Shenzhen China Bicycle Company (Holdings) Limited
Semi-Annual Report 2023
August 2023
1
Section I. Important Notice, Contents and Interpretation
Board of Directors, Supervisory Committee, all directors, supervisors and senior
executives of Shenzhen China Bicycle Company (Holdings) Limited (hereinafter
referred to as the Company) hereby confirm that there are no any fictitious
statements, misleading statements, or important omissions carried in this report,
and shall take all responsibilities, individual and/or joint, for the reality,
accuracy and completion of the whole contents.
Wang Shenghong, Principal of the Company, Sun Longlong, person in charge of
accounting works and She Hanxing, person in charge of accounting organ
(accounting principal) hereby confirm that the Financial Report of 202 3 Semi-
Annual Report is authentic, accurate and complete.
All directors are attended the Board Meeting for report deliberation.
The Company plans not to distribute cash dividends, not to send bonus shares,
and no reserve apitalizing.
2
Contents
Section I Important Notice, Contents and Interpretation ...............................错误!未定义书签。
Section II Company Profile and Main Financial Indexes ...............................错误!未定义书签。
Section III Management Discussion and Analysis ......................................................................... 10
Section IV Corporate Governance.....................................................................错误!未定义书签。
Section V Enviornme ntal and Social Responsibility ........................................错误!未定义书签。
Section VI Importan Events ..............................................................................错误!未定义书签。
Section VII Changes in Shares and Particular About Shareholders ..............错误!未定义书签。
Section VIII Preferred Stock ..............................................................................错误!未定义书签。
Section IX Corporate Bonds ........................................................................................................... 45
Section X Financial Report ................................................................................错误!未定义书签。
3
Documents Available for Reference
1. Accounting statement carrying the signatures and seals of the legal representative, person in charge of
accounting and person in charge of accounting organ.
2. Originals documents of the Company and manuscripts of public notices that disclosed in the newspaper
designated by CSRC during the reporting period.
3. English version of the Semi-Annual Report 2023
4
Interpretation
Items Refers to Contents
Company, the Company, the listed Shenzhen China Bicycle Company
Refers to
company, CBC Group (Holdings)Limited
Shenzhen Xinsen Jewelry Gold Supply
Xinsen Company Refers to
Chain Co., Ltd
Emmelle Company Refers to Shenzhen Emmelle Industrial Co., Ltd.
Shenzhen Zuankinson Jewelry Gold
Zuankinson Company Refers to
Supply Chain Co., Ltd
Wansheng Industrial Holdings
Wansheng Industrial Refers to
(Shenzhen) Co., Ltd
Shenzhen Guosheng Energy Investment
Development Co., Ltd.Shenzhen
Guosheng Energy Refers to
Guosheng Energy Investment
Development Co., Ltd.
CSRC Refers to China Securities Regulatory Commission
SSE Refers to Shenzhen Stock Exchange
SGE Refers to Shanghai Gold Exchange
SDE Refers to Shanghai Diamond Exchange
CNY Refers to RMB/CNY
5
Section II Company Profile and Main Financial Indexes
I. Company Profile
Short form of the stock Zhonghua A, Zhonghua B Stock Code 000017, 200017
Short form of the Stock
N/A
before changed (if applicable)
Stock Exchange for listing Shenzhen Stock Exchange
Name of the Company (in
深圳中华自行车(集团) 股份有限公司
Chinese)
Short form of the Company
深中华
(in Chinese if applicable)
Foreign name of the
Company (if applicable) Shenzhen China Bicycle Company (Holdings) Limited
Short form of foreign name of
the Company (if applicable) CBC
Legal representative Wang Shenghong
II. Person/Way to contact
Secretary of the Board Rep. of security affairs
Name Sun Longlong Yu Xiaomin, Zhong Xiaojin
8/F Shuibei Jinzuo Building, No.89 Beili 8/F Shuibei Jinzuo Building, No.89 Beili
Contact Address North Road, Cuizhu Street, Luohu North Road, Cuizhu Street, Luohu
District, Shenzhen District, Shenzhen
Tel. 0755-28181688 0755-28181688
Fax 0755-28181009 0755-28181009
E-mail dmc@szcbc.com dmc@szcbc.com
III. Other
1. Way of contact
Whether registration address, offices address and codes as well as website and email of the Company changed in reporting period or
not
Applicable □Not applicable
Registration Address No.3008 Buxin Road, Luohu District, Shenzhen
Codes of the registration address 518019
8/F Shuibei Jinzuo Building, No.89 Beili North Road, Cuizhu
Office Address
Street, Luohu District, Shenzhen
Codes of the office address 518020
Website www.szcbc.com
E-mail dmc@szcbc.com
Date of access to to the designated website for interim 2023-05-09
6
announcement disclosed (if applicable)
Index of designated website for interim announcement Juchao Website (http://www.cninfo.com.cn), Announcement
disclosed (if applicable) No.: 2023-016
2. Information disclosure and preparation place
Whether information disclosure and preparation place changed in reporting period or not
Applicable □Not applicable
Website of the stock exchange where the semi-annual report of
Securities Times
the Company disclosed
Name and website of the media where the semi-annual report
Juchao Website:(http://www.cninfo.com.cn)
of the Company disclosed
8/F Shuibei Jinzuo Building, No.89 Beili North Road, Cuizhu
Preparation place
Street, Luohu District, Shenzhen
Date of access to to the designated website for interim
2023-05-09
announcement disclosed (if applicable)
Index of designated website for interim announcement Juchao Website (http://www.cninfo.com.cn), Announcement
disclosed (if applicable) No.: 2023-016
3. Other relevant information
Whether other relevant information has changed during the reporting period
□Applicable Not applicable
IV. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data or not
□Yes No
Changes in the current period
Current period Same period of last year over the same period of
previous year (+,-)
Operation revenue(RMB) 292,999,162.50 106,665,446.58 174.69%
Net profit attributable to
shareholders of the listed 4,862,298.90 -1,483,364.42 427.79%
company(RMB)
Net profit attributable to
shareholders of the listed
company after deducting non- 4,993,367.34 -2,275,914.14 319.40%
recurring gains and
losses(RMB)
Net cash flow arising from
-35,364,373.66 -9,279,476.52 -281.10%
operating activities(RMB)
Basic EPS(RMB/Share) 0.0071 -0.0027 362.96%
Diluted EPS(RMB/Share) 0.0071 -0.0027 362.96%
Weighted average ROE 1.66% -18.14% 19.80%
Increase/decrease in current
End of current period End of last year report-end over that of last
period-end(+,-)
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Total assets(RMB) 402,802,547.83 397,253,487.93 1.40%
Net assets attributable to
shareholder of listed 294,991,617.41 290,129,318.51 1.68%
company(RMB)
V. Difference of the accounting data under accounting rules in and out of China
1. Difference of the net profit and net assets disclosed in financial report, under both IAS (International
Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)
□Applicable Not applicable
The Company had no difference of the net profit or net assets disclosed in financial report, under either IAS (International
Accounting Standards) or Chinese GAAP (Generally Accepted Accounting Principles) in the period.
2. Difference of the net profit and net assets disclosed in financial report, under both foreign accounting
rules and Chinese GAAP (Generally Accepted Accounting Principles)
□Applicable Not applicable
The Company had no difference of the net profit or net assets disclosed in financial report, under either foreign accounting rules or
Chinese GAAP (Generally Accepted Accounting Principles) in the period.
VI. Items and amounts of extraordinary profit (gains)/loss
Applicable □Not applicable
Unit: RMB/CNY
Item Amount Note
Government subsidy reckoned into
current gains/losses (except for those
with normal operation business
concerned, and conform to the national
2,092.35
policies & regulations and are
continuously enjoyed at a fixed or
quantitative basis according to certain
standards)
Switch-back of provision of impairment
of account receivable which are treated 33,620.00
with separate depreciation test
Other non-operation revenue and
expenditure except for the -209,671.88
aforementioned items
Less: Impact on income tax -43,647.46
Impact on minority shareholders’
756.37
equity (post-tax)
Total -131,068.44
Other gains/losses items that conform to the definition of non-recurring gains/losses:
□Applicable Not applicable
The Company does not have other gains/losses items that conform to the definition of non-recurring gains/losses
Information on the definition of non-recurring profit(gain)/loss that listed in the Q&A Announcement No.1 on Information Disclosure
8
for Companies Offering Their Securities to the Public --- Extraordinary (non-recurring) Profit(gain)/loss as the recurring
profit(gain)/loss
□Applicable Not applicable
The Company does not have any non-recurring profit(gain)/loss listed under the Q&A Announcement No.1 on Information Disclosure
for Companies Offering Their Securities to the Public --- Extraordinary (non-recurring) Profit(gain)/loss defined as recurring
profit(gain)/loss
9
Section III Management Discussion and Analysis
I. Main business of the Company during the reporting period
Main business of the Company during the reporting period including jewelry gold business, bicycle and new energy lithium battery
materials: (1) The gold jewelry business- the company connected with downstream gold jewelry brands, purchased gold and
diamonds according to their product needs, and then commissioned gold jewelry processing plants for processing, made product
certification for the processed finished products after passing the inspection, and delivered them to downstream customers. Through
the integration of upstream supplier resources and downstream customer resources, the turnover rate of gold jewelry products in the
upstream and downstream was improved, the cost of circulation links was reduced, and the overall competitive advantage of the
upstream and downstream was formed. (2) Bicycle and new energy lithium battery materials including manufacturing, assembling,
purchasing and selling bicycles & electric bicycles, purchasing, selling and commissioning the lithium battery materials.
The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-
Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”
(1) Industry development
China is one of the most important jewelry producer and consumer in the world at present. With the growth of national economy and
the accumulation of residents' wealth, people gradually increase their consumption of high-end consumer goods after meeting the
basic living needs. Jewelry with the property of preserving value and showing personality has become a hot spot of consumer interest
of Chinese residents. At the same time, with the rise of young consumers and emerging middle class, the demand for quality personal
consumption is gradually upgrading, and the young generation's consumption of jewelry tends to be more routine, which can improve
the repurchase rate of jewelry products under various occasions, providing greater development space for the jewelry industry.
Jewelry can be divided into gold, diamond, jade, colored jewelry and others. Under the background of China ’s cultural tradition of
advocating gold jewelry and the Investment real estate of gold, gold products occupies a relatively high proportion in the domestic
jewelry market in 2022, reaching 57.02%. Diamond and jade are also the main categories of jewelry in China, accounting for 11.40%
and 20.45%. From the international market, the jewelry markets of developed countries such as the United States, Japan, and Europe
are all dominated by diamond jewelry. Compared with the international market, the main categories of China’s jewelry market are
more abundant, and the proportion of various jewelry markets is more balanced, the categories of products are more rich.
(2) Industry development trend analysis
1. The increased industry concentration has become the mainstream trend
For the past few years, consumers’ brand awareness has been increasing. In addition, at the end of 2014, the National Jewelry
Standards Technical Committee revised the mandatory national standard “Regulations on the Purity of Precious Metals in Jewelry
and Naming” (GB11887-2012), which deleted the “pure gold” and other titles, guided consumers to pay more attention to jewelry
design, craftsmanship, style and brand value, and no longer be attracted by the words “pure gold” in the slogan and pay more
attention to product quality, prompting small jewelry enterprises to move closer to large jewelry enterprises. The increasing
concentration of the jewelry industry has become the mainstream trend. In contrast, some regional branded or unbranded small
jewelry companies are at a disadvantage in terms of scale, capital, cost, etc., coupled with their own lack of ability in brand operation
management, product marketing design, and enterprise operation, in the case of consumers paying more and more attention to brand,
they will have to choose to rely on the development of jewelry brands with larger brand awareness, which will further promote the
improvement of the industry concentration, and the national jewelry brands will gain an opportunity for vigorous development.
2. The development trend of industrial clustering is more obvious
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The cluster development of the jewelry industry has now become an important direction for China's jewelry industry to improve its
comprehensive competitiveness and promote the extension and upgrade of the characteristic industry chain of the re gional jewelry.
At present, there are more than ten jewelry industry bases in China, all of which have distinctive characteristics and outsta nding
advantages. Whether it is pearl cultivation, jade carving or jewelry processing, they all add charm to the city and also bring vitality to
the prosperity of the jewelry industry. Special jewelry industry bases such as Shenzhen Luohu, Guangzhou Panyu mainly focus o n
precious metal jewelry inlay processing, diamond cutting, and supporting products, forming a series of leading enterprises and many
small and medium-sized enterprises. At the same time, with the strong support of the local government, the supporting system such
as logistics services, information services and technical services have been continuously improved.
3. The Third- and fourth-tier cities become important consumer markets for the jewelry industry
In recent years, the pace of urbanization in China has gradually accelerated, and the urbanization rate has continued to grow .
Residents in rural areas are gradually relocating and settling in nearby third- and fourth-tier cities, which steadily deliver new vitality
to the third- and fourth-tier cities. In the future, the third- and fourth-tier cities will have broad market space and show huge growth
potential. With the sinking trend of the jewelry consumption market, the third- and fourth-tier cities will become the main markets for
the growth of jewelry companies in the future.
4. Channel strength will be regarded as the core competitiveness of enterprises for a long time
The internal competition in the jewelry industry is relatively large, and the fierce market competition makes the construction and
control of sales channels for jewelry companies crucial. At the same time, due to the high value of jewelry, consumers are of ten
worried about the quality of the product and the reasonableness of the price when purchasing, which often prompts them to purchase
through physical channels. There is a certain scarcity of high-quality physical channels, and the number of high-quality shops in a
region’s high-quality business districts is scarce. Such high-quality shops can not only provide higher traffic, improve the retail
performance of jewelry, but also have the important value of brand promotion. Therefore, in the fierce market competition, it is very
important for jewelry enterprises to control high-quality physical channels, which reflects the core competitiveness of enterprises on
the other side.
5. Brand and design capabilities will become a new driving force for the development of the industry
With the change of consumer demographic structure and the increase of per capital income, the middle and upper middle class and
wealthy people have gradually become the main force of consumption, and the mainstream consumption concept has also quietly
changed. Compared with traditional consumers, emerging consumer groups pay more attention to the design, craftsmanship, style
and brand value of jewelry products, hoping to meet their needs to show their taste and personality. In addition, the Nationa l Jewelry
Standards Technical Committee has removed titles such as “pure gold from the national standards, further prompting consumers to
pay attention to the design, craftsmanship, style and brand value of jewelry, rather than overemphasizing purity.
6. The rapid development of e-commerce market creates omni-channel marketing model
The Internet has provided more convenient and more widely spread way of information sharing, guiding the consumers' demands a nd
choices. In recent years, jewelry retail enterprises have further strengthened online layout, built new media matrix through various
social communication platforms, formed multi-channel customer sources, realized rapid spread of online brands and drainage and
sales of offline stores, and created a new mode of omni-channel marketing. The development of sharing platforms and e-commerce
platforms has changed the consumption habits of consumers, especially the young generation.
Online consumers can more conveniently understand product features and share user experience, which has become an important
trend of product promotion and future sales. Especially with the rise of live streaming platforms of e -commerce and social contact,
the market share of live streaming e-commerce is increasing rapidly.
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7. Supply chain management has become an important business method for jewelry enterprises
From the perspective of supply chain in the jewelry industry, it mainly involves raw material mining, processing and smelting, blank
processing, jewelry production, warehousing, distribution and sa les. The jewelry enterprise continue to optimize their supply chain
management in order to shorten the supplying cycle and lower operating costs while guarantee the quality. More and more well-
known domestic jewelry brands have outsourced part or all of the intermediate processing links with low gross profit and large
investment over recent years, focusing on premium front-end design, brand operation and back-end marketing network construction.
Supply chain management has become a major means for jewelry enterprise to improving their operational efficiency.
(3) Competitive advantages of the company to engage in the jewelry and gold business
1. Superior quality of upstream supplier system
As things are at the moment, the company has established relatively stable cooperative relationships with major diamond suppliers
and processors at home and abroad, and has advantages in raw material procurement cost, order production cycle and product quality
control, which can continuously reduce supply cost and improve operational efficiency.
2. Diversified downstream market channels and customer resources
The company is actively expanding its gold jewelry customers now. In addition to customers with clear orders, it is currently
negotiating business cooperation with a number of domestic jewelry brands. The above customers include three types of customers,
of which Class A customers are national well-known brand customers, with more than 500 retail stores; Class B customers are small
and medium-sized/regional/segmented brands, with 300-500 retail stores; Class C customers are small and medium-sized brands,
with 50-100 retail stores.
3. Improve the industrial chain of production and design
The company has a one-stop industrial chain of design, production, processing, testing, and wholesale. Brand owners can rely on our
jewelry processing resources to hand over lower value-added links such as manufacturing and distribution to the company, so as to
focus on the higher value-added brand operation and sales links. Outsourcing in the production and design process can improve the
homogenization of gold jewelry products.
4. Closed-loop business process and risk control system
The company has formulated strict business internal control processes such as supplier admittance standards, customer evaluat ion
system, full-process order tracking system, and procurement price comparison system, and has realized the closed-loop control of
capital flow, information flow and logistics and the multi-level risk control through the integrated service platform of supply system
and the integrated solution of capital management.
In the bicycle and new-energy lithium battery materials industry, as a traditional manufacturing industry, the bicycle industry
continues the dilemma of rising labor costs, manufacturing costs, capital costs, and material costs. The new national standard of
safety technical specifications for electric bicycles implemented in April 2019 accelerated the industry reshuffle and formed a new
round of industry shock. The market share showed a trend of concentration to large-scale enterprises, leading enterprises and brand
enterprises, and the industry order was accelerated and optimized, and the market concentration degree was continuously improved.
China is the world's largest country in the production and sales of electric bicycles. After years of development, electric bicycle s have
gradually become an important means of transportation for consumers' daily short-distance trips. At present, there are about 200
million vehicles in the whole society. Under the macro background of economic transformation, information technology and carbon
dioxide emission and carbon neutrality policy, the consumer market of two-wheeled electric vehicles gradually presents three trends,
namely the consumption upgrading and personalized consumption demand, the consumer awareness of environmental protection, and
the consumer pursuit of convenience and intelligence. Structural body, motor, power battery, and control system, as the core
components of electric bicycles, Shenzhen China Bicycle has closely followed up and studied their technological development,
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application development and commercial value for a long time, and determined the list of qualified suppliers for core components
year by year. As one of the core components of electric bicycle, lead-acid batteries have been mainly used as the power batteries in
the past ten or twenty years. With the development and popularization of new energy technologies and new energy materials, it is
expected that they will be replaced by lithium batteries on a large scale in the future. The implementation of the new national
standards for safety technical specifications of electric bicycle has comprehensively improved the safety performance of electric
bicycles, adjusted and improved technical indicators such as speed limit, vehicle quality, and pedaling ability. The new standards that
are close to the people's livelihood and serve the people's livelihood have increased the a pplication space of lithium battery energy
storage, and lithium battery electric bicycles will usher in a new stage of development.
The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-
Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”
(1) Main business models during the reporting period
1. Sales model
According to the annual order planning and regular procurement requirements of brand retailers, the company pro vided B-end
customers with various forms of supply chain management services such as spot procurement, order production, and customized
development, so as to minimize product inventory and improve the supply chain effectiveness for customers.
Spot procurement: Organized the goods through the integration of upstream factories and exhibition halls and suppliers' product
styles and spot resources, and provided corresponding product structure according to the customer's brand characteristics and
terminal market needs;
Order production: Customers placed orders to the company according to their own needs, and the company purchased raw materials
and subcontracted processing to form finished products and sell them to customers;
Customized development: According to the characteristics of their own brands and future development needs, customers entrusted
the company to develop and design the product styles, and produce finished products to sell to customers.
2.Procurement model
The upstream raw material suppliers of the company’s gold jewelry supply chain business were mainly diamonds and gold, of which
the diamond suppliers were mainly source producers or wholesalers from India or Hong Kong, and domestic mature diamond
wholesalers (generally members of the Shanghai Diamond Exchange) ), gold was mainly purchased from the Shanghai Gold
Exchange through the company's membership qualifications at Shanghai Gold Exchange. The company has established professional
procurement department and team to be responsible for the pr ocurement of diamond products and jewellery. The specific
procurement models varied according to customer needs.
3. Production model
By integrating upstream commissioned processing plants, the company outsourced the production of products ordered by customers
to professional jewelry manufacturers to give full play to their professional and scale effect. In view of the current situat ion and
characteristics of domestic jewelry processing enterprises, the company established a set of effective supplier manage ment
mechanisms and evaluation standards to achieve a benign interaction between the production system of outsourced manufacturers
and the company's business development.
(2) Operation of the physical store during the reporting period
During the reporting period, gold and jewelry business of the Company mainly provides supply chain management and services in
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the vertical field of gold and jewelry, it connects with the downstream gold jewelry brand and does not have the physical stores.
(3) Operation of the on-line sales in reporting period
The Company does not have on-line sales in the Period
(4) Inventory in the reporting period
As of the reporting period, inventory of the jewelry business was 189,403,517.21 yuan, an increase of 302.37 % from the beginning
of the period. Type of the inventories including:
Unit: RMB/CNY
Item Types Amount Proportion
Jewelry 12,776,912.09 6.75%
Gold jewelry 23,946,298.82 12.64%
Finished goods
Other 2,767,843.37 1.46%
Total 39,491,054.28 20.85%
Gold 126,193,186.39 66.63%
Platinum -
Raw materials
Diamond 15,816,421.74 8.35%
Total 142,009,608.13 74.98%
Packaging -
Goods in process 7,902,854.80 4.17%
Total 189,403,517.21 100.00%
II. Core Competitiveness Analysis
The Company commenced jewelry and gold business since August 2019. Through internal development, jewelry and gold business
has gradually become the core business of the company. Competitive advantages of the company in jewelry and gold business:
1. High-quality upstream supplier system
At present, the company has established stable cooperative relations with major diamond suppliers and processors at home and
abroad, and has advantages in raw material purchase cost, order production cycle and product quality control, which can
continuously reduce the supply cost and operation efficiency.
2. Diversified downstream market channels and customer resources
At present, the company is actively developing gold and jewelry customers. In addition to customers placed orders, the company is
negotiating business cooperation with many domestic jewelry brands. There are three types of customers, type A customers are
national well-known brand customers with more than 500 retail stores; type B customers are small and medium-
sized/regional/segmented brands with 300-500 retail stores; type C customers are small and medium-sized brands with 50-100 retail
stores.
3. Industrial chain improvement of production and design links
The company has an industrial chain process coordinating design, production, processing, inspection and wholesale. Brand owners
can rely on our jewelry processing resource advantages and hand over low value-added links such as manufacturing and distribution
14
to the company, so as to focus on the brand operation and sales links with higher added value. Outsourcing of production and design
can improve the homogeneity of gold and jewelry products.
4. Closed-loop business process and risk control system
The company has developed strict internal business control processes such as supplier admittance criterion, customer evaluation
system, whole-process order tracking system and purchase price comparison system. Through integrated service platform of supply
system and integrated solution of fund management, the company has realized closed-loop control of capital flow, information flow
and logistics, and realized multi-level risk control.
III. Main business analysis
Overview
See the “I-Main businesses of the Company during the reporting period”
Y-o-y changes of main financial data
Unit: RMB/CNY
Current period Same period last year y-o-y changes (+, -) Reasons
In the fourth quarter of
2022, the Company
completes private
offering of shares to
Operation revenue 292,999,162.50 106,665,446.58 174.69%
raise the capital to
expand operations, thus
the operation revenue
increased in the Period
Corresponding increase
in costs for the growth
Operation cost 278,484,152.74 100,215,639.64 177.88%
of operation revenue in
the Period
Sales expenses 2,522,214.01 2,423,889.53 4.06%
Administration
4,130,652.80 4,855,763.49 -14.93%
expenses
Interest income growth
Finance expenses -58,330.95 -28,024.77 -108.14%
in the Period
Profit improve in the
Income tax expenses 1,637,455.56 19,647.32 8,234.24%
Period in
R&D investment
R&D investment 336,970.90 694,172.50 -51.46%
reduced in the Period
Net cash flow arising
Increase in purchases
from operating -35,364,373.66 -9,279,476.52 -281.10%
during the Period
activities
Net cash flow arising
from investment -36,959.63
activities
Net cash flow arising
from financing -245,979.70
activities
Net increase of cash Increase in purchases
-35,364,373.66 -9,562,415.85 -269.83%
and cash equivalent during the Period
Major changes on profit composition or profit resources in reporting period
15
□Applicable Not applicable
No major changes on profit composition or profit resources occurred in reporting period.
Constitution of operation revenue
Unit: RMB/CNY
Current period Same period last year
y-o-y changes (+, -
Ratio in operation Ratio in operation )
Amount Amount
revenue revenue
Total operation
292,999,162.50 100% 106,665,446.58 100% 174.69%
revenue
According to industries
Jewelry and gold 289,579,544.92 98.83% 93,257,753.50 87.43% 210.52%
Bicycle lithium
battery material 3,419,617.58 1.17% 13,407,693.08 12.57% -74.50%
and others
According to products
Jewelry and gold 289,579,544.92 98.83% 93,257,753.50 87.43% 210.52%
Bicycle lithium
battery material 3,419,617.58 1.17% 13,407,693.08 12.57% -74.50%
and others
According to region
Domestic 292,999,162.50 100.00% 106,665,446.58 100.00% 174.69%
Industries, products or regions that account for more than 10% of the operating revenue or operating profit of the Company
Applicable □Not applicable
Unit: RMB/CNY
Increase/decrea
Gross Increase/decrea Increase/decrea
se of gross
Operation revenue Operation cost profit se of operation se of operation
profit ratio y-o-
ratio revenue y-o-y cost y-o-y
y
According to industries
Jewelry and
289,579,544.92 276,254,014.66 4.60% 210.52% 212.51% -0.61%
gold
Bicycle lithium
battery material 3,419,617.58 2,230,138.08 34.78% -74.50% -81.13% 22.92%
and others
According to products
Jewelry and
289,579,544.92 276,254,014.66 4.60% 210.52% 212.51% -0.61%
gold
Bicycle lithium
battery material 3,419,617.58 2,230,138.08 34.78% -74.50% -81.13% 22.92%
and others
According to region
Domestic 292,999,162.50 278,484,152.74 4.95% 174.69% 177.88% -1.10%
Under circumstances of adjustment in reporting period for statistic scope of main business data, adjusted main business based on
latest one year’s scope of period-end
□Applicable Not applicable
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IV. Analysis of the non-main business
□Applicable Not applicable
V. Assets and liability analysis
1. Major changes of assets composition
Unit: RMB/CNY
End of current period End of last year
Ratio changes Notes of major
Ratio in Ratio in total (+,-) changes
Amount Amount
total assets assets
Increase in
provision
Monetary fund 19,737,567.50 4.90% 54,699,491.18 13.77% -8.87%
during the
Period
Recovery of
Account
149,209,751.14 37.04% 250,069,301.93 62.95% -25.91% payment during
receivable
the Period
Increase in
provision
Inventory 190,374,908.95 47.26% 48,206,866.81 12.14% 35.12%
during the
Period
Fix assets 2,255,797.28 0.56% 2,304,402.38 0.58% -0.02%
Contract
437,102.15 0.11% 791,762.84 0.20% -0.09%
liability
2. Main overseas assets
□Applicable Not applicable
3. Assets and liability measured by fair value
□Applicable Not applicable
4. Assets rights restricted as at the end of the period
1.At the ending monetary funds, 4,179,071.81 yuan bank saving was judicially frozen due to the litigation.
2. At the end of the current period, the total fixed output value included six suites of house properties at Lianxin JiaYuan, Luohu
District, Shenzhen purchased in 2016, with original value of 2,959,824.00 Yuan, which were affordable housing purchased from the
Housing and Construction Bureau of Luohu District to provide to enterprise talents for living. The contract stipulated that the
purchasing enterprise is not allowed to conduct any form of property rights transaction with any units or individual other than the
government.
17
V. Investment analysis
1. Overall situation
Applicable □Not applicable
Investment at same period last year
Investment in the Period(RMB) Changes
(RMB)
75,000,000.00 0.00 -
2. The major equity investment obtained in the reporting period
Applicable □Not applicable
Unit: RMB/CNY
Whet
Gain/
Progr her Discl Discl
Nam loss
ess as invol osure osure
e of Inves Fundi Estim on
Main Share Coun Inves at the ved date index
inves tment Fund ng ated inves
busin holdi ter- tment Type balan in (if (if
tee patter s sourc earni tment
ess ng party term ce litigat appli appli
comp n e ngs in the
sheet ion cable cable
any Perio
date (Y/N ) )
d
)
Foun
d
more
in the
Notic
Indus
e on
trial
Purch
&
ase of
com
the
merci
Mino
Shen al
rity
zhen chan
Intere
Xinse ges
sts
n Acqu are in
from
Jewel Jewel isitio progr
Contr
ry ry & n of 25,55 Own Not Not ess, Not Not
100.0 2023- olling
Gold gold mino 0,000 ed N/A appli appli and appli appli N
0% 06-07 Subsi
Suppl busin rity .00 funds cable cable the cable cable
diary
y ess intere equit
and
Chai sts y
Relat
n transf
ed
Co., er
Trans
Ltd agree
actio
ment
ns
is
(Noti
being
ce
fulfill
No.:
ed
2023-
019)
releas
ed on
Jucha
18
o
Webs
ite
(ww
w.cni
nfo.c
om.c
n)
25,55 Not Not
Total -- -- 0,000 -- -- -- -- -- -- appli appli -- -- --
.00 cable cable
3. The major non-equity investment doing in the reporting period
□Applicable Not applicable
4. Financial assets investment
(1) Securities investment
□Applicable Not applicable
The Company has no securities investment in the Period
(2) Derivative investment
□Applicable Not applicable
The Company has no derivatives investment in the Period
5. Application of raised proceeds
Applicable □Not applicable
(1) General application of raised proceeds
Applicable □Not applicable
Unit: 10,000 Yuan
Usage of
Cumulat the
Total Ratio of
ive retained
Total raised cumulati Raised
Total raised raised
accumul capital ve raised Total capitals
Total raised capitals accumul capitals
Raising ative has capitals idle for
Way raised capital has ative and what
year raised purpose has raised more
capitals used purpose is
capitals of uses purpose capitals than two
in Period of uses unused expected
used changed of uses years
changed to
in Period changed
in total invested
with
19
those
capitals
Non-
public Deposite
offering d in
of RMB 28,882.7 28,871.9 special
2022 447.63 0 0 0.00% 16.51 0
ordinary 2 8 account
shares for fund
(A raising
stock)
28,882.7 28,871.9
Total -- 447.63 0 0 0.00% 16.51 -- 0
2 8
Explanation
1.According to the Official Reply on Approval of Non-Public Offering of Shares of Shenzhen China Bicycle Company(Holdings)
Limited (ZJXK [2021] No.3552) approved by China Securities Regulatory Commission, agreed that the Company shall issue
137,836,986 RMB ordinary shares (A shares) to a specific object, Wansheng Industrial, through a private offering at 2.13 yuan a
share, with total raised funds of 293,592,780.18 yuan. After deducting the expenses of 4,765,621.08 yuan (excluding tax) related
to the issuance, the actual net funds raised amounted to 288,827,159.10 yuan. Baker Tilly China Certified Public Accountants
(LLP) has conducted an examination on the fund allocation of the company's non-public offering on October 21, 2022, and issued
the Capital Verification Report on the Fund Allocation of Non-Public Offering of A Shares of Shenzhen China Bicycle Company
(Holdings) Limited TZYZ[2022] No.42018. As of June 30, 2023, the company had raised funds of 288.7198 million yuan to
supplement the working capital, and the unused raised funds deposited in the special fund-raising account was 165,100
yuan(including interest income). The use of the raised funds is detailed in the following table - Conditions of Fund-Raising
Projects.
2. During the reporting period, the company neither changed the fund-raising investment projects, nor changed the location and
method of implementing the fund-raising investment projects.
3. During the reporting period, the company deposited, used and managed the raised funds in strict accordance with the Three-
party Supervision Agreement on the Deposit of Special Accounts for Raised Funds and performed relevant obligations in
accordance with relevant laws and regulations, and timely, truly, accurately and completely disclosed information related to the
use of raised funds. There is no violation of the Management System for Raised Funds and relevant laws and regulations.
(2) Committed projects of the raised proceed
Applicable □Not applicable
Unit: 10,000 Yuan
Committ
ed Cumulat
Change Investme
investme ive
the nt Date of Major
nt Total investme Achieve
project Investme progress reach a Benefit changes
projects raised- Invested nt d
(Y/N) nt after till end predeter achieved of
and fund in the amount expected
(includin adjustme of mined in the project
over- commit period till end benefits
g nt (1) period- state of Period feasibilit
raised ment of (Y/N)
partially end (3) use y (Y/N)
fund Period-
changed) ＝(2)/(1)
investme end (2)
nt
20
Committed investment project
Supplem
Not Not
ental 28,882.7 28,882.7 28,871.9
N 447.63 99.96% applicabl applicabl N
working 2 2 8
e e
capital
Not
28,882.7 28,882.7 28,871.9
Subtotal -- 447.63 -- -- applicabl -- --
2 2 8
e
Investment of the over-raised fund
Not
applicabl 0 0 0 0
e
Not
28,882.7 28,882.7 28,871.9
Total -- 447.63 -- -- applicabl -- --
2 2 8
e
Conditio
ns and
reasons
of
failure to
meet
schedule
or
predicte
d
income
(by
specific
projects) Not applicable
(includin
g the
reasons
for
selecting
“Not
applicabl
e ” for
“Achiev
ed
expected
benefits
(Y/N)”)
Descripti
on of
major
changes
Not applicable
in
project
feasibilit
y
Amount,
use of
purpose
Not applicable
and
usage
progress
21
of the
excessiv
e raised
fund
Change
of the
impleme
ntation
location
of
project Not applicable
with
investme
nt of
raised
fund
Adjustm
ent of
the
impleme
ntation
ways of
project Not applicable
with
investme
nt of
raised
fund
Early
investme
nt and
replacem
ent with Not applicable
the
raised
fund
Tempora
ry
replacem
ent of
the
working Not applicable
capital
with idle
raised
funds
Amount
and Not applicable
reasons
22
of cash
surplus
in raised
funds
during
impleme
nting the
project
Use
purpose
and
destinati
As of June 30, 2023, balance of raise was 165,100 yuan, all of which are demand deposit. The unused funds are
on of the deposited in the special account for fully supplementing the working capital.
raised
funds
un-used
Problem
s or
other
circumst
ances in
the use Not applicable
of raised
funds
and its
disclosur
e
(3) Change of fund raised projects
□Applicable Not applicable
The Company had no change of fund raised projects in the Period
VII. Sales of major assets and equity
1. Sales of major assets
□Applicable Not applicable
The Company had no major assets sold in the Period.
2. Sales of major equity
□Applicable Not applicable
VIII. Analysis of main holding company and stock-jointly companies
Applicable □Not applicable
Particular about main subsidiaries and stock-jointly companies net profit over 10%
23
Unit: RMB/CNY
Company Main Register Operation Operation
Type Total assets Net assets Net profit
name business capital revenue profit
Shenzhen
Xinsen
Jewelry Jewelry
200,000,00 208,476,96 119,074,03 264,533,14 6,219,289.2 4,664,800.2
Gold Subsidiary &gold
0 4.03 7.89 6.97 4 8
Supply business
Chain Co.,
Ltd
Particular about subsidiaries obtained or disposed in report period
Applicable □Not applicable
Impact on overall production and
Company name Way to obtained or disposed
performance
The industrial & commercial registration
A wholly-owned subsidiary newly
Fujian Huaxinbao Jewelry Co., Ltd. has completed as of the balance sheet
established
date, not yet in operation
As of the balance sheet date, the
Shenzhen Xinsen Jewelry Gold Supply Purchasing 35% equity from minority industrial & commercial changes are in
Chain Co., Ltd interests progress, and the equity transfer
agreement is being fulfilled
Notes of holding and stock-jointly companies
Nil
IX. Structured vehicle controlled by the Company
□Applicable Not applicable
X. Risks and countermeasures
i.risks for the Company:
(1) Price fluctuation risk of major raw materials
The main raw materials of the company are gold, diamonds, etc. In recent years, affected by changes in the international and
domestic economic situation, the listed price of gold at the gold exchange fluctuates greatly. The market price of platinum is
generally positively correlated with the market price of gold. In the long run, the market price of diamond is in a moderate rising
trend. The selling price of the company's gold products calculated by gram is linked with the listed price of gold and platinum at the
gold exchange. If the market prices of gold, platinum, diamonds and other raw materials fall significantly during the inventory
turnover period of the company, on the one hand, the company has the risk of gross profit margin decline due to the decline in
product selling price; on the other hand, the company will also face the risk of decline in operating performance due to the provision
for inventory write down. At the same time, the rise in selling price caused by the sharp rise in the market price of raw materials such
as gold and diamonds may lead to the decrease of consumers' willingness and the decline of sales volume, thus a dversely affecting
the business performance.
(2) The risk of intensifying market competition
In recent years, the jewelry market in China has been developing continuously, and the consumption demand of jewelry has been
developing in the direction of individuation and diversification. At present, China's jewelry industry has presented diversified
competitions. Excellent enterprises in the industry have formed competitive advantages in a certain segment by deeply exploring the
24
consumption preferences of specific groups. The market competition has gradually changed from price competition to comprehensive
competition among brand, business model, marketing channel, product design and quality, the competition tends to be fierce. I n the
future development, if the company cannot continue to give full play to its advantages, there will be a risk of profitability decline due
to intensified competition in the industry.
(3) Risk of market demand decline
As an optional consumption, jewelry is especially sensitive to market demand, economic outlook and consumer preference. China
has become one of the countries with the most obvious growth in the jewelry and jade jewelry industry in the world. If the ec onomic
growth rate declines in the future, the growth of market cons umption demand may slow down accordingly, which will adversely
affect the company's business condition.
For the above-mentioned potential risks, the following countermeasures will be taken by the Company:
1. In the bankruptcy reorganization plan in 2012-2013, the Company has a condition for introducing the restructuring parties: the
appraisal value of net assets not less than 2 billion yuan, the net profit not less than 200 million yuan in the year of implementation of
major assets reorganization. The Company will continue to actively cooperate with shareholders and the Board in promoting the
reorganization.
2. Enhancing corporate governance, standardize operations, further reform and improve the internal operation management system,
assessment mechanism, strengthen the construction of management teams, business teams and technical teams. Perfected the
development plan of the Company.
3. In terms of gold and jewelry business, further establish supplier systems and expand customer resources, the business cooperation
between the well-known brands and listed company in particular, expanding international business, improve internal business
processes and internal control system construction, promote the construction of a supply chain system platform to improve
operational quality and efficiency, and strive to achieve greater growth in operating income.
4.In terms of bicycle business, the company negotiated and promoted the business cooperation on EMMELLE with big dealers in
order to maintain the brand and expand the national market as the goal. In terms of electric bicycles, the company organized source
control, quality coordination, transportation and improvement of after-sales service order by order in Shandong, Henan, Hebei,
Jiangsu and other key and mature regions to ensure the stability and improvement of order and business. For other regions, the
company strengthened communication and cooperation with ODM factories, utilized their existing sales network for distribution and
cooperation, and promoted the growth of order and business.
5.The company has been tracking the new energy and lithium electric new materials fields for many years. Benefiting from policy
promotion, technological progress and popularization of supporting facilities, and under the guidance of the goal of carbon peaking
and carbon neutrality, the global new energy industry has developed rapidly and the market has a sustainable growth. In 2023, the
company will further explore and make overall arrangements in the fields of new energy and new materials to seek new
breakthroughs.
6. The company continued to complete the rights and interests maintenance of the Guangshui Jiaxu lawsuit and the lawsuit
concerning the termination of the cooperation contract of the Urban Renewal and Reconstruction Project for the Second Phase of
Zhonghua Garden, and continued to cooperate with the manager to carry out assets escrow business and deal with relevant litigation,
so as to ensure the safety of assets and safeguard the rights and interests of relevant parties.
7. Strengthen the background management and office automation, and improve the support degree of background departments to
front desk business.
25
Section IV Corporate Governance
I. In the report period, the Company held annual shareholders’ general meeting and
extraordinary shareholders’ general meeting
1. Annual Shareholders’ General Meeting in the report period
Ratio of investor
Session of meeting Type Date Date of disclosure Resolutions
participation
Found more in the
Resolution of First
Extraordinary
Shareholders’
First Extraordinary
Extraordinary General Meeting
Shareholders’
Shareholders’ 29.26% 2023-03-06 2023-03-07 2023(Notice No.:
General Meeting
General Meeting 2023-006)
2023
released on Juchao
Website
(www.cninfo.com.
cn)
Found more in the
Resolution of
Annual General
Meeting of 2022
Annual General
AGM 29.34% 2023-06-28 2023-06-29 (Notice No.: 2023-
Meeting of 2022
021) released on
Juchao Website
(www.cninfo.com.
cn)
2. Request for extraordinary general meeting by preferred stockholders whose voting rights restore
□Applicable Not applicable
II. Changes of directors, supervisors and senior executives
□Applicable Not applicable
There were no changes in the directors, supervisors and senior executive of the Company during the Period, found more in the
Annual Report 2022
III. Profit distribution plan and capitalizing of common reserves plan for the Period
□Applicable Not applicable
The Company has no plans of cash dividend distributed, no bonus shares and has no share converted from capital reserve either for
the semi-annual.
26
IV. Imple mentation of the company’s stock incentive plan, employee stock ownership plan or
other employee incentives
□Applicable Not applicable
The Company had no implementation of the company’s stock incentive plan, employee stock ownership plan or other employee
incentives in the reporting period.
27
Section V Environmental and Social Responsibility
I. Major environmental
The listed Company and its subsidiary whether belongs to the key sewage units released from environmental protection departme nt
□Yes No
Administrative punishment for environmental problems during the reporting period
Impact on the
The company’s
Company name or Reason for production and
Violation Punishment result rectification
subsidiary name punishment operation of listed
measures
company
Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable
Other environmental information disclosed refer to key polluters
Not applicable
Measures taken to reducing the carbon emissions during the reporting period and their effectiveness
□Applicable Not applicable
Reasons for not disclosing other environmental information
Not applicable
II. Social responsibility
During the reporting period, the company conscientiously fulfilled its corporate social responsibility, paid attention to pro tecting the
interests of shareholders, especially minority shareholders; Treated suppliers, customers and consumers with integrity; Earnestly
fulfilled the responsibilities and obligations to the society, shareholders, employees and other stakeholders, created a harmonious
environment for enterprise development, and realized the common development of the enterprise and stakeholders.
1. Protection of shareholders' rights and interests
The company strictly complies with the provisions of relevant laws and regulations such as the Company Law, the Securities La w
and the Governance Code for Listed Companies, continuously improves the corporate governance structure, adheres to handing over
the important matters to the resolutions of the shareholders' meeting, provides convenience for medium and small investors to
participate in the shareholders' meeting, fully listens to the small and medium-sized investors’ reasonable advice on the company's
development and governance, and safeguards the legitimate rights and interests of shareholders.
In the first half of 2023, the board of directors of the company convened 2 shareholders' meetings, the meeting adopted the
combination of on-site voting and online voting, the votes of small and medium investors were counted separately, provided
convenience for the majority of investors to participate in the voting at the shareholders' meeting, and ensured the participation right
and supervision right of the small and medium-sized investors.
In the first half of 2023, the company strengthened communication with investors, especially investors from the public, answered
28
questions about which the public and investors concerned, and ensured the investors' right to know in line with the Information
Disclosure Affairs Management System and Reception and Promotion Work System and by means of various forms such as the
interactive platform of Shenzhen Stock Exchange, hotline of the company’s securities affairs department, and so on.
On 17 May 2023, the company held the 2022 annual performance briefing, in which the company made online communication with
investors on the company's performance, operating conditions and other issues of concern to investors. A total of 4 questions were
raised by investors during the briefing, which were answered by directors and senior management personnel.
The company is committed to protecting the rights and interests of investors by improving the corporate governance structure,
improving the level of information disclosure and investor relationship management, and carrying out investor education, and
guiding investors to form value investment concept through real and effective communication. In order to effectively ensure smooth
service channels for investors, the company has arranged full-time personnel to answer investors' hotline calls and answer questions
on the interactive platform, and relevant staff has patiently analyzed the announcement information for investors to help investors
understand the company's situation in time.
2. Protection of workers' rights and interests
The company adheres to the people-oriented, comprehensively implements the Labor Law and Labor Contract Law, attaches great
importance to guarantee of the employees' rights and interests, at the same time, establishes good communication channels
throughout the whole process of staff management and care, pays attention to staff growth, improves the staff overall quality ,
cultivates excellent internal training culture system, creates a good learning environment. Meanwhile, the company pays attention to
enriching the spiritual life of employees, regularly carries out staff activities, and improves team cohesion. In accordance with the
Labor Contract Law of the People's Republic of China and other relevant national and local labor laws and regulations, the company
signs labor contracts with employees to protect their rights and interests. The company and its subsidiaries strictly implement the
national employment system, labor protection system, social security system and medical security system, and pay the housing
provident fund, medical insurance, endowment insurance, unemployment insurance, work-related injury insurance and maternity
insurance for employees according to the state regulations. The company adheres to corporate culture of efficient coordination,
people-oriented, on-demand training, training by level, and echelon training. The company establishes internal knowledge sharing
system, promotes information and knowledge exchange among various modules of the company, and improves team coordination
ability. It encourages employees to participate in continuing education and enhances the knowledge structure optimization and
professional quality promotion of workers at various positions.
3. Protection of rights and interests of suppliers, customers and consumers
The company actively organizes and carries out customer management, takes measures to ensure the rights and interests of customers
and actively promotes customer satisfaction and service excellence. It makes full use of the rich social resources in the market, and
establishes a good partnership with suppliers. The company promises not to abuse or misuse consumer information for the prote ction
of rights and interests of consumers.
29
Section VI Important Events
I. Commitments completed in Period and those without completed till end of the Period from
actual controller, shareholders, related parties, purchaser and companies
□Applicable Not applicable
There is no commitments that completed in Period and those without completed till end of the Period from actual controller,
shareholders, related parties, purchaser and companies
II. Non-operational fund occupation from controlling shareholders and its related party
□Applicable Not applicable
No non-operational fund occupation from controlling shareholders and its related party in period.
III. External guarantee out of the regulations
□Applicable Not applicable
No external guarantee out of the regulations occurred in the period.
IV. Appointment and non-reappointment (dismissal) of CPA
Whether the financial report has been audited or not
□Yes No
The financial report has not been audited
V. Explanation from Board of Directors and Supervisory Committee for “Qualified Opinion”
that issued by CPA
□Applicable Not applicable
VI. Explanation from the BOD for “Qualified Opinion” of last year
□Applicable Not applicable
VII. Bankruptcy reorganization
□Applicable Not applicable
No bankruptcy reorganization for the Company in reporting period
VIII. Lawsuits
Significant lawsuits and arbitration
30
Applicable □Not applicable
Amount Resulted an
Lawsuits involved (in accrual Trial result Execution of Disclosure Disclosure
Progress
(arbitration) 10 thousand liability and influence judgment date index
Yuan) (Y/N)
Contract
dispute over
the urban
renewal Found more
In the first
project of in “Notice on
instance,
Zhonghua The second Lawsuits”
defendant The first trial
Garden trial has Notice No.:
Yes, the returned 10 will not have
Phase II- begun 2022002 and
accrual million yuan a material
Plaintiff(She without “Progress of
liabilities of deposit and adverser
nzhen Jianzhi adjudication Lawsuits”
3,085.9 880,000 yuan interest to the effect on 2022-08-23
Industrial resulted yet Notice No.:
resulted from plaintiff; the current profit
Development till the date 2022019
relevant second trial or future
Co., Ltd); when the released on
interests has begun profits of the
Defendant notice Juchao
without Company
(Shenzhen released Website
adjudication
China (www.cninfo.
resulted yet
Bicycle com.cn)
Company
(Holdings)
Limited)
Counter-
claim in the
contract
dispute on
urban
renewal
project of The first The second Found more
The first trial
Zhonghua judgment trial has in “Progress
will not have
Garden dismisses the begun of Lawsuits”
a material
Phase II- plaintiff’s without Notice No.:
adverser
Plaintiff(She claim; the adjudication 2022019
600 N effect on 2022-08-23
nzhen China second trial resulted yet released on
current profit
Bicycle has begun till the date Juchao
or future
Company without when the Website
profits of the
(Holdings) adjudication notice (www.cninfo.
Company
Limited); resulted yet released com.cn)
Defendant
(Shenzhen
Jianzhi
Industrial
Development
Co., Ltd)
Sale & The 80% bad
Found more
purchase debt
in “Progress
contract provision has
of Lawsuits”
dispute- accrual for
The first trial Notice No.:
Plaintiff year of 2021-
ruled in favor 2023007
(Shenzhen 1,834.81 N 2022. The Executing 2023-04-21
of the released on
China first trial will
Company Juchao
Bicycle not have a
Website
Company material
(www.cninfo.
(Holdings) adverser
com.cn)
Limited); effect on
31
Defendant(G current profit
uangshuiJiax or future
u Energy profits of the
Technology Company
Co., Ltd.)
The 80% bad
Sale & debt
purchase provision has
Found more
contract accrual for
in “Progress
dispute- year of 2021-
Plaintiff of Lawsuits”
2022. The
(Shenzhen The first trial Notice No.:
first trial will
Emmelle ruled in favor 2023007
Industrial 661.91 N not have a Executing 2023-04-21
of the released on
Co., Ltd); material
Company Juchao
Defendant(G adverser
Website
uangshuiJiax effect on
u Energy (www.cninfo.
current profit
Technology com.cn)
or future
Co., Ltd.)
profits of the
Company
Other lawsuits
□Applicable Not applicable
IX. Penalty and rectification
□Applicable Not applicable
X. Integrity of the company and its controlling shareholders and actual controllers
□Applicable Not applicable
XI. Major related transaction
1. Related transaction with routine operation concerned
Applicable □Not applicable
Relate Whet
Tradi
d her Cleari
Propo ng
Type Conte transa over ng Availa
Relate rtion limit
of nt of Pricin ction the form ble Date Index
Relate Relati d in appro
relate relate g amou appro for simila of of
d onshi transa simila ved
d d princi nt (in ved relate r disclo disclo
party p ction r (in 10
transa transa ple 10 limite d marke sure sure
price transa thousa
ction ction thousa d or transa t price
ctions nd
nd not ction
Yuan)
Yuan) (Y/N)
The Relate Pricin Found
Fuzho enterp d Sale g more
u rises transa of based in the
Marke Settle
Zuank contro ction goods on Not “Reco
t 4,977. 16.99 ment 2023-
inson lled with to marke 5,000 N applic gnitio
pricin 3 % in 4-25
Jewelr by the routin relate t price able n of
g cash
y Co., contro e d accor the
Ltd. lling operat party ding Daily
subsid ion to the Relate
32
iary conce princi d
of the rned ple of Trans
Comp fairne action
any ss and s for
with impart year
35% iality of
stock 2022
partici and
pated Expec
ted
Daily
Relate
d
Trans
action
s for
2023”
on
Jucha
o
Websi
te
(www
.cninf
o.com
.cn)
Found
more
in the
“Reco
gnitio
The n of
enterp the
rises Daily
contro Pricin Relate
lled g d
by the Relate based Trans
affilia d on action
Fuzho tes of transa Sale marke s for
u the ction of t price year
Marke Settle
Rongr contro with goods accor Not of
t 5,389. 18.40 ment 2023-
un lling routin to ding 7,000 N applic 2022
pricin 93 % in 4-25
Jewelr subsid e relate to the able and
g cash
y Co., iary operat d princi Expec
Ltd. of the ion party ple of ted
Comp conce fairne Daily
any rned ss and Relate
with impart d
35% iality Trans
stock action
partici s for
pated 2023”
on
Jucha
o
Websi
te
33
(www
.cninf
o.com
.cn)
10,36 12,00
Total -- -- -- -- -- -- -- --
7.23 0
Detail of sales return with major
Not applicable
amount involved
Report the actual implementation
of the daily related transactions
which were projected about their Not applicable
total amount by types during the
reporting period (if applicable)
Reasons for major differences
between trading price and market Not applicable
reference price (if applicable)
2. Related transactions by assets acquisition and sold
Applicable □Not applicable
Apprais
ed
Carryin
value of
g value
assets Transfe Gain/lo
of Index
transfer rred Settlem ss on Date of
Related Relatio Content assets of
Type Pricing red price ent trading( disclos
party nship s transfer disclos
(10,000 (10,000 terms 10,000 ure
red ure
yuan) yuan) yuan)
(10,000
(if
yuan)
applica
ble)
Shenzh Based Refer to
en
on the (www.c
Zuanki
nson assessm ninfo.c
Jewelry ent om.cn)
Gold report for
Supply ‘Asset details:
Chain Purchas
Apprais Announ
Shenzh Co., ing the
al cement
en Ltd is minorit
the Report on
Zuanki y
shareho of the Purchas
nson shareho
lder of Purchas Propose Settlem e of the
Jewelry lders’ 2023-
Shenzh e of d 1379.32 2,555 2,555 ent in 0 Minorit
Gold en equity 06-07
equity Equity cash y
Supply Xinsen from
Transfe Interest
Chain Jewelry controll
r of in
Co., Gold ing
Supply Shenzh Control
Ltd subisdi
Chain en ling
ary
Co., Xinsen Subsidi
Ltd Jewelry ary and
who Gold Related
hold
Supply Transac
35%
shares- Chain tions
the Co., (Notice
34
controll Ltd No.:
ing Involvi 2023-
subsidi
ng the 019)
ary of
the Value
Compa of
ny, Certain
Shareh
olders’
Interest
s (YW
Apprais
al
Zi[2023
] No.
041)
issued
by Yu
Wei
Internat
ional
Asset
Apprais
al
(Shenz
hen )
Co.,
Ltd.,
the
income
method
has
been
selected
in the
report
Based on the assessment report ‘Asset Appraisal Report of the Proposed Equity
Transfer of Shenzhen Xinsen Jewelry Gold Supply Chain Co., Ltd Involving the
Value of Certain Shareholders’ Interests ’’(YW Appraisal Zi[2023] No. 041) issued by
Yu Wei International Asset Appraisal (Shenzhen ) Co., Ltd., the income method has
been selected in the report. The Specific assessment are as follows: at the valuation
date, carrying value of total assets under Shenzhen Xinsen Jewelry Gold Supply
Chain Co., Ltd was 44.0619 million yuan; carrying value of total liabilities amounted
Reasons for major differences between
to 4.6527 million yuan; carrying value of total equity amounted to 39.4092 million
transferred price and carrying value or
yuan. At the valuation date, carrying value of total equity under Shenzhen Xinsen
appraised value (if applicable)
Jewelry Gold Supply Chain Co., Ltd was 73 million yuan, the appraisal value
increased by 33.5908 million yuan, or 85.24%. among which, the 35% equity held by
Shenzhen Zuankinson Jewelry Gold Supply Chain Co., Ltd was evaluated as 25.55
million yuan. The appreciation was mainly due to the items that not show in the
financial statement are considered in the assessment from the perspective of the
overall profitability of the business, including customer resources, human resources
and management efficiency.
The minority equity purchasing is beneficial to the further resource integration, and
optimize the overall resource allocation in a better way, and enhance the
Impact on operation result and financial competitiveness and comprehensive strength in f ield of jewelry and gold business.
status Capital sources are from the owned fund of the Company, and the matter will not
have major adverse impact on operation of the Company, and there is no damage to
the listed company, especially to the small and medium-sized shareholders.
35
Performance during the reporting period
if relevant trading involves a Not applicable
performance covenant
3. Main related transactions of mutual investment outside
□Applicable Not applicable
No main related transactions of mutual investment outside for the Company in reporting period.
4. Contact of related credit and debt
Applicable □Not applicable
Whether exist non-operating contact of related credit and debt or not
Yes □No
Claim receivable from related party
Whether Current
Balance Current Current Balance
has non- amount
at period- recovery( interest(1 at period-
Related Relations Causes of business increased( Interest
begin(10 10 0 end(10
party hip formation capital 10 rate
thousand thousand thousand thousand
occupyin thousand
Yuan) Yuan) Yuan) Yuan)
g or not Yuan)
Debts payable to related party
Current
Balance at Current amount Balance at
Current
period- amount period-
Related Relationshi Causes of returned interest(10
begin(10 increased(1 Interest rate end(10
party p formation (10 thousand
thousand 0 thousand thousand
thousand Yuan)
Yuan) Yuan) Yuan)
Yuan)
Shenzhen
Guosheng Shareholde
Subsidiary
Energy r with over
Emmelle 650 0 0 0.00% 0 650
Investment 5% shares
loan
Developme held
nt Co., Ltd.
Influence on operation
result and financial statue
N/A
of the Company from
related debts
5. Contact with the related finance companies
□Applicable Not applicable
There are no deposits, loans, credits or other financial business between the finance companies with associated relationship and
related parties
6. Transactions between the finance company controlled by the Company and related parties
□Applicable Not applicable
36
There are no deposits, loans, credits or other financial business between the finance companies controlled by the Company and
related parties
7. Other material related transactions
□Applicable Not applicable
The company had no other material related transactions in reporting period.
XII. Significant contract and implementations
1. Trusteeship, contract and leasing
(1) Trusteeship
□Applicable Not applicable
No trusteeship occurred in reporting period.
(2) Contract
□Applicable Not applicable
No contract occurred in reporting period.
(3) Leasing
□Applicable Not applicable
No leasing occurred in reporting period.
2. Major guarantee
□Applicable Not applicable
No major guarantee occurred in reporting period.
3.Trust financing
□Applicable Not applicable
No trust financing for the Company in reporting period.
4. Other significant contracts
□Applicable Not applicable
No other significant contract in reporting period.
37
XIII. Explanation of other important events
□Applicable Not applicable
No explanation of other important events in reporting period.
XIV. Significant event of subsidiary of the Company
Applicable □Not applicable
1. Purchasing the minority interest in controlling subsidiary
In order to further integrate resources, better optimize the resources allocation and improve competitiveness and comprehensive
strength of the Company in field of jewelry and gold business, in June 2023, the Resolution of Purchasing Minority Interest f rom
Controlling Subsidiary and Re lated Transactions was deliberated and approved by the Board and Shareholders’ General Meeting
respectively. Based on reference to the (YW Appraisal Zi[2023] No. 041) Asset Appraisal Report of the Proposed Equity Transfer of
Shenzhen Xinsen Jewelry Gold Supply Chain Co., Ltd Involving the Value of Certain Shareholders’ Interests issued by Yu Wei
International Asset Appraisal (Shenzhen ) Co., Ltd., the Company purchased 35% equity of Xinsen Company held by Zuankinson
with 25.55 million yuan. After the purchase, the Company holds 100% equity of Xinsen Company, which has become a wholly-
owned subsidiary of the Company. Refer to (www.cninfo.com.cn) for details: Announcement on Purchase of the Minority Interest in
Controlling Subsidiary and Related Transactions (Notice No.: 2023-019) dated 7 June 2023. As at the date of the announcement, the
Company has completed the changing procedures of industrial & commercial for Xinsen Company. Refer to (www.cninfo.com.cn)
for details: Progress of Purchasing Minority Interest in Controlling Subsidiary dated 11 August 2023.
38
Section VII Changes in Shares and Particular about Shareholders
I. Changes in Share Capital
1. Changes in Share Capital
Unit: Share
Before the Change Increase/Decrease in the Change (+, -) After the Change
Capitali
New
Proporti Bonus zation of Proportio
Amount shares Others Subtotal Amount
on shares public n
issued
reserve
I.
Restricted 137,842,262 20.00% 0 0 0 -5,276 -5,276 137,836,986 20.00%
shares
1. State-
owned 0 0.00% 0 0 0 0 0 0 0.00%
shares
2. State-
owned
legal 0 0.00% 0 0 0 0 0 0 0.00%
person’s
shares
3. Other
domestic 137,842,262 20.00% 0 0 0 -5,276 -5,276 137,836,986 20.00%
shares
Including:
Domestic
legal 137,836,986 20.00% 0 0 0 0 0 137,836,986 20.00%
person’s
shares
Domestic
natural
person’s 5,276 0.00% 0 0 0 -5,276 -5,276 0 0.00%
shares
4. Foreign
shares 0 0.00% 0 0 0 0 0 0 0.00%
Including:
Foreign
legal 0 0.00% 0 0 0 0 0 0 0.00%
person’s
shares
Foreign
natural
person’s 0 0.00% 0 0 0 0 0 0 0.00%
shares
II.
Unrestrict 551,342,671 80.00% 0 0 0 5,276 5,276 551,347,947 80.00%
ed shares
1. RMB
Ordinary 302,979,689 43.96% 0 0 0 5,276 5,276 302,984,965 43.96%
shares
2.
Domestic
ally listed 248,362,982 36.04% 0 0 0 0 0 248,362,982 36.04%
foreign
shares
3.
Overseas
listed 0 0.00% 0 0 0 0 0 0 0.00%
foreign
39
shares
4. Others 0 0.00% 0 0 0 0 0 0 0.00%
III. Total 100.00
shares 689,184,933 0 0 0 0 689,184,933 100.00%
%
Reasons for share changed
Applicable □Not applicable
Supervisor of the 9th Supervisory Committee Mr. Zheng Zhonghuan was outgoing for the offer-term expired dated November 28,
2022. According to the Management Regulation of the Shares held by Director, Supervisor and Senior Executives of the Listed
Companies and their Changes, the shares held by supervisor of the Company shall not be transferred within 6 months after their
resignation. As of the current period end, shares held by Mr. Heng Zhonghuan were unlocked, resulting in a decrease of 5,276
restricted shares.
Approval of share changed
□Applicable Not applicable
Ownership transfer of share changed
□Applicable Not applicable
Progress of shares buy-back
□Applicable Not applicable
Implementation progress of reducing holdings of shares buy-back by centralized bidding
□Applicable Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to common
shareholders of Company in latest year and period
□Applicable Not applicable
Other information necessary to disclose or need to disclosed under requirement from security regulators
□Applicable Not applicable
2. Changes of lock-up(restricted) shares
Applicable □Not applicable
Unit: Share
Number of
Shares Number of Shares
shares Cause of Dated of
Shareholder restricted at shares released restricted at
restricted in the restriction released
period-begin in the Period period-end
Period
Executive lock- 6 months after
Zheng
5,276 5,276 0 0 up stock outgoing when
Zhonghuan
(Supervisor) session expired
40
Total 5,276 5,276 0 0 -- --
II. Securities issuance and listing
□Applicable Not applicable
III. Number of shareholders and particular about share holding
Unit: Share
Total preferred shareholders with
Total common
voting rights recovered at end of
shareholders at end of the 43,669 0
reporting period (if applicable)
Period
(found in note 8)
Particulars about common shares held above 5% by shareholders or top ten common shareholders
Amount of Information of shares
Amount of
Full name common Change Amount of pledged, tagged or frozen
Proportion common
of Nature of shares held at s in restricted
of shares shares held
Shareholde shareholder the end of report common State of
held without Amount
rs reporting period shares held share
restriction
period
Wansheng Domestic
Industrial non-state-
137,836,98
Holdings owned 20.00% 137,836,986 - 0 - -
6
(Shenzhen) legal
Co., Ltd person
Shenzhen
Domestic
Guosheng
non-state-
Energy
owned 9.22% 63,508,747 - 63,508,747 - -
Investment
legal
Developme
person
nt Co., Ltd.
UOB Kay
Foreign
Hian (Hong
legal 2.31% 15,907,850 - - 15,907,850 - -
Kong)
person
Limited
Guosen
Securities Foreign
(HK) legal 2.02% 13,909,425 - - 13,909,425 - -
Brokerage person
Co., Ltd.
Shenwan
Hongyuan
Foreign
Securities
legal 1.20% 8,281,156 - - 8,281,156 - -
(Hong
person
Kong) Co.,
Ltd.
Lhasa Domestic
Xingqing non-state-
Network owned 0.67% 4,600,255 - - 4,600,255 - -
Technology legal
Co., Ltd. person
Li Huili Domestic 0.56% 3,891,124 - - 3,891,124 - -
41
nature
person
Domestic
Ge
nature 0.44% 3,050,452 - - 3,050,452 - -
Zhiqiong
person
Domestic
Xu Hongbo nature 0.42% 2,927,319 - - 2,927,319 - -
person
China
Merchants Foreign
Securities legal 0.42% 2,894,135 - - 2,894,135 - -
(HK) Co., person
Ltd
Strategy investors or
general corporation comes
top 10 common stock
N/A
shareholders due to
placement of new shares
(if applicable) (see note 3)
Li Huili, spouse of Ji Hanfei, the actual controller of Shenzhen Guosheng Energy Investment
Development Co., Ltd., holding B-share of the Company on behalf of Shenzhen Guosheng Energy
Explanation on associated
Investment Development Co., Ltd., other than that, the Company does not know whether the other
relationship among the
outstanding shareholders are related and whether the shareholders belong to persons acting in
aforesaid shareholders
concert regulated in the Administration of Disclosure of Information on the Change of Shareholders
in Listed Companies.
Description of the above
shareholders in relation to
delegate/entrusted voting N/A
rights and abstention from
voting rights.
Special note on the
repurchase account among
N/A
the top 10 shareholders (if
applicable) (see note 11)
Particular about top ten shareholders with un-restrict shares held
Type of shares
Shareholders’ name Amount of un-restrict common shares held at Period-end
Type Amount
Shenzhen Guosheng RMB
Energy Investment 63,508,747 common 63,508,747
Development Co., Ltd. shares
Domestica
UOB Kay Hian (Hong lly listed
15,907,850 15,907,850
Kong) Limited foreign
shares
Domestica
Guosen Securities (HK) lly listed
13,909,425 13,909,425
Brokerage Co., Ltd. foreign
shares
Domestica
Shenwan Hongyuan
lly listed
Securities (Hong Kong) 8,281,156 8,281,156
foreign
Co., Ltd.
shares
RMB
Lhasa Xingqing Network
4,600,255 common 4,600,255
Technology Co., Ltd.
shares
Domestica
Li Huili 3,891,124 lly listed 3,891,124
foreign
42
shares
Domestica
lly listed
Ge Zhiqiong 3,050,452 3,050,452
foreign
shares
Domestica
lly listed
Xu Hongbo 2,927,319 2,927,319
foreign
shares
Domestica
China Merchants lly listed
2,894,135 2,894,135
Securities (HK) Co., Ltd foreign
shares
RMB
Liu Ligang 2,838,400 common 2,838,400
shares
Expiation on associated
Li Huili, spouse of Ji Hanfei, the actual controller of Shenzhen Guosheng Energy Investment
relationship or consistent
Development Co., Ltd., holding B-share of the Company on behalf of Shenzhen Guosheng Energy
actors within the top 10
Investment Development Co., Ltd., other than that, the Company does not know whether the other
un-restrict shareholders
outstanding shareholders are related and whether the shareholders belong to persons acting in
and between top 10 un-
concert regulated in the Administration of Disclosure of Information on the Change of Shareholders
restrict shareholders and
in Listed Companies.
top 10 shareholders
Explanation on top 10
shareholders involving
N/A
margin business (if
applicable) (see note 4)
Whether top ten common stock shareholders or top ten common stock shareholders with un-restrict shares held have a buy-back
agreement dealing in reporting period
□Yes No
The top ten common stock shareholders or top ten common stock shareholders with un-restrict shares held of the Company have no
buy-back agreement dealing in reporting period.
IV. Changes of shares held by directors, supervisors and senior executives
□Applicable Not applicable
Shares held by directors, supervisors and senior executives have no changes in reporting period, found more details in Annual Report
2022.
V. Changes in controlling shareholders or actual controllers
Change of controlling shareholder during the reporting period
□Applicable Not applicable
The Company had no change of controlling shareholder during the reporting period
Change of actual controller during the reporting period
□Applicable Not applicable
The Company had no change of actual controller during the reporting period
43
Section VIII Preferred Stock
□Applicable Not applicable
The Company had no preferred stock in the Period.
44
Section IX Corporate Bonds
□Applicable Not applicable
45
Section X Financial Report
I. Audit report
Whether the semi annual report is audited
□Yes No
The company's semi annual financial report has not been audited
II. Financial Statement
Statement in Financial Notes are carried Unit: RMB/CNY
1. Consolidated Balance Sheet
Prepared by Shenzhen China Bicycle Company (Holdings) Limited
June 30, 2023
Unit: RMB/CNY
Item 2023-6-30 2023-1-1
Current assets:
Monetary fund 19,737,567.50 54,699,491.18
Settlement provisions
Capital lent
Trading financial assets
Derivative financial assets
Note receivable 839,035.38 1,102,000.00
Account receivable 149,209,751.14 250,069,301.93
Receivable financing
Accounts paid in advance 2,742,066.99 4,286,935.15
Insurance receivable
Reinsurance receivables
Contract reserve of reinsurance
receivable
Other account receivable 2,461,431.37 438,477.82
Including: Interest receivable
Dividend receivable
Buying back the sale of financial
assets
Inventory 190,374,908.95 48,206,866.81
Contractual assets
Assets held for sale
Non-current asset due within one year
Other current assets 34,580,392.74 35,453,106.62
46
Total current assets 399,945,154.07 394,256,179.51
Non-current assets:
Loans and payments on behalf
Debt investment
Other debt investment
Long-term account receivable
Long-term equity investment
Investment in other equity instrument
Other non-current financial assets
Investment real estate
Fix assets 2,255,797.28 2,304,402.38
Construction in progress
Productive biological asset
Oil and gas asset
Right-of-use assets 173,936.71
Intangible assets
Expense on Research and
Development
Goodwill
Long-term expenses to be apportioned
Deferred income tax asset 201,596.48 118,969.33
Other non-current asset 400,000.00 400,000.00
Total non-current asset 2,857,393.76 2,997,308.42
Total assets 402,802,547.83 397,253,487.93
Current liabilities:
Short-term loans
Loan from central bank
Capital borrowed
Trading financial liability
Derivative financial liability
Note payable
Account payable 23,429,847.57 2,877,423.23
Accounts received in advance
Contract liability 437,102.15 791,762.84
Selling financial asset of repurchase
Absorbing deposit and interbank
deposit
Security trading of agency
Security sales of agency
Wage payable 884,429.93 769,992.42
Taxes payable 18,481,320.47 38,144,508.36
Other account payable 47,850,414.91 48,621,087.98
Including: Interest payable
47
Dividend payable
Commission charge and commission
payable
Reinsurance payable
Liability held for sale
Non-current liabilities due within one
210,892.38
year
Other current liabilities 56,823.28 102,929.16
Total current liabilities 91,139,938.31 91,518,596.37
Non-current liabilities:
Insurance contract reserve
Long-term loans
Bonds payable
Including: Preferred stock
Perpetual capital securities
Lease liability
Long-term account payable
Long-term wages payable
Accrual liability 878,000.00 887,342.00
Deferred income
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities 878,000.00 887,342.00
Total liabilities 92,017,938.31 92,405,938.37
Owner’s equity:
Share capital 689,184,933.00 689,184,933.00
Other equity instrument
Including: Preferred stock
Perpetual capital securities
Capital public reserve 778,824,470.95 778,824,470.95
Less: Inventory shares
Other comprehensive income
Reasonable reserve
Surplus public reserve 32,673,227.01 32,673,227.01
Provision of general risk
Retained profit -1,205,691,013.55 -1,210,553,312.45
Total owner’ s equity attributable to
294,991,617.41 290,129,318.51
parent company
Minority interests 15,792,992.11 14,718,231.05
Total owner’ s equity 310,784,609.52 304,847,549.56
Total liabilities and owner’ s equity 402,802,547.83 397,253,487.93
Legal Representative: Wang Shenghong Person in charge of Accounting Works: Sun Longlong Person in charge of
Accounting Institution: She Hanxing
2. Balance Sheet of Parent Company
Unit: RMB/CNY
48
Item 2023-6-30 2023-1-1
Current assets:
Monetary fund 11,548,838.59 44,090,324.53
Trading financial assets
Derivative financial assets
Note receivable 400,000.00
Account receivable 4,646,089.59 213,762,895.33
Receivable financing
Accounts paid in advance 30,474,472.82 39,465,026.86
Other account receivable 67,555,513.92 209,606.79
Including: Interest receivable
Dividend receivable
Inventory 138,576,916.65 42,640,812.21
Contractual assets
Assets held for sale
Non-current asset due within one year
Other current assets
Total current assets 252,801,831.57 340,568,665.72
Non-current assets:
Debt investment
Other debt investment
Long-term account receivable
Long-term equity investment 94,960,379.73 19,960,379.73
Investment in other equity instrument
Other non-current financial assets
Investment real estate
Fix assets 2,129,517.12 2,209,564.35
Construction in progress
Productive biological asset
Oil and gas asset
Right-of-use assets 105,403.37
Intangible assets
Expense on Research and
Development
Goodwill
Long-term expenses to be apportioned
Deferred income tax asset
Other non-current asset 400,000.00 400,000.00
Total non-current asset 97,489,896.85 22,675,347.45
Total assets 350,291,728.42 363,244,013.17
Current liabilities:
Short-term loans
Trading financial liability
49
Derivative financial liability
Note payable
Account payable 1,926,961.97 275,843.19
Accounts received in advance
Contract liability
Wage payable 542,622.85 403,771.82
Taxes payable 17,424,929.53 35,797,995.48
Other account payable 43,305,972.20 40,465,510.28
Including: Interest payable
Dividend payable
Liability held for sale
Non-current liabilities due within one
121,977.23
year
Other current liabilities
Total current liabilities 63,200,486.55 77,065,098.00
Non-current liabilities:
Long-term loans
Bonds payable
Including: Preferred stock
Perpetual capital securities
Lease liability
Long-term account payable
Long-term wages payable
Accrual liability 878,000.00 878,000.00
Deferred income
Deferred income tax liabilities
Other non-current liabilities
Total non-current liabilities 878,000.00 878,000.00
Total liabilities 64,078,486.55 77,943,098.00
Owner’s equity:
Share capital 689,184,933.00 689,184,933.00
Other equity instrument
Including: Preferred stock
Perpetual capital securities
Capital public reserve 778,824,470.95 778,824,470.95
Less: Inventory shares
Other comprehensive income
Reasonable reserve
Surplus public reserve 32,673,227.01 32,673,227.01
Retained profit -1,214,469,389.09 -1,215,381,715.79
Total owner’ s equity 286,213,241.87 285,300,915.17
Total liabilities and owner’ s equity 350,291,728.42 363,244,013.17
3. Consolidated Profit Statement
Unit: RMB/CNY
50
Item Semi-annual of 2023 Semi-annual of 2022
I. Total operation revenue 292,999,162.50 106,665,446.58
Including:Operation revenue 292,999,162.50 106,665,446.58
Interest income
Insurance gained
Commission charge and
commission income
II. Total operation cost 285,545,357.24 108,203,953.12
Including:Operation cost 278,484,152.74 100,215,639.64
Interest expense
Commission charge and
commission expense
Cash surrender value
Net amount of expense of
compensation
Net amount of withdrawal of
insurance contract reserve
Bonus expense of guarantee
slip
Reinsurance expense
Tax and surcharge 129,697.74 42,512.73
Sales expenses 2,522,214.01 2,423,889.53
Administration expenses 4,130,652.80 4,855,763.49
R&D expenses 336,970.90 694,172.50
Finance expenses -58,330.95 -28,024.77
Including:Interest expenses
Interest income 70,100.25 47,897.11
Add: Other income 2,092.35 153,395.80
Investment income (Loss is listed
with “-”)
Including:Investment
income on affiliated company and joint
venture
The termination of
income recognition for financial assets
measured by amortized cost
Exchange income (Loss is listed
with “-”)
Net exposure hedging income
(Loss is listed with “-”)
Income from change of fair value
(Loss is listed with “-”)
Loss of credit impairment (Loss
328,289.79 -42,610.48
is listed with “-”)
Impairment loss on assets(Loss is
listed with “-”)
51
Income from assets disposal
(Loss is listed with “-”)
III. Operation profit (Loss is listed with
7,784,187.40 -1,427,721.22
“-”)
Add: Non-operating income 1,253,150.81 224,228.84
Less: Non-operating expense 1,462,822.69
IV. Total profit (Loss is listed with “-”) 7,574,515.52 -1,203,492.38
Less: Income tax expenses 1,637,455.56 19,647.32
V. Net profit (Net loss is listed with “-”) 5,937,059.96 -1,223,139.70
(i) Classify by business continuity
1.Continuous operating net profit
5,937,059.96 -1,223,139.70
(net loss listed with ‘-”)
2.Termination of net profit (net loss
listed with ‘-”)
(ii) Classify by ownership
1.Net profit attributable to
shareholders of parent company (net loss 4,862,298.90 -1,483,364.42
listed with ‘-”)
2.Minority shareholders’ gains and
1,074,761.06 260,224.72
losses (net loss listed with ‘-”)
VI. Net other comprehensive income
after taxation
Net other comprehensive income
attributable to owners of parent company
after taxation
(i) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss
1.Changes of the defined benefit
plans that re-measured
2.Other comprehensive income
under equity method that cannot be
transfer to gain/loss
3.Change of fair value of
investment in other equity instrument
4.Fair value change of
enterprise's credit risk
5. Other
(ii) Other comprehensive income
items which will be reclassified
subsequently to profit or loss
1.Other comprehensive income
under equity method that can transfer to
gain/loss
2.Change of fair value of other
debt investment
3.Amount of financial assets re-
classify to other comprehensive income
4.Credit impairment provision for
other debt investment
5.Cash flow hedging reserve
6.Translation differences arising
on translation of foreign currency
financial statements
7.Other
52
Net other comprehensive income
attributable to minority shareholders
after taxation
VII. Total comprehensive income 5,937,059.96 -1,223,139.70
Total comprehensive income
attributable to owners of parent 4,862,298.90 -1,483,364.42
Company
Total comprehensive income
1,074,761.06 260,224.72
attributable to minority shareholders
VIII. Earnings per share:
(i)Basic EPS 0.0071 -0.0027
(ii)Diluted EPS 0.0071 -0.0027
As for the enterprise combined under the same control, net profit of 0.00Yuan achieved by the merged party before combination
while 0.00 Yuan achieved last period.
Legal Representative: Wang Shenghong Person in charge of Accounting Works: Sun Longlong Person in charge of
Accounting Institution: She Hanxing
4. Profit Statement of Parent Company
Unit: RMB/CNY
Item Semi-annual of 2023 Semi-annual of 2022
I. Operation revenue 26,202,365.96 5,996,233.35
Less: Operation cost 23,417,894.55 5,911,047.94
Tax and surcharge 31,208.15 3,461.00
Sales expenses 120,346.23 208,571.68
Administration expenses 2,129,147.35 1,657,764.39
R&D expenses 694,172.50
Finance expenses -39,733.30 376.23
Including:Interest expenses
Interest income 43,606.56 8,757.31
Add: Other income 2,085.77 126,559.52
Investment income (Loss is listed
with “-”)
Including:Investment income
on affiliated company and joint venture
The termination of
income recognition for financial assets
measured by amortized cost(Loss is
listed with “-”)
Net exposure hedging income
(Loss is listed with “-”)
Income from change of fair value
(Loss is listed with “-”)
Loss of credit impairment (Loss
648,901.39 373,126.96
is listed with “-”)
Impairment loss on assets(Loss is
listed with “-”)
Income from assets disposal
(Loss is listed with “-”)
53
II. Operation profit(Loss is listed with “-
1,194,490.14 -1,979,473.91
”)
Add: Non-operating income 1,253,150.81
Less: Non-operating expense 1,452,347.65
III. Total profit (Total losses are listed
995,293.30 -1,979,473.91
with “-”)
Less: Income tax expenses 82,966.60
IV. Net profit (Net loss is listed with “-”) 912,326.70 -1,979,473.91
(i)Continuous operating net profit (net
912,326.70 -1,979,473.91
loss listed with ‘-”)
(ii)Termination of net profit (net loss
listed with ‘-”)
V. Net other comprehensive income after
taxation
(i) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss
1.Changes of the defined benefit
plans that re-measured
2.Other comprehensive income
under equity method that cannot be
transfer to gain/loss
3.Change of fair value of
investment in other equity instrument
4.Fair value change of
enterprise's credit risk
5. Other
(ii) Other comprehensive income
items which will be reclassified
subsequently to profit or loss
1.Other comprehensive income
under equity method that can transfer to
gain/loss
2.Change of fair value of other
debt investment
3.Amount of financial assets re-
classify to other comprehensive income
4.Credit impairment provision for
other debt investment
5.Cash flow hedging reserve
6.Translation differences arising
on translation of foreign currency
financial statements
7.Other
VI. Total comprehensive income 912,326.70 -1,979,473.91
VII. Earnings per share:
(i)Basic EPS
(ii)Diluted EPS
5. Consolidated Cash Flow Statement
Unit: RMB/CNY
Item Semi-annual of 2023 Semi-annual of 2022
I. Cash flows arising from operating
54
activities:
Cash received from selling
commodities and providing labor 428,649,719.53 121,516,272.43
services
Net increase of customer deposit and
interbank deposit
Net increase of loan from central bank
Net increase of capital borrowed from
other financial institution
Cash received from original insurance
contract fee
Net cash received from reinsurance
business
Net increase of insured savings and
investment
Cash received from interest,
commission charge and commission
Net increase of capital borrowed
Net increase of capital from
repurchase business
Net cash received by agents in sale
and purchase of securities
Write-back of tax received 12,115.99
Other cash received concerning
13,328,115.67 8,729,547.22
operating activities
Subtotal of cash in-flow arising from
441,977,835.20 130,257,935.64
operation activity
Cash paid for purchasing commodities
464,456,329.67 121,691,508.77
and receiving labor service
Net increase of customer loans and
advances
Net increase of deposits in central
bank and interbank
Cash paid for original insurance
contract compensation
Net increase of capital lent
Cash paid for interest, handling charge
and commission
Cash paid for bonus of guarantee slip
Cash paid to/for staff 3,788,625.70 4,158,381.02
Taxes paid 3,747,529.15 606,498.30
Other cash paid concerning operating
5,349,724.34 13,081,024.07
activities
Subtotal of cash out-flow arising from
477,342,208.86 139,537,412.16
operation activity
Net cash flow arising from operating
-35,364,373.66 -9,279,476.52
activities
II. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
55
Net cash received from disposal of
fixed, intangible and other long-term
assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activities
Subtotal of cash in-flow arising from
investment activity
Cash paid for purchasing fixed,
36,959.63
intangible and other long-term assets
Cash paid for investment
Net increase of mortgaged loans
Net cash received from subsidiaries
and other units obtained
Other cash paid concerning investing
activities
Subtotal of cash out-flow arising from
36,959.63
investment activity
Net cash flow arising from investment
-36,959.63
activities
III. Cash flows arising from financing
activities:
Cash received from absorbing
investment
Including: Cash received from
absorbing minority shareholders’
investment by subsidiaries
Cash received from loans
Other cash received concerning
financing activities
Subtotal of cash in-flow arising from
financing activity
Cash paid for settling debts
Cash paid for dividend and profit
distributing or interest paying
Including: Dividend and profit of
minority shareholder paid by subsidiaries
Other cash paid concerning financing
245,979.70
activities
Subtotal of cash out-flow arising from
245,979.70
financing activity
Net cash flow arising from financing
-245,979.70
activities
IV. Influence on cash and cash
equivalents due to fluctuation in
exchange rate
V. Net increase of cash and cash
-35,364,373.66 -9,562,415.85
equivalent
Add: Balance of cash and cash
50,922,869.35 33,246,957.92
equivalents at the period -begin
VI. Balance of cash and cash equivalents
15,558,495.69 23,684,542.07
at the period -end
56
6. Cash Flow Statement of Parent Company
Unit: RMB/CNY
Item Semi-annual of 2023 Semi-annual of 2022
I. Cash flows arising from operating
activities:
Cash received from selling
commodities and providing labor 238,002,296.41 10,765,611.52
services
Write-back of tax received 3,514.92
Other cash received concerning
operating activities 89,429,332.20 13,130,352.74
Subtotal of cash inflow arising from
operating activities 327,431,628.61 23,899,479.18
Cash paid for purchasing
commodities and receiving labor service 128,040,000.00 4,165,593.61
Cash paid to/for staff and workers 648,889.48 1,015,793.35
Taxes paid 1,447,813.31 50,875.97
Other cash paid concerning
operating activities 155,328,861.74 25,816,755.85
Subtotal of cash outflow arising from
operating activities 285,465,564.53 31,049,018.78
Net cash flow arising from operating
41,966,064.08 -7,149,539.60
activities
II. Cash flows arising from investing
activities:
Cash received from recovering
investment
Cash received from investment
income
Net cash received from disposal of
fixed, intangible and other long-term
assets
Net cash received from disposal of
subsidiaries and other units
Other cash received concerning
investing activities
Subtotal of cash inflow from investing
activities
Cash paid for purchasing fixed,
intangible and other long-term assets 4,900.97
Cash paid for investment 75,000,000.00
Net cash received from subsidiaries
and other units obtained
Other cash paid concerning
investing activities
57
Subtotal of cash outflow from investing
activities 75,000,000.00 4,900.97
Net cash flow arising from investment
-75,000,000.00 -4,900.97
activities
III. Cash flows arising from financing
activities:
Cash received from absorbing
investment
Cash received from loans
Other cash received concerning
financing activities
Subtotal of cash inflow from financing
activities
Cash paid for settling debts
Cash paid for dividend and profit
distributing or interest paying
Other cash paid concerning
financing activities 174,936.00
Subtotal of cash outflow from financing
activities 174,936.00
Net cash flow arising from financing
-174,936.00
activities
IV. Influence on cash and cash
equivalents due to fluctuation in
exchange rate
V. Net increase of cash and cash
equivalents -33,033,935.92 -7,329,376.57
Add: Balance of cash and cash
equivalents at the period -begin 40,403,702.70 7,613,043.60
VI. Balance of cash and cash equivalents
at the period -end 7,369,766.78 283,667.03
7. Statement of Changes in Owners’ Equity (Consolidated)
Current Amount
Unit: RMB/CNY
Semi-annual of 2023
Owners’ equity attributable to the parent Company
Other equity Oth
Less Tota
instrument Capi er Surp Prov
: Rea Min l
Item Shar Perp tal com lus isio Reta ority own
Inve sona
e Pref etua publ preh publ n of ined Oth Subt inter er’ s
ntor ble
capi erre l Oth ic ensi ic gene prof er otal ests equi
y rese
tal d capi er rese ve rese ral it ty
shar rve
stoc tal rve inco rve risk
es
k secu me
58
ritie
s
I. The ending -
689, 778, 32,6 290, 14,7 304,
balance of 1,21
184, 824, 73,2 129, 18,2 847,
the previous 0,55
933. 470. 27.0 318. 31.0 549.
3,31
year 00 95 1 51 5 56
2.45
Add:
Changes of
accounting
policy
Error
correction of
the last
period
Enterpri
se combine
under the
same control
Other
II. The
beginning -
689, 778, 32,6 290, 14,7 304,
1,21
balance of 184, 824, 73,2 129, 18,2 847,
0,55
933. 470. 27.0 318. 31.0 549.
the current 3,31
00 95 1 51 5 56
year 2.45
III. Increase/
Decrease in
the period 4,86 4,86 1,07 5,93
(Decrease is 2,29 2,29 4,76 7,05
8.90 8.90 1.06 9.96
listed with “-
”)
(i) Total
4,86 4,86 1,07 5,93
comprehensi 2,29 2,29 4,76 7,05
ve income 8.90 8.90 1.06 9.96
(ii) Owners’
devoted and
decreased
capital
1.Common
shares
invested by
shareholders
2. Capital
invested by
holders of
other equity
59
instruments
3. Amount
reckoned
into owners
equity with
share-based
payment
4. Other
(iii) Profit
distribution
1.
Withdrawal
of surplus
reserves
2.
Withdrawal
of general
risk
provisions
3.
Distribution
for owners
(or
shareholders)
4. Other
(iv) Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed to
capital (share
capital)
2. Surplus
reserves
conversed to
capital (share
capital)
3.
Remedying
loss with
surplus
60
reserve
4. Carry-over
retained
earnings
from the
defined
benefit plans
5. Carry-over
retained
earnings
from other
comprehensi
ve income
6. Other
(v)
Reasonable
reserve
1.
Withdrawal
in the report
period
2. Usage in
the report
period
(vi) Others
-
689, 778, 32,6 294, 15,7 310,
IV. Balance 1,20
184, 824, 73,2 991, 92,9 784,
at the end of 5,69
933. 470. 27.0 617. 92.1 609.
the period 1,01
00 95 1 41 1 52
3.55
Amount of the previous period
Unit: RMB/CNY
Semi-annual of 2022
Owners’ equity attributable to the parent Company
Other equity
instrument Oth
Less Tota
Perp Capi er Surp Prov Min l
: Rea
Item Shar etua tal com lus isio Reta ority own
Inve sona
e Pref l publ preh publ n of ined Oth Subt inter er’ s
ntor ble
capi erre capi Oth ic ensi ic gene prof er otal ests equi
y rese
tal d tal er rese ve rese ral it ty
shar rve
stoc secu rve inco rve risk
es
k ritie me
s
I. The ending 551, 627, 32,6 - 8,91 15,0 24,0
balance of 347, 834, 73,2 1,20 8,53 84,1 02,7
61
the previous 947. 297. 27.0 2,93 8.16 95.5 33.6
year 00 85 1 6,93 2 8
3.70
Add:
Changes of
accounting
policy
Error
correction of
the last
period
Enterpri
se combine
under the
same control
Other
II. The
beginning -
551, 627, 32,6 15,0 24,0
1,20 8,91
balance of 347, 834, 73,2 84,1 02,7
2,93 8,53
947. 297. 27.0 95.5 33.6
the current 6,93 8.16
00 85 1 2 8
year 3.70
III. Increase/
Decrease in
- - -
the period 260,
1,48 1,48 1,22
(Decrease is 224.
3,36 3,36 3,13
72
listed with “- 4.42 4.42 9.70
”)
(i) Total - - -
260,
comprehensi 1,48 1,48 1,22
224.
3,36 3,36 3,13
ve income 72
4.42 4.42 9.70
(ii) Owners’
devoted and
decreased
capital
1.Common
shares
invested by
shareholders
2. Capital
invested by
holders of
other equity
instruments
3. Amount
reckoned
62
into owners
equity with
share-based
payment
4. Other
(iii) Profit
distribution
1.
Withdrawal
of surplus
reserves
2.
Withdrawal
of general
risk
provisions
3.
Distribution
for owners
(or
shareholders)
4. Other
(iv) Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed to
capital (share
capital)
2. Surplus
reserves
conversed to
capital (share
capital)
3.
Remedying
loss with
surplus
reserve
4. Carry-over
retained
63
earnings
from the
defined
benefit plans
5. Carry-over
retained
earnings
from other
comprehensi
ve income
6. Other
(v)
Reasonable
reserve
1.
Withdrawal
in the report
period
2. Usage in
the report
period
(vi) Others
IV. Balance -
551, 627, 32,6 15,3 22,7
1,20 7,43
at the end of 347, 834, 73,2 44,4 79,5
4,42 5,17
947. 297. 27.0 20.2 93.9
the period 0,29 3.74
00 85 1 4 8
8.12
8. Statement of Changes in Owners’ Equity (Parent Company)
Current Amount
Unit: RMB/CNY
Semi-annual of 2023
Other equity instrument Other
Capita Surplu
Perpet Less: compr Reaso Total
Item l s Retain
Share ual Invent ehensi nable owner
Prefer public public ed Other
capital capital Other ory ve reserv ’s
red reserv reserv profit
securit shares incom e equity
stock e e
ies e
I. The ending
-
balance of 689,1 778,8 32,67 285,3
1,215,
the previous 84,93 24,47 3,227. 00,91
381,7
3.00 0.95 01 5.17
year 15.79
Add:
Changes of
accounting
64
policy
Error
correction of
the last
period
Other
II. The
beginning -
689,1 778,8 32,67 285,3
balance of 1,215,
84,93 24,47 3,227. 00,91
381,7
the current 3.00 0.95 01 5.17
15.79
year
III. Increase/
Decrease in
the period
912,3 912,3
(Decrease is 26.70 26.70
listed with “-
”)
(i) Total
comprehensi 912,3 912,3
26.70 26.70
ve income
(ii) Owners’
devoted and
decreased
capital
1.Common
shares
invested by
shareholders
2. Capital
invested by
holders of
other equity
instruments
3. Amount
reckoned
into owners
equity with
share-based
payment
4. Other
(iii) Profit
distribution
1.
Withdrawal
65
of surplus
reserves
2.
Distribution
for owners
(or
shareholders)
3. Other
(iv) Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed to
capital (share
capital)
2. Surplus
reserves
conversed to
capital (share
capital)
3.
Remedying
loss with
surplus
reserve
4. Carry-over
retained
earnings
from the
defined
benefit plans
5. Carry-over
retained
earnings
from other
comprehensi
ve income
6. Other
(v)
Reasonable
reserve
66
1.
Withdrawal
in the report
period
2. Usage in
the report
period
(vi) Others
IV. Balance -
689,1 778,8 32,67 286,2
at the end of 1,214,
84,93 24,47 3,227. 13,24
469,3
the period 3.00 0.95 01 1.87
89.09
Amount of the previous period
Unit: RMB/CNY
Semi-annual of 2022
Other equity instrument Other
Capita Surplu
Perpet Less: compr Reaso Total
Item l s Retain
Share ual Invent ehensi nable owner
Prefer public public ed Other
capital capital Other ory ve reserv ’s
red reserv reserv profit
securit shares incom e equity
stock e e
ies e
I. The ending
-
balance of 551,3 627,8 32,67 2,847,
1,209,
the previous 47,94 34,29 3,227. 892.0
007,5
7.00 7.85 01 8
year 79.78
Add:
Changes of
accounting
policy
Error
correction of
the last
period
Other
II. The
beginning -
551,3 627,8 32,67 2,847,
balance of 1,209,
47,94 34,29 3,227. 892.0
007,5
the current 7.00 7.85 01 8
79.78
year
III. Increase/
Decrease in
- -
the period
1,979, 1,979,
(Decrease is 473.9 473.9
listed with “- 1 1
”)
67
(i) Total - -
comprehensi 1,979, 1,979,
473.9 473.9
ve income
1 1
(ii) Owners’
devoted and
decreased
capital
1.Common
shares
invested by
shareholders
2. Capital
invested by
holders of
other equity
instruments
3. Amount
reckoned
into owners
equity with
share-based
payment
4. Other
(iii) Profit
distribution
1.
Withdrawal
of surplus
reserves
2.
Distribution
for owners
(or
shareholders)
3. Other
(iv) Carrying
forward
internal
owners’
equity
1. Capital
reserves
conversed to
capital (share
68
capital)
2. Surplus
reserves
conversed to
capital (share
capital)
3.
Remedying
loss with
surplus
reserve
4. Carry-over
retained
earnings
from the
defined
benefit plans
5. Carry-over
retained
earnings
from other
comprehensi
ve income
6. Other
(v)
Reasonable
reserve
1.
Withdrawal
in the report
period
2. Usage in
the report
period
(vi) Others
-
IV. Balance 551,3 627,8 32,67
1,210, 868,4
at the end of 47,94 34,29 3,227.
987,0 18.17
the period 7.00 7.85 01
53.69
III. Company Profile
1. History and basic information
According to the Approval Document SFBF (1991) No. 888 issued by the People’s Government of Shenzhen,
69
Shenzhen China Bicycle Company (Holdings) Limited (hereinafter referred to as the CBC) was reincorporated as
the company limited by shares in November 1991. On 28 December 1991, upon the Approval Document
SRYFZ(1991) No. 119 issued by Shenzhen Special Economic Zone Branch of the People’s Bank of China, the
Company got listed on Shenzhen Stock Exchange. Registered of the Company amounted as 689,184,933.00 Yuan.
Legal Representative: Wang Shenghong。
Location: No. 3008, Buxin Road, Luohu District, Shenzhen
Certificate for Uniform Social Credit Code:914403006188304524.
2. Business nature and main operation activities
The Company's industry: machinery manufacturing industry
Main business activities: general business items: Research & development of the bicycles, electric bicycles,
electric motorcycles, motorcycles, electric tricycles, electric four-wheeler, children's bicycles, exercise bikes,
sports equipment, mechanical products, toys, electric toys, electronic products, new energy equipment and
storage equipment (lithium batteries, batteries, etc.), household appliances and spare parts, and electronic
components; wholesale, retail, import and export and related supporting business of above-mentioned products
(excluding commodities subject to state trade management, handling the application according to the relevant
national regulations for commodities involving quotas, license management and other special provisions and
management,); fine chemical products (excluding dangerous goods), wholesale and retail of carbon fiber
composite materials; technology development of computer software, transfer of self-developed technological
achievements, and providing relevant technical information consultation; own property leasing; property
management. (The above projects do not involve special administrative measures for the implementation access
of national regulations, and those involving restricted projects and pre-existing administrative licenses must
obtain the pre-existing administrative licensing documents before operation.) ; jewelry wholesales; jewelry
retail and manufacturing, management services of the supply chain. (conducts business activities in line with the
law independently except for the items that must be approved by laws), Licensed items: manufacturing the
bicycles, electric bicycles, electric motorcycles, motorcycles, electric tricycles, electric four-wheeler, children's
bicycles, exercise bikes, sports equipment, mechanical products, toys, electric toys, electronic products, new
energy equipment and storage equipment (lithium batteries, batteries, etc.), household appliances and spare
parts, and electronic components. (The above projects do not involve special administrative measures for the
implementation access of national regulations, and those involving restricted projects and pre-existing
administrative licenses must obtain the pre-existing administrative licensing documents before operation.)
Main products or services currently offered are: EMMELLE bicycles, electrical bicycles, lithium battery material
and gold jewelry.
70
3. Release of the financial report
The Financial Report was approved to report at the 6th Session of 11th BOD of CBC on 25 August 2023.
4.Scope of the consolidate statement
The CBC has two subsidiaries and one sub-subsdiary included in the scope of consolidated financial statement,
refer to the Note VIII-1.
IV. Compilation Basis of Financial Statement
1. Compilation Basis
The financial statement is prepared based on continuing operation assumptions, and according to actual
occurrence, in line with relevant accounting rules and follow important accounting policy and estimation.
2. Going concern
During the 12 months since end of the reporting period, there are no factors that cast significant doubt on the
sustainability and other matters that have affected the Company.
V. Main accounting policy and Accounting Estimate
Tips for specific accounting policy and estimate:
Nil
1. Declaration on compliance with accounting standards for business enterprise
The financial statement prepared by the CBC Company, based on follow compilation basis, is comply with the
requirement of new accounting standards for business enterprise issued by Ministry of Finance and its application
guide, commentate as well as other regulations (collectively referred to as Accounting Standards for Business
Enterprise), which is reflect a real and truth financial status of the Company, as well as operation results and cash
flow situations.
Furthermore, the statement has reference to the listing and disclosure requirement from “Rules Governing the
Disclosure of Information for Enterprise with Stock Listed No.15-general regulation of financial report” (2014
Revised) and “Notice on Implementation of New Accounting Standards for Listed Companies” (KJBH (2018) No.
453)
71
2. Accounting period
Calendar year is the accounting period for the CBC, which is starting from 1 January to 31 December.
3. Business cycles
The business period for the Company, which is the Gregorian calendar starting from 1 January to 31 December
4. Book-keeping currency
The CBC takes RMB as the standard currency for bookkeeping.
5. Accounting treatment for business combinations under the same control and those not under the same
control
(1) Accounting treatment for business combinations under the same control and those not under the same control
For a business merger that is under the same control and is achieved by the CBC through one single transaction or
multiple transactions, assets and liabilities obtained from that business combination shall be measured at their
book value at the combination date as recorded by the party being absorbed in the consolidated financial statement
of ultimate controlling party. Capital reserve shall be adjusted as per the difference between the book value of
obtained net assets and the book value of paid consolidated consideration (or the nominal value of the issued
shares) of the Company; retained earnings shall be adjusted if the capital reserve is not sufficient for offset.
(2) Accounting treatment for Enterprise combine not under the same control
The CBC will validate the difference that the combined cost is more than the fair value of the net identifiable
assets gained from the acquiree on the acquisition date as goodwill; where the combined cost is less than the fair
value of net identifiable assets gained from the acquiree during business combination, the fair value and combined
cost of various identifiable assets, liabilities and contingent liabilities from the acquiree must be rechecked. Where
the combined cost is, after the recheck, still less than the fair value of net identifiable assets gained from the
acquiree during business combination, the difference shall be charged to current profits and losses.
As for business combination not under common control and realized through multiple transactions and by steps,
the CBC shall make accounting treatment as follows:
1) Adjust the initial investment cost of long-term equity investments. As for stock equities held before the
acquisition date accounted according to the equity method, re-measurement is carried out according to the fair
value of the equity on the acquisition date. The balance between the fair value and the book value is included in
the current investment income. If the acquiree’s stock equities held before the acquisition date involves changes of
other comprehensive incomes and other owner's equities under accounting with the equity method, the balance
between the fair value and the book value is included in the current investment income on the acquisition date,
excluding other comprehensive incomes incurred by changes due to re-measurement of net liabilities or net assets
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of the defined benefit plan.
2) Confirm the goodwill (or include the amount in the profits and losses). The initial investment cost of long-term
equity investments adjusted in step 1 is compared with the fair value of net identifiable assets of the subsidiary
shared on the acquisition date. If the former is greater than the latter, the balance is confirmed as goodwill; if the
former is less than the latter, the balance is included in the current profits and losses.
Loss of control of a subsidiary in multiple transactions in which it disposes equity interests of its subsidiary in
stages
(1)In determining whether to account for the multiple transactions as a single transaction
A parent shall consider all the terms and conditions of the transactions and their economic effects. One or more of
the following may indicate that the parent should account for the multiple arrangements as a single transaction:
1) Arrangements are entered into at the same time or in contemplation of each other;
2) Arrangements work together to achieve an overall commercial effect;
3) The occurrence of one arrangement is dependent on the occurrence of at least one other arrangement;
4)One arrangement considered on its own is not economically justified, but it is economically justified when
considered together with other arrangements.
(2)Accounting treatment for each of the multiple transactions forming part of a bundled transactions which
eventually results in loss of control the subsidiary during disposal of its subsidiary in stages
If each of the multiple transactions forms part of a bundled transactions which eventually results in loss of control
the subsidiary, these multiple transactions should be accounted for as a single transaction. In the consolidated
financial statements, the difference between the consideration received and the corresponding percentage of the
subsidiary’s net assets in each transaction prior to the loss of control shall be recognized in other comprehensive
income and transferred to the profit or loss when the parent eventually loses control of the subsidiary.
The remaining equity investment shall be re-measured at its fair value in the consolidated financial statements at
the date when control is lost. The difference between the total amount of consideration received from the
transaction that resulted in the loss of control and the fair value of the remaining equity investment and the share
of net assets of the former subsidiary calculated continuously from the acquisition date or combination date based
on the previous shareholding proportion, shall be recognized as investment income for the current period when
control is lost. The amount previously recognized in other comprehensive income in relation to the former
subsidiary’s equity investment should be transferred to investment income for the current period when control is
lost
(3)Accounting treatment for each of the multiple transactions NOT forming part of a bundled transactions which
eventually results in loss of control the subsidiary during disposal of its subsidiary in stages
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If the Company doesn't lose control of investee, the difference between the amount of the consideration received
and the corresponding portion of net assets of the subsidiary shall be adjusted to the capital reserve (capital /equity
premium) in the consolidated financial statements.
If the Company loses control of investee, the remaining equity investment shall be re-measured at its fair value in
the consolidated financial statements at the date when control is lost. The difference between the total amount of
consideration received from the transaction that resulted in the loss of control and the fair value of the remaining
equity investment and the share of net assets of the former subsidiary calculated continuously from the acquisition
date or combination date based on the previous shareholding percentage, shall be recognized as investment
income for the current period when control is lost. The amount previously recognized in other comprehensive
income in relation to the former subsidiary’s equity investment should be transferred to investment income for the
current period when control is lost.
6. Compilation method of consolidated financial statement
Consolidated financial statements are prepared by the Company in accordance with Accounting Standard for
Business Enterprise No. 33-Consolidated Financial Statements and based on financial statements of parent
company and its subsidiaries and other related information.
When consolidating the financial statements, the following items are eliminated: internal equity investment and
owners’ equity of subsidiaries, proceeds on internal investments and profit distribution of subsidiaries, internal
transactions, internal debts and claim. The accounting policies adopted by subsidiaries are the same as parent
company.
7. Classification of joint venture arrangement and accounting treatment for joint control
(1) Recognition and classification of joint venture arrangement
Joint arrangement refers to an arrangement controlled by two or more than two participants. Joint venture
arrangement has the following characteristics: 1) Each participant is bound by the arrangement; 2) Two or more
participants carry out joint control on implementation of the arrangement. Any participant cannot control the
arrangement independently. Any participant for joint control can stop other participants or participant
combinations to independently control the arrangement.
Joint control refers to the sharing of control over certain arrangement under related agreements, and related
activities of the arrangement must be determined only when obtaining the unanimous consent of the parties
sharing control.
Joint venture arrangement is classified in to joint operation and joint venture. Joint operation refers to an
arrangement that a joint party enjoys assets related to the arrangement and bears liabilities related to the
arrangement. Joint venture refers to an arrangement that a joint party only has the power governing net assets of
the arrangement.
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(2) Accounting treatment of joint venture arrangement
Joint venture participants should confirm the following items related to interest shares in joint venture and carry
out accounting settlement according to relevant provisions of the Accounting Standards for Business Enterprises:
1) confirm the assets held separately and confirm the assets held jointly based on shares; 2) confirm the liabilities
borne separately and confirm the liabilities borne jointly based on shares; 3) confirm the income incurred after
selling its shares in joint venture output; 4) confirm the income after selling the joint venture outputs based on
shares; 5) confirm the expenses incurred separately and confirm the expenses incurred in joint venture based on
shares.
Joint venture participants should carry out accounting settlement for investments of the joint venture according to
provisions of Accounting Standards for Business Enterprises No.2–Long-term Equity Investments.
8. Recognition of cash and cash equivalents
Cash in cash flow statement means the inventory cash and savings available for use anytime. Cash equivalents
refer to the short-term (generally due within three months since the date of purchase) highly liquid investments
that are readily convertible into known amounts of cash and that are subject to an insignificant risk of change in
value.
9. Foreign currency transaction and financial statement conversion
(1)Conversion for foreign currency transaction
When initially recognized, the foreign currency for the transaction shall be converted into CNY amount according
to the spot exchange rate on the date of transaction. For the foreign currency monetary items, conversion must be
based on the spot exchange rate on the balance sheet date and the exchange difference incurred from different
exchange rates, except for the exchange difference of principal and interest incurred due to foreign currency loan
related to acquisition or construction of assets that qualify for capitalization, shall be charged to current profits and
losses; foreign currency non-monetary items measured with historical cost are still converted as per the spot
exchange rate on the transaction date and keep the RMB amount unchanged; foreign currency non-monetary items
measured with fair value shall be converted as per the spot exchange rate on the date of determining the fair value
and the difference shall be charged to current profits and losses or other comprehensive income.
(2)Conversion of financial statements presented in foreign currencies
The asset and liability items in the balance sheet shall be converted at the spot exchange rate on the balance
sheet date; the owner’s equity items, except for the items of “Retained profit”, shall be converted at the spot
exchange rate on the transaction date; the income and expenditure items in the profit statement shall be
converted at the spot exchange rate on the transaction date. The translation difference of foreign financial
statements conducted as above is recognized as other comprehensive incomes.
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10. Financial instruments
(1) Recognition and termination for financial instrument
Financial assets or financial liabilities are recognized when the CBC becomes a party to the contractual provisions
of the instrument.
When buying and selling financial assets in a conventional manner, recognize and derecognize them according to
the accounting of the trading day. Buying and selling financial assets in a conventional manner refers to the
collection or delivery of financial assets in accordance with the contract terms and within the period prescribed by
regulations or prevailing practices. Trading day refers to the date when the CBC promises to buy or sell financial
assets.
When meeting the following conditions, a financial asset (or part of a financial asset, or part of a group of similar
financial assets) need terminate recognition, i.e. to write off from its account and balance sheet:
1) The right to receive cash flows from financial assets expires;
2) The right to receive cash flows of financial assets is transferred, or assume the obligation to pay the full amount
of cash flows received to a third party in a timely manner under the “handover agreement”; and (a) virtually
transferred almost all risks and rewards of the ownership of financial assets, or (b) although virtually neither
transferred nor retained almost all risks and rewards of the ownership of financial assets, abandoned the control of
the financial assets.
(2) Classification and measurement of financial assets
The CBC’s financial assets are classified as financial assets measured at amortized cost, financial assets measured
at fair value and whose changes are included in other comprehensive income, and financial assets measured at fair
value and whose changes are included in the current profit and loss according to the CBC’s business model for
managing financial assets and the contractual cash flow characteristics of financial assets at initial recognition.
The subsequent measurement of financial assets depends on their classification.
The CBC’s classification of financial assets is based on CBC’s business model for managing financial assets
and the cash flow characteristics of financial assets.
1)Financial assets measured at amortized cost
Financial assets that meet the following conditions at the same time are classified as financial assets measured at
amortized cost: the Company’s business model for managing this financial asset is to collect contractual cash
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flows; the contract terms of the financial asset stipulate that the cash flow generated on a specific date is only the
payment of principal and interest based on the outstanding principal amount. For such financial assets, the actual
interest rate method is used for subsequent measurement based on amortized cost, and the gains or losses arising
from amortization or impairment are included in the current profit and loss.
2)Debt instrument investments measured at fair value and whose changes are included in other comprehensive
income
Financial assets that meet the following conditions at the same time are classified as financial assets measured
at fair value and whose changes are included in other comprehensive income: the Company’s business model
for managing this financial asset is to both collect contractual cash flows and sell the financial assets; the
contract terms of the financial asset stipulate that the cash flow generated on a specific date is only for the
payment of principal and interest based on the outstanding principal amount. For such financial assets, fair
value is used for subsequent measurement. The discount or premium is amortized by using the actual interest
method and is recognized as interest income or expenses. Except that the impairment loss and the exchange
difference of foreign currency monetary financial assets are recognized as current gains and losses, changes in
the fair value of such financial assets are recognized as other comprehensive income, until the financial asset is
derecognized, its cumulative gains or losses are transferred to the current profit and loss. Interest income related
to such financial assets is included in the current profit and loss.
3)Equity instrument investments measured at fair value and whose changes are included in other comprehensive
income
The CBC irrevocably chooses to designate some non-trading equity instrument investments as financial assets
measured at fair value and whose changes are included in other comprehensive income. Only relevant dividend
income is included in the current profit and loss, and changes in fair value are recognized as other comprehensive
income, until the financial asset is terminate recognition, its accumulated gains or losses are transferred to retained
earnings.
4) Financial assets measured at fair value and whose changes are included in the current profit and loss
Financial assets except for above financial assets measured at amortized cost and financial assets measured at fair
value and whose changes are included in other comprehensive income are classified as financial assets measured
at fair value and whose changes are included in the current profit and loss. During initial recognition, in order to
eliminate or significantly reduce accounting mismatches, financial assets can be designated as financial assets
measured at fair value and whose changes included in the current profit and loss. For such financial assets, fair
value is used for subsequent measurement, and all changes in fair value are included in the current profit and loss.
When and only when the Company changes its business model for managing financial assets, it will reclassify all
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affected related financial assets. For financial assets measured at fair value and whose changes are included in the
current profit or loss, the related transaction costs are directly included in the current profit and loss, and the
related transaction costs of other types of financial assets are included in the initial recognition amount.
(3) Classification and measurement of financial liabilities
The CBC’s financial liabilities are classified as financial liabilities measured at amortized cost and financial
liabilities measured at fair value and whose changes are included in the current profit and loss at initial recognition.
Financial liabilities that meet one of the following conditions can be designated as financial liabilities measured at
fair value and whose changes are included in current profit or loss during initial measurement: (1) This
designation can eliminate or significantly reduce accounting mismatches; (2) According to the group risk
management or investment strategies stated in official written documents, management and performance
evaluation of financial liability portfolios or financial assets and financial liability portfolios are conducted based
on fair value, and are reported to key management personnel within the group on this basis; (3) The financial
liability includes embedded derivatives that need to be split separately.
The CBC determines the classification of financial liabilities at initial recognition. For financial liabilities that are
measured at fair value and whose changes are included in the current profit or loss, the related transaction costs
are directly included in the current profit and loss, and the related transaction costs of other financial liabilities are
included in its initial recognition amount.
The subsequent measurement of financial liabilities depends on their classification:
1)Financial liabilities measured at amortized cost
For such financial liabilities, adopt actual interest rate method and make subsequent measurements based on
amortized costs.
2)Financial liabilities measured at fair value and whose changes are included in the current profit and loss
Financial liabilities that are measured at fair value and whose changes are included in the current profit or loss
include trading financial liabilities (including derivatives that are financial liabilities) and financial liabilities
designated to be measured at fair value at the initial recognition and whose changes are included in the current
profit or loss.
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(4) Financial instruments offset
If the following conditions are met at the same time, the financial assets and financial liabilities are listed in the
balance sheet with the net amount after mutual offset: legal right to offset the confirmed amount, and this legal
right is currently executable; Net settlement, or simultaneous realization of the financial assets and liquidation of
the financial liabilities.
(5)Impairment of financial assets
The CBC recognizes the loss provisions on the basis of expected credit losses for financial assets measured at
amortized cost, debt instrument investments measured at fair value and whose changes are included in other
comprehensive income and financial guarantee contracts. Credit loss refers to the difference between all
contractual cash flows receivable under the contract and discounted according to original actual interest rate by
the CBC and all expected receivable cash flows, that is, the present value of all cash shortages.
The CBC considers all reasonable and evidence-based information, including forward-looking information, and
estimates the expected credit loss of financial assets measured at amortized cost and financial assets measured at
fair value and whose changes are included in other comprehensive income (debt instruments) in a single or
combined manner.
1)General model of expected credit loss
If the credit risk of the financial instrument has increased significantly since the initial recognition, the CBC
measures its loss provisions in accordance with the amount equivalent to the expected credit loss of the
financial instrument for the entire duration; if the credit risk of the financial instrument has not significantly
increased since the initial recognition, the CBC measures its loss provisions in accordance with the amount
equivalent to the expected credit loss of the financial instrument in the next 12 months. The resulting increased
or reversed amount of the loss provisions is included in the current profit and loss as an impairment loss or gain.
For the CBC’s specific assessment of credit risk, please see details in Note IX. Risks Related to Financial
Instruments”.
Generally, the CBC believes that the credit risk of the financial instrument has significantly increased when it
exceeds 30 days after the due date, unless there is concrete evidence that the credit risk of the financial instrument
has not increased significantly since initial recognition.
Specifically, the Company divides the process of credit impairment of financial instruments of which no credit
impairment has occurred at the time of purchase or origin into three stages. There are different accounting
treatment methods for the impairment of financial instruments at different stages:
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Stage one: Credit risk has not increased significantly since initial recognition
For a financial instrument at this stage, the enterprise should measure the loss provisions according to the
expected credit losses in the next 12 months, and calculate the interest income based on its book balance (that is,
without deducting provisions for impairment) and the actual interest rate (if the instrument is a financial asset, the
same below).
Stage two: Credit risk has increased significantly since initial recognition but no credit impairment has occurred
For a financial instrument at this stage, the enterprise should measure the loss provisions according to the
expected credit loss of the instrument for its entire duration, and calculate the interest income based on its book
balance and actual interest rate.
Stage three: Credit impairment occurs after initial recognition
For a financial instrument at this stage, the enterprise should measure the loss provisions based on the expected
credit losses of the instrument for its entire duration, but the calculation of interest income is different from the
financial assets at the previous two stages. For financial assets that have suffered credit impairment, the enterprise
should calculate interest income based on its amortized cost (book balance minus the provisions for impairment,
i.e., book value) and the actual interest rate.
For financial assets that have suffered credit impairment at the time of purchase or origin, the enterprise should
only recognize changes in expected credit losses for the entire duration after initial recognition as loss provisions,
and calculate the interest income based on its amortized cost and credit-adjusted actual interest rate.
2) The CBC chooses not to compare the financial instrument with lower credit risk on the balance sheet date with
its credit risk at initial recognition, but directly makes the assumption that the credit risk of the instrument has not
increased significantly since the initial recognition.
If the enterprise confirms that the default risk of financial instruments is low, the borrower has a strong ability to
fulfill its contractual cash flow obligations in the short term, and even if there are adverse changes in the economic
situation and operating environment in a longer period of time, it will not necessarily reduce the borrower’s ability
to fulfill its contractual cash flow obligations, then the financial instrument can be considered to have lower credit
risk.
3)Account receivable and lease receivables
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The CBC adopts the simplified model of expected credit loss for accounts receivables specified in “Accounting
Standards for Business Enterprises No.14 - Revenue” and without containing significant financing components
(including the case that the financing components in contracts that do not exceed one year are not considered
according to the standards), that is, always measures their loss provisions according to the amount of expected
credit loss during the entire duration.
The CBC makes accounting policy choices for the receivables containing significant financing components and
the lease receivables specified in “Accounting Standards for Business Enterprises No.21 - Leases”, and chooses to
adopt the simplified model of expected credit losses, that is, to measure the loss provisions in accordance with the
amount of expected credit losses throughout the entire duration.
(6) Transfer of financial assets
Where the CBC has transferred almost all the risks and rewards in the ownership of the financial asset to the
transferee, the recognition of the financial assets shall be terminated; where almost all risks and rewards in the
ownership of a financial asset are retained, the recognition of the financial assets are not terminated.
If the CBC neither transfers nor retains substantially all the risks and rewards of ownership of a financial asset, it
shall be accounted for as follows: the financial asset should be terminated if the Group waives control over the
asset; it recognizes the financial asset to the extent of its continuing involvement in the transferred financial asset
and recognizes an associated liability if the Group does not waives control over the asset.
If the transferred financial assets continue to be involved by providing financial guarantee, the assets continue to
be involved shall be recognized according to the lower of the book value of the financial assets and the amount of
financial guarantee. The financial guarantee amount means the maximum amount of consideration received which
will be required to be repaid.
The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-
Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”
Nil
11.Note receivable
The Group adopts the simplified model of expected credit loss for the accounts receivables specified in
“Accounting Standards for Business Enterprises No.14 - Revenue” and without containing significant financing
components (including the case that the financing components in contracts that do not exceed one year are not
considered according to the standards), that is, always measures their loss provisions according to the amount of
expected credit loss during the entire duration, and the resulting increased or reversed amount of the loss provision
is included in the current profit and loss as an impairment loss or gain. The accrual method is as follows:
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The CBC divides the bills receivable into two types, i.e. bank acceptance bills and commercial acceptance bills
portfolios, according to the type of financial instruments. For bank acceptance bills, the accepting bank pays the
determined amount to the taker or the bearer unconditionally due to the maturity of the bills, the overdue credit
loss is low and has not increased significantly since the initial confirmation, the Company believes that the risk of
overdue default is 0; for commercial acceptance bills, the Company believes that the probability of default is
related to the aging, we use a simplified model of expected credit losses, that is the allowance for losses is always
measured at the amount of expected credit losses over the entire duration period. Proportion for accrual found
more in the 12. accounting policy and estimate for account receivable in III.
12.Account receivable
The CBC adopts the simplified model of expected credit loss for accounts receivables specified in “Accounting
Standards for Business Enterprises No.14 - Revenue” and without containing significant financing components
(including the case that the financing components in contracts that do not exceed one year are not considered
according to the standards), that is, always measures their loss provisions according to the amount of expected
credit loss during the entire duration, and the resulting increased or reversed amount of the loss provision is
included in the current profit and loss as an impairment loss or gain.
For accounts receivable that contain a significant financing component, the CBC chooses to use the simplified
model of expected credit losses, that is, to always measure its loss provisions according to the amount of expected
credit losses during the entire duration.
1. Simplified model of expected credit losses: always measure the loss provisions according to the amount of
expected credit losses during the entire duration
The CBC considers all reasonable and well-founded information, including estimates of expected credit losses
on accounts receivable in a single or combined manner.
(1)Account receivable with single significant amount and with individual provision for bad debt reserves
Judgment basis or amount criteria for account with single Withdrawal method for bad debt provision of account
significant amount receivable with single significant amount
Receivable commercial acceptance bill, account receivable and Carry out impairment test separately, and withdraw bad debt
other receivables with single amount more than 5 million yuan provision according to the difference between the present value
(including) of future cash flow and its book value
(2)Receivables with provision for bad debts by portfolio
Portfolio determine basis
On the basis of the actual loss rate of the portfolio of
Age analysis receivables with similar credit risk characteristics which are the
same or similar in the previous year, for the single amount of
non-material receivables, it is divided into several portfolios
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according to the credit risk characteristics together with the
receivables without impairment after the separate test
Bank acceptance
Other
In the combination, the proportion of bad debt provision withdrawn by aging analysis method is as follow:
Withdrawing
Accrual proportion of commercial Withdrawing proportion
Account age proportion of the
acceptance bill receivable of other receivable
account receivable
Within one year(one year
included) 0.3% 0.3% 0.3%
1～2 years (2-year included) 100% 0.3% 0.3%
2～3 years (3-year included) 100% 0.3% 0.3%
Over 3 years 100% 100% 100%
Including:Irrecoverable
recognized Write off Write off Write off
(3)Account receivable with single significant amount and with individual provision for bad debt reserves
Judgment basis or amount criteria for account with single Withdrawal method for bad debt provision of account
minor amount receivable with single minor amount
Receivable commercial acceptance bill, account receivable and Carry out impairment test separately, and withdraw bad debt
other receivables with single amount less than 5 million yuan provision according to the difference between the present value
(including), and the probability of recall is small by nature of future cash flow and its book value
2. A general model of expected credit loss
Found more in the treatment in【Note 10. Financial instrument】
13.Receivable financing
Financial assets that meet the following conditions at the same time are classified as financial assets measured at
fair value and whose changes are included in other comprehensive income: the CBC’s business model for
managing this financial asset is to both collect contractual cash flows and sell the financial assets; the contract
terms of the financial asset stipulate that the cash flow generated on a specific date is only for the payment of
principal and interest based on the outstanding principal amount.
The CBC transfers the receivables held by discounting or endorsement, and such operations are more frequent
with large amount involved. The management business models is essentially both the collection of contractual
cash flows and the sales; in accordance with the relevant provision of financial instrument standards, classified
them into the financial assets measured at fair value and with its variation reckoned into other comprehensive
income.
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14.Other account receivable
Determination method and accounting treatment of the expected credit loss of other account receivable
(1)Account receivable with single significant amount and with individual provision for bad debt reserves:
Account with single significant amount: the single receivable has over 5 million yuan at end of the period
At the end of the period, the receivables with significant single amount are tested separately for impairment. If
there is objective evidence that they have been impaired, the impairment loss will be recognized and the provision
for bad debts will be made based on the balance between the present value of future cash flows and its book value.
(2)Account receivable with bad debt provision accrual by portfolio
For the receivables with non significant single amount at the end of the period, they are divided into several
combinations together with the receivables without impairment after independent test according to the account age
as the credit risk feature. The impairment loss is calculated and determined according to a certain proportion of
the ending balance of these receivables combinations (impairment test can be conducted separately), and the bad
debt provision is withdrawn.
In addition to the receivables for which impairment provision has been separately made, the company determines
the following proportion of provision for bad debts based on the actual loss rate of the combination of receivables
with account age as credit risk characteristics in the previous year, which is the same or similar to the receivables,
in combination with the current situation:
(2) Age analysis
Accrual ratio of account Accrual ratio of other account
Account age
receivable receivable
Within one year(one year included) 0.3% 0.3%
1～2 years (2-year included) 0.3% 0.3%
2～3 years (3-year included) 0.3% 0.3%
Over 3 years 100% 100%
Including:Irrecoverable recognized Write off Write off
Note: no bad debt provision for account receivable and other account receivable between the companies within the scope of
consolidation
(3) Account receivable with minor single amount but with bad debt provision accrual
Reasons for individual provision for bad debt: the Company carry out separate impairment test for receivables
that are not individually significant but have the following characteristics. If there is an objective evidence of
impairment, an impairment loss is recognized for the difference between the present value of future cash flow
and the carrying amount, and a provision for bad debts is made; the receivables in dispute with the other party
or involved in litigation or arbitration; receivables where there are clear indications that the debtor is likely to be
unable to meet its repayment obligations.
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Accrual method for bad debt provision: if an impairment test is performed separately and there is an objective
evidence of impairment, an impairment loss is recognized and a provision for bad debt is made on the basis of
the difference between the present value of future cash flow and the carrying amount.
15.Inventory
The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-
Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”
(1) Classification of inventory
The CBC classifies the inventory into raw materials, goods in process, goods on hand, wrap page, low value
consumables, materials for consigned processing and goods sold, etc.
(2) Valuation of inventories
Inventories are initially measured at cost upon acquisition, which includes procurement costs, processing costs
and other costs. Cost of the inventory issued is carried forward on the basis of a combination of the weighted
average method and specific identification when inventories are issued.
(3) Provision for inventory impairment
When a comprehensive count of inventories is done at the end of the period, provision for inventory impairment is
allocated or adjusted using the lower of the cost of inventory and the net realizable value. The net realizable value
of stock in inventory (including finished products, goods in stock and materials for sale) that can be sold directly
is determined using the estimated saleable price of such inventory deducted by the cost of sales and relevant
taxation over the course of ordinary production and operation. The net realizable value of material in inventory
that requires processing is determined using the estimated saleable price of the finished product deducted by the
cost to completion, estimated cost of sales and relevant taxation over the course of ordinary production and
operation. The net realizable value of inventory held for performance of sales contract or labor service contract is
determined based on the contractual price; in case the amount of inventory held exceeds the contractual amount,
the net realizable value of the excess portion of inventory is calculated using the normal saleable price.
Provision for impairment is made according to individual items of inventories at the end of the period; however,
for inventories with large quantity and low unit price, the provision is made by categories; inventories of products
that are produced and sold in the same region or with the same or similar purpose or usage and are difficult to be
measured separately are combined for provision for impairment.
If the factors causing a previous write-off of inventory value has disappeared, the amount written-off is reversed
and the amount provided for inventory impairment is reversed and recognized in profit or loss for the period.
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(4)Inventory system
Perpetual inventory system is adopted.
16.Contractual assets
1. Method and standard for recognition of contractual assets
The CBC lists contractual assets or contractual liabilities in the balance sheet based on the relationship between
performance obligations and customer payments. The CBC's right to receive consideration for goods or services
transferred to the customer (And that right depends on factors other than the passage of time) is listed as
contractual assets. Contractual assets and contractual liabilities under the same contract are listed as a net
amount. The CBC's right to receive consideration from customers unconditionally (only depends on the passage
of time) is listed separately as a receivable.
2. Determination and accounting treatment of the expected credit loss for contractual assets
Determination and accounting treatment of the expected credit loss for contractual assets found more in Note “10.
Financial instrument”
17. Contractual cost
Nil
18. Assets held for sale
The CBC classifies such corporate components (or non-current assets) that meet the following criteria as held-for-
sale: (1) Disposable immediately under current conditions based on similar transactions for disposals of such
assets or practices for the disposal group; (2) Probable disposal; that is, a decision has been made on a plan for
disposal and an undertaking to purchase has been obtained (the undertaking to purchase means a binding purchase
agreement entered into by the Company and other parties, which contains transaction price, time and adequately
strict punishments for breach of contract provisions, which renders the possibility of material adjustment or
revocation of the agreement is extremely minor), and the disposal is expected to be completed within a year.
Besides, approval from relevant competent authorities or regulatory authorities has been obtained as required by
relevant rules.
The expected net residual value of asset held for sale is adjusted by the CBC to reflect its fair value less selling
expense, provided that the net amount shall not exceed the original carrying value of the asset. In case that the
original value is higher than the adjusted expected net residual value, the difference shall be recorded in profit or
loss for the period as asset impairment loss, and allowance of impairment for the asset shall be provided.
Impairment loss recognized in respect of the disposal group held for sale shall be used to offset the carrying value
of the goodwill in the disposal group, and then offset the carrying value of the non-current assets within the
disposal group based on their respective proportion of their carrying value.
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In respect of the non-current assets held for sale, if the net amount after their fair value less the selling expenses
increased as at the subsequent balance date, the reduced amount before will be recovered and reversed in the
assets impairment loss amount recognized after being classified as held for sale, and the reversed amount will be
recorded in the current profits or loss. The impairment loss on assets recognized before being classified as held for
sale will not be reversed. In respect of the disposal group held for sale, if the net amount after their fair value less
the selling expenses increased as at the subsequent balance date, the reduced amount before will be recovered and
reversed in the assets impairment loss amount recognized in non-current assets after being classified as held for
sale, and the reversed amount will be recorded in the current profits or loss. The reduced book value of the
goodwill as well as the impairment loss on assets recognized before the non-current assets are classified as held
for sale will not be reversed.
The amount of subsequent reversal of the impairment losses on assets recognized in disposal group held for sale,
shall be increased proportionately to the carrying amount of each non-current asset in the disposal group other
than goodwill to which the measurement provisions of the is standards applied, based on its proportionate share of
the carrying amount.
In respect of loss of control in a subsidiary arising from disposal of the investment in such subsidiary, the
investment in a subsidiary shall be classified as held for sale in its entirety in the individual financial statement of
the parent company, and all the assets and liabilities of the subsidiary shall be classified as held for sale in the
consolidated financial statement subject to that the proposed disposal of investment in the subsidiary satisfies such
conditions as required for being classified as held for sale notwithstanding part equity investment will be retained
by the Company after such disposal.
19. Debt investment
Nil
20. Other debt investment
Nil
21. Long-term account receivable
Nil
22. Long-term equity investment
(1)Recognition of investment costs
1)If it is formed by the business combination under the common control, and that the combining party takes cash
payment, transfer of non-cash assets, assumption of debts or issuance of equity securities as the consolidation
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consideration, the shares of the book value of the owner’s equity obtained from the combined party on the date of
combination in the ultimate controlling party’s consolidated financial statements shall be recognized as its initial
investment cost. Capital reserves shall be adjusted according to the balance between the initial investment cost for
long-term equity investment and the book value of paid consolidation consideration or the total face value of
issued shares (capital premium or equity premium). If capital reserves are insufficient for offset, retained earnings
shall be adjusted.
As for business combination under the common control realized by the Company through several transactions, the
initial investment cost of the investment shall be determined based on the share of the carrying value of the
owners’ equity of the consolidated party as calculated according to the shareholding proportion on the
consolidation date. Difference between initial investment cost and the carrying value of long-term equity
investment before combination and the sum of carrying value of newly paid consideration for additional shares
acquired on the date of combination is to adjust capital reserve (capital premium or equity premium). If the
balance of capital reserve is insufficient, any excess is adjusted to retained earnings.
2) As for long-term equity investment formed from business combination not under common control, the fair
value of the consolidated consideration paid shall be deemed as the initial investment cost on the acquisition date.
3) Except those ones formed by the business combination, for all items obtained by means of cash payment,
actually paid acquisition costs shall be taken as the initial investment cost. For those ones obtained by the issuance
of equity securities, the fair value of the issued equity securities shall be taken as the initial investment cost. For
those ones invested by investors, the value agreed in the investment contract or agreement shall be taken as the
initial investment cost, provided that the value agreed in the contract or agreement shall be fair.
(2)Subsequent measurement and profit or loss recognition
For a long-term equity investment where the CBC can exercise control over the investee, the long-term
investment is accounted for using the cost method in the Company’s financial statements. The equity method is
adopted when the Group has joint control, or exercises significant influence on the investee.
Under cost method, long term equity investment is measured at initial investment cost. Except for the price
actually paid for obtaining the investment or the cash dividends or profits declared but not yet distributed which is
included in the consideration, the Company recognizes cash dividends or profits declared by the investee as
current investment gains, and determine whether there is impairment on long term investment according to
relevant assets impairment policies.
Under equity method, when the initial investment cost of the long-term equity investment exceeds the share of fair
value in the net identifiable assets in the investee, the difference shall be included in initial investment cost of the
long-term equity investment. When the initial investment cost is lower than the share of fair value in the net
identifiable asset in the investee, such difference is recognized in profit or loss for the period with adjustment of
cost of the long-term equity investment.
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Under equity method, after the Company acquires a long-term equity investment, it shall, in accordance with its
attributable share of the net profit or loss realized by the investee, recognize the investment profit or loss and
adjust carrying value of the investment. The Group recognizes its share of the investee’s net profits or losses after
making appropriate adjustments to the investee’s net profits and losses based on the fair value of the investee’s
identifiable assets at the acquisition date, using the Group’s accounting policies and periods, and eliminating the
portion of the profits or losses arising from internal transactions with its joint ventures and associates, attributable
to the investing entity according to its shareholding proportion (but impairment losses for assets arising from
internal transactions shall be recognized in full). The carrying amount of the investment is reduced based on the
Group’s share of any profit distributions or cash dividends declared by the investee. The CBC’s share of net losses
of the investee is recognized to the extent the carrying amount of the investment together with any long-term
interests that in substance form part of its net investment in the investee is reduced to zero, except that the Group
has the obligations to assume additional losses. The CBC adjusts the carrying amount of the long-term equity
investment for any changes in owners’ equity of the investee (other than net profits or losses) and includes the
corresponding adjustments in the owners’ equity of the Group.
(3) Determination of control and significant influence on investee
Control is the power over an investee. An investor must have exposure or rights to variable returns from its
involvement with the investee, and the ability to use its power over the investee to affect the amount of the
investor’s returns. Significant influence is the power to participate in the financial and operating policy decisions
of the investee but is not control or joint control with other parties over those policies
(4)Disposal of long-term equity investment
1) Partial disposal of long term investment in which control is retained
When long term investment is been partially disposed but control is retained by the company, the difference
between disposal proceeds and carrying amount of the proportion being disposed is accounted for through profit
or loss.
2) Partial disposal of long term investment in which control is lost
When long term investment is partially disposed and control is lost as a result, the carrying value of the long term
invest on the stock right, the difference between carrying amount of the part being disposed and disposal proceeds
should be recognized as profit or loss. The residual part should be treated as long term investment or other
financial assets according to their carrying amount. After partial disposal, if the company is able to exert
significant influence or common control over the investee, the investment should be measured according to cost
method or equity method, in compliance with relevant accounting standards and regulations.
(5)Impairment test and provision for impairment
If there is objective evidence on the balance sheet date showing investment in subsidiaries, associates and joint
ventures is impaired, provision of impairment shall be made against the difference between the carrying amount
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and the recoverable amount of the investment.
23.Investment real estate
Measurement mode
Measured by cost method
Depreciation or amortization method
(1) Investment real estate including land use right which has been rented out, land use right which is held for
transfer upon appreciation and buildings which has been rented out.
(2) Investment real estate are initially measured at cost and subsequently measured as per the cost pattern, and
relevant withdrawal of provision for depreciation or amortization is carried out by the same method for fixed
assets and intangible assets. As of the balance sheet date, where there is any indication that an Investment real
estate experiences impairment, the relevant impairment provision shall be provided for based on the difference
between the carrying value and the recoverable amount.
24.Fix assets
(1) Recognition conditions
Fixed assets refer to the tangible assets for production of products, provision of labor, lease or operation, and with a service life in
excess of one financial year.
Fixed assets are recorded at the actual cost at the time of acquisition, and depreciation is calculated and withdrawn using the average
life method from the month after they reach the intended usable state
(2) Depreciation methods
Yearly depreciation
Category Method Years of depreciation Scrap value rate
rate
Straight-line
Houses and buildings 20 years 10% 4.5%
depreciation
Straight-line
Machinery equipment 10 years 10% 9%
depreciation
Transportation Straight-line
5 years 10% 18%
equipment depreciation
Electronic equipment Straight-line
5 years 10% 18%
and others depreciation
(3)Impairment test method for fixed assets and impairment provision
As of the balance sheet date, if there is an indication that fixed assets are impaired, a corresponding provision
for impairment is made for the difference between the carrying amount and the recoverable amount.
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(3) Recognition basis, valuation and depreciation method for financial lease assets
Finance lease is determined when one or a combination of the following conditions are satisfied: 1) the ownership
has been transferred to the lessee when the leasing term is due; 2) the lessee has the option to purchase the leasing
asset at a price that is much lower than its fair value, so it can be reasonably determined that the lessee will take
the option at the very beginning of the lease; 3) the leasing term accounts for most time of the useful life
(ordinarily accounting for 75% or higher) even if the ownership does not transfer to the lessee; 4) the present
value of the minimum amount of rent that the lessee has to pay at the first day of the lease amounts to 90% or
higher of its fair value at the same date; or the present value of the minimum amount of rent that the lessor collects
at the first day of the lease amounts to 90% or higher of its fair value at the same date; and/or 5) the leased assets
are of such a specialized nature that only the lessee can use them without major modifications.
Fixed assets rented-in under finance lease are recorded at the lower of fair value and the present value of the
minimum lease payment at the inception of the lease, and are depreciated following the depreciation policy for
self-owned fixed assets.
25.Construction in progress
(1)When the construction in progress has reached the intended condition for use, it will be treated as fixed assets
as per the actual construction cost. If the construction in progress has reached the intended condition for use but
completion accounting is not carried out, the construction in progress should be first treated as fixed assets as per
the estimated value. After completion accounting is carried out, the original estimated value should be adjusted as
per the actual cost, but the provision for depreciation withdrawn should not be adjusted.
(2)As of the balance sheet date, where there is any indication that a construction in process experiences
impairment, the relevant impairment provision shall be provided for based on the difference between the carrying
value and the recoverable amount.
26. Borrowing expenses
Nil
27. Biological assets
Nil
28. Oil and gas asset
Nil
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29. Right-of-use assets
On the commencement date of the lease term, the Group recognizes right-of-use assets and lease liabilities for
leases, except for short-term leases and leases of low-value assets that are simplified by the standard.
The Group initially measures right-of-use assets at cost. This cost includes:
1. The initial measurement amount of the lease liability;
2. The lease payment amount paid on or before the commencement date of the lease term, if there is a lease
incentive, deduct the relevant amount of the lease incentive already enjoyed;
3. Initial direct costs incurred;
4. The expected cost of demolishing and removing the leased asset, restoring the site where the leased asset is
located or restoring the leased asset to the condition as agreed in the lease terms. If the aforementioned cost is
incurred for the production of inventories, and the Accounting Standards for Business Enterprises No. 1 -
Inventories shall apply.
The Group recognizes and measures the cost mentioned in Item 4 above in accordance with Accounting Standards
for Business Enterprises No. 13 - Contingencies.
Initial direct costs are the incremental cost incurred to achieve the lease. Incremental cost is the cost that would
not have incurred if the enterprise had not acquired the lease.
With reference to the relevant depreciation provisions of Accounting Standards for Business Enterprises No. 4 -
Fixed Assets, the Group accrues depreciation for right-of-use assets. Where it can be reasonably determined that
the ownership of the leased asset will be obtained at the expiration of the lease term, depreciation shall be accrued
within the remaining service life of the leased asset. Where it cannot be reasonably determined that the ownership
of the leased asset can be obtained at the expiration of the lease term, depreciation shall be accrued within the the
shorter of the lease term and the remaining service life of the leased asset.
In accordance with the Accounting Standards for Business Enterprises No. 8 - Impairment of Assets, the Group
determines whether the right-of-use asset is impaired, and performs accounting treatment on the identified
impairment losses.
30. Intangible assets
(1) Valuation method, service life and impairment test
1).Intangible assets include land use right, patent right and non-patent technology, which should be initially
measured at cost.
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2).Intangible assets with limited service life should be amortized systematically and reasonably in their service
lives as per the expected form of realization economic benefits relating to the said intangible assets. If the form of
realization cannot be reliably determined, the intangible assets should be amortized on a straight-line basis.
3).At the balance sheet date, when there is any indication that the intangible assets with finite useful lives may be
impaired, a provision for impairment loss is recognized on the excess of the carrying amounts of the assets over
their recoverable amounts. Intangible assets with infinite useful lives and intangible assets not satisfying the
condition for use yet are subject to impairment test each year notwithstanding whether the assets are impaired.
4). Expenditure incurred in the research phase of internal R&D shall be included in current gain/loss at the time of
occurrence. Intangible assets recognized for expenditure in exploitation stage by satisfying the followed at same
time: ①it is technically feasible that the intangible asset can be used or sold upon completion; ②there is intention
to complete the intangible asset for use or sale; ③the intangible asset can produce economic benefits, including
there is evidence that the products produced using the intangible asset has a market or the intangible asset itself
has a market; if the intangible asset is for internal use, there is evidence that there exists usage for the intangible
asset; ④there is sufficient support in terms of technology, financial resources and other resources in order to
complete the development of the intangible asset, and there is capability to use or sell the intangible asset; ⑤the
expenses attributable to the development phase of the intangible asset can be measured reliably.
(2) Internal accounting policies relating to research and development expenditures
Expenditure incurred in the research phase of internal R&D shall be included in current gain/loss at the time of
occurrence. Intangible assets recognized for expenditure in exploitation stage by satisfying the followed at same
time: ①it is technically feasible that the intangible asset can be used or sold upon completion; ②there is intention
to complete the intangible asset for use or sale; ③the intangible asset can produce economic benefits, including
there is evidence that the products produced using the intangible asset has a market or the intangible asset itself
has a market; if the intangible asset is for internal use, there is evidence that there exists usage for the intangible
asset; ④there is sufficient support in terms of technology, financial resources and other resources in order to
complete the development of the intangible asset, and there is capability to use or sell the intangible asset; ⑤the
expenses attributable to the development phase of the intangible asset can be measured reliably.
31. Impairment of long-term assets
Nil
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32. Long-term expenses to be apportioned
Long-term expenses to be apportioned are booked by actual amount occurred, and apportioned evenly during the
benefit period or regulated period.In case that the long-term deferred expenses are not likely to benefit the
subsequent accounting periods, the outstanding value of the item to be amortized shall be included in current
profit or loss in full.
33. Contract liability
The CBC lists contractual assets or contractual liabilities in the balance sheet based on the relationship between
performance obligations and customer payments. The CBC's obligations to transfer goods or provide services to
customers for which consideration has been received or receivable are listed as contractual liabilities. contractual
assets and contractual liabilities under the same contract are listed as a net amount.
34. Employee compensation
(1) Accounting treatment for short-term compensation
The CBC terminates the labor relationship with an employee before the employee labor contract expires, or
proposes to offer a compensation to encourage an employee to voluntarily accept the downsizing. When the CBC
cannot unilaterally withdraw the labor relationship cancellation plan or the downsizing proposal nor confirm the
relevant costs of the restructuring involving the payment of termination benefits, whichever is earlier, the
liabilities arising from the compensation for the termination of the labor relationship with the employees are
recognized and included in the current profit and loss.
(2) Accounting treatment for post-employment benefit
The CBC terminates the labor relationship with an employee before the employee labor contract expires, or
proposes to offer a compensation to encourage an employee to voluntarily accept the downsizing. When the CBC
cannot unilaterally withdraw the labor relationship cancellation plan or the downsizing proposal nor confirm the
relevant costs of the restructuring involving the payment of termination benefits, whichever is earlier, the
liabilities arising from the compensation for the termination of the labor relationship with the employees are
recognized and included in the current profit and loss.
(3) Accounting for retirement benefits
When the CBC terminates the employment relationship with employees before the end of the employment
contracts or provides compensation as an offer to encourage employees to accept voluntary redundancy, the CBC
shall recognize employee compensation liabilities arising from compensation for staff dismissal and included in
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profit or loss for the current period, when the CBC cannot revoke unilaterally compensation for dismissal due to
the cancellation of labor relationship plans and employee redundant proposals; and the CBC recognize cost and
expenses related to payment of compensation for dismissal and restructuring, whichever is earlier.
(4) Accounting for other long-term employee benefits
The employees of the CBC have participated in the basic social endowment insurance organized and implemented
by the local labor and social security department. The CBC pays the endowment insurance premium to the local
basic social endowment insurance agency on a monthly basis based on the base and ratio of the local basic social
endowment insurance payment. After the retirement of employees, the local labor and social security department
has the responsibility to pay the social basic pension to the retired employees. During the accounting period in
which employees provide services, the CBC recognizes the amount payable calculated according to the above
social security insurance regulations as the liabilities and includes them in the current profit and loss or related
asset costs.
35.Lease liability
Nil
36.Accrual liability
Nil
37. Share-based payment
(1)Types of share-based payment
Share-based payment comprises of equity-settled share-based payment and cash-settled share-based payment.
(2)Determination of fair value of equity instruments
1)determined based on the price quoted in an active market if there exists active market for the instrument.
2)determined by adoption of valuation technology if there exists no active market, including by reference to the
recent arm’s length market transactions between knowledgeable, willing parties, reference to the current fair value
of another instrument that is substantially the same, discounted cash flow analysis and option pricing models.
(3)Basis for determination of the best estimate of exercisable equity instruments
To be determined based on the subsequent information relating to latest change of exercisable employees.
(4)Accounting relating to implementation, amendment and termination of share-based payment schemes
1)Equity-settled share-based payment
For equity instruments that may be exercised immediately after the grant, the fair value of such instrument shall,
on the date of the grant, be recognized in relevant costs or expenses with the increase in the capital reserve
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accordingly. For equity-settled share-based payment made in return for the rendering of employee services that
cannot be exercised until the services are fully rendered during vesting period or specified performance targets are
met, on each balance sheet date within the vesting period, the services acquired in the current period shall, based
on the best estimate of the number of exercisable instruments, be recognized in relevant costs or expenses and the
capital reserves at the fair value of such instruments on the date of the grant.
For equity-settled share-based payment made in exchange for service from other parties, such payment shall be
measured at the fair value of the service as of the acquisition date is the fair value can be measured reliably. And if
the fair value of the service cannot be measured reliably while the fair value of the equity instrument can be
measured reliably, it shall be measure at the fair value of the instrument as of the date on which the service is
acquired, which shall be recorded in relevant cost or expense with increase in owners’ equity accordingly.
2)Cash-settled share-based payment
For the cash-settled share-based payment that may be exercised immediately after the grant in exchange for render
of service by employees, the fair value of the liability incurred by the CBC shall, on the date of the grant, be
recognized in relevant costs or expenses and the liabilities shall be increased accordingly. For cash-settled share-
based payment made in return for the rendering of employee services that cannot be exercised until the services
are fully provided during vesting period or specified performance targets are met, on each balance sheet date
within the vesting period, the services acquired in the current period shall, based on the best estimate of the
number of exercisable instruments, be recognized in relevant costs or expenses and the corresponding liabilities at
the fair value of the liability incurred by the CBC.
3)Revision and termination of share-based payment schemes
If the revision results in an increase in the fair value of the equity instruments granted, the CBC shall recognize
the increase in the services rendered accordingly at the increased fair value of the equity instruments. If the
revision results in an increase in the number of equity instruments granted, the CBC will recognize the increase in
the services rendered accordingly at the fair value of the increased number of equity instruments. If the CBC
revises the vesting conditions on terms favorable to the employees, the CBC will take into consideration of the
revised vesting conditions when dealing with the vesting conditions.
If the revision results in a decrease in the fair value of the equity instruments granted, the CBC shall continue
recognize the amount of services rendered accordingly at the fair value of the equity instruments on the date of
grant without considering the decrease in the fair value of the equity instruments. If the revision results in a
decrease in the number of equity instruments granted, the CBC will account for such decrease by reducing part of
the cancellation of equity instruments granted. If the CBC revises the vesting conditions on terms not favorable to
the employees, the CBC will not take into consideration of the revised vesting conditions when dealing with the
vesting conditions.
If the CBC cancels the equity instruments granted or settles the equity instruments granted during the vesting
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period (other than cancellation as a result of failure to satisfy the vesting conditions), such cancellation or
settlement will be treated as accelerated exercisable rights and the original amount in the remaining vesting period
will be recognized immediately.
38. Other financial instruments including preferred stock, Perpetual capital securities
Nil
39. Revenue
The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-
Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”
(1) Recognition of revenue
On the starting date of the contract, the company evaluates the contract, identifies each individual performance
obligation contained in the contract, and determines whether each individual performance obligation is performed
within a certain period of time or at a certain point in time.
When meeting one of the following conditions, it belongs to the performance obligation within a certain period of
time, otherwise, it belongs to the performance obligation at a certain point in time: 1) The customer obtains and
consumes the economic benefits brought by the company's performance at the same time as the company
performs the contract; 2) The customer can control the goods or services under construction during the company's
performance; 3) The goods or services produced during the company's performance have irreplaceable uses, and
the company has the right to collect payments for the accumulated performance part of the contract during the
entire contract period .
For performance obligations performed within a certain period of time, the company recognizes revenue in
accordance with the performance progress during that period of time. When the performance progress cannot be
reasonably determined, if the cost incurred is expected to be compensated, the revenue shall be recognized
according to the amount of the cost incurred until the performance progress can be reasonably determined. For
performance obligations performed at a certain point in time, revenue is recognized at the point when the
customer obtains control of the relevant goods or services. When judging whether the customer has obtained
control of the goods, the company considers the following signs: 1) The company has the current right to receive
payment for the goods, that is, the customer has the current payment obligation for the goods; 2) The company has
transferred the legal ownership of the goods to the customer, that is, the customer has legal ownership of the
goods; 3) The company has transferred the product to the customer in kind, that is, the customer has physically
taken possession of the product; 4) The company has transferred the major risks and rewards of the ownership of
the goods to the customer, that is, the customer has obtained the main risks and rewards of the ownership of the
goods; 5) the customer has accepted the goods; 6) Other signs indicate that the customer has obtained control of
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the goods.
(2) Principles of revenue measurement
1) The company measures revenue based on the transaction price allocated to each individual performance
obligation. The transaction price is the amount of consideration that the company expects to be entitled to receive
due to the transfer of goods or services to the customer, and does not include the amount collected on behalf of a
third party and the amount expected to be returned to the customer.
2) If there is variable consideration in the contract, the company shall determine the best estimate of the variable
consideration based on the expected value or the amount most likely to incur, but the transaction price including
the variable consideration shall not exceed the amount at which the accumulatively recognized income is most
likely not be subject to a significant reversal when the relevant uncertainty is eliminated.
3) If there is a major financing component in the contract, the company shall determine the transaction price based
on the amount payable in cash when the customer assumes control of the goods or services. The difference
between the transaction price and the contract consideration shall be amortized by the effective interest method
during the contract period. On the starting date of the contract, if the company expects that the interval between
the customer's acquisition of control of the goods or services and the customer's payment of the price will not
exceed one year, we will not consider the significant financing components in the contract.
4) If the contract contains two or more performance obligations, the company will allocate the transaction prices
to each individual performance obligation in accordance with the relative proportion of the stand-alone selling
price of the goods promised by each individual performance obligation on the commencement date of contract.
(3) Specific method of revenue recognition:
In accordance with the general principles of revenue recognition and the actual situation of the company's product
sales, the company formulates a specific revenue recognition method that the products sold by the company to
customers are recognized as revenue after the products are delivered to the customer and the customer carries out
acceptance and inspection.
40. Government subsidy
(1) government subsidy including those relating to assets and relating to income
(2)government grant, if granted as monetary assets, are measured at the amount received or receivable, and
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measured at fair value if granted as non-monetary assets. If the fair value can not be determined reliably, they
shall be measured at nominal value.
(3) Aggregate method for government subsidy:
1)government subsidy relating to assets are recognized as deferred income, which shall be recorded in profit or
loss by installment reasonably and systematically within the useful life of the assets. If assets are sold, transferred,
discarded as useless or damaged prior to expiration of the useful life, the remaining deferred income undistributed
shall be transferred to profit or loss for the period in which the assets are disposed.
2)If government subsidy relating to income are used to compensate for relevant costs or loss for the subsequent
periods, they shall be recognized as deferred income, and recorded in profit or loss for the period in which the
relevant costs are recognized. If government subsidy relating to income are used to compensate for the relevant
costs or loss occurred, they shall be recorded in profit or loss for the period directly.
(4)Net method for government subsidy
1) government subsidy relating to assets are used to write off the carrying value of the relevant assets;
2) If government subsidy relating to income are used to compensate for relevant costs or loss for the subsequent
periods, they shall be recognized as deferred income, and recorded in profit or loss for the period in which offset
against the relevant costs. If government subsidy relating to income are used to compensate for the relevant costs
or loss occurred, they shall be offset against the relevant costs for the period directly.
(5)The CBC adopts aggregated accounting method for the government subsidy received.
(6)As for the government subsidy comprising both portions relating to assets and income, separate accounting
shall be made for different portion; in case it is hard to differentiate the portions, the subsidy will be recorded as
related to income in general.
(7)The CBC realizes government subsidy relating to its normal activities as other income based on the substance
of economic business, and if not related to its normal activities, realized as non-operating income and expenditure.
(8)Subsidized loans from preferential policy obtained by the CBC are classified based on whether subsidy funds
are paid to the loaning bank or directly to the CBC by the competent financial authorities and are treated based on
the following principles:
1)Where subsidy funds are paid to the loaning bank by the competent financial authorities and the bank then
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provides loans to the CBC at a preferential policy rate, accounting shall be made by the CBC as follows:
a. Recognizes the actual borrowing amount received as the carrying value of the loan, and calculates the relevant
borrowing costs based on the principal and the preferential policy rate.
b.Recognizes the fair value of the loan as the carrying value and calculates the borrowing cost under effective
interest method, and recognizes the difference between the actual amount received and the fair value of the loan as
deferred income. Deferred income is amortized over the term of the loan under effective interest method and
offset against the relevant borrowing costs.
2)If the subsidy funds are paid directly to the CBC by finance authority, the CBC will offset the corresponding
subsidy against the relevant borrowing expenses.
41.Deferred income tax asset /Deferred income tax liabilities
(1) Deferred tax assets or deferred tax liabilities are calculated and recognized based on the difference between the
carrying amount and tax base of assets and liabilities (and the difference of the carrying amount and tax base of
items not recognized as assets and liabilities but with their tax base being able to be determined according to tax
laws) and in accordance with the tax rate applicable to the period during which the assets are expected to be
recovered or the liabilities are expected to be settled.
(2)A deferred tax asset is recognized to the extent of the amount of the taxable income, which it is most likely to
obtain and which can be deducted from the deductible temporary difference. At the balance sheet date, if there is
any exact evidence that it is probable that future taxable profits will be available against which deductible
temporary differences can be utilized, the deferred tax assets unrecognized in prior periods are recognized.
(3)At the balance sheet date, the carrying amount of deferred tax assets is reviewed. The carrying amount of a
deferred tax asset is reduced to the extent that it is no longer probable that sufficient taxable profits will be
available to allow the benefit of the deferred tax asset to be utilized. Such reduction is subsequently reversed to
the extent that it becomes probable that sufficient taxable income will be available.
(4)The income tax and deferred tax for the period are treated as income tax expenses or income through profit or
loss, excluding those arising from the following circumstances: ① business combination; and ② the transactions
or items directly recognized in equity.
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42. Lease
(1)Accounting for operating lease
When the Company is the lessee, lease payments are recognized as cost or profit or loss with straight-line method
over the lease term. Initial expenses are recognized directly into profit or loss. Contingent rents are charged as
profit or loss in the periods in which they are incurred.
When the Company is the lessor, lease income is recognized as profit or loss with straight-line method over the
lease term. Initial expenses, other than those with material amount and eligible for capitalization which are
recognized as profit or loss by installments, are recognized directly as profit or loss. Contingent rents are charged
into profit or loss in the periods in which they are incurred.
(2)Accounting for financing lease
When the company acts as lessee, at the inception of lease, the lower of fair value of leased assets at the inception
of lease and the present value of minimum lease payment is recognized as the value of leased assets. The
minimum lease payment is recognized as the value of long-term payable. Their difference is recorded as
unrecognized finance costs with any initial direct expense incurred recorded in the value of leased assets. For each
period of the lease term, current finance cost is calculated using effective interest method.
When the company acts as lessor, at the inception of lease, the sum of minimum lease income at the inception of
lease and the initial direct expense is recognized as the value of finance lease payment receivable, with unsecured
balance also recorded. The difference between the sum of minimum lease income, initial direct expense and
unsecured balance and the sum of their present values is recognized as unrealized finance income. For each period
of the lease term, current finance income is calculated using effective interest method.
43. Other important accounting policy and estimation
Discontinued operation refers to the operation disposed or classified as held-for-sale by the Company and
presented separately under operation segments and financial statements, which has fulfilled one of the following
criteria:
(1) it represents an independent key operation or key operating region;
(2) it is part of the proposed disposal plan on an independent key operation or proposed disposal in key operating
region; or
(3) it only establishes for acquisition of subsidiary through disposal.
The enterprise shall separately list profit and loss from continuing operations and profit and loss from
discontinuing operations in the profit statement. For non-current assets held for sale or disposal groups that do not
101
meet the definition of discontinuing operations, the impairment losses and reversal amounts and disposal gains
and losses should be presented as profit or loss from continuing operations. Operational gains and losses and
disposal profits and losses such as impairment losses and reversal amounts of discontinuing operations should be
reported as profits or losses of discontinuing operations.
44. Changes of important accounting policy and estimation
(1) Changes of important accounting policy
□Applicable Not applicable
(2) Changes of important accounting estimation
□Applicable Not applicable
(3)Adjustments to financial statement’s items at the beginning of the year when implemented the new accounting standards
at first time since 2023
□Applicable Not applicable
45. Other
There were no major error correction on prior period in the reporting period.
VI. Taxes
1. Main tax and tax rate
Type of tax Tax calculation evidence Tax rate
Sales of goods, taxable labor service
revenue, taxable income, intangible
Value added tax 5%, 6%, 13%
assets income and income from property
leasing
Consumption tax Not applicable Not applicable
City maintenance & construction tax Turnover tax paid 7%
Enterprise income tax Taxable income 25%, 20%, 15%
Local education fee surcharge Turnover tax paid 2%
Disclose reasons for different taxpaying body
Taxpaying body Income tax rate
Shenzhen China Bicycle Company (Holdings) Limited 25.00%
Shenzhen Emmelle Industrial Co., Ltd. 20.00%
Shenzhen Xinsen Jewelry Gold Supply Chain Co., Ltd 25.00%
Shenzhen Emmelle Cloud Technology Co., Ltd. 20.00%
102
2. Tax preference
In accordance with the Enterprise Income Tax Law of the People's Republic of China and its enforcement
regulations, the Announcement of the Ministry of Finance and the State Taxation Administration on the
Implementation of Preferential Income Tax Policies for Small and Micro Enterprises and Individual Industrial
and Commercial Households" (No. 12 of 2021), and the Announcement of the Ministry of Finance and the State
Taxation Administration on Further Implementing Preferential Income Tax Policies for Small and Micro
Enterprises (No. 13 of 2022), from January 1, 2021 to December 31, 2022, the part of the annual taxable income
of small and low-profit enterprises not exceeding 1 million yuan shall be included in the taxable income at a
reduced tax rate of 12.5%, and the enterprise income tax shall be levied at the tax rate of 20%; from January 1,
2022 to December 31, 2024, the part of the annual taxable income of small and low-profit enterprises exceeding
1 million yuan but not exceeding 3 million yuan shall be included in the taxable income at a reduced tax rate of
25%, and the enterprise income tax shall be levied at the tax rate of 20%. During the reporting period,
subsidiary of the CBC-Shenzhen Emmelle Industrial Co., Lt, Shenzhen Emmelle Cloud Technology Co., Ltd.
were small and micro-profit enterprises and were subject to the preferential tax rate of 20%.
3. Other
Nil
VII. Notes to Items of Consolidated Financial Statements
1. Monetary fund
Unit: RMB/CNY
Item Ending balance Opening balance
Cash on hand 37,275.25 33,531.25
Bank deposit 15,521,220.44 50,889,338.10
Other monetary fund 4,179,071.81 3,776,621.83
Total 19,737,567.50 54,699,491.18
Total amount that have
restriction on use due to mortgage, 4,179,071.81 3,776,621.83
pledge or frozen
Other explanation:
(2) Bank deposits amounting to 4,179,071.81 yuan were judicially frozen due to lawsuits at end of the Period.
(3)At the end of the Period, there were no funds held overseas or at potential risk of recovery.
2. Trading financial assets
Unit: RMB/CNY
Item Ending balance Opening balance
Including:
103
Including:
Other explanation:
Nil
3. Derivative financial assets
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
4. Note receivable
(1) Category of note receivable
Unit: RMB/CNY
Item Ending balance Opening balance
Bank acceptance notes 839,035.38 1,102,000.00
Total 839,035.38 1,102,000.00
Unit: RMB/CNY
Ending balance Opening balance
Categor Book balance Bad debt provision Book balance Bad debt provision
y Book Book
Accrual value Accrual value
Amount Ratio Amount Amount Ratio Amount
ratio ratio
Includ
ing:
Includ
ing:
If the provision for bad debts of notes receivable is made in accordance with the general model of expected credit losses, please
refer to the disclosure of other account receivable to disclose related information about bad-debt provisions:
□Applicable Not applicable
(2) Bad debt provision accrual, collected or reversal in the period
Accrual of bad debt provision in the period:
Unit: RMB/CNY
Current changes
Opening
Category Collected or Ending balance
balance Accrual Write off Other
reversal
Including important amount of bad debt provision collected or reversal in the period:
□Applicable Not applicable
(3) Note receivable pledged at period-end
Unit: RMB/CNY
104
Item Amount pledged at period-end
(4) Note receivable which have endorsed and discount at period-end and has not expired on balance
sheet
Unit: RMB/CNY
Amount derecognized at end of the Amount not derecognized at end of the
Item
Period Period
(5) Notes transfer to account receivable due for failure implementation by drawer at period-end
Unit: RMB/CNY
Item Amount transfer to account receivable at period-end
Other explanation:
Nil
(6) Note receivable actually written-off in the period
Unit: RMB/CNY
Item Amount written off
Including important note receivable written-off:
Unit: RMB/CNY
Amount cause by
Amount written related
Enterprise Nature Causes Procedure
off transactions or not
(Y/N)
Explanation on note receivable written-off:
Nil
5. Account receivable
(1) Category of account receivable
Unit: RMB/CNY
Ending balance Opening balance
Categor Book balance Bad debt provision Book balance Bad debt provision
y Book Book
Accrual value Accrual value
Amount Ratio Amount Amount Ratio Amount
ratio ratio
Account
receivab
le with
26,164,3 21,485,1 4,679,17 26,197,9 21,516,0 4,681,90
bad debt 15.29% 82.12% 9.62% 82.13%
53.35 73.69 9.66 73.35 69.69 3.66
provisio
n accrual
by single
105
basis
Includ
ing:
Account
s with
single
significa
nt
amount
and with 21,862,8 17,490,2 4,372,56 21,862,8 17,490,2 4,372,56
12.78% 80.00% 8.03% 80.00%
bad 32.43 65.94 6.49 32.43 65.94 6.49
debts
provisio
n
accrued
individu
ally
Account
s with
single
minor
amount
but with
4,301,52 3,994,90 306,613. 4,335,14 4,025,80 309,337.
bad 2.51% 92.87% 1.59% 92.86%
0.92 7.75 17 0.92 3.75 17
debts
provisio
n
accrued
individu
ally
Account
receivab
le with
bad debt 144,965, 434,896. 144,530, 246,125, 738,377. 245,387,
84.71% 0.30% 90.38% 0.30%
provisio 467.89 41 571.48 775.60 33 398.27
n accrual
by
portfolio
Includ
ing:
Account
receivab
le
withdra
wal bad
debt
provisio
n by 144,965, 434,896. 144,530, 246,125, 738,377. 245,387,
84.71% 0.30% 90.38% 0.30%
group of 467.89 41 571.48 775.60 33 398.27
credit
risk
characte
ristics
(Aging
analysis
method)
106
171,129, 21,920,0 149,209, 272,323, 22,254,4 250,069,
Total
821.24 70.10 751.14 748.95 47.02 301.93
Bad debt provision accrual on single basis: The account receivable of CBC with a single significant amount refers to a single
amount of 5 million yuan or more
Unit: RMB/CNY
Ending balance
Name of the Company
Book balance Bad debt provision Accrual ratio Reason for accrual
Guangshui Jiaxu
It is expected that
Energy Technology 21,862,832.43 17,490,265.94 80.00%
partially uncollectible
Co., Ltd.
Total 21,862,832.43 17,490,265.94
Bad debt provision accrual on single basis: Accounts with single minor amount but with bad debts provision accrued individually
Unit: RMB/CNY
Ending balance
Name of the Company
Book balance Bad debt provision Accrual ratio Reason for accrual
Suzhou Daming
Expected to be difficult
Vehicle Industry Co., 930,394.42 744,315.54 80.00%
in collection
Ltd.
Suzhou Jiaxin
Expected to be difficult
Economic Trade Co., 888,757.00 888,757.00 100.00%
in collection
Ltd.
Dongguan Daxiang Expected to be difficult
656,734.00 656,734.00 100.00%
New Energy Co., Ltd. in collection
Shijiazhuang Dasong Expected to be difficult
497,064.00 497,064.00 100.00%
Tech. Co., Ltd in collection
Guangdong Xinlingjia Expected to be difficult
348,136.00 348,136.00 100.00%
New Energy Co., Ltd. in collection
Shanghai Swen
Expected to be difficult
Electric Vehicle Co., 280,197.50 280,197.50 100.00%
in collection
Ltd.
Hubei Topsdun
Expected to be difficult
Eletronic Tech. Co., 241,068.58 120,534.29 50.00%
in collection
Ltd.
Tianjin Huiju Electric Expected to be difficult
116,840.14 116,840.14 100.00%
Vehicle Co., Ltd. in collection
Fuzhou Dayang Expected to be difficult
147,804.28 147,804.28 100.00%
Commercial Co., Ltd. in collection
Expected to be difficult
Other 194,525.00 194,525.00 100.00%
in collection
Total 4,301,520.92 3,994,907.75
Bad debt provision accrual on portfolio:Accounts receivable with provision for bad debts by aging analysis method
Unit: RMB/CNY
Ending balance
Name of the Company
Book balance Bad debt provision Accrual ratio
Within one year(one year
144,156,624.16 432,469.88 0.30%
included)
1-2 years (2 years included) 1,724.11 5.17 0.30%
2-3 years (3 years included) 807,119.62 2,421.36 0.30%
Total 144,965,467.89 434,896.41
107
Explanation on portfolio basis:
Nil
If the provision for bad debts of account receivable is made in accordance with the general model of expected credit losses, please
refer to the disclosure of other account receivable to disclose related information about bad-debt provisions:
□Applicable Not applicable
Disclosure by ageing
Unit: RMB/CNY
Account age Ending balance
Within one year(one year included) 155,671,359.71
1-2 years 11,005,264.71
2-3 years 2,070,170.90
Over 3 years 2,383,025.92
3-4 years 996,132.00
4-5 years 628,842.42
Over 5 years 758,051.50
Total 171,129,821.24
(2) Bad debt provision accrual, collected or reversal in the period
Accrual of bad debt provision in the period:
Unit: RMB/CNY
Current changes
Opening
Category Collected or Ending balance
balance Accrual Write off Other
reversal
Accrual of bad
debt provision
for account 324,421.80 658,798.72
receivable in
the Period
Total 324,421.80 658,798.72
Including important amount of bad debt provision collected or reversal in the period:
Unit: RMB/CNY
Enterprise Amount collected or reversal Collection way
Nil
(3) Account receivables actually write-off during the reporting period
Unit: RMB/CNY
Item Amount written off
Including important account receivables write-off:
Unit: RMB/CNY
108
Amount cause by
Amount written related
Enterprise Nature Causes Procedure
off transactions or not
(Y/N)
Explanation on account receivable write-off:
Nil
(4) Top five account receivables collected by arrears party at ending balance
Unit: RMB/CNY
Proportion of total closing
Ending balance of accounts Ending balance of bad bet
Enterprise balance of accounts
receivable provision
receivable
Fuzhou Cangshan Dingjue
34,119,519.81 19.94% 102,358.56
Jewelry Firm
Fuzhou Rongrun Jewelry Co.,
28,325,616.77 16.55% 84,976.85
Ltd.
Shenzhen Yunshang Jewelry
28,107,722.05 16.42% 84,323.17
Co., Ltd.
Fuzhou Zuankinson Jewelry
23,737,828.86 13.87% 71,213.49
Co., Ltd.
Guangshui Jiaxu Energy
21,862,832.43 12.78% 17,490,265.94
Technology Co., Ltd.
Total 136,153,519.92 79.56%
(5) Account receivable derecognized due to transfer of financial assets
Nil
(6) Assets and liability resulted by account receivable transfer and continuous involvement
Nil
Other explanation:
Nil
6. Receivable financing
Unit: RMB/CNY
Item Ending balance Opening balance
Change of receivables financing and fair value in the period
□Applicable Not applicable
If the provision for bad debts of receivable financing is made in accordance with the general model of expected credit losses,
please refer to the disclosure of other account receivable to disclose related information about bad-debt provisions:
□Applicable Not applicable
Other explanation:
Nil
109
7. Accounts paid in advance
(1) Accounts paid in advance by ageing
Unit: RMB/CNY
Ending balance Opening balance
Account age
Amount Ratio Amount Ratio
Within one year 2,740,178.99 99.93% 4,285,047.15 99.96%
1-2 years 1,888.00 0.07% 1,888.00 0.04%
Total 2,742,066.99 4,286,935.15
Explanation on un-settlement in time for advance payment with over one year account age and major amounts:
Nil
(2) Top 5 advance payment at ending balance by prepayment object
Ratio in
total
Enterprise Relationship Amount Account age Nature
advance e
payment(%)
82.31
Payment
Within one
Non-related for goods
2,256,987.95 year(one year
party paid in
included)
Shenzhen Tielbo Co., Ltd. advance
13.35
Payment
Within one
Non-related for goods
366,000.00 year(one year
Shenzhen ESTAR Industry party paid in
included)
Co., Ltd. advance
3.04
Payment
Within one
Changzhou Ruiqi Precision Non-related for goods
83,400.00 year(one year
Measurement Tech. Co., party paid in
included)
Ltd. advance
0.60
Payment
Within one
Non-related for goods
16,457.23 year(one year
Shenzhen Cuilu Gold party paid in
included)
Business advance
0.27
Payment
Within one
Non-related for goods
7,521.06 year(one year
Shenzhen Huamao Gold party paid in
included)
Co., Ltd. advance
99.57
Total 2,730,366.24
110
Other explanation:
Nil
8. Other account receivable
Unit: RMB/CNY
Item Ending balance Opening balance
Other account receivable 2,461,431.37 438,477.82
Total 2,461,431.37 438,477.82
(1) Interest receivable
1) Category of interest receivable
Unit: RMB/CNY
Item Ending balance Opening balance
2) Important overdue interest
Unit: RMB/CNY
Impairment (Y/N) and
Borrower Ending balance Overdue time Overdue reason
judgment basis
Other explanation:
Nil
3) Accrual of bad debt provision
□Applicable Not applicable
(2) Dividend receivable
1) Category of dividend receivable
Unit: RMB/CNY
Item (or the invested entity) Ending balance Opening balance
2) Important dividend receivable with over one year aged
Unit: RMB/CNY
Item (or the invested Causes of failure for Impairment (Y/N) and
Ending balance Account age
entity) collection judgment basis
3) Accrual of bad debt provision
□Applicable Not applicable
111
Other explanation:
Nil
(3) Other account receivable
1) Other account receivable by nature of payment
Unit: RMB/CNY
Nature Ending book balance Opening book balance
Other 2,138,921.49 62,744.32
Deposit or margin 433,011.50 504,107.88
Payment for equipment 311,400.00 311,400.00
Employee loans 57,404.89 33,445.00
Total 2,940,737.88 911,697.20
2) Accrual of bad debt provision
Unit: RMB/CNY
Phase I Phase II Phase III
Expected credit losses Expected credit losses
Bad debt provision Expected credit losses for the entire duration for the entire duration Total
over next 12 months (without credit (with credit impairment
impairment occurred) occurred)
Balance on January 1,
473,219.38 473,219.38
2023
January 1, 2023
balance in the current
period
Accrual in the Period 6,224.93 6,224.93
Reversal in the Period 137.80 137.80
Balance on June 30,
479,306.51 479,306.51
2023
Change of book balance of loss provision with amount has major changes in the period
□Applicable Not applicable
Disclosure by ageing
Unit: RMB/CNY
Account age Ending balance
Within one year(one year included) 2,297,958.00
1-2 years 155,048.88
2-3 years 15,831.00
Over 3 years 471,900.00
3-4 years 60,000.00
4-5 years 50,000.00
Over 5 years 361,900.00
Total 2,940,737.88
112
3) Bad debt provision accrual, collected or reversal in the period
Accrual of bad debt provision in the period:
Unit: RMB/CNY
Current changes
Opening
Category Collected or Ending balance
balance Accrual Write off Other
reversal
Other account
receivable Bad
473,219.38 6,224.93 137.80 479,306.51
debt provision-
Phase I
Total 473,219.38 6,224.93 137.80 479,306.51
Important amount of bad debt provision switch-back or collection in the period:
Unit: RMB/CNY
Enterprise Amount switch-back or collection Collection way
Nil
4) Other account receivables actually write-off during the reporting period
Unit: RMB/CNY
Item Amount written off
Including important other account receivables write-off:
Unit: RMB/CNY
Amount cause by
Nature of other Amount written related
Enterprise Causes Procedure
account receivable off transactions or not
(Y/N)
Other explanation on account receivable write-off:
Nil
5) Top 5 other account receivable collected by arrears party at ending balance
Unit: RMB/CNY
Proportion in total
other account Ending balance of
Enterprise Nature Ending balance Account age
receivables at bad bet provision
period-end
Fuzhou Cangshan
Dingjue Jewelry Other 1,741,171.96 Within one year 59.21% 5,223.52
Firm
Shenzhen Luwei Payment for 300,000.00 Over 5 years 10.20% 300,000.00
113
Mechatronic equipment
Equipment Co.,
Ltd
Shenzhen Luohu
Government
Property Margin or deposit 161,349.10 Within one year 5.49% 484.05
Management
Office
Shenzhen
Hualinglong
Other 157,258.83 Within one year 5.35% 471.78
Jewelry Culture
Tech. Co., Ltd.
Alipay (China)
Network
Technology Co., Margin or deposit 110,000.00 3-4 years 3.74% 110,000.00
Ltd. customer
reserve fund
Total 2,469,779.89 83.99% 416,179.35
6) Account receivable with government subsidy involved
Unit: RMB/CNY
Time, amount and
Enterprise Government subsidy Ending balance Ending account age basis of amount
collection estimated
Nil
7) Other account receivable derecognized due to financial assets transfer
Nil
8) Assets and liability resulted by other account receivable transfer and continuous involvement
Nil
Other explanation:
Nil
9. Inventory
Whether companies need to comply with the disclosure requirements of the real estate industry
No
(1) Category of inventory
Unit: RMB/CNY
Ending balance Opening balance
Item Provision for Provision for
Book balance Book value Book balance Book value
inventory inventory
114
depreciation or depreciation or
impairment of impairment of
contractual contractual
performance performance
costs costs
142,009,608. 142,009,608. 22,911,015.6 22,911,015.6
Raw materials
13 13 9 9
40,874,466.8 40,462,446.0 25,045,073.7 24,633,052.9
Finished goods 412,020.87 412,020.87
9 2 7 0
Consigned
processing 7,902,854.80 7,902,854.80 662,798.22 662,798.22
materials
190,786,929. 190,374,908. 48,618,887.6 48,206,866.8
Total 412,020.87 412,020.87
82 95 8 1
The Company shall comply with the disclosure requirement of jewelry-related industries in the “Shenzhen Stock Exchange Self-
Regulatory Guidelines for Listed Companies No. 3- Industry Disclosure”
(2) Provision for inventory depreciation and impairment of contractual performance costs
Unit: RMB/CNY
Current increased Current decreased
Opening
Item Switch back or Ending balance
balance Accrual Other Other
charge-off
Finished goods 412,020.87 412,020.87
Total 412,020.87 412,020.87
(3) Explanation on capitalization of borrowing costs at ending balance of inventory
Nil
(4) Explanation on the current amortization amount of contract performance costs
Nil
10. Contractual assets
Unit: RMB/CNY
Ending balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Amount of significant changes in the carrying amount of contractual assets during the period and causes:
Unit: RMB/CNY
Item Amount changes Reason for change
If the provision for bad debts of contractual asset is made in accordance with the general model of expected credit losses, please
115
refer to the disclosure of other account receivable to disclose related information about bad-debt provisions:
□Applicable Not applicable
Provision for impairment of contractual assets during the Period
Unit: RMB/CNY
Write-off/cancellations
Item Accrual in the Period Reversal in the Period Causes
in the Period
Other explanation:
Nil
11. Assets held for sale
Unit: RMB/CNY
Expected
Ending book Impairment Ending book Expected
Item Fair value disposal
balance provision value disposal time
expenses
Other explanation:
Nil
12. Non-current asset due within one year
Unit: RMB/CNY
Item Ending balance Opening balance
Important debt investment/other debt investment
Unit: RMB/CNY
Ending balance Opening balance
Debt Coupon Coupon
Face value Actual rate Due date Face value Actual rate Due date
rate rate
Other explanation:
Nil
13. Other current assets
Unit: RMB/CNY
Item Ending balance Opening balance
Tax allowances and input tax to be
34,580,392.74 35,453,106.62
certified
Total 34,580,392.74 35,453,106.62
Other explanation:
Nil
116
14. Debt investment
Unit: RMB/CNY
Ending balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Important debt investment
Unit: RMB/CNY
Ending balance Opening balance
Debt Coupon Coupon
Face value Actual rate Due date Face value Actual rate Due date
rate rate
Accrual of impairment provision
Unit: RMB/CNY
Phase I Phase II Phase II
Expected credit losses Expected credit losses
Bad debt provision Expected credit losses for the entire duration for the entire duration Total
over next 12 months (without credit (with credit impairment
impairment occurred) occurred)
January 1, 2023
balance in the current
period
Change of book balance of loss provision with amount has major changes in the period
□Applicable Not applicable
Other explanation:
Nil
15. Other debt investment
Unit: RMB/CNY
Cumulative
loss
Change of impairment
Cumulative
Opening Accrued fair value Ending recognized
Item Cost changes of Note
balance interest in the balance in other
fair value
period comprehen
sive
income
Important other debt investment
Unit: RMB/CNY
Ending balance Opening balance
Other debt
investment Coupon Coupon
Face value Actual rate Due date Face value Actual rate Due date
rate rate
Accrual of impairment provision
Unit: RMB/CNY
117
Phase I Phase II Phase II
Expected credit losses Expected credit losses
Bad debt provision Expected credit losses for the entire duration for the entire duration Total
over next 12 months (without credit (with credit impairment
impairment occurred) occurred)
January 1, 2023
balance in the current
period
Change of book balance of loss provision with amount has major changes in the period
□Applicable Not applicable
Other explanation:
Nil
16. Long-term account receivable
(1) Long-term account receivable
Unit: RMB/CNY
Ending balance Opening balance
Discount rate
Item Bad debt Bad debt
Book balance Book value Book balance Book value interval
provision provision
Impairment of bad debt provision
Unit: RMB/CNY
Phase I Phase II Phase II
Expected credit losses Expected credit losses
Bad debt provision Expected credit losses for the entire duration for the entire duration Total
over next 12 months (without credit (with credit impairment
impairment occurred) occurred)
January 1, 2023
balance in the current
period
Change of book balance of loss provision with amount has major changes in the period
□Applicable Not applicable
Nil
(2) Long-term account receivable derecognized due to financial assets transfer
Nil
(3) Assets and liabilities resulted by long-term account receivable transfer and continues involvement
Nil
Other explanation:
118
Nil
17. Long-term equity investment
Unit: RMB/CNY
Changes in the period (+, -)
Ending
Openin Investm Cash balance
Other Accrual Ending
The g ent dividen of
Additio compre of balance
investe balance Capital gains Other d or impair
nal hensive impair (Book
d entity (Book reducti recogni equity profit Other ment
investm income ment value)
value) on zed change announ provisi
ent adjustm provisi
under ced to on
ent on
equity issued
I. Joint venture
Subtota
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
l
II. Associated enterprise
Total 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Other explanation:
Nil
18. Investment in other equity instrument
Unit: RMB/CNY
Item Ending balance Opening balance
Itemized the non-tradable equity instrument investment in the period
Unit: RMB/CNY
Causes of those
that designated
Retained Cause of
measured by
earnings retained
Dividend fair value and
earnings
Cumulative Cumulative transfer from with its
Item income transfer from
gains losses other variation
recognized other
comprehensive reckoned into
comprehensive
other
income income
comprehensive
income
Other explanation:
Nil
19. Other non-current financial assets
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
119
20. Investment real estate
(1) Investment real estate measured at cost
□Applicable Not applicable
(2) Investment real estate measured at fair value
□Applicable Not applicable
(3) Investment real estate without property rights certificate
Unit: RMB/CNY
Reasons for failing to complete the
Item Book value
property rights certificate
Other explanation:
Nil
21. Fix assets
Unit: RMB/CNY
Item Ending balance Opening balance
Fix assets 2,255,797.28 2,304,402.38
Total 2,255,797.28 2,304,402.38
(1) Fix assets
Unit: RMB/CNY
Electronic
Houses and Machinery
Item Carrier equipment and Total
buildings equipment
others
I. Original book
value:
1.Opening
2,959,824.00 1,209,295.35 958,593.21 299,852.09 5,427,564.65
balance
2.Current
64,949.07 64,949.07
increased
(1)
64,949.07 64,949.07
Purchase
(2)
Construction in
progress transfer-
in
(3) The
increase in
business
combination
120
3.Current
121,010.22 121,010.22
decreased
(1)
121,010.22 121,010.22
Disposal or scrap
4.Ending
2,959,824.00 1,209,295.35 958,593.21 243,790.94 5,371,503.50
balance
II. Accumulated
depreciation
1.Opening
865,748.52 429,520.61 862,386.24 235,901.15 2,393,556.52
balance
2.Current
66,596.04 6,814.38 27,844.81 101,255.23
increased
(1)
66,596.04 6,814.38 27,844.81 101,255.23
Accrual
3.Current
108,711.28 108,711.28
decreased
(1)
108,711.28 108,711.28
Disposal or scrap
4.Ending
932,344.56 436,334.99 862,386.24 155,034.68 2,386,100.47
balance
III. Impairment
provision
1.Opening
729,605.75 729,605.75
balance
2.Current
increased
(1)
Accrual
3.Current
decreased
(1)
Disposal or scrap
4.Ending
729,605.75 729,605.75
balance
IV. Book value
1.Ending
2,027,479.44 43,354.61 96,206.97 88,756.26 2,255,797.28
book value
2.Opening
2,094,075.48 50,168.99 96,206.97 63,950.94 2,304,402.38
book value
(2) Fixed assets temporary idle
Unit: RMB/CNY
Item Original book Accumulated Impairment Book value Note
121
value depreciation provision
Machinery
1,044,247.81 314,642.06 729,605.75 0.00
equipment
(3) Fixed assets leasing-out by operational lease
Unit: RMB/CNY
Item Ending book value
(4) Fixed assets without property rights certificate
Unit: RMB/CNY
Reasons for failing to complete the
Item Book value
property rights certificate
The six properties of Lianxin Garden 7-
20F with original value of 2,959,824.00
Yuan. The property purchasing refers to
the indemnificatory housing for
enterprise talent buying from Shenzhen
Housing and Construction Bureau of
Six properties in Lianxin Garden 2,094,075.48 Luohu District. According to the
agreement, the enterprise shall not
carrying any kind of property trading
with any units or individuals except the
government, and the company has no
property certification on the above
mentioned properties.
Other explanation:
Nil
(5) Disposal of fix assets
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
22. Construction in progress
Unit: RMB/CNY
Item Ending balance Opening balance
(1) Construction in progress
Unit: RMB/CNY
Ending balance Opening balance
Item
Book balance Impairment Book value Book balance Impairment Book value
122
provision provision
(2) Changes in significant construction in progress
Unit: RMB/CNY
includi
Accum
Fixed Propor ng: Interes
Other ulated
Openi Curren assets tion of interes t
amoun
decrea Ending project t capital
ng t transfe Progre t of Source of
Item Budget sed in balanc invest capital ization
balanc increas r-in in ss interes funds
the e ment ized rate of
e ed the t
Period in amoun the
capital
Period budget t of the year
ization
year
(3) Provision for impairment of construction in progress in the current period
Unit: RMB/CNY
Item Accrual in the period Reasons for accrual
Other explanation:
Nil
(4) Engineering materials
Unit: RMB/CNY
Ending balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Other explanation:
Nil
23. Productive biological asset
(1) Productive biological assets measured by cost
□Applicable Not applicable
(2) Productive biological assets measured by fair value
□Applicable Not applicable
24. Oil and gas asset
□Applicable Not applicable
25. Right-of-use assets
Unit: RMB/CNY
123
Item Houses and buildings Total
I. Original book value
1.Opening balance 2,955,726.43 2,955,726.43
2.Current increased
3.Current decreased
4.Ending balance 2,955,726.43 2,955,726.43
II. Accumulated depreciation
1.Opening balance 2,781,789.72 2,781,789.72
2.Current increased 173,936.71 173,936.71
(1) Accrual 173,936.71 173,936.71
3.Current decreased
(1) Disposal
4.Ending balance 2,955,726.43 2,955,726.43
III. Impairment provision
1.Opening balance
2.Current increased
(1) Accrual
3.Current decreased
(1) Disposal
4.Ending balance
IV. Book value
1.Ending book value
2.Opening book value 173,936.71 173,936.71
Other explanation:
Nil
26. Intangible assets
(1) Intangible assets
Unit: RMB/CNY
Non-patent
Item Land use right Patent Total
technology
I. Original book
value
1.Opening
balance
2.Current
increased
124
(1)
Purchase
(2)Intern
al R & D
(3) The
increase in
business
combination
3.Current
decreased
(1)
Disposal
4.Ending
balance
II. Accumulated
amortization
1.Opening
balance
2.Current
increased
(1)
Accrual
3.Current
decreased
(1)
Disposal
4.Ending
balance
III. Impairment
provision
1.Opening
balance
2.Current
increased
(1)
Accrual
3.Current
decreased
(1)
Disposal
4.Ending
balance
IV. Book value
1.Ending
125
book value
2.Opening
book value
Ratio of intangible assets resulted from internal R&D in balance of intangible assets at period-end
(2) Land use right without certificate of title completed
Unit: RMB/CNY
Reasons for failing to complete the
Item Book value
property rights certificate
Other explanation:
Nil
27. Expense on Research and Development
Unit: RMB/CNY
Current increased Current decreased
Opening Recognized Transfer to Ending
Item Internal
balance as current balance
expense on Other
intangible profit and
R&D
assets loss
Total
Other explanation:
Nil
28. Goodwill
(1) Goodwill Original book value
Unit: RMB/CNY
Current increased Current decreased
The invested Opening Resulted by Ending balance
entity or items balance enterprise Disposal
combination
Total
(2) Impairment provision for goodwill
Unit: RMB/CNY
The invested Opening Current increased Current decreased
Ending balance
entity or items balance Accrual Disposal
Total
Information about the asset group or asset group combination in which the goodwill is located
126
Nil
Explain the method of confirming the goodwill impairment test process, key parameters (such as the forecast period growth rate,
stable period growth rate, profit rate, discount rate, forecast period, etc. when estimating the present value of future cash flow), and
the impairment loss of goodwill:
Nil
Impact of impairment test for goodwill
Nil
Other explanation:
Nil
29. Long-term expenses to be apportioned
Unit: RMB/CNY
Amortized in the
Item Opening balance Current increased Other decrease Ending balance
Period
Other explanation:
Nil
30. Deferred income tax asset /Deferred income tax liabilities
(1) Deferred income tax assets without offset
Unit: RMB/CNY
Ending balance Opening balance
Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference asset difference asset
Bad debt provision 580,183.99 145,046.00 249,675.40 62,418.85
Provision for decline in
226,201.90 56,550.48 226,201.90 56,550.48
value of inventories
Total 806,385.89 201,596.48 475,877.30 118,969.33
(2) Deferred income tax liabilities without offset
Unit: RMB/CNY
Ending balance Opening balance
Item Taxable temporary Deferred income tax Taxable temporary Deferred income tax
differences liabilities differences liabilities
(3) Deferred income tax assets and deferred income tax liabilities listed after off-set
Unit: RMB/CNY
127
Ending balance of Trade-off between the Opening balance of
Trade-off between the
deferred income tax deferred income tax deferred income tax
Item deferred income tax assets or liabilities after assets and liabilities at assets or liabilities after
assets and liabilities off-set period-begin off-set
Deferred income tax
201,596.48 118,969.33
asset
(4) Details of deferred income tax assets without recognized
Unit: RMB/CNY
Item Ending balance Opening balance
(5) Deductible losses of un-recognized deferred income tax assets expired on the followed year
Unit: RMB/CNY
Year Ending amount Opening amount Note
Other explanation:
Nil
31. Other non-current asset
Unit: RMB/CNY
Ending balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Advance
payment for 400,000.00 400,000.00 400,000.00 400,000.00
house
Total 400,000.00 400,000.00 400,000.00 400,000.00
Other explanation:
As of June 30, 2023, the Housing and Construction Bureau of Luohu District, Shenzhen City has not delivered houses for enterprise
talents in Luohu District.
32. Short-term loans
(1) Category of short-term loans
Unit: RMB/CNY
Item Ending balance Opening balance
Explanation on short-term loans category:
Nil
(2) Overdue outstanding short-term loans
Total 0.00 Yuan overdue outstanding short-term loans at period-end, including the followed significant amount:
Unit: RMB/CNY
128
Borrower Ending balance Lending rate Overdue time Overdue rate
Other explanation:
Nil
33. Trading financial liability
Unit: RMB/CNY
Item Ending balance Opening balance
Including:
Including:
Other explanation:
Nil
34. Derivative financial liability
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
35. Note payable
Unit: RMB/CNY
Category Ending balance Opening balance
Notes expired at period-end without paid was 0.00 Yuan.
36. Account payable
(1) Account payable
Unit: RMB/CNY
Item Ending balance Opening balance
Within one year(one year included) 22,233,996.11 1,914,595.55
1-2 years (2 years included) 245,706.95 12,683.17
2-3 years (3 years included) 48,424.51 48,424.51
3-4 years(4 years included) 410,259.07 410,259.07
4-5 years(5 years included) 487,016.93 487,016.93
Over 5 years 4,444.00 4,444.00
Total 23,429,847.57 2,877,423.23
(2) Important account payable with account age over one year
Unit: RMB/CNY
129
Reasons for non-reimbursement or carry-
Item Ending balance
forward
Other explanation:
Nil
37. Accounts received in advance
(1) Accounts received in advance
Unit: RMB/CNY
Item Ending balance Opening balance
(2) Account received in advance with over one year book age
Unit: RMB/CNY
Reasons for non-reimbursement or carry-
Item Ending balance
forward
Other explanation:
Nil
38. Contract liability
Unit: RMB/CNY
Item Ending balance Opening balance
Receipt of goods in advance 437,102.15 791,762.84
Total 437,102.15 791,762.84
Book value has major changes in the period and causes
Unit: RMB/CNY
Amount
Item Reason for change
changes
39. Wage payable
(1) Wage payable
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
I. Short-term
769,992.42 3,440,576.22 3,326,138.71 884,429.93
compensation
II. Post-employment
benefit-Defined 328,351.80 328,351.80
contribution plan
Total 769,992.42 3,768,928.02 3,654,490.51 884,429.93
130
(2) Short-term compensation
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
1. Wages, bonus,
763,809.95 3,111,788.07 2,996,101.43 879,496.59
allowances and subsidy
3. Social insurance 132,399.92 132,399.92
Including:Medical
116,511.93 116,511.93
insurance
Work
5,296.00 5,296.00
injury insurance
Maternity
10,591.99 10,591.99
insurance
4. Housing
164,360.44 164,360.44
accumulation fund
5. Labor union
expenditure and
6,182.47 32,027.79 33,276.92 4,933.34
personnel education
expense
Total 769,992.42 3,440,576.22 3,326,138.71 884,429.93
(3) Defined contribution plan
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
1. Basic endowment
insurance 296,575.82 296,575.82
2. Unemployment
insurance 31,775.98 31,775.98
Total 328,351.80 328,351.80
Other explanation:
Nil
40. Taxes payable
Unit: RMB/CNY
Item Ending balance Opening balance
Value added tax 14,030,985.32 33,374,610.42
Consumption tax 0.00 0.00
Enterprise income tax 971,408.43 1,113,788.23
Individual income tax 21,003.96 29,149.60
City maintenance & construction tax 2,008,282.46 2,056,530.87
Stamp tax 15,190.36 101,516.08
Educational surcharge 1,434,449.94 1,468,913.16
Total 18,481,320.47 38,144,508.36
Other explanation:
131
Nil
41. Other account payable
Unit: RMB/CNY
Item Ending balance Opening balance
Other account payable 47,850,414.91 48,621,087.98
Total 47,850,414.91 48,621,087.98
(1) Interest payable
Unit: RMB/CNY
Item Ending balance Opening balance
Important interest overdue without paid:
Unit: RMB/CNY
Borrower Amount overdue Overdue reason
Other explanation:
Nil
(2) Dividend payable
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:including dividends payable with over one year age and disclosure un-payment reasons
Nil
(3) Other account payable
1) Nature of other account payable
Unit: RMB/CNY
Item Ending balance Opening balance
Custodian and common benefit debts 27,321,128.01 28,624,749.18
Warranty and guarantee money 1,581,940.00 1,781,940.00
Intercourse funds 16,500,000.00 16,500,000.00
Other payable service charge
(intermediary services included) 235,200.00 801,237.73
Collection and payment 648,626.35 669,657.66
Other 1,563,520.55 243,503.41
Total 47,850,414.91 48,621,087.98
2) Important other payable with over one year age
Unit: RMB/CNY
132
Reasons for non-reimbursement or carry-
Item Ending balance
forward
Custodian and common benefit debts 27,321,128.01
Shenzhen Jianzhi Industrial
10,000,000.00 Pre-collection of cooperation deposit
Development Co., Ltd.
Total 37,321,128.01
Other explanation:
1. “Intercourse funds ” at period-end includes 10,000,000.00 yuan, which is the cooperation deposit received in advance from
Shenzhen Jianzhi Industrial Development Co., Ltd that may need to be returned in the future;
2. “Intercourse funds ” at period-end includes 6,500,000.00 yuan, which is the interest-free loan applied by subsidiary of the
Company Shenzhen Emmelle Industrial Co., Ltd to Shenzhen Guosheng Energy Investment Development Co., Ltd(the shareholder
of CBC) on November 1, 2010 to supplement the daily working capital.
42. Liability held for sale
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
43. Non-current liabilities due within one year
Unit: RMB/CNY
Item Ending balance Opening balance
Lease liabilities due within one year 0.00 210,892.38
Total 210,892.38
Other explanation:
Nil
44. Other current liabilities
Unit: RMB/CNY
Item Ending balance Opening balance
Sales taxes to be carried forward 56,823.28 102,929.16
Total 56,823.28 102,929.16
Changes of short-term bond payable:
Unit: RMB/CNY
Premiu
Openin Accrual
Issued m/disco Paid in
Face Release Bond Issuing interest Ending
Bond g in the unt the
value date period amount by face balance
balance Period amortiz Period
value
ation
133
Total
Other explanation:
Nil
45. Long-term loans
(1) Category of long-term loans
Unit: RMB/CNY
Item Ending balance Opening balance
Explanation on category of long-term loans:
Nil
Other explanation: including interest rate section
Nil
46. Bonds payable
(1) Bonds payable
Unit: RMB/CNY
Item Ending balance Opening balance
(2) Changes of bonds payable (not including the other financial instrument of preferred stock and
perpetual capital securities that classify as financial liability)
Unit: RMB/CNY
Premiu
Openin Accrual
Issued m/disco Paid in
Face Release Bond Issuing interest Ending
Bond g in the unt the
value date period amount by face balance
balance Period amortiz Period
value
ation
Total
(3) Convertible conditions and time for shares transfer for the convertible bonds
Nil
(4) Other financial instruments classify as financial liability
Outstanding other financial instruments as preferred stock and perpetual bonds at period-end
Nil
134
Changes of the outstanding financial instruments as preferred stock and perpetual bonds at period-end
Unit: RMB/CNY
Outstandin Period-begin Current increased Current decreased Period-end
g financial
instrument Amount Book value Amount Book value Amount Book value Amount Book value
Basis for financial liability classification for other financial instrument
Nil
Other explanation:
Nil
47. Lease liability
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
48. Long-term account payable
Unit: RMB/CNY
Item Ending balance Opening balance
(1) Nature of long-term account payable
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
(2) Special payable
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance Causes
Other explanation:
Nil
135
49. Long-term wages payable
(1) Long-term wages payable
Unit: RMB/CNY
Item Ending balance Opening balance
(2) Changes of defined benefit plans
Present value of the defined benefit plans:
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Scheme assets:
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Net liability (assets) of the defined benefit plans
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Content of defined benefit plans and relevant risks, impact on future cash flow of the Company as well as times and uncertainty:
Nil
Major actuarial assumption and sensitivity analysis:
Nil
Other explanation:
Nil
50. Accrual liability
Unit: RMB/CNY
Item Ending balance Opening balance Causes
Outstanding litigation 878,000.00 887,342.00
Total 878,000.00 887,342.00
Other explanation, including relevant important assumptions and estimation:
Nil
51. Deferred income
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance Causes
136
Item with government subsidy involved:
Unit: RMB/CNY
Amount
Amount Cost Assets-
New grants reckoned in
Opening reckoned in reduction Other Ending
Liability in the non- related/inco
balance other in the changes balance
Period operation me related
income period
revenue
Other explanation:
Nil
52. Other non-current liabilities
Unit: RMB/CNY
Item Ending balance Opening balance
Other explanation:
Nil
53. Share capital
Unit: RMB/CNY
Changes in the period (+, -)
Opening Shares Ending
balance New shares transferred balance
Bonus share Other Subtotal
issued from capital
reserve
689,184,933. 689,184,933.
Total shares
00 00
Other explanation:
Nil
54. Other equity instrument
(1) Outstanding other financial instruments as preferred stock and perpetual bonds at period-end
Nil
(2) Changes of the outstanding other financial instruments as preferred stock and perpetual bonds at period-end
Unit: RMB/CNY
Outstandin Period-begin Current increased Current decreased Period-end
g financial
instrument Amount Book value Amount Book value Amount Book value Amount Book value
Changes of other equity instrument, change reasons and relevant accounting treatment basis:
Nil
137
Other explanation:
Nil
55. Capital public reserve
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
Capital premium(Share
150,990,173.10 150,990,173.10
capital premium)
Other capital public
627,834,297.85 627,834,297.85
reserve
1. Debt restructuring
482,580,588.23 482,580,588.23
income
2.Other 145,253,709.62 145,253,709.62
Total 778,824,470.95 778,824,470.95
Other explanation:including changes and reasons for changes
1. Among the “other capital public reserves” , 135,840,297.18 Yuan refers to the payment for creditor from shares assignment by
whole shareholders; majority shareholder Shenzhen Guosheng Energy Investment Development Co., Ltd. donated 5,390,399.74
Yuan.
56. Inventory shares
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
Other explanation:including changes and reasons for changes
Nil
57. Other comprehensive income
Unit: RMB/CNY
Current period incurred
Less: Less:
written in written in
other other
comprehen comprehen
sive sive Belong to Belong to
Opening Account income in income in Ending
Item Less: parent minority
balance before previous previous balance
income tax period and period and Income tax company after shareholders
in the period carried carried expenses
tax after tax
forward to forward to
gains and retained
losses in earnings in
current current
period period
Other explanation: including the active part of the hedging gains/losses of cash flow transfer to initial recognition adjustment for
the arbitraged items
138
Nil
58. Reasonable reserve
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
Other explanation:including changes and reasons for changes
Nil
59. Surplus public reserve
Unit: RMB/CNY
Item Opening balance Current increased Current decreased Ending balance
Statutory surplus
32,673,227.01 32,673,227.01
reserves
Total 32,673,227.01 32,673,227.01
Explanation: including changes and reasons for changes
Nil
60. Retained profit
Unit: RMB/CNY
Item Current period Prior period
Retained profit at period-end before
adjustment -1,210,553,312.45 -1,202,936,933.70
Retained profit at period-begin after
adjustment -1,210,553,312.45 -1,202,936,933.70
Add: net profit attributable to
shareholders of parent company for this 4,862,298.90 -1,483,364.22
year
Retained profit at period-end -1,205,691,013.55 -1,204,420,298.12
Adjustment for retained profit at period-begin:
1) Retroactive adjustment due to the Accounting Standards for Business Enterprise and relevant new regulations, retained profit at
period-begin has 0.00 Yuan affected;
2) Due to the accounting policy changes, retained profit at period-begin has 0.00 Yuan affected;
3) Due to the major accounting errors correction, retained profit at period-begin has 0.00 Yuan affected;
4) Consolidation range changed due to the same control, retained profit at period-begin has 0.00 Yuan affected;
5) Total other adjustment impacts 0.00 Yuan retained profit at period-begin
61. Operation revenue and operation cost
Unit: RMB/CNY
Current period incurred Prior period incurred
Item
Revenue Cost Revenue Cost
Main business 290,765,045.12 277,274,706.74 104,214,067.47 98,957,121.72
Other business 2,234,117.38 1,209,446.00 2,451,379.10 1,258,517.92
139
Total 292,999,162.50 278,484,152.74 106,665,446.57 100,215,639.64
Revenue:
Unit: RMB/CNY
Contract type 1# Division 2# Division Total
Product type 292,999,162.50 292,999,162.50
Including:
Jewelry and gold 289,579,544.92 289,579,544.92
Lithium battery
material for bicycles 3,419,617.58 3,419,617.58
and other
Classification by
business area
Including:
Market or customer
type
Including:
Contract type
Including:
Classification by time
of goods transfer
Including:
Classification by
contract duration
Including:
Classification by sales
channel
Including:
Total 292,999,162.50 292,999,162.50
Information relating to performance obligation:
Nil
Information relating to the transaction price assigned to the remaining performance obligation:
The amount of revenue corresponding to performance obligation that have been signed but have not been fulfilled or have not been
fulfilled at the end of the period was 0.00 Yuan, including 0.00 Yuan is expected to be recognized as revenue in subsequent years,
0.00 Yuan is expected to be recognized as revenue in subsequent years, 0.00 Yuan is expected to be recognized as revenue in
subsequent years. Other explanation:
Other explanation:
Nil
140
62. Tax and surcharge
Unit: RMB/CNY
Item Current period incurred Prior period incurred
City maintenance & construction tax 2,712.44 2,371.96
Educational surcharge 1,937.46 1,694.26
Stamp tax 125,047.84 38,446.51
Total 129,697.74 42,512.73
Other explanation:
Nil
63. Sales expenses
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Employee compensation 656,050.37 476,257.53
Marketing promotion fees 1,318,316.83 1,434,059.56
Online marketing fee 164,884.42 325,656.20
Other 382,962.39 187,916.24
Total 2,522,214.01 2,423,889.53
Other explanation:
Nil
64. Administration expenses
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Employee compensation 2,956,105.62 2,893,765.57
Daily administrative expenses 1,174,547.18 1,961,997.92
Total 4,130,652.80 4,855,763.49
Other explanation:
Nil
65. R&D expenses
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Employee compensation and benefits 291,150.18 647,544.40
Depreciation and amortization 46,628.10
Other 45,820.72
Total 336,970.90 694,172.50
Other explanation:
Nil
141
66. Finance expenses
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Interest expense 0.00 0.00
Less: Interest income 70,100.25 47,897.11
Commission charge etc. 11,769.30 19,872.34
Total -58,330.95 -28,024.77
Other explanation:
Nil
67. Other income
Unit: RMB/CNY
Sources Current period incurred Prior period incurred
Government subsidy 100,000.00
Personal tax withholding fee 2,092.35 3,369.17
Subsidy for stable employment 50,026.63
68. Investment income
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Other explanation:
Nil
69. Net exposure hedge gains
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Other explanation:
Nil
70. Income from change of fair value
Unit: RMB/CNY
Sources Current period incurred Prior period incurred
Other explanation:
Nil
71. Loss of credit impairment
Unit: RMB/CNY
142
Item Current period incurred Prior period incurred
Bad debt loss of other account receivable -6,087.13
Bad debt losses of accounts receivable 334,376.92 -42,610.48
Total 328,289.79 -42,610.48
Other explanation:
Nil
72. Impairment loss on assets
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Other explanation:
Nil
73. Income from assets disposal
Unit: RMB/CNY
Sources Current period incurred Prior period incurred
74. Non-operating income
Unit: RMB/CNY
Amount reckoned in current
Item Current period incurred Prior period incurred
non-recurring gains/losses
Other 1,253,150.81 224,228.84
Total 1,253,150.81 224,228.84
Government subsidy reckoned into current gains/losses:
Unit: RMB/CNY
Subsidy
impact The special Assets-
Governmen Issuing Offering Amount in Amount in
Nature current subsidy related/inco
t subsidy subject causes the Period last period
gains/losse (Y/N) me-related
s (Y/N)
Other explanation:
Nil
75. Non-operating expense
Unit: RMB/CNY
Amount reckoned in current
Item Current period incurred Prior period incurred
non-recurring gains/losses
Other 1,462,822.69
Total 1,462,822.69
Other explanation:
143
Nil
76. Income tax expenses
(1) Income tax expenses
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Current income tax expense 1,720,082.71 19,647.32
Deferred income tax expense -82,627.15
Total 1,637,455.56 19,647.32
(2) Adjustment on accounting profit and income tax expenses
Unit: RMB/CNY
Item Current period incurred
Total profit 7,574,515.52
Income tax measured by statutory/applicable tax rate 1,893,628.88
The impact of applying different tax rates to subsidiaries -74,493.76
Impact of additional deductions of R&D -99,052.41
Effect of recognized temporary differences on the difference
-82,627.15
between current tax rate and recognized deferred tax rate
Income tax expenses 1,637,455.56
Other explanation:
Nil
77. Other comprehensive income
Refer to the Note
78. Items of cash flow statement
(1) Other cash received in relation to operation activities
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Interest, rent, utilities, etc. 1,149,209.40 1,033,396.18
Deposits and guarantees received 60,222.00
Government subsidy and individual tax
2,217.90 153,395.80
handling fee refund
Other 12,116,466.37 7,542,755.24
Total 13,328,115.67 8,729,547.22
Explanation on other cash received in relation to operation activities:
Nil
144
(2) Other cash paid in relation to operation activities
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Deposits, security deposits and
7,988,000.00
compensation payment paid
Payment of period expenses, operation
4,947,274.36 2,872,432.88
expenses and co-benefit obligations
Judicial freeze 402,449.98 2,220,591.19
Total 5,349,724.34 13,081,024.07
Explanation on other cash paid in relation to operation activities:
Nil
(3) Other cash received from investment activities
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Explanation on other cash received from investment activities:
Nil
(4) Cash paid related with investment activities
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Explanation on cash paid related with investment activities
Nil
(5) Other cash received in relation to financing activities
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Explanation on other cash received in relation to financing activities:
Nil
(6) Other cash paid related with financing activities
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Lease payment 245,979.70
Total 245,979.70
Explanation on other cash paid related with financing activities:
Nil
145
79. Supplementary information to cash flow statement
(1) Supplementary information to cash flow statement
Unit: RMB/CNY
Supplementary information Current amount Amount of the previous period
1．Net profit adjusted to cash flow of
operation activities:
Net profit 5,937,059.96 -1,223,139.70
Add: Assets impairment provision -328,289.79 42,610.48
Depreciation of fixed assets,
consumption of oil assets and 101,255.23 199,046.71
depreciation of productive biology assets
Depreciation of right-of-use
assets 173,936.71 235,664.04
Amortization of intangible
assets
Amortization of long-term
expenses to be apportioned
Loss from disposal of fixed
assets, intangible assets and other long-
term assets (gain is listed with “-”)
Losses on scrapping of fixed
assets (gain is listed with “-”) 12,298.94
Gain/loss of fair value changes
(gain is listed with “-”)
Financial expenses (gain is
listed with “-”) -58,330.95
Investment loss (gain is listed
with “-”)
Decrease of deferred income tax
asset (increase is listed with “-”)
Increase of deferred income tax
liability (decrease is listed with “-”)
Decrease of inventory (increase is
listed with “-”) -142,168,042.14 -15,512,470.01
Decrease of operating receivable
accounts (increase is listed with “-”) 101,511,254.79 3,653,478.72
Increase of operating payable
accounts (decrease is listed with “-”) -388,000.06 5,545,924.43
Other -157,516.35 -2,220,591.19
Net cash flow arising from
-35,364,373.66 -9,279,476.52
operating activities
2. Material investment and financing not
involved in cash flow
Conversion of debt into capital
Switching Company bonds due within
one year
Financing lease of fixed assets
3. Net change of cash and cash
equivalents:
Balance of cash at period end 15,558,495.69 23,684,542.07
Less: Balance of cash equivalent at
year-begin 50,922,869.35 33,246,957.92
Add: Balance at year-end of cash
equivalents
Less: Balance at year-begin of cash
equivalents
146
Net increase of cash and cash
-35,364,373.66 -9,562,415.85
equivalent
(2) Net cash paid for obtaining subsidiary in the Period
Unit: RMB/CNY
Amount
Including:
Including:
Including:
Other explanation:
Nil
(3) Net cash received by disposing subsidiary in the Period
Unit: RMB/CNY
Amount
Including:
Including:
Including:
Other explanation:
Nil
(4) Constitution of cash and cash equivalent
Unit: RMB/CNY
Item Ending balance Opening balance
I. Cash 15,558,495.69 50,922,869.35
Including:Cash on hand 37,275.25 33,531.25
Bank deposit available for
15,521,220.44 50,889,338.10
payment at any time
III. Balance of cash and cash equivalents
15,558,495.69 50,922,869.35
at the period -end
Other explanation:
Nil
80. Notes of changes of owners’ equity
Explain the name and adjusted amount in “Other” at end of last period:
147
81. Assets with ownership or use right restricted
Unit: RMB/CNY
Item Ending book value Restriction reasons
In monetary funds, there has
4,179,071.81 yuan bank deposit was
Monetary fund 4,179,071.81 judicially frozen due to the litigation
with Shenzhen Jianzhi Industrial
Development Co., Ltd concerned
Total 4,179,071.81
Other explanation:
Nil
82. Foreign currency monetary items
(1) Foreign currency monetary items
Unit: RMB/CNY
Ending foreign currency Ending RMB balance
Item Convert rate
balance converted
Monetary fund
Including: USD
EURO
HKD
Account receivable
Including: USD
EURO
HKD
Long-term loans
Including: USD
EURO
HKD
Other explanation:
Nil
(2) Explanation on foreign operational entity, including as for the major foreign operational entity,
disclosed main operation place, book-keeping currency and basis for selection; if the book-keeping
currency changed, explain reasons
□Applicable Not applicable
83. Hedging
Disclosed hedging items and relevant hedging instrument based on hedging’s category, disclosed qualitative and quantitative
148
information for the arbitrage risks:
Nil
84. Government subsidy
(1) Government subsidy
Unit: RMB/CNY
Amount reckoned into current
Category Amount Item
gains/losses
(2) Government subsidy rebate
□Applicable Not applicable
Other explanation:
Nil
85. Other
Nil
VIII. Changes of consolidation scope
1. Enterprise combined under different control
(1) Enterprise combined under different control in the Period
Unit: RMB/CNY
Income of Net profit
Standard to
Acquired acquiree of acquiree
Time point Cost of Ratio of determine
way Equity Purchasing from from
Acquiree for equity equity equity the
obtained date purchasing purchasing
obtained obtained obtained purchasing
way date to date to
date
period-end period-end
Other explanation:
Nil
(2) Combination cost and goodwill
Unit: RMB/CNY
Consolidation cost
--Cash
--Fair value of non-cash assets
--Fair value of debts issued or assumed
--Fair value of equity securities issued
-- Fair value of contingent consideration
149
--Fair value of the equity prior to the purchasing date
--Other
Total combination cost
Less: shares of fair value of identifiable net assets acquired
The amount by which the goodwill/cost of consolidation is less
than the share of fair value of identifiable net assets acquired
Determination method for fair value of the combination cost and contingent consideration and changes:
Nil
Main reasons for large goodwill resulted:
Nil
Other explanation:
(3) Identifiable assets and liability on purchasing date under the acquiree
Unit: RMB/CNY
Fair value on purchasing date Book value on purchasing date
Assets:
Monetary fund
Account receivable
Inventory
Fix assets
Intangible assets
Liability:
Loan
Account payable
Deferred income tax liabilities
Net assets
Less: Minority interests
Net assets acquired
Determination method for fair value of the identifiable assets and liabilities:
Nil
Contingent liability of the acquiree bear during combination:
Nil
Other explanation:
150
Nil
(4) Gains or losses arising from re -measured by fair value for the equity held before purchasing date
Whether it is a business combination realized by two or more transactions of exchange and a transaction of obtained control rights
in the Period or not
□Yes No
(5) On purchasing date or period-end of the combination, combination consideration or fair value of identifiable assets and
liability for the acquiree are un-able to confirm rationally
Nil
(6) Other explanation:
Nil
2. Enterprise combine under the same control
(1) Enterprise combined under the same control in the Period
Unit: RMB/CNY
Income of Net profit
the of the
Income of Net profit
combined combined
Equity ratio Basis of Standard to the of the
party from party from
combined determine combined combined
Combined obtained in Combinatio period- period-
under the the party party
party combinatio n date begin of begin of
same combinatio during the during the
n combinatio combinatio
control n date comparison comparison
n to the n to the
period period
combinatio combinatio
n date n date
Other explanation:
Nil
(2) Combination cost
Unit: RMB/CNY
Consolidation cost
--Cash
-- Book value of non-cash assets
- Book value of debts issued or assumed
-- The face value of the equity securities issued
--Contingent consideration
Explanation on contingent consideration and its changes:
Nil
Other explanation:
151
Nil
(3) Book value of the assets and liability of the combined party on combination date
Unit: RMB/CNY
Consolidation date End of last period
Assets:
Monetary fund
Account receivable
Inventory
Fix assets
Intangible assets
Liability:
Loan
Account payable
Net assets
Less: Minority interests
Net assets acquired
Contingent liability of the combined party bear during combination:
Nil
Other explanation:
Nil
3. Counter purchase
Basic transaction information, basis of counter purchase, whether making up business due to the assets and liability reserved by
listed company and basis, determination of combination cost, amount and calculation on adjusted equity by equity transaction:
Nil
4. Subsidiary disposal
Whether lost controlling rights while dispose subsidiary on one time or not
□Yes No
Whether lost controlling rights in the Period while dispose subsidiary on two or more steps or not
□Yes No
152
5. Other reasons for consolidation range changed
Reasons for changed on consolidation range (such as new subsidiary established, subsidiary liquidated etc.)And relevant
information:
Nil
6. Other
Nil
IX. Equity in other entity
1. Equity in subsidiary
(1) Constitute of enterprise group
Main operation Registered Share-holding ratio
Subsidiary Business nature Acquired way
place place Directly Indirectly
Shenzhen
Distribution of
Emmelle
Shenzhen Shenzhen bicycles and 70.00% Investment
Industrial Co.,
spare parts
Ltd.
Manufacturing
Shenzhen
and sales of
Xinsen Jewelry
Shenzhen Shenzhen Jewelry, 89.20% Investment
Gold Supply
diamonds and
Chain Co., Ltd
gold
Sales of
Shenzhen
software and
Emmelle Cloud
Shenzhen Shenzhen information 49.00% Investment
Technology
technology
Co., Ltd.
service
Explanation on share-holding ratio in subsidiary different from ratio of voting right:
Nil
Basis for controlling the invested entity with half or below voting rights held and without controlling invested entity but with over
half and over voting rights:
Subsidiary of the Company-Shenzhen Emmelle Industry Co., Ltd. (with 70% equity held by the Company) holds 70% equity of
Shenzhen Emmelle Cloud Technology Co., Ltd
Controlling basis for the structuring entity included in consolidated range:
Nil
Basis on determining to be an agent or consignor:
Nil
153
Other explanation:
Nil
(2) Important non-wholly-owned subsidiary
Unit: RMB/CNY
Gains/losses Dividend announced to
Share-holding ratio of Ending equity of
Subsidiary attributable to minority distribute for minority
minority minority
in the Period in the Period
Shenzhen Xinsen
Jewelry Gold Supply 10.80% 967,919.89 15,149,847.54
Chain Co., Ltd
Explanation on share-holding ratio of minority different from ratio of voting right:
Nil
Other explanation:
Nil
(3) Main finance of the important non-wholly-owned subsidiary
Unit: RMB/CNY
Ending balance Opening balance
Subsid Curren Non- Curren Non-
Non- Total Non- Total
iary Curren Total t current Curren Total t current
current liabiliti current liabiliti
t assets assets liabiliti liabiliti t assets assets liabiliti liabiliti
assets es assets es
es es es es
Shenz
hen
Xinsen
Jewelr 208,22 208,47 89,402 89,402 43,904 44,058
253,42 153,79 4,649, 4,649,
y Gold 3,539. 6,964. ,926.1 ,926.1 ,659.2 ,456.4
4.49 7.14 218.79 218.79
Supply 54 03 4 4 6 0
Chain
Co.,
Ltd
Unit: RMB/CNY
Current period incurred Prior period incurred
Total Cash flow Total Cash flow
Subsidiary Operation comprehen from Operation comprehen from
Net profit Net profit
revenue sive operation revenue sive operation
income activity income activity
Shenzhen
Xinsen
Jewelry - -
264,533,14 4,664,800.2 4,664,800.2 93,257,753.
Gold 73,691,104. 766,245.45 766,245.45 6,051,799.0
6.97 8 8 50
Supply 35 6
Chain Co.,
Ltd
Other explanation:
154
Nil
(4) Major restriction on using corporate assets and liquidate corporate debts
Nil
(5) Financial or other supporting provided to structuring entity that included in consolidated financial statement
Nil
Other explanation:
Nil
2. Transaction that has owners equity shares changed in subsidiary but still with controlling rights
(1) Owners equity shares changed in subsidiary
Nil
(2) Impact on minority’s interest and owners’ equity attributable to parent company
Unit: RMB/CNY
Purchase cost/disposal consideration
--Cash
--Fair value of non-cash assets
Purchase cost/total disposal consideration
Less: Subsidiary's share of net assets calculated based on the
proportion of acquired/disposed equity
Difference
Including: Adjust capital public reserve
Adjust surplus public reserve
Adjusted retained profit
Other explanation:
Nil
3. Equity in joint venture and associated enterprise
(1) Important joint venture or associated enterprise
Joint venture or Share-holding ratio
Main operation Registered Accounting
associated Business nature
place place Directly Indirectly treatment
enterprise
Share-holding ratio or shares enjoyed different from voting right ratio:
Nil
155
Basis of the voting rights with 20% below but with major influence, or without major influence but with over 20% (20% include d)
voting rights hold:
Nil
(2) Main financial information of the important joint venture
Unit: RMB/CNY
Ending balance/Current period incurred Opening balance/Prior period incurred
Current assets
Including: cash and cash equivalent
Non-current assets
Total assets
Current liabilities
Non-current liabilities
Total liabilities
Minority interests
Shareholders' equity attributable to the
parent company
Share of net assets calculated by
shareholding ratio
Adjustment items
--Goodwill
--Unrealized profit of internal trading
--Other
Book value of equity investment in joint
venture
Fair value of the equity investment of
joint ventures with public offers
concerned
Operation revenue
Finance expenses
Income tax expenses
Net profit
Net profit of discontinuing operation
Other comprehensive income
Total comprehensive income
Dividends received from joint venture in
the year
Other explanation:
Nil
(3) Main financial information of the important associated enterprise
Unit: RMB/CNY
156
Ending balance/Current period incurred Opening balance/Prior period incurred
Current assets
Non-current assets
Total assets
Current liabilities
Non-current liabilities
Total liabilities
Minority interests
Equity attributable to shareholder of
parent company
Share of net assets measured by
shareholding
Adjustment
--Goodwill
--Unrealized profit of internal trading
--Other
Book value of equity investment in
associated enterprise
Fair value of the equity investment of
associated enterprise with public offers
concerned
Operation revenue
Net profit
Net profit of discontinuing operation
Other comprehensive income
Total comprehensive income
Dividends received from associated
enterprise in the year
Other explanation:
Nil
(4) Financial summary for un-important joint venture or associated enterprise
Unit: RMB/CNY
Ending balance/Current period incurred Opening balance/Prior period incurred
Joint venture：
Total numbers measured by share-
holding ratio
Associated enterprise：
Total numbers measured by share-
holding ratio
Other explanation:
Nil
157
(5) Assets transfer ability has major restriction from joint venture or associated enterprise
Nil
(6) Excess losses from joint venture or associated enterprise
Unit: RMB/CNY
Un-confirmed losses not
Joint venture or associated Cumulative un-confirmed recognized in the Period (or Cumulative un-confirmed
enterprise losses net profit enjoyed in the losses at period-end
Period)
Other explanation:
Nil
(7) Un-confirmed commitment with investment concerned with joint venture
Nil
(8) Contingent liability with investment concerned with joint venture or associated enterprise
Nil
4. Co-runs operation
Main operation Share-holding ratio/share enjoyed
Name Registered place Business nature
place Directly Indirectly
Share-holding ratio or shares enjoyed different from voting right ratio:
Nil
If the co-runs entity is the separate entity, basis of the co-runs classification
Nil
Other explanation:
Nil
5. Equity in structuring entity that excluding in the consolidated financial statement
Relevant explanation
Nil
6. Other
Nil
158
X. Risks Related to Financial Instruments
Nil
XI. Disclosure of fair value
1. Ending fair value of the assets and liabilities measured by fair value
Unit: RMB/CNY
Ending fair value
Item
First-order Second-order Third-order Total
I. Sustaining measured
by fair value -- -- -- --
II. Non-sustaining
measured by fair value -- -- -- --
2. Recognized basis for the market price sustaining and non-persistent measured by fair value on first-order
Nil
3. Valuation technique and qualitative and quantitative information on major parameters for the fair value
measure sustaining and non-persistent on second-order
Nil
4. Valuation technique and qualitative and quantitative information on major parameters for the fair value
measure sustaining and non-persistent on third-order
Nil
5. Adjustment information and sensitivity analysis of unobservable parameters for the fair value measure
sustaining and non-persistent on third-order
Nil
6. Sustaining items measured by fair value, as for the conversion between at all levels, reasons for conversion
and policy for conversion time point
Nil
7. Changes of valuation technique in the Period
Nil
8. Financial assets and liability not measured by fair value
Nil
159
9. Other
Nil
XII. Related party and related transactions
1. Parent company
Share-holding
ratio on the Voting right ratio
Parent company Registered place Business nature Registered capital
enterprise for on the enterprise
parent company
General business:
Wansheng investment in
Industrial establishment of
Holdings Shenzhen industrial (specific 500 million Yuan 20.00% 20.00%
(Shenzhen) Co., items are
Ltd separately
declared)
Explanation on parent company of the enterprise
Nil
Ultimate controller of the Company: Wang sheng hong。
Other explanation:
Nil
2. Subsidiary of the Enterprise
Found more in Note VIII-1
3. Associated enterprise and joint venture
Found more in Note
Other associated enterprise and joint venture that have related transaction with the Company in the Period or occurred in pre vious
period
Joint venture or associated enterprise Relationship with the Company
Other explanation:
Nil
4. Other related party
Other related party Relationship with the Company
Shenzhen Zuankinson Jewelry Gold Supply Chain Co., Ltd Shareholder of the subsidiary Xinsen Jewelry
The enterprise under the effective control of Chen Xuejin, wifu
Fuzhou Rongrun Jewelry Co., Ltd. of Chen Junrong, the shareholder of Shenzhen Zuankinson
Jewelry Gold Supply Chain Co., Ltd.
160
100% equity held by Shenzhen Zuankinson Jewelry Gold
Fuzhou Zuankinson Jewelry Co., Ltd.
Supply Chain Co., Ltd.
Other explanation:
Nil
5. Related transaction
(1) Goods purchasing, labor service providing and receiving
Goods purchasing/labor service receiving
Unit: RMB/CNY
Whether more than
Transaction Current period Approved Prior period
Related party the transaction
content incurred transaction amount incurred
amount
Goods sold/labor service providing
Unit: RMB/CNY
Related party Transaction content Current period incurred Prior period incurred
Fuzhou Rongrun Jewelry Co.,
Sales of goods 53,899,331.99 32,161,964.71
Ltd.
Fuzhou Zuankinson Jewelry
Sales of goods 49,772,997.49
Co., Ltd.
Explanation on goods purchasing, labor service providing and receiving
Nil
(2) Related trusteeship/contract and delegated administration/outsourcing
Trusteeship/contract
Unit: RMB/CNY
Client/ Entrusting Income from
Yield pricing
contract-out party/ Assets type Starting date Maturity date trusteeship/cont
basis
party contractor ract
Explanation on related trusteeship/contract
Nil
Delegated administration/outsourcing
Unit: RMB/CNY
Pricing basis of Trustee
Client/ Entrusting
trustee fee/outsourcing
contract-out party/ Assets type Starting date Maturity date
fee/outsourcing fee recognized
party contractor
fee in the Period
Explanation on related administration/outsourcing
Nil
161
(3) Related lease
As a lessor for the Company:
Unit: RMB/CNY
Lease income recognized in Lease income recognized in
Lessee Assets type
the Period prior Period
As a lessee for the Company:
Unit: RMB/CNY
rental cost for
Variable lease
short-term leases
payment not
and low-value Interest expenses
included in the Right-of-use assets
assets leases with Rental paid assumed on lease
measurement of increased
simplified liability
Assets leasing liability (if
Lessor processing (if
type applicable)
applicable)
Current Prior Current Prior Current Prior Current Prior Current Prior
period period period period period period period period period period
incurre incurre incurre incurre incurre incurre incurre incurre incurre incurre
d d d d d d d d d d
Explanation on related lease
Nil
(4) Related guarantee
As a guarantor for the Company
Unit: RMB/CNY
Guarantee completed
Secured party Amount guarantee Starting date Due date
(Y/N)
As a secured party for the Company
Unit: RMB/CNY
Guarantee completed
Guarantor Amount guarantee Starting date Due date
(Y/N)
Explanation on related guarantee
Nil
(5) Borrowed funds of related party
Unit: RMB/CNY
Related party Borrowed funds Starting date Due date Note
Borrowing
Lending
162
(6) Assets transfer and debt restructuring of related party
Unit: RMB/CNY
Related party Transaction content Current period incurred Prior period incurred
(7) Remuneration of key manager
Unit: RMB/CNY
Item Current period incurred Prior period incurred
Remuneration of key manager 703,586.71 769,418.63
(8) Other related transactions
Nil
6. Receivable/payable items of related parties
(1) Receivable item
Unit: RMB/CNY
Ending balance Opening balance
Item Related party
Book balance Bad debt provision Book balance Bad debt provision
Account Fuzhou Rongrun
28,325,616.77 44,987,445.10
receivable Jewelry Co., Ltd.
Fuzhou
Account
Zuankinson 23,737,828.86 19,085,600.00
receivable
Jewelry Co., Ltd.
(2) Payable item
Unit: RMB/CNY
Item Related party Ending book balance Opening book balance
Shenzhen Guosheng Energy
Other account payable Investment Development Co., 6,500,000.00 6,500,000.00
Ltd.
7. Commitments of related party
Nil
8. Other
Nil
163
XIII. Share-based payment
1. General share-based payment
□Applicable Not applicable
2. Share-based payment settled by equity
□Applicable Not applicable
3. Share-based payment settled by cash
□Applicable Not applicable
4. Revised and termination on share-based payment
Nil
5. Other
Nil
XIV. Commitment or contingency
1. Important commitments
Important commitments in balance sheet date
Nil
2. Contingency
(1) Contingency on balance sheet date
Nil
(2) For the important contingency not necessary to disclosed by the Company, explained reasons
The Company has no important contingency that need to disclosed
3. Other
Nil
164
XV. Events after balance sheet date
1. Important non-adjustment items
Unit: RMB/CNY
Impact on financial status and Reasons on un-able to
Item Content
operation results estimated the impact number
2. Profit distribution
3. Sales return
Nil
4. Other events after balance sheet date
Nil
XVI. Other important events
1. Previous accounting errors collection
(1) Retrospective restatement
Unit: RMB/CNY
Impact items of statement
Correction content Treatment procedures Cumulative impacted number
during a comparison
(2) Prospective application
Reasons for prospective application
Correction content Approval procedures
adopted
2. Debt restructuring
Nil
3. Assets replacement
(1) Non-monetary assets change
Nil
165
(2) Other assets replacement
Nil
4. Pension plan
Nil
5. Discontinued operations
Unit: RMB/CNY
Discontinued
operations
Income tax profit
Item Revenue Expenses Total profit Net profit
expenses attributable to
owners of
parent company
Other explanation:
Nil
6. Segment
(1) Recognition basis and accounting policy for reportable segment
Nil
(2) Financial information for reportable segment
Unit: RMB/CNY
Item Offset between segments Total
(3) The Company has no reportable segments, or unable to disclose total assets and total liability for
reportable segments, explain reasons
Nil
(4) Other explanation:
Nil
7. Major transaction and events makes influence on investor’s decision
Nil
166
8. Other
Nil
XVII. Principle notes of financial statements of parent company
1. Account receivable
(1) Category of account receivable
Unit: RMB/CNY
Ending balance Opening balance
Categor Book balance Bad debt provision Book balance Bad debt provision
y Book Book
Accrual value Accrual value
Amount Ratio Amount Amount Ratio Amount
ratio ratio
Account
receivab
le with
bad debt 19,743,0 15,469,4 4,273,69 19,829,0 15,489,4 4,339,69
96.40% 78.35% 8.63% 78.11%
provisio 95.32 02.18 3.14 97.29 02.18 5.11
n accrual
by single
basis
Includ
ing:
Account
s with
single
significa
nt
amount
and with 15,780,1 12,624,1 3,156,03 15,780,1 12,624,1 3,156,03
78.44% 80.00% 6.87% 80.00%
bad 56.69 25.35 1.34 56.69 25.35 1.34
debts
provisio
n
accrued
individu
ally
Account
s with
single
minor
amount
but with
3,962,93 2,845,27 1,117,66 4,048,94 2,865,27 1,183,66
bad 19.70% 71.80% 1.76% 70.77%
8.63 6.83 1.80 0.60 6.83 3.77
debts
provisio
n
accrued
individu
ally
Account 373,517. 1.86% 1,120.55 0.30% 372,396. 210,053, 91.37% 630,160. 0.30% 209,423,
167
receivab 00 45 360.30 08 200.22
le with
bad debt
provisio
n accrual
by
portfolio
Includ
ing:
Account
receivab
le
withdra
wal bad
debt
provisio
n by 373,517. 372,396. 210,053, 630,160. 209,423,
1.86% 1,120.55 0.30% 91.37% 0.30%
group of 00 45 360.30 08 200.22
credit
risk
characte
ristics
(Aging
analysis
method)
20,116,6 15,470,5 4,646,08 229,882, 16,119,5 213,762,
Total 100.00% 76.90% 100.00% 7.01%
12.32 22.73 9.59 457.59 62.26 895.33
Bad debt provision accrual on single basis: Accounts with single significant amount and with bad debts provision accrued
individually
Unit: RMB/CNY
Ending balance
Name of the Company
Book balance Bad debt provision Accrual ratio Reason for accrual
Note: the enterprise has
stopped production and
Guangshui Jiaxu is expected to be
Energy Technology 15,780,156.69 12,624,125.35 80.00% difficult to recover, the
Co., Ltd. Company has filed a
lawsuit against the
enterprise
Total 15,780,156.69 12,624,125.35
Bad debt provision accrual on single basis: Accounts with single minor amount but with bad debts provision accrued individually
Unit: RMB/CNY
Ending balance
Name of the Company
Book balance Bad debt provision Accrual ratio Reason for accrual
No bad debt accrual
Suzhou Jiaxin
between the related
Economic Trade Co., 888,757.00 888,757.00 100.00%
parties during the
Ltd.
combination term
Shenzhen Emmelle Expected to be difficult
867,189.91 0.00 0.00%
Industrial Co., Ltd. in collection
Dongguan Daxiang Expected to be difficult
656,734.00 656,734.00 100.00%
New Energy Co., Ltd. in collection
168
Suzhou Daming
Expected to be difficult
Vehicle Industry Co., 649,688.00 519,750.40 80.00%
in collection
Ltd.
Guangdong Xinlingjia Expected to be difficult
348,136.00 348,136.00 100.00%
New Energy Co., Ltd. in collection
Hubei Topsdun
Expected to be difficult
Eletronic Tech. Co., 241,068.58 120,534.29 50.00%
in collection
Ltd.
Tianjin Huiju Electric Expected to be difficult
116,840.14 116,840.14 100.00%
Vehicle Co., Ltd. in collection
Expected to be difficult
Other 194,525.00 194,525.00 100.00%
in collection
Total 3,962,938.63 2,845,276.83
Bad debt provision accrual on portfolio:Accounts receivable with provision for bad debts by aging analysis method
Unit: RMB/CNY
Ending balance
Name of the Company
Book balance Bad debt provision Accrual ratio
Within one year(one year
373,517.00 1,120.55 0.30%
included)
Total 373,517.00 1,120.55
Explanation on portfolio basis:
Nil
If the provision for bad debts of account receivable is made in accordance with the general model of expected credit losses, please
refer to the disclosure of other account receivable to disclose related information about bad-debt provisions:
□Applicable Not applicable
Disclosure by ageing
Unit: RMB/CNY
Account age Ending balance
Within one year(one year included) 6,670,146.72
1-2 years 11,003,540.60
2-3 years 1,115,247.00
Over 3 years 1,327,678.00
3-4 years 979,542.00
4-5 years 348,136.00
Total 20,116,612.32
(2) Bad debt provision accrual, collected or reversal in the period
Accrual of bad debt provision in the period:
Unit: RMB/CNY
Current changes
Opening
Category Collected or Ending balance
balance Accrual Write off Other
reversal
Accrual of bad
16,119,562.26 649,039.53 15,470,522.73
debt provision
169
for account
receivable in
the Period
Total 16,119,562.26 649,039.53 15,470,522.73
Including important amount of bad debt provision collected or reversal in the period:
Unit: RMB/CNY
Enterprise Amount collected or reversal Collection way
Nil
(3) Account receivables actually write-off during the reporting period
Unit: RMB/CNY
Item Amount written off
Including important account receivables write-off:
Unit: RMB/CNY
Amount cause by
Amount written related
Enterprise Nature Causes Procedure
off transactions or not
(Y/N)
Explanation on account receivable write-off:
Nil
(4) Top five account receivables collected by arrears party at ending balance
Unit: RMB/CNY
Proportion of total closing
Ending balance of accounts Ending balance of bad bet
Enterprise balance of accounts
receivable provision
receivable
Guangshui Jiaxu Energy
15,780,156.69 78.44% 12,624,125.35
Technology Co., Ltd.
Suzhou Jiaxin Economic
888,757.00 4.42% 888,757.00
Trade Co., Ltd.
Shenzhen Emmelle Industrial
867,189.91 4.31% 0.00
Co., Ltd.
Dongguan Daxiang New
656,734.00 3.26% 656,734.00
Energy Co., Ltd.
Suzhou Daming Vehicle
649,688.00 3.23% 519,750.40
Industry Co., Ltd.
Total 18,842,525.60 93.66%
(5) Account receivable derecognized due to transfer of financial assets
Nil
170
(6) Assets and liability resulted by account receivable transfer and continuous involvement
Nil
Other explanation:
Nil
2. Other account receivable
Unit: RMB/CNY
Item Ending balance Opening balance
Other account receivable 67,555,513.92 209,606.79
Total 67,555,513.92 209,606.79
(1) Interest receivable
1) Category of interest receivable
Unit: RMB/CNY
Item Ending balance Opening balance
2) Important overdue interest
Unit: RMB/CNY
Impairment (Y/N) and
Borrower Ending balance Overdue time Overdue reason
judgment basis
Other explanation:
Nil
3) Accrual of bad debt provision
□Applicable Not applicable
(2) Dividend receivable
1) Category of dividend receivable
Unit: RMB/CNY
Item (or the invested entity) Ending balance Opening balance
2) Important dividend receivable with over one year aged
Unit: RMB/CNY
Item (or the invested Causes of failure for Impairment (Y/N) and
Ending balance Account age
entity) collection judgment basis
171
3) Accrual of bad debt provision
□Applicable Not applicable
Other explanation:
Nil
(3) Other account receivable
1) Other account receivable by nature of payment
Unit: RMB/CNY
Nature Ending book balance Opening book balance
Current account 67,300,000.00 0.00
Other 225,758.27 119,576.50
Reserve fund 30,524.50 20,198.00
Payment for equipment 11,400.00 11,400.00
Deposit or margin 500.00 70,963.00
Total 67,568,182.77 222,137.50
2) Accrual of bad debt provision
Unit: RMB/CNY
Phase I Phase II Phase II
Expected credit losses Expected credit losses
Bad debt provision Expected credit losses for the entire duration for the entire duration Total
over next 12 months (without credit (with credit impairment
impairment occurred) occurred)
Balance on January 1,
12,530.71 12,530.71
2023
January 1, 2023
balance in the current
period
Accrual in the Period 138.14 138.14
Balance on June 30,
12,668.85 12,668.85
2023
Change of book balance of loss provision with amount has major changes in the period
□Applicable Not applicable
Disclosure by ageing
Unit: RMB/CNY
Account age Ending balance
Within one year(one year included) 67,416,708.27
1-2 years 139,574.50
Over 3 years 11,900.00
Over 5 years 11,900.00
Total 67,568,182.77
172
3) Bad debt provision accrual, collected or reversal in the period
Accrual of bad debt provision in the period:
Unit: RMB/CNY
Current changes
Opening
Category Collected or Ending balance
balance Accrual Write off Other
reversal
Other account
receivable Bad
12,530.71 138.14 12,668.85
debt provision-
Phase I
Total 12,530.71 138.14 12,668.85
Nil
Important amount of bad debt provision switch-back or collection in the period:
Unit: RMB/CNY
Enterprise Amount switch-back or collection Collection way
Nil
4) Other account receivables actually write -off during the reporting period
Unit: RMB/CNY
Item Amount written off
Including important other account receivables write-off:
Unit: RMB/CNY
Amount cause by
Nature of other Amount written related
Enterprise Causes Procedure
account receivable off transactions or not
(Y/N)
Other explanation on account receivable write-off:
Nil
5) Top 5 other account receivable collected by arrears party at ending balance
Unit: RMB/CNY
Proportion in total
other account Ending balance of
Enterprise Nature Ending balance Account age
receivables at bad bet provision
period-end
Shenzhen Xinsen
Jewelry Gold Current account
67,300,000.00 Within one year 99.60% 0.00
Supply Chain Co., of subsidiary
Ltd
Other Deposit or margin 225,758.27 1-2 years 0.33% 677.28
Huang Zeqi Reserve fund 19,998.00 Within one year 0.03% 59.99
173
Shenzhen
Hongkang Payment for
11,400.00 Over 5 years 0.03% 11,400.00
Instrument Tech. equipment
Co., Ltd
Yi Wenzhi Deposit or margin 10,000.00 1-2 years 0.01% 30.00
Total 67,567,156.27 100.00% 12,167.27
6) Account receivable with government subsidy involved
Unit: RMB/CNY
Time, amount and
Enterprise Government subsidy Ending balance Ending account age basis of amount
collection estimated
Nil
7) Other account receivable derecognized due to financial assets transfer
Nil
8) Assets and liability resulted by other account receivable transfer and continuous involvement
Nil
Other explanation:
Nil
3. Long-term equity investment
Unit: RMB/CNY
Ending balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Investment in
94,960,379.73 94,960,379.73 19,960,379.73 19,960,379.73
subsidiary
Total 94,960,379.73 94,960,379.73 19,960,379.73 19,960,379.73
(1) Investment in subsidiary
Unit: RMB/CNY
Changes in the period (+, -) Ending
Opening Ending
The invested Accrual of balance of
balance(Boo Additional Capital balance(Boo
entity impairment Other impairment
k value) investment reduction k value)
provision provision
Shenzhen
Emmelle
10,379.73 10,379.73
Industrial
Co., Ltd.
174
Shenzhen
Xinsen
19,950,000.0 75,000,000.0 94,950,000.0
Jewelry Gold
0 0 0
Supply Chain
Co., Ltd
19,960,379.7 75,000,000.0 94,960,379.7
Total
3 0 3
(2) Investment for associates and joint venture
Unit: RMB/CNY
Changes in the period (+, -)
Ending
Openin Investm Cash balance
Other Accrual Ending
Funded g ent dividen of
Additio compre of balance
enterpri balance Capital gains Other d or impair
nal hensive impair (Book
se (Book reducti recogni equity profit Other ment
investm income ment value)
value) on zed change announ provisi
ent adjustm provisi
under ced to on
ent on
equity issued
I. Joint venture
II. Associated enterprise
(3) Other explanation:
Nil
4. Operation revenue and operation cost
Unit: RMB/CNY
Current period incurred Prior period incurred
Item
Revenue Cost Revenue Cost
Main business 24,987,989.13 22,297,957.34 4,826,647.58 4,774,119.38
Other business 1,214,376.83 1,119,937.21 1,169,585.77 1,136,928.56
Total 26,202,365.96 23,417,894.55 5,996,233.35 5,911,047.94
Revenue:
Unit: RMB/CNY
Contract type 1# Division 2# Division Total
Product type 26,202,365.96 26,202,365.96
Including:
Gold jewelry 25,046,397.95 25,046,397.95
Lithium battery and
1,155,968.01 1,155,968.01
other
Classification by
business area
Including:
Market or customer
type
Including:
175
Contract type
Including:
Classification by time
of goods transfer
Including:
Classification by
contract duration
Including:
Classification by sales
channel
Including:
Total 26,202,365.96 26,202,365.96
Information relating to performance obligation:
Nil
Information relating to the transaction price assigned to the remaining performance obligation:
The amount of income corresponding to the performance obligations that have been signed at the end of this reporting period but
have not yet been fulfilled or have not done with fulfillment is 0.00 yuan, among them, yuan of revenue is expected to be
recognized in YEAR, yuan of revenue is expected to be recognized in YEAR, and yuan of revenue is expected to be recognized in
YEAR.
Other explanation:
Nil
5. Investment income
Unit: RMB/CNY
Item Current period incurred Prior period incurred
6. Other
Nil
XVIII. Supplementary Information
1. Current non-recurring gains/losses
Applicable □Not applicable
Unit: RMB/CNY
176
Item Amount Note
Government subsidy reckoned into
current gains/losses (except for those
with normal operation business
concerned, and conform to the national
2,092.35
policies & regulations and are
continuously enjoyed at a fixed or
quantitative basis according to certain
standards)
Switch-back of provision of impairment
of account receivable which are treated 33,620.00
with separate depreciation test
Other non-operation revenue and
expenditure except for the -209,671.88
aforementioned items
Less: Impact on income tax -43,647.46
Amount of impact of minority
756.37
interests
Total -131,068.44 --
Details of other gains/losses items that meets the definition of non-recurring gains/losses:
□Applicable Not applicable
There are no other gains/losses items that meet the definition of non-recurring gains/losses in the Company.
Explain the items defined as recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A
Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss
□Applicable Not applicable
2. ROE and EPS
Earnings per share
Profits during report period Weighted average ROE
Basic EPS(RMB/Share) Diluted EPS(RMB/Share)
Net profits belong to common
stock stockholders of the 1.66% 0.0071 0.0071
Company
Net profits belong to common
stock stockholders of the
Company after deducting 1.71% 0.0072 0.0072
nonrecurring gains and losses
3. Difference of the accounting data under accounting rules in and out of China
(1) Difference of the net profit and net assets disclosed in financial report, under both IAS (International
Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)
□Applicable Not applicable
177
(2) Difference of the net profit and net assets disclosed in financial report, under both foreign accounting
rules and Chinese GAAP (Generally Accepted Accounting Principles)
□Applicable Not applicable
(3) Explain accounting difference over the accounting rules in and out of China; as for the difference
adjustment for data audited by foreign auditing organ, noted the name of such foreign organ
Nil
4. Other
Nil
Board of Directors of
Shenzhen China Bicycle Company (Holdings) Limited
25 August 2023
178
