Stock Code: 002607 Stock Abbr.: OFFCN EDU Announcement No.: 2022-066
OFFCN EDUCATION TECHNOLOGY CO., LTD.
Third Quarter 2022 Report
The Company and all the members of its Board of Directors hereby guarantee that the contents disclosed
are true, accurate, and complete, and that there are no misrepresentations, misleading statements, or material
omissions. This Report is prepared and published in Chinese and English versions. Should there be any
inconsistency between the Chinese version and English version, the Chinese version shall prevail.
Important notes:
1. The Company’s Board of Directors, Supervisory Committee, directors, supervisors, and senior
management hereby guarantee that the contents of the quarterly report are true, accurate, and complete, and that
there are no misrepresentations, misleading statements, or material omissions, and shall assume individual and
joint legal liabilities.
2. The Company’s legal representative, the head in charge of accounting and the head of the accounting
department (accounting supervisor), declare that they warrant the truthfulness, accuracy and completeness of
the financial report in the quarterly report.
3. Whether audit has been performed on this Third Quarter Report
□ Yes √ No
Section I. Key financial data
1. Key accounting information and financial indicators
Does the Company need to adjust its financial information retrospectively or restate its accounting information
of previous year?
□ Yes √ No
Increase/decrease from
Increase/decrease in
beginning of the year to
current reporting From beginning of the
Current reporting the end of this reporting
period over the same year to the end of this
period period over the same
period of the previous reporting period
period of the previous
year
year
Operating income (RMB) 1,667,177,321.53 15.36% 3,893,882,283.64 -38.20%
Net profit attributable to
shareholders of the listed 68,240,054.31 108.60% -822,691,656.02 7.66%
Company (RMB)
1
Net profit attributable to
shareholders of the listed
Company after deducting 62,707,787.41 107.86% -840,931,516.85 13.13%
non-recurring gains and
losses (RMB)
Net cash flow from
— — 1,589,638,866.89 143.60%
operating activities (RMB)
Basic earnings per share
0.01 108.33% -0.13 7.14%
(RMB/share)
Diluted earnings per share
0.01 108.33% -0.13 7.14%
(RMB/share)
Weighted average return
6.04% 27.01% -55.68% -32.42%
on net assets
End of the current End of the previous Increase/decrease at the end of current reporting
reporting period year period over end of the previous year
Total assets (RMB) 8,225,666,651.05 10,305,183,525.70 -20.18%
Owner's equity attributable
to shareholders of the 1,066,127,098.18 1,888,818,754.20 -43.56%
listed Company (RMB)
2. Items and amount of non-recurring gains and losses
√ Applicable □ Not applicable
Unit: RMB
Amount from beginning of the
Amount of current
Items year to end of the reporting Note
reporting period
period
Disposal gains or losses of non-current assets
(including the offset part of the provision for asset 230,851.51 289,728.74
impairment)
Government subsidies included in the current gains
and losses (except the ones that are closely related
to the normal business of the enterprise, and are
4,290,258.98 22,724,394.98
enjoyed fixedly, quantitatively and continuously in
accordance with national policies and certain
standards)
Gains or losses from entrusting others to invest or
2,485,466.43 8,096,711.30
manage assets
Gains or losses on changes in fair value arising
from the possession of transactional financial assets
and transactional financial liabilities; and the
investment income from the disposal of
-9,459.63 -3,445,201.84
transactional financial assets, transactional financial
liabilities, and available-for-sale financial assets,
except the effective hedging business related to the
Company’s normal business operations
Other non-operating income and expenses except
-413,863.85 -4,786,252.04
the items above
Less: Impact on income tax 1,050,986.54 4,639,520.31
Total 5,532,266.90 18,239,860.83 --
Details of other gains or losses items that meet the definition of non-recurring gains and losses:
□ Applicable √ Not applicable
The Company has no other gains or losses items that meet the definition of non-recurring gains and losses.
2
Provide explanations for classifying items of non-recurring gains and losses defined or listed in the Explanatory
Announcement No. 1 for Public Company Information Disclosures – Non-recurring Profits and Losses as items
of recurring gains and losses.
□ Applicable √ Not applicable
There is no such case where the Company classifies non-recurring gains and losses items that are listed in the
Explanatory Announcement No. 1 for Public Company Information Disclosures – Non-recurring Profits and
Losses as items of recurring gains and losses.
3. Cases and reasons for fluctuation of key accounting information and financial indicators
√ Applicable □ Not applicable
Amount at the Amount at the
Items of balance sheet end of the period start of the period Growth Note
(RMB) (RMB)
Mainly due to the repayment of bank loans due in
Monetary fund 457,156,536.88 1,970,361,272.64 -76.80%
the current period.
Mainly due to the redemption of financial products
Transactional financial assets 1,003,774.25 346,726,621.74 -99.71%
due to maturity.
Mainly due to the decrease in the expected
Other current assets 15,881,814.78 36,959,129.80 -57.03%
settlement amount.
Mainly due to the provision of deferred income tax
Deferred tax assets 565,864,148.34 424,027,271.38 33.45%
assets in the current period.
Mainly due to the repayment of bank loans due in
Short-term borrowings 200,202,500.00 3,152,945,812.59 -93.65%
the current period.
Mainly due to the delay in the recognition of income
and the corresponding delay of refund for the
Contract liabilities 4,735,981,166.46 3,063,721,290.28 54.58% agreement class, resulted from the postponement of
the civil servant provincial joint examination in the
current period.
Mainly due to the unpaid payroll payable and the
Payroll payable 566,492,240.39 422,886,856.60 33.96% delay in payment of Social Security and Housing
Fund during the pandemic.
Mainly due to the provision of value-added tax and
Taxes payable 30,560,896.71 12,566,751.84 143.19%
additional tax on the income in Q1 2022.
Mainly due to the increase in the balance of contract
Other current liabilities 142,079,434.99 91,925,853.39 54.56% liabilities at the end of Q3 2022 compared with that
in the beginning of the year.
Amount in the Amount in the
Items of income statement Growth Note
current period previous period
Mainly due to the decrease in operating income in
the first three quarters of 2022 dually impacted by
Operating income 3,893,882,283.64 6,301,194,119.42 -38.20%
continuous Covid-19 prevention and control and the
postponement of provincial examinations.
Mainly due to the decreased number of face-to-face
classes influenced by the breakout of pandemic in
many provinces and cities in this period, the
Operating cost 2,420,963,306.46 3,588,626,072.16 -32.54% reduction of labor expenses with the decreased
number of teachers and the decreased performance-
based salary of employees impacted by operating
loss.
Mainly due to the reduction of labor expenses on
management personnel and the decreased
Management fees 687,206,762.68 1,036,022,099.40 -33.67%
performance-based salary of employees impacted by
operating loss.
3
Mainly due to the decreased labor expenses on R&D
personnel resulted from the optimization of R&D
R&D fees 482,232,337.63 835,716,194.57 -42.30% staff and the reduction of R&D personnel for non-
core business, and the decreased performance-based
salary of employees impacted by operating loss.
Mainly due to the decrease in bank loan interest and
Financial expenses 201,860,046.51 383,556,345.64 -47.37%
financial institution service fee in the current period.
Mainly due to the tax incentives in the previous year
Other income 41,968,144.89 67,843,227.07 -38.14%
included in other income.
Mainly due to the decrease in income from financial
Investment income 302,234.51 74,689,765.65 -99.60%
products and the redemption of fix term deposit.
Expected credit loss -8,956,614.08 -2,013,158.79 344.90% Mainly due to the increase in bad debt provision.
Non-operating expenses 4,786,252.04 886,108.68 440.14% Mainly due to the new fines in the current period.
Mainly due to the provision of deferred income tax
Income tax expenses -147,222,566.32 -249,727.99 58853.17%
assets in the current period.
Amount in Amount in
Cash flow statement items Growth Note
current period previous period
Mainly due to the fact that the amount received in
Cash received from sales of
Q3 2021 is less than that of refunds, resulting in a
goods and rendering of 5,730,000,312.04 3,764,009,075.38 52.23%
negative number for the period of “Cash received
services
from sales of goods and rendering of services”.
Other cash received related to
50,093,501.17 82,925,359.00 -39.59% Mainly due to the decrease in interest income.
operating activities
Mainly due to the decrease of start-class fees and
travel expense, caused by the decreased number of
Cash for purchasing goods
605,787,718.06 1,272,319,232.44 -52.39% face-to-face classes influenced by the breakout of
and accepting labor services
pandemic in many provinces and cities in this
period.
Mainly due to the decrease in the number of
Cash paid to and for employees in the current period, and the decreased
2,994,758,849.49 4,999,319,418.01 -40.10%
employees performance-based salary of employees impacted by
operating loss.
Mainly due to the decrease in taxes paid because of
Tax payment 102,676,276.01 257,440,759.41 -60.12%
the decrease in current income.
Mainly due to the reduction of expenses on
marketing and daily management and operation, by
Payment of other cash related
487,232,102.77 963,675,208.24 -49.44% carrying out the measures of reducing costs and
to operating activities
increasing efficiency in the Company during the
current period.
Mainly due to the decrease in short-term financial
Cash received from recovery
473,468,673.81 9,118,641,205.92 -94.81% product purchased and the corresponding reduction
of investments
in financial product redemption in the current period.
Mainly due to the decrease in the financial product
Cash received from purchased in the current period and the
9,809,931.29 234,974,156.04 -95.83%
investment income corresponding decrease in income from the financial
product.
Cash paid for the purchase
and construction of fixed Mainly due to the purchase of land use rights in the
107,941,393.57 2,826,593,982.87 -96.18%
assets, intangible assets and same period of the previous year.
other long-term assets
Mainly due to the decrease in the purchase of short-
Cash paid for investments 124,141,028.16 7,014,720,000.00 -98.23%
term financial product in the current period.
Mainly due to zero new loans from financial
Cash received from the loan 4,369,000,000.00 -100.00%
institutions in the current period.
Cash paid for dividends, Mainly due to the decrease in interest expense on
50,716,278.78 152,324,944.37 -66.71%
profits or interest payments bank borrowings in the current period.
Other cash paid related to Mainly due to the decrease in housing lease
353,781,444.16 559,203,347.89 -36.73%
financing activities payments in the current period.
Section II. Shareholders
1. Table on the total number of common shareholders and preferred shareholders with restored voting
4
rights and shares held by the top 10 shareholders
Unit: share(s)
Total number of common
Total number of preferred shareholders with restored
shareholders at the end of reporting 162,755 0
voting rights at end of the reporting period (if any)
period
Particulars about shares held by the top 10 shareholders
Shareholding Number of
Name of Nature of Number of Pledged, marked or frozen
percentage shares held with
shareholder shareholder shares Status of shares Number of shares
(%) sales restrictions
Domestic natural
Lu Zhongfang 41.36% 2,550,549,260.00 2,550,549,260.00 Pledged 1,437,543,359.00
person
Domestic natural
Li Yongxin 18.35% 1,131,415,121.00 1,131,070,121.00 Pledged 791,586,641.00
person
Wang Domestic natural
13.83% 852,885,418.00 639,664,063.00 Pledged 424,793,884.00
Zhendong person
Beijing Offcn
Future
Information Domestic non-
Consulting state-owned legal 1.30% 80,000,000.00 0
Center person
(Limited
Partnership)
Domestic natural
Zhou Xiayun 1.28% 78,848,640.00 0 Pledged 36,000,000.00
person
Beijing
Aerospace
Domestic non-
Industry
state-owned legal 1.24% 76,263,495.00 0
Investment
person
Fund (Limited
Partnership)
Domestic natural
Zhou Hui 1.03% 63,545,974.00 0 Pledged 19,000,000.00
person
Beijing Kerui
Technology
Innovation Domestic non-
Investment state-owned legal 0.89% 54,887,323.00 0
Center person
(Limited
Partnership)
Domestic natural
Zhou Li 0.75% 46,341,580.00 0
person
Beijing
Guangyin
Domestic non-
Venture
state-owned legal 0.64% 39,228,952.00 0
Capital Center
person
(Limited
Partnership)
Particulars about shares held by the top 10 shareholders without sales restrictions
Type of shares
Name of shareholder Number of shares held without sales restrictions
Type of shares Number of shares
RMB common
Wang Zhendong 213,221,355.00 213,221,355.00
shares
5
Beijing Offcn Future Information
RMB common
Consulting Center (Limited 80,000,000.00 80,000,000.00
shares
Partnership)
RMB common
Zhou Xiayun 78,848,640.00 78,848,640.00
shares
Beijing Aerospace Industry
RMB common
Investment Fund (Limited 76,263,495.00 76,263,495.00
shares
Partnership)
RMB common
Zhou Hui 63,545,974.00 63,545,974.00
shares
Beijing Kerui Technology
RMB common
Innovation Investment Center 54,887,323.00 54,887,323.00
shares
(Limited Partnership)
RMB common
Zhou Li 46,341,580.00 46,341,580.00
shares
Beijing Guangyin Venture Capital RMB common
39,228,952.00 39,228,952.00
Center (Limited Partnership) shares
Hong Kong Securities Clearing RMB common
26,307,043 26,307,043
Company Ltd. (HKSCC) shares
RMB common
Yang Shaofeng 24,062,680.00 24,062,680.00
shares
The Company's controlling shareholder and actual controller Lu Zhongfang
and Li Yongxin are in a mother-son relationship. Lu Zhongfang, Li Yongxin,
and Beijing Offcn Future Information Consulting Center (Limited
Partnership) constitute persons acting in concert. Zhou Xiayun and Zhou Hui
Description of the relationship or concerted action have a father-son relationship. Zhou Xiayun and Zhou Li have a father-
among the above mentioned shareholders daughter relationship. It is unknown whether there is an associated
relationship among the above-mentioned other shareholders, nor whether the
above-mentioned shareholders belong to the parties acting in concert as
stipulated in the Administrative Measures on Information Disclosure of
Shareholding Changes in Listed Companies.
Description of the top 10 shareholders participating
None
in the margin trading (if any)
2. Table on the total number of preferred shareholders and shares held by the top 10 preferred
shareholders
□ Applicable √ Not Applicable
Section III. Other significant events
√Applicable □Not applicable
1. Overview of the Company’s operations in the third quarter of 2022
During the reporting period, under the background of implementing epidemic prevention and control measures regularly and
precisely, the recruitment examinations resumed in an orderly manner, and the Company's trainees enrollment and teaching
activities also returned to normal. The pending revenue to be recognized due to exams delay has been partially released in the third
quarter. At the same time, the Company focused on benefit and actively promoted operations. The Company's Q3 performance
achieved both year-on-year and month-on-month turnround from losses. During the reporting period, the Company realized a net
6
profit of RMB 68 million attributable to shareholders of the listed company in Q3, a year-on-year increase of 108.6% and a month-
on-month increase of 115.98%.
1) Regarding revenue, with the resumption of recruitment examinations, the Company's business volume and operating
income gradually improved. The Company has set up an Innovation Strategy Research Institute, focusing on strengthening,
supplementing and extending the chain of vocational training industry, deeply studying and optimizing the curriculum system, and
consistently carrying out the strengthening and refinement measures during the training for each sequence of examinations in the
third quarter, which effectively facilitated the Company's business improvement. In the third quarter, the operating income was
RMB 1.667 billion, a year-on-year increase of 15.36%, including RMB 642 million from online training revenue, a 29.36%
increase on an annual basis.
2) Regarding cost, the Company continued to promote lean operation and cost control. In the third quarter, the Company's
sales expenses decreased by 25.45% year-on-year, and management expenses decreased by 49.75% year-on-year. The effect of
reducing costs and increasing efficiency has initially appeared.
In future, the Company will maintain a prudent and stable business strategy, promote the digitalization of vocational
education by accelerating the update of online curriculum system with Dolby Atmos and continuously explore and conduct
vocational training and simulation practice in new professions and new business models. Meanwhile, the Company will
consistently foster management innovation and develop a “Integrating Order with Personnel, and Jointly Creating a Win-Win
Situation” management mode adaptable to the Internet age, to reduce costs and increase efficiency. The Company will also judge
and respond to market risks in a timely manner and hedge against the pandemic and its derivative risks by adjusting structural
products and accelerating the development of vocational education to fulfill the business boost plan in 2022.
2. Other important events
On December 15, 2021, the Company received the Notice of Filing (No. SR Filing 0232021010) from the CSRC for being
suspected of failing to disclose related-party transaction information and violating the laws and regulations of information
disclosure.
On April 27, 2022, the Company and the relevant parties received the official Decision of Administrative Penalty from the
Anhui Securities Regulatory Bureau, which determines Offcn Edu, its subsidiaries Beijing Offcn Education Technology Co., Ltd.
and Liaoning Zhongcheng Real Estate Development Co.,Ltd. constitute a related-party relationship with Shaanxi Guancheng
Industrial Co., Ltd., Beijing Chuangsheng Construction Decoration Engineering Co., Ltd., Shanghai Beiding Network Technology
Co., Ltd., Ji'an Jingkai Lixiangxue Financial Information Service Co., Ltd. and Liaoning Hanhui Industrial Co., Ltd.. The total
amount involved in related transactions was RMB 1232.395 million, including RMB 196.335 million in year 2019 and RMB
7
1036.06 million in year 2020, which accounted for 6.65% and 30.19% of the net assets of Offcn Edu in the latest period
respectively. The Company did not disclose the above-mentioned information in accordance with relevant laws and regulations
and there existed major omissions of the Company’s information disclosure. A warning was given to and a fine was imposed on
the Company and the relevant persons responsible for the situation, and corresponding rectification was required. Specific
information is stated in the announcement (No. 2022-032) disclosed by the Company on CNINFO (www.cninfo.com.cn) and other
designated media for information disclosure.
On August 24, 2022, the Company and corresponding parties received the Decision on Publicly Reproaching Offcn
Education Technology Co., Ltd. and Corresponding Parties issued by Shenzhen Stock Exchange. The Decision determined that
according to the facts identified in the Decision of Administrative Penalty ([2022] No. 1) issued by Anhui Securities Regulatory
Bureau of the China Securities Regulatory Commission, the Company and corresponding parties are suspected of the following
violations: the Company and its subsidiaries Beijing Offcn Education Technology Co., Ltd., Liaoning Zhongcheng Real Estate
Development Co.,Ltd. and related parties Beijing Chuangsheng Construction Decoration Engineering Co., Ltd., Shanghai Beiding
Network Technology Co., Ltd., Ji'an Jingkai Lixiangxue Financial Information Service Co., Ltd., Liaoning Hanhui Industrial Co.,
Ltd. and Shaanxi Guancheng Industrial Co., Ltd. involved transactions of a total amount of RMB1232.395 million, including
RMB 196.335 million in 2019 and RMB 1036.06 million in 2020, respectively accounting for 6.65% and 30.19% of the
Company's latest audited net assets. Regarding the above matters, the Company failed to perform the review procedures and
information disclosure obligations in accordance with related party transactions, and the Company and corresponding parties were
given public condemnation.
Section IV. Financial statements of the first three quarters
1. Financial statements
(1) Consolidated balance sheet
Company: Offcn Education Technology Co., Ltd.
September 30, 2022
Unit: RMB
Item September 30, 2022 January 1, 2022
Current assets:
Monetary funds 457,156,536.88 1,970,361,272.64
Settlement reserve
Lendings
Transactional financial assets 1,003,774.25 346,726,621.74
8
Derivative financial assets
Notes receivable
Accounts receivable 41,582,561.53 40,374,842.27
Receivables financing
Prepayments 1,730,742.03 1,438,350.00
Premium receivable
Accounts receivable reinsurance
Reserve for reinsurance receivable
contracts
Other receivables 204,042,845.01 219,501,061.83
Including: interest receivable
Dividend receivable
Buying back the sale of financial assets
Inventory
Contract assets
Assets held-for-sale
Non-current assets due within one year
Other current assets 15,881,814.78 36,959,129.80
Total current assets 721,398,274.48 2,615,361,278.28
Non-current assets:
Loans and advances
Debt investment 7,058,993.55
Other debt investment
Long-term receivables
Long-term equity investment 37,342,667.62 46,850,364.40
Other equity investment 130,400,000.00 130,400,000.00
Other non-current financial assets 30,260,000.00 30,260,000.00
Investment property 629,724,910.85 644,936,541.46
Fixed assets 1,694,600,015.38 1,770,372,338.85
Construction in progress 315,726,412.15 294,785,678.31
Productive biological assets
Oil and gas assets
Right-of-use asset 1,191,256,726.76 1,342,280,387.08
Intangible assets 846,085,109.33 866,627,549.85
Development expenditure
9
Goodwill 99,867,720.38 99,867,720.38
Long-term prepaid expenses 307,526,754.86 380,191,006.38
Deferred tax assets 565,864,148.34 424,027,271.38
Other non-current assets 1,655,613,910.90 1,652,164,395.78
Total non-current assets 7,504,268,376.57 7,689,822,247.42
Total assets 8,225,666,651.05 10,305,183,525.70
Current liabilities:
Short-term loan 200,202,500.00 3,152,945,812.59
Borrowing from the central bank
Borrowings from banks and other
financial institutions
Transactional financial liabilities
Derivative financial liabilities
Notes payable
Accounts payable 212,850,046.65 282,032,916.52
Deposit received
Contract liabilities 4,735,981,166.46 3,063,721,290.28
Financial assets sold for repurchase
Absorbing deposits and interbank
deposits
Acting trading securities
Acting underwriting securities
Payroll payable 566,492,240.39 422,886,856.60
Taxes payable 30,560,896.71 12,566,751.84
Other payable 94,621,502.69 129,043,599.22
Including:interest payable 0.00 0.00
Dividend payable
Fees and commissions payable
Reinsurance accounts payable
Liabilities held-for-sale
Non-current liabilities due within one
547,313,044.67 531,876,007.31
year
Other current liabilities 142,079,434.99 91,925,853.39
Total current liabilities 6,530,100,832.56 7,686,999,087.75
Non-current liabilities:
Insurance contract reserve
10
Long-term loan
Bonds payable
Bonds payable_preferred stock
Bonds payable_perpetual bond
Lease liability 538,212,185.38 635,691,184.87
Long-term payables
Long-term salary payable
Estimated liabilities
Deferred income
Deferred tax liability 91,268,127.95 93,712,172.62
Other non-current liabilities
Total non-current liabilities 629,480,313.33 729,403,357.49
Total Liabilities 7,159,581,145.89 8,416,402,445.24
Owners' equity:
Share capital 103,807,623.00 103,807,623.00
Other equity instruments
Other equity instruments_preferred
stock
Other equity instruments_perpetual
bond
Capital reserve 1,225,481,049.50 1,225,481,049.50
Less: Treasury stock
Other comprehensive income 13,200,000.00 13,200,000.00
Special reserve
Surplus reserves 45,000,000.00 45,000,000.00
General risk preparation
Undistributed profits -321,361,574.32 501,330,081.70
Total owner's equity attributable to the parent
1,066,127,098.18 1,888,818,754.20
company
Minority shareholders' equity -41,593.02 -37,673.74
Owners' equity 1,066,085,505.16 1,888,781,080.46
Liabilities and owner's equity 8,225,666,651.05 10,305,183,525.70
Legal representative: Wang Zhendong Person in charge of accounting: Shi Lei Head of accounting department: Luo Xue
(2) Consolidated income statement from beginning of the year to the end of the reporting period
Unit: RMB
11
Item Amount in the current period Amount in the prior period
I. Total operating income 3,893,882,283.64 6,301,194,119.42
Including:operating income 3,893,882,283.64 6,301,194,119.42
Interest income
Premium earned
Fee and commission income
II. Total operating costs 4,889,172,465.44 7,342,893,996.86
Including: operating cost 2,420,963,306.46 3,588,626,072.16
Interest expense
Fee and commission expenses
Surrender money
Net reimbursement
expenditure
Withdrawal of net insurance
liability reserves
Policyholder dividend expenses
Reinsurance expenses
Taxes and surcharges 22,432,387.42 23,049,626.16
Sales expenses 1,074,477,624.74 1,475,923,658.93
Management expenses 687,206,762.68 1,036,022,099.40
R&D expenses 482,232,337.63 835,716,194.57
Financial expenses 201,860,046.51 383,556,345.64
Including: interest expenses 76,716,263.41 176,536,740.21
Interest income 6,914,684.21 35,487,207.53
Add: other income 41,968,144.89 67,843,227.07
Investment income (Loss is
listed with “-”) 302,234.51 74,689,765.65
Including: investment income
from associates and joint ventures
Derecognition income of
financial assets measured at amortized cost
Exchange earnings (Loss is
listed with “-”)
Net exposure hedge income
(Loss is listed with “-”)
Income from changes in fair
-3,445,201.84 11,041,967.01
value (Loss is listed with “-”)
Expected credit loss (Loss is -8,956,614.08 -2,013,158.79
12
listed with “-”)
Asset impairment loss (Loss is
listed with “-”)
Asset disposal income (Loss is
listed with “-”) 289,728.74 -168,828.03
III. Operating profit (Loss is listed with “-
-965,131,889.58 -890,306,904.53
”)
Add: non-operating income 41,198.84
Less: non-operating expenses 4,786,252.04 886,108.68
IV. Total profit (The total loss is listed
-969,918,141.62 -891,151,814.37
with “-”)
Less: income tax expenses -147,222,566.32 -249,727.99
V. Net profit (Net loss is listed with “-”) -822,695,575.30 -890,902,086.38
i. Classified by business continuity
1.Net profit from continuing
operations (Net loss is listed with “-”) -822,695,575.30 -890,902,086.38
2.Net profit from discontinued
operations (Net loss is listed with “-”)
ii. Classification by ownership
1. Net profit attributable to the
shareholders of the parent company(Net -822,691,656.02 -890,898,144.05
loss is listed with “-”)
2. Minority shareholders' gains
-3,919.28 -3,942.33
and losses (Net loss is listed with “-”)
VI. Net other comprehensive income
Net other comprehensive income
attributable to the parent company owner
i. Other comprehensive income that cannot
be reclassified into profit or loss
1. Changes from the
remeasurement of the defined benefit plan
2. Other comprehensive income
that cannot be transferred to profit or loss
under the equity method
3. Changes in fair value of other
equity instruments
4. Changes in fair value of the
Company's own credit risk
5. Other
ii. Other comprehensive income that will
be reclassified into profit or loss
13
1. Other comprehensive income
of convertible profit and loss under the
equity method
2. Changes in fair value of other
debt investments
3. Financial assets reclassified
into other comprehensive income
4. Credit impairment provisions
of other debt investment
5. Cash flow hedge reserve
6. Foreign currency financial
statement translation difference
7.Other
Net other comprehensive income
attributable to minority shareholders
VII. Total comprehensive income -822,695,575.30 -890,902,086.38
i. Total comprehensive income attributable
-822,691,656.02 -890,898,144.05
to owners of the parent company
ii. Total comprehensive income
-3,919.28 -3,942.33
attributable to minority shareholders
VIII. Earnings per share:
i. Basic earnings per share -0.13 -0.14
ii. Diluted earnings per share -0.13 -0.14
If a business combination under the same control occurs in the current period, the net profit realized by the combined party before
the combination is: RMB 0.00. The net profit realized by the combined party in the previous period was: RMB 0.00.
Legal representative: Wang Zhendong Person in charge of accounting: Shi Lei Head of accounting department: Luo Xue
(3) Consolidated cash flow statement from beginning of the year to the end of the reporting period
Unit: RMB
Item Amount in the current period Amount in the prior period
I. Cash flow from operating activities:
Cash received from the sale of goods and
5,730,000,312.04 3,764,009,075.38
services
Net increase in customer deposits and
interbank deposits
Net increase in borrowing from central
bank
Net increase in funds borrowed from other
financial institutions
Cash received from the original insurance
contract premium
Net cash received from reinsurance
business
14
Net increase in policyholders’ deposits and
investment funds
Cash charged with interest, handling fees
and commissions
Net increase in funds borrowed in
Net increase in repurchase funds
Net cash received from agent buying and
selling of securities
Tax refund
Other cash received related to other
50,093,501.17 82,925,359.00
business activities
Subtotal of cash inflow from operating activities 5,780,093,813.21 3,846,934,434.38
Cash paid for the purchase of goods and
605,787,718.06 1,272,319,232.44
services
Net increase in customer loans and
advances
Net increase in deposit of central bank and
interbank
Cash paid for the original insurance
contract
Net increase in borrowed funds
Cash paid for interest, handling fees and
commissions
Cash paid for policy dividends
Cash paid to and for employees 2,994,758,849.49 4,999,319,418.01
Various taxes paid 102,676,276.00 257,440,759.41
Other cash paid for business activities 487,232,102.77 963,675,208.24
Subtotal of cash outflows from business
4,190,454,946.32 7,492,754,618.10
activities
Net cash flow from operating activities 1,589,638,866.89 -3,645,820,183.72
II. Cash flows from investing activities:
Cash received from investment recovery 473,468,673.81 9,118,641,205.92
Cash received from investment income 9,809,931.29 234,974,156.04
Net cash received from disposal of fixed
assets, intangible assets and other long-term
assets
Net cash received from disposal of
subsidiaries and other business units
Other cash received related to investing
activities
15
Subtotal of cash inflows from investment
483,278,605.10 9,353,615,361.96
activities
Cash paid for the purchase and
construction of fixed assets, intangible assets 107,941,393.57 2,826,593,982.87
and other long-term assets
Cash paid for investment 124,141,028.16 7,014,720,000.00
Net increase in pledge loans
Net cash paid for acquiring subsidiaries
and other business units
Other cash paid related to investing
168,828.03
activities
Subtotal of cash outflows from investment
232,082,421.73 9,841,482,810.90
activities
Net cash flows from investing activities 251,196,183.37 -487,867,448.94
III. Cash flow from financing activities:
Cash received from investment absorption
Including:cash received from subsidiaries
in absorbing minority shareholders' investment
Cash received from the loan 4,369,000,000.00
Other cash received related to fundraising
activities
Subtotal of cash inflows from financing
4,369,000,000.00
activities
Cash paid for debt repayment 2,949,000,000.00 3,499,000,000.00
Cash paid for dividends, profits or interest
50,716,278.78 152,324,944.37
payments
Including:dividends and profits paid by
subsidiaries to minority shareholders
Other cash paid related to financing
353,781,444.16 559,203,347.89
activities
Subtotal of cash outflows from financing
3,353,497,722.94 4,210,528,292.26
activities
Net cash flow from financing activities -3,353,497,722.94 158,471,707.74
IV. Effect of the changes of the exchange rate
on cash and the equivalents
V. Net increase in cash and cash equivalents -1,512,662,672.68 -3,975,215,924.92
Add: balance of cash and cash equivalents
1,969,806,009.56 5,950,036,489.12
at the beginning of the period
VI. Balance of cash and cash equivalents at the
457,143,336.88 1,974,820,564.20
end of the period
2. Auditor’s report
16
Whether this Third Quarter 2022 Report has been audited
□ Yes √ No
The Company’s Third Quarter 2022 Report has not been audited.
Board of Directors of Offcn Education Technology Co., Ltd.
October 28, 2022
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