ChinaFangdaGroupCo.,Ltd.
2025FinancialStatements
August2025
I.Auditor’sreport
Whethertheinterimreportisaudited
□Yes?NoThefinancialstatementsforH12014havenotbeenaudited.
II.FinancialstatementsUnitforstatementsinnotestofinancialstatements:RMByuan
1.ConsolidatedBalanceSheet
Preparedby:ChinaFangdaGroupCo.,Ltd.
30June2025
InRMB
| Item | Closingbalance | Openingbalance |
| Currentasset: | ||
| Monetarycapital | 1,111,019,576.80 | 1,491,777,341.84 |
| Settlementprovision | ||
| Outgoingcallloan | ||
| Transactionalfinancialassets | ||
| Derivativefinancialassets | 77,600.00 | |
| Notesreceivable | 76,607,851.56 | 73,887,694.24 |
| Accountreceivable | 963,449,533.00 | 1,123,506,196.98 |
| Receivablefinancing | 387,988.26 | 4,568,000.10 |
| Prepayment | 30,675,952.37 | 23,355,036.11 |
| Insurancereceivable | ||
| Reinsurancereceivable | ||
| ProvisionsofReinsurancecontractsreceivable | ||
| Otherreceivables | 159,021,678.10 | 168,322,524.80 |
| Including:interestreceivable | ||
| Dividendreceivable | ||
| Repurchasingoffinancialassets | ||
| Inventory | 745,574,640.16 | 705,666,408.74 |
| Amongthem:dataresources | ||
| Contractassets | 2,281,362,840.37 | 2,247,698,479.96 |
| Assetsheldforsales | ||
| Non-currentassetsduein1year | ||
| Othercurrentassets | 335,210,547.69 | 307,777,143.14 |
| Totalcurrentassets | 5,703,388,208.31 | 6,146,558,825.91 |
| Non-currentassets: | ||
| Loanandadvancementprovided |
| Debtinvestment | ||
| Otherdebtinvestment | ||
| Long-termreceivables | ||
| Long-termshareequityinvestment | 56,655,809.72 | 56,690,973.97 |
| Investmentinotherequitytools | ||
| Othernon-currentfinancialassets | 6,523,233.73 | 6,519,740.17 |
| Investmentrealestate | 5,825,827,116.96 | 5,835,036,098.20 |
| Fixedassets | 932,515,821.46 | 940,894,344.39 |
| Constructioninprocess | 4,883,219.33 | 7,265,104.44 |
| Productivebiologicalassets | ||
| Gas&petrol | ||
| Userightassets | 13,754,144.30 | 15,683,121.04 |
| Intangibleassets | 84,772,216.52 | 124,052,394.79 |
| Amongthem:dataresources | ||
| R&Dexpense | ||
| Amongthem:dataresources | ||
| Goodwill | ||
| Long-termamortizableexpenses | 7,266,036.25 | 4,041,025.70 |
| Deferredincometaxassets | 224,341,239.43 | 205,986,926.71 |
| Othernon-currentassets | 257,954,632.36 | 212,658,669.89 |
| Totalofnon-currentassets | 7,414,493,470.06 | 7,408,828,399.30 |
| Totalofassets | 13,117,881,678.37 | 13,555,387,225.21 |
| Currentliabilities | ||
| Short-termloans | 1,210,526,332.23 | 1,663,696,422.48 |
| LoansfromCentralBank | ||
| Callloanreceived | ||
| Transactionalfinancialliabilities | ||
| Derivativefinancialliabilities | 1,520,625.00 | |
| Notespayable | 603,861,371.35 | 681,188,127.97 |
| Accountpayable | 1,873,559,610.98 | 2,146,594,890.57 |
| Prepaymentreceived | 3,669,703.07 | 1,513,398.39 |
| Contractliabilities | 257,088,867.81 | 268,594,041.26 |
| Sellingofrepurchasedfinancialassets | ||
| Depositreceivedandheldforothers | ||
| Entrustedtradingofsecurities | ||
| Entrustedsellingofsecurities | ||
| Employees'wagepayable | 35,101,505.56 | 76,243,647.97 |
| Taxespayable | 43,963,840.71 | 48,847,117.19 |
| Otherpayables | 120,776,692.65 | 120,918,002.02 |
| Including:interestpayable | ||
| Dividendpayable | ||
| Feesandcommissionspayable |
| Reinsurancefeepayable | ||
| Liabilitiesheldforsales | ||
| Non-currentliabilitiesduein1year | 370,920,660.14 | 131,374,661.05 |
| Othercurrentliabilities | 73,433,099.23 | 50,835,559.67 |
| Totalcurrentliabilities | 4,592,901,683.73 | 5,191,326,493.57 |
| Non-currentliabilities: | ||
| Insurancecontractprovision | ||
| Long-termloans | 1,325,000,000.00 | 1,137,000,000.00 |
| Bondpayable | ||
| Including:preferredstock | ||
| Perpetualbond | ||
| Leaseliabilities | 8,538,021.61 | 10,652,607.48 |
| Long-termpayable | ||
| Long-termemployeebenefitspayable | ||
| Anticipatedliabilities | 1,733,574.95 | 1,286,391.72 |
| Deferredearning | 27,481,194.67 | 10,669,612.13 |
| Deferredincometaxliabilities | 1,022,644,068.29 | 1,030,341,141.92 |
| Othernon-currentliabilities | ||
| Totalofnon-currentliabilities | 2,385,396,859.52 | 2,189,949,753.25 |
| Totalliabilities | 6,978,298,543.25 | 7,381,276,246.82 |
| Owner'sequity: | ||
| Sharecapital | 1,073,874,227.00 | 1,073,874,227.00 |
| Otherequitytools | ||
| Including:preferredstock | ||
| Perpetualbond | ||
| Capitalreserves | 4,357,948.33 | 4,357,948.33 |
| Less:Sharesinstock | ||
| Othermiscellaneousincome | 160,264,035.45 | 158,405,014.52 |
| Specialreserves | ||
| Surplusreserve | 83,974,716.22 | 83,974,716.22 |
| Commonriskprovisions | ||
| Undistributedprofit | 4,768,787,887.16 | 4,805,192,000.28 |
| Totalofowner'sequitybelongtotheparentcompany | 6,091,258,814.16 | 6,125,803,906.35 |
| Minorshareholders'equity | 48,324,320.96 | 48,307,072.04 |
| Totalofowners'equity | 6,139,583,135.12 | 6,174,110,978.39 |
| Totalofliabilitiesandowner'sinterest | 13,117,881,678.37 | 13,555,387,225.21 |
Legalrepresentative:XiongJianmingCFO:LinKebingAccountingManager:WuBohua
2.BalanceSheetoftheParentCompany
InRMB
| Item | Closingbalance | Openingbalance |
| Currentasset: | ||
| Monetarycapital | 53,944,770.59 | 45,751,906.05 |
| Transactionalfinancialassets | ||
| Derivativefinancialassets |
| Notesreceivable | ||
| Accountreceivable | 3,966,591.37 | 2,885,125.35 |
| Receivablefinancing | ||
| Prepayment | 145,287.27 | |
| Otherreceivables | 1,222,140,569.04 | 1,622,103,166.85 |
| Including:interestreceivable | ||
| Dividendreceivable | ||
| Inventory | ||
| Amongthem:dataresources | ||
| Contractassets | ||
| Assetsheldforsales | ||
| Non-currentassetsduein1year | ||
| Othercurrentassets | 2,268,228.33 | 2,081,838.29 |
| Totalcurrentassets | 1,282,320,159.33 | 1,672,967,323.81 |
| Non-currentassets: | ||
| Debtinvestment | ||
| Otherdebtinvestment | ||
| Long-termreceivables | ||
| Long-termshareequityinvestment | 1,657,062,530.00 | 1,657,062,530.00 |
| Investmentinotherequitytools | ||
| Othernon-currentfinancialassets | 30,000,001.00 | 30,000,001.00 |
| Investmentrealestate | 380,644,350.00 | 380,644,350.00 |
| Fixedassets | 45,850,490.60 | 46,688,469.68 |
| Constructioninprocess | ||
| Productivebiologicalassets | ||
| Gas&petrol | ||
| Userightassets | 4,829,479.27 | 8,030,919.38 |
| Intangibleassets | 1,375,439.88 | 1,200,848.82 |
| Amongthem:dataresources | ||
| R&Dexpense | ||
| Amongthem:dataresources | ||
| Goodwill | ||
| Long-termamortizableexpenses | 151,346.82 | 285,478.52 |
| Deferredincometaxassets | ||
| Othernon-currentassets | ||
| Totalofnon-currentassets | 2,119,913,637.57 | 2,123,912,597.40 |
| Totalofassets | 3,402,233,796.90 | 3,796,879,921.21 |
| Currentliabilities | ||
| Short-termloans | ||
| Transactionalfinancialliabilities | ||
| Derivativefinancialliabilities | ||
| Notespayable |
| Accountpayable | 1,148,635.91 | 873,640.82 |
| Prepaymentreceived | 936,173.09 | 749,684.15 |
| Contractliabilities | ||
| Employees'wagepayable | 1,057,751.61 | 2,834,942.51 |
| Taxespayable | 849,136.20 | 286,140.09 |
| Otherpayables | 1,077,973,149.44 | 1,437,682,555.06 |
| Including:interestpayable | ||
| Dividendpayable | ||
| Liabilitiesheldforsales | ||
| Non-currentliabilitiesduein1year | 2,785,166.41 | 3,531,740.50 |
| Othercurrentliabilities | 195,500.18 | 164,239.72 |
| Totalcurrentliabilities | 1,084,945,512.84 | 1,446,122,942.85 |
| Non-currentliabilities: | ||
| Long-termloans | ||
| Bondpayable | ||
| Including:preferredstock | ||
| Perpetualbond | ||
| Leaseliabilities | 2,160,836.77 | 4,614,693.40 |
| Long-termpayable | ||
| Long-termemployeebenefitspayable | ||
| Anticipatedliabilities | ||
| Deferredearning | ||
| Deferredincometaxliabilities | 42,437,940.19 | 42,909,713.11 |
| Othernon-currentliabilities | ||
| Totalofnon-currentliabilities | 44,598,776.96 | 47,524,406.51 |
| Totalliabilities | 1,129,544,289.80 | 1,493,647,349.36 |
| Owner'sequity: | ||
| Sharecapital | 1,073,874,227.00 | 1,073,874,227.00 |
| Otherequitytools | ||
| Including:preferredstock | ||
| Perpetualbond | ||
| Capitalreserves | 360,835.52 | 360,835.52 |
| Less:Sharesinstock | ||
| Othermiscellaneousincome | 39,731,740.46 | 39,731,740.46 |
| Specialreserves | ||
| Surplusreserve | 83,974,716.22 | 83,974,716.22 |
| Undistributedprofit | 1,074,747,987.90 | 1,105,291,052.65 |
| Totalofowners'equity | 2,272,689,507.10 | 2,303,232,571.85 |
| Totalofliabilitiesandowner'sinterest | 3,402,233,796.90 | 3,796,879,921.21 |
3.ConsolidatedIncomeStatement
InRMB
| Item | H12025 | H12024 |
| 1.Totalrevenue | 1,598,286,450.04 | 2,133,845,587.76 |
| Incl.Businessincome | 1,598,286,450.04 | 2,133,845,587.76 |
| Interestincome | ||
| Insurancefeeearned | ||
| Feeandcommissionreceived | ||
| 2.Totalbusinesscost | 1,536,129,791.61 | 1,985,288,554.65 |
| Incl.Businesscost | 1,307,537,649.28 | 1,737,599,184.98 |
| Interestexpense | ||
| Feeandcommissionpaid | ||
| Insurancedischargepayment | ||
| Netclaimamountpaid | ||
| Netinsurancepolicyresponsibilityreservesprovided | ||
| Insurancepolicydividendpaid | ||
| Reinsuranceexpenses | ||
| Taxesandsurcharges | 16,691,311.31 | 22,159,952.79 |
| Salesexpense | 22,633,578.48 | 23,558,271.96 |
| Administrativeexpense | 90,172,531.38 | 84,841,558.95 |
| R&Dcost | 61,514,176.71 | 85,639,602.88 |
| Financialexpenses | 37,580,544.45 | 31,489,983.09 |
| Including:interestcost | 36,331,469.54 | 29,211,652.87 |
| Interestincome | 5,980,063.68 | 11,466,633.99 |
| Add:othergains | 6,902,959.39 | 11,462,337.51 |
| Investmentgains("-"forloss) | -680,394.74 | -2,082,121.20 |
| Incl.Investmentgainsfromaffiliatesandjointventures | -35,164.25 | -34,959.52 |
| Financialassetsderecognizedasaresultofamortizedcost | -696,903.65 | -1,123,208.42 |
| Exchangegains("—"forloss) | ||
| Netopenhedgegains("-"forloss) | ||
| Gainsfromchangeoffairvalue("-"forloss) | 2,766,545.64 | 558,364.87 |
| Creditimpairment("-"forloss) | -59,005,981.56 | -7,874,799.00 |
| Investmentimpairmentloss("-"forloss) | 4,589,393.55 | -15,876,085.85 |
| Investmentgains("-"forloss) | -1,522,602.22 | -1,490.22 |
| 3.Operatingprofit("-"forloss) | 15,206,578.49 | 134,743,239.22 |
| Plus:non-operationalincome | 219,391.05 | 178,760.55 |
| Less:non-operationalexpenditure | 576,871.24 | 535,703.48 |
| 4.Grossprofit("-"forloss) | 14,849,098.30 | 134,386,296.29 |
| Less:Incometaxexpenses | -2,457,491.76 | 16,519,019.26 |
| 5.Netprofit("-"fornetloss) | 17,306,590.06 | 117,867,277.03 |
| (1)Byoperatingconsistency | ||
| 1.Netprofitfromcontinuousoperation("-"fornetloss) | 17,306,590.06 | 117,867,277.03 |
| 2.Netprofitfromdiscontinuousoperation("-"fornetloss) | ||
| (2)Byownership | ||
| 1.Netprofitattributabletotheshareholdersoftheparentcompany("-"fornetloss) | 17,289,598.23 | 116,795,117.62 |
| 2.Gainsandlossesofminorityshareholders("-"fornetloss) | 16,991.83 | 1,072,159.41 |
| 6.After-taxnetamountofothermisc.incomes | 1,859,278.02 | 28,588,475.40 |
| After-taxnetamountofothermisc.incomesattributedtoparent's | 1,859,020.93 | 28,592,893.06 |
| owner | ||
| (1)Othermisc.incomesthatcannotbere-classifiedintogainandloss | ||
| 1.Re-measurethechangeinthedefinedbenefitplan | ||
| 2.Othercomprehensiveincomethatcannotbetransferredtoprofitorlossundertheequitymethod | ||
| 3.Fairvaluechangeofinvestmentinotherequitytools | ||
| 4.FairvaluechangeoftheCompany'screditrisk | ||
| 5.Others | ||
| (2)Othermisc.incomesthatwillbere-classifiedintogainandloss | 1,859,020.93 | 28,592,893.06 |
| 1.Othercomprehensiveincomethatcanbetransferredtoprofitorlossundertheequitymethod | ||
| 2.Fairvaluechangeofotherdebtinvestment | ||
| 3.Gainsandlossesfromchangesinfairvalueofavailable-for-salefinancialassets | ||
| 4.Othercreditinvestmentcreditimpairmentprovisions | ||
| 5.Cashflowhedgereserve | 1,358,491.26 | -676,913.84 |
| 6.Translationdifferenceofforeignexchangestatement | 578,581.44 | -320,041.06 |
| 7.Others | -78,051.77 | 29,589,847.96 |
| After-taxnetofothermisc.incomeattributedtominorityshareholders | 257.09 | -4,417.66 |
| 7.Totalofmisc.incomes | 19,165,868.08 | 146,455,752.43 |
| Totalofmisc.incomesattributabletotheownersoftheparentcompany | 19,148,619.16 | 145,388,010.68 |
| Totalmiscgainsattributabletotheminorshareholders | 17,248.92 | 1,067,741.75 |
| 8.Earningspershare: | ||
| (1)Basicearningspershare | 0.0161 | 0.1088 |
| (2)Dilutedearningspershare | 0.0161 | 0.1088 |
NetprofitcontributedbyentitiesmergedundercommoncontrolinthereportperiodwasRMB0.00,netprofitrealizedbypartiesmergedduringthepreviousperiodisRMB0.00.Legalrepresentative:XiongJianmingCFO:LinKebingAccountingManager:WuBohua
4.IncomeStatementoftheParentCompany
InRMB
| Item | H12025 | H12024 |
| 1.Turnover | 11,205,926.52 | 10,908,179.61 |
| Less:Operationcost | 0.00 | 38,387.33 |
| Taxesandsurcharges | 631,890.33 | 800,435.12 |
| Salesexpense | ||
| Administrativeexpense | 13,655,557.07 | 14,985,010.04 |
| R&Dcost | ||
| Financialexpenses | -140,903.66 | 4,743,454.39 |
| Including:interestcost | 133,932.04 | 4,028,333.33 |
| Interestincome | 200,370.07 | 176,948.43 |
| Add:othergains | 58,615.83 | 92,490.50 |
| Investmentgains("-"forloss) | 25,548,151.98 | 62,189,550.62 |
| Incl.Investmentgainsfromaffiliatesandjointventures | ||
| Financialassetsderecognizedasaresultofamortizedcost("-"forloss) |
| Netopenhedgegains("-"forloss) | ||
| Gainsfromchangeoffairvalue("-"forloss) | ||
| Creditimpairment("-"forloss) | -26,336.24 | -87,996.70 |
| Investmentimpairmentloss("-"forloss) | ||
| Investmentgains("-"forloss) | 32,377.91 | 1,053,415.23 |
| 2.Operationalprofit("-"forloss) | 22,672,192.26 | 53,588,352.38 |
| Plus:non-operationalincome | 6,681.42 | 5,025.00 |
| Less:non-operationalexpenditure | 5,000.00 | |
| 3.Grossprofit("-"forloss) | 22,678,873.68 | 53,588,377.38 |
| Less:Incometaxexpenses | -471,772.92 | -1,493,380.54 |
| 4.Netprofit("-"fornetloss) | 23,150,646.60 | 55,081,757.92 |
| (1)Netprofitfromcontinuousoperation("-"fornetloss) | 23,150,646.60 | 55,081,757.92 |
| (2)Netprofitfromdiscontinuousoperation("-"fornetloss) | ||
| 5.After-taxnetamountofothermisc.incomes | 28,392,754.08 | |
| (1)Othermisc.incomesthatcannotbere-classifiedintogainandloss | ||
| 1.Re-measurethechangeinthedefinedbenefitplan | ||
| 2.Othercomprehensiveincomethatcannotbetransferredtoprofitorlossundertheequitymethod | ||
| 3.Fairvaluechangeofinvestmentinotherequitytools | ||
| 4.FairvaluechangeoftheCompany'screditrisk | ||
| 5.Others | ||
| (2)Othermisc.incomesthatwillbere-classifiedintogainandloss | 28,392,754.08 | |
| 1.Othercomprehensiveincomethatcanbetransferredtoprofitorlossundertheequitymethod | ||
| 2.Fairvaluechangeofotherdebtinvestment | ||
| 3.Gainsandlossesfromchangesinfairvalueofavailable-for-salefinancialassets | ||
| 4.Othercreditinvestmentcreditimpairmentprovisions | ||
| 5.Cashflowhedgereserve | ||
| 6.Translationdifferenceofforeignexchangestatement | ||
| 7.Others | 28,392,754.08 | |
| 6.Totalofmisc.incomes | 23,150,646.60 | 83,474,512.00 |
| 7.Earningspershare: | ||
| (1)Basicearningspershare | ||
| (2)Dilutedearningspershare |
5.ConsolidatedCashFlowStatement
InRMB
| Item | H12025 | H12024 |
| 1.Netcashflowfrombusinessoperations: | ||
| Cashreceivedfromsalesofproductsandprovidingofservices | 1,644,864,672.27 | 2,015,279,577.92 |
| Netincreaseofcustomerdepositsandcapitalkeptforbrothercompany | ||
| Netincreaseofloansfromcentralbank | ||
| Netincreaseofinter-bankloansfromotherfinancialbodies | ||
| Cashreceivedagainstoriginalinsurancecontract | ||
| Netcashreceivedfromreinsurancebusiness | ||
| Netincreaseofclientdepositandinvestment |
| Cashreceivedasinterest,processingfee,andcommission | ||
| Netincreaseofinter-bankfundreceived | ||
| Netincreaseofrepurchasingbusiness | ||
| Netcashreceivedfromtradingsecurities | ||
| Taxrefunded | 3,765,227.06 | 3,542,492.79 |
| Othercashreceivedfrombusinessoperation | 76,539,611.68 | 43,910,264.70 |
| Sub-totalofcashinflowfrombusinessoperations | 1,725,169,511.01 | 2,062,732,335.41 |
| Cashpaidforpurchasingproductsandservices | 1,406,952,767.91 | 1,575,961,682.07 |
| Netincreaseofclienttradeandadvance | ||
| Netincreaseofsavingsincentralbankandbrothercompany | ||
| Cashpaidfororiginalcontractclaim | ||
| Netincreaseinfundsdismantled | ||
| Cashpaidforinterest,processingfeeandcommission | ||
| Cashpaidforpolicydividend | ||
| Cashpaidtoandforthestaff | 266,473,149.48 | 265,431,660.16 |
| Taxespaid | 87,939,225.95 | 80,833,799.58 |
| Othercashpaidforbusinessactivities | 230,151,595.52 | 312,036,191.81 |
| Sub-totalofcashoutflowfrombusinessoperations | 1,991,516,738.86 | 2,234,263,333.62 |
| Cashflowgeneratedbybusinessoperations,net | -266,347,227.85 | -171,530,998.21 |
| 2.Cashflowgeneratedbyinvestment: | ||
| Cashreceivedfrominvestmentrecovery | 985,601.68 | |
| Cashreceivedasinvestmentprofit | 54,562.28 | 101,435.57 |
| Netcashretrievedfromdisposaloffixedassets,intangibleassets,andotherlong-termassets | 47,639,388.99 | 266,715.00 |
| Netcashreceivedfromdisposalofsubsidiariesorotheroperationalunits | ||
| Otherinvestment-relatedcashreceived | ||
| Sub-totalofcashinflowgeneratedfrominvestment | 47,693,951.27 | 1,353,752.25 |
| Cashpaidforconstructionoffixedassets,intangibleassetsandotherlong-termassets | 15,143,990.05 | 167,181,373.04 |
| Cashpaidasinvestment | ||
| Netincreaseofloanagainstpledge | ||
| Netcashpaidforacquiringsubsidiariesandotheroperationalunits | ||
| Othercashpaidforinvestment | 890,803.00 | |
| Subtotalofcashoutflows | 15,143,990.05 | 168,072,176.04 |
| Cashflowgeneratedbyinvestmentactivities,net | 32,549,961.22 | -166,718,423.79 |
| 3.Cashflowgeneratedbyfinancingactivities: | ||
| Cashreceivedfrominvestment | 15.06 | |
| Incl.Cashreceivedfrominvestmentattractedbysubsidiariesfromminorityshareholders | ||
| Cashreceivedfromborrowedloans | 1,893,093,229.99 | 2,253,971,200.00 |
| Othercashreceivedfromfinancingactivities | 191,000,000.00 | 330,600,944.44 |
| Subtotalofcashinflowfromfinancingactivities | 2,084,093,245.05 | 2,584,572,144.44 |
| Cashpaidtorepaydebts | 1,947,980,500.00 | 1,769,800,000.00 |
| Cashpaidasdividend,profit,orinterests | 88,294,367.10 | 124,740,119.51 |
| Incl.Dividendandprofitpaidbysubsidiariestominorityshareholders | ||
| Othercashpaidforfinancingactivities | 89,650,891.23 | 224,565,671.40 |
| Subtotalofcashoutflowfromfinancingactivities | 2,125,925,758.33 | 2,119,105,790.91 |
| Netcashflowgeneratedbyfinancingactivities | -41,832,513.28 | 465,466,353.53 |
| 4.Influenceofexchangeratechangesoncashandcashequivalents | 3,502,591.55 | 1,584,220.89 |
| 5.Netincreaseincashandcashequivalents | -272,127,188.36 | 128,801,152.42 |
| Plus:Balanceofcashandcashequivalentsatthebeginningofterm | 1,031,725,216.34 | 779,661,118.42 |
| 6.Balanceofcashandcashequivalentsattheendoftheperiod | 759,598,027.98 | 908,462,270.84 |
6.CashFlowStatementoftheParentCompany
InRMB
| Item | H12025 | H12024 |
| 1.Netcashflowfrombusinessoperations: | ||
| Cashreceivedfromsalesofproductsandprovidingofservices | 7,261,020.96 | 14,751,757.54 |
| Taxrefunded | ||
| Othercashreceivedfrombusinessoperation | 559,232,320.99 | 1,300,660,929.18 |
| Sub-totalofcashinflowfrombusinessoperations | 566,493,341.95 | 1,315,412,686.72 |
| Cashpaidforpurchasingproductsandservices | 1,382,148.25 | 1,426,152.31 |
| Cashpaidtoandforthestaff | 9,831,037.86 | 9,514,951.33 |
| Taxespaid | 561,987.88 | 760,711.10 |
| Othercashpaidforbusinessactivities | 516,801,634.20 | 808,337,232.77 |
| Sub-totalofcashoutflowfrombusinessoperations | 528,576,808.19 | 820,039,047.51 |
| Cashflowgeneratedbybusinessoperations,net | 37,916,533.76 | 495,373,639.21 |
| 2.Cashflowgeneratedbyinvestment: | ||
| Cashreceivedfrominvestmentrecovery | 235,323,000.00 | |
| Cashreceivedasinvestmentprofit | 25,551,041.10 | 47,167.38 |
| Netcashretrievedfromdisposaloffixedassets,intangibleassets,andotherlong-termassets | ||
| Netcashreceivedfromdisposalofsubsidiariesorotheroperationalunits | ||
| Otherinvestment-relatedcashreceived | ||
| Sub-totalofcashinflowgeneratedfrominvestment | 25,551,041.10 | 235,370,167.38 |
| Cashpaidforconstructionoffixedassets,intangibleassetsandotherlong-termassets | 79,143.94 | 26,733.00 |
| Cashpaidasinvestment | 365,554,277.00 | |
| Netcashpaidforacquiringsubsidiariesandotheroperationalunits | ||
| Othercashpaidforinvestment | ||
| Subtotalofcashoutflows | 79,143.94 | 365,581,010.00 |
| Cashflowgeneratedbyinvestmentactivities,net | 25,471,897.16 | -130,210,842.62 |
| 3.Cashflowgeneratedbyfinancingactivities: | ||
| Cashreceivedfrominvestment | ||
| Cashreceivedfromborrowedloans | ||
| Othercashreceivedfromfinancingactivities | ||
| Subtotalofcashinflowfromfinancingactivities | ||
| Cashpaidtorepaydebts | 300,000,000.00 | |
| Cashpaidasdividend,profit,orinterests | 53,693,711.35 | 90,940,972.34 |
| Othercashpaidforfinancingactivities | 51,209,383.00 | |
| Subtotalofcashoutflowfromfinancingactivities | 104,903,094.35 | 390,940,972.34 |
| Netcashflowgeneratedbyfinancingactivities | -104,903,094.35 | -390,940,972.34 |
| 4.Influenceofexchangeratechangesoncashandcashequivalents | 79,727.97 | 17,360.14 |
| 5.Netincreaseincashandcashequivalents | -41,434,935.46 | -25,760,815.61 |
| Plus:Balanceofcashandcashequivalentsatthebeginningofterm | 45,501,906.05 | 45,676,194.32 |
| 6.Balanceofcashandcashequivalentsattheendoftheperiod | 4,066,970.59 | 19,915,378.71 |
7.StatementofChangeinOwners'Equity(Consolidated)
AmountoftheCurrentTerm
InRMB
| Item | H12025 | ||
| Owners'EquityAttributabletotheParentCompany | Min | Tota | |
| Sharecapital | Otherequitytools | Capitalreserves | Less:Sharesinstock | Othermiscellaneousincome | Specialreserves | Surplusreserve | Commonriskprovisions | Undistributedprofit | Others | Subtotal | orshareholders'equity | lofowners'equity | |||
| Preferredshare | Perpetualbond | Others | |||||||||||||
| 1.Balanceattheendoflastyear | 1,073,874,227.00 | 4,357,948.33 | 158,405,014.52 | 83,974,716.22 | 4,805,192,000.28 | 6,125,803,906.35 | 48,307,072.04 | 6,174,110,978.39 | |||||||
| 2.Balanceatthebeginningofcurrentyear | 1,073,874,227.00 | 4,357,948.33 | 158,405,014.52 | 83,974,716.22 | 4,805,192,000.28 | 6,125,803,906.35 | 48,307,072.04 | 6,174,110,978.39 | |||||||
| 3.Changeamountinthecurrentperiod("-"fordecrease) | 1,859,020.93 | -36,404,113.12 | -34,545,092.19 | 17,248.92 | -34,527,843.27 | ||||||||||
| (1)Totalofmisc.incomes | 1,859,020.93 | 17,289,598.23 | 19,148,619.16 | 17,248.92 | 19,165,868.08 | ||||||||||
| (2)Investmentordecreasingofcapitalbyowners | |||||||||||||||
| (3)Profitallotment | -53,693,711.35 | -53,693,711.35 | -53,693,711.35 | ||||||||||||
| 1.Provisionofsurplusreserves | |||||||||||||||
| 2.Commonriskprovision | |||||||||||||||
| 3.Distributiontoowners(orshareholders) | -53,693,711.35 | -53,693,711.35 | -53,693,711.35 | ||||||||||||
| (4)Internalcarry-overofowners'equity | |||||||||||||||
| (5)Specialreserves | |||||||||||||||
| (6)Others | |||||||||||||||
| 4.Balanceat | 1,07 | 4,35 | 160, | 83,9 | 4,76 | 6,09 | 48,3 | 6,13 | |||||||
| theendofthisperiod | 3,874,227.00 | 7,948.33 | 264,035.45 | 74,716.22 | 8,787,887.16 | 1,258,814.16 | 24,320.96 | 9,583,135.12 |
AmountofLastYear
InRMB
| Item | H12024 | ||||||||||||||
| Owners'EquityAttributabletotheParentCompany | Minorshareholders'equity | Totalofowners'equity | |||||||||||||
| Sharecapital | Otherequitytools | Capitalreserves | Less:Sharesinstock | Othermiscellaneousincome | Specialreserves | Surplusreserve | Commonriskprovisions | Undistributedprofit | Others | Subtotal | |||||
| Preferredshare | Perpetualbond | Others | |||||||||||||
| 1.Balanceattheendoflastyear | 1,073,874,227.00 | 11,459,588.40 | 23,121,870.79 | 79,324,940.43 | 4,772,359,940.45 | 5,960,140,567.07 | 74,655,271.20 | 6,034,795,838.27 | |||||||
| 2.Balanceatthebeginningofcurrentyear | 1,073,874,227.00 | 11,459,588.40 | 23,121,870.79 | 79,324,940.43 | 4,772,359,940.45 | 5,960,140,567.07 | 74,655,271.20 | 6,034,795,838.27 | |||||||
| 3.Changeamountinthecurrentperiod("-"fordecrease) | -61,979.15 | 28,592,893.06 | 30,885,179.46 | 59,416,093.37 | -6,973,271.65 | 52,442,821.72 | |||||||||
| (1)Totalofmisc.incomes | 28,592,893.06 | 116,795,117.62 | 145,388,010.68 | 1,067,741.75 | 146,455,752.43 | ||||||||||
| (2)Investmentordecreasingofcapitalbyowners | |||||||||||||||
| (3)Profitallotment | -85,909,938.16 | -85,909,938.16 | -6,962,732.02 | -92,872,670.18 | |||||||||||
| 1.Provisionofsurplusreserves | |||||||||||||||
| 2.Commonriskprovision | |||||||||||||||
| 3.Distributiontoowners(orshareholders) | -85,909,938.16 | -85,909,938.16 | -6,962,732.02 | -92,872,670.18 | |||||||||||
| (4)Internalcarry-overofowners'equity | |||||||||||||
| (5)Specialreserves | |||||||||||||
| (6)Others | -61,979.15 | -61,979.15 | -1,078,281.38 | -1,140,260.53 | |||||||||
| 4.Balanceattheendofthisperiod | 1,073,874,227.00 | 11,397,609.25 | 51,714,763.85 | 79,324,940.43 | 4,803,245,119.91 | 6,019,556,660.44 | 67,681,999.55 | 6,087,238,659.99 |
8.StatementofChangeinOwners'Equity(ParentCompany)
AmountoftheCurrentTerm
InRMB
| Item | H12025 | |||||||||||
| Sharecapital | Otherequitytools | Capitalreserves | Less:Sharesinstock | Othermiscellaneousincome | Specialreserves | Surplusreserve | Undistributedprofit | Others | Totalofowners'equity | |||
| Preferredshare | Perpetualbond | Others | ||||||||||
| 1.Balanceattheendoflastyear | 1,073,874,227.00 | 360,835.52 | 39,731,740.46 | 83,974,716.22 | 1,105,291,052.65 | 2,303,232,571.85 | ||||||
| 2.Balanceatthebeginningofcurrentyear | 1,073,874,227.00 | 360,835.52 | 39,731,740.46 | 83,974,716.22 | 1,105,291,052.65 | 2,303,232,571.85 | ||||||
| 3.Changeamountinthecurrentperiod("-"fordecrease) | -30,543,064.75 | -30,543,064.75 | ||||||||||
| (1)Totalofmisc.incomes | 23,150,646.60 | 23,150,646.60 | ||||||||||
| (2)Investmentordecreasingofcapitalbyowners | ||||||||||||
| (3)Profitallotment | -53,693,711.35 | -53,693,711.35 | ||||||||||
| 1.Provisionofsurplus | ||||||||||||
| reserves | ||||||||||
| 2.Distributiontoowners(orshareholders) | -53,693,711.35 | -53,693,711.35 | ||||||||
| (4)Internalcarry-overofowners'equity | ||||||||||
| (5)Specialreserves | ||||||||||
| (6)Others | ||||||||||
| 4.Balanceattheendofthisperiod | 1,073,874,227.00 | 360,835.52 | 39,731,740.46 | 83,974,716.22 | 1,074,747,987.90 | 2,272,689,507.10 |
AmountofLastYear
InRMB
| Item | H12024 | |||||||||||
| Sharecapital | Otherequitytools | Capitalreserves | Less:Sharesinstock | Othermiscellaneousincome | Specialreserves | Surplusreserve | Undistributedprofit | Others | Totalofowners'equity | |||
| Preferredshare | Perpetualbond | Others | ||||||||||
| 1.Balanceattheendoflastyear | 1,073,874,227.00 | 360,835.52 | -10,082,945.37 | 79,324,940.43 | 1,159,988,498.20 | 2,303,465,555.78 | ||||||
| 2.Balanceatthebeginningofcurrentyear | 1,073,874,227.00 | 360,835.52 | -10,082,945.37 | 79,324,940.43 | 1,159,988,498.20 | 2,303,465,555.78 | ||||||
| 3.Changeamountinthecurrentperiod("-"fordecrease) | 28,392,754.08 | -30,828,180.24 | -2,435,426.16 | |||||||||
| (1)Totalofmisc.incomes | 28,392,754.08 | 55,081,757.92 | 83,474,512.00 | |||||||||
| (2)Investmentordecreasingofcapitalbyowners | ||||||||||||
| (3)Profitallotment | -85,909,938.16 | -85,909,938.16 | ||||||||||
| 1.Provisionofsurplusreserves | ||||||||||||
| 2.Distributiontoowners(orshareholders) | -85,909,938.16 | -85,909,938.16 | ||||||||
| (4)Internalcarry-overofowners'equity | ||||||||||
| (5)Specialreserves | ||||||||||
| (6)Others | ||||||||||
| 4.Balanceattheendofthisperiod | 1,073,874,227.00 | 360,835.52 | 18,309,808.71 | 79,324,940.43 | 1,129,160,317.96 | 2,301,030,129.62 |
III.GeneralInformation
ChinaFangdaGroupCo.,Ltd.(the"Company"orthe"Group")isajointstockcompanyregisteredinShenzhen,GuangdongandwasapprovedbytheGovernmentofShenzhenwithDocument深府办函(1995)194号,andwasfounded,onthebasisofShenzhenFangdaConstructionMaterialCo.,Ltd.,bywayofshareissuinginOctober1995.Theunifiedsocialcreditcodeis:91440300192448589C;registeredaddress:FangdaTechnologyBuilding,KejiSouth12thRoad,SouthDistrict,High-techIndustrialPark,NanshanDistrict,Shenzhen.Mr.XiongJianmingisthelegalrepresentative.TheCompanyissuedforeigncurrencyshares(Bshares)andlocalcurrencyshares(Ashares)andlistedinNovember1995andApril1996respectivelyinShenzhenStockExchange.TheCompanyreceivedtheReplytotheNon-publicShareIssuanceofFangdaChinaGroupCo.,Ltd.(CSRCLicense[2016]No.825)toallowtheCompanytoconductnon-publicissuanceof32,184,931A-sharesinJune2016.Accordingtotheprofitdistributionplanfor2016approvedbythe2016generalshareholders'meeting,theCompanyissuedfivesharesforeverytensharestoallshareholdersthroughsurpluscapitalizationbasedonthetotal789,094,836sharesonDecember31,2016.Theregisteredcapitalattheendof2017wasRMB1,183,642,254.00.TheCompanyrepurchasedandcancelled28,160,568.00BsharesinAugust2018,32,097,497.00BsharesinJanuary2019,35,105,238.00BsharesinMay2020,14404724.00BsharesinApril2021andcancelledinApril2021.TheexistingregisteredcapitalisRMB1,073,874,227.00yuan.
TheCompanyhasestablishedthecorporategovernancestructureoftheGeneralMeetingofShareholdersandtheBoardofDirectors.Atpresent,ithassetupthePresident'sOffice,theAdministrationDepartment,theHumanResourcesDepartment,theEnterpriseManagementDepartment,theFinanceDepartment,theAuditandSupervisionDepartment,theSecuritiesDepartment,theLegalDepartment,theInformationManagementDepartment,theTechnologyInnovationDepartment,theDevelopmentPlanningDepartmentandotherdepartments,andhasShenzhenFangdaConstructionTechnologyGroupCo.,Ltd.(hereinafter
referredtoasFangdaConstructionTechnologyCo.,Ltd.)FangdaZhiyuanTechnologyCo.,Ltd.(hereinafterreferredtoasFangdaZhiyuanTechnologyCo.,Ltd.),FangdaJiangxiNewMaterialsCo.,Ltd.,FangdaRealEstateCo.,Ltd.,FangdaNewEnergyCo.,Ltd.andothersubsidiaries.ThebusinessnatureandmainbusinessactivitiesoftheCompanyanditssubsidiariesinclude:(1)curtainwalldivision,productionandsalesofcurtainwallmaterials,design,productionandinstallationofbuildingcurtainwalls,andcurtainwalltestingandmaintenanceservices;(2)Railtransitbranch,assemblyandprocessingofsubwayscreendoors,screendoordetectionandmaintenanceservices;(3)Therealestatedivisionisengagedinrealestatedevelopment,operationandpropertymanagementonthelandthathaslegallyobtainedtherighttouse;(4)Newenergydivision,photovoltaicpowergenerationandsales;R&D,installationandsalesofphotovoltaicequipment,designandinstallationofphotovoltaicpowerstationproject.Dateoffinancialstatementapproval:ThisfinancialstatementisapprovedbytheBoardofDirectorsoftheCompanyonAugust21,2025.IV.Basisforthepreparationoffinancialstatements
1.PreparationbasisTheCompanypreparesthefinancialstatementsbasedoncontinuousoperationandaccordingtoactualtransactionsandevents,withfiguresconfirmedandmeasuredincompliancewiththeAccountingStandardsforBusinessEnterprisesandotherspecificaccountstandards,applicationguideandinterpretations.TheCompanyhasalsodisclosedrelatedfinancialinformationaccordingtotherequirementoftheRegulationsofInformationDisclosureNo.15–GeneralProvisionsforFinancialStatements(Revisedin2023)issuedbytheCSRC.
2.ContinuousoperationTheCompanyassessedthecontinuingoperationscapabilityoftheCompanyforthe12monthsfromtheendofthereportingperiod.NomatterswerefoundthatwouldaffecttheCompany'sabilitytocontinueasagoingconcern.ItisreasonablefortheCompanytopreparefinancialstatementsbasedoncontinuingoperations.V.SignificantAccountPoliciesandEstimatesThefollowingmajoraccountingpoliciesandaccountingestimatesshallbeformulatedinaccordancewiththeaccountingstandardsoftheenterprise.Unmentionedoperationsarecarriedoutinaccordancewiththerelevantaccountingpoliciesintheenterpriseaccountingstandards.
1.StatementofcompliancetotheEnterpriseAccountingStandard
ThesefinancialstatementsmeettherequirementsoftheAccountingStandardsforBusinessEnterprisesandtrulyandfullyreflecttheCompany'sfinancialstatus,performanceresult,changesinshareholders'equityandcashflows.
2.FiscalPeriod
TheCompanyThefiscalperiodrangesbetweenJanuary1andDecember31oftheGregoriancalendar.
3.Operationperiod
Ournormalbusinesscycleisoneyear
4.Bookkeepingstandardmoney
TheCompany'sbookkeepingstandardcurrencyisRenminbi,andoverseassubsidiariesarebasedonthecurrencyofthemaineconomicenvironmentinwhichtheyoperate.
5.Methodfordeterminingimportancecriteriaandselectioncriteria
?Applicable□Inapplicable
| Item | Importancecriteria |
| Amountofbaddebtreservesrecoveredorreversedforimportantaccountsreceivableinthecurrentperiod;importantaccountsreceivablewriteoff | Amountgreaterthan5%ofthetotalconsolidatedprofitandgreaterthanRMB5million |
| Importantongoingprojects | Amountgreaterthan1%oftotalconsolidatednetassets |
| Importantpayableswithanagingofover1year | Asingleprojectisgreaterthan0.1%ofthecombinedtotalassets |
| Majornonwholly-ownedsubsidiaries | Individualnetassetsgreaterthan1%ofthetotalconsolidatednetassets |
| Importantjointoperations | IndividualTotalProfitExceeding5%ofConsolidatedTotalProfitandGreaterthanRMB5,000,000 |
| Importantjointventuresandassociates | Theinvestmentreturnisgreaterthan5%ofthetotalconsolidatedprofitandisgreaterthanRMB5million |
6.Accountingtreatmentoftheentitiesundercommonanddifferentcontrol
(1)Consolidationofentitiesundercommoncontrol
TheassetsandliabilitiesacquiredbytheCompanyinabusinesscombinationaremeasuredatthebookvalueofthecombinedpartyintheconsolidatedfinancialstatementsoftheultimatecontrollingpartyonthedateofcombination.ForentitieswithdifferentaccountingpoliciesandperiodsfromtheCompanypriortothebusinesscombination,accountingpoliciesareunifiedbasedontheprincipleofmateriality.Thismeansadjustingthebookvalueoftheassetsandliabilitiesofthecombined
entityinaccordancewiththeCompany'saccountingpoliciesandperiods.IfthereisadifferencebetweenthebookvalueofthenetassetsacquiredbytheCompanyinthebusinesscombinationandthebookvalueoftheconsiderationpaid,firstadjustthebalanceofthecapitalreserve(capitalpremiumorequitypremium),thebalanceofthecapitalreserve(capitalpremiumorequitypremium)Ifitisinsufficienttooffset,thesurplusreserveandundistributedprofitswillbeoffsetinsequence.
Fortheaccountingtreatmentmethodofbusinesscombinationnotunderthesamecontrolthroughstep-by-steptransactions,seeV.importantaccountingpoliciesandaccountingestimates7.(6).
(2)Consolidationofentitiesunderdifferentcontrol
AllidentifiableassetsandliabilitiesacquiredbytheCompanyduringthemergershallbemeasuredatitsfairvalueonthedateofpurchase.ForentitieswithdifferentaccountingpoliciesandperiodsfromtheCompanypriortothebusinesscombination,accountingpoliciesareunifiedbasedontheprincipleofmateriality.ThismeansadjustingthebookvalueoftheassetsandliabilitiesoftheacquiredentityinaccordancewiththeCompany'saccountingpoliciesandperiods.ThemergercostoftheCompanyonthedateofpurchaseisgreaterthanthefairvalueoftheassetsandliabilitiesrecognizedbythepurchaserinthemerger,andisrecognizedasgoodwill.Ifthemergercostislessthanthedifferencebetweentheidentifiableassetsandthefairvalueoftheliabilitiesobtainedbythepurchaserintheenterprisemerger,themergercostandthefairvalueoftheidentifiableassetsandtheliabilitiesobtainedbythepurchaserintheenterprisemergerarereviewed,andthemergercostisstilllessthanthefairvalueoftheidentifiableassetsandliabilitiesobtainedbythepurchaserafterthereview,thedifferenceisconsideredastheprofitandlossofthecurrentperiodofthemerger.
Fortheaccountingtreatmentmethodofbusinesscombinationsnotundercommoncontrolachievedthroughstep-by-steptransactions,seeV,ImportantAccountingPoliciesandEstimates,7,(6).
(3)Treatmentofrelatedtransactionfeeinenterprisemerger
Agencyexpensesandotheradministrativeexpensessuchasauditing,legalconsulting,orappraisalservicesoccurredrelatingtothemergerofentitiesareaccountedintocurrentincomeaccountwhenoccurred.Thetransactionfeesofequitycertificatesorliabilitycertificatesissuedbythepurchaserforpaymentfortheacquisitionareaccountedattheinitialamountofthecertificates.
7.Judgmentcriteriaforcontrolandpreparationmethodsforconsolidatedfinancialstatements
(1)Determinationofcontrolcriteriaandconsolidationscope
ControlmeansthepowerpossessedbytheCompanyoninvestedentitiestosharevariablereturnsbyparticipatinginrelatedactivitiesoftheinvestedentitiesandtoimpacttheamountofthereturnsbyusingthepower.Thedefinitionofcontrolincludesthreebasicelements:first,theinvestorhasthepowerovertheinvestee;second,enjoysvariablereturnsduetoparticipationintheinvestee'srelatedactivities;andthird,hastheabilitytousethepowerovertheinvesteetoinfluenceitsreturnamount.WhentheCompany'sinvestmentintheinvestedpartymeetstheabovethreeelements,itindicatesthattheCompanycancontroltheinvestedparty.Theconsolidatedscopeoftheconsolidatedfinancialstatementsisdeterminedonacontrolbasisandincludesnotonlysubsidiariesdeterminedonthebasisofvotingrights(orsimilarvotingrights)themselvesorinconjunctionwithotherarrangements,butalsostructuredsubjectsdeterminedonthebasisofoneormorecontractualarrangements.ThesubsidiarycompanyisthesubjectcontrolledbytheCompany(includingtheenterprise,thedivisiblepartoftheinvestedunitandthestructuredsubjectcontrolledbytheenterprise,etc.).Thestructuredsubjectisthesubjectwhichisnotdesignedtodeterminethecontrollingpartybytakingthevotingrightorsimilarrightasthedecisivefactor.
(2)Specialprovisionsregardingtheparentcompanybeinganinvestmententity
Iftheparentcompanyisaninvestmententity,onlythosesubsidiarycompaniesthatprovideservicesrelatedtoinvestmentactivitiesoftheinvestmententityshallbeincludedintheconsolidationscope.Othersubsidiarycompaniesshallnotbeconsolidatedandtheirequityinvestmentsshallberecognizedasfinancialassetsmeasuredatfairvaluewithchangesinfairvaluerecognizedinprofitorloss.
Theparentcompanyqualifiesasaninvestmententitywhenitsimultaneouslymeetsthefollowingconditions:
①Thecompanyobtainsfundsfromoneormoreinvestorswiththepurposeofprovidinginvestmentmanagementservicestotheinvestors.
②Thesolepurposeofthecompany'soperationsistogeneratereturnsfortheinvestorsthroughcapitalappreciation,investmentincome,orboth.
③Thecompanyevaluatesandassessestheperformanceofalmostallofitsinvestmentsbasedonfairvalue.
Whentheparentcompanychangesfromanon-investmententitytoaninvestmententity,itshallonlyincludethosesubsidiarycompaniesthatproviderelevantservicesforitsinvestmentactivitiesinthepreparationofconsolidatedfinancialstatements.Othersubsidiarycompaniesshallnolongerbeconsolidated,andtheprincipleofrecognizingpartiallydisposedsubsidiarycompanies'equitywhileretainingcontrolshallbeapplied.
Whentheparentcompanychangesfromaninvestmententitytoanon-investmententity,thesubsidiarycompaniesthatwerepreviouslynotincludedintheconsolidationfinancialstatementsshallbeincludedasofthedateofthechange.Thefairvalueofthesesubsidiarycompaniesonthedateofthechangeshallberegardedasthetransactionpriceoftheacquisitionandaccountedforusingtheaccountingtreatmentforbusinesscombinationsundercommoncontrol.
(3)PreparationofConsolidatedFinancialStatements
TheCompanypreparesconsolidatedfinancialstatementsbasedonthefinancialstatementsofitselfanditssubsidiariesandbasedonotherrelevantinformation.
TheCompanycompilesconsolidatedfinancialstatements,regardsthewholeenterprisegroupasanaccountingentity,reflectstheoverallfinancialstatus,operatingresultsandcashflowoftheenterprisegroupaccordingtotheconfirmation,measurementandpresentationrequirementsoftherelevantenterpriseaccountingstandards,andtheunifiedaccountingpolicyandaccountingperiod.
①Mergetheassets,liabilities,owner'srightsandinterests,income,expensesandcashflowofparentcompanyandsubsidiarycompany.
②Offsetthelong-termequityinvestmentoftheparentcompanytothesubsidiarycompanyandtheshareoftheparentcompanyintheownershiprightsofthesubsidiarycompany.
③Offsettheinfluenceofinternaltransactionbetweenparentcompany,subsidiarycompanyandsubsidiarycompany.Ifaninternaltransactionindicatesthattherelevantassethassufferedanimpairmentloss,thepartofthelossshallbeconfirmedinfull.
④adjustthespecialtransactionfromtheangleofenterprisegroup.
(4)Processingofsubsidiariesduringthereportingperiod
①Increaseofsubsidiariesorbusiness
A.Subsidiaryorbusinessincreasedbybusinesscombinationunderthesamecontrol
(A)Whenpreparingtheconsolidatedbalancesheet,adjusttheopeningnumberoftheconsolidatedbalancesheetandadjusttherelateditemsofthecomparativestatement.Thesamereportentityastheconsolidatedbalancesheetwillexistfromthetimeofthefinalcontrolparty.
(B)Whenpreparingtheconsolidatedcashflowstatement,thecashflowsofthesubsidiaryandthebusinesscombinationfromthebeginningofthecurrentperiodtotheendofthereportingperiodareincludedintheconsolidatedcashflowstatement,
andtherelateditemsofthecomparativestatementareadjusted,whichisregardedasthecombinedreportbodysincethefinalThecontrollerhasbeentheresincethebeginningofcontrol.(C)Whenpreparingtheconsolidatedcashflowstatement,thecashflowsofthesubsidiaryandthebusinesscombinationfromthebeginningofthecurrentperiodtotheendofthereportingperiodareincludedintheconsolidatedcashflowstatement,andtherelateditemsofthecomparativestatementareadjusted,whichisregardedasthecombinedreportbodysincethefinalThecontrollerhasbeentheresincethebeginningofcontrol.B.Subsidiaryorbusinessincreasedbybusinesscombinationunderthesamecontrol(A)Whenpreparingtheconsolidatedbalancesheet,theopeningnumberoftheconsolidatedbalancesheetisnotadjusted.(B)Whenpreparingtheconsolidatedprofitstatement,theincome,expenseandprofitofthesubsidiarycompanyandthebusinessPurchasedateandClosingbalanceshallbeincludedintheconsolidatedprofitstatement.(C)Whentheconsolidatedcashflowstatementisprepared,thecashflowfromthepurchasedateofthesubsidiarytotheendofthereportingperiodisincludedintheconsolidatedcashflowstatement.
②DisposalofsubsidiariesorbusinessA.Whenpreparingtheconsolidatedbalancesheet,theopeningnumberoftheconsolidatedbalancesheetisnotadjusted.B.Whenpreparingtheconsolidatedprofitstatement,theincome,expenseandprofitofthesubsidiarycompanyandthebusinessopeninganddisposaldateshallbeincludedintheconsolidatedprofitstatement.
C.Whentheconsolidatedcashflowstatementisprepared,thecashflowfromtheBeginningoftheperiodofthesubsidiarytotheendofthereportingperiodisincludedintheconsolidatedcashflowstatement.
(5)Specialconsiderationsinconsolidationoffsets
①Thelong-termequityinvestmentheldbyasubsidiarycompanyshallberegardedastheinventorysharesoftheCompanyasasubtractionoftheowner'srightsandinterests,whichshallbelistedundertheitemof"subtraction:Stockshares"undertheitemofowner'srightsandinterestsintheconsolidatedbalancesheet.
Thelong-termequityinvestmentsheldbythesubsidiariesareoffsetbythesharesoftheshareholdersofthesubsidiaries.
②The"specialreserve"and"generalriskpreparation"projects,becausetheyareneitherrealcapital(orsharecapital)norcapitalreserve,butalsodifferentfromtheretainedincomeandundistributedprofits,arerestoredaccordingtotheownershipoftheparentcompanyafterthelong-termequityinvestmentisoffsetbytheownershiprightsandinterestsofthesubsidiarycompany.
③Ifthereisatemporarydifferencebetweenthebookvalueofassetsandliabilitiesintheconsolidatedbalancesheetandthetaxablebasisofthetaxpayerduetotheoffsetoftheunrealizedinternalsalesgainorloss,thedeferredincometaxassetorthedeferredincometaxliabilityisconfirmedintheconsolidatedbalancesheet,andtheincometaxexpenseintheconsolidatedprofitstatementisadjusted,withtheexceptionofthedeferredincometaxrelatedtothetransactionoreventdirectlyincludedintheowner'sequityandthemergeroftheenterprise.
④TheunrealizedinternaltransactiongainsandlossesincurredbytheCompanyfromsellingassetstosubsidiariesshallbefullyoffsetagainstthe"netprofitattributabletotheownersoftheparentcompany".TheunrealizedinternaltransactiongainsandlossesarisingfromthesaleofassetsbythesubsidiarytotheCompanyshallbeoffsetbetweenthe"netprofitattributabletotheownersoftheparentcompany"andthe"minorityshareholdergainsandlosses"inaccordancewiththeCompany'sdistributionratiotothesubsidiary.Theunrealizedinternaltransactiongainsandlossesarisingfromthesaleofassetsbetweensubsidiariesshallbeoffsetbetweenthe"netprofitattributabletotheownersoftheparentcompany"andthe"minorityshareholders'gainsandlosses"inaccordancewiththeCompany'sdistributionratiototheseller'ssubsidiary.
⑤Ifthecurrentlosssharedbytheminorityshareholdersofthesubsidiaryexceedstheshareoftheminorityshareholdersintheowner'sequityofthesubsidiaryatthebeginningoftheperiod,thebalanceshouldstillbeoffsetagainsttheminorityshareholders'equity.
(6)Accountingtreatmentofspecialtransactions
①Purchaseminorityshareholders'equity
TheCompanypurchasesthesharesofthesubsidiariesownedbytheminorityshareholdersofthesubsidiaries.Intheindividualfinancialstatements,theinvestmentcostsofthenewlyacquiredlong-terminvestmentsoftheminoritysharesshallbemeasuredatthefairvalueofthepricepaid.Intheconsolidatedfinancialstatements,thedifferencebetweenthenewlyacquiredlong-termequityinvestmentduetothepurchaseofminorityequityandtheshareofnetassetsthatshouldbecontinuouslycalculatedbythesubsidiarysincethepurchasedateorthemergerdateshouldbeadjustedaccordingtothenewshareholdingratio.Theproduct(capitalpremiumorequitypremium),ifthecapitalreserveisinsufficienttooffset,thesurplusreserveandundistributedprofitsareoffsetinturn.
②Step-by-stepacquisitionofcontrolofthesubsidiarythroughmultipletransactions
A.Enterprisemergerundercommoncontrolthroughmultipletransactions
Onthedateofthemerger,theCompanydeterminestheinitialinvestmentcostofthelong-termequityinvestmentintheindividualfinancialstatementsbasedontheshareofthesubsidiary'snetassetsthatshouldbeenjoyedafterthemergerinthefinal
controller'sconsolidatedfinancialstatements;theinitialinvestmentcostandthedifferencebetweenthebookvalueofthelong-termequityinvestmentbeforethemergerplusthebookvalueoftheconsiderationpaidfornewsharesacquiredonthemergerdate,thecapitalreserve(capitalpremiumorequitypremium)isadjusted,andthecapitalreserve(capitalpremiumorequitypremium)isinsufficienttooffsetReduced,inturnoffsetthesurplusreserveandundistributedprofits.Inconsolidatedfinancialstatements,assetsandliabilitiesobtainedbythemergingpartyfromthemergedpartyshouldbemeasuredatthebookvalueinthefinalcontrollingparty'sconsolidatedfinancialstatementsotherthantheadjustmentmadeduetodifferencesinaccountingpolicies;adjustthecapitalsurplus(sharepremium)accordingtothedifferencebetweentheinitialinvestmentcostandthebookvalueoftheheldinvestmentbeforemergerplusthebookvalueoftheconsiderationpaidonthemergerdate.Wherethecapitalsurplusfallsshort,theretainedincomeshouldbeadjusted.
Beforetheacquirerobtainscontroloftheacquiree,anyrecognizedgainsandlosses,othercomprehensiveincome,andchangesinotherowners'equityrelatedtotheequityinvestmentheldbytheacquirerfromthelaterofthedatewhentheoriginalequitywasobtainedorthedatewhenboththeacquirerandtheacquireewereunderthecontrolofthesamepartyuntiltheacquisitiondateshouldbeadjustedagainstthebeginningretainedearningsorthecurrentprofitsandlossesofthecomparativestatementsseparately.
A.Enterprisemergerundercommoncontrolthroughmultipletransactions
Onthemergerday,inindividualfinancialstatements,theinitialinvestmentcostofthelong-termequityinvestmentonthemergerdayisbasedonthebookvalueofthelong-termequityinvestmentpreviouslyheldplusthesumoftheadditionalinvestmentcostsonthemergerday.
Intheconsolidatedfinancialstatements,theequityheldintheacquireebeforetheacquisitiondateisremeasuredatitsfairvalueontheacquisitiondate.Iftheequityheldbeforetheacquisitiondateisdesignatedasafinancialassetmeasuredatfairvaluethroughothercomprehensiveincome,thedifferencebetweenthefairvalueanditsbookvalueisincludedinretainedearnings,andthecumulativefairvaluechangespreviouslyincludedinothercomprehensiveincomearetransferredtoretainedearnings.Iftheequityheldbeforetheacquisitiondateisdesignatedasafinancialassetmeasuredatfairvaluethroughprofitorlossorasalong-termequityinvestmentaccountedforbytheequitymethod,thedifferencebetweenthefairvalueanditsbookvalueisincludedinthecurrentperiod'sinvestmentincome.Forothercomprehensiveincomeandotherchangesinowners'equityundertheequitymethodrelatedtotheequityheldbeforetheacquisitiondate,therelatedothercomprehensiveincomeisaccountedforonthesamebasisasiftheinvesteehaddirectlydisposedoftherelatedassetsorliabilitiesontheacquisitiondate,andtherelatedotherchangesinowners'equityaretransferredtothecurrentperiod'sinvestmentincomeontheacquisitiondate.
(3)TheCompanydisposesoflong-termequityinvestmentinsubsidiarieswithoutlosingcontrolTheparentcompanypartiallydisposesofthelong-termequityinvestmentinthesubsidiarycompanywithoutlosingcontrol.Intheconsolidatedfinancialstatements,thedisposalpricecorrespondstothedisposalofthelong-termequityinvestment.Thedifferencebetweenthesharesisadjustedforthecapitalreserve(capitalpremiumorequitypremium).Ifthecapitalreserveisinsufficienttooffset,theretainedearningsareadjusted.
④TheCompanydisposesoflong-termequityinvestmentinsubsidiariesandlosescontrolA.OnetransactiondispositionIftheCompanylosescontrolovertheInvestedPartyduetothedisposalofpartoftheequityinvestment,itshallremeasuretheremainingequityaccordingtoitsfairvalueatthedateoflossofcontrolwhencompilingtheconsolidatedfinancialstatement.Theconsiderationreceivedfromthedisposalofequityplusthefairvalueoftheremainingequity,minustheshareofnetassetsandgoodwillcalculatedbasedontheoriginalshareholdingratiofromtheacquisitiondateorcombinationdatetothedisposaldate,isincludedintheinvestmentincomefortheperiodinwhichcontrolislost.Othercomprehensiveincomeandotherchangesinowners'equityrelatedtotheequityinvestmentintheoriginalsubsidiaryareaccountedforonthesamebasisasifthesubsidiaryhaddirectlydisposedoftherelatedassetsorliabilitieswhencontrolislost,andotherchangesinowners'equityundertheequitymethodrelatedtotheoriginalsubsidiaryaretransferredtothecurrentperiod'sprofitorlosswhencontrolislost.B.Multi-transactionstep-by-stepdispositionInconsolidatedfinancialstatements,youshouldfirstdeterminewhetherastep-by-steptransactionisa"blankettransaction".Ifthestep-by-steptransactiondoesnotbelongtoa"packagedeal",intheindividualfinancialstatements,foreachtransactionbeforethelossofcontrolofthesubsidiary,thebookvalueofthelong-termequityinvestmentcorrespondingtoeachdisposalofequityiscarriedforward,thepricereceivedandthedisposalThedifferencebetweenthebookvalueofthelong-termequityinvestmentisincludedinthecurrentinvestmentincome;intheconsolidatedfinancialstatements,itshouldbehandledinaccordancewiththerelevantprovisionsof"theparentcompanydisposesofthelong-termequityinvestmentinthesubsidiarywithoutlosingcontrol."
Ifastep-by-steptransactionbelongstoa"blankettransaction",thetransactionshallbetreatedasatransactionthatdisposesofthesubsidiaryandlosescontrol;Inindividualfinancialstatements,thedifferencebetweeneachdisposalpricebeforethelossofcontrolandthebookvalueofthelong-termequityinvestmentcorrespondingtotheequitybeingdisposedofisfirstrecognizedas
otherconsolidatedgainsandthenconvertedtothecurrentlossofcontrolatthetimeofthelossofcontrol;Intheconsolidatedfinancialstatements,foreachtransactionpriortothelossofcontrol,thedifferencebetweenthedispositionofthepriceandthedispositionoftheinvestmentcorrespondingtotheshareinthenetassetsofthesubsidiaryshallberecognizedasotherconsolidatedgainsandshall,atthetimeofthelossofcontrol,betransferredtothelossofcontrolforthecurrentperiod.
Wheretheterms,conditions,andeconomicimpactofeachtransactionmeetoneormoreofthefollowingconditions,usuallymultipletransactionsaretreatedasa"packagedeal":
(a)Thesetransactionswereconcludedatthesametimeorinconsiderationofmutualinfluence.
(b)Thesetransactionscanonlyachievethebusinessresultasawhole;
(c)Theeffectivenessofonetransactiondependstheoccuranceofatleastanothertransaction;
(d)Asingletransactionisnoteconomicandiseconomicwhenconsideredtogetherwithothertransactions.
(5)Proportionofminorityshareholdersinfactorcompanieswhoincreasecapitalanddiluteownershipofparentcompanies
Whenothershareholders(minorityshareholders)ofasubsidiaryincreasetheirinvestmentinthesubsidiary,therebydilutingtheparentcompany'sequityproportioninthesubsidiary.Intheconsolidatedfinancialstatements,theshareoftheparentcompanyinthenetbookassetsoftheformersubsidiaryofthecapitalincreaseiscalculatedaccordingtotheshareratiooftheparentcompanybeforethecapitalincrease,thedifferencebetweentheshareandthenetbookassetsofthelattersubsidiaryafterthecapitalincreaseiscalculatedaccordingtotheshareratiooftheparentcompany,thecapitalreserve(capitalpremiumorcapitalpremium),thecapitalreserve(capitalpremiumorcapitalpremium)isnotoffset,andtheretainedincomeisadjusted.
8.Recognitionofcashandcashequivalents
Cashreferstocashinstockanddepositsthatcanbeusedforpaymentatanytime.Cashequivalentsrefertoinvestmentswithashortholdingperiod(generallyreferringtoexpirywithinthreemonthsfromthedateofpurchase),strongliquidity,easytoconverttoaknownamountofcash,andlittleriskofvaluechange.
9.Foreignexchangebusinessandforeignexchangestatementtranslation
(1)Methodsfordeterminingconversionratesinforeigncurrencytransactions
TheCompanytranslatesforeigncurrencytransactionsintothefunctionalcurrencyattheinitialrecognitionusingthespotexchangerateonthetransactiondateoranapproximateexchangeratethatisdeterminedaccordingtoareasonablemethodandisclosetothespotexchangerateonthetransactiondate.Theresultingamountisrecordedintheaccountingcurrency.
(2)MethodsofconversionofforeigncurrencycurrencycurrencyitemsonbalancesheetdaysAtthebalancesheetdate,foreigncurrencyitemsaretranslatedonthespotexchangerateofthebalancesheetdate.Theexchangedifferencescausedbythedifferenceinexchangeratesonthebalancesheetdateandinitialrecognizingdateorpreviousbalancesheetdateareincludedinthecurrentprofitsandlosses.Fornon-monetaryitemsmeasuredathistoricalcostinforeigncurrencies,theyaretranslatedusingthespotexchangerateonthetransactiondate.Forinventoriesmeasuredatthelowerofcostandnetrealizablevalue,iftheinventorieswerepurchasedinforeigncurrenciesandtheirnetrealizablevalueisreflectedinforeigncurrenciesasofthebalancesheetdate,thenetrealizablevalueisfirsttranslatedintothefunctionalcurrencyatthespotexchangerateonthebalancesheetdate,andthencomparedwiththeinventorycostreflectedinthefunctionalcurrencytodeterminetheendingvalueoftheinventories.Non-monetaryitemsmeasuredatfairvalueinforeigncurrenciesaretranslatedusingthespotexchangerateonthedatethefairvalueisdetermined.Forfinancialassetsmeasuredatfairvaluewithchangesrecognizedinthecurrentperiod'sprofitorloss,thedifferencebetweenthetranslatedamountinthefunctionalcurrencyandtheoriginalamountinthefunctionalcurrencyisrecognizedinthecurrentperiod'sprofitorloss.Fornon-tradingequityinvestmentsdesignatedtobemeasuredatfairvaluewithchangesrecognizedinothercomprehensiveincome,thedifferencebetweenthetranslatedamountinthefunctionalcurrencyandtheoriginalamountinthefunctionalcurrencyisrecognizedinothercomprehensiveincome.
(3)TranslationofforeignexchangestatementsPriortotheconversionofthefinancialstatementsofanenterprise'soverseasoperations,theaccountingperiodandpolicyoftheoverseasoperationsshouldbeadjustedtoconformtotheaccountingperiodandpolicyoftheenterprise.Thefinancialstatementsofthecorrespondingcurrency(otherthanthefunctionalcurrency)shouldbepreparedaccordingtotheadjustedaccountingpolicyandtheaccountingperiod.Thefinancialstatementsoftheoverseasoperationsshouldbeconvertedaccordingtothefollowingmethods:
①Theassetsandliabilitiesitemsinthebalancesheetaretranslatedatthespotexchangerateonthebalancesheetdate.Exceptforthe"undistributedprofits"items,theowner'sequityitemsaretranslatedatthespotexchangeratewhentheyoccur.
②Theincomeandexpenseitemsintheprofitstatementareconvertedatthespotexchangerateonthetransactiondateortheapproximateexchangerateofthespotexchangerate.
③Theforeigncurrencycashflowandtheforeignsubsidiary'scashflowareconvertedusingtheimmediateexchangerateortheapproximateexchangerateatthedateofthecashflow.Theimpactofexchangeratechangesoncashshouldbeusedasanadjustmentitemandpresentedseparatelyinthecashflowstatement.
④Theforeigncurrencytranslationdifferencesarisingarepresentedunderthe"OtherComprehensiveIncome"itemintheshareholders'equitysectionoftheconsolidatedbalancesheetwhenpreparingtheconsolidatedfinancialstatements.Whenforeignoperationsaredisposedofandthecontrolrightsarelost,thedifferenceinforeigncurrencystatementsrelatedtotheoverseasoperationsthatarelistedintheshareholders'equityitemsinthebalancesheetistransferredtotheprofitorlossforthecurrentperiod,eitherinwholeorinproportiontothedisposaloftheforeignoperations.
10.Financialinstrument
Financialinstrumentreferstoacompany'sfinancialassetsandcontractsthatformotherunitsoffinancialliabilitiesorequityinstruments.
(1)Recognitionandde-recognitionoffinancialinstrument
TheCompanyrecognizesafinancialassetorliabilitywhenitbecomesonepartyinthefinancialinstrumentcontract.
Financialassetisderecognizedwhen:
①Thecontractualrighttoreceivethecashflowsofthefinancialassetsisterminated;
②Thefinancialassetistransferredandmeetsthefollowingderecognizationcondition.
Ifthecurrentobligationofafinancialliability(orpartofit)hasbeendischarged,theCompanyderecognisesthefinancialliability(orpartofthefinancialliability).WhentheCompany(borrower)andlenderenterintoanagreementtoreplacetheoriginalfinancialliabilitiesbyundertakingnewfinancialliabilitiesandthecontracttermsforthenewfinancialliabilitiesareessentiallydifferentfromthosefortheoriginalone,theoriginalfinancialliabilitieswillbederecognizedandnewfinancialliabilitieswillberecognized.WheretheCompanymakessubstantialamendmentstothecontracttermsoftheoriginalfinancialliability(orpartthereof),itshallterminatetheoriginalfinancialliabilityandconfirmanewfinancialliabilityinaccordancewiththeamendedterms.
Financialassettransactionsinregularwaysarerecognizedandde-recognizedonthetransactiondate.Theconventionalsaleoffinancialassetsmeansthedeliveryoffinancialassetsinaccordancewiththecontractualtermsandconditions,atthetimesetoutintheregulationsormarketpractices.TransactiondatereferstothedatewhentheCompanypromisestobuyorsellfinancialassets.
(2)Classificationandsubsequentmeasurementoffinancialassets
Atinitialrecognition,theCompanyclassifiesfinancialassetsintothefollowingthreecategoriesbasedonthebusinessmodelofmanagingfinancialassetsandthecontractualcashflowcharacteristicsoffinancialassets:financialassetsmeasuredatamortizedcostaremeasuredatfairvalueandtheirchangesareincludedinotherfinancialassetswithcurrentprofitandlossandfinancialassetsmeasuredatfairvaluethroughprofitorloss.UnlesstheCompanychangesthebusinessmodelformanagingfinancialassets,inthiscase,allaffectedfinancialassetsarereclassifiedonthefirstdayofthefirstreportingperiodafterthebusinessmodelchanges,otherwisethefinancialassetsmaynotbeinitiallyconfirmed.
Financialassetsaremeasuredatthefairvalueattheinitialrecognition.Forfinancialassetsmeasuredatfairvaluewithvariationsaccountedintocurrentincomeaccount,relatedtransactionexpensesareaccountedintothecurrentincome.Forotherfinancialassets,therelatedtransactionexpensesareaccountedintotheinitialrecognizedamounts.Billsreceivableandaccountsreceivablearisingfromthesaleofcommoditiesortheprovisionoflaborservicesthatdonotcontainordonotconsidersignificantfinancingcomponents,theCompanyperformsinitialmeasurementaccordingtothetransactionpricedefinedbytheincomestandard.
Thesubsequentmeasurementoffinancialassetsdependsontheirclassification:
①Financialassetsmeasuredatamortizedcost
Financialassetsthatmeetthefollowingconditionsatthesametimeareclassifiedasfinancialassetsmeasuredatamortizedcost:TheCompany'sbusinessmodelformanagingthisfinancialassetistocollectcontractualcashflowsasitsgoal;thecontracttermsofthefinancialassetstipulatethatCashflowisonlythepaymentofprincipalandinterestbasedontheoutstandingprincipalamount.Forsuchfinancialassets,theactualinterestratemethodisusedforsubsequentmeasurementaccordingtotheamortizedcost.Thegainsorlossesarisingfromtheterminationofrecognition,amortizationorimpairmentbasedontheactualinterestratemethodareincludedinthecurrentprofitandloss.
②Financialassetsmeasuredatfairvalueandwhosechangesareincludedinothercomprehensiveincome
Financialassetsthatmeetthefollowingconditionsatthesametimeareclassifiedasfinancialassetsmeasuredatfairvalueandtheirchangesareincludedinothercomprehensiveincome:TheCompany'sbusinessmodelformanagingthisfinancialassetistobothtargetthecollectionofcontractualcashflowsandthesaleoffinancialassets.Objective;Thecontractualtermsofthefinancialassetstipulatethatthecashflowgeneratedonaspecificdateisonlyforthepaymentofprincipalandinterestbasedontheoutstandingprincipalamount.Forsuchfinancialassets,fairvalueisusedforsubsequentmeasurement.Exceptforimpairmentlossesorgainsandexchangegainsandlossesrecognizedascurrentgainsandlosses,changesinthefairvalueofsuchfinancialassetsarerecognizedasothercomprehensiveincome.Untilthefinancialassetisderecognized,itsaccumulatedgainsorlossesare
transferredtocurrentgainsandlosses.However,therelevantinterestincomeofthefinancialassetcalculatedbytheactualinterestratemethodisincludedinthecurrentprofitandloss.TheCompanyirrevocablychoosestodesignateaportionofnon-tradableequityinstrumentinvestmentasafinancialassetmeasuredatfairvalueandwhosevariationisincludedinotherconsolidatedincome.Onlytherelevantdividendincomeisincludedinthecurrentprofitandloss,andthevariationoffairvalueisrecognizedasotherconsolidatedincome.
③FinancialassetsmeasuredatfairvaluewithvariationsaccountedintocurrentincomeaccountTheabovefinancialassetsmeasuredatamortizedcostandotherfinancialassetsmeasuredatfairvalueandwhosechangesareincludedinothercomprehensiveincomeareclassifiedasfinancialassetsmeasuredatfairvalueandwhosechangesareincludedinthecurrentprofitandloss.Forsuchfinancialassets,fairvalueisusedforsubsequentmeasurement,andallchangesinfairvalueareincludedincurrentprofitandloss.
(3)ClassificationandmeasurementoffinancialliabilitiesTheCompanyclassifiesfinancialliabilitiesintofinancialliabilitiesmeasuredatfairvalueandtheirchangesincludedinthecurrentprofitandloss,loancommitmentsandfinancialguaranteecontractliabilitiesforloansbelowmarketinterestrates,andfinancialliabilitiesmeasuredatamortizedcost.
Thesubsequentmeasurementoffinancialliabilitiesdependsontheirclassification:
①FinancialliabilitiesmeasuredatfairvaluewithvariationsaccountedintocurrentincomeaccountSuchfinancialliabilitiesincludetransactionalfinancialliabilities(includingderivativesthatarefinancialliabilities)andfinancialliabilitiesdesignatedasatfairvaluethroughprofitorloss.Aftertheinitialrecognition,thefinancialliabilitiesaresubsequentlymeasuredatfairvalue.Exceptforthehedgeaccounting,thegainsorlosses(includinginterestexpenses)arerecognizedinprofitorloss.However,forthefinancialliabilitiesdesignatedasfairvalueandwhosevariationsareincludedintheprofitsandlossesofthecurrentperiod,thevariableamountofthefairvalueofthefinancialliabilityduetothevariationofcreditriskofthefinancialliabilityshallbeincludedintheotherconsolidatedincome.Whenthefinancialliabilityisterminated,thecumulativegainsandlossespreviouslyincludedintheotherconsolidatedincomeshallbetransferredoutoftheotherconsolidatedincomeandshallbeincludedintheretainedincome.
②Loancommitmentsandfinancialsecuritycontractualliabilities
AloancommitmentisapromisethattheCompanyprovidestocustomerstoissueloanstocustomerswithestablishedcontracttermswithinthecommitmentperiod.Loancommitmentsareprovidedforimpairmentlossesbasedontheexpectedcreditlossmodel.
AfinancialguaranteecontractreferstoacontractthatrequirestheCompanytopayaspecificamountofcompensationtothecontractholderwhosufferedalosswhenaspecificdebtorisunabletorepaythedebtinaccordancewiththeoriginalormodifieddebtinstrumentterms.Financialguaranteecontractliabilitiesaresubsequentlymeasuredbasedonthehigherofthelossreserveamountdeterminedinaccordancewiththeprincipleofimpairmentoffinancialinstrumentsandtheinitialrecognitionamountafterdeductingtheaccumulatedamortizationamountdeterminedinaccordancewiththerevenuerecognitionprinciple.
③Financialliabilitiesmeasuredatamortizedcost
Afterinitialrecognition,otherfinancialliabilitiesaremeasuredatamortizedcostusingtheeffectiveinterestmethod.
Exceptinspecialcircumstances,financialliabilitiesandequityinstrumentsaredistinguishedaccordingtothefollowingprinciples:
①IftheCompanycannotunconditionallyavoiddeliveringcashorotherfinancialassetstofulfillacontractualobligation,thecontractualobligationmeetsthedefinitionoffinancialliability.Whilesomefinancialinstrumentsdonotexplicitlycontaintermsandconditionsforthedeliveryofcashorotherfinancialassets,theymayindirectlyformcontractualobligationsthroughothertermsandconditions.
IfafinancialinstrumentisrequiredtobesettledwithorcanbesettledwiththeCompany'sownequityinstruments,theCompany'sownequityinstrumentusedtosettletheinstrumentneedstobeconsideredasasubstituteforcashorotherfinancialassetsorfortheholderoftheinstrumenttoenjoytheremainingequityintheassetsafterallliabilitiesarededucted.Ifitistheformer,theinstrumentisthefinancialliabilitiesoftheissuer;ifitisthelatter,theinstrumentistheequityinstrumentoftheissuer.Insomecases,afinancialinstrumentcontractprovidesthattheCompanyshallormayuseitsowninstrumentofinterest,inwhichtheamountofacontractualrightorobligationisequaltotheamountoftheinstrumentofitsowninterestwhichmaybeacquiredordeliveredmultipliedbyitsfairvalueatthetimeofsettlement,whethertheamountofthecontractualrightorobligationisfixedorisbasedentirelyorinpartonavariationofavariableotherthanthemarketpriceoftheinstrumentofitsowninterest,suchastherateofinterest,thepriceofacommodityorthepriceofafinancialinstrument,thecontractisclassifiedasafinancialliability.
(4)Derivativefinancialinstrumentsandembeddedderivatives
Derivativefinancialinstrumentsareinitiallymeasuredatthefairvalueofthedaywhenthederivativetransactioncontractissigned,andaresubsequentlymeasuredattheirfairvalues.Derivativefinancialinstrumentswithapositivefairvaluearerecognizedasasset,andinstrumentswithanegativefairvaluearerecognizedasliabilities.Thegainsandlossesarisingfromthechangeinfairvalueofderivativesaredirectlyincludedintheprofitsandlossesofthecurrentperiod,exceptthatthepartofthecashflowthatisvalidinthehedgeisincludedintheotherconsolidatedincomeandtransferredoutwhenthehedgeditemaffectsthegainandlossofthecurrentperiod.
Forahybridinstrumentcontaininganembeddedderivativeinstrument,iftheprincipalcontractisafinancialasset,thehybridinstrumentasawholeappliestherelevantprovisionsofthefinancialassetclassification.Ifthemaincontractisnotafinancialasset,andthehybridinstrumentisnotmeasuredatfairvalueanditschangesareincludedinthecurrentprofitandlossforaccounting,theembeddedderivativedoesnothaveacloserelationshipwiththemaincontractintermsofeconomiccharacteristicsandrisks,anditisIftheinstrumentswiththesameconditionsandexistseparatelymeetthedefinitionofderivativeinstruments,theembeddedderivativeinstrumentsareseparatedfromthemixedinstrumentsandtreatedasseparatederivativefinancialinstruments.Ifthefairvalueoftheembeddedderivativeontheacquisitiondateorthesubsequentbalancesheetdatecannotbemeasuredseparately,thehybridinstrumentasawholeisdesignatedasafinancialassetorfinancialliabilitymeasuredatfairvalueandwhosechangesareincludedinthecurrentprofitorloss.
(5)FinancialinstrumentLess
TheCompanyshallconfirmthepreparationforlossonthebasisofexpectedcreditlossforfinancialassetsmeasuredatamortizationcosts,creditor'srightsinvestmentsmeasuredatfairvalue,contractualassets,leasingreceivables,loancommitmentsandfinancialguaranteecontracts,etc.
①Measurementofexpectedcreditlossesofaccountsreceivable
Theexpectedcreditlossreferstotheweightedaverageofthecreditlossesoffinancialinstrumentsthatareweightedbytheriskofdefault.CreditlossreferstothedifferencebetweenallcontractualcashflowsreceivablefromthecontractandallcashflowsexpectedtobereceivedbytheCompanyattheoriginalactualinterestrate,thatis,thepresentvalueofallcashshortages.Amongthem,thefinancialassetswhichhavebeenpurchasedorbornbytheCompanyshallbediscountedaccordingtotheactualrateofcreditadjustmentofthefinancialassets.
Theexpectedlifetimecreditlossistheexpectedcreditlossduetoallpossibledefaulteventsduringtheentireexpectedlifeofthefinancialinstrument.
Expectedcreditlossesinthenext12monthsareexpectedtoresultfrompossibledefaultsinfinancialinstrumentswithin12monthsafterthebalancesheetdate(orestimateddurationoffinancialinstrumentsiftheexpecteddurationislessthan12months)Creditlossesarepartoftheexpectedlifetimecreditloss.Oneachbalancesheetday,theCompanymeasurestheexpectedcreditlossesoffinancialinstrumentsatdifferentstages.Wherethecreditriskhasnotincreasedsignificantlysincetheinitialconfirmationofthefinancialinstrument,itisinthefirststage.TheCompanymeasuresthepreparationforlossaccordingtotheexpectedcreditlossinthenext12months.Wherethecreditriskhasincreasedsignificantlysincetheinitialconfirmationbutthecreditimpairmenthasnotoccurred,thefinancialinstrumentisinthesecondstage.Whereacreditimpairmenthasoccurredsincetheinitialconfirmationofthefinancialinstrument,itshallbeinthethirdstage,andtheCompanyshallprepareformeasuringtheexpectedcreditlossofthewholesurvivalperiodoftheinstrument.Forfinancialinstrumentswithlowcreditriskonthebalancesheetdate,theCompanyassumesthatthecreditriskhasnotincreasedsignificantlysincetheinitialrecognition,andmeasuresthelossprovisionbasedontheexpectedcreditlossesinthenext12months.
Forfinancialinstrumentsthatareinthefirstandsecondstagesandwithlowercreditrisk,theCompanycalculatesinterestincomebasedontheirbookbalancesandactualinterestrateswithoutdeductionforimpairmentprovision.Forfinancialinstrumentsinthethirdstage,interestincomeiscalculatedbasedontheamortizedcostandtheactualinterestrateafterthebookbalanceminustheprovisionforimpairment.
Regardingbillsreceivable,accountsreceivableandfinancingreceivables,regardlessofwhetherthereisasignificantfinancingcomponent,theCompanymeasuresthelossprovisionbasedontheexpectedcreditlossesthroughouttheduration.
Accountsreceivable/contractassets
Wherethereisobjectiveevidenceofimpairment,aswellasotherreceivableinstruments,receivables,otherreceivables,receivablesfinancingandlong-termreceivablesapplicabletoindividualassessments,separateimpairmenttestsareperformedtoconfirmexpectedcreditlossesandprepareindividualimpairment.Fornotesreceivable,accountsreceivable,otherreceivables,financingofreceivables,long-termreceivables,andcontractassetsforwhichthereisnoobjectiveevidenceofimpairment,orwhenindividualfinancialassetscannotbeassessedatareasonablecost,theCompanydividesbillsreceivable,accountsreceivable,otherreceivables,receivablefinancing,long-termreceivables,andcontractassetsintoseveralcombinationsbasedoncreditriskcharacteristics,andcalculatesexpectedcreditlossesonthebasisofthecombination.Thebasisfordeterminingthecombinationisasfollows:
Thebasisfordeterminingthecombinationofnotesreceivableisasfollows:
NotesReceivableCombination1CommercialAcceptanceBillNotesReceivableCombination2BankAcceptanceBillForNotesreceivabledividedintoportfolios,theCompanyreferstohistoricalcreditlossexperience,combinedwithcurrentconditionsandpredictionsoffutureeconomicconditions,andcalculatesthroughdefaultriskexposureandexpectedcreditlossratewithinthenext12monthsortheentiredurationExpectedcreditlosses.Thebasisfordeterminingthecombinationofaccountsreceivableisasfollows:
Accountsreceivablecombination1AccountsreceivablebusinessAccountsreceivablecombination2RealestatereceivablebusinessAccountsreceivablecombination3OthersreceivablebusinessOtherreceivableportfolio4ReceivablesfromrelatedpartieswithinthescopeofconsolidationFortheaccountsreceivabledividedintoacombination,theCompanyreferstothehistoricalcreditlossexperience,combinedwiththecurrentsituationandtheforecastofthefutureeconomicsituation,compilestheaccountreceivableageandthewholeexpectedcreditlossratetable,andcalculatestheexpectedcreditloss.
Thebasisfordeterminingthecombinationofotherreceivablesisasfollows:
Otherreceivableportfolio1InterestreceivablePortfolioofotherreceivables2DividendsreceivableOthercombinationsofreceivables3DepositandmarginreceivableOtherreceivableportfolio4ReceivableadvancesCombinationofotherreceivables5Value-addedtaxreceivableisincreasedandrefundedOtherreceivableportfolio6ReceivablesfromrelatedpartieswithinthescopeofconsolidationOtherreceivablesportfolio7OtherreceivablesForotherreceivablesdividedintoportfolios,theCompanyreferstohistoricalcreditlossexperience,combinedwithcurrentconditionsandpredictionsoffutureeconomicconditions,andcalculatesthroughdefaultriskexposureandexpectedcreditlossratewithinthenext12monthsortheentiredurationExpectedcreditlosses.
Thebasisfordeterminingthecombinationofreceivablesfinancingisasfollows:
Receivablesfinancingportfolio1bankacceptancebillForNotesreceivabledividedintoportfolios,theCompanyreferstohistoricalcreditlossexperience,combinedwithcurrentconditionsandpredictionsoffutureeconomicconditions,andcalculatesthroughdefaultriskexposureandexpectedcreditlossratewithinthenext12monthsortheentiredurationExpectedcreditlosses.Thebasisfordeterminingtheportfolioofcontractassetsisasfollows:
Contractassetsportfolio1conditionalcollectionrightofsalesContractassetsportfolio2CompletedandunsettledprojectnotmeetingcollectionconditionsContractassetsportfolio3QualityguaranteedepositnotmeetingcollectionconditionsForcontractassetsdividedintoportfolios,theCompanyreferstohistoricalcreditlossexperience,combinedwithcurrentconditionsandpredictionsoffutureeconomicconditions,andcalculatesthroughdefaultriskexposureandexpectedcreditlossratewithinthenext12monthsortheentiredurationExpectedcreditlosses.
OtherdebtinvestmentForotherreceivablesdividedintoportfolios,theCompanyreferstohistoricalcreditlossexperience,combinedwithcurrentconditionsandpredictionsoffutureeconomicconditions,andcalculatesthroughdefaultriskexposureandexpectedcreditlossratewithinthenext12monthsortheentiredurationExpectedcreditlosses.
②LowercreditriskIftheriskofdefaultonfinancialinstrumentsislow,theborrower'sabilitytomeetitscontractualcashflowobligationsintheshorttermisstrong,andeveniftheeconomicsituationandoperatingenvironmentareadverselychangedoveralongperiodoftime,itmaynotnecessarilyreducethereceivables'performanceoftheircontractualcash.Theabilityoftheflowobligation,thefinancialinstrumentisconsideredtohavealowercreditrisk.
③SignificantincreaseincreditriskTheCompanycomparesthedefaultprobabilityofthefinancialinstrumentduringtheexpectedlifetimedeterminedbythebalancesheetdatewiththedefaultprobabilityoftheexpectedlifetimeduringtheinitialconfirmationtodeterminetherelativeprobabilityofthedefaultprobabilityofthefinancialinstrumentduringtheexpectedlifetimeChangestoassesswhetherthecreditriskoffinancialinstrumentshasincreasedsignificantlysinceinitialrecognition.
Indeterminingwhetherthecreditriskhasincreasedsignificantlysincetheinitialrecognition,theCompanyconsidersreasonableandevidencedinformation,includingforward-lookinginformation,thatcanbeobtainedwithoutunnecessaryadditionalcostsoreffort.TheinformationconsideredbytheCompanyincludes:
A.Significantchangesininternalpriceindicatorsresultingfromchangesincreditrisk;
B.Adversechangesinbusiness,financialoreconomicconditionsthatareexpectedtocausesignificantchangesinthedebtor'sabilitytoperformitsdebtserviceobligations;
C.Whethertheactualorexpectedoperatingresultsofthedebtorhavechangedsignificantly;whethertheregulatory,economicortechnicalenvironmentofthedebtorhasundergonesignificantadversechanges;
D.Whetherthereisasignificantchangeinthevalueofthecollateralusedasdebtcollateralortheguaranteeprovidedbyathirdpartyorthequalityofcreditenhancement.Thesechangesareexpectedtoreducethedebtor'seconomicmotivationforrepaymentwithinthetimelimitspecifiedinthecontractoraffecttheprobabilityofdefault;
E.Whetherthereisasignificantchangeintheeconomicmotivationthatisexpectedtoreducethedebtor'srepaymentaccordingtothecontractualdeadline;
F.Anticipatedchangestotheloancontract,includingwhethertheexpectedviolationofthecontractmayresultintheexemptionorrevisionofcontractobligations,grantinginterest-freeperiods,risinginterestrates,requiringadditionalcollateralorguarantees,ormakingotherchangestothecontractualframeworkoffinancialinstrumentschange;
G.Whethertheexpectedperformanceandrepaymentbehaviorofthedebtorhaschangedsignificantly;
H.Whetherthecontractpaymentisoverdueformorethan(including)30days.
Basedonthenatureoffinancialinstruments,theCompanyassesseswhethercreditriskhasincreasedsignificantlyonthebasisofasinglefinancialinstrumentorcombinationoffinancialinstruments.Whenconductinganassessmentbasedonacombinationoffinancialinstruments,theCompanycanclassifyfinancialinstrumentsbasedoncommoncreditriskcharacteristics,suchasoverdueinformationandcreditriskratings.
Iftheoverdueperiodexceeds30days,theCompanyhasdeterminedthatthecreditriskoffinancialinstrumentshasincreasedsignificantly.UnlesstheCompanydoesnothavetopayexcessivecostsoreffortstoobtainreasonableandwarrantedinformation,itprovesthatalthoughithasexceededthetimelimitof30daysagreeduponintheContract,creditriskshavenotincreasedsignificantlysincetheinitialconfirmation.
④Financialassetswithcreditimpairment
TheCompanyassessesonthebalancesheetdatewhetherfinancialassetsmeasuredatamortizedcostandcreditinvestmentsmeasuredatfairvalueandwhosechangesareincludedinothercomprehensiveincomehaveundergonecreditimpairment.Whenoneormoreeventsthatadverselyaffecttheexpectedfuturecashflowsofafinancialassetoccur,thefinancialassetbecomesafinancialassetthathassufferedacreditimpairment.Evidencethatcreditimpairmenthasoccurredinfinancialassetsincludesthefollowingobservableinformation:
Majorfinancialdifficultieshaveoccurredtotheissuerorthedebtor;Breachofcontractbythedebtor,suchaspaymentofinterestordefaultoroverdueofprincipal;(B)Theconcessionthatthedebtorwouldnotmakeunderanyothercircumstancesforeconomicorcontractualconsiderationsrelatingtothefinancialdifficultiesofthedebtor;Thedebtorislikelytobebankruptorundertakeotherfinancialrestructuring;Thefinancialdifficultiesoftheissuerordebtorleadtothedisappearanceoftheactivemarketforthefinancialasset;Topurchaseorgenerateafinancialassetatasubstantialdiscount,whichreflectsthefactthatacreditlosshasoccurred.
⑤Presentationofexpectedcreditlossmeasurement
Inordertoreflectthechangesinthecreditriskoffinancialinstrumentssincetheinitialrecognition,theCompanyre-measurestheexpectedcreditlossesoneachbalancesheetdate,andtheincreaseorreversalofthelossprovisionresultingtherefromisincludedasanimpairmentlossorgain.Currentprofitandloss.Forfinancialassetsmeasuredatamortizedcost,thelossallowanceoffsetsthebookvalueofthefinancialassetlistedonthebalancesheet;fordebtinvestmentsmeasuredatfairvalueandwhosechangesareincludedinothercomprehensiveincome,theCompanyRecognitionofitslossprovisionsingainsdoesnotoffsetthebookvalueofthefinancialasset.
⑥Canceled
Ifitisnolongerreasonablyexpectedthatthecontractcashflowofthefinancialassetswillbefullyorpartiallyrecovered,thebookbalanceofthefinancialassetswillbedirectlyreduced.Suchwrite-offconstitutethederecognizationofrelatedfinancialassets.ThisusuallyoccurswhentheCompanydeterminesthatthedebtorhasnoassetsorsourcesofincomethatgeneratesufficientcashflowtocovertheamountthatwillbewrittendown.
Ifthefinancialassetsthathavebeenwrittendownarerecoveredinthefuture,thereversaloftheimpairmentlossisincludedintheprofitorlossofthecurrentperiod.
(6)Transferoffinancialassets
Thetransferoffinancialassetsreferstothefollowingtwosituations:
A.Transferthecontractualrighttoreceivecashflowoffinancialassetstoanotherparty;B.Transfersthefinancialassetstotheotherpartyinwholeorinpart,butreservesthecontractualrighttocollectthecashflowofthefinancialassetsandundertakesthecontractualobligationtopaythecollectedcashflowtooneormorerecipients.
①De-identificationoftransferredfinancialassetsThosewhohavetransferredalmostallrisksandrewardsintheownershipoffinancialassetstothetransferee,orhaveneithertransferrednorretainedalmostalltherisksandrewardsintheownershipoffinancialassets,buthavegivenupcontrolofthefinancialassets,terminatetheconfirmationThefinancialasset.
Indeterminingwhethercontroloverthetransferredfinancialassethasbeenwaived,theactualcapacityofthetransferortosellthefinancialassetisdetermined.Ifthetransferorisabletosellthetransferredfinancialassetswhollytoathirdpartythatdoesnothavearelationshipwiththem,andhasnoadditionalconditionstolimitthesale,itindicatesdshaswaivedcontroloverthefinancialassets.TheCompanypaysattentiontotheessenceoffinancialassettransferwhenjudgingwhetherfinancialassettransfermeetstheconditionoffinancialassettermination.Iftheoveralltransferoffinancialassetsmeetstheconditionsforterminationofconfirmation,thedifferencebetweenthefollowingtwoamountsisincludedinthecurrentprofitandloss:
A.ContinuingidentificationoftransferredBookvalue；
B.Thesumoftheamountreceivedasaresultofthetransferandtheamountaccruedasaresultofthechangeinthefairvalueofthetransferinrespectoftheterminationrecognizedportionoftheamountpreviouslychargeddirectlytotheotherconsolidatedproceeds(thefinancialassetsinvolvedinthetransferarethoseclassifiedinaccordancewithArticle18ofEnterpriseAccountingStandardNo.22-FinancialInstrumentsRecognitionandMeasurementasmeasuredbythefairvalueandwhosechangeischargedtotheotherconsolidatedproceeds).
Ifthepartialtransferoffinancialassetsmeetstheconditionsforderecognization,thebookvalueoftheentiretransferredfinancialassetswillbeincludedinthederecognizedpartandtheunterminatedpart(inthiscase,theretainedserviceassetsareregardedaspartofthecontinuedrecognitionoffinancialassets)Betweenthem,theyareapportionedaccordingtotheirrespectiverelativefairvaluesonthetransferdate,andthedifferencebetweenthefollowingtwoamountsisincludedinthecurrentprofitandloss:
A.Terminationofthebookvalueoftherecognizedportiononthedateofderecognization;
B.Thesumoftheamountreceivedasaresultofthetransferandtheamountaccruedasaresultofthechangeinthefairvalueofthetransferinrespectoftheterminationrecognizedportionoftheamountpreviouslychargedtotheotherconsolidatedproceeds(thefinancialassetsinvolvedinthetransferarethoseclassifiedinaccordancewithArticle18ofEnterpriseAccountingStandardNo.22-FinancialInstrumentsRecognitionandMeasurementasmeasuredbythefairvalueandwhosechangeischargedtotheotherconsolidatedproceeds).
②Continuetobeinvolvedinthetransferredfinancialassets
Ifneithertransfernorretainalmostalltherisksandrewardsoftheownershipoffinancialassets,andhavenotgivenupcontrolofthefinancialassets,therelevantfinancialassetsshouldbeconfirmedaccordingtotheextentoftheircontinuedinvolvementinthetransferredfinancialassets,andtherelevantliabilitiesshouldberecognizedaccordingly.
Theextenttowhichthetransferredfinancialassetscontinuetobeinvolvedreferstotheextenttowhichtheenterpriseundertakestheriskorcompensationofthevaluechangeofthetransferredfinancialassets.
(III)Continuingidentificationoftransferredfinancialassets
Wherealmostallrisksandremunerationinrelationtoownershipofthetransferredfinancialassetsareretained,thewholeofthetransferredfinancialassetsshallcontinuetoberecognizedandtheconsiderationreceivedshallberecognizedasafinancialliability.
Thefinancialassetandtherecognizedrelatedfinancialliabilitiesshallnotoffseteachother.Inthesubsequentaccountingperiod,theenterpriseshallcontinuetorecognizetheincome(orgain)generatedbythefinancialassetandthecosts(orlosses)incurredbythefinancialliability.
(7)Deductionoffinancialassetsandliabilities
Financialassetsandfinancialliabilitiesshouldbelistedseparatelyinthebalancesheet,andcannotbeoffsetagainsteachother.However,ifthefollowingconditionsaremet,thenetamountoffsetbyeachotherislistedinthebalancesheet:
TheCompanyhasastatutoryrighttooffsettheconfirmedamount,andsuchlegalrightiscurrentlyenforceable;
TheCompanyplanstosettlethenetassetsorrealizethefinancialassetsandliquidatethefinancialliabilitiesatthesametime.
Thetransferringpartyshallnotoffsetthetransferredfinancialassetsandrelatedliabilitiesifitdoesnotmeettheconditionsforterminatingtherecognition.
(8)RecognitionoffairvalueofFinanceinstruments
Forthemethodfordeterminingthefairvalueoffinancialassetsandfinancialliabilities,see33(3)inV.Importantaccountingpoliciesandaccountingestimates.
11.Notesreceivable
SeeV,ImportantAccountingPoliciesandAccountingEstimates10.FinancialTools.
12.Accountreceivable
SeeV,ImportantAccountingPoliciesandAccountingEstimates10.FinancialTools.TheCompanyneedstocomplywiththedisclosurerequirementsofthedecorationanddecorationindustryintheGuidelinesfortheSelf-disciplineandSupervisionofListedCompaniesofShenzhenStockExchangeNo.3-IndustryInformationDisclosure.
13.Receivablefinancing
SeeV,ImportantAccountingPoliciesandAccountingEstimates10.FinancialTools.
14.Otherreceivables
SeeV,ImportantAccountingPoliciesandAccountingEstimates10.FinancialTools.
15.Contractassets
TheCompanypresentscontractassetsorliabilitiesinthebalancesheetaccordingtotherelationshipbetweenperformanceobligationandcustomerpayment.TheconsiderationforwhichtheCompanyisentitledtoreceive(subjecttofactorsotherthanthepassageoftime)forthetransferofgoodsortheprovisionofservicestocustomersislistedascontractassets.TheCompany'sobligationtotransfergoodsorprovideservicestocustomersforconsiderationreceivedorreceivablefromcustomersislistedascontractualliabilities.
Contractassetsandcontractliabilitiesarelistedseparatelyinthebalancesheet.Contractassetsandcontractliabilitiesunderthesamecontractarelistedinnetamount.Ifthenetamountisthedebitbalance,itshallbelistedin"contractassets"or"othernoncurrentassets"accordingtoitsliquidity;ifthenetamountisthecreditbalance,itshallbelistedin"contractliabilities"or"othernoncurrentliabilities"accordingtoitsliquidity.Contractassetsandcontractliabilitiesunderdifferentcontractscannotoffseteachother.ForthedeterminationmethodandaccountingtreatmentmethodoftheCompany'sexpectedcreditlossofcontractassets,see
10.FinancialinstrumentsinV.Importantaccountingpoliciesandaccountingestimates.
16.Inventories
(1)ClassificationofinventoriesInventoryreferstothefinishedproductsorcommoditiesheldbytheCompanyforsaleindailyactivities,theproductsinprocessofproduction,thematerialsandmaterialsconsumedintheprocessofproductionorprovidinglaborservices,includingentrustedprocessingmaterials,rawmaterials,productsinprocess,materialsintransit,storedgoods,lowvalueconsumables,developmentcosts,developmentproductsandcontractperformancecosts,etc.
(2)PricingofdeliveringinventoryInventoriesaremeasuredatcostwhenprocured.Rawmaterials,productsinprocessandcommoditystocksintransitaremeasuredbytheweightedaveragemethod.
Theinventoryofrealestatebusinessmainlyincludesinventorymaterials,developmentcosts,developmentproducts,etc.Theactualcostsofdevelopmentproductsincludelandtransferpayment,infrastructureandfacilitycosts,installationengineeringcosts,borrowsbeforecompletionofthedevelopmentandothercostsduringthedevelopmentprocess.Thespecialmaintenancefundscollectedinthefirstperiodareincludedinthedevelopmentoverheads.Whenthecontrolrightofdevelopmentproductsistransferred,theindividualvaluationmethodisusedtodetermineitsactualcost.
(3)Inventorysystem
TheCompanyinventoryadoptstheperpetualinventorysystem,countingatleastonceayear,theinventoryprofitandlossamountisincludedinthecurrentyear'sprofitandloss.
(4)Criteriaforrecognizingandprovidingforprovisionfordeclineinvalueofinventories
Onthebalancesheetdate,inventoriesareaccounteddependingonwhichislowerbetweenthecostandthenetrealizablevalue.Ifthecostishigherthanthenetrealizablevalue,theimpairmentprovisionwillbemade.
Therealizablenetvalueofinventoryshouldberecognizedbasedonsolidevidencewiththepurposeoftheinventoryandafter-balance-sheet-dateeventstakenintoconsideration.
(1)Inthecourseofnormalproductionandoperation,thenetrealizablevalueoffinishedgoods,commoditiesandmaterialsdirectlyusedforsaleshallbedeterminedbytheestimatedpriceoftheinventoryminustheestimatedcostofsaleandrelatedtaxes.Theinventoryheldfortheexecutionofasalescontractoralaborcontractshallbemeasuredonthebasisofthecontractpriceasitsnetrealizablevalue;Ifthequantityheldisgreaterthanthequantityorderedunderthesalescontract,thenetrealizablevalueof
theexcessinventoryismeasuredonthebasisofthegeneralsalesprice.Formaterialsusedforsale,themarketpriceshallbeusedasthemeasurementbasisforthenetrealizablevalue.
②Inthenormalproductionandoperationprocess,theinventoryofmaterialsthatneedtobeprocessedisdeterminedbytheamountoftheestimatedsellingpriceofthefinishedproductminustheestimatedcosttobeincurredatthetimeofcompletion,estimatedsalesexpensesandrelatedtaxesRealizethenetvalue.Ifthenetrealizablevalueofthefinishedproductproducedbyitishigherthanthecost,thematerialismeasuredatcost;Ifthedecreaseinthepriceofthematerialindicatesthatthenetrealizablevalueofthefinishedproductislowerthanthecost,thematerialismeasuredasthenetrealizablevalueandtheinventoryispreparedforadecreasebasedonitsdifference.
③Ifthefactorsaffectingthepreviouswrite-downofinventoryvaluehavedisappearedonthebalancesheetdate,theamountofthewrite-downwillberestoredandtransferredbackwithintheamountofinventorydepreciationreservethathasbeenaccrued,andtheamountreturnedwillbeincludedinthecurrentprofitandloss.
(5)Methodsofamortizationofswingmaterials
Low-valueconsumablesareamortizedonon-offamortizationbasisatusing.
17.Long-termshareequityinvestment
TheGroup'slong-termequityinvestmentincludescontroloninvestedentitiesandsignificantimpactsonequityinvestment.InvestedentitiesonwhichtheGrouphassignificantimpactsareassociatesoftheGroup.
(1)Basisforrecognitionofcommoncontrolandmajorinfluenceoninvestedentities
Commoncontrolreferstothecommoncontrolofanarrangementinaccordancewiththerelevantagreement,andtherelevantactivitiesofthearrangementmustbeagreeduponbytheparticipantswhosharecontrol.Indeterminingwhetherthereiscommoncontrol,thefirststepistodeterminewhetheralloragroupofparticipantscollectivelycontrolthearrangement,whichisconsideredcollectivecontrolbyalloragroupofparticipantsifalloragroupofparticipantsmustacttogethertodeterminetheactivitiesassociatedwiththearrangement.Secondly,itisjudgedwhetherthedecisiononrelatedactivitiesofthearrangementmustbeagreedbytheparticipantswhocollectivelycontrolthearrangement.Ifthereisacombinationoftwoormorepartiesthatcancollectivelycontrolanarrangement,itdoesnotconstitutejointcontrol.Whenjudgingwhetherthereisjointcontrol,theprotectiverightsenjoyedarenotconsidered.
Majorinfluencereferstothepowertoparticipateindecision-makingoffinancialandoperationpoliciesofacompany,butcannotcontrolorjointlycontrolthemakingofthepolicies.WhenconsideringwhethertheCompanycanimposesignificant
impactsontheinvestedentity,impactsofconversionofshareswithvotingrightshelddirectlyorindirectlybytheinvestorandvotingrightsthatcanbeexecutedinthisperiodheldbytheinvestorandotherpartyintosharesoftheinvestedentityshouldbeconsidered.IftheCompanydirectlyorthroughsubsidiariesholdsmorethan20%(inclusive)butlessthan50%oftheshareswithvotingrightsoftheinvestedentity,unlessthereisclearevidenceprovingthattheCompanycannotparticipatethedecision-makingofproductionandoperationoftheinvestedentity,theCompanyhasmajorinfluenceontheinvestedentity.
(2)RecognitionofinitialinvestmentcostsLong-termequityinvestmentsformedbymergerofenterprisesshallbedeterminedinaccordancewiththefollowingprovisions:
A.Inthecaseofanenterprisemergerunderthesamecontrol,wherethemergingpartymakesavaluationofthemergerbypaymentofcash,transferofnon-cashassetsorundertakingliabilities,theshareofthebookvalueoftheowner'sinterestinthefinalcontrollingparty'sconsolidatedfinancialstatementsastheinitialinvestmentcostofthelong-termequityinvestmentatthedateofthemerger.Thedifferencebetweentheinitialinvestmentcostoflong-termequityinvestmentandthecashpaid,thetransferrednon-cashassetsandthebookvalueofthedebtassumedshallbeadjustedtothecapitalreserve;ifthecapitalreserveisinsufficienttooffset,theretainedearningsshallbeadjusted;Long-termequityinvestmentgeneratedbyenterprisemerger:forlong-termequityinvestmentobtainedbymergerofenterprisesundercommoncontrol,theobtainedshareofbookvalueoftheinterestsofthemergedparty'sownerintheconsolidatefinancialstatementsonthemergerdateiscosts;forlong-termequityinvestmentobtainedbymergerofenterprisesnotundercommoncontrol,themergercostistheinvestmentcost.Adjustthecapitalreserveaccordingtothedifferencebetweentheinitialinvestmentcostoflong-termequityinvestmentandthetotalfacevalueoftheissuedshares.Ifthecapitalreserveisinsufficienttooffsetorreduce,theretainedincomeshallbeadjusted;
Formergerofentitiesunderdifferentcontrol,themergercostisthefairvalueoftheassetpaid,liabilityundertaken,andequitysecuritiesissuedforexchangingofcontrolpowerovertheentitiesatthedayofacquisition.Agencyexpensesandotheradministrativeexpensessuchasauditing,legalconsulting,orappraisalservicesoccurredrelatingtothemergerofentitiesareaccountedintocurrentincomeaccountwhenoccurred.
Long-termequityinvestmentsformedbymergerofenterprisesshallbedeterminedinaccordancewiththefollowingprovisions:
Forlong-termequityinvestmentobtainedbycash,theactuallypaidconsiderationistheinitialinvestmentcost.Initialinvestmentcostsincludeexpenses,taxesandothernecessaryexpendituresdirectlyrelatedtotheacquisitionoflong-termequityinvestments;B.Long-termequityinvestmentsacquiredfromtheissuanceofinterestsecuritiesaretheinitialinvestmentcostsbasedonthefairvalueoftheissueinterestsecurities;
C.Forlong-termequityinvestmentsobtainedthroughnon-monetaryassetexchanges,iftheexchangehascommercialsubstanceandthefairvalueoftheexchangedassetsorexchangedassetscanbereliablymeasured,thefairvalueoftheexchangedassetsandrelevanttaxesshallbeusedastheinitialInvestmentcost,thedifferencebetweenthefairvalueandbookvalueoftheswapped-outassetisincludedinthecurrentprofitandloss;ifthenon-monetaryassetexchangedoesnotmeettheabovetwoconditionsatthesametime,thebookvalueoftheswapped-outassetandrelevanttaxeswillbeusedastheinitialinvestmentcost.
D.Long-termequityinvestmentsacquiredthroughdebtrestructuringdeterminetheirrecordedvalueatthefairvalueofthewaivedclaimsandothercostssuchastaxesdirectlyattributabletotheassetsandaccountforthedifferencebetweenthefairvalueandthebookvalueofthewaivedclaims.
(3)Subsequentmeasurementandrecognitionofgain/loss
TheCompanyusesthecostmethodtomeasurelong-termshareequityinvestmentinwhichtheCompanycancontroltheinvestedentity;andusestheequitymethodtomeasurelong-termshareequityinvestmentinwhichtheCompanyhassubstantialinfluenceontheinvestedentity.
①Cost
Forthelong-termequityinvestmentmeasuredonthecostbasis,exceptfortheannouncedcashdividendorprofitincludedinthepracticalcostorpricewhentheinvestmentwasmade,thecashdividendsorprofitdistributedbytheinvestedentityarerecognizedasinvestmentgainsinthecurrentgain/lossaccount.
Equity
Gainsfromlong-termequityinvestmentmeasuredbyequity
Whentheequitymethodisusedtomeasurelong-termequityinvestment,theinvestmentcostwillnotbeadjustediftheinvestmentcostofthelong-termequityinvestmentislargerthantheshareoffairvalueoftherecognizableassetsoftheinvestedentity.Whenitissmallerthantheshareoffairvalueoftherecognizableassetsoftheinvestedentity,thebookvaluewillbeadjustedandthedifferenceisincludedinthecurrentgainsoftheinvestment.
Whentheequitymethodisused,thecurrentinvestmentgainistheshareofthenetgainrealizedinthecurrentyearthatcanbesharedorborne,recognizedasinvestmentgainandothermisc.income.Thebookvalueofthelong-termequityinvestmentisadjustedaccordingly.Thebookvalueofthelong-termequityinvestmentshouldbeaccordinglydecreasedbasedontheshareofprofitorcashdividendannouncedbytheinvestedentity;accordingtootherchangesintheowner'sequityexceptfornetprofitandloss,othermiscincomeandprofitdistributionoftheinvestedentity,adjustthebookvalueofthelong-termequityinvestmentandrecorditinthecapitalsurplus(othercapitalsurplus).Whentheshareofthenetgainsthatcanbeenjoyedisrecognized,itisrecognizedafterthenetprofitoftheinvestedentityisadjustedbasedonthefairvalueoftherecognizeableassetsoftheinvestedentityaccordingtotheCompany'saccountingpoliciesandaccountingperiod.WheretheaccountingpolicyandaccountingperiodadoptedbytheInvestedunitareinconsistentwiththeCompany,thefinancialstatementsoftheInvestedunitshallbeadjustedinaccordancewiththeaccountingpolicyandaccountingperiodoftheCompany,andtheinvestmentincomeandotherconsolidatedincomeshallberecognized.InternaltransactiongainnotrealizedbetweentheCompanyandaffiliatesismeasuredaccordingtotheshareholdingproportionandtheinvestmentgainsisrecoginziedafterdeduction.TheunrealizedinternaltransactionlossbetweentheCompanyandtheinvestedentityistheimpairmentlossoftransferredassetsandshouldnotbewrittenoff.
Wheresubstantialinfluenceoninvestedentitiesisimposedorjointcontrolisimplementedduetoincreaseininvestment,thesumofthefairvalueoftheoriginalequityandincreasedinvestmentontheconversiondateistheinitialinvestmentcostundertheequitymethod.Iftheequityinvestmentoriginallyheldisclassifiedasotherequityinstrumentinvestment,thedifferencebetweenthefairvalueandthebookvalue,aswellastheaccumulatedgainsorlossesoriginallyincludedinothercomprehensiveincome,shallbetransferredoutofothercomprehensiveincomeandincludedinretainedincomeinthecurrentperiodwhentheequitymethodisadopted.
Wherejointcontrolorsubstantialinfluenceoninvestedentitiesislostduetodisposalofpartofinvestment,theremainingequityafterthedisposalshouldbetreatedaccordingtotheEnterpriseAccountingStandardNo.22–RecognitionandMeasurementofFinancialInstrumentsfromthedateoflosingthejointcontrolorsubstantialinfluence.Thedifferencebetweenthefairvalueandbookvalueshouldbeaccountedtheprofitandlossofthecurrentperiod.Forothermisc.incomesoforiginalshareequityinvestmentdeterminedusingtheequitymethod,whentheequitymethodisnolongerused,itshouldbetreatedbasedonthesamebasisofthetreatmentofrelatedassetsorliabilityoftheinvestedentities;theotherowners'interestsrelatedtotheoriginalshareequityinvestmentshouldbetransferredtogain/lossofthecurrentperiod.
(4)Equityinvestmentheldforsale
Fortheremainingequityinvestmentsnotclassifiedasassetsheldforsale,theequitymethodisadoptedforaccountingtreatment.
Equityinvestmentsclassifiedasheldforsaletoassociatesthatarenolongereligibletoholdclassifiedassetsforsaleareretrospectivelyadjustedusingtheequitymethodstartingfromthedatethattheyareclassifiedasheldforsale.Theclassificationisadjustedtoholdthefinancialstatementsfortheperiodtobesold.
(5)Impairmentexaminationandprovidingofimpairmentprovision
Forinvestmentsinsubsidiaries,associatesandjointventures,themethodofaccruingassetimpairmentisshownin23.Long-termassetimpairmentinV.Importantaccountingpoliciesandaccountingestimates.XVIII.InvestmentRealEstates
(1)Classificationofinvestmentrealestate
Investmentrealestatesareheldforrentorcapitalappreciation,orboth.Theseinclude,interalia:
①Leasedlandusingright
(2)therighttousethelandthatistransferredafterholdingandpreparingfortheincrement.
③Leasedbuilding
(2)Measurementofinvestmentrealestate
ForinvestmentrealestateswithanactiverealestatetransactionmarketandtheCompanycanobtainmarketpriceandotherinformationofsameorsimilarrealestatestoreasonablyestimatetheinvestmentrealestates'fairvalue,theCompanywillusethefairvaluemodetomeasuretheinvestmentrealestatessubsequently.Variationsinfairvalueareaccountedintothecurrentgain/lossaccount.
Thefairvalueofinvestmentrealestateisdeterminedwithreferencetothecurrentmarketpricesofsameorsimilarrealestatesinactivemarkets;whennosuchpriceisavailable,withreferencetotherecenttransactionpricesandconsiderationoffactorsincludingtransactionbackground,dateanddistricttoreasonablyestimatethefairvalue;orbasedontheestimatedleasegainsandpresentvalueofrelatedcashflows.
Forinvestmentrealestateunderconstruction(includinginvestmentrealestateunderconstructionforthefirsttime),ifthefairvaluecannotbereliablydeterminedbuttheexpectedfairvalueoftherealestateaftercompletioniscontinuouslyandreliablyobtained,theinvestmentrealestateunderconstructionismeasuredbycost.Whenthefairvaluecanbemeasuredreliablyoraftercompletion(theearlierone),itismeasuredatfairvalue.Foraninvestmentrealestatewhosefairvalueisprovenunabletobe
obtainedcontinuouslyandreliablybyobjectiveevidence,therealestatewillbemeasuredatcostbasisuntilitisdisposedandnoresidualvalueremainsasassumed.Ifthecostmodelisusedforsubsequentmeasurementofinvestmentrealestate,depreciationoramortizationiscalculatedaccordingtothestraight-linemethodafterthecostofinvestmentrealestateminusaccumulatedimpairmentandnetresidualvalue.SeeV.Importantaccountingpolicies,forthemethodofaccruingassetimpairment23.Impairmentoflong-termassetsinaccountingestimates.Thetypesofinvestmentrealestate,estimatedeconomicusefullifeandestimatednetresidualvalueratearedeterminedasfollows:
| Type | Serviceyear(year) | Residualrate% | Annualdepreciationrate% |
| Houses&buildings | 20-50 | 10.00 | 1.80-4.50 |
19.Fixedassets
(1)RecognitionconditionsFixedassetsarerecognizedattheactualcostofacquisitionwhenthefollowingconditionsaremet:(1)Theeconomicbenefitsassociatedwiththefixedassetsarelikelytoflowintotheenterprise.Fixedassetsarerecognizedattheactualcostofacquisitionwhenthefollowingconditionsaremet:(1)Theeconomicbenefitsassociatedwiththefixedassetsarelikelytoflowintotheenterprise.②Thecostofthefixedassetscanbemeasuredreliably.Overhaulcostgeneratedbyregularexaminationonfixedassetsisrecognizedasfixedassetscostswhenthereisevidenceprovingthatitmeetsfixassetsrecognitionconditions.Ifnot,itwillbeaccountedintothecurrentgain/lossaccount.
(2)Depreciationmethod
| Type | Depreciationmethod | Serviceyear(year) | Residualrate% | Annualdepreciationrate% |
| Houses&buildings | Averageage | 20-50 | 10.00 | 1.80-4.50 |
| Mechanicalequipment | Averageage | 10 | 10.00 | 9.00 |
| Transportationfacilities | Averageage | 5 | 10.00 | 18.00 |
| Electronicsandotherdevices | Averageage | 5 | 10.00 | 18.00 |
| PVpowerplants | Averageage | 20 | 5.00 | 4.75 |
20.Constructioninprocess
(1)Constructioninprogressisaccountedforbyprojectclassification.
(2)StandardandtimingfortransferringconstructioninprocessintofixedassetsThefullexpenditureincurredontheconstruction-in-progressprojectasafixedassetisrecordedasthevalueoftheassetbeforetheassetisconstructedtotheintendedusablestate.Thisincludesconstructioncosts,theoriginalcostofequipment,othernecessaryexpendituresincurredinordertoenabletheconstructionworkstoreachtheintendedusablestatusandtheborrowingcostsincurredforthespecificborrowingoftheprojectandthegeneralborrowingexpensesincurredbeforetheassetsreachtheintendedusablestatus.Constructioninprocesswillbetransferredtofixedassetswhenitreachesthepresetservicecondition.Thefixedassetsthathavereachedtheintendedusablestatebuthavenotbeencompletedshallbetransferredtothefixedassetsaccordingtotheestimatedvalueaccordingtotheestimatedvalueaccordingtotheestimatedvalueaccordingtotheprojectbudget,costoractualprojectcost,etc.ThedepreciationofthefixedassetsshallbeaccruedaccordingtotheCompany'sfixedassetsdepreciationpolicy.Theoriginalestimatedvalueshallbeadjustedaccordingtotheactualcostafterthecompletion.
XXI.Borrowingexpenses
(1)RecognitionprinciplesforcapitalizationofborrowingexpensesBorrowingexpensesoccurredtotheCompanythatcanbeaccountedaspurchasingorproductionofassetsatisfyingtheconditionsofcapitalizing,arecapitalizedandaccountedascostofrelatedasset.
(1)Assetexpenditurehasoccurred;
②Theborrowingexpensehasalreadyoccurred;
③Purchasingorproductionactivity,whichisnecessaryfortheassettoreachtheusefulstatus,hasalreadystarted.Otherinterestonloans,discountsorpremiumsandexchangedifferencesareincludedintheincomeandlossincurredinthecurrentperiod.
Iftheconstructionorproductionofassetssatisfyingthecapitalizingconditionsissuspendedabnormallyforover3months,capitalizingofborrowingexpensesshallbesuspended.Duringthenormalsuspensionperiod,borrowingexpenseswillbecapitalizedcontinuously.
Whentheassetsatisfyingthecapitalizingconditionshasreacheditsusableorsellablestatus,capitalizingofborrowingexpensesshallbeterminated.
(2)CalculationofthecapitalizationamountofborrowingexpenseInterestexpensesgeneratedbyspecialborrowingslesstheinterestsincomeobtainedfromthedepositofunusedborrowingsorinvestmentgainsfromtemporaryinvestmentiscapitalized;thecapitalizationamountforgeneralborrowingisdeterminedbasedonthecapitalizationratewhichistheexceedingpartoftheaccumulativeassetsexpenseoverweightedaverageoftheassetsexpenseofthespecialborrowing/usedgeneralborrowing.Iftheassetsthatareconstructedorproducedundertheconditionofcapitalizationoccupythegeneralborrowing,theinterestamounttobecapitalizedinthegeneralborrowingshallbecalculatedanddeterminedbymultiplyingthecapitalrateofthegeneralborrowingbytheweightedaverageoftheassetexpenditureoftheaccumulatedassetswhoseexpenditureexceedsthatofthespecializedborrowing.Thecapitalizationratioistheweightedaverageinterestrateofgeneralborrowings.XXII.IntangibleassetsRecordedattheactualcostofacquisition.
(1)Amortizationofintangibleassets
①Usefullifeofintangibleassetswithlimitedusefullife
| Item | Estimatedusefullife | Basis |
| Landusingright | Term | Userightassets |
| Trademarksandpatents | 10years | Referencetodeterminethelifetimeofacompanyforwhichitcanbringeconomicbenefits |
| Proprietarytechnology | 10years | Referencetodeterminethelifetimeofacompanyforwhichitcanbringeconomicbenefits |
| Software | 5.10years | Referencetodeterminethelifetimeofacompanyforwhichitcanbringeconomicbenefits |
Attheendofeachyear,theCompanywillreexaminetheusefullifeandamortizationbasisofintangibleassetswithlimitedusefullife.Uponreview,theservicelifeandamortizationmethodsofintangibleassetsattheendoftheperiodarenotdifferentfromthosepreviouslyestimated.
(2)Intangibleassetswhichcannotbeforeseeabletobringeconomicbenefitstoenterprisesshallberegardedasintangibleassetswhoseusefullifeisuncertain.Forintangibleassetswithuncertainservicelife,theCompanyreviewstheservicelifeof
intangibleassetswithuncertainservicelifeattheendofeachyear.Ifitisstilluncertainafterrechecking,itshallconductanimpairmenttestonthebalancesheetdate.
③AmortizationofintangibleassetsForintangibleassetswithfiniteusefullives,theCompanydeterminestheirusefullifeuponacquisitionandsystematicallyamortizesthemusingthestraight-linemethodovertheirusefullife.Theamortizationamountisincludedinthecurrentprofitorlossofthebenefitingprojectoraddedtothecostoftherelatedasset.Thespecificamortizationamountistheamountafterthecostisdeductedfromtheestimatedresidualvalue.Forfixedassetsforwhichdepreciationprovisionismade,thedepreciationratewillbedeterminedaftertheaccumulativedepreciationprovisionamountisdeducted.Theresidualvalueofanintangibleassetwithlimitedusefullifeistreatedaszero,exceptwhereathirdpartyundertakestopurchasetheintangibleassetattheendofitsusefullifeortoobtainexpectedresidualvalueinformationbasedontheactivemarket,whichislikelytoexistattheendofitsusefullife.
Intangibleassetswithuncertainservicelifewillnotbeamortized.Attheendofeachyear,theusefullifeofintangibleassetswithuncertainusefullifeisreviewed,andifthereisevidencethattheusefullifeofintangibleassetsislimited,theusefullifeisestimatedandthesystemisreasonablyamortizedwithintheexpectedusefullife.
(2)ScopeofR&Dexpendituresandrelatedaccountingtreatment
Specificstandardfordistinguishbetweenresearchanddevelopmentstage
①TheCompanytakestheinformationandrelatedpreparatoryactivitiesforfurtherdevelopmentactivitiesastheresearchstage,andtheintangibleassetsexpenditureintheresearchstageisincludedinthecurrentprofitandlossperiod.
②ThedevelopmentactivitiescarriedoutaftertheCompanyhascompletedtheresearchstageasthedevelopmentstage.
Specificconditionsforcapitalizationofexpendituresinthedevelopmentphase
Expendituresinthedevelopmentphasecanberecognizedasintangibleassetsonlywhenthefollowingconditionsaremet:
A.Itistechnicallyfeasibletocompletetheintangibleassetsothatitcanbeusedorsold;
B.Havetheintentiontocompletetheintangibleassetanduseorsellit;
C.Thewayintangibleassetsgenerateeconomicbenefits,includingtheabilitytoprovethattheproductsproducedbytheintangibleassetsexistinthemarketortheintangibleassetsthemselvesexistinthemarket,andtheintangibleassetswillbeusedinternally,whichcanprovetheirusefulness;
D.Havesufficienttechnical,financialandotherresourcesupporttocompletethedevelopmentoftheintangibleasset,andhavetheabilitytouseorselltheintangibleasset;E.Theexpenditureattributabletothedevelopmentstageoftheintangibleassetcanbereliablymeasured.
23.Assetsimpairment
TheGroupusesthecostmodetocontinuemeasuringtheassetsimpairmenttoinvestmentrealestate,fixedassetsconstructioninprogress,intangibleassetsandgoodwill(exceptfortheinventories,investmentrealestatemeasuredbythefairvaluemode,deferredincometaxassetsandfinancialassets).Themethodisdeterminedasfollows:
TheCompanyjudgeswhetherthereisasignofimpairmenttoassetsonthebalancesheetday.Ifsuchsignexists,theCompanyestimatestherecoverableamountandconductstheimpairmenttest.Impairmenttestisconductedannuallyforgoodwillgeneratedbymergersandintangibleassetsthathavenotreachedtheusefulconditionnomatterwhethertheimpairmentsignexists.
Therecoverableamountisdeterminedbythehigherofthenetoffairvalueminusdisposalexpenseandthepresentvalueofthepredictedfuturecashflow.TheCompanyestimatestherecoverableamountontheindividualassetitembasis;whetheritishardtoestimatetherecoverableamountontheindividualassetitembasis,determinetherecoverableamountbasedontheassetgroupthattheassetsbelongto.TheassetsgroupisdeterminedbywhetherthemaincashflowgeneratedbytheGroupisindependentfromthosegeneratedbyotherassetsorassetsgroups.
Whentherecoverableamountoftheassetsorassetsgroupislowerthanitsbookvalue,theCompanywritesdownthebookvaluetotherecoverableamount,thewrite-downamountisaccountedintothecurrentincomeaccountandtheassetsimpairmentprovisionismade.
Forgoodwillimpairmenttest,thebookvalueofgoodwillgeneratedbymergersisamortizedthroughreasonablemeasuressincethepurchasedaytorelatedassetgroups;thosecannotbeamortizedtorelatedassetsgroupsareamortizedtorelatedcombinationofassetgroups.TherelatedassetgroupsorcombinationofassetgroupsrefertothosethatcanbenefitfromthesynergisticeffectofmergersandmustnotexceedtothereportingrangedeterminedbytheCompany.
Whentheimpairmenttestisconducted,ifthereissignofimpairmenttotheassetgrouporcombinationofassetgroupsrelatedtogoodwill,firstperformimpairtestforassetgrouporcombinationofassetgroupswithoutgoodwillandcalculatetherecoverableamountandrecognizetherelatedimpairmentloss.Thenconductimpairmenttestonthosewithgoodwill,comparethebookvaluewithrecoverableamount.Iftherecoverableamountislowerthanthebookvalue,recognizetheimpairmentlossofthegoodwill.
Oncerecognized,theassetimpairmentlosscannotbewrittenbackinsubsequentaccountingperiod.
24.Long-termamortizableexpenses
Thelong-termdeferredexpensesshallbeusedtocalculatetheexpensesthathaveoccurredbutshouldbebornebytheCompanyinthecurrentandsubsequentperiodswithaamortizationperiodofmorethanoneyear.TheCompany'slong-termdeferredexpensesareamortizedaveragelyduringthebenefitperiod.
25.Contractliabilities
Fordetails,pleasereferto15.ContractassetsinV.Importantaccountingpoliciesandaccountingestimatesinthissection.
26.Staffremuneration
(1)Accountingofoperationalleasing
①Basicsalaryofemployees(salary,bonus,allowance,subsidy)
Intheaccountingperiodforwhichthestaffandworkersprovideservices,theCompanyshallconfirmtheactualshort-termremunerationasliabilitiesandshallaccountforthecurrentincomeandloss,exceptasrequiredorpermittedbyotheraccountingstandards.
②Employeewelfare
TheemployeebenefitsincurredbytheCompanyshallbeincludedinthecurrentprofitandlossorrelatedassetcostsaccordingtotheactualamountincurred.Wheretheemployee'sbenefitisnon-monetary,itshallbemeasuredonthebasisoffairvalue.
③Socialinsurancepremiumsandhousingaccumulationfundssuchashealthinsurancepremiums,workinjurypremiums,birthinsurancepremiums,tradeunionfundsandstaffandeducationfunds
TheCompanypaysthemedicalinsurancepremiums,workinjuryinsurancepremiums,birthinsurancepremiums,etc.socialinsurancepremiumsandhousingaccumulationfundsforthestaffandworkers,aswellastheunionfundsandthestaffandworkerseducationfundsaccordingtotheregulations,intheaccountingperiodforwhichthestaffandworkersprovideservices,thecorrespondingsalaryamountofthestaffandworkers,andconfirmsthecorrespondingliabilities,whichareincludedinthecurrentprofitandlossorrelatedassetcosts.
④Short-termpaidleave
TheCompanyaccumulatesthesalaryoftheemployeeswhoareabsentfromworkwithpaywhentheemployeesprovideservice,thusincreasingtheirfuturerightofabsencewithpay.TheCompanyconfirmsthesalaryoftheemployeerelatedtotheabsenceofnon-cumulativesalaryduringtheactualabsenceaccountingperiod.
⑤Short-termprofitshareprogram
Iftheprofit-sharingplanmeetsthefollowingconditionsatthesametime,theCompanyshallconfirmthesalarypayabletothestaffandworkers:
A.Thelegalorpresumptiveobligationoftheenterprisetopaytheremunerationofitsemployeesasaresultofpastmatters;
B.Theamountofemployeecompensationobligationsduetotheprofitsharingplancanbereliablyestimated.
(2)Accountingofpost-employmentwelfare
TheCompany'spost-employmentbenefitplanisdefinedcontributionplan.Definedcontributionplansincludebasicendowmentinsurance,unemploymentinsurance,etc.Duringtheaccountingperiodwhenemployeesprovideservicesforthem,theCompanyshallrecognizethedepositamountcalculatedaccordingtothedefineddepositplanasliabilitiesandincludeitinthecurrentprofitsandlossesorrelatedassetcosts.
(3)Accountingofdismisswelfare
IftheCompanyprovidesterminationbenefitstoemployees,theemployeecompensationliabilitiesarisingfromtheterminationbenefitsshallberecognizedattheearliestofthefollowingtwoandshallbeincludedinthecurrentprofitandloss:
①Anenterprisemaynotunilaterallywithdrawtheresignationbenefitsprovidedforbythedismissalplanorreductionproposal;
②Whentheenterpriserecognizesthecostsorexpensesrelatedtothereorganizationinvolvingthepaymentofresignationbenefits.
27.Anticipatedliabilities
(1)Recognitionstandardsofanticipatedliabilities
Whenresponsibilitiesoccurredinconnectiontocontingentissues,andallofthefollowingconditionsaresatisfied,theyarerecognizedasexpectableliabilityinthebalancesheet:
①ThisresponsibilityisacurrentresponsibilityundertakenbytheCompany;
②ExecutionofthisresponsibilitymaycausefinancialbenefitoutflowfromtheCompany;
③Amountoftheliabilitycanbereliablymeasured.
(2)MeasurementofanticipatedliabilitiesExpectedliabilitiesareinitiallymeasuredatthebestestimationontheexpensestoexercisethecurrentresponsibility,andwithconsiderationstotherelativerisks,uncertainty,andperiodicvalueofcurrency.Oneachbalancesheetdate,reviewthebookvalueoftheestimatedliabilities.Wherethereisconclusiveevidencethatthebookvaluedoesnotreflectthecurrentbestestimate,thebookvalueisadjustedtothecurrentbestestimate.
28.Revenue
(1)GeneralprinciplesIncomeisthetotalinflowofeconomicbenefitsformedinthedailyactivitiesoftheCompany,whichwillleadtotheincreaseofshareholders'equityandhasnothingtodowiththecapitalinvestedbyshareholders.
TheCompanyhasfulfilledtheperformanceobligationinthecontract,thatis,therevenueisrecognizedwhenthecustomerobtainsthecontrolrightofrelevantgoods.Toobtainthecontrolrightoftherelevantcommoditymeanstobeabletodominatetheuseofthecommodityandobtainalmostalltheeconomicbenefitsfromit.
Iftherearetwoormoreperformanceobligationsinthecontract,theCompanywillallocatethetransactionpricetoeachsingleperformanceobligationaccordingtotherelativeproportionoftheseparatesellingpriceofthegoodsorservicespromisedbyeachsingleperformanceobligationonthestartdateofthecontract,andmeasuretheincomeaccordingtothetransactionpriceallocatedtoeachsingleperformanceobligation.
ThetransactionpricereferstotheamountofconsiderationthattheCompanyisexpectedtobeentitledtoreceiveduetothetransferofgoodsorservicestocustomers,excludingtheamountcollectedonbehalfofathirdparty.Whendeterminingthecontracttransactionprice,ifthereisavariableconsideration,theCompanyshalldeterminethebestestimateofthevariableconsiderationaccordingtotheexpectedvalueorthemostlikelyamount,andincludeitinthetransactionpricewiththeamountnotexceedingtheaccumulatedrecognizedincomewhentherelevantuncertaintyiseliminated,whichismostlikelynottohaveasignificantreversal.Ifthereisasignificantfinancingcomponentinthecontract,theCompanywilldeterminethetransactionpriceaccordingtotheamountpayableincashwhenthecustomerobtainsthecontrolrightofthecommodity.Thedifferencebetweenthetransactionpriceandthecontractconsiderationwillbeamortisedbytheeffectiveinterestmethodduringthecontractperiod.If
theintervalbetweenthecontrolrighttransferandthecustomer'spaymentislessthanoneyear,theCompanywillnotconsiderthefinancingcomponentPoints.Ifoneofthefollowingconditionsismet,theperformanceobligationshallbeperformedwithinacertainperiodoftime;otherwise,theperformanceobligationshallbeperformedatacertainpointoftime:
①WhenthecustomerperformsthecontractintheCompany,heobtainsandconsumestheeconomicbenefitsbroughtbytheCompany'sperformance;
②Customerscancontrolthegoodsunderconstructionduringtheperformanceofthecontract;
③ThegoodsproducedbytheCompanyintheprocessofperformancehaveirreplaceableuses,andtheCompanyhastherighttocollectmoneyfortheperformancepartthathasbeencompletedsofarduringthewholecontractperiod.
Fortheperformanceobligationsperformedwithinacertainperiodoftime,theCompanyshallrecognizetherevenueaccordingtotheperformanceprogresswithinthatperiod,exceptthattheperformanceprogresscannotbereasonablydetermined.TheCompanydeterminestheprogressofperformancefortheprovisionofservicesonthebasisoftheinput(oroutput)method.Whentheprogressofperformancecannotbereasonablydetermined,ifthecostincurredbytheCompanyisexpectedtobecompensated,therevenueshallberecognizedaccordingtotheamountofcostincurreduntiltheprogressofperformancecanbereasonablydetermined.
Fortheperformanceobligationperformedatacertaintimepoint,theCompanyrecognizestherevenueatthetimepointwhenthecustomerobtainsthecontrolrightofrelevantgoods.Indeterminingwhetheracustomerhasacquiredcontrolofgoodsorservices,theCompanywillconsiderthefollowingsigns:
①TheCompanyhastherighttoreceivepaymentforthegoodsorservices,thatis,thecustomerhastheobligationtopayforthegoods;
②TheCompanyhastransferredthelegalownershipofthegoodstothecustomer,thatis,thecustomerhasthelegalownershipofthegoods;
③TheCompanyhastransferredthegoodsinkindtothecustomer,thatis,thecustomerhaspossessedthegoodsinkind;
④TheCompanyhastransferredthemainrisksandrewardsoftheownershipofthegoodstothecustomer,thatis,thecustomerhasobtainedthemainrisksandrewardsoftheownershipofthegoods;
⑤Theproducthasbeenacceptedbythecustomer.
Salesreturnclause
Forthesaleswithsalesreturnclauses,whenthecustomerobtainsthecontrolrightoftherelevantgoods,theCompanyshallrecognizetherevenueaccordingtotheamountofconsiderationitisentitledtoobtainduetothetransferofthegoodstothecustomer,andrecognizetheamountexpectedtobereturnedduetothesalesreturnastheestimatedliability;atthesametime,theCompanyshalldeducttheestimatedcostofrecoveringthegoodsaccordingtothebookvalueoftheexpectedreturnedgoodsatthetimeoftransfer(Thebalanceafterdeductingthevalueofthereturnedgoodsisrecognizedasanasset,thatis,thecostofreturnreceivable,whichiscarriedforwardbydeductingthenetcostoftheaboveassetsaccordingtothebookvalueofthetransferredgoodsatthetimeoftransfer.Oneachbalancesheetdate,theCompanyreestimatesthereturnoffuturesalesandremeasurestheaboveassetsandliabilities.
Warrantyobligations
Accordingtothecontractandlegalprovisions,theCompanyprovidesqualityassuranceforthegoodssoldandtheprojectsconstructed.Fortheguaranteequalityassurancetoensurethatthegoodssoldmeettheestablishedstandards,theCompanyconductsaccountingtreatmentinaccordancewiththeaccountingstandardsforBusinessEnterprisesNo.13-contingencies.Fortheservicequalityassurancewhichprovidesaseparateserviceinadditiontoguaranteeingthatthegoodssoldmeettheestablishedstandards,theCompanytakesitasasingleperformanceobligation,allocatespartofthetransactionpricetotheservicequalityassuranceaccordingtotherelativeproportionoftheseparatesellingpriceofthegoodsandservicequalityassurance,andrecognizestherevenuewhenthecustomerobtainstheservicecontrolright.Whenevaluatingwhetherthequalityassuranceprovidesaseparateserviceinadditiontoassuringcustomersthatthegoodssoldmeettheestablishedstandards,theCompanyconsiderswhetherthequalityassuranceisastatutoryrequirement,thequalityassuranceperiod,andthenatureoftheCompany'scommitmenttoperformthetask.
Customerconsiderationpayable
Ifthereisconsiderationpayabletothecustomerinthecontract,unlesstheconsiderationistoobtainotherclearlydistinguishablegoodsorservicesfromthecustomer,theCompanywilloffsetthetransactionpricewiththeconsiderationpayable,andoffsetthecurrentincomeatthelatertimeofconfirmingtherelevantincomeorpaying(orpromisingtopay)thecustomer'sconsideration.
Contractualrightsnotexercisedbycustomers
IftheCompanyadvancessalesofgoodsorservicestocustomers,theamountshallberecognizedasliabilitiesfirst,andthenconvertedintoincomewhenrelevantperformanceobligationsarefulfilled.WhentheCompanydoesnotneedtoreturntheadvancepaymentandthecustomermaygiveupallorpartofthecontractrights,iftheCompanyexpectstohavetherighttoobtain
theamountrelatedtothecontractrightsgivenupbythecustomer,theaboveamountshallberecognizedasincomeinproportionaccordingtothemodeofthecustomerexercisingthecontractrights;otherwise,theCompanyonlyhastheverylowpossibilityofthecustomerrequiringtoperformtheremainingperformanceobligationsTherelevantbalanceoftheaboveliabilitiesisconvertedintoincome.
ContractchangeWhentheconstructioncontractbetweentheCompanyandthecustomerischanged:
①Ifthecontractchangeincreasestheclearlydistinguishableconstructionserviceandcontractprice,andthenewcontractpricereflectstheseparatepriceofthenewconstructionservice,theCompanywilltreatthecontractchangeasaseparatecontractforaccounting;
②Ifthecontractchangedoesnotbelongtotheabove-mentionedsituation(1),andthereisacleardistinctionbetweenthetransferredconstructionserviceandthenontransferredconstructionserviceonthedateofcontractchange,theCompanywillregarditastheterminationoftheoriginalcontract,andatthesametime,combinethenonperformancepartoftheoriginalcontractandthecontractchangepartintoanewcontractforaccountingtreatment;
③Ifthecontractchangedoesnotbelongtotheabovesituation(1),andthereisnocleardistinctionbetweenthetransferredconstructionservicesandthenontransferredconstructionservicesonthedateofcontractchange,theCompanywilltakethecontractchangepartasanintegralpartoftheoriginalcontractforaccountingtreatment,andtheresultingimpactontherecognizedincomewillbeadjustedtothecurrentincomeonthedateofcontractchange.
(2)ThespecificmethodsofrevenuerecognitionoftheCompanyareasfollows:
①Commoditysalescontract
Thecommoditysalescontractbetweenthecompanyandthecustomerincludestheperformanceobligationoftransferringcurtainwallmaterials,screendoormaterials,electricenergy,etc.,whichbelongstotheperformanceobligationatacertaintimepoint.
Revenuefromdomesticsalesofproductsisrecognizedatthetimewhenthecustomerobtainstherightofcontrolofthegoodsonthebasisofcomprehensiveconsiderationofthefollowingfactors:theCcompanyhasdeliveredtheproductstothecustomeraccordingtothecontract,thecustomerhasacceptedthegoods,thepaymentforgoodshasbeenrecoveredorthereceipthasbeenobtained,andtherelevanteconomicbenefitsarelikelytoflowin,themainrisksandrewardsoftheownershipofthegoodshavebeentransferred,thelegalownershiphasbeentransferred;
Thefollowingconditionsshouldbemetfortherecognitionofexportproductrevenue:theCompanyhasdeclaredtheproductaccordingtothecontract,obtainedthebilloflading,collectedthepaymentforgoodsorobtainedthereceiptcertificate,andtherelevanteconomicbenefitsarelikelytoflowin,themainrisksandrewardsoftheownershipofgoodshavebeentransferred,andthelegalownershipofgoodshasbeentransferred.
②Servicecontract
TheservicecontractbetweentheCompanyanditscustomersincludestheperformanceobligationsofmetroplatformscreendooroperationmaintenance,curtainwallmaintenanceandpropertyservices.AstheCompany'sperformanceatthesametime,thecustomersobtainandconsumetheeconomicbenefitsbroughtbytheCompany'sperformance,theCompanytakesitastheperformanceobligationwithinacertainperiodoftimeandallocatesitequallyduringtheserviceprovisionperiod.
③Engineeringcontract
TheprojectcontractbetweentheCompanyandthecustomerincludestheperformanceobligationsofcurtainwallprojectandmetroplatformscreendoorprojectconstruction.AsthecustomercancontrolthegoodsunderconstructionintheprocessoftheCompany'sperformance,theCompanytakesthemastheperformanceobligationswithinacertainperiodoftime,andrecognizestheincomeaccordingtotheperformanceprogress,exceptthattheperformanceprogresscannotbereasonablydetermined.TheCompanydeterminestheperformancescheduleofprovidingconstructionservicesaccordingtotheinputmethod.Theperformancescheduleshallbedeterminedaccordingtotheproportionoftheactualcontractcosttotheestimatedtotalcontractcost.
④Realestatesalescontract
TheincomeoftheCompany'srealestatedevelopmentbusinessisrecognizedwhenthecontrolofthepropertyistransferredtothecustomer.TheincomeisrecognizedwhenthecustomerobtainsthephysicalownershiporlegalownershipofthecompletedpropertyandtheCompanyhasobtainedthecurrentrightofcollectionandislikelytorecovertheconsideration.Whenconfirmingthecontracttransactionprice,ifthefinancingcomponentissignificant,theCompanywilladjustthecontractcommitmentconsiderationaccordingtothefinancingcomponentofthecontract.
(3)Adoptionofdifferentbusinessmodelsforthesametypeofbusinessinvolvingdifferentrevenuerecognitionandmeasurementmethods
Thereisnodifferenceinrevenuerecognitionduetotheadoptionofdifferentaccountingpoliciesforsimilarbusinesses.
29.ContractcostsContractcostisdividedintocontractperformancecostandcontractacquisitioncost.ThecostincurredbytheCompanyinperformingthecontractshallberecognizedasanassetwhenthefollowingconditionsaremetsimultaneously:
Thecostisdirectlyrelatedtoacurrentorexpectedcontract,includingdirectlabor,directmaterials,manufacturingexpenses(orsimilarexpenses),clearlybornebythecustomer,andothercostsincurredonlyduetothecontract;②ThiscostincreasestheCompany'sfutureresourcesforfulfillingitsperformanceobligations.③Thecostisexpectedtoberecovered.IftheincrementalcostincurredbytheCompanytoobtainthecontractisexpectedtoberecovered,itshallberecognizedasanassetasthecontractacquisitioncost.Theassetsrelatedtothecontractcostshallbeamortisedonthesamebasisastheincomefromgoodsorservicesrelatedtotheassets;however,iftheamortizationperiodofthecontractacquisitioncostislessthanoneyear,theCompanyshallincludeitinthecurrentprofitandlosswhenitoccurs.Ifthebookvalueoftheassetsrelatedtothecontractcostishigherthanthedifferencebetweenthefollowingtwoitems,theCompanywillmakeprovisionforimpairmentfortheexcesspartandrecognizeitasthelossofassetimpairment,andfurtherconsiderwhethertheestimatedliabilitiesrelatedtothelosscontractshouldbemade:
①Theresidualconsiderationexpectedtobeobtainedduetothetransferofgoodsorservicesrelatedtotheasset;
②Theestimatedcosttobeincurredforthetransferoftherelevantgoodsorservices.
Iftheaboveprovisionforimpairmentofassetsissubsequentlyreversed,thebookvalueoftheassetafterreversalshallnotexceedthebookvalueoftheassetonthereversaldatewithoutprovisionforimpairment.
Thecontractperformancecostrecognizedasanassetwithanamortizationperiodofnomorethanoneyearoronenormalbusinesscycleatthetimeofinitialrecognitionshallbelistedinthe"inventory"item,andtheamortizationperiodofnomorethanoneyearoronenormalbusinesscycleatthetimeofinitialrecognitionshallbelistedinthe"othernoncurrentassets"item.
Thecontractacquisitioncostrecognizedasanassetshallbelistedintheitemof"othercurrentassets"whentheamortizationperioddoesnotexceedoneyearoronenormalbusinesscycleatthetimeofinitialrecognition,andlistedintheitem
of"othernoncurrentassets"whentheamortizationperiodexceedsoneyearoronenormalbusinesscycleatthetimeofinitialrecognition.
30.Governmentsubsidy
(1)GovernmentsubsidyGovernmentsubsidiesarerecognizedwhenthefollowingconditionsaremet:
①Requirementsattachedtogovernmentsubsidies;②TheCompanycanreceivegovernmentsubsidies.
(2)GovernmentsubsidyWhenagovernmentsubsidyismonetarycapital,itismeasuredatthereceivedorreceivableamount.Nonemonetarycapitalaremeasuredatfairvalue;ifnoreliablefairvalueavailable,recognizedatRMB1.
(3)Recognitionofgovernmentsubsidies①Assets-relatedGovernmentsubsidiesrelatedtoassetsareobtainedbytheCompanytopurchase,buildorformulateinothermannerslong-termassets;orsubsidiesrelatedtobenefits.Iftheasset-relatedgovernmentsubsidyisrecognizedasdeferredgain,shouldberecordedingainandlossintheservicelife.Governmentsubsidymeasuredatthenominalamountisaccountedintocurrentincomeaccount.Iftherelevantassetsaresold,transferred,scrappedordamagedbeforetheendoftheirusefullife,theunallocatedrelevantdeferredincomebalanceshallbetransferredtotheprofitandlossofthecurrentperiodofdispositionoftheassets.
Gain-relatedgovernmentsubsidyshouldbeaccountedasfollows:
TheCompanydividesgovernmentsubsidiesintoassets-relatedandearnings-relatedgovernmentsubsidies.Gain-relatedgovernmentsubsidyshouldbeaccountedasfollows:
Subsidythatwillbeusedtocompensaterelatedfuturecostsorlossesshouldberecognizedasdeferredgainandrecordedinthegainandlossofthecurrentreportandoffsetrelatedcost;
Subsidythatisusedtocompensateexistingcostorlossshouldberecordedinthegainandlossofthecurrentperiodoroffsetrelatedcost.
Forgovernmentsubsidiesthatincludebothasset-relatedandincome-relatedparts,separatedifferentpartsforaccountingtreatment;Itisdifficulttodistinguishbetweentheoverallclassificationofgovernmentsubsidiesrelatedtobenefits.Governmentsubsidyrelatedtoroutineoperationsshouldberecordedinothergainsoroffsetrelatedcost.Governmentsubsidynotrelatedtoroutineoperationsshouldberecordedinnon-operatingincomeorexpense.
③Policypreferentialloandiscount
Thepolicy-basedpreferentialloanobtainedhasinterestsubsidy.Ifthegovernmentallocatestheinterest-subsidyfundstothelendingbank,theloanamountactuallyreceivedwillbeusedastheentryvalueoftheloan,andtheborrowingcostwillbecalculatedbasedontheloanprincipalandpolicy-basedpreferentialinterestrate.
Ifthegovernmentallocatestheinterest-bearingfundsdirectlytotheGroup,discountinterestwilloffsettheborrowingcosts.
④Governmentsubsidyrefund
Whenaconfirmedgovernmentsubsidyneedstobereturned,thebookvalueoftheassetisadjustedagainstthebookvalueoftherelevantassetatinitialrecognition.Ifthereisarelateddeferredincomebalance,thebookbalanceoftherelateddeferredincomeiswrittenoffandtheexcessiscreditedtothecurrentprofitorloss;Inothercases,itisdirectlyincludedinthecurrentprofitandloss.
31.Differedincometaxassetsanddifferedincometaxliabilities
TheCompanyusesthetemporarydifferencebetweenthebookvalueoftheassetsandliabilitiesonthebalancesheetdayandthetaxbaseandtheliabilitiesmethodtorecognizethedeferredincometax.26.Deferredincometaxassetsanddeferredincometaxliabilities
(1)Deferredincometaxassets
Fordeductibletemporarydiscrepancies,deductiblelossesandtaxoffsetsthatcanbecarriedforwardforfutureyears,theimpactonincometaxiscalculatedattheestimatedincometaxrateforthetransfer-backperiodandtheimpactisrecognizedasdeferredincometaxassets,providedthattheCompanyislikelytoobtainfuturetaxableincomefordeductibletemporarydiscrepancies,deductiblelossesandtaxoffsets.
Atthesametime,theimpactonincometaxofdeductibletemporarydiscrepanciesresultingfromtheinitialrecognitionofassetsorliabilitiesintransactionsormatterswiththefollowingcharacteristicsisinconclusiveasdeferredincometaxassets:
A.Thetransactionisnotabusinesscombination;
B.thetransactionisnotamergerandthetransactiondoesnotaffecttheaccountingprofitortaxableproceeds;However,forindividualtransactionsthatsimultaneouslymeettheabovetwoconditionsandresultinequaltaxabletemporarydifferencesanddeductibletemporarydifferencesuponinitialrecognitionofassetsandliabilities,theexemptionfrominitialrecognitionofdeferredtaxliabilitiesanddeferredtaxassetsdoesnotapply.Fortaxabletemporarydifferencesanddeductibletemporarydifferencesarisingfromtheinitialrecognitionofassetsandliabilitiesinsuchtransactions,theCompanyrecognizesthecorrespondingdeferredtaxliabilitiesanddeferredtaxassetsatthetimeofthetransaction.Intheeventoftemporarydiscrepancyofdeductibleinvestmentrelatedtosubsidiaries,jointventuresandjointventures,andmeetingthefollowingtwoconditions,theamountofimpact(talent)onincometaxshallbedeemedasdeferredincometaxassets:
A.Temporarydiscrepanciesarelikelytobereversedintheforeseeablefuture;B.Inthefuture,itislikelytoobtaintaxableincomethatcanbeusedtooffsetthedeductibletemporarydifferences;Onthebalancesheetdate,ifthereisconclusiveevidencethatsufficienttaxableincomeislikelytobeobtainedinthefuturetooffsetthedeductibletemporarydifferences,thedeferredincometaxassetsthathavenotbeenrecognizedinthepreviousperiodarerecognized.
Onthebalancesheetday,theCompanyre-examinesthebookvalueofthedeferredincometaxassets.Ifitisunlikelytohaveadequatetaxableproceedstoreducethebenefitsofthedeferredincometaxassets,lessthedeferredincometaxassets'bookvalue.Whenthereisadequatetaxableproceeds,thelessenedamountwillbereversed.
(2)Deferredincometaxassets
AllprovisionaldifferencesintaxableincomeoftheCompanyshallbemeasuredonthebasisoftheestimatedincometaxratefortheperiodoftransfer-backandshallberecognizedasdeferredincometaxliabilities,exceptthat:
Atthesametime,theimpactonincometaxofdeductibletemporarydiscrepanciesresultingtheinitialrecognitionofassetsorliabilitiesintransactionsormatterswiththefollowingcharacteristicsisinconclusiveasdeferredincometaxLiabilities:
A.Initialrecognitionofgoodwill;
B.Initialrecognitionofgoodwill,orofassetsorliabilitiesgeneratedintransactionswiththefollowingfeatures:thetransactionisnotamergerandthetransactiondoesnotaffecttheaccountingprofitortaxableproceeds;
②Intheeventoftemporarydiscrepancyofdeductibleinvestmentrelatedtosubsidiaries,Jointventurejointventures,andmeetingthetwoconditions,theamountofimpact(talent)onincometaxshallbedeemedasdeferredincometaxassets:
A.TheCompanyisabletocontrolthetimeoftemporarydiscrepancytransfers;BTemporarydiscrepanciesarelikelytobereversedintheforeseeablefuture;
(3)Deferredincometaxassets
(1)DeferredincometaxliabilitiesorassetsassociatedwithenterpriseconsolidationTemporarydifferenceoftaxabletaxordeductibletemporarydifferencegeneratedbyenterprisemergerundernon-samecontrol.Whendeferredincometaxliabilityordeferredincometaxassetisrecognized,relateddeferredincometaxexpense(orincome)isusuallyadjustedasrecognizedgoodwillinenterprisemerger.
②Amountofsharespaidandaccountedasowners'equityExceptfortheadjustmentgoodwillgeneratedbymergersordeferredincometaxrelatedtotransactionsoreventsdirectlyaccountedintotheowners'equity,incometaxisaccountedasincometaxexpenseintothecurrentgain/lossaccount.Theeffectsoftemporarydiscrepancyonincometaxincludethefollowing:Otherintegratedbenefitssuchasfairvaluechangeoffinancialassetsavailableforsale,retroactiveadjustmentofaccountingpolicychangesorretroactiverestatementofaccountingerrorcorrectiondiscrepancytoadjusttheinitialretainedincome,andmixedfinancialinstrumentsincludingliabilitiesandequity.
③CompensationforlossesandtaxdeductionsA.CompensablelossesandtaxdeductionsfromtheCompany'sownoperationsDeductiblelossesrefertothelossescalculatedanddeterminedinaccordancewiththeprovisionsofthetaxlawthatareallowedtobemadeupwiththetaxableincomeofsubsequentyears.Theuncoveredlosses(deductiblelosses)andtaxdeductionsthatcanbecarriedforwardinaccordancewiththetaxlawaretreatedasdeductibletemporarydifferences.Whenitisexpectedthatsufficienttaxableincomeislikelytobeobtainedinthefutureperiodwhenitisexpectedtobeavailabletomakeupforlossesortaxdeductions,thecorrespondingdeferredincometaxassetsarerecognizedwithinthelimitofthetaxableincomethatislikelytobeobtained,whilereducingthecurrentperiodIncometaxexpenseintheincomestatement.B.CompensableuncoveredlossesofthemergedcompanyduetobusinessmergerInabusinesscombination,iftheCompanyobtainsthedeductibletemporarydifferenceofthepurchasedpartyanddoesnotmeetthedeferredincometaxassetrecognitionconditionsonthepurchasedate,itshallnotberecognized.Within12monthsafterthepurchasedate,ifneworfurtherinformationisobtainedindicatingthattherelevantconditionsonthepurchasedatealreadyexist,andtheeconomicbenefitsbroughtaboutbythetemporarydifferenceareexpectedtobedeductedonthepurchasedate,confirmtherelevantdelivery.Deferredincometaxassets,whilereducinggoodwill,ifthegoodwillisnotenoughtooffset,the
differenceisrecognizedasthecurrentprofitandloss;exceptfortheabovecircumstances,thedeferredtaxassetsrelatedtothebusinesscombinationarerecognizedandincludedinthecurrentprofitandloss.
④TemporarydifferencecausedbymergeroffsetIfthereisatemporarydifferencebetweenthebookvalueofassetsandliabilitiesintheconsolidatedbalancesheetandthetaxablebasisofthetaxpayerduetotheoffsetoftheunrealizedinternalsalesgainorloss,thedeferredincometaxassetorthedeferredincometaxliabilityisconfirmedintheconsolidatedbalancesheet,andtheincometaxexpenseintheconsolidatedprofitstatementisadjusted,withtheexceptionofthedeferredincometaxrelatedtothetransactionoreventdirectlyincludedintheowner'sequityandthemergeroftheenterprise.
⑤SharepaymentsettledbyequityIfthetaxlawprovidesforallowablepre-taxdeductionofexpensesrelatedtosharepayment,withintheperiodforwhichthecostandexpensearerecognizedinaccordancewiththeaccountingstandards,theCompanyshallcalculatethetaxbasisandtemporarydiscrepancybasedontheestimatedpre-taxdeductionamountattheendoftheaccountingperiodandconfirmtherelevantdeferredincometaxifitmeetstheconditionsforconfirmation.Ofthese,theamountthatcanbedeductedbeforetaxinthefutureexceedsthecostrelatedtosharepaymentrecognizedinaccordancewiththeaccountingstandards,andtheexcessincometaxshallbedirectlyincludedintheowner'sequity.
⑥DividendsrelatedtofinancialinstrumentsclassifiedasequityinstrumentsForfinancialinstrumentsclassifiedasequityinstrumentswheretheCompanyistheissuer,anydividendexpenditurethatisdeductibleforcorporateincometaxpurposesaccordingtotaxpolicyisrecognizedforitsincometaximpactwhenthedividendspayablearerecognized.Ifthedistributedprofitsoriginatefromtransactionsoreventspreviouslyaffectingprofitorloss,theincometaximpactofsuchdividendsisincludedinthecurrentprofitorloss.Ifthedistributedprofitsoriginatefromtransactionsoreventspreviouslyrecognizedinequity,theincometaximpactofsuchdividendsisincludedinequityitems.
(4)BasisforpresentationofdeferredtaxassetsanddeferredtaxliabilitiesonanetbasisThedeferredincometaxassetsanddeferredincometaxliabilitiesofthecompanyarepresentedasanetamountafteroffsettingwhenthefollowingconditionsaremetsimultaneously:
TheCompanyhasalegalrighttooffsetcurrentincometaxassetsandcurrentincometaxliabilitiesonanetbasis.Thedeferredincometaxassetsanddeferredincometaxliabilitiesarerelatedtoincometaxesleviedbythesametaxauthorityonthesametaxableentity,orarerelatedtoincometaxesleviedbydifferenttaxauthoritiesbutthesignificantdeferred
incometaxassetsanddeferredincometaxliabilitieswillbesettledonanetbasisforcurrentincometaxesorsimultaneousacquisitionofassetsandsettlementofliabilitieswithineachfutureperiodinwhichtherelatedtaxableentityintendstosettlethecurrentincometaxassetsandliabilitiesonanetbasis.
32.Leasing
(1)IdentificationofleaseOnthecommencementdateofthecontract,thecompanyevaluateswhetherthecontractisaleaseorincludesalease.Ifonepartyinthecontracttransferstherighttocontroltheuseofoneormoreidentifiedassetswithinacertainperiodinexchangeforconsideration,thecontractisaleaseorincludesalease.Inordertodeterminewhetherthecontracttransferstherighttocontroltheuseoftheidentifiedassetswithinacertainperiod,thecompanyevaluateswhetherthecustomersinthecontracthavetherighttoobtainalmostalltheeconomicbenefitsarisingfromtheuseoftheidentifiedassetsduringtheuseperiod,andhavetherighttodominatetheuseoftheidentifiedassetsduringtheuseperiod.
(2)SeparateidentificationofleaseIfthecontractincludesmultipleseparateleasesatthesametime,thecompanywillsplitthecontractandconductaccountingtreatmentforeachseparatelease.Ifthefollowingconditionsaremetatthesametime,therighttousetheidentifiedassetconstitutesaseparateleaseinthecontract:
①thelesseecanprofitfromusingtheassetaloneortogetherwithothereasilyavailableresources;②Theassetisnothighlydependentorhighlyrelatedtootherassetsinthecontract.
(3)AccountingtreatmentmethodoftheCompanyaslesseeOnthebeginningdateoftheleaseterm,theCompanyrecognizestheleasewithaleasetermofnomorethan12monthsandexcludingthepurchaseoptionasashort-termlease;Whenasingleleasedassetisabrand-newasset,theleasewithlowervalueisrecognizedasalowvalueassetlease.IftheCompanysubletsorexpectstosublettheleasedassets,theoriginalleaseisnotrecognizedasalowvalueassetlease.Forallshort-termleasesandlowvalueassetleases,theCompanywillrecordtheleasepaymentamountintotherelevantassetcostorcurrentprofitandlossaccordingtothestraight-linemethod(orothersystematicandreasonablemethods)ineachperiodoftheleaseterm.Inadditiontotheaboveshort-termleasesandlowvalueassetleaseswithsimplifiedtreatment,theCompanyrecognizestherighttouseassetsandleaseliabilitiesfortheleaseonthebeginningdateoftheleaseterm.
①Userightassets
Theterm"righttouseassets"referstotherightofthelesseetousetheleasedassetsduringtheleaseterm.Atthebeginningoftheleaseterm,therightofuseassetsareinitiallymeasuredatcost.Thiscostincludes:
?Theinitialmeasurementamountofleaseliabilities;?Fortheleasepaymentpaidonorbeforethebeginningoftheleaseterm,ifthereisleaseincentive,therelevantamountofleaseincentiveenjoyedshallbededucted;?Initialdirectexpensesincurredbythelessee;?Theestimatedcostincurredbythelesseefordismantlingandremovingtheleasedassets,restoringthesitewherethe
leasedassetsarelocatedorrestoringtheleasedassetstothestateagreedintheleaseterms.TheCompanyrecognizesandmeasuresthecostinaccordancewiththerecognitionstandardsandmeasurementmethodsofestimatedliabilities.See27.EstimatedliabilitiesinV.importantaccountingpoliciesandaccountingestimatesfordetails.Iftheabovecostsareincurredfortheproductionofinventories,theywillbeincludedinthecostofinventories.Depreciationofrightofuseassetsisaccruedbyusingthestraight-linemethod.Ifitcanbereasonablydeterminedthattheownershipoftheleasedassetwillbeobtainedattheexpirationoftheleaseterm,thedepreciationrateshallbedeterminedaccordingtotheassetcategoryoftherighttouseandtheestimatednetresidualvalueratewithintheexpectedremainingservicelifeoftheleasedasset;Ifitisimpossibletoreasonablydeterminethattheownershipoftheleasedassetwillbeobtainedattheexpirationoftheleaseterm,thedepreciationrateshallbedeterminedaccordingtotheassetcategoryoftherightofusewithintheshorteroftheleasetermandtheremainingservicelifeoftheleasedasset.
②LeaseliabilitiesTheleaseliabilitiesareinitiallymeasuredCompanyshallaccordingtothepresentvalueoftheunpaidleasepaymentsatthebeginningoftheleaseterm.Theleasepaymentincludesthefollowingfiveitems:
?Fixedpaymentamountandsubstantialfixedpaymentamount.Ifthereisleaseincentive,therelevantamountofleaseincentiveshallbededucted;?Variableleasepaymentsdependingonindexorratio;?Theexercisepriceofthepurchaseoption,providedthatthelesseereasonablydeterminesthattheoptionwillbe
exercised;
?Theamounttobepaidforexercisingtheoptiontoterminatethelease,providedthattheleasetermreflectsthatthelessee
willexercisetheoptiontoterminatethelease;?Theamountexpectedtobepaidaccordingtotheresidualvalueoftheguaranteeprovidedbythelessee.
Whencalculatingthepresentvalueofleasepayments,theimplicitinterestrateoftheleaseisusedasthediscountrate.Iftheimplicitinterestrateoftheleasecannotbedetermined,theincrementalborrowinginterestrateofthecompanyisusedasthediscountrate.Thedifferencebetweentheleasepaymentamountanditspresentvalueisregardedasunrecognizedfinancingexpenses,andtheinterestexpensesarerecognizedaccordingtothediscountrateofthepresentvalueoftheleasepaymentamount
duringeachperiodoftheleasetermandincludedinthecurrentprofitandloss.Theamountofvariableleasepaymentsnotincludedinthemeasurementofleaseliabilitiesshallbeincludedinthecurrentprofitandlosswhenactuallyincurred.
Afterthebeginningdateoftheleaseterm,whentheactualfixedpaymentamountchanges,theexpectedpayableamountoftheguaranteedresidualvaluechanges,theindexorratiousedtodeterminetheleasepaymentamountchanges,theevaluationresultsoractualexerciseofthepurchaseoption,renewaloptionorterminationoptionchanges,theCompanyremeasurestheleaseliabilityaccordingtothepresentvalueofthechangedleasepaymentamount,Andadjustthebookvalueoftherighttouseassetsaccordingly.
(4)AccountingtreatmentmethodoftheCompanyaslessor
Ontheleasecommencementdate,theCompanyclassifiesleasesthathavesubstantiallytransferredalmostalltherisksandrewardsrelatedtotheownershipoftheleasedassetsasfinancialleases,andallotherleasesareoperatingleases.
①Operatinglease
Duringeachperiodoftheleaseterm,theCompanyrecognizestheleasereceiptsasrentalincomeaccordingtothestraight-linemethod(orothersystematicandreasonablemethods),andtheinitialdirectexpensesincurredarecapitalized,amortizedonthesamebasisastherecognitionofrentalincome,andincludedinthecurrentprofitandlossbystages.ThevariableleasepaymentsobtainedbytheCompanyrelatedtooperatingleasesthatarenotincludedintheleasereceiptsareincludedinthecurrentprofitsandlosseswhenactuallyincurred.
②Financelease
Ontheleasebeginningdate,theCompanyrecognizesthefinancialleasereceivablesaccordingtothenetamountoftheleaseinvestment(thesumoftheunsecuredresidualvalueandthepresentvalueoftheleasereceiptsnotreceivedontheleasebeginningdatediscountedaccordingtotheleaseembeddedinterestrate),andterminatestherecognitionofthefinancialleaseassets.Duringeachperiodoftheleaseterm,theCompanycalculatesandrecognizestheinterestincomeaccordingtotheinterestrateembeddedinthelease.
TheamountofvariableleasepaymentsobtainedbytheCompanythatarenotincludedinthemeasurementofnetleaseinvestmentshallbeincludedinthecurrentprofitandlosswhenactuallyincurred.
(5)Accountingtreatmentofleasechange
①Changeofleaseasaseparatelease
Iftheleasechangesandmeetsthefollowingconditionsatthesametime,theCompanywilltreattheleasechangeasaseparateleaseforaccounting:a.theleasechangeexpandstheleasescopebyincreasingtheuserightofoneormoreleasedassets;B.Theincreasedconsiderationisequivalenttotheamountadjustedaccordingtotheconditionsofthecontractattheseparatepriceformostoftheexpansionoftheleasescope.
②Theleasechangeisnottreatedasaseparatelease
A.TheCompanyaslessee
Ontheeffectivedateoftheleasechange,theCompanyreconfirmedtheleasetermanddiscountedthechangedleasepaymentatthereviseddiscountratetore-measuretheleaseliability.Whencalculatingthepresentvalueoftheleasepaymentafterthechange,theimplicitinterestrateoftheleaseduringtheremainingleaseperiodshallbeusedasthediscountrate;Ifitisimpossibletodeterminetheimplicitinterestrateoftheleasefortheremainingleaseperiod,theincrementalloaninterestrateontheeffectivedateoftheleasechangeshallbeusedasthediscountrate.
Theimpactoftheaboveleaseliabilityadjustmentshallbeaccountedforaccordingtothefollowingcircumstances:
?Iftheleasescopeisreducedortheleasetermisshortenedduetotheleasechange,thebookvalueoftherighttouseassetsshallbereduced,andtherelevantgainsorlossesofpartialorcompleteterminationoftheleaseshallbeincludedinthecurrentprofitsandlosses;?Forotherleasechanges,thebookvalueoftherighttouseassetsshallbeadjustedaccordingly.
TheCompanyasleasor
Iftheoperatingleaseischanged,theCompanywilltreatitasanewleaseforaccountingfromtheeffectivedateofthechange,andtheamountofleasereceiptsreceivedinadvanceorreceivablerelatedtotheleasebeforethechangeisregardedastheamountofnewleasereceipts.
Ifthechangeoffinancialleaseisnotaccountedforasaseparatelease,theCompanywilldealwiththechangedleaseunderthefollowingcircumstances:ifthechangeofleasetakeseffectontheleasecommencementdateandtheleasewillbeclassifiedasanoperatinglease,theCompanywillaccountforitasanewleasefromtheeffectivedateofleasechange,andtakethenetleaseinvestmentbeforetheeffectivedateofleasechangeasthebookvalueofleasedassets;Iftheleasechangetakeseffectontheleasecommencementdate,theleasewillbeclassifiedasafinanciallease,andtheCompanywillconductaccountingtreatmentinaccordancewiththeprovisionsonmodifyingorrenegotiatingthecontract.
(6)Saleandlease-back
TheCompanyassessesanddetermineswhethertheassettransferinthesaleandleasebacktransactionisasaleinaccordancewiththeprovisionsof28.IncomeinV,Importantaccountingpoliciesandaccountingestimates.
TheCompanyasseller(lessee)
Iftheassettransferinthesaleandleasebacktransactiondoesnotbelongtosales,theCompanywillcontinuetorecognizethetransferredassets,recognizeafinancialliabilityequaltothetransferincome,andconductaccountingtreatmentforthefinancialliabilityinaccordancewith10。FinancialinstrumentsinV,Importantaccountingpoliciesandaccountingestimates.Iftheassettransferbelongstosales,theCompanymeasurestherighttouseassetsformedbysaleandleasebackaccordingtothepartofthebookvalueoftheoriginalassetsrelatedtotherighttouseobtainedbyleaseback,andonlyrecognizestherelevantgainsorlossesontherightstransferredtothelessor.
TheCompanyasbuyer(lessor)
Iftheassettransferinthesaleandleasebacktransactiondoesnotbelongtosales,thecompanydoesnotrecognizethetransferredasset,butrecognizesafinancialassetequaltothetransferincome,andcarriesoutaccountingtreatmentonthefinancialassetinaccordancewith10.FinancialinstrumentsinV.Importantaccountingpoliciesandaccountingestimates.Iftheassettransferbelongstosales,theCompanyshallconductaccountingtreatmentforassetpurchaseandassetleaseinaccordancewithotherapplicableaccountingstandardsforbusinessenterprises.
33.Othersignificantaccountingpoliciesandestimates
(1)Accountingofhedging
(1.1)Classificationofinventories
TheCompanyclassifieshedgesintofairvaluehedgesandcashflowhedges.
①Fairvaluehedge.Itreferstohedgingactivitiesconductedtomitigatetheriskofchangesinthefairvalueofrecognizedassetsorliabilities,unrecognizedfirmcommitments,orcomponentsoftheaforementioneditems.ThefairvaluechangesarecausedbyspecificrisksthatwillimpacttheCompany'sprofitorothercomprehensiveincome.
①Cashflowhedgingreferstothehedgingofcashflowrisk.Thechangeincashflowisderivedfromspecificrisksassociatedwithrecognizedassetsorliabilities,expectedtransactionsthatarelikelytooccur,orwithrespecttothecomponentsoftheabove-mentionedprojectandwillaffecttheprofitsandlossesoftheenterprise.
(1.2)HedgingtoolsandhedgedprojectsHedgingmeansafinancialinstrumentdesignatedbytheCompanyforthepurposeofhedging,whosefairvalueorcashflowvariationisexpectedtooffsetthefairvalueorcashflowvariationofthehedgeditem,including:
①FinancialliabilitiesmeasuredatfairvaluewithvariationsaccountedintocurrentincomeaccountCheck-outoptionscanonlybeusedasahedgingtooliftheoptionishedged,includingthoseembeddedinahybridcontract.Derivativesembeddedinahybridcontractbutnotsplitcannotbeusedasseparatehedgingtools.
②Non-derivativefinancialassetsornon-derivativefinancialliabilitiesthataremeasuredatfairvalueandwhosechangesareincludedinthecurrentprofitandloss,butdesignatedasfairvalueandwhosechangesareincludedinthecurrentprofitandloss,andtheirowncreditriskchangescausedbychangesinfairvalueexceptforfinancialliabilitiesincludedinothercomprehensiveincome.
Ownequityinstrumentsarenotfinancialassetsorfinancialliabilitiesandcannotbeusedashedginginstruments.
AhedgeditemreferstoanitemthatexposestheCompanytotheriskofchangesinfairvalueorcashflowandisdesignatedasthehedgedobjectandcanbereliablymeasured.TheCompanydesignatesthefollowingindividualprojects,projectportfoliosortheircomponentsashedgedprojects:
①Confirmedassetsorliabilities.
②Confirmedcommitmentsthathavenotyetbeenconfirmed.Confirmedcommitmentreferstoalegallybindingagreementtoexchangeaspecificamountofresourcesatanagreedpriceonaspecificdateorperiodinthefuture.
③Expectedtransactionsthatarelikelytooccur.Anticipatedtransactionsrefertotransactionsthathavenotyetbeencommittedbutareexpectedtooccur.
④Netinvestmentinoverseasoperations.
Theabove-mentionedprojectcomponentsrefertothepartsthatarelessthantheoverallfairvalueorcashflowchangesoftheproject.TheCompanydesignatesthefollowingprojectcomponentsortheircombinationsashedgeditems:
①Thepartofthechangeinfairvalueorcashflow(riskcomponent)thatisonlycausedbyoneormorespecificrisksinthe
overallfairvalueorcashflowchangesoftheproject.Accordingtotheassessmentinaspecificmarketenvironment,theriskcomponentshouldbeabletobeindividuallyidentifiedandreliablymeasured.Theriskcomponentalsoincludesthepartwherethefairvalueorcashflowofthehedgeditemchangesonlyaboveorbelowaspecificpriceorothervariables.②Oneormoreselectedcontractualcashflows.
③Thecomponentofthenominalamountoftheproject,thatis,thespecificpartofthewholeamountorquantityoftheproject,maybeacertainproportionofthewholeproject,ormaybeacertainlevelofthewholeproject.Ifacertainlevelincludesearlyrepaymentrightsandthefairvalueoftheearlyrepaymentrightsisaffectedbychangesintheriskofthehedge,thelevelshallnotbedesignatedasthehedgeditemofthefairvaluehedge,butinthemeasurementofthehedgeditemexceptwhenthefairvaluehasincludedtheinfluenceoftheprepaymentright.
(1.3)Evaluationofhedgingrelationship
Whenthehedgingrelationshipisinitiallyspecified,theGroupofficiallyspecifiestherelatedhedgingrelationshipswithofficialdocumentsrecordingthehedgingrelationships,riskmanagementtargetsandhedgingstrategies.Thisdocumentsetsoutthehedgingtools,hedgeditems,thenatureofhedgedrisks,andtheCompany'sassessmentofhedgedeffectiveness.HedgingmeansafinancialinstrumentdesignatedbytheCompanyforthepurposeofhedging,whosefairvalueorcashflowvariationisoffsetthefairvalueorcashflowvariationofthehedgeditem,including:Suchhedgesarecontinuouslyevaluatedonandaftertheinitialspecifieddatetomeettherequirementsforhedgingvalidity.
Ifthehedginginstrumenthasexpired,beensold,thecontractisterminatedorexercised(buttheextensionorreplacementaspartofthehedgingstrategyisnottreatedasexpiredorcontracttermination),ortheriskmanagementobjectivechanges,resultinginhedgingTherelationshipnolongermeetstheriskmanagementobjectives,ortheeconomicrelationshipbetweenthehedgeditemandthehedginginstrumentnolongerexists,ortheimpactofcreditriskbeginstodominateinthevaluechangescausedbytheeconomicrelationshipbetweenthehedgeditemandthehedginginstrument,orwhenthehedgenolongermeetstheotherconditionsofthehedgeaccountingmethod,theCompanyterminatestheuseofhedgeaccounting.
Ifthehedgingrelationshipnolongermeetstherequirementsforhedgingeffectivenessduetothehedgingratio,buttheriskmanagementobjectiveofthedesignatedhedgingrelationshiphasnotchanged,theCompanyshallrebalancethehedgingrelationship.
(1.4)RevenuetheofrevenuerecognitionandmeasurementIftheconditionsforapplyinghedgeaccountingmethodaremet,itshallbehandledaccordingtothefollowingmethods:
①FairvaluehedgingGainsorlossesarisingfromhedginginstrumentsarerecognizedinthecurrentperiod'sincomestatement.Ifthehedgingisconductedforspecifiednon-derivativeequityinvestments(orcomponentsthereof)measuredatfairvaluewithchangesinfairvaluerecognizedinothercomprehensiveincome,gainsorlossesfromthehedginginstrumentsarerecognizedinothercomprehensiveincome.Gainsorlossesarisingfromthehedgeditemsduetothehedgingriskexposurearerecognizedintheincomestatement.Atthesametime,thecarryingamountofthedesignatedhedgeditemsthatarenotmeasuredatfairvalueisadjusted.Ifthehedgeditemisaspecifiednon-derivativeequityinvestment(orcomponentthereof)measuredatfairvaluewithchangesinfairvaluerecognizedinothercomprehensiveincome,gainsorlossesresultingfromthehedgingriskexposurearerecognizedinothercomprehensiveincome,andthecarryingamountofthehedgeditemhasalreadybeenmeasuredatfairvalueanddoesnotrequireadjustment.
Regardingfairvaluehedgesrelatedtofinancialinstruments(orcomponentsthereof)measuredatamortizedcost,anyadjustmentsmadetothecarryingamountofthehedgeditemareamortizedusingtheeffectiveinterestraterecalculatedfromthedateofthecommencementofamortizationandrecognizedintheincomestatement.Theamortizationdateforadjustmentsshouldbeginfromtheadjustmentdateandshouldnotbelaterthanthepointatwhichhedginggainsandlossesareadjusteduponterminationofthehedgeditem.Forhedgeditemsthatarefinancialassets(orcomponentsthereof)measuredatfairvaluewithchangesinfairvaluerecognizedinothercomprehensiveincome,theaccumulatedhedginggainsorlossesshouldbeamortizedinthesamemannerandrecognizedintheincomestatement.However,thecarryingamountofthefinancialassets(orcomponentsthereof)shouldnotbeadjusted.Forhedgeditemsthatareunrecognizedfirmcommitments(orcomponentsthereof),thecumulativefairvaluechangescausedbythehedgingriskafterthehedgingrelationshipisdesignatedshouldberecognizedasanassetorliability.Therelatedgainsorlossesshouldberecognizedintheincomestatement.Whenfulfillingafirmcommitmentandacquiringanassetorassumingaliability,theinitialrecognizedamountoftheassetorliabilityshouldbeadjustedtoincludethecumulativefairvaluechangesofthedesignatedhedgeditemthathavebeenrecognized.
②Cashflowhedge
Thepartofhedgingtoolgainsorlossesthatisvalidforhedgingisrecognizedasothercomprehensiveincomeasacashflowhedgingreserve,andthepartthatisinvalidforhedging(thatis,othergainsorlossesafterdeductingothercomprehensiveincome),arecountedIntothecurrentprofitandloss.Theamountofcashflowhedgingreserveisdeterminedaccordingtotheloweroftheabsoluteamountsofthefollowingtwoitems:①accumulatedgainsorlossesofhedginginstrumentssincethehedging.Theamountintheeffectivearbitrageisrecognizedbytheaccumulativegainsorlossesfromthestartingofarbitrageandaccumulativechangestothecurrentvalueoffutureforecastcashflowsfromthestartofarbitrage.Iftheexpectedtransactionofthehedgedassetissubsequentlyrecognizedasanon-financialassetornon-financialliability,oriftheexpectedtransactionofthenon-financialassetornon-financialliabilityformsadefinedcommitmenttotheapplicablefairvaluehedgeaccounting,theamountofthecashflowhedgereserveoriginallyrecognizedintheotherconsolidatedincomeistransferredouttoaccountfortheinitialrecognizedamountoftheassetorliability.Fortheremainingcashflowhedges,duringthesameperiodwhentheexpectedcashflowtobehedgedaffectstheprofitandloss,iftheexpectedsalesoccur,thecashflowhedgereserverecognizedinothercomprehensiveincomeistransferredoutandincludedinthecurrentprofitandloss.
(2)ShareRepurchasebytheCompany
①IntheeventofareductionintheCompany'ssharecapitalasapprovedbylegalprocedure,theCompanyshallreducethesharecapitalbythetotalamountofthewritten-offshares,adjusttheowner'sequitybythedifferencebetweenthepricepaidbythepurchasedstocks(includingtransactioncosts)andthetotalamountofthewritten-offshares,offsetthecapitalreserve(sharecapitalpremium),surplusreserveandundistributedprofitsinturn;Aportionofacapitalreserve(sharecapitalpremium)thatislessthanthetotalfacevalueandlessthanthetotalfacevalue.
②ThetotalexpenditureoftherepurchasesharesoftheCompany,whichismanagedasaninventorysharebeforetheyarecancelledortransferred,isconvertedtothecostoftheinventoryshares.
③Increaseinthecapitalreserve(capitalpremium)atthetimeoftransferofaninventoryunit,theportionofthetransferincomeabovethecostoftheinventoryunit;Lowerthantheinventorystockcost,thecapitalreserve(sharecapitalpremium),surplusreserve,undistributedprofitsinturn.
(3)MeasurementofFairValue
Fairvaluereferstotheamountofassetexchangeorliabilitiessettlementbybothtransactionpartiesfamiliarwiththesituationinafairdealonavoluntarybasis.
TheCompanymeasuresthefairvalueofrelatedassetsorliabilitiesatthepricesinthemainmarket.Ifthereisnomajormarket,theCompanymeasuresthefairvalueoftherelevantassetsorliabilitiesatthemostfavorablemarketprices.TheGroupusesassumptionsthatmarketparticipantsusetomaximizetheireconomicbenefitswhenpricingtheassetorliability.Themainmarketreferstothemarketwiththehighesttransactionvolumeandactivityoftherelatedassetsorliabilities.Themostfavorablemarketmeansthemarketthatcanselltherelatedassetsatthehighestamountortransfertherelatedliabilitiesatthelowestamountafterconsideringthetransactioncostandtransportationcost.Forfinancialassetsorliabilitiesinanactivemarket,TheCompanydeterminestheirfairvaluebasedonquotationsintheactivemarket.Ifthereisnoactivemarket,theCompanyusesevaluationtechniquestodeterminethefairvalue.Forthemeasurementofnon-financialassetsatfairvalue,theabilityofmarketparticipantstousetheassetsforoptimalpurposestogenerateeconomicbenefits,ortheabilitytoselltheassetstoothermarketparticipantsthatcanbeusedforoptimalpurposestogenerateeconomicbenefits.
①Valuationtechnology
TheCompanyadoptsvaluationtechniquesthatareapplicableinthecurrentperiodandaresupportedbysufficientdataandotherinformation.Thevaluationtechniquesusedmainlyincludemarketmethod,incomemethodandcostmethod.TheCompanyusesamethodconsistentwithoneormoreofthevaluationtechniquestomeasurefairvalue.Ifmultiplevaluationtechniquesareusedtomeasurefairvalue,thereasonablenessofeachvaluationresultshallbeconsidered,andthefairvalueshallbeselectedasthemostrepresentativeoffairvalueunderthecurrentcircumstances.Theamountofvalueisregardedasfairvalue.
TheCompanyequipmentareapplicableinthecurrentcircumstancesandhavesufficientavailabledataandotherinformationtosupporttheuseoftherelevantobservableinputvaluesprioritized.Unobservableinputvaluesareusedonlywhentheobservableinputvaluecannotbeobtainedorisnotfeasible.Observableinputvaluesareinputvaluesthatcanbeobtainedfrommarketdata.TheGroupusesassumptionsthatmarketparticipantsusetomaximizetheireconomicbenefitswhenpricingtheassetorliability.Non-observableinputvaluesareinputvaluesthatcannotbeobtainedfrommarketdata.Theinputvalueisobtainedbasedonthebestinformationavailableonassumptionsusedbymarketparticipantsinpricingtherelevantassetorliability.
②Fairvaluehierarchy
Thiscompanydividestheinputvalueusedinfairvaluemeasurementintothreelevels,andfirstusesthefirstlevelinputvalue,thenusesthesecondlevelinputvalue,andfinallyusesthethirdlevelinputvalue.Firstlevel:quotationofsameassetsorliabilitiesinanactivemarket(unadjusted)Thesecondlevelinputvalueisadirectlyorindirectlyobservableinputvalueoftheassetorliabilityinadditiontothefirstlevelinputvalue.Theinputvalueofthethirdlevelistheunobservableinputvalueofthe
relatedassetorliability.
(4)SignificantaccountingjudgmentandestimateTheCompanycontinuouslyreviewssignificantaccountingjudgmentandestimateadoptedforthereasonableforecastoffutureeventsbasedonitshistoricalexperienceandotherfactors.Significantaccountingjudgmentandassumptionsthatmayleadtomajoradjustmentofthebookvalueofassetsandliabilitiesinthenextaccountingyeararelistedasfollows:
ClassificationoffinancialassetsThemajorjudgementsinvolvedintheclassificationoffinancialassetsincludetheanalysisofbusinessmodelandcontractcashflowcharacteristics.Thecompanydeterminesthebusinessmodeofmanagingfinancialassetsattheleveloffinancialassetportfolio,takingintoaccountsuchfactorsashowtoevaluateandreportfinancialassetperformancetokeymanagers,therisksthataffectfinancialassetperformanceandhowtomanageit,andhowtoobtainremunerationforrelatedbusinessmanagers.Whenthecompanyassesseswhetherthecontractualcashflowoffinancialassetsisconsistentwiththebasicborrowingarrangement,therearethefollowingmainjudgments:whethertheprincipalmaychangeduetoearlyrepaymentandotherreasonsduringthedurationoftheperiodortheamountofchange;whethertheinterestIncludingthetimevalueofmoney,creditrisk,otherbasicborrowingrisks,andconsiderationofcostsandprofits.Forexample,doestheamountpaidinadvancereflectonlytheunpaidprincipalandtheinterestbasedontheunpaidprincipal,aswellasthereasonablecompensationpaidforearlyterminationofthecontract.
MeasurementofexpectedcreditlossesofaccountsreceivableTheCompanycalculatestheexpectedcreditlossofaccountsreceivablethroughtheriskexposureofaccountsreceivabledefaultandtheexpectedcreditlossrate,anddeterminestheexpectedcreditlossratebasedonthedefaultprobabilityandthedefaultlossrate.Whendeterminingtheexpectedcreditlossrate,theCompanyusesinternalhistoricalcreditlossexperienceandotherdata,combinedwithcurrentconditionsandforward-lookinginformationtoadjustthehistoricaldata.Whenconsideringforward-lookinginformation,theindicatorsusedbytheCompanyincludetherisksofeconomicdownturn,changesintheexternalmarketenvironment,technologicalenvironment,andcustomerconditions.TheCompanyregularlymonitorsandreviewsassumptionsrelatedtothecalculationofexpectedcreditlosses.
DeferredincometaxassetsIfthereisadequatetaxableprofittodeducttheloss,thedeferredincometaxassetsshouldberecognizedbyalltheunused
taxloss.Thisrequiresthemanagementtomakealotofjudgmenttoforecastthetimeandamountoffuturetaxableprofitanddeterminetheamountofthedeferredtaxassetsbasedonthetaxationstrategy.IncomerecognitionTheCompany'srevenuefromprovidingcurtainwallconstructionandmetroplatformscreendoorinstallationservicesisrecognizedoveraperiodoftime.TherecognitionoftheincomeandprofitofsuchengineeringinstallationservicesdependsontheCompany'sestimationofthecontractresultsandperformanceprogress.Iftheactualamountoftotalrevenueandtotalcostishigherorlowerthantheestimatedvalueofthemanagement,itwillaffecttheamountofrevenueandprofitrecognitionoftheCompanyinthefuture.EngineeringcontractThemanagementshallmakerelevantjudgmenttoconfirmtheincomeandexpensesofprojectcontractingbusinessaccordingtotheperformanceprogress.Iflossesareexpectedtooccurintheprojectcontract,suchlossesshallberecognizedascurrentexpenses.ThemanagementoftheCompanyestimatesthepossiblelossesaccordingtothebudgetoftheprojectcontract.TheCompanydeterminesthetransactionpriceaccordingtothetermsofthecontractandincombinationwithpreviouscustomarypractices,andconsiderstheinfluenceofvariableconsideration,majorfinancingcomponentsinthecontractandotherfactors.Duringtheperformanceofthecontract,theCompanycontinuouslyreviewstheestimatedtotalcontractrevenueandtheestimatedtotalcontractcost.Whentheinitialestimatechanges,suchascontractchanges,claimsandawards,theestimatedtotalcontractrevenueandtheestimatedtotalcontractcostarerevised.Whentheestimatedtotalcontractcostexceedsthetotalcontractrevenue,themainbusinesscostandestimatedliabilitiesshallberecognizedaccordingtothelosscontracttobeexecuted.
EstimateoffairvalueTheCompanyusesfairvaluetomeasureinvestmentrealestateandneedstoestimatethefairvalueofinvestmentrealestateatleastquarterly.Thisrequiresthemanagementtoreasonablyestimatethefairvalueoftheinvestmentrealestatewiththehelpofvaluationexperts.Developmentcost
Forpropertythathasbeenhandedoverwithincomerecognized,butwhosepublicfacilitieshavenotbeenconstructedornotbeencompleted,themanagementwillestimatethedevelopmentcostforthepartthathasnotbeenstartedaccordingtothebudgettoreflecttheoperationresultofthepropertysales.
34.Majorchangesinaccountingpoliciesandestimates
1.Changesinimportantaccountingpolicies
□Applicable?Inapplicable
(2)Changesinmajoraccountingestimates
□Applicable?Inapplicable
(3)Implementationofnewaccountingstandardsadjustmentforthefirsttimestartingfrom2025,andimplementationoffinancialstatementrelateditemsatthebeginningoftheyearforthefirsttime
□Applicable?InapplicableVI.Taxation
1.Majortaxesandtaxrates
| Tax | Taxbasis | Taxrate |
| VAT | Taxableincome | 1%,3%,5%,6%,9%,13% |
| Citymaintenanceandconstructiontax | Taxableturnover | 1%,5%,7% |
| Educationsurtax | Taxableturnover | 3% |
| Localeducationsurtax | Taxableturnover | 2% |
| Enterpriseincometax | Seethefollowingtable |
Taxratesapplicablefordifferenttaxpayers
| Taxpayer | Incometaxrate |
| TheCompany | 25% |
| ShenzhenFangdaJiankeCo.,Ltd.(hereinafterFangdaJianke) | 15% |
| FangdaZhiyuanTechnologyCo.,Ltd.(hereinafterFangdaZhiyuan) | 15% |
| FangdaNewMaterial(Jiangxi)Co.,Ltd.(hereinafterFangdaJiangxiNewMaterial) | 25% |
| ChengduFangdaConstructionTechnologyCo.,Ltd.(hereinafterFangdaChengduTechnology) | 15% |
| DongguanFangdaNewMaterialCo.,Ltd.(hereinafterFangdaDongguanNewMaterial) | 25% |
| ShenzhenFangdaPropertyDevelopmentCo.,Ltd.(hereinafterFangdaPropertyDevelopment) | 25% |
| ShenzhenFangdaNewEnergyCo.,Ltd.(hereinafterFangdaNewEnergy) | 25% |
| ShenzhenFangdaPropertyDevelopmentCo.,Ltd.(hereinafterFangdaPropertyDevelopment) | 25% |
| JiangxiFangdaPropertyDevelopmentCo.,Ltd.(hereinafterFangdaJiangxiPropertyDevelopment) | 25% |
| PingxiangFangdaLuxinNewEnergyCo.,Ltd.(hereinafterFangdaLuxinNewEnergy) | 25% |
| NanchangXinjianFangdaNewEnergyCo.,Ltd.(hereinafterFangdaXinjianNewEnergy) | 25% |
| DongguanFangdaNewEnergyCo.,Ltd.(hereinafterFangdaDongguanNewEnergy) | 25% |
| ShenzhenQIanhaiKechuangyuanSoftwareCo.,Lt.d(hereinafterKechuangyuanSoftware) | 25% |
| FangdaZhiyuanTechnology(HongKong)Co.,Ltd,(FangdaZhiyuanHongKong) | 16.50% |
| FangdaZhiyuanTechnology(Wuhan)Co.,Ltd,(FangdaWuhanZhiyuan) | 25% |
| FangdaZhiyuanTechnology(Nanchang)Co.,Ltd,(FangdaNanchangZhiyuan) | 25% |
| FangdaZhiyuanRailwayTransportationEquipment(Dongguan)Co.,Ltd.(hereinafterreferredtoasFangdaZhiyuanDongguan) | 25% |
| GeneralRailTechnologyPrivateLimited | 17% |
| ShihuiInternationalHoldingCo.,Ltd.(hereinafterFangdaShihuiInternational) | 0.00% |
| ShenzhenHongjunInvestmentCo.,Ltd.(hereinafterFangdaHongjunInvestment) | 25% |
| FangdaAustraliaPtyLtd(hereinafterFangdaAustralia) | 30% |
| ShanghaiFangdaZhijianTechnologyCo.,Ltd.(hereinafterreferredtoasFangdaShanghaiZhijiancompany) | 15% |
| ShenzhenFangdaYunzhiTechnologyCo.,Ltd.(hereinafterFangdaYunzhi) | 25% |
| ShanghaiFangdaJianzhiTechnologyCo.,Ltd.(hereinafterFangdaShanghaiJianzhi) | 25% |
| ShenzhenZhongrongLitaiInvestmentCo.Ltd.(ZhongrongLitai) | 25% |
| ChengduFangdaCurtainWallTechnologyCo.,Ltd.(hereinafterFangdaChengduCurtainWall) | 25% |
| FangdaSoutheastAsiaCo.,Ltd.(hereinafterFangdaSoutheastAsia) | 20% |
| FangdaJianke(HongKong)Co.,Ltd.(hereinafterFangdaJiankeHongKong) | 16.50% |
| ShenzhenFangdaYunzhuTechnologyCo.,Ltd.(hereinafterFangdaYunzhu) | 15% |
| ShenzhenYunzhuTestingTechnologyCo.,Ltd.(HereinafterFangdaYunzhuTesting) | 25% |
| JiangxiFangdaIntelligentManufacturingTechnologyCo.,Ltd.(hereinafterreferredtoasFangdaIntelligentManufacturingCompany) | 15% |
| ShenzhenFangdaJianchuangTechnologyCo.,Ltd.(hereinafterFangdaJianchuang) | 25% |
| ShenzhenFangdaConstructionTechnologyCo.,Ltd.(hereinafterreferredtoasFangdaConstructionTechnologyCompany) | 25% |
| FangdaFacadeSingaporePteLtd(hereinafterreferredtoasCurtainWallSingaporeCompany) | 17% |
| FANGDAFACADEPHILIPPINESINC.(hereinafterreferredtoasCurtainWallPhilippinesCompany) | 20% |
| GENERALRAILTECHNOLOGYPHILIPPINES,INC.(hereinafterreferredtoasZhiyuanPhilippinesCompany) | 25% |
| FANGDAGULFDMCC(hereinafterreferredtoasCurtainWallGulfCompany) | 9% |
| GLOBALMEGAINTERNATIONALHOLDINGSLIMITED(hereinafterreferredtoasGLOBALMEGAINTERNATIONAL) | 20% |
2.Taxpreference
(1)OnDecember26,2024,thesubsidiaryFangdaJiankeobtainedthecertificateofhigh-techenterprisejointlyissuedbytheIndustryandInformationTechnologyBureauofShenzhenMunicipality,ShenzhenFinanceBureau,StateAdministrationofTaxationandShenzhenTaxationBureau.ThecertificatenumberisGR202444207062.Withinthreeyearsafterobtainingthequalificationofhigh-techenterprise(from2024to2026),theincometaxwillbeleviedat15%.
(2)OnDecember26,2024,thesubsidiaryFangdaZhiyuanTechnologyCo.,Ltd.obtainedthecertificateofhightechenterprisejointlyissuedbytheIndustryandInformationTechnologyBureauofShenzhenMunicipality,ShenzhenFinanceBureau,
StateAdministrationofTaxationandShenzhenTaxationBureau.ThecertificatenumberisGR202444201506.Withinthreeyearsafterobtainingthequalificationofhightechenterprise(from2024to2026),theincometaxwillbeleviedat15%.
(3)OnOctober16,2023,thesubsidiaryFangdaChengduTechnologyobtainedthecertificateofhightechenterpriseNo.GR202351000927jointlyissuedbytheDepartmentofScienceandTechnologyofSichuanProvince,theDepartmentofFinanceofSichuanProvince,theStateAdministrationofTaxationandtheSichuanProvincialTaxationBureau.Withinthreeyearsafterobtainingthequalificationofhightechenterprise(2023-2025),theincometaxwillcontinuetobeleviedat15%.
(4)ThesubsidiaryKechuangyuanSoftwareisanenterpriselocatedinQianhaiShenzhenHongKongModernServiceIndustryCooperationZone.ItsmainbusinessmeetstheconditionsofPreferentialCatalogueofEnterpriseIncomeTaxinQianhaiShenzhenHongKongModernServiceIndustryCooperationZone(2021)(theRegulationshallbeimplementedfromJanuary1,2021toDecember31,2025),andtheincometaxisleviedat15%.
(5)OnNovember15,2023,thesubsidiaryFangdaShanghaiZhijianobtainedthecertificateofhightechenterpriseGR202331002267jointlyissuedbyShanghaiScienceandTechnologyCommission,ShanghaiFinanceBureauandShanghaiTaxationBureau.Withinthreeyears(from2023to2025)afterobtainingthequalificationofhightechenterprise,theincometaxwillcontinuetobechargedat15%.
(6)OnNovember15,2023,thesubsidiaryFangdaYunzhuCo.,Ltd.obtainedthecertificateofhightechenterprisejointlyissuedbyShenzhenScienceandTechnologyInnovationCommission,ShenzhenFinanceBureau,StateAdministrationofTaxationandShenzhenTaxationBureau.ThecertificatenumberisGR202344205791.Withinthreeyearsafterobtainingthequalificationofhightechenterprise(from2023to2025),theincometaxwillbeleviedat15%.
(7)Accordingtothe"AnnouncementonFurtherSupportingtheDevelopmentofSmallandMicroEnterprisesandIndividualBusinesseswithRelevantTaxandFeePolicies"(AnnouncementNo.12,2023oftheMinistryofFinanceandtheStateTaxationAdministration),somecompaniesqualifyassmalllow-profitenterprisesin2025,andtheirincomeissubjecttocorporateincometaxinaccordancewiththeprovisionsoftheaforementioneddocument.
VII.Notestotheconsolidatedfinancialstatements
1.Monetarycapital
InRMB
| Item | Closingbalance | Openingbalance |
| Inventorycash: | 1,966.98 | 148.01 |
| Bankdeposits | 791,773,791.12 | 1,052,461,034.10 |
| Othermonetarycapital | 319,243,818.70 | 439,316,159.73 |
| Total | 1,111,019,576.80 | 1,491,777,341.84 |
| Including:totalamountdepositedinoverseas | 86,307,348.26 | 76,232,428.11 |
Others:
(1)Oftheendingbalanceofbankdeposits,RMB45,987,644.26isrestrictedinuse,includingrestricteddepositsofRMB43,708,530.33inspecialaccounts,RMB2,246,354.74frozenbyjudicialauthorities,andRMB32,759.19asstageguaranteedepositsforcommercialhousingpurchasers.Oftheendingbalanceofothermonetaryfunds,RMB305,433,904.56isrestrictedinuse,mainlyincludingbilldeposits,stageguaranteedeposits,andguaranteedepositsforissuinglettersofguarantee.Inthepreparationofthecashflowstatement,theabove-mentioneddepositsandotherrestricteddepositsarenotusedascashandcashequivalents.
(2)Apartfromtheabove,therearenootherfundswithintheendingmonetaryfundsthatarerestrictedinuseduetomortgage,pledge,orfreeze,norarethereanywithpotentialrecoveryrisks.
2.Derivativefinancialassets
InRMB
| Item | Closingbalance | Openingbalance |
| Futureshedgingcontract | 77,600.00 | 0.00 |
| Total | 77,600.00 | 0.00 |
3.Notesreceivable
(1)Classificationofnotesreceivable
InRMB
| Item | Closingbalance | Openingbalance |
| Bankacceptance | 62,587,051.95 | 39,584,331.31 |
| Commercialacceptance | 14,020,799.61 | 34,303,362.93 |
| Total | 76,607,851.56 | 73,887,694.24 |
(2)Disclosurebybaddebtaccrualmethod
InRMB
| Type | Closingbalance | Openingbalance | ||||||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Notesreceivablewithprovisionforbaddebtsby | 76,810,399.16 | 100.00% | 202,547.60 | 0.26% | 76,607,851.56 | 74,530,950.99 | 100.00% | 643,256.75 | 0.86% | 73,887,694.24 |
| portfolio | ||||||||||
| Including: | ||||||||||
| Bankacceptance | 62,587,051.95 | 81.48% | 0.00% | 62,587,051.95 | 39,584,331.31 | 53.11% | 0.00% | 39,584,331.31 | ||
| Commercialacceptance | 14,223,347.21 | 18.52% | 202,547.60 | 1.42% | 14,020,799.61 | 34,946,619.68 | 46.89% | 643,256.75 | 1.84% | 34,303,362.93 |
| Total | 76,810,399.16 | 100.00% | 202,547.60 | 0.26% | 76,607,851.56 | 74,530,950.99 | 100.00% | 643,256.75 | 0.86% | 73,887,694.24 |
Provisionforbaddebtsbycategory:bankacceptancebills
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Bankacceptance | 62,587,051.95 | 0.00 | 0.00% |
| Total | 62,587,051.95 | 0.00 | |
Provisionforbaddebtsbycategory:commercialacceptancebills
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Commercialacceptance | 14,223,347.21 | 202,547.60 | 1.42% |
| Total | 14,223,347.21 | 202,547.60 | |
Iftheprovisionforbaddebtsonaccountsreceivableisbeingmadebasedontheexpectedcreditlossgeneralmodel:
□Applicable?Inapplicable
(3)Baddebtprovisionmade,returnedorrecoveredintheperiodBaddebtprovisionmadeintheperiod:
InRMB
| Type | Openingbalance | Changeintheperiod | Closingbalance | |||
| Provision | Written-backorrecovered | Canceled | Others | |||
| Commercialacceptance | 643,256.75 | -440,709.15 | 202,547.60 | |||
| Total | 643,256.75 | -440,709.15 | 202,547.60 | |||
Includingsignificantrecoveryorreversal:
□Applicable?Inapplicable
(4)TheGrouphasnoendorsedordiscountedimmaturereceivablenotesattheendoftheperiod.
InRMB
| Item | De-recognizedamount | Notde-recognizedamount |
| Bankacceptance | 48,339,576.30 | |
| Commercialacceptance | 7,700,000.00 | |
| Total | 56,039,576.30 |
4.Accountreceivable
(1)Accountage
InRMB
| Age | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Within1year(inclusive) | 424,637,421.68 | 535,457,065.77 |
| 1-2years | 171,231,194.93 | 197,202,489.75 |
| 2-3years | 179,594,961.78 | 196,353,916.70 |
| Over3years | 620,691,779.98 | 568,801,528.90 |
| 3-4years | 133,947,260.94 | 173,116,205.07 |
| 4-5years | 168,151,943.98 | 134,492,519.77 |
| Over5years | 318,592,575.06 | 261,192,804.06 |
| Total | 1,396,155,358.37 | 1,497,815,001.12 |
TheCompanyneedstocomplywiththedisclosurerequirementsofthedecorationanddecorationindustryintheGuidelinesfortheSelf-disciplineandSupervisionofListedCompaniesofShenzhenStockExchangeNo.3-IndustryInformationDisclosure.Significantindividualamountsofaccountsreceivableinthecurtainwallandmaterialsindustrythathaveexceededthreeyearsinage
| Customer | Balanceofaccountsreceivableofover3years(RMB) | Balanceofprovisionforbaddebts(RMB) | Reasonoftheage | Whetherthereisariskofrecovery |
| Customer1 | 106,278,399.14 | 72,225,885.93 | Customercreditstatusdeteriorates | Yes |
| Customer2 | 54,873,223.21 | 54,873,223.21 | Customercreditstatusdeteriorates | Yes |
| Customer3 | 28,770,560.55 | 28,485,318.01 | Customercreditstatusdeteriorates | Yes |
| Customer4 | 26,594,327.13 | 5,896,959.04 | Customercreditstatusdeteriorates | Yes |
| Customer5 | 26,558,000.66 | 17,835,228.98 | Customercreditstatusdeteriorates | Yes |
| Customer6 | 24,724,675.20 | 5,999,812.01 | Customercreditstatusdeteriorates | Yes |
| Customer7 | 20,777,818.40 | 8,103,943.07 | Customercreditstatusdeteriorates | Yes |
| Customer8 | 19,541,985.85 | 16,037,781.34 | Customercreditstatusdeteriorates | Yes |
| Customer9 | 17,374,148.42 | 17,374,148.42 | Customercreditstatusdeteriorates | Yes |
| Customer10 | 16,492,469.99 | 6,319,513.32 | Customercreditstatusdeteriorates | Yes |
| Customer11 | 13,461,834.96 | 13,461,834.96 | Customercreditstatusdeteriorates | Yes |
| Customer12 | 12,262,317.09 | 2,658,157.26 | Detailsofthefinalpaymentforcustomerprojectsareundernegotiation | No |
| Customer13 | 10,478,293.72 | 4,522,431.57 | Detailsofthefinalpaymentforcustomerprojectsareundernegotiation | No |
(2)Disclosurebybaddebtaccrualmethod
InRMB
| Type | Closingbalance | Openingbalance | ||||||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Accountreceivableforwhichbaddebtprovisionismadebygroup | 128,130,519.79 | 9.18% | 98,232,788.98 | 76.67% | 29,897,730.81 | 127,640,916.83 | 8.51% | 97,987,987.52 | 76.77% | 29,652,929.31 |
| Including: | ||||||||||
| Customer1 | 54,873,223.21 | 3.93% | 54,873,223.21 | 100.00% | 0.00 | 54,873,223.21 | 3.66% | 54,873,223.21 | 100.00% | 0.00 |
| Customer2 | 47,370,634.93 | 3.39% | 23,685,317.46 | 50.00% | 23,685,317.47 | 47,210,577.56 | 3.15% | 23,605,288.79 | 50.00% | 23,605,288.77 |
| Customer3 | 13,461,834.96 | 0.96% | 13,461,834.96 | 100.00% | 0.00 | 13,461,834.96 | 0.90% | 13,461,834.96 | 100.00% | 0.00 |
| Customer4 | 7,096,421.00 | 0.51% | 3,548,210.50 | 50.00% | 3,548,210.50 | 7,096,421.00 | 0.47% | 3,548,210.50 | 50.00% | 3,548,210.50 |
| Customer5 | 5,328,405.69 | 0.38% | 2,664,202.85 | 50.00% | 2,664,202.84 | 4,998,860.10 | 0.33% | 2,499,430.06 | 50.00% | 2,499,430.04 |
| Accountreceivableforwhichbaddebtprovisionismadebygroup | 1,268,024,838.58 | 90.82% | 334,473,036.39 | 26.38% | 933,551,802.19 | 1,370,174,084.29 | 91.49% | 276,320,816.62 | 20.17% | 1,093,853,267.67 |
| Including: | ||||||||||
| 1.Portfolio1:Engineeringoperationssection | 1,111,558,865.41 | 79.62% | 328,001,768.18 | 29.51% | 783,557,097.23 | 1,201,581,352.19 | 80.23% | 270,560,899.59 | 22.52% | 931,020,452.60 |
| 2.Portfolio2:Realestatebusinesspayments | 68,496,857.59 | 4.91% | 1,695,903.67 | 2.48% | 66,800,953.92 | 87,166,812.19 | 5.82% | 2,181,218.43 | 2.50% | 84,985,593.76 |
| 3.Combination3: | 87,969,115.58 | 6.30% | 4,775,364.54 | 5.43% | 83,193,751.04 | 81,425,919.91 | 5.44% | 3,578,698.60 | 4.40% | 77,847,221.31 |
| Otherbusinessmodels | ||||||||||
| Total | 1,396,155,358.37 | 100.00% | 432,705,825.37 | 30.99% | 963,449,533.00 | 1,497,815,001.12 | 100.00% | 374,308,804.14 | 24.99% | 1,123,506,196.98 |
Provisionforbaddebtsbyindividualitem:individualprovision
InRMB
| Name | Openingbalance | Closingbalance | ||||
| Remainingbookvalue | Baddebtprovision | Remainingbookvalue | Baddebtprovision | Provisionrate | Reason | |
| Customer1 | 54,873,223.21 | 54,873,223.21 | 54,873,223.21 | 54,873,223.21 | 100.00% | Customer'screditconditionhasdeteriorated,recoveryisexpectedtobeimpossible |
| Customer2 | 47,210,577.56 | 23,605,288.79 | 47,370,634.93 | 23,685,317.46 | 50.00% | Customercreditstatusdeteriorates |
| Customer3 | 13,461,834.96 | 13,461,834.96 | 13,461,834.96 | 13,461,834.96 | 100.00% | Customer'screditconditionhasdeteriorated,recoveryisexpectedtobeimpossible |
| Customer4 | 7,096,421.00 | 3,548,210.50 | 7,096,421.00 | 3,548,210.50 | 50.00% | Customercreditstatusdeteriorates |
| Customer5 | 4,998,860.10 | 2,499,430.06 | 5,328,405.69 | 2,664,202.85 | 50.00% | Customercreditstatusdeteriorates |
| Total | 127,640,916.83 | 97,987,987.52 | 128,130,519.79 | 98,232,788.98 | ||
Provisionforbaddebtsbycategory:Portfolio1:Engineeringbusinesspayments
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Lessthan1year | 340,124,968.71 | 6,666,449.38 | 1.96% |
| 1-2years | 125,365,602.98 | 7,095,693.14 | 5.66% |
| 2-3years | 152,886,370.41 | 19,508,300.87 | 12.76% |
| 3-4years | 129,552,730.83 | 25,599,619.61 | 19.76% |
| 4-5years | 166,251,737.01 | 71,754,249.71 | 43.16% |
| Over5years | 197,377,455.47 | 197,377,455.47 | 100.00% |
| Total | 1,111,558,865.41 | 328,001,768.18 | |
Grouprecognitionbasis:
See10.FinancialToolsinV,ImportantAccountingPoliciesandAccountingEstimatesfortherecognitioncriteriaandinstructionsforwithdrawingbaddebtreservesbyportfolioProvisionforbaddebtsbycategory:Portfolio2:Realestatebusinesspayments
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Lessthan1year | 43,302,330.07 | 433,023.31 | 1.00% |
| 1-2years | 14,625,805.49 | 731,290.27 | 5.00% |
| 2-3years | 10,537,182.29 | 526,859.12 | 5.00% |
| 3-4years | 31,539.74 | 4,730.97 | 15.00% |
| 4-5years | ||
| Over5years | ||
| Total | 68,496,857.59 | 1,695,903.67 |
Provisionforbaddebtsbycategory:Portfolio3:Otherbusinesspayments
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Lessthan1year | 41,040,452.65 | 299,595.30 | 0.73% |
| 1-2years | 29,093,470.29 | 610,962.88 | 2.10% |
| 2-3years | 12,420,031.33 | 1,045,766.63 | 8.42% |
| 3-4years | 3,187,397.81 | 789,837.18 | 24.78% |
| 4-5years | 1,467,560.66 | 1,268,999.71 | 86.47% |
| Over5years | 760,202.84 | 760,202.84 | 100.00% |
| Total | 87,969,115.58 | 4,775,364.54 | |
Iftheprovisionforbaddebtsonaccountsreceivableisbeingmadebasedontheexpectedcreditlossgeneralmodel:
□Applicable?Inapplicable
(3)Baddebtprovisionmade,returnedorrecoveredintheperiodBaddebtprovisionmadeintheperiod:
InRMB
| Type | Openingbalance | Changeintheperiod | Closingbalance | |||
| Provision | Written-backorrecovered | Canceled | Others | |||
| Separatebaddebtprovision | 97,987,987.52 | 244,801.46 | 98,232,788.98 | |||
| 1.Portfolio1:Engineeringoperationssection | 270,560,899.59 | 57,440,868.59 | 328,001,768.18 | |||
| 2.Portfolio2:Realestatebusinesspayments | 2,181,218.43 | -485,314.76 | 1,695,903.67 | |||
| 3.Combination3:Otherbusinessmodels | 3,578,698.60 | 1,196,665.94 | 4,775,364.54 | |||
| Total | 374,308,804.14 | 58,397,021.23 | 432,705,825.37 | |||
(5)Accountsreceivableandcontractassetswiththetop-5endingbalances,groupedbypartyowed
InRMB
| Entity | Closingbalanceofaccountsreceivable | Closingbalanceofcontractassets | Closingbalanceofaccountsreceivableandcontractassets | Percentageoftotalendingbalanceofaccountsreceivableandcontractassets | Closingbalanceofprovisionforbaddebtsonaccountsreceivableandimpairmentofcontractassets |
| No.1 | 123,432,623.99 | 123,432,623.99 | 3.03% | 74,391,948.30 | |
| No.2 | 25,829,571.57 | 76,223,883.78 | 102,053,455.35 | 2.51% | 2,665,176.43 |
| No.3 | 29,563,417.95 | 65,143,365.63 | 94,706,783.58 | 2.33% | 11,293,698.67 |
| No.4 | 8,967,200.00 | 66,626,539.51 | 75,593,739.51 | 1.86% | 5,979,383.88 |
| No.5 | 68,332,277.37 | 68,332,277.37 | 1.68% | 1,353,596.34 | |
| Total | 187,792,813.51 | 276,326,066.29 | 464,118,879.80 | 11.41% | 95,683,803.62 |
5.Contractassets
(1)Contractassets
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |
| Completedandunsettledprojectfundsthatfailtomeetthecollectionconditions | 2,319,308,046.54 | 179,568,716.16 | 2,139,739,330.38 | 2,303,529,715.41 | 196,836,354.61 | 2,106,693,360.80 |
| Qualityguaranteedepositthatfailstomeetthecollectionconditions | 313,714,238.38 | 37,106,000.07 | 276,608,238.31 | 262,289,726.50 | 24,254,807.14 | 238,034,919.36 |
| Salesfundswithconditionalcollectionright | 38,687,854.86 | 498,208.84 | 38,189,646.02 | 52,852,539.43 | 727,775.89 | 52,124,763.54 |
| Less:Contractassetsshowninothernon-currentassets | 184,571,451.30 | 11,397,076.96 | 173,174,374.34 | 160,412,051.45 | 11,257,487.71 | 149,154,563.74 |
| Total | 2,487,138,688.48 | 205,775,848.11 | 2,281,362,840.37 | 2,458,259,929.89 | 210,561,449.93 | 2,247,698,479.96 |
(2)Theamountandreasonforthesignificantchangeinthebookvalueduringthereportingperiod
InRMB
| Item | Change | Reason |
| Completedandunsettledprojectfundsthatfailtomeetthecollectionconditions | 33,045,969.58 | Thisismainlyduetotheunsettledprojectfundswithconditionalcollectionrightsarisingfromtherevenuerecognizedintheprojectcontractthisyear |
| Qualityguaranteedepositthatfailstomeetthecollectionconditions | 38,573,318.95 | Mainlyduetotheincreaseinwarrantydepositsthathavenotmetthecollectionconditions |
| Salesfundswithconditionalcollectionright | -13,935,117.52 | Duetoadecreaseinsalesproceedswithconditionalcollectionrights |
| Less:Contractassetsshowninothernon-currentassets | 24,019,810.60 | Mainlyduetotheincreaseinwarrantydepositsforcompletedprojectsthathavenotyetmatured |
| Total | 33,664,360.41 | —— |
(3)Disclosurebybaddebtaccrualmethod
InRMB
| Type | Closingbalance | Openingbalance | ||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Separatebaddebtprovision | 15,959,030.94 | 0.64% | 8,868,474.41 | 55.57% | 7,090,556.53 | 16,288,576.53 | 0.66% | 9,033,247.20 | 55.46% | 7,255,329.33 |
| Including: | ||||||||||
| Customer1 | 14,181,113.07 | 0.57% | 7,090,556.54 | 50.00% | 7,090,556.53 | 14,510,658.66 | 0.59% | 7,255,329.33 | 50.00% | 7,255,329.33 |
| Customer2 | 1,777,917.87 | 0.07% | 1,777,917.87 | 100.00% | 1,777,917.87 | 0.07% | 1,777,917.87 | 100.00% | ||
| Provisionforbaddebtsbycombination | 2,471,179,657.55 | 99.36% | 196,907,373.70 | 7.97% | 2,274,272,283.85 | 2,441,971,353.36 | 99.34% | 201,528,202.73 | 8.25% | 2,240,443,150.63 |
| Including: | ||||||||||
| Completedandunsettledprojectfundsthatfailtomeetthecollectionconditions | 2,303,349,015.61 | 92.61% | 170,700,241.75 | 7.41% | 2,132,648,773.86 | 2,286,329,426.34 | 93.01% | 187,097,333.23 | 8.18% | 2,099,232,093.11 |
| Qualityguaranteedepositthatfailstomeetthecollectionconditions | 129,142,787.08 | 5.19% | 25,708,923.11 | 19.91% | 103,433,863.97 | 102,789,387.59 | 4.18% | 13,703,093.61 | 13.33% | 89,086,293.98 |
| Salesfundswithconditionalcollectionright | 38,687,854.86 | 1.56% | 498,208.84 | 1.29% | 38,189,646.02 | 52,852,539.43 | 2.15% | 727,775.89 | 1.38% | 52,124,763.54 |
| Total | 2,487,138,688.49 | 100.00% | 205,775,848.11 | 8.27% | 2,281,362,840.38 | 2,458,259,929.89 | 100.00% | 210,561,449.93 | 8.57% | 2,247,698,479.96 |
Provisionforbaddebtsbyindividualitem:individualprovision
InRMB
| Name | Openingbalance | Closingbalance | ||||
| Remainingbookvalue | Baddebtprovision | Remainingbookvalue | Baddebtprovision | Provisionrate | Reason | |
| Customer | 14,510,658.66 | 7,255,329.33 | 14,181,113.07 | 7,090,556.54 | 50.00% | Customercredit |
| 1 | statusdeteriorates | |||||
| Customer2 | 1,777,917.87 | 1,777,917.87 | 1,777,917.87 | 1,777,917.87 | 100.00% | Customer'screditconditionhasdeteriorated,recoveryisexpectedtobeimpossible |
| Total | 16,288,576.53 | 9,033,247.20 | 15,959,030.94 | 8,868,474.41 |
Provisionforbaddebtsbycategory:Salesproceedswithconditionalcollectionrights
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Salesfundswithconditionalcollectionright | 38,687,854.86 | 498,208.84 | 1.29% |
| Total | 38,687,854.86 | 498,208.84 | |
Grouprecognitionbasis:
See10.FinancialToolsinV,ImportantAccountingPoliciesandAccountingEstimatesfortherecognitioncriteriaandinstructionsforwithdrawingbaddebtreservesbyportfolioProvisionforbaddebtsbycategory:Completedbutunsettledengineeringpaymentsthathavenotmetcollectionconditions
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Completedandunsettledprojectfundsthatfailtomeetthecollectionconditions | 2,303,349,015.61 | 170,700,241.75 | 7.41% |
| Total | 2,303,349,015.61 | 170,700,241.75 | |
Provisionforbaddebtsbycategory:Warrantydepositsthathavenotmetcollectionconditions
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Qualityguaranteedepositthatfailstomeetthecollectionconditions | 129,142,787.08 | 25,708,923.11 | 19.91% |
| Total | 129,142,787.08 | 25,708,923.11 | |
Provisionforbaddebtsbasedongeneralmodelofexpectedcreditlosses
□Applicable?Inapplicable
(4)Baddebtprovisionmade,returnedorrecoveredintheperiod
InRMB
| Item | Provision | Recoveredorreversedduringtheperiod | Writtenoffinthecurrentperiod | Reason |
| Separatebaddebtprovision | -164,772.79 | |||
| Provisionforbaddebts | -4,620,829.03 |
| bycombination | |
| Total | -4,785,601.82 |
6.Receivablefinancing
(1)Presentationofreceivablesfinancingclassification
InRMB
| Item | Closingbalance | Openingbalance |
| Notesreceivable | 387,988.26 | 4,568,000.10 |
| Total | 387,988.26 | 4,568,000.10 |
(2)Disclosurebybaddebtaccrualmethod
InRMB
| Type | Closingbalance | Openingbalance | ||||||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Provisionforbaddebtsbycombination | 387,988.26 | 100.00% | 0.00 | 0.00% | 387,988.26 | 4,568,000.10 | 100.00% | 0.00 | 0.00% | 4,568,000.10 |
| Including: | ||||||||||
| Bankacceptance | 387,988.26 | 100.00% | 0.00 | 0.00% | 387,988.26 | 4,568,000.10 | 100.00% | 0.00 | 0.00% | 4,568,000.10 |
| Total | 387,988.26 | 100.00% | 0.00 | 0.00% | 387,988.26 | 4,568,000.10 | 100.00% | 0.00 | 0.00% | 4,568,000.10 |
Provisionforbaddebtsbycategory:bankacceptancebills
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Bankacceptance | 387,988.26 | 0.00 | 0.00% |
| Total | 387,988.26 | 0.00 | |
Grouprecognitionbasis:
See10.FinancialToolsinV,ImportantAccountingPoliciesandAccountingEstimatesfortherecognitioncriteriaandinstructionsforwithdrawingbaddebtreservesbyportfolio
(3)ReceivablesfinancingendorsedordiscountedbytheCompanyandnotyetdueasofthebalancesheetdate
InRMB
| Item | De-recognizedamount | Notde-recognizedamount |
| Bankacceptance | 20,218,009.94 |
| Total | 20,218,009.94 |
7.Otherreceivables
InRMB
| Item | Closingbalance | Openingbalance |
| Otherreceivables | 159,021,678.10 | 168,322,524.80 |
| Total | 159,021,678.10 | 168,322,524.80 |
(1)Otherreceivables
1)Otherreceivablesaredisclosedbynature
InRMB
| Bynature | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Depositandpledgepaid | 92,302,799.58 | 101,364,611.15 |
| Constructionborrowingandadvancedpayment | 39,555,845.35 | 39,950,652.16 |
| Staffborrowingandpettycash | 3,859,640.71 | 3,221,577.94 |
| VATrefundreceivable | 1,669,026.05 | 642,493.02 |
| Refundableadvancepayments | 18,688,485.50 | 18,884,265.12 |
| Others | 12,055,952.72 | 12,294,754.02 |
| Total | 168,131,749.91 | 176,358,353.41 |
(2)Accountage
InRMB
| Age | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Within1year(inclusive) | 38,057,107.79 | 45,432,663.12 |
| 1-2years | 5,088,714.70 | 11,015,466.34 |
| 2-3years | 3,402,846.21 | 4,495,902.18 |
| Over3years | 121,583,081.21 | 115,414,321.77 |
| 3-4years | 3,507,438.00 | 3,882,310.18 |
| 4-5years | 2,699,084.63 | 9,518,614.26 |
| Over5years | 115,376,558.58 | 102,013,397.33 |
| Total | 168,131,749.91 | 176,358,353.41 |
TheCompanyneedstocomplywiththedisclosurerequirementsofthedecorationanddecorationindustryintheGuidelinesfortheSelf-disciplineandSupervisionofListedCompaniesofShenzhenStockExchangeNo.3-IndustryInformationDisclosure.Significantindividualamountsofotheraccountsreceivableinthecurtainwallandmaterialsindustrythathaveexceededthreeyearsinage
| Customer | Balanceofotherreceivablesolderthanthreeyears(RMB) | Balanceofprovisionforbaddebts(RMB) | Reasonoftheage | Whetherthereisariskofrecovery |
| Customer1 | 1,970,381.89 | 1,970,381.89 | Customercreditstatusdeteriorates | Yes |
| Customer2 | 1,586,520.17 | 23,639.15 | Performancebond | No |
| Total | 3,556,902.06 | 1,994,021.04 |
(3)Disclosurebybaddebtaccrualmethod?Applicable□Inapplicable
InRMB
| Type | Closingbalance | Openingbalance | ||||||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Provisionforbaddebtsbycombination | 168,131,749.91 | 100.00% | 9,110,071.81 | 5.42% | 159,021,678.10 | 176,358,353.41 | 100.00% | 8,035,828.61 | 4.56% | 168,322,524.80 |
| Including: | ||||||||||
| Firststage | 158,161,485.57 | 94.07% | 2,357,587.33 | 1.49% | 155,803,898.24 | 167,771,508.00 | 95.13% | 2,498,265.50 | 1.49% | 165,273,242.50 |
| Secondstage | 3,317,298.83 | 1.97% | 99,518.97 | 3.00% | 3,217,779.86 | 3,143,590.00 | 1.78% | 94,307.70 | 3.00% | 3,049,282.30 |
| Thirdstage | 6,652,965.51 | 3.96% | 6,652,965.51 | 100.00% | 0.00 | 5,443,255.41 | 3.09% | 5,443,255.41 | 100.00% | 0.00 |
| Total | 168,131,749.91 | 100.00% | 9,110,071.81 | 5.42% | 159,021,678.10 | 176,358,353.41 | 100.00% | 8,035,828.61 | 4.56% | 168,322,524.80 |
Provisionforbaddebtsbycategory:Portfolio1:Stageone
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Portfolio1:Firststage | 158,161,485.57 | 2,357,587.33 | 1.49% |
| Total | 158,161,485.57 | 2,357,587.33 | |
Descriptionofthebasisfordeterminingtheportfolio:Provisionforbaddebtsismadeonthebasisofthegeneralmodelofexpectedcreditlosses.Provisionforbaddebtsbycategory:Portfolio2:Stagetwo
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Portfolio2:Secondstage | 3,317,298.83 | 99,518.97 | 3.00% |
| Total | 3,317,298.83 | 99,518.97 | |
Provisionforbaddebtsbycategory:Portfolio3:Stagethree
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Portfolio3:Thirdstage | 6,652,965.51 | 6,652,965.51 | 100.00% |
| Total | 6,652,965.51 | 6,652,965.51 | |
Provisionforbaddebtsbasedongeneralmodelofexpectedcreditlosses
InRMB
| Baddebtprovision | Firststage | Secondstage | Thirdstage | Total |
| Expectedcreditlossesinthenext12months | Expectedcreditlossfortheentireduration(nocreditimpairment) | Expectedcreditlossfortheentireduration(creditimpairmenthasoccurred) | ||
| BalanceonWednesday,January1,2025 | 2,498,265.50 | 94,307.70 | 5,443,255.41 | 8,035,828.61 |
| BalanceonWednesday,January1,2025inthecurrentperiod | ||||
| Provision | -141,170.07 | 5,211.27 | 1,209,710.10 | 1,073,751.30 |
| Otherchange | 491.90 | 491.90 | ||
| BalanceonMonday,June30,2025 | 2,357,587.33 | 99,518.97 | 6,652,965.51 | 9,110,071.81 |
Criteriaforstagedivisionandprovisionratiosforbaddebts
| Firststage | Paymentsnotoverdueoroverdueforlessthan30days | 1.49% | |
| Secondstage | PaymentsexcludingthoseinStageOneandStageThree | 3.00% | |
| Thirdstage | Paymentsoverdueformorethan90daysandhaveincurredcreditimpairment | Individualrecognition | Determinedbasedontheactuallossratecalculatedforindividualitems |
| Others | 100% | ||
Changesinbookbalanceswithsignificantchangesinthecurrentperiod
□Applicable?Inapplicable
4)Baddebtprovisionmade,returnedorrecoveredintheperiodBaddebtprovisionmadeintheperiod:
InRMB
| Type | Openingbalance | Changeintheperiod | Closingbalance | |||
| Provision | Written-backorrecovered | Write-off | Others | |||
| Provisionforbaddebtsbycombination | 8,035,828.61 | 1,073,751.30 | 491.90 | 9,110,071.81 | ||
| Total | 8,035,828.61 | 1,073,751.30 | 491.90 | 9,110,071.81 | ||
5)Balanceoftop5otherreceivablesattheendoftheperiod
InRMB
| Entity | Bynature | Closingbalance | Age | Percentage(%) | Balanceofbaddebtprovisionattheendoftheperiod |
| ShenzhenYikangRealEstateCo. | Marginand | 6,000,000.00 | 2-3years | 45.24% | 1,133,333.87 |
| Ltd. | currentaccount | 62,675.83 | 4-5years | ||
| 70,000,000.00 | Over5years | ||||
| BangshenElectronics(Shenzhen)Co.,Ltd. | Deposit | 20,000,000.00 | Over5years | 11.90% | 298,000.00 |
| JiangxiYajinghongTradingCo.,Ltd. | Refundableadvancepayments | 16,215,255.00 | Lessthan1year | 9.64% | 241,607.30 |
| ShenzhenHenggangDakangCo.,Ltd. | Deposit | 8,000,000.00 | Over5years | 4.76% | 119,200.00 |
| ShenzhenGanshangJointInvestmentCo.,Ltd. | Others | 3,791,089.25 | Over5years | 2.25% | 56,487.23 |
| Total | 124,069,020.08 | 73.79% | 1,848,628.40 |
8.Prepayment
(1)Accountagesofprepayments
InRMB
| Age | Closingbalance | Openingbalance | ||
| Amount | Proportion | Amount | Proportion | |
| Lessthan1year | 25,027,812.41 | 81.59% | 17,938,392.45 | 76.81% |
| 1-2years | 1,197,822.36 | 3.90% | 1,949,630.86 | 8.35% |
| 2-3years | 1,959,235.04 | 6.39% | 1,404,616.03 | 6.01% |
| Over3years | 2,491,082.56 | 8.12% | 2,062,396.77 | 8.83% |
| Total | 30,675,952.37 | 23,355,036.11 | ||
Attheendoftheperiod,therearenoimportantprepaymentsexceedingoneyearinage.
(2)Balanceoftop5prepaymentsattheendoftheperiodThetotaloftop5prepaymentsintermsoftheprepaidentitiesintheperiodisRMB9,376,206.65,accountingfor30.57%ofthetotalprepaymentsattheendoftheperiod.
9.Inventories
WhethertheCompanyneedstocomplywithdisclosurerequirementsoftherealestateindustry.Yes
(1)Classificationofinventories
TheCompanyneedstocomplywiththedisclosurerequirementsoftherealestateindustryintheGuidelinesfortheSelf-disciplineandSupervisionofListedCompaniesofShenzhenStockExchangeNo.3-IndustryInformationDisclosure.Classifiedbynature:
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Remainingbookvalue | Provisionforinventorydepreciationorcontract | Bookvalue | Remainingbookvalue | Provisionforinventorydepreciationorcontract | Bookvalue | |
| performancecostimpairmentprovision | performancecostimpairmentprovision | |||||
| Developmentcost | 232,850,833.28 | 232,850,833.28 | 230,990,938.09 | 230,990,938.09 | ||
| Developmentproducts | 123,294,948.03 | 123,294,948.03 | 124,380,755.91 | 124,380,755.91 | ||
| Contractperformancecosts | 87,870,860.04 | 87,870,860.04 | 102,358,825.07 | 102,358,825.07 | ||
| Rawmaterials | 137,241,926.40 | 137,241,926.40 | 110,961,372.14 | 110,961,372.14 | ||
| Productinprocess | 92,784,395.99 | 92,784,395.99 | 91,796,788.96 | 91,796,788.96 | ||
| Finishedgoodsinstock | 43,889,520.00 | 43,889,520.00 | 8,694,704.45 | 8,694,704.45 | ||
| Lowpriceconsumable | 182,549.71 | 182,549.71 | 178,098.23 | 178,098.23 | ||
| OEMmaterials | 14,107,387.38 | 14,107,387.38 | 13,483,327.00 | 13,483,327.00 | ||
| Goodsdelivered | 13,352,219.33 | 13,352,219.33 | 20,251,212.30 | 20,251,212.30 | ||
| Materialsintransit | 2,570,386.59 | 2,570,386.59 | ||||
| Total | 745,574,640.16 | 745,574,640.16 | 705,666,408.74 | 705,666,408.74 |
Developmentcostandcapitalizationrateofitsinterestaredisclosedasfollows:
InRMB
| Item | Startingtime | Estimatedfinishtime | Estimatedtotalinvestment | Openingbalance | Transferredtodevelopmentproductinthisperiod | Otherdecreaseinthisperiod | Increase(developmentcost)inthisperiod | Closingbalance | Accumulativecapitalizedinterest | Including:capitalizedinterestforthecurrentperiod | Capitalsource |
| DakangVillageProjectinShenzhen | 1December2028 | December31,2034 | 3,600,000,000.00 | 201,016,423.09 | 310,330.19 | 201,326,753.28 | Bankloansandownfunds | ||||
| FangdaBangshenIndustryPark | 1December2025 | December31,2026 | 870,000,000.00 | 29,974,515.00 | 1,549,565.00 | 31,524,080.00 | |||||
| Total | 4,470,000,000.00 | 230,990,938.09 | 1,859,895.19 | 232,850,833.28 |
Disclosethemainprojectinformationof"DevelopmentProducts"accordingtothefollowingformat:
InRMB
| Item | Completiontime | Openingbalance | Increase | Decrease | Closingbalance | Accumulativecapitalized | Including:capitalized |
| interest | interestforthecurrentperiod | ||||||
| PhaseIofFangdaTown | December29,2016 | 15,532,505.97 | 15,532,505.97 | 549,009.88 | |||
| NanchangFangdaCenter | April27,2021 | 108,848,249.94 | 1,085,807.88 | 107,762,442.06 | 4,179,820.41 | ||
| Total | 124,380,755.91 | 1,085,807.88 | 123,294,948.03 | 4,728,830.29 |
(2)Capitalizationrateofinterestintheclosinginventorybalance
AsofJune30,2025,thecapitalizationamountofborrowingcostsintheendinginventorybalanceisRMB4,728,830.29.
10.Othercurrentassets
InRMB
| Item | Closingbalance | Openingbalance |
| ReclassificationofVATdebitbalance | 319,957,156.93 | 292,626,079.84 |
| Overpaymentandprepaymentofincometax | 11,338,103.87 | 11,197,246.58 |
| Paymenttobecollectedonbehalfofsuppliers | 3,003,841.89 | 3,003,841.89 |
| Prepaidothertaxesandfees | 911,445.00 | 949,974.83 |
| Total | 335,210,547.69 | 307,777,143.14 |
11.Long-termshareequityinvestment
InRMB
| Investedentity | Openingbookvalue | Beginningbalanceofimpairmentprovisions | Change(+,-) | Closingbookvalue | Balanceofimpairmentprovisionattheendoftheperiod | |||||||
| Increasedinvestment | Decreasedinvestment | Investmentgainandlossrecognizedusingtheequitymethod | Othermiscellaneousincomeadjustment | Otherequitychange | Cashdividendorprofitannounced | Impairmentprovision | Others | |||||
| 1.Jointventure | ||||||||||||
| 2.Associate | ||||||||||||
| GanshangJointInvestment | 2,402,841.50 | 245.35 | 2,403,086.85 | |||||||||
| JiangxiBusinessInnovativePropertyJointStockCo.,Ltd. | 54,288,132.47 | -35,409.60 | 54,252,722.87 | ||
| Subtotal | 56,690,973.97 | -35,164.25 | 56,655,809.72 | ||
| Total | 56,690,973.97 | -35,164.25 | 56,655,809.72 |
Therecoverableamountisdeterminedasthenetamountafterdeductingthedisposalcostsfromthefairvalue.
□Applicable?InapplicableTherecoverableamountisdeterminedbasedonthepresentvalueofestimatedfuturecashflows.
□Applicable?Inapplicable
12.Othernon-currentfinancialassets
InRMB
| Item | Closingbalance | Openingbalance |
| Financialassetsmeasuredatfairvaluewithvariationsaccountedintocurrentincomeaccount | 6,523,233.73 | 6,519,740.17 |
| Total | 6,523,233.73 | 6,519,740.17 |
13.Investmentrealestates
(1)Investmentrealestatemeasuredatcosts
□Applicable?Inapplicable
(2)Investmentrealestatemeasuredatfairvalue?Applicable□Inapplicable
InRMB
| Item | Houses&buildings | Total |
| I.Openingbalance | 5,835,036,098.20 | 5,835,036,098.20 |
| II.Changeinthisperiod | -9,208,981.24 | -9,208,981.24 |
| Add:externalpurchase | ||
| Transfer-infrominventory\fixedassets\constructioninprogress | ||
| Less:disposal | 9,261,764.55 | 9,261,764.55 |
| Changeinfairvalue | 52,783.31 | 52,783.31 |
| III.Closingbalance | 5,825,827,116.96 | 5,825,827,116.96 |
TheCompanyneedstocomplywiththedisclosurerequirementsoftherealestateindustryintheGuidelinesfortheSelf-disciplineandSupervisionofListedCompaniesofShenzhenStockExchangeNo.3-IndustryInformationDisclosure.Disclosureofinvestmentrealestatemeasuredatfairvaluebyprojects
InRMB
| Item | Location | Completiontime | Buildingarea(m2) | Rentalincomeinthereportperiod | Openingfairvalue | Closingfairvalue | Changeinfairvalue | Reasonforthechangeandreport |
| FangdaTowncommercialandofficebuildings | Shenzhen | 11October2017 | 92,470.58 | 36,729,288.57 | 4,816,996,153.02 | 4,816,996,153.02 | 0.00% | |
| FangdaBuilding | Shenzhen | 28December2002 | 20,464.75 | 7,703,010.96 | 380,644,350.00 | 380,644,350.00 | 0.00% | |
| NanchangFangdaCenter | Nanchang | December10,2020 | 38,165.36 | 6,838,442.83 | 415,552,403.00 | 415,552,403.00 | 0.00% | |
| NanchangFangdaTechnologyPark | Nanchang | 2August2005 | 85,472.88 | 2,685,475.32 | 185,877,848.00 | 185,877,848.00 | 0.00% | |
| Others | Guangzhou,Zhuhai,Shaoguan,etc. | 2,847.06 | 39,779.85 | 35,965,344.18 | 26,756,362.94 | -25.61% | Duetothedisposalofsomepropertiesduringtheperiod | |
| Total | 239,420.63 | 53,995,997.53 | 5,835,036,098.20 | 5,825,827,116.96 | -0.16% |
WhethertheCompanyhasinvestmentrealestateinthecurrentconstructionperiod
□Yes?NoWhetherthereisnewinvestmentrealestatemeasuredatfairvalueinthereportperiod
□Yes?No
(3)Investmentrealestatewithoutownershipcertificate
InRMB
| Item | Bookvalue | Reason |
| FiveunitsatLanzhouRailTransit·CityDawn | 4,584,155.96 | Thedeveloperiscompletingtherelevantprocedures |
14.Fixedassets
InRMB
| Item | Closingbalance | Openingbalance |
| Fixedassets | 932,515,821.46 | 939,548,074.59 |
| Disposaloffixedassets | 1,346,269.80 | |
| Total | 932,515,821.46 | 940,894,344.39 |
(1)Fixedassets
InRMB
| Item | Houses&buildings | Mechanicalequipment | Transportationfacilities | Electronicsandotherdevices | PVpowerplants | Total |
| I.Originalbookvalue: | ||||||
| 1.Openingbalance | 856,161,214.35 | 128,885,604.12 | 21,320,277.19 | 51,360,255.80 | 129,754,129.46 | 1,187,481,480.92 |
| 2.Increaseinthisperiod | 1,039,788.14 | 8,258,788.93 | 227,633.25 | 1,779,787.33 | 11,305,997.65 | |
| (1)Purchase | 8,397.00 | 8,258,788.93 | 227,633.25 | 1,779,787.33 | 10,274,606.51 | |
| (2)Transfer-inofconstructioninprogress | 1,031,391.14 | 1,031,391.14 | ||||
| 3.Decreaseinthisperiod | 11,149.00 | 18,500.00 | 365,300.34 | 443,040.30 | 837,989.64 | |
| (1)Disposalorretirement | 11,149.00 | 18,500.00 | 360,130.54 | 441,855.32 | 831,634.86 | |
| (2)Otherdecrease | 5,169.80 | 1,184.98 | 6,354.78 | |||
| 4.Closingbalance | 857,189,853.49 | 137,125,893.05 | 21,182,610.10 | 52,697,002.83 | 129,754,129.46 | 1,197,949,488.93 |
| II.Accumulativedepreciation | ||||||
| 1.Openingbalance | 87,653,570.30 | 59,286,500.08 | 15,592,743.42 | 32,441,506.84 | 52,954,004.49 | 247,928,325.13 |
| 2.Increaseinthisperiod | 9,725,673.83 | 3,732,462.31 | 434,138.64 | 1,270,673.61 | 3,077,964.96 | 18,240,913.35 |
| (1)Provision | 9,725,673.83 | 3,732,462.31 | 434,138.64 | 1,270,673.61 | 3,077,964.96 | 18,240,913.35 |
| 3.Decreaseinthisperiod | 3,930.14 | 16,650.00 | 324,117.49 | 395,954.58 | 740,652.21 | |
| (1)Disposalorretirement | 3,930.14 | 16,650.00 | 324,117.49 | 395,954.58 | 740,652.21 | |
| 4.Closingbalance | 97,375,313.99 | 63,002,312.39 | 15,702,764.57 | 33,316,225.87 | 56,031,969.45 | 265,428,586.27 |
| III.Impairmentprovision | ||||||
| 1.Openingbalance | 5,081.20 | 5,081.20 | ||||
| 2.Increaseinthisperiod |
| 3.Decreaseinthisperiod | ||||||
| 4.Closingbalance | 5,081.20 | 5,081.20 | ||||
| IV.Bookvalue | ||||||
| 1.Closingbookvalue | 759,814,539.50 | 74,118,499.46 | 5,479,845.53 | 19,380,776.96 | 73,722,160.01 | 932,515,821.46 |
| 2.Openingbookvalue | 768,507,644.05 | 69,594,022.84 | 5,727,533.77 | 18,918,748.96 | 76,800,124.97 | 939,548,074.59 |
(2)Fixedassetswithoutownershipcertificate
InRMB
| Item | Bookvalue | Reason |
| YuehaiOfficeBuildingC502 | 97,241.85 | Historicalreasons |
(3)Disposaloffixedassets
InRMB
| Item | Closingbalance | Openingbalance |
| Disposaloffixedassets | 1,346,269.80 | |
| Total | 1,346,269.80 |
15.Constructioninprocess
InRMB
| Item | Closingbalance | Openingbalance |
| Constructioninprocess | 4,883,219.33 | 7,265,104.44 |
| Total | 4,883,219.33 | 7,265,104.44 |
(1)Constructioninprogress
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Remainingbookvalue | Impairmentprovision | Bookvalue | Remainingbookvalue | Impairmentprovision | Bookvalue | |
| Fangda(Ganzhou)Low-CarbonIntelligentManufacturingBaseExhibitionHallandInstallationEquipment | 4,390,931.22 | 4,390,931.22 | 7,018,372.92 | 7,018,372.92 | ||
| Songshanlakeproductionbaseexhibitionhallrenovation | 407,009.63 | 407,009.63 | 246,731.52 | 246,731.52 | ||
| Others | 85,278.48 | 85,278.48 | ||||
| Total | 4,883,219.33 | 4,883,219.33 | 7,265,104.44 | 7,265,104.44 |
(2)Impairmenttestingofconstructioninprogress
□Applicable?Inapplicable
16.Userightassets
(1)Right-to-useassets
InRMB
| Item | Houses&buildings | Transportationfacilities | Total |
| I.Originalbookvalue: | |||
| 1.Openingbalance | 17,835,398.71 | 9,285,061.69 | 27,120,460.40 |
| 2.Increaseinthisperiod | 1,774,021.98 | 358,600.31 | 2,132,622.29 |
| 3.Decreaseinthisperiod | 3,687,980.46 | 1,459,531.04 | 5,147,511.50 |
| 4.Closingbalance | 15,921,440.23 | 8,184,130.96 | 24,105,571.19 |
| II.Accumulativedepreciation | |||
| 1.Openingbalance | 9,589,374.43 | 1,847,964.93 | 11,437,339.36 |
| 2.Increaseinthisperiod | 2,846,270.52 | 906,821.82 | 3,753,092.34 |
| (1)Provision | 2,846,270.52 | 906,821.82 | 3,753,092.34 |
| 3.Decreaseinthisperiod | 3,490,935.35 | 1,348,069.46 | 4,839,004.81 |
| (1)Disposal | 3,490,935.35 | 1,348,069.46 | 4,839,004.81 |
| 4.Closingbalance | 8,944,709.60 | 1,406,717.29 | 10,351,426.89 |
| III.Impairmentprovision | |||
| 1.Openingbalance | |||
| 2.Increaseinthisperiod | |||
| 3.Decreaseinthisperiod | |||
| 4.Closingbalance | |||
| IV.Bookvalue | |||
| 1.Closingbookvalue | 6,976,730.63 | 6,777,413.67 | 13,754,144.30 |
| 2.Openingbookvalue | 8,246,024.28 | 7,437,096.76 | 15,683,121.04 |
(2)Impairmenttestingofright-of-useassets
□Applicable?Inapplicable
17.Intangibleassets
(1)Intangibleassets
InRMB
| Item | Landusingright | Software | Trademarks,patents,proprietarytechnologies,andothers | Total |
| I.Bookvalue | ||||
| 1.Openingbalance | 142,009,721.92 | 24,267,321.82 | 9,779,872.37 | 176,056,916.11 |
| 2.Increaseinthisperiod | 4,589,209.42 | 1,350.00 | 4,590,559.42 | |
| (1)Purchase | 4,589,209.42 | 1,350.00 | 4,590,559.42 | |
| 3.Decreaseinthisperiod | 48,330,450.00 | 1,954,433.04 | 57,905.00 | 50,342,788.04 |
| (1)Disposal | 48,330,450.00 | 1,954,433.04 | 57,905.00 | 50,342,788.04 |
| 4.Closingbalance | 93,679,271.92 | 26,902,098.20 | 9,723,317.37 | 130,304,687.49 |
| II.Accumulativeamortization | ||||
| 1.Openingbalance | 24,105,634.24 | 15,108,511.74 | 8,946,369.49 | 48,160,515.47 |
| 2.Increaseinthisperiod | 2,048,865.16 | 1,194,847.43 | 95,518.42 | 3,339,231.01 |
| (1)Provision | 2,048,865.16 | 1,194,847.43 | 95,518.42 | 3,339,231.01 |
| 3.Decreaseinthisperiod | 3,955,162.47 | 1,954,433.04 | 57,680.00 | 5,967,275.51 |
| (1)Disposal | 3,955,162.47 | 1,954,433.04 | 57,680.00 | 5,967,275.51 |
| 4.Closingbalance | 22,199,336.93 | 14,348,926.13 | 8,984,207.91 | 45,532,470.97 |
| III.Impairmentprovision | ||||
| 1.Openingbalance | 3,844,005.85 | 3,844,005.85 | ||
| 2.Increaseinthisperiod | ||||
| 3.Decreaseinthisperiod | 3,844,005.85 | 3,844,005.85 | ||
| 4.Closingbalance | ||||
| IV.Bookvalue | ||||
| 1.Closingbookvalue | 71,479,934.99 | 12,553,172.07 | 739,109.46 | 84,772,216.52 |
| 2.Openingbookvalue | 114,060,081.83 | 9,158,810.08 | 833,502.88 | 124,052,394.79 |
(2)Impairmenttestofintangibleassets
□Applicable?Inapplicable
18.Long-termamortizableexpenses
InRMB
| Item | Openingbalance | Increaseinthisperiod | Amortizedamountinthisperiod | Otherdecrease | Closingbalance |
| XuanfengChayuanvillageandZhuyuanvillagelandtransfercompensation | 860,222.42 | 28,050.78 | 832,171.64 | ||
| SporadicdecorationandrenovationcostsofFangdaTown | 1,142,235.22 | 348,296.00 | 722,273.27 | 768,257.95 | |
| SporadicdecorationandrenovationcostsofFangdaCenter | 367,433.90 | 210,458.87 | 156,975.03 | ||
| Environmentalprotectionservicefees | 3,131,349.06 | 521,891.52 | 2,609,457.54 | ||
| NanchangFangdaTechnologyParkplantmaintenanceandrenovation | 1,629,423.90 | 213,045.64 | 1,416,378.26 | ||
| Others | 1,671,134.16 | 632,403.63 | 820,741.96 | 1,482,795.83 | |
| Total | 4,041,025.70 | 5,741,472.59 | 2,516,462.04 | 7,266,036.25 |
19.Differedincometaxassetsanddifferedincometaxliabilities
(1)Non-deducteddeferredincometaxassets
InRMB
| Item | Closingbalance | Openingbalance | ||
| Deductibletemporarydifference | Deferredincometaxassets | Deductibletemporarydifference | Deferredincometaxassets | |
| Assetsimpairmentprovision | 216,867,647.55 | 33,126,289.85 | 227,880,793.93 | 35,025,619.90 |
| Creditimpairmentprovision | 447,553,075.02 | 70,697,757.98 | 382,932,070.72 | 60,483,324.52 |
| Unrealizablegrossprofit | 114,814,567.82 | 27,540,022.30 | 108,593,435.66 | 26,573,799.68 |
| Deductibleloss | 338,802,776.49 | 76,884,614.94 | 286,565,331.75 | 67,193,424.59 |
| Anticipatedliabilities | 2,787,964.34 | 418,194.65 | 4,191,535.03 | 628,730.25 |
| Unrealizedinvestmentincome | 283,670,426.45 | 56,136,538.46 | 281,712,399.15 | 55,842,834.35 |
| Deferredearning | 22,906,370.60 | 3,582,586.79 | 5,946,064.06 | 1,041,584.25 |
| Changeinfairvalue | 5,848,556.53 | 877,283.45 | 8,623,065.19 | 1,303,042.83 |
| Leaseliabilities | 11,178,785.24 | 1,749,382.05 | 15,352,065.96 | 2,788,081.55 |
| Accruedandunpaidlandtax | 16,012,293.28 | 4,003,073.33 | 16,012,293.28 | 4,003,073.33 |
| Reservedexpense | 36,589,539.42 | 5,488,430.92 | 36,589,539.42 | 5,488,430.92 |
| Taxandaccountingdifferencesforoverseassubsidiaries | 8,951,298.84 | 2,685,389.63 | 8,617,276.57 | 2,585,182.97 |
| Total | 1,505,983,301.58 | 283,189,564.35 | 1,383,015,870.72 | 262,957,129.14 |
(2)Non-deducteddeferredincometaxliabilities
InRMB
| Item | Closingbalance | Openingbalance | ||
| Taxabletemporarydifference | Deferredincometaxliabilities | Taxabletemporarydifference | Deferredincometaxliabilities | |
| Changeinfairvalue | 4,291,784,723.01 | 1,071,484,258.17 | 4,296,974,960.10 | 1,071,313,064.75 |
| Acquirepremiumtoforminventory | 1,535,605.48 | 383,901.37 | 1,535,605.48 | 383,901.37 |
| Userightassets | 11,440,452.47 | 1,870,523.49 | 15,683,121.04 | 2,901,986.66 |
| EstimatedgrossmarginwhenFangdaTownrecordsincome,butdoesnotreachthetaxableincomelevel | 19,716,135.04 | 4,929,033.76 | 24,131,708.41 | 6,032,927.10 |
| Rentalincome | 11,298,705.70 | 2,824,676.43 | 26,717,859.03 | 6,679,464.47 |
| Total | 4,335,775,621.70 | 1,081,492,393.22 | 4,365,043,254.06 | 1,087,311,344.35 |
(3)Netdeferredincometaxassetsorliabilitieslisted
InRMB
| Item | Deferredincometaxassetsandliabilitiesattheendoftheperiod | Offsetbalanceofdeferredincometaxassetsorliabilitiesafter | Deferredincometaxassetsandliabilitiesatthebeginningofthe | Offsetbalanceofdeferredincometaxassetsorliabilitiesafter |
| offsetting | period | offsetting | ||
| Deferredincometaxassets | 58,848,324.93 | 224,341,239.43 | 56,970,202.43 | 205,986,926.71 |
| Deferredincometaxliabilities | 58,848,324.93 | 1,022,644,068.29 | 56,970,202.43 | 1,030,341,141.92 |
(4)Detailsofunrecognizeddeferredincometaxassets
InRMB
| Item | Closingbalance | Openingbalance |
| Deductibletemporarydifference | 307,077.18 | 434,437.85 |
| Deductibleloss | 385,869.43 | 383,366.61 |
| Total | 692,946.61 | 817,804.46 |
(5)Deductiblelossesoftheun-recognizeddeferredincometaxassetwillexpireinthefollowingyears
InRMB
| Year | Closingamount | Openingamount | Remarks |
| 2025 | 2,679.34 | 2,679.34 | |
| 2026 | 449.91 | 449.91 | |
| 2027 | 125,759.62 | 125,759.62 | |
| 2028 | 122,872.18 | 122,872.18 | |
| 2029 | 131,605.56 | 131,605.56 | |
| 2030andlater | 2,502.82 | ||
| Total | 385,869.43 | 383,366.61 |
20.Othernon-currentassets
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Remainingbookvalue | Impairmentprovision | Bookvalue | Remainingbookvalue | Impairmentprovision | Bookvalue | |
| Contractassets | 184,571,451.30 | 11,397,076.96 | 173,174,374.34 | 160,412,051.45 | 11,257,487.71 | 149,154,563.74 |
| Prepaidhouseandequipmentamount | 84,780,258.02 | 84,780,258.02 | 63,504,106.15 | 63,504,106.15 | ||
| Total | 269,351,709.32 | 11,397,076.96 | 257,954,632.36 | 223,916,157.60 | 11,257,487.71 | 212,658,669.89 |
21.Assetswithrestrictedownershiporuserights
InRMB
| Item | Closingbalance | Beginningoftheperiod | ||||||
| Remainingbookvalue | Bookvalue | Typeofrestriction | Restrictedsituation | Remainingbookvalue | Bookvalue | Typeofrestriction | Restrictedsituation | |
| Monetarycapital | 351,421,548.82 | 351,421,548.82 | Forpledgeorrestricteduse | Variousdeposits | 460,052,125.50 | 460,052,125.50 | Forpledgeorrestricteduse | Variousdeposits |
| Notes | 56,039,576. | 55,952,616. | For | Bills | 34,500,685. | 34,490,806. | For | Bills |
| receivable | 30 | 30 | endorsementordiscounting | endorsedordiscountedbutnotyetdue | 65 | 03 | endorsementordiscounting | endorsedordiscountedbutnotyetdue |
| Fixedassets | 420,916,516.86 | 407,640,671.99 | Usedascollateral | Loanbypledge | 362,760,741.16 | 355,978,425.04 | Usedascollateral | Loanbypledge |
| Intangibleassets | 24,179,649.75 | 22,970,667.15 | Usedascollateral | Loanbypledge | 24,179,649.75 | 23,212,463.67 | Usedascollateral | Loanbypledge |
| Accountreceivable | 18,855,961.07 | 18,571,850.64 | Forpledge | Loanbypledge | 34,364,041.60 | 33,851,277.04 | Forpledge | Loanbypledge |
| Investmentrealestate | 3,469,098,906.24 | 3,469,098,906.24 | Usedascollateral | Loanbypledge | 1,822,483,172.10 | 1,822,483,172.10 | Usedascollateral | Loanbypledge |
| Equitypledge | 200,000,000.00 | 200,000,000.00 | Forpledge | 100%stakeinFangdaPropertyDevelopmentheldbytheCompany | 200,000,000.00 | 200,000,000.00 | Forpledge | 100%stakeinFangdaPropertyDevelopmentheldbytheCompany |
| Total | 4,540,512,159.04 | 4,525,656,261.14 | 2,938,340,415.76 | 2,930,068,269.38 |
22.Short-termborrowings
(1)Classificationofshort-termborrowings
InRMB
| Item | Closingbalance | Openingbalance |
| Guaranteeloan | 756,848,890.56 | 720,642,744.49 |
| Guaranteeandpledgeloan | 453,677,441.67 | 943,053,677.99 |
| Total | 1,210,526,332.23 | 1,663,696,422.48 |
ExplanationofShort-TermLoanClassification:TheendingbalanceofguaranteedloansofRMB756,848,890.56isguaranteedbytheCompanyforitssubsidiaries;theendingbalanceofguaranteedandpledgedloansofRMB453,677,441.67isguaranteedbytheCompanyforitssubsidiariesandsecuredbythesubsidiaries'depositsorintellectualproperty.
23.Derivativefinancialliabilities
InRMB
| Item | Closingbalance | Openingbalance |
| Futurescontracts | 0.00 | 1,520,625.00 |
| Total | 0.00 | 1,520,625.00 |
24.Notespayable
InRMB
| Type | Closingbalance | Openingbalance |
| Commercialacceptance | 105,101.24 | 8,958,406.41 |
| Bankacceptance | 603,756,270.11 | 672,229,721.56 |
| Total | 603,861,371.35 | 681,188,127.97 |
ThetotalamountofpayablebillsthathavematuredbutnotbeenpaidattheendoftheperiodisRMB0.00.
25.Accountpayable
(1)Accountpayable
InRMB
| Item | Closingbalance | Openingbalance |
| Accountrepayableandengineeringrepayable | 1,341,231,699.80 | 1,528,510,873.88 |
| Payableinstallationandimplementationfees | 459,827,730.31 | 558,215,149.23 |
| Constructionpayable | 37,848,289.19 | 27,062,009.47 |
| Others | 34,651,891.68 | 32,806,857.99 |
| Total | 1,873,559,610.98 | 2,146,594,890.57 |
(2)Significantaccountspayableolderthanoneyearorpastdue
InRMB
| Item | Endingbalanceofaccountsagedoveroneyear | Reason |
| Supplier1 | 26,099,922.27 | Completionsettlementproceduresnotyetfinalized |
| Total | 26,099,922.27 |
26.Otherpayables
InRMB
| Item | Closingbalance | Openingbalance |
| Otherpayables | 120,776,692.65 | 120,918,002.02 |
| Total | 120,776,692.65 | 120,918,002.02 |
(1)Otherpayables
1)Otherpayablespresentedbynature
InRMB
| Item | Closingbalance | Openingbalance |
| Performanceandqualitydeposit | 38,607,530.17 | 42,955,873.85 |
| Deposit | 36,889,443.77 | 22,843,813.76 |
| Reservedexpense | 506,099.93 | 5,336,051.21 |
| Others | 44,773,618.78 | 49,782,263.20 |
| Total | 120,776,692.65 | 120,918,002.02 |
(2)Significantotheraccountspayableolderthan1yearorpastdue
InRMB
| Item | Closingbalance | Reason |
| ShenzhenYikangRealEstateCo.Ltd. | 26,159,711.72 | Paymentpaidasagreedinthecontract |
| Total | 26,159,711.72 |
27.Prepaymentreceived
(1)Prepaymentreceived
InRMB
| Item | Closingbalance | Openingbalance |
| Rentreceivedinadvance | 3,669,703.07 | 1,513,398.39 |
| Total | 3,669,703.07 | 1,513,398.39 |
28.Contractliabilities
InRMB
| Item | Closingbalance | Openingbalance |
| Projectfundscollectedinadvance | 253,906,485.13 | 259,315,011.77 |
| Realestatesalespayment | 1,121,660.56 | |
| Materialloan | 1,396,228.73 | 8,934,838.06 |
| Others | 664,493.39 | 344,191.43 |
| Total | 257,088,867.81 | 268,594,041.26 |
29.Employees'wagepayable
(1)Employees'wagepayable
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| 1.Short-termremuneration | 69,946,623.12 | 236,570,591.43 | 272,340,927.80 | 34,176,286.75 |
| 2.Retirementpensionprogram-definedcontributionplan | 762,569.73 | 15,900,506.69 | 16,203,201.21 | 459,875.21 |
| 3.Dismisscompensation | 5,534,455.12 | 4,349,301.26 | 9,418,412.78 | 465,343.60 |
| Total | 76,243,647.97 | 256,820,399.38 | 297,962,541.79 | 35,101,505.56 |
(2)Short-termremuneration
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| 1.Wage,bonus,allowanceandsubsidies | 68,590,093.96 | 220,840,671.79 | 256,595,401.61 | 32,835,364.14 |
| 2.Employeewelfare | 227,864.06 | 4,707,857.15 | 4,793,343.65 | 142,377.56 |
| 3.Socialinsurance | 187,229.50 | 5,221,752.52 | 5,256,394.54 | 152,587.48 |
| Including:medicalinsurance | 170,309.99 | 4,133,473.70 | 4,165,252.96 | 138,530.73 |
| Laborinjuryinsurance | 10,483.12 | 504,458.97 | 507,029.63 | 7,912.46 |
| Breedinginsurance | 6,436.39 | 351,603.17 | 351,895.27 | 6,144.29 |
| Medicalinsurance | 232,216.68 | 232,216.68 | ||
| 4.Housingfund | 73,372.23 | 5,411,736.70 | 5,270,788.32 | 214,320.61 |
| 5.Laborunionbudgetandstaff | 329,829.09 | 388,573.27 | 399,509.35 | 318,893.01 |
| educationfund | ||||
| 6.Short-termpaidleave | 538,234.28 | 25,490.33 | 512,743.95 | |
| Total | 69,946,623.12 | 236,570,591.43 | 272,340,927.80 | 34,176,286.75 |
(3)Definedcontributionplan
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| 1.Basicpension | 750,906.10 | 15,385,220.76 | 15,683,461.54 | 452,665.32 |
| 2.Unemploymentinsurance | 11,663.63 | 515,285.93 | 519,739.67 | 7,209.89 |
| Total | 762,569.73 | 15,900,506.69 | 16,203,201.21 | 459,875.21 |
30.Taxespayable
InRMB
| Item | Closingbalance | Openingbalance |
| VAT | 5,688,349.69 | 5,252,317.56 |
| Enterpriseincometax | 11,982,655.51 | 22,749,953.33 |
| Personalincometax | 1,064,595.82 | 1,436,564.89 |
| Citymaintenanceandconstructiontax | 312,003.37 | 442,894.30 |
| Landusingtax | 494,804.97 | 342,015.86 |
| Propertytax | 8,572,987.21 | 1,433,309.14 |
| Educationsurtax | 140,072.45 | 194,329.75 |
| Localeducationsurtax | 93,381.66 | 129,553.00 |
| LandVAT | 15,027,533.81 | 16,012,293.28 |
| Others | 587,456.22 | 853,886.08 |
| Total | 43,963,840.71 | 48,847,117.19 |
31.Non-currentliabilitiesduewithin1year
InRMB
| Item | Closingbalance | Openingbalance |
| Long-termloansduewithin1year | 364,576,203.33 | 123,355,127.55 |
| Leaseliabilitiesduewithinoneyear | 5,294,272.00 | 5,114,390.19 |
| Provisionsexpectedtomaturewithinoneyear | 1,050,184.81 | 2,905,143.31 |
| Total | 370,920,660.14 | 131,374,661.05 |
32.Othercurrentliabilities
InRMB
| Item | Closingbalance | Openingbalance |
| Unterminatednotesreceivable | 56,039,576.30 | 21,426,278.75 |
| SubstitutedmoneyonVAT | 17,393,522.93 | 29,409,280.92 |
| Total | 73,433,099.23 | 50,835,559.67 |
33.Long-termborrowings
(1)Classificationoflong-termborrowings
InRMB
| Item | Closingbalance | Openingbalance |
| Guarantee,mortgageandpledgeloan | 1,689,576,203.33 | 1,260,355,127.55 |
| Less:Long-termloansduewithin1year | 364,576,203.33 | 123,355,127.55 |
| Total | 1,325,000,000.00 | 1,137,000,000.00 |
ExplanationofLong-TermLoanClassification:Amongtheaforementionedguaranteed,mortgaged,andpledgedloans,anamountofRMB1,101,100,000.00isguaranteedbytheCompanyforitssubsidiary,FangdaRealEstateCompany,with100%equityofthesubsidiarypledged,partofFangdaTownpropertiesmortgaged,andrentalreceivablespledged.AnamountofRMB290,233,333.33isguaranteedbytheCompanyforitssubsidiary,FangdaIntelligentManufacturingCompany,withthesubsidiary'sfixedassetsandindustriallandprovidedasmortgagesecurity.AnamountofRMB298,242,870isguaranteedbytheCompanyforitssubsidiary,FangdaConstructionTechnologyCompany.OtherNotes:Theinterestrateforlong-termloansrangesfrom2.5%to5%.
34.Leaseliabilities
InRMB
| Item | Closingbalance | Openingbalance |
| Leasepayments | 14,784,665.89 | 18,828,149.71 |
| Less:unrecognizedfinancingexpenses | 952,372.28 | 3,061,152.04 |
| Less:leaseliabilitiesduewithinoneyear | 5,294,272.00 | 5,114,390.19 |
| Total | 8,538,021.61 | 10,652,607.48 |
35.Anticipatedliabilities
InRMB
| Item | Closingbalance | Openingbalance | Reason |
| Productqualitywarranty | 1,364,246.50 | 917,063.27 | Maintenancefee |
| Losscontracttobeexecuted | 369,328.45 | 369,328.45 | |
| Total | 1,733,574.95 | 1,286,391.72 |
36.Deferredearning
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance | Reason |
| Governmentsubsidy | 10,669,612.13 | 17,776,306.00 | 964,723.46 | 27,481,194.67 | Seethefollowingtable |
| Total | 10,669,612.13 | 17,776,306.00 | 964,723.46 | 27,481,194.67 |
Others:
| Item | December31,2024 | Amountofnewsubsidy | Amountincludedinnon-operatingrevenue | Othermisc.gainsrecordedinthisperiod | Otherchange | June30,2025 | Relatedtoassets/earning |
| MajorinvestmentprojectprizefromIndustryandTradeDevelopmentDivisionofDongguanFinanceBureau | 1,338,095.90 | 28,571.40 | 1,309,524.50 | Assets-related | |||
| DistributedPVpowergenerationprojectsubsidysponsoredbyDongguanReformandDevelopmentCommission | 268,750.37 | 12,499.98 | 256,250.39 | Assets-related | |||
| Subsidizedlandtransfer | 158,650.67 | 1,862.82 | 156,787.85 | Assets-related | |||
| Specialsubsidyforindustrialtransformation,upgradinganddevelopment | 998,949.15 | 75,869.58 | 923,079.57 | Assets-related | |||
| EnterpriseinformationizationsubsidyprojectofShenzhenSmallandMediumEnterpriseServiceAgency | 228,000.00 | 24,000.00 | 204,000.00 | Assets-related | |||
| NationalIndustryRevitalizationandTechnologyRenovationProjectfund | 4,454,797.70 | 153,864.30 | 4,300,933.40 | Assets-related | |||
| Subsidyfornewplant | 908,496.70 | 13,071.90 | 895,424.80 | Assets-related | |||
| Landsubsidy | 2,313,871.64 | 1,927,944.00 | 30,790.38 | 4,211,025.26 | Assets-related | ||
| Centralairpollutioncontrolfundawardandsubsidy | 10,234,100.00 | 524,825.64 | 9,709,274.36 | Assets-related | |||
| Equipmentspecialsubsidy | 5,614,262.00 | 99,367.46 | 5,514,894.54 | Assets-related | |||
| Total | 10,669,612.13 | 17,776,306.00 | 964,723.46 | 27,481,194.67 |
37.Capitalshare
InRMB
| Openingbalance | Change(+,-) | Closingbalance | |||||
| Issuednewshares | Bonusshares | Transferredfromreserves | Others | Subtotal | |||
| Totalofcapitalshares | 1,073,874,227.00 | 1,073,874,227.00 | |||||
38.Capitalreserve
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| Capitalpremium(sharecapitalpremium) | 2,903,850.98 | 2,903,850.98 | ||
| Othercapitalreserves | 1,454,097.35 | 1,454,097.35 | ||
| Total | 4,357,948.33 | 4,357,948.33 |
39.Othermiscellaneousincome
InRMB
| Item | Openingbalance | Amountoccurredinthecurrentperiod | Closingbalance | |||||
| Amountbeforeincometax | Less:amountwrittenintoothergainsandtransferredintogain/lossinpreviousterms | Less:amountwrittenintoothergainsandtransferredintogain/lossinpreviousterms | Less:Incometaxexpenses | After-taxamountattributedtotheparent | After-taxamountattributedtominorityshareholders | |||
| I.Othercomprehensiveincomethatcannotbereclassifiedintoprofitorloss | -3,779,277.52 | -3,779,277.52 | ||||||
| Fairvaluechangeofinvestmentinotherequitytools | -3,779,277.52 | -3,779,277.52 | ||||||
| 2.Othermisc.incomesthatwillbere-classifiedintogainandloss | 162,184,292.04 | 2,177,063.53 | 91,825.61 | 225,959.90 | 1,859,020.93 | 257.09 | 164,043,312.97 | |
| Cashflowhedgereserve | -1,269,329.14 | 1,598,225.00 | 239,733.74 | 1,358,491.26 | 89,162.12 | |||
| Translationdifferenceofforeignexchangestatement | -533,034.30 | 578,838.53 | 578,581.44 | 257.09 | 45,547.14 | |||
| Investmentrealestatemeasuredatfairvalue | 163,986,655.48 | 91,825.61 | -13,773.84 | -78,051.77 | 163,908,603.71 | |||
| Othermiscellaneousincome | 158,405,014.52 | 2,177,063.53 | 91,825.61 | 225,959.90 | 1,859,020.93 | 257.09 | 160,264,035.45 |
40.Surplusreserves
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance |
| Statutorysurplusreserves | 83,974,716.22 | 83,974,716.22 | ||
| Total | 83,974,716.22 | 83,974,716.22 |
41.Retainedprofit
InRMB
| Item | Currentperiod | Lastperiod |
| Adjustmentonretainedprofitofpreviousperiod | 4,805,192,000.28 | 4,772,359,940.45 |
| Retainedprofitadjustedatbeginningofyear | 4,805,192,000.28 | 4,772,359,940.45 |
| Plus:Netprofitattributabletoownersoftheparent | 17,289,598.23 | 116,795,117.62 |
| Commonsharedividendpayable | 53,693,711.35 | 85,909,938.16 |
| Closingundistributedprofit | 4,768,787,887.16 | 4,803,245,119.91 |
42.Operationalrevenueandcosts
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod | ||
| Income | Cost | Income | Cost | |
| Mainbusiness | 1,576,352,547.18 | 1,287,281,242.59 | 2,115,537,007.16 | 1,724,711,866.23 |
| Otherbusinesses | 21,933,902.86 | 20,256,406.69 | 18,308,580.60 | 12,887,318.75 |
| Total | 1,598,286,450.04 | 1,307,537,649.28 | 2,133,845,587.76 | 1,737,599,184.98 |
Breakdownofoperatingrevenuesandoperatingcosts:
InRMB
| Contractclassification | Segment1-curtainwall | Segment2-railtransitdivision | Segment3-realestatesegment | Segment4-newenergy | Segment5-othersegments | Total | ||||||
| Turnover | Operatingcost | Turnover | Operatingcost | Turnover | Operatingcost | Turnover | Operatingcost | Turnover | Operatingcost | Turnover | Operatingcost | |
| Businesstype | 1,184,916,485.51 | 1,055,106,425.59 | 316,923,499.00 | 226,276,904.92 | 79,515,183.06 | 22,323,987.11 | 9,228,271.51 | 3,830,331.66 | 7,703,010.96 | 0.00 | 1,598,286,450.04 | 1,307,537,649.28 |
| Including: | ||||||||||||
| Curtainwallsystemandmaterials | 1,184,916,485.51 | 1,055,106,425.59 | 1,184,916,485.51 | 1,055,106,425.59 | ||||||||
| Subwayscreendoorandservice | 316,923,499.00 | 226,276,904.92 | 316,923,499.00 | 226,276,904.92 | ||||||||
| Realestaterentalandsalesandpropertyservices | 79,515,183.06 | 22,323,987.11 | 79,515,183.06 | 22,323,987.11 | ||||||||
| PVpowergenerationproducts | 9,228,271.51 | 3,830,331.66 | 9,228,271.51 | 3,830,331.66 | ||||||||
| Others | 7,703,010.96 | 0.00 | 7,703,010.96 | 0.00 | ||||||||
| Byoperatingregion | 1,184,916,485.51 | 1,055,106,425.59 | 316,923,499.00 | 226,276,904.92 | 79,515,183.06 | 22,323,987.11 | 9,228,271.51 | 3,830,331.66 | 7,703,010.96 | 0.00 | 1,598,286,450.04 | 1,307,537,649.28 |
| Including: | ||||||||||||
| Domesticrevenue | 1,168,592,022.61 | 1,043,842,539.72 | 194,343,292.37 | 151,957,254.67 | 79,515,183.06 | 22,323,987.11 | 9,228,271.51 | 3,830,331.66 | 7,703,010.96 | 0.00 | 1,459,381,780.51 | 1,221,954,113.16 |
| Overseasrevenue | 16,324,462.90 | 11,263,885.87 | 122,580,206.63 | 74,319,650.25 | 138,904,669.53 | 85,583,536.12 | ||||||
| Classifiedbytimingofgoodstransfer | 1,184,916,485.51 | 1,055,106,425.59 | 316,923,499.00 | 226,276,904.92 | 79,515,183.06 | 22,323,987.11 | 9,228,271.51 | 3,830,331.66 | 7,703,010.96 | 1,598,286,450.04 | 1,307,537,649.28 | |
| Including: | ||||||||||||
| Revenuerecognizedatacertain | 65,290,099.04 | 61,738,645.95 | 63,009,900.50 | 41,757,364.58 | 5,666,572.47 | 1,050,507.21 | 9,228,271.51 | 3,830,331.66 | 143,194,843.52 | 108,376,849.40 | ||
| pointintime | ||||||||||||
| Revenuerecognizedoveraperiodoftime | 1,119,626,386.47 | 993,367,779.64 | 253,913,598.50 | 184,519,540.34 | 73,848,610.59 | 21,273,479.90 | 7,703,010.96 | 1,455,091,606.52 | 1,199,160,799.88 | |||
| Total | 1,184,916,485.51 | 1,055,106,425.59 | 316,923,499.00 | 226,276,904.92 | 79,515,183.06 | 22,323,987.11 | 9,228,271.51 | 3,830,331.66 | 7,703,010.96 | 0.00 | 1,598,286,450.04 | 1,307,537,649.28 |
(1)PerformanceobligationForcurtainwallmaterials,realestateandothercommoditysalestransactions,theCompanycompletestheperformanceobligationswhenthecustomerobtainsthecontroloftherelevantcommodities;forprovidingbuildingcurtainwall,Metroscreendoordesign,productionandinstallationandotherservicetransactions,theCompanyconfirmsthecompletedperformanceobligationsaccordingtotheperformanceprogressduringthewholeserviceperiod.ThecontractpriceoftheCompanyisusuallyduewithinoneyear,andthereisnosignificantfinancingcomponent.
(2)InformationrelatedtoremainingperformanceobligationsAsofJune30,2025,theCompany'sremainingcontractualobligationsaremainlyrelatedtotheCompany'sengineeringcontracts,andtheremainingcontractualobligationsareexpectedtoberecognizedasrevenueaccordingtotheperformanceprogressinthefutureperformanceperiodofthecorrespondingengineeringcontracts.Informationrelatedtothetransactionpriceallocatedtoremainingperformanceobligations:Asoftheendofthisreportingperiod,therevenueamountcorrespondingtosignedcontractsthathavenotyetbeenperformedornotyetfullyperformedisRMB7,261,365,734.90,ofwhichRMB2,129,172,779.98isexpectedtoberecognizedinthesecondhalfof2025,RMB2,646,082,333.78isexpectedtoberecognizedin2026,andRMB2,486,110,621.13isexpectedtoberecognizedin2027andbeyond.TheCompanyneedstocomplywiththedisclosurerequirementsoftherealestateindustryintheGuidelinesfortheSelf-disciplineandSupervisionofListedCompaniesofShenzhenStockExchangeNo.3-IndustryInformationDisclosure.Top-5projectsintermsofincomereceivedandrecognizedinthereportingperiod:
InRMB
| No. | Item | Balanace |
| 1 | FangdaTown | 67,545,399.85 |
| 2 | NanchangFangdaCenter | 9,454,141.51 |
43.Taxesandsurcharges
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Citymaintenanceandconstructiontax | 2,501,285.91 | 3,231,945.08 |
| Educationsurtax | 1,646,183.83 | 2,248,674.08 |
| Propertytax | 10,156,874.34 | 9,979,214.78 |
| Landusingtax | 951,661.75 | 952,023.94 |
| Vehicleusagetax | 8,280.00 | 8,760.00 |
| Stamptax | 1,207,094.02 | 2,082,243.80 |
| LandVAT | 29,663.90 | 3,489,085.76 |
| Others | 190,267.56 | 168,005.35 |
| Total | 16,691,311.31 | 22,159,952.79 |
44.Managementexpense
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Laborcosts | 62,759,919.24 | 57,329,867.92 |
| Agencies | 3,730,819.57 | 2,839,264.19 |
| Depreciationandamortization | 7,662,755.81 | 7,207,803.35 |
| Officeexpense | 5,757,836.53 | 4,020,332.41 |
| Entertainmentexpense | 2,885,580.60 | 5,332,709.90 |
| Amortizationofrightofuseassetsandleasefees | 2,048,192.67 | 2,246,218.58 |
| Lawsuit | 984,435.34 | 38,842.74 |
| Travelexpense | 1,161,746.58 | 2,010,823.16 |
| Others | 3,181,245.04 | 3,815,696.70 |
| Total | 90,172,531.38 | 84,841,558.95 |
45.Salesexpense
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Laborcosts | 14,739,070.64 | 12,788,956.33 |
| Salesagencyfee | 527,851.65 | 982,162.22 |
| Entertainmentexpense | 3,155,262.57 | 2,417,855.86 |
| Travelexpense | 1,771,703.48 | 1,410,466.32 |
| Advertisementandpromotionfee | 522,748.38 | 1,313,336.10 |
| Amortizationofrightofuseassetsandleasefees | 426,382.65 | 684,175.82 |
| Others | 1,490,559.11 | 3,961,319.31 |
| Total | 22,633,578.48 | 23,558,271.96 |
46.R&Dcost
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Laborcosts | 44,988,433.44 | 50,364,726.96 |
| Materialcosts | 10,230,946.89 | 26,975,019.70 |
| Agencies | 3,892,085.12 | 4,956,566.33 |
| Depreciationcosts | 639,840.42 | 840,171.99 |
| Amortizationofintangibleassets | 210,522.27 | 509,458.78 |
| Others | 1,552,348.57 | 1,993,659.12 |
| Total | 61,514,176.71 | 85,639,602.88 |
47.Financialexpense
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Interestexpense | 36,331,469.54 | 29,211,652.87 |
| Less:Interestincome | 5,980,063.68 | 11,466,633.99 |
| Acceptantdiscount | 5,957,956.12 | 12,789,518.90 |
| Exchangegain/loss | -393,308.06 | -1,419,923.57 |
| Commissionchargesandothers | 1,664,490.53 | 2,375,368.88 |
| Total | 37,580,544.45 | 31,489,983.09 |
48.Othergains
InRMB
| Source | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Governmentsubsidiesrelatedtodeferredincome(relatedtoassets) | 964,723.46 | 313,198.25 |
| Governmentsubsidiesdirectlyincludedincurrentprofitsandlosses(relatedtoincome) | 4,611,992.33 | 8,287,811.03 |
| Otheritemsrelatedtodailyactivitiesandincludedinotherincome | 1,326,243.60 | 2,861,328.23 |
| Total | 6,902,959.39 | 11,462,337.51 |
49.Incomefromfairvaluefluctuation
InRMB
| Sourceofincomefromfluctuationoffairvalue | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Investmentrealestatemeasuredatfairvalue | 2,763,052.08 | 555,662.75 |
| Othernon-currentfinancialassets | 3,493.56 | 2,702.12 |
| Total | 2,766,545.64 | 558,364.87 |
50.Investmentincome
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Gainsfromlong-termequityinvestmentmeasuredbyequity | -35,164.25 | -34,959.52 |
| Investmentincomefromdisposaloftradingfinancialassets | -890,803.00 | |
| Financialassetsderecognizedasaresultofamortizedcost | -696,903.65 | -1,123,208.42 |
| Investmentgainoffinancialproducts | 50,293.81 | |
| Others | 1,379.35 | -33,150.26 |
| Total | -680,394.74 | -2,082,121.20 |
51.Creditimpairmentloss
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Baddebtlossofotherreceivables | -1,073,751.30 | -781,873.49 |
| Baddebtlossofaccountsreceivableandnotesreceivable | -57,932,230.26 | -7,092,925.51 |
| Total | -59,005,981.56 | -7,874,799.00 |
52.Assetsimpairmentloss
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Contractassetimpairmentloss | 4,589,393.55 | -15,876,085.85 |
| Total | 4,589,393.55 | -15,876,085.85 |
53.Assetsdisposalgains
InRMB
| Source | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Dispositionnotclassifiedaspossessionoffixedassetstobesold,constructioninprogress,productivebiologicalassetsandintangibleassets | -1,119,266.83 | 3,289.78 |
| Including:Fixedassets | -487,985.15 | 3,289.78 |
| Intangibleassets | -631,281.68 | |
| Disposalofuserightassets | 3,981.41 | -4,780.00 |
| Disposalofothernon-currentassets | -407,316.80 | |
| Total | -1,522,602.22 | -1,490.22 |
54.Non-businessincome
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod | Amountaccountedintothecurrentaccidentalgain/loss |
| Penaltyincome | 71,985.44 | 58,348.90 | 71,985.44 |
| Compensationreceived | 37,250.00 | 46,335.00 | 37,250.00 |
| Others | 110,155.61 | 74,076.65 | 110,155.61 |
| Total | 219,391.05 | 178,760.55 | 219,391.05 |
55.Non-businessexpenses
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod | Amountaccountedintothecurrentaccidentalgain/loss |
| Donation | 530,000.00 | 50,000.00 | 530,000.00 |
| Lossfromretirementosdamagednon-currentassets | 20,260.37 | 136,535.83 | 20,260.37 |
| Penaltyandoverduefine | 6,018.23 | 84,167.14 | 6,018.23 |
| Others | 20,592.64 | 265,000.51 | 20,592.64 |
| Total | 576,871.24 | 535,703.48 | 576,871.24 |
56.Incometaxexpenses
(1)Detailsaboutincometaxexpense
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Incometaxexpensesinthisperiod | 23,819,854.49 | 25,927,934.50 |
| Deferredincometaxexpenses | -26,277,346.25 | -9,408,915.24 |
| Total | -2,457,491.76 | 16,519,019.26 |
(2)Adjustmentprocessofaccountingprofitandincometaxexpense
InRMB
| Item | Amountoccurredinthecurrentperiod |
| Totalprofit | 14,849,098.30 |
| Incometaxexpensescalculatedbasedonthelegal(orapplicable)taxrates | 3,712,274.57 |
| Impactsofdifferenttaxratesapplicableforsomesubsidiaries | 1,386,093.20 |
| Impactsofincometaxbeforeadjustment | 724,411.22 |
| Impactofnon-taxableincome | -52,123.31 |
| Impactsofnon-deductiblecost,expenseandloss | 1,395,221.69 |
| Deductibletemporarydifferenceanddeductiblelossofunrecognizeddeferredincometaxassets | 625.71 |
| Profitandlossofassociatesandjointventurescalculatedusingtheequitymethod | 8,791.06 |
| Impactoftaxratechangeontheopeningbalanceofdeferredincometax | -1,003,679.47 |
| TaxationimpactofR&Dexpenseand(presentedwith"-”) | -8,629,106.43 |
| Incometaxexpenses | -2,457,491.76 |
57.Othermiscellaneousincome
SeeNote39Othercomprehensiveincomeinthissectionfordetails.
58.Notestothecashflowstatement
(1)CashinflowrelatedtooperationOthercashreceivedfrombusinessoperations
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Interestincome | 4,751,884.25 | 6,489,453.44 |
| Subsidyincome | 20,397,030.14 | 9,451,485.75 |
| Retrievingofbiddingdeposits | 23,759,323.07 | 22,816,388.75 |
| Otheroperatingaccounts | 27,631,374.22 | 5,152,936.76 |
| Total | 76,539,611.68 | 43,910,264.70 |
Othercashpaidforbusinessoperations
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Oocketexpenses | 23,490,472.45 | 27,505,053.77 |
| Biddingdepositpaid | 14,048,043.41 | 18,891,370.53 |
| Netdraftdepositnetpaid | 180,847,576.76 | 261,383,332.31 |
| Othertrades | 11,765,502.90 | 4,256,435.20 |
| Total | 230,151,595.52 | 312,036,191.81 |
(2)Cashrelatedtofinancing
Othercashreceivedfromfinancingactivities
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Recoveryofloandeposits | 191,000,000.00 | |
| Principalandinterestofpledgedlargefixed-termcertificatesofdepositdue | 330,600,944.44 | |
| Total | 191,000,000.00 | 330,600,944.44 |
Othercashpaidrelatedtofinancingactivities
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Financingfee | 1,692,816.72 | |
| Principalandinterestofleaseliabilities | 4,272,274.51 | 10,536,884.00 |
| Billdiscountfinancingdeposit | 83,685,800.00 | 115,912,636.08 |
| PaymentforrepurchaseofequityinterestinFangdaZhiyuan | 98,116,151.32 | |
| Total | 89,650,891.23 | 224,565,671.40 |
Changesinliabilitiesarisingfromfinancingactivities?Applicable□Inapplicable
InRMB
| Item | Openingbalance | Increase | Decrease | Closingbalance | ||
| Changeincash | Non-cashchange | Changeincash | Non-cashchange | |||
| Short-termloans | 1,663,696,422.48 | 793,093,229.99 | 64,345,920.20 | 1,297,534,833.54 | 13,074,406.90 | 1,210,526,332.23 |
| Dividendpayable | 53,693,711.35 | 53,693,711.35 | ||||
| Non-currentliabilitiesduein1year | 128,469,517.74 | 370,796,591.63 | 129,295,566.20 | 100,067.84 | 369,870,475.33 | |
| Long-termloans | 1,137,000,000.00 | 1,100,000,000.00 | 560,000,000.00 | 352,000,000.00 | 1,325,000,000.00 | |
| Leaseliabilities | 10,652,607.48 | 1,841,843.99 | 3,956,429.86 | 8,538,021.61 | ||
| Total | 2,939,818,547.70 | 1,893,093,229.99 | 490,678,067.17 | 2,040,524,111.09 | 369,130,904.60 | 2,913,934,829.17 |
(3)Explanationofcashflowspresentedonanetbasis
| Item | Relevantfactualinformation | Basisforadoptingnetpresentation | Financialimpact |
| Netmarginpaidonbillsofexchange,etc. | Correspondingdepositsforbillsofexchangearepresentedonanetbasisaccordingtochangesintheirbalances | Quickturnaroundandshortmaturity | None |
Netdepositsreceivedsuchasbillsofexchange
59.Supplementarydataofcashflowstatement
(1)Supplementarydataofcashflowstatement
InRMB
Netdepositsreceivedsuchasbillsofexchange
Supplementaryinformation
| Supplementaryinformation | AmountoftheCurrentTerm | AmountofthePreviousTerm |
| 1.Netprofitadjustedtocashflowrelatedtobusinessoperations: | ||
| Netprofit | 17,306,590.06 | 117,867,277.03 |
| Plus:Assetimpairmentprovision | 54,416,588.01 | 23,750,884.85 |
| Fixedassetdepreciation,gasandpetroldepreciation,productiongoodsdepreciation | 18,240,913.35 | 15,141,781.37 |
| Depreciationofrighttouseassets | 3,753,092.34 | 7,908,083.39 |
| Amortizationofintangibleassets | 3,339,231.01 | 3,687,708.38 |
| Amortizationoflong-termamortizableexpenses | 2,516,462.04 | 1,985,263.44 |
| Lossfromdisposaloffixedassets,intangibleassets,andotherlong-termassets("-"forgains) | 1,522,602.22 | 1,490.22 |
| Lossfromfixedassetdiscard("-"forgains) | 20,260.37 | 136,535.83 |
| Lossfromfairvaluefluctuation("-"forgains) | -2,766,545.64 | -558,364.87 |
| Financialexpenses("-"forgains) | 42,289,425.66 | 42,001,171.77 |
| Investmentlosses("-"forgains) | -16,508.91 | 958,912.78 |
| Decreaseofdeferredincometaxasset("-"forincrease) | -18,354,312.72 | -6,770,444.84 |
| Increaseofdeferredincometaxasset("-"forincrease) | -7,697,073.63 | 7,104,496.65 |
| Decreaseofinventory("-"forincrease) | -39,908,231.42 | 2,846,757.44 |
| Decreaseofoperationalreceivableitems("-"forincrease) | 23,553,621.51 | -307,138,399.56 |
| Increaseofoperationalreceivableitems("-"fordecrease) | -367,876,286.41 | -56,399,743.16 |
| Others | 3,312,944.31 | -24,054,408.93 |
| Cashflowgeneratedbybusinessoperations,net | -266,347,227.85 | -171,530,998.21 |
| 2.Majorinvestmentandfinancingactivitieswithnocashinvolved: | ||
| Debttransferredtoassets | ||
| Convertiblecorporatebondsduewithinoneyear | ||
| Fixedassetsunderfinanceleases | ||
| 3.Netchangeincashandcashequivalents: | ||
| Balanceofcashatperiodend | 759,598,027.98 | 908,462,270.84 |
| Less:Initialbalanceofcash | 1,031,725,216.34 | 779,661,118.42 |
| Add:Endingbalanceofcashequivalents |
| Less:Endingbalanceofcashequivalents | ||
| Netincreaseincashandcashequivalents | -272,127,188.36 | 128,801,152.42 |
(2)Compositionofcashandcashequivalents
InRMB
| Item | Closingbalance | Openingbalance |
| I.Cash | 759,598,027.98 | 1,031,725,216.34 |
| Including:Cashinstock | 1,966.98 | 148.01 |
| Banksavingscanbeusedatanytime | 745,786,146.86 | 1,024,641,201.90 |
| Othermonetarycapitalcanbeusedatanytime | 13,809,914.14 | 7,083,866.43 |
| III.Balanceofcashandcashequivalentsatendofterm | 759,598,027.98 | 1,031,725,216.34 |
| Including:restrictedcashandcashequivalentusedbyparentcompanyorsubsidiariesintheGroup | 0.00 | 0.00 |
(3)Monetaryfundsotherthancashandcashequivalents
InRMB
| Item | AmountoftheCurrentTerm | AmountofthePreviousTerm | Reasonsfornotbeingcashandcashequivalents |
| Variousdeposits | 351,421,548.82 | 776,544,406.75 | Userestricted |
| Total | 351,421,548.82 | 776,544,406.75 |
(4)SupplierFinancingArrangements
①TermsandConditionsofSupplierFinancingArrangementsSupplierFinancingArrangement1:TheCompanyhandlesreversefactoringbusinessthroughthe"e-Xintong"supplychainfinancialserviceplatformprovidedincollaborationwithCCBTrustCo.,Ltd.andChinaConstructionBankCorporationShenzhenBranch(hereinafterreferredtoas"CCB"),offeringservicestosuppliersholdingelectronicdebtcertificatesonthe"e-Xintong"platformwithpaymentsduefromtheCompany.SupplierstransfertheiraccountsreceivableundertheCompany'selectronicdebtcertificatestoCCBandapplyfor"e-Xintong"businessservicesfromCCB.Afteranalysisandevaluation,CCBprovides"e-Xintong"businessservicestosuppliersifconditionsaremet.TheCompany'sobligationtofulfillpaymentundertheelectronicdebtcertificatesisunconditionalandirrevocable,unaffectedbyanycommercialdisputesamongpartiesinvolvedinthetransferoftheelectronicdebtcertificates.TheCompanywillnotclaimoffsetsordefensesregardingthispaymentobligation.TheCompanywilltransferanamountequaltotheamountundertheelectronicdebtcertificatesonthecommittedpaymentdateaccordingtothe"e-Xintong"platformbusinessrules.
SupplierFinancingArrangement2:TheCompanyhandlesreversefactoringbusinessthroughthe"e-Zhangtong"supplychainfinancialserviceplatformprovidedbyAgriculturalBankofChinaLimitedShenzhenOverseasChineseTownBranch(hereinafterreferredtoas"ABC"),offeringservicestosuppliersholdingelectronicdebtcertificatesonthe"e-Zhangtong"platformwithpaymentsduefromtheCompany.SupplierstransfertheiraccountsreceivableundertheCompany'selectronicdebtcertificatestoABCandapplyfor"e-Zhangtong"businessservicesfromABC.Afteranalysisandevaluation,ABCprovides"e-Zhangtong"businessservicestosuppliersifconditionsaremet.TheCompany'sobligationtofulfillpaymentundertheelectronicdebtcertificatesisunconditionalandirrevocable,unaffectedbyanycommercialdisputesamongpartiesinvolvedinthetransferoftheelectronicdebtcertificates.TheCompanywillnotclaimoffsetsordefensesregardingthispaymentobligation.TheCompany
willtransferanamountequaltotheamountundertheelectronicdebtcertificatesonthecommittedpaymentdateaccordingtothe"e-Zhangtong"platformbusinessrules.
SupplierFinancingArrangement3:TheCompanyhassigneda"PaymentAgencyCooperationAgreement"withChinaMerchantsBankCo.,Ltd.ShenzhenBranch,authorizingthebanktodeductpaymentsfromthepaymentaccountonthedatesspecifiedinthe"DetailedPaymentAgencyList"providedbytheGroup.Whensuppliersinitiatefinancingapplications,ChinaMerchantsBankCo.,Ltd.ShenzhenBranchusestheCompany'screditlinetohandledomesticfactoringforsuppliers.Afterthefactoringmatures,theCompanyonlyneedstopaythefactoringfinancingamounttoChinaMerchantsBankCo.,Ltd.ShenzhenBranch,withoutinterest.
SupplierFinancingArrangement4:TheCompanyhandlesreversefactoring(EasyCredit)businessthroughthesupplychainfinancialserviceplatformprovidedbyBankofChinaShenzhenFutianBranch(hereinafterreferredtoas"BOC"),offeringservicestosuppliersholdingelectronicdebtcertificateswithpaymentscommittedbytheCompany.SupplierstransfertheiraccountsreceivableundertheCompany'selectronicdebtcertificatestoBOCandapplyforEasyCreditbusinessservicesfromBOC.Afteranalysisandevaluation,BOCprovidesEasyCreditbusinessservicestosuppliersifconditionsaremet.TheCompany'sobligationtofulfillpaymentundertheelectronicdebtcertificatesisunconditionalandirrevocable,unaffectedbyanycommercialdisputesamongpartiesinvolvedinthetransferoftheelectronicdebtcertificates.TheCompanywillnotclaimoffsetsordefensesregardingthispaymentobligation.TheCompanywilltransferanamountequaltotheamountundertheelectronicdebtcertificatesonthecommittedpaymentdateaccordingtothesupplychainfinancialserviceplatformbusinessrules.
②Financialliabilitiesundersupplierfinancingarrangementspresentedinthebalancesheetandthecarryingamount,aswellastheamountsreceivedbysuppliersfromfinancingproviders
InRMB
| Item | June30,2025 | December31,2024 |
| Accountpayable | 465,305,815.99 | 465,016,938.13 |
| Including:Amountsreceivedbysuppliers | 315,304,662.49 | 341,199,057.49 |
③Paymentduedaterangeforfinancialliabilitiesundersupplierfinancingarrangements
| Item | June30,2025 |
| Financialliabilitiesundersupplierfinancingarrangements | 90-300daysfrominvoicereceipt |
| Comparableaccountspayablenotundersupplierfinancingarrangements | 0-180daysfrominvoicereceipt |
60.Foreigncurrencymonetaryitems
(1)Foreigncurrencymonetaryitems
InRMB
| Item | Closingforeigncurrencybalance | Exchangerate | ClosingRMBbalance |
| Monetarycapital | 199,780,751.65 | ||
| Including:USD | 16,257,483.15 | 7.1586 | 116,380,571.18 |
| Euro | 1,156,121.23 | 8.4024 | 9,714,200.00 |
| HKDollar | 37,950,585.16 | 0.9120 | 34,609,036.14 |
| INR | 14,157,376.31 | 0.0838 | 1,185,963.41 |
| Vietnamesecurrency | 1,531,120,078.00 | 0.0003 | 420,029.72 |
| SGD | 1,770,233.18 | 5.6179 | 9,944,992.98 |
| AUD | 5,553,815.13 | 4.6817 | 26,001,296.29 |
| PhilippinePeso | 10,971,452.59 | 0.1267 | 1,389,677.10 |
| UAEDirham | 69,191.87 | 1.9509 | 134,984.83 |
| Accountreceivable | 20,126,604.81 | ||
| Including:USD | 480,640.49 | 7.1586 | 3,440,713.01 |
| HKDollar | 8,514,295.26 | 0.9120 | 7,764,611.56 |
| AUD | 1,890,732.62 | 4.6817 | 8,851,842.90 |
| INR | 1.15 | 0.0838 | 0.10 |
| SingaporeDollar | 12,360.00 | 5.6179 | 69,437.24 |
| Contractassets | 113,417,652.34 | ||
| Including:USD | 8,334,017.05 | 7.1586 | 59,659,894.46 |
| INR | 20,547,248.31 | 0.0838 | 1,721,242.99 |
| Euro | 70.00 | 8.4024 | 588.17 |
| HKDollar | 50,953,571.19 | 0.9120 | 46,467,109.24 |
| AUD | 409,965.37 | 4.6817 | 1,919,334.87 |
| SingaporeDollar | 649,616.87 | 5.6179 | 3,649,482.61 |
| Otherreceivables | 4,334,617.42 | ||
| Including:USD | 118,488.82 | 7.1586 | 848,214.06 |
| HKDollar | 998,610.75 | 0.9120 | 910,683.07 |
| INR | 357,010.62 | 0.0838 | 29,906.78 |
| SGD | 403,494.80 | 5.6179 | 2,266,793.44 |
| AUD | 47,070.32 | 4.6817 | 220,369.12 |
| PhilippinePeso | 221,398.00 | 0.1267 | 28,042.94 |
| UAEDirham | 1,000.00 | 1.9509 | 1,950.88 |
| SaudiRiyal | 15,000.00 | 1.9105 | 28,657.13 |
| Accountpayable | 6,632,014.37 | ||
| Including:USD | 185,209.24 | 7.1586 | 1,325,838.87 |
| HKDollar | 358,374.35 | 0.9120 | 326,819.49 |
| INR | 12,128,944.33 | 0.0838 | 1,016,041.66 |
| AUD | 840,724.58 | 4.6817 | 3,936,020.27 |
| PhilippinePeso | 40,000.00 | 0.1267 | 5,066.52 |
| SingaporeDollar | 3,956.56 | 5.6179 | 22,227.56 |
| Otherpayables | 2,025,808.08 | ||
| Including:USD | 274,166.77 | 7.1586 | 1,962,650.24 |
| HKDollar | 1,175.27 | 0.9120 | 1,071.79 |
| AUD | 13,195.15 | 4.6817 | 61,775.73 |
| PhilippinePeso | 2,450.00 | 0.1267 | 310.32 |
(2)Thenoteofoverseasoperatingentitiesshouldincludethemainoperationplaces,bookkeepingcurrenciesandselectionbasis.Wherethebookkeepingcurrencyischanged,thereasonshouldalsobeexplained.
□Applicable?Inapplicable
61.Leasing
(1)TheCompanyistheleasee
?Applicable□InapplicableVariableleasepaymentsnotincludedinthemeasurementoftheleaseliability
□Applicable?InapplicableLeasecostsforshort-termleasesorlow-valueassetswithsimplifiedtreatment?Applicable□Inapplicable
| Item | January-June2025 |
| Shorttermleaseexpenseswithsimplifiedtreatmentincludedincurrentprofitandloss | 26,564,504.32 |
| Leaseexpensesoflowvalueassetswithsimplifiedtreatmentincludedincurrentprofitandloss(exceptshort-termlease) | 106,130.57 |
| Interestexpenseonleaseliabilities | 308,146.38 |
| Totalcashoutflowrelatedtoleasing | 29,068,766.82 |
(2)TheCompanyaslessor
Operatingleasesaslessor?Applicable□Inapplicable
InRMB
| Item | Rentalincome | Including:Incomerelatedtovariableleasepaymentsnotincludedinleasereceipts |
| Rentalincome | 54,112,963.67 | 153,945.42 |
| Total | 54,112,963.67 | 153,945.42 |
Financingleasesaslessor
□Applicable?InapplicableUndiscountedleasereceiptsforeachofthenextfiveyears?Applicable□Inapplicable
InRMB
| Item | Annualundiscountedleasereceipts | |
| Closingamount | Openingamount | |
| Firstyear | 123,502,534.17 | 134,938,024.44 |
| Secondyear | 88,545,985.75 | 106,208,000.52 |
| Thirdyear | 55,421,714.07 | 72,916,499.50 |
| Fourthyear | 33,329,146.31 | 53,731,466.05 |
| Fifthyear | 24,669,166.20 | 32,774,253.57 |
| Totalundiscountedleasereceiptsafterfiveyears | 91,134,256.21 | 89,046,751.97 |
VIII.R&Dexpenses
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Laborcosts | 44,988,433.44 | 50,364,726.96 |
| Materialcosts | 10,230,946.89 | 26,975,019.70 |
| Agencies | 3,892,085.12 | 4,956,566.33 |
| Depreciationcosts | 639,840.42 | 840,171.99 |
| Amortizationofintangibleassets | 210,522.27 | 509,458.78 |
| Others | 1,552,348.57 | 1,993,659.12 |
| Total | 61,514,176.71 | 85,639,602.88 |
| Including:ExpensedR&Dexpenditure | 61,514,176.71 | 85,639,602.88 |
IX.ChangetoConsolidationScope
TherewerenochangesinthescopeofconsolidationfortheCompanyduringthereportingperiod.X.EquityinOtherEntities
1.Interestsinsubsidiaries
(1)GroupComposition
InRMB
| Company | Registeredcapital | Placeofbusiness | Registeredaddress | Business | Shareholdingpercentage | Obtainingmethod | |
| Direct | Indirect | ||||||
| ShihuiInternationalHoldingCo.,Ltd. | 21,248,100.00 | VirginIslands | VirginIslands | Investment | 100.00% | Incorporation | |
| ShenzhenHongjunInvestmentCo.,Ltd. | 100,000,000.00 | Shenzhen | Shenzhen | Investment | 98.00% | 2.00% | Incorporation |
| JiangxiFangdaIntelligentManufacturingTechnologyCo.,Ltd. | 100,000,000.00 | Ganzhou | Ganzhou | Produtionandsalesofnew-typematerialsmcompositematerialsandproductionofcurtainwalls | 99.00% | 1.00% | Incorporation |
| ShenzhenFangdaJiankeGroupCo.,Ltd. | 600,000,000.00 | Shenzhen | Shenzhen | Designing,manufacturing,andinstallationofcurtainwalls | 98.66% | 1.34% | Incorporation |
| DongguanFangdaNewMaterialCo.,Ltd. | 272,800,000.00 | Dongguan | Dongguan | Installationandsalesofbuildingcurtainwalls | 100.00% | Incorporation | |
| ChengdaFangdaConstructionTechnologyCo.,Ltd. | 50,000,000.00 | Chengdu | Chengdu | Trustedprocessingofbuildingcurtainwallmaterials | 100.00% | Incorporation | |
| FangdaAustraliaCo.,Ltd. | 14,545,200.00 | Australia | Australia | Designing,manufacturing,andinstallationofcurtainwalls | 100.00% | Incorporation | |
| FangdaSoutheastAsiaCo.,Ltd. | 3,000,000.00 | Vietnam | Vietnam | Designing,manufacturing,andinstallationofcurtainwalls | 100.00% | Incorporation | |
| ShanghaiFangdaZhijianTechnologyCo.,Ltd | 100,000,000.00 | Shanghai | Shanghai | Intelligenttechnology,newenergy,automatedtechnology | 30.00% | 70.00% | Incorporation |
| FangdaJiankeHongKongCo.,Ltd. | 36,594.00 | HongKong | HongKong | Design,saleandinstallationofbuildingcurtainwall | 100.00% | Incorporation | |
| ShanghaiFangdaJianzhiTechnologyCo.,Ltd. | 50,000,000.00 | Shanghai | Shanghai | Constructiontechnology,intelligenttechnology,automationtechnology,design,productionandinstallationofbuildingcurtainwalls | 100.00% | Incorporation | |
| ChengdaFangdaCurtainWallTechnologyCo.,Ltd. | 50,000,000.00 | Chengdu | Chengdu | Buildingdecorationandotherconstructionindustry | 100.00% | Incorporation | |
| ShenzhenFangdaJianchuangTechnologyCo.,Ltd. | 50,000,000.00 | Shenzhen | Shenzhen | Productionandsalesofbuildingcurtainwalls | 100.00% | Incorporation | |
| ShenzhenFangdaNewEnergyCo.,Ltd. | 100,000,000.00 | Shenzhen | Shenzhen | DesignandconstructionofPVpowerplants | 99.00% | 1.00% | Incorporation |
| PingxiangFangdaLuxinNewEnergyCo., | 10,000,000.00 | Pingxiang | Pingxiang | DesignandconstructionofPVpowerplants | 100.00% | Incorporation |
| Ltd. | |||||||
| NanchangXinjianFangdaNewEnergyCo.,Ltd. | 10,000,000.00 | Nanchang | Nanchang | DesignandconstructionofPVpowerplants | 100.00% | Incorporation | |
| DongguanFangdaNewEnergyCo.,Ltd. | 10,000,000.00 | Dongguan | Dongguan | DesignandconstructionofPVpowerplants | 100.00% | Incorporation | |
| FangdaZhichuangTechnologyCo.,Ltd. | 105,000,000.00 | Shenzhen | Shenzhen | Production,processingandinstallationofsubwayscreendoors | 51.00% | 49.00% | Incorporation |
| ShenzhenQianhaiKechuangyuanSoftwareCo.,Ltd. | 5,000,000.00 | Shenzhen | Shenzhen | Softwaredevelopment | 100.00% | Incorporation | |
| FangdaZhiyuanTechnology(HongKong)Co.,Ltd. | 8,435.80 | HongKong | HongKong | Metroscreendoor | 100.00% | Incorporation | |
| FangdaZhiyuanTechnology(Wuhan)Co.,Ltd. | 10,000,000.00 | Wuhan | Wuhan | Production,processingandinstallationofsubwayscreendoors | 100.00% | Incorporation | |
| FangdaZhiyuanRailwayTransportationEquipment(Dongguan)Co. | 1,000,000.00 | Dongguan | Dongguan | Production,processingandinstallationofsubwayscreendoors | 100.00% | Incorporation | |
| FangdaZhiyuanTechnology(Nanchang)Co.,Ltd. | 1,000,000.00 | Nanchang | Nanchang | Production,processingandinstallationofsubwayscreendoors | 100.00% | Incorporation | |
| GeneralRailwayTechnologyLtd. | 47,880.30 | Singapore | Singapore | Production,processingandinstallationofsubwayscreendoors | 100.00% | Incorporation | |
| ShenzhenFangdaPropertyDevelopmentCo.,Ltd. | 200,000,000.00 | Shenzhen | Shenzhen | Realestatedevelopmentandoperation | 99.00% | 1.00% | Incorporation |
| Shenzhen | 10,000,000.0 | Shenzhen | Shenzhen | Property | 100.00% | Incorporation |
| FangdaPropertyManagementCo.,Ltd. | 0 | management | |||||
| Fangda(Jiangxi)PropertyDevelopmentCo.,Ltd. | 100,000,000.00 | Nanchang | Nanchang | Realestatedevelopmentandoperation | 100.00% | Incorporation | |
| ShenzhenFangdaYunzhiTechnologyCo.,Ltd. | 50,000,000.00 | Shenzhen | Shenzhen | Technologydevelopmentandsales;Investinindustry;Operationmanagementofscienceandtechnologypark | 100.00% | Incorporation | |
| ShenzhenZhongrongLitaiInvestmentCo.,Ltd. | 121,000,000.00 | Shenzhen | Shenzhen | Businessservice | 55.00% | Purchase | |
| FangdaNewMaterials(Jiangxi)Co.,Ltd. | 99,328,800.00 | Nanchang | Nanchang | Produtionandsalesofnew-typematerialsmcompositematerialsandproductionofcurtainwalls | 75.00% | 25.00% | Incorporation |
| ShenzhenFangdaYunzhuTechnologyCo.,Ltd. | 10,000,000.00 | Shenzhen | Shenzhen | Inspection,technicalserviceandconsultationofbuildingsafetyandbuildingenergysavingsystem | 100.00% | Consolidationofentitiesundercommoncontrol | |
| ShenzhenYunzhuTestingTechnologyCo.,Ltd. | 5,000,000.00 | Shenzhen | Shenzhen | Inspection,technicalserviceandconsultationofbuildingsafetyandbuildingenergysavingsystem | 100.00% | Consolidationofentitiesundercommoncontrol | |
| ShenzhenFangdaConstructionTechnology | 50,000,000.00 | Shenzhen | Shenzhen | Installationandsalesofbuildingcurtainwalls | 100.00% | Non-businesscombination |
| Co.,Ltd. | |||||||
| FangdaFacadeSingaporePteLtd | 1,596,420.00 | Singapore | Singapore | Installationandsalesofbuildingcurtainwalls | 100.00% | Incorporation | |
| FANGDAFACADEPHILIPPINESINC. | 1,437,680.00 | Philippine | Philippine | Installationandsalesofbuildingcurtainwalls | 99.00% | Incorporation | |
| GENERALRAILTECHNOLOGYPHILIPPINES,INC. | 1,437,680.00 | Philippine | Philippine | Metroscreendoorsalesandinstallation | 100.00% | Incorporation | |
| FANGDAGULFDMCC | 785,113.60 | Dubai | Dubai | Installationandsalesofbuildingcurtainwalls | 100.00% | Incorporation | |
| GLOBALMEGAINTERNATIONALHOLDINGSLIMITED | 4,313,040.00 | SaudiArabia | SaudiArabia | Designing,manufacturing,andinstallationofcurtainwalls | 100.00% | Incorporation |
(2)Majornonwholly-ownedsubsidiaries
InRMB
| Company | Shareholdingofminorityshareholders | Profitandlossattributedtominorityshareholders | Dividendtobedistributedtominorityshareholders | Interestbalanceofminorityshareholdersintheendoftheperiod |
| ZhongrongLitai | 45.00% | 17,830.73 | 48,325,841.67 |
(3)Financialhighlightsofmajornonwhollyownedsubsidiaries
InRMB
| Company | Closingbalance | Openingbalance | ||||||||||
| Currentassets | Non-currentassets | Totalofassets | Currentliabilities | Non-currentliabilities | Totalliabilities | Currentassets | Non-currentassets | Totalofassets | Currentliabilities | Non-currentliabilities | Totalliabilities | |
| ZhongrongLitai | 209,698,970.53 | 32,350.00 | 209,731,320.53 | 102,340,561.26 | 102,340,561.26 | 209,711,213.30 | 31,600.00 | 209,742,813.30 | 102,391,677.87 | 102,391,677.87 | ||
InRMB
| Company | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod | ||||||
| Turnover | Netprofit | Totalofmisc.incomes | Businessoperationcashflows | Turnover | Netprofit | Totalofmisc.incomes | Businessoperationcashflows | |
| Zhongrong | 55,045.86 | 39,623.84 | 39,623.84 | - | 55,045.86 | -5,060.33 | -5,060.33 | 3,614.11 |
| Litai | 313,172.02 |
2.Interestsinjointventuresorassociates
(1)Financialsummaryofinsignificantjointventuresandassociates
InRMB
| Closingbalance/amountoccurredinthisperiod | Openingbalance/amountoccurredinpreviousperiod | |
| Associate: | ||
| Totalbookvalueofinvestment | 56,655,809.72 | 56,690,973.97 |
| Totalshareholding | ||
| Netprofit | -35,164.25 | -34,959.52 |
| --Totalofmisc.incomes | -35,164.25 | -34,959.52 |
XI.GovernmentSubsidies
1.Governmentalsubsidyrecognizedasreceivableattheendofthereportperiod?Applicable□InapplicableClosingbalanceofaccountsreceivable:RMB1,669,026.05.Reasonsfornotreceivingtheestimatedamountofgovernmentgrantsattheexpectedpointintime
□Applicable?Inapplicable
2.Liabilitiesinvolvinggovernmentsubsidies
?Applicable□Inapplicable
InRMB
| Accountingitem | Openingbalance | Amountofnewsubsidy | Amountincludedinnon-operatingrevenue | Othermisc.gainsrecordedinthisperiod | Otherchangeinthecurrentperiod | Closingbalance | Assets/earning-related |
| Deferredearning | 10,669,612.13 | 17,776,306.00 | 964,723.46 | 27,481,194.67 | Assets-related | ||
| Total | 10,669,612.13 | 17,776,306.00 | 964,723.46 | 27,481,194.67 | Assets-related |
3.Governmentsubsidiesaccountedintocurrentprofitorloss.
?Applicable□Inapplicable
InRMB
| Accountingitem | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Othergains | 5,576,715.79 | 8,601,009.28 |
| Total | 5,576,715.79 | 8,601,009.28 |
XII.RisksofFinancialTools
1.TypesofrisksarisingfromfinancialinstrumentsTherisksassociatedwiththefinancialinstrumentsoftheCompanyarisefromthevariousfinancialassetsandliabilitiesrecognizedbytheCompanyinthecourseofitsoperations,includingcreditrisks,liquidityrisksandmarketrisks.ThemanagementobjectivesandpoliciesofvariousrisksrelatedtofinancialinstrumentsaregovernedbythemanagementoftheCompany.Theoperatingmanagementisresponsiblefordailyriskmanagementthroughfunctionaldepartments(forexample,theCompany'screditmanagementdepartmentreviewstheCompany'screditsalesonacase-by-casebasis).TheinternalauditdepartmentoftheCompanyconductsdailysupervisionoftheimplementationoftheCompany'sriskmanagementpoliciesandprocedures,andreportsrelevantfindingstotheCompany'sauditcommitteeinatimelymanner.TheoverallgoaloftheCompany'sriskmanagementistoformulateriskmanagementpoliciesthatminimizetherisksassociatedwithvariousfinancialinstrumentswithoutexcessivelyaffectingtheCompany'scompetitivenessandresilience.A.CreditriskCreditriskiscausedbythefailureofonepartyofafinancialinstrumentinperformingitsobligations,causingtheriskoffinanciallossfortheotherparty.ThecreditriskoftheCompanymainlycomesfrommonetarycapital,notesreceivable,accountsreceivable,otherreceivables,receivablesfinancing,contractassets,etc.Thecreditriskofthesefinancialassetscomesfromthedefaultofthecounterparties,andthemaximumriskexposureisequaltothebookamountoftheseinstruments.
TheCompany'smoneyandfundsaremainlydepositedinthecommercialbanksandotherfinancialinstitutions.TheCompanybelievesthatthesecommercialbankshavehigherreputationandassetstatusandhavelowercreditrisk.Fornotesreceivable,accountsreceivable,otherreceivables,receivablesfinancingandcontractassets,theCompanysetsrelevantpoliciestocontrolcreditriskexposure.TheGroupsetthecreditlineandtermfordebtorsaccordingtotheirfinancialstatus,externalrating,andpossibilityofgettingthird-partyguarantee,creditrecordandotherfactors.TheGroupregularlymonitorsdebtors'creditrecord.Forthosewithpoorcreditrecord,theGroupwillsendwrittenpaymentreminders,shortenorcancelcredittermtolowerthegeneralcreditrisk.
(1)Significantincreasesincreditrisk
Thecreditriskofthefinancialinstrumenthasnotincreasedsignificantlysincetheinitialconfirmation.Indeterminingwhetherthecreditriskhasincreasedsignificantlysincetheinitialrecognition,theCompanyconsidersreasonableandevidencedinformation,includingforward-lookinginformation,thatcanbeobtainedwithoutunnecessaryadditionalcostsoreffort.TheCompanydeterminestherelativeriskofdefaultriskofthefinancialinstrumentbycomparingtheriskofdefaultofthefinancialinstrumentonthebalancesheetdatewiththeriskofdefaultontheinitialrecognitiondatetoassessthecreditriskofthefinancialinstrumentfrominitialrecognition.
Whenoneormoreofthefollowingquantitativeandqualitativecriteriaaretriggered,theCompanybelievesthatthecreditriskoffinancialinstrumentshasincreasedsignificantly:thequantitativecriteriaaremainlytheprobabilityofdefaultintheremaininglifeofthereportingdateincreasedbymorethanacertainproportioncomparedwiththeinitialrecognition;thequalitativecriteriaarethemajoradversechangesintheoperationorfinancialsituationofthemajordebtors,theearlywarningofcustomerlist,etc.
(2)DefinitionofassetswherecreditimpairmenthasoccurredInordertodeterminewhetherornotcreditimpairmentoccurs,thestandardadoptedbyourcompanyisconsistentwiththecreditriskmanagementtargetforrelatedfinancialinstruments,andquantitativeandqualitativeindicatorsareconsidered.
Majorfinancialdifficultieshaveoccurredtotheissuerorthedebtor;Breachofcontractbythedebtor,suchaspaymentofinterestordefaultoroverdueofprincipal;(B)Theconcessionthatthedebtorwouldnotmakeunderanyothercircumstancesforeconomicorcontractualconsiderationsrelatingtothefinancialdifficultiesofthedebtor;Thedebtorislikelytobebankruptorundertakeotherfinancialrestructuring;Thefinancialdifficultiesoftheissuerordebtorleadtothedisappearanceoftheactivemarketforthefinancialasset;Topurchaseorgenerateafinancialassetatasubstantialdiscount,whichreflectsthefactthatacreditlosshasoccurred.Creditimpairmentinfinancialassetsmaybecausedbyacombinationofmultipleevents,notnecessarilybyeventsthatcanbeidentifiedseparately.
(3)Expectedcreditlossmeasurement
Dependingonwhetherthereisasignificantincreaseincreditriskandwhetheracreditimpairmenthasoccurred,theCompanypreparesdifferentassetsfora12-monthorfullexpectedcreditloss.Thekeyparametersofexpectedcreditlossmeasurementincludedefaultprobability,defaultlossrateanddefaultriskexposure.Takingintoaccountthequantitativeanalysisandforward-lookinginformationofhistoricalstatistics(suchascounterpartyratings,guarantymethods,collateralcategories,repaymentmethods,etc.),theCompanyestablishesthedefaultprobability,defaultlossrateanddefaultriskexposuremodel.
Definition:
Theprobabilityofdefaultreferstothepossibilitythatthedebtorwillnotbeabletofulfillitsobligationtopayinthenext12monthsorthroughouttheremainingperiod.
BreachLossRatemeanstheextentoflossexpectedbytheCompanyforbreachriskexposure.Dependingonthetypeofcounterparty,themannerandpriorityofrecourse,andthedifferentcollateral,thedefaultlossrateisalsodifferent.Thedefaultlossrateisthepercentageoftheriskexposurelossatthetimeofthedefault,calculatedonthebasisofthenext12monthsortheentirelifetime.
ExposuretodefaultistheamountpayabletotheCompanyatthetimeofdefaultinthenext12monthsorthroughouttheremaininglife.Prospectiveinformationcreditriskssignificantlyincreasedandexpectedcreditlosseswerecalculated.Throughtheanalysisofhistoricaldata,theCompanyhasidentifiedthekeyeconomicindexesthataffectthecreditriskofeachbusinesstypeandtheexpectedcreditloss.
ThelargestcreditriskfacingtheGroupisthebookvalueofeachfinancialassetonthebalancesheet.TheGroupmakesnoguaranteethatmaycausetheGroupcreditrisks.
AmongtheGroup’sreceivables,accountsreceivablefromtop5customersaccountfor21.63%ofthetotalaccountsreceivable(beginningoftheperiod:20.50%);amongotherreceivables,otherreceivablesfromtop5customersaccountfor73.79%ofthetotalotherreceivables(beginningoftheperiod:71.82%).
B.Liquidityrisk
LiquidityriskistheriskofcapitalshortagewhentheGroupneedstopaycashorsettledwithotherfinancialassets.TheCompanyisresponsibleforthecashmanagementofitssubsidiaries,includingshort-terminvestmentsincashsurplusesandloanstomeetprojectedcashrequirements.TheCompany'spolicyistoregularlymonitorshortandlong-termliquidityrequirementsandcompliancewithborrowingagreementstoensureadequatecashreservesandreadilyavailablesecurities.TheCompanywillalsoconsidernegotiatingwithsupplierstoadoptsupplierfinancingarrangementstoextendpaymentterms,therebyalleviatingtheCompany'scashflowpressure.AsofJune30,2025,thematurityoftheCompany'sfinancialliabilitiesisasfollows:
InRMB10,000
| Item | June30,2025 | |||
| Lessthan1year | Within1-3years | Over3years | Total | |
| Short-termloans | 121,052.63 | 121,052.63 | ||
| Notespayable | 60,386.14 | 60,386.14 | ||
| Accountpayable | 184,836.74 | 1,878.48 | 640.74 | 187,355.96 |
| Otherpayables | 5,519.25 | 1,738.33 | 4,820.09 | 12,077.67 |
| Non-currentliabilitiesduein1year | 37,092.07 | 37,092.07 | ||
| Othercurrentliabilities | 7,343.31 | 7,343.31 | ||
| Long-termloans | 22,250.00 | 110,250.00 | 132,500.00 | |
| Leaseliabilities | 788.56 | 65.24 | 853.80 | |
| Totalliabilities | 416,230.14 | 26,655.37 | 115,776.07 | 558,661.58 |
(Continued)
InRMB10,000
| Item | December31,2024 | |||
| Lessthan1year | Within1-3years | Over3years | Total | |
| Short-termloans | 166,369.64 | 166,369.64 | ||
| Derivativefinancialliabilities | 152.06 | 152.06 | ||
| Notespayable | 68,118.81 | 68,118.81 | ||
| Accountpayable | 213,195.52 | 297.46 | 1,166.51 | 214,659.49 |
| Otherpayables | 8,013.60 | 1,109.24 | 2,968.96 | 12,091.80 |
| Non-currentliabilitiesduein1year | 12,846.95 | 12,846.95 | ||
| Othercurrentliabilities | 5,083.56 | 5,083.56 | ||
| Long-termloans | 96,700.00 | 17,000.00 | 113,700.00 | |
| Leaseliabilities | 923.06 | 142.20 | 1,065.26 | |
| Total | 473,780.14 | 99,029.76 | 21,277.67 | 594,087.57 |
C.Marketrisk
(1)Creditrisks
TheexchangerateriskoftheCompanymainlycomesfromtheassetsandliabilitiesoftheCompanyanditssubsidiariesinforeigncurrencynotdenominatedinitsfunctionalcurrency.ExceptfortheuseofHongKongdollars,UnitedStatesdollars,Australiandollars,Vietnamesedong,euro,IndianrupeesorSingaporecurrenciesbyitssubsidiariesestablishedinandoutsidetheHongKongSpecialAdministrativeRegion,othermajorbusinessesoftheCompanyshallbedenominatedinRenminbi.AsofMonday,June30,2025,theforeigncurrencyfinancialassetsandforeigncurrencyfinancialliabilitiesoftheCompanyattheendoftheperiodarelistedinthedescriptionofforeigncurrencymonetaryitemsinNoteVII,60.TheCompanypayscloseattentiontotheimpactofexchangeratechangesontheCompany'sexchangeraterisk.TheCompanycontinuouslymonitorsthescaleofforeigncurrencytransactionsandforeigncurrencyassetsandliabilitiestominimizeforeignexchangerisks.Tothisend,theCompanymayavoidforeignexchangerisksbysigningforwardforeignexchangecontractsorcurrencyswapcontracts.
(2)Exchangeraterisk
TheGroup'sinterestrateriskmainlyarisesfromlong-terminterest-bearingdebtssuchaslong-termbankloans.FinancialliabilitieswithfloatinginterestratecausecashflowinterestrateriskfortheGroup.FinancialliabilitieswithfixedinterestratecausefairvalueinterestrateriskfortheGroup.TheGroupdecidestheproportionbetweenfixedinterestrateandfloatinginterestrateaccordingtothemarketenvironmentandregularlyreviewsandmonitorsthecombinationoffixedandfloatinginterestrateinstruments.
TheFinanceDepartmentattheCompany'sheadofficemonitorstheleveloftheGroup'sinterestratesonanongoingbasis.Therisinginterestratewillincreasethecostofthenewinterest-bearingdebtandtheinterestexpenditureoninterest-bearingdebtwhichhasnotyetbeenpaidbytheCompanyatthefloatingrate,andwillhaveasignificantadverseeffectontheCompany'sfinancialperformance.Managementwillmakeadjustmentsintimeaccordingtothelatestmarketconditions.
AsofJune30,2025,withallotherriskvariablesremainingconstant,iftheborrowinginterestratecalculatedonafloatingratebasisweretoincreaseordecreaseby50basispoints,theCompany'sannualnetprofitwoulddecreaseorincreasebyRMB6,624,000(December31,2024:RMB4,800,000).
2.Hedging
(1)TheCompanyconductshedgingbusinessforriskmanagement.?Applicable□Inapplicable
| Item | Correspondingriskmanagementstrategiesandobjectives | Qualitativeandquantitativeinformationaboutthehedgedrisk | Economicrelationshipsbetweenhedgeditemsandrelatedhedginginstruments | Effectiveachievementofexpectedriskmanagementobjectives | Theimpactofthecorrespondinghedgingactivitiesontheriskexposure |
| Aluminumfutureshedging | Utilizingthehedgingfunctionoffuturestools,theCompanycarriesoutaluminumfutures | TheCompanyusesaluminumfuturestohedgealuminum-relatedrawmaterialsinitsprospective | Theunderlyingvariablesarestandardaluminumprices,andthevaluesofhedgeditemsandhedging | TheCompanyhasestablishedrelevantinternalmanagementsystemsforaluminumfutures | Buyorsellcorrespondingaluminumfuturescontractstohedgetheriskexposureexistinginthespot |
| hedgingbusinesstoreasonablyavoidtherisksbroughtaboutbyfluctuationsinthepricesofrelevantrawmaterialstoitsoperations,toenhancetheCompany'soverallabilitytowithstandrisksandtostrengthentherobustnessofitsoperatingactivities. | procurementbusiness.TheCompanyadoptsthestrategyofdynamichedgingofcommoditypriceriskexposurebyadjustingitsfuturescontractpositionaccordingtoacertainpercentageofitsprospectiveprocurementexposure,andtheexposure*hedgingratioisbasicallythesameasthequantityofthecommodityrepresentedbythefuturesposition. | instrumentschangeinoppositedirectionsduetofacingthesamehedgedrisks,andthereisarelationshipofmutualhedgingofrisks. | hedgingbusiness,continuouslyevaluateshedgeeffectivenesstoensurethatthehedgingrelationshipiseffectiveduringthedesignatedaccountingperiods.Thiscontrolstheriskofrawmaterialprocurementpricefluctuationswithinareasonablerange,enhancestheCompany'sriskresistancecapability,andincreasesthestabilityofoperatingactivities. | businessside. |
(2)TheCompanyconductseligiblehedgingoperationsandapplieshedgeaccounting.
InRMB
| Item | Carryingvalueassociatedwithhedgeditemsandhedginginstruments | Cumulativefairvaluehedgeadjustmentstohedgeditemsincludedinthecarryingvalueofthehedgeditemrecognized | Hedgeeffectivenessandsourcesofhedgeineffectiveness | ImpactofhedgeaccountingrelatedtotheCompany'sfinancialstatements |
| Typesofhedgerisk | ||||
| Pricerisk | 77,600.00 | Inapplicable | Relevanceofhedgeditemstohedginginstruments | Derivativefinancialassets:RMB77,600.00,othercomprehensiveincome:RMB65,960.00,deferredincometaxliabilities:RMB11,640.00,costofsales:RMB-348,601.81. |
| Type | ||||
| Cashflowhedging | 77,600.00 | Inapplicable | Relevanceofhedgeditemstohedginginstruments | Derivativefinancialassets:RMB77,600.00,othercomprehensiveincome:RMB65,960.00,deferredincometaxliabilities:RMB11,640.00,costofsales:RMB-348,601.81. |
(3)TheCompanyconductshedgingbusinessforriskmanagementandexpectstoachieveitsriskmanagementobjectivesbutdoesnotapplyhedgeaccounting.
□Applicable?Inapplicable
3.FinancialAssets
(1)Classificationoftransfermethods?Applicable□Inapplicable
InRMB
| Wayoftransfer | Natureoffinancialassetstransferred | Amountoffinancialassetstransferred | Derecognization | Basisforjudgingderecognization |
| Endorsementordiscounting | Outstandingpromissorynotesinnotesreceivable | 56,039,576.30 | Notderecognized | Promissorynotesusedfordiscountingorendorsementareacceptedbybanksorenterpriseswithlowcreditratings,discountingorendorsementdoesnotaffectrecourse,andthecreditriskanddeferredpaymentriskassociatedwiththenotesremainuntransferred |
| Endorsement | Outstandingbankers'acceptancesinreceivablesfinancing | 20,218,009.94 | Derecognization | Bankers'acceptancesusedfordiscountingorendorsementareacceptedbybankswithhighcreditratingsandthecreditriskanddeferredpaymentriskassociatedwiththeinstrumentsarelow |
| Factoring | Outstandingreceivablesinreceivablesfinancing | 23,631,496.06 | Derecognization | Non-recoursefactoring |
| Total | 99,889,082.30 |
(2)Financialassetsderecognizedduetotransfers?Applicable□Inapplicable
InRMB
| Item | Transfermethodoffinancialassets | Amountoffinancialassetsderecognized | Gainorlossrelatedtothede-recognition |
| Outstandingbankers'acceptancesinreceivablesfinancing | Endorsement | 20,218,009.94 | |
| Accountreceivable | Factoring | 23,631,496.06 | -696,903.65 |
| Total | 43,849,506.00 | -696,903.65 |
(3)Transferoffinancialassetswithcontinuinginvolvementinassets
□Applicable?InapplicableXIII.FairValue
1.Closingfairvalueofassetsandliabilitiesmeasuredatfairvalue
InRMB
| Item | Closingfairvalue | |||
| Firstlevelfairvalue | Secondlevelfairvalue | Thirdlevelfairvalue | Total | |
| 1.Continuousfairvaluemeasurement | -- | -- | -- | -- |
| (1)Derivativefinancialassets | 77,600.00 | 77,600.00 | ||
| (2)Receivablesfinancing | 387,988.26 | 387,988.26 | ||
| (3)Othernon-currentfinancialassets | 6,523,233.73 | 6,523,233.73 | ||
| (4)Investmentpropertiesofwhich:leasedbuildings | 5,825,827,116.96 | 5,825,827,116.96 | ||
| Including:leasedbuildings | 5,825,827,116.96 | 5,825,827,116.96 | ||
| Totalassetsmeasuredatfairvaluecontinuously | 465,588.26 | 5,832,350,350.69 | 5,832,815,938.95 | |
| Totalassetsmeasuredatfairvaluecontinuously | 0.00 | 0.00 | 0.00 | 0.00 |
| 2.Discontinuousfairvaluemeasurement | -- | -- | -- | -- |
2.RecognitionbasisofmarketvalueofcontinuousanddiscontinuousitemsmeasuredatfirstlevelfairvalueForthefinancialinstrumentstradedintheactivemarket,theCompanydeterminestheirfairvaluebasedontheirquotedpricesintheactivemarket;forthefinancialinstrumentsnottradedintheactivemarket,theCompanyadoptsvaluationtechnologytodeterminetheirfairvalue.Thevaluationmodelsaremainlycashflowdiscountmodelandmarketcomparablecompanymodel.Theinputvalueofvaluationtechnologymainlyincludesrisk-freeinterestrate,benchmarkinterestrate,exchangerate,creditpointdifference,liquiditypremium,lackofliquiditydiscount,etc.
3.Valuationtechniqueandqualitativeandquantitativeinformationforkeyparametersofcontinuousanddiscontinuoussecondlevelfairvalueitems
Forderivativefinancialassetsandderivativefinancialliabilitieswithfairvalueofforwardexchangecontracts,thefairvalueisdeterminedbasedonthemarketvalueofexpectedearningsatthebalancesheetdate.
Receivablesfinancedatfairvaluethroughothercomprehensiveincomearenotesreceivable,forwhichthefairvalueisdeterminedbasedonthebookvalueduetotheshortremainingmaturity.
4.Valuationtechniqueandqualitativeandquantitativeinformationforkeyparametersofcontinuousanddiscontinuousthirdlevelfairvalueitems
Investmentpropertiesmeasuredatfairvalueareappraisedusingthecomparativeandincomeapproaches.Comparisonmethod:Itselectsacertainnumberofcomparableexamples,comparesthemwiththevaluationobjectandprocessesthecomparableinstancetransactionpricesaccordingtothedifferencetoobtainthevalueorpriceofthevaluationobject.Theincomeapproachisamethodofpredictingthefutureearningsoftheobjectofvaluation,andusingtherateofcompensationorcapitalizationrate,incomemultipliertoconvertthefutureearningsintovaluetogetthevalueorpriceoftheobjectofvaluation.
5.Continuousthirdlevelfairvaluemeasurementitems,adjustmentinformationbetweenopeningandclosingbookvaluesandsensitivityanalysisofunobservableparameters
None
6.Switchbetweendifferentlevels,switchreasonandswitchingtimepolicyTheCompanytakestheoccurrencedateoftheeventsleadingtothetransitionbetweenlevelsasthetimepointtoconfirmthetransitionbetweenlevels.Intheperiod,thereisnoswitchinthefinancialassetsmeasuredatfairvaluebetweenthefirstandsecondlevelortransferinoroutofthethirdlevel.
7.Changesinvaluationtechniquesduringtheperiodandreasonsforthechanges
None
8.Fairvalueoffinancialassetsandliabilitiesnotmeasuredatfairvalue
Financialassetsandliabilitiesmeasuredatamortizedcostinclude:monetarycapital,billsreceivable,accountsreceivable,contractassets,otherreceivables,short-termborrowings,notespayable,accountspayables,otherpayables,andlong-termpayables.
XIV.RelatedPartiesandTransactions
1.ParentoftheCompany
| Parent | Registeredaddress | Business | Registeredcapital | Shareoftheparentco.intheCompany | Votingpoweroftheparentcompany |
| ShenzhenBanglinTechnologiesDevelopmentCo.,Ltd. | Shenzhen | Industrialinvestment | RMB30million | 11.11% | 11.11% |
| ShengjiuInvestmentLtd. | HongKong | Industrialinvestment | HKD1million | 10.41% | 10.41% |
ParticularsabouttheparentoftheCompany
(1)AlloftheinvestorsofShenzhenBanglinTechnologyDevelopmentCo.,Ltd.,theholdingshareholderoftheCompany,arenaturalpersons.Amongthem,ChairmanXiongJianmingisholding85％shares,andMr.XiongXiisholding15%oftheshares.
(2)Amongthetop10shareholders,ShenzhenBanglinTechnologyDevelopmentCo.,Ltd.andShengjiuInvestmentCo.,Ltd.areactinginconcert.
(3)ThefinalcontrolleroftheCompanyisXiongJianming.
2.SubsidiariesoftheCompanyFordetailsofsubsidiariesoftheenterprise,pleaserefertoNoteX,rightsandinterestsinotherentities.
3.JointventuresandassociatesTherearenoimportantjointventuresorassociatesinthisyear.Informationaboutotherjointventuresorassociateswithrelatedtransactionsinthisperiodorwithbalancegeneratedbyrelatedtransactionsinpreviousperiod:
| Jointventureorassociate | RelationshipwiththeCompany |
| GanshangJointInvestment | AffiliatesoftheCompany |
4.Otherassociates
| Otherrelatedparties | RelationshipwiththeCompany |
| JiangxiBusinessInnovativePropertyJointStockCo.,Ltd. | AffiliatesoftheCompany |
| ShenzhenYikangRealEstateCo.Ltd. | Controlledsubsidiaries |
| ShenzhenQijianTechnologyCo.,Ltd.(QijianTechnology) | Commonactualcontroller |
| Director,managerandsecretaryoftheBoard | Keymanagement |
5.Relatedtransactions
(1)Relatedtransactionsforpurchaseandsaleofgoods,provisionandacceptanceofservices
Salesofgoodsandservices
InRMB
| Affiliatedparty | Relatedtransaction | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| QijianTechnology | Propertyserviceandsalesofgoods | 14,291.81 | 0.00 |
(2)Relatedleasing
TheCompanyistheleasor:
InRMB
| Nameoftheleasee | Categoryofassetforlease | Rentalrecognizedintheperiod | Rentalrecognizedintheperiod |
| QijianTechnology | Houses&buildings | 43,428.57 | 0.00 |
(3)Relatedguarantees
TheCompanyistheguarantor:
InRMB10,000
| Beneficiaryparty | Amountguaranteed | Startdate | Duedate | Completedornot |
| FangdaJianke | 93,000.00 | December28,2023 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaJianke | 24,000.00 | 27May2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaJianke | 4,000.00 | 20June2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaJianke | 39,000.00 | January24,2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaJianke | 30,000.00 | October20,2023 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaJianke | 30,000.00 | December21,2023 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaZhiyuan | 36,000.00 | 27June2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaZhiyuan | 15,000.00 | 30May2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaZhiyuan | 10,000.00 | September25,2023 | Threeyearsaftertheexpiration | Yes |
| dateofdebtperformance | ||||
| FangdaZhiyuan | 10,000.00 | December21,2023 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaProperty | 135,000.00 | February25,2020 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaNewMaterial | 10,000.00 | July8,2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaNewMaterial | 8,500.00 | November2,2023 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaZhijian | 7,000.00 | 8May2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaYunzhu | 1,000.00 | 07May2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaYunzhu | 1,000.00 | 28June2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaYunzhu | 600.00 | 03June2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| FangdaDongguanNewMaterial | 5,000.00 | 26August2024 | Threeyearsaftertheexpirationdateofdebtperformance | Yes |
| Totalamountofguaranteefulfilled | 459,100.00 | |||
| FangdaJianke | 103,000.00 | January17,2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 39,000.00 | January14,2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 15,000.00 | 11May2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 48,000.00 | December15,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 11,400.00 | August16,2023 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 50,000.00 | September4,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 30,000.00 | November11,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 25,000.00 | January10,2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 4,900.00 | 28April2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 20,000.00 | November4,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 60,000.00 | 27June2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 35,000.00 | 21April2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 30,000.00 | 27March2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 20,000.00 | December27,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaJianke | 60,000.00 | December19,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhijian | 7,000.00 | 30June2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 18,000.00 | December15,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 35,800.00 | 19June2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 20,000.00 | 21April2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 20,000.00 | November11,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 15,000.00 | September4,2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 10,000.00 | 11May2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 15,550.00 | November21,2023 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 15,000.00 | January13,2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaYunzhu | 1,000.00 | 25March2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaYunzhu | 700.00 | 21April2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaNewMaterial | 8,500.00 | 27February2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaProperty | 110,000.00 | 02April2025 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaIntelligentManufacturing | 30,000.00 | 22February2024 | Threeyearsaftertheexpirationdateofdebtperformance | No |
| FangdaZhiyuan | 31,896.02 | 17February2024 | Dateofprojectcontractcompletion | No |
| FangdaZhiyuan | 24,885.16 | 17February2024 | Dateofprojectcontractcompletion | No |
| Totalamountofguaranteebeingperformed | 914,631.18 |
Explanationofrelatedpartyguarantees:AlltheaboverelatedpartyguaranteesarebetweeninternalequityentitiesoftheCompany.
(4)Remunerationofkeymanagement
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Keymanagementpersonnelcompensation | 5,025,036.51 | 5,313,183.00 |
(5)Otherrelatedpartytransactions
None
6.Receivableandpayablesduewithrelatedparties
(1)Receivableinterest
InRMB
| Item | Affiliatedparty | Closingbalance | Openingbalance | ||
| Remainingbookvalue | Baddebtprovision | Remainingbookvalue | Baddebtprovision | ||
| Accountreceivable | QijianTechnology | 28,580.84 | 285.81 | 85,792.00 | 857.92 |
| Otherreceivables | GanshangJoint | 3,791,089.25 | 56,487.23 | 3,791,089.25 | 56,487.23 |
| Investment | |||||
| Otherreceivables | ShenzhenYikangRealEstateCo.Ltd. | 76,062,675.83 | 1,133,333.87 | 76,062,675.83 | 1,133,333.87 |
(2)Receivableinterest
InRMB
| Item | Affiliatedparty | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Otherpayables | ShenzhenYikangRealEstateCo.Ltd. | 26,159,711.72 | 26,159,711.72 |
| Otherpayables | QijianTechnology | 4,560.00 | 19,760.00 |
| Otherpayables | GanshangJointInvestment | 3,355.36 | 3,355.36 |
XV.CommitmentandContingentEvents
1.MajorcommitmentsOnNovember6,2017,FangdaRealEstateCo.,Ltd.,asubsidiaryoftheCompany,andBangshenElectronics(Shenzhen)Co.,Ltd.signedthe"JointDevelopmentAgreementonFangdaBangshenIndustrialPark(TemporaryName)UrbanRenewalProject",andthetwopartiesagreedtodevelopcooperatively.Inordertodevelopurbanrenewingprojectssuchasa"renovationproject",FangdaRealEstateprovidedPartyAwithpropertycompensationthroughrenovatingandrenovatingthepropertyallocationtermsagreeduponbybothparties,andobtainedindependentdevelopmentrightsoftheproject.AsofJune30,2025,FangdaRealEstatehaspaidadepositofRMB20millionandatransitionalcompensationofRMB5million.
(2)InJuly2018,theCompany'ssubsidiaryFangdaRealEstateCo.Ltd.(PartyA)signedacontractwithShenzhenYikangRealEstateCo.Ltd.(PartyB1)andShenzhenQianhaiZhongzhengDingfengNo.6InvestmentEnterprise(LimitedPartnership)(PartyB2),"ShenzhenHenggangDakangVillageProjectCooperationAgreement".PartyBagreestotransfertheentireequityoftheprojectcompanyitholdsandtheentiredevelopmentinterestoftheprojecttoPartyA.PartyAshallpayPartyBatotalofRMB600millionforthecooperationprice.AsofJune30,2025,FangdaPropertyhaspaidPartyBandtheprojectcompanyRMB50millionofsecuritydeposit,RMB20millionofservicefee,RMB61,937,200ofequitytransferandRMB81,126,200ofotherrelatedpayments.
TheCompanyhasnoothercommitmentsthatshouldbedisclosedbyJune30,2025.
2.Contingencies
Significantcontingenciesonthebalancesheetdate:
(1)Contingentliabilitiesformedbymateriallawsuitorarbitration,andtheirinfluencesonthefinancialpositionInAugust2024,FangdaConstructionTechnologyCompanyfiledalawsuitwiththePeople'sCourtofLonggangDistrict,Shenzhen,requestingSouthChinaInternationalIndustrialRawMaterialsCity(Shenzhen)Co.,Ltd.andSouthChinaCityHoldingsLtd.topayFangdaConstructionTechnologyCompanytheprincipalandinterestoftheprojectpaymentfortheSouthChinaInternationalElectronicIndustrialRawMaterialsLogisticsZone(PhaseI),totalingRMB46,004,481.42.Thecompanyalsoclaimedthepriorityrightofcompensationforconstructionprojectpayments.Asofthedisclosuredateofthisreport,thecaseisstillundertrial.
②InDecember2024,FangdaConstructionTechnologyCompanyfiledalawsuitwiththePeople'sCourtofFutianDistrict,Shenzhen,requestingShenzhenSuhaoInvestmentCo.,Ltd.(hereinafterreferredtoas"SuhaoCompany")andZhangShengjietopayFangdaConstructionTechnologyCompanytheprincipalandinterestoftheprojectpaymentfortheZiyuanBuildingcurtainwallproject,totalingRMB18,600,899.46.Thecompanyalsoclaimedthepriorityrightofcompensationforconstructionprojectpayments.Asofthedisclosuredateofthisreport,afirst-instancejudgmenthasbeenissued,rulingthatSuhaoCompanymustpayFangdaConstructionTechnologyCompanyRMB18,171,796.03andoverdueinterest(theoverdueinterestiscalculatedbasedonRMB17,814,305.41atarateof0.03%perdayfromNovember1,2024,untiltheactualdateofsettlement,withtheRMB110,000alreadypaidbySuhaoCompanytobedeductedfromtheinterest).ZhangShengjieisjointlyliableforthedebtowedbySuhaoCompany.ItwasalsoconfirmedthatFangdaConstructionTechnologyCompanyholdsthepriorityrightofcompensationforthecurtainwallprojectoftheZiyuanBuilding.Currently,bothpartiesareincommunicationforasettlement.
③OnJune19,2019,LangfangAomeiJiyieRealEstateDevelopmentCo.,Ltd.filedalawsuitagainstFangdaConstructionTechnologyCompanywiththePeople'sCourtofLangfangDevelopmentZone,requestingtheterminationoftheconstructioncontract,compensationfordelayandqualitybreachpenaltiestotalingRMB13,721,315.00,doublethereturnoftheprojectpaymentamountingtoRMB6,000,000,andlateraddedclaimsforrepairprojectpaymentsofRMB22,935,269.98.OnSeptember11,2019,FangdaConstructionTechnologyCompanyfiledacounterclaim,requestingpaymentforprojectpaymentsandotheramountstotalingRMB13,939,863.27.Asofthedisclosuredateofthisreport,thecaseisstillundertrial.④InMarch2022,XianghengRealEstate(Jinan)Co.,Ltd.filedforarbitrationwiththeJinanArbitrationCommission,lateramendingthearbitrationrequesttodemandthatFangdaConstructionTechnologyCompanybearcostsduetoqualityissuesinthesupplyandinstallationofaluminumalloydoors,windows,louvers,andcurtainwallsfortheJinanKerryIntegratedDevelopmentProject(PhasesIandII).Thesecostsincludeddeductionsandexpensesforrepair,rectification,andreworktotalingRMB8,995,672.29,dismantlingfeesforconstructiongondolasofRMB4,000,qualityinspectionandassessmentfeesforprojectdefectsofRMB323,271.91,andattorneyfeesofRMB690,000.00.InApril2022,FangdaConstructionTechnologyCompanyfiledacounter-arbitrationapplication,requestingXianghengRealEstate(Jinan)Co.,Ltd.topayprojectpaymentsandexpensestotalingRMB18,062,462.28.Asofthedisclosuredateofthisreport,theJinanArbitrationCommissionhasissuedapreliminaryrulingontheundisputedportionofthecounter-arbitrationapplicationfiledbyFangdaConstructionTechnologyCompany,requiringXianghengRealEstate(Jinan)Co.,Ltd.tofirstpayFangdaConstructionTechnologyCompanyRMB5,073,672.92andinterest.FangdaConstructionTechnologyCompanyhasappliedforcompulsoryenforcementofthisportion.Theremainingpartsofthecasearebeingconsolidatedfortrial.
(2)Pendingmajorlawsuits
①InSeptember2022,FangdaRealEstateCo.,Ltd.filedalawsuittothePeople'sCourtofNanshanDistrict,Shenzhen,requiringShenzhenHongtaoGroupCo.,Ltd.topaythetotalprincipalandinterestofFangdaRealEstateCo.,Ltd.toFangdaRealEstateCo.,Ltd.forthepurchaseofbuilding3#inFangdaCity,amountingtoRMB56,527,427.01,andHongtaoCompany'scounterclaimparty,DadaRealEstateCo.,Ltd.,requestedtocancelthesignedSupplementaryAgreementonRealEstateSalesandpaytheliquidateddamagesofRMB44,046,859.04foroverduecertificateprocessing.Thecourthasissuedafirstinstancejudgment,rulingthatHongtaoCompanyshallpayFangdaRealEstateCompanythepurchasepriceofRMB40,127,678.19andoverduepaymentinterest(temporarilycalculatedasRMB8,418,135.54untilJune30,2022).ThesubsequentinterestshallbecalculatedbasedonRMB40,127,678.19andcontinuetobecalculateduntiltheactualpaymentdateaccordingtotheloanmarketquotationinterestratestandardpublishedbytheNationalInterbankFundingCenter.Rejectallcounterclaimrequestsfrom
HongtaoCompany.Bothpartieslaterfiledanappeal.Asofthedisclosuredateofthisreport,thesecondinstancejudgmenthasbeenissuedandtheoriginaljudgmenthasbeenupheld.Currently,thecasehasenteredtheexecutionstage.
②InApril2023,FangdaJiankefiledalawsuitwiththeGuangzhouIntermediatePeople'sCourt,demandingtheterminationoftheconstructioncontractsignedwithGuangzhouKaidarInvestmentCo.,Ltd.fortheKaidarHubInternationalPlazaproject,andrequiringGuangzhouKaidarInvestmentCo.,Ltd.topaytheprincipalamountoftheprojectpaymentofRMB113,529,244.60andinteresttoFangdaJianke,andclaimingthepriorityrighttoreceivecompensationfortheconstructionprojectprice.Asofthedateofthisreport,thecourthasissuedafirstinstancejudgment,statingthatKedarisrequiredtopaytheprincipalamountoftheprojectpaymentofRMB113，529，244.60andcorrespondinginteresttoFangdaJianke,andhasthepriorityrighttobecompensatedforthediscountorauctionpriceoftheprojectcurtainwall.Currently,thecasehasenteredtheexecutionstage.
③InSeptember2022,FangdaJiankeCo.,Ltd.filedalawsuittothePeople'sCourtofLonghuaDistrict,requiringLongguangEngineeringConstructionCo.,Ltd.topaythetotalprincipalandinterestoftheprojectfundsofLongguangJiuzuanProjectPlot05andPlot09toFangdaConstructionTechnologyCo.,Ltd.,totalingRMB33,197,543.00.Asofthedisclosuredateofthisreport,thecaseregardingtheJiuzuanPlot05projecthasconcludedwithbothfirstandsecondinstancejudgments.ThefirstinstancejudgmentruledthatLongguangCompanymustpayFangdaConstructionTechnologyCompanyprojectpaymentsofRMB7,709,679.55,aqualityguaranteedepositofRMB6,033,911.38,andcorrespondinginterest,whilealsograntingprioritycompensationrightsontheproceedsfromthesaleorauctionofthecurtainwallfabricationandinstallationproject.Thesecondinstancejudgmentupheldthefirstinstancedecisionregardingtheprojectpayments,qualityguaranteedeposit,correspondinginterest,andprioritycompensationrights,andadditionallyruledthatShenzhenLongguangJunjingRealEstateDevelopmentCo.,Ltd.,theowneroftheLongguangJiuzuanPlot05project,isjointlyliableforthedebttoFangdaConstructionTechnologyCompany.Thecasehasenteredtheenforcementstage.Asofthedisclosuredateofthisreport,thecaseregardingtheJiuzuanPlot09projecthasconcludedwithbothfirstandsecondinstancejudgments.ThefirstinstancejudgmentruledthatLongguangCompanymustpayFangdaConstructionTechnologyCompanyprojectpaymentsofRMB9,166,924.08,aqualityguaranteedepositofRMB4,875,762.96,andcorrespondinginterest,whilealsograntingprioritycompensationrightsontheproceedsfromthesaleorauctionofthecurtainwallfabricationandinstallationproject.Thesecondinstancejudgmentupheldthefirstinstancedecisionregardingtheprojectpayments,qualityguaranteedeposit,correspondinginterest,andprioritycompensationrights,andadditionallyruledthatShenzhenLongguangJunjingRealEstateDevelopmentCo.,Ltd.,theowneroftheLongguangJiuzuanPlot09project,isjointlyliableforthedebttoFangdaConstructionTechnologyCompany.Thecasehasenteredtheenforcementstage.
④InNovember2023,FangdaConstructionTechnologyCompanyfiledalawsuitwiththePeople'sCourtofHonggutanDistrict,NanchangCity,requestingJiangxiHuilianRealEstateCo.,Ltd.andJiangxiBonengIndustrialGroupCo.,Ltd.topaytheprojectpaymentsandinteresttotalingRMB45,309,399.07fortheNanchangShangleCenterprojectandclaimedprioritycompensationrightsfortheprojectpayments.ThefirstinstancejudgmentruledthatJiangxiHuilianRealEstateCo.,Ltd.mustpayFangdaConstructionTechnologyCompanyRMB38,800,206.53andinterest,andthatJiangxiBonengIndustrialGroupCo.,Ltd.isjointlyliableforRMB37,563,144.42oftheprojectpaymentsandinterest.However,thecourtdidnotsupporttherequestfortheacceleratedmaturityofthequalityguaranteedepositandtheprioritycompensationrightsfortheprojectpayments.FangdaConstructionTechnologyCompanyappealed,andthesecondinstancejudgmentsupportedtheprioritycompensationrights.Asofthedisclosuredateofthisreport,thecasehasenteredtheenforcementstage.
(3)Contingentliabilitiesandtheirfinancialimpactarisingfromprovidingdebtguaranteesforotherentities.
ByJune30,2025,theCompanyhasprovidedloanguaranteesforthefollowingentities:
| Nameofguaranteedentity | Guarantee | Amount(inRMB10,000) | Term |
| FangdaProperty | Guaranteeandmortgageguarantee | 110,000.00 | 2025.04.02-2040.03.28 |
| FangdaIntelligentManufacturing | Guarantee | 29,000.00 | 2024.03.15-2030.03.14 |
| FangdaJianke | Guarantee | 10,500.00 | 2025.03.19-2026.03.18 |
| FangdaJianke | Guarantee | 4,000.00 | 2025.03.21-2026.03.21 |
| FangdaJianke | Guarantee | 5,000.00 | 2025.06.17-2026.06.16 |
| FangdaJianke | Guarantee | 4,900.00 | 2025.05.23-2026.05.18 |
| FangdaJianke | Guarantee | 29,800.00 | 2024.06.26-2026.06.25 |
| FangdaJianke | Guarantee | 4,000.00 | 2025.06.30-2026.06.17 |
| FangdaYunzhu | Guarantee | 600.00 | 2025.03.25-2026.03.24 |
| FangdaZhiyuan | Guarantee | 2,400.00 | 2024.07.12-2025.07.11 |
| FangdaZhiyuan | Guarantee | 1,200.00 | 2025.03.31-2026.03.30 |
| FangdaZhiyuan | Guarantee | 4,000.00 | 2025.06.20-2026.06.19 |
| Total | 205,400.00 |
Note1:ContingentliabilitiescausedbyguaranteesprovidedforotherentitiesareallrelatedguaranteesbetweeninterestedentitiesintheCompany.Notes2:TheCompany’spropertybusinessprovidesperiodicmortgageguaranteeforpropertypurchasers.Thetermoftheperiodicguaranteelastsfromtheeffectivenessofguaranteecontractstothecompletionofmortgageregistrationandtransferofhousingownershipcertificatestobanks.AsofJune30,2025,theCompany'soutstandingamountfortheabove-mentionedphasedguaranteeswasRMB4,000,000.
(4)Othercontingentliabilitiesandtheirinfluences
AsofJune30,2025,theCompanyhasnoothersignificantcontingenciesthatneedtobedisclosed.
3.Others
Statusofnon-revocationofcompanyasatJune30,2025:
| Currency | Guaranteebalance(originalcurrency) | Deposit(RMB) | Creditlineused(RMB) |
| CNY | 844,513,604.71 | 835,397.96 | 843,678,206.75 |
| INR | 38,164,259.78 | 561,489.69 | 2,635,530.35 |
| HongKongdollars(HKD) | 22,259,665.45 | 15,000,000.00 | 6,301,285.82 |
| UnitedStatesdollars(USD) | 3,562,595.83 | 1,395,593.19 | 24,107,605.31 |
| SGD | 25,299,268.00 | 142,128,757.70 | |
| AUD | 7,335,850.00 | 34,344,248.95 | |
| EUR | 3,771,764.01 | 31,691,869.92 | |
| Total | 17,792,480.84 | 1,084,887,504.80 |
XVI.Post-balance-sheetEvents
1.NotestootherissuesinpostbalancesheetperiodAsofAugust21,2025(thereportapprovaldatebytheBoardofDirectors),theCompanyhasnopost-balancesheeteventsthatneedtobedisclosed.XVII.Othermaterialevents
1.Segmentinformation
(1)Recognitionbasisandaccountingpolicyforsegmentreport
TheGroupdividesitsbusinessesintofivereportingsegments.Thereportingsegmentsaredeterminedbasedonfinancialinformationrequiredbyroutineinternalmanagement.TheCompany'smanagementregularlyevaluatestheoperatingresultsofthesereportingsegmentstodecideontheallocationofresourcesandtoassesstheirperformance.Thereportingsegmentsare:
①Curtainwalldivision:productionandsalesofcurtainwallmaterials,design,productionandinstallationofbuildingcurtainwalls,curtainwalltestingandmaintenanceservices;
②Railtransitbranch:assemblyandprocessingofsubwayscreendoors,screendoordetectionandmaintenanceservices;
(3)Realestatesegment:developmentandoperatingofrealestateonlandofwhichlanduserightislegallyobtainedbytheCompany;propertymanagement;
(4)Newenergysegment:photovoltaicpowergeneration,photovoltaicpowerplantsales,photovoltaicequipmentR&D,installation,andsales,andphotovoltaicpowerplantengineeringdesignandinstallation
(5)Others
Thesegmentreportinformationisdisclosedbasedontheaccountingpoliciesandmeasurementstandardsusedbythesegmentswhenreportingtothemanagement.Thepoliciesandstandardsshouldbeconsistentwiththoseusedinpreparingthefinancialstatement.
(2)Financialinformation
InRMB
| Item | Curtainwall | Railtransport | Realestate | Newenergy | Others | Offsetbetweensegments | Total |
| Turnover | 1,193,676,485.00 | 316,923,499.00 | 83,542,188.71 | 9,604,344.88 | 11,201,355.09 | 16,661,422.63 | 1,598,286,450.04 |
| Including:externaltransaction | 1,184,916,485.51 | 316,923,499.00 | 79,515,183.06 | 9,228,271.51 | 7,703,010.96 | 0.00 | 1,598,286,450.04 |
| income | |||||||
| Inter-segmenttransactionincome | 8,759,999.49 | 0.00 | 4,027,005.65 | 376,073.37 | 3,498,344.13 | 16,661,422.63 | 0.00 |
| Including:majorbusinessturnover | 1,175,962,701.41 | 310,463,389.65 | 83,447,773.41 | 9,604,344.88 | 11,201,355.09 | 14,327,017.26 | 1,576,352,547.18 |
| Operatingcost | 1,062,221,650.88 | 228,052,956.28 | 22,396,659.04 | 3,830,331.66 | 0.00 | 8,963,948.59 | 1,307,537,649.28 |
| Including:majorbusinesscost | 1,049,353,888.21 | 220,362,627.52 | 22,396,659.04 | 3,830,331.66 | 0.00 | 8,662,263.85 | 1,287,281,242.59 |
| Operationcost | 178,995,753.62 | 29,168,076.16 | 34,297,614.01 | 1,070,929.96 | -11,309,441.74 | -43,319,290.26 | 275,542,222.27 |
| Operatingprofit/(loss) | -47,540,919.51 | 59,702,466.56 | 26,847,915.66 | 4,703,083.26 | 22,510,796.83 | 51,016,764.31 | 15,206,578.49 |
| Totalassets | 6,662,743,578.38 | 979,218,834.10 | 6,128,721,855.46 | 300,049,542.75 | 3,451,377,038.24 | 4,404,229,170.55 | 13,117,881,678.37 |
| Totalliabilities | 4,182,723,420.06 | 584,041,716.43 | 3,272,488,349.07 | 165,035,015.97 | 1,200,770,457.95 | 2,426,760,416.23 | 6,978,298,543.25 |
(3)Others
Regionalinformationonoperatingrevenues:
InRMB
| Item | H12025 | H12024 |
| InChina | 1,459,381,780.51 | 1,955,457,106.44 |
| OutofChina | 138,904,669.53 | 178,388,481.32 |
| Total | 1,598,286,450.04 | 2,133,845,587.76 |
XVIII.NotestoFinancialStatementsoftheParent
1.Accountreceivable
(1)Accountage
InRMB
| Age | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Within1year(inclusive) | 3,965,412.17 | 2,857,394.06 |
| Over3years | 359,129.89 | 359,129.89 |
| Including:4-5years | 222,666.00 | 359,129.89 |
| Over5years | 136,463.89 | |
| Total | 4,324,542.06 | 3,216,523.95 |
(2)Disclosurebybaddebtaccrualmethod
InRMB
| Type | Closingbalance | Openingbalance | ||||||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Accountreceivableforwhichbaddebtprovisionismadebygroup | 4,324,542.06 | 100.00% | 357,950.69 | 8.28% | 3,966,591.37 | 3,216,523.95 | 100.00% | 331,398.60 | 10.30% | 2,885,125.35 |
| Including: | ||||||||||
| Portfolio3.Others | 4,324,542.06 | 100.00% | 357,950.69 | 8.28% | 3,966,591.37 | 3,216,523.95 | 100.00% | 331,398.60 | 10.30% | 2,885,125.35 |
| Total | 4,324,542.06 | 100.00% | 357,950.69 | 8.28% | 3,966,591.37 | 3,216,523.95 | 100.00% | 331,398.60 | 10.30% | 2,885,125.35 |
Provisionforbaddebtsbycategory:Portfolio3:Others
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Lessthan1year | 3,965,412.17 | 28,947.51 | 0.73% |
| 1-2years | |||
| 2-3years | |||
| 3-4years | |||
| 4-5years | 222,666.00 | 192,539.29 | 86.47% |
| Over5years | 136,463.89 | 136,463.89 | 100.00% |
| Total | 4,324,542.06 | 357,950.69 | |
Grouprecognitionbasis:
See10.FinancialToolsinV,ImportantAccountingPoliciesandAccountingEstimatesfortherecognitioncriteriaandinstructionsforwithdrawingbaddebtreservesbyportfolioIftheprovisionforbaddebtsonaccountsreceivableisbeingmadebasedontheexpectedcreditlossgeneralmodel:
□Applicable?Inapplicable
(3)Baddebtprovisionmade,returnedorrecoveredintheperiod
Baddebtprovisionmadeintheperiod:
InRMB
| Type | Openingbalance | Changeintheperiod | Closingbalance | |||
| Provision | Written-backorrecovered | Canceled | Others | |||
| Combination3:Other | 331,398.60 | 26,552.09 | 357,950.69 | |||
| businessmodels | ||||
| Total | 331,398.60 | 26,552.09 | 357,950.69 |
(4)Accountsreceivableandcontractassetswiththetop-5endingbalances,groupedbypartyowed
InRMB
| Entity | Closingbalanceofaccountsreceivable | Closingbalanceofcontractassets | Closingbalanceofaccountsreceivableandcontractassets | Percentageoftotalendingbalanceofaccountsreceivableandcontractassets | Closingbalanceofprovisionforbaddebtsonaccountsreceivableandimpairmentofcontractassets |
| No.1 | 1,899,593.71 | 1,899,593.71 | 43.93% | 13,867.03 | |
| No.2 | 1,846,249.87 | 1,846,249.87 | 42.69% | 13,477.62 | |
| No.3 | 359,129.89 | 359,129.89 | 8.30% | 329,003.18 | |
| No.4 | 171,325.71 | 171,325.71 | 3.96% | 1,250.68 | |
| No.5 | 16,470.00 | 16,470.00 | 0.38% | 120.23 | |
| Total | 4,292,769.18 | 4,292,769.18 | 99.26% | 357,718.74 |
2.Otherreceivables
InRMB
| Item | Closingbalance | Openingbalance |
| Otherreceivables | 1,222,140,569.04 | 1,622,103,166.85 |
| Total | 1,222,140,569.04 | 1,622,103,166.85 |
(1)Otherreceivables
1)Otherreceivablesaredisclosedbynature
InRMB
| Bynature | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Others | 48,350.46 | 62,836.90 |
| Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 1,222,092,939.00 | 1,622,041,266.22 |
| Total | 1,222,141,289.46 | 1,622,104,103.12 |
(2)Accountage
InRMB
| Age | Closingbalanceofbookvalue | Openingbalanceofbookvalue |
| Within1year(inclusive) | 84,998,873.24 | 53,408,271.79 |
| 1-2years | 300,592,240.88 | 642,978,380.00 |
| 2-3years | 390,808,980.00 | 92,577,980.00 |
| Over3years | 445,741,195.34 | 833,139,471.33 |
| Including:3-4years | 340,082,699.86 | 680,897,404.79 |
| 4-5years | 105,658,495.48 | 152,242,066.54 |
| Total | 1,222,141,289.46 | 1,622,104,103.12 |
(3)Disclosurebybaddebtaccrualmethod
InRMB
| Type | Closingbalance | Openingbalance | ||||||||
| Remainingbookvalue | Baddebtprovision | Bookvalue | Remainingbookvalue | Baddebtprovision | Bookvalue | |||||
| Amount | Proportion | Amount | Provisionrate | Amount | Proportion | Amount | Provisionrate | |||
| Provisionforbaddebtsbycombination | 1,222,141,289.46 | 100.00% | 720.42 | 0.00% | 1,222,140,569.04 | 1,622,104,103.12 | 100.00% | 936.27 | 0.00% | 1,622,103,166.85 |
| Including: | ||||||||||
| Firststage | 48,350.46 | 0.00% | 720.42 | 1.49% | 47,630.04 | 62,836.90 | 0.00% | 936.27 | 1.49% | 61,900.63 |
| Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 1,222,092,939.00 | 100.00% | 0.00 | 0.00% | 1,222,092,939.00 | 1,622,041,266.22 | 100.00% | 0.00 | 0.00% | 1,622,041,266.22 |
| Total | 1,222,141,289.46 | 100.00% | 720.42 | 0.00% | 1,222,140,569.04 | 1,622,104,103.12 | 100.00% | 936.27 | 0.00% | 1,622,103,166.85 |
Provisionforbaddebtsbycategory:Stageone
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Firststage | 48,350.46 | 720.42 | 1.49% |
| Total | 48,350.46 | 720.42 | |
Provisionforbaddebtsbycategoryname:Intercompanytransactionswithintheconsolidationscope
InRMB
| Name | Closingbalance | ||
| Remainingbookvalue | Baddebtprovision | Provisionrate | |
| Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 1,222,092,939.00 | 0.00 | 0.00% |
| Total | 1,222,092,939.00 | 0.00 | |
Provisionforbaddebtsbasedongeneralmodelofexpectedcreditlosses
InRMB
| Baddebtprovision | Firststage | Secondstage | Thirdstage | Total |
| Expectedcreditlossesinthenext12months | Expectedcreditlossfortheentireduration(nocreditimpairment) | Expectedcreditlossfortheentireduration(creditimpairmenthasoccurred) |
| BalanceonWednesday,January1,2025 | 936.27 | 936.27 | |
| BalanceonWednesday,January1,2025inthecurrentperiod | |||
| Provision | -215.85 | -215.85 | |
| BalanceonMonday,June30,2025 | 720.42 | 720.42 |
ThebasisforstagedivisionandtheprovisionratioforbaddebtsaredetailedinVIIoftheNotestotheConsolidatedFinancialStatements,under"OtherReceivables."Changesinbookbalanceswithsignificantchangesinthecurrentperiod
□Applicable?Inapplicable
4)Baddebtprovisionmade,returnedorrecoveredintheperiodBaddebtprovisionmadeintheperiod:
InRMB
| Type | Openingbalance | Changeintheperiod | Closingbalance | |||
| Provision | Written-backorrecovered | Write-off | Others | |||
| Provisionforbaddebtsbycombination | 936.27 | -215.85 | 720.42 | |||
| Total | 936.27 | -215.85 | 720.42 | |||
5)Balanceoftop5otherreceivablesattheendoftheperiod
InRMB
| Entity | Bynature | Closingbalance | Age | Percentage(%) | Balanceofbaddebtprovisionattheendoftheperiod |
| ShenzhenFangdaPropertyDevelopmentCo.,Ltd. | Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 5,645,294.16 | Lessthan1year | 76.25% | |
| 300,592,240.88 | 1-2years | ||||
| 373,808,980.00 | 2-3years | ||||
| 251,883,997.46 | 3-4years | ||||
| Fangda(Jiangxi)PropertyDevelopmentCo.,Ltd. | Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 17,000,000.00 | 2-3years | 14.76% | |
| 88,198,702.40 | 3-4years | ||||
| 75,198,702.39 | 4-5years | ||||
| ShenzhenFangdaJiankeGroupCo.,Ltd. | Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 79,140,814.32 | Lessthan1year | 6.48% | |
| ShihuiInternationalHoldingCo.,Ltd. | Accountsbetweenrelatedpartieswithinthescopeofconsolidation | 30,459,793.09 | 4-5years | 2.49% | |
| ShenzhenFangdaJianchuang | Accountsbetweenrelatedpartieswithinthescopeof | 126,000.00 | Lessthan1year | 0.01% |
| TechnologyCo.,Ltd. | consolidation | |||
| Total | 1,222,054,524.70 | 99.99% |
3.Long-termshareequityinvestment
InRMB
| Item | Closingbalance | Openingbalance | ||||
| Remainingbookvalue | Impairmentprovision | Bookvalue | Remainingbookvalue | Impairmentprovision | Bookvalue | |
| Investmentinsubsidiaries | 1,657,062,530.00 | 1,657,062,530.00 | 1,657,062,530.00 | 1,657,062,530.00 | ||
| Total | 1,657,062,530.00 | 1,657,062,530.00 | 1,657,062,530.00 | 1,657,062,530.00 | ||
(1)Investmentinsubsidiaries
InRMB
| Investedentity | Openingbookvalue | Beginningbalanceofimpairmentprovisions | Change(+,-) | Closingbookvalue | Balanceofimpairmentprovisionattheendoftheperiod | |||
| Increasedinvestment | Decreasedinvestment | Impairmentprovision | Others | |||||
| FangdaJianke | 751,950,000.00 | 751,950,000.00 | ||||||
| FangdaJiangxiNewMaterial | 74,496,600.00 | 74,496,600.00 | ||||||
| FangdaProperty | 198,000,000.00 | 198,000,000.00 | ||||||
| ShihuiInternational | 61,653.00 | 61,653.00 | ||||||
| FangdaNewEnergy | 99,000,000.00 | 99,000,000.00 | ||||||
| FangdaHongjunInvestment | 98,000,000.00 | 98,000,000.00 | ||||||
| FangdaIntelligentManufacturing | 198,000,000.00 | 198,000,000.00 | ||||||
| FangdaZhiyuan | 237,554,277.00 | 237,554,277.00 | ||||||
| Total | 1,657,062,530.00 | 1,657,062,530.00 | ||||||
4.Operationalrevenueandcosts
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod | ||
| Income | Cost | Income | Cost | |
| Mainbusiness | 11,205,926.52 | 10,908,179.61 | 38,387.33 | |
| Total | 11,205,926.52 | 10,908,179.61 | 38,387.33 | |
Breakdownofoperatingrevenuesandoperatingcosts:
InRMB
| Contractclassification | Others | Total | ||
| Turnover | Operatingcost | Turnover | Operatingcost | |
| Businesstype | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
| Including:Otherbusinesses | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
| Byoperatingregion | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
| Including:inChina | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
| Classifiedbytimingofgoodstransfer | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
| Including:Revenuerecognizedoveraperiodoftime | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
| Total | 11,205,926.52 | 0.00 | 11,205,926.52 | 0.00 |
Informationrelatedtothetransactionpriceallocatedtoremainingperformanceobligations:Asoftheendofthisreportingperiod,therevenueamountcorrespondingtosignedleasecontractsthathavenotyetbeenperformedornotyetfullyperformedisRMB67,713,499.64,ofwhichRMB11,001,470.15isexpectedtoberecognizedinthesecondhalfof2025,RMB12,383,593.06isexpectedtoberecognizedin2026,andRMB44,328,436.43isexpectedtoberecognizedin2027andbeyond.
5.Investmentincome
InRMB
| Item | Amountoccurredinthecurrentperiod | Occurredinpreviousperiod |
| Gainsfromlong-termequityinvestmentmeasuredbycosts | 25,500,000.00 | 62,142,383.24 |
| Investmentgainobtainedfromdisposaloflong-termequityinvestment | 47,167.38 | |
| Others | 48,151.98 | |
| Total | 25,548,151.98 | 62,189,550.62 |
XIX.SupplementaryMaterials
1.Detailedaccidentalgain/loss
?Applicable□Inapplicable
InRMB
| Item | Amount | Notes |
| Gain/lossofnon-currentassets | -1,522,602.22 | |
| Governmentgrantsrecognizedinthecurrentperiod'sprofitorloss(exceptforgovernmentgrantsthatarecloselyrelatedtotheCompany'snormalbusinessoperations,inlinewithnationalpoliciesandinaccordancewithdefinedcriteria,andhaveacontinuousimpactontheCompany'sprofitorloss) | 3,459,933.02 |
| Gainsandlossesfromchangesinthefairvalueoffinancialassetsandliabilitiesheldbynon-financialcorporationsandgainsandlossesfromthedisposaloffinancialassetsandliabilities,exceptforeffectivehedgingoperationsrelatedtotheCompany'snormalbusinessoperations | 55,166.72 | |
| One-timeexpensesincurredbytheenterpriseduetothediscontinuationofrelatedbusinessactivities,suchasexpendituresforemployeeplacement. | -1,145,361.48 | ExpendituresforemployeeplacementincurredduetotherelocationoftheCompany'sproductionsite. |
| Gain/lossfromchangeoffairvalueofinvestmentpropertymeasuredatfairvalueinfollow-upmeasurement | 2,763,052.08 | Accumulatedfairvaluechangestransferredduetothedisposalofinvestmentproperties. |
| Othernon-businessincomeandexpendituresotherthantheabove | -357,480.19 | |
| Less:Influencedamountofincometax | 346,644.61 | |
| Impactonminorityinterests(aftertax). | -38.58 | |
| Total | 2,906,101.90 | -- |
Othergain/lossitemssatisfyingthedefinitionofnon-recurringgain/lossaccount:
□Applicable?InapplicableTheCompanyhasnoothergain/lossitemssatisfyingthedefinitionofnon-recurringgain/lossaccountCircumstancethatshouldbedefinedasrecurrentprofitandlosstoExplanationAnnouncementofInformationDisclosureNo.1-Non-recurringgain/loss
□Applicable?Inapplicable
2.Netincomeonassetratioandearningpershare
| Profitofthereportperiod | Weightedaveragenetincome/assetratio | Earningpershare | |
| Basicearningspershare(yuan/share) | DilutedEarningspershare(yuan/share) | ||
| NetprofitattributabletocommonshareholdersoftheCompany | 0.28% | 0.0161 | 0.0161 |
| NetprofitattributabletothecommonownersofthePLCafterdeductingofnon-recurringgains/losses | 0.23% | 0.0134 | 0.0134 |
3.Differencesinaccountingdataunderdomesticandforeignaccountingstandards
(1)DifferencesinnetprofitsandassetsinfinancialstatementsdisclosedaccordingtotheinternationalandChineseaccountstandards
□Applicable?Inapplicable
(2)DifferencesinnetprofitsandassetsinfinancialstatementsdisclosedaccordingtotheinternationalandChineseaccountstandards
□Applicable?Inapplicable
(3)Differencesinfinancialdatausingdomesticandforeignaccountingstandards,theoverseasinstitutionnameshouldbespecifiedifthedifferenceindataauditedbyanoverseasauditorisadjustedNone