ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
SHENZHEN PROPERTIES & RESOURCES DEVELOPMENT (GROUP) LTD.
SEMIANNUAL FINANCIAL REPORT 2021
August 2021
1
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Financial Statements
I. Auditor’s Report
Whether the interim report has been audited?
□Yes √ No
The interim report of the Company has not been audited.
II Financial Statements
Currency unit for the financial statements and the notes thereto: RMB
1. Consolidated Balance Sheet
Prepared by Shenzhen Properties & Resources Development (Group) Ltd.
30 June 2021
Unit: RMB
Item 30 June 2021 31 December 2020
Current assets:
Monetary assets 4,971,044,275.19 4,206,266,629.32
Settlement reserve
Interbank loans granted
Held-for-trading financial assets
Derivative financial assets
Notes receivable
Accounts receivable 259,902,999.98 187,697,631.47
Accounts receivable financing
Prepayments 76,289,066.66 50,543,422.85
Premiums receivable
Reinsurance receivables
Receivable reinsurance contract
reserve
Other receivables 803,760,748.21 789,050,350.51
Including: Interest receivable
Dividends receivable
Financial assets purchased under
resale agreements
Inventories 5,289,628,100.91 5,312,489,258.20
Contract assets
2
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Assets held for sale
Current portion of non-current
assets
Other current assets 46,905,197.98 48,991,965.92
Total current assets 11,447,530,388.93 10,595,039,258.27
Non-current assets:
Loans and advances to customers
Investments in debt obligations
Investments in other debt
obligations
Long-term receivables
Long-term equity investments 48,928,703.96 45,710,220.79
Investments in other equity
773,704.00 1,044,905.12
instruments
Other non-current financial assets
Investment property 467,004,332.18 484,738,506.83
Fixed assets 108,878,082.57 116,233,936.04
Construction in progress
Productive living assets
Oil and gas assets
Right-of-use assets 12,757,538.12
Intangible assets 372,891.57 482,049.51
Development costs
Goodwill
Long-term prepaid expense 18,031,872.52 11,862,716.14
Deferred income tax assets 1,176,247,431.17 950,681,245.50
Other non-current assets 3,155,763.35 1,564,074.34
Total non-current assets 1,836,150,319.44 1,612,317,654.27
Total assets 13,283,680,708.37 12,207,356,912.54
Current liabilities:
Short-term borrowings
Borrowings from the central bank
Interbank loans obtained
Held-for-trading financial
liabilities
3
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Derivative financial liabilities
Notes payable
Accounts payable 365,584,409.13 468,269,685.65
Advances from customers 774,178.01 473,274.48
Contract liabilities 853,367,394.63 666,893,629.72
Financial assets sold under
repurchase agreements
Customer deposits and interbank
deposits
Payables for acting trading of
securities
Payables for underwriting of
securities
Employee benefits payable 151,760,471.00 177,190,197.36
Taxes payable 2,996,938,696.81 2,487,212,979.37
Other payables 910,365,884.66 847,142,613.09
Including: Interest payable
Dividends payable 12,202,676.04 12,202,676.04
Handling charges and commissions
payable
Reinsurance payables
Liabilities directly associated with
assets held for sale
Current portion of non-current
67,002,418.07 36,722,824.88
liabilities
Other current liabilities 53,141,477.75 43,354,691.51
Total current liabilities 5,398,934,930.06 4,727,259,896.06
Non-current liabilities:
Insurance contract reserve
Long-term borrowings 3,556,900,000.00 3,587,800,000.00
Bonds payable
Including: Preferred shares
Perpetual bonds
Lease liabilities 13,025,535.53
Long-term payables
Long-term employee benefits
4
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
payable
Provisions 2,396,947.00 2,396,947.00
Deferred income
Deferred income tax liabilities 262.20 262.20
Other non-current liabilities 107,705,623.13 108,778,327.45
Total non-current liabilities 3,680,028,367.86 3,698,975,536.65
Total liabilities 9,078,963,297.92 8,426,235,432.71
Owners’ equity:
Share capital 595,979,092.00 595,979,092.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserves 80,488,045.38 80,488,045.38
Less: Treasury stock
Other comprehensive income -7,568,287.02 -6,749,589.41
Specific reserve
Surplus reserves 19,205,979.63 19,205,979.63
General reserve
Retained earnings 3,471,018,008.46 3,038,993,912.43
Total equity attributable to owners of
4,159,122,838.45 3,727,917,440.03
the Company as the parent
Non-controlling interests 45,594,572.00 53,204,039.80
Total owners’ equity 4,204,717,410.45 3,781,121,479.83
Total liabilities and owners’ equity 13,283,680,708.37 12,207,356,912.54
Legal representative: Liu Shengxiang Head of financial affairs: Cai Lili
Head of the financial department: Liu Qiang
2. Balance Sheet of the Company as the Parent
Unit: RMB
Item 30 June 2021 31 December 2020
Current assets:
Monetary assets 4,143,883,323.31 3,216,703,036.69
Held-for-trading financial assets
Derivative financial assets
Notes receivable
Accounts receivable 4,016,091.60 2,624,500.42
5
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Accounts receivable financing
Prepayments
Other receivables 151,322,779.82 145,325,697.20
Including: Interest receivable
Dividends receivable
Inventories 672,995,461.91 653,885,107.24
Contract assets
Assets held for sale
Current portion of non-current
assets
Other current assets 707,120.69 496,729.09
Total current assets 4,972,924,777.33 4,019,035,070.64
Non-current assets:
Investments in debt obligations
Investments in other debt
obligations
Long-term receivables
Long-term equity investments 1,074,394,584.35 1,071,176,101.18
Investments in other equity
1,004,204.00 1,275,405.12
instruments
Other non-current financial assets
Investment property 293,970,461.86 303,827,356.62
Fixed assets 45,039,336.62 51,091,963.72
Construction in progress
Productive living assets
Oil and gas assets
Right-of-use assets 571,634.82
Intangible assets
Development costs
Goodwill
Long-term prepaid expense 345,951.87 432,440.01
Deferred income tax assets 234,028,529.09 252,331,518.26
Other non-current assets 1,472,158,735.58 1,197,407,234.55
Total non-current assets 3,121,513,438.19 2,877,542,019.46
Total assets 8,094,438,215.52 6,896,577,090.10
6
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Current liabilities:
Short-term borrowings
Held-for-trading financial
liabilities
Derivative financial liabilities
Notes payable
Accounts payable 40,598,549.34 55,887,947.36
Advances from customers
Contract liabilities
Employee benefits payable 37,792,796.89 50,710,148.02
Taxes payable 6,595,622.40 3,736,082.67
Other payables 5,360,767,700.92 3,971,988,862.11
Including: Interest payable
Dividends payable 29,642.40 29,642.40
Liabilities directly associated with
assets held for sale
Current portion of non-current
62,302,868.06 31,573,154.86
liabilities
Other current liabilities
Total current liabilities 5,508,057,537.61 4,113,896,195.02
Non-current liabilities:
Long-term borrowings 557,400,000.00 588,200,000.00
Bonds payable
Including: Preferred shares
Perpetual bonds
Lease liabilities 581,842.65
Long-term payables
Long-term employee benefits
payable
Provisions
Deferred income
Deferred income tax liabilities
Other non-current liabilities 40,000,000.00 40,000,000.00
Total non-current liabilities 597,981,842.65 628,200,000.00
Total liabilities 6,106,039,380.26 4,742,096,195.02
7
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Owners’ equity:
Share capital 595,979,092.00 595,979,092.00
Other equity instruments
Including: Preferred shares
Perpetual bonds
Capital reserves 53,876,380.11 53,876,380.11
Less: Treasury stock
Other comprehensive income -2,810,709.64 -2,545,451.19
Specific reserve
Surplus reserves 19,205,979.63 19,205,979.63
Retained earnings 1,322,148,093.16 1,487,964,894.53
Total owners’ equity 1,988,398,835.26 2,154,480,895.08
Total liabilities and owners’ equity 8,094,438,215.52 6,896,577,090.10
3. Consolidated Income Statement
Unit: RMB
Item H1 2021 H1 2020
1. Revenue 2,540,865,139.25 1,421,077,767.83
Including: Operating revenue 2,540,865,139.25 1,421,077,767.83
Interest income
Insurance premium
income
Handling charge and
commission income
2. Costs and expenses 1,684,718,695.80 1,159,861,807.33
Including: Cost of sales 754,285,026.24 611,694,943.80
Interest expense
Handling charge and
commission expense
Surrenders
Net insurance claims paid
Net amount provided as
insurance contract reserve
Expenditure on policy
dividends
Reinsurance premium
expense
8
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Taxes and surcharges 813,982,050.89 394,743,480.61
Selling expense 10,417,216.57 11,544,060.19
Administrative expense 104,914,523.61 88,433,004.35
R&D expense
Finance costs 1,119,878.49 53,446,318.38
Including: Interest
38,497,817.45 84,859,496.80
expense
Interest
38,205,027.20 31,227,361.24
income
Add: Other income 2,403,691.80 2,921,993.51
Return on investment (“-” for
3,218,483.17 157,061.79
loss)
Including: Share of profit or
3,218,483.17 157,061.79
loss of joint ventures and associates
Income from the
derecognition of financial assets at
amortized cost (“-” for loss)
Exchange gain (“-” for loss)
Net gain on exposure hedges (“-”
for loss)
Gain on changes in fair value
(“-” for loss)
Credit impairment loss (“-” for
-6,797,536.40 1,115,927.46
loss)
Asset impairment loss (“-” for
-33,715.66 1,832.91
loss)
Asset disposal income (“-” for
loss)
3. Operating profit (“-” for loss) 854,937,366.36 265,412,776.17
Add: Non-operating income 9,872,472.19 4,244,175.90
Less: Non-operating expense 1,940,268.55 2,399,487.70
4. Profit before tax (“-” for loss) 862,869,570.00 267,257,464.37
Less: Income tax expense 194,243,514.06 89,394,015.71
5. Net profit (“-” for net loss) 668,626,055.94 177,863,448.66
5.1 By operating continuity
5.1.1 Net profit from continuing
668,626,055.94 177,863,448.66
operations (“-” for net loss)
9
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
5.1.2 Net profit from discontinued
operations (“-” for net loss)
5.2 By ownership
5.2.1 Net profit attributable to
676,375,523.75 211,967,734.76
owners of the Company as the parent
5.2.1 Net profit attributable to
-7,749,467.81 -34,104,286.10
non-controlling interests
6. Other comprehensive income, net of
-818,697.61 576,865.34
tax
Attributable to owners of the
-818,697.61 576,865.34
Company as the parent
6.1 Items that will not be
-265,258.45 -455,146.16
reclassified to profit or loss
6.1.1 Changes caused by
remeasurements on defined benefit
schemes
6.1.2 Other comprehensive
income that will not be reclassified to
profit or loss under the equity method
6.1.3 Changes in the fair value
of investments in other equity -265,258.45 -455,146.16
instruments
6.1.4 Changes in the fair value
arising from changes in own credit risk
6.1.5 Other
6.2 Items that will be reclassified
-553,439.16 1,032,011.50
to profit or loss
6.2.1 Other comprehensive
income that will be reclassified to
profit or loss under the equity method
6.2.2 Changes in the fair value
of investments in other debt obligations
6.2.3 Other comprehensive
income arising from the reclassification
of financial assets
6.2.4 Credit impairment
allowance for investments in other debt
obligations
6.2.5 Reserve for cash flow
10
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
hedges
6.2.6 Differences arising from
the translation of foreign
-553,439.16 1,032,011.50
currency-denominated financial
statements
6.2.7 Other
Attributable to non-controlling
interests
7. Total comprehensive income 667,807,358.33 178,440,314.00
Attributable to owners of the
675,556,826.14 212,544,600.10
Company as the parent
Attributable to non-controlling
-7,749,467.81 -34,104,286.10
interests
8. Earnings per share
8.1 Basic earnings per share 1.1349 0.3557
8.2 Diluted earnings per share 1.1349 0.3557
Where business combinations under common control occurred in the Current Period, the net profit achieved by the acquirees before
the combinations was RMB0.00, with the amount for the same period of last year being RMB0.00.
Legal representative: Liu Shengxiang Head of financial affairs: Cai Lili
Head of the financial department: Liu Qiang
4. Income Statement of the Company as the Parent
Unit: RMB
Item H1 2021 H1 2020
1. Operating revenue 42,300,895.35 25,828,330.02
Less: Cost of sales 18,650,836.30 15,835,977.53
Taxes and surcharges 3,067,936.60 6,073,285.87
Selling expense 427,076.97 596,897.00
Administrative expense 35,663,070.91 31,193,084.64
R&D expense
Finance costs -18,675,114.65 -27,995,222.26
Including: Interest expense 12,722,639.32 3,075,551.11
Interest income -32,650,270.94 -29,309,100.65
Add: Other income 102,972.08
Return on investment (“-” for
63,037,324.89 62,573,990.52
loss)
Including: Share of profit or
3,218,483.17 157,061.79
loss of joint ventures and associates
11
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Income from the
derecognition of financial assets at
amortized cost (“-” for loss)
Net gain on exposure hedges
(“-” for loss)
Gain on changes in fair value
(“-” for loss)
Credit impairment loss (“-” for
-279,188.00 86,608.96
loss)
Asset impairment loss (“-” for
loss)
Asset disposal income (“-” for
loss)
2. Operating profit (“-” for loss) 66,028,198.19 62,784,906.72
Add: Non-operating income 7,173,820.40 536,196.80
Less: Non-operating expense 269.72 2,138,000.00
3. Profit before tax (“-” for loss) 73,201,748.87 61,183,103.52
Less: Income tax expense -5,332,877.48 36,318,902.50
4. Net profit (“-” for net loss) 78,534,626.35 24,864,201.02
4.1 Net profit from continuing
78,534,626.35 24,864,201.02
operations (“-” for net loss)
4.2 Net profit from discontinued
operations (“-” for net loss)
5. Other comprehensive income, net
-265,258.45 -455,146.16
of tax
5.1 Items that will not be
-265,258.45 -455,146.16
reclassified to profit or loss
5.1.1 Changes caused by
remeasurements on defined benefit
schemes
5.1.2 Other comprehensive
income that will not be reclassified to
profit or loss under the equity method
5.1.3 Changes in the fair value
of investments in other equity -265,258.45 -455,146.16
instruments
5.1.4 Changes in the fair value
arising from changes in own credit
12
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
risk
5.1.5 Other
5.2 Items that will be reclassified
to profit or loss
5.2.1 Other comprehensive
income that will be reclassified to
profit or loss under the equity method
5.2.2 Changes in the fair value
of investments in other debt
obligations
5.2.3 Other comprehensive
income arising from the
reclassification of financial assets
5.2.4 Credit impairment
allowance for investments in other
debt obligations
5.2.5 Reserve for cash flow
hedges
5.2.6 Differences arising from
the translation of foreign
currency-denominated financial
statements
5.2.7 Other
6. Total comprehensive income 78,269,367.90 24,409,054.86
7. Earnings per share
7.1 Basic earnings per share 0.1318 0.0417
7.2 Diluted earnings per share 0.1318 0.0417
5. Consolidated Cash Flow Statement
Unit: RMB
Item H1 2021 H1 2020
1. Cash flows from operating
activities:
Proceeds from sale of commodities
2,802,854,649.31 1,233,830,460.59
and rendering of services
Net increase in customer deposits
and interbank deposits
Net increase in borrowings from
the central bank
13
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Net increase in loans from other
financial institutions
Premiums received on original
insurance contracts
Net proceeds from reinsurance
Net increase in deposits and
investments of policy holders
Interest, handling charges and
commissions received
Net increase in interbank loans
obtained
Net increase in proceeds from
repurchase transactions
Net proceeds from acting trading
of securities
Tax rebates 27,937,190.49 11,517,514.19
Cash generated from other
162,625,100.47 333,720,016.38
operating activities
Subtotal of cash generated from
2,993,416,940.27 1,579,067,991.16
operating activities
Payments for commodities and
531,366,744.46 879,596,446.23
services
Net increase in loans and advances
to customers
Net increase in deposits in the
central bank and in interbank loans
granted
Payments for claims on original
insurance contracts
Net increase in interbank loans
granted
Interest, handling charges and
commissions paid
Policy dividends paid
Cash paid to and for employees 360,587,894.53 330,739,905.05
Taxes paid 889,369,176.15 1,900,688,223.09
Cash used in other operating
74,522,344.40 91,225,555.69
activities
14
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Subtotal of cash used in operating
1,855,846,159.54 3,202,250,130.06
activities
Net cash generated from/used in
1,137,570,780.73 -1,623,182,138.90
operating activities
2. Cash flows from investing
activities:
Proceeds from disinvestment
Return on investment
Net proceeds from the disposal of
fixed assets, intangible assets and 26,112.57 4,408.08
other long-lived assets
Net proceeds from the disposal of
subsidiaries and other business units
Cash generated from other
investing activities
Subtotal of cash generated from
26,112.57 4,408.08
investing activities
Payments for the acquisition of
fixed assets, intangible assets and 12,894,532.84 16,277,097.63
other long-lived assets
Payments for investments
Net increase in pledged loans
granted
Net payments for the acquisition of
465,807,569.82
subsidiaries and other business units
Cash used in other investing
activities
Subtotal of cash used in investing
12,894,532.84 482,084,667.45
activities
Net cash generated from/used in
-12,868,420.27 -482,080,259.37
investing activities
3. Cash flows from financing
activities:
Capital contributions received 140,000.00 840,000.00
Including: Capital contributions
by non-controlling interests to 140,000.00 840,000.00
subsidiaries
Borrowings raised 2,172,000,000.00
15
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Cash generated from other
financing activities
Subtotal of cash generated from
140,000.00 2,172,840,000.00
financing activities
Repayment of borrowings 100,000.00 1,033,000.00
Interest and dividends paid 339,037,821.33 296,891,168.14
Including: Dividends paid by
subsidiaries to non-controlling
interests
Cash used in other financing
activities
Subtotal of cash used in financing
339,137,821.33 297,924,168.14
activities
Net cash generated from/used in
-338,997,821.33 1,874,915,831.86
financing activities
4. Effect of foreign exchange rates
-569,806.99 1,071,103.91
changes on cash and cash equivalents
5. Net increase in cash and cash
785,134,732.14 -229,275,462.50
equivalents
Add: Cash and cash equivalents,
4,168,154,911.83 3,285,345,233.47
beginning of the period
6. Cash and cash equivalents, end of
4,953,289,643.97 3,056,069,770.97
the period
6. Cash Flow Statement of the Company as the Parent
Unit: RMB
Item H1 2021 H1 2020
1. Cash flows from operating
activities:
Proceeds from sale of commodities
32,652,425.50 16,901,714.03
and rendering of services
Tax rebates 23,635,866.65
Cash generated from other
1,569,362,437.20 1,354,954,984.16
operating activities
Subtotal of cash generated from
1,625,650,729.35 1,371,856,698.19
operating activities
Payments for commodities and
40,183,727.21 34,769,898.91
services
Cash paid to and for employees 30,961,214.02 22,444,977.67
16
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Taxes paid 8,196,879.55 1,278,080,688.35
Cash used in other operating
125,972,788.21 831,802,326.79
activities
Subtotal of cash used in operating
205,314,608.99 2,167,097,891.72
activities
Net cash generated from/used in
1,420,336,120.36 -795,241,193.53
operating activities
2. Cash flows from investing
activities:
Proceeds from disinvestment 565,000,000.00
Return on investment
Net proceeds from the disposal of
fixed assets, intangible assets and 2,344.57 3,955.86
other long-lived assets
Net proceeds from the disposal of
subsidiaries and other business units
Cash generated from other
investing activities
Subtotal of cash generated from
2,344.57 565,003,955.86
investing activities
Payments for the acquisition of
fixed assets, intangible assets and 6,654,920.76 14,226,899.52
other long-lived assets
Payments for investments 209,000,000.00
Net payments for the acquisition of
465,807,569.82
subsidiaries and other business units
Cash used in other investing
activities
Subtotal of cash used in investing
215,654,920.76 480,034,469.34
activities
Net cash generated from/used in
-215,652,576.19 84,969,486.52
investing activities
3. Cash flows from financing
activities:
Capital contributions received
Borrowings raised 616,000,000.00
Cash generated from other
financing activities
17
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Subtotal of cash generated from
616,000,000.00
financing activities
Repayment of borrowings
Interest and dividends paid 257,143,626.33 216,929,035.34
Cash used in other financing
activities
Subtotal of cash used in financing
257,143,626.33 216,929,035.34
activities
Net cash generated from/used in
-257,143,626.33 399,070,964.66
financing activities
4. Effect of foreign exchange rates
-2,544.95 4,949.10
changes on cash and cash equivalents
5. Net increase in cash and cash
947,537,372.89 -311,195,793.25
equivalents
Add: Cash and cash equivalents,
3,190,160,215.19 2,450,935,673.17
beginning of the period
6. Cash and cash equivalents, end of
4,137,697,588.08 2,139,739,879.92
the period
7. Consolidated Statements of Changes in Owners’ Equity
H1 2021
Unit: RMB
H1 2021
Equity attributable to owners of the Company as the parent
Other equity Othe
Non Tota
instruments Less r
-con l
Item Sha Capi : com Spec Surp Gen Reta
trolli own
Pre Per
re tal Trea preh ific lus eral ined Othe Subt
ng ers’
fer pet
cap Ot reser sury ensi reser reser reser earni r otal
red ual inter equit
ital her ves stoc ve ve ves ve ngs
sha bo ests y
k inco
res nds
me
1. Balance as 595
80,4 -6,7 19,2 3,03 3,72 53,2 3,78
at the end of ,97
88,0 49,5 05,9 8,99 7,91 04,0 1,12
the Reporting 9,0
45.3 89.4 79.6 3,91 7,44 39.8 1,47
Period of the 92.
8 1 3 2.43 0.03 0 9.83
prior year 00
Add:
Adjustment
for change in
18
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
accounting
policy
Adjustment
for correction
of previous
error
Adjustment
for business
combination
under
common
control
Other
adjustments
2. Balance as
595
at the 80,4 -6,7 19,2 3,03 3,72 53,2 3,78
,97
beginning of 88,0 49,5 05,9 8,99 7,91 04,0 1,12
9,0
the Reporting 45.3 89.4 79.6 3,91 7,44 39.8 1,47
92.
Period of the 8 1 3 2.43 0.03 0 9.83
00
year
3. Increase/
432, 431, -7,6 423,
decrease in -818
024, 205, 09,4 595,
the period ,697.
096. 398. 67.8 930.
(“-” for 61
03 42 0 62
decrease)
676, 675, -7,7 667,
3.1 Total -818
375, 556, 49,4 807,
comprehensiv ,697.
523. 826. 67.8 358.
e income 61
75 14 0 34
3.2 Capital
140, 140,
increased and
000. 000.
reduced by
00 00
owners
3.2.1
Ordinary 140, 140,
shares 000. 000.
increased by 00 00
owners
3.2.2
Capital
increased by
holders of
19
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
other equity
instruments
3.2.3
Share-based
payments
included in
owners’
equity
3.2.4
Other
-244 -244 -244
3.3 Profit ,351, ,351, ,351,
distribution 427. 427. 427.
72 72 72
3.3.1
Appropriation
to surplus
reserves
3.3.2
Appropriation
to general
reserve
3.3.3 -244 -244 -244
Appropriation ,351, ,351, ,351,
to owners (or 427. 427. 427.
shareholders) 72 72 72
3.3.4
Other
3.4
Transfers
within
owners’
equity
3.4.1
Increase in
capital (or
share capital)
from capital
reserves
3.4.2
Increase in
20
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
capital (or
share capital)
from surplus
reserves
3.4.3
Loss offset by
surplus
reserves
3.4.4
Changes in
defined
benefit
schemes
transferred to
retained
earnings
3.4.5
Other
comprehensiv
e income
transferred to
retained
earnings
3.4.6
Other
3.5
Specific
reserve
3.5.1
Increase in
the period
3.5.2
Used in the
period
3.6 Other
595
80,4 -7,5 19,2 3,47 4,15 45,5 4,20
4. Balance as ,97
88,0 68,2 05,9 1,01 9,12 94,5 4,71
at the end of 9,0
45.3 87.0 79.6 8,00 2,83 72.0 7,41
the period 92.
8 2 3 8.46 8.45 0 0.45
00
H1 2020
21
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Unit: RMB
H1 2020
Equity attributable to owners of the Company as the parent
Other equity
Othe
instruments
Less r Non- Total
Pr Pe contr owne
Item Sha Capi : com Spec Surp Gen Reta
efe rpe olling rs’
re tal Trea preh ific lus eral ined Othe Subt
rre tua intere equit
cap Oth reser sury ensi reser reser reser earni r otal
d l sts y
ital er ves stoc ve ve ves ve ngs
sh bo
k inco
are nd
me
s s
1. Balance as 595
80,4 -2,6 17,0 2,45 3,14 3,266
at the end of ,97 118,6
88,0 98,3 60,4 7,11 7,94 ,567,
the Reporting 9,0 18,29
45.3 71.4 48.0 9,79 9,00 301.1
Period of the 92. 1.81
8 4 5 5.39 9.38 9
prior year 00
Add:
Adjustment
for change in
accounting
policy
Adjustment
for correction
of previous
error
Adjustment
for business
combination
under
common
control
Other
adjustments
2. Balance as 595
80,4 -2,6 17,0 2,45 3,14 3,266
at the ,97 118,6
88,0 98,3 60,4 7,11 7,94 ,567,
beginning of 9,0 18,29
45.3 71.4 48.0 9,79 9,00 301.1
the Reporting 92. 1.81
8 4 5 5.39 9.38 9
Period of the 00
22
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
year
3. Increase/
-2,5 -2,0
decrease in 576, -33,2 -35,2
84,7 07,8
the period 865. 64,28 72,15
38.3 73.0
(“-” for 34 6.10 9.12
6 2
decrease)
211, 212,
3.1 Total 576, -34,1 178,4
967, 544,
comprehensi 865. 04,28 40,31
734. 600.
ve income 34 6.10 4.00
76 10
3.2 Capital
increased and 840,0 840,0
reduced by 00.00 00.00
owners
3.2.1
Ordinary
840,0 840,0
shares
00.00 00.00
increased by
owners
3.2.2
Capital
increased by
holders of
other equity
instruments
3.2.3
Share-based
payments
included in
owners’
equity
3.2.4
Other
-214 -214
-214,
3.3 Profit ,552, ,552
552,4
distribution 473. ,473
73.12
12 .12
3.3.1
Appropriatio
n to surplus
reserves
23
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
3.3.2
Appropriatio
n to general
reserve
3.3.3
-214 -214
Appropriatio -214,
,552, ,552
n to owners 552,4
473. ,473
(or 73.12
12 .12
shareholders)
3.3.4
Other
3.4
Transfers
within
owners’
equity
3.4.1
Increase in
capital (or
share capital)
from capital
reserves
3.4.2
Increase in
capital (or
share capital)
from surplus
reserves
3.4.3
Loss offset
by surplus
reserves
3.4.4
Changes in
defined
benefit
schemes
transferred to
retained
earnings
3.4.5
Other
24
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
comprehensi
ve income
transferred to
retained
earnings
3.4.6
Other
3.5
Specific
reserve
3.5.1
Increase in
the period
3.5.2
Used in the
period
3.6 Other
595
80,4 -2,1 17,0 2,45 3,14 3,231
4. Balance as ,97 85,35
88,0 21,5 60,4 4,53 5,94 ,295,
at the end of 9,0 4,005
45.3 06.1 48.0 5,05 1,13 142.0
the period 92. .71
8 0 5 7.03 6.36 7
00
8. Statements of Changes in Owners’ Equity of the Company as the Parent
H1 2021
Unit: RMB
H1 2021
Other equity Other
instruments Capita Less: compr Specifi Surplu Retai
Share Total
Item l Treasu ehensi c s ned
Prefe Perp
capit Other owners’
rred etual Othe reserv ry ve reserv reserv earni
al equity
share bond r es stock incom e es ngs
s s e
1. Balance as
1,48
at the end of 595,9 53,876 19,205
-2,545, 7,96 2,154,48
the Reporting 79,09 ,380.1 ,979.6
451.19 4,89 0,895.08
Period of the 2.00 1 3
4.53
prior year
Add:
Adjustment
for change in
25
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
accounting
policy
Adjustment
for correction
of previous
error
Other
adjustments
2. Balance as
at the 1,48
595,9 53,876 19,205
beginning of -2,545, 7,96 2,154,48
79,09 ,380.1 ,979.6
the Reporting 451.19 4,89 0,895.08
2.00 1 3
Period of the 4.53
year
3. Increase/ -165,
decrease in the -265,2 816, -166,082
period (“-” for 58.45 801. ,059.82
decrease) 37
78,5
3.1 Total
-265,2 34,6 78,269,3
comprehensive
58.45 26.3 67.90
income
5
3.2 Capital
increased and
reduced by
owners
3.2.1
Ordinary
shares
increased by
owners
3.2.2
Capital
increased by
holders of
other equity
instruments
3.2.3
Share-based
payments
included in
26
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
owners’ equity
3.2.4
Other
-244,
3.3 Profit 351, -244,351
distribution 427. ,427.72
72
3.3.1
Appropriation
to surplus
reserves
3.3.2
Appropriation
to owners (or
shareholders)
-244,
3.3.3 351, -244,351
Other 427. ,427.72
72
3.4
Transfers
within owners’
equity
3.4.1
Increase in
capital (or
share capital)
from capital
reserves
3.4.2
Increase in
capital (or
share capital)
from surplus
reserves
3.4.3
Loss offset by
surplus
reserves
3.4.4
Changes in
27
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
defined benefit
schemes
transferred to
retained
earnings
3.4.5
Other
comprehensive
income
transferred to
retained
earnings
3.4.6
Other
3.5 Specific
reserve
3.5.1
Increase in the
period
3.5.2
Used in the
period
3.6 Other
1,32
4. Balance as 595,9 53,876 19,205
-2,810, 2,14 1,988,39
at the end of 79,09 ,380.1 ,979.6
709.64 8,09 8,835.26
the period 2.00 1 3
3.16
H1 2020
Unit: RMB
H1 2020
Other equity
Other
instruments
Shar Capit Less: compr Surpl Retaine
Pref Specifi Total
Item e al Treas ehensi us d
Perp
erre c Other owners’
capit etual Othe reserv ury ve reserv earning
d reserve equity
al bon r es stock incom es s
shar
ds e
es
1. Balance as
595, 53,87 -2,051 16,40 1,677,2
at the end of 2,341,50
979, 6,380. ,268.2 3,637 96,289.
the Reporting 4,130.94
092. 11 4 .61 46
Period of the
28
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
prior year 00
Add:
Adjustment
for change in
accounting
policy
Adjustment
for correction
of previous
error
Other
adjustments
2. Balance as
at the 595,
53,87 -2,051 16,40 1,677,2
beginning of 979, 2,341,50
6,380. ,268.2 3,637 96,289.
the Reporting 092. 4,130.94
11 4 .61 46
Period of the 00
year
3. Increase/
decrease in -189,68
-455,1 -190,143,
the period 8,272.1
46.16 418.26
(“-” for 0
decrease)
3.1 Total
-455,1 24,864, 24,409,0
comprehensiv
46.16 201.02 54.86
e income
3.2 Capital
increased and
reduced by
owners
3.2.1
Ordinary
shares
increased by
owners
3.2.2
Capital
increased by
holders of
other equity
29
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
instruments
3.2.3
Share-based
payments
included in
owners’
equity
3.2.4
Other
-214,55
3.3 Profit -214,552,
2,473.1
distribution 473.12
2
3.3.1
Appropriatio
n to surplus
reserves
3.3.2
Appropriatio -214,55
-214,552,
n to owners 2,473.1
473.12
(or 2
shareholders)
3.3.3
Other
3.4
Transfers
within
owners’
equity
3.4.1
Increase in
capital (or
share capital)
from capital
reserves
3.4.2
Increase in
capital (or
share capital)
from surplus
reserves
3.4.3
30
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Loss offset
by surplus
reserves
3.4.4
Changes in
defined
benefit
schemes
transferred to
retained
earnings
3.4.5
Other
comprehensiv
e income
transferred to
retained
earnings
3.4.6
Other
3.5
Specific
reserve
3.5.1
Increase in
the period
3.5.2
Used in the
period
3.6 Other
595,
4. Balance as 53,87 -2,506 16,40 1,487,6
979, 2,151,36
at the end of 6,380. ,414.4 3,637 08,017.
092. 0,712.68
the period 11 0 .61 36
00
III Company Profile
Shenzhen Properties & Resources Development (Group) Ltd. (hereinafter referred to as “the Company” or “Company”) was
incorporated based on the reconstruction of Shenzhen Properties & Resources Development Co., Ltd. after obtaining approval of
ZFBF [1991] No. 831 from People’s Government of Shenzhen Municipality. It was registered with Shenzhen Industrial and
Commercial Administration Bureau on 17 January 1983 with Shenzhen as its headquarters. Now the Company holds the business
license for legal person with the registration number/unified social credit code of 91440300192174135N. The registered capital was
RMB595,979,092 with the total shares of 595,979,092 (RMB1 face value per share), among which, restricted public shares:
1,898,306 A shares and 0 B shares; unrestricted public shares: 526,475,543 A shares and 67,605,243 B shares. The stock of the
31
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Company has been listed on the Shenzhen Stock Exchange on 30 March 1992.
The Company is in the real estate sector. Its main business includes development of real estate and sale of commercial housing,
construction and management of buildings, house rent, supervision of construction, domestic trading and materials supply and
marketing (excluding exclusive dealing and monopoly sold products and commodities under special control to purchase). Main
products or services rendered mainly include the development and sales of commercial residential housing; property management ;
buildings and the building devices maintenance, garden afforest and cleaning service; property leasing; supervise and management of
the engineering; retails of the Chinese food, Western-style food and wines, and etc.
The financial statements were approved and authorized for issue by the 24th Meeting of the 9th Board of Directors of the Company on
27 August 2021.
The consolidation scope of the Company’s consolidated financial statements was determined based on the control. There were 47
subsidiaries including Shenzhen Huangcheng Real Estate Co., Ltd., Dongguan Guomao Changsheng Real Estate Development Co.,
Ltd., Shenzhen International Trade Center Property Management Co., Ltd. included in the consolidation financial statements in this
report. Please refer to the Note VIII and Note IX of the financial report for details.
IV Basis for Preparation of Financial Statements
1. Preparation Basis
Based on the continuing operation, the financial statements of the Company are prepared in accordance with the actual transactions,
governing provisions of the Accounting Standards for Business Enterprises and the following major accounting policies and
estimates.
2. Continuation
There was no such case where the sustainable operation ability within 12 months since the end of the Reporting Period was highly
doubted.
V. Important Accounting Policies and Estimations
Indication of specific accounting policies and estimations:
Refer to this Part:
1. Statement for Complying with the Accounting Standard for Business Enterprise
The financial statement prepared by the Company complies with the requirements of the latest accounting standards for business
enterprises as well as the application guidelines, interpretations and other relevant regulations (hereinafter referred to as the
“accounting standards for business enterprises”) issued by the Ministry of Finance. It reflects the Company’s financial conditions,
operating results, cash flow and other related information in a truthful and complete manner.
In addition, in the preparation of the financial report, reference was made to the presentation and disclosure requirements of the Rule
for Information Disclosure by Companies Offering Securities to the Public No. 15 - General Provisions on Financial Reports (2014
Revision) and the Notice on Related Matters of the Implementation of New Accounting Standards for Business Enterprises by Listed
Companies (KJBH [2018] No. 453).
2. Fiscal Period
The fiscal year of the Company is a solar calendar year, which is from 1 January to 31 December.
3. Operating Cycle
Except for the real estate industry, other businesses run by the Company have relatively short operating cycles according to the
classification standard of 12-month’s liquidity of assets and liabilities. The operating cycle of the real estate industry shall be
generally more than 12 months from real estate development to cash the sales. The specific cycle shall be determined by the
development project and classified by the assets and liabilities liquidity.
32
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
4. Standard Currency of Accounts
The Company adopts Renminbi as a standard currency of accounts.
5. Accounting Process of Business Combinations under the Same Control and not under the Same Control
1. Accounting Process of Business Combinations under the Same Control
The assets and liabilities that the Company obtains in a business combination shall be measured on the basis of their carrying amount
combined party in the consolidated financial statements of the final controller on the combining date. As for the balance between
the carrying amount of combined party’s owners equities in the consolidated financial statements of the final controller and the
carrying amount of the consideration paid by it or the total par value of the shares issued), the additional paid-in capital shall be
adjusted. If the additional paid-in capital is not sufficient to be offset, the retained earnings shall be adjusted.
2. Accounting Process of Business Combinations not under the Same Control
The Company shall recognize the positive balance between the combination costs and the fair value of the identifiable net assets
obtained from the acquiree on purchase date as goodwill. If the combination costs are less than the fair value of the identifiable net
assets obtained from the acquire, the Company shall recheck the various identifiable assets and liabilities obtained from the acquire,
fair value with liabilities, and measurement of combination costs. If the combination costs are less than the fair value of the
identifiable net assets obtained from the acquire after recheck, the Company shall the record the balance into the profit and loss of the
current period.
6. Methods for Preparing Consolidated Financial Statements
The Company as the parent included its all subsidiaries into the consolidation scope of consolidated financial statements. Based on
the financial statements of the Company as the parent and its subsidiaries and other related materials, the consolidated financial
statements were prepared by the Company as the parent according to Accounting Standards for Enterprises No. 33 –Consolidated
Financial Statements.
7. Classification of Joint arrangements and Accounting Treatment of Joint Operations
1. Joint arrangement is classified into joint operation and joint ventures.
2. When the Company is a party of a joint operation, recognize the following items related to the profits in the joint operation:
(1) Recognize the assets held independently, and recognize the assets held jointly in the holding portion;
(2) Recognize the liabilities borne independently, and recognize the liabilities held jointly in the holding portion;
(3) Recognize the revenue generated from the output portion of joint operation shared for selling the Company;
(4) Recognize the revenue generated from the sale of assets in joint operation in the holding portion of the Company;
(5) Recognize the expenses incurred independently, and recognize the expenses incurred in joint operation in the holding portion of
the Company.
8. Recognition Standard for Cash and Cash Equivalents
In the Company’s understanding, cash and cash equivalents include cash on hand, any deposit that can be used for cover, and
short-term (usually due within 3 months since the day of purchase) and high circulating investments, which are easily convertible
into known amount of cash and whose risks in change of value are minimal.
9. Foreign Currency Businesses and Translation of Foreign Currency Financial Statements
(1) Accounting treatments for translation of foreign currency business
As for a foreign currency transaction in its initial recognition, the amount in the foreign currency shall be translated into the amount
in the Renminbi at the spot exchange rate of the transaction date. On balance sheet date, the foreign currency monetary items shall be
translated as the spot exchange rate on the balance sheet date, the balance occurred thereof shall be recorded into the profi ts and
33
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
losses at the current period except that the balance of exchange arising from the principal and interests of foreign currency
borrowings for the purchase and construction or production of assets eligible for capitalization. The foreign currency non-monetary
items measured at the historical cost shall still be translated at the spot exchange rate on the transaction date, of which the amount of
functional currency shall not be changed. The foreign currency non-monetary items measured at the fair value shall be translated at
the spot exchange rate on the confirming date of fair value, of which the balance of exchange shall be included into the profit and
loss of the current period or other comprehensive income.
(2) Translation of foreign currency financial statements
The asset and liability items in the balance sheets shall be translated at a spot exchange rate on the balance sheet date. Among the
owner’s equity items, except for the items as “retained earnings”, other items shall be translated at the spot exchange rate at the time
when they are incurred. The income and expense items in the income statements shall be translated at the approximate spot exchange
rate at the time when they are incurred. The difference from translation of foreign currency financial statements thereof shall be
recorded into other comprehensive income.
10. Financial Instruments
1. Classification of Financial Assets and Financial Liabilities
Financial assets shall be classified into the following three categories when they are initially recognized: (1) financial assets
measured at amortized cost; (2) financial assets at fair value through other comprehensive income; (3) financial assets at fair value
through profit or loss.
Financial liabilities shall be classified into the following four categories when they are initially recognized: (1) financial liabilities at
fair value through profit or loss; (2) financial liabilities generated from transfer of financial assets not conforming to requirements of
derecognition or continuous involvement of transferred financial assets; (3) financial guarantee contracts not belonging to above (1)
or (2), and loan commitments not belonging to above (1) and at lower interest rate than the market interest rate; (4) financial
liabilities measured at amortized cost.
2. Recognition Basis, Calculation Method, and Termination of Recognition of Financial Assets and Liabilities
(1) Recognition basis and initial calculation method of financial assets and liabilities
When the Company becomes a party to a financial instrument, it shall recognize a financial asset or financial liability. The financial
assets and financial liabilities initially recognized shall be measured at their fair values. For the financial assets and li abilities
measured at their fair values and of which the variation is recorded into the profits and losses of the current period, the transaction
expenses thereof shall be directly recorded into the profits and losses of the current period; for other categories of financial assets and
financial liabilities, the transaction expenses thereof shall be included into the initially recognized amount. However, when the
accounts receivable initially recognized by the Company do not include significant financing or the Company does not consider the
financing in contracts not over one year, it shall be initially calculated at the transaction price.
(2) Subsequent calculation method of financial assets
1) Financial assets at amortized cost
The Company shall make subsequent measurement on its financial assets at amortized cost by adopting the actual interest rate
method. The gains or losses generated from the financial assets at amortized cost and not belonging to any hedging relationship shall
be recorded into the current profit of loss when decognized, reclassified, amortized with the actual interest rate method or
recognizing impairments.
Investments in debt instruments at fair value through other comprehensive income
The Company shall make subsequent measurement at fair value. The interest calculated by adopting the actual interest rate method,
impairment losses or profits and foreign exchange gains shall be recorded into the current profit or loss, and other profits or losses
shall be recorded into other comprehensive income. When derecognized, the accumulative profits or losses thereof originally
recorded into other comprehensive income shall be transferred out and then recorded into the current profit or loss.
34
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Investments in equity instruments at fair value through other comprehensive income
The Company shall make subsequent measurement at fair value. The dividends obtained (exclude those belong to recovery of
investment cost) shall be recorded into the current profit or loss, and other gains or losses recorded into other comprehensive income.
When derecognized, the accumulative gains or losses thereof originally recorded into other comprehensive income shall be
transferred out and then recorded into the retained earnings.
Financial assets at fair value through profit or loss
The Company shall make subsequent measurement at fair value. The gains or losses generated (include interest and dividend income)
shall be recorded into the current profit or loss, unless the financial asset is one part of a hedging relationship.
Subsequent calculation method of financial liabilities
Financial liabilities at fair value through profit or loss
Such financial liabilities include trading financial liabilities (include derivative instruments belonging to financial liabilities) and
those designated as financial liabilities at fair value through profit or loss. For such financial liabilities, the subsequent measurement
shall be conducted at fair value. The amount of changes in fair value of designated financial liabilities at fair value through profit or
loss due to the Company’s credit risk changes shall be recorded into other comprehensive income, unless this treatment will result in
or enlarge accounting mismatch of the profit or loss. The other gains or losses generated from such financial liabilities (including
interest expense, changes of fair value not caused by the Company’s credit risk changes) shall be recorded into the current profit or
loss, unless the they are one part of a hedging relationship. And when derecognized, the accumulative gains or losses thereof
originally recorded into other comprehensive income shall be transferred out and then recorded into the retained earnings.
Financial liabilities generated from financial assets transfer not conforming to derecognition conditions or continuous involvement of
transferred financial assets
They shall be measured in accordance with regulations of Accounting Standards for Business Enterprises No.23-Transfer of Financial
Assets
financial guarantee contracts not belonging to above (1) or (2), and loan commitments not belonging to above (1) and at lower
interest rate than the market interest rate;
The subsequent measurement shall be conducted according to the higher of the following two amounts after initial recognition: ①
amount of allowance for impairments recognized in accordance with the impairment provisions of financial instruments; ② the
residual of initial recognized amount after deducted accumulative amortized amount recognized as relevant regulations.
Financial liabilities at amortized cost
The Company shall measure at amortized cost by adopting actual interest rate method. The gains or losses generated from financial
liabilities at amortized cost and not belonging to any hedging relationship shall be recorded into the current profit or loss when
derecognized or amortized with actual interest rate method.
Derecognition of financial assets and financial liabilities
Derecognize financial assets when meeting one of the following conditions:
① The contract rights for collecting cash flow of financial assets have terminated;
② Financial asset has been transferred and the transfer meets the provisions of Accounting Standards for Business Enterprises
No.23-Transfer of Financial Assets governing the derecognition of financial assets.
2) When the current obligation of the financial liability (or some of it) has been relieved, the financial liability (or some of it) shall be
accordingly derecognized.
3. Recognition Basis and Measurement of Transfer of Financial Assets
Where the Company has transferred nearly all of the risks and rewards related to the ownership of the financial asset to the transferee,
it shall stop recognizing the financial asset and separately recognize the rights and obligations generated retained from the transfer as
assets or liabilities. If it retained nearly all of the risks and rewards related to the ownership of the financial asset, it shall continue to
35
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
recognize the transferred financial asset. Where the Company does not transfer or retain nearly all of the risks and rewards related to
the ownership of a financial asset, it shall deal with it according to the circumstances as follows, respectively: (1) If it gives up its
control over the financial asset, it shall stop recognizing the financial asset and separately recognize the rights and obligations
generated retained from the transfer as assets or liabilities; (2) If it does not give up its control over the financial asset, it shall,
according to the extent of its continuous involvement in the transferred financial asset, recognize the related financial asset and
recognize the relevant liability accordingly.
If the transfer of an entire financial asset satisfies the conditions for stopping recognition, the difference between the amounts of the
following 2 items shall be recorded in the profits and losses of the current period: (1) The carrying value of the transferred financial
asset on the derecognition date; (2) The sum of consideration received from the transfer of financial assets, and derecognition amount
among the accumulative amount of the changes of the fair value originally recorded in the other comprehensive income (the financial
assets involve transfer are investments in debt instruments at fair value through other comprehensive income. If the transfer of partial
financial asset satisfies the conditions to stop the recognition, the entire carrying value of the transferred financial asse t shall,
between the portion whose recognition has been stopped and the portion whose recognition has not been stopped, be apportioned
according to their respective relative fair value on the transfer date, and the difference between the amounts of the followi ng two
items shall be included into the profits and losses of the current period: (1)The carrying value of the portion whose recognition has
been stopped; (2)The sum of consideration of the portion whose recognition has been stopped, and derecognition amount among the
accumulative amount of the changes of the fair value originally recorded in the other comprehensive income (the financial assets
involve transfer are investments in debt instruments at fair value through other comprehensive income.
4. Recognition Method of Financial Assets and Financial Liabilities’ Fair Value
The Company adopts the valuation technique with sufficient useful data and supported by other information which is suitable for the
current situation to recognize the fair value of related financial assets and liabilities. The Company classifies the input value used in
the valuation technique into the following levels and uses them in sequence:
(1) The first level of input value is the non-adjustable offer of the same assets or liabilities in the active market on the calculation
date;
(2) The second level of input value is the directly or indirectly observable input value of related assets or liabilities except the input
value on the first level, including: offer of similar assets or liabilities in the active market; offer of identical or similar assets or
liabilities in the non-active market; other observable input value except offer, including the observable interest rate during the interval
period of common offer, profit rate curve, etc.; the input value for market verification etc..
(3) The third level of input value is the non-observable input value of related assets or liabilities, including interest rates that cannot
be observed directly or verified by the data of observable market, stock fluctuation rate, future cash flow of the disposal obligation
borne in corporate mergers, financial forecast based on self-data, etc..
5. Impairment of financial instrument
(1) Impairment measurement and accounting handling of financial instrument
Based on expected credit loss, the Company conducts impairment handling and confirms loss reserve for financial assets which is
measured by amortized cost, debt instrument investment which is measured by fair value and whose change is calculated into ot her
comprehensive profits, accounts receivable of rental, loan commitment which is beyond financial debt classified as the one which is
measured by fair value and whose change is calculated into current profits and losses, financial debt which does not belong to the one
which is measured by fair value and whose change is calculated into current profits or losses, or financial guarantee contract of
financial debt which is formed when it does not belong to financial asset transfer and doesn’t conform to confirmation condition of
termination or keeps on being involved in transferred financial asset.
Expected credit loss refers to weighted average of credit loss of financial instrument which takes the risk of contract breach
occurrence as the weight. Credit loss refers to the difference between all contract cash flow which is converted into cash according to
actual interest rate and receivable according to contract and all cash flow which to be charged as expected, i.e. current value of all
36
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
cash shortage. Among it, as for financial asset purchased or original which has had credit impairment, it should be converted into
cash according actual interest rate of this financial asset after credit adjustment.
As for financial asset purchased or original which has had credit impairment, the Company only confirms cumulative change of
expected credit loss within the whole duration after initial confirmation on the balance sheet date as loss reserve.
As for accounts receivable which don’t include major financing contents or the Company does not consider financing contents in
contract which is less than one year, the Company applies simplified measurement method, and measures loss reserve according to
amount of expected credit loss within the whole duration.
As for account receivable of rental and accounts receivable including major financing contents, the Company applies simplified
measurement method, and measure loss reserve according to amount of expected credit loss within the whole duration.
As for financial asset beyond above mentioned measurement methods, the Company evaluates whether its credit risk has increased
obviously since the initial confirmation on each balance sheet date. In case credit risk has increased obviously, the Company
measures the loss reserve according to amount of expected credit loss within the whole duration; in case the credit risk does not
increase obviously, the Company measures loss reserve according to the amount of expected credit loss in next 12 months.
By utilizing obtainable rational and well grounded information, including forward-looking information, comparing the risk of
contract breach on balance sheet date and risk of contract breach on initial confirmation date, the Company confirms whether the
credit risk of financial instrument has increased obviously from initial confirmation.
On balance sheet date, in case the Company judges that the financial instrument just has relatively low credit risk, then it wil l be
assumed that credit risk of the financial instrument has not increased obviously.
Based on single financial instrument or financial portfolio, the Company evaluates expected credit risk and measures expected credit
loss. When based on financial instrument portfolio, the Company takes common risk characteristics as the basis, and divides financial
instruments into different portfolios.
The Company measures expected credit loss again on each balance sheet date, the increase of loss reserve or amount which is
transfer back generated by it is calculated into current profits and losses as impairment profits or losses. As for financial asset which
is measured by amortized cost, loss reserve offsets the carrying value of the financial asset listed in the balance sheet; as for debt
investment which is measured by fair value and whose change is calculated into other comprehensive profits, the Company confirms
its loss reserve in other comprehensive profits and does not offset the carrying value of the financial asset.
(2) Financial instruments assessing expected credit risk by groups and measuring expected credit losses
Item Recognition basis Method of measuring expected credit losses
Other receivables-intercourse funds among Accounts nature Consulting historical experience in credit losses,
related party group within the consolidation combining actual situation and prediction for future
scope economic situation, the group’s expected credit loss
rate shall be accounted through exposure at default
Other receivables-interest receivable group
and the expected credit loss rate within the next 12
Other receivables-other intercourse funds months or the entire life
among related party group
Other receivables-credit risk characteristics Aging group Consulting historical experience in credit losses,
group combining actual situation and prediction for future
economic situation, the group’s expected credit loss
rate shall be accounted through exposure at default
and the expected credit loss rate within the next 12
months or the entire life
(3) Accounts receivable with expected credit losses measured by groups
37
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
① Specific groups and method of measuring expected credit loss
Item Recognition basis Method of measuring expected credit losses
Bank’s acceptance bills receivable Bill type Consulting historical experience in credit losses,
combining actual situation and prediction for future
economic situation, the group’s expected credit loss
Trade acceptance bills receivable
rate shall be accounted through exposure at default
and the expected credit loss rate within the entire life
Accounts receivable-other intercourse funds Account nature Consulting historical experience in credit losses,
among related party group combining actual situation and prediction for future
economic situation, the group’s expected credit loss
rate shall be accounted through exposure at default
and the expected credit loss rate within the entire life
Accounts receivable-credit risk characteristics Aging group Prepare the comparative list between aging of
group accounts receivable and expected credit loss rate
over the entire life by consulting historical
experience in credit losses, combining actual
situation and prediction for future economic
situation
② Accounts receivable-the comparative list between aging of common customer group and expected credit loss rate over the entire
life
Aging Expected credit loss rate of accounts receivable (%)
Within 1 year (inclusive, the same below) 3.00
1 to 2 years 10.00
2 to 3 years 30.00
3 to 4 years 50.00
4 to 5 years 80.00
Over 5 years 100.00
6. Offset between financial asset and financial debt
Financial asset and financial debt are listed in the balance sheet separately and don’t offset each other. However, when the following
conditions are met at the same time, the Company will list the net amount after mutual offset in the balance sheet: (1) The Company
has the legal right to offset the confirmed amount, and the legal right is executable currently; (2) The Company plans to settle by net
amount, or monetize the financial asset and liquidate the financial debt at the same time.
11. Notes Receivable
Refer to Note V 10 Financial Instruments of the financial statements for details.
12. Accounts Receivable
Refer to Note V 10 Financial Instruments of the financial statements for details.
38
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
13. Accounts Receivable Financing
Not applicable.
14. Other Receivables
Recognition and accounting treatment methods regarding expected credit losses of other receivables
Refer to Note V 10 Financial Instruments of the financial statements for details.
15. Inventory
(1) Inventories Classification
Inventories include development land held for sale or consumption in the process of development and operation, development
products, temporarily leased development products which intended for sale, relocation housing, stock materials, inventory equipment,
and low-value consumables, etc., as well as development costs in the process of development.
(2) Cost Flow Assumption
1) Send-out materials shall adopt the moving weighted average method.
2) During the development of the project, the development land shall be included in the development cost of the project by the floor
area apportion of the developed products.
3) Send-out developed products shall be accounted by specific identification method.
4) The temporarily leased development products which intended for sale and relocation housing shall be amortized averagely by
stages according to the expected useful life of the same kind of fixed assets of the Company.
5) If the public supporting facilities are completed earlier than the relevant development products, after the final account of the public
supporting facilities， it shall be account into the development cost of the relevant development projects according to the building
area; If the public supporting facilities are completed later than the relevant development products, the relevant development products
shall withhold the public supporting facilities fees, and adjust the relevant development product costs according to the difference
between the actual occurrence and the withhold amount after the completed public supporting facilities' final accounts.
(3) Recognition basis of Net Realizable Value of Inventory
On the balance sheet date, inventory shall be measured at the lower of cost or net realizable value, and provision shall be made for
falling price of inventories on the ground of the difference between the cost of each item of inventories and the net realizable value.
Inventories directly for sale, under normal producing process, to the amount after deducting the estimated sale expense and relevant
taxes from the estimated sell price of the inventory, the net realizable value has been recognized; inventories which need to be
processed, under normal producing process, to the amount after deducting the estimated cost of completion, estimated sale expense
and relevant taxes from the estimated sale price of produced finished goods, the net realizable value has been recognized; on the
balance sheet date, in the same item of inventories, if some have contractual price agreement while others do not, the net realizable
value shall be recognized respectively and compared with their cost, and the amount of provision withdrawal or reversal for falling
price of inventories shall be recognized respectively.
(4) Inventory System for Inventories
Inventory system: Perpetual inventory system
(5) Amortization Method of the Low-value Consumption Goods and Packing Articles
1) Low-value Consumption Goods
One-off amortization method
2) Packing Articles
One-off amortization method
39
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
16. Contract Assets
The Company presents contract assets or contract liabilities on the balance sheet according to the relationship between the fulfillment
of its contract performance obligations and its customers’ payment. Considerations that the Company has the right to collect for
commodities transferred or services provided to customers (except for accounts receivable) are presented as contract assets.
For contract assets that do not contain significant financing components, the Company uses the simplified model of expected credit
loss, measuring the loss provision according to an amount that is equivalent to the amount of expected credit loss of the entire
duration. The increased loss provision or reversed amount thereof shall be recorded into the current profit or loss as impairment
losses or gains.
For contract assets that contain significant financing components, the Company has made the accounting policy choice and selected
the simplified model of expected credit loss, measuring the loss provision according to an amount that is equivalent to the amount of
expected credit loss of the entire duration. The increased loss provision or reversed amount thereof shall be recorded into the current
profit or loss as impairment losses or gains.
17. Contract Costs
Contract costs comprise contract performance cost and contract acquisition cost.
The cost incurred by the Company from performing a contract is recognized into an asset as contract performance cost when it meets
the following conditions:
This cost directly relates to an existing contract or a contract expected to be acquired. It consists of direct labor, direct materials,
manufacture costs (or similar costs), costs specified to be borne by the customer and other costs incurred from this contract solely.
This cost has increased the Company’s sources that are used to fulfill its contract performance obligations in the future.
This cost is expected to be recovered.
An incremental cost that is incurred by the Company for acquiring a contract and expected to be recovered is recognized into an asset
as contract acquisition cost. However, for such asset with an amortization period of less than one year, the Company recognizes them
into current profit/loss at their occurrence.
Assets related to contract costs are amortized on the same basis for recognizing the revenue from commodities or services related to
such assets.
When the carrying value of an asset related to contract costs is higher than the difference between the following two items, the
Company will withdraw impairment provision for the exceeded part and recognize it as asset impairment loss:
Residual consideration expected to be gained from transferring commodities and services related to this asset;
Costs expected to be incurred from transferring such commodities or services.
When the aforementioned asset impairment provision is reversed later, the carrying value of the asset after the reversal should not
exceed its carrying value on the reversal date under the assumption of no withdrawal of impairment provision.
18. Assets Held for Sale
The Company divides its components (or non-current assets) meeting the following conditions into available for sale assets: (1)
Assets can be sold immediately under the current conditions according to the practice of selling such assets or disposal groups in
similar transactions; (2) The sale is likely to occur, and a resolution has been made on a sale plan and a firm purchase commitment is
obtained (a firm purchase commitment refers to a legally binding purchase agreement signed between an enterprise and other parties,
which contains important terms such as transaction price, time and severe penalty for breach of contract to minimize the possibilit y
of major adjustment or cancellation of the agreement. The sale is expected to be completed within a year. It has been approved by
relevant authorities or regulatory authorities according to relevant regulations.
The Company adjusts the estimated net residual value of available for sale assets to the net amount of its fair value minus the selling
expenses (which shall not exceed the original book value of the assets available for sale). The difference between the original book
40
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
value and the adjusted estimated net residual value shall be included in the current profit and loss as the loss of asset impairment, and
provisions for impairment of assets available for sale shall be made. For the amount of impairment loss of disposal group available
for sale recognized, the book value of goodwill of the disposal group shall be offset first, and then the book value of disposal group
shall be offset in proportion according to the share of the book value of non-current assets in the disposal group measured according
to this Standard.
When the net amount of fair value of non-current assets available for sale minus the selling expenses increases on the subsequent
balance sheet date, the amount previously written down shall be restored and reversed within the amount of asset impairment loss
recognized after being classified as available for sale assets, and the reversed amount shall be included in the current profits and
losses. The impairment loss of assets recognized before being classified as available for sale assets shall not be reversed. When the
net amount of fair value of disposal group available for sale minus the selling expenses increases on the subsequent balance sheet
date, the amount previously written down shall be restored and reversed within the amount of asset impairment loss recognized as
non-current assets in the disposal group measured according to this Standard after being classified into the categories available for
sale assets, and the reversed amount shall be included in the current profits and losses. The book value of goodwill that has been
offset and the impairment loss of non-current assets measured according to this Standard shall not be reversed before they are
classified as available for sale assets. The subsequent reversal amount of asset impairment loss recognized as disposal group
available for sale shall be increased in proportion to the share of the book value of non-current assets in the disposal group, except
goodwill, which are measured according to this Standard. In case that an enterprise loses its control over a subsidiary due to sale of
its investment in the subsidiary, the investment in the subsidiary to be sold shall be divided into the available for sale category in
individual financial statement of the parent company when the proposed investment in the subsidiary meets the conditions for
classification of available for sale category, and all assets and liabilities of the subsidiary shall be classified into available for sale
category in the consolidated financial statements, no matter whether the enterprise retains part of equity investment after t he sale.
19. Investments in Debt Obligations
Not applicable.
20. Investments in other Debt Obligations
Not applicable.
21. Long-term Receivable
Not applicable.
22. Long-term Equity Investments
1. Judgment of Joint Control and Significant Influences
The term "joint control" refers to the joint control over an arrangement in accordance with the related agreements, which does not
exist unless the participants sharing the control power agree with each other about the related arranged activity. The term "significant
influences" refers to the power to participate in making decisions on the financial and operating policies of an enterprise, but not to
control or do joint control together with other parties over the formulation of these policies.
2. Recognition of Investment Cost
(1) If the business combination is under the common control and the acquirer obtains long-term equity investment in the
consideration of cash, non-monetary asset exchange, bearing acquiree’s liabilities, or the issuance of equity securities, the initial cost
is the carrying amount of the proportion of the acquiree’s owner’s equity at the acquisition date. The difference between the initial
cost of the long-term equity investment and the carrying amount of the paid combination or the total amount of the issued shares
should be adjusted to capital surplus. If the capital surplus is not sufficient for adjustment, retained earnings are adjusted respectively.
When a long-term equity investment is formed from the business combination under common control through the Company’s
multiple transactions step by step, the treatment shall be carried out based on whether the transactions constitute the “pack age deal”.
41
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
If they do, the accounting treatment shall be carried out on the basis of assuming all transactions as one transaction with the
acquisition of control. If they do not, the initial investment cost shall be the portion of the carrying value of acquiree’s net assets
entitled in the consolidated financial statements of the final controller after the consolidation. The difference between the initial
investment cost of the long-term equity investment on the combination date and the carrying value of the investment before the
combination plus the carrying value of the newly-paid consideration for the acquisition of the shares on the consolidation date shall
be adjusted to capital reserve; if the capital reserve is insufficient for the adjustment, retained earnings should be adjusted
accordingly.
(2) For those formed from the business combination under different control, the initial investment cost is the fair value of the
combination consideration paid on the acquisition date.
When a long-term equity investment is formed from the business combination under different control through the Company’s
multiple transactions step by step, the accounting treatment shall be carried out based on whether the financial statements are
individual or consolidated:
1) In individual financial statements, the initial investment cost accounted in cost method is the sum of the carrying value of the
equity investment originally held and the cost of new investment.
2) In consolidate financial statements, judge whether the transactions constitute the “package deal”. If they do, the account ing
treatment shall be carried out on the basis of assuming all transactions as one transaction with the acquisition of control. If they do
not, for the acquiree’s equity held before the acquisition date, re-measurement shall be carried out according to the fair value of the
equity on the acquisition date and the difference between the fair value and the carrying value shall be recorded into current
investment income; if the acquiree’s equity held before the acquisition date involves other comprehensive income accounted in
equity method, other comprehensive income related to it shall be transferred into the income for the period in which the acquisition
date falls, with the exception of the other comprehensive incomes occurred because of the changes of net liabilities or net assets of
the defined benefit pension plans be re-measured for setting by the investees.
3) For those formed other than from business combination: If they are acquired in cash payment, the initial investment cost i s the
purchase price actually paid; if they are acquired in the issue of equity securities, the initial investment cost is the fair value of the
issued equity securities; if they are acquired in debt restructuring, the initial investment cost shall be recognized accordi ng to the
Accounting Standards for Enterprises No. 12 - Debt Restructuring; if they are acquired in the exchange of non-monetary assets, the
initial investment shall be recognized according to the Accounting Standards for Enterprises No. 7 - Exchange of Non-Monetary
Assets.
3. Method of subsequent measurement and recognition of profits and losses
Long-term equity investment with control over investees shall be accounted in cost method; long-term equity investment on
associated enterprises and joint ventures shall be accounted in equity method.
4. Method of treating the disposal of the investment in a subsidiary stem by step through multiple transactions until the loss
of the controlling right
(1) Individual financial statements
For the disposed equity, the difference between its fair value and the actually obtained price shall be recorded into current profits or
losses. For the residual equity, the part that still has significant effects on investees or with common control jointly with other parties
shall be accounted in equity method; the part that has no more control, common control or significant effects on investees shall be
accounted in accordance with the relevant regulation of the Accounting Standards for Enterprises No. 22 - Recognition and
Measurement of Financial Instruments.
(2) Consolidated financial statements
1) For the disposal of the investment in subsidiaries step by step until the loss of the controlling right through multiple transactions,
which do not constitute the “package deal”
Before the loss of the controlling right, for the balance between the disposal remuneration and the shares of net assets in the
42
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
subsidiaries that have been calculated since the acquisition date or combination date corresponding to the disposal of long-term
equity investment, capital reserve (capital premium) shall be adjusted, and if the capital premium is not sufficient for the write-down,
the retained earnings shall be written down.
At the loss of the controlling right over the original subsidiaries, the residual equity shall be re-measured at its fair value on the date
of losing the controlling right. The difference between the consideration obtained in the equity disposal, plus the fair value of the
remaining equities, less the Company’s share of net assets enjoyed of the former subsidiary that has been calculated since the
acquisition date or combination date according to the former shareholding ratio, shall be recorded into the investment gains for the
period when the control ceases; meanwhile, goodwill shall be written down. Other comprehensive income related to former
subsidiary's equity investment shall be transferred into current investment income when the control ceases.
2) For the disposal of the investment in subsidiaries step by step until the loss of the controlling right through multiple transactions,
which constitute the “package deal”
The accounting treatment shall be carried out on the basis of considering each transaction as a transaction of disposing the subsidiary
and losing control. However, before losing control, the difference between each disposal price before losing the control, and the
corresponding net assets share enjoyed of subsidiary when disposing long-term equity investment, shall be recognized as other
comprehensive income in the consolidated financial statements and when the control ceases, transferred into current profits or losses
of the period of losing control.
(5) Impairment test method and impairment provision method
When there is objective evidence indicating impairment of the investment in subsidiaries, joint ventures and cooperative enterprises
on the balance sheet date, corresponding provision for impairment shall be made according to the difference between the book value
and recoverable amount.
23. Investment Property
Measurement mode of investment real estates
Measurement of cost method
Depreciation or amortization method
1. The term "investment real estate" includes the right to use any land which has already been rented, the right to use any l and which
is held and prepared for transfer after appreciation, and the right to use any building which has already been rented.
2. The Company initially measures the investment property according to the costs, and adopts the cost method in the subsequent
measurement of investment property, and adopts the same methods with fixed assets and intangible assets to withdraw depreciation
or amortization. When there is any indication of impairment of investment property on the balance sheet date, corresponding
provision for impairment shall be made according to the difference between the book value and recoverable amount.
24. Fixed Assets
(1) Recognized Standard of Fixed Assets
The term "fixed assets" refers to the tangible assets that simultaneously possess the features as follows: they are held for the sake of
producing commodities, rendering labor service, renting or business management; and their useful life is in excess of one fiscal year.
No fixed asset may be recognized unless it simultaneously meets the conditions as follows: (1) The economic benefits are likely to
flow into the enterprise; (2) The cost of the fixed asset can be measured reliably.
(2) Depreciation Method
Expected net salvage
Category Depreciation method Useful life (year) Annual deprecation
value
Houses and buildings Straight-line 20-25 5-10 3.6-4.75
43
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
depreciation
Straight-line
Transportation 5 5 19
depreciation
Straight-line
Other equipment 5 5 19
depreciation
Straight-line
Machinery equipment 5 5 19
depreciation
Decoration of fixed Straight-line
5 0 20
assets depreciation
(3) Recognition Basis, Pricing and Depreciation Method of Fixed Assets by Finance Lease
Not applicable.
25. Construction in Progress
1. No construction in progress may be recognized unless it simultaneously meets the conditions as follows: (1) The economic
benefits are likely to flow into the enterprise; (2) The cost of the fixed asset can be measured reliably. Construction in progress shall
be measured according to the occurred actual costs before the assets available for the intended use.
2. When the construction in progress is available for the intended use, it shall be transferred to fixed assets according to the actual
cost of the project. For construction in progress available for the intended use but not dealing with final accounts of completed
project, it shall be transferred to fixed assets according to the estimated value first, and then adjust original temporarily estimated
value based on the actual costs after the final accounts of completed project, but not adjust the depreciation that was alrea dy
calculated.
26. Borrowing Costs
1. Recognition Principle of Capitalization of Borrowing Costs
Where the borrowing costs incurred to the Company can be directly attributable to the acquisition and construction or production of
assets eligible for capitalization, it shall be capitalized and recorded into the costs of relevant assets. Other borrowing costs shall be
recognized as expenses when it occurred, and shall be recorded into the current profits and losses.
2. Capitalization Period of Borrowings Costs
(1) The borrowing costs shall not be capitalized unless they simultaneously meet the following requirements: 1) The asset
disbursements have already incurred; 2) The borrowing costs have already incurred; 3) The acquisition and construction or
production activities which are necessary to prepare the asset for its intended use or sale have already started.
(2) Where the acquisition and construction or production of a qualified asset is interrupted abnormally and the interruption period
lasts for more than 3 months, the capitalization of the borrowing costs shall be suspended. The borrowing costs incurred during such
period shall be recognized as expenses, and shall be recorded into the profits and losses of the current period, till the acquisition and
construction or production of the asset restarts.
(3) When the acquisition and construction or production of a qualified asset eligible for capitalization are available for its i ntended
use or sale, the capitalization of borrowing costs shall be stopped.
3. Capitalized rate and amount of borrowing costs
To the extent that funds are borrowed specifically for the purpose of acquiring or constructing a qualifying asset, the amount of
borrowing costs eligible for capitalization on that asset is determined as the actual interest costs (including amortization of discount
and premium confirmed according to effective interest method) incurred on that borrowing during the period less any investment
income on the temporary investment of the borrowing. To the extent that funds are borrowed generally and used for the purpose of
44
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
acquiring or constructing a qualifying asset, the amount of borrowing costs eligible for capitalization shall be determined by applying
a capitalization rate to the weighted average of excess of accumulated expenditures on qualifying asset over that on specific purpose
borrowing.
27. Biological Assets
Not applicable.
28. Oil and Gas Assets
Not applicable.
29. Right-of-use Assets
On the start date of the lease term, the Company deems the right-of-use assets and lease obligations, except for the simplified
short-term lease and low-value leases.
The Company initially measures right-of-use assets at cost. The cost includes:
1. The initial measurement amount of the lease obligation.
2. If a lease incentive exists for lease payments made on or before the commencement date of the lease term, the amount related to
the lease incentive already taken is deducted.
3. Initial direct costs incurred.
4. Costs expected to be incurred by the Group for dismantling and removing the leased asset(s), restoring the premises where the
leased asset(s) is/are located, or restoring the leased asset(s) to the status agreed in the leasing clauses. If the aforementioned costs are
incurred for inventory production, relevant provisions of Accounting Standard for Business Enterprises No.1 - Inventory is applicable.
The Company recognizes and measures the costs described in Item 4 above in accordance with relevant provisions of the Accounting
Standards for Business Enterprises No. 13 - Contingencies. The initial direct costs incurred refer to the incremental costs incurred to
achieve the lease. Incremental costs are costs that would not have been incurred had the business not acquired the lease.
The Company depreciates the right-of-use assets in accordance with relevant depreciation provisions of the Accounting Standards for
Business Enterprises No. 4 - Fixed Assets. If it is reasonably certain that the ownership of the leasehold property will be obtained at
the end of the lease term, the Company will depreciate the leasehold property over its remaining service life. If it is not reasonably
certain that the ownership of the leasehold property will be obtained at the end of the lease term, the Company will depreciate the
leased asset(s) over the lease term or the remaining service life, whichever is shorter.
The Company determines the impairment of the right-of-use assets and conducts accounting treatment of the impairment losses
already identified in accordance with relevant provisions of the Accounting Standards for Business Enterprises No. 8 - Asset
Impairment.
30. Intangible Assets
(1) Pricing Method, Useful Life and Impairment Test
1. Intangible assets include right to use land sites, use right of software etc. and conduct the initial measurement according to the
costs.
2. With regard to intangible assets with limited service life, it shall be amortized systematically and reasonably within their service
life according to the expected implementation of economic interests related to the intangible assets. If it can’t recognize t he expected
implementation reliably, it shall be amortized by straight-line method. The specific useful lives are as follows:
Items Useful life for amortization (years)
Use right of lands Statutory life of land use right
Use right of software 5
45
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
The intangible assets with uncertain service life shall not be amortized, and the Company rechecks the service life of the intangible
assets in every accounting period. For intangible assets with uncertain service, the recognition basis is without certain service life and
expected benefit life.
3. For intangible assets with definite service life, when there is any indication of impairment on the balance sheet date, corresponding
provision for impairment shall be made according to the difference between the book value and recoverable amount; for intangible
assets with uncertain service life and those not ready for service, impairment test shall be conducted every year no matter whether
there is any indication of impairment.
(2) Accounting Policies of Internal R&D Expenses
Not applicable.
31. Impairment of Long-term Assets
For long-term assets, such as long-term equity investment, investment property measured by cost model, fixed assets, construction in
progress, right-of-use assets and intangible assets with limited service life, the Company shall estimate the recoverable amount if
there are signs of impairment on balance sheet date. For intangible assets with uncertain goodwill or service life formed by enterprise
combination, whether or not there is sign of impairment, impairment test shall be conducted every year. Goodwill combination and
its related assets group or combination of assets group shall be conducted the impairment test.
If the recoverable amount of the above-mentioned long-term assets is lower than its carrying value, it shall make the preparation for
assets impairment based on its balance and be recorded into current profits and losses.
32. Long-term Prepaid Expenses
Long-term deferred expenses refer to general expenses with the amortized period over one year (one year excluded) that have
occurred. Long-term prepaid expense shall be recorded into the account according to the actual accrual. Long-term prepaid expense
shall be amortized averagely within benefit period or specified period. In case of no benefit in the future accounting period, the
amortized value of such project that fails to be amortized shall be transferred into the profits and losses of the current period.
33. Contract Liabilities
The Company presents contract assets or contract liabilities on the balance sheet according to the relationship between the fulfillment
of its contract performance obligations and its customers’ payment. Obligations to be fulfilled by the Company of transferring
commodities or providing services to customers, as the Company has received or should receive customers’ considerations, are
presented as contract liabilities.
34. Payroll
(1) Accounting Treatment of Short-term Compensation
During the accounting period when the employees providing the service for the Company, the actual short-term compensation shall
be recognized as liabilities, and be recorded into the current profits and losses or related assets costs.
(2) Accounting Treatment of the Welfare after Demission
The Company's welfare after demission plans is divided into defined contribution plans and defined benefit plans (1) During the
accounting period when the employee providing service for the Company, the amount paid in line with the setting drawing plan will
be recognized as liabilities and recorded into current profits or losses or cost of relevant assets.
(2) The accounting treatment of defined benefit plans usually consists of the following steps:
1) According to the expected cumulative welfare unit method, adopt unbiased and mutually consistent actuarial assumptions to
evaluate related demographic variables and financial variables, measure the obligations generated from defined benefit plans and
recognize the period in respect of related obligations. Meanwhile, discount the obligations generated from defined benefit plans to
recognize their present value and the current service costs;
46
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
2) If there are any assets in a defined benefit plan, the deficit or surplus formed from the present value of the defined benefit plan
obligations less the fair value of the defined benefit plan assets shall be recognized as net liabilities or net assets of a defined benefit
plan. If there is any surplus in a defined benefit plan, the net assets of the plan shall be measured at the lower of the sur plus or the
upper asset limit;
3) At the end of the period, the staff remuneration costs generated from a defined benefit plan shall be recognized as services costs,
net interests of the net liabilities or net assets of the plan and changes from the re-measurement of the net liabilities or net assets of
the plan. Service costs and net interests of the net liabilities or net assets of the plan shall be recorded into the current profits or losses
or related asset costs, while changes from the re-measurement of the net liabilities or net assets of the plan shall be recorded into
other comprehensive income and shall not be transferred back to profits or losses in subsequent accounting periods. But the amounts
recognized in other comprehensive income may be transferred within the equity scope.
(3) Accounting Treatment of Demission Welfare
When the Company is unable to unilaterally withdraw the plan on the cancellation of labor relationship or the layoff proposal , or
when recognizing the costs or expenses (the earlier one between the two) related to the reorganization of paying the demission
welfare, should recognize the payroll liabilities from the demission welfare and include in the current gains and losses.
(4) Accounting Treatment of Other Welfare of the Long-term Employees
The Company provides the other long-term employee benefits for the employees, and for those met with the defined contribution
plans, accounting treatment should be conducted according to the related regulations of the defined contribution plans; the for the
others long-term employee benefits except for the former, accounting treatment should be conducted according to the related
regulations of the defined benefit plans. In order to simplify the related accounting treatment, the payrolls shall be recogn ized as
service costs, the net amount of interest of net liabilities and net assets of other welfare of the long-term employees. The total net
amounts made up from the changes of measuring the net liabilities and net assets of other welfare of the long-term employees again
shall be recorded into the current profits and losses or related assets costs.
35. Lease Liabilities
On the start date of the lease term, the Company deems the right-of-use assets and lease obligations, except for the simplified
short-term lease and low-value leases.
The Company initially measures the lease obligation at the present value of the lease payments outstanding at the commencemen t
date of the lease term.
The term "lease payments" refers to the payments made by the Company to the lessor in terms of the use of the leased asset(s) within
the lease term, including:
(1) fixed lease payments and substantial fixed lease payments (if a lease incentive exists, deduct the amount related to the lease
incentive);
(2) the variable lease payments that depend on indexation or ratio, which are determined according to the indexation or ratio on the
commencement date of the lease term in the initial measurement;
(3) the exercise price of the purchase option, when applicable, if the Company is reasonably certain that the option will be exercised;
(4) payments required to be made for exercising the option to terminate the lease if the lease term reflects that the Company will
exercise such an option;
(5) estimated amount payable based on the residual value of the guarantee provided by the Company.
When calculating the present value of lease payments, the Company uses the interest rate implicit in lease as the rate of discount. If
the interest rate implicit in lease cannot be determined, the Company’s incremental lending rate is used as the rate of discount.
36. Provisions
1. The obligation such as external guaranty, litigation or arbitration, product quality assurance, loss contract, pertinent t o a
contingencies shall be recognized as the provisions when the following conditions are satisfied simultaneously: ① That obligation
47
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
is a current obligation of the enterprise; ② It is likely to cause any economic benefit to flow out of the enterprise as a result of
performance of the obligation; and ③ The amount of the obligation can be measured in a reliable way.
2. The Company shall conduct the initial measurement to provisions according to the best estimate number needed for performing the
related current obligation and recheck the carrying value of accrued liabilities on balance sheet date.
37. Share-based Payment
Not applicable.
38. Other Financial Instruments such as Preference Shares and Perpetual Bonds
Not applicable.
39. Revenue
The Accounting Policy Adopted for Recognition and Measurement of Revenue
(1) Recognition of revenue
The Company gains revenue mainly from property sales, property management and property leasing (refer to 42. Leasing for more
detail).
The Company recognizes revenue when it has fulfilled the obligation of contract performance, namely, when it has acquired the
control of the related commodity. The acquisition of control over a commodity refers to the capacity to control the use of the
commodity and to gain almost all economic interests thereof.
(2) The Company judges whether a contract performance obligation is “a contract performance obligation fulfilled in a time
period” or “a contract performance obligation fulfilled at a time point” according to the terms in revenue standards, and
recognizes revenue according to the following principles.
When the Company meets one of the following conditions, the obligation should be classified as a contract performance obligation
fulfilled in a specific time period:
The customer gains and consumes the economic interests brought by the Company’s contract performance when the Company
performs the contract.
The customer is able to control the assets in progress during the Company’s contract performance.
The assets produced during the Company’s contract performance have irreplaceable use, and the Company has the right to collect
payment in respect of its completed contract performance accumulated as of now throughout the entire contract period.
For a contract performance obligation fulfilled in a time period, the Company recognizes revenue according to the progress towards
contract completion in that period, but excluding the case when such progress cannot be reasonably determined. The Company uses
the output or input method to determine the right progress towards contract completion by considering the nature of the commodity.
For one that is classified as a contract performance obligation fulfilled at a time point instead of in a time period, the Company
recognizes revenue when the customer acquires the control over the related commodity.
In judging whether the customer has acquired the control over a commodity, the Company considers the following signs:
The Company is entitled to the current right of payment collection in respect of the commodity. In other words, the customer has the
current obligation to pay for the commodity.
The Company has transferred the legal ownership of the commodity to the customer. In other words, the customer has owned the
legal ownership of the commodity.
The Company has transferred the physical commodity to the customer. In other words, the customer has taken physical possession of
the commodity.
The Company has transferred the major risks and remunerations in respect of the ownership of the commodity. In other words, the
customer has acquired the major risks and remunerations in respect of the ownership of the commodity.
48
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
The customer has accepted the commodity.
Other signs indicating that the customer has acquired control over the commodity.
3) Specific policies of the Company for recognizing revenue:
(1) Real Estate Sales Contracts
The realization of sales revenue shall be recognized under the following conditions: the developed products have been completed and
accepted, the sales contract has been signed and the obligations stipulated in the contract have been fulfilled, the main risks and
rewards of ownership of the developed products have been transferred to the buyer at the same time, the Company shall no longer
retain the continuous management rights normally associated with ownership and effectively control the sold developed products, the
revenue amount can be measured reliably, the related economic benefits are likely to flow in, and the related costs that have occurred
or will occur can be measured reliably.
For the sale of self-occupied housing, the realization of sales income shall be recognized under the following conditions: the main
risks and rewards of ownership of self-occupied houses are transferred to the buyer, the Company will no longer retain the
continuous management rights normally associated with ownership and effectively control the sold development products, the
amount of income can be measured reliably, relevant economic benefits are likely to flow in, the relevant costs that have occurred or
will occur can be measured reliably.
Only recognizing the sales income realization under the following conditions: acquired the real estate completed and accepted as
qualified (the completion and acceptance reports), signed an irreversible sales contract, obtained the buyer's payment certificate (for
those who chose bank mortgage, the first installment and the full amount of bank mortgage must be required; for those who did not
choose the bank mortgage to make their payment, the full house payment must be required) issued the notice of repossession (if the
owner fails to go through the formalities in time within the specified time limit the building shall be deemed as repossessed).
(2) Providing Labor Services
If the provision of labor services can be reliably estimated (all the following conditions are met: ① The amount of income can be
measured reliably; ②The relevant economic benefits are likely to inflow to the Company; ③ The progress of the transaction can be
reliably determined; ④ The cost incurred and to be incurred in the transaction can be measured reliably), it shall recognize the
revenue from providing services employing the percentage-of-completion method, and confirm the completion of labor service
according to the costs incurred as a percentage of the total estimated costs. If the Company can’t, on the date of the balance sheet,
reliably estimate the outcome of a transaction concerning the labor services it provides, it shall be handled under the following
conditions: If the cost of labor services incurred is expected to be compensated, the revenue from the providing of labor services shall
be recognized in accordance with the amount of the cost of labor services incurred, and the cost of labor services shall be carried
forward at the same amount; If the cost of labor services incurred is not expected to compensate, the cost incurred should be included
in the current profits and losses, and no revenue from the providing of labor services may be recognized.
Property management revenue shall be recognized when property management services have been provided, economic benefits
related to property management services can flow into the enterprise, and costs related to property management can be reliabl y
measured.
(3) Transferring the Right to Use Assets
The revenue of transferring the right to use assets may not be recognized unless the following conditions are both met: the relevant
economic benefits are likely to inflow to the Company; and the revenue can be reliably measured. The interest income shall be
recognized according to the time and actual interest rate in which other people use the Company’s monetary funds. Royalty revenue
shall be recognized according to the chargeable time and method stipulated in related contracts and agreements.
According to the lease date and lease amount agreed in the lease contract and agreement, the realization of rental property income
shall be recognized when relevant economic benefits are likely to flow in.
(4) Other Business Income
According to the stipulations of relevant contracts and agreements, when the economic benefits related to the transaction can flow
49
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
into the enterprise and the costs related to the income can be reliably measured, the realization of other business income sh all be
confirmed.
(3) Measurement of Revenue
The Company should measure revenue according to the transaction prices apportioned to each of the individual contract performance
obligations. In determining a transaction price, the Company considers the impact of a number of factors, including variable
consideration, significant financing components in contracts, non-cash consideration, and consideration payable to customers.
Variable consideration
The Company determines the best estimate of variable consideration according to the expected value or the amount most likely to
occur. But a transaction price containing variable consideration should not exceed the amount from the accumulated recognized
revenue that will probably not have any significant reversal when related uncertainties are eliminated. When assessing whether the
significant reversal of accumulated recognized revenue is almost impossible or not, a company should concurrently consider the
possibility and weight of the revenue reversal.
Significant financing component
When a contract contains any financing component, the Company should determine the transaction price according to the amount
payable that is assumed to be paid in cash by the customer when it acquires control over the commodity. The difference between the
transaction price and the contract consideration should be amortized in the effective interest method during the contract period.
Non-cash consideration
When a customer pays non-cash consideration, the Company should determine the transaction price according to the fair value of the
non-cash consideration. When such fair value cannot be reasonably estimated, the Company will indirectly determine the transaction
price by reference to the individual price committed by the Company for transferring the commodity to the customer.
Consideration payable to a customer
For consideration payable to a customer, the Company should deduct the transaction price from the consideration payable, and
deduct the revenue for the current period at either the recognition of related revenue or the payment (or committed payment) of the
consideration to the customer, whichever is earlier, but excluding the case in which the consideration payable to the customer is for
the purpose of acquiring from the customer other commodities that can be obviously distinguished.
If the Company’s consideration payable to a customer is for the purpose of acquiring from the customer other commodities that can
be obviously distinguished, the Company should confirm the commodity purchased in the same way as in its other purchases. When
the Company’s consideration payable to a customer exceeds the fair value of the commodity that can be obviously distinguished, the
exceeded amount should be used to deduct the transaction price. If the fair value of the commodity acquired from the customer that
can be obviously distinguished cannot be reasonably estimated, the Company should deduct the transaction price from the
consideration payable to the customer.
Differences in accounting policies for the recognition of revenue caused by different business models for the same type of business
Not applicable.
40. Government Grants
1. If the government subsidies meet with the following conditions at the same, it should be recognized: (1) The entity will
comply with the condition attaching to them; (2) The grants will be received from government. If a government subsidy is a
monetary asset, it shall be measured according to the amount received or receivable. If a government subsidy is a non-monetary asset,
it shall be measured at its fair value, and shall be measured at a nominal amount when the fair value cannot be obtained reliably.
2. Judgment basis and accounting methods of government subsidies related to assets
The government subsidies that are acquired for construction or form long-term assets in other ways according to government
documents shall be defined as asset-related government subsidies. For those not specified in government documents, the judgment
50
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
shall be made based on the compulsory fundamental conditions for acquiring the subsidies. If the subsidies are acquired with
construction or the formation of long-term assets in other ways as fundamental conditions, they shall be recognized as asset-related
government subsidies. For asset-related government subsidies, the carrying value of related assets shall be written down or
recognized as deferred income. If asset-related government subsidies are recognized as deferred income, it shall be recorded into
profits or losses by period in a reasonable and systemic manner within the life of related assets. Government subsidies measured at
the nominal amount shall be directly recorded into current profits or losses. If related assets are sold, transferred, disposed of or
destroyed before the end of their life, the undistributed balance of related deferred income shall be transferred into the profits or
losses for the period of the asset disposal.
3. Judgment basis and accounting treatment of profits-related government subsidies
Government subsidies other than asset-related government subsidies shall be defined as profits-related government subsidies. For
government subsidies consisting of both asset-related parts and profits-related parts, which are difficult to judge whether they are
related to assets or profits, the entirety shall be classified as profits-related government subsidies. Profits-related government
subsidies that are used to compensate the related future expenses or losses shall be recognized as deferred income and shall be
included into the current profit/losses during the period when the relevant expenses or losses are recognized; those subsidies used to
compensate the related expenses or losses incurred shall be directly included into the current profits/losses.
4. Government subsidies related to the Company’s routine operating activities shall be included into other income or write down
related costs according to the economic business nature. Government subsidies not related to the Company’s routine activities shall
be included into non-operating income and expenditure.
41. Deferred Income Tax Assets/Deferred Income Tax Liabilities
1. In accordance with the balance (the item not recognized as assets and liabilities can confirm their tax bases according to the tax law,
the balance between the tax bases and its carrying amount) between the carrying amount of assets or liabilities and their tax bases,
deferred tax assets and deferred tax liabilities should be recognized at the tax rates that are expected to apply to the peri od when the
asset is realized or the liability is settled.
2. A deferred tax asset shall be recognized within the limit of taxable income that is likely to be obtained to offset the deductible
temporary differences. At the balance sheet date, where there is strong evidence showing that sufficient taxable profit will be
available against which the deductible temporary difference can be utilized, the deferred tax asset unrecognized in prior period shall
be recognized.
3. The Company assesses the carrying amount of deferred tax asset at the balance sheet date. If it’s probable that sufficient taxable
profit will not be available against which the deductible temporary difference can be utilized, the Company shall write down the
carrying amount of deferred tax asset, or reverse the amount written down later when it’s probable that sufficient taxable profit will
be available.
4. The current income tax and deferred income tax of the Company are recorded into the current gains and losses as income tax
expenses or revenue, except in the following circumstances: (1) Business combination; (2) The transaction or event directly included
in owner’ equity.
42. Lease
(1) Accounting Treatment of Operating Lease
1. Lessee
The Company shall, when as the lessee, on the commencement date of the lease term, recognize the right-of-use assets and lease
obligations for the lease, unless it is a simplified short-term lease or low-value asset lease.
After the commencement date of the lease term, the Company uses the cost model for subsequent measurement of right-of-use assets.
The Company depreciates the right-of-use assets in accordance with relevant depreciation provisions of the Accounting Standards for
Business Enterprises No. 4 - Fixed Assets. If the lessee can reasonably ascertain that the ownership of the leasehold property will be
51
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
obtained at the end of the lease term, it shall depreciate the leasehold property over its remaining service life. If it is not reasonably
certain that the ownership of the leasehold property will be obtained at the end of the lease term, it shall depreciate the leased asset(s)
over the lease term or the remaining service life, whichever is shorter. The Company will determine the impairment of the
right-of-use assets and conduct accounting treatment of the impairment losses already identified in accordance with relevant
provisions of the Accounting Standards for Business Enterprises No. 8 - Asset Impairment.
The Company calculates the interest expenses of the lease obligations during each period of the lease term at a fixed periodic interest
rate, and includes them in profit or loss for the current period. Where the Accounting Standards for Business Enterprises No. 17 -
Borrowing Costs and other standards provide that such interest expenses shall be included in the cost of related assets, such
provisions shall be observed.
The Company does not recognize the right-of-use assets and lease liabilities for short-term leases and low-value asset leases. In each
period within the lease term, the relevant lease payments for short-term leases and low-value asset leases are included in cost of the
related assets or profit or loss for the current period on a straight-line basis.
2. Lessor
(1) Financial Lease
The Company shall, when as the lessor, on the commencement date of the lease term, recognize the finance lease receivables for the
finance lease and derecognize the leased asset(s) of the finance lease. The Group shall also calculate and confirm the intere st income
at a fixed periodic interest rate in each period in the lease term.
(2) Operating Lease
In the case of the Company is the lessor, it recognizes the receipts of the operating lease incurred during each period of the lease term
as rentals by the straight-line method. The Company capitalizes the initial direct costs related to the operating lease upon incurrence
thereof and, within the lease term, apportions and includes such costs in the current profit or loss on the basis same as the recognition
of rentals.
For the fixed assets in the assets under operating lease, the Company shall adopt the depreciation policy of similar assets to calculate
and distill depreciation. For other assets under operating lease, the Company shall amortize them in a systematic and reasonable
manner in accordance with the accounting standards for enterprises applicable to the assets. The Company will determine the
impairment of assets under operating lease and conduct accounting treatment in accordance with relevant provisions of the
Accounting Standards for Business Enterprises No. 8 - Asset Impairment.
(2) Accounting Treatments of Financial Lease
The Company shall, when as the lessor, on the commencement date of the lease term, recognize the finance lease receivables for th e
finance lease and derecognize the leased asset(s) of the finance lease. The Company shall also calculate and confirm the interest
income at a fixed periodic interest rate in each period in the lease term.
43. Other Important Accounting Policies and Accounting Estimations
(1) Confirmation standard and accounting handling method for operation termination
Components which meet one of the following conditions, have been disposed or divided as held for sale category and can be
distinguished separately are confirmed as operation termination.
1) The component represents one important independent main business or one single main operation area.
2) The component is one part of a related plan which plans to dispose one independent main business or one single main operation
area.
3) The component is a subsidiary which is obtained for resale specially.
(2) Accounting Method for Maintenance fund and Quality Deposit
1) Maintenance fund accounting method
52
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
According to the local relevant regulations of the development project, the maintenance fund shall collect from the buyers, or
withdraw from the development costs of the Company’s relevant development products when development products sell (pre-sell),
and shall uniformly turn them over to the maintenance fund management department.
2) Quality deposit accounting method
The quality guarantee fund shall be reserved from the project fund of the construction unit according to the provisions of the
construction contract. Maintenance fees incurred during the warranty period of the developed products shall be offset against the
quality guarantee deposit; After the expiration of the warranty period agreed upon in the development of products, the balance of the
quality guarantee deposit shall be returned to the construction unit.
(3) Segmental report
The Group recognizes the operating segments according to the internal organization structure, the management requirements and the
internal report system. Operating segments refer to the compose parts of the Group which meet with the following conditions at the
same time:
the compose part could cause revenues and expenses in the daily activities;
the management layer could periodically evaluate the operation results of the compose part and base which to distribute the resources
and evaluate the performance;
3) the Group could acquire the relevant accounting information of the financial conditions, operation results and the cash flows of the
compose part through analysis.
44. Changes in Main Accounting Policies and Estimates
(1) Change of Accounting Policies
□ Applicable √ Not applicable
(2) Changes in Accounting Estimates
□ Applicable √ Not applicable
(3) Adjustments to the Financial Statements at the Beginning of the First Execution Year of any New Standards Governing
Leases since 2021
Applicable
Whether items of balance sheets at the beginning of the year need to be adjusted
√ Yes □ No
Consolidated balance sheet
Unit: RMB
Item 31 December 2020 1 January 2021 Adjustment
Current assets:
Monetary assets 4,206,266,629.32 4,206,266,629.32
Settlement reserve
Interbank loans granted
Held-for-trading
financial assets
Derivative financial
assets
Notes receivable
53
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Accounts receivable 187,697,631.47 187,697,631.47
Accounts receivable
financing
Prepayments 50,543,422.85 50,543,422.85
Premiums receivable
Reinsurance receivables
Receivable reinsurance
contract reserve
Other receivables 789,050,350.51 789,050,350.51
Including: Interest
receivable
Dividends
receivable
Financial assets
purchased under resale
agreements
Inventories 5,312,489,258.20 5,312,489,258.20
Contract assets
Assets held for sale
Current portion of
non-current assets
Other current assets 48,991,965.92 48,991,965.92
Total current assets 10,595,039,258.27 10,595,039,258.27
Non-current assets:
Loans and advances to
customers
Investments in debt
obligations
Investments in other
debt obligations
Long-term receivables
Long-term equity
45,710,220.79 45,710,220.79
investments
Investments in other
1,044,905.12 1,044,905.12
equity instruments
Other non-current
financial assets
54
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Investment property 484,738,506.83 484,738,506.83
Fixed assets 116,233,936.04 116,233,936.04
Construction in progress
Productive living assets
Oil and gas assets
Right-of-use assets 14,992,421.49 14,992,421.49
Intangible assets 482,049.51 482,049.51
Development costs
Goodwill
Long-term prepaid
11,862,716.14 11,862,716.14
expense
Deferred income tax
950,681,245.50 950,681,245.50
assets
Other non-current assets 1,564,074.34 1,564,074.34
Total non-current assets 1,612,317,654.27 1,627,310,075.76 14,992,421.49
Total assets 12,207,356,912.54 12,222,349,334.03 14,992,421.49
Current liabilities:
Short-term borrowings
Borrowings from the
central bank
Interbank loans obtained
Held-for-trading
financial liabilities
Derivative financial
liabilities
Notes payable
Accounts payable 468,269,685.65 468,269,685.65
Advances from
473,274.48 473,274.48
customers
Contract liabilities 666,893,629.72 666,893,629.72
Financial assets sold
under repurchase
agreements
Customer deposits and
interbank deposits
Payables for acting
55
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
trading of securities
Payables for
underwriting of securities
Employee benefits
177,190,197.36 177,190,197.36
payable
Taxes payable 2,487,212,979.37 2,487,212,979.37
Other payables 847,142,613.09 847,142,613.09
Including: Interest
payable
Dividends
12,202,676.04 12,202,676.04
payable
Handling charges and
commissions payable
Reinsurance payables
Liabilities directly
associated with assets held
for sale
Current portion of
36,722,824.88 36,722,824.88
non-current liabilities
Other current liabilities 43,354,691.51 43,354,691.51
Total current liabilities 4,727,259,896.06 4,727,259,896.06
Non-current liabilities:
Insurance contract
reserve
Long-term borrowings 3,587,800,000.00 3,587,800,000.00
Bonds payable
Including: Preferred
shares
Perpetual bonds
Lease liabilities 14,992,421.49 14,992,421.49
Long-term payables
Long-term employee
benefits payable
Provisions 2,396,947.00 2,396,947.00
Deferred income
Deferred income tax
262.20 262.20
liabilities
56
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Other non-current
108,778,327.45 108,778,327.45
liabilities
Total non-current liabilities 3,698,975,536.65 3,713,967,958.14 14,992,421.49
Total liabilities 8,426,235,432.71 8,441,227,854.20 14,992,421.49
Owners’ equity:
Share capital 595,979,092.00 595,979,092.00
Other equity instruments
Including: Preferred
shares
Perpetual bonds
Capital reserves 80,488,045.38 80,488,045.38
Less: Treasury stock
Other comprehensive
-6,749,589.41 -6,749,589.41
income
Specific reserve
Surplus reserves 19,205,979.63 19,205,979.63
General reserve
Retained earnings 3,038,993,912.43 3,038,993,912.43
Total equity attributable to
owners of the Company as 3,727,917,440.03 3,727,917,440.03
the parent
Non-controlling interests 53,204,039.80 53,204,039.80
Total owners’ equity 3,781,121,479.83 3,781,121,479.83
Total liabilities and
12,207,356,912.54 12,222,349,334.03 14,992,421.49
owners’ equity
Notes to the adjustments
The Company has implemented the new IFRS 16 Leases since 1 January 2021, and according to the accumulated number of impacts
based on the execution of the new lease standard, the Company will adjust the amount of relevant items in the financial statements at the
beginning of the first year of execution, and will not adjust information for comparable periods. For operational leasing prior to the date
of initial adoption, the Company will measure the lease liabilities according to the present value discounted at the incremental
borrowing rate on the date of initial adoption based on the remaining lease payments, and make necessary adjustments to the
right-of-use assets at an amount equal to the lease liabilities.
Balance sheet of the Company as the parent
Unit: RMB
Item 31 December 2020 1 January 2021 Adjustment
Current assets:
57
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Monetary assets 3,216,703,036.69 3,216,703,036.69
Held-for-trading
financial assets
Derivative financial
assets
Notes receivable
Accounts receivable 2,624,500.42 2,624,500.42
Accounts receivable
financing
Prepayments
Other receivables 145,325,697.20 145,325,697.20
Including: Interest
receivable
Dividends
receivable
Inventories 653,885,107.24 653,885,107.24
Contract assets
Assets held for sale
Current portion of
non-current assets
Other current assets 496,729.09 496,729.09
Total current assets 4,019,035,070.64 4,019,035,070.64
Non-current assets:
Investments in debt
obligations
Investments in other
debt obligations
Long-term receivables
Long-term equity
1,071,176,101.18 1,071,176,101.18
investments
Investments in other
1,275,405.12 1,275,405.12
equity instruments
Other non-current
financial assets
Investment property 303,827,356.62 303,827,356.62
Fixed assets 51,091,963.72 51,091,963.72
Construction in progress
58
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Productive living assets
Oil and gas assets
Right-of-use assets 727,535.23 727,535.23
Intangible assets
Development costs
Goodwill
Long-term prepaid
432,440.01 432,440.01
expense
Deferred income tax
252,331,518.26 252,331,518.26
assets
Other non-current assets 1,197,407,234.55 1,197,407,234.55
Total non-current assets 2,877,542,019.46 2,878,269,554.69 727,535.23
Total assets 6,896,577,090.10 6,897,304,625.33 727,535.23
Current liabilities:
Short-term borrowings
Held-for-trading
financial liabilities
Derivative financial
liabilities
Notes payable
Accounts payable 55,887,947.36 55,887,947.36
Advances from
customers
Contract liabilities
Employee benefits
50,710,148.02 50,710,148.02
payable
Taxes payable 3,736,082.67 3,736,082.67
Other payables 3,971,988,862.11 3,971,988,862.11
Including: Interest
payable
Dividends
29,642.40 29,642.40
payable
Liabilities directly
associated with assets held
for sale
Current portion of
31,573,154.86 31,573,154.86
non-current liabilities
59
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Other current liabilities
Total current liabilities 4,113,896,195.02 4,113,896,195.02
Non-current liabilities:
Long-term borrowings 588,200,000.00 588,200,000.00
Bonds payable
Including: Preferred
shares
Perpetual bonds
Lease liabilities 727,535.23 727,535.23
Long-term payables
Long-term employee
benefits payable
Provisions
Deferred income
Deferred income tax
liabilities
Other non-current
40,000,000.00 40,000,000.00
liabilities
Total non-current liabilities 628,200,000.00 628,927,535.23 727,535.23
Total liabilities 4,742,096,195.02 4,742,823,730.25 727,535.23
Owners’ equity:
Share capital 595,979,092.00 595,979,092.00
Other equity instruments
Including: Preferred
shares
Perpetual bonds
Capital reserves 53,876,380.11 53,876,380.11
Less: Treasury stock
Other comprehensive
-2,545,451.19 -2,545,451.19
income
Specific reserve
Surplus reserves 19,205,979.63 19,205,979.63
Retained earnings 1,487,964,894.53 1,487,964,894.53
Total owners’ equity 2,154,480,895.08 2,154,480,895.08
Total liabilities and
6,896,577,090.10 6,897,304,625.33 727,535.23
owners’ equity
60
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Notes to the adjustments
The Company has implemented the new IFRS 16 Leases since 1 January 2021, and according to the accumulated number of impacts
based on the execution of the new lease standard, the Company will adjust the amount of relevant items in the financial statements at the
beginning of the first year of execution, and will not adjust information for comparable periods. For operational leasing prior to the date
of initial adoption, the Company will measure the lease liabilities according to the present value discounted at the incremental
borrowing rate on the date of initial adoption based on the remaining lease payments, and make necessary adjustments to the
right-of-use assets at an amount equal to the lease liabilities.
(4) Retroactive Adjustments to Comparative Data of Prior Years when First Execution of any New Standards Governing
Leases since 2021
□ Applicable √ Not applicable
45. Other
In the Note of the financial statements, the data of the period-beginning refers to the financial statement data on 1 January 2021; the
data of the period-end refers to the financial statement data on 30 June 2021; the Reporting Period refers to the H1 2021; the same
period of last year refers to the H1 2020. The same to the Company as the parent.
VI Taxes
1. Main Taxes and Tax Rates
Category of taxes Tax basis Tax rate
Sales of goods or provision of taxable
VAT [Note 1]
services
Applied to 7%, 5%, 1% separately
Urban maintenance and construction tax Turnover tax payable
according to the regional level
Enterprise income tax Taxable income 25%、20%、15%、16.5% [Note 2]
Added value generated from paid
transfer of the use right of state-owned
VAT of land 30%-60%
lands and property right of above-ground
buildings and other attachments
Levied according to price: paid
according to 1.2% of the residual value
of the real estate’s original value after
Real estate tax 1.2%、12%
deducted 30% at once; levied according
to lease: paid according to 12% of the
rental income
Education surcharge Turnover tax payable 3%
Local education surcharge Turnover tax payable 2%
Notes of the disclosure situation of the taxpaying bodies with different enterprises income tax rate
Name Income tax rate
Chongqing Shenzhen International Trade Center Property
15%
Management Co., Ltd.
Shenzhen SZPRD Housing Assets Operation and Management
20%
Co., Ltd.
61
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Shenzhen Guomao Catering Co., Ltd. 20%
Shenzhen Property Engineering and Construction Supervision
20%
Co., Ltd.
Shenzhen Julian Human Resources Development Co.,Ltd. 20%
Shenzhen Huazhengpeng Property Management Development
20%
Co., Ltd.
Shenzhen Jinhailian Property Management Co.,Ltd. 20%
Shenzhen Zhongtongda House Xiushan Service Co.,Ltd. 20%
Shenzhen Kangping Industry Co.,Ltd. 20%
Shenzhen Teacher Family Training Co., Ltd. 20%
Shenzhen Education Industry Co., Ltd. 20%
Shenzhen Yufa Industry Co., Ltd. 20%
Chongqing Aobo Elevator Co., Ltd. 20%
Subsidiaries registered in Vietnam 20%
Subsidiaries registered in Hong Kong area 16.50%
Other taxpaying bodies within the consolidated scope 25%
2. Tax Preference
[Note 2]: According to the regulations of No. 2, Property Service of No. 37, Commercial Service among the encouraging category of
the Guidance Catalogue of Industry Structure Adjustment (Y2011), the western industry met with the conditions should be collected
the corporate income tax according to 15% of the tax rate. The subsidiary of the Group Chongqing Shenzhen International Trade
Center Property Management Co., Ltd. applies to above policy.
According to the State Administration of Taxation Notice on the Implementation of Inclusive Tax Relief Policy for Small and Micro
Enterprises (Fiscal [2019] No.13), from 1 January 2019, to 31 December 2021, the portion of the annual taxable income of small and
micro enterprises that does not exceed RMB1 million shall be included in the taxable income at a reduced rate of 25%, and the
enterprise income tax shall be paid at a tax rate of 20%. If the annual taxable income exceeds RMB1 million and does not exceed
RMB3 million, it shall be included in the taxable income at a reduced rate of 50%, and the enterprise income tax shall be paid at a tax
rate of 20%. This policy applies to 12 subsidiaries of our group from 2019 onwards, including Chongqing Aobo Elevator Co., Ltd.,
Shenzhen International Trade Center Catering Co., Ltd., etc.
3. Other
[Note 1]: Taxable items and tax rate of the VAT of the Company and its subsidiaries are as follows:
Type of the revenue General rate Percentage charges of
Sales of house property 9% 5%
Rent of real estate 9% 5%
Property service 6% 3%
Catering service 6% 3%
Others 13% --
62
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
VII. Notes to Major Items in the Consolidated Financial Statements of the Company
1. Monetary Assets
Unit: RMB
Item Ending balance Beginning balance
Cash on hand 123,973.10 96,389.26
Bank deposits 4,957,558,330.37 4,193,301,592.08
Other monetary assets 13,361,971.72 12,868,647.98
Total 4,971,044,275.19 4,206,266,629.32
Of which: the total amount deposited
50,557,748.04 51,323,986.36
overseas
The total amount with restricted right
17,754,631.22 38,111,717.09
of use for mortgage, pledge or freeze
Other notes
The RMB 13,361,971.72 other monetary assets mainly include RMB 1,148,647.30 guarantee deposit, RMB 11,613,310.06 cash
deposits for L/G and RMB 11,031.58 bank frozen assets; The RMB 4,957,558,330.37 bank deposits include RMB 4,937,087.93
accrued interest on time deposits at Period-end. The above amount is not regarded as cash and cash equivalents due to restrictions on
use.
2. Held-for-trading Financial Assets
Unit: RMB
Item Ending balance Beginning balance
Of which:
Of which:
Other notes:
3. Derivative Financial Assets
Unit: RMB
Item Ending balance Beginning balance
Other notes:
4. Notes Receivable
(1) Notes Receivable Listed by Category
Unit: RMB
Item Ending balance Beginning balance
Unit: RMB
Ending balance Beginning balance
Bad debt
Carrying amount Carrying amount Bad debt provision
Category provision Carryin Carryin
Amoun Proport Amoun Withdr g value Amoun Proport Withdr g value
Amount
t ion t awal t ion awal
63
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
proport proporti
ion on
Of which:
Of which:
Bad debt provision separately accrued:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion Withdrawal reason
Bad debt provision withdrawn according to groups:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion
Notes of the basis of recognizing the group:
If the bad debt provision for notes receivable was withdrawn in accordance with the general model of expected credit losses,
information related to bad debt provision shall be disclosed by reference to the disclosure method of other receivables:
□ Applicable √ Not applicable
(2) Bad Debt Provision Withdrawn, Reversed or Collected during the Reporting Period
Bad debt provision withdrawn in the Reporting Period:
Unit: RMB
Increase/decrease
Beginning
Category Reversed or Ending balance
balance Withdrawn Verified Other
collected
Of which, bad debt provision collected or reversed with significant amount:
□ Applicable √ Not applicable
(3) Notes Receivable Pledged by the Company at the Period-end
Unit: RMB
Item Amount
(4) Notes Receivable which Had Endorsed by the Company or had Discounted and had not Due on the
Balance Sheet Date at the Period-end
Unit: RMB
Amount of recognition termination at the Amount of not terminated recognition at
Item
period-end the period-end
(5) Notes Transferred to Accounts Receivable because Drawer of the Notes Failed to Execute the Contract
or Agreement
Unit: RMB
Amount of the notes transferred to accounts receivable at the
Item
period-end
Other notes
64
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(6) Notes Receivable with Actual Verification for the Reporting Period
Unit: RMB
Item Amount
Of which, verification of significant notes receivable:
Unit: RMB
Whether occurred
because of
Name of the entity Nature Amount Reason Procedure
related-party
transactions
Notes of the verification of notes receivable
5. Accounts Receivable
(1) Accounts Receivable Classified by Category
Unit: RMB
Ending balance Beginning balance
Bad debt
Carrying amount Carrying amount Bad debt provision
provision
Category Withdr Carryin Withdr Carrying
Amoun Proport Amoun awal g value Amoun Proport Amoun awal value
t ion t proport t ion t proport
ion ion
Accounts
105,26 105,26 105,27 105,27
receivable with 27.52 100.00 100.00
8,927.2 8,927.2 3,564.0 34.37% 3,564.0
single bad debt % % %
0 0 0 0
provision accrued
Of which:
Accounts
receivable with bad
277,29 259,90 201,04
debt provision 72.48 17,395, 13,342, 187,697,
8,014.7 6.00% 2,999.9 0,006.9 65.63% 6.64%
withdrawn % 014.80 375.51 631.47
8 8 8
according to
groups
Of which:
382,56 122,66 259,90 306,31
100.00 32.00 100.00 118,615 187,697,
Total 6,941.9 3,942.0 2,999.9 3,570.9 39.00%
% % % ,939.51 631.47
8 0 8 8
Bad debt provision separately accrued:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion Withdrawal reason
65
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Shenzhen Jiyong
Properties & Involved in the lawsuit
Resources 93,811,328.05 93,811,328.05 100.00% and no executable
Development property
Company
Shenzhen Tewei Uncollectible for a
2,836,561.00 2,836,561.00 100.00%
Industry Co., Ltd. long period
Poor operating
Lunan Industry conditions,
2,818,284.84 2,818,284.84 100.00%
Corporation uncollectible for a long
period
Those with
insignificant single
amount for which bad 5,802,753.31 5,802,753.31 100.00%
debt provision
separately accrued
Total 105,268,927.20 105,268,927.20 -- --
Bad debt provision separately accrued:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion Withdrawal reason
Bad debt provision withdrawn according to groups:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion
Within 1 year 241,978,667.33 7,259,360.02 3.00%
1 to 2 years 22,307,419.50 2,230,741.95 10.00%
2 to 3 years 4,005,077.27 1,201,523.18 30.00%
3 to 4 years 4,051,500.30 2,025,750.15 50.00%
4 to 5 years 1,388,554.43 1,110,843.54 80.00%
Over 5 years 3,566,795.96 3,566,795.96 100.00%
Total 277,298,014.79 17,395,014.80 --
Notes of the basis of recognizing the group:
Bad debt provision withdrawn according to groups:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion
Notes of the basis of recognizing the group:
66
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
If the bad debt provision for accounts receivable was withdrawn in accordance with the general model of expected credit losses,
information related to bad debt provision shall be disclosed by reference to the disclosure method of other receivables:
□ Applicable √ Not applicable
Disclosed by aging
Unit: RMB
Aging Carrying amount
Within 1 year (including 1 year) 241,978,667.33
1 to 2 years 22,307,419.50
2 to 3 years 4,005,077.27
Over 3 years 114,275,777.88
3 to 4 years 4,051,500.30
4 to 5 years 1,388,554.43
Over 5 years 108,835,723.15
Total 382,566,941.98
(2) Bad Debt Provision Withdrawn, Reversed or Collected during the Reporting Period
Bad debt provision withdrawn in the Reporting Period:
Unit: RMB
Increase/decrease
Beginning
Category Reversed or Ending balance
balance Withdrawn Verified Other
collected
Bad debt
provision
105,273,564.00 4,636.80 105,268,927.20
separately
accrued
Bad debt
provision
withdrawn 13,342,375.51 4,052,639.29 17,395,014.80
according to
groups
Total 118,615,939.51 4,052,639.29 4,636.80 122,663,942.00
Of which, bad debt provision collected or reversed with significant amount:
Unit: RMB
Name of the entity Amount reversed or collected Method
(3) Accounts Receivable with Actual Verification for the Reporting Period
Unit: RMB
Item Amount
Of which, verification of significant accounts receivable:
Unit: RMB
67
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Whether occurred
because of
Name of the entity Nature Amount Reason Procedure
related-party
transactions
Notes of the verification of accounts receivable:
(4) Top 5 of the Ending Balance of the Accounts Receivable Collected according to the Arrears Party
Unit: RMB
Ending balance of accounts % of total ending balance of Ending balance of bad debt
Name of the entity
receivable accounts receivable provision
Shenzhen Jiyong
Properties & Resources 93,811,328.05 24.52% 93,811,328.05
Development Company
Shenzhen Bay
Technology 91,137,483.07 23.82% 2,734,124.49
Development Co., Ltd.
Shenzhen Toutiao
10,985,418.37 2.87% 329,562.55
Technology Co., Ltd.
Ali Future Hotel
Management (Zhejiang) 6,983,019.15 1.83% 209,490.57
Co., Ltd.
Shenzhen Meiya
Industry Development 2,645,673.28 0.69% 79,370.20
Co.,Ltd.
Total 205,562,921.92 53.73%
(5) Accounts Receivable Derecognized due to the Transfer of Financial Assets
(6) The Amount of the Assets and Liabilities Formed due to the Transfer and the Continued Involvement of
Accounts Receivable
Other notes:
6. Accounts Receivable Financing
Unit: RMB
Item Ending balance Beginning balance
Increase or decrease of accounts receivable financing and changes in fair value thereof
□ Applicable √ Not applicable
If the depreciation reserve for accounts receivable financing was withdrawn in accordance with the general model of expected credit
losses, the information related to depreciation reserve shall be disclosed by reference to the disclosure method of other receivables:
□ Applicable √ Not applicable
Other notes:
68
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
7. Prepayment
(1) List by Aging Analysis
Unit: RMB
Ending balance Beginning balance
Aging
Amount Proportion Amount Proportion
Within 1 year 30,531,873.80 40.02% 28,553,066.87 55.83%
1 to 2 years 24,815,955.14 32.53% 1,208,311.68 2.36%
2 to 3 years 990,792.73 1.30% 769,153.00 1.50%
Over 3 years 19,950,444.99 26.15% 20,012,891.30 40.30%
Total 76,289,066.66 -- 50,543,422.85 --
Notes of the reasons of the prepayment aging over 1 year with significant amount but failed settled in time:
The prepayment aging over one year are the various prepaid taxes, like land VAT, urban construction tax and educational surtax of
prepayment of real estate projects still not reaching the recognition of income conditions according to tax law; the relevant
procedures of conscience money including land price transaction fees and municipal supporting facilities fee hasn’t been completed
yet.
(2) Top 5 of the Ending Balance of the Prepayment Collected according to the Prepayment Target
Name of the entity Carrying amount As % of the total ending balance of
the prepayments (%)
Shenzhen Qianhai Advanced Information 36,850,000.00 48.30%
Service Co., Ltd.
Financial Committee of Shenzhen 19,509,471.00 25.57%
Tax Bureau of Tongshan District in Xuzhou 481,628.41 0.63%
Shenzhen Lipu Construction Industry Co., Ltd. 456,602.87 0.60%
Chongqing Electric Power Corporation 424,155.99 0.56%
Subtotal 57,721,858.27 75.66%
Other notes:
8. Other Receivables
Unit: RMB
Item Ending balance Beginning balance
Other Receivables 803,760,748.21 789,050,350.51
Total 803,760,748.21 789,050,350.51
(1) Interest Receivable
1) Category of Interest Receivable
Unit: RMB
Item Ending balance Beginning balance
69
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
2) Significant Overdue Interest
Unit: RMB
Whether occurred
Entity Ending balance Overdue time Overdue reason impairment and the
judgment basis
Other notes:
3) Withdrawal of Bad Debt Provision
□ Applicable √ Not applicable
(2) Dividends Receivable
1) Category of Dividends Receivable
Unit: RMB
Item (or investees) Ending balance Beginning balance
2) Significant Dividends Receivable Aged over 1 Year
Unit: RMB
Whether occurred
Item (or investees) Ending balance Aging Reason impairment and the
judgment basis
3) Withdrawal of Bad Debt Provision
□ Applicable √ Not applicable
Other notes:
(3) Other Receivables
1) Other Receivables Disclosed by Account Nature
Unit: RMB
Nature Ending carrying amount Beginning carrying amount
Margin 9,362,541.31 10,259,805.89
Cash deposit 52,177,688.46 45,948,194.30
Petty cash 4,622,314.10 595,148.50
Payments on behalf 5,371,750.53 8,381,989.28
External intercourse funds 775,178,639.44 763,481,109.87
Other 13,051,446.27 13,537,736.74
Total 859,764,380.11 842,203,984.58
2) Withdrawal of Bad Debt Provision
Unit: RMB
First stage Second stage Third stage
Expected credit Expected loss in the Expected loss in the
Bad debt provision Total
loss of the next 12 duration (credit duration (credit
months impairment not occurred) impairment occurred)
70
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Balance of 1 January
25,178,102.14 0.00 27,975,531.93 53,153,634.07
2021
Balance of 1 January
2021 in the Reporting —— —— —— ——
Period
Withdrawal of the
2,791,617.83 58,380.00 2,849,997.83
Reporting Period
Balance of 30 June
27,969,719.97 28,033,911.93 56,003,631.90
2021
Changes of carrying amount with significant amount changed of loss provision in the reporting period
□ Applicable √ Not applicable
Disclosed by aging
Unit: RMB
Aging Carrying amount
Within 1 year (including 1 year) 26,159,741.13
1 to 2 years 45,415,188.00
2 to 3 years 735,972,999.68
Over 3 years 52,216,451.30
3 to 4 years 2,755,109.56
4 to 5 years 745,281.19
Over 5 years 48,716,060.55
Total 859,764,380.11
3) Bad Debt Provision Withdrawn, Reversed or Collected during the Reporting Period
Bad debt provision withdrawn in the Reporting Period:
Unit: RMB
Increase/decrease
Beginning
Category Reversed or Ending balance
balance Withdrawn Verified Other
collected
Bad debt
provision
27,975,531.93 58,380.00 28,033,911.93
separately
accrued
Withdrawal of
bad debt
25,178,102.14 2,791,617.83 27,969,719.97
provision by
groups
Total 53,153,634.07 2,849,997.83 56,003,631.90
Of which bad debt provision revered or recovered with significant amount:
71
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Unit: RMB
Name of the entity Reversed or collected amount Method
4) Particulars of the Actual Verification of Other Receivables during the Reporting Period
Unit: RMB
Item Amount
Of which significant actual verification of other receivables:
Unit: RMB
Whether occurred
because of
Name of the entity Nature Amount Reason Procedure
related-party
transactions
Notes of verification of other receivables:
5) Top 5 of the Ending Balance of the Other Receivables Collected according to the Arrears Party
Unit: RMB
Proportion to
ending balance of Ending balance of
Name of the entity Nature Ending balance Aging
other receivables bad debt provision
(%)
Shenzhen Xinhai External
401,499,990.18 2-3 年 46.70% 0.00
Holding Co., Ltd. intercourse funds
Shenzhen Xinhai
Rongyao Real
External
Estate 330,472,932.33 2-3 年 38.44% 0.00
intercourse funds
Development Co.,
Ltd.
Shenzhen
Bangling Stock External
30,000,000.00 1-2 年 3.49% 3,000,000.00
Cooperative intercourse funds
Company
Affordable
Housing Regulatory capital
Development for presale of
11,145,688.46 1-2 年 1.30% 1,114,568.85
Center of commercial
Tongshan District buildings
in Xu Zhou
Shenzhen Tianjun Cooperation
10,000,000.00 1 年以内 1.16% 300,000.00
Industrial Co., Ltd. deposit
Total -- 783,118,610.97 -- 91.09% 4,414,568.85
6) Accounts Receivable Involving Government Subsidies
Unit: RMB
72
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Project of government Estimated recovering
Name of the entity Ending balance Aging at period-end
subsidies time, amount and basis
7) Derecognition of Other Receivables due to the Transfer of Financial Assets
8) The Amount of the Assets and Liabilities Formed due to the Transfer and the Continued Involvement of
Other Receivables
Other notes:
9. Inventories
Whether the Company needs to comply with the disclosure requirements for real estate industry
Yes
(1) Category of Inventories
The Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure
Guidelines No.3-Listed Companies Engaged in Real Estate Industry
Classification by nature:
Unit: RMB
Ending balance Beginning balance
Falling price Falling price
reserves of reserves of
inventory or inventory or
Item Carrying depreciation Carrying depreciation
Carrying value Carrying value
amount reserves of amount reserves of
contract contract
performance performance
cost cost
5,086,835,457. 5,080,187,053. 4,867,562,388. 4,860,913,984.
R&D expenses 6,648,404.13 6,648,404.13
58 45 16 03
Developing
208,698,204.31 208,698,204.31 450,832,522.28 450,832,522.28
properties
Raw materials 1,112,035.28 470,418.84 641,616.44 1,169,494.26 535,302.89 634,191.37
Inventory
2,140,743.72 2,094,300.39 46,443.33 2,141,714.37 2,094,300.39 47,413.98
goods
Low-value
consumption 54,783.38 54,783.38 61,146.54 61,146.54
goods
5,298,841,224. 5,289,628,100. 5,321,767,265. 5,312,489,258.
Total 9,213,123.36 9,278,007.41
27 91 61 20
Disclose main items of "R&D expenses" and interest capitalization in the following format:
Unit: RMB
Date of Estimat Estimat Transfe Other Increas Accum Of
Name Beginni Ending Capital
comme ed date ed total rred to decreas e (R&D ulative which:
of ng balance resourc
ncemen of investm develop e for expense amount amount
73
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
project t complet ent balance ing this s) for of of es
ion properti period this capitali capitali
es for period zed zed
this interest interest
period s s for
this
period
Guanla
n 6,941,5 3,570,4 143,45 3,713,9
56,314, 56,314, Bank
Banglin 00,000. 99,129. 8,187.9 57,317.
334.42 334.42 loan
g 00 09 5 04
Project
SZPRD
-Bansh 30
15 235,81 168,81 191,58
an Septem 113,040 22,881,
March 0,000.0 5,335.1 4,033.8 Other
Yujing ber .00 738.66
2019 0 9 5
Phase 2021
II
SZPRD
-Golde
31
n 1 357,00 245,59 275,54
Decem 29,953, 1,059,6
Collar’s March 0,000.0 6,393.0 9,542.3 Other
ber 149.27 84.29
Resort- 2014 0 7 4
2021
Buildin
gA
SZPRD
-Fucha 1 31
801,09 608,58 627,69
ng Decem Decem 19,110,
0,000.0 0,860.2 1,214.8 Other
Garden ber ber 354.67
0 1 8
Phase 2018 2022
II
Yupinlu 226,61 228,41
1,799,7
anshan 3,926.2 3,653.0 Other
26.84
Garden 4 8
Hainan
Qiongs 6,648,4 6,648,4
Other
han 04.13 04.13
Land
Shenhu
37,002, 37,002,
i Other
030.89 030.89
Garden
Fuyuan 1,143,1 1,220,6 2,363,8 Other
74
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
tai 84.20 87.88 72.08
Project
Other 2,663,1 962,26 3,625,3
Other
projects 25.14 4.15 89.29
8,335,4 4,867,5 219,38 5,086,8
113,040 57,374, 56,314,
Total -- -- 00,000. 62,388. 6,109.4 35,457. --
.00 018.71 334.42
00 16 2 58
Disclose main items of “Developing properties” in the following format:
Unit: RMB
Of which:
Accumulative
Date of amount of
Name of Beginning amount of
completio Increase Decrease Ending balance capitalized
project balance capitalized
n interests for this
interests
period
SZPRD-
1
Langqiao 3,384,362.2
Decembe 3,384,362.24
Internatio 4
r 2012
nal
SZPRD-
Hupan 1 June 58,947,050.
678,293.62 58,268,757.15 10,446,911.43
Yujing 2015 77
Phase I
SZPRD-
1
Banshan 18,784,966. 18,898,006.5
Novembe 113,040.00 27,205,315.95
Yujing 55 5
r 2016
Phase I
SZPRD-S
1 July 25,150,175.
onghu 305,308.44 24,844,867.51 30,539,392.65
2017 95
Langyuan
SZPRD-
1
Hupan 80,210,044.
Novembe 2,862,301.71 77,347,743.16
Yujing 87
r 2017
Phase II
SZPRD-
Golden
Collar’s
1
Resort-B 254,824,025 218,487,178.
Decembe 36,336,847.10 25,325,952.00
uilding B .85 75
r 2019
and
Building
C
75
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Internatio
1
nal Trade 4,839,083.1
Decembe 4,839,083.10
Center 0
r 1995
Plaza
Huangyu
1 June
yuan A 790,140.58 790,140.58
2001
Area
Podium
Building 1
of Novembe 645,532.65 645,532.65
Fuchang r 1999
Building
Other 3,257,139.7
1,016,268.90 2,240,870.82 83,077,702.96
projects 2
450,832,522 242,247,357.
Total -- 113,040.00 208,698,204.31 176,595,274.99
.28 97
Classification of “Developing properties with the collection of payments in installments”, “Renting developing properties” and
“Temporary Housing”:
Unit: RMB
Name of
Beginning balance Increase Decrease Ending balance
project
(2) Falling Price Reserves of Inventory and Depreciation Reserves of Contract Performance Cost
Disclosure of falling provision withdrawal of inventory in the following format:
Classification by nature:
Unit: RMB
Beginnin Increase Decrease
Ending
Item g Reversal or Note
Withdrawn Other Other balance
balance write-off
6,648,40
R&D expenses 6,648,404.13
4.13
535,302.
Raw materials 64,884.05 470,418.84
89
Inventory 2,094,30
2,094,300.39
goods 0.39
9,278,00
Total 64,884.05 9,213,123.36 --
7.41
Classified by nature:
Unit: RMB
Name of Beginnin Increase Decrease Ending Note
76
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
project g Reversal or balance
Withdrawn Other Other
balance write-off
(3) Notes to the Ending Balance of Inventories Including Capitalized Borrowing Expense
Name of project Period-begin Reporting Period Carry-over in Reporting Period-end
Period
SZPRD-Langqiao 2,971,986.54 2,971,986.54
International
SZPRD-Hupan Yujing 1,422,628.90 57,170.89 1,365,458.01
Phase I
SZPRD-Golden Collar’s 12,740,265.51 - 4,495,689.79 8,244,575.72
Resort
Guanlan Bangling project 56,314,334.42 56,314,334.42
Subtotal 17,134,880.95 56,314,334.42 4,552,860.68 68,896,354.69
(4) Inventory restrictions
Disclosing restricted inventory by project:
Unit: RMB
Name of project Beginning balance Ending balance Reason for the Limit
10. Contract Assets
Unit: RMB
Ending balance Beginning balance
Item Carrying Depreciation Carrying Carrying Depreciation
Carrying value
amount reserves value amount reserves
Amount of significant changes in carrying value of contract assets in the Reporting Period and reasons thereof:
Unit: RMB
Item Amount changed Reason
If the bad debt provision for contract assets in accordance with the general model of expected credit losses, the information related to
the bad debt provision shall be disclosed by reference to the disclosure method of other receivables:
□ Applicable √ Not applicable
Withdrawal of impairment provision for contract assets in the Reporting Period
Unit: RMB
Withdrawal of the Reversal of the
Item Write-off/verified Reason
Reporting Period Reporting Period
Other notes:
11. Held-for-sale Assets
Unit: RMB
Item Ending Depreciation Ending Fair value Estimated Estimated
77
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
carrying reserves carrying value disposal disposal time
amount expense
Other notes:
12. Current Portion of Non-current Assets
Unit: RMB
Item Ending balance Beginning balance
Significant investments in debt obligations /other investments in debt obligations
Unit: RMB
Ending balance Beginning balance
Actual Actual
Item Coupon Maturity Coupon Maturity
Par value interest Par value interest
rate date rate date
rate rate
Other notes:
13. Other Current Assets
Unit: RMB
Item Ending balance Beginning balance
Prepaid VAT 16,030,350.44 7,467,152.90
Deducted input tax 13,079,133.12 11,705,028.57
Prepaid land VAT 15,872,072.37 28,960,506.43
Prepaid urban construction tax 1,122,124.53 501,245.53
Prepaid education surcharge 801,517.52 358,032.49
Total 46,905,197.98 48,991,965.92
Other notes:
14. Investments in debt obligations
Unit: RMB
Ending balance Beginning balance
Item Carrying Depreciation Carrying Depreciation
Carrying value Carrying value
amount reserves amount reserves
Significant investments in debt obligations
Unit: RMB
Ending balance Beginning balance
Actual Actual
Item Coupon Maturity Coupon Maturity
Par value interest Par value interest
rate date rate date
rate rate
Withdrawal of impairment provision
Unit: RMB
Bad debt provision First stage Second stage Third stage Total
78
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Expected credit Expected loss in the Expected loss in the
loss of the next 12 duration (credit duration (credit
months impairment not occurred) impairment occurred)
Balance of 1 January
2021 in the Reporting —— —— —— ——
Period
Changes of carrying amount with significant amount changed of loss provision in the reporting period
□ Applicable √ Not applicable
Other notes:
15. Other Investments in Debt Obligations
Unit: RMB
Accumulat
ed
Change in provision
Accumulat
fair value for losses
Beginning Accrued Ending ed changes
Item in the Costs recognized Note
balance interest balance in fair
Reporting in other
value
Period comprehen
sive
income
Significant other investments in debt obligations
Unit: RMB
Ending balance Beginning balance
Actual Actual
Item Coupon Maturity Coupon Maturity
Par value interest Par value interest
rate date rate date
rate rate
Withdrawal of impairment provision
Unit: RMB
First stage Second stage Third stage
Expected credit Expected loss in the Expected loss in the
Bad debt provision Total
loss of the next 12 duration (credit duration (credit
months impairment not occurred) impairment occurred)
Balance of 1 January
2021 in the Reporting —— —— —— ——
Period
Changes of carrying amount with significant amount changed of loss provision in the reporting period
□ Applicable √ Not applicable
Other notes:
79
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
16. Long-term Receivables
(1) List of Long-term Receivables
Unit: RMB
Ending balance Beginning balance
Interval of
Item Carrying Bad debt Carrying Carrying Bad debt Carrying
discount rate
amount provision value amount provision value
Impairment of bad debt provision
Unit: RMB
First stage Second stage Third stage
Expected credit Expected loss in the Expected loss in the
Bad debt provision Total
loss of the next 12 duration (credit duration (credit
months impairment not occurred) impairment occurred)
Balance of 1 January
2021 in the Reporting —— —— —— ——
Period
Changes of carrying amount with significant amount changed of loss provision in the reporting period
□ Applicable √ Not applicable
(2) Derecognition of Long-term Receivables due to the Transfer of Financial Assets
(3) The Amount of the Assets and Liabilities Formed due to the Transfer and the Continued Involvement of
Long-term Receivables
Other notes
17. Long-term Equity Investment
Unit: RMB
Increase/decrease
Gains
Ending
Beginni and Cash
Adjust Withdr Ending balance
ng losses bonus
Addition ment of Change awal of balance of
Investe balance Reduced recogni or
al other s of depreci (carryin depreci
es (carryin investme zed profits Other
investme compre other ation g ation
g nt under announ
nt hensive equity reserve value) reserve
value) the ced to
income s s
equity issue
method
I. Joint ventures
Shenzh
en Real
Estate 39,053, 3,139,7 42,193,
Jifa 923.92 33.17 657.09
Wareho
using
80
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Co.,
Ltd.
Shenzh
en
Tian’an
Internat
ional
Mansio
6,656,2 78,750. 6,735,0
n
96.87 00 46.87
Propert
y
Admini
stration
Co.,
Ltd.
Subtota 45,710, 3,218,4 48,928,
l 220.79 83.17 703.96
II. Associated enterprises
Shenzh
en
Wufang
Pottery
& 18,983, 18,983, 18,983,
Porcela 614.14 614.14 614.14
in
Industri
al Co.,
Ltd.
Shenzh
en
Kangfu
165,00 165,00 165,00
Health
0.00 0.00 0.00
Product
s Co.,
Ltd.
Shenzh
en
Xingha
756,67 756,67 756,67
o
0.68 0.68 0.68
Imitatio
n
Porcela
81
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
in Co.,
Ltd.
Shenzh
en
Social
Welfare
Compa 326,69 326,69 326,69
ny 3.24 3.24 3.24
Fuda
Electro
nics
Factory
Shenzh
en
Fulong
Industr
1,684,3 1,684,3 1,684,3
y
50.00 50.00 50.00
Develo
pment
Co. ,
Ltd.
Haonia
2,733,5 2,733,5 2,733,5
nhua
70.05 70.05 70.05
Hotel
Shenzh
en
Educati
on
500,00 500,00 500,00
Fund
0.00 0.00 0.00
Longhu
a
Investm
ent
Shenzh
en
Kangle
Sports 540,06 540,06 540,06
Club 0.00 0.00 0.00
Huangf
a
Branch
Danken 1,168,9 1,168,9 1,168,9
82
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
g 73.20 73.20 73.20
Village
Plants
of
Fumin
in
Guanla
n
Town,
Shenzh
en City
Shenzh
en Bull
Entertai 500,00 500,00 500,00
nment 0.00 0.00 0.00
Co.,
Ltd.
Shenzh
en
Lianhu
a
Caitian
1,475,4 1,475,4 1,475,4
Propert
65.91 65.91 65.91
y
Manage
ment
Co.,
Ltd.
Shenzh
en
Yangyu
1,030,0 1,030,0 1,030,0
an
00.00 00.00 00.00
Industri
al Co.,
Ltd.
Jiakaife
ng Co.,
Ltd. 600,00 600,00 600,00
Bao’an 0.00 0.00 0.00
Compa
ny
Guiyua 350,00 350,00 350,00
n 0.00 0.00 0.00
83
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Garage
Shenzh
en
Wuwei
ben 500,00 500,00 500,00
Roof 0.00 0.00 0.00
Greenin
g Co.,
Ltd.
Shenzh
enYuan
ping
Plastic 240,00 240,00 240,00
Steel 0.00 0.00 0.00
Doors
Co.,
Ltd.
Shenzh
enYouf
ang 100,00 100,00 100,00
Printin 0.00 0.00 0.00
g Co.,
Ltd.
Shenzh
en
Lushen
g
Industri 100,00 100,00 100,00
al 0.00 0.00 0.00
Develo
pment
Co.,
Ltd.
Subtota 31,754, 31,754, 31,754,
l 397.22 397.22 397.22
77,464, 3,218,4 80,683, 31,754,
Total
618.01 83.17 101.18 397.22
Other notes
18. Other equity instrument investment
Unit: RMB
Item Ending balance Beginning balance
84
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Gintian Industry (Group) Co., Ltd. 773,704.00 1,044,905.12
Total 773,704.00 1,044,905.12
Non-trading equity instrument investment in the Reporting Period disclosed by items
Unit: RMB
Reason for
Amount of Reason for
assigning to
other other
measure in fair
Dividend comprehensive comprehensive
Name of Accumulative Accumulative value of which
income income income
project gains losses changes
recognized transferred to transferred to
included other
retained retained
comprehensive
earnings earnings
income
Gintian Not aiming at
Industry gaining
2,816,652.31
(Group) Co., earnings by
Ltd. selling equity
Other notes:
19. Other non-current financial assets
Unit: RMB
Item Ending balance Beginning balance
Other notes:
20. Investment Property
(1) Investment Property Adopting the Cost Measurement Mode
√ Applicable □ Not applicable
Unit: RMB
Construction in
Item Houses and buildings Land use right Total
progress
I. Original carrying
value
1. Beginning balance 806,486,705.38 30,262,437.05 33,319,759.75 870,068,902.18
2. Increased amount of
4,025,081.41 4,025,081.41
the period
(1) Outsourcing 4,025,081.41 4,025,081.41
(2) Transfer from
inventories/fixed
assets/construction in
progress
(3) Enterprise
combination increase
85
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
3. Decreased amount
8,783,828.36 8,783,828.36
of the period
(1) Disposal 1,525,917.94 1,525,917.94
(2) Other transfer 7,136,107.37 7,136,107.37
(3) Exchange
adjustment
4. Ending balance 806,486,705.38 30,262,437.05 28,561,012.80 865,310,155.23
II. Accumulative
depreciation and
accumulative
amortization
1. Beginning balance 362,944,868.15 15,342,910.07 7,042,617.13 385,330,395.35
2. Increased amount of
13,855,349.30 527,538.78 3,956,426.82 18,339,314.90
the period
(1) Withdrawal or
13,855,349.30 527,538.78 3,956,426.82 18,339,314.90
amortization
3. Decreased amount
5,363,887.20 5,363,887.20
of the period
(1) Disposal 50,705.46 50,705.46
(2) Other transfer 5,197,468.84 5,197,468.84
(3) Exchange
115,712.90 115,712.90
adjustment
4. Ending balance 376,800,217.45 15,870,448.85 5,635,156.75 398,305,823.05
III. Depreciation
reserves
1. Beginning balance
2. Increased amount of
the period
(1) Withdrawal
3. Decreased amount
of the period
(1) Disposal
(2) Other transfer
86
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
4. Ending balance
IV. Carrying value
1. Ending carrying
429,686,487.93 14,391,988.20 22,925,856.05 467,004,332.18
value
2. Beginning carrying
443,541,837.23 14,919,526.98 26,277,142.62 484,738,506.83
value
(2) Investment Property Adopting the Fair Value Measurement Mode
□ Applicable √ Not applicable
The Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure
Guidelines No.3-Listed Companies Engaged in Real Estate Industry
Investment properties measured in fair value by project disclosure:
Unit: RMB
Lease
income
Geogra Date of during Beginni Range of Reason for fair
Buildin Ending fair
Name of project phic complet this ng fair fair value value changes
g area value
location ion Reporti value changes and report index
ng
Period
Whether the Company has new investment properties in construction period measured in fair value
□Yes √ No
Whether the Company has new investment properties measured in fair value
□Yes √ No
(3) Investment Property Failed to Accomplish Certification of Property
Unit: RMB
Item Carrying value Reason
Replaced from the construction of
02-01 plot of Statutory plan in Baolong
8,697,781.98 Xiamen-Shenzhen Railway, and hasn’t
East Area
exchanged for the new certification
Obtained after the success in the last
Meilin land 0.00 instance in 2017, relevant certifications
of property are in the procedure [note 1]
The house is used for property
management, once occupied by the third
507 units, Block No. 6, Maguling 25,953.71 party, a property management company,
now has been recovered, but hasn’t
handled the warrant yet.
Other notes
[Note 1] As of 30 June 2021, with regard to the Meilin land, the gross amount was RMB3,885,469.40, the cumulative depreciation
was RMB3,885,469.40, and the carrying amount was RMB0.
87
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
21. Fixed assets
Unit: RMB
Item Ending balance Beginning balance
Fixed assets 108,878,082.57 116,233,936.04
Total 108,878,082.57 116,233,936.04
(1) List of Fixed Assets
Unit: RMB
Houses and Machinery Decoration of Other
Item Transportation Total
buildings equipment the fixed assets equipment
I. Original
carrying value
1. Beginning
160,927,555.25 4,933,197.00 14,976,483.00 34,061,422.86 42,530,271.18 257,428,929.29
balance
2. Increased
amount of the 7,155.97 853,977.39 1,968,926.86 2,830,060.22
period
(1) Purchase 7,155.97 853,977.39 1,968,926.86 2,830,060.22
(2) Transfer
from
construction in
progress
(3) Enterprise
combination
increase
3. Decreased
amount of the 1,179,844.00 1,324,421.51 273,532.29 2,777,797.80
period
(1) Disposal or
1,179,844.00 205,231.46 1,385,075.46
scrap
(2) Exchange
68,300.83 68,300.83
adjustment
1,324,421.51 1,324,421.51
4. Ending
160,927,555.25 4,940,352.97 14,650,616.39 32,737,001.35 44,225,665.75 257,481,191.71
balance
II.
Accumulative
depreciation
88
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
1. Beginning
105,061,072.73 219,685.18 10,040,163.20 4,963,933.66 20,834,421.32 141,119,276.09
balance
2. Increased
amount of the 2,155,942.92 237,030.36 670,932.11 3,273,700.80 2,794,585.87 9,132,192.06
period
(1) Withdrawal 2,155,942.92 237,030.36 670,932.11 3,273,700.80 2,794,585.87 9,132,192.06
3. Decreased
amount of the 1,143,119.00 331,105.98 249,851.19 1,724,076.17
period
(1) Disposal or
1,143,119.00 331,105.98 187,697.43 1,330,816.43
scrap
(2) Exchange
62,153.76 62,153.76
adjustment
4. Ending
107,217,015.65 456,715.54 9,567,976.31 7,906,528.48 23,379,156.00 148,527,391.98
balance
III.
Depreciation
reserves
1. Beginning
75,717.16 75,717.16
balance
2. Increased
amount of the
period
(1) Withdrawal
3. Decreased
amount of the
period
(1) Disposal or
scrap
4. Ending
75,717.16 75,717.16
balance
IV. Carrying
value
1. Ending 53,710,539.60 4,483,637.43 5,082,640.08 24,830,472.87 20,770,792.59 108,878,082.57
89
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
carrying value
2. Beginning
55,866,482.52 4,713,511.82 4,936,319.80 29,097,489.20 21,620,132.70 116,233,936.04
carrying value
(2) List of Temporarily Idle Fixed Assets
Unit: RMB
Original carrying Accumulative Depreciation
Item Carrying value Note
value depreciation reserves
(3) Fixed Assets Leased out by Operation Lease
Unit: RMB
Item Ending carrying value
(4) Fixed Assets Failed to Accomplish Certification of Property
Unit: RMB
Item Carrying value Reason
Property right disputes before, now has
Room 406, 2 units, Hulunbuir Guangxia
2,658,678.10 won a lawsuit with unaccomplished
Digital Building
certification of property.
The office building will be removed due
to the project adjustment and a high-rise
office building will be established
Room 401, 402, Sanxiang Business nearby the present address. The existing
768,325.04
Building Office Building property shall be replaced after the
completion of the new office building.
Thus, the certification of the property is
failed to transact.
Other notes
(5) Proceeds from Disposal of Fixed Assets
Unit: RMB
Item Ending balance Beginning balance
Other notes
22. Construction in progress
Unit: RMB
Item Ending balance Beginning balance
(1) List of Construction in Progress
Unit: RMB
Ending balance Beginning balance
Item Carrying Depreciation Carrying Depreciation
Carrying value Carrying value
amount reserves amount reserves
90
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(2) Changes in Significant Construction in Progress during the Reporting Period
Unit: RMB
Of
Propor
which:
tion of Capital
Accum Amou
accum ization
ulative nt of
Transf Other ulated rate of
Beginn amoun capital
Name erred decrea Ending invest Job interes Capital
ing Increas t of ized
of Budget in se for balanc ment schedu ts for resour
balanc e capital interes
project fixed this e in le the ces
e ized ts for
assets period constr Report
interes the
uctions ing
ts Report
to Period
ing
budget
Period
(3) List of the Withdrawal of the Depreciation Reserves for Construction in Progress
Unit: RMB
Item Amount withdrawn Reason for withdrawal
Other notes
(4) Engineering Materials
Unit: RMB
Ending balance Beginning balance
Item Carrying Depreciation Carrying Carrying Depreciation Carrying
amount reserves value amount reserves value
Other notes:
23. Productive Living Assets
(1) Productive Living Assets Adopting Cost Measurement Mode
□ Applicable √ Not applicable
(2) Productive Living Assets Adopting Fair Value Measurement Mode
□ Applicable √ Not applicable
24. Oil and Gas Assets
□ Applicable √ Not applicable
25. Right-of-use Assets
Unit: RMB
Item Houses and buildings Total
1. Beginning balance 14,992,421.49 14,992,421.49
4. Ending balance 14,992,421.49 14,992,421.49
2. Increased amount of the period 2,234,883.36 2,234,883.36
(1) Withdrawal 2,234,883.36 2,234,883.36
4. Ending balance 2,234,883.36 2,234,883.36
91
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
1. Ending carrying value 12,757,538.12 12,757,538.12
2. Beginning carrying value 14,992,421.49 14,992,421.49
Other notes:
26. Intangible Assets
(1) List of Intangible Assets
Unit: RMB
Non-patent
Item Land use right Patent right Software use right Total
technology
I. Original
carrying value
1. Beginning
1,234,387.66 1,234,387.66
balance
2. Increased
amount of the
period
(1) Purchase
(2) Internal R&D
(3) Enterprise
combination
increase
3. Decreased
amount of the
period
(1) Disposal
4. Ending balance 1,234,387.66 1,234,387.66
II. Accumulated
amortization
1. Beginning
752,338.15 752,338.15
balance
2. Increased
amount of the 109,157.94 109,157.94
period
(1) Withdrawal 109,157.94 109,157.94
3. Decreased
amount of the
92
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
period
(1) Disposal
4. Ending balance 861,496.09 861,496.09
III. Depreciation
reserves
1. Beginning
balance
2. Increased
amount of the
period
(1) Withdrawal
3. Decreased
amount of the
period
(1) Disposal
4. Ending balance
IV. Carrying value
1. Ending carrying
372,891.57 372,891.57
value
2. Beginning
482,049.51 482,049.51
carrying value
The proportion of intangible assets formed from the internal R&D of the Company at the Period-end to the ending balance of
intangible assets
(2) Land Use Right Failed to Accomplish Certification of Property
Unit: RMB
Item Carrying value Reason
Other notes:
27. Development Costs
Unit: RMB
Increase Decrease
Recognize Transfer to
Beginning Internal Ending
Item d as current
balance developme Other balance
intangible gains and
nt
assets losses
93
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Total
Other notes
28. Goodwill
(1) Original Carrying Value of Goodwill
Unit: RMB
Name of the Increase Decrease
invested units
Beginning Formed by
or events Ending balance
balance business Disposal
generating
combination
goodwill
Total
(2) Depreciation Reserves of Goodwill
Unit: RMB
Name of the Increase Decrease
invested units
Beginning
or events Ending balance
balance Withdrawn Disposal
generating
goodwill
Total
Information on the assets group or combination of assets groups which goodwill belongs to
Notes of the testing process of goodwill impairment, parameters (such as growth rate of the forecast period, growth rate of stable
period, rate of profit, discount rate, forecast period and so on for prediction of future present value of cash flows) and the recognition
method of goodwill impairment losses:
Influence of goodwill impairment testing
Other notes
29. Long-term Prepaid Expense
Unit: RMB
Amortization
Other decreased
Item Beginning balance Increase amount of the Ending balance
amount
period
Renovation costs 11,862,716.14 8,358,643.42 2,189,487.04 18,031,872.52
Total 11,862,716.14 8,358,643.42 2,189,487.04 18,031,872.52
Other notes
30. Deferred Income Tax Assets/Deferred Income Tax Liabilities
(1) Deferred Income Tax Assets that Had not Been Off-set
Unit: RMB
94
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Ending balance Beginning balance
Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference assets difference assets
Provision for
159,561,501.79 38,148,368.00 152,217,586.91 36,392,566.23
impairment of assets
Unrealized profit of
78,108,204.86 19,527,051.16 28,484,507.52 7,121,126.86
internal transactions
Deductible losses 1,299,573,666.39 324,242,526.68 1,340,927,414.29 334,560,251.68
Accrued land VAT 2,708,258,608.51 677,064,652.12 1,979,350,706.70 494,837,676.67
Estimated profit
calculated at pre-sale
467,066,803.38 116,766,700.85 307,175,110.51 76,793,777.63
revenue of property
enterprises
Advertising expenses 732,916.52 183,229.13 1,272,210.76 318,052.69
Other accrued
2,177,598.37 314,903.23 4,548,732.57 657,793.74
expenses
Total 4,715,479,299.82 1,176,247,431.17 3,813,976,269.26 950,681,245.50
(2) Deferred Income Tax Liabilities Had not Been Off-set
Unit: RMB
Ending balance Beginning balance
Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference liabilities difference liabilities
The carrying value of
fixed assets was larger 1,048.80 262.20 1,048.80 262.20
than the tax basis
Total 1,048.80 262.20 1,048.80 262.20
(3) Deferred Income Tax Assets or Liabilities Listed by Net Amount after Off-set
Unit: RMB
Mutual set-off amount Ending balance of Mutual set-off amount Beginning balance of
of deferred income tax deferred income tax of deferred income tax deferred income tax
Item
assets and liabilities at assets or liabilities assets and liabilities at assets or liabilities
the period-end after off-set the period-begin after off-set
Deferred income tax
1,176,247,431.17 950,681,245.50
assets
Deferred income tax
262.20 262.20
liabilities
(4) List of Unrecognized Deferred Income Tax Assets
Unit: RMB
95
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Item Ending balance Beginning balance
Deductible temporary difference 61,255,144.06
Deductible losses 216,487,018.16 201,769,872.08
Total 216,487,018.16 263,025,016.14
(5) Deductible Losses of Unrecognized Deferred Income Tax Assets will Due in the Following Years
Unit: RMB
Years Ending amount Beginning amount Note
Y2020
Y2021
Y2022 50,009,689.70 55,165,608.46 The deductible losses of 2017
Y2024 124,830,194.64 124,830,194.64 The deductible losses of 2019
Y2025 21,774,068.98 21,774,068.98 The deductible losses of 2020
Y2026 19,873,064.84 The deductible losses of 2021
Total 216,487,018.16 201,769,872.08 --
Other notes:
31. Other Non-current Assets
Unit: RMB
Ending balance Beginning balance
Item Carrying Depreciatio Carrying Carrying Depreciatio Carrying
amount n reserves value amount n reserves value
Prepayment for purchase of fixed assets,
3,155,763. 3,155,763.
investment properties and intangible 867,619.10 867,619.10
35 35
assets
Other 696,455.24 696,455.24
3,155,763. 3,155,763. 1,564,074. 1,564,074.
Total
35 35 34 34
Other notes:
32. Short-term Borrowings
(1) Category of Short-term Borrowings
Unit: RMB
Item Ending balance Beginning balance
Notes of short-term borrowings category:
(2) List of the Short-term Borrowings Overdue but not Returned
The amount of the overdue unpaid short-term borrowings at the period-end was RMBXXX, of which the significant overdue unpaid
short-term borrowings are as follows:
Unit: RMB
96
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Entity Ending balance Interest rate Overdue time Overdue charge rate
Other notes:
33. Trading Financial Liabilities
Unit: RMB
Item Ending balance Beginning balance
Of which:
Of which:
Other notes:
34. Derivative Financial Liabilities
Unit: RMB
Item Ending balance Beginning balance
Other notes:
35. Notes Payable
Unit: RMB
Item Ending balance Beginning balance
The total amount of notes payable due but unpaid was RMB XXX.
36. Accounts Payable
(1) List of Accounts Payable
Unit: RMB
Item Ending balance Beginning balance
Engineering construction expense
195,384,051.27 334,297,738.31
payable
Accrued expenses 106,295,342.47 46,894,644.22
Other 63,905,015.39 87,077,303.12
Total 365,584,409.13 468,269,685.65
(2) Significant Accounts Payable Aged over 1 Year
Unit: RMB
Item Ending balance Unpaid/ Un-carry-over reason
China Construction Fourth Engineering
56,604,763.90 Unsettled
Division Corp., Ltd.
Shenzhen Planning Bureau of Land
25,000,000.00 Historical problems
Resources
Shanghai Mingpeng Construction Group
5,976,705.79 Unsettled
Co., Ltd.
Shenzhen Design Decoration
2,389,324.51 Unsettled
Engineering Co., Ltd.
Jinchen Group Co.,Ltd. 1,940,067.98 Quality guarantee deposit for project
97
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Total 91,910,862.18 --
Other notes:
37. Advances from Customers
(1) List of Advances from Customers
Unit: RMB
Item Ending balance Beginning balance
Rent 774,178.01 473,274.48
Total 774,178.01 473,274.48
(2) Significant Advances from Customers Aged over 1 Year
Unit: RMB
Item Ending balance Unpaid/ Un-carry-over reason
Other notes:
The Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure
Guidelines No.3-Listed Companies Engaged in Real Estate Industry
The proceeds information of top five advance sale amount:
Unit: RMB
Estimated date of Advance sale
S/N Name of project Beginning balance Ending balance
completion proportion
38. Contract Liabilities
Unit: RMB
Item Ending balance Beginning balance
House payment in advance 821,379,428.89 633,340,922.42
Property fee in advance 13,178,919.50 13,124,519.01
Other payment in advance 18,809,046.24 20,428,188.29
Total 853,367,394.63 666,893,629.72
Significant changes in amount of carrying value and the reason in the Reporting Period
Unit: RMB
Item Amount changed Reason
Golden Collar’s Resort Net increase in pre-collected housing payments after deducting
182,074,684.09
Building B/C carry-over income
Banshan Yujing Phase I -20,523,809.52 Meet the carryover income condition
Net increase in pre-collected housing payments after deducting
HupanYujing Phase II 17,207,099.09
carry-over income
Total 178,757,973.66 ——
39. Payroll Payable
(1) List of Payroll Payable
Unit: RMB
98
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Item Beginning balance Increase Decrease Ending balance
I. Short-term salary 175,382,038.91 314,226,010.00 340,253,887.24 149,354,161.67
II. Post-employment
benefit-defined 1,808,158.45 32,788,971.01 32,190,820.13 2,406,309.33
contribution plans
III. Termination
418,411.40 418,411.40
benefits
Total 177,190,197.36 347,433,392.41 372,863,118.77 151,760,471.00
(2) List of Short-term Salary
Unit: RMB
Item Beginning balance Increase Decrease Ending balance
1. Salary, bonus,
160,923,367.59 275,539,585.61 300,139,266.36 136,323,686.84
allowance, subsidy
2. Employee welfare 1,769,666.63 13,248,861.01 13,505,290.79 1,513,236.85
3. Social insurance 223,040.80 9,885,347.58 9,872,331.58 236,056.80
Of which: Medical
223,040.80 8,541,794.91 8,530,476.51 234,359.20
insurance premiums
Work-related injury
356,470.68 356,470.68
insurance
Maternity insurance 445,181.11 443,483.51 1,697.60
4. Housing fund 509,510.97 9,565,906.97 9,634,205.97 441,211.97
5. Labor union budget
and employee education 11,956,452.92 5,986,308.83 7,102,792.54 10,839,969.21
budget
Total 175,382,038.91 314,226,010.00 340,253,887.24 149,354,161.67
(3) List of Defined Contribution Plans
Unit: RMB
Item Beginning balance Increase Decrease Ending balance
1. Basic pension
28,126,710.25 28,006,278.31 120,431.94
benefits
2. Unemployment
672,338.73 672,338.73
insurance
3. Annuity 1,808,158.45 3,989,922.03 3,512,203.09 2,285,877.39
Total 1,808,158.45 32,788,971.01 32,190,820.13 2,406,309.33
Other notes:
40. Taxes Payable
Unit: RMB
99
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Item Ending balance Beginning balance
VAT 17,435,173.60 47,751,975.47
Corporate income tax 258,424,851.25 448,111,036.28
Personal income tax 4,558,253.24 4,826,634.10
Urban maintenance and construction tax 1,129,080.01 3,165,158.73
Land VAT 2,708,394,207.00 1,979,388,881.01
Property tax 4,546,267.75 447,199.94
Land use tax 1,549,041.66 941,099.10
Education surcharge 518,996.60 1,372,723.27
Local education surcharge 341,128.17 918,545.34
Other 41,697.53 289,726.13
Total 2,996,938,696.81 2,487,212,979.37
Other notes:
41. Other Payables
Unit: RMB
Item Ending balance Beginning balance
Dividends payable 12,202,676.04 12,202,676.04
Other Payables 898,163,208.62 834,939,937.05
Total 910,365,884.66 847,142,613.09
(1) Interest payable
Unit: RMB
Item Ending balance Beginning balance
List of the significant overdue unpaid interest:
Unit: RMB
Entity Overdue amount Overdue reason
Other notes:
(2) Dividends payable
Unit: RMB
Item Ending balance Beginning balance
Ordinary share dividends 12,202,676.04 12,202,676.04
Total 12,202,676.04 12,202,676.04
Other notes, including significant dividends payable unpaid for over 1 year, the unpaid reason shall be disclosed:
Item Amount unpaid Unpaid reason
Shenzhen South China Investment Development Co., 9,871.20 Without access to its account
Ltd.
100
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Wenling Quality Control Association 9,871.02 Without access to its account
Shanghai Weihong Industry & Trade Co., Ltd. 9,900.00 Without access to its account
China Shenzhen International Cooperation (Group) 0.18 Without access to its account
Co., Ltd.
Shenzhen Greening Department 10,869,036.68 Company restructured without clearing payment
object
Labor Union of Shenzhen Greening Department 1,300,000.00 Company restructured without clearing payment
object
Shenzhen Sports Administration 3,996.96 Final payment unpaid
Total 12,202,676.04
(3) Other Payables
1) Other Payables Listed by Nature
Unit: RMB
Item Ending balance Beginning balance
Margin 252,654,782.18 236,714,842.73
Cash deposit 15,218,526.29 18,041,272.10
Collection on behalf 14,349,624.86 12,818,680.31
Intercourse fund 445,523,812.86 426,354,105.87
Accrued expenses 144,871,649.35 93,276,622.77
Payments on behalf 13,685,621.41 14,038,360.90
Other 11,859,191.67 33,696,052.37
Total 898,163,208.62 834,939,937.05
2) Significant Other Payables Aged over 1 Year
Unit: RMB
Item Ending balance Unpaid/ Un-carry-over reason
Shenzhen Pason Aluminum Technology Project cooperation funds, the project
198,352,106.44
Co., Ltd. has not been completed
Shenzhen Real Estate Jifa Warehousing Come-and-go accounts without specific
38,796,665.14
Co., Ltd. payment term
Shenzhen Tian’an International Mansion Come-and-go accounts without specific
5,214,345.90
Property Administration Co., Ltd. payment term
Shenzhen Social Commonweal
3,323,202.00 Did not submit the payment application
Foundation
Rainbow Co., Ltd. 2,380,000.00 Margin within the leasing period
Total 248,066,319.48 --
101
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Other notes
42. Held-for-sale Liabilities
Unit: RMB
Item Ending balance Beginning balance
Other notes:
43. Current Portion of Non-current Liabilities
Unit: RMB
Item Ending balance Beginning balance
Current portion of long-term borrowings 67,002,418.07 36,722,824.88
Total 67,002,418.07 36,722,824.88
Other notes:
44. Other Current Liabilities
Unit: RMB
Item Ending balance Beginning balance
Taxes to be written off 53,141,477.75 43,354,691.51
Total 53,141,477.75 43,354,691.51
Increase/decrease of the short-term bonds payable:
Unit: RMB
Amorti
Repay
Withdr zation
ment in
Beginni The awal of of
Bonds Par Issuing Duratio Issuing the Ending
ng current interest premiu
name value date n amount Reporti balance
balance issue by par m and
ng
value depreci
Period
ation
Other notes:
45. Long-term Borrowings
(1) Category of Long-term Borrowings
Unit: RMB
Item Ending balance Beginning balance
Pledged borrowings 2,999,500,000.00 2,999,600,000.00
Mortgage loan 3,000,000.00 3,000,000.00
Credit borrowings 554,400,000.00 585,200,000.00
Total 3,556,900,000.00 3,587,800,000.00
Notes to the category of long-term borrowings:
Other notes, including the interval of interest rate:
The pledged borrowings at the period-end were used to develop the Bangling urban renewal project of Shenzhen Rongyao Real
Estate Development Co., Ltd. (hereinafter referred to as “Rongyao Real Estate”) with the duration from 29 November 2019 to 20
102
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
November 2024, applying the borrowing rate by rising 1.55% complying with one-year level of loan prime rate. And 69% equity of
Rongyao Real Estate held by the Company was pledged and the guarantee mode was the joint liability guaranty.
The mortgage borrowings at the period-end were used for the daily operating activities of ShenZhen Properties & Resources
Development (Group) Ltd. (hereinafter referred to as the Company) with the duration from 27 November 2020 to 27 November 2023,
applying a floating interest rate. The first-phase execution interest rate was 4.655%, and the pledge was the land use right of Fumin
New Village in Futian District of the Company.
The credit borrowings at the period-end were used for the transaction payment of equity of Shenzhen Toukong Property Management
Co., Ltd. with the duration from 18 May 2020 to 10 May 2025, applying the borrowing rate by adding 23.5 basis points complying
with one-year level of loan prime rate.
46. Bonds Payable
(1) List of Bonds Payable
Unit: RMB
Item Ending balance Beginning balance
(2) Increase/Decrease of Bonds Payable (Excluding Other Financial Instrument Classified as Financial
Liabilities such as Preferred Shares and Perpetual Bonds)
Unit: RMB
Amorti
Repay
Withdr zation
ment in
Beginni The awal of of
Bonds Par Issuing Duratio Issuing the Ending
ng current interest premiu
name value date n amount Reporti balance
balance issue by par m and
ng
value depreci
Period
ation
Total -- -- --
(3) Notes to the Conditions and Time of the Shares Transfer of the Convertible Corporate Bonds
(4) Notes to Other Financial Instruments Classified as Financial Liabilities
Basic situation of other financial instruments such as preferred shares and perpetual bonds outstanding at the period-end
Changes in financial instruments such as preferred shares and perpetual bonds outstanding at the period-end
Unit: RMB
Outstandin Period-begin Increase Decrease Period-end
g financial Carrying Carrying Carrying Carrying
Amount Amount Amount Amount
instrument value value value value
Notes to basis for the classification of other financial instruments as financial liabilities
Other notes
47. Lease Liabilities
Unit: RMB
Item Ending balance Beginning balance
Long-term lease liabilities 13,025,535.53 14,992,421.49
103
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Total 13,025,535.53 14,992,421.49
Other notes
48. Long-term Payables
Unit: RMB
Item Ending balance Beginning balance
(1) Long-term Payables Listed by Nature
Unit: RMB
Item Ending balance Beginning balance
Other notes:
(2) Specific Payables
Unit: RMB
Reason for
Item Beginning balance Increase Decrease Ending balance
formation
Other notes:
49. Long-term Payroll Payable
(1) List of Long-term Payroll Payable
Unit: RMB
Item Ending balance Beginning balance
(2) Changes in Defined Benefit Plans
Obligation present value of defined benefit plans:
Unit: RMB
Item Reporting period Same period of last year
Plan assets:
Unit: RMB
Item Reporting period Same period of last year
Net liabilities (net assets) of defined benefit plans:
Unit: RMB
Item Reporting period Same period of last year
Notes of influence of content of defined benefit plans and its relevant risks to the future cash flow, time and uncertainty of the
Company:
Notes to the results of significant actuarial assumptions and sensitivity analysis of defined benefit plans:
Other notes:
50. Provisions
Unit: RMB
Item Ending balance Beginning balance Reason for formation
Cai Baolin's lawsuit on the
Pending litigation 2,396,947.00 2,396,947.00
residual value of decoration
104
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Total 2,396,947.00 2,396,947.00 --
Other notes, including notes to related significant assumptions and evaluation of significant provisions:
Refer to Note XIV (2) for details.
51. Deferred Income
Unit: RMB
Reason for
Item Beginning balance Increase Decrease Ending balance
formation
Item involving government grants:
Unit: RMB
Amount
Amount
recorded
recorded Amount
into Related to
Amount of into other offset cost
Beginning non-operati Other Ending assets/relat
Item newly income in in the
balance ng income changes balance ed to
subsidy the Reporting
in the income
Reporting Period
Reporting
Period
Period
Other notes:
52. Other Non-current Liabilities
Unit: RMB
Item Ending balance Beginning balance
Utility specific fund 237,163.63 490,603.18
Housing principle fund 16,381,903.25 16,825,921.62
House warming deposit 6,557,020.08 6,925,380.49
Electric Equipment Maintenance fund 4,019,415.44 4,019,415.44
Deputed maintenance fund 35,418,419.28 34,453,351.12
Follow-up investment of employees for
40,000,000.00 40,000,000.00
Guanlan Bangling project
Other 5,091,701.45 6,063,655.60
Total 107,705,623.13 108,778,327.45
Other notes:
53. Share Capital
Unit: RMB
Increase/decrease (+/-)
Beginning Ending
New shares Bonus issue
balance Bonus shares Other Subtotal balance
issued from profit
The sum of 595,979,092. 595,979,092.
shares 00 00
105
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Other notes:
54. Other Equity Instruments
(1) The Basic Information of Other Financial Instruments such as Preferred Stock and Perpetual Bond
Outstanding at the End of the Period
(2) Changes in Financial Instruments such as Preferred Stock and Perpetual Bond Outstanding at the End
of the Period
Unit: RMB
Outstandin Period-begin Increase Decrease Period-end
g financial Carrying Carrying Carrying Carrying
Amount Amount Amount Amount
instruments value value value value
The current changes in other equity instruments and the corresponding reasons and the basis of the relevant accounting treatment
Other notes:
55. Capital Reserve
Unit: RMB
Item Beginning balance Increase Decrease Ending balance
Other capital reserves 80,488,045.38 80,488,045.38
Total 80,488,045.38 80,488,045.38
Other notes, including changes and reason of change:
56. Treasury Shares
Unit: RMB
Item Beginning balance Increase Decrease Ending balance
Other notes, including changes and reason of change:
57. Other Comprehensive Income
Unit: RMB
Reporting Period
Less:
Less: Recorde
Recorded d into
in other other
Attribut
comprehen compreh
Income able to Attribut
sive ensive Endin
before Less: owners able to
Beginning income in income g
Item taxation Income of the non-con
balance prior in prior balanc
in the tax Compan trolling
period and period e
Current expense y as the interests
transferred and
Period parent after tax
in profit or transferr
after tax
loss in the ed in
Current retained
Period earnings
in the
106
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Current
period
I. Other comprehensive income
-2,545,45 -265,25 -265,25 -2,810,
that may not be reclassified to
1.19 8.45 8.45 709.64
profit or loss
Changes in fair value of
-2,545,45 -265,25 -265,25 -2,810,
other equity instrument
1.19 8.45 8.45 709.64
investment\
II. Other comprehensive income
-4,204,13 -553,43 -553,43 -4,757,
that may subsequently be
8.22 9.16 9.16 577.38
reclassified to profit or loss
Differences arising from
translation of foreign currency -4,204,13 -553,43 -553,43 -4,757,
denominated financial 8.22 9.16 9.16 577.38
statements
Total of other comprehensive -6,749,58 -818,69 -818,69 -7,568,
income 9.41 7.61 7.61 287.02
Other notes, including the adjustment of the effective gain/loss on cash flow hedges to the initial recognized amount:
58. Specific Reserve
Unit: RMB
Item Beginning balance Increase Decrease Ending balance
Other notes, including changes and reason of change:
59. Surplus Reserves
Unit: RMB
Item Beginning balance Increase Decrease Ending balance
Statutory surplus
19,205,979.63 19,205,979.63
reserves
Total 19,205,979.63 19,205,979.63
Notes, including changes and reason of change:
60. Retained Earnings
Unit: RMB
Item Reporting Period Same period of last year
Beginning balance of retained earnings before
3,038,993,912.43 2,457,119,795.39
adjustments
Beginning balance of retained earnings after
3,038,993,912.43 2,457,119,795.39
adjustments
Add: Net profit attributable to owners of the
676,375,523.75 798,572,121.74
Company as the parent
107
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Less: Appropriate statutory surplus reserve 2,802,342.02
Dividend of ordinary shares payable 244,351,427.72 214,552,473.12
Other -656,810.44
Ending retained earnings 3,471,018,008.46 3,038,993,912.43
List of adjustment of beginning retained earnings:
1) RMBXXX beginning retained earnings was affected by retrospective adjustment conducted according to the Accounting Standards
for Business Enterprises and relevant new regulations.
2) RMBXXX beginning retained earnings was affected by changes in accounting policies.
3) RMBXXX beginning retained earnings was affected by correction of significant accounting errors.
4) RMBXXX beginning retained earnings was affected by changes in combination scope arising from same control.
5) RMBXXX beginning retained earnings was affected totally by other adjustments.
61. Operating Revenue and Cost of Sales
Unit: RMB
Reporting Period Same period of last year
Item
Operating revenue Cost of sales Operating revenue Cost of sales
Main operations 2,497,241,031.93 745,670,023.16 1,388,266,376.69 596,935,670.85
Other operations 43,624,107.32 8,615,003.08 32,811,391.14 14,759,272.95
Total 2,540,865,139.25 754,285,026.24 1,421,077,767.83 611,694,943.80
Relevant information of revenue:
Unit: RMB
Category of contracts Segment 1 Segment 2 Total
Of which:
Real estate business 1,897,026,889.73 1,897,026,889.73
Leasing operation 102,026,517.70 102,026,517.70
Property management 541,811,731.82 541,811,731.82
Of which:
Shenzhen 2,327,869,659.69 2,327,869,659.69
Others 212,995,479.56 212,995,479.56
Of which:
Of which:
Of which:
Of which:
Of which:
Information related to performance obligations:
On 30 June 2021, the transaction price assigned to unfulfilled (or partially unfulfilled) performance obligations was estimated to
RMB853 million, which is mainly expected future revenue of transaction price that haven’t met the delivery conditions stipulated in
108
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
sales contracts of real estate. The Company is expected to recognize the realization of sales revenue within one year when th e house
property is completed and passed the acceptance which meet the delivery conditions stipulated in sales contracts, and when the
customers acquire the control rights of relevant goods or services.
Information related to transaction value assigned to residual performance obligations:
The amount of revenue corresponding to performance obligations of contracts signed but not performed or not fully performed yet
was RMB853,367,394.63 at the period-end, among which RMB853,367,394.63 was expected to be recognized in 2021, RMBXXX
in XXX year and RMBXXX in XXX year.
Other notes
The Company needs to comply with the disclosure requirements of Shenzhen Stock Exchange Industry Information Disclosure
Guidelines No.3-Listed Companies Engaged in Real Estate Industry
The top 5 accounts received with confirmed amount in the Reporting Period:
Unit: RMB
No. Name of project Income balance
1 Golden Collar’s Resort B, C 1,849,123,912.29
2 Banshan Yujing Phase I 21,000,000.00
3 Hupan Yujing Phase II 9,404,349.57
4 Xinhua Town 3,669,619.99
5 Songhu Langyuan 947,032.39
62. Taxes and Surtaxes
Unit: RMB
Item Reporting Period Same period of last year
Urban maintenance and construction tax 8,573,235.69 4,909,118.92
Education Surcharge 3,679,377.59 2,190,590.78
Property tax 4,969,986.40 4,767,394.20
Land use tax 723,179.43 416,264.69
Stamp duty 1,234,895.15 349,634.68
Local education surtax 2,453,237.62 1,342,087.15
Land VAT 792,335,513.52 380,741,616.91
Other taxes 12,625.49 26,773.28
Total 813,982,050.89 394,743,480.61
Other notes:
63. Selling Expense
Unit: RMB
Item Reporting Period Same period of last year
Agency fee 1,623,764.43 2,151,630.50
Consultancy and sales service charges 583,313.72 3,853,286.19
Promotion and advertising fee 4,348,607.25 914,173.18
109
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Employee benefits 2,806,347.15 2,569,826.33
Other 1,055,184.02 2,055,143.99
Total 10,417,216.57 11,544,060.19
Other notes:
64. Administrative Expense
Unit: RMB
Item Reporting Period Same period of last year
Employee benefits 72,212,753.03 63,277,704.59
Administrative office cost 6,146,316.18 4,730,219.94
Assets amortization and depreciation
7,692,453.61 5,064,453.12
expense
Litigation costs 162,113.87 521,647.00
Other 18,700,886.92 14,838,979.70
Total 104,914,523.61 88,433,004.35
Other notes:
65. Development Expense
Unit: RMB
Item Reporting Period Same period of last year
Other notes:
66. Finance Costs
Unit: RMB
Item Reporting Period Same period of last year
Interest expense 38,497,817.45 84,859,496.80
Less: Interest income -38,205,027.20 -31,227,361.24
Foreign exchange gains or losses 39,617.59 100,514.83
Other 787,470.65 -286,332.01
Total 1,119,878.49 53,446,318.38
Other notes:
67. Other Income
Unit: RMB
Sources Reporting Period Same period of last year
Government grants related to income 226,082.01 82,514.69
Government grants related to assets 24,375.69
Commission charges return of deductible
198,544.06 196,952.96
income tax
Additional deduction of VAT 1,979,065.73 2,618,150.17
110
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Total 2,403,691.80 2,921,993.51
68. Investment Income
Unit: RMB
Item Reporting Period Same period of last year
Long-term equity investment income
3,218,483.17 157,061.79
accounted by equity method
Total 3,218,483.17 157,061.79
Other notes:
69．Net Gain on Exposure Hedges
Unit: RMB
Item Reporting Period Same period of last year
Other notes:
70. Gain on Changes in Fair Value
Unit: RMB
Sources Reporting Period Same period of last year
Other notes:
71. Credit Impairment Loss
Unit: RMB
Item Reporting Period Same period of last year
Bad debt loss -6,797,536.40 1,115,927.46
Total -6,797,536.40 1,115,927.46
Other notes:
72. Asset Impairment Loss
Unit: RMB
Item Reporting Period Same period of last year
II. Loss on inventory valuation and
-33,715.66 1,832.91
contract performance cost
Total -33,715.66 1,832.91
Other notes:
73. Asset Disposal Income
Unit: RMB
Sources Reporting Period Same period of last year
74. Non-operating Income
Unit: RMB
Amount recorded in the
Item Reporting Period Same period of last year current non-recurring profit
or loss
111
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Government grants 3,588,738.19
Confiscated income 1,071,282.94 313,043.22 1,071,282.94
Demolition compensation 7,293,820.40 7,293,820.40
Gains on damage and scrap
7,000.00 14,826.92 7,000.00
of non-current assets
Other 1,500,368.85 327,567.57 1,500,368.85
Total 9,872,472.19 4,244,175.90 9,872,472.19
Government grants recorded into current profit or loss
Unit: RMB
Whether
influence Related to
Special Same
Distributio Distributio the profits Reporting assets/relat
Item Nature subsidy or period of
n entity n reason or losses of Period ed to
not last year
the year or income
not
Other notes:
75. Non-operating Expense
Unit: RMB
Amount recorded in the
Item Reporting Period Same period of last year current non-recurring profit
or loss
Donation 2,030,000.00
Total loss from disposal of
21,448.90 21,448.90
non-current assets
Litigation expenses 114,571.79 114,571.79
Penalty and fine for delaying
1,039,219.45 27,535.95 1,039,219.45
payment
Other 765,028.41 341,951.75 765,028.41
Total 1,940,268.55 2,399,487.70 1,940,268.55
Other notes:
76. Income Tax Expense
(1) List of Income Tax Expense
Unit: RMB
Item Reporting Period Same period of last year
Current income tax expense 419,748,343.11 97,681,962.31
Deferred income tax expense -225,504,829.05 -8,287,946.60
Total 194,243,514.06 89,394,015.71
112
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(2) Adjustment Process of Accounting Profit and Income Tax Expense
Unit: RMB
Item Reporting Period
Profit before taxation 862,869,570.00
Current income tax expense accounted at statutory/applicable
215,717,392.50
tax rate
Influence of applying different tax rates by subsidiaries 1,103,668.34
Influence of income tax before adjustment -22,781,705.32
Influence of non-deductible costs, expenses and losses 596,340.96
The effect of using deductible losses of deferred income tax
45,068.31
assets that have not been recognized in the previous period
Influence of deductible temporary difference or deductible
losses of unrecognized deferred income tax in the Reporting -437,250.73
Period
Income tax expense 194,243,514.06
Other notes:
77. Other Comprehensive Income
Refer to Note VII-57 for details.
78. Cash Flow Statement
(1) Cash Generated from Other Operating Activities
Unit: RMB
Item Reporting Period Same period of last year
Large intercourse funds received 58,249,073.49 274,561,798.03
Interest income 58,110,890.94 20,729,921.32
Net margins, security deposit and
8,180,874.28 2,825,399.61
various special funds received
Various types of collection and payment
36,171,818.34 32,970,968.51
received
Other small receivables 1,912,443.42 2,631,928.91
Total 162,625,100.47 333,720,016.38
Notes:
(2) Cash Used in Other Operating Activities
Unit: RMB
Item Reporting Period Same period of last year
Paying administrative expense in cash 23,081,730.53 20,150,492.86
Paying selling expense in cash 5,789,812.13 20,841,852.20
Large intercourse funds paid 43,547,353.05 48,968,020.00
113
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Other small payments 2,103,448.69 1,265,190.63
Total 74,522,344.40 91,225,555.69
Notes:
(3) Cash Generated from Other Investing Activities
Unit: RMB
Item Reporting Period Same period of last year
Notes:
(4) Cash Used in Other Investing Activities
Unit: RMB
Item Reporting Period Same period of last year
Notes:
(5) Cash Generated from Other Financing Activities
Unit: RMB
Item Reporting Period Same period of last year
Notes:
(6) Cash Used in Other Financing Activities
Unit: RMB
Item Reporting Period Same period of last year
Notes:
79. Supplemental Information for Cash Flow Statement
(1) Supplemental Information for Cash Flow Statement
Unit: RMB
Supplemental information Reporting Period Same period of last year
1. Reconciliation of net profit to net cash
-- --
flows generated from operating activities
Net profit 668,626,055.94 177,863,448.66
Add: Provision for impairment of assets 6,831,252.06 -1,117,760.37
Depreciation of fixed assets, oil-gas assets,
27,471,506.96 24,423,533.46
and productive living assets
Depreciation of right assets 2,234,883.36
Amortization of intangible assets 109,157.94 109,162.21
Amortization of long-term prepaid
2,189,487.04 1,555,086.14
expenses
Los on disposal of fixed assets, intangible
assets and other long-term assets (gains: 0.00
negative)
Losses on scrap of fixed assets (gains: 14,448.90 -14,826.92
114
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
negative)
Loss from fair value change (gains:
negative)
Finance costs (gains: negative) 38,497,817.45 84,859,496.80
Investment loss (gains: negative) -3,218,483.17 -157,061.79
Decrease in deferred income tax assets
-225,566,185.67 -8,287,946.60
(gains: negative)
Increase in deferred income tax liabilities
0.00 0.00
(“-” means decrease)
Decrease in inventory (gains: negative) 22,875,129.38 -455,620,688.15
Decrease in accounts receivable generated
-114,622,713.69 32,911,883.76
from operating activities (gains: negative)
Increase in accounts payable used in
712,128,424.23 -1,479,706,466.10
operating activities (decrease: negative)
Other
Net cash generated from/used in operating
1,137,570,780.73 -1,623,182,138.90
activities
2. Significant investing and financing
activities without involvement of cash -- --
receipts and payments
Conversion of debt into capital
Convertible corporate bonds due within
one year
Fixed assets under financing lease
3. Net increase/decrease of cash and cash
-- --
equivalent:
Ending balance of cash 4,953,289,643.97 3,056,069,770.97
Less: Beginning balance of cash 4,168,154,911.83 3,285,345,233.47
Add: Ending balance of cash equivalents
Less: Beginning balance of cash
equivalents
Net increase in cash and cash equivalents 785,134,732.14 -229,275,462.50
(2) Net Cash Paid For Acquisition of Subsidiaries
Unit: RMB
Amount
Of which: --
Of which: --
115
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Of which: --
Other notes:
(3) Net Cash Receive from Disposal of the Subsidiaries
Unit: RMB
Amount
Of which: --
Of which: --
Of which: --
Other notes:
(4) Cash and Cash Equivalents
Unit: RMB
Item Ending balance Beginning balance
I. Cash 4,953,289,643.97 4,168,154,911.83
Including: Cash on hand 123,973.10 164,191.19
Bank deposit on demand 4,952,496,226.44 3,043,214,965.74
Other monetary assets on
669,444.43 12,690,614.04
demand
III. Ending balance of cash and cash
4,953,289,643.97 4,168,154,911.83
equivalents
Including: Cash and cash equivalents of
the Company as the parent or subsidiaries 0.00 0.00
of the Group with restrictions on use
Other notes:
80. Notes to Items of the Statements of Changes in Owners’ Equity
Notes to the name of “Other” of ending balance of the same period of last year adjusted and the amount adjusted:
81. Assets with Restricted Ownership or Right of Use
Unit: RMB
Item Ending carrying value Reason for restriction
Monetary assets 17,754,631.22 Note (1)-(6)
Land use right of Fumin New Village,
542,507,314.43 Note (7)
Futian District
Total 560,261,945.65 --
Other notes:
(1) In terms of monetary assets with restricted right to use at the period-end, there was limited capital of frozen account with
RMB11,031.58 in the subsidiary company Shenzhen Huazhengpeng Property Management Co., Ltd.
(2) In terms of monetary assets with restricted right to use at the period-end, there was escrow margin amount with RMB44,554.35 in
the catering branch of the subsidiary company Shandong Shenguomao Real Estate Management Co., Ltd.
116
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(3) In terms of monetary assets with restricted right to use at the period-end, as a real estate developer, the Company has provided
mortgage guarantees for commercial housing purchasers and paid loan guarantees of RMB1,148,647.30 according to real estate
business practices.
(4) In terms of monetary assets with restricted right to use at the period-end, there was payment guarantee of RMB 11,213,310.06
signed by the Company's subsidiary SZPRD Xuzhou Dapeng Real Estate Development Co., Ltd. and Jiangsu Hanjian Group Co., Ltd.
on 1 June 2020, of which the principal was RMB 11,075,002.60 and the interest was RMB 138,307.46. The number of the payment
guarantee was Xingyin Xubao (2020) 25.
(5) In terms of monetary assets with restricted right to use at the period-end, there was interest of fixed time deposit of
RMB4,937,087.93 undue but withdrawn at the period-end.
(6) In terms of monetary assets with restricted right to use at the period-end, there was letter of guarantee of RMB 400,000.00 issued
by Shenzhen Property Engineering and Construction Supervision Co., Ltd. for project bidding for supervision service of Shenzhen
Rongyao Real Estate Development Co., Ltd. phase II urban renewal unit project of Bangling Area, Guanlan Street, Longhua Distr ict
in 2020.
(7) Due to the needs of daily business activities, the company applied for loan from Bank of Communications, Shenzhen Branch to
mortgage the land use right of Fumin New Village, Futian District. The term of the loan was from 27 November 2020 to 27
November 2023. The interest rate of the loan was floating, and the first execution interest rate was 4.655%.
82. Foreign Currency Monetary Items
(1) Foreign Currency Monetary Items
Unit: RMB
Ending foreign currency Ending balance converted to
Item Exchange rate
balance RMB
Monetary assets -- --
Of which: USD
EUR
HKD 60,073,369.82 0.8416 50,557,748.04
Accounts receivable -- --
Of which: USD
EUR
HKD
Long-term borrowings -- --
Of which: USD
EUR
HKD
Other notes:
117
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(2) Notes to Overseas Entities Including: for Significant Oversea Entities, Main Operating Place, Recording
Currency and Selection Basis Shall Be Disclosed; if there Are Changes in Recording Currency, Relevant
Reasons Shall Be Disclosed.
√ Applicable □ Not applicable
Main Recording
Item Basis for choosing
operating place currency
Shum Yip Properties Development Co., Ltd. Hong Kong HKD Located in HK, settled by HKD
and its subsidiary
83. Arbitrage
Qualitative and quantitative information of relevant arbitrage instruments, hedged risk in line with the type of arbitrage to disclose:
84. Government Grants
(1) Basic Information on Government Grants
Unit: RMB
Amount recorded in the
Category Amount Listed items
current profit or loss
Small and micro
20,977.78 Other income 20,977.78
businessesVAT exemption
Stable post subsidy 205,104.23 Other income 205,104.23
Total 226,082.01 226,082.01
(2) Return of Government Grants
□ Applicable √ Not applicable
Other notes:
85. Other
VIII. Changes of Consolidation Scope
1. Business Combination Not under the Same Control
(1) Business Combination Not under the Same Control during the Reporting Period
Unit: RMB
Income of Net profits
Time and Recognitio acquiree of acquiree
Cost of Way to
Name of place of Proportion Purchase n basis of from the from the
gaining the gain the
acquiree gaining the of equity date purchase purchase purchase
equity equity
equity date date to date to
period-end period-end
Other notes:
(2) Combination Cost and Goodwill
Unit: RMB
Combination cost
Note to determination method of the fair value of the combination cost, consideration and changes:
The main formation reason for the large goodwill:
118
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Other notes:
(3) The Identifiable Assets and Liabilities of Acquiree on Purchase Date
Unit: RMB
Fair value on purchase date Carrying value on purchase date
The determination method of the fair value of identifiable assets and liabilities:
Contingent liability of acquiree undertaken in the business combination:
Other notes:
(4) Gains or losses from Re-measurement of Equity Held before the Purchase Date at Fair Value
Whether there is a transaction that through multiple transaction step by step to realize business combination and gaining the control
during the Reporting Period
□ Yes √ No
(5) Notes to Reasonable Consideration or Fair Value of Identifiable Assets and Liabilities of the Acquiree
that Cannot Be Determined on the Acquisition Date or during the Period-end of the Merger
(6) Other Notes
2. Business Combination under the Same Control
(1) Business Combination under the Same Control during the Reporting Period
Unit: RMB
Income Net profits
from the from the Income of Net profits
Recognitio period-begi period-begi the of the
Proportion
Combined Combinati n basis of n to the n to the acquiree acquiree
of the Basis
party on date combinatio combinatio combinatio during the during the
equity
n date n date of n date of period of period of
the the comparison comparison
acquiree acquiree
Other notes:
(2) Combination Cost
Unit: RMB
Combination cost
Contingent liabilities and changes thereof:
Other notes:
(3) The Carrying Value of Assets and Liabilities of the Combined Party on the Combination Date
Unit: RMB
Combination date Period-end of the last period
Contingent liabilities of the combined party undertaken in the business combination:
Other notes:
119
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
3. Counter Purchase
Basic information of trading, the basis of transactions constitute counter purchase, the retain assets , liabilities of the listed companies
whether constituted a business and its basis, the determination of the combination costs, the amount and calculation of adjusted rights
and interests in accordance with the equity transaction process:
4. Disposal of Subsidiary
Whether there is a single disposal of the investment to the subsidiary and lost control?
□ Yes √ No
Whether there are several disposals of the investment to the subsidiary and lost controls?
□ Yes √ No
5. Changes in Combination Scope for Other Reasons
Note to changes in combination scope for other reasons (such as newly establishment or liquidation of subsidiaries, etc.) and relevant
information:
Name of company Way to gain equity Time and place of Capital contribution Proportion
gaining equity
Xiamen Shenguomao Industry City Newly-established 17 March 2021 No actual contribution yet 51.00%
Smart Service Co., Ltd. subsidiary
Shenzhen SZPRD Swallow Lake Newly-established 1 February 2021 10,000,000.00 100.00%
Development Co., Ltd. subsidiary
Vietnam Shenguomao Real Estate Newly-established 5 January 2021 VND4.64 million (approximately 100.00%
Management Co., Ltd. subsidiary equivalent to USD200,000)
6. Other
IX. Equity in Other Entities
1. Equity in Subsidiary
(1) Subsidiaries
Main operating Registration Nature of Holding percentage (%)
Name Way of gaining
place place business Directly Indirectly
Shenzhen
Huangcheng
Shenzhen Shenzhen Real estate 100.00% Set-up
Real Estate
Co., Ltd.
Shenzhen
Wuhe Industry
Investment Shenzhen Shenzhen Real estate 100.00% Set-up
Development
Co., Ltd.
PRD Group
Xuzhou
Dapeng Real Xuzhou Xuzhou Real estate 100.00% Set-up
Estate
Development
120
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Co., Ltd.
Dongguan
International
Trade Center
Changsheng Dongguan Dongguan Real estate 100.00% Set-up
Real Estate
Development
Co., Ltd.
PRD Yangzhou
Real Estate
Yangzhou Yangzhou Real estate 100.00% Set-up
Development
Co., Ltd.
Shenzhen
International
Trade Center
Shenzhen Shenzhen Real estate 100.00% Set-up
Property
Management
Co., Ltd.
Shenzhen
Guomao
Meishenghuo Shenzhen Shenzhen Real estate 100.00% Set-up
Service Co.,
Ltd.
Shandong
Shenzhen
International
Trade Center Jinan Jinan Real estate 100.00% Set-up
Property
Management
Co., Ltd.
Chongqing
Shenzhen
International
Trade Center Chongqing Chongqing Real estate 100.00% Set-up
Property
Management
Co., Ltd.
Chongqing
Aobo Elevator Chongqing Chongqing Service 100.00% Set-up
Co., Ltd.
Chongqing
Shenzhen Shenzhen Service 100.00% Set-up
Tianque
121
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Elevator
Technology
Co., Ltd.
Shenzhen
Guoguan
Electromechani Shenzhen Shenzhen Service 100.00% Set-up
cal Device Co.,
Ltd.
Shenzhen
International Hotels and
Trade Center Shenzhen Shenzhen catering 100.00% Set-up
Catering Co., services
Ltd.
Shenzhen
Property
Engineering
Shenzhen Shenzhen Service 100.00% Set-up
Construction
Supervision
Co., Ltd.
SZPRD
Commercial
Shenzhen Shenzhen Service 100.00% Set-up
Operation Co.,
Ltd.
Zhanjiang
Shenzhen Real
Estate Zhanjiang Zhanjiang Real estate 100.00% Set-up
Development
Co., Ltd.
Shum Yip
Properties
Hong Kong Hong Kong Real estate 100.00% Set-up
Development
Co., Ltd.
Wayhang
Development Hong Kong Hong Kong Real estate 100.00% Set-up
Co., Ltd.
Chief Link
Properties Co., Hong Kong Hong Kong Real estate 70.00% Set-up
Ltd.
Syndis Business
Investment Co., Hong Kong Hong Kong Real estate 70.00% combination
Ltd. not under the
122
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
same control
Yangzhou
Slender West
Lake Jingyue
Yangzhou Yangzhou Real estate 51.00% Set-up
Property
Development
Co., Ltd.
Shandong
International
Trade Center
Jinan Jinan Real estate 100.00% Set-up
Hotel
Management
Co., Ltd.
Shenzhen
Shenshan
Special
Cooperation
Shenzhen Shenzhen Real estate 65.00% Set-up
Zone Guomao
Property
Development
Co., Ltd.
Shenzhen
Guomao
Tongle
Shenzhen Shenzhen Real estate 51.00% Set-up
Property
Management
Co., Ltd.
Shenzhen
Business
Rongyao Real
combination
Estate Shenzhen Shenzhen Real estate 69.00%
not under the
Development
same control
Co., Ltd.
Shenzhen
Guomao Business
Science and combination
Shenzhen Shenzhen Real estate 100.00%
Technology under the same
Park Service control
Co., Ltd.
Shenzhen Business
Julian Human combination
Shenzhen Shenzhen Service 100.00%
Resources under the same
Development control
123
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Co., Ltd.
Shenzhen
Huazhengpeng Business
Property combination
Shenzhen Shenzhen Real estate 100.00%
Management under the same
Development control
Co., Ltd.
Business
SZPRD Urban
combination
Renewal Co., Shenzhen Shenzhen Real estate 100.00%
under the same
Ltd.
control
Shenzhen
Business
Penghongyuan Hotels and
combination
Industrial Shenzhen Shenzhen catering 100.00%
under the same
Development services
control
Co., Ltd.
Shenzhen
Business
Jinhailian
combination
Property Shenzhen Shenzhen Real estate 100.00%
under the same
Management
control
Co., Ltd.
Business
Shenzhen
Health and combination
Social Welfare Shenzhen Shenzhen 100.00%
social work under the same
Co., Ltd.
control
Shenzhen
Fuyuanmin
Business
Property
combination
Management Shenzhen Shenzhen Real estate 100.00%
under the same
Limited
control
Liability
Company
Shenzhen
Business
Meilong
combination
Industrial Shenzhen Shenzhen Service 100.00%
under the same
Development
control
Co., Ltd.
Shenzhen Business
Guomao Public facilities combination
Shenzhen Shenzhen 90.00%
Shenlv Garden management under the same
Co., Ltd. control
124
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Shenzhen
Business
Jiayuan
combination
Property Shenzhen Shenzhen Real estate 54.00%
under the same
Management
control
Co., Ltd.
Shenzhen
Business
Helinhua
combination
Construction Shenzhen Shenzhen Real estate 90.00%
under the same
Management
control
Co., Ltd.
Shenzhen
Business
Zhongtongda
Construction combination
House Xiushan Shenzhen Shenzhen 90.00%
industry under the same
Service Co.,
control
Ltd.
Shenzhen Business
Kangping combination
Shenzhen Shenzhen Retail business 90.00%
Industrial Co., under the same
Ltd. control
Business
Shenzhen
Manufacturing combination
Sports Service Shenzhen Shenzhen 100.00%
industry under the same
Co., Ltd.
control
Shenzhen Business
Teacher’s combination
Shenzhen Shenzhen Retail business 100.00%
Home Training under the same
Co., Ltd. control
Shenzhen Business
Education combination
Shenzhen Shenzhen Service 100.00%
Industrial Co., under the same
Ltd. control
Business
Shenzhen Yufa
combination
Industrial Co., Shenzhen Shenzhen Retail business 80.95%
under the same
Ltd.
control
SZPRD
Fuyuantai
Shenzhen Shenzhen Real estate 100.00% Set-up
Development
Co., Ltd.
Shenzhen
Shenzhen Shenzhen Real estate 100.00% Set-up
SZPRD
125
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Swallow Lake
Development
Co., Ltd.
Xiamen
Shenguomao
Industry City Xiamen Xiamen Real estate 51.00% Set-up
Smart Service
Co., Ltd.
Vietnam
Shenguomao
Real Estate Vietnam Haiphong Real estate 100.00% Set-up
Management
Co., Ltd.
Notes to holding proportion in subsidiary different from voting proportion:
Basis of holding half or less voting rights but still controlling the investee and holding more than half of the voting rights but not
controlling the investee:
Significant structural entities and controlling basis in the scope of combination:
Basis of determining whether the Company is the agent or the principal:
Other notes:
(2) Significant Non-wholly-owned Subsidiary
Unit: RMB
Shareholding The profit or loss Declaring dividends Balance of
proportion of attributable to the distributed to non-controlling
Name
non-controlling non-controlling non-controlling interests at the
interests interests interests period-end
Shenzhen Rongyao
Real Estate 31.00% -8,865,098.74 30,042,727.34
Development Co., Ltd.
Holding proportion of non-controlling interests in subsidiary different from voting proportion:
Other notes:
(3) The Main Financial Information of Significant Not Wholly-owned Subsidiary
Unit: RMB
Ending balance Beginning balance
Curren Non-c Curren Non-c
Non-c Total Non-c Total
Name Curren Total t urrent Curren Total t urrent
urrent liabilit urrent liabiliti
t assets assets liabiliti liabilit t assets assets liabiliti liabilit
assets ies assets es
es y es y
Shenz 4,471, 122,66 4,594, 259,24 4,238, 4,497, 4,265, 114,18 4,379, 224,32 4,029, 4,253,
hen 992,94 5,937. 658,87 6,854. 500,00 746,85 252,71 2,786. 435,50 6,385. 600,00 926,38
Rongy 1.33 02 8.35 68 0.00 4.68 5.28 33 1.61 22 0.00 5.22
126
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
ao
Real
Estate
Develo
pment
Co.,
Ltd.
Unit: RMB
Reporting Period Same period of last year
Total Cash flows Total Cash flows
Name Operating comprehen from Operating comprehen from
Net profit Net profit
revenue sive operating revenue sive operating
income activities income activities
Shenzhen
Rongyao
-28,597,09 -28,597,09 -128,433,2 -107,760,7 -107,760,7 -386,770,7
Real Estate 0.00 0.00
2.72 2.72 88.91 17.87 17.87 11.35
Developme
nt Co., Ltd.
Other notes:
(4) Significant Restrictions on Using the Assets and Liquidating the Liabilities of the Company
(5) Financial Support or Other Supports Provided to Structural Entities Incorporated into the Scope of
Consolidated Financial Statements
Other notes:
2. The Transaction of the Company with Its Owner’s Equity Share Changed but Still Controlling the
Subsidiary
(1) Note to the Owner’s Equity Share Changed in Subsidiary
(2) The Transaction’s Influence on the Equity of Non-controlling Interests and the Owner's Equity
Attributable to the Company as the Parent
Unit: RMB
Other notes:
3. Equity in Joint Ventures or Associated Enterprises
(1) Significant Joint Ventures or Associated Enterprises
Holding percentage (%) Accounting
treatment of the
Main operating Registration Nature of investment to
Name
place place business Directly Indirectly joint venture or
associated
enterprise
Shenzhen Jifa Shenzhen Shenzhen Warehouse 50.00% Equity method
127
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Warehouse Co., service
Ltd.
Tian’an
International
Building
Property
Property Shenzhen Shenzhen 50.00% Equity method
management
Management
Company of
Shenzhen
Notes to holding proportion of joint venture or associated enterprise different from voting proportion:
Basis of holding less than 20% of the voting rights but has a significant impact or holding 20% or more voting rights but does not
have a significant impact:
(2) Main Financial Information of Significant Joint Ventures
Unit: RMB
Ending balance/Reporting Period Beginning balance/The same period of last year
Tian’an International Tian’an International
Shenzhen Jifa Building Property Shenzhen Jifa Building Property
Warehouse Co., Ltd. Management Company Warehouse Co., Ltd. Management Company
of Shenzhen of Shenzhen
Current assets 6,213,512.64 56,097,390.28 5,408,927.72 56,100,422.58
Of which: Cash and
5,913,628.39 35,276,287.69 5,408,401.36 35,387,944.60
cash equivalents
Non-current assets 81,016,675.52 64,884.81 75,370,802.09 49,234.16
Total assets 87,230,188.16 56,162,275.09 80,779,729.81 56,149,656.74
Current liabilities 2,842,873.98 26,494,743.63 2,671,881.97 26,716,095.36
Non-current liability 16,194,507.11 16,120,967.63
Total liabilities 2,842,873.98 42,689,250.74 2,671,881.97 42,837,062.99
Equity of
non-controlling 84,387,314.18 13,473,024.35 78,107,847.84 13,312,593.75
interests
Equity attributable To
shareholders of the 42,193,657.09 6,736,512.18 39,053,923.92 6,656,296.88
Company as the parent
Portion of net assets
calculated according to
42,193,657.09 6,736,512.18 39,053,923.92 6,656,296.88
proportion of
shareholdings
Carrying value of
42,193,657.09 6,736,512.18 39,053,923.92 6,656,296.88
equity investment to
128
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
joint ventures
Operating revenue 11,266,137.60 8,738,744.08 2,523,193.69 8,588,350.29
Finance expense -268,242.57 -23,928.26 -2,946.63 24,599.52
Income tax expense 2,093,155.45 53,570.28 29,207.88 75,648.84
Net profit 6,279,466.34 160,430.60 87,623.63 226,946.50
Total comprehensive
6,279,466.34 160,430.60 87,623.63 226,946.50
income
Other notes
(3) Main Financial Information of Significant Associated Enterprise
Unit: RMB
Beginning balance/The same period of
Ending balance/Reporting Period
last year
Other notes
(4) Summary Financial Information of Insignificant Joint Ventures or Associated Enterprises
Unit: RMB
Beginning balance/The same period of
Ending balance/Reporting Period
last year
Joint ventures: -- --
The total of following items according to
-- --
the shareholding proportions
Associated enterprises: -- --
The total of following items according to
-- --
the shareholding proportions
Other notes
(5) Note to the Significant Restrictions on the Ability of Joint Ventures or Associated Enterprises to
Transfer Funds to the Company
(6) The Excess Loss of Joint Ventures or Associated Enterprises
Unit: RMB
The cumulative recognized The derecognized losses (or The accumulative
Name losses in previous the share of net profit) in unrecognized losses in
accumulatively derecognized Reporting Period Reporting Period
Other notes
(7) The Unrecognized Commitment Related to Investment to Joint Ventures
(8) Contingent Liabilities Related to Investment to Joint Ventures or Associated Enterprises
4. Significant Common Operation
Name Main operating Registration place Nature of business Proportion /Share portion
129
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
place Directly Indirectly
Notes to holding proportion or share portion in common operation different from voting proportion:
For common operation as a single entity, basis of classifying as common operation
Other notes
5. Equity in the Structured Entity Excluded in the Scope of Consolidated Financial Statements
Notes to the structured entity excluded in the scope of consolidated financial statements:
6. Other
X. The Risk Related to Financial Instruments
The Company is engaged in risk management to achieve balance between risks and returns, minimizing the negative effects of risks
on its operation performance and maximizing the interests of its shareholders and other equity investors. Based on that risk
management goal, the fundamental strategy of its risk management is to identify and analyze various risks facing the Company,
establish an appropriate risk bottom line, carry out risk management and monitor various risks in a timely and reliable manner to
control them within a restricted scope.
The Company faces various risks related to financial instruments in its routine activities, mainly including credit risk, liquidity risk
market risk. The management has reviewed and approved the policies of managing those risks, which are summarized as follows.
Credit Risk
Credit risk means the risk of financial losses incurred to the other party when one party of a financial instrument is unable to fulfill its
obligations.
1. Credit Risk Management Practice
(1) Credit Risk Evaluation Method
On each balance sheet date, the Company shall evaluate whether the credit risk of relevant financial instruments has increased
significantly since the initial recognition. After determining whether the credit risk has increased significantly since the initial
recognition, the Company shall consider obtaining reasonable and reliable information without paying unnecessary extra costs or
efforts, including qualitative and quantitative analysis based on historical data, external credit risk rating and forward-looking
information. On the base of the single financial instrument or combination of financial instruments with similar credit risk
characteristics, the Company compares the risk of default of financial instruments on the balance sheet date with the risk of default
on the initial recognition date to determine the change of default risk of financial instruments during their expected duration.
When one or more of the following quantitative and qualitative criteria prevails, the Company shall believe the credit risk of financial
instruments has increased significantly:
1) For the quantitative standard, it can be mainly analyzed from the probability of default for the remaining duration on the balance
sheet date rises by more than a certain proportion compared with the initial confirmation.
2) For the qualitative standard, it can be mainly analyzed from the major adverse changes in the debtor's operation or financial
situation, changes in existing or expected technology, market, economy or legal environment which shall have major adverse impacts
on the debtor’s repayment ability of the Company, etc.
3) The upper limit is that the debtor’s contract payment (including principal and interest) is overdue for more than 90 days.
(2) Definition of Default and Credit Impairment-Assets
When a financial instrument meets one or more of the following conditions, the Company shall define the financial asset as having
defaulted, and its criteria are consistent with the definition of having incurred credit impairment:
1) Quantitative Standard
The debtor fails to make the payment after the contract payment date for more than 90 days;
2) Qualitative criteria
130
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
① The debtor has major financial difficulties;
② The debtor violates the binding provisions on the debtor in the contract;
③ The debtor is likely to go bankrupt or carry out other financial restructurings;
④ The creditor shall give the debtor concessions that will not be made in any other circumstances due to the economic or
contractual considerations related to the debtor's financial difficulties.
2. Measurement of Expected Credit Loss
Key parameters of the expected credit loss measurement include default probability, loss given default, and default risk exposure. The
Company considers the quantitative analysis and forward-looking information of historical statistical data (such as counterparty
rating, guarantee method, collateral type, repayment method, etc.) to establish exposure models of default probability, loss given
default, and default risk.
3. Refer to Note VI (1), VI (2), VI (8) for details of the reconciliation statements of beginning balance and ending balance of financial
instrument loss provision.
4. Credit Risk Exposure and Credit Risk Concentration
The Company’s credit risk mainly comes from bank deposits and accounts receivable. To control the aforementioned relevant risks,
the Company has adopted the following measures.
(1)Bank deposits
The Company places its bank deposits with financial institutions of high credit ratings. Thus, its credit risk is low.
(2)Accounts receivable
The Company conducts credit assessment on the customers trading in the mode of credit on a regular basis. Based on the credit
assessment result, the Company chooses to trade with recognized customers with good credit and monitor the balance of the accounts
receivable from them to ensure that the Company will not face any significant bad debt risk.
Due to the Company merely trades with the authorized third party with good credit, the guarantee is not required. Credit risk
concentration is managed in accordance with the customers. As of 30 June 2021, there are certain credit concentration risks, and
53.73% of accounts receivable of the Company (55.41% on 31 December 2020) comes from top 5 customers of balance. The
Company hasn’t held any guarantee or other credit enhancement for balance of accounts receivable.
The maximum credit risk exposure the Company undertook shall be the carrying value of each financial asset in balance sheet.
Liquidity Risk
Liquidity risk refers to the risk of fund shortage occurring when the Company fulfills the settlement obligation in the mode of cash
delivery or other financial assets. Liquidity risk may originate from the failure to sell financial assets at fair value as soon as possible;
or from the other party’s failure to pay off its contractual debts; or from the earlier maturity of debts; or from the failure to generate
the expected cash flow.
To control the risk, the Company comprehensively adopts bank loans as financing approach, appropriately combine long-term and
short-term financing modes and optimize the financing structure to maintain the balance between financing sustainability and
flexibility. The Company has obtained the line of credit from a number of commercial banks to satisfy its operation fund needs and
capital expenditure.
Financial liabilities classified by remaining maturity
Item Ending balance
Carrying value Undiscounted Within 1 year 1 to 3 years Over 3 years
contract amount
Bank loans 3,556,900,000.00 4,189,654,287.20 247,390,194.73 491,931,024.39 3,450,333,068.08
131
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Accounts 365,584,409.13 365,584,409.13 365,584,409.13
payable
Other payables 898,163,208.62 898,163,208.62 898,163,208.62
Current portion 67,002,418.07 67,002,418.07 67,002,418.07
of other
non-current
liabilities
Subtotal 4,887,650,035.82 5,520,404,323.02 1,578,140,230.55 491,931,024.39 3,450,333,068.08
(Continued)
Item Beginning balance
Carrying value Undiscounted Within 1 year 1 to 3 years Over 3 years
contract amount
Bank loans 3,587,800,000.00 4,314,545,187.20 184,013,456.59 499,101,299.39 3,631,430,431.22
Accounts 468,269,685.65 468,269,685.65 468,269,685.65
payable
Other payables 834,939,937.05 834,939,937.05 834,939,937.05
Current portion 36,722,824.88 36,722,824.88 36,722,824.88
of other
non-current
liabilities
Subtotal 4,927,732,447.58 5,654,477,634.78 1,523,945,904.17 499,101,299.39 3,631,430,431.22
Market Risk
Market risk means the fluctuation risk of the fair value of financial instruments or the future cash flow due to market price changes.
1. Interest rate risk
Interest rate risk means the fluctuation risk of the fair value of financial instruments or the future cash flow due to changes of market
interest rate. The Company has faced the interest rate risk of fair value generated from the financial instrument with intere st of fixed
rate, and the interest rate risk of cash flows generated from financial instrument with interest of floating interest rate. The Company
will determined the proportion between the financial instrument with interest of fixed rate and floating interest rate according to the
market environment, as well as review regularly, supervise and maintain appropriate portfolio of financial instrument. The interest
rate risk of cash flows facing the Company is mainly related to the bank loans calculated by floating interest rate of the Company.
As of 30 June 2021, under the assumption of fixed variables with 50 basis points changed in interest rate, the bank loan with
RMB3,618,700,000.00 (RMB3,618,800,000.00 on 31 December 2020) calculated at floating rate will not result in significant
influence on total profit and shareholders’ equity of the Company.
2. Foreign exchange risk
Foreign exchange rate refers to the risk that may lead to the changes of fair value of financial instruments or future cash flows due to
fluctuation in exchange rate. The risk of changes of exchange rate facing the Company is mainly related to foreign currency monetary
assets and liabilities of the Company. The Company operates in mainland China, and the main activities are recorded by RMB. Thus,
the foreign exchange market risk undertaken is insignificant for the Company.
132
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
XI. The Disclosure of Fair Value
1. Ending Fair Value of Assets and Liabilities at Fair Value
Unit: RMB
Ending fair value
Fair value Fair value Fair value
Item
measurement items at measurement items at measurement items at Total
level 1 level 2 level 3
I. Consistent fair value
-- -- -- --
measurement
(III) Other equity
773,704.00 773,704.00
instrument investment
Total amount of
773,704.00 773,704.00
liabilities at fair value
II. Inconsistent fair
-- -- -- --
value measurement
2. Market Price Recognition Basis for Consistent and Inconsistent Fair Value Measurement Items at Level
1
Other equity instrument held by the Company belongs to stocks of listed company, of which the closing price of stock exchange on
30 June 2021 shall be regarded as the fair value.
3. Valuation Technique Adopted and Nature and Amount Determination of Important Parameters for
Consistent and Inconsistent Fair Value Measurement Items at Level 2
4. Valuation Technique Adopted and Nature and Amount Determination of Important Parameters for
Consistent and Inconsistent Fair Value Measurement Items at Level 3
5. Sensitiveness Analysis on Unobservable Parameters and Adjustment Information between Beginning and
Ending Carrying Value of Consistent Fair Value Measurement Items at Level 3
6. Explain the Reason for Conversion and the Governing Policy when the Conversion Happens if
Conversion Happens among Consistent Fair Value Measurement Items at Different Levels
7. Changes in the Valuation Technique in the Current Period and the Reason for Such Changes
8. Fair Value of Financial Assets and Liabilities Not Measured at Fair Value
9. Other
XII. Related Party and Related-party Transactions
1. Information Related to the Company as the Parent of the Company
Proportion of
Proportion of
voting rights
share held by the
owned by the
Name Registration place Nature of business Registered capital Company as the
Company as the
parent against the
parent against the
Company (%)
Company (%)
Shenzhen Managing RMB28,009
Shenzhen 56.96% 56.96%
Investment state-owned assets million
133
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Holdings Co., Ltd
Notes: Information on the Company as the parent
The Company as the parent of the Company is Shenzhen Investment Holdings Co., Ltd., a newly-established and organized
state-owned capital investment company based on the original three state-owned assets management companies in October 2004,
among which the main function is to manage the partial municipal state-owned companies according to the authorization of
Municipal SASAC. As a government department, Shenzhen State-owned Assets Supervision and Administration Bureau manages
Shenzhen Investment Holdings Co., Ltd. on behalf of People’s Government of Shenzhen Municipality.
The final controller of the Company is Shenzhen State-owned Assets Supervision and Administration Committee of Shenzhen
Government.
Other notes:
2. Subsidiaries of the Company
Refer to Note IX for details.
3. Information on the Joint Ventures and Associated Enterprises of the Company
Refer to Note IX-3 for details about significant joint ventures or associated enterprises.
Information on other joint venture or associated enterprise of occurring related-party transactions with the Company in Reporting
Period, or forming balance due to related-party transactions made in previous period:
Name Relationship with the Company
Other notes
Not applicable
4. Information on Other Related Parties
Name Relationship with the Company
Wholly-owned subsidiary of the Company as the parent of the
Shenzhen Investment Holdings Co., Ltd.
Company
Wholly-owned subsidiary of the Company as the parent of the
Shenzhen Bay Technology Development Co., Ltd.
Company
Wholly-owned subsidiary of Shenzhen Bay Technology Wholly-owned subsidiary of Shenzhen Bay Technology
Development Co., Ltd. Development Co., Ltd.
The Company as the parent of Xinhai Rongyao of subsidiary
Shenzhen Xinhai Holding Co., Ltd.
Rongyao Real Estate by non-controlling interests
Shenzhen Xinhai Rongyao Real Estate Development Co., Ltd. Subsidiary Rongyao Real Estate by non-controlling interests
Shenzhen Real Estate Jifa Warehousing Co., Ltd. Joint venture of the Company
Shenzhen Tian’an International Mansion Property
Joint venture of the Company
Administration Co., Ltd.
Shenzhen Wufang Ceramics Industrial Co., Ltd. Associated enterprise of the Company
Hebei Shenbao Investment Development Co., Ltd. Parent company's grandson company
Shenzhen General Institute of Architectural Design and
Wholly-owned subsidiary of the parent company
Research Co., Ltd.
134
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Shenzhen Bay Area Urban Construction Development Co.,
Wholly-owned subsidiary of the parent company
Ltd.
Wholly-owned subsidiary of the Company as the parent of the
VCEP
Company
Shenzhen Infinova Limited Subsidiary of the Company as the parent of the Company
GUOREN PROPERTY AND CASUALTY INSURANCE
Subsidiary of the Company as the parent of the Company
CO.,LTD.
Guosen Securities Co.,Ltd. Subsidiary of the Company as the parent of the Company
Other notes
5. List of Connected Transactions
(1) Information on Acquisition of Goods and Reception of Labor Service
Information on acquisition of goods and reception of labor service
Unit: RMB
The approval trade Whether exceed Same period of last
Related party Content Reporting Period
credit trade credit or not year
Shenzhen Bay
Technology Management
36,898,826.16 80,000,000.00 Not 33,458,508.93
Development Co., service fee
Ltd.
Shenzhen General
Institute of
Project
Architectural
architectural 2,951,039.53 0.00
Design and
design plan
Research Co.,
Ltd.
Information
Shenzhen
management 611,563.48
Infinova Limited
system
GUOREN
PROPERTY
Premiums for
AND
property 112,834.59
CASUALTY
insurance
INSURANCE
CO.,LTD.
Information of sales of goods and provision of labor service
Unit: RMB
Related party Content Reporting Period Same period of last year
Shenzhen Hi-tech Zone
Development Construction Property service fee 741,984.34 669,509.81
Co., Ltd
135
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Shenzhen Bay Technology
Property service fee 28,502,992.03 18,958,078.79
Development Co., Ltd.
Hebei Shenbao Investment
Property service fee 2,805,356.45 0.00
Development Co., Ltd.
Shenzhen Bay Area Urban
Construction Development Property service fee 986,445.32 713,736.06
Co., Ltd.
VCEP Property service fee 3,126,797.59 0.00
Guosen Securities Co.,Ltd. Property service fee 766,960.89 0.00
Notes on acquisition of goods and reception of labor service
(2) Information on Related-party Trusteeship/Contract
Lists of trusteeship/contract:
Unit: RMB
Income
Name of the Name of the
recognized in
entruster/contra entrustee/ Type Start date Due date Pricing basis
this Reporting
ctee contractor
Period
Shenzhen ShenZhen
Shentou Properties &
Investment 6 November 5 November
Property Resources Market pricing 31,245,224.31
property 2019 2025
Development Development
Co., Ltd. (Group) Ltd.
Notes:
Lists of entrust/contractee
Unit: RMB
Charge
Name of the Name of the
recognized in
entruster/contra entrustee/ Type Start date Due date Pricing basis
this Reporting
ctee contractor
Period
Notes:
Not applicable
(3) Information on Related-party Lease
The Company was lessor:
Unit: RMB
The lease income confirmed
The lease income confirmed
Name of lessee Category of leased assets in the Same period of last
in the Reporting Period
year
The Company was lessee:
Unit: RMB
136
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
The lease fee confirmed in The lease fee confirmed in
Name of lessor Category of leased assets
the Reporting Period the Same period of last year
Shenzhen Shentou Property
Investment property 194,163.30 190,340.58
Development Co., Ltd.
Notes:
(4) Information on Related-party Guarantee
The Company was guarantor:
Unit: RMB
Execution
Secured party Guarantee amount Start date End date
accomplished or not
The Company was secured party
Unit: RMB
Execution
Guarantor: Guarantee amount Start date End date
accomplished or not
Notes:
Not applicable
(5) Information on Inter-bank Lending of Capital of Related Parties
Unit: RMB
Related party Amount Start date End date Note
Borrowing
Lending
(6) Information on Assets Transfer and Debt Restructuring by Related Party
Unit: RMB
Related party Content Reporting period Same period of last year
(7) Information on Remuneration for Key Management Personnel
Unit: RMB
Item Reporting period Same period of last year
Remuneration for key management
5,087,564.50 6,604,773.44
personnel
(8) Other Related-party Transactions
Not applicable
6. Accounts Receivable and Payable of Related Party
(1) Accounts Receivable
Unit: RMB
Ending balance Beginning balance
Item Related party
Carrying amount Bad debt provision Carrying amount Bad debt provision
Accounts Shenzhen Bay 91,137,483.11 2,734,124.49 60,785,586.79 1,823,567.60
137
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
receivable Technology
Development Co.,
Ltd.
Hebei Shenbao
Investment
1,475,498.61 44,264.96 1,465,286.24 43,958.59
Development Co.,
Ltd.
Shenzhen Hi-tech
Zone
Development 1,412,291.35 42,368.74 583,120.29 17,493.61
Construction Co.,
Ltd.
Shenzhen
Investment 0.00 0.00 8,357,589.14 250,727.67
Holdings Co., Ltd.
Total 94,025,273.07 2,820,758.19 71,191,582.75 2,135,747.48
Shenzhen Xinhai
Other receivables 401,499,990.18 0.00 401,499,990.18 0.00
Holding Co., Ltd.
Shenzhen Xinhai
Rongyao Real
Estate 330,472,932.33 0.00 330,472,932.33 0.00
Development Co.,
Ltd.
Shenzhen Wufang
Ceramics 1,747,264.25 1,747,264.25 1,747,264.25 1,747,264.25
Industrial Co., Ltd.
Shenzhen Hi-tech
Zone
Development 138,689.46 110,951.57 138,689.46 110,951.57
Construction Co.,
Ltd.
Shenzhen
Investment 109,148.44 46,829.92 109,148.44 46,829.92
Holdings Co., Ltd.
Shenzhen Bay
Technology
6,953,684.90 208,610.55 931,784.90 27,953.55
Development Co.,
Ltd.
Total 740,921,709.56 2,113,656.29 734,899,809.56 1,932,999.29
(2) Accounts Payable
Unit: RMB
138
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Item Related party Ending carrying amount Beginning carrying amount
Shenzhen Shentou Property
Accounts payable 2,224,538.17 1,338,025.92
Development Co., Ltd.
Total 2,224,538.17 1,338,025.92
Shenzhen Shentou Property
Other payables 18,606,526.07 14,781,098.23
Development Co., Ltd.
Shenzhen Bay Technology
67,127,452.96 29,944,314.56
Development Co., Ltd.
Shenzhen Bay Area Urban
Construction and 360,752.18 360,752.18
Development Co., Ltd.
Shenzhen Real Estate Jifa
38,796,665.14 35,796,665.14
Warehousing Co., Ltd.
Shenzhen Tian’an
International Mansion
5,214,345.90 5,214,345.90
Property Administration Co.,
Ltd.
Total 132,330,280.42 86,097,176.01
7. Commitments of Related Party
According to the overall plan of the Shenzhen Municipal Government on the restructuring of the state-owned assets management
system, the State-owned Assets Supervision and Administration Commission of the People's Government of Shenzhen Municipal
decided to establish Shenzhen Investment Holdings Co., Ltd. (SIHC), merging Shenzhen Investment Holdings Co., Ltd., Shenzhen
Management-Investment Company and Shenzhen Trade Investment Holdings Co., Ltd. As a result, SIHC inherited 63.82% of the
equity interests in the listed company ShenZhen Properties & Resources Development (Group) Ltd. (SZPRD) held by Shenzhen
Investment Holdings Co., Ltd. and Shenzhen Management-Investment Company in accordance with the law. On 19 October 2018,
SIHC obtained the Confirmation of Securities Transfer Registration regarding the equity interest of SZPRD and completed the
transfer of the equity interest in SZPRD. In view of the fact that Shenzhen Urban Construction Development (Group) Co. Ltd.,
Shenzhen Special Economic Zone Real Estate & Properties (Group) Co. Ltd. and SZPRD, all wholly-owned subsidiaries of SIHC,
are operating real estate development and commercial property sales business, which belong to the same industry, and there is
competition in the same industry. So, in order to avoid competition in the same industry, SIHC has made relevant commitments, as
detailed in III Fulfillment of Commitments of Part V of the Annual Report 2020.
8. Other
XIII. Stock Payment
1. The Overall Situation of Stock Payment
□ Applicable √ Not applicable
2. The Stock Payment Settled in Equity
□ Applicable √ Not applicable
3. The Stock Payment Settled in Cash
□ Applicable √ Not applicable
139
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
4. Modification and Termination of the Stock Payment
5. Other
XIV. Commitments and Contingency
1. Significant Commitments
Significant Contingency on Balance Sheet Date
Item Reporting period Same period of last year
Signed but derecognized in financial 204,632,733.45 147,758,430.24
statements — Large amount contract
2. Contingency
(1) Important Contingencies Existing on the Balance Sheet Date
(1) The action about transferring Jiabin Building contentious matter
In 1993, the Company signed Right of Development Transfer Contract of Jiabin Building with Shenzhen Jiyong Property
Development Co., Ltd. (hereinafter referred to as “Jiyong Company”). Since the contract was not effectively executed, the Company
subsequently filed a series of lawsuits against the parties involved in the project, but the outcome was not favorable to the Company.
Therefore, the Company calculated and withdrew bad-debt provisions for accounts receivable from Jiyong Company in full in past
years for the transfer of Jiabin Building. On October 31, 2018, Shenzhen Intermediate People’s Court made a civil award and ruled
that the Company’s application for the bankruptcy of Jiyong Company would not be accepted. The Company appealed against the
ruling. On April 29, 2019, the Guangdong Provincial Higher People's Court ruled to reject the Company's appeal and maintain the
original ruling. As of the issuance date of the report, there is no new progress in the case.
(2) The contentious matters involved with all renovations, decorations, equipment and facilities in the floors 5-8 of Haiwai Lianyi
Building
In 2008, Shenzhen Hailian Guest House, a subsidiary of the Company, signed the Internal Contract of Hailian Guest House, House
Leasing Contract with Cai Baolin, obtained the use right of the rooms in the floors 5-8 of Haiwai Lianyi Building accordingly and
further established Shenzhen Hailian Hotel Co., Ltd. for business operation of the rooms. For the above-mentioned contracts were
terminated, Cai Baolin brought a civil lawsuit against Shenzhen Hailian Guest House, Shenzhen Jinhailian Property Management Co.,
Ltd. (“Jinhailian”) on all of the renovation, decoration, equipment and facilities made and installed in the rooms. The People’s Court
at Luohu District, Shenzhen City issued the civil judgment (2019) Yue 0303 Min Chu 4458 on December 26, 2019 and ordered
Jinhailian to accept the renovation, decoration, equipment and facilities remaining in the floors 5-8 of Haiwai Lianyi Building by the
plaintiff Cai Baolin within ten days after the judgment became effective, and Jinhailian should pay the residual value RMB
2,396,947.00 and Cai Baolin had no right to the above assets. In this year, the estimated liabilities RMB 2,396,947.00 shall be
accrued for Jinhailian according to the amount of compensation payable.
(3) Phase I arbitration case of High-tech Zone Branch Software Park
On 22 February 2021, ITC Technology Park Hi-tech Zone Branch, a subsidiary of the Company, received a notice of arbitration from
Shenzhen Court of International Arbitration in relation to a dispute over a property service contract between the owners' committee
and the Branch, in which the applicant requested an award for the Hi-tech Zone Branch to return all operating income balances
relating to public sites and premises for the period from 2007 to 2020 in the amount of RMB31,077,017.59 and RMB635,929.44 for
fund occupation fee, RMB288,641.00 for arbitration fee and RMB300,000.00 for attorney fee, totaling RMB32,301,588.03. The first
session of the arbitration has been concluded, and the parties to the arbitration have disputed the number of amounts involved and
have applied for an audit by a third-party auditor, and are currently waiting for the audit to be carried out.
(4) Phase I arbitration case of ITC Technology Park Hi-tech Zone Branch
In March 2021, ITC Technology Park Hi-tech Zone Branch, a subsidiary of the Company, received a notice of arbitration from
140
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Shenzhen Court of International Arbitration in relation to a dispute over a property service contract between the owners' committee
and the Branch, in which the applicant requested for an award to return to the owners' committee the principal amount of
RMB9,893,677.82 of the operating income balance for the period from 2007 to 2012 and the fund occupation fee of
RMB3,272,665.99 (based on 9,893,677.82, from 1 July 2012, at an annual interest rate of 3.85%, provisionally calculated until 13
January 2021, actually calculated until the date of liquidation of the respondent), totaling RMB13,166,343.81. The arbitration fees in
this case shall be borne by the Branch; the attorney's fees of RMB30,000.00 shall be borne by the Sci-tech Park. The above amounts
totaled RMB13,196,343.81. The first session of the arbitration has been concluded, and the parties to the arbitration have disputed the
number of amounts involved and have applied for an audit by a third-party auditor, and are currently waiting for the audit to be
carried out.
(2) In Despite of no Significant Contingency to Disclose, the Company Shall Also Make Relevant
Statements
There was no significant contingency in the Company.
3. Other
As a real estate developer, the Company provides mortgage loan guarantees for commercial housing purchasers according to the
operation practice of real estate industry and pays loan deposit for them. By 30 June 2021, the balance of deposit not discharged with
guarantee was RMB190,666,780.00, which guarantee will be discharged when the mortgage loan is paid off.
XV. Events after Balance Sheet Date
1. Significant Non-adjusted Events
Unit: RMB
Influence number to the
Reason of inability to
Item Content financial position and
estimate influence number
operating results
2. Profit Distribution
Unit: RMB
3. Sales Return
4. Notes to Other Events after Balance Sheet Date
XVI. Other Significant Events
1. The Accounting Errors Correction in Previous Period
(1) Retrospective Restatement
Unit: RMB
Name of the influenced report
Content Processing program items during comparison Accumulative impact
period
(2) Prospective Application
Reason for adopting prospective
Content Processing program
application
141
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
2. Debt Restructuring
3. Assets Replacement
(1) Non-monetary Assets Exchange
(2) Other Assets Replacement
4. Pension Plans
5. Discontinued Operations
Unit: RMB
Profit from
discontinued
operations
Income tax
Item Income Expense Total profit Net profit attributable to
expense
owners of the
Company as
the parent
Other notes
6. Segment Information
(1) Determination Basis and Accounting Policies of Reportable Segment
In accordance with the internal organization structure, management requirements and internal report system, the Company identified
the reportable segments based on the product segment and assessed the operational performance of ivory business, printing business
and latex business. The assets and liabilities sharing with other segments shall be proportionally distributed among segments by
scales.
(2) The Financial Information of Reportable Segment
Unit: RMB
Property Offset among
Item Real estate Leasing business Total
management segment
Operation revenue 1,897,026,889.73 541,811,731.82 102,026,517.70 2,540,865,139.25
Operation cost 256,248,450.98 451,542,753.54 46,493,821.72 754,285,026.24
Total assets 11,489,316,868.42 1,262,501,191.47 531,862,648.48 13,283,680,708.37
Total liabilities 8,054,816,541.98 845,103,655.07 179,043,100.87 9,078,963,297.92
(3) If there Was no Reportable Segment, or the Total Amount of Assets and Liabilities of Each Reportable
Segment Could not Be Reported, Relevant Reasons Shall Be Clearly Stated
(4) Other notes
7. Other Significant Transactions and Events with Influence on Investors’ Decision-making
8. Other
XVII. Notes of Main Items in the Financial Statements of the Company as the Parent
1. Notes Receivable
(1) Accounts Receivable Disclosed by Category
Unit: RMB
Category Ending balance Beginning balance
142
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Bad debt
Carrying amount Carrying amount Bad debt provision
provision
Withdr Carryin Withdr Carrying
Amoun Proport Amoun awal g value Amoun Proport Amoun awal value
t ion t proport t ion t proport
ion ion
Accounts
receivable for
96,702, 95.89 96,702, 100.00 96,702, 96,702, 100.00
which bad debt 0.00 97.25% 0.00
269.40 % 269.40 % 269.40 269.40 %
provision
separately accrued
Of which:
Accounts
receivable
4,149,1 133,02 4,016,0 2,735,7 111,280 2,624,50
withdrawal of bad 4.11% 3.21% 2.75% 4.07%
12.75 1.15 91.60 81.29 .87 0.42
debt provision by
group
Of which:
100,85
100.00 96,835, 96.02 4,016,0 99,438, 100.00 96,813, 2,624,50
Total 1,382.1 97.36%
% 290.55 % 91.60 050.69 % 550.27 0.42
5
Accounts receivable for which bad debt provision separately accrued: 96702269.40
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion Reason for withdrawal
Shenzhen Jiyong
Properties & Involved in lawsuit and
Resources 93,811,328.05 93,811,328.05 100.00% with no executable
Development property
Company
Long aging and
Shenzhen Tewei
2,836,561.00 2,836,561.00 100.00% expected
Industrial Co., Ltd.
unrecoverable
Luohu District
Long aging and
Economic
54,380.35 54,380.35 100.00% expected
Development
unrecoverable
Company
Total 96,702,269.40 96,702,269.40 -- --
Accounts receivable for which bad debt provision separately accrued:
Unit: RMB
143
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion Reason for withdrawal
Withdrawal of bad debt provision by group: 133021.15
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion
Portfolio of credit risk
4,149,112.75 133,021.15 3.21%
features
Total 4,149,112.75 133,021.15 --
Notes to the determination basis for the group:
For details, please refer to Part XII Financial Statement.
Withdrawal of bad debt provision by group: 133021.15
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion
Within 1 year 4,027,001.80 120,810.05 3.00%
1 to 2 years 122,110.95 12,211.10 10.00%
Total 4,149,112.75 133,021.15 --
Notes to the determination basis for the group:
Withdrawal of bad debt provision by group:
Unit: RMB
Ending balance
Name
Carrying amount Bad debt provision Withdrawal proportion
Notes to the determination basis for the group:
Please refer to the relevant information of disclosure of bad debt provision of other accounts receivable if adopting the general mode
of expected credit loss to withdraw bad debt provision of accounts receivable.
□ Applicable √ Not applicable
Disclosed by aging
Unit: RMB
Aging Ending balance
Within 1 year (including 1 year) 4,027,001.80
1 to 2 years 122,110.95
Over 3 years 96,702,269.40
Over 5 years 96,702,269.40
Total 100,851,382.15
144
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(2) Bad Debt Provision Withdrawal, Reversed or Recovered in the Reporting Period
Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period:
Unit: RMB
Changes in the Reporting Period
Beginning
Category Reversal or Ending balance
balance Withdrawal Write-off Withdrawal
recovery
Bad debt
provision
96,702,269.40 96,702,269.40
withdrawn
separately
Bad debt
provision
111,280.87 21,740.28 133,021.15
withdrawn by
group
Total 96,813,550.27 21,740.28 96,835,290.55
Of which significant amount of reversed or recovered bad debt provision:
Unit: RMB
Name of entity Amount reversed or recovered Way of recovery
(3) Accounts Receivable with Actual Verification during the Reporting Period
Unit: RMB
Item Amount verified
Of which the verification of significant accounts receivable:
Unit: RMB
Verification Whether generated
Reason for
Name of entity Nature Amount verified procedures from connected
verification
performed transactions
Notes to verification of accounts receivable:
(4) Top 5 of the Ending Balance of the Accounts Receivable Collected according to Arrears Party
Unit: RMB
Proportion to the total ending
Ending balance of accounts Ending balance of bad debt
Name of entity balance of accounts
receivable provision
receivable
Shenzhen Jiyong Properties
& Resources Development 93,811,328.05 93.02% 93,811,328.05
Company
Shenzhen Tewei Industry
2,836,561.00 2.81% 2,836,561.00
Co., Ltd.
Shenzhen Meige Xiazi
813,549.60 0.81% 24,406.49
Catering Management Co.,
145
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Ltd.
Shenzhen Feihuang Industrial
694,630.00 0.69% 20,838.90
Co., Ltd.
State Grain Supply Chain
156,145.00 0.15% 4,684.35
(Shenzhen) Co., Ltd.
Total 98,312,213.65 97.48%
(5) Accounts Receivable Derecognized due to the Transfer of Financial Assets
(6) The Amount of Assets and Liabilities Generated from the Transfer and the Continued Involvement of
Accounts Receivable
Other notes:
2. Other Accounts Receivable
Unit: RMB
Item Ending balance Beginning balance
Other accounts receivable 151,322,779.82 145,325,697.20
Total 151,322,779.82 145,325,697.20
(1) Interest Receivable
1) Category of Interest Receivable
Unit: RMB
Item Ending balance Beginning balance
2) Significant Overdue Interest
Whether occurred
Entity Ending balance Overdue time Overdue reason impairment and its
judgment basis
Other notes:
3) Information of Withdrawal of Bad Debt Provision
□ Applicable √ Not applicable
(2) Dividend Receivable
1) Category of Dividend Receivable
Unit: RMB
Item (or investees) Ending balance Beginning balance
2) Significant Dividends Receivable Aging over 1 Year
Unit: RMB
Whether occurred
Item (or investees) Ending balance Aging Reason impairment and its
judgment basis
3) Information of Withdrawal of Bad Debt Provision
□ Applicable √ Not applicable
Other notes:
146
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(3) Other Receivables
1) Other Receivables Disclosed by Account Nature
Unit: RMB
Nature Ending carrying amount Beginning carrying amount
Guarantee deposit 1,552,160.00 2,201,527.00
Petty cash 170,000.00
Payment on behalf 19,510.00
External intercourse funds 23,851,692.45 23,305,386.85
Intercourse funds to subsidiary 158,099,632.47 151,970,155.85
Total 183,673,484.92 177,496,579.70
2) Information of Withdrawal of Bad Debt Provision
Unit: RMB
First stage Second stage Third stage
Expected credit Expected loss in the Expected loss in the
Bad debt provision Total
loss of the next 12 duration (credit duration (credit
months impairment not occurred) impairment occurred)
Balance of 1 January
8,812,171.77 23,358,710.73 32,170,882.50
2021
Balance of 1 January
2021 in the current —— —— —— ——
period
Withdrawal of the
33,975.00 145,847.60 179,822.60
current period
Balance of 30 June
8,846,146.77 23,504,558.33 32,350,705.10
2021
Changes of carrying amount with significant amount changed of loss provision in the Reporting Period
□ Applicable √ Not applicable
Disclosure by aging
Unit: RMB
Aging Ending balance
Within 1 years (including 1 year) 158,306,643.86
1 to 2 years 69,600.00
2 to 3 years 50,000.00
Over 3 years 25,247,241.06
3 to 4 years 54,945.84
4 to 5 years 2,016.98
Over 5 years 25,190,278.24
147
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Total 183,673,484.92
3) Bad Debt Provision Withdrawn, Reversed or Recovered in the Reporting Period
Information of bad debt provision withdrawn:
Unit: RMB
Changes in the Reporting Period
Beginning
Category Reversal or Ending balance
balance Withdrawal Write-off Other
recovery
Bad debt
provision
23,358,710.73 145,847.60 23,504,558.33
withdrawn
separately
Bad debt
provision
8,812,171.77 33,975.00 8,846,146.77
withdrawn by
group
Total 32,170,882.50 179,822.60 32,350,705.10
Of which the bad debt provision reversed or recovered with significant amount during the Reporting Period:
Unit: RMB
Name of entity Amount reversed or recovered Way of recovery
4) Particulars of the Actual Verification of Other Receivables during the Reporting Period
Unit: RMB
Item Amount
Of which the verification of significant other receivables:
Unit: RMB
Whether occurred
because of
Name of the entity Nature Amount Reason Procedure
related-party
transactions
Notes to the verification of other receivables:
5) Top 5 of the Ending Balance of Other Receivables Collected according to the Arrears Party
Unit: RMB
Proportion to
ending balance of Ending balance of
Name of the entity Nature Ending balance Aging
total other bad debt provision
receivables%
Shum Yip
Properties Intercourse funds
102,374,340.25 Over 5 years 55.74% 7,022,616.20
Development to subsidiary
Limited
148
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
SZPRD Yangzhou
Real Estate Intercourse funds
23,417,665.20 1-2 years 12.75% 0.00
Development Co., to subsidiary
Ltd.
SZPRD Xuzhou
Dapeng Real Estate Intercourse funds
18,147,317.91 Within 1 year 9.88% 0.00
Development Co., to subsidiary
Ltd.
SZPRD Real Estate
Intercourse funds
Development Co., 9,200,000.00 Within 1 year 5.01% 0.00
to subsidiary
Ltd.
Shanghai Yutong
External
Real Estate Co., 5,676,000.00 Over 5 years 3.09% 5,676,000.00
intercourse funds
Ltd.
Total -- 158,815,323.36 -- 86.47% 12,698,616.20
6) Accounts Receivable Involving Government Subsidies
Unit: RMB
Project of government Estimated recovering
Name of the entity Ending balance Ending aging
subsidies time, amount and basis
7) Derecognition of Other Receivables due to the Transfer of Financial Assets
8) The Amount of the Assets and Liabilities Formed due to the Transfer and the Continued Involvement of
Other Receivables
Other notes:
3. Long-term Equity Investment
Unit: RMB
Ending balance Beginning balance
Item Carrying Depreciation Carrying Depreciation
Carrying value Carrying value
amount reserve amount reserve
Investment to 1,093,829,880. 1,025,465,880. 1,093,829,880. 1,025,465,880.
68,364,000.00 68,364,000.00
subsidiaries 39 39 39 39
Investment to
joint ventures
67,912,318.10 18,983,614.14 48,928,703.96 64,693,834.93 18,983,614.14 45,710,220.79
and associated
enterprises
1,161,742,198. 1,074,394,584. 1,158,523,715. 1,071,176,101.
Total 87,347,614.14 87,347,614.14
49 35 32 18
(1) Investment to Subsidiaries
Unit: RMB
Investee Beginning Increase/decrease Ending Ending
149
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
balance Depreciation balance balance of
Additional Reduced
(carrying reserve Other (carrying depreciation
investment investment
value) withdrawn value) reserve
Shenzhen
Huangcheng 35,552,671.9 35,552,671.9
Real Estate 3 3
Co., Ltd.
Shenzhen
Wuhe
Industry 30,950,000.0 30,950,000.0
Investment 0 0
Development
Co., Ltd.
SZPRD
Yangzhou
50,000,000.0 50,000,000.0
Real Estate
0 0
Development
Co., Ltd.
Dongguan
ITC
Changsheng 20,000,000.0 20,000,000.0
Real Estate 0 0
Development
Co., Ltd.
Shenzhen
International
Trade Center 24,704,758.0 24,704,758.0
Property 6 6
Management
Co., Ltd.
Shenzhen
Property
Construction 3,000,000.00 3,000,000.00
Supervision
Co., Ltd.
SZPRD
Commercial 62,821,767.9 62,821,767.9
Operation 0 0
Co., Ltd.
Zhanjiang
Shenzhen 0.00 2,530,000.00
Real Estate
150
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Development
Co., Ltd.
Shum Yip
Properties 15,834,000.0
0.00
Development 0
Co., Ltd.
SZPRD
Xuzhou
Dapeng Real 50,000,000.0
0.00
Estate 0
Development
Co., Ltd.
Shenzhen
Rongyao Real
508,000,000. 508,000,000.
Estate
00 00
Development
Co., Ltd.
Shenzhen
Guomao
Science and 163,553,254. 171,320,445.
7,767,190.70
Technology 89 59
Park Service
Co., Ltd.
SZPRD
Urban 126,883,427. -7,767,190.7 119,116,236.
Renewal Co., 61 0 91
Ltd.
1,025,465,88 1,025,465,88 68,364,000.0
Total 0.00
0.39 0.39 0
(2) Investment to Joint Ventures and Associated Enterprises
Unit: RMB
Increase/decrease
Gains
Beginni and Cash Ending
Adjust Withdr Ending
ng losses bonus balance
Additio Reduce ment of Change awal of balance
Investe balance recogni or of
nal d other s of impair (carryin
e (carryin zed profits Other depreci
investm investm compre other ment g
g under announ ation
ent ent hensive equity provisi value)
value) the ced to reserve
income on
equity issue
method
151
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
I. Joint ventures
Shenzh
en Real
Estate
Jifa 39,053, 3,139,7 42,193,
Wareho 923.92 33.17 657.09
using
Co.,
Ltd.
Tian’an
Internat
ional
Buildin
g
Propert
6,656,2 78,750. 6,735,0
y
96.87 00 46.87
Manage
ment
Compa
ny of
Shenzh
en
Subtota 45,710, 3,218,4 48,928,
l 220.79 83.17 703.96
II. Associated enterprises
Shenzh
en
Wufang
Cerami 18,983,
cs 614.14
Industri
al Co.,
Ltd.
Subtota 18,983,
l 614.14
45,710, 3,218,4 48,928, 18,983,
Total
220.79 83.17 703.96 614.14
(3) Other Notes
4. Operating Revenue and Cost of Sales
Unit: RMB
Item Reporting Period Same period of last year
152
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Operating revenue Cost of sales Operating revenue Cost of sales
Main operations 31,762,623.21 17,990,848.30 25,828,330.02 15,835,977.53
Other operations 10,538,272.14 659,988.00
Total 42,300,895.35 18,650,836.30 25,828,330.02 15,835,977.53
Relevant information of revenue:
Unit: RMB
Category of contracts Segment 1 Segment 2 Total
Of which:
House leasing business 42,300,895.35 42,300,895.35
Of which:
Shenzhen 42,300,895.35 42,300,895.35
Of which:
Of which:
Of which:
Of which:
Of which:
Information related to performance obligations:
The income of the parent company in this period was all income from leasing business.
Information related to transaction value assigned to residual performance obligations:
The amount of revenue corresponding to performance obligations of contracts signed but not performed or not fully performed yet
was RMB0.00 at the period-end, among which RMBXXX was expected to be recognized in the year, RMBXXX in the year and
RMBXXX in the year.
Other notes:
5. Investment Income
Unit: RMB
Item Reporting Period Same period of last year
Long-term equity investment income
3,218,483.17 157,061.79
accounted by equity method
Interest income from holding of
59,818,841.72 62,416,928.73
investments in other debt obligations
Total 63,037,324.89 62,573,990.52
6. Other
XVIII. Supplementary Materials
1. Items and Amounts of Non-recurring Profit or Loss
√ Applicable □ Not applicable
Unit: RMB
153
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
Item Amount Note
Gains/losses on the disposal of non-current
-14,448.90
assets
Government grants recognized in the
Current Period, except for those acquired
in the ordinary course of business or
226,082.01
granted at certain quotas or amounts
according to the government’s unified
standards
Gains and losses arising from
contingencies unrelated to the normal -114,571.79 Litigation compensation
operation of the company's business
Other non-operating income and expense Mainly received as compensation for
8,061,224.33
other than the above demolition
Less: Income tax effects 1,836,539.53
Non-controlling interests effects -195,286.42
Total 6,517,032.54 --
Explain the reasons if the Company classifies an item as an non-recurring gain/loss according to the definition in the Explanatory
Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Non-recurring Gains and
Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item.
□ Applicable √ Not applicable
2. Return on Equity and Earnings Per Share
EPS (Yuan/share)
Profit as of Reporting Period Weighted average ROE (%)
EPS-basic EPS-diluted
Net profit attributable to ordinary
16.98% 1.1349 1.1349
shareholders of the Company
Net profit attributable to ordinary
shareholders of the Company
16.81% 1.1240 1.1240
after deduction of non-recurring
profit or loss
3. Differences between Accounting Data under Domestic and Overseas Accounting Standards
(1) Differences of Net Profit and Net Assets Disclosed in Financial Reports Prepared under International
and Chinese Accounting Standards
□ Applicable √ Not applicable
(2) Differences of Net profit and Net assets Disclosed in Financial Reports Prepared under Overseas and
Chinese Accounting Standards
□ Applicable √ Not applicable
154
ShenZhen Properties & Resources Development (Group) Ltd. Semiannual financial Report 2021
(3) Explain Reasons for the Differences between Accounting Data under Domestic and Overseas
Accounting Standards; for any Adjustment Made to the Difference Existing in the Data Audited by the
Foreign Auditing Agent, Such Foreign Auditing Agent’s Name Shall Be Clearly Stated
4. Other
155
