthetimeofoccurrence;Theincomeandexpenseitemsintheincomestatementshallbeconvertedatthespotrateonthetransactiondate(orattheexchangeratedeterminedbyasystematicandreasonablemethodandsimilartothespotrateonthetransactiondate).Thetranslationdifferenceofforeigncurrencyfinancialstatementsgeneratedaccordingtotheabovetranslationisrecognizedasothercomprehensiveincome.Theconversionofcomparativefinancialstatementsshallbehandledaccordingtotheaboveprovisions.

9.Financialinstruments(Doesnotincludeimpairment)

TheCompanyrecognizesthefinancialassetsorliabilitieswheninvolvedinfinancialinstruments’agreements.

（1）Classification,recognitionandmeasurementoffinancialassets

Inaccordancewiththecharacteristicsofbusinessmodelformanagingfinancialassetsandthecontractualcashflowoffinancialassets,theCompanyclassifiesfinancialassetsinto:financialassetsmeasuredinamortizedcost;financialassetsmeasuredatfairvalueandtheir'schangesareincludedinothercomprehensiveincome;financialassetsmeasuredatfairvalueandtheir'schangesareincludedincurrentprofitsandlosses.

Theinitialmeasurementoffinancialassetsiscalculatedbyusingfairvalue.Forfinancialassetsmeasuredatfairvalue,whosechangesareincludedincurrentprofitsandlosses,relevanttransactioncostsaredirectlyincludedincurrentprofitsandlosses;Forothertypesoffinancialassets,relevanttransactioncostsareincludedintheinitialrecognitionamount.

①FinancialassetsmeasuredatamortizedcostThebusinessmodeloftheCompany'smanagementoffinancialassetsmeasuredbyamortizedcostisaimedatcollectingthecontractualcashflow,andthecontractualcashflowcharacteristicsofsuchfinancialassetsareconsistentwiththebasiclendingarrangements,thatis,thecashflowgeneratedonaspecificdateisonlythepaymentofprincipalandinterestbasedontheamountofoutstandingprincipal.Forsuchfinancialassets,theCompanyadoptsthemethodofrealinterestrateandmakessubsequentmeasurementaccordingtothecostofamortization.Theprofitsorlossesresultingfromamortizationorimpairmentareincludedincurrentprofitsandlosses.

②FinancialassetsmeasuredatfairvalueandchangesincludedinothercomprehensiveincomeTheCompany'sbusinessmodelformanagingsuchfinancialassetsistocollectthecontractualcashflow,andthecontractualcashflowcharacteristicsofsuchfinancialassetsareconsistentwiththebasiclendingarrangements.TheCompanymeasuressuchfinancialassetsatfairvalueandtheirchangesareincludedinothercomprehensivegains,butimpairmentlossesorgains,exchangegainsandlossesandinterestincomecalculated

accordingtotheactualinterestratemethodareincludedincurrentprofitsandlosses.

Inaddition,theCompanydesignatedsomenon-tradingequityinstrumentinvestmentsasfinancialassetsmeasuredatfairvaluewithchangesincludedinothercomprehensiveincome.TheCompanyincludestherelevantdividendincomeofsuchfinancialassetsincurrentprofitsandlosses,andthechangesinfairvalueinothercomprehensivegains.Whenthefinancialassetceasestoberecognized,theaccumulatedgainsorlossespreviouslyincludedinothercomprehensivegainsshallbetransferredintoretainedincomefromothercomprehensiveincome,andnotbeincludedincurrentprofitandloss.

③Financialassetsmeasuredatfairvalueandchangesincludedincurrentprofitsandlosses

TheCompanyincludestheabove-mentionedfinancialassetsmeasuredatamortizedcostandthosemeasuredatfairvalueandtheir'schangesinfinancialassetsotherthanfinancialassetsofcomprehensiveincomeandclassifiesthemasfinancialassetsmeasuredatfairvalueandtheir'schangesthatareincludedincurrentprofitsandlosses.Inaddition,theCompanydesignatessomefinancialassetsasfinancialassetsmeasuredatfairvalueandincludestheirchangesincurrentprofitsandlossesinordertoeliminateorsignificantlyreduceaccountingmismatchesduringinitialrecognition.Inregardwithsuchfinancialassets,theCompanyadoptsfairvalueforsubsequentmeasurement,andincludeschangesinfairvalueintocurrentprofitsandlosses.

（2）Classification,recognitionandmeasurementoffinancialliabilities

TheGroup’sfinancialliabilitiesare,oninitialrecognition,classifiedintofinancialliabilitiesatfairvaluethroughprofitorlossandotherfinancialliabilities.Forfinancialliabilitiesatfairvaluethroughprofitorloss,relevanttransactioncostsareimmediatelyrecognizedinprofitorlossforthecurrentperiod,andtransactioncostsrelatingtootherfinancialliabilitiesareincludedintheinitialrecognitionamounts.

①Financialliabilitiesmeasuredbythefairvalueandthechangesrecordedinprofitorloss

Theclassificationbywhichfinancialliabilitiesheld-for-tradeandfinancialliabilitiesdesignedattheinitialrecognitiontobemeasuredbythefairvaluefollowsthesamecriteriaastheclassificationbywhichfinancialassetsheld-for-tradeandfinancialassetsdesignedattheinitialrecognitiontobemeasuredbythefairvalueandtheirchangesarerecordedinthecurrentprofitorloss

Transactionalfinancialliabilities(includingderivativesbelongingtofinancialliabilities)aresubsequentlymeasuredaccordingtofairvalue.Exceptforhedgingaccounting,changesinfairvalueareincludedincurrentprofitsandlosses.

Financialliabilitiesdesignatedasfinancialliabilitiesthataremeasuredatfairvalueandtheir'schangesareincludedincurrentprofitsandlosses.TheliabilitiesareincludedinothercomprehensivegainsduetochangesinfairvaluecausedbychangesintheCompany'sowncreditrisk,andwhentheliabilitiesareterminated,thechangesinfairvaluecausedbychangesinitsowncreditriskofothercomprehensivegainsareincludedinthecumulativechangesinitsfairvaluecausedbychangesinitsowncreditriskofothercomprehensivegains.Theamountistransferredtoretainedearnings.Theremainingchangesinfairvalueareincludedincurrentprofitsandlosses.Iftheabove-mentionedwayofdealingwiththeimpactofthechangesinthecreditriskofsuchfinancialliabilitieswillresultinorexpandtheaccountingmismatchintheprofitsandlosses,theCompanyshallincludealltheprofitsorlossesofsuchfinancialliabilities(includingtheamountoftheimpactofthechangesinthecreditriskoftheenterpriseitself)intothecurrentprofitsandlosses.

②Otherfinancialliabilities

Inadditiontothetransferofafinancialassetisnotinconformitywiththeconditionstostoptherecognitionorformedbyitscontinuousinvolvementinthetransferredfinancialasset,financialliabilitiesandfinancialguaranteecontractofotherfinancialliabilitiesclassifiedasfinancialliabilitiesmeasuredattheamortizedcost,measuredattheamortizedcostforsubsequentmeasurement,recognitionhasbeenstoppedoramortizationoftheprofitorlossisincludedinthecurrentprofitsandlosses.

(3)RecognitionbasisandmeasurementmethodsfortransferoffinancialassetsFinancialassetssatisfyingoneofthefollowingconditionsshallbeterminatedandrecognized:①Thecontractualrighttocollectthecashflowofthefinancialassetisterminated;②Thefinancialassethasbeentransferred,andalmostalltherisksandrewardsintheownershipofthefinancialassethavebeentransferredtothetransferee;③Thefinancialassethasbeentransferred,althoughtheenterpriseneithertransfersnorretainsalmostalltherisksandrewardsintheownershipofthefinancialasset,butitabandonedcontrolofthefinancialassets.Incasethattheenterprisedoesnottransferorretainalmostallrisksandrewardsonfinancialassetsownershipnorwaivetocontroltheseassets,relevantfinancialassetsshallberecognizedinaccordancewiththedegreeforcontinuedinvolvementoffinancialassetstransferredandrelevantliabilitiesshallberecognizedcorrespondingly.westbankTheterm"continuousinvolvementinthetransferredfinancialasset"shallrefertotherisklevelthattheenterprisefacesresultingfromthechangeofthevalueofthefinancialasset.

Iftheoveralltransferofthefinancialassetssatisfiesthederecognitioncriteria,thedifferencebetweenthebookvalueofthetransferredfinancialassetsandthesumoftheconsiderationreceivedfromtransferandcumulativechangeinfairvaluepreviouslyrecognizedinothercomprehensiveincomeisaccountedintothecurrentprofitorloss.Incasethatthepartialtransferoffinancialassetsmeetsde-recognitionconditions,thebookvalueoffinancialassetstransferredshallbeallocatedasperrespectivefairvaluebetweende-recognizedornotde-recognizedparts,andthedifferencebetweenthesumoftheconsiderationreceivedduetotransferwiththeaccumulatedamountoffairvaluechangesthatispreviouslyincludedinothercomprehensiveincomeandshallbeallocatedtode-recognizedpartsandtheaforesaidbookamountallocatedshallbeincludedinthecurrentprofitorloss.TheCompanyshalldeterminewhetheralmostalltherisksandrewardsoftheownershipofthefinancialassetssoldbymeansofrecourseorendorsedtotransferthefinancialassetsitholdshavebeentransferred.Ifalmostalltherisksandrewardsintheownershipofthefinancialassethavebeentransferredtothetransferee,theconfirmationofthefinancialassetshallbeterminated;ifalmostalltherisksandrewardsintheownershipofthefinancialassethavebeenretained,theconfirmationofthefinancialassetshallnotbeterminated;ifneitherthetransfernortheretentionofalmostalltherisksandrewardsintheownershipofthefinancialassethasbeenmade.Incaseofremuneration,itshallcontinuetodeterminewhethertheenterprisehasretainedcontrolovertheassetsandconductaccountingtreatmentinaccordancewiththeprinciplesdescribedintheprecedingparagraphs.

(4)Terminationconfirmationoffinancialliabilities

Ifthecurrentobligationofafinancialliability(orpartthereof)hasbeendischarged,theCompanyshallterminatetherecognitionofthefinancialliability(orpartthereof).IftheCompany(thedebtor)signsanagreementwiththelendertoreplacetheoriginalfinancialliabilitiesbyassumingnewfinancialliabilities,andthecontracttermsofthenewfinancialliabilitiesaresubstantiallydifferentfromthoseoftheoriginalfinancialliabilities,itshallterminatetherecognitionoftheoriginalfinancialliabilitiesandatthesametimeconfirmanewfinancialliabilities.IftheCompanysubstantiallyamendsthecontracttermsoftheoriginalfinancialliabilities(orpartthereof),itshallterminatetheconfirmationoftheoriginalfinancialliabilitiesandatthesametimeconfirmanewfinancialliabilitiesinaccordancewiththerevisedterms.

Ifthefinancialliabilities(orpartthereof)areterminated,thedifferencebetweentheirbookvalueandtheconsiderationpaid(includingthetransferrednon-cashassetsorliabilitiesassumed)shallbeincludedintheprofitsandlossesofthecurrentperiod.

（5）Offsettingfinancialassetsandfinancialliabilities

WhentheCompanyhasalegalrightthatiscurrentlyenforceabletosetofftherecognizedfinancialassets

andfinancialliabilities,andintendseithertosettleonanetbasis,ortorealizethefinancialassetandsettlethefinancialliabilitysimultaneously,afinancialassetandafinancialliabilityshallbeoffsetandthenetamountispresentedinthebalancesheet.Exceptfortheabovecircumstances,financialassetsandfinancialliabilitiesshallbepresentedseparatelyinthebalancesheetandshallnotbeoffset.

(6)MethodfordeterminingthefairvalueoffinancialassetsandfinancialliabilitiesFairvaluereferstothepricethatamarketparticipantmustpaytosellortransferaliabilityinanorderlytransactionthatoccursonthemeasurementdate.ThefairvalueoffinancialinstrumentsexistinginanactivemarketisdeterminedbytheCompanyaccordingtoitsquotedpriceinthismarket.westbankThequotedpricesintheactivemarketrefertotheprices,whichareeasilyavailablefromthestockexchanges,brokers,industryassociations,pricingserviceinstitutionsandetc.atafixedterm,andwhichrepresentthepricesatwhichactuallyoccurredmarkettransactionsaremadeunderfairconditions.?¨Incanafinancialinstrumentdoesnotexistinactivemarkets,itsfairvalueshallbedeterminedbytheCompanywithassessmenttechniques.Thevalueappraisaltechniquesmainlyincludethepricesadoptedbytheparties,whoarefamiliarwiththecondition,inthelatestmarkettransactionupontheirownfreewill,thecurrentfairvalueobtainedbyreferringtootherfinancialinstrumentsofthesameessentialnature,thecashflowcapitalizationmethodandtheoptionpricingmodel,etc.Invaluation,theCompanyadoptsvaluationtechniquesthatareapplicableinthecurrentsituationandsupportedbysufficientdataandotherinformationtoselectinputvaluesconsistentwiththecharacteristicsofassetsorliabilitiesconsideredbymarketparticipantsinthetransactionsofrelatedassetsorliabilities,andgiveprioritytotheuseofrelevantobservableinputvaluesasfaraspossible.Unallowablevaluesareusediftherelevantobservableinputvaluesarenotavailableorarenotpracticable.

（7）EquityinstrumentsAnequityinstrumentisanycontractthatevidencesaresidualinterestintheassetsoftheCompanyafterdeductingallofitsliabilities.Theconsiderationreceivedfromissuingequityinstruments,netoftransactioncosts,areaddedtoshareholders’equity.Alltypesofdistribution(excludingstockdividends)madebytheCompanytoholdersofequityinstrumentsaredeductedfromshareholders’equity.Thedividends(including"interest"generatedbythetoolsclassifiedasequityinstruments)distributedbytheCompany'sequityinstrumentsduringtheperiodoftheirexistenceshallbetreatedasprofitdistribution.

10.ImpairmentoffinancialinstrumentsTheCompanyrequirestoconfirmthatthefinancialassetslostbyimpairmentarefinancialassetsmeasuredbyamortizedcost,investmentindebtinstrumentsandleasereceivableswhicharemeasuredatfairvalueandwhosechangesareincludedinothercomprehensivegains,mainlyincludingnotesreceivable,accountsreceivable,otherreceivables,creditor'srightsinvestment,othercreditor'srightsinvestmentandlong-termreceivablesandetc.Inaddition,provisionforimpairmentandconfirmationofcreditimpairmentlossesarealsomadeforcontractassetsandsomefinancialguaranteecontractsinaccordancewiththeaccountingpoliciesdescribedinthissection.

(1)MethodofconfirmingimpairmentprovisionBasedonanticipatedcreditloss,theCompanycalculatesimpairmentpreparationandconfirmscreditimpairmentlossaccordingtotheapplicableanticipatedcreditlossmeasurementmethod(generalmethodorsimplifiedmethod).

Creditlossreferstothedifferencebetweenthecashflowofallcontractsdiscountedaccordingtotheoriginalrealinterestrateandtheexpectedcashflowofallcontractsreceivableaccordingtothecontract,thatis,thepresentvalueofallcashshortages.Amongthem,theCompanydiscountsthefinancialassetspurchasedororiginatedwithcreditimpairmentattheactualinterestrateadjustedbycredit.ThegeneralmethodofmeasuringanticipatedcreditlossiswhetherthecreditriskoftheCompany's

financialassets(includingotherapplicableitemssuchascontractassets,similarlyhereinafter)hasincreasedsignificantlysincetheinitialrecognitiononeachbalancesheetday.Ifthecreditriskhasincreasedsignificantlysincetheinitialrecognition,theCompanyshallmeasurethelosspreparationaccordingtotheamountequivalenttotheexpectedcreditlossinthewholeduration.Ifthecreditriskhasnotincreasedsignificantlysincetheinitialrecognition,theCompanyshallmeasurethelosspreparationaccordingtotheamountequivalenttotheexpectedcreditlossinthenext12months.TheCompanyshallconsiderallreasonableandevidencedinformation,includingforward-lookinginformation,whenevaluatingexpectedcreditlosses.Assumingthattheircreditriskhasnotincreasedsignificantlysincetheinitialrecognition,theCompanymaychoosetomeasurethelossreserveaccordingtotheexpectedcreditlossinthenext12monthsforfinancialinstrumentswithlowcreditriskonthebalancesheetdate.

(2)CriteriaforjudgingwhethercreditriskhasincreasedsignificantlysincetheinitialrecognitionIftheprobabilityofdefaultofafinancialassetontheestimateddurationofthebalancesheetissignificantlyhigherthantheprobabilityofdefaultduringtheestimateddurationoftheinitialrecognition,thecreditriskofthefinancialassetissignificantlyincreased.Exceptforspecialcircumstances,theCompanyusesthechangeofdefaultriskinthenext12monthsasareasonableestimateofthechangeofdefaultriskintheentiredurationtodeterminewhetherthecreditriskhasincreasedsignificantlysincetheinitialrecognition.

(3)Aportfolio-basedapproachtoassessingexpectedcreditriskTheCompanyshallevaluatethecreditriskoffinancialassetswithdistinctdifferencesincreditrisk,suchastherelatedparty'sreceivables,thereceivablesindisputewiththeotherpartyorinvolvinglitigationandarbitration,andreceivablesthathasbeenprovedthatthedebtormaynotbeabletofulfilltheobligationofrepayment,etc.

Inadditiontothefinancialassetsthatassesscreditriskindividually,theCompanyshalldividefinancialassetsintodifferentgroupsbasedoncommonriskcharacteristics,andassesscreditriskonthebasisofportfolio.

(4)Accountingtreatmentofimpairmentoffinancialassets

Attheendoftheduration,theCompanyshallcalculatetheanticipatedcreditlossesofvariousfinancialassets.Iftheanticipatedcreditlossesaregreaterthanthebookvalueofitscurrentimpairmentprovision,thedifferenceisdeemedasimpairmentloss.Ifthebalanceislessthanthebookvalueofthecurrentimpairmentprovision,thedifferenceisdeemedasimpairmentprofit.

(5)Methodofdeterminingcreditlossesofvariousfinancialassets

①ReceivableAccountandContractassets

Inregardtoreceivableswithoutsignificantfinancingcomponents,theCompanyshallmeasurelosspreparationaccordingtotheamountofanticipatedcreditlossequivalenttotheentireduration.

Inregardtoaccountsreceivablewithsignificantfinancingcomponents,theCompanyshallchoosetomeasurelosspreparationaccordingtotheamountequivalenttotheexpectedcreditlosswithinthedurationallthetime.

Inadditiontotheaccountsreceivablethatassessesthecreditriskindividually,receivablesaredividedintodifferentportfoliosbasedontheircreditriskcharacteristics:

ItemsBasisfordeterminingcombination:
Protfolio1：AgingprotfolioThisportfolioischaracterizedbytheagingofreceivablesasacreditrisk.
Portfolio2：QualityGuaranteeportfolioThisportfolioisthecontractqualityguaranteefundandotherfunds

Fortheaboveportfolio1,themeasurementmethodofbaddebtsreserveistheaginganalysismethod,specificallyasfollows：

AgingProportion（%）
Within1year（Including1year）0
1-2years10
2-3years30
3-4years50
4-5years90
Over5years100

Fortheguaranteefundportfolioofportfolio2,noprovisionforbaddebtsshallbemadeunlessthereisobjectiveevidencethatthemoneycannotberecoveredaccordingtotheoriginaltermsofaccountsreceivableandcontractassets.

②OtherreceivableTheCompanyhasmeasuredtheimpairmentlossbasedontheamountofexpectedcreditlossesinthenext12monthsortheentireduration,basedonwhetherthecreditriskofotherreceivableshasincreasedsignificantlysincetheinitialrecognition.Inadditiontotheotheraccountsreceivablewhichassessesthecreditriskindividually,theyaredividedintodifferentportfoliosbasedontheircreditriskcharacteristics:

ItemsBasisfordeterminingcombination:
Protfolio1Thisportfolioisacollectionofvariousdeposits,advances,pledgesandotherreceivablesindailyactivities.
Protfolio2Thisportfolioisareservefundborrowedbyemployeesintheirdailybusinessactivities.
Protfolio3Otherreceivablesotherthantheaboveportfolio.

Combinationofdeposit,qualityassurancefundanddepositandreservefundcombinationexceptforobjectiveevidencethattheGroupwillnotbeabletorecovertheamountaccordingtotheoriginaltermsofreceivables,willnotnormallybeaccruedforbaddebtreserves.Themeasurementmethodofbaddebtreservesforothercombinationsisaginganalysis,andtheaccrualproportionisthesameasaccountsreceivable.

③Creditor'srightsinvestment

Creditor'srightsinvestmentmainlyaccountsforbondinvestmentmeasuredbyamortizedcost,etc.TheCompanyhasmeasuredtheimpairmentlossbasedontheamountofexpectedcreditlossesinthenext12monthsortheentireduration,basedonwhetherthecreditriskhasincreasedsignificantlysincetheinitialrecognition.TheCompanyadoptsthemethodofevaluatingcreditriskwithindividualassetsforcreditor'srightsinvestment.

11.ContractassetsandContractliabilities

InthecontractbetweentheCompanyandcustomers,theCompanyhastherighttochargethecontractpriceforthegoodsandrelatedservicesthathavebeentransferredtocustomers,andmeanwhileundertaketheperformanceobligationoftransferringthegoodsorservicestocustomers.Whenthecustomeractuallypaysthecontractconsiderationortheenterprisehastransferredthegoodsorservicestothecustomerbeforetheconsiderationbecomesdueandpayable,therighttoreceivetheconsiderationduetothetransferredgoodsorservicesshallbelistedascontractassets,andrecognizedasaccountsreceivableorlong-termreceivableswhentheunconditionalrightofcollectionisobtained.`

InthecontractbetweentheCompanyandcustomers,theCompanyhastherighttoreceivethecontractconsiderationbeforetransferringthegoodsorservicestocustomers,andinthemeantimelisttheobligationtotransfergoodsorservicestocustomersduetotheconsiderationreceivedorreceivablefromcustomersascontractualliabilities.WhentheCompanyfulfillsitsobligationtotransfergoodsorprovideservicestocustomers,thecontractualliabilitiesarerecognizedasincome.

TheCompanyshalllistthecontractassetsandliabilitiesunderthesamecontractinnetamount.

12.Long-termequityinvestments

(1)InitialmeasurementTheCompanymakesinitialmeasurementoflong-termequityinvestmentinthefollowingtwosituations:

①Theinitialinvestmentcostoflong-termequityinvestmentformedbybusinesscombinationshallbedeterminedinaccordancewiththefollowingprovisions:

A.Inabusinesscombinationunderthesamecontrol,ifthecombiningpartypayscash,transfersnon-cashassetsorassumesdebtsasthecombinationconsideration,theshareofthebookvalueoftheowner'sequityofthemergedpartyintheconsolidatedfinancialstatementsofthefinalcontrollingpartyshallbetakenastheinitialinvestmentcostoflong-termequityinvestmentonthecombinationdate.Thedifferencebetweentheinitialinvestmentcostoflong-termequityinvestmentandthecashpaid,thetransferrednon-cashassetsandthebookvalueofthedebtsundertakenisadoptedtoadjustthecapitalreserve;Ifthecapitalreserveisinsufficienttooffset,theretainedearningsshallbeadjusted.Alldirectlyrelatedexpensesincurredforbusinesscombination,includingauditfees,evaluationfees,legalservicefees,etc.,areincludedinthecurrentprofitsandlosseswhentheyoccur.

B.Inthebusinesscombinationnotunderthesamecontrol,theCompanydeterminesthecombinationcostbydistinguishingthefollowingsituations:

a)Forbusinesscombinationrealizedbyoneexchangetransaction,thecostofcombinationisthefairvalueofassetspaid,liabilitiesincurredorassumedinordertogaincontroloverthepurchasedpartyonthepurchasedate;

b)Forbusinesscombinationrealizedstepbystepthroughmultipleexchangetransactions,thesumofthebookvalueoftheequityinvestmentofthepurchasedpartyheldbeforethepurchasedateandthenewinvestmentcostonthepurchasedateshallbetakenastheinitialinvestmentcostoftheinvestment;

c)Intermediaryexpensessuchasauditing,legalservices,evaluationandconsultation,andotherrelatedmanagementexpensesincurredforbusinesscombinationareincludedinthecurrentprofitsandlosseswhentheyoccur;

d)Iffutureeventsthatmayaffectthecombinationcostareagreedinthecombinationcontractoragreement,ifitisestimatedthatthefutureeventsarelikelytooccuronthepurchasedateandtheamountofimpactonthecombinationcostcanbereliablymeasured,theywillbeincludedinthecombinationcost.

②Exceptforthelong-termequityinvestmentformedbybusinesscombination,theinitialinvestmentcostoflong-termequityinvestmentobtainedbyothermeansshallbedeterminedinaccordancewiththefollowingprovisions:

A.Forthelong-termequityinvestmentobtainedbycashpayment,theactualpurchasepriceshallbetakenastheinitialinvestmentcost.Initialinvestmentcostincludesexpenses,taxesandothernecessaryexpendituresdirectlyrelatedtoobtaininglong-termequityinvestment.

B.Forlong-termequityinvestmentobtainedthroughexchangeofnon-monetaryassets,theinitialinvestmentcostshallbedeterminedaccordingtoAccountingStandardsforBusinessEnterprisesNo.7-ExchangeofNon-monetaryAssets.

C.Forlong-termequityinvestmentobtainedthroughdebtrestructuring,theinitialinvestmentcostshallbedeterminedaccordingtoAccountingStandardsforBusinessEnterprisesNo.12-DebtRestructuring.

③Nomatterhowthelong-termequityinvestmentisobtained,whentheinvestmentisobtained,thecashdividendsorprofitsincludedinthepaidconsiderationthathavebeendeclaredbutnotyetissuedbytheinvesteeareseparatelyaccountedasreceivableitems,whichdoesnotconstitutetheinitialinvestmentcostofobtainingthelong-termequityinvestment.

(2)Subsequentmeasurement

Long-termequityinvestmentthatcanbecontrolledbytheinvesteeshallbeaccountedbythecostmethodinindividualfinancialstatements.Long-termequityinvestmentsthathavejointcontrolorsignificantinfluenceon

theinvesteeshallbeaccountedbyequitymethod.

①Long-termequityinvestmentaccountedbycostmethodispricedaccordingtotheinitialinvestmentcost。Adjustthecostoflong-termequityinvestmentbyaddingorrecoveringinvestment.Cashdividendsorprofitsdeclaredanddistributedbytheinvesteeshallberecognizedascurrentinvestmentincome.Iftheinitialinvestmentcostoflong-termequityinvestmentaccountedbyequitymethodisgreaterthanthefairvalueshareofidentifiablenetassetsoftheinvestee,theinitialinvestmentcostoflong-termequityinvestmentshallnotbeadjusted;Iftheinitialinvestmentcostoflong-termequityinvestmentislessthanthefairvalueshareoftheidentifiablenetassetsoftheinvesteeatthetimeofinvestment,thedifferenceshallbeincludedinthecurrentprofitsandlosses,andthecostoflong-termequityinvestmentshallbeadjustedatthesametime.

Afterobtainingthelong-termequityinvestment,theinvestmentincomeandothercomprehensiveincomeshallberecognizedrespectivelyaccordingtotheshareofthenetprofitandlossandothercomprehensiveincomerealizedbytheinvestedunit,andthebookvalueofthelong-termequityinvestmentshallbeadjustedatthesametime;Accordingtotheprofitorcashdividenddeclaredanddistributedbytheinvestee,thebookvalueoflong-termequityinvestmentshallbereducedaccordingly;Thebookvalueofthelong-termequityinvestmentisadjustedandincludedintheowner'sequityforotherchangesintheowner'sequityoftheinvesteeexceptnetprofitandloss,othercomprehensiveincomeandprofitdistribution.Whenrecognizingtheshareofthenetprofitandlossoftheinvestee,thenetprofitoftheinvesteeisrecognizedafteradjustmentbasedonthefairvalueoftheidentifiablenetassetsoftheinvesteeatthetimeofobtainingtheinvestment.IftheaccountingpoliciesandaccountingperiodsadoptedbytheinvesteeareinconsistentwiththoseoftheCompany,thefinancialstatementsoftheinvesteeshallbeadjustedaccordingtotheaccountingpoliciesandaccountingperiodsoftheCompany,andtheinvestmentincomeandothercomprehensiveincomeshallberecognizedaccordingly.Thenetlossincurredbytheinvesteeisrecognizedtobewrittendowntozerobythebookvalueoflong-termequityinvestmentandotherlong-termintereststhatsubstantiallyconstitutethenetinvestmentoftheinvestee,unlesstheCompanyisobligatedtobearadditionallosses.Iftheinvesteeachievesnetprofitinthefuture,theCompanywillresumetherecognitionoftherevenuesharingamountafteritsrevenuesharingamountcompensatesfortheunrecognizedlosssharingamount.

Whencalculatingandrecognizingthenetprofitandlossthatshouldbeenjoyedorsharedbytheinvestee,theunrealizedinternaltransactionprofitandlosswiththeaffiliatedenterpriseandthejointventureshallbecalculatedaccordingtotheproportionthatshouldbeenjoyed,andthepartattributabletotheCompanyshallbeoffset,andtheinvestmentincomeshallberecognizedonthisbasis.UnrealizedinternaltransactionlossesbetweentheCompanyandtheinvesteeareassetimpairmentlosses,whichshallbefullyrecognized.

Partofthecompany'sequityinvestmentinaffiliatedenterprisesisindirectlyheldthroughventurecapitalinstitutions,mutualfunds,trustcompaniesorsimilarentitiesincludinginvestment-linkedinsurancefunds.Regardlessofwhethertheaboveentitieshaveasignificantimpactonthispartofinvestment,theCompanychoosestomeasurethispartofindirectinvestmentatfairvalueanditschangeisincludedinprofitorlossinaccordancewiththerelevantprovisionsofAccountingStandardsforBusinessEnterprisesNo.22-RecognitionandMeasurementofFinancialInstruments,andtherestisaccountedforbyequitymethod.

②WhentheCompanydisposesoflong-termequityinvestment,thedifferencebetweenitsbookvalueandtheactualpurchasepriceshallbeincludedinthecurrentprofitsandlosses.Forlong-termequityinvestmentaccountedbyequitymethod,whendisposingoftheinvestment,itadoptsthesamebasisastheinvestee'sdirectdisposalofrelatedassetsorliabilities,andaccountsforthepartoriginallyincludedinothercomprehensiveincomeaccordingtothecorrespondingproportion.

(3)Basistodeterminejointcontroloverandsignificantinfluenceontheinvestee

Jointcontrolreferstothecommoncontrolofanarrangementinaccordancewiththerelevantagreement,and

therelevantactivitiesofsucharrangementmustbeunanimouslyagreedbytheparticipantswhosharethecontrolrightsbeforemakingdecisions.Significantinfluencemeansthattheinvestorhastherighttoparticipateinthedecision-makingonthefinancialandoperatingpoliciesoftheinvestee,butcannotcontrolorjointlycontroltheformulationofthesepolicieswithotherparties.Whendeterminingwhethertheinvesteecanbecontrolledorexertsignificantinfluence,thepotentialvotingrightsfactorssuchascurrentconvertiblebondsandcurrentexecutablewarrantsoftheinvesteeheldbytheCompanyandotherpartiesshallbeconsideredatthesametime.

13.InvestmentPropertyThemeasurementmodeofinvestmentpropertyThemeasurementbythecostmethodDepreciationoramortizationmethodInvestmentpropertyisheldtoearnrentalsorforcapitalappreciationorforboth.Investmentpropertyincludesleasedorreadytotransferaftercapitalappreciationlanduserightsandleasedbuildings.

（1）Themeasurementmodeofinvestmentproperty

①DepreciationoramortizationmethodTheestimatedservicelife,netsalvagevaluerateandannualdepreciation(amortization)rateofinvestmentrealestatearelistedasfollows:

TypeEstimatedservicelife(years)EstimatednetsalvagevaluerateAnnualdepreciation(amortization)rate
LanduserightRemainingusefullife
Housesandbuildings20-30years3%-10%3%-4.85%

②ImpairmenttestmethodandaccountingtreatmentmethodSee"30.AssetImpairment"fordetailsofimpairmenttestmethodsandimpairmentprovisionaccrualmethodsofinvestmentrealestate.

(2)Conversionofinvestmentrealestate

TheCompanyhasconclusiveevidencethattheuseofrealestatehaschanged.Whenconvertinginvestmentrealestateintoself-userealestateorinventory,thefairvalueonthedayofconversionistakenasthebookvalueofself-userealestate,andthedifferencebetweenfairvalueandoriginalbookvalueisincludedincurrentprofitsandlosses.Whenself-userealestateorinventoryisconvertedintoinvestmentrealestatemeasuredbyfairvaluemodel,theinvestmentrealestateispricedaccordingtothefairvalueontheconversionday.Ifthefairvalueontheconversiondayislessthantheoriginalbookvalue,thedifferenceisincludedinthecurrentprofitsandlosses;Ifthefairvalueontheconversiondateisgreaterthantheoriginalbookvalue,thedifferenceshallbeincludedinothercomprehensiveincome.

14.Fixedassets

（1）Confirmationconditions

TheCompany'sfixedassetsrefertotangibleassetsheldfortheproductionofcommodities,provisionoflaborservices,leasingoroperationmanagement,whichhaveaservicelifeofmorethanoneyear,andwhoseeconomicbenefitsarelikelytobeincludedintotheCompanyandwhosecostscanbereliablymeasured.1）Theclassificationofthefixedasset

TheCompany'sfixedassetsincluderoadsandbridges,housesandbuildings,machineryandequipment,electronicequipment,transportationtoolsandotherequipment.

（2）Depreciationmethod

TypeDepreciationmethodExpectedusefullife(Year)Residualrate（%）Annualdepreciationrate(%)
GuangfoExpresswayWorkingflowbasis28years0%
FokaiExpressway-XiebiantoSanbaoSectionWorkingflowbasis40years0%
FokaiExpressway-SanbaotoShuikouSectionWorkingflowbasis47.5years0%
JingzhuExpresswayGuangzhuSectionWorkingflowbasis30years0%
GuanghuiExpresswayCo.,Ltd.Workingflowbasis23years0%
HouseBuildingThestraight-linemethod20-30years3%-5%3.17%-4.85%
MachineEquipmentThestraight-linemethod3-10years3%-5%9.50%-32.33%
TransportationEquipmentThestraight-linemethod5-8years3%-5%11.88%-19.40%
OtherThestraight-linemethod5years3%-5%19.00%-19.40%

Forthefixedassetsformedbyspecialreserveexpenditure,thespecialreserveshallbeoffsetaccordingtothecosttoformthefixedassets,andtheaccumulateddepreciationofthesameamountshallberecognized.Thefixedassetswillnotbedepreciatedinfutureperiods.

Accordingtothenatureandusageoffixedassets,theCompanydeterminestheservicelifeandestimatednetsalvagevalueoffixedassets.Attheendoftheyear,theservicelife,estimatednetsalvagevalueanddepreciationmethodoffixedassetsshallberechecked,andifthereisanydifferencewiththeoriginalestimate,correspondingadjustmentsshallbemade.

15.Construction-inprocess

TheconstructioninprogressoftheCompanyreferstotheplant,equipmentandotherfixedassetsunderconstruction,whichareaccountedforindetailaccordingtotheprojectandrecordedaccordingtotheactualcost,includingdirectconstructionandinstallationcostsandborrowingcoststhatmeetthecapitalizationconditions.Whentheconstructioninprogressreachesthescheduledusablestate,itwillbecarriedovertofixedassetsbytemporaryestimation,stopinterestcapitalization,andstarttoaccruedepreciationaccordingtothedetermineddepreciationmethodoffixedassets.Aftertheprojectiscompletedandfinalaccountsaremade,theoriginalestimatedamountwillbeadjustedaccordingtotheamountoffinalaccounts,buttheoriginalaccrueddepreciationamountwillnotbeadjusted.

16.Borrowingcost

(1)Recognitionprincipleandcapitalizationperiodofborrowingcostcapitalization

BorrowingcostsincurredbytheCompanycanbedirectlyattributedtothepurchase,constructionorproductionofassetsthatmeetthecapitalizationconditions,andshallbecapitalizedwhenthefollowingconditionsaremetatthesametimeandincludedintherelevantassetcosts:

①Productionandexpenditurehaveoccurred;

②Borrowingcostshavealreadyoccurred;

③Thepurchase,constructionorproductionactivitiesrequiredtomaketheassetsreachtheintendedusableorsaleablestatehavestarted.Capitalizationofborrowingcostsshallbesuspendediftheassetsthatmeetthecapitalizationconditionsareabnormallyinterruptedintheprocessofpurchase,constructionorproduction,andtheinterruptiontimecontinuouslyexceeds3months.Borrowingcostsincurredduringtheinterruptionperiodarerecognizedasexpensesandincludedinthecurrentprofitsandlossesuntilthepurchaseandconstructionofassetsortheresumptionofproductionactivities.Iftheinterruptionisanecessaryprocedureforthepurchased,builtorproducedassetsthatmeetthecapitalizationconditionstoreachtheintendedusableorsaleablestate,thecapitalizationofborrowingcostswillcontinue.

Capitalizationofborrowingcostsshallbestoppedwhenassetseligibleforcapitalizationarepurchased,builtorproducedtotheintendedusableorsaleablestate.Borrowingcostsincurredinthefuturearerecognizedasexpensesinthecurrentperiod.

(2)Calculationmethodofcapitalizationamountofborrowingcosts

Whereaspecialloanisborrowedforthepurposeofpurchasing,buildingorproducingassetsthatmeetthecapitalizationconditions,itshallbedeterminedbydeductingtheinterestincomeobtainedbydepositingunusedloanfundsintothebankfromtheinterestexpensesactuallyincurredinthecurrentperiodofspecialloanorbytheinvestmentincomeobtainedbytemporaryinvestment.

Ifthegeneralloanisoccupiedforthepurposeofpurchasing,buildingorproducingassetsthatmeetthecapitalizationconditions,theinterestamountofthegeneralloanthatshouldbecapitalizedshallbecalculatedanddeterminedaccordingtotheweightedaverageoftheaccumulatedassetexpenditureexceedingthespecialloanportionmultipliedbythecapitalizationrateoftheoccupiedgeneralloan.Capitalizationrateiscalculatedanddeterminedaccordingtotheweightedaverageinterestrateofgeneralborrowings.

17.Intangibleassets

(1)Pricingmethod,usefullifeandimpairmenttest

TheCompanyrecognizestheidentifiablenon-monetaryassetsownedorcontrolledbytheenterpriseasintangibleassets,whichhavenophysicalform,andtheestimatedfutureeconomicbenefitsrelatedtotheassetsarelikelytoflowintotheenterpriseandthecostoftheassetscanbereliablymeasured.

TheintangibleassetsoftheCompanyarerecordedaccordingtotheamountactuallypaidorthedeterminedvalue.

(1)Ifthepurchasepriceofintangibleassetsexceedsthenormalcreditconditions,whichisoffinancingnatureinessence,thecostofintangibleassetsisdeterminedbasedonthepresentvalueofthepurchaseprice.Thedifferencebetweentheactualpaidpriceandthepresentvalueofthepurchasepriceshallbeincludedinthecurrentprofitsandlosseswithinthecreditperiod,exceptthatitshouldbecapitalizedaccordingtotheregulations.

(2)Theintangibleassetsinvestedbyinvestorsshallbetakenasthecostaccordingtothevalueagreedintheinvestmentcontractoragreement,unlessthevalueagreedinthecontractoragreementisunfair.

IntangibleassetswithlimitedservicelifeoftheCompanyshallbeamortizedonaveragewithintheservicelifesincetheintangibleassetsareavailableforuse.Intangibleassetswithuncertainservicelifearenotamortized.Theamortizationamountofintangibleassetsistheamountafterdeductingtheestimatedsalvagevaluefromitscost.Forintangibleassetsforwhichimpairmentprovisionhasbeenmade,theaccumulatedamountofimpairmentprovisionforintangibleassetshastobededucted.

Theamortizationperiodofintangibleassetswithlimitedservicelifeisasfollows:

TypeAmortizationperiod
LanduserightRemainingusefullife
Software3-5years
TollroadfranchisesOperatingperiodforresidualcharges

（2）Theexpenditureofinternalresearchanddevelopmentprojects

Researchreferstoanoriginalandplannedinvestigationtoacquireandunderstandnewscientificortechnicalknowledge.Developmentreferstotheapplicationofresearchresultsorotherknowledgetoaplanordesigntoproduceneworsubstantiallyimprovedmaterials,devicesandproductsbeforecommercialproductionoruse.

Expendituresduringtheresearchphaseofinternalresearchanddevelopmentprojectsareincludedinthecurrentprofitsandlosseswhentheyoccur.Expendituresinthedevelopmentstageofinternalresearchanddevelopmentprojectsthatmeetthefollowingconditionsarerecognizedasintangibleassets:itistechnicallyfeasibletocompletetheintangibleassetssothattheycanbeusedorsold;Havetheintentiontocompletetheintangibleassetsanduseorsellthem;Thewaysinwhichintangibleassetsgenerateeconomicbenefits,includingthosethatcanprovethatthereisamarketforproductsproducedbyusingtheintangibleassetsorthattheintangibleassetsthemselvesexistinthemarket,andthattheintangibleassetswillbeusedinternally,shouldprovetheirusefulness;Havesufficienttechnical,financialandotherresourcestocompletethedevelopmentoftheintangibleassetsandhavetheabilitytouseorselltheintangibleassets;Expendituresattributabletothedevelopmentstageoftheintangibleassetscanbemeasuredreliably.

18.Long-termamortizableexpenses

Long-termdeferredexpensesarerecordedaccordingtotheactualamountincurred,andareamortizedequallyininstallmentsduringthebenefitperiodorwithintheprescribedperiod.Ifthelong-termprepaidexpenseitemcannotbenefitthefutureaccountingperiod,theamortizedvalueoftheitemthathasnotbeenamortizedwillbetransferredtothecurrentprofitsandlosses.

19.EmployeeBenefitsEmployeecompensationreferstovariousformsofremunerationorcompensationgivenbytheCompanyforobtainingservicesprovidedbyemployeesordissolvinglaborrelations.Employeecompensationincludesshort-termsalary,post-employmentbenefits,dismissalbenefitsandotherlong-termemployeebenefits.BenefitsprovidedbytheCompanytospouses,children,dependents,survivorsofdeceasedemployeesandotherbeneficiariesofemployeesarealsoemployeecompensation.

（1）Accountingmethodsofshort-termbenefitsDuringtheaccountingperiodwhenemployeesprovideservices,theCompanyrecognizestheactualshort-termsalaryasaliability,whichisincludedinthecurrentprofitsandlosses,exceptthatotheraccountingstandardsrequireorallowittobeincludedinthecostofassets.

(2)Accountingmethodsforpost-employmentbenefits

TheCompanyclassifiesthepost-employmentbenefitplanintodefinedcontributionplananddefinedbenefitplans.Post-employmentbenefitplanreferstotheagreementreachedbetweentheCompanyandemployeesonpost-employmentbenefits,ortherulesormeasuresformulatedbytheCompanytoprovidepost-employmentbenefitstoemployees,amongwhichthesetdepositplanreferstothepost-employmentwelfareplaninwhichtheCompanynolongerundertakesfurtherpaymentobligationsafterpayingafixedfeetoanindependentfund;

Definedbenefitplansreferstothepost-employmentbenefitplanexcepttheset-updepositplan.

(3)AccountingTreatmentMethodofDemissionWelfareIftheCompanyprovidesdismissalbenefitstoemployees,theemployeecompensationliabilitiesarisingfromthedismissalbenefitsshallberecognizedassoonaspossibleandincludedinthecurrentprofitsandlosses:whenthecompanycannotunnaturallywithdrawthedismissalbenefitsprovidedbytheterminationoflaborrelationsplanorreductionproposal;whentheCompanyrecognizesthecostsorexpensesrelatedtothereorganizationinvolvingthepaymentofdismissalbenefits.

（4）Otherlong-termemployeebenefits

Ifotherlong-termemployeebenefitsprovidedbytheCompanytoemployeesmeettheconditionsofthesetdepositplan,theyshallbehandledaccordingtotheaccountingpoliciesofthesetdepositplanmentionedabove;Otherwise,thenetliabilitiesornetassetsofotherlong-termemployeebenefitsshallberecognizedandmeasuredinaccordancewiththeaccountingpoliciesofdefinedbenefitplansmentionedabove.

20.Estimatedliabilities

(1)Recognitioncriteriaofestimatedliabilities

IftheobligationsrelatedtocontingenciesstipulatedbytheCompanymeetthefollowingconditionsatthesametime,theyarerecognizedasestimatedliabilities:

①Theobligationsarethecurrentobligationsundertakenbytheenterprise;

②Fulfillingtheobligationsislikelytocauseeconomicbenefitstoflowoutoftheenterprise;

③Theamountoftheobligationscanbemeasuredreliably.

(2)Measurementmethodofestimatedliabilities

Estimatedliabilitiesareinitiallymeasuredaccordingtothebestestimateofexpenditurerequiredtofulfillrelevantcurrentobligations.Thereisacontinuousrangeofrequiredexpenditure,andthepossibilityofoccurrenceofvariousresultsinthisrangeisthesame,andthebestestimateisdeterminedaccordingtotheintermediatevalueinthisrange.Inothercases,thebestestimatesaretreatedasfollows:

①Contingenciesinvolvingasingleitemshallbedeterminedaccordingtothemostprobableamount.

②Contingenciesinvolvingmultipleitemsshallbecalculatedanddeterminedaccordingtovariouspossibleresultsandrelevantprobabilities.

Whendeterminingthebestestimate,therisk,uncertaintyandtimevalueofmoneyrelatedtocontingenciesshallbeconsideredcomprehensively.Ifthetimevalueofmoneyhasgreatinfluence,thebestestimateisdeterminedbydiscountingtherelatedfuturecashoutflow.

IfallorpartoftheexpensesrequiredbytheCompanytopayofftheestimatedliabilitiesareexpectedtobecompensatedbyathirdparty,thecompensationamountcanberecognizedasanassetonlywhenitisbasicallyconfirmedthatitcanbereceived.Therecognizedcompensationamountshallnotexceedthebookvalueoftheestimatedliabilities.

TheCompanyrechecksthebookvalueoftheestimatedliabilitiesonthebalancesheetdate.Ifthereisconclusiveevidencethatthebookvaluecannottrulyreflectthecurrentbestestimate,thebookvalueshallbeadjustedaccordingtothecurrentbestestimate.

21.RevenuesAccountingpoliciesadoptedforincomerecognitionandmeasurement

(1)Revenuerecognitionprinciple

Sincethestartingdateofthecontract,thecompanyshallevaluatethecontract,identifieseachindividualperformanceobligationcontainedin,anddetermineswhethereachindividualperformanceobligationisperformedwithinacertainperiodoftimeoratacertainpointoftime.Theperformanceobligationisdefinedasfulfillmentwithinacertainperiodoftimeifoneofthefollowingconditionsismet,otherwise,itisdefinedasfulfilledatacertainpointintime:①Thecustomerobtainsandconsumestheeconomicbenefitsbroughtbythecompany'sperformancewhilethecompanyperformsthecontract;

②Thecustomercancontrolthegoodsundermanufacturingorservicesduringthecompany'sperformance;③Thegoodsorservicesproducedduringthecompany'sperformancehaveirreplaceableuses,andthecompanyhastherighttoaccumulateforthecompletedperformancesduringtheentirecontractperiod.

Forobligationsperformedwithinacertainperiodoftime,thecompanyrecognizesrevenueinaccordancewiththeperformanceprogressinthatperiod.Iftheperformanceprogresscannotbereasonablydetermined,andthecostincurredisexpectedtobecompensated,therevenueshallberecognizedaccordingtotheamountofthecostincurreduntiltheperformanceprogresscanbereasonablydetermined.Forobligationsperformedatacertainpointintime,revenueshallberecognizedatthepointwhenthecustomerobtainscontroloftherelevantgoodsorservices.Whenjudgingwhetherthecustomerhasobtainedcontroloftheproduct,thecompanyshallconsiderthefollowingpoints:①Thecompanyhasthecurrentrighttoreceivepaymentfortheproduct,thatis,thecustomerhasthecurrentpaymentobligationfortheproduct;②Thecompanyhastransferredthelegalownershipoftheproducttothecustomer,thatis,thecustomerhasthelegalownershipoftheproduct;③Thecompanyhastransferredthephysicalproducttothecustomer,thatis,thecustomerhasphysicallytakenpossessionoftheproduct;④Thecompanyhastransferredthemainrisksandrewardsontheownershipoftheproducttothecustomer,thatis,thecustomerhasobtainedthemainrisksandrewardsontheownershipoftheproduct;⑤Thecustomerhasacceptedtheproduct;⑥Othersignsthatthecustomerhasobtainedcontroloftheproduct.

(2)Principleofrevenuemeasurement

①Thecompanyshallmeasurerevenuebasedonthetransactionpriceallocatedtoeachindividualperformanceobligation.Thetransactionpriceistheamountofconsiderationthatthecompanyexpectstobeentitledtoreceiveduetothetransferofgoodsorservicestocustomers,whiledoesnotincludepaymentsreceivedonbehalfofthirdpartiesandpaymentsexpectedtobereturnedtocustomers.

②Ifthereisvariableconsiderationinthecontract,thecompanyshalldetermineitsbestestimateaccordingtotheexpectedvalueorthemostlikelyamount,butthetransactionpriceincludingthevariableconsiderationshallnotexceedtheaccumulatedamountthat,ifrelevantuncertaintyiseliminated,willmostlikelyhavenosignificantreversal.

③Ifthereisanysignificantfinancingcomponentinthecontract,thecompanyshalldeterminethetransactionpricebasedontheamountpayableincashwhenthecustomerassumescontrolofthegoodsorservices.Thedifferencebetweentransactionpriceandcontractconsiderationshallbeamortizedthrougheffectiveinterestmethodduringthecontractperiod.Onthestartingdateofcontract,ifthecompanyexpectsthatthecustomerwillobtaincontrolofthegoodsorservicesandpaysthepricewithinoneyear,thesignificantfinancingcomponentincontractshallnotbeconsidered.

④Ifthecontractcontainstwoormoreperformanceobligations,thecompanyshall,ondateofthecontract,allocatethetransactionpricetoeachindividualobligationiteminaccordancewiththerelativeproportionoftheseparatesellingpriceofpromisedgoods.

Theadoptionofdifferentbusinessmodelsinsimilarbusinessesleadstodifferencesinaccountingpoliciesforrevenuerecognition

(3)Specificmethodsofrevenuerecognition

(1)Tollservicefeeincome

Thetollincomeofroadsandbridgesisdeterminedaccordingtotheamountcollectedandreceivablebyvehicleswhenpassingthrough.

(2)Incomefromprovidinglaborservices

Forservicesstartedandcompletedinthesamefiscalyear,incomeisrecognizedwhentheservicesarecompleted.Ifthebeginningandcompletionoflaborservicesbelongtodifferentfiscalyears,theCompanyshall,onthebalancesheetdate,recognizetherelatedlaborincomebythepercentageofcompletionmethod,providedthattheresultofthelaborservicetransactioncanbereliablyestimated.Whenthefollowingconditionscanbesatisfied,theresultsofthetransactioncanbereliablyestimated:①thetotalincomeandtotalcostoflaborservicescanbereliablymeasured;②theeconomicbenefitsrelatedtothetransactioncanflowintotheenterprise;

（4）thedegreeofcompletionoflaborservicescanbereliablydetermined.

Forservicesstartedandcompletedinthesamefiscalyear,incomeisrecognizedwhentheservicesarecompleted.Ifthebeginningandcompletionoflaborservicesbelongtodifferentfiscalyears,theCompanyshall,onthebalancesheetdate,recognizetherelatedlaborincomebythepercentageofcompletionmethod,providedthattheresultofthelaborservicetransactioncanbereliablyestimated.Whenthefollowingconditionscanbesatisfied,theresultsofthetransactioncanbereliablyestimated:①thetotalincomeandtotalcostoflaborservicescanbereliablymeasured;②theeconomicbenefitsrelatedtothetransactioncanflowintotheenterprise;

Ifthetransactionresultofprovidinglaborservicesonthebalancesheetdatecannotbeestimatedreliably,thefollowingsituationsshallbedealtwithrespectively:

①Ifthelaborcostalreadyincurredisexpectedtobecompensated,theincomefromtheserviceshallberecognizedaccordingtotheamountofthelaborcostalreadyincurred,andthelaborcostshallbecarriedoveratthesameamount.

②Iftheincurredlaborcostisnotexpectedtobecompensated,theincurredlaborcostshallbeincludedintheprofitsandlossesofthecurrentperiod,andtheincomefromtheprovisionoflaborserviceshallnotberecognized.

WhenthecontractsoragreementssignedbetweentheCompanyandotherenterprisesincludesellinggoodsandprovidingservices,ifthepartforsellinggoodsandthepartforprovidingservicescanbedistinguishedandmeasuredseparately,thepartforsellinggoodswillbetreatedasgoodssalesandthepartforprovidingserviceswillbetreatedasserviceprovision.Salesofgoodsandservicescannotbedistinguished,oralthoughtheycanbedistinguished,theycannotbemeasuredseparately.Allpartsforthesellinggoodsandprovidingserviceswillbetreatedassalesofgoods.TheadoptionofdifferentbusinessmodelsinsimilarbusinessesleadstodifferencesinaccountingpoliciesforincomerecognitionNone

22.GovernmentGrants

Governmentsubsidiesarerecognizedwhentheymeettheconditionsattachedtogovernmentsubsidiesandcanbereceived.

Governmentsubsidiesformonetaryassetsshallbemeasuredaccordingtotheamountreceivedorreceivable.Governmentsubsidiesfornon-monetaryassetsaremeasuredatfairvalue;Ifthefairvaluecannotbeobtainedreliably,itshallbemeasuredaccordingtothenominalamountof1yuan.

GovernmentsubsidiesrelatedtoassetsrefertogovernmentsubsidiesobtainedbytheCompanyforpurchasingandbuildingorforminglong-termassetsinotherways;Otherwise,asagovernmentsubsidyrelatedtoincome.

Wherethegovernmentdocumentsdonotspecifytheobjectofthesubsidy,andthesubsidycanformlong-termassets,thepartofthegovernmentsubsidycorrespondingtothevalueoftheassetsshallberegardedasthe

governmentsubsidyrelatedtotheassets,andtherestshallberegardedasthegovernmentsubsidyrelatedtotheincome;Whereitisdifficulttobedistinguished,governmentsubsidiesasawholearetreatedasincome-relatedgovernmentsubsidies.

Governmentsubsidiesrelatedtoassetsoffsetthebookvalueofrelatedassets,orarerecognizedasdeferredrevenueandincludedinprofitsandlossesbystagesaccordingtoareasonableandsystematicmethodwithintheservicelifeofrelatedassets.Governmentsubsidiesrelatedtoincome,whichareusedtocompensaterelatedcostsorlossesthathaveoccurred,shallbeincludedincurrentprofitsandlossesoroffsetrelatedcosts;Iftheyareusedtocompensaterelatedcostsorlossesinlaterperiods,theywillbeincludedinthedeferredrevenue,andtheywillbeincludedinthecurrentprofitsandlossesoroffsetrelatedcostsduringtherecognitionperiodofrelatedcostsorlosses.Governmentsubsidiesmeasuredinnominalamountaredirectlyincludedincurrentprofitsandlosses.TheCompanyadoptsaconsistentapproachtothesameorsimilargovernmentsubsidybusiness.

Governmentsubsidiesrelatedtodailyactivities,accordingtotheessenceofeconomicbusiness,areincludedinotherincomeoroffsetrelatedcosts.Governmentsubsidiesirrelevanttoroutineactivitiesshallbeincludedintothenon-operatingreceiptanddisbursement.

Whentherecognizedgovernmentsubsidyneedstobereturned,ifthebookvalueofrelatedassetsisoffsetduringinitialrecognition,thebookvalueofassetswillbeadjusted;Ifthereisarelevantdeferredrevenuebalance,thebookbalanceoftherelevantdeferredrevenuewillbeoffset,andtheexcesswillbeincludedinthecurrentprofitsandlosses;Inothercases,itisdirectlyincludedinthecurrentprofitsandlosses.

23.Deferredincometaxassetsanddeferredincometaxliabilities

TheCompanyadoptsthebalancesheetliabilitymethodforincometaxaccountingtreatment.

(1)Deferredtaxassets

①Ifthereisadeductibletemporarydifferencebetweenthebookvalueofanassetorliabilityanditstaxbasis,thedeferredincometaxassetsgeneratedbythedeductibletemporarydifferenceshallbecalculatedandconfirmedaccordingtotheapplicabletaxrateduringtheexpectedperiodofrecoveringtheassetorpayingofftheliability.

②Onthebalancesheetdate,ifthereisconclusiveevidencethatsufficienttaxableincomeislikelytobeobtainedinthefutureperiodtooffsetthedeductibletemporarydifference,theunrecognizeddeferredincometaxassetsinthepreviousperiodshallberecognized.

③Onthebalancesheetdate,thebookvalueofdeferredincometaxassetsshallbereviewed.Ifitisunlikelythatenoughtaxableincomewillbeobtainedinthefutureperiodtooffsetthebenefitsofdeferredincometaxassets,thebookvalueofdeferredincometaxassetswillbewrittendown.Whensufficienttaxableincomeislikelytobeobtained,thewritten-downamountwillbereversed.

(2)Deferredincometaxliabilities

Ifthereisataxabletemporarydifferencebetweenthebookvalueofassetsandliabilitiesandtheirtaxbasis,thedeferredincometaxliabilitiesarisingfromthetaxabletemporarydifferenceshallberecognizedaccordingtotheapplicabletaxrateduringtheexpectedperiodofrecoveringtheassetsorpayingofftheliabilities.

24,Lease

(1)Identificationoflease

Onthecommencementdateofthecontract,theCompany,asthelesseeorlessor,evaluateswhetherthecustomersinthecontracthavetherighttoobtainalmostalleconomicbenefitsarisingfromtheuseoftheidentifiedassetsduringtheuseperiod,andhastherighttoleadtheuseoftheidentifiedassetsduringtheuse

period.Ifonepartytothecontracttransferstherighttocontroltheuseofoneormultipleidentifiedassetswithinacertainperiodoftimeinexchangeforconsideration,theCompanywillconsiderthecontractasleaseorlease-included.

（2）TheCompanyasthelesseeOnthestartdateoftheleaseterm,theCompanyrecognizestheright-to-useassetsandleaseliabilitiesforallleases,exceptforshort-termleasesandlow-valueassetleasesthataresimplified.

Theaccountingpolicyoftheright-to-useassetsisshowninNoteV.25.Leaseliabilitiesareinitiallymeasuredaccordingtotheunpaidleasepaymentamountonthestartdateoftheleasetermandthepresentvaluecalculatedaccordingtotheimpliedinterestrateoftheleaseortheincrementalborrowinginterestrate.Theleasepaymentamountincludes:fixedpaymentamountandsubstantialfixedpaymentamount.Ifthereisleaseincentive,therelatedamountofleaseincentiveshallbededucted;variableleasepaymentsdependingonindexorratio;theexercisepriceoftheoption,providedthatthelesseereasonablydeterminesthattheoptionwillbeexercised;paymentforexercisingtheoptiontoterminatethelease,providedthattheleaseperiodreflectsthatthelesseewillexercisetheoptiontoterminatethelease;andtheamountexpectedtobepaidaccordingtotheresidualguaranteevalueprovidedbythelessee.Theinterestexpenseoftheleaseliabilityineachperiodoftheleasetermshallbecalculatedsubsequentlyaccordingtothefixedperiodicinterestrate,andincludedinthecurrentprofitandloss.Variableleasepaymentsthatarenotincludedinthemeasurementofleaseliabilitiesareincludedinthecurrentprofitsandlosseswhenactuallyincurred.

Short-termleaseShort-termleasereferstotheleasewithaleasetermofnomorethan12monthsonthestartdateoftheleaseterm,exceptfortheleasewithpurchaseoption.TheCompanyincludestheleasepaymentofshort-termleaseintotherelatedassetcostorcurrentprofitandlossaccordingtothestraight-linemethodineachperiodoftheleaseterm.

Low-valueassetleaseLow-valueassetleasereferstotheleaseinwhichthevalueofasingleleasedassetislessthanRMB100,000whenitisbrandnew.

TheCompanyincludestheleasepaymentoflow-valueassetsintotherelatedassetcostorcurrentprofitandlossaccordingtothestraight-linemethodineachperiodoftheleaseterm.Fortheleaseoflow-valueassets,theCompanychoosestoadoptthesimplifiedtreatmentmethodmentionedaboveaccordingtothespecificconditionsofeachlease.

(3)TheCompanyservesasthelessor

TheCompany,whenasthelessor,recognizestheleasesthathavesubstantiallytransferredallrisksandrewardsrelatedtoassetownershipasfinancialleases,andotherleasesexceptfinancialleasesasoperatingleases.

Accountingmethodsforoperatingleases

Fortherentintheoperatinglease,theCompanyrecognizesthecurrentprofitsandlossesaccordingtothestraight-linemethodineachperiodoftheleaseterm.Theinitialdirectexpensesincurredinconnectionwiththeoperatingleaseshallbecapitalized,allocatedonthesamebasisastherentalincomerecognitionduringtheleaseterm,andincludedinthecurrentprofitsandlossesbystages.Thevariableleasepaymentsobtainedrelatedtooperatingleasesthatarenotincludedintheleasereceiptsareincludedinthecurrentprofitsandlosseswhentheyactuallyoccur.

Accountingtreatmentmethodofleasing

Infinancinglease,atthebeginningoftheleaseterm,Japanesecompaniestakethenetinvestmentinleasingastherecordedvalueofthefinancingleasereceivable,andthenetinvestmentinleasingisthesumoftheunsecuredresidualvalueandthepresentvalueoftheleaseproceedsthathavenotyetbeenreceivedonthestart

dateoftheleasetermdiscountedaccordingtotheimpliedinterestrateofthelease.Asthelessor,theCompanycalculatesandrecognizestheinterestincomeofeachperiodintheleasetermaccordingtothefixedperiodicinterestrate.ThevariableleasepaymentsobtainedbytheCompanyasthelessorthatarenotincludedinthemeasurementofnetleaseinvestmentarerecordedintothecurrentprofitsandlosseswhentheyactuallyoccur.

ThederecognitionandimpairmentoffinancialleasereceivablesshallbetreatedaccordingtotheprovisionsofAccountingStandardsforBusinessEnterprisesNo.22-RecognitionandMeasurementofFinancialInstrumentsandAccountingStandardsforBusinessEnterprisesNo.23-TransferofFinancialAssets.

25.Therighttouseassets

(1)Conditionsforrecognitionoftheright-to-useassets

TheCompany'sright-to-useassetsreferstotherightoftheCompanyasthelesseetousetheleasedassetsduringtheleaseterm.

Onthestartdateoftheleaseterm,theright-to-useassetsareinitiallymeasuredatcost.Thecostincludes:

Theinitialmeasurementamountofleaseliabilities;ifthereisleaseincentivefortheleasepaymentissuedonorbeforethestartdateoftheleaseterm,theamountrelatedtotheleaseincentiveenjoyedshallbededucted;initialdirectexpensesincurredbytheCompanyasthelessee;theestimatedcoststhattheCompanyasthelesseewillincurfordismantlingandremovingtheleasedassets,restoringtheleasedassets'siteorrestoringtheleasedassetstothestateagreedintheleaseterms.TheCompany,asthelessee,recognizesandmeasuresthedemolitionandrestorationcostsinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.13-Contingencies.Itmakessubsequentadjustmentstoanyremeasurementofleaseliabilities.

(2)Depreciationmethodofright-to-useassets

TheCompanyadoptsthestraight-linemethodtoaccruedepreciation.IftheCompanyasthelesseecanbereasonablydeterminedthattheownershipoftheleasedassetisacquiredattheexpirationoftheleaseterm,itshallaccruedepreciationwithintheremainingservicelifeoftheleasedasset.Ifitisimpossibletoreasonablydeterminethattheownershipoftheleasedassetcanbeacquiredattheexpirationoftheleaseterm,itshallaccruedepreciationwithintheshorteroftheleasetermandtheremainingservicelifeoftheleasedasset.

(3)See"27.ImpairmentofAssets"in"SectionVImportantAccountingPoliciesandAccountingEstimates"fortheimpairmenttestmethodandtheprovisionmethodforimpairmentofright-to-useassets.

26.Impairmentofassets

Thefollowingsignsindicatethattheassetsmaybeimpaired:

(1)Themarketpriceofassetsfellsharplyinthecurrentperiod,whichwassignificantlyhigherthantheexpecteddeclineduetothepassageoftimeornormaluse.

(2)Theeconomic,technicalorlegalenvironmentinwhichtheCompanyoperatesandthemarketinwhichtheassetsarelocatedhaveundergonemajorchangesinthecurrentperiodorinthenearfuture,whichwillhaveadverseeffectsontheCompany.

(3)Themarketinterestrateorothermarketreturnoninvestmenthasincreasedinthecurrentperiod,whichaffectsthediscountrateusedbyenterprisestocalculatethepresentvalueoftheestimatedfuturecashflowofassets,resultinginasignificantdecreaseintherecoverableamountofassets.

(4)Thereisevidencethattheassetsareoutdatedortheirentitieshavebeendamaged.

(5)Assetshavebeenorwillbeidle,terminatedorplannedtobedisposedofinadvance.

(6)Theevidencereportedbythecompanyshowsthattheeconomicperformanceofassetshasbeenorwillbelowerthanexpected,suchasthenetcashflowcreatedbyassetsortherealizedoperatingprofit(orloss)isfarlowerthantheexpectedamount.

(7)Otherindicationsthatassetsmayhavebeenimpaired.Onthebalancesheetdate,theCompanyjudgesvariousassetsthatareapplicabletotheAccountingStandardsforBusinessEnterprisesNo.8-ImpairmentofAssets,suchaslong-termequityinvestment,fixedassets,engineeringmaterials,constructioninprogress,intangibleassets(exceptthosewithuncertainservicelife),andconductsimpairmenttestwhentherearesignsofimpairment-estimatingtheirrecoverableamount.Therecoverableamountisdeterminedbythehigherofthenetamountofthefairvalueoftheassetminusthedisposalexpensesandthepresentvalueoftheestimatedfuturecashflowoftheasset.Iftherecoverableamountofanassetislowerthanitsbookvalue,thebookvalueoftheassetshallbewrittendowntotherecoverableamount,andthewritten-downamountshallberecognizedastheassetimpairmentloss,whichshallbeincludedinthecurrentprofitsandlosses,andthecorrespondingassetimpairmentreserveshallbeaccruedatthesametime.Iftherearesignsthatanassetmaybeimpaired,theCompanyusuallyestimatesitsrecoverableamountonthebasisofindividualassets.Whenitisdifficulttoestimatetherecoverableamountofasingleasset,therecoverableamountoftheassetgroupisdeterminedbasedontheassetgrouptowhichtheassetbelongs.AssetgroupisthesmallestassetportfoliothatcanberecognizedbytheCompany,anditscashinflowisbasicallyindependentofotherassetsorassetgroups.Theassetgroupconsistsofassetsrelatedtocashinflow.Theidentificationofassetgroupisbasedonwhetherthemaincashinflowgeneratedbyassetgroupisindependentofotherassetsorcashinflowofassetgroup.TheCompanyconductsimpairmenttesteveryyearforintangibleassetswithuncertaingoodwillandservicelifeformedbybusinesscombinationandnotyetinserviceablecondition,regardlessofwhetherthereisanysignofimpairment.Theimpairmenttestofgoodwilliscarriedoutincombinationwithitsrelatedassetgrouporcombinationofassetgroups.

Oncetheassetimpairmentlossisconfirmed,itwillnotbereversedinthefollowingaccountingperiod.

27.Fairvaluemeasurement

Fairvaluereferstothepricethatamarketparticipantmustpaytosellortransferaliabilityinanorderlytransactionthatoccursonthemeasurementdate.

TheCompanymeasuresrelatedassetsorliabilitiesatfairvalue,assumingthattheorderlytransactionofsellingassetsortransferringliabilitiesisconductedinthemainmarketofrelatedassetsorliabilities;Ifthereisnomajormarket,theCompanyassumesthatthetransactionwillbeconductedinthemostfavorablemarketofrelatedassetsorliabilities.Themainmarket(orthemostfavorablemarket)isthetradingmarketthattheCompanycanenteronthemeasurementday.TheCompanyadoptstheassumptionsusedbymarketparticipantstomaximizetheireconomicbenefitswhenpricingtheassetsorliabilities.

Whenmeasuringnon-financialassetsatfairvalue,theabilityofmarketparticipantstousetheassetsforthebestpurposetogenerateeconomicbenefitsortheabilitytoselltheassetstoothermarketparticipantsforthebestpurposetogenerateeconomicbenefitsshallbeconsidered.

TheCompanyadoptsthevaluationtechnologywhichisapplicableinthecurrentsituationandsupportedbysufficientavailabledataandotherinformation,andgivesprioritytotherelevantobservableinputvalues,andonlyusestheunobservableinputvalueswhentheobservableinputvaluesareunavailableorimpractical.

Forassetsandliabilitiesmeasuredordisclosedatfairvalueinfinancialstatements,itshalldeterminethefairvaluelevelaccordingtothelowestlevelinputvaluewhichisofgreatsignificancetofairvaluemeasurementasawhole:thefirst-levelinputvalueistheunadjustedquotationofthesameassetsorliabilitiesthatcanbeobtainedonthemeasurementdateinanactivemarket;Thesecond-levelinputvalueisdirectlyorindirectlyobservableinputvaluesofrelatedassetsorliabilitiesexceptthefirst-levelinputvalue;Thethirdlevelinputvalueistheunobservableinputvalueofrelatedassetsorliabilities.

Oneachbalancesheetdate,theCompanyreassessestheassetsandliabilitiesrecognizedinthefinancialstatementsthatarecontinuouslymeasuredatfairvaluetodeterminewhetherthereisaconversionbetweenthefairvaluemeasurementlevels.

28.Changeofmainaccountingpoliciesandestimations

(1)Changeofmainaccountingpolicies?Applicable□Notapplicable

ThecontentandreasonsforthechangeinaccountingpoliciesApprovalprocessRemark
OnNovember30,2022,theMinistryofFinanceissuedtheNo.16InterpretationofAccountingStandardsforBusinessEnterprises(No.31[2022]CaiHui).AccordingtotheprovisionsoftheNo.16Interpretation,forleasetransactionsinwhichthelesseeinitiallyrecognizesleaseliabilitiesandincludestheminright-of-useassetsonthebeginningdateoftheleaseperiod,thetaxabletemporarydifferencesanddeductibletemporarydifferencesarisingfromtheinitialrecognitionofassetsandliabilitiesinthetransactionshallbeinaccordancewiththerelevantprovisionsofAccountingStandardforBusinessEnterprisesNo.18-IncomeTaxandotherrelevantprovisions,andthecorrespondingdeferredtaxliabilitiesanddeferredtaxassetsarerecognizedseparatelyatthetimeofthetransactionbyenterprises.Adoptedbyresolutionbytheseventhmeetingofthe10thBoardofDirectorsonMarch20,2023.TheCompanyimplementstherelevantprovisionsoftheNo.16InterpretationfromJanuary1,2023.

OnNovember30,2022,theMinistryofFinanceissuedtheNo.16InterpretationofAccountingStandardsforBusinessEnterprises(No.31[2022]CaiHui)(hereinafterreferredtoas"No.16Interpretation").Adoptedbytheresolutionoftheseventhmeetingofthe10thBoardofDirectorsoftheCompanyonMarch20,2023,theCompanyimplementstherelevantprovisionsoftheNo.16InterpretationfromJanuary1,2023.

AccordingtotheNo.16Interpretation,foraleasetransactioninwhichthelesseerecognizesleaseliabilitiesandincludestheminright-of-useassetsonthebeginningdateoftheleaseperiod,thetaxabletemporarydifferencesanddeductibletemporarydifferencesarisingfromtheinitialrecognitionofassetsandliabilitiesinthetransactionshallbeinaccordancewiththerelevantprovisionsofAccountingStandardforBusinessEnterprisesNo.18-IncomeTaxandotherrelevantprovisions,andthecorrespondingdeferredtaxliabilitiesanddeferredtaxassetsarerecognizedseparatelyatthetimeofthetransactionbyenterprises.TheimpactoftheimplementationoftheaboveregulationonthefinancialstatementfortheyearendedJanuary1,2023andforcomparableperiodsisasfollows:

1).Impactonconsolidatedfinancialstatement

InRMB

ItemsDecember312022/January-June2022（Beforethechange）January1,2023/January-June2022（afterchange）Influencenumber
Longtermshareequityinvestment2,923,368,667.842,923,305,042.30-63,625.54
Deferredincometaxassets128,179,543.02129,044,978.46865,435.44
Deferredincometaxliability306,806,527.72307,825,916.581,019,388.86
Retainedprofit4,698,247,435.404,698,029,354.08-218,081.32
Minorityshareholders’equity2,293,019,517.512,293,020,019.87502.36
Investmentincome162,384,354.53162,320,728.99-63,625.54
Incometaxexpenses290,240,426.63290,224,512.53-15,914.10

2).ImpactonParentcompanyfinancialstatement

InRMB

ItemsDecember31,2022/January-June2022（（Beforethechange）January1,2023/January-June2022（afterchange）Influencenumber
Longtermshareequityinvestment6,096,479,269.506,096,415,643.96-63,625.54
Deferredincometaxassets122,968,519.19123,579,950.33611,431.14
Deferredincometaxliability61,217,804.4261,985,198.42767,394.00
Retainedprofit4,723,852,770.464,723,633,182.06-219,588.40
Investmentincome791,745,612.18791,681,986.64-63,625.54
Incometaxexpenses54,008,183.4254,001,197.13-6,986.29

（2）Significantestimateschanges

□Applicable√Notapplicable

（3）Theinformationoftheadjustingitemsrelatedtothefinancialstatementsatthebeginningoftheyearoffirstimplementationduetothefirstimplementationofnewaccountingstandardsfrom2023.Adjustmentdescription?Applicable□NotapplicableNoteOnNovember30,2022,theMinistryofFinanceissuedtheNo.16InterpretationofAccountingStandardsforBusinessEnterprises(No.31[2022]CaiHui)(hereinafterreferredtoas"No.16Interpretation").AccordingtotherelevantrequirementsofNo.16,thecompanyshallmakeadjustmentstotherelevantaccountingpoliciesadoptedaccordingly.VI.Taxation

1.Majorcategoryoftaxesandtaxrates

TaxcategoryTaxbasisTaxrate
VATTaxableincome3%,5%,6%,9%,13%
CitymaintenanceandconstructiontaxTheactualpaymentofturnovertax5%,7%
EnterpriseincometaxTaxableincome25%
EducationFeeSurchargeTheactualpaymentofturnovertax3%
LocaleducationsurchargeTheactualpaymentofturnovertax2%

Thedisclosureontherateofincometaxoftaxpayersindifferententerprisesisstatedbelow

None

2.PreferentialtaxtreatmentNone

VII.NotesonmajoritemsinconsolidatedfinancialstatementsoftheCompany

1.Monetaryfunds

InRMB

ItemsAmountinyear-endBalanceYear-beginning
Cash56,693.1143,420.71
Bankdeposit5,275,421,651.444,285,350,107.61
Amongthem:Depositswithfinancialcompanies2,824,451,248.422,389,294,052.10
Othermonetaryfunds516,123.20515,903.01
Interestreceivable8,855,524.154,672,059.45
Total5,284,849,991.904,290,581,490.78

Othernote1）.AsofJune30,2023,theinterestreceivableisRMB8,855,524.15frominterestaccruedonseven-daycalldeposits.2）.AsofJune30,2023,Thebalanceofrestrictedbankdepositsattheendoftheperiodwas1,221,200.00yuan,whichwasthelandreclamationfunddepositedintothefundcustodyaccountforthereconstructionandexpansionprojectofSanbaotoShuikousectionofFokaiExpressway.

2.Accountreceivable

1.Classificationaccountreceivables.

InRMB

CategoryAmountinyear-endBalanceYear-beginning
BookBalanceBaddebtprovisionBookvalueBookBalanceBaddebtprovisionBookvalue
AmountProportion(%)AmountProportion(%)AmountProportion(%)AmountProportion(%)
Accrualofbaddebtprovisionbysingle3,143,664.002.74%3,143,664.00100.00%3,143,664.002.80%3,143,664.00100.00%
Including：
Accrualofbaddebtprovisionbyportfolio111,455,816.0897.26%2,593,346.232.33%108,862,469.85109,016,714.2397.20%647,916.670.59%108,368,797.56
Including：
Agingportfolio111,455,816.0897.26%2,593,346.232.33%108,862,469.85109,016,714.2397.20%647,916.670.59%108,368,797.56
Other
Total114,599,480.085,737,010.23108,862,469.85112,160,378.233,791,580.67108,368,797.56

Accrualofbaddebtprovisionbysingle：

InRMB

NameBalanceinyear-end
BookbalanceBaddebtprovisionWithdrawalproportionReason
GuangdongTaihengExpresswayDevelopmentCo.,Ltd.3,143,664.003,143,664.00100.00%Itisnotexpectedtoberecovered
Total3,143,664.003,143,664.00

Accrualofbaddebtprovisionbyportfolio:Provisionforbaddebtsaccordingtotheagingportfolio

InRMB

AgingBalanceinyear-end
AccountreceivableBaddebtprovisionExpectedcreditlossrate(%
Within1year95,338,891.41
1-2years4,200,258.00210,012.905.00%
2-3years11,916,666.672,383,333.3320.00%
Total111,455,816.082,593,346.23

Note：

Relevantinformationoftheprovisionforbaddebtswillbedisclosedwithreferencetothedisclosuremethodofotherreceivablesiftheprovisionforbaddebtsofbillsreceivableisaccruedaccordingtothegeneralmodelofexpectedcreditloss:

□Applicable√NotapplicableDisclosurebyaging

InRMB

AgingBalanceinyear-end
Within1year95,338,891.41
1-2years4,200,258.00
2-3years11,916,666.67
Over3year3,143,664.00
3-4years2,077,392.00
4-5years1,066,272.00
Subtotal114,599,480.08
Baddebtreserves5,737,010.23
Total108,862,469.85

(2)Accountsreceivablewithdraw,reversedorcollectedduringthereportingperiodThewithdrawalamountofthebaddebtprovision：

InRMB

CategoryOpeningbalanceAmountofchangeinthecurrentperiodClosingbalance
AccrualReversedorWrite-offOther
collectedamount
Accrualofbaddebtprovisionbysingleitem3,143,664.003,143,664.00
Accrualofbaddebtprovisionbycreditrisk647,916.671,945,429.562,593,346.23
Total3,791,580.671,945,429.565,737,010.23

OfwhichthesignificantamountofthereversedorcollectedpartduringthereportingperiodNone

(3)Theactualwrite-offaccountsreceivableNone

(4)Top5oftheclosingbalanceoftheaccountsreceivablecollectedaccordingtothearrearsparty

InRMB

CompanyNameAmountofendingbalanceProportionoftotalaccountsreceivable%Amountofendingbalanceforbaddebts
ServicesCo.,Ltd.68,965,060.8460.18%
GuangdongLulutongTrafficDevelopmentCo.,Ltd.1,083,333.330.95%
4,200,258.003.67%210,012.90
11,916,666.6710.40%2,383,333.33
GuangdongHumenBridgeCo.,Ltd.16,631,182.4714.51%
GuangdongJingzhuExpresswayGuangzhuNorthSectionCo.,Ltd.5,818,074.995.08%
GuangdongTaihengExpresswayDevelopmentCo.,Ltd.2,077,392.001.81%2,077,392.00
1,066,272.000.93%1,066,272.00
Total111,758,240.3097.53%

（5）Accountreceivablewhichterminatetherecognitionowningtothetransferofthefinancialassets

None

(6)TheamountoftheassetsandliabilitiesformedbythetransferandthecontinuesinvolvementofaccountsreceivableNone

3.Prepayments

（1）Aginganalysis

InRMB

AgingBalanceinyear-endBalanceYear-beginning
AmountProportion（%）AmountProportion（%）
Within1year4,575,446.8595.37%7,645,192.9598.20%
1-2years82,300.001.71%
2-3years140,000.001.80%
Over3years140,000.002.92%
Total4,797,746.857,785,192.95

Notesofthereasonsoftheprepaymentagesover1yearwithsignificantamountbutfailedsettledintime:

None

(2)Top5oftheclosingbalanceoftheprepaymentcollectedaccordingtotheprepaymenttarget

InRMB

NameRelationswiththeCompanyAmountAgingReasonsfornon-settlementProportion%
GuangdongGuanyueRoad&BridgeCo.,Ltd.Non-Relatedparty2,792,608.35Within1yearNosettlementconditionshavebeenreached58.21
ChinaPingAnPropertyInsuranceCo.,Ltd.GuangdongBranchNon-Relatedparty1,444,860.00Within1yearNosettlementconditionshavebeenreached30.12
ExcellenceAppraisalNon-Relatedparty140,000.00Over3yearsNosettlementconditionshavebeenreached2.92
GuangzhouBranchofChinaMobileCommunicationsGroupGuangdongCo.,Ltd.Non-Relatedparty109,830.00Within1yearNosettlementconditionshavebeenreached2.29
ChinaInsuranceGuangdongBranchNon-Relatedparty77,738.12Within1yearNosettlementconditionshavebeenreached1.62
Total4,565,036.4795.15

4.Otheraccountsreceivable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
Dividendreceivable45,903,912.261,205,472.90
Otherreceivable10,832,520.5033,250,771.74
Total56,736,432.7634,456,244.64

（1）Interestreceivable

None

（2）Dividendreceivable

1)Dividendreceivable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
GuangdongRadioandTelevisionNetworksinvestmentNo.1Limitedpartnershipenterprise1,205,472.901,205,472.90
ChinaEverbrightBankCo.,Ltd44,698,439.36
Total45,903,912.261,205,472.90

2）Significantdividendreceivableagedover1year

InRMB

ItemsBalanceinyear-endAgingReasonsfornon-recoveryWhetherwithimpairmentandthe
judgmentbasis
GuangdongRadioandTelevisionNetworksinvestmentNo.1Limitedpartnershipenterprise1,205,472.904-5yearsThepartnershipagreementexpiresandcanberecoveredaftertheextensionproceduresarecompletedNo,itcanberecoveredinthefuture
Total1,205,472.90

3）Thebaddebtprovision

□Applicable√Notapplicable

（3）Otheraccountsreceivable

1)Otheraccountsreceivableclassified

InRMB

NatureBalanceinyear-endBalanceYear-beginning
Securitiestradingsettlementfunds30,844,110.4330,844,110.43
Pettycash4,489,023.584,017,944.81
Highwaymaintenanceexpenditure141,431,005.3397,749,481.71
Deposit2,882,022.3926,630,350.18
Other3,461,474.532,602,476.75
Total183,107,636.26161,844,363.88

2）Thewithdrawalamountofthebaddebtprovision：

InRMB

BadDebtReservesStage1Stage2Stage3Total
Expectedcreditlossesoverthenext12monthsExpectedcreditlossoverlife(nocreditimpairment)Expectedcreditlossesfortheentireduration(creditimpairmentoccurred)
BalanceasatJanuary1,202397,749,481.7130,844,110.43128,593,592.14
BalanceasatJanuary1,2023incurrent
Thisperiodofprovision43,681,523.6243,681,523.62
BalanceasatJune30,2023141,431,005.3330,844,110.43172,275,115.76

Lossprovisionchangesincurrentperiod,changeinbookbalancewithsignificantamount

□Applicable√NotapplicableDisclosurebyaging

InRMB

AgingBookbalance
Within1year(Including1year）147,426,676.53
1-2years1,410,372.20
2-3years271,243.57
Over3years33,999,343.96
3-4years1,713,224.35
4-5years26,560.70
Over5years32,259,558.91
Total183,107,636.26

3）Accountsreceivablewithdraw,reversedorcollectedduringthereportingperiodThewithdrawalamountofthebaddebtprovision：

TheprovisionforbaddebtsinthecurrentperiodisRMB43,681,523.62;andtheamountofbaddebtreserverecoveredorreversedinthecurrentperiodisRMB0.00.Wherethecurrentbaddebtsbackorrecoversignificantamounts:None4）Otheraccountreceivablesactuallycancelafterwrite-offNone5）Otherreceivablesareclassifiedaccordingtothenature

InRMB

NameNatureClosingbalanceAgingProportionofthetotalyearendbalanceoftheaccountsreceivable(%)Closingbalanceofbaddebtprovision
DepartmentofTransportofGuangdongProvinceHighwaymaintenanceexpenditure141,431,005.33Within1year77.24%141,431,005.33
KunlunSecuritiesCo.,LtdSecuritiestradingsettlementfunds30,844,110.43Over5years16.84%30,844,110.43
GuangdongLitongRealEstatesInvestmentCo.,Ltd.Rentdeposit1,816,266.94Within1year0.99%
GuangdongLitongRealEstatesInvestmentCo.,Ltd.Vehicleparkingdeposit22,980.002-3years0.01%
GuangdongExpresswayMediaCo.,Ltd.Advertisingrevenue693,103.73Within1year0.38%
GuangdongExpresswayMediaCo.,Ltd.Waterandelectricity2,119.81Within1year
GuangdongProvincialFreewayCo.,Ltd.Currentaccount463,491.88Over5years0.25%
Total175,273,078.1295.71%172,275,115.76

(6)AccountsreceivableinvolvedwithgovernmentsubsidiesNone

(7)OtheraccountreceivablewhichterminatetherecognitionowningtothetransferofthefinancialassetsNone

(8)TheamountoftheassetsandliabilitiesformedbythetransferandthecontinuesinvolvementofotheraccountsreceivableNone

5.Othercurrentassets

InRMB

ItemsYear-endbalanceYear-beginningbalance
Advancetaxpayment34,733.271,931,251.29
VATretentiontaxcredits111,143.99
Total34,733.272,042,395.28

Othernote：

6.Long-termequityinvestment

InRMB

InvesteesOpeningbalanceIncrease/decreaseClosingbalanceClosingbalanceofimpairmentprovision
AdditionalinvestmentNegativeinvestmentInvestmentprofitandlossrecognizedundertheequitymethodAdjustmentofothercomprehensiveincomeChangesofotherequityCashbonusorprofitsannouncedtoissueWithdrawalofimpairmentprovisionOther
I.Jointventure
2.AffiliatedCompany
ZhaoqingYuezhaoHighwayCo.,Ltd.310,209,765.8730,133,975.22340,343,741.09
GuangdongJiangzhongExpresswayCo.,Ltd.446,883,150.4045,000,000.006,731,118.4916,005.854,627,613.17494,002,661.57
GanzhouGankangExpresswayCo.,Ltd.163,154,438.009,568,563.16172,723,001.16
GanzhouKangdaExpresswayCo.,Ltd.246,268,935.1320,692,056.64266,960,991.77
ShenzhenHuiyanExpresswayCo.,Ltd.348,669,767.3214,856,921.37363,526,688.69
GuoyuanSecuritiesCo.,Ltd.987,867,627.4222,017,218.0712,110,298.332,424.1915,522,387.301,006,475,180.71
GuangdongYuepuSmallRefinancingCo.,Ltd(Note)219,031,496.394,689,969.97223,721,466.36
HunnanLianzhiTechnologyCo.,.Ltd.97,539,945.742,636,209.56-92,400.51100,083,754.79
SPICYuetongQiyuanChipPowerTechnologyCo.,Ltd.4,981,238.50-360,145.074,621,093.43
ShenzhenGarageElectricPileTechnologyCo.,Ltd98,698,677.53-1,334,752.881,391,816.0095,972,108.65
Subtotal2,923,305,042.3045,000,000.00109,631,134.5312,110,298.33-73,970.4721,541,816.473,068,430,688.22
Total2,923,305,042.3045,000,000.00109,631,134.5312,110,298.33-73,970.4721,541,816.473,068,430,688.22

Othernote

GuoyuanSecuritiesCo.,Ltd.implementstheprovisionsofthe"No.16InterpretationofAccountingStandardsforBusinessEnterprises"inthecurrentperiod,retrospectivelyadjuststhefinancialstatementofthepreviousperiod,andtheCompanyretrospectivelyadjuststheinvestmentamountinGuoyuanSecuritiesCo.,Ltd.atthebeginningoftheperiodaccordingtotheshareholdingratio.

7.OtherEquityinstrumentinvestment

InRMB

ItemsClosingbalanceOpeningbalance
GuangleExpresswayCo.,Ltd.775,045,413.21779,705,656.29
GuangdongRadioandTelevisionNetworksinvestmentNo.1Limitedpartnershipenterprise55,365,396.6155,365,396.61
ChinaEverbrightBankCo.,Ltd.722,232,678.08722,232,678.08
HuaxiaSecuritiesCo.,Ltd.（Notes1）
HuazhengAssetManagementCo.,Ltd.（Notes2）
Total1,552,643,487.901,557,303,730.98

Breakdowndisclosureofinvestmentinnon-tradableequityinstrumentsinthecurrentperiod

InRMB

ItemsDividendincomerecognizedCumulativegainCumulativelossAmountofotherconsolidatedincometransferredtoretainedearningsReasonsfordesignationasmeasuredatfairvalueandchangesincludedinothercomprehensiveincomeReasonsforotherconsolidatedincometransferredtoretainedearnings
GuangleExpresswayCo.,Ltd.26,551,300.0026,697,111.48Non-transactionalpurposeforshareholding
GuangdongRadioandTelevisionNetworksinvestmentNo.1Limitedpartnershipenterprise5,365,396.61Non-transactionalpurposeforshareholding
ChinaEverbrightBankCo.,Ltd.44,698,439.36204,671,801.28Non-transactionalpurposeforshareholding
HuaxiaSecuritiesCo.,Ltd.5,400,000.00Non-transactionalpurposeforshareholding
HuazhengAssetManagementCo.,Ltd.1,620,000.00Non-transactionalpurposefor
shareholding
Total71,249,739.36236,734,309.377,020,000.00

Othernote:

Note1:Theowner'sequityofHuaxiaSecuritiesCo.,Ltd.wasnegativeanditenteredliquidationprocedureinDecember2005.TheCompanymadefullprovisionforimpairmentinrespectofthislong-termequityinvestmentofRMB5.4million.Note2:AccordingtoDeWeiPingGuZi2005No.88AppraisalReportissuedbyBeijingDeweiAppraisalCo.,Ltd.AstheJune30,2005,theamountofnetassetsofHuazhengAssetManagementCo.,Ltd.inbookwas279.132millionyuanandtheappraisedvaluewas-2299.5486millionyuan,OnOctober14,2005,JianyinCITICAssetManagementCo.,Ltd.issuedtheLetterofSolicitingOpinionsonEquityAssignmenttotheCompany.JianyinCITICAssetManagementCo.,Ltd.waswillingtopaythepriceofnotmorethan42millionyuantoacquire100%equityofHuazhengAssetManagementCo.,Ltd.andsolicitedtheCompany'sopinions.TheCompanyrepliedonDecember5,2005,abandoningthepreemptiverightunderthesameconditions.TheCompanymadeprovisionof1.62millionyuanforimpairmentinrespectofthislong-termequityinvestmentof1.62millionyuan.

8.Othernon-currentfinancialassets

InRMB

ItemsClosingbalanceOpeningbalance
Classifiedasfinancialassetsmeasuredatfairvalueandwhosechangesareincludedinthecurrentprofitandloss181,400,000.00101,400,000.00
Total181,400,000.00101,400,000.00

Othernote：

9.Investmentproperty

(1)Investmentpropertyadoptedthecostmeasurementmode

√Applicable□Notapplicable

InRMB

ItemsHousesandbuildingsLanduserightConstructioninprocessTotal
I.Originalvalue
1.Openingbalance12,664,698.252,971,831.1015,636,529.35
2.Increasedamountoftheperiod
（1）Outsourcing
(2)Inventory,FixedassetsandConstructionprojectinto
(3))Increasedof

Enterpriseconsolidation

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod
（1）Disposal
（2）OtherOut

4.Closingbalance

4.Closingbalance12,664,698.252,971,831.1015,636,529.35
II.Accumulateddepreciationaccumulatedamortization
1.Openingbalance10,989,739.141,978,645.2812,968,384.42
2.Increasedamountoftheperiod73,774.5636,784.68110,559.24
(1)Withdrawaloramortization73,774.5636,784.68110,559.24

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod
（1）Disposal
（2）OtherOut

4.Closingbalance

4.Closingbalance11,063,513.702,015,429.9613,078,943.66
III.Impairmentprovision
1.Openingbalance
2.Increasedamountoftheperiod
（1）Withdrawal

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod
（1）Disposal
（2）OtherOut
4.Closingbalance
IV.Bookvalue
1.Closingbookvalue1,601,184.55956,401.142,557,585.69
2.Openingbook1,674,959.11993,185.822,668,144.93

(2)Investmentpropertyadoptedfairvaluemeasurementmode

□Applicable√Notapplicable

(3)Detailsofinvestmentpropertyfailedtoaccomplishcertificationofproperty

InRMB

ItemsBookbalanceReason
HousesandBuilding923,873.94Transportationandotherancillaryfacilities,Notaccreditation

10.Fixedassets

InRMB

ItemsYear-endbalanceYear-beginningbalance
Fixedassets9,552,205,782.9710,098,252,638.07
liquidationoffixedassets6,503,095.14
Total9,558,708,878.1110,098,252,638.07

(1)Listoffixedassets

InRMB

ItemsGuangfoExpresswayFokaiExpresswayGuanghuiExpresswayJingzhuExpresswayGuangzhusectionHouseandbuildingsMachineryequipmentTransportationequipmentElectricityequipmentandotherTotal
I.Originalprice
1.Openingbalance1,460,270,190.6610,916,901,136.526,824,139,977.485,136,471,234.45664,476,347.751,849,144,772.3061,642,618.63142,268,138.5427,055,314,416.33
2.Increasedamountoftheperiod-659,820.18503,520.001,250,706.342,009,004.663,103,410.82
（1）Purchase49,300.001,250,706.342,009,004.663,309,011.00
（2）Transferofprojectunderconstruction454,220.00454,220.00
(3)IncreasedofEnterpriseconsolidation
（4）Other-659,820.18-659,820.18
3.Decreasedamountoftheperiod14,920,857.1836,073,395.95787,665.004,287,225.7156,069,143.84
（1）Disposalorscrap14,920,857.1836,073,395.95787,665.004,287,225.7156,069,143.84
（2）Dispositionsubsidiary
（3）Otherout659,820.18
4.Closingbalance1,460,270,190.6610,916,901,136.526,824,139,977.485,136,471,234.45648,895,670.391,813,574,896.3562,105,659.97139,989,917.4927,002,348,683.31
II.Accumulateddepreciation
ItemsGuangfoExpresswayFokaiExpresswayGuanghuiExpresswayJingzhuExpresswayGuangzhusectionHouseandbuildingsMachineryequipmentTransportationequipmentElectricityequipmentandotherTotal
1.Openingbalance1,460,270,190.665,857,558,616.404,285,503,165.863,319,516,101.13480,209,669.571,409,241,923.3147,930,132.3092,710,665.9316,952,940,465.16
2.Increasedamountoftheperiod167,001,611.98205,719,649.4895,478,011.1915,431,227.0851,663,388.651,129,558.436,195,843.97542,619,290.78
（1）Withdrawal167,001,611.98205,719,649.4895,478,011.1915,431,227.0851,663,388.651,129,558.436,195,843.97542,619,290.78
（2）Other
3.Decreasedamountoftheperiod11,290,376.0833,435,034.30734,341.754,078,416.5749,538,168.70
(1)Disposalorscrap11,290,376.0833,435,034.30734,341.754,078,416.5749,538,168.70
（2）Dispositionsubsidiary
4.Closingbalance1,460,270,190.666,024,560,228.384,491,222,815.343,414,994,112.32484,350,520.571,427,470,277.6648,325,348.9894,828,093.3317,446,021,587.24
III.Impairmentprovision
1.Openingbalance2,889,394.161,231,918.944,121,313.10
2.Increasedamountoftheperiod
(1)Withdrawal

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod
(1)Disposalorscrap

4.Closingbalance

4.Closingbalance2,889,394.161,231,918.944,121,313.10
IV.Bookvalue
ItemsGuangfoExpresswayFokaiExpresswayGuanghuiExpresswayJingzhuExpresswayGuangzhusectionHouseandbuildingsMachineryequipmentTransportationequipmentElectricityequipmentandotherTotal
1.Closingbookvalue4,892,340,908.142,332,917,162.141,721,477,122.13161,655,755.66384,872,699.7513,780,310.9945,161,824.169,552,205,782.97
2.Openingbook5,059,342,520.122,538,636,811.621,816,955,133.32181,377,284.02438,670,930.0513,712,486.3349,557,472.6110,098,252,638.07

(2)Temporarilyidlefixedassets

InRMB

ItemsOriginalpriceAccumulateddepreciationImpairmentprovisionBookvalueRemark
Houseandbuildings6,176,339.214,767,637.501,408,701.71
Machineryequipment2,322,167.001,090,248.061,231,918.94

(3)FixedassetsleasedoutfromoperationleaseNone

（4）Detailsoffixedassetsfailedtoaccomplishcertificationofproperty

InRMB

ItemsBookbalanceReason
Houseandbuildings145,880,426.60Transportationandotherancillaryfacilities，Notaccreditation.

（5）liquidationoffixedassets

InRMB

ItemsYear-endbalanceYear-beginningbalance
Houseandbuildings3,630,481.10
Machineryequipment2,638,361.65
Transportationequipment25,443.25
Officeequipmentandother208,809.14
Total6,503,095.14

11.Projectunderconstruction

InRMB

ItemsYear-endbalanceYear-beginningbalance
Projectunderconstruction1,287,072,029.02753,565,502.12
Total1,287,072,029.02753,565,502.12

（1）Projectunderconstruction

InRMB

ItemsYear-endbalanceYear-beginningbalance
BookbalanceProvisionfordevaluationBookvalueBookbalanceProvisionfordevaluationBookvalue
ReconstructionandExpansionofNansha-ZhuhaisectionofGuangzhou-MacaoExpressway1,021,162,978.771,021,162,978.77553,543,942.17553,543,942.17
ReconstructionandExpansionofFokaiExpresswaySanbaotoShuikou208,792,748.04208,792,748.04152,274,277.83152,274,277.83
Jiangxi-Shenzhenhigh-speedrailwaycross-section15,664,172.9815,664,172.9815,664,172.9815,664,172.98
expansionproject
Guangzhou-ShantouRailwayCrossingproject15,098,082.4315,098,082.4310,576,570.4310,576,570.43
BoluoCentralStationofficeandlivingfacilitiesrenovationandexpansionproject6,406,068.376,406,068.373,768,689.373,768,689.37
TanweiBridgeShipCollisionProject1,749,246.001,749,246.001,749,246.001,749,246.00
Other18,198,732.4318,198,732.4315,988,603.3415,988,603.34
Total1,287,072,029.021,287,072,029.02753,565,502.12753,565,502.12

(2)Changesofsignificantconstructioninprogress

InRMB

NameofprojectBudgetOpeningbalanceIncreaseTransferredtofixedassetsOtherdecreaseEndbalanceProportion%ProjectprocessCapitalizationofinterestIncluding:capitalizationofinterestthisperiodCapitalizationofinterestrate(%)Sourceoffunding
ReconstructionandExpansionofNansha-ZhuhaisectionofGuangzhou-MacaoExpressway13,735,989,200.00553,543,942.17467,619,036.601,021,162,978.777.43%7.43%31,820,755.8421,918,319.012.91%Other
ReconstructionandExpansionofFokaiExpresswaySanbaotoShuikou3,426,210,000.00152,274,277.8356,518,470.21208,792,748.0480.76%93.00%75,533,679.332,318,123.513.30%Other
Jiangxi-Shenzhenhigh-speedrailwaycross-sectionexpansionproject16,966,900.0015,664,172.9815,664,172.9892.32%100.00%Other
Guangzhou-ShantouRailwayCrossingproject21,460,000.0010,576,570.434,521,512.0015,098,082.4370.35%100.00%Other
BoluoCentralStationofficeandlivingfacilitiesrenovationandexpansionproject17,000,000.003,768,689.372,637,379.006,406,068.3737.68%37.68%Other
TanweiBridgeShipCollisionProject50,000,000.001,749,246.001,749,246.003.50%3.50Other
Total17,267,626,100.00737,576,898.78531,296,397.811,268,873,296.59107,354,435.1724,236,442.52

(3)ProvisionforimpairmentofconstructionprojectsinthecurrentperiodNone

（4）EngineeringMaterials：None

None

12.Userightassets

InRMB

ItemsHouseandbuildingsMachineryequipmentTransportationequipmentOtherTotal
I.Originalprice
1.Openingbalance21,487,031.29357,112.191,007,747.0022,851,890.48
2.Increasedamountoftheperiod30,634,734.72673,169.0631,307,903.78
（1）Newlease30,634,734.72673,169.0631,307,903.78
（2）Other
3.Decreasedamountoftheperiod21,487,031.2921,487,031.29
（1）Transferorholdforsale
（2）Disposalsubsidiary
（3）Otherout21,487,031.2921,487,031.29
4.Closingbalance30,634,734.72357,112.19673,169.061,007,747.0032,672,762.97
II.Accumulateddepreciation
1.Openingbalance18,417,455.29142,844.88214,034.8818,774,335.05
2.Increasedamountoftheperiod4,785,441.3035,711.22168,292.2653,508.725,042,953.50
（1）Withdrawal4,785,441.3035,711.22168,292.2653,508.725,042,953.50
（2）Otherincrease
3.Decreasedamountoftheperiod21,487,031.2921,487,031.29
（1）Disposition
（2）Transferorholdforsale
（3）Otherout21,487,031.2921,487,031.29
4.Closingbalance1,715,865.30178,556.10168,292.26267,543.602,330,257.26
III.Impairmentprovision
1.Openingbalance
2.Increasedamountoftheperiod
（1）Withdrawal
（2）Otherincrease
3.Decreasedamountoftheperiod
（1）Disposition
（2）Transferorholdforsale
4.Closingbalance
ItemsHouseandbuildingsMachineryequipmentTransportationequipmentOtherTotal
IV.Bookvalue
1.Closingbookvalue28,918,869.42178,556.09504,876.80740,203.4030,342,505.71
2.Openingbookvalue3,069,576.00214,267.31793,712.124,077,555.43

13.Intangibleassets

(1)Listofintangibleassets

InRMB

ItemsLanduserightPatentrightNon-patentedtechnologyTheTurnpikefranchiseTotal
I.Originalprice
1.Openingbalance2,701,738.7638,254,516.12318,348,741.86359,304,996.74
2.Increasedamountoftheperiod83,247.9683,247.96
(1)Purchase83,247.9683,247.96
(2)InternalDevelopment
(3)IncreasedofEnterpriseCombination

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod11,005,016.4011,005,016.40
（1）Disposal11,005,016.4011,005,016.40
（2）Governmentsubsidiescut
（3）Disposalsubsidiary
4.Closingbalance2,701,738.7627,332,747.68318,348,741.86348,383,228.30
II.Accumulatedamortization
1.Openingbalance2,366,543.7432,357,841.5277,808,140.04112,532,525.30
2.Increasedamountoftheperiod7,705.621,003,484.4711,794,307.9812,805,498.07
(1)Withdrawal7,705.621,003,484.4711,794,307.9812,805,498.07

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod11,005,016.4011,005,016.40
（1）Disposal11,005,016.4011,005,016.40
（2）Disposalsubsidiary
ItemsLanduserightPatentrightNon-patentedtechnologyTheTurnpikefranchiseTotal
4.Closingbalance2,374,249.3622,356,309.5989,602,448.02114,333,006.97
III.Impairmentprovision
1.Openingbalance
2.Increasedamountoftheperiod
(1)Withdrawal

3.Decreasedamountoftheperiod

3.Decreasedamountoftheperiod
（1）Disposal

4.Closingbalance

4.Closingbalance
IV.Bookvalue
1.Closingbookvalue327,489.404,976,438.09228,746,293.84234,050,221.33
2.Openingbookvalue335,195.025,896,674.60240,540,601.82246,772,471.44

Attheendofthisperiod,thereisnointangibleassetsformedthroughthecompany'sinternalresearchandAttheendofthisperiod,theintangibleassetsformedthroughthecompany'sinternalresearchanddevelopmentaccountedfor0.00%ofthebalanceofintangibleassets⑵DetailsofLanduserightfailedtoaccomplishcertificationofproperty

InRMB

ItemsBookvalueReasonfornotobtainingthetitlecertificate
GongheTownLand327,489.40Reasonsleftoverfromhistory

14.Deferredincometaxassets/deferredincometaxliabilities

(1)Deferredincometaxassetshadnotbeenoff-set

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
DeductibletemporarydifferenceDeferredincometaxassetsDeductibletemporarydifferenceDeferredincometaxassets
Assetsimpairmentprovisions9,858,323.332,464,580.847,912,893.771,978,223.45
Deductibleloss25,253,836.366,313,459.09363,420,806.9690,855,201.74
Assetappraisal,appreciation,depreciationandamortization106,518,448.6826,629,612.17120,375,258.2430,093,814.56
Deferredincome15,980,161.743,995,040.4421,009,212.705,252,303.27
Operationlease29,736,108.167,434,027.043,461,741.75865,435.44
Total187,346,878.2746,836,719.58516,179,913.42129,044,978.46

(2)Deferredincometaxliabilitieshadnotbeenoff-set

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
DeductibletemporarydifferenceDeferredincometaxliabilitiesDeductibletemporarydifferenceDeferredincometaxliabilities
Changesinthefairvalueofotherequityinstruments236,734,309.3759,183,577.34241,394,552.4560,348,638.11
Deductibletemporarydifferencesintheformationofassetimpairment916,831,006.67229,207,751.66965,577,119.54241,394,279.90
Differenceofamortizationmethodoffranchiseoftollroad11,048,885.572,762,221.409,854,438.832,463,609.71
Changesinthefairvalueoftradingfinancialassets10,400,000.002,600,000.0010,400,000.002,600,000.00
Taxaccountingdifferenceofuserightasset30,342,505.717,585,626.434,077,555.451,019,388.86
Taxaccountingdifferencesofprojectsunderconstruction18,136,690.844,534,172.71
Total1,223,493,398.16305,873,349.541,231,303,666.27307,825,916.58

(3)Deferredincometaxassetsorliabilitieslistedbynetamountafteroff-setNone

(4)Detailsofincometaxassetsnotrecognized

InRMB

ItemsBalanceinyear-endBalanceinyear-begin
Deductibletemporarydifference37,864,110.4337,864,110.43
Deductibleloss21,327,524.2218,536,190.43
Total59,191,634.6556,400,300.86

(5)Deductiblelossesoftheun-recognizeddeferredincometaxassetwillexpireinthefollowingyears

InRMB

YearBalanceinyear-endBalanceinyear-beginRemark
20233,129,535.723,129,535.72
20243,618,779.073,618,779.07
20253,571,100.293,571,100.29
20263,889,857.993,889,857.99
20274,326,917.364,326,917.36
20282,791,333.79
Total21,327,524.2218,536,190.43

15.Othernon-currentassets

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
BookbalanceProvisionfordevaluationBookvalueBookbalanceProvisionfordevaluationBookvalue
Prepaidengineeringfees57,853,104.6257,853,104.626,258,116.726,258,116.72
Prepaidbusinesstax1,915,476.961,915,476.962,116,662.122,116,662.12
Total59,768,581.5859,768,581.588,374,778.848,374,778.84

Othernote：

Note

16.Short-termBorrowing

（1）Short-termBorrowing

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
CreditBorrowing430,000,000.00
Interestpayablenotdue387,597.20
Total430,387,597.20

Note：

(2)SituationofOverdueOutstandingShort-TermBorrowingNone

17.Accountpayable

（1）Listofaccountpayable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
Within1year（Including1year）35,191,561.22106,284,617.63
1-2years（including2years）48,777,577.0915,315,242.17
2-3years（including3years）9,891,578.332,693,624.18
Over3years73,471,862.2473,495,298.79
Total167,332,578.88197,788,782.77

（2）Significantpayableagingmorethan1year

InRMB

ItemsBalanceinyear-endReason
FoshanLandandresourcesBureau.30,507,598.21Unsettled
GuangZhongjiangExpresswayprojectManagementDept17,466,700.00Unsettled
HeshanLandandresourcesBureau9,186,893.60Unsettled
PolyChangdaEngineeringCo.,Ltd.5,415,553.30Unsettled
FoshanChanchengDistrict,ZhangChaSub-districtOffice4,626,817.32Unsettled
Total67,203,562.43

18.Prepaymentreceived

(1)ListofPrepaymentreceived

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
Within1year（Including1year）2,169,988.911,913,639.06
1-2years（Including2years）1,082,898.18805,117.91
Total3,252,887.092,718,756.97

（2）Significantpayableagingmorethan1year

InRMB

ItemsBalanceinyear-endReason
HebeiJianhongPowerEngineeringCo.,Ltd.1,082,898.18Unsettled
Total1,082,898.18

19.PayableEmployeewage

（1）PayableEmployeewage

InRMB

ItemsYear-beginningbalanceIncreaseinthecurrentperiodDecreaseinthecurrentperiodYear-endbalance
I.Short-termcompensation20,660,328.60186,686,717.85187,605,961.9419,741,084.51
II.Post-employmentbenefits-definedcontributionplans32,786,473.0931,308,371.021,478,102.07
III.Dismissalbenefits1,315,216.921,315,216.92
Total20,660,328.60220,788,407.86220,229,549.8821,219,186.58

（2）Short-termRemuneration

InRMB

ItemsYear-beginningbalanceIncreaseinthecurrentperiodDecreaseinthecurrentperiodYear-endbalance
1.Wages,bonuses,allowancesandsubsidies465,063.49136,477,235.72136,477,235.72465,063.49
2.Employeewelfare8,521,719.598,521,719.59
3.Socialinsurancepremiums17,057,493.9317,032,657.5924,836.34
Including：Medicalinsurance10,213,027.9210,189,709.4023,318.52
Workinjuryinsurance506,588.92505,071.101,517.82
Other6,337,877.096,337,877.09
4.Publicreservesforhousing19,702,163.0019,702,163.00
5.Unionfundsandstaffeducationfee17,883,045.404,329,599.115,273,679.5416,938,964.97
8.Other2,312,219.71598,506.50598,506.502,312,219.71
Total20,660,328.60186,686,717.85187,605,961.9419,741,084.51

（3）Definedcontributionplanslisted

InRMB

ItemsBalanceYear-beginningIncreaseinthisperiodPayableinthisperiodBalanceinyear-end
1.Basicold-ageinsurancepremiums19,582,722.7819,540,840.3841,882.40
2.Unemploymentinsurance791,820.39789,225.182,595.21
3.Enterpriseannuitypayment12,411,929.9210,978,305.461,433,624.46
Total32,786,473.0931,308,371.021,478,102.07

20.TaxPayable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
VAT12,628,710.299,619,067.45
EnterpriseIncometax148,023,789.1858,889,929.38
IndividualIncometax550,351.132,552,347.21
CityConstructiontax788,554.59633,666.06
Educationsubjoin383,867.08306,387.03
LocalityEducationsubjoin237,270.58185,315.25
Vehicleandvesseltax
Landusetax523,762.40
Propertytax504,597.9160,799.58
Stamptax35,981.8760,261.45
Total163,676,885.0372,307,773.41

21.Otheraccountspayable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
Dividendpayable920,558,170.1759,994,517.46
Otheraccountpayable124,167,228.26131,173,042.77
Total1,044,725,398.43191,167,560.23

（1）Interestpayable

None

（2）Dividendspayable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
Commonstockdividends920,558,170.1725,694,517.46
Dividendspayable-GuangdongProvincialFreewayCo.,Ltd.11,550,000.00
Dividendspayable-GuangdongZhujiangHighwayandBridgeInvestmentCo.,Ltd21,000,000.00
Dividendspayable-HZCI1,750,000.00
Total920,558,170.1759,994,517.46

Otherexplanations,includingsignificantdividendspayablethathavenotbeenpaidformorethan1year,itshalldisclosethereasonsfornon-payment:

Note:Includingsignificantunpaiddividendspayableoveroneyear,theunpaidreasonshallbedisclosed:

Finaldividendpayable25,693,148.24yuanformoreayearinunpaiddividendstoshareholdersovertheyearwasmainlyduetonon-paymentofshareholderdividendsdidnotprovideinformationoninterest-bearingbank,didnotsharereformofshareholderstoreceivedividendsorprovideapplicationtoreceivedividendsthebankinformationisincorrect,resultinginfailuretopayadividendorrefund.

（3）Otheraccountspayable

(1)Otheraccountspayablelistedbynatureoftheaccount

InRMB

ItemsYear-endbalanceYear-Beginningbalance
Estimatedprojectcost33,034,549.9540,097,538.05
Deposit,warrantyandsecuritydeposit64,237,381.4364,205,413.61
Other26,895,296.8826,870,091.11
Total124,167,228.26131,173,042.77

(2)Othersignificantaccountspayablewithagingoveroneyear

InRMB

ItemsClosingbalanceUnpaid/un-carryoverreason
PolyChangdaHighwayEngineeringCo.,Ltd.20,101,922.48Thesettlementconditionsarenotmet
YayaotoXiebianextension12,499,448.48Thesettlementconditionsarenotmet
GuangdongGuanyueRoad&BridgeCo.,Ltd.7,954,762.80Thesettlementconditionsarenotmet
CCCCFirstNavigationEngineeringBureauCo.,Ltd.6,604,491.16Thesettlementconditionsarenotmet
ChinaRailwayTunnelGroupCo.,Ltd.5,711,835.48Thesettlementconditionsarenotmet
Total52,872,460.40

22.Non-currentliabilitiesduewithin1year

InRMB

ItemsBalanceyear-endYear-beginningbalance
Long-termloansduewithin1year145,147,041.1972,870,082.19
PayableBondsduewithin1year695,329,608.0940,679,999.99
Long-termpayableduewithin1year495,283.01944,339.62
Leaseliabilitiesduewithin1year10,151,743.032,517,045.16
Total851,123,675.32117,011,466.96

23.Othercurrentliabilities

InRMB

ItemsBalanceyear-endYear-beginningbalance
Taxtoberewritten169,097.00600,639.56
Entrustedloansandinterest500,395,833.33500,122,916.67
Total500,564,930.33500,723,556.23

24.Long-termloan

(1)Categoryoflong-termloan

InRMB

ItemsBalanceyear-endYear-beginningbalance
Pledgeloans14,525,000.00
Creditloan6,008,445,000.005,619,259,650.00
Interestpayablewhennotdue5,421,991.195,680,782.19
Less:Long-termloansduewithinoneyear（NoteV.22）-145,147,041.19-72,870,082.19
Total5,868,719,950.005,566,595,350.00

25.Bondpayable

（1）BondpayableInRMB

ItemsBalanceyear-endYear-beginningbalance
Medium-termnote1,428,850,956.611,428,381,232.94
Interestpayablewhennotdue15,625,753.4340,679,999.99
Less:Long-termloansduewithinoneyear（NoteV.22）-695,329,608.09-40,679,999.99
Total749,147,101.951,428,381,232.94

（2）Changesofbondspayable(Notincludingtheotherfinancialinstrumentofpreferredstockandperpetualcapitalsecuritiesthatclassifyasfinancialliability

InRMB

NameofthebondBookvalueIssuedatePeriodIssueamountOpeningbalanceThecurrentissueWithdrawinterestatparOverflowdiscountamountPayincurrentperiodClosingbalance
19GuangdongExpresswayMTN001680,000,000.002019.2.272019.3.1-2024.3.1680,000,000.00702,279,764.6913,488,219.16-227,377.6727,200,000.00688,795,361.52
20GuangdongExpresswayMTN001750,000,000.002020.3.132020.3.17-2025.3.17750,000,000.00766,781,468.2411,157,534.28-242,346.0022,500,000.00755,681,348.52
Less:Bondspayableduewithinoneyear（NoteVII.22）-40,679,999.99695,329,608.09
Total1,430,000,000.001,428,381,232.9424,645,753.44-469,723.6749,700,000.00749,147,101.95

(3)NotetoconditionsandtimeofsharetransferofconvertiblebondsNone

（4）OtherfinancialinstrumentsthatareclassifiedasfinancialliabilitiesNone

26.Leaseliabilities

InRMB

ItemsBalanceyear-endYear-beginningbalance
Long-termleaseliabilities30,471,738.142,709,232.95
Less：Financingcostsarenotrecognized1,463,771.3841,203.32
Less:Long-termloansduewithinoneyear(NoteV.22)10,151,743.032,517,045.16
Total18,856,223.73150,984.47

27.Long-termpayableInRMB

ItemsBalanceyear-endYear-beginningbalance
Long-termpayable2,022,210.112,517,493.12
Total2,022,210.112,517,493.12

(1)Long-termpayablelistedbynatureoftheaccount

InRMB

ItemsBalanceyear-endYear-beginningbalance
Non-operatingassetpayable2,022,210.112,022,210.11
Mediumtermbillunderwritingfee495,283.011,439,622.63
Less:Long-termloansduewithinoneyear(NoteV.22)495,283.01944,339.62
Total2,022,210.112,517,493.12

28.Deferredincome

InRMB

ItemsOpeningbalanceIncreaseDecreaseClosingbalanceCause
Governmentsubsidy21,009,212.70185,000,000.005,029,050.96200,980,161.74
Leaseincome40,073,768.933,804,705.4236,269,063.51
Total61,082,981.63185,000,000.008,833,756.38237,249,225.25

Detailsofgovernmentsubsidies：

InRMB

ItemsBeginningoftermNewsubsidyincurrentperiodAmounttransferredtonon-operationalincomeOtherincomerecordedinthecurrentperiodAmountofcostdeductedinthecurrentperiodOtherchangesEndoftermAsset-relatedorincome-related
Cancellationof20,931,143.875,023,474.6215,907,669.25Relatedtoasset
ExpresswayProvincialTollStationProject
Charginginfrastructurerewards78,068.835,576.3472,492.49Relatedtoasset
QijiangNewSouthcityinterchangeconstructionproject185,000,000.00185,000,000.00Relatedtoasset

29.Stockcapital

InRMB

BalanceYear-beginningChanged（+，-）Balanceinyear-end
IssuanceofnewshareBonussharesCapitalizationofpublicreserveOtherSubtotal
Totalofcapitalshares2,090,806,126.002,090,806,126.00

30.Capitalreserves

InRMB

ItemsYear-beginningbalanceIncreaseinthecurrentperiodDecreaseinthecurrentperiodYear-endbalance
Sharepremium508,711,146.99508,711,146.99
Othercapitalreserves234,422,410.0418,430.0492,400.51234,348,439.57
Total743,133,557.0318,430.0492,400.51743,059,586.56

-Thesituationofchangeinthecurrentcapitalreserveisasfollows:

1.ThejointventureGuangdongJiangzhongExpresswayCo.,Ltd.recognizedthespecialreserveinthecurrentperiod,andtheCompanyadjustedthebookvalueoflong-termequityinvestmentaccordingtotheshareholdingratio,resultinginanincreaseinthecapitalreserveof16,005.85yuan.

2.ThecapitalreserveofGuoyuanSecuritiesCo.,Ltd.,anassociatedenterprise,haschangedinthecurrentperiod.

3.HunanLianzhiTechnologyCo.,Ltd.,anassociateofthesubsidiaryYuegaoCapital(Holdings)GuangzhouCo.,Ltd.,repurchasedtheequityofothershareholders,resultinginachangeinthelong-termequityinvestmentofthesubsidiaryaccountedforbytheequitymethodandreducingthecapitalreserveby92,400.51yuan.

31.Othercomprehensiveincome

InRMB

ItemsYear-beginningbalanceAmountofcurrentperiodYear-endbalance
AmountincurredbeforeincometaxLess：AmounttransferredintoprofitandlossinthecurrentperiodthatrecogniedintoothercomprehensiveincomeinpriorperiodLess：PriorperiodincludedinothercompositeincometransfertoretainedincomeinthecurrentperiodLess：IncometaxexpensesAfter-taxattributetotheparentcompanyAfter-taxattributetominorityshareholder
1.Othercomprehensiveincomewillbereclassifiedintoincomeorlossinthefuture181,045,914.34-4,660,243.08-1,165,060.77-3,495,182.31177,550,732.03
Changesinfairvalueofinvestmentsinotherequityinstruments181,045,914.34-4,660,243.08-1,165,060.77-3,495,182.31177,550,732.03
2.Othercomprehensiveincomereclassifiabletoprofitorlossinsubsequentperiods-10,412,257.6712,110,298.3312,110,298.331,698,040.66
Including：Shareofothercomprehensiveincomeoftheinvesteethatcannotbetransferredtoprofitorlossaccountedforusingtheequitymethod-10,412,257.6712,110,298.3312,110,298.331,698,040.66
Totalofothercomprehensiveincome170,633,656.677,450,055.25-1,165,060.778,615,116.02179,248,772.69

32.Surplusreserve

InRMB

ItemsYear-beginningbalanceIncreaseinthecurrentperiodDecreaseinthecurrentperiodYear-endbalance
Statutorysurplusreserve1,373,056,469.021,373,056,469.02
Total1,373,056,469.021,373,056,469.02

33.Retainedprofits

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Beforeadjustments:Retainedprofitsinlastperiodend4,698,029,354.084,760,618,543.78
Adjustthetotalundistributedprofitsatthebeginningoftheperiod510,117.60
Afteradjustments:Retainedprofitsattheperiodbeginning4,698,029,354.084,761,128,661.38
Add：Netprofitbelongingtotheowneroftheparentcompany885,644,187.991,276,341,322.98
Less:Statutorysurplusreserve147,681,138.46
Commonstockdividendpayable894,865,021.931,191,759,491.82
Retainedprofitattheendofthisterm4,688,808,520.144,698,029,354.08

Asregardsthedetailsofadjustedthebeginningundistributedprofits

(1)AstheretroactiveadjustmentonEnterpriseAccountingStandardsanditsrelatednewregulations,theaffectedbeginningundistributedprofitsareRMB-218,081.32.

(2)Asthechangeoftheaccountingpolicy,theaffectedbeginningundistributedprofitsareRMB0.00.

(3)Asthecorrectionofsignificantaccountingerror,theaffectedbeginningundistributedprofitsareRMB0.00.

(4)Asthechangeofconsolidationscopecausedbythesamecontrol,theaffectedbeginningundistributedprofitsareRMB0.00.

(5)OtheradjustmentofthetotalaffectedbeginningundistributedprofitsareRMB0.00.

34.Operationincomeandoperationcost

InRMB

ItemsAmountofthisperiodAmountoflastperiod
IncomeCostIncomeCost
Mainoperation2,310,707,369.57726,266,759.502,022,637,008.32682,014,744.35
Otheroperation29,729,405.5114,403,550.9934,783,801.3614,128,978.15
Total2,340,436,775.08740,670,310.492,057,420,809.68696,143,722.50

35.Businesstaxandsubjoin

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Urbanconstructiontax4,414,027.473,906,433.43
Educationsurcharge2,126,579.281,870,308.46
Propertytax579,768.501,026,637.79
Landusetax523,762.40523,762.40
Vehicleusetax42,143.7543,285.07
Stamptax136,313.89132,962.51
Businesstax185,247.66185,247.66
LocalityEducationsurcharge1,414,531.041,243,683.98
Total9,422,373.998,932,321.30

36.Administrativeexpenses

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Wage55,924,172.8058,799,341.19
Depreciationoffixedassets4,754,414.206,814,076.61
Intangibleassetsamortization754,955.47953,099.24
Lowconsumablesamortization305,671.18259,600.97
RentalfeeandManagementfee5,680,829.076,027,123.06
Businessfee276,707.37282,100.73
Officeexpenses3,253,204.384,275,751.24
Travelexpenses299,557.29114,358.72
Consultationexpenses100,000.00
Thefeeforhiringagency2,756,001.593,376,068.01
Repairscost152,240.53189,544.16
Vehiclefee1,353,271.681,304,983.31
Listingfee143,396.2211,320.75
Informationcostandmaintenancefee559,255.14961,765.47
Other3,810,168.792,304,133.58
Total80,023,845.7185,773,267.04

37.R&Dexpenses

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Wage81,651.82945,204.60
Materialcost412,566.35
Depreciation5,521.90
Lowconsumablesamortization885.00
Officeexpenses4,318.22
Repairscost391.15
Total81,651.821,368,887.22

38.Financialexpenses

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Interestexpenses109,161,060.69123,517,238.10
Depositinterestincome（-）-18,067,700.31-36,907,508.27
ExchangeIncomeandloss（Gain-）
Bankcommissioncharge56,504.0984,179.23
Other3,226.00608,147.56
Total91,153,090.4787,302,056.62

39.Othergains

InRMB

ItemsAmountofthisperiodAmountoflastperiod
GovernmentSubsidy-CanceltheSpecialSubsidyforProvincialTollStationProjectofExpressway5,023,474.625,023,474.62
GovernmentSubsidy-Charginginfrastructureincentivefunds5,576.34
Governmentsubsidy--JiujiangBridgestructurehealthmonitoringsystemoptimizationandupgradeofvehiclepurchasetaxsubsidyfunds600,000.00
Governmentsubsidy-Stablejobsubsidies-Expansionsubsidy25,500.00
Governmentsubsidy-Stablejobsubsidies1,250,935.46
Governmentsubsidy--Enterpriseswithindustrialtrainingsubsidies1,074,875.00
Maternityallowance577,849.71435,454.91
Withholdingandremittingenterpriseprepaidincometaxfees39,147.73156,133.38
Withholdpersonalincometaxhandlingfeerefund164,638.95159,544.67
Veterans'VATreductionandexemption13,786.4315,009.81
Withholdingandremittingenterpriseprepaidincometaxfees62,924.53
Total6,449,973.788,178,352.38

40.Investmentincome

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Long-termequityinvestmentincomebyequitymethod109,631,134.53101,561,222.92
Dispositionoftheinvestmentincomegeneratedbythelong-termequityinvestment13,564,262.33
Investmentincomeoftradingfinancialassetsduringtheholdingperiod601,253.78
Dividendsearnedduringtheholdingperiodoninvestmentsinotherequityinstrument71,249,739.3647,286,243.74
Other-80,000.00-91,000.00
Total181,402,127.67162,320,728.99

41.Creditimpairmentlosses

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Impairmentlossesonotherreceivable-43,681,523.62
Impairmentlossesonaccountreceivable-1,945,429.56
Total-45,626,953.18

Othernote

42.Assetimpairmentloss

InRMB

ItemsAmountofthisperiodAmountoflastperiod
Totaldisposalgainsorlossesofnon-currentassets463,363.89
Including:Lossonimpairmentoffixedassets463,363.89
Total463,363.89

43.Non-Operationincome

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiodTheamountofnon-operatinggains&losses
Non-currentassetsaredamagedandscrappedforprofit237,412.50
Amongthem:Fixedassets237,412.50
Insuranceclaimincome967,952.704,141,948.49967,952.70
Roadpropertyclaimincome1,126,095.641,419,966.311,126,095.64
Other54,244.5122,304.3554,244.51
Total2,148,292.855,821,631.652,148,292.85

44.Non-Operationexpenses

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiodRecordedintheamountofthenon-recurringgainsandlosses
Non-currentassetsaredamagedandscrappedforprofit15,753.62252,895.8515,753.62
Roadrehabilitationexpenditure176,042.002,624,379.66176,042.00
Fine570.972,254.33570.97
Other47,856.0076,129.5547,856.00
Total240,222.592,955,659.39240,222.59

45.Incometaxexpense

(1)Listsofincometaxexpense

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Currentincometaxexpense287,619,631.20246,703,707.49
Deferredincometaxexpense81,420,752.6143,520,805.04
Total369,040,383.81290,224,512.53

(2)Adjustmentprocessofaccountingprofitandincometaxexpense

InRMB

ItemsAmountofcurrentperiod
Total1,563,218,721.13
Currentincometaxexpenseaccountedbytaxandrelevantregulations390,804,680.28
Influenceofincometaxbeforeadjustment248,156.86
Influenceofnontaxableincome-17,962,748.29
Impactofnon-deductiblecosts,expensesandlosses10,334,504.26
Effectofdeductiblelossesfromusingpreviouslyunrecognizeddeferredincometaxassets-14,384,209.30
Incometaxexpense369,040,383.81

46.ItemsofCashflowstatement

（1）Othercashreceivedfrombusinessoperation

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Interestincome14,000,060.5020,528,520.76
Unitcurrentaccount40,874,222.9346,907,015.63
Qijiangnewcitysouthinterchangeconstructionsubsidyfunds185,000,000.00
Total239,874,283.4367,435,536.39

（2）Othercashpaidrelatedtooperatingactivities

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Managementexpense10,883,695.7614,342,965.21
Unitcurrentaccount27,999,921.6532,790,555.31
Total38,883,617.4147,133,520.52

(3)CashreceivablerelatedtootherFinancingactivities

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Governmentinfrastructureinvestmentsubsidies38,470,400.00
Interestincomefromspecialborrowing1,460,847.67
Total1,460,847.6738,470,400.00

（4）CashpaidrelatedtootherFinancingactivities

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Issuancefeeofmedium-termnotes1,001,869.751,001,869.75
Cashpaidfortheleaseliabilities7,325,653.275,240,644.14
Total8,327,523.026,242,513.89

47.SupplementInformationforcashflowstatement

（1）SupplementInformationforcashflowstatement

InRMB

SupplementInformationAmountofcurrentperiodAmountofpreviousperiod
I.Adjustingnetprofittocashflowfromoperatingactivities
Netprofit1,194,178,337.321,061,504,459.99
Add：Creditlosspreparation
Depreciationoffixedassets,oilandgasassetsandconsumablebiologicalassets542,423,799.22479,906,745.78
DepreciationofUserightassets5,042,953.504,910,817.45
Amortizationofintangibleassets12,833,960.7511,410,277.66
AmortizationofLong-termdeferredexpenses
Lossondisposaloffixedassets,intangibleassetsandotherlong-termdeferredassets-463,363.89
Fixedassetsscraploss15,753.6215,483.35
Lossonfairvaluechanges
Financialcost109,276,885.58123,517,238.10
Lossoninvestment-181,402,127.67-162,320,728.99
Decreaseofdeferredincometaxassets82,208,258.8855,802,962.55
Increasedofdeferredincometaxliabilities-787,506.27-12,282,157.51
Decreaseofinventories
Deceaseofoperatingreceivables-82,590,730.82-46,196,406.71
IncreasedofoperatingPayable287,090,654.41-72,254,061.48
Provisionforcreditlosses45,626,953.18
Netcashflowsarisingfromoperatingactivities2,013,917,191.701,443,551,266.30
II.Significantinvestmentandfinancingactivitiesthatwithoutcashflows:
Conversionofdebtintocapital
Convertiblecorporatebondsmaturingwithinoneyear
Financingoffixedassetsleased
3．Movementofcashandcashequivalents：
Endingbalanceofcash5,274,773,267.754,042,994,649.07
Less:Beginningbalanceofcashequivalents4,284,688,231.332,955,183,190.55
Add：Endbalanceofcashequivalents
Less:Beginningbalanceofcashequivalents
Netincreaseofcashandcashequivalent990,085,036.421,087,811,458.52

（2）Compositionofcashandcashequivalents

InRMB

ItemsBalanceinyear-endBalanceinyear-Beginning
Cash5,274,773,267.754,284,688,231.33
Ofwhich:Cashinstock56,693.1143,420.71
Banksavingscouldbeusedatanytime5,274,200,451.444,284,128,907.61
Othermonetarycapitalcouldbeusedatanytime516,123.20515,803.01
Balanceofcashandcashequivalentsattheperiodend5,274,773,267.754,284,688,231.33

48.Theassetswiththeownershiporuserightrestricted

InRMB

ItemsBookvalueattheendoftheperiodRestrictedreason
Monetaryfund1,221,200.00Landreclamationfundsinthefundescrowaccount
Total1,221,200.00

VIII.Equityinotherentities

1.Equityinsubsidiary

(1)Thestructureoftheenterprisegroup

NameofSubsidiaryMainPlacesofOperationRegistrationPlaceNatureofBusinessShareholdingRatio(%)ObtainingMethod
directindirect
GuangfoExpresswayCo.,Ltd.GuangzhouGuangzhouExpresswayManagement75.00%Underthesamecontrolbusinesscombination
GuanghuiExpresswayCo.,Ltd.GuangzhouGuangzhouExpresswayManagement51.00%Underthesamecontrolbusinesscombination
JingzhuExpresswayGuangzhuSectionCo.,Ltd.ZhongshanGuangzhouExpresswayManagement75.00%Underthesamecontrolbusinesscombination
YuegaoCapitalInvestment(Guangzhou)Co.,Ltd.GuangzhouGuangzhouInvestmentmanagement100.00%Establishment

Notes:holdingproportioninsubsidiarydifferentfromvotingproportion:NoneBasisofholdinghalforlessvotingrightsbutstillbeencontrolledinvesteeandholdingmorethanhalfofthe

votingrightsnotbeencontrolledinvestee:NoneSignificantstructureentitiesandcontrollingbasisinthescopeofcombination:NoneBasisofdeterminewhethertheCompanyistheagentortheprincipal:None

Othernote

(2)ImportantNon-wholly-ownedSubsidiary

InRMB

NameofSubsidiaryShareholdingRatioofMinorityShareholders(%)ProfitorLossOwnedbytheMinorityShareholdersintheCurrentPeriodDividendsDistributedtotheMinorityShareholdersintheCurrentPeriodEquityBalanceoftheMinorityShareholdersintheEndofthePeriod
GuangfoExpresswayCo.,Ltd.25.00%-10,159,876.8354,191,863.16
GuangdongGuanghuiExpresswayCo.,Ltd.49.00%248,592,282.67133,205,174.082,090,255,570.22
JingzhuExpresswayGuangzhuSectionCo.,Ltd.25.00%70,101,743.4988,470,000.47323,901,561.73

HoldingproportionofminorityshareholderinsubsidiarydifferentfromvotingproportionNone

(3)Themainfinancialinformationofsignificantnotwhollyownedsubsidiary

InRMB

NameYear-endbalance
CurrentassetsNon-currentassetsTotalassetsCurrentLiabilitiesNon-currentliabilitiesTotalliabilities
GuangfoExpresswayCo.,Ltd.227,792,721.2215,224,557.98243,017,279.2026,249,826.5726,249,826.57
GuangdongGuanghuiExpresswayCo.,Ltd.1,878,332,015.302,744,797,728.054,623,129,743.35203,516,148.58153,785,900.44357,302,049.02
JingzhuExpresswayGuangzhuSectionCo.,Ltd.913,861,914.062,932,963,715.033,846,825,629.091,880,885,837.14670,333,545.032,551,219,382.17

InRMB

NameYear-beginningbalance
CurrentassetsNon-currentassetsTotalassetsCurrentLiabilitiesNon-currentliabilitiesTotalliabilities
GuangfoExpresswayCo.,Ltd.270,445,990.7215,689,069.15286,135,059.8728,728,099.9228,728,099.92
GuangdongGuanghuiExpresswayCo.,Ltd.1,463,091,700.932,980,427,023.344,443,518,724.27242,093,924.47171,081,000.56413,174,925.03
JingzhuExpresswayGuangzhuSectionCo.,Ltd.1,097,313,535.802,536,899,303.013,634,212,838.812,477,933,314.32141,080,251.542,619,013,565.86

InRMB

NameAmountofcurrentperiodAmountofpreviousperiod
BusinessincomeNetprofitTotalComprehensiveincomeCashflowsfromoperatingactivitiesBusinessincomeNetprofitTotalComprehensiveincomeCashflowsfromoperatingactivities
GuangfoExpresswayCo.,Ltd.1,472,953.28-40,639,507.32-40,639,507.32-2,029,459.2566,566,527.4538,386,003.1238,386,003.12200,857,877.57
GuangdongGuanghuiExpresswayCo.,Ltd.1,024,822,529.29507,331,189.13507,331,189.13777,984,620.05893,298,497.64469,177,363.59469,177,363.59591,588,578.50
JingzhuExpressway574,690,822.31280,406,973.97280,406,973.97495,884,944.24452,938,785.68193,096,571.04193,096,571.04271,398,716.46

Othernote：

(4)SignificantrestrictionsofusingenterprisegroupassetsandpayoffenterprisegroupdebtNone

(5)ProvidefinancialsupportorothersupportforstructureentitiesincorporateintothescopeofconsolidatedfinancialstatementsNone

2.ThetransactionoftheCompanywithitsowner’sequitysharechangedbutstillcontrollingthesubsidiary

(1)SignificantjointventurearrangementorassociatedenterpriseNone

（2）Affectofthetransactionontheminorityequityandowner'sequityattributabletotheparentcompanyNone

3.Equityinjointventurearrangementorassociatedenterprise

(1)Significantjointventurearrangementorassociatedenterprise

NameMainoperatingplaceRegistrationplaceBusinessnatureProportionAccountingtreatmentoftheinvestmentofjointventureorassociatedenterprise
DirectlyIndirectly
ZhaoqingYuezhaoHighwayCo.,Ltd.Zhaoqing,GuangdongZhaoqing,GuangdongExpresswayManagement25.00%Equitymethod
ShenzhenHuiyanExpresswayCo.,Ltd.ShenzhenShenzhenExpresswayManagement33.33%Equitymethod
GuangdongJiangzhongExpresswayCo.,Ltd.Zhongshan,Zhongshan,ExpresswayManagement15.00%Equitymethod
GanzhoukangdaExpresswayCo.,Ltd.GangzhouGanzhouExpresswayManagement30.00%Equitymethod
GanzhouGankangExpresswayCo.,Ltd.GangzhouGanzhouExpresswayManagement30.00%Equitymethod
GuangdongYuepuSmallRefinancingCo.,LtdGuangzhouGuangzhouHandallkindsofsmallloans15.48%Equitymethod
GuangyuanSecuritiesCo.,Ltd.HefeiHefeiSecuritybusiness2.37%Equitymethod
HunanLianzhiTechnologyCo.,Ltd.ChangshaChangshaResearchandexperimentaldevelopment12.53%Equitymethod
SPICYuetongQiyuanChipPowerTechnologyCo.,LtdGuangzhouGuangzhouNewEnergyservice5.00%Equitymethod
ShenzhenGarageElectricPileTechnologyCo.,LtdShenzhenShenzhenSoftwareandInformationtechnology17.40%Equitymethod

Notestoholdingproportionofjointventureorassociatedenterprisedifferentfromvotingproportion:

None

Basisofholdinglessthan20%ofthevotingrightsbuthasasignificantimpactorholding20%ormorevotingrightsbutdoesnothaveasignificantimpact:

Guangdong,JiangzhongExpresswayCo.,Ltd.,GuangyuanSecuritiesCo.,Ltd.，YuepuSmallRefinancingCo.,Ltd.andHunanLianzhiTechnologyCo.,Ltd.SPICYuetongQiyuanChipPowerTechnologyCo.,Ltd.andShenzhenGarageElectricPileTechnologyCo.,Ltd.holds20%ofthevotingrights,buthasthepowertoparticipateinmakingdecisionsontheirfinancialandoperatingdecisions,andthereforedeemedtobeabletoexertsignificantinfluenceovertheinvestee.

(2)Mainfinancialinformationofsignificantjointventure

None

(3)Mainfinancialinformationofsignificantassociatedenterprise

InRMB

Year-endbalance/AmountofcurrentperiodBalanceattheendoflastyear/Amountofpreviousperiod
GuoyuanSecuritiesCo.,Ltd.GuoyuanSecuritiesCo.,Ltd.
Currentassets
Non-currentassets
Totalassets136,259,314,336.23130,765,208,142.95
Currentliabilities
Non-currentLiabilities
Totalliabilities

MinorityShareholders’Equity

MinorityShareholders’Equity
Shareholders’equityattributabletoshareholdersoftheparent33,709,197,542.7532,927,214,909.60
Proratashareofthenetassetscalculated799,379,548.17780,835,620.42
Adjustmentitems
--Goodwill207,095,632.54207,095,632.54
--Internaltransactionsdidnotachieveprofits
--Other
Thebookvalueofequityinvestmentsinjointventures1,006,475,180.71987,931,252.96
Fairvalueofequityinvestmentofassociatedenterpriseswithopenquotation674,706,434.64655,044,744.06
Buinsessincme3,110,841,516.792,474,031,036.38
Netprofit914,347,343.11749,499,017.55
Netprofitfromterminatedoperations
Othercomprehensiveincome510,710,079.37-35,288,230.26
Totalcomprehensiveincome1,425,057,422.48714,210,787.29

Dividendsreceivedfromassociatesduringtheyear

Dividendsreceivedfromassociatesduringtheyear15,522,387.3018,626,864.76

(4)Summaryfinancialinformationofinsignificantjointventureorassociatedenterprise

InRMB

Year-endbalance/AmountofcurrentperiodYear-beginningbalance/Amountofpreviousperiod
Jointventure：
Totalamountoftheproratacalculationofthefollowingitems
Associatedenterprise：
Totalbookvalueoftheinvestment2,061,955,507.511,935,437,414.88
Totalamountoftheproratacalculationofthefollowing--Netprofitms
--Netprofit87,613,916.4682,950,868.66
--Totalcomprehensiveincome87,613,916.4682,950,868.66

(5)NotetothesignificantrestrictionsoftheabilityofjointventureorassociatedenterprisetransferfundstotheCompanyNone

(6)TheexcesslossofjointventureorassociatedenterpriseNone

(7)TheunrecognizedcommitmentrelatedtojointventureinvestmentNone

(8)ContingentliabilitiesrelatedtojointventureorassociatedenterpriseinvestmentNone

4.SignificantcommonoperationNone

5.EquityofstructureentitynotincludinginthescopeofconsolidatedfinancialstatementsNone

6.OthernoteNoneIX.RisksRelatedtoFinancialInstrumentsThecompanyhasthemainfinancialinstruments,suchasbankdeposits,receivablesandpayables,investments,loansandsoon.PleaserefertotherelevantdisclosureinNotesforthedetails.Therisksassociatedwiththesefinancialinstrumentsmainlyincludecreditrisk,marketriskandliquidityrisk.Thecompany’smanagementshallmanageandmonitortheserisksandensureaboveriskstobecontrolledwithincertainscope.ThetargetsandpoliciesofriskmanagementThetargetofriskmanagementistoobtaintheproperbalancebetweentheriskandbenefit,toreducethenegativeimpactthatiscausedbytheriskoftheCompanytothelowestlevel,andtomaximizethebenefitsofshareholdersandotherequityinvestors.Basedonthetargetsofriskmanagement,thebasicstrategyoftheCompany’sriskmanagementistoidentifyandanalyzetheriskswhicharefacedbytheCompany,establishsuitablerisktolerancebaselineandproceedtheriskmanagement,andsuperviseavarietyofriskstimelyand

reliably,andcontroltheriskswithinalimitedrange.

1.Marketrisk

（1）ForeignexchangeriskForeignexchangeriskreferstotheriskoflossduetoexchangeratefluctuationsgenerally.OurforeignexchangeriskismainlyrelatedtoHongKongDollar.BesidesannualdistributionofB-shareshareholderdividends,othermajorbusinessactivitiesofourCompanyaresettledinRMB.Duringthereportingperiod,duetotheshortcreditperiodoftheCompany'sincomeandexpenditurerelatedtoforeigncurrency,itwasnotaffectedbyforeignexchangerisk.

（2）InterestrateriskTheCompany'sriskofcashflowchangesinfinancialinstrumentscausedbyinterestratechangesismainlyrelatedtofloatingratebankborrowings.TheCompany'spolicyistomaintainthefloatinginterestrateoftheseborrowings,andatthesametimetoreasonablyreducetheriskofinterestratefluctuationbyshorteningthetermofasingleloanandspecificallyagreeingonprepaymentterms.

（3）OtherpriceriskTheinvestmentsheldbytheCompanyareclassifiedasfinancialassetsmeasuredatfairvalueandwhosechangesareincludedinothercomprehensiveincomeandaremeasuredatfairvalueonthebalancesheetdate.Therefore,theCompanybearstheriskofchangesinthesecuritiesmarket.

2.CreditriskAsofJune30,2023,thelargestcreditriskexposurethatmaycausefinanciallossesoftheCompanymainlycomesfromthelossoffinancialassetsoftheCompanycausedbythefailureoftheotherpartytoperformitsobligations.Inordertoreducecreditrisk,theCompanyonlydealswithrecognizedandreputablecustomers.Inaddition,theCompanyreviewstherecoveryofeachsinglereceivablesoneachbalancesheetdatetoensurethatadequatebaddebtprovisionsaremadeforunrecoverableamounts.Consequently,theCompany'smanagementbelievesthattheCompany'screditriskhasbeengreatlyreduced.TheGroup'sworkingcapitalisdepositedinbankswithhighercreditrating,sothecreditriskofworkingcapitalisrelativelylow.Financialassetsoverdueorimpaired;

(1)Aginganalysisoffinancialassetswithoverdueimpairment:Notexisted

(2)Analysisoffinancialassetsthathavesufferedsingleimpairment:Referto"4,OtherReceivables"inVIIand"7,InvestmentinOtherEquityInstruments"inVIIofthissectionfordetails.

3.LiquidityriskWhenmanagingliquidityrisks,theCompanymaintainssufficientcashandcashequivalentsasdeemedbythemanagementandmonitorthemtomeettheCompany'soperationalneedsandreducetheimpactofcashflowfluctuations.ThemanagementoftheCompanymonitorstheuseofbankloansandensurescompliancewiththeloanagreement.X.Thedisclosureofthefairvalue

1.Closingfairvalueofassetsandliabilitiescalculatedbyfairvalue

InRMB

ItemsClosingfairvalue
Firvaluemeasurementitemsatlevel1Firvaluemeasurementitemsatlevel2Firvaluemeasurementitemsatlevel3Total
I.Consistentfairvaluemeasurement--------
(I)Tradingfinancialassets181,400,000.00181,400,000.00
（2）Equityinstrumentinvestment181,400,000.00181,400,000.00
（II）Otherequityinstrumentinvestment722,232,678.08830,410,809.821,552,643,487.90
Totalassetscontinuouslymeasuredatfairvalue722,232,678.081,011,810,809.821,734,043,487.90
II.Non–persistentmeasure--------

2.Marketpricerecognitionbasisforconsistentandinconsistentfairvaluemeasurementitemsatlevel1.Asattheendoftheperiod,thecompanyholdsshares235,254,944sharesofChinaEverbrightBankAccordingtotheclosingpriceofJune30,2023of3.07yuan,thefinalcalculationoffairvaluewas722,232,678.08yuan.

3.Fairvalueoffinancialassetsandliabilitiesnotmeasuredatfairvalue,Thevaluationtechniquesadoptedandthequalitativeandquantitativeinformationofimportantparametersforcontinuousandnon-continuouslevel3fairvaluemeasurementitems

ItemsFairvalueasofJune30,2032ValuationtechnologyUnobservableinputvalue
Unlistedequityinvestment1,011,810,809.82Hireathirdpartyforevaluationorenjoytheshareofthenetbookassetsoftheinvesteebasedontheshareholdingratio

4.Fairvalueoffinancialassetsandliabilitiesnotmeasuredatfairvalue

TheCompany'sfinancialassetsandliabilitiesmeasuredinamortizedcostmainlyinclude:accountsreceivable,otherreceivables,contractassets,short-termloans,accountspayable,otherpayables,non-currentliabilitiesduewithinoneyear,long-termloans,bondspayableandlong-termpayables.Thereisnosignificantdifferencebetweenthebookvalueoffinancialassetsandliabilitiesnotmeasuredatfairvalueandthefairvalue.XI.Relatedpartiesandrelated-partytransactions

1.Parentcompanyinformationoftheenterprise

NameRegisteredaddressNatureRedistrictedcapitalTheparentcompanyoftheCompany'sshareholdingratioTheparentcompanyoftheCompany’svoteratio
GuangdongcommunicationGroupCo.,LtdGuangzhouEquitymanagement,trafficinfrastructureconstructionandrailwayproject26.8billionyuan24.56%50.12%

Notes：

GuangdongCommunicationGroupCo.,Ltd.isthelargestshareholderoftheCompany.legalrepresentative:

DengXiaohua.Dateofestablishment:June23,2000.AsofJune30,2023,Registeredcapital:26.8billionyuan.Itisasolelystate-ownedlimitedcompany.Businessscope：equitymanagement,organizationofassetreorganizationandoptimizedallocation,raisingfundsbymeansincludingmortgage,transferofpropertyrightsandjointstocksystemtransformation,projectinvestment,operationandmanagement,trafficinfrastructureconstruction,highwayandrailwayprojectoperationandrelevantindustries,technologicaldevelopment,application,consultationandservices,highwayandrailwaypassengerandcargotransport,shipindustry,relevantoverseasbusinesses;Thevalue-addedcommunicationbusiness.ThefinialcontroloftheCompanywasStateownedassetssupervisionandAdministrationCommissionofGuangdongProvincialPeople'sGovernment.

2.SubsidiariesoftheCompanySubsidiariesofthisenterprise,seeVIII(1)therightsofotherentity

3.InformationonthejointventuresandassociatedenterprisesoftheCompany

DetailsrefertotheVI-3,InterestsinjointventuresorassociatesInformationonotherjointventureandassociatedenterpriseofoccurringrelatedpartytransactionswiththeCompanyinreportingperiod,orformbalanceduetorelatedpartytransactionsinpreviousperiod:

operation

Name

NameRelationwiththeCompany
ShenzhenHuiyanExpresswayCo.,Ltd.AssociatedenterprisesoftheCompany
ZhaoqingYuezhaoHighwayCo.,Ltd.AssociatedenterprisesoftheCompany
GanzhouKangdaExpresswayCo.,Ltd.AssociatedenterprisesoftheCompany
GanzhouGankangExpresswayCo.,Ltd.AssociatedenterprisesoftheCompany
GuangdongJiangzhongExpresswayCo.,Ltd.AssociatedenterprisesoftheCompany

4.OtherRelatedparties

NameRelationwiththeCompany
GuangdongEastThinkingManagementTechnologyDevelopmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongExpresswayMediaCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongExpresswayTechnologyInvestmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongHumenBridgeCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongHualuTrafficTechnologyCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongCommunicationsTestingCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongLitongDevelopmentInvestmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongLitongTechnologyInvestmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongLitongPropertyInvestmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongUnionElectronServiceInformationtechnologyCo.,ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongLulutongCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongLuoyangExpresswayCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongProvincialFreewayCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongHighwayConstructionCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongCommunicationGroupFinanceCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongTongyiExpresswayServiceAreaCo.,LtdFullyownedsubsidiaryoftheparentcompany
GuangdongXinyueTrafficInvestmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongYueyunTrafficRescueCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangzhouXinyueTrafficTechnologyCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangzhouXinyueAsphaltCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
GuangdongTrafficDevelopmentCo.,Ltd.Fullyownedsubsidiaryoftheparentcompany
PolyChangdaEngineeringCo.,Ltd.Sharesofparentcompany
GuangdongCommunicationPlanning&DesignInstituteCo.,Ltd.Sharesofparentcompany
GuangdongChangdaRoadConservationCo.,Ltd.Sharesofparentcompany
GuangzhouAitesiCommunicationequipmentCo.,Ltd.Associatedenterprisescontrolledbythesameparentcompany
GuangdongJingzhuExpresswayGuangzhuNorthSectionCo.,Ltd.Associatedenterprisescontrolledbythesameparentcompany
GuangdongFeidaTrafficEngineeringCo.,Ltd.Associatedenterprisescontrolledbythesameparentcompany
GuangdongRoadNetworkDigitalMediaInformationTechnologyCo.LtdFullyownedsubsidiaryoftheparentcompany
HunanLianzhiTechnologyCo.,Ltd.AwhollyownedsubsidiaryoftheCompany
GuangzhongjiangExpresswayProjectManagementDeptManagedbytheparentcompany

5.Listofrelated-partytransactions

(1)InformationonacquisitionofgoodsandreceptionoflaborserviceAcquisitionofgoodsandreceptionoflaborservice

InRMB

RelatedpartiesContentofrelatedtransactionAmountofcurrentperiodAmountofpreviousperiodOverthetradinglimitornot?Amountoflastperiod
1.Operatingcosts
GuangdongUnionelectronicservicesco.,Ltd.Service13,229,622.1312,021,733.95
GuangdongYueyunTrafficRescueCo.,Ltd.Rescueservicefee1,803,701.00494,700.00
GuangdongXinyueTrafficInvestmentCo.,Ltd.Dailymaintenancefeeoftheelectromechanicalsystem1,767,361.32
GuangdongLitongTechnologyInvestmentCo.,Ltd.Remotemonitoringandtechnicalsupportservicefee499,250.40
GuangdongHumenBridgeCo.,Ltd.Electriccharge330,692.01310,411.02
RelatedpartiesContentofrelatedtransactionAmountofcurrentperiodAmountofpreviousperiodOverthetradinglimitornot?Amountoflastperiod
GuangdongHualuTrafficTechnologyCo.,Ltd.Service306,348.00
PolyChangdaEngineeringCo.,Ltd.service242,574.0011,772,757.00
GuangdongTongyiExpresswayServiceAreaCo.,LtdLabourprotection176,962.7140,808.70
GuangdongFeidaTrafficEngineeringCo.,Ltd.Mechanicalandelectricaldailymaintenancepayment2,003,201.04
GuangdongCommunicationPlanning&DesignInstituteCo.,Ltd.Project178,243.00
GuangdongLulutongCo.,Ltd.Maintenance,Projectfunds52,598.00
GuangdongJingzhuExpresswayGuangzhuNorthSectionCo.,Ltd.Labourprotection8,551.20
GuangzhouAitesiCommunicationEquipmentCo.,Ltd.Maintenanceofchargingfacilities2,400.00
Subtotalofoperatingcosts18,356,511.5726,885,403.91
2.Financialexpenses
GuangdongCommunicationGroupFinanceCo.,Ltd.Depositinterestincome-9,965,887.73-24,475,843.25
GuangdongCommunicationGroupFinanceCo.,Ltd.BorrowingInterestexpresses6,590,997.215,112,347.24
GuangdongCommunicationGroupFinanceCo.,Ltd.Commissioncharge3,785.00920.00
GuangdongCommunicationGroupCo.,Ltd.Interest7,402,083.32
SubtotalofFinancialexpenses4,030,977.80-19,362,576.01
3.Administrativeexpenses
GuangdongTongyiExpresswayServiceAreaCo.,LtdLabourprotection74,591.29
GuangdongUnionelectronicservicesco.,Ltd.maintenancefee288,500.00
GuangdongEastThinkingManagementTechnologyDevelopmentCo.,Ltd.OAMaintenance，Service10,000.00
Subtotalofmanagementexpenses74,591.29298,500.00
4.Nonoperatingexpenses
PolyChangdaEngineeringCo.,Ltd.Expenditureforrepairingdamagedcivilengineeringfacilities1.001,009,397.00
SubtotalofNonoperatingexpenses1.001,009,397.00
RelatedpartiesContentofrelatedtransactionAmountofcurrentperiodAmountofpreviousperiodOverthetradinglimitornot?Amountoflastperiod
5.Constructioninprogress
GuangdongCommunicationPlanning&DesignInstituteCo.,Ltd.Purchaseassets5,422,739.005,973,981.00
GuangdongCommunicationsTestingCo.,Ltd.Purchaseassets2,028,475.00
GuangdongHighwayConstructionCo.,Ltd.Purchaseassets480,000.009,089,990.48
PolyChangdaEngineeringCo.,Ltd.Purchaseassets26,630,344.47
GuangdongXinyueTrafficInvestmentCo.,Ltd.Purchaseassets6,127,813.56
GuangdongHualuTrafficTechnologyCo.,Ltd.Purchaseassets907,894.50
SubtotalofConstructioninprogress7,931,214.0048,730,024.01
6.Fixedassets
GuangdongExpresswayTechnologyInvestmentCo.,Ltd.Purchaseassets82,895.00
GuangdongCommunicationPlanning&DesignInstituteCo.,Ltd.Purchaseassets483,543.00
SubtotalofFixedassets566,438.00
7.Othercurrentassets
GuangdongFeidaTrafficEngineeringCo.,Ltd.Contractacquisitioncost182,274.01
SubtotalofOthercurrentassets182,274.01

Relatedtransactionsonsalegoodsandreceivingservices

InRMB

RelatedpartyContentAmountofcurrentperiodAmountofpreviousperiod
Operatingincome
JingzhuExpresswayGuangzhuNorthsectionCo.,Ltd.Commissionmanagementfee10,977,500.0010,603,632.04
ZhaoqingYuezhaoHighwayCo.,Ltd.Salariesofexpatriatestaff613,816.63512,977.97
GanzhouGankangExpresswayCo.,Ltd.Salariesofexpatriatestaff578,774.80525,660.83
GuangdongTrafficDevelopmentCo.,Ltd.electricity486,046.23336,290.97
GuangdongTongyiExpresswayServiceAreaCo.,Ltdwaterandelectricity479,678.14486,716.96
ShenzhenHuiyanExpresswayCo.,Ltd.Salariesofexpatriatestaff464,466.28260,849.89
GanzhouKangdaExpresswayCo.,Ltd.Salariesofexpatriate142,237.06138,547.02
staff
GuangdongJiangzhongExpresswayCo.,Ltd.Salariesofexpatriatestaff168,312.27176,119.41
PolyChangdaEngineeringCo.,Ltd.Biddingdocumentsincome,waterandelectricitybills21,011.511,000.00
GuangdongYueyunTrafficRescueCo.,Ltd.Waterandelectricity5,770.73
GuangdongExpresswayMediaCo.,Ltd.Waterandelectricity4,637.51
GuangdongProvincialFreewayCo.,Ltd.Projectfund886,950.00
GuangdongLuoyangExpresswayCo.,Ltd.Test58,490.57
SubtotalofOperatingincome13,942,251.1613,987,235.66

(2)InformationofrelatedleaseTheCompanywaslessor：

InRMB

NameoflesseeCategoryofleaseassetsTheleaseincomeconfirmedinthisyearTheleaseincomeconfirmedinlastyear
GuangdongExpresswayMediaCo.,Ltd.Advertisinglease1,292,283.511,379,412.57
GuangdongLitongTechnologyInvestmentCo.,Ltd.CommunicationPiping1,067,169.99522,034.27
PolyChangdaEngineeringCo.,Ltd.Rentalincome555,557.14555,557.14
GuangdongExpresswayTechnologyCo.,Ltd.Advertisinglease543,695.69
GuangdongTrafficDevelopmentCo.,Ltd.Rentalincomeofchargingpile267,958.87149,850.34
GuangdongRoadNetworkDigitalMediaInformationTechnologyCo.,Ltd.Advertising2,777.78

-Thecompanywaslessee：

InRMB

LessorCategoryofleasedassetsRentalchargesforshort-termandlow-valueassets(ifany)Variableleasepaymentsnotincludedinleaseliabilitiesmeasurement(ifany)RentpaidInterestexpensesonleaseliabilitiesassumedIncreaseduserightassets
AmountofcurrentperiodAmountofpreviousperiodAmountofcurrentperiodAmountofpreviousperiodAmountofcurrentperiodAmountofpreviousperiodAmountofcurrentperiodAmountofpreviousperiodAmountofcurrentperiodAmountofpreviousperiod
GuangdongLitongDecelopmentInvestmentCo.,LtdOfficespace5,065,766.044,798,232.52276,207.92223,498.7830,404,063.26
GuangdongLitongPropertyDevelopmentCo.,Ltd.Officespace18,093.0027,586.0015,732.001,490.55230,671.46

(3）Rewardsforthekeymanagementpersonnel

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Rewardsforthekeymanagementpersonnel2,969,700.002,834,900.00

（4）Transactionswithassociatedfinancialcompanies

（1）Depositbusiness

RelatedpartyRelationshipMaximumdailydepositlimit（10，000）DepositinterestraterangeBeginningbalance（10，000）TheamountofthisperiodEndingbalance（10，000)
Totalamountforthisperiod（10,000）Totalamountiswithdrawnforthisperiod（10,000）
GuangdongCommunicationsGroupFinanceCo.,LtdControlledbythesameparentcompany300,000.000.35%-2.85%239,396.61298,189.83254,255.77283,330.67

（2）Loanbusiness

RelatedpartyRelationshipLoanlimit（10，000）LoantinterestraterangeBeginningbalance（10，000）TheamountofthisperiodEndingbalance（10，000）
Totalloanamountofthecurrentperiod（10,000）Totalrepaymentamountofthecurrentperiod（10,000）
GuangdongCommunicationsGroupFinanceCo.,LtdControlledbythesameparentcompany400,000.002.95%-3.40%62,859.33659.1043,797.1319,721.30

（3）Creditextensionorotherfinancialservices

RelatedpartyRelationshipBusinesstypeTotalamount（10，000）Actualamountincurred（10，000)
GuangdongCommunicationsGroupFinanceCo.,LtdControlledbythesameparentcompanyCreditextension220,000.0019,700.00

TheCompanyrespectivelysignedthe"CashManagementBusinessCooperationAgreement"withGuangdongCommunicationsGroupFinanceCo.,LtdandtheGuangdongBranchofIndustrialandCommercialBankofChinaonDecember25,2017;andsignedthe"CashManagementBusinessCooperationAgreement"withGuangdongCommunicationsGroupFinanceCo.,LtdandtheGuangdongBranchofIndustrialandCommercialBankofChinaonDecember22,2017respectively,joinedthecashpoolofGuangdongCommunicationsGroupFinanceCo.,Ltd.

GuangdongGuanghuiExpresswayCo.,Ltdrespectivelysignedthe"CashManagementBusinessCooperationAgreement"withGuangdongCommunicationsGroupFinanceCo.,LtdandAgriculturalBankofChinaCo.,LtdGuangdongBranchonMay19,2020,joinedthecashpoolofGuangdongCommunicationsGroup

FinanceCo.,Ltd.

（5）Assettransferanddebtrestructuringofrelatedparties

None

(6)Otherrelated-partytransactions

-OnJune15,2016,Thecompany’s29thmeeting(Provisional)oftheseventhboardofdirectorswasconvened.TheProposalonEntrustmentofConstructionManagementoftheRenovationandExpansionProjectofSanbao-to-ShuikouSectionofShengyang-to-HaikouNationalExpresswaywasdeliberatedinthemeeting,agreedthatGuangdongProvincialFokaiExpresswayCo.,LtdentrustsGuangdongProvincialHighwayConstructionCo.,LtdwiththeconstructionmanagementoftherenovationandexpansionprojectofSanbao-to-ShuikouSectionofShengyang-to-HaikouNationalExpressway,andhandlingtherelatedmattersoftheentrustmentoftheconstructionmanagement.TheabovetransactionshavebeenapprovedandimplementedbytheboardofdirectorsofGuangdongFokaiExpresswayCo.,Ltd.

OnMarch25,2021,theSixteenthMeetingoftheNinthBoardofDirectorsoftheCompanyheldandreviewedtheProposalontheCompany'sEstimatedDailyRelatedPartyTransactionsin2021.ItisestimatedthatthedailyrelatedpartytransactionsincludetheAgreementontheEntrustedManagementofthePreliminaryWorkoftheReconstructionandExpansionProjectofNansha-ZhuhaiSectionofGuangzhou-MacaoExpresswaysignedbyBeijing-ZhuhaiExpresswayGuangzhou-ZhuhaiSectionCo.,Ltd.andGuangdongHighwayConstructionCo.,Ltd.,inwhichthelatterisresponsibleforthemainmanagementresponsibilitiesandallthepreliminaryworkbeforetheapprovalofthereconstructionandexpansionproject.TheabovetransactionshavebeenapprovedandimplementedbytheboardofdirectorsofBeijing-ZhuhaiExpresswayGuangzhou-ZhuhaiSectionCo.,Ltd.

OnNovember30,2022,thefifth(interim)meetingofthe10thBoardofDirectorsoftheCompanyreviewedandapprovedtheProposalonEntrustedConstructionManagementoftheReconstructionandExpansionProjectofNansha-ZhuhaiSectionofGuangzhou-MacaoExpressway,andagreedthatthesubsidiaryGuangzhou-ZhuhaiSectionofBeijing-ZhuhaiExpresswayCo.,Ltd.entrustedGuangdongProvincialHighwayConstructionCo.,Ltd.tocarryoutthewhole-processconstructionmanagementofthereconstructionandexpansionprojectofNansha-ZhuhaiSectionofGuangzhou-MacaoExpressway.TheabovetransactionshavebeenapprovedandimplementedbytheBoardofDirectorsofGuangzhuSectionofBeijing-ZhuhaiExpresswayCo.,Ltd,TheabovetransactionshavebeenapprovedandimplementedbytheboardofdirectorsofBeijing-ZhuhaiExpresswayGuangzhou-ZhuhaiSectionCo.,Ltd.

6.Receivablesandpayablesofrelatedparties

（1）Receivables

InRMB

NameRelatedpartyAmountatyearendAmountatyearbeginning
BalanceofBookBaddebtProvisionBalanceofBookBaddebtProvision
AccountreceivableGuangdongUnionelectronServiceCo.,Ltd.68,965,060.8467,197,924.19
AccountGuangdongHumenBridgeCo.,Ltd.16,631,182.476,072,995.36
receivable
AccountreceivableJingzhuExpresswayGuangzhuNorthSectionCo.,Ltd.5,818,074.998,321,625.03
AccountreceivableGuangdongLitongTechnologyInvestmentCo.,Ltd.533,136.00
AccountreceivableGuangdongExpresswayTechnologyInvestmentCo.,Ltd.126,986.702,315,719.18
AccountreceivableGuangdongExpresswayMediaCo.,Ltd.522,805.00
AccountreceivablePolyChangdaEngineeringCo.,Ltd.265,054.16
Total92,074,441.0084,696,122.92
OtherAccountreceivableGuangdongLitongTechnologyInvestmentCo.,Ltd.1,839,246.941,653,447.36
OtherAccountreceivableGuangdongExpresswayMediaCo.,Ltd.695,223.54978,997.66
OtherAccountreceivableGuangdongProvincialFreewayCo.,Ltd.463,491.88463,491.88
OtherAccountreceivableGuangdongExpresswayTechnologyInvestmentCo.,Ltd.318,319.0065,605.71
OtherAccountreceivableGuangdongTrafficDevelopmentCo.,Ltd.183,157.04
OtherAccountreceivableGuangdongUnionelectronServiceCo.,Ltd.147,018.71137,851.04
OtherAccountreceivableGuangdongLitongPropertyDevelpmentCo.,Ltd.25,475.0018,344.00
OtherAccountreceivableGuangdongHumenBridgeCo.,Ltd.15,000.00
OtherAccountreceivablePolyChangdaEngineeringCo.,Ltd.6,657.71
OtherAccountreceivableGuangdongYueyunTrafficRescueCo.,Ltd.3,897.19
Total3,697,487.013,317,737.65
OtherNon-CurrentAssetsPolyChangdaEngineeringCo.,Ltd.48,226,078.70
OtherNon-CurrentAssetsGuangdongXinyueTrafficInvestmentCo.,Ltd.834,973.80
OtherNon-CurrentAssetsGuangdongTrafficDevelopmentCo.,Ltd.333,398.00333,398.00
Total49,394,450.50333,398.00

（2）Payables

InRMB

NameRelatedpartyAmountatyearendAmountatyearbeginning
Short-termloanGuangdongCommunicationGroupFinanceCo.,ltd.430,387,597.20
Total430,387,597.20
NameRelatedpartyAmountatyearendAmountatyearbeginning
AccountpayableGuangzhongjiangExpresswayProjectManagementDept17,466,700.0017,466,700.00
AccountpayablePolyChangdaEngineeringCo.,Ltd.5,415,553.3012,590,171.30
AccountpayableGuangdongXinyueTrafficInvestmentCo.,Ltd3,498,917.776,381,639.70
AccountpayableGuangdongUnionElectronServiceCo.,Ltd.2,818,047.86188,039.97
AccountpayableGuangdongCommunicationsTestingCo.,Ltd.2,023,485.002,400,079.00
AccountpayableGuangdongYueyunTrafficRescueCo.,Ltd.1,407,941.00261,800.00
AccountpayableGuangdongProvincialFreewayCo.,Ltd.1,245,443.501,245,443.50
AccountpayableGuangdongExpresswayTechnologyInvestmentCo.,Ltd.980,578.006,935,455.12
AccountpayableGuangdongFeidaTrafficEngineeringCo.,Ltd.774,876.843,716,816.94
AccountpayableGuangdongCommunicationPlanning&DesignInstituteCo.,Ltd.585,379.103,008,670.10
AccountpayableGuangdongHualuTrafficTechnologyCo.,Ltd.466,616.911,769,785.29
AccountpayableGuangdongLitongTechnologyInvestmentCo.,Ltd.335,569.11843,562.91
AccountpayableGuangdongChangdaRoadMaintenanceCo.Ltd.231,869.00231,869.00
AccountpayableGuangdongEastThinkingManagementTechnologyDevelopmentCo.,Ltd.86,630.00950,630.00
AccountpayableGuangzhouXinyueAsphaltCo.,Ltd.46,779.0046,779.00
AccountpayableGuangdongLulutongCo.,Ltd.3,787,627.94
AccountpayableHunanLianzhiTechnologyCo.,Ltd.640,088.00
AccountpayableGuangzhouAitesiCommunicationEquipmentCo.,Ltd.25,194.00
Total37,384,386.3962,490,351.77
AdvancereceivedGuangdongUnionelectronicservicesco.,Ltd.1,417,034.631,330,729.13
Total1,417,034.631,330,729.13
DividendpayableGuangdongProvincialFreewayCo.,Ltd.11,550,000.00
Total11,550,000.00
OtherPayableaccountPolyChangdaEngineeringCo.,Ltd.21,556,770.4820,866,108.48
OtherPayableaccountGuangdongHualuTrafficTechnologyCo.,Ltd.2,874,595.061,905,833.06
OtherPayableaccountGuangdongHighwayConstructionCo.,Ltd.2,137,605.142,000,000.00
OtherPayableaccountGuangdongExpresswayTechnologyInvestmentCo.,Ltd.1,687,217.462,298,424.75
OtherPayableaccountGuangdongChangdaRoadMaintenanceCo.Ltd.1,628,345.001,628,345.00
OtherPayableaccountGuangdongXinyueTrafficInvestmentCo.,Ltd.1,503,467.331,415,273.20
OtherPayableaccountGuangdongFeidaTrafficEngineeringCo.,Ltd.1,436,828.891,522,615.96
OtherPayableaccountGuangdongXinyueTrafficInvestmentCo.,Ltd.1,415,273.201,332,556.89
OtherPayableaccountGuangdongUnionElectronServiceCo.,Ltd.1,355,836.70
OtherPayableaccountGuangzhouXinyueAsphaltCo.,Ltd.1,054,919.001,054,919.00
OtherPayableaccountGuangdongLulutongCo.,Ltd.809,377.06859,377.06
OtherPayableaccountGuangdongCommunicationsTestingCo.,Ltd.238,186.00971,085.90
OtherPayableaccountGuangzhongjiangExpresswayProjectManagementDept200,000.00200,000.00
OtherPayableaccountGuangdongTongyiExpresswayServiceAreaCo.,Ltd.120,000.00120,000.00
NameRelatedpartyAmountatyearendAmountatyearbeginning
OtherPayableaccountGuangdongCommunicationPlanning&DesignInstituteCo.,Ltd.110,422.00110,422.00
OtherPayableaccountGuangdongLitongTechnologyInvestmentCo.,Ltd.92,594.2492,594.24
OtherPayableaccountGuangdongExpresswayMediaCo.,Ltd.50,000.0050,000.00
OtherPayableaccountGuangdongEastThinkingManagementTechnologyDevelopmentCo.,Ltd.26,568.18156,534.54
OtherPayableaccountHunanLianzhiTechnologyCo.,Ltd.19,797.0085,785.50
OtherPayableaccountGuangdongYueyunTrafficRescueCo.Ltd.2,000.002,000.00
Total38,319,802.7436,671,875.58
Non-currentliabilitiesdue1yearGuangdongLitongDevelopmentInvestmentCo.,Ltd.9,648,206.792,445,724.55
Non-currentliabilitiesdue1yearGuangdongCommunicationGroupFinanceCo.,ltd.2,213,033.332,205,700.01
Non-currentliabilitiesdue1yearGuangdongLitongPropertyDevelopmentCo.,Ltd.100,708.20
Total11,961,948.324,651,424.56
OthercurrentliabilitiesGuangdongCommunicationGroupCo.,ltd.500,395,833.33500,122,916.67
Total500,395,833.33500,122,916.67
LeaseLiabilitiesGuangdongLitongDevelopmentInvestmentCo.,Ltd.18,412,022.93
LeaseLiabilitiesGuangdongLitongPropertyDevelopmentCo.,Ltd.115,721.81
Total18,527,744.74
Long-termloansGuangdongCommunicationGroupFinanceCo.,ltd.195,000,000.00196,000,000.00
Total195,000,000.00196,000,000.00

7.RelatedpartycommitmentNoneXII.Stockpayment

1.TheStockpaymentoverallsituation

□Applicable√Notapplicable

2.TheStockpaymentsettledbyequity

□Applicable√Notapplicable

3.TheStockpaymentsettledbycash

□Applicable√NotapplicableXIII.Commitments

1.SignificantcommitmentsSignificantcommitmentsatbalancesheetdate

SignificantcommitmentsTheCompanyheldthesecond(interim)meetingofthe10thBoardofDirectorsonOctober22,2022.ThemeetingdeliberatedandpassedtheProposalonInvestingintheReconstructionandExpansionProjectofNansha-ZhuhaiSectionofGuangzhou-MacaoExpresswaywithCapitalIncreasefrom

Guangzhou-ZhuhaiSectionCo.,Ltd.ofBeijing-ZhuhaiExpressway,andagreedthatthecompanywouldinvestintheconstructionoftheReconstructionandExpansionProjectofNansha-ZhuhaiSectionofGuangzhou-MacaoExpresswaywithCapitalIncreasefromGuangzhou-ZhuhaiSectionCo.,Ltd.ofBeijing-ZhuhaiExpresswaybasedontheestimatedinvestmentamountof15.425billionyuanapprovedbyGuangdongProvincialDevelopmentandReformCommission.Theprojectcapitalis35%oftheestimatedinvestmentamountafterdeductingtheexpensesbornebythegovernment,andthecompanyundertakesthecapitalcontributionofabout3.414billionyuanaccordingtotheshareholdingratio.ThismatterhasbeenreviewedandapprovedbytheCompany'sthirdextraordinarygeneralmeetingin2022.

AsofJune30,2023,theaccumulatedcostofthereconstructionandexpansionprojectofNansha-ZhuhaisectionofGuangzhou-MacaoExpresswaywas1,021,162,978.77yuan

2.Contingency

(1)SignificantcontingencyatbalancesheetdateAsofJune30,2023,theCompanydidnotneedtodiscloseimportantcommitments.

(2)TheCompanyhavenosignificantcontingencytodisclose,alsoshouldbestated

NoneXIV.EventsafterbalancesheetdateNone

XV.Othersignificantevents

1.SegmentinformationThecompany'sbusinessfortheGuangfoExpressway,theFokaiExpressway,GuanghuiExpresswayandJingzhuExpresswayGuangzhuSectiontollcollectionandmaintenancework,thetechnologyindustryandprovideinvestmentadvice,noothernatureofthebusiness,noreportablesegment.

2.GovernmentSubsidy

(1)Governmentsubsidiesincludedindeferredrevenuearesubsequentlymeasuredbythetotalamountmethod

InRMB

SubsidyitemCategoryOpeningbalanceNewsubsidyamountincurrentperiodThecarry-overincurrentperiodisincludedinprofitandlossamountOtherchangesClosingbalancePresentationitemscarriedoverintoprofitorlossinthecurrentperiodAsset-related/revenue-related
CancelthespecialsubsidyfortheexpresswayprovincialtollstationprojectFinancialappropriation20,931,143.875,023,474.6215,907,669.25OtherincomeAssetsrelated
QijiangnewcitysouthinterchangeconstructionProjectFinancialappropriation185,000,000.00185,000,000.00OtherincomeAssetsrelated
CharginginfrastructureincentivefundsFinancialappropriation78,068.835,576.3472,492.49OtherincomeAssetsrelated

(2)Governmentsubsidiesincludedincurrentprofitsandlossesusingthetotalamountmethod

InRMB

SubsidyitemCategoryAmountincludedinprofitorlossinthecurrentperiodPresentationitemsincludedinprofitorlossinthecurrentperiodAsset-related/revenue-related
SubsidyforpoststabilizationFinancialappropriation25,500.00OtherincomeIncomerelated
JiujiangBridgestructurehealthmonitoringsystemoptimizationandupgradeofvehiclepurchasetaxsubsidyfundsFinancialappropriation600,000.00OtherincomeIncomerelated

3.Otherimportanttransactionsandeventshaveanimpactoninvestorsdecision-making

(1)PerformancecompensationThenetprofitofGuangzhou-HuizhouCompany(excludingnon-recurringgainsandlosses)in2020wasRMB769,232,600,RMB116,755,100morethanthepromisedamount;thenetprofitofGuangzhou-HuizhouCompany(excludingnon-recurringgainsandlosses)in2021wasRMB1,105,444,400,RMB7,142,900lessthanthepromisedamount;thenetprofitofGuangzhou-HuizhouCompany(excludingnon-recurringgainsandlosses)in2022wasRMB896,101,9OO,RMB338,099,000lessthanthepromisedamountbytheendof2022,theaccumulatednetprofit(excludingnon-recurringgainsandlosses)wasRMB2,770,778,900,RMB228,486,800morethanthepromisedamount.

In2022,affectedbythemacroeconomicimpactandinresponsetotheStateCouncil's10%reductionintrucktollsintollroadsinthefourthquarterof2022,GuanghuiExpresswaytollrevenuefellsharply.Accordingtothe"ProfitCompensationAgreement"signedbetweentheCompanyandtheProvincialExpressway,combinedwiththeactualsituationoftheperformanceofGuanghuiExpressway,theCompanynegotiatedmattersrelatedtotheperformancecommitmentwiththeProvincialExpressway,andthecontingentconsiderationformedbytheperformancecompensationwasnotrecognizedin2022.

OnAugust7,2023,The"ProposalonChangingthePerformanceCommitmentofMajorAssetRestructuringProjectin2020andSinningtheSupplementaryAgreementtotheProfitCompensationAgreement"wasdeliberatedandadoptedinthe10

th

meeting(interim)ofthe10thBoardofDirectorsoftheCompany,agreeingtochangetheperformancecommitmentofmajorassetrestructuringprojectin2020,andtheperformancecompensationperiodoftherestructuringisadjustedto2020,2021and2023,andtheProvincialExpresswaypromisesthatthenetprofitaccumulatedbyGuanghuiExpresswayinthethreeyearsof2020,2021and2023afterdeductingnon-recurringprofitsandlossesshallnotbelessthan2,999,265,700yuan.IfthecumulativenetprofitofGuanghuiCompanydoesnotreachtheafore-saidcumulativecommittednetprofitwithintheafore-saidadjustedcompensationperiod,theProvincialExpresswayshallcompensatetheCompanyincashinaccordancewiththe"ProfitCompensationAgreement"andtheprovisionsofthisagreement.

Theabove-mentionedchangetoperformancecommitmentsneedtobereviewedandapprovedbythecompanyatitsfirst(extraordinary)generalmeetingofshareholdersonAugust23,2023.

(2)Follow-upmanagementandmaintenanceissuesaftertheexpirationoftheGuangzhou-FoshanExpresswayoperation

TheCompanyreceivedtheNoticeoftheGuangdongProvincialDepartmentofTransportonMattersRelatedtotheDisposaloftheGuangfoExpresswayTollPeriod(No.24[2022]YueJiaoyingMemorandum),andtheGuangfoExpresswayoperatedbyitsholdingsubsidiaryGuangfoExpresswayCo.,Ltd(hereinafterreferredtoas"GuangfoCompany")stoppedcollectingtollsfrommidnightonMarch3,2022.Itretainstheexistingtollfacilitiestooperateasusualinazero-ratemanner,exemptsallvehicletollsforvehiclespassingthroughthissectionoftheroad,andcollectsvehicletollsforotherroadsectionsontheirbehalf.Afterthetollcollectionisstopped,theGuangfoCompanywillcontinuetoberesponsibleforthemanagementandmaintenanceoftheGuangfoExpressway.

ThesourceoffundsformanagementandmaintenanceexpensespaidbyGuangfoonbehalfofremainstobefurtherclarified,andasofJune30,2023,themanagementandmaintenanceexpensespaidbyGuangfoCompanyonbehalfofis141,431,005.33yuan.

XVI..Notesofmainitemsinfinancialreportsofparentcompany

1.Accountreceivable

1.Classificationaccountreceivables.

InRMB

CategoryAmountinyear-endBalanceYear-beginning
BookBalanceBaddebtprovisionBookvalueBookBalanceBaddebtprovisionBookvalue
AmountProportion(%)AmountProportion(%)AmountProportion(%)AmountProportion(%)
AccrualofbaddebtprovisionbySingle
Accrualofbaddebtprovisionbyportfolio21,127,358.73100.00%21,127,358.7323,817,016.30100.00%23,817,016.30
Ofwhich：
Agingportfolio21,127,358.73100.00%21,127,358.7323,817,016.30100.00%23,817,016.30
Other
Total21,127,358.7321,127,358.7323,817,016.3023,817,016.30

AccrualofbaddebtprovisionbySingle:NoneAccrualofbaddebtprovisionbyportfolio:Accountsreceivableswithbaddebtprovisionarerecognisedbyportfoliobyage

InRMB

AgingBalanceinyear-end
AccountreceivableBaddebtprovisionExpectedcreditlossrate(%)
Within1year21,127,358.73
Total21,127,358.73

Relevantinformationoftheprovisionforbaddebtswillbedisclosedwithreferencetothedisclosuremethodofotherreceivablesiftheprovisionforbaddebtsofbillsreceivableisaccruedaccordingtothegeneralmodelofexpectedcreditloss:

□Applicable√NotapplicableDisclosurebyaging

InRMB

AgingBookbalance
Within1year（Including1year）21,127,358.73
Total21,127,358.73

(2)Accountsreceivablewithdraw,reversedorcollectedduringthereportingperiodNone

（3）Thecurrentaccountsreceivablewrite-offssituationNone

（4）Theendingbalanceofotherreceivablesowedbytheimputationofthetopfiveparties

InRMB

NameAmountProportion(%)Baddebtprovision
GuangdongUnionElectronicServicesCo.,Ltd.21,000,372.0399.40%
GuangdongExpresswayTechnologyInvestmentCo.,Ltd.126,986.700.60%
Total21,127,358.73100.00%

（5）AccountreceivablewhichterminatetherecognitionowningtothetransferofthefinancialassetsNone

(6)TheamountoftheassetsandliabilitiesformedbythetransferandthecontinuesinvolvementofaccountsreceivableNone

2.Otherreceivable

InRMB

ItemsYear-endbalanceYear-beginningbalance
Dividendreceivable45,903,912.2636,905,472.90
Otherreceivable1,240,260,547.941,505,117,198.28
Total1,286,164,460.201,542,022,671.18

（1）Interestreceivable：

None

（2）Dividendreceivable

1)Dividendreceivable

InRMB

ItemsBalanceinyear-endBalanceYear-beginning
GuangdongRadioandTelevisionNetworksinvestmentNo.1Limitedpartnershipenterprise1,205,472.901,205,472.90
ChinaEverbrightBankCo.,Ltd.44,698,439.36
GuangdongGuanghuiExpresswayCo.,Ltd.35,700,000.00
Total45,903,912.2636,905,472.90

2）Significantdividendreceivableagedover1year

InRMB

Items)Balanceinyear-endAgingReasonsfornon-recoveryWhetherornottheimpairmentandthebasisforitsdetermination
GuangdongRadioandTelevisionNetworksinvestmentNo.1Limitedpartnershipenterprise1,205,472.904-5yearsThepartnershipagreementexpiresandcanberecoveredaftertheextensionproceduresarecompletedNo,itcanberecoveredinthefuture
Total1,205,472.90

）Thewithdrawalamountofthebaddebtprovision

□Applicable√Notapplicable

（3）Otheraccountsreceivable

1)Otheraccountsreceivableclassifiedbythenatureofaccounts

InRMB

CategoryBalanceinyear-endBalanceYear-beginning
BookbalanceBaddebtprovisionBookvalueBookbalanceBaddebtprovisionBookvalue
AmountProportion(%)AmountProportion(%)AmountProportion(%)AmountProportion(%)
Otherreceivablesforindividualbaddebtprovision30,844,110.432.4330,844,110.43100.0030,844,110.432.0130,844,110.43100.00
Otherreceivablesforbaddebtprovisionaccordingtothecombinationofcreditriskcharacteristics1,240,260,547.9497.571,240,260,547.941,505,117,198.2897.991,505,117,198.28
Including:Agingportfolio
Other1,240,260,547.9497.571,240,260,547.941,505,117,198.2897.991,505,117,198.28
Total1,271,104,658.37100.0030,844,110.43—1,240,260,547.941,535,961,308.71100.0030,844,110.43—1,505,117,198.28

Accrualofbaddebtprovisionbysingle：

InRMB

Closingbookbalance
BadDebtReservesBookbalanceBaddebtprovisionExpectedcreditlossrate(%)Reason
KunlunSecuritiesCo.,Ltd30,844,110.4330,844,110.43100.00Baddebtswerewithdrawninfullinbankruptcy
Total30,844,110.4330,844,110.43//

Intheportfolio,Disclosurebyaging:NoneIntheportfolio,otherreceivableswithbaddebtprovisionbyothermethods:

NameBalanceinyear-endBalanceYear-beginning
Depositmoneyandqualityguaranteefundcombination2,412,546.942,090,516.36
Pettycash1,458,213.381,293,602.05
Other1,236,389,787.621,501,733,079.87
Subtotal1,240,260,547.941,505,117,198.28
Less：Baddebtprovision
Total1,240,260,547.941,505,117,198.28

2）Thewithdrawalamountofthebaddebtprovision：

InRMB

BadDebtReservesStage1Stage2Stage3Total
Expectedcreditlossesoverthenext12monthsExpectedcreditlossoverlife(nocreditimpairment)Expectedcreditlossesfortheentireduration(creditimpairmentoccurred)
BalanceasatJanuary1,202330,844,110.4330,844,110.43
BalanceasatJanuary1,2023
BalanceasatJune30,202330,844,110.4330,844,110.43

Lossprovisionchangesincurrentperiod,changeinbookbalancewithsignificantamount

□Applicable√Notapplicable3）Accountsreceivablewithdraw,reversedorcollectedduringthereportingperiodNone4）Theactualwrite-offotheraccountsreceivable:None

5)Otherreceivablesareclassifiedaccordingtothenature

InRMB

NatureClosingbookbalanceOpeningbookbalance
Securitiestradingsettlementfunds30,844,110.4330,844,110.43
Deposit2,412,546.942,090,516.36
Pettycash1,458,213.381,293,602.05
Other1,236,389,787.621,501,733,079.87
Subtotal1,271,104,658.371,535,961,308.71
Less：Baddebtprovision30,844,110.4330,844,110.43
Total1,240,260,547.941,505,117,198.28

6)Top5oftheclosingbalanceoftheotheraccountsreceivablecollatedaccordingtothearrearsparty

InRMB

NameNatureClosingbalanceAgingProportionofthetotalyearendbalanceoftheaccountsreceivable(%)Closingbalanceofbaddebtprovision
JingzhuExpresswayGuangzhuSectionCo.,Ltd.Reconstructionandexpansionofinvestmentfundsandinterest1,235,277,549.57Within1year97.18%
KunlunSecuritiesCo.,LtdSecuritiestradingsettlementfunds30,844,110.43Over5years2.43%30,844,110.43
GuangdongLitongDevelopmentInvestmentCo.,LtdLeasedeposit1,816,266.94Within1year0.14%
GuangdongLitongDevelopmentInvestmentCo.,Ltd.Vehicleparkingdeposit22,980.002-3years0.00%
GuangdongProvincialFreewayCo.,Ltd.Entrustedmanagementfee463,491.88Over5years0.04%
SavillsPropertyConsultingWaterandelectricityfeeworkingcapital,managementfeedeposit,vehicleparkingspacedeposit4,200.002-3years0.00%
SavillsPropertyConsultingWaterandelectricityfeeworkingcapital,managementfeedeposit,vehicleparkingspacedeposit414,525.003-4years0.03%
Total1,268,843,123.8299.82%30,844,110.43

7）AccountsreceivableinvolvedwithgovernmentsubsidiesNone

8)OtheraccountreceivablewhichterminatetherecognitionowningtothetransferofthefinancialassetsNone

9)TheamountoftheassetsandliabilitiesformedbythetransferandthecontinuesinvolvementofotheraccountsreceivableNone

3.Long-termequityinvestment

InRMB

ItemsEndoftermBeginningofterm
BookBalanceImpairmentprovisionBookvalueBookBalanceImpairmentprovisionBookvalue
Investmentinsubsidiaries3,692,740,464.843,692,740,464.843,374,330,463.433,374,330,463.43
Investmentinjointventuresandassociates2,867,753,731.352,867,753,731.352,722,085,180.532,722,085,180.53
Total6,560,494,196.196,560,494,196.196,096,415,643.966,096,415,643.96

（1）Investmenttothesubsidiary

InRMB

NameOpeningbalanceIncrease/decreaseinreportingperiodClosingbalanceClosingbalanceofimpairmentprovision
AddinvestmentDecreasedinvestmentWithdrawnimpairmentprovisionOther
JingzhuExpresswayGuangzhuSectionCo.,Ltd.871,171,883.08265,410,001.411,136,581,884.49
GuangfoExpresswayCo.,ltd.154,982,475.25154,982,475.25
YuegaoCapitalInvestment(Guangzhou)Co.,Ltd.322,500,000.0053,000,000.00375,500,000.00
GuanghuiExpresswayCo.,Ltd.2,025,676,105.102,025,676,105.10
Total3,374,330,463.43318,410,001.413,692,740,464.84

（2）Investmenttojointventuresandassociatedenterprises

InRMB

NameOpeningbalanceIncrease/decreaseinreportingperiodClosingbalanceClosingbalanceofimpairmentprovision
IncreaseininvestmentDecreaseininvestmentInvestmentincomeunderequitymethodOthercomprehensiveincomeOtherchangesinequityAnnouncedfordistributingcashdividendorprofitProvisionforimpairmentOther
I.Jointventures
II.Associatedenterprises
GuangdongJiangzhongExpresswayCo.,Ltd.446,883,150.4045,000,000.006,731,118.4916,005.854,627,613.17494,002,661.57
GanzhouGankangExpresswayCo.,Ltd.163,154,438.009,568,563.16172,723,001.16
GanzhouKangdaExpresswayCo.,Ltd.246,268,935.1320,692,056.64266,960,991.77
ShenzhenHuiyanExpresswayCo.,Ltd.348,669,767.3214,856,921.37363,526,688.69
ZhaoqingYuezhaoHighwayCo.,Ltd.310,209,765.8730,133,975.22340,343,741.09
Guoyuan987,867,627.4222,017,218.0712,110,298.332,424.1915,522,387.301,006,475,180.71
SecuritiesCo.,Ltd.
GuangdongYuepuSmallRefinancingCo.,Ltd219,031,496.394,689,969.97223,721,466.36
Subtotal2,722,085,180.5345,000,000.00108,689,822.9212,110,298.3318,430.0420,150,000.472,867,753,731.35
Total2,722,085,180.5345,000,000.00108,689,822.9212,110,298.3318,430.0420,150,000.472,867,753,731.35

4.BusinessincomeandBusinesscost

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
RevenueCostRevenueCost
Mainbusiness734,319,820.33242,491,456.98636,965,610.55249,145,875.83
Other6,352,612.681,795,927.535,689,892.191,926,210.70
Total740,672,433.01244,287,384.51642,655,502.74251,072,086.53

5.Investmentincome

InRMB

ItemsAmountofcurrentperiodAmountofpreviousperiod
Long-termequityinvestmentincomeaccountedbycostmethod404,052,121.37681,064,177.01
Long-termequityinvestmentincomeaccountedbyequitymethod108,689,822.9298,360,414.38
InvestmentincomefromdisposalofLong-termequityinvestment-45,107,982.42
Dividendincomefromotherequityinstrumentinvestmentsduringtheholdingperiod71,249,739.3647,286,243.74
Interestincomefromdebtinvestmentduringholdingperiod.10,079,133.93
Other12,728,947.34
Total596,720,630.99791,681,986.64

XVII.SupplementaryInformation

1.Currentnon-recurringgains/losses

√Applicable□Notapplicable

InRMB

ItemsAmountNotes
Non-currentassetdisposalgain/loss(includingthewrite-offpartforwhichassetsimpairmentprovisionismade)-15,753.62
Governmentsubsidiesrecognizedincurrentgainandloss(excludingthosecloselyrelatedtotheCompany’sbusinessandgrantedunderthestate’spolicies)5,654,550.96
Netamountofnon-operatingincomeandexpenseexcepttheaforesaiditems1,923,823.88
Othernon-recurringGains/lossitems795,422.82
Theimpairmentprovisionfortheadvanceexpensesthathaveoccurredbutneedtobedefinedfromthesourceoffunds-43,681,523.62
Less:Influencedamountofincometax2,088,521.91
Influencedamountofminorshareholders’equity(aftertax)-9,372,564.36
Total-28,039,437.13--

None：

Duetoitsspecialnature,theprovisionforimpairmentofthemanagementandmaintenanceexpendituresthathavebeenpaidforbyGuangfoExpresswaybutwhosesourceoffundsneedstobeclarifiedwillaffectthenormaljudgmentofthecompany'soperatingperformanceandprofitabilitybythereportusers.Detailsofotherprofitandlossitemsthatmeetthenon-recurringprofitandlossdefinition

√Applicable□Notapplicable

DuetothespecialnatureoftheimpairmentprovisionformanagementandmaintenanceexpensesoftheGuangzhou-FoshanExpresswaythathasbeenadvancedbutthesourceoffundsneedstobeclarified,itwillaffectthenormaljudgmenttotheCompany'soperatingperformanceandprofitabilitybytheuserofthereport.ExplanationondefiningthenonrecurringprofitandlossitemslistedintheExplanatoryAnnouncementNo.1onInformationDisclosureofCompaniesIssuingSecuritiestothePublicasrecurringprofitandlossitems□Applicable√Notapplicable

2.Returnonequity(ROE)andearningspershare(EPS)

ProfitasofreportingperiodWeightedaverageROE(%)EPS（Yuan/share）
EPS-basicEPS-diluted
NetprofitattributabletocommonshareholdersoftheCompany9.30%0.420.42
NetprofitattributabletocommonshareholdersoftheCompanyafterdeductionofnon-recurringprofitandloss9.59%0.440.44

3.Differencesbetweenaccountingdataunderdomesticandoverseasaccountingstandards

（1）．SimultaneouslypursuanttobothChineseaccountingstandardsandinternationalaccountingstandardsdisclosedinthefinancialreportsofdifferencesinnetincomeandnetassets.

□Applicable□√Notapplicable

（2）.DifferencesofnetprofitandnetassetsdisclosedinfinancialreportspreparedunderoverseasandChineseaccountingstandards.

□Applicable□√Notapplicable

(3).Explanationofthereasonsforthedifferencesinaccountingdataunderdomesticandforeignaccountingstandards.Ifthedatathathasbeenauditedbyanoverseasauditinstitutionisadjustedfordifferences,thenameoftheoverseasinstitutionshouldbeindicated
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