CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Stock code: 000521, 200521 Notice No.: 2021 -083
short form of the stock:Changhong Meiling, Hongmeiling B
CHANGHONG MEILING CO., LTD.
THE THIRD QUARTERLY REPORT FOR 2021
The Company and whole members of the BOD guarantee that the information disclosed is true,
accurate and complete, and there are no any fictitious records, misleading statements or important
omissions.
Important content reminder:
1. Board of Directors, Supervisory Committee, all directors, supervisors and senior executives of
Changhong Meiling Co., Ltd. (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.
2. Principal of the Company, Person in Charge of Accounting Works and Person in Charge of
Accounting Organ (Accounting Officer) hereby confirm that the Financial Report of the Third
Quarterly Report is authentic, accurate and complete.
3. Whether the Third Quarterly Report has been audited or not
□Yes √No
I. Main financial data
(i) Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data or not
□Yes √No
Increase/decrease
Increase/decrease in
from year-begin to
the period compared Year-begin to
Current period period-end compared
with the same period period-end
with the same period
of the previous year
of the previous year
Operating income
4,312,251,172.73 -5.45% 13,915,010,518.02 22.53%
(Yuan)
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CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Net profit attributable
to shareholders of the
25,102,342.76 -71.01% 62,259,854.30 150.39%
listed company
(Yuan)
Net profit attributable
to shareholders of the
listed company after
-1,016,633.94 -106.23% -64,569,048.95 73.19%
deducting
non-recurring gains
and losses (Yuan)
Net cash flow arising
from operating —— —— -184,729,360.39 33.70%
activities (Yuan)
Basic earnings per
0.0240 -71.05% 0.0596 150.38%
share (Yuan /Share)
Diluted earnings per
0.0240 -71.05% 0.0596 150.38%
share (Yuan /Share)
Weighted average
A decrease of 1.29 An increase of 3.79
0.52% 1.28%
ROE percentage points percentage points
Increase/decrease at the period-end
End of current period End of previous year
compared with the end of the previous year
Total assets (Yuan) 15,691,792,207.14 16,103,355,454.46 -2.56%
Net assets attributable
to shareholder of
4,857,058,554.70 4,854,173,682.43 0.06%
listed company
(Yuan)
(ii) Items and amounts of non-recurring profit (gains)/losses
√ Applicable □ Not applicable
Unit: Yuan
Amount from
Amount for the year-begin to Note
Item
period
period-end
Gains/losses from the disposal of See "Proceeds from
non-current asset (including the write-off -17,846.58 -754,429.92 Asset Disposal" and
"Non-operating
that accrued for impairment of assets) Income/Expense" for
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CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
details.
Government subsidy recorded in current
gains/losses (except those closely related to
the Company’s normal operation, and those
See "Other Earnings"
23,226,869.48 77,928,969.24
continuously enjoyed on a fixed or for details.
quantitative basis with certain standards in
accordance with national policy regulations)
Losses/gains from changes of fair values
occurred in holding trading financial assets
and trading financial liabilities, and
See "Fair value
investment income obtaining from the
Change income" and
7,186,220.84 66,036,083.22
disposal of trading financial assets and "Investment Income"
for details.
trading financial liability, excluded effective
hedging business relevant with normal
operations of the Company
Reversal of the account receivable
See "Accounts
depreciation reserves subject to separate 159,777.85 1,388,389.10 Receivable" for
impairment test details.
See "Non-operating
Other non-operating income and expenses
Income" and
999,112.79 6,628,445.32
other than the above "Non-operating
Expenses" for details.
Less: impact on income tax 4,341,036.56 21,986,708.18
Impact on minority shareholders’
1,094,121.12 2,411,845.53
equity (post-tax)
Total 26,118,976.70 126,828,903.25 --
Other gain/loss items that qualified the definition of non-recurring profit (gains)/losses:
□ Applicable √ Not applicable
The Company does not have other gain/loss items that qualified the definition of non-recurring profit
(gains)/losses
Explanation on those non-recurring gain/loss listed in the “Q&A Announcement No.1 on Information Disclosure
for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss” defined as recurring gain/loss
□ Applicable √ Not applicable
The Company does not have the non-recurring gain/loss listed in the “Q&A Announcement No.1 on Information
Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss” defined as
recurring gain/loss
(iii) Particulars about changes in items of main accounting data and financial index and
explanations of reasons
√ Applicable □Not applicable
1. Changes and reasons of items in balance sheet
3
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Unit: Yuan
Balance at last Changes
Item Ending balance Reasons of changes
Year ratio
Trading financial Mainly due to the financial products purchased
395,666,180.17 47,242,339.07 737.52%
assets by the Company in current period.
Mainly due to the notes receivable due for
Notes receivable 159,935,906.44 340,421,386.71 -53.02%
remittance in the current period.
2,031,949,829.7 1,130,275,780.6 Mainly due to the growth of operation revenue
Account receivable 79.77%
4 6 in the current period
Account paid in Mainly due to the prepayment of purchases
64,863,143.78 30,105,373.40 115.45%
advance increased in the current period.
Other current assets 74,584,938.18 198,353,464.98 -62.40% Mainly due to the VAT retained tax refund.
Long-term equity Mainly due to the investment losses from joint
53,836,406.41 76,982,822.38 -30.07%
investment ventures and associates in the current period.
Construction in Mainly due to the engineering inputs increased
81,634,715.75 60,775,088.96 34.32%
progress in the current period.
Mainly due to the implementation of new
Right-of-use asset 33,033,246.07 - -
leasing standards in the current period
1,336,209,050.5 Mainly due to the repayment of short-term
Short-term loan 886,293,630.28 -33.67%
5 borrowings.
Mainly due to the changes in fair value of
Trading financial
2,318,206.64 4,584,076.51 -49.43% forward foreign exchange contracts in the
liabilities
current period.
Employee
Mainly due to the payment of employee
compensation 173,386,003.30 290,321,776.05 -40.28%
remuneration in the current period.
payable
Mainly due to the implementation of new
Lease liability 22,352,167.76 - -
leasing standards in the current period.
Mainly due to the write-off of the accrual
Accrual liabilities 15,160,400.14 62,392,735.07 -75.70%
liabilities in the current period.
Deferred income tax Mainly due to the reversal of deferred income
5,738,912.89 10,575,582.33 -45.73%
liability tax liability in the current period.
Mainly due to the repurchase of B-share in the
Treasury stock 17,324,792.23 9,929,336.18 74.48%
current period.
Mainly due to the earnings increased from some
Minority interests 147,051,252.93 107,921,283.49 36.26% non-wholly owned subsidiaries in the current
period.
2. Changes and reasons of items in profit statement
Unit: Yuan
Amount at the Amount at the sameChanges
Item Reasons of changes
period period of previous year ratio
4
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Mainly the current period of the company
Financial
-35,552,769.58 -1,509,899.93 -2254.64% exchange earnings, exchange losses caused
expenses
by the same period last year.
Mainly due to the forward foreign exchange
Investment
80,853,371.21 47,154,706.68 71.46% contract delivery gains increased on a y-o-y
income
basis in the current period.
Income from Mainly due to the changes in fair value of
fair value -28,310,289.03 17,956,801.15 -257.66% forward foreign exchange contracts in the
changes current period.
Credit Mainly due to the y-o-y decrease in
-21,358,115.43 -33,008,077.62 -35.29%
impairment loss impairment loss on receivable.
The company's main current accounts
Asset
-46,558,863.61 -34,714,276.42 34.12% receivable impairment loss caused by the
impairment loss
year-on-year reduction.
Income from Mainly due to the y-o-y declined of losses
-249,004.26 -542,955.36 54.14%
assets disposal from assets disposal in the current period.
Non-operating Mainly is the current period of the
8,126,104.09 5,072,408.44 60.20%
income company's long-term liquidation caused by.
Non-operation The main department of this period of the
2,003,084.43 1,206,761.93 65.99%
expenditure company's assets scrapped loss caused by.
Mainly due to the increase in income tax
Income tax
29,394,642.88 1,746,437.69 1583.12% expenses due to the growth of taxable
expenses
income.
Gains/losses of Mainly due to the earnings increased on a
minority 25,630,675.63 -2,151,849.18 1291.10% y-o-y basis from some non-wholly owned
shareholders subsidiaries in the current period.
3. Changes and reasons of items in cash flow statement
Unit: Yuan
5
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Amount at the
Amount at the Changes
Item same period of Reasons of changes
period ratio
previous year
Mainly due to the cash received from
Cash received from
commodity selling and providing
selling commodities and 13,404,052,674.38 10,004,693,970.59 33.98%
labor services increased on a y-o-y
providing labor services
basis.
The main department of the current
Write-back of tax period of the company received
561,963,582.97 412,733,445.22 36.16%
received value-added tax left against the tax
refund caused by.
Cash paid for purchasing
Mainly because the cash paid for raw
commodities and 12,095,383,651.27 8,837,934,853.44 36.86%
materials increased on a y-o-y basis.
receiving labor service
Mainly because the financial products
Cash received from
1,420,000,000.00 737,460,000.00 92.55% are due for collection in the current
recovering investment
period.
Mainly because received a dividends
from Hongyun Fund Investment in the
Cash received from
23,968,192.46 42,570,007.43 -43.70% same period of last year, while there
investment income
was no such item occurred in current
period.
Net cash received from Mainly the disposal of fixed assets of
disposal of fixed, the company in the current period of
1,290,668.56 381,041.58 238.72%
intangible and other cash received by the year-on-year
long-term assets increase.
Mainly because purchase and
Cash paid for purchasing construction of intangible assets from
fixed, intangible and other 187,456,291.30 296,007,313.74 -36.67% subsidiary Changhong
long-term assets Air-conditioning declined from a year
earlier.
Other cash paid 58,411.60 - - Mainly due to the new foreign
concerning investing exchange contract delivery losses
6
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
activities from subsidiary Zhongke Meiling.
Mainly due to the new absorbed
Cash received from investment from minority
15,000,000.00 - -
absorbing investment shareholders by subsidiary Life
Electric.
Other cash received Mainly due to the bill discounting
concerning financing 5,986,105.14 - - from subsidiary Changhong
activities Air-conditioning.
Mainly due to the cash paid for
Other cash paid
B-share repurchase and payment of
concerning financing 15,403,414.62 2,432,566.62 533.22%
the principal & interest on lease
activities
liabilities.
IV. Influence on cash and
cash equivalents due to Mainly due to the effect of changes in
24,846,222.17 -18,563,610.41 233.84%
fluctuation in exchange exchange rate.
rate
II. Shareholders Information
(i) Total numbe r of common shareholders and preference shareholders with voting rights
recovered and top ten common shareholders
Unit: Share
Total preference
shareholders with voting
Total common shareholders at
67,605 rights recovered at end of 0
end of the Period
reporting period (if
applicable)
Top ten shareholders
Information of shares
Proportion Amount of pledged, tagged or
Nature of Amount of
Shareholder’s name of shares restricted frozen
shareholder shares held
held shares held
State of
Amount
share
State-owned
Sichuan Changhong Electric Co., Ltd. 23.79% 248,457,724 0 - --
legal person
Hefei Industrial Investment Holding State-owned
4.58% 47,823,401 0 - -
(Group) Co., Ltd. legal person
CHANGHONG (HK) TRADING Foreign legal
2.59% 27,077,797 0 - -
LIMITED person
7
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
CAOSHENGCHUN Foreign natural
1.41% 14,766,086 0 - -
person
Ma Guobin Domestic
1.34% 14,010,900 0 - -
natural person
Caitong Fund- Ningbo Bank-Haitong Domestic
Xingtai (Anhui) Emerging Industry non-state-owne 1.03% 10,733,452 0 - -
Investment Fund (Limited Partnership) d legal person
Foreign legal
Phillip Securities (Hong Kong) Limited 0.60% 6,296,913 0 - -
person
Societe Generale Foreign legal
0.50% 5,186,843 0 - -
person
Wang Yumei Domestic
0.45% 4,717,700 0 - -
natural person
Chen Qin Domestic
0.39% 4,091,288 0 - -
natural person
Particular about top ten shareholders with un-restrict shares held
Amount of Type of shares
Shareholders’ name unrestricted
shares held Type Amount
RMB ordinary
Sichuan Changhong Electric Co., Ltd. 248,457,724 248,457,724
shares
RMB ordinary
Hefei Industrial Investment Holding (Group) Co., Ltd. 47,823,401 47,823,401
shares
Domestically
CHANGHONG (HK) TRADING LIMITED 27,077,797 listed foreign 27,077,797
shares
CAOSHENGCHUN Domestically
14,766,086 listed foreign 14,766,086
shares
Ma Guobin RMB ordinary
14,010,900 14,010,900
shares
Caitong Fund- Ningbo Bank-Haitong Xingtai (Anhui) Emerging RMB ordinary
10,733,452 10,733,452
Industry Investment Fund (Limited Partnership) shares
Domestically
Phillip Securities (Hong Kong) Limited 6,296,913 listed foreign 6,296,913
shares
Societe Generale RMB ordinary
5,186,843 5,186,843
shares
Wang Yumei RMB ordinary
4,717,700 4,717,700
shares
Chen Qin RMB ordinary
4,091,288 4,091,288
shares
Explanation on Among the above shareholders, CHANGHONG (HK) TRADING LIMITED (hereinafter
associated relationship referred to as Hong Kong Changhong) is the wholly-owned subsidiary of Sichuan Changhong
or consistent actors Electric Co., Ltd.; except the shares of the Company directly held by Hong Kong Changhong,
among the aforesaid 6,296,913 shares of B-stock are also held through Phillip Securities (Hong Kong) Co., Ltd.,
shareholders the foregoing shareholders constitute persons of uniform action. There existed no associated
8
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
relationship or belong to the concerted actors as specified in the Measures for the
Administration of Information Disclosure of Shareholder Equity Changes of Listed
Companies among Sichuan Changhong, Hong Kong Changhong and other top 7 shareholders
（Excluding Phillip Securities (Hong Kong) Co., Ltd.）; “Caitong Fund- Ningbo
Bank-Haitong Xingtai (Anhui) Emerging Industry Investment Fund (Limited Partnership)”
refers to the products of Caitong Fund Management Company subscribe for privately
placement of 2016; The company neither knows whether there is any association among other
shareholders, nor knows whether other shareholders belong to the persons acting in concert
that is stipulated in the “Administrative Measures on Information Disclosure of Changes in
Shareholding of Listed Companies”.
Explanation on top ten As of 30th September 2021, among the top 10 common shareholders, Ma Guobin holds
common shareholders 10,976,700 shares of the Company through customer credit trading secured account of
involving margin Founder Securities Co., Ltd., and 3,034,200 shares hold through common securities account,
business (if applicable) thus 14,010,900 shares of the Company are held in total.
(ii) Total shareholders with preferred stock held and shares held by top ten shareholders with
preferred stock held
□ Applicable √ Not applicable
III. Other significant events
√ Applicable □Not applicable
Information index for temporary
Overview Date for disclosure
report disclosure
After review and approval by the resolution of the BOD, BOS and
General meeting of shareholders, it was agreed that the company Juchao Website:
would use the idle raised funds with 120 million yuan at most (the March 3, 2021 http://www.cninfo.com.cn
quota can be used on a rolling basis) to invest in the high-security, April 29, 2021 (No. 2021-008, No. 2021-009,
good-liquidity and capital-guaranteed financial products with No. 2021-010 and No. 2021-034)
maturity within one year.
After review and approval by the resolution of the BOD, it was
agreed that the subordinate controlling subsidiary Zhongke Juchao Website:
Meiling Cryogenic Technology Co., Ltd. to newly established a March 3, 2021 http://www.cninfo.com.cn
wholly-owned subsidiary- Anhui Ling’an Medical Devices Co., (No. 2021-008)
Ltd. with 10 million yuan.
After review and approval by the resolution of the BOD, BOS and Juchao Website:
March 3, 2021
General meeting of shareholders, it was agreed that the Company http://www.cninfo.com.cn
April 29, 2021
provide a credit guarantee line (not exceeding 350 million yuan) (No. 2021-008, No. 2021-009,
9
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
with a period of one year to its subordinate controlling subsidiary No. 2021-011 and No. 2021-034)
Hefei Changhong Meiling Life Electric Co., Ltd..
After review and approval by the resolution of the BOD, it was
agreed to performing technical renovations on the production line
Juchao Website:
of Hefei Base Refrigerator (cabinet) with 24.4276 million yuan,
March 3, 2021 http://www.cninfo.com.cn
achieving the cost reduction and efficiency gains to reduce
(No. 2021-008)
manufacturing costs and further enhance the market
competitiveness of the company’s products.
After review and approval by the resolution of the BOD and
General meeting of shareholders, it was agreed that the Company
and its subordinate subsidiaries carry out the forward foreign Juchao Website:
exchange funds trading business between 1 July 2021 and 30 June March 3, 2021 http://www.cninfo.com.cn
2022. The balance of trading shall not exceed US$ 720 million April 29, 2021 (No. 2021-013, No. 2021-019 and
(mainly including: USD, AUD and EUR, all other foreign No. 2021-034)
currencies are converted to USD), the maximum settlement period
of a single transaction shall not exceed one year.
After review and approval by the resolution of the BOD and Juchao Website:
General meeting of shareholders, it was agreed that the Company March 31, 2021 http://www.cninfo.com.cn
to formulated the “Shareholder Return Plan for the Next Three April 29, 2021 (No. 2021-013, and No.
Years (2021-2023)”. 2021-034)
After review and approval by the resolution of the BOD and
Juchao Website:
General meeting of shareholders, it was agreed that the
March 31, 2021 http://www.cninfo.com.cn
subordinate subsidiary of the company- Zhongshan Changhong to
April 29, 2021 (No. 2021-013, No. 2021-020 and
write-off a bad debt of 1,657,332.46 yuan in total, which was
No. 2021-034)
really beyond collection.
After review and approval by the resolution of the BOD, agreed to Juchao Website:
appoint Mr. Tang Youdao as the Vice President of the Company, March 31, 2021 http://www.cninfo.com.cn
his office term will same as the term as the current BOD. (No. 2021-013)
After review and approval by the resolution of the BOD, BOS and
General meeting of shareholders, it was agreed that controlling Juchao Website:
subsidiary - Zhongke Meiling Cryogenic Technology Co., Ltd. to March 31, 2021 http://www.cninfo.com.cn
provide 60 million yuan credit guarantee line to its wholly-own April 29, 2021 (No. 2021-013, No. 2021-014,
subsidiary- Anhui Tuoxing Technology Co., Ltd with guarantee No. 2021-021 and No. 2021-034)
period of one year.
After review and approval by the resolution of the BOD and Juchao Website:
General meeting of shareholders, it was agreed that the company March 31, 2021 http://www.cninfo.com.cn
and its subsidiaries to applying for a special credit line for the April 29, 2021 (No. 2021-013, No. 2021-022 and
note pool from the follow institutions as: up to 300 million yuan No. 2021-034)
10
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
from Hefei Branch of Industrial Bank Co., ltd, up to 300 million
yuan from Hefei Branch of Ping An Bank Co., ltd, up to 300
million yuan from Hefei Economic Development Zone Branch of
Huishang Bank Co., Ltd., up to 300 million yuan from Hefei
Branch of China Merchants Bank and up to 50 million yuan from
Hefei Branch of CITIC Bank.
After review and approval by the resolution of the BOD and
General meeting of shareholders, agreed to re-appoints Shine
Wing Certified Public Accountants (LLP) as the audit institution Juchao Website:
of the annual financial report 2021 and internal control of the March 31, 2021 http://www.cninfo.com.cn
Company with one year period. At the same time, to request the April 29, 2021 (No. 2021-013, No. 2021-017 and
shareholders’ general meeting to authorize management of the No. 2021-034)
Company to determine its annual audit remuneration, according to
the industry standards and actual audit works of the company.
Former securities affairs representative and staff supervisor Mr.
Zhu Wenjie, apply to resign as the staff supervisor of 10th BOS
and securities affairs representative due to personal reasons. To
ensure that the structure of the BOS conforms to the relevant legal Juchao Website:
requirements, the staff congress held on 30 March 2021, after March 31, 2021 http://www.cninfo.com.cn
voting by the staff representative, agreed to elected Ms. Sun (No. 2021-023)
Hongying as the staff supervisor of the 10th BOS, term of office
shall commence from the date of deliberation and approved by
Staff Congress to the date of expiration of the 10th BOS.
After review and approval by the resolution of the BOD and BOS,
Juchao Website:
it was agreed that the Company should implement the new leasing
http://www.cninfo.com.cn
standards and change the related accounting policy according to April 20, 2021
(No. 2021-028, No. 2021-029 and
the relevant regulations and requirements of the Ministry of
No. 2021-030)
Finance.
After review and approval by the resolution of the BOD, BOS and
General meeting of shareholders, agreed that the company
terminates the use of the raised funds to purchase underlying Juchao Website:
assets of the sub-project "intelligent research and development April 20, 2021 http://www.cninfo.com.cn
management platform construction" of the "intelligent research June 17, 2021 (No. 2021-028, No. 2021-029,
and development ability building and intelligent home appliance No. 2021-031 and No. 2021-046)
technology development project" from Sichuan Changhong
Electric Co., Ltd. and its subsidiaries and the related transactions.
After review and approval by the resolution of the BOD, agreed Juchao Website:
May 27, 2021
that the company's wholly-owned subsidiary Hefei Meiling http://www.cninfo.com.cn
11
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Wulian Technology Co., Ltd to invests 37.69 million yuan in (No. 2021-038)
building industrial internet service capacity to further expand
informatization and digital business and service capacity, and
build a comprehensive capability of new business type integrating
"manufacturing + service" businesses.
After review and approval by the resolution of the BOD, agreed
that the company and its subsidiaries apply to Bank of Jiujiang ,
Juchao Website:
Hefei Branch for a special credit line of up to 400 million yuan of
May 27, 2021 http://www.cninfo.com.cn
bill pool, the credit period is one year, the types of credit are
(No. 2021-038 and No. 2021-039)
mainly used for the special business of bill pool, and endorsement
for pledge is adopted.
After deliberated by the BOD and BOS and review and approval Juchao Website:
by the General meeting of shareholders, agreed to purchase the July 13, 2021 http://www.cninfo.com.cn
liability insurance for the Company and all directors, supervisors July 29, 2021 (No. 2021-050, No. 2021-051,
and senior executives. No. 2021-052 and No. 2021-058)
After review and approval by the resolution of the BOD, BOS and
General meeting of shareholders, agreed the Company to increase
Juchao Website:
the predicted amount of routine related transactions to 30 million
July 13, 2021 http://www.cninfo.com.cn
yuan (tax excluded) at most, including the business as financial
July 29, 2021 (No. 2021-050, No. 2021-051,
leasing, commercial factoring and bill financing provided by
No. 2021-053 and No. 2021-058)
Yuanxin Financial Leasing Co., Ltd to the Company and its
wholly-owned subsidiaries for year of 2021.
The subordinate controlling subsidiary- Zhongke Meiling
Cryogenic Technology Co., Ltd received a “Administrative Juchao Website:
Penalty Decision of Anhui Province Medical Products July 16, 2021 http://www.cninfo.com.cn
Administration” in mid-July from Anhui Province Medical (No. 2021-056)
Products Administration
After review and approval by the BOD, agreed the Company to
invest 15.0529 million yuan on reconstruction of the substation in Juchao Website:
refrigerator park of Hefei manufacturing base, thus providing a August 18, 2021 http://www.cninfo.com.cn
strong guarantee for the sustainable development of the operation (No. 2021-060)
and production of the Company.
After review and approval by the BOD, agreed that the Company
Juchao Website:
will hand over the idle land use rights and houses (lands located in
August 18, 2021 http://www.cninfo.com.cn
Area A, Longgang Industrial Zone, Yaohai District, Hefei City) to
(No. 2021-060 and No. 2021-064)
government for expropriation.
After review and approval by the BOD, agreed that the Company Juchao Website:
August 18, 2021
should invest approximately 30.9131 million yuan for the http://www.cninfo.com.cn
12
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
relocation and expansion of the extrusion line in Hefei refrigerator (No. 2021-060)
manufacturing base to ensure the improvement of manufacturing
capacity and production & operation needs.
The “Special Report on Deposit and Use of Funds Raised in the
First Half of 2021” was released by the Company on August 18,
2021. And as of September 30, 2021, the projects with fund raised
Juchao Website:
privately in 2016 actually have 1,131,713,720.82 yuan used August 18, 2021
http://www.cninfo.com.cn
cumulatively, the balance of the special account for proceeds October 20, 2021
(No. 2021-063 and No. 2021-083)
deposit was 101,997,251.16 yuan (including interest income
4,388,287.76 yuan and maturity income of 40,554,235.69 yuan
from bank wealth management products)
IV. Quarterly financial statements
(i) Financial statement
1. Consolidate balance sheet
Prepared by Changhong Meiling Co., Ltd.
Unit: Yuan
Item September 30, 2021 December 31, 2020
Current assets:
Monetary fund 5,616,304,292.60 6,594,786,789.98
Settlement provisions
Capital lent
Trading financial assets 395,666,180.17 47,242,339.07
Derivative financial assets
Note receivable 159,935,906.44 340,421,386.71
Account receivable 2,031,949,829.74 1,130,275,780.66
Receivable financing 1,394,866,085.58 1,632,388,702.83
Accounts paid in advance 64,863,143.78 30,105,373.40
Insurance receivable
Reinsurance receivables
Contract reserve of
reinsurance receivable
Other account receivable 116,036,131.33 145,705,978.26
Including: Interest
receivable
Dividend
receivable
Buying back the sale of
financial assets
Inventories 1,602,309,728.39 1,715,354,951.43
13
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Contractual assets
Assets held for sale
Non-current asset due within
one year
Other current assets 74,584,938.18 198,353,464.98
Total current assets 11,456,516,236.21 11,834,634,767.32
Non-current assets:
Loans and payments on
behalf
Debt investment
Other debt investment
Long-term account
receivable
Long-term equity investment 53,836,406.41 76,982,822.38
Investment in other equity
instrument
Other non-current financial
548,148,931.34 548,148,931.34
assets
Investment real estate 53,629,308.83 53,888,462.00
Fixed assets 2,319,118,984.83 2,391,859,440.31
Construction in progress 81,634,715.75 60,775,088.96
Productive biological asset
Oil and gas asset
Right-of-use assets 33,033,246.07
Intangible assets 947,790,673.24 936,851,520.65
Expense on Research and
81,001,073.76 73,028,441.56
Development
Goodwill
Long-term expenses to be
apportioned
Deferred income tax asset 117,082,630.70 127,185,979.94
Other non-current asset
Total non-current asset 4,235,275,970.93 4,268,720,687.14
Total assets 15,691,792,207.14 16,103,355,454.46
Current liabilities:
Short-term loans 886,293,630.28 1,336,209,050.55
Loan from central bank
Capital borrowed
Trading financial liability 2,318,206.64 4,584,076.51
Derivative financial liability
Note payable 5,194,596,289.96 4,439,607,982.34
Account payable 2,211,903,239.05 2,851,999,684.30
Accounts received in
advance
14
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Contractual liability 508,999,162.32 522,550,891.28
Selling financial asset of
repurchase
Absorbing deposit and
interbank deposit
Security trading of agency
Security sales of agency
Wage payable 173,386,003.30 290,321,776.05
Taxes payable 115,040,809.29 89,682,433.90
Other account payable 848,932,270.79 724,701,686.72
Including: Interest payable
Dividend
4,753,764.56 4,466,628.25
payable
Commission charge and
commission payable
Reinsurance payable
Liability held for sale
Non-current liabilities due
323,227,524.41 407,825,150.74
within one year
Other current liabilities 25,692,352.24 22,923,698.73
Total current liabilities 10,290,389,488.28 10,690,406,431.12
Non-current liabilities:
Insurance contract reserve
Long-term loans 178,000,000.00 188,231,439.30
Bonds payable
Including: Preferred stock
Perpetual
capital securities
Lease liability 22,352,167.76
Long-term account payable 1,385,732.43 1,705,323.91
Long-term wages payable 8,596,106.90 10,571,526.69
Accrual liability 15,160,400.14 62,392,735.07
Deferred income 166,059,591.11 177,377,450.12
Deferred income tax
5,738,912.89 10,575,582.33
liabilities
Other non-current liabilities
Total non-current liabilities 397,292,911.23 450,854,057.42
Total liabilities 10,687,682,399.51 11,141,260,488.54
Owner’s equity:
Share capital 1,044,597,881.00 1,044,597,881.00
Other equity instrument
Including: Preferred stock
Perpetual
capital securities
15
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Capital public reserve 2,683,833,100.04 2,683,837,229.12
Less: Inventory shares 17,324,792.23 9,929,336.18
Other comprehensive income -21,650,060.47 -21,451,084.17
Reasonable reserve
Surplus public reserve 416,364,790.43 416,364,790.43
Provision of general risk
Retained profit 751,237,635.93 740,754,202.23
Total owner’ s equity attributable
4,857,058,554.70 4,854,173,682.43
to parent company
Minority interests 147,051,252.93 107,921,283.49
Total owner’ s equity 5,004,109,807.63 4,962,094,965.92
Total liabilities and owner’ s
15,691,792,207.14 16,103,355,454.46
equity
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Yang Jun
2. Consolidated Profit Statement (from the year-begin to the period-end)
Unit: Yuan
Item Current period Last period
I. Total operating income 13,915,010,518.02 11,356,742,966.11
Including: Operating income 13,915,010,518.02 11,356,742,966.11
Interest income
Insurance gained
Commission charge
and commission income
II. Total operating cost 13,872,478,761.87 11,554,834,849.35
Including: Operating cost 12,225,814,695.57 9,469,161,384.07
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 extras 96,101,240.28 99,798,451.84
16
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Sales expense 1,064,459,268.59 1,519,429,320.36
Administrative
221,253,602.91 203,336,291.49
expense
R&D expense 300,402,724.10 264,619,301.52
Financial expense -35,552,769.58 -1,509,899.93
Including: Interest
50,740,185.10 68,673,511.11
expenses
Interest
100,950,646.76 105,402,339.93
income
Add: other income 84,253,298.12 73,419,100.44
Investment income (Loss
80,853,371.21 47,154,706.68
is listed with “-”)
Including: Investment
income on affiliated company and -21,089,185.99 752,761.07
joint venture
The termination of
income recognition for financial
assets measured by amortized cost
(Loss is listed with “-”)
Exchange income (Loss
is listed with “-”)
Net exposure hedging
income (Loss is listed with “-”)
Income from change of
-28,310,289.03 17,956,801.15
fair value (Loss is listed with “-”)
Loss of credit impairment
-21,358,115.43 -33,008,077.62
(Loss is listed with “-”)
Losses of devaluation of
-46,558,863.61 -34,714,276.42
asset (Loss is listed with “-”)
Income from assets
-249,004.26 -542,955.36
disposal (Loss is listed with “-”)
III. Operating profit (Loss is listed
111,162,153.15 -127,826,584.37
with “-”)
Add: Non-operating income 8,126,104.09 5,072,408.44
Less: Non-operating expense 2,003,084.43 1,206,761.93
IV. Total profit (Loss is listed with
117,285,172.81 -123,960,937.86
“-”)
Less: Income tax expense 29,394,642.88 1,746,437.69
V. Net profit (Net loss is listed with
87,890,529.93 -125,707,375.55
“-”)
(i) Classify by business
continuity
1.continuous operating net
87,890,529.93 -125,707,375.55
profit (net loss listed with ‘-”)
2.termination of net profit (net
loss listed with ‘-”)
(ii) Classify by ownership
17
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
1.Net profit attributable to
62,259,854.30 -123,555,526.37
owner’s of parent company
2.Minority shareholders’ gains
25,630,675.63 -2,151,849.18
and losses
VI. Net after-tax of other
-100,790.49 -3,423,690.97
comprehensive income
Net after-tax of other
comprehensive income attributable -198,976.30 -2,891,434.28
to owners of parent company
(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
-198,976.30 -2,891,434.28
reclassified subsequently to profit
or loss
1.Other comprehensive
income under equity method that -204,914.10
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
5,937.80 -2,891,434.28
foreign currency financial
statements
7.Other
Net after-tax of other
comprehensive income attributable 98,185.81 -532,256.69
to minority shareholders
VII. Total comprehensive income 87,789,739.44 -129,131,066.52
18
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Total comprehensive income
attributable to owners of parent 62,060,878.00 -126,446,960.65
Company
Total comprehensive income
attributable to minority 25,728,861.44 -2,684,105.87
shareholders
VIII. Earnings per share:
(i) Basic earnings per share 0.0596 -0.1183
(ii) Diluted earnings per share 0.0596 -0.1183
Enterprise combine under the same control in the Period, the combined party realized net profit of 0.00 Yuan
before combination, and realized 0.00 Yuan at last period for combined party
Legal Representative: Wu Dinggang
Person in charge of accounting works: Pang Haitao
Person in charge of accounting institute: Yang Jun
3. Consolidated Cash Flow Statement (from the year-begin to the period-end)
Unit: Yuan
Item Current period Last period
I. Cash flows arising from
operating activities:
Cash received from selling
commodities and providing labor 13,404,052,674.38 10,004,693,970.59
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 returned
business capital
Net cash received by agents
in sale and purchase of securities
19
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Write-back of tax received 561,963,582.97 412,733,445.22
Other cash received
117,355,922.31 106,402,002.16
concerning operating activities
Subtotal of cash inflow arising
14,083,372,179.66 10,523,829,417.97
from operating activities
Cash paid for purchasing
commodities and receiving labor 12,095,383,651.27 8,837,934,853.44
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,
commission charge and
commission
Cash paid for bonus of
guarantee slip
Cash paid to/for staff and
1,248,072,379.51 1,057,706,226.87
workers
Taxes paid 297,701,677.67 237,937,839.39
Other cash paid concerning
626,943,831.60 668,861,446.33
operating activities
Subtotal of cash outflow arising
14,268,101,540.05 10,802,440,366.03
from operating activities
Net cash flows arising from
-184,729,360.39 -278,610,948.06
operating activities
II. Cash flows arising from
investing activities:
Cash received from
1,420,000,000.00 737,460,000.00
recovering investment
Cash received from
23,968,192.46 42,570,007.43
investment income
Net cash received from
disposal of fixed, intangible and 1,290,668.56 381,041.58
other long-term assets
Net cash received from
disposal of subsidiaries and other
units
Other cash received
157,222,294.61 122,087,124.32
concerning investing activities
Subtotal of cash inflow from
1,602,481,155.63 902,498,173.33
investing activities
Cash paid for purchasing
fixed, intangible and other 187,456,291.30 296,007,313.74
long-term assets
20
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Cash paid for investment 1,799,000,000.00 1,435,280,051.17
Net increase of mortgaged
loans
Net cash received from
subsidiaries and other units
obtained
Other cash paid concerning
58,411.60
investing activities
Subtotal of cash outflow from
1,986,514,702.90 1,731,287,364.91
investing activities
Net cash flows arising from
-384,033,547.27 -828,789,191.58
investing activities
III. Cash flows arising from
financing activities
Cash received from
15,000,000.00
absorbing investment
Including: Cash received
from absorbing minority
15,000,000.00
shareholders’ investment by
subsidiaries
Cash received from loans 1,293,560,455.26 1,703,478,583.33
Other cash received
5,986,105.14
concerning financing activities
Subtotal of cash inflow from
1,314,546,560.40 1,703,478,583.33
financing activities
Cash paid for settling debts 1,674,330,870.00 1,374,663,591.82
Cash paid for dividend and
profit distributing or interest 89,877,378.92 107,526,031.28
paying
Including: Dividend and
profit of minority shareholder 1,598,892.00 4,796,676.00
paid by subsidiaries
Other cash paid concerning
15,403,414.62 2,432,566.62
financing activities
Subtotal of cash outflow from
1,779,611,663.54 1,484,622,189.72
financing activities
Net cash flows arising from
-465,065,103.14 218,856,393.61
financing activities
IV. Influence on cash and cash
equivalents due to fluctuation in 24,846,222.17 -18,563,610.41
exchange rate
V. Net increase of cash and cash
-1,008,981,788.63 -907,107,356.44
equivalents
Add: Balance of cash and
cash equivalents at the 6,425,529,815.10 5,385,807,475.51
period-begin
VI. Balance of cash and cash
5,416,548,026.47 4,478,700,119.07
equivalents at the period-end
21
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
(ii) Explanation on financial statement adjustment
1. Financial statement adjustment at the beginning of the first year when imple mentation of
new leasing standards from 2021
√Applicable □Not applicable
Whether to adjust the balance sheet account at the beginning of the year
√Yes □No
Explain why it is not necessary to adjust the balance sheet accounts at the beginning of the year
Consolidate balance sheet
Unit: Yuan
Item December 31, 2020 January 1, 2021 Adjustment amount
Current assets:
Monetary fund 6,594,786,789.98 6,594,786,789.98
Settlement
provisions
Capital lent
Trading financial 47,242,339.07
47,242,339.07
assets
Derivative financial
assets
Note receivable 340,421,386.71 340,421,386.71
Account receivable 1,130,275,780.66 1,130,275,780.66
Receivable 1,632,388,702.83
1,632,388,702.83
financing
Accounts paid in 30,070,303.06 -35,070.34
30,105,373.40
advance
Insurance
receivable
Reinsurance
receivables
Contract reserve of
reinsurance receivable
Other account 145,705,978.26
145,705,978.26
receivable
Including:
Interest receivable
Dividend
receivable
Buying back the
sale of financial assets
Inventories 1,715,354,951.43 1,715,354,951.43
Contractual assets
Assets held for sale
Non-current asset
due within one year
22
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
Other current assets 198,353,464.98 198,353,464.98
Total current assets 11,834,634,767.32 11,834,599,696.98 -35,070.34
Non-current assets:
Loans and payments
on behalf
Debt investment
Other debt
investment
Long-term account
receivable
Long-term equity 76,982,822.38
76,982,822.38
investment
Investment in other
equity instrument
Other non-current 548,148,931.34
548,148,931.34
financial assets
Investment real 53,888,462.00
53,888,462.00
estate
Fixed assets 2,391,859,440.31 2,391,859,440.31
Construction in 60,775,088.96
60,775,088.96
progress
Productive
biological asset
Oil and gas asset
Right-of-use assets 9,818,834.44 9,818,834.44
Intangible assets 936,851,520.65 936,851,520.65
Expense on 73,028,441.56
Research and 73,028,441.56
Development
Goodwill
Long-term expenses
to be apportioned
Deferred income tax 127,185,979.94
127,185,979.94
asset
Other non-current
asset
Total non-current asset 4,268,720,687.14 4,278,539,521.58 9,818,834.44
Total assets 16,103,355,454.46 16,113,139,218.56 9,783,764.10
Current liabilities:
Short-term loans 1,336,209,050.55 1,336,209,050.55
Loan from central
bank
Capital borrowed
Trading financial 4,584,076.51
4,584,076.51
liability
Derivative financial
23
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
liability
Note payable 4,439,607,982.34 4,439,607,982.34
Account payable 2,851,999,684.30 2,851,999,684.30
Accounts received
in advance
Contractual 522,550,891.28
522,550,891.28
liability
Selling financial
asset of repurchase
Absorbing deposit
and interbank deposit
Security trading of
agency
Security sales of
agency
Wage payable 290,321,776.05 290,321,776.05
Taxes payable 89,682,433.90 89,682,433.90
Other account 724,701,686.72
724,701,686.72
payable
Including:
Interest payable
Dividend payable 4,466,628.25 4,466,628.25
Commission charge
and commission payable
Reinsurance
payable
Liability held for
sale
Non-current
liabilities due within one 407,825,150.74 412,825,431.41 5,000,280.67
year
Other current 22,923,698.73
22,923,698.73
liabilities
Total current liabilities 10,690,406,431.12 10,695,406,711.79 5,000,280.67
Non-current liabilities:
Insurance contract
reserve
Long-term loans 188,231,439.30 188,231,439.30
Bonds payable
Including:
Preferred stock
Perpetual capital
securities
Lease liability 4,783,483.43 4,783,483.43
Long-term account 1,705,323.91
1,705,323.91
payable
Long-term wages 10,571,526.69 10,571,526.69
24
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
payable
Accrual liability 62,392,735.07 62,392,735.07
Deferred income 177,377,450.12 177,377,450.12
Deferred income tax 10,575,582.33
10,575,582.33
liabilities
Other non-current
liabilities
Total non-current 455,637,540.85 4,783,483.43
450,854,057.42
liabilities
Total liabilities 11,141,260,488.54 11,151,044,252.64 9,783,764.10
Owner’s equity:
Share capital 1,044,597,881.00 1,044,597,881.00
Other equity
instrument
Including:
Preferred stock
Perpetual capital
securities
Capital public 2,683,837,229.12
2,683,837,229.12
reserve
Less: Inventory 9,929,336.18
9,929,336.18
shares
Other -21,451,084.17
-21,451,084.17
comprehensive income
Reasonable reserve
Surplus public 416,364,790.43
416,364,790.43
reserve
Provision of general
risk
Retained profit 740,754,202.23 740,754,202.23
Total owner’ s equity 4,854,173,682.43
attributable to parent 4,854,173,682.43
company
Minority interests 107,921,283.49 107,921,283.49
Total owner’ s equity 4,962,094,965.92 4,962,094,965.92
Total liabilities and 16,113,139,218.56 9,783,764.10
16,103,355,454.46
owner’ s equity
Statement of adjustment：
In accordance with the new lease standards exercise on 1 Jan. 2021, adjust the amount of items
related to the financial statements at the beginning of the year of the first implementation based on
the cumulative impact of the first implementation of the new lease standards, without adjusting the
comparable period information. For the operating lease prior to the first execution date, the
Company shall measure the lease liability according to the present value of remaining lease
payments discounted on the basis of the internal resource input interest rate on the first execution
date, and the right-of-use asset shall make necessary adjustments according to the sum of the lease
liability and the prepayment.
25
CHANGHONG MEILING CO., LTD. THE THIRD QUARTERLY REPORT FOR 2021
2. Retrospective adjustment of the comparative data for initial imple mentation of new leasing
standards from 2021
□ Applicable √Not applicable
(iii) Audit report
Whether the 3 rd quarterly report has been audited or not
□Yes √ No
The 3 rd quarterly report of the Company has not been audited.
Board of Directors of
Changhong Meiling Co., Ltd.
October 20, 2021
26
