Financial Report
I. Audit reportHas this semi-annual report been audited?
□Yes √No
The semi-annual report was not audited.II. Financial statementsCurrency unit for the statements in the notes to these financial statements: RMB
1. Consolidated balance sheet
Prepared by: Guangdong Provincial Expressway Development Co., Ltd.
June 30,2023
In RMB
| Items | June 30,2023 | January 1,2023 |
| Current asset： | ||
| Monetary fund | 5,284,849,991.90 | 4,290,581,490.78 |
| Settlement provision | ||
| Outgoing call loan | ||
| Transactional financial assets | ||
| Derivative financial assets | ||
| Notes receivable | ||
| Account receivable | 108,862,469.85 | 108,368,797.56 |
| Financing of receivables | ||
| Prepayments | 4,797,746.85 | 7,785,192.95 |
| Insurance receivable | ||
| Provisions of Reinsurance contracts receivable | ||
| Other account receivable | ||
| Including：Interest receivable | 56,736,432.76 | 34,456,244.64 |
| Dividend receivable | ||
| Other receivable | 45,903,912.26 | 1,205,472.90 |
| Repurchasing of financial assets | ||
| Inventories | ||
| Contract assets | ||
| Assets held for sales | ||
| Non-current asset due within 1 year | ||
| Other current asset | 34,733.27 | 2,042,395.28 |
| Total of current assets | 5,455,281,374.63 | 4,443,234,121.21 |
| Items | June 30,2023 | January 1,2023 |
| Non-current assets： | ||
| Loans and payment on other’s behalf disbursed | ||
| Creditor's right investment | ||
| Other creditor's right investment | ||
| Long-term receivable | ||
| Long term share equity investment | 3,068,430,688.22 | 2,923,305,042.30 |
| Other equity instruments investment | 1,552,643,487.90 | 1,557,303,730.98 |
| Other non-current financial assets | 181,400,000.00 | 101,400,000.00 |
| Property investment | 2,557,585.69 | 2,668,144.93 |
| Fixed assets | 9,558,708,878.11 | 10,098,252,638.07 |
| Construction in progress | 1,287,072,029.02 | 753,565,502.12 |
| Production physical assets | ||
| Oil & gas assets | ||
| Use right assets | 30,342,505.71 | 4,077,555.43 |
| Intangible assets | 234,050,221.33 | 246,772,471.44 |
| Development expenses | ||
| Goodwill | ||
| Long-germ expenses to be amortized | ||
| Deferred income tax asset | 46,836,719.58 | 129,044,978.46 |
| Other non-current asset | 59,768,581.58 | 8,374,778.84 |
| Total of non-current assets | 16,021,810,697.14 | 15,824,764,842.57 |
| Total of assets | 21,477,092,071.77 | 20,267,998,963.78 |
| Current liabilities | ||
| Short-term loans | 430,387,597.20 | |
| Loan from Central Bank | ||
| Borrowing funds | ||
| Transactional financial liabilities | ||
| Derivative financial liabilities | ||
| Notes payable | ||
| Account payable | 167,332,578.88 | 197,788,782.77 |
| Advance receipts | 3,252,887.09 | 2,718,756.97 |
| Contract liabilities | ||
| Selling of repurchased financial assets | ||
| Deposit taking and interbank deposit | ||
| Entrusted trading of securities | ||
| Entrusted selling of securities | ||
| Employees’ wage payable | 21,219,186.58 | 20,660,328.60 |
| Tax payable | 163,676,885.03 | 72,307,773.41 |
| Other account payable | 1,044,725,398.43 | 191,167,560.23 |
| Including：Interest payable | ||
| Dividend payable | 920,558,170.17 | 59,994,517.46 |
| Fees and commissions payable | ||
| Reinsurance fee payable | ||
| Liabilities held for sales |
| Items | June 30,2023 | January 1,2023 |
| Non-current liability due within 1 year | 851,123,675.32 | 117,011,466.96 |
| Other current liability | 500,564,930.33 | 500,723,556.23 |
| Total of current liability | 2,751,895,541.66 | 1,532,765,822.37 |
| Non-current liabilities： | ||
| Reserve fund for insurance contracts | ||
| Long-term loan | 5,868,719,950.00 | 5,566,595,350.00 |
| Bond payable | 749,147,101.95 | 1,428,381,232.94 |
| Including：preferred stock | ||
| Sustainable debt | ||
| Lease liability | 18,856,223.73 | 150,984.47 |
| Long-term payable | 2,022,210.11 | 2,517,493.12 |
| Long-term remuneration payable to staff | ||
| Expected liabilities | ||
| Deferred income | 237,249,225.25 | 61,082,981.63 |
| Deferred income tax liability | 305,873,349.54 | 307,825,916.58 |
| Other non-current liabilities | ||
| Total non-current liabilities | 7,181,868,060.58 | 7,366,553,958.74 |
| Total of liability | 9,933,763,602.24 | 8,899,319,781.11 |
| Owners’ equity | ||
| Share capital | 2,090,806,126.00 | 2,090,806,126.00 |
| Other equity instruments | ||
| Including：preferred stock | ||
| Sustainable debt | ||
| Capital reserves | 743,059,586.56 | 743,133,557.03 |
| Less：Shares in stock | ||
| Other comprehensive income | 179,248,772.69 | 170,633,656.67 |
| Special reserve | ||
| Surplus reserves | 1,373,056,469.02 | 1,373,056,469.02 |
| Common risk provision | ||
| Retained profit | 4,688,808,520.14 | 4,698,029,354.08 |
| Total of owner’s equity belong to the parent company | 9,074,979,474.41 | 9,075,659,162.80 |
| Minority shareholders’ equity | 2,468,348,995.12 | 2,293,020,019.87 |
| Total of owners’ equity | 11,543,328,469.53 | 11,368,679,182.67 |
| Total of liabilities and owners’ equity | 21,477,092,071.77 | 20,267,998,963.78 |
Legal Representative: Miao DeshanGeneral Manager: Wang ChunhuaPerson in charge of accounting：Lu MingAccounting Dept Leader: Zhou Fang
2.Parent Company Balance Sheet
In RMB
| Items | June 30,2023 | January 1,2023 |
| Current asset： |
| Items | June 30,2023 | January 1,2023 |
| Monetary fund | 2,707,888,802.08 | 1,813,035,761.84 |
| Transactional financial assets | ||
| Derivative financial assets | ||
| Notes receivable | ||
| Account receivable | 21,127,358.73 | 23,817,016.30 |
| Financing of receivables | ||
| Prepayments | 2,809,613.75 | 5,515,813.54 |
| Other account receivable | 1,286,164,460.20 | 1,542,022,671.18 |
| Including：Interest receivable | ||
| Dividend receivable | 45,903,912.26 | 36,905,472.90 |
| Inventories | ||
| Contract assets | ||
| Assets held for sales | ||
| Non-current asset due within 1 year | ||
| Other current asset | 111,143.99 | |
| Total of current assets | 4,017,990,234.76 | 3,384,502,406.85 |
| Non-current assets： | ||
| Creditor's right investment | ||
| Other creditor's right investment | ||
| Long-term receivable | ||
| Long term share equity investment | 6,560,494,196.19 | 6,096,415,643.96 |
| Other equity instruments investment | 1,552,643,487.90 | 1,557,303,730.98 |
| Other non-current financial assets | ||
| Property investment | 2,305,447.44 | 2,416,006.68 |
| Fixed assets | 5,107,546,847.79 | 5,299,569,148.92 |
| Construction in progress | 208,907,444.68 | 152,388,974.47 |
| Production physical assets | ||
| Oil & gas assets | ||
| Use right assets | 29,423,746.22 | 3,069,576.00 |
| Intangible assets | 128,646,097.36 | 132,991,895.23 |
| Development expenses | ||
| Goodwill | ||
| Long-germ expenses to be amortized | ||
| Deferred income tax asset | 41,695,083.71 | 123,579,950.33 |
| Other non-current asset | ||
| Total of non-current assets | 13,631,662,351.29 | 13,367,734,926.57 |
| Total of assets | 17,649,652,586.05 | 16,752,237,333.42 |
| Current liabilities | ||
| Short-term loans | ||
| Transactional financial liabilities | ||
| Derivative financial liabilities | ||
| Notes payable | ||
| Account payable | 84,341,061.59 | 94,446,623.15 |
| Advance receipts | 752,954.28 | 250,984.75 |
| Contract Liabilities |
| Items | June 30,2023 | January 1,2023 |
| Employees’ wage payable | 7,395,204.74 | 8,103,399.09 |
| Tax payable | 5,618,530.69 | 4,643,917.73 |
| Other account payable | 1,332,431,588.92 | 362,996,135.95 |
| Including：Interest payable | ||
| Dividend payable | 920,558,170.17 | 25,694,517.46 |
| Liabilities held for sales | ||
| Non-current liability due within 1 year | 796,835,939.08 | 116,904,509.53 |
| Other current liability | 38,917.98 | 33,596.70 |
| Total of current liability | 2,227,414,197.28 | 587,379,166.90 |
| Non-current liabilities： | ||
| Long-term loan | 5,508,083,200.00 | 5,552,070,350.00 |
| Bond payable | 749,147,101.95 | 1,428,381,232.94 |
| Including：preferred stock | ||
| Sustainable debt | ||
| Lease liability | 18,705,239.26 | |
| Long-term payable | 2,022,210.11 | 2,517,493.12 |
| Long-term remuneration payable to staff | ||
| Expected liabilities | ||
| Deferred income | 5,197,208.42 | 6,838,432.16 |
| Deferred income tax liability | 67,459,482.66 | 61,985,198.42 |
| Other non-current liabilities | ||
| Total non-current liabilities | 6,350,614,442.40 | 7,051,792,706.64 |
| Total of liability | 8,578,028,639.68 | 7,639,171,873.54 |
| Owners’ equity | ||
| Share capital | 2,090,806,126.00 | 2,090,806,126.00 |
| Other equity instruments | ||
| Including：preferred stock | ||
| Sustainable debt | ||
| Capital reserves | 934,926,723.73 | 934,908,293.69 |
| Less：Shares in stock | ||
| Other comprehensive income | 179,248,772.69 | 170,633,656.67 |
| Special reserve | ||
| Surplus reserves | 1,193,084,201.46 | 1,193,084,201.46 |
| Retained profit | 4,673,558,122.49 | 4,723,633,182.06 |
| Total of owners’ equity | 9,071,623,946.37 | 9,113,065,459.88 |
| Total of liabilities and owners’ equity | 17,649,652,586.05 | 16,752,237,333.42 |
3.Consolidated Income statement
In RMB
| Items | The first half year of 2023 | The first half year of 2022 |
| I. Income from the key business | 2,340,436,775.08 | 2,057,420,809.68 |
| Incl：Business income | 2,340,436,775.08 | 2,057,420,809.68 |
| Interest income |
| Items | The first half year of 2023 | The first half year of 2022 |
| Insurance fee earned | ||
| Fee and commission received | ||
| II. Total business cost | 921,351,272.48 | 879,520,254.68 |
| Incl：Business cost | 740,670,310.49 | 696,143,722.50 |
| Interest expense | ||
| Fee and commission paid | ||
| Insurance discharge payment | ||
| Net claim amount paid | ||
| Net amount of withdrawal of insurance contract reserve | ||
| Insurance policy dividend paid | ||
| Reinsurance expenses | ||
| Business tax and surcharge | 9,422,373.99 | 8,932,321.30 |
| Sales expense | ||
| Administrative expense | 80,023,845.71 | 85,773,267.04 |
| R & D costs | 81,651.82 | 1,368,887.22 |
| Financial expenses | 91,153,090.47 | 87,302,056.62 |
| Including：Interest expense | 109,161,060.69 | 123,517,238.10 |
| Interest income | 18,067,700.31 | 36,907,508.27 |
| Add: Other income | 6,449,973.78 | 8,178,352.38 |
| Investment gain（“-”for loss） | 181,402,127.67 | 162,320,728.99 |
| Incl: investment gains from affiliates | 109,631,134.53 | 101,561,222.92 |
| Financial assets measured at amortized cost cease to be recognized as income | ||
| Gains from currency exchange | ||
| Net exposure hedging income | ||
| Changing income of fair value | ||
| Credit impairment loss | -45,626,953.18 | |
| Impairment loss of assets | ||
| Assets disposal income | 463,363.89 | |
| III. Operational profit（“-”for loss） | 1,561,310,650.87 | 1,348,863,000.26 |
| Add ：Non-operational income | 2,148,292.85 | 5,821,631.65 |
| Less: Non-operating expense | 240,222.59 | 2,955,659.39 |
| IV. Total profit(“-”for loss) | 1,563,218,721.13 | 1,351,728,972.52 |
| Less：Income tax expenses | 369,040,383.81 | 290,224,512.53 |
| V. Net profit | 1,194,178,337.32 | 1,061,504,459.99 |
| (I) Classification by business continuity | ||
| 1.Net continuing operating profit | 1,194,178,337.32 | 1,061,504,459.99 |
| 2.Termination of operating net profit | ||
| (II) Classification by ownership | ||
| 1.Net profit attributable to the owners of parent company | 885,644,187.99 | 773,736,908.29 |
| 2.Minority shareholders’ equity | 308,534,149.33 | 287,767,551.70 |
| VI. Net after-tax of other comprehensive income | 8,615,116.02 | -34,872,070.60 |
| 8,615,116.02 | -34,872,070.60 |
| Items | The first half year of 2023 | The first half year of 2022 |
| Net of profit of other comprehensive income attributable to owners of the parent company. | ||
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period | -3,495,182.31 | -34,035,245.89 |
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| 3. Changes in the fair value of investments in other equity instruments | -3,495,182.31 | -34,035,245.89 |
| 4. Changes in the fair value of the company’s credit risks | ||
| 5.Other | ||
| （II） Other comprehensive income that will be reclassified into profit or loss. | 12,110,298.33 | -836,824.71 |
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | 12,110,298.33 | -836,824.71 |
| 2. Changes in the fair value of investments in other debt obligations | ||
| 3. Other comprehensive income arising from the reclassification of financial assets | ||
| 4.Allowance for credit impairments in investments in other debt obligations | ||
| 5. Reserve for cash flow hedges | ||
| 6.Translation differences in currency financial statements | ||
| 7.Other | ||
| Net of profit of other comprehensive income attributable to Minority shareholders’ equity | ||
| VII. Total comprehensive income | 1,202,793,453.34 | 1,026,632,389.39 |
| Total comprehensive income attributable to the owner of the parent company | 894,259,304.01 | 738,864,837.69 |
| Total comprehensive income attributable minority shareholders | 308,534,149.33 | 287,767,551.70 |
| VIII. Earnings per share | ||
| （I）Basic earnings per share | 0.42 | 0.37 |
| (II)Diluted earnings per share | 0.42 | 0.37 |
The current business combination under common control, the net profits of the combined party before achievednet profit of RMB 0.00, last period the combined party realized RMB0.00.Legal Representative: Miao DeshanGeneral Manager：Wang Chunhua, ,Person in charge of accounting：Lu MingAccounting Dept Leader: Zhou Fang
4. Income statement of the Parent Company
In RMB
| Items | The first half year of 2023 | The first half year of 2022 |
| I. Income from the key business | 740,672,433.01 | 642,655,502.74 |
| Incl：Business cost | 244,287,384.51 | 251,072,086.53 |
| Business tax and surcharge | 3,726,508.48 | 3,509,918.91 |
| Sales expense | ||
| Administrative expense | 49,125,187.49 | 49,546,552.29 |
| R & D expense | ||
| Financial expenses | 110,048,379.46 | 95,640,651.97 |
| Including：Interest expenses | 121,332,718.54 | 115,831,785.91 |
| Interest income | 11,309,040.26 | 20,217,007.24 |
| Add：Other income | 2,607,245.65 | 2,295,878.36 |
| Investment gain（“-”for loss） | 596,720,630.99 | 791,681,986.64 |
| Including: investment gains from affiliates | 108,689,822.92 | 98,360,414.38 |
| Financial assets measured at amortized cost cease to be recognized as income | ||
| Net exposure hedging income | ||
| Changing income of fair value | ||
| Credit impairment loss | ||
| Impairment loss of assets | ||
| Assets disposal income | 463,363.89 | |
| II. Operational profit（“-”for loss） | 932,812,849.71 | 1,037,327,521.93 |
| Add ：Non-operational income | 517,077.90 | 562,977.76 |
| Less：Non -operational expenses | 15,753.62 | |
| III. Total profit(“-”for loss) | 933,314,173.99 | 1,037,890,499.69 |
| Less：Income tax expenses | 88,524,211.63 | 54,001,197.13 |
| IV. Net profit | 844,789,962.36 | 983,889,302.56 |
| 1.Net continuing operating profit | 844,789,962.36 | 983,889,302.56 |
| 2.Termination of operating net profit | ||
| V. Net after-tax of other comprehensive income | 8,615,116.02 | -34,872,070.60 |
| （I）Other comprehensive income items that will not be reclassified into gains/losses in the subsequent accounting period | -3,495,182.31 | -34,035,245.89 |
| 1.Re-measurement of defined benefit plans of changes in net debt or net assets | ||
| 2.Other comprehensive income under the equity method investee can not be reclassified into profit or loss. | ||
| 3. Changes in the fair value of investments in other equity instruments | -3,495,182.31 | -34,035,245.89 |
| 4. Changes in the fair value of the company’s credit risks | ||
| 5.Other |
| Items | The first half year of 2023 | The first half year of 2022 |
| (II)Other comprehensive income that will be reclassified into profit or loss | 12,110,298.33 | -836,824.71 |
| 1.Other comprehensive income under the equity method investee can be reclassified into profit or loss. | 12,110,298.33 | -836,824.71 |
| 2. Changes in the fair value of investments in other debt obligations | ||
| 3. Other comprehensive income arising from the reclassification of financial assets | ||
| 4.Allowance for credit impairments in investments in other debt obligations | ||
| 5. Reserve for cash flow hedges | ||
| 6.Translation differences in currency financial statements | ||
| 7.Other | ||
| VI. Total comprehensive income | 853,405,078.38 | 949,017,231.96 |
| VII. Earnings per share | ||
| （I）Basic earnings per share | ||
| (II)Diluted earnings per share |
5. Consolidated Cash flow statement
In RMB
| Items | The first half year of 2023 | The first half year of 2022 |
| I.Cash flows from operating activities | ||
| Cash received from sales of goods or rending of services | 2,387,824,431.30 | 2,100,682,366.85 |
| Net increase of customer deposits and capital kept for brother company | ||
| Net increase of loans from central bank | ||
| Net increase of inter-bank loans from other financial bodies | ||
| Cash received against original insurance contract | ||
| Net cash received from reinsurance business | ||
| Net increase of client deposit and investment | ||
| Cash received from interest, commission charge and commission | ||
| Net increase of inter-bank fund received | ||
| Net increase of repurchasing business | ||
| Net cash received by agent in securities trading | ||
| Tax returned | ||
| Other cash received from business operation | 239,874,283.43 | 67,435,536.39 |
| Sub-total of cash inflow | 2,627,698,714.73 | 2,168,117,903.24 |
| Cash paid for purchasing of merchandise and services | 93,721,829.45 | 131,225,559.09 |
| Net increase of client trade and advance | ||
| Net increase of savings in central bank and brother company | ||
| Cash paid for original contract claim | ||
| Net increase in financial assets held for trading purposes | ||
| Net increase for Outgoing call loan | ||
| Cash paid for interest, processing fee and commission | ||
| Cash paid to staffs or paid for staffs | 208,391,670.68 | 201,663,653.64 |
| Taxes paid | 272,784,405.49 | 344,543,903.69 |
| Other cash paid for business activities | 38,883,617.41 | 47,133,520.52 |
| Sub-total of cash outflow from business activities | 613,781,523.03 | 724,566,636.94 |
| Net cash generated from /used in operating activities | 2,013,917,191.70 | 1,443,551,266.30 |
| II. Cash flow generated by investing | ||
| Cash received from investment retrieving | ||
| Cash received as investment gains | 48,694,370.25 | 114,163,108.50 |
| Net cash retrieved from disposal of fixed assets, intangible assets, and other long-term assets | 13,110.00 | 522,436.84 |
| Net cash received from disposal of subsidiaries or other operational units | 28,514,496.27 | |
| Other investment-related cash received | ||
| Sub-total of cash inflow due to investment activities | 48,707,480.25 | 143,200,041.61 |
| Cash paid for construction of fixed assets, intangible assets and other long-term assets | 582,217,768.98 | 168,081,166.80 |
| Cash paid as investment | 101,080,000.00 | 250,091,000.00 |
| Net increase of loan against pledge |
| Items | The first half year of 2023 | The first half year of 2022 |
| Net cash received from subsidiaries and other operational units | ||
| Other cash paid for investment activities | ||
| Sub-total of cash outflow due to investment activities | 683,297,768.98 | 418,172,166.80 |
| Net cash flow generated by investment | -634,590,288.73 | -274,972,125.19 |
| III.Cash flow generated by financing | ||
| Cash received as investment | 88,470,000.47 | |
| Including: Cash received as investment from minor shareholders | 88,470,000.47 | |
| Cash received as loans | 414,525,000.00 | 320,000,000.00 |
| Other financing –related cash received | 1,460,847.67 | 38,470,400.00 |
| Sub-total of cash inflow from financing activities | 504,455,848.14 | 358,470,400.00 |
| Cash to repay debts | 469,864,650.00 | 65,836,100.00 |
| Cash paid as dividend, profit, or interests | 415,505,541.67 | 367,159,468.70 |
| Including: Dividend and profit paid by subsidiaries to minor shareholders | 255,975,174.55 | 218,751,982.19 |
| Other cash paid for financing activities | 8,327,523.02 | 6,242,513.89 |
| Sub-total of cash outflow due to financing activities | 893,697,714.69 | 439,238,082.59 |
| Net cash flow generated by financing | -389,241,866.55 | -80,767,682.59 |
| IV. Influence of exchange rate alternation on cash and cash equivalents | ||
| V.Net increase of cash and cash equivalents | 990,085,036.42 | 1,087,811,458.52 |
| Add: balance of cash and cash equivalents at the beginning of term | 4,284,688,231.33 | 2,955,183,190.55 |
| VI ..Balance of cash and cash equivalents at the end of term | 5,274,773,267.75 | 4,042,994,649.07 |
6. Cash Flow Statement of the Parent Company
In RMB
| Items | The first half year of 2023 | The first half year of 2022 |
| I.Cash flows from operating activities | ||
| Cash received from sales of goods or rending of services | 763,931,695.41 | 661,912,004.69 |
| Tax returned | ||
| Other cash received from business operation | 142,656,776.31 | 24,521,728.95 |
| Sub-total of cash inflow | 906,588,471.72 | 686,433,733.64 |
| Cash paid for purchasing of merchandise and services | 24,172,182.68 | 13,570,674.87 |
| Cash paid to staffs or paid for staffs | 62,195,705.48 | 60,633,887.05 |
| Taxes paid | 24,138,943.36 | 23,470,841.12 |
| Other cash paid for business activities | 55,091,483.76 | 236,627,095.73 |
| Sub-total of cash outflow from business activities | 165,598,315.28 | 334,302,498.77 |
| Net cash generated from /used in operating activities | 740,990,156.44 | 352,131,234.87 |
| II. Cash flow generated by investing | ||
| Cash received from investment retrieving | 60,623,900.00 | |
| Cash received as investment gains | 499,852,096.70 | 693,296,160.51 |
| Net cash retrieved from disposal of fixed assets, intangible assets, and other long-term assets | 13,110.00 | 517,888.00 |
| Net cash received from disposal of subsidiaries or other operational units | ||
| Other investment-related cash received | ||
| Sub-total of cash inflow due to investment activities | 499,865,206.70 | 754,437,948.51 |
| Cash paid for construction of fixed assets, intangible assets and other long-term assets | 68,690,286.59 | 43,488,728.78 |
| Cash paid as investment | 98,000,000.00 | 246,000,000.00 |
| Net cash received from subsidiaries and other operational units | ||
| Other cash paid for investment activities | ||
| Sub-total of cash outflow due to investment activities | 166,690,286.59 | 289,488,728.78 |
| Net cash flow generated by investment | 333,174,920.11 | 464,949,219.73 |
| III. Cash flow generated by financing | ||
| Cash received as investment | ||
| Cash received as loans | ||
| Other financing –related ash received | ||
| Sub-total of cash inflow from financing activities | ||
| Cash to repay debts | 25,339,650.00 | 32,001,100.00 |
| Cash paid as dividend, profit, or interests | 145,644,863.29 | 136,048,729.34 |
| Other cash paid for financing activities | 8,327,523.02 | 6,214,613.89 |
| Sub-total of cash outflow due to financing activities | 179,312,036.31 | 174,264,443.23 |
| Net cash flow generated by financing | -179,312,036.31 | -174,264,443.23 |
| IV. Influence of exchange rate alternation on cash and cash equivalents | ||
| V.Net increase of cash and cash equivalents | 894,853,040.24 | 642,816,011.37 |
| Add: balance of cash and cash equivalents at the beginning of term | 1,811,814,561.84 | 1,859,614,927.30 |
| VI ..Balance of cash and cash equivalents at the end of term | 2,706,667,602.08 | 2,502,430,938.67 |
7. Consolidated Statement on Change in Owners’ Equity
Amount in this period
In RMB
| Items | The first half year of 2023 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| I.Balance at the end of last year | 2,090,806,126.00 | 743,133,557.03 | 170,633,656.67 | 1,373,056,469.02 | 4,698,029,354.08 | 9,075,659,162.80 | 2,293,020,019.87 | 11,368,679,182.67 | |||||||
| Add: Change of accounting policy | |||||||||||||||
| Correcting of previous errors | |||||||||||||||
| Merger of entities under common control | |||||||||||||||
| Other | |||||||||||||||
| II.Balance at the beginning | 2,090,806,126.00 | 743,133,557.03 | 170,633,656.67 | 1,373,056,469.02 | 4,698,029,354.08 | 9,075,659,162.80 | 2,293,020,019.87 | 11,368,679,182.67 | |||||||
| Items | The first half year of 2023 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| of current year | |||||||||||||||
| III.Changed in the current year | -73,970.47 | 8,615,116.02 | -9,220,833.94 | -679,688.39 | 175,328,975.25 | 174,649,286.86 | |||||||||
| （1）Total comprehensive income | 8,615,116.02 | 885,644,187.99 | 894,259,304.01 | 308,534,149.33 | 1,202,793,453.34 | ||||||||||
| （II）Investment or decreasing of capital by owners | 88,470,000.47 | 88,470,000.47 | |||||||||||||
| 1．Ordinary Shares invested by shareholders | 88,470,000.47 | 88,470,000.47 | |||||||||||||
| 2．Holders of other equity instruments inve | |||||||||||||||
| Items | The first half year of 2023 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| sted capital | |||||||||||||||
| 3．Amount of shares paid and accounted as owners’ equity | |||||||||||||||
| 4．Other | |||||||||||||||
| （III）Profit allotment | -894,865,021.93 | -894,865,021.93 | -221,675,174.55 | -1,116,540,196.48 | |||||||||||
| 1.Providing of surplus reserves | |||||||||||||||
| 2.Providing of common risk provisions | |||||||||||||||
| 3．Allotment to the owners (or shareholders) | -894,865,021.93 | -894,865,021.93 | -221,675,174.55 | -1,116,540,196.48 | |||||||||||
| Items | The first half year of 2023 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| 4．Other | |||||||||||||||
| (IV) Internal transferring of owners’ equity | |||||||||||||||
| 1. Capitalizing of capital reserves (or to capital shares) | |||||||||||||||
| 2. Capitalizing of surplus reserves (or to capital shares) | |||||||||||||||
| 3．Making up losses by surplus reserves. | |||||||||||||||
| 4.Change amount of defined benefit | |||||||||||||||
| Items | The first half year of 2023 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| plans that carry forward Retained earnings | |||||||||||||||
| 5．Other comprehensive income carry-over retained earnings | |||||||||||||||
| 6．Other | |||||||||||||||
| (V). Special reserves | |||||||||||||||
| 1. Provided this year | |||||||||||||||
| 2．Used this term | |||||||||||||||
| （VI）Other | -73,970.47 | -73,970.47 | -73,970.47 | ||||||||||||
| IV. Balance at | 2,090,806,12 | 743,059,5 | 179,248,7 | 1,373,056, | 4,688,80 | 9,074,97 | 2,468,348,995.1 | 11,543,328,469.53 | |||||||
| Items | The first half year of 2023 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| the end of this term | 6.00 | 86.56 | 72.69 | 469.02 | 8,520.14 | 9,474.41 | 2 | ||||||||
Amount in last year
In RMB
| Items | The first half year of 2022 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| I.Balance at the end of last year | 2,090,806,126.00 | 713,460,518.49 | 192,177,466.34 | 1,225,375,330.56 | 4,760,618,543.78 | 8,982,437,985.17 | 2,338,551,172.96 | 11,320,989,158.13 | |||||||
| Add: Change of accounting policy | 510,117.60 | 510,117.60 | 330.74 | 510,448.34 | |||||||||||
| Correcting of previous errors | |||||||||||||||
| Merger of entities under common control | |||||||||||||||
| Items | The first half year of 2022 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| Other | |||||||||||||||
| II.Balance at the beginning of current year | 2,090,806,126.00 | 713,460,518.49 | 192,177,466.34 | 1,225,375,330.56 | 4,761,128,661.38 | 8,982,948,102.77 | 2,338,551,503.70 | 11,321,499,606.47 | |||||||
| III.Changed in the current year | 19,708,141.17 | -34,872,070.60 | -418,022,583.53 | -433,186,512.96 | -28,984,430.49 | -462,170,943.45 | |||||||||
| （1）Total comprehensive income | -34,872,070.60 | 773,736,908.29 | 738,864,837.69 | 287,767,551.70 | 1,026,632,389.39 | ||||||||||
| （II）Investment or decreasing of capital by owners | |||||||||||||||
| 1．Ordinary Shares invested by shareholders | |||||||||||||||
| Items | The first half year of 2022 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| 2．Holders of other equity instruments invested capital | |||||||||||||||
| 3．Amount of shares paid and accounted as owners’ equity | |||||||||||||||
| 4．Other | |||||||||||||||
| （III）Profit allotment | -1,191,759,491.82 | -1,191,759,491.82 | -316,751,982.19 | -1,508,511,474.01 | |||||||||||
| 1.Providing of surplus reserves | |||||||||||||||
| 2.Providing of common | |||||||||||||||
| Items | The first half year of 2022 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| risk provisions | |||||||||||||||
| 3．Allotment to the owners (or shareholders) | -1,191,759,491.82 | -1,191,759,491.82 | -316,751,982.19 | -1,508,511,474.01 | |||||||||||
| 4．Other | |||||||||||||||
| (IV) Internal transferring of owners’ equity | |||||||||||||||
| 1. Capitalizing of capital reserves (or to capital shares) | |||||||||||||||
| 2. Capitalizing of surplus | |||||||||||||||
| Items | The first half year of 2022 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| reserves (or to capital shares) | |||||||||||||||
| 3．Making up losses by surplus reserves. | |||||||||||||||
| 4.Change amount of defined benefit plans that carry forward Retained earnings | |||||||||||||||
| 5．Other comprehensive income carry-over retained | |||||||||||||||
| Items | The first half year of 2022 | ||||||||||||||
| Owner’s equity Attributable to the Parent Company | Minor shareholders’ equity | Total of owners’ equity | |||||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Common risk provision | Retained profit | Other | Subtotal | |||||
| Preferred stock | Sustainable debt | Other | |||||||||||||
| earnings | |||||||||||||||
| 6．Other | |||||||||||||||
| (V). Special reserves | |||||||||||||||
| 1. Provided this year | |||||||||||||||
| 2．Used this term | |||||||||||||||
| （VI）Other | 19,708,141.17 | 19,708,141.17 | 19,708,141.17 | ||||||||||||
| IV. Balance at the end of this term | 2,090,806,126.00 | 733,168,659.66 | 157,305,395.74 | 1,225,375,330.56 | 4,343,106,077.85 | 8,549,761,589.81 | 2,309,567,073.21 | 10,859,328,663.02 | |||||||
8.Statement of change in owner’s Equity of the Parent Company
Amount in this period
In RMB
| Items | The first half year of 2023 | |||||||||||
| Share capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Retained profit | Other | Total of owners’ equity | |||
| Preferred stock | Sustainable debt | Other | ||||||||||
| I.Balance at the end of last year | 2,090,806,126.00 | 934,908,293.69 | 170,633,656.67 | 1,193,084,201.46 | 4,723,633,182.06 | 9,113,065,459.88 | ||||||
| Add: Change of accounting policy | ||||||||||||
| Correcting of previous errors | ||||||||||||
| Other | ||||||||||||
| II.Balance at the beginning of current year | 2,090,806,126.00 | 934,908,293.69 | 170,633,656.67 | 1,193,084,201.46 | 4,723,633,182.06 | 9,113,065,459.88 | ||||||
| III.Changed in the current year | 18,430.04 | 8,615,116.02 | -50,075,059.57 | -41,441,513.51 | ||||||||
| （I）Total comprehensive income | 8,615,116.02 | 844,789,962.36 | 853,405,078.38 | |||||||||
| (II) Investment or decreasing of capital by owners | ||||||||||||
| 1．Ordinary Shares invested by shareholders | ||||||||||||
| 2．Holders of other equity instruments invested capital | ||||||||||||
| 3.Amount of shares paid and accounted as owners’ equity | ||||||||||||
| 4．Other | ||||||||||||
| Items | The first half year of 2023 | |||||||||||
| Share capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Retained profit | Other | Total of owners’ equity | |||
| Preferred stock | Sustainable debt | Other | ||||||||||
| （III）Profit allotment | -894,865,021.93 | -894,865,021.93 | ||||||||||
| 1.Providing of surplus reserves | ||||||||||||
| 2．Allotment to the owners (or shareholders) | -894,865,021.93 | -894,865,021.93 | ||||||||||
| 3．Other | ||||||||||||
| (IV) Internal transferring of owners’ equity | ||||||||||||
| 1. Capitalizing of capital reserves (or to capital shares) | ||||||||||||
| 2. Capitalizing of surplus reserves (or to capital shares) | ||||||||||||
| 3．Making up losses by surplus reserves. | ||||||||||||
| 4.Change amount of defined benefit plans that carry forward Retained earnings | ||||||||||||
| 5．Other comprehensive income carry-over retained earnings | ||||||||||||
| 6．Other | ||||||||||||
| (V) Special reserves | ||||||||||||
| 1. Provided this year | ||||||||||||
| 2．Used this term | ||||||||||||
| Items | The first half year of 2023 | |||||||||||
| Share capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Retained profit | Other | Total of owners’ equity | |||
| Preferred stock | Sustainable debt | Other | ||||||||||
| （VI）Other | 18,430.04 | 18,430.04 | ||||||||||
| IV. Balance at the end of this term | 2,090,806,126.00 | 934,926,723.73 | 179,248,772.69 | 1,193,084,201.46 | 4,673,558,122.49 | 9,071,623,946.37 | ||||||
Amount in last year
In RMB
| Items | The first half year of 2022 | |||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Retained profit | Other | Total of owners’ equity | |||
| Preferred stock | Sustainable debt | Other | ||||||||||
| I.Balance at the end of last year | 2,090,806,126.00 | 934,851,285.51 | 192,177,466.34 | 1,045,403,063.00 | 4,586,482,016.10 | 8,849,719,956.95 | ||||||
| Add: Change of accounting policy | 509,125.37 | 509,125.37 | ||||||||||
| Correcting of previous errors | ||||||||||||
| Other | ||||||||||||
| II.Balance at the beginning of current year | 2,090,806,126.00 | 934,851,285.51 | 192,177,466.34 | 1,045,403,063.00 | 4,586,991,141.47 | 8,850,229,082.32 | ||||||
| III.Changed in the current year | 88,237.17 | -34,872,070.60 | -207,870,189.26 | -242,654,022.69 | ||||||||
| （I）Total comprehensive income | -34,872,070.60 | 983,889,302.56 | 949,017,231.96 | |||||||||
| (II) Investment or decreasing of capital by owners | ||||||||||||
| 1．Ordinary Shares invested by shareholders | ||||||||||||
| 2．Holders of other equity instruments invested capital | ||||||||||||
| 3.Amount of shares paid and accounted as owners’ equity | ||||||||||||
| 4．Other | ||||||||||||
| （III）Profit allotment | - | - | ||||||||||
| Items | The first half year of 2022 | |||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Retained profit | Other | Total of owners’ equity | |||
| Preferred stock | Sustainable debt | Other | ||||||||||
| 1,191,759,491.82 | 1,191,759,491.82 | |||||||||||
| 1.Providing of surplus reserves | ||||||||||||
| 2．Allotment to the owners (or shareholders) | -1,191,759,491.82 | -1,191,759,491.82 | ||||||||||
| 3．Other | ||||||||||||
| (IV) Internal transferring of owners’ equity | ||||||||||||
| 1. Capitalizing of capital reserves (or to capital shares) | ||||||||||||
| 2. Capitalizing of surplus reserves (or to capital shares) | ||||||||||||
| 3．Making up losses by surplus reserves. | ||||||||||||
| 4.Change amount of defined benefit plans that carry forward Retained earnings | ||||||||||||
| 5．Other comprehensive income carry-over retained earnings | ||||||||||||
| 6．Other | ||||||||||||
| (V) Special reserves | ||||||||||||
| 1. Provided this year | ||||||||||||
| 2．Used this term | ||||||||||||
| （VI）Other | 88,237.17 | 88,237.17 | ||||||||||
| Items | The first half year of 2022 | |||||||||||
| Share Capital | Other Equity instrument | Capital reserves | Less: Shares in stock | Other Comprehensive Income | Specialized reserve | Surplus reserves | Retained profit | Other | Total of owners’ equity | |||
| Preferred stock | Sustainable debt | Other | ||||||||||
| IV. Balance at the end of this term | 2,090,806,126.00 | 934,939,522.68 | 157,305,395.74 | 1,045,403,063.00 | 4,379,120,952.21 | 8,607,575,059.63 | ||||||
III. Company Profile
1. Basic information of the IPO and share capital of the company
1.The Company was established in February 1993, which was originally named as Guangdong FokaiExpressway Co., Ltd. On June 30, 1993, it was renamed as Guangdong Provincial Expressway DevelopmentCo., Ltd. after reorganization pursuant to the approval of the Office of Joint Examination Group ofExperimental Units of Share Holding System with YLSB (1993)No. 68 document. The share capital structureafter reorganization is as follows:
Composition of state-owned shares: The appraised net value of state-owned assets of Guangdong JiujiangBridge Co. and Guangfo Expressway Co., Ltd. as of January 31, 1993 confirmed by Guangdong State-ownedAsset Management Dept., i.e.,RMB 418.2136 million, was converted into 155.025 million shares. GuangdongExpressway Co. invested cash of RMB 115 million to subscribe for 35.9375 million shares. Other legal personsinvested cash of RMB 286.992 million to subscribe for 89.685 million shares. Staff of the Company investedRMB 87.008 million to subscribe for 27.19 million shares. The total is RMB 307.8375 million shares.
．Pursuant to the approval of Guangdong Economic System Reform Committee and Guangdong SecuritiesRegulatory Commission with YTG (1996) No. 67 document, part of the shareholders of non-state-owned legalperson shares transferred 20 million non-state-owned legal person shares to Malaysia Yibao Engineering Co.,Ltd. in June 1996.
3. Pursuant to the approval of Securities Commission under the State Council with WF (1996) No. 24 approvaldocument and that of Guangdong Economic System Reform Committee with YTG (1996) No. 68 document,the Company issued 135 million domestically listed foreign investment shares (B shares) to overseas investorsat the price of HKD 3.54 (equivalent to RMB 3.8) with the par value of each share being RMB 1 during June toJuly 1996.
4. Pursuant to the reply of the Ministry of Foreign Trade and Economic Cooperation of the People’ s Republicof China with (1996) WJMZYHZ No. 606 document, the Company was approved to be a foreign-invested jointstock company limited.
．The Company distributed dividends and capitalized capital common reserve for the year 1996 in thefollowing manner: The Company paid 1.7 bonus shares f or each 10 shares and capitalized capital commonreserve on 3.3-for-10 basis.
6. Pursuant to the approval of China Securities Regulatory Committee (CSRC) with ZJFZ (1997) No. 486 andNo. 487 document, the Company issued 100 million public shares (A shares) at the price of RMB 5.41 in termof “payable in full on application, pro-rate placing and subject to refund” with the par value of each share beingRMB 1 in January 1998.7．In accordance with the Resolutions of the 1999 Shareholders’ General Meeting of the Company andpursuant to the approval of Guangzhou Securities Regulatory Office under CSRC with GZZJH (2000) No. 99and that of CSRC with ZJGSZ (2000) No. 98, the Company offered 3 Rights for every 10 shares of 764.256249million shares at the price of RMB 11 per Right.73,822,250 ordinary shares were actually placed to all .
8. Pursuant to the reply of the General Office of the People’ s Government of Guangdong Province with YBH(2000) No. 574 document, the state-owned shares were transferred to Guangdong Communication Group Co.,
Ltd. (Group Co.) for holding and management without compensation.
9.Pursuant to the approval of Shenzhen Stock Exchange, 53.0205 million staff shares of the Company (132,722shares held by directors, supervisors and senior executives are temporarily frozen) were listed on February 5,2001.
10.In accordance with the resolutions of 2000 annual shareholders’ general meeting, the Company capitalizedcapital common reserve into 419,039,249 shares on 5-for-10 basis with the total share capital as of the end of2000, i.e., 838,078,499 shares as base. The date of stock right registration was May 21, 2001. The ex-right datewas May 22, 2001.11．On March 8, 2004,As approved by China Securities Regulatory Commission by document Zheng-Jian-Gong-Si-Zi [2003]No.3, the 45,000,000 non-negotiable foreign shares were placed in Shenzhen Stock
12. On December 21, 2005, the Company's plan for share holding structure reform was voted through at theshareholders' meeting concerning A shares. On January 26 2006, The Ministry of Commerce of PRC issued“The approval on share converting of Guangdong Provincial Expressway Development Co., Ltd.” to approvethe share equity relocation and transformation. On October 9 2006, according to the “Circular aboutimplementing of share equity relocation and relative trading” issued by Shenzhen Stock Exchange, theabbreviation ID of the Company’s A shares was restored from “G-Expressway” “Expressway A”.Upon the approval document of CSRC No.230-2016 Zheng Jian Xu ke-Approval of the Share-Issuing to Partiessuch as Guangdong Provincial Expressway Co., Ltd to Purchase Assets and Raise Matching Funds byGuangdong Provincial Expressway Development Co., Ltd, in June 2016 the company issued 33,355,263 sharesand paid RMB 803.50 million to Guangdong Provincial Expressway Co., Ltd for purchasing the 25% stake ofGuangdong Provincial Fokai Expressway Co., Ltd held by Guangdong Provincial Expressway Co., Ltd; andissued 466,325,020 shares to Guangdong Provincial Highway Construction Co., Ltd for purchasing the 100%stake of Guangzhou Guangzhu Traffic Investment Management Co., Ltd held by Guangdong ProvincialHighway Construction Co., Ltd. On June 21, 2016, the company directionally issued 334,008,095 A-shares toYadong Fuxing Yalian Investment Co.,Ltd, Tibet Yinyue Investment Management Co.,Ltd and GuangfaSecurities Co.,Ltd. The issuance of shares have been registered on July 7, 2016, the new shares will be listed onJuly 8, 2016.
2. Company's registered place and headquarters address
Company name：Guangdong Provincial Expressway Development Co., Ltd.Registration placeNo.85, Baiyun Road, Yuexiu District, Guangzhou.Headquarters Office ：45-46/F, Litong Plaza, No.32, Zhujiang East Road, Zhujiang New City, Tihe Disrtict ,Guangzhou
3. Business nature and main business activities
Industry and main products of the company: highway management and maintenance.
General business items: investment, construction, charging, maintenance and service management ofexpressways, grade roads and bridges; Automobile rescue service, maintenance and cleaning; Parking lot charges;Design, production, release and agency of all kinds of advertisements at home and abroad; Land developmentalong the highway; Warehousing business; Intelligent transportation technology research and development andservice; Equity investment, management and consultation. (Projects that must be approved according to law canbe operated only after being approved by relevant departments).
The Company is mainly engaged in tolling and maintenance of Guangfo Expressway, Fokai Expressway,JingzhuExpressway Guangzhu Section and Guanghui Expressway investment in technological industriesand provision of relevant consultaion while investing in Shenzhen Huiyan Expressway Co., Ltd., GuangzhouGuanghui Expressway Co., Ltd.., Guangdong Jiangzhong Expressway Co.Ltd., Zhaoqing Yuezhao ExpresswayCo., Ltd.,Ganzhou Kangda Expressway , Ganzhou Gankang Expressway Co., Ltd.,Guangdong Yueke TechnologyPetty Loan Co., Ltd., Guangdong Guangle Expressway Co.,Ltd., Guoyuan Securities Co., Ltd, Hunan LianzhiTechnology Co., Ltd., SPIC Yuetong Qiyuan Chip Power Technology Co., Ltd.and Shenzhen Garage Electric PileTechnology Co., Ltd.
4. Scope and changes of consolidated financial statements in the current period
(1) Scope of current consolidated financial statements
The consolidated scope of the current financial statements invovles Guangdong Expressway TechnologyInvestment Co., Ltd., Yuegao Capital Holding (Guangzhou) Co., Ltd., its holding subsidiaries GuangfoExpressway Co., Ltd., Jingzhu Expressway Guangzhu Section Co., Ltd. and Guanghui Expressway Co., Ltd..
(2) Changes in the scope of consolidated financial statements in the current periodNone.
5. Approval and submission date of financial report
The financial statements have been authorized for issuance of the Board of Directors of the Company on August28 ,2023.IV. Basis for the preparation of financial statements
1.Preparation basis
The financial statements of the Company have been prepared on basis of going concern in conformity withChinese Accounting Standards for Business Enterprises and the Accounting Systems for Business Enterprisesissued by the Ministry of Finance of People’s Republic of China (Ministry of Finance issued order No.33, theMinistry of Finance revised order No.76) on February 15, 2006, and revised Accounting Standards (order 42 ofthe Ministry of Finance) and Compilation Rules for Information Disclosure by Companies Offering Securities tothe Public No.15 – General Provisions on Financial Reports (2014 Revision) issued by the China SecuritiesRegulatory Commission (CSRC).
According to the relevant accounting regulations in Chinese Accounting Standards for Business Enterprises,the Company has adopted the accrual basis of accounting. Held-for-sale non-current assets are measured at thelower of its book value at its classification date and fair value minus expected disposal costs. Where assets areimpaired, provisions for asset impairment are made in accordance with relevant requirements
2.Continuation
There will be no such events or situations in the 12 months from the end of the reporting period that willcause material doubts as to the continuation capability of the Company.
V. Significant Accounting Policies and Accounting EstimatesSpecific accounting policies and accounting estimates are indicated as follows:
None
1. Statement of Compliance with the Accounting Standards for Business EnterprisesThe financial statements of the Company are recognized and measured in accordance with the regulations inthe Chinese Accounting Standards for Business Enterprises and they give a true and fair view of the financialposition, business result and cash flow of the Company,. In addition, the financial statements of the Companycomply, in all material respects, with the revised disclosing requirements for financial statements and theCompilation Rules for Information Disclosure by Companies Offering Securities to the Public No.15—GeneralProvisions on Financial Reports (2014 Revision) issued by China Securities Regulatory Commission (CSRC) in2014,Notice on Matters Related to the Implementation of New Enterprise Accounting Standards by ListedCompanies issued in 2018.
2. Accounting period
The accounting period of the Company is classified as interim period and annual period. Interim periodrefers to the reporting period shorter than a complete annual period. The accounting period of the Company is thecalendar year from January 1 to December 31.
3.Operating cycle
The normal operating cycle refers to the period from the time when the Group purchases assets forprocessing to the time when cash or cash equivalents are realized. The Company takes 12 months as a businesscycle and uses it as a criterion for liquidity classification of assets and liabilities.
4.Standard currency for bookkeeping
The Company adopts CNY to prepare its functional statements.
5.Accountings for Business Combinations under the Same Control & Business Combinations not under theSame Control
1.Business Combinations under the Same Control
If business participating in the combination are ultimately controlled by the same party or parties before andafter the combination, and the control is not temporary, it is an business combination under the same control.Usually, business combination under the same control refers to the combination between business within the samebusiness, except which it is generally not regarded as business combination under the same control.The assets and liabilities obtained by the Company as the combining party in the business combination shallbe measured according to the book value of the combined party in the consolidated financial statements of theultimate controlling party on the combination date. For the long-term equity investment formed by holdingcombination under the same control, the company takes the share of the book owner's equity of the combinedparty on the combination date as the initial investment cost for forming the long-term equity investment. See thelong-term equity investment for relevant accounting treatment; The assets and liabilities obtained by absorptionand combination under the same control shall be recorded by the Company according to the original book value ofthe related assets and liabilities in the combined party. The company adjusts the capital reserve according to thedifference between the book value of the net assets obtained and the book value of the combination considerationpaid (or the total par value of the issued shares); If the capital reserve is insufficient to offset, the retained earningsshall be adjusted.All directly related expenses incurred by the Company as a combining party for business combination,
including audit fees, evaluation fees, legal service fees, etc., are included in the current profits and losses whenincurred.Fees and commissions paid for bonds issued by enterprises or other debts shall be included in the initialmeasurement amount of bonds and other debts issued. Fees, commissions and other expenses incurred in issuingequity securities in business combination shall be offset against the premium income of equity securities, and ifthe premium income is insufficient to offset, the retained earnings shall be offset.If the holding under the same control is combined to form a parent-subsidiary relationship, the parentcompany shall prepare consolidated financial statements on the consolidation date, including consolidated balancesheet, consolidated income statement and consolidated cash flow statement.
For the consolidated balance sheet, the book value of the combined party in the consolidated financialstatements of the ultimate controlling party shall be incorporated into the consolidated financial statements, andthe transactions between the combining party and the combined party on the consolidation date and the previousperiod shall be regarded as internal transactions and offset according to the relevant principles of "ConsolidatedFinancial Statements"; The consolidated income statement and cash flow statement include the net profit and cashflow realized by the combining party and the combined party from the beginning of the current consolidationperiod to the consolidation date, and involve the cash flow generated by the transactions and internal transactionsbetween the two parties in the current period, which shall be offset according to the relevant principles of theconsolidated financial statements.
2. If the parties involved in the combination are not ultimately controlled by the same party or parties beforeand after the combination, it is a business combination not under the same control.Business Combinations not under the Same Control
Determine the cost of business combination: the cost of business combination includes the fair value of cashor non-cash assets paid by the purchaser for business combination, debts issued or assumed, and equity securitiesissued on the purchase date.
In the business combination not under the same control, the intermediary expenses such as auditing, legalservices, evaluation and consultation and other related management expenses incurred by the purchaser for thebusiness combination shall be included in the current profits and losses when they occur; Transaction costs ofequity securities or debt securities issued by the purchaser as combination consideration shall be included in theinitial recognized amount of equity securities or debt securities.
For the long-term equity investment obtained by holding combination not under the same control, thecompany takes the combination cost determined on the purchase date (excluding cash dividends and profits thatshould be collected from the investee) as the initial investment cost for the long-term equity investment of thepurchaser; All identifiable assets and liabilities obtained by absorption and combination under different controlthat meet the recognition conditions shall be recognized as assets and liabilities of the enterprise at fair value onthe date of purchase. If the Company takes non-monetary assets as consideration to obtain the control right of thepurchaser or various identifiable assets and liabilities, the difference between the fair value of the relevant non-monetary assets on the purchase date and their book value shall be taken as the disposal profit and loss of theassets and recorded in the income statement of the current consolidation period.
In a business combination not under the same control, the difference between the cost of businesscombination and the fair value share of identifiable net assets of the purchaser obtained in the combination isrecognized as goodwill; In the case of absorption and combination, the difference is recognized as goodwill in theindividual financial statements of the parent company; In the case of holding combination, the difference is listedas goodwill in the consolidated financial statements.
The cost of business combination is less than the difference between the fair value share of identifiable net
assets acquired during the combination, which is included in the profits and losses (non-operating income) of thecurrent combination period after review by the Company. In the case of absorption and combination, thedifference is included in the individual income statement of the parent company in the current combination period;In the case of holding combination, the difference is included in the consolidated income statement of the currentcombination period.If the business combination not under the same control realized step by step through multiple exchangetransactions is a package transaction, each transaction will be treated as a transaction to obtain control rights; If itis not a package transaction, the equity of the purchased party held before the purchase date shall be re-measuredaccording to the fair value of the equity on the purchase date, and the difference between the fair value and itsbook value shall be included in the current investment income; If the equity of the purchased party held before thepurchase date involves other comprehensive income, other comprehensive income related to it shall be convertedinto the investment income of the current period on the purchase date, except for other comprehensive incomearising from the re-measurement of net liabilities or changes in net assets of the defined benefit plans by theinvested party.
6. Compilation method of consolidated financial statements
(1) Consolidation scope
The consolidation scope of consolidated financial statements is determined on the basis of control. Controlmeans that the Company has the power over the investee, is entitled to variable returns by participating in therelated activities of the investee, and has the ability to use the power over the investee to influence its returnamount. Subsidiaries refer to subjects controlled by the Company (including enterprises, divisible parts ofinvestee(s), structured subjects, etc.).
(2) Compilation method of consolidated financial statements
The consolidated financial statements of the Company are based on the financial statements of the parentcompany and its subsidiaries, and are prepared according to other relevant information. When compiling, theimportant internal transactions between the parent company and its subsidiaries, such as investment, transactions,purchase and sale of inventories and their unrealized profits, are offset and combined item by item, and theminority shareholders' rights and interests and the current income of minority shareholders are calculated. If theaccounting policies and accounting periods of subsidiaries are inconsistent with those of the parent company, theaccounting statements of subsidiaries shall be adjusted according to the accounting policies and accountingperiods of the parent company before combination.
(3) Increase and decrease the consolidated report processing of subsidiaries during the reporting period
During the reporting period, when preparing the consolidated balance sheet, the balance at the beginning ofthe consolidated balance sheet is adjusted for the subsidiaries added due to business combination under the samecontrol. When preparing the consolidated balance sheet, the balance at the beginning of the year of theconsolidated balance sheet is not adjusted for the subsidiaries added due to business combination not under thesame control. During the reporting period, the subsidiaries are disposed of and the balance at the beginning of theconsolidated balance sheet is not adjusted when the consolidated balance sheet is prepared.
During the reporting period, the income, expenses and profits of subsidiaries added by business combinationunder the same control from the beginning to the end of the reporting period are included in the consolidatedincome statement, and the cash flows from the beginning to the end of the reporting period are included in theconsolidated cash flow statement. For subsidiaries added due to business combination not under the same control,the income, expenses and profits of such subsidiaries from the purchase date to the end of the reporting period areincluded in the consolidated income statement, and their cash flow from the purchase date to the end of thereporting period is included in the consolidated cash flow statement. During the reporting period, the subsidiary is
disposed of, and the income, expenses and profits from the beginning of the period to the disposal date areincluded in the consolidated income statement, and the cash flow from the beginning of the period to the disposaldate is included in the consolidated cash flow statement.
When the control right of the original subsidiary is lost due to the disposal of part of the equity investment orother reasons, the remaining equity investment after disposal shall be re-measured according to its fair value onthe date of loss of control right. The sum of the consideration obtained from the disposal of equity and the fairvalue of the remaining equity, minus the difference between the share of the original subsidiary's net assetscalculated continuously from the purchase date and the sum of goodwill calculated according to the originalshareholding ratio, is included in the investment income in the current period when the control right is lost. Othercomprehensive income related to the original subsidiary's equity investment is converted into current investmentincome when the control right is lost, except for other comprehensive income generated by the investee's re-measurement of net liabilities or changes in net assets of the set income plan.The difference between the newly acquired long-term equity investment due to the purchase of minorityshares and the identifiable net assets share of subsidiaries calculated according to the increased shareholding ratio,and the difference between the disposal price obtained from partial disposal of equity investment in subsidiariesand the net assets share of subsidiaries corresponding to the disposal of long-term equity investment are used toadjust the equity premium in the capital reserve in the consolidated balance sheet. If the equity premium in thecapital reserve is insufficient to offset, the retained earnings will be adjusted.
(4) Processing of consolidated statements from step-by-step disposal of equity to loss of control rights
If the transactions that dispose of the equity investment in subsidiaries until the loss of control rights are of apackage transaction, the transactions shall be treated as transactions that dispose of subsidiaries and lose controlrights; However, the difference between the disposal price and the share of the subsidiary's net assets related to thedisposal investment before the loss of control right is recognized as other comprehensive income in theconsolidated financial statements, which will be transferred to the current profit and loss when the control right islost, except for other comprehensive income arising from the re-measurement of the net liabilities or changes innet assets of the set income plan by the investee. If it is not a package transaction, before the loss of control, thedifference between the disposal price and the corresponding net assets continuously calculated by the subsidiaryfrom the purchase date will be adjusted to the capital reserve, and if the capital reserve is insufficient to offset, theretained earnings will be adjusted; In case of loss of control right, the accounting treatment shall be carried outaccording to the above accounting policy when the control right over the original subsidiary is lost.
7.Recognition Standard of Cash & Cash Equivalents
Cash and cash equivalents of the Company include cash on hand, ready usable deposits and investmentshaving short holding term (normally will be due within three months from the day of purchase), with strongliquidity and easy to be exchanged into certain amount of cash that can be measured reliably and have low risks ofchange.
8.Foreign Currency Transaction
(1) Foreign currency business
Foreign currency transactions of the Company are converted into the amount of bookkeeping base currencyaccording to the spot rate on the transaction date.On the balance sheet date, foreign currency monetary items and foreign currency non-monetary items shallbe treated according to the following provisions: foreign currency monetary items shall be converted at the spotrate on the balance sheet date. Exchange differences arising from the difference between the spot rate on the
balance sheet date and the spot rate at the time of initial recognition or the previous balance sheet date areincluded in the current profits and losses; Foreign currency non-monetary items measured at historical cost arestill converted at the spot rate on the transaction date, without changing their bookkeeping base currency amount;Foreign currency non-monetary items measured at fair value shall be converted at the spot rate on the fair valuedetermination date, and the difference between the converted bookkeeping base currency amount and the originalbookkeeping base currency amount shall be treated as changes in fair value (including exchange rate changes) andincluded in the current profits and losses; During the capitalization period, the exchange difference between theprincipal and interest of foreign currency special loans is capitalized and included in the cost of assets that meetthe capitalization conditions.
(2) Translation of foreign currency financial statements
When converting foreign currency financial statements, the Company shall comply with the followingregulations: assets and liabilities in the balance sheet shall be converted at the spot rate on the balance sheet date,and other items of owner's equity except "undistributed profits" shall be converted at the spot rate at the time ofoccurrence; The income and expense items in the income statement shall be converted at the spot rate on thetransaction date (or at the exchange rate determined by a systematic and reasonable method and similar to the spotrate on the transaction date). The translation difference of foreign currency financial statements generatedaccording to the above translation is recognized as other comprehensive income. The conversion of comparativefinancial statements shall be handled according to the above provisions.
9.Financial instruments(Does not include impairment)
The Company recognizes the financial assets or liabilities when involved in financial instruments’agreements.
（1）Classification, recognition and measurement of financial assets
In accordance with the characteristics of business model for managing financial assets and the contractualcash flow of financial assets, the Company classifies financial assets into: financial assets measured in amortizedcost; financial assets measured at fair value and their's changes are included in other comprehensive income;financial assets measured at fair value and their's changes are included in current profits and losses.The initial measurement of financial assets is calculated by using fair value. For financial assets measured atfair value, whose changes are included in current profits and losses, relevant transaction costs are directly includedin current profits and losses; For other types of financial assets, relevant transaction costs are included in theinitial recognition amount.
①Financial assets measured at amortized cost
The business model of the Company's management of financial assets measured by amortized cost is aimedat collecting the contractual cash flow, and the contractual cash flow characteristics of such financial assets areconsistent with the basic lending arrangements, that is, the cash flow generated on a specific date is only thepayment of principal and interest based on the amount of outstanding principal. For such financial assets, theCompany adopts the method of real interest rate and makes subsequent measurement according to the cost ofamortization. The profits or losses resulting from amortization or impairment are included in current profits andlosses.
②Financial assets measured at fair value and changes included in other comprehensive income
The Company's business model for managing such financial assets is to collect the contractual cash flow,and the contractual cash flow characteristics of such financial assets are consistent with the basic lendingarrangements. The Company measures such financial assets at fair value and their changes are included in othercomprehensive gains, but impairment losses or gains, exchange gains and losses and interest income calculated
according to the actual interest rate method are included in current profits and losses.In addition, the Company designated some non-trading equity instrument investments as financial assetsmeasured at fair value with changes included in other comprehensive income. The Company includes the relevantdividend income of such financial assets in current profits and losses, and the changes in fair value in othercomprehensive gains. When the financial asset ceases to be recognized, the accumulated gains or lossespreviously included in other comprehensive gains shall be transferred into retained income from othercomprehensive income, and not be included in current profit and loss.
③Financial assets measured at fair value and changes included in current profits and lossesThe Company includes the above-mentioned financial assets measured at amortized cost and those measuredat fair value and their's changes in financial assets other than financial assets of comprehensive income andclassifies them as financial assets measured at fair value and their's changes that are included in current profits andlosses. In addition, the Company designates some financial assets as financial assets measured at fair value andincludes their changes in current profits and losses in order to eliminate or significantly reduce accountingmismatches during initial recognition. In regard with such financial assets, the Company adopts fair value forsubsequent measurement, and includes changes in fair value into current profits and losses.
（2）Classification, recognition and measurement of financial liabilities
The Group’s financial liabilities are, on initial recognition, classified into financial liabilities at fair valuethrough profit or loss and other financial liabilities. For financial liabilities at fair value through profit or loss,relevant transaction costs are immediately recognized in profit or loss for the current period, and transaction costsrelating to other financial liabilities are included in the initial recognition amounts.
① Financial liabilities measured by the fair value and the changes recorded in profit or loss
The classification by which financial liabilities held-for-trade and financial liabilities designed at the initialrecognition to be measured by the fair value follows the same criteria as the classification by which financialassets held-for-trade and financial assets designed at the initial recognition to be measured by the fair value andtheir changes are recorded in the current profit or loss
Transactional financial liabilities (including derivatives belonging to financial liabilities) are subsequentlymeasured according to fair value. Except for hedging accounting, changes in fair value are included in currentprofits and losses.
Financial liabilities designated as financial liabilities that are measured at fair value and their's changes areincluded in current profits and losses. The liabilities are included in other comprehensive gains due to changes infair value caused by changes in the Company's own credit risk, and when the liabilities are terminated, thechanges in fair value caused by changes in its own credit risk of other comprehensive gains are included in thecumulative changes in its fair value caused by changes in its own credit risk of other comprehensive gains. Theamount is transferred to retained earnings. The remaining changes in fair value are included in current profits andlosses. If the above-mentioned way of dealing with the impact of the changes in the credit risk of such financialliabilities will result in or expand the accounting mismatch in the profits and losses, the Company shall include allthe profits or losses of such financial liabilities (including the amount of the impact of the changes in the creditrisk of the enterprise itself) into the current profits and losses.
② Other financial liabilities
In addition to the transfer of a financial asset is not in conformity with the conditions to stop the recognitionor formed by its continuous involvement in the transferred financial asset, financial liabilities and financialguarantee contract of other financial liabilities classified as financial liabilities measured at the amortized cost,measured at the amortized cost for subsequent measurement, recognition has been stopped or amortization of theprofit or loss is included in the current profits and losses.
(3) Recognition basis and measurement methods for transfer of financial assets
Financial assets satisfying one of the following conditions shall be terminated and recognized: ①Thecontractual right to collect the cash flow of the financial asset is terminated; ②The financial asset has beentransferred, and almost all the risks and rewards in the ownership of the financial asset have been transferred tothe transferee; ③The financial asset has been transferred, although the enterprise neither transfers nor retainsalmost all the risks and rewards in the ownership of the financial asset, but it abandoned control of the financialassets.
In case that the enterprise does not transfer or retain almost all risks and rewards on financial assetsownership nor waive to control these assets, relevant financial assets shall be recognized in accordance with thedegree for continued involvement of financial assets transferred and relevant liabilities shall be recognizedcorrespondingly. west bank The term "continuous involvement in the transferred financial asset" shall refer to therisk level that the enterprise faces resulting from the change of the value of the financial asset.
If the overall transfer of the financial assets satisfies the derecognition criteria, the difference between thebook value of the transferred financial assets and the sum of the consideration received from transfer andcumulative change in fair value previously recognized in other comprehensive income is accounted into thecurrent profit or loss.
In case that the partial transfer of financial assets meets de-recognition conditions, the book value offinancial assets transferred shall be allocated as per respective fair value between de-recognized or not de-recognized parts, and the difference between the sum of the consideration received due to transfer with theaccumulated amount of fair value changes that is previously included in other comprehensive income and shall beallocated to de-recognized parts and the aforesaid book amount allocated shall be included in the current profit orloss.
The Company shall determine whether almost all the risks and rewards of the ownership of the financialassets sold by means of recourse or endorsed to transfer the financial assets it holds have been transferred. Ifalmost all the risks and rewards in the ownership of the financial asset have been transferred to the transferee, theconfirmation of the financial asset shall be terminated; if almost all the risks and rewards in the ownership of thefinancial asset have been retained, the confirmation of the financial asset shall not be terminated; if neither thetransfer nor the retention of almost all the risks and rewards in the ownership of the financial asset has been made.In case of remuneration, it shall continue to determine whether the enterprise has retained control over the assetsand conduct accounting treatment in accordance with the principles described in the preceding paragraphs.
(4) Termination confirmation of financial liabilities
If the current obligation of a financial liability (or part thereof) has been discharged, the Company shallterminate the recognition of the financial liability (or part thereof). If the Company (the debtor) signs anagreement with the lender to replace the original financial liabilities by assuming new financial liabilities, and thecontract terms of the new financial liabilities are substantially different from those of the original financialliabilities, it shall terminate the recognition of the original financial liabilities and at the same time confirm a newfinancial liabilities. If the Company substantially amends the contract terms of the original financial liabilities (orpart thereof), it shall terminate the confirmation of the original financial liabilities and at the same time confirm anew financial liabilities in accordance with the revised terms.
If the financial liabilities (or part thereof) are terminated, the difference between their book value and theconsideration paid (including the transferred non-cash assets or liabilities assumed) shall be included in the profitsand losses of the current period.
（5）Offsetting financial assets and financial liabilities
When the Company has a legal right that is currently enforceable to set off the recognized financial assets
and financial liabilities, and intends either to settle on a net basis, or to realize the financial asset and settle thefinancial liability simultaneously, a financial asset and a financial liability shall be offset and the net amount ispresented in the balance sheet. Except for the above circumstances, financial assets and financial liabilities shallbe presented separately in the balance sheet and shall not be offset.
(6) Method for determining the fair value of financial assets and financial liabilitiesFair value refers to the price that a market participant must pay to sell or transfer a liability in an orderlytransaction that occurs on the measurement date. The fair value of financial instruments existing in an activemarket is determined by the Company according to its quoted price in this market. west bank The quoted prices inthe active market refer to the prices, which are easily available from the stock exchanges, brokers, industryassociations, pricing service institutions and etc. at a fixed term, and which represent the prices at which actuallyoccurred market transactions are made under fair conditions.?¨ In can a financial instrument does not exist inactive markets, its fair value shall be determined by the Company with assessment techniques. The value appraisaltechniques mainly include the prices adopted by the parties, who are familiar with the condition, in the latestmarket transaction upon their own free will, the current fair value obtained by referring to other financialinstruments of the same essential nature, the cash flow capitalization method and the option pricing model, etc. Invaluation, the Company adopts valuation techniques that are applicable in the current situation and supported bysufficient data and other information to select input values consistent with the characteristics of assets or liabilitiesconsidered by market participants in the transactions of related assets or liabilities, and give priority to the use ofrelevant observable input values as far as possible. Unallowable values are used if the relevant observable inputvalues are not available or are not practicable.
（7）Equity instruments
An equity instrument is any contract that evidences a residual interest in the assets of the Company afterdeducting all of its liabilities. The consideration received from issuing equity instruments, net of transaction costs,are added to shareholders’ equity. All types of distribution (excluding stock dividends) made by the Company toholders of equity instruments are deducted from shareholders’ equity.The dividends (including "interest" generated by the tools classified as equity instruments) distributed by theCompany's equity instruments during the period of their existence shall be treated as profit distribution.
10. Impairment of financial instruments
The Company requires to confirm that the financial assets lost by impairment are financial assets measuredby amortized cost, investment in debt instruments and lease receivables which are measured at fair value andwhose changes are included in other comprehensive gains, mainly including notes receivable, accounts receivable,other receivables, creditor's rights investment, other creditor's rights investment and long-term receivables and etc.In addition, provision for impairment and confirmation of credit impairment losses are also made for contractassets and some financial guarantee contracts in accordance with the accounting policies described in this section.
(1) Method of confirming impairment provision
Based on anticipated credit loss, the Company calculates impairment preparation and confirms creditimpairment loss according to the applicable anticipated credit loss measurement method (general method orsimplified method).
Credit loss refers to the difference between the cash flow of all contracts discounted according to theoriginal real interest rate and the expected cash flow of all contracts receivable according to the contract, that is,the present value of all cash shortages. Among them, the Company discounts the financial assets purchased ororiginated with credit impairment at the actual interest rate adjusted by credit.
The general method of measuring anticipated credit loss is whether the credit risk of the Company's
financial assets (including other applicable items such as contract assets, similarly hereinafter) has increasedsignificantly since the initial recognition on each balance sheet day. If the credit risk has increased significantlysince the initial recognition, the Company shall measure the loss preparation according to the amount equivalentto the expected credit loss in the whole duration. If the credit risk has not increased significantly since the initialrecognition, the Company shall measure the loss preparation according to the amount equivalent to the expectedcredit loss in the next 12 months. The Company shall consider all reasonable and evidenced information,including forward-looking information, when evaluating expected credit losses.Assuming that their credit risk has not increased significantly since the initial recognition, the Company maychoose to measure the loss reserve according to the expected credit loss in the next 12 months for financialinstruments with low credit risk on the balance sheet date.
(2) Criteria for judging whether credit risk has increased significantly since the initial recognitionIf the probability of default of a financial asset on the estimated duration of the balance sheet is significantlyhigher than the probability of default during the estimated duration of the initial recognition, the credit risk of thefinancial asset is significantly increased. Except for special circumstances, the Company uses the change ofdefault risk in the next 12 months as a reasonable estimate of the change of default risk in the entire duration todetermine whether the credit risk has increased significantly since the initial recognition.
(3) A portfolio-based approach to assessing expected credit risk
The Company shall evaluate the credit risk of financial assets with distinct differences in credit risk, such asthe related party's receivables, the receivables in dispute with the other party or involving litigation and arbitration,and receivables that has been proved that the debtor may not be able to fulfill the obligation of repayment, etc.In addition to the financial assets that assess credit risk individually, the Company shall divide financialassets into different groups based on common risk characteristics, and assess credit risk on the basis of portfolio.
(4) Accounting treatment of impairment of financial assets
At the end of the duration, the Company shall calculate the anticipated credit losses of various financialassets. If the anticipated credit losses are greater than the book value of its current impairment provision, thedifference is deemed as impairment loss. If the balance is less than the book value of the current impairmentprovision, the difference is deemed as impairment profit.
(5) Method of determining credit losses of various financial assets
①Receivable Account and Contract assets
In regard to receivables without significant financing components, the Company shall measure losspreparation according to the amount of anticipated credit loss equivalent to the entire duration.
In regard to accounts receivable with significant financing components, the Company shall choose tomeasure loss preparation according to the amount equivalent to the expected credit loss within the duration all thetime.
In addition to the accounts receivable that assesses the credit risk individually, receivables are divided intodifferent portfolios based on their credit risk characteristics:
| Items | Basis for determining combination: |
| Protfolio 1：Aging protfolio | This portfolio is characterized by the aging of receivables as a credit risk. |
| Portfolio 2：Quality Guarantee portfolio | This portfolio is the contract quality guarantee fund and other funds |
For the above portfolio 1, the measurement method of bad debts reserve is the aging analysis method,specifically as follows：
| Aging | Proportion （%） |
| Within 1 year（Including 1 year） | 0 |
| 1-2 years | 10 |
| 2-3 years | 30 |
| 3-4 years | 50 |
| 4-5 years | 90 |
| Over 5 years | 100 |
For the guarantee fund portfolio of portfolio 2, no provision for bad debts shall be made unless there isobjective evidence that the money cannot be recovered according to the original terms of accounts receivable andcontract assets.
②Other receivable
The Company has measured the impairment loss based on the amount of expected credit losses in the next12 months or the entire duration, based on whether the credit risk of other receivables has increased significantlysince the initial recognition. In addition to the other accounts receivable which assesses the credit risk individually,they are divided into different portfolios based on their credit risk characteristics:
| Items | Basis for determining combination: |
| Protfolio 1 | This portfolio is a collection of various deposits, advances, pledges and other receivables in daily activities. |
| Protfolio 2 | This portfolio is a reserve fund borrowed by employees in their daily business activities. |
| Protfolio 3 | Other receivables other than the above portfolio. |
Combination of deposit, quality assurance fund and deposit and reserve fund combination except forobjective evidence that the Group will not be able to recover the amount according to the original terms ofreceivables, will not normally be accrued for bad debt reserves. The measurement method of bad debt reserves forother combinations is aging analysis, and the accrual proportion is the same as accounts receivable.
③ Creditor's rights investment
Creditor's rights investment mainly accounts for bond investment measured by amortized cost, etc. TheCompany has measured the impairment loss based on the amount of expected credit losses in the next 12 monthsor the entire duration, based on whether the credit risk has increased significantly since the initial recognition. TheCompany adopts the method of evaluating credit risk with individual assets for creditor's rights investment.
11.Contract assets and Contract liabilities
In the contract between the Company and customers, the Company has the right to charge the contract pricefor the goods and related services that have been transferred to customers, and meanwhile undertake theperformance obligation of transferring the goods or services to customers. When the customer actually pays thecontract consideration or the enterprise has transferred the goods or services to the customer before theconsideration becomes due and payable, the right to receive the consideration due to the transferred goods orservices shall be listed as contract assets, and recognized as accounts receivable or long-term receivables when theunconditional right of collection is obtained. `In the contract between the Company and customers, the Company has the right to receive the contractconsideration before transferring the goods or services to customers, and in the meantime list the obligation totransfer goods or services to customers due to the consideration received or receivable from customers ascontractual liabilities. When the Company fulfills its obligation to transfer goods or provide services to customers,the contractual liabilities are recognized as income.The Company shall list the contract assets and liabilities under the same contract in net amount.
12. Long-term equity investments
(1) Initial measurement
The Company makes initial measurement of long-term equity investment in the following two situations:
① The initial investment cost of long-term equity investment formed by business combination shall bedetermined in accordance with the following provisions:
A. In a business combination under the same control, if the combining party pays cash, transfers non-cashassets or assumes debts as the combination consideration, the share of the book value of the owner's equity of themerged party in the consolidated financial statements of the final controlling party shall be taken as the initialinvestment cost of long-term equity investment on the combination date. The difference between the initialinvestment cost of long-term equity investment and the cash paid, the transferred non-cash assets and the bookvalue of the debts undertaken is adopted to adjust the capital reserve; If the capital reserve is insufficient to offset,the retained earnings shall be adjusted. All directly related expenses incurred for business combination, includingaudit fees, evaluation fees, legal service fees, etc., are included in the current profits and losses when they occur.
B. In the business combination not under the same control, the Company determines the combination cost bydistinguishing the following situations:
a) For business combination realized by one exchange transaction, the cost of combination is the fair value ofassets paid, liabilities incurred or assumed in order to gain control over the purchased party on the purchase date;
b) For business combination realized step by step through multiple exchange transactions, the sum of thebook value of the equity investment of the purchased party held before the purchase date and the new investmentcost on the purchase date shall be taken as the initial investment cost of the investment;
c) Intermediary expenses such as auditing, legal services, evaluation and consultation, and other relatedmanagement expenses incurred for business combination are included in the current profits and losses when theyoccur;
d) If future events that may affect the combination cost are agreed in the combination contract or agreement,if it is estimated that the future events are likely to occur on the purchase date and the amount of impact on thecombination cost can be reliably measured, they will be included in the combination cost.
② Except for the long-term equity investment formed by business combination, the initial investment cost oflong-term equity investment obtained by other means shall be determined in accordance with the followingprovisions:
A. For the long-term equity investment obtained by cash payment, the actual purchase price shall be taken asthe initial investment cost. Initial investment cost includes expenses, taxes and other necessary expendituresdirectly related to obtaining long-term equity investment.
B. For long-term equity investment obtained through exchange of non-monetary assets, the initial investmentcost shall be determined according to Accounting Standards for Business Enterprises No.7-Exchange of Non-monetary Assets.
C. For long-term equity investment obtained through debt restructuring, the initial investment cost shall bedetermined according to Accounting Standards for Business Enterprises No.12-Debt Restructuring.
③ No matter how the long-term equity investment is obtained, when the investment is obtained, the cashdividends or profits included in the paid consideration that have been declared but not yet issued by the investeeare separately accounted as receivable items, which does not constitute the initial investment cost of obtaining thelong-term equity investment.
(2) Subsequent measurement
Long-term equity investment that can be controlled by the investee shall be accounted by the cost method inindividual financial statements. Long-term equity investments that have joint control or significant influence on
the investee shall be accounted by equity method.
① Long-term equity investment accounted by cost method is priced according to the initial investment cost。Adjust the cost of long-term equity investment by adding or recovering investment. Cash dividends or profitsdeclared and distributed by the investee shall be recognized as current investment income.If the initial investment cost of long-term equity investment accounted by equity method is greater than thefair value share of identifiable net assets of the investee, the initial investment cost of long-term equity investmentshall not be adjusted; If the initial investment cost of long-term equity investment is less than the fair value shareof the identifiable net assets of the investee at the time of investment, the difference shall be included in thecurrent profits and losses, and the cost of long-term equity investment shall be adjusted at the same time.After obtaining the long-term equity investment, the investment income and other comprehensive incomeshall be recognized respectively according to the share of the net profit and loss and other comprehensive incomerealized by the invested unit, and the book value of the long-term equity investment shall be adjusted at the sametime; According to the profit or cash dividend declared and distributed by the investee, the book value of long-term equity investment shall be reduced accordingly; The book value of the long-term equity investment isadjusted and included in the owner's equity for other changes in the owner's equity of the investee except netprofit and loss, other comprehensive income and profit distribution. When recognizing the share of the net profitand loss of the investee, the net profit of the investee is recognized after adjustment based on the fair value of theidentifiable net assets of the investee at the time of obtaining the investment. If the accounting policies andaccounting periods adopted by the investee are inconsistent with those of the Company, the financial statements ofthe investee shall be adjusted according to the accounting policies and accounting periods of the Company, andthe investment income and other comprehensive income shall be recognized accordingly. The net loss incurred bythe investee is recognized to be written down to zero by the book value of long-term equity investment and otherlong-term interests that substantially constitute the net investment of the investee, unless the Company is obligatedto bear additional losses. If the investee achieves net profit in the future, the Company will resume the recognitionof the revenue sharing amount after its revenue sharing amount compensates for the unrecognized loss sharingamount.When calculating and recognizing the net profit and loss that should be enjoyed or shared by the investee, theunrealized internal transaction profit and loss with the affiliated enterprise and the joint venture shall be calculatedaccording to the proportion that should be enjoyed, and the part attributable to the Company shall be offset, andthe investment income shall be recognized on this basis. Unrealized internal transaction losses between theCompany and the investee are asset impairment losses, which shall be fully recognized.Part of the company's equity investment in affiliated enterprises is indirectly held through venture capitalinstitutions, mutual funds, trust companies or similar entities including investment-linked insurance funds.Regardless of whether the above entities have a significant impact on this part of investment, the Companychooses to measure this part of indirect investment at fair value and its change is included in profit or loss inaccordance with the relevant provisions of Accounting Standards for Business Enterprises No.22-Recognition andMeasurement of Financial Instruments, and the rest is accounted for by equity method.
② When the Company disposes of long-term equity investment, the difference between its book value andthe actual purchase price shall be included in the current profits and losses. For long-term equity investmentaccounted by equity method, when disposing of the investment, it adopts the same basis as the investee's directdisposal of related assets or liabilities, and accounts for the part originally included in other comprehensiveincome according to the corresponding proportion.
(3) Basis to determine joint control over and significant influence on the investee
Joint control refers to the common control of an arrangement in accordance with the relevant agreement, and
the relevant activities of such arrangement must be unanimously agreed by the participants who share the controlrights before making decisions. Significant influence means that the investor has the right to participate in thedecision-making on the financial and operating policies of the investee, but cannot control or jointly control theformulation of these policies with other parties. When determining whether the investee can be controlled or exertsignificant influence, the potential voting rights factors such as current convertible bonds and current executablewarrants of the investee held by the Company and other parties shall be considered at the same time.
13.Investment Property
The measurement mode of investment propertyThe measurement by the cost methodDepreciation or amortization methodInvestment property is held to earn rentals or for capital appreciation or for both. Investment propertyincludes leased or ready to transfer after capital appreciation land use rights and leased buildings.
（1）The measurement mode of investment property
①Depreciation or amortization method
The estimated service life, net salvage value rate and annual depreciation (amortization) rate of investmentreal estate are listed as follows:
| Type | Estimated service life (years) | Estimated net salvage value rate | Annual depreciation (amortization) rate |
| Land use right | Remaining useful life | ||
| Houses and buildings | 20-30 years | 3%-10% | 3%-4.85% |
② Impairment test method and accounting treatment method
See "30. Asset Impairment" for details of impairment test methods and impairment provision accrualmethods of investment real estate.
(2) Conversion of investment real estate
The Company has conclusive evidence that the use of real estate has changed. When converting investmentreal estate into self-use real estate or inventory, the fair value on the day of conversion is taken as the book valueof self-use real estate, and the difference between fair value and original book value is included in current profitsand losses. When self-use real estate or inventory is converted into investment real estate measured by fair valuemodel, the investment real estate is priced according to the fair value on the conversion day. If the fair value onthe conversion day is less than the original book value, the difference is included in the current profits and losses;If the fair value on the conversion date is greater than the original book value, the difference shall be included inother comprehensive income.
14.Fixed assets
（1）Confirmation conditions
The Company's fixed assets refer to tangible assets held for the production of commodities, provision oflabor services, leasing or operation management, which have a service life of more than one year, and whoseeconomic benefits are likely to be included into the Company and whose costs can be reliably measured.
1）The classification of the fixed asset
The Company's fixed assets include roads and bridges, houses and buildings, machinery and equipment,electronic equipment, transportation tools and other equipment.
（2）Depreciation method
| Type | Depreciation method | Expected useful life(Year) | Residual rate（%） | Annual depreciation rate(%) |
| Guangfo Expressway | Working flow basis | 28 years | 0% | |
| Fokai Expressway-Xiebian to Sanbao Section | Working flow basis | 40 years | 0% | |
| Fokai Expressway-Sanbao to Shuikou Section | Working flow basis | 47.5 years | 0% | |
| Jingzhu Expressway Guangzhu Section | Working flow basis | 30 years | 0% | |
| Guanghui Expressway Co., Ltd. | Working flow basis | 23 years | 0% | |
| House Building | The straight-line method | 20-30 years | 3%-5% | 3.17%-4.85% |
| Machine Equipment | The straight-line method | 3-10 years | 3%-5% | 9.50%-32.33% |
| Transportation Equipment | The straight-line method | 5-8 years | 3%-5% | 11.88%-19.40% |
| Other | The straight-line method | 5 years | 3%-5% | 19.00%-19.40% |
For the fixed assets formed by special reserve expenditure, the special reserve shall be offset according to thecost to form the fixed assets, and the accumulated depreciation of the same amount shall be recognized. The fixedassets will not be depreciated in future periods.According to the nature and usage of fixed assets, the Company determines the service life and estimated netsalvage value of fixed assets. At the end of the year, the service life, estimated net salvage value and depreciationmethod of fixed assets shall be rechecked, and if there is any difference with the original estimate, correspondingadjustments shall be made.
15.Construction-in process
The construction in progress of the Company refers to the plant, equipment and other fixed assets underconstruction, which are accounted for in detail according to the project and recorded according to the actual cost,including direct construction and installation costs and borrowing costs that meet the capitalization conditions.When the construction in progress reaches the scheduled usable state, it will be carried over to fixed assets bytemporary estimation, stop interest capitalization, and start to accrue depreciation according to the determineddepreciation method of fixed assets. After the project is completed and final accounts are made, the originalestimated amount will be adjusted according to the amount of final accounts, but the original accrued depreciationamount will not be adjusted.
16.Borrowing cost
(1) Recognition principle and capitalization period of borrowing cost capitalization
Borrowing costs incurred by the Company can be directly attributed to the purchase, construction orproduction of assets that meet the capitalization conditions, and shall be capitalized when the following conditionsare met at the same time and included in the relevant asset costs:
① Production and expenditure have occurred;
② Borrowing costs have already occurred;
③ The purchase, construction or production activities required to make the assets reach the intended usableor saleable state have started.Capitalization of borrowing costs shall be suspended if the assets that meet the capitalization conditions areabnormally interrupted in the process of purchase, construction or production, and the interruption timecontinuously exceeds 3 months. Borrowing costs incurred during the interruption period are recognized asexpenses and included in the current profits and losses until the purchase and construction of assets or theresumption of production activities. If the interruption is a necessary procedure for the purchased, built orproduced assets that meet the capitalization conditions to reach the intended usable or saleable state, thecapitalization of borrowing costs will continue.
Capitalization of borrowing costs shall be stopped when assets eligible for capitalization are purchased, builtor produced to the intended usable or saleable state. Borrowing costs incurred in the future are recognized asexpenses in the current period.
(2) Calculation method of capitalization amount of borrowing costs
Where a special loan is borrowed for the purpose of purchasing, building or producing assets that meet thecapitalization conditions, it shall be determined by deducting the interest income obtained by depositing unusedloan funds into the bank from the interest expenses actually incurred in the current period of special loan or by theinvestment income obtained by temporary investment.
If the general loan is occupied for the purpose of purchasing, building or producing assets that meet thecapitalization conditions, the interest amount of the general loan that should be capitalized shall be calculated anddetermined according to the weighted average of the accumulated asset expenditure exceeding the special loanportion multiplied by the capitalization rate of the occupied general loan. Capitalization rate is calculated anddetermined according to the weighted average interest rate of general borrowings.
17.Intangible assets
(1) Pricing method, useful life and impairment test
The Company recognizes the identifiable non-monetary assets owned or controlled by the enterprise asintangible assets, which have no physical form, and the estimated future economic benefits related to the assetsare likely to flow into the enterprise and the cost of the assets can be reliably measured.
The intangible assets of the Company are recorded according to the amount actually paid or the determinedvalue.
(1) If the purchase price of intangible assets exceeds the normal credit conditions, which is of financingnature in essence, the cost of intangible assets is determined based on the present value of the purchase price. Thedifference between the actual paid price and the present value of the purchase price shall be included in thecurrent profits and losses within the credit period, except that it should be capitalized according to the regulations.
(2) The intangible assets invested by investors shall be taken as the cost according to the value agreed in theinvestment contract or agreement, unless the value agreed in the contract or agreement is unfair.
Intangible assets with limited service life of the Company shall be amortized on average within the servicelife since the intangible assets are available for use. Intangible assets with uncertain service life are not amortized.The amortization amount of intangible assets is the amount after deducting the estimated salvage value from itscost. For intangible assets for which impairment provision has been made, the accumulated amount of impairmentprovision for intangible assets has to be deducted.
The amortization period of intangible assets with limited service life is as follows:
| Type | Amortization period |
| Land use right | Remaining useful life |
| Software | 3-5 years |
| Toll road franchises | Operating period for residual charges |
（2）The expenditure of internal research and development projects
Research refers to an original and planned investigation to acquire and understand new scientific or technicalknowledge. Development refers to the application of research results or other knowledge to a plan or design toproduce new or substantially improved materials, devices and products before commercial production or use.Expenditures during the research phase of internal research and development projects are included in thecurrent profits and losses when they occur. Expenditures in the development stage of internal research anddevelopment projects that meet the following conditions are recognized as intangible assets: it is technicallyfeasible to complete the intangible assets so that they can be used or sold; Have the intention to complete theintangible assets and use or sell them; The ways in which intangible assets generate economic benefits, includingthose that can prove that there is a market for products produced by using the intangible assets or that theintangible assets themselves exist in the market, and that the intangible assets will be used internally, should provetheir usefulness; Have sufficient technical, financial and other resources to complete the development of theintangible assets and have the ability to use or sell the intangible assets; Expenditures attributable to thedevelopment stage of the intangible assets can be measured reliably.
18. Long-term amortizable expenses
Long-term deferred expenses are recorded according to the actual amount incurred, and are amortizedequally in installments during the benefit period or within the prescribed period. If the long-term prepaid expenseitem cannot benefit the future accounting period, the amortized value of the item that has not been amortized willbe transferred to the current profits and losses.
19. Employee Benefits
Employee compensation refers to various forms of remuneration or compensation given by the Company forobtaining services provided by employees or dissolving labor relations. Employee compensation includes short-term salary, post-employment benefits, dismissal benefits and other long-term employee benefits. Benefitsprovided by the Company to spouses, children, dependents, survivors of deceased employees and otherbeneficiaries of employees are also employee compensation.
（1）Accounting methods of short-term benefits
During the accounting period when employees provide services, the Company recognizes the actual short-termsalary as a liability, which is included in the current profits and losses, except that other accounting standardsrequire or allow it to be included in the cost of assets.
(2) Accounting methods for post-employment benefits
The Company classifies the post-employment benefit plan into defined contribution plan and defined benefitplans. Post-employment benefit plan refers to the agreement reached between the Company and employees onpost-employment benefits, or the rules or measures formulated by the Company to provide post-employmentbenefits to employees, among which the set deposit plan refers to the post-employment welfare plan in which theCompany no longer undertakes further payment obligations after paying a fixed fee to an independent fund;
Defined benefit plans refers to the post-employment benefit plan except the set-up deposit plan.
(3) Accounting Treatment Method of Demission Welfare
If the Company provides dismissal benefits to employees, the employee compensation liabilities arising fromthe dismissal benefits shall be recognized as soon as possible and included in the current profits and losses: whenthe company cannot unnaturally withdraw the dismissal benefits provided by the termination of labor relationsplan or reduction proposal; when the Company recognizes the costs or expenses related to the reorganizationinvolving the payment of dismissal benefits.
（4）Other long-term employee benefits
If other long-term employee benefits provided by the Company to employees meet the conditions of the setdeposit plan, they shall be handled according to the accounting policies of the set deposit plan mentioned above;Otherwise, the net liabilities or net assets of other long-term employee benefits shall be recognized and measuredin accordance with the accounting policies of defined benefit plans mentioned above.
20.Estimated liabilities
(1) Recognition criteria of estimated liabilities
If the obligations related to contingencies stipulated by the Company meet the following conditions at thesame time, they are recognized as estimated liabilities:
① The obligations are the current obligations undertaken by the enterprise;
② Fulfilling the obligations is likely to cause economic benefits to flow out of the enterprise;
③ The amount of the obligations can be measured reliably.
(2) Measurement method of estimated liabilities
Estimated liabilities are initially measured according to the best estimate of expenditure required to fulfillrelevant current obligations. There is a continuous range of required expenditure, and the possibility of occurrenceof various results in this range is the same, and the best estimate is determined according to the intermediate valuein this range. In other cases, the best estimates are treated as follows:
① Contingencies involving a single item shall be determined according to the most probable amount.
② Contingencies involving multiple items shall be calculated and determined according to various possibleresults and relevant probabilities.
When determining the best estimate, the risk, uncertainty and time value of money related to contingenciesshall be considered comprehensively. If the time value of money has great influence, the best estimate isdetermined by discounting the related future cash outflow.
If all or part of the expenses required by the Company to pay off the estimated liabilities are expected to becompensated by a third party, the compensation amount can be recognized as an asset only when it is basicallyconfirmed that it can be received. The recognized compensation amount shall not exceed the book value of theestimated liabilities.
The Company rechecks the book value of the estimated liabilities on the balance sheet date. If there isconclusive evidence that the book value cannot truly reflect the current best estimate, the book value shall beadjusted according to the current best estimate.
21. Revenues
Accounting policies adopted for income recognition and measurement
(1) Revenue recognition principle
Since the starting date of the contract, the company shall evaluate the contract, identifies each individualperformance obligation contained in, and determines whether each individual performance obligation isperformed within a certain period of time or at a certain point of time.The performance obligation is defined as fulfillment within a certain period of time if one of the followingconditions is met, otherwise, it is defined as fulfilled at a certain point in time: ① The customer obtains andconsumes the economic benefits brought by the company's performance while the company performs the contract;
② The customer can control the goods under manufacturing or services during the company's performance; ③The goods or services produced during the company's performance have irreplaceable uses, and the company hasthe right to accumulate for the completed performances during the entire contract period.
For obligations performed within a certain period of time, the company recognizes revenue in accordancewith the performance progress in that period. If the performance progress cannot be reasonably determined, andthe cost incurred is expected to be compensated, the revenue shall be recognized according to the amount of thecost incurred until the performance progress can be reasonably determined. For obligations performed at a certainpoint in time, revenue shall be recognized at the point when the customer obtains control of the relevant goods orservices. When judging whether the customer has obtained control of the product, the company shall consider thefollowing points: ① The company has the current right to receive payment for the product, that is, the customerhas the current payment obligation for the product; ② The company has transferred the legal ownership of theproduct to the customer, that is, the customer has the legal ownership of the product; ③ The company hastransferred the physical product to the customer, that is, the customer has physically taken possession of theproduct; ④ The company has transferred the main risks and rewards on the ownership of the product to thecustomer, that is, the customer has obtained the main risks and rewards on the ownership of the product; ⑤ Thecustomer has accepted the product; ⑥ Other signs that the customer has obtained control of the product.
(2) Principle of revenue measurement
① The company shall measure revenue based on the transaction price allocated to each individualperformance obligation. The transaction price is the amount of consideration that the company expects to beentitled to receive due to the transfer of goods or services to customers, while does not include payments receivedon behalf of third parties and payments expected to be returned to customers.
② If there is variable consideration in the contract, the company shall determine its best estimate accordingto the expected value or the most likely amount, but the transaction price including the variable consideration shallnot exceed the accumulated amount that, if relevant uncertainty is eliminated, will most likely have no significantreversal.
③ If there is any significant financing component in the contract, the company shall determine thetransaction price based on the amount payable in cash when the customer assumes control of the goods or services.The difference between transaction price and contract consideration shall be amortized through effective interestmethod during the contract period. On the starting date of contract, if the company expects that the customer willobtain control of the goods or services and pays the price within one year, the significant financing component incontract shall not be considered.
④ If the contract contains two or more performance obligations, the company shall, on date of the contract,allocate the transaction price to each individual obligation item in accordance with the relative proportion of theseparate selling price of promised goods.
The adoption of different business models in similar businesses leads to differences in accounting policies forrevenue recognition
(3) Specific methods of revenue recognition
(1) Toll service fee income
The toll income of roads and bridges is determined according to the amount collected and receivable byvehicles when passing through.
(2) Income from providing labor services
For services started and completed in the same fiscal year, income is recognized when the services arecompleted. If the beginning and completion of labor services belong to different fiscal years, the Company shall,on the balance sheet date, recognize the related labor income by the percentage of completion method, providedthat the result of the labor service transaction can be reliably estimated. When the following conditions can besatisfied, the results of the transaction can be reliably estimated: ① the total income and total cost of laborservices can be reliably measured; ② the economic benefits related to the transaction can flow into the enterprise;
（4） the degree of completion of labor services can be reliably determined.
For services started and completed in the same fiscal year, income is recognized when the services arecompleted. If the beginning and completion of labor services belong to different fiscal years, the Company shall,on the balance sheet date, recognize the related labor income by the percentage of completion method, providedthat the result of the labor service transaction can be reliably estimated. When the following conditions can besatisfied, the results of the transaction can be reliably estimated: ① the total income and total cost of laborservices can be reliably measured; ② the economic benefits related to the transaction can flow into the enterprise;
If the transaction result of providing labor services on the balance sheet date cannot be estimated reliably, thefollowing situations shall be dealt with respectively:
① If the labor cost already incurred is expected to be compensated, the income from the service shall berecognized according to the amount of the labor cost already incurred, and the labor cost shall be carried over atthe same amount.
② If the incurred labor cost is not expected to be compensated, the incurred labor cost shall be included inthe profits and losses of the current period, and the income from the provision of labor service shall not berecognized.
When the contracts or agreements signed between the Company and other enterprises include selling goodsand providing services, if the part for selling goods and the part for providing services can be distinguished andmeasured separately, the part for selling goods will be treated as goods sales and the part for providing serviceswill be treated as service provision. Sales of goods and services can not be distinguished, or although they can bedistinguished, they can not be measured separately. All parts for the selling goods and providing services will betreated as sales of goods.The adoption of different business models in similar businesses leads to differences in accounting policies forincome recognitionNone
22. Government Grants
Government subsidies are recognized when they meet the conditions attached to government subsidies andcan be received.
Government subsidies for monetary assets shall be measured according to the amount received or receivable.Government subsidies for non-monetary assets are measured at fair value; If the fair value cannot be obtainedreliably, it shall be measured according to the nominal amount of 1 yuan.
Government subsidies related to assets refer to government subsidies obtained by the Company forpurchasing and building or forming long-term assets in other ways; Otherwise, as a government subsidy related toincome.
Where the government documents do not specify the object of the subsidy, and the subsidy can form long-term assets, the part of the government subsidy corresponding to the value of the assets shall be regarded as the
government subsidy related to the assets, and the rest shall be regarded as the government subsidy related to theincome; Where it is difficult to be distinguished, government subsidies as a whole are treated as income-relatedgovernment subsidies.
Government subsidies related to assets offset the book value of related assets, or are recognized as deferredrevenue and included in profits and losses by stages according to a reasonable and systematic method within theservice life of related assets. Government subsidies related to income, which are used to compensate related costsor losses that have occurred, shall be included in current profits and losses or offset related costs; If they are usedto compensate related costs or losses in later periods, they will be included in the deferred revenue, and they willbe included in the current profits and losses or offset related costs during the recognition period of related costs orlosses. Government subsidies measured in nominal amount are directly included in current profits and losses. TheCompany adopts a consistent approach to the same or similar government subsidy business.Government subsidies related to daily activities, according to the essence of economic business, are includedin other income or offset related costs. Government subsidies irrelevant to routine activities shall be included intothe non-operating receipt and disbursement.When the recognized government subsidy needs to be returned, if the book value of related assets is offsetduring initial recognition, the book value of assets will be adjusted; If there is a relevant deferred revenue balance,the book balance of the relevant deferred revenue will be offset, and the excess will be included in the currentprofits and losses; In other cases, it is directly included in the current profits and losses.
23.Deferred income tax assets and deferred income tax liabilities
The Company adopts the balance sheet liability method for income tax accounting treatment.
(1) Deferred tax assets
① If there is a deductible temporary difference between the book value of an asset or liability and its taxbasis, the deferred income tax assets generated by the deductible temporary difference shall be calculated andconfirmed according to the applicable tax rate during the expected period of recovering the asset or paying off theliability.
② On the balance sheet date, if there is conclusive evidence that sufficient taxable income is likely to beobtained in the future period to offset the deductible temporary difference, the unrecognized deferred income taxassets in the previous period shall be recognized.
③ On the balance sheet date, the book value of deferred income tax assets shall be reviewed. If it is unlikelythat enough taxable income will be obtained in the future period to offset the benefits of deferred income taxassets, the book value of deferred income tax assets will be written down. When sufficient taxable income is likelyto be obtained, the written-down amount will be reversed.
(2) Deferred income tax liabilities
If there is a taxable temporary difference between the book value of assets and liabilities and their tax basis,the deferred income tax liabilities arising from the taxable temporary difference shall be recognized according tothe applicable tax rate during the expected period of recovering the assets or paying off the liabilities.
24,Lease
(1) Identification of lease
On the commencement date of the contract, the Company, as the lessee or lessor, evaluates whether thecustomers in the contract have the right to obtain almost all economic benefits arising from the use of theidentified assets during the use period, and has the right to lead the use of the identified assets during the use
period. If one party to the contract transfers the right to control the use of one or multiple identified assets within acertain period of time in exchange for consideration, the Company will consider the contract as lease or lease-included.
（2）The Company as the lessee
On the start date of the lease term, the Company recognizes the right-to-use assets and lease liabilities for allleases, except for short-term leases and low-value asset leases that are simplified.The accounting policy of the right-to-use assets is shown in Note V. 25.
Lease liabilities are initially measured according to the unpaid lease payment amount on the start date of thelease term and the present value calculated according to the implied interest rate of the lease or the incrementalborrowing interest rate. The lease payment amount includes: fixed payment amount and substantial fixed paymentamount. If there is lease incentive, the related amount of lease incentive shall be deducted; variable leasepayments depending on index or ratio; the exercise price of the option, provided that the lessee reasonablydetermines that the option will be exercised; payment for exercising the option to terminate the lease, providedthat the lease period reflects that the lessee will exercise the option to terminate the lease; and the amountexpected to be paid according to the residual guarantee value provided by the lessee. The interest expense of thelease liability in each period of the lease term shall be calculated subsequently according to the fixed periodicinterest rate, and included in the current profit and loss. Variable lease payments that are not included in themeasurement of lease liabilities are included in the current profits and losses when actually incurred.
Short-term lease
Short-term lease refers to the lease with a lease term of no more than 12 months on the start date of the leaseterm, except for the lease with purchase option.
The Company includes the lease payment of short-term lease into the related asset cost or current profit andloss according to the straight-line method in each period of the lease term.
Low-value asset lease
Low-value asset lease refers to the lease in which the value of a single leased asset is less than RMB 100,000when it is brand new.
The Company includes the lease payment of low-value assets into the related asset cost or current profit andloss according to the straight-line method in each period of the lease term.
For the lease of low-value assets, the Company chooses to adopt the simplified treatment method mentionedabove according to the specific conditions of each lease.
(3) The Company serves as the lessor
The Company, when as the lessor, recognizes the leases that have substantially transferred all risks andrewards related to asset ownership as financial leases, and other leases except financial leases as operating leases.
Accounting methods for operating leases
For the rent in the operating lease, the Company recognizes the current profits and losses according to thestraight-line method in each period of the lease term. The initial direct expenses incurred in connection with theoperating lease shall be capitalized, allocated on the same basis as the rental income recognition during the leaseterm, and included in the current profits and losses by stages. The variable lease payments obtained related tooperating leases that are not included in the lease receipts are included in the current profits and losses when theyactually occur.
Accounting treatment method of leasing
In financing lease, at the beginning of the lease term, Japanese companies take the net investment in leasingas the recorded value of the financing lease receivable, and the net investment in leasing is the sum of theunsecured residual value and the present value of the lease proceeds that have not yet been received on the start
date of the lease term discounted according to the implied interest rate of the lease. As the lessor, the Companycalculates and recognizes the interest income of each period in the lease term according to the fixed periodicinterest rate. The variable lease payments obtained by the Company as the lessor that are not included in themeasurement of net lease investment are recorded into the current profits and losses when they actually occur.
The derecognition and impairment of financial lease receivables shall be treated according to the provisionsof Accounting Standards for Business Enterprises No.22-Recognition and Measurement of Financial Instrumentsand Accounting Standards for Business Enterprises No.23-Transfer of Financial Assets.
25.The right to use assets
(1) Conditions for recognition of the right-to-use assets
The Company's right-to-use assets refers to the right of the Company as the lessee to use the leased assetsduring the lease term.
On the start date of the lease term, the right-to-use assets are initially measured at cost. The cost includes:
The initial measurement amount of lease liabilities; if there is lease incentive for the lease payment issued on orbefore the start date of the lease term, the amount related to the lease incentive enjoyed shall be deducted; initialdirect expenses incurred by the Company as the lessee; the estimated costs that the Company as the lessee willincur for dismantling and removing the leased assets, restoring the leased assets' site or restoring the leased assetsto the state agreed in the lease terms. The Company, as the lessee, recognizes and measures the demolition andrestoration costs in accordance with the Accounting Standards for Business Enterprises No.13-Contingencies. Itmakes subsequent adjustments to any remeasurement of lease liabilities.
(2) Depreciation method of right-to-use assets
The Company adopts the straight-line method to accrue depreciation. If the Company as the lessee can bereasonably determined that the ownership of the leased asset is acquired at the expiration of the lease term, it shallaccrue depreciation within the remaining service life of the leased asset. If it is impossible to reasonably determinethat the ownership of the leased asset can be acquired at the expiration of the lease term, it shall accruedepreciation within the shorter of the lease term and the remaining service life of the leased asset.
(3) See "27. Impairment of Assets" in "Section V Important Accounting Policies and Accounting Estimates"for the impairment test method and the provision method for impairment of right-to-use assets.
26. Impairment of assets
The following signs indicate that the assets may be impaired:
(1) The market price of assets fell sharply in the current period, which was significantly higher than theexpected decline due to the passage of time or normal use.
(2) The economic, technical or legal environment in which the Company operates and the market in whichthe assets are located have undergone major changes in the current period or in the near future, which will haveadverse effects on the Company.
(3) The market interest rate or other market return on investment has increased in the current period, whichaffects the discount rate used by enterprises to calculate the present value of the estimated future cash flow ofassets, resulting in a significant decrease in the recoverable amount of assets.
(4) There is evidence that the assets are outdated or their entities have been damaged.
(5) Assets have been or will be idle, terminated or planned to be disposed of in advance.
(6) The evidence reported by the company shows that the economic performance of assets has been or willbe lower than expected, such as the net cash flow created by assets or the realized operating profit (or loss) is farlower than the expected amount.
(7) Other indications that assets may have been impaired.
On the balance sheet date, the Company judges various assets that are applicable to the AccountingStandards for Business Enterprises No.8-Impairment of Assets, such as long-term equity investment, fixed assets,engineering materials, construction in progress, intangible assets (except those with uncertain service life), andconducts impairment test when there are signs of impairment-estimating their recoverable amount. Therecoverable amount is determined by the higher of the net amount of the fair value of the asset minus the disposalexpenses and the present value of the estimated future cash flow of the asset. If the recoverable amount of an assetis lower than its book value, the book value of the asset shall be written down to the recoverable amount, and thewritten-down amount shall be recognized as the asset impairment loss, which shall be included in the currentprofits and losses, and the corresponding asset impairment reserve shall be accrued at the same time.If there are signs that an asset may be impaired, the Company usually estimates its recoverable amount on thebasis of individual assets. When it is difficult to estimate the recoverable amount of a single asset, the recoverableamount of the asset group is determined based on the asset group to which the asset belongs.Asset group is the smallest asset portfolio that can be recognized by the Company, and its cash inflow isbasically independent of other assets or asset groups. The asset group consists of assets related to cash inflow. Theidentification of asset group is based on whether the main cash inflow generated by asset group is independent ofother assets or cash inflow of asset group.The Company conducts impairment test every year for intangible assets with uncertain goodwill and servicelife formed by business combination and not yet in serviceable condition, regardless of whether there is any signof impairment. The impairment test of goodwill is carried out in combination with its related asset group orcombination of asset groups.Once the asset impairment loss is confirmed, it will not be reversed in the following accounting period.
27. Fair value measurement
Fair value refers to the price that a market participant must pay to sell or transfer a liability in an orderlytransaction that occurs on the measurement date.
The Company measures related assets or liabilities at fair value, assuming that the orderly transaction ofselling assets or transferring liabilities is conducted in the main market of related assets or liabilities; If there is nomajor market, the Company assumes that the transaction will be conducted in the most favorable market of relatedassets or liabilities. The main market (or the most favorable market) is the trading market that the Company canenter on the measurement day. The Company adopts the assumptions used by market participants to maximizetheir economic benefits when pricing the assets or liabilities.
When measuring non-financial assets at fair value, the ability of market participants to use the assets for thebest purpose to generate economic benefits or the ability to sell the assets to other market participants for the bestpurpose to generate economic benefits shall be considered.
The Company adopts the valuation technology which is applicable in the current situation and supported bysufficient available data and other information, and gives priority to the relevant observable input values, and onlyuses the unobservable input values when the observable input values are unavailable or impractical.
For assets and liabilities measured or disclosed at fair value in financial statements, it shall determine the fairvalue level according to the lowest level input value which is of great significance to fair value measurement as awhole: the first-level input value is the unadjusted quotation of the same assets or liabilities that can be obtainedon the measurement date in an active market; The second-level input value is directly or indirectly observableinput values of related assets or liabilities except the first-level input value; The third level input value is theunobservable input value of related assets or liabilities.
On each balance sheet date, the Company reassesses the assets and liabilities recognized in the financialstatements that are continuously measured at fair value to determine whether there is a conversion between thefair value measurement levels.
28.Change of main accounting policies and estimations
(1)Change of main accounting policies
?Applicable □Not applicable
| The content and reasons for the change in accounting policies | Approval process | Remark |
| On November 30, 2022, the Ministry of Finance issued the No. 16 Interpretation of Accounting Standards for Business Enterprises (No. 31 [2022] Cai Hui).According to the provisions of the No. 16Interpretation, for lease transactions in which the lessee initially recognizes lease liabilities and includes them in right-of-use assets on the beginning date of the lease period, the taxable temporary differences and deductible temporary differences arising from the initial recognition of assets and liabilities in the transaction shall be in accordance with the relevant provisions of Accounting Standard for Business Enterprises No. 18 - Income Tax and other relevant provisions, and the corresponding deferred tax liabilities and deferred tax assets are recognized separately at the time of the transaction by enterprises. | Adopted by resolution by the seventh meeting of the 10th Board of Directors on March 20, 2023. | The Company implements the relevant provisions of the No. 16 Interpretation from January 1, 2023. |
On November 30, 2022, the Ministry of Finance issued the No. 16Interpretation of Accounting Standardsfor Business Enterprises (No. 31[2022]Cai Hui) (hereinafter referred to as "No. 16Interpretation"). Adopted bythe resolution of the seventh meeting of the 10th Board of Directors of the Company on March 20, 2023, theCompany implements the relevant provisions of the No. 16Interpretation from January 1, 2023.
According to the No. 16Interpretation, for a lease transaction in which the lessee recognizes lease liabilitiesand includes them in right-of-use assets on the beginning date of the lease period, the taxable temporarydifferences and deductible temporary differences arising from the initial recognition of assets and liabilities inthe transaction shall be in accordance with the relevant provisions of Accounting Standard for BusinessEnterprises No. 18 - Income Tax and other relevant provisions, and the corresponding deferred tax liabilitiesand deferred tax assets are recognized separately at the time of the transaction by enterprises.The impact of the implementation of the above regulation on the financial statement for the year ended January1, 2023 and for comparable periods is as follows:
1). Impact on consolidated financial statement
In RMB
| Items | December 312022/January -June 2022（Before the change） | January 1,2023/January-June 2022（after change） | Influence number |
| Long term share equity investment | 2,923,368,667.84 | 2,923,305,042.30 | -63,625.54 |
| Deferred income tax assets | 128,179,543.02 | 129,044,978.46 | 865,435.44 |
| Deferred income tax liability | 306,806,527.72 | 307,825,916.58 | 1,019,388.86 |
| Retained profit | 4,698,247,435.40 | 4,698,029,354.08 | -218,081.32 |
| Minority shareholders’ equity | 2,293,019,517.51 | 2,293,020,019.87 | 502.36 |
| Investment income | 162,384,354.53 | 162,320,728.99 | -63,625.54 |
| Income tax expenses | 290,240,426.63 | 290,224,512.53 | -15,914.10 |
2).Impact on Parent company financial statement
In RMB
| Items | December 31,2022/January-June 2022（（Before the change） | January 1,2023/January-June 2022（after change） | Influence number |
| Long term share equity investment | 6,096,479,269.50 | 6,096,415,643.96 | -63,625.54 |
| Deferred income tax assets | 122,968,519.19 | 123,579,950.33 | 611,431.14 |
| Deferred income tax liability | 61,217,804.42 | 61,985,198.42 | 767,394.00 |
| Retained profit | 4,723,852,770.46 | 4,723,633,182.06 | -219,588.40 |
| Investment income | 791,745,612.18 | 791,681,986.64 | -63,625.54 |
| Income tax expenses | 54,008,183.42 | 54,001,197.13 | -6,986.29 |
（2）Significant estimates changes
□Applicable √Not applicable
（3）The information of the adjusting items related to the financial statements at the beginning of the year offirst implementation due to the first implementation of new accounting standards from 2023.Adjustmentdescription?Applicable □Not applicableNoteOn November 30,2022, the Ministry of Finance issued the No. 16Interpretation of Accounting Standardsfor Business Enterprises (No. 31[2022]Cai Hui) (hereinafter referred to as "No. 16Interpretation"). According tothe relevant requirements of No.16, the company shall make adjustments to the relevant accounting policiesadopted accordingly.VI. Taxation
1. Major category of taxes and tax rates
| Tax category | Tax basis | Tax rate |
| VAT | Taxable income | 3%,5%,6%,9%,13% |
| City maintenance and construction tax | The actual payment of turnover tax | 5%,7% |
| Enterprise income tax | Taxable income | 25% |
| Education Fee Surcharge | The actual payment of turnover tax | 3% |
| Local education surcharge | The actual payment of turnover tax | 2% |
The disclosure on the rate of income tax of taxpayers in different enterprises is stated below
None
2.Preferential tax treatment
None
VII. Notes on major items in consolidated financial statements of the Company
1. Monetary funds
In RMB
| Items | Amount in year-end | Balance Year-beginning |
| Cash | 56,693.11 | 43,420.71 |
| Bank deposit | 5,275,421,651.44 | 4,285,350,107.61 |
| Among them: Deposits with financial companies | 2,824,451,248.42 | 2,389,294,052.10 |
| Other monetary funds | 516,123.20 | 515,903.01 |
| Interest receivable | 8,855,524.15 | 4,672,059.45 |
| Total | 5,284,849,991.90 | 4,290,581,490.78 |
Other note1）. As of June 30, 2023, the interest receivable is RMB8,855,524.15 from interest accrued on seven-day calldeposits.2）.As of June 30,2023,The balance of restricted bank deposits at the end of the period was 1,221,200.00 yuan,which was the land reclamation fund deposited into the fund custody account for the reconstruction and expansionproject of Sanbao to Shuikou section of Fokai Expressway.
2. Account receivable
1.Classification account receivables.
In RMB
| Category | Amount in year-end | Balance Year-beginning | ||||||||
| Book Balance | Bad debt provision | Book value | Book Balance | Bad debt provision | Book value | |||||
| Amount | Proportion(%) | Amount | Proportion(%) | Amount | Proportion(%) | Amount | Proportion(%) | |||
| Accrual of bad debt provision by single | 3,143,664.00 | 2.74% | 3,143,664.00 | 100.00% | 3,143,664.00 | 2.80% | 3,143,664.00 | 100.00% | ||
| Including： | ||||||||||
| Accrual of bad debt provision by portfolio | 111,455,816.08 | 97.26% | 2,593,346.23 | 2.33% | 108,862,469.85 | 109,016,714.23 | 97.20% | 647,916.67 | 0.59% | 108,368,797.56 |
| Including： | ||||||||||
| Aging portfolio | 111,455,816.08 | 97.26% | 2,593,346.23 | 2.33% | 108,862,469.85 | 109,016,714.23 | 97.20% | 647,916.67 | 0.59% | 108,368,797.56 |
| Other | ||||||||||
| Total | 114,599,480.08 | 5,737,010.23 | 108,862,469.85 | 112,160,378.23 | 3,791,580.67 | 108,368,797.56 | ||||
Accrual of bad debt provision by single：
In RMB
| Name | Balance in year-end | |||
| Book balance | Bad debt provision | Withdrawal proportion | Reason | |
| Guangdong Taiheng Expressway Development Co., Ltd. | 3,143,664.00 | 3,143,664.00 | 100.00% | It is not expected to be recovered |
| Total | 3,143,664.00 | 3,143,664.00 | ||
Accrual of bad debt provision by portfolio: Provision for bad debts according to the aging portfolio
In RMB
| Aging | Balance in year-end | ||
| Account receivable | Bad debt provision | Expected credit loss rate (% | |
| Within 1 year | 95,338,891.41 | ||
| 1-2 years | 4,200,258.00 | 210,012.90 | 5.00% |
| 2-3 years | 11,916,666.67 | 2,383,333.33 | 20.00% |
| Total | 111,455,816.08 | 2,593,346.23 | |
Note：
Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method ofother receivables if the provision for bad debts of bills receivable is accrued according to the general model ofexpected credit loss:
□ Applicable √ Not applicable
Disclosure by aging
In RMB
| Aging | Balance in year-end |
| Within 1 year | 95,338,891.41 |
| 1-2 years | 4,200,258.00 |
| 2-3 years | 11,916,666.67 |
| Over 3 year | 3,143,664.00 |
| 3-4 years | 2,077,392.00 |
| 4-5 years | 1,066,272.00 |
| Subtotal | 114,599,480.08 |
| Bad debt reserves | 5,737,010.23 |
| Total | 108,862,469.85 |
(2) Accounts receivable withdraw, reversed or collected during the reporting periodThe withdrawal amount of the bad debt provision：
In RMB
| Category | Opening balance | Amount of change in the current period | Closing balance | |||
| Accrual | Reversed or | Write-off | Other | |||
| collected amount | ||||||
| Accrual of bad debt provision by single item | 3,143,664.00 | 3,143,664.00 | ||||
| Accrual of bad debt provision by credit risk | 647,916.67 | 1,945,429.56 | 2,593,346.23 | |||
| Total | 3,791,580.67 | 1,945,429.56 | 5,737,010.23 |
Of which the significant amount of the reversed or collected part during the reporting periodNone
(3) The actual write-off accounts receivable
None
(4) Top 5 of the closing balance of the accounts receivable collected according to the arrears party
In RMB
| Company Name | Amount of ending balance | Proportion of total accounts receivable % | Amount of ending balance for bad debts |
| Services Co., Ltd. | 68,965,060.84 | 60.18% | |
| Guangdong Lulutong Traffic Development Co., Ltd. | 1,083,333.33 | 0.95% | |
| 4,200,258.00 | 3.67% | 210,012.90 | |
| 11,916,666.67 | 10.40% | 2,383,333.33 | |
| Guangdong Humen Bridge Co., Ltd. | 16,631,182.47 | 14.51% | |
| Guangdong Jingzhu Expressway Guangzhu North Section Co., Ltd. | 5,818,074.99 | 5.08% | |
| Guangdong Taiheng Expressway Development Co., Ltd. | 2,077,392.00 | 1.81% | 2,077,392.00 |
| 1,066,272.00 | 0.93% | 1,066,272.00 | |
| Total | 111,758,240.30 | 97.53% |
（5）Account receivable which terminate the recognition owning to the transfer of the financial assets
None
(6)The amount of the assets and liabilities formed by the transfer and the continues involvement ofaccounts receivableNone
3. Prepayments
（1）Aging analysis
In RMB
| Aging | Balance in year-end | Balance Year-beginning | ||
| Amount | Proportion（%） | Amount | Proportion（%） | |
| Within 1 year | 4,575,446.85 | 95.37% | 7,645,192.95 | 98.20% |
| 1-2 years | 82,300.00 | 1.71% | ||
| 2-3 years | 140,000.00 | 1.80% | ||
| Over 3 years | 140,000.00 | 2.92% | ||
| Total | 4,797,746.85 | 7,785,192.95 | ||
Notes of the reasons of the prepayment ages over 1 year with significant amount but failed settled in time:
None
(2) Top 5 of the closing balance of the prepayment collected according to the prepayment target
In RMB
| Name | Relations with the Company | Amount | Aging | Reasons for non-settlement | Proportion % |
| Guangdong Guanyue Road & Bridge Co., Ltd. | Non- Related party | 2,792,608.35 | Within 1 year | No settlement conditions have been reached | 58.21 |
| China Ping An Property Insurance Co., Ltd. Guangdong Branch | Non- Related party | 1,444,860.00 | Within 1 year | No settlement conditions have been reached | 30.12 |
| Excellence Appraisal | Non- Related party | 140,000.00 | Over 3 years | No settlement conditions have been reached | 2.92 |
| Guangzhou Branch of China Mobile Communications Group Guangdong Co., Ltd. | Non- Related party | 109,830.00 | Within 1 year | No settlement conditions have been reached | 2.29 |
| China Insurance Guangdong Branch | Non- Related party | 77,738.12 | Within 1 year | No settlement conditions have been reached | 1.62 |
| Total | 4,565,036.47 | 95.15 |
4.Other accounts receivable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Dividend receivable | 45,903,912.26 | 1,205,472.90 |
| Other receivable | 10,832,520.50 | 33,250,771.74 |
| Total | 56,736,432.76 | 34,456,244.64 |
（1）Interest receivable
None
（2）Dividend receivable
1) Dividend receivable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Guangdong Radio and Television Networks investment No.1 Limited partnership enterprise | 1,205,472.90 | 1,205,472.90 |
| China Everbright Bank Co., Ltd | 44,698,439.36 | |
| Total | 45,903,912.26 | 1,205,472.90 |
2）Significant dividend receivable aged over 1 year
In RMB
| Items | Balance in year-end | Aging | Reasons for non-recovery | Whether with impairment and the |
| judgment basis | ||||
| Guangdong Radio and Television Networks investment No.1 Limited partnership enterprise | 1,205,472.90 | 4-5 years | The partnership agreement expires and can be recovered after the extension procedures are completed | No, it can be recovered in the future |
| Total | 1,205,472.90 |
3）The bad debt provision
□ Applicable √ Not applicable
（3） Other accounts receivable
1) Other accounts receivable classified
In RMB
| Nature | Balance in year-end | Balance Year-beginning |
| Securities trading settlement funds | 30,844,110.43 | 30,844,110.43 |
| Petty cash | 4,489,023.58 | 4,017,944.81 |
| Highway maintenance expenditure | 141,431,005.33 | 97,749,481.71 |
| Deposit | 2,882,022.39 | 26,630,350.18 |
| Other | 3,461,474.53 | 2,602,476.75 |
| Total | 183,107,636.26 | 161,844,363.88 |
2）The withdrawal amount of the bad debt provision：
In RMB
| Bad Debt Reserves | Stage 1 | Stage 2 | Stage 3 | Total |
| Expected credit losses over the next 12 months | Expected credit loss over life (no credit impairment) | Expected credit losses for the entire duration (credit impairment occurred) | ||
| Balance as at January 1,2023 | 97,749,481.71 | 30,844,110.43 | 128,593,592.14 | |
| Balance as at January 1,2023 in current | ||||
| This period of provision | 43,681,523.62 | 43,681,523.62 | ||
| Balance as at June 30,2023 | 141,431,005.33 | 30,844,110.43 | 172,275,115.76 |
Loss provision changes in current period, change in book balance with significant amount
□Applicable √ Not applicable
Disclosure by aging
In RMB
| Aging | Book balance |
| Within 1 year(Including 1 year） | 147,426,676.53 |
| 1-2 years | 1,410,372.20 |
| 2-3 years | 271,243.57 |
| Over 3 years | 33,999,343.96 |
| 3-4 years | 1,713,224.35 |
| 4-5 years | 26,560.70 |
| Over 5 years | 32,259,558.91 |
| Total | 183,107,636.26 |
3） Accounts receivable withdraw, reversed or collected during the reporting periodThe withdrawal amount of the bad debt provision：
The provision for bad debts in the current period is RMB43,681,523.62; and the amount of bad debt reserverecovered or reversed in the current period is RMB0.00.Where the current bad debts back or recover significant amounts:None4） Other account receivables actually cancel after write-offNone5） Other receivables are classified according to the nature
In RMB
| Name | Nature | Closing balance | Aging | Proportion of the total year end balance of the accounts receivable(%) | Closing balance of bad debt provision |
| Department of Transport of Guangdong Province | Highway maintenance expenditure | 141,431,005.33 | Within 1 year | 77.24% | 141,431,005.33 |
| Kunlun Securities Co.,Ltd | Securities trading settlement funds | 30,844,110.43 | Over 5 years | 16.84% | 30,844,110.43 |
| Guangdong Litong Real Estates Investment Co., Ltd. | Rent deposit | 1,816,266.94 | Within 1 year | 0.99% | |
| Guangdong Litong Real Estates Investment Co., Ltd. | Vehicle parking deposit | 22,980.00 | 2-3 years | 0.01% | |
| Guangdong Expressway Media Co., Ltd. | Advertising revenue | 693,103.73 | Within 1 year | 0.38% | |
| Guangdong Expressway Media Co., Ltd. | Water and electricity | 2,119.81 | Within 1 year | ||
| Guangdong Provincial Freeway Co.,Ltd. | Current account | 463,491.88 | Over 5 years | 0.25% | |
| Total | 175,273,078.12 | 95.71% | 172,275,115.76 |
(6) Accounts receivable involved with government subsidies
None
(7) Other account receivable which terminate the recognition owning to the transfer of the financialassetsNone
(8) The amount of the assets and liabilities formed by the transfer and the continues involvement of otheraccounts receivableNone
5.Other current assets
I n RMB
| Items | Year-end balance | Year-beginning balance |
| Advance tax payment | 34,733.27 | 1,931,251.29 |
| VAT retention tax credits | 111,143.99 | |
| Total | 34,733.27 | 2,042,395.28 |
Other note：
6. Long-term equity investment
In RMB
| Investees | Opening balance | Increase/decrease | Closing balance | Closing balance of impairment provision | |||||||
| Additional investment | Negative investment | Investment profit and loss recognized under the equity method | Adjustment of other comprehensive income | Changes of other equity | Cash bonus or profits announced to issue | Withdrawal of impairment provision | Other | ||||
| I. Joint venture | |||||||||||
| 2. Affiliated Company | |||||||||||
| Zhaoqing Yuezhao Highway Co., Ltd. | 310,209,765.87 | 30,133,975.22 | 340,343,741.09 | ||||||||
| Guangdong Jiangzhong Expressway Co., Ltd. | 446,883,150.40 | 45,000,000.00 | 6,731,118.49 | 16,005.85 | 4,627,613.17 | 494,002,661.57 | |||||
| Ganzhou Gankang Expressway Co., Ltd. | 163,154,438.00 | 9,568,563.16 | 172,723,001.16 | ||||||||
| Ganzhou Kangda Expressway Co., Ltd. | 246,268,935.13 | 20,692,056.64 | 266,960,991.77 | ||||||||
| Shenzhen Huiyan Expressway Co., Ltd. | 348,669,767.32 | 14,856,921.37 | 363,526,688.69 | ||||||||
| Guoyuan Securities Co., Ltd. | 987,867,627.42 | 22,017,218.07 | 12,110,298.33 | 2,424.19 | 15,522,387.30 | 1,006,475,180.71 | |||||
| Guangdong Yuepu Small Refinancing Co., Ltd(Note) | 219,031,496.39 | 4,689,969.97 | 223,721,466.36 | ||||||||
| Hunnan Lianzhi Technology Co., .Ltd. | 97,539,945.74 | 2,636,209.56 | -92,400.51 | 100,083,754.79 | |||||||
| SPIC Yuetong Qiyuan Chip Power Technology Co., Ltd. | 4,981,238.50 | -360,145.07 | 4,621,093.43 | ||||||||
| Shenzhen Garage Electric Pile Technology Co., Ltd | 98,698,677.53 | -1,334,752.88 | 1,391,816.00 | 95,972,108.65 | |||||||
| Subtotal | 2,923,305,042.30 | 45,000,000.00 | 109,631,134.53 | 12,110,298.33 | -73,970.47 | 21,541,816.47 | 3,068,430,688.22 | ||||
| Total | 2,923,305,042.30 | 45,000,000.00 | 109,631,134.53 | 12,110,298.33 | -73,970.47 | 21,541,816.47 | 3,068,430,688.22 |
Other noteGuoyuan Securities Co., Ltd. implements the provisions of the "No. 16Interpretation of Accounting Standards for Business Enterprises" in the current period,retrospectively adjusts the financial statement of the previous period, and the Company retrospectively adjusts the investment amount in Guoyuan Securities Co.,Ltd.at the beginning of the period according to the shareholding ratio.
7.Other Equity instrument investment
In RMB
| Items | Closing balance | Opening balance |
| Guangle Expressway Co., Ltd. | 775,045,413.21 | 779,705,656.29 |
| Guangdong Radio and Television Networks investment No.1 Limited partnership enterprise | 55,365,396.61 | 55,365,396.61 |
| China Everbright Bank Co., Ltd. | 722,232,678.08 | 722,232,678.08 |
| Huaxia Securities Co., Ltd.（Notes1） | ||
| Huazheng Asset Management Co., Ltd.（Notes2） | ||
| Total | 1,552,643,487.90 | 1,557,303,730.98 |
Breakdown disclosure of investment in non-tradable equity instruments in the current period
In RMB
| Items | Dividend income recognized | Cumulative gain | Cumulative loss | Amount of other consolidated income transferred to retained earnings | Reasons for designation as measured at fair value and changes included in other comprehensive income | Reasons for other consolidated income transferred to retained earnings |
| Guangle Expressway Co., Ltd. | 26,551,300.00 | 26,697,111.48 | Non-transactional purpose for shareholding | |||
| Guangdong Radio and Television Networks investment No.1 Limited partnership enterprise | 5,365,396.61 | Non-transactional purpose for shareholding | ||||
| China Everbright Bank Co., Ltd. | 44,698,439.36 | 204,671,801.28 | Non-transactional purpose for shareholding | |||
| Huaxia Securities Co., Ltd. | 5,400,000.00 | Non-transactional purpose for shareholding | ||||
| Huazheng Asset Management Co., Ltd. | 1,620,000.00 | Non-transactional purpose for |
| shareholding | ||||||
| Total | 71,249,739.36 | 236,734,309.37 | 7,020,000.00 |
Other note:
Note 1: The owner's equity of Huaxia Securities Co., Ltd. was negative and it entered liquidation procedure inDecember 2005. The Company made full provision for impairment in respect of this long-term equityinvestment of RMB 5.4 million.Note 2: According to De Wei Ping Gu Zi 2005 No. 88 Appraisal Report issued by Beijing Dewei AppraisalCo., Ltd. As the June 30, 2005, the amount of net assets of Huazheng Asset Management Co., Ltd. in bookwas 279.132 million yuan and the appraised value was - 2299.5486 million yuan ,On October 14, 2005,Jianyin CITIC Asset Management Co., Ltd. issued the Letter of Soliciting Opinions on Equity Assignment tothe Company. Jianyin CITIC Asset Management Co., Ltd. was willing to pay the price of not more than 42million yuan to acquire 100% equity of Huazheng Asset Management Co., Ltd. and solicited the Company'sopinions. The Company replied on December 5, 2005, abandoning the preemptive right under the sameconditions. The Company made provision of 1.62 million yuan for impairment in respect of this long-termequity investment of 1.62 million yuan.
8.Other non-current financial assets
In RMB
| Items | Closing balance | Opening balance |
| Classified as financial assets measured at fair value and whose changes are included in the current profit and loss | 181,400,000.00 | 101,400,000.00 |
| Total | 181,400,000.00 | 101,400,000.00 |
Other note：
9. Investment property
(1) Investment property adopted the cost measurement mode
√ Applicable □Not applicable
In RMB
| Items | Houses and buildings | Land use right | Construction in process | Total |
| I. Original value | ||||
| 1.Opening balance | 12,664,698.25 | 2,971,831.10 | 15,636,529.35 | |
| 2.Increased amount of the period | ||||
| （1）Outsourcing | ||||
| (2)Inventory, Fixed assets and Construction project into | ||||
| (3) )Increased of |
| Enterprise consolidation | ||||
| 3.Decreased amount of the period | ||||
| （1）Disposal | ||||
| （2）Other Out | ||||
| 4.Closing balance | 12,664,698.25 | 2,971,831.10 | 15,636,529.35 | |
| II.Accumulated depreciation accumulated amortization | ||||
| 1.Opening balance | 10,989,739.14 | 1,978,645.28 | 12,968,384.42 | |
| 2.Increased amount of the period | 73,774.56 | 36,784.68 | 110,559.24 | |
| (1)Withdrawal or amortization | 73,774.56 | 36,784.68 | 110,559.24 | |
| 3.Decreased amount of the period | ||||
| （1）Disposal | ||||
| （2）Other Out | ||||
| 4.Closing balance | 11,063,513.70 | 2,015,429.96 | 13,078,943.66 | |
| III. Impairment provision | ||||
| 1.Opening balance | ||||
| 2.Increased amount of the period | ||||
| （1）Withdrawal | ||||
| 3.Decreased amount of the period | ||||
| （1）Disposal | ||||
| （2）Other Out | ||||
| 4.Closing balance | ||||
| IV. Book value | ||||
| 1.Closing book value | 1,601,184.55 | 956,401.14 | 2,557,585.69 | |
| 2.Opening book | 1,674,959.11 | 993,185.82 | 2,668,144.93 |
(2) Investment property adopted fair value measurement mode
□Applicable√ Not applicable
(3) Details of investment property failed to accomplish certification of property
In RMB
| Items | Book balance | Reason |
| Houses and Building | 923,873.94 | Transportation and other ancillary facilities, Not accreditation |
10. Fixed assets
In RMB
| Items | Year-end balance | Year-beginning balance |
| Fixed assets | 9,552,205,782.97 | 10,098,252,638.07 |
| liquidation of fixed assets | 6,503,095.14 | |
| Total | 9,558,708,878.11 | 10,098,252,638.07 |
(1) List of fixed assets
In RMB
| Items | Guangfo Expressway | Fokai Expressway | Guanghui Expressway | Jingzhu Expressway Guangzhu section | House and buildings | Machinery equipment | Transportation equipment | Electricity equipment and other | Total |
| I. Original price | |||||||||
| 1.Opening balance | 1,460,270,190.66 | 10,916,901,136.52 | 6,824,139,977.48 | 5,136,471,234.45 | 664,476,347.75 | 1,849,144,772.30 | 61,642,618.63 | 142,268,138.54 | 27,055,314,416.33 |
| 2.Increased amount of the period | -659,820.18 | 503,520.00 | 1,250,706.34 | 2,009,004.66 | 3,103,410.82 | ||||
| （1）Purchase | 49,300.00 | 1,250,706.34 | 2,009,004.66 | 3,309,011.00 | |||||
| （2）Transfer of project under construction | 454,220.00 | 454,220.00 | |||||||
| (3)Increased of Enterprise consolidation | |||||||||
| （4）Other | -659,820.18 | -659,820.18 | |||||||
| 3.Decreased amount of the period | 14,920,857.18 | 36,073,395.95 | 787,665.00 | 4,287,225.71 | 56,069,143.84 | ||||
| （1）Disposal or scrap | 14,920,857.18 | 36,073,395.95 | 787,665.00 | 4,287,225.71 | 56,069,143.84 | ||||
| （2）Disposition subsidiary | |||||||||
| （3）Other out | 659,820.18 | ||||||||
| 4.Closing balance | 1,460,270,190.66 | 10,916,901,136.52 | 6,824,139,977.48 | 5,136,471,234.45 | 648,895,670.39 | 1,813,574,896.35 | 62,105,659.97 | 139,989,917.49 | 27,002,348,683.31 |
| II. Accumulated depreciation |
| Items | Guangfo Expressway | Fokai Expressway | Guanghui Expressway | Jingzhu Expressway Guangzhu section | House and buildings | Machinery equipment | Transportation equipment | Electricity equipment and other | Total |
| 1.Opening balance | 1,460,270,190.66 | 5,857,558,616.40 | 4,285,503,165.86 | 3,319,516,101.13 | 480,209,669.57 | 1,409,241,923.31 | 47,930,132.30 | 92,710,665.93 | 16,952,940,465.16 |
| 2.Increased amount of the period | 167,001,611.98 | 205,719,649.48 | 95,478,011.19 | 15,431,227.08 | 51,663,388.65 | 1,129,558.43 | 6,195,843.97 | 542,619,290.78 | |
| （1）Withdrawal | 167,001,611.98 | 205,719,649.48 | 95,478,011.19 | 15,431,227.08 | 51,663,388.65 | 1,129,558.43 | 6,195,843.97 | 542,619,290.78 | |
| （2）Other | |||||||||
| 3.Decreased amount of the period | 11,290,376.08 | 33,435,034.30 | 734,341.75 | 4,078,416.57 | 49,538,168.70 | ||||
| (1)Disposal or scrap | 11,290,376.08 | 33,435,034.30 | 734,341.75 | 4,078,416.57 | 49,538,168.70 | ||||
| （2）Disposition subsidiary | |||||||||
| 4.Closing balance | 1,460,270,190.66 | 6,024,560,228.38 | 4,491,222,815.34 | 3,414,994,112.32 | 484,350,520.57 | 1,427,470,277.66 | 48,325,348.98 | 94,828,093.33 | 17,446,021,587.24 |
| III.Impairment provision | |||||||||
| 1.Opening balance | 2,889,394.16 | 1,231,918.94 | 4,121,313.10 | ||||||
| 2.Increased amount of the period | |||||||||
| (1)Withdrawal | |||||||||
| 3.Decreased amount of the period | |||||||||
| (1)Disposal or scrap | |||||||||
| 4.Closing balance | 2,889,394.16 | 1,231,918.94 | 4,121,313.10 | ||||||
| IV. Book value |
| Items | Guangfo Expressway | Fokai Expressway | Guanghui Expressway | Jingzhu Expressway Guangzhu section | House and buildings | Machinery equipment | Transportation equipment | Electricity equipment and other | Total |
| 1.Closing book value | 4,892,340,908.14 | 2,332,917,162.14 | 1,721,477,122.13 | 161,655,755.66 | 384,872,699.75 | 13,780,310.99 | 45,161,824.16 | 9,552,205,782.97 | |
| 2.Opening book | 5,059,342,520.12 | 2,538,636,811.62 | 1,816,955,133.32 | 181,377,284.02 | 438,670,930.05 | 13,712,486.33 | 49,557,472.61 | 10,098,252,638.07 |
(2)Temporarily idle fixed assets
In RMB
| Items | Original price | Accumulated depreciation | Impairment provision | Book value | Remark |
| House and buildings | 6,176,339.21 | 4,767,637.50 | 1,408,701.71 | ||
| Machinery equipment | 2,322,167.00 | 1,090,248.06 | 1,231,918.94 |
(3) Fixed assets leased out from operation lease
None
（4） Details of fixed assets failed to accomplish certification of property
In RMB
| Items | Book balance | Reason |
| House and buildings | 145,880,426.60 | Transportation and other ancillary facilities，Not accreditation. |
（5）liquidation of fixed assets
In RMB
| Items | Year-end balance | Year-beginning balance |
| House and buildings | 3,630,481.10 | |
| Machinery equipment | 2,638,361.65 | |
| Transportation equipment | 25,443.25 | |
| Office equipment and other | 208,809.14 | |
| Total | 6,503,095.14 |
11. Project under construction
In RMB
| Items | Year-end balance | Year-beginning balance |
| Project under construction | 1,287,072,029.02 | 753,565,502.12 |
| Total | 1,287,072,029.02 | 753,565,502.12 |
（1）Project under construction
In RMB
| Items | Year-end balance | Year-beginning balance | ||||
| Book balance | Provision for devaluation | Book value | Book balance | Provision for devaluation | Book value | |
| Reconstruction and Expansion of Nansha-Zhuhai section of Guangzhou-Macao Expressway | 1,021,162,978.77 | 1,021,162,978.77 | 553,543,942.17 | 553,543,942.17 | ||
| Reconstruction and Expansion of Fokai Expressway Sanbao to Shuikou | 208,792,748.04 | 208,792,748.04 | 152,274,277.83 | 152,274,277.83 | ||
| Jiangxi-Shenzhen high-speed railway cross-section | 15,664,172.98 | 15,664,172.98 | 15,664,172.98 | 15,664,172.98 | ||
| expansion project | ||||||
| Guangzhou-Shantou Railway Crossing project | 15,098,082.43 | 15,098,082.43 | 10,576,570.43 | 10,576,570.43 | ||
| Boluo Central Station office and living facilities renovation and expansion project | 6,406,068.37 | 6,406,068.37 | 3,768,689.37 | 3,768,689.37 | ||
| Tanwei Bridge Ship Collision Project | 1,749,246.00 | 1,749,246.00 | 1,749,246.00 | 1,749,246.00 | ||
| Other | 18,198,732.43 | 18,198,732.43 | 15,988,603.34 | 15,988,603.34 | ||
| Total | 1,287,072,029.02 | 1,287,072,029.02 | 753,565,502.12 | 753,565,502.12 |
(2) Changes of significant construction in progress
In RMB
| Name of project | Budget | Opening balance | Increase | Transferred to fixed assets | Other decrease | End balance | Proportion % | Project process | Capitalization of interest | Including: capitalization of interest this period | Capitalization of interest rate (%) | Source of funding |
| Reconstruction and Expansion of Nansha-Zhuhai section of Guangzhou-Macao Expressway | 13,735,989,200.00 | 553,543,942.17 | 467,619,036.60 | 1,021,162,978.77 | 7.43% | 7.43% | 31,820,755.84 | 21,918,319.01 | 2.91% | Other | ||
| Reconstruction and Expansion of Fokai Expressway Sanbao to Shuikou | 3,426,210,000.00 | 152,274,277.83 | 56,518,470.21 | 208,792,748.04 | 80.76% | 93.00% | 75,533,679.33 | 2,318,123.51 | 3.30% | Other | ||
| Jiangxi-Shenzhen high-speed railway cross-section expansion project | 16,966,900.00 | 15,664,172.98 | 15,664,172.98 | 92.32% | 100.00% | Other | ||||||
| Guangzhou-Shantou Railway Crossing project | 21,460,000.00 | 10,576,570.43 | 4,521,512.00 | 15,098,082.43 | 70.35% | 100.00% | Other |
| Boluo Central Station office and living facilities renovation and expansion project | 17,000,000.00 | 3,768,689.37 | 2,637,379.00 | 6,406,068.37 | 37.68% | 37.68% | Other | |||||
| Tanwei Bridge Ship Collision Project | 50,000,000.00 | 1,749,246.00 | 1,749,246.00 | 3.50% | 3.50 | Other | ||||||
| Total | 17,267,626,100.00 | 737,576,898.78 | 531,296,397.81 | 1,268,873,296.59 | 107,354,435.17 | 24,236,442.52 |
(3)Provision for impairment of construction projects in the current periodNone
（4）Engineering Materials：None
None
12.Use right assets
In RMB
| Items | House and buildings | Machinery equipment | Transportation equipment | Other | Total |
| I. Original price | |||||
| 1.Opening balance | 21,487,031.29 | 357,112.19 | 1,007,747.00 | 22,851,890.48 | |
| 2.Increased amount of the period | 30,634,734.72 | 673,169.06 | 31,307,903.78 | ||
| （1）New lease | 30,634,734.72 | 673,169.06 | 31,307,903.78 | ||
| （2）Other | |||||
| 3.Decreased amount of the period | 21,487,031.29 | 21,487,031.29 | |||
| （1）Transfer or hold for sale | |||||
| （2）Disposal subsidiary | |||||
| （3）Other out | 21,487,031.29 | 21,487,031.29 | |||
| 4.Closing balance | 30,634,734.72 | 357,112.19 | 673,169.06 | 1,007,747.00 | 32,672,762.97 |
| II. Accumulated depreciation | |||||
| 1.Opening balance | 18,417,455.29 | 142,844.88 | 214,034.88 | 18,774,335.05 | |
| 2.Increased amount of the period | 4,785,441.30 | 35,711.22 | 168,292.26 | 53,508.72 | 5,042,953.50 |
| （1）Withdrawal | 4,785,441.30 | 35,711.22 | 168,292.26 | 53,508.72 | 5,042,953.50 |
| （2）Other increase | |||||
| 3.Decreased amount of the period | 21,487,031.29 | 21,487,031.29 | |||
| （1）Disposition | |||||
| （2）Transfer or hold for sale | |||||
| （3）Other out | 21,487,031.29 | 21,487,031.29 | |||
| 4.Closing balance | 1,715,865.30 | 178,556.10 | 168,292.26 | 267,543.60 | 2,330,257.26 |
| III. Impairment provision | |||||
| 1.Opening balance | |||||
| 2.Increased amount of the period | |||||
| （1）Withdrawal | |||||
| （2）Other increase | |||||
| 3.Decreased amount of the period | |||||
| （1）Disposition | |||||
| （2）Transfer or hold for sale | |||||
| 4.Closing balance |
| Items | House and buildings | Machinery equipment | Transportation equipment | Other | Total |
| IV. Book value | |||||
| 1.Closing book value | 28,918,869.42 | 178,556.09 | 504,876.80 | 740,203.40 | 30,342,505.71 |
| 2.Opening book value | 3,069,576.00 | 214,267.31 | 793,712.12 | 4,077,555.43 |
13. Intangible assets
(1) List of intangible assets
In RMB
| Items | Land use right | Patent right | Non-patented technology | The Turnpike franchise | Total |
| I. Original price | |||||
| 1.Opening balance | 2,701,738.76 | 38,254,516.12 | 318,348,741.86 | 359,304,996.74 | |
| 2.Increased amount of the period | 83,247.96 | 83,247.96 | |||
| (1) Purchase | 83,247.96 | 83,247.96 | |||
| (2)Internal Development | |||||
| (3)Increased of Enterprise Combination | |||||
| 3.Decreased amount of the period | 11,005,016.40 | 11,005,016.40 | |||
| （1）Disposal | 11,005,016.40 | 11,005,016.40 | |||
| （2）Government subsidies cut | |||||
| （3）Disposal subsidiary | |||||
| 4.Closing balance | 2,701,738.76 | 27,332,747.68 | 318,348,741.86 | 348,383,228.30 | |
| II.Accumulated amortization | |||||
| 1.Opening balance | 2,366,543.74 | 32,357,841.52 | 77,808,140.04 | 112,532,525.30 | |
| 2.Increased amount of the period | 7,705.62 | 1,003,484.47 | 11,794,307.98 | 12,805,498.07 | |
| (1) Withdrawal | 7,705.62 | 1,003,484.47 | 11,794,307.98 | 12,805,498.07 | |
| 3.Decreased amount of the period | 11,005,016.40 | 11,005,016.40 | |||
| （1）Disposal | 11,005,016.40 | 11,005,016.40 | |||
| （2）Disposal subsidiary |
| Items | Land use right | Patent right | Non-patented technology | The Turnpike franchise | Total |
| 4.Closing balance | 2,374,249.36 | 22,356,309.59 | 89,602,448.02 | 114,333,006.97 | |
| III. Impairment provision | |||||
| 1.Opening balance | |||||
| 2.Increased amount of the period | |||||
| (1) Withdrawal | |||||
| 3.Decreased amount of the period | |||||
| （1）Disposal | |||||
| 4.Closing balance | |||||
| IV. Book value | |||||
| 1.Closing book value | 327,489.40 | 4,976,438.09 | 228,746,293.84 | 234,050,221.33 | |
| 2.Opening book value | 335,195.02 | 5,896,674.60 | 240,540,601.82 | 246,772,471.44 |
At the end of this period, there is no intangible assets formed through the company's internal research and At theend of this period, the intangible assets formed through the company's internal research and developmentaccounted for 0.00% of the balance of intangible assets⑵Details of Land use right failed to accomplish certification of property
In RMB
| Items | Book value | Reason for not obtaining the title certificate |
| Gonghe Town Land | 327,489.40 | Reasons left over from history |
14. Deferred income tax assets/deferred income tax liabilities
(1) Deferred income tax assets had not been off-set
In RMB
| Items | Balance in year-end | Balance Year-beginning | ||
| Deductible temporary difference | Deferred income tax assets | Deductible temporary difference | Deferred income tax assets | |
| Assets impairment provisions | 9,858,323.33 | 2,464,580.84 | 7,912,893.77 | 1,978,223.45 |
| Deductible loss | 25,253,836.36 | 6,313,459.09 | 363,420,806.96 | 90,855,201.74 |
| Asset appraisal, appreciation, depreciation and amortization | 106,518,448.68 | 26,629,612.17 | 120,375,258.24 | 30,093,814.56 |
| Deferred income | 15,980,161.74 | 3,995,040.44 | 21,009,212.70 | 5,252,303.27 |
| Operation lease | 29,736,108.16 | 7,434,027.04 | 3,461,741.75 | 865,435.44 |
| Total | 187,346,878.27 | 46,836,719.58 | 516,179,913.42 | 129,044,978.46 |
(2) Deferred income tax liabilities had not been off-set
In RMB
| Items | Balance in year-end | Balance Year-beginning | ||
| Deductible temporary difference | Deferred income tax liabilities | Deductible temporary difference | Deferred income tax liabilities | |
| Changes in the fair value of other equity instruments | 236,734,309.37 | 59,183,577.34 | 241,394,552.45 | 60,348,638.11 |
| Deductible temporary differences in the formation of asset impairment | 916,831,006.67 | 229,207,751.66 | 965,577,119.54 | 241,394,279.90 |
| Difference of amortization method of franchise of toll road | 11,048,885.57 | 2,762,221.40 | 9,854,438.83 | 2,463,609.71 |
| Changes in the fair value of trading financial assets | 10,400,000.00 | 2,600,000.00 | 10,400,000.00 | 2,600,000.00 |
| Tax accounting difference of use right asset | 30,342,505.71 | 7,585,626.43 | 4,077,555.45 | 1,019,388.86 |
| Tax accounting differences of projects under construction | 18,136,690.84 | 4,534,172.71 | ||
| Total | 1,223,493,398.16 | 305,873,349.54 | 1,231,303,666.27 | 307,825,916.58 |
(3) Deferred income tax assets or liabilities listed by net amount after off-setNone
(4)Details of income tax assets not recognized
In RMB
| Items | Balance in year-end | Balance in year-begin |
| Deductible temporary difference | 37,864,110.43 | 37,864,110.43 |
| Deductible loss | 21,327,524.22 | 18,536,190.43 |
| Total | 59,191,634.65 | 56,400,300.86 |
(5)Deductible losses of the un-recognized deferred income tax asset will expire in the following years
In RMB
| Year | Balance in year-end | Balance in year-begin | Remark |
| 2023 | 3,129,535.72 | 3,129,535.72 | |
| 2024 | 3,618,779.07 | 3,618,779.07 | |
| 2025 | 3,571,100.29 | 3,571,100.29 | |
| 2026 | 3,889,857.99 | 3,889,857.99 | |
| 2027 | 4,326,917.36 | 4,326,917.36 | |
| 2028 | 2,791,333.79 | ||
| Total | 21,327,524.22 | 18,536,190.43 |
15 .Other non-current assets
In RMB
| Items | Balance in year-end | Balance Year-beginning | ||||
| Book balance | Provision for devaluation | Book value | Book balance | Provision for devaluation | Book value | |
| Prepaid engineering fees | 57,853,104.62 | 57,853,104.62 | 6,258,116.72 | 6,258,116.72 | ||
| Prepaid business tax | 1,915,476.96 | 1,915,476.96 | 2,116,662.12 | 2,116,662.12 | ||
| Total | 59,768,581.58 | 59,768,581.58 | 8,374,778.84 | 8,374,778.84 | ||
Other note：
Note
16. Short-term Borrowing
（1）Short-term Borrowing
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Credit Borrowing | 430,000,000.00 | |
| Interest payable not due | 387,597.20 | |
| Total | 430,387,597.20 |
Note：
(2) Situation of Overdue Outstanding Short-Term Borrowing
None
17.Account payable
（1） List of account payable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Within 1 year（Including 1 year） | 35,191,561.22 | 106,284,617.63 |
| 1-2 years（including2 years） | 48,777,577.09 | 15,315,242.17 |
| 2-3 years（including 3 years） | 9,891,578.33 | 2,693,624.18 |
| Over 3 years | 73,471,862.24 | 73,495,298.79 |
| Total | 167,332,578.88 | 197,788,782.77 |
（2）Significant payable aging more than 1 year
In RMB
| Items | Balance in year-end | Reason |
| Foshan Land and resources Bureau. | 30,507,598.21 | Unsettled |
| Guang Zhongjiang Expressway project Management Dept | 17,466,700.00 | Unsettled |
| Heshan Land and resources Bureau | 9,186,893.60 | Unsettled |
| Poly Changda Engineering Co., Ltd. | 5,415,553.30 | Unsettled |
| Foshan Chancheng District, Zhang Cha Sub-district Office | 4,626,817.32 | Unsettled |
| Total | 67,203,562.43 |
18. Prepayment received
(1) List of Prepayment received
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Within 1 year（Including 1 year） | 2,169,988.91 | 1,913,639.06 |
| 1-2 years（Including 2 years） | 1,082,898.18 | 805,117.91 |
| Total | 3,252,887.09 | 2,718,756.97 |
（2）Significant payable aging more than 1 year
In RMB
| Items | Balance in year-end | Reason |
| Hebei Jianhong Power Engineering Co., Ltd. | 1,082,898.18 | Unsettled |
| Total | 1,082,898.18 |
19. Payable Employee wage
（1）Payable Employee wage
In RMB
| Items | Year-beginning balance | Increase in the current period | Decrease in the current period | Year-end balance |
| I. Short-term compensation | 20,660,328.60 | 186,686,717.85 | 187,605,961.94 | 19,741,084.51 |
| II.Post-employment benefits - defined contribution plans | 32,786,473.09 | 31,308,371.02 | 1,478,102.07 | |
| III. Dismissal benefits | 1,315,216.92 | 1,315,216.92 | ||
| Total | 20,660,328.60 | 220,788,407.86 | 220,229,549.88 | 21,219,186.58 |
（2）Short-term Remuneration
In RMB
| Items | Year-beginning balance | Increase in the current period | Decrease in the current period | Year-end balance |
| 1.Wages, bonuses, allowances and subsidies | 465,063.49 | 136,477,235.72 | 136,477,235.72 | 465,063.49 |
| 2.Employee welfare | 8,521,719.59 | 8,521,719.59 | ||
| 3. Social insurance premiums | 17,057,493.93 | 17,032,657.59 | 24,836.34 | |
| Including ：Medical insurance | 10,213,027.92 | 10,189,709.40 | 23,318.52 | |
| Work injury insurance | 506,588.92 | 505,071.10 | 1,517.82 | |
| Other | 6,337,877.09 | 6,337,877.09 | ||
| 4.Public reserves for housing | 19,702,163.00 | 19,702,163.00 |
| 5.Union funds and staff education fee | 17,883,045.40 | 4,329,599.11 | 5,273,679.54 | 16,938,964.97 |
| 8.Other | 2,312,219.71 | 598,506.50 | 598,506.50 | 2,312,219.71 |
| Total | 20,660,328.60 | 186,686,717.85 | 187,605,961.94 | 19,741,084.51 |
（3）Defined contribution plans listed
In RMB
| Items | Balance Year-beginning | Increase in this period | Payable in this period | Balance in year-end |
| 1. Basic old-age insurance premiums | 19,582,722.78 | 19,540,840.38 | 41,882.40 | |
| 2.Unemployment insurance | 791,820.39 | 789,225.18 | 2,595.21 | |
| 3.Enterprise annuity payment | 12,411,929.92 | 10,978,305.46 | 1,433,624.46 | |
| Total | 32,786,473.09 | 31,308,371.02 | 1,478,102.07 |
20. Tax Payable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| VAT | 12,628,710.29 | 9,619,067.45 |
| Enterprise Income tax | 148,023,789.18 | 58,889,929.38 |
| Individual Income tax | 550,351.13 | 2,552,347.21 |
| City Construction tax | 788,554.59 | 633,666.06 |
| Education subjoin | 383,867.08 | 306,387.03 |
| Locality Education subjoin | 237,270.58 | 185,315.25 |
| Vehicle and vessel tax | ||
| Land use tax | 523,762.40 | |
| Property tax | 504,597.91 | 60,799.58 |
| Stamp tax | 35,981.87 | 60,261.45 |
| Total | 163,676,885.03 | 72,307,773.41 |
21.Other accounts payable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Dividend payable | 920,558,170.17 | 59,994,517.46 |
| Other account payable | 124,167,228.26 | 131,173,042.77 |
| Total | 1,044,725,398.43 | 191,167,560.23 |
（1）Interest payable
None
（2）Dividends payable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Common stock dividends | 920,558,170.17 | 25,694,517.46 |
| Dividends payable- Guangdong Provincial Freeway Co.,Ltd. | 11,550,000.00 | |
| Dividends payable-Guangdong Zhujiang Highway and Bridge Investment Co., Ltd | 21,000,000.00 | |
| Dividends payable-HZCI | 1,750,000.00 | |
| Total | 920,558,170.17 | 59,994,517.46 |
Other explanations, including significant dividends payable that have not been paid for more than 1 year, it shalldisclose the reasons for non-payment:
Note: Including significant unpaid dividends payable over one year, the unpaid reason shall be disclosed:
Final dividend payable 25,693,148.24 yuan for more a year in unpaid dividends to shareholders over the yearwas mainly due to non- payment of shareholder dividends did not provide information on interest- bearing bank,did not share reform of shareholders to receive dividends or provide applicationto receive dividends the bank information is incorrect, resulting in failure to pay a dividend or refund.
（3）Other accounts payable
(1) Other accounts payable listed by nature of the account
In RMB
| Items | Year-end balance | Year-Beginning balance |
| Estimated project cost | 33,034,549.95 | 40,097,538.05 |
| Deposit, warranty and security deposit | 64,237,381.43 | 64,205,413.61 |
| Other | 26,895,296.88 | 26,870,091.11 |
| Total | 124,167,228.26 | 131,173,042.77 |
(2) Other significant accounts payable with aging over one year
In RMB
| Items | Closing balance | Unpaid/un-carry over reason |
| Poly Changda Highway Engineering Co., Ltd. | 20,101,922.48 | The settlement conditions are not met |
| Yayao to Xiebian extension | 12,499,448.48 | The settlement conditions are not met |
| Guangdong Guanyue Road & Bridge Co., Ltd. | 7,954,762.80 | The settlement conditions are not met |
| CCCC First Navigation Engineering Bureau Co., Ltd. | 6,604,491.16 | The settlement conditions are not met |
| China Railway Tunnel Group Co., Ltd. | 5,711,835.48 | The settlement conditions are not met |
| Total | 52,872,460.40 |
22. Non-current liabilities due within 1 year
In RMB
| Items | Balance year-end | Year-beginning balance |
| Long-term loans due within 1 year | 145,147,041.19 | 72,870,082.19 |
| Payable Bonds due within 1 year | 695,329,608.09 | 40,679,999.99 |
| Long-term payable due within 1 year | 495,283.01 | 944,339.62 |
| Lease liabilities due within 1 year | 10,151,743.03 | 2,517,045.16 |
| Total | 851,123,675.32 | 117,011,466.96 |
23.Other current liabilities
In RMB
| Items | Balance year-end | Year-beginning balance |
| Tax to be rewritten | 169,097.00 | 600,639.56 |
| Entrusted loans and interest | 500,395,833.33 | 500,122,916.67 |
| Total | 500,564,930.33 | 500,723,556.23 |
24. Long-term loan
(1) Category of long-term loan
In RMB
| Items | Balance year-end | Year-beginning balance |
| Pledge loans | 14,525,000.00 | |
| Credit loan | 6,008,445,000.00 | 5,619,259,650.00 |
| Interest payable when not due | 5,421,991.19 | 5,680,782.19 |
| Less:Long-term loans due within one year（Note V.22） | -145,147,041.19 | -72,870,082.19 |
| Total | 5,868,719,950.00 | 5,566,595,350.00 |
25.Bond payable
（1）Bond payable
In RMB
| Items | Balance year-end | Year-beginning balance |
| Medium- term note | 1,428,850,956.61 | 1,428,381,232.94 |
| Interest payable when not due | 15,625,753.43 | 40,679,999.99 |
| Less:Long-term loans due within one year（Note V.22） | -695,329,608.09 | -40,679,999.99 |
| Total | 749,147,101.95 | 1,428,381,232.94 |
（2）Changes of bonds payable(Not including the other financial instrument of preferred stock and perpetual capital securities that classify as financialliability
In RMB
| Name of the bond | Book value | Issue date | Period | Issue amount | Opening balance | The current issue | Withdraw interest at par | Overflow discount amount | Pay in current period | Closing balance |
| 19 Guangdong Expressway MTN001 | 680,000,000.00 | 2019.2.27 | 2019.3.1-2024.3.1 | 680,000,000.00 | 702,279,764.69 | 13,488,219.16 | -227,377.67 | 27,200,000.00 | 688,795,361.52 | |
| 20 Guangdong Expressway MTN001 | 750,000,000.00 | 2020.3.13 | 2020.3.17-2025.3.17 | 750,000,000.00 | 766,781,468.24 | 11,157,534.28 | -242,346.00 | 22,500,000.00 | 755,681,348.52 | |
| Less: Bonds payable due within one year（Note VII.22） | -40,679,999.99 | 695,329,608.09 | ||||||||
| Total | 1,430,000,000.00 | 1,428,381,232.94 | 24,645,753.44 | -469,723.67 | 49,700,000.00 | 749,147,101.95 |
(3) Note to conditions and time of share transfer of convertible bonds
None
（4）Other financial instruments that are classified as financial liabilities
None
26.Lease liabilities
In RMB
| Items | Balance year-end | Year-beginning balance |
| Long-term lease liabilities | 30,471,738.14 | 2,709,232.95 |
| Less：Financing costs are not recognized | 1,463,771.38 | 41,203.32 |
| Less:Long-term loans due within one year(Note V.22) | 10,151,743.03 | 2,517,045.16 |
| Total | 18,856,223.73 | 150,984.47 |
27. Long-term payable
In RMB
| Items | Balance year-end | Year-beginning balance |
| Long-term payable | 2,022,210.11 | 2,517,493.12 |
| Total | 2,022,210.11 | 2,517,493.12 |
(1) Long-term payable listed by nature of the account
In RMB
| Items | Balance year-end | Year-beginning balance |
| Non-operating asset payable | 2,022,210.11 | 2,022,210.11 |
| Medium term bill underwriting fee | 495,283.01 | 1,439,622.63 |
| Less:Long-term loans due within one year(Note V.22) | 495,283.01 | 944,339.62 |
| Total | 2,022,210.11 | 2,517,493.12 |
28. Deferred income
In RMB
| Items | Opening balance | Increase | Decrease | Closing balance | Cause |
| Government subsidy | 21,009,212.70 | 185,000,000.00 | 5,029,050.96 | 200,980,161.74 | |
| Lease income | 40,073,768.93 | 3,804,705.42 | 36,269,063.51 | ||
| Total | 61,082,981.63 | 185,000,000.00 | 8,833,756.38 | 237,249,225.25 |
Details of government subsidies：
In RMB
| Items | Beginning of term | New subsidy in current period | Amount transferred to non-operational income | Other income recorded in the current period | Amount of cost deducted in the current period | Other changes | End of term | Asset-related or income-related |
| Cancellation of | 20,931,143.87 | 5,023,474.62 | 15,907,669.25 | Related to asset |
| Expressway Provincial Toll Station Project | ||||||||
| Charging infrastructure rewards | 78,068.83 | 5,576.34 | 72,492.49 | Related to asset | ||||
| Qijiang New South city interchange construction project | 185,000,000.00 | 185,000,000.00 | Related to asset |
29. Stock capital
In RMB
| Balance Year-beginning | Changed（+，-） | Balance in year-end | |||||
| Issuance of new share | Bonus shares | Capitalization of public reserve | Other | Subtotal | |||
| Total of capital shares | 2,090,806,126.00 | 2,090,806,126.00 | |||||
30. Capital reserves
In RMB
| Items | Year- beginning balance | Increase in the current period | Decrease in the current period | Year-end balance |
| Share premium | 508,711,146.99 | 508,711,146.99 | ||
| Other capital reserves | 234,422,410.04 | 18,430.04 | 92,400.51 | 234,348,439.57 |
| Total | 743,133,557.03 | 18,430.04 | 92,400.51 | 743,059,586.56 |
- The situation of change in the current capital reserve is as follows:
1. The joint venture Guangdong Jiangzhong Expressway Co., Ltd. recognized the special reserve in thecurrent period, and the Company adjusted the book value of long-term equity investment according to theshareholding ratio, resulting in an increase in the capital reserve of 16,005.85 yuan.
2. The capital reserve of Guoyuan Securities Co., Ltd., an associated enterprise, has changed in the currentperiod.
3. Hunan Lianzhi Technology Co., Ltd., an associate of the subsidiary Yuegao Capital (Holdings)Guangzhou Co., Ltd., repurchased the equity of other shareholders, resulting in a change in the long-term equityinvestment of the subsidiary accounted for by the equity method and reducing the capital reserve by 92,400.51yuan.
31. Other comprehensive income
In RMB
| Items | Year-beginning balance | Amount of current period | Year-end balance | |||||
| Amount incurred before income tax | Less：Amount transferred into profit and loss in the current period that recognied into other comprehensive income in prior period | Less：Prior period included in other composite income transfer to retained income in the current period | Less：Income tax expenses | After-tax attribute to the parent company | After-tax attribute to minority shareholder | |||
| 1.Other comprehensive income will be reclassified into income or loss in the future | 181,045,914.34 | -4,660,243.08 | -1,165,060.77 | -3,495,182.31 | 177,550,732.03 | |||
| Changes in fair value of investments in other equity instruments | 181,045,914.34 | -4,660,243.08 | -1,165,060.77 | -3,495,182.31 | 177,550,732.03 | |||
| 2.Other comprehensive income reclassifiable to profit or loss in subsequent periods | -10,412,257.67 | 12,110,298.33 | 12,110,298.33 | 1,698,040.66 | ||||
| Including：Share of other comprehensive income of the investee that cannot be transferred to profit or loss accounted for using the equity method | -10,412,257.67 | 12,110,298.33 | 12,110,298.33 | 1,698,040.66 | ||||
| Total of other comprehensive income | 170,633,656.67 | 7,450,055.25 | -1,165,060.77 | 8,615,116.02 | 179,248,772.69 | |||
32. Surplus reserve
In RMB
| Items | Year-beginning balance | Increase in the current period | Decrease in the current period | Year-end balance |
| Statutory surplus reserve | 1,373,056,469.02 | 1,373,056,469.02 | ||
| Total | 1,373,056,469.02 | 1,373,056,469.02 |
33. Retained profits
In RMB
| Items | Amount of this period | Amount of last period |
| Before adjustments: Retained profits in last period end | 4,698,029,354.08 | 4,760,618,543.78 |
| Adjust the total undistributed profits at the beginning of the period | 510,117.60 | |
| After adjustments: Retained profits at the period beginning | 4,698,029,354.08 | 4,761,128,661.38 |
| Add：Net profit belonging to the owner of the parent company | 885,644,187.99 | 1,276,341,322.98 |
| Less: Statutory surplus reserve | 147,681,138.46 | |
| Common stock dividend payable | 894,865,021.93 | 1,191,759,491.82 |
| Retained profit at the end of this term | 4,688,808,520.14 | 4,698,029,354.08 |
As regards the details of adjusted the beginning undistributed profits
(1)As the retroactive adjustment on Enterprise Accounting Standards and its related new regulations, theaffected beginning undistributed profits are RMB -218,081.32.
(2) As the change of the accounting policy, the affected beginning undistributed profits are RMB 0.00.
(3) As the correction of significant accounting error, the affected beginning undistributed profits are RMB 0.00 .
(4) As the change of consolidation scope caused by the same control, the affected beginning undistributedprofits are RMB 0.00.
(5) Other adjustment of the total affected beginning undistributed profits are RMB 0.00 .
34.Operation income and operation cost
In RMB
| Items | Amount of this period | Amount of last period | ||
| Income | Cost | Income | Cost | |
| Main operation | 2,310,707,369.57 | 726,266,759.50 | 2,022,637,008.32 | 682,014,744.35 |
| Other operation | 29,729,405.51 | 14,403,550.99 | 34,783,801.36 | 14,128,978.15 |
| Total | 2,340,436,775.08 | 740,670,310.49 | 2,057,420,809.68 | 696,143,722.50 |
35. Business tax and subjoin
In RMB
| Items | Amount of this period | Amount of last period |
| Urban construction tax | 4,414,027.47 | 3,906,433.43 |
| Education surcharge | 2,126,579.28 | 1,870,308.46 |
| Property tax | 579,768.50 | 1,026,637.79 |
| Land use tax | 523,762.40 | 523,762.40 |
| Vehicle use tax | 42,143.75 | 43,285.07 |
| Stamp tax | 136,313.89 | 132,962.51 |
| Business tax | 185,247.66 | 185,247.66 |
| Locality Education surcharge | 1,414,531.04 | 1,243,683.98 |
| Total | 9,422,373.99 | 8,932,321.30 |
36. Administrative expenses
In RMB
| Items | Amount of current period | Amount of previous period |
| Wage | 55,924,172.80 | 58,799,341.19 |
| Depreciation of fixed assets | 4,754,414.20 | 6,814,076.61 |
| Intangible assets amortization | 754,955.47 | 953,099.24 |
| Low consumables amortization | 305,671.18 | 259,600.97 |
| Rental fee and Management fee | 5,680,829.07 | 6,027,123.06 |
| Business fee | 276,707.37 | 282,100.73 |
| Office expenses | 3,253,204.38 | 4,275,751.24 |
| Travel expenses | 299,557.29 | 114,358.72 |
| Consultation expenses | 100,000.00 | |
| The fee for hiring agency | 2,756,001.59 | 3,376,068.01 |
| Repairs cost | 152,240.53 | 189,544.16 |
| Vehicle fee | 1,353,271.68 | 1,304,983.31 |
| Listing fee | 143,396.22 | 11,320.75 |
| Information cost and maintenance fee | 559,255.14 | 961,765.47 |
| Other | 3,810,168.79 | 2,304,133.58 |
| Total | 80,023,845.71 | 85,773,267.04 |
37.R& D expenses
In RMB
| Items | Amount of this period | Amount of last period |
| Wage | 81,651.82 | 945,204.60 |
| Material cost | 412,566.35 | |
| Depreciation | 5,521.90 | |
| Low consumables amortization | 885.00 | |
| Office expenses | 4,318.22 | |
| Repairs cost | 391.15 | |
| Total | 81,651.82 | 1,368,887.22 |
38.Financial expenses
In RMB
| Items | Amount of this period | Amount of last period |
| Interest expenses | 109,161,060.69 | 123,517,238.10 |
| Deposit interest income（-） | -18,067,700.31 | -36,907,508.27 |
| Exchange Income and loss（Gain-） | ||
| Bank commission charge | 56,504.09 | 84,179.23 |
| Other | 3,226.00 | 608,147.56 |
| Total | 91,153,090.47 | 87,302,056.62 |
39.Other gains
In RMB
| Items | Amount of this period | Amount of last period |
| Government Subsidy-Cancel the Special Subsidy for Provincial Toll Station Project of Expressway | 5,023,474.62 | 5,023,474.62 |
| Government Subsidy- Charging infrastructure incentive funds | 5,576.34 | |
| Government subsidy-- Jiujiang Bridge structure health monitoring system optimization and upgrade of vehicle purchase tax subsidy funds | 600,000.00 | |
| Government subsidy- Stable job subsidies - Expansion subsidy | 25,500.00 | |
| Government subsidy- Stable job subsidies | 1,250,935.46 | |
| Government subsidy-- Enterprises with industrial training subsidies | 1,074,875.00 | |
| Maternity allowance | 577,849.71 | 435,454.91 |
| Withholding and remitting enterprise prepaid income tax fees | 39,147.73 | 156,133.38 |
| Withhold personal income tax handling fee refund | 164,638.95 | 159,544.67 |
| Veterans' VAT reduction and exemption | 13,786.43 | 15,009.81 |
| Withholding and remitting enterprise prepaid income tax fees | 62,924.53 | |
| Total | 6,449,973.78 | 8,178,352.38 |
40. Investment income
In RMB
| Items | Amount of this period | Amount of last period |
| Long-term equity investment income by equity method | 109,631,134.53 | 101,561,222.92 |
| Disposition of the investment income generated by the long-term equity investment | 13,564,262.33 | |
| Investment income of trading financial assets during the holding period | 601,253.78 | |
| Dividends earned during the holding period on investments in other equity instrument | 71,249,739.36 | 47,286,243.74 |
| Other | -80,000.00 | -91,000.00 |
| Total | 181,402,127.67 | 162,320,728.99 |
41. Credit impairment losses
In RMB
| Items | Amount of this period | Amount of last period |
| Impairment losses on other receivable | -43,681,523.62 | |
| Impairment losses on account receivable | -1,945,429.56 | |
| Total | -45,626,953.18 |
Other note
42. Asset impairment loss
In RMB
| Items | Amount of this period | Amount of last period |
| Total disposal gains or losses of non-current assets | 463,363.89 | |
| Including: Loss on impairment of fixed assets | 463,363.89 | |
| Total | 463,363.89 |
43. Non-Operation income
In RMB
| Items | Amount of current period | Amount of previous period | The amount of non-operating gains & losses |
| Non-current assets are damaged and scrapped for profit | 237,412.50 | ||
| Among them: Fixed assets | 237,412.50 | ||
| Insurance claim income | 967,952.70 | 4,141,948.49 | 967,952.70 |
| Road property claim income | 1,126,095.64 | 1,419,966.31 | 1,126,095.64 |
| Other | 54,244.51 | 22,304.35 | 54,244.51 |
| Total | 2,148,292.85 | 5,821,631.65 | 2,148,292.85 |
44. Non-Operation expenses
In RMB
| Items | Amount of current period | Amount of previous period | Recorded in the amount of the non-recurring gains and losses |
| Non-current assets are damaged and scrapped for profit | 15,753.62 | 252,895.85 | 15,753.62 |
| Road rehabilitation expenditure | 176,042.00 | 2,624,379.66 | 176,042.00 |
| Fine | 570.97 | 2,254.33 | 570.97 |
| Other | 47,856.00 | 76,129.55 | 47,856.00 |
| Total | 240,222.59 | 2,955,659.39 | 240,222.59 |
45. Income tax expense
(1) Lists of income tax expense
In RMB
| Items | Amount of current period | Amount of previous period |
| Current income tax expense | 287,619,631.20 | 246,703,707.49 |
| Deferred income tax expense | 81,420,752.61 | 43,520,805.04 |
| Total | 369,040,383.81 | 290,224,512.53 |
(2) Adjustment process of accounting profit and income tax expense
In RMB
| Items | Amount of current period |
| Total | 1,563,218,721.13 |
| Current income tax expense accounted by tax and relevant regulations | 390,804,680.28 |
| Influence of income tax before adjustment | 248,156.86 |
| Influence of non taxable income | -17,962,748.29 |
| Impact of non-deductible costs, expenses and losses | 10,334,504.26 |
| Effect of deductible losses from using previously unrecognized deferred income tax assets | -14,384,209.30 |
| Income tax expense | 369,040,383.81 |
46.Items of Cash flow statement
（1）Other cash received from business operation
In RMB
| Items | Amount of current period | Amount of previous period |
| Interest income | 14,000,060.50 | 20,528,520.76 |
| Unit current account | 40,874,222.93 | 46,907,015.63 |
| Qijiang new city south interchange construction subsidy funds | 185,000,000.00 | |
| Total | 239,874,283.43 | 67,435,536.39 |
（2）Other cash paid related to operating activities
In RMB
| Items | Amount of current period | Amount of previous period |
| Management expense | 10,883,695.76 | 14,342,965.21 |
| Unit current account | 27,999,921.65 | 32,790,555.31 |
| Total | 38,883,617.41 | 47,133,520.52 |
(3)Cash receivable related to other Financing activities
In RMB
| Items | Amount of current period | Amount of previous period |
| Government infrastructure investment subsidies | 38,470,400.00 | |
| Interest income from special borrowing | 1,460,847.67 | |
| Total | 1,460,847.67 | 38,470,400.00 |
（4）Cash paid related to other Financing activities
In RMB
| Items | Amount of current period | Amount of previous period |
| Issuance fee of medium-term notes | 1,001,869.75 | 1,001,869.75 |
| Cash paid for the lease liabilities | 7,325,653.27 | 5,240,644.14 |
| Total | 8,327,523.02 | 6,242,513.89 |
47. Supplement Information for cash flow statement
（1）Supplement Information for cash flow statement
In RMB
| Supplement Information | Amount of current period | Amount of previous period |
| I. Adjusting net profit to cash flow from operating activities | ||
| Net profit | 1,194,178,337.32 | 1,061,504,459.99 |
| Add：Credit loss preparation | ||
| Depreciation of fixed assets, oil and gas assets and consumable biological assets | 542,423,799.22 | 479,906,745.78 |
| Depreciation of Use right assets | 5,042,953.50 | 4,910,817.45 |
| Amortization of intangible assets | 12,833,960.75 | 11,410,277.66 |
| Amortization of Long-term deferred expenses | ||
| Loss on disposal of fixed assets, intangible assets and other long-term deferred assets | -463,363.89 | |
| Fixed assets scrap loss | 15,753.62 | 15,483.35 |
| Loss on fair value changes | ||
| Financial cost | 109,276,885.58 | 123,517,238.10 |
| Loss on investment | -181,402,127.67 | -162,320,728.99 |
| Decrease of deferred income tax assets | 82,208,258.88 | 55,802,962.55 |
| Increased of deferred income tax liabilities | -787,506.27 | -12,282,157.51 |
| Decrease of inventories | ||
| Decease of operating receivables | -82,590,730.82 | -46,196,406.71 |
| Increased of operating Payable | 287,090,654.41 | -72,254,061.48 |
| Provision for credit losses | 45,626,953.18 | |
| Net cash flows arising from operating activities | 2,013,917,191.70 | 1,443,551,266.30 |
| II. Significant investment and financing activities that without cash flows: | ||
| Conversion of debt into capital | ||
| Convertible corporate bonds maturing within one year | ||
| Financing of fixed assets leased | ||
| 3．Movement of cash and cash equivalents： | ||
| Ending balance of cash | 5,274,773,267.75 | 4,042,994,649.07 |
| Less: Beginning balance of cash equivalents | 4,284,688,231.33 | 2,955,183,190.55 |
| Add：End balance of cash equivalents | ||
| Less: Beginning balance of cash equivalents | ||
| Net increase of cash and cash equivalent | 990,085,036.42 | 1,087,811,458.52 |
（2）Composition of cash and cash equivalents
In RMB
| Items | Balance in year-end | Balance in year-Beginning |
| Cash | 5,274,773,267.75 | 4,284,688,231.33 |
| Of which: Cash in stock | 56,693.11 | 43,420.71 |
| Bank savings could be used at any time | 5,274,200,451.44 | 4,284,128,907.61 |
| Other monetary capital could be used at any time | 516,123.20 | 515,803.01 |
| Balance of cash and cash equivalents at the period end | 5,274,773,267.75 | 4,284,688,231.33 |
48. The assets with the ownership or use right restricted
In RMB
| Items | Book value at the end of the period | Restricted reason |
| Monetary fund | 1,221,200.00 | Land reclamation funds in the fund escrow account |
| Total | 1,221,200.00 |
VIII. Equity in other entities
1. Equity in subsidiary
(1) The structure of the enterprise group
| Name of Subsidiary | Main Places of Operation | Registration Place | Nature of Business | Shareholding Ratio (%) | Obtaining Method | |
| direct | indirect | |||||
| Guangfo Expressway Co., Ltd. | Guangzhou | Guangzhou | Expressway Management | 75.00% | Under the same control business combination | |
| Guanghui Expressway Co., Ltd. | Guangzhou | Guangzhou | Expressway Management | 51.00% | Under the same control business combination | |
| Jingzhu Expressway Guangzhu Section Co.,Ltd. | Zhongshan | Guangzhou | Expressway Management | 75.00% | Under the same control business combination | |
| Yuegao Capital Investment(Guangzhou)Co., Ltd. | Guangzhou | Guangzhou | Investment management | 100.00% | Establishment | |
Notes: holding proportion in subsidiary different from voting proportion: NoneBasis of holding half or less voting rights but still been controlled investee and holding more than half of the
voting rights not been controlled investee: NoneSignificant structure entities and controlling basis in the scope of combination: NoneBasis of determine whether the Company is the agent or the principal: NoneOther note
(2) Important Non-wholly-owned Subsidiary
In RMB
| Name of Subsidiary | Shareholding Ratio of Minority Shareholders (%) | Profit or Loss Owned by the Minority Shareholders in the Current Period | Dividends Distributed to the Minority Shareholders in the Current Period | Equity Balance of the Minority Shareholders in the End of the Period |
| Guangfo Expressway Co., Ltd. | 25.00% | -10,159,876.83 | 54,191,863.16 | |
| Guangdong Guanghui Expressway Co., Ltd. | 49.00% | 248,592,282.67 | 133,205,174.08 | 2,090,255,570.22 |
| Jingzhu Expressway Guangzhu Section Co.,Ltd. | 25.00% | 70,101,743.49 | 88,470,000.47 | 323,901,561.73 |
Holding proportion of minority shareholder in subsidiary different from voting proportionNone
(3) The main financial information of significant not wholly owned subsidiary
In RMB
| Name | Year-end balance | |||||
| Current assets | Non- current assets | Total assets | Current Liabilities | Non- current liabilities | Total liabilities | |
| Guangfo Expressway Co., Ltd. | 227,792,721.22 | 15,224,557.98 | 243,017,279.20 | 26,249,826.57 | 26,249,826.57 | |
| Guangdong Guanghui Expressway Co., Ltd. | 1,878,332,015.30 | 2,744,797,728.05 | 4,623,129,743.35 | 203,516,148.58 | 153,785,900.44 | 357,302,049.02 |
| Jingzhu Expressway Guangzhu Section Co.,Ltd. | 913,861,914.06 | 2,932,963,715.03 | 3,846,825,629.09 | 1,880,885,837.14 | 670,333,545.03 | 2,551,219,382.17 |
In RMB
| Name | Year-beginning balance | |||||
| Current assets | Non- current assets | Total assets | Current Liabilities | Non- current liabilities | Total liabilities | |
| Guangfo Expressway Co., Ltd. | 270,445,990.72 | 15,689,069.15 | 286,135,059.87 | 28,728,099.92 | 28,728,099.92 | |
| Guangdong Guanghui Expressway Co., Ltd. | 1,463,091,700.93 | 2,980,427,023.34 | 4,443,518,724.27 | 242,093,924.47 | 171,081,000.56 | 413,174,925.03 |
| Jingzhu Expressway Guangzhu Section Co.,Ltd. | 1,097,313,535.80 | 2,536,899,303.01 | 3,634,212,838.81 | 2,477,933,314.32 | 141,080,251.54 | 2,619,013,565.86 |
In RMB
| Name | Amount of current period | Amount of previous period | ||||||
| Business income | Net profit | Total Comprehensive income | Cash flows from operating activities | Business income | Net profit | Total Comprehensive income | Cash flows from operating activities | |
| Guangfo Expressway Co., Ltd. | 1,472,953.28 | -40,639,507.32 | -40,639,507.32 | -2,029,459.25 | 66,566,527.45 | 38,386,003.12 | 38,386,003.12 | 200,857,877.57 |
| Guangdong Guanghui Expressway Co., Ltd. | 1,024,822,529.29 | 507,331,189.13 | 507,331,189.13 | 777,984,620.05 | 893,298,497.64 | 469,177,363.59 | 469,177,363.59 | 591,588,578.50 |
| Jingzhu Expressway | 574,690,822.31 | 280,406,973.97 | 280,406,973.97 | 495,884,944.24 | 452,938,785.68 | 193,096,571.04 | 193,096,571.04 | 271,398,716.46 |
Guangzhu SectionCo.,Ltd.
Other note：
(4) Significant restrictions of using enterprise group assets and pay off enterprise group debtNone
(5) Provide financial support or other support for structure entities incorporate into the scope ofconsolidated financial statementsNone
2. The transaction of the Company with its owner’s equity share changed but still controlling thesubsidiary
(1) Significant joint venture arrangement or associated enterprise
None
（2）Affect of the transaction on the minority equity and owner's equity attributable to the parentcompanyNone
3. Equity in joint venture arrangement or associated enterprise
(1) Significant joint venture arrangement or associated enterprise
| Name | Main operating place | Registration place | Business nature | Proportion | Accounting treatment of the investment of joint venture or associated enterprise | |
| Directly | Indirectly | |||||
| Zhaoqing Yuezhao Highway Co., Ltd. | Zhaoqing, Guangdong | Zhaoqing, Guangdong | Expressway Management | 25.00% | Equity method | |
| Shenzhen Huiyan Expressway Co., Ltd. | Shenzhen | Shenzhen | Expressway Management | 33.33% | Equity method | |
| Guangdong Jiangzhong Expressway Co., Ltd. | Zhongshan , | Zhongshan , | Expressway Management | 15.00% | Equity method | |
| Ganzhou kangda Expressway Co., Ltd. | Gangzhou | Ganzhou | Expressway Management | 30.00% | Equity method | |
| Ganzhou Gankang Expressway Co., Ltd. | Gangzhou | Ganzhou | Expressway Management | 30.00% | Equity method | |
| Guangdong Yuepu Small Refinancing Co., Ltd | Guangzhou | Guangzhou | Hand all kinds of small loans | 15.48% | Equity method | |
| Guangyuan Securities Co., Ltd. | Hefei | Hefei | Security business | 2.37% | Equity method | |
| Hunan Lianzhi Technology Co., Ltd. | Changsha | Changsha | Research and experimental development | 12.53% | Equity method | |
| SPIC Yuetong Qiyuan Chip Power Technology Co., Ltd | Guangzhou | Guangzhou | New Energy service | 5.00% | Equity method | |
| Shenzhen Garage Electric Pile Technology Co., Ltd | Shenzhen | Shenzhen | Software and Information technology | 17.40% | Equity method | |
Notes to holding proportion of joint venture or associated enterprise different from voting proportion:
None
Basis of holding less than 20% of the voting rights but has a significant impact or holding 20% or more votingrights but does not have a significant impact:
Guangdong, Jiangzhong Expressway Co., Ltd., Guangyuan Securities Co., Ltd.，Yuepu Small Refinancing Co.,Ltd.and Hunan Lianzhi Technology Co., Ltd. SPIC Yuetong Qiyuan Chip Power Technology Co., Ltd.andShenzhen Garage Electric Pile Technology Co.,Ltd. holds 20% of the voting rights, but has the power to participate in making decisions on their financial and operating decisions, and therefore deemed to be able to exert significant influence over the investee.
(2) Main financial information of significant joint venture
None
(3) Main financial information of significant associated enterprise
In RMB
| Year-end balance/ Amount of current period | Balance at the end of last year/ Amount of previous period | |
| Guoyuan Securities Co., Ltd. | Guoyuan Securities Co., Ltd. | |
| Current assets | ||
| Non-current assets | ||
| Total assets | 136,259,314,336.23 | 130,765,208,142.95 |
| Current liabilities | ||
| Non-current Liabilities | ||
| Total liabilities | ||
| Minority Shareholders’ Equity | ||
| Shareholders’ equity attributable to shareholders of the parent | 33,709,197,542.75 | 32,927,214,909.60 |
| Pro rata share of the net assets calculated | 799,379,548.17 | 780,835,620.42 |
| Adjustment items | ||
| --Goodwill | 207,095,632.54 | 207,095,632.54 |
| -- Internal transactions did not achieve profits | ||
| --Other | ||
| The book value of equity investments in joint ventures | 1,006,475,180.71 | 987,931,252.96 |
| Fair value of equity investment of associated enterprises with open quotation | 674,706,434.64 | 655,044,744.06 |
| Buinsess incme | 3,110,841,516.79 | 2,474,031,036.38 |
| Net profit | 914,347,343.11 | 749,499,017.55 |
| Net profit from terminated operations | ||
| Other comprehensive income | 510,710,079.37 | -35,288,230.26 |
| Total comprehensive income | 1,425,057,422.48 | 714,210,787.29 |
| Dividends received from associates during the year | 15,522,387.30 | 18,626,864.76 |
(4) Summary financial information of insignificant joint venture or associated enterprise
In RMB
| Year-end balance/ Amount of current period | Year-beginning balance/ Amount of previous period | |
| Joint venture： | ||
| Total amount of the pro rata calculation of the following items | ||
| Associated enterprise： | ||
| Total book value of the investment | 2,061,955,507.51 | 1,935,437,414.88 |
| Total amount of the pro rata calculation of the following--Net profit ms | ||
| --Net profit | 87,613,916.46 | 82,950,868.66 |
| --Total comprehensive income | 87,613,916.46 | 82,950,868.66 |
(5) Note to the significant restrictions of the ability of joint venture or associated enterprise transferfunds to the CompanyNone
(6) The excess loss of joint venture or associated enterprise
None
(7) The unrecognized commitment related to joint venture investment
None
(8) Contingent liabilities related to joint venture or associated enterprise investmentNone
4. Significant common operation
None
5. Equity of structure entity not including in the scope of consolidated financial statementsNone
6.Other note
NoneIX. Risks Related to Financial InstrumentsThe company has the main financial instruments, such as bank deposits, receivables and payables, investments,loans and so on. Please refer to the relevant disclosure in Notes for the details. The risks associated with thesefinancial instruments mainly include credit risk, market risk and liquidity risk. The company’s managementshall manage and monitor these risks and ensure above risks to be controlled within certain scope.The targets and policies of risk managementThe target of risk management is to obtain the proper balance between the risk and benefit, to reduce thenegative impact that is caused by the risk of the Company to the lowest level, and to maximize the benefits ofshareholders and other equity investors. Based on the targets of risk management, the basic strategy of theCompany’s risk management is to identify and analyze the risks which are faced by the Company, establishsuitable risk tolerance baseline and proceed the risk management, and supervise a variety of risks timely and
reliably, and control the risks within a limited range.
1.Market risk
（1）Foreign exchange risk
Foreign exchange risk refers to the risk of loss due to exchange rate fluctuations generally. Our foreignexchange risk is mainly related to Hong Kong Dollar. Besides annual distribution of B-share shareholderdividends, other major business activities of our Company are settled in RMB. During the reporting period, due tothe short credit period of the Company's income and expenditure related to foreign currency, it was not affectedby foreign exchange risk.
（2）Interest rate risk
The Company's risk of cash flow changes in financial instruments caused by interest rate changes is mainlyrelated to floating rate bank borrowings. The Company's policy is to maintain the floating interest rate of theseborrowings, and at the same time to reasonably reduce the risk of interest rate fluctuation by shortening the termof a single loan and specifically agreeing on prepayment terms.
（3）Other price risk
The investments held by the Company are classified as financial assets measured at fair value and whosechanges are included in other comprehensive income and are measured at fair value on the balance sheet date.Therefore, the Company bears the risk of changes in the securities market.
2.Credit risk
As of June 30,2023, the largest credit risk exposure that may cause financial losses of the Company mainlycomes from the loss of financial assets of the Company caused by the failure of the other party to perform itsobligations.
In order to reduce credit risk, the Company only deals with recognized and reputable customers. In addition,the Company reviews the recovery of each single receivables on each balance sheet date to ensure that adequatebad debt provisions are made for unrecoverable amounts. Consequently, the Company's management believes thatthe Company's credit risk has been greatly reduced.The Group's working capital is deposited in banks with higher credit rating, so the credit risk of workingcapital is relatively low.Financial assets overdue or impaired;
(1) Aging analysis of financial assets with overdue impairment: Not existed
(2) Analysis of financial assets that have suffered single impairment: Refer to "4, Other Receivables" in VIIand "7, Investment in Other Equity Instruments" in VII of this section for details.
3.Liquidity risk
When managing liquidity risks, the Company maintains sufficient cash and cash equivalents as deemed bythe management and monitor them to meet the Company's operational needs and reduce the impact of cash flowfluctuations. The management of the Company monitors the use of bank loans and ensures compliance with theloan agreement.X. The disclosure of the fair value
1. Closing fair value of assets and liabilities calculated by fair value
In RMB
| Items | Closing fair value | |||
| Fir value measurement items at level 1 | Fir value measurement items at level 2 | Fir value measurement items at level 3 | Total | |
| I. Consistent fair value measurement | -- | -- | -- | -- |
| (I) Trading financial assets | 181,400,000.00 | 181,400,000.00 | ||
| （2）Equity instrument investment | 181,400,000.00 | 181,400,000.00 | ||
| （II）Other equity instrument investment | 722,232,678.08 | 830,410,809.82 | 1,552,643,487.90 | |
| Total assets continuously measured at fair value | 722,232,678.08 | 1,011,810,809.82 | 1,734,043,487.90 | |
| II. Non –persistent measure | -- | -- | -- | -- |
2. Market price recognition basis for consistent and inconsistent fair value measurement items at level 1.As at the end of the period, the company holds shares 235,254,944 shares of China Everbright BankAccording to the closing price of June 30,2023 of 3.07 yuan, the final calculation of fair value was722,232,678.08 yuan.
3. Fair value of financial assets and liabilities not measured at fair value, The valuation techniquesadopted and the qualitative and quantitative information of important parameters for continuous andnon-continuous level 3 fair value measurement items
| Items | Fair value as of June 30,2032 | Valuation technology | Unobservable input value |
| Unlisted equity investment | 1,011,810,809.82 | Hire a third party for evaluation or enjoy the share of the net book assets of the investee based on the shareholding ratio |
4. Fair value of financial assets and liabilities not measured at fair value
The Company's financial assets and liabilities measured in amortized cost mainly include: accountsreceivable, other receivables, contract assets, short-term loans, accounts payable, other payables, non-currentliabilities due within one year, long-term loans, bonds payable and long-term payables.
There is no significant difference between the book value of financial assets and liabilities not measured atfair value and the fair value.XI. Related parties and related-party transactions
1. Parent company information of the enterprise
| Name | Registered address | Nature | Redistricted capital | The parent company of the Company's shareholding ratio | The parent company of the Company’s vote ratio |
| Guangdong communication Group Co., Ltd | Guangzhou | Equity management, traffic infrastructure construction and railway project | 26.8 billion yuan | 24.56% | 50.12% |
operation
Notes ：
Guangdong Communication Group Co., Ltd. is the largest shareholder of the Company. legal representative:
Deng Xiaohua. Date of establishment: June 23, 2000. As of June 30, 2023,Registered capital: 26.8 billion yuan.It is a solely state-owned limited company. Business scope：equity management, organization of assetreorganization and optimized allocation, raising funds by means including mortgage, transfer of property rightsand joint stock system transformation, project investment, operation and management, traffic infrastructureconstruction, highway and railway project operation and relevant industries, technological development,application, consultation and services, highway and railway passenger and cargo transport, ship industry,relevant overseas businesses; The value-added communication business.The finial control of the Company was State owned assets supervision and Administration Commission ofGuangdong Provincial People's Government.
2.Subsidiaries of the Company
Subsidiaries of this enterprise, see VIII(1) the rights of other entity
3. Information on the joint ventures and associated enterprises of the CompanyDetails refer to the VI-3, Interests in joint ventures or associatesInformation on other joint venture and associated enterprise of occurring related party transactions with theCompany in reporting period, or form balance due to related party transactions in previous period:
| Name | Relation with the Company |
| Shenzhen Huiyan Expressway Co., Ltd. | Associated enterprises of the Company |
| Zhaoqing Yuezhao Highway Co., Ltd. | Associated enterprises of the Company |
| Ganzhou Kangda Expressway Co., Ltd. | Associated enterprises of the Company |
| Ganzhou Gankang Expressway Co., Ltd. | Associated enterprises of the Company |
| Guangdong Jiangzhong Expressway Co., Ltd. | Associated enterprises of the Company |
4. Other Related parties
| Name | Relation with the Company |
| Guangdong East Thinking Management Technology Development Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Expressway Media Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Expressway Technology Investment Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Humen Bridge Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Hualu Traffic Technology Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Communications Testing Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Litong Development Investment Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Litong Technology Investment Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Litong Property Investment Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Union Electron Service Information technology Co., ltd. | Fully owned subsidiary of the parent company |
| Guangdong Lulutong Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Luoyang Expressway Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Provincial Freeway Co.,Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Highway Construction Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Communication Group Finance Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Tongyi Expressway Service Area Co., Ltd | Fully owned subsidiary of the parent company |
| Guangdong Xinyue Traffic Investment Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Yueyun Traffic Rescue Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangzhou Xinyue Traffic Technology Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangzhou Xinyue Asphalt Co., Ltd. | Fully owned subsidiary of the parent company |
| Guangdong Traffic Development Co., Ltd. | Fully owned subsidiary of the parent company |
| Poly Changda Engineering Co., Ltd. | Shares of parent company |
| Guangdong Communication Planning & Design Institute Co., Ltd. | Shares of parent company |
| Guangdong Changda Road Conservation Co., Ltd. | Shares of parent company |
| Guangzhou Aitesi Communication equipment Co., Ltd. | Associated enterprises controlled by the same parent company |
| Guangdong Jingzhu Expressway Guangzhu North Section Co., Ltd. | Associated enterprises controlled by the same parent company |
| Guangdong Feida Traffic Engineering Co., Ltd. | Associated enterprises controlled by the same parent company |
| Guangdong Road Network Digital Media Information Technology Co. Ltd | Fully owned subsidiary of the parent company |
| Hunan Lianzhi Technology Co., Ltd. | A wholly owned subsidiary of the Company |
| Guangzhongjiang Expressway Project Management Dept | Managed by the parent company |
5. List of related-party transactions
(1)Information on acquisition of goods and reception of labor service
Acquisition of goods and reception of labor service
In RMB
| Related parties | Content of related transaction | Amount of current period | Amount of previous period | Over the trading limit or not? | Amount of last period |
| 1. Operating costs | |||||
| Guangdong Union electronic services co., Ltd. | Service | 13,229,622.13 | 12,021,733.95 | ||
| Guangdong Yueyun Traffic Rescue Co., Ltd. | Rescue service fee | 1,803,701.00 | 494,700.00 | ||
| Guangdong Xinyue Traffic Investment Co., Ltd. | Daily maintenance fee of the electromechanical system | 1,767,361.32 | |||
| Guangdong Litong Technology Investment Co., Ltd. | Remote monitoring and technical support service fee | 499,250.40 | |||
| Guangdong Humen Bridge Co., Ltd. | Electric charge | 330,692.01 | 310,411.02 |
| Related parties | Content of related transaction | Amount of current period | Amount of previous period | Over the trading limit or not? | Amount of last period |
| Guangdong Hualu Traffic Technology Co., Ltd. | Service | 306,348.00 | |||
| Poly Changda Engineering Co., Ltd. | service | 242,574.00 | 11,772,757.00 | ||
| Guangdong Tongyi Expressway Service Area Co., Ltd | Labour protection | 176,962.71 | 40,808.70 | ||
| Guangdong Feida Traffic Engineering Co., Ltd. | Mechanical and electrical daily maintenance payment | 2,003,201.04 | |||
| Guangdong Communication Planning & Design Institute Co., Ltd. | Project | 178,243.00 | |||
| Guangdong Lulutong Co., Ltd. | Maintenance, Project funds | 52,598.00 | |||
| Guangdong Jingzhu Expressway Guangzhu North Section Co., Ltd. | Labour protection | 8,551.20 | |||
| Guangzhou Aitesi Communication Equipment Co., Ltd. | Maintenance of charging facilities | 2,400.00 | |||
| Subtotal of operating costs | 18,356,511.57 | 26,885,403.91 | |||
| 2. Financial expenses | |||||
| Guangdong Communication Group Finance Co., Ltd. | Deposit interest income | -9,965,887.73 | -24,475,843.25 | ||
| Guangdong Communication Group Finance Co., Ltd. | Borrowing Interest expresses | 6,590,997.21 | 5,112,347.24 | ||
| Guangdong Communication Group Finance Co., Ltd. | Commission charge | 3,785.00 | 920.00 | ||
| Guangdong Communication Group Co., Ltd. | Interest | 7,402,083.32 | |||
| Subtotal of Financial expenses | 4,030,977.80 | -19,362,576.01 | |||
| 3. Administrative expenses | |||||
| Guangdong Tongyi Expressway Service Area Co., Ltd | Labour protection | 74,591.29 | |||
| Guangdong Union electronic services co., Ltd. | maintenance fee | 288,500.00 | |||
| Guangdong East Thinking Management Technology Development Co., Ltd. | OA Maintenance，Service | 10,000.00 | |||
| Subtotal of management expenses | 74,591.29 | 298,500.00 | |||
| 4. Non operating expenses | |||||
| Poly Changda Engineering Co., Ltd. | Expenditure for repairing damaged civil engineering facilities | 1.00 | 1,009,397.00 | ||
| Subtotal of Non operating expenses | 1.00 | 1,009,397.00 |
| Related parties | Content of related transaction | Amount of current period | Amount of previous period | Over the trading limit or not? | Amount of last period |
| 5. Construction in progress | |||||
| Guangdong Communication Planning & Design Institute Co., Ltd. | Purchase assets | 5,422,739.00 | 5,973,981.00 | ||
| Guangdong Communications Testing Co., Ltd. | Purchase assets | 2,028,475.00 | |||
| Guangdong Highway Construction Co., Ltd. | Purchase assets | 480,000.00 | 9,089,990.48 | ||
| Poly Changda Engineering Co., Ltd. | Purchase assets | 26,630,344.47 | |||
| Guangdong Xinyue Traffic Investment Co., Ltd. | Purchase assets | 6,127,813.56 | |||
| Guangdong Hualu Traffic Technology Co., Ltd. | Purchase assets | 907,894.50 | |||
| Subtotal of Construction in progress | 7,931,214.00 | 48,730,024.01 | |||
| 6. Fixed assets | |||||
| Guangdong Expressway Technology Investment Co., Ltd. | Purchase assets | 82,895.00 | |||
| Guangdong Communication Planning & Design Institute Co., Ltd. | Purchase assets | 483,543.00 | |||
| Subtotal of Fixed assets | 566,438.00 | ||||
| 7. Other current assets | |||||
| Guangdong Feida Traffic Engineering Co., Ltd. | Contract acquisition cost | 182,274.01 | |||
| Subtotal of Other current assets | 182,274.01 |
Related transactions on sale goods and receiving services
In RMB
| Related party | Content | Amount of current period | Amount of previous period |
| Operating income | |||
| Jingzhu Expressway Guangzhu North section Co., Ltd. | Commission management fee | 10,977,500.00 | 10,603,632.04 |
| Zhaoqing Yuezhao Highway Co., Ltd. | Salaries of expatriate staff | 613,816.63 | 512,977.97 |
| Ganzhou Gankang Expressway Co., Ltd. | Salaries of expatriate staff | 578,774.80 | 525,660.83 |
| Guangdong Traffic Development Co., Ltd. | electricity | 486,046.23 | 336,290.97 |
| Guangdong Tongyi Expressway Service Area Co., Ltd | water and electricity | 479,678.14 | 486,716.96 |
| Shenzhen Huiyan Expressway Co., Ltd. | Salaries of expatriate staff | 464,466.28 | 260,849.89 |
| Ganzhou Kangda Expressway Co., Ltd. | Salaries of expatriate | 142,237.06 | 138,547.02 |
| staff | |||
| Guangdong Jiangzhong Expressway Co., Ltd. | Salaries of expatriate staff | 168,312.27 | 176,119.41 |
| Poly Changda Engineering Co., Ltd. | Bidding documents income, water and electricity bills | 21,011.51 | 1,000.00 |
| Guangdong Yueyun Traffic Rescue Co., Ltd. | Water and electricity | 5,770.73 | |
| Guangdong Expressway Media Co., Ltd. | Water and electricity | 4,637.51 | |
| Guangdong Provincial Freeway Co.,Ltd. | Project fund | 886,950.00 | |
| Guangdong Luoyang Expressway Co., Ltd. | Test | 58,490.57 | |
| Subtotal of Operating income | 13,942,251.16 | 13,987,235.66 |
(2) Information of related lease
The Company was lessor：
In RMB
| Name of lessee | Category of lease assets | The lease income confirmed in this year | The lease income confirmed in last year |
| Guangdong Expressway Media Co., Ltd. | Advertising lease | 1,292,283.51 | 1,379,412.57 |
| Guangdong Litong Technology Investment Co., Ltd. | Communication Piping | 1,067,169.99 | 522,034.27 |
| Poly Changda Engineering Co., Ltd. | Rental income | 555,557.14 | 555,557.14 |
| Guangdong Expressway Technology Co., Ltd. | Advertising lease | 543,695.69 | |
| Guangdong Traffic Development Co., Ltd. | Rental income of charging pile | 267,958.87 | 149,850.34 |
| Guangdong Road Network Digital Media Information Technology Co., Ltd. | Advertising | 2,777.78 |
- The company was lessee：
In RMB
| Lessor | Category of leased assets | Rental charges for short-term and low-value assets (if any) | Variable lease payments not included in lease liabilities measurement (if any) | Rent paid | Interest expenses on lease liabilities assumed | Increased use right assets | |||||
| Amount of current period | Amount of previous period | Amount of current period | Amount of previous period | Amount of current period | Amount of previous period | Amount of current period | Amount of previous period | Amount of current period | Amount of previous period | ||
| Guangdong Litong Decelopment Investment Co., Ltd | Office space | 5,065,766.04 | 4,798,232.52 | 276,207.92 | 223,498.78 | 30,404,063.26 | |||||
| Guangdong Litong Property Development Co., Ltd. | Office space | 18,093.00 | 27,586.00 | 15,732.00 | 1,490.55 | 230,671.46 | |||||
(3 ）Rewards for the key management personnel
In RMB
| Items | Amount of current period | Amount of previous period |
| Rewards for the key management personnel | 2,969,700.00 | 2,834,900.00 |
（4） Transactions with associated financial companies
（1）Deposit business
| Related party | Relationship | Maximum daily deposit limit（10，000） | Deposit interest rate range | Beginning balance（10，000） | The amount of this period | Ending balance（10，000) | |
| Total amount for this period（10,000） | Total amount is withdrawn for this period（10,000） | ||||||
| Guangdong Communications Group Finance Co., Ltd | Controlled by the same parent company | 300,000.00 | 0.35%-2.85% | 239,396.61 | 298,189.83 | 254,255.77 | 283,330.67 |
（2）Loan business
| Related party | Relationship | Loan limit（10，000） | Loant interest rate range | Beginning balance（10，000） | The amount of this period | Ending balance（10，000） | |
| Total loan amount of the current period（10,000） | Total repayment amount of the current period（10,000） | ||||||
| Guangdong Communications Group Finance Co., Ltd | Controlled by the same parent company | 400,000.00 | 2.95%-3.40% | 62,859.33 | 659.10 | 43,797.13 | 19,721.30 |
（3）Credit extension or other financial services
| Related party | Relationship | Business type | Total amount（10，000） | Actual amount incurred（10，000) |
| Guangdong Communications Group Finance Co., Ltd | Controlled by the same parent company | Credit extension | 220,000.00 | 19,700.00 |
The Company respectively signed the "Cash Management Business Cooperation Agreement" withGuangdong Communications Group Finance Co., Ltd and the Guangdong Branch of Industrial and CommercialBank of China on December 25, 2017; and signed the "Cash Management Business Cooperation Agreement" withGuangdong Communications Group Finance Co., Ltd and the Guangdong Branch of Industrial and CommercialBank of China on December 22, 2017 respectively, joined the cash pool of Guangdong Communications GroupFinance Co., Ltd.Guangdong Guanghui Expressway Co., Ltd respectively signed the "Cash Management BusinessCooperation Agreement" with Guangdong Communications Group Finance Co., Ltd and Agricultural Bank ofChina Co., Ltd Guangdong Branch on May 19, 2020, joined the cash pool of Guangdong Communications Group
Finance Co., Ltd.
（5）Asset transfer and debt restructuring of related parties
None
(6) Other related-party transactions
-On June 15, 2016,The company’s 29th meeting (Provisional) of the seventh board of directors wasconvened. The Proposal on Entrustment of Construction Management of the Renovation and Expansion Projectof Sanbao-to-Shuikou Section of Shengyang-to-Haikou National Expressway was deliberated in the meeting,agreed that Guangdong Provincial Fokai Expressway Co., Ltd entrusts Guangdong Provincial HighwayConstruction Co., Ltd with the construction management of the renovation and expansion project of Sanbao-to-Shuikou Section of Shengyang-to-Haikou National Expressway, and handling the related matters of theentrustment of the construction management. The above transactions have been approved and implemented bythe board of directors of Guangdong Fokai Expressway Co., Ltd.
On March 25, 2021, the Sixteenth Meeting of the Ninth Board of Directors of the Company held andreviewed the Proposal on the Company's Estimated Daily Related Party Transactions in 2021. It is estimatedthat the daily related party transactions include the Agreement on the Entrusted Management of the PreliminaryWork of the Reconstruction and Expansion Project of Nansha-Zhuhai Section of Guangzhou-MacaoExpressway signed by Beijing-Zhuhai Expressway Guangzhou-Zhuhai Section Co., Ltd. and GuangdongHighway Construction Co., Ltd., in which the latter is responsible for the main management responsibilities andall the preliminary work before the approval of the reconstruction and expansion project. The above transactionshave been approved and implemented by the board of directors of Beijing-Zhuhai Expressway Guangzhou-Zhuhai Section Co., Ltd.
On November 30, 2022, the fifth (interim) meeting of the 10th Board of Directors of the Companyreviewed and approved the Proposal on Entrusted Construction Management of the Reconstruction andExpansion Project of Nansha-Zhuhai Section of Guangzhou-Macao Expressway, and agreed that the subsidiaryGuangzhou-Zhuhai Section of Beijing-Zhuhai Expressway Co., Ltd. entrusted Guangdong Provincial HighwayConstruction Co., Ltd. to carry out the whole-process construction management of the reconstruction andexpansion project of Nansha-Zhuhai Section of Guangzhou-Macao Expressway. The above transactions havebeen approved and implemented by the Board of Directors of Guangzhu Section of Beijing-Zhuhai ExpresswayCo., Ltd, The above transactions have been approved and implemented by the board of directors of Beijing-Zhuhai Expressway Guangzhou-Zhuhai Section Co., Ltd.
6. Receivables and payables of related parties
（1）Receivables
In RMB
| Name | Related party | Amount at year end | Amount at year beginning | ||
| Balance of Book | Bad debt Provision | Balance of Book | Bad debt Provision | ||
| Account receivable | Guangdong Union electron Service Co., Ltd. | 68,965,060.84 | 67,197,924.19 | ||
| Account | Guangdong Humen Bridge Co., Ltd. | 16,631,182.47 | 6,072,995.36 | ||
| receivable | |||||
| Account receivable | Jingzhu Expressway Guangzhu North Section Co., Ltd. | 5,818,074.99 | 8,321,625.03 | ||
| Account receivable | Guangdong Litong Technology Investment Co., Ltd. | 533,136.00 | |||
| Account receivable | Guangdong Expressway Technology Investment Co., Ltd. | 126,986.70 | 2,315,719.18 | ||
| Account receivable | Guangdong Expressway Media Co., Ltd. | 522,805.00 | |||
| Account receivable | Poly Changda Engineering Co., Ltd. | 265,054.16 | |||
| Total | 92,074,441.00 | 84,696,122.92 | |||
| Other Account receivable | Guangdong Litong Technology Investment Co., Ltd. | 1,839,246.94 | 1,653,447.36 | ||
| Other Account receivable | Guangdong Expressway Media Co., Ltd. | 695,223.54 | 978,997.66 | ||
| Other Account receivable | Guangdong Provincial Freeway Co.,Ltd. | 463,491.88 | 463,491.88 | ||
| Other Account receivable | Guangdong Expressway Technology Investment Co., Ltd. | 318,319.00 | 65,605.71 | ||
| Other Account receivable | Guangdong Traffic Development Co., Ltd. | 183,157.04 | |||
| Other Account receivable | Guangdong Union electron Service Co., Ltd. | 147,018.71 | 137,851.04 | ||
| Other Account receivable | Guangdong Litong Property Develpment Co., Ltd. | 25,475.00 | 18,344.00 | ||
| Other Account receivable | Guangdong Humen Bridge Co., Ltd. | 15,000.00 | |||
| Other Account receivable | Poly Changda Engineering Co., Ltd. | 6,657.71 | |||
| Other Account receivable | Guangdong Yueyun Traffic Rescue Co., Ltd. | 3,897.19 | |||
| Total | 3,697,487.01 | 3,317,737.65 | |||
| Other Non-Current Assets | Poly Changda Engineering Co., Ltd. | 48,226,078.70 | |||
| Other Non-Current Assets | Guangdong Xinyue Traffic Investment Co., Ltd. | 834,973.80 | |||
| Other Non-Current Assets | Guangdong Traffic Development Co., Ltd. | 333,398.00 | 333,398.00 | ||
| Total | 49,394,450.50 | 333,398.00 |
（2）Payables
In RMB
| Name | Related party | Amount at year end | Amount at year beginning |
| Short-term loan | Guangdong Communication Group Finance Co., ltd. | 430,387,597.20 | |
| Total | 430,387,597.20 |
| Name | Related party | Amount at year end | Amount at year beginning |
| Account payable | Guangzhongjiang Expressway Project Management Dept | 17,466,700.00 | 17,466,700.00 |
| Account payable | Poly Changda Engineering Co., Ltd. | 5,415,553.30 | 12,590,171.30 |
| Account payable | Guangdong Xinyue Traffic Investment Co., Ltd | 3,498,917.77 | 6,381,639.70 |
| Account payable | Guangdong Union Electron Service Co.,Ltd. | 2,818,047.86 | 188,039.97 |
| Account payable | Guangdong Communications Testing Co., Ltd. | 2,023,485.00 | 2,400,079.00 |
| Account payable | Guangdong Yueyun Traffic Rescue Co., Ltd. | 1,407,941.00 | 261,800.00 |
| Account payable | Guangdong Provincial Freeway Co.,Ltd. | 1,245,443.50 | 1,245,443.50 |
| Account payable | Guangdong Expressway Technology Investment Co., Ltd. | 980,578.00 | 6,935,455.12 |
| Account payable | Guangdong Feida Traffic Engineering Co., Ltd. | 774,876.84 | 3,716,816.94 |
| Account payable | Guangdong Communication Planning & Design Institute Co., Ltd. | 585,379.10 | 3,008,670.10 |
| Account payable | Guangdong Hualu Traffic Technology Co., Ltd. | 466,616.91 | 1,769,785.29 |
| Account payable | Guangdong Litong Technology Investment Co., Ltd. | 335,569.11 | 843,562.91 |
| Account payable | Guangdong Changda Road Maintenance Co. Ltd. | 231,869.00 | 231,869.00 |
| Account payable | Guangdong East Thinking Management Technology Development Co., Ltd. | 86,630.00 | 950,630.00 |
| Account payable | Guangzhou Xinyue Asphalt Co., Ltd. | 46,779.00 | 46,779.00 |
| Account payable | Guangdong Lulutong Co., Ltd. | 3,787,627.94 | |
| Account payable | Hunan Lianzhi Technology Co., Ltd. | 640,088.00 | |
| Account payable | Guangzhou Aitesi Communication Equipment Co., Ltd. | 25,194.00 | |
| Total | 37,384,386.39 | 62,490,351.77 | |
| Advance received | Guangdong Union electronic services co., Ltd. | 1,417,034.63 | 1,330,729.13 |
| Total | 1,417,034.63 | 1,330,729.13 | |
| Dividend payable | Guangdong Provincial Freeway Co.,Ltd. | 11,550,000.00 | |
| Total | 11,550,000.00 | ||
| Other Payable account | Poly Changda Engineering Co., Ltd. | 21,556,770.48 | 20,866,108.48 |
| Other Payable account | Guangdong Hualu Traffic Technology Co., Ltd. | 2,874,595.06 | 1,905,833.06 |
| Other Payable account | Guangdong Highway Construction Co., Ltd. | 2,137,605.14 | 2,000,000.00 |
| Other Payable account | Guangdong Expressway Technology Investment Co., Ltd. | 1,687,217.46 | 2,298,424.75 |
| Other Payable account | Guangdong Changda Road Maintenance Co. Ltd. | 1,628,345.00 | 1,628,345.00 |
| Other Payable account | Guangdong Xinyue Traffic Investment Co., Ltd. | 1,503,467.33 | 1,415,273.20 |
| Other Payable account | Guangdong Feida Traffic Engineering Co., Ltd. | 1,436,828.89 | 1,522,615.96 |
| Other Payable account | Guangdong Xinyue Traffic Investment Co., Ltd. | 1,415,273.20 | 1,332,556.89 |
| Other Payable account | Guangdong Union Electron Service Co.,Ltd. | 1,355,836.70 | |
| Other Payable account | Guangzhou Xinyue Asphalt Co., Ltd. | 1,054,919.00 | 1,054,919.00 |
| Other Payable account | Guangdong Lulutong Co., Ltd. | 809,377.06 | 859,377.06 |
| Other Payable account | Guangdong Communications Testing Co., Ltd. | 238,186.00 | 971,085.90 |
| Other Payable account | Guangzhongjiang Expressway Project Management Dept | 200,000.00 | 200,000.00 |
| Other Payable account | Guangdong Tongyi Expressway Service Area Co., Ltd. | 120,000.00 | 120,000.00 |
| Name | Related party | Amount at year end | Amount at year beginning |
| Other Payable account | Guangdong Communication Planning & Design Institute Co., Ltd. | 110,422.00 | 110,422.00 |
| Other Payable account | Guangdong Litong Technology Investment Co., Ltd. | 92,594.24 | 92,594.24 |
| Other Payable account | Guangdong Expressway Media Co., Ltd. | 50,000.00 | 50,000.00 |
| Other Payable account | Guangdong East Thinking Management Technology Development Co., Ltd. | 26,568.18 | 156,534.54 |
| Other Payable account | Hunan Lianzhi Technology Co., Ltd. | 19,797.00 | 85,785.50 |
| Other Payable account | Guangdong Yueyun Traffic Rescue Co. Ltd. | 2,000.00 | 2,000.00 |
| Total | 38,319,802.74 | 36,671,875.58 | |
| Non-current liabilities due 1 year | Guangdong Litong Development Investment Co., Ltd. | 9,648,206.79 | 2,445,724.55 |
| Non-current liabilities due 1 year | Guangdong Communication Group Finance Co., ltd. | 2,213,033.33 | 2,205,700.01 |
| Non-current liabilities due 1 year | Guangdong Litong Property Development Co., Ltd. | 100,708.20 | |
| Total | 11,961,948.32 | 4,651,424.56 | |
| Other current liabilities | Guangdong Communication Group Co., ltd. | 500,395,833.33 | 500,122,916.67 |
| Total | 500,395,833.33 | 500,122,916.67 | |
| Lease Liabilities | Guangdong Litong Development Investment Co., Ltd. | 18,412,022.93 | |
| Lease Liabilities | Guangdong Litong Property Development Co., Ltd. | 115,721.81 | |
| Total | 18,527,744.74 | ||
| Long-term loans | Guangdong Communication Group Finance Co., ltd. | 195,000,000.00 | 196,000,000.00 |
| Total | 195,000,000.00 | 196,000,000.00 |
7. Related party commitment
NoneXII. Stock payment
1. The Stock payment overall situation
□ Applicable √ Not applicable
2. The Stock payment settled by equity
□ Applicable √ Not applicable
3. The Stock payment settled by cash
□ Applicable √ Not applicable
XIII. Commitments
1. Significant commitments
Significant commitments at balance sheet dateSignificant commitments The Company held the second (interim) meeting of the 10th Board of Directorson October 22, 2022. The meeting deliberated and passed the Proposal on Investing in the Reconstruction andExpansion Project of Nansha-Zhuhai Section of Guangzhou-Macao Expressway with Capital Increase from
Guangzhou-Zhuhai Section Co., Ltd. of Beijing-Zhuhai Expressway, and agreed that the company wouldinvest in the construction of the Reconstruction and Expansion Project of Nansha-Zhuhai Section ofGuangzhou-Macao Expressway with Capital Increase from Guangzhou-Zhuhai Section Co., Ltd. of Beijing-Zhuhai Expressway based on the estimated investment amount of 15.425 billion yuan approved by GuangdongProvincial Development and Reform Commission.
The project capital is 35% of the estimated investment amount after deducting the expenses borne by thegovernment, and the company undertakes the capital contribution of about 3.414 billion yuan according to theshareholding ratio. This matter has been reviewed and approved by the Company's third extraordinary generalmeeting in 2022.
As of June 30, 2023, the accumulated cost of the reconstruction and expansion project of Nansha- Zhuhaisection of Guangzhou-Macao Expressway was 1,021,162,978.77 yuan
2. Contingency
(1) Significant contingency at balance sheet date
As of June 30,2023, the Company did not need to disclose important commitments.
(2) The Company have no significant contingency to disclose, also should be stated
NoneXIV. Events after balance sheet dateNone
XV.Other significant events
1. Segment information
The company's business for the Guangfo Expressway , the Fokai Expressway ,Guanghui Expressway andJingzhu Expressway Guangzhu Section toll collection and maintenance work, the technology industry andprovide investment advice, no other nature of the business, no reportable segment.
2.Government Subsidy
(1) Government subsidies included in deferred revenue are subsequently measured by the total amount method
In RMB
| Subsidy item | Category | Opening balance | New subsidy amount in current period | The carry-over in current period is included in profit and loss amount | Other changes | Closing balance | Presentation items carried over into profit or loss in the current period | Asset-related/revenue-related |
| Cancel the special subsidy for the expressway provincial toll station project | Financial appropriation | 20,931,143.87 | 5,023,474.62 | 15,907,669.25 | Other income | Assets related | ||
| Qijiang new city south interchange construction Project | Financial appropriation | 185,000,000.00 | 185,000,000.00 | Other income | Assets related | |||
| Charging infrastructure incentive funds | Financial appropriation | 78,068.83 | 5,576.34 | 72,492.49 | Other income | Assets related |
(2) Government subsidies included in current profits and losses using the total amount method
In RMB
| Subsidy item | Category | Amount included in profit or loss in the current period | Presentation items included in profit or loss in the current period | Asset-related/revenue-related |
| Subsidy for post stabilization | Financial appropriation | 25,500.00 | Other income | Income related |
| Jiujiang Bridge structure health monitoring system optimization and upgrade of vehicle purchase tax subsidy funds | Financial appropriation | 600,000.00 | Other income | Income related |
3.Other important transactions and events have an impact on investors decision-making
(1) Performance compensation
The net profit of Guangzhou-Huizhou Company (excluding non-recurring gains and losses) in 2020 wasRMB 769,232,600, RMB 116,755,100 more than the promised amount; the net profit of Guangzhou-HuizhouCompany (excluding non-recurring gains and losses) in 2021 was RMB 1,105,444,400, RMB 7,142,900 lessthan the promised amount; the net profit of Guangzhou-Huizhou Company (excluding non-recurring gains andlosses) in 2022 was RMB 896,101,9OO, RMB 338,099,000 less than the promised amount by the end of 2022, theaccumulated net profit (excluding non-recurring gains and losses) was RMB 2,770,778,900, RMB 228,486,800more than the promised amount.
In 2022, affected by the macroeconomic impact and in response to the State Council's 10% reduction intruck tollsin toll roads in the fourth quarter of 2022, Guanghui Expressway toll revenue fell sharply. Accordingto the "Profit Compensation Agreement" signed between the Company and the Provincial Expressway,combined with the actual situation of the performance of Guanghui Expressway, the Company negotiatedmatters related to the performance commitment with the Provincial Expressway, and the contingentconsideration formed by the performance compensation was not recognized in 2022.
On August 7,2023,The "Proposal on Changing the Performance Commitment of Major AssetRestructuring Project in 2020 and Sinning the Supplementary Agreement to the Profit CompensationAgreement " was deliberated and adopted in the 10
thmeeting (interim) of the 10th Board of Directors of theCompany , agreeing to change the performance commitment of major asset restructuring project in 2020, andthe performance compensation period of the restructuring is adjusted to 2020, 2021 and 2023, and theProvincial Expressway promises that the net profit accumulated by Guanghui Expressway in the three years of2020, 2021 and 2023 after deducting non-recurring profits and losses shall not be less than 2,999,265,700 yuan.If the cumulative net profit of Guanghui Company does not reach the afore-said cumulative committed netprofit within the afore-said adjusted compensation period, the Provincial Expressway shall compensate theCompany in cash in accordance with the "Profit Compensation Agreement" and the provisions of thisagreement.
The above-mentioned change to performance commitments need to be reviewed and approved by thecompany at its first (extraordinary) general meeting of shareholders on August 23, 2023.
(2) Follow-up management and maintenance issues after the expiration of the Guangzhou-FoshanExpressway operation
The Company received the Notice of the Guangdong Provincial Department of Transport on MattersRelated to the Disposal of the Guangfo Expressway Toll Period (No. 24 [2022] Yue Jiaoying Memorandum),and the Guangfo Expressway operated by its holding subsidiary Guangfo Expressway Co., Ltd (hereinafterreferred to as "Guangfo Company") stopped collecting tolls from midnight on March 3, 2022. It retains theexisting toll facilities to operate as usual in a zero-rate manner, exempts all vehicle tolls for vehicles passingthrough this section of the road, and collects vehicle tolls for other road sections on their behalf. After the tollcollection is stopped, the Guangfo Company will continue to be responsible for the management andmaintenance of the Guangfo Expressway.
The source of funds for management and maintenance expenses paid by Guangfo on behalf of remains tobe further clarified, and as of June 30,2023, the management and maintenance expenses paid by GuangfoCompany on behalf of is 141,431,005.33 yuan.
XVI..Notes of main items in financial reports of parent company
1. Account receivable
1.Classification account receivables.
In RMB
| Category | Amount in year-end | Balance Year-beginning | ||||||||
| Book Balance | Bad debt provision | Book value | Book Balance | Bad debt provision | Book value | |||||
| Amount | Proportion(%) | Amount | Proportion(%) | Amount | Proportion(%) | Amount | Proportion(%) | |||
| Accrual of bad debt provision by Single | ||||||||||
| Accrual of bad debt provision by portfolio | 21,127,358.73 | 100.00% | 21,127,358.73 | 23,817,016.30 | 100.00% | 23,817,016.30 | ||||
| Of which： | ||||||||||
| Aging portfolio | 21,127,358.73 | 100.00% | 21,127,358.73 | 23,817,016.30 | 100.00% | 23,817,016.30 | ||||
| Other | ||||||||||
| Total | 21,127,358.73 | 21,127,358.73 | 23,817,016.30 | 23,817,016.30 | ||||||
Accrual of bad debt provision by Single :NoneAccrual of bad debt provision by portfolio: Accounts receivables with bad debt provision are recognised byportfolio by age
In RMB
| Aging | Balance in year-end | ||
| Account receivable | Bad debt provision | Expected credit loss rate(%) | |
| Within 1 year | 21,127,358.73 | ||
| Total | 21,127,358.73 | ||
Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method ofother receivables if the provision for bad debts of bills receivable is accrued according to the general model ofexpected credit loss:
□ Applicable √ Not applicable
Disclosure by aging
In RMB
| Aging | Book balance |
| Within 1 year（Including 1 year） | 21,127,358.73 |
| Total | 21,127,358.73 |
(2) Accounts receivable withdraw, reversed or collected during the reporting periodNone
（3）The current accounts receivable write-offs situation
None
（4）The ending balance of other receivables owed by the imputation of the top five parties
In RMB
| Name | Amount | Proportion(%) | Bad debt provision |
| Guangdong Union Electronic Services Co., Ltd. | 21,000,372.03 | 99.40% | |
| Guangdong Expressway Technology Investment Co., Ltd. | 126,986.70 | 0.60% | |
| Total | 21,127,358.73 | 100.00% |
（5）Account receivable which terminate the recognition owning to the transfer of the financial assetsNone
(6)The amount of the assets and liabilities formed by the transfer and the continues involvement ofaccounts receivableNone
2.Other receivable
In RMB
| Items | Year-end balance | Year-beginning balance |
| Dividend receivable | 45,903,912.26 | 36,905,472.90 |
| Other receivable | 1,240,260,547.94 | 1,505,117,198.28 |
| Total | 1,286,164,460.20 | 1,542,022,671.18 |
（1）Interest receivable：
None
（2）Dividend receivable
1)Dividend receivable
In RMB
| Items | Balance in year-end | Balance Year-beginning |
| Guangdong Radio and Television Networks investment No.1 Limited partnership enterprise | 1,205,472.90 | 1,205,472.90 |
| China Everbright Bank Co., Ltd. | 44,698,439.36 | |
| Guangdong Guanghui Expressway Co., Ltd. | 35,700,000.00 | |
| Total | 45,903,912.26 | 36,905,472.90 |
2）Significant dividend receivable aged over 1 year
I n RMB
| Items) | Balance in year-end | Aging | Reasons for non-recovery | Whether or not the impairment and the basis for its determination |
| Guangdong Radio and Television Networks investment No.1 Limited partnership enterprise | 1,205,472.90 | 4-5 years | The partnership agreement expires and can be recovered after the extension procedures are completed | No, it can be recovered in the future |
| Total | 1,205,472.90 |
3）The withdrawal amount of the bad debt provision
□ Applicable √ Not applicable
（3） Other accounts receivable
1) Other accounts receivable classified by the nature of accounts
In RMB
| Category | Balance in year-end | Balance Year-beginning | ||||||||
| Book balance | Bad debt provision | Book value | Book balance | Bad debt provision | Book value | |||||
| Amount | Proportion (%) | Amount | Proportion (%) | Amount | Proportion (%) | Amount | Proportion (%) | |||
| Other receivables for individual bad debt provision | 30,844,110.43 | 2.43 | 30,844,110.43 | 100.00 | 30,844,110.43 | 2.01 | 30,844,110.43 | 100.00 | ||
| Other receivables for bad debt provision according to the combination of credit risk characteristics | 1,240,260,547.94 | 97.57 | 1,240,260,547.94 | 1,505,117,198.28 | 97.99 | 1,505,117,198.28 | ||||
| Including: Aging portfolio | ||||||||||
| Other | 1,240,260,547.94 | 97.57 | 1,240,260,547.94 | 1,505,117,198.28 | 97.99 | 1,505,117,198.28 | ||||
| Total | 1,271,104,658.37 | 100.00 | 30,844,110.43 | — | 1,240,260,547.94 | 1,535,961,308.71 | 100.00 | 30,844,110.43 | — | 1,505,117,198.28 |
Accrual of bad debt provision by single：
In RMB
| Closing book balance | ||||
| Bad Debt Reserves | Book balance | Bad debt provision | Expected credit loss rate(%) | Reason |
| Kunlun Securities Co., Ltd | 30,844,110.43 | 30,844,110.43 | 100.00 | Bad debts were withdrawn in full in bankruptcy |
| Total | 30,844,110.43 | 30,844,110.43 | / | / |
In the portfolio, Disclosure by aging: NoneIn the portfolio, other receivables with bad debt provision by other methods:
| Name | Balance in year-end | Balance Year-beginning |
| Deposit money and quality guarantee fund combination | 2,412,546.94 | 2,090,516.36 |
| Petty cash | 1,458,213.38 | 1,293,602.05 |
| Other | 1,236,389,787.62 | 1,501,733,079.87 |
| Subtotal | 1,240,260,547.94 | 1,505,117,198.28 |
| Less：Bad debt provision | ||
| Total | 1,240,260,547.94 | 1,505,117,198.28 |
2）The withdrawal amount of the bad debt provision：
In RMB
| Bad Debt Reserves | Stage 1 | Stage 2 | Stage 3 | Total |
| Expected credit losses over the next 12 months | Expected credit loss over life (no credit impairment) | Expected credit losses for the entire duration (credit impairment occurred) | ||
| Balance as at January 1,2023 | 30,844,110.43 | 30,844,110.43 | ||
| Balance as at January 1,2023 | ||||
| Balance as at June 30,2023 | 30,844,110.43 | 30,844,110.43 |
Loss provision changes in current period, change in book balance with significant amount
□Applicable √ Not applicable
3） Accounts receivable withdraw, reversed or collected during the reporting periodNone4）The actual write-off other accounts receivable: None
5)Other receivables are classified according to the nature
In RMB
| Nature | Closing book balance | Opening book balance |
| Securities trading settlement funds | 30,844,110.43 | 30,844,110.43 |
| Deposit | 2,412,546.94 | 2,090,516.36 |
| Petty cash | 1,458,213.38 | 1,293,602.05 |
| Other | 1,236,389,787.62 | 1,501,733,079.87 |
| Subtotal | 1,271,104,658.37 | 1,535,961,308.71 |
| Less：Bad debt provision | 30,844,110.43 | 30,844,110.43 |
| Total | 1,240,260,547.94 | 1,505,117,198.28 |
6) Top 5 of the closing balance of the other accounts receivable collated according to the arrears party
In RMB
| Name | Nature | Closing balance | Aging | Proportion of the total year end balance of the accounts receivable(%) | Closing balance of bad debt provision |
| Jingzhu Expressway Guangzhu Section Co., Ltd. | Reconstruction and expansion of investment funds and interest | 1,235,277,549.57 | Within 1 year | 97.18% | |
| Kunlun Securities Co.,Ltd | Securities trading settlement funds | 30,844,110.43 | Over 5 years | 2.43% | 30,844,110.43 |
| Guangdong Litong Development Investment Co., Ltd | Lease deposit | 1,816,266.94 | Within 1 year | 0.14% | |
| Guangdong Litong Development Investment Co., Ltd. | Vehicle parking deposit | 22,980.00 | 2-3 years | 0.00% | |
| Guangdong Provincial Freeway Co.,Ltd. | Entrusted management fee | 463,491.88 | Over 5 years | 0.04% | |
| Savills Property Consulting | Water and electricity fee working capital, management fee deposit, vehicle parking space deposit | 4,200.00 | 2-3 years | 0.00% | |
| Savills Property Consulting | Water and electricity fee working capital, management fee deposit, vehicle parking space deposit | 414,525.00 | 3-4 years | 0.03% | |
| Total | 1,268,843,123.82 | 99.82% | 30,844,110.43 |
7） Accounts receivable involved with government subsidiesNone
8) Other account receivable which terminate the recognition owning to the transfer of the financial assetsNone
9) The amount of the assets and liabilities formed by the transfer and the continues involvement of otheraccounts receivableNone
3. Long-term equity investment
In RMB
| Items | End of term | Beginning of term | ||||
| Book Balance | Impairment provision | Book value | Book Balance | Impairment provision | Book value | |
| Investment in subsidiaries | 3,692,740,464.84 | 3,692,740,464.84 | 3,374,330,463.43 | 3,374,330,463.43 | ||
| Investment in joint ventures and associates | 2,867,753,731.35 | 2,867,753,731.35 | 2,722,085,180.53 | 2,722,085,180.53 | ||
| Total | 6,560,494,196.19 | 6,560,494,196.19 | 6,096,415,643.96 | 6,096,415,643.96 | ||
（1）Investment to the subsidiary
In RMB
| Name | Opening balance | Increase /decrease in reporting period | Closing balance | Closing balance of impairment provision | |||
| Add investment | Decreased investment | Withdrawn impairment provision | Other | ||||
| Jingzhu Expressway Guangzhu Section Co., Ltd. | 871,171,883.08 | 265,410,001.41 | 1,136,581,884.49 | ||||
| Guangfo Expressway Co., ltd. | 154,982,475.25 | 154,982,475.25 | |||||
| Yuegao Capital Investment (Guangzhou) Co., Ltd. | 322,500,000.00 | 53,000,000.00 | 375,500,000.00 | ||||
| Guanghui Expressway Co., Ltd. | 2,025,676,105.10 | 2,025,676,105.10 | |||||
| Total | 3,374,330,463.43 | 318,410,001.41 | 3,692,740,464.84 | ||||
（2）Investment to joint ventures and associated enterprises
In RMB
| Name | Opening balance | Increase /decrease in reporting period | Closing balance | Closing balance of impairment provision | |||||||
| Increase in investment | Decrease in investment | Investment income under equity method | Other comprehensive income | Other changes in equity | Announced for distributing cash dividend or profit | Provision for impairment | Other | ||||
| I. Joint ventures | |||||||||||
| II. Associated enterprises | |||||||||||
| Guangdong Jiangzhong Expressway Co., Ltd. | 446,883,150.40 | 45,000,000.00 | 6,731,118.49 | 16,005.85 | 4,627,613.17 | 494,002,661.57 | |||||
| Ganzhou Gankang Expressway Co., Ltd. | 163,154,438.00 | 9,568,563.16 | 172,723,001.16 | ||||||||
| Ganzhou Kangda Expressway Co., Ltd. | 246,268,935.13 | 20,692,056.64 | 266,960,991.77 | ||||||||
| Shenzhen Huiyan Expressway Co., Ltd. | 348,669,767.32 | 14,856,921.37 | 363,526,688.69 | ||||||||
| Zhaoqing Yuezhao Highway Co., Ltd. | 310,209,765.87 | 30,133,975.22 | 340,343,741.09 | ||||||||
| Guoyuan | 987,867,627.42 | 22,017,218.07 | 12,110,298.33 | 2,424.19 | 15,522,387.30 | 1,006,475,180.71 | |||||
| Securities Co.,Ltd. | |||||||||||
| Guangdong Yuepu Small Refinancing Co., Ltd | 219,031,496.39 | 4,689,969.97 | 223,721,466.36 | ||||||||
| Subtotal | 2,722,085,180.53 | 45,000,000.00 | 108,689,822.92 | 12,110,298.33 | 18,430.04 | 20,150,000.47 | 2,867,753,731.35 | ||||
| Total | 2,722,085,180.53 | 45,000,000.00 | 108,689,822.92 | 12,110,298.33 | 18,430.04 | 20,150,000.47 | 2,867,753,731.35 |
4. Business income and Business cost
In RMB
| Items | Amount of current period | Amount of previous period | ||
| Revenue | Cost | Revenue | Cost | |
| Main business | 734,319,820.33 | 242,491,456.98 | 636,965,610.55 | 249,145,875.83 |
| Other | 6,352,612.68 | 1,795,927.53 | 5,689,892.19 | 1,926,210.70 |
| Total | 740,672,433.01 | 244,287,384.51 | 642,655,502.74 | 251,072,086.53 |
5.Investment income
In RMB
| Items | Amount of current period | Amount of previous period |
| Long-term equity investment income accounted by cost method | 404,052,121.37 | 681,064,177.01 |
| Long-term equity investment income accounted by equity method | 108,689,822.92 | 98,360,414.38 |
| Investment income from disposal of Long-term equity investment | -45,107,982.42 | |
| Dividend income from other equity instrument investments during the holding period | 71,249,739.36 | 47,286,243.74 |
| Interest income from debt investment during holding period. | 10,079,133.93 | |
| Other | 12,728,947.34 | |
| Total | 596,720,630.99 | 791,681,986.64 |
XVII. Supplementary Information
1.Current non-recurring gains/losses
√ Applicable □Not applicable
In RMB
| Items | Amount | Notes |
| Non-current asset disposal gain/loss(including the write-off part for which assets impairment provision is made) | -15,753.62 | |
| Government subsidies recognized in current gain and loss(excluding those closely related to the Company’s business and granted under the state’s policies) | 5,654,550.96 | |
| Net amount of non-operating income and expense except the aforesaid items | 1,923,823.88 | |
| Other non-recurring Gains/loss items | 795,422.82 | |
| The impairment provision for the advance expenses that have occurred but need to be defined from the source of funds | -43,681,523.62 | |
| Less :Influenced amount of income tax | 2,088,521.91 | |
| Influenced amount of minor shareholders’ equity (after tax) | -9,372,564.36 |
| Total | -28,039,437.13 | -- |
None：
Due to its special nature, the provision for impairment of the management and maintenance expenditures that have been paid for by Guangfo Expressway but whose source of funds needs to be clarified will affect the normaljudgment of the company's operating performance and profitability by the report users.Details of other profit and loss items that meet the non-recurring profit and loss definition
√Applicable□ Not applicable
Due to the special nature of the impairment provision for management and maintenance expenses of theGuangzhou-Foshan Expressway that has been advanced but the source of funds needs to be clarified, it willaffect the normal judgment to the Company's operating performance and profitability by the user of the report.Explanation on defining the non recurring profit and loss items listed in the Explanatory AnnouncementNo. 1 on Information Disclosure of Companies Issuing Securities to the Public as recurring profit and lossitems□ Applicable√ Not applicable
2. Return on equity (ROE) and earnings per share (EPS)
| Profit as of reporting period | Weighted average ROE (%) | EPS（Yuan/share） | |
| EPS-basic | EPS-diluted | ||
| Net profit attributable to common shareholders of the Company | 9.30% | 0.42 | 0.42 |
| Net profit attributable to common shareholders of the Company after deduction of non-recurring profit and loss | 9.59% | 0.44 | 0.44 |
3. Differences between accounting data under domestic and overseas accounting standards
（1）．Simultaneously pursuant to both Chinese accounting standards and international accountingstandards disclosed in the financial reports of differences in net income and net assets.
□ Applicable□√ Not applicable
（2）. Differences of net profit and net assets disclosed in financial reports prepared under overseas andChinese accounting standards.
□ Applicable□√ Not applicable
(3) .Explanation of the reasons for the differences in accounting data under domestic and foreign accounting standards. If the data that has been audited by an overseas audit institution is adjusted for differences, the name of the overseas institution should be indicated