Chongqing Jianshe Vehicle System Co., Ltd. Summary of the Semi-Annual Report 2019 Stock code: 200054 Stock Abbreviation: Jianshe Vehicle B Announcement No.: 2019-065 Chongqing Jianshe Vehicle System Co., Ltd. Summary of the Semi-Annual Report 2019 1. Important notes The summary is abstract from full-text of summary of the semi-annual report, for more details information , investors should found in the full-text of annual report that published on website of Shenzhen Stock Exchange and other website appointed by CSRC. The Board of Directors, The Supervisory Committee, the supervisors and the directors of the Company guarantee that there are no significant omissions, fictitious or misleading statements carried in the Report and we will accept individual and joint responsibilities for the truthfulness, accuracy and completeness of the Report. All directors presented the Board Meeting at which this report was examined: Non-standard auditor’s opinion □ Applicable √ Not applicable Plans for profit distribution on ordinary shares or conversion of capital reserves into share capital proposed to the Board during the reporting period. □ Applicable √ Not applicable The Company will not distribute ash dividend or bonus shares, neither capitalizing of common reserves Plans for profit distribution on preference shares for the reporting period approved by the Board □ Applicable √ Not applicable II. Basic information about the company 1. Company profile Stock abbreviation Jianshe Vehicle B Stock code 200054 Stock exchange for listing Shenzhen Stock Exchange Contact person and contact manner Board secretary Securities affairs Representative Name Zhang Hushan Li Wenling No.1 Jianshe Road, Huaxi Industrial Zone, No.1 Jianshe Road, Huaxi Industrial Zone, Office address Ba’nan District , Chongqing Ba’nan District , Chongqing Tel 023-66295333 023-66295333 E-mail cqjsmc@jianshe.com.cn cqjsmc@jianshe.com.cn 2. Major accounting data and financial indicators May the Company make retroactive adjustment or restatement of the accounting data of the previous years □ Yes √ No Reporting period Same period of last year YOY+/-(%) Operating income(Yuan) 418,614,177.29 511,696,731.41 -18.19% Net profit attributable to the shareholders -36,884,117.51 66,076,528.49 -155.82% of the listed company(Yuan) Net profit after deducting of non-recurring -35,805,459.18 65,795,940.72 -154.42% gain/loss attributable to the shareholders of 1 Chongqing Jianshe Vehicle System Co., Ltd. Summary of the Semi-Annual Report 2019 listed company(Yuan) Cash flow generated by business operation, 119,150,528.53 28,486,030.25 318.28% net(Yuan) Basic earning per share(Yuan/Share) -0.3090 0.5535 -155.83% Diluted gains per share(Yuan/Share) -0.3090 0.5535 -155.83% Weighted average ROE(%) -13.42% 21.04% -34.46% As at the end of the As at the end of last year YOY+/-(%) reporting period Gross assets (Yuan) 1,295,002,639.52 1,461,770,573.54 -11.41% Shareholders’ equity attributable to 256,417,333.03 293,301,450.54 -12.58% shareholders of the listed company(Yuan) 3.Shareholders and shareholding In Shares Number of shareholders of Total Number of common shareholders preferred stocks of which 7,950 0 at the end of the reporting period voting rights recovered in the report period(If any) Shareholdings of Top 10 shareholders Shareholders Proportion of Number of Number or share Nature of shares held shares held at Amount of restricted shares held pledged/frozen shareholder (%) period -end State of share Amount China Military State-owned Equipment 71.13% 84,906,250 84,906,250 legal person Group Co., Ltd. Domestic Gu Zuocheng 1.89% 2,261,000 2,218,750 natural person Domestic Hengsheng Sun non-state-owne 1.47% 1,750,000 1,750,000 Freeze 1,750,000 Group Co., Ltd. d legal person Domestic Liu Dan 0.91% 1,083,251 0 natural person Domestic Xu Yuanhui 0.56% 666,789 0 natural person Overseas Yu Lingfeng 0.51% 612,921 0 natural person Domestic Chen Xinqiang 0.51% 612,400 0 natural person Domestic Zhang Meilan 0.43% 513,560 0 natural person Domestic Feng Yonghui 0.42% 500,000 500,000 natural person Domestic Li Jianping 0.36% 431,500 0 natural person There isn’t any associated relationship between the sponsoring shareholder and the other Explanation on associated shareholders among the top-10 list. None of them are regarded as ‘Acting in concert’ in relationship among the aforesaid accordance with ‘The rules of information disclosure on change of shareholding.’ Foreign shareholders shareholders are unknown for their condition of ‘Associated relationship’ and ‘Acting in concert’. 4.Changing of controlling shareholder and practical controller of the Company. Change of holding shareholder □ Applicable √ Not applicable No change of holding shareholder in the report period. 2 Chongqing Jianshe Vehicle System Co., Ltd. Summary of the Semi-Annual Report 2019 Change of substantial controller □ Applicable √ Not applicable No change of substantial controller in the report period. 5.Number of preference shareholders and shareholdings of top 10 of them □ Applicable √ Not applicable No preference shareholders in the reporting period 6.Corporate bonds Are there any corporate bonds publicly offered and listed on the stock exchange, which were undue before the approval date of this report or were due but could not be redeemed in full? No III. Performance discussion & analysis 1.Performance Review for Reporting period Is the company subject to any disclosure requirements for special industries? No In the first half year, the company sold 1.0526 million sets of auto air-conditioning compressors due to the decline in the production and sales scale of the auto industry, down 14.28% year-on-year, with 50.1% of the annual plan completed. The sales volume of domestic trade reached 520,000 sets, with a decrease by 41.21% compared with the same period; the sales volume of foreign trade reached 530,000 sets, with an increase by 56.30% over the same period. Affected by such factors as the decline in sales volume of products, the reduction in prices of automotive main engine plants and the increase in raw materials, the company's main business income decreased by 15.58% year on year, the cost of main business decreased by 9.73% year on year, and the gross profit margin decreased by 5.76% compared with the same period. Affected by the decline in sales volume of domestic brands, the domestic market sales revenue of the company's products decreased by 38.62% year on year. Through the expansion of the foreign automobile market, the sales revenue of the company's products in the foreign market increased by 75.92% year on year. 2.Maters related to financial report (1) Reason for changes in accounting policies, accounting estimates and accounting methods as compared to the financial report for the prior year □ Applicable √ Not applicable No such cases. (2) Reason for retrospective restatement to correct major accounting errors during the reporting period □ Applicable √ Not applicable No such cases. (3) Reason for changes in scope of the consolidated financial statements as compared to the financial report for the prior year No such cases. 3