ShenzhenTextile(Holdings)Co.,Ltd.
2024AnnualReport
March2025
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionIImportantNotes,TableofContentsandInterpretationsTheBoardofDirectors,BoardofSupervisors,directors,supervisorsandseniorofficersoftheCompanyguaranteetheauthenticity,accuracyandcompletenessofthecontentsoftheannualreport,andbearindividualandjointlegalliabilitiesforanyfalserecords,misleadingstatementsormajoromissions.ThePrincipalYinKefei,theChiefFinanceOfficerLiuYuandtheChiefAccountant(accountingsupervisor)HuangMindeclarethattheywillensuretheauthenticity,accuracyandcompletenessofthefinancialreportinthisannualreport.Inadditiontothefollowingdirectors,otherdirectorspersonallyattendedtheBoardmeetingatwhichtheAnnualReportwasconsidered.
| Namesofdirectorsnotpresentinperson | Positionsofdirectorsnotpresentinperson | Reasonsfornotattendingthemeetinginperson | Nameofprincipal |
| WangChuan | Director | BusinessRelated | WeiJunfeng |
| MengFei | Director | BusinessRelated | LiuYu |
Forward-lookingstatementssuchasfuturedevelopmentplansinvolvedinthisreportdonotconstituteasubstantialcommitmentbytheCompanytoinvestors.Investorsandrelatedpersonsshouldmaintainsufficientriskawarenessandunderstandthedifferencesbetweenplans,forecastsandcommitments.Investorsarerequestedtopayattentiontoinvestmentrisks.TheCompanyisexposedtomacroeconomicrisks,marketrisks,rawmaterialsrisksandintensifiedcompetitionrisks.Investorsareadvisedtopayattentiontoinvestmentrisks.Fordetails,pleasereferto"XI.OutlookfortheCompany'sFutureDevelopment(III)PossibleRisks"in"SectionIIIManagementDiscussionandAnalysis"ofthisreport.TheprofitdistributionplanreviewedandapprovedbytheCompanyattheBoardis:basedon506,521,849shares,distributecashdividendsof0.71RMB(includingtax)forevery10sharestoallshareholders,anddistribute0bonusshares(includingtax),withoutconvertingtheprovidentfundintosharecapital.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
ThisreportispreparedinChineseandEnglishrespectively.IncaseofanyambiguitybetweentheChineseandforeignversions,theChineseversionshallprevail.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
TableofContents
SectionIImportantNotes,TableofContentsandInterpretations ...... 2
SectionIICompanyProfileandMajorFinancialIndicators ...... 7
SectionIIIManagement'sDiscussionandAnalysis ...... 11
SectionIVCorporateGovernance ...... 29
SectionVEnvironmentandSocialResponsibilities ...... 49
SectionVIImportantMatters ...... 54
SectionVIIChangesinSharesandShareholders ...... 65
SectionVIIIPreferredshares ...... 71
SectionIXBonds ...... 71
SectionXFinancialReports ...... 72
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
ListofDocumentsAvailableforInspectionI.Accountingstatementsbearingthesignaturesandsealsofthelegalrepresentative,FinanceDirectorandChiefAccountantoftheCompany;II.Theoriginalauditreportbearingthesealoftheaccountingfirmandthesignatureandsealofthecertifiedpublicaccountant;III.TheoriginalofalltheCompany'sdocumentsandtheoriginaloftheannouncementthathavebeenpubliclydisclosedbytheCompanyonthewebsitedesignatedbytheChinaSecuritiesRegulatoryCommissionduringthereportingperiod.Theabove-mentioneddocumentsarekeptintheofficeoftheBoardofDirectorsforreference.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
Interpretations
| Items | Refersto | Interpretations |
| Company/theCompany/ShenzhenTextile | Refersto | ShenzhenTextile(Holdings)Co.,Ltd. |
| ArticlesofAssociation | Refersto | ArticlesofAssociationofShenzhenTextile(Holdings)Co.,Ltd. |
| Actualowner/ShenzhenSASAC | Refersto | State-ownedAssetsSupervisionandAdministrationCommissionofShenzhenMunicipalPeople'sGovernment |
| Controllingshareholder/ShenzhenInvestmentHoldings | Refersto | ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenchaoTechnology | Refersto | ShenzhenShenchaoTechnologyInvestmentCo.,Ltd. |
| SAPOPhotoelectric | Refersto | ShenzhenSAPOPhotoelectricCo.,Ltd. |
| MCENTURY | Refersto | ShenzhenMCENTURYGarmentCo.,Ltd. |
| HengmeiOptoelectronics | Refersto | HengmeiOptoelectronicsCo.,Ltd. |
| Line4 | Refersto | PolarizerforTFT-LCDPhaseILine4Project |
| Line5 | Refersto | PolarizerforTFT-LCDPhaseILine5Project |
| Line6 | Refersto | PolarizerforTFT-LCDPhaseIILine6Project |
| Line7 | Refersto | Polarizerindustryprojectforultra-large-sizeTV |
| ChinaSecuritiesRegulatoryCommission | Refersto | ChinaSecuritiesRegulatoryCommission |
| Thisreport | Refersto | 2024AnnualReport |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionIICompanyProfileandMajorFinancialIndicators
I.InformationabouttheCompany
| Stockname | ShenzhenTextileA,ShenzhenTextileB | Stockcode | 000045、200045 |
| Stocknamebeforethechange(ifany) | None | ||
| StockexchangewheretheCompany'sstocksarelisted | ShenzhenStockExchange | ||
| Chinesename | ShenzhenTextile(Holdings)Co.,Ltd. | ||
| AbbreviationinChinese | ShenzhenTextile | ||
| ForeignnameoftheCompany(ifany) | SHENZHENTEXTILE(HOLDINGS)CO.,LTD | ||
| AbbreviationoftheCompany'sforeignname(ifany) | STHC | ||
| Legalrepresentative | YinKefei | ||
| Registeredaddress | RoomA1203,TowerA,ChinaState-ownedCapitalVentureBuilding,No.2HengshengStreet,NanshanStreet,QianhaiShenzhen-HongKongCooperationZone,Shenzhen | ||
| Postalcode | 518052 | ||
| HistoricalchangesintheCompany'sregisteredaddress | 1.OnApril27,2023,theregisteredaddressoftheCompanywaschangedfrom"6thFloor,ShenFangBuilding,No.3HuaqiangNorthRoad,FutianDistrict,Shenzhen"to"708M,Building8,QianhaiExcellenceFinancialCenter(PhaseI),No.5033MenghaiAvenue,NanshanSub-district,QianhaiShenzhen-HongKongCooperationZone,Shenzhen";2.uponthereviewandapprovalofthe36thMeetingofthe8thBoardofDirectorsoftheCompanyheldonJanuary24,2025andthe2025FirstExtraordinaryGeneralMeetingheldonFebruary18,2025,theregisteredaddressoftheCompanywaschangedfrom"708M,Building8,QianhaiExcellenceFinancialCenter(PhaseI),No.5033MenghaiAvenue,NanshanSub-district,QianhaiShenzhen-HongKongCooperationZone,Shenzhen"to"A1203,TowerA,ChinaVentureCapitalFundTower,No.2HengshengStreet,NanshanSub-district,QianhaiShenzhen-HongKongCooperationZone,Shenzhen". | ||
| Officeaddress | Floor6,BlockA,ShenFangBuilding,No.3HuaqiangNorthRoad,FutianDistrict,Shenzhen | ||
| Postalcode | 518031 | ||
| Officialwebsite | http://www.chinasthc.com | ||
| szfzjt@chinasthc.com | |||
II.Contactpersonandcontactinformation
| SecretaryoftheBoardofDirectors | Securitiesaffairsrepresentative | |
| Name | JiangPeng | LiZhenyu |
| Contactaddress | Floor6,BlockA,ShenFangBuilding,No.3HuaqiangNorthRoad,FutianDistrict,Shenzhen | Floor6,BlockA,ShenFangBuilding,No.3HuaqiangNorthRoad,FutianDistrict,Shenzhen |
| Tel. | 0755-83776043 | 0755-83776043 |
| Fax | 0755-83776139 | 0755-83776139 |
| jiangp@chinasthc.com | lizy@chinasthc.com |
III.Informationdisclosureandstoragelocation
| Stockexchangewebsiteswherecompanies | ShenzhenStockExchange(http://www.szse.cn/) |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| discloseannualreports | |
| NameandwebsiteofthemediawheretheCompanydisclosesitsannualreport | SecuritiesTimes,ChinaSecuritiesJournal,ShanghaiSecuritiesNews,SecuritiesDaily,andCninfo(http://www.cninfo.com.cn) |
| Storagelocationofannualreports | OfficeoftheBoardofDirectors |
IV.Registrationchanges
| Unifiedsocialcreditcode | 91440300192173749Y |
| ChangesinprimarybusinesssincethelistingoftheCompany(ifany) | InJuly2012,withtheapprovalofShenzhenAdministrationforMarketRegulation,theCompany'sbusinessscopewaschangedto:productionandprocessingoftextiles,knitwear,clothing,decorativefabrics,belts,trademarkbelts,andhandicrafts(excludingrestricteditems);Departmentstores,textileindustryspecialequipment,textileequipmentandaccessories,instruments,standardparts,textilerawmaterials,dyes,electronicproducts,chemicalproducts,mechanicalandelectricalequipment,textileproducts,officesuppliesanddomestictrade(excludingexclusive,specialcontrolandmonopolizedgoods);importandexportbusiness.InDecember2018,withtheapprovalofShenzhenAdministrationforMarketRegulation,theCompany'sbusinessscopewaschangedto:productionandoperationofpolarizerandotheropticalfilmproducts;hotel,propertyleasingandmanagement;productionandprocessingoftextiles,knits,clothing,decorativefabrics,belts,trademarkbelts,andhandicrafts(excludingrestricteditems);Departmentstores,textileindustryspecialequipment,textileequipmentandaccessories,instruments,standardparts,textilerawmaterials,dyes,electronicproducts,chemicalproducts,mechanicalandelectricalequipment,textileproducts,officesuppliesanddomestictrade(excludingexclusive,specialcontrolandmonopolizedgoods);importandexportbusiness. |
| Previouschangesofcontrollingshareholder(ifany) | InOctober2004,accordingtotheDecisionontheEstablishmentofShenzhenInvestmentHoldingsCo.,Ltd.issuedbytheShenzhenState-ownedAssetsSupervisionandAdministrationCommissionoftheShenzhenMunicipalPeople'sGovernment(SGZW(2004)No.223),thecontrollingshareholderoftheCompany,ShenzhenInvestment&ManagementCompany,wasmergedandreorganizedtogetherwithShenzhenConstructionHoldingsCompanyandShenzhenCommerceandTradeHoldingsCompanytoformShenzhenInvestmentHoldingsCo.,Ltd. |
V.Otherrelevantinformation
AccountingfirmengagedbytheCompany
| Name | DeloitteToucheTohmatsuCertifiedPublicAccountants(LLP) |
| Officeaddress | Floor30,No.222,Yan'anEastRoad,HuangpuDistrict,Shanghai |
| Signingaccountants | HuangTianyi,ChenJunheng |
SponsorengagedbytheCompanytoperformcontinuoussupervisionduringthereportingperiod
□Applicable?NotapplicableFinancialconsultantengagedbytheCompanytoperformcontinuoussupervisionduringthereportingperiod
□Applicable?Notapplicable
VI.Mainaccountingdataandfinancialindicators
WhethertheCompanyneedstoretroactivelyadjustorrestatetheaccountingdataofpreviousyears
□Yes?No
| Year2024 | Year2023 | Increase/decreasethisyearcomparedwithlastyear | Year2022 | |
| Operatingrevenue(RMB) | 3,335,283,008.68 | 3,079,678,375.45 | 8.30% | 2,837,988,264.36 |
| Netprofitattributabletothe | 89,371,134.24 | 79,268,250.45 | 12.75% | 73,309,182.94 |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| shareholdersofthelistedcompany(RMB) | ||||
| Netprofitattributabletoshareholdersoflistedcompaniesafterdeductingnon-recurringprofitorloss(RMB) | 77,028,485.76 | 62,328,667.73 | 23.58% | 61,951,894.68 |
| Netcashflowsfromoperatingactivities(RMB) | 231,264,525.09 | 184,766,739.80 | 25.17% | 490,238,550.60 |
| Basicearningspershare(RMB/share) | 0.18 | 0.16 | 12.50% | 0.14 |
| Dilutedearningspershare(RMB/share) | 0.18 | 0.16 | 12.50% | 0.14 |
| Weightedaveragerateofreturnonnetassets | 3.06% | 2.77% | 0.29% | 2.59% |
| Asattheendof2024 | Asattheendof2023 | Increase/decreaseattheendofthisyearcomparedwiththeendoflastyear | Asattheendof2022 | |
| Totalassets(RMB) | 5,232,150,397.33 | 5,649,822,363.44 | -7.39% | 5,617,137,367.90 |
| Netassetsattributabletoshareholdersofthelistedcompany(RMB) | 2,951,869,910.25 | 2,882,152,266.22 | 2.42% | 2,849,264,555.21 |
ThenetprofitoftheCompanyinthelastthreefiscalyearsbeforeandafterdeductingnon-recurringprofitorlossisnegative,andtheauditreportofthelatestyearshowsthatthegoing-concernabilityoftheCompanyisuncertain
□Yes?NoThelowerofnetprofitbeforeandafterdeductingnon-recurringprofitorlossisnegative
□Yes?NoVII.Differencesbetweenaccountingdataunderdomesticandforeignaccountingstandards
1.DifferencesinnetprofitandnetassetsinthefinancialreportsdisclosedinaccordancewiththeinternationalaccountingstandardsandtheChineseaccountingstandards
□Applicable?NotapplicableDuringthereportingperiodoftheCompany,therewasnodifferenceinnetprofitsandnetassetsinfinancialreportsdisclosedinaccordancewithinternationalaccountingstandardsandChineseaccountingstandards
2.DifferencesinnetprofitandnetassetsinfinancialreportsdisclosedinaccordancewithboththeinternationalaccountingstandardsandChineseaccountingstandards
□Applicable?NotapplicableDuringthereportingperiodoftheCompany,therewasnodifferenceinnetprofitsandnetassetsinfinancialreportsdisclosedinaccordancewiththeinternationalaccountingstandardsandChineseaccountingstandardsVIII.Mainfinancialindicatorsbyquarter
Unit:RMB
| Q1 | Q2 | Q3 | Q4 | |
| Operatingrevenue | 761,350,922.92 | 862,033,228.98 | 898,708,470.32 | 813,190,386.46 |
| Netprofitattributabletoshareholdersofthelistedcompany | 20,777,352.85 | 23,116,722.38 | 35,007,531.14 | 10,469,527.87 |
| Netprofitattributabletoshareholdersoflistedcompaniesafterdeducting | 16,974,425.78 | 18,283,331.01 | 34,873,170.40 | 6,897,558.57 |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| non-recurringprofitorloss | ||||
| Netcashflowsfromoperatingactivities | 31,638,249.21 | -19,803,399.27 | 155,500,217.20 | 63,929,457.95 |
WhethertheabovefinancialindicatorsortheiraggregatearesignificantlydifferentfromthefinancialindicatorsrelatedtotheCompany'sdisclosedquarterlyandsemi-annualreports
□Yes?No
IX.Non-recurringprofitorlossitemsandamounts
?Applicable□Notapplicable
Unit:RMB
| Item | Amountin2024 | Amountin2023 | Amountin2022 | Notes |
| Profitorlossondisposalofnon-currentassets(includingwrite-offofprovisionforassetimpairment) | 833,613.28 | 1.72 | 31,264.60 | |
| Governmentgrantsincludedinthecurrentprofitorloss(exceptforthosethatarecloselyrelatedtotheCompany'snormalbusinessoperations,complywithnationalpoliciesandregulations,areenjoyedaccordingtodeterminedstandards,andhaveasustainedimpactontheCompany'sprofitorloss) | 10,454,530.12 | 19,927,836.02 | 11,048,569.36 | Mainlygovernmentgrants. |
| Profitorlossfromchangesinfairvalueoffinancialassetsandliabilitiesheldbynon-financialenterprisesandprofitorlossfromthedisposaloffinancialassetsandfinancialliabilities,exceptforeffectivehedgingoperationsrelatedtotheCompany'snormalbusinessoperations | -5,319,496.55 | 2,151,780.82 | 0.00 | Mainlyreferstothefairvaluechangegainsandlossesgeneratedbythecompany'sholdingoftradingfinancialassetsandderivativefinancialliabilities. |
| Reversalofprovisionforimpairmentofaccountsreceivablesubjecttoseparateimpairmenttest | 13,927,792.63 | 15,031,480.15 | 0.00 | |
| Non-operatingrevenueandexpensesotherthantheabove-mentioneditems | 1,107,069.21 | -6,755,922.25 | 7,516,025.10 | |
| Less:incometaxeffects | 2,998,978.10 | 3,478,333.83 | 3,294,064.39 | |
| Affectedamountofminorityinterests(aftertax) | 5,661,882.11 | 9,937,259.91 | 3,944,506.41 | |
| Total | 12,342,648.48 | 16,939,582.72 | 11,357,288.26 | -- |
Specificcircumstancesofotherprofitorlossitemsthatmeetthedefinitionofnon-recurringprofitorloss:
□Applicable?NotapplicableTheCompanyhadnospecificprofitorlossitemsthatmeetthedefinitionofnon-recurringprofitorloss.Notesonthedefinitionofthenon-recurringprofitorlossitemslistedinthe"InterpretiveAnnouncementNo.1onInformationDisclosureofCompaniesIssuingSecuritiestothePublic-Non-recurringProfitorLoss"asrecurringprofitorlossitems
□Applicable?NotapplicableTheCompanyhadnocircumstancesofdefinitionofthenon-recurringprofitorlossitemslistedinthe"InterpretiveAnnouncementNo.1onInformationDisclosureofCompaniesIssuingSecuritiestothePublic-Non-recurringProfitorLoss"asrecurringprofitorlossitems.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionIIIManagement'sDiscussionandAnalysisI.Industrystatusduringthereportingperiod
Thepolarizerisalsocalledpolarizedlightsheet,whichcancontrolthepolarizationdirectionofaspecificbeam.Whenthenaturallightpassesthroughthepolarizer,thelightwiththevibrationdirectionperpendiculartothepolarizertransmissionaxiswillbeabsorbed,andonlythepolarizedlightwiththevibrationdirectionparalleltothepolarizertransmissionaxiswillbetransmitted.Thedownstreamapplicationsofpolarizersaremainlyinthepanelindustry.Accordingtodifferentpaneltypes,polarizeraremainlyclassifiedintoTNtype,STNtype,TFTtypeandOLEDtype.Atpresent,theglobalpolarizermarketismainlybasedonpolarizersforTFT-LCDpanels.OneLCDpanelrequirestwopolarizers,whileoneOLEDpanelrequiresonepolarizer.Thehigh-qualitydevelopmentofthepolarizerindustryhasaprofoundimpactontheentiredisplayindustry.Asoneofthethreecorerawmaterialsofthedisplaypanel,thedemandforpolarizerisdirectlyaffectedbythefluctuationofthedisplaypanelmarket.Inrecentyears,withtheacceleratedtransferoftheglobaldisplaypanelindustrytoChina,China'spolarizerindustryhasusheredinastageofrapiddevelopment.Theproductioncapacityandprocesstechnologylevelofdomesticpolarizermanufacturershavecontinuouslyjumped.China'spolarizerindustryhassignificantlyimproveditspositionandinfluenceintheglobalmarket.Chinesemainlandhasbecometheworld'slargestpolarizerproductionbase.TheCompanyisoneofthemainpolarizerR&D,productionandsalesenterprisesinChina.ItisthepioneerofChina'spolarizerindustry.NowithasdevelopedintoaleadingenterpriseinChina'spolarizerindustry,andhasbecomeanimportantsupplierofmainstreampanelenterprisesintheworld.In2024,theglobaleconomicandgeopoliticalsituationwillremaincomplexandvolatile.Affectedbythesevereandcomplexeconomicandpoliticalsituationintheworld,theglobaldisplaypanelandterminalmarketdemandwillslowlyrecover,andthepolarizerindustrywillcontinuetoexpanditsproductioncapacity.However,itstillfacesriskssuchasintensifiedindustrycompetition,risingrawmaterialscosts,andrawmaterialssupplysecurity.
II.MainbusinessengagedinbytheCompanyduringthereportingperiod
(I)MainbusinessoftheCompanyTheCompany'smainbusinessisahigh-techindustryfocusingontheR&D,productionandsalesofpolarizersforOLEDandLCDdisplay,theoperationandmanagementofitsownproperties,andtextileandclothingbusiness.Duringthereportingperiod,therewasnosignificantchangeintheCompany'sprimarybusiness.First,theCompanyactivelyadjusteditsproductstructure,implementedaproductdifferentiationstrategy,andincreasedthesalesproportionofhigh-value-addedproducts.Ithasachievedanindustry-leadingpositioninOLEDTVpolarizersalesvolume,andthesalesvolumeofultra-large-sizeproductshassurgedsignificantly;second,theCompanymadeeveryefforttoovercomequalityproblems,improvecustomersatisfaction,reduceproductreturnlossesandmanagementcosts,andatthesametime,playedasales-drivenroletopromotesalesbyproduction,andtheproductionandsalesvolumerepeatedlyhitarecordhigh;third,theCompanystrengthenedtheon-sitetechnicalmanagementlevelandenhancedtheprocessstability.Theimprovementofbrokenfilmofeachproductionlinewasremarkable,andtheaveragefrequencyofbrokenfilmdecreasedsignificantlyyear-on-year,whichhasreachedahigherlevelintheindustry.fourth,theCompanycontinuedtostrengtheninnovationleadership,drivingthedevelopmentandmassproductionofcutting-edgeproducts.Itfocusedonbreakthroughsinkeytechnologiesandsuccessfullyachievedthedevelopmentandmassproductionofhigh-performanceOLEDTVpolarizerswithhightransmittanceandlowreflectionin55-inch,65-inch,and77-inchsizes.Additionally,itcompletedthedevelopmentofhighlyalkali-resistantpolarizersforOLEDmobilephonesandthedevelopmentofdisplaypolarizersthatmeettheU.S.EnergyStar9.0energyefficiencystandards;fifth,theCompanyactivelyphasedoutsubsidiarieswith"non-corebusinessesandinefficientassets",steadilyimplementedtheperformance-basedselectionmechanism,promotedtheshiftingofresourcesfromnon-corebusinessestocorebusinesses,andachievedrationaluseofresources;Sixth,theCompanystrengthenedsupervisionandmanagement,focusedonworksafety,preparedsafetymanagementsystems,strengthenedsafetytrainingandeducation,carriedoutsafetyriskidentificationandhiddendangerinvestigationandmanagement,consolidatedweaklinks,andpreventedaccidents;Seventh,continuouslyimprovedthequalityofpropertymanagementservice,improvetenantsatisfaction,strivedtomaintaintheCompany'spropertyrentalrateatahighlevel,andensuredthestabilityoftheCompany'spropertyleasingmanagementbusinessincome.(II)MainproductsoftheCompanyandtheirusesCurrently,theCompanyhas7mass-productionpolarizerproductionlines,anditsproductscoverTN,STN,TFT,OLED,3D,dyefilms,opticalfilmsfortouchscreensandotherfields.TheseproductsaremainlyappliedtoproductssuchasTVs,laptops,navigators,monitors,vehicles,industrialcontrols,instrumentsandmeters,smartphones,wearabledevices,3Dglasses,andsunglasses.Bycontinuouslystrengtheningtheexpansionofsaleschannelsandtheconstructionofitsownbrand,theCompanyhasbecomeaqualifiedsupplierformainstreampanelenterprisessuchasCSOT,BOE,LGD,XianyangCaihong,HKC,TianmaMicroelectronics,Sharpandsoon.ThemainproducttypesandapplicationsoftheCompany'spolarizerproductionlinesareasfollows:
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Productionlines | Address | Productwidth | Plannedcapacity | Mainproducttype |
| Line1 | Pingshan | 500mm | 600,000squaremeters | TN/STN/dyefilms |
| Line2 | Pingshan | 500mm | 1.2millionsquaremeters | TN/STN/CSTN |
| Line3 | Pingshan | 650mm | 1millionsquaremeters | TFT |
| Line4 | Pingshan | 1490mm | 6millionsquaremeters | TFT/OLED |
| Line5 | Pingshan | 650mm | 2millionsquaremeters | TFT/OLED |
| Line6 | Pingshan | 1490mm | 10millionsquaremeters | TFT/OLED |
| Line7 | Pingshan | 2500mm | 32millionsquaremeters | TFT/OLED |
(III)BusinessmodeloftheCompanyThepolarizerindustryisgraduallyshiftingfromthetraditionalbusinessmodelofR&D,productionandsalestoacustomer-centric,jointR&Dandcomprehensiveservicebusinessmodel.Byunderstandingcustomerneeds,theCompanyjointlydevelopsandcarriesouthigh-standardproductionmanagement,manufactureshigh-qualityproducts,usesadvancedpolarizerroll-onequipmenttocooperatewithdownstreampanelmanufacturers'productionlines,optimizesproductionandlogisticslinks,reducesproductionandtransportationcosts,createsvalueforcustomers,andachieveswin-wincooperation.(IV)MainperformancedriversoftheCompanySee"III.CoreCompetitivenessAnalysis"inthissectionfordetails.(V)MarketpositionoftheCompany'sproductsTheCompanyisoneofthemaindomesticenterprisesintheR&D,production,andsalesofpolarizers.Itbeganitspolarizerbusinessin1995andachievedthefirstmassproductionofpolarizersinChinain1998,becomingapioneerinChina'spolarizerindustry.TheCompanyhasmasteredcoretechnologiesfortheR&DandproductionofTN/STN,TFT-LCD,andOLEDdisplaypolarizers.Itisoneofthefewdomesticpolarizermanufacturerswiththecapabilitytoproduceafullrangeofpolarizerproductsinlarge,medium,andsmallsizes.TheCompanywasthefirsttoachievemassproductionofpolarizersforOLEDTVsandOLEDmobilephones,fillingagapinthedomesticmarket.TheCompany'smainproductsaremediumandlarge-sizedpolarizersforTFT-LCD.ItsLine7isoneofthefew2,500mmultra-widepolarizerproductionlinesintheworld,capableofmeetingtheneedsofhigh-generationpanelproductionlinessuchas8.5/8.6,10.5/11generationsglobally.Especially,itoffersthebesteconomicproductionefficiencyfor10.5/11generationlinesandhasanindustry-leadingadvantageinthetechnologyandproductioncapacitiesforultra-largeandlarge-sizedproducts.(VI)Competitiveadvantagesanddisadvantages
1.AdvantagesofcompetitionSee"III.CoreCompetitivenessAnalysis"inthissectionfordetails.
2.DisadvantagesofcompetitionSee"(III)PossiblerisksofXI.OutlookfortheCompany'sfuturedevelopment"inthischapterfordetails.III.Analysisofcorecompetitiveness(I)Technicaladvantages.SAPOPhotoelectricisoneoftheearliestnationalhigh-techenterprisesinChinatoenterthefieldofdisplaypolarizerresearchanddevelopmentandproduction.Ithas29yearsofpolarizerindustryoperationexperience,anditsproductscovermainstreamdisplayapplicationssuchasTNtype,STNtype,TFTtype,OLED,etc.Ithasacompletesetofproprietarytechnologyandindependentintellectualpropertyrightsforpolarizersthatcanmeetcustomerneeds,andhastheproductioncapacityofafullrangeofpolarizersinlarge,mediumandsmallsizes.Asoftheendofthereportingperiod,SAPOPhotoelectrichasbeengranted109patents,including:21domesticinventionpatents,86domesticutilitymodelpatentsand2overseasutilitymodelpatents.4nationalstandardsand2industrystandardswereindependentlydraftedandformulatedbySAPOPhotoelectricandapprovedforimplementation;inaddition,itparticipatedinthedraftingandformulationof1industrystandard,whichhasbeenapprovedforimplementation.SAPOPhotoelectrichasthreeinnovationplatforms,including"GuangdongProvincialEngineeringResearchCenter","ShenzhenPolarizationMaterialandTechnologyEngineeringLaboratory"and"ShenzhenEnterpriseTechnologyCenter".Theplatformsfocuson
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
theR&DandindustrializationofthecoreproductiontechnologiesofpolarizersforOLEDandLCD,aswellasthelocalizationresearchofrawmaterialsforpolarizerproduction.Amongthem,theprojectsofpolarizersforOLEDTVsandOLEDmobilephoneshavesuccessfullyachievedmassproduction,breakingthemonopolyofJapanandSouthKoreaandfillingthedomesticgap.Ithasaleadingedgecomparedwithotherpolarizermanufacturers.BasedonthesuccessfuldevelopmentofOLEDpolarizerproducts,theCompany'sAPolarizerforImprovingtheContrastRatioofOLEDDisplayswasgrantedanationalpatentin2023.Troughin-depthresearchandelaboratedesignofthematerialstructureandopticalpathoftheOLEDpolarizer,thispatenthassuccessfullysolvedkeytechnicalproblemsintheindustryandpromotedtechnologicalprogressinthefieldofOLEDpolarizers,possessinghighcommercialvalueandapplicationprospects.(II)Talentadvantages.Inordertocomplywiththehigh-qualitydevelopmentofthecompany,theCompanypromotestheconstructionoftalentteaminanall-roundandmulti-levelway,deeplyexploresthepotentialofexistingtalents,fullystimulatestheirvitality,continuouslyimprovesthecorecompetitivenessoftheenterprise,andlaysasolidfoundationforthehigh-qualitydevelopmentofthecompany.TheCompanyhasalwaystakenindependentinnovationasitscoredevelopmentstrategy,andhasbuiltasetofscientificandefficientownR&Dmanagementsystem,andgatheredaprofessionalteamwithexcellentskills,richexperienceandinternationalvision,coveringpolarizermanagementtalentsandseniortechnicians.First,focusontalenttrainingandteamforging,attachgreatimportancetotalenttrainingandteambuilding,andstrivetobuildatechnicalteamwithhighefficiency,excellentcooperationandstrongcreativity,andsuccessfullydevelopaseriesofinnovativeproductswithinfluenceintheindustry,suchaspolarizerforultra-large-sizeTVsandpolarizerforOLED.Second,continuouslyenrichtheteamofmiddle-levelcadresandcorebackbonetalents.Supplementandequipcorebackbonetalentsthroughdiversifiedchannelssuchasmarket-orientedrecruitment,publicrecruitmentandinternalselectiontoinjectstrongimpetusintothecompany'sdevelopment.Third,activelypromoteinternalpersonnelexchangesandlearning.IncombinationwiththeactualsituationoftheGroup,in2024,thetwo-wayexchangeandtrainingactivitiesforcadresandtalentsoftheGroupanditsaffiliatedenterpriseswerecontinuouslycarriedouttoeffectivelystrengthentalentcommunicationbetweenenterprises,improvethecomprehensiveabilityanddutyperformanceabilityofemployeesoftheCompany,andfurtherstimulatetheoverallvitalityofthecadreteam.Fourth,adheretothe"strategy-traction,performance-basedandfairandimpartial"assessmentanddistributionprinciple,andcontinuouslyimprovethecompensationassessmentanddistributionmechanismof"efficiencypriority,justiceintegration,balancedevaluationsystem,appropriateadjustment,andcombinationwithincentivesandconstraints".Byscientificallyandreasonablydeterminingthesalarystructureandlevel,aneffectiveincentiveandconstraintmechanismfordeterminingvaluedistributionbasedonvaluecreationhasbeenformed,andtheworkenthusiasmandcreativityofemployeeshavebeenfullymobilized.(III)Marketadvantages.TheCompanyhasagoodcustomerbaseinthedomesticandforeignmarkets.Comparedwithforeignadvancedpeers,thebiggestadvantageliesinthelocalizedsupportingcapacityclosetothepanelmarketandthestrongsupportofthenationalindustrialpolicy.Intermsofmarketdemand,withthesuccessivemassproductionofhigh-generationTFT-LCDpanelproductionlinessuchasdomestic10.5-generationand11-generationlines,aswellastheaccelerateddevelopmentoflarger-sizedpanelsandterminalproducts,thedemandforpolarizers,especiallyultra-large-sizepolarizers,inthedomesticmarkethasshownasteadygrowthtrend.TheCompanypossessesoneofthefew2,500mmultra-widepolarizerproductionlinesintheworld,maintaininganindustry-leadingadvantageinbothtechnologyandproductioncapacityforultra-largeandlarge-sizeproducts,whichenablestheCompanytobetteralignwiththemarketdemandfortheultra-large-sizepolarizers.Withthecontinuousbreakthroughofcutting-edgetechnology,thedemandforhigh-endpolarizerproductssuchasOLEDandvehicle-mountedpolarizerisgrowingrapidly,andisbecomingablueoceanmarketforpolarizercompaniestocompete.TheCompanyhasachievedmassproductionbreakthroughsinOLEDTVsandmobilephoneproducts,andhasaccumulatedrichexperienceintheproductionofhigh-qualityautomotivepolarizers,whichwillputitinafavorablepositioninfuturemarketcompetition.Intermsofmarketdevelopment,theCompanyfocusesoncustomerneeds,continuouslyoptimizestheproductionprocessandproductstructure,improvesqualitycontrol,organicallycombinesproductionandsales,establishesarapidresponsemechanism,givesfullplaytotheadvantagesoflocalization,effectivelyprovidespoint-to-pointprofessionalservices,andpromotestheverificationofvariousmodelsaroundtheoverallstrategicdeploymenttoformastablesupplychainandcontinuouslyimprovemarketshare.(IV)Qualityadvantages.TheCompanyalwaysadherestothequalitypolicyof"meetingcustomerneeds,pursuingexcellentquality;implementinggreenmanufacturingandachievingcontinuousimprovement",paysattentiontoproductqualitycontrol,andtheproductsarecomparabletointernationalqualitystandards.TheCompanystrictlycontrolsproductperformanceindicators,standardizesincominginspectionstandards,andtakesqualityimprovementandconsumptionreductionasthestartingpointtoachievesimultaneousimprovementofoutputandquality;introducesmodernmanagementsystem,andpassesISO9001qualitymanagementsystem,ISO14001environmentalmanagementsystem,ISO450001occupationalhealthandsafetymanagementsystem,QCO80000hazardoussubstancemanagementsystemandISO50001energymanagementsystemcertification;TheproducthaspassedtheCTItest,meetstheenvironmentprotectionrequirementsofRoHSdirective,andrealizesthestandardizedmanagementofthewholeprocessfromrawmaterialssupply,manufacturing,marketingtocustomerservice,soastoensurethestabilityofproductquality.(V)Managementadvantages.TheCompanyhasbeendeeplyinvolvedintheindustryformorethan20years,andhasaccumulatedrichmanagementexperienceintheproductionandmanufacturingofpolarizers.Ithasadomesticleadingpolarizerproductionmanagementprocesscontrolsystem,qualitymanagementsystemandstablerawmaterialssupplychannels.TheCompanyhascarriedoutin-depthandcomprehensivebenchmarkingwork,organizedmanagementpersonneltolearnadvancedexperiencefromcustomersandpeers,
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
vigorouslypromotedstandardizedmanagement,refinedmanagementprocesses,andlearnedfromthemanagementexperienceofdomesticandoverseaspolarizerenterprisestooptimizethecompany'sorganizationalstructure,reducemanagementlevels,andfurtherimprovethecompany'smanagementefficiency;TheCompanycontinuestoimplementadvancedmanagementsystemsandreasonableincentivemechanismstoimprovedecision-makingefficiency,enhancemarketresponsespeed,andrefinetheR&Drewardsystem.Inaddition,itachievesadeeperintegrationofcorporatevalueandemployeevalue,stimulatingnewbusinessvitality;theCompanysteadilypromotesstrategictransformation,optimizesresourceallocation,andorderlyphasesout"non-corebusinessesandinefficientassets";theCompanyhasimprovedtheefficiencyofproductionmanagementandenhancedtheproductionstability,withsignificantprogressinfilm-breakingreductionacrossproductionlines,reachingaindustry-leadinglevel;theCompanyhasstrengthenedqualitymanagement,leadingtoasignificantreductionincustomercomplaintsandreturnrates,earningmultiplequalityimprovementawardsfrommultiplekeycustomers;throughtheapproachoflistingtasksbasedonprojectinitiation,theCompanyhaseffectivelyimprovedefficiencyandquality,resultinginnoticeablereductionsinmaterialcostsandanincreaseinproductyieldrates.(VI)Policyadvantages.Polarizerisanimportantpartofthenewdisplayindustry.ThecontinuousdevelopmentoftheCompany'spolarizerbusinesshasimprovedtheoverallsupplycapacityofdomesticpolarizer,greatlyreducedthedependenceofdomesticpanelenterprisesonimportedpolarizer,maintainedthesafetyofthecountry'snewdisplayindustry,playedapositiveroleinenhancingtheoverallcompetitivenessofChina'snewdisplayindustrychain,andboostedthecoordinateddevelopmentofthewholeindustrialchainof"20+8"ultra-high-definitionvideodisplayindustryclusterinShenzhen.TheCompany'spolarizerbusinessunit,SAPOPhotoelectric,hascontinuedtoreceiverecognitionasanationalhigh-techenterpriseanditspolarizerprojectshavereceivedmultiplepolicyandfinancialsupportsfromnationalandlocalgovernments;inaddition,SAPOPhotoelectricalsoenjoysthepreferentialpolicyofimportdutyexemptionsonkeyrawmaterials.
IV.Analysisofprimarybusiness
1.Overview
2024isacrucialyearforthecompanytoachievethegoalsandtasksofthe14thFiveYearPlan,andalsoayearforthecompanytoforgeaheadtowardshigh-qualitydevelopment.Overthepastyear,facingasevereandcomplexeconomicsituation,thecompany'sboardfocusedonthe"14thFiveYearPlan"strategicplan,insistingondeepeningthemainbusinessofpolarizingfilm,fullypromotingthecontinuousimprovementofproductioncapacityandtechnologicallevel,andthecontinuousinnovationofcutting-edgetechnology,strivingtoturnchallengesintoopportunities,continuouslyoptimizingbusinessquality,steadilyimprovingoperationalefficiency,andachievinganoverallimprovementinthebusinesssituation,layingasolidfoundationforthecompany'sfurthertransformationanddevelopment.In2024,thecompanywillfocusonitsmainbusinessofpolarizingfilmsandachievesteadygrowthinperformancethroughmeasuressuchasoptimizingproductstructure,improvingproductquality,enhancingoperationalefficiency,promotingthedevelopmentandmassproductionofcutting-edgeproducts,andstrengtheningon-sitetechnicalmanagement.Duringthereportingperiod,thecompanyachievedarevenueof3.335billionyuan,ayear-on-yearincreaseof8.30%;Thenetprofitattributabletoshareholdersofthelistedcompanywas89.3711millionyuan,ayear-on-yearincreaseof12.75%.ThekeyworkreviewedbytheCompanyin2024asfollows:
(I)Deeplycultivatedtheoperationandmanagementofpolarizer,anddrovehigh-qualitydevelopmentwithdifferentiationstrategyIn2024,first,theCompanyactivelyadjusteditsproductstructure,implementedaproductdifferentiationstrategy,andincreasedthesalesproportionofhigh-value-addedproducts.Ithasachievedanindustry-leadingpositioninOLEDTVpolarizersalesvolume,andthesalesvolumeofultra-large-sizeproductshassurgedsignificantly;second,theCompanycontinuedtopromoteleanmanagement,strictlycontrolledmanufacturingcosts,reducedmateriallosses,madeeveryefforttoovercomequalityproblems,andimprovedcustomersatisfaction;third,theCompanycontinuedtostrengtheninnovationleadership,drivingthedevelopmentandmassproductionofcutting-edgeproducts.Itfocusedonbreakthroughsinkeytechnologiesandsuccessfullyachievedthedevelopmentandmassproductionofhigh-performanceOLEDTVpolarizerswithhightransmittanceandlowreflectionin55-inch,65-inch,and77-inchsizes.Additionally,itcompletedthedevelopmentofhighlyalkali-resistantpolarizersforOLEDmobilephonesandthedevelopmentofdisplaypolarizersthatmeettheU.S.EnergyStar9.0energyefficiencystandards;fourth,theCompanystrengthenedtheon-sitetechnicalmanagementlevelandenhancedtheprocessstability.Theimprovementofbrokenfilmofeachproductionlinewasremarkable,andtheaveragefrequencyofbrokenfilmdecreasedsignificantlyyear-on-year,whichhasreachedahigherlevelintheindustry.(II)ConsolidatedthetechnologicalinnovationecosystemandempowereddomesticsubstitutionforbreakthroughofkeytechnologiesIn2024,theCompanyactivelycooperatedwithupstreamanddownstreamenterprisesintheindustrychain,consolidatedtheinnovationecosystem,andundertooktechnicalresearchprojects.First,inconjunctionwithupstreamopticalfilmmaterialmanufacturersanddownstreampanelenterprises,theprojectofOLEDcircularpolarizerandopticalcompensationfilmtechnologyresearchanddevelopmenthasbeencarriedout,andhasreceivednationalfunding.TheprojectwasexpectedtomakeimportantcontributionstothelocalizationofkeymaterialsforOLEDpolarizerandtheindustrializationofdomesticOLEDpolarizer;second,acceleratedtheresearchanddevelopmentofkeytechnologiessuchaslowcolordeviationcircularpolarizerforfixedcurvatureAMOLEDandkeytechnologiesforvehicledisplaypolarizer.Bytheendof2024,thefixedcurvatureAMOLEDpolarizerprojectcompletedtheproductdevelopmentandenteredthemassproductionstage,andtheperformanceoftheon-boardpolarizerproductswaspreliminarilyverifiedbycustomers.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
In2024,theCompanycompleted15newpatentapplications,including7inventionpatentsand8utilitymodelpatents;obtained5authorizedpatents,including3inventionpatentsand2utilitymodelpatents.Bytheendof2024,theCompanyhadobtainedatotalof109authorizedpatents,including21inventionpatentsand88utilitymodelpatents.(III)Maintainedthestabledevelopmentoftheleasingindustry,andimprovedtenantsatisfactionwithhighservicequalityIn2024,theleasingmarketsituationwasgrim,thevacancyratecontinuedtorise,andrentsgenerallydeclined.ThepropertymanagemententerprisesaffiliatedtotheCompanycontinuouslyimprovedtheirmanagement,andtheiroperationanddevelopmenthavemadesteadyprogress.First,judgedthedevelopmenttrendofthefutureleasingmarket,analyzedthepotentialcustomerdemand,andscientificallyandreasonablyformulatedtheannualpropertyleasingplanbasedontheactualsituationofthepropertyenterprise;second,strengthenedmanagement,designedflexibleleasetermsandflexiblepaymentmethods,andensuredtherefinedimplementationandlandingoftheannualleaseplan;third,continuouslyimprovedthequalityofpropertymanagementservice,timelyrespondedtotheneedsoftenants,upgradedhardwareandsoftwarefacilities,andenhancedtenantsatisfaction.TheCompany'spropertyleasingandmanagementbusinessachievedsteadydevelopmentthroughouttheyear,contributingstablecashflows.(IV)Focusonthemainbusinesstooptimizetheassetstructure,andtheCompany'stransformationanddevelopmentresultshavebeenachievedIn2024,theCompanysteadilypromotedstrategictransformation,optimizedresourceallocationandpromotedhigh-qualitydevelopment.First,continuedtosteadilyandorderlypromotedtheimprovementoftextilebusinessoperation,andbasicallycompletedpersonneloptimization;second,theorderlyliquidationof"non-corebusinessesandnon-performingassets",andtheparticipatingenterprisesYehuiInternationalCo.,Ltd.hassubstantiallycompletedtheliquidationprocedures;third,revitalizedidleassetsandmadefulluseofvacantproperties.(V)TerminatemajorassetreorganizationprojectsandsafeguardtheinterestsofshareholdersandtheCompanySincetheplanningandfirstannouncementoftheCompany'sacquisitionof100%equityinHengmeiOptoelectronicsCo.,Ltd.byissuingsharesandpayingcash(hereinafterreferredtoasthe"Restructuring"),theCompanyandrelevantintermediarieshavealwaysadheredtotheperspectiveofsafeguardingtheinterestsofallshareholders,activelycommunicatedwiththecounterpartyintermsoftransactionplansandcoretermsofthetransaction.Astherestructuringplaniscomplexandinvolvesmanycounterparties,byMay2024,thetransactionhasnotcompletedtheapprovalproceduresofallpartiestothetransaction,andthevalidityperiodofthefinancialdataofthetargetcompanyhasexpired.Fromtheperspectiveofsafeguardingtheinterestsofallshareholdersandlistedcompanies,thecompanyhasprudentlydemonstratedandfriendlynegotiatedwithallpartiestothetransaction.(VI)Buildafirmconceptofworksafety,andtakemultiplemeasurestostrengthenworksafetymanagementIn2024,theCompanyfirmlyestablishedtheconceptofsafetydevelopment,adheredtothesafetyredlineawarenessandbottomlinethinking,comprehensivelyconsolidatedthesafetyfoundation,improvedthesafetymanagementlevel,andcreatedagoodsafetyenvironmentforproductionandoperation.First,improvedthesafetymanagementsystem,optimizedthesafetymanagementsystem,establishedandimprovedtheworksafetyresponsibilitysystem,compactedtheresponsibilitiesatalllevels,andensuredthatallsafetymeasuresareimplementedinplace;second,strengthenedsafetyeducationandtraining,carriedoutin-depthsafetyeducationandskilltrainingforallemployeesthroughdiversifiedtrainingforms,andeffectivelyimprovedemployees'safetyawarenessandoperationability;Third,improvedemergencyresponsecapabilities,organizedandcarriedoutmulti-levelandmulti-scenarioemergencydrills,andstrengthenedemployees'emergencyresponseskillsandemergencyresponsecapabilities;fourth,deepenedriskpreventionandcontrolandhiddendangerinvestigation,comprehensivelycarriedoutsafetyriskidentificationandhiddendangerinvestigationandgovernance,andformulatedspecialrectificationmeasuresforweaklinkstoensurethatsafetycontrolmeasuresareinplace.(VII)Improvedthequalityofpartybuildingandledthehigh-qualitydevelopmentofenterprisesIn2024,theCompanyunswervinglystrengthenedpartybuilding,furtherpromotedtheParty'sinnovativetheoreticalarmament,steadilycarriedoutPartydisciplinelearningandeducation,continuedtodeepentheconstructionofpartyconductandcleangovernment,solidlycarriedoutPartybuildingresearch,andgavefullplaytothevanguardandexemplaryroleofgrassrootspartyorganizationsasfightingbastionsandpartymembersandcadres;continuouslystrengthenedtheoverallservice,adheredtothefocusonpartybuildingaroundthecenter,focusedonstraighteningouttherelationshipbetweendiversifiedshareholdersofimportantsubsidiary,andformedajointforceforthecompany'sdevelopment;adheredtothepartybuilding-ledinnovationdrivetocreatedifferentiatedcompetitiveadvantages;adheredtostrengtheningresponsibilitywithpartybuildingempowerment,forgedaloyalandresponsiblecadreteam,andledtheCompany'shigh-qualitydevelopmentthroughhigh-qualitypartybuilding.
2.Revenueandcost
(1)Compositionofoperatingrevenue
Unit:RMB
| Year2024 | Year2023 | YoYchange | |||
| Amount | Percentageofoperatingrevenue | Amount | Percentageofoperatingrevenue | ||
| Totaloperatingrevenue | 3,335,283,008.68 | 100% | 3,079,678,375.45 | 100% | 8.03% |
| Byindustry | |||||
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Manufacturing | 3,222,007,352.76 | 96.60% | 2,968,884,717.77 | 96.40% | 8.53% |
| Propertyleasing | 113,275,655.92 | 3.40% | 110,793,657.68 | 3.60% | 2.24% |
| Byproduct | |||||
| Polarizersalesbusiness | 3,161,332,478.08 | 94.78% | 2,885,625,542.77 | 93.70% | 9.55% |
| Propertyleasingandotherbusiness | 173,950,530.60 | 5.22% | 194,052,832.68 | 6.30% | -10.36% |
| Byregion | |||||
| Domestic | 3,173,216,270.08 | 95.14% | 2,963,091,439.22 | 96.21% | 7.09% |
| Overseas | 162,066,738.60 | 4.86% | 116,586,936.23 | 3.79% | 39.01% |
| Subsalesmodel | |||||
| Creditsales | 3,088,206,699.28 | 92.59% | 2,948,168,591.89 | 95.73% | 4.75% |
| Cashsales | 247,076,309.40 | 7.41% | 131,509,783.56 | 4.27% | 87.88% |
(2)Industry,product,regionandsalesmodelaccountingformorethan10%ofthecompany'soperatingrevenueoroperatingprofit?Applicable□Notapplicable
Unit:RMB
| Operatingrevenue | Operatingcosts | Grossmargin | YoYchangeinoperatingrevenue | YoYchangeinoperatingcosts | YoYchangeingrossmargin | |
| Byindustry | ||||||
| Manufacturing | 3,222,007,352.76 | 2,770,623,790.28 | 14.01% | 8.53% | 9.09% | -0.44% |
| Byproduct | ||||||
| Polarizersalesbusiness | 3,161,332,478.08 | 2,720,719,735.99 | 13.94% | 9.55% | 10.46% | -0.70% |
| Byregion | ||||||
| Domestic | 3,173,216,270.08 | 2,669,090,161.64 | 15.89% | 7.09% | 8.10% | -0.78% |
| Subsalesmodel | ||||||
| Creditsales | 3,088,206,699.28 | 2,633,299,467.78 | 14.73% | 4.75% | 5.33% | -0.47% |
UnderthecircumstancesthatthecalculationmethodoftheCompany'smainbusinessdataisadjustedduringthereportingperiod,theCompany'smainbusinessdataforthelatestperiodisadjustedaccordingtothecalculationmethodattheendofthereportingperiod
□Applicable?Notapplicable
(3)Whetherthecompany'sphysicalsalesrevenueisgreaterthantherevenueoflaborservices?Yes□No
| Industryclassification | Item | Unit | Year2024 | Year2023 | YoYchange |
| Polarizer | Salesvolume | Tenthousandsquaremeters | 4,511.36 | 4,067.17 | 10.92% |
| Productionvolume | Tenthousandsquaremeters | 4,519.80 | 4,059.98 | 11.33% | |
| Inventory | Tenthousandsquaremeters | 113.66 | 105.22 | 8.02% | |
ReasonsfortheYoYchangeofmorethan30%inrelevantdata
□Applicable?Notapplicable
(4)PerformanceofmajorsalescontractsandmajorprocurementcontractssignedbytheCompanyasofthereportingperiod
□Applicable?Notapplicable
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
(5)CompositionofoperatingcostsIndustryandproductclassificationIndustryandproductclassification
Unit:RMB
| Industryclassification | Item | Year2024 | Year2023 | YoYchange | ||
| Amount | Proportioninoperatingcosts | Amount | Proportioninoperatingcosts | |||
| Manufacturing | Polarizerandtextile | 2,770,623,790.28 | 99.10% | 2,539,763,710.92 | 99.15% | 9.09% |
| Propertyleasing | Propertyleasingandothers | 25,236,144.54 | 0.90% | 21,868,133.61 | 0.85% | 15.40% |
Unit:RMB
| Productclassification | Item | Year2024 | Year2023 | YoYchange | ||
| Amount | Proportioninoperatingcosts | Amount | Proportioninoperatingcosts | |||
| Polarizersalesbusiness | Directmaterials | 2,249,737,862.60 | 82.69% | 2,001,392,768.82 | 81.25% | 12.41% |
| Polarizersalesbusiness | Directlabor | 56,860,547.47 | 2.09% | 56,414,151.28 | 2.29% | 0.79% |
| Polarizersalesbusiness | Powercost | 69,419,996.74 | 2.55% | 74,399,845.18 | 3.02% | -6.69% |
| Polarizersalesbusiness | Manufacturingexpenses | 344,701,329.18 | 12.67% | 330,930,582.77 | 13.44% | 4.16% |
NotesNone
(6)Whethertherewasanychangeintheconsolidationscopeduringthereportingperiod
□Yes?No
(7)InformationaboutsignificantchangesoradjustmentsintheCompany'sbusiness,productsorservicesduringthereportingperiod
□Applicable?Notapplicable
(8)MainsalescustomersandsuppliersMainsalescustomersoftheCompany
| Totalsalesamountoftopfivecustomers(RMB) | 2,378,354,555.09 |
| Ratiooftop5customers'salestototalannualsales | 71.31% |
| Ratioofrelatedpartysalesamongtop5customerstototalannualsales | 0.00% |
InformationontheCompany'stop5customers
| No. | Customername | Salesamount(RMB) | Ratiointotalannualsales |
| 1 | Customer1 | 837,268,230.79 | 25.10% |
| 2 | Customer2 | 711,021,831.51 | 21.32% |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| 3 | Customer3 | 384,654,504.42 | 11.53% |
| 4 | Customer4 | 310,802,454.14 | 9.32% |
| 5 | Customer5 | 134,607,534.23 | 4.04% |
| Total | -- | 2,378,354,555.09 | 71.31% |
Otherinformationofmaincustomers
□Applicable?NotapplicableMainsuppliersoftheCompany
| Totalpurchaseamountoftopfivesuppliers(RMB) | 1,136,388,239.76 |
| Ratiooftotalpurchaseamountofthetopfivesuppliersinthetotalannualpurchaseamount | 44.72% |
| Ratioofrelatedpartypurchasesamongtop5supplierstototalannualpurchases | 0.00% |
InformationontheCompany'stop5suppliers
| No. | Suppliername | Purchaseamount(RMB) | Ratiointheannualpurchaseamount |
| 1 | SupplierI | 380,858,912.59 | 14.99% |
| 2 | SupplierII | 249,144,324.52 | 9.80% |
| 3 | SupplierIII | 217,940,190.61 | 8.58% |
| 4 | SupplierIV | 147,054,553.77 | 5.79% |
| 5 | SupplierV | 141,390,258.27 | 5.56% |
| Total | -- | 1,136,388,239.76 | 44.72% |
Otherinformationofmainsuppliers
□Applicable?Notapplicable
3.Costs
Unit:RMB
| Year2024 | Year2023 | YoYchange | Explanationofsignificantchanges | |
| Sellinganddistributionexpenses | 42,260,603.47 | 34,195,670.61 | 23.58% | Mainlyduetotheincreaseinsalesservicefees. |
| G&Aexpenses | 134,347,821.58 | 134,371,410.53 | -0.02% | |
| Financialexpenses | 12,121,156.05 | 24,399,501.16 | -50.32% | Mainlyduetoreducedinterestexpensesandexchangeratefluctuations. |
| R&Dexpenses | 103,811,822.91 | 104,653,040.92 | -0.80% |
4.R&Dinvestment
?Applicable□Notapplicable
| NameofmainR&Dproject | Purposeoftheproject | Projectprogress | Objectivestobeachieved | Expectedimpactonthecompany'sfuturedevelopment |
| Developmentofhigh-transmittanceandhigh-deviationTVproducts | Followthedevelopmenttrendoftheindustry. | Completed | High-transparencyandhigh-deviationTVproductshavebeendevelopedandmass-produced. | Satisfythedemandsofterminalsforlow-energy-consumptiondisplayproductsandstabilizethemarketpositionoftheenterprise. |
| Developmentofultra-widenewVAcompensationfilmproduct | Solvetheissueofhavingasinglesupplier. | Completed | Completethedevelopmentandintroductionofmaterials,andachievethemassproductionanddeliveryof | Broadensourcesofmaterialsupply. |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| products. | ||||
| MNTproductdevelopment | Followthedevelopmenttrendoftheindustry. | Completed | Completetheproductdevelopmentandintroduction,andachievemassproductionanddelivery. | Itisconducivetoseizingmarketshareandlayingafoundationforfurtherproducttechnologicalupdate. |
| DevelopmentofwidewidthbrighteningNBproducts | Enterthemediumandhigh-endNBmarketandstrengthenthelayoutoftheNBmarket. | Completed | Completetheverificationofcustomermaterials. | ImprovetheCompany'smarketpositioninsmallandmedium-sizedmarkets,especiallyintheNBfield. |
| OLEDTVproductdevelopment | Matchthecustomer'sdevelopmentstrategy. | Inprogress | ComponentcertificationwillbecompletedinJune2025toachievemassproduction. | Furtherenhancethecompany'smarketpositioninthefieldofthepolarizerforOLED. |
| AMOLEDcircularpolarizerproductdevelopment | Dualdevelopmentofcorecomponents. | Completed | Completematerialprocessverificationandcustomer-sideverification. | ImplementtheCompany'sstrategyofcostreductionandefficiencyimprovement,andmeetthelocalizationrequirementsofthecustomer. |
| PVAhightransparencyprocessdevelopment | Improvethecuttingutilizationrate. | Completed | CompletethedevelopmentoftheextendedprocessforthinPVAinthewide-widthproductionline. | Improveutilizationwhilereducingproductioncosts. |
| High-durabilityPVAwaterglue | Improvetheweatherresistanceindexoftheproduct. | Completed | Completethedesignandverificationoftheformulaofhigh-durabilityPVAwaterglue. | TheCompanyhasenrichedandperfecteditscoretechnologyofpolarizerproduction,andkeptupwiththeinternationaladvancedleveloftheindustry. |
| DevelopmentofhighlyreliableUVadhesive | Improvethemoistureresistanceandinterlayeradhesionoflarge-sizeproducts. | Completed | Undertheconditionofmatchinghighmachinespeed,theinterlayeradhesionandreliabilityoftheproductarestable. | ImprovethecompetitivenessoftheCompany'sproductsandbroadenthescopeofapplication. |
| Developmentoffulllaminationvehicle-mountedproducts | Achievebreakthroughsintechnicalsolutionsandbreakforeignmonopoly. | Completed | Ensurethattheinternaltestperformanceofthedevelopedproductsmeetstherequirementsoffull-fiton-boardproducts. | Layafoundationforopeningthehigh-endmarketofon-boardproducts. |
| SGFeyecareproductdevelopment | Developeyeprotectionproductstoenhanceproductcompetitiveness. | Completed | Completetheproductdevelopmentandintroduction,andachievemassproductionanddelivery. | DiversifytheCompany'sproductsandimprovethecompetitivenessoftheCompany'sproducts. |
R&DpersonneloftheCompany
| Year2024 | Year2023 | Changeratio | |
| NumberofR&Dpersonnel | 174 | 178 | -2.25% |
| ProportionofR&Dpersonnel | 12.53% | 12.57% | -0.04% |
R&Dinvestment
| Year2024 | Year2023 | Changeratio | |
| AmountofR&Dinvestment(RMB) | 103,811,822.91 | 104,653,040.92 | -0.80% |
| RatioofR&Dinvestmenttooperatingrevenue(%) | 3.11% | 3.40% | -0.29% |
| AmountofcapitalizedR&Dinvestment(RMB) | 0.00 | 0.00 | 0.00% |
| RatioofcapitalizedR&DinvestmenttoR&Dinvestment | 0.00% | 0.00% | 0.00% |
ReasonsandimpactofmajorchangesinthecompositionoftheCompany'sR&Dpersonnel
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
□Applicable?NotapplicableReasonsforthesignificantchangeintheproportionoftotalR&Dinvestmenttooperatingrevenuecomparedwiththepreviousyear
□Applicable?NotapplicableReasonsforthesignificantchangeinthecapitalizationrateofR&Dinvestmentanditsrationalityexplanation
□Applicable?Notapplicable
5.Cashflows
Unit:RMB
| Item | Year2024 | Year2023 | YoYchange |
| Sub-totalofcashinflowsfromoperatingactivities | 3,498,846,688.58 | 3,078,145,063.09 | 13.67% |
| Sub-totalofcashoutflowsfromoperatingactivities | 3,267,582,163.49 | 2,893,378,323.29 | 12.93% |
| Netcashflowsfromoperatingactivities | 231,264,525.09 | 184,766,739.80 | 25.17% |
| Sub-totalofcashinflowsfrominvestingactivities | 1,710,096,583.99 | 1,467,781,075.59 | 16.51% |
| Sub-totalofcashoutflowsfrominvestingactivities | 1,634,895,167.62 | 1,904,569,967.97 | -14.16% |
| Netcashflowsfromtheinvestingactivities | 75,201,416.37 | -436,788,892.38 | 117.22% |
| Sub-totalofcashinflowsfromfinancingactivities | 0.00 | 8,000,000.00 | -100.00% |
| Sub-totalofcashoutflowsfromfinancingactivities | 466,358,420.51 | 169,488,356.86 | 175.16% |
| Netcashflowsfromfinancingactivities | -466,358,420.51 | -161,488,356.86 | -188.79% |
| Netincreaseincashandcashequivalents | -159,335,617.98 | -413,054,377.13 | 61.43% |
DescriptionofmaininfluencingfactorsofsignificantYoYchangesinrelevantdata?Applicable□NotapplicableThenetcashflowsfrominvestingactivitiesincreasedby117.22%YoY,mainlyduetothepurchaseofstructureddepositsandbankwealthmanagementproductsinthesameperiodlastyear;Thenetcashflowsfromfinancingactivitiesdecreasedby188.79%YoY,mainlyduetotheprepaymentofloanprincipalduringthereportingperiod;Thenetincreaseincashandcashequivalentsincreasedby61.43%YoY,mainlyduetotheincreaseincashinflowsfromthematurityofthecompany'swealthmanagementproductsduringthereportingperiod.ExplanationofthereasonsforthesignificantdifferencebetweenthenetcashflowgeneratedfromtheoperatingactivitiesoftheCompanyandthenetprofitofthecurrentyearduringthereportingperiod
□Applicable?Notapplicable
V.Analysisofnon-primarybusiness
?Applicable□Notapplicable
Unit:RMB
| Amount | Ratiooftotalprofit | Formationreasons | Whetheritissustainable |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Investmentincome | -165,313.89 | -0.11% | Itismainlyduetothelossofparticipatingenterprisesduringthereportingperiod. | Sustainable. |
| Gains/lossesonchangesinfairvalue | 1,134,503.45 | 0.74% | ItismainlyduetotheincomeandfairvaluechangesobtainedbytheCompanyfrompurchasingfinancialproductsandtheunexpiredpartofforwardforeignexchangecontractsduringthereportingperiod. | Notsustainable. |
| Assetimpairment | -132,423,108.75 | -86.62% | ItwasmainlyduetotheprovisionforinventorydepreciationmadebytheCompanyinaccordancewiththeaccountingpoliciesduringthereportingperiod. | Sustainable. |
| Non-operatingrevenue | 1,805,086.92 | 1.18% | ItismainlyduetotheliquidateddamagesreceivedbytheCompanyduringthereportingperiod. | Notsustainable. |
| Non-operatingexpenses | 698,017.71 | 0.46% | ItismainlyduetotheliquidateddamagespaidbytheCompanyduringthereportingperiod. | Notsustainable. |
| Otherincome | 41,484,107.53 | 27.13% | Itismainlyduetothegovernmentgrantsreceivedbyandthepreferentialpolicyofadditionalvalue-addedtaxdeductionenjoyedbytheCompanyduringthereportingperiod. | Sustainable. |
VI.Analysisofassetsandliabilities
1.Majorchangesinassetcomposition
Unit:RMB
| Asattheendof2024 | Early2024 | Increase/decreaseinpercentage | Explanationofsignificantchanges | |||
| Amount | Ratiooftotalassets | Amount | Ratiooftotalassets | |||
| Monetaryfunds | 340,961,443.82 | 6.52% | 472,274,448.00 | 8.36% | -1.84% | |
| Accountsreceivable | 863,731,936.89 | 16.51% | 820,134,833.95 | 14.52% | 1.99% | |
| Inventories | 789,756,700.88 | 15.09% | 736,392,172.27 | 13.03% | 2.06% | |
| Investmentproperties | 115,993,390.19 | 2.22% | 125,603,207.18 | 2.22% | 0.00% | |
| Long-termequityinvestments | 114,828,026.04 | 2.19% | 127,682,020.70 | 2.26% | -0.07% | |
| Fixedassets | 1,873,552,843.91 | 35.81% | 2,066,006,237.73 | 36.57% | -0.76% | |
| Constructioninprogress | 5,814,012.03 | 0.11% | 31,307,060.74 | 0.55% | -0.44% | |
| Right-of-useassets | 15,338,117.86 | 0.29% | 11,999,466.57 | 0.21% | 0.08% | |
| Short-termborrowings | 0.00 | 0.00% | 8,000,000.00 | 0.14% | -0.14% | |
| Contractliabilities | 490,562.97 | 0.01% | 1,436,943.34 | 0.03% | -0.02% | |
| Long-termborrowings | 162,388,870.00 | 3.10% | 505,578,314.56 | 8.95% | -5.85% | ItismainlyduetotheearlyrepaymentofloansbytheCompanyduring |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| thereportingperiod. | ||||||
| Leaseliabilities | 9,496,564.12 | 0.18% | 6,687,317.22 | 0.12% | 0.06% | |
| Financialassetsheldfortrading | 731,419,904.42 | 13.98% | 821,946,114.68 | 14.55% | -0.57% | |
| Otherpayables | 160,296,989.98 | 3.06% | 184,528,344.55 | 3.27% | -0.21% |
Highproportionofoverseasassets
□Applicable?Notapplicable
2.Assetsandliabilitiesmeasuredatfairvalue
?Applicable□Notapplicable
Unit:RMB
| Item | Beginningbalance | Profitorlossfromchangesinfairvalueinthecurrentperiod | Cumulativechangesinfairvalueincludedinequity | Impairmentprovisioninthecurrentperiod | Amountpurchasedinthecurrentperiod | Amountsoldinthecurrentperiod | Otherchanges | Endingbalance |
| Financialassets | ||||||||
| 1.Financialassetsheldfortrading(excludingderivativefinancialassets) | 821,946,114.68 | 2,413,062.80 | 0.00 | 0.00 | 1,605,454,000.00 | 1,698,393,273.06 | 0.00 | 731,419,904.42 |
| 4.Otherequityinstrumentinvestments | 145,988,900.00 | 0.00 | 19,414,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 165,402,900.00 |
| Sub-totaloffinancialassets | 967,935,014.68 | 2,413,062.80 | 19,414,000.00 | 0.00 | 1,605,454,000.00 | 1,698,393,273.06 | 0.00 | 896,822,804.42 |
| Totaloftheabove | 967,935,014.68 | 2,413,062.80 | 19,414,000.00 | 0.00 | 1,605,454,000.00 | 1,698,393,273.06 | 0.00 | 896,822,804.42 |
| Financialliabilities | 0.00 | -1,278,559.35 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -1,278,559.35 |
OtherchangesNoneWhetherthereweresignificantchangesinthemeasurementattributesoftheCompany'smajorassetsduringthereportingperiod
□Yes?No
3.Restrictionsonassetrightsasoftheendofthereportingperiod
Restrictedassetsasoftheendofthereportingperiodaremonetaryfunds,notesreceivable,fixedassetsandintangibleassets,ofwhich:
(1)TherestrictedmonetaryfundsmainlyincludethefundsequivalenttoRMB3,401,500.00duetothefreezingofaccountsandthebillguaranteeofRMB35,443,338.96.
(2)RestrictednotesreceivablearenotesreceivablethathavebeenendorsedbytheCompanyandhavenotyetmaturedonthebalancesheetdate.
(3)TherestrictedfixedassetsandintangibleassetsaremainlythemortgageloansappliedforsubsidiarySAPOPhotoelectricwithpartofitsself-ownedpropertiesfromthesyndicateledbyBankofCommunicationsCo.,Ltd.ShenzhenBranch,andtheguaranteeprovidedbytheCompanyforthemortgageloans.Fordetails,pleaserefertotheAnnouncementontheProvisionofGuaranteesbytheCompanyforSubsidiariestoApplyforBankMortgageLoans(No.2020-19)andtheAnnouncementontheProgressoftheProvisionofGuaranteesby
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
theCompanyforSubsidiaries(No.2020-46)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).
VII.Analysisofinvestmentstatus
1.Overallsituation
□Applicable?Notapplicable
2.Majorequityinvestmentsacquiredduringthereportingperiod
□Applicable?Notapplicable
3.Majornon-equityinvestmentsinprogressduringthereportingperiod
□Applicable?Notapplicable
4.Investmentinthefinancialassets
(1)Securitiesinvestment
□Applicable?NotapplicableTheCompanyhadnosecuritiesinvestmentduringthereportingperiod.
(2)Derivativeinvestment
□Applicable?NotapplicableTheCompanyhadnoderivativeinvestmentduringthereportingperiod.
5.Useoffundsraised
□Applicable?NotapplicableTheCompanyhadnouseoffundsraisedduringthereportingperiod.
VIII.Salesofmajorassetsandequities
1.Salesofmajorassets
□Applicable?NotapplicableTheCompanydidnotsellmajorassetsduringthereportingperiod.
2.Saleofmajorequity
□Applicable?NotapplicableIX.Analysisofmajorholdingandparticipatingcompanies
?Applicable□NotapplicableMajorsubsidiariesandparticipatingcompanieswithanimpactof10%ormoreontheCompany'snetprofit
Unit:RMB
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Companyname | Companytype | Mainbusiness | Registeredcapital | Totalassets | Netassets | Operatingrevenue | Operatingprofit | Netprofit |
| ShenzhenSAPOPhotoelectricCo.,Ltd. | Subsidiaries | Productionandsalesofpolarizers | 583,333,333.00 | 4,038,576,173.15 | 3,203,266,074.15 | 3,230,006,072.51 | 136,109,623.37 | 134,214,080.34 |
Informationonacquisitionanddisposalofsubsidiariesduringthereportingperiod?Applicable□Notapplicable
| Companyname | Methodsofacquisitionanddisposalofsubsidiariesduringthereportingperiod | Impactonoverallproduction,operationandperformance |
| ShenzhenHuaqiangHotelCo.,Ltd. | Liquidation | ItconformstotheCompany'sstrategicplanningandhasnosignificantimpactontheCompany'soverallproduction,operationandperformance. |
NotestomainholdingandparticipatingcompaniesThefinancialdataofthesubsidiarySAPOPhotoelectricintheabovetablearethedataofitsconsolidatedfinancialstatements.Fordetailsofitsperformancefluctuationsandreasonsforchanges,pleasereferto"IVAnalysisofprimarybusiness"in"SectionIIIManagementDiscussionandAnalysis".X.StructuredentitiescontrolledbytheCompany
□Applicable?Notapplicable
XI.ProspectsforthefuturedevelopmentoftheCompany
(i)Industrycompetitionpatternanddevelopmenttrend
1.IndustrycompetitionpatternThepolarizerindustryisahighlyconcentratedindustry.Atpresent,thereareabout10majorpolarizermanufacturersintheworld,mainlylocatedinChinesemainland,JapanandTaiwan.WiththetransferofproductioncapacityandthecontinuousexpansionofproductionbymanufacturersfromChinesemainland,Chinahasbecometheworld'slargestpolarizerproductionbase.AccordingtothelatestdatafromOmdia,bytheendof2024,theglobalshareofpolarizerproductioncapacityinChinesemainlandwillfurtherincreasetoabout58.5%,anditisexpectedthatby2027,theshareofpolarizerproductioncapacityinChinesemainlandwillbecloseto72%.Inthecompetitionforultra-widepolarizerproductionlinedrivenbytherapidgrowthofdemandforlarge-sizedisplayproductsof65inchesandabove,Chinesemainlandcontinuestomaintainitsleadingpositionintheindustry.
2.IndustrydevelopmenttrendWiththerecoveryoftheglobaleconomy,thegradualrecoveryoftheconsumerelectronicsmarketandtheincreasingmaturityofvarioustypesofdisplaytechnologiesandproductsinmultiplescenarios,theglobaldisplayindustryhasenteredarecoveryupwardchannel.Atpresent,the"nationalsubsidy"policycontinuestoadvance,andthepolicycoveragewillbefurtherexpandedin2025.Newconsumerelectronicproductssuchasmobilephonesandtabletswillbeaddedassubsidyobjects.Atthesametime,theacceleratedbreakthroughofartificialintelligencetechnologyattheapplicationendstimulatesconsumerdemandtofurtherpromotetherenewalandupgradingofdisplayproducts,directlydrivingthedemandgrowthofdisplaypanelanditsupstreamindustrialchain.Asoneofthekeyrawmaterialsupstreamofthedisplaypanel,polarizersareexpectedtofullybenefitfromtherecoveryoftheindustryandtechnologicalprogress,andenteranewroundofdemandgrowth.Inrecentyears,duetothecontinuousexpansionofproductioncapacitybymajorpanelmanufacturersinChinesemainland,themarketdemandfordomesticpolarizerhasgrownrapidly.Similartothedevelopmenttrendoftheglobalpanelindustry,overseaspolarizermanufacturersarealsoacceleratingtheircontractionandwithdrawal.DomesticpolarizermanufacturershaveoccupiedanadvantageouspositioninthefieldofLCDpolarizer,andaregraduallycatchingupindifferentiatedmarketssuchashigh-endLCDpolarizerandOLEDpolarizer.Thereisstillalargespacefordomesticsubstitutioninthefuture,whichbringsgooddevelopmentopportunitiesforpolarizermanufacturersfromChinesemainlandwithmarketadvantages,scaleadvantages,policyadvantagesandgeographicaladvantages.Withtheupgradingofconsumption,ultra-large-sizedisplayproductscanbettermeettheneedsofconsumersforhigh-qualitydisplayeffects,whichhasledtothecontinuousgrowthofdemandfor65-inchandabovelarge-sizeTVs,bringinghugedemandforultra-widepolarizerproducts.MarketinstitutionOmdiapredictsthatfrom2024to2027,theannualcompoundgrowthrateofglobaldemandareaof65-inchandabovepolarizerswillbeabout10%.Itisexpectedthatby2027,thedemandforlarge-sizepanelof65inchesandabovewillincreasetoabout100mnsquaremeters,andthecorrespondingdemandforultra-widepolarizerswillexceed200mnsquaremeters.Atthesametime,theshipmentofOLEDpanelsinthefieldofsmartphonescreensin2024exceededthatofLCDpanelsforthefirsttime.OLEDdisplayshaveachievedhighpenetrationinthefieldofsmartphoneandareacceleratingthepenetrationtomediumandlargesizes.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
Inaddition,themulti-screendemandbroughtaboutbythecontinuousevolutionofautomobileintelligenceandelectrification,aswellastheactuallayoutofOLEDITproductsactivelypromotedbyApple,domesticandforeignleadingpanelmanufacturersarealsoacceleratingtheinvestmentandconstructionof8.6generationOLEDpanelproductionlines,whichwilldrivetherapidgrowthofmarketdemandforhigh-endproductssuchasOLEDandpolarizersforvehicleuse,becomingablueoceanmarketforpolarizercompaniestocompete.Inthefuture,manufacturerswithlarge-sizepolarizerproducts,aswellashigh-endandcutting-edgepolarizertechnologyreservesandmassproductioncapabilitiessuchasOLEDandvehiclewilloccupygreatercompetitiveadvantages.(II)DevelopmentstrategyoftheCompanyTheCompanystrengthensstrategicleadership,relyingontheexistingbusinessfoundation,throughthetwomajorpathsofstockbusinesspotentialexpansionandincrementalbusinessinvestmentempowerment,activelyplansbusinessinnovationandupgrading,vigorouslyimplementsthe"polarizer+"strategy,flexiblyusesthecapitaloperationmode,promotesthecorebusinessofpolarizertobecomebigger,betterandstronger,andextendstotheupstreamrawmaterialsofpolarizerattherighttime,andactivelyexpandstootheradvancednewmaterialsub-sectorswithbetterindustrytrack,highereconomicbenefitsandfasterperformancerelease,andthustoachieve"industry+capital"two-wheeldrivetostrivetobuildaworld-classnewmaterialtechnologygroup.(III)Possiblerisks
1.MacroeconomicrisksAtpresent,thedomesticeconomyisstableandprogressing,andtheoverallsituationisrepairing.However,theinternationalenvironmentiscomplexandsevere,geopoliticaltensions,andglobaleconomicgrowthisfacingslowdownpressure.Asoneoftheupstreammanufacturersinthedisplayproductmarket,theCompanycannotruleouttheriskthatunpredictablemacroeconomicfluctuationsmayaffecttheCompany'sperformance.
2.MarketrisksThepolarizerindustryisanimportantpartofChina'snewdisplayindustry.Thedemandfordisplaypanelsandthedevelopmentofcorrespondingtechnologiesarechangingrapidly.Theprocessofdomesticsubstitutioninthepolarizerindustryisunderway.Withthedevelopmentofnewdisplaytechnologiessuchasultra-largesizedisplays,OLEDdisplays,andvehicledisplays,iftheCompany'stechnologyandproductscannotrespondtotheneedsoftheapplicationfieldinatimelymanner,thenewproductdevelopmentandapplicationareweakerthanexpected,ortheintensifiedmarketcompetitionleadstothedeclineinthepriceofdisplayproducts,andthedownwardpressureonthepriceistransmittedtothepolarizermarket,whichwillhaveanadverseimpactontheCompany.
3.RawmaterialsrisksTherearehighbarrierstothecoreproductiontechnologyofupstreammaterialsofpolarizers,whicharemostlymonopolizedbyforeignmanufacturers,andthelocalizationrateisnothigh.Atpresent,thekeyrawmaterialsrequiredforthemanufactureofpolarizers,suchasPVAfilm,TACfilmandotheropticalfilms,arebasicallymonopolizedbyJapaneseenterprises.ThepriceofthemainopticalfilmmaterialsisaffectedbytheproductioncapacityofJapanesesuppliers,marketdemandandtheexchangerateofJapaneseyen,thusaffectingtheunitcostoftheCompany'sproducts.
4.RisksofintensifiedcompetitionWiththeacceleratedproductionofnewandexpandedproductionlinesbymajordomesticpolarizermanufacturersinrecentyears,polarizerproductioncapacity,especiallylarge-sizepolarizerproductioncapacity,willcontinuetogrowinthefuture.Iftherecoveryofdownstreamconsumermarketsisweakerthanexpected,thecompetitioninthepolarizerindustrywillfurtherintensify.(IV)Prioritiesin2025
1.Adheretoinnovation-drivenapproach,andpromotethemainbusinessofpolarizerstobecomestrongerandbetterAdheretofocusingonthemainbusinessofpolarizer,andeffectivelypromotethemeasuresof"capacityscale,productdifferentiation,innovationecology,andmanagementlean".First,continuouslystrengthentheresearchofcutting-edgetechnologies,focusonkeytechnologiessuchashighpenetration,highcontrast,flexiblefolding,andhighdurability,promotetheproductdevelopmentofcutting-edgeproducts,andseizethedevelopmentopportunitiesoftheblueoceanmarketofnewdisplays;second,continuetoimprovetheproductionprocesstechnologylevel,furtherimprovethespeedandyieldofLines,improvethemassproductioncapacityofultra-largesizepolarizers,andsteadilypromotetheoptimizationandtransformationofexistingproductionlines;third,strengthendiversifiedtechnologicalinnovationcooperation,promotecollaborativeresearchwithupstreamanddownstreamenterprisesoftheindustrialchain,andacceleratethebreakthroughofkeytechnologyresearchprojectssuchasOLEDcircularpolarizersandopticalcompensationfilmsandvehicle-mountedpolarizers;fourth,promoteleanmanagement,effectivelypromotequalityimprovement,costreductionandefficiencyimprovement,reduceprocesslosses,removesluggishinventory,improveproductquality,importdomesticmaterials,andenhancetheanti-riskabilityofoperation.
2.Thepropertyleasingbusinessisstableandprogressive,providingeffectivesupportfortheCompany'sdevelopmentPropertymanagementcompaniesactivelycarryoutmarketresearch,formulaterefinedannualleasingplansincombinationwithmarketandtheCompany'sconditions,furtheroptimizetheworkingmechanism,continuouslyimplementrefinedmanagement,innovateandtappotential,openuprevenueandreduceexpenditure,improvetheservicequalityandmanagementlevelofpropertymanagementcompanies,andimproveoperatingefficiency.
3.Strengthenthegovernanceofloss-makingenterprisesandthedisposalof"non-core/non-competitivebusinessesandinefficient/non-performingassets"Carryoutthedemobilizationworkinanorderlyandsteadymanner.First,activelypromotethedisposaloftextilebusinessinventories,thepubliclistingoffixedassetsandtheliquidationofclaimsanddebts;second,extensivelyseekinterestedacquirersandpromotethetransferofsmallequityinsomeparticipatingenterprises;thirdly,activelyrevitalizethelow-efficiencypropertystockassets,optimize
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
assetallocation,andimproveassetoperationefficiency,soastolayasolidfoundationfortheCompanytofocusonthemainbusinessofpolarizersandseektransformationanddevelopment.
4.Strengthentheconstructionoftalentteam,andensuredevelopmentwithtalent-driveninnovationDeeplyimplementthetalent-drivenstrategy,optimizethestructureofthecadreteam,andimprovecapacitybuilding.First,vigorouslyselectcadresandtalentswithbothintegrityandability,increasetheintroductionofhigh-endtalents,cultivatecompoundtalents,andbroadenthedevelopmentpath;second,innovatetheincentivemechanism,releasethepotentialoftalents,benchmarkthemanagementexperienceofadvancedenterprises,andimplementflexibleanddiversifiedmediumandlong-termincentives;third,createanenvironmentof"recognizingtalents,cherishingtalents,lovingtalents,andusingtalents",givefullplaytotheprofessional,intellectualandresourceadvantagesoftalents,empowertheCompany'shigh-qualitydevelopmentwithahigh-qualitytalentteam,andcomprehensivelyenhancetheCompany'scorecompetitiveness.
5.StrengthensafetymanagementandbuildafirmsafetydefenselineAlwaysadheretotheworksafetypolicyof"safetyfirst,preventionorientedandcomprehensivegovernance",firmlyestablishtheconceptofsafetydevelopment,continuouslyimprovethesafetymanagementsystemoftheCompany,closelyfollowtheupdateofnationalandlocalworksafetyregulations,refinethesafetymanagementsystem,furtherstrengthentheon-sitesafetysupervisionandrewardsandpunishments,vigorouslycarryoutsafetyeducationandtraining,carryoutvariousformsofsafetyinspections,continuouslyimprovetheCompany'ssafetymanagementcapabilities,enhancethesafetyawarenessandemergencyresponsecapabilitiesofallemployees,andcomprehensivelybuildafirmlineofdefenseforworksafety.
6.ImprovetheriskcontrolcompliancesystemandenhancetheabilityofcomprehensiveriskpreventionandcontrolComprehensivelyimprovethecompliancemanagementsystem,makemulti-dimensionaleffortsfromorganization,system,mechanismtoculturalconstruction,implementspecialcompliancemanagementforkeyareas,exploretheestablishmentofcoordinationmechanismsforcompliance,legalaffairsandriskcontrol,andimprovemanagementefficiencythroughefficientcoordination.Atthesametime,strengthenthecornerstoneoflegalmanagement,strictlycontrolthelegalityandcomplianceofmajordecisions,andeffectivelyimprovethelevelofbusinesssupportandriskpreventionandcontrol.Strengthenthelegalaffairsandcomplianceteam,enhancethecomplianceawarenessandabilityofallemployeesthroughregulartraining,promotethedeepintegrationofbusinesslaws,andhelptheCompanydevelopsteadily.
7.Enhancemarketvaluemanagementlevelandpromotehigh-qualitydevelopmentofthecompanyFocusingonimprovingtheoperationalqualityofthecompany,effortswillbemadetooptimizethe"threemeetingsandonelayer"governancemechanism,improvetheinternalcontrolsystem,enhancethequalityofinformationdisclosure,strengtheninvestorrelationsmanagement,formulatemarketvaluemanagementsystemandassessmentsystem,andlayasolidfoundationforthesustainableandhigh-qualitydevelopmentoflistedcompanies.Atthesametime,timelyandcompliantuseofmergersandacquisitions,equityincentives,cashdividends,investorrelationsmanagement,sharerepurchases,andothermethodstopromotetheincreaseofinvestmentvalueoflistedcompanies,achievemarketrecognitionofthecompany'sinvestmentvalue,andinjectvitalityintothecompany'shigh-qualitydevelopment.
8.StrengthentheleadershipofpartybuildingandinnovatecorporatecultureInstrictaccordancewiththeunifieddeploymentandarrangementofthePartyCentralCommitteeandthesuperiorPartyCommittee,givefullplaytotheleadershiproleofthePartyCommitteeinoverseeingtheoverallsituationandcoordinatingallparties,andpromotetheParty'slatesttheoreticalachievementsintotheenterprise,thefrontlineandtheteam;makeeveryefforttobuildacharacteristicpartybuildingbrandofenterprisesinthefieldofmixedownershipcompetition,andplayavanguardandexemplaryleadingroleofpartymembersincorekeypositionssuchasproductionlineandscientificresearchandinnovation;paycloseattentiontotheconstructionoftheworkstyleofthecadreteam,promotetheimprovementandimplementationoftheCompany'ssystem,promotetheclarityandimplementationofthecorporatestrategy,andlayasolidfoundationandprovideguaranteeforthehealthydevelopmentoftheCompany.
XII.Reception,survey,communication,interviewandotheractivitiesduringthereportingperiod?Applicable□Notapplicable
| Receptiontime | Receptionplace | Receptionmode | Typeofreceptionobject | Receptionobject | Maincontentsdiscussedandinformationprovided | Indexofbasicinformationofthesurvey |
| March29,2024 | MeetingroomonthesixthflooroftheCompany | Fieldsurvey | Institution | ShenzhenChuanghuaQishengCo.,Ltd.:LiJunhui；ShenzhenDexunSecuritiesConsultingCo.,Ltd.:RuanShiwang,ChangJianwu,ZengXianwei；HexunInformationTechnologyCo.,Ltd.:YeXiaofei,WangYanqiu; | Maincontentsdiscussed:prosperityofthepolarizerindustry,futuredevelopmenttrend,impactofpanelpricefluctuationsonpolarizerprice,theCompany'sproductstructure,the | Fordetails,pleaserefertotheInvestorRelationsActivityRecordForm(No.2024-01)publishedbyShenzhenTextile(Holdings)Co.,Ltd.onCninfo(http://www.cninfo.c |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| ShanghaiChuhuaCapitalCo.,Ltd.:LiXianhong | Company'smajorcustomers,etc.Dataprovided:none. | om.cn). | ||||
| April19,2024 | ValueOnline(https://www.ir-online.cn/)networkinteraction | Onlinecommunicationonthenetworkplatform | Others | Generalinvestors | Maincontentsdiscussed:progressofrestructuring,whetherthetextilebusinessisdivested,whentochangeitsname,howtorealizestrategicplanning,etc.Dataprovided:none. | Fordetails,pleaserefertotheInvestorRelationsActivityRecordForm(No.2024-02)publishedbyShenzhenTextile(Holdings)Co.,Ltd.onCninfo(http://www.cninfo.com.cn). |
| May19,2024 | ValueOnline(https://www.ir-online.cn/)networkinteraction | Onlinecommunicationonthenetworkplatform | Others | Generalinvestors | Maincontentsdiscussed:reasonsforterminationofrestructuring,corporateplanning,etc.Dataprovided:none. | Fordetails,pleaserefertotheInvestorRelationsActivityRecordForm(No.2024-03)publishedbyShenzhenTextile(Holdings)Co.,Ltd.onCninfo(http://www.cninfo.com.cn). |
| July30,2024 | MeetingroomonthesixthflooroftheCompany | Fieldsurvey | Institution | LiJie,XueZhaoandShangYingnafromBeijingFundamentalsPrivateEquityFundManagementCenter(LimitedPartnership) | TheprosperityofLCDpolarizerindustry,themarketspaceofOLEDTVpolarizers,theprogressofvehicle-mountedpolarizers,andtheCompany'scompetitiveadvantagescomparedwithitspeers.Dataprovided:none. | Fordetails,pleaserefertotheInvestorRelationsActivityRecordForm(No.2024-04)publishedbyShenzhenTextile(Holdings)Co.,Ltd.onCninfo(http://www.cninfo.com.cn). |
| December12,2024 | Panorama"InvestorRelationsInteractivePlatform"(https://ir.p5w.net） | Onlinecommunicationonthenetworkplatform | Others | Generalinvestors | Thenetprofitgrowthbusiness-drivensector;measurestodealwithpricefluctuationsofrawmaterials;howtomaintainacompetitiveadvantage;whentochangethename,etc.Dataprovided:none. | Fordetails,pleaserefertotheInvestorRelationsActivityRecordForm(No.2024-05)publishedbyShenzhenTextile(Holdings)Co.,Ltd.onCninfo(Http://www.cninfo.com.cn). |
XIII.FormulationandimplementationofmarketvaluemanagementsystemandvaluationimprovementplanWhethertheCompanyhasformulatedamarketvaluemanagementsystem.
□Yes?NoWhethertheCompanyhasdisclosedplansforvaluationenhancement.
□Yes?No
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
XIV.Implementationoftheactionplanof"doubleimprovementofqualityreturn".Whetherthecompanyhasdisclosedtheannouncementoftheactionplanof"doubleimprovementofqualityreturn".
□Yes?No
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionIVCorporateGovernance
I.BasicstatusofcorporategovernanceDuringthereportingperiod,theCompanyoperatedinstrictaccordancewiththerequirementsoftheSecuritiesLaw,theCompanyLaw,theCodeofCorporateGovernanceforListedCompanies,theGuidelinesforSelf-RegulationofCompaniesListedonShenzhenStockExchangeNo.1-StandardizedOperationofCompaniesListedontheMainBoard,andotherrelevantlaws,regulationsandnormativedocuments,strengthenedriskmanagementandcontrol,andensuredthehealthyandstabledevelopmentoftheCompany.Atpresent,theCompany'svariousgovernancesystemsarebasicallysound,itsoperationisstandardized,anditslegalpersongovernancestructureisperfect,whichmeetstherequirementsofthenormativedocumentsonthecorporategovernanceoflistedcompaniesissuedbytheChinaSecuritiesRegulatoryCommission.(I)OperationofthegeneralmeetingIn2024,theCompanyheldatotalof4generalmeetingsinstrictaccordancewiththeprovisionsandrequirementsoftheCompanyLaw,theCompany'sArticlesofAssociationandtheRulesofProcedurefortheGeneralMeetingontheconveningandholdingofgeneralmeeting,andthevotingprocedureswerestandardized,andtheresolutionswerelegalandvalid.TheCompanyactivelyprotectsthevotingrightofsmallandmedium-sizedinvestors,andallthegeneralmeetingsareheldon-siteandonlinetofullyprotecttheexerciseofrightsofsmallandmedium-sizedinvestors.(II)OperationoftheBoardofDirectorsIn2024,theBoardofDirectorsoftheCompanyheldatotalof9meetings.Theconvening,holdingandvotingproceduresoftheBoardofDirectorswerecarriedoutinstrictaccordancewiththeprovisionsoftheArticlesofAssociationandtheRulesofProceduresoftheBoardofDirectorsoftheCompany.Alldirectorsperformedtheirdutiesasdirectors,exercisedtheirrightsasdirectors,conscientiouslyattendedrelevantmeetings,activelyparticipatedintraining,andwerefamiliarwithrelevantlawsandregulationsinaconscientious,diligentandhonestmanner.Theindependentdirectorsindependentlyperformedtheirdutiesinstrictaccordancewithrelevantlaws,regulationsandtheCompany'sArticlesofAssociation,theIndependentDirectorsSystemandotherregulations,andprudentlyandcarefullydeliberatedonmajormattersoftheCompany,andwiththeirindependentandobjectiveperspectiveandrichprofessionalknowledge,putforwardconstructiveopinionsandsuggestions.TheBoardofDirectoshasestablishedstrategicplanning,audit,remunerationassessmentandnominationcommittees.Allspecialzedcommitteesoperatenormallyandperformearnestlytheirrelevantdutiessuchasinternalauditandremunerationassessment,providingscientificandprofessionaladvicefortheBoard'sdecision-making.(III)OperationoftheBoardofSupervisorsIn2024,theBoardofSupervisorsoftheCompanyheld6meetings.TheBoardofSupervisors,instrictaccordancewiththerequirementsofrelevantlaws,regulations,theArticlesofAssociationandtheRulesofProcedureoftheBoardofSupervisors,supervisedthelegalityandcomplianceoftheCompany'sfinancialaffairsandtheperformanceofdutiesbytheCompany'sdirectors,managersandotherseniorofficerstosafeguardthelegitimaterightsandinterestsoftheCompanyandshareholders.Allsupervisorsconscientiouslyperformedtheirobligationsandexercisedtheirrightsassupervisorsaccordingtolaw.Theconvening,holdingandvotingproceduresoftheBoardofSupervisorswerelegal,andtheresolutionswerelegalandvalid.TheestablishmentandimplementationoftheCompany'sBoardofSupervisorsorganizationandsystemhaveplayedapositiveroleinimprovingthecorporategovernancestructureandstandardizingtheCompany'soperation.(IV)OperationofthemanagementThemanagementoftheCompanyperformeditsdutiesinstrictaccordancewiththeCompanyLaw,theGuidelinesforSelf-RegulationofCompaniesListedonShenzhenStockExchangeNo.1-StandardizedOperationofCompaniesListedontheMainBoard,theArticlesofAssociationandtheWorkingRulesoftheGeneralManager.TheCompanyconductedinternalinformationcommunicationthroughtheweeklygeneralmanager'sofficemeeting,andreviewedperformanceandgavefeedbackonbudgetimplementationthroughquarterlybusinessanalysismeetingstoensurethatallkindsofinformationweretransmittedinatimelyandeffectivemannerwithintheCompany.ThemanagementisfullyresponsiblefortheproductionandoperationmanagementoftheCompany,diligentlyanddutifullyperformsitsduties,effectivelyimplementsthedecisionsoftheBoardofDirectors,andthedivisionoflaboramongthemanagementisclear,diligentandresponsible,andthereisno"insidercontrol".(V)InformationdisclosureandtransparencyIn2024,theCompanyfurtherimprovedinformationtransparencyandstrengthenedinvestorcommunication.Duringthereportingperiod,theCompanystrictlycompliedwiththeArticlesofAssociation,theMeasuresfortheAdministrationofInformationDisclosureofListedCompaniesandotherrelevantprovisions,abidedbytheprincipleof"openness,fairnessandimpartiality"ininformationdisclosure,fulfilleditsinformationdisclosureobligationsinatrue,accurate,completeandtimelymanner,continuouslyimprovedthequalityofinformationdisclosure,improvedinvestorrelationsmanagementandspecificmeasurestoprotectinvestors'interests,andpromotedthestandardizeddevelopmentoftheCompany.TheCompanystrengthenedthemanagementofinsideinformation,carriedoutcontinuouseducationandpublicity,confidentialitybeforeinformationdisclosureandregistrationandfilingofinsiders,soastopreventthedisclosureofinsideinformationfromthesourcetoensurethatallshareholdershaveequalrightsandopportunitiestoaccessinformation;theCompanyattachedgreatimportancetothemanagementofinvestorrelations,madefulluseofvariousplatformssuchastelephoneande-mail,especiallytheShenzhenStockExchange'sinvestorrelationsinteractiveplatform,timelyandpatientlyansweredquestions
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
raisedbyinvestors,andtimelyreportedtheneeds,suggestionsandreasonabledemandsofinvestorstothemanagement.Atthesametime,theCompanycontinuedtoimprovethevotingmechanismforsmallandmediuminvestors.Thevotesofsmallandmediuminvestorswerecountedseparatelyatthe4generalmeetingsoftheCompanyin2024,andtheresultsoftheseparatecountingwerepubliclydisclosedintheresolutionannouncementofthegeneralmeeting,fullyprotectingtherightsofsmallandmediuminvestors.Whetherthereisanysignificantdifferencebetweentheactualstatusofcorporategovernanceandthelaws,administrativeregulationsandtheprovisionsissuedbytheChinaSecuritiesRegulatoryCommissiononthegovernanceoflistedcompanies
□Yes?NoTherearenosignificantdifferencesbetweentheactualstatusofcorporategovernanceandthelaws,administrativeregulationsandtheprovisionsissuedbytheChinaSecuritiesRegulatoryCommissiononthegovernanceoflistedcompaniesII.TheindependenceoftheCompanyfromthecontrollingshareholderandactualownerintermsofassets,personnel,finance,organizationandbusinessDuringthereportingperiod,thecontrollingshareholdersoftheCompanybehavedinastandardmanner,anddidnotdirectlyorindirectlyinterveneintheCompany'sdecision-makingandoperatingactivitiesbeyondthegeneralmeeting.TheCompanyhasindependentandcompletebusinessandindependentoperationabilities,andcanachieve"fiveseparations"intermsofpersonnel,finance,assets,institutionsandbusiness.
III.Horizontalcompetitions
□Applicable?NotapplicableV.Relevantinformationoftheannualgeneralmeetingandextraordinarygeneralmeetingheldduringthereportingperiod
1.Generalmeetingsduringthereportingperiod
| Session | Meetingtype | Investorattendanceratio | Dateofmeeting | Dateofdisclosure | Resolutionsmadeatthemeeting |
| TheFirstExtraordinaryGeneralMeetingin2024 | Extraordinarygeneralmeeting | 49.56% | February28,2024 | February28,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-06publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| 2023AnnualGeneralMeeting | Annualgeneralmeeting | 49.64% | May29,2024 | May30,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-26publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| TheSecondExtraordinaryGeneralMeetingin2024 | Extraordinarygeneralmeeting | 49.78% | July23,2024 | July24,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-36publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| TheThirdExtraordinaryGeneralMeetingin2024 | Extraordinarygeneralmeeting | 49.91% | December25,2024 | December26,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-51publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
2.Thepreferredshareholderswhosevotingrightshavebeenrestoredrequestedtoconveneanextraordinarygeneralmeeting.
□Applicable?Notapplicable
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
V.Directors,supervisorsandseniorofficers
1.Basicinformation
| Name | Gender | Age | Position | Employmentstatus | Beginningdateofterm | Endingdateofterm | Numberofsharesheldatthebeginningoftheperiod(shares) | Numberofsharesincreasedthecurrentperiod(shares) | Numberofsharesreducedinthecurrentperiod(shares) | Otherincrease/decrease(shares) | Numberofsharesheldattheendoftheperiod(shares) | Reasonsforincreaseordecreaseinshare |
| YinKefei | Male | 50 | SecretaryofthePartyCommitteeandChairman | Incumbent | February10,2021 | 0 | 0 | 0 | 0 | 0 | ||
| MaJie | Male | 47 | DeputySecretaryofthePartyCommittee,DirectorandGeneralManager | Incumbent | February18,2025 | 0 | 0 | 0 | 0 | 0 | ||
| WeiJunfeng | Male | 45 | DeputySecretaryofthePartyCommitteeandDirector | Incumbent | February18,2025 | 0 | 0 | 0 | 0 | 0 | ||
| WangChuan | Male | 53 | Director | Incumbent | October28,2022 | 0 | 0 | 0 | 0 | 0 | ||
| LiuYu | Female | 53 | DirectorandFinanceDirector | Incumbent | February28,2024 | 0 | 0 | 0 | 0 | 0 | ||
| MengFei | Male | 49 | Director | Incumbent | July23,2023 | 0 | 0 | 0 | 0 | 0 | ||
| WuGuangquan | Male | 62 | Independentdirector | Incumbent | December25,2023 | 0 | 0 | 0 | 0 | 0 | ||
| YangGaoyu | Male | 57 | Independentdirector | Incumbent | December25,2023 | 0 | 0 | 0 | 0 | 0 | ||
| WangKai | Male | 41 | Independentdirector | Incumbent | January16,2020 | 0 | 0 | 0 | 0 | 0 | ||
| MaYi | Male | 58 | SecretaryofCommissionforDisciplineInspection,ChairmanoftheBoardofSupervisors | Incumbent | January16,2020 | 0 | 0 | 0 | 0 | 0 | ||
| YuanShuwen | Male | 44 | Supervisor | Incumbent | January16,2020 | 0 | 0 | 0 | 0 | 0 | ||
| LinXia | Female | 49 | DeputyGeneralManager | Incumbent | January24,2025 | 0 | 0 | 0 | 0 | 0 | ||
| Wang | Male | 35 | Deputy | Incumb | January | 0 | 0 | 0 | 0 | 0 |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Zihan | GeneralManager | ent | 24,2025 | |||||||||
| JiangPeng | Female | 54 | SecretaryoftheBoardofDirectors | Incumbent | January16,2015 | 0 | 0 | 0 | 0 | 0 | ||
| JiangYifan | Male | 39 | Employeesupervisor | Incumbent | September27,2024 | 0 | 0 | 0 | 0 | 0 | ||
| HeFei | Male | 47 | DirectorandFinanceDirector | Resigned | January16,2020 | February7,2024 | 0 | 0 | 0 | 0 | 0 | |
| ZhuMeizhu | Male | 60 | DeputySecretaryofthePartyCommittee,DirectorandGeneralManager | Resigned | July19,2017 | November29,2024 | 93,000 | 0 | 0 | 0 | 93,000 | 0 |
| NingMaozai | Male | 49 | DeputySecretaryofthePartyCommitteeandDirector | Resigned | December14,2017 | January22,2025 | 0 | 0 | 0 | 0 | 0 | 0 |
| SunMinghui | Male | 43 | Director | Resigned | February10,2021 | July2,2024 | 0 | 0 | 0 | 0 | 0 | 0 |
| LiuHonglei | Male | 60 | DeputyGeneralManager | Resigned | January19,2017 | May31,2024 | 3,000 | 0 | 0 | 0 | 3,000 | 0 |
| ZhanLumei | Female | 55 | Employeesupervisor | Resigned | February10,2021 | June28,2024 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | -- | -- | -- | -- | -- | -- | 96,000 | 0 | 0 | 0 | 96,000 | -- |
Whethertherewereanyresignationsofdirectorsandsupervisorsordismissalsofseniorofficersduringthereportingperiod?Yes□No
1.TheoriginaldirectorandFinanceDirectoroftheCompany,HeFei,leftofficeonFebruary7,2024.OnFebruary7,2024,the27thmeetingofthe8thBoardofDirectorswasheld,whichagreedtoappointLiuYuastheFinanceDirectorandthepersoninchargeoffinanceoftheCompany,andagreedtonominateMs.LiuYuasthecandidatefornon-independentdirectorofthe8thBoardofDirectors.Fordetails,pleaserefertotheAnnouncementonAdjustingtheFinanceDirectorandNominatingDirectorCandidates(2024-04)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn);OnFebruary28,2024,theCompanyheldthefirstextraordinarygeneralmeetingin2024andelectedLiuYuasthenon-independentdirectorofthecompany.Fordetails,pleaserefertotheAnnouncementontheResolutionoftheFirstExtraordinaryGeneralMeetingin2024(2024-06)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).
2.LiuHonglei,theoriginaldeputygeneralmanageroftheCompany,retiredonMay13,2024.Fordetails,pleaserefertotheAnnouncementontheRetirementoftheCompany'sDeputyGeneralManager(No.2024-27)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).
3.ZhanLumei,theoriginalemployeerepresentativesupervisoroftheCompany,retiredonJune28,2024.Fordetails,pleaserefertotheAnnouncementontheRetirementoftheEmployeeRepresentativeSupervisor(2024-29)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn);TheCompanyheldastaffmeetingonSeptember13,2024,andelectedJiangYifanastheemployeerepresentativesupervisoroftheeighthBoardofSupervisorsoftheCompany.Fordetails,pleaserefertotheAnnouncementonAddingtheEmployeeRepresentativeSupervisoroftheEighthBoardofSupervisors(2024-40)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).
4.SunMinghui,theformerdirectoroftheCompany,resignedonJuly2,2024.OnJuly5,2024,theCompanyheldthe31stmeetingofthe8thBoardofDirectorsandagreedtonominateMengFeiasthenon-independentdirectorcandidateofthe8thBoardofDirectorsoftheCompany.Fordetails,pleaserefertotheAnnouncementonAdjustingDirectorsandNominationofDirectorCandidates(2024-32)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn);OnJuly23,2024,theCompanyheldthesecondextraordinarygeneralmeetingin2024andelectedMengFeiasthenon-independentdirectoroftheCompany.Fordetails,pleaserefertotheAnnouncementontheResolutionoftheSecondExtraordinaryGeneralMeetingin2024(No.2024-36)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
5.ZhuMeizhu,theformerDeputySecretaryofthePartyCommittee,directorandgeneralmanageroftheCompany,retiredonNovember29,2024.Fordetails,pleaserefertotheAnnouncementontheRetirementandResignationoftheCompany'sDirectorandGeneralManager(No.2024-45)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).
6.WangChuan,thedirectorandformerdeputygeneralmanageroftheCompany,resignedasthedeputygeneralmanagerofthecompanyonJanuary21,2025,andNingMaozai,theformerDeputySecretaryofthePartyCommitteeanddirectoroftheCompany,resignedonJanuary22,2024.OnJanuary24,2025,the36thmeetingofthe8thBoardofDirectorswasheld,anditwasagreedtoappointMaJieasthedeputygeneralmanageroftheCompany,andLinXiaandWangZihanasthedeputygeneralmanageroftheCompany.ItwasalsoagreedtonominateMaJieandWeiJunfengascandidatesfornon-independentdirectorsofthe8thBoardofDirectorsoftheCompany.Fordetails,pleaserefertotheAnnouncementonAdjustingDirectorsandSeniorOfficers(2025-02)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn);OnFebruary18,2025,theCompanyheldthefirstextraordinarygeneralmeetingin2025andelectedMaJieandWeiJunfengasthenon-independentdirectorsoftheCompany.Fordetails,pleaserefertotheAnnouncementontheResolutionoftheFirstExtraordinaryGeneralMeetingin2025(2025-06)publishedbytheCompanyonCninfo(http://www.cninfo.com.cn).Asofthedisclosuredateofthisreport,exceptfortheabovechanges,therewerenochangesinotherdirectors,supervisorsandseniorofficersoftheCompany.Changesindirectors,supervisorsandseniorofficersoftheCompany?Applicable□Notapplicable
| Name | Position | Type | Date | Reasons |
| HeFei | DirectorandFinanceDirector | Resigned | February7,2024 | Jobtransfer |
| LiuHonglei | DeputyGeneralManager | Resigned | May13,2024 | Retired |
| ZhanLumei | Employeerepresentativesupervisor | Resigned | June28,2024 | Retired |
| SunMinghui | Director | Resigned | July2,2024 | Jobtransfer |
| ZhuMeizhu | DeputySecretaryofthePartyCommittee,DirectorandGeneralManager | Resigned | November29,2024 | Retired |
| NingMaozai | DeputySecretaryofthePartyCommitteeandDirector | Resigned | January22,2025 | Jobtransfer |
| WangChuan | DeputyGeneralManager | Resigned | January21,2025 | Jobtransfer |
2.Officeholding
Professionalbackground,mainworkexperienceandcurrentmainresponsibilitiesofthecurrentdirectors,supervisorsandseniorofficersoftheCompanyYinKefei,male,borninJuly1974,master'sdegree,engineer,memberoftheCommunistPartyofChina.SuccessivelyservedastheDeputyGeneralManagerofGanzhouShenranNaturalGasCo.,Ltd.ofShenzhenGasGroupCo.,Ltd.;memberofPartyLeadershipGroupandDeputyDirectorofDongguanSASAC,GuangdongProvince;DeputySecretary-generalofDongguanMunicipalGovernmentofGuangdongProvince;SecretaryandDirectorofthePartyLeadershipGroupofBeijingLiaisonOfficeofDongguanMunicipalGovernmentofGuangdongProvince;DeputySecretaryofthePartyCommittee,DirectorandGeneralManagerofDongguanFinancialHoldingsGroupCo.,Ltd.;ChairmanoftheComponentsandICInternationalTradeCenterCo.,Ltd;DirectorofShenzhenEnvironmentalProtectionTechnologyGroupCo.,Ltd.HeiscurrentlytheDeputyGeneralManagerofShenzhenInvestmentHoldingsCo.,Ltd.,theDirectorofResearchInstituteofTsinghuaUniversityinShenzhen,andtheSecretaryofthePartyCommitteeandChairmanoftheCompany.MaJie,male,borninNovember1977,master'sdegreeandamemberoftheCommunistPartyofChina.HesuccessivelyservedasasectionmemberofLuohuBranchofShenzhenPublicSecurityBureauandPersonnelBureauofYantianDistrictofShenzhen;DirectorandDeputySecretaryoftheGeneralOfficeofShenzhenLuohuDistrictCommitteeoftheCommunistYouthLeague;DeputyDirectorandResearcherofShenzhenLuohuDistrictEnvironmentProtectionandWaterAffairsBureau;DirectorofDisciplineInspectionandSupervisionOfficeandDeputySecretaryofCommissionforDisciplineInspectionofShenzhenSDGGroupCo.,Ltd.;SecretaryofCommissionforDisciplineInspectionandChairmanoftheBoardofSupervisorsofShenzhenUrbanConstructionandDevelopment(Group)Co.,Ltd.HecurrentlyservesastheDeputySecretaryofthePartyCommittee,DirectorandGeneralManageroftheCompany.WeiJunfeng,male,borninNovember1979,amaster'sdegreeandamemberoftheCommunistPartyofChina.HesuccessivelyservedasthesecretaryoftheboardofdirectorsandtheprojectmanagerofthegeneraldepartmentofShenzhenInternationalTenderingCo.,Ltd.,thedirectorandseniorsupervisoroftheboardoffice(duringwhichhewasalsotheriskcontroldirectorandadministrativedirectorofShenzhenInvestmentHoldingsDonghaiInvestmentCo.,Ltd.),andtheseniorsupervisoranddeputydirectoroftheStrategyResearchDepartment(theBoardOffice)ofShenzhenInvestmentHoldingsCo.,Ltd..HeiscurrentlytheDeputySecretaryofthePartyCommitteeandDirectoroftheCompany.WangChuan,male,borninMarch1972,master'sdegree,economist,engineer,andmemberoftheCommunistPartyofChina.HesuccessivelyservedastheDeputyDirector,DirectorandAssistantDirectoroftheCooperativeDevelopmentDepartmentofShenzhen
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
NationalHigh-techIndustryInnovationCenter,theDirector,GeneralManagerandChairmanofShenzhenInnovationStartingPointTechnologyCo.,Ltd.,andtheDeputyGeneralManagerofShenzhenTongChanGroupCo.,Ltd.HeiscurrentlythedirectoroftheIndustrialManagementDepartmentofShenzhenInvestmentHoldingsCo.,Ltd.andadirectoroftheCompany.LiuYu,female,borninNovember1971,bachelordegree,senioraccountant,Chinesecertifiedpublicaccountant,andmemberoftheCommunistPartyofChina.ShesuccessivelyservedastheFinanceDirectorofShenzhenWOMANMagazine,theDeputyGeneralManagerofShenzhenWOMANMagazine,andtheDirectorandFinanceDirectorofShenzhenWuzhouGuestHouseGroupCo.,Ltd.SheiscurrentlyadirectorandFinanceDirectorofthecompany.MengFei,male,borninNovember1975,bachelordegree,senioraccountant.HehasworkedinShenzhenRainbowMallCo.,Ltd.andShenzhenPressGroup,andsuccessivelyservedasaseniorsupervisoroftheFinanceDepartmentofShenzhenInvestmentHoldingsCo.,Ltd.HeiscurrentlythedeputydirectoroftheFinanceDepartment(SettlementCenter)ofShenzhenInvestmentHoldingsCo.,Ltd.,thesupervisorofShenzhenHigh-techZoneInvestmentandDevelopmentGroupCo.,Ltd.,supervisorofShenzhenInvestmentHoldingsDonghaiInvestmentCo.,Ltd.,andthedirectoroftheCompany.WuGuangquan,male,borninMay1962,master'sdegreefromTongjiUniversityandamemberoftheCommunistPartyofChina.Heonceservedastheassistantmanager,deputymanagerandmanageroftheAccountingandFinanceDepartment,deputychiefaccountant,deputygeneralmanager,generalmanagerandchairmanofChinaNationalAero-TechnologyShenzhenCo.,Ltd.;ChairmanofJiangxiJiangnanTrustInvestmentCo.,Ltd.;SecretaryofthePartyCommittee,ChairmanandGeneralManagerofAVICInternationalHoldingCorporation;specialofficerofAviationIndustryCorporationofChina,Ltd.;SecretaryofthePartyCommitteeandChairmanofChinaAviationIndustryGeneralAircraftCo.,Ltd.;HehasalsoservedasthechairmanandlegalrepresentativeofFIYTAPrecisionTechnologyCo.,Ltd.,thechairmanandlegalrepresentativeofTianmaMicroelectronicsCo.,Ltd.,thechairmanandlegalrepresentativeofRainbowDigitalCommercialCo.,Ltd.,thechairmanandlegalrepresentativeofAVICRealEstateHoldingCo.,Ltd.(nowrenamedasChinaMerchantsPropertyOperation&ServiceCo.,Ltd.),thechairmanofShennanCircuitsCo.,Ltd.,theexecutivedirectorofChinaSouthCityHoldingsLimited,andthechairmanoftheBoardofDirectorsofContinentalAerospaceTechnologiesHoldingLimited.HeiscurrentlythechairmanoftheFederationofShenzhenIndustries,thechairmanofthepresidiumandthedirectoroftheGlobalIndustryResearchCenteroftheChinaFederationofIndustrialEconomics,thechairmanofShenzhenJinlingEraTechnologyCo.,Ltd.,thechairmanofShenzhenFanjingInvestmentCo.,Ltd.,thechairmanofShenzhenFanjingIntelligentEnterpriseManagementConsultingCo.,Ltd.,theindependentdirectorofCALBGroupCo.,Ltd.,theindependentdirectorofShenzhenLeaguerCo.,Ltd.,andtheindependentdirectoroftheCompany.YangGaoyu,male,borninFebruary1968,agraduatestudentofBusinessAdministrationatNewYorkInstituteofTechnology,aChineseCertifiedPublicAccountant,aChineseCertifiedTaxAgent,aforensicaccountingexpert,andamemberofChinaZhiGongParty.HeusedtobetheaccountingofficerofA-FontaneFabricationIndustrial(Shenzhen)Co.,Ltd.,andtheauditofficer,auditmanager,partnerandchiefpartnerofShenzhenChangchengAccountantOfficeCo.,Ltd.HeiscurrentlythedirectoroftheShenzhenbranchofZhongzhengTiantongCertifiedPublicAccountants(SpecialGeneralPartnership),theexecutivedirectorandgeneralmanagerofZhongtianDexiangTaxationFirm(Shenzhen)Co.,Ltd.,theexecutivedirectorandgeneralmanagerofShenzhenBaofuqinEnterpriseManagementConsultingCo.,Ltd.,andisalsoamemberoftheSeventhCommitteeoftheCPPCCofShenzhen,amemberoftheLegislativeConsultationCommitteeoftheCPPCCofShenzhen,thevicepresidentoftheShenzhenNewSocialStratumAssociation,amemberoftheSeventhCounciloftheChinaCertifiedTaxAgentsAssociation,theexecutivememberofthecouncilandvicepresidentoftheShenzhenTaxAgentsAssociation,thevicepresidentoftheShenzhenFutianDistrictAccountingSociety,theexecutivepresidentoftheLegal,TaxationandFinanceAssociationofShenzhenJiangxiChamberofCommerce,anexpertmemberofGuangdongProvince'sthird-partysupervisionandassessmentmechanismforcomplianceofenterprisesinvolvedincases,avisitingprofessoroftheSchoolofAccountancyofJiangxiUniversityofFinanceandEconomics,aninvitedprofessoroftheCollegeofModernEconomics&ManagementofJiangxiUniversityofFinanceandEconomics,apart-timemaster'ssupervisoroftheShenzhenResearchInstituteofJiangxiUniversityofFinanceandEconomics,anentrepreneurshiptutoroftheInnovationandEntrepreneurshipCenteroftheShenzhenResearchInstituteofJiangxiUniversityofFinanceandEconomics,anoff-campustutoroftheSchoolofEconomicsofShenzhenUniversityforMPAcc,anindependentdirectorofShenzhenNewTrendInternationalLogis-TechCo.,Ltd.,anindependentdirectorofShenzhenChotestTechnologyInc.,andanindependentdirectoroftheCompany.WangKai,male,borninSeptember1983,Ph.D.ofHuazhongUniversityofScienceandTechnology,memberoftheCommunistPartyofChina,professoroftheDepartmentofElectronicandElectricalEngineeringofSouthernUniversityofScienceandTechnology,NationalExcellentYouth,andOutstandingYouthofGuangdongProvince.HeservesasamemberoftheTechnicalCommitteeoftheBeijingBranchoftheSocietyforInformationDisplay(SID),amemberoftheOpticalDisplayProfessionalCommitteeoftheChineseSocietyforOpticalEngineering,andthedeputydirectoroftheKeyLaboratoryofQuantumDotAdvancedDisplayandLightingofGuangdongProvincialGeneralCollegesandUniversities.HeisalsothetechnicalconsultantofShenzhenPlanckInnovationTechnologyCo.,Ltd.andanindependentdirectoroftheCompany.(II)SupervisorsMaYi,male,borninAugust1966,bachelordegree,memberoftheCommunistPartyofChina,withthetitleofassistanteconomist.HehassuccessivelyservedasacadreoftheAutomobileManufacturingPlantofHainanMotorTransportationCorporation,BusinessDirectorandGeneralManagerAssistantofGuangzhouBranchofShenzhenShenkyuInternationalLogisticsCo.,Ltd.,OperationDirectorofCOSCOLogisticsGuangzhouAttendLogisticsCo.,Ltd.,GeneralManagerofGuangzhouBranchofShenzhenShenkyuInternationalLogisticCo.,Ltd.,DirectorandAssistantDirectorofthePlanningandDevelopmentDepartmentofShenzhenHighwayPassengerandFreightTransportServiceCenter,StationmasterofFutianStation,Director,GeneralManagerandDeputySecretaryofthe
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
PartyCommitteeofShenzhenHighwayPassengerandFreightTransportServiceCenterCo.,Ltd.HeiscurrentlytheSecretaryofCommissionforDisciplineInspectionoftheCompanyandtheChairmanoftheBoardofSupervisors.YuanShuwen,male,borninMay1980,master'sdegree,senioraccountant,andmemberoftheCommunistPartyofChina.HehasservedasthestationmasterofShiguOperationandManagementStationofHengshanCountyRuralManagementAdministration,thefinancialsupervisorofShenzhenFengchengIronWireProductsCo.,Ltd.,theprojectmanagerofBDOChinaShuLunPanCertifiedPublicAccountantsLLPShenzhenBranch,thegeneralledgeraccountantoftheFinanceDepartmentofShenzhenZhenye(Group)Co.,Ltd.,andiscurrentlythedeputydirectoroftheAssessmentandDistributionDepartmentofShenzhenInvestmentHoldingsCo.,Ltd.,andthesupervisoroftheCompany.JiangYifan,male,borninJuly1985,postgraduatedegree,adoctoroflaws.HesuccessivelyservedasseniormarketanalystandprojectmanagerofGrokMarketConsultingCo.,Ltd.,directorandlegaladvisoroftheDevelopmentDepartmentofGuangzhouHuijianTechnologyCo.,Ltd.,andassetpreservationmanageroftheassetpreservationdepartmentofGuangzhouBranchofJiangxiBank.HeiscurrentlythedeputydirectoroftheriskcontrolandcompliancedepartmentandtheemployeesupervisoroftheCompany.(III)SeniorofficersLinXia,female,borninOctober1975,bachelor'sdegree,memberoftheCommunistPartyofChina.HehasservedasthebusinesssupervisoroftheLegalSupervisionandAuditDepartmentofShenzhenShenhuaGroupCo.,Ltd.,thelegalsupervisoroftheBoardOffice,thedeputydirectoranddirectoroftheOffice,anddirectoroftheGeneralOffice(ProcessandInformationCenter)ofShenzhenProperties&ResourcesDevelopment(Group)Ltd.,thedeputysecretaryofthebranchcommittee(full-timerank)andthechairmanofthelaborunionofShenzhenHuangchengRealEstateCo.,Ltd..andthedeputygeneralmanagerofShenzhenMunicipalPeople'sCongressCadreTrainingCenterCo.,Ltd.HeiscurrentlythedeputygeneralmanageroftheCompany.WangZihan,male,borninApril1989,bachelor'sdegree,memberoftheCommunistPartyofChina.HehassuccessivelyservedastheDeputyDirectoroftheMarketingDepartmentoftheCommercialOperationBranchofShenzhenSEGGroupCo.,Ltd.,theGeneralManagerofSEGCreativeSpaceofShenzhenSEGEntrepreneurshipHubCo.,Ltd.,andtheDeputyGeneralManagerandGeneralManageroftheOperationManagementDepartmentofShenzhenSEGGroupCo.,Ltd.HeiscurrentlythedeputygeneralmanageroftheCompany.JiangPeng,female,borninOctober1970,bachelor'sdegree,memberoftheCommunistPartyofChina.ShehassuccessivelyservedasanofficestaffmemberanddeputysectionchiefoftheGeneralOfficeofShandongGroupCorpofFisheriesEnterprises,thesectionchiefanddeputydirectoroftheBoardofDirectorsOfficeandtherepresentativeofsecuritiesaffairsofShandongZhongluOceanicFisheriesCo.,Ltd.,therepresentativeofsecuritiesaffairsofHuafuTopDyedMelangeYarnCo.,Ltd.,therepresentativeofsecuritiesaffairsoftheCompanyandthedirectoroftheSecretaryoftheBoardofDirectorsOffice.SheiscurrentlytheSecretaryoftheBoardofDirectorsoftheCompanyandalsoservesasadirectorofShenzhenSAPOPhotoelectricCo.,Ltd.*.Positionsheldinshareholders?Applicable□Notapplicable
| Nameoftheappointedpersonnel | Nameofshareholder | Positionsheldinshareholders | Beginningdateofterm | Endingdateofterm | Whethertoreceiveremunerationallowancefromtheshareholderunit |
| YinKefei | ShenzhenInvestmentHoldingsCo.,Ltd. | DeputyGeneralManager | January11,2021 | Yes | |
| WangChuan | ShenzhenInvestmentHoldingsCo.,Ltd. | DirectorofIndustryManagementDepartment | May23,2018 | No | |
| MengFei | ShenzhenInvestmentHoldingsCo.,Ltd. | DeputyDirectorofFinancialDepartment(SettlementCenter) | September18,2017 | Yes | |
| YuanShuwen | ShenzhenInvestmentHoldingsCo.,Ltd. | DeputyDirectorofAssessmentandDistributionDepartment | September18,2017 | Yes | |
| Descriptionofthepositionsheldinshareholders | None | ||||
*.Positioninotherentities?Applicable□Notapplicable
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Nameoftheappointedpersonnel | Nameofotherentities | Positionsheldinotherentities | Beginningdateofterm | Endingdateofterm | Whethertoreceiveremunerationallowancesinotherentities |
| YinKefei | ResearchInstituteofTsinghuaUniversityinShenzhen | Councilmember | March17,2023 | No | |
| YinKefei | ShenzhenInternationalChamberofCommerce | VicePresident | July24,2023 | No | |
| YinKefei | ULTRARICHINTERNATIONALLIMITED | Director | September4,2023 | No | |
| YinKefei | ShenzhenInternationalInvestment&PromotionAssociation | Candidatesforthe2ndPresident | January20,2022 | No | |
| MaJie | HebeiShenbaoInvestmentDevelopmentCo.,Ltd. | Supervisor | April20,2021 | No | |
| WangChuan | ShenzhenShenfubao(Group)Co.,Ltd. | Director | June21,2018 | No | |
| WangChuan | ULTRARICHINTERNATIONALLIMITED | Director | June27,2018 | No | |
| WangChuan | ShenzhenTongChanGroupCo.,Ltd. | Director | December17,2020 | No | |
| MengFei | ShenzhenHigh-techZoneInvestmentandDevelopmentGroupCo.,Ltd. | Supervisor | November25,2022 | No | |
| MengFei | ShenzhenInvestmentHoldingsDonghaiInvestmentCo.,Ltd. | Supervisor | October17,2017 | No | |
| MengFei | ShenzhenSpecialEconomicZoneRealEstate&Properties(Group)Co.,Ltd. | Director | May16,2024 | No | |
| MengFei | HongKongInvestmentHoldingsCo.,Ltd.underShenzhenInvestmentHoldings | Director | July18,2024 | No | |
| YuanShuwen | ShenzhenWaterPlanning&DesignInstituteCo.,Ltd. | Supervisor | February20,2023 | No | |
| WuGuangquan | MeishanVentureCapitalCo.,Ltd. | ExecutiveDirectorandGeneralManager | September28,2021 | No | |
| WuGuangquan | ShenzhenJinlingEraTechnologyCo.,Ltd. | ChairmanandGeneralManager | November11,2022 | No | |
| WuGuangquan | ShenzhenFanjingInvestmentCo.,Ltd. | ExecutiveDirectorandGeneralManager | December24,2019 | No | |
| WuGuangquan | ShenzhenFanjingIntelligentEnterpriseManagementConsultingCo.,Ltd. | ExecutiveDirectorandGeneralManager | July9,2021 | No | |
| WuGuangquan | ShanghaiYutianKongkaAviationTechnologyCo.,Ltd. | Director | December20,2022 | No | |
| Wu | CALBGroupCo.,Ltd. | Independent | December25, | Yes |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Guangquan | director | 2023 | |||
| WuGuangquan | ShenzhenLeaguerCo.,Ltd. | Independentdirector | December25,2021 | Yes | |
| YangGaoyu | ZhongzhengTiantongCertifiedPublicAccountants(SpecialGeneralPartnership)ShenzhenBranch | Director | October1,2013 | Yes | |
| YangGaoyu | ShenzhenUlanBinhaiIndustrialInvestmentCo.,Ltd. | Director | February5,2016 | No | |
| YangGaoyu | ShanghaiDashengAgriculturalFinancialTechnologyCo.,Ltd. | IndependentNon-ExecutiveDirector | August23,2016 | Yes | |
| YangGaoyu | ShenzhenJiangcairenEducationManagementCo.,Ltd. | Director | November8,2018 | No | |
| YangGaoyu | ShenzhenGanfanDaziCateringManagementCo.,Ltd. | Generalmanager | May31,2018 | No | |
| YangGaoyu | ZhongtianDexiangTaxationFirm(Shenzhen)Co.,Ltd. | ExecutiveDirectorandGeneralManager | July17,2019 | Yes | |
| YangGaoyu | ShenzhenSannuoAcousticlinkCo.,Ltd. | Independentdirector | July24,2020 | Yes | |
| YangGaoyu | ShenzhenBaofuqinEnterpriseManagementConsultingCo.,Ltd. | ExecutiveDirectorandGeneralManager | December20,2021 | No | |
| YangGaoyu | ShenzhenChotestTechnologyInc. | Independentdirector | October17,2022 | Yes | |
| YangGaoyu | ShenzhenNewTrendInternationalLogis-TechCo.,Ltd. | Independentdirector | April10,2023 | Yes | |
| YangGaoyu | ShenzhenHangshengElectronicsCo.,Ltd. | Director | June25,2023 | No | |
| WangKai | SouthernUniversityofScienceandTechnology | Long-termprofessor | January1,2024 | Yes | |
| WangKai | ShenzhenPlanckInnovationTechnologyCo.,Ltd. | TechnicalConsultant | August1,2024 | Yes | |
| WangZihan | GeneralManagerofShenzhenSEGHi-TechIndustrialCo.,Ltd. | Generalmanager | January31,2024 | No | |
| Explanationofservinginotherentities | None | ||||
Penaltiesimposedbysecuritiesregulatorsoncurrentdirectors,supervisorsandseniorofficersaswellasthoseleftthepostinthepastthreeyears
□Applicable?Notapplicable
3.Remunerationofdirectors,supervisorsandseniorofficers
Decision-makingprocedures,determinationbasisandactualpaymentofremunerationfordirectors,supervisorsandseniorofficersDuringthereportingperiod,theremunerationofdirectorsandseniorofficerswhoreceivedremunerationfromtheCompanywasdeterminedinaccordancewiththeCompany'sDirectorRemunerationManagementSystemandtheMeasuresforAnnualPerformanceAssessmentandRemunerationManagementofSeniorOfficersofSTHC.theremunerationofindependentdirectorsshallbedeterminedaccordingtotheresolutionofthegeneralmeeting;theremunerationofsupervisorswhoreceiveremunerationfromtheCompanyshallbedeterminedaccordingtotheirpositionsintheCompany.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
Remunerationofdirectors,supervisorsandseniorofficersduringthereportingperiod
Unit:RMB10,000
| Name | Gender | Age | Position | Employmentstatus | Totalpre-taxcompensationreceivedfromtheCompany | WhethergetpaidfromrelatedpartiesoftheCompany |
| YinKefei | Male | 50 | SecretaryofthePartyCommittee,ChairmanandDirector | Incumbent | 0 | Yes |
| MaJie | Male | 47 | DeputySecretaryofthePartyCommittee,DirectorandGeneralManager | Incumbent | 0 | No |
| WeiJunfeng | Male | 45 | DeputySecretaryofthePartyCommitteeandDirector | Incumbent | 0 | No |
| WangChuan | Male | 53 | Director | Incumbent | 57.81 | No |
| LiuYu | Female | 53 | DirectorandFinanceDirector | Incumbent | 60.72 | No |
| MengFei | Male | 49 | Director | Incumbent | 0 | Yes |
| WuGuangquan | Male | 62 | Independentdirector | Incumbent | 12 | No |
| YangGaoyu | Male | 57 | Independentdirector | Incumbent | 12 | No |
| WangKai | Male | 41 | Independentdirector | Incumbent | 12 | No |
| MaYi | Male | 58 | SecretaryofCommissionforDisciplineInspection,ChairmanoftheBoardofSupervisors | Incumbent | 103.92 | No |
| YuanShuwen | Male | 44 | Supervisor | Incumbent | 0 | Yes |
| LinXia | Female | 49 | DeputyGeneralManager | Incumbent | 0 | No |
| WangZihan | Male | 35 | DeputyGeneralManager | Incumbent | 0 | No |
| JiangPeng | Female | 54 | SecretaryoftheBoardofDirectors | Incumbent | 95.29 | No |
| JiangYifan | Male | 39 | Employeesupervisor | Incumbent | 47.42 | No |
| ZhuMeizhu | Male | 60 | Formerdirectorandgeneralmanager | Resigned | 90.73 | No |
| NingMaozai | Male | 49 | Formerdirector | Resigned | 95.29 | No |
| HeFei | Male | 47 | FormerDirectorandFinanceDirector | Resigned | 36 | No |
| SunMinghui | Male | 43 | Formerdirector | Resigned | 0 | Yes |
| LiuHonglei | Male | 60 | FormerDeputyGeneralManager | Resigned | 40.27 | No |
| ZhanLumei | Female | 55 | Originalemployeesupervisor | Resigned | 29.85 | No |
| Total | -- | -- | -- | -- | 693.30 | -- |
Note:Thecompensationofdirectors,supervisors,andseniorexecutiveswhoreceivesalariesinthecompanyincludesbasicsalaryandpartialperformance-basedpay,aswellaspartialperformance-basedpaypaidinthepreviousyearafterthecompletionofthecurrentyear'sassessment;MaJie,WeiJunfeng,LinXia,andWangZihanhavebeenemployedbythecompanysinceJanuary2025andhavenotreceivedanysalaryin2024.VI.Directors'performanceofdutiesduringthereportingperiod
1.BoardofDirectorsduringthereportingperiod
| Session | Dateofmeeting | Dateofdisclosure | Resolutionsmadeatthemeeting |
| 27thMeetingofthe8thBoardofDirectors | February7,2024 | February8,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-03publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| 28thMeetingofthe8thBoardofDirectors | March26,2024 | March27,2025 | Fordetails,pleaserefertotheAnnouncementNo.2024-09publishedby |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| theCompanyonCninfo(http://www.cninfo.com.cn). | |||
| 29thMeetingofthe8thBoardofDirectors | April28,2024 | April30,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-18publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| 30thMeetingofthe8thBoardofDirectors | May16,2024 | May17,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-22publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| 31stMeetingofthe8thBoardofDirectors | July5,2024 | July6,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-30publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| 32ndMeetingofthe8thBoardofDirectors | August21,2024 | Onlyreviewingoneiteminthesemiannualreportwithoutobjectionorabstentionisexemptfromdisclosingtheresolutionannouncement. | |
| 33rdMeetingofthe8thBoardofDirectors | September27,2024 | September28,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-39publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
| 34thMeetingofthe8thBoardofDirectors | October29,2024 | Onlyreviewingthethirdquarterreportwithoutobjectionorabstentionisexemptfromdisclosingtheresolutionannouncement. | |
| 35thMeetingofthe8thBoardofDirectors | December6,2024 | December7,2024 | Fordetails,pleaserefertotheAnnouncementNo.2024-46publishedbytheCompanyonCninfo(http://www.cninfo.com.cn). |
2.Attendanceofdirectorsattheboardmeetingandthegeneralmeeting
| Attendanceofdirectorsattheboardmeetingandgeneralmeeting | |||||||
| Nameofdirector | Numberoftheboardmeetingstobeattendedduringthisreportingperiod | Numberoftheboardmeetingsattendedonsite | Numberoftheboardmeetingsattendedbycommunication | Numberoftheboardmeetingsattendedbyproxy | Numberofabsencesfromtheboardmeetings | WhethertofailtoattendthemeetingoftheBoardinpersonfortwoconsecutivetimes | Numberofgeneralmeetingsattended |
| YinKefei | 9 | 6 | 3 | 0 | 0 | No | 4 |
| MaJie | 0 | 0 | 0 | 0 | 0 | No | 0 |
| WeiJunfeng | 0 | 0 | 0 | 0 | 0 | No | 0 |
| WangChuan | 9 | 6 | 3 | 0 | 0 | No | 0 |
| LiuYu | 8 | 5 | 3 | 0 | 0 | No | 4 |
| MengFei | 4 | 3 | 1 | 0 | 0 | No | 0 |
| WuGuangquan | 9 | 0 | 9 | 0 | 0 | No | 3 |
| YangGaoyu | 9 | 1 | 8 | 0 | 0 | No | 3 |
| WangKai | 9 | 1 | 8 | 0 | 0 | No | 4 |
| ZhuMeizhu | 8 | 5 | 3 | 0 | 0 | No | 3 |
| NingMaozai | 9 | 6 | 3 | 0 | 0 | No | 4 |
| SunMinghui | 4 | 2 | 2 | 0 | 0 | No | 0 |
DescriptionofthefailuretoattendtheboardmeetingsinpersonfortwoconsecutivetimesNone
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
3.ObjectionsraisedbydirectorstorelevantmattersoftheCompany
WhetherthedirectorshaveraisedanyobjectionstorelevantmattersoftheCompany?
□Yes?NoDuringthereportingperiod,thedirectorsdidnotraiseanyobjectiontotherelevantmattersoftheCompany.
4.Otherdescriptionsofdirectors'performanceofdutiesWhethertherelevantsuggestionsofthedirectorstotheCompanyhavebeenadopted?Yes□NoDirector'sstatementontheadoptionornon-adoptionoftheCompany'srelevantproposalsDuringthereportingperiod,alldirectorsoftheCompanydiligentlyandresponsiblycarriedouttheirworkinstrictaccordancewiththerelevantprovisionsoftheChinaSecuritiesRegulatoryCommissionandShenzhenStockExchange,aswellastheCompany'sArticlesofAssociation,RulesofProceduresoftheBoardofDirectorsandothersystems.TheypaidcloseattentiontotheCompany'sstandardizedoperationandmanagement,putforwardrelevantopinionsontheCompany'smajorgovernanceandoperationdecisionsaccordingtotheCompany'sactualsituation,andformedaconsensusafterfullcommunicationanddiscussion,andtheyresolutelysupervisedandpromotedtheimplementationoftheresolutionsoftheBoardofDirectorstoensurethatthedecisionsarescientific,timelyandefficient,andmaysafeguardthelegitimaterightsandinterestsoftheCompanyandallshareholders.
VII.InformationonspecialcommitteesundertheBoardduringthereportingperiod
| Nameofcommittee | Membership | Numberofmeetingsheld | Dateofmeeting | Contentofthemeeting | Importantopinionsandsuggestionsputforward | Otherperformanceofduties | Detailsofobjections(ifany) |
| NominationCommitteeoftheBoard | WuGuangquan,YangGaoyu,WangKai | 1 | February4,2024 | Deliberatedonandnominatedthenon-independentdirectorsofthe8thBoardofDirectorsandappointedtheFinanceDirectoroftheCompany. | ItisagreedtonominateLiuYuasthenon-independentdirectorcandidate,anditisagreedthatthegeneralmanagershallnominatetheFinanceDirector,andthenominationshallbesubmittedtotheBoardfordeliberation. | None | None |
| NominationCommitteeoftheBoard | WuGuangquan,YangGaoyu,WangKai | 1 | July2,2024 | Deliberatedonmattersrelatingtothenominationofcandidatesfornon-independentdirectorsofthe8thBoardofDirectorsoftheCompany. | ItisagreedtonominateFengMeng,non-independentdirector,andsubmittedittotheBoardofDirectorsfordeliberation. | None | None |
| RemunerationAppraisalCommittee | YangGaoyu,WangKai,LiuYu | 1 | September23,2024 | DeliberatedonmattersrelatedtotheperformanceassessmentindicatorsoftheCompany'sseniorofficersfor2024. | ItisbelievedthattheformulationoftheperformanceassessmentindicatorsoftheseniorofficersoftheCompanyfor2024complieswiththeCodeofCorporateGovernanceforListedCompanies,theArticlesofAssociationoftheCompany,andtheWorkingRegulationsoftheRemunerationAssessmentCommitteeoftheBoardofDirectorsandotherrelevantprovisions. | None | None |
| Remune | Wu | 1 | December2, | Deliberatedon | Itisbelievedthatthe | None | None |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| rationAppraisalCommittee | Guangquan,WangKai,LiuYu | 2024 | mattersrelatedtotheformulationoftheseniorofficers'2023annualbusinessperformanceassessmentandremunerationmanagementplan. | formulationofthe2023annualbusinessperformanceassessmentandremunerationmanagementplanforseniorofficersofthecompanycomplieswiththeCodeofCorporateGovernanceforListedCompanies,theArticlesofAssociationoftheCompany,andtheWorkingRegulationsoftheRemunerationAssessmentCommitteeoftheBoardofDirectorsandotherrelevantprovisions. | |||
| AuditCommittee | WuGuangquan,YangGaoyu,NingMaozai | 1 | January12,2024 | TheAuditDepartmentreportedtotheAuditCommitteeonthesummaryofthe2023internalauditworkandthe2024auditplan,andcommunicatedonmattersrelatedtotheentryoftheannualreportauditor. | TheAuditCommitteefullyaffirmedtheinternalauditworkoftheAuditDepartmentin2023.TheAuditCommitteeevaluatedtheeffectivenessoftheCompany'sinternalcontrolinthethirdquarterof2024andbelievedthattheCompanymaintainedeffectiveinternalcontroloverfinancialreportandnon-financialreportinallmaterialaspectsinaccordancewiththerequirementsoftheenterprise'sinternalcontrolnormsystemandrelevantregulations. | None | None |
| AuditCommittee | WuGuangquan,YangGaoyu,NingMaozai | 1 | April26,2024 | TheAuditDepartmentreportedthesummaryoftheinternalauditworkinthefirstquarterandtheworkplanforthesecondquartertotheAuditCommittee,andtheAuditCommitteeputforwardrequirementsfortheinternalauditrelatedwork. | TheAuditCommitteerecognizedtheimplementationoftheinternalauditworkinthefirstquarterandrequestedtheAuditDepartmenttocontinuetocarryouttheauditworkinaccordancewiththerequirementsoftheannualinternalauditworkplanforthesecondquarterof2024;anddeliberatedonandadoptedtheFirstQuarterlyReportof2024. | None | None |
| AuditCommittee | WuGuangquan,YangGaoyu,NingMaozai | 1 | February4,2024 | DeliberatedontheProposalonAppointingtheFinanceDirectoroftheCompany. | TheAuditCommitteebelievesthatLiuYuisqualifiedtobetheFinanceDirectoroftheCompany,andagreesthattheFinanceDirectorshallbenominatedbytheGeneralManageranditshallbesubmittedtotheBoardfordeliberation. | None | None |
| AuditCommittee | WuGuangquan,YangGaoyu, | 1 | February28,2024 | TheAuditCommitteecommunicatedwiththeannualreport | TheAuditCommitteeproposedthatallrelevantdepartmentsshouldactivelycooperatewiththe | None | None |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| NingMaozai | auditorontheprogressoftheauditoftheCompany's2023annualreportandthepreliminaryfindingsduringtheaudit,andputforwardrequirementsandsuggestionsforthefollow-upworkoftheannualaudit. | accountantstoproviderelevantinformation;theaccountingfirmshouldcompletetheannualauditworkinstrictaccordancewiththeannualauditplan,intermsofquality,quantityandagreedtime.Ifanyimportantproblemisfound,itshallcommunicatewiththeAuditCommitteeintime. | |||||
| AuditCommittee | WuGuangquan,YangGaoyu,NingMaozai | 1 | August21,2024 | TheAuditDepartmentreportedthesummaryofthesemi-annualinternalauditworkandtheworkplanforthethirdquartertotheAuditCommittee,andtheAuditCommitteeputforwardrequirementsfortheinternalauditrelatedwork. | TheAuditCommitteerecognizedtheimplementationofthesemi-annualinternalauditworkandrequestedtheAuditDepartmenttocontinuetocarryouttheauditworkinaccordancewiththerequirementsoftheannualinternalauditworkplanforthethirdquarterof2024;anddeliberatedonandadoptedtheSemi-annualReportof2024. | None | None |
| AuditCommittee | WuGuangquan,YangGaoyu,NingMaozai | 1 | March25,2024 | Deloitte'saccountantreportedtotheAuditCommitteeontheannualreviewworkin2023;YangGaoyumadeareportontheperformanceoftheAuditCommitteein2023;theAuditCommitteedeliberatedoneightproposals,includingthe2023annualreportoftheCompany. | TheAuditCommitteeadoptedtheproposalofthismeetingandagreedtosubmitittotheBoardofDirectorsfordeliberation. | None | None |
| AuditCommittee | WuGuangquan,YangGaoyu,NingMaozai | 1 | October28,2024 | TheAuditDepartmentreportedthesummaryoftheinternalauditworkinthethirdquarterandtheworkplanforthefourthquartertotheAuditCommittee,andtheAuditCommitteeputforwardrequirementsfortheinternalauditrelatedwork. | TheAuditCommitteerecognizedtheimplementationoftheinternalauditworkinthethirdquarterandrequestedtheAuditDepartmenttocontinuetocarryouttheauditworkinaccordancewiththerequirementsoftheannualinternalauditworkplanforthefourthquarterof2024;anddeliberatedonandadoptedtheThirdQuarterlyReportof2024. | None | None |
| Audit | Wu | 1 | December5, | Deliberatedonthe | Itisagreedtocarryout | None | None |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Committee | Guangquan,YangGaoyu,NingMaozai | 2024 | ProposalontheImplementationofForeignExchangeHedgingBusinessbySubsidiariessubmittedbytheFinanceDepartmentandtheattachedFeasibilityAnalysisReportontheImplementationofForeignExchangeHedgingandtheRiskControlPlanfortheImplementationofForeignExchangeHedgingBusiness. | hedgingbusinesstomanagetheforeignexchangeriskexposure. |
VIII.WorkoftheBoardofSupervisors
WhethertheCompanyhasrisksfoundbytheBoardofSupervisorsduringthesupervisionactivitiesinthereportingperiod
□Yes?NoTheBoardofSupervisorshasnoobjectiontothesupervisionmattersduringthereportingperiod.
IX.EmployeesoftheCompany
1.Number,professionalcompositionandeducationlevelofemployees
| Numberofemployeesoftheparentcompanyattheendofthereportingperiod | 55 |
| Numberofin-serviceemployeesofmajorsubsidiariesattheendofthereportingperiod | 1,281 |
| Totalnumberofin-serviceemployeesattheendofthereportingperiod | 1,389 |
| Totalnumberofemployeesreceivingsalariesinthecurrentperiod | 1,389 |
| Numberofretiredemployeeswhoseexpensesshallbebornebytheparentcompanyandmajorsubsidiaries | 0 |
| Professionalcomposition | |
| Professionalcompositioncategory | Numberofemployeesofeachcategory |
| Productionpersonnel | 988 |
| Salespersonnel | 14 |
| Technicalpersonnel | 174 |
| Financialpersonnel | 30 |
| Administrativestaff | 183 |
| Total | 1,389 |
| Educationlevel | |
| Educationlevelcategory | Quantity |
| Master'sdegreeorabove | 42 |
| Undergraduate | 225 |
| Juniorcollege | 163 |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Belowjuniorcollege | 959 |
| Total | 1,389 |
2.Remunerationpolicy
In2024,theCompanycarriedoutemployeeremunerationmanagementinstrictaccordancewithrelevantnationallawsandregulationsandtheCompany'sremunerationmanagementsystemtoensurefairandreasonableemployeeremuneration,givecorrespondingrewardsandincentivestoemployees'contributions,promotethecommondevelopmentofemployeesandtheCompany,andreflectmorehumanisticcareoftheCompany.
3.TrainingplanIncombinationwiththeCompany'sdevelopmentstrategy,continuetoimprovetheCompany'stalenttrainingsystem,andstrengthentheexchangeandlearningofpersonnelofSTHC.First,incombinationwiththeworkofthedepartmentandtheactualsituationofemployees,provideappropriatecoursesforemployeesaccordingtotheexistingnetworkacademyresources,includinggeneralmanagementcoursesandprofessionalcourses.Duringthereportingperiod,furtherimprovetheprofessionallevelandcomprehensivequalityofemployeesthroughtheallocationofinternalandexternaltrainingcourses;second,continuetocreateanatmosphereof"readingagainafterreturningfromahundredbattles"andencourageemployeestolovereadingandreadgoodbooks;third,incombinationwiththeCompany'sbusinessdevelopmentneedsandtheactualworkofeachdepartment,organizekeyemployeestoparticipateinprofessionaltrainingarrangedbysuperiorunitsandprofessionalinstitutionstofurtherimprovethecomprehensiveability,professionalskillsandprofessionalqualityofemployees.
4.Outsourcingoflaborservices
□Applicable?Notapplicable
X.TheCompany'sprofitdistributionandconversionofcapitalreservesintosharecapitalinthecurrentyearFormulation,implementationoradjustmentoftheprofitdistributionpolicyduringthereportingperiod,especiallythecashdividendpolicy?Applicable□NotapplicableOnMay29,2024,theCompanyheldthe2023annualgeneralmeetingtodeliberateonandadoptthe2023annualprofitdistributionplan.TheCompany's2023annualprofitdistributionplanis:basedonthedistributableprofitsoftheconsolidatedstatements,andbasedonthetotalequityof506,521,849sharesoftheCompanyasofDecember31,2023(including457,021,849Asharesand49,500,000Bshares),theCompanywoulddistributecashdividendsofRMB0.65(includingtax)toallshareholdersforevery10shares,withatotalcashdividendofRMB32,923,920.19(includingtax)thatshouldbepaid,andthecashdividendofRMB32,923,916.72(includingtax)thatwereactuallypaid,andtheremainingundistributedprofitswouldbecarriedforwardtothenextyear;nobonusshareswouldbeissued,andnocapitalreservewouldbeconvertedintosharecapital.IfthereisachangeinthetotalequityoftheCompanybeforetheimplementationofthedistributionplan,thedistributionwillbemadeaccordingtothetotalequityontheequityregistrationdatewhenthedistributionplanisimplementedinthefuture,basedonthefixedratio,andthespecificamountwillbesubjecttotheactualdistribution.
| Specialinstructionsforcashdividendpolicy | |
| WhetheritcomplieswiththeArticlesofAssociationortheresolutionsofthegeneralmeetingofshareholders: | Yes |
| Whetherthedividendstandardsandproportionsareexplicitandclear: | Yes |
| Whetherrelevantdecision-makingproceduresandmechanismsarecomplete: | Yes |
| WhethertheIndependentDirectorshavefulfilledtheirdutiesandplayedtheirdueroles: | Yes |
| IftheCompanydoesnotmakecashdividends,itshalldisclosethespecificreasonsandthenextmeasurestobetakentoenhancethereturnslevelofinvestors: | Notapplicable |
| Whetherminorityshareholdershavetheopportunitytofullyexpresstheiropinionsanddemands,andwhethertheirlegitimaterightsandinterestsarefullyprotected: | Yes |
| Whethertheconditionsandproceduresarecompliantandtransparentifthecashdividendpolicyisadjustedorchanged: | Notapplicable |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
TheCompanyisprofitableduringthereportingperiodandtheprofitavailablefordistributionbytheparentcompanyispositive,butnocashdividenddistributionplanisproposed
□Applicable?NotapplicableProfitdistributionandconversionofcapitalreservesintosharecapitalduringthereportingperiod?Applicable□Notapplicable
| Bonussharesforeverytenshares(Shares) | 0 |
| Cashdividendforeverytenshares(Yuan)(Tax-included) | 0.71 |
| Atotalnumberofsharesasthedistributionbasis(shares) | 506,521,849 |
| Cashdividendamount(yuan,includingtax | 35,963,051.28 |
| Othermeans(suchasrepurchaseofshares)cashdividendamount(yuan) | 0.00 |
| Totalcashdividend(yuan,includingtax) | 35,963,051.28 |
| Distributableprofit(yuan) | 272,608,113.66 |
| Proportionofcashdividendinthedistributableprofit | 100% |
| Cashdividenddistributionpolicy | |
| Whenthecompany'sdevelopmentstageisinthegrowthperiodandtherearemajorcapitalexpenditurearrangements,whentheprofitdistributioniscarriedout,theproportionofcashdividendsinthisprofitdistributionshouldbeatleast20%. | |
| Detailedexplanationoftheprofitdistributionorcapitalreservetransferplan | |
| Basedonthedistributableprofitsintheconsolidatedstatement,withthetotalsharecapitalof506,521,849sharesasofDecember31,2024asthebase,acashdividendofRMB0.71(includingtax)wasdistributedtoevery10sharesofallshareholders,withatotalcashdividendofRMB35,963,051.28(includingtax).Nobonusshareswillbeissuedandnocapitalreservewillbeconvertedintosharecapital.Ifthereisachangeinthetotalsharecapitalofthecompanybeforetheimplementationofthedistributionplan,thetotaldistributionamountshallbeadjustedbasedonthetotalsharecapitalontheequityregistrationdatewhenthedistributionplanisimplementedinthefuture,andtheabovedistributionproportionshallbekeptunchanged.Thespecificamountshallbesubjecttotheactualdistribution. | |
XI.ImplementationoftheCompany'sequityincentiveplan,employeestockownershipplanorotheremployeeincentivemeasures
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnoequityincentiveplan,employeestockownershipplanorotheremployeeincentivemeasuresandtheirimplementation.XII.Constructionandimplementationofinternalcontrolsystemduringthereportingperiod
1.ConstructionandimplementationofinternalcontrolDuringthereportingperiod,theCompanyhasupdatedandimprovedtheinternalcontrolsysteminatimelymannerinaccordancewiththeprovisionsoftheBasicStandardforEnterpriseInternalControlanditssupportingguidelines,andestablishedasetofinternalcontrolsystemthatisscientificallydesigned,conciselyapplicableandeffectivelyoperated.TheAuditCommittee,theRiskControlandComplianceDepartment,andtheAuditDepartmentjointlyformedtheCompany'sriskinternalcontrolmanagementorganizationsystemtosuperviseandevaluatetheCompany'sinternalcontrolmanagement.Throughtheoperation,analysisandevaluationoftheinternalcontrolsystem,theCompanyhaseffectivelypreventedrisksinoperationandmanagementandpromotedtherealizationofinternalcontrolobjectives.AccordingtotheidentificationofmajordeficienciesintheCompany'sinternalcontroloverfinancialreport,therearenomajordeficienciesintheinternalcontroloverfinancialreportonthebasedateoftheEvaluationReportonInternalControl.TheCompanyhasmaintainedeffectiveinternalcontroloverfinancialreportsinallmaterialrespectsinaccordancewiththerequirementsofthestandardizedsystemofenterpriseinternalcontrolandrelevantregulations.AccordingtotheidentificationofmajordeficienciesintheCompany'sinternalcontroloverfinancialreport,theCompanyhasnotidentifiedanymajordeficienciesintheinternalcontroloverfinancialreportonthebasedateoftheEvaluationReportonInternalControl.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
2.Detailsofmajordeficienciesininternalcontrolfoundduringthereportingperiod
□Yes?No
XIII.TheCompany'smanagementandcontroloveritssubsidiariesduringthereportingperiod
| Companyname | Consolidationplan | Consolidationprogress | Problemsencounteredinconsolidation | Solutionstaken | Progressofsolution | Follow-upsolutionplan |
| Notapplicable | Notapplicable | Notapplicable | Notapplicable | Notapplicable | Notapplicable | Notapplicable |
XIV.EvaluationReportonInternalControlorAuditReportonInternalControl
1.Internalcontrolevaluationreport
| Full-textdisclosuredateoftheEvaluationReportonInternalControl | March28,2025 | |
| Full-textdisclosureindexoftheEvaluationReportonInternalControl | TheCompany's2024InternalControlSelf-EvaluationReportonCninfo(http://www.cninfo.com.cn). | |
| RatiooftotalassetsofunitsincludedintheevaluationscopetototalassetsintheconsolidatedfinancialstatementsoftheCompany | 100.00% | |
| RatioofoperatingrevenueofunitsincludedintheevaluationscopetotheoperatingrevenueofconsolidatedfinancialstatementsoftheCompany | 100.00% | |
| Defectidentificationcriteria | ||
| Type | Financialreport | Non-financialreport |
| Qualitativecriteria | Deficienciesrelatedtofinancialreportsaredividedintominordeficiencies,significantdeficienciesandmajordeficienciesaccordingtotheirseverity.Majordeficienciesrefertoacombinationofoneormorecontroldeficiencies,whichmaycausetheenterprisetodeviateseriouslyfromthecontrolobjectives.Significantdeficienciesrefertoacombinationofoneormorecontroldeficiencies,theseverityandeconomicconsequencesofwhicharelowerthanthoseofmajordeficiencies,butwhichmaystillcausetheenterprisetodeviatefromthecontrolobjectives.Minordeficienciesrefertootherinternalcontroldeficienciesthatdonotconstitutemajordeficienciesorsignificantdeficiencies. | Underanyofthefollowingcircumstances,itshallbedeemedthattheCompanyhasmajordeficienciesininternalcontrolunrelatedtofinancialreports:(1)theoperatingactivitiesoftheCompanyseriouslyviolatenationallawsandregulations;(2)unscientificdecision-makingproceduresfor"decision-makingonmajorissues,appointmentandremovalofimportantcadres,arrangementofimportantprojects,anduseoflargesumsofmoney",resultinginmajordecision-makingerrorsandcausingmajorpropertylossestotheCompany;(3)alargenumberofkeypositionsortechnicaltalentsarelost;(4)failureofcontrolsysteminvolvingimportantbusinessareasoftheCompany;(5)ithasaseriousnegativeimpactontheCompany'sbusiness,andtheCompanycannoteliminatesuchimpact;(6)theinternalcontrolevaluationresultsaremajordeficienciesandhavenot |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| beeneffectivelyrectified.Significantdeficiencies:refertoacombinationofoneormorecontroldeficiencies,theseverityandeconomicconsequencesofwhicharelowerthanthoseofmajordeficiencies,butwhichmaystillcausetheenterprisetodeviatefromthecontrolobjectives.Minordeficiencies:refertootherinternalcontroldeficienciesthatdonotconstitutemajordeficienciesorsignificantdeficiencies. | ||
| Quantitativecriteria | Themisstatedamountofthefinancialstatementsfallswithinthefollowingrange:majordeficiencies:misstatedamount≥1.5%ofthetotalrevenue;misstatedamount≥10%oftotalprofit;misstatedamount≥5%ofnetassets.Significantdeficiencies:0.5%ofthetotalrevenue≤misstatedamount<1.5%ofthetotalrevenue;5%ofthetotalprofit≤misstatedamount<10%ofthetotalprofit;3%ofnetassets≤misstatedamount<5%ofnetassets.Minordeficiencies:0%ofthetotalrevenue<misstatedamount<0.5%ofthetotalrevenue;2%ofthetotalprofit<misstatedamount<5%ofthetotalprofit;0%ofnetassets<misstatedamount<3%ofnetassets. | Notapplicable |
| Numberofmajordeficienciesinfinancialreports | 0 | |
| Numberofmajordeficienciesinnon-financialreport | 0 | |
| Numberofsignificantdeficienciesinfinancialreport | 0 | |
| Numberofsignificantdeficienciesinnon-financialreport | 0 | |
2.AuditReportonInternalControl
?Applicable□Notapplicable
| ReviewopinionintheAuditReportonInternalControl | |
| ShenzhenTextilehasmaintained,inallmaterialrespects,effectiveinternalcontroloverfinancialreportsinaccordancewiththeBasicStandardforEnterpriseInternalControlandrelevantregulationsasofDecember31,2024. | |
| DisclosureoftheAuditReportonInternalControl | Disclosed |
| Full-textdisclosuredateoftheAuditReportonInternalControl | March28,2025 |
| Full-textdisclosureindexoftheAuditReportonInternalControl | SeeCninfo(http://www.cninfo.com.cn)fordetails |
| OpiniontypeoftheAuditReportonInternalControl | Standardandunqualifiedopinion |
| Whethertherearemajordeficienciesinnon-financialreports | No |
WhethertheaccountingfirmissuesanAuditReportonInternalControlwithnon-standardopinions
□Yes?NoWhethertheAuditReportonInternalControlissuedbytheaccountingfirmisconsistentwiththeopinionoftheself-evaluationreportoftheBoardofDirectors?Yes□No
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
XV.Statusofrectificationofself-examinationissuesofspecialactionsongovernanceoflistedcompaniesDuringthereportingperiod,norelevantgovernanceissuesoftheCompanyhavebeenfoundaslistedintheSelf-inspectionChecklistforSpecialGovernanceActivitiesofListedCompanies.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionVEnvironmentandSocialResponsibilities
I.Majorenvironmentalprotectionissues
Whetherthelistedcompanyanditssubsidiariesareamongthekeypollutantdischargeentitiesannouncedbytheenvironmentalprotectiondepartment?Yes□NoEnvironmentalprotectionrelatedpoliciesandindustrystandardsI.SAPOPhotoelectric:
(I)Nameofexecutivestandardsforairpollutantemissions
1.EmissionStandardforBoilerAirPollutantDB44/765-2019;
2.EmissionlimitsofairpollutantsDB44/27-2001;
3.ImplementthelimitsforelectroniccomponentsintheelectronicindustryinTianjinVolatileOrganicCompoundEmissionControlStandardforIndustrialEnterprises(DB12/524-2020);
4.EmissionStandardforOdorPollutantsGB14554-93,ControlStandardforUnorganizedEmissionofVolatileOrganicCompoundsGB37822-2019.(II)NameofexecutivestandardsfordischargeofwaterpollutantsGuangdongProvinceWaterPollutantDischargeLimitStandardDB44/26-2001.II.MCENTURY
1.RegulationsonenvironmentprotectionofGuangdongProvince;
2.MeasuresforManagementofEcologicalEnvironmentStandards.EnvironmentalprotectionadministrativelicensingI.SAPOPhotoelectricApplicationtimeoftheexistingpollutantdischargepermitis:December13,2022,andvalidityperiodis:fromDecember13,2022toDecember12,2027.II.MCENTURYTheapplicationperiodoftheexistingpollutantdischargepermitisfromAugust10,2020toAugust9,2023,andthevalidityperiodafterapplicationforrenewalisfromAugust10,2023toAugust9,2028.Industrialemissionstandardsanddetailsofpollutantemissionsinvolvedinproductionandoperatingactivities
| NameoftheCompanyorsubsidiaries | Typeofmainpollutantsandparticularpollutants | Nameofmainpollutantsandparticularpollutants | Dischargemethod | Numberofdischargeoutlets | Distributionofdischargeoutlets | Dischargeconcentration/intensity | Dischargestandardsofpollutantsapplied | Totaldischarge | Approvedtotaldischarge | Exceedingdischargestandards |
| ShenzhenSAPO | Wastegas | Non-methane | Highaltitude | 5 | Dischargeoutlets | <50mg/m3 | 120mg/m3 | 21.9t/a | 49.98t/a | None |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| PhotoelectricCo.,Ltd. | hydrocarbons | emissions | aresetontheeastsideoftheroofofbuildings1and3 | |||||||
| ShenzhenSAPOPhotoelectricCo.,Ltd. | Wastewater | COD | Openchanneldischargeaftertreatment | 1 | Southeastsideoftheplant | <20mg/L | 40mg/L | 3.9347/a | 25.0536/a | None |
| MCENTURY | Wastewater | COD,ammonianitrogen,pHvalue,suspendedsolids,five-daybiochemicaloxygendemand,totalphosphorus(asP),color,anilines,chlorinedioxide,sulfide,totalnitrogen(asN),ammonia(ammoniagas),non-methanetotalhydrocarbons,hydrogensulfide,odorconcentration | Atmosphere:disorganized;wastewater:1.Intermittentdischarge,theflowisunstableandirregularduringdischarge,butitisnotashockdischarge;2.intermittentdischarge,stableflowduringdischarge | 1 | Longitude:114°15′31.36″Latitude:22°43′38.14″ | Permitteddischargevalue:pHvalue:6-9;anilines:1.0mg/L;suspendedsolids:50mg/L;totalnitrogen(asN)15mg/L;ammonianitrogen:8mg/L;sulfide:0.5mg/L;chemicaloxygendemand:60mg/L;chlorinedioxide:0.5mg/L;chroma:50;five-daybiochemicaloxygendemand:20mg/L;totalphosphorus(as | DischargeLimitsofWaterPollutantsDB44/26-2001;DischargeStandardofWaterPollutantsforDanshuiRiverandShimaRiverBasinDB44/2050-2017;DischargeStandardofWaterPollutionforTextileDyeingandFinishingIndustryGB4287-2012GB4287-2012 | CODcr:0.349t/a;ammonianitrogen:0.0102t/a;totalnitrogen(asN)0.1305t/a | CODcr:1.62t/a;ammonianitrogen:0.216t/a;totalnitrogen(asN)0.405t/a | None |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
TreatmentofpollutantsI.SAPOPhotoelectricSAPOPhotoelectricadoptsRTOwastegasthermalstorageincinerationtreatmentprocessfortheorganicwastegasproducedbyeachproductionline,ofwhichRTO+catalysttreatmentprocessisadoptedforproductionline7.Theexhaustgastreatmentequipmentoperatesstably,withgoodexhaustgastreatmenteffect,andtheVOCsremovalrateoforganicexhaustgasreachesmorethan99.9%,whichcanfullymeettherequirementsofexhaustgasemission;atthesametime,theequipmentadoptsimportedheatstoragematerials,withaheatstorageeffectof90%andlowenergyconsumptionforequipmentoperation;afterRTOtreatment,theexhaustgasgeneratedintheproductionprocesscanmeettheemissionstandardaftertreatment,andtheVOCsconcentrationatthedischargeportisallcontrolledat<40mg/m?.SAPOPhotoelectricadoptsthewastewatertreatmentprocessofFenton+sedimentation+UASBanaerobic+aerobic+MBRmembraneforitsphaseIwastewatertreatmentfacilities,withstrongimpactloadresistanceoftheprocess,stablesystemoperation,lowenergyconsumption,lowmaintenanceandrepaircost,ahighdegreeofautomation,andgoodeffluenteffectofwastewatertreatment.ThewastewatertreatmentprocessofFenton+sedimentation+UASBanaerobic+aerobic+MBRmembrane+mcmembranetreatment+evaporationsystemisadoptedforitsphaseIIwastewatertreatmentfacilities,andallthewastewaterisreusedtotheproductionlineaftertreatment.AllthewastewaterofSAPOPhotoelectriccanmeettheenvironmentalrequirementsofstandarddischargeafterbeingtreatedbythetreatmentfacilities,andtheCODconcentrationofthetotaldischargeoutletis<20mg/L.II.MCENTURYMCENTURYhasbuiltasetofdedicatedwastewatertreatmentfacilities,andcontinuouslyoptimizedandimprovedthefacilitiesandprocessesduringtheactualoperationprocess.Thewastewaterisprofessionallytreatedthroughmultipleprocesses,withbetteroperationeffect,andallpollutantindicatorsmeetrelevantstandardsandlawsandregulations.Inaddition,MCENTURYbuiltthereclaimedwaterrecyclingsystemin2021,whichcaneffectivelysavewaterconsumptionandreducewastewaterdischargeafteritisofficiallyputintooperation.Environmentalself-monitoringplanI.SAPOPhotoelectricThemonitoringshallbecarriedoutaccordingtothemonitoringrequirementsissuedbythemonitoringstationandtheoperationrequirementsofeachsystemofSAPOPhotoelectric.Thespecificmonitoringplanisasfollows:organicwastegas,4times/year(onceaquarter);wastewaterdischarge,12times/year(onceamonth);boilerwastegas,2times/year(onceeverysixmonths),ofwhichnitrogenoxide,12times/year(onceamonth);canteenfume,1time/year;noiseattheplantboundary,2times/year(onceeverysixmonths);drinkingwater,1time/year;wastegasattheplantboundary,1time/year.II.MCENTURYAccordingtotheenvironmentalmanagementrequirementsofthepollutantdischargepermit,thespecificmonitoringplanisasfollows:
wastewaterpH,flow,CODandammonianitrogen,automaticdetection;chromaticity,suspendedsolids,totalnitrogenand5-daybiochemicaloxygendemand,1time/day;totalphosphorus,1time/week;sulfideandaniline,1time/month;chlorinedioxide,1time/quarter;ammoniagas,non-methanehydrocarbons,sulfideandodorconcentrationattheplantboundary,1time/halfayear.EmergencyplanforunexpectedenvironmentaleventsI.SAPOPhotoelectricAccordingtotheactualsituationoftheCompany,completethepreparationoftheemergencyplanforenvironmentalemergencies,andapplyforthefilingoftheenvironmentalemergencyplanthroughrelevantdepartments.II.MCENTURYAccordingtotheactualsituationoftheCompany,completethepreparationoftheemergencyplanforenvironmentalemergencies,andapplyforthefilingoftheenvironmentalemergencyplanthroughrelevantdepartments.InvestmentinenvironmentalgovernanceandprotectionandpaymentofenvironmentalprotectiontaxI.SAPOPhotoelectricInvestmentinenvironmentalgovernanceandprotectionin2024:RMB9.257million;Paymentofenvironmentalprotectiontaxin2024:RMB8217.78.II.MCENTURYTheinvestmentinenvironmentalgovernanceandprotectionin2024wasaboutRMB10,000.Measurestakentoreduceitscarbonemissionsduringthereportingperiodandtheireffects?Applicable□NotapplicableI.SAPOPhotoelectric
1.Throughrefinedmanagementandtechnologicalinnovation,SAPOPhotoelectricsaveinenergyconsumptioncostfor2024whentheoutputincreased;throughvariousinitiativessuchasindependentmaintenanceandtransformation,hazardouswastereduction,RTOmaintenance,solidwastesalesandiodinerecycling,SAPOPhotoelectriccumulativelysavedincost,whicheffectivelyreducedthecompany'soperatingcostsandprovidedstrongsupportfortheCompany'ssustainabledevelopment.
2.Accordingtotheproductionlineshutdownandstartupplan,SAPOPhotoelectricformulatedtheair-conditioningenergy-savingadjustmentplanforthecorrespondingshutdown,carriedouttheair-conditioningenergy-savingadjustmentaftertheproductionlinewasconnected,andrecordedtheadjustmenttimeeverydayandcalculatedtheenergy-savingbenefits.Thetotalelectricitycostsavedfor2024wasRMB341,000.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
3.AccordingtotheprovisionsoftheEnvironmentalProtectionLaw,enterprisesandinstitutionsarerequiredtoconductenvironmentalcreditevaluationonceayear,andconductdynamicevaluationonaquarterlybasis.SAPOPhotoelectrichasactivelyimplementedthegovernment'srequirements,improvedtheenvironmentalprotectionsystemdatabasefilling(environmentalpunishmentsystem,emergencymanagementsystem,pollutantdischargepermitmanagementplatform,pollutionsourceonlinemonitoringplatform,solidwastesupervisionplatform,etc.),providedvariousgreenfactorypromotionmaterialsfortheecologicalenvironmentbureau,andatthesametimepublishedtheenterpriseenvironmentalcreditcommitmentletterintheSpecialZoneDailypublicly.InMay2024,SAPOPhotoelectricwasratedasanEnvironmentalProtectionIntegrityEnterprisebyShenzhenMunicipalBureauofEcologyandEnvironment,andenjoyedthepreferentialtreatmentofchargingat90%ofsewagetreatmentfeesinceJuly,withacumulativesavingofRMB81,800insewagetreatmentfeefromJulytoDecember2024.II.MCENTURYDuringthereportingperiod,MCENTURYhasstrictlyabidedbylawsandregulations,strengthenedthemanagementofwastewatertreatment,andensuredtheeffectiveoperationofwastewatertreatmentfacilities,andtherewasnoviolationoflawsandregulationsthroughouttheyear.Administrativepunishmentduetoenvironmentalproblemsduringthereportingperiod
| NameoftheCompanyorsubsidiaries | Reasonforpunishment | Violations | Punishmentresult | Impactonproductionandoperationoflistedcompanies | CorrectivemeasuresoftheCompany |
| None | None | None | None | None | None |
OtherenvironmentalinformationthatshouldbedisclosedI.SAPOPhotoelectric
1.AnnualReportonLegalDisclosureofCorporateEnvironmentalInformation:https://www-app.gdeei.cn/stfw/index
2.Quarterly/AnnualImplementationReportofPollutantDischargePermit:http://permit.mee.gov.cn/II.MCENTURYNoneOtherinformationrelatedtoenvironmentalprotectionNone
II.Socialresponsibilities(I)Protectionofshareholders'equityDuringthereportingperiod,theCompanyhasoperatedincompliancewithlawsandregulations,andfurtherstandardizeditsoperationbycontinuouslyimprovingitsgovernancestructureinstrictaccordancewiththerequirementsoflawsandregulationssuchastheCompanyLaw,theSecuritiesLawandtheCodeofCorporateGovernanceforListedCompanies.TheCompanyhasadheredtotakingthedeliberativesystemofthegeneralmeetingofshareholders,theBoardofDirectors,theBoardofSupervisorsandtheindependentdirectorsasthecore,furtherimprovedthecorporategovernancestructureandvariousmanagementsystems,continuouslyimprovedtheinternalcontrolsystemintheprocessoftheCompany'soperationandmanagement,adoptedeffectivepreventivemeasuresagainstoperationalrisks,andeffectivelysafeguardedandprotectedtheshareholders'equity,thuslayingasolidfoundationfortheCompany'shealthyandsustainabledevelopment.TheindependentdirectorshavepaidcloseattentiontotheoperationoftheCompany,putforwardmanyvaluableprofessionalsuggestionsforthedailyoperationandkeyissuesoftheCompany,andplayedanimportantroleinimprovingthesupervisionmechanismandsafeguardingthelegitimaterightsandinterestsoftheCompanyandallshareholders.TheCompanyhasstrictlyperformeditsinformationdisclosureobligationsinaccordancewiththelaw,disclosedinformationthathasasignificantimpactoninvestmentdecisionsinatrue,accurate,complete,timelyandfairmanner,adheredtoconciseandeasy-to-understanddisclosurecontents,fullyrevealsrisksandfacilitatesaccessbyallshareholders,andfurthersortedoutandimprovedtherelevantsystemstoenhancethequalityofinformationdisclosureinaccordancewithregulatoryrequirements.Duringthereportingperiod,theCompanyhasfurtherimprovedinformationdisclosureandinformationtransparency,performeditsinformationdisclosureobligationsinstrictaccordancewithregulatoryrequirements,communicatedandexchangedinformationwithinvestorsthroughmultiplechannels,answeredquestionsraisedbyinvestorsinatimelymanner,improvedinformationtransparency,cooperatedwithregulatoryauthorities,safeguardedtherightsandinterestsofthemajorityoftheinvestors,especiallysmallandmedium-sizedinvestors,andachievedpositiveinteractionandharmoniousdevelopmentbetweeninvestorsandlistedcompanies.(II)Protectionofemployees'legitimaterightsandinterestsIn2024,accordingtotherequirementsofmodernenterprisemanagement,theCompanystrengthenedthescientific,standardizedandprofessionalmanagementofhumanresourcesmanagementthroughinitiativessuchassystemconstructionandculturalconstruction,effectivelyimprovedthelevelofhumanresourcesmanagement,avoidedtherisksoflaborandemployment,createdagoodcorporatecultureatmosphere,furthermobilizedtheenthusiasmofemployees,andenhancedtheirsenseofacquisitionandsenseofbelonging.Firstly,thehumanresourcesmanagementsystemwasfurtherrevisedandimprovedaccordingtotheCompany'sdevelopmentneeds.Duringtheyear,theCompanynewlyrevisedthehumanresourcesmanagementsystemssuchastheManagementMeasuresforStaffRankPromotionofShenzhenTextile,theManagementMeasuresforStaffExchangeandExerciseofShenzhenTextileandtheManagementSystemforEmployeePerformanceAssessmentofShenzhenTextile,andoptimizedandimprovedthehumanresources
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
worksuchastalentrankpromotion,exchangeandexercise,andperformanceassessmentmanagement.Secondly,theCompanysignedlaborcontractswithnewemployees,andconductedstandardizedmanagementofemployeesinaccordancewiththeLaborLawandrelevantmanagementregulationsoftheCompany.Thirdly,theCompanyestablishedascientificappraisalanddistributionsystemforseniorofficers,departmentmanagersandemployees,andsetuparelativelysystematicandstandardizedperformanceappraisalandevaluationsystem,whichcomprehensively,objectivelyandfairlyassessesandevaluatestheperformanceofemployeesinperformingtheirdutiesandcompletingtasks,andusesthisasthebasisfordeterminingtheremuneration,rewardsandpunishmentsandappointmentsoftheemployees.Fourthly,theCompanystrengthenedtheconstructionoftalentteam,thoroughlyimplementedthestrategyof"strengtheningenterpriseswithtalents",continuouslycarriedouttwo-waycommunicationandtrainingactivitiesforcadresandtalentsoftheGroupanditsaffiliatedenterprises,bettercaredforandhelpedemployeesgrowandbecomesuccessful,improvedthecomprehensivebusinessabilityanddutyperformanceabilityofemployees,andstimulatedthevitalityofthecadreteam.Atthesametime,theCompanyselectedandrecruitedtalentsthroughmarketization,createdagoodenvironmentfortalentdevelopment,andcontinuouslystimulatedinnovationvitalityandpower.(III)EnvironmentalprotectionTheCompanyhasalwaysregardedbuildingamodernized"greenenterprise"asanimportantandlong-termresponsibilitytobeundertaken,insistedoncreatingthewholeprocessofbuildingagreencycleoftheindustrialchain,realizedatrulygreencirculareconomy,improvedthequalityofthesurroundingenvironmentoftheCompany,andescortedtheCompany'sproduction.Duringthereportingperiod,theoff-sitenoise,industrialwastewaterandexhaustemissionsduringtheproductionprocessoftheCompanyhavebeenmonitoredbytheenvironmentalprotectiondepartmentandmetthestandardrequirementsofrelevantlawsandregulations,andnomajorenvironmentalprotectionincidentshaveoccurred.TheCompanyhasvigorouslyadvocatedgreenoffice,carriedoutvariousformsofenvironmentprotectionpublicityandeducationactivities,improvedemployees'awarenessofenergyconservationandemissionreduction,realizedthecoordinateddevelopmentofproductionandoperationandenvironmentprotection,andearnestlyfulfilleditssocialresponsibility.Duringthereportingperiod,theCompanyhasactivelyrespondedtothenationaldevelopmentgoalof"carbonpeak"and"carbonneutrality",continuouslyimprovedenvironmentalprotectionfacilities,optimizedwastegasandwastewatertreatmentprocesses,strictlycontrolledtheCompany'swastegasandwastewaterdischarge,ensuredtheefficientandstableoperationofwastegasandwastewatertreatmentfacilitiestoeffectivelyreducetheCompany'scarbonemissions,thuscontributingtotherealizationofthenationalgoalof"carbonpeak"and"carbonneutrality".(IV)ProtectionofconsumerrightsandinterestsTheCompanyhasalwaysadheredtothecorevaluesof"integrity-basedandresponsibilityfirst".Beingresponsibleforcustomersisthesourceofenterprisevalue.Itisourunremittingpursuittostrivetoprovidecustomerswithprofessional,personalizedandcomprehensiveproductsandservices.Focusingoncustomerneeds,continuouslyinnovatingcustomerservice,andcontinuouslyimprovingproductqualityarethedrivingforcefortheCompanytoachievegoodperformanceandsustainabledevelopment,andalsoanimportantguaranteeforwinninglong-termtrustofcustomers.TheCompanyhastakentheinitiativetopayattentiontocustomerneeds,respondedquicklytocustomerfeedback,sincerelythoughtabouttheinterestsofthecustomers,andpromotedtheestablishmentoflong-termpartnerships.
III.ConsolidationandexpansionoftheachievementsofpovertyalleviationandruralrevitalizationIn2024,theCompanyactivelyfulfilleditscorporatesocialresponsibility,activelyparticipatedinconsumptionassistancework,andcompletedconsumptionassistanceprocurementofRMB547,600.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionVIImportantMatters
I.Fulfillmentofcommitments
1.CommitmentsmadebytheCompany'sactualowner,shareholders,relatedparties,acquirers,theCompanyandotherrelatedpartiesthathavebeenfulfilledwithinthereportingperiodandthosethathavenotbeenfulfilledasoftheendofthereportingperiod
?Applicable□Notapplicable
| Reason | Partymakingcommitment | Type | Content | Date | Term | Performance |
| Commitmentsonsharereform | ShenzhenInvestmentHoldingsCo.,Ltd. | Commitmentsonsharereduction | Commitmentsmadeatthetimeoflistingandcirculationofrestrictedsharesinthesharereform:1.ifitplanstosellitssharesheldthroughthesecuritiestradingsysteminthefuture,andthereductioninthenumberofsharesreaches5%withinsixmonthsfromthefirstreduction,itwilldisclosethesalespromptannouncementthroughtheCompanywithintwotradingdaysbeforethefirstreduction;2.strictlyabidebytherelevantprovisionsoftheGuidanceOpinionsofListedCompaniesonLiftingtheTransferofRestrictedStocksandtherelevantbusinessrulesoftheShenzhenStockExchange. | August4,2006 | Continuouslyeffective | Innormalperformance |
| CommitmentsmadeatthetimeofIPOorrefinancing | ShenzhenInvestmentHoldingsCo.,Ltd. | Commitmentsonavoidinghorizontalcompetitions | Commitmentsmadeatthetimeofprivateofferingin2009:ShenzhenInvestmentHoldingsanditswholly-ownedsubsidiaries,subsidiariesheldorothercompanieswithactualrightofcontrolwillnotengageinanybusinessthatarethesameorsimilartothosecurrentlyorinthefutureengagedbyShenzhenTextile,orconductanyotherbusinessoractivitiesthatmaydirectlyorindirectlycompetewithShenzhenTextile;ifShenzhenInvestmentHoldingsanditswholly-ownedsubsidiaries,subsidiariesheldorothercompanieswithactualrightofcontroloverShenzhenInvestmentHoldingsengageinhorizontalcompetitionswithShenzhenTextileorconflictwiththeinterestsoftheissuerinthefutureintermsofoperatingactivities,ShenzhenInvestmentHoldingswillprocurethesaleoftheequityinterests,assetsorbusinessofsuchcompaniestoShenzhenTextileorathirdparty;whenShenzhenInvestmentHoldingsanditswholly-ownedsubsidiaries,subsidiariesheldorothercompanieswithactualrightofcontrolandShenzhenTextileneedtoexpandtheirbusiness,duringwhichtheremaybehorizontalcompetitions,ShenzhenTextilehastherightoffirstrefusal. | October9,2009 | Continuouslyeffective | Innormalperformance |
| Commitmentsmadeatthe | ShenzhenInvestm | Commitmentsonavoiding | Commitmentsmadeatthetimeofprivateofferingin2012:1.ShenzhenInvestmentHoldings,asthecontrollingshareholderof | July14,2012 | Continuouslyeffective | Innormalperformance |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| timeofIPOorrefinancing | entHoldingsCo.,Ltd. | horizontalcompetitions | ShenzhenTextile,currentlyhasnoproductionandoperatingactivitiesthatconstitutehorizontalcompetitionswiththeexistingbusinessofShenzhenTextileanditssubsidiariesheld;2.ShenzhenInvestmentHoldingsanditssubsidiariesheldorothercompanieswithactualrightofcontrolwillnot,inthefuture,directlyorindirectly,oronbehalfofanyperson,companyorunit,engageinthesameorsimilarbusinessasShenzhenTextileanditssubsidiariesheldinanyregionintheformofholding,equityparticipation,jointventure,cooperation,partnership,contracting,leasing,etc.,andundertakenottousethepositionascontrollingshareholdertodamagethelegitimaterightsandinterestsofShenzhenTextileandothershareholders,ortoseekadditionalbenefitsbyusingthepositionascontrollingshareholder;3.ifShenzhenInvestmentHoldingsanditssubsidiariesheldorothercompanieswithactualrightofcontrolengageinhorizontalcompetitionswithShenzhenTextileinthefutureintermsofoperatingactivities,ShenzhenInvestmentHoldingswillurgetherelevantcompaniestoavoidhorizontalcompetitionsbytransferringequity,assetsorbusiness,etc.;4.theabovecommitmentsshallremainvalidandirrevocableduringtheperiodwhenShenzhenInvestmentHoldingsservesasthecontrollingshareholderofShenzhenTextileorindirectlycontrolsShenzhenTextile. | ||
| Whetherthecommitmentisfulfilledontime | Yes | ||||
| Ifthecommitmentsarenotfulfilledwithinthetimelimit,thespecificreasonsfortheunfinishedperformanceandthenextworkplanshallbespecified | Notapplicable | ||||
2.IfthereisaprofitforecastfortheCompany'sassetsorprojects,andthereportingperiodisstillintheprofitforecastperiod,theCompanyshallexplainthattheassetsorprojectshavemettheoriginalprofitforecastandthereasons
□Applicable?NotapplicableII.Non-operationaloccupationoffundsbythecontrollingshareholdersandotherrelatedpartiesofthelistedcompany
□Applicable?NotapplicableDuringthereportingperiod,therewerenonon-operationalfundsoccupiedbythecontrollingshareholdersandotherrelatedpartiesforthelistedcompany.III.Illegalexternalguarantees
□Applicable?NotapplicableTheCompanyhadnoillegalexternalguaranteeduringthereportingperiod.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
IV.ExplanationoftheBoardofDirectorsonthelatest"modifiedreport"
□Applicable?NotapplicableV.ExplanationoftheBoardofDirectors,theBoardofSupervisors,independentdirectors(ifany)onthe"modifiedreport"oftheaccountingfirmduringthereportingperiod
□Applicable?NotapplicableVI.Explanationoftheaccountingpolicies,changesinaccountingestimatesorcorrectionsofsignificantaccountingerrorscomparedtothefinancialreportofthepreviousyear
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnoaccountingpolicies,changesinaccountingestimatesorcorrectionsofsignificantaccountingerrors.VII.Explanationofchangesinthescopeofconsolidatedstatementscomparedtothefinancialreportofthepreviousyear
□Applicable?NotapplicableTherewasnochangeinthescopeoftheconsolidatedstatementsoftheCompanyduringthereportingperiod.
VIII.Appointmentanddismissaloftheaccountingfirm
Currentlyappointedaccountingfirm
| Nameofdomesticaccountingfirm | DeloitteToucheTohmatsuCertifiedPublicAccountants(LLP) |
| Remunerationofdomesticaccountingfirm(RMB10,000) | 110 |
| Numberofconsecutiveyearsofauditservicesprovidedbydomesticaccountingfirm | 3 |
| Nameofcertifiedpublicaccountantsofthedomesticaccountingfirm | HuangTianyi,ChenJunheng |
| Numberofconsecutiveyearsofauditservicesprovidedbycertifiedpublicaccountantsofdomesticaccountingfirm | 2 |
| Nameofoverseasaccountingfirm(ifany) | None |
| Numberofconsecutiveyearsofauditservicesprovidedbyoverseasaccountingfirm(ifany) | None |
| Nameofcertifiedpublicaccountantsofoverseasaccountingfirm(ifany) | None |
| Numberofconsecutiveyearsofauditservicesprovidedbycertifiedpublicaccountantsofoverseasaccountingfirm(ifany) | None |
Whethertochangetheaccountingfirminthecurrentperiod
□Yes?NoEngagementofinternalcontrolauditaccountingfirm,financialadviserorsponsor?Applicable□NotapplicableThetotalauditfeefor2024isRMB1.1million(includingtax),ofwhichthefinancialstatementsauditfeeisRMB850,000(includingtax)andtheinternalcontrolauditfeeisRMB250,000(includingtax).
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
IX.Delistingafterthedisclosureoftheannualreport
□Applicable?NotapplicableX.Mattersrelatedtobankruptcyandreorganization
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnobankruptcyrestructuringrelatedmatters.XI.Significantlitigationandarbitration?Applicable□Notapplicable
| Basicinformationoflitigation(arbitration) | Amountinvolved(RMB10,000) | Whetherestimatedliabilitiesareformed | Proceedingsoflitigation(arbitration) | Resultsandinfluenceoflitigation(arbitration)trial | Executionoflitigation(arbitration)judgment | Dateofdisclosure | Disclosureindex |
| Duringthereportingperiod,theCompanyanditssubsidiarieswereinvolvedinatotalof15otherlitigationandarbitrationcasesthatdidnotmeetthecriteriafordisclosureofmateriallitigation,mainlycontractdisputesandlabordisputes,ofwhich6werebroughtasplaintiffsand9asdefendants. | 901.65 | No | Asoftheendofthereportingperiod,amongtheaforementioned15cases,3caseswereconcluded,while7caseswerewithdrawnbytheplaintiffs,and5caseswerenotconcluded. | TheconcludedcasesbasicallysupportedtheCompany'sclaimsandhadnomaterialadverseimpactontheCompany. | Asattheendofthereportingperiod,theconcludedcaseswereintheprocessofexecutionorcompleted,withnomaterialadverseimpactontheCompany. | / |
XII.Punishmentandrectification
□Applicable?NotapplicableTherewasnopunishmentorrectificationduringthereportingperiod.
XIII.IntegritystatusoftheCompanyanditscontrollingshareholdersandactualowner?Applicable□NotapplicableTheCompany,itscontrollingshareholdersandactualownersareingoodstandingintermsoftheirintegrityandhavenotfailedtoperformtheeffectivejudgmentsofthecourtorfailedtopaythelargeramountdue,etc.XIV.Majorrelatedpartytransactions
1.Relatedpartytransactionsrelatedtodailyoperations
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnorelatedpartytransactionsrelatedtodailyoperations.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
2.Relatedpartytransactionsarisingfromtheacquisitionandsaleofassetsorequity
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnorelatedpartytransactionsarisingfromtheacquisitionorsaleofassetsorequity.
3.Relatedpartytransactionsarisingfromjointexternalinvestment
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnorelatedpartytransactionsarisingfromjointexternalinvestment.
4.Relatedclaimsanddebts
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnorelateddebttransactions.
5.Informationontransactionswithfinancecompanieswithrelatedrelationship
□Applicable?NotapplicableTherewasnodeposit,loan,creditorotherfinancialbusinessbetweentheCompanyandthefinancecompanieswithrelatedrelationshipandtheirrelatedparties.
6.TransactionsbetweentheCompany'sholdingfinancecompaniesanditsrelatedparties
□Applicable?NotapplicableTherewasnodeposit,loan,creditorotherfinancialbusinessbetweentheCompany'sholdingfinancecompaniesanditsrelatedparties.
7.Othermajorrelatedpartytransactions
□Applicable?NotapplicableTheCompanyhadnoothermajorrelatedpartytransactionsduringthereportingperiod.
XV.Majorcontractsandtheirperformance
1.Custody,contractingandleasematters
(1)Custody
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnothingundercustody.
(2)Contracting
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnocontracting.
(3)Leases
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnoleases.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
2.Significantguarantees?Applicable□Notapplicable
Unit:RMB10,000
| ExternalguaranteesoftheCompanyanditssubsidiaries(excludingtheguaranteestosubsidiaries) | ||||||||||
| Nameofguarantor | Disclosuredateofguaranteelimitrelatedannouncements | Guaranteelimit | Actualdate | Actualguaranteeamount | Typeofguarantee | Collateral(ifany) | Counterguarantee(ifany) | Guaranteeperiod | Whethertheperformanceiscompleted | Whethertoguaranteeforarelatedparty |
| GuaranteestosubsidiariesbytheCompany | ||||||||||
| Nameofguarantor | Disclosuredateofguaranteelimitrelatedannouncements | Guaranteelimit | Actualdate | Actualguaranteeamount | Typeofguarantee | Collateral(ifany) | Counterguarantee(ifany) | Guaranteeperiod | Whethertheperformanceiscompleted | Whethertoguaranteeforarelatedparty |
| ShenzhenSAPOPhotoelectricCo.,Ltd. | March18,2020 | 48,000 | September8,2020 | 12,564.05 | Jointandseveralliabilityguarantee | Fromtheeffectivedateoftheguaranteeagreementtotheexpirationdateoftheactualloanperformanceperiod | No | No | ||
| Totalguaranteelimittobeapprovedtosubsidiariesduringthereportingperiod(B1) | 0 | Totalactualamountofguaranteeincurredtosubsidiariesduringthereportingperiod(B2) | -23,927.4 | |||||||
| Totalapprovedguaranteelimittosubsidiariesattheendofthereportingperiod(B3) | 48,000 | Totalactualbalanceofguaranteestosubsidiariesattheendofthereportingperiod(B4) | 12,564.05 | |||||||
| Guaranteesbysubsidiariestosubsidiaries | ||||||||||
| Nameofguarantor | Disclosuredateofguaranteelimitrelated | Guaranteelimit | Actualdate | Actualguaranteeamount | Typeofguarantee | Collateral(ifany) | Counterguarantee(ifany) | Guaranteeperiod | Whethertheperformanceiscompleted | Whethertoguaranteeforarelatedparty |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| announcements | ||||
| TotalguaranteesoftheCompany(i.e.thetotalofthetopthreeitems) | ||||
| Totalguaranteelimittobeapprovedduringthereportingperiod(A1+B1+C1) | 0 | Totalactualamountofguaranteeincurredduringthereportingperiod(A2+B2+C2) | -23,927.4 | |
| Totalapprovedguaranteelimitattheendofthereportingperiod(A3+B3+C3) | 48,000 | Totalactualbalanceofguaranteesattheendofthereportingperiod(A4+B4+C4) | 12,564.05 | |
| Totalactualguarantees(i.e.A4+B4+C4)asapercentageoftheCompany'snetassets | 4.26% | |||
| Including: | ||||
| Balanceofguaranteesprovidedforshareholders,actualownerandtheirrelatedparties(D) | 0 | |||
| Balanceofdebtguaranteesprovideddirectlyorindirectlyfortheguaranteedobjectwhoseasset-liabilityratioexceeds70%(E) | 0 | |||
| Amountoftotalguaranteesexceeding50%ofnetassets(F) | 0 | |||
| Totalamountoftheabovethreeguarantees(D+E+F) | 0 | |||
| Explanationofthesituationinwhichtheguaranteeliabilityoccursorthereisevidencethatitmaybearjointandseveralrepaymentliabilityduringthereportingperiodinrespectofunexpiredguaranteecontracts(ifany) | None | |||
| Explanationofprovisionofguaranteetoexternalpartiesinviolationoftheprescribedprocedures(ifany) | None | |||
Explanationofthespecificsituationoftheguaranteebytheadoptionofcompositemethod
3.Entrustmentofothersforcashassetmanagement
(1)Entrustedwealthmanagement?Applicable□NotapplicableOverviewofentrustedwealthmanagementduringthereportingperiod
Unit:RMB10,000
| Specifictype | Sourcesoffundsforentrustedwealthmanagement | Amountofentrustedwealthmanagement | Outstandingbalance | Delinquentuncollectedamount | Delinquentuncollectedamountoffinancialassetswithprovisionforimpairment |
| Bankwealthmanagementproducts | Self-ownedfunds | 95,000 | 50,215.56 | 0 | 0 |
| Others | Self-ownedfunds | 64,900 | 22,926.43 | 0 | 0 |
| Total | 159,900 | 73,141.99 | 0 | 0 | |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
Detailsofhigh-riskentrustedwealthmanagementwithsignificantsingleamount,lowsafetyandpoorliquidity?Applicable□Notapplicable
Unit:RMB10,000
| Nameoftrusteeinstitution(ornameoftrustee) | Typeoftrusteeinstitution(ortrustee) | Producttype | Amount | Sourceoffunds | Startdate | Expirydate | Investmentoffunds | Determinationmethodofremuneration | Referenceannualizedrateofreturn | Expectedearnings(ifany) | Actualprofitorlossamountduringthereportingperiod | Actualrecoveryofprofitorlossduringthereportingperiod | Amountofprovisionforimpairment(ifany) | Whethertogothroughlegalprocedures | Whethertherewillbeanyentrustedwealthmanagementplaninthefuture | Overviewofmatterandindexofrelatedenquiries(ifany) |
| ShanghaiPudongDevelopmentBankCo.,Ltd. | Bank | Financing | 15,000 | Self-ownedfunds | February8,2024 | August8,2024 | Others | Lumpsumpaymentuponmaturity | 3.05% | 228.75 | 0 | Undue | 0 | Yes | Notapplicable | |
| BankofChinaLimited | Bank | Structuraldeposits | 20,000 | Self-ownedfunds | March7,2024 | June19,2024 | Others | Lumpsumpaymentuponmaturity | 0.20% | 11.29 | 11.29 | Redemptiononmaturity | 0 | Yes | Notapplicable | |
| ShanghaiPudongDevelopmentBankCo.,Ltd. | Bank | Financing | 10,000 | Self-ownedfunds | March12,2024 | June19,2024 | Others | Lumpsumpaymentuponmaturity | 2.90% | 79.47 | 74.97 | Redemptiononmaturity | 0 | Yes | Notapplicable | |
| BankofJiangsuCo.,Ltd. | Bank | Financing | 25,000 | Self-ownedfunds | November5,2024 | April28,2025 | Others | Lumpsumpaymentuponmaturity | 2.80% | 335.62 | 0 | Undue | 0 | Yes | Notapplicable | |
| BankofJiangsuCo.,Ltd. | Bank | Financing | 25,000 | Self-ownedfunds | November7,2024 | May8,2025 | Others | Lumpsumpaymentuponmaturity | 2.80% | 350.96 | 0 | Undue | 0 | Yes | Notapplicable | |
| Southern | Fund | Mone | 5,000 | Self- | Febru | Marc | Mone | Rede | 1.88 | 10.05 | 10.05 | Rede | 0 | Yes | Not |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| AssetManagementCo.,Ltd. | taryfund | ownedfunds | ary23,2024 | h28,2024 | ymarketinstruments | mptiononTday,arrivalonT+1 | % | mptiononmaturity | applicable | ||||||
| PenghuaFundManagementCo.,Ltd. | Fund | Monetaryfund | 6,000 | Self-ownedfunds | February23,2024 | December31,2025 | Moneymarketinstruments | RedemptiononTday,arrivalonT+1 | 2.07% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
| HotlandInnovationAssetManagementCo.,Ltd. | Fund | Monetaryfund | 5,000 | Self-ownedfunds | April3,2024 | December31,2025 | Moneymarketinstruments | RedemptiononTday,arrivalonT+1 | 3.69% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
| PenghuaFundManagementCo.,Ltd. | Fund | Monetaryfund | 9,000 | Self-ownedfunds | April30,2024 | December31,2025 | Moneymarketinstruments | RedemptiononTday,arrivalonT+1 | 2.07% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
| SouthernAssetManagementCo.,Ltd. | Fund | Monetaryfund | 9,900 | Self-ownedfunds | May8,2024 | December31,2025 | Moneymarketinstruments | RedemptiononTday,arrivalonT+1 | 2.01% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
| SouthernAssetManagementCo.,Ltd. | Fund | Monetaryfund | 10,000 | Self-ownedfunds | June28,2024 | December31,2025 | Moneymarketinstruments | RedemptiononTday,arrivalonT+1 | 1.97% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
| PenghuaFundManagementCo.,Ltd. | Fund | Monetaryfund | 10,000 | Self-ownedfunds | June28,2024 | December31,2025 | Moneymarketinstruments | RedemptiononTday,arrivalonT+1 | 2.07% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
| HotlandInnovationAssetManagement | Fund | Monetaryfund | 10,000 | Self-ownedfunds | June28,2024 | December31,2025 | Moneymarketinstru | RedemptiononTday, | 3.69% | 0 | 0 | Undue | 0 | Yes | Notapplicable |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Co.,Ltd. | ments | arrivalonT+1 | |||||||||||||
| Total | 159,900 | -- | -- | -- | -- | -- | -- | 1,379.42 | 688.34 | -- | 0 | -- | -- | -- | |
Entrustedwealthmanagementthatmayfailtorecovertheprincipalorothercircumstancesthatmayleadtoimpairment
□Applicable?Notapplicable
(2)Entrustedloans
□Applicable?NotapplicableTherewerenoentrustedloansoftheCompanyduringthereportingperiod.
4.Othermajorcontracts
□Applicable?NotapplicableTherewerenoothermajorcontractsoftheCompanyduringthereportingperiod.
XVI.Notestoothermajormatters?Applicable□Notapplicable
(1)TerminationoftherestructuringIn2023,throughtheintegrationofhigh-qualityresourcesinthepolarizerindustry,thecompanyoptimizedtheindustrialchainlayout,andactivelypromotedtheworkrelatingtotheacquisitionof100%equityinHengmeiOptoelectronicsCo.,Ltd.bywayofissuanceofsharesandpaymentofcash(hereinafterreferredtoas"theRestructuring"or"theTransaction").Duringtheperiod,duetothechangesinshareholdersandshareholdingratioofthetargetcompany,HengmeiOptoelectronics,duringtherestructuringperiod,itisnecessarytoadjustthecounterpartyoftherestructuringandthetransactionplanaccordingtotherelevantrulesandrequirementsoftheregistrationsystem.OnNovember17,2023,theCompanyreconvenedtheBoardofDirectorstoreviewandapprovethereviseddraftofthetransactionplan,andadjustedthepricingbasedate,issueprice,counterparty,etc.ofthetransactionplan.Sincethedisclosureofthistransactionplan,theCompanyandrelevantpartieshaveactivelypromotedthevarioustasksinvolvedintheTransaction,includingadditionalaudit,evaluationandsupplementaryduediligenceofthetargetcompany,andcommunicated,negotiatedandprudentlydemonstratedwiththecounterpartyonthetransactionplan.Accordingtotherelevantregulations,theCompanyshallconvenetheBoardofDirectorstoreviewthedraftoftherestructuringreportandissueanoticetoconvenethegeneralmeetingofshareholdersbeforeMay17,2024,andclarifywhethertocontinueorterminatetheRestructuring.SincetheplanningandfirstannouncementoftheTransaction,theCompanyhasactivelyorganizedallpartiesinvolvedintheTransactiontopromotetherestructuringinstrictaccordancewiththerequirementsofrelevantlaws,regulationsandnormativedocuments.AsofMay16,2024,duetothecomplexityoftherestructuringplanandtheinvolvementofmanycounterparties,thetransactionhasnotyetcompletedtheapprovalproceduresofallpartiesinvolved,andthevalidityperiodofthefinancialdataofthetargetcompanyhasexpired.TheCompanyisunabletoissueanoticeofconveningthegeneralmeetingofshareholderswithinsixmonthsaftertheannouncementofthefirstboardresolutionontheissuanceofsharesforthepurchaseofassets,thatis,beforeMay17,2024.Fromtheperspectiveofsafeguardingtheinterestsofallshareholdersandthelistedcompany,theCompanyhasdecidedtoterminatetheRestructuringafterprudentargumentationbytheCompanyandfriendlynegotiationwithallpartiestothetransaction.AccordingtotheagreementsrelatingtotheTransactionsignedbytheCompanyandthecounterparties,theagreementsrelatingtotheTransactionshallonlytakeeffectafterthetransactionplanisreviewedandapprovedbytheBoardofDirectorsandthegeneralmeetingofshareholders,reviewedandapprovedbytheShenzhenStockExchange,andregisteredandagreedtobyChinaSecuritiesRegulatoryCommission.Inviewofthefactthattheaboverelevantpreconditionshavenotbeenmet,theterminationoftheRestructuringisaprudentdecisionmadebytheCompanyafterfullcommunication,prudentanalysisandfriendlynegotiationwithrelevantparties,andtheCompanyandthepartiestothetransactiondonotneedtobearanyliabilityforbreachofcontractorotherliabilities.TheCompany'scurrentproductionandoperationarenormal.TheterminationoftheRestructuringisnotexpectedtohaveanymaterialadverseimpactontheCompany'sexistingdailyoperationandfinancialposition,andthereisnoharmtotheinterestsoftheCompanyandshareholders,especiallyminorityshareholders.TheCompanywillcontinuetopayattentiontoandactivelyexploreinvestmentopportunitiesinpolarizerandrelatedfieldstopromotethelong-termdevelopmentoftheCompanyandenhanceitsvalue.Fordetails,pleaserefertotheAnnouncementonTerminationofIssuanceofSharesandPaymentofCashforPurchaseofAssetsandRaisingofMatchingFundsandRelatedPartyTransactions(No.2024-24)oftheCompanyonCninfo(http://www.cninfo.com.cn).
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
(2)DisposalofAssetsbyShenzhenXieliJointVentureCompanyOurcompanyhasinvestedwithHongKongXieliMaintenanceCompany(hereinafterreferredtoas"HongKongXieli")toestablishaSinoforeignjointventure,ShenzhenXieliAutomobileEnterpriseCo.,Ltd.(hereinafterreferredtoas"ShenzhenXieli").InMarch2020,ShenzhenXieliwasderegisteredbytheShenzhenMunicipalAdministrationforMarketRegulation.InJuly2020,ourcompanyfiledanadministrativeactionwiththeYantianDistrictPeople'sCourtinShenzhen,GuangdongProvincetorevoketheapprovaloftheShenzhenMarketSupervisionAdministrationforthecancellationofShenzhenXieli.InDecember2022,thePeople'sCourtofYantianDistrict,Shenzhen,GuangdongProvince,reviewedthefirstinstancejudgmentandrevokedtheadministrativeactionapprovingthecancellationofShenzhenXieli'sregistration.InJanuary2023,thethirdpartyintheoriginaltrial,HongKongXieli,appealedtotheShenzhenIntermediatePeople'sCourtinGuangdongProvince.Later,duetoHongKongXieli'sfailuretopaythecaseacceptancefeeinadvance,theShenzhenIntermediatePeople'sCourtissuedanadministrativeruling,rulingthattheappealshouldbewithdrawnbyHongKongXieli.TheretrialjudgmentofthefirstinstancehastakeneffectonMarch22,2023.Atpresent,ShenzhenXielihasresumeditsbusinessregistrationstatus,butitsfuturedirectionstillneedstobenegotiatedamongallshareholders.
XVII.MajormattersoftheCompany'ssubsidiaries
□Applicable?Notapplicable
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionVIIChangesinSharesandShareholders
I.Changesinshares
1.Changesinshares
Unit:shares
| Beforethechange | Increaseordecreaseinthischange(+,-) | Afterthechange | |||||||
| Number | Ratio | Newsharesissued | Bonusissue | Conversionofprovidentfundintoshares | Others | Sub-total | Number | Ratio | |
| I.Shareswithrestrictiveconditionsforsales | 72,000 | 0.01% | 0 | 0 | 0 | 21,000 | 21,000 | 93,000 | 0.02% |
| 1.State-ownedshares | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 2.Sharesheldbythestate-ownedlegalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| 3.Otherdomesticholdings | 72,000 | 0.01% | 0 | 0 | 0 | 21,000 | 21,000 | 93,000 | 0.02% |
| Including:sharesheldbydomesticlegalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| Sharesheldbydomesticnaturalpersons | 72,000 | 0.01% | 0 | 0 | 0 | 21,000 | 21,000 | 93,000 | 0.02% |
| 4.Foreignshareholding | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| Including:sharesheldbyoverseaslegalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| Sharesheldbyoverseasnaturalpersons | 0 | 0.00% | 0 | 0 | 0 | 0 | 0 | 0 | 0.00% |
| II.Shareswithoutrestrictiveconditionsforsales | 506,449,849 | 99.99% | 0 | 0 | 0 | -21,000 | -21,000 | 506,428,849 | 99.98% |
| 1.RMBordinaryshares | 457,021,849 | 90.23% | 0 | 0 | 0 | -21,000 | -21,000 | 457,000,849 | 90.22% |
| 2.Foreignshareslisteddomestically | 49,428,000 | 9.76% | 0 | 0 | 0 | 0 | 0 | 49,428,000 | 9.76% |
| 3.Foreignshareslistedoverseas | 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.Totalnumberofshares | 506,521,849 | 100.00% | 0 | 0 | 0 | 0 | 0 | 506,521,849 | 100.00% |
Reasonsforchangesinshares?Applicable□Notapplicable
1.LiuHonglei,theformerDeputyGeneralManageroftheCompany,retiredonMay31,2024,andthe750tradablesharesoftheCompanyheldbyhimwithoutrestrictionsonsaleswereconvertedintotradableshareswithrestrictionsonsales.OnNovember30,2024,therestrictedsaleswereliftedandconvertedintotradableshareswithoutrestrictionsonsales.
2.ZhuMeizhu,theformerDirectorandGeneralManageroftheCompany,retiredonNovember29,2024,andthe23,250tradablesharesoftheCompanyheldbyhimwithoutrestrictionsonsaleswereconvertedintotradableshareswithrestrictionsonsales.OnMay31,2025,therestrictedsaleswereliftedandconvertedintotradableshareswithoutrestrictionsonsales.Approvalofchangesinshares
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
□Applicable?NotapplicableTransferofchangesinshares
□Applicable?NotapplicableEffectofchangesinsharesonfinancialindicatorssuchasbasicearningspershareanddilutedearningspershareinthelatestyearandthelatestperiod,andnetassetspershareattributabletotheCompany'sordinaryshareholders
□Applicable?NotapplicableOthercontentsdeemednecessarybytheCompanyorrequiredbythesecuritiesregulatorstobedisclosed
□Applicable?Notapplicable
2.Changesinrestrictedshares
□Applicable?Notapplicable
II.Issuanceandlistingofsecurities
1.Issuanceofsecurities(excludingpreferredshares)duringthereportingperiod
□Applicable?Notapplicable
2.ChangesinthetotalnumberofsharesandshareholderstructureoftheCompany,andchangesinthestructureofassetsandliabilitiesoftheCompany
□Applicable?Notapplicable
3.Existinginternalemployeeshares
□Applicable?NotapplicableIII.Shareholdersandactualowner
1.NumberoftheCompany'sshareholdersandshareholdingratios
Unit:shares
| Totalnumberofordinaryshareholdersattheendofthereportingperiod. | 33,622 | Totalnumberofordinaryshareholdersattheendofthepreviousmonthbeforethedisclosuredateoftheannualreport | 32,264 | Totalnumberofpreferredshareholderswithrestorationofvotingrightsattheendofthereportingperiod(ifany)(seeNote8) | 0 | Totalnumberofpreferredshareholderswhosevotingrighthavebeenrestoredattheendofthepreviousmonthbeforethedisclosuredateoftheannualreport(ifany)(seeNote8) | 0 | |
| Shareholdingsofshareholdersholdingmorethan5%orthetop10shareholders(excludingshareslentthroughrefinancing) | ||||||||
| Nameofshareholder | Natureofshareholder | Shareholdingratio | Numberofsharesheldattheendofthereporting | Changesduringthereporting | Numberofsharesheldunderrestricted | Numberofsharesheldwithoutrestrictions | Pledge,markingorfreezing | |
| Share | Number | |||||||
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| period | period | conditions | onsales | status | ||||
| ShenzhenInvestmentHoldingsCo.,Ltd. | State-ownedlegalperson | 46.21% | 234,069,436 | 0 | 0 | 234,069,436 | Notapplicable | 0 |
| ShenzhenShenchaoTechnologyInvestmentCo.,Ltd. | State-ownedlegalperson | 3.18% | 16,129,032 | 0 | 0 | 16,129,032 | Notapplicable | 0 |
| SunHuiming | Domesticnaturalperson | 1.60% | 8,088,853 | 1,689,200 | 0 | 8,088,853 | Notapplicable | 0 |
| SuWeipeng | Domesticnaturalperson | 0.71% | 3,580,000 | 0 | 0 | 3,580,000 | Pledged | 3,000,000 |
| ChenXiaobao | Domesticnaturalperson | 0.66% | 3,328,620 | 326,236 | 0 | 3,328,620 | Notapplicable | 0 |
| LiZengmao | Domesticnaturalperson | 0.61% | 3,077,997 | 246,600 | 0 | 3,077,997 | Notapplicable | 0 |
| HongKongSecuritiesClearingCompanyLtd.(HKSCC) | Overseaslegalperson | 0.50% | 2,507,982 | 664,379 | 0 | 2,507,982 | Notapplicable | 0 |
| ShanghaiSubmartingaleAssetManagementCo.,Ltd.-SubmartingaleValueNo.1PrivateFund | Domesticnon-state-ownedlegalperson | 0.43% | 2,154,800 | 2,154,800 | 0 | 2,154,800 | Notapplicable | 0 |
| SunWenbo | Domesticnaturalperson | 0.39% | 2,000,200 | 854,500 | 0 | 2,000,200 | Notapplicable | 0 |
| ShanghaiSubmartingaleAssetManagementCo.,Ltd.-SubmartingalePingchangxinYuanwangPrivateFund | Domesticnon-state-ownedlegalperson | 0.39% | 1,991,700 | 1,991,700 | 0 | 1,991,700 | Notapplicable | 0 |
| Strategicinvestorsorgenerallegalpersonbecomingthetop10shareholdersduetoplacementofnewshares(ifany)(seeNote3) | None | |||||||
| Notestoshareholders'relatedrelationshiporpersonsactinginconcert | Amongthetop10ordinaryshareholders,ShenzhenInvestmentHoldingsCo.,Ltd.andShenzhenShenchaoTechnologyInvestmentCo.,Ltd.donotconstitutearelationshipofpersonsactinginconcert.Inaddition,theCompanydoesnotknowwhetherthereisarelatedrelationshipbetweenthetop10ordinaryshareholdersandbetweenthetop10ordinaryshareholdersandthetop10shareholders,nordoesitknowwhethertheyarepersonsactinginconcertasstipulatedintheAdministrativeMeasuresfortheAcquisitionofListedCompanies. | |||||||
| Explanationoftheaboveshareholders'involvementinentrusting/beingentrustedvotingrightsandwaiverofvotingrights | None | |||||||
| Specialexplanationfortheexistenceofrepurchaseaccountsamongthetop10shareholders(ifany)(see | None | |||||||
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Note10) | ||||
| Shareholdingsofthetop10shareholderswithoutrestrictionsonsales(excludingshareslentthroughrefinancingandshareslockedbyseniormanagement) | ||||
| Nameofshareholder | Numberofsharesheldwithoutrestrictionsonsalesattheendofthereportingperiod | Typeofshares | ||
| Typeofshares | Number | |||
| ShenzhenInvestmentHoldingsCo.,Ltd. | 234,069,436 | RMBordinaryshares | 234,069,436 | |
| ShenzhenShenchaoTechnologyInvestmentCo.,Ltd. | 16,129,032 | RMBordinaryshares | 16,129,032 | |
| SunHuiming | 8,088,853 | Domesticallylistedforeignshares | 8,088,853 | |
| SuWeipeng | 3,580,000 | RMBordinaryshares | 3,580,000 | |
| ChenXiaobao | 3,328,620 | RMBordinaryshares | 3,328,620 | |
| LiZengmao | 3,077,997 | RMBordinaryshares | 3,077,997 | |
| HongKongSecuritiesClearingCompanyLtd.(HKSCC) | 2,507,982 | RMBordinaryshares | 2,507,982 | |
| ShanghaiSubmartingaleAssetManagementCo.,Ltd.-SubmartingaleValueNo.1PrivateFund | 2,154,800 | RMBordinaryshares | 2,154,800 | |
| SunWenbo | 2,000,200 | RMBordinaryshares | 2,000,200 | |
| ShanghaiSubmartingaleAssetManagementCo.,Ltd.-SubmartingalePingchangxinYuanwangPrivateFund | 1,991,700 | RMBordinaryshares | 1,991,700 | |
| Explanationofrelatedrelationshiporconcertedactionsamongthetop10shareholderswithunrestrictedtradableshares,andbetweenthetop10shareholderswithunrestrictedtradablesharesandthetop10shareholders | Amongthetop10ordinaryshareholders,ShenzhenInvestmentHoldingsCo.,Ltd.andShenzhenShenchaoTechnologyInvestmentCo.,Ltd.donotconstitutearelationshipofpersonsactinginconcert.Inaddition,theCompanydoesnotknowwhetherthereisarelatedrelationshipbetweenthetop10ordinaryshareholdersandbetweenthetop10ordinaryshareholdersandthetop10shareholders,nordoesitknowwhethertheyarepersonsactinginconcertasstipulatedintheAdministrativeMeasuresfortheAcquisitionofListedCompanies. | |||
| Explanationofthetop10ordinaryshareholders'participationinmarginfinancingandsecuritieslendingbusiness(ifany)(seeNote4) | None | |||
Participationofshareholdersholdingmorethan5%oftheshares,thetop10shareholdersandthetop10shareholdersofunrestrictedtradablesharesinrefinancingbusinessandlendingshares
□Applicable?NotapplicableChangesofthetop10shareholdersandthetop10shareholdersofunrestrictedtradablesharescomparedwiththepreviousperiodduetorefinancinglending/repayment
□Applicable?NotapplicableWhethertheCompany'stop10ordinaryshareholdersandthetop10ordinaryshareholderswithoutrestrictiveconditionforsalesconductanyagreedrepurchasetransactionsduringthereportingperiod
□Yes?NoTheCompany'stop10ordinaryshareholders,andtop10ordinaryshareholderswithoutrestrictiveconditionforsalesdidnotconductanyagreedrepurchasetransactionduringthereportingperiod.
2.ControllingshareholdersoftheCompanyNatureofcontrollingshareholders:localstate-ownedholdingTypeofcontrollingshareholders:legalperson
| Nameofcontrolling | Legal | Dateof | Organization | Mainbusiness |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| shareholder | representative/personincharge | establishment | code | |
| ShenzhenInvestmentHoldingsCo.,Ltd. | HeJianfeng | October13,2004 | 76756642-1 | Generalbusinessitemsare:investmentandmergerandacquisitionoffinancialandquasi-financialequitysuchasbanking,securities,insurance,fundsandguarantee;engageinrealestatedevelopmentandoperationbusinesswithinthescopeoflegallyobtaininglanduseright;carryoutinvestmentandservicesinthefieldofstrategicemergingindustries;invest,operateandmanagethestate-ownedequityofwholly-owned,holdingandparticipatingenterprisesthroughrestructuringandintegration,capitaloperation,assetdisposal,etc;otherbusinessauthorizedbytheMunicipalState-ownedAssetsSupervisionandAdministrationCommission(iftheabovebusinessscopeneedstobeapprovedaccordingtonationalregulations,itcanbeoperatedonlyafterapprovalisobtained). |
| Equitiesofotherdomesticandoverseaslistedcompaniescontrolledandinvestedbythecontrollingshareholderduringthereportingperiod | SZPRDA(000011)holds301.41millionshares,withashareholdingratioof50.57%;ShenzhenSpecialEconomicZoneRealEstate&Properties(000029)holds564.3538millionshares,withashareholdingratioof55.78%;ShenzhenUniverse(Group)(000023)holds8.21millionshares,withashareholdingratioof5.91%;PingAnInsurance(601318)holds962.72millionshares,withashareholdingratioof5.29%;GuosenSecurities(002736)holds3,223.11millionshares,withashareholdingratioof33.53%;GuotaiJunanSecurities(601211)holds609.43millionA-sharesand103.37millionH-shares,withashareholdingratioof8.00%;TellingTelecommunicationHolding(000829)holds195.03millionshares,withashareholdingratioof19.03%;ShenzhenInternational(00152)holds1,059.08millionshares,withashareholdingratioof43.96%;Leaguer(002243)holds606.66millionshares,withashareholdingratioof50.11%;Infinova(002528)holds315.83millionshares,withashareholdingratioof26.35%;EternalAsia(002183)holds601.67millionshares,withashareholdingratioof23.17%;ShenzhenWaterPlanningandDesignInstitute(301038)holds64.35millionshares,withashareholdingratioof37.50%;ShenzhenEnergy(000027)holds6.77millionshares,withashareholdingratioof0.14%;BankofCommunications(601328)holds9.52millionshares,withashareholdingratioof0.01%;CECEPTechandEcology&Environment(300197)holds113.98millionshare,withashareholdingratioof3.66%;ChinaVanke(02202)holds77.27millionshares,withashareholdingratioof0.66%;ShenzhenSEG(000058)holds696.16mnshares,withashareholdingratioof56.54%;ShenzhenSDGInformation(000070)holds325.72millionshares,withashareholdingratioof36.18%;ShenzhenTellusHolding(000025)holds211.59millionshares,withashareholdingratioof49.09%;ShenzhenSDGService(300917)holds80.74mnshares,withashareholdingratioof47.78%;MicrogateTechnology(300319)holds72millionshares,withashareholdingratioof8.28%;ChinaMerchantsShekouIndustrialZoneHoldings(001979)holds456.12millionshares,withashareholdingratioof5.03%. | |||
Changesincontrollingshareholdersduringthereportingperiod
□Applicable?NotapplicableTherewasnochangeinthecontrollingshareholderoftheCompanyduringthereportingperiod.
3.TheCompany'sactualowneranditspersonsactinginconcertNatureofactualowner:localstate-ownedassetsmanagementagencyTypeofactualowner:legalperson
| Nameofactualowner | Legalrepresentative/personincharge | Dateofestablishment | Organizationcode | Mainbusiness |
| State-ownedAssetsSupervisionandAdministrationCommissionofShenzhenMunicipalPeople'sGovernment | YangJun | July30,2004 | K3172806-7 | Performthedutiesofthecontributoronbehalfofthestate,andsuperviseandmanagestate-ownedassetsauthorizedforsupervisioninaccordancewiththelaw. |
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
| Equityofotherdomesticandoverseaslistedcompaniescontrolledbytheactualownerduringthereportingperiod | Directlyholds40.10%equityinShenzhenGas(601139);directlyhold21.93%equityinShenzhenZhenye(000006);directlyholds43.91%equityinShenzhenEnergy(000027). |
Changesinactualownerduringthereportingperiod
□Applicable?NotapplicableTherewasnochangeintheactualowneroftheCompanyduringthereportingperiod.ChartforthepropertyandcontrollingrelationshipsbetweentheCompanyandtheactualowner
TheactualownercontrolstheCompanybywayoftrustorotherassetmanagementmethods
□Applicable?Notapplicable
4.ThecumulativenumberofsharespledgedbythecontrollingshareholderorthelargestshareholderoftheCompanyandtheirpersonsactinginconcertaccountedfor80%ofthenumberofsharesheldbythem
□Applicable?Notapplicable
5.Otherinstitutionalshareholdersholdingmorethan10%oftheshares
□Applicable?Notapplicable
6.Restrictedsharereductionofcontrollingshareholder,actualowner,reorganizationpartiesandothercommittedentities
□Applicable?Notapplicable
IV.Specificimplementationofsharerepurchaseduringthereportingperiod
Implementationprogressofsharerepurchase
□Applicable?NotapplicableImplementationprogressofreducingrepurchasesharesbymeansofcentralizedbiddingtransaction
□Applicable?Notapplicable
State-ownedAssetsSupervisionandAdministrationCommission
ofShenzhenMunicipalPeople'sGovernmentShenzhenInvestmentHoldingsCo.,Ltd.
| ShenzhenInvestmentHoldingsCo.,Ltd. | ShenzhenMajorIndustryInvestmentGroupCo.,Ltd. |
ShenzhenShenchaoTechnologyInvestmentCo.,Ltd.
ShenzhenShenchaoTechnologyInvestmentCo.,Ltd.
ShenzhenTextile(Holdings)Co.,Ltd.
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionVIIIPreferredshares
□Applicable?NotapplicableDuringthereportingperiod,theCompanyhadnopreferredshares.
SectionIXBonds
□Applicable?Notapplicable
2024AnnualReportofShenzhenTextile(Holdings)Co.,Ltd.
SectionXFinancialReports
| Typeofauditopinion | Standardandunqualifiedopinion |
| Signingdateoftheauditreport | March26,2025 |
| Nameofauditinstitution | DeloitteToucheTohmatsuCertifiedPublicAccountants(LLP) |
| AuditreportNo. | DSB(S)Z(25)No.P03605 |
| Nameofcertifiedpublicaccountant | HuangTianyi,ChenJunheng |
Seetheattachedfinancialstatementsandnotesfordetails.
Chairman:YinKefeiDateofapprovalbytheBoardofDirectorsforfiling:March26,2025
ShenzhenTextile(Holdings)Co.,Ltd.FinancialStatementsandAuditReportForYearEndedDecember31,2024
FinancialStatementsandAuditReportForYearEndedDecember31,2024
ContentPageAuditReport1-4Consolidatedandparentcompany'sbalancesheet5-7Consolidatedandparentcompany'sincomestatement8-9Consolidatedandparentcompany'sstatementofcashflows10-11Consolidatedandparentcompany'sstatementofchangesinshareholders'equity12-15Notestothefinancialstatements16-102
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AuditReport
DSB(S)Z(25)No.P03605
(Page1of4)AllshareholdersofShenzhenTextile(Holdings)Co.,Ltd.I.AuditopinionsWehaveauditedthefinancialstatementsofShenzhenTextile(Holdings)Co.,Ltd.(hereinafterreferredtoasthe"ShenzhenTextile"),includingtheconsolidatedandparentcompany'sbalancesheetasatDecember31,2024,theconsolidatedandparentcompany'sincomestatement,consolidatedandparentcompany'sstatementofcashflows,consolidatedandparentcompany'sstatementofchangesinshareholders'equityandrelatednotestothefinancialstatementsfortheyearthenended.Inouropinion,theattachedfinancialstatementsareprepared,inallmaterialrespects,inaccordancewiththeAccountingStandardsforBusinessEnterprises,andfairlypresenttheconsolidatedandtheparentcompany'sfinancialpositionofShenzhenTextileasatDecember31,2024andtheconsolidatedandtheparentcompany'soperatingresultsandcashflowsfortheyearthenended.II.BasisfortheauditopinionWehaveconductedourauditinaccordancewiththeChineseAuditingStandardsforCertifiedPublicAccountants.Ourresponsibilitiesunderthesestandardsarefurtherdescribedinthe"CertifiedPublicAccountant'sResponsibilitiesfortheAuditofFinancialStatements"sectionoftheauditreport.InaccordancewiththeCodeofEthicsforChineseCertifiedPublicAccountants,weareindependentofShenzhenTextileandhavefulfilledotherethicalresponsibilities.Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopinion.III.KeyauditmattersKeyauditmattersarethosemattersthat,inourprofessionaljudgment,areofmostsignificanceinourauditofthefinancialstatementsofthecurrentyear.Thesemattersareaddressedinthecontextofourauditofthefinancialstatementsasawhole,andinformingouropinionthereon,andwedonotprovideaseparateopiniononthesematters.Wehaveidentifiedthefollowingmattersaskeyauditmatterstobecommunicatedintheauditreport.
1.RecognitionofrevenuefromsalesofpolarizersAsdescribedintheNote(V).41tothefinancialstatements,in2024,theoperatingrevenueofShenzhenTextileaspresentedintheconsolidatedfinancialstatementswasRMB3,335,283,008.68,ofwhichtherevenuefromsalesofpolarizerswasRMB3,161,332,478.08,accountingfor94.78%ofthetotalrevenue.TherevenuefromsalesofpolarizersofShenzhenTextileisrecognizedwhenthecustomerobtainscontroloftherelevantgoods.Duetotheimportanceofrevenuefromsalesofpolarizerstotheconsolidatedfinancialstatementsasawhole,andthefactthattherevenueisoneofthekeyperformanceindicatorsofShenzhenTextile,thereisaninherentriskthatmanagementmaymanipulatetherevenuerecognition,inordertoachievespecificgoalsorexpectations.Therefore,wehaveidentifiedtherecognitionofrevenuefromsalesofpolarizersasakeyauditmatterintheauditoftheconsolidatedfinancialstatements.
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AuditReport-Continued
DSB(S)Z(25)No.P03605
(Page2of4)III.Keyauditmatters-continued
1.Recognitionofrevenuefromsalesofpolarizers-continuedInresponsetotheabovekeyauditmatters,theauditproceduresweperformedmainlyinclude:
?Testandevaluatetheeffectivenessoftheoperationofinternalcontrolrelatedtothesalesbusinessofpolarizer;?Checkthesalescontractssignedwithmajorcustomers,identifythetermsandconditionsofthecontractsrelatedtothetransferofrightofcontrolofthegoods,andevaluatewhethertheaccountingpoliciesforrecognitionofrevenuefromsalesofpolarizersmeettherequirementsoftheAccountingStandardsforBusinessEnterprises;?Executeanalyticalproceduresfortherevenuefromsalesofpolarizersbyproductionline,producttypeandcustomerrespectively,andanalyzetherationalityofthechangeinrevenuefromsalesofpolarizersincombinationwithmarketsellingpriceandotherfactors;?Extractsamplestoperformdetailtestsontherevenuefromsalesofpolarizers,checkthesupportingdocumentssuchasinvoices,deliveryordersandreceiptsrelatedtotherecognitionofrevenuefromsalesofpolarizers,andconductletterofconfirmationonthesalesamountofmajorcustomerstoverifytheauthenticityofrevenuefromsalesofpolarizers;?Selectsamplesforsalestransactionsbeforeandafterthebalancesheetdate,checksupportingdocumentssuchasdeliveryorders,receiptsandinvoices,andevaluatewhethertherevenuefromsalesofpolarizersisrecordedintheappropriateaccountingperiod.
2.ImpairmentofpolarizerinventoriesAsdescribedinNote(V).8totheFinancialStatements,asofDecember31,2024,thebookbalanceofinventoriesofShenzhenTextileaspresentedintheconsolidatedfinancialstatementswasRMB911,706,239.87,ofwhichthebookbalanceofpolarizerinventorieswasRMB905,482,857.11,accountingfor99.32%ofthetotalinventories,andthecorrespondingprovisionforinventorydepreciationofpolarizerwasRMB115,967,084.94.AccordingtotheaccountingpoliciesofShenzhenTextile,theinventoriesaremeasuredatthelowerofcostornetrealizablevalueattheendoftheyear.Whenthenetrealizablevalueoftheinventoriesislowerthanthecost,theprovisionforinventorydepreciationshallbemadeaccordingtothedifference.Sincetheprovisionforinventorydepreciationinvolvessignificantestimatesofthemanagement,wehaveidentifiedtheimpairmentofpolarizerinventoriesasakeyauditmatterintheauditoftheconsolidatedfinancialstatements.Inresponsetotheabovekeyauditmatters,theauditproceduresweperformedmainlyinclude:
?Testandevaluatetheeffectivenessofinternalcontrolrelatedtotheimpairmentofpolarizerinventories;?Evaluatetheappropriatenessofaccountingpoliciesrelatedtotheimpairmentofpolarizerinventories;?Implementtheon-sitemonitoringproceduresofpolarizerinventories,checktheinventoryquantityofpolarizerinventoriesandobservethestatusofpolarizerinventoriesonthebasisofsampling;?Selectsamples,comparethedatausedindeterminingthenetrealizablevalueofthepolarizerinventorieswiththeactualcostofcompletionofproductsinprogressandtheactualsellingpricesincurredrecently,andevaluatethereasonablenessofthenetrealizablevalueofpolarizerinventories.
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AuditReport-Continued
DSB(S)Z(25)No.P03605
(Page3of4)IV.OtherinformationThemanagementofShenzhenTextileisresponsibleforotherinformation.Otherinformationincludesinformationcoveredinthe2024AnnualReportofShenzhenTextile,butexcludesthefinancialstatementsandourauditreport.Ourauditopiniononthefinancialstatementsdoesnotcovertheotherinformationandwedonotexpressanyformofassuranceconclusionthereon.Inconnectionwithourauditoffinancialstatements,ourresponsibilityistoreadtheotherinformationand,indoingso,considerwhethertheotherinformationismateriallyinconsistentwithfinancialstatementsorourknowledgeobtainedduringtheauditorotherwiseappearstobemateriallymisstated.If,basedontheworkwehaveperformed,weconcludethatthereisamaterialmisstatementoftheotherinformation,wearerequiredtoreportthatfact.Wehavenothingtoreportinthisregard.IV.ResponsibilitiesofthemanagementandthosechargedwithgovernanceforfinancialstatementsThemanagementofShenzhenTextileisresponsibleforpreparingthefinancialstatementsinaccordancewiththerequirementsofAccountingStandardsforBusinessEnterprisestoachieveafairpresentation,andfordesigning,implementingandmaintaininginternalcontrolthatisnecessarytoensurethatthefinancialstatementsarefreefrommaterialmisstatements,whetherduetofraudsorerrors.Inpreparingthefinancialstatements,themanagementisresponsibleforassessingthegoing-concernabilityofShenzhenTextile,disclosingmattersrelatedtogoingconcern(ifapplicable)andapplyingthegoingconcernbasis,unlessthemanagementplanstoliquidateShenzhenTextile,terminateitsoperationsorhasnootherrealisticalternative.ThosechargedwithgovernanceareresponsibleforoverseeingthefinancialreportingprocessofShenzhenTextile.VI.ResponsibilitiesofcertifiedpublicaccountantsfortheauditoffinancialstatementsOurobjectivesaretoobtainreasonableassuranceaboutwhetherthefinancialstatementsasawholearefreefrommaterialmisstatement,whetherduetofraudorerror,andtoissueanauditreportthatincludesouropinion.Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconductedinaccordancewiththeauditstandardswillalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarisefromfraudorerrorandareconsideredmaterialif,individuallyorinaggregate,theycouldreasonablybeexpectedtoinfluencetheeconomicdecisionsofuserstakenonthebasisofthesefinancialstatements.Wehaveexercisedprofessionaljudgmentandmaintainedprofessionalskepticisminperformingourauditundertheauditingstandards.Atthesametime,wealsoimplementthefollowingwork:
(1)Identifyandassesstherisksofmaterialmisstatementofthefinancialstatements,whetherduetofraudorerror,designandperformauditproceduresresponsivetothoserisks,andobtainauditevidencethatissufficientandappropriatetoprovideabasisforouropinion.Theriskofnotdetectingamaterialmisstatementresultingfromfraudishigherthanforoneresultingfromerror,asfraudmayinvolvecollusion,forgery,intentionalomissions,misrepresentations,ortheoverrideofinternalcontrol.
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DSB(S)Z(25)No.P03605
(Page4of4)VI.Responsibilitiesofcertifiedpublicaccountantsfortheauditoffinancialstatements-continued
(2)Understandtheinternalcontrolrelatedtotheaudit,soastodesignappropriateauditprocedures.
(3)Evaluatetheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesandrelateddisclosuresmadebythemanagement.
(4)Drawconclusionsontheappropriatenessofthemanagement'suseofthegoingconcernbasis.Atthesametime,basedontheauditevidenceobtained,aconclusionisdrawnastowhetherthereisamaterialuncertaintyineventsorcircumstancesthatmaygiverisetosignificantdoubtaboutthegoing-concernabilityofShenzhenTextile.Ifweconcludethatamaterialuncertaintyexists,wearerequiredto,inourauditreport,drawattentionoftheusersofstatementstotherelateddisclosuresinthefinancialstatements;ifsuchdisclosuresareinadequate,weshouldmodifyouropinion.Ourconclusionsarebasedontheauditevidenceobtaineduptothedateofourauditreport.However,futureeventsorcircumstancesmaycauseShenzhenTextiletoceasetocontinueasagoingconcern.
(5)Evaluatetheoverallpresentation(includingdisclosures),structureandcontentofthefinancialstatements,andwhetherthefinancialstatementsfairlyreflecttherelevanttransactionsandmatters.
(6)ObtainsufficientandappropriateauditevidenceregardingthefinancialinformationoftheentitiesorbusinessactivitieswithinShenzhenTextiletoexpressanopiniononthefinancialstatements.Weareresponsibleforthedirection,supervisionandperformanceofthegroupaudit.Weremainsolelyresponsibleforourauditopinion.Wecommunicatewiththosechargedwithgovernanceregardingtheplannedscopeandtimingoftheaudit,significantauditfindingsandothermatters,includinganysignificantdeficienciesininternalcontrolthatweidentifyduringouraudit.Wealsoprovidethosechargedwithgovernancewithastatementthatwehavecompliedwithrelevantethicalrequirementsregardingindependence,andtocommunicatewiththemallrelationshipsandothermattersthatmayreasonablybethoughttobearonourindependence,andtherelatedsafeguards(ifapplicable).Fromthematterscommunicatedwiththosechargedwithgovernance,wehavedeterminedwhichmattersareofmostsignificancetotheauditofthefinancialstatementsinthecurrentyearandthusconstitutethekeyauditmatters.Wedescribethesemattersintheauditreportunlesslawsandregulationsprohibitpublicdisclosureofthesematters,orinextremelyrarecircumstances,ifitisreasonablyexpectedthatthenegativeconsequencesofcommunicatingamatteroutweighthebenefitstothepublicinterestintheauditreport,wedeterminenottodoso.DeloitteToucheTohmatsuCertifiedPublicAccountantsLLPCertifiedPublicAccountantofChina
(Engagementpartner)Shanghai,China
CertifiedPublicAccountantofChina
March26,2025
ShenzhenTextile(Holdings)Co.,Ltd.
-5-
ConsolidatedBalanceSheetDecember31,2024
ConsolidatedBalanceSheet
RMB
| Notes | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | |
| Currentassets: | |||
| Monetaryfunds | (V).1 | 340,961,443.82 | 472,274,448.00 |
| Financialassetsheldfortrading | (V).2 | 731,419,904.42 | 821,946,114.68 |
| Notesreceivable | (V).3 | 47,305,221.88 | 50,963,943.01 |
| Accountsreceivable | (V).4 | 863,731,936.89 | 820,134,833.95 |
| Receivablesfinancing | (V).5 | 6,804,603.68 | 22,839,459.13 |
| Advancestosuppliers | (V).6 | 8,176,724.70 | 19,499,886.80 |
| Otherreceivables | (V).7 | 3,596,543.96 | 3,220,285.42 |
| Including:interestreceivable | - | - | |
| Dividendsreceivable | - | - | |
| Inventories | (V).8 | 789,756,700.88 | 736,392,172.27 |
| Othercurrentassets | (V).9 | 21,461,736.14 | 60,773,457.39 |
| Totalcurrentassets | 2,813,214,816.37 | 3,008,044,600.65 | |
| Non-currentassets: | |||
| Long-termequityinvestments | (V).10 | 114,828,026.04 | 127,682,020.70 |
| Otherequityinstrumentinvestments | (V).11 | 165,402,900.00 | 145,988,900.00 |
| Investmentproperties | (V).12 | 115,993,390.19 | 125,603,207.18 |
| Fixedassets | (V).13 | 1,873,552,843.91 | 2,066,006,237.73 |
| Constructioninprogress | (V).14 | 5,814,012.03 | 31,307,060.74 |
| Right-of-useassets | (V).15 | 15,338,117.86 | 11,999,466.57 |
| Intangibleassets | (V).16 | 35,207,791.95 | 39,564,422.80 |
| Goodwill | (V).17 | - | - |
| Long-termdeferredexpenses | (V).18 | 6,084,115.87 | 3,503,660.94 |
| Deferredtaxassets | (V).19 | 58,920,511.20 | 60,605,365.42 |
| Othernon-currentassets | (V).20 | 27,793,871.91 | 29,517,420.71 |
| Totalnon-currentassets | 2,418,935,580.96 | 2,641,777,762.79 | |
| Totalassets | 5,232,150,397.33 | 5,649,822,363.44 |
ShenzhenTextile(Holdings)Co.,Ltd.
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ConsolidatedBalanceSheet-ContinuedDecember31,2024
ConsolidatedBalanceSheet-Continued
RMB
| Notes | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | |
| Currentliabilities: | |||
| Short-termborrowings | (V).22 | - | 8,000,000.00 |
| Derivativefinancialliabilities | (V).23 | 1,278,559.35 | - |
| Notespayable | (V).24 | 31,095,540.29 | 31,049,291.49 |
| Accountspayable | (V).25 | 304,812,580.55 | 408,548,136.24 |
| Advancesfromcustomers | (V).26 | 1,051,491.96 | 1,450,096.30 |
| Contractliabilities | (V).27 | 490,562.97 | 1,436,943.34 |
| Employeecompensationpayable | (V).28 | 56,685,289.92 | 56,437,162.09 |
| Taxespayable | (V).29 | 6,853,730.84 | 4,340,895.14 |
| Otherpayables | (V).30 | 160,296,989.98 | 184,528,344.55 |
| Including:interestpayable | - | - | |
| Dividendspayable | - | - | |
| Non-currentliabilitiesmaturingwithinoneyear | (V).31 | 63,347,555.03 | 108,102,752.99 |
| Othercurrentliabilities | (V).32 | 54,072,022.27 | 80,082,477.22 |
| Totalcurrentliabilities | 679,984,323.16 | 883,976,099.36 | |
| Non-currentliabilities: | |||
| Long-termborrowings | (V).33 | 162,388,870.00 | 505,578,314.56 |
| Leaseliabilities | (V).34 | 9,496,564.12 | 6,687,317.22 |
| Deferredincome | (V).35 | 96,349,196.26 | 97,485,986.89 |
| Deferredtaxliabilities | (V).19 | 48,610,809.66 | 44,177,287.45 |
| Totalnon-currentliabilities | 316,845,440.04 | 653,928,906.12 | |
| Totalliabilities | 996,829,763.20 | 1,537,905,005.48 | |
| Shareholders'equity: | |||
| Equity | (V).36 | 506,521,849.00 | 506,521,849.00 |
| Capitalreserve | (V).37 | 1,961,599,824.63 | 1,961,599,824.63 |
| Othercomprehensiveincome | (V).38 | 106,877,807.32 | 93,607,380.81 |
| Surplusreserves | (V).39 | 104,262,315.64 | 104,262,315.64 |
| Undistributedprofits | (V).40 | 272,608,113.66 | 216,160,896.14 |
| Totalequityattributabletoshareholdersoftheparentcompany | 2,951,869,910.25 | 2,882,152,266.22 | |
| Minorityinterests | 1,283,450,723.88 | 1,229,765,091.74 | |
| Totalshareholders'equity | 4,235,320,634.13 | 4,111,917,357.96 | |
| Totalliabilitiesandshareholders'equity | 5,232,150,397.33 | 5,649,822,363.44 |
Thenotesareanintegralpartofthefinancialstatements
_________________________________________________________________
PrincipalChiefFinanceOfficerChiefAccountant
ShenzhenTextile(Holdings)Co.,Ltd.
-7-
BalanceSheetoftheParentCompanyDecember31,2024
BalanceSheetoftheParentCompany
RMB
| Notes | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | |
| Currentassets: | |||
| Monetaryfunds | 13,630,974.26 | 9,125,800.27 | |
| Financialassetsheldfortrading | 731,419,904.42 | 741,243,309.42 | |
| Accountsreceivable | (XVI).1 | 13,028,987.63 | 12,671,623.65 |
| Advancestosuppliers | 99,904.79 | - | |
| Otherreceivables | (XVI).2 | 1,534,395.80 | 14,013,552.95 |
| Including:interestreceivable | - | - | |
| Dividendsreceivable | - | - | |
| Inventories | 39,835.05 | 32,814.05 | |
| Totalcurrentassets | 759,754,001.95 | 777,087,100.34 | |
| Non-currentassets: | |||
| Long-termequityinvestments | (XVI).3 | 2,040,690,006.71 | 2,087,532,810.79 |
| Otherequityinstrumentinvestments | 152,221,200.00 | 131,185,500.00 | |
| Investmentproperties | 94,773,462.23 | 102,430,682.27 | |
| Fixedassets | 2,099,585.67 | 2,522,229.44 | |
| Intangibleassets | 83,350.98 | 191,875.56 | |
| Long-termdeferredexpenses | 4,448,190.05 | - | |
| Othernon-currentassets | 25,860,862.33 | 27,823,005.45 | |
| Totalnon-currentassets | 2,320,176,657.97 | 2,351,686,103.51 | |
| Totalassets | 3,079,930,659.92 | 3,128,773,203.85 | |
| Currentliabilities: | |||
| Accountspayable | 411,743.57 | 411,743.57 | |
| Advancesfromcustomers | 540,673.07 | 540,673.07 | |
| Employeecompensationpayable | 17,955,509.70 | 15,810,919.71 | |
| Taxespayable | 5,619,509.34 | 3,115,369.56 | |
| Otherpayables | 87,029,351.12 | 106,722,393.87 | |
| Including:interestpayable | - | - | |
| Dividendspayable | - | - | |
| Totalcurrentliabilities | 111,556,786.80 | 126,601,099.78 | |
| Non-currentliabilities: | |||
| Deferredincome | 100,000.00 | 200,000.00 | |
| Deferredtaxliabilities | 34,086,313.51 | 40,855,186.12 | |
| Totalnon-currentliabilities | 34,186,313.51 | 41,055,186.12 | |
| Totalliabilities | 145,743,100.31 | 167,656,285.90 | |
| Shareholders'equity: | |||
| Equity | 506,521,849.00 | 506,521,849.00 | |
| Capitalreserve | 1,577,392,975.96 | 1,577,392,975.96 | |
| Othercomprehensiveincome | 98,116,532.32 | 83,629,830.81 | |
| Surplusreserves | 104,262,315.64 | 104,262,315.64 | |
| Undistributedprofits | 647,893,886.69 | 689,309,946.54 | |
| Totalshareholders'equity | 2,934,187,559.61 | 2,961,116,917.95 | |
| Totalliabilitiesandshareholders'equity | 3,079,930,659.92 | 3,128,773,203.85 |
Thenotesareanintegralpartofthefinancialstatements
ShenzhenTextile(Holdings)Co.,Ltd.
-8-
ConsolidatedIncomeStatementForYearEndedDecember31,2024
ConsolidatedIncomeStatement
RMB
| Notes | Amountforthecurrentyear | Amountforthepreviousyear | |
| I.Operatingrevenue | (V).41 | 3,335,283,008.68 | 3,079,678,375.45 |
| Less:operatingcosts | (V).41 | 2,795,859,934.82 | 2,561,631,844.53 |
| Taxesandsurcharges | (V).42 | 10,235,505.65 | 9,293,623.13 |
| Sellinganddistributionexpenses | (V).43 | 42,260,603.47 | 34,195,670.61 |
| G&Aexpenses | (V).44 | 134,347,821.58 | 134,371,410.53 |
| R&Dexpenses | (V).45 | 103,811,822.91 | 104,653,040.92 |
| Financialexpenses | (V).46 | 12,121,156.05 | 24,399,501.16 |
| Including:interestexpenses | 17,858,022.73 | 27,339,804.17 | |
| Interestincome | 7,272,362.76 | 12,947,471.64 | |
| Plus:otherincome | (V).47 | 41,484,107.53 | 50,740,363.91 |
| Investment(loss)income | (V).48 | (165,313.89) | 10,828,635.56 |
| Including:investmentlossesinassociatesandjointventures | (10,701,895.08) | (6,898,983.89) | |
| Gainsfromderecognitionoffinancialassetsmeasuredatamortizedcosts | - | - | |
| Gainsfromchangesinfairvalue | (V).49 | 1,134,503.45 | 2,151,780.82 |
| Creditlossgains | (V).50 | 5,100,446.66 | 4,535,775.14 |
| Assetimpairmentloss | (V).51 | (132,423,108.75) | (126,089,709.42) |
| Gainsfromdisposalofassets | - | 1.72 | |
| II.Operatingprofit | 151,776,799.20 | 153,300,132.30 | |
| Plus:non-operatingrevenue | (V).52 | 1,805,086.92 | 1,449,879.26 |
| Less:non-operatingexpenses | (V).53 | 698,017.71 | 8,205,801.51 |
| III.Totalprofit | 152,883,868.41 | 146,544,210.05 | |
| Less:incometaxexpenses | (V).54 | 9,827,102.03 | 19,407,731.47 |
| IV.Netprofit | 143,056,766.38 | 127,136,478.58 | |
| (I)Classifiedbyoperatingsustainability: | |||
| 1.Netprofitfromcontinuingoperations | 143,056,766.38 | 127,136,478.58 | |
| 2.Netprofitfromdiscontinuedoperations | - | - | |
| (II)Classifiedbyownership: | |||
| 1.Netprofitattributabletoshareholdersoftheparentcompany | 89,371,134.24 | 79,268,250.45 | |
| 2.Minorityinterests | 53,685,632.14 | 47,868,228.13 | |
| V.Netoftaxofothercomprehensiveincome | (V).38 | 13,270,426.51 | (15,870,135.10) |
| Netoftaxofothercomprehensiveincomeattributabletoshareholdersoftheparentcompany | 13,270,426.51 | (15,989,228.50) | |
| (I)Othercomprehensiveincomethatcannotbereclassifiedintoprofitorloss | 14,560,500.00 | (16,267,037.45) | |
| 1.Changesinre-measurementofdefinedbenefitplans | - | - | |
| 2.Othercomprehensiveincomethatcannotbetransferredtoprofitorlossundertheequitymethod | - | - | |
| 3.Changesinfairvalueofotherequityinstrumentinvestments | 14,560,500.00 | (16,267,037.45) | |
| 4.Changesinfairvalueoftheenterprise'sowncreditrisk | - | - | |
| (II)Othercomprehensiveincomethatwillbereclassifiedintoprofitorloss | (1,290,073.49) | 277,808.95 | |
| 1.Othercomprehensiveincomethatcanbetransferredtoprofitorlossundertheequitymethod | - | - | |
| 2.Changesinfairvalueofotherdebtinvestments | - | 178,640.10 | |
| 3.Amountoffinancialassetsreclassifiedandincludedinothercomprehensiveincome | - | - | |
| 4.Provisionforcreditimpairmentofotherdebtinvestments | - | - | |
| 5.Reservesofcashflowhedges(effectiveportionofcashflowhedgingprofitorloss) | - | - | |
| 6.Differencesarisingfromtranslationofforeign-currencyfinancialstatements | (1,290,073.49) | 99,168.85 | |
| 7.Others | - | - | |
| Netoftaxofothercomprehensiveincomeattributabletominorityshareholders | - | 119,093.40 | |
| VI.Totalcomprehensiveincome | 156,327,192.89 | 111,266,343.48 | |
| Totalcomprehensiveincomeattributabletoshareholdersoftheparentcompany | 102,641,560.75 | 63,279,021.95 | |
| Totalcomprehensiveincomeattributabletominorityshareholders | 53,685,632.14 | 47,987,321.53 | |
| VII.Earningspershare | |||
| Basicearningspershare(RMB/share) | 0.18 | 0.16 | |
| Diluteearningspershare(RMB/share) | 0.18 | 0.16 |
Thenotesareanintegralpartofthefinancialstatements
ShenzhenTextile(Holdings)Co.,Ltd.
-9-
IncomeStatementoftheParentCompanyForYearEndedDecember31,2024
IncomeStatementoftheParentCompany
RMB
| Notes | Amountforthecurrentyear | Amountforthepreviousyear | |
| I.Operatingrevenue | (XVI).4 | 77,167,496.95 | 77,822,508.75 |
| Less:operatingcosts | (XVI).4 | 10,205,157.84 | 9,822,306.53 |
| Taxesandsurcharges | 3,069,369.36 | 3,193,559.74 | |
| Sellinganddistributionexpenses | 476,938.50 | 233,086.71 | |
| G&Aexpenses | 46,124,842.97 | 46,901,768.72 | |
| Financialexpenses | (1,179,537.25) | (3,418,990.44) | |
| Including:interestexpenses | 422,950.59 | 356,264.79 | |
| Interestincome | 1,698,292.14 | 3,838,789.68 | |
| Plus:otherincome | 164,150.75 | 153,012.52 | |
| Investmentincome | (XVI).5 | 12,077,902.81 | 19,300,515.95 |
| Including:investmentlossesinassociatesandjointventures | (10,701,895.08) | (6,898,983.89) | |
| Gainsfromderecognitionoffinancialassetsmeasuredatamortizedcosts | - | - | |
| Gainsfromchangesinfairvalue | 2,413,062.80 | 2,151,780.82 | |
| Creditimpairment(loss)gains | (26,291,403.84) | 708,847.28 | |
| Assetimpairmentloss | (20,243,658.34) | - | |
| Gainsfromdisposalofassets | - | - | |
| II.Operating(loss)profit | (13,409,220.29) | 43,404,934.06 | |
| Plus:non-operatingrevenue | 1,124,656.60 | 6,431.44 | |
| Less:non-operatingexpenses | 93,185.54 | 59,123.40 | |
| III.Totalprofit(loss) | (12,377,749.23) | 43,352,242.10 | |
| Less:incometaxexpenses | (3,885,606.10) | 9,825,698.88 | |
| IV.Net(loss)profit | (8,492,143.13) | 33,526,543.22 | |
| (I)Net(loss)profitfromcontinuingoperations | (8,492,143.13) | 33,526,543.22 | |
| (II)Netprofitfromdiscontinuedoperations | - | - | |
| V.Netoftaxofothercomprehensiveincome | 14,486,701.51 | (15,225,837.94) | |
| (I)Othercomprehensiveincomethatcannotbereclassifiedintoprofitorloss | 15,776,775.00 | (15,325,006.79) | |
| 1.Changesinre-measurementofdefinedbenefitplans | - | - | |
| 2.Othercomprehensiveincomethatcannotbetransferredtoprofitorlossundertheequitymethod | - | - | |
| 3.Changesinfairvalueofotherequityinstrumentinvestments | 15,776,775.00 | (15,325,006.79) | |
| 4.Changesinfairvalueoftheenterprise'sowncreditrisk | - | - | |
| 5.Others | - | - | |
| (II)Othercomprehensiveincomethatwillbereclassifiedintoprofitorloss | (1,290,073.49) | 99,168.85 | |
| 1.Othercomprehensiveincomethatcanbetransferredtoprofitorlossundertheequitymethod | - | - | |
| 2.Changesinfairvalueofotherdebtinvestments | - | - | |
| 3.Amountoffinancialassetsreclassifiedandincludedinothercomprehensiveincome | - | - | |
| 4.Provisionforcreditimpairmentofotherdebtinvestments | - | - | |
| 5.Reservesofcashflowhedges(effectiveportionofcashflowhedgingprofitorloss) | - | - | |
| 6.Differencesarisingfromtranslationofforeign-currencyfinancialstatements | (1,290,073.49) | 99,168.85 | |
| 7.Others | - | - | |
| VI.Totalcomprehensive(loss)income | 5,994,558.38 | 18,300,705.28 |
Thenotesareanintegralpartofthefinancialstatements
ShenzhenTextile(Holdings)Co.,Ltd.
-10-
ConsolidatedStatementofCashFlowsForYearEndedDecember31,2024
ConsolidatedStatementofCashFlows
RMB
| Notes | Amountforthecurrentyear | Amountforthepreviousyear | |
| I.Cashflowsfromoperatingactivities: | |||
| Cashreceivedfromsaleofgoodsandrenderingofservices | 3,390,788,584.83 | 2,985,794,229.99 | |
| Refundsoftaxesandsurchargesreceived | 21,049,133.80 | 5,073,509.20 | |
| Othercashreceivedrelatedtooperatingactivities | (V).55(1) | 87,008,969.95 | 87,277,323.90 |
| Sub-totalofcashinflowsfromoperatingactivities | 3,498,846,688.58 | 3,078,145,063.09 | |
| Cashpaidforpurchaseofgoodsandreceiptofservices | 2,842,864,632.73 | 2,466,252,261.73 | |
| Cashpaidtoandonbehalfofemployees | 238,890,310.33 | 255,045,680.87 | |
| Cashpaidfortaxesandsurcharges | 32,071,014.09 | 54,636,406.53 | |
| Othercashpaidrelatedtooperatingactivities | (V).55(1) | 153,756,206.34 | 117,443,974.16 |
| Sub-totalofcashoutflowsfromoperatingactivities | 3,267,582,163.49 | 2,893,378,323.29 | |
| Netcashflowsfromoperatingactivities | (V).56(1) | 231,264,525.09 | 184,766,739.80 |
| II.Cashflowsfrominvestingactivities: | |||
| Cashreceivedfromrecoveryofinvestment | 1,349,489.37 | - | |
| Cashreceivedfrominvestmentincome | 11,747,113.36 | 13,769,440.75 | |
| Netcashreceivedfromdisposaloffixedassets,intangibleassets,andotherlong-termassets | (18.74) | 11,634.84 | |
| Netcashreceivedfromdisposalofsubsidiariesandotherbusinessunits | - | - | |
| Othercashreceivedrelatedtoinvestingactivities | (V).55(2) | 1,697,000,000.00 | 1,454,000,000.00 |
| Sub-totalofcashinflowsfrominvestingactivities | 1,710,096,583.99 | 1,467,781,075.59 | |
| Cashpaidforthepurchaseoffixedassets,intangibleassets,andotherlong-termassets | 29,441,167.62 | 64,069,967.97 | |
| Cashpaidforinvestments | - | - | |
| Netcashpaidtoacquiresubsidiariesandotherbusinessunits | - | - | |
| Othercashpaidrelatedtoinvestingactivities | (V).55(2) | 1,605,454,000.00 | 1,840,500,000.00 |
| Sub-totalofcashoutflowsfrominvestingactivities | 1,634,895,167.62 | 1,904,569,967.97 | |
| Netcashflowsfromtheinvestingactivities | 75,201,416.37 | (436,788,892.38) | |
| III.Cashflowsfromfinancingactivities: | |||
| Cashreceivedfromabsorptionofinvestments | - | - | |
| Including:cashreceivedbysubsidiariesfromabsorptionofinvestmentsofminorityshareholders | - | - | |
| Cashreceivedfromacquisitionofborrowings | - | 8,000,000.00 | |
| Othercashreceivedrelatedtofinancingactivities | - | - | |
| Sub-totalofcashinflowsfromfinancingactivities | - | 8,000,000.00 | |
| Cashpaidfordebtrepayments | 406,216,304.56 | 103,387,387.94 | |
| Cashpaidfordistributionofdividendsandprofitsorpaymentofinterests | 50,633,653.38 | 57,324,944.21 | |
| Including:dividendsandprofitspaidtominorityshareholdersbysubsidiaries | - | - | |
| Othercashpaidrelatedtofinancingactivities | (V).55(3) | 9,508,462.57 | 8,776,024.71 |
| Sub-totalofcashoutflowsfromfinancingactivities | 466,358,420.51 | 169,488,356.86 | |
| Netcashflowsfromfinancingactivities | (466,358,420.51) | (161,488,356.86) | |
| IV.Effectoffluctuationinexchangerateoncashandcashequivalents | 556,861.07 | 456,132.31 | |
| V.Netincrease(decrease)incashandcashequivalents | (V).56(1) | (159,335,617.98) | (413,054,377.13) |
| Plus:balanceofcashandcashequivalentsatthebeginningoftheyear | (V).56(2) | 461,420,457.33 | 874,474,834.46 |
| VI.Balanceofcashandcashequivalentsattheendoftheyear | (V).56(2) | 302,084,839.35 | 461,420,457.33 |
Thenotesareanintegralpartofthefinancialstatements
ShenzhenTextile(Holdings)Co.,Ltd.
-11-
StatementofCashFlowsoftheParentCompanyForYearEndedDecember31,2024
StatementofCashFlowsoftheParentCompany
RMB
| Notes | Amountforthecurrentyear | Amountforthepreviousyear | |
| I.Cashflowsfromoperatingactivities: | |||
| Cashreceivedfromsaleofgoodsandrenderingofservices | 80,553,754.68 | 79,719,541.58 | |
| Refundsoftaxesandsurchargesreceived | - | - | |
| Othercashreceivedrelatedtooperatingactivities | 7,902,075.25 | 20,183,240.81 | |
| Sub-totalofcashinflowsfromoperatingactivities | 88,455,829.93 | 99,902,782.39 | |
| Cashpaidforpurchaseofgoodsandreceiptofservices | 2,842,492.81 | 3,005,590.09 | |
| Cashpaidtoandonbehalfofemployees | 35,045,305.67 | 38,735,139.38 | |
| Cashpaidfortaxesandsurcharges | 13,926,380.37 | 19,540,659.95 | |
| Othercashpaidrelatedtooperatingactivities | 15,727,708.36 | 18,940,923.33 | |
| Sub-totalofcashoutflowsfromoperatingactivities | 67,541,887.21 | 80,222,312.75 | |
| Netcashflowsfromoperatingactivities | 20,913,942.72 | 19,680,469.64 | |
| II.Cashflowsfrominvestingactivities: | |||
| Cashreceivedfromrecoveryofinvestment | 1,554,056.96 | - | |
| Cashreceivedfrominvestmentincome | 7,790,814.29 | 12,954,592.48 | |
| Netcashreceivedfromdisposaloffixedassets,intangibleassets,andotherlong-termassets | - | - | |
| Netcashreceivedfromdisposalofsubsidiariesandotherbusinessunits | - | - | |
| Othercashreceivedrelatedtoinvestingactivities | 1,373,585,151.73 | 1,250,200,000.00 | |
| Sub-totalofcashinflowsfrominvestingactivities | 1,382,930,022.98 | 1,263,154,592.48 | |
| Cashpaidforthepurchaseoffixedassets,intangibleassets,andotherlong-termassets | 2,993,281.20 | 2,784,786.15 | |
| Cashpaidforinvestments | - | - | |
| Netcashpaidtoacquiresubsidiariesandotherbusinessunits | - | - | |
| Othercashpaidrelatedtoinvestingactivities | 1,363,000,000.00 | 1,550,500,000.00 | |
| Sub-totalofcashoutflowsfrominvestingactivities | 1,365,993,281.20 | 1,553,284,786.15 | |
| Netcashflowsfromtheinvestingactivities | 16,936,741.78 | (290,130,193.67) | |
| III.Cashflowsfromfinancingactivities: | |||
| Cashreceivedfromabsorptionofinvestments | - | - | |
| Cashreceivedfromacquisitionofborrowings | - | - | |
| Othercashreceivedrelatedtofinancingactivities | - | - | |
| Sub-totalofcashinflowsfromfinancingactivities | - | - | |
| Cashpaidfordebtrepayments | - | - | |
| Cashpaidfordistributionofdividendsandprofitsorpaymentofinterests | 33,346,867.31 | 30,747,575.73 | |
| Othercashpaidrelatedtofinancingactivities | - | - | |
| Sub-totalofcashoutflowsfromfinancingactivities | 33,346,867.31 | 30,747,575.73 | |
| Netcashflowsfromfinancingactivities | (33,346,867.31) | (30,747,575.73) | |
| IV.Effectoffluctuationinexchangerateoncashandcashequivalents | 1,356.80 | 571.84 | |
| V.Netincrease(decrease)incashandcashequivalents | 4,505,173.99 | (301,196,727.92) | |
| Plus:balanceofcashandcashequivalentsatthebeginningoftheyear | 9,125,800.27 | 310,322,528.19 | |
| VI.Balanceofcashandcashequivalentsattheendoftheyear | 13,630,974.26 | 9,125,800.27 |
Thenotesareanintegralpartofthefinancialstatements
ShenzhenTextile(Holdings)Co.,Ltd.ConsolidatedStatementofChangesinShareholders'EquityForYearEndedDecember31,2024
ConsolidatedStatementofChangesinShareholders'Equity
RMB
| Item | Amountforthecurrentyear | ||||||
| Equityattributabletoshareholdersoftheparentcompany | Minorityinterests | Totalshareholders'equity | |||||
| Equity | Capitalreserve | Othercomprehensiveincome | Surplusreserves | Undistributedprofits | |||
| I.Balanceasattheendofthepreviousyear | 506,521,849.00 | 1,961,599,824.63 | 93,607,380.81 | 104,262,315.64 | 216,160,896.14 | 1,229,765,091.74 | 4,111,917,357.96 |
| Plus:changesinaccountingpolicies | - | - | - | - | - | - | - |
| Correctionofpriorperioderrors | - | - | - | - | - | - | - |
| Businesscombinationundercommoncontrol | - | - | - | - | - | - | - |
| Others | - | - | - | - | - | - | - |
| II.Balanceatthebeginningofthecurrentyear | 506,521,849.00 | 1,961,599,824.63 | 93,607,380.81 | 104,262,315.64 | 216,160,896.14 | 1,229,765,091.74 | 4,111,917,357.96 |
| III.Increase/decreaseinthecurrentyear | - | - | 13,270,426.51 | - | 56,447,217.52 | 53,685,632.14 | 123,403,276.17 |
| (I)Totalcomprehensiveincome | - | - | 13,270,426.51 | - | 89,371,134.24 | 53,685,632.14 | 156,327,192.89 |
| (II)Capitalcontributedorreducedbyshareholders | - | - | - | - | - | - | - |
| 1.Ordinarysharesinvestedbyshareholders | - | - | - | - | - | - | - |
| 2.Amountofshare-basedpaymentsincludedinshareholders'equity | - | - | - | - | - | - | - |
| 3.Others | - | - | - | - | - | - | - |
| (III)Profitdistribution | - | - | - | - | (32,923,916.72) | - | (32,923,916.72) |
| 1.Withdrawalofsurplusreserves | - | - | - | - | - | - | - |
| 2.Profitsdistributedtoshareholders | - | - | - | - | (32,923,916.72) | - | (32,923,916.72) |
| 3.Others | - | - | - | - | - | - | - |
| (IV)Internaltransferofshareholders'equity | - | - | - | - | - | - | - |
| 1.Conversionofcapitalreserveintosharecapital | - | - | - | - | - | - | - |
| 2.Conversionofsurplusreserveintosharecapital | - | - | - | - | - | - | - |
| 3.Surplusreservesoffsettinglosses | - | - | - | - | - | - | - |
| 4.Transferofothercomprehensiveincomeintoretainedearnings | - | - | - | - | - | - | - |
| 5.Others | - | - | - | - | - | - | - |
| (V)Specialreserves | - | - | - | - | - | - | - |
| 1.Withdrawalinthecurrentyear | - | - | - | - | - | - | - |
| 2.Useinthecurrentyear | - | - | - | - | - | - | - |
| (VI)Others | - | - | - | - | - | - | - |
| IV.Balanceasattheendofthecurrentyear | 506,521,849.00 | 1,961,599,824.63 | 106,877,807.32 | 104,262,315.64 | 272,608,113.66 | 1,283,450,723.88 | 4,235,320,634.13 |
ShenzhenTextile(Holdings)Co.,Ltd.
-13-
ConsolidatedStatementofChangesinShareholders'Equity-ContinuedForYearEndedDecember31,2024
ConsolidatedStatementofChangesinShareholders'Equity-Continued
RMB
| Item | Amountforthepreviousyear | ||||||
| Equityattributabletoshareholdersoftheparentcompany | Minorityinterests | Totalshareholders'equity | |||||
| Equity | Capitalreserve | Othercomprehensiveincome | Surplusreserves | Undistributedprofits | |||
| I.Balanceasattheendofthepreviousyear | 506,521,849.00 | 1,961,599,824.63 | 109,596,609.31 | 100,909,661.32 | 170,636,610.95 | 1,181,777,770.21 | 4,031,042,325.42 |
| Plus:changesinaccountingpolicies | - | - | - | - | - | - | - |
| Correctionofpriorperioderrors | - | - | - | - | - | - | - |
| Businesscombinationundercommoncontrol | - | - | - | - | - | - | - |
| Others | - | - | - | - | - | - | - |
| II.Balanceatthebeginningofthecurrentyear | 506,521,849.00 | 1,961,599,824.63 | 109,596,609.31 | 100,909,661.32 | 170,636,610.95 | 1,181,777,770.21 | 4,031,042,325.42 |
| III.Increase/decreaseinthecurrentyear | - | - | (15,989,228.50) | 3,352,654.32 | 45,524,285.19 | 47,987,321.53 | 80,875,032.54 |
| (I)Totalcomprehensiveincome | - | - | (15,989,228.50) | - | 79,268,250.45 | 47,987,321.53 | 111,266,343.48 |
| (II)Capitalcontributedorreducedbyshareholders | - | - | - | - | - | - | - |
| 1.Ordinarysharesinvestedbyshareholders | - | - | - | - | - | - | - |
| 2.Amountofshare-basedpaymentsincludedinshareholders'equity | - | - | - | - | - | - | - |
| 3.Others | - | - | - | - | - | - | - |
| (III)Profitdistribution | - | - | - | 3,352,654.32 | (33,743,965.26) | - | (30,391,310.94) |
| 1.Withdrawalofsurplusreserves | - | - | - | 3,352,654.32 | (3,352,654.32) | - | - |
| 2.Profitsdistributedtoshareholders | - | - | - | - | (30,391,310.94) | - | (30,391,310.94) |
| 3.Others | - | - | - | - | - | - | - |
| (IV)Internaltransferofshareholders'equity | - | - | - | - | - | - | - |
| 1.Conversionofcapitalreserveintosharecapital | - | - | - | - | - | - | - |
| 2.Conversionofsurplusreserveintosharecapital | - | - | - | - | - | - | - |
| 3.Surplusreservesoffsettinglosses | - | - | - | - | - | - | - |
| 4.Transferofothercomprehensiveincomeintoretainedearnings | - | - | - | - | - | - | - |
| 5.Others | - | - | - | - | - | - | - |
| (V)Specialreserves | - | - | - | - | - | - | - |
| 1.Withdrawalinthecurrentyear | - | - | - | - | - | - | - |
| 2.Useinthecurrentyear | - | - | - | - | - | - | - |
| (VI)Others | - | - | - | - | - | - | - |
| IV.Balanceasattheendofthecurrentyear | 506,521,849.00 | 1,961,599,824.63 | 93,607,380.81 | 104,262,315.64 | 216,160,896.14 | 1,229,765,091.74 | 4,111,917,357.96 |
Thenotesareanintegralpartofthefinancialstatements
ShenzhenTextile(Holdings)Co.,Ltd.
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StatementofChangesinShareholders'EquityoftheParentCompanyForYearEndedDecember31,2024
StatementofChangesinShareholders'EquityoftheParentCompany
RMB
| Item | Amountforthecurrentyear | |||||
| Equity | Capitalreserve | Othercomprehensiveincome | Surplusreserves | Undistributedprofits | Totalshareholders'equity | |
| I.Balanceasattheendofthepreviousyear | 506,521,849.00 | 1,577,392,975.96 | 83,629,830.81 | 104,262,315.64 | 689,309,946.54 | 2,961,116,917.95 |
| Plus:changesinaccountingpolicies | - | - | - | - | - | - |
| Correctionofpriorperioderrors | - | - | - | - | - | - |
| Others | - | - | - | - | - | - |
| II.Balanceatthebeginningofthecurrentyear | 506,521,849.00 | 1,577,392,975.96 | 83,629,830.81 | 104,262,315.64 | 689,309,946.54 | 2,961,116,917.95 |
| III.Increase/decreaseinthecurrentyear | - | - | 14,486,701.51 | - | (41,416,059.85) | (26,929,358.34) |
| (I)Totalcomprehensiveincome | - | - | 14,486,701.51 | - | (8,492,143.13) | 5,994,558.38 |
| (II)Capitalcontributedorreducedbyshareholders | - | - | - | - | - | - |
| 1.Ordinarysharesinvestedbyshareholders | - | - | - | - | - | - |
| 2.Amountofshare-basedpaymentsincludedinshareholders'equity | - | - | - | - | - | - |
| 3.Others | - | - | - | - | - | - |
| (III)Profitdistribution | - | - | - | - | (32,923,916.72) | (32,923,916.72) |
| 1.Withdrawalofsurplusreserves | - | - | - | - | - | - |
| 2.Profitsdistributedtoshareholders | - | - | - | - | (32,923,916.72) | (32,923,916.72) |
| 3.Others | - | - | - | - | - | - |
| (IV)Internaltransferofshareholders'equity | - | - | - | - | - | - |
| 1.Conversionofcapitalreserveintosharecapital | - | - | - | - | - | - |
| 2.Conversionofsurplusreserveintosharecapital | - | - | - | - | - | - |
| 3.Surplusreservesoffsettinglosses | - | - | - | - | - | - |
| 4.Transferofothercomprehensiveincomeintoretainedearnings | - | - | - | - | - | - |
| 5.Others | - | - | - | - | - | - |
| (V)Specialreserves | - | - | - | - | - | - |
| 1.Withdrawalinthecurrentyear | - | - | - | - | - | - |
| 2.Useinthecurrentyear | - | - | - | - | - | - |
| (VI)Others | - | - | - | - | - | - |
| IV.Balanceasattheendofthecurrentyear | 506,521,849.00 | 1,577,392,975.96 | 98,116,532.32 | 104,262,315.64 | 647,893,886.69 | 2,934,187,559.61 |
ShenzhenTextile(Holdings)Co.,Ltd.
-15-
StatementofChangesinShareholders'EquityoftheParentCompany-ContinuedForYearEndedDecember31,2024
StatementofChangesinShareholders'EquityoftheParentCompany-Continued
RMB
| Item | Amountforthepreviousyear | |||||
| Equity | Capitalreserve | Othercomprehensiveincome | Surplusreserves | Undistributedprofits | Totalshareholders'equity | |
| I.Balanceasattheendofthepreviousyear | 506,521,849.00 | 1,577,392,975.96 | 98,855,668.75 | 100,909,661.32 | 689,527,368.58 | 2,973,207,523.61 |
| Plus:changesinaccountingpolicies | - | - | - | - | - | - |
| Correctionofpriorperioderrors | - | - | - | - | - | - |
| Others | - | - | - | - | - | - |
| II.Balanceatthebeginningofthecurrentyear | 506,521,849.00 | 1,577,392,975.96 | 98,855,668.75 | 100,909,661.32 | 689,527,368.58 | 2,973,207,523.61 |
| III.Increase/decreaseinthecurrentyear | - | - | (15,225,837.94) | 3,352,654.32 | (217,422.04) | (12,090,605.66) |
| (I)Totalcomprehensiveincome | - | - | (15,225,837.94) | - | 33,526,543.22 | 18,300,705.28 |
| (II)Capitalcontributedorreducedbyshareholders | - | - | - | - | - | - |
| 1.Ordinarysharesinvestedbyshareholders | - | - | - | - | - | - |
| 2.Amountofshare-basedpaymentsincludedinshareholders'equity | - | - | - | - | - | - |
| 3.Others | - | - | - | - | - | - |
| (III)Profitdistribution | - | - | - | 3,352,654.32 | (33,743,965.26) | (30,391,310.94) |
| 1.Withdrawalofsurplusreserves | - | - | - | 3,352,654.32 | (3,352,654.32) | - |
| 2.Profitsdistributedtoshareholders | - | - | - | - | (30,391,310.94) | (30,391,310.94) |
| 3.Others | - | - | - | - | - | - |
| (IV)Internaltransferofshareholders'equity | - | - | - | - | - | - |
| 1.Conversionofcapitalreserveintosharecapital | - | - | - | - | - | - |
| 2.Conversionofsurplusreserveintosharecapital | - | - | - | - | - | - |
| 3.Surplusreservesoffsettinglosses | - | - | - | - | - | - |
| 4.Transferofothercomprehensiveincomeintoretainedearnings | - | - | - | - | - | - |
| 5.Others | - | - | - | - | - | - |
| (V)Specialreserves | - | - | - | - | - | - |
| 1.Withdrawalinthecurrentyear | - | - | - | - | - | - |
| 2.Useinthecurrentyear | - | - | - | - | - | - |
| (VI)Others | - | - | - | - | - | - |
| IV.Balanceasattheendofthecurrentyear | 506,521,849.00 | 1,577,392,975.96 | 83,629,830.81 | 104,262,315.64 | 689,309,946.54 | 2,961,116,917.95 |
Thenotesareanintegralpartofthefinancialstatements
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（I）BasicinformationoftheCompany
1.CompanyprofileShenzhenTextile(Holdings)Co.,Ltd.(hereinafterreferredtoas"theCompany")isajointstocklimitedcompanyregisteredinGuangdongProvince.TheCompanywaslistedonShenzhenStockExchangeinAugust1994.TheCompanyhaspubliclyissuedRMBordinaryshares(Ashares)anddomesticallylistedforeignshares(Bshares)tothedomesticandforeignpublicrespectively,andlistedfortrading.HeadquarteredinShenzhen,GuangdongProvince,theCompanyanditssubsidiaries(hereinafterreferredtoas"theGroup")areprincipallyengagedintheresearchanddevelopment,productionandmarketingofpolarizersforliquidcrystaldisplays,aswellaspropertymanagementandtextileandapparelbusinesses,whicharemainlylocatedintheprosperouscommercialareaofShenzhen.
2.ApprovaldateoffinancialstatementsTheconsolidatedandparentcompany'sfinancialstatementsoftheCompanywereapprovedbytheBoardofDirectorsonMarch26,2025.（II）Basisforpreparationofthefinancialstatements
1.BasisforpreparationTheGroupimplementstheAccountingStandardsforBusinessEnterprisesandrelatedprovisionsissuedbytheMinistryofFinance.Inaddition,theGroupalsodisclosesrelevantfinancialinformationinaccordancewiththeRulesfortheCompilationandReportingofInformationDisclosurebyCompaniesIssuingSecuritiestothePublicNo.15-GeneralProvisionsonFinancialReports(Revisedin2023).
2.GoingconcernTheGrouphasevaluateditsgoing-concernabilityfor12monthsfromDecember31,2024andhasnotfoundanymattersorcircumstancesthatcastsignificantdoubtonthegoing-concernability.Therefore,thefinancialstatementshavebeenpreparedonthegoingconcernbasis.
3.AccountingbasisandvaluationprincipleTheaccountingoftheGroupisbasedontheaccrualbasis.Exceptforcertainfinancialinstrumentsmeasuredatfairvalue,thefinancialstatementsaremeasuredathistoricalcost.Intheeventofanyassetimpairment,aprovisionforimpairmentwillbemadeinaccordancewithrelevantprovisions.Underthehistoricalcostmeasurement,assetsaremeasuredattheamountofcashorcashequivalentspaidorthefairvalueoftheconsiderationpaidatthetimeofacquisition.Liabilitiesaremeasuredattheamountofmoneyorassetsactuallyreceivedforassumingcurrentobligations,orthecontractamountofassumingcurrentobligations,ortheamountofcashorcashequivalentsexpectedtobepaidtorepayliabilitiesindailyactivities.Fairvalueisthepricereceivedfromthesaleofanassetorpaidforthetransferofaliabilitybyamarketparticipantinanorderlytransactionoccurringonthemeasurementdate.Regardlessofwhetherthefairvalueisobservableorestimatedbyusingvaluationtechniques,thefairvaluemeasuredanddisclosedinthesefinancialstatementsisdeterminedonthisbasis.
ShenzhenTextile(Holdings)Co.,Ltd.
NotestothefinancialstatementsYearendedDecember31,2024
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(II)Basisforpreparationoffinancialstatements-continued
3.Accountingbasisandvaluationprinciple-continuedForfinancialassetswherethetransactionpriceistakenasthefairvalueatinitialrecognitionandvaluationtechniquesinvolvingunobservableinputvalueareusedinthesubsequentmeasurementoffairvalue,thevaluationtechniquesarecorrectedduringthevaluationprocesstomaketheinitialrecognitionresultdeterminedbythevaluationtechniquesequaltothetransactionprice.Thefairvaluemeasurementisdividedintothreelevelsbasedontheobservabilityoftheinputvalueofthefairvalueandtheimportanceofsuchinputvaluetothefairvaluemeasurementasawhole:
?Level1inputvalueistheunadjustedquotedpriceinactivemarketsforidenticalassetsorliabilitiesthatareavailableonthemeasurementdate.?Level2inputvalueisthedirectlyorindirectlyobservableinputvalueoftherelevantassetsorliabilitiesexceptforthelevel1inputvalue.?Level3inputvalueistheunobservableinputvalueoftherelevantassetsorliabilities.（III）Significantaccountingpoliciesandaccountingestimates
1.StatementincompliancewiththeAccountingStandardsforBusinessEnterprisesThefinancialstatementspreparedbytheCompanymeettherequirementsoftheAccountingStandardsforBusinessEnterprises,andtrulyandcompletelyreflecttheCompany'sconsolidatedandparentcompany'sfinancialpositionasatDecember31,2024,andtheconsolidatedandparentcompany'soperatingresults,changesinconsolidatedandparentcompany'sshareholders'equityandconsolidatedandparentcompany'scashflowsfortheyearthenended.
2.AccountingperiodTheCompanyadoptstheGregoriancalendaryearforitsaccountingyear,thatis,fromJanuary1toDecember31ofeachyear.
3.OperatingcycleOperatingcyclereferstotheperiodfromthepurchaseofassetsforprocessingtotherealizationofcashorcashequivalentsbytheenterprise.TheoperatingcycleoftheCompanyis12months.
4.RecordingcurrencyRMBisthecurrencyinthemaineconomicenvironmentinwhichtheCompanyanditsdomesticsubsidiariesoperate.TheCompanyanditsdomesticsubsidiariesadoptRMBastherecordingcurrency.TheCompany'soverseassubsidiariesdetermineRMBastheirrecordingcurrencybasedonthecurrencyinthemaineconomicenvironmentinwhichtheyoperate.ThecurrencyusedbytheCompanyinpreparingthesefinancialstatementsisRMB.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
5.Importancecriteriadeterminationmethodandselectionbasis
| Item | Importancecriteria |
| Significantaccountsreceivablewiththeprovisionforbaddebtsmadeonanindividualbasis | Theindividualbookbalanceaccountsformorethan0.5%ofthetotalassets |
| Recoveryorreversalamountofprovisionforbaddebtsofsignificantaccountsreceivable | Theindividualrecoveryorreversalamountaccountsformorethan10%ofthetotalamountofprovisionforbaddebtsrecoveryorreversalofthecorrespondingaccountsreceivableandtheamountexceedsRMB10million |
| Advancestosupplierswithagingover1yearandofsignificantamount | Individualamountaccountsformorethan0.5%oftotalassets |
| Importantaccountspayable,advancesfromcustomers,contractliabilitiesandotherpayableswithagingover1year | Individualamountaccountsformorethan0.5%oftotalassets |
| Othercashreceivedrelatedtosignificantinvestingactivities | TheamountexceedsRMB50million |
| Othercashpaidrelatedtosignificantinvestingactivities | TheamountexceedsRMB50million |
| Majornon-wholly-ownedsubsidiaries | Thetotalassets,totalrevenueortotalprofitofthenon-wholly-ownedsubsidiaryaccountformorethan10%oftheamountofthecorrespondingitemsintheconsolidatedfinancialstatementsoftheGroup |
| Significantjointventuresorassociates | Thebookvalueofthelong-termequityinvestmentsoftheenterpriseattheendoftheyearaccountsformorethan5%ofthenetassetsoftheconsolidatedfinancialstatementsoftheGroup |
6.AccountingtreatmentmethodofbusinesscombinationundercommoncontrolandnotundercommoncontrolBusinesscombinationsarecategorizedintothoseundercommoncontrolandthosenotundercommoncontrol.
6.1BusinesscombinationsundercommoncontrolIf,beforeandafterthebusinesscombination,allpartiesinvolvedareultimatelycontrolledbythesamepartyorthesamegroupofpartiesandsuchcontrolisnottemporary,thecombinationisconsideredundercommoncontrol.Theassetsandliabilitiesobtainedinthebusinesscombinationaremeasuredattheirbookvalueasrecordedintheconsolidatedfinancialstatementsoftheultimatecontrolleronthecombinationdate.Anydifferencebetweenthebookvalueofthenetassetsacquiredbythecombiningpartyandthebookvalueoftheconsiderationpaidisadjustedagainstthesharepremiumincapitalreserve.Iftheequitypremiumisinsufficient,thedifferenceisadjustedagainstretainedearnings.Alldirectexpensesincurredforthepurposeofthebusinesscombinationarerecognizedincurrentprofitorlossastheyoccur.
6.2BusinesscombinationsnotundercommoncontrolandgoodwillWhentheentitiesinvolvedinthecombinationarenotundertheultimatecontrolofthesamepartyorthesamegroupofpartiesbeforeandafterthecombination,itisconsideredabusinesscombinationnotundercommoncontrol.Thecombinationcostreferstothefairvalueoftheassetspaid,theliabilitiesincurredorassumed,andtheequityinstrumentsissuedbytheacquirertoobtaintherightofcontroloftheacquiree.Anyintermediaryfeesforbusinesscombination,includingbutnotlimitedtoaudit,legal,andvaluationconsultingservices,andotherrelatedG&Aexpensesincurredbytheacquirerarechargedtocurrentprofitorlossastheyarise.Anyidentifiableassets,liabilities,andcontingentliabilitiesoftheacquireethatmeettherecognitioncriteriaandareobtainedbytheacquirerinthecombinationaremeasuredatfairvalueontheacquisitiondate.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
6.Accountingtreatmentsforbusinesscombinationundercommoncontrolandnotundercommoncontrol-continued
6.2Businesscombinationnotundercommoncontrolandgoodwill-continuedIfthecombinationcostexceedstheacquiree'sfairvalueshareofnetidentifiableassetsobtained,thisdifferenceisrecognizedasgoodwillandinitiallymeasuredatcost.Ifthecombinationcostislessthantheacquiree'sfairvalueshareofnetidentifiableassetsobtained,theacquirershallfirstreassessthefairvaluesofallidentifiableassets,liabilities,andcontingentliabilitiesoftheacquiree,aswellasthemeasurementofthecombinationcost.Afterreassessment,ifthecombinationcostisstilllessthanacquiree'sfairvalueshareofnetidentifiableassetsobtained,thedifferenceisincludedincurrentprofitorloss.Goodwillarisingfromabusinesscombinationispresentedseparatelyintheconsolidatedfinancialstatementsandismeasuredatcostlessanyaccumulatedprovisionforimpairment.
7.Criteriafordeterminingcontrolandmethodsofpreparingconsolidatedfinancialstatements
7.1CriteriafordeterminingcontrolControlmeansthataninvestorhaspowerovertheinvestee,derivesvariablereturnsbyparticipatingintheinvestee'srelevantactivities,andcanusethatpowertoaffecttheamountofreturns.Wheneverchangesinrelevantfactsandcircumstancesalteranyelementofthisdefinitionofcontrol,theGroupwillreassessthesituation.
7.2MethodsofpreparingconsolidatedfinancialstatementsTheconsolidationscopeintheconsolidatedfinancialstatementsisdeterminedonthebasisofcontrol.AsubsidiaryisconsolidatedfromthedatetheGroupobtainstherightofcontroloverituntilthedatesuchrightislost.ForsubsidiariesthattheGroupdisposesof,operatingresultsandcashflowspriortothedisposaldate(thedatewhenthelossofcontroloccurs)areappropriatelyincludedintheconsolidatedincomestatementandconsolidatedcashflowstatement.Forsubsidiariesacquiredinabusinesscombinationnotundercommoncontrol,theiroperatingresultsandcashflowsfromtheacquisitiondate(thedatewhentherightofcontrolisobtained)areappropriatelyincludedintheconsolidatedincomestatementandconsolidatedcashflowstatement.Forsubsidiariesacquiredinabusinesscombinationundercommoncontrol,regardlessofthepointintimeduringthereportingperiodatwhichthecombinationtakesplace,thesubsidiaryisdeemedtohavebeenundertheGroup'sconsolidationscopefromthedateitcameundertheultimatecontroller.Itsoperatingresultsandcashflowsfromtheearliestbeginningdateofthereportingperiodareappropriatelyincludedintheconsolidatedincomestatementandconsolidatedcashflowstatement.TheprimaryaccountingpoliciesandreportingperiodsadoptedbythesubsidiariesaredeterminedinaccordancewiththeuniformaccountingpoliciesandreportingperiodssetbytheCompany.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
7.Judgmentcriteriaforcontrolmeasuresandpreparationoftheconsolidatedfinancialstatements-continued
7.2Methodsofpreparingconsolidatedfinancialstatements-continuedAnyeffectsontheconsolidatedfinancialstatementsfromintercompanytransactionsbetweentheCompanyanditssubsidiaries,oramongthesubsidiariesthemselves,areeliminateduponconsolidation.Anyportionofthesubsidiary'sowners'equitynotattributabletotheparentcompanyisrecognizedasnon-controllinginterestsandpresentedunder"MinorityInterests"intheshareholders'equitysectionoftheconsolidatedbalancesheet.Theshareofthesubsidiary'scurrentnetprofitorlossattributabletotheseminorityinterestsispresentedintheconsolidatedincomestatementunderthenetprofititemas"minorityinterestincome".Ifthelossesbornebyminorityshareholdersexceedtheshareofowners'equitytheyholdatthebeginningofthesubsidiary'speriod,theexcesscontinuestobedeductedfromtheminorityinterests.Transactionsinvolvingthepurchaseofasubsidiary'sminorityinterestsorthepartialdisposalofasubsidiary'sequityinvestmentswithoutlosingtherightofcontrolareaccountedforasequitytransactions.Thebookvalueoftheparentcompany'sowners'equityandtheminorityinterestsareadjustedtoreflectthechangesintheirrespectiveownershipinthesubsidiary.Anydifferencebetweentheadjustmenttominorityinterestsandthefairvalueoftheconsiderationpaidorreceivedisadjustedagainstthecapitalreserve.Ifthecapitalreserveisinsufficient,thedifferenceisadjustedagainstretainedearnings.
8.JointventurearrangementsJointventurearrangementsareclassifiedaseitherjointoperationsorjointventures,basedontherightsandobligationsoftheparties—determinedbyfactorssuchasthearrangement'sstructure,legalform,andcontractualterms.Ajointoperationisajointarrangementinwhichthepartieshaverightstotherelatedassetsandobligationsfortherelatedliabilities.Ajointoperationreferstothosejointventurearrangementsunderwhichthejointventureisentitledtorelevantassetsandberesponsibleforrelevantliabilities.Ajointventureisajointventurearrangementinwhichthepartiesareentitledonlytothearrangement'snetassets.TheGroupaccountsforinvestmentsinjointventuresusingtheequitymethod.Forfurtherdetails,refertoNote(III),Section17.3.2,"Long-termequityinvestmentsaccountedforundertheequitymethod."
9.RecognitionofcashandcashequivalentsCashreferstocashonhandanddepositsreadilyavailableforpayment.Cashequivalentsrefertoshort-term(generallymaturingwithinthreemonthsfromthepurchasedate),highlyliquidinvestmentsheldbytheGroupthatareeasilyconvertibleintoknownamountsofcashandsubjecttoaninsignificantriskofvaluechanges.
10.Translationofforeigncurrencytransactionsandfinancialstatementsdenominatedinforeigncurrency
10.1ForeigncurrencytransactionsForeigncurrencytransactionsareinitiallyrecognizedusinganexchangerateapproximatingthespotexchangerateonthetransactiondate,determinedbyareasonablesystematicmethod.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
10.Foreigncurrencytransactionsandtranslationofforeigncurrencystatements-continued
10.1Foreigncurrencytransactions-continuedAteachbalancesheetdate,foreigncurrencymonetaryitemsaretranslatedintoRMBatthespotrateonthatdate.Anyexchangedifferencesarisingfromchangesinthespotexchangerate(comparedtotherateatinitialrecognitionorthepreviousbalancesheetdate)arerecognizedincurrentprofitorloss,exceptfor:(1)exchangedifferencesonforeign-currency-specificborrowingsthatqualifyforcapitalization,whicharecapitalizedaspartofthecostoftherelatedassetduringthecapitalizationperiod;(2)exchangedifferencesonhedginginstrumentsusedtohedgeforeignexchangerisk,whichareaccountedforunderhedgeaccounting;(3)foreignexchangedifferencesarisingfromchangesinthebookbalanceofmonetaryitemsclassifiedasmeasuredatfairvaluethroughothercomprehensiveincome,exceptforamortizedcosts,arerecognizedincurrentprofitorloss.Whenpreparingconsolidatedfinancialstatementsinvolvingforeignoperations,ifaforeigncurrencymonetaryitemessentiallyconstitutesanetinvestmentinaforeignoperation,anyexchangedifferencesarisingfromfluctuationinexchangerateareincludedunder"Exchangedifferencesontranslationofforeigncurrencystatements"inothercomprehensiveincome.Upondisposaloftheforeignoperation,thesedifferencesarerecognizedinprofitorlossforthedisposalperiod.Foreigncurrencynon-monetaryitemsmeasuredathistoricalcostcontinuetobemeasuredusingthespotexchangerateinrecordingcurrencyonthetransactiondate.Forforeigncurrencynon-monetaryitemsmeasuredatfairvalue,thespotexchangerateonthedatethefairvalueisdeterminedisusedfortranslation.Anydifferencebetweenthetranslatedamountinrecordingcurrencyandtheoriginalcurrencyistreatedasafairvaluechange(includingfluctuationinexchangerate)andisrecognizedincurrentprofitorlossorothercomprehensiveincome,asappropriate.
10.2Translationofforeign-currencyfinancialstatementsToprepareconsolidatedfinancialstatements,foreign-currencyfinancialstatementsofoverseasoperationsaretranslatedintoRMBasfollows:allassetsandliabilitiesinthebalancesheetaretranslatedatthespotexchangerateonthebalancesheetdate;shareholders'equityitemsaretranslatedatthespotexchangerateonthedateofoccurrence;allitemsintheincomestatementanditemsreflectingprofitdistributionaretranslatedusinganexchangerateapproximatingthespotexchangerateonthetransactiondate;anydifferencebetweenthesumoftranslatedassetsandthesumoftranslatedliabilitiesplusequityitemsisrecognizedasothercomprehensiveincomeandincludedinshareholders'equity.Foreigncurrencycashflowsandthecashflowsofoverseassubsidiariesaretranslatedusinganexchangerateapproximatingthespotexchangerateonthedateofthecashflow.Theimpactoffluctuationinexchangerateoncashandcashequivalentsispresentedseparatelyinthestatementofcashflowsunder"Effectofexchangeratechangesoncashandcashequivalents."Thefiguresfortheprioryear-endandtheactualamountsforthepreviousyeararepresentedaccordingtotheamountstranslatedinthepreviousyear'sfinancialstatements.WhentheGroupdisposesofitsentireowners'equityinaforeignoperationorotherwiselosestherightofcontroloveraforeignoperation—whetherbypartiallydisposingofequityinvestmentsorforanyotherreason—alldifferencesontranslationofforeigncurrencystatementsrelatedtothatforeignoperationandpresentedundershareholders'equity(attributabletotheparentcompany)inthebalancesheetaretransferredinfulltoprofitorlossforthedisposalperiod.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
10.Foreigncurrencytransactionsandtranslationofforeigncurrencystatements-continued
10.2Translationofforeign-currencyfinancialstatements-continuedWhendisposingofpartofanequityinvestmentsorinothercircumstancesthatreducetheGroup'sownershipinterestinanoverseasoperationwithoutlosingtherightofcontroloverthatoperation,anydifferencesontranslationofforeigncurrencystatementsrelatedtothedisposedportionareattributedtominorityinterestsandarenottransferredtoprofitorlossforthecurrentperiod.Whendisposingofaportionofequityinanoverseasoperationthatisclassifiedasanassociateorajointventure,thedifferencesontranslationofforeigncurrencystatementsrelatedtothatoperationaretransferredtoprofitorlossinthedisposalperiod,inproportiontothepercentageofequitydisposed.
11.FinancialinstrumentsTheGrouprecognizesafinancialassetorfinancialliabilitywhenitbecomesapartytothecontractualprovisionsofafinancialinstrument.Forpurchasesorsalesoffinancialassetsintheordinarycourseofbusiness,theGrouprecognizestheassetstobereceivedandtheliabilitiestobeassumedonthetradedate,orderecognizestheassetssoldonthetradedate.Financialassetsandfinancialliabilitiesaremeasuredatfairvalueuponinitialrecognition(seeNote(II)"Basisofaccountingandvaluationprinciples"fordetailsondeterminingfairvalue).Forfinancialassetsandliabilitiesmeasuredatfairvaluethroughprofitorloss,transactioncostsarerecognizeddirectlyinprofitorlossforthecurrentperiod;forothercategoriesoffinancialassetsandliabilities,therelevanttransactioncostsareincludedintheinitialrecognitionamount.WhentheGroupinitiallyrecognizesaccountsreceivablethatdonotincludeasignificantfinancingcomponent,orwhenthefinancingcomponentofacontractnotexceedingoneyearisdisregardedunderAccountingStandardsforBusinessEnterprisesNo.14-Revenue(“RevenueStandard”),suchreceivablesareinitiallymeasuredatthetransactionpriceasdefinedintheRevenueStandard.Theeffectiveinterestmethodisthemethodusedtocalculatetheamortizedcostofafinancialassetorliabilityandtoallocatetheinterestincomeorinterestexpensesovertherelevantaccountingperiods.Theeffectiveinterestrateistheratethatdiscountstheestimatedfuturecashflowsovertheexpectedlifeofafinancialassetorliabilitytothefinancialasset'sbookbalanceorthefinancialliability'samortizedcost.Indeterminingtheeffectiveinterestrate,theGroupestimatesexpectedcashflowsbasedonallcontractualtermsofthefinancialassetorliability(e.g.,earlyrepayment,extension,calloptions,orothersimilaroptions),butdoesnotfactorinexpectedcreditlosses.Theamortizedcostofafinancialassetorliabilityistheinitialrecognizedamountminusanyrepaidprincipal,plusorminustheaccumulatedamortizationofthedifferencebetweentheinitialrecognizedamountandtheamountatmaturityusingtheeffectiveinterestmethod,andthenminustheaccumulatedprovisionforlosses(applicableonlytofinancialassets).
ShenzhenTextile(Holdings)Co.,Ltd.
NotestothefinancialstatementsYearendedDecember31,2024
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.1Classification,recognitionandmeasurementoffinancialassetsAfterinitialrecognition,theGroupsubsequentlymeasuresdifferentcategoriesoffinancialassetsatamortizedcost,atfairvaluethroughothercomprehensiveincome,oratfairvaluethroughprofitorloss.Ifthecontractualtermsofafinancialassetstipulatethat,onspecifieddates,cashflowscomprisesolelypaymentsofprincipalandinterestontheoutstandingprincipal,andtheGroup'sbusinessmodelformanagingthisfinancialassetistocollectthecontractualcashflows,theGroupclassifiesthisfinancialassetasmeasuredatamortizedcost.Suchfinancialassetsmainlyincludemonetaryfunds,notesreceivable,accountsreceivable,andotherreceivables.Ifthecontractualtermsofafinancialassetstipulatethat,onspecifieddates,cashflowscomprisesolelypaymentsofprincipalandinterestontheoutstandingprincipal,andtheGroup'sbusinessmodelformanagingthefinancialassetisbothtocollectcontractualcashflowsandtosellthefinancialasset,thentheGroupclassifiesthisassetasmeasuredatfairvaluethroughothercomprehensiveincome.Suchfinancialassetswithamaturityofmorethanoneyearfromthedateofacquisitionarepresentedas"Otherdebtinvestments,"whilethosematuringwithinoneyear(inclusive)fromthebalancesheetdatearepresentedunder"Non-currentassetsduewithinoneyear."Accountsreceivableandnotesreceivableclassifieduponacquisitionasmeasuredatfairvaluethroughothercomprehensiveincomearepresentedunder"Receivablesfinancing,"andanyotheritemsacquiredwithamaturityofoneyear(inclusive)orlessarepresentedunder"Othercurrentassets."Atinitialrecognition,onanindividualfinancialassetbasis,theGroupmayirrevocablydesignateanon-tradingequityinstrumentinvestment,otherthananycontingentconsiderationrecognizedinabusinesscombinationnotundercommoncontrol,asmeasuredatfairvaluethroughothercomprehensiveincome.Suchfinancialassetsarepresentedas"Otherequityinstrumentinvestments."Ifafinancialassetmeetsanyofthefollowingconditions,itindicatesthattheGroupholdsthisassetfortradingpurposes:
?Themainpurposeofacquiringthefinancialassetistosellitinthenearterm.?Uponinitialrecognition,thefinancialassetispartofanidentifiableportfoliooffinancialinstrumentsthatiscollectivelymanaged,andthereisobjectiveevidenceofarecentpatternofshort-termprofit-taking.?Thefinancialassetisaderivative,exceptforderivativesthatmeetthedefinitionofafinancialguaranteecontractoraredesignatedaseffectivehedginginstruments.Financialassetsmeasuredatfairvaluethroughprofitorlossincludethoseclassifiedassuchandthosedesignatedassuch:
?Anyfinancialassetthatdoesnotmeettheclassificationcriteriaformeasurementatamortizedcostoratfairvaluethroughothercomprehensiveincomeisclassifiedasmeasuredatfairvaluethroughprofitorloss.?Atinitialrecognition,toeliminateorsignificantlyreduceaccountingmismatches,theGroupmayirrevocablydesignateafinancialassetasmeasuredatfairvaluethroughprofitorloss.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.1Classification,recognitionandmeasurementoffinancialassets-continuedFinancialassetsmeasuredatfairvaluethroughprofitorlossarepresentedunder"Financialassetsheldfortrading."Thosedueinmorethanoneyearfromthebalancesheetdate(orwithnofixedmaturity)andexpectedtobeheldformorethanoneyeararepresentedunder"Othernon-currentfinancialassets."
11.1.1FinancialassetsmeasuredbyamortizedcostFinancialassetsmeasuredatamortizedcostaresubsequentlymeasuredatamortizedcostusingtheeffectiveinterestmethod,andanygainorlossarisingfromimpairmentorderecognitionisrecognizedinprofitorloss.TheGrouprecognizesinterestincomeonfinancialassetsmeasuredatamortizedcostusingtheeffectiveinterestmethod.Forpurchasedororiginatedfinancialassetsthatarealreadycredit-impaired,theGroupdeterminesinterestincomefromthedateofinitialrecognitionbasedontheasset'samortizedcostandacredit-adjustedeffectiveinterestrate.Forallotherfinancialassets,theGroupcalculatesinterestincomebymultiplyingthebookbalanceoftheassetbytheeffectiveinterestrate.
11.1.2FinancialassetsmeasuredatfairvaluethroughothercomprehensiveincomeForafinancialassetclassifiedasmeasuredatfairvaluethroughothercomprehensiveincome,anyimpairmentlossorgainandinterestincomecalculatedusingtheeffectiveinterestmethodarerecognizedinprofitorloss,whileallotherfairvaluechangesarerecognizedinothercomprehensiveincome.Theamountrecognizedinprofitorlosseachperiodisthesameasiftheassethadbeenmeasuredatamortizedcostthroughoutitslife.Whensuchafinancialassetisderecognized,thecumulativegainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredfromothercomprehensiveincometoprofitorloss.Foranon-tradingequityinstrumentinvestmentdesignatedasmeasuredatfairvaluethroughothercomprehensiveincome,fairvaluechangesarerecognizedinothercomprehensiveincome.Whenthefinancialassetisderecognized,thecumulativegainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredoutofothercomprehensiveincomeandintoretainedearnings.DuringtheperiodtheGroupholdsthisnon-tradingequityinstrumentinvestment,iftherighttoreceivedividendsisestablished,therelatedeconomicbenefitsarelikelytoflowtotheGroup,andtheamountofdividendscanbemeasuredreliably,thentheGrouprecognizesdividendincomeinprofitorloss.
11.1.3FinancialassetsmeasuredatfairvaluethroughthecurrentprofitorlossFinancialassetsmeasuredatfairvaluethroughprofitorlossaresubsequentlymeasuredatfairvalue;gainsorlossesarisingfromfairvaluechanges,aswellasanydividendandinterestincomerelatedtotheseassets,arerecognizedinprofitorloss.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.2ImpairmentoffinancialinstrumentsTheGrouprecognizesimpairmentallowancesandprovisionforlossesbasedonexpectedcreditlossesforfinancialassetsmeasuredatamortizedcost,financialassetsclassifiedasfairvaluethroughothercomprehensiveincome,andleasereceivables.ForallnotesreceivableandaccountsreceivablearisingfromtransactionsgovernedbytheRevenueStandard,aswellasoperatingleasereceivablesarisingfromtransactionsgovernedbyAccountingStandardsforBusinessEnterprisesNo.21-Leases,theGroupmeasurestheprovisionforlossatanamountequaltothelifetimeexpectedcreditlosses.Forotherfinancialinstruments,exceptforthosepurchasedororiginatedwithcreditloss,theGroupevaluateschangesincreditrisksinceinitialrecognitionateachbalancesheetdate.Ifthecreditriskofsuchafinancialinstrumenthassignificantlyincreasedsinceinitialrecognition,theGroupmeasurestheprovisionforlossatanamountequaltothelifetimeexpectedcreditlosses;ifithasnotsignificantlyincreased,theGroupmeasurestheprovisionforlossatanamountequaltothe12-monthexpectedcreditlosses.Exceptforfinancialassetsclassifiedasfairvaluethroughothercomprehensiveincome,anyincreaseorreversaloftheprovisionforcreditlossesisrecognizedasanimpairmentlossorgaininthecurrentperiod'sprofitorloss.Forfinancialassetsclassifiedasfairvaluethroughothercomprehensiveincome,theGrouprecognizestheprovisionforcreditlossesinothercomprehensiveincomeandrecordstheimpairmentlossorgaininprofitorloss,withoutreducingtheasset'sbookvalueinthebalancesheet.If,inapriorperiod,theGroupmeasuredtheprovisionforlossatanamountequaltothelifetimeexpectedcreditlosses(duetoasignificantincreaseincreditrisksinceinitialrecognition),butatthecurrentbalancesheetdatethatsignificantincreaseincreditrisknolongerapplies,thentheGroupmeasurestheprovisionforlossatanamountequaltothe12-monthexpectedcreditlosses.Theamountofanyresultingreversalisrecognizedasanimpairmentgaininprofitorloss.
11.2.1SignificantincreaseincreditriskTheGroupusesreasonableandsupportableforward-lookinginformationtocomparetheriskofdefaultonafinancialinstrumentatthebalancesheetdatewiththeriskofdefaultatinitialrecognition,inordertodeterminewhetherthecreditriskhassignificantlyincreasedsinceinitialrecognition.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.2Impairmentfinancialinstruments-continued
11.2.1Significantincreaseincreditrisk-continuedWhentheGroupassesseswhethercreditriskhasincreasedsignificantly,itconsidersthefollowingfactors:
(1)Whetherinternalpriceindicatorsresultingfromchangesincreditriskhaveundergoneasignificantchange.
(2)Whether,ifanexistingfinancialinstrumentiseffectivelyoriginatedorissuedasanewfinancialinstrumentonthebalancesheetdate,thereisasignificantchangeintheinterestrateorothertermsofthatinstrument(e.g.,morestringentcontractualterms,increasedcollateralorguarantees,orahigheryield).
(3)Whetherexternalmarketindicatorsofcreditriskforthesamefinancialinstrument,orsimilarinstrumentswiththesameexpectedterm,havechangedsignificantly.Suchindicatorsincludecreditspreads,creditdefaultswap(CDS)pricesfortheborrower,thelengthoftimeandextenttowhichafinancialasset'sfairvalueisbelowitsamortizedcost,andothermarketinformationrelatedtotheborrower(e.g.,changesinthepricesoftheborrower'sdebtorequityinstruments).
(4)Whethertheexternalcreditratingofthefinancialinstrumenthasactuallychangedorisexpectedtochangesignificantly.
(5)Whethertherehasbeenadowngradeinthedebtor'sinternalcreditrating,eitheractualoranticipated.
(6)Whethertherehasbeenanadversechangeinthedebtor'sbusiness,financial,oreconomicconditionsthatisexpectedtosignificantlyaffectthedebtor'sabilitytomeetitsdebtobligations.
(7)Whetherthedebtor'soperatingperformance,whetheractualorexpected,haschangedsignificantly.
(8)Whetherthecreditriskofotherfinancialinstrumentsissuedbythesamedebtorhasincreasedsignificantly.
(9)Whethertherehasbeenasignificantlyadversechangeintheregulatory,economic,ortechnologicalenvironmentinwhichthedebtoroperates.
(10)Whetherthevalueofcollateralsecuringthedebt,orthequalityofathird-partyguaranteeorcreditenhancement,haschangedsignificantly.Suchchangesareexpectedtoreducethedebtor'seconomicincentivetorepayunderthecontractualscheduleoraffecttheprobabilityofdefault.
(11)Whethertherehasbeenasignificantchangeinfactorsthatwouldreducetheborrower'seconomicincentivetorepayinaccordancewiththecontractualterms.
(12)Whethertheloancontractisexpectedtobemodified,includingthepotentialreleaseoramendmentofcontractualobligationsduetoanticipatedbreachesofcontract,grantinginterest-freeperiods,raisinginterestrates,requiringadditionalcollateralorguarantees,orotherwisemodifyingthecontractualframeworkofthefinancialinstrument.
(13)Whetherthereisasignificantchangeinthedebtor'sexpectedperformanceorrepaymentbehavior.
(14)WhethertheGroup'screditmanagementapproachforthefinancialinstrumenthaschanged.Regardlessoftheoutcomeoftheaboveassessment,ifpaymentsunderthefinancialinstrument'scontractaremorethan(orequalto)30dayspastdue,itindicatesthatthefinancialinstrument'screditriskhasincreasedsignificantly.Onthebalancesheetdate,iftheGroupconcludesthatafinancialinstrumenthasonlylowcreditrisk,itpresumesthecreditriskhasnotincreasedsignificantlysinceinitialrecognition.Afinancialinstrumentisconsideredtohavelowcreditriskifitsriskofdefaultislow,theborrowerhasastrongcapacitytomeetitscontractualcashflowobligationsintheshortterm,andevenoveralongerperiod,adversechangesineconomicandoperatingconditionswouldnotnecessarilyreducetheborrower'sabilitytomeetthoseobligations.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.2Impairmentfinancialinstruments-continued
11.2.2FinancialassetswithcreditlossWhenoneormoreeventsoccurthattheGroupexpectstoadverselyaffectthefuturecashflowsofafinancialasset,thatassetisconsideredcredit-impaired.Evidenceforacredit-impairedfinancialassetincludesthefollowingobservableinformation:
(1)Thedebtorbreachesacontract,suchasdefaultordelinquencyininterestorprincipalpayments.
(2)Thedebtorbreachesthecontract,suchasdefaultordelayinrepaymentofinterestorprincipal.
(3)Thecreditorgrantsconcessionstothedebtorinconsiderationofthedebtor'sfinancialdifficultiesthatwouldnototherwisebeofferedundernormalcircumstances.
(4)Thedebtorishighlylikelytogobankruptorundertakeotherfinancialrestructuring.
(5)Theissuer'sordebtor'sfinancialdifficultiesleadtothedisappearanceofanactivemarketforthefinancialasset.
(6)Afinancialassetispurchasedororiginatedatasubstantialdiscount,reflectingthefactthatacreditlosshasoccurred.BasedontheGroup'sinternalcreditriskmanagement,ifinternalrecommendationsorexternallyobtainedinformationindicatesthatthedebtorofafinancialinstrumentcannotfullyrepayallcreditors,includingtheGroup(regardlessofanyguaranteeobtainedbytheGroup),theGroupconsidersthisadefaultevent.Regardlessoftheaboveassessment,ifpaymentsunderthefinancialinstrument'scontractaremorethan(orequalto)90dayspastdue,theGrouppresumestheinstrumentisindefault.
11.2.3Determinationofexpectedcreditlosses
Forfinancialassetsandleasereceivables,theexpectedcreditlossisthepresentvalueofthedifferencebetweenthecontractualcashflowstheGroupisentitledtoreceiveandthecashflowstheGroupactuallyexpectstoreceive.Whenmeasuringtheexpectedcreditlossesonfinancialinstruments,theGroup'smethodreflects:anunbiased,probability-weightedaveragedeterminedbyevaluatingarangeofpossibleoutcomes;thetimevalueofmoney;andreasonableandsupportableinformationaboutpastevents,currentconditions,andforecastsoffutureeconomicconditions,availablewithoutunduecostoreffortatthebalancesheetdate.
11.2.4Write-offoffinancialassetsIftheGroupnolongerreasonablyexpectstorecoverallorpartofthecontractualcashflowsofafinancialasset,theGroupwritesoffthebookbalanceofthefinancialassetdirectly.Thiswrite-offconstitutesderecognitionoftherelevantfinancialasset.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.3TransferoffinancialassetsAfinancialassetisderecognizedifoneofthefollowingconditionsismet:(1)thecontractualrighttoreceivecashflowsfromthefinancialassetexpires;(2)thefinancialassethasbeentransferredandsubstantiallyalltherisksandrewardsofownershipoftheassethavebeentransferredtothetransferee;or(3)thefinancialassethasbeentransferred,andalthoughtheGrouphasneithertransferrednorretainedsubstantiallyalltherisksandrewardsofownership,ithasnotretainedcontrolovertheasset.IftheGrouphasneithertransferrednorretainedsubstantiallyalltherisksandrewardsofownershipofthefinancialassetbutretainscontrolofit,theGroupcontinuestorecognizethetransferredfinancialassettotheextentofitscontinuinginvolvement,andrecognizesacorrespondingliability.TheGroupmeasuresthatliabilityasfollows:
?Wherethetransferredfinancialassetismeasuredatamortizedcost,thebookvalueoftherelatedliabilityequalsthebookvalueoftheassetinwhichtheGroupcontinuestobeinvolvedminustheamortizedcostofanyrightsretainedbytheGroup(iftheGroupretainedsuchrightsduetothetransfer)andplustheamortizedcostofanyobligationsassumedbytheGroup(iftheGroupassumedsuchobligationsduetothetransfer).Suchliabilitiesarenotdesignatedasfinancialliabilitiesmeasuredatfairvaluethroughprofitorloss.?Wherethetransferredfinancialassetismeasuredatfairvalue,thebookvalueoftherelatedliabilityequalsthebookvalueoftheassetinwhichtheGroupcontinuestobeinvolvedminusthefairvalueofanyrightsretainedbytheGroup(iftheGroupretainedsuchrightsduetothetransfer)andplusthefairvalueofanyobligationsassumedbytheGroup(iftheGroupassumedsuchobligationsduetothetransfer).Thefairvaluesofsuchrightsandobligationsaremeasuredonastand-alonebasis.Whenthefulltransferofafinancialassetqualifiesforderecognition,thedifferencebetweenthebookvalueofthetransferredfinancialassetonthederecognitiondateandthesumoftheconsiderationreceivedandthecorrespondingportionofthecumulativefairvaluechangespreviouslyrecognizedinothercomprehensiveincomeisrecognizedinprofitorloss.IfthetransferredassetbytheGroupisanon-tradingequityinstrumentinvestmentdesignatedasmeasuredatfairvaluethroughothercomprehensiveincome,anycumulativegainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredoutofothercomprehensiveincomeandintoretainedearnings.Whenapartialtransferofafinancialassetqualifiesforderecognition,thebookvalueoftheoriginalassetbeforetransferisallocatedbetweentheportionbeingderecognizedandtheportionthatcontinuestoberecognized,basedontherelativefairvaluesofeachportiononthetransferdate.Thedifferencebetween(a)theconsiderationreceivedforthederecognizedportionplusthecorrespondingportionofthecumulativefairvaluechangespreviouslyrecognizedinothercomprehensiveincomeand(b)thebookvalueofthederecognizedportiononthederecognitiondateisrecognizedinprofitorloss.IfthetransferredassetbytheGroupisanon-tradingequityinstrumentinvestmentdesignatedasmeasuredatfairvaluethroughothercomprehensiveincome,anycumulativegainsorlossespreviouslyrecognizedinothercomprehensiveincomearetransferredoutofothercomprehensiveincomeandintoretainedearnings.Ifafulltransferofafinancialassetdoesnotsatisfythederecognitioncriteria,theGroupcontinuestorecognizetheentiretransferredfinancialassetandrecognizestheconsiderationreceivedasaliability.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.4ClassificationoffinancialliabilitiesandequityinstrumentsBasedonthecontractualtermsandtheeconomicsubstanceoftheissuedfinancialinstrumentratherthanmerelyitslegalformandinconjunctionwiththedefinitionsoffinancialliabilitiesandequityinstruments,theGroupclassifiesthefinancialinstrument(oritscomponents)aseitherafinancialliabilityoranequityinstrumentatinitialrecognition.
11.4.1Classification,recognitionandmeasurementoffinancialliabilitiesUponinitialrecognition,financialliabilitiesareclassifiedasfinancialliabilitiesmeasuredatfairvaluethroughprofitorlossorotherfinancialliabilities.
11.4.1.1FinancialliabilitiesmeasuredatfairvaluethroughprofitorlossFinancialliabilitiesmeasuredatfairvaluethroughprofitorlossincludefinancialliabilitiesheldfortrading(includingderivativesclassifiedasfinancialliabilities)andthosedesignatedasmeasuredatfairvaluethroughprofitorloss.Exceptforderivativefinancialliabilities,whicharepresentedseparately,financialliabilitiesmeasuredatfairvaluethroughprofitorlossarepresentedasfinancialliabilitiesheldfortrading.Ifafinancialliabilitymeetsanyofthefollowingconditions,itindicatesthattheGrouphasassumedthisliabilityfortradingpurposes:
?Theprimarypurposeofassumingthefinancialliabilityistorepurchaseitinthenearterm.?Uponinitialrecognition,thefinancialliabilityispartofanidentifiableportfoliooffinancialinstrumentsthatiscollectivelymanaged,andthereisobjectiveevidenceofarecentpatternofshort-termprofit-taking.?Thefinancialliabilityisaderivative,exceptforderivativesthatmeetthedefinitionofafinancialguaranteecontractoraredesignatedaseffectivehedginginstruments.Atinitialrecognition,ifanyofthefollowingconditionsaremet,theGroupmaydesignateafinancialliabilityasmeasuredatfairvaluethroughprofitorloss:(1)thedesignationcaneliminateorsignificantlyreduceaccountingmismatches;(2)undertheGroup'sformallydocumentedriskmanagementorinvestmentstrategy,portfoliosoffinancialliabilitiesorcombinedportfoliosoffinancialassetsandliabilitiesaremanagedandevaluatedonafairvaluebasis,andthisisreportedinternallytokeyofficers;or(3)itispartofaneligiblehybridcontractcontaininganembeddedderivative.Financialliabilitiesheldfortradingaresubsequentlymeasuredatfairvalue,withanygainsorlossesarisingfromfairvaluechanges,alongwithdividendsorinterestexpensesrelatedtotheseliabilities,recognizedinprofitorloss.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.4Classificationoffinancialliabilitiesandequityinstruments-continued
11.4.1Classification,recognitionandmeasurementoffinancialliabilities-continued
11.4.1.1Financialliabilitiesmeasuredbyfairvaluethroughthecurrentprofitorloss-continuedForafinancialliabilitydesignatedasmeasuredatfairvaluethroughprofitorloss,theportionofthefairvaluechangeattributabletotheGroup'sowncreditriskisrecognizedinothercomprehensiveincome,whileotherchangesinfairvaluearerecognizedinprofitorloss.Whenthefinancialliabilityisderecognized,theaccumulatedfairvaluechangeattributabletochangesintheGroup'sowncreditriskthatwaspreviouslyrecordedinothercomprehensiveincomeistransferredtoretainedearnings.Anydividendsorinterestexpensesrelatedtosuchfinancialliabilitiesarerecognizedinprofitorloss.Iftreatingtheeffectofchangesintheliability'sowncreditriskinthismannercreatesorenlargesanaccountingmismatchinprofitorloss,theGrouprecognizesallgainsorlossesontheliability(includingthoserelatedtochangesinitsowncreditrisk)inprofitorloss.
11.4.1.2OtherfinancialliabilitiesExceptforfinancialliabilitiesarisingfromthetransferoffinancialassetsthatdonotmeetderecognitioncriteria,orwheretheGroupcontinuestobeinvolvedintransferredfinancialassets,otherfinancialliabilitiesareclassifiedasfinancialliabilitiesmeasuredatamortizedcost.Theyaresubsequentlymeasuredatamortizedcost,andanygainsorlossesfromderecognitionoramortizationarerecognizedinprofitorloss.IftheGroupmodifiesorrenegotiatesacontractwithacounterparty,anditdoesnotresultinthederecognitionofafinancialliabilitysubsequentlymeasuredatamortizedcostbutleadstochangesinthecontractualcashflows,theGrouprecalculatesthebookvalueofthefinancialliabilityandrecognizesanyrelatedgainorlossinprofitorloss.Forrecalculatedbookvalue,theGroupshalldetermineitbydiscountingtherenegotiatedormodifiedcontractualcashflowsattheoriginaleffectiveinterestrateofthefinancialliability.Foranycostsorfeesincurredasaresultofmodifyingorrenegotiatingthecontract,theGroupshalladjustthebookvalueofthemodifiedfinancialliabilityandamortizethemovertheremainingtermthereof.
11.4.2DerecognitionoffinancialliabilitiesIfthepresentobligationofafinancialliabilityisfullyorpartiallydischarged,theliability(orthedischargedportion)isderecognized.IftheGroup(asborrower)signsanagreementwithalendertoreplacetheoriginalfinancialliabilitywithanewone,andthetermsofthenewliabilitydiffersubstantiallyfromthoseoftheoriginalliability,theGroupderecognizestheoriginalliabilityandrecognizesthenewone.Whenafinancialliabilityisfullyorpartiallyderecognized,thedifferencebetweenthebookvalueofthederecognizedportionandtheconsiderationpaid(includinganynon-cashassetstransferredornewfinancialliabilitiesassumed)isrecognizedinprofitorlossforthecurrentperiod.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
11.Financialinstruments-continued
11.4Classificationoffinancialliabilitiesandequityinstruments-continued
11.4.3EquityinstrumentsAnequityinstrumentisacontractthatevidencesaresidualinterestintheGroup'sassetsafterdeductingallliabilities.TheGrouptreatstheissuance(includingrefinancing),repurchase,sale,orcancellationofitsequityinstrumentsaschangesinequity.TheGroupdoesnotrecognizefairvaluechangesinequityinstruments.Transactioncostsdirectlyattributabletoequitytransactionsaredeductedfromequity.TheGroup'sdistributionsmadetoholdersofequityinstrumentsaretreatedasprofitdistribution,andanyissuedstockdividendsdonotaffectthetotalshareholders'equity.
11.5DerivativesDerivatives,includingforwardforeignexchangecontracts,areinitiallymeasuredatfairvalueonthecontractdateandsubsequentlymeasuredatfairvalue.
11.6OffsettingfinancialassetsandfinancialliabilitiesWhentheGrouphasalegalrighttooffsetrecognizedfinancialassetsandliabilities,andthatrightiscurrentlyenforceable,andtheGroupintendstosettleonanetbasisortorealizetheassetandsettletheliabilitysimultaneously,thefinancialassetsandliabilitiesarepresentedonthebalancesheetatthenetamount.Otherwise,financialassetsandfinancialliabilitiesarepresentedseparatelyinthebalancesheetwithoutoffset.
12.Notesreceivable
12.1MethodfordeterminingexpectedcreditlossesonnotesreceivableandtherelatedaccountingtreatmentsFornotesreceivablewithsignificantlyincreasedcreditrisk,suchasthosepastdueandnotacceptedorwherethereisclearevidencethattheacceptorislikelyunabletofulfillitsacceptanceobligation,theGroupevaluatescreditlossesonanindividualbasis.Othernotesreceivableareevaluatedbasedontheircreditriskcharacteristicsasagroup.Anyincreaseorreversaloftheprovisionforexpectedcreditlossesonnotesreceivableisrecognizedasacreditlossorgaininprofitorloss.
12.2CombinationcategoriesandbasisfordeterminingprovisionforcreditlossesaccordingtocreditriskcharacteristiccombinationApartfromthosenotesreceivablewhosecreditlossesaredeterminedonanindividualbasis,theGroupclassifiestheremainingnotesreceivableintodifferentgroupsbasedonsharedcreditriskcharacteristics:
| Combinationcategory | Determinationbasis |
| Combination1 | Bankacceptancebills |
| Combination2 | Commercialacceptancebills |
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(III)Significantaccountingpoliciesandaccountingestimates-continued
13.Accountsreceivable
13.1MethodfordeterminingexpectedcreditlossesonaccountsreceivableandtherelatedaccountingtreatmentsTheGroupusesanimpairmentmatrixatthegroupleveltodetermineexpectedcreditlossesforaccountsreceivable.Anyincreaseorreversaloftheprovisionforexpectedcreditlossesofaccountsreceivableisrecognizedasacreditlossorgaininprofitorloss.
13.2Combinationcategoriesandbasisfordeterminingprovisionforcreditlossesaccordingtocreditriskcharacteristiccombination.TheGroupclassifiesaccountsreceivableintoCombination1andCombination2basedonthecreditriskcharacteristicsofcounterpartiesunderdifferentbusinesssegments.Combination1referstoaccountsreceivablearisingfromthepolarizerbusinessrevenue,whereprovisionsforcreditlossesaremadebasedonoverdueagingrelativetothecreditterm.Combination2referstoaccountsreceivablearisingfrompropertyleasingandotherbusinessrevenue,whereprovisionsforcreditlossesaremadebasedonnaturalaging.
13.3MethodforcalculatingagingwhendeterminingcreditriskcharacteristiccombinationTheGroupusesboththenaturalagingofaccountsreceivableandtheoverdueagingrelativetothecredittermascreditriskcharacteristics,applyinganimpairmentmatrixtodetermineexpectedcreditlosses.Naturalagingiscalculatedstartingfromthedateofinitialrecognitionoftheaccountsreceivable,whileoverdueagingbeginsoncethenaturalagingexceedsthecredittermgrantedtothecustomer.Ifthetermsandconditionsofanaccountsreceivablearemodifiedbutdonotleadtoderecognition,theagingcontinuestoaccumulate.
13.4CriteriaforindividualassessmentofprovisionforcreditlossesTheGroupindividuallydeterminescreditlossesforaccountsreceivablewherethereisevidenceofasignificantincreaseincreditrisk.
14.Receivablesfinancing
14.1MethodfordeterminingexpectedcreditlossesonreceivablesfinancingandtherelatedaccountingtreatmentsTheGroupdeterminescreditlossesforreceivablesfinancingonanindividual-assetbasis.TheGrouprecognizestheprovisionforcreditlossesforreceivablesfinancinginothercomprehensiveincomeandrecordsanycreditlossorgaininprofitorloss,withoutreducingthebookvaluepresentedinthebalancesheet.
14.2CriteriaforindividualassessmentofprovisionforcreditlossesBasedonthecreditstatusoftheacceptingbankforbankacceptancebills,theGroupindividuallyassessesanddeterminescreditlossesforreceivablesfinancing.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
15.Otherreceivables
15.1MethodfordeterminingexpectedcreditlossesonotherreceivablesandtherelatedaccountingtreatmentsTheGroupdeterminescreditlossesforotherreceivablesonagroupbasis.Anyincreaseorreversaloftheprovisionforexpectedcreditlossesonotherreceivablesisrecognizedasacreditlossorgaininprofitorloss.
15.2CombinationcategoriesandbasisfordeterminingprovisionforcreditlossesaccordingtocreditriskcharacteristiccombinationTheGroupdividesotherreceivablesintodifferentcombinationsbasedoncommoncreditriskcharacteristics.CommoncreditriskcharacteristicsusedbytheGroupincludeinitialrecognitiondate,remainingcontractterm,andlengthofoverdueperiod.
15.3MethodforcalculatingagingwhendeterminingcreditriskcharacteristiccombinationTheagingiscalculatedfromthedateofinitialrecognition.Ifthetermsandconditionsofotherreceivablesaremodifiedbutdonotleadtoderecognition,theagingcontinuestoaccumulate.
16.Inventories
16.1Typesofinventories,methodsofcostingforissuance,inventorysystem,andmethodsforamortizinglow-valueconsumablesandpackagingmaterials
16.1.1TypesofinventoriesTheGroup'sinventoriesmainlyincluderawmaterials,workinprogress,finishedproducts,andmaterialsprocessedonconsignment.Inventoriesareinitiallymeasuredatcost,whichincludespurchasecosts,processingcosts,andotherexpendituresincurredtobringtheinventoriestotheircurrentlocationandcondition.
16.1.2MethodofcostingforissuedinventoriesWheninventoriesareissued,theactualcostisdeterminedusingtheweightedaveragemethod.
16.1.3InventorysystemTheGroupusesaperpetualinventorysystem.
16.1.4Amortizationmethodsforlow-valueconsumablesandpackagingmaterialsLow-valueconsumablesandpackagingmaterialsareamortizedusingthestraight-linemethodorarewrittenoffinfullatonce.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
16.Inventories-continued
16.2CriteriaforrecognizingandmethodsformakingprovisionforinventorydepreciationOnthebalancesheetdate,inventoriesaremeasuredatthelowerofcostandnetrealizablevalue.Ifnetrealizablevalueislowerthancost,aprovisionforinventorydepreciationismade.Netrealizablevalueistheestimatedsellingpriceofinventoriesintheordinarycourseofbusiness,lesstheestimatedcoststocomplete,theestimatedsellinganddistributionexpenses,andrelatedtaxes.Whendeterminingthenetrealizablevalueofinventories,theGroupusesconclusiveevidencewhileconsideringthepurposeofholdingtheinventoriesandtheimpactofeventsafterthebalancesheetdate.Aftertheprovisionsfortheinventorydepreciationaremade,thefactorscausinganywrite-downofinventoryvaluehavedisappeared,leadingtothenetrealizablevaluesofinventorieshigherthanitsbookvalue,theamountofwrite-downshallberesumedandbereversedfromtheoriginalprovisionforinventorydevaluationwiththereversalbeingincludedincurrentprofitorloss.Generally,provisionsforinventorydepreciationaremadeonanitem-by-itembasis.
17.Long-termequityinvestments
17.1CriteriafordeterminingcommoncontrolandsignificantinfluenceControlmeansthataninvestorhaspowerovertheinvestee,derivesvariablereturnsbyparticipatingintheinvestee'srelevantactivities,andcanusethatpowertoaffecttheamountofreturns.Commoncontrolreferstosharedcontroloveranarrangementunderrelevantagreements,wheredecisionsaboutthearrangement'srelevantactivitiesrequiretheunanimousconsentofthepartiessharingtherightofcontrol.Significantinfluencereferstothepowertoparticipateindecisionsonaninvestee'sfinancialandoperatingpolicies,butnottocontrolorcommonlycontroltheformationofthosepolicies.Whendeterminingwhethertheinvestorcanexercisecontrolorsignificantinfluenceovertheinvestee,thepotentialvotingrightsarisingfromconvertiblecorporatebondsorexercisablewarrantscurrentlyheldbytheinvestororotherpartiesaretakenintoaccount.
17.2DeterminationofinitialinvestmentcostForalong-termequityinvestmentacquiredinabusinesscombinationundercommoncontrol,theinitialinvestmentcostisdeterminedonthecombinationdatebasedontheshareofthebookvalueoftheacquiree'sowners'equityintheultimatecontroller'sconsolidatedfinancialstatements.Anydifferencebetweentheinitialinvestmentcostofthelong-termequityinvestmentandthebookvalueofthecashpaid,non-cashassetstransferred,orliabilitiesassumedisadjustedagainstcapitalreserve.Ifthecapitalreserveisinsufficient,thedifferenceisadjustedagainstretainedearnings.Whereequitysecuritiesareissuedasconsiderationforthecombination,onthecombinationdate,theinitialinvestmentcostofthelong-termequityinvestmentisdeterminedbasedontheshareofthebookvalueoftheacquiree'sowners'equityintheultimatecontroller'sconsolidatedfinancialstatements.Thetotalparvalueoftheissuedsharesisrecognizedassharecapital,andanydifferencebetweentheinitialinvestmentcostandthetotalparvalueofthesharesissuedisadjustedagainstcapitalreserve.Ifthecapitalreserveisinsufficient,thedifferenceisadjustedagainstretainedearnings.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
17.Long-termequityinvestments-continued
17.2Determinationofinitialinvestmentcost-continuedForalong-termequityinvestmentacquiredinabusinesscombinationnotundercommoncontrol,ontheacquisitiondatetheinitialinvestmentcostisdeterminedbasedonthecombinationcost.Audit,legal,valuation,consulting,andotherrelatedG&Aexpensesincurredbytheacquirerorpurchaserforthebusinesscombinationarerecognizedinprofitorlosswhentheyoccur.Long-termequityinvestmentsobtainedthroughmethodsotherthanabusinesscombinationareinitiallymeasuredatcost.Whereaninvestorgainssignificantinfluenceorcommoncontrolbutnotcontroloveraninvesteethroughadditionalinvestment,thecostofthelong-termequityinvestmentisthesumofthefairvalueofthepreviouslyheldequityinvestment(asdeterminedinaccordancewithAccountingStandardsforBusinessEnterprisesNo.22-RecognitionandMeasurementofFinancialInstruments)andthenewinvestmentcost.
17.3Subsequentmeasurementandrecognitionmethodofprofitorloss
17.3.1Long-termequityinvestmentsaccountedforunderthecostmethodIntheparentcompany'sfinancialstatements,long-termequityinvestmentsinsubsidiariesaremeasuredusingthecostmethod.AsubsidiaryisaninvesteeoverwhichtheGroupcanexercisecontrol.Underthecostmethod,long-termequityinvestmentsaremeasuredattheirinitialinvestmentcost.Anyadditionalinvestmentorcapitalrecoveryadjuststhecostofthelong-termequityinvestment.Currentinvestmentincomeisrecognizedbasedontheamountofcashdividendsorprofitsdeclaredanddistributedbytheinvestee.
17.3.2Long-termequityinvestmentsmeasuredusingtheequitymethodTheGroupappliestheequitymethodtoitsinvestmentsinassociatesandjointventures.AnassociateisaninvesteeoverwhichtheGrouphassignificantinfluence,andajointventureisajointventurearrangementunderwhichtheGrouphasrightstothenetassetsofthearrangement.Undertheequitymethod,iftheinitialinvestmentcostofthelong-termequityinvestmentexceedstheshareofthefairvalueoftheinvestee'sidentifiablenetassetsatthetimeofinvestment,theinitialinvestmentcostisnotadjusted.Iftheinitialinvestmentcostislessthantheshareofthefairvalueoftheinvestee'sidentifiablenetassetsatthetimeofinvestment,thedifferenceisrecognizedincurrentprofitorloss,andthecostofthelong-termequityinvestmentisadjustedaccordingly.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
17.Long-termequityinvestments-continued
17.3Subsequentmeasurementandrecognitionmethodofprofitorloss-continued
17.3.2Long-termequityinvestmentsmeasuredusingtheequitymethod-continuedWhentheequitymethodisadoptedforaccounting,theGroup,basedonitsattributableshareofthenetprofitorlossandothercomprehensiveincomerealizedbytheinvestee,respectivelyrecognizetheinvestmentincomeandothercomprehensiveincome,andsimultaneouslyadjustthebookvalueofthelong-termequityinvestment.COOECshallcalculatethesharesaccordingtoprofitsorcashdividendsdeclaredbytheinvesteeandcorrespondinglyreducethebookvalueoflong-termequityinvestments;Astoanychangeinowners'equityoftheinvesteeotherthannetprofitorloss,othercomprehensiveincomeandprofitdistribution,theGroupshalladjustthebookvalueofthelong-termequityinvestmentandincludesuchchangeincapitalreserves.Whenrecoginzingtheattributableshareofnetprofitorlossoftheinvestee,theGroupshall,basedonthefairvalueofidentifiablenetassetoftheinvesteewhenitobtainstheinvestment,recognizethenetprofitsoftheinvesteeafteradjustment.IfaccountingpoliciesandaccountingperiodsadoptedbytheinvesteeareinconsistentwiththoseoftheCompany,thefinancialstatementsoftheinvesteeshallbeadjustedaccordingtotheaccountingpoliciesandaccountingperiodsoftheCompanyandinvestmentincomeandothercomprehensiveincomeetc.shallberecognizedonsuchbasis.FortransactionsbetweentheGroupandassociatesandjointventures,iftheinvestedorsoldassetsdonotconstitutebusiness,theunrealizedprofitorlossfrominternaltransactionswillbeoffsetatthepartattributabletotheGroupandtheinvestmentprofitorlosswillberecognizedonthatbasisHowever,theunrealizedlossesfrominternaltransactionsbetweentheGroupandanyinvesteeshallnotbeoffsetiftheybelongtothelossesfromtheimpairmentofthetransferredassets.Whenrecognizingthenetlossesoccurredintheinvesteethatshallbeshared,thereductionvalueofbookvalueoflong-termequityinvestmentsandotherlong-termequitiesthatconstitutenetinvestmentsintheinvesteewillbethelimituntilitbecomeszero.Inaddition,iftheGrouphastheobligationtoassumeextra-amountlossesfortheinvestee,theestimatedliabilitiesarerecognizedaccordingtotheestimatedobligationsandincludedinthecurrentinvestmentlosses.Wheretheinvesteerealizesnetprofitsinthesubsequentperiod,theGroupshallrestoretheincomesharedaftermakingupforunrecognizedlossesundertakenbysuchincome.
17.4Disposaloflong-termequityinvestmentsWhenalong-termequityinvestmentisdisposedof,thedifferencebetweenitsbookvalueandtheactualproceedsisrecognizedincurrentprofitorloss.Ifalong-termequityinvestmenthasbeenaccountedforusingtheequitymethodandtheremainingequityafterdisposalisstillaccountedforusingtheequitymethod,anyothercomprehensiveincomepreviouslyrecognizedundertheequitymethodistreatedonthesamebasisasiftheinvesteehaddirectlydisposedoftherelatedassetsorliabilities,andistransferredproportionately.Anyotherchangesinowners'equityoftheinvestee,otherthannetprofitorloss,othercomprehensiveincome,andprofitdistribution,whichwerepreviouslyrecognized,aretransferredproportionatelytothecurrentprofitorloss.Ifalong-termequityinvestmentisaccountedforusingthecostmethodandtheremainingequityafterdisposalcontinuestobeaccountedforusingthecostmethod,anyothercomprehensiveincomerecognizedbeforetheGroupgainedcontrol,undereithertheequitymethodortheaccountingstandardsforrecognizingandmeasuringfinancialinstruments,istreatedonthesamebasisasiftheinvesteehaddirectlydisposedoftherelatedassetsorliabilities,andistransferredproportionately.Otherchangesinowners'equityotherthannetprofitorloss,othercomprehensiveincomeandprofitdistributioninnetassetoftheinvesteeaccountedforandrecognizedbyusingtheequitymethodshallbecarriedforwardtothecurrentprofitorloss.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
17.Long-termequityinvestments-continued
17.4Disposaloflong-termequityinvestments-continuedWheretheGrouplosesthecontrolovertheinvesteeduetothedisposalofpartoftheequityinvestments,whenitpreparesseparatefinancialstatements,theremainingequityafterdisposalthatcancommonlycontrolorhavesignificantinfluenceontheinvesteewillbemeasuredundertheequitymethod,andtheremainingequityshallbedeemedtohavebeenadjustedundertheequitymethodonacquisition.Iftheremainingequityafterdisposalcannotexercisecommoncontrolorsignificantinfluenceontheinvestee,suchequitywillbechangedtobeaccountedforaccordingtorecognitionandmeasurementstandardsoffinancialinstrumentsandthedifferencebetweenfairvalueandbookvalueonthedateoflossofthecontrolshallbeincludedinthecurrentprofitorloss.ForothercomprehensiveincomerecognizedbyusingtheequitymethodorfinancialinstrumentsrecognitionandmeasurementstandardsbeforetheGroupobtainsthecontrolovertheinvestee,accountingtreatmentshallbemadeonthesamebasisasthatfordirectdisposalofrelevantassetsorliabilitiesbytheinvesteewhentheGrouplosesthecontrolovertheinvestee.Otherchangesinowners'equityotherthannetprofitorloss,othercomprehensiveincomeandprofitdistributioninnetassetoftheinvesteerecognizedbyusingtheequitymethodshallbecarriedforwardtothecurrentprofitorlosswhenthecontrolovertheinvesteeislost.Wheretheremainingequitiesafterdisposalareaccountedforundertheequitymethod,theothercomprehensiveincomeandotherowners'equityshallbecarriedforwardinproportion.Iftheremainingequityafterdisposalischangedtobeaccountedforaccordingtotherecognitionandmeasurementstandardsofthefinancialinstruments,theothercomprehensiveincomeandotherowner'sequityshallbefullycarriedforward.Incasethecommoncontrolorsignificantinfluenceovertheinvesteeislostfordisposingpartofequityinvestments,theremainingequitywillbechangedtobeaccountedforaccordingtotherecognitionandmeasurementprinciplesoffinancialinstruments.Thedifferencebetweenthefairvalueandthebookvalueonthedateofthelossofcommoncontrolorsignificantinfluenceshallbeincludedinthecurrentprofitorloss.Anyothercomprehensiveincomepreviouslyrecognizedundertheequitymethodfortheoriginalequityinvestmentisaccountedforonthesamebasisasiftheinvesteehaddirectlydisposedofrelatedassetsorliabilitiesoncetheequitymethodceasestoapply.Allotherchangesinowners'equityrecognizedduetofactorsotherthannetprofitorloss,othercomprehensiveincome,andprofitdistributionoftheinvesteearetransferredinfulltocurrentinvestmentincomewhentheequitymethodisnolongerapplied.WheretheGroupdisposesofequityinvestmentsinsubsidiariesthroughmultipletransactionsandbystagesuntillossofcontrol,iftheabovetransactionsbelongtoapackageoftransactions,accountingtreatmentshallbemadeonthetransactionsasatransactiontodisposeequityinvestmentsofsubsidiariesandlosethecontrol.Thedifferencebetweeneachdisposalcostandthebookvalueoflong-termequityinvestmentscorrespondingtodisposedequitiesbeforethelossofcontrolshallbefirstlyrecognizedasothercomprehensiveincomeandthentransferredintothecurrentprofitorlossatthelossofcontrol.
18.InvestmentpropertiesInvestmentpropertyreferstopropertyheldtoearnrentalsorforcapitalappreciation,orboth,andincludesleasedlanduserightsandleasedbuildings.Investmentpropertyisinitiallymeasuredatcost.Subsequentexpensesrelatedtotheinvestmentproperty,iftheeconomicbenefitsrelatedtotheassetarelikelytoflowinandthecostcanbemeasuredreliably,shallbeincludedinthecostoftheinvestmentproperty.Othersubsequentexpensesshallbeincludedinthecurrentprofitorlosswhenincurred.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
18.Investmentproperties-continuedTheGroupusesthecostmodelforsubsequentmeasurementofinvestmentpropertyandprovidesfordepreciationonastraight-linebasisoveritsservicelife.Thedepreciationmethod,usefullife,estimatedresidualvalue,andannualdepreciationratesforeachcategoryofinvestmentpropertyareasfollows:
| Type | Depreciationmethod | Depreciationlife(years) | Residualvaluerate(%) | Annualdepreciationrate(%) |
| Housesandbuildings | Straight-linemethod | 10-40 | 0.00-4.00 | 2.40-10.00 |
Whenaninvestmentpropertyisbeingdisposedoforpermanentlywithdrawsfromusewithoutanyeconomicbenefitsexpectedfromthedisposal,theinvestmentpropertyshallbederecognized.Thedifferencebetweenthedisposalproceedsofaninvestmentproperty(throughsale,transfer,retirement,ordamage)anditsbookvalue,netofrelatedtaxesandfees,isrecognizedincurrentprofitorloss.
19.Fixedassets
19.1RecognitionconditionsFixedassetsrefertotangibleassetsheldforthepurposeofproducinggoods,providingservices,rentingoroperatingmanagement,withaservicelifeexceedingonefiscalyear.FixedassetswillonlyberecognizedwhentheeconomicbenefitsassociatedwithsuchassetsarelikelytoflowintotheGroupandthecostcanbemeasuredreliably.Afixedassetisinitiallymeasuredatcost.Forthesubsequentexpensesrelatedtothefixedassets,iftheeconomicbenefitsrelatedtothefixedassetsarelikelytoflowinandthecostcanbemeasuredreliably,theyshallbeincludedinthecostofthefixedassets,andthebookvalueofthereplacedpartshallbederecognized,Othersubsequentexpensesshallbeincludedintothecurrentprofitorlosswhenincurred.
19.2DepreciationmethodFromthemonthfollowingthedateafixedassetisinworkingconditionforintendeduse,theGroupdepreciatestheassetonastraight-linebasisoveritsservicelife.Thedepreciationmethod,serviceyear,estimatedresidualvalue,andannualdepreciationratesforeachcategoryoffixedassetsareasfollows:
| Type | Depreciationmethod | Depreciationlife(years) | Residualvaluerate(%) | Annualdepreciationrate(%) |
| Buildingsandconstructions | Straight-linemethod | 10-40 | 0.00-4.00 | 2.40-10.00 |
| Machineryequipment | Straight-linemethod | 10-14 | 4.00 | 6.86-9.60 |
| Transportationequipment | Straight-linemethod | 8 | 4.00 | 12.00 |
| Electronicequipmentandothers | Straight-linemethod | 5 | 4.00 | 19.20 |
EstimatednetresidualvaluereferstotheamountobtainedbytheGroupfromthedisposalofthefixedassetsatpresentafterdeductingtheestimateddisposalexpenses,assumingthattheestimatedservicelifeofthefixedassethasexpiredandthefixedassetisintheexpectedstateattheendofitsservicelife.
ShenzhenTextile(Holdings)Co.,Ltd.
NotestothefinancialstatementsYearendedDecember31,2024
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(III)Significantaccountingpoliciesandaccountingestimates-continued
19.Fixedassets-continued
19.3OtherexplanationsWhenthefixedassetsaredisposedoforitisexpectedthatnoeconomicbenefitscanbegeneratedthroughuseordisposal,thefixedassetsshallbederecognized.Thedifferenceoftherevenuefromdisposaloffixedassetssuchassales,transfer,retirementordamagedeductingtheirbookvalueandrelatedtaxesshallbeincludedintothecurrentprofitorloss.TheGroupwillreviewservicelife,estimatednetresidualvalueanddepreciationmethodsofthefixedassetsattheendofeachyear.Changes,ifany,shallbehandledaschangesinaccountingestimates.
20.ConstructioninprogressTheconstructioninprogressismeasuredatactualcost,whichincludesvariousprojectexpendituresincurredduringtheconstructionperiod,capitalizedborrowingcostsbeforetheprojectreachesworkingconditionforintendeduse,andotherrelatedcosts.Nodepreciationismadeforconstructioninprogress.Theconstructioninprogressshallbecarriedforwardtothefixedassetsafteritreachestheworkingconditionforintendeduse.Thecriteriaandtimingfortheconversionofvarioustypesofconstructioninprogressintofixedassetsareasfollows:
| Type | Criteriaforconversiontofixedassets | Timepointofconversionintofixedassets |
| Installationofmachineryequipment | Themachineryequipmentshallbecarriedforwardtothefixedassetswhenithasbeenacceptedandthefollowingconditionsaremet:(1)Themachineryequipmentanditssupportingfacilitieshavebeeninstalled;(2)Aftercommissioning,themachineryequipmentcanmaintainnormalandstableoperationorproducequalifiedproductsforaperiodoftime. | Reachworkingconditionforintendeduse |
21.BorrowingcostsThecapitalizationoftheborrowingcoststhatcanbedirectlyattributabletotheacquisition,constructionorproductionofassetsthatmeetthecapitalizationconditionswillstartwhentheassetexpenditurehasincurred,theborrowingcostshaveincurred,andtheacquisition,constructionorproductionactivitiesnecessaryfortheassettoreachtheintendedusableorsalablestatehavebegun;Thecapitalizationshallbeceasedwhentheacquiredandconstructedorproducedassetseligibleforcapitalizationhavereachedtheirworkingconditionforintendeduseorsalescondition.Theremainingborrowingcostsarerecognizedasexpensesonoccurrence.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
22.Intangibleassets
22.1Servicelifeanditsbasisfordetermination,estimate,amortizationmethodorreviewprocedureIntangibleassetsincludelanduseright,softwareandpatentrights,etc.Theintangibleassetsshallbeinitiallymeasuredatthecosts.Forintangibleassetswithlimitedservicelife,theoriginalvalueshallbeevenlyamortizedbystraight-linemethodwithintheexpectedservicelifefromthetimewhentheyareavailableforuse.Theintangibleassetswithuncertainservicelifeshallnotbeamortized.Theamortizationmethod,servicelifeandresidualvaluerateofvariousintangibleassetsareasfollows:
| Type | Amortizationmethod | Servicelife(year)andbasisofdetermination | Residualvaluerate(%) |
| Landuserights | Straight-linemethod | 50(Determinetheservicelifebasedonthestatutoryservicelife) | - |
| Software | Straight-linemethod | 5(Determinetheservicelifebasedontheperiodexpectedtobringeconomicbenefits) | - |
| Patentright | Straight-linemethod | 15(Determinetheservicelifebasedontheperiodexpectedtobringeconomicbenefits) | - |
Attheendoftheperiod,theservicelifeandamortizationmethodofintangibleassetswithlimitedservicelifeshallbereviewedandadjustedifnecessary.
22.2ThecollectionscopeandrelatedaccountingtreatmentsforresearchexpendituresTheexpendituresinresearchphasewillbeincludedincurrentprofitorlossonoccurrence.Expendituresinthedevelopmentstagewillberecognizedasintangibleassetsonlywhenthefollowingconditionsaresimultaneouslysatisfied,andincludedincurrentprofitorlossifthefollowingconditionsarenotsatisfied:
(1)Itistechnicallyfeasibletocompletetheintangibleassetssothatitcanbeusedorsold;
(2)Ithastheintentiontocompletetheintangibleassetsanduseorsellthem;
(3)Themannerinwhichanintangibleassetgenerateseconomicbenefitsincludestheabilitytoprovethatthereisamarketfortheproductsproducedthroughtheuseofthisintangibleassetoramarketfortheintangibleassetitself.Inthecasethattheintangibleassetwillbeusedinternally,itsusefulnessshallbeproven.
(4)Withthesupportofsufficienttechnology,financialresourcesandotherresources,itisabletocompletethedevelopmentoftheintangibleassets,anditisabletouseorselltheintangibleassets;
(5)Theexpendituresattributabletotheintangibleassetsinthedevelopmentstagecanbemeasuredreliably.Wheretheresearchexpendituresandthedevelopmentexpendituresareindistinguishable,theCOOECshallincluderesearchexpendituresanddevelopmentexpendituresincurredincurrentprofitorloss.Thecostoftheintangibleassetsformedbyinternaldevelopmentactivitiesonlyincludesthetotalexpenditureincurredfromthetimewhenthecapitalizationconditionsaremettothetimewhentheintangibleassetsreachtheintendeduse.Theexpensesrecognizedinprofitorlossbeforemeetingthecapitalizationconditionsduringthedevelopmentforthesameintangibleassetwillnotbeadjusted.ThecollectionscopeofR&Dexpendituresincludesthewages,salariesandwelfareexpensesofthepersonneldirectlyengagedinR&Dactivities,andthedirectR&DactivitiesThedepreciationcostofmaterials,fuelandpowerexpenses,instrumentsandequipmentforR&Dactivities,etc.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
23.Impairmentoflong-termassetsOneachbalancesheetdate,theGroupcheckswhetherthereisanyindicationthatlong-termequityinvestments,investmentpropertiesmeasuredbythecostmodel,fixedassets,constructioninprogress,right-of-useassetsandintangibleassetswithadefiniteservicelifemayhaveimpairment.Ifthereareindicationsofimpairmentofsuchassets,therecoverableamountshallbeestimated.Intangibleassetswithindefiniteservicelifeandintangibleassetsthathavenotyetreachedausablestatearesubjecttoimpairmenttestingeveryyearregardlessofwhetherthereareindicationsofimpairment.Therecoverableamountoftheestimatedassetisbasedonasingleasset.Ifitisdifficulttoestimatetherecoverableamountofasingleasset,therecoverableamountoftheassetgroupshallbedeterminedonthebasisoftheassetgrouptowhichtheassetbelongs.Therecoverableamountisthehigherofthenetamountobtainedbydeductingthedisposalexpensesfromthefairvalueofanassetoranassetgroupandthepresentvalueofitsexpectedfuturecashflows.Iftherecoverableamountoftheassetislowerthanitsbookvalue,theprovisionforassetimpairmentshallbemadeatthedifferenceandincludedinthecurrentprofitorloss.Thegoodwillshallbetestedforimpairmentatleastattheendofeachyear.Theimpairmenttestofgoodwillshallbecarriedoutincombinationwiththeassetgrouporcombinationofassetgroupsrelatedtoit.Thatis,fromtheacquisitiondate,thebookvalueofgoodwillshallbeallocatedusingareasonablemethodtotheassetgrouporportfolioofassetgroupsthatbenefitfromthesynergiesofthebusinesscombination.Iftherecoverableamountoftheassetgrouporgroupofassetgroupsincludingtheallocatedgoodwillislowerthanitsbookvalue,thecorrespondingimpairmentlossesshallberecognized.Amountofimpairmentlossesshallbefirstlyusedtodeductthebookvalueofgoodwillallocatedtotheassetgrouporportfolioofassetgroups,andthendeductbookvalueofotherassetsaccordingtotheproportionofthebookvaluesofotherassets(exceptforgoodwill)intheassetgrouporportfolioofassetgroups.Theabovelossesfromassetsimpairmentwillnotbereversedinsubsequentaccountingperiodsoncerecognized.
24.Long-termdeferredexpensesLong-termdeferredexpensesrefertotheexpenseswhichhavebeenalreadyincurredbutwillbeborneinthecurrentperiodandinthefuturewithanamortizationperiodofover1year.Long-termdeferredexpensesareamortizedevenlyovertheexpectedbenefitperiod.
25.ContractliabilitiesContractliabilitiesrefertotheobligationoftheGrouptotransfergoodsorservicestocustomersforconsiderationreceivedorreceivablefromcustomers.Contractassetsandcontractliabilitiesunderthesamecontractarepresentedbytheirnetamounts.
26.Employeecompensation
26.1Accountingtreatmentsforshort-termcompensationDuringtheaccountingperiodwhenemployeesprovideservicesfortheGroup,theGrouprecognizestheshort-termcompensationactuallyincurredasliabilitiesandincludesitinthecurrentprofitorlossorrelatedassetcosts.TheemployeewelfareexpensesincurredbytheGroupshallbeincludedinthecurrentprofitorlossorrelatedassetcostsaccordingtotheactualamountincurred.Iftheemployeebenefitsarenon-monetarybenefits,theyshallbemeasuredatfairvalue.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
26.Employeeemployeecompensation-continued
26.1Accountingtreatmentsforshort-termcompensation-continuedForthemedicalinsurancepremiums,work-relatedinjuryinsurancepremiums,maternityinsurancepremiumsandothersocialinsurancepremiumsandhousingprovidentfundspaidbytheGroupforemployees,aswellasthelaborunionfundsandemployeeeducationexpenseswithdrawnbytheGroupinaccordancewiththeprovisions,thecorrespondingemployeecompensationamountshallbecalculatedanddeterminedaccordingtotheprescribedaccrualbasisandaccrualratioduringtheaccountingperiodwhenemployeesprovideservicesfortheGroup,andthecorrespondingliabilitiesshallberecognizedandincludedinthecurrentprofitorlossorrelatedassetcosts.
26.2Accountingtreatmentsforpost-employmentbenefitsPost-employmentbenefitsarealldefinedcontributionplans.DuringtheaccountingperiodwhenemployeesprovideservicesfortheGroup,theGrouprecognizestheamountpayablecalculatedaccordingtothedefinedcontributionplansasaliabilityandincludesitinthecurrentprofitorlossorrelatedassetcosts.
26.3AccountingtreatmentsfordismissalbenefitsWhentheGroupprovidesdismissalbenefitstoemployees,theemployeecompensationliabilityarisingfromthedismissalbenefitsshallberecognizedattheearlierofthefollowingdatesandincludedinthecurrentprofitorloss:whentheGroupcannotunilaterallywithdrawthedismissalbenefitsprovidedduetotheterminationoflaborrelationshipplanorthelayoffproposal;WhentheGrouprecognizesthecostsorexpensesrelatedtotherestructuringinvolvingthepaymentofdismissalbenefits.
27.EstimatedliabilitiesWhentheobligationrelatedtothecontingencysuchasproductqualityguaranteeisacurrentobligationoftheGroup,andtheperformanceofsuchobligationislikelytoresultintheoutflowofeconomicbenefits,andtheamountofsuchobligationcanbemeasuredreliably,itisrecognizedasestimatedliabilities.Onthebalancesheetdate,byconsideringtherisks,uncertaintyandtimevalueofmoneyandotherfactorsrelatedtocontingency,theestimatedliabilitieswillbemeasuredaccordingtothebestestimateoftherequiredexpendituresforperformaceofrelevantpresentobligation.Ifthetimevalueofmoneyissignificant,thebestestimateshallbedeterminedbytheamountdiscountedbytheestimatedfuturecashflows.
28.Revenue
28.1AccountingpoliciesadoptedforrevenuerecognitionandmeasurementdisclosedbybusinesstypeWhentheGrouphasfulfilleditsperformanceobligationsunderthecontract,thatis,whenthecustomerobtainsrightofcontroloftherelevantgoodsorservices,therevenueisrecognizedbasedonthetransactionpricesallocatedtothespecificperformanceobligation.PerformanceobligationsrefertothecontractualcommitmentsinwhichtheGrouptransfersclearlydistinguishablegoodsorservicestothecustomers.
ShenzhenTextile(Holdings)Co.,Ltd.
NotestothefinancialstatementsYearendedDecember31,2024
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(III)Significantaccountingpoliciesandaccountingestimates-continued
28.Revenue-continued
28.1Disclosureofaccountingpoliciesforrevenuerecognitionandmeasurementbybusinesstype-continuedTheGroupevaluatesthecontractonthecontractcommencementdate,identifieseachindividualperformanceobligationcontainedinthecontract,anddetermineswhethereachindividualperformanceobligationisperformedwithinacertainperiodoftimeoratacertainpointintime.Ifoneofthefollowingconditionsismet,itisaperformanceobligationperformedwithinacertainperiodoftime,andtheGrouprecognizesrevenuewithinacertainperiodoftimeaccordingtotheperformanceprogress:(1)thecustomerobtainsandconsumestheeconomicbenefitsbroughtbytheGroupatthesametimeastheGroupperformsthecontract;(2)ThecustomerisabletocontrolthegoodsunderconstructioninthecourseoftheGroup'sperformance;(3)ThegoodsproducedduringtheperformanceoftheGrouphaveirreplaceableuses,andtheGrouphastherighttoreceivepaymentfortheperformanceaccumulatedtodatethroughoutthecontractperiod.Otherwise,theGrouprecognizestherevenueatthepointwhenthecustomerobtainstherightofcontroloftherelevantgoodsorservices.Forgoodssoldtocustomers,theGrouprecognizesrevenuewhentherightofcontrolofthegoodsistransferred,thatis,whenthegoodsaredeliveredtothedesignatedplaceoftheotherpartyandsignedbytheotherparty.Forpropertyservice,theGrouprecognizesrevenueinthecourseofprovidingpropertyservice.TransactionpricesrefertotheamountofconsiderationthattheGroupisexpectedtobeentitledtoreceiveasaresultofthetransferofgoodsorservicestocustomers,butdoesnotincludetheamountreceivedonbehalfofthirdpartiesandtheamountexpectedtobereturnedtocustomersbytheGroup.Whendeterminingthetransactionprices,theGroupconsiderstheimpactofvariableconsideration,significantfinancingcomponentsinthecontract,non-cashconsideration,considerationpayabletocustomersandotherfactors.Ifthecontractcontainstwoormoreperformanceobligations,theGroupshall,onthecommencementdateofthecontract,allocatethetransactionpricestoeachindividualperformanceobligationaccordingtotherelativeratiooftheindividualsellingpriceofthegoodsorservicespromisedbyeachindividualperformanceobligation.However,ifthereisconclusiveevidencethatthecontractualdiscountorvariableconsiderationisonlyrelatedtooneormore(butnotall)performanceobligationsinthecontract,theGroupshallallocatethecontractualdiscountorvariableconsiderationtotherelevantoneormoreperformanceobligations.IndividualsellingpricereferstothepriceatwhichtheGroupsellsgoodsorservicestocustomersseparately.Iftheindividualsellingpricecannotbedirectlyobserved,theGroupwillcomprehensivelyconsideralltheinformationthatcanbereasonablyobtainedandestimatetheindividualsellingpricebymaximizingtheuseofobservableinputvalue.Forsaleswithsalesreturnclauses,theGrouprecognizesrevenueattheamountofconsiderationexpectedtobeentitledtoreceiveduetothetransferofgoodstothecustomer(i.e.,excludingtheamountexpectedtobereturnedduetosalesreturn)whenthecustomerobtainstherelevantcontrolovergoods,andrecognizesliabilitiesattheamountexpectedtobereturnedduetosalesreturn;Atthesametime,thebalanceofthebookvalueoftheexpectedgoodstobereturnedatthetimeoftransferafterdeductingtheexpectedcostofrecoveringthegoods(includingtheimpairmentofthevalueofthereturnedgoods)isrecognizedasanasset.Thenetamountafterdeductingthecostoftheaboveassetwillbetransferredascostbasedonthebookvalueofthetransferredgoods.Forsaleswithqualityassuranceclauses,ifthequalityassuranceprovidesaseparateserviceinadditiontoassuringthecustomerthatthegoodsorservicessoldmeettheestablishedstandards,thequalityassuranceconstitutesasingleperformanceobligation.Otherwise,theGroupshallconductaccountingtreatmentforthequalityassuranceliabilityinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.13-Contingencies.TheGroupdetermineswhetheritistheprincipalortheagentwhenengagingintransactionsbasedonwhetherithastherightofcontroloverthegoodsorservicesbeforetransferringthemtothecustomer.IftheGroupcancontrolthegoodsorservicesbeforetransferringthemtothecustomer,theGroupisthemainresponsiblepersonandrecognizestherevenueaccordingtothetotalconsiderationreceivedorreceivable;Otherwise,theGroupisanagentandrecognizesrevenuebasedontheexpectedcommissionsorservicefeeitisentitledtoreceive.Thisamountisdeterminedbysubtractingthepricepayabletootherrelatedpartiesfromthetotalconsiderationreceivedorreceivable.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
28.Revenue-continued
28.1Disclosureofaccountingpoliciesforrevenuerecognitionandmeasurementbybusinesstype-continuedIftheGroupreceivespaymentinadvancefromcustomersforsalesofgoodsorservices,thepaymentisfirstrecognizedasaliabilityandthentransferredtorevenuewhentherelevantperformanceobligationsarefulfilled.WhentheGroup'sadvancesfromcustomersdonotneedtobereturnedandthecustomermaywaiveallorpartofitscontractualrights,theGroupexpectstobeentitledtotheamountrelatedtothecontractualrightswaivedbythecustomer,andrecognizestheaboveamountasrevenueinratioaccordingtothemodeofthecustomer'sexerciseofcontractualrights;Otherwise,theGroupwillonlytransfertherelevantbalanceoftheabove-mentionedliabilitiestorevenuewhenitishighlyunlikelythatthecustomerwillrequestthefulfillmentoftheremainingperformanceobligations.
29.GovernmentgrantsGovernmentgrantsrefertothemonetaryassetsandnon-monetaryassetsobtainedbytheGroupfromthegovernmentforfree.Governmentgrantsarerecognizedwhentheycanmeettheconditionsattachedtogovernmentgrantsandcanbereceived.Thegovernmentgrantsconsideredasmonetaryassetsaremeasuredattheamountreceivedorreceivable.
29.1JudgmentbasisandaccountingtreatmentsforgovernmentgrantsrelatedtoassetsThesubsidiesfroproductionlineandequipmentintheGroup'sgovernmentgrantscanformlong-termassets,sosuchgovernmentgrantsareasset-relatedgovernmentgrants.Governmentgrantsrelatedtoassetsarerecognizedasdeferredincomeandincludedinthecurrentprofitorlossbystagesaccordingtothestraight-linemethodwithintheservicelifeoftherelevantassets.
29.2JudgmentbasisandaccountingtreatmentsforgovernmentgrantsrelatedtoincomeTheindustrydevelopmentsupportfundsandenterprisedevelopmentsupportfundsintheGroup'sgovernmentgrantscannotformlong-termassets,sosuchgovernmentgrantsareincome-relatedgovernmentgrants.Income-relatedgovernmentgrantsusedtocompensateforrelevantcostsandlossesinsubsequentperiodsarerecognizedasdeferredincomeandincludedinthecurrentprofitorlossintheperiodwhentherelevantcostsorexpensesarerecognized;Ifitisusedtocompensatetherelevantcostsandlossesincurred,itshallbedirectlyincludedinthecurrentprofitorloss.GovernmentgrantsrelatedtothedailyactivitiesoftheGroupareincludedinotherincomeaccordingtotheessenceofeconomicbusiness.GovernmentgrantsunrelatedtothedailyactivitiesoftheGroupareincludedinthenon-operatingrevenue.Whentherecognizedgovernmentgrantsneedtobereturned,ifthereisrelevantdeferredincomebalance,thebookbalanceofrelevantdeferredincomeshallbeoffset,andtheexcessshallbeincludedinthecurrentprofitorloss;Ifthereisnorelevantdeferredincome,itshallbedirectlyincludedinthecurrentprofitorloss.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
30.LeaseLeasesreferstoacontractinwhichthelessortransferstherightofuseoftheassettothelesseeforconsiderationwithinacertainperiodoftime.Atthecommencementdateofthecontract,theGroupassesseswhetherthecontractisaleasecontractorcontainsalease.Unlessthetermsandconditionsofthecontractchange,theGroupdoesnotreassesswhetherthecontractisaleasecontractorcontainsalease.
30.1TheGroupasalessee
30.1.1Spin-offoftheleaseWhenacontractcontainsoneormoreleaseandnon-leaseparts,theGroupwillsplittheindividualleaseandnon-leasepartsandallocatethecontractconsiderationaccordingtotherelativeratioofthesumoftheindividualpriceofeachleasepartandtheindividualpriceofthenon-leasepart.
30.1.2Right-of-useassetsExceptforshort-termleases,theGrouprecognizestheright-of-useassetsoftheleaseontheleasecommencementdate.TheleasecommencementdatereferstothestartingdatewhenthelessorprovidestheleasedassetsforusebytheGroup.Right-of-useassetsareinitiallymeasuredatcost.Thecostincludes:
?Theinitialmeasurementamountoftheleaseliabilities;?Theleasepaymentsmadeonorbeforetheleasecommencementdate,ortherelevantamountafterdeductingtheleaseincentivealreadyenjoyedifany;?InitialdirectcostsincurredbytheGroup;?ThecoststobeincurredtotheGroupfordemolishingandremovingleasedassets,restoringthesitewheretheleasedassetsarelocated,orrestoringtheleasedassetstothestateagreedintheleaseterms.TheGroupdepreciatesrightright-of-useassetswithreferencetothedepreciationprovisionsofAccountingStandardsforBusinessEnterprisesNo.4-FixedAssets.IftheGroupcanreasonablydeterminethattheownershipofleasedassetswillbeobtainedattheexpirationoftheleaseterm,theright-of-useassetsshallbedepreciatedwithintheremainingservicelifeoftheleasedassets.Ifitisnotreasonablycertainthatownershipofleasedassetswillbeobtainedattheexpirationoftheleaseterm,thedepreciationshallbeaccruedduringtheshorteroftheleasetermandremainingservicelifeleasedassets.TheGroupdetermineswhethertheright-of-useassetsareimpairmentinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.8-AssetImpairmentandperformsaccountingtreatmentontheidentifiedimpairmentlosses.
30.1.3LeaseliabilitiesExceptforshort-termleases,theGroupmakesinitialmeasurementoftheleaseliabilitiesontheleasecommencementdateaccordingtothepresentvalueoftheleasepaymentsthathavenotbeenpaidonthatdate.Whencalculatingthepresentvalueofleasepayments,theGroupusestheinterestrateimplicitinleaseasthediscountrate,andiftheinterestrateimplicitinleasecannotbedetermined,theincrementalborrowingrateisusedasthediscountrate.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
30.Leases-continued
30.1TheGroupasalessee-continued
30.1.3Leaseliabilities-continuedLeasepaymentsrefertothepaymentsmadebytheGrouptothelessorinconnectionwiththerighttousetheleasedassetsduringtheleaseterm,including:
?Fixedpayment(includingsubstantialfixedpayment),andtherelevantamountafterdeductingtheleaseincentiveifany;?Variableleasepaymentsdependingonindexorratio;?TheGroupreasonablydeterminestheexercisepriceofpurchaseoptiontobeexercised;?LeasetermreflectstheamountthatneedstobepaidiftheGroupexercisestheoptiontoterminationofleasesterminationofleases;?TheamountexpectedtobepaidbasedontheresidualvalueofguaranteeprovidedbytheGroup.Aftertheleasecommencementdate,theGroupcalculatestheinterestexpensesoftheleaseliabilitiesforeachperiodoftheleasetermatafixedcyclicalinterestrateandincludesitinthecurrentprofitorlossorrelatedassetcosts.Aftertheleasecommencementdate,ifanyofthefollowingcircumstancesoccurs,theGroupshallremeasuretheleaseliabilitiesandadjustthecorrespondingright-of-useassets.Ifthebookvalueoftheright-of-useassetshasbeenreducedtozero,buttheleaseliabilitiesstillneedstobefurtherreduced,theGroupshallincludethedifferenceinthecurrentprofitorloss:
?Ifleasetermchangesorthevaluationresultofpurchaseoptionchanges,theGroupremeasuresleaseliabilitiesbasedonthepresentvalueofthechangedleasepaymentsandthereviseddiscountrate;?Ifthereisachangeintheestimatedamountpayableoftheresidualvalueofguaranteeortheindexorratiousedtodetermineleasepayments,theGroupremeasuresleaseliabilitiesbasedonthechangedleasepaymentsandthepresentvaluecalculatedusingtheoriginaldiscountrate.
30.1.4Asthebasisforjudgmentandaccountingtreatmentsforthesimplifiedtreatmentofshort-termleasesbythelesseeTheGroupchoosesnottorecognizeright-of-useassetsandleaseliabilitiesforshort-termleasesofsomeplantsandsomeleasedwarehouses.Short-termleasereferstoaleasethatlastsfornomorethan12monthsandincludesnopurchaseoptionsattheleasecommencementdate.TheGroupincludestheleasepaymentsofshort-termleasesinthecurrentprofitorlossorrelatedassetcostsaccordingtothestraight-linemethodineachperiodoftheleaseterm.
30.1.5LeasemodificationIftheleaseismodifiedandthefollowingconditionsaremetatthesametime,theGroupwillaccountfortheleasemodificationasaseparatelease:
??Theleasemodificationexpandsthescopeoftheleasebyaddingoneormorerightofuseoftheleasedassets;??Theincreasedconsiderationisequivalenttotheindividualpriceoftheexpandedpartadjustedaccordingtothecontract.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
30.Leases-continued
30.1TheGroupasalessee-continued
30.1.5Leasemodification-continuedIftheleasemodificationisnotaccountedforasaseparatelease,ontheeffectivedateoftheleasemodification,theGroupre-apportionstheconsiderationofthemodifiedcontract,re-determinestheleaseterm,andre-measurestheleaseliabilitiesatthepresentvaluecalculatedaccordingtothemodifiedleasepaymentsandthereviseddiscountrate.Iftheleasemodificationresultsinareductioninthescopeoftheleaseortheleaseterm,theGroupshallreducethebookvalueoftheright-of-useassetsaccordingly,andincludetherelevantgainsorlossesofpartialorcompleteterminationofleasesintothecurrentprofitorloss.Iftheleaseliabilitiesareremeasuredduetootherleasemodification,theGroupshalladjustthebookvalueoftheright-of-useassetsaccordingly.
30.2TheGroupasalessor
30.2.1Spin-offoftheleaseIfthecontractcontainsboththeleaseandnon-leaseparts,theGroupshallallocatethecontractconsiderationaccordingtotheprovisionsoftherevenuestandardsontheallocationoftransactionprices,andthebasisofallocationshallbetheseparatepriceoftheleasepartandthenon-leasepart.
30.2.2ClassificationcriteriaandaccountingtreatmentsasalessorLeasesthatsubstantiallytransfersubstantiallyalloftherisksandrewardsassociatedwiththeownershipofleasedassetsarefinancingleasesLeasesotherthanfinancingleaseareoperatingleases.
30.2.2.1TheGrouprecordsoperatingleasesasalessorDuringeachperiodoftheleaseterm,theGrouprecognizestheleasereceiptsofoperatingleasesasrentalincomebyusingthestraight-linemethod.TheinitialdirectcostsincurredbytheGroupinconnectionwithoperatingleasesarecapitalizedwhenincurred,amortizedonthesamebasisasrentalincomerecognitionduringtheleaseterm,andincludedinthecurrentprofitorlossininstallments.ThevariableleasereceiptsrelatedtooperatingleasesacquiredbytheGroupandnotincludedintheleasereceiptsareincludedinthecurrentprofitorlosswhenactuallyincurred.
30.2.3LeasemodificationIftheoperatingleaseischanged,theGroupwillaccountforitasanewleasefromtheeffectivedateofthechange,andtheadvanceorreceivableleasereceiptsrelatedtotheleasebeforethechangewillberegardedasthereceiptamountofthenewlease.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
31.DeferredtaxassetsanddeferredtaxliabilitiesIncometaxexpensesincludecurrentincometaxanddeferredincometax.
31.1CurrentincometaxOnthebalancesheetdate,thecurrentincometaxliabilities(orassets)formedinthecurrentandpriorperiodsaremeasuredattheexpectedincometaxpayable(orrefundable)calculatedinaccordancewiththetaxlaw.
31.2DeferredtaxassetsanddeferredtaxliabilitiesForthedifferencebetweenthebookvalueofcertainassetsandliabilitiesandtheirtaxbases,andthetemporarydifferencesarisingfromthedifferencebetweenthebookvalueandtaxbaseofitemsthatarenotrecognizedasassetsandliabilitiesbutwhosetaxbasescanbedeterminedinaccordancewiththetaxlaw,thebalancesheetliabilitymethodisadoptedtorecognizedeferredtaxassetsanddeferredtaxliabilities.Ingeneral,therelevantdeferredincometaxesarerecognizedforalltemporarydifferences.However,fordeductibletemporarydifferences,theGrouprecognizestherelevantdeferredtaxassetstotheextentofthetaxableincomethatislikelytobeobtainedtooffsetthedeductibletemporarydifferences.Inaddition,deferredtaxassetsorliabilitiesarenotrecognizedfortemporarydifferencesassociatedwiththeinitialrecognitionofgoodwillandwiththeinitialrecognitionofassetsorliabilitiesarisingfromtransactionsthatareneitherbusinesscombinationsnoraffectaccountingprofitortaxableincome(ordeductiblelosses)anddonotresultinequaltaxabletemporarydifferencesanddeductibletemporarydifferences.Fordeductiblelossandtaxcreditsthatcanbecarriedforwardtosubsequentyears,thecorrespondingdeferredtaxassetsarisingtherefromarerecognizedtotheextentthatfuturetaxableincomewillbeprobabletobeavailableagainstdeductiblelossesandtaxcredits.TheGrouprecognizesdeferredtaxliabilitiesarisingfromtaxabletemporarydifferencesassociatedwithsubsidiaries,associatesandinvestmentsinjointventures,unlesstheGroupisabletocontrolthetimingofthereversalofthetemporarydifferencesanditisprobablethatthetemporarydifferenceswillnotbereversedintheforeseeablefuture.Fordeductibletemporarydifferencesrelatedtosubsidiaries,associatesandinvestmentsinjointventures,theGrouprecognizesdeferredtaxassetsonlyifitisprobablethatthetemporarydifferenceswillreverseintheforeseeablefutureanditisprobablethattaxableincomewillbeavailabletooffsetthedeductibletemporarydifferencesinthefuture.Onthebalancesheetdate,deferredtaxassetsanddeferredtaxliabilitiesshouldbemeasuredattheapplicabletaxrateduringtheperiodofexpectedrecoveryoftherelevantassetsorliquidationoftherelevantassetsaccordingtotheprovisionsoftaxlaws.Exceptforthecurrentincometaxanddeferredincometaxesrelatedtotransactionsandeventsdirectlyincludedinothercomprehensiveincomeorshareholders'equity,whichareincludedinothercomprehensiveincomeorshareholders'equity,andthebookvalueofdeferredincometaxesarisingfrombusinesscombinationtoadjustgoodwill,theremainingcurrentincometaxanddeferredincometaxexpensesorincomeareincludedinthecurrentprofitorloss.Onthebalancesheetdate,thebookvalueofthedeferredtaxassetsshallbereviewed.Ifitislikelythatsufficienttaxableincomewillnotbeavailableinthefuturetooffsetthebenefitsofthedeferredtaxassets,thebookvalueofthedeferredtaxassetsshallbewrittendown.Whenitislikelytoearnsufficienttaxableincome,thewrittendownamountisreversed.
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(III)Significantaccountingpoliciesandaccountingestimates-continued
31.Deferredtaxassets/deferredtaxliabilities-continued
31.3OffsetofincometaxWhentheGrouphasalegalrighttosettleonanetbasisandintendstosettlewithnetamountoracquireassetsandpayoffliabilitiessimultaneously,theGroupreportsthenetamountofcurrentincometaxassetsandcurrenttaxliabilitiesafteroffsetting.WhentheGrouphasthelegalrighttosettlecurrentincometaxassetsandcurrentincometaxliabilitiesonanetbasis,andthedeferredtaxassetsanddeferredtaxliabilitiesarerelatedtotheincometaxleviedbythesametaxcollectionauthorityonthesametaxpayerorondifferenttaxpayers,butineachimportantfutureperiodofreversalofdeferredtaxassetsandliabilities,theinvolvedtaxpayerintendstosettlecurrentincometaxassetsandliabilitiesonanetbasisortoobtainassetsandsettleliabilitiesatthesametime,thedeferredtaxassetsanddeferredtaxliabilitiesoftheGrouparepresentedatthenetamountafteroffset.
32.Changesinsignificantaccountingpoliciesandaccountingestimates
32.1AdjustmentsforchangesinsignificantaccountingpoliciesOnOctober25,2023,theMinistryofFinanceissuedtheAccountingStandardsforBusinessEnterprises-InterpretationNo.17(hereinafterreferredtoas"InterpretationNo.17").InterpretationNo.17standardizestheclassificationofcurrentliabilitiesandnon-currentliabilitiesandtheaccountingtreatmentofsaleandleasebacktransactions,andwillcomeintoeffectonJanuary1,2024.OnDecember6,2024,theMinistryofFinanceissuedtheAccountingStandardsforBusinessEnterprises-InterpretationNo.18"(hereinafterreferredtoas"InterpretationNo.18").Itregulatesthesubsequentmeasurementofinvestmentpropertiesheldasunderlyingitemsunderthefloatingchargemethodandtheaccountingtreatmentofwarranty-typequalityassurancethatisnotasingleperformanceobligation.ItwillcomeintoforcefromDecember6,2024,allowingenterprisestoimplementitaheadoftheannualrelease.Afterassessment,theGroupbelievesthattheadoptionoftheaboveprovisionshasnomaterialimpactontheGroup'sfinancialstatements.
32.2ChangesinaccountingestimatesTheGrouphasnosignificantchangesinaccountingestimatesduringtheyear.
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（IV）Taxation
1.Maintaxtypesandtaxrates
| Taxtype | Taxbasis | Taxrate |
| Value-addedtax | Balanceofoutputtaxminusdeductibleinputtax;Taxexemption,offsetandrefundmeasuresareapplicabletothesalesofexportproducts | Theoutputtaxfordomesticsalesiscalculatedat13%,9%,6%,and5%ofthesalesamountaccordingtorelevanttaxregulations,andtheexportproducttaxrebaterateis13% |
| Urbanmaintenanceandconstructiontax | Turnovertaxpayable | 7% |
| Educationsurcharge | Turnovertaxpayable | 3% |
| Localeducationsurtax | Turnovertaxpayable | 2% |
| Corporateincometax | Taxableincome | 25%、20%、15%、8.25% |
| Propertytaxes | THERESIDUALVALUEAFTERDEDUCTING30%FROMTHEORIGINALVALUEOFTHEPROPERTYATONCE | 1.2% |
Notestothetaxpayerswithdifferentcorporateincometaxrates:
| Nameoftaxpayer | Incometaxrate |
| TheCompany | 25% |
| ShenzhenShenfangPropertyManagementCo.,Ltd. | 20%(Note1) |
| ShenzhenMCENTURYGarmentCo.,Ltd. | 20%(Note1) |
| ShenzhenLisiIndustrialDevelopmentCo.,Ltd. | 20%(Note1) |
| ShenzhenShenfangSungangPropertyManagementCo.,Ltd. | 20%(Note1) |
| ShenzhenHuaqiangHotelCo.,Ltd. | 20%(Note1) |
| SATO(HongKong)Limited | 8.25%(Note2) |
| ShenzhenSAPOPhotoelectricCo.,Ltd.(hereinafterreferredtoas"SAPOPhotoelectric") | 15%(Note3) |
Note1:SeeNote(IV)and2(2)fordetails.Note2:accordingtotheInlandRevenueOrdinanceofHongKong,SATO(HongKong)Limitedissubjecttoatwo-tierprofitstaxsystem.ThefirstHKD2millionoftaxableprofitsshalltaxedatarateof8.25%,andtheprofitsgeneratedthereaftershallbetaxedatarateof16.5%.Note3:SeeNote(IV)and2(1)fordetails.
2.Taxincentives
(1)SAPOPhotoelectric,asubsidiaryoftheCompany,wasjointlyrecognizedasahigh-techenterprisein2022byShenzhenScienceandTechnologyInnovationCommission,FinanceBureauofShenzhenMunicipalityandShenzhenTaxService,StateTaxationAdministration.Thecertificationisvalidfor3yearsandthecertificatenumberisGR202244204504.SinceSAPOPhotoelectricwasrecognizedasahigh-techenterprise,itiseligibleforthetaxincentivesforhigh-techenterprisesforthreeyears.Afterfilingwiththecompetenttaxbureau,SAPOPhotoelectrichaspaidcorporateincometaxatataxrateof15%.
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(IV)Taxes-continued
2.Taxincentives-continued
(2)TheCompany'ssubsidiaries,ShenzhenMCENTURYGarmentCo.,Ltd.,ShenzhenHuaqiangHotelCo.,Ltd.,
ShenzhenLisiIndustrialDevelopmentCo.,Ltd.,ShenzhenShenfangSungangPropertyManagementCo.,Ltd.andShenzhenShenfangPropertyManagementCo.,Ltd.arequalifiedsmalllow-profitenterprises.AccordingtotheAnnouncementoftheMinistryofFinanceandtheStateTaxationAdministrationofTaxationonFurtherImplementingPreferentialPoliciesforCorporateIncomeTaxofSmallandMicroEnterprises(No.13,2022)andtheAnnouncementoftheMinistryofFinanceandtheStateTaxationAdministrationonPreferentialPoliciesforCorporateIncomeTaxofSmallandMicroEnterprisesandIndividualIndustrialandCommercialHouseholds(No.6,2023),thepartoftheannualtaxableincomenotexceedingRMB3millionwillbeincludedinthetaxableincomeafterdeducting25%,andcorporateincometaxwillbepaidatataxrateof20%.
(3)AccordingtotherelevantprovisionsoftheNoticeoftheMinistryofFinance,theGeneralAdministrationof
Customs,andtheStateTaxationAdministrationontheImportTaxPoliciesforSupportingtheDevelopmentoftheNewDisplayDeviceIndustry(CGS[2021]No.19),SAPOPhotoelectric,asubsidiaryoftheCompany,meetstherelevantconditionsandwillenjoythepolicyofexemptionfromimportdutiesonrelevantproductsfromJanuary1,2021,toDecember31,2030.
(4)AccordingtotheAnnouncementonthePolicyofAdditionalValue-AddedTaxDeductionforAdvanced
ManufacturingEnterprises(CZBSWZJGG[2023]No.43)issuedbytheMinistryofFinanceandtheStateTaxationAdministrationinSeptember2023,fromJanuary1,2023toDecember31,2027,advancedmanufacturingenterprisesareallowedtodeductthevalue-addedtaxpayableby5%ofthedeductibleinputtaxforthecurrentperiod.SAPOPhotoelectric,asubsidiaryoftheCompany,meetstherelevantconditionsandenjoyedthepolicyofadditionaldeductionofvalue-addedtax(VAT)in2024.（V）Notestofinancialstatementsitems
1.Monetaryfunds
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Cashonhand: | 4,751.69 | 1,710.40 |
| RMB | 4,691.50 | 1,651.50 |
| HKD | 60.19 | 58.90 |
| Bankdeposits(Note1): | 302,111,853.17 | 462,967,619.54 |
| RMB | 245,621,517.8 | 396,264,667.05 |
| USD | 40,462,152.89 | 62,535,102.56 |
| JPY | 15,265,963.38 | 3,440,280.17 |
| HKD | 762,219.10 | 727,569.76 |
| Othermonetaryfunds(Note2): | 38,844,838.96 | 9,305,118.06 |
| RMB | 10,920,461.06 | 9,305,118.06 |
| JPY | 27,924,377.90 | - |
| Total | 340,961,443.82 | 472,274,448.00 |
| Including:totalamountdepositedabroad | - | - |
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(V)Notestofinancialstatements-continued
1.Monetaryfunds-continuedNote1:bankdepositsincludeinterestincomefromcurrentdepositsand7-daynoticedepositsamountingtoRMB31,765.51(2023:RMB1,548,872.61).Note2:asofDecember31,2024,theGroup'sothermonetaryfundsincludedRMB3,401,500.00(2023:RMB3,400,000.00)ofrestrictedfundsduetoaccountfreezes,andRMB35,443,338.96(2023:RMB5,905,118.06)ofguaranteedepositsforbillsandlettersofcredit.
2.Financialassetsheldfortrading
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Financialassetsmeasuredatfairvaluethroughcurrentprofitorloss | 731,419,904.42 | 821,946,114.68 |
| Including:moneyfundsandstructureddeposits | 731,419,904.42 | 821,946,114.68 |
3.Notesreceivable
(1)Classificationofnotesreceivable
RMB
| Category | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Bankacceptancebills | 47,305,221.88 | 50,963,943.01 |
(2)AsatDecember31,2024,theGrouphasnopledgednotesreceivable.
(3)AsofDecember31,2024,notesreceivableendorsedordiscountedbytheGroupandnotyetdueonthebalancesheetdateattheendoftheperiod
RMB
| Item | Amountderecognizedattheendoftheperiod | Amountnotderecognizedattheendoftheperiod |
| Bankacceptancebill | - | 30,291,952.76 |
(4)Disclosurebyprovisionmethodforbaddebts
RMB
| Category | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||||||||
| Bookbalance | Provisionforbaddebts | Bookvalue | Bookbalance | Provisionforbaddebts | Bookvalue | |||||
| Amount | Ratio(%) | Amount | Provisionratio(%) | Amount | Ratio(%) | Amount | Provisionratio(%) | |||
| Provisionforbaddebtsaccruedonanindividualbasis | - | - | - | - | - | - | - | - | - | - |
| Provisionforbaddebtsmadebyportfolio | 47,305,221.88 | 100.00 | - | - | 47,305,221.88 | 50,963,943.01 | 100.00 | - | - | 50,963,943.01 |
| Including:bankacceptancebills | 47,305,221.88 | 100.00 | - | - | 47,305,221.88 | 50,963,943.01 | 100.00 | - | - | 50,963,943.01 |
| Total | 47,305,221.88 | 100.00 | - | 47,305,221.88 | 50,963,943.01 | 100.00 | - | 50,963,943.01 | ||
(5)In2024,theGrouphasnoactualwrite-offofnotesreceivable.
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(V)Notestofinancialstatements-continued
4.Accountsreceivable
(1)Disclosurebyaging
RMB
| Aging | Bookbalanceattheendoftheyear | Bookbalanceattheendofthepreviousyear |
| Within1year | 888,265,598.53 | 848,526,236.04 |
| 1-2years | 368,365.12 | 1,640,043.18 |
| 2to3years | - | 618,907.34 |
| Over3years | 13,565,696.79 | 12,911,211.29 |
| Total | 902,199,660.44 | 863,696,397.85 |
(2)Disclosurebyprovisionmethodforbaddebts
RMB
| Category | Balanceasattheendofthecurrentyear | ||||
| Bookbalance | Provisionforbaddebts | Bookvalue | |||
| Amount | Ratio(%) | Amount | Provisionratio(%) | ||
| Provisionforbaddebtsaccruedonanindividualbasis | 35,622,829.91 | 3.95 | 17,870,018.37 | 50.16 | 17,752,811.54 |
| Provisionforbaddebtsmadebyportfolio | 866,576,830.53 | 96.05 | 20,597,705.18 | 845,979,125.35 | |
| Including:portfolio1 | 854,782,067.66 | 94.74 | 20,338,340.21 | 2.38 | 834,443,727.45 |
| Combination2 | 11,794,762.87 | 1.31 | 259,364.97 | 2.20 | 11,535,397.90 |
| Total | 902,199,660.44 | 100.00 | 38,467,723.55 | 863,731,936.89 | |
RMB
| Category | Balanceasattheendofthepreviousyear | ||||
| Bookbalance | Provisionforbaddebts | Bookvalue | |||
| Amount | Ratio(%) | Amount | Provisionratio(%) | ||
| Provisionforbaddebtsaccruedonanindividualbasis | 71,687,951.26 | 8.30 | 27,464,002.48 | 38.31 | 44,223,948.78 |
| Provisionforbaddebtsmadebyportfolio | 792,008,446.59 | 91.70 | 16,097,561.42 | 775,910,885.17 | |
| Including:portfolio1 | 779,372,185.30 | 90.24 | 15,882,600.54 | 2.04 | 763,489,584.76 |
| Combination2 | 12,636,261.29 | 1.46 | 214,960.88 | 1.70 | 12,421,300.41 |
| Total | 863,696,397.85 | 100.00 | 43,561,563.90 | 820,134,833.95 | |
AsofDecember31,2024,theCompanyhasnosignificantaccountsreceivablewithindividualprovisionforbaddebts.AsofDecember31,2024,thecreditriskandprovisionforbaddebtsofaccountsreceivableofPortfolio1areasfollows:
RMB
| Type | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| Withinthecreditperiod | 2.11 | 796,842,757.97 | 16,786,953.04 | 780,055,804.93 |
| 1-30daysoverdue | 3.10 | 53,503,516.30 | 1,656,637.60 | 51,846,878.70 |
| 31-60daysoverdue | 26.63 | 3,418,979.10 | 910,571.37 | 2,508,407.73 |
| 61-90daysoverdue | 96.70 | 989,164.17 | 956,528.08 | 32,636.09 |
| Morethan90daysoverdue(withimpairment) | 100.00 | 27,650.12 | 27,650.12 | - |
| Total | 854,782,067.66 | 20,338,340.21 | 834,443,727.45 | |
-54-
(V)Notestofinancialstatements-continued
4.Accountsreceivable-continued
(2)Disclosurebyprovisionmethodforbaddebts-continuedAsofDecember31,2024,thecreditriskandprovisionforbaddebtsofaccountsreceivableofPortfolio2areasfollows:
RMB
| Aging | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| Within1year | 1.44 | 11,460,139.05 | 165,377.59 | 11,294,761.46 |
| 1-2years | 10.00 | 267,373.82 | 26,737.38 | 240,636.44 |
| Over3years | 100.00 | 67,250.00 | 67,250.00 | - |
| Total | 11,794,762.87 | 259,364.97 | 11,535,397.90 | |
AsofDecember31,2024,provisionforbaddebtsismadebasedonthesimplifiedexpectedcreditlossesmodel
RMB
| Provisionforbaddebts | WholedurationExpectedcreditlosses(Nocreditloss) | WholedurationExpectedcreditlosses(Withcreditloss) | Total |
| Balanceatthebeginningoftheyear | 27,153,548.62 | 16,408,015.28 | 43,561,563.90 |
| Balanceatthebeginningoftheyear | |||
| -Transfertocreditlossincurred | - | - | - |
| -Reversalofcreditlossnotincurred | - | - | - |
| Withdrawalinthecurrentyear | 8,871,275.71 | 102,828.16 | 8,974,103.87 |
| Reversalinthecurrentyear | (11,196,138.79) | (2,871,805.43) | (14,067,944.22) |
| Charge-offinthecurrentyear | - | - | - |
| Write-offinthecurrentyear | - | - | - |
| Otherchanges | - | - | - |
| Balanceasattheendofthecurrentyear | 24,828,685.54 | 13,639,038.01 | 38,467,723.55 |
(3)Provisionforbaddebts
RMB
| Type | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | |||
| Provision | Recoveryorreversal | Resaleorwrite-off | Otherchanges | |||
| Provisionforbaddebts | 43,561,563.90 | 8,974,103.87 | (14,067,944.22) | - | - | 38,467,723.55 |
Therewasnosignificantamountofprovisionforbaddebtsrecoveredorreversedthisyear.
(4)Therearenoaccountsreceivablewithactualwrite-offthisyear.
-55-
(V)Notestofinancialstatements-continued
4.Accountsreceivable-continued
(5)Top5accountsreceivableintermsoftheendingbalancesbydebtors
RMB
| Entityname | Bookbalanceattheendoftheyear | ProportioninaccountsreceivableRatioofbalanceattheendoftheyear(%) | ProvisionforbaddebtsBalanceasattheendofthecurrentyear |
| Customer1 | 216,148,577.64 | 23.96 | 4,753,114.82 |
| Customer2 | 102,082,718.13 | 11.31 | 2,184,024.62 |
| Customer3 | 90,645,486.60 | 10.05 | 1,855,541.78 |
| Customer4 | 84,618,742.39 | 9.38 | 1,841,371.17 |
| Customer5 | 65,531,083.75 | 7.26 | 1,350,058.99 |
| Total | 559,026,608.51 | 61.96 | 11,984,111.38 |
5.Receivablesfinancing
(1)Presentationofreceivablesfinancingbycategory
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Bankacceptancebills | 6,804,603.68 | 22,839,459.13 |
TheGroupbelievesthatthebankacceptancebillsitholdsareissuedbybankswithhighcreditratingsandcarrynosignificantcreditrisk;therefore,noprovisionforbaddebtshasbeenmade.
(2)AsatDecember31,2024,theGrouphasnopledgedreceivablesfinancing.
(3)AsofDecember31,2024,receivablesfinancingendorsedordiscountedbytheGroupandnotyetdueonthe
balancesheetdateattheendoftheperiod
RMB
| Item | Amountderecognizedattheendoftheperiod | Amountnotderecognizedattheendoftheperiod |
| Bankacceptancebills | 34,926,518.99 | - |
(4)In2024,theGrouphasnoreceivablesfinancingwithactualwrite-off.
-56-
(V)Notestofinancialstatements-continued
6.Advancestosuppliers
(1)Disclosureofadvancestosuppliersbyaging
RMB
| Aging | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||
| Amount | Ratio(%) | Amount | Ratio(%) | |
| Within1year | 7,233,035.70 | 88.46 | 16,927,119.84 | 86.81 |
| 1-2years | 873,375.47 | 10.68 | 969,677.39 | 4.97 |
| 2to3years | 8,227.73 | 0.10 | 1,603,089.57 | 8.22 |
| Over3years | 62,085.80 | 0.76 | - | - |
| Total | 8,176,724.70 | 100.00 | 19,499,886.80 | 100.00 |
AsofDecember31,2024,theGrouphasnoadvancestosupplierswithanagingofmorethan1yearandanimportantamount.
(2)Top5advancestosuppliersintermsoftheendingbalancesbyprepaymentobjectsThetotalamountofthetopfiveprepaymentscategorizedbyprepaymentobjectsasoftheendoftheyearwasRMB5,657,262.47,accountingfor69.19%oftheendingbalanceofadvancestosuppliers.
7.Otherreceivables
(1)Disclosurebyaging
RMB
| Aging | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Within1year | 2,878,553.22 | 1,860,613.92 |
| 1-2years | 227,729.90 | 548,779.55 |
| 2to3years | 37,922.15 | 690,301.34 |
| Over3years | 18,436,540.75 | 18,115,521.40 |
| Total | 21,580,746.02 | 21,215,216.21 |
| Less:provisionforbaddebts | 17,984,202.06 | 17,994,930.79 |
| Bookvalue | 3,596,543.96 | 3,220,285.42 |
(2)Disclosurebynatureofpayment
RMB
| Natureofpayment | Bookbalanceattheendoftheyear | Bookbalanceattheendofthepreviousyear |
| Currentaccounts | 15,422,685.97 | 15,350,589.97 |
| Guaranteeanddeposits | 2,523,551.88 | 2,000,722.80 |
| Exporttaxrebate | 709,028.48 | 710,026.13 |
| Pettycashandemployeeborrowings | 296,058.95 | 577,183.94 |
| Others | 2,629,420.74 | 2,576,693.37 |
| Total | 21,580,746.02 | 21,215,216.21 |
-57-
(V)Notestofinancialstatements-continued
7.Otherreceivables-continued
(3)ProvisionforbaddebtsAsofDecember31,2024,provisionforbaddebtsismadebasedongeneralmodelofexpectedcreditlosses
RMB
| Provisionforbaddebts | PhaseI | PhaseII | PhaseIII | Total |
| Expectedcreditlossesoverthenext12months | Theentireexpectedcreditlossoverthelifeoftheinstruments(Nocreditloss) | Theentireexpectedcreditlossoverthelifeoftheinstruments(Withcreditloss) | ||
| Balanceatthebeginningoftheyear | 73,918.97 | 268,296.26 | 17,652,715.56 | 17,994,930.79 |
| Balanceatthebeginningoftheyear | 73,918.97 | 268,296.26 | 17,652,715.56 | 17,994,930.79 |
| -TransfertophaseII | (12,183.55) | 12,183.55 | - | - |
| -TransfertophaseIII | - | (187,095.88) | 187,095.88 | - |
| -ReversaltophaseII | - | - | - | - |
| -ReversaltophaseI | - | - | - | - |
| Withdrawalinthecurrentyear | 85,256.08 | - | - | 85,256.08 |
| Reversalinthecurrentyear | - | (54,177.15) | (37,685.24) | (91,862.39) |
| Charge-offinthecurrentyear | - | - | - | - |
| Write-offinthecurrentyear | - | - | (4,122.42) | (4,122.42) |
| Otherchanges | - | - | - | - |
| Balanceasattheendofthecurrentyear | 146,991.50 | 39,206.78 | 17,798,003.78 | 17,984,202.06 |
AsofDecember31,2024,provisionforbaddebtsshallbemadeaccordingtothecreditriskcharacteristiccombination
RMB
| Phase | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| ProvisionforbaddebtsbasedoncreditriskcharacteristiccombinationProvisionforotherreceivables | 83.33 | 21,580,746.02 | 17,984,202.06 | 3,596,543.96 |
AsofDecember31,2024,thecreditriskandprovisionforbaddebtsofotherreceivablesareasfollows:
RMB
| Aging | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| Within1year | 5.11 | 2,878,553.22 | 146,991.50 | 2,731,561.72 |
| 1-2years | 7.69 | 227,729.90 | 17,521.25 | 210,208.65 |
| 2to3years | 57.18 | 37,922.15 | 21,685.53 | 16,236.62 |
| Over3years | 96.54 | 18,436,540.75 | 17,798,003.78 | 638,536.97 |
| Total | 21,580,746.02 | 17,984,202.06 | 3,596,543.96 | |
ShenzhenTextile(Holdings)Co.,Ltd.
NotestothefinancialstatementsYearendedDecember31,2024
-58-
(V)Notestofinancialstatements-continued
7.Otherreceivables-continued
(4)Provisionforbaddebts
RMB
| Type | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | |||
| Provision | Recoveryorreversal | Resaleorwrite-off | Otherchanges | |||
| Provisionforbaddebts | 17,994,930.79 | 85,256.08 | (91,862.39) | (4,122.42) | - | 17,984,202.06 |
Thereisnoprovisionforbaddebtsrecoveryorreversalofsignificantamountinthecurrentyear.
(5)Therearenootherreceivableswithactualwrite-offthisyear.
(6)Topfiveentitiesintermsofendingbalanceofotherreceivablesbydebtors
RMB
| Otherreceivables | Balanceasattheendofthecurrentyear | Ratioinendingbalanceofotherreceivables(%) | Natureofamount | Aging | ProvisionforbaddebtsBalanceasattheendofthecurrentyear |
| TopfiveoftheendingbalanceofthecurrentyearTotalotherreceivables | 16,287,801.03 | 75.47 | 应收单位往来等 | 1年以内、3年以上 | 15,242,801.03 |
8.Inventories
(1)Classificationofinventories
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||||
| Bookbalance | Provisionforinventorydepreciation | Bookvalue | Bookbalance | Provisionforinventorydepreciation | Bookvalue | |
| Rawmaterials | 453,134,126.81 | 14,875,137.34 | 438,258,989.47 | 403,031,948.06 | 7,506,047.48 | 395,525,900.58 |
| Productsinprogress | 335,115,507.53 | 66,220,022.55 | 268,895,484.98 | 309,068,674.96 | 64,610,590.25 | 244,458,084.71 |
| Finishedproducts | 121,746,047.85 | 40,357,658.59 | 81,388,389.26 | 137,596,740.37 | 43,501,540.31 | 94,095,200.06 |
| Entrustedprocessingmaterials | 1,710,557.68 | 496,720.51 | 1,213,837.17 | 2,406,793.65 | 93,806.73 | 2,312,986.92 |
| Total | 911,706,239.87 | 121,949,538.99 | 789,756,700.88 | 852,104,157.04 | 115,711,984.77 | 736,392,172.27 |
Note:asofDecember31,2024,thebookbalanceofthepolarizerinventorieswasRMB905,482,857.11(December31,2023:RMB838,447,375.39),withacorrespondingprovisionforinventorydepreciationofRMB115,967,084.94(December31,2023:RMB107,290,039.96).
(2)Provisionforinventorydepreciation
RMB
| Item | Balanceatthebeginningoftheyear | Increaseinthecurrentyear | Decreaseinthecurrentyear | Balanceasattheendofthecurrentyear | ||
| Provision | Others | Reversalorwrite-off | Others | |||
| Rawmaterials | 7,506,047.48 | 10,509,078.42 | - | 3,139,988.56 | - | 14,875,137.34 |
| Productsinprogress | 64,610,590.25 | 28,883,121.41 | - | 27,273,689.11 | - | 66,220,022.55 |
| Finishedproducts | 43,501,540.31 | 83,743,853.45 | - | 86,887,735.17 | - | 40,357,658.59 |
| Entrustedprocessingmaterials | 93,806.73 | 402,913.78 | - | - | - | 496,720.51 |
| Total | 115,711,984.77 | 123,538,967.06 | - | 117,301,412.84 | - | 121,949,538.99 |
-59-
(V)Notestofinancialstatements-continued
8.Inventories-continued
(2)Provisionforinventorydepreciation-continuedSpecificbasisfordeterminingthenetrealizablevalueofinventoriesandthereasonsforreversalorwrite-offoftheprovisionforinventorydepreciationduringthecurrentyear:
| Item | Specificbasisfordeterminingnetrealizablevalue | Reasonsforreversingorwritingoffprovisionforinventorydepreciationthisyear |
| Rawmaterials,goodsinprocessandconsignedprocessingmaterials | Thenetrealizablevalueisdeterminedbytheestimatedsellingpriceoftherelevantfinishedproductsminustheestimatedcosttobeincurreduntilcompletion,estimatedsellinganddistributionexpensesandrelevanttaxes. | Receivedorsoldinthecurrentyear |
| Finishedproducts | Thenetrealizablevalueisdeterminedbytheestimatedsellingpriceoftheinventoriesminustheestimatedsellinganddistributionexpensesandrelatedtaxes. | Itissoldormarketvalueisrecoveredinthecurrentyear |
(3)AsofDecember31,2024,thereisnoamountinthebalanceofinventoriesusedforguaranteeandnoamountofcapitalizationofborrowingcosts.
9.Othercurrentassets
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Value-addedtaxtobedeductedandinputtaxtobecertified | 2,100,314.86 | 27,399,897.46 |
| Prepaidincometax | 47,034.59 | 47,034.59 |
| Costofreturnreceivable | 19,314,386.69 | 33,326,525.34 |
| Total | 21,461,736.14 | 60,773,457.39 |
10.Long-termequityinvestments
RMB
| Investees | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | ProvisionforimpairmentBalanceasattheendofthecurrentyear | |||||||
| Additionalinvestment | Reducedinvestment | Investmentprofitorlossrecognizedundertheequitymethod | Othercomprehensiveincomeadjustment | Otherchangesinequity | Cashdividendsorprofitsdeclaredtobepaid | ProvisionProvisionforimpairment | Others | ||||
| I.Jointventures | |||||||||||
| ShenzhenGuanhuaPrintingandDyeingCo.,Ltd. | 122,370,494.08 | - | - | (10,814,606.80) | - | - | - | - | - | 111,555,887.28 | - |
| Sub-total | 122,370,494.08 | - | - | (10,814,606.80) | - | - | - | - | - | 111,555,887.28 | - |
| II.Associates | |||||||||||
| ShenzhenChanglianfaPrintingandDyeingCo.,Ltd. | 3,358,117.09 | - | - | 260,171.67 | - | - | (346,150.00) | - | - | 3,272,138.76 | - |
| YehuiInternationalCo.,Ltd. | 1,953,409.53 | - | (1,805,949.58) | (147,459.95) | - | - | - | - | - | - | - |
| Sub-total | 5,311,526.62 | - | (1,805,949.58) | 112,711.72 | - | - | (346,150.00) | - | - | 3,272,138.76 | - |
| Total | 127,682,020.70 | - | (1,805,949.58) | (10,701,895.08) | - | - | (346,150.00) | - | - | 114,828,026.04 | - |
-60-
(V)Notestofinancialstatements-continued
11.Otherequityinstrumentinvestments
(1)Detailsofotherequityinstrumentinvestments
RMB
| Item | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | Dividendincomerecognizedinthecurrentperiod | Accumulativegainsaccruedtoothercomprehensiveincome | Accumulativelossesaccruedtoothercomprehensiveincome | Reasonsdesignatedasbeingmeasuredatfairvaluethroughothercomprehensiveincome | ||||
| Additionalinvestment | Reducedinvestment | Gainsaccruedtoothercomprehensiveincomeinthecurrentyear | Lossaccruedtoothercomprehensiveincomeinthecurrentyear | Others | |||||||
| HualianDevelopmentCo.,Ltd. | 110,457,700.00 | - | - | 19,426,300.00 | - | - | 129,884,000.00 | 208,000.00 | 127,284,000.00 | - | TheGroupplanstoholditforalongtime |
| ShenzhenDailisiUnderwearCo.,Ltd. | 17,741,900.00 | - | - | 1,901,000.00 | - | - | 19,642,900.00 | 1,037,735.85 | 17,083,043.74 | - | TheGroupplanstoholditforalongtime |
| ShenzhenNanfangTextileCo.,Ltd. | 14,803,400.00 | - | - | - | (1,621,700.00) | - | 13,181,700.00 | 865,050.16 | 11,681,700.00 | - | TheGroupplanstoholditforalongtime |
| ShenzhenXinfangKnittingFactoryCo.,Ltd. | 2,985,900.00 | - | - | - | (291,600.00) | - | 2,694,300.00 | 200,000.00 | 2,170,300.00 | - | TheGroupplanstoholditforalongtime |
| JintianIndustry(Group)Co.,Ltd. | - | - | - | - | - | - | - | - | - | (14,831,681.50) | TheGroupplanstoholditforalongtime |
| Total | 145,988,900.00 | - | - | 21,327,300.00 | (1,913,300.00) | - | 165,402,900.00 | 2,310,786.01 | 158,219,043.74 | (14,831,681.50) | |
(2)DescriptionofderecognitioninthecurrentyearThereisnoderecognitionofotherequityinstrumentinvestmentsthisyear.
-61-
(V)Notestofinancialstatements-continued
12.Investmentproperties
(1)Investmentpropertiesmeasuredatthecostmode
RMB
| Item | Housesandbuildings |
| I.Totaloriginalbookvalue | |
| 1.Balanceatthebeginningoftheyear | 350,367,442.40 |
| 2.Increaseinthecurrentyear | - |
| (1)Outsourcing | - |
| (2)Transferoffixedassets | - |
| 3.Decreaseinthecurrentyear | - |
| (1)Disposal | - |
| (2)Othertransfer-out | - |
| 4.Balanceattheendoftheyear | 350,367,442.40 |
| II.Accumulateddepreciationandaccumulatedamortization | |
| 1.Balanceatthebeginningoftheyear | 224,764,235.22 |
| 2.Increaseinthecurrentyear | 9,609,816.99 |
| (1)Provisionoramortization | 9,609,816.99 |
| (2)Transferoffixedassets | - |
| 3.Decreaseinthecurrentyear | - |
| (1)Disposal | - |
| (2)Othertransfer-out | - |
| 4.Balanceattheendoftheyear | 234,374,052.21 |
| III.Provisionforimpairment | |
| 1.Balanceatthebeginningoftheyear | - |
| 2.Increaseinthecurrentyear | - |
| (1)Provision | - |
| 3.Decreaseinthecurrentyear | - |
| (1)Disposal | - |
| 4.Balanceattheendoftheyear | - |
| IV.Bookvalue | |
| 1.Bookvalueattheendoftheyear | 115,993,390.19 |
| 2.Bookvalueatthebeginningoftheyear | 125,603,207.18 |
(2)Investmentpropertieswithoutcertificateoftitle
RMB
| Item | Bookvalue | Reasonsforfailuretoobtainthecertificateoftitle |
| Housesandbuildings | 11,556,252.96 | Warrantsnotobtainedforhistoricalreasons |
-62-
(V)Notestofinancialstatements-continued
13.Fixedassets
(1)Fixedassets
RMB
| Item | Buildingsandconstructions | Machineryequipment | Transportationequipment | Electronicequipmentandothers | Total |
| I.Totaloriginalbookvalue | |||||
| 1.Balanceatthebeginningoftheyear | 727,679,833.94 | 2,711,433,903.98 | 17,090,895.87 | 44,539,622.55 | 3,500,744,256.34 |
| 2.Increaseinthecurrentyear | 9,634,489.50 | 35,489,764.62 | 471,769.90 | 1,139,257.60 | 46,735,281.62 |
| (1)Purchase | - | 5,444,196.63 | 471,769.90 | 1,139,257.60 | 7,055,224.13 |
| (2)Transferfromconstructioninprogress | - | 30,045,567.99 | - | - | 30,045,567.99 |
| (3)Otherchanges | 9,634,489.50 | - | - | - | 9,634,489.50 |
| 3.Decreaseinthecurrentyear | - | 4,168,000.00 | 266,184.80 | 717,804.27 | 5,151,989.07 |
| (1)Disposalorscrapping | - | - | 266,184.80 | 717,804.27 | 983,989.07 |
| (2)Otherchanges | - | 4,168,000.00 | - | - | 4,168,000.00 |
| 4.Balanceattheendoftheyear | 737,314,323.44 | 2,742,755,668.60 | 17,296,480.97 | 44,961,075.88 | 3,542,327,548.89 |
| II.Accumulateddepreciation | |||||
| 1.Balanceatthebeginningoftheyear | 189,420,295.28 | 1,179,132,635.63 | 7,869,614.58 | 33,092,767.56 | 1,409,515,313.05 |
| 2.Increaseinthecurrentyear | 23,097,751.05 | 198,886,428.20 | 2,046,425.49 | 4,076,907.22 | 228,107,511.96 |
| (1)Provision | 23,097,751.05 | 198,886,428.20 | 2,046,425.49 | 4,076,907.22 | 228,107,511.96 |
| (2)Otherchanges | - | - | - | - | - |
| 3.Decreaseinthecurrentyear | - | - | 249,694.76 | 677,349.26 | 927,044.02 |
| (1)Disposalorscrapping | - | - | 249,694.76 | 677,349.26 | 927,044.02 |
| (2)Otherchanges | - | - | - | - | - |
| 4.Balanceattheendoftheyear | 212,518,046.33 | 1,378,019,063.83 | 9,666,345.31 | 36,492,325.52 | 1,636,695,780.99 |
| III.Provisionforimpairment | |||||
| 1.Balanceatthebeginningoftheyear | 9,820,261.26 | 15,149,037.18 | 6,126.41 | 247,280.71 | 25,222,705.56 |
| 2.Increaseinthecurrentyear | 99,508.16 | 6,572,870.85 | 1,102.16 | 189,993.37 | 6,863,474.54 |
| (1)Provision | 99,508.16 | 6,572,870.85 | 1,102.16 | 189,993.37 | 6,863,474.54 |
| 3.Decreaseinthecurrentyear | - | - | - | 7,256.11 | 7,256.11 |
| (1)Disposalorscrapping | - | - | - | 7,256.11 | 7,256.11 |
| 4.Balanceattheendoftheyear | 9,919,769.42 | 21,721,908.03 | 7,228.57 | 430,017.97 | 32,078,923.99 |
| IV.Bookvalue | |||||
| 1.Bookvalueattheendoftheyear | 514,876,507.69 | 1,343,014,696.74 | 7,622,907.09 | 8,038,732.39 | 1,873,552,843.91 |
| 2.Bookvalueatthebeginningoftheyear | 528,439,277.40 | 1,517,152,231.17 | 9,215,154.88 | 11,199,574.28 | 2,066,006,237.73 |
(2)Fixedassetswithoutcertificateoftitle
RMB
| Item | Bookvalue | Reasonsforfailuretoobtainthecertificateoftitle |
| Housesandbuildings | 10,815,790.07 | Warrantsnothandledforhistoricalreasons |
(3)FixedassetsofmortgageandguaranteeAsatDecember31,2024,theGroup'sfixedassetsmortgagedforbankborrowingsaredetailedinNote(V)21"AssetswithRestrictedOwnershiporRightofUse".
-63-
(V)Notestofinancialstatements-continued
14.Constructioninprogress
14.1Summaryofconstructioninprogress
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Constructioninprogress | 5,814,012.03 | 31,307,060.74 |
14.2Constructioninprogress
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||||
| Bookbalance | Provisionforimpairment | Netbookvalue | Bookbalance | Provisionforimpairment | Netbookvalue | |
| Installationofmachineryequipment | 5,814,012.03 | - | 5,814,012.03 | 31,307,060.74 | - | 31,307,060.74 |
15.Right-of-useassets
RMB
| Item | Buildingsandconstructions | Machineryequipment | Total |
| I.Totaloriginalbookvalue: | |||
| 1.Balanceatthebeginningoftheyear | 33,450,802.23 | - | 33,450,802.23 |
| 2.Increaseinthecurrentyear | 11,214,565.00 | 1,799,631.64 | 13,014,196.64 |
| (1)Addition | 11,214,565.00 | 1,799,631.64 | 13,014,196.64 |
| 3.Decreaseinthecurrentyear | 8,181,940.76 | - | 8,181,940.76 |
| (1)Terminationofleases | 8,181,940.76 | - | 8,181,940.76 |
| 4.Balanceattheendoftheyear | 36,483,426.47 | 1,799,631.64 | 38,283,058.11 |
| II.Accumulateddepreciation | |||
| 1.Balanceatthebeginningoftheyear | 21,451,335.66 | - | 21,451,335.66 |
| 2.Increaseinthecurrentyear | 8,105,002.79 | 1,546,340.96 | 9,651,343.75 |
| (1)Provision | 8,105,002.79 | 1,546,340.96 | 9,651,343.75 |
| 3.Decreaseinthecurrentyear | 8,157,739.16 | - | 8,157,739.16 |
| (1)Terminationofleases | 8,157,739.16 | - | 8,157,739.16 |
| 4.Balanceattheendoftheyear | 21,398,599.29 | 1,546,340.96 | 22,944,940.25 |
| III.Provisionforimpairment | |||
| 1.Balanceatthebeginningoftheyear | - | - | - |
| 2.Increaseinthecurrentyear | - | - | - |
| (1)Provision | - | - | - |
| 3.Decreaseinthecurrentyear | - | - | - |
| 4.Balanceattheendoftheyear | - | - | - |
| IV.Bookvalue | |||
| 1.Bookvalueattheendoftheyear | 15,084,827.18 | 253,290.68 | 15,338,117.86 |
| 2.Bookvalueatthebeginningoftheyear | 11,999,466.57 | - | 11,999,466.57 |
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(V)Notestofinancialstatements-continued
16.Intangibleassets
(1)Detailsofintangibleassets
RMB
| Item | Landuserights | Software | Patentright | Total |
| I.Totaloriginalbookvalue | ||||
| 1.Balanceatthebeginningoftheyear | 48,258,239.00 | 22,600,069.86 | 11,825,200.00 | 82,683,508.86 |
| 2.Increaseinthecurrentyear | - | 219,057.84 | - | 219,057.84 |
| (1)Purchase | - | 219,057.84 | - | 219,057.84 |
| 3.Decreaseinthecurrentyear | - | - | - | - |
| 4.Balanceattheendoftheyear | 48,258,239.00 | 22,819,127.70 | 11,825,200.00 | 82,902,566.70 |
| II.Accumulatedaccumulation | ||||
| 1.Balanceatthebeginningoftheyear | 16,165,713.67 | 15,128,172.39 | 11,825,200.00 | 43,119,086.06 |
| 2.Increaseinthecurrentyear | 891,565.32 | 3,684,123.37 | - | 4,575,688.69 |
| (1)Provision | 891,565.32 | 3,684,123.37 | - | 4,575,688.69 |
| 3.Decreaseinthecurrentyear | - | - | - | - |
| 4.Balanceattheendoftheyear | 17,057,278.99 | 18,812,295.76 | 11,825,200.00 | 47,694,774.75 |
| III.Provisionforimpairment | ||||
| 1.Balanceatthebeginningoftheyear | - | - | - | - |
| 2.Increaseinthecurrentyear | - | - | - | - |
| 3.Decreaseinthecurrentyear | - | - | - | - |
| 4.Balanceattheendoftheyear | - | - | - | - |
| IV.Bookvalue | ||||
| 1.Bookvalueattheendoftheyear | 31,200,960.01 | 4,006,831.94 | - | 35,207,791.95 |
| 2.Bookvalueatthebeginningoftheyear | 32,092,525.33 | 7,471,897.47 | - | 39,564,422.80 |
AsatDecember31,2024,fortheintangibleassetspledgedbytheGroupduetobankborrowings,pleaserefertoNote(V),21"Assetswithrestrictedownershiporrightofuse"fordetails.
17.Goodwill
(1)Originalbookvalueofgoodwill
RMB
| Nameoftheinvesteesormattersforminggoodwill | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| SAPOPhotoelectric | 9,614,758.55 | - | - | 9,614,758.55 |
| ShenzhenMCENTURYGarmentCo.,Ltd. | 2,167,341.21 | - | - | 2,167,341.21 |
| Total | 11,782,099.76 | - | - | 11,782,099.76 |
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(V)Notestofinancialstatements-continued
17.Goodwill-continued
(2)Provisionforimpairmentofgoodwill
RMB
| Nameoftheinvesteesormattersforminggoodwill | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| SAPOPhotoelectric | 9,614,758.55 | - | - | 9,614,758.55 |
| ShenzhenMCENTURYGarmentCo.,Ltd. | 2,167,341.21 | - | - | 2,167,341.21 |
| Total | 11,782,099.76 | - | - | 11,782,099.76 |
18.Long-termdeferredexpenses
RMB
| Item | Balanceatthebeginningoftheyear | Increaseinthecurrentyear | Amortizationamountforthecurrentyear | Otherdecreases | Balanceasattheendofthecurrentyear |
| Decorationandfacilityrenovationcosts | 3,503,660.94 | 5,515,370.67 | 2,934,915.74 | - | 6,084,115.87 |
19.Deferredtaxassetsanddeferredtaxliabilities
(1)Deferredtaxassetswithoutoffset
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||
| Deductibletemporarydifferences | DeferredtaxAssets | Deductibletemporarydifferences | DeferredtaxAssets | |
| Provisionforcreditlosses | 55,500,808.39 | 9,874,641.13 | 59,994,128.15 | 10,538,054.68 |
| Provisionforassetimpairment | 146,194,722.68 | 21,929,208.40 | 132,512,745.52 | 19,876,911.83 |
| Unrealizedprofitsofinternaltransactions | 2,056,848.93 | 308,527.34 | 2,145,963.47 | 321,894.52 |
| Employeecompensationpayable | 4,173,800.00 | 1,043,450.00 | 4,173,800.00 | 1,043,450.00 |
| Deferredincome | 95,821,558.58 | 14,373,233.79 | 96,647,256.82 | 14,497,088.52 |
| Deductiblelosses | 96,771,113.52 | 14,515,667.03 | 127,769,387.40 | 19,165,408.11 |
| Fairvaluechangesofinvestmentsinotherequityinstruments | 14,831,681.50 | 3,707,920.38 | 14,831,681.50 | 3,707,920.38 |
| Leaseliabilities | 16,381,050.71 | 2,457,157.61 | 12,177,572.68 | 1,826,635.90 |
| Changesinfairvalueofderivativefinancialliabilities | 1,278,559.35 | 191,783.90 | - | - |
| Estimatedliabilities | 9,451,090.40 | 1,417,663.56 | - | - |
| Total | 442,461,234.06 | 69,819,253.14 | 450,252,535.54 | 70,977,363.94 |
BasedontheGroup'sprofitforecastforthefutureperiods,theGroupbelievesthatitishighlyprobabletoobtainsufficienttaxableincometoutilizetheabove-mentioneddeductibletemporarydifferencesanddeductiblelossesinthefutureperiods,sotherelevantdeferredtaxassetsarerecognized.
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(V)Notestofinancialstatements-continued
19.Deferredtaxassetsanddeferredtaxliabilities-continued
(2)Deferredtaxliabilitieswithoutoffset
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||
| Taxabletemporarydifferences | DeferredtaxLiabilities | Taxabletemporarydifferences | DeferredtaxLiabilities | |
| Differencebetweeninitialrecognitioncostandtaxbaseoflong-termequityinvestments | 62,083,693.36 | 15,520,923.34 | 62,083,693.36 | 15,520,923.34 |
| Fairvaluechangesofinvestmentsinotherequityinstruments | 158,219,043.74 | 39,554,760.94 | 138,805,043.74 | 34,701,260.94 |
| Rentreceivable | 8,532,598.56 | 2,133,149.64 | 10,108,726.81 | 2,527,181.70 |
| Right-of-useassets | 15,338,117.86 | 2,300,717.68 | 11,999,466.57 | 1,799,919.99 |
| Total | 244,173,453.52 | 59,509,551.60 | 222,996,930.48 | 54,549,285.97 |
(3)Deferredtaxassetsorliabilitieslistednetamountafterwrite-offs
RMB
| Item | Deductionamountofdeferredtaxassetsandliabilitiesattheendofthecurrentyear | Balanceofdeferredtaxassetsorliabilitiesafteroffsetattheendofthecurrentyear | Deductionamountofdeferredtaxassetsandliabilitiesattheendofthepreviousyear | Balanceofdeferredtaxassetsorliabilitiesafteroffsetattheendofthepreviousyear |
| Deferredtaxassets | (10,898,741.94) | 58,920,511.20 | (10,371,998.52) | 60,605,365.42 |
| Deferredtaxliabilities | (10,898,741.94) | 48,610,809.66 | (10,371,998.52) | 44,177,287.45 |
(4)Unrecognizeddeferredtaxassets
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Deductibletemporarydifferences | 15,750,990.01 | 14,740,965.97 |
| Deductiblelosses | 365,594,502.67 | 442,263,671.30 |
| Total | 381,345,492.68 | 457,004,637.27 |
(5)Deductiblelossesfromunrecognizeddeferredtaxassetswillbeexpiredinthefollowingyears
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Year2024 | - | 69,053,143.67 |
| 2025 | - | - |
| 2026 | 83,168,900.37 | 53,989,578.07 |
| 2027 | 10,067,397.50 | 10,067,397.50 |
| 2028 | 13,479,346.66 | 39,988,583.76 |
| 2029 | 132,565,644.36 | 129,732,249.98 |
| 2030 | 75,352,814.24 | 75,352,814.24 |
| 2031 | - | - |
| 2032 | - | - |
| 2033 | 50,960,399.54 | 64,079,904.08 |
| 2034 | - | - |
| Total | 365,594,502.67 | 442,263,671.30 |
-67-
(V)Notestofinancialstatements-continued
20.Othernon-currentassets
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
| Advancesforprojectsandequipment | 2,033,785.64 | - | 2,033,785.64 | 3,757,334.44 | - | 3,757,334.44 |
| Investmentfundstobeliquidated | 25,760,086.27 | - | 25,760,086.27 | 25,760,086.27 | - | 25,760,086.27 |
| Total | 27,793,871.91 | - | 27,793,871.91 | 29,517,420.71 | - | 29,517,420.71 |
-68-
(V)Notestofinancialstatements-continued
21.Assetswithrestrictionsontheownershiporuseright
| Item | Attheendofcurrentyear | Attheendofthepreviousyear | ||||||
| Bookbalance | Bookvalue | Restrictedtype | Restrictedcondition | Bookbalance | Bookvalue | Restrictedtype | Restrictedcondition | |
| Monetaryfunds | 38,844,838.96 | 38,844,838.96 | Restrictedrightofuse | Accountfreezingandguarantee | 9,305,118.06 | 9,305,118.06 | Restrictedrightofuse | Accountfreezingandguarantee |
| Notesreceivable | 30,291,952.76 | 30,291,952.76 | Restrictedrightofuse | Billendorsementhasnotbeenderecognized | 42,665,954.11 | 42,665,954.11 | Restrictedrightofuse | Billendorsementhasnotbeenderecognized |
| Fixedassets | 581,895,750.64 | 448,156,480.33 | Restrictedrightofuse | Mortgage | 572,261,261.14 | 454,185,881.22 | Restrictedrightofuse | Mortgage |
| Intangibleassets | 44,770,083.00 | 31,200,960.01 | Restrictedrightofuse | Mortgage | 44,770,083.00 | 32,092,525.33 | Restrictedrightofuse | Mortgage |
| Total | 695,802,625.36 | 548,494,232.06 | 669,002,416.31 | 538,249,478.72 | ||||
-69-
(V)Notestofinancialstatements-continued
22.Short-termborrowings
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Creditborrowings | - | 8,000,000.00 |
23.Derivativefinancialliabilities
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Foreignexchangeforwardcontract | 1,278,559.35 | - |
24.Notespayable
RMB
| Billtype | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Bankacceptancebills | 31,095,540.29 | 31,049,291.49 |
TheGrouphadnonotespayableduebutunpaidattheendoftheyear.
25.Accountspayable
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Paymentforgoods | 282,510,771.35 | 386,767,637.00 |
| Servicefee | 15,645,017.04 | 13,817,610.72 |
| Paymentforoutsourcingprocessing | 3,489,364.64 | 4,584,423.60 |
| Royalties | 2,006,578.00 | 2,207,166.50 |
| Others | 1,160,849.52 | 1,171,298.42 |
| Total | 304,812,580.55 | 408,548,136.24 |
AsatDecember31,2024,theGrouphadnosignificantaccountspayablewithagingofover1yearoroverdue.
26.Advancesfromcustomers
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Rentandothers | 1,051,491.96 | 1,450,096.30 |
AsatDecember31,2024,theGrouphadnosignificantadvancesfromcustomerswithagingofover1year.
27.Contractliabilities
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Paymentforgoods | 490,562.97 | 1,436,943.34 |
AsatDecember31,2024,theGrouphadnosignificantcontractliabilitieswithagingofmorethan1year.
-70-
(V)Notestofinancialstatements-continued
28.Employeecompensationpayable
(1)Presentationofemployeecompensationpayable
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| Short-termcompensation | 53,853,081.65 | 213,903,704.48 | 214,130,906.81 | 53,625,879.32 |
| Post-employmentbenefits-definedcontributionplans | - | 18,732,853.22 | 18,032,853.22 | 700,000.00 |
| Dismissalwelfare | 2,584,080.44 | 6,172,694.98 | 6,397,364.82 | 2,359,410.60 |
| Total | 56,437,162.09 | 238,809,252.68 | 238,561,124.85 | 56,685,289.92 |
(2)Presentationofshort-termcompensation
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| Salaries,bonuses,allowancesandsubsidies | 50,484,811.72 | 190,224,348.48 | 189,308,677.27 | 51,400,482.93 |
| Employeewelfareexpenses | - | 6,936,747.83 | 6,936,747.83 | - |
| Socialinsurancepremiums | - | 4,740,283.18 | 4,740,283.18 | - |
| Including:medicalinsurancepremiums | - | 3,516,302.65 | 3,516,302.65 | - |
| Maternityinsurancepremiums | - | 572,355.25 | 572,355.25 | - |
| Work-relatedinjuryinsurancepremiums | - | 651,625.28 | 651,625.28 | - |
| Housingprovidentfund | - | 8,872,644.55 | 8,872,644.55 | - |
| Unionfundsandemployeeeducationfunds | 3,368,269.93 | 3,129,680.44 | 4,272,553.98 | 2,225,396.39 |
| Total | 53,853,081.65 | 213,903,704.48 | 214,130,906.81 | 53,625,879.32 |
(3)Presentationofdefinedcontributionplans
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| Basicendowmentinsurancepremiums | - | 15,756,686.06 | 15,056,686.06 | 700,000.00 |
| Supplementaryendowmentinsurancepremiums | - | 2,765,981.24 | 2,765,981.24 | - |
| Unemploymentinsurancepremium | - | 210,185.92 | 210,185.92 | - |
| Total | - | 18,732,853.22 | 18,032,853.22 | 700,000.00 |
TheGroupparticipatesintheendowmentinsuranceandunemploymentinsuranceplansestablishedbygovernmentagenciesinaccordancewiththeregulations.Accordingtotheplans,theGroupmakescontributionstosuchplansinaccordancewiththeprescribedstandards.Exceptfortheabovemonthlycontributions,theGrouphasnofurtherpaymentobligations.Thecorrespondingexpensesareincludedinthecurrentprofitorlossorthecostofrelatedassetswhenincurred.TheGroupshallpayRMB15,756,686.06andRMB210,185.92totheendowmentinsuranceandunemploymentinsuranceplansrespectivelyforthecurrentyear(2023:RMB14,207,148.80andRMB296,839.87).AsatDecember31,2024,theGroupstillhadRMB700,000.00ofpayablecontributionsduebutnotpaidtotheendowmentinsuranceplanduringthereportingperiod,andtherelevantpayablecontributionsareexpectedtobepaidafterthereportingperiod.
-71-
(V)Notestofinancialstatements-continued
29.Taxespayable
RMB
| Taxation | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Corporateincometax | 4,720,967.29 | 2,080,849.81 |
| Individualincometax | 751,443.34 | 1,080,628.82 |
| Value-addedtax | 592,143.28 | 582,961.29 |
| Othertaxes | 789,176.93 | 596,455.22 |
| Total | 6,853,730.84 | 4,340,895.14 |
30.Otherpayables
(1)Otherpayablesbynatureofpayment
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Engineeringequipmentpayment | 56,213,373.95 | 67,176,881.34 |
| Currentaccounts | 53,333,604.97 | 56,444,481.12 |
| Guaranteeanddeposits | 37,775,687.75 | 48,208,919.61 |
| Others | 12,974,323.31 | 12,698,062.48 |
| Total | 160,296,989.98 | 184,528,344.55 |
(2)AsatDecember31,2024,theGrouphadnosignificantotherpayableswithagingofmorethan1yearoroverdue.
31.Non-currentliabilitiesmaturingwithinoneyear
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Long-termborrowingsmaturingwithinoneyear(Note(V),33) | 47,011,978.04 | 102,612,497.53 |
| Leaseliabilitiesmaturingwithinoneyear(Note(V),34) | 6,884,486.59 | 5,490,255.46 |
| Estimatedliabilitiesduewithinoneyear | 9,451,090.40 | - |
| Total | 63,347,555.03 | 108,102,752.99 |
32.Othercurrentliabilities
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Endorsedbutundueacceptancebills | 30,291,952.76 | 42,665,954.11 |
| Payablesforreturnedgoods | 23,747,757.33 | 37,244,449.90 |
| Outputtaxtobecarriedforwardinthevalue-addedtax | 32,312.18 | 172,073.21 |
| Total | 54,072,022.27 | 80,082,477.22 |
-72-
(V)Notestofinancialstatements-continued
33.Long-termborrowings
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | Interestraterange |
| Guaranteedborrowings(Note) | 209,400,848.04 | 608,190,812.09 | 3.36%-3.41% |
| Total | 209,400,848.04 | 608,190,812.09 | |
| Less:long-termborrowingsmaturingwithinoneyear | 47,011,978.04 | 102,612,497.53 | |
| Long-termborrowingsdueafteroneyear | 162,388,870.00 | 505,578,314.56 |
Note:SAPOPhotoelectric,asubsidiaryoftheCompany,obtainedtheloanbymortgagingtherealestatesuchastheplantitheld,andtheCompanyandHengmeiOptoelectronicsCo.,Ltd.provided60%and40%jointandseveralliabilityguaranteefortheloanrespectively.
34.Leaseliabilities
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Leaseliabilities | 16,381,050.71 | 12,177,572.68 |
| Total | 16,381,050.71 | 12,177,572.68 |
| Less:Leaseliabilitymaturingwithinoneyear | 6,884,486.59 | 5,490,255.46 |
| Leaseliabilitiesdueafteroneyear | 9,496,564.12 | 6,687,317.22 |
TheGroup'sleaseliabilitiesarepresentedasfollowsaccordingtothematurityofundiscountedremainingcontractualobligations:
RMB
| Within1month | 1-3months | 3-12months | 1-5years | Over5years | Total | |
| Balanceasattheendofthecurrentyear | 1,105,714.51 | 2,425,877.50 | 3,879,671.64 | 7,808,943.06 | 3,098,158.97 | 18,318,365.68 |
| Balanceasattheendofthepreviousyear | 513,149.55 | 2,012,582.22 | 3,284,024.84 | 5,822,333.46 | 1,672,592.08 | 13,304,682.15 |
35.Deferredincome
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear | Formationcauses |
| Governmentgrants | 97,485,986.89 | 15,265,000.00 | 16,401,790.63 | 96,349,196.26 | Governmentgrantsreceived |
36.Equity
RMB
| Item | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | ||||
| Newsharesissued | Bonusissue | Conversionofprovidentfundintoshares | Others | Sub-total | |||
| Totalshares | 506,521,849.00 | - | - | - | - | - | 506,521,849.00 |
-73-
(V)Notestofinancialstatements-continued
37.Capitalreserve
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| Equitypremium | 1,826,482,608.54 | - | - | 1,826,482,608.54 |
| Othercapitalreserves | 135,117,216.09 | - | - | 135,117,216.09 |
| Total | 1,961,599,824.63 | - | - | 1,961,599,824.63 |
38.Othercomprehensiveincome
RMB
| Item | Balanceatthebeginningoftheyear | Amountbeforeincometaxthisyear | Amountforthecurrentyear | Balanceasattheendofthecurrentyear | ||||
| Less:theamountincludedinothercomprehensiveincomeinpriorperiodandtransferredtocurrentprofitorloss | Less:retainedincomeincludedinothercomprehensiveincomeinpriorperiodsandtransferredtocurrentprofitorloss | Less:incometaxexpenses | Attributabletoparentcompanyaftertax | Attributabletominorityshareholdersaftertax | ||||
| I.Othercomprehensiveincomethatcannotbereclassifiedintoprofitorloss | 92,317,307.32 | 19,414,000.00 | - | - | 4,853,500.00 | 14,560,500.00 | - | 106,877,807.32 |
| 1.Changesinfairvalueofotherequityinstrumentinvestments | 92,317,307.32 | 19,414,000.00 | - | - | 4,853,500.00 | 14,560,500.00 | - | 106,877,807.32 |
| II.Othercomprehensiveincometobereclassifiedintoprofitorlosslater | 1,290,073.49 | - | 1,290,073.49 | - | - | (1,290,073.49) | - | - |
| 1.Changesinthefairvalueofotherdebtinvestments | - | - | - | - | - | - | - | - |
| 2.Translationdifferencesofforeigncurrencyfinancialstatements | 1,290,073.49 | - | 1,290,073.49 | - | - | (1,290,073.49) | - | - |
| Totalofothercomprehensiveincome | 93,607,380.81 | 19,414,000.00 | 1,290,073.49 | - | 4,853,500.00 | 13,270,426.51 | - | 106,877,807.32 |
39.Surplusreserves
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| Statutorysurplusreserve | 104,262,315.64 | - | - | 104,262,315.64 |
40.Undistributedprofits
RMB
| Item | Currentyear | Previousyear |
| Undistributedprofitsatthebeginningoftheyearbeforeadjustment | 216,160,896.14 | 170,636,610.95 |
| Totaladjustedundistributedprofitsatthebeginningoftheyear | - | - |
| Adjustedundistributedprofitatthebeginningoftheyear | 216,160,896.14 | 170,636,610.95 |
| Plus:netprofitattributabletoshareholdersoftheparentcompanyinthecurrentyear | 89,371,134.24 | 79,268,250.45 |
| Less:Withdrawalofstatutorysurplusreserves | - | 3,352,654.32 |
| Distributionofdividendsofordinaryshares(Note) | 32,923,916.72 | 30,391,310.94 |
| Undistributedprofitsattheendoftheyear | 272,608,113.66 | 216,160,896.14 |
Note:accordingtotheresolutionoftheGeneralMeetingonMay29,2024,theCompanydistributedcashdividendsofRMB0.65(includingtax)forevery10sharesbasedonthesharecapitalof506,521,849sharesasatDecember31,2023,withatotalcashdividendsofRMB32,923,916.72(taxinclusive).
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(V)Notestofinancialstatements-continued
41.Operatingrevenueandoperatingcosts
(1)Operatingrevenueandoperatingcosts
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear | ||
| Revenue | Cost | Revenue | Cost | |
| Primarybusiness | 3,275,150,434.05 | 2,748,312,498.75 | 3,031,175,008.58 | 2,524,464,550.09 |
| Otherbusiness | 60,132,574.63 | 47,547,436.07 | 48,503,366.87 | 37,167,294.44 |
| Total | 3,335,283,008.68 | 2,795,859,934.82 | 3,079,678,375.45 | 2,561,631,844.53 |
(2)Primarybusinessbyproduct
RMB
| Producttype | Amountforthecurrentyear | Amountforthepreviousyear | ||
| Incomefromprimarybusiness | Costofprimarybusiness | Incomefromprimarybusiness | Costofprimarybusiness | |
| Polarizersalesbusiness | 3,161,332,478.08 | 2,720,719,735.99 | 2,885,625,542.77 | 2,463,137,348.05 |
| Propertyleasingandothers | 113,817,955.97 | 27,592,762.76 | 145,549,465.81 | 61,327,202.04 |
| Total | 3,275,150,434.05 | 2,748,312,498.75 | 3,031,175,008.58 | 2,524,464,550.09 |
(3)Primarybusinessbyregion
RMB
| Mainbusinessarea | Amountforthecurrentyear | Amountforthepreviousyear | ||
| Incomefromprimarybusiness | Costofprimarybusiness | Incomefromprimarybusiness | Costofprimarybusiness | |
| Domestic | 3,113,083,695.45 | 2,621,542,725.57 | 2,914,588,072.35 | 2,427,944,202.03 |
| Overseas | 162,066,738.60 | 126,769,773.18 | 116,586,936.23 | 96,520,348.06 |
| Total | 3,275,150,434.05 | 2,748,312,498.75 | 3,031,175,008.58 | 2,524,464,550.09 |
(4)Descriptionofperformanceobligations
TheGroup'ssalesofgoodsaremainlytheproductionandsalesofpolarizersandtextiles-relatedgoods.Forgoodssoldtocustomers,theGrouprecognizesrevenuewhentherightofcontrolofthegoodsistransferred,thatis,whenthegoodsaredeliveredtothedesignatedplaceoftheotherpartyandsignedbytheotherparty.TheGrouprecognizesareceivablewhenthegoodsaredeliveredtothecustomerbecausethedeliveryofthegoodstothecustomerrepresentsanunconditionalrighttoreceivethecontractualconsideration,andthematurityofthepaymentdependsonlyonthepassageoftime.Whenthecustomermakesaprepaymentforgoods,theGrouprecognizesthetransactionamountreceivedasacontractliabilityandrecognizestherevenuewhenthegoodsaredeliveredtothecustomer.TheGroupprovidespropertyservicestocustomers,andsuchservicesrepresentperformanceobligationsperformedoveraperiodoftime.Forpropertyservice,theGrouprecognizesrevenueinthecourseofprovidingpropertyservice.
(5)DescriptionofallocationtoremainingperformanceobligationsAsofDecember31,2024,theamountofcontractliabilitiescorrespondingtotheperformanceobligationsthattheGrouphasalreadysignedcontractsforbuthasnotyetfulfilledorhasnotfullyfulfilledisRMB490,562.97,whichwillberecognizedasrevenuewhenthecustomerobtainsthecontrolovergoods.
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(V)Notestofinancialstatements-continued
42.Taxesandsurcharges
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Propertytaxes | 7,240,576.84 | 6,184,638.83 |
| Urbanmaintenanceandconstructiontax | 397,643.06 | 555,230.22 |
| Educationsurcharge | 287,055.45 | 400,403.17 |
| Othertaxes | 2,310,230.30 | 2,153,350.91 |
| Total | 10,235,505.65 | 9,293,623.13 |
43.Sellinganddistributionexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Employeecompensation | 15,245,568.88 | 17,089,203.74 |
| Salesservicefee | 19,491,891.54 | 10,639,607.95 |
| Businessentertainmentexpenses | 1,117,751.47 | 972,733.63 |
| Others | 6,405,391.58 | 5,494,125.29 |
| Total | 42,260,603.47 | 34,195,670.61 |
44.G&Aexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Employeecompensation | 90,301,081.26 | 90,991,755.13 |
| Depreciationcost | 10,962,929.91 | 11,118,057.18 |
| Professionalservicefees | 10,520,874.85 | 8,841,449.74 |
| Amortizationofintangibleassets | 4,575,688.69 | 4,891,672.68 |
| Propertyleasingandutilities | 2,441,383.42 | 4,086,627.39 |
| Businessentertainmentexpenses | 1,193,877.91 | 1,439,231.97 |
| Others | 14,351,985.54 | 13,002,616.44 |
| Total | 134,347,821.58 | 134,371,410.53 |
45.R&Dexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Employeecompensation | 15,844,594.49 | 14,827,264.16 |
| Materialconsumption | 83,483,679.76 | 85,216,243.35 |
| Depreciationcost | 3,275,385.23 | 3,389,328.35 |
| Others | 1,208,163.43 | 1,220,205.06 |
| Total | 103,811,822.91 | 104,653,040.92 |
TheGrouphasnodevelopmentexpensesofR&Dprojectsthatmeetthecapitalizationrequirements.
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(V)Notestofinancialstatements-continued
46.Financialexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Interestexpenses(Note) | 17,858,022.73 | 27,339,804.17 |
| Less:interestincome | 7,272,362.76 | 12,947,471.64 |
| Exchangedifferences | (3,772,940.12) | 4,332,702.63 |
| Servicefeeandothers | 5,308,436.20 | 5,674,466.00 |
| Total | 12,121,156.05 | 24,399,501.16 |
Note:Theinterestexpensesoftheleaseliabilitiesin2024isRMB721,945.56.
47.Otherincome
RMB
| Classificationbynature | Amountforthecurrentyear | Amountforthepreviousyear |
| Transfer-inofdeferredincome | 16,401,790.63 | 22,107,734.21 |
| Supportfundsforindustrydevelopment(Note1) | 7,988,744.44 | 11,049,910.96 |
| Supportfundsforenterprisedevelopment(Note2) | 989,098.49 | 553,455.00 |
| Taxincentives | 16,014,588.22 | 16,881,612.68 |
| Others | 89,885.75 | 147,651.06 |
| Total | 41,484,107.53 | 50,740,363.91 |
Note1:Thesupportfundsforindustrydevelopmentmainlyincludethe2024SpecialScienceandTechnologyInnovationFunds(thefirstbatch)fundedbytheScienceandTechnologyInnovationBureauofPingshanDistrict,ShenzhenCity,theForeignTradeQualityGrowthSupportPlanoftheBureauofCommerce,andtheIndustryStandardFormulationProjectSubsidiesoftheShenzhenAdministrationforMarketRegulation.Note2:ThesupportfundsforenterprisedevelopmentmainlyincludetheSteadyGrowthFundsofIndustryandInformationTechnologyBureauofShenzhenMunicipalityandtheOne-timeSubsidyforJobExpansionofGuangdongProvincialSocialInsuranceFundAdministration.
48.Investment(loss)income
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Lossesonlong-termequityinvestmentsaccountedforunderequitymethod | (10,701,895.08) | (6,898,983.89) |
| Investmentincomefromdisposaloflong-termequityinvestments | 833,613.28 | - |
| Investmentincomeobtainedduringholdingthefinancialassetsheldfortrading | 13,846,181.90 | 15,519,035.33 |
| Investmentincome(loss)fromderecognitionofderivativefinancialliabilities | (6,454,000.00) | - |
| Dividendincomefrominvestmentsinotherequityinstrumentduringtheholdingperiod | 2,310,786.01 | 2,208,584.12 |
| Total | (165,313.89) | 10,828,635.56 |
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(V)Notestofinancialstatements-continued
49.Gainsfromchangesinfairvalue
RMB
| Sourcesofgainsfromchangesinfairvalue | Amountforthecurrentyear | Amountforthepreviousyear |
| Financialassetsheldfortrading | 2,413,062.80 | 2,151,780.82 |
| Derivativefinancialliabilities | (1,278,559.35) | - |
| Total | 1,134,503.45 | 2,151,780.82 |
50.Creditlossgains
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Gainsonimpairmentofaccountsreceivable(Note(V),4(2)) | 5,093,840.35 | 4,133,136.51 |
| Gainsonimpairmentofotherreceivables(Note(V),7(3)) | 6,606.31 | 402,638.63 |
| Total | 5,100,446.66 | 4,535,775.14 |
51.Assetimpairmentloss
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Inventorydepreciationloss | (123,538,967.06) | (126,089,709.42) |
| Fixedassetimpairmentloss | (6,863,474.54) | - |
| Otherassetimpairmentloss | (2,020,667.15) | - |
| Total | (132,423,108.75) | (126,089,709.42) |
52.Non-operatingrevenue
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear | Amountincludedinthecurrentnon-recurringprofitorloss |
| Gainsfromunclaimedpayables | 1,439,654.31 | 768,398.45 | 1,439,654.31 |
| Liquidateddamages | 275,672.99 | 252,000.00 | 275,672.99 |
| Insurancecompensation | 24,911.31 | 193,275.48 | 24,911.31 |
| Gainsfromthedamageandscrappingofnon-currentassets | 341.42 | - | 341.42 |
| Others | 64,506.89 | 236,205.33 | 64,506.89 |
| Total | 1,805,086.92 | 1,449,879.26 | 1,805,086.92 |
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(V)Notestofinancialstatements-continued
53.Non-operatingexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear | Amountincludedinthecurrentnon-recurringprofitorloss |
| Lossesonscrappingofnon-currentassets | 51,361.87 | 115,541.99 | 51,361.87 |
| Amercementoutlay | 44,000.00 | 42,319.72 | 44,000.00 |
| Compensationexpenses | 468,146.00 | 7,926,787.08 | 468,146.00 |
| Otherlosses | 134,509.84 | 121,152.72 | 134,509.84 |
| Total | 698,017.71 | 8,205,801.51 | 698,017.71 |
54.Incometaxexpenses
(1)Listofincometaxexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Incometaxexpensesforthecurrentperiod | 8,562,225.60 | 8,563,917.13 |
| Deferredtaxexpenses | 1,264,876.43 | 10,843,814.34 |
| Total | 9,827,102.03 | 19,407,731.47 |
(2)Adjustmentprocessofaccountingprofitsandincometaxexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Totalprofits | 152,883,868.41 | 146,544,210.05 |
| Incometaxexpensescalculatedatstatutorytaxrate | 38,220,967.10 | 36,636,052.51 |
| Influenceofdifferenttaxratesapplicabletosubsidiaries | (15,431,945.83) | (14,393,929.80) |
| Influenceofadjustmentstotheincometaxfortheprioryears | (27,243.77) | 27,700.05 |
| Influenceofnon-taxableincome | (3,079,800.79) | (1,126,262.45) |
| Influenceofnondeductiblecosts,expensesandlosses | 5,591,965.60 | 2,266,174.69 |
| Utilizationofunrecognizeddeductiblelossesanddeductibletemporarydifferencesfrompriorperiodsandtheirtaxeffects | (7,061,678.51) | (25,587.79) |
| Taxeffectsofunrecognizeddeductiblelossesanddeductibletemporarydifferences | 4,078,341.28 | 10,154,045.89 |
| Changesindeferredtaxassets/liabilitiesatthebeginningoftheperiodduetotaxrateadjustments | - | (21,128.84) |
| AdditionaldeductionforR&Dexpenses | (12,458,381.02) | (13,995,916.51) |
| Others | (5,122.03) | (113,416.28) |
| Incometaxexpenses | 9,827,102.03 | 19,407,731.47 |
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(V)Notestofinancialstatements-continued
55.Notestoitemsinstatementofcashflows
(1)CashrelatedtooperatingactivitiesOthercashreceivedrelatedtooperatingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Letterofcreditguaranteeanddeposit | 30,652,489.87 | 37,450,879.69 |
| Interestincome | 9,057,486.70 | 18,578,870.77 |
| Governmentgrants | 24,242,842.93 | 16,029,942.02 |
| Currentaccountsandothers | 23,056,150.45 | 15,217,631.42 |
| Total | 87,008,969.95 | 87,277,323.90 |
Othercashpaidrelatedtooperatingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Letterofcreditguaranteeanddeposit | 57,908,823.39 | 34,639,361.27 |
| Out-of-pocketexpenses | 68,667,614.18 | 71,894,532.84 |
| Currentaccountsandothers | 27,179,768.77 | 10,910,080.05 |
| Total | 153,756,206.34 | 117,443,974.16 |
(2)CashrelatedtoinvestingactivitiesOthercashreceivedrelatedtosignificantinvestingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Structuraldeposits | 950,000,000.00 | 950,000,000.00 |
| Monetaryfund | 747,000,000.00 | 245,000,000.00 |
| Certificatesofdepositandothers | - | 259,000,000.00 |
| Total | 1,697,000,000.00 | 1,454,000,000.00 |
Othercashpaidrelatedtosignificantinvestingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Structuraldeposits | 950,000,000.00 | 1,400,000,000.00 |
| Monetaryfund | 649,000,000.00 | 290,500,000.00 |
| Foreignexchangeforwardcontract | 6,454,000.00 | - |
| Certificatesofdepositandothers | - | 150,000,000.00 |
| Total | 1,605,454,000.00 | 1,840,500,000.00 |
-80-
(V)Notestofinancialstatements-continued
55.Notestoitemsinstatementofcashflows-continued
(2)Cashrelatedtoinvestingactivities-continuedOthercashreceivedrelatedtoinvestingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Wealthmanagementinvestmentandstructureddeposits | 1,697,000,000.00 | 1,454,000,000.00 |
Othercashpaidrelatedtoinvestingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Wealthmanagementinvestmentandstructureddeposits | 1,605,454,000.00 | 1,840,500,000.00 |
(3)CashrelatedtofinancingactivitiesOthercashpaidrelatedtofinancingactivities
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Leasepayments | 9,508,462.57 | 8,776,024.71 |
Changesinvariousliabilitiesarisingfromfinancingactivities
RMB
| Item | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear | ||
| Cashchanges | Non-cashchanges | Cashchanges | Non-cashchanges | |||
| Short-termborrowings | 8,000,000.00 | - | - | 8,000,000.00 | - | - |
| Long-termborrowings(Note) | 608,190,812.09 | - | 18,176,583.78 | 416,966,547.83 | - | 209,400,848.04 |
| Leaseliabilities(Note) | 12,177,572.68 | - | 13,711,940.60 | 9,508,462.57 | - | 16,381,050.71 |
| Total | 628,368,384.77 | - | 31,888,524.38 | 434,475,010.40 | - | 225,781,898.75 |
Note:long-termborrowingsandleaseliabilitiesincludethosematuringwithinoneyear.
(4)TheGroupdoesnotpresentcashflowsonanetbasis.
(5)TheGrouphasnosignificantactivitiesthatdonotinvolvecurrentcashreceiptsandpaymentsbutaffectthefinancialpositionoftheenterpriseormayaffectthecashflowsoftheenterpriseinthefuture.
-81-
(V)Notestofinancialstatements-continued
56.Supplementaryinformationtostatementofcashflows
(1)Supplementaryinformationtothestatementofcashflows
RMB
| Supplementaryinformation | Amountforthecurrentyear | Amountforthepreviousyear |
| 1.Adjustmentofnetprofittocashflowsfromoperatingactivities: | ||
| Netprofit | 143,056,766.38 | 127,136,478.58 |
| Plus:provisionforassetsimpairment | 132,423,108.75 | 126,089,709.42 |
| Provisionforcreditlosses(reversal) | (5,100,446.66) | (4,535,775.14) |
| Depreciationoffixedassetsandinvestmentproperties | 237,717,328.95 | 235,884,938.02 |
| Amortizationofright-of-useassets | 9,651,343.75 | 8,257,857.90 |
| Amortizationofintangibleassets | 4,575,688.69 | 4,891,672.68 |
| Amortizationoflong-termdeferredexpenses | 2,934,915.74 | 2,160,430.42 |
| Losses(gains)fromdisposaloffixedassets,intangibleassetsandotherlong-termassets | - | (1.72) |
| Losses(gains)onretirementofnon-currentassets | 51,020.45 | 113,290.32 |
| Lossesfromchangesinfairvalue(income) | (1,134,503.45) | (2,151,780.82) |
| Financialexpenses(income) | 17,301,161.66 | 26,883,671.86 |
| Investmentloss(income) | 165,313.89 | (10,828,635.56) |
| Decrease(increase)indeferredtaxassets | 1,684,854.22 | 9,218,448.87 |
| Increase(decrease)indeferredtaxliabilities | (419,977.79) | 1,625,365.47 |
| Decrease(increase)ininventories | (176,903,495.67) | (304,034,232.92) |
| Decrease(increase)inoperatingreceivables | 29,434,877.96 | (126,515,773.08) |
| Increase(decrease)inoperatingpayables | (164,173,431.78) | 90,571,075.50 |
| Netcashflowsfromoperatingactivities | 231,264,525.09 | 184,766,739.80 |
| 2.Netchangesincashandcashequivalents: | ||
| Endingbalanceofcashandcashequivalents | 302,084,839.35 | 461,420,457.33 |
| Less:beginningbalanceofcashandcashequivalents | 461,420,457.33 | 874,474,834.46 |
| Netincrease(decrease)incashandcashequivalents | (159,335,617.98) | (413,054,377.13) |
(2)Compositionofcashandcashequivalents
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| I.Cash | 302,084,839.35 | 461,420,457.33 |
| Including:cashonhand | 4,751.69 | 1,710.40 |
| Unrestrictedbankdeposits | 302,080,087.66 | 461,418,746.93 |
| Otherunrestrictedmonetaryfunds | - | - |
| II.Cashequivalents | - | - |
| III.Balanceofcashandcashequivalentsattheendoftheyear | 302,084,839.35 | 461,420,457.33 |
(3)Asoftheendoftheyear,theGrouphadnocashandcashequivalentswithrestrictedusethatwerestillpresentedassuch.
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(V)Notestofinancialstatements-continued
56.Supplementaryinformationtothestatementofcashflows-continued
(4)Monetaryfundsotherthancashandcashequivalents
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | Reason |
| BillandL/Cguarantee | 35,443,338.96 | 5,905,118.06 | Notavailableforpaymentatanytime |
| Demandinterestand7-daynoticedepositinterest | 31,765.51 | 1,548,872.61 | Notavailableforpaymentatanytime |
| Others | 3,401,500.00 | 3,400,000.00 | Accountfreezing |
| Total | 38,876,604.47 | 10,853,990.67 |
57.Monetaryitemsinforeigncurrency
(1)Foreigncurrencymonetaryitems
RMB
| Item | Foreigncurrencybalanceattheendofthecurrentyear | Exchangerateofconversion | ConversionattheendofthecurrentyearRMBbalance |
| Monetaryfunds | 84,414,773.46 | ||
| Including:USD | 5,628,812.10 | 7.1884 | 40,462,152.89 |
| JPY | 934,188,594.29 | 0.0462 | 43,190,341.28 |
| HKD | 823,195.78 | 0.9260 | 762,279.29 |
| Accountsreceivable | 38,996,397.54 | ||
| Including:USD | 5,389,057.25 | 7.1884 | 38,738,699.13 |
| HKD | 278,280.00 | 0.9260 | 257,698.41 |
| Otherreceivables | 506,973.56 | ||
| Including:USD | 70,526.62 | 7.1884 | 506,973.56 |
| Accountspayable | 165,329,381.79 | ||
| Including:USD | 2,549,681.14 | 7.1884 | 18,328,127.89 |
| JPY | 3,179,297,798.00 | 0.0462 | 146,988,475.10 |
| HKD | 13,800.00 | 0.9260 | 12,778.80 |
| Otherpayables | 6,609,813.60 | ||
| Including:USD | 879,786.00 | 7.1884 | 6,324,253.68 |
| JPY | 5,555,131.00 | 0.0462 | 256,830.37 |
| HKD | 31,025.43 | 0.9260 | 28,729.55 |
58.Lease
(1)AsalesseeTheGroupleasesanumberofassets,includinghousesandbuildings,forleasetermsof1to10years.Theaboveright-of-useassetscannotbeusedforpurposessuchasborrowingmortgages,guarantees,etc.TheGrouphadnovariableleasepaymentsthatwerenotincludedinthemeasurementofleaseliabilities.
-83-
(V)Notestofinancialstatements-continued
58.Leases-continued
(1)Asalessee-continuedTheshort-termleaseexpensessubjecttosimplifiedaccountingtreatmentandrecognizedinthecurrentprofitorlossinthisyearamountedtoRMB950,508.89(previousyear:RMB558,957.38).ThetotalcashoutflowsrelatedtoleasesinthecurrentyearamountedtoRMB10,458,971.46(previousyear:RMB9,334,982.09).
(2)AsalessorOperatingleaseaslessor
RMB
| Item | Leaseincome | Including:revenuerelatedtovariableleasepaymentsnotincludedinleasereceipts |
| Buildingsandconstructions | 96,066,371.44 | - |
TheoperatingleasesoftheGroupasthelessorarerelatedtohousesandbuildings,withleasetermsrangingfrom1to15years.TherevenuerelatedtooperatingleasesinthecurrentyearamountedtoRMB96,066,371.44(previousyear:RMB97,558,143.88),ofwhichtherevenuerelatedtovariableleasepaymentsnotincludedintheleasereceiptsamountedtoRMB0(previousyear:RMB0).
RMB
| Item | Undiscountedleasereceipts | |
| Amountattheendofcurrentyear | Amountattheendofthepreviousyear | |
| Thefirstyearafterthebalancesheetdate | 66,825,466.35 | 74,399,477.80 |
| Thesecondyearafterthebalancesheetdate | 49,946,457.62 | 54,475,653.29 |
| Thethirdyearafterthebalancesheetdate | 31,103,495.38 | 44,564,404.34 |
| Thefourthyearafterthebalancesheetdate | 8,785,825.58 | 29,708,115.33 |
| Thefifthyearafterthebalancesheetdate | 6,625,510.75 | 9,346,233.32 |
| Subsequentyears | 5,106,929.55 | 7,327,310.40 |
| Totalundiscountedleasereceipts | 168,393,685.23 | 219,821,194.48 |
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（VI）R&Dexpenditures
(1)Presentedbynatureofexpenses
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Employeecompensation | 15,844,594.49 | 14,827,264.16 |
| Materialconsumption | 83,483,679.76 | 85,216,243.35 |
| Depreciationcost | 3,275,385.23 | 3,389,328.35 |
| Others | 1,208,163.43 | 1,220,205.06 |
| Total | 103,811,822.91 | 104,653,040.92 |
| Including:expensedR&Dexpenditures | 103,811,822.91 | 104,653,040.92 |
| CapitalizedR&Dexpenditures | - | - |
(2)TheGrouphasnodevelopmentexpensesofR&Dprojectsthatmeetthecapitalizationrequirements.
(3)TheGrouphasnosignificantoutsourcedprojectsunderresearch.（VII）ChangesinthescopeofconsolidationTheconsolidationscopeoftheGrouphasnotchanged.（VIII）Equityinotherentities
1.Interestinsubsidiary
(1)Structureoftheenterprisegroup
| Nameofsubsidiaries | Mainpremise | Registeredcapital(RMB) | Registrationplace | Businessnature | ShareholdingratiooftheCompany(%) | Methodofacquisition | |
| Direct | Indirect | ||||||
| ShenzhenLisiIndustrialDevelopmentCo.,Ltd. | Shenzhen | RMB2,360,000.00 | Shenzhen | Propertyleasing | 100.00 | - | Establishment |
| ShenzhenHuaqiangHotelCo.,Ltd. | Shenzhen | RMB10,005,300.00 | Shenzhen | Propertyleasing | 100.00 | - | Establishment |
| ShenzhenShenfangPropertyManagementCo.,Ltd. | Shenzhen | RMB1,600,400.00 | Shenzhen | Propertymanagement | 100.00 | - | Establishment |
| ShenzhenMCENTURYGarmentCo.,Ltd. | Shenzhen | RMB13,000,000.00 | Shenzhen | Productionandsalesoftextiles | 100.00 | - | Establishment |
| ShenzhenShenfangSungangPropertyManagementCo.,Ltd. | Shenzhen | RMB1,000,000.00 | Shenzhen | Propertymanagement | 100.00 | - | Establishment |
| SAPOPhotoelectric | Shenzhen | RMB583,333,333.00 | Shenzhen | Productionandsalesofpolarizers | 60.00 | - | Acquisition |
| SATO(HongKong)Limited | HongKong | HKD10,000.00 | HongKong | Polarizersales | - | 100.00 | Establishment |
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(VIII)Interestsinotherentities-continued
1.Interestsinsubsidiary-continued
(2)Significantnon-wholly-ownedsubsidiaries
RMB
| Nameofsubsidiaries | Shareholdingratiobyminorityshareholders | Profitorlossattributabletominorityshareholdersinthecurrentyear | Dividendsdeclaredtobedistributedtominorityshareholdersinthecurrentyear | Balanceofminorityinterestsattheendofthecurrentyear |
| SAPOPhotoelectric | 40.00% | 53,685,632.14 | - | 1,283,450,723.88 |
(3)Keyfinancialinformationofsignificantnon-wholly-ownedsubsidiaries
RMB
| Item | SAPOPhotoelectric | |
| Balanceasattheendofthecurrentyear/Amountforthecurrentyear | Balanceasattheendofthepreviousyear/Amountforthepreviousyear | |
| Currentassets | 2,039,673,042.84 | 2,224,998,868.32 |
| Non-currentassets | 1,998,903,130.31 | 2,215,651,449.74 |
| Totalassets | 4,038,576,173.15 | 4,440,650,318.06 |
| Currentliabilities | 567,603,106.30 | 762,685,435.65 |
| Non-currentliabilities | 267,706,992.70 | 608,912,888.60 |
| Totalliabilities | 835,310,099.00 | 1,371,598,324.25 |
| Operatingrevenue | 3,230,006,072.51 | 2,944,147,907.27 |
| Netprofit | 134,214,080.34 | 119,670,570.33 |
| Totalcomprehensiveincome | 134,214,080.34 | 119,968,303.83 |
| Cashflowsfromoperatingactivities | 205,666,636.23 | 168,163,478.05 |
2.EquityinjointventuresorassociatesSummarizedfinancialinformationofinsignificantjointventuresandassociates
RMB
| Item | Balanceasattheendofthecurrentyear/Amountforthecurrentyear | Balanceasattheendofthepreviousyear/Amountforthepreviousyear |
| Jointventures: | ||
| Totalofinvestmentbookvalue | 111,555,887.28 | 122,370,494.08 |
| Totalamountsofthefollowingitemscalculatedatshareholdingratio | ||
| -Netprofit(loss) | (10,814,606.80) | (7,135,777.68) |
| -Othercomprehensiveincome | - | - |
| -Totalcomprehensiveincome | (10,814,606.80) | (7,135,777.68) |
Associates:
| Associates: | ||
| Totalofinvestmentbookvalue | 3,272,138.76 | 5,311,526.62 |
| Totalamountsofthefollowingitemscalculatedatshareholdingratio | ||
| -Netprofit | 112,711.72 | 236,793.79 |
| -Othercomprehensiveincome | - | 99,168.85 |
| -Totalcomprehensiveincome | 112,711.72 | 335,962.64 |
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（IX）Governmentgrants
(1)AsatDecember31,2024,theGrouphadnogovernmentgrantsrecognizedattheamountreceivable.
(2)Liabilityitemsinvolvinggovernmentgrants
RMB
| Liabilities | Amountatthebeginningoftheyear | Newgrantsinthecurrentyear | Amountincludedinnon-operatingrevenueinthecurrentyear | Amountincludedinotherincomeinthecurrentyear | Otherchangesinthecurrentyear | Amountattheendofcurrentyear | Relatedtoassets/Relatedtoincome |
| Deferredincome | 97,485,986.89 | 15,265,000.00 | 16,401,790.63 | - | 96,349,196.26 | Relatedtoassets | |
| Total | 97,485,986.89 | 15,265,000.00 | - | 16,401,790.63 | - | 96,349,196.26 |
(3)Governmentgrantsincludedinthecurrentprofitorloss
RMB
| Grants | Amountforthecurrentyear | Amountforthepreviousyear |
| Otherincome | 25,379,633.56 | 33,711,100.17 |
（X）RisksassociatedwithfinancialinstrumentsThegroup'smainfinancialinstrumentsincludemonetaryfunds,financialassetsheldfortrading,notesreceivable,accountsreceivable,receivablesfinancing,otherreceivables,otherequityinstrumentinvestments,short-termborrowings,derivativefinancialliabilities,notespayable,accountspayable,otherpayables,othercurrentliabilitiesandlong-termborrowings,etc.Attheendoftheyear,thefinancialinstrumentsheldbythegroupareasfollows,andthedetailsaredescribedinnote(v).Risksassociatedwiththesefinancialinstrumentsandtheriskmanagementpoliciesadoptedbythegrouptomitigatetheserisksaredescribedbelow.Thegroup'smanagementmanagesandmonitorstheseexposurestoensurethattherisksarecontrolledwithincertainlimits.
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(X)Risksrelatedtofinancialinstruments-continued
RMB
| Item | Amountattheendofcurrentyear | Amountattheendofthepreviousyear |
| Financialassets | ||
| Measuredatfairvaluethroughcurrentprofitorloss | ||
| Financialassetsheldfortrading | 731,419,904.42 | 821,946,114.68 |
Measuredatfairvaluethroughothercomprehensiveincome
| Measuredatfairvaluethroughothercomprehensiveincome | ||
| Receivablesfinancing | 6,804,603.68 | 22,839,459.13 |
| Otherequityinstrumentinvestments | 165,402,900.00 | 145,988,900.00 |
Measuredatamortizedcosts
| Measuredatamortizedcosts | ||
| Monetaryfunds | 340,961,443.82 | 472,274,448.00 |
| Notesreceivable | 47,305,221.88 | 50,963,943.01 |
| Accountsreceivable | 863,731,936.89 | 820,134,833.95 |
| Otherreceivables | 3,596,543.96 | 3,219,287.77 |
Financialliabilities
| Financialliabilities | ||
| Measuredatfairvaluethroughcurrentprofitorloss | ||
| Derivativefinancialliabilities | 1,278,559.35 | - |
Measuredatamortizedcosts
| Measuredatamortizedcosts | ||
| Short-termborrowings | - | 8,000,000.00 |
| Notespayable | 31,095,540.29 | 31,049,291.49 |
| Accountspayable | 304,812,580.55 | 408,548,136.24 |
| Otherpayables | 160,296,989.98 | 184,528,344.55 |
| Othercurrentliabilities | 30,291,952.76 | 42,665,954.11 |
| Long-termborrowings | 209,400,848.04 | 608,190,812.09 |
Thegroupusessensitivityanalysistechniquestoanalyzethepossibleimpactofreasonableandpossiblechangesinriskvariablesonthecurrentprofitorlossandshareholders'equity.Asanyriskvariableseldomchangesinisolation,andthecorrelationbetweenthevariableswillhaveasignificanteffectonthefinalaffectedamountofthechangeofariskvariable,thefollowingcontentsarecarriedoutundertheassumptionthatthechangeofeachvariableisindependently:
1.Riskmanagementobjectives,policiesandprocedures,andchangesinthecurrentyearThegroup'sobjectiveinriskmanagementistoachieveanappropriatebalancebetweenriskandreturn,minimizethenegativeimpactofriskonthegroup'soperatingperformance,andmaximizetheinterestsofshareholdersandotherequityinvestors.Basedonthisriskmanagementobjective,thebasicstrategyofthegroup'sriskmanagementistoidentifyandanalyzevariousrisksfacedbythegroup,establishanappropriaterisktolerancebottomlineandconductriskmanagement,andtimelyandreliablysupervisevariousriskstocontrolriskswithinalimitedscope.
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(X)Risksrelatedtofinancialinstruments-continued
1.RISKMANAGEMENTOBJECTIVES,POLICIESANDPROCEDURES,ANDCHANGESINTHECURRENTYEAR-CONTINUED
1.1MARKETRISK
1.1.1FOREIGNEXCHANGERISKForeignexchangeriskreferstotheriskoflossesarisingfromtheexchangeratefluctuation.TheGroup'sexposuretoforeignexchangeriskismainlyrelatedtotheUSD,theJPYandtheHKD.ExceptforsomeoftheGroup'simportpurchasesandexportsalesinChinesemainland,whichweremainlysettledinUSD,JPYandHKD,theGroup'sothermajorbusinessactivitiesweresettledinRMB.AsofDecember31,2024,exceptfortheforeigncurrencymonetaryitemsinNote(V),57,theassetsandliabilitiesoftheGroupwereallinRMB.Theforeigncurrencybalancesofassetsandliabilities(convertedintoRMB)listedinthetablebelowmayexposetheGrouptoforeignexchangerisksthatcouldimpactitsoperatingperformance.
RMB
| Item | Balanceasattheendofthecurrentyear | |
| Assets | Liabilities | |
| USD | 79,707,825.58 | 24,652,381.57 |
| JPY | 43,190,341.28 | 147,245,305.47 |
| HKD | 1,019,977.70 | 41,508.35 |
TheGroupcloselymonitorstheimpactofexchangeratechangesontheGroup'sforeignexchangeriskandwilltakemeasurestoavoidforeignexchangeriskaccordingtotheactualsituation.SensitivityanalysisofforeignexchangeriskWithothervariablesunchanged,thepre-taximpactofreasonablechangesinexchangeratesonthecurrentprofitorlossandshareholders'equityisasfollows:
RMB
| ITEM | FLUCTUATIONINEXCHANGERATE | CURRENTYEAR | PREVIOUSYEAR | ||
| IMPACTONPROFIT | IMPACTONSHAREHOLDERS'EQUITY | IMPACTONPROFIT | IMPACTONSHAREHOLDERS'EQUITY | ||
| ALLFOREIGNCURRENCIES | REVALUATIONAGAINSTRMBBY5% | (2,401,052.54) | (2,401,052.54) | (11,522,564.42) | (11,522,564.42) |
| ALLFOREIGNCURRENCIES | DEPRECIATIONAGAINSTRMBBY5% | 2,401,052.54 | 2,401,052.54 | 11,522,564.42 | 11,522,564.42 |
1.1.2.Interestraterisk-riskofchangesincashflowsTheGroup'sriskofchangesincashflowsoffinancialinstrumentsduetochangesininterestratesismainlyrelatedtobankborrowingswithfloatingrates.TheGroupcontinuestocloselymonitortheimpactofinterestratechangesontheGroup'sinterestraterisk.TheGroup'spolicyistomaintainthefloatingrateoftheseborrowings,andtherearecurrentlynointerestrateswaparrangements.
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(X)Risksrelatedtofinancialinstruments-continued
1.RISKMANAGEMENTOBJECTIVES,POLICIESANDPROCEDURES,ANDCHANGESINTHECURRENTYEAR-CONTINUED
1.1MARKETRISK-CONTINUED
1.1.2.Interestraterisk-riskofchangesincashflows-continuedSENSITIVITYANALYSISOFINTERESTRATERISK:
WITHOTHERVARIABLESUNCHANGED,THEPRE-TAXIMPACTOFREASONABLECHANGESININTERESTRATESONTHECURRENTPROFITORLOSSANDSHAREHOLDERS'EQUITYISASFOLLOWS:
RMB
| ITEM | FLUCTUATIONINEXCHANGERATE | CURRENTYEAR | PREVIOUSYEAR | ||
| IMPACTONPROFIT | IMPACTONSHAREHOLDERS'EQUITY | IMPACTONPROFIT | IMPACTONSHAREHOLDERS'EQUITY | ||
| FLOATINGRATEBORROWINGS | UP1% | (2,092,051.50) | (2,092,051.50) | (6,154,214.55) | (6,154,214.55) |
| FLOATINGRATEBORROWINGS | DOWN1% | 2,092,051.50 | 2,092,051.50 | 6,154,214.55 | 6,154,214.55 |
1.2.CreditriskAsofDecember31,2024,themaximumcreditriskexposurethatmaycausefinanciallossestotheGroupmainlycomesfromthelossesoftheGroup'sfinancialassetsduetothefailureoftheotherpartytothecontracttoperformitsobligations,including:monetaryfunds,financialassetsheldfortrading,notesreceivable,accountsreceivable,receivablesfinancingandotherreceivables.Onthebalancesheetdate,thebookvalueoftheGroup'sfinancialassetsrepresentsitsmaximumcreditriskexposure.Inordertoreducethecreditrisk,theGrouparrangesspecialpersonneltodeterminethecreditline,conductcreditapproval,andimplementothermonitoringprocedurestoensurethatnecessarymeasuresaretakentorecoveroverduedebts.Inaddition,theGroupreviewstherecoveryoffinancialassetsoneachbalancesheetdatetoensurethatadequateprovisionforcreditlosseshasbeenmadefortherelevantfinancialassets.Therefore,themanagementoftheGroupbelievesthatthecreditriskassumedbytheGrouphasbeengreatlyreduced.TheGroup'smonetaryfundsaredepositedinbankswithhighcreditratings,sothemonetaryfundsonlyhavelowcreditrisk.AsofDecember31,2024,thebalanceofaccountsreceivablefromthetopfivecustomersoftheGroupwasRMB559,026,608.51,accountingfor61.96%ofthebalanceofaccountsreceivableoftheGroup.Inaddition,theGrouphasnoothersignificantcreditriskexposureconcentratedinasinglefinancialassetoraportfoliooffinancialassetswithsimilarcharacteristics.
1.3.LiquidityriskWhenmanagingliquidityrisk,theGroupmaintainscashandcashequivalentsthatthemanagementbelievesaresufficientandmonitorsthemtomeettheGroup'soperationalneedsandreducetheimpactoffluctuationsincashflows.TheGroup'smanagementmonitorstheuseofbankborrowingsandensurescompliancewithloanagreements.
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(X)Risksrelatedtofinancialinstruments-continued
1.RISKMANAGEMENTOBJECTIVES,POLICIESANDPROCEDURES,ANDCHANGESINTHECURRENTYEAR-CONTINUED
1.3.Liquidityrisk-continuedASATDECEMBER31,2024,THEUNUSEDCOMPREHENSIVEBANKCREDITLINEOFTHEGROUPWASRMB1,380,340,000THEGROUP'SFINANCIALLIABILITIESHELDAREPRESENTEDASFOLLOWSBASEDONTHEMATURITYOFUNDISCOUNTEDREMAININGCONTRACTUALOBLIGATIONS:
RMB
| Item | Within1year | 1-5years | Over5years | Total |
| Notespayable | 31,095,540.29 | - | - | 31,095,540.29 |
| Accountspayable | 304,812,580.55 | - | - | 304,812,580.55 |
| Otherpayables | 160,296,989.98 | - | - | 160,296,989.98 |
| Othercurrentliabilities | 30,291,952.76 | - | - | 30,291,952.76 |
| Long-termborrowings | 52,192,649.82 | 169,663,448.78 | - | 221,856,098.60 |
| Leaseliabilities | 7,411,263.65 | 7,808,943.06 | 3,098,158.97 | 18,318,365.68 |
| Derivativefinancialliabilities | 1,278,559.35 | - | - | 1,278,559.35 |
2.Transferoffinancialassets
2.1Classificationoftransfermethods
RMB
| Transfermethod | Natureoftransferredfinancialassets | Amountoftransferredfinancialassets | Derecognition | Judgmentbasisforderecognition |
| Factoring | Accountsreceivable | 59,923,300.74 | Derecognized | Aftertheaccountsreceivableisfactored,thefactorhasnorighttorecoverfromtheGroup,andalmostalltherisksandrewardsoftheownershipoftheaccountsreceivablehavebeentransferred |
| Transferbyendorsement | Outstandingbankacceptancebillsclassifiedasreceivablesfinancing | 34,926,518.99 | Derecognized |
Thecreditriskleveloftheacceptancebankofthebankacceptancebilltransferredbyendorsementis
relativelyhigh,andalmostalltherisksandrewardsoftheownershipofthecorresponding
receivablesfinancinghavebeentransferred
| Transferbyendorsement | Outstandingbankacceptancebillsclassifiedasnotesreceivable | 30,291,952.76 | Notderecognized | Thecreditriskleveloftheacceptancebankofthebankacceptancebilltransferredbyendorsementisnothigh,andalmostalltherisksandrewardsoftheownershipoftherelevantnotesreceivableareretained |
| Total | 125,141,772.49 |
2.2Financialassetsderecognizedduetotransfer
RMB
| Item | Transfermethodoffinancialassets | Amountofderecognizedfinancialassets | Gainsorlossesrelatedtoderecognition |
| Receivablesfinancing | Transferbyendorsement | 34,926,518.99 | - |
| Accountsreceivable | Factoring | 59,923,300.74 | - |
| Total | 94,849,819.73 | - |
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(X)Risksrelatedtofinancialinstruments-continued
2.Transferoffinancialassets-continued
2.3Transferoffinancialassetswithcontinuedinvolvement
RMB
| Item | Assettransfermethod | Amountofassetsarisingfromcontinuedinvolvement | Amountofliabilitiesarisingfromcontinuedinvolvement |
| Notesreceivable | Transferbyendorsement | 30,291,952.76 | 30,291,952.76 |
| Total | 30,291,952.76 | 30,291,952.76 |
（XI）Disclosureoffairvalue
1.Fairvalueofassetsandliabilitiesmeasuredatfairvalueattheendoftheyear
RMB
| Item | Fairvalueattheendofcurrentyear | |||
| Measuredatthefairvalueofthe1stlevel | Measuredatthefairvalueofthe2ndlevel | Measuredatthefairvalueofthe3rdlevel | Total | |
| Continuousfairvaluemeasurement | ||||
| (I)Financialassetsheldfortrading | - | 731,419,904.42 | - | 731,419,904.42 |
| (II)Receivablesfinancing | - | - | 6,804,603.68 | 6,804,603.68 |
| (III)Otherequityinstrumentinvestments | - | - | 165,402,900.00 | 165,402,900.00 |
| Totalassetsconstantlymeasuredatfairvalue | - | 731,419,904.42 | 172,207,503.68 | 903,627,408.10 |
| (IV)Derivativefinancialliabilities | - | 1,278,559.35 | - | 1,278,559.35 |
| Totalliabilitiesconstantlymeasuredatfairvalue | - | 1,278,559.35 | - | 1,278,559.35 |
2.Qualitativeandquantitativevaluationtechniquesandimportantparametersofsustainableandnon-sustainableitemsmeasuredonthebasisoffairvalueoflevel2
RMB
| Item | Fairvalueattheendofcurrentyear | Valuationtechniques | Inputvalue |
| Financialassetsheldfortrading | 731,419,904.42 | Discountedcashflowmethod | Expectedrateofreturn |
| Derivativefinancialliabilities | 1,278,559.35 | Discountedcashflowmethod | Thecontracteddeliveryexchangerateunderforwardforeignexchangecontractsandthemarketforwardexchangerateasofthebalancesheetdate |
3.Qualitativeandquantitativevaluationtechniquesandimportantparametersofsustainableandnon-sustainableitemsmeasuredonthebasisoffairvalueoflevel3
RMB
| Item | Fairvalueattheendofcurrentyear | Valuationtechniques | Inputvalue |
| Receivablesfinancing | 6,804,603.68 | Discountedcashflowmethod | Discountrate |
| Otherequityinstrumentinvestments | 165,402,900.00 | ComparablePublicCompanyMethod | P/Bratioofsimilarlistedcompanies |
| Comparableearningsmethod | Marketprice | ||
| Statementadjustmentmethod | Bookvalue |
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(XI)DisclosureoffairvalueDisclosureoffairvalue-continued
4.ConditionoffairvalueoffinancialassetsandfinancialliabilitiesnotmeasuredatfairvalueFinancialassetsandliabilitiesnotmeasuredatfairvaluemainlyinclude:monetaryfunds,notesreceivable,accountsreceivable,otherreceivables,notespayable,accountspayable,otherpayables,othercurrentliabilitiesandlong-termborrowings,etc.TheGroup'smanagementbelievesthatthebookvalueoffinancialassetsandfinancialliabilitiesmeasuredatamortizedcostsinthefinancialstatementsisclosetothefairvalueofsuchassetsandliabilities.（XII）Relatedpartiesandrelatedpartytransactions
1.Parentcompany
| Name | Registrationplace | Businessnature | Registeredcapital(RMB'0,000) | Parentcompany'sshareholdingratiointheCompany(%) | ProportionofvotingrightsoftheparentcompanyintheCompany(%) |
| ShenzhenInvestmentHoldingsCo.,Ltd. | Floor18,InvestmentBuilding,ShennanRoad,FutianDistrict,Shenzhen | Equityinvestments,realestatedevelopment,etc. | 3,318,600.00 | 46.21 | 46.21 |
ParentcompanyoftheCompany:theparentcompanyoftheCompanyisawhollystate-ownedcompanyapprovedandauthorizedbytheShenzhenMunicipalGovernment,whichexercisesthefunctionsoftheinvestorinaccordancewiththelawforthestate-ownedenterpriseswithintheauthorizedscope.Duringthereportingperiod,theregisteredcapitaloftheparentcompanychangedasfollows:
RMB'0,000
| Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Balanceasattheendofthecurrentyear |
| 3,235,900.00 | 82,700.00 | - | 3,318,600.00 |
2.SubsidiariesSeeNote(VIII),1fordetailsofthesubsidiary.
3.JointventuresandassociatesoftheCompanySeeNote(V),10fordetailsoftheCompany'sjointventuresandassociates.
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(XII)Relatedpartiesandrelatedpartytransactions-continued
4.OtherrelatedpartiesoftheCompany
| Nameofrelatedparty | RelationshipwiththeCompany |
| ShenzhenXinfangKnittingFactoryCo.,Ltd. | TheCompany'sparticipatedcompany,whosechairmanisappointedbytheGroup |
| ShenzhenDailisiUnderwearCo.,Ltd. | TheCompany'sparticipatedcompany,whosechairmanisappointedbytheGroup |
| HengmeiOptoelectronicsCo.,Ltd. | MinorityshareholderoftheCompany'ssubsidiarySAPOPhotoelectric;oneofthedirectorsofthecompanyisasupervisorofSAPOPhotoelectric |
| ShenzhenShentouPropertyDevelopmentCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenSegLongyanEnergyTechnologyCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| GuorenP&CInsuranceCo.,Ltd.ShenzhenBranch | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenTalentServiceCenter(ShenzhenTalentMarket) | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenPropertyManagementCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenCulturalEnterpriseDevelopmentCo.,Ltd.(Headquarters) | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenInvestmentHoldingsDevelopmentCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenInvestmentHoldingsDigitalTechnologyCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenTalentRecruitmentInternationalCo.,Ltd.(Headquarters) | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenLeaguerEducationCo.,Ltd.(Headquarters) | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenLegalTrainingCenterCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenInvestmentHoldingsSportsEventDevelopmentCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenInvestmentBuildingHotelCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
| ShenzhenInvestmentBuildingPropertyManagementCo.,Ltd. | SubsidiaryoftheparentcompanyoftheCompany,ShenzhenInvestmentHoldingsCo.,Ltd. |
5.Relatedpartytransactions
(1)Procurementofgoods/receiptoflaborservices
| Relatedparty | Relatedpartytransactions | Amountforthecurrentyear | Amountforthepreviousyear |
| ShenzhenSegLongyanEnergyTechnologyCo.,Ltd. | Purchaseofelectricity | 1,146,803.41 | 1,075,289.19 |
| GuorenP&CInsuranceCo.,Ltd.ShenzhenBranch | Insurancepremiums | 285,104.25 | - |
| ShenzhenCulturalEnterpriseDevelopmentCo.,Ltd.(Headquarters) | Exhibitionfees | 136,298.00 | - |
| ShenzhenTalentServiceCenter(ShenzhenTalentMarket) | Outsourcingservicefee | 125,596.14 | - |
| ShenzhenInvestmentHoldingsSportsEventDevelopmentCo.,Ltd. | Marketingexpenses | 80,000.00 | - |
| ShenzhenInvestmentHoldingsDigitalTechnologyCo.,Ltd. | Informationconstruction | 78,655.84 | - |
| ShenzhenInvestmentHoldingsDevelopmentCo.,Ltd. | Rental | 65,786.40 | - |
| ShenzhenPropertyManagementCo.,Ltd. | Propertymanagementfee | 47,258.75 | - |
| ShenzhenLegalTrainingCenterCo.,Ltd. | Trainingexpenses | 34,597.00 | - |
| ShenzhenLeaguerEducationCo.,Ltd.(Headquarters) | Trainingexpenses | 20,449.02 | - |
| ShenzhenGuanhuaPrintingandDyeingCo.,Ltd. | Interestexpenses | 9,025.99 | 16,237.39 |
| ShenzhenTalentRecruitmentInternationalCo.,Ltd.(Headquarters) | Trainingexpenses | 7,000.00 | - |
| HengmeiOptoelectronicsCo.,Ltd. | Opticalfilmmaterialsandprocessing | 2,874.60 | 4,540,435.30 |
| Total | 2,039,449.40 | 5,631,961.88 |
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(XII)Relatedpartiesandrelatedpartytransactions-continued
5.Relatedpartytransactions-continued
(2)Saleofgoods
RMB
| Relatedparty | Relatedpartytransactions | Amountforthecurrentyear | Amountforthepreviousyear |
| HengmeiOptoelectronicsCo.,Ltd. | Polarizer | - | 4,744,631.12 |
| ShenzhenInvestmentBuildingHotelCo.,Ltd. | Textiles | - | 163,729.20 |
| ShenzhenShentouPropertyDevelopmentCo.,Ltd. | Textiles | - | 65,634.51 |
| ShenzhenInvestmentBuildingPropertyManagementCo.,Ltd. | Textiles | - | 35,522.12 |
| ShenzhenInvestmentHoldingsCo.,Ltd. | Textiles | - | 15,371.68 |
| Total | - | 5,024,888.63 |
(3)Loansfromandtorelatedparties
RMB
| Relatedparty | Amountborrowed | Startdate | Maturitydate | Notes |
| Borrowedfrom | ||||
| ShenzhenGuanhuaPrintingandDyeingCo.,Ltd. | 3,806,454.17 | 2019.07.30 | 2025.07.31 | Annualinterestrate0.15% |
(4)Remunerationofkeyofficers
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Remunerationofkeyofficers | 6,932,991.00 | 8,557,258.00 |
6.Accountsreceivable,accountspayabletorelatedpartiesandotherunsettleditems
(1)Receivables
RMB
| Project | Relatedparty | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||
| Bookbalance | Provisionforbaddebts | Bookbalance | Provisionforbaddebts | ||
| Accountsreceivable | ShenzhenShentouPropertyDevelopmentCo.,Ltd. | 6,027.00 | 602.70 | 6,027.00 | 602.70 |
| Otherreceivables | ShenzhenDailisiUnderwearCo.,Ltd. | 1,100,000.00 | 55,000.00 | 1,100,000.00 | 58,850.00 |
| Otherreceivables | ShenzhenInvestmentHoldingsDevelopmentCo.,Ltd. | 73,096.00 | 3,910.64 | - | - |
| Otherreceivables | ShenzhenGuanhuaPrintingandDyeingCo.,Ltd. | - | - | 41,325.00 | - |
| Total | 1,173,096.00 | 58,910.64 | 1,141,325.00 | 58,850.00 | |
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(XII)Relatedpartiesandrelatedpartytransactions-continued
6.Accountsreceivable,accountspayabletorelatedpartiesandotherunsettleditems-continued
(2)Payables
RMB
| Project | Relatedparty | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Otherpayables | ShenzhenGuanhuaPrintingandDyeingCo.,Ltd. | 3,816,981.88 | 3,811,272.20 |
| ShenzhenChanglianfaPrintingandDyeingCo.,Ltd. | 2,281,299.95 | 2,023,699.95 | |
| ShenzhenXinfangKnittingFactoryCo.,Ltd. | 244,789.85 | 244,789.85 | |
| ShenzhenInvestmentHoldingsCo.,Ltd. | - | 485,189.00 | |
| ShenzhenInvestmentHoldingsSportsEventDevelopmentCo.,Ltd. | 80,000.00 | - | |
| ShenzhenInvestmentHoldingsDigitalTechnologyCo.,Ltd. | 37,735.84 | - | |
| ShenzhenInvestmentHoldingsDevelopmentCo.,Ltd. | 29,238.40 | - | |
| ShenzhenPropertyManagementCo.,Ltd. | 7,934.52 | - | |
| YehuiInternationalCo.,Ltd. | - | 1,124,656.60 | |
| Total | 6,497,980.44 | 7,689,607.60 |
（XIII）Commitmentsandcontingencies
1.Importantcommitments
(1)Capitalcommitments
RMB
| Item | Amountattheendofcurrentyear | Amountattheendofpreviousyear |
| Contractedbutnotrecognizedinthefinancialstatements | ||
| -Commitmenttopurchaseandconstructlong-termassets | 53,374.76 | 2,413,823.52 |
2.ContingenciesAsofDecember31,2024,theGrouphadnocontingenciessuchaspendinglitigationsandexternalguaranteestobediscolsed.
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（XIV）Eventsafterthebalancesheetdate
1.Profitdistributionafterthebalancesheetdate
OnMarch262025,theprofitdistributionproposalfortheyear2024wasapprovedbytheBoardoftheCompany.ItisproposedthattheCompanydistributecashdividendsofRMB0.71pershare(taxinclusive)toallshareholdersbasedonthetotalsharecapitalof506,521,849sharesasofDecember31,2024,resultingintotalcashdividendsofRMB35,963,051.28(taxinclusive).TheprofitdistributionplanissubjecttotheconsiderationandapprovaloftheCompany'sGeneralMeeting.
RMB
| Item | Amount |
| Profitordividendtobedistributed | 35,963,051.28 |
| Profitordividenddeclaredtobegrantedupondeliberationandapproval | - |
（XV）Othersignificantmatters
1.Segmentinformation
(1)DeterminationbasisandaccountingpoliciesforreportingsegmentsAccordingtotheinternalorganizationalstructure,managementrequirementsandinternalreportingsystemoftheGroup,theGroup'soperatingbusinessisdividedintotwooperatingsegments.ThemanagementoftheGroupregularlyevaluatestheoperatingresultsofthesesegmentstodecideontheallocationofresourcestothemandevaluatetheirperformance.Onthebasisofoperatingsegments,theGrouphasidentifiedthefollowingtworeportingsegments,polarizerbusiness,propertyleasingbusinessandotherbusiness.Informationonsegmentreportingisdisclosedaccordingtotheaccountingpoliciesandmeasurementstandardsadoptedbyeachsegmentwhenreportingtothemanagement,andthesemeasurementbasesareconsistentwiththeaccountingandmeasurementbaseswhenpreparingthefinancialstatements.
(2)Financialinformationofreportingsegments
RMB
| Currentyearorendofcurrentyear | Polarizer | Propertyleasingandothers | Offset | Total |
| Operatingrevenue: | ||||
| Revenuefromexternaltransactions | 3,219,211,416.65 | 116,071,592.03 | - | 3,335,283,008.68 |
| Revenuefromtransactionsbetweensegments | - | 4,239,345.09 | (4,239,345.09) | - |
| Totaloperatingrevenueofsegments | 3,219,211,416.65 | 120,310,937.12 | (4,239,345.09) | 3,335,283,008.68 |
| Operatingexpenses(Note) | 3,007,500,292.36 | 95,037,109.98 | (3,900,557.86) | 3,098,636,844.48 |
| Operatingprofit | 136,015,568.69 | (20,628,307.04) | 36,389,537.55 | 151,776,799.20 |
| Netprofit | 134,120,025.66 | (15,831,104.78) | 24,767,845.50 | 143,056,766.38 |
| Totalassetsofsegments | 4,031,861,994.76 | 3,149,618,569.49 | (1,949,330,166.92) | 5,232,150,397.33 |
| Totalliabilitiesofsegments | 835,237,595.88 | 191,159,171.74 | (29,567,004.42) | 996,829,763.20 |
Note:thisitemincludesoperatingcosts,taxesandsurcharges,G&Aexpenses,R&Dexpenses,sellinganddistributionexpensesandfinancialexpenses.
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(XV)Othersignificantevents-continued
2.Othersignificanteventsaffectingthedecision-makingofinvestors
(1)RealestatenotyetdisposedofbyShenzhenXieliAutomobileEnterpriseCo.,Ltd.(hereinafterreferredtoas"ShenzhenXieli")OurcompanyhasinvestedwithHongKongXieliMaintenanceCompany(hereinafterreferredtoas"HongKongXieli")toestablishaSinoforeignjointventure,ShenzhenXieliAutomobileEnterpriseCo.,Ltd.(hereinafterreferredtoas"ShenzhenXieli").InMarch2020,ShenzhenXieliwasderegisteredbytheShenzhenMunicipalAdministrationforMarketRegulation.InJuly2020,ourcompanyfiledanadministrativeactionwiththeYantianDistrictPeople'sCourtinShenzhen,GuangdongProvincetorevoketheapprovaloftheShenzhenMarketSupervisionAdministrationforthecancellationofShenzhenXieli.InDecember2022,thePeople'sCourtofYantianDistrict,Shenzhen,GuangdongProvince,reviewedthefirstinstancejudgmentandrevokedtheadministrativeactionapprovingthecancellationofShenzhenXieli'sregistration.InJanuary2023,thethirdpartyintheoriginaltrial,HongKongXieli,appealedtotheShenzhenIntermediatePeople'sCourtinGuangdongProvince.Later,duetoHongKongXieli'sfailuretopaythecaseacceptancefeeinadvance,theShenzhenIntermediatePeople'sCourtissuedanadministrativeruling,rulingthattheappealshouldbewithdrawnbyHongKongXieli.TheretrialjudgmentofthefirstinstancehastakeneffectonMarch22,2023.Atpresent,ShenzhenXielihasresumeditsbusinessregistrationstatus,butitsfuturedirectionstillneedstobenegotiatedamongallshareholders.（XVI）Notestothemainitemsoftheparentcompany'sfinancialstatements
1.Accountsreceivable
(1)Disclosurebyaging
RMB
| Aging | Bookbalanceattheendoftheyear | Bookbalanceatthebeginningoftheyear |
| Within1year | 10,649,986.34 | 10,190,859.62 |
| 1-2years | - | - |
| 2to3years | - | 2,485,076.00 |
| 3-4years | 2,485,076.00 | - |
| Total | 13,135,062.34 | 12,675,935.62 |
(2)Disclosurebyprovisionmethodforbaddebts
RMB
| Category | Balanceasattheendofthecurrentyear | ||||
| Bookbalance | Provisionforbaddebts | Bookvalue | |||
| Amount | Ratio(%) | Amount | Provisionratio(%) | ||
| Provisionforbaddebtsaccruedonanindividualbasis | - | - | - | - | - |
| Provisionforbaddebtsmadebyportfolio | 13,135,062.34 | 100.00 | 106,074.71 | 0.81 | 13,028,987.63 |
| Total | 13,135,062.34 | 100.00 | 106,074.71 | 13,028,987.63 | |
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(XVI)Notestothemainitemsoftheparentcompany'sfinancialstatements-continued
1.Accountsreceivable-continued
(2)Disclosurebyprovisionmethodforbaddebts-continued
RMB
| Category | Balanceasattheendofthepreviousyear | ||||
| Bookbalance | Provisionforbaddebts | Bookvalue | |||
| Amount | Ratio(%) | Amount | Provisionratio(%) | ||
| Provisionforbaddebtsaccruedonanindividualbasis | - | - | - | - | - |
| Provisionforbaddebtsmadebyportfolio | 12,675,935.62 | 100.00 | 4,311.97 | 0.03 | 12,671,623.65 |
| Total | 12,675,935.62 | 100.00 | 4,311.97 | 12,671,623.65 | |
AsofDecember31,2024,accountsreceivablewithprovisionforbaddebtsaccruedonaportfoliobasis:
RMB
| Aging | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| Within1year | 1.00 | 10,649,986.34 | 106,074.71 | 10,543,911.63 |
| 3-4years | - | 2,485,076.00 | - | 2,485,076.00 |
| Total | 13,135,062.34 | 106,074.71 | 13,028,987.63 | |
AsofDecember31,2024,provisionforbaddebtsismadebasedonthesimplifiedexpectedcreditlossesmodel
RMB
| Provisionforbaddebts | WholedurationExpectedcreditlosses(Nocreditloss) | WholedurationExpectedcreditlosses(Withcreditloss) | Total |
| Balanceatthebeginningoftheyear | 4,311.97 | - | 4,311.97 |
| Balanceatthebeginningoftheyear | - | - | - |
| -Transfertocreditlossincurred | - | - | - |
| -Reversalofcreditlossnotincurred | - | - | - |
| Withdrawalinthecurrentyear | 101,762.74 | - | 101,762.74 |
| Reversalinthecurrentyear | - | - | - |
| Charge-offinthecurrentyear | - | - | - |
| Write-offinthecurrentyear | - | - | - |
| Otherchanges | - | - | - |
| Balanceasattheendofthecurrentyear | 106,074.71 | - | 106,074.71 |
(3)Provisionforbaddebts
RMB
| Type | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | |||
| Provision | Recoveryorreversal | Resaleorwrite-off | Otherchanges | |||
| Provisionforbaddebts | 4,311.97 | 101,762.74 | - | - | - | 106,074.71 |
Therewasnosignificantamountofprovisionforbaddebtsrecoveredorreversedthisyear.
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(XVI)Notestothemainitemsoftheparentcompany'sfinancialstatements-continued
1.Accountsreceivable-continued
(4)Therearenoaccountsreceivablewithactualwrite-offthisyear.
(5)Topfiveentitiesintermsoftheendingbalanceofaccountsreceivablebydebtor
RMB
| Entityname | AttheendofcurrentyearBookbalance | Ratiointotalaccountsreceivable(%) | ProvisionforbaddebtsBalanceasattheendofthecurrentyear |
| TotalamountofthetopfiveaccountsreceivablesasofDecember31,2024. | 13,003,135.50 | 99.00 | 100,734.39 |
2.Otherreceivables
(1)Disclosurebyaging
RMB
| Aging | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear |
| Within1year | 15,129,726.66 | 1,683,810.52 |
| 1-2years | 273,000.00 | 2,213,073.28 |
| 2to3years | 2,204,641.09 | 10,100,800.01 |
| Over3years | 25,380,195.11 | 15,279,395.10 |
| Total | 42,987,562.86 | 29,277,078.91 |
| Less:provisionforbaddebts | 41,453,167.06 | 15,263,525.96 |
| Bookvalue | 1,534,395.80 | 14,013,552.95 |
(2)Disclosurebynatureofpayment
RMB
| Natureofpayment | Bookbalanceattheendoftheyear | Bookbalanceattheendofthepreviousyear |
| Transactionswithrelatedpartieswithintheconsolidationscope | 26,189,641.10 | 12,553,241.09 |
| Transactionswithexternalunits | 15,422,435.97 | 15,349,339.97 |
| Guaranteeanddeposits | 10,000.00 | 10,000.00 |
| Others | 1,365,485.79 | 1,364,497.85 |
| Total | 42,987,562.86 | 29,277,078.91 |
(3)ProvisionforbaddebtsAsofDecember31,2024,provisionforbaddebtsshallbemadeaccordingtothecreditriskcharacteristiccombination
RMB
| Phase | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| ProvisionforbaddebtsbasedoncreditriskcharacteristiccombinationProvisionforotherreceivables | 96.43 | 42,987,562.86 | 41,453,167.06 | 1,534,395.80 |
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(XVI)Notestothemainitemsoftheparentcompany'sfinancialstatements-continued
2.Otherreceivables-continued
(3)Provisionforbaddebts-continuedAsofDecember31,2024,thecreditriskandprovisionforbaddebtsofotherreceivablesareasfollows:
RMB
| Aging | Balanceasattheendofthecurrentyear | |||
| Expectedaveragelossrate(%) | Bookbalance | Provisionforbaddebts | Bookvalue | |
| Within1year | 90.62 | 15,129,726.66 | 13,711,066.34 | 1,418,660.32 |
| 1-2years | 100.00 | 273,000.00 | 273,000.00 | - |
| 2to3years | 100.00 | 2,204,641.09 | 2,204,641.09 | - |
| Over3years | 99.54 | 25,380,195.11 | 25,264,459.63 | 115,735.48 |
| Total | 42,987,562.86 | 41,453,167.06 | 1,534,395.80 | |
(4)Changesinprovisionforbaddebts
RMB
| Type | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | |||
| Provision | Recoveryorreversal | Resaleorwrite-off | Otherchanges | |||
| Provisionforbaddebts | 15,263,525.96 | 26,189,641.10 | - | - | - | 41,453,167.06 |
(5)Therewerenootherreceivablesactuallywrittenoffthisyear.
(6)Topfiveentitiesintermsofendingbalanceofotherreceivablesbydebtors
RMB
| Entityname | Natureofpayment | OtherreceivablesBalanceasattheendofthecurrentyear | Aging | Ratiointhetotalendingbalanceofotherreceivablesinthecurrentyear(%) | ProvisionforbaddebtsBalanceasattheendofthecurrentyear |
| TotalamountofthetopfiveotherreceivablesasofDecember31,2024. | Receivablesfromexternalentitiesandinternalreceivables | 41,496,981.06 | Within1year,1-2years,2-3years,over3years | 96.53 | 40,514,681.06 |
3.Long-termequityinvestments
RMB
| Item | Balanceasattheendofthecurrentyear | Balanceasattheendofthepreviousyear | ||||
| Bookbalance | Provisionforimpairment | Bookvalue | Bookbalance | Provisionforimpairment | Bookvalue | |
| Investmentinsubsidiaries | 1,962,688,268.31 | 36,826,287.64 | 1,925,861,980.67 | 1,976,433,419.39 | 16,582,629.30 | 1,959,850,790.09 |
| Investmentsinjointventures | 111,555,887.28 | - | 111,555,887.28 | 122,370,494.08 | - | 122,370,494.08 |
| Investmentsinassociates | 3,272,138.76 | - | 3,272,138.76 | 5,311,526.62 | - | 5,311,526.62 |
| Total | 2,077,516,294.35 | 36,826,287.64 | 2,040,690,006.71 | 2,104,115,440.09 | 16,582,629.30 | 2,087,532,810.79 |
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(XVI)Notestothemainitemsoftheparentcompany'sfinancialstatements-continued
3.Long-termequityinvestments-continued
(1)Investmentinsubsidiaries
RMB
| Investees | Balanceatthebeginningoftheyear | Increaseincurrentyear | Decreaseincurrentyear | Provisionforimpairmentinthecurrentyear | Balanceasattheendofthecurrentyear | ProvisionforimpairmentBalanceasattheendofthecurrentyear |
| SAPOPhotoelectric | 1,910,247,781.94 | - | - | - | 1,910,247,781.94 | 14,415,288.09 |
| ShenzhenLisiIndustrialDevelopmentCo.,Ltd. | 8,073,388.25 | - | - | - | 8,073,388.25 | - |
| ShenzhenMCENTURYGarmentCo.,Ltd. | 18,499,458.34 | 1,744,200.00 | - | 20,243,658.34 | - | 22,410,999.55 |
| ShenzhenHuaqiangHotelCo.,Ltd. | 15,489,351.08 | - | 15,489,351.08 | - | - | - |
| ShenzhenShenfangPropertyManagementCo.,Ltd. | 1,713,186.55 | - | - | - | 1,713,186.55 | - |
| ShenzhenShenfangSungangPropertyManagementCo.,Ltd. | 5,827,623.93 | - | - | - | 5,827,623.93 | - |
| Total | 1,959,850,790.09 | 1,744,200.00 | 15,489,351.08 | 20,243,658.34 | 1,925,861,980.67 | 36,826,287.64 |
(2)Investmentinassociatesandjointventures
RMB
| Investees | Balanceatthebeginningoftheyear | Changesinthecurrentyear | Balanceasattheendofthecurrentyear | ProvisionforimpairmentBalanceasattheendofthecurrentyear | |||||||
| Additionalinvestment | Reducedinvestment | Investmentprofitorlossrecognizedundertheequitymethod | Othercomprehensiveincomeadjustment | Otherchangesinequity | Cashdividendsorprofitsdeclaredtobepaid | ProvisionProvisionforimpairment | Others | ||||
| Jointventures | |||||||||||
| ShenzhenGuanhuaPrintingandDyeingCo.,Ltd. | 122,370,494.08 | - | - | (10,814,606.80) | - | - | - | - | - | 111,555,887.28 | - |
| Sub-total | 122,370,494.08 | - | - | (10,814,606.80) | - | - | - | - | - | 111,555,887.28 | - |
| Associates | |||||||||||
| ShenzhenChanglianfaPrintingandDyeingCo.,Ltd. | 3,358,117.09 | - | - | 260,171.67 | - | - | 346,150.00 | - | - | 3,272,138.76 | - |
| YehuiInternationalCo.,Ltd. | 1,953,409.53 | - | 1,805,949.58 | (147,459.95) | - | - | - | - | - | - | - |
| Sub-total | 5,311,526.62 | - | 1,805,949.58 | 112,711.72 | - | - | 346,150.00 | - | - | 3,272,138.76 | - |
| Total | 127,682,020.70 | - | 1,805,949.58 | (10,701,895.08) | - | - | 346,150.00 | - | - | 114,828,026.04 | - |
NotestothefinancialstatementsFortheyearendedDecember31,2023
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(XVI)Notestothemainitemsoftheparentcompany'sfinancialstatements-continued
4.Operatingrevenueandoperatingcosts
(1)Operatingrevenueandoperatingcosts
RMB
ShenzhenTextile(Holdings)Co.,Ltd.
Item
| Item | Amountforthecurrentyear | Amountforthepreviousyear | ||
| Revenue | Cost | Revenue | Cost | |
| Primarybusiness | 77,167,496.95 | 10,205,157.84 | 77,822,508.75 | 9,822,306.53 |
(2)Incomefromprimarybusinessandcostofprimarybusinessbyproduct
RMB
| Products | Amountforthecurrentyear | Amountforthepreviousyear | ||
| Incomefromprimarybusiness | Costofprimarybusiness | Incomefromprimarybusiness | Costofprimarybusiness | |
| Propertyleasing | 77,167,496.95 | 10,205,157.84 | 77,822,508.75 | 9,822,306.53 |
(3)Incomefromprimarybusinessandcostofprimarybusinessbyregion
RMB
| Region | Amountforthecurrentyear | Amountforthepreviousyear | ||
| Incomefromprimarybusiness | Costofprimarybusiness | Incomefromprimarybusiness | Costofprimarybusiness | |
| Domestic | 77,167,496.95 | 10,205,157.84 | 77,822,508.75 | 9,822,306.53 |
5.Investmentincome
RMB
| Item | Amountforthecurrentyear | Amountforthepreviousyear |
| Long-termequityinvestmentincomecalculatedundertheequitymethod | (10,701,895.08) | (6,898,983.89) |
| Incomefromlong-termequityinvestmentsundercostmethod | 4,700,000.00 | 9,989,533.92 |
| Investmentincomefromdisposaloflong-termequityinvestments | 5,838,587.94 | - |
| Investmentincomeobtainedduringholdingthefinancialassetsheldfortrading | 10,795,474.10 | 14,816,230.07 |
| Dividendincomefrominvestmentsinotherequityinstrumentduringtheholdingperiod | 1,445,735.85 | 1,393,735.85 |
| Total | 12,077,902.81 | 19,300,515.95 |
SupplementaryinformationYearendedDecember31,2024
1.Breakdownofcurrentnon-recurringprofitorlossAccordingtotheInterpretiveAnnouncementNo.1onInformationDisclosureofCompaniesIssuingSecuritiestothePublic-Non-recurringProfitorLoss(Revision2023)(hereinafterreferredtoas"InterpretiveAnnouncementNo.1")issuedbytheChinaSecuritiesRegulatoryCommission,theGroup'snon-recurringprofitorlossfor2024areasfollows:
RMB
ShenzhenTextile(Holdings)Co.,Ltd.
Item
| Item | Amountforthecurrentyear |
| Profitorlossfromdisposalofnon-currentassets,includingthewriting-offpartforwhichtheassetimpairmentprovisionismade | 833,613.28 |
| Governmentgrantsincludedinthecurrentprofitorloss(exceptforthosethatarecloselyrelatedtotheCompany'snormalbusinessoperations,complywithnationalpoliciesandregulations,areenjoyedaccordingtodeterminedstandards,andhaveasustainedimpactontheCompany'sprofitorloss) | 10,454,530.12 |
| Profitorlossfromchangesinfairvalueoffinancialassetsandliabilitiesheldbynon-financialenterprisesandprofitorlossfromthedisposaloffinancialassetsandfinancialliabilities,exceptforeffectivehedgingoperationsrelatedtotheCompany'snormalbusinessoperations | (5,319,496.55) |
| Reversalofprovisionforimpairmentofaccountsreceivablesubjecttoseparateimpairmenttest | 13,927,792.63 |
| Non-operatingrevenueandexpensesotherthantheabove-mentioneditems | 1,107,069.21 |
| Totalnon-recurringprofitorloss | 21,003,508.69 |
| Less:incometaxeffectofnon-recurringprofitorloss | 2,998,978.10 |
| Netamountofnon-recurringprofitorloss | 18,004,530.59 |
| Less:neteffectofnon-recurringprofitorlossattributabletominorityshareholders(aftertax) | 5,661,882.11 |
| Non-recurringprofitorlossattributabletotheCompany'sordinaryshareholders | 12,342,648.48 |
2.ReturnonnetassetsandearningspershareThisreturnonnetassetsandearningspersharetableispreparedbyShenzhenTextile(Holdings)Co.,Ltd.inaccordancewiththeRulesfortheCompilationandReportingofInformationDisclosurebyCompaniesIssuingSecuritiesinPublic(No.9)-CalculationandDisclosureofReturnonNetAssetsandEarningsperShare(Revision2010)issuedbytheChinaSecuritiesRegulatoryCommission.
RMB
| Profitinthereportingperiod | Weightedaveragerateofreturnonnetassets | Earningspershare | |
| Basicearningspershare | Dilutedearningspershare | ||
| NetprofitattributabletoordinaryshareholdersoftheCOOEC | 3.06 | 0.18 | 0.18 |
| NetprofitattributabletoordinaryshareholdersoftheCompanyafterdeductingnon-recurringprofitorloss | 2.64 | 0.15 | 0.15 |
ShenzhenTextile(Holdings)Co.,Ltd.
| ShenzhenTextile(Holdings)Co.,Ltd. |
| BoardofDirectors |
| March28,2025 |