HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023
（Abstract）
Ⅰ. Important Notes
This Abstract is extracted from Semi-Annual Report 2023. In order to have a full understanding of the
operating results, financial condition and future development planning of the Company, investors are
suggested to read the full report carefully on the media designated by the China Securities Regulatory
Commission (the “CSRC”). The Company’s 2023 Semi-Annual Report is prepared and published in Chinese
version, and the English version is for reference only. Should there be any inconsistency between the
Chinese version and English version, the Chinese version shall prevail.
All directors attended the Board Meeting in person for reviewing of this Semi-Annual Report.
Indicate by check mark if independent auditor issues non-standard unqualified opinion.
□Applicable √Not applicable
Indicate by check mark if there is a pre-arranged plan of profit distribution or transferring capital reserve into
common stock for the report period which has been reviewed by the Board of Directors.
□Applicable √Not applicable
The Company does not plan to issue cash or equity dividends, nor to convert equity reserve into share capital
of the Company in the mid 2023.
Indicate by check mark if preplan for preferred stocks profit distribution to shareholders for the report period
which has been reviewed and approved by the Board of Directors.
□Applicable √Not applicable
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
II. Basic Situation of the Company
1. Company Profile
Stock Abbreviation Boshi Stock Code 002698
Stock Exchange for Stock
Shenzhen Stock Exchange
Listing
Stock abbreviations before the
None
change (if any)
Contact Person and Contact
Secretary of the Board Securities Affairs Representative
Information
Name Chen Bo Zhang Junhui
9 Donghu Street, Concentration Zone of 9 Donghu Street, Concentration Zone of
Contact Address
Yingbin Road, Harbin Development Zone Yingbin Road, Harbin Development Zone
Tel +86-451-84367021 +86-451-84367021
Email ir@boshi.cn zhangjh@boshi.cn
In order to speed up the planning and implementation of the construction function of the Company’s
regional headquarters and provide convenience for value investment, the Company has set up a “Securities
and Investment Affairs Office” at No. 1102, Building 2, Huijin Building, No. 55, Shangxiang Road, Huaqiao
Economic Development Zone, Kunshan City, Jiangsu Province. Welcome securities investors to inquire
about the further information.
2. Key Financial Data and Financial Indicators
Does the Company need to make retroactive adjustment or restatement of the accounting data of the previous
year.
□Yes √No
Increase/Decrease over the
2023 H1 2022 H1 same period of previous
year
Operating revenue (RMB) 1,389,350,667.84 1,028,107,177.93 35.14%
Net profit attributable to shareholders of
335,465,804.27 264,380,786.00 26.89%
the parent company (RMB)
Net profit after deducting non-recurring
profit or loss attributable to shareholders of 309,863,763.65 247,205,017.04 25.35%
the parent company (RMB)
Net cash flow from operating activities
-113,276,773.99 172,174,009.00 -165.79%
(RMB)
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Basic earnings per share (RMB /share) 0.3281 0.2586 26.88%
Diluted earnings per share (RMB /share) 0.3250 0.2586 25.68%
Weighted average return on equity 10.17% 8.69% 1.48%
End of the current Increase/Decrease over
End of previous year
reporting period previous year end
Total assets (RMB) 6,440,287,131.74 6,220,273,855.91 3.54%
Total equity attributable to shareholders of
3,258,008,213.62 3,169,585,012.94 2.79%
the parent company (RMB)
3. Number of Shareholders and Shareholding
Unit: Share
Total number of shareholders of Total number of shareholders of
common stocks at the end of the 22,289 preferred stock with resumed voting 0
reporting period right at the end of the reporting period
Top 10 shareholders
Quantity of Pledged, marked or
Quantity of
Name Nature Ownership restricted frozen stocks
stocks
stocks held Status Quantity
Unicom Kaixing Equity Investment
Management (Zhuhai Hengqin)
Limited - Lianchuang Weilai (Wuhan)
Others 14.20% 145,176,676
Intelligent Manufacturing Industrial
Investment Partnership (Limited
Partnership)
Deng Xijun Domestic natural person 9.41% 96,181,562 72,136,172
Zhang Yuchun Domestic natural person 8.09% 82,696,357 62,022,268
Wang Chungang Domestic natural person 5.61% 57,394,047 43,045,535
Harbin Institute of Technology Asset Domestic state-owned
5.00% 51,127,500
Investment Management Co. Ltd corporate
Cai Zhihong Domestic natural person 4.96% 50,677,029
Cai Hegao Domestic natural person 4.89% 50,000,000
Hong Kong Securities Clearing
Foreign legal person 2.18% 22,288,956
Company Ltd. (HKSCC)
Cheng Fang Domestic natural person 1.43% 14,609,308
Tan Jianxun Domestic natural person 1.42% 14,545,933
Explanation on the shareholders that
are engaged in margin trading Not applicable
business
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
4. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□Applicable √Not applicable
The controlling shareholder did not change in the reporting period.
Change of the actual controller in the reporting period
□Applicable √Not applicable
The actual controller did not change in the reporting period.
5. Number of preference shareholders and shareholdings of top 10 of them
□Applicable √Not applicable
The Company had no preference shareholders in the reporting period.
6. Corporate bonds that existed on the date when this Report was authorized for issue
√Applicable □Not applicable
(1) Bond profile
Balance of face
value at the end
Bond name Abbreviation Bond code Date of issue Maturity of reporting Coupon rate
period
(RMB’0,000)
1st year 0.30%
Convertible 2nd year 0.50%
Boshi
Corporate Bonds of 3rd year 1.00%
nd st
Convertible 127072 Sep. 22 , 2022 Sep. 21 , 2028 44,993.61
Harbin Boshi 4th year 1.50%
Bonds
Automation Co., Ltd. 5th year 1.80%
6th year 2.00%
(2) Financial indicators at the end of reporting period.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
End of the current
Item End of previous year Explanation
reporting period
Liability /asset ratio 46.75% 46.20%
Item 2023 H1 2022 H1 Explanation
Mainly affected by the issue of convertible
EBITDA interest cover (times) 60.62 475.39 corporate bonds in September, 2022, which
led interest expenses increase.
(3) Top 10 convertible bond holders
Number of
Face value of As % of
convertible
convertible bonds convertible bonds
NO. Name Nature bonds held
held at the period held at the period
at the
end (RMB) end
period-end
China Merchant Bank- Huabao
1 Convertible Bond Bond-type Securities Others 221,445 22,144,500.00 4.92%
Investment Fund
Industrial and Commercial Bank of
2 China - Southern Guangli Return Bond Others 199,518 19,951,800.00 4.43%
Securities Investment Fund
3 Cai Zhihong Domestic natural person 198,009 19,800,900.00 4.40%
Zhongtai Securities Asset Management
- Gansu Bank “Huifu” Series of
4 Financial Products Plan - Qilu Asset Others 165,453 16,545,300.00 3.68%
Management 0006 Directional Asset
Management Contract
China Merchants Securities Asset
Management-Harmony Health
Insurance Co., Ltd.-Universal
5 Others 155,177 15,517,700.00 3.45%
products-China Merchants Asset
Management Security win 202203
Single Asset Management Plan
Industrial and Commercial Bank of Others
China Limited -Guoshou Pension
6 137,159 13,715,900.00 3.05%
Stable No. 5 fixed income pension
product
China Construction Bank-Blackrock Others
Fund -Blackrock RMB Credit Bond No.
7 135,438 13,543,800.00 3.01%
2 Aggregate Asset Management
Program
Huitianfu Fund - Harmony Health Others
Insurance Co., LTD. - Universal
8 112,405 11,240,500.00 2.50%
Product - Huitianfu Harmony Health 1
Single Asset Management Plan
Agricultural Bank of China - Southern Others
9 Xiyuan Convertible Bond Bond-type 107,358 10,735,800.00 2.39%
Securities Investment Fund
Industrial and Commercial Bank of Others
China Limited - Yinhua Convertible
10 93,430 9,343,000.00 2.08%
Bond Securities Bond-type Securities
Investment Fund
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
III. Operating Performance Discussion and Analysis
1. Company Main Businesses during the Reporting Period
(1) Main Businesses and Industry Development Status
① Industry overview
According to the proportion of revenue during the reporting period, the Company’s main businesses in its
industry are shown in the following figure：
The core growth businesses of the Company are intelligent manufacturing equipment and industrial services
rooted in intelligent manufacturing equipment, which belong to high-end equipment manufacturing industry
and modern service industry respectively. Moreover, they are all key industrial directions supported and
encouraged by the State. From the perspective of revenue composition, the revenue of two core growing
businesses, intelligent manufacturing equipment and industrial services, account for 95.27% of total, as well
as supplemented beneficially by environmental protection process equipment.
Intelligent Manufacturing Equipment：
“Manufacturing is the main body of the national economy, the foundation of building the country, the
instrument of rejuvenating the country and the foundation of strengthening the country.” Made in China
2025 points out that “accelerating the integrated development of the new generation of information
technology and manufacturing technology and taking intelligent manufacturing are the main direction of the
in-depth integration of informatization and industrialization.” The State attaches great importance to the
development of high-end equipment manufacturing industry from the strategic height, and the development
of intelligent manufacturing is a long-term strategic task.
In recent years, the state issued the 14th Five-Year Plan for Intelligent Manufacturing Development, the 14th
Five-Year Plan for the Development of Robot Industry, the 14th Five-Year Plan for In-depth Integration of IT
Application and Industrialization, the 14th Five-Year Plan for the Development of Digital Economy, “Robot
Plus” Application and Implementation Plan, planning and guiding the high-end equipment manufacturing
industry in the “14th Five-Year Plan” and 2035 long term goals, which provides strong support for
accelerating the construction of a manufacturing power, a digital industry and a digital China and promoting
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
the development of China’s intelligent manufacturing and digital economy.
From the perspective of industry, large-scale Chinese manufacturing enterprises generally have automated
production lines, among them, the proportion of digitalization is not high, data sharing is not much from
factories to factories, and intelligent technology is not widely used. The overall level of intelligent
manufacturing in China is still far away from the world’s advanced level. The endogenous power of leading
manufacturing enterprises has a large potential demand for intelligent manufacturing equipment and the
overall solution of intelligent factories, and the market demand presents long-term, sustainable and without
obvious periodicity.
The Company has been cultivating in the field of intelligent equipment for a long time, and the high-end
intelligent equipment with independent intellectual property rights has been continuously upgrading for
Chinese Manufacturing, replacing imported equipment or being the first applications equipment to promote
the technological progress of related industries. In recent years, with the improvement of 5G, industrial
Internet and other digital economy infrastructures, the Company has accelerated the application of digital and
intelligent technologies mastered by the Company. Now it has the engineering and implementation capability
of the overall solutions of digital workshops and intelligent factories in multiple product application fields.
The Company’s intelligent manufacturing equipment are applied in petrochemical, sub-merged arc furnace,
new energy, grain, animal feeds, building materials, medicine, food, port, and many other industries, to
provide customers with efficient intelligent manufacturing equipment and intelligent factory overall solutions.
The Company’s technology and intelligent equipment are in the leading position in the application field of
domestic industry, no competitors in the same volume; In some fields, the Company products and technology
applications are in the world leading level.
The Company implements differentiation competitive strategy (technology leadership), with the
accumulation and industrial application practice in the direction of automation, digital, intelligent technology,
facing the demand of “Made in China” for intelligent equipment, digital workshop, intelligent factory, the
Company concentrates advantage, integrates resources, saves competitiveness, to response and guild the
market demand actively with rich product line and intelligent manufacturing overall solution; The Company
strives to achieve its own relatively fast development and bring consistent returns to shareholders.
Industrial Service：
On March 16th, 2021, the National Development and Reform Commission, the Ministry of Science and
Technology, the Ministry of Industry and Information Technology and the like totaling thirteen departments
jointly issued the Opinions on Accelerating the High-quality Development of the Manufacturing Service
Industry, pointing out, “manufacturing service industry is an important support for improving the
competitiveness and comprehensive strength of manufacturing products, promoting the transformation and
upgrading of manufacturing industry and high-quality development. At present, China’s manufacturing
service industry supply quality is not high, the degree of specialization and socialization is not enough, the
role of leading the manufacturing value chain is not obvious, and there is still a gap between the
requirements of building a modern economic system and realizing high-quality economic development.” “By
2025, the role of the manufacturing service industry will be significantly enhanced in improving the quality
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
and efficiency, innovation capacity, and efficiency of resource allocation, and play a more prominent role in
supporting and leading the high-quality development of the manufacturing industry” to “realize the coupling
and integration of the manufacturing industry and the manufacturing service industry”.
The production and operation management service of the Company’s intelligent manufacturing equipment
field includes integrated industrial services for process plant and equipment daily operation, repair,
maintenance, finished products outbound & inbound, transfer, truck loading and so on. The Company’s
professional services contribute customers to reduce costs and increase efficiency, improve production
efficiency, concentrate resources on core competitiveness, and achieve high-quality development. The
Company relays on the leading technology advantage, and continues to vigorously promote the strategy of
product and service integration over the years. The professional, economic, high-quality and efficient service
has been recognized and praised by customers.
Based on the recognition and encouragement of Company’s outstanding achievements in the integrated
development of intelligent manufacturing equipment and industrial services, the Company was identified as
“Pilot Unit of Advanced Manufacturing and Modern Service Industry” in August 2021 by the National
Development and Reform Commission. The intelligent equipment industry services have covered all regions
except Hong Kong, Macau, Taiwan and Tibet, the service scale and profitability are in the leading position in
the industry. The Company’s industrial services of intelligent equipment, on the one hand, will maintain a
steady growth with the growth of product sales and equipment implement stock. On the other hand, this will
give an active response to the customer’s deep service demand, after the Company undertakes and
implements new production and operation industrial service projects, the service scale is expected to
accelerate. The revenue of industrial services has grown year after year, this will enhance the whole
Company’s ability to resist risks. In the H1 of 2023, the revenue of industrial services was RMB 326 million,
and become an important source of revenue and profit for the Company.
The Company’s industrial service network and capability, surrounding “industrial service plus”, are facing
big potential market opportunities; That is, the Company’s industrial service network is expected to
undertake more industrial service market demand independent from the Company’s own equipments, and
then forming a new industrial direction of intelligent manufacturing equipment enabled with “industrial
service plus”.
Environmental Protection Process and Equipment:
The 14th Five-Year Plan takes “achieving new progress in ecological civilization construction” as one of the
main goals. Continuing to improve environmental quality and promoting the all-round green transformation
of economic and social development provides important development opportunities for the field of
environmental protection. Industrial waste acid and acidic gas treatment and recycling project, implemented
by Harbin Boao Environmental Technology Co., Ltd, the holding subsidiary of the Company, can collect and
treat industrial waste sulfuric acid and sulfur-containing acid gases in chemical production to produce
high-purity sulfuric acid for recycling production, and to recycle and reuse the heat energy released in the
process to achieve energy saving, emission reduction, recycling, environmental protection and economic
results. During this reporting period, the revenue of environmental protection process and equipment
accounted for 4.73% of total, which played a beneficial complementary role in the overall performance of
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
the Company.
② Industry policy impact
In recent years, the state has issued intensive industrial policies and industry plans related to intelligent
manufacturing, robot and digital economy, leading the development of the industry, and the field of
intelligent manufacturing equipment is facing major development opportunities. At the same time, the
technology accumulation and technological innovation of high-end equipment manufacturing enterprises are
constantly improved, with the promoting of national digital infrastructure construction, the project
application and implementation ability is becoming increasingly mature. From the Company’s long-term
industrial practice in the field of intelligent equipment industry, intelligent equipment is in great demand for
China’s manufacturing enterprises, and the field of intelligent manufacturing equipment will continue to
flourish.
In January 2023, seventeen departments including the Ministry of Industry and Information Technology,
issued the “Robot Plus” Application Action and Implementation Plan, proposed the density of
manufacturing robot will double compared with 2020, by 2025. The depth and breadth of the application of
service robots and special robots industries have been significantly improved, and the ability of robots to
promote high-quality economic and social development will be significantly enhanced. Focus on 10 key
application areas, break through more than 100 kinds of robot innovation application technology and
solutions, promote more than 200 robot typical application scenarios with high technical level, innovative
application mode and significant application effect, build a batch of “robot plus” benchmarking enterprises,
and construct a batch of application experience centers and experimental verification centers.
In April 2022, the Ministry of Industry and Information Technology, the National Development and Reform
Commission, Ministry of Science and Technology, Ecological Environment Ministry, Ministry of Emergency
Management, the National Energy Administration jointly issued the Guidelines on Promoting High-quality
Development of Petrochemical and Chemical Industries in the 14th Five-Year Plan, pointing out that the
reform and innovation as the fundamental power, plan development and security as a whole, accelerate the
traditional industry transformation, vigorously develop chemical new materials and fine chemicals, speed up
the industrial digital transformation, improve the level of intrinsic safety and clean production, accelerate
quality change, efficiency change, dynamic change in the petrochemical industry, promote our country from
the petrochemical and chemical great power to strong power. One of the main goals set forth in the guideline
is digital transformation, with enterprises in key areas such as petrochemical and coal chemical industries
achieving an automatic rate of over 95% of their main production devices, building about 30 demonstration
factories of intelligent manufacturing and about 50 demonstration zones of intelligent chemical industry. The
guidelines also proposed to promote the digital transformation of industries, accelerate the collaborative
innovative application of new technologies and new models, create characteristic platforms, accelerate the
integration of 5G, big data, artificial intelligence and other next-generation information technologies with the
petrochemical and chemical industry, constantly enhance the acquisition capacity of chemical process data,
and enrich the data of enterprise production management, process control, product flow and other aspects,
promote demonstration and guidance, and strengthen industrial Internet empowerment. It has issued
guidelines for the construction of a standard system for intelligent manufacturing in the petrochemical and
chemical industry, and compiled standards for intelligent factories, smart zones etc,. According to the
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
characteristics of the industry, a number of digital workshops, intelligent factories and smart zones will be
built and selected.
In December 2021, The State Council issued the 14th Five-Year Plan for the Development of Digital
Economy, which defines the guiding ideology, basic principles, development goals, key tasks and safeguard
measures for promoting the healthy development of digital economy during the period. Digital economy is
the main economic form after agricultural economy and industrial economy. It takes data resources as the
key element, modern information network as the main carrier, integrated application of information and
communication technology and all-factor digital transformation as the important driving force, and promotes
a new economic form with more unified fairness and efficiency. According to the plan, the digitalization,
networking and intelligence of the manufacturing industry will be deepened, and the integrated development
of producing services will be accelerated. We will comprehensively deepen the digital transformation of key
industries. Based on the characteristics and differentiated needs of different industries, we will promote
all-round and whole-chain digital transformation of traditional industries and improve total factor
productivity. We will deepen the digital transformation of industry, accelerate the digital transformation of
R&D, design, production and manufacturing, operation and management, and market services across the
whole life cycle, and accelerate the cultivation of a number of small and medium-sized enterprises that are
“specialized and innovative” and individual champions in manufacturing. We will carry out intelligent
manufacturing projects, vigorously promote the digitalization of equipment, carry out special campaigns to
pilot and demonstrate intelligent manufacturing, and improve the national system of intelligent
manufacturing standards.
In December 2021, the Ministry of Industry and Information Technology and so on eight departments jointly
issued the 14th Five-Year Intelligent Manufacturing Development Plan, put forward the following planning
goals: in 14th Five-Year and the future for a long period, promote intelligent manufacturing based on
manufacturing nature, stick to intelligent features, take the process and equipment as the core, take the data
as the base, rely on manufacturing units, workshops, plants and supply chain as carrier, build virtual-real
integrated, knowledge-driven, dynamic optimizing, safe and efficient, green and low carbon intelligent
manufacturing system, promote manufacturing digital transformation, network collaboration and intelligent
reform. By 2025, most large-scale manufacturing enterprises will realize digital networking, and backbone
enterprises in key industries will initially apply intelligence; By 2035, large-scale manufacturing enterprises
will fully popularize digital networking, and backbone enterprises in key industries will basically realize
intelligence.
In December 2021, the Ministry of Industry and Information Technology, the National Development and
Reform Commission, the Ministry of Science and Technology and so on 15 departments jointly issued The
14th Five-year Robot Industry Development Plan, put forward the following planning goals: by 2025, China
has become a global robot technology innovation source, high-end manufacturing cluster and new heights of
integrated application. Breakthroughs have been made in the number of core robot technologies and high-end
products, breakthroughs have been made in the number of core robot technologies and high-end products, the
comprehensive index of the complete equipment has reached the international advanced level, and the
performance and reliability of key parts have reached the international level of similar products. The
operating revenue of the robot industry will grow by more than 20% annually, form a number of
internationally competitive leading enterprises and a large number of specialized and special and new “Little
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Giants” enterprises with strong innovation ability and good growth ability, and build 3 to 5 industrial clusters
with international influence. The density of manufacturing robots has doubled. By 2035, the comprehensive
strength of China’s robot industry will reach the international leading level, and robots will become an
important part of economic development, people’s life and social governance.
In November 2021, the Ministry of Industry and Information Technology issued the 14th Five-year Plan for
Green Industrial development, put forward the following goals: by 2025, industrial structure, mode of
production and green and low-carbon transition have made significant progress. Green and low-carbon
technologies and equipment have been widely applied, the efficiency of energy and resources utilization has
been greatly improved, and green manufacturing has been comprehensively improved, laying a solid
foundation for reaching a Carbon Peak in the industrial sector by 2030.
In November 2021, The Ministry of Industry and Information Technology issued the 14th Five-year Plan for
the In-depth Integration of Informatization and Industrialization, put forward the following goals: by 2025,
informatization and industrialization will realize integrated development in a wider range, deeper degree and
higher level, and the penetration of the new generation of information technology into all fields of
manufacturing was accelerated, the scope was significantly expanded, the degree was continuously deepened,
and the quality was greatly improved. The pace of digital transformation of manufacturing was significantly
accelerated. New models and new business forms are widely popularized; industrial digital transformation
has remarkable results; the integration support system is continuously improved; the vitality of enterprise
integration development is activated fully; and the integrated ecosystem is developed prosperously.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
(2) Company Main Businesses during the Reporting Period
① Main businesses, products, services composition and market application level of the Company
Overall Solution for Intelligent Manufacturing Equipment and Intelligent Factory
Post-processing Intelligent Manufacturing Post-processing Intelligent Manufacturing
Equipment for Solid Material Equipment for Rubber
It is applied in the post-processing fields for the It is intelligent equipment and intelligent plant
powder, granular materials or irregular materials of overall solution, applied in production process of
petrochemical, new energy, grain, animal feeds, synthetic rubber and natural rubber and in the
building materials, medicine, food, ports etc. (such fields of product refining process, dewatering and
as crushing, screening, bagging, boxing of new drying process (rubber washing, cleaning and
energy field polysilicon reduced silicon rods, etc.), impurity removal, dewatering, crushing and
providing efficient automatic weighing, packaging drying, etc.) and finished product packaging
and palletizing intelligent manufacturing and process (weighing, baling, detecting, conveying,
production equipment and overall solutions of packaging and palletizing, etc.)
smart factories
In the field of post-processing high-end equipment
for powder and granular materials in China it has
obvious advantages and a stable competitive
position. In the field of post-processing high-end Complete product line, covering natural rubber and
equipment for the new energy field irregular synthetic rubber; It is the only supplier which can
polysilicon materials, the original first set of provide complete large-scale systems worldwide.
applications has promoted the upgrade of intelligent
manufacturing in the industry.
Robot Plus Intelligent Logistics, Warehousing Systems
Connecting solid material post-processing
(High temperature) Operation robot for submerged intelligent manufacturing equipment with rubber
arc furnace and serialized intelligent products, post-processing intelligent manufacturing
complete system solutions are applied for high-risk equipment to realize intelligent identification,
working environment as well as other special outbound and inbound warehousing management,
robots and complete system solutions which can logistics transshipment, fully Automatic Vehicle
replace high-risk, harsh working conditions, and Loading, etc., to help customers to build smart
heavy manual labor. factory overall solutions.
(High temperature) Operation robot for
sub-merged arc furnace and its surrounding
systems are in leading position worldwide in the Automatic Loading machine has first-mover
field of calcium carbide; It is carrying out advantage, the market responds positively and no
innovative implementation of the intelligent industry attribute, the large-scale application has
workshop project for the calcium carbide arc big potential in the future.
furnace, committed to promoting the production of
fewer people, unmanned, safe, efficient and
environmental”, and bringing the traditional
industrial technology revolution with industry
subversive technology.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Industrial Services
The industrial services, rooted in the above-mentioned related fields of intelligent
manufacturing equipment, are mainly integrated service, equipment maintenance and spare
parts sales which facing the operation in the application fields of intelligent manufacturing
equipment, after-sales industrial service, and supplementary industrial service.
The Company’s industrial service network and service capability are expected to undertake
other market demand other than the Company’s own in the future and then form a new
industrial direction of “industrial service plus” enabling intelligent manufacturing equipment.
Holding technology leadership advantages, leading service capabilities and scale in the field
Energy saving, emission reduction and environmental protection process
equipment field
Industrial waste sulfuric acid,
sulfur-containing acid gas
Collection → Catalysis →
Heat exchange → Purification
High-purity sulfuric acid
used for recycling
production
Harbin Boao Environmental Technology Co., Ltd is currently mainly engaged in the design,
production, and sales of energy-saving, emission-reduction and environmental protection process
equipment which is represented by industrial waste acid regeneration process and equipment.
Industrial waste acid regeneration technology and equipment collect and process industrial waste
sulfuric acid and sulfur-containing acid gas which are produced in the customer’s chemical
production to generate high-purity sulfuric acid for recycling production, and release heat energy
for recycling and reusing, realizing the effects of energy saving and emission-reduction, recycling
uses, economy and environment protection and help to achieve carbon peak and carbon neutral
emission reduction targets.
Realizing the effects of energy saving and emission-reduction, recycling
uses, economy and environment protection.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
② Business mode
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Industrial Services——Operation, Maintenance and After-sales Type Industrial Services
By participating in bidding or negotiating bids, the Company signs integrated service, equipment
maintenance service agreements with customers (which may include FFS film rolls sales matching with
production services), equipment maintenance, operation maintenance and the like to determine the
contents and modes of services;
For the performance obligations of the service contract performed within a certain period of time, the
Company shall recognize the revenue according to the performance progress within the period of time;
The sales mode of spare parts is flexible (the Company initiates stocking or the customer initiates
procurement), and the operating revenue is confirmed based on the actual delivery of the product and
the time when the revenue confirmation conditions are met.
Industrial Services——Supplementary Industrial Services and Miscellaneous
FFS Film roll production enterprise matching
with industrial services (Nanjing Green New
Material Co., Ltd., Company’s holding
subsidiary) separately sells FFS film rolls,
plastic auxiliaries and the like apart from the
Company’s production and operation services;
Other kinds with small revenue are not
classified as material.
Revenue recognition: Usually as per the
contract signed with customer, implement the
contract and meet the revenue conditions, then
confirm the operating revenue.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
③ Key performance driving factors
Since 2017, the Company performance has grown well and rapidly, mainly due to the Company is facing the
strong demand for intelligent manufacturing equipment for the upgrading of digitization and
intellectualization in China’s manufacturing industry. The Company implements technology research and
development and product innovation actively, as well as realizes product category expansions. The sales
growth of post-processing intelligent manufacturing equipment for solid material is strong; Represented by
high-temperature furnace operation robots, the special operation robots and their supporting products are
promoted and applied in the fields of high risk, harsh and heavy working conditions. Contracts from
“robots plus” quickly occupy an important marketing share, which strongly promote the rapid growth of
the Company’s overall performance; The successful R&D and application of post-processing intelligent
equipment for solid material in the field of new energy polysilicon raw materials expended the application of
Company product in the field of post process intelligent manufacturing equipment for irregular solid material,
and the market demand has exploded, which promote revenue growth of the Company’s intelligent
manufacturing equipment as an increment; The growth of industrial services, enabling intelligent
manufacturing equipment, keeps steadily, and become an important source of revenue and profit. Energy
saving, environmental protection process and equipment business brings beneficial supplement to the
Company’s overall revenue.
During the reporting period, the operating revenue and profit have reached the best level in history. The
operating revenue of intelligent manufacturing equipment achieved a strong growth of 43.70%. The
operating revenue of industrial service continued to grow steadily; The operating revenue of energy
conservation, emission reduction and environmental protection process and equipment doubled while
contributing to profits. Please refer to “Main Businesses Analysis” for details.
Technological innovation and the continuous R&D, application and promotion of new products have realized
“the second curve” to promote the Company to extend growth period. The Company’s intelligent
manufacturing equipment has experienced a continuous technological innovation and the expansion process
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
of continuous application of new technology and new products. At present, the company has made a progress
in switching from a single machine, automatic production line to the digital factory and intelligent factory in
the main product application field, which optimizing the business competition environment faced by the
Company, and improving comprehensive competitiveness continuously.
2. Core Competitiveness Analysis
As a technology-based enterprise, the Company adheres to a differentiated competitive strategy of leading
technology, and relies on a deep understanding of China’s industrial automation field and long-term practical
experience in industrial applications to maintain a constant competitive position in the field in which it is
engaged. The Company’s intelligent manufacturing equipment and industrial service businesses are
effectively synergized and optimally linked, and environmental protection process equipment to the
Company’s overall performance constitutes a beneficial supplement. In recent years, the business scale is
growing rapidly, the profitability is great enhanced, and the comprehensive competitiveness is continually
improved.
(1) Industry status
The Company has a solid competitive advantage in the field of intelligent manufacturing equipment, and its
main product and technology has been playing a leading role for a long time in the domestic product
application field, and has won a number of industry awards.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
(2) Leading competitiveness of products and technologies
Innovation is the first driving force to lead the development of an enterprise and technology-leading is an
important core competitiveness of the Company. The Company continuously improves its technology
application level and technology reserve capacity, seizes new opportunities, and expands into new fields.
Through R&D investment, technology accumulation and technological innovation, outstanding technological
leadership advantage continues to enhance and be a competitive position in the industry.
From the perspective of intelligent manufacturing equipment product line, the Company’s intelligent
equipment has technical advantages of high speed, accuracy and reliability. It is a replacement of imported
high-end equipment, suitable for the customer production environment with high efficiency and safety
production requirements. In the domestic product application field, products and technology are at the
leading level, among them, partial of the product applications are in the worldwide leading position.
From the perspective of the overall solution of intelligent manufacturing, the Company integrates
multi-category innovative products with the production scenario of manufacturing customers, which realizes
the overall solution of solid materials post-processing and sub-merged arc furnace smelting products
intelligent manufacturing, help customers realize the digital and intelligent transformation and upgrade of the
factory, and realize intelligent manufacturing.
(3) Underlying technology accumulation and platform technology to enhance the competitiveness.
Mastering the underlying technology, algorithm and platform technology can form the technical advantage of
rapidly developing different models and functions according to the industry demand, which is the core
technology that the Company must master to implement digital factory, intelligent factory and to realize
industrial digitalization. It can truly realize the independence and controllability of core technology,
continuously promote the implementation of the Company’s technology leading and differentiation strategy,
and enhance the Company’s core competitiveness.
Legend：Development platform for mobile robot system based on autonomous navigation
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Note: This section is schematic diagram, some photos and blurred images, under the premise of technical confidentiality,
are used to enhance investors' understanding of relevant applications, the following is omitted.
Legend：Motion control system
Legend：Research and development platform of intelligent identification system based on artificial intelligence
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Legend：Intelligent inspection and digital vision technology
(4) Performance-driven dual engines of “intelligent equipment” + “industrial service”
The Company fully integrates product application advantage, technological leading advantage and industrial
service, actively promotes the strategy of products and service integration and service business achieves
rapid development. The Company’s professional, high-quality, efficient and advanced industrial service
model is the necessary guarantee for customers’ continuous production and operation, stable and efficient
production, and achieves a win-win situation for the Company and customers.
Legend: The positive interaction between intelligent equipment and industrial service
In August 2021, the Company was identified by the National Development and Reform Commission as the
National “Pilot Unit for Advanced Manufacturing Integrated Development and Modern Service Industry”,
becoming one of the few leading enterprises of “Two Industries Integration” in the country. This award is
a recognition and incentive for the Company to develop the “Product and Service Integration” strategy
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
prospectively and actively implement this strategy for years. During the reporting period, the Company’s
industrial services achieved revenue of RMB 326 million, continued to maintain steady growth.“Intelligent
equipment”+ “industrial services”, whose operating revenue occupies 95.27% of total, constitutes a
performance-driven dual engine for the Company.
(5) The overall solution of intelligent manufacturing accelerates the Company’s competitiveness.
Throughout the Company’s technology, product development and industrialization process, the Company
enters new industries and new fields usually with key single unit equipment (“points”); after breakthrough
in solving industry pain points, quickly form an automated production line (“line”); With the accumulation
of technology and the in-depth understanding of the industry, the overall solution (“surface”) of intelligent
manufacturing is completed to help customers realize the upgrade to digital and intelligent factories. This
process of technological progress from “point → line → surface” helps the Company to concentrate
resources, reduce technology development risks, improve the efficiency of R&D investment, open the ceiling
for industry growth, and comprehensively enhance the Company’s core competitiveness.
Single unit sales (“point”), it is inevitable to face large competition, small the project potential contract,
limited market space; The complete equipment sales (“line”), the competitive environment improves, the
competitive pressure decreases, the market space increases, and the potential contract amount is enlarged;
The overall solution of intelligent manufacturing (“surface”), limited competitors, strong competitiveness,
market space and potential contract amount is expected to expand for several times.
Take the (high temperature) operation robot for sub-merged arc furnace as an example, the urgent demand
for safety production and replacing labors for traditional calcium carbide sub-merged arc furnace industry,
based on the industrial robot technology, the Company successfully developed and applied (high temperature)
sub-merged arc furnace operation robot which replaces manual work in dangerous and harsh environments
for calcium carbide which has epoch-making significance to traditional production (“point”), and
successively developed ramming robot for calcium carbide, patrolling robot, intelligent pot transfer
technology and other key production system (“line”), until forming science and technology innovation ability
of an intelligent workshop overall solution that truly subverts the traditional production operations of the
industry (“surface”), realizing few men, unmanned factories and intelligent manufacturing. The technology,
product R&D and industrialization process from “point”, “line” to “surface”, created a market space from “0”
to “1” to “N times”, opened the ceiling of the industry growth.
With the Company’s leading technological advantage in the field of calcium carbide sub-merged arc furnace,
the Company continues to develop the application of high temperature special robots in the high temperature
furnace operation environment of industrial silicon furnace, silicon manganese, ferrosilicon, etc., committed
to multi-dimensional technological innovation and breakthrough, and try to develop and recreate several
market opportunities from “0” to “1” to “N times”. In the above areas, the Company has successively
achieved phased results.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
(6) Smart workshops, smart factories, and overall solutions further enhance the Company’s
competitiveness.
In the field of traditional calcium carbide furnace smelting production, facing high-risk, high-temperature,
high content of toxic and harmful gas operating environment, which is not suitable for manual work.
Meanwhile, the huge production safety pressure and the poor production environment endanger workers’
production safety. In the long run, the production safety is directly affected by the shortage of labor supply.
The Company applies intelligent technologies such as visual recognition, deep learning, robot control
algorithm, and expert control strategy, combined with industrial Internet communication technology, to the
overall solution of intelligent workshops and smart factories, in order to achieve the minimum number of
people and unmanned workshops, relying on intelligent production decision-making management, to help
customers produce safely and efficiently, and promote the upgrading of intelligent manufacturing industry in
related industries.
At present, the Company is actively implementing the smart factory contract and smart workshop project
signed with Inner Mongolia Junzheng Chemical Co., Ltd. and Ningxia Younglight Chemicals Co., Ltd., with
a total value of about RMB 360 million. If these projects can be delivered and accepted successfully, first of
all, the realization of high-tech products to replace the dangerous, harsh, heavy working conditions of
manual work, promote the change of production methods, improve the safety of workers and well-being, is
of great significance to the calcium carbide industry; Secondly, the overall market space of the smart factory
can form several times, ten times the market size of the original high-temperature furnace operation robot; In
the future, the technology formed by the overall solution of the electric stone furnace smart factory can be
further R&D, promoted and applied to other silicon manganese, iron silicon, and industrial silicon etc.,
multiple arc furnace fields, which will bring about the comprehensive improvement of economic and social
benefits for the Company.
The Company’s ability and leading edge in smart workshops, smart factories, and overall solutions further
enhance the Company’s competitiveness. In order to facilitate understanding, the following graph shows the
intelligent workshop application technology of some calcium carbide sub-merged arc furnace.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Legend: Intelligent production system for calcium carbide
Legend：Inspection robot dispatching system applied in high temperature sub-merged arc furnace in calcium carbide.
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Legend: AI identification and intelligent lifting and transfer for calcium carbide pot
(7) Brand competitiveness
The Company builds brand with quality, seeks progress with technology, and wins trust with service.
Through high-quality products and efficient services, we strive to realize production automation, digitization
and intelligent manufacturing for customers and achieve win-win cooperation. The Company’s brand enjoys
a constant leading in popularity, high reputation and customer loyalty in the main domestic product
application fields. The Company pursues excellence, leads the development of intelligent equipment in the
application industry and builds up a stable, cooperative and win-win customer network for a long time. At
the same time, high-quality customer resources and huge potential demand for intelligent manufacturing
equipment is the source of the Company’s sustainable and rapid development.
(8) Achievements in intellectual property, proprietary technology and software copyright.
During the reporting period, the Company obtained 14 patents approved by the State Intellectual Property
Office, including 2 invention patents and 12 utility model patents; 10 software copyrights are approved by
the National Copyright Administration. In addition to patent technology, the Company has a considerable
amount of core technical know-how that exists in the form of proprietary technology by relying on
confidentiality measures. The patents, proprietary technology and software copyright owned and mastered by
the Company is the Company’s significant core competitiveness. (Note: The amount of intellectual property
acquired during the reporting period may have a slight deviation due to the limitation of statistical time
points, and is only for investors’ trend reference.)
(9) Social and economic benefits
The transformation of traditional industries with high technology is the responsibility and mission given to
technological innovation enterprises by the era. The Company’s overall solution of intelligent manufacturing
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
in the field of calcium carbide submerged arc furnace and automatic vehicle loading machine widely used in
the national economy field have transformative impact on replacing manual operations in high-risk or heavy
manual working conditions to achieve safe production and improve production efficiency. Meanwhile,
standardized intelligent equipment operations improve the capacity utilization rate, reduce costs and enhance
efficiency of the enterprise, and support the early realization of the national double carbons goal.
The Company’s large-scale intelligent manufacturing equipment and intelligent factory technology can
provide one-stop solution to save more resources and realize safe and efficient production for the customers,
fundamentally solve the problem of structural labor gap for customers and promote the improvement of
social production efficiency. The application of these high-tech products not only achieves good social
benefits, but also brings considerable economic benefits to the Company at the same time.
3. Analysis of Main Business
Overview
In the H1 of 2023, China’s overall economy situation remained stable, trended to a good prospect. Looking
forward to the whole year, strategically, the state vigorously promoted the construction a of modern industrial
system, accelerated the cultivation and growth of strategic emerging industries, built more pillar industries,
and promoted the deep integration of the digital economy with advanced manufacturing and modern service
industries. The demand, facing the rising demand for industrial digitalization and intelligence, of the
Company’s head customers in the field of product application is in the ascendant. This provides the company
with a sustained long-term better and faster development stage.
During the reporting period, driven by intelligent manufacturing equipment order fulfillment and product
delivery, the Company’s operating revenue and achieved good performance again. In H1 of 2023, the
Company’s operating revenue reached RMB 1.389 billion, increased 35.14% year-on-year. Net profit
attributable to the parent company was RMB 335 million, increased 26.89% year-on-year; The Company’s
weighted average return on equity (ROE) was 10.17%. Facing the future, the Company continued to increase
investment in R&D and improve competitiveness, during this reporting period, R&D investment was RMB
73 million, a year-on-year increase of 84.60%, R&D expenses accounted for 5.29% of operating revenue,
substantial increase in R&D investment affected the year-on-year growth of net profit attribute to the parent
company to some extent. From the perspective of revenue composition, the Company’s intelligent
manufacturing equipment, industrial services, environmental protection process and equipment in the overall
revenue accounted for 71.78%, 23.49%, 4.73%, respectively, in the overall gross profit accounted for
76.97%, 15.07%, 7.96% respectively.
During the reporting period, the Company’s marketing work continued to maintain a good momentum. From
perspective of revenue recognition, operating revenue increased in all categories. Among them, the overall
revenue of the four categories of intelligent manufacturing equipment business was close to RMB 1 billion,
achieving a high-speed growth of 43.70% year-on-year. The proportion of revenue in various manufacturing
equipment changed, mainly affected by the different delivery and acceptance progress of various products
during the reporting period; Industrial services business revenue continued to maintain a steady growth,
achieving RMB 326 million, increased 8.21% year-on-year; The revenue and profit of environmental
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
protection technology and equipment business increased during the reporting period, which constituted a
beneficial supplement to the Company’s overall business performance.
During the reporting period, Affected by the product revenue structure changed and the profit level of
industrial services declined, the Company’s comprehensive gross profit margin decreased by 0.87% to
37.39%. Affected by growth of sales scale, the sales expense increased, and the sales expense ratio
increased to 3.80%; The administration expense ratio, decreased to 2.96% mainly due to the change in
entities consolidated compared with the base period; Based on the R&D path of “point → line → surface”,
the Company increased investment in R&D, which helped to enhance the core competitiveness of the
Company’s intelligent manufacturing equipment.
From the perspective of revenue distribution, the Company’s revenue and contribution gross profit ratio
structure of intelligent manufacturing equipment, industrial services, environmental protection process
equipment are shown in the figure below.
OperatingRevenue ContributionGrossProfit
(RMB0.1billion) (RMB0.1billion)
Note: in the above figure, Contributing Gross profit= Operating revenue of corresponding business – Operating cost, the contribution
gross profit does not consider the impact of profit and loss of minority shareholders.
During the reporting period, the key accounting data and financial indicators are listed as follows:
Unit: RMB
Increase/Decrease over the
Items 2023 H1 2022 H1
same period of previous year
Operating revenue 1,389,350,667.84 1,028,107,177.93 35.14%
Operating profit 399,023,163.53 301,362,046.11 32.41%
Total profit 405,451,186.94 301,326,741.76 34.56%
Net profit 354,806,018.37 263,794,610.93 34.50%
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Thereof:
Attributable to shareholders of the 335,465,804.27 264,380,786.00 26.89%
parent company
Year-on-year changes to major financial data
Unit: RMB
Increase/Decrease
2023 H1 2022 H1 over the same period Rationale
of previous year
Due to the rapid growth in the
Operating revenue 1,389,350,667.84 1,028,107,177.93 35.14% revenue of intelligent manufacturing
equipment.
The increase in cost of sales caused
Cost of sales 869,840,136.63 634,720,902.68 37.04% by the increase in the operating
revenue.
The increase in the sales scope, which
Selling and led the increase in sales expenses,
52,816,348.60 36,480,990.88 44.78%
distribution expenses such as staff expenses, after sale
expenses, sales service fees, etc.
Mainly due to the entities
General and consolidated changed compared with
administrative 41,113,212.92 56,426,605.54 -27.14% base reporting period. Overseas
expenses company sold was no longer
consolidated.
Due to the interest accrued on
convertible bonds in the current
Finance expenses -1,474,938.21 -3,572,253.22 58.71%
period compared with base reporting
period.
Due to the increase in the operating
Income tax expenses 50,645,168.57 37,532,130.83 34.94%
revenue, as well as assessable income.
Research and Due to the increase in the R&D
73,437,581.30 39,782,927.29 84.60%
development expenses inputs.
Contract performance caused the
Net cash flows from increases in production inputs,
-113,276,773.99 172,174,009.00 -165.79%
operating activities procurement and other operating cash
outflows during the reporting period.
Net cash flows from Mainly due to the impact of cash
-352,812,745.15 380,878,114.11 -192.63%
investing activities management activities.
Net cash flows from Mainly due to the impact on
-22,224,026.66 -260,595,886.83 91.47%
financing activities dividends of 2022 paid in July, 2023.
Net increase in cash It is jointly affected by the net cash
-487,134,044.90 293,378,688.55 -266.04%
and cash equivalents flow from operating activities,
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
investing activities and financing
activities.
Major changes to the profit structure or sources of the Company in the reporting period:
□Applicable √ Not applicable
No such cases in the reporting period.
Breakdown of operating revenue:
Unit: RMB
2023H1 2022H1 Increase/Decrease
over the same
Proportion of Proportion of
Amount Amount period of previous
revenue revenue
year
Total 1,389,350,667.84 100% 1,028,107,177.93 100% 35.14%
Categorized by industry
Intelligent manufacturing
997,330,173.30 71.78% 694,055,868.46 67.51% 43.70%
equipment
Industrial service 326,289,948.04 23.49% 301,525,664.05 29.33% 8.21%
Environmental protection process
65,730,546.50 4.73% 32,525,645.42 3.16% 102.09%
and equipment
Categorized by product
Post-processing intelligent
manufacturing equipment for 744,818,504.47 53.62% 489,678,686.79 47.63% 52.10%
solid material
Post-processing intelligent
manufacturing equipment for 52,968,135.85 3.81% 67,744,438.39 6.59% -21.81%
rubber
Robots plus 77,717,235.31 5.59% 125,712,389.30 12.23% -38.18%
Intelligent logistics, warehousing
121,826,297.67 8.77% 10,920,353.98 1.06% 1,015.59%
systems
Operation, maintenance and
after-sales type industrial 276,103,483.92 19.87% 254,633,155.67 24.77% 8.43%
services
Supplementary industrial
50,186,464.12 3.61% 46,892,508.38 4.56% 7.02%
services and others
Environmental process and
65,730,546.50 4.73% 32,525,645.42 3.16% 102.09%
complete equipment
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Categorized by region
Region of east China 555,913,249.41 40.00% 392,598,500.16 38.20% 41.60%
Region of south China 195,576,976.55 14.08% 76,739,224.97 7.46% 154.86%
Region of central China 25,515,176.93 1.84% 27,735,596.67 2.70% -8.01%
Region of north China 238,993,469.39 17.20% 203,700,091.71 19.81% 17.33%
Region of northwest China 232,926,037.93 16.77% 236,289,323.31 22.98% -1.42%
Region of southwest China 34,877,446.15 2.51% 40,109,948.16 3.90% -13.05%
Region of northeast China 99,558,261.29 7.17% 43,021,150.98 4.18% 131.42%
Overseas 5,990,050.19 0.43% 7,913,341.97 0.77% -24.30%
Industries, products, or regions accounting for more than 10% of company revenue or operating profit
Unit: RMB
Operating Gross profit
Cost of sales
revenue margin
increased or
Operating Gross profit increase/ increased or
Cost of sales decreased over
revenue margin decrease over decreased over
the same period
the same period the same period
of previous year
of previous year of previous year
Categorized by industry
Intelligent manufacturing
997,330,173.30 597,475,306.04 40.09% 43.70% 45.36% -0.69%
equipment
Industrial service 326,289,948.04 247,993,483.05 24.00% 8.21% 15.22% -4.62%
Environmental protection
65,730,546.50 24,371,347.54 62.92% 102.09% 188.33% -11.09%
process and equipment
Categorized by product
Post-processing intelligent
manufacturing equipment for 744,818,504.47 424,158,747.44 43.05% 52.10% 41.32% 4.34%
solid material
Post-processing intelligent
manufacturing equipment for 52,968,135.85 31,287,186.89 40.93% -21.81% -16.07% -4.04%
rubber
Robots plus 77,717,235.31 44,368,972.83 42.91% -38.18% -31.17% -5.82%
Intelligent logistics,
121,826,297.67 97,660,398.88 19.84% 1,015.59% 965.27% 3.79%
warehousing systems
Operation, maintenance and
after-sales type industrial 276,103,483.92 202,636,243.00 26.61% 8.43% 15.95% -4.76%
services
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Supplementary industrial
50,186,464.12 45,357,240.05 9.62% 7.02% 12.09% -4.09%
services and others
Environmental process and
65,730,546.50 24,371,347.54 62.92% 102.09% 188.33% -11.09%
complete equipment
Categorized by region
Region of east China 555,913,249.41 375,321,012.56 32.49% 41.60% 56.10% -6.27%
Region of south China 195,576,976.55 102,876,739.85 47.40% 154.86% 135.40% 4.35%
Region of central China 25,515,176.93 18,208,744.03 28.64% -8.01% 28.09% -20.11%
Region of north China 238,993,469.39 143,158,969.16 40.10% 17.33% 21.11% -1.87%
Region of northwest China 232,926,037.93 152,801,576.35 34.40% -1.42% -6.16% 3.31%
Region of southwest China 34,877,446.15 23,098,245.11 33.77% -13.05% -3.69% -6.44%
Region of northeast China 99,558,261.29 52,756,807.21 47.01% 131.42% 107.25% 6.18%
Overseas 5,990,050.19 1,618,042.36 72.99% -24.30% -72.54% 47.45%
Where the Company’s statistical criteria for core business data are adjusted during the reporting period, the
core business data for the most recent year have been adjusted based on the statistical criteria effective as of
the end of the reporting period.
□Applicable √Not applicable
During the reporting period, the reasons of operating revenue and gross profit rate change are as follows:
Intelligent manufacturing equipment: During the reporting period, the overall performance of the Company’s
intelligent manufacturing equipment reached a new record high, achieving operating revenue of RMB 997
million, a year-on-year growth of 43.70%. With the outstanding competitive advantages of the products, the
gross profit margin, kept an excellent level of 40.09%, driving the rapid growth of the Company’s overall
performance. In the category of products, the post-processing intelligent manufacturing equipment for solid
material was affected by the product delivery and revenue recognized equipments represented by the new
energy polysilicon irregular material intelligent equipment, and the operating revenue increased by 52.10%
year-on-year, and the gross margin reached a new high of 43.05% in recent years. The Company’s product
innovation ability and market competitiveness were further demonstrated. The operating revenue of
intelligent logistics, warehousing systems, affected by centralized delivery and acceptance, exceeded RMB
100 million for the first time, reaching RMB 122 million, gross profit margin improved steadily to 19.84%,
forming a scale advantage in RMB 100 million level; The operating revenue of post-processing intelligent
manufacturing equipment for rubber and robots plus, affected by fluctuation in delivery and acceptance, both
decreased year-on-year, but it does not represent the long-term trend, nevertheless, there is great potential for
future growth, the gross profit margin of these two kinds, keep more than 40%, which is long-term advantage
gross profit margin level of the Company.
Industrial service: The operating revenue of industrial services during the reporting period was RMB 326
million, an increase of 8.21% year-on-year; Affected by the centralized maintenance of some production
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
operation and maintenance integration projects and the negative factors of service performance cost
fluctuates, under these pressures, the gross profit margin of industrial services was 24.00%, and it is expected
to rebound throughout the year.
During the reporting period, the revenue of environmental protection technology and equipment doubled, the
gross profit margin maintained an excellent level, and the contribution of net profit to the parent company
exceeded RMB 15 million, which was beneficial supplement to the overall performance of the Company.
From the region perspective, based on the Company’s business model, the operating revenue usually varies
from period to period, which is mainly affected by demand fluctuations from region to region and structural
changes of product demand, as well as Company response demands, completion of product delivery and
acceptance progress, etc. It is not a typical fluctuation of gross profit rate divided by region, please refer to
explanation of operating revenue and gross profit rate changes for details.
4. Analysis of Non-Core Businesses
□Applicable √Not applicable
5. Analysis of Assets and Liabilities
(1) Significant Changes in Asset Composition
Unit: RMB
End of current reporting period End of previous year Increase/
Proportion of Proportion of Decrease in Major changes
Amount Amount
total asset total asset proportion
Cash at bank and on Mainly due to impacts on cash
171,932,258.30 2.67% 659,606,109.17 10.60% -7.93%
hand management activities.
Due to increase in the
Accounts receivable 971,803,985.54 15.09% 856,529,854.29 13.77% 1.32%
operating revenue.
Contract assets 129,224,815.24 2.01% 124,651,440.99 2.00% 0.01%
Based on product orders,
contract implementation
Inventories 2,051,561,034.52 31.86% 1,912,047,999.38 30.74% 1.12%
phase, which led the increase
in inventories.
Due to the increase in renting
Investment properties 12,121,393.30 0.19% 6,373,135.42 0.10% 0.09% out the real estate vacant
temporarily.
Long-term equity
406,733,204.89 6.32% 397,830,998.40 6.40% -0.08%
investments
Fixed assets 177,704,489.03 2.76% 192,561,428.46 3.10% -0.34%
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Construction in Due to the investment in the
73,701,937.42 1.14% 27,241,137.26 0.44% 0.70%
progress construction.
Right-of-use assets 4,688,902.84 0.07% 2,349,347.56 0.04% 0.03%
Due to the decrease in
Short-term
16,830,000.00 0.26% 31,830,000.00 0.51% -0.25% short-term bank financing
borrowings
borrowings of subsidiary.
Affected by joint factors, that
prepayments from customers,
revenue recognition carry
Contract liabilities 1,547,841,733.91 24.03% 1,725,223,007.33 27.74% -3.71% forwards, and the
reclassification to other
non-current liabilities, which
is longer than one year.
The increase in factory rented
Lease liabilities 1,507,620.37 0.02% 0.00 0.00% 0.02% in of subsidiary during this
period.
(2) Major Assets Overseas
□Applicable √Not applicable
(3) Assets and liabilities measured at fair value
√Applicable □Not applicable
Unit: RMB
Amount
Profit or loss
Cumulative fair provided
from change
value change for Purchased in the Sold in the
Item Opening balance in fair value Other changes Closing balance
charged to impairm period period
during the
equity ent in the
period
period
Financial
assets
Financial asset
held for
trading
1,268,124,738.43 4,402,354.68 13,357,093.11 1,892,510,000.00 2,006,940,000.00 1,158,097,093.11
(excluding
derivative
financial )）
Financing
111,064,333.27 122,790,348.84 233,854,682.11
receivables
32
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Investments in
other equity 57,477,364.10 34,037,478.93 61,563,794.93
instruments
Sub-total of
1,436,666,435.80 4,402,354.68 47,394,572.04 1,892,510,000.00 2,006,940,000.00 122,790,348.84 1,453,515,570.15
the above
Financial
liabilities
Note: the financial asset held for trading above-mentioned are currency fund and guaranteed bank
structural deposits etc., for cash management of unused self-owned capital, based on the resolution of
the Board of Directors and the Board of Shareholders.
Whether there were any material changes on the measurement attributes of major assets of the Company
during the reporting period
□ Yes √ No
(4) Restricted asset rights as of the end of this Reporting Period
Book value at the end
Item Limitation reason
of period（RMB）
Cash at bank and on hand 2,473,077.05 Bank deposit on letter of guarantee
Bills receivable 2,700,000.00 Bank acceptance discount is not terminated for confirmation.
Intangible assets 3,923,731.78 Mortgage of holding subsidiary Nanjing Green’s land use right for bank loans.
Fixed assets 13,458,285.59 Mortgage of holding subsidiary Nanjing Green’s real estate for bank loans.
Total 22,555,094.42
6. Investment Made
(1) Total investment amount
√Applicable □Not applicable
Total investment amount of the Total investment amount of the same
Change
Reporting Period (RMB) period of last year (RMB)
406,733,204.89 399,111,694.59 1.91%
The above investments are equity investments of the Company in associated or joint venture companies.
(2) Significant equity investment made in the reporting period
33
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
□Applicable √Not applicable
(3) Significant non-equity investments ongoing in the reporting period
□Applicable √Not applicable
(4) Financial investments
① Securities investments
□Applicable √Not applicable
No such cases in the reporting period.
② Derivatives investments
□Applicable √Not applicable
No such cases in the reporting period.
(5) Use of Raised Funds
√Applicable □Not applicable
① Overall usage of funds raised
Unit: RMB’0,000
Proporti
Total
Total Accumul on of Amount
funds
funds Accum ative accumul of funds
Total with Total The usage and
Way of used in ulative funds ative raised
Year funds usage unused destination of
raising the fund with funds idle for
raised changed funds unused funds
current used usage with over two
this
period changed usage years
period
changed
The Company shall
Issuance of conduct special account
2022 convertible 44,341.86Note 6,760.96 24,839.81 0 0 0.00% 19,967.41 management and cash 0
corporate bonds management for the
funds not yet used.
Total -- 44,341.86 6,760.96 24,839.81 0 0 0.00% 19,967.41 -- 0
Explanation of overall usage of funds raised
As of June 30th, 2023, the Company raised fund has used a total amount of RMB 248.3981 million (excluding the deducted issuance expenses of RMB
6.5814 million), and the raised funds has not used of RMB 199.6741million (including income from the cash management of the raised funds). The
cash management income included in the unused funds is RMB 4.6536 million.
Note：Total fund raised is the net amount after deducting issuance expenses.
34
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
② Commitment projects of fund raised
Unit: RMB’0,000
Investm Accumulati
Investment
Total of Total ent ve
schedule as
committed investment amount investment Date of reaching
Committed investment project and super raise the
investment after in the amount as intended use of the
fund arrangement period-end
of raised modification reporti of the project
(3)＝
capital (1) ng period-end
(2)/(1)
period (2)
1. Robot and intelligent factory industrialization
16,000.00 16,000.00 3,159.66 4,660.64 29.13% September 30th,2024
production project.
2. Sub-merged arc furnace smelting robot and its
9,000.00 9,000.00 2,539.57 5,382.51 59.81% June 30th,2025
intelligent factory R & D demonstration project.
3.Project of technology innovation and service
7,000.00 7,000.00 1,061.73 2,454.80 35.07% November 30th,2023
center (R&D center)
4.Supplementary working capital 12,341.86 12,341.86 -- 12,341.86 100.00% Not applicable
Total 44,341.86 44,341.86 6,760.96 24,839.81 -- --
(6) Related investment progress
① Investment in high-end medical diagnosis and treatment equipment
Celiac minimally invasive surgical robot: The celiac minimally invasive surgical robot project of Harbin Si
Zhe Rui Smart Medical Equipment Co., Ltd., which is invested and participated by the Company, at the end
of reporting period, holds 13.46% of its equity. Electric endoscopic needle forceps (name of registration
certificate) has been approved in January, 2021 for medical device registration certificate issued by the State
Drug Administration; The intraperitoneal endoscopic surgical system (name of registration certificate) has
obtained medical device registration certificate issued by the State Drug Administration in June, 2022.
Image-guided radiotherapy precise positioning: The image-guided radiotherapy precise positioning project of
Jiangsu Rayer Medical Technology Co., Ltd., invested by the Company, at the end of reporting period, holds
its 14.04% equity. The project obtained the registration certificate of IGPS-O, IGPS-V image-guided
radiotherapy positioning system issued by the State Food and Drug Administration in March 2016. In
February 2020, the Optical Guidance Tracking System (OGTS) has obtained medical device registration
certificate issued by the State Drug Administration
Remote assisted minimally invasive pedicle implantation robot: the remote assisted minimally invasive
pedicle implantation robot project of Suzhou Zoezen Robot Co., Ltd., invested and participated by the
wholly-owned subsidiary of the Company, at the end of reporting period, the Company holds 5.98% of its
equity. The main R&D product of the project, navigation and positioning equipment for spinal surgery has
obtained medical device registration certificate issued by the State Drug Administration in February, 2022.
The field of high-end medical diagnosis and treatment equipment project is characterized by long
research and development cycle, high barriers to enter, long product registration cycle, and big
clinical risks. There are many risk factors that cannot be determined during type testing and clinical
trials. For the registered projects, there is also a risk whether the promotion and industrialization can
35
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
meet the expectation. Hereby, investors are advised to carefully evaluate the relevant risk factors.
② Progress of the robot equity investment fund
In 2015, the Company participated in the establishment of Dongguan Boshi Ruidexin Robot Equity
Investment Fund, and established Dongguan Boshi Ruidexin Robot Equity Investment Center (limited
partnership). The total investment of Boshi was RMB 60 million, accounting for 30% of the subscribed
investment of the fund. By the end of the reporting period, Boshi had received RMB 60 million of project
investment returns and profit distribution, the earnings are good.
③ The IPO progress of enterprises invested by the Company.
Shanghai Bloom Technology Co., Ltd., which is invested by the Company, currently has a registered capital
of RMB 50 million. The Company holds 19.20% of its equity and is a non-controlling shareholder. In June
2023, Bloom Technology’s initial public offering and listing application on the main board was approved by
the Listing Review Committee of the Shanghai Stock Exchange, and it needs to be registered by the China
Securities Regulatory Commission before it can start the follow-up work of the IPO.
Harbin Sizherui Intelligent Medical Equipment Co., Ltd, which is invested by the Company, currently has a
registered capital of RMB 150 million, the Company holds 13.46% of its equity and is a non-controlling
shareholder. In June 2023, the application for initial public offering of shares and listing on the science and
technology innovation board was approved by the Listing Review Committee of the Shanghai Stock
Exchange, and it needs to be registered with the China Securities Regulatory Commission before it can start
the follow-up work of the IPO.
7. Sale of Major Assets and Equity Interests
(1) Sale of major assets
□Applicable √Not applicable
No such cases in the reporting period.
(2) Sale of major equity interests
□Applicable √Not applicable
8. Analysis of Major Subsidiaries
□Applicable √Not applicable
During the reporting period, the Company has no important holding company information that should be
disclosed.
9. Structured Bodies Controlled by the Company
36
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
□Applicable √Not applicable
10. Risks Facing by the Company and Countermeasures
(1) The risk that the R&D of intelligent manufacturing equipment and industrialization process are
less than expected.
The Company has the capability to provide customers with overall solutions of intelligent manufacturing in
the main equipment application field of complete large scale intelligent equipment. “Manufacturing is the
main body of the national economy, the foundation of building the country, the instrument of rejuvenating
the country and the foundation of strengthening the country.” China is undergoing a “transformation from
big manufacturing country to powerful manufacturing country”, and the demand for digital and intelligent
factories is on the rise. “ Intelligent Manufacturing Development Plan of the 14th Five-year Plan” clearly
expresses “In the 14th Five-year Plan and for a long period in the future, the promotion of intelligent
manufacturing should be based on the essence of manufacturing, closely follow the characteristics of
intelligence, take process equipment as the core, take data as the basis, rely on manufacturing units,
workshops, factories and supply chains and other carriers to promote the digital transformation of
manufacturing industry, network coordination and intelligent transformation. By 2025, most manufacturing
enterprises above designated size will realize digital networking, and backbone enterprises in key industries
will initially apply intelligence; By 2035, manufacturing enterprises above designated size will fully
popularize digital networking, and backbone enterprises in key industries will basically realize intelligence.”
In the face of huge industrial digitization demand prospect, if the Company cannot expand the application
field of new technology in time, or the industrialization process is not expected, the Company may miss the
best opportunity to enter the new industry, which will bring an adverse impact on the medium- and long-term
development of the Company and become one of the risk factors faced by the Company.
Solutions: First of all, the initiating of R&D project, the Company should choose projects with large market
demand, can be copied, and has technical advantages in the field, meanwhile, the R&D risk is small, after the
success of R&D, the market space of copy and promotion is large. Secondly, the choosing areas of R&D
project, the Company should choose areas with industry pain points and high technical difficulty, after key
technology breakthroughs, the technical advantage is expanded from “point” to “line” to establish
first-mover advantage. Thirdly, in the process of forming the overall solution of intelligent manufacturing,
for the non-key supporting technologies that are mature in the market, the Company makes optimal use of
social resources, which is conducive to the Company to concentrate resources on the R&D of core
technologies and accelerate the launch of product solutions. At the same time, the Company’s product
solutions for intelligent manufacturing and factory digitization and the establishment of standardized
modules are conducive to the replication and promotion of product technology in different customers and
different industries, accelerate the industrialization process, and effectively deal with related risk factors.
(2) The risk that 5G-based industrial internet and artificial intelligence technology cannot be deeply
applied in the Company’s overall solution of intelligent manufacturing.
Industrial Internet technology and the digital infrastructure built by 5G in the field of intelligent
manufacturing provide technical convenience for the digitization and intelligence of factories; The
application level of artificial intelligence technology determines the depth of the core of the future intelligent
37
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
manufacturing field. At present, the Company has outstanding competitive advantages in the field of product
application, but if the artificial intelligence technology based on 5G and industrial Internet cannot be deeply
integrated and applied in intelligent manufacturing product technology solutions in the future, it will restrict
the speed and quality of the Company’s medium and long-term development, constituting one of the risk
factors.
Solutions: Enterprises above the designated size of China’s manufacturing industry generally have automated
production lines, but the proportion of digitalization is not high, factory data sharing is little, and use of
intelligent technology is few. The development of intelligent manufacturing in China still has a big gap
compared with the United States, Japan and Germany, and the overall development space of the industry is
broad. Based on years of technical accumulation and rich product line application advantages, in the main
product application areas, the Company continues to integrate the application, accumulation and iteration of
artificial intelligence technology based on 5G and industrial Internet in the overall solution of intelligent
manufacturing. In the future, while improving its own artificial intelligence technology capabilities, the
Company will also use shareholder resources and social resources to actively build digital industrial
upgrading, and promote the company to expand new fields and open up new markets. At the level of product
R&D, the Company accelerates the application depth of artificial intelligence technology in the digitalization
and intelligence of manufacturing industry, accumulates project experience, establishes technical reserves,
accumulates competitive advantages, and copes with risk factors.
(3) The risk that “robot plus” and China intelligent equipment demand is less than expected.
In recent years, the State has intensively issued the 2025 and 2035 China intelligent manufacturing industry
development planning goals and robot plus application action implementation plan. As the dominant
enterprise, the Company represents the domestic leading level in the field of product application, and some
product applications are leading in the world. The national intelligent manufacturing industry related plan
will take the lead to implement in the backbone enterprises in the industry, and the Company will face many
development opportunities in the future. However, China “faces many difficulties and challenges in its
development, increasing uncertainties in the external environment, global inflation is still high, the
momentum of world economic and trade growth is weakening, and external repression and containment are
rising”. These factors or unforeseeable factors affect China’s demand for high-end intelligent manufacturing
equipment in the future, constitute one of the risk factors restricting the Company’s medium and long-term
performance.
Solutions: As a leading enterprise in the field of domestic product application, the Company has long been
deeply engaged in the field of intelligent manufacturing equipment, has continued to lead the popularity,
reputation and customer loyalty, and has built a stable, cooperative and win-win customer network for a long
time. With continuous digital and intelligent upgrade needs, The Company’s main customers are high-quality
customers in the industry, which can provide sufficient space for the future development of the Company.
The Company is actively implementing intelligent workshop, intelligent factory overall solution application,
can be several times, ten times the expanded, which can open product application space, and provide a broad
space for the Company. The Company increases investment in R&D, guides customer demand with
continuous technological innovation, transforms traditional industries with vibrant products, opens up new
opportunities, and deals with risk factors.
38
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
(4) The risk that “industrial services plus” expand less than expected.
Industrial service is the stabilizer and booster of the Company’s business and profit growth. Over the years,
the Company’s industrial service business has continued to grow, based on the recognition and
encouragement of the Company’s achievements in the integration and development of intelligent
manufacturing equipment and industrial services. In August 2021, The Company has been designated by the
National Development and Reform Commission as the national “Pilot Unit for Integrated Development of
Advanced Manufacturing Industry and Modern Service Industry”. Although the Company’s industrial
service revenue has continued to grow, and the annual revenue of has exceeded RMB 600 million, it is still at
a low penetration level compared with the Company’s target customer service base, and has good
development expectations in the future. However, if the Company is not able to quickly develop this business
direction, industrial service plus expansion is less than expected, which will form one of the risk factors
restricting the Company’s medium and long-term development.
Solutions: The Company has implemented the service integration strategy for a long time, and has
established an industrial service team covering all provinces, regions and municipalities in the country except
Hong Kong, Macao, Taiwan and Xizang over the years to form a better industrial service scale and generate
better profits to support the virtuous development of the Company’s business. In the face of the industrial
opportunities of the integration of national advanced manufacturing industry and modern service industry,
the Company has rich market opportunities and motivation to accelerate development. With the expansion of
the Company's intelligent manufacturing equipment applications, the Company’s industrial services will
form a positive promotion and continue to promote the development of business. At the same time, the
Company’s industrial service network and service capability are expected to undertake other market demand
more than the Company’s own in the future and then form a new industrial direction of “industrial service
plus” enabling intelligent manufacturing equipment, and actively response to risk factors.
(5) In the face of the new opportunities of robots plus, there may be risks in developing new industrial
directions.
In 2005, the Company’s independent intellectual property rights of industrial robots on the customer site
successfully applied, the Company continues to industrial robot perception technology, control technology,
decision-making technology applied to the Company’s large-scale intelligent equipment, in the field of
engagement, is in long-term technology leading advantage. In recent years, the Company’s has achieved
good results in first high temperature special operation robot in the field of calcium carbide furnace R&D,
application and industrialization, the Company is actively implementing the demonstration project of the
overall solution of smart factory in this field, as well as actively developing and expanding the application of
high temperature environment special operation robot in silicon, iron silicon and industrial silicon furnace in
high temperature environment. Pilot tests have been successful and small batch orders have been achieved.
However, with the rapid development of artificial intelligence technology at present, represented by
humanoid robots, which are intelligent, quick, skillful and multi-scenario applied, explain the more
far-reaching connotation and development space of robots plus. “Robot is the pearl at the top of the crown of
the manufacturing industry”, if the Company cannot continue to make progress in the field of robot plus and
explore new industrial directions, it is one of risk factors affecting the long-term competitiveness of the
Company.
39
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Solutions: Over the years, the Company is one of the earliest industrial robot engineering applications in
China, has formed a solid competitiveness in the field of intelligent manufacturing equipment, high
temperature special operation robots, and formed a good industrial foundation. In recent years, with the rapid
development and maturity of intelligent technologies such as 3D machine vision, force sensing and touch,
perception, human-computer interaction technology, composite materials, AI decision-making, and the basic
industrial chain of humanoid robot parts, the development of humanoid robots has entered the fast lane. It is
foreseeable that humanoid robots will play an increasingly important role in the future production, service,
medical care, education and other fields. The Company is optimistic about this strategic development
opportunity, and treats humanoid robots, as one of the Company’s important strategic R&D directions. On
August 18th, 2023, the Company signed a Strategic Cooperation Framework Agreement with Harbin Institute
of Technology. Jointly set up a humanoid robot key technology and principle prototype industrialization
research and development project, and jointly promote the industrialization of related technological
achievements and products in the future, the Company actively grasp this new opportunity to deal with risk
factors.
(6) The risk of technology confidentiality and unfair competition.
Technology leading is one of the important competitive strategies and competitive advantages of the
Company. The technology leading advantage of the products directly affects whether the Company’s
products can maintain a high level of sustainable profitability and the effective implementation of the
Company’s differentiated competitive strategy. The Company attaches great importance to the job of
technology confidentiality by applying for intellectual property protection, strengthening legal rights
protection, and protecting the Technology security of enterprises and preventing related risks through
technical means. Nevertheless, there are still intellectual property rights owned by the Company illegally
stolen, and other risks of unfair competition, which may cause potential economic losses to the Company.
Solutions: The Company’s technology is divided into patented technology and proprietary technology, from
the perspective of technical confidentiality, each has its own advantages. The competitiveness of the
enterprise depends on the absolute strength. Only by being far ahead in the same competition, can we
continue to be in the leading competitive advantage position. In addition to the traditional technology
confidentiality and anti-improper competition means, the Company, by means of technology R&D and
innovation, continues to enhance technology reserve to keep one generation of R&D, one generation of
reserve and one generation of sales, to maintain the absolute competitive advantage in the domestic main
product application field. Therefore, through continuous technological innovation, actively coping with
relevant risks is the primary strategy for the company to deal with technology confidentiality and face unfair
competition.
The risk factors above are the Company concerned, the Company actively takes measures in order to avoid
and control relevant risks effectively.
40
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
IV. Financial statements
(1) Consolidated Balance Sheet
Prepared by HARBIN BOSHI AUTOMATION CO., LTD. Unit: RMB
Item Jun 30, 2023 Jan 1, 2023
Current assets:
Cash at bank and on hand 171,932,258.30 659,606,109.17
Financial assets held for trading 1,158,097,093.11 1,268,124,738.43
Derivative financial assets
Bills receivable 213,716,960.09 307,322,625.28
Accounts receivable 971,803,985.54 856,529,854.29
Financing receivables 233,854,682.11 111,064,333.27
Prepayments 163,848,421.57 139,594,005.25
Other receivables 33,088,998.96 29,316,161.67
Thereof: Interest receivable
Dividend receivable 2,601,281.28 2,601,281.28
Inventories 2,051,561,034.52 1,912,047,999.38
Contract assets 129,224,815.24 124,651,440.99
Assets held for sale
Non-current assets due within one year
Other current assets 447,961,005.03 8,781,928.47
Total current assets 5,575,089,254.47 5,417,039,196.20
Non-current assets:
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 406,733,204.89 397,830,998.40
Other equity instruments investments 61,563,794.93 57,477,364.10
Other non-current financial assets
Investment properties 12,121,393.30 6,373,135.42
Fixed assets 177,704,489.03 192,561,428.46
Construction in progress 73,701,937.42 27,241,137.26
Productive biological assets
Oil and gas assets
41
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Right-of-use assets 4,688,902.84 2,349,347.56
Intangible assets 54,766,494.67 57,090,300.02
Development costs
Goodwill 1,120,909.26 1,120,909.26
Long-term deferred expenses 90,611.11 84,955.75
Deferred tax assets 47,102,594.82 40,734,119.14
Other non-current assets 25,603,545.00 20,759,073.65
Total non-current assets 865,197,877.27 803,622,769.02
Total assets 6,440,287,131.74 6,220,661,965.22
Current liabilities:
Short-term loans 16,830,000.00 31,830,000.00
Financial liabilities held for trading
Derivative financial liabilities
Bills payable
Accounts payable 260,845,821.50 227,581,839.47
Advances from customers 290,250.00 96,750.00
Contract liabilities 1,547,841,733.91 1,725,223,007.33
Employee benefits payable 20,852,053.60 70,475,565.86
Taxes payable 23,555,109.52 54,028,725.59
Other payables 271,849,581.33 3,035,031.46
Thereof: Interest payable
Dividend payable 255,638,861.75
Liabilities held for sale
Non-current liabilities due within one year 3,117,370.91 2,097,594.87
Other current liabilities 162,958,854.68 119,463,543.08
Total current liabilities 2,308,140,775.45 2,233,832,057.66
Non-current liabilities:
Long-term loans
Bonds payable 423,845,436.08 415,824,511.11
Thereof: Preference shares
Perpetual debts
Lease liabilities 1,507,620.37
Long-term payable
Long-term employee benefits payable
42
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Provisions 5,786,598.81 5,195,263.40
Deferred income 3,397,534.00 4,781,549.13
Deferred tax liabilities 16,440,141.68 14,903,697.98
Other non-current liabilities 251,493,697.86 199,568,192.56
Total non-current liabilities 702,471,028.80 640,273,214.18
Total liabilities 3,010,611,804.25 2,874,105,271.84
Shareholders’ equity：
Share capital 1,022,554,032.00 1,022,550,000.00
Other equity instruments 32,098,949.27 32,103,507.97
Thereof: Preference shares
Perpetual debts
Capital reserve 231,104,421.04 226,083,353.77
Less: treasury shares
Other comprehensive income 26,569,361.07 22,852,245.26
Specific reserve 29,240,552.96 29,243,725.77
Surplus reserve 300,522,057.11 300,522,057.11
General risk reserve
Retained earnings 1,615,918,840.17 1,536,091,897.65
Total equity attributable to shareholders of the Parent Company 3,258,008,213.62 3,169,446,787.53
Minority shareholder equity 171,667,113.87 177,109,905.85
Total shareholders’ equity 3,429,675,327.49 3,346,556,693.38
Total liabilities and shareholders’ equity 6,440,287,131.74 6,220,661,965.22
Legal representative: Deng Xijun; Director of Finance: Sun Zhiqiang
Person in Charge of the Accounting Department: Wang Peihua
(2) Balance Sheet of Parent Company
Unit: RMB
Item Jun 30, 2023 Jan 1, 2023
Current assets:
Cash at bank and on hand 84,931,589.73 558,638,558.10
Financial assets held for trading 1,011,906,398.83 1,067,854,254.08
Derivative financial assets
Bills receivable 174,908,602.94 247,221,244.29
Accounts receivable 887,302,419.31 799,216,696.68
43
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Financing receivables 205,396,155.39 89,925,115.89
Prepayments 156,301,285.73 110,843,454.45
Other receivables 26,294,387.53 22,537,149.02
Thereof: Interest receivable
Dividend receivable 2,601,281.28 2,601,281.28
Inventories 1,641,642,084.08 1,594,443,554.27
Contract assets 123,419,760.26 123,540,319.09
Assets held for sale
Non-current assets due within one year
Other current assets 447,294,983.03 14,227,088.07
Total current assets 4,759,397,666.83 4,628,447,433.94
Non-current assets:
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 754,155,471.19 740,518,264.70
Other equity instruments investments 27,117,364.10 27,117,364.10
Other non-current financial assets
Investment properties 5,944,677.48
Fixed assets 138,649,266.77 152,430,504.15
Construction in progress 29,530,193.57 21,429,854.11
Productive biological assets
Oil and gas assets
Right-of-use assets 441,271.74
Intangible assets 36,710,000.13 37,605,591.40
Development costs
Goodwill
Long-term deferred expenses 90,611.11 84,955.75
Deferred tax assets 26,243,067.38 24,220,711.41
Other non-current assets 25,001,599.00 11,463,555.05
Total non-current assets 1,043,442,250.73 1,015,312,072.41
Total assets 5,802,839,917.56 5,643,759,506.35
Current liabilities:
Short-term loans
44
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Financial liabilities held for trading
Derivative financial liabilities
Bills payable
Accounts payable 274,894,519.19 264,814,384.36
Advances from customers
Contract liabilities 1,338,316,025.81 1,571,364,637.48
Employee benefits payable 16,548,172.27 48,097,569.96
Taxes payable 17,495,217.63 37,236,011.40
Other payables 269,050,171.48 7,650,725.57
Thereof: Interest payable
Dividend payable 255,638,861.75
Liabilities held for sale
Non-current liabilities due within one year 1,042,865.60 802,551.69
Other current liabilities 144,549,270.59 104,756,129.31
Total current liabilities 2,061,896,242.57 2,034,722,009.77
Non-current liabilities:
Long-term loans
Bonds payable 423,845,436.08 415,824,511.11
Thereof: Preference shares
Perpetual debts
Lease liabilities
Long-term payable
Long-term employee benefits payable
Provisions 5,161,705.47 4,667,743.14
Deferred income 3,397,534.00 4,781,549.13
Deferred tax liabilities 7,726,389.89 7,845,349.86
Other non-current liabilities 166,485,187.30 117,066,270.00
Total non-current liabilities 606,616,252.74 550,185,423.24
Total liabilities 2,668,512,495.31 2,584,907,433.01
Shareholders’ equity：
Share capital 1,022,554,032.00 1,022,550,000.00
Other equity instruments 32,098,949.27 32,103,507.97
Thereof: Preference shares
Perpetual debts
45
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Capital reserve 230,675,311.31 225,950,067.05
Less: treasury shares
Other comprehensive income 8,629,274.95 7,976,982.26
Specific reserve 24,041,908.73 24,341,652.67
Surplus reserve 300,522,057.11 300,522,057.11
Retained earnings 1,515,805,888.88 1,445,407,806.28
Total shareholders’ equity 3,134,327,422.25 3,058,852,073.34
Total liabilities and shareholders’ equity 5,802,839,917.56 5,643,759,506.35
(3) Consolidated Income Statement
Unit: RMB
Item Current period Last period
1. Total revenue 1,389,350,667.84 1,028,107,177.93
Thereof : Operating revenue 1,389,350,667.84 1,028,107,177.93
2. Total cost 1,043,062,420.26 774,244,677.87
Thereof : cost of sales 869,840,136.63 634,720,902.68
Taxes and surcharges 7,330,079.02 10,405,504.70
Selling and distribution expenses 52,816,348.60 36,480,990.88
General and administrative expenses 41,113,212.92 56,426,605.54
Research and development expenses 73,437,581.30 39,782,927.29
Financial expenses -1,474,938.21 -3,572,253.22
Thereof : Interest expenses 5,531,999.41 672,000.80
Interest income 6,075,944.33 4,948,498.70
Add: Other income 50,787,697.07 29,814,352.11
Investment income (“-” for losses) 12,331,338.58 18,102,815.76
Thereof: Income from investment in associates and joint
3,584,211.64 7,913,264.64
ventures
Gain from derecognition of financial assets measured at
amortized cost
Exchange income (Loss is listed with “-”)
Net exposure hedging gains (“-” for losses)
Gains from changes in fair value (“-” for losses) 6,734,864.83 693,391.19
Credit impairment losses (“-” for losses) -11,275,967.78 4,998,212.24
Impairment losses (“-” for losses) -5,832,796.99 -6,020,200.38
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Gains from assets disposal (“-” for losses) -10,219.76 -89,024.87
3. Operating profit (“-” for losses) 399,023,163.53 301,362,046.11
Add: Non-operating income 6,863,341.54 1.73
Less: Non-operating expenses 435,318.13 35,306.08
4. Profit before income tax (“-” for losses) 405,451,186.94 301,326,741.76
Less: Income tax expenses 50,645,168.57 37,532,130.83
5. Net profit for the year (“-” for net losses) 354,806,018.37 263,794,610.93
(1) Classification according to operation continuity
Net profit from continuing operations(loss is stated with “-”) 354,806,018.37 263,794,610.93
Net profit from discontinued operations(loss is stated with “-”)
(2) Classified by ownership of the equity
Attributable to shareholders of the Parent Company 335,465,804.27 264,380,786.00
Minority interests 19,340,214.10 -586,175.07
6. Other comprehensive income, net of tax 3,717,115.81 -4,029,393.04
Other comprehensive income attributable to shareholders of the
3,717,115.81 -2,311,819.81
Parent Company, net of tax
(1) Other comprehensive income items which will not be
3,064,823.12
reclassified subsequently to profit or loss
1) Changes arising from re-measurement of defined
benefit plan
2) Other comprehensive income that will not be
transferred subsequently to profit or loss under the equity method
3) Changes in the fair value of the investment in other
3,064,823.12
equity instruments
4)Changes in the fair value of the Company’s own credit
risk
5)Others
(2) Other comprehensive income items which will be
652,292.69 -2,311,819.81
reclassified subsequently to profit or loss
1) Other comprehensive income that will be transferred
652,292.69
subsequently to profit or loss under the equity method
2)Changes in the fair value of other debt investments
3)Amount of financial assets reclassified and included in
other comprehensive income
4) Credit impairment reserves for other debt investment
5) Cash flow hedging reserve
6) Translation differences arising from translation of -2,311,819.81
47
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
foreign currency financial statements
7)Others
Other comprehensive income attributable to minority shareholders,
-1,717,573.23
net of tax
7. Total comprehensive income 358,523,134.18 259,765,217.89
Attributable to shareholders of the Parent Company 339,182,920.08 262,068,966.19
Minority interests 19,340,214.10 -2,303,748.30
8. Earnings per share
(1) Basic earnings per share 0.3281 0.2586
(2) Diluted earnings per share 0.3250 0.2586
Legal representative: Deng Xijun; Director of Finance: Sun Zhiqiang
Person in Charge of the Accounting Department: Wang Peihua
(4) Income Statement of Parent Company
Unit: RMB
Item Current period Last period
1. Operating revenue 1,262,152,551.33 941,991,481.19
Less: cost of sales 800,476,789.33 588,479,383.86
Taxes and surcharges 5,267,739.42 8,903,000.49
Selling and distribution expenses 46,607,590.11 34,170,418.05
General and administrative expenses 33,482,089.05 27,777,651.39
Research and development expenses 58,460,081.88 31,882,198.68
Financial expenses 2,058,109.94 -4,827,923.76
Thereof : Interest expenses 7,895,846.24 9,707.74
Interest income 5,992,683.58 4,915,799.72
Add: Other income 49,900,945.49 29,600,786.33
Investment income (“-” for losses) 11,967,188.24 17,639,956.12
Thereof: Income from investment in associates and joint
3,584,211.64 7,913,264.64
ventures
Gain from derecognition of financial assets measured at
amortized cost
Net exposure hedging gains (“-” for losses)
Gains from changes in fair value (“-” for losses) 6,243,208.73 608,109.84
Credit impairment losses (“-” for losses) -11,075,434.11 5,289,492.36
Impairment losses (“-” for losses) -4,890,836.10 -2,718,689.24
Gains from assets disposal (“-” for losses) -6,174.43 -124,663.52
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
2. Operating profit (“-” for losses) 367,939,049.42 305,901,744.37
Add: Non-operating income 6,817,070.17 1.15
Less: Non-operating expenses 63,638.24 20,302.22
3. Profit before income tax (“-” for losses) 374,692,481.35 305,881,443.30
Less: Income tax expenses 48,655,537.00 41,225,425.41
4. Net profit for the year (“-” for net losses) 326,036,944.35 264,656,017.89
Net profit from continuing operations (loss is stated with “-”) 326,036,944.35 264,656,017.89
Net profit from discontinued operations (loss is stated with “-”)
5. Other comprehensive income, net of tax 652,292.69 -524,141.55
(1) Other comprehensive income items which will not be
reclassified subsequently to profit or loss
1) Changes arising from remeasurement of defined
benefit plan
2) Other comprehensive income that will not be
transferred subsequently to profit or loss under the equity method
3) Changes in the fair value of the investment in other
equity instruments
4)Changes in the fair value of the Company’s own credit
risk
5)Others
(2) Other comprehensive income items which will be
652,292.69 -524,141.55
reclassified subsequently to profit or loss
1) Other comprehensive income that will be transferred
652,292.69
subsequently to profit or loss under the equity method
2)Changes in the fair value of other debt investments
3)Amount of financial assets reclassified and included in
other comprehensive income
4) Credit impairment reserves for other debt investment
5) Cash flow hedging reserve
6) Translation differences arising from translation of
-524,141.55
foreign currency financial statements
7)Others
6. Total comprehensive income 326,689,237.04 264,131,876.34
7. Earnings per share
(1) Basic earnings per share
(2) Diluted earnings per share
49
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
(5) Consolidated Cash Flow Statement
Unit: RMB
Item Current period Last period
1. Cash flows from operating activities
Cash received from sales of goods or rendering of services 1,011,319,548.55 1,087,371,067.68
Refund of taxes and surcharges 53,154,621.05 28,176,068.36
Other cash receipts relating to operating activities 16,229,141.38 8,801,935.01
Sub-total of cash inflows from operating activities 1,080,703,310.98 1,124,349,071.05
Cash paid for goods and services 698,219,411.67 552,625,962.57
Cash paid to employees and paid on behalf of employees 269,451,878.59 227,143,438.05
Payments of taxes and surcharges 145,552,493.27 124,830,966.71
Other cash payments relating to operating activities 80,756,301.44 47,574,694.72
Sub-total of cash outflows from operating activities 1,193,980,084.97 952,175,062.05
Net cash flows from operating activities -113,276,773.99 172,174,009.00
2. Cash flows from investing activities
Cash received from withdrawing investments 2,671,947,000.00 1,423,456,384.65
Cash received from investment income 12,690,148.98 25,836,070.85
Net cash received from disposal of fixed assets, intangible
71,577.37 86,841.10
assets and other long term assets
Net cash received from disposal of subsidiaries and other
operating units
Other cash receipts relating to investing activities 653,071.00
Sub-total of cash inflows from investing activities 2,685,361,797.35 1,449,379,296.60
Cash paid to acquire fixed assets, intangible assets and other
50,657,542.50 10,091,182.49
long-term assets
Cash paid to acquire investments 2,987,517,000.00 1,058,410,000.00
Net increase of mortgaged loans
Net cash paid to acquire subsidiaries and other operating units
Other cash payments relating to investing activities
Sub-total of cash outflows from investing activities 3,038,174,542.50 1,068,501,182.49
Net cash flows from investing activities -352,812,745.15 380,878,114.11
3. Cash flows from financing activities
Cash received from capital contributions 750,000.00
Thereof: Cash received by subsidiaries from minority
750,000.00
shareholders’ capital contributions
50
HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Cash received from borrowings 14,930,000.00 28,830,000.00
Other cash receipts from financing activities
Sub-total of cash inflows from financing activities 15,680,000.00 28,830,000.00
Cash repayments of borrowings 23,130,000.00 32,130,000.00
Distribution of dividends or profits and payments for interest
322,331.94 256,234,892.33
expenses
Thereof: Cash payments for dividends or profit to minority
shareholders by subsidiaries
Other cash payments relating to financing activities 14,451,694.72 1,060,994.50
Sub-total of cash outflows from financing activities 37,904,026.66 289,425,886.83
Net cash flows from financing activities -22,224,026.66 -260,595,886.83
4. Effect of foreign exchange rate changes on cash and cash
1,179,500.90 922,452.27
equivalents
5. Net increase in cash and cash equivalents -487,134,044.90 293,378,688.55
Add: Cash and cash equivalents at the beginning of period 656,593,226.15 290,330,558.56
6. Cash and cash equivalents at the end of period 169,459,181.25 583,709,247.11
Legal representative: Deng Xijun; Director of Finance: Sun Zhiqiang
Person in Charge of the Accounting Department: Wang Peihua
(6) Cash Flow Statement of Parent Company
Unit: RMB
Item Current period Last period
1. Cash flows from operating activities
Cash received from sales of goods or rendering of services 862,024,761.46 944,606,308.01
Refund of taxes and surcharges 51,764,542.33 24,908,877.27
Other cash receipts relating to operating activities 13,583,289.05 6,920,097.79
Sub-total of cash inflows from operating activities 927,372,592.84 976,435,283.07
Cash paid for goods and services 742,843,537.79 500,875,979.72
Cash paid to employees and paid on behalf of employees 109,195,792.34 130,471,617.02
Payments of taxes and surcharges 107,762,891.51 115,637,958.66
Other cash payments relating to operating activities 59,787,937.50 28,383,872.04
Sub-total of cash outflows from operating activities 1,019,590,159.14 775,369,427.44
Net cash flows from operating activities -92,217,566.30 201,065,855.63
2. Cash flows from investing activities
Cash received from withdrawing investments 2,234,212,000.00 1,302,165,929.92
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HARBIN BOSHI AUTOMATION CO., LTD. Semi-Annual Report 2023(Abstract）
Cash received from investment income 11,164,882.38 25,622,816.62
Net cash received from disposal of fixed assets, intangible
23,789.76 192,841.10
assets and other long term assets
Net cash received from disposal of subsidiaries and other
operating units
Other cash receipts relating to investing activities 193,071.00
Sub-total of cash inflows from investing activities 2,245,593,743.14 1,327,981,587.64
Cash paid to acquire fixed assets, intangible assets and other
16,012,050.17 4,058,395.96
long-term assets
Cash paid to acquire investments 2,608,907,000.00 977,800,000.00
Net cash paid to acquire subsidiaries and other operating units
Other cash payments relating to investing activities 2,130,000.00 2,800,000.00
Sub-total of cash outflows from investing activities 2,627,049,050.17 984,658,395.96
Net cash flows from investing activities -381,455,307.03 343,323,191.68
3. Cash flows from financing activities
Cash received from capital contributions
Cash received from borrowings 5,000,000.00
Other cash receipts from financing activities
Sub-total of cash inflows from financing activities 5,000,000.00
Cash repayments of borrowings
Distribution of dividends or profits and payments for interest
255,637,500.00
expenses
Other cash payments relating to financing activities 9,707.74
Sub-total of cash outflows from financing activities 255,647,207.74
Net cash flows from financing activities -250,647,207.74
4. Effect of foreign exchange rate changes on cash and cash
-27,295.04 10,431.96
equivalents
5. Net increase in cash and cash equivalents -473,700,168.37 293,752,271.53
Add: Cash and cash equivalents at the beginning of period 558,631,758.10 231,342,219.86
6. Cash and cash equivalents at the end of period 84,931,589.73 525,094,491.39
Board of Directors of HARBIN BOSHI AUTOMATION CO., LTD.
August 30th, 2023
52
