Stock Code: 000530; 200530 Short Form of the Stock:Bingshan; Bingshan B No:2021-040
Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.
QUARTERLY REPORT FOR THIRD QUARTER, 2021
The directors and the Board of Directors of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.
hereby confirm that there are no any important omissions, fictitious statements or serious misleading carried in
this report.
Important Notes
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.
2. Chairman of the Board of Directors of the Company Mr. Ji Zhijian, Financial Majordomo Mrs. Wang Jinxiu
and the head of Accounting Department Mr. Li Sheng hereby confirm that the financial report of the quarterly
report is true and complete.
3. The Company’s quarterly financial report has not been audited.
§1 Major accounting data and changes of shareholders
1.1 Major accounting data and financial indexes
Is there any traceable adjustment to the financial statements for the previous report period?
□ Yes √ No
Increase/decrease Increase/decrease over
2021.7-9 2020.7-9 2021.1-9 2020.1-9
over 2020.7-9 2020..1-9
Total operating income 657,628,182.17 462,998,187.84 42.04% 1,751,913,803.14 1,336,401,602.30 31.09%
Net profit attributable to -26,965,424.33 27,947,259.43 -196.49% -41,549,634.34 4,342,913.91 -1,056.72%
parent company
Net profit attributable to
parent company after
-39,026,942.89 10,312,723.62 -478.43% -50,909,617.50 2,055,728.63 -2,518.00%
deducting non-recurring
gains/losses
Net cash generated from _ _ _ 4,865,672.01 -96,748,498.60 105.03%
operating activities
Basic earnings per share -0.030 0.033 -196.97% -0.049 0.005 -1,080.00%
Diluted earnings per share -0.030 0.033 -196.97% -0.049 0.005 -1,080.00%
Weighted average return Decrease1.63 Decrease 1.33
-0.80% 0.83% percentage points -1.20% 0.13% percentage points
on net asset yield
2021.9.30 2020.12.31 Increase/decrease over 2020.12.31
Total assets 5,861,887,990.24 5,681,568,328.36 3.17%
Shareholder’s equity
attributable to parent 3,309,504,058.37 3,375,609,788.07 -1.96%
company
In the first three quarters of 2021, the Company's net profit is in the red, mainly due to the following reasons: 1. In
the first three quarters of this year, the Company took the initiative to reform its main business, promoted
engineering and manufacturing in an orderly way, and specialized and deeply cultivated advantageous market
segments. Operating revenue increased by 31.09% year on year, but under the influence of rising raw material prices
and intensified market competition, gross profit margin decreased by 2.77 percentage points year on year. 2. Among
the associated enterprises of the Company, due to the implementation of the new financial instrument standards of
the Sino-foreign joint ventures from January 1, 2021, the provision of credit impairment losses increased
significantly, and the Company's investment income to the associated enterprises decreased by 34.93 million yuan
1.2 Non-recurring profits and losses and their amounts
1
Amount of this Amount from beginning of
Item of non-recurring gains and losses
report period year to the end of report period
Profit and loss from disposal of non-current assets 18,777.67 27,171.60
Government subsidies which were included in the current profits and 445,847.54 1,360,302.53
losses
Debt restructuring gains and losses 859,297.68 859,297.68
Disposal gains from investments on financial assets available for sale, 8,692,167.86 3,657,264.74
and gains from fair value change of other non-current financial assets
Other non-operating incomes and expenses except the above mentioned 4,137,615.45 5,515,024.78
Income tax effects 2,100,116.65 1,729,462.92
Minority equity interests effects (after tax) -7,929.01 329,615.25
Total 12,061,518.56 9,359,983.16
1.3 Major changes in main financial items and indexes, and description of the cause
√ Applicable □ Inapplicable
(1). Accounts paid in advance increased 64.54% 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 advance payment
to suppliers.
(2). Other receivables decreased 49.72% compared with the beginning of the year, mainly due to received the
equity transfer price of Bingshan Consulting Phase II.
(3). Inventory increased 21.33% compared with the beginning of the year, mainly due to the new revenue
recognition rules make some goods issued and unfinished construction projects temporarily unable to carry
forward income; Based on the large increase in orders, projects under construction and wIP input increased
significantly.
(4). Other current assets decreased 34.86% compared with the beginning of the year, mainly due to the adjustment
of the value added tax retention allowance changes.
(5). Accounts payable increased 36.81% compared with the beginning of the year, mainly due to the increase of
purchase orders, related purchases did not arrive at the agreed payment node.
(6). Salary payable decreased 60.76% compared with the beginning of the year, mainly due to the payment of
provision employee compensation of last period-end during the reporting period.
(7). Operating sales increased 31.09% on a year-on-year basis, mainly due to the Company's specialization and
deep cultivation advantages of market segments to achieve better results.
(8). Operating cost increased 35.37% on a year-on-year basis, mainly due to the increase in operating income, as
well as raw material prices.
(9). Selling and distribution expenses increased 44.06% on a year-on-year basis, mainly due to increased market
expansion in the current period and limited normal sales activities due to the outbreak of COVID-19 in the same
period last year.
(10). R&D expenses increased 40.39% on a year-on-year basis, mainly due to the increase in operating income
and corresponding increase in R&D investment.
(11).Financial expenses decreased 33.79% on a year-on-year basis, mainly due to the decrease of loans.
(12). Net cash flows arising from operating activities increased 101.61 million yuan ,on a year-on-year basis,
mainly due to the increase in cash received from merchandise sales.
(13).Net cash flows arising from financing activities decreased 74.35 million yuan on a year-on-year basis, mainly
due to due to the reduction of working capital loans, the cash received for borrowing decreased and the cash paid
for debt repayment increased.
2. Shareholders' information
2.1 Total number and particulars of the shareholders by the end of the report period
Total number of shareholders in the Total number of shareholders as of the last month before
39,977 0
reporting period disclosure of the annual report
Shareholding of top ten shareholders
Number of Number of
shares pledged
Name Nature Proportion Total number
with sale shares or
restriction shares frozen
2
Domestic non-state-owned
Dalian Bingshan Group Co., Ltd. 20.27% 170,916,934
legal person
Sanyo Electric Co., Ltd. Overseas legal person 8.72% 73,503,150
Lin Zhenming Foreign natural person 0.80% 6,740,000
Zhang Sufen Domestic natural person 0.74% 6,260,000
Wang Shaohong Domestic natural person 0.55% 4,654,200
Wu An Domestic natural person 0.53% 4,500,000
Zhang Hui Domestic natural person 0.46% 3,860,015
Fu Hui Domestic natural person 0.45% 3,762,868
Xue Hong Domestic natural person 0.42% 3,570,000
Dalian industrial development Domestic non-state-owned
0.40% 3,406,725
investment Co., Ltd. legal person
Shareholding of top ten shareholders without sale restriction
Number of shares
Name Type of shares
without sale 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
Zhang Sufen 6,260,000 RMB denominated ordinary shares
Wang Shaohong 4,654,200 RMB denominated ordinary shares
Wu An 4,500,000 Domestically listed foreign shares
Zhang Hui 3,860,015 RMB denominated ordinary shares
Fu Hui 3,762,868 RMB denominated ordinary shares
Xue Hong 3,570,000 Domestically listed foreign shares
Dalian industrial development investment Co., Ltd. 3,406,725 RMB denominated ordinary shares
Dalian Bingshan Group Co., Ltd. had the association
Notes to the associated relationship and uniform actions of relationship with Sanyo Electric Co., Ltd. among the above
the above shareholders shareholders. Sanyo Electric Co., Ltd. holds 26.6% of Dalian
Bingshan Group Co., Ltd.'s equity.
At the end of the report period, the total number of shareholders of the Company was 39,977, including 32,312
A-share shareholders and 7,665 B-share shareholders.
2.2 Information on the total number of preferred shareholders and the shares held by top ten preferred
shareholders as of the end of the reporting period
□ Yes √ No
§3 Other important Matters
During the reporting period, the Company sold 1,700,000 shares of Guotai Junan at an average selling price of
19.30 yuan per share. After the sale, the Company holds Guotai Junan shares 11,210,008 shares.
3
§4 Financial Statements
CONSOLIDATION BALANCE SHEET
Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. September 30, 2021 Unit: RMB Yuan
Items 30-Sep-2021 31-Dec-2020
Current assets:
Monetary funds 350,507,661.16 373,445,731.67
Financial assets which are measured by fair value and which
changes are recorded in current profit and loss
Derivative financial assets
Transaction financial assets
Notes receivable 104,899,644.08 139,121,037.78
Accounts receivable 919,233,029.01 817,011,955.75
Receivables financing 50,894,081.37 61,737,282.56
Accounts paid in advance 254,185,752.90 154,481,509.35
Other receivables 33,953,850.71 67,527,176.86
Interest receivables 890,207.24 46,879.68
Dividend receivable 2,390,723.75 25,923.75
Inventories 887,715,500.62 731,658,797.98
Contract assets 101,072,065.05 91,430,011.60
Assets held for sale
Non-current asset due within one year 31,381,785.92 42,003,576.60
Other current assets 15,121,186.78 23,214,091.44
Total current assets 2,748,964,557.60 2,501,631,171.59
Non-current assets:
Finance asset held available for sales
Held-to-maturity investment
Long-term account receivable 62,846,409.09 65,867,973.25
Long-term equity investment 1,591,335,837.19 1,597,241,363.62
Other Non-current financial assets 212,766,101.23 239,304,098.83
Investment property 121,733,404.00 126,288,477.92
Fixed assets 844,689,047.45 891,147,058.82
Construction in progress 34,194,018.48 34,254,599.42
Right of use assets 21,251,616.12
Engineering material
Disposal of fixed asset
Productive biological asset
Oil and gas asset
Intangible assets 144,142,163.38 145,442,721.24
Expense on Research and Development
Goodwill 1,750,799.49 1,750,799.49
Long-term expenses to be apportioned 8,572,848.05 9,660,538.07
Deferred income tax asset 69,641,188.16 68,979,526.11
Other non-current asset
Total non-current asset 3,112,923,432.64 3,179,937,156.77
Total assets 5,861,887,990.24 5,681,568,328.36
Current liabilities:
4
Short-term loans 239,770,000.00 282,971,600.00
Financial liabilities which are measured by fair value and which
changes are recorded in current profit and loss
Derivative financial liabilities
Transaction financial liabilities
Notes payable 363,174,678.21 295,151,372.38
Accounts payable 1,049,694,392.67 767,267,232.43
Accounts received in advance
Contract liabilities 319,732,006.18 295,100,657.10
Wage payable 12,214,678.51 31,125,808.94
Taxes payable 10,953,008.80 9,714,194.25
Other accounts payable 32,691,393.45 43,017,466.38
Interest payable 2,320,000.06 1,839,166.81
Dividend payable 533,156.00 533,156.00
Liabilities held for sale
Non-current liabilities due within one year 13,757,444.77 37,157,126.41
Other current liabilities 130,283,204.17 152,173,946.30
Total current liabilities 2,172,270,806.76 1,913,679,404.19
Non-current liabilities:
Long-term loans 150,000,000.00 160,000,000.00
Bonds payable
Preferred stock
Perpetual bond
Lease liability 18,352,509.03
Long-term account payable 14,842,323.96 14,622,463.75
Long-term wage payable
Special Payable
Anticipation liabilities 7,592,239.01
Deferred income 101,502,893.88 104,457,568.86
Deferred income tax liabilities 28,299,665.19 32,010,364.83
Other non-current liabilities
Total non-current liabilities 312,997,392.06 318,682,636.45
Total liabilities 2,485,268,198.82 2,232,362,040.64
Shareholders’ equity
Share capital 843,212,507.00 843,212,507.00
Other equity instruments
Preferred stock
Perpetual bond
Capital public reserve 710,644,497.71 726,768,468.00
Less: Treasury stock
Other comprehensive income 2,501,459.77 2,501,459.77
Special preparation
Surplus public reserve 818,311,159.24 805,525,775.33
Generic risk reserve
Retained profit 934,834,434.65 997,601,577.97
Total owner’s equity attributable to parent company 3,309,504,058.37 3,375,609,788.07
5
Minority interests 67,115,733.05 73,596,499.65
Total owner’s equity 3,376,619,791.42 3,449,206,287.72
Total liabilities and shareholder’s equity 5,861,887,990.24 5,681,568,328.36
Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng
6
CONSOLIDATION INCOME STATEMENT
Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. September 30, 2021 Unit: RMB Yuan
Items January-September, 2021 January- September, 2020
I. Total sales 1,751,913,803.14 1,336,401,602.30
II. Total operating cost 1,818,095,119.51 1,377,192,596.04
Including: Operating cost 1,537,686,115.03 1,135,910,729.34
Taxes and associate charges 14,782,923.04 12,002,625.35
Selling and distribution expenses 91,119,255.32 63,251,592.88
Administrative expenses 108,999,166.58 110,494,420.86
R&D expenses 54,388,434.55 38,740,337.42
Financial expense 11,119,224.99 16,792,890.19
Including: interest expense 14,919,014.00 14,416,491.69
interest income 5,032,852.90 1,187,533.42
Add: Other income 1,360,302.53 6,605,737.40
Gain/(loss) from investment 19,064,313.18 56,407,749.06
Including: income from investment on affiliated enterprise and
9,479,575.98 44,414,524.88
jointly enterprise
Gain/(loss) from change in fair value (loss as “-“) 3,754,002.40 -5,887,502.00
Credit impairment loss (loss as “-“) -5,784,568.00 -17,224,475.88
Assets impairment loss (loss as “-“) -8,258,805.29
Gain/(loss) from asset disposal (loss as “-“) 27,171.60 191,798.01
III. Operating profit -56,018,899.95 -697,687.15
Add: non-business income 7,547,220.30 2,602,750.06
Less: non-business expense 1,004,350.24 145,844.65
IV. Total profit -49,476,029.89 1,759,218.26
Less: Income tax -1,445,628.95 -1,927,158.87
V. Net profit -48,030,400.94 3,686,377.13
(I) Net profit from continuous operation -48,030,400.94 3,686,377.13
(II)Net profit from discontinuing operation
Net profit attributable to parent company -41,549,634.34 4,342,913.91
Minority shareholders’ gains and losses -6,480,766.60 -656,536.78
VI. After-tax net amount of other comprehensive incomes
After-tax net amount of other comprehensive incomes attributable to
owners of the Company
(I) Other comprehensive incomes that will not be reclassified into gains
and losses
1. Changes in net liabilities or assets with a defined benefit plan upon
re-measurement
2. Enjoyable shares in other comprehensive incomes in invests that
cannot be reclassified into gains and losses under the equity method
(II) Other comprehensive incomes that will be reclassified into gains
and losses
1. Enjoyable shares in other comprehensive incomes in invests that will
be reclassified into gains and losses under the equity method
2. Gains and losses on fair value changes of available-for-sale financial
assets
3. Gains and losses on reclassifying held-to-maturity investments into
available-for-sale financial assets
4. Effective hedging gains and losses on cash flows
5. Foreign-currency financial statement translation difference
7
6、Others
……
After-tax net amount of other comprehensive incomes attributable to
minority shareholders
VII Total comprehensive income -48,030,400.94 3,686,377.13
Total comprehensive income attributable to parent company -41,549,634.34 4,342,913.91
Total comprehensive income attributable to minority shareholders -6,480,766.60 -656,536.78
VIII. Earnings per share
(I) basic earnings per share -0.049 0.005
(II) diluted earnings per share -0.049 0.005
Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng
8
CONSOLIDATION CASH FLOW STATEMENT
Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. January - September, 2021 Unit: RMB Yuan
Items January - September, 2021 January - September, 2020
I. Cash flows arising from operating activities:
Cash received from selling commodities and providing labor services 1,366,490,775.49 931,236,976.16
Write-back of tax received 15,767,416.25 16,087,153.47
Other cash received concerning operating activities 76,419,830.88 62,856,556.06
Subtotal of cash inflow arising from operating activities 1,458,678,022.62 1,010,180,685.69
Cash paid for purchasing commodities and receiving labor service 991,847,218.79 720,359,068.70
Cash paid to/for staff and workers 258,665,354.27 230,849,374.08
Taxes paid 61,236,522.09 51,361,443.49
Other cash paid concerning operating activities 142,063,255.46 104,359,298.02
Subtotal of cash outflow arising from operating activities 1,453,812,350.61 1,106,929,184.29
Net cash flows arising from operating activities 4,865,672.01 -96,748,498.60
II. Cash flows arising from investing activities:
Cash received from recovering investment 1,703,262.34 2,396,000.00
Cash received from investment income 80,638,354.58 69,918,361.75
Net cash received from disposal of fixed, intangible and other long-term
718,371.68 445,649.60
assets
Net cash received from disposal of subsidiaries and other units 36,263,700.00
Other cash received concerning investing activities
Subtotal of cash inflow from investing activities 119,323,688.60 72,760,011.35
Cash paid for purchasing fixed, intangible and other long-term assets 8,985,428.62 9,124,507.49
Cash paid for investment 45,400,000.00
Net cash paid for achievement of subsidiaries and other business units
Other cash paid concerning investing activities
Subtotal of cash outflow from investing activities 54,385,428.62 9,124,507.49
Net cash flows arising from investing activities 64,938,259.98 63,635,503.86
III. Cash flows arising from financing activities
Cash received from absorbing investment
Including: Cash received from absorbing minority shareholders' equity
investment by subsidiaries
Cash received from loans 258,870,000.00 351,751,600.00
Cash received from issuing bonds
Other cash received concerning financing activities 60,343,934.67 32,926,633.20
Subtotal of cash inflow from financing activities 319,213,934.67 384,678,233.20
Cash paid for settling debts 337,563,543.19 333,447,223.97
Cash paid for dividend and profit distributing or interest paying 24,159,906.92 42,052,924.78
Including: dividends or profit paid by subsidiaries to minority shareholders
Other cash paid concerning financing activities 34,847,480.91 12,182,713.89
Subtotal of cash outflow from financing activities 396,570,931.02 387,682,862.64
Net cash flows arising from financing activities -77,356,996.35 -3,004,629.44
IV. Influence on cash due to fluctuation in exchange rate 188,430.42 -660,346.06
V. Net increase of cash and cash equivalents -7,364,633.94 -36,777,970.24
Add: Balance of cash and cash equivalents at the period -begin 314,978,460.49 301,527,354.56
VI. Balance of cash and cash equivalents at the period–end 307,613,826.55 264,749,384.32
Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sh eng
9
Note: The adjustment of financial statements
New lease Standards for the First Implementation Relevant to Financial Statements at the Beginning of the Year
√Applicable □Not applicable
Consolidated balance sheet
Consolidated balance sheet
Item 31-Dec-2020 1-Jan-2021 The amount of
adjustment
Fixed assets 891,147,058.82 867,177,638.62 -23,969,420.20
Right of use assets 23,969,420.20 +23,969,420.20
Long-term payables 14,622,463.75 -14,622,463.75
Lease liabilities 14,622,463.75 +14,622,463.75
Board of Directors of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd.
October 28, 2021
10
