Stock Code: 000530; 200530 Short Form of the Stock: Bingshan; BingshanB No: 2021-010 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. QUARTERLY REPORT FOR FIRST QUARTER, 2021 §1 Important Notes 1.1 The directors and the Board of Directors, the supervisors and the Supervisory Board, and Senior staff members of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. (hereinafter referred to as the Company) hereby confirm that there are no any important omissions, fictitious statements or serious misleading carried in this report, and shall take all responsibilities, individual and/or joint, for the reality, accuracy and completeness of the whole contents. 1.2 All the directors have attended this Board meeting of the Company. 1.3 Chairman of the Board of Directors of the Company Mr. Ji Zhijian, Financial Majordomo Mr. Ma Yun, and the head of Accounting Department Mrs. Wang Jinxiu hereby confirm that the financial report of the quarterly report is true and complete. 1.4 This report is written respectively in Chinese and in English. In the event of any discrepancy between the two above-mentioned versions, the Chinese version shall prevail. §2 Company Profile 2.1 Major accounting data and financial indexes Increase/decrease compared January-March, 2021 January-March, 2020 with previous year Operating revenue 491,609,773.09 463,218,112.74 6.13% Net profit attributable to shareholders of -28,904,736.89 -58,673,476.79 50.74% listed companies Net profit belonging to the shareholders of listed companies after the deduction of -16,049,142.03 -29,177,871.92 45.00% non-recurring profit and loss Net cash flow from operating activities 17,535,066.89 -81,344,046.60 121.56% Basic earnings per share -0.034 -0.070 51.43% Diluted earnings per share -0.034 -0.070 51.43% Weighted average return on net asset yield -0.86% -1.75% Increase 0.89 percentage points Increase/decrease compared March 31, 2021 December 31, 2020 with year beginning Total assets 5,808,295,767.48 5,681,568,328.36 2.23% Owner's equity attributable to shareholders of 3,346,705,051.18 3,375,609,788.07 -0.86% listed companies The net profit of the Company was in deficit (year-on-year loss reduction) , mainly due to 1.During the reporting period, there are large amount of non-recurring losses, mainly due to that the negative change in fair value of Guotai Junan has made the Company loss about 14.16million yuan in first quarter,2021.2. During the reporting period, affected by the rising price of raw materials, the cost pressure of the Company and its affiliates increased, and the improvement effect of the Company's main business was not fully reflected. non-recurring gains and losses √ Applicable □ Inapplicable 1 Item of non-recurring gains and losses Amount from beginning of year to the end of report period Disposal gains and losses of non-current asset -581.47 Government subsidies included in current profit or loss 293,055.99 Disposal gains from investments on other non-current financial assets, or gains from fair value change of other -16,653,910.32 non-current financial assets Other operating revenue or expense 1,579,351.60 Income tax effect -2,179,769.97 Minority shareholders’ gains and losses 253,280.63 Total -12,855,594.86 2.2 Total number and particulars of the shareholders by the end of the report period Total number of shareholders in the reporting period 45,887 Shareholding of top ten shareholders Number of Number of pledged shares Name Nature Proportion Total number shares or with sale shares restriction frozen Domestic non-state-owned Dalian Bingshan Group Co., Ltd. 20.27% 170,916,934 0 legal person Sanyo Electric Co., Ltd. Overseas legal person 8.72% 73,503,150 0 Lin Zhenming Foreign natural person 0.80% 6,740,000 0 Wu An Domestic natural person 0.53% 4,500,000 0 Zhang Hui Domestic natural person 0.52% 4,388,975 0 Zhang Sufen Domestic natural person 0.48% 4,100,000 0 Sun Huiming Domestic natural person 0.43% 3,620,979 0 Xue Hong Domestic natural person 0.42% 3,570,000 0 Kong Guiyan Domestic natural person 0.42% 3,554,754 0 Dalian industrial development investment Co., Domestic non-state-owned 0.40% 3,406,725 0 Ltd. legal person Shareholding of top ten shareholders without sale restriction Number of shares without sale Name Type of shares restriction Dalian Bingshan Group Co., Ltd. 170,916,934 RMB denominated ordinary shares Sanyo Electric Co., Ltd. 73,503,150 Domestically listed foreign shares Lin Zhenming 6,740,000 Domestically listed foreign shares Wu An 4,500,000 Domestically listed foreign shares Zhang Hui 4,388,975 RMB denominated ordinary shares Zhang Sufen 4,100,000 RMB denominated ordinary shares Sun Huiming 3,620,979 Domestically listed foreign shares Xue Hong 3,570,000 Domestically listed foreign shares Kong Guiyan 3,554,754 RMB denominated ordinary shares Dalian industrial development investment Co., Ltd. 3,406,725 RMB denominated ordinary shares Dalian Bingshan Group Co., Ltd. had the association relationship with Notes to the associated relationship and uniform actions Sanyo Electric Co., Ltd. among the above shareholders. Sanyo Electric of the above shareholders Co., Ltd. holds 26.6% of Dalian Bingshan Group Co., Ltd.'s equity. 2 §3 Important Matters 3.1 Major changes in main financial items and indexes, and description of the cause √ Applicable □ Inapplicable 1.Accounts in advance has increased significantly compared with the beginning of the year, mainly due to the increase of orders in this period, especially the increase of engineering projects, and the need to pay the supplier in advance. 2. Other receivables has decreased significantly compared with the beginning of the year, mainly due to the receipt of the second phase of the Bingshan Consulting equity transfer price. 3. Contract liability has increased significantly compared with the beginning of the year, mainly due to the increase of orders, advance payment increased. 4. The salary payable has decreased significantly compared with the beginning of the year, mainly due to the payment of provision employee compensation of last period-end during the reporting period. 5. The selling expenses has increased significantly y-o-y, mainly due to the 2019-nCoV has limited the sales activities in the same period last year. 6. Net cash flows arising from operating activities has increased significantly y-o-y, mainly due to the increase in cash received from selling commodities. 7. Net cash flows arising from investing activities has increased significantly y-o-y, mainly due to the receipt of the second phase of the Bingshan Consulting equity transfer price. 8. Net cash flows arising from financing activities has decreased significantly y-o-y, mainly due to a decrease in cash received for borrowing and an increase in cash paid for debt repayment. 3.2 Important Progress and the analysis of the influence and solution □Applicable√Inapplicable Progress of share buybacks □Applicable√Inapplicable Progress of share buybacks in the way of centralized bidding for reduction □Applicable√Inapplicable 3.3 Commitments of the Company or its shareholders, actual controller and other related parties in the reporting period or carried to the reporting period □ Applicable √ Inapplicable 3.4. Financial asset investment 1. The securities investment √Applicable □Inapplicable Accumu lated Fair Value Short Fair Curre Gains and Accounting Change Gains Account Type of Stock Form of Initial cost of Begin Book Value nt losses during Source Measurement and Losses in Current Sale Final Book value ing securities Code the investment value Change Purc the reporting of funds Model the Current subjects Stock Include hase period Period d in Equity Other non-curr Guotai Measuring at Own Stock 601211 12,910,008.00 226,312,440.24 -16,653,910.32 0.00 0.00 0.00 -16,653,910.32 209,658,529.92 ent Junan fair value fund financial assets Total 12,910,008.00 -- 226,312,440.24 -16,653,910.32 0.00 0.00 0.00 -16,653,910.32 209,658,529.92 -- -- 2. Derivative investment □ Applicable √ Inapplicable 3.5 Progress of investment projects raised funds □ Applicable √ Inapplicable 3.6 Estimated operating results for the period January-June 2021 □ Applicable √ Inapplicable 3.7 Daily operation of major contracts □ Applicable √ Inapplicable 3.8 Trust management □ Applicable √ Inapplicable 3.9 Violation of external guaranty □ Applicable √ Inapplicable 3.10 Non-operation capital occupation by holding shareholders and their related parties in the listed company □ Applicable √ Inapplicable 3.11 3.7 Table of investigation, communication, interview received □ Applicable √ Inapplicable Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.. April 24, 2021 3