MANGOEXCELLENTMEDIACO.,Ltd.
2019AnnualReport
2020-027
April2020
SectionIImportantNotes,ContentandDefinitions
Boardofdirectors,boardofsupervisors,directors,supervisorsandseniormanagementoftheCompanycertifythatthisreportdoesnotcontainanyfalseormisleadingstatementsormaterialomissionsandarejointlyandseverallyliablefortheauthenticity,accuracyandintegrityofthecontent.
Mr.ZHANGHuali,legalrepresentative,Mr.LIANGDeping,thechieffinancialofficer,andMr.YANGEnjie,theheadofaccountingdepartment(thepersoninchargeofaccounting),certifytheauthenticity,accuracyandintegrityofthefinancialstatementscontainedintheannualreportforthecurrentyear.
AlldirectorsoftheCompanyattendedtheboardmeetingwithrespecttothereviewoftheannualreport.
TheCompanydescribesthepossiblerisksinitsoperationsandthemeasurestobetakeninSectionIV"DiscussionandAnalysisofBusinessConditions-DevelopmentOutlook"forinvestors’review.
ThisreportispreparedinChineseandEnglishboth.IntheeventofanyinconsistencybetweentheChineseversionandtheEnglishversion,theChineseversionshallprevail.TheproposalforprofitdistributionapprovedbytheBoardisasfollows:allshareholdersarepaidwithRMB1.00cashdividend(includingtax)and0bonusshares(includingtax)foreach10sharesonthebasisof1,780,377,511sharesin
total,andawardedwith0sharesforeach10shareswithcorrespondingconsiderationpaidbycapitalreserve.
Content
SectionIImportantNotes,ContentandDefinitions ...... 2
Definitions ...... 5
SectionIIGeneralInformationandFinancialIndicatorsoftheCompany ...... 7SectionⅢOverviewoftheCompany’sbusiness ...... 12
SectionIVDiscussionandAnalysisofBusinessConditions ...... 17
SectionVImportantEvents ...... 43
SectionVIShareChangesandInformationofShareholders ...... 75
SectionVIIPreferredShares ...... 87
SectionVIIIConvertibleBonds ...... 88
SectionIXDirectors,Supervisors,SeniorManagementandEmployees ...... 89
SectionIXDirectors,Supervisors,SeniorManagementandEmployees ...... 103
SectionXGovernance ...... 117SectionⅪCorporateBonds ...... 125
SectionXIIFinancialReport ...... 126
SectionXIIIListofDocumentsAvailableforInspection ...... 260
Definitions
| Words | Refersto | Definition |
| MangoExcellentMedia,Company,theCompanyorListedCompany | Refersto | MangoExcellentMediaCo.,Ltd. |
| MangoExcellentMediaCo.,Ltd. | Refersto | Thefullnameof芒果超媒股份有限公司inEnglish |
| MANGO | Refersto | Theabbreviatednameof芒果超媒股份有限公司inEnglish |
| HappySunshine | Refersto | HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,awholly-ownedcompanyoftheListedCompany |
| MangoStudios | Refersto | MangoStudiosCultureCo.,Ltd.,awholly-ownedcompanyoftheListedCompany, |
| MangoEntertainment | Refersto | HunanMangoEntertainmentCo.,Ltd.,awholly-ownedcompanyoftheListedCompany, |
| EE-Media | Refersto | ShanghaiEE-MediaCo.,Ltd.,awholly-ownedcompanyoftheListedCompany, |
| Mangofun | Refersto | ShanghaiMangofunTechnologyCo.,Ltd.,awholly-ownedcompanyoftheListedCompany, |
| Happigo | Refersto | HappigoCo.Ltd.,awholly-ownedcompanyoftheListedCompany, |
| HappyMoney | Refersto | HunanHappyMoneyMicrofinanceCo.,Ltd.,awholly-ownedcompanyoftheListedCompany, |
| MangoTV | Refersto | AinternetvideoplatformsubordinatedtotheListedCompanyandoperatedbyHappySunshine |
| MangoCEPay | Refersto | Asupply-chainfinancialcreditproductofHappyMoneyfocusedonculturalandentertainmentfield |
| MangoWallet | Refersto | AproductofMangoTVbasedonfinancialappscenarios |
| Mangoli | Refersto | TheInternetfinancialsystemplatformresearchedanddevelopedbyHappyMoneyindependently |
| ChinaMobile | Refersto | ChinaMobileCommunicationsGroupCo.,Ltd. |
| CMCapital | Refersto | ChinaMobileCapitalHoldingCo.,Ltd. |
| IPTV | Refersto | InternetProtocolTelevision,atechnologyintegratedwithinternet,multimedia,communicationandothertechnologiesthroughbroadbandnetworktoprovidefamilyusersavarietyofinteractiveservicesincludingdigitaltelevision. |
| OTT | Refersto | OverTheTop,whichprovidesavarietyofvideoanddataservicestousersviatheInternet |
| IP | Refersto | Intellectualproperty,thepropertyrightsofanobligeetotheresultsofhisorherintellectualwork |
| APP | Refersto | Application |
| PAD | Refersto | PortableDevice |
| PC | Refersto | Personalcomputer |
| TV | Refersto | Television |
| AR | Refersto | AugmentedReality |
| VR | Refersto | VirtualReality |
| 5G | Refersto | 5GNetwork |
| KOL | Refersto | KeyOpinionLeader |
| PGC | Refersto | ProfessionalGeneratedContent |
| UGC | Refersto | UserGeneratedContent |
SectionIIGeneralInformationandFinancialIndicatorsofthe
Company
I.CompanyProfile
| Stockabbreviation | MangoExcellentMedia | StockCode | 300413 |
| CompanynameinChinese | 芒果超媒股份有限公司 | ||
| AbbreviationnameinChinese | 芒果超媒 | ||
| CompanynameinEnglish(ifany) | MangoExcellentMediaCo.,Ltd. | ||
| AbbreviationnameinEnglish(ifany) | Mango | ||
| LegalrepresentativeoftheCompany | ZHANGHuali | ||
| Registrationaddress | GoldenEagleTVCultureCity,ChangshaCity,HunanProvince | ||
| Postcodeofregistrationaddress | 410003 | ||
| Officeaddress | GoldenEagleTVCultureCity,ChangshaCity,HunanProvince | ||
| Postcodeofofficeaddress | 410003 | ||
| Website | https://www.mgtv.com | ||
| mangocm@mangocm.com | |||
II.ContactandContactinformation
| SecretaryoftheBoard | RepresentativeofSecurityAffairs | |
| Name | WUJun | HUANGJianyong |
| Address | GoldenEagleTVCultureCity,ChangshaCity,HunanProvince | GoldenEagleTVCultureCity,ChangshaCity,HunanProvince |
| Telephone | (0731)82967188 | (0731)82967188 |
| Fax | (0731)82897962 | (0731)82897962 |
| mangocm@mangocm.com | mangocm@mangocm.com |
III.Informationdisclosureandthelocations
| Designatednewspapersforinformationdisclosure | ChinaSecuritiesJournal,SecuritiesTimes,SecuritiesDailyandShanghaiSecuritiesNews |
| WebsitedesignatedbyCSRCforthepublicationof | http://www.cninfo.com.cn |
| theCompany'sannualreport | |
| TheCompany'sannualreportisavailableat | GoldenEagleTVCultureCity,ChangshaCity,HunanProvince |
VI.Otherrelevantinformation
ThecertifiedpublicaccountantsengagedbytheCompany
| Name | Pan-ChinaCertifiedPublicAccountantsLLP |
| Officeaddress | 19/F,NewCenturyBuilding,No.198,FurongMiddleRoad,ChangshaCity,HunanProvince |
| CertifiedPublicAccountantinsignature | LIXinkui,ZHANGHong |
Sponsorperformingcontinuoussupervisiondutiesinthereportingperiod
□Applicable√N/AFinancialadvisorperformingcontinuoussupervisiondutiesinthereportingperiod
√Applicable□N/A
| Financialadvisor | OfficeAddress | Personincharge | SupervisionPeriod |
| ChinaInternationalCapitalCorporationLimited | 27/F&28/F,Tower2,ChinaChinaBeijingWorldTowers,No.1JianguomenOuterStreet,ChaoyangDistrict,Beijing | YAOXudong,QIFei | FromJune21,2018-December31,2019 |
| FortuneSecuritiesCo.,Ltd. | 26/F,ShuntianInternationalWealthCenter,No.80,Sec.2,FurongMiddleRoad,ChangshaCity,HunanProvince | XUXinggang,CHENYixin | FromJune21,2018-December31,2019 |
V.MajoraccountingdataandfinancialindicatorsIfitisnecessaryfortheCompanytomakeretrospectiveadjustmentorrestatementontheaccountingdatainpreviousyears
√Yes□NoReasonsforretrospectiveadjustmentorrestatementBusinesscombinationinvolvingenterprisesundercommoncontrol
| 2019 | 2018 | Year-on-yearincreaseordecrease | 2017 | |||
| Beforeadjustment | Afteradjustment | Afteradjustment | Beforeadjustment | Afteradjustment | ||
| Operatingincome(inRMB) | 12,500,664,232.05 | 9,660,661,413.72 | 9,660,661,413.72 | 29.40% | 2,983,760,658.38 | 8,271,005,101.01 |
| Netprofitattributabletoshareholdersofthelistedcompany(inRMB) | 1,156,285,253.73 | 865,568,532.45 | 865,568,532.45 | 33.59% | 72,537,442.51 | 715,151,479.15 |
| Netprofitattributabletoshareholdersofthelistedcompanynetof | 1,093,036,165.68 | 287,569,612.17 | 287,569,612.17 | 280.09% | 46,470,285.49 | 46,470,285.49 |
| non-recurringprofitorloss(inRMB) | ||||||
| Netcashflowsfromoperatingactivities(inRMB) | 292,866,711.18 | -376,920,617.58 | -376,920,617.58 | -60,071,336.96 | 164,840,432.20 | |
| Basicearningspershare(RMB/share) | 0.66 | 0.92 | 0.54 | 22.22% | 0.18 | 0.46 |
| Dilutedearningspershare(RMB/share) | 0.66 | 0.92 | 0.54 | 22.22% | 0.18 | 0.46 |
| Weightedaveragereturnonequity | 15.68% | 17.43% | 17.43% | -1.75% | 4.41% | 18.33% |
| Attheclosingof2019 | Attheclosingof2018 | Year-on-yearincreaseordecrease | Attheclosingof2017 | |||
| Beforeadjustment | Afteradjustment | Afteradjustment | Beforeadjustment | Afteradjustment | ||
| Totalassets(inRMB) | 17,078,206,149.68 | 12,111,376,784.55 | 12,111,376,784.55 | 41.01% | 2,274,279,673.54 | 9,576,955,616.29 |
| Netassetattributabletoshareholdersofthelistedcompany(inRMB) | 8,783,859,219.07 | 5,639,373,295.72 | 5,639,373,295.72 | 55.76% | 1,678,939,962.70 | 4,303,978,196.10 |
VI.Majorfinancialindicatorsbyquarters
InRMB
| Q1 | Q2 | Q3 | Q4 | |
| Operatingincome | 2,485,083,035.67 | 3,018,912,973.85 | 2,727,837,556.55 | 4,268,830,665.98 |
| Netprofitattributabletoshareholdersofthelistedcompany | 417,932,928.86 | 385,670,696.84 | 170,978,239.92 | 181,703,388.11 |
| Netprofitattributabletoshareholdersofthelistedcompanynetofnon-recurringprofitorloss | 411,985,228.15 | 376,202,278.78 | 167,229,152.36 | 137,619,506.39 |
| Netcashflowsfromoperatingactivities | -494,359,632.28 | 145,477,528.30 | -59,045,477.56 | 700,794,292.72 |
Ifthereisanymaterialdifferencebetweentheabovefinancialindicators,ortheiraggregates,andthosedisclosedintheCompany'squarterlyandsemi-annualreports
□Yes√No
VII.Differencesbetweenaccountingdataunderforeignanddomesticaccountingprinciples
1.DifferencesbetweennetprofitandnetassetsdisclosedinthefinancialreportunderChineseAccounting
StandardsandInternationalAccountingStandards
□Applicable√N/A
ThereisnodifferencebetweennetprofitandnetassetsdisclosedinthefinancialreportunderChineseAccountingStandardsandInternationalAccountingStandardsasoftheCompany’sreportingperiod.
2.DifferencesbetweennetprofitandnetassetsdisclosedinthefinancialreportunderChineseAccountingStandardsandOverseaAccountingStandards
□Applicable√N/AThereisnodifferencebetweennetprofitandnetassetsdisclosedinthefinancialreportunderChineseAccountingStandardsandOverseaAccountingStandardsasoftheCompany’sreportingperiod.
VIII.Itemsandamountsofnon-recurringprofitorloss
√Applicable□N/A
InRMB
| Items | 2019Amount | 2018Amount | 2017Amount | Note |
| Profitorlossfromdisposalofnon-currentassets(includingtheoffsetpartoftheretainedassetimpairmentprovisions) | -253,138.65 | -592,600.43 | -337,799.90 | |
| Governmentalsubsidiesincludedinthecurrentprofitorloss(exceptforthosecloselyrelatedwiththenormaloperationoftheCompanyandgainedatafixedamountorquantityaccordingtocertainstandardsbasedonStatepolicies) | 57,599,556.19 | 30,084,939.12 | 10,378,372.52 | |
| Profitorlossfromentrustingotherswithinvestmentorassetmanagement | 7,344,704.18 | 29,283,549.28 | 15,945,590.99 | |
| Enterprises’reorganizationfees,suchasstaffingexpensesandintegrationfees | -6,109,972.47 | |||
| Currentnetprofitorlossofthesubsidiariesestablishedbymergerofenterprisesundercommoncontrolfromtheopeningoftheaccountingperiodtothemergerday | 633,706,593.00 | 741,738,950.64 | ||
| Reversalofimpairmentprovisionsofaccountsreceivableandcontractassetsthathaveundergoneimpairmenttestseparately | 1,800,000.00 | |||
| Othernon-operatingincomeandexpensesbesidestheaboveitems | -111,786.45 | -31,529,319.92 | 1,041,594.95 | |
| Less:impactonincometax | 2,138,585.88 | 2,610,651.01 | ||
| Impactonminorityequity(aftertax) | 991,661.34 | 74,233,617.29 | 100,085,515.54 | |
| Total | 63,249,088.05 | 577,998,920.28 | 668,681,193.66 | -- |
Explanation:
ItisrequiredtoexplainthebasisonwhichtheCompanydefinedtheitemsasthoseofnon-recurringprofitorlossundertheInformationDisclosureandExplanationAnnouncementNo.1forCompanieswithPubliclyOfferedSecurities-Non-recurringProfitorLoss,andthereasonwhytheCompanydefinedasitemsofrecurringprofitorlossforthoseareillustratedasitemsof
non-recurringprofitorlosspursuanttotheInformationDisclosureandExplanationAnnouncementNo.1forCompanieswithPubliclyOfferedSecurities-Non-recurringProfitorLoss.
□Applicable√N/ATheCompanyhasnocasesdescribedaboveduringthereportingperiod.
SectionⅢOverviewoftheCompany’sbusiness
I.Company’sMainBusinesswithintheReportingPeriod
(I)AboutMainBusiness
Duringthereportingperiod,theCompanyoperatesitsmainbusinessthroughtheNewMediaPlatformOperation,theNewMediaInteractiveEntertainmentContentProduction,theMediaRetailandothersegments.Asastate-ownednewtypemainstreammedia,theCompanysustainstheself-producedcontentandgivesfullplaytothestrengthsofindustrialsynergybyleveragingitsdistinctivegreenmediaconvergence.Also,itpursuescoordinateddevelopmentofupstreamanddownstreambusinesses.Withtheseefforts,itultimatelydevelopsanentiremediaindustrychainaroundtheinternetvideoplatformoperation,coveringmembershipsystemofinternetvideo,advertising,IPTVoperation,movieandTVdramaandvarietyshowproduction,artistsagency,musiccopyrightoperation,gameandIPcontentinteractiveoperation,mediaretailandinternetfinance.
1.NewMediaPlatformOperation
Thissegmentattractsmoremembersbyrationallyarrangingthehigh-qualitycontentandcreatingthemembershipsystematMangoTVinternetvideoplatform.Theincreaseinmembersandtheadvertisingreinforceeachother.Meanwhile,itattainsthegoalofintegrateddevelopmentofinternetvideoandoperatorbusinesssegmentsbyprovidingcontentandrelevantvalue-addedserviceatIPTVchannel.
(1)Internetvideobusiness.TheCompanycanpreciselyconductthetargetcustomerspositioningandestablishesitsbrandinfluence.Itfocusesonexclusivelybroadcasting,carefullyselectingandproducingbyitselfboutiquemovieandTVdramas,andfeaturing“youth”themaintheme.Bydoingso,itprovidestheglobalcustomerswithcontent-on-demandservicesthroughMangoTVinternetvideoplatformandseesthevaluerealizationofadvertising,membershipandothervalue-addedbusiness.
(2)Comprehensiveoperatorbusiness.Duringthereportingperiod,theCompanyintegratestheoperatornetworkcenterandintelligenthardwarecenterandcreatesasmartlarge-screencenter.Tobespecific,itoffersthecomprehensivecontentserviceandvalue-addedapplicationservicestotheoperatorplatformsandthecustomizedcontentservicestoendcustomers,andshareswithoperatorsthepaymentfromusersintermsoftheabovebasicandvalue-addedservices.
2.NewMediaInteractiveEntertainmentContentProduction
(1)Contentproductionandoperation.TheCompanyproducesthequalitycontentgearedtowardstheneedsofthetargetcustomersinasustainablewaybyvirtueofitsdistinctivecontentecosystem.Ononehand,itattractsaudiencetopayforcontentthroughbroadcastingthequalitycontentattheinternetvideoplatform,whiletheadvertisingrelatedtothecontentalsogenerates
indirectrevenue.Ontheotherhand,itcompletestheclosedbusinessloopfrominvestmentinandproductionofmovieandTVdramasandvarietyshowstothesaleofcopyrightasafinallink.
(2)Artistsagency.TheCompanyhasestablisheditsmatureecheloncomposedofstarswithdifferentlevelsanddiversetypes.Itarrangesactivitiessuitableforstarsinordertomaximizetheirvalue.Forexample,theCompanyenablesstarsindifferentfields(suchasmusic,movieandTV)toparticipateinthecorrespondingactivities,includingmovie,TVandvarietyshows,commercialperformances,brandconcerts,brandendorsements,derivativeproductauthorizationandinternetplatformcooperativemarketing.
(3)Musiccopyright.TheCompany’smusicIPresourcesareabundantthroughlong-termaccumulationofartistsagencyandarebeingupdatedcontinuously,soitconductstheauthorizationbusinessofonlinemusicplatform,movie/TVprogrammusicdubbing,andsoonaroundthedigitalmusic,.
(4)GameandIPcontentinteractivemarketing.TheCompanydevelopsandreleasesthecustomizedgamestogeneraterevenuebymakinguseofMangoTVplatformanditsownIPresources.Inaddition,itprovidestechnologyandoperationsupportandintegratedmarketingservicesforinteractiveTVcontent.ThroughthederivedlicenseofMangoseriesIPandthecooperationofIPofflineentertainmentprojects,italsoprovidee-sportschannelswithvalue-addedservicesandothersforvaluerealization.
3.MediaRetailBusiness
TheCompanygivesitsprioritytoMangomediacreativityandcontentproductionandpublishesthequalitygoodsinformationpreciselytothetargetgroupsthrough“multi-screenandmulti-terminal”layout.Moreover,itburrowsdeepintobigdata,long-tailmembershipoperation,internetcelebrityMCNmediae-commerceandotherintegratedmarketingmethodstostimulatetheconsumptiondemandofcoreaudiencewithhighvalueandrealizethecommercializationofcontentflow.IntermsofTVshopping,itoptimizescableTVcoverage,expandsIPTVandOTTchannelsandimprovescomprehensiveoperationability;inthemediae-commercesphere,itnotonlycooperateswithfamousartistsbutalsodiscoversandcultivatesinternetcelebritiestodisplaythegoodsinthebestscenariosandthereforedrivesalesofgoods.
4.OtherBusinesses
TheCompanypursuesthecooperationwithTVandsmarthardwaremanufacturesbytakingadvantageofinternetTVlicense,successfullyentersOTTandothersmarthardwareinnovationR&Danddesignproductionfieldsandcashesthevalue.Also,itreliesonitsdiversifiedconsumptionscenes,membershipdatabaseresourcesandlicenseadvantagestoproactivelyexpandinternetconsumerfinanceandsupplychainfinancebusiness.
(I)AboutIndustry
1.Internetvideomembersexceeding100millionandself-producedcontentbecomingacompetitivekey
Thenumberofinternetvideomembershasexceeded100millionandthetotalpaiduserskeepincreasingacrossthisindustry.Asthemostefficientchancelforvaluerealizationbetweenthecontentandthecustomers,theinternetvideoplatformexperiencesitscontinuousenhancementofcommercialvalueastheusersgrowsteadily.Thesubsequentincreaseofvalidmembersattheinternetvideoplatformswillfurtherdependonthedifferentcontentproducedbytheplatforms.Onlybyprioritizingself-producedcontent,continuouslyrefiningneedsofusers,improvinguserexperienceandoptimizingthecontentandplatformoperationmodel,caninternetvideoplatformscontinuetoexpandtheusers,successfullyretainthemandcashthevalue.
2.Contentindustryintegrationspeedingupandconvergenceplatformsamongtheentireindustrychainwinningsuperiority
Affectedbyeconomicfluctuationsandstricterregulatoryprocedures,theplatformshavingthesuperiorcontentwillwinout,orelsetheywillgetknockedout.Meanwhile,theintegrationrestructuringisspeedingup.Ifacompanyhasagoodteammechanism,excellentcontentselectionandcompetentpolicyresearchandjudgementability,itwillobtainthelion’sshareofthemarket.Inparticular,acomprehensivenewmediaplatformintegratingthecontentcreativity,production,distributionandoperationwillhavemoreprominentadvantagesinthecoordinatedandsustainabledevelopment.
3.Shortvideogrowthratemoderatingandlong-shortvideointegrationgrowthbecomingamaintrend
Shortvideohasshiftedfromearlyexplosiveexpansiongraduallytothesteadygrowth.Bothusersizeandpenetrationrategetsaturated.Thepatternofindustrymagnatesisbeingformedandthevertical,subdividedandprofessionalcontentisatthecoreofthe
flow.ByusingtheshortvideoandlivebroadcastingtosustainthedevelopmentofMCNinternetcelebrityeconomy,theentertainmentcommunicationvalueandmarketingcapabilitieswillwintherecognitionofthemarket.Meanwhile,shortvideoplatformsstarttoengageinthemicrovariety,shortplay,movieandotherprofessionalfields;ontheotherhand,thelongvideoplatformscontinuetoexplorethediversificationofshortvideobusiness.Inaword,thelong-shortvideointegrateddevelopmentwillbecomeanimportanttrend.
4.5Gnetworkinplaceimprovingthespeed,andultra-high-definitionvideoandsmartbigscreenembracingfornewdevelopmentopportunities5Gnetworkhasbeenputinplace,featuringhigh-speedinternetaccess,largebandwidth,lowlatencyandothertechnicalfeatures.Forthisreason,weshouldmakeuseoftheultra-high-definitionvideoandsmartlargescreen.Duetotheconstantpromotionbyoperatorsandother5Gcommercialrelevantparties,theultra-high-definitionvideowillbecomeanimportant5Gapplicationscenarioandbusinessdrivingengine.Thesmartlarge-screenterminalwithitsown5Gmodulebreaksthroughthecontentdistributionmodel,anditscommercialvaluefurtherenhances.Withthecompleteandgreencontentandlicenseassets,onewillsuccessfullyseizetheopportunitiesofultra-high-definitionvideoandsmartlarge-screendevelopmentintheeraof5G.
5.Digitaleconomykeepingbuoyantandafloatandanewtechnologyandapplicationbeinganimportantdrivingengine
Intheeraofdigitaleconomy,thenewtechnologiesareemergingconstantly,suchas5G,artificialintelligence,bigdata,cloudcomputingandtheInternetofThings.Theirintegratedinnovationandconvergenceapplicationdrivethecontinuousimprovementofanewdigitalsupplychain.Asanewgenerationofinformationtechnologyhasbeenputinplace,thesocialmanagementandeconomicindustrystructureisundergoingprofoundchanges.Currently,thecoreforcesboostingthegrowthmainlycoveronlineadministration,education,medicalcare,entertainmentandoffice,economysharing,platformeconomyandothernewapplications.II.Significantchangesonmajorassets
1.Significantchangesonmajorassets
| Majorassets | Explanationonsignificantchanges |
| Fixedassets |
| Intangibleassets | TheintangibleassetsattheclosingoftheperiodincreasedbyRMB1,994,758,300.00comparedtotheopeningoftheperiod,whichismainlycausedbytheriseinthereservesofpurchasedcopyrightresources. |
| Prepayments | TheprepaymentsattheclosingoftheperioddecreasedbyRMB882,359,100.00comparedtotheopeningoftheperiod,whichismainlycausedbythetransfer-outafterthecompletionofprepaidcopyrightprojects. |
| Cashandbankbalances | ThecashandbankbalancesattheclosingoftheperiodincreasedbyRMB2,537,815,000.00comparedtotheopeningoftheperiod,whichismainlycausedbytheriseintheraisedmatchingfundsforthecurrentperiod. |
| Accountsreceivable | TheaccountsreceivableattheclosingoftheperiodincreasedbyRMB1,656,133,600.00comparedtotheopeningoftheperiod,whichismainlycausedbyfastincreaseofincomeinoperationofnewmediaplatformandproductionandreleaseofcontentforthecurrentperiod. |
2.Majoroverseaassets
□Applicable√N/A
III.AnalysisofCoreCompetitiveness
1.Competitiveadvantagesofconvergencemediataking“MangoMode”asthecoreAsthetypicalexampleofconvergedmediadevelopmentinChina,theCompany’snewmediaplatformMangoTVhasexperienceddifferencestagesofdevelopment,fromexclusivebroadcasting,touniquecontents,andtoindependentoriginalproduction,andfinallyformsthe“MangoMode”characterizedbymediaconvergencewhichhasgreatadvantagesincontentinnovation,brandbuilding,mechanisminnovation,andplatformoperation,etc.The“MangoMode”characterizedbymediaconvergence,ontheonehand,cancontinuouslyexpandthepositionofthepublicopinionsonthemainstreammedia;ontheotherhand,canlayasolidfoundationfortheCompanytocreateanewmediagroupwithstrongcommunicationcapacity,guidanceandinfluenceinthebackgroundoftheCompany’sfurtherexplorationininnovativedevelopmentoflinkingbusinessesofnewandoldmediaunderthecurrentmediaindustrypattern.
2.Advantagesofsystematiccontentproductionfeaturedbyself-madeprogramsWithdistinctivemediaattributesandcontentgenes,theCompanyiskeentocapturesocialideologicaltrends,publicsentimentandcontentinnovationtrends,andcandeeplycontrolthevalueoftheIP.MangoTVownssixteenteamsofself-madevarietyshows.Itplaystheleadingroleincreatingthesystemofself-madevarietyshowswiththemostcompetitivenessandthebiggestmarketvaluewithinthewholeindustryanditisthebiggestleadingproductionorganizationofvarietyshows.HappySunshine,MangoStudiosandMangoEntertainmentallhavetheTVdramaproductionpermit(TypeA)andtheyareheavyweightproducersofmoviesandTVdramasonthemarket.TheCompanyhasestablishedandcontinuestoimproveawholeprocesssystemcomposedofprogramresearchanddevelopment,contentevaluation,creativityproductionandprocurementanddistribution,whichconstructstheuniquecontentmoatwith“Mango”features.
3.Advantagesofinnovationmechanismtaking“InnovationorDeath”astheideaTheinnovationspiritoftheCompanyandHunanBroadcastingSystemcomedowninonecontinuousline.TheCompanyalwaysinsiststheinnovativeideaof“InnovationorDeath”.Basedontheopenandinnovativeincentivemechanismanduniquehematopoieticsystem,theCompanycontinuouslyperfectsthetalentreservesystemandechelonconstructionsystem,encouragesboldinnovation,supports“YouthCEOClub”,“QingmangPlan”andotheryouthtrainingplansbysettingupspecialfundsandestablishesthecompoundandsustainable“MangoTalentPool”withhighgrowth.TheCompanymakesgreateffortstocarryoutthestudiosystemtofullyoffertocontentproductionteamsdiversifiedincentivemeasuresfrommanyaspectssuchasresourceallocation,programresearchanddevelopment,andprocesscontrolastokeeptherelativeindependenceofthestudios,andminimizetheriskincontentinnovationforcontinuouslyreleasingthevitalityoftheseteamsandactivatingthesourcesofinnovation.
4.AdvantagesoffullindustrychainecosystemtakingsynergisticeffectasthelinkCenteringonthewholeindustrialchainofmediainternetfromupstreamanddownstream,theCompanycontinuestocreatetheclosedecologicalcycleofnewmedia:theupstreammainlyincludestheartistmanagementandvideoproductionbusiness;themiddlestreamincludesmulti-channelcontentoperationanddistributionthroughtheinternetvideoplatformdependingonstrongself-productionabilityofcontentsandgoodcontentproducts;thedownstreamincludesmulti-channelcashingofIPcontentsandderivativesonlineandofflinecenteredontheclassifiedadaptationanddevelopmentofIPcontentsinMangoseries.StrongcoordinativeandcomplementaryrelationsexistingamongeachlinkoftheindustrialchainformedtheadvantagesofcoexistinganduniqueMangofullindustrialchainecosystemunderthemediaconvergence.;
5.Advantagesofdifferentialpositioningfeaturedby“Youth,CityandFemales”TheCompany,relyingonauniquecontentstrategy,consolidatethepositioningofplatformusersfeaturedby“Youth,CityandFemale”toensureallaspectsincludingclearusergroup,accuratecontentproducts,andtargetedadvertisersarecloselylinkedwithandhighlyconsistentwitheachother.Inoverall,theusersofMangoTVhavedistinctivecharacteristicsof“Vitality,FashionandQuality”,withfemaleproportionhigherthantheindustriallevel.TheclearuserprofileandplatformpositioningnotonlystrengthentheCompany'sabilitytocashthecompoundvalueofIPcontentsinmultiplechannelsundermultiplemethods,butalsoenlargetheCompany’suniqueadvantageintheconstructionoffan-basedmemberoperatingsystem.
6.AdvantagesinthewholeprocesscontrolofcontentproductionInrespectofthewholeprocesscontrolofcontentproduction,theCompanyformedariskcontrolmechanismforpre-communication,aqualitycontrolmechanismformulti-departmentandmulti-teamevaluation,andabusinesscontrolmechanismtakingmarketingdevelopmentinprior.Thewholeprocesscontrolstartsfromtheideaofanprogram,andcomesinplayineverycomponentofthewholebusinesschain,includingproduction,distribution,schedulingandbroadcasting.Thecontroloverthewholeprocessofcontentproduction,cangivemoreadvantageouspremiumtoproductplacementatthesametimeofeffectivelydecreasingtheriskofcontentproduction,whichwillestablishedasolidfoundationfortheCompanytodevelopadiversifiedadvertisingbusiness.
7.Theadvantageoffull-screencoverageoflargeandsmallscreenssupportedbymultiplelicenseplatesMangoTVisanactualoperatorofIPTVandOTTlicensesofHunanBroadcastingSystemandalsotheonlymarketcompetitorintheinternetvideoindustrythathastwooperatorlicenses.MangoTV,byrelyingonitslicenseadvantage,hasbecomethefirstvideomediainthisindustryrealizingthefullterminalcoverageof“largeandsmallscreens”inarealsense.Withinthereportingperiod,MangoTVhasestablishedasmartbigscreencenterforfurtherstrengtheneddeeplinkageandcoordinatedoperationof“bigscreen”and“smallscreen”,whichwillbringtousersabetterandmoreconvenientproductexperience,andfurtherexpandthecoverageofpeopleandinfluence.
8.AdvantagesofvirtuousbusinessmodetakingsustainableprofitabilityasthebasisMangoTV,theinternetvideoplatformsubordinatedtotheCompany,hastakentheleadinginrealizingandcontinuouslykeepingtheprofitabilitywithininternevideoindustryandestablishedauniqueindustry-leadingvirtuousbusinessmodelbyrelyingonstrongcontentself-productionability,differentiateduserpositioning,refinedmemberoperationsystemanduniverseadvertisingsystem.
SectionIVDiscussionandAnalysisofBusinessConditions
I.Overview
Withinthereportingperiod,theCompanyhasrealizedtheoperatingincomeofRMB12.5006642billionYuan,ayear-on-yeargrowthof29.40%,andithasrealizedanetprofitofRMB1.1562853billionYuanbelongingtotheshareholdersoftheListingCompany,ayear-on-yeargrowthof33.59%.Attheendofthereportingperiod,thetotalassetsreachedRMB17.0782061billionYuan,whereinanetassetofRMB8.7838592billionYuanbelongingtotheshareholdersoftheListingCompany.Withinthereportingperiod,HappySunshine-themainplatformoftheCompanyhasrealizedtheoperatingincomeofRMB8.109billionYuan,ayear-on-yeargrowthof44.63%,andnetprofitofRMB969millionYuan,ayear-on-yeargrowthof36.45%.TheCompanywasawardedas“EleventhTop30NationalCulturalEnterprises”;MangoTVrosetothe20
th
in“2019ChineseTop100InternetEnterprises”,itwasthesolestate-holdingenterpriseamongtop20andmeanwhileitrankedthefirstamongHunanprovincialinternetenterprisesforfiveconsecutiveyears;HappySunshineandMangoStudioswereselectedinto“2019-2020NationalKeyCulturalExportEnterprises”;theself-builtglobalculturalexportplatformofMangoTVwasselectedinto“2019-2020NationalKeyCulturalExportProjects”.
Theyear2019wasthefirstcompleteaccountingyearaftermajorassetsrestructuringoftheCompany.Facingthenewtrendofmicroeconomy,newrequirementsoftheindustrialpoliciesandnewchangesintheindustrialcompetition,theCompanyalwaysinsistsonthemissionsandresponsibilitiesofthestate-ownednewtypemainstreammediagroupinmediaconvergenceanddevelopmenttocontinuouslypromotetheinnovationupgradeoftheinternetvideobusinessandthecoordinateddevelopmentoftheupstreamanddownstreambusinessofthewholeindustrialchainandrealizethesustainableandsteadyincreaseintheperformanceoftheCompany.Meanwhile,theCompanyproactivelyarrangesthenewbusinessandnewtechnologiesandlaysagoodfoundationforitsdevelopmentinthefuture.
1.Newmediaconvergencegrowsincreasinglyandmissionsandresponsibilitiesofmainstreammediaareofincreasing
Attheendofthereportingperiod,thenumberofpayingmembersofMangoTVhasreached18.37millionandtheloyaltyoftheusersisalsopromotedsignificantly.Thenewmediaplatformhasstrongercompetitiveness.Onthisbasis,asastate-ownednewtypemainstreammediagroup,theCompanyalwaysinsistsontheprincipleoffairnessandinnovation,andactivelyintegrates,implementsandrespondstonationalthemes,continuouslyinnovatestheprogramcommunicationvoice,createsdiverseperspectives,increasestheyouth’ssenseofresonancetothethemeworks,andmakesthevoiceofthemainstreammediaclearer,withmorepowerfulinfluenceandincreasingsignificanceinmissionsandresponsibilities.
TheoutputoftheinnovativethemecontentsoftheCompanyin2019:First,continuetodeepentheconstructionoftheplatform“LearningTime·FirstPageFirstScreenFirstArticle”ofMangoTV,closelycenteronXiJinping’sthoughtsonsocialismwithChinesecharacteristicsandimportantcurrentpoliticalactivitiesintheneweraandcreateonlinespecialcolumnoflearningvideos.Second,release“MangoNews”duringthetwosessionsthroughthenewmediaplatformofMangoTVandcombiningthetraditionalmediaandinnovativelycreatethenewformofconvergencemediafornewspropaganda.Third,planthespecialtopicof“Our70Years”andreleaseaseriesofthethemecompetitiveprogramswhicharedeeplyfavoredbytheyouthandpraisedbythepublic.MyYouthIsontheSilkRoad(season3),theEver-ChangingWorld–ILoveYouChina(season3),LiveUptoYouth,LiveUptoVillage(season2)andotherseriesofthemeprogramswerelistedintothefirstbatchoftheListofExcellentOriginalProgramstoCelebratethe70thAnniversaryoftheFoundingofNewChina.
2.Thesupplyofexcellentcontentsisupgradedandthestrongresultantforcedrivingtheplatformisformed
Theproducersoftheself-madecontentsoftheCompanyaremorethan1,500.Establishuniquehematopoieticsystemandopenandinnovativeincentivemechanismaswellasspecialcontentevaluationsystemtopromoteexternalstrategiccooperationandother
measurestocreatetheinnovativeandleadingindustrializedcontentproductionsystem.In2019,theCompanycontinuestoconsolidatethecorecompetitivenessoftheself-madevarietyshows,activelyexpandstheecologicaladvantagesofthewholeindustrialchaininmovieandteleplaycontentproduction,addsexcellentcontentsupplythroughself-production,linkedproductionandcopyrightintroductionandformsthestrongresultantforceofthecontentdrivenplatform.Inrespectoftheproductionofvarietyshows,HappySunshinepossesses16productionteamsofvarietyshowsandlaunches33self-madevarietyshowsthroughouttheyearandformstheself-madevarietyshowsituationwithMangofeaturestaking“KinshipVarietyShows”asthecoreandcoordinatedwithfeaturedverticalvarietyshows:ItincludestheobservationtypeslowvarietyshowsWife’sRomanticTravelsandDaughters’Loves,realsceneexperienceshowEscapeFromtheSecreteChamber,weightlosslifeobservationrealityshowOops!GoodFigure,pregnancyliferealityshowNewLifeDiaryaswellasthenewtypeoutdoortripvarietyshowsMyDearestLadies,GrowingUpAlltheWay,MasterintheHouse,TheSmallPursuitetc.Meanwhile,itreleasestheinteractionminiplayTheNumberOneSuspectderivedfromthecoreIPBigStarDetectiveanditadoptstheintegratedandembeddedlongvideoandshortvideotoaddthestereoperceptionintheformandthediversityinthecontentsoftheprogramandstartthebrandnewdimensionfortheinnovationofthevarietyshows.
InrespectofTVplayproductionandinvestment,HappySunshinevigorouslycarriesoutthestrategyofexternalstrategiccooperationonthebasisoftheself-builtstudiosandrealizesthenewmodeupgradingfromthecopyrightprocurementtoIPwholeindustrialchaincooperation.Withinthereportingyear,ithas15studios,includingself-ownedstudiosandexternalfillmandTVstudios,anditsquantityandqualityofexcellentfilmandtelevisionplaysarebothimproved.In2019,MangoTVreleasedover30self-madeplays,whereinHello,OppositeDebater,AccompanyYoutotheTopoftheWorld,Fighting,Boys!,MyPoseidon,HaiTang'sRougeShinesThroughIntheRain,Well-IntendedLoveandOneNightBrideperformedremarkably.TheThrill,TheFristLove,TheLittleThing,YouareMyAnswer,TopSpeedRescue,TheEmergenceofFirstLove,etc.releasedbyMangoEntertainmenthadobtainedgoodreputationandaudiencerating.TheFamilyoftheCityreleasedbyEE-Mediaacquiredthe“FiveTopProject”awardofthefifteenthspiritualcivilizationconstructionofthePublicityDepartmentoftheCommunistPartyofChinaandmultipledomesticandoverseasbigprizesandithadaprofoundsocialeffect.InvestitureoftheGodsandYouthLegendintheSongDynastyreleasedbyMangoStudioswerebroadcastedinthefirstroundinHunanSatelliteTV,andthenrankedthefirstintheratingforthesametimeperiodcomprehensivelyinthewholenetworkandGSMcitynetwork;I’mWaitingforYouinBeijingandAirborneEdgewerelistedintothe“ListofRecommendedReferencePlaystoCelebratethe70thAnniversaryoftheFoundingofNewChina”.
3.InternetvideobusinessgrowsrapidlyandbusinesscontributiondegreeofmembersimprovesWithinthereportingperiod,theCompanyinnovatesandupgradestheoperationofmembershipandadvertisingbusinessthroughformingthestrongresultantforceofcontentdrivenplatformonthebasisoftheprecisepositioningoftheusersontheplatform,formsthebenigninteractionsandpromotestherapidgrowthoftheinternetvideobusiness.In2019,theinternetvideobusinesshasrealizedanoperatingincomeofRMB5.044billionYuan,ayear-on-yeargrowthof56.46%;whereintheincomefromadvertisingisRMB3.35billionYuan,ayear-on-yeargrowthof39%;theincomefrommembersisRMB1.69billionYuan,ayear-on-yeargrowthof102%.Thegrowthspeedintheincomefrommembersisthefastestanditscontributiondegreeisimproved.
(1)Membershipbusiness.Withinthereportingperiod,theCompanysuppliescommonplatformuserswithexcellentandaccuratecontentsandacceleratesthemtomigrateandtransformintopayingmemberusers;continuestoconsolidatethemembershipbenefitssystemof“1+9”offlineandpromotestheloyaltyandvaluecontributionofcurrentmembers;realizesonlineandofflineoverallthree-dimensionalsmoothnessthrough“YouthmangoFestival”,“OpenDayforMembers”andotherbrandactivitiesandabsorbsnewmemberstojoin;reinforcesthecooperationwithdifferentindustriesandexpandstheincreasechannelsofthemembers.Attheendof2019,thenumberofpayingmembersreached18.37million,ayear-on-yeargrowthof70.88%.
(2)Advertisingbusiness.Withinthereportingperiod,theCompany’sincomefromadvertisinghasrealizedthegrowthagainstthetrend.Thisismainlyattributedtoitsriseinthescaleofsuppliesofexcellentandaccuratecontentsandtherapidgrowthinthenumberofthemembersanditformsbenigninteractionswiththedevelopmentoftheadvertisingbusiness.Meanwhile,constructtheuniverseadvertisingmarketingsystemandofferpersonalizedandcustomizedcomprehensivemarketingplanintegratingthebrandwitheffectthroughIP+KOLinfluencermarketingforadvertisingcustomers;organicallycombinethedemandsoftheadvertisingcustomersandthefullproceduresoftheprogramproduction,deeplyintegratetheadvertisingcontentswithIPandvideoscenariosandapplythebigdataanalysistorealizeaccurateadvertisementplacementandpromotetheeffecttransformationoftheadvertising.In2019,thenumberoftheadvertisingbrandsplacedbytheCompanyreached489,ayear-on-yeargrowthof50.93%.The
cooperationamountfromtop5advertisingcustomersreachedRMB0.69billionYuan.
4.TheoperatorbusinesskeepssteadygrowthandstartsthekeyarrangementofintelligentbigscreenWithinthereportingperiod,theoperatorbusinessoftheCompanyhasrealizedanoperatingincomeofRMB1.275billionYuan,ayear-on-yeargrowthof33.31%.TheCompanyintegratestheoperatornetworkcenterandintelligenthardwarecenterofHappySunshine,newlyestablishestheintelligentbigscreencenterandenablesthekeylayoutofmulti-screeninteractionstakingtheintelligentbigscreenasthecoreandpromotestheinternetvideobusinesstoextendtowardthecontentconsumptionfieldofmultiplefamilyscenarios.Increasethemarketdevelopmentefforts,andpromotetheexperiencesofHunanIPTVaccumulatedinexperience,content,technologyandotheraspectsonthreeplatforms-Mobile,UnicomandTelecomtothenationwidemarket.Asoftheendofthereportingperiod,IPTVbusinesscovers31provincialleveladministrativeregionssuchasGuangdong,FujianandZhejiangandcovers0.148billionusers.Meanwhile,giveplaytotheadvantagesofcontentcooperationineducation,e-sportsandotherverticalfields,reinforcetheecologicallinkageincontentinnovationandrealizewin-windevelopmentwiththeoperatorpartners.
5.TakeeffortsatupstreamanddownstreammultiplepointsoverfullindustrialchainandpreliminarilydisplaytheecologicalWithinthereportingperiod,theCompanyreliesontheinternetvideoplatformofMangoTV,givesplaytoitsecologicaladvantagesofthelayoutofwholeindustrialchain,takeseffortsatmultiplepointsinmanyfieldssuchasartistagency,musiccopyright,gamepublication,interactionplay,IPderivativedevelopment,mediaretailandinternetfinanceandpreliminarilydisplaystheecologicalsynergisticeffectonthewholeindustrialchain.Theartistagencyhasahighsynergywiththeproductionofvarietyshows,moviesandteleplaysinthebusinessoftheCompany.Withinthereportingperiod,theCompanyreliesontheinternetvideoplatformofMangoTV,innovatesthemarket-orientedbusinesssynergymechanism,focusesoncreatingsuperIPfortheartistsandpromotesthebrandvalueoftheartists.Inadditiontooriginalmoviesandteleplays,varietyshows,musicandadvertising,expandthecooperationwiththeoperatorsande-commerceplatformsandhelptheartistsrealizemulti-channelincomegeneration.Asoftheendofthereportingperiod,theCompanyhas96signedartists:
HuaChenyu,OuHao,ZhangXincheng,YuMenglong,JiangChao,DanyLee,BaiJugang,WeiXunetc.underEE-Media;TongMengshi,LvXiaoyu,XingFei,JiSijunetc.underMangoEntertainment;XuXiaonuo,LuoYutong,DaiYunfan,ZhaoZhaoyi,WanyanLuorongetc.underHappySunshine;ZhengWei,LiuYuhanetc.underMangoStudios;itformstheartiststructurewithrichlevelsofleadingartists+middleartists+newartists.
Musiccopyrightbusiness.TheCompanyestablishesthecompletecopyrightsystemcoveringrecordedmusic,movieandtelevisionmusicandvarietyshowsmusicandincreasestheinvestmenttodevelopthebusinessofproductionofexcellentmoviesandteleplaysongsandrecordsthroughestablishinggoodcooperationrelationswithfamousmusicians,musicproductionteamsandmovieandteleplayproductioncompanieswithintheindustry.In2019,theCompanynewlyadded106songsandtheaccumulativequantityoftheonlinesongsinmusiclibrariesis1,321.Inaddition,theCompanyhasrealizedstrategiccooperationwithvarious
musicplatformsandachievedthesustainablebenigndevelopmentinthevalueofthemusiccopyright.Gamepublication,interactionentertainmentandIPderivativedevelopment.Withinthereportingperiod,theCompanyreliesontheplatformofMangoTVanditsownIPresourcestostrengthenthecustomizedgamedevelopmentconformingtoitsownfeaturesandreleasesYesterdayOnceMore(interactivegame),Auditionandothergames;reliesonitsoperatorchanneltocreatetheGoldenEaglee-sportschannelandestablishthebrandofe-sportscompetitionthroughorganizingIEF2019Hunan·MalanshaninternationalE-CultureFestival;exploresthenewfieldofrealsceneentertainmentproductsandrealizestheimplementationofIPderivativedevelopmentbusiness;developsmultipleinteractivemarketingproductsandservicesmultiplebrandcustomers.
Themediaretailimplementstheinnovativetransformationtowardsthemediae-commerce.Mediae-commercebusiness:
ExpandIPTV+OTTmulti-channelmarketing,explorethebusinessrealizationoftheintelligentbigscreenandenterHunanProvinceandother16provinces(includingmunicipalitiesdirectlyundertheCentralGovernment)andcover0.109billionusers;innovatethelivebroadcastofstare-commerceandbecometheleadingstare-commerceorganizationforTaobao;produceperfectproduct,offerfullsolutionsforthesupplychainanddevelop3,500newproductsthroughouttheyear.TheTVshoppingisbasedoncorememberswithinnovativeoperationandbasicallystablebusiness.Withinthereportingperiod,themediaretailbusinesshasachievedinitialsuccesswithinnovationandupgradinganditsoperationhasturnedlossesintogains.
Internetfinance.Withinthereportingperiod,onthebasisoftheplatformofself-researchedinternetsystem,theCompanycontinuouslyconsolidatestheriskcontrolability,closelyfocusesontheecologyofMangotodevelopitsownbusiness,developsthechangemanagementproduct“MangoWallet”andcustomizesanddevelops“MangoCEPay”forthecooperatedsuppliersofIPTVandHappigoupstreamanddownstreamsuppliers.
6.Prospectivelyapplynewtechnologiesandthesystemofnewbusiness+newmarketing+newoperationsteadilyupgrades
InsistonpromotingtheproductR&Dandinnovationwithtechnologiesandacceleratingtheoperationupgradingoftheplatformwithproductiteration.Withinthereportingperiod,theCompanyhasestablishedthejointlaboratorywithShanghaiTechUniversitytoconducttheresearchcooperationfocusingonintelligentimagevision,lightfieldtechnology,AR/VR,5Ghologrametc.Meanwhile,theCompanymakesin-depthresearchesintotheapplicationofintelligentalgorithm,AIapplicationandbigdataanalysisintheaspectofimprovingtheoperationefficiencyoftheplatformandhasachievedevidenteffectinreducingtheinformationreachcostoftheusers,improvingtheaccuracyrateofthecontentdeliveryandtheuserwatchinglengthoftheusersandotheraspects.
Withinthereportingperiod,MangoTVimplementsthe“DamangPlan”tocreatethenewmarketingmodewithexcellentKOLs,comprehensivelyupgradethemarketingsystemoftheplatformandsatisfytheone-stopdemandsoftheadvertisingcustomers.Meanwhile,“DamangPlan”enrichesthecontentmatrixoftheplatformthroughenablingthe“usercreationcenter”andtheoperationstrategyofcombiningUGCandPGC.MangoEntertainmentcreatesitsownshortvideoMCNmatrixandformstheself-mademiniplaytypeaccountmatrixrepresentedby@JiaXingZhiShi,@XiaoYangYouDianMeng,@AMoYouDianGuaietc.
7.Actively“buildtheshiptogoabroad”,internationalconvergencemediacommunicationhelpsChineseculturesgoabroad
TheCompanysparesnoefforttocreatetheoverseasnewmediaplatformof“Self-owned,IndependentandSelf-Controlled”.Asoftheendofthereportingperiod,theinternationalversionAPPofMangoTVhascoveredmorethan195countriesandregionsacrosstheworld.Makeorientedoperationtoimprovetheinternationalinfluencethroughsetting“ChineseCulture”areaandculturechannel.MangoTVunceasinglyexpandsitscooperationmodesandacceleratesoverallcontentoutput.Ontheonehand,ithasreachedthecooperationwithSingaporeanSkyVisionMediaforthejointresearchesofoverseasoutputmodeofWife’sRomanticTravelsandproducedtherealityshowKungFuApprenticewithDiscoverythroughcooperationacrossborders,outputexcellentcontentsandenabledtheexcellencecreationcooperationmode.Ontheotherhand,itactivelyexplorestheinnovationandcooperationchannels,strengthensthecommunicationintensityandreachesthestrategiccooperationwithMiddleEastBroadcastingCenter(MBC)whilecooperatingwithinternationalmainstreaminternetandothersimilarplatformstoconstructspecialareas.
TheCompanyisrequiredtoobservethedisclosurerequirementsinNo.6GuidelineofShenzhenStockExchangeRegardingInformationDisclosureinGrowthEnterpriseMarketIndustry–ListingCompanyEngagedinInternetVideoBusiness.
II.Analysisonprincipalbusinesses
1.OverviewReferto“I.Overview”in“DiscussionandAnalysisofBusinessConditions”.
2.Revenueandcost
(1)CompositionofoperatingincomeOveralldescriptionofoperatingincome
InRMB
| 2019 | 2018 | Year-on-yearincreaseordecrease | |||
| Amount | Proportiontooperatingincome | Amount | Proportiontooperatingincome | ||
| Totaloperatingincome | 12,500,664,232.05 | 100% | 9,660,661,413.72 | 100% | 29.40% |
| Byindustries | |||||
| Newmediaplatformoperation | 6,318,231,214.48 | 50.54% | 4,179,715,871.19 | 43.26% | 51.16% |
| Newmediainteractiveentertainmentcontentproduction | 3,902,187,958.57 | 31.22% | 3,248,616,437.82 | 33.63% | 20.12% |
| Mediaretail | 2,007,314,831.02 | 16.06% | 1,990,048,116.86 | 20.60% | 0.87% |
| Otherprincipalbusinesses | 56,234,849.86 | 0.45% | 11,432,829.49 | 0.12% | 391.87% |
| Otherbusinessincome | 216,695,378.12 | 1.73% | 230,848,158.36 | 2.39% | -6.13% |
| Byproducts | |||||
| Newmediaplatformoperation | 6,318,231,214.48 | 50.54% | 4,179,715,871.19 | 43.26% | 51.16% |
| Newmediainteractiveentertainmentcontentproduction | 3,902,187,958.57 | 31.22% | 3,248,616,437.82 | 33.63% | 20.12% |
| MediaRetail | 2,007,314,831.02 | 16.06% | 1,990,048,116.86 | 20.60% | 0.87% |
| Otherprincipalbusinesses | 56,234,849.86 | 0.45% | 11,432,829.49 | 0.12% | 391.87% |
| Otherbusinessincome | 216,695,378.12 | 1.73% | 230,848,158.36 | 2.39% | -6.13% |
| Byregions | |||||
| WithinHunan | 4,354,887,302.09 | 34.84% | 3,181,754,127.39 | 32.94% | 36.87% |
| OutsideHunan | 8,145,776,929.96 | 65.16% | 6,478,907,286.33 | 67.06% | 25.73% |
(2)IfoperatingincomeoroperatingprofitofIndustries,productsorgeographicalareasaccountsformorethan10%ofthatoftheCompany
√Applicable□N/A
InRMB
| Operatingincome | Operatingcosts | Grossprofitmargin | Year-on-yearincreaseordecreaseofoperatingincome | Year-on-yearincreaseordecreaseofoperatingcosts | Year-on-yearincreaseordecreaseofgrossprofitmargin | |
| Byindustries | ||||||
| Newmediaplatformoperation | 6,318,231,214.48 | 3,818,414,397.48 | 39.57% | 51.16% | 49.32% | 0.75% |
| Including:internetvideobusiness | 5,043,611,544.30 | 3,399,238,963.61 | 32.60% | 56.46% | 54.62% | 0.80% |
| Operatorbusiness | 1,274,619,670.18 | 419,175,433.87 | 67.11% | 33.31% | 16.81% | 4.64% |
| Newmediainteractiveentertainmentcontentproduction | 3,902,187,958.57 | 2,856,465,390.47 | 26.80% | 20.12% | 46.18% | -13.05% |
| Mediaretail | 2,007,314,831.02 | 1,468,987,207.33 | 26.82% | 0.87% | 1.10% | -0.17% |
| Others | 272,930,227.98 | 140,873,954.14 | 48.38% | 12.65% | 18.87% | -2.70% |
| Byproducts | ||||||
| Newmediaplatformoperation | 6,318,231,214.48 | 3,818,414,397.48 | 39.57% | 51.16% | 49.32% | 0.75% |
| Including:internetvideobusiness | 5,043,611,544.30 | 3,399,238,963.61 | 32.60% | 56.46% | 54.62% | 0.80% |
| Operatorbusiness | 1,274,619,670.18 | 419,175,433.87 | 67.11% | 33.31% | 16.81% | 4.64% |
| Newmediainteractiveentertainmentcontentproduction | 3,902,187,958.57 | 2,856,465,390.47 | 26.80% | 20.12% | 46.18% | -13.05% |
| Mediaretail | 2,007,314,831.02 | 1,468,987,207.33 | 26.82% | 0.87% | 1.10% | -0.17% |
| Others | 272,930,227.98 | 140,873,954.14 | 48.38% | 12.65% | 18.87% | -2.70% |
| Byregions | ||||||
| WithinHunan | 4,354,887,302.09 | 3,088,776,003.99 | 29.07% | 36.87% | 39.09% | -1.14% |
| OutsideHunan | 8,145,776,929.96 | 5,195,964,945.43 | 36.21% | 25.73% | 34.54% | -4.18% |
TheCompany’sprincipalbusinessdatainthemostrecentyearthathasbeenadjustedsubjecttotheclosingbalanceofthereportastherearecertainadjustmentsonthestatisticaldataoftheCompany'sprincipalbusinessesinthereportingperiod.
□Applicable√N/A
(3)IftheCompany’sincomefromphysicalsalesisgreaterthanitslaborincome
□Yes√No
(4)PerformancetosignificantsalescontractsconcludedbytheCompanyasofthereportingperiod
□Applicable√N/A
(5)Compositionofoperatingcosts
Byindustries
InRMB
| Byindustries | Items | 2019 | 2018 | Year-on-yearincreaseordecrease | ||
| Amount | Proportiontooperatingcosts | Amount | Proportiontooperatingcosts | |||
| Newmediaplatformoperation | Internetvideobusiness | 3,399,238,963.61 | 41.03% | 2,198,377,500.25 | 36.14% | 54.62% |
| Newmediaplatformoperation | Operatorbusiness | 419,175,433.87 | 5.06% | 358,842,187.09 | 5.90% | 16.81% |
| Newmediainteractiveentertainmentcontentproduction | Copyrightandproductioncosts | 2,616,039,876.07 | 31.58% | 1,754,521,521.22 | 28.84% | 49.10% |
| Newmediainteractiveentertainmentcontentproduction | Employeebenefitsandothers | 240,425,514.40 | 2.90% | 199,493,416.88 | 3.28% | 20.52% |
| Mediaretail | Mediaretail | 1,468,987,207.33 | 17.73% | 1,453,022,421.90 | 23.89% | 1.10% |
| Otherprincipalbusinesses | Otherprincipalbusinesses | 37,320,352.51 | 0.45% | 9,132,634.34 | 0.15% | 308.65% |
| Otherbusinesscosts | Otherbusinesscosts | 103,553,601.63 | 1.25% | 109,383,069.69 | 1.80% | -5.33% |
Explanation
(6)Ifthereisanychangeinthescopeofconsolidationduringthereportingperiod
□Yes√No
DescriptiononsignificantchangesoradjustmentsontheCompany’sbusinesses,productsorservices
□Applicable√N/A
(8)Majorclientsandsuppliers
MajorclientsoftheCompany
| Totalsalesoftop5clients(inRMB) | 4,143,925,949.79 |
| Proportionoftotalsalesoftop5clientstototalannualsales | 33.15% |
| Proportionofsalesoftheaffiliatesamongtop5clientstototalannualsales | 28.50% |
Informationoftop5clientsoftheCompany
| S.N. | NameofClients | Sales(inRMB) | Proportiontototalannualsales |
| 1 | TheFirst | 2,309,720,903.56 | 18.48% |
| 2 | TheSecond | 741,360,400.00 | 5.93% |
| 3 | TheThird | 510,790,103.89 | 4.09% |
| 4 | TheFourth | 343,132,075.47 | 2.74% |
| 5 | TheFifth | 238,922,466.87 | 1.91% |
| Total | -- | 4,143,925,949.79 | 33.15% |
OtherinformationofmajorclientsoftheCompany
√Applicable□N/ATheclientrankedfirstreferstoHunanBroadcastingSystem,thedefactocontrolleroftheCompany,anditssubsidiariesundercontrol,withwhichthetransactionarerecordedinaggregation.TheclientrankedsecondreferstoYunhongCommunicationTechnology(Guangzhou)Co.Ltd.,arelatedpartyoftheCompanywithsignificantinfluence.TheclientrankedthirdreferstoMIGUCultureTechnologyCo.Ltd.,arelatedpartyoftheCompany,anditssubsidiariesundercontrol,withwhichthetransactionarerecordedinaggregation.MajorsuppliersoftheCompany
| Totalpurchaseamountoftop5suppliers(inRMB) | 2,057,648,824.88 |
| Proportionoftotalpurchaseamountoftop5supplierstototalannualpurchaseamount | 24.84% |
| Proportionofthepurchaseamountoftheaffiliatesamongtop5supplierstothetotalpurchaseamount | 7.55% |
Informationoftop5suppliersoftheCompany
| S.N. | Nameofsuppliers | Purchaseamount(inRMB) | Proportiontototalannualpurchaseamount |
| 1 | TheFirst | 625,526,183.54 | 7.55% |
| 2 | TheSecond | 566,037,735.85 | 6.83% |
| 3 | TheThird | 387,169,811.15 | 4.67% |
| 4 | TheFourth | 245,424,528.30 | 2.96% |
| 5 | TheFifth | 233,490,566.04 | 2.82% |
| Total | -- | 2,057,648,824.88 | 24.84% |
OtherinformationofmajorsuppliersoftheCompany
√Applicable□N/AThesupplierrankedfirstreferstothetotaltransactionaggregationwithHunanBroadcastingSystem,thedefactocontrolleroftheCompany,anditssubsidiariesundercontrol.
2.Expenses
InRMB
| 2019 | 2018 | Year-on-yearincreaseordecrease | Explanationonsignificantchanges | |
| Sellingexpenses | 2,140,684,155.45 | 1,801,461,805.40 | 18.83% | Mainlycausedbytheincreaseinpromotionandadvertisingagencyfees,resultedfromincreasedprogramreleasesandadvertisingrevenue,andbytheenhancementofmarketingandsaleteamincentives. |
| Administrativeexpenses | 610,138,439.92 | 461,222,685.56 | 32.29% | Mainlycausedbytheincreaseinhumanresourcesinvestmentandofficesupportcosts. |
| Financialexpenses | -36,576,566.73 | -24,198,811.58 | 51.15% | Mainlycausedbytheincreaseininterestincome. |
| Researchanddevelopmentexpenses | 239,299,331.86 | 220,884,196.32 | 8.34% | MainlycausedbytheincreaseintheR&Dprojectsandinvestmentintechnologyprocurement. |
4.Researchanddevelopmentexpenditures
√Applicable□N/ATheCompanyaimstoprovidecustomerswithmoretypesofproductsforabetterservicebyacceleratingthecompany'stechnologyupdatesinproductsandbusinessoperationsforkeepingupwithindustrydevelopmenttrendsandguaranteeingin-depthproductprojectresearchanddevelopment,soastoensurethattheCompanyismorecompetitiveinthemarketwithabroaderchannelandspaceforperformancegrowth.ProportionoftheCompany’sR&Dinvestmentstotheoperatingincomeinthepastthreeyears
| 2019 | 2018 | 2017 | |
| NumberofR&Dpersonnel(person) | 645 | 645 | 570 |
| ProportionofnumberofR&Dpersonnel | 15.41% | 15.49% | 14.82% |
| R&Dinvestments(inRMB) | 280,287,866.02 | 225,112,126.76 | 190,054,324.09 |
| ProportionofR&Dinvestmentstooperatingincome | 2.24% | 2.33% | 2.30% |
| AmountofR&Dexpenditurecapitalization(inRMB) | 40,988,534.16 | 4,556,241.12 | 0.00 |
| ProportionofR&DexpenditurecapitalizationtoR&Dinvestments | 14.62% | 2.02% | 0.00% |
| ProportionofR&Dexpenditurecapitalizationtocurrentnetprofit | 3.54% | 0.49% | 0.00% |
ReasonsforsignificantchangesintheproportionoftheCompany’sR&Dinvestmentstotheoperatingincome
□Applicable√N/AReasonsforsignificantchangesincapitalizationrateofR&Dinvestmentsandthedescriptionoftheirrationality
□Applicable√N/A
5.Cashflow
InRMB
| Items | 2019 | 2018 | Year-on-yearincreaseordecrease |
| Sub-totalofcashinflowsfromoperatingactivities | 11,017,337,848.86 | 11,141,024,663.37 | -1.11% |
| Sub-totalofcashoutflowsfromoperatingactivities | 10,724,471,137.68 | 11,517,945,280.95 | -6.89% |
| Netcashflowfromoperatingactivities | 292,866,711.18 | -376,920,617.58 | |
| Sub-totalofcashinflowsfrominvestingactivities | 922,908,322.83 | 3,795,929,389.64 | -75.69% |
| Sub-totalofcashoutflowsfrominvestingactivities | 813,567,045.02 | 2,722,104,143.65 | -70.11% |
| Netcashflowfrominvestingactivities | 109,341,277.81 | 1,073,825,245.99 | -89.82% |
| Sub-totalofcashinflowsfromfinancingactivities | 2,380,419,369.03 | 255,657,600.00 | 831.10% |
| Sub-totalofcashoutflowsfromfinancingactivities | 255,743,249.75 | 376,215,807.15 | -32.02% |
| Netcashflowfromfinancingactivities | 2,124,676,119.28 | -120,558,207.15 | |
| Netincreaseincashandcashequivalents | 2,526,488,344.91 | 576,793,458.26 | 338.02% |
Explanationformainfactorsofsignificantdifferencesbetweendatacomparedonayear-on-yearbasis
√Applicable□N/ATheCompany’snetcashflowfromoperatingactivitiesreachedRMB292,866,700,down328.66%comparingwithRMB
-376,920,600inthepreviousperiod,mainlyduetodecreasedcashoutflowsforproductpurchases.Thesubtotalofcashinflowsfrominvestmentactivitiesdecreasedby75.69%,mainlyduetothereductioninmaturedwealthmanagementproducts.Thesubtotalofcashoutflowsfrominvestmentactivitiesdecreasedby70.11%,mainlyduetodeclinedinvestmentsinwealthmanagementproducts.Thenetcashflowfrominvestmentactivitiesdecreasedby89.82%,mainlyduetodeclinedinvestmentsinwealthmanagementproductsinthecurrentperiod.Thesubtotalofcashinflowsfromfinancingactivitiesincreasedby831.10%,mainlyduetothereceiptofmatchingfundsinthecurrentperiod.Thesubtotalofcashoutflowsfromfinancingactivitiesdecreasedby32.02%,mainlyduetoreducedloanrepayments.TheCompany’scashflowfromfinancingactivitiesreachedRMB2,124,676,100inthecurrentperiodandRMB-120,558,200inthepreviousperiod,whichwasmainlyduetothereceiptofmatchingfundsinthecurrentperiod.Thenetincreaseincashandcashequivalentsclimbedby338.02%,mainlyduetothereceiptofmatchingfundsinthecurrentperiod.ExplanationsforsignificantdifferencesbetweenthenetcashflowfromtheCompany'soperatingactivitiesofthereportingperiodandthenetprofitfortheyear
□Applicable√N/A
III.Non-principalbusiness
√Applicable□N/A
InRMB
| Amount | Proportiontototalprofits | Reasons | Continualornot | |
| Investmentincome | 6,466,901.43 | 0.55% | Mainlyduetofinancialmanagementincomeandlong-termequityinvestmentincomecalculatedbyequitymethod. | No |
| Profitorlossfromchangesinfairvalue | -1,370,986.18 | -0.12% | Mainlyduetochangesininvestmentsinfilmandtelevisionplaysthattheinvestorshavenocopyrights | No |
| Impairmentofassets | -51,866,951.63 | -4.40% | Mainlyduetoprovisionforbaddebtsandinventoryimpairment. | No |
| Non-operatingincome | 25,843,091.28 | 2.19% | Mainlyduetorightsprotectionincome. | No |
| Non-operatingexpenses | 26,039,218.71 | 2.21% | Mainlyduetoexpensesfordonation,rightsprotectionandsettlementineconomiccases. | No |
| Incomefromdisposalofassets | -168,797.67 | -0.01% | Mainlyduetolossesfromdisposaloffixedassets | No |
IV.Assetsandliabilities
1.Significantchangesinassetcomposition
TheCompanyadoptednewstandardsoffinancialinstruments,revenueandleaseforthefirsttimein2019,withadjustmentstotheopeningbalanceofrelevantitemsinthefinancialstatements
√Applicable□N/A
InRMB
| Attheendof2019 | Atthebeginningof2019 | Increaseordecrease | Explanationforsignificantchanges | |||
| Amount | Proportiontototalassets | Amount | Proportiontototalassets | |||
| Cashandbankbalances | 5,064,224,581.46 | 29.65% | 2,526,409,541.40 | 20.86% | 8.79% | Mainlyduetothereceiptofmatchingfundsinthecurrentperiod. |
| Accountsreceivable | 2,997,010,508.82 | 17.55% | 1,340,876,919.84 | 11.07% | 6.48% | Mainlyduetotheenlargementofbusinessscope |
| Inventories | 1,916,375,338.89 | 11.22% | 2,214,812,395.09 | 18.29% | -7.07% | MainlyduetothedecreaseofmoviesandTVdramasproduced |
| Long-termequityinvestments | 210,436,179.18 | 1.23% | 215,541,625.97 | 1.78% | -0.55% | Mainlyduetotheincreasinginvestmentlossescertifiedbyequitymethod. |
| Fixedassets | 180,606,150.34 | 1.06% | 207,007,011.52 | 1.71% | -0.65% | Mainlyduetotheincreaseofdepreciation. |
| Short-timeborrowings | 349,816,947.83 | 2.05% | 196,321,826.31 | 1.62% | 0.43% | Mainlyduetotheincreaseinbankcreditloans. |
2.Assetsandliabilitiesmeasuredatfairvalue
√Applicable□N/A
InRMB
| Items | Openingbalance | Currentprofitorlossfromchangesinfairvalue | Accumulatedchangesinfairvalueincludedintheequity | Currentimpairmentaccrued | Currentpurchaseamount | Currentsales | Otherchanges | Endingbalance |
| Financialassets | ||||||||
| 1.Heldfortradingfinancialassets(excludingderivativefinancialassets) | 96,836,483.33 | -1,370,986.18 | 5,531,720.70 | 94,050,751.25 | 6,946,466.60 | |||
| Total | 96,836,483.33 | -1,370,986.18 | 5,531,720.70 | 94,050,751.25 | 6,946,466.60 | |||
| Financialliabilities | 0.00 | 0.00 |
OtherchangesIfthereisanysignificantchangeinthemeasurementoftheCompany’smajorassetsinthereportingperiod
□Yes√No
3.Restrictedassetrightsasoftheendofthereportingperiod
Asoftheendofthereportingperiod,theCompany’sassetswithrestrictedassetrightsamountedtoRMB23,149,100,inwhichRMB21,178,100werefrozenduetosubrogationrecourseofthethirdparties,andRMB1,177,300,RMB791,600,andRMB2,000wereusedasnotedeposits,automobileloandeposits,andETCdepositrespectively.V.Analysisoninvestment
1.Profile
√Applicable□N/A
| Investmentsinthereportingperiod(inRMB) | Investmentofthesameperiodinthepreviousyear | Change% |
| 50,000,000.00 | 606,400,000.00 | -91.75% |
2.Significantequityinvestmentsacquiredduringthereportingperiod
√Applicable□N/A
InRMB
| Investee | Principalbusiness | Investmentmethod | Investmentamount | Proportionofshareholding | Sourceoffunds | Partner | Investmentperiod | Productiontype | Estimatedincome | Profitorlossfrominvestmentofthecurrentperiod | Ifinvolvedinlitigation | Disclosuredate(ifany) | Disclosureindex |
| HunanHappyStarLightInteractiveEntertainmentMediaCo.,Ltd. | Advertising | Establishment | 50,000,000.00 | 100.00% | Ownfunds | Nil | Long-term | Equity | 0.00 | -2,140,012.26 | No. | ||
| Total | -- | -- | 50,000,000.00 | -- | -- | -- | -- | -- | 0.00 | -2,140,012.26 | -- | -- | -- |
3.Significantnon-equityinvestmentsproceedingduringthereportingperiod
□Applicable√N/A
4.Financialassetsmeasuredatfairvalue
□Applicable√N/A
5.Useoffinancingfunds
√Applicable□N/A
(1)Overallintroduction
√Applicable□N/A
InRMB0'000
| Year | Financingmodes | Totalfinancingfunds | Totalfinancingfundsused | Totalfinancingfundsaccumulativelyused | Totalfinancingfundsusedwhoseusageischangedwithinthereportingperiod | Totalfinancingfundsaccumulativelyusedwhoseusageischanged | Proportionoftotalfinancingfundsaccumulativelyusedwhoseusageischanged | Totalfinancingfundsnotused | Usageandwhereaboutsoftotalfinancingfundsnotused | Financingfundswhichhavebeenidleformorethantwoyears |
| 2015 | IPOofstocks | 56,357 | 279.16 | 49,957.32 | 19,952.19 | 35.40% | 6,399.68 | Depositedinthespecialaccountforfinancingfunds | 0 | |
| 2019 | Non-publicofferingofstocks | 198,232 | 212.3 | 212.3 | 198,019.7 | Depositedinthespecialaccountforfinancingfunds | 0 | |||
| Total | -- | 254,589 | 491.46 | 50,169.62 | 0 | 19,952.19 | 7.84% | 204,419.38 | -- | 0 |
| Explanationforgeneraluseoffinancingfunds | ||||||||||
| UponapprovalbyZhengJianXuKe[2015]No.29DocumentissuedbyChinaSecuritiesRegulatoryCommission(the“CSRC”),Happigopubliclyissued70,000,000.00RMBordinaryshares(ChinaA-shares)atthepriceofRMB9.06pershareattheShenzhenStockExchangeonJanuary21,2015.ThestockpricetotalsRMB634,200,000.00andafterRMB57,080,000.00ofunderwriting,referralandonlineissuecostswerededucted,theCompanyactuallyreceivedtheaforesaidA-sharesfinancingfundsintheamountofRMB577,120,000.00;andafterotherissuefeestheCompanypaidwerededucted,theCompanyactuallyreceivedthenetfinancingfundsintheamountof563,570,000.00.TheabovefinancingfundswereallreceivedonJanuary16,2015andissuedtheCapitalVerificationReport(DeShiBao(Yan)Zi(15)No.0018)byDeloitteToucheTohmatsuCertifiedPublicAccountantsLLP.TheCompanyhadusedRMB496,781,600.00offinancingfundsinpreviousyears(includingRMB491,634,800.00oforiginalfinancingfundsandRMB5,146,800oftheinterestincomepermanentlyusedasworkingcapital),andreceivedRMB11,443,900.00asthebankdepositinterestnetofbankhandlingfeesinthepreviousyears;in2019,theCompanyactuallyusedthefinancingfundsintheamountofRMB2,791,600.00.AsatDecember31,2019,theCompany’sbalanceofspecialfundsinfinancingitemswasRMB76,430,100.00(includingtheprincipalamountingtoRMB69,143,600.00andtheinterestamountingtoRMB7,286,500.00).TheCompany’saccumulativefinancingfundsinrespectofinvestmentwereRMB499,573,100.00(includingfinancingfundsactuallyusedamountingtoRMB494,426,300.00andtheinterestincomepermanentlyusedasworkingcapitalamountingtoRMB5,146,800.00).WiththeOfficialReplyonApprovalofPurchaseofAssetsandRaisingofMatchingfundsThroughIssuingSharesbyHappigoInc.toMangoMediaCo.,Ltd.andOtherCompanies(ZhengJianXuKe[2018]No.999)issuedbytheCSRC,theCompanyissued | ||||||||||
(2)Committeditemsoffinancingfunds
√Applicable□N/A
InRMB0'000
57,257,371sharesatthepriceofRMB34.39persharethroughnon-publicoffering,andraisedthematchingfundstotalingRMB1,999,999,969.03,andaftertheRMB17,299,299.41asthecostsforunderwriting,attorneyandcapitalverificationwasdeducted,theCompanyactuallyreceivedthenetfinancingfundsintheamountofRMB1,982,700,669.62.TheaforesaidfinancingfundswereallreceivedonMay21,2019,andissuedtheCapitalVerificationReport(TianJianYan[2019]No.2-16)byPan-ChinaCertifiedPublicAccountants.In2019,theCompanyactuallyusedRMB2,123,000.00offinancingfundsandreceivedthe17,704,800.00ofbankdepositinterestnetofbankhandlingfee;asofDecember31,2019,thebalanceintheCompany’sspecialaccountforfinancingfundswasRMB1,997,901,800.00(includingRMB1,980,197,000.00astheprincipalandRMB17,704,800.00astheinterest).
Committedinvestmentitemsandinvestmentdirectionofexcessfinancingfunds
| Committedinvestmentitemsandinvestmentdirectionofexcessfinancingfunds | Changeitemsornot(incl.partialchange) | Totalcommitmentsoffinancingfunds | Totalafter-adjustedinvestments(1) | Investmentswithinthereportingperiod | Accumulativeinvestmentsasoftheendoftheperiod(2) | Investmentprogressasoftheendoftheperiod(3)＝(2)/(1) | Datewhentheitemsreachtheexpectedavailability | Revenuesachievedwithinthereportingperiod | Revenuesaccumulativelyachievedasoftheendoftheperiod | Achieveexpectedrevenuesornot | Significantlychangeitemfeasibilityornot |
| Committedinvestmentitems | |||||||||||
| 1.Happigoe-commerceplatformconstructionproject | Yes | 12,800 | 3,114.08 | 3,114.08 | 100.00% | August31,2017 | Yes | No | |||
| 2.Callcenterexpansionproject | No | 3,700 | 3,700 | 3,101.94 | 100% | December31,2019 | Yes | No | |||
| 3.ITsystemplatformupgradeproject | No | 8,300 | 8,300 | 6,725.3 | 100% | December31,2019 | Yes | No | |||
| 4.HappigoHDTVprogramsystemproject | Yes | 9,600 | 3,763.73 | 3,763.73 | 100.00% | Yes | No | ||||
| 5.SmartTVInteractiveshoppingsystemconstruction | No | 8,700 | 4,270 | 2,864.37 | 100% | December31,2019 | Yes | No | |||
| system | |||||||||||
| 6.Newmediaproject | No | 6,000 | 6,000 | 279.16 | 3,682.14 | 100% | December31,2019 | Yes | No | ||
| 7.Supplychainlogisticsconstructionproject | No | 7,257 | 7,257 | 6,238.89 | 100% | December31,2019 | Yes | No | |||
| 8.MangoTVcopyrightlibraryexpansionproject | No | 148,674 | 148,674 | 0.00% | No | No | |||||
| 9.MangoTVcloudstorageandmulti-screenbroadcastplatform | No | 49,558 | 49,558 | 212.3 | 212.3 | 0.43% | No | No | |||
| Supplementaryworkingcapital | 19,952.19 | 20,466.87 | |||||||||
| Subtotalofcommittedinvestmentitems | -- | 254,589 | 254,589 | 491.46 | 50,169.62 | -- | -- | 0 | 0 | -- | -- |
| Investmentdirectionofexcessfinancingfunds | |||||||||||
| No. | |||||||||||
| Supplementaryworkingcapital(ifany) | -- | 1 | -- | -- | -- | -- | -- | ||||
| Subtotalofinvestmentsofexcessfinancingfunds | -- | 19,952.19 | -- | -- | 0 | 0 | -- | -- | |||
| Total | -- | 254,589 | 254,589 | 491.46 | 50,169.62 | -- | -- | 0 | 0 | -- | -- |
| Failureto | Thecallcenterexpansion,ITsystemplatformupgrade,smartTVinteractiveshoppingsystemconstruction,newmedia | ||||||||||
| reachtheexpectedprogressorrevenuesandreasonstherefor | andsupplychainlogisticsconstructionitemsareintheconstructionstageandyieldsnorevenues.OnFebruary28,2018,theCompanyheldthe9thmeetingofthethirdboardofdirectorstoadopttheProposalonExtensionofInvestmentItemsofFinancingFunds,andtheaforesaiditemswerepostponeduntilDecember31,2019toreachtheexpectedusablestate.MongoTVCloudStorageandMulti-screenBroadcastPlatformConstruction:thisprojectwasplannedin2017andimplementedin2019uponreceiptoftheraisedfunds.Duetosignificantchangesintechnologicalenvironmentandtechnologicalneedsduringthebiennium,theCompanymadeadjustmentstotheplanfortheuseofthefundsuponreceiptoftheraisedfunds,resultingamaterialdifferencebetweentheprogressoftheactualuseofthefundsinthereportingperiodandtheoriginaldisclosedplanfortheuseoffunds.InaccordancewiththeprovisionsoftheRulesGoverningtheListingofSharesontheChinextoftheShenzhenStockExchange,theCompanymadeadjustmentstotheplanfortheuseofthefundswithrespecttothecloudstorageandmulti-screenbroadcastplatformconstruction,andextendedtheuseperiodofthefundsto2021. |
| Explanationforsignificantchangestoitemfeasibility | No |
| Amount,usageanduseprogressofexcessfinancingfunds | N/V |
| Changestoimplementationlocationsofinvestmentitemsoffinancingfunds | Applicable |
| Occurredinthepreviousyears | |
| AmongtheCompany’scommitteditems,theoriginallyplannedimplementationlocationofthenewmedia,smartTVinteractiveshoppingsystemconstructionandcallcenterexpansionitemswasQingzhuhuConventionandExhibitionCenter,No.399QingzhuhuRoad,KaifuDistrict,Changsha,Hunan.However,accordingtotheactualimplementationsituation,theCompanydecidedtotransferthenewmediaitemtoitswholly-ownedsubsidiaryShanghaiHappivisionAdvertisingCommunicationCo.,Ltd.tobeinchargeoftheimplementationwiththeimplementationlocationchangedto25/F,No.99WuningRoad,Shanghai;totransferthesmartTVinteractiveshoppingsystemconstructionitemtoitswholly-ownedsubsidiaryHappigo(Beijing)NewMediaTechnologyCo.,Ltd.tobeinchargeofimplementationwiththeimplementationlocationchangedtoBuildingC15,DongyiInternationalMediaIndustrialParkPhaseII,No.8GaojingWenhuayuanRoad,ChaoyangDistrict,Beijing;andtochangetheimplementationlocationofthecallcenterexpansionitemtoWohucheng,No.368,2ndSectionofNorthWanjialiRoad,Changsha,Hunan.Theaforementionedevents,intheformofaproposal,wereapprovedbytheCompany’s11thmeetingofthesecondboardofdirectorsonMay13,2015.TheCompany’sindependentdirectorsexpresslyagreedonsuchproposal,itsboardofsupervisorsgavereviewopinionsanditssponsorChinaInternationalCapitalCorporationLimited(“CICC”)issuedtherelevantverificationopinionsthereon.RelevantdetailscanrefertotheannouncementspublishedattheChiNextMarketinformationdisclosurewebsiteasdesignatedbytheCSRC. | |
| Adjustment | N/V |
| onimplementationmethodsofcommitteditems | |
| Advanceinvestmentofcommittedfundsandswap | Applicable |
| Inordertoensurethesmoothimplementationofcommitteditems,theCompanyinvesteditsself-raisedfundsinthecommitteditemsinadvanceaccordingtoactualdemand,andasofMarch31,2015,theCompanyhadbeforehandinvesteditsself-fundsfundsintheamountofRMB110,388,346.24inthecommitteditems.TheCompanydecidedtoswapthefinancingfundsfortheself-raisedfundsaboveusedforcommitteditems.Theaforesaidmatterswereadoptedbythe11thmeetingofthesecondboardofdirectorsoftheCompanythroughdeliberation.TheCompany’sindependentdirectorsissuedtheindependentopinions,itsboardofsupervisorsgavereviewopinionsanditssponsorCICCissuedtherelevantverificationopinionsonsuchproposal.TheAnnouncementontheCompany’sUseofFinancingFundstoSwapforSelf-raisedFundsBeforehandInvestedintheCommittedItemsandtheopinionsorthespecificcontentsofthereportsissuedbytheindependentdirectors,theboardofsupervisorsandthesponsorrefertotheannouncementspublishedattheChiNextMarketinformationdisclosurewebsiteasdesignatedbytheCSRC. | |
| Temporallyusingidlefundsraisedasworkingcapital | N/A |
| Balanceoffinancingfundsintheimplementationofitemsandthereasonstherefor | Applicable |
| 1.Callcenterexpansionitem:thebalanceisRMB5,980,600.00;thereasonisthattheCompanyheavilypromotedavarietyofconvenientself-servicemethodssuchasIVRself-ordering,WeChatself-ordering,Gouxiao’eronlineserviceandwebsiteself-ordering,whichhavedivertedthedemandformanualservicesofferedbythecallcentertoacertainextent.TheCompanyoptimizedthetechnicalimplementationplanofthisitembasedonitsoverallstrategicplanning.2.ITsystemplatformupgradeitem:thebalanceisRMB15,747,000.00;themainreasonisthattheactualsoftwareandhardwareequipmentmodelspurchasedforthisiteminthecourseofimplementationwereadjusted,andsomeR&DprojectshadbeentobeimplementedbyexternalmanufacturersaccordingtotheoriginalplansandthenwerefinallycompletedbythepersonneloftheCompany’ITcenterduetothegrowthofitsITteam.3.SmartTVinteractiveshoppingsystemconstructionitem:thebalanceisRMB14,056,300.00;themainreasonisthatboththeconstructioncontentof“SmartRecommendationSystem”ofthisitemandconstructioncontentof“CommercialSmartProject”ofthee-commerceplatformitemarebasedonthebigdataapplicationofcustomersofHappigoCo.,Ltd.astheCompany’swholly-ownedsubsidiary,theirunderlyingtechnologyhasalargeoverlapandtheserverhardwareresourcescanalsobesharedinpart.4.Newmediaitem:thebalanceisRMB23,178,600.00;themainreasonisthesavingsofcostsintermsofcooperationwithstars,precisematching,productdevelopmentandoperationandmarketingnetworkconstructionofthisitem.5.Supplychainlogisticsconstructionproject:thebalanceisRMB10,181,100.00;themainreasonisthattheCompanyfurtherstrengthenedprojectmanagementandcostcontrolthroughrefinedmanagement,optimizedeachlinkofinvestmentitemsandsavedtheinvestmentsunderthepremiseoffullyusingtheresources. | |
| Usageand | Theunusedfinancingfundswerealldepositedinthespecialaccountforthefinancingfundstobeusedforsubsequent |
| whereaboutsofunusedfinancingfunds | investmentincommitteditems. |
| Problemsandothermattersoccurringintheuseanddisclosureoffinancingfunds. | None |
(3)Changesincommitteditems
√Applicable□N/A
InRMB0'000
| Changeditems | Correspondingoriginalcommitteditems | Totalfinancingfundstobeinvestedinchangeditems(1) | Actualinvestmentswithinthereportingperiod | Actualaccumulatedinvestmentsasoftheendoftheperiod(2) | Investmentprogressasoftheendoftheperiod(3)=(2)/(1) | Datewhentheitemsreachedtheexpectedavailability | Revenuesachievedwiththereportingperiod | Achieveexpectedrevenuesornot | Significantlychangefeasibilityofchangeditemsornot |
| Happigoe-commerceplatformconstruction | 12,800.00 | 3,114.08 | 3,114.08 | August31,2017 | Yes | No | |||
| HappigoHDTVprogramproductionsystem | 9,600.00 | 3,763.73 | 3,763.73 | August31,2017 | Yes | No | |||
| Permanentlysupplementaryworkingcapital | 0 | 19,952.19 | 20,466.87 | N/V | No | ||||
| Total | -- | 26,830 | 0 | 27,344.68 | -- | -- | 0 | -- | -- |
| Reasonsforchanges,decision-makingproceduresandinformationdisclosureexplanation(byitems) | AccordingtoactualprogressofcommitteditemsandinviewoftheCompany’sgrowthdemand,theCompanyheldthe19thmeetingofthesecondboardofdirectorsonApril21,2016toadopttheProposalonCompany’sAdjustmentofInvestmentScaleofCommittedItems,theCompanyoriginallyplannedtoinvestRMB1,470,557,600.00inthecommitteditems,amongwhich,RMB563,570,000.00offinancingfundswasused;afteradjustment,theCompanyplannedtoinvestRMB666,406,200.00inthecommitteditems,amongwhich,RMB519,270,000.00offinancingfundswasused.AfteradjustingtheinvestmentscaleandusingtheaforesaidfinancingfundsforHappigosmartTVinteractiveshoppingsystemconstructionitem,thefinancingfundshadabalanceintheamountofRMB44,300,000.00,whichwouldbeadjustedforproperusage(ifany)throughnecessary | ||||||||
| deliberationprocedures.TheCompany’sindependentdirectorsandtheboardofsupervisorsgavetheirconsentandtheCompany’ssponsorCICCissuedtherelevantverificationopinionsonsuchProposal.SuchProposalwasapprovedatthe2015annualgeneralmeetingofshareholdersdatedMay31,2016.OnJuly20,2017,theCompanyheldthe2ndmeetingofthethirdboardofdirectorsandthe2ndmeetingofthethirdboardofsupervisorstoadopttheProposalonTerminationofSelectedCommittedItemsandtheProposalonChangeofUsageofSelectedFundingFundsforPermanentlySupplementaryWorkingCapitalthroughdeliberation,agreeingthattheCompanyterminatesthee-commerceplatformconstructionandHDTVprogramproductionsystemitemsandintendstousetheremainingfinancingfundsofsuchbothitems,respectivelybeingRMB99,998,000.00and60,370,700.00(includingRMB5,146,800.00astheinterestincome),aswellastheuncommittedfinancingfundsintheamountofRMB44,300,000.00,totaling204,668,700.00asthepermanentlysupplementaryworkingcapital.TheCompany’sindependentdirectorsandtheboardofsupervisorsgavetheirconsentanditssponsorCICCissuedtherelevantverificationopinionsonsuchProposalsandsuchProposalswerealsoadoptedatthe4thextraordinarygeneralmeetingof2017datedAugust25,2017. | |
| Failuretoreachtheexpectedprogressorrevenuesandreasonstherefor | None |
| Explanationforsignificantchangestofeasibilityofchangeditems | None |
VI.Disposalofmajorassetsandequities
1.Disposalofmajorassets
□Applicable√N/ANomajorassetsweredisposedbytheCompanyasofthereportingperiod
2.Disposalofmajorequities
□Applicable√N/AVII.AnalysisoncompanieswhichtheCompanycontrolsorwheretheCompanyholdsshares
√Applicable□N/ADescriptionofmajorsubsidiariesandshareholdingcompaniesthataffectmorethan10%oftheCompany'snetprofits
InRMB
| Name | Type | Principalbusiness | Registeredcapital | Totalassets | Netassets | Operatingincome | Operatingprofit | Netprofit |
| HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd. | Subsidiary | Internetvideo,operatorbusinessandcontentoperation | 242,470,013.00 | 11,375,304,359.07 | 5,811,474,853.06 | 8,108,820,676.97 | 970,183,015.40 | 968,763,630.04 |
| HappigoCo.,Ltd. | Subsidiary | Mediaretail | 401,000,000.00 | 1,042,020,187.25 | 550,437,755.01 | 2,189,042,125.67 | 13,302,863.23 | 7,771,041.16 |
| ShanghaiEE-MediaCo., | Subsidiary | Artistsagency,programandmovie | 90,000,000.00 | 1,236,159,790.58 | 613,560,533.09 | 823,467,374.91 | 50,050,380.26 | 36,697,450.64 |
| Ltd. | andTVdramasproductionandcopyrightbusiness | |||||||
| MangoStudiosCultureCo.,Ltd. | Subsidiary | MovieandTVdramasproduction | 80,000,000.00 | 1,278,469,266.26 | 281,526,901.13 | 963,982,922.27 | 55,687,434.49 | 56,596,263.07 |
| HunanMangoEntertainmentCo.,Ltd. | Subsidiary | Programs,movieandTVdramasproductionandartistagency | 48,306,424.00 | 1,845,066,492.97 | 251,204,639.63 | 874,632,757.70 | 65,529,210.91 | 65,551,293.80 |
| ShanghaiMangofunTechnologyCo.,Ltd. | Subsidiary | Gamesandinteractivemarketing | 72,968,014.00 | 296,760,153.14 | 267,118,673.55 | 138,935,040.92 | 54,711,431.26 | 53,856,685.14 |
| HunanHappyMoneyMicrofinanceCo.,Ltd. | Subsidiary | Financingservices | 300,000,000.00 | 477,253,898.05 | 299,949,973.32 | 39,993,417.24 | -195,458.50 | -195,158.50 |
Acquisitionanddisposalofsubsidiariesasofthereportingperiod
□Applicable√N/ADescriptionofmajorshareholdingcompaniesDuringthereportingperiod,HappySunshine'sbusinesscontinuedtomaintainrapidgrowth,withsignificantgrowthinadvertisingandmembershiprevenue,andoperatingincomeandnetprofitsup44.63%and36.45%respectively.
VIII.StructuredentitiescontrolledbytheCompany
□Applicable√N/AIX.CompanyDevelopmentOutlook
(I)CompanyDevelopmentOutlookTheyear2020isthefinalyearforbuildingamoderatelyprosperoussocietyinallrespectsandimplementing13thFive-YearPlan.Inthecontextofmorecomplicatedmacroeconomicsituationandmorevariedindustrialcompetitionpattern,theCompanywillbeguidedbyXiJinpingThoughtonSocialismwithChineseCharacteristicsforaNewEraandfullyimplementtheguidingprinciplesoftheParty’s19thNationalCongressandthesecond,thirdandfourthplenarysessionsofits19thCentralCommittee.Neverforgetwhyyoustarted,andyoucanaccomplishyourmission.TheCompanywillcontinuetoadvocatethemediaconvergencedevelopmentstrategiesandexpandanewchapterofMangomodel.Further,itwillkeepfosteringanewState-ownedmainstreammediagroupthatadaptstothedevelopmenttrendofall-mediaeraandwinsstronginfluenceandcompetitiveness.
1.ContinuingtopursuethePartyleadershipanddofulljusticetotheroleofpoliticalcoreandleadershipcoreGuidedbyXiJinpingThoughtonSocialismwithChineseCharacteristicsforaNewEra,theCompanywillunwaveringlyupholdandimprovePartyleadership,andperfectthecorporategovernancewhilestrengtheningthePartyleadership.ItwillclarifyandimplementthelegalstatusofthePartyinthecorporatelegalpersongovernancestructure,andapplythepowersandresponsibilitiesofthePartyintheCompany’sdecision-making,implementation,supervisionandotherlinks.Inaddition,itwillfivefullpalytotherolesoftheParty’spoliticalcoreandleadershipcore,andbyexertingtheParty’spoliticalandorganizationaladvantages,obtainthecompetitionandgrowthadvantages.
2.Remainingcommittedtoholding“fourdisciplinesinaweandrespect”andnotcrossing“fourlines”inordertoimprove
thegrowthqualityofthelistedcompany
TheCompanywillfocusonsoundandlong-termgrowth,continuetoreverethemarket,ruleoflaw,specializedknowledgeandinvestors,keepstandardizingandoptimizingthedecision-makingproceduresandimprovingitsinternalcontrolsystemandfurtherenhanceitsabilitytostandardizedoperations.Itwillalsoadvocatetheentrepreneurshipandcraftmanship,andstrengthenitsriskcontrolability.Byactivelypursuingtheequityculture,constantlyoptimizingtheinvestorreturnmechanismandestablishingagoodimageofcapitalmarket,theCompanywillupgradeitsgrowthqualityasawhole.
3.Devotingmoreenergyto“Mangomodel”andkeepingexpandingnewopportunitiesofmediaconvergencedevelopment
TheCompanywillalwayspursueinnovationandtaketheMangoTVconvergenceplatformasitskeyposition.ItwillkeepfosteringanewState-ownedmainstreammediagroupthatadaptstothedevelopmenttrendofall-mediaeraandwinsstronginfluenceandcompetitivenessbyinnovatingtheinteractiveconvergencemechanismwithintheMangoecosystem,exploringnewwaysofmediaintegrationandoptimizingresourceallocation.ItwillcontinuetheexpansionofanewchapterofMangomodel
4.Strengtheningtop-levelstrategicdesigntofurtherreleaseecologicalsynergy
TheCompanywillgiveprioritytomakingMangoTVnewmediaplatformmorepowerfulandimproveitstop-leveldesignandorganizationalstructure.ItwillworkontheintegrationofbusinesslinesincludingTVdramaproduction,artistsagency,musiccopyright,IPderivativedevelopmentandmedialretail,strengthenbusinesssynergyandcomplementationandefficientlyconnectthewholeindustrychaintofurtherreleaseecologicalsynergyeffects.
5.Continuetheoptimizationoftheself-producedcontentsystemtowinandcementdevelopmentadvantageswiththequalitycontents
TheCompanywillupholdthecoreconceptofinnovativeconsent-drivenplatformgrowth,andestablishamoreefficientandorderlygreencontentsystem.Itwillcontinuouslyimproveitsmechanismsfortalenttraining,consentappraisalsystem,self-producedprocessandexternalinnovativecooperation,andperfecttheindustrialcontentproductionsystemwithMangocharacteristicstowinandcementthegrowthadvantageswithqualitycontent.
6.DevelopingcreativetechnologyandlayinganewfoundationfortheeraofdigitaleconomyThedigitaleconomyisthriving,andtheconsentproductionandcommunicationfieldsareundergoingprofoundchanges.TheCompanyshouldencourageopeningandinnovationtoembracefortechnologicalchange.Itwillkeepexploringthenewtechnologies,applicationsandecosystemsinthe5Gerathroughself-research,jointresearchandstrategiccooperationandusecreativeITtoleadandforcemanagementinnovationandefficiencyinordertoenhanceitsoverallcompetitiveness.
(II)PotentialRisksandCountermeasures
1.Risksonchangestoindustrypolicies
TheCompany’sbusinessbelongstoculturalmediaindustry.Currently,theStatemainlyestablishesbothlicensesystemandcontentmanagementsystemtoregulatetheculturalmediaindustry.TheCompanymuststrictlycomplywiththerelevantsupervisorynationallaws,regulationsandpoliciesinthisindustryinconductingitsbusiness.PossiblechangetoindustrysupervisorypoliciescouldhappenandmaketheCompanyfacetheuncertainty.Therefore,theCompanypreparestwocountermeasurestotheuncertainty:
first,itwillconductthemovieandTVdramasproductioninstrictaccordancewiththenationalpoliciesandguidancerequirements,prudentlydevelopthematerialsinvolvingpolicyrisks,andadoptitsinternalperfectqualitymanagementandcontrolsystemtoaverttheviolationsoflaws,regulationsandsupervisorypoliciesfromaffectingnormaloperation;second,itwillmakegreateffortstostudythepolices,integrate,manageandsharethemarketinformationsoastoprepareprecautionarymeasuresandquicklyrespondtopolicychanges.
2.Risksonbusinessqualifications
Inaccordancewiththeprovisionsoftherelevantnationallaws,regulationsandpoliciesontheindustryconcerningtheCompany’smainbusiness,theCompanyshallobtainandmaintainthelicenseofspecificbusinessqualificationsnecessaryforconductingitsbusiness.IftheCompanyfailstorenewthelicenseorobtainanewlicenseofbusinessqualificationsuponexpirationoftheoriginallicenseorfailstoobtainthecorrespondingbusinessqualificationsasrequiredbythenewpoliciesoftheStatewhen
theregulationdepartmentsissuenewpolicies,changebusinessqualificationorlicensingrequirements,whichwouldhaveadverseimpactontheCompany’sbusinessdevelopmentandprofitability.Fortheabovereasons,theCompanywillstrictlymanageitsbusinessqualifications,smoothlycommunicatewiththebusinessqualificationmanagementdepartmentandtimelyobtaintherenewalnecessaryfortheconductofitsbusinessuponexpiration.
3.ControlrisksonthecooperativeproductionofmovieandTVdramasIntermsofthemovieandTVdramasproductionindustry,itischaracterizedbylargesingleinvestment,longreturnperiodandhighrisks,sothecooperativeproductionbecomesacommonmodelinthemovieandTVdramaproductionindustry.Thismodelnotonlypoolsthesocialfundsandqualityresources,butalsoeffectivelyspreadsinvestmentrisks.Withinthereportingperiod,theCompanyisengagedinthebusinessofcooperativeproduction.Allpartiestothecooperativeproductionhavecommoninterests,buttheexecutiveproducercontrolstheproductionanditsworkqualitydirectlydecidesthequalityofworks;ifthequalityofworksispoor,theCompany’sinterestswouldbeaffected.Regardingtheserisks,theCompanywillmainlyparticipateintheprojectswhichithastherighttoproduceorreleasesoastoreduceitsproportioninpureinvestmentprojectsandminimizetherisksofcooperativeproduction.
4.RisksonhigheruncertaintyofreturnoninvestmentinthemovieandTVdramasThemovieandTVdramasareaculturalproduct.Therearemanyfacturesaffectingtheaudience’sacceptanceofthisproduct,includingsubjectivepreference,lifeexperienceandpublicopinionenvironment,etc.,sotheirbroadcastingresultsarerelativelyuncertain.Inaddition,thereturnoninvestmentcannotbemeasuredbecauseofthelargesingleinvestmentinmovieandTVdramas,thelongreturnperiod,therevenuedirectlydependingontheboxofficeprofitsandaudiencerating,andthedifficultyinpredictingthemarketresponse.ToguardagainsttherisksoninvestmentinmoviesandTVdramas,theCompanyestablishesascientificpre-initiationandinitiationmechanismtocontroltheserisksatthestageofscriptdevelopment.Further,itsetsupaprofessionalandindependentassessmentdepartmenttotrackandfullyassessthepre-initiationscriptdevelopmentprojects.Regardingtheplatformsandpartnerswithhighercollectionandfinancerisks,theCompanyalsoestablishestheearlywarningsystem.
5.RisksonthefailureofmovieandTVdramastoobtaintheapprovalTheStateestablishesthereleaselicensesystemfortheTVdramas.AfinishedTVdramawillnotbereleasedunlessithasbeenapprovedbytheNationalRadioandTelevisionAdministrationandtheprovincialbranchandobtainedtheTVDramaReleaseLicense.InproducingmovieandTVdramas,theCompanywouldencounterthefollowingcircumstances,forexample,failuretopassthefilingreview,toobtaintheproductionlicense,toobtainthereleaselicenseduetomaterialsandotherproblemsaftertheproductionlicenseisobtained,ortobebroadcastafterthereleaselicenseisobtained.TheCompany’sbusinessperformancewillbeaffectedbyanyoftheabovecircumstance.Therefore,theCompanyshouldconductthemovieandTVdramasproductioninstrictaccordancewiththereviewprocessesofthecompetentauthorityandtherequirementsofthenationalpolicies.Itwillalsopursuebothsocialandeconomicbenefits.Tobespecific,itshouldselectmaterialsofmoviesandTVdramaswhichareencouragedandadvocatedbytheStateanditshouldproducethepositiveidoldramas.
6.Risksoncopyrightdefects&infringementandprivacyTheCompany’sbusinesscoverstheproductionandreleaseofmovieandTVdramasandaudiovisualproducts.IthassetthecopyrightprotectionsystemregardingthecomplexityofthedevelopmentofmovieandTVdramasandaudiovisualproductsandoftheircopyrightprotection,butitstillcannotcompletelyfendofftherisksoninfringementupontheinterestsofthelegalholder.InChina,theStateimplementsthevoluntaryregistrationsystemforthecopyright,andtheregistrationisnotusedasaprerequisiteforacquisitionandvalidationofthecopyright.Forthisreason,theCompanycannotcompletelypreventthepossibledefectsofpurchasedcopyrightandinfringingtheinterestsofthelegalholderdespitethesystemformanagementofcopyrightprocurement.TheseriskswouldresultintheCompanyassumingtheobligationofinfringementcompensation,havingadverseimpactonitsfinanceandbusiness.
ThereareactsofinfringementandprivacyconcerningthemovieandTVdramasandaudiovisualproductsonthemarket.Ononehand,theinfringingandpiratedmovieandTVdramasattractsomeaudience,loweringTVdramaratingsandthemoviebox
officerevenueandontheotherhand,theinfringingandpiratedaudiovisualproductslargelyaffectthereleaseandsalesofgenuineproducts.Inrecentyears,therelevantauthoritieshaveimprovedthecopyrightprotectionsystem,devotedseriousenergytobattletheinfringementandpiracyactsandregulatedstepsbystepstheuseofcopyrightatthevideoandaudioplatforms.Althoughtheaboveworkproducessomeeffectiveresults,theseactsstillexist.Thus,theCompanystillfacestherisksoninfringementandpiracybyotherpersons.
7.RisksonbraindrainTheCompany’snewmediabusiness,movieandTVdramaproductionandartistagencyputforwardhighprofessionalrequirementsforpractitioners.Theprofessionalandwell-experiencedtalentsareavaluablefortuneoftheCompany,andtheirdrainwillaffectthenormalconductofbusiness.Furthermore,theCompany’sbusinesswillbeadverselyaffectedifitfailstocontinuesintroductionofexternaltalents.Regardingtheserisks,itwillcreateanecosystemsuitableforthetalentstoexerttheirabilitiesandkeepimprovingthecompetitiveincentivemechanismtoretainandattracttalentsandinspirecreativityandvitalityofkeyemployees,thuspromotingitsbusinessgrowth.
8.RisksontechnologyinnovationTheCompany’sinternetvideobusinesslargelyreliesontheinternetaccessandissusceptibletotelecommunicationsfailures,hackerattacks,virusesandotherfactors.IftheCompanyfailstopromptlyfindandcurbtheexternalinterference,itswebsiteorgameoperationwouldbeinterrupted,itsuserdatawouldbelostandevenothersevereeventswouldoccur,andfinally,itsnormaloperationwouldbeaffectedandthemarketreputationwouldbedamaged.Additionally,theinternetindustryhassuchfeaturesasfastproductiteration,highimitabilityandlowusertransfercosts.Toconfidentlyrespondtorisksbroughtbythetechnologyinnovation,theCompanywillbuilditsinnovationresearchinstitutiontostudyfutureindustrytrend,applynewtechnologiesandmodels,conducttheresearchandjudgementandpreparepreventivemeasures.
9.RisksoneconomiccycleTheconsumptionofthefilmandTVentertainmentindustryishighlycorrelatedtotheeconomiccycle.Astheeconomygrows,theindividualincomesandconsumptioncapacitieswillincreaseandthespendingforfilmandTVentertainmentwillriseaccordingly,orelsethisspendingwilldropaccordingly.Inotherwords,theeconomiccyclehasacertaineffectontheCompany’sentertainmentbusiness.Recently,China’seconomycontinuestogrowrapidly,anditsindividualincomesandlivingstandardshavegraduallyimproved;theinternetandsmartdevicehavebeenfullypopularized,andculturalentertainmenthasbecomeanewareaofconsumerdemand,alltheabovefactorsdrivetherapidgrowthofthefilmandTVentertainmentmarket.However,themacroeconomyhasaninherentlawofcyclicalfluctuations,affectingtheCompany’sbusinessdevelopmenttoacertaindegree.
X.Registrationformofreceptionsurvey,communication,interviews,andamongothers
1.Registrationformofreceptionsurvey,communication,interviews,andamongothersinthereportingperiod
√Applicable□N/A
| Receptiondate | Receptionsurvey | TypeofObjectinreception | Indexofbasicinformation |
| June14,2019 | FieldSurvey | Institution | RecordformofinvestorrelationactivityofMangoExcellentMediaCo.,Ltd.(code201901) |
| July10,2019 | FieldSurvey | Institution | RecordformofinvestorrelationactivityofMangoExcellentMediaCo.,Ltd.(code201902) |
| July25,2019 | FieldSurvey | Institution | RecordformofinvestorrelationactivityofMangoExcellentMediaCo.,Ltd. |
| (code201903) | |||
| August30,2019 | FieldSurvey | Institution | RecordformofinvestorrelationactivityofMangoExcellentMediaCo.,Ltd.(code201904) |
| December13,2019 | FieldSurvey | Institution | RecordformofinvestorrelationactivityofMangoExcellentMediaCo.,Ltd.(code201905) |
SectionVImportantEvents
I.Dividenddistributionofordinarysharesandcapitalizationofcapitalreserve
Policiesofdividenddistributionofordinarysharesduringthereportingperiod,especiallythedevelopment,implementationoradjustmentofcashdividenddistribution.
□Applicable√N/ADuringthereportingperiod,theCompanyformulatedandimplemented2019semi-annualcapitalreservecapitalizationplan:allshareholdersareawardedwith7sharesforeach10sharesonthebasisof1,047,280,889sharesintotal,withcorrespondingconsiderationpaidbythebalanceofcapitalreservewithinthescopeofconsolidatedfinancialreport,resultingtoanadditionof733,096,622sharesintotal.Exceptaboveshareawards,allshareholdersarepaidwithnobonussharesandcashdividends.
| Specialexplanationforcashdividendpolicies | |
| DotheycomplywiththeprovisionsoftheCompany’sArticlesofAssociationortherequirementsoftheresolutionsofgeneralmeetingofshareholders? | Yes |
| Aredividendstandardsandratiosclearandexplicit? | Yes |
| Aredecision-makingproceduresandmechanismscomplete? | Yes |
| Doindependentdirectorsdiligentlyperformtheirdutiesandplaytheirroles? | Yes |
| Dominorityshareholdershavetheopportunitytofullyexpresstheiropinionsanddemands?Aretheirlegalrightsandinterestsfullyprotected? | Yes |
| Areconditionsandproceduresforadjustedorchangedcashdividendpoliciescompliantandtransparent? | Yes |
TheCompany'sproposedprofitdistributionplanandproposedcapitalizationofcapitalreserveinthereportingperiodareconsistentwithrelevantprovisionsoftheCompany’sArticlesofAssociationanddividendmanagementmethods
√Yes□No□N/ATheCompany'sproposedprofitdistributionplanandproposedcapitalizationofcapitalreserveinthereportingperiodareconsistentwithrelevantprovisionsoftheCompany’sArticlesofAssociationandotherregulations.Descriptionoftheprofitdistributionandcapitalizationofcapitalreserve
| Numberofbonussharesdistributedforeach10shares(unit:share) | 0 |
| Amountofdividendsdistributedforeach10shares(inRMB)(includingtax) | 1 |
| Numberofsharestransferredfromcapitalreservepertenshares(unit:share) | 0 |
| Baseamountofthesharecapitalforthe | 1,780,377,511 |
| distributionproposal | |
| Amountofcashdividends(inRMB)(includingtax) | 178,037,751.10 |
| Amountofcashdividendsthroughothermethods(e.g.repurchaseofshares)(inRMB) | 0.00 |
| Totalcashdividends(includingthosedistributedthroughothermethods)(inRMB) | 178,037,751.10 |
| Retainedprofits(inRMB) | 527,578,703.45 |
| Proportionoftotalcashdividends(includingthosedistributedthroughothermethods)tothetotalprofitsdistributed | 100.00% |
| Cashdividendsdistributedthistime | |
| IftheCompanyisatthegrowthperiodandhasanymajorassetarrangement,thenatthetimeofdistributionofprofits,itscashdividendsshallaccountforatleast20%ofprofitsdistributedthistime. | |
| Descriptionsonproposalofprofitdistributionandcapitalizationofcapitalreserve | |
| InaccordancewiththerelevantprovisionsoftheCSRC’stheNoticeConcerningFurtherImplementationofMattersonDistributionofCashDividendsofListedCompanies,theNo.3RegulatoryGuidelineforListedCompanies—DistributionofCashDividendsofListedCompaniesandtheArticlesofAssociations,throughseekingopinionsanddemandsfromminorityshareholdersandindependentdirectorsandinviewoftheCompany’actualsituation,theCompanyintendstodistributetoallshareholdersthecashdividendsintheamountofRMB1.00(includingtax)foreach10shares,0bonussharesand0sharestransferredfromcapitalreserveforeach10sharesonthebasisof1,780,377.51sharesintotal,andtheremainingundistributedprofitswillbecarriedforwardtothefollowingyear.Suchproposalhasbeenadoptedatthe29thmeetingofthethirdboardofdirectorsoftheCompanythroughdeliberation,andtheindependentdirectorsgavetheirconsentindependently,whichistobedeliberatedbythegeneralmeetingofshareholders. | |
TheCompany’sdividenddistributionplan(proposal)forordinarysharesandcapitalreservecapitalizationplan(proposal)inrecentthreeyears(includingthereportingperiod)
1.2019profitdistributionplan:allshareholdersarepaidwithRMB1.00(includingtax)and0bonusshares(includingtax)foreach10sharesonthebasisof1,780,377,511sharesintotal,andawardedwith0sharesforeach10shareswithcorrespondingconsiderationpaidbycapitalreserve,inwhichtheremainingundistributedprofitswillbecarriedforwardtothefollowingyear.
2.2019semi-annualcapitalreservecapitalizationplan:allshareholdersareawardedwith7sharesforeach10sharesonthebasisof1,047,280,889sharesintotal,withcorrespondingconsiderationpaidbythebalanceofcapitalreservewithinthescopeofconsolidatedfinancialreport,resultingtoanadditionof733,096,622sharesintotal.Exceptaboveshareawards,allshareholdersarepaidwithnobonussharesandcashdividends.
3.2018profitdistributionplan:allshareholdersarepaidwithRMB0.00(includingtax)and0bonusshares(includingtax)foreach10sharesonthebasisof990,023,518sharesintotal,andawardedwith0sharesforeach10shareswithcorrespondingconsiderationpaidbycapitalreserve,inwhichtheremainingundistributedprofitswillbecarriedforwardtothefollowingyear.
4.2017profitdistributionplan:allshareholdersarepaidwithRMB0.50(includingtax)and0bonusshares(includingtax)foreach10sharesonthebasisof401,000,000sharesintotal,andawardedwith0sharesforeach10shareswithcorrespondingconsiderationpaidbycapitalreserve,inwhichtheremainingundistributedprofitswillbecarriedforwardtothefollowingyear.CashdividenddistributionofordinarysharesoftheCompanyinrecentthreeyears(includingthereportingperiod)
InRMB
| Year | Cashdividendsdistributed(includingtax) | Netprofitintheconsolidatedstatementsattributabletoordinaryshareholdersofthelistedcompany | Proportionofcashdividendsdistributedtonetprofitintheconsolidatedstatementsattributabletoordinaryshareholdersofthelistedcompany | Cashdividendsdistributedthroughothermethods(e.g.repurchaseofshares) | Proportionofcashdividendsdistributedthroughothermethodstonetprofitintheconsolidatedstatementsattributabletoordinaryshareholdersofthelistedcompany | Totalcashdividendsdistributed(includingthosedistributedthroughothermethods) | Proportionoftotalcashdividendsdistributed(includingthosedistributedthroughothermethods)tonetprofitintheconsolidatedstatementsattributabletoordinaryshareholdersofthelistedcompany |
| 2019 | 178,037,751.10 | 1,156,285,253.73 | 15.40% | 0.00 | 0.00% | 178,037,751.10 | 15.38% |
| 2018 | 0.00 | 865,568,532.45 | 0.00% | 0.00 | 0.00% | 0.00 | 0.00% |
| 2017 | 20,050,000.00 | 715,151,479.15 | 2.80% | 0.00 | 0.00% | 20,050,000.00 | 2.80% |
TheCompanyputsforwardnoproposalforcashdividenddistributionofordinarysharesdespiteprofitableandpositiveprofitsofitsparentcompanyattributabletoshareholdersofordinarysharesduringthereportingperiod
□Applicable√N/AII.Performanceoncommitmentmatters
1.Commitmentscompletedinthereportingperiodornotcompletedasoftheendofthereportingperiodbydefactocontrollers,shareholders,relatedparties,purchaser,companiesorothersrelatingtocommitments
√Applicable□N/A
| SourcesofCommitments | Promisor | Type | Content | Date | Deadline | Performance |
| CommitmentsmadeintheAcquisitionReportorEquityChangeReport | ||||||
| Commitmentsmadeatthetimeofassetsrestructuring | MangoMediaCo.,Ltd. | CommitmentsonShareLock-up | 1.Withinthirty-sixmonthsoftheendofthisoffering,wewillnottransferthelistedcompany’ssharesacquiredbyusinthisrestructuringinanyform(includingbutnotlimitedtothepublictransferthroughsecuritiesmarketortransferbyagreement),norwillweentrustotherswithmanagementofthelistedcompany’ssharesheldbyus.Withinsixmonthsofcompletion | July12,2018 | 2021-07-12 | Outstanding |
| theinvestigationconclusionofthecaseisdetermined. | |||||
| MangoMediaCo.,Ltd.;andHunanHi-techInvestmentGroupCo.,Ltd. | CommitmentsonShareLock-up | 1.Withintwelvemonthsofcompletionofregistrationofconsiderationsharesinvolvedbythelistedcompany’sissueofsharesthistimetopurchaseassets(i.e.thedatewhenChinaSecuritiesDepositoryandClearingCo.,LtdShenzhenBranchcompletesregistrationofconsiderationshares),wewillnottransferthelistedcompany’ssharesheldbyusasofthedatewhenthisLetterofCommitmentsisissuedinanyform(includingbutnotlimitedtothepublictransferthroughsecuritiesmarketortransferbyagreement),norwillweentrustotherswithmanagementofthelistedcompany’ssharesaboveheldbyus;2.theaforesaidsharelock-uparrangementsshallalsoapplytotheincreaseinholdingsofsharesbyusduetoplacementofshares,bonussharedistributionandcapitalizationofcapitalreservebythelistedcompanyandotherreasonswithintheaforesaidlock-upperiod;3.iftheaforesaidcommitmentsonsharelock-uparrangementsareinconsistentwiththelatestregulatoryopinionsissuedbythesecuritiesregulatoryauthority,thenweagreetomakeadjustmentsaccordinglypursuanttotheregulatoryopinionsissuedbythecompetentsecuritiesregulatoryauthority;aftertheexpiryoftheaforesaidlock-upperiod,therelevantregulationsofCSRCandShenzhenStockExchangeshallapply. | July12,2018 | 2019-07-12 | Fulfilled |
| BeijingZhongheDingyuanEquity | CommitmentsonShare | 1.Withintwelvemonthsoftheendofthisoffering,wewillnottransfer | July12,2018 | 2019-07-12 | Fulfilled |
| InvestmentManagementCenter(L.P.);GuangzhouYuexiuLichuangNo.3IndustrialInvestmentPartnership(L.P.）;MangoHaitongCreativeCulturalInvestmentPartnership(L.P.);HunanCulturalCreativeTourismVentureCapitalFund(L.P.);JiantouHuawenInvestmentCo.,Ltd.;MangoWenchuang(Shanghai)EquityInvestmentFund(L.P.);ShanghaiGuoheModernServiceIndustryCapitalFund(L.P.);ShanghaiHuaweiEquityInvestmentFund(L.P.);ShanghaiJunyongInvestmentManagementCo.,Ltd.;ShanghaiLianxinPhaseIIEquityInvestmentCenter;ShenzhenGuangdaNewEntertainmentIndustryFund(L.P.);TibetTaifuCulturalMediaCo.,Ltd.;XiamenC&DEmergingIndustryEquityInvestmentCo.,Ltd.;ZhejiangChengzhang | Lock-up | thelistedcompany’ssharesacquiredbyusinthisrestructuringinanyform(includingbutnotlimitedtothepublictransferthroughsecuritiesmarketortransferbyagreement),norwillweentrustotherswithmanagementofthelistedcompany’ssharesheldbyus;2.theaforesaidsharelock-uparrangementsshallalsoapplytotheincreaseinholdingsofconsiderationsharesacquiredbyusinthisrestructuringduetoplacementofshares,bonussharedistributionandcapitalizationofcapitalreservebythelistedcompanyandotherreasonwithinthesharelock-upperiod;3.ifthecommitmentsontheaforesaidlock-upperiodareinconsistentwiththelatestregulatoryopinionsissuedbythesecuritiesregulatoryauthority,thenweagreetomakeadjustmentsaccordinglypursuanttotheregulatoryopinionsissuedbythecompetentsecuritiesregulatoryauthority;aftertheexpiryoftheaforesaidlock-upperiod,therelevantregulationsofCSRCandShenzhenStockExchangeshallapply;4.ifwearesuspectedofprovidingordisclosinganyinformationcontainingmisrepresentations,misleadingstatementsormaterialomissionsinthistransactionandarethereforeinvestigatedbythejudicialauthorityortheCSRC,wewillnottransferthebeneficialinterestheldbyusinthelistedcompanybeforetheinvestigationconclusionofthecaseisdetermined. |
| CulturalIndustryEquityInvestmentFund(L.P.);andZhongnanRedCulturalGroupCo.,Ltd. | |||||
| MangoMediaCo.,Ltd. | EarningsCommitmentandCompensationArrangement | MangoMediaCo.,Ltd.makesthespecificcommitmentsasfollowswithrespecttothenetprofitwithintheearningscommitmentperiodofthetargetcompaniesofthisrestructuringincludingHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.(“HappySunshine”),ShanghaiMangofunTechnologyCo.,Ltd.(Mangofun),ShanghaiEE-MediaCo.,Ltd.(“E.E.Media”),MangoStudiosCultureCo.,Ltd.(‘MangoStudios“)andHunanMangoEntertainmentCo.,Ltd.(“MangoEntertainment”)(“netprofit”referstothenetprofitnetofnon-recurringprofitorlossattributabletotheownersoftheparentcompaniesoftargetcompaniesineachofthetargetcompanies’consolidatedstatements):(1)thecommittednetprofitofHappySunshineisRMB315,494,700.00in2017,RMB679,457,800.00in2018,RMB910,215,000.00in2019and1,293,696,000.00in2020;(2)thecommittednetprofitofMangofunis41,329,100.00in2017,RMB50,708,100.00in2018,RMB48,765,400.00in2019andRMB50,915,600.00in2020;(3)thecommittednetprofitofE.E.Mediais95,486,200.00in2017,RMB20,874,600.00in2018,RMB25,389,600.00in2019and28,444,100.00in2020;(4)thecommittednetprofitofMango | July12,2018 | 2020-12-31 | Outstanding |
| StudiosisRMB41,503,900.00in2017,RMB49,446,700.00in2018,RMB45,319,600.00in2019andRMB46,880,700.00in2020;(5)thecommittednetprofitofMangoEntertainmentis27,737,400.00in2017,RMB74,513,000.00in2018,RMB64,329,100.00in2019and74,957,600.00in2020. | |||||
| HunanBroadcastingSystem;andMangoMediaCo.,Ltd. | CommitmentsonAvoidingHorizontalCompetition,Related-partyTransactionsandFundUse | Inordertoavoidthehorizontalcompetitionwiththelistedcompany,MangoMediaandHunanBroadcastingSystemhaverespectivelyissuedtheirownLetterofCommitmentsonAvoidingHorizontalCompetition,undertakingthat,duringtheperiodofactingasthecontrollingshareholderanddefactocontrollerofthelistedcompany,“1.Weandthechannelsandcompaniescontrolledbyusarenotengagedinanybusinessoractivityinanyformthatcompetesorwouldcompetewiththebusinessofthelistedcompanyand/oritscontrolledcompanies,directlyorindirectly.2.Aftercompletionofthisrestructuring,wewilltakeandprocurethechannelsandcompaniescontrolledbyustotakeeffectivemeasurestoavoid:(1)engaginginanybusinessoractivitiesdirectlyorindirectlyinanyformthatcompetesorwouldcompetewiththebusinessofthelistedcompanyand/oritscontrolledcompanies,orholdinganyinterestsorbenefitsinsuchbusiness;(2)supportinginanyformanyotherpersonsotherthanthelistedcompanyand/oritscontrolledcompaniesinengagementinanybusinessoractivitythatcompetesorwouldcompetewiththebusiness | July12,2018 | 9999-12-31 | Outstanding |
| beingconductedortobeconductedbythelistedcompanyand/oritscontrolledcompanies.3.Ifweandthechannelsandcompaniescontrolledbyushaveanycommercialopportunitytoengage,joinorparticipateinanybusinessoractivitythatwouldcompetewiththebusinessofthelistedcompanyand/oritscontrolledcompanies,thenthelistedcompanyand/oritscontrolledcompanieswillhaveaprioritywithrespecttotheaforesaidcommercialopportunities.4.Ifanybusinessofmineandthechannelsandcompaniescontrolledbyuscompeteswiththatofthelistedcompanyanditscontrolledenterprise,thenweandthechannelsandcompaniescontrolledbyuswillceaseengaginginanybusinesssimilarwithorsamewiththeprincipalbusinessofthelistedcompanyand/oritscontrolledcompaniestoavoidthehorizonalcompetitionbystoppingconductoftherelevantcompetitivebusiness,includingtherelevantcompetitivebusinessinthatofthelistedcompanyortransferringtherelevantcompetitivebusinesstoanyunrelatedthirdparty.5.Weagreetobearandbeliableforalllosses,damageandcostscausedtothelistedcompanyand/oritscontrolledcompaniesduetobreachoftheaforesaidcommitments.” | |||||
| HunanBroadcastingSystem;andMangoMediaCo.,Ltd. | CommitmentsonAvoidingHorizontalCompetition,ConnectedTransactionandFundUse | “Inordertoreduceandregulatetherelated-partytransactionsandsafeguardthelegalrightsandinterestsofHappigoandminorityshareholders,HunanBroadcastingSystemandMangoMediahaveissuedtheLetterofCommitmentson | July12,2018 | 9999-12-31 | Outstanding |
| andfundsofthelistedcompany. | ||||||
| CommitmentsmadeatthetimeofIPOorre-financing | ChinaLifeAssetManagementCompanyLimited;andChinaMobileCapitalHoldingCo.,Ltd. | CommitmentsonShareLock-up | A-sharestocksnon-publiclyissuedbyMangoExcellentMediaCo.,Ltd.thistimethatweacquirewillnotbetransferredwithintwelvemonthsfromthedateoftheissuecompletion,includingbutnotlimitedtothepublictransferthroughsecuritiesmarketorthetransferbyagreement,unlessotherwiseprovidedforinthelawsandregulations. | May30,2019 | 2020-05-30 | Outstanding |
| HunanHi-techInvestmentGroupCo.,Ltd.;MangoMediaCo.,Ltd.;andNo.2AccountforAcceptedSharesofNationalCouncilforSocialSecurityFund,PRC | CommitmentsonShareStock-up | MangoMediaCo.,Ltd.(“MangoMedia”)astheCompany’scontrollingshareholderanditspartyactinginconcertHunanHi-techInvestmentGroupCo.,Ltd.makethefollowingcommitmentswithrespecttocirculationrestrictionsandvoluntarylock-up:(1)withinthirty-sixmonthsfromthelistingdateofthesharesofthelistedcompany,wewillnottransferorentrustotherswithmanagementofanypre-IPOsharesoftheissuerheldbyus,norproposetherepurchaseofsuchsharesbytheCompany.(2)If,withinsixmonthsofthelistingoftheissuer,thedailyclosingpriceofitssharesislowerthantheissuepricefor20consecutivetradingdays,orthedailyclosingpriceofthelistedcompany’ssharesislowerthantheissuepriceattheendofasix-monthperiodofthelisting(i.e.July21,2015,nottheextendedtradingday),thenthelock-upperiodoftheissuer’sharesheldbyuswillautomaticallyextendedforsixmonths.(3)Ifwereduceourshareholdingswithintwoyearsaftertheexpiryoflock-upperiod,thereductionpricewillnotbelower | January21,2015 | 2018-01-21 | Fulfilled |
| than100%oftheissueprice.Ifwefailtofulfillthesecommitments,theproceedsfromreductionofshareholdingsintheCompanywillbelongtotheCompany.DuringtheperiodfromthelistingoftheCompany’ssharesuntilreductionofshareholdings,iftheCompanyhaspaiddividends,givenbonusshares,capitalizedcapitalreserve,issuednewsharesorhadotherex-rightandex-dividendmatters,thefloorreductionpriceandnumberofreducedshareswillbeadjustedaccordingly. | |||||
| HongyiInvestmentIndustryPhaseIFund(Tianjin)(L.P.);MianyangScienceandTechnologyIndustryInvestmentFund(L.P.);TianjinSequoiaCapitalInvestmentFundCenter(L.P.);andTibetHongzhiInvestmentConsultingPartnershipEnterprise(L.P.) | CommitmentsonShareStock-up | Withintwelvemonthsfromthelistingdateoftheissuer,wewillnottransferorentrustotherswithmanagementofanypre-IPOsharesoftheissuerheldbyus,norproposetherepurchaseofsuchsharesbythelistedcompany. | January21,2015 | 2016-01-21 | Fulfilled |
| MangoMediaCo.,Ltd. | CommitmentsonReducingShareholdings | MangoMediaCo.,Ltd.,astheCompany’scontrollingshareholder,makesthefollowingcommitmentswithrespecttotheintentiontoreduceshareholdings:(1)IfweintendtoreduceourshareholdingsintheCompanyaftertheexpiryofthelock-upperiodofsharesheldbyusintheCompany,wewilllegallydosame,andmakeapublicannouncementwithinthreetradingdayspriortoreductionthroughtheCompany.Theshareholdingswe | January21,2015 | 2018-01-21 | Outstanding |
| reduceinaggregatewithintwoyearsaftertheexpiryofthelock-upperiodwillnotexceed5%ofthetotalIPOsharesoftheCompanyheldbyusandthereductionpricewillnotlowerthan100%oftheIPOpriceoftheCompany.Ifwereduceourshareholdingsaftertwoyearsuponexpiryofthelock-upperiod,thepricefortheshareholdingsreducedthroughthecentralizedquotationtradingsystemofthestockexchangewillnotlowerthanthedailyclosingpriceforonetradingdaypriortothepublicannouncementofreduction.(2)Thereductionperiodwillbesixmonthsafterthepublicannouncementofthereductionplan,ifwecontinuetoreduceourshareholdingsafterexpiryofthereductionperiod,wewillmakethepublicannouncementanewinaccordancewiththeaforesaidarrangements. | |||||
| HunanHi-techInvestmentGroupCo.,Ltd. | CommitmentsonReducingShareholdings | HunanHi-techInvestmentGroupCo.,Ltd.,asthepartyactinginconcertoftheCompany’scontrollingshareholderMangoMedia,makesthefollowingcommitmentswithrespecttotheintentiontoreduceshareholdings:(1)IfweintendstoreduceourshareholdingsintheCompanyaftertheexpiryofthelock-upperiodofsharesheldbyusintheCompany,wewilllegallydosame,andmakeapublicannouncementwithinthreetradingdayspriortoreductionthroughtheCompany.IftheCompany’sshareholdersintendtoreducetheirshareholdingsinwithintwoyearsafterthelock-upperiod,thenumberofreducedshareswillnotexceedtheissuer’ssharesheld | January20,2015 | 2018-01-21 | Outstanding |
| intotalbytheCompany’sshareholders;(2)Modeofreduction:theshareholdingswillbereducedthroughthecentralizedquotationorblocktradingsystemofthestockexchangeorthroughtransferbyagreement(butifthenumberofthereleasedlock-upsharesinstocktheCompany’sshareholdersexpecttopubliclysellwithinonecomingmonthaccumulativelyexceeds1%oftotalsharesoftheCompany,theshareswillnotbetransferredthroughcentralizedquotationtradingsystemofthestockexchange),orwillbetransferredinaccordancewiththeprovisionsofotherlawsandregulationsthenineffectortherulesofthestockexchange;(3)Reductionprice:ifwereducedourshareholdingswithintwoyearsuponexpiryofthelock-upperiod,thereductionpricewillnotlowerthan100%oftheissueprice(iftheCompanyhaspaiddividends,givenbonusshares,capitalizedcapitalreserve,issuednewsharesorhadotherex-rightandex-dividendmatters,theissuepricewillbeadjustedaccordingly). | |||||
| HongyiInvestmentIndustryPhaseIFund(Tianjin)(L.P.);MianyangScienceandTechnologyIndustryInvestmentFund(L.P.);andTianjinSequoiaCapitalInvestmentFundCenter(L.P.) | CommitmentsonReducingShareholdings | “HongyiInvestmentIndustryPhaseIFund(Tianjin)(L.P.)(“HongyiInvestment”),MianyangScienceandTechnologyIndustryInvestmentFund(L.P.)(“MianyangFund”),TianjinSequoiaCapitalInvestmentFundCenter(L.P.)(“SequoiaCapitalTianjin”),asotherexistingshareholdersoftheCompany,makethefollowingcommitmentswithrespecttotheintentiontoreduceshareholdings: | January21,2015 | 2018-01-21 | MianyangFundandSequoiaCapitalTianjindisclosedonNovember19,2016andHongyiInvestmentdisclosedonDecember10,2016theAnnouncement |
| (1)Wewillnottransferorentrustotherswithmanagementofanypre-IPOsharesoftheissuerheldbyus,norproposetherepurchaseofsuchsharesbytheCompanywithintwelvemonthsfromthelistingdateoftheissuer.(2)IfweintendtoreduceourshareholdingsintheCompanyaftertheexpiryofthelock-upperiodofsharesheldbyusintheCompany,wewilllegallydosame,andmakeapublicannouncementwithinthreetradingdayspriortoreductionthroughtheCompany.Theshareholdingswereduceinaggregatewithintwoyearsaftertheexpiryofthelock-upperiodwillequaltheissuer’ssharesheldintotalbyusandthereductionpricewillnotlowerthan80%oftheIPOpriceoftheCompany.Thereductionperiodwillbesixmonthsafterthepublicannouncementofthereductionplan,andifwecontinuetoreduceourshareholdingsafterexpiryofthereductionperiod,wewillmakethepublicannouncementanewinaccordancewiththeaforesaidarrangements.DuringtheperiodfromthelistingoftheCompany’ssharesuntilreductionofshareholdings,iftheCompanyhaspaiddividends,givenbonusshares,capitalizedcapitalreserve,issuednewsharesorhadotherex-rightandex-dividendmatters,thefloorreductionpriceandnumberofreducedshareswillbeadjustedaccordingly.IftheCompany’sshareholdersfailtofulfillthesecommitments,theproceedsfromreductionofshareholdingsintheCompanywillbelongtothelisted | onPromptofShareholdingsReductionPlanforShareholdersHolding5%orMoreofSharesPriortoIPOthroughtheCompany,andasoftheendof2017,allofthemhavecompletedreductionoftheirshareholdings. |
| Company. | |||||
| MangoExcellentMediaCo.,Ltd. | CommitmentsonUseofFinancingFunds | 1.Strengtheningthemanagementoffinancingfunds.Afterfinancingfundsissuedthistimearereceived,theCompany’sdirectorswillstrictlycomplywiththerequirementsoftheMeasuresforManagementofFinancingFundsofHappigoInc.,openthespecialaccountforfinancingfunds,ensurethefundsareusedexclusivelyandstrictlycontrolalllinksintheuseoffinancingfunds.2.Activelyimplementingcommittedprojects.ThefundsraisedthistimewillcloselyfocusontheCompany’sprincipalbusiness,conformingtotheCompany’sfuturegrowthstrategyandfacilitatingimprovementoftheCompany’ssustainableprofitability.TheCompanyhasfullydemonstratedtheinvestmentprojectsofthefinancingfunds,andinvestitsownorself-raisedfundsintheaforesaidprojectsinadvancebeforethefinancingfundsarereceivedsoastoyieldprofitsassoonaspossible. | January21,2015 | 9999-12-31 | Fulfilled,andallIPOcommittedprojectshavebeenclosed. |
| CommitmentsonDistributingDividends | Improvingtheprofitdistributionsystem,inparticularcashdividendspolicy.TheCompanyimprovedtheArticlesofAssociations(Draft)atthe1stextraordinarygeneralmeetingofshareholders,stipulatingtheCompany’sprofitdistributionpolicy,theproceduresofdecision-makingandimplementationoftheprofitdistributionpolicy,preparationandadjustmentmechanismoftheprofitdistributionpolicy,andtheplanforshareholders’dividendreturnsinordertoenhancetheprotectionoverminorityshareholders.TheArticles | January21 | 9999-12-31 | Outstanding |
| ofAssociations(Draft)furtherdefinestheCompany’sprofitdistribution,especiallythespecificconditions,percentagesandformsofthecashdividenddistributionaswellastheconditionsofthebonussharedistribution,andclarifiesthatthecashdividendsaresuperiortobonusshares;andtheCompanypreparedthePlanonDividendReturnsfortheComingThreeYearsofHappigoInc.tofurtherimplementtheprofitdistributionsystem. | |||||
| HunanBroadcastingSystem;andMangoMediaCo.,Ltd. | CommitmentsonAvoidingHorizontalCompetitionandFundUse | “(I)CommitmentsonAvoidingHorizontalCompetition:InordertoavoidthehorizontalcompetitionandprotecttheinterestsoftheCompanyandothershareholders,HunanBroadcastingSystemasthedefactocontrollerandMangoMediaasthecontrollingshareholderoftheCompanyhaverespectivelyissuedtheirownLetterofCommitmentsonAvoidingHorizontalCompetition.1.ControllingShareholder:MangoMedia,asthecontrollingshareholderoftheCompany,issuedtheLetterofCommitmentsonAvoidingHorizontalCompetition.(1)MangoMediaanditsothersubordinateenterprises(excludingissuer)arenotengagedinanybusinessoractivityinanyformthatcompetesorwouldcompetewiththebusinessoftheissuerand/oritssubordinateenterprisesdirectlyorindirectly.(2)MangoMediawilltakeandprocureanyenterprisescontrolledbyMangoMediatotakeeffectivemeasurestoavoid:(A)engaginginanybusinessoractivitiesdirectlyorindirectlyin | January21,2015 | 9999-12-31 | Outstanding |
| subordinateenterprises,thentheissuerand/oritssubordinateenterpriseswillhaveaprioritywithrespecttotheaforesaidcommercialopportunities.HunanBroadcastingSystemagreestobearandbeliableforalllosses,damageandcostscausedtotheissueranditssubordinateenterprisesduetobreachoftheaforesaidcommitments.(II)LetterofCommitmentsonAvoidingFundUse:ThecontrollingshareholdersanddefactocontrollersoftheCompanyundertakethat:theywillstrictlycomplywiththeprovisionsofthelaws,regulations,normativedocumentsandtheCompany’srelevantrulesandsystems,notappropriateorusetheCompany’sassetsorresourcesinanyform,nordoanythingdirectlyorindirectlywhichharmsorwouldharmtheinterestsoftheCompanyandothershareholders.IftherightsandinterestsoftheCompanyorothershareholdersareharmedduetoviolationsoftheaforesaidcommitmentsandundertakings,thecontrollingshareholdersanddefactocontrollerswillbeliableforcompensationaccordingtolaw.” | |||||
| CHENGang;JIANGYingxing;HappigoInc.;LINiu;LIXiang;MangoMediaCo.,Ltd.;OUYANGWen,TANGLiang;TANGWeimin;WUJunyun;ZHANGXiaoxue;ZHANGYong;ZHANGZhifang;andZHU | CommitmentsonStabilizingIPOStockPrice | “Specificmeasurestostabilizethestock:1.Shareholdingincreasesbythecontrollingshareholders:(1)Thecontrollingshareholdersshall,within10tradingdaysaftertriggingtheobligationsofshareholdingincreases,notifytheCompanyinwritingastowhetherornottheyhavethespecificplantoincreaseA-sharestocksoftheCompany,andtheCompanywillmakethepublicannouncement;ifincreasing | January21,2015 | 2018-01-21 | Fulfilled |
| Deqiang | shareholdings,theyshalldisclosetherangeofsharestobeincreased,rangeofprice,dateofcompetitionandotherinformation,andtheamountofsharestobeincreasedthistimewillnotexceed30%ofcashdividendsreceivedfromtheCompanyinaggregateafterthelistingoftheCompany.(2)IftheCompany’sstockpricehasnotmettheconditionsforstartingmeasurestostabilizestockpriceoftheCompanybeforetheplanonshareholdingincreasesofthecontrollingshareholdersisimplemented,suchplanmaycease.(3)Thepriceofsharesincreasedbythecontrollingshareholderswillnotexceedauditednetassetpershareforthelatestperiod.2.RepurchasebytheCompany:(1)Ifthecontrollingshareholdersfailtoannouncetheaforesaidspecificplanonshareholdingincreasesontime,orclearlystatethattheyhavenoplantoincreasetheirshareholdings,theCompany’sboardofdirectorsshall,within20tradingdaysaftertheobligationsofshareholdingincreasesaretriggedfirstly,makethepublicannouncementastowhetherthereisthespecificsharerepurchaseplan,andifthereis,theyshalldisclosetherangeofsharestoberepurchased,rangeofprice,dateofcompletionandotherinformation,andtotalrepurchaseamountwillnotexceed30%ofauditednetprofitattributabletotheparentcompany’sshareholdersforthepreviousfiscalyear.(2)AftertheCompany’sgeneralmeetingofshareholdersdeliberatesandapprovesthesharepurchaseplan, |
| directorsandseniorofficersarerestrictedtotradesharesforNdaysduringthisperiod,within10+Ntradingdaysaftertheaforesaidsharerepurchaseplanfailstobeapprovedatthegeneralmeetingofshareholders),unconditionallyincreasetheCompany’sA-sharestocks,andtheamountofsharestobeincreasedinaggregatebyeachofthedirectorsandseniorofficerswillnotexceed30%oftheaccumulativeamountofafter-taxremunerationsorallowancesreceivedfromtheCompanyforthepreviousfiscalyear.(2)IfthedailyclosingpriceoftheCompany’sshareshasnotmettheconditionsforstartingthemeasurestostabilizethestockpricebeforetheplanonshareholdingincreasesbythedirectorsandseniorofficersisimplemented,thedirectorsandseniorofficersmayceasetoimplementtheaforesaidmeasurestostabilizethestockprice.(3)Thepriceofshareholdingincreasesbythedirectorsandseniorofficerswillnotexceedtheauditednetassetpershareforthelatestperiod.” | |||
| Commitmentsonequityincentives | |||
| OthercommitmentsmadetotheCompany’sminorityshareholders | |||
| Fulfillthecommitmentsontimeornot | Yes | ||
2.Explanationoftheoriginalprofitestimatewithrespecttotheassetsorprojectsofthe
CompanyandreasonsforrealizationiftheCompanymakesaprofitestimateforitsassetsorprojectswhichisstillinprogressduringthereportingperiod
√Applicable□N/A
| Assetorprojectwithprofitestimates | Commencedateofforecast | Enddateofforecast | Currentestimatedperformance(in0’000) | Currentachievedperformance(in0’000) | Reasonfornotachievetheestimate(ifapplicable) | Disclosuredateoftheoriginalestimate | Indexoftheoriginalestimate |
| HappySunshine | January1,2017 | December31,2020 | 91,021.5 | 92,704 | N/A | June22,2018 | Announcement:ReportforIssuanceofSharesforPurchaseofAssetsandRaisingofMatchingFundsandRelatedPartyTransactions,disclosedinhttp://www.cninfo.com.cn/ |
| MangoFun, | January1,2017 | December31,2020 | 4,876.54 | 5,009.87 | N/A | June22,2018 | |
| EE-Media, | January1,2017 | December31,2020 | 2,538.96 | 2,587.62 | N/A | June22,2018 | |
| MangoStudios | January1,2017 | December31,2020 | 4,531.96 | 4,846.76 | N/A | June22,2018 | |
| MangoEntertainment | January1,2017 | December31,2020 | 6,432.91 | 6,532.12 | N/A | June22,2018 |
CommitmentsmadebytheCompany'sshareholdersandcounterpartiestotheannualoperatingresultsoftheCompanyorrelatedassets
√Applicable□N/AOnSeptember27,2017,theAgreementonprofitestimateingCompensationfortheIssuanceofSharestoPurchaseAssetswitheffectivenesssubjecttocertainconditionsweremadeandenteredintobyandbetweentheListedCompanyandMangoMediaactingastherestructuringcounterpartyandthecontrollingshareholderoftheCompany.OnNovember20,2017,thetwopartiesaboveconcludedtheSupplementalAgreementtoAgreementonprofitestimateingCompensationfortheIssuanceofSharestoPurchaseAssetswitheffectivenesssubjecttocertainconditions.Accordingtothetwoagreements,MangoMediahasagreedtomakethefollowingspecificcommitmentstonetprofitsarisingfromtheperformancecommitmentperiodofthetargetcompanies:
InRMB0‘000
| TargetCompany | Committednetprofitsin2017 | Committednetprofitsin2018 | Committednetprofitsin2019 | Committednetprofitsin2020 |
| HappySunshine | 31,549.47 | 67,945.78 | 91,021.50 | 129,369.60 |
| MangoFun, | 4,132.91 | 5,070.81 | 4,876.54 | 5,091.56 |
| EE-Media, | 9,548.62 | 2,087.46 | 2,538.96 | 2,844.41 |
| MangoStudios | 4,150.39 | 4,944.67 | 4,531.96 | 4,688.07 |
| MangoEntertainment | 2,773.74 | 7,451.30 | 6,432.91 | 7,495.76 |
CompletionofperformancecommitmentsandtheirimpactsongoodwillimpairmentIn2019,allof5targetedcompaniesinassetrestructuringcompletedtheirperformancecommitmentssuccessfully,evidencedby
101.85%,102.73%,101.92%,106.95%,101.54%performanceachievedbyHappySunshine,MangoFun,EE-Media,MangoStudiosandMangoEntertainmentrespectively.Noimpairmentoncompany’sgoodwilliscausedfromthisrestructuring.III.Appropriationofnon-operatingfundsoftheListedCompanybythecontrollingshareholderanditsrelatedparties
□Applicable√N/ATheCompany’scontrollingshareholderanditsrelatedpartieshaveappropriatednonon-operatingfundsoftheListedCompanyduringthereportingperiod.IV.Explanationsfromtheboardofdirectorsforthe“ModifiedAuditor’sReport”IssuedMostRecently
□Applicable√N/A
V.Explanationsfromtheboard,theboardofsupervisors,theindependentdirectors(ifany)forthe“ModifiedAuditor’sReport”issuedbytheengagedaccountingfirminthereportingperiod.
□Applicable√N/AVI.Explanationfromtheboardforreasonsandeffectsofaccountingpoliciesandaccountingestimatechangeandsignificantaccountingmistakecorrection
√Applicable□N/A
TheProposaltoChangesinAccountingPolicieswasdiscussedandapprovedinthe21
st
meetingofthethirdboardofdirectorsoftheCompanyinApril27,2019,withdetailsasbelow:
(1)Reasonsforchangesinaccountingpolicies.AsatMarch31,2017,theMinistryofFinanceissuedtheNoticeonIssuingtheRevisedAccountingStandardforBusinessEnterprisesNo.22–FinancialInstruments:RecognitionandMeasurement(CaiKuai[2017]No.7),theNoticeonIssuingtheRevisedAccountingStandardforBusinessEnterprisesNo.23–TransferofFinancialAssets(CaiKuai[2017]No.8),andtheNoticeonIssuingtheRevisedAccountingStandardforBusinessEnterprisesNo.24–HedgeAccounting(CaiKuai[2017]No.9);andasatMay2,2017,theMinistryofFinanceissuedtheNoticeonIssuingtheRevisedAccountingStandardforBusinessEnterprisesNo.37-FinancialInstruments:Presentation(CaiKuai[2017]No.14)(hereinafterreferredtoas“newfinancialinstrumentstandards”),whichshouldbeimplementedbydomesticlistedenterprisessinceJanuary1,2019.TheCompanyimplementedaforementionedrevisedaccountingstandardsonJanuary1,2019.
(2)Accountingpolicespriororsubsequenttothischange.Priortothischange,theCompanyimplementeditsaccountingpoliciesinaccordancewiththeAccountingStandardsforBusinessEnterprises-BasicStandardsandspecificstandardsissuedbytheMinistryofFinanceinthepreviousperiods,aswellastheaccountingstandardsforbusinessenterprises,applicationguidelinesandinterpretationstoaccountingstandardsforbusinessenterprisesandotherrelevantprovisionsissuedandrevisedsubsequentlybytheMinistryofFinance.Subsequenttothischange,theCompanyimplementedsuchaccountingpoliciesinaccordancewiththeAccountingStandardforBusinessEnterprisesNo.22–FinancialInstruments:RecognitionandMeasurement,theAccountingStandardforBusinessEnterprisesNo.23–TransferofFinancialAssets,theAccountingStandardforBusinessEnterprisesNo.24–
HedgeAccountingandtheAccountingStandardforBusinessEnterprisesNo.37-FinancialInstruments:Presentation.Forotherunchangedparts,theCompanystillimplementedtheaccountingpoliciesinaccordancewiththeAccountingStandardsforBusinessEnterprises-BasicStandardsandspecificstandardissuedbytheMinistryofFinanceinthepreviousperiods,aswellasapplicationguidelinesandinterpretationstoaccountingstandardsforbusinessenterprisesandotherrelevantprovisions.Underthetransitionprovisionsfortheoldandthenewstandards,enterprisesarenotrequiredtoadjustcomparativefiguresinpriorperiodsretrospectively.Therefore,theCompanyhasdiscloseditsaccountingstatementsasrequiredbythenewstandardssincethefirstquarterof2019withoutanyretroactiveadjustmentsoncomparativefiguresof2018.ThischangeinaccountspoliciesdonotaffecttheCompany'srelatedfinancialindicatorsof2018.
TheProposaltoChangesinAccountingPolicieswasdiscussedandapprovedinthe24
th
meetingofthethirdboardofdirectorsoftheCompanyinAugust2019,2019,withdetailsasbelow:
(1)Reasonsforchangesinaccountingpolicies.AsatApril30,2019,theMinistryofFinanceissuedtheNoticeonIssuingtheRevisedPresentationofFinancialStatementsforGeneralBusinessEnterprisesfor2019(hereinafterreferredtoas“RevisionNotice”),whichrevisedtheformatoffinancialstatementsforgeneralbusinessenterprisesandrequirenon-financingenterprisesimplementingtheaccountingstandardsforbusinessenterprisestocomplywiththerequirementsoftheaccountingstandardsforbusinessenterprisesandtheRevisionNoticewhentheyprepareinterimfinancialstatementsin2019,andannualfinancialstatementsin2019orsubsequentperiods.Inaccordancewithsuchrequirements,theCompanyimplementedtherevisedaccountingpoliciesforthepreparationofitsinterimfinancialstatementsin2019,andannualfinancialstatementsin2019andsubsequentperiods.
(2)Accountingpolicespriortothischange.Priortothischange,theCompanyimplementeditsaccountingpoliciesinaccordancewiththeAccountingStandardsforBusinessEnterprises-BasicStandardsandspecificstandards,aswellasapplicationguidelinesandinterpretationstoaccountingstandardsforbusinessenterprisesandotherrelevantprovisionsissuedbytheMinistryofFinance.
(3)Accountingpolicessubsequenttothischange.Subsequenttothischange,theCompanyimplementedsuchaccountingpoliciesinaccordancewithrelevantprovisionsoftheRevisionNotice.Forotherunchangedparts,theCompanystillimplementedtheaccountingpoliciesinaccordancewiththeAccountingStandardsforBusinessEnterprises-BasicStandardsandspecificstandards,aswellasapplicationguidelinesandinterpretationstoaccountingstandardsforbusinessenterprisesandotherrelevantprovisionsissuedbytheMinistryofFinance.
Thischangeinaccountingpoliciesonlyaffectstheformatofthefinancialstatementsandthepresentationofsomelineitems,withoutanyeffectonthefinancialpositionandresultsofoperationsoftheCompany.VII.Explanationforchangesinthescopeofconsolidatedfinancialstatementscomparingwiththoseinprioryear
√Applicable□N/AInthereportingperiod,theCompanyestablishedHunanHappyStarlightInteractiveEntertainmentMediaCo.,Ltd.andderegisteredMammaMiaGlobalTradingCo.,LimitedandHappigoCloudProvidersTrading(HongKong)Co.,Limited,whichcanrefertoSectionXII,VIII,ChangesinScopeofConsolidationfordetails.VIII.EngagementandDismissaloftheAccountingFirm
Currentcertifiedpublicaccountants
| Domesticcertifiedpublicaccountants | Pan-ChinaCertifiedPublicAccountantsLLP |
| Remunerationpaidtothedomesticcertifiedpublicaccountants(inRMB0'000) | 198 |
| Auditperiodofthedomesticaccountingfirm | 4 |
| Nameoftheengagedcertifiedpublicaccountants | LIXinkui,ZHANGHong |
| Auditperiodoftheengagedcertifiedpublicaccountants | 4 |
Ifthecertifiedpublicaccountantischanged
□Yes√NoDescriptionofengagingcertifiedpublicaccountants,financialadviserorsponsorforinternalcontrol
√Applicable□N/AIn2018,theCompanyengagedChinaInternationalCapitalCorporationLimitedandFortuneSecuritiesCo.,Ltd.asitsindependentfinancialadviserswithrespecttomaterialassetreorganizationwithasupervisionperiodfromJuly21,2018toDecember31,2019.
IX.Listingsuspensionandterminationsubsequenttothedisclosureoftheannualreport
□Applicable√N/AX.Bankruptcyandreorganization
□Applicable√N/ATheCompanyhasnomatterswithrespecttobankruptcyandreorganizationduringthereportingperiod.XI.Materiallitigationorarbitration
□Applicable√N/ATheCompanyhasnomateriallitigationorarbitrationduringthereportingperiod.XII.Penaltyandrectification
□Applicable√N/ATheCompanyhasnopenaltyandrectificationduringthereportingperiod.XIII.IntegrityoftheCompanyanditscontrollingshareholdersanddefactocontrollers
□Applicable√N/AXIV.ImplementationoftheCompany’sequityincentiveplan,employeeshareholdingplanorotheremployeeincentivemeasures
□Applicable√N/ATheCompanyhasnoequityincentiveplan,employeeshareholdingplanorotheremployeeincentivemeasuresaswellastheimplementationthereofduringthereportingperiod.XV.Significantrelated-partytransactions
1.Related-partytransactionsrelatedtodailyoperations
√Applicable□N/A
| Relatedparty | Relatedpartyrelationship | Type | Content | PricingPrincipal | Price | Amount(inRMB0’000) | Proportionofsimilartradingamount | Approvedtradingamount(inRMB0’000) | Exceedtheapprovedamountornot | Modeofsettlement | Availablemarketpriceofsimilartransactions | Dateofdisclosure | Disclosureindex |
| HunanBroadcastingSystem | Defactocontroller | Acceptanceoflabor | Copyright,etc. | Marketpricing | 47,467.22 | 47,467.22 | 5.73% | 48,600 | No | bytransfer | 47,467.22 | April30,2019 | Publishedat:www.cninfo.com.cn,nameofannouncement:Announcementon |
| 2018DailyRelated-partyTransactionsand2019ExpectedDailyRelated-partyTransactions. | |||||||||||||
| HunanBroadcastingSystem | Defactocontroller | Offeroflabor | Advertisingrelease | Marketpricing | 98,114.38 | 98,114.38 | 7.85% | 100,000 | No | bytransfer | 98,114.38 | April30,2019 | Publishedat:www.cninfo.com.cn,nameofannouncement:AnnouncementonIncreased2019ExpectedDailyRelated-partyTransactions. |
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd. | Controlledbythesamefinalcontroller | Offeroflabor | Advertisingrelease | Marketpricing | 74,136.04 | 74,136.04 | 5.93% | 80,000 | No | bytransfer | 74,136.04 | April30,2019 | Publishedat:www.cninfo.com.cn,nameofannouncement:AnnouncementonIncreased2019ExpectedDailyRelated-partyTransactions. |
| MangoMediaCo.,Ltd. | Parentcompany | Offeroflabor | Movieandfilmrelease | Marketpricing | 57,825.47 | 57,825.47 | 4.63% | 55,590 | Yes | bytransfer | 57,825.47 | April30,2019 | Publishedat:www.cninfo.com.cn,nameofannouncement:AnnouncementonIncreased2019ExpectedDailyRelated-partyTransactions. |
| MIGUCultureTechnologyCo.,Ltd. | Sharingthekeymanager | Offeroflabor | Operatorrevenue | Marketpricing | 51,079.01 | 51,079.01 | 4.09% | 48,869 | Yes | bytransfer | 51,079.01 | October29,2019 | Publishedat:www.cninfo.com.cn,nameofannouncement:AnnouncementonIncreased |
| 2019ExpectedDailyRelated-partyTransactions. | ||||||||||
| Total | -- | -- | 328,622.12 | -- | 333,059 | -- | -- | -- | -- | -- |
| Detailsofreturnofgoodswithlargesales | None | |||||||||
| Actualperformancewithinthereportingperiod(ifany)intheeventthatthetotalamountofthedailyrelated-partytransactionstooccurinthecurrentperiodisexpectedbycategories | None | |||||||||
| Reasonsforthelargedifferencebetweenthetradingpriceandthemarketreferenceprice(ifapplicable) | N/A | |||||||||
2.Related-partytransactionsrelatedtoacquisitionordisposalofassetsandequities
□Applicable√N/ATheCompanyhasnorelated-partytransactionsrelatedtoacquisitionordisposalofassetsandequitiesduringthereportingperiod.
3.Related-partytransactionsrelatedtojointexternalinvestment
□Applicable√N/ATheCompanyhasnorelated-partytransactionsrelatedtojointexternalinvestmentduringthereportingperiod.
4.Creditsanddebitswithrelatedparties
□Applicable√N/ATheCompanyhasnocreditsanddebitswithrelatedpartiesduringthereportingperiod.
5.Othersignificantrelated-partytransactions
□Applicable√N/ATheCompanyhasnoothersignificantrelated-partytransactionsduringthereportingperiod.XIV.Significantcontractsandimplementation
1.Trusteeship,contractingandleasing
(1)Trusteeship
□Applicable√N/ATheCompanyhasnotrusteeshipduringthereportingperiod.
(2)Contracting
□Applicable√N/ATheCompanyhasnocontractingduringthereportingperiod.
(3)Leasing
□Applicable√N/ATheCompanyhasnoleaseduringthereportingperiod.
2.Significantguarantee
□Applicable√N/ATheCompanyhasnoguaranteeduringthereportingperiod.
3.Cashassetmanagementbyothersunderentrustment
(1)Entrustedfinancing
√Applicable□N/A
| Specifictype | Capitalsourcesofentrustedfinancing | Amountofentrustedfinancing | Unduebalance | Amountoverdueandnotrecovered |
| Bankfinancingproduct | Ownfunds | 83,370 | 0 | 0 |
| Total | 83,370 | 0 | 0 | |
(2)Entrustedloans
□Applicable√N/ATheCompanyhasnoentrustedloaninthereportingperiod.
4.Othersignificantcontracts
□Applicable√N/ATheCompanyhasnoothersignificantcontractsinthereportingperiod.
XVII.SocialResponsibilities
1.Performanceofsocialresponsibilities
Detailsreferto2019socialresponsibilityreportdisclosedbytheCompanyinwww.cninfo.com.cn.
2.Descriptionoftargetedpovertyalleviationactivities
(1)Planfortargetedpovertyalleviation
Inresponsetothenational,provincialandmunicipalcallsforpovertyalleviationinaseriousattitude,theCompanyactivelycarryouttargetedpovertyalleviationactivitiesbygivingfullplaytotheadvantagesoftheCompany’splatformandindustrialchains.
(2)OverviewofannualtargetedpovertyalleviationForpovertyalleviationviacontents,theCompanyiscommittedtodisplayingacomprehensivescenarioforabetterrurallife.Iftheyearof2019isvitaltoacceleratethespeedofpovertyalleviation,theyearof2020isfinaltofightagainstthepovertycomprehensivelytoovercomepovertyandachieveprosperity.TheCompany,asastate-ownedmainstreammediagroup,isstandinginthefrontlineofpovertyalleviationtopromotethewholesocietytofocuson,understand,recognizeandparticipateinpovertyalleviation,andplayingtheroleofcultivatingandeducatingpeoplemorallyandintellectuallybyeulogizingordinarypeople’sstruggleagainstpovertyanddifficultiesandpresentingthemostadmirablecharactersduringtheprogressofruralrevitalization,soastoencouragepeople’saspirationforabetterlife.InseasonII&IIIofMangoTV'sonlinedocumentariesLiveUptoYouth,LiveUptoVillage,MangoTVisdedicatedtodocumentingandwitnessingstoriesofpovertyalleviationinvillagesduringthechangingtimesinmultipledimensionsandaudio-visualformats.Thesedocumentariespresentedthemainstreamprogressofruralrevitalizationthroughrecordofthesestudents’effortsandhardworkinpovertyalleviationonallfronts.Throughthesedocumentaries,moreattentionshavebeenpaidtotheyoungpeople,andmoreyoungpeoplehavebeeninfluenced.Thetwoseasonshavebeenbroadcasted81.15milliontimesonMangoTVaccumulatively,andselectedasoneoftheoutstandingprogramsintheoriginalonlineaudiovisualprogramrecommendationandexhibitionheldbyNationalRadioandTelevisionAdministrationwiththethemeof“PromotingCoreSocialistValuesandBuildingChineseDreamJointly".
Forpovertyalleviationviae-commerce,theCompanyfocusedonimprovingthemarketingabilityof“internetcelebrityinruralareas”,sincetheeffectivenessofpovertyalleviationcanbemostmanifestedbytheincreaseinsalesofagriculturalproductsinpoorandremoteareasdirectly.TheCompany'smediae-commerceshoppingplatform“Happigo”continuedtobroadcastthevillageliveprogram"OneCounty,OneProduct",usingtheformof"e-commerce"+"livebroadcast"toturnfieldsandfarmers'housesinto"livebroadcastrooms".Theaforementionedliveprogramwherefarmerssellproductshasbecomeaneffectivechanneltoincreasethesalesofagriculturalandsidelineproductsbecauseofitsclose-up,intuitiveandimmersivepresentationofmarketingproductsbyfarmersandfreshnessbroughttothenetizensbyvariousrurallifesceneswhichshowedthesourceofproductstocustomersforpurchase.Meanwhile,theCompanyalsoprovidesdirectaccessestofarmerstothelargeconsumermarketbytakingadvantageofHappigo'sownsupplychainastosupportthepromotionandsalesofagriculturalproducts.OnJuly26,2019,Yanlingyellowpeachesweresoldmorethan45,500kilogramsinthewholeday,realizingaturnoverofRMB1,791,300.In2019,theCompanyachievedRMB160millionsalesintermsofpovertyalleviationintotal.Fortargetpovertyalleviation,theCompanyconductedtwinningactivities.Since2018,MangoTVhasbeentwinning11familiesinYangmuVillage,LixiTownship,YongshunCounty,Xiangxitohelpthemovercomepovertyandachieveprosperity,andprovidingrecommendationsandassistinginsellingagriculturalproductsforYangmuVillagetogetoutofpovertyquickly.InSeptember2019,MangoTVdonatedasetof"Xiangxie-Lutonge-GovernmentSystem"forYangmuVillagetofacilitatethevillagerstocarryoutonlinebusiness,informationinquiryandadministrativebusiness.InNovember2019,TheCompanylaunchedtheactivityofpurchasing"Xiangxiblackpig"inwhichallstaffsparticipatedtohelpsolvethedifficultyinsalesofbreedingpigencouteredbyvillagersinYangmuVillage.Afterwards,adheringtotheprincipleof"Alleviatepovertyindeed,Accuratepovertytargeting,andEradicatePovertycompletely”,MangoTVwilltakeadvantagesofitsownnewmediaplatformprogramartistresourcestorecommendagriculturalandsidelineproductsforYangmuVillagetohelpYangmuVillagetoalleviatepovertyassoonaspossible.Forpovertyalleviationviaadvertising,theCompanyhasassistedinalleviatingpovertygreatly.TheCompanyhasinvestedalargeamountofadvertisingresourcesforfreepromotionandpublicityofagriculturalproductsinpoorareas.MangoTVhassuccessivelybroadcastedadvertisementsfor11agriculturalandsidelineproductsortouristproducts,suchasCiliEucommiaFlowerTea,YongfengHotSauce,QidongDaylily,AnhuaBlackTea,PingjiangTeaOil,WeishanPovertyAlleviationTourism,GuilongLinglongTea,QidongDaylily,YongfengHotSauce,JianghuaSnowPear,andShimenCitrusFruit,etc.,valuedatRMB42,352,900inbroadcasting.
(3)Effectsoftargetedpovertyalleviation
| Indicator | Unitofmeasurement | Quantity/Development |
| I.Overall | —— | —— |
| Including:1.funds | RMB0’000 | 28.5 |
| 2.Amountsdiscountedfromarticles | RMB0’000 | 59.76 |
| II.Subdividedinvestments | —— | —— |
| 1.Povertyalleviationviaindustrydevelopment | —— | —— |
| 2.Povertyalleviationviaemploymenttransfer | —— | —— |
| 3.Povertyalleviationviarelocation | —— | —— |
| 4.Povertyalleviationviaeducation | —— | —— |
| Including:4.1Subsidiestopovertystudents | RMB0’000 | 10 |
| 4.2Investmentsforimprovementofeducationresourcesinpovertyareas | RMB0’000 | 59.76 |
| 5.Healthpovertyalleviation | —— | —— |
| 6.Ecologicalpovertyalleviation | —— | —— |
| 7.Underwrittenprotection | —— | —— |
| 8.Povertyalleviationviasocialresources | —— | —— |
| 8.2Investmentsinfixed-pointpovertyalleviation | RMB0’000 | 5.5 |
| 9.Otheritems | —— | —— |
| 9.2.Investmentamounts | RMB0’000 | 13 |
| III.Awards(content,level) | —— | —— |
(4)Supplementaryplanfortargetedapproachtoalleviatingpoverty
In2020,inresponsetothenational,provincialandmunicipalcallsforpovertyalleviation,theCompanywillcontinuetoactivelycooperatewithgovernmentsatalllevelstowinthewaragainstpoverty,fulfillsocialresponsibilityandobligations,andmakegreatachievementsintargetedpovertyalleviation.
3.EnvironmentalprotectionIftheListedCompanyanditssubsidiariesareinhighpollutionindustriesregulatedbytheStateDepartmentofEnvironmentalProtection.NoTheListedCompanyanditssubsidiariesarenotinhighpollutionindustriesregulatedbytheStateDepartmentofEnvironmentalProtection.XVIII.Descriptionofothersignificantmatters
□Applicable√N/ATheCompanyhasnoothersignificantmattersinneedofdescriptioninthereportingperiod.XIV.SignificantmattersofsubsidiariesoftheCompany
□Applicable√N/A
SectionVIShareChangesandInformationofShareholdersI.Sharechanges
1.Sharechanges
Unit:share
| Beforechangethistime | Increaseordecreasethistime(+,-) | Afterchangethistime | |||||||
| Quantity | Ratio | Newshares | Bonusshares | Capitalizationofcapitalreserve | Others | Sub-total | Quantity | Ratio | |
| I.Restrictedshare | 784,344,950 | 79.22% | 57,257,371 | 0 | 389,676,520 | -284,921,578 | 162,012,313 | 946,357,263 | 53.15% |
| 1.ShareholdingsbytheState | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 2.ShareholdingsbytheState-ownedlegalpersons | 715,508,048 | 72.27% | 45,805,897 | 0 | 381,660,488 | -216,084,676 | 211,381,709 | 926,889,757 | 52.06% |
| 3.Othershareholdingsbydomesticinvestors | 68,836,902 | 6.95% | 11,451,474 | 0 | 8,016,032 | -68,836,902 | -49,369,396 | 19,467,506 | 1.09% |
| Including:shareholdingsbydomesticlegalpersons | 68,836,902 | 6.95% | 11,451,474 | 0 | 8,016,032 | -68,836,902 | -49,369,396 | 19,467,506 | 1.09% |
| Shareholdingsbydomesticnaturalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 4.Shareholdingsbyforeigninvestors | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| Including:Shareholdingsbyoverseaslegalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| Shareholdingsbyoverseasnaturalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| II.Unrestrictedshare | 205,678,568 | 20.78% | 0 | 0 | 343,420,102 | 284,921,578 | 628,341,680 | 834,020,248 | 46.85% |
| 1.RMBordinaryshare | 205,678,568 | 20.78% | 0 | 0 | 343,420,102 | 284,921,578 | 628,341,680 | 834,020,248 | 46.85% |
| 2.Domesticlistedforeignshare | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 3.Overseaslistedforeignshare | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 4.Others | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| III.Total | 990,023,518 | 100.00% | 57,257,371 | 0 | 733,096,622 | 0 | 790,353,993 | 1,780,377,511 | 100.00% |
Reasonforsharechanges
√Applicable□N/A
InaccordancewiththeOfficialReplytoIssuanceofSharesbyHappigoLimitedtoMangoMediaCo.,Ltd.andOtherEntitiesforPurchaseofAssetsandRaisingofMatchingFunds(ZhengJianXuKe[2018]No.999)issuedbytheChinaSecuritiesRegulatoryCommission(hereinafterreferredtoasthe"CSRC")onJune11,2018,theCompanyisapprovedtoissuesharestoMangoMediaCo.,Ltd.andotherentitiesinordertopurchaseassetsandraisematchingfundsmaximizedinRMB2billion.OnMay30,2019,theCompanycompletedtheprivateofferingofnewsharesforraisingmatchingfundsonthebasisofadding57,257,371sharesintotal,afterwhichtheCompany’totalshareswereincreasedto1,047,280,889shares.OnSeptember19,2019,theProposalonCapitalizationoftheCompany’sSemi-AnnualCapitalReservein2019wereapprovedintheSecondExtraordinaryGeneralMeetingofShareholdersin2019,inwhichitwasagreedthatallshareholderswouldbeawardedwith7sharesforeach10sharesonthebasisoftheexisting1,047,280,889sharesintotal,withcorrespondingconsiderationpaidbythebalanceofcapitalreserve.OnSeptember28,2019,theCompanyissuedtheImplementationAnnouncementforCapitalizationofInterimCapitalReservein2019(AnnouncementNo.2019-60),statingthattheCompany’stotalsharesincreasedto1,780,377,511sharessubsequenttothecapitalization.Approvalofsharechanges
√Applicable□N/AInaccordancewiththeOfficialReplytoIssuanceofSharesbyHappigoLimitedtoMangoMediaCo.,Ltd.andOtherEntitiesforPurchaseofAssetsandRaisingofMatchingFunds(ZhengJianXuKe[2018]No.999)issuedbytheChinaSecuritiesRegulatoryCommission(hereinafterreferredtoasthe"CSRC")onJune11,2018,theCompanyisapprovedtoissuesharestoMangoMediaCo.,Ltd.andotherentitiesinordertopurchaseassetsandraisematchingfundsmaximizedinRMB2billion.OnSeptember19,2019,theProposalonCapitalizationoftheCompany’s2019Semi-AnnualCapitalReservewereapprovedintheSecondExtraordinaryGeneralMeetingofShareholdersin2019,inwhichitwasagreedthatallshareholderswouldbeawardedwith7sharesforeach10sharesonthebasisoftheexisting1,047,280,889sharesintotal.Descriptionofregistrationofsharechanges
√Applicable□N/AThenew57,257,371sharesoftheCompanyweretradedofficiallyinprivateofferingonMay30,2019accordingtotheConfirmationofAcceptanceofShareRegistrationApplicationissuedonMay24,2019byShenzhenBranchofChinaSecuritiesDepositoryandClearingCo.,Ltd.whichreceivedtheCompany’srelevantregistrationmaterialsfortheprivateofferingofnewsharesonMay21,2019.OnSeptember25,2019,thecompanyissuedtheImplementationAnnouncementforCapitalizationof2019InterimCapitalReserve.OnOctober8,2019,theconvertedshareswerecreditedtotheshareholders'securitiesaccounts.Progressofsharerepurchase
□Applicable√N/AProgressofreducingrepurchasedsharesthroughcentralizedcompetitivepricing
□Applicable√N/AEffectofsharechangesonfinancialindicatorsinthemostrecentyearandthemostrecentperiod,suchasbasicearningspershare,dilutedearningspershare,netassetspershareattributabletotheCompany’sshareholdersofordinaryshares
√Applicable□N/AOnMay30,2019,aftertheCompany’scompletionofprivateofferingofnewsharesforraisingmatchingfundsonthebasisofadding57,257,371sharesintotal,theCompany’stotalsharesincreasedto1,047,280,889shares.OnSeptember19,2019,theProposalonCapitalizationoftheCompany’s2019Semi-AnnualCapitalReservewereapprovedintheSecondExtraordinaryGeneralMeetingofShareholdersin2019,inwhichitwasagreedthatallshareholderswouldbeawardedwith7sharesforeach10sharesonthebasisoftheexisting1,047,280,889sharesintotal.OnSeptember28,2019,theCompanyissuedtheImplementationAnnouncementforCapitalizationof2019InterimCapitalReserve(AnnouncementNo.2019-60),statingthattheCompany’stotal
sharesincreasedto1,780,377,511sharessubsequenttothecapitalization.In2019,theCompany'sbasicearningspershareanddilutedearningspersharebothdeclinedtoRMB0.66,andtheclosingbalanceofnetassetspershareattributabletoordinaryshareholdersdecreasedtoRMB4.93.OtherinformationthattheCompanydeemedasnecessaryorsecurityregulatorsrequiretobedisclosed
□Applicable√N/A
2.Restrictedsharechanges
√Applicable□N/A
Unit:share
| NameofShareholders | Openingrestrictedshares | Addedrestrictedsharesforthecurrentperiod | Restrictedsharesreleasedforthecurrentperiod | Restrictedsharesattheendoftheperiod | Reasonsforrestriction | Dateofproposedreleaseofrestriction |
| ChinaLifeInsuranceCompanyLimited－Dividend－IndividualDividend-005L-FH002Shen | 0 | 19,467,506 | 0 | 19,467,506 | Additional11,451,474restrictedsharesarenon-publiclyissuedtotheshareholdersubscribingforthematchingfundsraisedbytheCompany,andafterthesemi-annualplanoncapitalizationofcapitalreserveoftheCompanyisimplemented,thenumberofrestrictedsharesischangedto19,467,506. | May30,2020 |
| ChinaMobileCapitalHoldingCo.,Ltd. | 0 | 77,870,025 | 0 | 77,870,025 | Additional45,805,897restrictedsharesarenon-publiclyissuedtotheshareholdersubscribingforthematchingfundsraisedbytheCompany,andafterthesemi-annualplanoncapitalizationofcapitalreserveoftheCompanyisimplemented,thenumberofrestrictedsharesischangedto77,870,025. | May30,2020 |
| MangoMediaCo.,Ltd. | 672,322,446 | 349,596,360 | 172,899,074 | 849,019,732 | Thenumberofopeningrestrictedsharesis672,322,446,including172,899,074IPOrestrictedsharesand499,423,372restrictedsharesnewlyissuedtopurchaseassets;withinthereportingperiod,172,899,074IPOrestrictedshareswereallreleased,andafterthesemi-annualplanoncapitalization | July12,2021 |
| ofcapitalreserveoftheCompanyisimplemented,thenumberofrestrictedsharesischangedto849,019,732. | ||||||
| HunanHi-techInvestmentGroupCo.,Ltd. | 22,422,358 | 0 | 22,422,358 | 0 | Withinreportingperiod,22,422,358IPOrestrictedshareswereallreleased. | Released |
| MangoWenchuang(Shanghai)EquityInvestmentFund(L.P.) | 17,927,640 | 0 | 17,927,640 | 0 | Withinthereportingperiod,17,927,640restrictedsharesnewlyissuedtopurchaseassetswereallreleased. | Released |
| ShanghaiYunyiBusinessManagementPartnership(L.P.) | 14,026,664 | 0 | 14,026,664 | 0 | Withinthereportingperiod,14,026,664restrictedsharesnewlyissuedtopurchaseassetswereallreleased. | Released |
| GuangzhouYuexiuLichuangNO.3IndustrialInvestmentPartnership(L.P.） | 10,076,002 | 0 | 10,076,002 | 0 | Withinthereportingperiod,10,076,002restrictedsharesnewlyissuedtopurchaseassetswereallreleased. | Released |
| MangoHaitongCreativeCulturalInvestmentPartnership(L.P.) | 8,952,586 | 0 | 8,952,586 | 0 | Withinthereportingperiod,8,952,586restrictedsharesnewlyissuedtopurchaseassetswereallreleased. | Released |
| JiantouHuawenInvestmentCo.,Ltd. | 7,538,878 | 0 | 7,538,878 | 0 | Withinthereportingperiod,7,538,878restrictedsharesnewlyissuedtopurchaseassetswereallreleased. | Released |
| XiamenC&DEmergingIndustryEquityInvestmentCo.,Ltd. | 6,764,643 | 0 | 6,764,643 | 0 | Withinthereportingperiod,6,764,643restrictedsharesnewlyissuedtopurchaseassetswereallreleased. | Released |
| Remainingrestrictedshareholders | 24,313,733 | 0 | 24,313,733 | 0 | Withinthereportingperiod,24,313,733restrictedsharesnewlyissuedtootherrestrictedshareholderstopurchaseassetswereallreleased. | Released |
| Total | 784,344,950 | 446,933,891 | 284,921,578 | 946,357,263 | -- | -- |
II.Sharesissuingandlisting
1.Securitiesissuinginthereportingperiod(excludingpreferredshares)
√Applicable□N/A
| Sharesandderivativesecurities | Issuingdate | Issuingprice(orinterestrate) | Issuedquantity | Listingdate | Approvedquantityforpublictrading | Dateoftermination |
| Shares | ||||||
| Additionalprivatesharesforraisingmatchingfunds | RMB34.93/share | 57,257,371 | May30,2019 | 57,257,371 | ||
| Convertiblecorporatebonds,convertiblecorporatebondsinseparationdealandthoseclassifiedascorporatebonds | ||||||
| Otherderivativesecurities | ||||||
Explanationforsecurityoffering(excludingpreferredshares)InaccordancewiththeOfficialReplytoIssuanceofSharesbyHappigoLimitedtoMangoMediaCo.,Ltd.andOtherEntitiesforPurchaseofAssetsandRaisingofMatchingFunds(ZhengJianXuKe[2018]No.999)onJune11,2018,theCompanyisapprovedtoissuesharestoMangoMediaCo.,Ltd.andotherentitiesinordertopurchaseassetsandraisematchingfundsmaximizedinRMB2billion.InMay2019,theCompanycompletedtheprivateofferingofnewsharesforraisingmatchingfundsonthebasisofadding57,257,371sharesintotal.ThenewsharesissuedwereoutstandingrestrictedshareswhichweretradedonMay30,2019witharestrictedperiodof12monthscommencingfromthetradingdate.
2.ExplanationforchangesintheCompany’stotalshares,shareholderstructure,andstructureofassetsandliabilities
√Applicable□N/AOnMay30,2019,theCompanycompletedtheprivateofferingofnewsharesforraisingmatchingfunds,hencetheCompany’totalshareswereincreasedto1,047,280,889sharesfrom990,023,518shares;onOctober8,2019,theCompanycompletedthe2019Semi-AnnualCapitalReserveCapitalizationbyawardallshareholders7sharestransferredfromcapitalreserveforeach10shares,afterwhichtheCompany’totalshareswereincreasedto1,780,377,511shares.DetailedchangesintheopeningbalanceandtheclosingbalanceofassetsandliabilitiesinthereportingperiodaresetoutinthetablebelowinRMB
| Account | December31,2019 | December31,2018 | Year-on-yearchange |
| Totalassets | 17,078,206,149.68 | 12,111,376,784.55 | 41.01% |
| Totalliabilities | 8,258,248,765.61 | 6,437,122,585.56 | 28.29% |
3.Currentsharessubjecttoemployeeshareownershipplan
□Applicable√N/AIII.Shareholdersanddefactocontrollers
1.DescriptionofthequantityoftheCompany’sshareholdersandsharesheldbytheseshareholders
Unit:share
| Totalordinaryshareholdersas | 19,407 | Totalordinaryshareholders | 19,041 | Totalpreferred | 0 | Totalpreferredshareholderswith | 0 |
| oftheendoftheperiod | asoftheendofthemonthpriortothedisclosuredateofannualreport | shareholderswithrecoveredvotingrightsasoftheendoftheperiod(ifany)(refertoNote9) | recoveredvotingrightsasoftheendofthemonthpriortothedisclosuredateofannualreport(refertoNote9) | |||||
| Informationofshareholdersholding5%ormoreofsharesortop10shareholders | ||||||||
| Nameofshareholders | Natureofshareholders | Shareholdingpercentage | Closingshareholdingquantity | Increaseordecrease | Quantityofrestrictedsharesheld | Quantityofunrestrictedsharesheld | Pledgedorfrozen | |
| Status | Quantity | |||||||
| MangoMediaCo.,Ltd. | State-ownedlegalperson | 64.20% | 1,142,948,158 | 470,625,712 | 849,019,732 | 293,928,426 | ||
| ChinaMobileCapitalHoldingCo.,Ltd. | State-ownedlegalperson | 4.37% | 77,870,025 | 77,870,025 | 77,870,025 | 0 | ||
| ChinaMerchantsBankCo.,Ltd.-XingquanHeyiMixedSecuritiesInvestmentFund(flexibleallocation) | Others | 1.37% | 24,462,806 | 24,462,806 | 0 | 24,462,806 | ||
| HongKongSecuritiesClearingCompanyLimited | Foreignlegalperson | 1.29% | 22,941,423 | 20,259,630 | 0 | 22,941,423 | ||
| ChinaLifeInsuranceCompanyLimited－Dividends－IndividualDividends-005L-FH002Shen | Others | 1.16% | 20,723,679 | 20,723,679 | 19,467,506 | 1,256,173 | ||
| ChinaCITICBankCo.,Ltd. | Others | 0.82% | 14,543,853 | 4,441,204 | 0 | 14,543,853 | ||
| －BOCOMSchroderNewVigorMixedSecuritiesInvestmentFund(flexibleallocation) | |||||||
| IndustrialandCommercialBankofChinaCo.,Ltd.－China-EuropeTimesPioneerEquitySecuritiesInvestmentFund | Others | 0.82% | 14,523,194 | 10,386,740 | 0 | 14,523,194 | |
| ShanghaiYunyiBusinessManagementPartnership(L.P.) | Others | 0.67% | 11,922,737 | -2,103,927 | 0 | 11,922,737 | |
| ChinaPostalSavingsBankCo.,Ltd.-China-EuropeSmallandMediumEquitySecuritiesInvestmentFund(LOF) | Others | 0.63% | 11,218,899 | 3,485,415 | 0 | 11,218,899 | |
| ChinaMerchantsBankCo.,Ltd.-XingquanLightAssetInvestmentMixedSecuritiesInvestmentFund(LOF) | Others | 0.61% | 10,774,641 | 7,274,850 | 0 | 10,774,641 | |
| Explanationforrelated-partyrelationshiporconcerted | MangoMediaCo.,Ltd.asthecontrollingshareholderoftheCompanyhasnorelated-partyrelationshiporconcertedactionrelationshipwithothertoptenshareholders,anditisunknown | ||||||
| actionofaboveshareholders | whetherornotthereisarelated-partyrelationshiporconcertedactionrelationshipamongothertoptenshareholders. | ||
| Shareholdingsoftop10unrestrictedshareholders | |||
| Nameofshareholders | Quantityofunrestrictedsharesheldattheendofthereportingperiod | Type | |
| Type | Quantity | ||
| MangoMediaCo.,Ltd. | 293,928,426 | RMBordinaryshares | 293,928,426 |
| ChinaMerchantsBankCo.,Ltd.-XingquanHeyiMixedSecuritiesInvestmentFund | 24,462,806 | RMBordinaryshares | 24,462,806 |
| HongKongSecuritiesClearingCompanyLimited | 22,941,423 | RMBordinaryshares | 22,941,423 |
| ChinaCITICBankCo.,Ltd.－BOCOMSchroderNewVigorMixedSecuritiesInvestmentFund | 14,543,853 | RMBordinaryshares | 14,543,853 |
| IndustrialandCommercialBankofChinaCo.,Ltd.－China-EuropeTimesPioneerEquitySponsoredSecuritiesInvestmentFund | 14,523,194 | RMBordinaryshares | 14,523,194 |
| ShanghaiYunyiBusinessManagementPartnership(L.P.) | 11,922,737 | RMBordinaryshares | 11,922,737 |
| ChinaPostalSavingsBankCo.,Ltd.-China-EuropeSmallandMediumEquitySecuritiesInvestmentFund(LOF) | 11,218,899 | RMBordinaryshares | 11,218,899 |
| ChinaMerchantsBankCo.,Ltd.-XingquanLightAssetInvestmentMixedSecuritiesInvestmentFund(LOF) | 10,774,641 | RMBordinaryshares | 10,774,641 |
| ChinaConstructionBankCo.,Ltd.-SouthernQualityOptimizationMixedSecuritiesInvestmentFund | 8,999,341 | RMBordinaryshares | 8,999,341 |
| NationalSocialSecurityFund117Combination | 8,239,621 | RMBordinary | 8,239,621 |
| shares | |||
| Explanationforrelated-partyrelationshiporconcertedactionsbetweentop10unrestrictedoutstandingshareholders,andbetweentop10unrestrictedoutstandingshareholdersandtop10shareholders | Thereisnorelated-partyrelationshiporconcertedactionrelationshipbetweentheMangoMediaCo.,Ltd.asthecontrollingshareholderoftheCompanyandothertop10unrestrictedoutstandingshareholders;it’sunknownwhetherornotthereisarelated-partyrelationshiporconcertedactionrelationshipamongtop10unrestrictedoutstandingshareholdersandbetweentop10unrestrictedoutstandingshareholdersandtop10shareholders. | ||
| Explanationforshareholdersparticipatinginthemargintradingandshort-selling(ifany)(refertoNote5) | None | ||
IftheCompany'stop10ordinaryshareholdersandtop10unrestrictedordinaryshareholdershaveengagedinanagreedrepurchasetransactionduringthereportingperiod
□Yes√NoTheCompany'stop10ordinaryshareholdersandtop10unrestrictedordinaryshareholdershavenoagreedrepurchasetransactionduringthereportingperiod
2.TheCompany’scontrollingshareholder
Natureofthecontrollingshareholder:localstate-ownedholdingcompanyTypeofthecontrollingshareholder:Legalperson
| Controllingshareholder | Legalrepresentative/responsibleperson | Dateofincorporation | Organizationcode | Principalbusinesses |
| MangoMediaCo.,Ltd | LUHuanbin | July10,2007 | 914300006707880875 | Planning,productionandoperationofradioandtelevisionprograms;assetmanagementandinvestmentsubjecttolawsandregulations(excludingnationalfinancialsupervisionandfinancialcreditbusinessessuchasdepositabsorption,fundcollection,entrustedloans,notesandloansissuance);advertisingplanning,productionandoperation;multimediatechnologydevelopmentandoperation.(Projectsrequiredforlegalapprovalshallbeoperatedonthepremiseofbeingapprovedbyrelevantauthorities) |
Changeofthecontrollingshareholderinthereportingperiod
□Applicable√N/ATheCompanyhasnotchangedthecontrollingshareholderinthereportingperiod.
3.TheCompany’sdefactocontrolleranditsacting-in-concertpartiesNatureofthedefactocontroller:LocalstatecapitalmanagementinstitutionTypeofthecontrollingshareholder:Legalperson
| Defactocontroller | Legalrepresentative/responsibleperson | Dateofincorporation | Organizationcode | Principalbusinesses |
| HunanBroadcastingSystem | LUHuanbin | January25,2010 | 12430000444877954G | Broadcastingnewsandotherinformation,andtelevisionprogramstopromotesocio-economicandculturaldevelopment;news,thematic,literaryandartisticbroadcasts,consultingservices,advertising,broadcastingtechnicalservices,broadcastingresearch,broadcastbusinesstrainings,publishinganddistributionofaudiovisualproducts,televisionproduction,televisionprogramsbroadcastingandrebroadcasting,televisionindustrybusiness,andtelevisionresearch. |
| Equityofotherdomesticandoversealistedcompaniescontrolledbythedefactocontrollerinthereportingperiod | AccordingtotheguidelineoftheHunanProvincialCPCCommitteeandHunanProvincialGovernmentfortheintegrationandreformofHunanBroadcastingSystem,despitearelatedrelationshipbetweenHunanBroadcastingSystemandHunanTV&BroadcastIntermediaryCo.,Ltd.,thedefactocontrolleranditssubordinatecompaniesholdnosharesinHunanTV&BroadcastIntermediaryCo.,Ltd. | |||
Changeofthedefactocontrollerinthereportingperiod
□Applicable√N/ATheCompanyhasnotchangedthedefactocontrollerinthereportingperiodBlockdiagramfortheownershipandcontrollingrelationshipbetweentheCompanyandthedefactocontroller
TheCompanyiscontrolledbythedefactocontrollerthroughtrustfundsorotherassetmanagementmethods
□Applicable√N/A
4.Otherlegalpersonshareholderswithmorethan10%sharesintheCompany
□Applicable√N/A
5.Restrictioninreductionofsharestothecontrollingshareholder,thedefactocontroller,andrestructuringpartyandothercommittedentity
□Applicable√N/A
HunanTV&BroadcastIntermediaryCo.,Ltd.MangoMediaCo.,Ltd.
MangoMediaCo.,Ltd.MangoExcellentMediaCo.,Ltd..
MangoExcellentMediaCo.,Ltd..100%shares
100%shares
64.2%shares
SectionVIIPreferredShares
□Applicable√N/ATheCompanyhasnopreferredsharesinthereportingperiod.
SectionVIIIConvertibleBonds
□Applicable√N/ATheCompanyhasnoconvertiblebondsinthereportingperiod.
SectionIXDirectors,Supervisors,SeniorManagementandEmployeesI.Changesinsharesheldbydirectors,supervisorsandseniormanagement
| Name | Position | Status | Gender | Age | Officetermfrom | Officertermto | Numberofsharesheldatthebeginningoftheperiod:(unit:share) | Numberofincreasedsharesforthecurrentperiod(unit:share) | Numberofreducedsharesforthecurrentperiod(unit:share) | Otherincreasesordecreases(unit:share) | Numberofsharesheldattheendoftheperiod(unit:share) |
| ZHANGHuali | Chairmanoftheboard | Current | Male | 55 | November16,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| ZHONGHongming | Independentdirector | Current | Male | 44 | June14,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| XIAOXing | Independentdirector | Current | Female | 48 | January8,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIUYuhui | Independentdirector | Current | Male | 49 | January8,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LUOWeixiong | Director | Current | Male | 57 | September19,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| ZHANGYong | Director | Current | Male | 57 | May25,2011 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| CAIHuaijun | Director,generalmanager | Current | Male | 42 | September12,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIUXin | Director | Current | Male | 48 | September19,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| TANGLiang | Director | Current | Male | 43 | June1,2014 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| YANGYun | Chairmanoftheboardofsupervisors | Current | Male | 46 | June14,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIJiaochun | Supervisor | Current | Male | 55 | June14,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| JIANGQian | Employeesupervisor | Current | Female | 50 | May12,2015 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| HEJin | Deputy | Current | Female | 48 | August16, | June13, | 0 | 0 | 0 | 0 | 0 |
| generalmanager | 2018 | 2020 | |||||||||
| XIAONing | Deputygeneralmanager | Current | Female | 52 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| ZHENGHuaping | Deputygeneralmanager | Current | Male | 43 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| WANGKe | Deputygeneralmanager | Current | Male | 40 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIANGDeping | Deputygeneralmanagerandfinancedirector | Current | Male | 40 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| WUJun | Secretaryoftheboardofdirectors | Current | Female | 36 | April27,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| QIUJingzhi | Formerindependentdirector | Resign | Male | 43 | April6,2016 | January8,2019 | 0 | 0 | 0 | 0 | 0 |
| HUAXiuping | Formerindependentdirector | Resign | Female | 41 | June14,2017 | January8,2019 | 0 | 0 | 0 | 0 | 0 |
| WUJunyun | Formersecretaryoftheboardofdirectors | Resign | Female | 42 | June14,2017 | January28,2019 | 0 | 0 | 0 | 0 | 0 |
| Total | -- | -- | -- | -- | -- | -- | 0 | 0 | 0 | 0 | 0 |
II.Changesofdirectors,supervisorsandseniormanagement
√Applicable□N/A
| Name | Position | Type | Date | Reasons |
| QIUJingzhi | Independentdirector | Resign | January8,2019 | Mr.QIUJingzhiappliedforresignationfromtheindependentdirectorofthe3rdboardofdirectorsoftheCompanyforhispersonalpersons,anddidnotholdanyotherpositionsintheCompanyafterresignation. |
| HUAXiuping | Independentdirector | Resign | January8,2019 | Ms.HUAXiupingappliedforresignationfromtheindependentdirectorofthe3rdboardofdirectorsandthe |
| relevantpositionofthespecialcommissionoftheboardofdirectorsforherpersonalreasons,anddidnotholdanyotherpositionsintheCompanyafterresignation.ShedidnotholdsharesintheCompany,andthereforedidnotmakecommitmentsonshareholdingreduction. | ||||
| XIAOXing | Independentdirector | Beingappointed | January8,2019 | Ms.XIAOXingwaselectedastheindependentdirectorofthe3rdboardofdirectorsatthe1stextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
| LIUYuhui | Independentdirector | Beingappointed | January8,2019 | LIUYuhuiwaselectedastheindependentdirectorofthe3rdboardofdirectorsatthe1stextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
| WUJunyun | Secretaryoftheboardofdirectors | Beingdismissed | January28,2019 | Ms.WUJunyunresignedfromthesecretaryoftheCompany’sboardofdirectorsduetotheworktransferarrangements. |
| WUJun | Secretaryoftheboardofdirectors | Beingappointed | April27,2019 | Upondeliberationbytheboardofdirectors,theCompanyengagedMs.WUJunasthesecretaryoftheboardofdirectors. |
| TANGLiang | Deputygeneralmanager | Beingdismissed | June20,2019 | Upondeliberationbytheboardofdirectors,theCompanydismissedMr.TANGLiangfromthedeputygeneralmanagerduetoworkdemand.Afterdismissal,Ms.TANGLiangstillservesasthedeputysecretaryofthePartyCommitteeofMangoExcellentMediaCo.,Ltd.,thedirectoroftheCompany,amemberofthestrategiccommitteeoftheboardofdirectorsandoftheauditcommitteeoftheboardofdirectors. |
| LUOWeixiong | Director | Beingappointed | September19,2019 | Mr.LUOWeixiongwaselectedasthedirectorofthe3rdboardofdirectorsatthe2ndextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
| LIUXin | Director | Beingappointed | September19,2019 | Mr.LIUXinwaselectedasthedirectorofthe3rdboardofdirectorsatthe2ndextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
III.JobTitles
Abouttheeducationbackgroundsandmainworkexperiencesoftheexistingdirectors,supervisorsandseniorexecutivesoftheCompanyandtheircurrentjobdutiesintheCompany
1.DirectorsZHANGHuali,male,Hannationality,borninDecember1964,amemberoftheCommunistPartyofChinaandafirst-classliteraryeditor.HegraduatedfromtheChineseDepartmentofFudanUniversityin1986andjoinedHunanTVinthesameyear.Hisworkexperiencesareasfollows:thereporteroftheHunanNewsNetworkandFocus,theproducerofEveningNewsandNewsWatch,thedeputydirectoroftheNewsCenterofHunanTVfromJuly1986toDecember1998;thefirstdeputydirectorofHunanTV’sCulturalandSportsChannelfromDecember1998andJanuary2001;thedirectorofHunanTV’sEntertainmentChannelfromJanuary2001toSeptember2002;thedirectorandthedeputysecretaryoftheCPCGeneralBranchofHunanTV’sEntertainment
ChannelfromSeptember2002toOctober2004;thedirectorandthedeputysecretaryofthePartyCommitteeofHunanTV’sEntertainmentChannelfromOctober2004toDecember2006;thedeputygeneralmanagerofGoldenEagleBroadcastingSystemandthedirectorofEntertainmentChannelandthedeputysecretaryofthePartyCommitteeofHunanTVfromDecember2006toJuly2008;thedeputygeneralmanagerofGoldenEagleBroadcastingSystem,thechiefeditoranddeputyhead(rankingfirst)ofHunanTV(headquarters),thedirectorandthedeputysecretaryoftheCPCGeneralBranchofHunanTV’sEntertainmentChannelfromJuly2008toSeptember2009;thedeputygeneralmanagerofGoldenEagleBroadcastingSystemandthechiefeditoranddeputyhead(rankingfirst)ofHunanTV(headquarters)fromSeptember2009toMarch2010;amemberofthePartyCommitteeandthedeputyheadofHunanBroadcastingSystemfromMarch2010toAugust2020;amemberofthePartyCommittee,thedeputyheadandthechiefeditorofHunanBroadcastingSystemfromAugust2010toDecember2010;amemberofthePartyCommittee,thedeputyheadandchiefeditorofHunanBroadcastingSystemandthedirectorofHunanSatelliteTVChannelfromDecember2010toMay2015;amemberofthePartyCommittee,thedeputyheadandthechiefeditorofHunanBroadcastingSystemandthegeneralmanagerofGoldenEagleBroadcastingSystemandthedirectorofHunanSatelliteTVChannelfromMay2015toJune2017;amemberofthePartyCommittee,thedeputyheadandchiefeditorofHunanBroadcastingSystem,thedeputysecretaryofthePartyCommitteeandthegeneralmanagerofGoldenEagleBroadcastingSystemfromJune2017topresent;thechairmanoftheCompanysinceNovember2017andthesecretaryofthePartyCommitteeoftheCompanysinceNovember2018.
ZHONGHongming,male,Hannationality,borninJanuary1975,graduatedfromtheLawSchoolofRenminUniversityofChinawithadoctor’sdegreeofLaw.HeworkedinShenzhenStockExchangeandnowservesasanassociateresearcherattheInstituteofLaw,SichuanAcademyofSocialSciencesandconcurrentlyworksasamemberofthecounciloftheChinaSecuritiesLawResearchAssociation,thesecretary-generalofSichuanCommercialLawResearchAssociation,andanindependentdirectorofFIYTAPrecisionTechnologyCo.,Ltd.andDagangHoldingGroupCo.,Ltd.AndfromJune2017topresent,hehasbeenservingasanindependentdirectoroftheCompany.
XIAOXing,female,borninMarch1971,amemberoftheCommunistPartyofChina,graduatedfromTsinghuaUniversitywithadoctor’sdegreeofAccounting.ShejointintheSchoolofEconomicsandManagementofTsinghuaUniversityin1971tosuccessivelyserveasteachingassistant,lecturer,associateprofessor,long-termexternalassociateprofessorandprofessor.NowsheworksastheprofessoroftheSchoolofEconomicsandManagement,theheadoftheDepartmentofAccountingandthedeputyexecutivedeanoftheGlobalEquityPrivateResearchInstituteofTsinghuaUniversity,andconcurrentlyservesasamemberoftheNationalAccountingProfessionalMasterEducationSteeringCommittee,amemberoftheAccountingTeachingSteeringCommitteeoftheMinistryofEducation,andanindependentdirectorofAgriculturalBankofChinaCo.,Ltd.andBloomageBiotechnologyCorporationLimited.AndfromJanuary2019topresent,shehasbeenservingasanindependentdirectoroftheCompany.
LIUYuhui,male,borninOctober1970,amemberoftheCommunistPartyofChina,graduatedfromChineseAcademyofSocialScienceswithadoctor’sdegreeofQuantitativeEconomics.HeworkedastheheadofKeyFinancingLaboratoryintheInstituteofFinanceofChineseAcademyofSocialSciencesfromAugust2003toApril2017,joinedintheInstitutionofEconomicsofChineseAcademyofSocialSciencesinApril2017toserveasaresearcher,andnowservesastheprofessorandthedoctoraltutorofeconomicsinChineseAcademyofSocialSciencesandisalsothechiefeconomistinTFSecurities,amemberofthecouncilofChinaChiefEconomistForum,amemberoftheAnnuityCouncilofChinaNationalPetroleumCorporationandanindependentdirectorinBankofJiangsuCo.,Ltd.;andfromJanuary2019topresent,hehasbeenservinganindependentdirectoroftheCompany.
LUOWeixiong,male,Hannationality,borninNovember1962,amemberoftheCommunistPartyofChina,obtainedabachelor’sdegreeofArtsandthetileofchiefeditor.Hisworkexperiencesareasfollows:thedeputydirectoroftheManagerialDepartmentofHunanTVandBroadcastingAgency,thedeputydirectorandthendirectoroftheAdvertisingInformationDepartmentofHunanTVandBroadcastingNewsAgency,thedirectoroftheEditorDepartmentofHunanRadioandTVNewsAgency,deputyeditor-in-chiefandthenchiefeditorofHunanRadioandTVNewsAgency,thegeneralmanagerofHunanTV&BroadcastIntermediaryCo.,Ltd.AdvertisingBranchandthedirectoroftheAdvertisingOperationandManagementCenterofGoldenEagleBroadcastingSystemfromApril1988toApril2005;thedeputygeneralmanagerofGoldenEagleBroadcastingSystem,thedeputy
editor-in-chiefofHunanProvincialRadioandTelevisionBureauandtheEditorCommitteeofGoldenEagleBroadcastingSystemfromApril2005toMarch2010;adirectorandthedeputygeneralmanagerofHunanTV&BroadcastIntermediaryCo.,Ltd.fromApril2005toApril2012;amemberofthePartyCommitteeandthedeputyheadofHunanBroadcastingSystem,andthedirectorofOperationandIndustryManagementCommitteeofHunanBroadcastingSystemandadirectorofMangoMediaCo.,Ltd.fromMarch2010toJune2018;amemberofthePartyCommitteeofGoldenEagleBroadcastingSysteminJune2018;amemberofthePartyCommitteeandthedeputyheadofHunanBroadcastingSystem,andamemberofthePartyCommitteeandthedeputygeneralmanagerofGoldenEagleBroadcastingSystemandadirectorofMangoMediaCo.,Ltd.fromJuly2018topresent;andadirectoroftheCompanyfromSeptember2019topresent.
ZHANGYong,male,bornin1962,amemberoftheCommunistPartyofChina,graduatedfromZhengzhouUniversityofLightIndustrywithabachelor’sdegreeofElectromechanicsandwasconferredthetitleofseniorengineer.Hisworkexperiencesareasfollows:thedeputydirectorofHunanTV’sEntertainmentChannel,thedirectoroftheProgramMarketingCenterofGoldenEagleBroadcastingSystem,theheadassistantofHunanTV,thedirectoroftheProductionDispatchCenterofHunanTVandtheheadassistantofHunanBroadcastingSystemfromApril1984topresent;thegeneralmanagerofMangoMediaCo.,Ltd.sinceMay2012;adirectorofMangoMediaCo.,Ltd.sinceDecember2013;thechairmansinceAugust2017andthechiefeditorsinceMarch2018inHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.;thegeneralmanagerassistantofGoldenEagleBroadcastingCo.,Ltd.sinceApril2019.HeservesasthegeneralmanagerassistantofGoldEagleBroadcastingSystemCo.,Ltd.,adirectorandthegeneralmanagerofMangoMediaCo.,Ltd.,thechairmanandthechiefeditorofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.;andsinceMay2011,hehasbeenactingadirectoroftheCompany(including“HappigoCo.,Ltd.”asthepredecessoroftheCompany).Huaijun,male,borninDecember1977,amemberoftheCommunistPartyofChina,graduatedfromAccountingmajorofHunanUniversitywithamaster’sdegreeinmanagement.Hisworkexperiencesareasfollows:workedinHunanEconomicTVfromJuly2000andMarch2002;workedinthePlanningandFinanceDepartmentofHunanTVfromMarch2002toApril2004;thedeputydirectoratthePlanningandStatisticsDivisionoftheFinanceDepartmentofHunanTVfromApril2004toMarch2006;thedirectoratthePlanningandStatisticsDivisionoftheFinanceDepartmentofHunanTVfromMarch2006toApril2011;thedeputydirectoroftheMangoMediaRestructuringandListingOfficefromApril2011toOctober2011;thedeputydirectoroftheFinanceDepartmentofHunanBroadcastingSystemfromOctober2011toMarch2014;theheadoftheStrategicInvestmentDepartmentofMangoMediaCo.,Ltd.fromMarch2014toApril2017;thedeputygeneralmanagerandtheheadoftheStrategicInvestmentDepartmentofMangoMediaCo.,Ltd.fromApril2017toJune2017;thedeputygeneralmanagerofMangoMediaCo.,Ltd.,andthechairmanandthegeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.fromJune2017toMay2018;thedeputygeneralmanagerofMangoMediaCo.,Ltd.,andthesecretaryofthePartyCommittee,adirectorandthegeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.fromMay2018toJuly2018;thesecretaryofthePartyCommittee,adirectorandthegeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.sinceJuly2018;thegeneralmanageroftheCompanysinceAugust2018;andadirectoroftheCompanysinceSeptember2018;andsinceNovember2018,thedeputysecretaryofthePartyCommitteeoftheCompany.LIUXin,male,borninOctober1971,amemberoftheCommunistPartyofChina,obtainedadoctor’sdegree.Hisworkexperiencesareasfollows:theindustrysolutionmanager,thetechnicalteamleaderandthecustomertechnicaldirectorofthePublicUtilitiesDepartmentofInternationalBusinessMachines(China)Co.,Ltd.fromAugust2004toDecember2009;thedeputygeneralmanageroftheDataDepartmentofChinaMobileCommunicationsGroupCo.,Ltd.fromDecember2009toNovember2013;thegeneralmanageroftheDataDepartmentofChinaMobileCommunicationsGroupCo.,Ltd.fromNovember2013toFebruary2015;thesecretaryofthePartyCommittee,thechairmanandgeneralmanagerofMIGUCultureTechnologyCo.,Ltd.,andthechairmanofMinguMusicCo.,Ltd.,MIGUVideoTechnologyCo.,Ltd.,MiguDigitalMediaCo.,Ltd.,MiguInteractiveEntertainmentCo.,Ltd.andMIGUCartoonCo.,Ltd.andadirectorofIFLYTEKCo.,Ltd.andChinaMobileSDICInnovationInvestmentManagementCo.,Ltd.fromNovember2014topresent;andadirectoroftheCompanyfromSeptember2019topresent.
TANGLiang,male,bornin1976,amemberoftheCommunistPartyofChina,graduatedfromHunanNormalUniversitywithabachelor’sdegreeofEnglishEducation,andisstudyingEMBAinHunanUniversity.Hisworkexperiencesareasfollows:aneditor,editorincharge,producer,thedeputydirectoroftheNewsCenter,andthedirectorofBeijingProgramCenterofHunanEconomicTVfromJune1997toNovember2005;wassenttostudyattheUniversityofWestminster,UK,fundedbythegovernment,fromNovember2005toMarch2006;thedeputygeneralmanagerofHappigoCo.,Ltd.fromMarch2006toMay2011;thedeputygeneralmanagerofHappigoInc.fromMay2011toNovember2011;thedeputyexecutivegeneralmanagerofHappigoInc.fromNovember2011toJune2014;thedeputyexecutivegeneralmanagerandadirectorofHappigoInc.fromJune2014toApril2015;thegeneralmanagerandadirectorofHappigoInc.fromApril2015toJuly2018;thesecretaryofthePartyCommitteeofHappigoInc.fromDecember2016toJuly2018;thedeputygeneralmanageroftheCompanyfromAugust2018toJune2019;adirectoroftheCompanysinceAugust2018;andsinceNovember2018,thedeputysecretaryofthePartyCommitteeoftheCompany.
2.Supervisors
YANGYun,male,borninJuly1973,amemberoftheCommunistPartyofChina,obtainedamaster’sdegree,anaccountant.HejoinedHunanBroadcastingSystemin1999,andsuccessivelyworkedastheheadanddeputydirectorattheFinanceDepartmentoftheEntertainmentChannelofHunanBroadcastingSystem,thedeputygeneralmanagerofMangoMediaCo.,Ltd.andtheheadoftheAssetandFinanceDepartmentofMangoMediaCo.,Ltd.;nowheservesastheheadoftheFinanceDepartmentofHunanBroadcastingSystemandalsoworksasanexternalinstructorforpostgraduatestudentsofHunanUniversity.FromJune2017topresent,hehasbeenservingasasupervisoroftheCompany.
LIJiaochun,male,borninJanuary1964,amemberoftheCommunistParty.HepreviouslyworkedasthechiefeditorofthemagazineandthedirectoroftheCulturalIndustryOfficeinHunanProvincialPartyCommitteeOrgan.,andnowservesasthedeputysecretaryofthePartyCommittee,thesecretaryoftheDisciplineInspectionCommitteeandthechairmanoftheboardofsupervisorsofMangoMediaCo.,Ltd.;andsinceJune2017,hehasbeenservingasasupervisoroftheCompany.
JIANGQian,female,borninJuly1969,amemberoftheCommunistPartyofChina,obtainednationalsecond-levelpsychologicalcounselorandgraduatedfromXiangtanUniversitywithanassociate’sdegreeofLaw.SheworkedastheheadoftheAdvertisingandMarketingDepartment,themediadirectorandthemanageroftheBrandPromotionDepartmentofHappigoInc.fromMay2006;andnowsheservesasthedirectorofthePartyWorkCulturalDepartmentandthefull-timevicechairmanoftheTradeUnionofHappigoCo.,Ltd.;andsinceMay2015,shehasbeenworkingasanemployeesupervisoroftheCompany.
3.SeniorExecutives(Otherthanthosewhocurrentlyworkasadirector)
HEJin,female,borninApril1971,amemberoftheCommunistPartyofChina,amasterofStatisticsandRiskManagement,UniversityofSouthAustralia.Herworkexperiencesareasfollows:workedinHunanKAMPMedicalandHealthProductsCo.,Ltd.fromSeptember1991toJanuary1993;workedinHainanJuchuanIndustryCompanyandSuzhouShihuDevelopmentCo.,Ltd.fromJanuary1993toOctober1995;workedinHunanEconomicTVfromOctober1995toMarch2003(concurrentlyworkedasthesecretaryoftheYouthLeagueCommitteeofHunanEconomicTVfromJuly2000andMarch2003);themanageroftheFinanceDepartmentofChangshaColorfulWorldCo.,Ltd.fromMarch2003toDecember2004;thedeputydirectoroftheFinanceDepartmentofHunanEconomicTVfromDecember2004toMarch2006;thedeputygeneralmanagerofHunanJingshiCulturalCommunicationCo.,Ltd.fromMarch2006toDecember2007;thevicechairmanoftheTradeUnionofHunanEconomicTVfromDecember2007toAugust2010;thegeneralmanagerofHunanJingshiCulturalCommunicationCo.,Ltd.fromAugust2010toMay2012;thegeneralmanagerofHunanJingshiCulturalCommunicationCo.,Ltd.fromMay2012toJune2015;thegeneralmanagerofMangoStudiosCultureCo.,Ltd.sinceJune2015;thedeputygeneralmanageroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanyfromNovember2018.
XIAONing,female,borninDecember1967,amemberoftheCommunistPartyofChina,graduatedfromChinaUniversityofGeoscienceswithabachelor’sdegreeofFlightAttendantManagement.Herworkexperiencesareasfollows:workedinHunanGordonTheatrefromJuly1984toSeptember1992;studiedtheClothingDesignattheDepartmentofFineArtsFoundationinGuangzhouAcademyofFineArtsfromSeptember1992toSeptember1993;studiedtheClothingFineArtsandDesigninGuangzhouUnitedWorkersCollegefromSeptember1993andJuly1995;workedintheChiefEditorOfficeofHunanEconomicTV
fromNovember1995toFebruary2000;thedeputydirector(vicesectionchieflevel)oftheChiefEditorOfficeofHunanEconomicTVfromFebruary2000toJanuary2001;themanager(sectionchieflevel)ofIntroductionDivisionoftheMarketingCenterinGoldenEagleBroadcastingSystemfromJanuary2001toOctober2005;thefirstdeputyheadoftheChiefEditorOfficeofHunanEconomicTVfromOctober2005toDecember2005;thedirectoroftheChiefEditorOfficeofHunanEconomicTVfromDecember2005toDecember2007;thedirector(promotedtothevicedivisionallevel)oftheChiefEditorOfficeofHunanEconomicTVfromDecember2007toApril2010;thedeputydirectoroftheSatelliteChannelChiefEditorOfficeofHunanBroadcastingSystemfromApril2010toJune2011;thedeputydirectoroftheTVChannelChiefEditorOfficeofHunanBroadcastingSystemfromJune2011toMay2012;thedeputydirectoroftheProgramTransactionManagementCenterofHunanBroadcastingSystemfromMay2012toMarch2015;thedirectoroftheProgrammingTransactionManagementCenterofHunanBroadcastingSystemfromMay2015toMay2017;thegeneralmangerofShanghaiEE-MediaCo.,Ltd.sinceDecember2016(adirectorofShanghaiEE-MediaCo.,Ltd.fromJuly2017toJanuary2019);thedeputygeneralmanageroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanyfromNovember2018.
ZHENGHuaping,male,borninOctober1976,amemberoftheCommunistPartyofChina,graduatedfromCentralSouthUniversitywithamaster’sdegreeofPhilosophy.Hisworkexperiencesareasfollows:thereporteroftheNewsCenterofHunanTVfromJune2000toDecember2004;thedirectoroftheGoldenEagleCartoonChannelAdministrationDepartmentofHunanTVfromDecember2004toMarch2006;workedinthePlanningandPromotionDepartmentoftheChiefEditorOfficeofHunanTVfromMarch2006toDecember2006;thedirectorofthePlanningandPromotionDepartmentoftheChiefEditorOfficeofHunanTVfromDecember2006toApril2011;thedeputydirectorofMangoMediaRestructuringandListingOfficeandthedeputydirectoroftheChiefEditorOfficeofHunanSatelliteTVChannelfromApril2011toOctober2011;thedeputydirectoroftheProgramTransactionManagementCenterofHunanBroadcastingSystemfromOctober2011toAugust2014;thejointgeneralmanagerofShanghaiMangofunTechnologyCo.,Ltd.andthechairmanofHunanHappyMangofunTechnologyCo.,Ltd.fromAugust2014toApril2016;thegeneralmanagerofShanghaiMangofunTechnologyCo.,Ltd.andchairmanofHunanHappyMangofunTechnologyCo.,Ltd.fromApril2016toOctober2017;thedeputygeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,thechairmanandgeneralmanagerofShanghaiMangofunTechnologyCo.,Ltd.andthechairmanofHunanHappyMangofunTechnologyCo.,Ltd.fromOctober2017toSeptember2019;thedeputygeneralmanagerofHunanHappySunshineInteractiveEntertainmentTechnologyCo.,Ltd.sinceSeptember2019;thedeputygeneralmanageroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanyfromNovember2018.
WANGKe,male,borninMarch1979,amemberoftheCommunistPartyofChina,graduatedfromCheungKongGraduateSchoolofBusinesswithMBA.Hisworkexperiencesareasfollows:thereporter,programcoordinatorandproductionmanagerofHunanTV’sCulturalandSportsChannelfromJune2001toJanuary2004;thedeputydirectorofthePerformanceDepartmentofHunanTV’sEntertainmentChannelfromJanuary2004toApril2005;thedirectoroftheArtistsDevelopmentDepartmentofShanghaiEE-MediaCo.,Ltd.fromApril2005toOctober2005;thedeputygeneralmanagerofShanghaiEE-MediaCo.,Ltd.fromOctober2005toJuly2014(studiedEMBAatCheungKongGraduateSchoolofBusinessfromSeptember2008toMay2010);thedeputygeneralmangerofHunanMangoEntertainmentCo.,Ltd.fromJuly2014toAugust2017(amemberofthePartyCommitteeofEntertainmentChannelofHunanBroadcastingSystemfromNovember2006toAugust2017);thegeneralmangerofBeijingHappyMangoCulturalMediaCo.,Ltd.sinceJuly2014;thegeneralmanagerofHunanMangoEntertainmentCo.,Ltd.SinceAugust2017(amemberofthePartyCommitteeoftheEntertainmentChannelofHunanBroadcastingSystemfromAugust2017toJanuary2018,amemberoftheCPCGeneralBranchofHunanMangoEntertainmentCo.,Ltd.fromJuly2018toJanuary2019andthesecretaryoftheCPCGeneralBranchofHunanMangoEntertainmentCo.,Ltd.sinceJanuary2019);thedeputygeneralmanagerofMangoExcellentMediaCo.,Ltd.sinceAugust2018;amemberofthePartyCommitteeofMangoExcellentMediaCo.,Ltd.fromNovember2018.
LIANGDeping,male,borninFebruary1979,amemberoftheCommunistPartyofChina,graduatedfromChangshaUniversityofScienceandTechnologywithMBA.Hisworkexperiencesareasfollows:theaccountingheadoftheFinanceDepartmentofEntertainmentChannelofHunanBroadcastingSystemfromAugust1998toOctober2004;thedeputydirectorofthe
FinanceDepartmentofHunanTV’sEntertainmentChannelfromOctober2004toJanuary2008;thedirectoroftheFinanceDepartmentofHunanTV’sEntertainmentChannelfromJanuary2008toJanuary2013(studiedtheMBAinChangshaUniversityofScienceandTechnologyfromMarch2009toJanuary2012);thedirectorassistantandtheheadoftheFinanceDepartmentoftheEntertainmentChannelofHunanBroadcastingSystemfromJanuary2013toApril2013;thedirectorassistantoftheEntertainmentChannelofHunanBroadcastingSystem,theheadoftheFinanceDepartmentandtheheadoftheProductionDepartmentoftheEntertainmentChannelofHunanBroadcastingSystemfromApril2013toApril2014;thedeputydirectorofEntertainmentChannelofHunanBroadcastingSystemfromApril2014toNovember2014;thedeputydirectorofEntertainmentChannelofHunanBroadcastingSystemandthedeputygeneralmanagerofHunanMangoEntertainmentCo.,Ltd.fromNovember2014toOctober2017;thedeputydirectorofEntertainmentChannelofHunanBroadcastingSystemandthedeputygeneralmanagerofHunanMangoEntertainmentCo.,Ltd.fromOctober2017toJuly2018;thedeputygeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.sinceOctober2017;anexecutivedirectorofHunanHappyMoneyMicrofinanceCo.,Ltd.sinceMay2019;anexecutivedirectorofShanghaiMangofunTechnologyCo.,Ltd.sinceSeptember2019;thedeputygeneralmanagerofandthefinancedirectoroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanysinceNovember2018.WUJun,female,borninFebruary1983,amemberoftheCommunistPartyofChina,obtainedadoctor’sdegree.ShesuccessivelyservedasthereporterandeditorinchargeforHunanNewsNetworkofHunanTV,andthedeputymanagerofHRDepartment,thedirectoroftheGeneralManagerOfficeandthesecretaryofCPCBranchofMangoMediaCo.,Ltd.fromJune2007;shehasbeenworkingasthedirectorofBoardOfficeofMangoExcellentMediaCo.,Ltd.fromAugust2018topresentandsinceApril2019,beenworkingasthesecretaryoftheboardofdirectoroftheCompany.Positionsinshareholderentities
√Applicable□N/A
| Name | Shareholderentities | Positionsinshareholderentities | Officetermfrom | Officetermto | Receiveremunerationsorallowancesfromshareholderentitiesornot |
| ZHANGHuali | MangoMediaCo.,Ltd. | Director | |||
| LUOWeixiong | MangoMediaCo.,Ltd. | Director | |||
| ZHANGYong | MangoMediaCo.,Ltd. | Directorandgeneralmanager | |||
| LIJiaochun | LIJiaochun | DeputysecretaryofthePartyCommittee,thesecretaryoftheDisciplineInspectionCommitteeandtheChairmanoftheboardofsupervisors |
Positionsinotherentities
√Applicable□N/A
| Name | Otherentities | Positionsinotherentities | Officetermfrom | Officetermto | Receiveremunerationsorallowancesfromotherentitiesornot |
| ZHANGHuali | HunanBroadcastingSystem | MemberofthePartyCommittee,deputyheadandchiefeditor |
| ZHANGHuali | GoldenEagleBroadcastingSystemCo.,Ltd. | DeputysecretaryofthePartyCommitteeandGeneralManager |
| ZHONGHongming | InstituteofLaw,SichuanAcademyofSocialSciences | Associateresearcher,anddirectorofFinancingLawGovernmentResearchOffice |
| ZHONGHongming | DagangHoldingGroupCo.,Ltd. | Independentdirector |
| ZHONGHongming | FIYTAPrecisionTechnologyCo.,Ltd. | Independentdirector |
| XIAOXing | SchoolofEconomicsandManagementofTsinghuaUniversity | Professor,andheadoftheDepartmentofAccounting |
| XIAOXing | GlobalPrivateEquityResearchInstituteofTsinghuaUniversity | Deputyexecutivedean |
| XIAOXing | NationalAccountingProfessionalMasterEducationSteeringCommittee | Member |
| XIAOXing | AccountingTeachingSteeringCommitteeoftheMinistryofEducation | Member |
| XIAOXing | AgriculturalBankofChinaCo.,Ltd. | Independentdirector |
| XIAOXing | BloomageBiotechnologyCorporationLimited | Independentdirector |
| LIUYuhui | ChineseAcademyofSocialSciences | Professoranddoctoralsupervisor |
| LIUYuhui | TFSecuritiesCo.,Ltd. | Chiefeconomist |
| LIUYuhui | ChinaChiefEconomistForum | Memberofthecouncil |
| LIUYuhui | AnnuityCouncilofChinaNationalPetroleumCorporation | Memberofthecouncil |
| LIUYuhui | BankofJiangsuCo.,Ltd. | Independentdirector |
| LUOWeixiong | HunanBroadcastingSystem | MemberofthePartyCommitteeanddeputyhead |
| LUOWeixiong | GoldenEagleBroadcastingSystemCo.,Ltd. | MemberofthePartyCommitteeanddeputygeneralmanager |
| ZHANGYong | ShanghaiEE-MediaCo.,Ltd. | Executivedirector |
| ZHANGYong | HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd. | Chairmanoftheboard |
| ZHANGYong | YizeCapitalManagementCo.,Ltd. | Director |
| LIUXin | MIGUCultureTechnologyCo.,Ltd. | SecretaryofthePartyCommitteeandchairman |
| LIUXin | IFLYTEKCo.,Ltd. | Director |
| LIUXin | ChinaMobileSDICInnovationInvestmentManagementCo.,Ltd. | Director |
| LIUXin | ChinaMobileZhixingNetworkTechnologyCo.,Ltd. | Director |
| YANGYun | HunanBroadcastingSystem | HeadoftheFinanceDepartment |
| YANGYun | HunanUniversity | External |
PenaltybyregulatorstotheCompany’scurrentdirectors,supervisorsandseniormanagement,includingthoseresignedinthereportingperiod,inrecentthreeyears
□Applicable√N/AIV.Remunerationofdirectors,supervisorsandseniormanagement
Decision-makingprocess,determinationbasisandactualpaymentofremunerationofdirectors,supervisorsandseniormanagement,Forindependentdirectors,theirremunerationsarepaidsubjecttotheresolutionoftheshareholders'meeting;forseniormanagement,theirremunerationsaredeterminedbytheboardofdirectors;fordirectors,supervisorsandseniormanagementwhoholdpositionsintheCompany,theirremunerationsarepaidbythecompany;andfordirectorsandsupervisors,theCompanydonotpayallowancesseparately.Totalremunerationofdirectors,supervisorsandseniormanagementreceivedduringthereportingperiod
InRMB0'000
instructorforpostgraduatestudentsName
| Name | Position | Gender | Age | Status | TotalremunerationsreceivedfromtheCompany(includingtax) | ReceivetheremunerationsfromtherelatedpartiesoftheCompany |
| ZHANGHuali | Chairmanoftheboard | Male | 55 | Current | 0 | |
| ZHONGHongming | Independentdirector | Male | 44 | Current | 22 | |
| XIAOXing | Independentdirector | Female | 48 | Current | 21.68 | |
| LIUYuhui | Independentdirector | Male | 49 | Current | 21.68 | |
| LUOWeixiong | Director | Male | 57 | Current | 0 | |
| ZHANGYong | Director | Male | 57 | Current | 0 | |
| CAIHuaijun | Directorandgeneralmanager | Male | 42 | Current | 500 | |
| LIUXin | Director | Male | 48 | Current | 0 | |
| TANGLiang | Director | Male | 43 | Current | 250 | |
| YANGYun | Chairmanoftheboardofsupervisors | Male | 46 | Current | 0 | |
| LIJiaochun | Supervisor | Male | 55 | Current | 0 | |
| JIANGQian | Employee | Female | 50 | Current | 38.74 |
| supervisor | ||||||
| HEJin | Deputygeneralmanager | Female | 48 | Current | 270 | |
| XIAONing | Deputygeneralmanager | Female | 52 | Current | 320.66 | |
| ZHENGHuaping | Deputygeneralmanager | Male | 43 | Current | 350 | |
| WANGKe | Deputygeneralmanager | Male | 40 | Current | 320 | |
| LIANGDeping | Deputygeneralmanagerandfinancedirector | Male | 40 | Current | 350 | |
| WUJun | Secretaryoftheboardofdirectors | Female | 36 | Current | 206.89 | |
| QIUJingzhi | Formerindependentdirector | Male | 43 | Resign | 0.42 | |
| HUAXiuping | Formerindependentdirector | Female | 41 | Resign | 0 | |
| WUJunyun | Formersecretaryoftheboardofdirectors | Female | 41 | Resign | 60.8 | |
| Total | -- | -- | -- | -- | 2,732.87 | -- |
EquityincentivesawardedtotheCompany’sdirectorsandseniorofficers
□Applicable√N/AV.Employees
1.Employeesandtheircompositionbyspecializationandeducationbackground
| Employeesoftheparentcompany(person) | 23 |
| Employeesofmainsubsidiaries(person) | 4,162 |
| Totalofemployeesonactiveduty(person) | 4,185 |
| Totalofemployeesreceivingremunerationforthecurrentperiod(person) | 4,185 |
| Retiredemployeeswhoseexpenseisundertakenbyparentcompanyandmainsubsidiaries(person) | 2 |
| Compositionofemployeesbyspecialization | |
| Areasofspecialization | Headcounts |
| Productionpersonnel | 1,778 |
| Salespersonnel | 1,313 |
| Technicalpersonnel | 645 |
| Financepersonnel | 132 |
| Administrativepersonnel | 317 |
| Total | 4,185 |
| Compositionofemployeesbyeducationbackground | |
| Educationbackground | Headcount |
| Masterdegreeorabove | 428 |
| Bachelordegree | 2,680 |
| Juniorcollegeorbelow | 1,077 |
| Total | 4,185 |
2.Remunerationpolicy
Inordertoestablishandimprovethemarket-basedsalarydeterminationmechanismandinternalincentiveandrestraintmechanism,andeffectivelypromotethescientificdevelopmentoftheCompany,TheCompanyhasformulatedandpromulgatedtheTrialMeasuresofGrossPayrollDeterminationMechanismandManagementofMangoExcellentMediaCo.,Ltd.,whichprovidesdetailedprovisionsonthemethodofdeterminingthegrosspayrolloftheCompany’semployees,reasonableintervals,formula,managementproceduresandsupervisionandinspectionmechanisms.Thismeasurestrictlycomplieswiththerelevantprovisionsofthepolicydocumentsandadherestothebasicprinciplesof"strategicorientation,dual-effectunification,benefitssynergyanddynamicsupervision".Accordingtothismeasure,theannualgrosspayrollsofemployeesoftheCompanyaredeterminedreasonablybytakingthetotalannualsalaryofprioryearasthebasisandconsideringtheCompany'ssalary-incomeratioandmarketandindustrybenchmark,thecompletionoftheassessmentgoals,therateofvaluepreservationandappreciationofstate-ownedassets,laborproductivity,laborcostproductionratioandotherfactorsinaccordancewiththeCompany'sdevelopmentstrategyandremunerationstrategy,annualproductionandoperationgoals,socialbenefits,economicbenefitsandotherfactors.
3.TrainingplanTheCompanycontinuouslyestablishesandimprovesasystematicemployeetrainingsystemandcultivationsystem,andcarriesouttrainingworkbycategoriesandlevelstostrengthenthemanagementabilityofmiddleandseniorstaff,improvetheprofessionalabilityofkeypersonnelandthejobskillsofbasicstaff.Intermsofcontent,basedonanin-depthunderstandingofthetrainingneedsofemployees,theCompanyhasdevelopedinterestingandpracticalcoursesforemployeesofdifferentfunctions,andestablishedacomprehensivetrainingsystemcoveringvocationaltraining,theoreticaleducation,professionaltraining,marketing,newtechnology,newmediaoperation,etc.,tosupportthecomprehensivedevelopmentoftheCompany'stalentsandenhancetheCompany'sbrandasanemployerandemployees'senseofbelonging.Duringthereportingperiod,theCompanyanditssubsidiariesconductedmorethan200trainingsessionscoveringdifferenttypes.
4.Outsourcing
√Applicable□N/A
| Totaloutsourcedworkinghours(inhour) | 1,005,196 |
| Totalcompensationpaidforoutsourcedwork(inRMB) | 43,628,183.00 |
SectionIXDirectors,Supervisors,SeniorManagementandEmployeesI.Changesinsharesheldbydirectors,supervisorsandseniormanagement
| Name | Position | Status | Gender | Age | Officetermfrom | Officertermto | Numberofsharesheldatthebeginningoftheperiod:(unit:share) | Numberofincreasedsharesforthecurrentperiod(unit:share) | Numberofreducedsharesforthecurrentperiod(unit:share) | Otherincreasesordecreases(unit:share) | Numberofsharesheldattheendoftheperiod(unit:share) |
| ZHANGHuali | Chairmanoftheboard | Current | Male | 55 | November16,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| ZHONGHongming | Independentdirector | Current | Male | 44 | June14,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| XIAOXing | Independentdirector | Current | Female | 48 | January8,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIUYuhui | Independentdirector | Current | Male | 49 | January8,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LUOWeixiong | Director | Current | Male | 57 | September19,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| ZHANGYong | Director | Current | Male | 57 | May25,2011 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| CAIHuaijun | Director,generalmanager | Current | Male | 42 | September12,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIUXin | Director | Current | Male | 48 | September19,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| TANGLiang | Director | Current | Male | 43 | June1,2014 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| YANGYun | Chairmanoftheboardofsupervisors | Current | Male | 46 | June14,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIJiaochun | Supervisor | Current | Male | 55 | June14,2017 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| JIANGQian | Employeesupervisor | Current | Female | 50 | May12,2015 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| HEJin | Deputygeneral | Current | Female | 48 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| manager | |||||||||||
| XIAONing | Deputygeneralmanager | Current | Female | 52 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| ZHENGHuaping | Deputygeneralmanager | Current | Male | 43 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| WANGKe | Deputygeneralmanager | Current | Male | 40 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| LIANGDeping | Deputygeneralmanagerandfinancedirector | Current | Male | 40 | August16,2018 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| WUJun | Secretaryoftheboardofdirectors | Current | Female | 36 | April27,2019 | June13,2020 | 0 | 0 | 0 | 0 | 0 |
| QIUJingzhi | Formerindependentdirector | Resign | Male | 43 | April6,2016 | January8,2019 | 0 | 0 | 0 | 0 | 0 |
| HUAXiuping | Formerindependentdirector | Resign | Female | 41 | June14,2017 | January8,2019 | 0 | 0 | 0 | 0 | 0 |
| WUJunyun | Formersecretaryoftheboardofdirectors | Resign | Female | 42 | June14,2017 | January28,2019 | 0 | 0 | 0 | 0 | 0 |
| Total | -- | -- | -- | -- | -- | -- | 0 | 0 | 0 | 0 | 0 |
II.Changesofdirectors,supervisorsandseniormanagement
√Applicable□N/A
| Name | Position | Type | Date | Reasons |
| QIUJingzhi | Independentdirector | Resign | January8,2019 | Mr.QIUJingzhiappliedforresignationfromtheindependentdirectorofthe3rdboardofdirectorsoftheCompanyforhispersonalpersons,anddidnotholdanyotherpositionsintheCompanyafterresignation. |
| HUAXiuping | Independentdirector | Resign | January8,2019 | Ms.HUAXiupingappliedforresignationfromtheindependentdirectorofthe3rdboardofdirectorsandtherelevantpositionofthespecialcommissionoftheboard |
| ofdirectorsforherpersonalreasons,anddidnotholdanyotherpositionsintheCompanyafterresignation.ShedidnotholdsharesintheCompany,andthereforedidnotmakecommitmentsonshareholdingreduction. | ||||
| XIAOXing | Independentdirector | Beingappointed | January8,2019 | Ms.XIAOXingwaselectedastheindependentdirectorofthe3rdboardofdirectorsatthe1stextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
| LIUYuhui | Independentdirector | Beingappointed | January8,2019 | LIUYuhuiwaselectedastheindependentdirectorofthe3rdboardofdirectorsatthe1stextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
| WUJunyun | Secretaryoftheboardofdirectors | Beingdismissed | January28,2019 | Ms.WUJunyunresignedfromthesecretaryoftheCompany’sboardofdirectorsduetotheworktransferarrangements. |
| WUJun | Secretaryoftheboardofdirectors | Beingappointed | April27,2019 | Upondeliberationbytheboardofdirectors,theCompanyengagedMs.WUJunasthesecretaryoftheboardofdirectors. |
| TANGLiang | Deputygeneralmanager | Beingdismissed | June20,2019 | Upondeliberationbytheboardofdirectors,theCompanydismissedMr.TANGLiangfromthedeputygeneralmanagerduetoworkdemand.Afterdismissal,Ms.TANGLiangstillservesasthedeputysecretaryofthePartyCommitteeofMangoExcellentMediaCo.,Ltd.,thedirectoroftheCompany,amemberofthestrategiccommitteeoftheboardofdirectorsandoftheauditcommitteeoftheboardofdirectors. |
| LUOWeixiong | Director | Beingappointed | September19,2019 | Mr.LUOWeixiongwaselectedasthedirectorofthe3rdboardofdirectorsatthe2ndextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
| LIUXin | Director | Beingappointed | September19,2019 | Mr.LIUXinwaselectedasthedirectorofthe3rdboardofdirectorsatthe2ndextraordinarygeneralmeetingofshareholdersoftheCompanyin2019. |
III.JobTitles
Abouttheeducationbackgroundsandmainworkexperiencesoftheexistingdirectors,supervisorsandseniorexecutivesoftheCompanyandtheircurrentjobdutiesintheCompany
1.DirectorsZHANGHuali,male,Hannationality,borninDecember1964,amemberoftheCommunistPartyofChinaandafirst-classliteraryeditor.HegraduatedfromtheChineseDepartmentofFudanUniversityin1986andjoinedHunanTVinthesameyear.Hisworkexperiencesareasfollows:thereporteroftheHunanNewsNetworkandFocus,theproducerofEveningNewsandNewsWatch,thedeputydirectoroftheNewsCenterofHunanTVfromJuly1986toDecember1998;thefirstdeputydirectorofHunanTV’sCulturalandSportsChannelfromDecember1998andJanuary2001;thedirectorofHunanTV’sEntertainmentChannelfromJanuary2001toSeptember2002;thedirectorandthedeputysecretaryoftheCPCGeneralBranchofHunanTV’sEntertainmentChannelfromSeptember2002toOctober2004;thedirectorandthedeputysecretaryofthePartyCommitteeofHunanTV’sEntertainmentChannelfromOctober2004toDecember2006;thedeputygeneralmanagerofGoldenEagleBroadcastingSystemandthedirector
ofEntertainmentChannelandthedeputysecretaryofthePartyCommitteeofHunanTVfromDecember2006toJuly2008;thedeputygeneralmanagerofGoldenEagleBroadcastingSystem,thechiefeditoranddeputyhead(rankingfirst)ofHunanTV(headquarters),thedirectorandthedeputysecretaryoftheCPCGeneralBranchofHunanTV’sEntertainmentChannelfromJuly2008toSeptember2009;thedeputygeneralmanagerofGoldenEagleBroadcastingSystemandthechiefeditoranddeputyhead(rankingfirst)ofHunanTV(headquarters)fromSeptember2009toMarch2010;amemberofthePartyCommitteeandthedeputyheadofHunanBroadcastingSystemfromMarch2010toAugust2020;amemberofthePartyCommittee,thedeputyheadandthechiefeditorofHunanBroadcastingSystemfromAugust2010toDecember2010;amemberofthePartyCommittee,thedeputyheadandchiefeditorofHunanBroadcastingSystemandthedirectorofHunanSatelliteTVChannelfromDecember2010toMay2015;amemberofthePartyCommittee,thedeputyheadandthechiefeditorofHunanBroadcastingSystemandthegeneralmanagerofGoldenEagleBroadcastingSystemandthedirectorofHunanSatelliteTVChannelfromMay2015toJune2017;amemberofthePartyCommittee,thedeputyheadandchiefeditorofHunanBroadcastingSystem,thedeputysecretaryofthePartyCommitteeandthegeneralmanagerofGoldenEagleBroadcastingSystemfromJune2017topresent;thechairmanoftheCompanysinceNovember2017andthesecretaryofthePartyCommitteeoftheCompanysinceNovember2018.ZHONGHongming,male,Hannationality,borninJanuary1975,graduatedfromtheLawSchoolofRenminUniversityofChinawithadoctor’sdegreeofLaw.HeworkedinShenzhenStockExchangeandnowservesasanassociateresearcherattheInstituteofLaw,SichuanAcademyofSocialSciencesandconcurrentlyworksasamemberofthecounciloftheChinaSecuritiesLawResearchAssociation,thesecretary-generalofSichuanCommercialLawResearchAssociation,andanindependentdirectorofFIYTAPrecisionTechnologyCo.,Ltd.andDagangHoldingGroupCo.,Ltd.AndfromJune2017topresent,hehasbeenservingasanindependentdirectoroftheCompany.XIAOXing,female,borninMarch1971,amemberoftheCommunistPartyofChina,graduatedfromTsinghuaUniversitywithadoctor’sdegreeofAccounting.ShejointintheSchoolofEconomicsandManagementofTsinghuaUniversityin1971tosuccessivelyserveasteachingassistant,lecturer,associateprofessor,long-termexternalassociateprofessorandprofessor.NowsheworksastheprofessoroftheSchoolofEconomicsandManagement,theheadoftheDepartmentofAccountingandthedeputyexecutivedeanoftheGlobalEquityPrivateResearchInstituteofTsinghuaUniversity,andconcurrentlyservesasamemberoftheNationalAccountingProfessionalMasterEducationSteeringCommittee,amemberoftheAccountingTeachingSteeringCommitteeoftheMinistryofEducation,andanindependentdirectorofAgriculturalBankofChinaCo.,Ltd.andBloomageBiotechnologyCorporationLimited.AndfromJanuary2019topresent,shehasbeenservingasanindependentdirectoroftheCompany.LIUYuhui,male,borninOctober1970,amemberoftheCommunistPartyofChina,graduatedfromChineseAcademyofSocialScienceswithadoctor’sdegreeofQuantitativeEconomics.HeworkedastheheadofKeyFinancingLaboratoryintheInstituteofFinanceofChineseAcademyofSocialSciencesfromAugust2003toApril2017,joinedintheInstitutionofEconomicsofChineseAcademyofSocialSciencesinApril2017toserveasaresearcher,andnowservesastheprofessorandthedoctoraltutorofeconomicsinChineseAcademyofSocialSciencesandisalsothechiefeconomistinTFSecurities,amemberofthecouncilofChinaChiefEconomistForum,amemberoftheAnnuityCouncilofChinaNationalPetroleumCorporationandanindependentdirectorinBankofJiangsuCo.,Ltd.;andfromJanuary2019topresent,hehasbeenservinganindependentdirectoroftheCompany.LUOWeixiong,male,Hannationality,borninNovember1962,amemberoftheCommunistPartyofChina,obtainedabachelor’sdegreeofArtsandthetileofchiefeditor.Hisworkexperiencesareasfollows:thedeputydirectoroftheManagerialDepartmentofHunanTVandBroadcastingAgency,thedeputydirectorandthendirectoroftheAdvertisingInformationDepartmentofHunanTVandBroadcastingNewsAgency,thedirectoroftheEditorDepartmentofHunanRadioandTVNewsAgency,deputyeditor-in-chiefandthenchiefeditorofHunanRadioandTVNewsAgency,thegeneralmanagerofHunanTV&BroadcastIntermediaryCo.,Ltd.AdvertisingBranchandthedirectoroftheAdvertisingOperationandManagementCenterofGoldenEagleBroadcastingSystemfromApril1988toApril2005;thedeputygeneralmanagerofGoldenEagleBroadcastingSystem,thedeputyeditor-in-chiefofHunanProvincialRadioandTelevisionBureauandtheEditorCommitteeofGoldenEagleBroadcastingSystemfromApril2005toMarch2010;adirectorandthedeputygeneralmanagerofHunanTV&BroadcastIntermediaryCo.,Ltd.fromApril2005toApril
2012;amemberofthePartyCommitteeandthedeputyheadofHunanBroadcastingSystem,andthedirectorofOperationandIndustryManagementCommitteeofHunanBroadcastingSystemandadirectorofMangoMediaCo.,Ltd.fromMarch2010toJune2018;amemberofthePartyCommitteeofGoldenEagleBroadcastingSysteminJune2018;amemberofthePartyCommitteeandthedeputyheadofHunanBroadcastingSystem,andamemberofthePartyCommitteeandthedeputygeneralmanagerofGoldenEagleBroadcastingSystemandadirectorofMangoMediaCo.,Ltd.fromJuly2018topresent;andadirectoroftheCompanyfromSeptember2019topresent.ZHANGYong,male,bornin1962,amemberoftheCommunistPartyofChina,graduatedfromZhengzhouUniversityofLightIndustrywithabachelor’sdegreeofElectromechanicsandwasconferredthetitleofseniorengineer.Hisworkexperiencesareasfollows:thedeputydirectorofHunanTV’sEntertainmentChannel,thedirectoroftheProgramMarketingCenterofGoldenEagleBroadcastingSystem,theheadassistantofHunanTV,thedirectoroftheProductionDispatchCenterofHunanTVandtheheadassistantofHunanBroadcastingSystemfromApril1984topresent;thegeneralmanagerofMangoMediaCo.,Ltd.sinceMay2012;adirectorofMangoMediaCo.,Ltd.sinceDecember2013;thechairmansinceAugust2017andthechiefeditorsinceMarch2018inHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.;thegeneralmanagerassistantofGoldenEagleBroadcastingCo.,Ltd.sinceApril2019.HeservesasthegeneralmanagerassistantofGoldEagleBroadcastingSystemCo.,Ltd.,adirectorandthegeneralmanagerofMangoMediaCo.,Ltd.,thechairmanandthechiefeditorofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.;andsinceMay2011,hehasbeenactingadirectoroftheCompany(including“HappigoCo.,Ltd.”asthepredecessoroftheCompany).CAIHuaijun,male,borninDecember1977,amemberoftheCommunistPartyofChina,graduatedfromAccountingmajorofHunanUniversitywithamaster’sdegreeinmanagement.Hisworkexperiencesareasfollows:workedinHunanEconomicTVfromJuly2000andMarch2002;workedinthePlanningandFinanceDepartmentofHunanTVfromMarch2002toApril2004;thedeputydirectoratthePlanningandStatisticsDivisionoftheFinanceDepartmentofHunanTVfromApril2004toMarch2006;thedirectoratthePlanningandStatisticsDivisionoftheFinanceDepartmentofHunanTVfromMarch2006toApril2011;thedeputydirectoroftheMangoMediaRestructuringandListingOfficefromApril2011toOctober2011;thedeputydirectoroftheFinanceDepartmentofHunanBroadcastingSystemfromOctober2011toMarch2014;theheadoftheStrategicInvestmentDepartmentofMangoMediaCo.,Ltd.fromMarch2014toApril2017;thedeputygeneralmanagerandtheheadoftheStrategicInvestmentDepartmentofMangoMediaCo.,Ltd.fromApril2017toJune2017;thedeputygeneralmanagerofMangoMediaCo.,Ltd.,andthechairmanandthegeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.fromJune2017toMay2018;thedeputygeneralmanagerofMangoMediaCo.,Ltd.,andthesecretaryofthePartyCommittee,adirectorandthegeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.fromMay2018toJuly2018;thesecretaryofthePartyCommittee,adirectorandthegeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.sinceJuly2018;thegeneralmanageroftheCompanysinceAugust2018;andadirectoroftheCompanysinceSeptember2018;andsinceNovember2018,thedeputysecretaryofthePartyCommitteeoftheCompany.LIUXin,male,borninOctober1971,amemberoftheCommunistPartyofChina,obtainedadoctor’sdegree.Hisworkexperiencesareasfollows:theindustrysolutionmanager,thetechnicalteamleaderandthecustomertechnicaldirectorofthePublicUtilitiesDepartmentofInternationalBusinessMachines(China)Co.,Ltd.fromAugust2004toDecember2009;thedeputygeneralmanageroftheDataDepartmentofChinaMobileCommunicationsGroupCo.,Ltd.fromDecember2009toNovember2013;thegeneralmanageroftheDataDepartmentofChinaMobileCommunicationsGroupCo.,Ltd.fromNovember2013toFebruary2015;thesecretaryofthePartyCommittee,thechairmanandgeneralmanagerofMIGUCultureTechnologyCo.,Ltd.,andthechairmanofMinguMusicCo.,Ltd.,MIGUVideoTechnologyCo.,Ltd.,MiguDigitalMediaCo.,Ltd.,MiguInteractiveEntertainmentCo.,Ltd.andMIGUCartoonCo.,Ltd.andadirectorofIFLYTEKCo.,Ltd.andChinaMobileSDICInnovationInvestmentManagementCo.,Ltd.fromNovember2014topresent;andadirectoroftheCompanyfromSeptember2019topresent.TANGLiang,male,bornin1976,amemberoftheCommunistPartyofChina,graduatedfromHunanNormalUniversitywithabachelor’sdegreeofEnglishEducation,andisstudyingEMBAinHunanUniversity.Hisworkexperiencesareasfollows:aneditor,editorincharge,producer,thedeputydirectoroftheNewsCenter,andthedirectorofBeijingProgramCenterofHunanEconomic
TVfromJune1997toNovember2005;wassenttostudyattheUniversityofWestminster,UK,fundedbythegovernment,fromNovember2005toMarch2006;thedeputygeneralmanagerofHappigoCo.,Ltd.fromMarch2006toMay2011;thedeputygeneralmanagerofHappigoInc.fromMay2011toNovember2011;thedeputyexecutivegeneralmanagerofHappigoInc.fromNovember2011toJune2014;thedeputyexecutivegeneralmanagerandadirectorofHappigoInc.fromJune2014toApril2015;thegeneralmanagerandadirectorofHappigoInc.fromApril2015toJuly2018;thesecretaryofthePartyCommitteeofHappigoInc.fromDecember2016toJuly2018;thedeputygeneralmanageroftheCompanyfromAugust2018toJune2019;adirectoroftheCompanysinceAugust2018;andsinceNovember2018,thedeputysecretaryofthePartyCommitteeoftheCompany.
2.SupervisorsYANGYun,male,borninJuly1973,amemberoftheCommunistPartyofChina,obtainedamaster’sdegree,anaccountant.HejoinedHunanBroadcastingSystemin1999,andsuccessivelyworkedastheheadanddeputydirectorattheFinanceDepartmentoftheEntertainmentChannelofHunanBroadcastingSystem,thedeputygeneralmanagerofMangoMediaCo.,Ltd.andtheheadoftheAssetandFinanceDepartmentofMangoMediaCo.,Ltd.;nowheservesastheheadoftheFinanceDepartmentofHunanBroadcastingSystemandalsoworksasanexternalinstructorforpostgraduatestudentsofHunanUniversity.FromJune2017topresent,hehasbeenservingasasupervisoroftheCompany.LIJiaochun,male,borninJanuary1964,amemberoftheCommunistParty.HepreviouslyworkedasthechiefeditorofthemagazineandthedirectoroftheCulturalIndustryOfficeinHunanProvincialPartyCommitteeOrgan.,andnowservesasthedeputysecretaryofthePartyCommittee,thesecretaryoftheDisciplineInspectionCommitteeandthechairmanoftheboardofsupervisorsofMangoMediaCo.,Ltd.;andsinceJune2017,hehasbeenservingasasupervisoroftheCompany.JIANGQian,female,borninJuly1969,amemberoftheCommunistPartyofChina,obtainednationalsecond-levelpsychologicalcounselorandgraduatedfromXiangtanUniversitywithanassociate’sdegreeofLaw.SheworkedastheheadoftheAdvertisingandMarketingDepartment,themediadirectorandthemanageroftheBrandPromotionDepartmentofHappigoInc.fromMay2006;andnowsheservesasthedirectorofthePartyWorkCulturalDepartmentandthefull-timevicechairmanoftheTradeUnionofHappigoCo.,Ltd.;andsinceMay2015,shehasbeenworkingasanemployeesupervisoroftheCompany.
3.SeniorExecutives(Otherthanthosewhocurrentlyworkasadirector)HEJin,female,borninApril1971,amemberoftheCommunistPartyofChina,amasterofStatisticsandRiskManagement,UniversityofSouthAustralia.Herworkexperiencesareasfollows:workedinHunanKAMPMedicalandHealthProductsCo.,Ltd.fromSeptember1991toJanuary1993;workedinHainanJuchuanIndustryCompanyandSuzhouShihuDevelopmentCo.,Ltd.fromJanuary1993toOctober1995;workedinHunanEconomicTVfromOctober1995toMarch2003(concurrentlyworkedasthesecretaryoftheYouthLeagueCommitteeofHunanEconomicTVfromJuly2000andMarch2003);themanageroftheFinanceDepartmentofChangshaColorfulWorldCo.,Ltd.fromMarch2003toDecember2004;thedeputydirectoroftheFinanceDepartmentofHunanEconomicTVfromDecember2004toMarch2006;thedeputygeneralmanagerofHunanJingshiCulturalCommunicationCo.,Ltd.fromMarch2006toDecember2007;thevicechairmanoftheTradeUnionofHunanEconomicTVfromDecember2007toAugust2010;thegeneralmanagerofHunanJingshiCulturalCommunicationCo.,Ltd.fromAugust2010toMay2012;thegeneralmanagerofHunanJingshiCulturalCommunicationCo.,Ltd.fromMay2012toJune2015;thegeneralmanagerofMangoStudiosCultureCo.,Ltd.sinceJune2015;thedeputygeneralmanageroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanyfromNovember2018.XIAONing,female,borninDecember1967,amemberoftheCommunistPartyofChina,graduatedfromChinaUniversityofGeoscienceswithabachelor’sdegreeofFlightAttendantManagement.Herworkexperiencesareasfollows:workedinHunanGordonTheatrefromJuly1984toSeptember1992;studiedtheClothingDesignattheDepartmentofFineArtsFoundationinGuangzhouAcademyofFineArtsfromSeptember1992toSeptember1993;studiedtheClothingFineArtsandDesigninGuangzhouUnitedWorkersCollegefromSeptember1993andJuly1995;workedintheChiefEditorOfficeofHunanEconomicTVfromNovember1995toFebruary2000;thedeputydirector(vicesectionchieflevel)oftheChiefEditorOfficeofHunanEconomicTVfromFebruary2000toJanuary2001;themanager(sectionchieflevel)ofIntroductionDivisionoftheMarketingCenterinGoldenEagleBroadcastingSystemfromJanuary2001toOctober2005;thefirstdeputyheadoftheChiefEditorOfficeofHunan
EconomicTVfromOctober2005toDecember2005;thedirectoroftheChiefEditorOfficeofHunanEconomicTVfromDecember2005toDecember2007;thedirector(promotedtothevicedivisionallevel)oftheChiefEditorOfficeofHunanEconomicTVfromDecember2007toApril2010;thedeputydirectoroftheSatelliteChannelChiefEditorOfficeofHunanBroadcastingSystemfromApril2010toJune2011;thedeputydirectoroftheTVChannelChiefEditorOfficeofHunanBroadcastingSystemfromJune2011toMay2012;thedeputydirectoroftheProgramTransactionManagementCenterofHunanBroadcastingSystemfromMay2012toMarch2015;thedirectoroftheProgrammingTransactionManagementCenterofHunanBroadcastingSystemfromMay2015toMay2017;thegeneralmangerofShanghaiEE-MediaCo.,Ltd.sinceDecember2016(adirectorofShanghaiEE-MediaCo.,Ltd.fromJuly2017toJanuary2019);thedeputygeneralmanageroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanyfromNovember2018.ZHENGHuaping,male,borninOctober1976,amemberoftheCommunistPartyofChina,graduatedfromCentralSouthUniversitywithamaster’sdegreeofPhilosophy.Hisworkexperiencesareasfollows:thereporteroftheNewsCenterofHunanTVfromJune2000toDecember2004;thedirectoroftheGoldenEagleCartoonChannelAdministrationDepartmentofHunanTVfromDecember2004toMarch2006;workedinthePlanningandPromotionDepartmentoftheChiefEditorOfficeofHunanTVfromMarch2006toDecember2006;thedirectorofthePlanningandPromotionDepartmentoftheChiefEditorOfficeofHunanTVfromDecember2006toApril2011;thedeputydirectorofMangoMediaRestructuringandListingOfficeandthedeputydirectoroftheChiefEditorOfficeofHunanSatelliteTVChannelfromApril2011toOctober2011;thedeputydirectoroftheProgramTransactionManagementCenterofHunanBroadcastingSystemfromOctober2011toAugust2014;thejointgeneralmanagerofShanghaiMangofunTechnologyCo.,Ltd.andthechairmanofHunanHappyMangofunTechnologyCo.,Ltd.fromAugust2014toApril2016;thegeneralmanagerofShanghaiMangofunTechnologyCo.,Ltd.andchairmanofHunanHappyMangofunTechnologyCo.,Ltd.fromApril2016toOctober2017;thedeputygeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,thechairmanandgeneralmanagerofShanghaiMangofunTechnologyCo.,Ltd.andthechairmanofHunanHappyMangofunTechnologyCo.,Ltd.fromOctober2017toSeptember2019;thedeputygeneralmanagerofHunanHappySunshineInteractiveEntertainmentTechnologyCo.,Ltd.sinceSeptember2019;thedeputygeneralmanageroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanyfromNovember2018.WANGKe,male,borninMarch1979,amemberoftheCommunistPartyofChina,graduatedfromCheungKongGraduateSchoolofBusinesswithMBA.Hisworkexperiencesareasfollows:thereporter,programcoordinatorandproductionmanagerofHunanTV’sCulturalandSportsChannelfromJune2001toJanuary2004;thedeputydirectorofthePerformanceDepartmentofHunanTV’sEntertainmentChannelfromJanuary2004toApril2005;thedirectoroftheArtistsDevelopmentDepartmentofShanghaiEE-MediaCo.,Ltd.fromApril2005toOctober2005;thedeputygeneralmanagerofShanghaiEE-MediaCo.,Ltd.fromOctober2005toJuly2014(studiedEMBAatCheungKongGraduateSchoolofBusinessfromSeptember2008toMay2010);thedeputygeneralmangerofHunanMangoEntertainmentCo.,Ltd.fromJuly2014toAugust2017(amemberofthePartyCommitteeofEntertainmentChannelofHunanBroadcastingSystemfromNovember2006toAugust2017);thegeneralmangerofBeijingHappyMangoCulturalMediaCo.,Ltd.sinceJuly2014;thegeneralmanagerofHunanMangoEntertainmentCo.,Ltd.SinceAugust2017(amemberofthePartyCommitteeoftheEntertainmentChannelofHunanBroadcastingSystemfromAugust2017toJanuary2018,amemberoftheCPCGeneralBranchofHunanMangoEntertainmentCo.,Ltd.fromJuly2018toJanuary2019andthesecretaryoftheCPCGeneralBranchofHunanMangoEntertainmentCo.,Ltd.sinceJanuary2019);thedeputygeneralmanagerofMangoExcellentMediaCo.,Ltd.sinceAugust2018;amemberofthePartyCommitteeofMangoExcellentMediaCo.,Ltd.fromNovember2018.LIANGDeping,male,borninFebruary1979,amemberoftheCommunistPartyofChina,graduatedfromChangshaUniversityofScienceandTechnologywithMBA.Hisworkexperiencesareasfollows:theaccountingheadoftheFinanceDepartmentofEntertainmentChannelofHunanBroadcastingSystemfromAugust1998toOctober2004;thedeputydirectoroftheFinanceDepartmentofHunanTV’sEntertainmentChannelfromOctober2004toJanuary2008;thedirectoroftheFinanceDepartmentofHunanTV’sEntertainmentChannelfromJanuary2008toJanuary2013(studiedtheMBAinChangshaUniversityofScienceandTechnologyfromMarch2009toJanuary2012);thedirectorassistantandtheheadoftheFinanceDepartmentoftheEntertainment
ChannelofHunanBroadcastingSystemfromJanuary2013toApril2013;thedirectorassistantoftheEntertainmentChannelofHunanBroadcastingSystem,theheadoftheFinanceDepartmentandtheheadoftheProductionDepartmentoftheEntertainmentChannelofHunanBroadcastingSystemfromApril2013toApril2014;thedeputydirectorofEntertainmentChannelofHunanBroadcastingSystemfromApril2014toNovember2014;thedeputydirectorofEntertainmentChannelofHunanBroadcastingSystemandthedeputygeneralmanagerofHunanMangoEntertainmentCo.,Ltd.fromNovember2014toOctober2017;thedeputydirectorofEntertainmentChannelofHunanBroadcastingSystemandthedeputygeneralmanagerofHunanMangoEntertainmentCo.,Ltd.fromOctober2017toJuly2018;thedeputygeneralmanagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.sinceOctober2017;anexecutivedirectorofHunanHappyMoneyMicrofinanceCo.,Ltd.sinceMay2019;anexecutivedirectorofShanghaiMangofunTechnologyCo.,Ltd.sinceSeptember2019;thedeputygeneralmanagerofandthefinancedirectoroftheCompanysinceAugust2018;andamemberofthePartyCommitteeoftheCompanysinceNovember2018.WUJun,female,borninFebruary1983,amemberoftheCommunistPartyofChina,obtainedadoctor’sdegree.ShesuccessivelyservedasthereporterandeditorinchargeforHunanNewsNetworkofHunanTV,andthedeputymanagerofHRDepartment,thedirectoroftheGeneralManagerOfficeandthesecretaryofCPCBranchofMangoMediaCo.,Ltd.fromJune2007;shehasbeenworkingasthedirectorofBoardOfficeofMangoExcellentMediaCo.,Ltd.fromAugust2018topresentandsinceApril2019,beenworkingasthesecretaryoftheboardofdirectoroftheCompany.Positionsinshareholderentities
√Applicable□N/A
| Name | Shareholderentities | Positionsinshareholderentities | Officetermfrom | Officetermto | Receiveremunerationsorallowancesfromshareholderentitiesornot |
| ZHANGHuali | MangoMediaCo.,Ltd. | Director | |||
| LUOWeixiong | MangoMediaCo.,Ltd. | Director | |||
| ZHANGYong | MangoMediaCo.,Ltd. | Directorandgeneralmanager | |||
| LIJiaochun | LIJiaochun | DeputysecretaryofthePartyCommittee,thesecretaryoftheDisciplineInspectionCommitteeandtheChairmanoftheboardofsupervisors |
Positionsinotherentities
√Applicable□N/A
| Name | Otherentities | Positionsinotherentities | Officetermfrom | Officetermto | Receiveremunerationsorallowancesfromotherentitiesornot |
| ZHANGHuali | HunanBroadcastingSystem | MemberofthePartyCommittee,deputyhead |
| andchiefeditor | ||
| ZHANGHuali | GoldenEagleBroadcastingSystemCo.,Ltd. | DeputysecretaryofthePartyCommitteeandGeneralManager |
| ZHONGHongming | InstituteofLaw,SichuanAcademyofSocialSciences | Associateresearcher,anddirectorofFinancingLawGovernmentResearchOffice |
| ZHONGHongming | DagangHoldingGroupCo.,Ltd. | Independentdirector |
| ZHONGHongming | FIYTAPrecisionTechnologyCo.,Ltd. | Independentdirector |
| XIAOXing | SchoolofEconomicsandManagementofTsinghuaUniversity | Professor,andheadoftheDepartmentofAccounting |
| XIAOXing | GlobalPrivateEquityResearchInstituteofTsinghuaUniversity | Deputyexecutivedean |
| XIAOXing | NationalAccountingProfessionalMasterEducationSteeringCommittee | Member |
| XIAOXing | AccountingTeachingSteeringCommitteeoftheMinistryofEducation | Member |
| XIAOXing | AgriculturalBankofChinaCo.,Ltd. | Independentdirector |
| XIAOXing | BloomageBiotechnologyCorporationLimited | Independentdirector |
| LIUYuhui | ChineseAcademyofSocialSciences | Professoranddoctoralsupervisor |
| LIUYuhui | TFSecuritiesCo.,Ltd. | Chief |
| economist | ||
| LIUYuhui | ChinaChiefEconomistForum | Memberofthecouncil |
| LIUYuhui | AnnuityCouncilofChinaNationalPetroleumCorporation | Memberofthecouncil |
| LIUYuhui | BankofJiangsuCo.,Ltd. | Independentdirector |
| LUOWeixiong | HunanBroadcastingSystem | MemberofthePartyCommitteeanddeputyhead |
| LUOWeixiong | GoldenEagleBroadcastingSystemCo.,Ltd. | MemberofthePartyCommitteeanddeputygeneralmanager |
| ZHANGYong | ShanghaiEE-MediaCo.,Ltd. | Executivedirector |
| ZHANGYong | HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd. | Chairmanoftheboard |
| ZHANGYong | YizeCapitalManagementCo.,Ltd. | Director |
| LIUXin | MIGUCultureTechnologyCo.,Ltd. | SecretaryofthePartyCommitteeandchairman |
| LIUXin | IFLYTEKCo.,Ltd. | Director |
| LIUXin | ChinaMobileSDICInnovationInvestmentManagementCo.,Ltd. | Director |
| LIUXin | ChinaMobileZhixingNetworkTechnologyCo.,Ltd. | Director |
| YANGYun | HunanBroadcastingSystem | HeadoftheFinanceDepartment |
| YANGYun | HunanUniversity | Externalinstructorforpostgraduatestudents |
PenaltybyregulatorstotheCompany’scurrentdirectors,supervisorsandseniormanagement,includingthoseresignedinthe
reportingperiod,inrecentthreeyears
□Applicable√N/A
IV.Remunerationofdirectors,supervisorsandseniormanagementDecision-makingprocess,determinationbasisandactualpaymentofremunerationofdirectors,supervisorsandseniormanagement,Forindependentdirectors,theirremunerationsarepaidsubjecttotheresolutionoftheshareholders'meeting;forseniormanagement,theirremunerationsaredeterminedbytheboardofdirectors;fordirectors,supervisorsandseniormanagementwhoholdpositionsintheCompany,theirremunerationsarepaidbythecompany;andfordirectorsandsupervisors,theCompanydonotpayallowancesseparately.Totalremunerationofdirectors,supervisorsandseniormanagementreceivedduringthereportingperiod
InRMB0'000
| Name | Position | Gender | Age | Status | TotalremunerationsreceivedfromtheCompany(includingtax) | ReceivetheremunerationsfromtherelatedpartiesoftheCompany |
| ZHANGHuali | Chairmanoftheboard | Male | 55 | Current | 0 | |
| ZHONGHongming | Independentdirector | Male | 44 | Current | 22 | |
| XIAOXing | Independentdirector | Female | 48 | Current | 21.68 | |
| LIUYuhui | Independentdirector | Male | 49 | Current | 21.68 | |
| LUOWeixiong | Director | Male | 57 | Current | 0 | |
| ZHANGYong | Director | Male | 57 | Current | 0 | |
| CAIHuaijun | Directorandgeneralmanager | Male | 42 | Current | 500 | |
| LIUXin | Director | Male | 48 | Current | 0 | |
| TANGLiang | Director | Male | 43 | Current | 250 | |
| YANGYun | Chairmanoftheboardofsupervisors | Male | 46 | Current | 0 | |
| LIJiaochun | Supervisor | Male | 55 | Current | 0 | |
| JIANGQian | Employeesupervisor | Female | 50 | Current | 38.74 | |
| HEJin | Deputygeneralmanager | Female | 48 | Current | 270 | |
| XIAONing | Deputygeneralmanager | Female | 52 | Current | 320.66 |
| ZHENGHuaping | Deputygeneralmanager | Male | 43 | Current | 350 | |
| WANGKe | Deputygeneralmanager | Male | 40 | Current | 320 | |
| LIANGDeping | Deputygeneralmanagerandfinancedirector | Male | 40 | Current | 350 | |
| WUJun | Secretaryoftheboardofdirectors | Female | 36 | Current | 206.89 | |
| QIUJingzhi | Formerindependentdirector | Male | 43 | Resign | 0.42 | |
| HUAXiuping | Formerindependentdirector | Female | 41 | Resign | 0 | |
| WUJunyun | Formersecretaryoftheboardofdirectors | Female | 41 | Resign | 60.8 | |
| Total | -- | -- | -- | -- | 2,732.87 | -- |
EquityincentivesawardedtotheCompany’sdirectorsandseniorofficers
□Applicable√N/A
V.Employees
1.Employeesandtheircompositionbyspecializationandeducationbackground
| Employeesoftheparentcompany(person) | 23 |
| Employeesofmainsubsidiaries(person) | 4,162 |
| Totalofemployeesonactiveduty(person) | 4,185 |
| Totalofemployeesreceivingremunerationforthecurrentperiod(person) | 4,185 |
| Retiredemployeeswhoseexpenseisundertakenbyparentcompanyandmainsubsidiaries(person) | 2 |
| Compositionofemployeesbyspecialization | |
| Areasofspecialization | Headcounts |
| Productionpersonnel | 1,778 |
| Salespersonnel | 1,313 |
| Technicalpersonnel | 645 |
| Financepersonnel | 132 |
| Administrativepersonnel | 317 |
| Total | 4,185 |
| Compositionofemployeesbyeducationbackground | |
| Educationbackground | Headcount |
| Masterdegreeorabove | 428 |
| Bachelordegree | 2,680 |
| Juniorcollegeorbelow | 1,077 |
| Total | 4,185 |
2.Remunerationpolicy
Inordertoestablishandimprovethemarket-basedsalarydeterminationmechanismandinternalincentiveandrestraintmechanism,andeffectivelypromotethescientificdevelopmentoftheCompany,TheCompanyhasformulatedandpromulgatedtheTrialMeasuresofGrossPayrollDeterminationMechanismandManagementofMangoExcellentMediaCo.,Ltd.,whichprovidesdetailedprovisionsonthemethodofdeterminingthegrosspayrolloftheCompany’semployees,reasonableintervals,formula,managementproceduresandsupervisionandinspectionmechanisms.Thismeasurestrictlycomplieswiththerelevantprovisionsofthepolicydocumentsandadherestothebasicprinciplesof"strategicorientation,dual-effectunification,benefitssynergyanddynamicsupervision".Accordingtothismeasure,theannualgrosspayrollsofemployeesoftheCompanyaredeterminedreasonablybytakingthetotalannualsalaryofprioryearasthebasisandconsideringtheCompany'ssalary-incomeratioandmarketandindustrybenchmark,thecompletionoftheassessmentgoals,therateofvaluepreservationandappreciationofstate-ownedassets,laborproductivity,laborcostproductionratioandotherfactorsinaccordancewiththeCompany'sdevelopmentstrategyandremunerationstrategy,annualproductionandoperationgoals,socialbenefits,economicbenefitsandotherfactors.
3.Trainingplan
TheCompanycontinuouslyestablishesandimprovesasystematicemployeetrainingsystemandcultivationsystem,andcarriesouttrainingworkbycategoriesandlevelstostrengthenthemanagementabilityofmiddleandseniorstaff,improvetheprofessionalabilityofkeypersonnelandthejobskillsofbasicstaff.Intermsofcontent,basedonanin-depthunderstandingofthetrainingneedsofemployees,theCompanyhasdevelopedinterestingandpracticalcoursesforemployeesofdifferentfunctions,andestablishedacomprehensivetrainingsystemcoveringvocationaltraining,theoreticaleducation,professionaltraining,marketing,newtechnology,newmediaoperation,etc.,tosupportthecomprehensivedevelopmentoftheCompany'stalentsandenhancetheCompany'sbrandasanemployerandemployees'senseofbelonging.Duringthereportingperiod,theCompanyanditssubsidiariesconductedmorethan200trainingsessionscoveringdifferenttypes.
4.Outsourcing
√Applicable□N/A
| Totaloutsourcedworkinghours(inhour) | 1,005,196 |
| Totalcompensationpaidforoutsourcedwork(inRMB) | 43,628,183.00 |
MangoExcellentMediaCo.,Ltd.2019AnnualReport
SectionXGovernance
I.Basicintroduction
Duringthereportingperiod,inaccordancewiththerelevantrequirementsoflawsandregulationssuchastheCompanyLaw,theSecuritiesLaw,theCodeofCorporateGovernanceofListedCompanies,theRulesGoverningtheListingofSharesontheChiNextMarketofShenzhenStockExchange,andGuidelinesfortheStandardizedOperationofListedCompaniesontheChiNextoftheShenzhenStockExchange,theCompanyhascontinuouslyimproveditscorporategovernancestructureunderestablishedsoundinternalmanagementandcontrolsystemandcontinuousin-depthcorporategovernanceactivitiestopromotethenormativeoperationoftheCompanyandimproveitscorporategovernance.Inresponsetothelatestrequirementsfromregulators,theCompanyhasamendedtheArticlesofAssociation,RulesofProcedurefortheBoardofDirectorsandotherinstitutionaldocumentssubjecttoitsactualchangesduringthereportingperiod,soastoprovideamoreimprovedinstitutionalprotectionforthenormativeoperationoftheCompany.Asoftheendofthereportingperiod,theCompany’sactualgovernanceisincompliancewiththeCodeofCorporateGovernanceofListedCompaniesandGuidelinesfortheStandardizedOperationofListedCompaniesontheChiNextoftheShenzhenStockExchange.
1.Shareholdersandthegeneralshareholdermeetings
TheCompanyconvenesandholdsgeneralshareholdermeetingsinstrictaccordancewithprovisionsasrequiredbytheArticlesofAssociationandtheRulesofProcedurefortheShareholders'Meetings,treatingallshareholdersequallyandfacilitatingshareholders'participationingeneralshareholdermeetingsasfaraspossibletoensuretheycanfullyexercisetheirshareholders'rights.
2.TheCompanyandthecontrollingshareholder
ThecontrollingshareholderoftheCompanystrictlyregulatesitsownconductwithoutanydirectorindirectinterferencetotheCompany'sdecision-makingandbusinessactivitiesbeyondthegeneralmeetingofshareholders.TheCompanyhasindependentandcompletebusinessesandisabletooperateindependently.Itisindependentofthecontrollingshareholdersintermsofbusiness,personnel,assets,institutionsandfinances,whichisevidencedbyindependentoperationsoftheCompany'sboardofdirectors,boardofsupervisorsandinternalinstitutions.
3.Directorsandtheboardsofdirectors
TheBoardofDirectorsoftheCompanyconsistsof9directors,including3independentdirectors.MembersandthecompositionthereofareinlinewiththerequirementsofrelevantlawsandregulationsandtheArticlesofAssociation.EachdirectorisabletocarryouttheirworkandattendtheBoardofDirectorsandgeneralmeetingsofshareholdersinaccordancewiththeCompanyLaw,GuidelinesfortheStandardizedOperationofListedCompaniesontheChiNextoftheShenzhenStockExchange,theArticlesofAssociationandtheRulesofProcedurefortheBoardofDirectors,astoperformtheirdutiesandobligationsdiligentlyandconscientiously.Meanwhile,theycanactivelyparticipateinrelevanttrainingsandbecomefamiliarwithrelevantlawsandregulations.Theproceduresforconveningandholdingboardmeetingscomplywiththerequirementsofrelevantregulations.ThemeetingminutesoftheBoardofDirectorsaretrue,accurate,andcomplete,andkeptinsafety.ResolutionsmadeinthemeetingoftheBoardofDirectorsaredisclosedinatimelymanner.
.Supervisorsandtheboardofsupervisors
TheBoardofSupervisorsoftheCompanyconsistsof3directors,including1employeesupervisor.Membersandthecompositionthereofareinlinewiththerequirementsofrelevantlawsandregulations.Duringthereportingperiod,eachsupervisor
MangoExcellentMediaCo.,Ltd.2019AnnualReport
canconscientiouslyperformtheirdutiesinaccordancewiththerequirementsoftheRulesofProcedurefortheBoardofSupervisors,supervisingthelegalityandcomplianceoftheCompany'ssignificantmatters,related-partytransactions,insider,internalcontrol,financialposition,andtheexecutionofdutiesofdirectorsandseniormanagement.
5.EstablishmentandimplementationoftheinternalauditsystemTheAuditCommitteeundertheBoardofDirectorsisresponsibleforcommunication,supervision,organizationofmeetingsandverificationwithrespecttotheinternalandexternalauditsoftheCompany.TheAuditDepartmentundertheAuditCommitteeisitsexecutingagencywhichinspectsandsupervisestheestablishmentandimplementationoftheCompany'sinternalcontrolsystemandtheauthenticityandintegrityoftheCompany'sfinancialinformation,etc.
6.PerformanceevaluationandincentivebindingmechanismsTheCommitteeforRemunerationandAppraisalundertheBoardofDirectorsoftheCompanyisresponsibleforformulationofremunerationpolicies,determinationofremunerationproposal,andremunerationappraisalofseniormanagement.TheCompanyhasestablishedanincentivesystemforenterpriseperformanceevaluation,accordingtowhichtheincomeofoperatorsislinkedtothethebusinessperformance,andtheseniormanagementisemployedinanopenandtransparentwaysubjecttoprovisionsoflawsandregulations.
7.InformationdisclosureandtransparencyTheCompanydisclosesrelevantinformationinatrue,accurate,timely,fairandcompletemannerinstrictaccordancewithrelevantlawsandregulationsandtherequirementsoftheInformationDisclosureManagementSystemandtheInvestorRelationsManagementSystem,anddesignatestheSecretaryoftheBoardofDirectorsoftheCompanytoberesponsibleforinformationdisclosure,coordinationoftheCompany'srelationshipwithinvestors,receptionofshareholders’visits,responsetoinvestorinquiriesfromvariouschannelssuchastheinteractiveplatformandtelephoneinatimelymanner,andsupplyofinformationdisclosedbytheCompanytoinvestors.TheCompanyalsodesignatesseveralwebsitesandnewspapersincludingwww.cninfo.com.cn,ChinaSecuritiesJournal,ShanghaiSecuritiesNews,SecuritiesTimesandSecuritiesDailytodiscloseitsinformation.TheCompany’sdisclosureofrelevantinformationismadeinatrue,accurate,completeandtimelymannersubjecttorelevantlawsandregulationsandtherequirementsoftheInformationDisclosureManagementSystem,astoensureallshareholdersareequallyaccessibletoinformationoftheCompany.
8.StakeholdersThecompanyfullyrespectsandprotectsthelegitimaterightsandinterestsofrelevantstakeholderstobalanceinterestsofshareholders,employees,partners,thesocietyandothersinanefforttopromotethesustainableandhealthydevelopmentoftheCompany.IfthereisanymaterialdifferencebetweentheCompany’sactualgovernanceandthatstatedinthenormativedocumentsonthegovernanceoflistedcompaniesissuedbytheCSRC
□Yes√NoThereisnomaterialdifferencebetweentheCompany’sactualgovernanceandthatstatedinthenormativedocumentsonthegovernanceoflistedcompaniesissuedbytheCSRC.
II.TheCompany’sindependenceofthecontrollingshareholderintermsofbusiness,personnel,assets,institutions,andfinancesTheCompanyisindependentfromthecontrollingshareholderandthedefactocontrolleroftheCompanyintermsofbusiness,personnel,assets,institutionsandfinances.TheCompany’scontrollingshareholder,defactocontrollerandtheirrelatedpartieshave
MangoExcellentMediaCo.,Ltd.2019AnnualReport
notappropriatedthecompany'sfundsillegally,norrequiredtheCompanytoprovideguaranteesinviolationoflawsandregulations.
1.Business:Asanindependentlegalentityunderself-management,theCompanyhasindependentandcompletebusinessesandisabletooperateindependently.
.Personnel:TheCompanyhassetupanindependenthumanresourcemanagementdepartmentandestablishedaseriesofhumanresourcemanagementsystemsaccordingtowhichthegeneralmanager,thedeputygeneralmanager,thefinancialdirector,thesecretaryoftheboardofdirectorsandotherseniormanagementpersonnelarepaidbytheListedCompanyduringtheirterm.
3.Separationofassets:TheCompanyhascompletedassetswithclearpropertyrights,andindependentprocurement,production,salessystemsandsupportingfacilities.
.Institution:TheCompanyhasownedaorganizationalstructurethatmeetsitsdevelopmentneedsandindependentoperationrequirements,withfunctionaldepartmentsoperatingindependentlyfromthoseofthecontrollingshareholders.
5.Finance:TheCompanyhassetupanindependentfinancialdepartmentwithindependentaccountingsystemandfinancialmanagementsystem.TheCompanyalsoopensseparatebankaccountsandpaystaxesindependentlyasrequiredbylaws.III.BusinessCompetition
□Applicable√N/A
IV.Descriptionofannualandextraordinarygeneralmeetingsofshareholdersasofthereportingperiod
1.DescriptionofGeneralMeetingsofShareholdersasofthereportingperiod
Sequence
| Sequence | Type | Ratioofinvestorsonsite | Conveningdate | DisclosureDate | DisclosureIndex |
| Thefirstextraordinarygeneralmeetingsofshareholdersin2019 | Extraordinarygeneralmeetingsofshareholders | 78.31% | January8,2019 | January9,2019 | AnnouncementoftheResolutionsoftheFirstExtraordinaryGeneralMeetingsofShareholders(2019-002)inhttp://www.cninfo.com.cn/ |
| 2018annualgeneralmeetingsofshareholders | Annualgeneralmeetingsofshareholders | 79.07% | May22,2019 | May23,2019 | AnnouncementoftheResolutionsofthe2018AnnualGeneralMeetingsofShareholders(2019-030)inhttp://www.cninfo.com.cn/ |
| Thesecondextraordinarygeneralmeetingsofshareholdersin2019 | Extraordinarygeneralmeetingsofshareholders | 77.86% | September19,2019 | September20,2019 | AnnouncementoftheResolutionsoftheSecondExtraordinaryGeneralMeetingsofShareholders(2019-058)inhttp://www.cninfo.com.cn/ |
| Thethirdextraordinarygeneralmeetingsofshareholdersin2019 | Extraordinarygeneralmeetingsofshareholders | 77.13% | December19,2019 | December20,2019 | AnnouncementoftheResolutionsoftheThirdExtraordinaryGeneralMeetingsofShareholders(2019-075)inhttp://www.cninfo.com.cn/ |
MangoExcellentMediaCo.,Ltd.2019AnnualReport
2.Extraordinarygeneralmeetingsofshareholdersrequiredbypreferredshareholderswithvotingrights
□Applicable√N/AV.Executionofdutiesbyindependentdirectorsasofthereportingperiod
1.Independentdirectors’attendanceonmeetingsoftheboardofdirectorsandthegeneralmeetingsofshareholders
Independentdirectors’attendanceonmeetingsoftheboardofdirectorsandthegeneralmeetingsofshareholders
| Independentdirectors’attendanceonmeetingsoftheboardofdirectorsandthegeneralmeetingsofshareholders | |||||||
| Nameofindependentdirectors | Attendanceonmeetingsoftheboardofdirectorsasofthereportingperiod | Onsite | Throughcommunications | Throughentrustment | Absence | Iftwoconsecutiveabsences | Attendanceonthegeneralmeetingsofshareholders |
| ZHONGHongming | 8 | 3 | 5 | 0 | 0 | No | 4 |
| XIAOXing | 8 | 2 | 6 | 0 | 0 | No | 2 |
| LIUYuhui | 8 | 2 | 6 | 0 | 0 | No | 2 |
Descriptionoftwoconsecutiveabsencesinmeetingsoftheboardofdirectors
2.DescriptionofdissentsbyindependentdirectorsformattersoftheCompanyIfindependentdirectorsputforwardanydissentformattersoftheCompany
□Yes√NoTheindependentdirectorshavenodissentformattersoftheCompanyasofthereportingperiod.
3.OtherintroductionforexecutionofdutiesbytheindependentdirectorsIftheCompanyadoptsanyrecommendationfromtheindependentdirectors
√Yes□NoDescriptionofadoptingorrefusingtoadoptarecommendationfromindependentdirectorsDuringthereportingperiod,theindependentdirectorsoftheCompanyhaveperformedtheirdutiesdiligently,independentlyandconscientiouslyinaccordancewiththerelevantprovisionsoftheGuidingOpinionsonEstablishingtheIndependentDirectorSysteminListedCompanies,theRulesGoverningtheListingofSharesontheChiNextMarketofShenzhenStockExchangeandtheArticlesofAssociationbyattendingthemeetingsoftheBoardofDirectors,thegeneralmeetingsofshareholdersaswellasmeetingsheldbyspecialcommitteesundertheBoardofDirectors.Beforeattendingthesemeetings,theyactivelyunderstoodandobtainedtheinformationrequiredfordecision-makings,andinthesemeetings,theycarefullyconsideredeachproposal,activelyparticipatedindiscussionsandprovidedrationalizationproposals.Theyhaveexpressedindependent,impartialandobjectiveopinionsonsignificantmattersoftheCompanysuchasproductionandoperation,financialmanagement,internalcontrolandrelated-partytransactions,andplayedanappropriateroleinsafeguardingthelegitimaterightsandinterestsofallshareholders,especiallysmallandmediumshareholders.Duringthereportingperiod,theCompanyadoptedallreasonablerecommendationsfromtheindependentdirectors.
VII.ExecutionofdutiesbyspecialcommitteesundertheBoardofDirectorsasofthereportingperiod
1.AuditCommittee
MangoExcellentMediaCo.,Ltd.2019AnnualReport
Duringthereportingperiod,theAuditCommitteeheldatotalof6meetings,withdetaileddatesofmeetingsandmattersforreviewanddiscussionstatedasbelow:
OnJanuary24,2019,itwasheldthefirstsessionoftheAuditCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheAuditCommitteediscussedandapprovedtheProposalforAuditPlanof2019AnnualReport(Pan-China)andtheAnnualInternalAuditPlanfor2019;
OnApril17,2019,itwasheldthesecondsessionoftheAuditCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheAuditCommitteediscussedandapprovedtheproposalinrespectivetotheProposalfortheCompany’s2018AnnualAuditReport,theProposalfortheCompany’s2018InternalControlSelf-EvaluationReport,theProposalfortheCompany's2018SpecialAuditReportontheDepositandUseofFundsRaised,theProposalfortheCompany's2018ProvisionforAssetImpairment,theProposalfortheCompany'sChangesinAccountingEstimatesandAccountingPolicies,andtheProposalfortheCompany's2018PerformanceCommitment;
OnApril25,2019,itwasheldthethirdsessionoftheAuditCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheAuditCommitteediscussedandapprovedtheProposalfortheCompany's2019Q1FinancialReport;reviewedandapprovedtheProposalfortheCompany's2019Q1SpecialAuditReportonFundRaisedandMangoFun’sAuditReportontheInternalControlSystemofCashandBankBalances;andreviewedtheAuditDepartment'sSummaryon2019Q1AuditandPlanfor2019Q2Audit;
OnAugust18,2019,itwasheldthefourthsessionoftheAuditCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheAuditCommitteediscussedandapprovedtheProposalfortheCompany's2019Semi-AnnualFinancialReport,theProposalfortheCompany's2019Semi-AnnualSpecialAuditReportontheDepositandUseofFundsRaised,andtheProposalfortheCompany'sChangesinAccountingPolicies;reviewedandapprovedthe2019AuditReportofHappyMoneyMicrofinanceCo.,Ltd,ontheInternalControlImplementationofCashandBankBalances;andreviewedtheAuditDepartment'sSummaryon2019Q2AuditandPlanfor2019Q3Audit;
OnOctober21,2019,itwasheldthefifthsessionoftheAuditCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheAuditCommitteediscussedandapprovedtheProposalfortheCompany's2019Q3FinancialReport;reviewedandapprovedtheProposalfortheCompany's2019Q3SpecialAuditReportontheDepositandUseofFundsRaised,theProposalforAuditReportofHunanMangoEntertainmentCo.,Ltd.ontheInternalControlSystemofFixedAssets,theProposalfortheAuditReportofHunanMangoEntertainmentCo.,Ltd.ontheInternalControlImplementationofCashandBankBalances;andreviewedtheAuditDepartment'sSummaryon2019Q3AuditandPlanfor2019Q4Audit;
OnNovember28,2019,itwasheldthesixthsessionoftheAuditCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheAuditCommitteediscussedandapprovedtheProposalforReappointmentofPan-ChinaCertifiedPublicAccountantsLLPastheCompany’s2019Auditor.
2.NominationCommittee
Duringthereportingperiod,theNominationCommitteeheldatotalof2meetings,withdetaileddatesofmeetingsandmattersforreviewanddiscussionstatedasbelow:
OnApril27,2019,itwasheldthefirstsessionoftheNominationCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheNominationCommitteediscussedandapprovedtheProposalfortheNominationoftheSecretaryoftheBoardofDirectorsoftheCompany;
OnAugust28,2019,itwasheldthesecondsessionoftheNominationCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheNominationCommitteediscussedandapprovedtheProposalfortheNominationoftheNon-IndependentDirectorCandidates.
3.RemunerationandAppraisalCommittee
Duringthereportingperiod,theRemunerationandAppraisalCommitteeheldatotalof3meetings,withdetaileddatesof
MangoExcellentMediaCo.,Ltd.2019AnnualReport
meetingsandmattersforreviewanddiscussionstatedasbelow:
OnJanuary8,2019,itwasheldthefirstsessionoftheRemunerationandAppraisalCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheRemunerationandAppraisalCommitteediscussedandapprovedtheProposalfortheAdjustmentoftheAllowancesofIndependentDirectorsoftheCompany;
OnApril27,2019,itwasheldthesecondsessionoftheRemunerationandAppraisalCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheRemunerationandAppraisalCommitteediscussedandapprovedtheProposalfor2018AnnualRemunerationand2019AnnualRemunerationAppraisalProgramfortheCompany'sSeniorManagement;
OnNovember25,2019,itwasheldthethirdsessionoftheRemunerationandAppraisalCommitteeunderthethirdBoardofDirectorsin2019,inwhichtheRemunerationandAppraisalCommitteediscussedandapprovedtheProposalforReviewandDiscussionoftheDecisionMechanismandManagementTrialMeasuresofTotalRemunerationofMangoExcellentMediaCo.,Ltd.
Note:TheCompanyshoulddisclosesignificantopinionsandrecommendationsmadebyspecialcommitteesundertheBoardofDirectorsduringthereportingperiod.Incaseofanydissentmatters,itisrequiredtodisclosethedetails.
VIII.WorkofBoardofSupervisors
IftheBoardofSupervisorsdetecttheCompanyisexposedtoanyriskthroughitssupervisionactivitiesduringthereportingperiod
□Yes√NoTheCompany’sBoardofSupervisorshasnodissenttomattersundersupervisionasofthereportingperiod.IX.AppraisalandIncentiveoftheSeniorManagement
ForthepurposetofurtherimprovethebindingmechanismforincentiveoftheCompany'sseniormanagementandfullymobilizetheirenthusiasmandcreativity,theCompanyhasformulatedtheManagementMeasuresfortheAnnualPerformanceAppraisalofSeniorManagementofMangoExcellentMediaCo.,Ltd.pursuanttotheArticlesofAssociationofMangoExcellentMediaCo.,Ltd.andtheDetailedRulesofWorkfortheRemunerationandAppraisalCommitteeoftheBoardofDirectorsofMangoExcellentMediaCo.,Ltd.,astostandardizetheperformancemanagementoftheCompany'sperformanceobjectivesandtoconductobjectiveandfairexaminationandassessmentonthevaluecreationprocessandresultsoftheseniormanagement.AnnualsalariestotheCompany’sseniormanagementarecomposedoftwoparts,“basicannualsalary"and"annualperformancebonus",inwhichthe"annualperformancebonus"shouldaccountfor60%atleast,andcloselylinkedtotheannualperformanceappraisalresultsoftheseniormanagement.
IX.EvaluationreportofinternalcontrolDetailsofmaterialinternalcontroldeficienciesidentifiedduringthereportingperiod
□Yes√No
InternalControlSelf-evaluationReport
Disclosuredate
| Disclosuredate | April25,2020 |
| Indexofdisclosure | http://www.cninfo.com.cn/ |
| ProportionofthetotalassetsoftheentitiesincludedintheevaluationscopetothetotalassetsrecordedintheCompany’sconsolidatedfinancialstatements | 100.00% |
| ProportionoftheoperatingincomeoftheentitiesincludedintheevaluationscopetotheoperatingincomerecordedintheCompany’sconsolidatedfinancial | 100.00% |
MangoExcellentMediaCo.,Ltd.2019AnnualReport
statements
| statements | ||
| IdentificationStandardofDeficiencies | ||
| Type | FinancialReport | Non-financialReport |
| Qualitativestandard | 1.Generaldeficiencies:otherinternalcontroldeficienciesunderthethresholdofmaterialdeficienciesandsignificantdeficiencies.2significantdeficiencies:theselectionandapplicationofaccountingpoliciesnotinaccordancewiththegenerallyacceptedaccountingstandards;theabsenceofanti-fraudproceduresandcontrolmeasures;theabsenceofappropriatecontrolmechanisms,theabsenceofcompensatorycontrolsorfailureintheimplementationthereoffortheaccountingtreatmentofirregularorspecialtransactions;theexistenceofoneormoredeficienciesinthecontrolofthefinancialreportingprocessattheendoftheperiodandtheabsenceofreasonableassurancethatthefinancialstatementspreparedaretrueandaccurate.3.materialdeficiencies:fraudactsoftheCompany’sdirectors,supervisorsorseniormanagement;correctionofpublishedfinancialreportsbytheCompany,andmaterialmisstatementsinthecurrentfinancialreportsdetectedbythecertifiedpublicaccountantsbutnotidentifiedbytheCompany'sinternalcontrolprocess;ineffectivesupervisionbytheAuditCommitteeandtheinternalauditinstitutiononinternalcontrol. | 1.Generaldeficiencies:otherinternalcontroldeficienciesunderthethresholdofmaterialdeficienciesandsignificantdeficiencies.2.Significantdeficiencies:generalmistakesresultingfromdecision-makingprocedures;violationofinternalrulesandregulations,resultinginlosses;deficienciesinsignificantbusinessmechanismsorsystems;significantorgeneraldeficienciesininternalcontrolthathavenotbeenrectified.3.Materialdeficiencies:significantmistakesduetolackofdemocraticdecision-makingproceduresorunscientificdecision-makingprocedures,resultinginsignificantpropertylossestotheCompany;seriousviolationsofnationallawsandregulations;lackofsignificantbusinessmechanisms,orineffectivenessofimplementationthereof;continuousoralargequantityofsignificantinternalcontroldeficienciesintheCompany. |
| Quantitativestandard | 1.Generaldeficiencies:potentialmisstatementoftotalconsolidatedprofit<3%,potentialmisstatementoftotalconsolidatedowner'sequity<0.5%,potentialmisstatementoftotalconsolidatedassets<0.5%,potentialmisstatementoftotalconsolidatedoperatingincome<0.5%.2.significantdeficiencies,3%≤potentialmisstatementoftotalconsolidatedprofit<5%,0.5%≤potentialmisstatementoftotalconsolidatedowner'sequity<1%,0.5%≤ | 1.Generaldeficiencies:directpropertylosssubsequenttoconsolidation<0.5%oftotalassetsoftheCompany;2.Materialdeficiencies:0.5%oftotalassetsoftheCompany≤directpropertylosssubsequenttoconsolidation<1%oftotalassetsoftheCompany;3.Materialdeficiencies:1%oftotalassetsoftheCompany≤directpropertylosssubsequenttoconsolidation. |
MangoExcellentMediaCo.,Ltd.2019AnnualReport
potentialmisstatementoftotalconsolidatedassets<3%,0.5%≤potentialmisstatementoftotalconsolidatedoperatingincome<1%.
3.materialdeficiencies,potentialmisstatementoftotalconsolidatedprofit≥5%,potentialmisstatementoftotalconsolidatedowner'sequity≥1%,potentialmisstatementoftotalconsolidatedassets≥3%,potentialmisstatementoftotalconsolidatedoperatingincome≥1%.
| potentialmisstatementoftotalconsolidatedassets<3%,0.5%≤potentialmisstatementoftotalconsolidatedoperatingincome<1%.3.materialdeficiencies,potentialmisstatementoftotalconsolidatedprofit≥5%,potentialmisstatementoftotalconsolidatedowner'sequity≥1%,potentialmisstatementoftotalconsolidatedassets≥3%,potentialmisstatementoftotalconsolidatedoperatingincome≥1%. | ||
| Materialdeficienciesoffinancialreports(pieces) | 0 | |
| Materialdeficienciesofnon-financialreports(pieces) | 0 | |
| Significantdeficienciesoffinancialreports(pieces) | 0 | |
| Significantdeficienciesofnon-financialreports(pieces) | 0 | |
X.Auditorassurancereportofinternalcontrol
Notapplicable
SectionⅪCorporateBonds
IftheCompanyhasanycorporatebondsthatarepubliclyissuedandlistedonthestockexchange,butnotmaturedorredeemedinfullonmaturedateasofthedateofapprovaloftheannualreportNo
SectionXIIFinancialReport
I.AUDITOR’SREPORT
Auditopinion
| Auditopinion | UnmodifiedOpinion |
| Signingdateofauditreport | April23,2020 |
| Auditor | Pan-ChinaCertifiedPublicAccountantsLLP |
| Auditreportdocumentnumber | TianJianShen[2020]No.2-308 |
| Nameofthecertifiedpublicaccountants | LIXinkui,ZHANGHong |
Auditor’sReportⅠ.OpinionWehaveauditedthefinancialstatementsofMangoExcellentMediaCo.,Ltd.("MangoExcellentMedia"),whichcomprisetheconsolidatedandCompany'sbalancesheetsasatDecember31,2019,andtheconsolidatedandCompany'sincomestatements,theconsolidatedandCompany'sstatementsofcashflowandtheconsolidatedandCompany'sstatementsofchangesinowners'equityfortheyearthenended,andthenotestothefinancialstatements.Inouropinion,theaccompanyingfinancialstatementsarepreparedandpresentfairly,inallmaterialrespects,theconsolidatedandCompany'sfinancialpositionasofDecember31,2019,andtheconsolidatedandtheCompany'sresultsofoperationsandcashflowsfortheyearthenendedinaccordancewithAccountingStandardsforBusinessEnterprises.II.BasisforOpinionWeconductedourauditinaccordancewithChinaStandardsonAuditing.Ourresponsibilitiesunderthosestandardsarefurtherdescribedinthe“Auditor'sResponsibilitiesfortheAuditoftheFinancialStatements”sectionofourreport.WeareindependentofMangoExcellentMediainaccordancewiththecodeofethicsforChineseCertifiedPublicAccountants,andwehavefulfilledourotherethicalresponsibilitiesinaccordancewiththeCode.Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforouropinion.
III.KeyAuditMattersKeyauditmattersarethosemattersthat,inourprofessionaljudgment,wereofmostsignificanceinourauditofthefinancialstatementsofthecurrentperiod.Thesematterswereaddressedinthecontextofourauditofthefinancialstatementsasawhole,andinformingouropinionthereon,andwedonotprovideaseparateopiniononthesematters.(I)Revenuerecognition
1.DescriptionDetailsofrelevantinformationaredisclosedinNoteIII(XXI),V(II)1,andXIIItothefinancialstatements.TheoperatingincomeofMangoExcellentMediaismainlyfromnewmediaplatformoperation,newmediainteractiveentertainmentcontentproductionandmediaretailbusinesses,etc.In2019,theoperatingincomepresentedinthefinancialstatementsofMangoExcellentMediaamountedtoRMB12,500,664,200,ofwhichtheoperatingincomefromthesegmentofnewmediaplatformoperationandnewmediainteractiveentertainmentcontentproductionamountedtoRMB1,022,041.92,accountingfor
81.76%thereof.
AstheoperatingincomeisoneofMangoExcellentMedia'sKPIs,theremaybeaninherentriskthatthemanagementofMangoExcellentMedia(hereinafterreferredtoas“management”)mayrecognizetherevenueinappropriatelytoachievespecificobjectivesorexpectations.Meanwhile,revenuerecognitionalsoneedscomplexinformationsystemsandsignificantmanagementjudgement.Therefore,weidentifiedrevenuerecognitionasakeyauditmatter.
2.Auditresponse
Forrevenuerecognition,ourauditproceduresinclude,interalia:
(1)Understandthekeyinternalcontrolsrelatedtorevenuerecognition,evaluatethedesignofthosecontrols,determinewhethertheyareimplemented,andtesttheoperationaleffectivenessoftherelevantinternalcontrols;
(2)Testgeneralinformationsystemcontrolsandapplicationcontrolsrelatedtotherevenuerecognitionprocessbyvirtueoftheworkresultsofthein-houseinformationtechnologyexperts;
(3)Examinemajorsalescontracts,understandthemajorprovisionsorconditionsthereof,andevaluatewhetherrevenuerecognitionmethodsareproper;
(4)Implementsubstantiveanalysisproceduresforoperatingincomeandgrossmarginbymonth,product,customer,etc.,toidentifywhethertherearesignificantorunusualfluctuationsandtofindoutthecausesofsuchfluctuations;
(5)Samplecontracts,licenses,finalstatements,receiptsandsign-offstomaketestofdetailsaccordingtodifferenttypesofrevenues,andpayattentiontothebusinesscontentoftherelatedsalesandtheircommercialreasonableness;
(6)Inconjunctionwithaccountsreceivableconfirmationprocedures,sendconfirmationtomajorcustomerstorecognizethecurrentsalevolumesonasamplebasis;
(7)Conductthecut-offtestontheoperatingincomesrecognizedonorafterthebalancesheetdatetoevaluatewhethertheoperatingincomesarerecognizedappropriately;
(8)Obtainarecordofsalesreturnsafterthebalancesheetdatetocheckifthereisanyinstancethatconditionsforrevenuerecognitionwerenotmetatthebalancesheetdate;
(9)Checkwhetherinformationrelatingtooperatingincomeisproperlypresentedanddisclosedinthefinancialstatements.
(II)Impairmentofaccountsreceivable
1.Description
DetailsofrelevantinformationaredisclosedinNoteIII(X),V(I)4andV(II)10tothefinancialstatements.
AsofDecember31,2019,theMongoExcellentMediaCompany'sbookbalanceofaccountsreceivableamountedtoRMB3,125,788,200,theprovisionforbaddebtsamountedtoRMB1,287,777,700andthebookvalueamountedtoRMB2,997,010,500.00.
Inviewofcreditriskcharacteristicsofeachaccountreceivable,themanagementmeasuresitslossprovisionbasedonthesingleaccountreceivableoracombinationofaccountreceivablesandwithreferencetotheexpectedcreditlossamountwithintheentireduration.Forreceivableswhoseexpectedcreditlossesaremeasuredonasinglebasis,themanagementcomprehensivelyconsidersreasonableandwell-foundedinformationaboutpastevents,currentconditions,andpredictionsoffutureeconomicconditions,estimatestheexpectedcashflows,andaccordinglydeterminestheprovisionforbaddebtstobeaccrued;forreceivableswhoseexpectedcreditlossesaremeasuredonacombinationbasis,themanagementdividesthecombinationbasedonagingandadjustsitwithreferencetohistoricalcreditlossexperienceandbasedonforward-lookingestimates,preparesthecomparisontableofbetweentheagingofaccountsreceivableandexpectedcreditlossratio,andaccordinglydeterminestheprovisionforbaddebtstobeaccrued.Theamountofaccountsreceivbleismaterialandtheimpairmentofaccountsreceivableinvolvessignificantmanagementjudgment,therefore,weidentifiedaccountsreceivableasakeyauditmatter.
2.AuditresponseForimpairmentofaccountsreceivable,ourauditproceduresinclude,interalia:
(1)Understandthekeyinternalcontrolsrelatedtoimpairmentofaccountsreceivable,evaluatetheeffectivenessoftheirdesignandimplementation,determinewhethertheyareimplemented,andtesttheoperationaleffectivenessoftherelevantinternalcontrols;
(2)Reviewthesubsequentactualwrite-offorreversalofaccountsreceivableforwhichaprovisionforbaddebtswasmadeinprioryears,andevaluatetheaccuracyofmanagement'spreviousprojections;
(3)Reviewtheconsiderationsandobjectiveevidencerelatedtomanagement'simpairmenttestingofaccountsreceivableandevaluatewhetherthemanagementhasadequatelyidentifiedaccountsreceivablewhichhavebeenimpaired;
(4)Foraccountsreceivableforwhichtheexpectedcreditlosshasbeenmeasuredindividually,obtainandreviewmanagement'sprojectionsonestimatedcashflowsthatcanbereceived,evaluatethereasonablenessofthekeyassumptionsandtheaccuracyofthedatausedintheprojections,andcheckthemwiththeexternalevidenceobtained;
(5)Foraccountsreceivableforwhichtheexpectedcreditlosshasbeenmeasuredbygroup,evaluatethereasonablenessoftheclassificationofgroupsbythemanagementsubjecttocreditriskcharacteristics;evaluatethereasonablenessofthematchingrelationshipbetweentheagingofaccountsreceivableandtheexpectedcreditlossratesdeterminedbythemanagementbasedonhistoricalexperienceoncreditlossandforward-lookingestimation;andtesttheaccuracyandcompletenessofthedatausedbythemanagementandtheaccuracyofthemanagement’scalculationoftheprovisionforbaddebt.
(6)Reviewthepost-periodrecoveryofaccountsreceivableandevaluatethereasonablenessofmanagement'sprovisionforbaddebtonaccountsreceivable;
(7)Checkwhetherinformationrelatingtoimpairmentofaccountsreceivableisproperlypresentedanddisclosedinthefinancialstatements.
IV.Otherinformation
ThemanagementofMangoExcellentMedia(hereinafterreferredtoas“management”)isresponsibleforotherinformation.TheotherinformationcomprisestheinformationincludedintheAnnualReport,butdoesnotincludethefinancialstatementsandourauditor'sreportthereon.
Ouropiniononthefinancialstatementsdoesnotcovertheotherinformationandwedonotexpressanyformofassuranceconclusionthereon.
Inconnectionwithourauditofthefinancialstatements,ourresponsibilityistoreadtheotherinformationand,indoingso,considerwhethertheotherinformationismateriallyinconsistentwiththefinancialstatementsorourknowledgeobtainedintheauditorotherwiseappearstobemateriallymisstated.
If,basedontheworkwehaveperformed,weconcludethatthereisamaterialmisstatementofthisotherinformation,wearerequiredtoreportthatfact.Wehavenothingtoreportinthisregard.
V.ResponsibilitiesoftheManagementandThoseChargedwithGovernancefortheFinancialStatements
ThemanagementofMangoExcellentMediaisresponsibleforthepreparationandfairpresentationofthefinancialstatementsinaccordancewithAccountingStandardsforBusinessEnterprises,anddesigning,implementingandmaintaininginternalcontrolthatisnecessarytoenablethefinancialstatementsthatarefreefrommaterialmisstatement,whetherduetofraudorerror.
Inpreparingthefinancialstatements,themanagementisresponsibleforassessingMangoExcellentMedia’sabilitytocontinueasagoingconcern,disclosing,asapplicable,mattersrelatedtogoingconcernandusingthegoingconcernbasisofaccountingunlessthemanagementeitherintendstoliquidateMangoExcellentMediaortoceaseoperations,orhavenorealisticalternativebuttodoso.
ThosechargedwithgovernanceofMangoExcellentMedia(hereinafterreferredtoas“thosechargedwithgovernance”)areresponsibleforoverseeingMangoExcellentMedia’sfinancialreportingprocess.
VI.Auditor'sResponsibilitiesfortheAuditoftheFinancialStatements
Ourobjectivesaretoobtainreasonableassuranceaboutwhetherthefinancialstatementsasawholearefreefrommaterialmisstatement,whetherduetofraudorerror,andtoissueanauditor'sreportthatincludesouropinionsolelytoyou.Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconductedinaccordancewithChinaStandardsonAuditingwillalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarisefromfraudorerrorandareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpectedtoinfluencetheeconomicdecisionsofuserstakenonthebasisofthesefinancialstatements.
AspartofanauditinaccordancewithChinaStandardsonAuditing,weexerciseprofessionaljudgmentandmaintainprofessionalskepticismthroughouttheaudit.Wealso:
(I)Identifyandassesstherisksofmaterialmisstatementofthefinancialstatements,whetherduetofraudorerror,designand
performauditproceduresresponsivetothoserisks,andobtainauditevidencethatissufficientandappropriatetoprovideabasisforouropinion.Theriskofnotdetectingamaterialmisstatementresultingfromfraudishigherthanthatresultingfromerror,asfraudmayinvolvecollusion,forgery,intentionalomissions,misrepresentations,ortheoverrideofinternalcontrol;
(II)Obtainanunderstandingofinternalcontrolrelevanttotheauditinordertodesignauditproceduresthatareappropriateinthecircumstances,butnotforthepurposetoexpressopinionsontheeffectivenessofinternalcontrol.;
(III)Evaluatetheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesandrelateddisclosuresmadebythemanagement;
(IV)Concludeontheappropriatenessofthemanagement'suseofthegoingconcernbasisofaccountingand,basedontheauditevidenceobtained,whetheramaterialuncertaintyexistsrelatedtoeventsorconditionsthatmaycastsignificantdoubtonMangoExcellentMedia'sabilitytocontinueasagoingconcern.Ifweconcludethatamaterialuncertaintyexists,wearerequiredtodrawattentioninourauditor'sreporttotherelateddisclosuresinthefinancialstatementsor,ifsuchdisclosuresareinadequate,tomodifyouropinion.Ourconclusionsarebasedontheauditevidenceobtaineduptothedateofourauditor'sreport.However,futureeventsorconditionsmaycausetheMangoExcellentMediatoceasetocontinueasagoingconcern;
(V)Evaluatetheoverallpresentation,structureandcontentofthefinancialstatements(includingthedisclosures),andwhetherthefinancialstatementsrepresenttheunderlyingtransactionsandeventsinamannerthatachievesfairpresentation;
(VI)ObtainsufficientandappropriateauditevidenceregardingthefinancialinformationoftheentitiesorbusinessactivitieswithintheMangoExcellentMediatoexpressanopiniononthefinancialstatements.Weareresponsibleforthedirection,supervisionandperformanceofthegroupaudit.Weremainsolelyresponsibleforourauditopinion.
Wecommunicatewiththosechargedwithgovernanceregarding,amongothermatters,theplannedscopeandtimingoftheauditandsignificantauditfindings,includinganysignificantdeficienciesininternalcontrolthatweidentifyduringouraudit.
Wealsoprovidethosechargedwithgovernancewithastatementthatwehavecompliedwithrelevantethicalrequirementsregardingindependence,andcommunicatewiththemallrelationshipsandothermattersthatmayreasonablybethoughttobearonourindependence,andwhereapplicable,relatedsafeguards.
Fromthematterscommunicatedwiththosechargedwithgovernance,wedeterminethosemattersthatwereofmostsignificanceintheauditofthefinancialstatementsofthecurrentperiodandarethereforethekeyauditmatters.Wedescribethesemattersinourauditor'sreportunlesslaworregulationprecludespublicdisclosureaboutthematterorwhen,inextremelyrarecircumstances,wedeterminethatamattershouldnotbecommunicatedinourreportbecausetheadverseconsequencesofdoingsowouldreasonablybeexpectedtooutweighthepublicinterestbenefitsofsuchcommunication.
II.FINANCIALSTATEMENT
StatementsinnotestothefinancialstatementsaredominatedinRMB.
1.Consolidatedbalancesheet
Preparedby:MangoExcellentMediaCo.,Ltd.
InRMB
Item
| Item | December31,2019 | December31,2018 |
| CurrentAssets: | ||
| Cashandbankbalances | 5,064,224,581.46 | 2,526,409,541.40 |
| Balanceswithclearingagencies | ||
| Placementswithbanksandotherfinancialinstitutions | ||
| Held-for-tradingfinancialassets |
Financialassetsatfairvaluethroughprofitorloss
| Financialassetsatfairvaluethroughprofitorloss | ||
| Derivativefinancialassets | ||
| Notesreceivable | 95,456,357.50 | 93,200,000.00 |
| Accountsreceivable | 2,997,010,508.82 | 1,340,876,919.84 |
| Receivablefinancing | ||
| Prepayments | 1,127,734,126.28 | 2,010,093,252.71 |
| Premiumsreceivable | ||
| Amountsreceivableunderreinsurancecontracts | ||
| Reinsurer’sshareofinsurancecontractreserves | ||
| Otherreceivables | 35,946,262.96 | 76,062,850.29 |
| Including:Interestreceivable | 140,008.53 | |
| Dividendsreceivable | ||
| Financialassetspurchasedunderresaleagreements | ||
| Inventories | 1,916,375,338.89 | 2,214,812,395.09 |
| Contractasset | ||
| Held-for-saleassets | ||
| Non-currentassetsduewithinoneyear | ||
| Othercurrentassets | 491,278,913.90 | 403,909,258.64 |
| Totalcurrentassets | 11,728,026,089.81 | 8,665,364,217.97 |
| Non-currentAssets: | ||
| Loansandadvancestocustomers | ||
| Debtinvestments | ||
| Available-for-salefinancialassets | 96,836,483.33 | |
| Otherdebtinvestments | ||
| Held-to-maturityinvestments | ||
| Long-termreceivables | ||
| Long-termequityinvestments | 210,436,179.18 | 215,541,625.97 |
| Otherinvestmentsinequityinstruments | ||
| Othernon-currentfinancialassets | 6,946,466.60 | |
| Investmentproperties |
Fixedassets
| Fixedassets | 180,606,150.34 | 207,007,011.52 |
| Constructioninprogress | ||
| Bearerbiologicalassets | ||
| Oilandgasassets | ||
| Useofrightassets | ||
| Intangibleassets | 4,851,078,019.24 | 2,856,319,746.25 |
| Developmentexpenditure | 38,338,883.84 | |
| Goodwill | ||
| Long-termprepaidexpenses | 61,646,861.37 | 65,989,740.93 |
| Deferredtaxassets | 3,938,878.58 | |
| Othernon-currentassets | 1,127,499.30 | 379,080.00 |
| Totalnon-currentassets | 5,350,180,059.87 | 3,446,012,566.58 |
| Totalassets | 17,078,206,149.68 | 12,111,376,784.55 |
| Currentliabilities: | ||
| Short-termborrowings | 349,816,947.83 | 196,097,600.00 |
| Loansfromthecentralbank | ||
| Takingfrombanksandotherfinancialinstitutions | ||
| Held-fortradingfinancialliabilities | ||
| Financialliabilitiesatfairvaluethroughprofitorloss | ||
| Derivativefinancialliabilities | ||
| Notespayable | 325,880,463.11 | 266,521,867.49 |
| Accountspayable | 5,048,443,928.94 | 3,363,276,945.77 |
| Receiptsinadvance | 1,192,477,979.60 | 1,548,908,099.25 |
| Contractliabilities | ||
| Financialassetssoldunderrepurchaseagreements | ||
| Customerdepositsanddepositsfrombanksandotherfinancialinstitutions | ||
| Fundsfromsecuritiestradingagency | ||
| Fundsfromunderwritingsecuritiesagency |
Employeebenefitspayable
| Employeebenefitspayable | 589,359,251.74 | 431,382,836.47 |
| Taxespayable | 137,563,508.65 | 133,505,920.73 |
| Otherpayables | 202,952,467.24 | 180,049,111.27 |
| Including:Interestpayable | 224,226.31 | |
| Dividendspayable | ||
| Feesandcommissionspayable | ||
| Amountspayableunderreinsurancecontracts | ||
| Held-for-saleliabilities | ||
| Non-currentliabilitiesduewithinoneyears | 10,400,000.00 | |
| Othercurrentliabilities | 78,695,861.52 | 59,715,071.74 |
| TotalCurrentLiabilities | 7,935,590,408.63 | 6,179,457,452.72 |
| Non-currentliabilities: | ||
| Insurancecontractreserves | ||
| Long-termborrowings | ||
| Bondspayable | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Leaseliabilities | ||
| Long-termpayables | 2,500,000.00 | |
| Long-termemployeebenefitspayable | 33,450,000.00 | |
| Provisions | 14,232,872.30 | 9,127,973.60 |
| Deferredincome | 308,425,484.68 | 212,587,159.24 |
| Deferredtaxliabilities | ||
| Othernon-currentliabilities | ||
| TotalNon-currentLiabilities | 322,658,356.98 | 257,665,132.84 |
| TotalLiabilities | 8,258,248,765.61 | 6,437,122,585.56 |
| Owner’sequity: | ||
| Sharecapital | 1,780,377,511.00 | 990,023,518.00 |
| Otherequityinstruments | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Capitalreserve | 4,838,937,706.35 | 3,641,091,029.73 |
Less:Treasuryshares
| Less:Treasuryshares | ||
| Othercomprehensiveincome | ||
| Specialreserve | ||
| Surplusreserve | 84,782,321.71 | 84,782,321.71 |
| Generalriskreserve | ||
| Retainedprofits | 2,079,761,680.01 | 923,476,426.28 |
| Totalowners’equityattributabletoequityholdersoftheCompany | 8,783,859,219.07 | 5,639,373,295.72 |
| Minorityinterests | 36,098,165.00 | 34,880,903.27 |
| Totalowners’equity | 8,819,957,384.07 | 5,674,254,198.99 |
| Totalliabilitiesandowners’equity | 17,078,206,149.68 | 12,111,376,784.55 |
Legalrepresentative:Chieffinancialofficer:Headofaccountingdepartment:
ZHANGHualiLIANGDepingYANGEnjie
2.TheCompany’sbalancesheet
InRMB
| Item | December31,2019 | December31,2018 |
| CurrentAssets: | ||
| Cashandbankbalances | 359,847,797.79 | 424,688,362.92 |
| Held-for-tradingfinancialassets | ||
| Financialassetsatfairvaluethroughprofitorloss | ||
| Derivativefinancialassets | ||
| Notesreceivable | ||
| Accountsreceivable | 26,730.00 | |
| Receivablefinancing | ||
| Prepayments | 88,060.80 | 334,467.79 |
| Otherreceivables | 260,036,746.64 | 100,010,740.28 |
| Including:Interestreceivable | ||
| Dividendsreceivable | ||
| Inventories | ||
| Contractasset | ||
| Held-for-saleassets | ||
| Non-currentassetsduewithinone |
year
| year | ||
| Othercurrentassets | 2,275,609.21 | 63,914,310.51 |
| Totalcurrentassets | 622,248,214.44 | 588,974,611.50 |
| Non-currentAssets: | ||
| Debtinvestments | ||
| Available-for-salefinancialassets | 60,000,000.00 | |
| Otherdebtinvestments | ||
| Held-to-maturityinvestments | ||
| Long-termreceivables | ||
| Long-termequityinvestments | 7,970,398,191.17 | 5,988,107,494.76 |
| Otherinvestmentsinequityinstruments | ||
| Othernon-currentfinancialassets | ||
| Investmentproperties | ||
| Fixedassets | 343,638.91 | 154,830.11 |
| Constructioninprogress | ||
| Bearerbiologicalassets | ||
| Oilandgasassets | ||
| Useofrightassets | ||
| Intangibleassets | 776,485.36 | |
| Developmentexpenditure | ||
| Goodwill | ||
| Long-termprepaidexpenses | 6,052,764.08 | |
| Deferredtaxassets | ||
| Othernon-currentassets | ||
| Totalnon-currentassets | 7,977,571,079.52 | 6,048,262,324.87 |
| Totalassets | 8,599,819,293.96 | 6,637,236,936.37 |
| Currentliabilities: | ||
| Short-termborrowings | ||
| Held-fortradingfinancialliabilities | ||
| Financialliabilitiesatfairvaluethroughprofitorloss | ||
| Derivativefinancialliabilities | ||
| Notespayable |
Accountspayable
| Accountspayable | ||
| Receiptsinadvance | ||
| Contractliabilities | ||
| Employeebenefitspayable | 19,164,650.75 | 4,345,887.98 |
| Taxespayable | 316,522.46 | 252,068.99 |
| Otherpayables | 8,093,306.17 | 24,703,635.89 |
| Including:Interestpayable | ||
| Dividendspayable | ||
| Held-for-saleliabilities | ||
| Non-currentliabilitiesduewithinoneyears | ||
| Othercurrentliabilities | ||
| TotalCurrentLiabilities | 27,574,479.38 | 29,301,592.86 |
| Non-currentliabilities: | ||
| Long-termborrowings | ||
| Bondspayable | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Leaseliabilities | ||
| Long-termpayables | ||
| Long-termemployeebenefitspayable | ||
| Provisions | ||
| Deferredincome | 172,268.06 | |
| Deferredtaxliabilities | ||
| Othernon-currentliabilities | ||
| TotalNon-currentLiabilities | 172,268.06 | |
| TotalLiabilities | 27,746,747.44 | 29,301,592.86 |
| Owner’sequity: | ||
| Sharecapital | 1,780,377,511.00 | 990,023,518.00 |
| Otherequityinstruments | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Capitalreserve | 6,179,334,010.36 | 4,981,487,333.74 |
| Less:Treasuryshares |
Othercomprehensiveincome
| Othercomprehensiveincome | ||
| Specialreserve | ||
| Surplusreserve | 84,782,321.71 | 84,782,321.71 |
| Retainedprofits | 527,578,703.45 | 551,642,170.06 |
| Totalowners’equity | 8,572,072,546.52 | 6,607,935,343.51 |
| Totalliabilitiesandowners’equity | 8,599,819,293.96 | 6,637,236,936.37 |
3.Consolidatedincomestatement
InRMB
| Item | 2019 | 2018 |
| I.Totaloperatingincome | 12,500,664,232.05 | 9,660,661,413.72 |
| Including:Operatingincome | 12,500,664,232.05 | 9,660,661,413.72 |
| Interestincome | ||
| Premiumsearned | ||
| Feeandcommissionincome | ||
| II.Totaloperatingcosts | 11,334,717,041.48 | 8,640,046,191.85 |
| Including:Operatingcosts | 8,284,740,949.42 | 6,082,772,751.37 |
| Interestexpenses | ||
| Feeandcommissionexpenses | ||
| Surrenders | ||
| Claimsandpolicyholderbenefits(netofmountsrecoverablefromreinsurers) | ||
| Changesininsurancecontractreserves(netofreinsurers’share) | ||
| Insurancepolicyholderdividends | ||
| Expensesforreinsuranceaccepted | ||
| Taxesandlevies | 96,430,731.56 | 97,903,564.78 |
| Sellingexpenses | 2,140,684,155.45 | 1,801,461,805.40 |
| Administrativeexpenses | 610,138,439.92 | 461,222,685.56 |
| Researchanddevelopmentexpenses | 239,299,331.86 | 220,884,196.32 |
| Financialexpenses | -36,576,566.73 | -24,198,811.58 |
| Including:Interest | 15,981,713.90 | 14,167,593.20 |
expenses
| expenses | ||
| Interestincome | 65,976,045.63 | 42,647,994.28 |
| Add:Otherincome | 58,722,830.21 | 29,600,362.39 |
| Investmentincome(Lossisindicatedby“-”) | 6,466,901.43 | 31,403,830.59 |
| Including:Incomefrominvestmentsinassociatesandjointventures | -5,105,446.79 | -7,966,291.26 |
| Incomefromderecognitionoffinancialassetsmeasuredatamortizedcost | ||
| Foreignexchangegains(Lossisindicatedby“-”) | ||
| Netexposurehedgingincome(Lossisindicatedby“-”) | ||
| Incomefromchangesinfairvalue(Lossisindicatedby“-”) | -1,370,986.18 | |
| Impairmentlossesofcredit(Lossisindicatedby“-”) | -51,242,827.14 | |
| Impairmentlossesofassets(Lossisindicatedby“-”) | -624,124.49 | -104,440,075.94 |
| Incomefromdisposalofassets(Lossisindicatedby“-”) | -168,797.67 | -1,741.95 |
| III.Operatingprofit(Lossisindicatedby“-”) | 1,177,730,186.73 | 977,177,596.96 |
| Add:Non-operatingincome | 25,843,091.28 | 14,848,693.67 |
| Less:Non-operatingexpenses | 26,039,218.71 | 45,026,167.53 |
| IV.Totalprofit(Totallossesareindicatedby“-”) | 1,177,534,059.30 | 947,000,123.10 |
| Less:Incometaxexpenses | 20,031,543.84 | 19,425,726.31 |
| V.Netprofit(Netlossisindicatedby“-”) | 1,157,502,515.46 | 927,574,396.79 |
| (I)Categorizedbythenatureofcontinuingoperation | ||
| 1.Netprofitfromcontinuingoperations(Netlossisindicatedby“-”) | 1,157,502,515.46 | 927,574,396.79 |
| 2.Netprofitfromdiscontinuedoperations(Netlossisindicatedby“-”) |
(II)Categorizedbyownership:
| (II)Categorizedbyownership: | ||
| 1.NetprofitattributabletoownersoftheCompany | 1,156,285,253.73 | 865,568,532.45 |
| 2.Profitorlossattributabletominorityinterests | 1,217,261.73 | 62,005,864.34 |
| VI.Othercomprehensiveincome,netoftax | ||
| OthercomprehensiveincomeattributabletoownersoftheCompany,netoftax | ||
| (I)Othercomprehensiveincomethatcannotbesubsequentlyreclassifiedtoprofitorloss | ||
| 1.Changesfromre-measurementofdefinedbenefitplans | ||
| 2.Othercomprehensiveincomethatcannotbereclassifiedtoprofitorlossundertheequitymethod | ||
| 3.Changesinfairvalueofotherinvestmentsinequityinstruments | ||
| 4.Changesinfairvalueofenterprises’owncreditrisks | ||
| 5.Others | ||
| (II)Othercomprehensiveincomethatwillbereclassifiedtoprofitorloss | ||
| 1.Othercomprehensiveincomethatwillbereclassifiedtoprofitorlossundertheequitymethod | ||
| 2.Changesinfairvalueofotherdebtinvestments | ||
| 3.Profitorlossfromchangesinfairvalueofavailable-for-salefinancialassets | ||
| 4.Amountsoffinancialassetsreclassifiedintoothercomprehensiveincome | ||
| 5.Profitorlossarisingfromreclassificationofheld-to-maturityinvestmentstoavailable-for-salefinancial |
assets
| assets | ||
| 6.Provisionforcreditimpairmentofotherdebtinvestments | ||
| 7.Reserveforcashflowhedges | ||
| 8.Translationdifferencesoffinancialstatementsdenominatedinforeigncurrencies | ||
| 9.Others | ||
| Othercomprehensiveincomeattributabletominorityinterests,netoftax | ||
| VII.Totalcomprehensiveincome | 1,157,502,515.46 | 927,574,396.79 |
| TotalcomprehensiveincomeattributabletoownersoftheCompany | 1,156,285,253.73 | 865,568,532.45 |
| Totalcomprehensiveincomeattributabletominorityinterests | 1,217,261.73 | 62,005,864.34 |
| VIII.Earningspershare | ||
| (I)Basicearningspershare | 0.66 | 0.54 |
| (II)Dilutedearningspershare | 0.66 | 0.54 |
Foranybusinesscombinationinvolvingenterprisesundercommoncontrolforthecurrentperiod,thenetprofitsofthecombinedpartypriortothecombinationareRMBinthecurrentperiod,andwereRMBinpriorperiod.Legalrepresentative:Chieffinancialofficer:Headofaccountingdepartment:
ZHANGHualiLIANGDepingYANGEnjie
4.TheCompany’sincomestatement
InRMB
| Item | 2019 | 2018 |
| I.Totaloperatingincome | 0.00 | 1,573,343,237.46 |
| Less:Operatingcosts | 0.00 | 1,022,712,314.37 |
| Taxesandlevies | 1,211.60 | 9,182,075.34 |
| Sellingexpenses | 443,966,662.94 | |
| Administrativeexpenses | 45,738,735.45 | 74,542,981.96 |
| Researchanddevelopment | 17,933,438.87 |
expenses
| expenses | ||
| Financialexpenses | -23,110,120.24 | -12,013,017.65 |
| Including:Interestexpenses | ||
| Interestincome | 23,126,974.14 | 12,257,730.92 |
| Add:Otherincomes | 3,127,731.94 | 718,720.71 |
| Investmentincome(Lossisindicatedby“-”) | -4,561,270.99 | 6,110,711.62 |
| Including:Incomefrominvestmentsinassociatesandjointventures | -7,121,117.50 | -3,064,429.68 |
| Incomefromderecognitionoffinancialassetsmeasuredatamortizedcost(Lossisindicatedby“-”) | ||
| Netexposurehedgingincome(Lossisindicatedby“-”) | ||
| Incomefromchangesinfairvalue(Lossisindicatedby“-”) | ||
| Impairmentlossesofcredit(Lossisindicatedby“-”) | -101.18 | |
| Impairmentlossesofassets(Lossisindicatedby“-”) | -42,573.38 | |
| Incomefromdisposalofassets(Lossisindicatedby“-”) | ||
| II.Operatingprofit(Lossisindicatedby“-”) | -24,063,467.04 | 23,805,640.58 |
| Add:Non-operatingincome | 0.43 | 1,120,034.11 |
| Less:Non-operatingexpenses | 742,944.91 | |
| III.Totalprofit(Totallossesareindicatedby“-”) | -24,063,466.61 | 24,182,729.78 |
| Less:Incometaxexpenses | ||
| Ⅳ.Netprofit（(Netlossisindicatedby“-”) | -24,063,466.61 | 24,182,729.78 |
| (I)Netprofitfromcontinuingoperation（(Netlossisindicatedby“-”) | -24,063,466.61 | 24,182,729.78 |
| (Ii).Netprofitfromdiscontinuedoperations（(Netlossisindicatedby“-”) |
V.Othercomprehensiveincome,netoftax
| V.Othercomprehensiveincome,netoftax |
| (I)Othercomprehensiveincomethatcannotbesubsequentlyreclassifiedtoprofitorloss |
| 1.Changesfromre-measurementofdefinedbenefitplans |
| 2.Othercomprehensiveincomethatcannotbereclassifiedtoprofitorlossundertheequitymethod |
| 3.Changesinfairvalueofotherinvestmentsinequityinstruments |
| 4.Changesinfairvalueofenterprises’owncreditrisks |
| 5.Others |
| (II)Othercomprehensiveincomethatwillbereclassifiedtoprofitorloss |
| 1.Othercomprehensiveincomethatwillbereclassifiedtoprofitorlossundertheequitymethod |
| 2.Changesinfairvalueofotherdebtinvestments |
| 3.Profitorlossfromchangesinfairvalueofavailable-for-salefinancialassets |
| 4.Amountsoffinancialassetsreclassifiedintoothercomprehensiveincome |
| 5.Profitorlossarisingfromreclassificationofheld-to-maturityinvestmentstoavailable-for-salefinancialassets |
| 6.Provisionforcreditimpairmentofotherdebtinvestments |
| 7.Reserveforcashflowhedges |
| 8.Translationdifferencesoffinancialstatementsdenominatedinforeigncurrencies |
9.Others
| 9.Others | ||
| VI.Totalcomprehensiveincome | -24,063,466.61 | 24,182,729.78 |
| VII.Earningspershare | ||
| (I)Basicearningspershare | ||
| (II)Dilutedearningspershare |
5.Consolidatedstatementofcashflow
InRMB
| Item | 2019 | 2018 |
| I.CashFlowsfromOperatingActivities | ||
| Cashreceiptsfromthesaleofgoodsandtherenderingofservices | 10,639,452,867.62 | 10,604,681,654.82 |
| Netincreaseincustomerdepositsanddepositsfrombanksandotherfinancialinstitutions | ||
| Netincreaseinloansfromthecentralbank | ||
| Netincreaseintakingfromotherfinancialinstitutions | ||
| Cashreceiptsfrompremiumsunderdirectinsurancecontracts | ||
| Netcashreceiptsfromreinsurancebusiness | ||
| Netcashreceiptsfrompolicyholders'depositsandinvestmentcontractliabilities | ||
| Cashreceiptsfrominterest,feesandcommissions | ||
| Netincreaseintakingfrombanksandotherfinancialinstitutions | ||
| Netincreaseinfinancialassetssoldunderrepurchasearrangements | ||
| Netcashreceivedfromsecuritiestradingagency | ||
| Receiptsoftaxrefunds | 6,431,647.66 | 7,412,094.65 |
| Othercashreceiptsrelatingtooperatingactivities | 371,453,333.58 | 528,930,913.90 |
Sub-totalofcashinflowsfromoperatingactivities
| Sub-totalofcashinflowsfromoperatingactivities | 11,017,337,848.86 | 11,141,024,663.37 |
| Cashpaymentsforgoodspurchasedandservicesreceived | 7,014,189,213.84 | 8,467,459,177.21 |
| Netincreaseinloansandadvancestocustomers | 311,444,470.47 | 83,134,861.79 |
| Netincreaseinbalancewiththecentralbankandduefrombanksandotherfinancialinstitution | ||
| Cashpaymentsforclaimsandpolicyholders'benefitsunderdirectinsurancecontracts | ||
| Netincreaseinplacementswithbanksandotherfinancialinstitutions | ||
| Cashpaymentsforinterest,feesandcommissions | ||
| Cashpaymentsforinsurancepolicyholderdividends | ||
| Cashpaymentstoandonbehalfofemployees | 1,257,941,352.73 | 1,112,977,211.10 |
| Paymentsofvarioustypesoftaxes | 198,848,248.38 | 309,222,087.01 |
| Othercashpaymentsrelatingtooperatingactivities | 1,942,047,852.26 | 1,545,151,943.84 |
| Sub-totalofcashoutflowsfromoperatingactivities | 10,724,471,137.68 | 11,517,945,280.95 |
| NetCashFlowfromOperatingActivities | 292,866,711.18 | -376,920,617.58 |
| II.CashFlowsfromInvestingActivities: | ||
| Cashreceiptsfromdisposalsandrecoveryofinvestments | 63,804,483.36 | |
| Cashreceiptsfrominvestmentincome | ||
| Netcashreceiptsfromdisposalsoffixedassets,intangibleassetsandotherlong-termassets | 323,367.83 | 102,829.22 |
| Netcashreceiptsfromdisposalsofsubsidiariesandotherbusinessentities | ||
| Othercashreceiptsrelatingto | 858,780,471.64 | 3,795,826,560.42 |
investingactivities
| investingactivities | ||
| Sub-totalofcashinflowsfrominvestingactivities | 922,908,322.83 | 3,795,929,389.64 |
| Cashpaymentstoacquireorconstructfixedassets,intangibleassetsandotherlong-termassets | 155,967,045.02 | 31,972,143.70 |
| Cashpaymentstoacquireinvestments | 200,000,000.00 | |
| Netincreaseinpledgedloansreceivables | ||
| Netcashpaymentsforacquisitionsofsubsidiariesandotherbusinessentities | ||
| Othercashpaymentsrelatingtoinvestingactivities | 657,600,000.00 | 2,490,131,999.95 |
| Sub-totalofcashoutflowsfrominvestingactivities | 813,567,045.02 | 2,722,104,143.65 |
| NetCashFlowfromInvestingActivities | 109,341,277.81 | 1,073,825,245.99 |
| III.CashFlowsfromFinancingActivities: | ||
| Cashreceiptsfromcapitalcontributions | 1,987,819,969.03 | 4,600,000.00 |
| Including:cashreceiptsfromcapitalcontributionsfromminorityownersofsubsidiaries | 4,600,000.00 | |
| Cashreceiptsfromborrowings | 392,599,400.00 | 251,057,600.00 |
| Othercashreceiptsrelatingtofinancingactivities | ||
| Sub-totalofcashinflowsfromfinancingactivities | 2,380,419,369.03 | 255,657,600.00 |
| Cashrepaymentsofborrowings | 239,344,400.00 | 90,913,000.00 |
| Cashpaymentsfordistributionofdividendsorprofitsorsettlementofinterestexpenses | 15,741,592.38 | 33,974,536.33 |
| Including:paymentsfordistributionofdividendsorprofitstominorityownersofsubsidiaries | ||
| Othercashpaymentsrelatingto | 657,257.37 | 251,328,270.82 |
financingactivities
| financingactivities | ||
| Sub-totalofcashoutflowsfromfinancingactivities | 255,743,249.75 | 376,215,807.15 |
| NetCashFlowfromFinancingActivities | 2,124,676,119.28 | -120,558,207.15 |
| IV.EffectofForeignExchangeRateChangesonCashandCashEquivalents | -395,763.36 | 447,037.00 |
| V.NetIncreaseinCashandCashEquivalents | 2,526,488,344.91 | 576,793,458.26 |
| Add:OpeningbalanceofCashandCashEquivalents | 2,514,587,154.25 | 1,937,793,695.99 |
| VI.ClosingBalanceofCashandCashEquivalents | 5,041,075,499.16 | 2,514,587,154.25 |
6.TheCompany’statementofcashflow
InRMB
| Item | 2019 | 2018 |
| I.CashFlowsfromOperatingActivities | ||
| Cashreceiptsfromthesaleofgoodsandtherenderingofservices | 27,000.00 | 1,655,271,230.36 |
| Receiptsoftaxrefunds | ||
| Othercashreceiptsrelatingtooperatingactivities | 117,743,252.37 | 381,777,168.87 |
| Sub-totalofcashinflowsfromoperatingactivities | 117,770,252.37 | 2,037,048,399.23 |
| Cashpaymentsforgoodspurchasedandservicesreceived | 1,106,587,592.46 | |
| Cashpaymentstoandonbehalfofemployees | 16,608,439.68 | 205,849,251.30 |
| Paymentsofvarioustypesoftaxes | 1,211.60 | 71,280,583.18 |
| Othercashpaymentsrelatingtooperatingactivities | 290,480,238.38 | 410,777,469.19 |
| Sub-totalofcashoutflowsfromoperatingactivities | 307,089,889.66 | 1,794,494,896.13 |
| NetCashFlowfromOperatingActivities | -189,319,637.29 | 242,553,503.10 |
| II.CashFlowsfromInvesting |
Activities:
| Activities: | ||
| Cashreceiptsfromdisposalsandrecoveryofinvestments | 60,000,000.00 | |
| Cashreceiptsfrominvestmentincome | ||
| Netcashreceiptsfromdisposalsoffixedassets,intangibleassetsandotherlong-termassets | 93,381.51 | |
| Netcashreceiptsfromdisposalsofsubsidiariesandotherbusinessentities | ||
| Othercashreceiptsrelatingtoinvestingactivities | 74,243,568.71 | 648,175,141.30 |
| Sub-totalofcashinflowsfrominvestingactivities | 134,243,568.71 | 648,268,522.81 |
| Cashpaymentstoacquireorconstructfixedassets,intangibleassetsandotherlong-termassets | 7,515,394.30 | 15,691,938.50 |
| Cashpaymentstoacquireinvestments | 1,989,411,813.91 | 540,000,000.00 |
| Netcashpaymentsforacquisitionsofsubsidiariesandotherbusinessentities | ||
| Othercashpaymentsrelatingtoinvestingactivities | 260,000,000.00 | 373,000,000.00 |
| Sub-totalofcashoutflowsfrominvestingactivities | 1,996,927,208.21 | 928,691,938.50 |
| NetCashFlowfromInvestingActivities | --1,862,683,639.50 | -280,423,415.69 |
| III.CashFlowsfromFinancingActivities: | ||
| Cashreceiptsfromcapitalcontributions | 1,987,819,969.03 | |
| Cashreceiptsfromborrowings | ||
| Othercashreceiptsrelatingtofinancingactivities | ||
| Sub-totalofcashinflowsfromfinancingactivities | 1,987,819,969.03 | |
| Cashrepaymentsofborrowings | ||
| Cashpaymentsfordistributionof | 20,050,000.00 |
dividendsorprofitsorsettlementofinterestexpenses
| dividendsorprofitsorsettlementofinterestexpenses | ||
| Othercashpaymentsrelatingtofinancingactivities | 657,257.37 | |
| Sub-totalofcashoutflowsfromfinancingactivities | 657,257.37 | 20,050,000.00 |
| NetCashFlowfromFinancingActivities | 1,987,162,711.66 | -20,050,000.00 |
| IV.EffectofForeignExchangeRateChangesonCashandCashEquivalents | ||
| V.NetIncreaseinCashandCashEquivalents | -64,840,565.13 | -57,919,912.59 |
| Add:OpeningbalanceofCashandCashEquivalents | 424,688,362.92 | 482,608,275.51 |
| VI.ClosingBalanceofCashandCashEquivalents | 359,847,797.79 | 424,688,362.92 |
7.Consolidatedstatementofchangesinowners’equityAmountsinthecurrentperiod
InRMB
Item
| Item | 2019 | ||||||||||||||
| EquityattributabletoownersoftheCompany | Minorityinterests | Totalowners’equity | |||||||||||||
| Sharecapital | Otherequityinstruments | Capitalreserve | Less:Treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Generalriskreserve | Retainedprofits | Others | Sub-total | |||||
| Preferredshares | Perpetualbonds | Others | |||||||||||||
| I.Closingbalanceoftheprecedingyear | 990,023,518.00 | 3,641,091,029.73 | 84,782,321.71 | 923,476,426.28 | 5,639,373,295.72 | 34,880,903.27 | 5,674,254,198.99 | ||||||||
| Add:Changesinaccountingpolicies | |||||||||||||||
| Correctionsofpriorperioderrors | |||||||||||||||
| Businesscombinationinvolvingenterprisesundercommoncontrol | |||||||||||||||
| Others | |||||||||||||||
| II.Openingbalanceofthecurrentyear | 990,023,518.00 | 3,641,091,029.73 | 84,782,321.71 | 923,476,426.28 | 5,639,373,295.72 | 34,880,903.27 | 5,674,254,198.99 | ||||||||
| III.Changesfortheyear(decreaseisindicatedby“-”) | 790,353,993.00 | 1,197,846,676.62 | 1,156,285,253.73 | 3,144,485,923.35 | 1,217,261.73 | 3,145,703,185.08 | |||||||||
| (I)Totalcomprehensiveincome | 1,156,285,253.73 | 1,156,285,253.73 | 1,217,261.73 | 1,157,502,515.46 | |||||||||||
(II)Owners’contributionsandreductionincapital
| (II)Owners’contributionsandreductionincapital | 57,257,371.00 | 1,930,943,298.62 | 1,988,200,669.62 | 1,988,200,669.62 | |||
| 1．Ordinarysharescontributedbyowners | 57,257,371.00 | 1,925,443,298.62 | 1,982,700,669.62 | 1,982,700,669.62 | |||
| 2．Capitalcontributionfromholdersofotherequityinstruments | |||||||
| 3.Share-basedpaymentrecognizedinowners'equity | |||||||
| 4.Others | 5,500,000.00 | 5,500,000.00 | 5,500,000.00 | ||||
| (III)Profitdistribution | |||||||
| 1.Transfertosurplusreserve | |||||||
| 2.Transfertogeneralriskreserve | |||||||
| 3.Distributionstoowners(orshareholders) | |||||||
| 4.Others | |||||||
| (IV)Transferswithinowners’equity | 733,096,622.00 | -733,096,622.00 | |||||
| 1.Capitalizationofcapitalreserve | 733,096,622.00 | -733,096,622.00 | |||||
| 2.Capitalizationofsurplusreserve | |||||||
| 3.Lossoffsetbysurplusreserve | |||||||
| 4.Retainedearningscarriedforwardfromchangesindefinedbenefitplans | |||||||
| 5．Retainedearningscarriedforwardfromothercomprehensiveincome |
6．Others
| 6．Others | |||||||||||
| (V)Specialreserve | |||||||||||
| 1.Transfertospecialreserveintheperiod | |||||||||||
| 2.Amountutilizedintheperiod | |||||||||||
| (VI)Others | |||||||||||
| IV.Closingbalanceofthecurrentperiod | 1,780,377,511.00 | 4,838,937,706.35 | 84,782,321.71 | 2,079,761,680.01 | 8,783,859,219.07 | 36,098,165.00 | 8,819,957,384.07 |
Amountsinpriorperiod
InRMB
| Item | 2018 | ||||||||||||||
| EquityattributabletoownersoftheCompany | Minorityinterests | Totalowners’equity | |||||||||||||
| Sharecapital | Otherequityinstruments | Capitalreserve | Less:Treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Generalriskreserve | Retainedprofits | Others | Sub-total | |||||
| Preferredshares | Perpetualbonds | Others | |||||||||||||
| I.Closingbalanceoftheprecedingyear | 401,000,000.00 | 677,824,905.78 | 82,364,048.73 | 517,751,008.19 | 1,678,939,962.70 | 40,317,430.91 | 1,719,257,393.61 | ||||||||
| Add:Changesinaccountingpolicies | |||||||||||||||
| Correctionsofpriorperioderrors | |||||||||||||||
| Businesscombinationinvolvingenterprisesundercommoncontrol | 3,062,413,074.78 | -437,374,841.38 | 2,625,038,233.40 | 420,951,433.30 | 3,045,989,666.70 | ||||||||||
Others
| Others | |||||||||||
| II.Openingbalanceofthecurrentyear | 401,000,000.00 | 3,740,237,980.56 | 82,364,048.73 | 80,376,166.81 | 4,303,978,196.10 | 461,268,864.21 | 4,765,247,060.31 | ||||
| III.Changesfortheyear(decreaseisindicatedby“-”) | 589,023,518.00 | -99,146,950.83 | 2,418,272.98 | 843,100,259.47 | 1,335,395,099.62 | -426,387,960.94 | 909,007,138.68 | ||||
| (I)Totalcomprehensiveincome | 865,568,532.45 | 865,568,532.45 | 62,005,864.34 | 927,574,396.79 | |||||||
| (II)Owners’contributionsandreductionincapital | 589,023,518.00 | 401,889,619.61 | 990,913,137.61 | 4,600,000.00 | 995,513,137.61 | ||||||
| 1．Ordinarysharescontributedbyowners | 589,023,518.00 | 401,889,619.61 | 990,913,137.61 | 4,600,000.00 | 995,513,137.61 | ||||||
| 2．Capitalcontributionfromholdersofotherequityinstruments | |||||||||||
| 3.Share-basedpaymentrecognizedinowners'equity | |||||||||||
| 4.Others | |||||||||||
| (III)Profitdistribution | 2,418,272.98 | -22,468,272.98 | -20,050,000.00 | -20,050,000.00 | |||||||
| 1.Transfertosurplusreserve | 2,418,272.98 | -2,418,272.98 | |||||||||
| 2.Transfertogeneralriskreserve | |||||||||||
| 3.Distributionstoowners(orshareholders) | -20,050,000.00 | -20,050,000.00 | -20,050,000.00 | ||||||||
| 4.Others | |||||||||||
| (IV)Transferswithinowners’equity | |||||||||||
| 1.Capitalizationofcapitalreserve |
2.Capitalizationofsurplusreserve
| 2.Capitalizationofsurplusreserve | |||||||||||
| 3.Lossoffsetbysurplusreserve | |||||||||||
| 4.Retainedearningscarriedforwardfromchangesindefinedbenefitplans | |||||||||||
| 5．Retainedearningscarriedforwardfromothercomprehensiveincome | |||||||||||
| 6．Others | |||||||||||
| (V)Specialreserve | |||||||||||
| 1.Transfertospecialreserveintheperiod | |||||||||||
| 2.Amountutilizedintheperiod | |||||||||||
| (VI)Others | -501,036,570.44 | -501,036,570.44 | -492,993,825.28 | -994,030,395.72 | |||||||
| IV.Closingbalanceofthecurrentperiod | 990,023,518.00 | 3,641,091,029.73 | 84,782,321.71 | 923,476,426.28 | 5,639,373,295.72 | 34,880,903.27 | 5,674,254,198.99 |
8.TheCompany’sstatementofchangesinowner’sequity
Amountsincurrentperiod
InRMB
| Item | 2019 | |||||||||||
| Sharecapital | Otherequityinstruments | Capitalreserve | Less:Treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Retainedprofits | Others | Totalowners’equity | |||
| Preferredshares | Perpetualbonds | Others | ||||||||||
| I.Closingbalanceoftheprecedingyear | 990,023,518.00 | 4,981,487,333.74 | 84,782,321.71 | 551,642,170.06 | 6,607,935,343.51 | |||||||
Add:Changesinaccountingpolicies
| Add:Changesinaccountingpolicies | ||||||||
| Correctionsofpriorperioderrors | ||||||||
| Others | ||||||||
| II.Openingbalanceofthecurrentyear | 990,023,518.00 | 4,981,487,333.74 | 84,782,321.71 | 551,642,170.06 | 6,607,935,343.51 | |||
| III.Changesfortheyear(decreaseisindicatedby“-”) | 790,353,993.00 | 1,197,846,676.62 | -24,063,466.61 | 1,964,137,203.01 | ||||
| (I)Totalcomprehensiveincome | -24,063,466.61 | -24,063,466.61 | ||||||
| (II)Owners’contributionsandreductionincapital | 57,257,371.00 | 1,930,943,298.62 | 1,988,200,669.62 | |||||
| 1．Ordinarysharescontributedbyshareholders | 57,257,371.00 | 1,925,443,298.62 | 1,982,700,669.62 | |||||
| 2．Capitalcontributionfromholdersofotherequityinstruments | ||||||||
| 3.Share-basedpaymentrecognizedinowners'equity | ||||||||
| 4.Others | 5,500,000.00 | 5,500,000.00 | ||||||
| (III)Profitdistribution | ||||||||
| 1.Transfertosurplusreserve | ||||||||
| 2.Distributionstoowners(shareholders) | ||||||||
| 3.Others | ||||||||
| (IV)Transferswithinowners’equity | 733,096,622.00 | -733,096,622.00 |
1.Capitalizationofcapitalreserve
| 1.Capitalizationofcapitalreserve | 733,096,622.00 | -733,096,622.00 | ||||||
| 2.Capitalizationofsurplusreserve | ||||||||
| 3.Lossoffsetbysurplusreserve | ||||||||
| 4.Retainedearningscarriedforwardfromchangesindefinedbenefitplans | ||||||||
| 5．Retainedearningscarriedforwardfromothercomprehensiveincome | ||||||||
| 6．Others | ||||||||
| (V)Specialreserve | ||||||||
| 1.Transfertospecialreserveintheperiod | ||||||||
| 2.Amountutilizedintheperiod | ||||||||
| (VI)Others | ||||||||
| IV.Closingbalanceofthecurrentperiod | 1,780,377,511.00 | 6,179,334,010.36 | 84,782,321.71 | 527,578,703.45 | 8,572,072,546.52 |
Amountsinpriorperiod
InRMB
| Item | 2018 | |||||||||||
| Sharecapital | Otherequityinstruments | Capitalreserve | Less:Treasuryshares | Othercomprehensiveincome | Specialreserve | Surplusreserve | Retainedprofits | Others | Totalowners’equity | |||
| Preferredshares | Perpetualbonds | Others | ||||||||||
| I.Closingbalanceoftheprecedingyear | 401,000,000.00 | 673,394,021.19 | 82,364,048.73 | 549,927,713.26 | 1,706,685,783.18 | |||||||
| Add:Changesinaccountingpolicies | ||||||||||||
Correctionsofpriorperioderrors
| Correctionsofpriorperioderrors | ||||||||
| Others | ||||||||
| II.Openingbalanceofthecurrentyear | 401,000,000.00 | 673,394,021.19 | 82,364,048.73 | 549,927,713.26 | 1,706,685,783.18 | |||
| III.Changesfortheyear(decreaseisindicatedby“-”) | 589,023,518.00 | 4,308,093,312.55 | 2,418,272.98 | 1,714,456.80 | 4,901,249,560.33 | |||
| (I)Totalcomprehensiveincome | 24,182,729.78 | 24,182,729.78 | ||||||
| (II)Owners’contributionsandreductionincapital | 589,023,518.00 | 4,308,093,312.55 | 4,897,116,830.55 | |||||
| 1．Ordinarysharescontributedbyshareholders | 589,023,518.00 | 4,307,624,613.70 | 4,896,648,131.70 | |||||
| 2．Capitalcontributionfromholdersofotherequityinstruments | ||||||||
| 3.Share-basedpaymentrecognizedinowners'equity | ||||||||
| 4.Others | 468,698.85 | 468,698.85 | ||||||
| (III)Profitdistribution | 2,418,272.98 | -22,468,272.98 | -20,050,000.00 | |||||
| 1.Transfertosurplusreserve | 2,418,272.98 | -2,418,272.98 | ||||||
| 2.Distributionstoowners(shareholders) | -20,050,000.00 | -20,050,000.00 | ||||||
| 3.Others | ||||||||
| (IV)Transferswithinowners’equity |
1.Capitalizationofcapitalreserve
| 1.Capitalizationofcapitalreserve | ||||||||
| 2.Capitalizationofsurplusreserve | ||||||||
| 3.Lossoffsetbysurplusreserve | ||||||||
| 4.Retainedearningscarriedforwardfromchangesindefinedbenefitplans | ||||||||
| 5．Retainedearningscarriedforwardfromothercomprehensiveincome | ||||||||
| 6．Others | ||||||||
| (V)Specialreserve | ||||||||
| 1.Transfertospecialreserveintheperiod | ||||||||
| 2.Amountutilizedintheperiod | ||||||||
| (VI)Others | ||||||||
| IV.Closingbalanceofthecurrentperiod | 990,023,518.00 | 4,981,487,333.74 | 84,782,321.71 | 551,642,170.06 | 6,607,935,343.51 |
III.BASICINFORMATIONMangoExcellentMediaCo.,Ltd.(hereinafterreferredtoasthe“Company”),formerlyknownasHappigoInc.,wasestablishedonthebasisoftheoverallchangeofHappigoCo.,Ltd..ItcompletedtheregistrationattheAdministrationforIndustryandCommerceofChangshaCity,HunanProvinceonDecember28,2005,withtheheadquarterlocatedinChangshaCity,HunanProvince.InJuly2018,theCompanychangeditsnamefrom"HappigoInc."to"MangoExcellentMediaCo.,Ltd”.Currently,theCompanyholdsabusinesslicensewithunifiedsocialcreditcodeof91430100782875193K,withregisteredcapitalamountingtoRMB1,780,377,511.00andatotalof1,780,377,511shares(withtheparvalueofRMB1pershare).Thecompany'sshareswerelistedfortradingontheShenzhenStockExchangeonJanuary21,2015.
TheCompanyisanentityintheinternetnewmediaindustry.Itsprincipaloperatingactivitiescanbedividedintothreeparts,newmediaplatformoperation,newmediainteractiveentertainmentcontentproductionandmediaretailbusiness.Thepublicationofthisfinancialstatementsisapprovedbythe29
thsessionofthethirdBoardofDirectorsasatApril23,2020.
TheCompanyhasincluded27companiesinthescopeofconsolidationoftheconsolidatedfinancialstatementsforthecurrentperiod,includingHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.(hereinafterreferredtoas“HappySunshineCompany”),ShanghaiMangofunTechnologyCo.,Ltd.(hereinafterreferredtoas“Mangofun”),ShanghaiEE-MediaCo.,Ltd.(hereinafterreferredtoas“EE-Media”),MangoStudiosCo.,Ltd.,(hereinafterreferredtoas“MangoStudios”),HunanMangoEntertainmentCo.,Ltd.(hereinafterreferredtoas“MangoEntertainment”),HappigoCo.,Ltd.ShanghaiHappigoEnterpriseDevelopmentCo.,Ltd.,ShanghaiHappivisionAdvertisingCommunicationCo.,Ltd.,Happigo(Beijing)NewMediaTechnologyCo.,Ltd.,DougCloudBusiness(Hunan)TradeLimitedLiabilityCompany,Doug(Shanghai)InvestmentManagementLimitedLiabilityCompany,MangoLife(Hunan)E-commerceLimitedLiabilityCompany,Happigo(Hunan)SupplyChainManagementCo.,Ltd.,NingboBondedAreaHappyYunshangInternationalTradingCo.,Ltd.,HunanHappyMoneyMicrofinanceCo.,Ltd.,withdetailsreferringtoNotesVIIIandIXtothefinancialstatements.
IV.BASISOFPREPARATIONOFFINANCIALSTATEMENTS
1.Basisofpreparation
TheCompany’sfinancialstatementsarepreparedonagoing-concernbasis.
2.Going-concern
TheCompanyhasdetectednoeventsorcircumstancesthatmaycastsignificantdoubtuponitsabilitytocontinueasagoingconcernwithin12monthsfromthereportingperiod.V.Significantaccountingpoliciesandaccountingestimates
Specificaccountingpoliciesandaccountingestimates:
TheCompanyestablishesthespecificaccountingpoliciesandmakesthespecificaccountingestimateswithrespecttotheimpairmentoffinancialinstruments,depreciationoffixedassets,amortizationofintangibleassets,recognitionofrevenuesandothertransactionsandeventsaccordingtotheactualproductionandoperationcharacteristicsoftheCompany.
1.StatementofcompliancewiththeAccountingStandardsforBusinessEnterprises
ThefinancialstatementspreparedbytheCompanyconformtotherequirementsoftheAccountingStandardsforBusinessEnterprisesandtrulyandcompletelyreflecttheCompany’sfinancialposition,operatingresults,cashflowsandotherrelatedinformation.
2.Accountingperiod
TheCompany’saccountingyearisfromJanuary1toDecember31ofeachcalendaryear.
3.Operatingcycle
TheCompanyhasarelativelyshortoperatingcycle,anddeterminestheliquidityofassetsandliabilitiesonthebasisof12months.
4.FunctionalcurrencyTheCompanyadoptsRMBasitsfunctionalcurrency.
5.Accountingtreatmentofbusinesscombinationsinvolvingentitiesundercommoncontrolandnotundercommoncontrol
1.AccountingtreatmentofbusinesscombinationsinvolvingentitiesundercommoncontrolAssetsandliabilitiesacquiredfromabusinesscombinationbytheCompanyaremeasuredatthecarryingamountsoftheassetsandliabilitiesoftheacquireeintheconsolidatedfinancialstatementsoftheultimatecontrolleratthedateofcombination.Thedifferencebetweenthecarryingamountoftheowners’equityoftheacquireeasstatedintheconsolidatedfinancialstatementsoftheultimatecontrollerandthecarryingamountofthetotalconsiderationpaidortotalparvalueofthesharesissuedinconnectionwiththecombinationistreatedasanadjustmenttothecapitalreserve.Incasethecapitalreserveisnotsufficienttoabsorbthedifference,theremainingbalanceisadjustedagainsttheretainedearnings.
2.AccountingtreatmentofbusinesscombinationsinvolvingentitiesnotundercommoncontrolWherethecostofthecombinationexceedstheCompany’sshareofthefairvalueoftheacquiree’sidentifiablenetassets,thedifferenceisrecognizedasgoodwillatthedateofacquisition.WherethecostofcombinationislowerthantheCompany’sshareofthefairvalueoftheacquiree’sidentifiablenetassets,theCompanyreviewsthemeasurementofthefairvalueofeachoftheidentifiableassets,liabilitiesandcontingentliabilitiesacquiredfromtheacquireeandthecostofcombination,andifthecostofcombinationasreviewedisstilllowerthantheCompany’sshareofthefairvalueoftheacquiree’sidentifiablenetassets,thedifferenceisrecognizedinprofitorlossforthecurrentperiod.
6.Methodofpreparationofconsolidatedfinancialstatements
Theparentcompanyincludesallofitscontrolledsubsidiariesinitsconsolidatedfinancialstatements.TheconsolidatedfinancialstatementsarepreparedbytheparentcompanyinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.33--ConsolidatedFinancialStatements,onthebasisoftherespectivefinancialstatementsoftheparentcompanyanditssubsidiaries,byreferencetootherrelevantdata.
7.Classificationofjointarrangementsandaccountingtreatmentofjointoperations
1.Jointarrangementsareclassifiedintojointoperationsandjointventures.
2.WhentheCompanyisapartytoajointoperation,theCompanyrecognizesthefollowingitemsrelatingtoitsinterestinthejointoperation:
(1)theassetsindividuallyheldbytheCompany,andtheCompany’sshareoftheassetsheldjointly;
(2)theliabilitiesincurredindividuallybytheCompany,andtheCompany’sshareoftheliabilitiesincurredjointly;
(3)theCompany’srevenuefromthesaleofitsshareofoutputofthejointoperation;
(4)theCompany’sshareofrevenuefromthesaleofassetsbythejointoperation;and
(5)theexpensesincurredindividuallybytheCompany,andtheCompany’sshareoftheexpensesincurredjointly.
8.Recognitionofcashandcashequivalents
Forthepurposeofthestatementofcashflows,cashcomprisescashonhandanddemanddeposits,andcashequivalentscompriseshort-term,highlyliquidinvestmentsthatarereadilyconvertibleintoknownamountsofcashandwhicharesubjecttoaninsignificantrisk
ofchangesinvalue.
9.Foreigncurrencytransactionsandtranslationofforeigncurrencyfinancialstatements
1.TranslationofforeigncurrencytransactionsUponinitialrecognition,foreigncurrencytransactionsaretranslatedintoRMBusingtheexchangeratesprevailingatthetransactiondates.Atthebalancesheetdate,monetaryitemsdenominatedinforeigncurrenciesaretranslatedintoRMBusingthespotexchangeratesatthebalancesheetdate.Exchangedifferencesarisingfromsuchtranslationsarerecognizedinprofitorlossforthecurrentperiod,exceptforthoseattributabletoforeigncurrencyborrowingsthathavebeentakenoutspecificallyfortheacquisitionorconstructionofqualifyingassetsandaccruedinterest.Non-monetaryitemsdenominatedinforeigncurrenciesthataremeasuredathistoricalcostaretranslatedusingtheforeignexchangeratesrulingatthetransactiondates,withoutadjustingtheamountsinRMB.Non-monetaryitemsdenominatedinforeigncurrenciesthataremeasuredatfairvaluearetranslatedusingtheforeignexchangeratesprevailingatthedatesthefairvaluewasdetermined,andexchangedifferencesarisingfromsuchtranslationsarerecognizedinprofitorlossforthecurrentperiodorothercomprehensiveincome.
2.TranslationofforeigncurrencyfinancialstatementsTheassetandliabilityitemsinthebalancesheetaretranslatedatthespotexchangeratesatthebalancesheetdate.Theowners’equityitemsotherthan“retainedprofits”aretranslatedatthespotexchangeratesatthetransactiondates.Theincomeandexpenseitemsintheincomestatementsaretranslatedatthespotexchangeratesatthetransactiondates.Exchangedifferencesarisingfromsuchtranslationsarerecognizedinothercomprehensiveincome.
10.Financialinstruments
1.ClassificationoffinancialassetsandfinancialliabilitiesUponinitialrecognition,financialassetsareclassifiedinto:(i)financialassetsatamortizedcost;(ii)financialassetsatfairvaluethroughothercomprehensiveincome;and(iii)financialassetsatfairvaluethroughprofitorloss.
Uponinitialrecognition,financialliabilitiesareclassifiedinto:(i)financialliabilitiesatfairvaluethroughprofitorloss;(ii)financialliabilitiesarisingasaresultofthetransferoffinancialassetsnotmeetingthecriteriaforderecognitionorcontinuinginvolvementinthefinancialassetstransferred;(iii)financialguaranteecontractsnotfallingunderClauses(i)and(ii),andloancommitmentsnotfallingunderClause(i)andbelowmarketinterestrate;and(iv)financialliabilitiesatamortizedcost.
2.Recognition,measurementandderecognitionoffinancialassetsandfinancialliabilities
(1)Recognitionandinitialmeasurementoffinancialassetsandfinancialliabilities
WhentheCompanybecomesapartytoafinancialinstrumentcontract,afinancialassetorliabilityisrecognized.Financialassetsandliabilitiesareinitiallymeasuredatfairvalue.Transactioncostsrelatingtofinancialassetsorliabilitiesatfairvaluethroughprofitorlossaredirectlyrecognizedinprofitorlossforthecurrentperiod.Transactioncostsrelatingtootherkindsoffinancialassetsorliabilitiesareincludedintheirinitiallyrecognizedamount.However,theaccountsreceivablethatdonotcontainanysignificantfinancingcomponentorarerecognizedbytheCompanywithouttakingintoconsiderationthesignificantfinancingcomponentsunderthecontractswithatermoflessthanoneyearuponinitialrecognitionareinitiallymeasuredattransactionprice.
(2)Subsequentmeasurementoffinancialassets
1)Financialassetsatamortizedcost
Financialassetsatamortizedcostaresubsequentlymeasuredatamortizedcostusingtheeffectiveinterestmethod.Gainsorlossesonfinancialassetsatamortizedcostthatdonotbelongtoanyhedgingrelationshiparerecognizedinprofitorlossforthecurrentperioduponderecognition,reclassification,amortizationusingtheeffectiveinterestmethodorrecognitionofimpairment.
2)Investmentsindebtinstrumentsatfairvaluethroughothercomprehensiveincome
Investmentsindebtinstrumentsatfairvaluethroughothercomprehensiveincomearesubsequentlymeasuredatfairvalue.Interest,impairmentlossesorgainsandexchangegainsorlossescalculatedusingtheeffectiveinterestmethodarerecognizedinprofitorlossforthecurrentperiod,andothergainsorlossesarerecognizedinothercomprehensiveincome.Uponderecognition,theaggregategainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredtoprofitorlossforthecurrentperiod.
3)Investmentsinequityinstrumentsatfairvaluethroughothercomprehensiveincome
Investmentsinequityinstrumentsatfairvaluethroughothercomprehensiveincomearesubsequentlymeasuredatfairvalue.Dividendsreceived(otherthanthosereceivedasrecoveryofinvestmentcost)arerecognizedinprofitorlossforthecurrentperiod,andothergainsorlossesarerecognizedinothercomprehensiveincome.Uponderecognition,theaggregategainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredtoretainedearnings.
4)Financialassetsatfairvaluethroughprofitorloss
Financialassetsatfairvaluethroughprofitorlossaresubsequentlymeasuredatfairvalue.Gainsorlossesthereon,includinginterestanddividendincome,arerecognizedinprofitorlossforthecurrentperiod,exceptthefinancialassetsbelongingtoanyhedgingrelationship.
(3)Subsequentmeasurementoffinancialliabilities
1)Financialliabilitiesatfairvaluethroughprofitorloss
Financialliabilitiesatfairvaluethroughprofitorlossincludefinancialliabilitiesheldfortrading(includingderivativesclassifiedasfinancialliabilities),andfinancialliabilitiesdirectlydesignatedasatfairvaluethroughprofitorloss.Suchfinancialliabilitiesaresubsequentlymeasuredatfairvalue.ChangesinthefairvalueoffinancialliabilitiesdesignatedasatfairvaluethroughprofitorlossarisingoutofchangesintheCompany’screditriskarerecognizedinothercomprehensiveincome,unlesssuchtreatmentwillresultinorincreaseanyaccountingmismatchinprofitorloss.Othergainsorlossesonsuchfinancialliabilities,includinginterestexpensesandchangesinfairvaluenotarisingoutofchangesintheCompany’screditrisk,arerecognizedinprofitorlossforthecurrentperiod,exceptthefinancialliabilitiesbelongingtoanyhedgingrelationship.Uponderecognition,theaggregategainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredtoretainedearnings.
2)Financialliabilitiesarisingasaresultofthetransferoffinancialassetsnotmeetingthecriteriaforderecognitionorcontinuinginvolvementinthefinancialassetstransferred
SuchfinancialliabilitiesaremeasuredinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.23--TransferofFinancialAssets.
3)FinancialguaranteecontractsnotfallingunderClauses(i)and(ii),andloancommitmentsnotfallingunderClause(i)andbelowmarketinterestrate
Suchfinancialliabilitiesaresubsequentlymeasuredatthehigherof(i)provisionforimpairmentlossesdeterminedaccordingtothepolicyforimpairmentoffinancialinstruments;and(ii)balanceoftheinitiallyrecognizedamountafterdeductionoftheaccumulatedamortizationdeterminedinaccordancewiththerelevantpolicy.
4)Financialliabilitiesatamortizedcost
Financialliabilitiesatamortizedcostaresubsequentlymeasuredatamortizedcostusingtheeffectiveinterestmethod.Gainsorlossesonfinancialliabilitiesatamortizedcostthatdonotbelongtoanyhedgingrelationshiparerecognizedinprofitorlossforthecurrentperioduponderecognitionoramortizationusingtheeffectiveinterestmethod.
(4)Derecognitionoffinancialassetsandfinancialliabilities
1)Financialassetsarederecognizedwhen:
①thecontractualrighttoreceivecashflowsfromthefinancialassetshasexpired;or
②thefinancialassetshavebeentransferredandsuchtransfermeetsthecriteriaforderecognitionoffinancialassetsassetforthintheAccountingStandardsforBusinessEnterprisesNo.23--TransferofFinancialAssets.
2)Afinancialliability(orpartthereof)isderecognizedwhenallorpartoftheoutstandingobligationsthereonhavebeendischarged.
3.Determinationandmeasurementoffinancialassetstransferred
WhenafinancialassetoftheCompanyistransferred,ifsubstantiallyalltherisksandrewardsincidentaltotheownershipofthefinancialassethavebeentransferred,thefinancialassetisderecognized,andtherightsandobligationsincurredorretainedinsuchtransferareseparatelyrecognizedasassetsorliabilities(asthecasemaybe).IftheCompanyneithertransferrednorretainedasubstantialportionofallrisksandrewardsincidentaltotheownershipofthefinancialasset,then:(i)iftheCompanydoesnotretaincontroloverthefinancialasset,thefinancialassetisderecognized,andtherightsandobligationsincurredorretainedinsuchtransferareseparatelyrecognizedas
assetsorliabilities(asthecasemaybe);and(ii)iftheCompanyretainscontroloverthefinancialasset,thefinancialassetcontinuestoberecognizedtotheextentoftheCompany’scontinuinginvolvementinthefinancialassettransferred,andacorrespondingliabilityisrecognized.
Ifanentiretransferofafinancialassetmeetsthecriteriaforderecognition,thedifferencebetween(i)thecarryingamountofthefinancialassettransferredatthedateofderecognition;and(ii)thesumoftheconsiderationreceivedfromthetransferandtheportionofthecumulativeamountofchangesinfairvaluedirectlyrecordedasothercomprehensiveincomeoriginallythatcorrespondstothepartderecognized(wherethefinancialassettransferredisaninvestmentindebtinstrumentsatfairvaluethroughothercomprehensiveincome)isrecognizedinprofitorlossforthecurrentperiod.Ifpartofafinancialassetistransferredandtheparttransferredentirelymeetsthecriteriaforderecognition,thetotalcarryingamountofthefinancialassetimmediatelypriortothetransferisallocatedbetweenthepartderecognizedandthepartnotderecognizedinproportiontotheirrelativefairvalueatthedateoftransfer,andthedifferencebetween(i)thecarryingamountofthepartderecognized;and(ii)thesumoftheconsiderationreceivedfromthetransferofthepartderecognizedandtheportionofthecumulativeamountofchangesinfairvaluedirectlyrecordedasothercomprehensiveincomeoriginallythatcorrespondstothepartderecognized(wherethefinancialassettransferredisaninvestmentindebtinstrumentsatfairvaluethroughothercomprehensiveincome)isrecognizedinprofitorlossforthecurrentperiod.
4.Determinationoffairvalueoffinancialassetsandfinancialliabilities
TheCompanyadoptsthevaluationtechniquesapplicabletothecurrentsituationsandwithsufficientdataavailableandsupportofotherinformation,todeterminethefairvalueoffinancialassetsandfinancialliabilities.TheCompanyclassifiestheinputsusedbythevaluationtechniquesinthefollowinglevelsandusestheminturn:
(1)Level1inputs:quotedmarketprice(unadjusted)inanactivemarketforanidenticalassetorliabilityavailableatthedateofmeasurement;
(2)Level2inputs:inputsotherthaninputsincludedwithinLevel1thatareobservabledirectlyorindirectly.Thiscategoryincludesquotedpricesforsimilarassetsorliabilitiesinactivemarkets,quotedpricesforidenticalorsimilarassetsorliabilitiesininactivemarkets,observableinputsotherthanquotedprices(suchasinterestrateandyieldcurvesobservableduringregularintervalsofquotation),andinputsvalidatedbythemarket;
(3)Level3inputs:inputsthatareunobservable.Thiscategoryincludesinterestrateorstockvolatilitythatcannotbedirectlyobservedorvalidatedbyobservablemarketdata,futurecashflowsfromretirementobligationincurredinbusinesscombinations,andfinancialforecastsmadeusingowndata.
5.Impairmentoffinancialinstruments
(1)Measurementandaccountingtreatmentofimpairmentoffinancialinstruments
TheCompanydeterminestheimpairmentandassessesprovisionforimpairmentlossesoffinancialassetsatamortizedcost,investmentsindebtinstrumentsatfairvaluethroughothercomprehensiveincome,leasereceivable,loancommitmentsotherthanfinancialliabilitiesdesignatedatfairvaluethroughprofitorloss,andfinancialguaranteecontractsotherthanfinancialliabilitiesdesignatedatfairvaluethroughprofitorlossandfinancialliabilitiesarisingasaresultofthetransferoffinancialassetsnotmeetingthecriteriaforderecognitionorcontinuinginvolvementinthefinancialassetstransferred,onthebasisofexpectedcreditlosses.
Expectedcreditlossistheweightedaverageofcreditlossesonfinancialinstrumentstakingintoaccountthepossibilityofdefault.Creditlossisthepresentvalueofthedifferencebetweenallcontractualcashflowsreceivableunderthecontractandestimatedfuturecashflowsdiscountedattheoriginaleffectiveinterestrate,i.e.thepresentvalueofallcashshortage,whereintheCompany’spurchasedororiginatedfinancialassetsthathavebecomecreditimpairedarediscountedattheircredit-adjustedeffectiveinterestrate.
Withrespecttopurchasedororiginatedfinancialassetsthathavebecomecreditimpaired,atthebalancesheetdate,theCompanyrecognizesalossallowanceequaltothecumulativeamountofchangesinlifetimeexpectedcreditlossessinceinitialrecognition.
WithrespecttoaccountsreceivablethatdonotcontainanysignificantfinancingcomponentorarerecognizedbytheCompanywithouttakingintoconsiderationthesignificantfinancingcomponentsunderthecontractswithatermoflessthanoneyear,theCompanyusesthesimplemeasurementmethodandrecognizesalossallowanceequaltothelifetimeexpectedcreditlosses.
Withrespecttoleasereceivablesandaccountsreceivablecontainingsignificantfinancingcomponents,theCompanyusesthesimple
measurementmethodandrecognizesalossallowanceequaltothelifetimeexpectedcreditlosses.
Withrespecttofinancialassetsnotusingthemeasurementmethodsstatedabove,ateachbalancesheetdate,theCompanyassesseswhetherthecreditriskhasincreasedsignificantlysinceinitialrecognition,andrecognizesalossallowanceequaltothelifetimeexpectedcreditlossesifthecreditriskhasincreasedsignificantlysinceinitialrecognition,ortotheexpectedcreditlosseswithinthenext12monthsifthecreditriskhasnotincreasedsignificantlysinceinitialrecognition.TheCompanyusesreasonableandsupportableinformation,includingforward-lookinginformation,andcomparesthepossibilityofdefaultatthebalancesheetdatewiththepossibilityofdefaultuponinitialrecognition,todeterminewhetherthecreditriskofthefinancialinstrumentshasincreasedsignificantlysinceinitialrecognition.Atthebalancesheetdate,iftheCompanydeterminesthatafinancialinstrumenthaslowcreditrisk,theCompanyassumesthatitscreditriskhasnotincreasedsignificantlysinceinitialrecognition.TheCompanyassessesexpectedcreditriskandmeasuresexpectedcreditlossesoffinancialinstrumentsindividuallyorcollectively.Whenassessingthefinancialinstrumentscollectively,theCompanyincludesthefinancialinstrumentsindifferentgroupsaccordingtotheircommonriskcharacteristics.
Ateachbalancesheetdate,theCompanyre-assessestheexpectedcreditlosses,withtheamountofincreaseinorreversaloflossallowancerecognizedinprofitorlossforthecurrentperiodasimpairmentlossesorgains.Withrespecttoafinancialassetatamortizedcost,itscarryingamountrecordedinthebalancesheetiswrittenoffagainstthelossallowance.Withrespecttoaninvestmentindebtinstrumentsatfairvaluethroughothercomprehensiveincome,theCompanyrecognizesthelossallowanceinothercomprehensiveincome,withoutreducingitscarryingamount.
(2)Financialinstrumentsforwhichexpectedcreditriskisassessedandexpectedcreditlossesaremeasuredcollectively
Description
| Description | Basisforgrouping | Methodformeasuringexpectedcreditlosses |
| Otherreceivables-groupofreceivablesfromaffiliatescontrolledbythesameactualcontroller | Natureofreceivables | Byreferencetohistoriccreditlossexperience,andtakingintoaccountthecurrentsituationsandpredictionoffutureeconomicconditions,calculatetheexpectedcreditlossesaccordingtothedefaultriskexposureandrateofexpectedcreditlosswithinthenext12monthsoroverthelife. |
| Otherreceivables-groupofdepositandsecurityreceivable | ||
| Otherreceivables-groupingbyage | Age |
(3)Accountsreceivableforwhichexpectedcreditlossesaremeasuredcollectively
Groupsandmethodformeasuringexpectedcreditlosses
| Description | Basisforgrouping | Methodformeasuringexpectedcreditlosses |
| Notesreceivable-banker’sacceptancebills | Typeofbills | Byreferencetohistoriccreditlossexperience,andtakingintoaccountthecurrentsituationsandpredictionoffutureeconomicconditions,calculatetheexpectedcreditlossesaccordingtothedefaultriskexposureandrateoflifetimeexpectedcreditloss. |
| Notesreceivable-commercialacceptancebillsreceivable | ||
| Accountsreceivable-groupofreceivablesfromaffiliatescontrolledbythesameactualcontroller | Groupofreceivablesfromaffiliatescontrolledbythesameactualcontroller | |
| Accountsreceivable-groupingbyage | Age | Byreferencetohistoriccreditlossexperience,andtakingintoaccountthecurrentsituationsandpredictionoffutureeconomicconditions,prepareacomparisontableoftheageofaccountsreceivableandrateoflifetimeexpectedcreditloss,andcalculatetheexpectedcreditlosses. |
Othercurrentassets-loansandadvances
| Othercurrentassets-loansandadvances | Loansandadvances | Byreferencetohistoriccreditlossexperience,andtakingintoaccountthecurrentsituationsandpredictionoffutureeconomicconditions,calculatetheexpectedcreditlossesaccordingtothedefaultriskexposureandrateoflifetimeexpectedcreditloss. |
2)Accountsreceivable-comparisontableoftheageofaccountsreceivableandrateoflifetimeexpectedcreditloss
| Aging | Rateofexpectedcreditlossforaccountsreceivable(%) |
| Group1:Newmediaplatformoperation(HappySunshine) | |
| Within1year(including,thesamebelow) | 5.00 |
| Morethan1yearbutnotexceeding2years | 10.00 |
| Morethan2yearsbutnotexceeding3years | 30.00 |
| Morethan3yearsbutnotexceeding4years | 50.00 |
| Morethan4yearsbutnotexceeding5years | 100.00 |
| Morethan5years | 100.00 |
| Group2:Newmediainteractiveentertainmentproductionandoperation,medialretailsandothers(companiesotherthanHappySunshine) | |
| Within1year(including,thesamebelow) | 1.00 |
| Morethan1yearbutnotexceeding2years | 5.00 |
| Morethan2yearsbutnotexceeding3years | 10.00 |
| Morethan3yearsbutnotexceeding4years | 30.00 |
| Morethan4yearsbutnotexceeding5years | 50.00 |
| Morethan5years | 100.00 |
6.OffsettingoffinancialassetsandfinancialliabilitiesFinancialassetsandfinancialliabilitiesareoffsetandthenetamountreportedinthebalancesheetonlyif:(i)theCompanyhasacurrentlyenforceablelegalrighttooffsettherecognizedamounts;and(ii)theCompanyhasanintentiontosettleonanetbasis,orrealizetheassetsandsettletheliabilitiessimultaneously.Exceptasstatedabove,financialassetsandfinancialliabilitiesarepresentedonthebalancesheetseparately,withoutoffsettingeachother.Withrespecttothetransferoffinancialassetsnotmeetingthecriteriaforderecognition,theCompanydoesnotoffsetthefinancialassetstransferredagainsttherelevantliabilities.
11.Inventories
TheCompanycomplieswiththedisclosurerequirementssetforthinChiNextGuideonIndustrialInformationDisclosureNo.6--InternetVideoBusinessConductedbyListedCompanies.
12.Long-termequityinvestments
1.Criteriafordeterminingjointcontrolandsignificantinfluence
Jointcontrolisthecontractuallyagreedsharingofcontrolofanarrangement,whichexistsonlywhendecisionsabouttherelevantactivitiesrequireunanimousconsentofthepartiessharingcontrol.Significantinfluenceisthepowertoparticipateinthefinancialandoperatingpolicymakingofanentity,butisnotcontrolorjointcontroloverthosepolicies.
2.Determinationofinvestmentcost
(1)Incaseofanequityinvestmentacquiredthroughabusinesscombinationinvolvingentitiesundercommoncontrol,iftheacquirerpaysconsiderationforthebusinesscombinationbycash,transferofnon-monetaryassets,assumptionofliabilitiesorissuanceofequitysecurities,theinitialinvestmentcostofthelong-termequityinvestmentistheCompany’sshareofthecarryingamountoftheowners’equityoftheacquireeintheconsolidatedfinancialstatementsoftheultimatecontrolleratthedateofcombination.Thedifferencebetween:
(i)theinitialinvestmentcostofthelong-termequityinvestment;and(ii)thecarryingamountoftheconsiderationpaidforthecombinationorthetotalparvalueofthesharesissued(asapplicable)istreatedasanadjustmenttothecapitalreserve.Incasethecapitalreserveisnotsufficienttoabsorbthedifference,theremainingbalanceisadjustedagainsttheretainedearnings.
Ifabusinesscombinationisachievedthroughmultipletransactionsbystepsthatconstituteapackagedeal,theCompanyaccountsforsuchtransactionsasonetransactiontoacquirecontrol.Ifsuchtransactionsdonotconstituteapackagedeal,theinitialinvestmentcostistheCompany’sshareofthecarryingamountoftheowners’equityoftheacquireeintheconsolidatedfinancialstatementsoftheultimatecontrolleratthedateofcombination;andthedifferencebetween:(i)theinitialinvestmentcostofthelong-termequityinvestmentatthedateofcombination;and(ii)thesumofthecarryingamountoflong-termequityinvestmentbeforethecombinationandthecarryingamountoftheconsiderationpaidforacquisitionoftheadditionalsharesatthedateofcombinationisadjustedagainstthecapitalreserve.Incasethecapitalreserveisnotsufficienttoabsorbthedifference,theremainingbalanceisadjustedagainsttheretainedearnings.
(2)Incaseofanequityinvestmentacquiredthroughabusinesscombinationinvolvingentitiesnotundercommoncontrol,theinitialinvestmentcostisthefairvalueofthecarryingamountoftheconsiderationpaidforthecombinationatthedateofacquisition.
Withrespecttoalong-termequityinvestmentacquiredthroughabusinesscombinationinvolvingentitiesnotundercommoncontrolthatisachievedthroughmultipletransactionsbysteps,theaccountingtreatmentthereofintheseparatefinancialstatementsisdifferentfromthatintheconsolidatedfinancialstatementsasstatedbelow:
1)Intheseparatefinancialstatements,thesumofthecarryingamountoftheequityinvestmentoriginallyheldintheacquireeandtheadditionalinvestmentcostincurredisrecordedastheinitialinvestmentcostoftheequityinvestmentchangedintothecostmethod.
2)Intheconsolidatedfinancialstatements,ifthetransactionsconstituteapackagedeal,theCompanyaccountsforsuchtransactionsasonetransactiontoacquirecontrol.Ifsuchtransactionsdonotconstituteapackagedeal,theCompanyre-measuresthefairvalueoftheequityheldintheacquireepriortothedateofacquisition,andrecordsthedifferencebetweenthefairvalueandthecarryingamountasinvestmentincomeforthecurrentperiod;iftheequityheldintheacquireepriortothedateofacquisitioninvolvesothercomprehensiveincomeunderequitymethod,suchothercomprehensiveincomeistransferredtotheincomeoftheperiodinwhichthedateofacquisitionfalls,exceptforothercomprehensiveincomearisingfromre-measurementofchangesinnetliabilitiesornetassetsofdefinedbenefitplans.
(3)Incaseofanequityinvestmentnotacquiredthroughbusinesscombination,theinitialinvestmentcostisthepurchasepriceactuallypaidifitisacquiredbycash,orthefairvalueoftheequitysecuritiesissuedifitisacquiredthroughissuanceofequitysecurities,orinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.12--DebtRestructuringifitisacquiredthroughdebtrestructuring,orinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.7--ExchangeofNon-monetaryAssetsifitisacquiredthroughexchangeofnon-monetaryassets.
3.Subsequentmeasurementandrecognitionofprofitofloss
Long-termequityinvestmentsininvesteesaremeasuredusingthecostmethod.Long-termequityinvestmentsinassociatesandjointventuresaremeasuredusingtheequitymethod.
4.Disposalofinvestmentinasubsidiarythroughmultipletransactionsbystepsuntillossofcontroloverthesubsidiary
(1)Separatefinancialstatements
Thedifferencebetweenthecarryingamountoftheequitydisposedofandtheproceedsofdisposalactuallyreceivedisrecognizedinprofitorlossforthecurrentperiod.IftheremainingequityempowerstheCompanytoexercisesignificantinfluenceorjointcontrolovertheinvestee,theremainingequityisaccountedforusingtheequitymethod;iftheremainingequitydoesnotempowertheCompanyto
exercisecontrol,jointcontrolorsignificantinfluenceovertheinvestee,theremainingequityisaccountedforinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.22--RecognitionandMeasurementofFinancialInstruments.
(2)Consolidatedfinancialstatements
1)Disposalofinvestmentinasubsidiarythroughmultipletransactionsbystepsuntillossofcontroloverthesubsidiarywhichdonotconstituteapackagedeal
Priortothelossofcontrol,thedifferencebetweentheproceedsfromdisposalandtheshareownedbytheCompanyinthenetassetsofthesubsidiaryinrelationtothelong-termequityinvestmentdisposedofthatiscalculatedcontinuouslyfromthedateofacquisitionorcombinationisadjustedagainstthecapitalreserve(capitalpremium).Incasethecapitalpremiumisnotsufficienttoabsorbthedifference,theremainingbalanceisadjustedagainsttheretainedearnings.
Whenlosingcontroloverasubsidiary,theremainingequityisre-measuredatitsfairvalueatthedateoflossofcontrol.Thesumoftheconsiderationreceivedfromthedisposaloftheequityandthefairvalueoftheremainingequity,netoftheshareownedbytheCompanyinthenetassetsofthesubsidiaryinrelationtothelong-termequityinvestmentdisposedofascalculatedcontinuouslyfromthedateofacquisitionorcombinationaccordingtothepreviousshareholdingratio,isrecognizedintheinvestmentincomefortheperiodinwhichthecontrolislost,andthegoodwillisreducedaccordingly.Othercomprehensiveincomerelatingtotheequityinvestmentinthesubsidiaryistransferredtotheinvestmentincomefortheperiodinwhichthecontrolislost.
2)Disposalofinvestmentinasubsidiarythroughmultipletransactionsbystepsuntillossofcontroloverthesubsidiarywhichconstituteapackagedeal
TheCompanyaccountsforsuchtransactionsasonetransactiontodisposeofandloseitscontroloverthesubsidiary,however,thedifferencebetweentheproceedsfromeachdisposalbeforelossofcontrolandtheshareownedbytheCompanyinthenetassetsofthesubsidiaryinrelationtotheinvestmentdisposedofisrecognizedinothercomprehensiveincomeintheconsolidatedfinancialstatements,whichiswhollytransferredtotheprofitorlossintheperiodinwhichthecontrolislost.
13.Fixedassets
(1)Criteriaforrecognition
Fixedassetsaretangibleassetsheldforproductionofgoods,renderingofservice,leaseoroperationandmanagementwithausefullifeofmorethanoneaccountingyear.AfixedassetisrecognizediftheeconomicbenefitsrelatingtoitareverylikelytoflowtotheCompanyanditscostcanbereliablymeasured.
(2)Depreciation
Category
| Category | Methodofdepreciation | Estimatedusefullife(years) | Rateofresidualvalue | Annualrateofdepreciation |
| Buildings | Straightlinemethod | 30 | 4% | 3.2% |
| Mechanicalequipment | Straightlinemethod | 3-8 | 0-5% | 11.88-31.67% |
| Transportationequipment | Straightlinemethod | 5-8 | 0-5% | 11.88-20% |
| Electronicequipment,devicesandfurniture | Straightlinemethod | 3-10 | 0-5% | 9.50-31.67% |
Withrespecttoartworkswhoseestimatedusefullifeisuncertain,theCompanydoesnotassesstheirdepreciationbutperformsanimpairmenttestonthemeveryyear.
14.Constructioninprogress
1.AconstructioninprogressisrecognizediftheeconomicbenefitsrelatingtoitareverylikelytoflowtotheCompanyanditscostcanbereliablymeasured.Aconstructioninprogressismeasuredattheactualcostincurredbeforeitiscompletedandreadyforintendeduse.
2.Whenaconstructioninprogressisreadyforintendeduse,itistransferredtofixedassetsatitsactualconstructioncost.Aconstructioninprogressthatisreadyforintendedusebutthefinalsettlementofwhichhasnotyetbeencompletedistransferredtofixedassetsatestimatedvaluefirst,andafterthecompletionoffinalsettlement,theestimatedvalueisadjustedaccordingtotheactualcost,buttheaccrueddepreciationisnotadjusted.
15.Borrowingcosts
1.Recognitionofcapitalizationofborrowingcosts
Borrowingcoststhataredirectlyattributabletotheacquisition,constructionorproductionofaqualifyingassetarecapitalizedaspartofthecostoftheassetwhentheymeettheconditionforcapitalization.Otherborrowingcostsareexpenseswhentheyareincurredandrecognizedinprofitorloss.
2.Periodofcapitalizationofborrowingcosts
(1)Aborrowingcostiscapitalizedwhenallofthefollowingconditionsaresatisfied:(i)theexpendituresontheassethavealreadybeenincurred;(ii)theborrowingcosthasalreadybeenincurred;and(iii)theacquisition,constructionorproductionactivitiesnecessarytopreparetheassetforitsintendeduseorsalehavealreadycommenced.
(2)Capitalizationofborrowingcostsissuspendedduringtheperiodofabnormalinterruptionofacquisition,constructionorproductionofaqualifyingassetwhichlastsformorethanthreeconsecutivemonths.Theborrowingcostsincurredduringtheperiodofsuspensionarerecognizedasexpensesforthecurrentperiod.Thecapitalizationofborrowingcostsissuspendeduntiltheresumptionofacquisition,constructionorproductionactivities.
(3)Capitalizationofborrowingcostsceaseswhenaqualifyingassetacquired,constructedorproducedgetsreadyforitsintendeduseorsale.
3.Rateandamountofcapitalizationofborrowingcosts
Forborrowingsobtainedspeciallyfortheacquisition,constructionorproductionofaqualifyingasset,theamountofcapitalizationoftheborrowingcostsisthecostoftheborrowingsactuallyincurredinthecurrentperiod(includingamortizeddiscountorpremiumdeterminedusingtheeffectiveinterestmethod)lesstheinterestincomefromthepartofborrowingsthathasnotyetbeenutilizedandisdepositedinbanksorinvestmentincomefromtemporaryinvestmentoftheborrowings.Forordinaryborrowingsoccupiedfortheacquisition,constructionorproductionofaqualifyingasset,theamountofborrowingcostseligibleforcapitalizationisdeterminedbymultiplyingtheweightedaverageoftheexcessofcumulativeexpendituresontheassetoverthespecialborrowingsbytherateofcapitalizationoftheordinaryborrowingsoccupied.
16.Intangibleassets
(1)Measurement,servicelifeandimpairmenttest
TheCompanycomplieswiththedisclosurerequirementssetforthinChiNextGuideonIndustrialInformationDisclosureNo.6-InternetVideoBusinessConductedbyListedCompanies.
(2)AccountingpolicyoninternalresearchanddevelopmentexpendituresTheCompanyengagesintheresearchanddevelopmentofsystemsoftware.Expendituresonresearchanddevelopmentprojectsareclassifiedintoexpendituresatresearchphaseandexpendituresatdevelopmentphaseaccordingtothenatureofexpendituresandwhetheritissignificantlyuncertainthattheresearchanddevelopmentactivitieswillresultinintangibleassets.Expendituresatresearchphaseareexpendituresatthephaseofplannedinvestigation,evaluationandselectionforpurposeofsoftwareresearch,whicharerecognizedinprofitorlossfortheperiodinwhichtheyareincurred.Expendituresatthephaseofdesignandtestingforpurposeoffinalapplicationofthesoftwarearerecordedasexpendituresatdevelopmentphase,whicharecapitalizedpriortothefinalapplicationofthesoftwarewhenallofthefollowingconditionsaresatisfied:(i)thedevelopmentofthesoftwarehasbeensufficientlyvalidatedbythetechnicalteam;(ii)themanagementhasapprovedthebudgetforthedevelopmentofthesoftware;(iii)thesystemfunctionsandperformanceofthesoftwaretobedevelopedcansatisfytherequirementsofeconomicactivities;(iv)thetechnicalandfinancialresourcesavailablearesufficienttomeettherequirementsofthedevelopmentactivitiesandsubsequentuseofthesoftware;and(v)theexpendituresattributabletothedevelopmentofthesoftwarecanbereliablymeasured.
17.Impairmentoflong-termassets
Withrespecttolong-termequityinvestments,fixedassets,constructioninprogress,intangibleassetswithafiniteusefullifeandotherlong-termassets,ifthere’sanindicationofimpairmentatthebalancesheetdate,theCompanyassessestheirrecoverableamount.Goodwillarisingfrombusinesscombinationsandintangibleassetswithaninfiniteusefullifearetestedforimpairmenteveryyearregardlessofwhetherthere’sanindicationofimpairment.Goodwillistestedforimpairmenttogetherwiththerelevantgroupsofassetsorcombinationsofgroupsofassets.
Iftherecoverableamountofalong-termassetislessthanitscarryingamount,thedifferenceismeasuredasimpairmentlossoftheassetandrecognizedinprofitorlossforthecurrentperiod.
18.Long-termdeferredexpenses
Long-termdeferredexpensesareexpensesthathavealreadybeenincurredbutshouldbeamortizedoveraperiodofmorethanoneyear(excludingoneyear).Long-termdeferredexpensesarestatedastheamountactuallyincurredandshallbeamortizedevenlybystageswithinthebenefitperiodorspecifiedperiod.Ifanitemoflong-termdeferredexpenseswillnotbenefitthesubsequentperiods,theamortizedvalueoftheitemthathasnotyetbeenamortizediswhollytransferredtoprofitorlossforthecurrentperiod.
19.Employeebenefits
(1)Accountingtreatmentofshort-termemployeebenefits
Theshort-termemployeebenefitsactuallyincurredarerecognizedasliabilitiesintheaccountingperiodduringwhichemployeeservicesarerendered,andincludedinprofitorlossforthecurrentperiodorthecostofrelatedassets.
(2)Accountingtreatmentofpost-employmentbenefits
Post-employmentbenefitsareclassifiedintodefinedcontributionplansanddefinedbenefitplans.
(1)Intheaccountingperiodduringwhichemployeeservicesarerendered,theamountcontributableascalculatedaccordingtothedefinedcontributionplanisrecognizedasliabilitiesandincludedinprofitorlossforthecurrentperiodorthecostofrelatedassets.
(2)Theaccountingtreatmentofadefinedbenefitplangenerallyinvolvesthefollowingsteps:
1)Accordingtotheprojectedunitcreditmethod,usetheunbiasedandconsistentactuarialassumptionstoestimatedemographicvariablesandfinancialvariables,measuretheobligationarisingfromthedefinedbenefitplananddeterminetheperiodtowhichtherelevantobligationbelongs.Meanwhile,discounttheobligationarisingfromthedefinedbenefitplan,inordertodeterminethepresentvalueofthebenefitplanobligationandthecurrentservicecost;
2)Ifthedefinedbenefitplanhasassets,thedeficitorsurplusresultingafterreducingthepresentvalueofthedefinedbenefitplanobligationbythefairvalueofthedefinedbenefitplanisrecognizedasanetliabilityorassetofthedefinedbenefitplan.Ifthedefinedbenefitplanhasasurplus,thenetassetsofthedefinedbenefitplanaremeasuredatthelowerofsurplusinthedefinedbenefitplanandassetceiling;
3)Attheendofthereportingperiod,thecostofemployeebenefitsarisingfromthedefinedbenefitplanisrecordedasservicecost,netinterestonthenetliabilitiesornetassetsofthedefinedbenefitplan,andchangesarisingfromre-measurementofthenetliabilitiesornetassetsofthedefinedbenefitplan,whereintheservicecostandthenetinterestonthenetliabilitiesornetassetsofthedefinedbenefitplanareincludedinprofitorlossforthecurrentperiodorthecostofrelatedassets,andthechangesarisingfromre-measurementofthenetliabilitiesornetassetsofthedefinedbenefitplanareincludedinothercomprehensiveincome,whichwillnotbereservedtoprofitorlossinsubsequentperiods,butmaybetransferredwithinthescopeofequity.
(3)Accountingtreatmentofterminationbenefits
WhentheCompanycannolongerwithdrawtheofferofterminationbenefitsasaresultofterminationofemploymentorredundancy,orrecognizestherestructuringcostsorexpensesrelatingtopaymentofterminationbenefits,whichevertheearlier,theemployeebenefitliabilitiesarisingfromrecognitionofterminationbenefitsarerecognizedinprofitorlossforthecurrentperiod.
(4)Accountingtreatmentofotherlong-termemployeebenefits
Otherlong-termemployeebenefitsareaccountedforinaccordancewiththeprovisionsapplicabletodefinedcontributionplansiftheyarequalifiedasdefinedcontributionplans,otherwise,areaccountedforinaccordancewiththeprovisionsapplicabletodefinedbenefitplans.Inordertosimplifytheaccountingtreatment,thetotalnetamountofthecostofemployeebenefitsarisingfromthedefinedbenefitplansthatisrecordedasservicecost,netinterestonthenetliabilitiesornetassetsofthedefinedbenefitplan,changesarisingfromre-measurementofthenetliabilitiesornetassetsofthedefinedbenefitplanandothercomponentsisincludedinprofitorlossforthecurrentperiodorthecostofrelatedassets.
20.Estimatedliabilities
1.Anobligationarisingfromanyexternalguarantee,litigations,productqualitywarranty,onerouscontractorothercontingenciesisrecognizedasanestimatedliabilityifitisapresentobligationassumedbytheCompany,anditisprobablethatanoutflowofresourcesembodyingeconomicbenefitswillberequiredtosettletheobligation,andtheamountoftheobligationcanbereliablymeasured.
2.Estimatedliabilitiesareinitiallymeasuredaccordingtothebestestimatesoftheexpendituresrequiredtosettletherelatedpresentobligations.Thecarryingamountofestimatedliabilitiesisreviewedatthebalancesheetdate.
21.Revenue
Whetherthenewrevenuerecognitionstandardhasbeenadopted?
√Yes□NoAccountingpolicyadoptedintherecognitionandmeasurementofrevenues
(1)Saleofgoods
Revenuefromsaleofgoodsisrecognizedwhen:(i)theCompanyhastransferredtothebuyerthesignificantrisksandrewardsincidentaltotheownershipofthegoods;(ii)theCompanyretainsneithercontinuingmanagerialinvolvementtothedegreeusuallyassociatedwithownershipnoreffectivecontroloverthegoodssold;(iii)theamountofrevenuecanbemeasuredreliably;(iv)itisprobablethattheeconomicbenefitsassociatedwiththetransactionwillflowtotheCompany;and(v)thecostsincurredortobeincurredinrespectofthetransactioncanbemeasuredreliably.
(2)Renderingofservices
Atthebalancesheetdate,iftheoutcomeofatransactioninvolvingtherenderingofservicescanbeestimatedreliably(whichmeansthattheamountofrevenuecanbemeasuredreliably;itisprobablethattheeconomicbenefitsassociatedwiththetransactionwillflowtotheCompany;thestageofcompletionofthetransactionattheendofthereportingperiodcanbemeasuredreliably,andthecostsincurredforthetransactionandthecoststocompletethetransactioncanbemeasuredreliably),therevenueassociatedwiththetransactionisrecognizedusingthepercentageofcompletionmethod,andthestageofcompletionofthetransactionisdeterminedaccordingtotheproportionoftheservicecostalreadyincurredtotheestimatedtotalcost.Atthebalancesheetdate,iftheoutcomeofatransactioninvolvingtherenderingofservicescannotbeestimatedreliably,thetransactionisaccountedforasfollows:iftheservicecostalreadyincurredisexpectedtoberecoverable,theservicecostalreadyincurredisrecognizedastherevenuefromrenderingofservices,withanequalamountrecordedasservicecost;andiftheservicecostalreadyincurredisexpectedtobeunrecoverable,theservicecostalreadyincurredisrecognizedinprofitorlossforthecurrentperiod,withoutrecognizingrevenuefromrenderingofservice.
(3)UsebyothersoftheCompany’sassets
RevenuefromtheusebyothersoftheCompany’sassetsisrecognizedwhenitisprobablethattheeconomicbenefitsassociatedwiththetransactionwillflowtotheCompanyandtheamountofrevenuecanbemeasuredreliably.InterestincomeisrecognizedaccordingtothetimeofandeffectiveinterestratefortheusebyothersoftheCompany’smonetarycapital.Royaltyrevenueisrecognizedaccordingtothetimeandmethodofpaymentasagreed.
2.Inadditiontothegeneralprinciplesfortherecognitionandmeasurementofrevenuesasstatedabove,theCompany’sspecificprinciplesfortherecognitionandmeasurementofrevenuesearnedinthefollowingsectorsandlinesofbusinessareasfollows:
(1)RevenuefromsaleofgoodsthroughTVchannels,networkchannels,outboundchannels,onlinetoofflinechannelsandotherchannels
ThegoodssoldbytheCompanyaremainlydeliveredbylogisticscompaniestothebuyersorpickedbythebuyersthemselves.TheCompanyrecognizestherevenuefromsaleofgoodswhenthegoodshavebeendeliveredbylogisticscompaniestothebuyersandsignedforbythebuyersandtheperiodforreturnofgoodshasexpired.
Ifthecustomerisagroup,salesrevenueisrecognizedwhenthegrouphasreceivedthegoodsandsignedthereceiptofthegoods.
Ifcreditsareofferedtothecustomersuponsaleofgoods,theCompanyallocatestheamountreceivedorreceivablefromthesaleofgoodsbetweentherevenuefromthesaleofgoodsandthevalueofthecredits,andrecognizestheamountreceivedorreceivablefromthesaleofgoodsnetofthevalueofthecreditsasrevenue,andthevalueofthecreditsasothercurrentliabilities.
Whenthecreditsareexchangedbythecustomers,theportionofothercurrentliabilitiesoriginallyrecognizedinconnectionwiththecreditsexchangedisrecognizedasrevenue,wherein,theamountofrevenuerecognizedisdeterminedaccordingtotheproportionoftheamountofthecreditsexchangedtothetotalestimatedamountofthecreditsexchangeable.
(2)Revenuefromadvertisingservice
Revenuefromadvertisingserviceisrecognizedaftertheadvertisementshavebeendeliveredoraccordingtothesettlementamountduringtheprocessofservicewhenallofthefollowingconditionsaresatisfied:(i)theamountofrevenuecanbemeasuredreliably;(ii)itisprobablethattheeconomicbenefitsassociatedtherewithwillflowtotheCompany;and(iii)thecostsincurredortobeincurredforthedeliveryofadvertisementscanbemeasuredreliably.
(3)Revenuefrommemberservice
Servicerevenueisrecognizedduringthevalidityperiodofmembershiponadailybasisaccordingtothetop-upamountpaidbythe
members.
(4)RoyaltyrevenueRoyaltyrevenueincludescopyrightlicensingrevenueandrevenuefromjointcopyrightinvestment.
1)Copyrightlicensingrevenueisrecognizedwhenthelicensehasbeengrantedtothecounterpartyandthelicensefeehasbeenreceivedortherighttoreceivethelicensefeehasbeenobtainedundertherelevantcopyrightlicensecontract.
2)Revenuefromjointcopyrightinvestment
①Investmentinfilms,TVplaysandprogrammesinwhichtheCompanydoesnotholdcopyright
Applicablebusiness:TheCompanyparticipatesintheproductionofafilmorTVplayinthecapacityofaco-investorundertherelevantinvestmentagreementwhichexplicitlyprovidesthatthereturnoninvestmentreceivablebytheCompanyshallbeafixedincomeorariskinvestmentincomewhereintheCompanydoesnotholdcopyrightasotherinvestors.Incomefromsuchbusinessesisrecognizedasinvestmentincome.
②Investmentinfilms,TVplaysandprogrammesinwhichtheCompanyholdsjointcopyright
Applicablebusiness:TheCompanyparticipatesintheproductionofafilmorTVplayinthecapacityofaco-investorundertherelevantinvestmentagreementwhichexplicitlyprovidesthattheCompanyshallparticipateintheincomedistributionorlosssharingoftheprojectinthecapacityofaco-investorandholdscopyrightthereinjointlywithotherinvestorsinsuchproportionasagreed.RevenuefromdistributionofaTVplayisrecognizedwhentheproductionoftheTVplayhasbeencompleted,thefilmandTVauthorityhasexaminedtheTVplayandissuedaTVPlayReleasePermit,thecopies,tapesandothermediaoftheTVplayhavebeendeliveredtothebuyersanditisprobablethattheeconomicbenefitsassociatedtherewithwillflowtotheCompany.Revenuefromdistributionofafilmisrecognizedwhentheproductionofthefilmhasbeencompleted,thefilmandTVauthorityhasexaminedthefilmplayandissuedaFilmPlayReleasePermit,thefilmhasbeenscreenedintheatersandthesettlementstatementhasbeenreceivedfromtherelevanttheaterchains.Revenuefromdistributionofaprogrammeisrecognizedwhentheproductionoftheprogrammehasbeencompleted,thecopies,tapesandothermediaoftheprogrammehavebeendeliveredtothebuyersanditisprobablethattheeconomicbenefitsassociatedtherewithwillflowtotheCompany.
Suchrevenueisrecognizedintwodifferentways:
IftheCompanyisresponsiblefordistribution,whenthecriteriaforrecognitionofrevenueismet,theCompanyrecognizesthedistributionincomeasagreedasoperatingrevenueandrecordstheshareofincomepayabletotheproductionpartnersasdeductionsfromrevenue.Ifanotherpartyisresponsiblefordistribution,whentheCompanyreceivestheincomesettlementstatementasagreed,theCompanyrecognizestheincomereceivableas“operatingrevenue”.
3)Recognitionofcost
IftheCompanyisresponsiblefortheproductionofandaccountingforafilmorTVplay,thecostactuallyincurredisrecordedas“inventories-productioncost”.Theproductionfeereceivedfromtheinvestorsaccordingtothecontractisinitiallyrecordedas“advancesfromclients”,andwhentheproductionhasbeencompletedandthefilmorTVplayisreadyforrelease,suchamountisoffsetagainsttheinventorycostoffilmandTVplays.IfanotherpartyisresponsiblefortheproductionofandaccountingforthefilmorTVplay,theproductionfeepaidbytheCompanytotheproductionpartneraccordingtothecontractisinitiallyrecordedas“advancestosuppliers”,thetravelexpensesincurredbytheCompanydirectlyinconnectionwiththeprojectisrecordedas“inventories-productioncost”,andwhentheproductionhasbeencompletedandthefilmorTVplayisreadyforrelease,suchamountistransferredtoinventorycost.Afterreceivingthecostorexpensesettlementvouchersorstatementsissuedbytheproducerandauditedorconfirmedbytheco-investors,theassetsoriginallyrecordedareadjustedaccordingtotheactualsettlementamount,bytransferringtheCompany’sshareofthecostofthefilmorTVplayinvestmentprojectfrom“advancesfromclients”to“inventories-productioncost”.AfterobtainingcopyrightinthefilmorTVplayaccordingtothecontract,theactualcostofthefilmorTVplayiswhollytransferredto“inventories-goodsonhand”,andtherevenueearnedisoffsetagainstthecostusingthepercentageofcompletionmethod.Underthepercentageofcompletionmethod,fromthedatethefilmorTVplayisgrantedareleasepermit(i.e.thedateofsatisfactionofthecriteriaforrecognitionofrevenue),duringtheperiodofcosttransfer,theCompanyusesthecosttransferrate(theproportionoftotalcostofthefilmorTVplaytothetotalplannedrevenue)to
calculateanddeterminethecostofsalestobetransferredinthecurrentperiodandtheinventoriestoberecognizedattheendoftheperiod.
(5)RevenuefromoperatorserviceRevenuefromoperatorserviceisrecognizedaccordingtotherelevantbusinesssettlementstatementsorthird-partyortechnicalbackgroundbusinessdataprovidedaccordingtotherelevantcooperationagreement.
TheCompanyrecognizestherevenueaccordingtothesettlementdataprovidedbytheoperatorandconfirmedbytheCompanyandtheoperatorpriortothebalancesheetdate,orifthesettlementdataisnotobtainedfromtheoperatorpriortothebalancesheetdate,accordingtothedatacollectedbythebillingplatformandotherdataandinformationavailabletotheextentthattherevenuecanbemeasuredreliably,andadjuststhesameuponactualsettlement.
(6)Revenuefromsaleofhardware
Revenuefromsaleofhardwareisrecognizedonamonthlybasisaccordingtothequantityofintelligentterminalproductsactuallysoldinthegivenmonthandtheirsellingprices.
(7)Recognitionofrevenuefromartistagentservice
1)Artistperformanceservice
Theserviceperiodisrelativelyshort.Inthisservice,theCompanymainlyhelpstheartistsgivecommercialperformanceorconcerts,andrecognizestherevenueafteracontractedartisthasfulfilledhisorhercontractualobligations.
2)Artistshootingservice
ShootingserviceincludesparticipationbytheartistsintheshootingoffilmsandTVplaysandrecordingofprogrammes.Theserviceperiodisaboutthreemonthsgenerally.TheCompanyrecognizestherevenueafteracontractedartisthasfulfilledhisorhercontractualobligations.
3)Artistendorsementservice
Thetermofanartist’sendorsementisabout1-2yearsgenerally.Duringthetermofendorsement,theartistneedstobefeaturedinvideocommercials,recordthemesongs,andparticipateinpublicrelationsandotheractivities.Therevenueisrecognizedaccordingtothespecificcontractterms.Ifthecontractprovidesthataftertheperformanceoftheobligationsbytheartist,exceptinthecaseofforcemajeure,theservicefeealreadyreceivedbytheCompanywillnotberefunded,andtheservicefeemaybewhollyrecognizedasrevenue.Ifthecontractprovidesthat,exceptinthecaseofforcemajeure,theartistneedstogiveexclusiveendorsementormaintainhisorhergoodimage,therevenueisrecognizedininstallmentsduringthetermofendorsement.
(8)Derivativerevenuefromfilms,TVplaysandprogramme
Derivativerevenuefromfilms,TVplaysandprogrammeisrecognizedaftertheshowingthereof,atsuchtimeasprovidedintherelevantcontract.
(9)Revenuefromgames
Thecompany’srevenuefromgamesmainlyincludesrevenuefromgamecopyright,revenuefromgamedistributionserviceandrevenuefromself-developedgames,whicharerecognizedasfollows:
1)Revenuefromgamecopyrightincludesroyaltyrevenueandminimumguaranteerevenue.TheroyaltiesreceivedbytheCompanyarerecordedasdeferredrevenueuponreceipt,andrecognizedintheoperatingrevenueforthecurrentperiodusingthestraightlinemethodduringthetermofagreement.Theminimumguaranteesreceivedarerecognizedasrevenuewhenalltherisksandrewardshavebeentransferredinaccordancewiththescheduleofpaymentanddivisionofrevenuesasprovidedintherelevantcontractoragreement.
2)GamedistributionserviceissuchamodeofoperationinwhichtheCompanyobtainsalicensetooperateanonlinegameandthenentersintocooperationwithMangoTV,360GameCenterorotherthird-partychannelplatform(s)tojointlyoperatethegame;theplayersofthegameneedtoberegisteredasusersofthethird-partychannel,topuptheiraccountsinthetop-upsystemofthethird-partyplatformtoobtainvirtualcash,andusesuchvirtualcashtopurchasevirtualprops.Inthemodeofjointoperationbyathirdparty,eachthird-partyplatformisresponsiblefortheoperation,promotion,chargingserviceandmanagementofbillingsystemofitschannel,andtheCompanyrecognizesitsshareofrevenueastheoperatingrevenueascalculatedaccordingtothecooperationagreementconcludedwiththe
third-partyplatformandconfirmedbytheCompanyandthethird-partyplatform.
3)Self-developedgamesincludeonlinegamesandstandalonegames.Inthemodeofselfoperationofanonlinegame,theCompanydistributesandoperatesthegamethroughitsownorthird-partychannels,andissolelyresponsiblefortheoperation,promotionandmaintenanceofthegame;theplayersofthegamearedirectlyregisteredwithsuchchannelsandthenlogintothegame,topuptheiraccountstoobtainvirtualcash,andusesuchvirtualcashtopurchasevirtualprops;afterthegamepropspurchasedbytheplayershavebeenusedup,theCompanyrecognizestheamountactuallypaidandconsumedbytheplayersastheoperatingrevenue.Standalonegamesareavailablefordownloadingbytheplayersintheformofamobilestandalonegamepackage.Whenaplayerpurchasespropsofthegame,theembeddedprogramgeneratesabillinginstruction;thetelecomcarrierorserviceprovidersendsabillingcodebytextmessage,andthenthecarrierconfirmsthedeductionoftherelevanttelephonechargetocompletetheprocessofbillingandpayment.Thedeductionandpaymentoftheinformationchargeforthemobilestandalonegameisirrevocable.Afterthedeductionofsuchchargebythecarrier,therisksandrewardsaretransferredtotheusers.TheCompany’sstandalonegamesaredistributedjointlywiththirdparties.Aftertheusershavedownloadedandinstalledthegames,theCompanyisnotresponsibleforthemanagementofthegamesorotherwiserestrictstheuseofthegamesbytheusers,thatis,theCompanydoesnothavecontroloversuchgames.Insuchmode,theCompanyrecognizesitsshareofrevenueastheoperatingrevenueascalculatedaccordingtothecooperationagreementconcludedwiththerelevantthird-partyplatformandconfirmedbytheCompanyandthethird-partyplatform.
(10)RevenuefromH5interaction
RevenuefromH5interactionmainlycomesfromH5interactiveadvertisementsplacedbyclientsinthetelevisionprogrammesofHunanSatelliteTV,andisrecognizedaftertheshowingoftherelevantprogrammesonTV.
(11)Revenuefromwirelessvalue-addedservice
Accordingtothewirelessvalue-addedservicecontractconcludedbytheCompanyandtherelevantclient,ifthecontractspecifiesthetotalcontractprice,thecontractpriceisallocatedaccordingtothescheduleofpaymentduringthetermoflicensespecifiedthereinifthecontractpricewillbepaidininstallments,orwhollyrecognizedasrevenueafterthedeliveryofserviceifthecontractpricewillbepaidinonelumpsum.Ifthecontractdoesnotspecifythetotalcontractprice,therevenueisrecognizedaccordingtothesettlementstatementsprovidedbytheclient.
Differenceintheaccountingpolicyforrevenuerecognitionarisingfromadoptionofdifferentmodesofoperationforthesamekindofbusiness
None
22.Governmentgrants
1.Governmentgrantsarerecognizedif(i)theCompanymeetstheconditionsattachingtothegovernmentgrants;and(ii)theCompanywillreceivethegovernmentgrants.Governmentgrantsintheformofmonetaryassetsaremeasuredattheamountreceivedorreceivable.Governmentgrantsintheformofnon-monetaryassetsaremeasuredatfairvalue,oriftheirfairvalueisunavailable,atnominalamount.
2.Determinationandaccountingtreatmentofgovernmentgrantsrelatedtoassets
Governmentgrantsrelatedtoassetsaregovernmentgrantswhichareofferedforpurchasing,constructingorotherwiseacquiringlong-termassetsasprovidedbytheapplicablegovernmentdocuments,orintheabsenceofsuchexpressprovisionintheapplicablegovernmentdocuments,whoseprimaryconditionisthattheCompanyshouldpurchase,constructorotherwiseacquirelong-termassets.Governmentgrantsrelatedtoassetsareoffsetagainstthecarryingamountoftherelevantassetsorrecognizedasdeferredincome.Governmentgrantsrelatedtoassetsrecognizedasdeferredincomeshallbeincludedinprofitorlossovertheservicelifeoftherelevantassetsonareasonableandsystemicbasis.Governmentgrantsmeasuredatnominalamountaredirectlyrecognizedinprofitorlossforthecurrentperiod.Incaseofsale,transfer,retirementordamageoftherelevantassetsbeforetheendofintendedservicelife,thebalanceoftheunallocateddeferredincomeistransferredtoprofitorlossfortheperiodinwhichtheassetsaredisposedof.
3.DeterminationandaccountingtreatmentofgovernmentgrantsrelatedtoincomeGovernmentgrantsrelatedtoincomearegovernmentgrantsotherthanthoserelatedtoassets.Governmentgrantsrelatedtobothassetsandincomeinwhichitisdifficulttomakeadistinctionbetweentheportionrelatedtoassetsandtheportionrelatedtoincomearewhollyclassifiedasgovernmentgrantsrelatedtoincome.Governmentgrantsrelatedtoincomeascompensationforexpensesorlossestobeincurredinsubsequentperiodsarerecognizedasdeferredincomeandintheperiodforrecognizingtherelevantcosts,expensesorlosses,includedinprofitorlossforthecurrentperiodoroffsetagainsttherelevantcosts.Governmentgrantsrelatedtoincomeascompensationforexpensesorlossesalreadyincurredaredirectlyincludedinprofitorlossforthecurrentperiodoroffsetagainsttherelevantcosts.
Governmentgrantsrelatedtoday-to-dayoperationsoftheCompanyarerecognizedinotherincomeoroffsetagainsttherelevantcostsandexpensesdependingonthenatureofeconomicbusiness.Governmentgrantsnotrelatedtoday-to-dayoperationsoftheCompanyarerecognizedinnon-operatingrevenuesorexpenses.
5.Accountingtreatmentofpolicypreferentialloansandinterestsubsidies
(1)IftheMinistryofFinanceappropriatestheinterestsubsidiestothelendingbank,whothengrantstheloantotheCompanyatthepolicypreferentialrate,theloanisstatedastheamountactuallyreceived,andtheborrowingcostiscalculatedaccordingtotheprincipaloftheloanandthepolicypreferentialrate.
(2)IftheMinistryofFinancedirectlyappropriatestheinterestsubsidiestotheCompany,theinterestsubsidiesareoffsetagainsttheborrowingcost.
23.Deferredtaxassetsanddeferredtaxliabilities
1.Thedifferencebetweenthetaxbaseofanassetorliabilityanditscarryingamount(orincaseofanitemnotrecognizedasassetorliabilitywhosetaxbasecanbedeterminedaccordingtotheapplicabletaxlaw),thedifferencebetweenitstaxbaseandcarryingamountisrecognizedasadeferredtaxassetordeferredtaxliabilityaccordingtothetaxrateapplicabletotheperiodinwhichtheassetorliabilityisexpectedtoberecoveredorsettled.
2.Deferredincometaxassetsarerecognizedtotheextentoftheamountofincometaxpayablethatwillbeavailableinfutureperiodsagainstwhichdeductibletemporarydifferencesaredeductible.Atthebalancesheetdate,deferredtaxassetsnotrecognizedinpriorperiodsarerecognizedifthere’sconclusiveevidencethatitisprobablethatsufficienttaxableincomewillbeavailableinfutureperiodsagainstwhichthedeductibletemporarydifferencesaredeductible.
3.Atthebalancesheetdate,thecarryingamountofdeferredincometaxassetsisreviewedandreducedtotheextentthatitisnolongerprobablethatsufficienttaxableincomewillbeavailableinfutureperiodstoallowthebenefitofthedeferredtaxassetstobeutilized.Ifitisprobablethatsufficienttaxableincomewillbeavailable,thereducedamountisreversed.
Theincometaxesanddeferredincometaxesareincludedinprofitorlossforthecurrentperiodasincometaxexpensesorgains,excepttheincometaxesarisingfromany:(i)businesscombination;or(ii)transactionoreventdirectlyrecognizedinowners’equity.
24.Leases
(1)Accountingtreatmentofoperatingleases
IftheCompanyisalessee,therentspaidbytheCompanyareincludedinthecostsoftherelevantassetsorinprofitorlossforthecurrentperiodoverthewholeleasetermonastraightlinebasis.TheinitialdirectcostincurredbytheCompanyisdirectlyrecognizedinprofitorlossforthecurrentperiod.Contingentrentsarerecognizedinprofitorlossintheperiodinwhichtheyareincurred.
IftheCompanyisalessor,therentsreceivedbytheCompanyarerecognizedinprofitorlossforthecurrentperiodoverthewholeleasetermonastraightlinebasis.TheinitialdirectcostincurredbytheCompanyisdirectlyrecognizedinprofitorlossforthecurrentperiod.However,ifsuchinitialdirectcostisofalargeamount,theinitialdirectcostiscapitalizedandrecognizedinprofitorlossby
installments.Contingentrentsarerecognizedinprofitorlossintheperiodinwhichtheyareincurred.
25.OthersignificantaccountingpoliciesandaccountingestimatesCustomercreditpolicyTheaccountingforcustomercreditsrequiresanestimateofthefairvalueandthetimeandpossibilityofuseofcredits.Valuationandrecordingofcustomercreditsrequirejudgmentandestimation.Iftheresultofre-estimationisdifferentfromthecurrentestimation,suchdifferencewillaffectthecarryingamountofothercurrentliabilitiesfortheperiodinwhichtheestimationischanged.
26.Changesinsignificantaccountingpoliciesandaccountingestimates
(1)Changesinsignificantaccountingpolicies
√Applicable□N/A
Changesinaccountingpoliciesand
associatedreasons
| Changesinaccountingpoliciesandassociatedreasons | Approvalprocedure | Remarks |
| ChangesinaccountingpoliciescausedbychangesinAccountingStandardsforBusinessEnterprises | ApprovedbytheCompanyinthe24thconferenceofthe3rdboardofdirectorsheldonAugust28,2019. | NoticeonIssuingtheRevisedPresentationofFinancialStatementsforGeneralBusinessEnterprisesfor2019(CaiKuai[2019]No.6) |
| ChangesinaccountingpoliciescausedbychangesinAccountingStandardsforBusinessEnterprises | ApprovedbytheCompanyinthe21stconferenceofthe3rdboardofdirectorsheldonApril27,2019. | Newfinancialinstrumentstandards |
ChangesinaccountingpoliciescausedbychangesinAccountingStandardsforBusinessEnterprises
1.TheCompanypreparedthefinancialstatementsof2019inaccordancewiththeNoticeonIssuingtheRevisedPresentationofFinancialStatementsforGeneralBusinessEnterprisesfor2019(CaiKuai[2019]No.6)andtheNoticeonIssuingtheRevisedPresentationofConsolidatedFinancialStatements(2019)(CaiKuai[2019]No.16)issuedbytheMinistryofFinanceandrequirementsofAccountingStandardsforBusinessEnterpriseswithretrospectiveadjustmentssubjecttothechangesinaccountingpolicies.ThefollowingsaresignificantlyinfluencedlineitemsandamountsintheCompany’s2018financialstatements.
| Originallineitemsandamounts | Newlineitemsandamounts | ||
| Notesandaccountsreceivable | 1,434,076,919.84 | Notesreceivable | 93,200,000.00 |
| Accountsreceivable | 1,340,876,919.84 | ||
| Notesandaccountspayable | 3,629,798,813.26 | Notespayable | 266,521,867.49 |
| Accountspayable | 3,363,276,945.77 | ||
| Administrativeexpenses | 461,550,996.24 | Administrativeexpenses | 461,222,685.56 |
| Researchanddevelopmentexpenses | 220,555,885.64 | Researchanddevelopmentexpenses | 220,884,196.32 |
2.TheCompanyhasimplementedtheAccountingStandardforBusinessEnterprisesNo.22–FinancialInstruments:RecognitionandMeasurement,theAccountingStandardforBusinessEnterprisesNo.23–TransferofFinancialAssets,theAccountingStandardforBusinessEnterprisesNo.24–HedgeAccountingandtheAccountingStandardforBusinessEnterprisesNo.37–FinancialInstruments:
Presentation(hereinafterreferredtoas“newfinancialinstrumentstandards”)revisedbytheMinistryofFinancesinceJanuary1,2019.Asrequiredbythesenewfinancialinstrumentstandards,informationinthecomparativeperiodcannotbeadjusted,buttheopeningbalancesof
retainedearningsandothercomprehensiveincomeinthisreportshallbeadjustedretrospectivelyforanydifferencebetweenthebalancesubjecttothenewstandardsandthebalancesubjecttothepreviousstandardsatthefirstimplementationdate.Inaccordancewiththenewfinancialinstrumentstandards,classificationandmeasurementoffinancialassetsarechangedintothreemeasurementcategories:amortizedcost,fairvaluethroughothercomprehensiveincome,andfairvaluethroughprofitorloss.TheCompanyadoptsaforementionedclassificationonthebasisofitsownbusinessmodelandthecontractualcashflowcharacteristicsoffinancialassets.Equityinvestmentsshouldbemeasuredatfairvaluethroughprofitorlosswhilenon-equityinvestmentscanbeselectedtobemeasuredatfairvaluethroughothercomprehensiveincomeattheinitialrecognition(inwhichthegainsorlossesfromdisposalcannotbereversedtoprofitorloss,butthedividendincomecanberecognizedasthecurrentprofitorloss),buttheselectionisirrevocable.
Inaccordancewiththenewfinancialinstrumentstandards,the“expectedcreditlossmodel”hasreplacedthe“incurredlossmodel”tomeasuretheimpairmentoffinancialassets,whichisapplicabletofinancialassetsmeasuredatamortizedcost,financialassetsatfairvaluethroughothercomprehensiveincomeandleasereceivable.
(1)Thenewfinancialinstrumentstandards,whenimplemented,willmainlybringthefollowinginfluencestotheCompany’sfinancialstatementsasatJanuary1,2019.
Item
| Item | Balancesheet | ||
| December31,2018 | Adjustmentinfluenceofnewfinancialinstrumentstandards | January1,2019 | |
| Held-for-tradingfinancialassets | 63,804,483.36 | 63,804,483.36 | |
| Otherreceivables | 76,062,850.29 | -140,008.53 | 75,922,841.76 |
| Othercurrentassets | 403,909,258.64 | 140,008.53 | 404,049,267.17 |
| Available-for-salefinancialassets | 96,836,483.33 | -96,836,483.33 | |
| Othernon-currentfinancialassets | 33,031,999.97 | 33,031,999.97 | |
| Short-termborrowings | 196,097,600.00 | 224,226.31 | 196,321,826.31 |
| Otherpayables | 180,049,111.27 | -224,226.31 | 179,824,884.96 |
(2)AsatJanuary1,2019,thecomparisonresultsoftheclassificationandmeasurementoftheCompany’sfinancialassetsandliabilitiesunderthepreviousandnewfinancialinstrumentstandardsaresetoutasbelow:
| Item | Previousfinancialinstrumentstandards | Newfinancialinstrumentstandards | ||
| Measurementcategory | Carryingamount | Measurementcategory | Carryingamount | |
| Cashandbankbalances | Loansandreceivables | 2,526,409,541.40 | financialassetsmeasuredatamortizedcost | 2,526,409,541.40 |
| Notesreceivable | Loansandreceivables | 93,200,000.00 | financialassetsmeasuredatamortizedcost | 93,200,000.00 |
| Accountsreceivable | Loansandreceivables | 1,340,876,919.84 | financialassetsmeasuredatamortizedcost | 1,340,876,919.84 |
| Otherreceivables | Loansandreceivables | 76,062,850.29 | financialassetsmeasuredatamortizedcost | 75,922,841.76 |
| Othercurrentassets(loans) | Loansandreceivables | 83,633,344.28 | financialassetsmeasuredatamortizedcost | 83,773,352.81 |
Available-for-salefinancialassets
| Available-for-salefinancialassets | Available-for-salefinancialassets | 96,836,483.33 | Financialassetsatfairvaluethroughprofitorloss | 96,836,483.33 |
| Short-termborrowings | Otherfinancialliabilities | 196,097,600.00 | financialliabilitiesmeasuredatamortizedcost | 196,321,826.31 |
| Notespayable | Otherfinancialliabilities | 266,521,867.49 | financialliabilitiesmeasuredatamortizedcost | 266,521,867.49 |
| Accountspayable | Otherfinancialliabilities | 3,363,276,945.77 | financialliabilitiesmeasuredatamortizedcost | 3,363,276,945.77 |
| Otherpayables | Otherfinancialliabilities | 180,049,111.27 | financialliabilitiesmeasuredatamortizedcost | 179,824,884.96 |
(3)ReconciliationofthepreviouscarryingamountsoftheCompany’sfinancialassetsandliabilitiestothenewcarryingamountsoftheCompany’sfinancialassetsandliabilitiesclassifiedandmeasuredundertherequirementofnewfinancialinstrumentstandardsasatJanuary1,2019:
| Item | Carryingamountpresentedsubjecttothepreviousfinancialinstrumentstandards(December31,2018) | Reclassification | Remeasurement | Carryingamountpresentedsubjecttothenewfinancialinstrumentstandards(January1,2019) |
| 1.Financialassets | ||||
| A.Financialassetsatamortizedassets | ||||
| Cashandbankbalances | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 2,526,409,541.40 | 2,526,409,541.40 | ||
| Notesreceivable | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 93,200,000.00 | 93,200,000.00 | ||
| Accountsreceivable | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 1,340,876,919.84 | 1,340,876,919.84 | ||
| Otherreceivables | ||||
| BalancepresentedunderpreviousCAS22 | 76,062,850.29 | |||
| Less:transferredtoamortizedcost(NewCAS22) | -140,008.53 | |||
| BalancepresentedundernewCAS22 | 75,922,841.76 | |||
| Othercurrentassets(loans) | ||||
| BalancepresentedunderpreviousCAS22 | 83,633,344.28 | |||
Add:transferredfromamortizedcost(previousCAS22)
| Add:transferredfromamortizedcost(previousCAS22) | 140,008.53 | |||
| BalancepresentedundernewCAS22 | 83,773,352.81 | |||
| Totalfinancialassetsmeasuredatamortizedcost | 4,120,182,655.81 | 4,120,182,655.81 | ||
| B.Financialassetsatfairvaluethroughprofitorloss | ||||
| Available-for-salefinancialassets | ||||
| BalancepresentedunderpreviousCAS22 | 96,836,483.33 | |||
| Reclassification:Financialassetsatfairvaluethroughprofitorloss | -96,836,483.33 | |||
| Financialassetsatfairvaluethroughprofitorloss | ||||
| Reclassification:Financialassetsatfairvaluethroughprofitorloss | 96,836,483.33 | |||
| BalancepresentedundernewCAS22-Held-for-tradingfinancialassets | 63,804,483.36 | |||
| BalancepresentedundernewCAS22-Othernon-currentfinancialassets | 33,031,999.97 | |||
| Totalfinancialassetsatfairvaluethroughprofitorloss | 96,836,483.33 | 96,836,483.33 | ||
| 2)Financialliabilities | ||||
| A.Financialliabilitiesatamortizedcost | ||||
| Short-termborrowings | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 196,097,600.00 | |||
| Add:transferredfromamortizedcost(previousCAS22) | 224,226.31 | |||
| BalancepresentedundernewCAS22 | 196,321,826.31 | |||
| Notespayable | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 266,521,867.49 | 266,521,867.49 | ||
| Accountspayable | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 3,363,276,945.77 | 3,363,276,945.77 | ||
| Otherpayables | ||||
| BalancepresentedunderpreviousCAS22andnewCAS22 | 180,049,111.27 | |||
Less:transferredtoamortizedcost(NewCAS22)
| Less:transferredtoamortizedcost(NewCAS22) | -224,226.31 | |||
| BalancepresentedundernewCAS22 | 179,824,884.96 | |||
| Totalfinancialliabilitiesmeasuredatamortizedcost | 4,005,945,524.53 | 4,005,945,524.53 |
(4)ReconciliationofthepreviousclosingbalanceoftheprovisionforimpairmentoffinancialassetstothenewbalanceofprovisionforimpairmentoffinancialassetsclassifiedandmeasuredundertherequirementofnewfinancialinstrumentstandardsasatJanuary1,2019:
| Item | Provisionforlossesmadesubjecttothepreviousfinancialinstrumentstandards(December31,2018) | Reclassification | Remeasurement | Provisionforlossesmadesubjecttothenewfinancialinstrumentstandards(January1,2019) |
| Accountsreceivable | 79,407,495.38 | 79,407,495.38 | ||
| Otherreceivables | 3,266,415.65 | 3,266,415.65 | ||
| Othercurrentassets-issuedloans | 501,517.51 | 501,517.51 | ||
| Available-for-salefinancialassets | 195,516.64 | -195,516.64 | ||
| Held-for-tradingfinancialassets | 195,516.64 | 195,516.64 |
(2)Changesinsignificantaccountingestimates
□Applicable√N/A
(3)Descriptionofadjustmentsinopeningbalancesoflineitemsinfinancialstatementsoftheyearduetoimplementationofnewfinancialinstrumentstandards,newincomestandardandnewleasestandardsince2019
√Applicable□N/AConsolidatedbalancesheet
InRMB
| Item | December31,2018 | January1,2019 | Adjustedamount |
| CurrentAssets: | |||
| Cashandbankbalances | 2,526,409,541.40 | 2,526,409,541.40 | |
| Balanceswithclearingagencies | |||
| Placementswithbanksandotherfinancialinstitutions | |||
| Held-for-tradingfinancialassets | 63,804,483.36 | 63,804,483.36 | |
| Financialassetsatfair |
valuethroughprofitorloss
| valuethroughprofitorloss | |||
| Derivativefinancialassets | |||
| Notesreceivable | 93,200,000.00 | 93,200,000.00 | |
| Accountsreceivable | 1,340,876,919.84 | 1,340,876,919.84 | |
| Receivablefinancing | |||
| Prepayments | 2,010,093,252.71 | 2,010,093,252.71 | |
| Premiumsreceivable | |||
| Amountsreceivableunderreinsurancecontracts | |||
| Reinsurer’sshareofinsurancecontractreserves | |||
| Otherreceivables | 76,062,850.29 | 75,922,841.76 | -140,008.53 |
| Including:Interestreceivable | 140,008.53 | -140,008.53 | |
| Dividendsreceivable | |||
| Financialassetspurchasedunderresaleagreements | |||
| Inventories | 2,214,812,395.09 | 2,214,812,395.09 | |
| Contractasset | |||
| Held-for-saleassets | |||
| Non-currentassetsduewithinoneyear | |||
| Othercurrentassets | 403,909,258.64 | 404,049,267.17 | 140,008.53 |
| Totalcurrentassets | 8,665,364,217.97 | 8,729,168,701.33 | 63,804,483.36 |
| Non-currentAssets: | |||
| Loansandadvancestocustomers | |||
| Debtinvestments | |||
| Available-for-salefinancialassets | 96,836,483.33 | 0.00 | -96,836,483.33 |
| Otherdebtinvestments | |||
| Held-to-maturityinvestments | |||
| Long-termreceivables |
Long-termequityinvestments
| Long-termequityinvestments | 215,541,625.97 | 215,541,625.97 | |
| Otherinvestmentsinequityinstruments | |||
| Othernon-currentfinancialassets | 33,031,999.97 | 33,031,999.97 | |
| Investmentproperties | |||
| Fixedassets | 207,007,011.52 | 207,007,011.52 | |
| Constructioninprogress | |||
| Bearerbiologicalassets | |||
| Oilandgasassets | |||
| Useofrightassets | |||
| Intangibleassets | 2,856,319,746.25 | 2,856,319,746.25 | |
| Developmentexpenditure | |||
| Goodwill | |||
| Long-termprepaidexpenses | 65,989,740.93 | 65,989,740.93 | |
| Deferredtaxassets | 3,938,878.58 | 3,938,878.58 | |
| Othernon-currentassets | 379,080.00 | 379,080.00 | |
| Totalnon-currentassets | 3,446,012,566.58 | 3,382,208,083.22 | -63,804,483.36 |
| Totalassets | 12,111,376,784.55 | 12,111,376,784.55 | |
| Currentliabilities: | |||
| Short-termborrowings | 196,097,600.00 | 196,321,826.31 | 224,226.31 |
| Loansfromthecentralbank | |||
| Takingfrombanksandotherfinancialinstitutions | |||
| Held-fortradingfinancialliabilities | |||
| Financialliabilitiesatfairvaluethroughprofitorloss | |||
| Derivativefinancialliabilities | |||
| Notespayable | 266,521,867.49 | 266,521,867.49 |
Accountspayable
| Accountspayable | 3,363,276,945.77 | 3,363,276,945.77 | |
| Receiptsinadvance | 1,548,908,099.25 | 1,548,908,099.25 | |
| Contractliabilities | |||
| Financialassetssoldunderrepurchaseagreements | |||
| Customerdepositsanddepositsfrombanksandotherfinancialinstitutions | |||
| Fundsfromsecuritiestradingagency | |||
| Fundsfromunderwritingsecuritiesagency | |||
| Employeebenefitspayable | 431,382,836.47 | 431,382,836.47 | |
| Taxespayable | 133,505,920.73 | 133,505,920.73 | |
| Otherpayables | 180,049,111.27 | 179,824,884.96 | -224,226.31 |
| Including:Interestpayable | 224,226.31 | -224,226.31 | |
| Dividendspayable | |||
| Feesandcommissionspayable | |||
| Amountspayableunderreinsurancecontracts | |||
| Held-for-saleliabilities | |||
| Non-currentliabilitiesduewithinoneyears | |||
| Othercurrentliabilities | 59,715,071.74 | 59,715,071.74 | |
| TotalCurrentLiabilities | 6,179,457,452.72 | 6,179,457,452.72 | |
| Non-currentliabilities: | |||
| Insurancecontractreserves | |||
| Long-termborrowings | |||
| Bondspayable | |||
| Including:Preferredshares |
Perpetualbonds
| Perpetualbonds | ||
| Leaseliabilities | ||
| Long-termpayables | 2,500,000.00 | 2,500,000.00 |
| Long-termemployeebenefitspayable | 33,450,000.00 | 33,450,000.00 |
| Provisions | 9,127,973.60 | 9,127,973.60 |
| Deferredincome | 212,587,159.24 | 212,587,159.24 |
| Deferredtaxliabilities | ||
| Othernon-currentliabilities | ||
| TotalNon-currentLiabilities | 257,665,132.84 | 257,665,132.84 |
| TotalLiabilities | 6,437,122,585.56 | 6,437,122,585.56 |
| Owner’sequity: | ||
| Sharecapital | 990,023,518.00 | 990,023,518.00 |
| Otherequityinstruments | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Capitalreserve | 3,641,091,029.73 | 3,641,091,029.73 |
| Less:Treasuryshares | ||
| Othercomprehensiveincome | ||
| Specialreserve | ||
| Surplusreserve | 84,782,321.71 | 84,782,321.71 |
| Generalriskreserve | ||
| Retainedprofits | 923,476,426.28 | 923,476,426.28 |
| Totalowners’equityattributabletoequityholdersoftheCompany | 5,639,373,295.72 | 5,639,373,295.72 |
| Minorityinterests | 34,880,903.27 | 34,880,903.27 |
| Totalowners’equity | 5,674,254,198.99 | 5,674,254,198.99 |
| Totalliabilitiesandowners’equity | 12,111,376,784.55 | 12,111,376,784.55 |
Descriptionofadjustments
TheCompany’sbalancesheet
InRMB
Item
| Item | December31,2018 | January1,2019 | Adjustedamount |
| CurrentAssets: | |||
| Cashandbankbalances | 424,688,362.92 | 424,688,362.92 | |
| Held-for-tradingfinancialassets | 60,000,000.00 | 60,000,000.00 | |
| Financialassetsatfairvaluethroughprofitorloss | |||
| Derivativefinancialassets | |||
| Notesreceivable | |||
| Accountsreceivable | 26,730.00 | 26,730.00 | |
| Receivablefinancing | |||
| Prepayments | 334,467.79 | 334,467.79 | |
| Otherreceivables | 100,010,740.28 | 100,010,740.28 | |
| Including:Interestreceivable | |||
| Dividendsreceivable | |||
| Inventories | |||
| Contractasset | |||
| Held-for-saleassets | |||
| Non-currentassetsduewithinoneyear | |||
| Othercurrentassets | 63,914,310.51 | 63,914,310.51 | |
| Totalcurrentassets | 588,974,611.50 | 648,974,611.50 | 60,000,000.00 |
| Non-currentAssets: | |||
| Debtinvestments | |||
| Available-for-salefinancialassets | 60,000,000.00 | 0.00 | -60,000,000.00 |
| Otherdebtinvestments | |||
| Held-to-maturityinvestments | |||
| Long-termreceivables |
Long-termequityinvestments
| Long-termequityinvestments | 5,988,107,494.76 | 5,988,107,494.76 | |
| Otherinvestmentsinequityinstruments | |||
| Othernon-currentfinancialassets | |||
| Investmentproperties | |||
| Fixedassets | 154,830.11 | 154,830.11 | |
| Constructioninprogress | |||
| Bearerbiologicalassets | |||
| Oilandgasassets | |||
| Useofrightassets | |||
| Intangibleassets | |||
| Developmentexpenditure | |||
| Goodwill | |||
| Long-termprepaidexpenses | |||
| Deferredtaxassets | |||
| Othernon-currentassets | |||
| Totalnon-currentassets | 6,048,262,324.87 | 5,988,262,324.87 | -60,000,000.00 |
| Totalassets | 6,637,236,936.37 | 6,637,236,936.37 | |
| Currentliabilities: | |||
| Short-termborrowings | |||
| Held-fortradingfinancialliabilities | |||
| Financialliabilitiesatfairvaluethroughprofitorloss | |||
| Derivativefinancialliabilities | |||
| Notespayable | |||
| Accountspayable | |||
| Receiptsinadvance | |||
| Contractliabilities | |||
| Employeebenefits | 4,345,887.98 | 4,345,887.98 |
payable
| payable | ||
| Taxespayable | 252,068.99 | 252,068.99 |
| Otherpayables | 24,703,635.89 | 24,703,635.89 |
| Including:Interestpayable | ||
| Dividendspayable | ||
| Held-for-saleliabilities | ||
| Non-currentliabilitiesduewithinoneyears | ||
| Othercurrentliabilities | ||
| TotalCurrentLiabilities | 29,301,592.86 | 29,301,592.86 |
| Non-currentliabilities: | ||
| Long-termborrowings | ||
| Bondspayable | ||
| Including:Preferredshares | ||
| Perpetualbonds | ||
| Leaseliabilities | ||
| Long-termpayables | ||
| Long-termemployeebenefitspayable | ||
| Provisions | ||
| Deferredincome | ||
| Deferredtaxliabilities | ||
| Othernon-currentliabilities | ||
| TotalNon-currentLiabilities | ||
| TotalLiabilities | 29,301,592.86 | 29,301,592.86 |
| Owner’sequity: | ||
| Sharecapital | 990,023,518.00 | 990,023,518.00 |
| Otherequityinstruments | ||
| Including:Preferredshares | ||
| Perpetual |
bonds
| bonds | ||
| Capitalreserve | 4,981,487,333.74 | 4,981,487,333.74 |
| Less:Treasuryshares | ||
| Othercomprehensiveincome | ||
| Specialreserve | ||
| Surplusreserve | 84,782,321.71 | 84,782,321.71 |
| Retainedprofits | 551,642,170.06 | 551,642,170.06 |
| Totalowners’equity | 6,607,935,343.51 | 6,607,935,343.51 |
| Totalliabilitiesandowners’equity | 6,637,236,936.37 | 6,637,236,936.37 |
DescriptionofadjustmentsInMarch2017,theMinistryofFinancerevisedtheAccountingStandardforBusinessEnterprisesNo.22–FinancialInstruments:
RecognitionandMeasurement,theAccountingStandardforBusinessEnterprisesNo.23–TransferofFinancialAssets,theAccountingStandardforBusinessEnterprisesNo.24–HedgeAccountingandtheAccountingStandardforBusinessEnterprisesNo.37-FinancialInstruments:PresentationandrequireddomesticlistedcompaniestoimplementtheserevisedstandardssinceJanuary1,2019.Asrequiredbythesestandards,enterprisesshouldclassifyandmeasurefinancialinstrumentssubjecttorevisedstandards.Comparativefinancialstatementdatainpriorperiodsunsatisfyingtherevisedstandardsarenotrequiredtomakeadjustments.TheCompanyaccountsforavailable-for-salefinancialassetsunderthelineitemofheld-for-tradingfinancialassetsinthefirstimplementationofnewfinancialinstrumentstandards.
(4)Descriptionofretrospectiveadjustmentsincomparativedatainpriorperiodsduetoimplementationofnewfinancialinstrumentstandardsornewleasestandardin2019
□Applicable√N/A
VI.TAXES
1.Majorcategoriesoftaxesandtaxrates
| Categoryoftax | Basisoftaxcomputation | Taxrate |
| VAT | Salesofgoodsorrenderingoftaxableservices | 16%,13%,10%,9%,5%,6%,3% |
| Consumptiontax | Taxablesalesturnover(volume) | 5% |
| Citymaintenanceandconstructiontax | Turnovertaxpayable | 7%、5% |
| Enterpriseincometax | Taxableincome | 0%,8.25%,12.5%,15%,16.5%,25% |
| Propertytax |
torent,thetaxiscalculatedas12%oftherentalincome.
| torent,thetaxiscalculatedas12%oftherentalincome. | ||
| Educationsurcharges | Turnovertaxpayable | 3% |
| Localeducationsurcharges | Turnovertaxpayable | 2% |
| DevelopmentFeesforCulturalUndertakings | Taxableserviceincomesubjecttotaxlaws | 3% |
Disclosureoftaxpayerswithdifferentratesofenterpriseincometax:
| Taxpayer | Rateofenterpriseincometax |
| HappigoCo.,Ltd. | Taxexemption |
| HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd. | Taxexemption |
| HorgosHappySunshineMediaCo.,Ltd. | Taxexemption |
| MangoStudiosCo.,Ltd. | Taxexemption |
| HunanMangoEntertainmentCo.,Ltd | Taxexemption |
| HunanHappyMangofunTechnologyCo.,Ltd. | Taxexemption |
| HunanTianyuFilmandTelevisionProductionCo.Ltd. | Taxexemption |
| ShanghaiMangofunTechnologyCo.,Ltd. | 12.5% |
| ZhejiangDongyangTianyuFilmandTelevisionCultureCo.Ltd. | 15% |
| HappigoCloudProvidersTrading(HongKong)Co.,Limited | 8.25%,16.5%[Note] |
| DameirenGlobalTradingCo.,Limited | 8.25%,16.5%[Note] |
| MammaMiaGlobalTradingCo.,Limited | 8.25%,16.5%[Note] |
| Mgtv.com(HongKong)MediaCompanyLimited | 8.25%,16.5%[Note] |
| Othertaxpayersexcludingaboveones | 25% |
2.Taxincentives
1.TheCompany’ssubsidiaries,includingHappySunshine,MangoStudios,MangoEntertainment,HunanHappyMangofunTechnologyCo.,Ltd.,HunanTianyuFilmandTelevisionProductionCo.Ltd.andHappigoCo.,Ltd.areenterprisestransformedfromculturalpublicinstitutionswithfor-profitoperations.InaccordancewiththeNoticeofContinuingImplementingSeveralTaxPoliciesfortheTransformationofCulturalPublicInstitutionswithFor-ProfitOperationsintoEnterprisesDuringtheCulturalSystemReformjointlyissuedbytheMinistryofFinance,theStateTaxationAdministration,andthePublicityDepartmentoftheCPCCentralCommittee(CaiShui(2019)No.16)onFebruary2019,culturalenterprisestransformedarequalifiedtobeexemptfromenterpriseincometaxwithinfiveyearsfromJanuary1,2019.
2.TheCompany’ssub-subsidiary,HorgosHappySunshineMediaCo.,Ltd.,isanenterprisewithinthescopedefinedintheNoticeoftheMinistryofFinance,theStateAdministrationofTaxation,theNationalDevelopmentandReformCommission,andtheMinistryofIndustryandInformationTechnologyonPublishingtheCatalogueofEnterpriseIncomeTaxIncentivesforIndustriesParticularlyEncouragedbyPovertyAreasofXinjiangforDevelopment(Trial)(CaiShui(2011)No.60).InaccordancewiththerequirementsintheNoticeonEnterpriseIncomeTaxIncentivePoliciesforEnterprisesintwoSpecialEconomicDevelopmentZones,namely,KashgarandHorgosEconomicDevelopmentZonesinXinjiang(CaiShui(2011)No.112),enterprisesinsuchscopecanbeexemptedfromenterprise
incometaxwithinfiveyearsfromJanuary1,2010toDecember31,2020,startingfromthefirstyearinwhichmanufacturingorbusinessoperationalrevenueisearned.HorgosHappySunshineMediaCo.,Ltd.isexemptedfromenterpriseincometaxwithinfiveyearsfrom2018asitearneditsfirstmanufacturingorbusinessoperationalrevenuein2018.
3.TheCompany’ssubsidiary,Mangofun,hasbeenevaluatedasasoftwareenterpriseinaccordancewiththerequirementsinSeveralPoliciesonFurtherEncouragingtheDevelopmentoftheSoftwareandIntegratedCircuitIndustries(GuoFa(2011)No.4)andtheEvaluationStandardforSoftwareEnterprises,andreceivedthenewcertificatenumberedinHuRQ-2017-0370withavalidtermof1yearonJuly30,2019afterpassingtheannualverification.InaccordancewiththeNoticeoftheMinistryofFinance,theStateAdministrationofTaxationonEnterpriseIncomeTaxPoliciesforFurtherEncouragingtheDevelopmentofSoftwareandIntegratedCircuitIndustries(CaiShui(2012)No.27),Mangofun’staxincentiveperiodshouldcommencefrom2017,thefirstyearofearningprofits,whichmeansMangofuncanbeexemptedfromenterpriseincometaxfromthefirstyeartothesecondyear,andenjoya50%reductiononthebasisof25%fromthethirdyeartothefifthyearuntilthetaxincentiveperiodexpires.
4.InaccordancewiththeLettertotheApplicationfor2017RecordationoftheFirstBatchofProposedHigh-techEnterprisesinZhejiangProvince(ZheGaoQiRen(2017)No.4),theCompany’ssubsidy,ZhejiangDongyangTianyuFilmandTelevisionCultureCo.Ltd.wasrecognizedasahigh-techenterprisein2017withatermof3years,henceitpaysenterpriseincometaxat15%forthecurrentyear.
5.InaccordancewiththeAnnouncementonRelevantPoliciesforDeepeningtheValue-AddedTaxReform(AnnouncementNo.39bytheMinistryofFinance,theStateTaxationAdministrationandtheGeneralAdministrationofCustomsin2019),VATtaxpayersinproductionandlifeserviceindustryareallowedtocredittheamountofinputtaxdeductibleinthecurrentperiodplus10%thereofagainsttheamountoftaxespayablefromApril1,2019toDecember31,2021.
6.InaccordancewiththeNoticeoftheMinistryofFinanceonRelevantPoliciesonAdjustingCertainGovernment-ManagedFunds(CaiShui[2019]No.46),fromJuly1,2019toDecember31,2024,developmentfeesforculturalundertakingsattributabletotheCentralTreasuryshallbereducedat50%ofthetaxableincomepaidbythetaxpayer.InaccordancewiththeNoticeofHuananProvincialDepartmentofFinanceonRelevantPoliciesonAdjustingDevelopmentFeesforCulturalUndertakings(XiangCaiZong(2019)No.11),fromJuly1,2019toDecember31,2024,localenterprisesandinstitutionsandindividualscanpaythedevelopmentfeesforculturalundertakingsinareductionof50%.
3.Others
TheCompany’ssubsidiaries,HappigoCloudProvidersTrading(HongKong)Co.,Limited,DameirenGlobalTradingCo.,Limited,MammaMiaGlobalTradingCo.,Limited,andMgtv.com(HongKong)MediaCompanyLimited,areallenterprisesincorporatedinHongKong.FromApril1,2018,theirenterpriseincometaxesarepaidintwolevel,namely,atarateof8.25%fortheprofitsequaltoorbelowHKD2million,andatarateof16.5%fortheremainingprofitsoverHKD2million.
VII.NOTESTOITEMSINTHECONSOLIDATEDFINANCIALSTATEMENTS
1.Cashandbankbalances
InRMB
Item
| Item | Closingbalance | Openingbalance |
| Cashonhand | 104,219.13 | 169,279.43 |
| Bankdeposits | 5,024,849,713.74 | 2,508,664,353.08 |
| Othermonetaryfunds: | 39,270,648.59 | 17,575,908.89 |
| Total | 5,064,224,581.46 | 2,526,409,541.40 |
Otherdescription
Intheclosingbalanceofbankbalances,theamountofRMB2,000.00usingasETCdepositandtheamountofRMB21,178,116.53frozenduetosubrogationrecourseofthethirdpartiesarerestrictedtouse.
Intheclosingbalanceofothermonetaryfunds,theamountofRMB1,177,322.01usingasnoteandotherdepositsandtheamountofRMB791,643.76usingasautomobileloandepositsarerestrictedtouse.
2.Held-for-tradingfinancialassets
InRMB
Item
| Item | Closingbalance | Openingbalance |
| Financialassetsatfairvaluethroughprofitorloss | 63,804,483.36 | |
| Including: | ||
| Equityinstrumentsinvestment | 63,804,483.36 | |
| Including: | ||
| Total | 63,804,483.36 |
Otherdescription：
Thedifferencebetweentheopeningbalanceofthecurrentyearandtheclosingbalanceofthepreviousyear(asatDecember31,2018)canrefertodescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates.
3.Notesreceivable
(1)Categoriesofnotesreceivable
InRMB
| Item | Closingbalance | Openingbalance |
| Bankacceptances | 95,456,357.50 | 93,200,000.00 |
| Total | 95,456,357.50 | 93,200,000.00 |
InRMB
| Category | Closingbalance | Openingbalance | ||||||||
| Carryingamount | Baddebtprovision | Bookvalue | Carryingamount | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion(%) | Amount | Proportionofprovision(%) | Amount | Proportion(%) | Amount | Proportionofprovision(%) | |||
| Notesreceivableforwhichtheprovisionforbaddebtsare | 95,456,357.50 | 100.00% | 95,456,357.50 | 93,200,000.00 | 100.00% | 93,200,000.00 | ||||
madeindividually
| madeindividually | ||||||||
| Including: | ||||||||
| Bankacceptances | 95,456,357.50 | 100.00% | 95,456,357.50 | 93,200,000.00 | 100.00% | 93,200,000.00 | ||
| Including: | ||||||||
| Total | 95,456,357.50 | 100.00% | 95,456,357.50 | 93,200,000.00 | 100.00% | 93,200,000.00 |
Provisionforbaddebtsmadeindividually:
InRMB
| Name | Closingbalance | |||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | Reasonsforprovision | |
Provisionforbaddebtsmadebygroup:
InRMB
| Name | Closingbalance | ||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | |
DescriptionofbasistodeterminethegroupIfaprovisionforbaddebtsismadefornotesreceivableinaccordancewiththegeneralmodelofexpectedcreditlosses(hereinafterrefereedtoas“ECL”),pleasediscloserelevantinformationsubjecttothedisclosureofthebaddebtprovisionforotherreceivables.
□Applicable√N/A
(2)NotesreceivableendorsedordiscountedbytheCompanythatarenotmaturedatthebalancesheetdate
InRMB
| Item | Balancederecognizedattheendoftheperiod | Balancenotderecognizedattheendoftheperiod |
| Bankacceptances | 36,667,491.00 | |
| Total | 36,667,491.00 |
4.Accountsreceivable
(1)Disclosureofaccountsreceivablebycategories
InRMB
| Category | Closingbalance | Openingbalance | ||||
| Carryingamount | Baddebtprovision | Book | Carryingamount | Baddebtprovision | Bookvalue | |
value
| Amount | Proportion(%) | Amount | Proportionofprovision(%) | value | Amount | Proportion(%) | Amount | Proportionofprovision(%) | ||
| Accountsreceivableforwhichtheprovisionforbaddebtsaremadeindividually | 39,878,131.10 | 1.28% | 26,084,596.10 | 65.41% | 13,793,535.00 | 20,823,081.10 | 1.47% | 20,823,081.10 | 100.00% | |
| Including: | ||||||||||
| Accountsreceivableforwhichtheprovisionforbaddebtsaremadebygroup | 3,085,910,091.43 | 98.72% | 102,693,117.61 | 3.33% | 2,983,216,973.82 | 1,399,461,334.12 | 98.53% | 58,584,414.28 | 4.19% | 1,340,876,919.84 |
| Including: | ||||||||||
| Total | 3,125,788,222.53 | 100.00% | 128,777,713.71 | 4.12% | 2,997,010,508.82 | 1,420,284,415.22 | 100.00% | 79,407,495.38 | 5.59% | 1,340,876,919.84 |
Provisionforbaddebtsmadeindividually:
InRMB
| Name | Closingbalance | |||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | Reasonsforprovision | |
| TheFirst | 19,705,050.00 | 5,911,515.00 | 30.00% | Increasedriskofrecovery |
| TheSecond | 5,832,200.00 | 5,832,200.00 | 100.00% | Estimatedtobeunrecoverable |
| TheThird | 5,419,890.00 | 5,419,890.00 | 100.00% | Estimatedtobeunrecoverable |
| TheFourth | 3,880,651.10 | 3,880,651.10 | 100.00% | Estimatedtobeunrecoverable |
| TheFifth | 1,676,100.00 | 1,676,100.00 | 100.00% | Estimatedtobeunrecoverable |
| TheSixth | 942,200.00 | 942,200.00 | 100.00% | Estimatedtobeunrecoverable |
| TheSeventh | 756,603.80 | 756,603.80 | 100.00% | Estimatedtobeunrecoverable |
| Other | 1,665,436.20 | 1,665,436.20 | 100.00% | Estimatedtobeunrecoverable |
Total
| Total | 39,878,131.10 | 26,084,596.10 | -- | -- |
Provisionforbaddebtsmadeindividually:
InRMB
| Name | Closingbalance | |||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | Reasonsforprovision | |
Provisionforbaddebtsmadebygroup:
InRMB
| Name | Closingbalance | ||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | |
| Aginggroup | 2,745,607,226.11 | 102,693,117.61 | 3.74% |
| Groupofreceivablesfromrelativepartiescontrolledbythesameactualcontroller | 340,302,865.32 | ||
| Total | 3,085,910,091.43 | 102,693,117.61 | -- |
Descriptionofbasistodeterminethegroup:
Provisionforbaddebtsmadebygroup:
InRMB
| Name | Closingbalance | ||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | |
Descriptionofbasistodeterminethegroup:
Ifaprovisionforbaddebtsismadeforaccountsreceivableinaccordancewiththegeneralmodelofexpectedcreditlosses,pleasediscloserelevantinformationsubjecttothedisclosureofthebaddebtprovisionforotherreceivables.
□Applicable√N/ADisclosurebyaging
InRMB
| Aging | Carryingamount |
| Within1year(including) | 2,972,500,767.08 |
| Morethan1yearbutnotexceeding2years | 120,778,279.49 |
| Morethan2yearsbutnotexceeding3years | 7,984,912.47 |
| Morethan3years | 24,524,263.49 |
| Morethan3yearsbutnotexceeding4years | 2,535,500.42 |
Morethan4yearsbutnotexceeding5years
| Morethan4yearsbutnotexceeding5years | 1,215,681.97 |
| Morethan5years | 20,773,081.10 |
| Total | 3,125,788,222.53 |
(2)Provisions,recoveryorreversalofbaddebtsfortheperiodProvisionforbaddebtsmadeforthecurrentperiod
InRMB
| Category | Openingbalance | Changedamountsforthecurrentperiod | Closingbalance | |||
| Provision | Recoveryorreversal | Write-off | Others | |||
| Provisionforbaddebtsmadeindividually | 20,823,081.10 | 5,911,515.00 | 650,000.00 | 26,084,596.10 | ||
| Provisionforbaddebtsmadebygroup | 58,584,414.28 | 44,108,703.33 | 102,693,117.61 | |||
| Total | 79,407,495.38 | 50,020,218.33 | 650,000.00 | 128,777,713.71 | ||
Significantrecoveryorreversalofbaddebtprovisionfortheperiod:
InRMB
| Entities | Amountofrecoveryorreversal | Methodofrecovery |
(3)Accountsreceivablethatshouldbewrittenofffortheperiod
InRMB
| Item | Write-offamount |
| TheFirst | 650,000.00 |
Informationofsignificantaccountsreceivablethatarewrittenoff:
InRMB
| Entity | Natureofaccountsreceivable | Write-offamount | Reasonforwrite-off | Executedwrite-offprocedures | Ifarisingfromrelatedpartytransactions |
Descriptionofwrite-off
(4)Topfiveclosingbalancesofaccountsreceivablecategorizedbydebtor
InRMB
| Entities | Closingbalanceofaccountsreceivable | Proportiontototalclosingbalanceofaccountsreceivable | ClosingbalanceofbadProvision |
TheFirst
| TheFirst | 348,034,941.06 | 11.13% | 17,685,360.05 |
| TheSecond | 283,475,000.00 | 9.07% | 2,834,750.00 |
| TheThird | 146,560,000.00 | 4.69% | |
| TheFourth | 135,700,000.00 | 4.34% | 6,785,000.00 |
| TheFifth | 127,438,327.00 | 4.08% | |
| Total | 1,041,208,268.06 | 33.31% |
5.Prepayments
(1)Disclosureofprepaymentsbyaging
InRMB
| Aging | Closingbalance | Openingbalance | ||
| Amount | Proportion | Amount | Proportion | |
| Within1year | 704,974,422.77 | 62.51% | 1,680,818,169.46 | 83.62% |
| Morethan1yearbutnotexceeding2years | 132,081,812.20 | 11.71% | 214,164,933.62 | 10.65% |
| Morethan2yearsbutnotexceeding3years | 195,519,392.56 | 17.34% | 44,147,593.68 | 2.20% |
| Morethan3years | 95,158,498.75 | 8.44% | 70,962,555.95 | 3.53% |
| Total | 1,127,734,126.28 | -- | 2,010,093,252.71 | -- |
Reasonsforoverduesettlementofprepaymentswithsignificantamountsandagedmorethan1year:
| Entities | Closingbalance | Reasonsforunsettlement |
| TheFirst | 57,816,250.00 | Goodsnotdelivered |
| TheSecond | 55,335,437.00 | PrepaymentsforTVseriesthatcannotbebroadcastduetotheKoreanrestrictionorder,forwhichtheprovisionforimpairmenthasbeenmadeinfull |
| TheThird | 49,999,516.00 | Goodsnotdelivered |
| TheFourth | 45,000,000.00 | Prepaymentsforroyaltiesofproductsnotyetplayed |
| TheFifth | 42,915,750.00 | Goodsnotdelivered |
| TheSixth | 42,757,075.64 | Prepaymentsforroyaltiesofproductsnotyetplayed |
| TheSeventh | 40,308,902.32 | Uncompletedfulfillmentofcontracts |
| TheEighth | 34,482,000.00 | Prepaymentsforroyaltiesofproductsnotyetplayed |
| Sub-total | 368,614,930.96 |
(2)Topfiveclosingbalancesofprepaymentscategorizedbyreceivers
| Entities | Carryingamount | Proportiontototalprepayments(%) |
| TheFirst | 131,471,760.17 | 10.65 |
TheSecond
| TheSecond | 127,311,320.63 | 10.31 |
| TheThird | 100,938,052.10 | 8.17 |
| TheFourth | 57,816,250.00 | 4.68 |
| TheFifth | 55,335,437.00 | 4.48 |
| Sub-total | 472,872,819.90 | 38.29 |
Otherdescription
Theprovisionfor,thewrite-offinandthereversalofprepaymentbaddebtswasRMB428,072.40,RMB45,282.98andRMB1,800,000.00respectively.
6.Otherreceivables
InRMB
| Item | Closingbalance | Openingbalance |
| Otherreceivables | 35,946,262.96 | 75,922,841.76 |
| Total | 35,946,262.96 | 75,922,841.76 |
(1)Otherreceivables
1)Categoriesofotherreceivablesbynature
InRMB
| Nature | Closingbalanceofcarryingamount | Openingbalanceofcarryingamount |
| Securitydeposit | 18,036,931.78 | 11,424,498.41 |
| Amountduetoorfromrelatedparties | 3,640,174.50 | 3,399,105.00 |
| Suspensepaymentsreceivable | 2,911,186.43 | 11,296,014.77 |
| Pettycash | 9,084,428.85 | 39,452,081.26 |
| Receivablesandpayables | 5,508,622.75 | 13,617,557.97 |
| Total | 39,181,344.31 | 79,189,257.41 |
2）Provisionforbaddebts
InRMB
| Baddebtprovision | StageI | Stage2 | Stage3 | Total |
| 12-monthECL | LifetimeECL(withoutcreditimpairment) | LifetimeECL(withcreditimpairment) | ||
| BalanceasatJanuary1,2019 | 908,906.53 | 42,128.57 | 2,315,380.55 | 3,266,415.65 |
| BalanceasatJanuary1, | —— | —— | —— | —— |
2019transferredto
| 2019transferredto | ||||
| --StageII | -37,216.91 | 37,216.91 | ||
| --StageIII | -4,789.06 | 4,789.06 | ||
| Provision | -460,879.17 | 65,052.52 | 364,492.35 | -31,334.30 |
| BalanceasatDecember31,2019 | 410,810.45 | 139,608.94 | 2,684,661.96 | 3,235,081.35 |
Changesincarryingamountofotherreceivablesforwhichtheprovisionlosschangedsignificantlyinthecurrentperiod□适用√不适用
□Applicable√N/ADisclosurebyaging
InRMB
| Aging | Carryingamount |
| Within1year(including) | 23,116,282.85 |
| Morethan1yearbutnotexceeding2years | 5,048,473.28 |
| Morethan2yearsbutnotexceeding3years | 1,018,959.85 |
| Morethan3years | 9,997,628.33 |
| Morethan3yearsbutnotexceeding4years | 4,617,511.22 |
| Morethan4yearsbutnotexceeding5years | 1,661,919.30 |
| Morethan5years | 3,718,197.81 |
| Total | 39,181,344.31 |
3)Provisions,recoveryorreversalofbaddebtsfortheperiod
Provisionforbaddebtsmadeforthecurrentperiod:
InRMB
| Category | Openingbalance | Changedamountsforthecurrentperiod | Closingbalance | |||
| Provision | Recoveryorreversal | Write-off | Others | |||
| Provisionforbaddebtsmadeindividually | 1,661,929.89 | 1,661,929.89 | ||||
| Provisionforbaddebtsmadebygroup | 1,604,485.76 | -31,334.30 | 1,573,151.46 | |||
| Total | 3,266,415.65 | -31,334.30 | 3,235,081.35 | |||
Significantrecoveryorreversalofbaddebtprovisionforthecurrentperiod:
InRMB
Entities
| Entities | Amountofrecoveryorreversal | Methodofrecovery |
4)Topfiveclosingbalancesofotherreceivablescategorizedbydebtor:
InRMB
| Entities | Nature | Closingbalance | Aging | Proportiontototalclosingbalanceofotherreceivables | Closingbalanceofbaddebtprovision |
| TheFirst | Amountduetoorfromrelatedparties | 3,000,000.00 | 3-4years,4-5years | 7.66% | 1,000,000.00 |
| TheSecond | Securitydeposit | 2,000,000.00 | Within1year | 5.10% | |
| TheThird | Securitydeposit | 1,375,000.00 | Within1year | 3.51% | |
| TheFourth | Securitydeposit | 1,161,620.80 | Within1year,1-2years,3-4years,over5years | 2.96% | |
| TheFifth | Securitydeposit | 1,114,955.04 | Within1year | 2.85% | |
| Total | -- | 8,651,575.84 | -- | 22.08% | 1,000,000.00 |
7.Inventories
Ifthenewrevenuestandardhasbeenadopted
□Yes√No
（1）Categoriesofinventories
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Carryingamount | Provisionfordeclineinvalue | Bookvalue | Carryingamount | Provisionfordeclineinvalue | Bookvalue | |
| Rawmaterials | 119,569,809.53 | 119,569,809.53 | 82,604,678.47 | 82,604,678.47 | ||
| Work-in-progress | 1,393,906,522.76 | 74,642,083.76 | 1,319,264,439.00 | 1,237,403,655.64 | 72,688,454.72 | 1,164,715,200.92 |
| Goodsonhand | 468,194,587.57 | 4,406,332.80 | 463,788,254.77 | 958,284,814.92 | 5,076,167.80 | 953,208,647.12 |
| Goodsupondelivery | 12,502,049.88 | 12,502,049.88 | 13,264,268.83 | 13,264,268.83 | ||
| Otherreusablematerials | 1,250,785.71 | 1,250,785.71 | 1,019,599.75 | 1,019,599.75 | ||
| Total | 1,995,423,755.45 | 79,048,416.56 | 1,916,375,338.89 | 2,292,577,017.61 | 77,764,622.52 | 2,214,812,395.09 |
(2)Provisionfordeclineinvalueofinventories
InRMB
Item
| Item | Openingbalance | Increaseinthecurrentperiod | Decreaseinthecurrentperiod | Closingbalance | ||
| Provision | Others | Recoveryorreversal | Others | |||
| Work-in-progress | 72,688,454.72 | 1,953,629.04 | 74,642,083.76 | |||
| Goodsonhand | 5,076,167.80 | 42,423.05 | 712,258.05 | 4,406,332.80 | ||
| Total | 77,764,622.52 | 1,996,052.09 | 712,258.05 | 79,048,416.56 | ||
(3)Descriptionofcapitalizedamountincludedintheclosingbalanceofinventories
(4)Completedbutnotyetbilledassetsarisingfromconstructioncontracts
InRMB
| Item | Amount |
Otherdescription
8.OthercurrentassetsIfthenewrevenuestandardhasbeenadopted
□Yes√No
InRMB
| Item | Closingbalance | Openingbalance |
| Wealthmanagementproducts | 182,500,000.00 | |
| Prepaymentsforinternetaccesscooperation | 45,657,300.81 | 42,912,088.48 |
| InputVATtobededucted | 33,725,081.91 | 88,477,899.54 |
| Prepaidtaxesandlevies | 6,115,482.85 | 2,272,745.36 |
| Issuedloans-creditloans[Note2] | 1,803,532.21 | 7,120,486.26 |
| Issuedloans-mortgageloans[Note2] | 395,395,091.01 | 76,652,866.55 |
| Others | 8,582,425.11 | 4,113,180.98 |
| Total | 491,278,913.90 | 404,049,267.17 |
OtherdescriptionForissuedloangroup,theprovisionforimpairmentisamountedtoRMB1,253,943.11forthecurrentperiod..Thedifferencebetweentheopeningbalanceofthecurrentyearandtheclosingbalanceofthepreviousyear(asatDecember31,2018)canrefertodescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates.
9.Long-termequityinvestments
InRMB
| Investee | Openingbalance | Changesinthecurrentperiod | Closingbalance | Closingbalanceofbad | |||||||
| Additional | Decreased | Investment | Adjustmen | Other | Declared | Provision | Others | ||||
(carryingamount)
| (carryingamount) | investment | investment | profitorlossunderequitymethod | tinothercomprehensiveincome | equitychanges | cashdividendsorprofit | forbaddebt | (carryingamount) | debtimpairment | ||
| I.Jointventure | |||||||||||
| II.Associates | |||||||||||
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | 18,606,055.65 | 2,015,670.71 | 20,621,726.36 | ||||||||
| MalanshanCultureCreativeInvestmentCo.,Ltd. | 196,935,570.32 | -7,121,117.50 | 189,814,452.82 | ||||||||
| Sub-total | 215,541,625.97 | -5,105,446.79 | 210,436,179.18 | ||||||||
| Total | 215,541,625.97 | -5,105,446.79 | 210,436,179.18 | ||||||||
Otherdescription
10.Othernon-currentfinancialassets
InRMB
| Item | Closingbalance | Openingbalance |
| Classifiedasfinancialassetsatfairvaluethroughprofitorloss | 6,946,466.60 | 33,031,999.97 |
| Total | 6,946,466.60 | 33,031,999.97 |
OtherdescriptionThedifferencebetweentheopeningbalanceofthecurrentyearandtheclosingbalanceofthepreviousyear(asatDecember31,2018)canrefertodescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates..
11.Fixedassets
InRMB
Item
| Item | Closingbalance | Openingbalance |
| Fixedassets | 180,606,150.34 | 207,007,011.52 |
| Total | 180,606,150.34 | 207,007,011.52 |
（1）Fixedassets
InRMB
| Item | Buildings | Machineryandequipment | Electronicequipment,appliancesandfurniture | Transportationequipment | Others | Total |
| I.Cost | ||||||
| 1.Openingbalance | 58,268,091.66 | 266,694,200.39 | 210,399,690.87 | 22,975,707.63 | 11,000,000.00 | 569,337,690.55 |
| 2.Increase | 3,432,442.94 | 29,915,851.81 | 1,948,640.79 | 35,296,935.54 | ||
| (1)Purchase | 3,432,442.94 | 29,915,851.81 | 1,948,640.79 | 35,296,935.54 | ||
| (2)Transferfromconstructioninprogress | ||||||
| (3)Increaseduetobusinesscombination |
| 3.Decrease | 1,432,617.71 | 2,120,814.76 | 2,820,488.31 | 6,373,920.78 | ||
| (1)Disposalorretirement | 1,432,617.71 | 2,120,814.76 | 2,820,488.31 | 6,373,920.78 |
| 4.Closingbalance | 58,268,091.66 | 268,694,025.62 | 238,194,727.92 | 22,103,860.11 | 11,000,000.00 | 598,260,705.31 |
| II.Accumulateddepreciation | ||||||
| 1.Openingbalance | 6,872,458.49 | 190,317,604.26 | 149,106,428.19 | 15,629,450.93 | 361,925,941.87 | |
| 2.Increase | 1,908,705.37 | 35,204,705.94 | 22,331,107.83 | 1,525,230.98 | 60,969,750.12 | |
| (1)Provision | 1,908,705.37 | 35,204,705.94 | 22,331,107.83 | 1,525,230.98 | 60,969,750.12 |
3.Decrease
| 3.Decrease | 1,356,021.46 | 1,844,948.47 | 2,444,904.25 | 5,645,874.18 | ||
| (1)Disposalorretirement | 1,356,021.46 | 1,844,948.47 | 2,444,904.25 | 5,645,874.18 |
| 4.Closingbalance | 8,781,163.86 | 224,166,288.74 | 169,592,587.55 | 14,709,777.66 | 417,249,817.81 | |
| III.Provisionforimpairment | ||||||
| 1.Openingbalance | 392,428.73 | 12,308.43 | 404,737.16 | |||
| 2.Increase | ||||||
| (1)Provision |
| 3.Decrease |
| (1)Disposalorretirement |
| 4.Closingbalance | 392,428.73 | 12,308.43 | 404,737.16 | |||
| IV.Bookvalue | ||||||
| 1.Closingbalance | 49,486,927.80 | 44,135,308.15 | 68,589,831.94 | 7,394,082.45 | 11,000,000.00 | 180,606,150.34 |
| 2.Openingbalance | 51,395,633.17 | 75,984,167.40 | 61,280,954.25 | 7,346,256.70 | 11,000,000.00 | 207,007,011.52 |
12.Intangibleassets
（1）Intangibleassets
InRMB
| Item | Landuseright | Patent | Non-patenttechnology | Filmandtelevisionplaycopyright | Software | Trademarksanddomainnames | Patentlicensingfeesandprogramadaptationrights | Gamecopyright | Total |
| 1.Cost |
1.Openingbalance
| 1.Openingbalance | 33,157,507.40 | 6,909,111,795.02 | 121,847,522.21 | 2,884,994.29 | 29,245,283.01 | 10,471,698.04 | 7,106,718,799.97 | |
| 2.Increase | 5,642,746,993.49 | 39,234,319.28 | 1,405,910.67 | 5,683,387,223.44 | ||||
| (1)Purchase | 5,642,746,993.49 | 36,584,668.96 | 1,405,910.67 | 5,680,737,573.12 | ||||
| (2)In-houseR&D | 36,584,668.96 | 5,680,737,573.12 | ||||||
| (3)Increaseduetobusinesscombination |
| 3.Decrease | 423,487,969.96 | 5,943,396.14 | 429,431,366.10 | ||
| (1)Disposal | 423,487,969.96 | 5,943,396.14 | 429,431,366.10 |
| 4.Closingbalance | 33,157,507.40 | 12,128,370,818.55 | 161,081,841.49 | 2,884,994.29 | 29,245,283.01 | 5,934,212.57 | 12,360,674,657.31 | |
| II.Accumulatedamortization | ||||||||
| 1.Openingbalance | 5,131,518.96 | 4,174,443,822.51 | 53,611,396.40 | 2,494,592.02 | 8,668,195.62 | 6,049,528.21 | 4,250,399,053.72 | |
| 2.Increase | 676,683.82 | 3,663,587,069.10 | 14,611,905.31 | 241,621.13 | 5,334,487.47 | 73,410.03 | 3,684,525,176.86 | |
| (1)Provision | 676,683.82 | 3,663,587,069.10 | 14,611,905.31 | 241,621.13 | 5,334,487.47 | 73,410.03 | 3,684,525,176.86 |
| 3.Decrease | 423,487,969.96 | 1,839,622.55 | 425,327,592.51 |
(1)Disposal
| (1)Disposal | 423,487,969.96 | 1,839,622.55 | 425,327,592.51 |
| 4.Closingbalance | 5,808,202.78 | 7,414,542,921.65 | 68,223,301.71 | 2,736,213.15 | 14,002,683.09 | 4,283,315.69 | 7,509,596,638.07 | |
| III.Provisionforimpairment | ||||||||
| 1.Openingbalance | ||||||||
| 2.Increase | ||||||||
| (1)Provision |
| 3.Decrease |
| (1)Disposal |
| 4.Closingbalance | ||||||||
| IV.Bookvalue | ||||||||
| 1.Closingbookvalue | 27,349,304.62 | 4,713,827,896.90 | 92,858,539.78 | 148,781.14 | 15,242,599.92 | 1,650,896.88 | 4,851,078,019.24 | |
| 2.Openingbookvalue | 28,025,988.44 | 2,734,667,972.51 | 68,236,125.81 | 390,402.27 | 20,577,087.39 | 4,422,169.83 | 2,856,319,746.25 |
Thebalanceofintangibleassetsformedthroughin-houseR&Daccountedfor0.06%oftheclosingbalanceofintangibleassets.
13.Developmentexpenditure
InRMB
Item
| Item | Openingbalance | Increaseinthecurrentperiod | Decreaseinthecurrentperiod | Closingbalance | ||||
| In-housedevelopmentexpenditure | Others | RecognizedIntangibleassets | Transfertoprofitorlossfortheperiod | |||||
| Mangolisystem | 15,549,207.24 | 2,649,650.32 | 12,899,556.92 | |||||
| Cloudplatformconstructionproject | 25,439,326.92 | 25,439,326.92 | ||||||
| Total | 40,988,534.16 | 2,649,650.32 | 38,338,883.84 | |||||
Otherdescription
1.TheMangoliSystemisaprojectdevelopedbyHunanHappyMoneyMicrofinanceCo.,Ltd..Itisintendedtosolveproblemssuchasunderlyingdatasecurity,systemcompatibility,anditerativeexpansion.,andtoimprovethefinancialtechnologyability,sothatthesystemcansupportbusinessesmoresignificantly.TheMangoliSystembeganitsmarketresearchinOctober2018,andwasestablishedinDecember2018.AsithasbeeneligibleforcapitalizationandrecognitioninthedevelopmentexpensessinceJanuary2019,theexpensesrelatedtotheprojectthatareeligibleforcapitalizationareincludedinthedevelopmentexpenses,andtheexpensesincurredinthepreviousresearchphasearedirectlyrecognizedinthecurrentprofitandloss.
2.MongoTVCloudStorageandMulti-screenBroadcastPlatformConstructionProject(hereinafterreferredtoasCloudPlatformConstructionProject)isasupportingprojectfundedbyHappySunshinefinancingfunds.Thisproject,whichisintendedtoprovideenhancedplatformtechnologysupportforenterprisecontentproductionanddisseminationtoimproveusers’experienceandsatisfaction,reduceplatformoperatingcostsandenhanceplatformdatasecurityandreliability,isaninevitablechoiceforthestrategicdevelopmentofenterprisesinthefiercecompetition.
TheCloudPlatformConstructionProjectwasplannedin2017andimplementeduponapprovaloftheboardofdirectorsofHappySunshineonJuly30,2019.FromSeptember1,2019,theexpensesrelatedtotheprojectthatareeligibleforcapitalizationareincludedinthedevelopmentexpenses,andtheexpensesincurredinthepreviousresearchphasearedirectlyrecognizedinthecurrentprofitandloss.
14.Long-termprepaidexpenses
InRMB
| Item | Openingbalance | Increase | Amortization | Otherdecrease | Closingbalance |
| Projectsofrebuildinganddecorationforrentedbuildings | 65,989,740.93 | 20,780,147.55 | 25,123,027.11 | 61,646,861.37 | |
| Total | 65,989,740.93 | 20,780,147.55 | 25,123,027.11 | 61,646,861.37 |
Otherdescription
15.Deferredtaxassets/Deferredtaxliabilities
(1)Deferredtaxassetsthatarenotoffset
InRMB
Item
| Item | Closingbalance | Openingbalance | ||
| Deductibletemporarydifferences | Deferredtaxassets | Deductibletemporarydifferences | Deferredtaxassets | |
| Deductiblelosses | 15,755,514.30 | 3,938,878.58 | ||
| Total | 15,755,514.30 | 3,938,878.58 | ||
(2)Detailsofunrecognizeddeferredtaxassets
InRMB
| Item | Closingbalance | Openingbalance |
| Deductibletemporarydifferences | 9,364,947.85 | 13,145,015.63 |
| Deductiblelosses | 80,994,642.11 | 79,931,635.09 |
| Total | 90,359,589.96 | 93,076,650.72 |
(3)Deductiblelosses,forwhichnodeferredtaxassetsarerecognized,willexpireinthefollowingyears:
InRMB
| Year | Closingbalance | Openingbalance | Remark |
| 2019 | 983,077.71 | ||
| 2020 | 2,583,199.12 | ||
| 2021 | 1,923,827.66 | 17,430,154.18 | |
| 2022 | 24,850,507.66 | 24,850,507.66 | |
| 2023 | 34,021,526.74 | 34,084,696.42 | |
| 2024 | 20,198,780.05 | ||
| Total | 80,994,642.11 | 79,931,635.09 | -- |
Otherdescription
16.Othernon-currentassetsIfthenewrevenuestandardhasbeenadopted
□Yes√No
InRMB
| Item | Closingbalance | Openingbalance |
| Prepaymentsforequipment | 1,127,499.30 | 379,080.00 |
| Total | 1,127,499.30 | 379,080.00 |
Otherdescription
17.Short-termborrowings
(1)Categoriesofshort-termborrowings
InRMB
Item
| Item | Closingbalance | Openingbalance |
| Creditborrowings-principal | 349,352,600.00 | 196,097,600.00 |
| Creditborrowings-interest | 464,347.83 | 224,226.31 |
| Total | 349,816,947.83 | 196,321,826.31 |
Descriptionofcategorizationofshort-termborrowings:Thedifferencebetweentheopeningbalanceofthecurrentyearandtheclosingbalanceofthepreviousyear(asatDecember31,2018)canrefertodescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates.
18.Notespayable
InRMB
| Category | Closingbalance | Openingbalance |
| Commercialacceptances | 42,502,468.46 | 95,419,097.63 |
| Bankacceptances | 283,377,994.65 | 171,102,769.86 |
| Total | 325,880,463.11 | 266,521,867.49 |
ThetotalofnotespayableduebutnotpaidyetfortheperiodisRMB0.00.
19.Accountspayable
(1)Detailsofaccountspayableareasfollows:
InRMB
| Item | Closingbalance | Openingbalance |
| Purchasepayment | 5,048,443,928.94 | 3,363,276,945.77 |
| Total | 5,048,443,928.94 | 3,363,276,945.77 |
（2）Significantaccountspayableagedmorethanoneyear
InRMB
| Item | Closingbalance | Reasonfornotpaidorcarried-forward |
| TheFirst | 91,177,887.41 | Notyetdueforsettlement |
| TheSecond | 70,723,211.91 | Notyetdueforsettlement |
| TheThird | 53,354,716.98 | Notyetdueforsettlement |
| TheFourth | 50,395,471.69 | Notyetdueforsettlement |
| TheFifth | 42,213,584.75 | Notyetdueforsettlement |
TheSixth
| TheSixth | 41,509,433.96 | Notyetdueforsettlement |
| TheSeventh | 31,960,000.00 | Notyetdueforsettlement |
| Total | 381,334,306.70 | -- |
Otherdescription
20.Receiptsinadvance
Ifthenewrevenuestandardhasbeenadopted
□Yes√No
(1)Receiptsinadvance
InRMB
| Item | Closingbalance | Openingbalance |
| Loan | 652,696,114.38 | 888,146,056.09 |
| Investmentsinfilmandtelevisionplayco-production | 539,781,865.22 | 660,762,043.16 |
| Total | 1,192,477,979.60 | 1,548,908,099.25 |
(2)Significantreceiptsinadvanceagedmorethanoneyear
InRMB
| Item | Closingbalance | Reasonsfornotrepaidorcarried-forward |
| TheFirst | 104,671,698.09 | Filmandtelevisionplayinvestmentsnotyetdueforsettlement |
| TheSecond | 51,474,056.52 | Filmandtelevisionplayinvestmentsnotyetdueforsettlement |
| TheThird | 48,800,000.00 | Filmandtelevisionplayinvestmentsnotyetdueforsettlement |
| TheFourth | 38,800,240.00 | Filmandtelevisionplayinvestmentsnotyetdueforsettlement |
| TheFifth | 30,000,000.00 | Filmandtelevisionplayinvestmentsnotyetdueforsettlement |
| TheSixth | 30,000,000.00 | Filmandtelevisionplayinvestmentsnotyetdueforsettlement |
| Total | 303,745,994.61 | -- |
(3)Billedbutnotyetcompletedprojectsarisingfromconstructioncontractsattheendoftheperiod
InRMB
| Item | Amount |
Otherdescription
21.Employeebenefitspayable
(1)Employeebenefitspayable
InRMB
Item
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| I.Short-termremuneration | 429,995,395.26 | 1,376,932,277.47 | 1,218,747,792.39 | 588,179,880.34 |
| II.Post-employmentbenefits-definedcontributionplan | 512,963.08 | 39,551,600.65 | 39,420,748.21 | 643,815.52 |
| III.Terminationbenefits | 874,478.13 | 13,983,389.11 | 14,322,311.36 | 535,555.88 |
| Total | 431,382,836.47 | 1,430,467,267.23 | 1,272,490,851.96 | 589,359,251.74 |
(2)Short-termremuneration
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| 1.Wagesorsalaries,bonuses,allowancesandsubsidies | 429,067,031.35 | 1,292,358,417.52 | 1,134,522,582.88 | 586,902,865.99 |
| 2.Staffwelfare | 22,358,564.03 | 22,358,564.03 | 0.00 | |
| 3.Socialsecuritycontributions | 288,643.35 | 24,107,822.27 | 24,022,547.99 | 373,917.63 |
| Including:Medicalinsurance | 258,563.93 | 19,397,852.99 | 19,327,068.66 | 329,348.26 |
| Workinjury | 8,542.69 | 1,283,999.79 | 1,279,982.62 | 12,559.86 |
| Maternityinsurance | 21,536.73 | 1,625,609.81 | 1,615,137.03 | 32,009.51 |
| Othercommercialinsurance | 1,800,359.68 | 1,800,359.68 | ||
| 4.Housingfunds | 9,875.00 | 27,334,509.06 | 27,094,138.06 | 250,246.00 |
| 5.Unionrunningcostsandemployeeeducationcost | 175,276.30 | 2,473,195.34 | 2,546,399.07 | 102,072.57 |
| Othershort-termremuneration | 454,569.26 | 8,299,769.25 | 8,203,560.36 | 550,778.15 |
| Total | 429,995,395.26 | 1,376,932,277.47 | 1,218,747,792.39 | 588,179,880.34 |
(3)Presentationofdefinedbenefitplan
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
1.Basicpensions
| 1.Basicpensions | 495,201.01 | 37,959,072.21 | 37,838,440.38 | 615,832.84 |
| 2.Unemploymentinsurance | 17,762.07 | 1,592,528.44 | 1,582,307.83 | 27,982.68 |
| Total | 512,963.08 | 39,551,600.65 | 39,420,748.21 | 643,815.52 |
Otherdescription
22.Taxespayable
InRMB
| Item | Closingbalance | Openingbalance |
| VAT | 31,925,708.15 | 2,966,338.62 |
| Enterpriseincometax | 1,020,008.15 | 1,022,049.59 |
| Personalincometax | 11,616,474.32 | 41,306,543.70 |
| Citymaintenanceandconstructiontax | 611,160.04 | 133,823.33 |
| Stampduty | 2,556,733.85 | 2,375,911.57 |
| Educationalsurcharges | 533,271.72 | 95,470.25 |
| DevelopmentFeesforCulturalUndertakings | 89,141,920.66 | 85,564,184.50 |
| Othertaxes | 158,231.76 | 41,599.17 |
| Total | 137,563,508.65 | 133,505,920.73 |
Otherdescription
23.Otherpayables
InRMB
| Item | Closingbalance | Openingbalance |
| Otherpayables | 202,952,467.24 | 179,824,884.96 |
| Total | 202,952,467.24 | 179,824,884.96 |
（1）Otherpayables
(1)Otherpayablesbynature
InRMB
| Item | Closingbalance | Openingbalance |
| Receivablesandpayables | 169,398,587.22 | 131,692,416.90 |
| Securitydeposit | 30,977,064.66 | 25,049,941.57 |
Equipmentprocurement,decoration,engineering,etc.
| Equipmentprocurement,decoration,engineering,etc. | 2,576,815.36 | 23,082,526.49 |
| Total | 202,952,467.24 | 179,824,884.96 |
(2)Significantotherpayablesagedmorethanoneyear:
InRMB
| Item | Closingbalance | Reasonsfornotrepaidorcarried-forward |
| TheFirst | 3,796,820.30 | Notyetdueforsettlement |
| Total | 3,796,820.30 | -- |
Otherdescription:Thedifferencebetweentheopeningbalanceofthecurrentyearandtheclosingbalanceofthepreviousyear(asatDecember31,2018)canrefertodescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates.
24.Non-currentliabilitiesduewithinoneyear
InRMB
| Item | Closingbalance | Openingbalance |
| Long-termemployeebenefitspayableduewithin1year | 10,400,000.00 | |
| Total | 10,400,000.00 |
Otherdescription
25.OthercurrentliabilitiesIfthenewrevenuestandardhasbeenadopted
□Yes√No
InRMB
| Item | Closingbalance | Openingbalance |
| Logisticsanddistributionexpenses | 3,391,046.30 | 4,997,229.85 |
| Customerrewardpoints | 8,499,828.47 | 10,856,332.55 |
| internetaccesscooperation | 52,969,657.49 | 26,294,748.22 |
| Others | 13,835,329.26 | 17,566,761.12 |
| Total | 78,695,861.52 | 59,715,071.74 |
Changesofshort-termbondspayable:
InRMB
| Nameofbond | Parvalue | Issuedate | Termofbond | Issuedmount | Openingbalance | Issuedduringtheperiod | Interestaccruedbasedon | Amortizationofpremiums | Repaymentduringtheperiod | Columnscanbeaddedas | Closingbalance |
parvalue
| parvalue | ordiscounts | needed |
Otherdescription
26.Long-termpayables
InRMB
| Item | Closingbalance | Openingbalance |
| Specialpayables | 2,500,000.00 | |
| Total | 2,500,000.00 |
（1）Specialpayables
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance | Reason |
| MobileGameofPrincessReturningPearl | 1,000,000.00 | 1,000,000.00 | |||
| WonderfulFriendsofVoodooAcademy | 1,500,000.00 | 1,500,000.00 | |||
| Total | 2,500,000.00 | 2,500,000.00 | -- |
Otherdescription
27.Long-termemployeebenefitspayable
（1）Long-termemployeebenefitspayable
InRMB
| Item | Closingbalance | Openingbalance |
| Medium-andlong-termemployeeincentives | 33,450,000.00 | |
| Total | 33,450,000.00 |
28.Provisions
Ifthenewrevenuestandardhasbeenadopted
□Yes√No
InRMB
| Item | Closingbalance | Openingbalance | Reason |
| Pendinglitigation | 14,092,872.30 | 8,987,973.60 | Estimatedcompensationforpendinglitigation |
Provisionforinfringementcompensation
| Provisionforinfringementcompensation | 140,000.00 | 140,000.00 | Estimatedcompensation |
| Total | 14,232,872.30 | 9,127,973.60 | -- |
Otherdescription,includingsignificantassumptionandestimaterelatedtosignificantprovisions
29.Deferredincome
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance | Reason |
| Governmentgrants | 48,315,088.67 | 12,912,452.83 | 14,955,947.37 | 46,271,594.13 | Governmentgrantsrelatedtoassetsandincome |
| Copyrightincome | 1,211,093.10 | 1,211,093.10 | Copyrightincomeamortizedduringbenefitperiod | ||
| Memberservice | 163,060,977.47 | 1,855,101,188.37 | 1,756,008,275.29 | 262,153,890.55 | Memberserviceincomeamortizedduringbenefitperiod |
| Total | 212,587,159.24 | 1,868,013,641.20 | 1,772,175,315.76 | 308,425,484.68 | -- |
Itemswithrespecttogovernmentgrants:
InRMB
| Liabilities | Openingbalance | Newgovernmentgrants | Amountrecognizedinnon-operatingincome | Amountrecognizedinotherincome | Amountoffsetcostsandexpenses | Otherchanges | Closingbalance | Relatedtoassets/relatedtoincome |
| HappigoSupplyChainUrbanCo-DistributionSystemProject | 2,683,002.83 | 100,000.00 | 2,583,002.83 | Relatedtoassets | ||||
| Specialfundsforthedevelopmentofthemodernlogistics | 1,056,017.18 | 40,229.22 | 1,015,787.96 | Relatedtoassets | ||||
| ThesecondbatchofspecialguidancefundsofHunanProvincetocultivateanddevelopstrategicemerging | 399,999.96 | 200,000.00 | 199,999.96 | Relatedtoassets |
industries
| industries | ||||||||
| Specialfundsfor"CloudMulti-screen"serviceplatform | 2,760,000.00 | 1,380,000.00 | 1,380,000.00 | Relatedtoassets | ||||
| Thesecondbatchofspecialfundsformodernservicesdevelopment-MangoTVmobileclient | 200,000.00 | 60,000.00 | 140,000.00 | Relatedtoassets | ||||
| Mobileinternetindustrydevelopmentspecialfund | 5,945,315.44 | 400,000.00 | 1,664,638.24 | 4,680,677.20 | Relatedtoassets | |||
| Specialfundsforthedevelopmentoftheculturalindustry | 20,414,833.36 | 5,314,000.00 | 6,528,600.00 | 19,200,233.36 | Relatedtoassets | |||
| Guidancefundsforprovincial-levelculturalindustrydevelopment | 1,533,333.40 | 399,999.96 | 1,133,333.44 | Relatedtoassets | ||||
| Specialfundsforthedevelopmentofmodernservices | 240,000.00 | 60,000.00 | 180,000.00 | Relatedtoassets | ||||
| SpecialfundsforMongoTVCloudPlatform(ERU)project | 6,000,000.00 | 6,000,000.00 | Relatedtoassets | |||||
| SilkRoadFilmandTelevisionBridgeProjectoftheStateAdministrationofRadio,FilmandTelevision | 3,000,000.00 | 1,698,113.21 | 169,811.31 | 1,132,075.48 | Relatedtoassets | |||
| Networkaudio-visualprogramqualitycreationanddistributionproject | 360,000.00 | 102,000.00 | 258,000.00 | Relatedtoassets | ||||
| Others | 691,194.97 | 538,452.83 | 514,740.13 | 714,907.67 | Relatedtoassets | |||
| SubsidyfundsforkeyculturalindustryofHunanProvince | 736,750.02 | 736,750.02 | Relatedtoincome |
2018subsidiestoMangoTVnewmediaparticipationactivity,thekeyprojectof"goingglobal"bytheStateAdministrationofRadio,FilmandTelevision
| 2018subsidiestoMangoTVnewmediaparticipationactivity,thekeyprojectof"goingglobal"bytheStateAdministrationofRadio,FilmandTelevision | 622,641.51 | 622,641.51 | Relatedtoincome | |||||
| 2018guidancefundsubsidiesforculturalbusinessofHunanProvince | 2,032,000.00 | 506,666.67 | 1,525,333.33 | Relatedtoincome | ||||
| 2019centralculturalindustrydevelopmentspecialfunds | 5,000,000.00 | 5,000,000.00 | Relatedtoincome | |||||
| Malanshanculturalandcreativesubsidy | 1,000,000.00 | 666,666.67 | 333,333.33 | Relatedtoincome | ||||
| Intellectualpropertysubsidyfunds | 300,000.00 | 127,731.94 | 172,268.06 | Relatedtoincome | ||||
| Total | 48,315,088.67 | 12,912,452.83 | 14,786,136.06 | 169,811.31 | 46,271,594.13 |
Otherdescription
30.Sharecapital
InRMB
| Openingbalance | Changesthistime(+,-) | Closingbalance | |||||
| Newissuedshares | Awardedshares | Sharesconvertedfromhousingfunds | Others | Sub-total | |||
| Totalshares | 990,023,518.00 | 57,257,371.00 | 733,096,622.00 | 790,353,993.00 | 1,780,377,511.00 | ||
Otherdescription:
1.AccordingtoresolutionsofthefourthsessionandtheseventhsessionofthethirdBoardofDirectorsandthesixthextraordinarygeneralmeetingofshareholdersin2017,andtheApprovaltoIssuanceofSharesbyHappigoInc.toMangoMediaCo.,Ltd.andOtherEntitiesforPurchaseofAssetsandRaisingofMatchingFunds(ZhengJianXuKe[2018]No.999)issuedbytheChinaSecuritiesRegulatoryCommission(hereinafterreferredtoasthe"CSRC"),theCompanyisapprovedtoissuesharesthroughprivateofferingtoraisematchingfundsmaximizedinRMB2billion.Forthecurrentperiod,theCompanyissued57,257,371sharesofordinaryshares(Ashares)throughprivateofferingatanissuepriceofRMB34.93pershare,andactuallyraisedfundsofRMB1,999,999,969.03intotal.Afterdeductionoftheunderwritingfee(includingtax)ofRMB17,680,000.00,thefundsraisedwasRMB1,982,319,969.03.Bydeductingother
issuanceexpenses(includingtax)includingthelegalfeesandcapitalverificationfeesamountingtoRMB657,257.37intotal,andaddingthedeductibleinputtaxofRMB1,037,957.96,thenetfundsraisedwasRMB1,982,700,669.62,includingthepaid-upcapitalamountingtoRMB57,257,371.00,andtherecognizedcapitalreserve(sharecapitalpremium)amountingto1,925,443,298.62.HunanBranchofPan-ChinaCertifiedPublicAccountantsLLPauditedthiscapitalincreaseandissuedaCapitalVerificationReport(TianJianYan[2019]No.2-16)onMay22,2019.
2.PursuanttotheresolutionoftheCompany'ssecondextraordinarygeneralmeetingofshareholdersin2019,allshareholderswouldbeawardedwith7sharesforeach10sharesonthebasisoftheexisting1,047,280,889sharesintotalasatJune30,2019,increasingthetotalsharecapitalto1,780,377,511sharesaftertheconversion.HunanBranchofPan-ChinaCertifiedPublicAccountantsLLPauditedthiscapitalincreaseandissuedaCapitalVerificationReport(TianJianXiangYan[2019]No.60)onOctober9,2019.
31.Capitalreserve
InRMB
Item
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| Capitalpremium(Sharecapitalpremium) | 3,634,826,591.89 | 1,930,943,298.62 | 733,096,622.00 | 4,832,673,268.51 |
| Othercapitalreserve | 6,264,437.84 | 6,264,437.84 | ||
| Total | 3,641,091,029.73 | 1,930,943,298.62 | 733,096,622.00 | 4,838,937,706.35 |
Otherdescription,includingchangesinthecurrentperiodandchangereasons:
Theincreaseinthecapitalreserveisdueto:
1.ThecapitalpremiumofRMB1,925,443,298.62arisingfromtheCompany'scurrentprivateofferingtoraisematchingfunds,asdetailedinNote30,Sharecapital.
2.Thereceivedstate-ownedcapitalofRMB5,500,000.00in2019fromcultureenterprisesunderprovincialmanagement.
Thedecreaseinthecapitalreserveforthecurrentperiodisduetothatfactthat,asapprovedintheSecondExtraordinaryGeneralMeetingofShareholdersin2019,allshareholdersareawardedwith7sharesforeach10sharesonthebasisoftheexisting1,047,280,889sharesintotal,withcorrespondingconsiderationpaidbythebalanceofcapitalreserveequaltoRMB733,096,622.00.
32.Surplusreserve
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| Statutorysurplusreserve | 84,782,321.71 | 84,782,321.71 | ||
| Total | 84,782,321.71 | 84,782,321.71 |
Descriptionofsurplusreserve,includingchangesinthecurrentperiodandchangereasons:
33.Retainedprofits
InRMB
| Item | Currentperiod | Priorperiod |
Retainedprofitsattheendofpriorperiodbeforeadjustment
| Retainedprofitsattheendofpriorperiodbeforeadjustment | 923,476,426.28 | 517,751,008.19 |
| Totaladjustedretainedprofitsatthebeginningoftheperiod(Add:+;Less:-) | -437,374,841.38 | |
| Retainedprofitsatthebeginningoftheperiodafteradjustment | 923,476,426.28 | 80,376,166.81 |
| Add:NetprofitattributabletoownersoftheCompanyfortheperiod | 1,156,285,253.73 | 865,568,532.45 |
| Less:Appropriationtostatutorysurplusreserve | 2,418,272.98 | |
| Dividendsonordinarysharespayable | 20,050,000.00 | |
| Retainedprofitsattheendoftheperiod | 2,079,761,680.01 | 923,476,426.28 |
Detailsofadjustmentstoretainedprofitsatthebeginningoftheperiod:
1)AsaresultoftheretrospectiveadjustmentoftheAccountingStandardsforBusinessEnterprisesandrelatednewregulations,retainedprofitsatthebeginningoftheperiodwereaffectedbyRMB0.00.
2)RetainedprofitsatthebeginningoftheperiodwereaffectedbyRMB0.00duetochangesinaccountingpolicies.
3)RetainedprofitsatthebeginningoftheperiodwereaffectedbyRMB0.00duetothecorrectionofsignificantaccountingerrors.
4)RetainedprofitsatthebeginningoftheperiodwereaffectedbyRMB0.00duetochangesinthescopeofconsolidationresultingfrombusinesscombinationinvolvingenterprisesundercommoncontrol.
5)RetainedprofitsatthebeginningoftheperiodwereaffectedbyRMB0.00intotalduetootheradjustments.
34.Operatingincomeandoperatingcosts
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod | ||
| Income | Cost | Income | Cost | |
| Principaloperatingactivities | 12,283,968,853.93 | 8,181,187,347.79 | 9,429,813,255.36 | 5,973,389,681.68 |
| Otheroperatingactivities | 216,695,378.12 | 103,553,601.63 | 230,848,158.36 | 109,383,069.69 |
| Total | 12,500,664,232.05 | 8,284,740,949.42 | 9,660,661,413.72 | 6,082,772,751.37 |
Ifthenewrevenuestandardhasbeenadopted
□Yes√NoOtherdescription
35.Taxesandlevies
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Consumptiontax | 167,486.70 | 817,607.71 |
Cityconstructionandmaintenancetax
| Cityconstructionandmaintenancetax | 5,900,635.15 | 7,809,189.28 |
| Educationsurcharges | 4,437,184.38 | 5,822,119.27 |
| Propertytax | 651,832.90 | 633,417.23 |
| Landusetax | 294,816.00 | 295,184.52 |
| Vehicleandvesseltax | 24,970.00 | 11,600.00 |
| Stampduty | 2,706,383.81 | 2,003,008.98 |
| DevelopmentFeesforCulturalUndertakings | 82,219,302.29 | 80,450,488.60 |
| Others | 28,120.33 | 60,949.19 |
| Total | 96,430,731.56 | 97,903,564.78 |
Otherdescription:
36.Sellingexpenses
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Employee’sbenefitsandlaborcosts | 594,022,500.47 | 528,984,546.33 |
| Depreciationandamortization | 10,708,960.80 | 9,505,090.27 |
| Advertisingcosts | 1,175,246,290.72 | 883,038,507.05 |
| Paymentsforinternetaccesscooperation | 200,426,442.86 | 189,072,489.16 |
| Settlementcostsoflogisticsandservicechargesforpaymentcollection | 53,935,525.49 | 77,196,572.79 |
| Businesstravelexpenses | 25,541,037.00 | 24,435,399.78 |
| Programproductioncosts | 9,730,185.87 | 14,824,137.98 |
| Channelsalesandoperationsdevelopmentexpenses | 35,871,112.32 | 30,977,527.91 |
| Others | 35,202,099.92 | 43,427,534.13 |
| Total | 2,140,684,155.45 | 1,801,461,805.40 |
Otherdescription:
37.Administrativeexpenses
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Employee’sbenefitsandlaborcosts | 391,323,328.42 | 266,010,028.57 |
| Depreciationandamortization | 58,628,415.09 | 56,355,584.33 |
| Legalcosts | 13,302,853.01 | 10,137,054.18 |
| Officeandadministrativeservice | 95,274,367.16 | 76,866,877.19 |
Agencyfees
| Agencyfees | 11,738,465.41 | 6,925,523.14 |
| Businessentertainmentexpenses | 2,740,267.03 | 3,499,442.61 |
| Others | 37,130,743.80 | 41,428,175.54 |
| Total | 610,138,439.92 | 461,222,685.56 |
Otherdescription:
38.Researchanddevelopmentexpenses
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Employee’sbenefitsandlaborcosts | 128,112,151.81 | 177,755,848.09 |
| Depreciationandamortization | 21,407,106.17 | 28,036,121.10 |
| Travelexpenses | 12,430.48 | 1,939,359.20 |
| Technicalservicefees | 81,582,077.08 | 6,218,204.59 |
| Others | 8,185,566.32 | 6,934,663.34 |
| Total | 239,299,331.86 | 220,884,196.32 |
Otherdescription:
39.Financialexpense
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Interestexpenses | 15,981,713.90 | 14,167,593.20 |
| Less:Interestincome | 65,976,045.63 | 42,647,994.28 |
| Servicecharge | 13,022,001.64 | 4,728,626.50 |
| Exchangeprofitorloss | 395,763.36 | -447,037.00 |
| Total | -36,576,566.73 | -24,198,811.58 |
其他说明：
Otherdescription:
40.Otherincome
InRMB
| Sourceofotherincome | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Governmentgrantsrelatedtoassets | 12,748,320.76 | 10,398,094.35 |
| Governmentgrantsrelatedtoincome | 44,851,235.43 | 17,267,089.49 |
| Refundofservicefeesofwithholdingpersonalincometax | 1,123,274.02 | 1,935,178.55 |
Total
| Total | 58,722,830.21 | 29,600,362.39 |
41.Investmentincome
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Incomefromlong-termequityinvestmentsunderequitymethod | -5,105,446.79 | -7,966,291.26 |
| Incomefrominvestmentsinfilmandtelevisionplaywithoutcopyrights | 4,227,644.04 | 3,195,537.71 |
| Incomefromwealthmanagementproducts | 7,344,704.18 | 36,174,584.14 |
| Total | 6,466,901.43 | 31,403,830.59 |
Otherdescription:
42.Incomefromchangesinfairvalue
InRMB
| Sourceofincomefromchangesinfairvalue | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Othernon-currentfinancialassets-investmentsinequityinstrument(Financialassetsatfairvaluethroughprofitorloss) | -1,370,986.18 | |
| Total | -1,370,986.18 |
Otherdescription:
43.Impairmentlossesofcredit
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Baddebtlossesofotherreceivables | 31,334.30 | |
| Baddebtlossesofaccountsreceivable | -50,020,218.33 | |
| Othercurrentassets-lossesofimpairmentonissuedloans | -1,253,943.11 | |
| Total | -51,242,827.14 |
Otherdescription:
44.Impairmentlossesofassets
Ifthenewrevenuestandardhasbeenadopted
□Yes√No
InRMB
Item
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| I.Baddebtlosses | 1,371,927.60 | -101,591,231.51 |
| II.Lossesfromdeclineinvalueofinventories | -1,996,052.09 | -2,095,600.91 |
| III.Impairmentlossesofavailable-for-salefinancialassets | -195,516.64 | |
| IV.Impairmentlossesoffixedassets | -66,209.37 | |
| V.Others | -491,517.51 | |
| Total | -624,124.49 | -104,440,075.94 |
Otherdescription:
45.Incomefromdisposalofassets
InRMB
| Sourceofincomefromdisposalofassets | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Incomefromdisposaloffixedassets | -168,797.67 | -1,741.95 |
46.Non-operatingincome
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod | Amountincludedinnon-recurringprofitorlossfortheperiod |
| Governmentgrants | 2,521,000.00 | ||
| Gainsfromdamageandretirementofnon-currentassets | 51,169.81 | 51,169.81 | |
| Incomefromsafeguardinglegalrights | 24,730,857.50 | 11,446,340.62 | 24,730,857.50 |
| Others | 1,061,063.97 | 881,353.05 | 1,061,063.97 |
| Total | 25,843,091.28 | 14,848,693.67 | 25,843,091.28 |
Governmentgrantsrecognizedincurrentprofitorloss:
InRMB
| Grants | Issuer | Reason | Nature | Ifcurrentearningsorlossesaffectedbythesubsidy | Ifspecialsubsidy | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod | Relatedtoassets/relatedtoincome |
Otherdescription:
47.Non-operatingexpenses
InRMB
Item
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod | Amountincludedinnon-recurringprofitorlossfortheperiod |
| Externaldonation | 1,004,295.80 | 20,005,946.49 | 1,004,295.80 |
| Lossesfromdamageandretirementofnon-currentassets | 135,510.79 | 1,192,526.64 | 135,510.79 |
| Compensationexpenditures | 21,447,884.24 | 21,353,299.60 | 21,447,884.24 |
| Others | 3,451,527.88 | 2,474,394.80 | 3,451,527.88 |
| Total | 26,039,218.71 | 45,026,167.53 | 26,039,218.71 |
Otherdescription:
48.Incometaxexpenses
(1)Incometaxexpenses
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Currentincometaxexpenses | 16,092,665.26 | 18,847,718.84 |
| Deferredincometaxexpenses | 3,938,878.58 | 578,007.47 |
| Total | 20,031,543.84 | 19,425,726.31 |
(2)Reconciliationofincometaxexpensestotheaccountingprofit:
InRMB
| Item | Amountincurredinthecurrentperiod |
| Totalprofit | 1,177,534,059.30 |
| Incometaxexpensecalculatedbasedonstatutory/applicabletaxrate | 294,383,514.83 |
| Effectofdifferenttaxratesofsubsidiariesoperatinginotherjurisdictions | -280,101,621.87 |
| Effectofadjustmentonincometaxfortheperiod | 3,938,878.58 |
| Effectofnon-taxableincome | 1,276,361.70 |
| Effectofnon-deductiblecost,expenseandloss | 181,476.56 |
| Effectofutilizingdeductiblelossnotrecognizedfordeferredtax | -4,526,298.45 |
assetsforpriorperiod
| assetsforpriorperiod | |
| Effectofdeductibletemporarydifferenceordeductiblelossnotrecognizedfordeferredtaxassetsforthecurrentperiod | 5,556,100.15 |
| AdditionaldeductionofR&Dexpenses | -676,867.66 |
| Incometaxexpense | 20,031,543.84 |
Otherdescription:
49.Notestoitemsinthecashflowstatement
(1)Othercashreceiptsrelatingtooperatingactivities
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Otherbusinessincome | 192,630,932.33 | 181,489,406.70 |
| Governmentgrants | 42,494,918.97 | 44,503,423.72 |
| Interestincome | 65,976,045.63 | 44,450,418.46 |
| Notedepositsandlegalaffairsdeposits | 10,422,873.28 | 14,451,275.00 |
| Incomefromsafeguardinglegalrights | 24,730,857.50 | 11,446,340.62 |
| Receivablesandpayablesandothers | 35,197,705.87 | 24,660,197.94 |
| Recoveryofstructuraldeposits | 207,929,851.46 | |
| Total | 371,453,333.58 | 528,930,913.90 |
Descriptionofothercashreceiptsrelatingtooperatingactivities:
(2)Othercashpaymentsrelatingtooperatingactivities
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Paymentsofvariousexpenses | 1,806,621,786.03 | 1,407,854,117.70 |
| Otherbusinessexpenditures | 82,336,163.55 | 70,452,034.55 |
| Bankservicefees | 13,022,001.64 | 4,728,626.50 |
| Notedepositsandautomobileloandeposits | 402,451.90 | 11,822,387.15 |
| Externaldonation | 1,004,295.80 | 20,005,946.49 |
| Others | 38,661,153.34 | 30,288,831.45 |
| Total | 1,942,047,852.26 | 1,545,151,943.84 |
Descriptionofothercashpaymentsrelatingtooperatingactivities:
(3)Othercashreceiptsrelatingtoinvestingactivities
InRMB
Item
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Recoveryofbankwealthmanagementproducts | 840,100,000.00 | 3,752,880,000.00 |
| Incomefromwealthmanagementproducts | 7,344,704.18 | 38,890,334.01 |
| Incomefrominvestmentsincopyrightswheretheinvestorhavenocopyrights | 945,045.86 | 4,056,226.41 |
| Receivedinvestmentsinfilmandtelevisionplays | 10,390,721.60 | |
| Total | 858,780,471.64 | 3,795,826,560.42 |
Descriptionofothercashreceiptsrelatingtoinvestingactivities:
(4)Othercashpaymentsrelatingtoinvestingactivities
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Wealthmanagementproducts | 657,600,000.00 | 2,469,500,000.00 |
| InvestmentsinFilmandTelevisionProducts | 20,631,999.95 | |
| Total | 657,600,000.00 | 2,490,131,999.95 |
Descriptionofothercashpaymentsrelatingtoinvestingactivities:
(5)Othercashpaymentsrelatingtofinancingactivities
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Financingcostsforrestructuring | 8,077,370.82 | |
| Acquisitionofminorityinterests | 3,250,900.00 | |
| Repaymentofrelatedpartyborrowings | 240,000,000.00 | |
| Matchingexpendituresonfinancingcosts | 657,257.37 | |
| Total | 657,257.37 | 251,328,270.82 |
Descriptionofothercashpaymentsrelatingtofinancingactivities:
50.Supplementaryinformationtothecashflowstatement(I)Supplementaryinformationtothecashflowstatement
InRMB
| Supplementaryinformation | AmountintheCurrentperiod | AmountinthePriorperiod |
1.Reconciliationofnetprofittocashflowfromoperatingactivities:
| 1.Reconciliationofnetprofittocashflowfromoperatingactivities: | -- | -- |
| Netprofit | 1,157,502,515.46 | 927,574,396.79 |
| Add:Provisionforimpairmentlossesofassets | 51,866,951.63 | 104,440,075.94 |
| Depreciationoffixedassets,depletionofoilandgasassets,depreciationofbearerbiologicalassets | 60,969,750.12 | 68,635,398.27 |
| Amortizationofintangibleassets | 3,684,525,176.86 | 2,171,837,605.25 |
| Amortizationoflong-termprepaidexpenses | 25,123,027.11 | 19,926,071.85 |
| Lossesondisposaloffixedassets,intangibleassetsandotherlong-termassets(gainsareindicatedby"－") | 168,797.67 | 1,741.95 |
| Lossesonretirementoffixedassets(gainsareindicatedby"－") | 84,340.98 | 1,192,526.64 |
| Lossesonchangesinfairvalues(gainsareindicatedby"－") | 1,370,986.18 | |
| Financialexpenses(incomeisindicatedby"－") | 16,377,477.26 | 13,720,556.20 |
| Investmentlosses(incomeisindicatedby"－") | -6,466,901.43 | -31,403,830.59 |
| Decreaseindeferredtaxassets(increaseisindicatedby"－") | 3,938,878.58 | 578,007.47 |
| Decreaseininventories(increaseisindicatedby"－") | 296,441,004.11 | -887,309,307.19 |
| Decreaseinreceivablesfromoperatingactivities(increaseisindicatedby"－") | -1,048,364,434.32 | -1,357,603,825.98 |
| Increaseinpayablesfromoperatingactivities(decreaseisindicatedby"－") | 1,692,076,134.46 | 1,735,779,685.41 |
| Others | -5,642,746,993.49 | -3,144,289,719.59 |
| Netcashflowfromoperatingactivities | 292,866,711.18 | -376,920,617.58 |
| 2.Significantinvestingandfinancingactivitiesthatdonotinvolvecashreceiptsandpayments: | -- | -- |
| 3.Netchangesincashandcashequivalents: | -- | -- |
Closingbalanceofcash
| Closingbalanceofcash | 5,041,075,499.16 | 2,514,587,154.25 |
| Less:Openingbalanceofcash | 2,514,587,154.25 | 1,937,793,695.99 |
| Netincreaseincashandcashequivalents | 2,526,488,344.91 | 576,793,458.26 |
(2)Compositionofcashandcashequivalents
InRMB
| Item | Closingbalance | Openingbalance |
| I.Cash | 5,041,075,499.16 | 2,514,587,154.25 |
| Including:Cashonhand | 104,219.13 | 169,279.43 |
| Bankdepositthatcanbepaidatanytime | 5,003,669,597.21 | 2,508,664,353.08 |
| Othermonetaryfundsthatcanbepaidatanytime | 37,301,682.82 | 5,753,521.74 |
| III.Closingbalanceofcashandcashequivalents | 5,041,075,499.16 | 2,514,587,154.25 |
Otherdescription:
1.Thelineitemof“Others”inthesupplementaryinformationtothecashflowstatementrefertotheinfluencesofcashflowinthepresentationofthecashpaidforthepurchaseofcopyrightsrecognizedinintangibleassets.
2.Intheclosingbalanceofbankbalances,theamountofRMB2,000.00usingasETCdepositandtheamountofRMB21,178,116.53frozenduetosubrogationrecourseofthethirdpartiesarerestrictedtouse.Intheclosingbalanceofothermonetaryfunds,theamountofRMB1,177,322.01usingasnoteandotherdepositsandtheamountofRMB791,643.76usingasautomobileloandepositsarerestrictedtouse.
51.Assetswithrestrictionsinownershiporuseright
InRMB
| Item | Closingbalanceofcarryingamount | Reasonsforrestriction |
| Cashandbankbalances | 23,149,082.30 | Bandacceptancedeposits,frozenamountsduetolitigation.automobileloandeposits |
| Total | 23,149,082.30 | -- |
Otherdescription:
52.Foreigncurrencyitem
(1)Foreigncurrencyitem
InRMB
| Item | Closingbalanceofforeigncurrency | Exchangerate | TranslatedbalanceinRMB |
Cashandbankbalances
| Cashandbankbalances | -- | -- | 3,447,994.59 |
| Including:USD | 493,967.94 | 6.9762 | 3,446,019.14 |
| EUR | |||
| HKD | 2,205.28 | 0.89578 | 1,975.45 |
| Accountsreceivable | -- | -- | 1,176,187.32 |
| Including:USD | 168,600.00 | 6.9762 | 1,176,187.32 |
| EUR | |||
| HKD |
| Long-termborrowings | -- | -- |
| Including:USD | ||
| EUR | ||
| HKD |
Otherdescription:
53.Governmentgrants
(1)Basicgovernmentgrants
InRMB
| Category | Amount | Lineitem | Amountrecognizedincurrentprofitorloss |
| Governmentgrantsrelatedtoassets | 12,748,320.76 | Otherincome | 12,748,320.76 |
| GovernmentgrantsrelatedtoincomeandusedforcompensationoftheCompany’srelevantcostsorlossesinsubsequentperiods | 2,037,815.30 | Otherincome | 2,037,815.30 |
| AdditionaldeductionofValueaddedtax | 13,230,953.99 | Otherincome | 13,230,953.99 |
| Financialsupportfunds | 7,619,635.16 | Otherincome | 7,619,635.16 |
| ThefirstbatchoffinancialawardsforR&DofenterprisesinHunanProvincein2019 | 4,771,400.00 | Otherincome | 4,771,400.00 |
| Nationaltop30cultural | 3,000,000.00 | Otherincome | 3,000,000.00 |
enterprisesaward
| enterprisesaward | |||
| SpecialfundsforInternetindustrydevelopment | 3,000,000.00 | Otherincome | 3,000,000.00 |
| MangoTV's2018NationalInternetTop100EnterpriseAwards | 2,000,000.00 | Otherincome | 2,000,000.00 |
| MaLanshanculturalindustrysubsidy | 2,000,000.00 | Otherincome | 2,000,000.00 |
| SpecialfundsubsidiestoWonderfulFriendsofVoodooAcademy | 1,500,000.00 | Otherincome | 1,500,000.00 |
| Exhibitionsubsidiesto2019HongKongFilmandTelevisionExhibition | 1,000,000.00 | Otherincome | 1,000,000.00 |
| SpecialfundsubsidiestomobilegameofPrincessReturningPearl | 1,000,000.00 | Otherincome | 1,000,000.00 |
| SubsidiestotheCityoftheFamily | 729,245.29 | Otherincome | 729,245.29 |
| Supportfundsforgoodplayscripts | 540,000.00 | Otherincome | 540,000.00 |
| Onlineaudioandvisualrewards | 273,584.91 | Otherincome | 273,584.91 |
| MangoTVe-commerceplatformsubsidy | 250,000.00 | Otherincome | 250,000.00 |
| SubsidytoTheLastofUs | 248,165.00 | Otherincome | 248,165.00 |
| Subsidyfortheselectionof"MyFavoriteHunanGoldenSong" | 251,177.57 | Otherincome | 251,177.57 |
| Jobmarketstabilizationsubsidy | 200,000.00 | Otherincome | 200,000.00 |
| High-techenterpriseincentivefunds | 200,000.00 | 200,000.00 | |
| 2019FinancingInnovationAssessmentSpecialFundingAward | 200,000.00 | Otherincome | 200,000.00 |
| Financialindustryincentives | 160,000.00 | Otherincome | 160,000.00 |
| Returnofwithholdingcharges | 147,000.00 | Otherincome | 147,000.00 |
| 2019MicrofinanceCompanyRiskCompensation | 142,060.47 | Otherincome | 142,060.47 |
2019ScienceandTechnologyPlanprojectsupportofKaifukuDistrict
| 2019ScienceandTechnologyPlanprojectsupportofKaifukuDistrict | 100,000.00 | Otherincome | 100,000.00 |
| 2019SpecialFundsofChangshaCityforMobileInternetIndustryDevelopment | 100,000.00 | Otherincome | 100,000.00 |
| Subsidytocopyright-intensivecultivationprojectsofChangshaIntellectualPropertyOffice | 100,000.00 | Otherincome | 100,000.00 |
| Subsidyto"SuperVocal" | 100,000.00 | Otherincome | 100,000.00 |
| Others | 150,197.74 | Otherincome | 150,197.74 |
VIII.CHANGESINSCOPEOFCONSOLIDATION
1.ChangesinscopeofconsolidationforotherreasonsDescriptionofchangesinthescopeofconsolidationforotherreasons(e.g.,newsubsidiaryestablishmentandsubsidiaryliquidation,etc.)andtherelevantinformation:
1.Newcompanyforthecurrentperiod
| Companyname | Methodofobtainingequity | Timepointofobtainingequity | Capitalcontribution | Proportionofcontribution |
| HunanHappyStarlightInteractiveEntertainmentMediaCo.,Ltd. | Establishment | September8,2019 | RMB50million | 100% |
2.DeregisteredcompanyforthecurrentperiodMammaMiaGlobalTradingCo.,LimitedcanceleditsregistrationincompetentadministrationforindustryandcommerceandtaxauthorityonNovember29,3019.Sincethedateofestablishment,thecompanyhasengagedinnobusinessHappigoCloudProvidersTrading(HongKong)Co.,LimitedcanceleditsregistrationincompetentadministrationforindustryandcommerceandtaxauthorityonSeptember20,3019.Sincethedateofestablishment,thecompanyhasengagedinnobusiness.IX.INTERESTSINOTHERENTITIES
1.Interestsinsubsidiaries
(1)Compositionofenterprisegroup
| Nameofsubsidiary | Principaloperationplace | Registrationplace | Businessnature | Proportionofshareholding | Acquisitionmethod | |
| Direct | Indirect | |||||
| Shanghai | Shanghai | Shanghai | Commerce | 100.00% | Establishment | |
HappigoEnterpriseDevelopmentCo.,Ltd.
| HappigoEnterpriseDevelopmentCo.,Ltd. | ||||||
| ShanghaiHappivisionAdvertisingCommunicationCo.,Ltd. | Shanghai | Shanghai | Commerce | 100.00% | Establishment | |
| Happigo(Beijing)NewMediaTechnologyCo.,Ltd. | Beijing | Beijing | Commerce | 100.00% | Establishment | |
| DougCloudBusiness(Hunan)TradeLimitedLiabilityCompany | Changsha | Changsha | Commerce | 100.00% | Establishment | |
| Doug(Shanghai)InvestmentManagementLimitedLiabilityCompany | Shanghai | Shanghai | Commerce | 100.00% | Establishment | |
| MangoLife(Hunan)E-commerceLimitedLiabilityCompany | Changsha | Changsha | Commerce | 100.00% | Establishment | |
| Happigo(Hunan)SupplyChainManagementCo.,Ltd. | Changsha | Changsha | Storage | 100.00% | Businesscombinationnotinvolvingenterprisesundercommoncontrol | |
| ShanghaiMeimiTradeCo.,Ltd. | Shanghai | Shanghai | Commerce | 100.00% | Establishment | |
| DameirenGlobalTradingCo.,Limited | Shanghai | HongKong | Commerce | 100.00% | Establishment | |
| NingboBondedAreaHappigoCloudProvidersInternational | Ningbo | Ningbo | Commerce | 100.00% | Establishment |
TradingCo.,Ltd.
| TradingCo.,Ltd. | ||||||
| HunanMangoAutoAutomobileSalesCo.,Ltd. | Changsha | Changsha | Commerce | 51.00% | Establishment | |
| DameiFashion(Shanghai)CultureMediaCo.,Ltd. | Shanghai | Shanghai | Commerce | 49.00% | Establishment | |
| HappigoCo.,Ltd. | Changsha | Changsha | Commerce | 100.00% | Establishment | |
| HunanHappyMoneyMicrofinanceCo.,Ltd. | Changsha | Changsha | Finance | 100.00% | Establishment | |
| HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd. | Changsha | Changsha | Video | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| HunanMangoEntertainmentCo.,Ltd | Changsha | Changsha | Film&Television | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| MangoStudiosCo.,Ltd. | Changsha | Changsha | Film&Television | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| ShanghaiMangofunTechnologyCo.,Ltd. | Shanghai | Shanghai | Game | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| ShanghaiEE-MediaCo.,Ltd. | Shanghai | Shanghai | Film&Television | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| ZhejiangDongyangTianyuFilmand | Zhejiang | Zhejiang | Film&Television | 100.00% | Businesscombinationinvolving |
TelevisionCultureCo.Ltd.
| TelevisionCultureCo.Ltd. | enterprisesundercommoncontrol | |||||
| HunanTianyuFilmandTelevisionProductionCo.Ltd. | Changsha | Changsha | Film&Television | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| BeijingSuperVocalCultureCo.Ltd. | Beijing | Beijing | Music | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| BeijingHappyMangoCultureMediaCo.,Ltd. | Beijing | Beijing | Culturemedia | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| HorgosHappySunshineMediaCo.,Ltd. | Horgos | Horgos | Culturemedia | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| HunanHappyMangofunTechnologyCo.,Ltd. | Changsha | Changsha | Game | 100.00% | Businesscombinationinvolvingenterprisesundercommoncontrol | |
| HangzhouHemeiInteractiveEntertainmentTechnologyCo.,Ltd. | Hangzhou | Hangzhou | Commerce | 54.00% | Establishment | |
| HunanHappyStarLightInteractiveEntertainmentMediaCo.,Ltd. | Haikou | Haikou | Commerce | 100.00% | Establishment |
Descriptionofthedifferencebetweentheproportionofshareholdingandtheproportionofvotingrightsinasubsidiary:
TheCompanyholdsoverhalfofthevotingrightsofDameiFashion(Shanghai)CultureMediaCo.,Ltd..Basisforholdinghalfofthevotingrightsorbelowbutstillcontrollingtheinvestee,andholdingoverhalfofthevotingrightbuthavingnocontrolovertheinvestee:
DameiFashion(Shanghai)CultureMediaCo.,Ltd.wasjointlyestablishedbyShanghaiHappivisionAdvertisingCommunicationCo.,Ltd.,HangzhouHanyiE-CommerceCo.Ltd.andHEJiong,inwhichShanghaiHappivisionAdvertisingCommunicationCo.,Ltd.investedRMB4.9millionincash,accountingfor49%ofshares;HangzhouHanyiE-CommerceCo.Ltd.investedRMB4.1millionincash,accountingfor41%ofshares;andHEJionginvestedRMB1millionincash,accountingfor10%ofshares.AsShanghaiHappivisionAdvertisingCommunicationCo.,Ltd.hasconcludedtheActing-in-concertAgreementwithHEJiong,itcancontrolDameiFashion(Shanghai)CultureMediaCo.,Ltd..Basisforcontrolsoversignificantstructuredentitiesincludedinconsolidationscope:
Basistodeterminethecompanyactsastheagentortheprincipal:
Otherdescription:
（2）Significantnon-whollysubsidiaries
InRMB
Nameofsubsidiary
| Nameofsubsidiary | Shareholdingproportionbyminorityshareholders | Profitorlossattributabletominorityinterestsforthecurrentperiod | Dividendsdeclaredfordistributiontominorityshareholdersinthecurrentperiod | Closingbalanceofminorityinterests |
| HunanMangoAutoAutomobileSalesCo.,Ltd. | 49.00% | -449,859.62 | 29,814,050.99 |
Descriptionofthedifferencebetweentheproportionofshareholdingbyminorityshareholdersandtheirproportionofvotingrightsinasubsidiary:
Otherdescription:
(3)Significantfinancialinformationofsignificantnon-whollysubsidiaries
InRMB
| Nameofsubsidiary | Closingbalance | Openingbalance | ||||||||||
| Currentassets | Non-currentassets | Totalassets | Currentliabilities | Non-currentliabilities | Totalliabilities | Currentassets | Non-currentassets | Totalassets | Currentliabilities | Non-currentliabilities | Totalliabilities | |
| HunanMangoAutoAutomobileSalesCo.,Ltd. | 48,911,515.19 | 17,876,051.30 | 66,787,566.49 | 5,942,564.46 | 5,942,564.46 | 46,495,699.77 | 23,079,638.71 | 69,575,338.48 | 7,812,255.59 | 7,812,255.59 | ||
InRMB
| Nameofsubsidiary | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod | ||||||
| Operatingincome | Netprofit | Totalcomprehensiveincome | Cashflowsfromoperatingactivities | Operatingincome | Netprofit | Totalcomprehensiveincome | Cashflowsfromoperatingactivities | |
HunanMangoAutoAutomobileSalesCo.,Ltd.
| HunanMangoAutoAutomobileSalesCo.,Ltd. | 318,492,977.00 | -918,080.86 | -918,080.86 | -13,467,087.68 | 201,824,225.28 | -16,904,790.34 | -16,904,790.34 | 47,950,196.02 |
Otherdescription:
2.Interestsinjointventuresorassociates
(1)Significantassociatesorjointventures
| Nameofassociateorjointventure | Principaloperatingplace | Registrationplace | Businessnature | Shareholdingproportion | Accountingtreatmentsforinvestmentsinjointventuresorassociates | |
| Direct | Indirect | |||||
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | Shanghai | Shanghai | Commerce | 24.25% | Equitymethod | |
| MalanshanCultureCreativeInvestmentCo.,Ltd. | Changsha | Changsha | Commerce | 40.00% | Equitymethod | |
Descriptionofthedifferencebetweentheproportionofshareholdingandtheproportionofvotingrightsinjointventuresorassociates:
Basisforholdinglessthan20%ofvotingrightsbuthavingsignificantinfluence,orover20%votingrightsbutnothavingsignificantinfluence:
(2)Majorfinancialinformationofsignificantassociates
InRMB
| Closingbalance/Amountincurredinthecurrentperiod | Openingbalance/Amountincurredinthepriorperiod | |||
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | MalanshanCultureCreativeInvestmentCo.,Ltd. | ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | MalanshanCultureCreativeInvestmentCo.,Ltd. | |
| Currentassets | 49,314,062.01 | 1,082,492,014.11 | 47,046,104.53 | 824,242,284.51 |
| Non-currentassets | 1,116,210.90 | 4,339,002.87 | 433,338.92 | 5,021,834.23 |
| Totalassets | 50,430,272.91 | 1,086,831,016.98 | 47,479,443.45 | 829,264,118.74 |
| Currentliabilities | 4,478,246.45 | 76,879,295.27 | 7,536,175.50 | 65,347,581.19 |
Non-currentliabilities
| Non-currentliabilities | 552,350,000.00 | 287,000,000.00 | ||
| TotalLiabilities | 4,478,246.45 | 629,229,295.27 | 7,536,175.50 | 352,347,581.19 |
| Minorityinterests | -2,806,046.69 | -1,294,024.67 | ||
| EquityattributabletoshareholdersoftheCompany | 45,952,026.46 | 460,407,768.48 | 39,943,267.95 | 478,210,562.22 |
| Shareofnetassetscalculatedbyshareholding | 11,144,055.70 | 184,163,107.39 | 9,686,841.63 | 191,284,224.89 |
| --Others | 9,477,670.66 | 5,651,345.43 | 8,919,214.02 | 5,651,345.43 |
| Carryingamountofinvestmentsininterestsofassociates | 20,621,726.36 | 189,814,452.82 | 18,606,055.65 | 196,935,570.32 |
| Operatingincome | 147,020,185.57 | 143,360,543.34 | 1,070,311.93 | |
| Netprofits | 8,311,530.06 | -19,314,815.84 | 8,057,454.65 | -13,179,278.75 |
| Totalcomprehensiveincome | 8,311,530.06 | -19,314,815.84 | 8,057,454.65 | -13,179,278.75 |
Otherdescription:
(3)Excessivelossofjointventureorassociates
InRMB
| Nameofassociatesorjointventures | Accumulatedlossnotrecognizedinthepriorperiod | Lossnotrecognizedinthecurrentperiod(netprofitsharedinthecurrentperiod) | Closingaccumulatedlossnotrecognizedinthecurrentperiod |
| TianjinSunshineMeichuangTechnologyCo.,Ltd. | -134,568.32 | -2,030,158.64 | -2,164,726.96 |
Otherdescription:
X.RISKSRELATEDTOFINANCIALINSTRUMENTSTheCompany'sriskmanagementobjectivesaretoachieveaproperbalancebetweenrisksandyield,minimizetheadverseimpactsofrisksontheCompany'soperationperformance,andmaximizethebenefitsoftheshareholdersandotherstakeholders.Basedontheseriskmanagementobjectives,theCompany'sbasicriskmanagementstrategyistoidentifyandanalyzetheitsexposuretovariousrisks,establishanappropriatemaximumtolerancetorisk,implementriskmanagement,andmonitorregularlyandeffectivelytheseexposurestoensuretherisksaremonitoredatacertainlevel.TheCompanyisexposedtovariousrisksassociatedwithfinancialinstrumentsinitsdailyroutines,primarilyincludingcreditrisk,liquidityriskandmarketrisk.Themanagementhasreviewedandapprovedpoliciestomanagetheserisks,summarizedasbelow.（I）CreditriskCreditriskreferstotheriskthatapartyofthefinancialinstrumentwilldefaultonitsobligationsresultinginfinanciallosstothecounterparty.
1.Managementofcreditrisk
(1)EvaluationofcreditTheCompanyassessesateachbalancesheetdatewhetherthecreditriskoftheunderlyingfinancialinstrumentshasincreasedsignificantlysinceinitialrecognition.Indeterminingwhetherthecreditriskhasincreasedsignificantlysinceinitialrecognition,theCompanyconsidersreasonableandsupportableinformationthatisavailablewithoutunduecostoreffort,includingquantitativeandqualitativeanalysisbasedonhistoricaldata,rankingofexternalcreditrisksandforward-lookinginformation.TheCompanycomparestheriskofadefaultoccurringonafinancialinstrumentasatthebalancesheetdatewiththeriskofadefaultoccurringonthefinancialinstrumentasatthedateofinitialrecognitionbasedonindividualfinancialinstrumentoragroupoffinancialinstrumentswithsimilarcreditriskcharacteristic,todeterminethechangeoftheriskofadefaultoccurringonafinancialinstrumentovertheexpectedlife.TheCompanyconsidersthecreditriskoffinancialinstrumentshasincreasedsignificantlywhenoneormoreofthefollowingquantitativeandqualitativecriteriaaremet:
1)Thequantitativecriterionprimarilyreferstoacertainpercentageofincreaseintheprobabilityofdefaultovertheremaininglifeofthefinancialinstrumentsasofthebalancesheetdatewhencomparingwiththatatinitialrecognitionofthefinancialinstruments;
2)Thequalitativecriteriaincludes,interalia,adversematerialchangesinbusinessorfinancialconditionsthatareexpectedtocauseasignificantdecreaseinthedebtor'sabilitytomeetitsdebtobligations,andanactualorexpectedsignificantadversechangeinthetechnological,market,economic,orlegalenvironmentofthedebtorthatresultsinasignificantdecreaseinthedebtor’sabilitytomeetitsdebtobligations;
(2)Definitionofdefaultedorcredit-impairedassets
Afinancialassetisdefinedasdefaultedwhenthefinancialinstrumentmeetsoneormoreconditionsstatedasbelow,andthecriteriaofdefiningdefaultedassetisconsistentwiththethatofdefiningcredit-impairedasset:
1)significantfinancialdifficultyofthedebtor;
2)abreachofcontracttermswithbindingforcebythedebtor;
3)itisbecomingprobablethattheborrowerwillenterbankruptcyorotherfinancialreorganization;
4)thecreditorofthedebtor,foreconomicorcontractualreasonsrelatingtothedebtor’sfinancialdifficulty,hasgrantedtothedebtoraconcession(s)thatthecreditorwouldnototherwiseconsider.
2.Measurementofexpectedcreditloss(“ECL”)KeyparameterstomeasureECLincludetheprobabilityofdefault,lossgivendefaultandtheexposureatdefault.TheCompanyestablishedmodelsoftheprobabilityofdefault,lossgivendefaultandtheexposureatdefaultonthebasisofqualitativeanalysisonhistoricalstatisticaldata(suchascounterpartyranking,guaranteemethods,collateralcategory,andrepaymentway)andforward-lookinginformation.
3.DetailsofreconciliationoftheopeningbalanceandtheclosingbalanceofprovisionforimpairmentoffinancialinstrumentscanrefertothedescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates..
4.Creditriskexposureandcreditriskconcentration
TheCompany'screditriskisprimarilyfromcashandbankbalancesandreceivables.Inordertocontroltherisksassociatedwithaforementioneditems,theCompanyhastakenthefollowingmeasures.
(1)cashandbankbalances
ThecreditriskoftheCompanyislimitedbecausetheCompanyhasdepositedbankdepositsandothermonetaryfundsinbankswithhighcreditratings.
(2)Receivables
TheCompanycontinuallyevaluatesthecreditworthinessofitscustomerswithdealsoncredit,andselectstodealwithapprovedandcreditworthycustomerssubjecttotheresultsofthecreditassessmentwithmonitoringthebalanceofitsreceivables,soastoensurethattheCompanyisnotexposedtosignificantriskofbaddebt.
NocollateralsarerequiredsincetheCompanyonlydealswiththirdpartiesthatareapprovedandcreditworthy.Theconcentratedcreditrisksaremanagedbycustomers.AsofDecember31,2019,theCompanyisexposedtocertainconcentrationofcreditrisks,astheCompany’saccountsreceivablefromtop5customershaveaccountedfor33.31%ofthetotalbalanceofaccountsreceivable(December31,2018:39.91%).TheCompanyheldnocollateralsorothercreditrankingmeasuresforthebalanceofaccountsreceivable.
ThemaximumexposuretotheCompanyisthecarryingamountofeachfinancialassetinthebalancesheet.(II)LiquidityriskLiquidityriskrefertotheriskthattheCompanyisinshortageoffundsinperformingobligationsthataresettledbydeliveringcashoranotherfinancialasset.Inordertocontrolthisrisk,theCompanybalancesthecontinuityandflexibilityoffinancingbyusingvariousfinancingmeasuressuchasnotessettlementandbankloanscomprehensivelyandadoptingbothlong-termandshort-termfinancingmethodstooptimizethefinancingstructure.TheCompanyhasreceivedcreditfacilitiesfromanumberofcommercialbankstosatisfyitsworkingcapitalrequirementsandcapitalexpenditures.
Financialliabilitiesclassifiedbyremainingmaturity
Item
| Item | Closingbalance | ||||
| Bookvalue | Undiscountedcontractamount | Within1year | 1-3years | Over3years | |
| Short-termborrowings | 349,816,947.83 | 357,795,920.01 | 357,795,920.01 | ||
| Notespayable | 325,880,463.11 | 325,880,463.11 | 325,880,463.11 | ||
| Accountspayable | 5,048,443,928.94 | 5,048,443,928.94 | 5,048,443,928.94 | ||
| Otherpayables | 202,952,467.24 | 202,952,467.24 | 202,952,467.24 | ||
| Sub-total | 5,927,093,807.12 | 5,935,072,779.30 | 5,935,072,779.30 | ||
(Continuedtoabovetable)
| Item | Openingbalance[Note] | ||||
| Bookvalue | Undiscountedcontractamount | Within1year | 1-3years | Over3years | |
| Short-termborrowings | 196,321,826.31 | 203,421,021.04 | 203,421,021.04 | ||
| Notespayable | 266,521,867.49 | 266,521,867.49 | 266,521,867.49 | ||
| Accountspayable | 3,363,276,945.77 | 3,363,276,945.77 | 3,363,276,945.77 | ||
| Otherpayables | 179,824,884.96 | 179,824,884.96 | 179,824,884.96 | ||
| Sub-total | 4,005,945,524.53 | 4,013,044,719.26 | 4,013,044,719.26 | ||
[Note]:Thedifferencebetweentheopeningbalanceofthisyearandtheclosingbalanceoflastyear(December31,2018)canrefertothedescriptioninNoteV26,Changesinsignificantaccountingpoliciesandaccountingestimates..
(III)Marketrisk
Marketriskreferstotheriskthatthefairvalueorfuturecashflowsofafinancialinstrumentwillfluctuatebecauseofchangesinmarketprices.Marketriskmainlyincludesinterestrateriskandcurrencyrisk.
1.Interestraterisk
Interestrateriskistheriskthatthefairvalueorfuturecashflowsofafinancialinstrumentwillfluctuatebecauseofchangesinmarketinterestrates.SincetheCompany'sborrowingsareatfixedinterestrates,fluctuationsininterestratesofborrowingswillnothaveamaterialimpactontheCompany'stotalprofitsorshareholders'equity.
2.Currencyrisk
Currencyriskistheriskthatthefairvalueorfuturecashflowsofafinancialinstrumentwillfluctuatebecauseofchangesinnforeignexchangerates.TheCompany'sexposuretothecurrencyriskisprimarilyassociatedwiththeCompany’smonetaryassetsandliabilitiesdominatedinforeigncurrencies.Ifthemonetaryassetsandliabilitiesdominatedinforeigncurrenciesareimbalancedinashorttime,theCompanywillpurchaseandsellforeigncurrenciesatthemarketexchangeratetokeepthenetriskexposureacceptable.SincetheCompanymainlyoperatesinMainlandChinawithitsprincipalactivitiesdenominatedinRMB,theCompany'sexposuretothecurrencyriskduetochangesinmarketisnotmaterial.
TheclosingbalanceoftheCompany’smonetaryassetsandliabilitiesdominatedinforeigncurrenciescanrefertoNoteVII52,Foreigncurrencyitemfordetails.XI.DISCLOSUREOFFAIRVALUE
1.Theclosingbalanceofthefairvalueofassetsandliabilitiesmeasuredatfairvalue
InRMB
Item
| Item | Closingbalanceoffairvalue | |||
| Level1 | Level2 | Level3 | Total | |
| I.Continuousfairvaluemeasurement | -- | -- | -- | -- |
| (I)Held-for-tradingfinancialassets | 6,946,466.60 | 6,946,466.60 | ||
| 1.Financialassetsatfairvaluethroughprofitorloss | 6,946,466.60 | 6,946,466.60 | ||
| (2)Investmentinequityinstrument | 6,946,466.60 | 6,946,466.60 | ||
| Totalassetscontinuouslymeasuredatfairvalue | 6,946,466.60 | 6,946,466.60 | ||
| II.Non-continuousfairvaluemeasurement | -- | -- | -- | -- |
2.Valuationtechniquesandqualitativeandquantitativeinformationofkeyparametersadoptedforcontinuousandnon-continuouslevel3fairvaluemeasurementitems
Thefairvalueofnon-currentfinancialassetswithoutquotedpriceinactivemarketsisestimatedbasedonthepresentvalueoftheestimatedfuturecashflowwiththediscountedratedeterminedasthemarketinterestrateasatthebalancesheetdate.
3.Reconciliationbetweenopeningandclosingcarryingamountsandsensitivityanalysisofunobservableparametersforcontinuouslevel3fairvaluemeasurementitems
4.Wheretransfersamonglevelsoccurredintheperiod,transferreasonsandpoliciesfordeterminingtransfertimepointforcontinuousfairvaluemeasurementitems
5.Changesinvaluationtechniquesinthecurrentperiodandreasonsforchanges
XII.RELATEDPARTIESANDRELATEDPARTYTRANSACTIONS
1.ParentoftheCompany
| Nameoftheparent | Placeofincorporation | Natureofbusiness | Registeredcapital | ProportionoftheCompany'sownershipinterestheldbytheparent(%) | ProportionoftheCompany'svotingrightheldbytheparent(%) |
| MangoMediaCo.,Ltd. | PRC | Planning,productionandoperationofradioandtelevisionprograms;asset | 2,050,000,000.00 | 64.20% | 64.20% |
managementandinvestmentsubjecttolawsandregulations;advertisingplanning,productionandoperation;
DescriptionoftheparentoftheCompany
MangoMediaCo.,Ltd.,whichholds64.20%ofthesharesintheCompany,wasestablishedonJuly10,2007witharegisteredcapitalofRMB2,050,000,000andregisteredaddressandprincipalplaceofbusinessinGoldenEagleStudioCultureCityinKaifuDistrict,ChangshaCity.HunanBroadcastingSystemholds100%sharesinMangoMediaCo.,Ltd..MangoMediaCo.,Ltd.ismainlyengagedinplanning,productionandoperationofradioandtelevisionprograms;assetmanagementandinvestmentsubjecttolawsandregulations;advertisingplanning,productionandoperation;andmultimediatechnologydevelopmentandmanagement.TheultimatecontrollingpartyoftheCompanyisHunanBroadcastingSystem.Otherdescription：
2.SubsidiariesoftheCompanyThedetailsofthesubsidiariesoftheCompanyaresetoutinNoteIX.Interestsinotherentities.
3.AssociatesandjointventuresoftheCompanyThesignificantjointventuresorassociatesoftheCompanyaresetoutinNoteIX.Interestsinotherentities.DetailsofotherjointventuresorassociateshavingrelatedpartytransactionsandbalanceswiththeCompanyintheperiodorinpriorperiods:
managementandinvestmentsubjecttolawsandregulations;advertisingplanning,productionandoperation;Nameofassociatesorjointventures
| Nameofassociatesorjointventures | RelationshipwiththeCompany |
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | Associates |
| TianjinSunshineMeichuangTechnologyCo.,Ltd. | Associates |
Otherdescription:
4.OtherrelatedpartiesoftheCompany
| Nameofotherrelatedparty | RelationshipbetweenotherrelatedpartiesandtheCompany |
| HunanBroadcastingSystem | Defactocontroller |
| BeijingHappywoodsCultureCommunicationCo.,Ltd. | Controlledbythesamedefactocontroller |
| HunanRadioandTelevisionAdvertisingCorporation | Controlledbythesamedefactocontroller |
| HunanBroadcastingSystemBroadcastMediaCenter | Controlledbythesamedefactocontroller |
| HunanBroadcastingSystemLogisticsSupportCenter | Controlledbythesamedefactocontroller |
| HunanBroadcastingSystemSatelliteTVChannel | Controlledbythesamedefactocontroller |
| HunanBroadcastingSystemChannel(excludingSatelliteTVChannel) | Controlledbythesamedefactocontroller |
HunanBroadcastingSystemInternationalMediaCo.,Ltd.
| HunanBroadcastingSystemInternationalMediaCo.,Ltd. | Controlledbythesamedefactocontroller |
| HunanGoldenBeeAudio&VideoPublishingCo.,Ltd. | Controlledbythesamedefactocontroller |
| HunanGoldenEagleCartoonCo.,Ltd. | Controlledbythesamedefactocontroller |
| HunanEEAdvertisingCo.,Ltd. | Controlledbythesamedefactocontroller |
| LetianEntertainment(Hunan)Co.,Ltd. | Controlledbythesamedefactocontroller |
| BeijingJinshiyatangFilm&TelevisionCultureCommunicationCo.,Ltd. | Controlledbythesamedefactocontroller |
| ShanghaiHappyMangoMusicCultureMediaCo.,Ltd | Controlledbythesamedefactocontroller |
| GoldenEagleBroadcastingSystemCo.,Ltd. | Significantlyinfluencedbythedefactocontroller |
| HunanInternationalConvention&ExhibitionCenter | Significantlyinfluencedbythedefactocontroller |
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd | Significantlyinfluencedbythedefactocontroller |
| HunanCATVNetworkGroupCo.,Ltd. | Significantlyinfluencedbythedefactocontroller |
| HunanSaintTropezInvestmentCo.,Ltd. | Significantlyinfluencedbythedefactocontroller |
| TIKFilms | Significantlyinfluencedbythedefactocontroller |
| ChengduGiMiTechnologyCo.,Ltd.[Note1] | ParticipatedcompanyofMangoMedia |
| ShanghaiShangXiangEntertainmentGroupCo.,Ltd.[Note1] | ParticipatedcompanyofMangoMedia |
| XinjiangHuantaAutomobileandMotorcyclesportsClubCo.,Ltd.[Note1] | ParticipatedcompanyofMangoMedia |
| HunanFukunCultureMediaInvestmentCenter(LP) | ParticipatedcompanyofMangoMedia |
| ChejuInterconnection(Tianjin)AutomobileSalesCo.,Ltd. | Investorwithsignificantinfluence |
| MIGUCultureTechnologyCo.,Ltd.[Note2] | Significantlyinfluencedbythekeymanagementpersonnel |
Otherdescription:
1.AsMangoMedianolongerhashadanysignificantinfluenceonChengduGiMiTechnologyCo.,Ltd.,ShanghaiShangXiangEntertainmentGroupCo.,Ltd.,andXinjiangHuantaAutomobileandMotorcyclesportsClubCo.,Ltdsinceithasnosharestherein,thesetwocompaniesarenotregardedasrelatedpartiesinthecurrentperiod.
2.MIGUCultureTechnologyCo.,Ltd.includesMIGUVideoTechnologyCo.,Ltd.,MIGUCartoonCo.,Ltd.,MIGUDigitalMediaCo.,Ltd.,andMIGUMusicCo.,Ltd..
5.Relatedpartytransactions
(1)Salesandpurchaseofgoods,renderingandreceiptofservices
Purchaseofgoods/receiptofservices
InRMB
| Relatedparty | Detailsofrelatedpartytransaction | Amountincurredinthecurrentperiod | Transactionamountapproved | Ifexceedingtheapprovedtransactionamount | Amountincurredinthepriorperiod |
| Participated | Advertising | 2,000,000.00 | No. | 23,530,020.76 |
companyofMongoMedia
| companyofMongoMedia | incomesharing | ||||
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd. | Advertisingagency | 209,215,545.43 | 256,320,000.00 | No | 140,597,804.70 |
| HunanRadioandTelevisionAdvertisingCorporation | Advertising,paymentsforinternetaccesscooperation | 1,456,603.77 | 3,500,000.00 | No | 4,459,658.51 |
| HunanBroadcastingSystem | Operatorvalue-addedincomeshare,brandlicensingrights,programroyalties | 474,672,200.51 | 486,000,000.00 | No | 436,810,936.63 |
| HunanBroadcastingSystemSub-Channel(excludingSatelliteTVChannel) | Publicityandpromotion,artistbrokerage,laborservice | 34,801,213.42 | 47,000,000.00 | No | 50,178,516.51 |
| HunanBroadcastingSystemSatelliteTVChannel | Publicityandpromotion,artistbrokerage,laborservice | 36,560,704.01 | 26,500,000.00 | Yes | 2,731,223.34 |
| HunanInternationalConvention&ExhibitionCenter | Venueexhibitionandsupportingservices | 6,906,332.67 | 5,900,000.00 | Yes | 3,961,297.80 |
| HunanGoldenBeeAudio&VideoPublishingCo.,Ltd. | Musicproductionfees | No | 113,207.55 | ||
| HunanGoldenEagleCartoonCo.,Ltd. | Artistebrokerage,publicityandpromotion | 7,783,371.36 | 12,300,000.00 | No | 3,825,471.71 |
| HunanCATVNetworkGroupCo.,Ltd. | Operatorincomesharing | 3,611,104.17 | 4,000,000.00 | No | 3,914,991.34 |
| HunanEEAdvertisingCo., | Advertisingagency | 70,252,090.47 | 99,260,000.00 | No | 15,525,156.37 |
Ltd.
| Ltd. | |||||
| TianjinSunshineMeichuangTechnologyCo.,Ltd. | Purchaseofgoods | 3,423,354.19 | 10,000,000.00 | No | 2,921,316.60 |
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | Purchaseofgoods | 1,741,999.26 | 100,000.00 | Yes | 971,265.32 |
| MIGUCultureTechnologyCo.,Ltd. | Procurementofbandwidthandcopyright,purchaseofgoods | 16,540,342.07 | 4,631,300.00 | Yes |
Salesofgoods/renderingofservices
InRMB
| Relatedparty | Detailsofrelatedpartytransaction | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| ParticipatedcompanyofMongoMedia | Memberserviceproceeds | 0.00 | 1,675,594.34 |
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd. | Advertising | 741,360,400.00 | 482,315,965.68 |
| HunanRadioandTelevisionAdvertisingCorporation | HSInteractive,advertising | 19,735,849.06 | 28,123,301.89 |
| HunanBroadcastingSystem | Advertising,publicationincome | 981,143,773.58 | 735,057,108.11 |
| HunanBroadcastingSystemBroadcastMediaCenter | Renderingofservices | 1,886,792.45 | |
| HunanBroadcastingSystemSatelliteTVChannel | Publicationincome,renderingofservices | 379,794,709.37 | 136,751,848.31 |
| HunanBroadcastingSystemSub-Channel(excludingSatelliteTVChannel) | Publicationincome,renderingofservices | 135,295.21 | 9,668,223.76 |
| HunanGoldenEagleCartoonCo.,Ltd. | Siteservice | 3,594,301.88 | 3,292,452.83 |
| HunanEEAdvertisingCo.,Ltd. | Advertising | 344,703,783.89 | 283,803,029.96 |
| MangoMediaCo.,Ltd. | Publicationincome | 578,254,700.00 | 540,377,358.28 |
ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd.
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | Salesofgoods | 566,194.21 | 1,923,166.23 |
| HunanCATVNetworkGroupCo.,Ltd. | Operatorincome | 5,471,698.11 | 5,896,226.42 |
| HuananInternationalExhibitionCenter | Renderingofservices | 220,104.39 | |
| ShanghaiHappyMangoMusicCultureMediaCo.,Ltd. | Renderingofservices | 103,773.58 | |
| HunanGoldenBeeAudio&VideoPublishingCo.,Ltd. | Renderingofservices | 13,037.55 | |
| MIGUCultureTechnologyCo.,Ltd. | Operatorincome | 510,790,103.89 | |
| GoldenEagleBroadcastingSystemCo.,Ltd. | Renderingofservices | 2,358,490.57 |
Descriptionsofsalesandpurchaseofgoods,renderingandreceiptofservices
(2)LeaseswithrelatedpartiesTheCompanyasthelessor:
InRMB
| Nameoflessee | Typeofleasedassets | Leaseincomerecognizedinthecurrentperiod | Leaseincomerecognizedinthepriorperiod |
| BeijingJinshiyatangFilm&TelevisionCultureCommunicationCo.,Ltd. | Leaseandpropertymanagement | 74,800.00 | |
| HunanBroadcastingSystemSub-Channel(excludingSatelliteTVChannel) | Leaseandpropertymanagement | 5,462,134.32 | 5,504,072.42 |
| HunanGoldenEagleCartoonCo.,Ltd. | Leaseandpropertymanagement | 1,019,573.80 |
TheCompanyasthelessee:
InRMB
| Nameoflessor | Typeofleasedassets | Leasefeesrecognizedinthecurrentperiod | Leasefeesrecognizedinthepriorperiod |
| HunanBroadcastingSystemLogisticsSupportCenter | Leaseandpropertymanagement | 6,872,130.83 | 9,116,528.20 |
| HunanInternationalConvention&ExhibitionCenter | Leaseandpropertymanagement | 5,047,482.34 | 4,489,381.74 |
| HunanSaintTropezInvestment | Leaseandproperty | 10,913,921.27 | 7,227,068.47 |
Co.,Ltd.
| Co.,Ltd. | management | ||
| LetianEntertainment(Hunan)Co.,Ltd. | Leaseandpropertymanagement | 2,737,663.90 | 2,010,765.20 |
| BeijingJinshiyatangFilm&TelevisionCultureCommunicationCo.,Ltd. | Vehiclerental | 392,000.00 | 84,000.00 |
Descriptionofleaseswithrelatedparties
(3)Compensationforkeymanagementpersonnel
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Compensationforkeymanagementpersonnel | 27,328,700.00 | 34,623,300.00 |
6.Amountsduefrom/torelatedparties
(1)Amountsduefromrelatedparties
InRMB
| Account | Relatedparty | Closingbalance | Openingbalance | ||
| Carryingamount | Baddebtprovision | Carryingamount | Baddebtprovision | ||
| Notesreceivable | |||||
| HunanBroadcastingSystemSatelliteTVChannel | 95,456,357.50 | ||||
| Sub-total | 95,456,357.50 | ||||
| Accountsreceivable | |||||
| BeijingJinshiyatangFilm&TelevisionCultureCommunicationCo.,Ltd. | 78,540.00 | ||||
| ChejuInterconnection(Tianjin)AutomobileSalesCo.,Ltd. | 3,000.00 | 30.00 | |||
| HunanRadioandTelevision | 3,420,000.00 | 17,400,000.00 | |||
AdvertisingCorporation
| AdvertisingCorporation | ||||
| HunanBroadcastingSystem | 127,438,327.00 | 244,000.00 | ||
| HunanBroadcastingSystemBroadcastMediaCenter | 940,000.00 | 940,000.00 | ||
| HunanBroadcastingSystemSatelliteTVChannel | 146,560,000.00 | 124,946,000.00 | ||
| HunanBroadcastingSystemChannel(excludingSatelliteTVChannel) | 445,467.17 | |||
| GoldenEagleBroadcastingSystemCo.,Ltd. | 2,500,000.00 | 25,000.00 | ||
| HunanGoldenEagleCartoonCo.,Ltd. | 500,000.00 | |||
| HunanCATVNetworkGroupCo.,Ltd. | 8,800,000.00 | 590,000.00 | 6,250,000.00 | 312,500.00 |
| HunanEEAdvertisingCo.,Ltd. | 41,294,538.32 | 25,685,241.44 | ||
| ShareholdingCompaniesofMangoMedia | 481,000.07 | 4,810.00 | ||
| MangoMediaCo.,Ltd. | 20,500,000.00 | |||
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | 125,000.00 | 1,250.00 | ||
| TianjinSunshineMeichuangTechnologyCo.,Ltd. | 766,557.10 | 71,405.67 | 766,557.10 | 38,327.86 |
| YunhongCommunicationTechnology | 47,659,781.04 | 2,382,989.05 |
(Guangzhou)Co.,Ltd.
| (Guangzhou)Co.,Ltd. | |||||
| HunanHappyAvantGardeMediaCo.,Ltd. | 150,000.00 | ||||
| MIGUCultureTechnologyCo.,Ltd. | 353,707,200.78 | 17,685,360.05 | |||
| Sub-total | 753,736,404.24 | 20,754,754.77 | 177,864,805.78 | 356,917.86 | |
| Prepayments | |||||
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd. | 164,717.00 | 75,471.70 | |||
| HunanBroadcastingSystemChannel(excludingSatelliteTVChannel) | 24,689,744.62 | ||||
| HunanRadioandTelevisionAdvertisingCorporation | 111,344.33 | 26,438.67 | |||
| HunanBroadcastingSystemLogisticsSupportCenter | 236,399.19 | 134,512.39 | |||
| HunanBroadcastingSystemSatelliteTVChannel | 56,603.77 | ||||
| HunanInternationalConvention&ExhibitionCenter | 254,716.98 | ||||
| HunanEEAdvertisingCo.,Ltd. | 257,835.67 | 226,415.09 | |||
| HunanSaintTropezInvestmentCo.,Ltd. | 40,820.20 | 4,069.34 | |||
| ShareholdingCompaniesofMangoMedia | 42,757,075.64 | ||||
| TianjinSunshineMeichuang | 6,014,723.96 | 428,072.40 | 6,467,085.03 |
TechnologyCo.,Ltd.
| TechnologyCo.,Ltd. | |||||
| HunanGoldenEagleCartoonCo.,Ltd. | 824,175.81 | ||||
| Sub-total | 7,650,016.16 | 428,072.40 | 74,692,133.23 | ||
| Otherreceivables | |||||
| HunanInternationalConvention&ExhibitionCenter | 101,000.00 | 1,400.00 | |||
| HunanSaintTropezInvestmentCo.,Ltd. | 1,161,620.80 | 1,102,441.00 | |||
| LetianEntertainment(Hunan)Co.,Ltd. | 399,105.00 | 399,105.00 | |||
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | 3,000,000.00 | 1,000,000.00 | 3,000,000.00 | 400,000.00 | |
| ChengduGiMiTechnologyCo.,Ltd. | 1,000,000.00 | ||||
| BeijingJinshiyatangFilm&TelevisionCultureCommunicationCo.,Ltd. | 241,069.50 | ||||
| Sub-total | 4,902,795.30 | 1,000,000.00 | 5,502,946.00 | 400,000.00 | |
| Othercurrentassets | |||||
| HunanBroadcastingSystem | 1,125,000.00 | ||||
| HunanCATVNetworkGroupCo.,Ltd. | 1,940,764.58 | 2,305,807.16 | |||
| Sub-total | 1,940,764.58 | 3,430,807.16 |
(2)Amountduetorelatedparties
InRMB
| Account | Relatedparty | Closingbalanceofcarryingamount | Openingbalanceofcarryingamount |
| Accountspayable | |||
| BeijingHappywoodsCultureCommunicationCo.,Ltd. | 112,140.24 | 112,140.24 |
YunhongCommunicationTechnology(Guangzhou)Co.,Ltd.
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd. | 152,095,293.45 | 68,881,664.61 | |
| HunanBroadcastingSystem | 157,092,020.64 | 449,189,444.95 | |
| HunanBroadcastingSystemChannel(excludingSatelliteTVChannel) | 10,503,786.55 | 6,491,509.42 | |
| HunanBroadcastingSystemLogisticsSupportCenter | 409,217.00 | 1,244,543.33 | |
| HunanBroadcastingSystemSatelliteTVChannel | 4,622,628.53 | ||
| HunanInternationalConvention&ExhibitionCenter | 263,453.77 | 38,457.80 | |
| HunanGoldenEagleCartoonCo.,Ltd. | 3,773,888.92 | ||
| HunanCATVNetworkGroupCo.,Ltd. | 235,849.06 | 646,477.39 | |
| HunanEEAdvertisingCo.,Ltd. | 41,762,467.87 | 20,018,564.31 | |
| LetianEntertainment(Hunan)Co.,Ltd. | 288,246.49 | 175,751.00 | |
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | 185,956.40 | 344,844.18 | |
| ChengduGiMiTechnologyCo.,Ltd. | 169,025.66 | ||
| ShareholdingCompaniesofMangoMedia | 41,582,598.42 | ||
| HunanFukunCultureMediaInvestmentCenter(LP) | 179,055.14 | 179,055.14 | |
| HunanSaintTropezInvestmentCo.,Ltd. | 168,778.36 | ||
| HunanHappyAvantGardeMediaCo.,Ltd. | 236,792.42 | ||
| TianjinSunshineMeichuangTechnologyCo.,Ltd. | 25,350.00 | ||
| MIGUCultureTechnologyCo.,Ltd. | 17,963,977.49 | ||
| Sub-total | 386,145,013.41 | 592,847,965.37 |
Receiptsinadvance
| Receiptsinadvance | |||
| YunhongCommunicationTechnology(Guangzhou)Co.,Ltd. | 110,717.09 | 5,788,742.56 | |
| HunanBroadcastingSystem | 1,800,031.00 | 5,781,449.00 | |
| HunanBroadcastingSystemSatelliteTVChannel | 45,500.00 | 63,544,150.97 | |
| HunanBroadcastingSystemChannel(excludingSatelliteTVChannel) | 331,395.58 | 1,904,092.45 | |
| HunanEEAdvertisingCo.,Ltd. | 247,660.23 | 200,000.00 | |
| MangoMediaCo.,Ltd. | 32,400,000.00 | ||
| ShanghaiShangXiangEntertainmentGroupCo.,Ltd. | 10,500,000.00 | ||
| HunanBroadcastingSystemInternationalMediaCo.,Ltd. | 19,700.00 | ||
| TIKFilms | 400,000.00 | ||
| MIGUCultureTechnologyCo.,Ltd. | 1,962,264.10 | ||
| Sub-total | 4,917,268.00 | 120,118,434.98 | |
| Otherpayables | |||
| BeijingJinshiyatangFilm&TelevisionCultureCommunicationCo.,Ltd. | 84,000.00 | ||
| HunanSaintTropezInvestmentCo.,Ltd. | 559,752.67 | 543,896.75 | |
| HunanBroadcastingSystem | 104,245.28 | 4,500,327.48 | |
| HunanBroadcastingSystemLogisticsSupportCenter | 91,192.95 | 118,675.20 | |
| HunanBroadcastingSystemChannel(excludingSatelliteTVChannel) | 1,496,081.24 | 2,132,156.61 | |
| MangoMediaCo.,Ltd. | 3,796,820.30 | 3,796,739.24 | |
| ShanghaiMamaMiaMutualEntertainmentNetworkTechnologyCo.,Ltd. | 207,397.81 | 89,953.61 | |
| ChengduGiMiTechnologyCo.,Ltd. | 300,000.00 |
HunanInternationalConvention&ExhibitionCenter
| HunanInternationalConvention&ExhibitionCenter | 527,290.57 | ||
| Sub-total | 6,782,780.82 | 11,565,748.89 | |
| Othercurrentliabilities | |||
| HunanCATVNetworkGroupCo.,Ltd. | 1,273,669.54 | 566,037.69 | |
| Sub-total | 1,273,669.54 | 566,037.69 |
XIII.COMMITMENTSANDCONTINGENCIES
1.SignificantcommitmentsSignificantcommitmentsasofthebalancesheetdateAsofthebalancesheetdate,theCompanyanditssubsidiarieshavehadthefollowingcommitmentsinrespectofnon-cancellableoperatingleases:
InRMB0,000
1.Operatingleasecommitment
| Minimumleasepaymentsundernon-cancellableoperatingleases: | Closingbalance | Openingbalance |
| 1styearsubsequenttothebalancesheetdate | 4,804.20 | 3,510.89 |
| 2ndyearsubsequenttothebalancesheetdate | 3,655.84 | 2,130.15 |
| 3rdyearsubsequenttothebalancesheetdate | 2,562.88 | 1,426.49 |
| Subsequentperiods | 8,597.38 | 1,527.43 |
| Total | 19,620.30 | 8,594.96 |
OperatingleaseexpensesaretheexpensestorentofficeandprogramproductionspaceatthePropertyManagementCenterofHunanRadio,FilmandTelevisionandtheexpensesspentbyeachsubsidiarytorentofficeandstoragefacilities.
2.Commitmenttopaymentsforinternetaccesscooperation
| Paymentsforinternetaccesscooperation | Closingbalance | Openingbalance |
| 1styearsubsequenttothebalancesheetdate | 6,710.50 | 11,340.10 |
| 2ndyearsubsequenttothebalancesheetdate | 410.40 | 557.00 |
| 3rdyearsubsequenttothebalancesheetdate | 410.00 | 0.26 |
| Subsequentperiods | ||
| Total | 7,530.90 | 11,897.36 |
PaymentsforinternetaccesscooperationarechargesforusethatshouldbepaidbytheCompanyineachrelevantagreementperiodsubjecttoagreementsconcludedbytheCompanyandeachlocalTVstationwithcooperation.
3.Copyrightpurchasecommitment
| Copyrightpurchaseagreements | Closingbalance | Openingbalance |
| 1styearsubsequenttothebalancesheetdate | 54,571.00 | 46,910.00 |
| 2ndyearsubsequenttothebalancesheetdate | 54,571.00 | |
| 3rdyearsubsequenttothebalancesheetdate | ||
| Subsequentperiods |
Total
| Total | 54,571.00 | 101,481.00 |
CopyrightpurchaseagreementsareconcludedbyandbetweenHappySunshineandHunanBroadcastingSystemforconsiderationsthatshouldbepaidbytheCompanytopurchasecopyrightsineachrelevantagreementperiod.
2.Contingencies
(1)Significantcontingenciesasatthebalancesheetdate
1.InJuly2019,JiangsuBaoziFilmandTelevisionMediaCo.,Ltd.(hereinafterreferredtoas“BaoziFilmandTelevision”)broughtlawsuitsagainstZhejiangHengruiFilmandTelevisionMediaCo.,Ltd.(hereinafterreferredtoas“HengruiFilmandTelevision”)andHappySunshineCompanyonthegroundsofcopyrightinfringement,andagainstHengruiFilmandTelevision,SanyuanSpace-timeFilmandTelevisionMediaCo.,Ltd.(hereinafterreferredtoas“SanyuanSpace-time”)andHappySunshineCompanyonthegroundsofunfaircompetitionbeforeChangshaIntermediatePeople'sCourt,requiringtheCompany,asthesoleshareholderofHappySunshineCompany,toassumejointandseveralresponsibilitiesfortheabovetwocases.TheclaimedamountinvolvedinabovetwolawsuitcasestotaledaboutRMB6.3million,andthesetwocaseswereheardbyChangshaIntermediatePeople'sCourtinOctober2019.Thiscasewhichispendinginthefirstinstanceisexpectedtobringanimmaterialadverseeffectonthefinancialpositionofthecompany.
2.AfterthecooperationofYunnanMobileProjectbetweenHappySunshineCompanyandSmileTVInformationTechnology(Beijing)Co.,Ltd.(hereinafterreferredtoas“SmileTV”)wasterminatedonDecember31,2018,asHappySunshineCompanythoughtSmileTVshouldbeliableforthedeductionofsettlementpaymenttoHappySunshineCompanybyYunnanMobileduetoSmileTV’sthreeserioustechnicalfailuresin2018,thetwopartiesdidnotreachanagreementontheproportionofpaymentsattributabletoeachpartyintermsofthecontinuingcooperationin2019,hencethecooperationagreementwasfailedtorenew,resultingtoacontroversybetweenthetwoparties.InDecember2019,SmileTVbroughtalawsuitagainstHappySunshinebeforethePeople’scourtinKaifuDistricttoclaimfortheprojectsettlementpaymentfromJanuarytoJune2019amountingtoRMB4.722millionandtheliquidationoftheassetsinthecooperativeproject.Thiscasewhichhasnotdecidedinthefirstinstanceisexpectedtobringanimmaterialadverseeffectonthefinancialpositionofthecompany.
XIV.EVENTSSUBSEQUENTTOTHEBALANCESHEETDATE
1.Distributionofprofits
InRMB
| Profitsordividendsproposedtobedistributed | 178,037,751.10 |
| Declaredprofitsordividendsthathasbeendiscussedandapproved | 178,037,751.10 |
2.Othereventssubsequenttothebalancesheetdate
(1)AftertheoutbreakoftheCOVID-19,theCompanyhaspaidgreatattentionstothespreadoftheCOVID-19andassessedandactivelyrespondedtoitsimpactontheCompany'sfinancialpositionandoperatingresults.Tosomeextent,theoutbreakoftheCOVID-19mayaffecttheCompany’srevenuewithdetailedaffectedamountsdeterminedbasedonthepreventionandcontroloftheCOVID-19,thedurationoftheCOVID-19andtheimplementationofvariousregulatorypolicies.TheCompanyestimatesthatthisoutbreakwillbringatemporaryimpactontheCompany'sproductionandoperationsin2020.Asattheissueddateofthefinancialstatements,theCompanyhasdetectednoothermaterialadverseeffects.
(2)AstheProposaltoTransferof40%sharesheldbytheCompanyinMalanshanCultureCreativeInvestmentCo.,Ltd.andRelatedPartyTransactionswasdiscussedandapprovedinthe28
th
meetingofthethirdboardofdirectorsoftheCompanyonMarch17,2019,theCompanyintendedtotransfer40%sharesheldbytheCompanyintheitsparticipatedcompany,MalanshanCultureCreativeInvestment
Co.,Ltd.(hereinafterreferredtoas“MalanshanInvestment”),toitscontrollingshareholder,MangoMediaCo.,Ltd.(hereinafterreferredtoas“MangoMedia”).ThepriceofthetransferredsharesisRMB259,679,200intotal.Uponcompletionofthetransferoftheshares,theCompanywillnolongerholdanyshareinMalanshanInvestment.
XV.OTHERSIGNIFICANTEVENTS
1.Segmentinformation
(1)DeterminationbasisandaccountingpoliciesofreportingsegmentsHappySunshine,thesubsidiaryoftheCompany,isengagedintwosegments,newmediaplatformoperationandnewmediainteractiveentertainmentcontentproductionandoperation,andcannotseparateitsassetsandliabilitiesbyindustrialsegments,hencetheCompany’sassetsandliabilitiesarenotpresentedbyindustrialsegments.
(2)Financialinformationofreportingsegments
InRMB
Item
| Item | Newmediaplatformoperation | Newmediainteractiveentertainmentcontentproductionandoperation | Mediaretailbusiness | Others | Inter-segmentoffset | Total |
| Incomefromprincipaloperatingactivities | 6,318,231,214.48 | 3,902,187,958.57 | 2,007,314,831.02 | 56,234,849.86 | 12,283,968,853.93 | |
| Costofprincipaloperatingactivities | 3,818,414,397.48 | 2,856,465,390.47 | 1,468,987,207.33 | 37,320,352.51 | 8,181,187,347.79 |
XVI.NOTESTOKEYITEMSINTHECOMPANY’SFINANCIALSTATEMENTS
1.Accountsreceivable
(1)Disclosureofaccountsreceivablebycategories
InRMB
| Category | Closingbalance | Openingbalance | ||||||||
| Carryingamount | Baddebtprovision | Bookvalue | Carryingamount | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion(%) | Amount | Proportionofprovision(%) | Amount | Proportion(%) | Amount | Proportionofprovision(%) | |||
| Including: | ||||||||||
| Accountsreceivableforwhichthe | 27,000.00 | 100.00% | 270.00 | 1.00% | 26,730.00 | |||||
provisionforbaddebtsismadebygroup
| provisionforbaddebtsismadebygroup | ||||||||
| Including: | ||||||||
| Total | 0.00 | 0.00 | 27,000.00 | 100.00% | 270.00 | 1.00% | 26,730.00 |
Provisionforbaddebtsmadeindividually:
InRMB
| Name | Closingbalance | |||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | Reasonsforprovision | |
Provisionforbaddebtsmadebygroup:
InRMB
| Name | Closingbalance | ||
| Carryingamount | Baddebtprovision | Proportionofprovision(%) | |
Descriptionofbasistodeterminethegroup:
Ifaprovisionforbaddebtsismadeforaccountsreceivableinaccordancewiththegeneralmodelofexpectedcreditlosses,pleasediscloserelevantinformationsubjecttothedisclosureofthebaddebtprovisionforotherreceivables.
□Applicable√N/ADisclosurebyaging
InRMB
| Aging | Carryingamount |
| Within1year(including) | 0.00 |
| Total | 0.00 |
(2)Provisions,recoveryorreversalofbaddebtsforthecurrentperiod
Provisionforbaddebtsmadeforthecurrentperiod:
InRMB
| Category | Openingbalance | Changedamountsforthecurrentperiod | Closingbalance | |||
| Provision | Recoveryorreversal | Write-off | Others | |||
| Provisionforbaddebtsmadebygroup | 270.00 | -270.00 | ||||
| Total | 270.00 | -270.00 | ||||
Significantrecoveryorreversalofbaddebtprovisionforthecurrentperiod:
InRMB
Entities
| Entities | Amountofrecoveryorreversal | Methodofrecovery |
2.Otherreceivables
InRMB
| Item | Closingbalance | Openingbalance |
| Otherreceivables | 260,036,746.64 | 100,010,740.28 |
| Total | 260,036,746.64 | 100,010,740.28 |
(1)Otherreceivables
1)Categorizationofotherreceivablesbynature
InRMB
| Nature | Closingbalanceofcarryingamount | Openingbalanceofcarryingamount |
| Securitydeposit | 10,740.28 | |
| Pettycash | 25,673.88 | |
| Receivablesandpayables | 11,443.94 | |
| Amountduetoorfromrelatedpartieswithinthescopeofconsolidation | 260,000,000.00 | 100,000,000.00 |
| Total | 260,037,117.82 | 100,010,740.28 |
2）Provisionforbaddebts
InRMB
| Baddebtprovision | StageI | Stage2 | Stage3 | Total |
| 12-monthECL | LifetimeECL(withoutcreditimpairment) | LifetimeECL(withcreditimpairment) | ||
| BalanceasatJanuary1,2019 | —— | —— | —— | —— |
| Provision | 371.18 | 371.18 | ||
| BalanceasatDecember31,2019 | 371.18 | 371.18 |
Changesincarryingamountofotherreceivablesforwhichtheprovisionlosschangedsignificantlyinthecurrentperiod
□Applicable√N/ADisclosurebyaging
InRMB
Aging
| Aging | Carryingamount |
| Within1year(including) | 260,037,117.82 |
| Total | 260,037,117.82 |
3)Provisions,recoveryorreversalofbaddebtsforthecurrentperiod
Provisionforbaddebtsmadeforthecurrentperiod:
InRMB
| Category | Openingbalance | Changedamountsforthecurrentperiod | Closingbalance | |||
| Provision | Recoveryorreversal | Write-off | Others | |||
| Otherreceivablesforwhichthebaddebtprovisionaremadebygroupsclassifiedaccordingtocreditriskcharacteristics | 371.18 | 371.18 | ||||
| Total | 371.18 | 371.18 | ||||
Significantrecoveryorreversalofbaddebtprovisionforthecurrentperiod:
InRMB
| Entities | Amountofrecoveryorreversal | Methodofrecovery |
4)Topfiveclosingbalancesofotherreceivablescategorizedbydebtor:
InRMB
| Entities | Nature | Closingbalance | Aging | Proportiontototalclosingbalanceofotherreceivables | Closingbalanceofbaddebtprovision |
| TheFirst | Amountduetoorfromsubsidiaries | 130,000,000.00 | Within1year | 49.99% | |
| TheSecond | Amountduetoorfromsubsidiaries | 130,000,000.00 | Within1year | 49.99% | |
| Total | -- | 260,000,000.00 | -- | 99.98% |
3.Long-termequityinvestments
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Carryingamount | Provisionfor | Bookvalue | Carryingamount | Provisionfor | Bookvalue | |
impairment
| impairment | impairment | |||||
| Investmentsinsubsidiaries | 7,780,583,738.35 | 7,780,583,738.35 | 5,791,171,924.44 | 5,791,171,924.44 | ||
| Investmentsinassociatesandjointventures | 189,814,452.82 | 189,814,452.82 | 196,935,570.32 | 196,935,570.32 | ||
| Total | 7,970,398,191.17 | 7,970,398,191.17 | 5,988,107,494.76 | 5,988,107,494.76 |
(1)Investmentsinsubsidiaries
InRMB
| Investee | Openingbalance(carryingamount) | Changesinthecurrentperiod | Closingbalance(carryingamount) | Closingbalanceofbaddebtimpairment | |||
| Additionalinvestment | Decreasedinvestment | Provisionforbaddebt | Others | ||||
| HunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd. | 3,674,253,519.57 | 1,983,911,813.91 | 5,658,165,333.48 | ||||
| HappigoCo.,Ltd. | 592,544,905.21 | 3,500,000.00 | 596,044,905.21 | ||||
| ShanghaiEE-MediaCo.,Ltd. | 535,281,326.72 | 535,281,326.72 | |||||
| MangoStudiosCo.,Ltd. | 211,030,100.57 | 211,030,100.57 | |||||
| HunanMangoEntertainmentCo.,Ltd. | 143,185,235.62 | 2,000,000.00 | 145,185,235.62 | ||||
| ShanghaiMangofunTechnologyCo.,Ltd. | 334,876,836.75 | 334,876,836.75 | |||||
| HunanHappyMoneyMicrofinanceCo.,Ltd. | 300,000,000.00 | 300,000,000.00 | |||||
| Total | 5,791,171,924.44 | 1,989,411,813.91 | 7,780,583,738.35 | ||||
(2)Investmentsinassociatesandjointventures
InRMB
Investee
| Investee | Openingbalance(carryingamount) | Changesinthecurrentperiod | Closingbalance(carryingamount) | Closingbalanceofbaddebtimpairment | |||||||
| Additionalinvestment | Decreasedinvestment | Investmentprofitorlossunderequitymethod | Adjustmentinothercomprehensiveincome | Otherequitychanges | Declaredcashdividendsorprofit | Provisionforbaddebt | Others | ||||
| I.Jointventure | |||||||||||
| II.Associates | |||||||||||
| MalanshanCultureCreativeInvestmentCo.,Ltd. | 196,935,570.32 | -7,121,117.50 | 189,814,452.82 | ||||||||
| Sub-total | 196,935,570.32 | -7,121,117.50 | 189,814,452.82 | ||||||||
| Total | 196,935,570.32 | -7,121,117.50 | 189,814,452.82 | ||||||||
4.Operatingincomeandoperatingcosts
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod | ||
| Income | Cost | Income | Cost | |
| Principaloperatingactivities | 1,475,536,015.07 | 1,009,575,822.81 | ||
| Otheroperatingactivities | 97,807,222.39 | 13,136,491.56 | ||
| Total | 1,573,343,237.46 | 1,022,712,314.37 | ||
Ifthenewrevenuestandardhasbeenadopted
□Yes√NoOtherdescription:
5.Investmentincome
InRMB
| Item | Amountincurredinthecurrentperiod | Amountincurredinthepriorperiod |
| Incomefromlong-termequityinvestmentsunderequitymethod | -7,121,117.50 | -3,064,429.68 |
| Incomefrominvestmentsinwealthmanagementproducts | 2,559,846.51 | 9,175,141.30 |
| Total | -4,561,270.99 | 6,110,711.62 |
6.Others
XVII.SUPPLEMENTARYINFORMATION
1.Breakdownofnon-recurringprofitorlossforthecurrentperiod
√Applicable□N/A
InRMB
Item
| Item | Amount | Description |
| Profitorlossondisposalofnon-currentassets | -253,138.65 | |
| Governmentgrantsrecognizedinprofitorloss(otherthangrantswhicharecloselyrelatedtotheCompany'sbusinessandareeitherinfixedamountsordeterminedunderquantitativemethodsinaccordancewiththenationalstandard) | 57,599,556.19 | |
| Profitorlossonentrustedinvestmentsorassetsmanagement | 7,344,704.18 | |
| Reversalofprovisionforaccountsreceivableandcontractassetsthataretestedforimpairmentlossesindividually | 1,800,000.00 | |
| Othernon-operatingincomeorexpensesotherthantheabove | -111,786.45 | |
| Less:effectsofincometax | 2,138,585.88 | |
| Effectsattributabletominorityinterests | 991,661.34 | |
| Total | 63,249,088.05 | -- |
Itisrequiredtospecifythereasonfordefiningitemsasnon-recurringprofitorlossitemsaccordingtoInformationDisclosureandPresentationRulesforCompaniesMakingPublicOfferingofSecuritiesNo.1－Non-recurringProfitorLoss,andreasonsfordefiningnon-recurringprofitorlossitemsillustratedinInformationDisclosureandPresentationRulesforCompaniesMakingPublicOfferingofSecuritiesNo.1－Non-recurringProfitorLossasrecurringprofitorlossitems.
□Applicable√N/A
2.Returnonnetassetsandearningspershare
| Profitforthereportingperiod | Weightedaveragereturnonnetassets(%) | Earningspershear | |
| BasicEPS(RMB/Share) | DilutedEPS(RMB/Share) | ||
| Netprofitattributabletoordinary | 15.68% | 0.66 | 0.66 |
shareholdersoftheCompany
| shareholdersoftheCompany | |||
| Netprofitafterdeductionofnon-recurringprofitsorlossesattributabletoordinaryshareholdersoftheCompany | 14.80% | 0.63 | 0.63 |
SectionXIIIListofDocumentsAvailableforInspection
1.Financialstatementswithsealsandsignaturesoflegalperson,thechieffinancialofficerandtheheadofaccountingdepartment(thepersoninchargeofaccounting).
2.Theoriginalauditor’sreportwithsealsoftheaccountingfirmandsealsandsignaturesofthecertifiedpublicaccountants.
3.AlloriginaldocumentsandannouncementsoftheCompanypubliclydisclosedinthewebsitesdesignatedbytheCSRCasofthereportingperiod.
4.Otherrelevantmaterials.