Konka Group Co., Ltd. First Quarterly Report 2021
KONKA GROUP CO., LTD.
FIRST QUARTERLY REPORT 2021
2021-43
April 2021
Konka Group Co., Ltd. First Quarterly Report 2021
Part I Important Notes
The Board of Directors (or the “Board”), the Supervisory Committee as well as the directors,
supervisors and senior management of Konka Group Co., Ltd. (hereinafter referred to as the
“ Company ” ) hereby guarantee the factuality, accuracy and completeness of the contents of
this Report and its summary, and shall be jointly and severally liable for any
misrepresentations, misleading statements or material omissions therein.
All the Company’s directors have attended the Board meeting for the review of this Report
and its summary.
Liu Fengxi, the Company’s legal representative, Li Chunlei, the Company’s Chief Financial
Officer (CFO), and Guo Zhihua, head of the Company’s financial department (equivalent to
financial manager) hereby guarantee that the Financial Statements carried in this Report are
factual, accurate and complete.
This Report and its summary have been prepared in both Chinese and English. Should there
be any discrepancies or misunderstandings between the two versions, the Chinese versions
shall prevail.
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Konka Group Co., Ltd. First Quarterly Report 2021
Part II Key Corporate Information
I Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
□ Yes √ No
Q1 2021 Q1 2020 Change (%)
Operating revenue (RMB) 9,822,169,119.30 7,806,520,237.49 25.82%
Net profit attributable to the listed company’s shareholders (RMB) 72,822,573.66 -220,602,940.37 133.01%
Net profit attributable to the listed company’s shareholders before
-389,266,066.84 -333,520,116.21 -16.71%
exceptional items (RMB)
Net cash generated from/used in operating activities (RMB) -529,240,793.59 -1,031,223,468.58 48.68%
Basic earnings per share (RMB/share) 0.0302 -0.0916 132.97%
Diluted earnings per share (RMB/share) 0.0302 -0.0916 132.97%
Weighted average return on equity (%) 0.86% -2.77% 3.63%
31 March 2021 31 December 2020 Change (%)
Total assets (RMB) 49,876,267,493.61 2.37%
51,058,825,129.67
Equity attributable to the listed company’s shareholders (RMB) 8,508,179,883.71 8,428,640,176.97 0.94%
Exceptional gains and losses:
√ Applicable □ Not applicable
Unit: RMB
Item Q1 2021 Note
Gain or loss on disposal of non-current assets (inclusive of impairment allowance write-offs) 126,657,276.21
Government subsidies recognized in the current period, except for those acquired in the ordinary
course of business or granted at certain quotas or amounts according to the government ’s unified 422,340,713.56
standards
Gain/Loss on changes in fair value arising from holding of held-for-trading financial assets and
liabilities, derivative financial assets and liabilities and investment income from disposal of
held-for-trading financial assets and liabilities, derivative financial assets and liabilities, other debt 20,876,259.35
obligations other than effective hedge business related to the Company ’ s normal operating
businesses
Gain/loss on entrustment loans 15,710,462.53
Non-operating income and expense other than the above 2,197,249.52
Less: Income tax effects 122,848,096.78
Non-controlling interests effects (net of tax) 2,845,223.89
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Konka Group Co., Ltd. First Quarterly Report 2021
Total 462,088,640.50
Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item defined or
listed in the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering
Their Securities to the Public—Exceptional Gain/Loss Items:
√ Applicable □ Not applicable
Item Amount (RMB) Reason
Government subsidies given in the Company’s ordinary course of business
Tax rebates on software 1,943,763.63
at fixed quotas or amounts as per government’s uniform standards
II Total Number of Shareholders and Holdings of Top 10 Shareholders at 31 March 2021
1. Numbers of Ordinary Shareholders and Preferred Shareholders with Resumed Voting
Rights as well as Holdings of Top 10 Shareholders
Unit: share
Number of ordinary shareholders at the Number of preferred shareholders with resumed voting rights
121,050 0
period-end at the period-end (if any)
Top 10 shareholders
Shareholdi Restricte Shares in pledge
Total shares
Name of shareholder Nature of shareholder ng d shares or frozen
held
percentage held Status Shares
OVERSEAS CHINESE TOWN State-owned legal
21.75% 523,746,932 0
ENTERPRISES CO., LTD person
CITIC SECURITIES BROKERAGE
Foreign legal person 7.48% 180,001,110 0
(HONG KONG) CO., LTD.
Domestic natural
WANG JINGFENG 4.61% 111,000,000 0
person
GUOYUAN SECURITIES BROKER
Foreign legal person 2.40% 57,850,325 0
(HK) CO., LTD.
HOLY TIME GROUP LIMITED Foreign legal person 2.38% 57,289,100 0
GAOLING FUND,L.P. Foreign legal person 2.19% 52,801,250 0
NAM NGAI Foreign natural person 0.94% 22,567,540 0
CHINA MERCHANTS SECURITIES State-owned legal
0.80% 19,358,220 0
(HK) LIMITED person
HAITONG INTERNATIONAL
SECURITIES COMPANY Foreign legal person 0.50% 12,146,654 0
LIMITED-ACCOUNT CLIENT
Domestic natural
LI PENG 0.40% 9,673,280 0
person
Top 10 unrestricted shareholders
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Konka Group Co., Ltd. First Quarterly Report 2021
Unrestricted Shares by type
Name of shareholder
shares held Type Shares
OVERSEAS CHINESE TOWN ENTERPRISES CO., RMB-denominated ordinary
523,746,932 523,746,932
LTD stock
CITIC SECURITIES BROKERAGE (HONG KONG)
180,001,110 Domestically listed foreign stock 180,001,110
CO., LTD.
RMB-denominated ordinary
WANG JINGFENG 111,000,000 111,000,000
stock
GUOYUAN SECURITIES BROKER (HK) CO., LTD. 57,850,325 Domestically listed foreign stock 57,850,325
HOLY TIME GROUP LIMITED 57,289,100 Domestically listed foreign stock 57,289,100
GAOLING FUND,L.P. 52,801,250 Domestically listed foreign stock 52,801,250
NAM NGAI 22,567,540 Domestically listed foreign stock 22,567,540
CHINA MERCHANTS SECURITIES (HK) LIMITED 19,358,220 Domestically listed foreign stock 19,358,220
HAITONG INTERNATIONAL SECURITIES
12,146,654 Domestically listed foreign stock 12,146,654
COMPANY LIMITED-ACCOUNT CLIENT
RMB-denominated ordinary
LI PENG 9,673,280 9,673,280
stock
Happy Bloom Investment Limited, a wholly-owned subsidiary of the Company ’ s first majority
Related or shareholder Overseas Chinese Town Enterprises Co. (“OCT Group” for short), holds 180,001,110 and
acting-in-concert 18,360,000 ordinary shares in the Company respectively through CITIC Securities Brokerage (Hong
parties among the Kong) Co., Ltd. and China Merchants Securities (HK) Limited. Happy Bloom Investment Limited and
shareholders above Overseas Chinese Town Enterprises Co. are parties acting in concert. Other than that, it is unknown
whether the other shareholders are related parties or acting-in-concert parties or not.
Wang Jingfeng holds 111,000,000 A-shares in the Company through his securities account for customer
Top 10 shareholders
credit trading guarantee in Guotai Junan Securities Co., Ltd.
involved in securities
Li Peng holds 9,673,280 A-shares in the Company through his securities account for customer credit
margin trading (if any)
trading guarantee in Industrial Securities Co., Ltd.
Indicate by tick mark whether any of the top 10 ordinary shareholders or the top 10 unrestricted
ordinary shareholders of the Company conducted any promissory repo during the Reporting Period.
□ Yes √ No
No such cases in the Reporting Period.
2. Number of Preferred Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
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Konka Group Co., Ltd. First Quarterly Report 2021
Part III Significant Events
I Changes in Key Financial Statement Line Items and Explanation of why
√ Applicable □ Not applicable
(I) During the Reporting Period, the Company carried on with its long-term development strategy of
“ Technology + Industry + Parks ” . It continued to enhance R&D investments and technological
innovation, carry out quality product programs, and optimized the product mix in a market-oriented
manner. New products including 8K Mini LED TV, K-Fresh Cell-Level Fresh-Keeping
Refrigerator and own-branded solid-state drive products were launched. The R&D and
Industrialization of the Key Technology for New Fresh-Keeping Refrigerator Based on Multi-Field
Coupling with the Company as one of the participant was granted the Sci-Tech Progress Award
(Third Prize) of Anhui Province.
In the Reporting Period, as the COVID-19 pandemic was effectively controlled domestically, the
industry began to see increasing prospects, and the Company ’ s relevant business operations
gradually returned to normal. As a result, the Company recorded a 25.82% year-on-year growth in
operating revenue. It continued to enhance R&D investments and technological innovation, carry
out quality product programs, and increase quality and efficiency. All these efforts contributed to
improving profitability.
(II) Changes in Key Financial Statement Line Items
Unit: RMB
Change
Item 31 March 2021 31 December 2020 Amount of change Explanation of why
(%)
Held-for-trading Maturity of held-for-trading
0 618,249,541.66 -618,249,541.66 -100.00%
financial assets financial assets
Current portion of Withdrawal of debt investments
76,834,884.42 112,310,158.82 -35,475,274.40 -31.59%
non-current assets due within one year
Long-term
8,046,731,152.78 5,964,748,997.54 2,081,982,155.24 34.90% New borrowing
borrowings
Deferred income 231,069,638.99 446,900,524.64 -215,830,885.65 -48.30% Government grants
Change
Item Q1 2021 Q1 2020 Amount of change Explanation of why
(%)
Operating revenue 9,822,169,119.30 7,806,520,237.49 2,015,648,881.81 25.82% Relevant businesses gradually
returned to normal with
Cost of sales 9,414,483,468.99 7,239,731,075.92 2,174,752,393.07 30.04% improving prospects in the
industry
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Konka Group Co., Ltd. First Quarterly Report 2021
R&D expense 119,087,736.76 89,539,723.57 29,548,013.19 33.00% Greater R&D investments
Net cash generated Cash outflow in the current
from/used in -529,240,793.59 -1,031,223,468.58 501,982,674.99 48.68% period decreased compared with
operating activities that in the previous period
Increase in payments or fixed
Net cash flow from
-1,801,820,739.71 -495,855,234.17 -1,305,965,505.54 -263.38% assets, intangible assets and
investment activities
other long-lived assets
II Progress, Influence and Solutions with regard to Significant Events
√ Applicable □ Not applicable
(I) Private placements of corporate bonds: So far, RMB1 billion out of the private placement plan of
RMB2.3 billion corporate bonds has been issued on 8 January 2021. The balance of RMB1.3 billion
corporate bonds and another private placement plan of RMB600 million corporate bonds are in the
process.
(II) Establishment of funds: Currently, Orient Konka Industry M&A Fund respectively holds
7.4969%, 2.07%, 11.73%, 9.21%, 3.00%, and 3.84% equity interest in Jiangxi Yahua Electronic
Materials Co., Ltd., Genew Technologies Co., Ltd., Shenzhen Grentech RF Communication Co.,
Ltd., Huizhou Xuxin Intelligent Technology Co., Ltd., Yimeide Automation Technology Co., Ltd.,
and Gma Optoelectronic Technology Co., Ltd., respectively. Kunshan Xinjia Emerging Industrial
Development Investment Fund holds 0.38% equity interest in Tongxin Software Technology Co.,
Ltd. Tongxiang Wuzhen Jiayu Digital Economy Industry Fund holds 12.00% equity interest in
Flying Science And Technology (Shenzhen) Co., Ltd. Yibin Kanghui Electronic Information
Industry Equity Investment Fund and Yancheng Kangyan Information Industry Investment Fund
have completed the filing in Asset Management Association of China. Chongqing Kangxin Equity
Investment Fund has accomplished the signing of the partnership agreement and now the filing in
Asset Management Association of China is underway.
(III) Yibin Konka Intelligent Terminal High-Tech Park has been completed and is currently
bringing in business. With respect to Dongguan Konka Intelligent Industrial Park, Konka Chuzhou
Smart Appliances and Equipment Industrial Park, Chongqing Konka Semiconductor Photoelectric
Industrial Park, Suining Konka Electronic Technology Industrial Park, and Frestec Refrigeration
Park, the land has been obtained for the projects and they are now under construction. The main
body of Yancheng Semiconductor Assembly & Test Base was basically put in place, the interior
decoration is in progress, and equipment has been partially in place.
Index to the
Summary of the significant event Disclosure date related
announcement
Private placement of corporate bonds of RMB0.6 billion 18 September 2019 http://www.cninf
Investment and construction of Dongguan Konka Smart Industrial Park 11 March 2017 o.com.cn/new/in
6
Konka Group Co., Ltd. First Quarterly Report 2021
Investment and construction of Konka Chuzhou Smart Appliances and dex
5 December 2018
Equipment Industrial Park
Investment and construction of Yibin Smart Terminal High-Tech Industrial Park 16 December 2017
Investment and construction of Suining Konka Electronic Technology Industrial
17 October 2018
Park
Investment and construction of Chongqing Konka Semiconductor Optoelectronic
9 October 2019
Industrial Park
Investment and construction of Yancheng Semiconductor Closed Beta Base 26 November 2019
Investment and construction of Guxian Environmental Protection Technology
26 November 2019
Town
Orient Konka Industrial M &A Fund 7 September 2018
Xinjia Emerging Industry Development Investment Fund 4 March 2020
Wuzhen Jiayu Digital Economy Industrial Fund 28 March 2020
Private placement of corporate bonds of RMB2.3 billion 6 June 2020
Investment and construction of Frestec Refrigeration Park 21 July 2020
Yibin Kanghui Emerging Industrial Fund 21 July 2020
Yancheng Electronic Information Industrial Fund 23 September 2020
Progress of investment and construction of Guxian Environmental Protection
1 December 2020
Technology Town in Yantai
Chongqing Kangxin Semi-conductor Industrial Fund 16 December 2020
Issuing result of private placement of corporate bonds (Phase I) in 2021 9 January 2021
Signing the project entry agreement with Xi'an International Trade & Logistics
10 February 2021
Park
Plan of transfer of 51% of equity in Shenzhen Kangxin Property Co., Ltd. 27 March 2021
Completing the changes in the registration for transferring 17% of equity in
1 April 2021
Yantai Kangyun Industrial Development Co., Ltd.
Signing the agreement regarding transferring 39% of equity in Shanghai Konka
14 April 2021
Green Technology Co., Ltd. and receiving the equity transfer money
Progress of any share repurchase:
□ Applicable √ Not applicable
Progress of any reduction of the repurchased shares through centralized bidding:
□ Applicable √ Not applicable
III Commitments that the Company ’ s Actual Controller, Shareholders, Related Parties,
Acquirers, the Company Itself or Other Parties, Failed to Fulfill on Time during the
Reporting Period
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Konka Group Co., Ltd. First Quarterly Report 2021
□ Applicable √ Not applicable
IV Financial Investments
1. Securities Investments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
2. Investments in Derivative Financial Instruments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
V Progress of Projects Financed with Raised Funds
□ Applicable √ Not applicable
VI Operating Performance Forecast for January-June 2021
Warning of a forecast loss on or a forecast significant YoY change in accumulative net profit from
the beginning of the year to the end of the next reporting period, as well as explanation of why:
□ Applicable √ Not applicable
VII Significant Contracts Arising from the Company’s Ordinary Course of Business
□ Applicable √ Not applicable
VIII Cash Entrusted for Wealth Management
√ Applicable □ Not applicable
Unit: RMB'0,000
Specific type Capital resources Amount incurred Undue Balance Overdue amount
Bank financial products Self-owned funds 61,990.62 0 0
Total 61,990.62 0 0
High-risk wealth management transactions with a significant single amount, or with low security,
low liquidity or no principal protection:
□ Applicable √ Not applicable
Wealth management transactions with possible impairments including an expectedly unrecoverable
principal:
□ Applicable √ Not applicable
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Konka Group Co., Ltd. First Quarterly Report 2021
IX Irregularities in the Provision of Guarantees
□ Applicable √ Not applicable
No such cases in the Reporting Period.
X Occupation of the Company’s Capital by the Controlling Shareholder or any of Its Related
Parties for Non-Operating Purposes
□ Applicable √ Not applicable
No such cases in the Reporting Period.
XI Communications with the Investment Community such as Researches, Inquiries and
Interviews Received during the Reporting Period
√ Applicable □ Not applicable
Way of Type of Index to main
Communicati Main discussions and materials
Date Place communic communicati information
on party provided by the Company
ation on party communicated
Inquired about the Company ’s
development direction and
Wang Anya
Conference business segments, the
from Taiwan
11 Room in the development situation of http://www.cni
Dongteng
January Office Building By phone Institution businesses including Micro nfo.com.cn/ne
Innovation
2021 of Konka R&D LED, technology industrial w/index
Investment
Building park and white household
Co., Ltd.
appliance with no materials
provided.
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Konka Group Co., Ltd. First Quarterly Report 2021
Part IV Financial Statements
I Financial Statements
1. Consolidated Balance Sheet
Prepared by Konka Group Co., Ltd.
31 March 2021
Unit: RMB
Item 31 March 2021 31 December 2020
Current assets:
Monetary assets 5,495,828,722.35 5,431,530,180.90
Settlement reserve
Interbank loans granted
Held-for-trading financial assets 618,249,541.66
Derivative financial assets
Notes receivable 2,105,805,615.98 2,358,180,193.96
Accounts receivable 4,307,128,915.94 3,900,897,623.59
Accounts receivable financing 62,075,923.80 84,057,197.44
Prepayments 1,425,647,455.16 1,183,270,543.41
Premiums receivable
Reinsurance receivables
Receivable reinsurance contract reserve
Other receivables 1,955,080,618.62 2,145,736,640.60
Including: Interest receivable 49,890,695.48 45,109,425.85
Dividends receivable 547,848.62 4,947,848.62
Financial assets purchased under resale agreements
Inventories 4,956,993,055.96 4,521,300,677.41
Contract assets 2,925,007,726.20 2,870,006,710.39
Assets held for sale
Current portion of non-current assets 76,834,884.42 112,310,158.82
Other current assets 2,272,999,345.72 1,913,146,483.39
Total current assets 25,583,402,264.15 25,138,685,951.57
Non-current assets:
Loans and advances to customers
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Konka Group Co., Ltd. First Quarterly Report 2021
Investments in debt obligations
Investments in other debt obligations
Long-term receivables 394,038,233.01 399,497,204.03
Long-term equity investments 4,532,885,748.17 4,375,833,584.65
Investments in other equity instruments 25,343,293.16 25,343,293.16
Other non-current financial assets 1,909,816,210.38 1,878,154,796.76
Investment property 534,822,949.03 538,585,668.29
Fixed assets 3,167,964,226.63 3,178,642,017.84
Construction in progress 9,582,480,644.29 9,236,643,931.68
Productive living assets
Oil and gas assets
Right-of-use assets 92,864,940.64
Intangible assets 1,169,901,220.57 1,189,191,001.51
Development costs
Goodwill 675,795,873.17 675,795,873.17
Long-term prepaid expense 167,019,596.15 153,198,562.82
Deferred income tax assets 1,278,750,415.51 1,265,916,437.39
Other non-current assets 1,943,739,514.81 1,820,779,170.74
Total non-current assets 25,475,422,865.52 24,737,581,542.04
Total assets 51,058,825,129.67 49,876,267,493.61
Current liabilities:
Short-term borrowings 11,111,298,316.46 10,990,550,475.78
Borrowings from the central bank
Interbank loans obtained
Held-for-trading financial liabilities
Derivative financial liabilities
Notes payable 1,205,764,073.28 1,335,987,026.21
Accounts payable 9,316,824,302.89 9,632,366,325.76
Advances from customers
Contract liabilities 933,131,420.21 1,217,367,735.94
Financial assets sold under repurchase agreements
Customer deposits and interbank deposits
Payables for acting trading of securities
Payables for underwriting of securities
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Konka Group Co., Ltd. First Quarterly Report 2021
Employee benefits payable 256,391,033.99 476,616,244.45
Taxes payable 466,991,812.68 508,214,059.16
Other payables 2,146,803,355.59 1,999,430,899.69
Including: Interest payable 176,712,151.95 220,837,380.17
Dividends payable 4,410,000.00
Handling charges and commissions payable
Reinsurance payables
Liabilities directly associated with assets held for sale
Current portion of non-current liabilities 333,303,997.49 376,896,566.29
Other current liabilities 428,194,177.59 441,774,317.23
Total current liabilities 26,198,702,490.18 26,979,203,650.51
Non-current liabilities:
Insurance contract reserve
Long-term borrowings 8,046,731,152.78 5,964,748,997.54
Bonds payable 4,992,387,316.57 4,993,212,788.32
Including: Preferred shares
Perpetual bonds
Lease liabilities 55,993,583.49
Long-term payables 471,260,368.44 481,409,849.96
Long-term employee benefits payable 5,212,124.66 5,248,309.14
Provisions 107,556,088.18 102,353,567.91
Deferred income 231,069,638.99 446,900,524.64
Deferred income tax liabilities 79,880,961.80 75,819,231.93
Other non-current liabilities 126,520,389.88 106,475,449.02
Total non-current liabilities 14,116,611,624.79 12,176,168,718.46
Total liabilities 40,315,314,114.97 39,155,372,368.97
Owners’ equity:
Share capital 2,407,945,408.00 2,407,945,408.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserves 236,887,329.26 230,185,310.09
Less: Treasury stock
Other comprehensive income -16,290,398.70 -16,583,042.42
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Konka Group Co., Ltd. First Quarterly Report 2021
Specific reserve
Surplus reserves 1,211,721,109.67 1,211,721,109.67
General reserve
Retained earnings 4,667,916,435.48 4,595,371,391.63
Total equity attributable to owners of the Company as the parent 8,508,179,883.71 8,428,640,176.97
Non-controlling interests 2,235,331,130.99 2,292,254,947.67
Total owners’ equity 10,743,511,014.70 10,720,895,124.64
Total liabilities and owners’ equity 51,058,825,129.67 49,876,267,493.61
Legal representative: Liu Fengxi CFO: Li Chunlei
Head of the financial department: Guo Zhihua
2. Balance Sheet of the Company as the Parent
Unit: RMB
Item 31 March 2021 31 December 2020
Current assets:
Monetary assets 3,437,036,404.30 3,481,445,560.17
Held-for-trading financial assets 298,497,458.33
Derivative financial assets
Notes receivable 784,921,259.76 879,589,355.91
Accounts receivable 5,478,711,363.15 4,473,251,691.85
Accounts receivable financing 5,659,400.00 5,659,400.00
Prepayments 927,168,571.94 1,021,218,285.46
Other receivables 10,850,207,248.05 10,034,869,353.07
Including: Interest receivable 47,533,681.27 41,138,869.97
Dividends receivable 750,486,555.50 749,431,635.50
Inventories 276,282,611.59 202,406,456.36
Contract assets
Assets held for sale
Current portion of non-current assets
Other current assets 1,296,191,313.75 1,020,031,186.39
Total current assets 23,056,178,172.54 21,416,968,747.54
Non-current assets:
Investments in debt obligations
Investments in other debt obligations
Long-term receivables
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Konka Group Co., Ltd. First Quarterly Report 2021
Long-term equity investments 9,030,064,013.22 8,806,166,599.56
Investments in other equity instruments 17,940,215.36 17,940,215.36
Other non-current financial assets 203,000,000.00 250,230,000.00
Investment property 402,774,818.66 406,237,236.91
Fixed assets 426,930,324.47 431,762,044.14
Construction in progress 204,671,143.65 132,464,938.18
Productive living assets
Oil and gas assets
Right-of-use assets 5,680,074.59
Intangible assets 57,685,850.89 59,506,272.63
Development costs
Goodwill
Long-term prepaid expense 15,016,575.03 16,532,521.69
Deferred income tax assets 1,016,449,004.26 980,095,292.53
Other non-current assets 11,045,888.84 10,867,888.84
Total non-current assets 11,391,257,908.97 11,111,803,009.84
Total assets 34,447,436,081.51 32,528,771,757.38
Current liabilities:
Short-term borrowings 5,065,072,539.35 5,052,990,048.93
Held-for-trading financial liabilities
Derivative financial liabilities
Notes payable 716,219,094.93 1,344,958,738.50
Accounts payable 8,671,785,626.53 6,811,467,585.39
Advances from customers
Contract liabilities 718,379,517.96 723,022,740.95
Employee benefits payable 62,286,222.16 147,391,317.06
Taxes payable 5,941,749.75 4,094,133.23
Other payables 4,182,811,180.78 4,275,347,622.57
Including: Interest payable 171,666,688.63 215,828,625.04
Dividends payable
Liabilities directly associated with assets held for sale
Current portion of non-current liabilities 9,565,029.64 5,867,425.49
Other current liabilities 1,268,104.34 6,108,675.36
Total current liabilities 19,433,329,065.44 18,371,248,287.48
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Konka Group Co., Ltd. First Quarterly Report 2021
Non-current liabilities:
Long-term borrowings 3,928,904,773.28 2,930,034,612.32
Bonds payable 4,992,387,316.57 4,993,212,788.32
Including: Preferred shares
Perpetual bonds
Lease liabilities 3,329,397.02
Long-term payables 14,900,875.71 17,633,249.67
Long-term employee benefits payable
Provisions 1,015,259.19 832,465.72
Deferred income 46,815,659.44 61,530,557.55
Deferred income tax liabilities 2,334,364.58
Other non-current liabilities 52,254,630.52 54,162,098.05
Total non-current liabilities 9,039,607,911.73 8,059,740,136.21
Total liabilities 28,472,936,977.17 26,430,988,423.69
Owners’ equity:
Share capital 2,407,945,408.00 2,407,945,408.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserves 112,570,352.72 112,570,352.72
Less: Treasury stock
Other comprehensive income -2,682,217.31 -2,682,217.31
Specific reserve
Surplus reserves 1,227,564,785.19 1,227,564,785.19
Retained earnings 2,229,100,775.74 2,352,385,005.09
Total owners’ equity 5,974,499,104.34 6,097,783,333.69
Total liabilities and owners’ equity 34,447,436,081.51 32,528,771,757.38
3. Consolidated Income Statement
Unit: RMB
Item Q1 2021 Q1 2020
1. Revenue 9,822,169,119.30 7,806,520,237.49
Including: Operating revenue 9,822,169,119.30 7,806,520,237.49
Interest income
Insurance premium income
15
Konka Group Co., Ltd. First Quarterly Report 2021
Handling charge and commission income
2. Costs and expenses 10,328,392,295.03 8,238,718,867.67
Including: Cost of sales 9,414,483,468.99 7,239,731,075.92
Interest expense
Handling charge and commission expense
Surrenders
Net insurance claims paid
Net amount provided as insurance contract reserve
Expenditure on policy dividends
Reinsurance premium expense
Taxes and surcharges 19,689,328.47 15,308,409.56
Selling expense 384,406,831.83 474,319,677.27
Administrative expense 190,572,518.95 240,679,941.63
R&D expense 119,087,736.76 89,539,723.57
Finance costs 200,152,410.03 179,140,039.72
Including: Interest expense 241,076,377.51 299,701,187.78
Interest income 38,353,963.17 75,521,808.48
Add: Other income 423,439,468.60 91,772,474.77
Return on investment (“-” for loss) 143,491,581.78 54,859,916.67
Including: Share of profit or loss of joint ventures and
-562,268.87
associates
Income from the derecognition of financial assets at
amortized cost (“-” for loss)
Exchange gain (“-” for loss)
Net gain on exposure hedges (“-” for loss)
Gain on changes in fair value (“-” for loss) 3,691,020.84
Credit impairment loss (“-” for loss) 1,841,004.17 -1,851,680.71
Asset impairment loss (“-” for loss) 340,422.57 1,008,713.42
Asset disposal income (“-” for loss) -150,371.12 -21,776.59
3. Operating profit (“-” for loss) 66,429,951.11 -286,430,982.62
Add: Non-operating income 3,641,173.82 6,708,221.29
Less: Non-operating expense 659,880.52 329,999.39
4. Profit before tax (“-” for loss) 69,411,244.41 -280,052,760.72
Less: Income tax expense 50,676,074.79 -5,687,275.24
5. Net profit (“-” for net loss) 18,735,169.62 -274,365,485.48
16
Konka Group Co., Ltd. First Quarterly Report 2021
5.1 By operating continuity
5.1.1 Net profit from continuing operations (“-” for net loss) 18,735,169.62 -274,365,485.48
5.1.2 Net profit from discontinued operations ( “ - ” for net
loss)
5.2 By ownership
5.2.1 Net profit attributable to shareholders of the Company
72,822,573.66 -220,602,940.37
as the parent
5.2.1 Net profit attributable to non-controlling interests -54,087,404.04 -53,762,545.11
6. Other comprehensive income, net of tax 601,064.90 305,885.47
Attributable to owners of the Company as the parent 292,643.72 -1,213,168.07
6.1 Items that will not be reclassified to profit or loss
6.1.1 Changes caused by remeasurements on defined
benefit schemes
6.1.2 Other comprehensive income that will not be
reclassified to profit or loss under the equity method
6.1.3 Changes in the fair value of investments in other
equity instruments
6.1.4 Changes in the fair value arising from changes in
own credit risk
6.1.5 Other
6.2 Items that will be reclassified to profit or loss 292,643.72 -1,213,168.07
6.2.1 Other comprehensive income that will be reclassified
to profit or loss under the equity method
6.2.2 Changes in the fair value of investments in other debt
obligations
6.2.3 Other comprehensive income arising from the
reclassification of financial assets
6.2.4 Credit impairment allowance for investments in
other debt obligations
6.2.5 Reserve for cash flow hedges
6.2.6 Differences arising from the translation of foreign
292,643.72 -1,213,168.07
currency-denominated financial statements
6.2.7 Other
Attributable to non-controlling interests 308,421.18 1,519,053.54
7. Total comprehensive income 19,336,234.52 -274,059,600.01
Attributable to owners of the Company as the parent 73,115,217.38 -221,816,108.44
Attributable to non-controlling interests -53,778,982.86 -52,243,491.57
8. Earnings per share
8.1 Basic earnings per share 0.0302 -0.0916
17
Konka Group Co., Ltd. First Quarterly Report 2021
8.2 Diluted earnings per share 0.0302 -0.0916
Legal representative: Liu Fengxi CFO: Li Chunlei
Head of the financial department: Guo Zhihua
4. Income Statement of the Company as the Parent
Unit: RMB
Item Q1 2021 Q1 2020
1. Operating revenue 572,828,936.17 2,173,088,156.73
Less: Cost of sales 526,837,769.50 1,908,039,936.17
Taxes and surcharges 1,530,199.56 1,190,131.21
Selling expense 90,725,439.78 206,626,489.19
Administrative expense 63,447,264.56 122,812,588.05
R&D expense 12,244,133.13 10,427,818.73
Finance costs 84,383,746.30 98,317,835.64
Including: Interest expense 214,458,640.65 247,210,956.09
Interest income 123,379,686.00 116,118,501.10
Add: Other income 21,437,602.25 47,511,070.74
Return on investment (“-” for loss) 47,236,157.82 37,878,815.64
Including: Share of profit or loss of joint ventures and
-8,613,603.76
associates
Income from the derecognition of financial assets at
amortized cost (“-” for loss)
Net gain on exposure hedges (“-” for loss)
Gain on changes in fair value (“-” for loss) 1,656,645.84
Credit impairment loss (“-” for loss) -27,664,804.19
Asset impairment loss (“-” for loss)
Asset disposal income (“-” for loss)
2. Operating profit (“-” for loss) -163,674,014.94 -88,936,755.88
Add: Non-operating income 1,720,057.44 141,649.22
Less: Non-operating expense 30,890.57 101,484.58
3. Profit before tax (“-” for loss) -161,984,848.07 -88,896,591.24
Less: Income tax expense -38,699,601.30 -21,239,920.46
4. Net profit (“-” for net loss) -123,285,246.77 -67,656,670.78
4.1 Net profit from continuing operations (“-” for net loss) -123,285,246.77 -67,656,670.78
4.2 Net profit from discontinued operations (“-” for net loss)
5. Other comprehensive income, net of tax
18
Konka Group Co., Ltd. First Quarterly Report 2021
5.1 Items that will not be reclassified to profit or loss
5.1.1 Changes caused by remeasurements on defined benefit
schemes
5.1.2 Other comprehensive income that will not be
reclassified to profit or loss under the equity method
5.1.3 Changes in the fair value of investments in other equity
instruments
5.1.4 Changes in the fair value arising from changes in own
credit risk
5.1.5 Other
5.2 Items that will be reclassified to profit or loss
5.2.1 Other comprehensive income that will be reclassified to
profit or loss under the equity method
5.2.2 Changes in the fair value of investments in other debt
obligations
5.2.3 Other comprehensive income arising from the
reclassification of financial assets
5.2.4 Credit impairment allowance for investments in other
debt obligations
5.2.5 Reserve for cash flow hedges
5.2.6 Differences arising from the translation of foreign
currency-denominated financial statements
5.2.7 Other
6. Total comprehensive income -123,285,246.77 -67,656,670.78
7. Earnings per share
7.1 Basic earnings per share
7.2 Diluted earnings per share
5. Consolidated Cash Flow Statement
Unit: RMB
Item Q1 2021 Q1 2020
1. Cash flows from operating activities:
Proceeds from sale of commodities and rendering of services 9,512,332,772.71 8,499,871,584.58
Net increase in customer deposits and interbank deposits
Net increase in borrowings from the central bank
Net increase in loans from other financial institutions
Premiums received on original insurance contracts
Net proceeds from reinsurance
Net increase in deposits and investments of policy holders
19
Konka Group Co., Ltd. First Quarterly Report 2021
Interest, handling charges and commissions received
Net increase in interbank loans obtained
Net increase in proceeds from repurchase transactions
Net proceeds from acting trading of securities
Tax rebates 56,409,474.20 61,099,379.53
Cash generated from other operating activities 657,621,963.41 517,064,976.00
Subtotal of cash generated from operating activities 10,226,364,210.32 9,078,035,940.11
Payments for commodities and services 9,476,296,648.41 8,277,120,758.49
Net increase in loans and advances to customers
Net increase in deposits in the central bank and in interbank
loans granted
Payments for claims on original insurance contracts
Net increase in interbank loans granted
Interest, handling charges and commissions paid
Policy dividends paid
Cash paid to and for employees 625,328,886.69 522,535,841.05
Taxes paid 185,945,308.90 497,454,218.72
Cash used in other operating activities 468,034,159.91 812,148,590.43
Subtotal of cash used in operating activities 10,755,605,003.91 10,109,259,408.69
Net cash generated from/used in operating activities -529,240,793.59 -1,031,223,468.58
2. Cash flows from investing activities:
Proceeds from disinvestment 45,012,770.66 51,626,012.60
Return on investment 31,075,186.16 42,185,934.10
Net proceeds from the disposal of fixed assets, intangible assets
159,251,958.00 291,834.00
and other long-lived assets
Net proceeds from the disposal of subsidiaries and other
34,089,192.68
business units
Cash generated from other investing activities 101,331,124.10 484,929,444.44
Subtotal of cash generated from investing activities 370,760,231.60 579,033,225.14
Payments for the acquisition of fixed assets, intangible assets
1,803,853,686.63 986,208,459.31
and other long-lived assets
Payments for investments 188,127,428.68 400,000.00
Net increase in pledged loans granted
Net payments for the acquisition of subsidiaries and other
business units
Cash used in other investing activities 180,599,856.00 88,280,000.00
20
Konka Group Co., Ltd. First Quarterly Report 2021
Subtotal of cash used in investing activities 2,172,580,971.31 1,074,888,459.31
Net cash generated from/used in investing activities -1,801,820,739.71 -495,855,234.17
3. Cash flows from financing activities:
Capital contributions received 44,368,539.07 92,900,439.00
Including: Capital contributions by non-controlling interests
44,368,539.07 92,900,439.00
to subsidiaries
Borrowings raised 7,240,208,717.59 5,990,188,961.51
Cash generated from other financing activities 296,375,956.73 120,900,000.00
Subtotal of cash generated from financing activities 7,580,953,213.39 6,203,989,400.51
Repayment of borrowings 4,466,489,496.89 3,561,043,093.07
Interest and dividends paid 226,688,210.14 251,247,798.13
Including: Dividends paid by subsidiaries to non-controlling
3,087,000.00
interests
Cash used in other financing activities 171,080,346.77 80,860,476.44
Subtotal of cash used in financing activities 4,864,258,053.80 3,893,151,367.64
Net cash generated from/used in financing activities 2,716,695,159.59 2,310,838,032.87
4. Effect of foreign exchange rates changes on cash and cash
3,140,025.95 9,479,762.14
equivalents
5. Net increase in cash and cash equivalents 388,773,652.24 793,239,092.26
Add: Cash and cash equivalents, beginning of the period 4,298,056,113.24 4,493,701,917.22
6. Cash and cash equivalents, end of the period 4,686,829,765.48 5,286,941,009.48
6. Cash Flow Statement of the Company as the Parent
Unit: RMB
Item Q1 2021 Q1 2020
1. Cash flows from operating activities:
Proceeds from sale of commodities and rendering of services 999,059,567.78 2,771,899,784.42
Tax rebates 22,557,838.62 20,649,207.83
Cash generated from other operating activities 217,038,045.37 2,075,822,222.03
Subtotal of cash generated from operating activities 1,238,655,451.77 4,868,371,214.28
Payments for commodities and services 898,514,624.74 1,450,487,246.54
Cash paid to and for employees 140,791,858.87 133,423,344.93
Taxes paid 2,964,844.09 4,136,871.33
Cash used in other operating activities 223,573,250.93 2,873,144,580.53
Subtotal of cash used in operating activities 1,265,844,578.63 4,461,192,043.33
Net cash generated from/used in operating activities -27,189,126.86 407,179,170.95
2. Cash flows from investing activities:
21
Konka Group Co., Ltd. First Quarterly Report 2021
Proceeds from disinvestment 69,047,750.00 32,450,000.00
Return on investment 158,365.75 15,939,565.72
Net proceeds from the disposal of fixed assets, intangible assets
40,484.00
and other long-lived assets
Net proceeds from the disposal of subsidiaries and other
business units
Cash generated from other investing activities 586,521,708.23 432,059,444.44
Subtotal of cash generated from investing activities 655,727,823.98 480,489,494.16
Payments for the acquisition of fixed assets, intangible assets
70,146,625.59 25,216,708.68
and other long-lived assets
Payments for investments 196,500,000.00 167,400,000.00
Net payments for the acquisition of subsidiaries and other
business units
Cash used in other investing activities 1,364,896,522.33 88,280,000.00
Subtotal of cash used in investing activities 1,631,543,147.92 280,896,708.68
Net cash generated from/used in investing activities -975,815,323.94 199,592,785.48
3. Cash flows from financing activities:
Capital contributions received
Borrowings raised 4,888,475,384.37 2,292,002,445.87
Cash generated from other financing activities 2,645,944,956.96
Subtotal of cash generated from financing activities 7,534,420,341.33 2,292,002,445.87
Repayment of borrowings 3,520,533,434.80 2,559,852,000.00
Interest and dividends paid 196,717,205.76 218,167,563.74
Cash used in other financing activities 2,551,627,277.85 4,759,802.05
Subtotal of cash used in financing activities 6,268,877,918.41 2,782,779,365.79
Net cash generated from/used in financing activities 1,265,542,422.92 -490,776,919.92
4. Effect of foreign exchange rates changes on cash and cash
1,751,291.25 2,905,864.39
equivalents
5. Net increase in cash and cash equivalents 264,289,263.37 118,900,900.90
Add: Cash and cash equivalents, beginning of the period 2,910,762,592.99 1,337,342,186.92
6. Cash and cash equivalents, end of the period 3,175,051,856.36 1,456,243,087.82
22
Konka Group Co., Ltd. First Quarterly Report 2021
II Adjustments to the Financial Statements
1. Adjustments to the Financial Statements at the Beginning of the First Execution Year of the
New Standards Governing Leases from 2021
√ Applicable □ Not applicable
Whether items of the balance sheets at the beginning of the year need adjustments
√ Yes □ No
(1) Consolidated Balance Sheet
Unit: RMB
Item 31 December 2020 1 January 2021 Adjustment
Current assets:
Monetary assets 5,431,530,180.90 5,431,530,180.90
Settlement reserve
Interbank loans granted
Held-for-trading financial assets 618,249,541.66 618,249,541.66
Derivative financial assets
Notes receivable 2,358,180,193.96 2,358,180,193.96
Accounts receivable 3,900,897,623.59 3,900,897,623.59
Accounts receivable financing 84,057,197.44 84,057,197.44
Prepayments 1,183,270,543.41 1,182,471,715.24 -798,828.17
Premiums receivable
Reinsurance receivables
Receivable reinsurance contract reserve
Other receivables 2,145,736,640.60 2,145,209,803.70 -526,836.90
Including: Interest receivable 45,109,425.85 45,109,425.85
Dividends receivable 4,947,848.62 4,947,848.62
Financial assets purchased under resale agreements
Inventories 4,521,300,677.41 4,521,300,677.41
Contractual assets 2,870,006,710.39 2,870,006,710.39
Assets classified as held for sale
Current portion of non-current assets 112,310,158.82 112,310,158.82
Other current assets 1,913,146,483.39 1,913,146,483.39
Total current assets 25,138,685,951.57 25,137,360,286.50 -1,325,665.07
Non-current assets:
Loans and advances to customers
Investments in debt obligations
23
Konka Group Co., Ltd. First Quarterly Report 2021
Investments in other debt obligations
Long-term receivables 399,497,204.03 399,497,204.03
Long-term equity investments 4,375,833,584.65 4,375,833,584.65
Investments in other equity instruments 25,343,293.16 25,343,293.16
Other non-current financial assets 1,878,154,796.76 1,878,154,796.76
Investment property 538,585,668.29 538,585,668.29
Fixed assets 3,178,642,017.84 3,178,642,017.84
Construction in progress 9,236,643,931.68 9,236,643,931.68
Productive living assets
Oil and gas assets
Use rights assets 103,838,847.54 103,838,847.54
Intangible assets 1,189,191,001.51 1,189,191,001.51
R&D expense
Goodwill 675,795,873.17 675,795,873.17
Long-term prepaid expense 153,198,562.82 153,198,562.82
Deferred income tax assets 1,265,916,437.39 1,265,916,437.39
Other non-current assets 1,820,779,170.74 1,820,779,170.74
Total non-current assets 24,737,581,542.04 24,841,420,389.58 103,838,847.54
Total assets 49,876,267,493.61 49,978,780,676.08 102,513,182.47
Current liabilities:
Short-term borrowings 10,990,550,475.78 10,990,550,475.78
Borrowings from the central bank
Interbank loans obtained
Held-for-trading financial liabilities
Derivative financial liabilities
Notes payable 1,335,987,026.21 1,335,987,026.21
Accounts payable 9,632,366,325.76 9,632,366,325.76
Advances from customers
Contractual liabilities 1,217,367,735.94 1,217,367,735.94
Financial assets sold under repurchase agreements
Customer deposits and interbank deposits
Payables for acting trading of securities
Payables for underwriting of securities
Payroll payable 476,616,244.45 476,616,244.45
24
Konka Group Co., Ltd. First Quarterly Report 2021
Taxes payable 508,214,059.16 508,214,059.16
Other payables 1,999,430,899.69 1,991,555,887.10 -7,875,012.59
Including: Interest payable 220,837,380.17 220,837,380.17
Dividends payable
Handling charges and commissions payable
Reinsurance payables
Liabilities directly associated with assets classified as
held for sale
Current portion of non-current liabilities 376,896,566.29 425,552,664.43 48,656,098.14
Other current liabilities 441,774,317.23 441,774,317.23
Total current liabilities 26,979,203,650.51 27,019,984,736.06 40,781,085.55
Non-current liabilities:
Insurance contract reserve
Long-term borrowings 5,964,748,997.54 5,964,748,997.54
Bonds payable 4,993,212,788.32 4,993,212,788.32
Including: Preferred shares
Perpetual bonds
Lease liabilities 61,732,096.92 61,732,096.92
Long-term payables 481,409,849.96 481,409,849.96
Long-term payroll payable 5,248,309.14 5,248,309.14
Provisions 102,353,567.91 102,353,567.91
Deferred income 446,900,524.64 446,900,524.64
Deferred income tax liabilities 75,819,231.93 75,819,231.93
Other non-current liabilities 106,475,449.02 106,475,449.02
Total non-current liabilities 12,176,168,718.46 12,237,900,815.38 61,732,096.92
Total liabilities 39,155,372,368.97 39,257,885,551.44 102,513,182.47
Owners’ equity:
Share capital 2,407,945,408.00 2,407,945,408.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserves 230,185,310.09 230,185,310.09
Less: Treasury stock
Other comprehensive income -16,583,042.42 -16,583,042.42
Specific reserve
25
Konka Group Co., Ltd. First Quarterly Report 2021
Surplus reserves 1,211,721,109.67 1,211,721,109.67
General reserve
Retained earnings 4,595,371,391.63 4,595,371,391.63
Total equity attributable to owners of the Company as the
8,428,640,176.97 8,428,640,176.97
parent
Non-controlling interests 2,292,254,947.67 2,292,254,947.67
Total owners’ equity 10,720,895,124.64 10,720,895,124.64
Total liabilities and owners’ equity 49,876,267,493.61 49,978,780,676.08 102,513,182.47
Notes for adjustment
The Ministry of Finance issued the revised "Accounting Standards for Business Enterprises No.
21-Leases"(Cai Kuai [2018]No.35) in 2018, and the Company implemented it since 1 January 2021.
According to the new standards governing leases, enterprises implementing this standard for the
first time should adjust the amount of retained earnings and other related items in the financial
statements at the beginning of the year when the standard is first implemented based on the
cumulative impact of the first implementation of the standard, and no adjustment is made to the
information for the comparable period.
Balance Sheet of the Company as the Parent
Unit: RMB
Item 31 December 2020 1 January 2021 Adjusted
Current assets:
Monetary assets 3,481,445,560.17 3,481,445,560.17
Held-for-trading financial assets 298,497,458.33 298,497,458.33
Derivative financial assets
Notes receivable 879,589,355.91 879,589,355.91
Accounts receivable 4,473,251,691.85 4,473,251,691.85
Accounts receivable financing 5,659,400.00 5,659,400.00
Prepayments 1,021,218,285.46 1,021,218,285.46
Other receivables 10,034,869,353.07 10,034,869,353.07
Including: Interest receivable 41,138,869.97 41,138,869.97
Dividends receivable 749,431,635.50 749,431,635.50
Inventories 202,406,456.36 202,406,456.36
Contractual assets
Assets classified as held for sale
Current portion of non-current assets
Other current assets 1,020,031,186.39 1,020,031,186.39
Total current assets 21,416,968,747.54 21,416,968,747.54
26
Konka Group Co., Ltd. First Quarterly Report 2021
Non-current assets:
Investments in debt obligations
Investments in other debt obligations
Long-term receivables
Long-term equity investments 8,806,166,599.56 8,806,166,599.56
Investments in other equity instruments 17,940,215.36 17,940,215.36
Other non-current financial assets 250,230,000.00 250,230,000.00
Investment property 406,237,236.91 406,237,236.91
Fixed assets 431,762,044.14 431,762,044.14
Construction in progress 132,464,938.18 132,464,938.18
Productive living assets
Oil and gas assets
Use rights assets 6,321,843.42 6,321,843.42
Intangible assets 59,506,272.63 59,506,272.63
R&D expense
Goodwill
Long-term prepaid expense 16,532,521.69 16,532,521.69
Deferred income tax assets 980,095,292.53 980,095,292.53
Other non-current assets 10,867,888.84 10,867,888.84
Total non-current assets 11,111,803,009.84 11,118,124,853.26 6,321,843.42
Total assets 32,528,771,757.38 32,535,093,600.80 6,321,843.42
Current liabilities:
Short-term borrowings 5,052,990,048.93 5,052,990,048.93
Held-for-trading financial liabilities
Derivative financial liabilities
Notes payable 1,344,958,738.50 1,344,958,738.50
Accounts payable 6,811,467,585.39 6,811,467,585.39
Advances from customers
Contractual liabilities 723,022,740.95 723,022,740.95
Payroll payable 147,391,317.06 147,391,317.06
Taxes payable 4,094,133.23 4,094,133.23
Other payables 4,275,347,622.57 4,275,347,622.57
Including: Interest payable 215,828,625.04 215,828,625.04
Dividends payable
27
Konka Group Co., Ltd. First Quarterly Report 2021
Liabilities directly associated with assets classified as
held for sale
Current portion of non-current liabilities 5,867,425.49 8,297,306.42 2,429,880.93
Other current liabilities 6,108,675.36 6,108,675.36
Total current liabilities 18,371,248,287.48 18,373,678,168.41 2,429,880.93
Non-current liabilities:
Long-term borrowings 2,930,034,612.32 2,930,034,612.32
Bonds payable 4,993,212,788.32 4,993,212,788.32
Including: Preferred shares
Perpetual bonds
Lease liabilities 3,891,962.49 3,891,962.49
Long-term payables 17,633,249.67 17,633,249.67
Long-term payroll payable
Provisions 832,465.72 832,465.72
Deferred income 61,530,557.55 61,530,557.55
Deferred income tax liabilities 2,334,364.58 2,334,364.58
Other non-current liabilities 54,162,098.05 54,162,098.05
Total non-current liabilities 8,059,740,136.21 8,063,632,098.70 3,891,962.49
Total liabilities 26,430,988,423.69 26,437,310,267.11 6,321,843.42
Owners’ equity:
Share capital 2,407,945,408.00 2,407,945,408.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserves 112,570,352.72 112,570,352.72
Less: Treasury stock
Other comprehensive income -2,682,217.31 -2,682,217.31
Specific reserve
Surplus reserves 1,227,564,785.19 1,227,564,785.19
Retained earnings 2,352,385,005.09 2,352,385,005.09
Total owners’ equity 6,097,783,333.69 6,097,783,333.69
Total liabilities and owners’ equity 32,528,771,757.38 32,535,093,600.80 6,321,843.42
28
Konka Group Co., Ltd. First Quarterly Report 2021
Notes for adjustment
The Ministry of Finance issued the revised "Accounting Standards for Business Enterprises No.
21-Leases"(Cai Kuai [2018]No.35) in 2018, and the Company implemented it since 1 January 2021.
According to the new standards governing leases, enterprises implementing this standard for the
first time should adjust the amount of retained earnings and other related items in the financial
statements at the beginning of the year when the standard is first implemented based on the
cumulative impact of the first implementation of the standard, and no adjustment is made to the
information for the comparable period.
2. Retrospective Restatement of Previous Comparative Data due to the First Execution of the
New Standards Governing Leases from 2021
√ Applicable □ Not applicable
The Ministry of Finance issued the revised "Accounting Standards for Business Enterprises No.
21-Leases"(Cai Kuai [2018]No.35) in 2018, and the Company implemented it since 1 January 2021.
According to the new standards governing leases, enterprises implementing this standard for the
first time should adjust the amount of retained earnings and other related items in the financial
statements at the beginning of the year when the standard is first implemented based on the
cumulative impact of the first implementation of the standard, and no adjustment is made to the
information for the comparable period.
III Independent Auditor’s Report
Indicate by tick mark whether the financial statements above have been audited by an independent
auditor.
□ Yes √ No
These financial statements have not been audited by such an auditor.
The Board of Directors
Konka Group Co., Ltd.
28 April 2021
29
