无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Weifu High-Technology Group Co., Ltd.
SEMI-ANNUAL REPORT 2015
August 2015
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section I. Important Notice, Contents and Paraphrase
Board of Directors, Supervisory Committee, all directors, supervisors and senior
executives of Weifu High-Technology Group 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.
All directors are attended the Board Meeting for report deliberation.
The Company has no plans of cash dividend distributed, no bonus shares and
has no share converted from capital reserve either.
Chen Xuejun, Principal of the Company, Ou Jianbin, person in charger of
accounting works and Ou Jianbin, person in charge of accounting organ
(accounting principal) hereby confirm that the Financial Report of Semi-Annual
Report 2015 is authentic, accurate and complete.
Concerning the forward-looking statements with future planning involved in the
Report, they do not constitute a substantial commitment for investors. Investors
should be cautious with investment risks.
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Content
Section I Important Notice, Contents and Paraphrase…………………………………………..2
Section II Company Profile………………………………………………………………………..5
Section III Accounting data and summary of finnaical indexes ………………………………..7
Section IV Report of the Board of Directors ……………………………………………………..9
Section V Important Events………………………………………………………………………25
Section VI Changes in shares and particular about shareholders……………………………..34
Section VII Preferred Stock………………………………………………………………………38
Section VIII Directors, Supervisors and Senior Executives…………………………………….39
Section IX Financial Report………………………………………………………………………42
Section X Documents Available for Reference………………………………………………….155
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Paraphrase
Items Refers to Contents
Company, The Company, Wei-fu
Refers to Weifu High-Technology Group Co., Ltd.
High-technology
Weifu Group Refers to Wuxi Weifu Group Co., Ltd.
Industry Group Refers to Wuxi Industry Development Group Co., Ltd.
Robert Bosch, Robert Bosch Company Refers to Robert Bosch Co., Ltd., ROBERT BOSCH GMBH
Bosch Automobile Diesel, Bosch Diesel
Refers to Bosch Automobile Diesel System Co., Ltd
System
Weifu Automotive Diesel Refers to Wuxi Weifu Automotive Diesel System Co., Ltd.
Weifu Leader Refers to Wuxi Weifu Leader Catalytic Converter Co., Ltd.
Weifu Jinning Refers to Nanjing Weifu Jinning Co., Ltd.
Weifu Environment Refers to Wuxi Weifu Environment Catalyst Co., Ltd.
Weifu Fine Machinery Refers to Wuxi Weifu Fine Machinery Manufacturing Co., Ltd.
Zhonglian Electronic Refers to Zhonglian Automobile Electronic Co., Ltd.
CSRC Refers to China Securities Regulatory Commission
Jiangsu Gongzheng Refers to Jiangsu Gongzheng Tianye Certified Public Accountants Co., Ltd.
The reporting period Refers to From 1 Jan. 2015 to 30 Jun.2015
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section II Company profile
I. Company profile
Short form of the stock Weifu High- Tech, Su Weifu-B Stock code 000581, 200581
Stock exchange for listing Shenzhen Stock Exchange
Chinese name of the Company 无锡威孚高科技集团股份有限公司
Abbr. of Chinese name of the
威孚高科
Company(if applicable)
English name of the
WEIFU HIGH-TECHNOLOGY GROUP CO.,LTD.
Company(if applicable)
Abbr. of English name of the
WFHT
Company(if applicable)
Legal Representative Chen Xuejun
II. Person/Way to contact
Secretary of the Board Rep. of security affairs
Name Zhou Weixing Yan Guohong
Contact add. No.5, Huashan Road, New District, Wuxi City No.5, Huashan Road, New District, Wuxi City
Tel. 0510-80505999 0510-80505999
Fax. 0510-80505199 0510-80505199
E-mail wfjt@public1.wx.js.cn wfjt@public1.wx.js.cn
III. Others
1. Way of contact
Whether registrations address, offices address and codes as well as website and email of the Company changed in reporting period or
not
□ Applicable √ Not applicable
Registrations address, offices address and codes as well as website and email of the Company has no change in reporting period,
found more details in Annual Report 2014.
2. Information disclosure and preparation place
Whether information disclosure and preparation place changed in reporting period or not
□ Applicable √ Not applicable
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
The newspaper appointed for information disclosure, website for semi-annual report publish appointed by CSRC and preparation
place for semi-annual report have no change in reporting period, found more details in Annual Report 2014.
3. Registration changes of the Company
Whether registration has changed in reporting period or not
□ Applicable √ Not applicable
Date/place for registration of the Company, registration number for enterprise legal license, number of taxation registration and
organization code have no change in reporting period, found more details in Annual Report 2014.
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section III. Accounting data and summary of financial indexes
I. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed and accounting
error correction or not
□Yes √ No
Increase/decrease in this
Current period Same period of last year
report y-o-y
Operating revenue (RMB) 3,390,437,923.64 3,529,819,855.63 -3.95%
Net profit attributable to shareholders of the
1,045,987,200.83 840,585,795.24 24.44%
listed company(RMB)
Net profit attributable to shareholders of the
listed company after deducting non-recurring 884,001,959.90 821,614,902.92 7.59%
gains and losses(RMB)
Net cash flow arising from operating
438,286,150.85 393,612,109.41 11.35%
activities(RMB)
Basic earnings per share (RMB/Share) 1.03 0.82 25.61%
Diluted earnings per share (RMB/Share) 1.03 0.82 25.61%
Weighted average ROE 9.14% 8.41% 0.73%
Increase/decrease in this
End of current period End of last period report-end over that of last
period-end
Total assets (RMB) 15,452,582,477.71 14,488,589,167.90 6.65%
Net assets attributable to shareholder of listed
11,620,569,390.04 10,859,034,688.96 7.01%
company(RMB)
II. 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
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
The Company has no 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) in reporting 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 has no difference of the net profit and net assets disclosed in financial report, under both foreign accounting rules and
Chinese GAAP (Generally Accepted Accounting Principles) in reporting period
III. Items and amounts of extraordinary profit (gains)/loss
√Applicable □Not applicable
In RMB
Item Amount Note
Gains/losses from the disposal of non-current asset (including the write-off that
117,297,741.62
accrued for impairment of assets)
Including government
Governmental subsidy reckoned into current gains/losses (not including the subsidy
subsidy income
enjoyed in quota or ration according to national standards, which are closely relevant 60,694,363.98
received from
to enterprise’s business)
relocation by policy
Profit and loss of assets delegation on others’ investment or management 66,030,608.77
Restoring of receivable impairment provision that tested individually 1,003,115.00
Other non-operating income and expenditure except for the aforementioned items 279,246.64
Relocation expenses -53,835,107.52
Less: Impact on income tax 28,750,377.07
Impact on minority shareholders’ equity (post-tax) 734,350.49
Total 161,985,240.93 --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for Companies
Offering Their Securities to the Public --- Extraordinary Profit/loss, and 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, explain reasons
□ Applicable √ Not applicable
In reporting period, the Company has no particular about 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
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section IV. Report of the Board of Directors
I. Introduction
According to the data released by China Association of Automobile Manufacturers: in first half year of 2015,
production and sales of the automobile in China up to 12,095,000 and 11,850,300 with a y-o-y growth of 2.64
percent and 1.43 percent respectively; among which, passenger cars shows 10,327,800 and 10,095,600 in
production and sales respectively with 6.38 percent and 4.80 percent growth y-o-y and the commercial vehicle has
1,767,200 and 1,754,700 in production and sales respectively with 14.86 percent and 14.41 percent up y-o-y,
including production and sales of heavy truck reached 294,600 and 292,300 respectively with growth of 31.86
percent and 31.43 percent respectively y-o-y.
The macro economy has stepped into new normal development in 2015. Auto market is operating under pressure,
leading to continuous decline in commercial vehicle market demands which is closed related to the business of the
Company, especially for heavy truck market where demands has decreased over 30%. In front of the complicated
and varied market conditions, the Company actively capitalized on the opportunity arising from switch of exhaust
emission regulations to facilitate industrial structure adjustment. Through refined management and strict risk
control, the Company realized operating income of RMB3.390 billion, with a decrease of 3.95% as compared to
last year; realized profit of RMB1.158 billion, with an increase of 23.74% as compared to last year; and realized
net profit attributable to owners of parent company of RMB1.046 billion, with an increase of 24.44% as compared
to last year.
II. Main business analysis
Year-on-year changes for main financial data
In RMB
Same period of last Y-o-y
Current period Reasons for changes
year increase/decrease
Operation revenue 3,390,437,923.64 3,529,819,855.63 -3.95%
Operation cost 2,643,639,033.68 2,668,547,637.45 -0.93%
Sales expenses 85,114,812.69 102,594,327.49 -17.04%
Administrative expenses 293,774,077.81 344,239,876.45 -14.66%
Financial cost -4,167,369.67 -15,309,956.65
Income tax expense 88,185,218.04 65,737,472.85 34.15%
Net cash flow arising
438,286,150.85 393,612,109.41 11.35%
from operation activities
Net cash flow arising Capital out-flow increased y-o-y for
-549,170,196.02 -387,528,765.16
from investment purchasing trust management in the
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
activities Period
Net cash flow arising The dividend distribution are paid in the
-515,429,962.26 -117,108,233.62
from financing activities Period
Net increase of cash and The cash out-flow from investment and
-626,314,007.43 -111,024,889.37
cash equivalent financing activities are increased y-o-y
Losses of devaluation of Vary impairment losses accrual in the
251,287.53 9,813,986.25 -97.44%
asset Period are decreased on a y-o-y basis
Mainly refers to part of the Miracle
shares are sold in the Period, the income
Investment income 782,338,464.77 537,050,581.98 45.67% from entrust management, investment
income from stock-jointly company and
bonus from Chengding Detong Fund
The compensation for removal losses of
Non-operating income 77,198,017.61 8,951,234.72 762.43%
the parent company in the Period
The expenses of removal of parent
Non-operating expense 56,924,343.71 7,935,026.94 617.38%
company in Period
Increase/decrease in
End of current this report-end over
End of last period Reasons
period that of last
period-end
The dividend receivable from Bosch
Dividend receivable 266,756,175.00 500,000.00 53,251.24%
Automobile Diesel
The entrust management products
Other current assets 3,222,826,421.66 1,812,883,996.48 77.77% increased over that of year-beginning in
the Period
The year-end bonus of the employee are
Wage payable 179,215,367.38 261,647,666.99 -31.51%
paid in the Period
The payable long-term loans interest at
Interest payable 1,903,688.89 749,561.12 153.97% period-end increased that of
year-beginning
Special accounts The removal compensation increased in
92,167,975.77 18,265,082.11 404.61%
payable the Period
Deferred income tax The fair value of financial assets
45,605,527.40 23,815,411.40 91.50%
liabilities available for sale increased in the Period
Major changes on profit composition or profit resources in reporting period
□ Applicable √ Not applicable
No major changes on profit composition or profit resources occurred in reporting period
The future development and planning extended to reporting period that published in disclosure documents as prospectus, private
placing memorandum and recapitalize statement
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
□ Applicable √ Not applicable
No future development and planning extended to reporting period that published in disclosure documents as prospectus, private
placing memorandum and recapitalize statement
Review on the previous business plan and its progress during reporting period
In first half of 2015, performance of the Company’s economy in general was encouraging with a stable condition.
III. Constitution of main business
In RMB
Increase or Increase or Increase or
decrease of decrease of decrease of gross
Gross profit
Operating revenue Operating cost operating revenue operating cost profit ratio over
ratio
over same period over same period same period of
of last year of last year last year
According to industries
Auto parts 3,191,384,324.10 2,486,566,408.51 22.09% -2.89% 0.70% -1.26%
According to products
Auto fuel injection
1,804,884,670.07 1,333,710,836.73 26.11% -24.46% -23.15% -4.43%
system
Induction system 130,799,911.89 102,346,652.41 21.75% 31.63% 39.54% -0.85%
Post-processing
1,255,699,742.14 1,050,508,919.37 16.34% 57.46% 59.07% -2.78%
system
According to region
Domestic 3,035,363,153.19 2,335,051,587.97 23.07% -3.74% -0.39% -2.59%
Overseas 156,021,170.91 151,514,820.54 2.89% 17.33% 21.09% -3.02%
IV. Core competitive analysis
Core competence of the Company has no major changes in reporting period. More detail can be found in 2014 annual report.
V. Investment analysis
1. Situation of equity investment outside
(1) Situation of investment outside
□Applicable √Not applicable
The Company had no investment outside in the Period.
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
(2)Holding equity of financial enterprise
√ Applicable □ Not applicable
Proporti Proporti
Amount of on of Amount of
on of
stock-holdin stock-ho stock-holdi
Initial stock-ho Book value at Gains and loss Sourc
g at the lding at ng at the
Name Type investment lding at the end of the in the Accountin
e of
cost(RMB) beginning of the end of the period reporting g subject
the end stock
the period beginni period (RMB) (RMB)
of the
(Share) ng of the (Share)
period
period
Secu Financial
Guolian Subsc
rities assets
Securities Co., 12,000,000.00 18,000,000 1.20% 18,000,000 1.20% 12,000,000.00 1,260,000.00 riptio
com available
Ltd. n
pany for sales
Nanjing
Insur Financial
Hengtai Subsc
ance assets
Insurance and 1,000,000.00 1,000,000 1.85% 1,000,000 1.85% 1,000,000.00 riptio
com available
Broker Co., n
pany for sales
Ltd.
Total 13,000,000.00 19,000,000 -- 19,000,000 -- 13,000,000.00 1,260,000.00 -- --
(3)Situation of securities investment
√ Applicable □ Not applicable
Propo
rtion Proport
of Amount of ion of
Vari Short Amount of
stock- stock-holdi stock-h Book value at
ety Code of form Initial stock-holdin
holdin ng at the olding the end of the Gains and loss Accou Sourc
of securitie of investment g at the
g at end of the at the in the reporting nting e of
secu s securit cost(RMB) beginning of period
the period end of (RMB) subject stock
rities ies the period (RMB)
begin (Share) the
(Share)
ning period
of the
period
Financ
ial
Subsc
Stoc SDEC assets
600841 199,208,000.00 23,680,000 2.73% 23,680,000 2.73% 406,348,800.00 riptio
k availa
n
ble for
sales
Financ
Miracl
ial Subsc
Stoc e
002009 69,331,500.00 9,300,000 2.90% 4,710,000 1.47% 116,666,700.00 102,280,390.13 assets riptio
k Logisti
availa n
cs
ble for
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
sales
Total 268,539,500.00 32,980,000 -- 28,390,000 -- 523,015,500.00 102,280,390.13 -- --
Disclosure date of 2012-03-24
securities investment
approval of Board
2013-06-04
report
Disclosure date of
securities investment
approval of Board
report
(4) Statement of holding other listed companies’ equity
√ Applicable □ Not applicable
Being deliberated and approved in 23rd meeting of 6th session of the Board dated 24 March 2012, the Company subscribes
14,800,000 private placement of A-share from SDEC with RMB 13.46 per share, a 2.72 percent in total share capital of SDEC after
placement. The Company committed no transfer after the subscription in 12 months, restricted period (23 March 2012 to 22 March
2013). SDEC implemented the plan of annual profit distribution and converting capital reserve into share capital for 2011 on 4th June
2012. (Sending cash of RMB 0.5(tax included) per every 10 shares, converting 6 shares per every 10 shares. The Company held
23.68 million shares of SDEC at end of the Period, representing 2.73 percent in total of the SDEC shares, after completion of the
cancellation for B-share buy-back.
In May 2013, in line with the define authority in ―Decision-making System of Major Investment and Financial‖, being discussed by
the management and approved from the Chairman, the Company decide to subscribe 9,300,000 private placement shares from
Miracle Logistics with RMB 7.455 per share, a 2.9 percent in total share capital of Miracle Logistics after placement. The Company
committed no transfer after the subscription in 12 months, restricted period (4 June 2013 to 3 June 2014). At the end of the Period,
the Company held Miracle Logistics of 4710,000 shares, accounting for the Miracle Logistics total share capital of 1.47%.
2. Trust financing, investment of derivatives and entrustment loan
(1) Trust financing
√ Applicable □ Not applicable
In 10 thousand Yuan
Amount
Amount of reserve
of for
Whether Determin Actual
Related Amount Start date End date principal devaluati
Name of related ation Estimated gains/loss
relationsh Type of trust of trust of trust actual on of
trustee trade or method of income es in
ip financing financing financing taking withdrawi
not reward period
back in ng (if
period applicable
)
Bank, Floating
trust, Floating 2015-01- 2016-07- rate,
No No 311,000 187,500 6,603.06 6,603.06
brokerage profit 06 21 maximize
, asset d
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
managem annualize
ent d ate of
company return
agreed in
contract
Total 311,000 -- -- -- 187,500 6,603.06 6,603.06
All refers to the self-owned capital of the Company. the actual capital for trust
Capital resource
financing is RMB 2 billion at most, and recyclable within the limit.
Overdue un-received principal and
0
accumulated earnings amount
Lawsuit involved (if applicable) N/A
Disclosure date for approval from the
2015-04-23
Board for trust financing (if applicable)
Disclosure date for approval from board of
shareholders for trust financing (if
applicable)
(2) Investment of derivatives
□ Applicable √ Not applicable
The Company has no derivatives investment in the Period
(3) Entrustment loan
□ Applicable √ Not applicable
The Company has no entrustment loan in the Period
3. Application of raised proceeds
√ Applicable □ Not applicable
(1)Overall application of raised proceeds
√ Applicable □ Not applicable
In 10 thousand Yuan
Total raised proceeds 285,012.43
Total raised proceeds invested during the reporting period 18,201.97
Total accumulative raised proceeds invested 271,755.61
Total raised proceeds for new purposes during the reporting period 10,000
Total accumulative raised proceeds for new purposes 10,000
Proportion of the total accumulative raised proceeds for new purposes 3.51%
General application of raised proceeds
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
On 21 January 2012, the CSRC issued the reply on approving non-public issuance of Weifu High-technology Group Co., Ltd.
(ZJXK(2012)No.109), pursuant to which, the Company was approved to issue new shares not exceeding 112,858,000 by
non-public offering. On 10 February 2012, Jiangsu Gongzheng Tianye Certified Public Accountant issued capital verification report
(SGW(2012)No.B006), stating that as at 10 February 2012, Weifu High-tech has already issued 112,858,000 RMB common shares
(A-share) and raised capital proceeds of RMB2,866,028,910.00. after deduction of issuance expense of RMB15,904,657.07, the net
raise proceeds was RMB2,850,124,252.93.The relevant announcements (No. 2012-002, No. 2012-012) were published on Juchao
Information Website dated 1 February 2012 and 28 February 2012.
The Company held the 9th meeting of the 7th Board on 26 March 2013 and the 2012 annual general meeting on 23 May 2013 to
consider and approve the resolution on alteration to equity investment plan which set out certain adjustments to the industrialization
project relating to exhaust after-treatment system products. The relevant announcements (No.2013-001, No.2013-007, and
No.2013-014) were published on Juchao Information Website dated 28 March and 24 May 2013.
The Company held the 21st meeting of the 7th Board on 21 April 2015 and the 2014 annual general meeting on 28 May 2015 to
consider and approve the resolution on adjustment to plans and production capacity of certain investment projects funded with
raised proceeds and alteration to certain such investment projects, which mainly referred to the adjustments to the plans and
production capacity of the WAPS R&D and industrialization project, diesel common rail system spare parts production capacity
enhancement project as well as industry park construction project, and referred to alteration to the auto power battery materials
and power materials research and development project. The relevant announcements (No. 2015-003, No. 2015-010, and No.
2015-016) were published on Juchao Information Website dated 23 April and 29 May 2015.
By the end of the reporting period, an aggregate of RMB2, 717,556,100 out of the total proceeds raised has been invested.
(2) Situation of committed project of raised proceeds
√ Applicable □ Not applicable
In 10 thousand Yuan
Projects Total Amount Investme
of nt Predicted Project
changed committe Total
Committed investment or not d investme Amount accumula program serviceab Profit Reach the feasibility
till the
projects &investment (includin investme nt after invested ted le realized predicted was
of raised fund g nt of adjustme in this investme period-en condition in this interest or changed
period nt till the d date of year not hugely or
changed raised nt (1)
partially) capitals period-en (3)= project not
d (2) (2)/(1)
Investment project commitment
R&D of WAPS,
industrialization,
2015-12-
productivity expansion Yes 62,032 62,032 4,821.58 56,158.83 90.53% No
31
of diesel common rail
system parts
Construction project in 2015-12-
Yes 57,750 57,750 220.4 50,366.35 87.21% No
industrial zone 31
Industrialization of tail Yes 26,000 26,000 3,159.99 26,000 100.00% 2015-06- No
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
treatment system 30
Research institution 2012-12-
No 5,154 5,154 5,154 100.00% No
project 31
Battery material of
engines and R&D of Yes 10,000 0 Yes
battery
Equity acquisition No 34,381.5 34,381.5 34,381.5 100.00% 3,098.92 No
Liquid assets
No 90,000 89,694.93 89,694.93 100.00% No
supplementation
Permanent liquid assets
10,000 10,000 10,000 100.00%
supplementation
Subtotal of 285,012.4 271,755.6
-- 285,317.5 18,201.97 -- -- 3,098.92 -- --
commitment projects 3 1
Investment orientation for fund arising out of plan
285,012.4 271,755.6
Total -- 285,317.5 18,201.97 -- -- 3,098.92 -- --
3 1
Situation about not
coming up to schemed
progress or expected
Not applicable
revenue and the
reason(In specific
project)
During the reporting period, the Company changed the raised proceeds for the auto power battery materials
and power battery research and development project to permanent supplementary liquidity instead, which
was mainly due to that there existed extremely huge uncertainty to implement this project technically and
Explanation on great investment scale was large, so the Company had always been prudent to implementation of this project to
changes of feasibility prevent from investment risk. In order to improve utilization efficiency of raised proceeds and protect
of project investors’ interests, the Company decided to change the raised proceeds for this project to permanent
supplementary liquidity which will be all invested in its major business operation. Meanwhile, the
Company will continue to follow up development of power battery and continue cooperation in terms of
production, study and research, and will make prompt investment with its own capital as appropriate.
Amount, usage and
progress of using for
Not applicable
fund raising out of the
plan
Change of
implementation place
Not applicable
of investment project
of raised capitals
Applicable
Adjustment of
Occurred in the Period
implementation way
The Company held the 21st meeting of the 7th Board on 21 April 2015 and the 2014 annual general meeting
for investment project
on 28 May 2015 to consider and approve the resolution on adjustment to plans and production capacity of
of raised capitals
certain investment projects funded with raised proceeds and alteration to certain such investment projects.
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
The relevant announcements (No. 2015-003, No. 2015-010, and No. 2015-016) were published on Juchao
Information Website dated 23 April and 29 May 2015. Reasons for the adjustments and alteration and
details thereof are set out below:
I. WAPS research and development and industrialization and production capacity improvement of diesel
common rail system spare parts
1. Reasons for alteration: since the State has clearly determined the time to implement the national IV
emission rules, market conditions experience substantial changes. There was a burst of increasing demands
for common rail products and spare parts. Meanwhile, WAPS system had limited development space in
national IV auto-applicable diesel machine, and market demands for WAPS system in non-road machinery
market will be uncertain in future. In order to adapt to market variations, the Company made adjustments to
investment plans and production capacity of this project funded with raised proceeds. In particular, it
increased production capacity of common rail spare parts and reduced that of WAPS system, aiming to
meet both processing demands for common rail spare parts and WAPS system in future through adjusting
equipment injection structure and increasing flexibility of processing. In addition, the Company increased
appropriately the minimum liquidity required for high pressure common rail spare parts. It seeks suitable
opportunity to make subsequent injection to WAPS system with its own capital when the relevant market is
matured in terms of demands.
2. Adjustments to the plans and production capacity of this project: subject to the total investment of
RMB650 million remaining unchanged, investment for fixed assets is cut down to RMB440.73 million
instead of the original RMB500 million; liquidity investment is raised to RMB209.27 million instead of the
original RMB150 million. The output of WAP3 system (heavy type) shall be reduced from the original
200,000 units down to 50,000 units, and the output of common rail system components shall be
changed from the original 11,800,000 pieces up to 19,230,000 pieces.
3. Completion date of this project is adjusted to 31 December 2015.
II. Industry park construction project
1. Reasons for alteration: since the State has clearly determined the time to implement the national IV
emission rules, market conditions experience substantial changes, there is a burst of increasing demands for
common rail products and uncertainty exists in market demands for WAPS system, the Company
accordingly makes adjustments to the investment plan and production capacity of this project in order to
adapt to the changing market demands.
2. Adjustments to the plans and production capacity of this project: subject to the total investment of
RMB650 million remaining unchanged, investment for fixed assets is raised to RMB599.15 million instead
of the original RMB572.50 million; liquidity investment is cut down to RMB50.85 million instead of the
original RMB77.50 million, and additional liquidity required in subsequent periods will be funded with its
own capital. The output of WAP2 system (middle-sized) shall be reduced from the original 100,000 units
down to 30,000 units, and the output of common rail syetem shall be changed from the original 810,000
units up to 1,250,000 units.
As for specific implementation, processing for the key common rail high pressure pump spare parts was
implemented by the machinery system segment of Weifu headquarter office. With utilization of existing
equipment, the Company was able to eliminate certain equipment that did not satisfy the requirements for
environment protection and crafts processing, acquired processing facilities that delivered guaranteed and
flexible performance, targeting to balance its processing capability. Capital needed for equipment
investment was mainly funded with its own capital. Plant construction was mainly funded with raised
17
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
proceeds. The general instalment of high pressure common rail pump was undertaken by its wholly-owned
subsidiary Weifu Auto Diesel. Equipment injection occurred during assemble procedure was funded with
the own capital injected by Weifu Auto Diesel rather than with raised proceeds. And it was finally sold to
Bosch Auto Diesel System Co., Ltd. by Weifu Auto Diesel.
3. Completion date of this project is adjusted to 31 December 2015.
III. Auto power battery materials and power battery research and development project
1. Reasons for alteration: since there exists extremely huge uncertainty to implement this project
technically and investment scale is large, the Company has always been prudent to implementation of this
project to prevent from investment risk. In order to improve utilization efficiency of raised proceeds and
protect investors’ interests, the Company decided to change the raised proceeds for this project to
permanent supplementary liquidity which will be all invested in its major business operation. Meanwhile,
the Company will continue to follow up development of power battery and continue cooperation in terms
of production, study and research, and will make prompt investment with its own capital as appropriate.
2. Raised proceeds for this project changed to be permanent supplementary liquidity instead.
Applicable
According to the Verification Report of Fund-Raised Project Invested in Advance with Self-raised Funds of
WFHT (Su Gong W[2012] No. E1100) issued by Jiangsu Gongzheng Tianye Certified Public Accountants
Co., Ltd. Up to 29 February 2012, the actual investment funding for fund-raised project invested in advance
Regulation of
with self-raised funds amounting as 299.12 million Yuan, including 1. R&D of WAPS, industrialization,
implementation ways
productivity expansion of diesel common rail system parts: 180.05 million Yuan; 2. construction project in
of investment project
industrial zone: 16.62 million Yuan; 3. industrialization of tail treatment system: 28.56 million Yuan; 4.
of raised capitals
research institution project: 51.54 million Yuan; 5. Equity acquisition project: 22.35 million Yuan. On 31
March 2012, the Proposal of Replacing the Working Capital Input to Projects by Raised Capital was
deliberated and approved by 2nd extraordinary meeting of 7th session of the Board, agreed to replacing the
working capital input to projects by raised capital with 299.12 million Yuan.
Temporarily
supplement for the
Not applicable
current capitals with
idle raised capitals
Amount surplus in
implementation of
Not applicable
raised proceeds and
reasons
Usage of raised capitals had on changes in the reporting. On the storage and the usage of raised capitals, the
Usage and trend of
company’s execution strictly based on related laws and regulations and three-party supervision protocol of
unused raised capitals
raised capitals (four-party supervision protocol of raised capitals).
Questions or other
situation while using
Not applicable
raised capitals and in
disclosure
18
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
(3)The changed project of raised proceeds
√ Applicable □ Not applicable
In 10 thousand Yuan
Project
Accumulati feasibility
Total raised Investment Predicted
Amount ve funds Reach the was
Correspondi funds plans program till serviceable Profit
Project after actually actually predicted changed
ng original to invested the condition realized in
changed invested in invested interest or hugely or
project after period-end date of this year
the Period ended as the not (Y/N) not after
changed (1) (3)=(2)/(1) project
Period (2) project
changed
R&D of R&D of
WAPS, WAPS,
industrializa industrializa
tion, tion,
productivity productivity
62,032 4,821.58 56,158.83 90.53% 2015-12-31 No
expansion expansion
of diesel of diesel
common common
rail system rail system
parts parts
Constructio Constructio
n project in n project in
57,750 220.4 50,366.35 87.21% 2015-12-31 No
industrial industrial
zone zone
Battery
Permanent
material of
liquid assets
engines and 10,000 10,000 10,000 100.00% Yes
supplement
R&D of
ation
battery
Total -- 129,782 15,041.98 116,525.18 -- -- 0 -- --
st th
Explanation The Company held the 21 meeting of the 7 Board on 21 April 2015 and the 2014 annual general meeting on 28
on reasons May 2015 to consider and approve the resolution on adjustment to plans and production capacity of certain
of the investment projects funded with raised proceeds and alteration to certain such investment projects. The relevant
changes, announcements (No. 2015-003, No. 2015-010, and No. 2015-016) were published on Juchao Information Website
decision-ma dated 23 April and 29 May 2015. Reasons for the adjustments and alteration and details thereof are set out below:
king I. WAPS research and development and industrialization and production capacity improvement of diesel common rail
procedures system spare parts
and 1. Reasons for alteration: since the State has clearly determined the time to implement the national IV emission rules,
information market conditions experience substantial changes. There was a burst of increasing demands for common rail products
disclosure and spare parts. Meanwhile, WAPS system had limited development space in national IV auto-applicable diesel
(explain by machine, and market demands for WAPS system in non-road machinery market will be uncertain in future. In order to
specific adapt to market variations, the Company made adjustments to investment plans and production capacity of this
project) project funded with raised proceeds. In particular, it increased production capacity of common rail spare parts and
19
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
reduced that of WAPS system, aiming to meet both processing demands for common rail spare parts and WAPS
system in future through adjusting equipment injection structure and increasing flexibility of processing. In addition,
the Company increased appropriately the minimum liquidity required for high pressure common rail spare parts. It
seeks suitable opportunity to make subsequent injection to WAPS system with its own capital when the relevant
market is matured in terms of demands.
2. Adjustments to the plans and production capacity of this project: subject to the total investment of RMB650 million
remaining unchanged, investment for fixed assets is cut down to RMB440.73 million instead of the original RMB500
million; liquidity investment is raised to RMB209.27 million instead of the original RMB150 million. The output of
WAP3 system (heavy type) shall be reduced from the original 200,000 units down to 50,000 units, and the output of
common rail system components shall be changed from the original 11,800,000 pieces up to 19,230,000 pieces.
3. Completion date of this project is adjusted to 31 December 2015.
II. Industry park construction project
1. Reasons for alteration: since the State has clearly determined the time to implement the national IV emission rules,
market conditions experience substantial changes, there is a burst of increasing demands for common rail products
and uncertainty exists in market demands for WAPS system, the Company accordingly makes adjustments to the
investment plan and production capacity of this project in order to adapt to the changing market demands.
2. Adjustments to the plans and production capacity of this project: subject to the total investment of RMB650 million
remaining unchanged, investment for fixed assets is raised to RMB599.15 million instead of the original RMB572.50
million; liquidity investment is cut down to RMB50.85 million instead of the original RMB77.50 million, and
additional liquidity required in subsequent periods will be funded with its own capital. The output of WAP2 system
(middle-sized) shall be reduced from the original 100,000 units down to 30,000 units, and the output of common rail
syetem shall be changed from the original 810,000 units up to 1,250,000 units.
As for specific implementation, processing for the key common rail high pressure pump spare parts was implemented
by the machinery system segment of Weifu headquarter office. With utilization of existing equipment, the Company
was able to eliminate certain equipment that did not satisfy the requirements for environment protection and crafts
processing, acquired processing facilities that delivered guaranteed and flexible performance, targeting to balance its
processing capability. Capital needed for equipment investment was mainly funded with its own capital. Plant
construction was mainly funded with raised proceeds. The general installment of high pressure common rail pump
was undertaken by its wholly-owned subsidiary Weifu Auto Diesel. Equipment injection occurred during assemble
procedure was funded with the own capital injected by Weifu Auto Diesel rather than with raised proceeds. And it was
finally sold to Bosch Auto Diesel System Co., Ltd. by Weifu Auto Diesel.
3. Completion date of this project is adjusted to 31 December 2015.
III. Auto power battery materials and power battery research and development project
1. Reasons for alteration: since there exists extremely huge uncertainty to implement this project technically and
investment scale is large, the Company has always been prudent to implementation of this project to prevent from
investment risk. In order to improve utilization efficiency of raised proceeds and protect investors’ interests, the
Company decided to change the raised proceeds for this project to permanent supplementary liquidity which will be
all invested in its major business operation. Meanwhile, the Company will continue to follow up development of
power battery and continue cooperation in terms of production, study and research, and will make prompt investment
with its own capital as appropriate.
2. Raised proceeds for this project changed to be permanent supplementary liquidity instead.
20
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Particular
and reasons
of fail to
reached the
target
advance or Not applicable
anticipated
income
(explain by
specific
project)
During the reporting period, the Company changed the raised proceeds for the auto power battery materials and
Explanation power battery research and development project to permanent supplementary liquidity instead, which was mainly due
on major to that there existed extremely huge uncertainty to implement this project technically and investment scale was large,
changes on so the Company had always been prudent to implementation of this project to prevent from investment risk. In order
project to improve utilization efficiency of raised proceeds and protect investors’ interests, the Company decided to change
feasibility the raised proceeds for this project to permanent supplementary liquidity which will be all invested in its major
after project business operation. Meanwhile, the Company will continue to follow up development of power battery and continue
changed cooperation in terms of production, study and research, and will make prompt investment with its own capital as
appropriate.
(4) Project of raised proceeds
Disclosure
Project of raised proceeds and summary Disclosure index
date
Being approved by ―Reply of the Private Placement of WEIFU
HIGH-TECHNOLOGY GROUP CO.,LTD.‖ (Zheng Jian Xu
Ke [2012] No.109) issued by CSRC, the Company issuing
―Private Placement of the Company and Summary of
112,858,000 shares privately with price of 25.395 Yuan/Share. 2012-02
Listing Announcement‖ (Notice No.: 2012-12)
The above mentioned shares have been listed on Shenzhen -28
released on Juchao Website (www.cninfo.com.cn)
Stock Exchange dated 29 February 2012. Totally 2,866,028,900
Yuan are raised and net amount of 2,850,124,300 Yuan after
deducted the issuing expenses.
Special Report on Fund-raised Deposit and Use of Funds for 2013-03
Released on Juchao Website (www.cninfo.com.cn)
year of 2012 -28
The Proposal of Changing the Fund-raised Projects Investment
‖ Notice of Changing the Fund-raised Projects
Plan was deliberated and approved by 9th meeting of 7th session
Investment Plan‖ (Notice No.: 2013-007) released on
of the Board held on 26 March 2013 and Annual General 2013-03
Juchao Website (www.cninfo.com.cn); ―Resolution
Meeting 2012 dated 23 May 2013. The amount invested in -28
Notice of AGM of 2012‖ released on Juchao Website
industrialization of tail treatment system project changed from
(www.cninfo.com.cn) dated 24 May 2013
260 million Yuan originally to 340 million Yuan, the parts
21
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
adjusted will funding with self-owned capital.
Special Report on Fund-raised Deposit and Use of Funds for 2014-04
Released on Juchao Website (www.cninfo.com.cn)
year of 2013 -15
Special Report on Fund-raised Deposit and Use of Funds for 2015-04
Released on Juchao Website (www.cninfo.com.cn)
year of 2014 -23
(Notice No.: 2015-010) released on Juchao Website
2015-04 (www.cninfo.com.cn);
Notice of Adjusted Part of the Fund-raised projects and
-23 The ―Resolution Notice of Annual General Meeting
capacity and Changed part of the Fund-raised projects
2014‖ (Notice No.: 2015-016) released on Juchao
Website (www.cninfo.com.cn) dated 29 May 2015
Deposit of raised proceeds and utilization for fist half year of 2015-08-
Released on Juchao Website (www.cninfo.com.cn)
2015 25
4. Main subsidiaries and stock-jointly companies
√ Applicable □ Not applicable
Particular about main subsidiaries and stock-jointly companies
In RMB
Main
Com
Indus product Register Operating
pany Type Total assets Net Assets Operating profit Net profit
tries s or capital revenue
name
service
Weif
Fuel
u
Auto injectio
Auto
Subsi mobi n 300,000,00
moti 1,312,919,117.80 1,083,195,479.93 783,691,351.87 139,001,531.99 116,958,391.17
diary le system 0.00
ve
parts product
Dies
ions
el
Post-pr
Auto ocessin
Weifu
Subsi mobi g 502,596,30
Leade 2,290,480,364.94 1,228,579,860.51 1,325,968,298.36 160,125,870.43 140,826,072.11
diary le system 0.00
r
parts product
ions
Fuel
Weif Auto injectio
u Subsi mobi n 346,286,82
921,082,978.05 715,335,937.12 174,054,625.68 -984,102.77 -185,538.54
Jinni diary le system 5.80
ng parts product
ions
22
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Bosc
Fuel
h Joint
Auto injectio
Auto -stoc USD
mobi n
mobi k 241,000,00 7,477,608,004.00 4,816,419,386.00 5,291,426,049.00 1,427,759,123.89 1,239,568,252.00
le system
le comp 0.00
parts product
Dies any
ions
el
Joint Gasolin
Zhon Auto
-stoc e
glian mobi 600,620,00
k system 3,388,032,855.15 3,381,508,381.54 3,885,020.44 721,483,611.91 721,344,954.17
Elect le 0.00
comp product
ronic parts
any ions
5. Major project invested by non-raised funds
□ Applicable √ Not applicable
No major project invested by non-raised funds in Period
VI. Prediction of business performance from January – September 2015
Estimation on accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the
warning of its material change compared with the corresponding period of the last year and explanation on reason
□ Applicable √ Not applicable
VII. Explanation from the Board and Supervisory Committee for “Qualified Opinion” from
the CPA of this year’s
□ Applicable √ Not applicable
VIII. Explanation on “Qualified Opinion” of previous year from the Board
□ Applicable √ Not applicable
IX. Implementation of profit distribution in reporting period
Implementation or adjustment of profit distribution plan in reporting period, cash dividend plan and shares converted from capital
reserve in particular
√□Applicable □Not applicable
The bonus scheme of the Company was formulated strictly in line with relevant regulation of Article of Association.
Profit distribution plan for year of 2014 was: based on total share capital of the Company 1,020,200,992, distribute cash dividend of
RMB 4.00 (tax included) for every 10 shares to all shareholders. The scheme was deliberated and approve by 21st meeting of 7th
session of the Board held on 21 April 2015 and annual shareholders’ general meeting of 2014 held on 28 May 2015. The
implementation of equity distribution plan for year of 2014 (Notice No.: 2015-019) was published on China Securities Journal,
23
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Securities Times, Hong Kong Commercial Daily and Juchao Website (http://www.cninfo.com.cn) dated 17 June 2015. And the
equity distribution plan for year of 2014 was completed in June 2015.
Special explanation on cash dividend policy
Satisfy regulations of General Meeting or requirement of Article of Association (Y/N): Y
Well-defined and clearly dividend standards and proportion (Y/N): Y
Completed relevant decision-making process and mechanism (Y/N): Y
Independent directors perform duties completely and play a proper role (Y/N): Y
Minority shareholders have opportunity to express opinions and demands totally and their legal rights are fully
Y
protected (Y/N):
Not
Condition and procedures are compliance and transparent while the cash bonus policy adjusted or changed (Y/N):
applicable
X. Profit distribution and capitalization of capital reserves in 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 year
XI. In the report period, reception of research, communication and interview
√ Applicable □ Not applicable
Contents discussed and material
Time Place Way Type Reception
provided
Scene of the
Basic condition of the Company and
2015-05-28 shareholders’ Spot research Institution Institution
views on market in 2015
general meeting
The Company answered 521 questions
for investors online through the
2015.01.01 Public
Office of the Board Written inquiry Individual investor relations interactive
- 2015.06.30 investor
platform(http://irm.p5w.net/dqhd/sichu
an/)
Basic condition of the Company and
2015.01.01 Telephone Public views on market in 2015,
Office of the Board Individual
- 2015.06.30 communication investor communication with investors by
telephone more than 300
24
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section V. Important Events
I. Corporate governance
Pursuit to requirement of normative documents and relevant laws and regulations, the Company has a mechanism
of decision-making, execution and supervise in the framework of shareholders general meeting, board of directors,
supervisory committee and senior management. Vary rules and regulations have been established, constructed and
improve a reasonable and efficiency internal control system, guarantee a sustainable improvement of the operation
standards for the Company. The Company strictly follows the requirement from CSRC and relevant rules from
Listing Rules of Shenzhen Stock Exchange as well as Guidance on Standard Operation of Listed Company on
Main Board, serious and timely to perform obligation of information disclosure based on principle of
―transparency, fairness and justice‖. In reporting period, the actual corporate governance of the Company shows
no major difference with the Company Law and relevant regulations from CSRC.
II. Lawsuits
Significant lawsuits and arbitrations
□Applicable √Not applicable
The Company had no significant lawsuits or arbitrations in the Period.
Other lawsuits
□Applicable √Not applicable
III. Question from media
□ Applicable √ Not applicable
No universal questioned by media in reporting period
IV. Bankruptcy reorganization
□ Applicable √ Not applicable
In reporting period, the Company has no bankruptcy reorganization occurred.
V. Transaction in assets
1. Assets acquisition
□ Applicable √ Not applicable
The Company did not purchased assets in the Period
2. Sales of assets
□ Applicable √ Not applicable
The Company did not sell assets in the Period
25
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
3. Business combination
□ Applicable √ Not applicable
The Company has no business combined in the Period
VI. Implementation of the company’s equity incentive and the effects
□ Applicable √ Not applicable
No equity incentive in reporting period
VII. Significant related transaction
1. Related transaction connected to routine operations
√ Applicable □ Not applicable
Wheth Relate
Relat Relate Proporti
Relate Rela Trading er over d
ed d Related on in the
d ted limit the Similar
Related transaction amount transac Date of
trans transac Pricing trans approve approv market Index of
transac relationsh amount (in of the tion disclosur
actio tion principal actio d (in 10 ed price disclosure
tion ip 10 thousand same settle e
n conten n thousan limited obtained
parties Yuan) transacti ment
type t price d Yuan) or not
on mode
(Y/N)
Proc 2015-04 The
urem -23 ―Notice of
ent Predicted
of Market Routine
merc price/appr Related
Procur
Weifu Associate handi oval of the Transaction
ement
Instru d se general 2,024.83 0.92% 4,100 No for year of
of
ment company and meeting of 2015‖(Noti
goods
recei shareholde ce No.:
ving rs 2015-008);
labor ‖Resolution
servi Notice of
ce Annual
Proc General
Associate urem Meeting
d ent 2014‖
Market
company, of (Notice
price/appr
Bosch controllin merc Procur No.Z:
oval of the
Autom g handi ement 2015-016)
general 8,084.72 3.69% 29,000 No
obile subsidiary se of released on
meeting of
Diesel of and goods Juchao
shareholde
German recei Website
rs
Bosch ving dated 23
Company labor April 2015
servi and 29 May
26
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
ce 2015
Proc
urem
ent
of Market
merc price/appr
Joint Procur
Weifu handi oval of the
venture of ement
Enviro se general 56,399.41 25.76% 125,800 No
Weifu of
nment and meeting of
Leader goods
recei shareholde
ving rs
labor
servi
ce
Proc
urem
ent
of Market
Second merc price/appr
Procur
largest handi oval of the
Robert ement
sharehold se general 4,290.88 1.96% 10,000 No
Bosch of
er of the and meeting of
goods
Company recei shareholde
ving rs
labor
servi
ce
Selli
ng Market
good price/appr
Weifu Associate s/pro Sales oval of the
Instru d vidin of general 201.56 0.06% 1,360 No
ment company g goods meeting of
labor shareholde
servi rs
ce
Associate Selli Market
d ng price/appr
Bosch
company, good Sales oval of the
Autom
controllin s/pro of general 83,630.06 24.67% 220,000 No
obile
g vidin goods meeting of
Diesel
subsidiary g shareholde
of labor rs
27
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
German servi
Bosch ce
Company
Selli
ng Market
good price/appr
Joint
Weifu s/pro Sales oval of the
venture of
Enviro vidin of general 1,156.44 0.34% 2,200 No
Weifu
nment g goods meeting of
Leader
labor shareholde
servi rs
ce
Selli
ng Market
Second good price/appr
largest s/pro Sales oval of the
Robert
sharehold vidin of general 132.36 0.04% 950 No
Bosch
er of the g goods meeting of
Company labor shareholde
servi rs
ce
Associate
d
Market
company, Techn
price/appr
Bosch controllin ology
oval of the
Autom g Othe service
general 59.66 350 No
obile subsidiary r charge
meeting of
Diesel of payabl
shareholde
German etc.
rs
Bosch
Company
Associate
d
Market
company,
Procur price/appr
Bosch controllin
ement oval of the
Autom g Othe
of general 481.04 700 No
obile subsidiary r
fixed meeting of
Diesel of
assets shareholde
German
rs
Bosch
Company
Robert Second Othe Techn Market
501.67 1,180 No
Bosch largest r ology price/appr
28
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
sharehold royalti oval of the
er of the es paid general
Company etc. meeting of
shareholde
rs
Market
price/appr
Joint Sales
Weifu oval of the
venture of Othe of
Enviro general 22.65 1,250 No
Weifu r fixed
nment meeting of
Leader assets
shareholde
rs
Market
Rental price/appr
Joint
Weifu expens oval of the
venture of Othe
Enviro e general 240 No
Weifu r
nment receiv meeting of
Leader
able shareholde
rs
Total -- -- 156,985.28 -- 397,130 -- -- -- -- --
Detail of sales return with major
Not applicable
amount involved
Report the actual
implementation of the normal
The total amount from daily related transaction in reporting period still in the predicted amount
related transactions which were
that approved in Annual Shareholders’ General Meeting of 2014, the predicted amount of daily
projected about their total
related transactions for year of 2015 at year-begin amounting as RMB 3,971,300,000 in total.
amount by types during the
reporting period(if applicable)
Reasons for major differences
between trading price and
Not applicable
market reference price (if
applicable)
2. Related transaction incurred by purchase or sales of assets
□ Applicable √ Not applicable
No related transaction incurred by purchase or sales of assets in Period
3. Related transaction from jointly investment outside
□ Applicable √ Not applicable
No related transaction from jointly investment outside occurred in Period
4. Credits and liability of related party
□ Applicable √ Not applicable
The Company had no non-operation related liabilities or credits relations in Period
29
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
5. Other related transactions
□ Applicable √ Not applicable
The Company had no other related transactions in the reporting period
VIII. Non-business capital occupying by controlling shareholders and its related parties
□ Applicable √ Not applicable
No non-business capital occupied by controlling shareholders and its related parties in Period
IX. Major contract and implantation
1. Trusteeship, contract and leasing
(1) Trusteeship
□ Applicable √ Not applicable
The Company had no trusteeship in the reporting period.
(2) Contract
□ Applicable √ Not applicable
The Company had no contract in the reporting period.
(3) Leasing
□ Applicable √ Not applicable
The Company had no leasing in the reporting period.
2. Guarantee
√ Applicable □ Not applicable
In 10 thousand Yuan
Particulars about the external guarantee of the Company (Barring the guarantee for subsidiaries)
Related
Actual date of Complete Guarante
Name of the Announce
Guarantee happening (Date Actual Guarantee Guarantee implemen e for
Company ment
limit of signing guarantee limit type term tation or related
guaranteed disclosure
agreement) not party
date
Bosch Automobile
Diesel System Co., 2015-04-23 44,000
Ltd
Total actual occurred external
Total approving external
44,000 guarantee in report period 0
guarantee in report period (A1)
(A2)
30
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Total approved external Total actual balance of
guarantee at the end of report 44,000 external guarantee at the end 0
period ( A3) of report period (A4)
Guarantee of the Company for the subsidiaries
Related
Actual date of Complete Guarante
Name of the Announce
Guarantee happening (Date Actual Guarantee Guarantee implemen e for
Company ment
limit of signing guarantee limit type term tation or related
guaranteed disclosure
agreement) not party
date
Ningbo Tianli
Turbocharging Joint liability
2014-01-17 6,000 2013-12-24 6,000 3 years No No
Technology Co., guaranty
Ltd.
Total amount of actual
Total amount of approving
occurred guarantee for
guarantee for subsidiaries in 6,000 6,000
subsidiaries in report period
report period (B1)
(B2)
Total balance of actual
Total amount of approved
guarantee for subsidiaries at
guarantee for subsidiaries at the 6,000 6,000
the end of reporting period
end of reporting period (B3)
(B4)
Guarantee of the subsidiaries for the subsidiaries
Related
Actual date of Complete Guarante
Name of the Announce
Guarantee happening (Date Actual Guarantee Guarantee implemen e for
Company ment
limit of signing guarantee limit type term tation or related
guaranteed disclosure
agreement) not party
date
Total amount of guarantee of the Company (total three abovementioned guarantee)
Total amount of approving Total amount of actual
guarantee in report period 50,000 occurred guarantee in report 6,000
(A1+B1+C1) period (A2+B2+C2)
Total amount of approved Total balance of actual
guarantee at the end of report 50,000 guarantee at the end of report 6,000
period (A3+B3+B3) period (A4+B4+C4)
The proportion of the total amount of actually guarantee in the
0.52%
net assets of the Company(A4+ B4+C4)
Including:
Amount of guarantee for shareholders, actual controller and its
0
related parties(D)
The debts guarantee amount provided for the guaranteed
parties whose assets-liability ratio exceed 70% directly or 0
indirectly(E)
Proportion of total amount of guarantee in net assets of the
0
Company exceed 50%(F)
Total amount of the aforesaid three guarantees(D+E+F) 0
Explanations on possibly bearing joint and several liquidating
Not applicable
responsibilities for undue guarantees (if applicable)
Explanations on external guarantee against regulated
Not applicable
procedures (if applicable)
Explanation on guarantee with composite way
31
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
(1) Guarantee outside against the regulation
□ Applicable √ Not applicable
No guarantee outside against the regulation in Period
3. Other material contracts
□ Applicable √ Not applicable
The Company had no other material contracts in the reporting period.
4. Other material transactions
□ Applicable √ Not applicable
The Company had no other material transactions in the reporting period.
X. Commitments made by the Company or shareholders holding above 5% shares of the
Company in reporting period or occurred in the previous reporting period but continued to
reporting period
√ Applicable □ Not applicable
Dated Com
Commitment for mit
Commitments Contents Implementation
party commi ment
tment term
Share Merger Reform
Commitments in report of
acquisition or equity
change
Commitments in assets
reorganization
The privately offering of the Company totally Commitments
Wuxi Industry issue 112,858,000 A-shares to substantial completed. The
Commitments in initial Development shareholder Wuxi Industry Group and foreign restriction period 36
public offering or Group Co., Ltd strategy investor ROBERT BOSCH GMBH. months has expired, and
refinancing and ROBERT The above said shares are listed for trading in has applied for un-lock,
BOSCH GMBH Shenzhen Stock Exchange since 29 February the listing date was 5th
2012 with 36-month restriction March 2015
Other commitments to
minority shareholders of
the Company
Completed on time or not Yes
Detail reasons for
un-complement and Not applicable
further plan(if applicable)
32
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
XI. Engagement and non-reappointment of CPA
Whether the semi-annual report was audited or not
□ Yes √ No
The semi-annual report had not been audited.
XII. Penalty and rectification
□ Applicable √ Not applicable
The Company had no penalty or rectification in the reporting period.
XIII. Risk disclosure of delisting with laws and rules violated
□ Applicable √ Not applicable
The Company has no delisting risks with laws and rules violated in Period
XIV. Other material events
□ Applicable √ Not applicable
The Company has no other material event in Period
33
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section VI. Changes in Shares and Particulars about Shareholders
I. Changes in Shares
In share
Before the Change Increase/Decrease in the Change (+, -) After the Change
Bo
New
nu Capitaliz
share
Proportio s ation of Proporti
Amount s Others Subtotal Amount
n sh public on
issue
are reserve
d
s
I. Restricted shares 169,337,725 16.60% -169,273,212 -169,273,212 64,513 0.01%
2. State-owned corporate
54,026,400 5.30% -54,026,400 -54,026,400
shares
3. Other domestic shares 50,725 0.01% 13,788 13,788 64,513 0.01%
Including: domestic
0
corporate shares
Domestic nature
50,725 0.01% 13,788 13,788 64,513 0.01%
person shares
4. Foreign shares 115,260,600 11.30% -115,260,600 -115,260,600
Including: Foreign
115,260,600 11.30% -115,260,600 -115,260,600
corporate shares
Foreign nature person
0
shares
II. Unrestricted shares 850,863,267 83.40% 169,273,212 169,273,212 1,020,136,479 99.99%
1. RMB Ordinary shares 678,483,267 66.50% 169,273,212 169,273,212 847,756,479 83.09%
2. Domestically listed
172,380,000 16.90% 0 0 172,380,000 16.90%
foreign shares
3. Foreign listed foreign
0 0
shares
4. Other 0 0
III. Total shares 1,020,200,992 100.00% 0 0 1,020,200,992 100.00%
Reasons for share changed
√ Applicable □ Not applicable
The privately offering of the Company totally issue 112,858,000 A-shares to substantial shareholder Wuxi
Industry Group and foreign strategy investor ROBERT BOSCH GMBH. The above said shares are listed for
trading in Shenzhen Stock Exchange since 29 February 2012 with 36-month restriction. In July 2013, the
Company implemented the interest distribution plan for year of 2012, distributed 5 bonus shares for each 10
shares held by all shareholders, and 3 Yuan (tax included) dividend in cash, after interest distribution completed,
Industry Group holds 54,026,400 shares of the privately restricted shares of the Company while BOSCH
34
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Company holds115,260,600 as well. Till end of March 2015, the 36 months restriction period has expired, being
apply to the Shenzhen Stock Exchange, the shares held by Industry Group and BOSCH Company has listed on 5
March 2015.
Approval of share changed
√ Applicable □ Not applicable
Till end of March 2015, the 36 months restriction period for the privately restricted shares held by Industry Group
and BOSCH Company has expired, being apply to the Shenzhen Stock Exchange, the shares have listed on 5
March 2015.
Ownership transfer of share changed
□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 for the Company or need to disclosed under requirement from security regulators
□Applicable √Not applicable
Explanation on changes of total shares and shareholder structure as well as assets and liability structure
□Applicable √Not applicable
II. Amount of shareholders of the Company and particulars about shares holding
In share
Total common shareholders at Total preference shareholders with voting rights recovered at end
53,249 0
period-end of reporting period (if applicable) (see Note 8)
Particulars about shares held above 5% by common shareholders or top ten common shareholders
Number of
share
Proport Total common Amount of Amount of
pledged/froze
Nature of ion of shareholders at Changes in restrict un-restrict
Full name of Shareholders n
shareholder shares the end of report period common common
State
held report period shares held shares held Amo
of
unt
share
Wuxi Industry Development State-owned
20.00% 204,059,398 0 204,059,398
Group Co., Ltd corporate
Foreign
ROBERT BOSCH GMBH 14.00% 142,841,400 0 142,841,400
corporate
Foreign
UBS AG 2.47% 25,221,039 19,153,205 25,221,039
corporate
MERRILL LYNCH Foreign
1.90% 19,390,641 19,390,641 19,390,641
INTERNATIONAL corporate
Agricultural Bank of China
Domestic
Ltd.—Fullgoal Zhongzheng
non-state-o
State-owned Enterprise 1.87% 19,119,108 15,704,475 19,119,108
wned
Innovation Index Grade Security
corporate
Fund
35
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
MORGAN STANLEY & CO. Foreign
1.53% 15,598,605 13,014,803 15,598,605
INTERNATIONAL PLC. corporate
Kangjian Assets Management Foreign
1.41% 14,402,233 14,402,233 14,402,233
Company –Client’s fund corporate
BBH BOS S/A FIDELITY FD - Foreign
1.21% 12,382,279 -2,169,100 12,382,279
CHINA FOCUS FD corporate
Puxin Investment Company- Foreign
1.11% 11,347,877 11,347,877 11,347,877
Client’s fund corporate
Domestic
Industrial & Commercial Bank of
non-state-o
China – Lion Flexi Allocation 0.64% 6,505,080 6,505,080 6,505,080
wned
Mix Security Fund
corporate
Among the top ten shareholders, there has no associated relationship between
Wuxi Industry Development Croup Co., Ltd. and other shareholders, the first
Explanation on related relationship or concerted
largest shareholder of the Company; and they do not belong to the consistent
action among the abovementioned shareholders
actionist regulated by the Management Measure of Information Disclosure on
Change of Shareholding for Listed Company.
Particular about top ten common shareholders with un-restrict shares held
Amount of
Type of shares
un-restricted common
Shareholders’ name
shares held at
Type Amount
period-end
WUXI INDUSTRY DEVELOPMENT CROUP CO., LTD. 204,059,398 RMB common shares 204,059,398
RMB common shares 115,260,600
ROBERT BOSCH GMBH 142,841,400 Domestically foreign
27,580,800
shares
UBS AG 25,221,039 RMB common shares 25,221,039
MERRILL LYNCH INTERNATIONAL 19,390,641 RMB common shares 19,390,641
Agricultural Bank of China Ltd.—Fullgoal Zhongzheng
19,119,108 RMB common shares 19,119,108
State-owned Enterprise Innovation Index Grade Security Fund
MORGAN STANLEY & CO. INTERNATIONAL PLC. 15,598,605 RMB common shares 15,598,605
Kangjian Assets Management Company –Client’s fund 14,402,233 RMB common shares 14,402,233
Domestically foreign
BBH BOS S/A FIDELITY FD - CHINA FOCUS FD 12,382,279 12,382,279
shares
Puxin Investment Company- Client’s fund 11,347,877 RMB common shares 11,347,877
Industrial & Commercial Bank of China – Lion Flexi Allocation
6,505,080 RMB common shares 6,505,080
Mix Security Fund
Expiation on associated relationship or consistent actors within Among the top ten shareholders, there has no associated
the top 10 un-restrict common shareholders and between top 10 relationship between Wuxi Industry Development Croup Co.,
un-restrict common shareholders and top 10 common Ltd. and other shareholders, the first largest shareholder of the
36
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
shareholders Company; and they do not belong to the consistent actionist
regulated by the Management Measure of Information
Disclosure on Change of Shareholding for Listed Company.
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a buy-back agreement
dealing in reporting period
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company have no buy-back
agreement dealing in reporting period.
III. Changes of controlling shareholders or actual controller
Changes of controlling shareholders in reporting period
□ Applicable √ Not applicable
Changes of controlling shareholders had no change in reporting period.
Changes of actual controller in reporting period
□ Applicable √ Not applicable
Changes of actual controller in reporting period had no change in reporting period.
IV. Share holding increasing plan proposed or implemented in reporting period from
shareholder of the Company and its concerted action person
□ Applicable √Not applicable
As far as the Company know, there are no share holding increasing plan proposed or implemented in Period from shareholder of the
Company and its concerted action person
37
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section VII. Preferred Stock
□ Applicable √ Not applicable
The Company had no preferred stock in the reporting.
38
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section VIII. Directors, Supervisors and Senior Executives
I. Changes of shares held by directors, supervisors and senior executives
√ Applicable □Not applicable
Shares Increasing Decreasin Shares Restricted Restricted
Restricted shares
held at shares g shares held at shares be shares be
Working be awarded at
Title period-b held in held in period-e awarded at awarded in
Name status period-end
egin this period this period nd(Share period-begin the period
(Share)
(Share) (Share) (Share) ) (Share) (Share)
Chen Currently
Chairman 4,753 4,753
Xuejun in office
Rudolf Vice Currently in
Maier Chairman office
Vice Currently in
Wang
Chairman & 781 781
Xiaodong office
GM
Director,
Deputy
General Currently in
Ou Jianbin
Manager and office
financing
Charger
Zhang Currently in
Director
Xiaogeng office
Chen Currently in
Director
Yudong office
Hua Currently in
Director
Wanrong office
Independent Currently in
Xing Min
Director office
Lou Independent Currently in
Diming Director office
Jin Independent Currently in
Zhangluo Director office
Xu Independent Currently in
Xiaofang Director office
Chairman of
Shi the Currently in
2,673 2,673
Xingyuan Supervisory office
Committee
Zhang Currently in
Supervisor 0 500 500
Zhenyan office
39
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Currently in
Liu Jinjun Supervisor
office
Miu Currently in
Deputy GM
Yuming office
Xu Currently in
Deputy GM 3,000 3,000
Yunfeng office
Zhou Secretary of Currently in
3,565 3,565
Weixing Board office
Ge Office
Director 38,202 38,202
Songping leaving
Independent Office
Du Fangci
Director leaving
Independent Office
Yu Xiaoli
Director leaving
Zhang Independent Office
Hongfa Director leaving
Gao Office
Supervisor 15,445 15,445
Guoyuan leaving
Wang Office
Deputy GM
Yawei leaving
Total -- -- 68,419 500 0 68,919 0 0 0
II. Resignation and dismissal of directors, supervisors and senior executives
√ Applicable □Not applicable
Name Title Type Date Reasons
Chen Xuejun Chairman Be elected 2015-05-28 General election of the Board
Rudolf Maier Vice Chairman Be elected 2015-05-28 General election of the Board
Wang Xiaodong Vice Chairman & GM Be elected 2015-05-28 General election of the Board
Director, Deputy General
Ou Jianbin
Manager and financing Charger Be elected 2015-05-28 General election of the Board
Zhang Xiaogeng Director Be elected 2015-05-28 General election of the Board
Chen Yudong Director Be elected 2015-05-28 General election of the Board
Hua Wanrong Director Be elected 2015-05-28 General election of the Board
Xing Min Independent Director Be elected 2015-05-28 General election of the Board
Lou Diming Independent Director Be elected 2015-05-28 General election of the Board
Jin Zhangluo Independent Director Be elected 2015-05-28 General election of the Board
Xu Xiaofang Independent Director Be elected 2015-05-28 General election of the Board
40
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Chairman of the Supervisory
Shi Xingyuan
Committee Be elected 2015-05-28 General election of the Board
Zhang Zhenyan Supervisor Be elected 2015-05-28 General election of the Board
Liu Jinjun Supervisor Be elected 2015-05-28 General election of the Board
Miu Yuming Deputy GM Engaged 2015-05-28 General election of the Board
Xu Yunfeng Deputy GM Engaged 2015-05-28 General election of the Board
Zhou Weixing Secretary of Board Engaged 2015-05-28 General election of the Board
leave the post when
Ge Songping Director 2015-05-28 General election of the Board
office terms expires
leave the post when
Du Fangci Independent Director 2015-05-28 General election of the Board
office terms expires
leave the post when
Yu Xiaoli Independent Director 2015-05-28 General election of the Board
office terms expires
leave the post when
Zhang Hongfa Independent Director 2015-05-28 General election of the Board
office terms expires
leave the post when
Gao Guoyuan Supervisor 2015-05-28 General election of the Board
office terms expires
leave the post when
Wang Yawei Deputy GM 2015-05-28 General election of the Board
office terms expires
41
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section IX. Financial Report
I. Audit reports
Whether the semi-annual report was audited or not
□ Yes √ No
The financial report of this semi-annual report was unaudited
II. Financial statements
Units in Notes of Financial Statements is RMB
1. Consolidated balance sheet
Prepared by Weifu High-Technology Group Co., Ltd
2015-06-30
In RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 1,670,871,830.03 2,360,027,208.92
Settlement provisions
Capital lent
Financial liability measured by fair value and with variation
reckoned into current gains/losses
Derivative financial liability
Notes receivable 911,276,572.50 993,552,743.48
Accounts receivable 1,546,817,238.25 1,206,105,236.56
Accounts paid in advance 98,470,440.44 101,014,401.60
Insurance receivable
Reinsurance receivables
Contract reserve of reinsurance receivable
Interest receivable 4,330,690.41 4,016,280.99
Dividend receivable 266,756,175.00 500,000.00
Other receivables 15,172,861.64 12,119,685.70
Purchase restituted finance asset
Inventories 958,444,103.30 1,111,669,480.16
42
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Divided into assets held for sale
Non-current asset due within one year
Other current assets 3,222,826,421.66 1,812,883,996.48
Total current assets 8,694,966,333.23 7,601,889,033.89
Non-current assets:
Loans and payments on behalf
Finance asset available for sales 816,403,261.00 844,536,400.00
Held-to-maturity investment
Long-term account receivable
Long-term equity investment 2,981,232,370.01 3,314,987,967.02
Investment property 20,825,982.92 21,418,942.40
Fixed assets 1,365,190,682.97 1,349,745,789.17
Construction in progress 658,011,886.35 477,416,068.77
Engineering material
Disposal of fixed asset
Productive biological asset
Oil and gas asset
Intangible assets 356,826,281.70 363,863,195.29
Expense on Research and Development
Goodwill 1,784,086.79 1,784,086.79
Long-term expenses to be apportioned 11,572,770.37 12,202,828.33
Deferred income tax asset 141,519,025.04 148,359,493.95
Other non-current asset 404,249,797.33 352,385,362.29
Total non-current asset 6,757,616,144.48 6,886,700,134.01
Total assets 15,452,582,477.71 14,488,589,167.90
Current liabilities:
Short-term loans 310,000,000.00 415,000,000.00
Loan from central bank
Absorbing deposit and interbank deposit
Capital borrowed
Financial liability measured by fair value and with variation
reckoned into current gains/losses
Derivative financial liability
Notes payable 526,560,403.12 488,556,684.85
43
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Accounts payable 1,663,019,630.62 1,453,938,798.61
Accounts received in advance 31,807,308.33 43,783,927.30
Selling financial asset of repurchase
Commission charge and commission payable
Wage payable 179,215,367.38 261,647,666.99
Taxes payable 88,216,179.50 70,103,988.54
Interest payable 1,903,688.89 749,561.12
Dividend payable
Other accounts payable 57,089,511.77 62,266,107.58
Reinsurance payables
Insurance contract reserve
Security trading of agency
Security sales of agency
Divided into liability held for sale
Non-current liabilities due within 1 year
Other current liabilities 13,444,927.38 10,706,310.23
Total current liabilities 2,871,257,016.99 2,806,753,045.22
Non-current liabilities:
Long-term loans 60,000,000.00 60,000,000.00
Bonds payable
Including: preferred stock
Perpetual capital securities
Long-term account payable 18,852,727.00 18,852,727.00
Long-term wages payable 69,000,000.00 69,000,000.00
Special accounts payable 92,167,975.77 18,265,082.11
Projected liabilities
Deferred income 242,537,785.11 228,792,442.75
Deferred income tax liabilities 45,605,527.40 23,815,411.40
Other non-current liabilities
Total non-current liabilities 528,164,015.28 418,725,663.26
Total liabilities 3,399,421,032.27 3,225,478,708.48
Owner’s equity:
Share capital 1,020,200,992.00 1,020,200,992.00
Other equity instrument
44
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Including: preferred stock
Perpetual capital securities
Capital public reserve 3,635,684,413.04 3,635,684,413.04
Less: Inventory shares
Other comprehensive income 245,390,282.50 121,598,365.00
Reasonable reserve 703,332.55 867,353.00
Surplus public reserve 510,100,496.00 510,100,496.00
Provision of general risk
Retained profit 6,208,489,873.95 5,570,583,069.92
Total owner’s equity attributable to parent company 11,620,569,390.04 10,859,034,688.96
Minority interests 432,592,055.40 404,075,770.46
Total owner’s equity 12,053,161,445.44 11,263,110,459.42
Total liabilities and owner’s equity 15,452,582,477.71 14,488,589,167.90
Legal Representative: Chen Xuejun
Person in charge of accounting works: Ou Jianbin
Person in charge of accounting institute: Ou Jianbin
2. Balance Sheet of Parent Company
In RMB
Item Closing balance Opening balance
Current assets:
Monetary funds 794,298,744.00 1,263,715,541.56
Financial liability measured by fair value and with variation
reckoned into current gains/losses
Derivative financial liability
Notes receivable 184,679,896.98 225,640,382.60
Accounts receivable 641,922,327.09 565,769,317.89
Account paid in advance 51,851,454.40 51,338,729.85
Interest receivable 33,287.67 33,287.67
Dividends receivable 254,987,520.00 500,000.00
Other receivables 90,139,174.28 5,071,840.68
Inventories 189,876,589.29 188,287,955.01
Divided into assets held for sale
Non-current assets maturing within one year
45
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Other current assets 3,241,770,037.53 1,917,505,847.55
Total current assets 5,449,559,031.24 4,217,862,902.81
Non-current assets:
Available-for-sale financial assets 730,463,261.00 758,596,400.00
Held-to-maturity investments
Long-term receivables
Long-term equity investments 3,992,866,193.53 4,308,319,159.56
Investment property
Fixed assets 563,005,325.03 543,076,778.80
Construction in progress 520,048,460.72 361,110,943.40
Project materials
Disposal of fixed assets
Productive biological assets
Oil and natural gas assets
Intangible assets 201,305,333.07 205,291,338.85
Research and development costs
Goodwill
Long-term deferred expenses
Deferred income tax assets 77,072,760.31 81,490,070.42
Other non-current assets 318,418,167.22 307,820,607.89
Total non-current assets 6,403,179,500.88 6,565,705,298.92
Total assets 11,852,738,532.12 10,783,568,201.73
Current liabilities:
Short-term borrowings 230,000,000.00 260,000,000.00
Financial liability measured by fair value and with variation
reckoned into current gains/losses
Derivative financial liability
Notes payable 206,830,000.00 178,800,000.00
Accounts payable 477,253,897.53 486,151,165.89
Accounts received in advance 2,626,360.53 1,754,804.23
Wage payable 85,189,535.54 139,244,128.74
Taxes payable 48,268,878.08 29,078,723.63
Interest payable 131,500.00 131,500.00
Dividend payable
46
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Other accounts payable 649,595,928.46 160,538,572.20
Divided into liability held for sale
Non-current liabilities due within 1 year
Other current liabilities
Total current liabilities 1,699,896,100.14 1,255,698,894.69
Non-current liabilities:
Long-term loans
Bonds payable
Including: preferred stock
Perpetual capital securities
Long-term account payable
Long-term wages payable 69,000,000.00 69,000,000.00
Special accounts payable 73,902,893.66
Projected liabilities
Deferred income 222,751,697.68 210,389,955.02
Deferred income tax liabilities 43,304,167.50 21,458,535.00
Other non-current liabilities
Total non-current liabilities 408,958,758.84 300,848,490.02
Total liabilities 2,108,854,858.98 1,556,547,384.71
Owners’ equity:
Share capita 1,020,200,992.00 1,020,200,992.00
Other equity instrument
Including: preferred stock
Perpetual capital securities
Capital public reserve 3,666,689,037.39 3,666,689,037.39
Less: Inventory shares
Other comprehensive income 245,390,282.50 121,598,365.00
Reasonable reserve
Surplus reserve 510,100,496.00 510,100,496.00
Retained profit 4,301,502,865.25 3,908,431,926.63
Total owner’s equity 9,743,883,673.14 9,227,020,817.02
Total liabilities and owner’s equity 11,852,738,532.12 10,783,568,201.73
47
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
3. Consolidated Profit Statement
In RMB
Item Current Period Last Period
I. Total operating income 3,390,437,923.64 3,529,819,855.63
Including: Operating income 3,390,437,923.64 3,529,819,855.63
Interest income
Insurance gained
Commission charge and commission income
II. Total operating cost 3,034,775,367.69 3,131,829,145.38
Including: Operating cost 2,643,639,033.68 2,668,547,637.45
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
Operating tax and extras 16,163,525.65 21,943,274.39
Sales expenses 85,114,812.69 102,594,327.49
Administration expenses 293,774,077.81 344,239,876.45
Financial expenses -4,167,369.67 -15,309,956.65
Losses of devaluation of asset 251,287.53 9,813,986.25
Add: Changing income of fair value(Loss is listed with ―-‖)
Investment income (Loss is listed with ―-‖) 782,338,464.77 537,050,581.98
Including: Investment income on affiliated company and joint venture 606,080,898.87 516,186,307.98
Exchange income (Loss is listed with ―-‖)
III. Operating profit (Loss is listed with ―-‖) 1,138,001,020.72 935,041,292.23
Add: Non-operating income 77,198,017.61 8,951,234.72
Including: Disposal gains of non-current asset 16,067,700.28 490,048.81
Less: Non-operating expense 56,924,343.71 7,935,026.94
Including: Disposal loss of non-current asset 814,848.79 300,543.56
IV. Total Profit (Loss is listed with ―-‖) 1,158,274,694.62 936,057,500.01
Less: Income tax expense 88,185,218.04 65,737,472.85
V. Net profit (Net loss is listed with ―-‖) 1,070,089,476.58 870,320,027.16
48
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Net profit attributable to owner’s of parent company 1,045,987,200.83 840,585,795.24
Minority shareholders’ gains and losses 24,102,275.75 29,734,231.92
VI. Net after-tax of other comprehensive income 123,791,917.50 -43,910,830.00
Net after-tax of other comprehensive income attributable to owners of
123,791,917.50 -43,910,830.00
parent company
(I) Other comprehensive income items which will not be reclassified
subsequently to profit of loss
1. Changes as a result of re-measurement of net defined benefit
plan liability or asset
2. Share of the other comprehensive income of the investee
accounted for using equity method which will not be reclassified
subsequently to profit and loss
(II) Other comprehensive income items which will be reclassified
123,791,917.50 -43,910,830.00
subsequently to profit or loss
1. Share of the other comprehensive income of the investee
accounted for using equity method which will be reclassified subsequently to
profit or loss
2. Gains or losses arising from changes in fair value of
123,791,917.50 -43,910,830.00
available-for-sale financial assets
3. Gains or losses arising from reclassification of
held-to-maturity investment as available-for-sale financial assets
4. The effect hedging portion of gains or losses arising from cash
flow hedging instruments
5. Translation differences arising on translation of foreign
currency financial statements
6. Other
Net after-tax of other comprehensive income attributable to minority
shareholders
VII. Total comprehensive income 1,193,881,394.08 826,409,197.16
Total comprehensive income attributable to owners of parent Company 1,169,779,118.33 796,674,965.24
Total comprehensive income attributable to minority shareholders 24,102,275.75 29,734,231.92
VIII. Earnings per share:
(i) Basic earnings per share 1.03 0.82
(ii) Diluted earnings per share 1.03 0.82
Enterprise combine under the same control in the Period, the combined party realized net profit of 0 Yuan before combination, and
realized 0 Yuan at last period for combined party
Legal Representative: Chen Xuejun
Person in charge of accounting works: Ou Jianbin
Person in charge of accounting institute: Ou Jianbin
49
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
4. Profit Statement of Parent Company
In RMB
Item Current Period Last Period
I. Operating income 880,233,176.47 1,326,473,373.98
Less: Operating cost 693,408,205.57 1,054,382,015.54
Operating tax and extras 49,660.74 6,946,840.87
Sales expenses 36,690,749.38 56,692,411.84
Administration expenses 101,127,787.76 152,005,287.14
Financial expenses -4,679,551.52 -13,052,126.61
Losses of devaluation of asset 906,328.70 -3,209,342.25
Add: Changing income of fair value(Loss is listed with ―-‖)
Investment income (Loss is listed with ―-‖) 764,430,263.87 709,253,595.49
Including: Investment income on affiliated company and joint
572,172,697.97 492,416,778.66
venture
II. Operating profit (Loss is listed with ―-‖) 817,160,259.71 781,961,882.94
Add: Non-operating income 74,904,050.65 6,900,191.74
Including: Disposal gains of non-current asset 15,891,236.49 165,621.42
Less: Non-operating expense 55,111,600.42 6,153,060.18
Including: Disposal loss of non-current asset 690,888.31 172,625.11
III. Total Profit (Loss is listed with ―-‖) 836,952,709.94 782,709,014.50
Less: Income tax expense 35,801,374.52 16,478,133.12
IV. Net profit (Net loss is listed with ―-‖) 801,151,335.42 766,230,881.38
V. Net after-tax of other comprehensive income 123,791,917.50 -43,910,830.00
(I) Other comprehensive income items which will not be reclassified
subsequently to profit of loss
1. Changes as a result of re-measurement of net defined benefit
plan liability or asset
2. Share of the other comprehensive income of the investee
accounted for using equity method which will not be reclassified
subsequently to profit and loss
(II) Other comprehensive income items which will be reclassified
123,791,917.50 -43,910,830.00
subsequently to profit or loss
1. Share of the other comprehensive income of the investee
accounted for using equity method which will be reclassified subsequently to
profit or loss
2. Gains or losses arising from changes in fair value of 123,791,917.50 -43,910,830.00
50
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
available-for-sale financial assets
3. Gains or losses arising from reclassification of
held-to-maturity investment as available-for-sale financial assets
4. The effect hedging portion of gains or losses arising from cash
flow hedging instruments
5. Translation differences arising on translation of foreign
currency financial statements
6. Other
VI. Total comprehensive income 924,943,252.92 722,320,051.38
VII. Earnings per share:
(i) Basic earnings per share 0.79 0.75
(ii) Diluted earnings per share 0.79 0.75
5. Consolidated Cash Flow Statement
In RMB
Item Current Period Last Period
I. Cash flows arising from operating activities:
Cash received from selling commodities and providing labor services 3,678,069,702.35 3,480,224,120.49
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
Net increase of amount from disposal financial assets that measured by
fair value and with variation reckoned into current gains/losses
Cash received from interest, commission charge and commission
Net increase of capital borrowed
Net increase of returned business capital
Write-back of tax received 22,523,565.62 19,404,693.97
Other cash received concerning operating activities 26,798,281.02 81,374,338.65
Subtotal of cash inflow arising from operating activities 3,727,391,548.99 3,581,003,153.11
Cash paid for purchasing commodities and receiving labor service 2,456,249,486.21 2,283,048,356.05
Net increase of customer loans and advances
Net increase of deposits in central bank and interbank
51
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Cash paid for original insurance contract compensation
Cash paid for interest, commission charge and commission
Cash paid for bonus of guarantee slip
Cash paid to/for staff and workers 461,724,147.75 429,559,435.23
Taxes paid 249,318,804.79 285,823,569.81
Other cash paid concerning operating activities 121,812,959.39 188,959,682.61
Subtotal of cash outflow arising from operating activities 3,289,105,398.14 3,187,391,043.70
Net cash flows arising from operating activities 438,286,150.85 393,612,109.41
II. Cash flows arising from investing activities:
Cash received from recovering investment 1,909,218,450.02 836,000,000.00
Cash received from investment income 847,778,190.90 48,736,536.92
Net cash received from disposal of fixed, intangible and other long-term
3,149,480.44 680,763.68
assets
Net cash received from disposal of subsidiaries and other units
Other cash received concerning investing activities 145,230,000.00
Subtotal of cash inflow from investing activities 2,905,376,121.36 885,417,300.60
Cash paid for purchasing fixed, intangible and other long-term assets 267,700,189.90 407,597,476.58
Cash paid for investment 3,149,457,761.02 850,000,000.00
Net increase of mortgaged loans
Net cash received from subsidiaries and other units obtained
Other cash paid concerning investing activities 37,388,366.46 15,348,589.18
Subtotal of cash outflow from investing activities 3,454,546,317.38 1,272,946,065.76
Net cash flows arising from investing activities -549,170,196.02 -387,528,765.16
III. Cash flows arising from financing activities
Cash received from absorbing investment 8,419,964.00 3,047,322.07
Including: Cash received from absorbing minority shareholders’
8,419,964.00 3,047,322.07
investment by subsidiaries
Cash received from loans 260,000,000.00 378,500,000.00
Cash received from issuing bonds
Other cash received concerning financing activities
Subtotal of cash inflow from financing activities 268,419,964.00 381,547,322.07
Cash paid for settling debts 365,000,000.00 469,000,000.00
Cash paid for dividend and profit distributing or interest paying 418,849,926.26 29,655,555.69
Including: Dividend and profit of minority shareholder paid by
4,000,000.00 18,898,868.89
subsidiaries
52
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Other cash paid concerning financing activities
Subtotal of cash outflow from financing activities 783,849,926.26 498,655,555.69
Net cash flows arising from financing activities -515,429,962.26 -117,108,233.62
IV. Influence on cash and cash equivalents due to fluctuation in exchange rate
V. Net increase of cash and cash equivalents -626,314,007.43 -111,024,889.37
Add: Balance of cash and cash equivalents at the period -begin 2,028,227,816.93 2,288,739,620.44
VI. Balance of cash and cash equivalents at the period -end 1,401,913,809.50 2,177,714,731.07
6. Cash Flow Statement of Parent Company
In RMB
Item Current Period Last Period
I. Cash flows arising from operating activities:
Cash received from selling commodities and providing labor services 993,616,855.94 1,294,576,520.94
Write-back of tax received
Other cash received concerning operating activities 431,928,273.04 69,837,433.15
Subtotal of cash inflow arising from operating activities 1,425,545,128.98 1,364,413,954.09
Cash paid for purchasing commodities and receiving labor service 752,532,601.43 865,335,890.75
Cash paid to/for staff and workers 195,324,054.92 176,842,863.16
Taxes paid 40,340,377.96 103,749,319.05
Other cash paid concerning operating activities 20,494,047.59 70,331,402.10
Subtotal of cash outflow arising from operating activities 1,008,691,081.90 1,216,259,475.06
Net cash flows arising from operating activities 416,854,047.08 148,154,479.03
II. Cash flows arising from investing activities:
Cash received from recovering investment 2,026,218,450.02 830,000,000.00
Cash received from investment income 834,174,339.90 244,994,820.61
Net cash received from disposal of fixed, intangible and other long-term
2,751,944.43 321,910.72
assets
Net cash received from disposal of subsidiaries and other units 26,901,043.14
Other cash received concerning investing activities 145,230,000.00
Subtotal of cash inflow from investing activities 3,008,374,734.35 1,102,217,774.47
Cash paid for purchasing fixed, intangible and other long-term assets 161,093,724.45 317,012,789.86
Cash paid for investment 3,172,226,391.02 853,169,578.60
Net cash received from subsidiaries and other units
Other cash paid concerning investing activities 37,388,366.46 5,159,046.38
53
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Subtotal of cash outflow from investing activities 3,370,708,481.93 1,175,341,414.84
Net cash flows arising from investing activities -362,333,747.58 -73,123,640.37
III. Cash flows arising from financing activities
Cash received from absorbing investment
Cash received from loans 230,000,000.00 200,000,000.00
Cash received from issuing bonds
Other cash received concerning financing activities
Subtotal of cash inflow from financing activities 230,000,000.00 200,000,000.00
Cash paid for settling debts 260,000,000.00 300,000,000.00
Cash paid for dividend and profit distributing or interest paying 411,841,389.29 6,674,731.64
Other cash paid concerning financing activities
Subtotal of cash outflow from financing activities 671,841,389.29 306,674,731.64
Net cash flows arising from financing activities -441,841,389.29 -106,674,731.64
IV. Influence on cash and cash equivalents due to fluctuation in exchange rate
V. Net increase of cash and cash equivalents -387,321,089.79 -31,643,892.98
Add: Balance of cash and cash equivalents at the period -begin 1,159,462,935.71 1,422,429,501.73
VI. Balance of cash and cash equivalents at the period -end 772,141,845.92 1,390,785,608.75
54
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
7. Statement of Changes in Owners’ Equity (Consolidated)
This Period
In RMB
This Period
Owners’ equity attributable to parent company
Other
equity
instrument
Pe Less
Prov
rp :
Item ision Minority Total owners’
etu Inve Other
Reasonable of interests equity
Share capital Pre al Capital reserve ntor comprehensive Surplus reserve Retained profit
reserve gene
ferr ca y income
Oth ral
ed pit shar
er risk
sto al es
ck se
cu
riti
es
I. Balance at the end of
1,020,200,992.00 3,635,684,413.04 121,598,365.00 867,353.00 510,100,496.00 5,570,583,069.92 404,075,770.46 11,263,110,459.42
the last year
Add: Changes of
accounting policy
Error
correction of the last
period
Enterprise
combine under the
same control
Other
55
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
II. Balance at the
1,020,200,992.00 3,635,684,413.04 121,598,365.00 867,353.00 510,100,496.00 5,570,583,069.92 404,075,770.46 11,263,110,459.42
beginning of this year
III. Increase/ Decrease in
this year (Decrease is 123,791,917.50 -164,020.45 637,906,804.03 28,516,284.94 790,050,986.02
listed with ―-‖)
(i) Total comprehensive
123,791,917.50 1,045,987,200.83 24,102,275.75 1,193,881,394.08
income
(ii) Owners’ devoted
8,419,964.00 8,419,964.00
and decreased capital
1.Common shares
8,419,964.00 8,419,964.00
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 -408,080,396.80 -4,000,000.00 -412,080,396.80
1. Withdrawal of surplus
reserves
2. Withdrawal of general
risk provisions
3. Distribution for
-408,080,396.80 -4,000,000.00 -412,080,396.80
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)
56
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
3. Remedying loss with
surplus reserve
4. Other
(V) Reasonable reserve -164,020.45 -5,954.81 -169,975.26
1. Withdrawal in the
8,970,134.08 1,189,643.26 10,159,777.34
report period
2. Usage in the report
9,134,154.53 1,195,598.07 10,329,752.60
period
(VI)Others
IV. Balance at the end of
1,020,200,992.00 3,635,684,413.04 245,390,282.50 703,332.55 510,100,496.00 6,208,489,873.95 432,592,055.40 12,053,161,445.44
the report period
57
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Last Period
In RMB
Last Period
Owners’ equity attributable to the parent Company
Other
equity
instrument
Pe Less
Prov
rpe :
Item ision Minority Total owners’
tua Inve Other
Reasonable of interests equity
Share capital Pre l Capital reserve ntor comprehensive Surplus reserve Retained profit
reserve gene
ferr ca y income
Oth ral
ed pit shar
er risk
sto al es
ck sec
uri
tie
s
I. Balance at the end of
1,020,200,992.00 3,630,042,689.57 98,999,415.00 1,255,141.19 433,608,687.76 4,416,658,298.29 396,888,296.67 9,997,653,520.48
the last year
Add: Changes of
accounting policy
Error
correction of the last
period
Enterprise
combine under the same
control
Other
II. Balance at the
1,020,200,992.00 3,630,042,689.57 98,999,415.00 1,255,141.19 433,608,687.76 4,416,658,298.29 396,888,296.67 9,997,653,520.48
beginning of this year
III. Increase/ Decrease
5,641,723.47 22,598,950.00 -387,788.19 76,491,808.24 1,153,924,771.63 7,187,473.79 1,265,456,938.94
in this year (Decrease is
58
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
listed with ―-‖)
(i) Total
22,598,950.00 1,539,439,686.81 49,637,635.52 1,611,676,272.33
comprehensive income
(ii) Owners’ devoted
5,641,723.47 -9,090,457.00 -3,448,733.53
and decreased capital
1.Common shares
3,047,322.07 3,047,322.07
invested by shareholders
2. Capital invested by
holders of other equity
instruments
3. Amount reckoned
into owners equity with
share-based payment
4 Other 5,641,723.47 -12,137,779.07 -6,496,055.60
(III) Profit distribution 76,491,808.24 -385,514,915.18 -33,440,573.30 -342,463,680.24
1. Withdrawal of surplus
76,491,808.24 -76,491,808.24
reserves
2. Withdrawal of
general risk provisions
3. Distribution for
owners (or -306,060,297.60 -33,440,573.30 -339,500,870.90
shareholders)
4. Other -2,962,809.34 -2,962,809.34
(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. Other
59
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
(V) Reasonable reserve -387,788.19 80,868.57 -306,919.62
1. Withdrawal in the
17,248,551.90 2,225,365.33 19,473,917.23
report period
2. Usage in the report
17,636,340.09 2,144,496.76 19,780,836.85
period
(VI)Others
IV. Balance at the end of
1,020,200,992.00 3,635,684,413.04 121,598,365.00 867,353.00 510,100,496.00 5,570,583,069.92 404,075,770.46 11,263,110,459.42
the report period
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
8. Statement of Changes in Owners’ Equity (Parent Company)
This Period
In RMB
This Period
Other
equity
instrument
Pe Les
rpe s:
Item tua Inve Other
Reasonable Total owners’
Share capital Pref l Capital reserve ntor comprehensive Surplus reserve Retained profit
reserve equity
erre ca y income
Oth
d pit shar
er
stoc al es
k sec
uri
tie
s
I. Balance at the end of the last year 1,020,200,992.00 3,666,689,037.39 121,598,365.00 510,100,496.00 3,908,431,926.63 9,227,020,817.02
Add: Changes of accounting policy
Error correction of the last period
Other
II. Balance at the beginning of this year 1,020,200,992.00 3,666,689,037.39 121,598,365.00 510,100,496.00 3,908,431,926.63 9,227,020,817.02
III. Increase/ Decrease in this year (Decrease is
123,791,917.50 393,070,938.62 516,862,856.12
listed with ―-‖)
(i) Total comprehensive income 123,791,917.50 801,151,335.42 924,943,252.92
(ii) Owners’ devoted and decreased capital
1.Common shares invested by shareholders
61
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
2. Capital invested by holders of other equity
instruments
3. Amount reckoned into owners equity with
share-based payment
4. Other
(III) Profit distribution -408,080,396.80 -408,080,396.80
1. Withdrawal of surplus reserves
2. Distribution for owners (or shareholders) -408,080,396.80 -408,080,396.80
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. Other
(V) Reasonable reserve
1. Withdrawal in the report period 2,083,668.99 2,083,668.99
2. Usage in the report period 2,083,668.99 2,083,668.99
(VI)Others
IV. Balance at the end of the report period 1,020,200,992.00 3,666,689,037.39 245,390,282.50 510,100,496.00 4,301,502,865.25 9,743,883,673.14
62
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Last period
In RMB
Last period
Other
equity
instrument
Pe Les
rpe s:
Item tua Inve Other
Reasonable Total owners’
Share capital Pref l Capital reserve ntor comprehensive Surplus reserve Retained profit
reserve equity
erre ca y income
Oth
d pit shar
er
stoc al es
k sec
uri
tie
s
I. Balance at the end of the last year 1,020,200,992.00 3,661,248,059.50 98,999,415.00 433,608,687.76 3,013,207,193.32 8,227,264,347.58
Add: Changes of accounting policy
Error correction of the last period
Other
II. Balance at the beginning of this year 1,020,200,992.00 3,661,248,059.50 98,999,415.00 433,608,687.76 3,013,207,193.32 8,227,264,347.58
III. Increase/ Decrease in this year (Decrease
5,440,977.89 22,598,950.00 76,491,808.24 895,224,733.31 999,756,469.44
is listed with ―-‖)
(i) Total comprehensive income 22,598,950.00 1,277,776,839.15 1,300,375,789.15
(ii) Owners’ devoted and decreased capital 5,440,977.89 5,440,977.89
1.Common shares invested by shareholders
2. Capital invested by holders of other equity
instruments
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
3. Amount reckoned into owners equity with
share-based payment
4. Other 5,440,977.89
(III) Profit distribution 76,491,808.24 -382,552,105.84 -306,060,297.60
1. Withdrawal of surplus reserves 76,491,808.24 -76,491,808.24
2. Distribution for owners (or shareholders) -306,060,297.60 -306,060,297.60
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. Other
(V) Reasonable reserve
1. Withdrawal in the report period 4,362,065.61 4,362,065.61
2. Usage in the report period 4,362,065.61 4,362,065.61
(VI)Others
IV. Balance at the end of the report period 1,020,200,992.00 3,666,689,037.39 121,598,365.00 510,100,496.00 3,908,431,926.63 9,227,020,817.02
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I I I . Basic information of the Company
1. Historical origin of the Company
By the approval of STGS (1992) No. 130 issued by Jiangsu Economic Restructuring Committee, Weifu
High-Technology Group Co., Ltd. (hereinafter referred to ―the Company‖ or ―Company‖) was established as a
company of limited liability with funds raised from targeted sources, and registered at Wuxi Administration for
Industry & Commerce in October 1992. The original share capital of the Company totaled RMB 115.4355 million,
including state-owned share capital amounting to RMB 92.4355 million, public corporate share capital amounting
to RMB 8 million and inner employee share capital amounting to RMB 15 million.
Between year of 1994 and 1995, the Company was restructured and became a holding subsidiary of Wuxi Weifu
Group Co., Ltd (hereinafter referred to as ―Weifu Group‖).
By the approval of Jiangsu ERC and Shenzhen Securities Administration Office in August 1995, the Company
issued 68 million special ordinary shares (B-share) with value of RMB 1.00 for each, and the total value of those
shares amounted to RMB 68 million. After the issuance, the Company’s total share capital increased to RMB
183.4355 million.
By the approval of CSRC in June 1998, the Company issued 120 million RMB ordinary shares (A-share) at
Shenzhen Stock Exchange through on-line pricing and issuing. After the issuance, the total share capital of the
Company amounted to RMB 303.4355 million.
In the middle of 1999, deliberated and approved by the Board and Shareholders’ General Meeting, the Company
implemented the plan of granting 3 bonus shares for each 10 shares. After that, the total share capital of the
Company amounted to RMB 394.46615 million, of which state-owned shares amounted to RMB 120.16615
million, public corporate shares RMB 10.4 million, foreign-funded shares (B-share) RMB 88.40 million, RMB
ordinary shares (A-share) RMB 156 million and inner employee shares RMB 19.5 million.
In the year 2000, by the approval of the CSRC and based upon the total share capital of 303.4355 million shares
after the issuance of A-share in June 1998, the Company allotted 3 shares for each 10 shares, with a price of RMB
10 for each allotted share. Actually 41.9 million shares was allotted, and the total share capital after the allotment
increased to RMB 436.36615 million, of which state-owned corporate shares amounted to RMB 121.56615
million, public corporate shares RMB 10.4 million, foreign-funded shares (B-share) RMB 88.4 million and RMB
ordinary shares (A-share) RMB 216 million.
In April 2005, Board of Directors of the Company has examined and approved 2004 Profit Pre-distribution Plan,
and examined and approved by 2004 Shareholders’ General Meeting , the Company distributed 3 shares for each
10 shares to the whole shareholders totaling to 130,909,845 shares in 2005.
According to the Share Merger Reform Scheme of the Company that passed by related shareholders’ meeting of
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Share Merger Reform and SGZF [2006] No.61 Reply on Questions about State-owned Equity Management in
Share Merger Reform of Weifu High-Technology Co., Ltd. issued by State-owned Assets Supervision &
Administration Commission of Jiangsu Province, the Weifu Group etc. 8 non-circulating shareholders arranged
pricing with granting 1.7 shares for each 10 shares to circulating A-share shareholders (totally granted 47,736,000
shares), so as to realize the originally non-circulating shares can be traded on market when satisfied certain
conditions, the scheme has been implemented on April 5, 2006.
On 27 May 2009, Weifu Group satisfied the consideration arrangement by dispatching 0.5 shares for each 10
shares based on the number of circulating A shares as prior to Share Merger Reform, according to the aforesaid
Share Merger Reform, with an aggregate of 14,039,979 shares dispatched. Subsequent to implementation of
dispatch of consideration shares, Weifu Group then held 100,021,999 shares of the Company, representing
17.63% of the total share capital of the Company.
Pursuant to the document (XGZQ(2009)No.46) about ―Approval for Merger of Wuxi Weifu Group Co., Ltd. by
Wuxi Industry Development Group Co., Ltd.‖ issued by the State-owned Assets Supervision and Administration
Commission of Wuxi City Government, Wuxi Industry Development Group Co., Ltd. (hereinafter referred to as
Wuxi Industry Group) acquired Weifu Group. After the merger, Weifu Group was then revoked, and its assets and
credits & debts were transferred to be under the name of Wuxi Industry Group. Accordingly, Wuxi Industry
Group became the first largest shareholder of the Company since then.
In accordance with the resolutions of shareholders' meeting and provisions of amended constitution, and approved
by [2012] No. 109 document of China Securities Regulatory Commission, in Feb., the Company issued RMB
ordinary shares (A-share) of 112,858,000 shares to Wuxi Industry Groups and overseas strategic investor,
ROBERT BOSCH GMBH (hereinafter referred to as Germany BOSCH), face value was RMB 1 Yuan per share,
added registered capital of RMB112,858,000 Yuan , and the registered capital after change was RMB
680,133,995 Yuan. Wuxi Industry Group is the first majority shareholder of the Company, and Germany BOSCH
is the second majority shareholder of the Company.
In March 2013, the profit distribution re-plan for year of 2012 was deliberated and approved by the Board, and
also passed in Annual General Meeting 2012 of the Company in May 2013. On basis of total share capital
680,133,995 shares, distribute 5-share for every 10 shares held by whole shareholders, 340,066,997 shares in total
are distributed. Total share capital of the Company amounting RMB 1,020,200,992 up to 31 December 2013.
2. Registered place, organization structure and head office of the Company
Registered place and head office of the Company: Wuxi, Jiangsu
Registered number: 320200000014926
The Company sets up Shareholders’ General Meeting, the Board of Directors and the Supervisory Committee.
The Company sets up Administration Department, Engineering Technology Research Institution, Human
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Resources Department, Office of the Board, Risk Management Department, Information Systems Department,
Market & Strategy Plan Department, Party-masses Security Department, Finance Control Department, Project
Purchase Department, Manufacturing Quality Department, MS Business Segment, AC Business Segment, and
subsidiaries such as Wuxi Weifu Leader Catalytic Converter Co., Ltd. (referred to as Weifu Leader), Nanjing
Weifu Jinning Co., Ltd. (referred to as Weifu Jinning), and Wuxi Weifu Automotive Diesel System Co., Ltd.
(referred to as Weifu Diesel System).
3. Business nature and major operation activities of the Company
Operation scope of parent company: manufacture of engine fuel oil system products, fuel oil system testers and
equipments; sales of energy-oriented machinery, hardware & electric materials, chemical products and raw
materials (other than chemical dangerous). Auto spare parts, autos (other than autos under-9 seats); repair of
engine, technological development and consultancy service of machinery industry; import and export business in
respect of diversified commodities and technologies (other than those commodities and technologies limited or
forbidden by the State for import and export) by self-operation and works as agent for such business
Major subsidiaries respectively activate in production and sales of engine accessories, auto spare parts, mufflers,
and purifiers.
4. Relevant party offering approval reporting of financial statements and date thereof
Financial statements of the Company were approved by the Board of Directors for reporting dated 21
August 2015.
5. Scope of consolidate financial statement
Registered capital Statement
Shareholding Proportion of
Subsidiary (in 10 thousand Business scope consolidate
ratio (%) votes (%)
Yuan) (Y/N)
Nanjing Weifu Jinning Co., Ltd. (referred to as Internal-combustion
80.00 80.00 34,628.70 Y
―Weifu Jinning‖) engine and accessories
Wuxi Weifu Leader Catalytic Converter Co., Ltd. Purifier and muffler
94.81 94.81 50,259.63 Y
(referred to as ―Weifu Leader‖)
Weifu Mashan Pump Glib Co., Ltd. (referred to as Internal-combustion
100.00 100.00 4,500 Y
―Weifu Mashan‖) engine and accessories
Wuxi Weifu Chang’an Co., Ltd. (referred to as ―Weifu Internal-combustion
100.00 100.00 6,000 Y
Chang’an‖) engine and accessories
Wuxi Weifu Automotive Diesel System Co., Ltd. Internal-combustion
100.00 100.00 30,000 Y
(referred to as ―Weifu Diesel System‖) engine and accessories
Wuxi Weifu International Trade Co. Ltd. (referred to International trade
100.00 100.00 3,000 Y
as ―Weifu International Trade‖)
Wuxi Weifu ITM Supercharging Technique Co., Ltd. Internal-combustion
100.00 100.00 16,000 Y
(referred to as ―Weifu ITM ‖) engine and accessories
Wuxi Weifu Schmidt Power System Spare Parts Co., 66.00 66.00 4,800 Internal-combustion Y
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Ltd. (referred to as ―Weifu Schmidt‖) engine and accessories
Ningbo Weifu Tianli Supercharging Technique Co., Internal-combustion
51.00 51.00 10,469 Y
Ltd. (referred to as ―Weifu Tianli‖) engine and accessories
Anhui Weifu Tianshi Machinery Co., Ltd. (referred to Internal-combustion
52.00 52.00 1,000 Y
as ―Weifu Tianshi‖) engine and accessories
Kunming Xitong Machinery Co., Ltd. (referred to as Internal-combustion
70.00 70.00 400 Y
―Kunming Xitong ‖) engine and accessories
Wuxi Weifu-Autocam Fine Machinery Co. Ltd. Auto parts
51.00 51.00 USD1,510 Y
(referred to as ―Weifu Autocam‖)
IV. Basis of preparation of financial statements
1. Preparation base
The financial statement were stated in compliance with Accounting Standard for Business Enterprises –Basic
Norms issued by Ministry of Finance, the specific 41 accounting rules revised and issued dated 15 February 2006
and later, the Application Instruments of Accounting Standards and interpretation on Accounting standards and
other relevant regulations (together as ―Accounting Standards for Business Enterprise‖), as well as the
Compilation Rules for Information Disclosure by Companies Offering Securities to the Public No.15 – General
Provision of Financial Report (Amended in 2014) issued by CSRC in respect of the actual transactions and
proceedings, on a basis of ongoing operation.
In line with relevant regulations of Accounting Standards of Business Enterprise, accounting of the Company in
on accrual basis. Except for certain financial instruments, the financial statement measured on historical cost.
Assets have impairment been found, corresponding depreciation reserves shall accrual according to relevant rules.
2. Going concern
The Company comprehensively assessed the available information, there are no obvious factors that impact
sustainable operation ability of the Company within 12 months since end of the reporting period.
V. Major Accounting Policies and Estimation
Specific accounting policies and estimation attention:
The Company and its subsidiaries are mainly engaged in the manufacture and sales of engine fuel oil system
products, Auto spare parts, mufflers and purifiers etc., in line with the real operational characteristics and relevant
accounting standards, many specific accounting policies and estimation have been formulated for the transactions
and events with revenue recognized concerned. As for the explanation on major accounting judgment and
estimation, found more in 28 ―Other accounting policies and accounting estimates‖
1. Statement on observation of Accounting Standard for Business Enterprises
Financial statements prepared by the Company were in accordance with requirements of Accounting Standard for
Business Enterprises, which truly and completely reflected the financial information of the Company, such as
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financial position, operation achievements and cash flow.
2. Accounting period
Accounting period of the Company consist of annual and mid-term, mid-term refers to the reporting period shorter
than one annual accounting year. The company adopts Gregorian calendar as accounting period, namely form each
1 January to 31 December.
3. Business cycles
Normal business cycle is the period from purchasing assets used for process by the Company to the cash and cash
equivalent achieved. The Company’s normal business cycle was one-year (12 months)
4. Recording currency
The Company’s reporting currency is the RMB Yuan.
5. Accounting Treatment Method for Business Combinations
Business combination is the transaction or events that two or two above independent enterprises combined as a
reporting entity. Business combination including enterprise combined under the same control and business
combined under different control.
(1) The business combination under the same control
Enterprise combination under the same control is the enterprise who take part in the combination are have the
same ultimate controller or under the same controller, the control is not temporary. The assets and liability
acquired by combining party are measured by book value of the combined party on combination date. Balance of
net asset’s book value acquired by combining party and combine consideration paid (or total book value of the
shares issued), shall adjusted capital reserve (share premium); if the capital reserves (share premium) is not
enough for deducted, adjusted for retained earnings. Vary directly expenses occurred for enterprise combination,
the combining party shall reckoned into current gains/losses while occurring. Combination day is the date when
combining party obtained controlling rights from the combined party.
(2) Combine not under the same control
A business combination not involving entities under common control is a business combination in which all of the
combining entities are not ultimately controlled by the same party or parties both before and after the combination.
As a purchaser, fair value of the assets (equity of acquire held before the date of purchasing included) for
purchasing controlling right from the acquire, the liability occurred or undertake on purchasing date less the fair
value of identifiable net assets of the acquire obtained in combination, recognized as goodwill if the results is
positive; if the number is negative, the acquirer shall firstly review the measurement of the fair value of the
identifiable assets obtained, liabilities incurred and contingent liabilities incurred, as well as the combination costs.
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after that, if the combination costs are still lower than the fair value of the identifiable net assets obtained, the
acquirer shall recognize the difference as the profit or loss in the current period. Other directly expenses cost for
combination shall be reckoned into current gains/losses. Difference of the fair value of assets paid and its book
values, reckoned into current gains/losses. On purchasing date, the identifiable assets, liability or contingency of
the acquire obtained by the Company recognized by fair value, that required identification conditions; Acquisition
date refers to the date on which the acquirer effectively obtains control of the acquire.
6. Preparation method for consolidated financial statement
(1) Recognition principle of consolidated scope
On basis of the financial statement of the parent company and owned subsidiaries, prepared consolidated
statement in line with relevant information. The scope of consolidation of consolidated financial statements is
ascertained on the basis of effective control. Once certain elements involved in the above definition of control
change due to changes of relevant facts or circumstances, the Company will make separate assessment.
(2) Basis of control
Control is the right to govern an investee so as to obtain variable return through participating in the investee’s
relevant activities and the ability to affect such return by use of the aforesaid right over the investee. Relevant
activities refers to the activities have major influence on return of the investee’s.
(3) Consolidation process
Subsidiaries are consolidated from the date on which the company obtains their actual control, and are
deconsolidated from the date that such control ceases. All significant inter-group balances, investment,
transactions and unrealized profits are eliminated in the consolidated financial statements. For subsidiaries being
disposed, the operating results and cash flows prior to the date of disposal are included in the consolidated income
statement and consolidated cash flow statement; for subsidiaries disposed during the period, the opening balances
of the consolidated balance sheet would not be restated. For subsidiaries acquired from a business combination
not under common control, their operating results and cash flows subsequent to the acquisition date are included
in the consolidated income statement and consolidated cash flow statement, and the opening balances and
comparative figures of the consolidated balance sheet would not be restated. For subsidiaries acquired from a
business combination under common control, their operating results and cash flows from the date of
commencement of the accounting period in which the combination occurred to the date of combination are
included in the consolidated income statement and consolidated cash flow statement, and the comparative figures
of the consolidated balance sheet would be restated.
In preparing the consolidated financial statements, where the accounting policies or the accounting periods are
inconsistent between the company and subsidiaries, the financial statements of subsidiaries are adjusted in
accordance with the accounting policies and accounting period of the company.
Concerning the subsidiary obtained under combination with different control, adjusted several financial statement
of the subsidiary based on the fair value of recognizable net assets on purchased day while financial statement
consolidation; concerning the subsidiary obtained under combination with same control, considered current status
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of being control by ultimate controller for consolidation while financial statement consolidation.
The unrealized gains and losses from the internal transactions occurred in the assets the Company sold to the
subsidiaries fully offset "the net profit attributable to the owners of the parent company". The unrealized gains and
losses from the internal transactions occurred in the assets the subsidiaries sold to the Company are distributed and
offset between "the net profit attributable to the owners of the parent company" and "minority interest" according
to the distribution ratio of the Company to the subsidiary. The unrealized gains and losses from the internal
transactions occurred in the assets sold among the subsidiaries are distributed and offset between "the net profit
attributable to the owners of the parent company" and "minority interest" according to the distribution ratio of the
Company to the subsidiary of the seller.
The share of the subsidiary’s ownership interest not attributable to the Company is listed as ―minority interest‖
item under the ownership interest in the consolidated balance sheet. The share of the subsidiary’s current profit or
loss attributable to the minority interests is listed as "minority interest" item under the net profit item in the
consolidated income statement. The share of the subsidiary’s current consolidated income attributable to the
minority interests is listed as the ―total consolidated income attributable to the minority shareholders‖ item under
the total consolidated income item in the consolidated income statement. If there are minority shareholders, add
the "minority interests" item in the consolidated statement of change in equity to reflect the changes of the
minority interests. If the losses of the current period shared by a subsidiary’s minority shareholders exceed the
share that the minority shareholders hold in the subsidiary ownership interest in the beginning of the period, the
balance still charges against the minority interests.
When the control over a subsidiary is ceased due to disposal of a portion of an interest in a subsidiary, the fair
value of the remaining equity interest is re-measured on the date when the control ceased. The difference between
the sum of the consideration received from disposal of equity interest and the fair value of the remaining equity
interest, less the net assets attributable to the company since the acquisition date, is recognized as the investment
income from the loss of control. Other comprehensive income relating to original equity investment in
subsidiaries shall be treated on the same basis as if the relevant assets or liabilities were disposed of by the acquire
directly when the control is lost, namely be transferred to current investment income other than the relevant part
of the movement arising from re-measuring net liabilities or net assets under defined benefit scheme by the
original subsidiary. Subsequent measurement of the remaining equity interests shall be in accordance with
relevant accounting standards such as ―Accounting Standards for business Enterprises 2 – Long-term Equity
Investments‖ or ―Accounting Standards for business Enterprises 22 – Financial Instruments Recognition and
Measurement‖.
The company shall determine whether loss of control arising from disposal in a series of transactions should be
regarded as a bundle of transactions. When the economic effects and terms and conditions of the disposal
transactions met one or more of the following situations, the transactions shall normally be accounted for as a
bundle of transactions:
①The transactions are entered into after considering the mutual consequences of each individual transaction;
② The transactions need to be considered as a whole in order to achieve a deal in commercial sense;
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③The occurrence of an individual transaction depends on the occurrence of one or more individual transactions in
the series;
④ The result of an individual transaction is not economical, but it would be economical after taking into account
of other transactions in the series. When the transactions are not regarded as a bundle of transactions, the
individual transactions shall be accounted as ―disposal of a portion of an interest in a subsidiary which does not
lead to loss of control‖ and ―disposal of a portion of an interest in a subsidiary which lead to loss of control‖.
When the transactions are regarded as a bundle of transactions, the transactions shall be accounted as a single
disposal transaction; however, the difference between the consideration received from disposal and the share of
net assets disposed in each individual transactions before loss of control shall be recognized as other
comprehensive income, and reclassified as profit or loss arising from the loss of control when control is lost.
7. Joint arrangement classification and accounting treatment for joint operations
In accordance with the Company’s rights and obligation under a joint arrangement, the Company classifies joint
arrangements into: joint ventures and joint operations.
(1) Recognize the assets held solely by the Company, and recognize assets held jointly by the Company in
appropriation to the share of the Company;
(2) Recognize the obligations assumed solely by the Company, and recognize obligations assumed jointly by the
Company in appropriation to the share of the Company;
(3) recognize revenue from disposal of the share of joint operations of the Company;
(4) recognize fees solely occurred by Company;
(5) recognize fees from joint operations in appropriation to the share of the Company.
8. Determining standards for cash and cash equivalent
Cash refers to stock cash, savings available for paid at any time; cash and cash equivalent refers to the cash held
by the Company with short terms(expired within 3 months since purchased), and liquid and easy to transfer as
known amount and investment with minor variation in risks.
9. Foreign currency business and conversion
The occurred foreign currency transactions are converted into the recording currency in accordance with the
middle rate of the market exchange rate published by the People's Bank of China on the transaction date. Thereinto,
the occurred foreign currency exchange or transactions involved in the foreign currency exchange are converted in
accordance with the actual exchange rate in the transactions.
At the balance sheet date, the account balance of the foreign currency monetary assets and liabilities is converted
into the recording currency amount in accordance with the middle rate of the market exchange rate published by
the People's Bank of China on the transaction date. The balance between the recording currency amount converted
according to exchange rate at the balance sheet date and the original recording currency amount is disposed as the
exchange gains or losses. Thereinto, the exchange gains or losses occurred in the foreign currency loans related to
the purchase and construction of fixed assets are disposed according to the principle of capitalization of borrowing
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costs; the exchange gains and losses occurred during the start-up are included in the start-up costs; the rest is
included in the current financial expenses.
At the balance sheet date, the foreign currency non-monetary items measured with the historical costs are converted
in accordance with the middle rate of the market exchange rate published by the People's Bank of China on the
transaction date without changing its original recording currency amount; the foreign currency non-monetary items
measured with the fair value are converted in accordance with the middle rate of the market exchange rate
published by the People's Bank of China on the fair value date, and the generated exchange gains and losses are
included in the current profits and losses as the gains and losses from changes in fair value.
The following displays the methods for translating financial statements involving foreign operations into the
statements in RMB: The asset and liability items in the balance sheets for overseas operations are translated at the
spot exchange rates on the balance sheet date. Among the owners’ equity items, the items other than
―undistributed profits‖ are translated at the spot exchange rates of the transaction dates. The income and expense
items in the income statements of overseas operations are translated at the average exchange rates of the
transaction dates. The exchange difference arising from the above mentioned translation are recognized in other
comprehensive income and is shown separately under owner’ equity in the balance sheet; such exchange
difference will be reclassified to profit or loss in current year when the foreign operation is disposed according to
the proportion of disposal.
The cash flows of overseas operations are translated at the average exchange rates on the dates of the cash flows.
The effect of exchange rate changes on cash is presented separately in the cash flow statement.
10. Financial instrument
Financial instrument is the contract that taken shape of the financial asses for an enterprises and of the financial
liability or equity instrument for other units.
(1) Classification and measurement on financial assets and financial liability
In terms of investment purposes and economic natures, the Company divides its financial assets into financial
assets( with its variation of fair value reckoned into current gains/losses), financial assets available for sale,
account receivables and held-to-maturity investments, among which, transactional financial asset is measured at
fair value and movement of its fair value is recorded in current gains and losses; financial asset available for sale
is measured at fair value and movement of its fair value is recorded in owners’ equity; account receivables and
held-to-maturity investments are measured at amortized cost.
In terms of economic nature, the Company divides its financial liabilities into two groups, namely financial
liabilities at fair value through gains and losses and other financial liabilities at amortized cost.
(2) Determination of fair values for financial assets and financial liabilities
The fair value refers to the price that will be received when selling an asset or the price to be paid to transfer a
liability in an orderly transaction between market participants on the date of measurement. Financial instruments
exist in an active market. Fair value is determined based on the quoted price in such market. An active market
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refers to where pricing is easily and regularly obtained from exchanges, brokers, industrial organizations and price
fixing service organizations, representing the actual price of a market transaction that takes place in a fair deal.
While financial instruments do not exist in an active market, the fair value is determined using valuation
techniques. Valuation technologies include reference to be familiar with situation and prices reached in recent
market transactions entered into by both willing parties, reference to present fair values of similar other financial
instruments, cash flow discounting method and option pricing models.
As for the equty investment of the investee held by the Company, which has no controlling rights, common
control or significant influence (that is under the major influence), has no quota in an active market and the fair
value can not be measure reasonably, than divided into financial assets available for sale and measured by cost.
(3) Recognition basis and measurement for transfer of financial assets
That the Company grants or delivers financial assets to party other than the issuer of such financial assets equals
transfer of financial assets. Financial assets transferred could be the entire or part of such financial assets. Two
forms are listed as follows:
①Transfer of right for collecting cash flow of financial assets to another party;
②Transfer financial assets to another party, while the aforementioned right is retained, with obligation of paying
such cash flow to final collector
In the even that the Company has transferred almost all risks and remunerations arising from ownership of all or
part financial assets to another party, accordingly, recognition for such entire or part financial assets shall be
ceased. Gains and losses are determined by the received consideration less the carrying value of the transferred
financial assets. Meanwhile, the original accumulated gains or losses of financial assets recognized in the owners’
equity shall transferred to gains and losses; when all risks and remunerations attached to ownership are retained,
recognition for such entire or part financial assets shall continue, and the consideration received shall be viewed as
financial liabilities.
As for the financial assets which the Company has neither transferred nor retained all risks and remunerations
attached to ownership of such financial assets, while control upon such financial assets still exists, recognition
shall be conducted in light of the degree of its continuous involvement in the transferred financial assets.
Accordingly, relevant liabilities shall be recognized.
(4) Recognition for termination of financial assets and liability
Upon satisfaction of one of the following condition, financial assets will immediately experience discontinued
recognition:
①Right entitled by contract in respect of collection of cash flow from such financial asset terminates.
②Such financial assets have been transferred and meet discontinued recognition condition for financial assets as
regulated by Accounting Standard for Enterprise No.23-Transfer of Financial Assets.
Only when present obligations under financial liability have been released entirely or partly, could cease
recognition of such financial liability or part thereof.
(5) Impairment of financial assets
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The Company conducts inspection on carrying values of financial assets, except for transactional financial assets,
as at balance sheet date. If there is objective evidence indicating that impairment has happened to financial assets,
impairment reserve then shall be provided. Financial asset with great amount in single item is subject to separate
impairment test. In case of any objective evidence indicating that impairment has happened to such financial asset,
impairment loss shall be recognized and recorded in current gains and losses. As for the financial assets with no
great amount in single item and those which prove to be not impaired after separate test, the Company will
conduct impairment test on basis of credit portfolio which is determined in light of customers’ credit records and
historical bad debts, so as to recognize impairment loss.
Objective evidence indicating impairment happens to financial assets means the proceedings meeting the three
characteristics: actually occurred subsequent to initial recognition of such financial assets, bring influence over the
estimated future cash flow of such financial assets, and such influence could be reliably measured by the
Company.
The followings are included in objective evidences indicating impairment happens to financial assets:
①Serious financial difficulty happens to issuer or debtor;
② Breach of terms of contract by debtor, such as breach or overdue in repaying interest or principal;
③Creditor makes concession for debtors who experience financial trouble in light of consideration for economy
or laws;
④Debtor is very likely to experience bankrupt or financial reorganization;
⑤ Financial assets are not able to be traded in active market since material financial difficulty happens to issuer;
⑥ It is unable to judge whether cash flow from certain asset in a group of financial assets has decreased, while it
is finally found that the estimated future cash flow of such financial asset has actually decreased since its initial
recognition and the decrease can be reliably measured by reference to the general valuation based on open data.
For example, payment capacity of debtor of such financial assets portfolio gradually worsens, or unemployment in
country or region where the debtor locates risen, price of guaranty falls greatly in the place where it locate, and the
industry in which it belongs to is unpromising;
⑦Material negative changes happen to technologies, markets, economy or law environment in which debtor
operates, which leads to that equity instrument investor is not likely to be able to recover investment cost;
⑧Fair value of equity instrument investment experiences severe or non-temporary falling;
⑨ Other objective evidence indicating impairment happens to financial assets.
In the event of impairment in financial asset at amortized cost, impairment loss is calculated based on the
difference between carrying value and present value of estimated future cash flow discounted at effective interest
rate.
After impairment loss is recognized for financial asset at amortized cost, if there is objective evidence indicating
value of such financial asset has recovered, which is objectively related to proceedings occurred after recognition
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of such loss, the original impairment loss shall be reversed and recorded in current gains and losses. However, the
carrying value subsequent to such reversal shall not exceed the amortized cost of such financial asset as at the
reversal date on assumption that such impairment loss had not been provided.
Impairment of available-for-sale financial assets: in the event that decline in fair value of the available-for-sale
equity instrument is regarded as ―severe decline‖ or ―non-temporary decline‖ on the basis of comprehensive
related factors, it indicates that there is impairment loss of the available-for-sale equity instrument. In particular,
―severe decline‖ refers to fair value is lower than 50% of the cost price and last for over one year.
―Non-temporary decline‖ refers to fair value fell for over 6-month sessions.
When the available-for-sale financial assets impair, the accumulated loss originally included in the other
comprehensive income arising from the decrease in fair value was transferred out from the capital reserve and
included in the profit or loss for the period. The accumulated loss that transferred out from the capital reserve is
the balance of the acquired initial cost of asset, after deduction of the principal recovered, amortized amounts,
current fair value and the impairment loss originally included in the profit or loss. After recognition of the
impairment loss, if there is objective evidence showing recovery in value of such financial assets impaired and
which is related to any event occurring after such recognition in subsequent periods, the impairment loss
originally recognized shall be reversed. The impairment loss reversal of the available-for-sale equity instrument
will be recognized as other comprehensive income, and the impairment loss reversal of the available-for-sale debt
instrument will be included in the profit or loss for the period.
When an equity investment that is not quoted in an active market and the fair value of which cannot be measured
reliably, or the impairment loss of a derivative financial asset linked to the equity instrument that shall be settled
by delivery of that equity instrument, then it will not be reversed.
11. Account Receivable
(1) Account Receivable withdrawal on single significant amount and with bad debt provision accrued for
single item
Determine basis or amount standards for single The Company’s account receivables with above RMB 1 million in single item
significant amount is defined as account receivables with significant amount in single item.
In line with the difference of present value of future cash flow lower its book
Withdrawal method for account with single significant
value, carried out impairment test independently and withdrawal the bad debt
amount and withdrawal single item bad debt provision
reserves
(2) Receivables with bad debt provision accrual by credit portfolio
Combination Bad debt provision accrual
Classify to many combination based on credit portfolio for those receivables with minor account singly
Age analysis method
and those with major amount but has no impairment been found after testing independently; base on
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the actual loss ratio of the receivables of previous years, with same or similar credit portfolio, and
combining actual condition accrual bad debt reserves
In combination, accounts whose bad debts provision was accrued by age analysis:
√ Applicable □ Not applicable
Account age Rate for receivables Rate for other receivables
Within 1 year (one year included) 10.00% 10.00%
Within 6 months
6 months to 1 year 10.00% 10.00%
1－2 years 20.00% 20.00%
2－3 years 40.00% 40.00%
Over 3 years 100.00% 100.00%
3－4 years 100.00% 100.00%
4－5 years 100.00% 100.00%
Over 5 years 100.00% 100.00%
In combination, withdrawal proportion of bad debt provision based on balance proportion
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods:
□ Applicable √ Not applicable
(3) Account receivable with minor single amount but with withdrawal bad debt provision for single item:
Reasons for withdrawal single item The present value of future cash flow has major difference with the receivable group’s present
bad debt provision value of future cash flow
Withdrawal method for bad debt Carried out impairment test independently, accrual bad debt reserves according to the difference
provision of present value of future cash flow lower its book value
12. Inventories
(1)Classification of inventories
The Company’s inventories are categorized into stock materials, product in process and stock goods etc.
(2)Pricing for delivered inventories
A. Generally, stock materials are calculated at planned cost. Material cost difference is individually set according
to classification of grant types. Pursuant to the difference between the planned cost of the received or delivered
raw materials and the material cost the aforesaid cost should share after carrying forward at period-end, the
Company adjusts the planned cost to effective cost; finished products are priced at effective costs, and carried
forward to operating cost by weighted average method when being delivered;
B. Products in process are priced at effective costs, and carried forward to finished products at actually occurred
cost;
C. Finished self-produced products are priced at effective costs, and carried forward to operating cost by weighted
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average method; external purchase goods (from import and export trades) are carried forward to sales cost by
individual pricing method.
(3)Recognition evidence for net realizable value of inventories and withdrawal method for inventory impairment
provision
Inventories as at period-end are priced at the lower of costs and net realizable values; at period end, on the basis of
overall clearance about inventories, inventory impairment provision is withdrew for uncollectible part of costs of
inventories which result from destroy of inventories, out-of-time of all and part inventories, or sales price
lowering than cost. Inventory impairment provision for stock goods and quantity of raw materials is subject to the
difference between costs of single inventory item over its net realizable value. As for other raw materials with
large quantity and comparatively low unit prices, inventory impairment provision is withdrawn pursuant to
categories.
As for finished goods, commodities and materials available for direct sales, their net realizable values are
determined by their estimated selling prices less estimated sales expenses and relevant taxes. For material
inventories held for purpose of production, their net realizable values are determined by the estimated selling
prices of finished products less estimated costs, estimated sales expenses and relevant taxes accumulated till
completion of production. As for inventories held for implementation of sales contracts or service contracts, their
net realizable values are calculated on the basis of contract prices. In the event that inventories held by a company
exceed order amount as agreed in sales contracts, net realizable values of the surplus part are calculated on the
basis of normal sale price.
(4) Inventory system
Perpetual Inventory System is adopted by the Company and takes a physical inventory.
(5) Amortization of low-value consumables and wrap page
①Low-value consumables
The Company adopts one-off amortization method to amortize the low-value consumables.
②Wrappage
The Company adopts one-off amortization method to amortize the wrappage at the time of receipt.
13. Classified as assets held for sale
The Company’s component(or non-current asset) will recognize as held-for-sale while satisfied the followed
conditions simultaneously: the component can be promptly sold at its existing status only according to the practice
terms in connection with disposal of this kind of assets; the Company has already made resolution on disposal of
such component, such as approved by shareholders in line with regulations, have already approved by general
meeting or relevant authority; the Company entered into irrevocable transfer agreement with the transferee; and
this transfer will be completed within one year.
Book value of the assets held-for-sale shall be adjusted on recoverable amounts (no more than the original book
value while qualify held-for-sale conditions), the execee parts from original book value and recoverable amounts
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after adjusted shall considered as assets impairment loss reckoned into current gains/losses. Held-for-sale fixed
assets and intangible assets would be not applicable to depreciation or amortization, and would be measured at the
lower of its carrying value less disposal cost and fair value less disposal cost.
If classified as held for sale no longer meets the recognition condition as non-current asset held for sale or
disposal group, the Company will cease such recognition and measure the asset at the lower of
(1)the carrying value of the asset or disposal group prior to being classified as held for sale, based on the amount
adjusted with the depreciation, amortization or impairment which should have been recognized assuming it had
not been classified as held for sale;
(2)the recoverable amount on the date when the Company decides to cease disposal.
14. Long-term equity investment
Long-term equity investments refer to long-term equity investments in which the Company has control, joint
control or significant influence over the investee. Long-term equity investment without control or joint control or
significant influence of the Group is accounted for as available-for-sale financial assets or financial assets
measured at fair value with any change in fair value charged to profit or loss.
(1) Determination of initial investment cost
Investment costs of the long-term equity investment are recongized by the follow according to different way of
acquirement:
①For a long-term equity investment acquired through a business combination involving enterprises under
common control, the initial investment cost of the long-term equity investment shall be the absorbing party’s
share of the carrying amount of the owner’s equity under the consolidated financial statements of the ultimate
controlling party on the date of combination. The difference between the initial cost of the long-term equity
investment and the cash paid, non-cash assets transferred as well as the book value of the debts borne by the
absorbing party shall offset against the capital reserve. If the capital reserve is insufficient to offset, the retained
earnings shall be adjusted. If the consideration of the merger is satisfied by issue of equity securities, the initial
investment cost of the long-term equity investment shall be the absorbing party’s share of the carrying amount of
the owner’s equity under the consolidated financial statements of the ultimate controlling party on the date of
combination. With the total face value of the shares issued as share capital, the difference between the initial cost
of the long-term equity investment and total face value of the shares issued shall be used to offset against the
capital reserve. If the capital reserve is insufficient to offset, the retained earnings shall be adjusted. (For business
combination resulted in an enterprise under common control by acquiring equity of the absorbing party under
common control through a stage-up approach with several transactions, these transactions will be judged whether
they shall be treat as ―transactions in a basket‖. If they belong to ―transactions in a basket‖, these transactions will
be accounted for a transaction in obtaining control. If they are not belong to ―transactions in a basket‖, the initial
investment cost of the long-term equity investment shall be the absorbing party’s share of the carrying amount of
the owner’s equity under the consolidated financial statements of the ultimate controlling party on the date of
combination. The difference between the initial cost of the long-term equity investment and the aggregate of the
carrying amount of the long-term equity investment before merging and the carrying amount the additional
consideration paid for further share acquisition on the date of combination shall offset against the capital reserve.
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If the capital reserve is insufficient to offset, the retained earnings shall be adjusted. Other comprehensive income
recognized as a result of the previously held equity investment accounted for using equity method on the date of
combination or recognized for available-for-sale financial assets will not be accounted for.)
②For a long-term equity investment acquired through a business combination involving enterprises not under
common control, the initial investment cost of the long-term equity investment shall be the cost of combination on
the date of acquisition. Cost of combination includes the aggregate fair value of assets paid by the acquirer,
liabilities incurred or borne and equity securities issued. (For business combination resulted in an enterprise not
under common control by acquiring equity of the acquire under common control through a stage-up approach with
several transactions, these transactions will be judged whether they shall be treat as ―transactions in a basket‖. If
they belong to ―transactions in a basket‖, these transactions will be accounted for a transaction in obtaining
control. If they are not belong to ―transactions in a basket‖, the initial investment cost of the long-term equity
investment accounted for using cost method shall be the aggregate of the carrying amount of equity investment
previously held by the acquire and the additional investment cost. For previously held equity accounted for using
equity method, relevant other comprehensive income will not be accounted for. For previously held equity
investment classified as available-for-sale financial asset, the difference between its fair value and carrying
amount, as well as the accumulated movement in fair value previously included in the other comprehensive
income shall be transferred to profit or loss for the current period.) plus the combination cost measured by costs
which have directly connection with acquirsition are considered as initial investment cost of such long-term equity
investment. Realizable assets and liabilities undertaken by such assets (including contingent liabilities) of the
party being combined as at the combination date are all measured at fair values, without consideration to amount
of minority interests. The surplus of combination cost less fair value net realizable assets of the party being
combined is recorded as goodwill, and the deficit is directly recognized in the consolidated statement of gains and
losses.
③Long-term investments obtained through other ways:
A. Initial investment cost of long-term equity investment obtained through cash payment is determined according
to actual payment for purchase;
B. Initial investment cost of long-term equity investment obtained through issuance of equity securities is
determined at fair value of such securities;
C. Initial investment cost of long-term equity investment (exchanged-in) obtained through exchange with
non-monetary assets, which is of commercial nature, is determined at fair value of the assets exchanged-out;
otherwise determined at carrying value of the assets exchanged-out if it is not of commercial nature;
D. Initial investment cost of long-term equity investment obtained through debt reorganization is determined at
fair value of such investment.
(2) Subsequent measurement on long-term equity investment
①Presented controlling ability on investee, the investment shall used cost method for measurement.
②Long-term equity investments with joint control (excluding those constitute joint ventures) or significant
influence on the investee are accounted for using equity method.
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Under the equity method, where the initial investment cost of a long-term equity investment exceeds the
investor’s interest in the fair value of the investee’s identifiable net assets at the acquisition date, no adjustment
shall be made to the initial investment cost. Where the initial investment cost is less than the investor’s interest in
the fair value of the investee’s identifiable net assets at the acquisition date, the difference shall be charged to
profit or loss for the current period, and the cost of the long term equity investment shall be adjusted accordingly.
Under the equity method, investment gain and other comprehensive income shall be recognized based on the
Group’s share of the net profits or losses and other comprehensive income made by the investee, respectively.
Meanwhile, the carrying amount of long-term equity investment shall be adjusted. The carrying amount of
long-term equity investment shall be reduced based on the Group’s share of profit or cash dividend distributed by
the investee. In respect of the other movement of net profit or loss, other comprehensive income and profit
distribution of investee, the carrying value of long-term equity investment shall be adjusted and included in the
capital reserves. The Group shall recognize its share of the investee’s net profits or losses based on the fair values
of the investee’s individual separately identifiable assets at the time of acquisition, after making appropriate
adjustments thereto. In the event of inconformity between the accounting policies and accounting periods of the
investee and the Company, the financial statements of the investee shall be adjusted in conformity with the
accounting policies and accounting periods of the Company. Investment gain and other comprehensive income
shall be recognized accordingly. In respect of the transactions between the Group and its associates and joint
ventures in which the assets disposed of or sold are not classified as operation, the share of unrealized gain or loss
arising from inter-group transactions shall be eliminated by the portion attributable to the Company. Investment
gain shall be recognized accordingly. However, any unrealized loss arising from inter-group transactions between
the Group and an investee is not eliminated to the extent that the loss is impairment loss of the transferred assets.
In the event that the Group disposed of an asset classified as operation to its joint ventures or associates, which
resulted in acquisition of long-term equity investment by the investor without obtaining control, the initial
investment cost of additional long-term equity investment shall be the fair value of disposed operation. The
difference between initial investment cost and the carrying value of disposed operation will be fully included in
profit or loss for the current period. In the event that the Group sold an asset classified as operation to its
associates or joint ventures, the difference between the carrying value of consideration received and operation
shall be fully included in profit or loss for the current period. In the event that the Company acquired an asset
which formed an operation from its associates or joint ventures, relevant transaction shall be accounted for in
accordance with ―Accounting Standards for Business Enterprises No. 20 ―Business combination‖. All profit or
loss related to the transaction shall be accounted for.
The Group’s share of net losses of the investee shall be recognized to the extent that the carrying amount of the
long-term equity investment together with any long-term interests that in substance form part of the investor’s net
investment in the investee are reduced to zero. If the Group has to assume additional obligations, the estimated
obligation assumed shall be provided for and charged to the profit or loss as investment loss for the period. Where
the investee is making profits in subsequent periods, the Group shall resume recognizing its share of profits after
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setting off against the share of unrecognized losses.
③Acquisition of minority interest
Upon the preparation of the consolidated financial statements, since acquisition of minority interest increased of
long-term equity investment which was compared to fair value of identifiable net assets recognized which are
measured based on the continuous measurement since the acquisition date (or combination date) of subsidiaries
attributable to the Group calculated according to the proportion of newly acquired shares, the difference of which
recognized as adjusted capital surplus, capital surplus insufficient to set off impairment and adjusted retained
earnings.
④Disposal of long-term equity investments
In these consolidated financial statements, for disposal of a portion of the long-term equity investments in a
subsidiary without loss of control, the difference between disposal cost and disposal of long-term equity
investments relative to the net assets of the subsidiary is charged to the owners’ equity. If disposal of a portion of
the long-term equity investments in a subsidiary by the parent company results in a change in control, it shall be
accounted for in accordance with the relevant accounting policies as described in 6 ―Preparation Method of the
Consolidated Financial Statements‖.
On disposal of a long-term equity investment otherwise, the difference between the carrying amount of the
investment and the actual consideration paid is recognized through profit or loss in the current period.
In respect of long-term equity investment accounted for using equity method with the remaining equity interest
after disposal also accounted for using equity method, other comprehensive income previously under owners’
equity shall be accounted for in accordance with the same accounting treatment for direct disposal of relevant
asset or liability by investee on pro rata basis at the time of disposal. The owners’ equity recognized for the
movement of other owners’ equity (excluding net profit or loss, other comprehensive income and profit
distribution of investee) shall be transferred to profit or loss for the current period on pro rata basis.
In respect of long-term equity investment accounted for using cost method with the remaining equity interest after
disposal also accounted for cost equity method, other comprehensive income measured and reckoned under equity
method or financial instrument before control of the investee unit acquired shall be accounted for in accordance
with the same accounting treatment for direct disposal of relevant asset or liability by investee on pro rata basis at
the time of disposal and shall be transferred to profit or loss for the current period on pro rata basis; among the net
assets of investee unit recognized by equity method (excluding net profit or loss, other comprehensive income and
profit distribution of investee) shall be transferred to profit or loss for the current period on pro rata basis.
In the event of loss of control over investee due to partial disposal of equity investment by the Group, in preparing
separate financial statements, the remaining equity interest which can apply common control or impose significant
influence over the investee after disposal shall be accounted for using equity method. Such remaining equity
interest shall be treated as accounting for using equity method since it is obtained and adjustment was made
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accordingly. For remaining equity interest which cannot apply common control or impose significant influence
over the investee after disposal, it shall be accounted for using the recognition and measurement standard of
financial instruments. The difference between its fair value and carrying amount as at the date of losing control
shall be included in profit or loss for the current period. In respect of other comprehensive income recognized
using equity method or the recognition and measurement standard of financial instruments before the Group
obtained control over the investee, it shall be accounted for in accordance with the same accounting treatment for
direct disposal of relevant asset or liability by investee at the time when the control over investee is lost.
Movement of other owners’ equity (excluding net profit or loss, other comprehensive income and profit
distribution under net asset of investee accounted for and recognized using equity method) shall be transferred to
profit or loss for the current period at the time when the control over investee is lost. Of which, for the remaining
equity interest after disposal accounted for using equity method, other comprehensive income and other owners’
equity shall be transferred on pro rata basis. For the remaining equity interest after disposal accounted for using
the recognition and measurement standard of financial instruments, other comprehensive income and other
owners’ equity shall be fully transferred.
In the event of loss of common control or significant influence over investee due to partial disposal of equity
investment by the Group, the remaining equity interest after disposal shall be accounted for using the recognition
and measurement standard of financial instruments. The difference between its fair value and carrying amount as
at the date of losing common control or significant influence shall be included in profit or loss for the current
period. In respect of other comprehensive income recognized under previous equity investment using equity
method, it shall be accounted for in accordance with the same accounting treatment for direct disposal of relevant
asset or liability by investee at the time when equity method was ceased to be used. Movement of other owners’
equity (excluding net profit or loss, other comprehensive income and profit distribution under net asset of investee
accounted for and recognized using equity method) shall be transferred to profit or loss for the current period at
the time when equity method was ceased to be used.
The Group disposes its equity investment in subsidiary by a stage-up approach with several transactions until the
control over the subsidiary is lost. If the said transactions belong to ―transactions in a basket‖, each transaction
shall be accounted for as a single transaction of disposing equity investment of subsidiary and loss of control. The
difference between the disposal consideration for each transaction and the carrying amount of the corresponding
long-term equity investment of disposed equity interest before loss of control shall initially recognized as other
comprehensive income, and subsequently transferred to profit or loss arising from loss of control for the current
period upon loss of control.
(3)Impairment test method and withdrawal method for impairment provision
Found more in 20.‖Impairment of long-term investment‖
(4) Criteria of Joint control and significant influence
Joint control is the Company’s contractually agreed sharing of control over an arrangement, which relevant
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activities of such arrangement must be decided by unanimously agreement from parties who share control. All the
participants or participant group whether have controlling over such arrangement as a group or not shall be judge
firstly, than judge that whether the decision-making for such arrangement are agreed unanimity by the participants
or not.
Significant influence is the power of the Company to participate in the financial and operating policy decisions of
an investee, but to fail to control or joint control the formulation of such policies together with other parties.
While recognizing whether have significant influence by investee, the potential factors of voting power as current
convertible bonds and current executable warrant of the investee held by investors and other parties shall be thank
over.
15. Investment real estate
Measurement mode
Measured by cost method
Depreciation or amortization method
Investment real estate is stated at cost. During which, the cost of externally purchased properties
held-for-investment includes purchasing price, relevant taxes and surcharges and other expenses which are
directly attributable to the asset. Cost of self construction of properties held for investment is composed of
necessary expenses occurred for constructing those assets to a state expected to be available for use. Properties
held for investment by investors are stated at the value agreed in an investment contract or agreement, but those
under contract or agreement without fair value are stated at fair value.
The Company adopts cost methodology amid subsequent measurement of properties held for investment, while
depreciation and amortization is calculated using the straight-line method according to their estimated useful lives.
The basis of provision for impairment of properties held for investment is referred to 20.-―Impairment of
long-term assets‖
16. Fixed assets
(1) Confirmation conditions
Fixed assets refer to the tangible assets for production of products, provision of labor, lease or operation, with a service life excess
one year and has more unit value.
(2) Depreciation methods
Yearly depreciation
Categories Method Years of depreciation Scrap value rate
rate
House and Building Straight-line depreciation 20~35 5.00% 2.71~4.75
Machinery equipment Straight-line depreciation 10 5.00% 9.50
Transportation equipment Straight-line depreciation 4~5 5.00% 19.00~23.75
Electronic and other equipment Straight-line depreciation 3～10 5.00% 9.50～31.67
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(3) Recognization basis, valuation and depreciation method for financial lease assets
The Company affirms those that conform to below one or several criteria as the finance lease fixed assets:
① Agreed in the lease contract (or made a reasonable judgment according to the correlated conditions on the
lease commencement date), the ownership of lease fixed assets can be transferred to the Company after the expiry
of the lease period;
② The Company has the option to purchase or lease the fixed assets, and the purchase price is estimated to be
much less than the fair value of the lease of fixed assets when exercises the options, so whether the Company will
exercise the option can be reasonably determined on the lease commencement date;
③ Even though the fixed asset ownership is not transferred, the lease term accounts for 75% of the service life of
the lease fixed assets;
④The present value of the Company’s of minimum lease payment on the lease commencement date is equivalent
to 90% or more of the fair value of the lease fixed assets on the lease commencement date; the present value of the
leaser’s of minimum lease payment on the lease commencement date is equivalent to 90% or more of the fair
value of the lease fixed assets on the lease commencement date;
⑤ The leased assets with special properties can only be used by the Company without major modifications. The
fixed assets rented by finance leases is calculated as the book value according to the lower one between the fair
value of leased assets on the lease commencement date and the present value of the minimum lease payments.
17. Construction in process
From the date on which the fixed assets built by the Company come into an expected usable state, the projects
under construction are converted into fixed assets on the basis of the estimated value of project estimates or
pricing or project actual costs, etc. Depreciation is calculated from the next month. Further adjustments are made
to the difference of the original value of fixed assets after final accounting is completed upon completion of
projects. The basis of provision for impairment of properties held for construction in process is referred to Note
20.-―Impairment of long-term assets‖
18. Borrowing costs
(1) Recognition of capitalization of borrowing costs
Borrowing costs comprise interest occurred, amortization of discounts or premiums, ancillary costs and exchange
differences in connection with foreign currency borrowings. The borrowing costs of the Company, which incur
from the special borrowings occupied by the fixed assets that need more than one year (including one year) for
construction, development of investment properties or inventories or from general borrowings, are capitalized and
recorded in relevant assets costs; other borrowing costs are recognized as expenses and recorded in the profit or
loss in the period when they are occurred. Relevant borrowing costs start to be capitalized when all of the
following three conditions are met:
① Capital expenditure has been occurred;
② Borrowing costs have been occurred;
③Acquisition or construction necessary for the assets to come into an expected usable state has been carried out.
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(2) Period of capitalization of borrowing costs
Borrowing costs arising from purchasing fixed asset, investment real estae and inventory, and occurred after such
assets reached to its intended use of status or sales, than reckoned into assets costs while satisfy the above
mentioned capitalization condition; capitalization of borrowing costs shall be suspended and recognized as current
expenditure during periods in which construction of fixed assets, investment real estate and inventory are
interrupted abnormally, when the interruption is for a continuous period of more than 3 months, until the
acquisition, construction or production of the qualifying asset is resumed; capitalization shall discontinue when
the qualifying asset is ready for its intended use or sale, the borrowing costs occurred subsequently shall reckoned
into financial expenses while occurring for the current period.
(3) Measure of capitalization for borrowing cost
In respect of the special borrowings borrowed for acquisition, construction or production and development of the
assets qualified for capitalization, the amount of interests expenses of the special borrowings actually occurred in
the period less interest income derived from unused borrowings deposited in banks or less investment income
derived from provisional investment, are recognized.
With respect to the general borrowings occupied for acquisition, construction or production and development of
the assets qualified for capitalization, the capitalized interest amount for general borrowings is calculated and
recognized by multiplying a weighted average of the accumulated expenditure on the assets in excess of the
expenditure on the some assets of the special borrowings, by a capitalization rate for general borrowings. The
capitalization rate is determined by calculation of the weighted average interest rate of the general borrowings.
19. Intangible assets
(1) Measurement, use of life and impairment testing
①Measurement of intangible assets
The intangible assets of the Company including land use rights, patented technology and non-patents technology
etc.
The cost of a purchased intangible asset shall be determined by the expenditure actually occurred and other related
costs.
The cost of an intangible asset contributed by an investor shall be determined in accordance with the value
stipulated in the investment contract or agreement, except where the value stipulated in the contract or agreement
is not fair.
The intangible assets acquired through exchange of non-monetary assets, which is commercial in substance, is
carried at the fair value of the assets exchanged out; for those not commercial in substance, they are carried at the
carrying amount of the assets exchanged out.
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The intangible assets acquired through debt reorganization, are recognized at the fair value.
②Amortization methods and time limit for intangible assets:
Land use right of the company had average amortization by the transfer years from the beginning date of transfer
(date of getting land use light); Patented technology, non-patented technology and other intangible assets of the
Company are amortized evenly with the shortest terms among expected useful life, benefit years regulated in the
contract and effective age regulated by the laws. The amortization amount shall count in relevant assets costs and
current gains/losses according to the benefit object.
As for the intangible assets as trademark, with uncertain benefit terms, amortization shall not be carried.
Impairment testing methods and accrual for depreciation reserves for the intangible assets found more in Note
20.‖Long-term assets impairment‖
(2)Internal accounting policies relating to research and development expenditures
Expenses incurred during the research phase are recognized as profit or loss in the current period; expenses
incurred during the development phase that satisfy the following conditions are recognized as intangible assets
(patented technology and non-patents technology):
1. it is technically feasible that the intangible asset can be used or sold upon completion;
2. there is intention to complete the intangible asset for use or sale;
3. the products produced using the intangible asset has a market or the intangible asset itself has a market;
4. there 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;
5. the expenses attributable to the development phase of the intangible asset can be measured reliably.
If the expenses incurred during the development phase did not qualify the above mentioned conditions, such
expenses incurred are accounted for in the profit or loss for the current period.
The development expenditure reckoned in gains/losses previously shall not be recognized as assets in later period.
The capitalized expenses in development stage listed as development expenditure in balance sheet, and shall be
transfer as intangible assets since such item reached its expected conditions for service.
20. Impairment of long-term asset
The Company will judge if there is any indication of impairment as at the balance sheet date in respect of
non-current non-financial assets such as fixed assets, construction in progress, intangible assets with a finite useful
life, investment properties measured at cost, and long-term equity investments in subsidiaries, joint controlled
entities and associates. If there is any evidence indicating that an asset may be impaired, recoverable amount shall
be estimated for impairment test. Goodwill, intangible assets with an indefinite useful life and intangible assets
beyond working conditions will be tested for impairment annually, regardless of whether there is any indication of
impairment.
If the impairment test result shows that the recoverable amount of an asset is less than its carrying amount, the
impairment provision will be made according to the difference and recognized as an impairment loss. The
recoverable amount of an asset is the higher of its fair value less costs of disposal and the present value of the
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future cash flows expected to be derived from the asset. An asset’s fair value is the price in a sale agreement in an
arm’s length transaction. If there is no sale agreement but the asset is traded in an active market, fair value shall be
determined based on the bid price. If there is neither sale agreement nor active market for an asset, fair value shall
be based on the best available information. Costs of disposal are expenses attributable to disposal of the asset,
including legal fee, relevant tax and surcharges, transportation fee and direct expenses incurred to prepare the
asset for its intended sale. The present value of the future cash flows expected to be derived from the asset over
the course of continued use and final disposal is determined as the amount discounted using an appropriately
selected discount rate. Provisions for assets impairment shall be made and recognized for the individual asset. If it
is not possible to estimate the recoverable amount of the individual asset, the Group shall determine the
recoverable amount of the asset group to which the asset belongs. The asset group is the smallest group of assets
capable of generating cash flows independently.
For the purpose of impairment testing, the carrying amount of goodwill presented separately in the financial
statements shall be allocated to the asset groups or group of assets benefiting from synergy of business
combination. If the recoverable amount is less than the carrying amount, the Group shall recognize an impairment
loss. The amount of impairment loss shall first reduce the carrying amount of any goodwill allocated to the asset
group or set of asset groups, and then reduce the carrying amount of other assets (other than goodwill) within the
asset group or set of asset groups, pro rata on the basis of the carrying amount of each asset.
An impairment loss recognized on the aforesaid assets shall not be reversed in a subsequent period in respect of
the restorable value.
21. Long-term Deferred Expenses
Long-term expenses to be amortized of the Company the expenses that are already charged and with the beneficial
term of more than one year are evenly amortized over the beneficial term. For the long-term deferred expense
items cannot benefit the subsequent accounting periods, the amortized value of such items is all recorded in the
profit or loss during recognition.
22. Employee compensation
(1) Accounting treatment for short-term compensation
During the accounting period when the staff providing service to the Company, the short-term remuneration
actuall occurred shall recognized as liability and reckoned into current gains/losses. During the accounting period
when staff providing service to the Company, the actual short-term compensation occurred shall recognized as
liabilities and reckoned into current gains/losses, except for those in line with accounting standards or allow to
reckoned into capital costs; the welfares occurred shall reckoned into current gains/losses or relevant asses costs
while actually occurred. The employee compensation shall recognized as liabilities and reckoned into current
gains/losses or relevant assets costs while actually occurred. The employee benefits that belong to non-monetary
benefits are measured in accordance with the fair value; the social insurances including the medical insurance,
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work-injury insurance and maternity insurance and the housing fund that the enterprise pays for the employees as
well as the labor union expenditure and employee education funds withdrawn by rule should be calculated and
determined as the corresponding compensation amount and determined the corresponding liabilities in accordance
with the specified withdrawing basis and proportion, and reckoned in the current profits and losses or relevant
asset costs in the accounting period that the employees provide services.
(2) Accounting treatment for post-employment benefit
The post-employment benefit included the defined contribution plans and defined benefit plans. Post-employment
benefits plan refers to the agreement about the post-employment benefits between the enterprise and employees,
or the regulations or measures the enterprise established for providing post-employment benefits to employees.
Thereinto, the defined contribution plan refers to the post-employment benefits plan that the enterprise doesn’t
undertake the obligation of payment after depositing the fixed charges to the independent fund; the defined benefit
plans refers to post-employment benefits plans except the defined contribution plan.
(3)Accounting for retirement benefits
When the Company 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
Company shall recognize employee compensation liabilities arising from compensation for staff dismissal and
included in profit or loss for the current period, when the Company cannot revoke unilaterally compensation for
dismissal due to the cancellation of labor relationship plans and employee redundant proposals; and the Company
recognize cost and expenses related to payment of compensation for dismissal and restructuring, whichever is
earlier. The early retirement plan shall be accounted for in accordance with the accounting principles for
compensation for termination of employment. The salaries or wages and the social contributions to be paid for the
employees who retire before schedule from the date on which the employees stop rendering services to the
scheduled retirement date, shall be recognized (as compensation for termination of employment) in the current
profit or loss by the Group if the recognition principles for provisions are satisfied.
(4)Accounting for other long-term employee benefits
Except for the compulsory insurance, the Company provides the supplementary retirement benefits to the
employees satisfying some conditions, the supplementary retirement benefits belong to the defined benefit plans,
and the defined benefit liability confirmed on the balance sheet is the value by subtracting the fair value of plan
assets from the present value of defined benefit obligation. The defined benefit obligation is annually calculated in
accordance with the expected accumulated welfare unit method by the independent actuary by adopting the
treasury bond rate with similar obligation term and currency. The service charges related to the supplementary
retirement benefits (including the service costs of the current period, the previous service costs, and the settlement
gains or losses) and the net interest are reckoned in the current profits and losses or other asset costs, the changes
generated by recalculating the net liabilities of defined benefit plans or net assets should be reckoned in other
consolidated income.
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23. Accrued liability
(1) Recogniztion
An obligation related to a contingency, such as guarantees provided to outsiders, pending litigations or arbitrations,
product warranties, redundancy plans, onerous contracts, reconstructing, expected disposal of fixed assets, etc.
shall be recognized as an estimated liability when all of the following conditions are satisfied:
①the obligation is a present obligation of the Company;
② It is Contingent that an outflow of economic benefits will be required to settle the obligation;
③the amount of the obligation can be measured reliably.
(2) Measurement method: Measure on the basis of the best estimates of the expenses necessary for paying off the
contingencies
24. Revenue
(1) Concrete judging criteria for time of receoganized
The major risks and remuneration entitled to the ownership of goods are transferred to buyer; neither retain the
continued management right generally related to ownership, nor exercise effective control over the sold products;
the relevant economic benefits are probable to flow into the Company; the relevant income and costs can be
measured reliably.
Concrete judging criteria for time of receoganized the income from goods sales:
The Company's domestic sales revenue recognition time: The company delivers goods as agreed, checks the goods
that the buyers have received and inspected during the period of the last reconciliation date and this reconciliation
date with the buyers on the reconciliation date as agreed, and transfers the risks and remunerations to the buyers
after checking, the Company issues the invoices to the buyers in accordance with the reconciliated varieties,
quantities and amounts and affirms the sales revenue realization on the reconciliation date.
The Company's overseas sales revenue recognition time: After checking by the customs, the Company affirms the
sales revenue realization according to the date of departure on the customs declaration.
(2) Recognition of revenue of assets using right abalienation
Revenue from use by others of enterprise assets shall be recognized only when the associated economic benefit
can flow into the Company, and the amount of revenue can be measured reliably, revenue measured by the follow:
① Interest income amount: calculated and determined in accordance with the time that others use the
enterprises cash and the actual interest rate.
② Royalty revenue amount: calculated and determined in accordance with the charging time and method of
the relevant contract or agreement as agreed.
The basis that the Company confirms the revenue from transferring the right to use assets
Rental income: the revenue realization is confirmed after collecting the rent on the date as agreed in the rental
contract (or agreement). For the rent not received on the date as agreed in the contract or agreement but can be
received, and of which the amount of revenue can be measured reliably can also be recognized as revenue.
(3) When confirming the incomes of labor services and construction contracts according to the percentage of
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completion method, determine the basis and method of the contract completion plan.
For the service transaction results can be estimated reliably on the balance sheet date, the service revenue is
determined and recognized by adopting the percentage of completion method. The completion progress of service
transaction is determined by the proportion of incurred costs in the estimated total cost.
The total service revenue is determined by the received or receivable contract or agreement costs, except that the
received or receivable contract or agreement costs are not fair. On the balance sheet date, the service revenue of the
current period is determined by multiplying the total service revenue by the completion progress and deducting
the amount accumulated in the previous accounting period and confirmed to render the service revenue.
Meanwhile, the labor costs of the current period are carried forward by multiplying the total estimated costs of
labor services by the completion progress and deducting the amount accumulated in the previous accounting
period with confirmed service costs.
For the service transaction results cannot be estimated reliably on the balance sheet date, respectively dispose as
following circumstances:
①The incurred labor costs estimated to be compensated are confirmed to render the service revenue according to
the incurred labor costs, and are carried forward by the equivalent amount.
② The incurred labor costs estimated not to be compensated are reckoned in the current profits or losses, and are
not confirmed to render the service revenue.
25. Government Grants
(1)Determination basis and accounting for government grants related to assets
(1) Types
Government grants are transfer of monetary assets or non-monetary assets from the government to the Group at
no consideration. Government grants are classified into government grants related to assets and government grants
related to income.
As for the assitance object not well-defined in government’s documents, the classification criterial for
assets-related or income-related grants are as: whether the grants turns to a long-term assets due to purchasing for
constrution or other means.
(2) Recogniztion
The government grants shall be recognized while meet the attache conditions of the grants and amount is actually
can be obtained.
If a government grant is in the form of a transfer of monetary asset, the item shall be measured at the amount
received or receivable. If a government grant is in the form of a transfer of non-monetary asset, the item shall be
measured at fair value.
(3) Accounting treatment
A government grant related to an asset shall be recognized as deferred income, and evenly amortized to profit or
loss over the useful life of the asset.
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(2) Determination basis and accounting for government grants related to income
(1) Types
Government grants are transfer of monetary assets or non-monetary assets from the government to the Group at
no consideration. Government grants are classified into government grants related to assets and government grants
related to income.
As for the assistance object not well-defined in government’s documents, the classification criterial for
assets-related or income-related grants are as: whether the grants turns to a long-term assets due to purchasing for
construction or other means.
(2) Recogniztion
The government grants shall be recognized while meet the attache conditions of the grants and amount is actually
can be obtained.
If a government grant is in the form of a transfer of monetary asset, the item shall be measured at the amount
received or receivable. If a government grant is in the form of a transfer of non-monetary asset, the item shall be
measured at fair value.
(3) Accounting treatment
For a government grant related to income, if the grant is a compensation for related expenses or losses to be
incurred in subsequent periods, the grant shall be recognized as deferred income, and recognized in profit or loss
over the periods in which the related costs are recognized; if the grant is a compensation for related expenses or
losses already incurred, the grant shall be recognized immediately in profit or loss for the current period.
26. Deferred tax assets / deferred income tax liabilities
(1) Deferred income tax assets or deferred income tax liabilities are realized based on the difference between the
carrying values of assets and liabilities and their taxation bases (as for the ones did not recognized as assets and
liability and with taxation basis recognized in line with tax regulations, different between tax base and its book
value) at the tax rates applicable in the periods when the Company recovers such assets or settles such liabilities.
(2) Deferred income tax assets are realized to the extent that it is probable to obtain such taxable income which is
used to set off the deductible temporary difference. As at the balance sheet date, if there is obvious evidence
showing that it is probable to obtain sufficient taxable income to set off the deductible temporary difference in
future periods, deferred income tax assets not realized in previous accounting periods shall be realized.
(3) On balance sheet date, re-review shall be made in respect of the carrying value of deferred income tax assets.
If it is impossible to obtain sufficient taxable income to set off the benefits of deferred income tax assets in future
periods, then the carrying value of deferred income tax assets shall be reduced accordingly. If it is probable to
obtain sufficient taxable income, then the amount reduced shall be switched back.
(4) Current income tax and deferred income tax considered as income tax expenses or incomes reckoned into
current gains/losses, excluding the follow income tax:
①Enterprise combination;
②Transactions or events recognized in owner’s equity directly
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27. Lease
(1)Accounting for operating lease
The rental fee paid for renting the properties by the company are amortized by the straight-line method and
reckoned in the current expenses throughout the lease term without deducting rent-free period. The initial direct
costs related to the lease transactions paid by the company are reckoned in the current expenses.
When the lessor undertakes the expenses related to the lease that should be undertaken by the company, the
company shall deduct the expenses from the total rental costs, share by the deducted rental costs during the lease
term, and reckon in the current expenses.
Rental obtained from assets leasing, during the whole leasing period without rent-free period excluded, shall be
amortized by straight-line method and recognized as leasing revenue. The initial direct costs paid with leasing
transaction concerned are reckoned into current expenditure; the amount is larger is capitalized when incurred,
and accounted for as profit or loss for the current period on the same basis as recognition of rental income over the
entire lease period.
When the company undertakes the expenses related to the lease that should be undertaken by the lessor, the
company shall deduct the expenses from the total rental income, and distribute by the deducted rental costs during
the lease term.
(2) Accounting for financing lease
Assets lease-in by financing: On the beginning date of the lease, the entry value of leased asset shall be at the
lower of the fair value of the leased asset and the present value of minimum lease payment at the beginning date
of the lease. Minimum lease payment shall be the entry value of long-term accounts payable, with difference
recognized as unrecognized financing expenses. Unrecognized financing expenses shall be reckoned in financial
expenses and amortized and using effective interest method during the leasing period. The initial direct costs
incurred by the Company shall be rekoned into value of assets lease-in.
Finance leased assets: on the lease commencement date, the company affirms the balance among the finance lease
receivables, the sum of unguaranteed residual value and its present value as the unrealized financing income, and
recognizes it as the rental income during the period of receiving the rent. For the initial direct costs related to the
rental transaction, the company reckons in the initial measurement of the finance lease receivables, and reduces
the amount of income confirmed in the lease term.
28. Other major accounting policy and accounting estimates
In the process of applying the Company's accounting policies, due to the inherent uncertainty of business activities,
the Company needs to judge, estimate and assume the book value of the report items cannot be accurately
measured. These judgments, estimates and assumptions are made on the basis of the historical experience of the
Company’s management and by considering other relevant factors, which shall impact the reported amounts of
income, expenses, assets and liabilities and the disclosure of contingent liabilities on the balance sheet date.
However, the actual results caused by the estimated uncertainties may differ from the management's current
estimates of the Company so as to carry out the significant adjustments to the book value of the assets or liabilities
to be affected.
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The Company regularly reviews the aforementioned judgments, estimates and assumptions on the basis of
continuing operations, the changes in accounting estimates only affect the current period, of which the impacts are
recognized in the current period; the changes in accounting estimates not only affect the current period but also the
future periods, of which the impacts are recognized in the current and future periods.
On the balance sheet date, the important areas of the financial statements that the Company needs to judge, estimate
and assume are as follows:
(1) Provision for bad debts
According to the accounting policies of the accounts receivable, the Company adopts the allowance method to
calculate the bad debt losses. The impairment of receivables is based on the assessment to the collectability of the
accounts receivable. The impairment of accounts receivable requires the management’s judgments and estimates.
The actual results and the differences between the previously estimated results shall affect the book value of
accounts receivable and the provision or return of the receivables’ bad debt reserves during the period estimated to
be changed.
(2) Inventory impairment
According to the inventory accounting policies, the Company measures by the comparison between the cost and
the net realizable value, if the cost is higher than the net realizable value and the old and unsalable inventories, the
Company calculates and withdraws the inventory impairment. The inventory devalues to the net realizable value
by evaluating the inventory’s vendibility and net realizable value. To identify the inventory impairment, the
management needs to obtain the unambiguous evidences, and consider the purpose to hold the inventory, and
judge and estimate the impacts of events after the balance sheet date. The actual results and the differences
between the previously estimated results shall affect the book value of inventory and the provision or return of the
inventory impairment during the period estimated to be changed.
(3) Held-to-maturity investments
The Company classifies the non-derivative financial assets that meet the requirements, have the fixed or
ascertainable repayment amount and fixed due date, and that the Company has the positive intention and ability to
hold to maturity as the held-to-maturity investment. This classification involves a lot of judgments. In the process
of making the judgments, the Company will evaluate its willingness and ability to this held-to-maturity investment.
Except in certain cases (such as the investments with insignificant sales amount when the maturity date comes), if
the Company fails to hold these investments till the maturity date, then all the investments shall be reclassified to
the available-for-sale financial assets which cannot be classified as the held-to-maturity investments in this fiscal
year and the next two fiscal years. This kind of case may have a significant impact on the relevant financial assets
value listed on the financial statements, and may affect the Company's financial instruments risk management
strategy.
(4) Impairment of held-to-maturity investments
The Company determines that the impairment of held-to-maturity investments largely relies on management's
judgments. The objective evidences of impairment include that the issuer has serious financial difficulties so that
the financial assets cannot continue to be traded in an active market, or cannot be able to fulfill the contract terms
(for example, breach the contract of paying the interests or principal), etc. In the process of making the judgments,
the Company needs to evaluate the impact of the objective evidence of impairment to the expected future cash
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flows of the investment.
(5) Impairment of financial assets available for sale
The Company determines that the impairment of held-to-maturity investments largely relies on management's
judgments and assumptions so as to determine whether it is needed to affirm its impairment loss in the profit
statement. In the process of making the judgments and assumptions, the Company needs to evaluate the extent and
duration when the fair value of the investment is less than the cost, as well as the financial situation and short-term
business prospects of the investees, including the industry conditions, technological change, credit rating, default
rates, and risks of the counterparty.
(6) Preparation for the impairment of non-financial & non-current assets
The Company checks whether the non-current assets except for the financial assets may decrease in value at the
balance sheet date. For the intangible assets with indefinite service life, in addition to the annual impairment test,
the impairment test is also needed when there is a sign of impairment. For the other non-current assets except for
the financial assets, the impairment test is needed when it indicates that the book amounts may not be recoverable.
When the book value of the asset or group of assets exceeds its recoverable amount, i.e. the higher between the net
amount by subtracting the disposal costs from the fair value and the present value of expected future cash flows, it
indicates the impairment.
As for the net amount by subtracting the disposal costs from the fair value, refer to the sales agreement price
similar to the assets in the fair trade or the observable market price, and subtract the incremental costs
determination directly attributable to the disposal of the asset.
When estimating the present value of the future cash flow, the Company needs to make significant judgments to
the output, price, and related operating expenses of the asset (or asset group) and the discount rate used for
calculating the present value. When estimating the recoverable amount, the Company shall adopt all the relevant
information can be obtained, including the prediction related to the output, price, and related operating expenses
based on the reasonable and supportable assumptions.
The Company tests whether its business reputation decreases in value every year, which requires to estimating the
present value of the asset group allocated with goodwill or the future cash flow combined by the asset group.
When estimating the present value of the future cash flow, the Company needs to estimate the future cash flows
generated by the asset group or the combination of asset group, and select the proper discount rate to determine the
present value of the future cash flows.
(7) Depreciation and amortization
The Company depreciates and amortizes the investment property, fixed assets and intangible assets according to
the straight-line method in the service life after considering the residual value. The Company regularly reviews the
service life to determine the depreciation and amortization expense amount to be reckoned in each reporting period.
The service life is determined by the Company based on the past experience of similar assets and the expected
technological updating. If the previous estimates have significant changes, the depreciation and amortization
expense shall be adjusted in future periods.
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(8) Income tax
In the Company’s normal business activities, the final tax treatment and calculation of some transactions have some
uncertainties. Whether some projects can be disbursed from the cost and expenses before taxes requires needs to
get approval from the tax authorities. If the final affirmation of these tax matters differs from the initially estimated
amount, the difference shall have an impact on its current and deferred income taxes during the final identification
period.
(9) Early retirement benefits and supplementary retirement benefits
The expenses of the Company's early retirement benefits and supplementary retirement benefits and the amount of
liabilities are determined in accordance with various assumptions. These assumptions include the discount rate,
the average growth rate of health care costs, the subsidy growth rate of the early retired personnel and retirees and
the other factors. The differences between the actual results and assumptions will be immediately identified and
included in the costs of the current year. Although the management thought the reasonable assumptions have been
adopted, the changes in the actual experience and assumed conditions will impact the costs and liability balances
of the Company's internal early retirement benefits and supplementary retirement benefits.
29. Changes of important accounting policy and estimation
(1) Changes of major accounting policies
√ Applicable □ Not applicable
Approval
Content and reasons Note
procedures
At the beginning of 2014, Ministry of Finance issued the followed rules Cai Kuai [2014] No. 6; No.8; No.10;
No.11; No.14 and No.16, that is "Accounting Standards for Business Enterprises No. 39 - Fair Value
Measurements ", " Accounting Standards for Business Enterprises No. 30 - Presentation of Financial
Statements "(2014 Revised), "Accounting Standards for Business Enterprises No. 9 - Employee
Deliberate
Remuneration(2014 Revised)", " Accounting Standards for Business Enterprises No. 33 - Consolidated Financial
d and
Statements "(2014 Revised), "Accounting Standards for Business Enterprises No. 40 - Joint Venture
approved
Arrangement", "Accounting Standards for Business Enterprises No. 2 - Long-term Equity Investments(2014
st
Revised)" and "Accounting Standards for Business Enterprises No. 41 - Disclosure of Interests in Other by 21
Entities", and requires all the enterprises implementing the accounting standards to execute since July 1, 2014, meeting of
th
and encourage the enterprise listed aboard to exercise the new standards ahead of time. Meanwhile, the Ministry 7 session
of Finance issued the Cai Kuai[2014] No.23 "Accounting Standards for Business Enterprises No. 37 - of the
Presentation of Financial Instruments(2014 Revised)"(―Presentation of Financial Instruments‖ for short), which Board
requires the enterprises implementing the accounting standards to present the financial instruments in the
financial reports of 2014 and the subsequent periods in accordance with the requirements of the accounting
standards.
The Company executed the 7 new or revised accounting standards except the Presentation of Financial
Instruments since 1 July 2014, and started executing the Presentation of Financial Instruments in preparing the
annual financial report of 2014; previous financial statements are as due to the adjustment for standards
engagement
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(2) Changes of important accounting estimate
□ Applicable √ Not applicable
VI. Taxation
1. Major taxes and tax rates
Tax Basis Tax rate
Tax rate for sale of goods is 17%; rate for exported commodities
VAT Sale of goods is stipulated by the state with declaration of export tax rebate,
rate of tax may be ―exempted, credited and refunded‖
Operation tax Revenue from real estate lease 5%
City maintaining & construction
Turnover tax payable 7%
tax
Corporation income tax Taxable income 25%、15%
Educational surtax Turnover tax payable 5%
Disclose reasons for different taxpaying body
Taxpaying body Income tax rate
Parent company of Weifu Hi-Technology 15%
Weifu Jinning 15%
Weifu Diesel System 15%
Weifu Leader 15%
Weifu Tianli 15%
Weifu Autocam 15%
Weifu Mashan 25%
Weifu Chang’an 25%
Weifu International Trade 25%
Weifu ITM 25%
Weifu Schmidt 25%
Kunming Xitong 25%
Weifu Tianshi 25%
2. Tax preference
On 2 September 2014, the Company got a ―High-Tech Enterprise Certificate‖ issued jointly by Science &
Technology Department of Jiangsu Province, Department of Finance of Jiangsu Province, Jiangsu Provincial
Office, SAT and Jiangsu Local Taxation Bureau, certificate No.: GR201432001331. Corporate income tax of the
Company shall be taxed by 15% in three years since 1 January 2014 in accordance with State regulations.
On 2 September 2014, Weifu Jinning got a ―High-Tech Enterprise Certificate‖ issued jointly by Science &
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Technology Department of Jiangsu Province, Department of Finance of Jiangsu Province, Jiangsu Provincial
Office, SAT and Jiangsu Local Taxation Bureau, certificate No.: GR201432001794. Corporate income tax of the
Weifu Jinning shall be taxed by 15% in three years since 1 January 2014 in accordance with State regulations.
On 31 October 2014, Weifu Diesel System got a ―High-Tech Enterprise Certificate‖ issued jointly by Science &
Technology Department of Jiangsu Province, Department of Finance of Jiangsu Province, Jiangsu Provincial
Office, SAT and Jiangsu Local Taxation Bureau, certificate No.: GR201432002594. Corporate income tax of the
Weifu Diesel System shall be taxed by 15% in three years since 1 January 2014 in accordance with State
regulations.
On 2 September 2014, Weifu Leader got a ―High-Tech Enterprise Certificate‖ issued jointly by Science &
Technology Department of Jiangsu Province, Department of Finance of Jiangsu Province, Jiangsu Provincial
Office, SAT and Jiangsu Local Taxation Bureau, certificate No.: GR201432001480. Corporate income tax of the
Weifu Leader shall be taxed by 15% in three years since 1 January 2014 in accordance with State regulations.
On 25 September 2014, Weifu Tianli got a ―High-Tech Enterprise Certificate‖ issued jointly by Science &
Technology Bureau of Ningbo, Department of Finance of Ningbo, Ningbo Office, SAT and Ningbo, Zhejiang
Provincial Local Taxation Bureau, certificate No.: GR201433100224. Corporate income tax of the Weifu Tianli
shall be taxed by 15% in three years since 1 January 2014 in accordance with State regulations.
On 31 October 2014, Weifu Autocam got a ―High-Tech Enterprise Certificate‖ issued jointly by Science &
Technology Department of Jiangsu Province, Department of Finance of Jiangsu Province, Jiangsu Provincial
Office, SAT and Jiangsu Local Taxation Bureau, certificate No.: GF201432001254. Corporate income tax of the
Weifu Autocam shall be taxed by 15% in three years since 1 January 2014 in accordance with State regulations.
VII. Notes to major items in consolidated financial statements
1. Monetary capital
In RMB
Item Closing balance Opening balance
Cash on hand 774,120.49 820,195.99
Cash in bank 1,608,152,359.01 2,205,410,290.94
Other monetary fund 61,945,350.53 153,796,721.99
Total 1,670,871,830.03 2,360,027,208.92
Other explanation
Item Closing balance Opening balance
Bank acceptance bill, L/C and other collateral 61,945,350.53 153,796,721.99
2. Note receivables
(1) Classification of notes receivable
In RMB
Item Closing balance Opening balance
Bank acceptance bill 856,456,572.50 912,142,743.48
Commercial acceptance bill 54,820,000.00 81,410,000.00
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Total 911,276,572.50 993,552,743.48
(2) Notes receivable already pledged by the Company at the end of the period
In RMB
Item Amount pledge at period-end
Bank acceptance bill 14,934,079.43
Total 14,934,079.43
(3) Notes endorsement or discount and undue on balance sheet date
In RMB
Item Amount derecognition at period-end Amount not derecognition at period-end
Bank acceptance bill 583,838,149.44
Total 583,838,149.44
(4) Notes transfer to account receivable for the drawer failure to perform contract at period-end
Nil
3. Accounts receivable
(1) Accounts receivable by category:
In RMB
Closing balance Opening balance
Book balance Bad debt reserve Book balance Bad debt reserve
Types Book
Rati Accru Accrual Book value
Amount Amount value Amount Ratio Amount
o al ratio ratio
Account
receivable with
single significant
0.21 100.00 4,536,50 100.00
amount and 3,366,944.29 3,366,944.29 0.37% 4,536,500.29
% % 0.29 %
withdrawal bad
debt provision
separately
Receivables with
bad debt provision 1,559,021,536 99.2 1,546,817 1,217,86 99.10 1,206,105,2
12,204,298.32 0.78% 11,760,124.99 0.97%
accrual by credit .57 9% ,238.25 5,361.55 % 36.56
portfolio
Accounts with 7,915,822.94 0.50 7,915,822.94 100.00 6,480,79 0.53% 6,480,798.13 100.00
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
single significant % % 8.13 %
amount and bad
debts provision
accrued
individually
1,570,304,303 1,546,817 1,228,88 100.0 1,206,105,2
Total 23,487,065.55 22,777,423.41 1.85%
.80 ,238.25 2,659.97 0% 36.56
Account receivable with single significant amount and withdrawal bad debt provision separately at period end:
√ Applicable □ Not applicable
In RMB
Closing balance
Account receivable(units)
Account receivable Bad debt reserve Accrual ratio Reasons
Hangzhou Yiwei Auto Industry Co., The account was too
1,030,095.36 1,030,095.36 100.00%
Ltd. old to collect
Changzhou Liankai Power The account was too
2,336,848.93 2,336,848.93 100.00%
Machinery Co., Ltd. old to collect
Total 3,366,944.29 3,366,944.29 -- --
Account receivable provided for bad debt reserve under aging analysis method in the groups:
√ Applicable □ Not applicable
In RMB
Closing balance
Age
Account receivable Bad debt reserve Accrual ratio
Sub item of within one year
Within 6 months 1,495,226,299.10
6 months to 1 year 41,004,140.59 4,100,414.07 10.00%
Subtotal of within 1 year 1,536,230,439.69 4,100,414.07
1-2 years 17,046,303.88 3,409,260.77 20.00%
2-3 years 1,750,282.53 700,113.01 40.00%
Over 3 years 3,994,510.47 3,994,510.47 100.00%
Total 1,559,021,536.57 12,204,298.32 0.78%
Explanation on combination determines:
In combination, withdrawal proportion of bad debt provision based on balance proportion for account receivable
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for account receivable:
(2) Bad debt provision accrual collected or switch back
Bad debt provision accrual was 1,789,568.79 Yuan; the amount collected or switches back amounting to 1,003,115.00 Yuan
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Important bad debt provision collected or switch back:
In RMB
Company Collected or switch back amount Collection way
Changchai Wanzhou Diesel Engine Co., Ltd. 200,000.00 Recovery of notes
Fuzhou Liding Power Co., Ltd. 653,115.00 Monetary fund \recovery of physical
Changzhou Mengfa Fuel Injector Co., Ltd. 150,000.00 Recovery of monetary fund
Total 1,003,115.00 --
(3) Account receivable actual charge off in the Period
In RMB
Item Amount written off
Account receivable actual charge off 76,811.65
Written-off for the major receivable:
In RMB
Arising from
Amount Reason for Verification related
Company Nature
written off write-off procedures transaction
(Y/N)
Difficult in Management
Taizhou Jieman Auto Precision Part Co., Ltd. Current money 76,811.65 No
collection approval
Total -- 76,811.65 -- -- --
(4) Top 5 receivables at ending balance by arrears party
Total year-end balance of top five receivables by arrears party amounting to 573,574,165.35 Yuan, takes 36.53
percent of the total account receivable at year-end, bad debt provision accrual correspondingly at year-end
amounting as 47,184.97 Yuan.
4. Advance payment
(1) Advance payment by age
In RMB
Closing balance Opening balance
Age
Amount Ratio Amount Ratio
within one year 79,479,674.24 80.71% 99,309,670.55 98.31%
1-2 years 18,491,113.11 18.78% 1,231,219.93 1.22%
2-3 years 243,523.45 0.25% 252,565.40 0.25%
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Over 3 years 256,129.64 0.26% 220,945.72 0.22%
Total 98,470,440.44 -- 101,014,401.60 --
(2) Top 5 advance payment at ending balance by prepayment object
Total year-end balance of top five advance payment by prepayment object amounting to 27,595,956.96 Yuan,
takes 28.02 percent of the total advance payment at year-end
5. Interest receivable
(1) Category
In RMB
Item Closing balance Opening balance
Time deposit 4,330,690.41 4,016,280.99
Total 4,330,690.41 4,016,280.99
6. Dividend receivables
(1) Dividend receivables
In RMB
Item (or the invested entity) Closing balance Opening balance
RBCD 266,756,175.00
Wuxi Weifu Fine Machinery
500,000.00
Manufacturing Co., Ltd.
Total 266,756,175.00 500,000.00
7. Other accounts receivable
(1) Other accounts receivable by category
In RMB
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category Book
Accru Accru Book value
Amount Ratio Amount value Amount Ratio Amount
al ratio al ratio
Other account
1,514,671.2 100.00 1,514,67 100.00
receivable with 1,514,671.20 8.06% 9.31% 1,514,671.20
0 % 1.20 %
single significant
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amount and
withdrawal bad
debt provision
separately
Other receivables
with bad debt 91.94 2,105,403.9 12.19 15,172,86 14,760,2 17.89 12,119,685.7
17,278,265.61 90.69% 2,640,570.23
provision accrual % 7 % 1.64 55.93 % 0
by credit portfolio
100.00 3,620,075.1 19.26 15,172,86 16,274,9 100.00 25.53 12,119,685.7
Total 18,792,936.81 4,155,241.43
% 7 % 1.64 27.13 % % 0
Other receivable with single significant amount and withdrawal bad debt provision separately at end of period:
√ Applicable □ Not applicable
In RMB
Account Closing balance
receivable(units) Account receivable Bad debt reserve Accrual ratio Reasons
American HESS 1,514,671.20 1,514,671.20 100.00% Bankruptcy
Total 1,514,671.20 1,514,671.20 -- --
In combination, other accounts receivable whose bad debts provision was accrued by age analysis
√ Applicable □ Not applicable
In RMB
Closing balance
Age
Other accounts receivable Bad debt provision Accrual ratio
Sub item of within one year
Within 6 months 13,600,905.98
6 months to one year 229,633.97 22,963.40 10.00%
Subtotal within one year 13,830,539.95 22,963.40
1-2 years 187,274.78 37,454.95 20.00%
2-3 years 2,025,775.45 810,310.18 40.00%
Over 3 years 1,234,675.43 1,234,675.43 100.00%
Total 17,278,265.61 2,105,403.96 12.19%
Explanations on combination determine:
In combination, withdrawal proportion of bad debt provision based on balance proportion for other account receivable:
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for other account receivable:
□ Applicable √ Not applicable
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(2) Bad debt provision accrual collected or switch back
Bad debt provision accrual was 15,425.84 Yuan; the amount collected or switches back amounting to 550,592.10 Yuan.
(3) Other receivables actually written-off during the reporting period
Nil
(4) Other receivables by nature
In RMB
Nature Ending book balance Opening book balance
Intercourse funds receivable from units 13,168,107.65 12,078,842.28
Staff loans and petty cash 3,095,504.79 1,776,328.81
Other 2,529,324.37 2,419,756.04
Total 18,792,936.81 16,274,927.13
(5) Top 5 other receivables at ending balance by arrears party
In RMB
Ratio in total ending
Ending Ending balance of
Company Nature Age balance of other
balance bad bet provision
receivables
Ningbo Jiangbei High-Tech Industry Park Performance within 3
1,767,000.00 9.41% 704,800.00
Development Construction Co., Ltd. bond years
Advance Specific
paid in advance –Amercian HESS payment 1,514,671.20 identificatio 8.06% 1,514,671.20
transfer-in n
Within 6
Special engineering deposit Deposit 1,353,873.10 7.20%
months
Nanjing Yinkun Tomhchang Assets Intercourse Within 6
1,163,228.92 6.19%
Management Co., Ltd. funds of unit months
Water meter Within 6
Wuxi Waterworks Corp. 1,000,000.00 5.32%
deposit months
Total -- 6,798,773.22 -- 36.18% 2,219,471.20
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
8. Inventory
(1) Inventory classification
In RMB
Closing balance Opening balance
Item Depreciation Depreciation
Book balance Book value Book balance Book value
reserve reserve
Raw materials 335,225,195.47 58,536,938.91 276,688,256.56 320,047,146.00 58,692,589.24 261,354,556.76
Goods in process 142,479,778.06 16,088,442.31 126,391,335.75 127,059,930.23 16,088,442.31 110,971,487.92
Finished goods 707,277,762.88 151,913,251.89 555,364,510.99 891,256,687.37 151,913,251.89 739,343,435.48
Total 1,184,982,736.41 226,538,633.11 958,444,103.30 1,338,363,763.60 226,694,283.44 1,111,669,480.16
(2) Inventory depreciation reserve
In RMB
Increase in the current period Decrease in the current period
Item Opening balance Switch back or Closing balance
Accrual Other Other
write-off
Raw materials 58,692,589.24 155,650.33 58,536,938.91
Goods in process 16,088,442.31 16,088,442.31
Finished goods 151,913,251.89 151,913,251.89
Total 226,694,283.44 155,650.33 226,538,633.11
①Net realizable value of the inventory refers to: during the day-to-day activities, results of the estimated sale
price less costs which are going to happen by estimation till works completed sales price estimated and relevant
taxes.
②accrual basis for inventory depreciation reserve:
Accrual basis for inventory impairment
Item Specific basis for recognization
provision
Materials on The materials sold due to finished goods Results from the estimated sale price of such inventory less the cost
hand manufactured, its net realizable value is what will happen, estimated sales expenses and relevant taxes till the
lower than the book value goods completed
Goods in The goods in process sold due to finished Results from the estimated sale price of such inventory less the cost
process goods manufactured, its net realizable value what will happen, estimated sales expenses and relevant taxes till the
is lower than the book value goods completed
Finished its net realizable value is lower than the Results from the estimated sale price less the vary taxes which shall be
goods book value taken in process of sales
③Reasons of switch-back for inventory falling price reserves:
Nil
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
④Reasons of write-off for inventory falling price reserves:
Item Reasons of write-off
Raw materials Used for production and the finished goods are realized sales
(3) Explanation on capitalization of borrowing costs at ending balance of inventory
Nil
9. Other current assets
In RMB
Item Closing balance Opening balance
Entrust financing products 3,150,000,000.00 1,765,000,000.00
Receivable export tax rebates 12,497,097.53 11,585,675.02
Prepaid taxes and VAT retained 60,209,001.91 35,798,321.46
Other 120,322.22 500,000.00
Total 3,222,826,421.66 1,812,883,996.48
10. Financial assets available for sale
(1) Particular about financial assets available for sale
In RMB
Closing balance Opening balance
Item Depreciation Depreciation
Book balance Book value Book balance Book value
reserves reserves
Instrument equity
785,836,367.95 49,433,106.95 736,403,261.00 663,969,506.95 49,433,106.95 614,536,400.00
available for sale:
Measured by fair
523,015,500.00 523,015,500.00 411,596,400.00 411,596,400.00
value
Measured by cost 262,820,867.95 49,433,106.95 213,387,761.00 252,373,106.95 49,433,106.95 202,940,000.00
Other -- financial
80,000,000.00 80,000,000.00 230,000,000.00 230,000,000.00
products
Total 865,836,367.95 49,433,106.95 816,403,261.00 893,969,506.95 49,433,106.95 844,536,400.00
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(2) Financial assets available for sale measured by fair value at period-end
In RMB
Type Instrument equity available for sale Instrument liability available for sale Total
Cost /liability of equity instrument/ amortization cost of debt instrument 234,321,050.00 234,321,050.00
Fair value 523,015,500.00 523,015,500.00
Amount of fair value changes that accumulatively reckoned in other
288,694,450.00 288,694,450.00
comprehensive gains
(3) Financial assets available for sale measured by cost at period-end
In RMB
Book balance Depreciation reserves Ratio of
share-hold
The invested entity Period-beginnin Increase Decreas ing in Cash dividend
Period-beginning Increased Decreased Period-end Period-end
g d ed invested
entity
Guolian Securities 12,000,000.00 12,000,000.00 1.20% 1,260,000.00
Guangxi Liufa Co., Ltd. 1,600,000.00 1,600,000.00 1,600,000.00 1,600,000.00 1.22%
Financial Company of Changchai
800,000.00 800,000.00 800,000.00 800,000.00
Group Co., Ltd.
H&J Vanguard Investment Co., Ltd. 33,000,000.00 33,000,000.00 33,000,000.00 33,000,000.00 11.72%
Nanjing Hengtai Insurance and Broker
1,000,000.00 1,000,000.00 1,000,000.00 1,000,000.00 1.85%
Co., Ltd.
Henan Gushi Weining Oil Pump &
2,033,106.95 2,033,106.95 2,033,106.95 2,033,106.95
Nozzle Co., Ltd.
Beijing Foton Environmental Engine 86,940,000.00 86,940,000.00 11,000,000.00 11,000,000.00 13.44%
107
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Co., Ltd.
Wuxi Xidong Technological Industry
5,000,000.00 5,000,000.00 1.43%
Park Co., Ltd.
Shanghai IMS Automotive Electronic
10,000,000.00 10,000,000.00 18.52%
System Co., Ltd.
Shanghai CD Dengtong Equity
100,000,000.00 10,447,761.00 110,447,761.00 14.93% 6,686,567.00
Investment Fund
Total 252,373,106.95 10,447,761.00 262,820,867.95 49,433,106.95 49,433,106.95 -- 7,946,567.00
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(4) Changes of impairment in Period
In RMB
Instrument equity available Instrument liability
Type Total
for sale available for sale
Balance of impairment accrual at period-begin 49,433,106.95 49,433,106.95
Balance of impairment accrual at period-end 49,433,106.95 49,433,106.95
11. Held-to-maturity investment
Nil
12. Long-term equity investment
In RMB
+,- Ending
Addi Other Othe balance
The tiona Capita compreh r Cash dividend Impai of
Opening Investment
invested l l ensive equit or profit rment Oth Closing balance impair
balance gains recognized
entity inves reduct income y announced to accru er ment
under equity
tmen ion adjustme chan issued al provisi
t nt ge on
I. Joint venture
Wuxi
Weifu
Environm
ent 328,013,838.31 31,186,611.17 359,200,449.48
Protection
Catalyst
Co., Ltd.
Subtotal 328,013,838.31 31,186,611.17 359,200,449.48
II. Associated enterprise
RBCD 2,412,377,721.27 425,254,802.53 937,776,800.00 1,899,855,723.80
Zhonglian
Automobi
le 533,441,050.96 144,267,891.31 677,708,942.27
Electronic
Co., Ltd
Wuxi
Weifu
Fine
Machiner
41,155,356.48 3,311,897.98 44,467,254.46
y
Manufact
uring Co.,
Ltd.
Subtotal 2,986,974,128.71 572,834,591.82 937,776,800.00 2,622,031,920.53
Total 3,314,987,967.02 604,021,202.99 937,776,800.00 2,981,232,370.01
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13. Investment real estate
(1) Investment real estate measured at cost
√ Applicable □ Not applicable
In RMB
House and Land use Construction in
Item Total
building right process
I. original book value
1.Opening balance 52,016,403.92 52,016,403.92
2. increased in the Period
(1) outsourcing
(2) Inventory\fixed assets\construction in process transfer-in
(3) increased by combination
3. decreased in the Period
(1) disposal
(2) other transfer-out
4.Closing balance 52,016,403.92 52,016,403.92
II. Accumulated depreciation and accumulated amortization
1.Opening balance 30,597,461.52 30,597,461.52
2. increased in the Period 592,959.48 592,959.48
(1) accrual or amortization 592,959.48 592,959.48
3. decreased in the Period
(1) disposal
(2) other transfer-out
4.Closing balance 31,190,421.00 31,190,421.00
III. Depreciation reserves
1.Opening balance
2. increased in the Period
(1) accrual
3. decreased in the Period
(1) disposal
(2) other transfer-out
4.Closing balance
IV. Book value
1. Ending Book value 20,825,982.92 20,825,982.92
2. Opening Book value 21,418,942.40 21,418,942.40
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
(2) Investment real estate measured by fair value
□ Applicable√ Not applicable
14. Fixed assets
(1) Fixed assets
In RMB
Machinery Transportation
Item Housing buildings Other Total
equipment equipment
I. original book value
1.Opening balance 654,874,433.10 1,638,756,722.58 42,029,378.89 220,369,407.21 2,556,029,941.78
2. increased in the Period 78,418,780.67 1,095,132.82 30,344,862.64 109,858,776.13
(1) Purchase 13,620,610.30 393,665.42 1,142,461.99 15,156,737.71
(2) construction in
64,798,170.37 701,467.40 29,202,400.65 94,702,038.42
process transfer-in
(3) increased by
combination
3. decreased in the Period 23,050,261.25 3,177,427.91 6,422,764.18 32,650,453.34
(1) disposal or scrapping 23,050,261.25 3,177,427.91 6,422,764.18 32,650,453.34
4.Closing balance 654,874,433.10 1,694,125,242.00 39,947,083.80 244,291,505.67 2,633,238,264.57
II. Accumulated depreciation
1.Opening balance 183,569,355.09 823,770,029.09 26,726,454.13 117,401,412.03 1,151,467,250.34
2. increased in the Period 12,585,382.96 64,537,457.02 2,461,357.37 9,955,961.98 89,540,159.33
(1) accrual 12,585,382.96 64,537,457.02 2,461,357.37 9,955,961.98 89,540,159.33
3. decreased in the Period 19,737,379.00 2,461,155.14 4,809,740.30 27,008,274.44
(1) disposal or scrapping 19,737,379.00 2,461,155.14 4,809,740.30 27,008,274.44
4.Closing balance 196,154,738.05 868,570,107.11 26,726,656.36 122,547,633.71 1,213,999,135.23
III. Depreciation reserves
1.Opening balance 48,658,978.77 133,515.66 6,024,407.84 54,816,902.27
2. increased in the Period
(1) accrual
3. decreased in the Period 500,245.93 7,790.24 260,419.73 768,455.90
(1) disposal or scrapping 500,245.93 7,790.24 260,419.73 768,455.90
4.Closing balance 48,158,732.84 125,725.42 5,763,988.11 54,048,446.37
IV. Book value
1. Ending Book value 458,719,695.05 777,396,402.05 13,094,702.02 115,979,883.85 1,365,190,682.97
2. Opening Book value 471,305,078.01 766,327,714.72 15,169,409.10 96,943,587.34 1,349,745,789.17
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(2) Certificate of title un-completed
In RMB
Item Book value Reasons
Boiler room and guard house of Weifu Jinning 4,158,002.71 Still in process of relevant property procedures
Plant and office building of Weifu Chang’an 39,860,743.49 Still in process of relevant property procedures
15. Construction in progress
(1) Construction in progress
In RMB
Closing balance Opening balance
Item Depreciation Depreciation
Book balance Book value Book balance Book value
reserves reserves
R& D AS WELL AS
INDUSTRIALIZATION OF
WAPS AND CAPACITY
23,830,977.74 23,830,977.74 668,995.61 668,995.61
PROMOTION FOR PARTS OF
DIESEL COMMON RAIL
SYSTEM
Construction of industry zone
411,925,953.54 411,925,953.54 349,623,206.81 349,623,206.81
district
Industrialization of auto tail-gas
2,956,825.13 2,956,825.13 1,472,127.85 1,472,127.85
treatment system products
Ningbo Tianli new plant project 67,800,057.02 67,800,057.02 60,304,155.68 60,304,155.68
Other projects 153,594,415.54 2,096,342.62 151,498,072.92 67,869,693.71 2,522,110.89 65,347,582.82
Total 660,108,228.97 2,096,342.62 658,011,886.35 479,938,179.66 2,522,110.89 477,416,068.77
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(2) Changes of major projects under construction
In RMB
including:
Budget Other Proportion Accumulated Interest
Fixed assets interest
(in 10 increased in the decreased of project amount of capitalizati Sourceof
Item Opening balance transfer-in in the Closing balance Progress capitalized
thousand Period in the investment interest on rate of funds
Period amount of
Yuan) Period in budget capitalization the year
the year
R& D AS
WELL AS
INDUSTRIALI
ZATION OF
WAPS AND Offering
CAPACITY 65,000.00 668,995.61 28,070,443.73 4,908,461.60 23,830,977.74 90.53% 90.53%
PROMOTION fund
FOR PARTS OF
DIESEL
COMMON
RAIL SYSTEM
Construction of Offering
industry zone 65,000.00 349,623,206.81 87,656,980.91 25,354,234.18 411,925,953.54 87.21% 87.21%
district fund
Industrialization
of auto tail-gas Offering
34,000.00 1,472,127.85 10,567,130.01 9,082,432.73 2,956,825.13 100.00% 100.00%
treatment fund
system products
Ningbo Tianli
new plant 11,600.00 60,304,155.68 7,495,901.34 67,800,057.02 58.45% 58.45% 3,169,000.39 498,000.00 4.98% Other
project
Parent
company’s
project of
10,683,716.98 96,485,630.71 24,419,328.25 82,750,019.44 Other
technical
improvement
equipment
Weifu-Autocam’
s equipment 8,376,284.87 25,311,264.16 15,328,173.23 18,359,375.80 Other
project
Total 175,600.00 431,128,487.80 255,587,350.86 79,092,629.99 607,623,208.67 -- -- 3,169,000.39 498,000.00 --
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16. Intangible assets
(1) Particular about intangible assets
In RMB
Non-patent
Item Land use right Patent Other Total
technology
I. original book value
1.Opening balance 376,128,220.00 3,539,793.05 68,273,224.76 447,941,237.81
2. increased in the Period 490,485.41 490,485.41
(1) purchase 490,485.41 490,485.41
(2) internal R&D
(3) increased by combination
3. decreased in the Period
(1) disposal
4.Closing balance 376,128,220.00 3,539,793.05 68,763,710.17 448,431,723.22
II. accumulated amortization
1.Opening balance 46,038,189.96 1,209,429.48 20,183,523.08 67,431,142.52
2. increased in the Period 4,131,131.68 176,989.68 3,219,277.64 7,527,399.00
(1) Accrual 4,131,131.68 176,989.68 3,219,277.64 7,527,399.00
3. decreased in the Period
(1) disposal
4.Closing balance 50,169,321.64 1,386,419.16 23,402,800.72 74,958,541.52
III. impairment provision
1.Opening balance
2. increased in the Period
(1) Accrual
3. decreased in the Period
(1) disposal
4.Closing balance
IV. Book value
1. Ending Book value 325,958,898.36 2,153,373.89 28,714,009.45 356,826,281.70
2. Opening Book value 330,090,030.04 2,330,363.57 31,442,801.68 363,863,195.29
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17. Goodwill
(1) Original book value of goodwill
In RMB
The invested entity or items Opening balance Increase during the year Decreased during the year Closing balance
Weifu Tianli 1,784,086.79 1,784,086.79
Total 1,784,086.79 1,784,086.79
18. Long-term unamortized expenses
In RMB
Item Opening balance increased in the Period Amortized in the Period Other decrease Closing balance
Remodeling costs ect. 12,202,828.33 2,663,991.41 3,294,049.37 11,572,770.37
Total 12,202,828.33 2,663,991.41 3,294,049.37 11,572,770.37
19. Deferred income tax assets and deferred income tax liabilities
(1) Deferred income tax assets un-offset
In RMB
Closing balance Opening balance
Item Deductible Deferred income tax Deductible Deferred income tax
temporary difference assets temporary difference assets
Internal un-realized profit 38,281,921.83 6,134,374.72 48,152,133.53 7,635,465.54
Bad debt reserves 26,722,096.01 4,211,885.85 26,638,685.97 4,203,747.73
Inventory falling price reserves 202,031,634.58 31,258,583.03 202,031,634.58 31,258,583.03
Fixed assets depreciation reserves 54,048,446.37 8,787,381.34 54,816,902.27 8,902,649.73
Construction in process depreciation
2,096,342.62 314,451.39 2,522,110.89 378,316.63
reserves
Intangible assets depreciation reserves 16,646,900.00 2,497,035.00 16,646,900.00 2,497,035.00
Deferred income 231,881,864.01 34,782,279.60 219,520,121.35 32,928,018.20
Payable salary, accrued expenses ect. 299,989,441.62 46,879,203.68 331,154,652.95 51,553,985.39
Relocation expenses 44,358,869.50 6,653,830.43 60,011,284.67 9,001,692.70
Total 916,057,516.54 141,519,025.04 961,494,426.21 148,359,493.95
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(2) Deferred income tax liabilities un-offset
In RMB
Closing balance Opening balance
Item Taxable temporary Deferred income Taxable temporary Deferred income
differences tax liabilities differences tax liabilities
Asset evaluation increment for combination not
15,342,399.35 2,301,359.90 15,712,509.36 2,356,876.40
under the same control
Change of fair value for the financial assets
288,694,450.00 43,304,167.50 143,056,900.00 21,458,535.00
available for sale
Total 304,036,849.35 45,605,527.40 158,769,409.36 23,815,411.40
(3) Deferred income tax assets and deferred income tax liabilities listed after off-set
In RMB
Trade-off between Ending balance of Trade-off between the Opening balance of
the deferred income deferred income tax deferred income tax deferred income tax
Item
tax assets and assets or liabilities after assets and liabilities at assets or liabilities after
liabilities off-set period-begin off-set
Deferred income tax assets 141,519,025.04 148,359,493.95
Deferred income tax liabilities 45,605,527.40 23,815,411.40
(4) Details of unrecognized deferred income tax assets
In RMB
Item Closing balance Opening balance
Deductible temporary differences-Weifu Mashan’s Bad debt reserves 183,333.98 92,268.14
Deductible temporary differences-Weifu Mashan’s Inventory falling price reserves 24,506,998.53 24,506,998.53
Deductible losses –subsidiary of Weifu ITM ect. 101,984,519.30 78,691,706.49
Deductible temporary differences-Kunming Xitong’s Bad debt reserves 201,710.73 201,710.73
Deductible temporary differences-Weifu Schmidt’s Inventory falling price reserves 155,650.33
Deductible temporary differences-financial assets available for sale 49,433,106.95 49,433,106.95
Total 176,309,669.49 153,081,441.17
(5) deductible losses of un-recognized deferred income tax assets expired on the followed year
In RMB
Year Ending amount Opening amount Note
2015 3,169,614.06 3,169,614.06 Weifu ITM and other subsidiaries have operating losses
2016 3,044,019.10 3,044,019.10 Weifu ITM and other subsidiaries have operating losses
2017 12,490,509.17 12,490,509.17 Weifu ITM and other subsidiaries have operating losses
2018 24,828,326.76 24,828,326.76 Weifu ITM and other subsidiaries have operating losses
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2019 35,159,237.40 35,159,237.40 Weifu ITM and other subsidiaries have operating losses
2020 23,292,812.81 Weifu ITM and other subsidiaries have operating losses
Total 101,984,519.30 78,691,706.49 --
20. Other non-current assets
In RMB
Item Closing balance Opening balance
Engineering equipment paid in advance 404,249,797.33 352,385,362.29
Total 404,249,797.33 352,385,362.29
21. Short-term loans
(1)Types of short-term loans
In RMB
Item Closing balance Opening balance
Debt of honors 310,000,000.00 383,000,000.00
Trade financing 32,000,000.00
Total 310,000,000.00 415,000,000.00
22. Notes payable
In RMB
Type Closing balance Opening balance
Trade acceptance 526,560,403.12 488,556,684.85
Total 526,560,403.12 488,556,684.85
23. Account payable
(1) Account payable
In RMB
Item Closing balance Opening balance
Within 1 year 1,563,837,666.46 1,366,347,639.31
1-2 years 51,102,640.45 33,987,185.76
2-3 years 21,436,520.06 23,090,576.02
Over 3 years 26,642,803.65 30,513,397.52
Total 1,663,019,630.62 1,453,938,798.61
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24. Account received in advance
(1) Account received in advance
In RMB
Item Closing balance Opening balance
Within 1 year 28,281,651.53 40,418,546.23
1-2 years 1,401,211.18 1,247,140.92
2-3 years 121,888.10 122,115.42
Over 3 years 2,002,557.52 1,996,124.73
Total 31,807,308.33 43,783,927.30
25. Wages payable
(1) Wages payable
In RMB
Item Opening balance Increase during the year Decreased during the year Closing balance
I. Short-term compensation 152,089,263.65 331,829,599.56 377,781,608.42 106,137,254.79
II. Post-employment welfare- defined
45,382,471.89 51,788,095.24 68,414,287.32 28,756,279.81
contribution plans
III. Other welfare due within one year 64,175,931.45 273,478.84 20,127,577.51 44,321,832.78
Total 261,647,666.99 383,891,173.64 466,323,473.25 179,215,367.38
(2) Short-term compensation
In RMB
Item Opening balance Increase during the year Decreased during the year Closing balance
1. Wages,bonuses,allowances and subsidies 122,910,648.82 261,648,398.00 304,829,109.98 79,729,936.84
2. Welfare for workers and staff 22,390,155.68 22,390,155.68
3. Social insurance 12,724,313.10 22,930,199.55 25,500,472.23 10,154,040.42
Including: Medical insurance 10,202,688.95 18,863,586.84 20,891,272.97 8,175,002.82
Work injury insurance 1,467,010.17 3,086,926.86 3,388,486.50 1,165,450.53
Maternity insurance 1,054,613.98 979,685.85 1,220,712.76 813,587.07
4. Housing accumulation fund 1,629,065.29 20,070,059.84 20,597,183.34 1,101,941.79
5. Labor union expenditure and
14,825,236.44 4,790,786.49 4,464,687.19 15,151,335.74
personnel education expense
Total 152,089,263.65 331,829,599.56 377,781,608.42 106,137,254.79
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(3) Defined contribution plans
In RMB
Item Opening balance Increase during the year Decreased during the year Closing balance
1. Basic endowment insurance 28,473,671.35 44,696,711.30 49,608,923.37 23,561,459.28
2. Unemployment insurance 2,676,796.54 3,378,402.10 3,708,105.11 2,347,093.53
3. Enterprise annuity 14,232,004.00 3,712,981.84 15,097,258.84 2,847,727.00
Total 45,382,471.89 51,788,095.24 68,414,287.32 28,756,279.81
Other explanation:
The Company participates in the pension insurance and unemployment insurance plans established by government
authorities by laws. Under these plans, the Company makes monthly contribution to these plans based on 14% and
2% of the social insurance contribution base for 2015 respectively. Other than the aforesaid monthly contribution,
the Company takes no further payment obligation. The relevant expenditure is included in current profit or loss or
cost of relevant assets when occurs. Found more of enterprise annuity in Note XV –other important event-4.‖
Annuity plan‖
26. Tax payable
In RMB
Item Closing balance Opening balance
Value-added tax 15,149,365.49 7,443,822.78
Business tax 7,854.20 12,246.55
Enterprise income tax 43,307,948.21 57,611,553.82
Individual income tax 8,001,578.00 511,928.33
Urban maintenance and construction tax 1,079,341.77 536,095.70
Educational surtax 770,933.69 382,925.51
Other (including stamp tax and local funds) 19,899,158.14 3,605,415.85
Total 88,216,179.50 70,103,988.54
27. Interest payable
In RMB
Item Closing balance Opening balance
Long-term borrowing interest for installment 1,705,300.00 211,300.00
Interest payable for short-term loans 198,388.89 538,261.12
Total 1,903,688.89 749,561.12
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28. Other payable
(1) Classification of other payable according to nature of account
In RMB
Item Closing balance Opening balance
Margin 19,103,922.70 18,982,787.34
Social insurance and reserves funds that withholding 3,010,007.02 3,409,055.83
Intercourse funds of units 32,069,575.15 38,296,346.93
Other 2,906,006.90 1,577,917.48
Total 57,089,511.77 62,266,107.58
(2) Significant other payable with over one year age
In RMB
Item Closing balance Reasons of un-paid or carry-over
Nanjing Jidian Industrial Group Co., Ltd. 4,500,000.00 Intercourse funds
Total 4,500,000.00 --
29. Other current liability
In RMB
Item Closing balance Opening balance
Sales discount 819,905.86 1,000,000.00
Technology service fee 1,268,901.00
Three-guarantee charge 9,299,541.71 7,880,169.55
Other 3,325,479.81 557,239.68
Total 13,444,927.38 10,706,310.23
30. Long-term loans
(1)Classification of long-term loans
In RMB
Item Closing balance Opening balance
Guaranteed loan 60,000,000.00 60,000,000.00
Total 60,000,000.00 60,000,000.00
Explanation on category of long-term loans:
The Company offering guarantee, and Weifu Tianli borrow the specific loans, contract rate of 4.98%
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31. Long-term account payable
(1) Listed by nature
In RMB
Item Closing balance Opening balance
Hi-tech Branch of Nanjing Finance Bureau [note 1] financial supporting capital (2005) 1,140,000.00 1,140,000.00
Hi-tech Branch of Nanjing Finance Bureau[note 2] financial supporting capital (2006) 1,250,000.00 1,250,000.00
Hi-tech Branch of Nanjing Finance Bureau[note 3] financial supporting capital (2007) 1,230,000.00 1,230,000.00
Loan transferred from treasury bond [note 4] 2,712,727.00 2,712,727.00
Hi-tech Branch of Nanjing Finance Bureau[note 5] financial supporting capital (2008) 2,750,000.00 2,750,000.00
Hi-tech Branch of Nanjing Finance Bureau[note 6] financial supporting capital (2009) 1,030,000.00 1,030,000.00
Hi-tech Branch of Nanjing Finance Bureau[note 7] financial supporting capital (2010) 960,000.00 960,000.00
Hi-tech Branch of Nanjing Finance Bureau[note 8] financial supporting capital (2011) 5,040,000.00 5,040,000.00
Hi-tech Branch of Nanjing Finance Bureau[note 9] financial supporting capital (2013) 2,740,000.00 2,740,000.00
Total 18,852,727.00 18,852,727.00
Other explanation:
[note 1] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 20 October 2005 to 20
October 2020. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be reimbursed.
[note 2] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 20 July 2006 to 20 July
2021. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be reimbursed.
[note 3] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 17 September 2007 to 17
September 2022. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be
reimbursed.
[note 4] Loan transferred from treasury bond: Weifu Jinning received RMB1.87 million Yuan of special funds from budget of the
central government, and RMB1.73 million Yuan of special funds from budget of the local government. The non-operating income
transferred in was 1.87 million Yuan in 2011 which was confirmed not to return, if the Company pays back special funds of 3.73
million Yuan to the local government in 11 years since 2012, then the Company needs to repay the principal of 339,091.00 Yuan
each year.
[note 5] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 10 November 2008 to 10
November 2023. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be
reimbursed.
[note 6] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 27 October 2009 to 27
October 2024. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be reimbursed.
[note 7] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 27 December 2010 to 27
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December 2025. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be
reimbursed.
[note 8] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 28 December 2011 to 28
December 2026. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be
reimbursed.
[note 9] To encourage Weifu Jinning to enter Nanjing High-tech Technology Industry Development Zone, financial supporting
capital is allotted by High-tech branch of Finance Bureau of Nanjing for supporting use, the term is from 18 December 2013 to 18
December 2028. Provided that the operation period in the zone is less than 15 years, financial supporting capital will be reimbursed.
32. Long-term employee payable
(1) Long-term employee payable
In RMB
Item Closing balance Opening balance
III. Other long-term welfare 69,000,000.00 69,000,000.00
Total 69,000,000.00 69,000,000.00
33. Special payable
In RMB
Increase during Decreased during
Item Opening balance Closing balance Causes
the year the year
Removal compensation of the
145,230,000.00 71,327,106.34 73,902,893.66
company [note1]
Removal compensation of
18,265,082.11 18,265,082.11
subsidiary Weifu Jinning [note 2]
Total 18,265,082.11 145,230,000.00 71,327,106.34 92,167,975.77 --
Other explanation:
[Note 1] According to the ―State-owned land use right of Wuxi City purchase contract‖ signed between parent
company and Wuxi Land Reserve Center, the two parties come to an agreement with the property attributable to
parent company, located in No.107, Renmin West Road, Wuxi City and No.125, Yunhe East Road, Wuxi City, as
well as the equipment unable to move, that is the company received RMB 503.8116 million for removal
compensation. RMB 7,900,000.00 was received in 2013 as relocation compensation, and RMB 509,264.71
occurred in removals was reckoned into non-operation revenue in last period. RMB 145,230,000.00 was received
in 2014 as relocation compensation, and RMB 152,620,735.29 occurred in removals was reckoned into
non-operation revenue in the period. Relocation compensation RMB 145,230,000.00 received in the period and
RMB 58,391,824.14 occurred in removal was reckoned into non-operation revenue in the period. Compensate due
to the removals, and purchasing new fixed assets RMB 12,935,282.20 has transferred to deferred income, the
assets accrual for depreciation RMB 573,539.54 in the Period has reckoned into non-operation revenue.
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[Note 2]Removal compensation of subsidiary Weifu Jinning: in line with regulation of the house acquisition
decision of People’s government of Xuanwu District, Nanjing City, Ning Xuan Fu Zheng Zi (2012) No.001, part
of the lands and property of Weifu Jingning needs expropriation in order to carry out the comprehensively
improvement of Ming Great Wall. According to the house expropriation and compensation agreement in
state-owned lands signed between Weifu Jinning and House Expropriation Management Office of Xuanwu
District, Nanjing City, RMB 19.7067 million in total are compensate, including operation losses from lessee RMB
1.4416 million in total. The above compensation was received in 2013 and is making up for the losses from lessee,
and the above lands and property have not been collected up to the end of the Period.
34. Deferred income
In RMB
Increase during Decreased
Item Opening balance Closing balance Causes
the year during the year
Government grand 228,792,442.75 2,104,600.00 721,000.30 230,176,042.45 Fiscal appropriation received
Removals Transfer from specific
12,935,282.20 573,539.54 12,361,742.66
capitalization cost account payable
Total 228,792,442.75 15,039,882.20 1,294,539.84 242,537,785.11 --
Item with government grants involved:
In RMB
New Amount
grants in reckoned in Other Assets-related/i
Item Opening balance Ending balance
the non-operation changes ncome related
Period revenue
Appropriation on industrialization project of
electrical control and high voltage jet VE 5,768,002.36 721,000.30 5,047,002.06 Assets related
system of low emissions diesel
R&D subsidy for new products 27,188,955.02 27,188,955.02 Income related
Appropriation on reforming of production
line technology and R&D ability of
7,100,000.00 7,100,000.00 Assets related
common rail system for diesel by
distributive high-voltage
Fund of industry upgrade (2012) 60,400,000.00 60,400,000.00 Income related
Fund of industry upgrade (2013) 60,520,000.00 60,520,000.00 Income related
Appropriation on central basic construction
5,000,000.00 5,000,000.00 Assets related
investment
R&D and industrialization of the high
pressure variable pump of the common rail 11,050,000.00 11,050,000.00 Assets related
system of diesel engine for automobile
Research institute of motor vehicle exhaust
4,000,000.00 4,000,000.00 Assets related
aftertreatment technology
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Fund of industry upgrade (2014) 36,831,000.00 36,831,000.00 Assets related
2,104,60
Other 10,934,485.37 13,039,085.37 Assets related
0.00
2,104,60
Total 228,792,442.75 721,000.30 230,176,042.45 --
0.00
Other explanation:
1. Appropriation on industrialization project of electrical control and high voltage jet VE system of low emissions diesel: in
September 2009, Weifu Jinning signed ―Project Contract of Technology Outcome Transferring Special Capital in Jiangsu Province‖
with Nanjing Technical Bureau, according to which Weifu Jinning received appropriation RMB 6.35 million in 2009, RMB 4.775
million received in 2010 and RMB 0.875 million received in 2011. According to the contract, the attendance date of this project was:
from October of 2009 to March of 2012. This contract agreed 62% of newly increased investment in project would be spent in fixed
assets investment which are belongs to the government grand with assets/income concerned. In 2013, accepted by the science &
technology agency of Jiangsu Province, and RMB 4,789,997.04 with income related was reckoned into current operation revenue
directly; the RMB 7,210,002.96 with assets related was amortized during the predicted service period of the assets, RMB 721,000.30
amortized in2014, and RMB 721,000.30 amortized in the Period
2. R&D subsidy for new products: in 2011, the subsidy for R&D of new products are received from Wuxi New Financial Bureau by
the parent company for year of 2012 to 2013, grants amounting to RMB 48.5 million, and with income concerned. The Company
transfer-in non-operation revenue of RMB7, 420,891.69 in 2012 while RMB 3,410,293.07 in 2013, and RMB37, 668,815.24 remains.
On 20 December 2013, the Company applied for orderly utilization in 2014 and later years in aspect of the un-used parts, mainly use
for Euro IV and above R&D for the diesel system in later years, as well as the R&D items of engine electrical components, NRM,
kernel components and process optimization. And the application was approved by Enterprise Service Bureau of Wuxi New District
in 2013. In the Period, expenses for new product’s R&D amounting to RMB 10,479,860.22, and RMB 10,479,860.22 transfer-in
non-operational revenue in the Period.
3. Appropriation on reforming of production line technology and R&D ability of common rail system for diesel by distributive
high-voltage: in 2011, specific fund RMB 7.1 million was allocated from Wuxi New Zone Financial Bureau.
4. Industry upgrading funds (2012): In accordance with the document Xi Xin Guanjing Fa [2012] No.216 and Document Xi Xin
Guancai Fa [2012] No. 85, the Company received funds of 60.4 million Yuan appropriated for industry upgrading this year.
5. Industry upgrading funds (2013): In accordance with the document Xi Xin Guan Jing Fa [2013] No.379, Xi Xin Guan Jing Fa
[2013] No.455, Xi Xin Guan Cai Fa [2013] No.128 and Xi Xin Guan Cai Fa [2013] No.153, the Company received funds of 60.52
million Yuan appropriated for industry upgrading in 2013.
6. Appropriation for investment of capital construction from the central government: In accordance with the document Xi Caijian
[2012] No.43, the Company received appropriation of 5 million Yuan for investment of capital construction from the central
government in 2012.
7. R&D and industrialization of the high pressure variable pump of the common rail system of diesel engine for automobile: the
Company received appropriated for the project in 2013 with 8.05 million Yuan in line with documents of Xi Ke Ji [2013] No.186, Xi
Ke Ji [2013] No.208, Xi Cai Gong Mao [2013] No.104 and Xi Cai Gong Mao [2013] No.138. In the period, RMB 3 million received.
And belongs to government grand with assets concerned, and shall be amortized in the use of period for assets after project
completed. Project terms from September 2013 to August 2016.
8. Research institute of motor vehicle exhaust aftertreatment technology: the appropriation received by Weifu Leader from research
institute of motor vehicle exhaust aftertreatment technology
9. Industry upgrading funds (2014): In accordance with the document Xi Xin Guan Jing Fa [2014] No.427 and Xi Xin Guan Cai Fa
[2014] No.143, the Company received funds of 36.831 million Yuan appropriated for industry upgrading in the Period
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35. Share capital
In RMB
Changeduringthe year(+,-)
Opening balance New shares Shares transferred from Closing balance
Bonus share Other Subtotal
issued capital reserve
Total shares 1,020,200,992.00 1,020,200,992.00
36. Capital reserve
In RMB
Increase during Decreased during
Item Opening balance Closing balance
the year the year
Capital premium (Share capital premium) 3,610,959,358.19 3,610,959,358.19
Other Capital reserves 24,725,054.85 24,725,054.85
Total 3,635,684,413.04 3,635,684,413.04
37. Other consolidated income
In RMB
Amount of this period
Less: written
in other
comprehensi
ve income in
Belong to Closing
Account before previous
Item Opening balance minority
period and Less : income tax Belong to parent balance
income tax in the sharehold
carried expense company after tax
ers after
year forward to
tax
gains and
losses in
current
period
Other comprehensive
income items which will
be reclassified 121,598,365.00 145,637,550.00 21,845,632.50 123,791,917.50 245,390,282.50
subsequently to profit or
loss
Gains or
losses arising from
changes in fair value of 121,598,365.00 145,637,550.00 21,845,632.50 123,791,917.50 245,390,282.50
available-for-sale
financial assets
125
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Total of other
121,598,365.00 145,637,550.00 21,845,632.50 123,791,917.50 245,390,282.50
consolidated income
38. Reasonable reserve
In RMB
Increase during the Decrease during this
Item Opening balance Closing balance
period period
Safety production costs 867,353.00 8,970,134.08 9,134,154.53 703,332.55
Total 867,353.00 8,970,134.08 9,134,154.53 703,332.55
39. Surplus reserves
In RMB
Increase during the Decrease during this
Item Opening balance Closing balance
period period
Statutory surplus reserves 510,100,496.00 510,100,496.00
Total 510,100,496.00 510,100,496.00
40. Retained profit
In RMB
Item This period Last period
Retained profits at the end of last year before adjustment 5,570,583,069.92 4,416,658,298.29
Retained profits at the beginning of the year after adjustment 5,570,583,069.92 4,416,658,298.29
Add: The net profits belong to owners of patent company of this period 1,045,987,200.83 1,539,439,686.81
Less: Withdraw legal surplus reserves 76,491,808.24
Common dividend payable 408,080,396.80 306,060,297.60
Withdraw employee motivation and welfare fund 2,962,809.34
Retained profit at period-end 6,208,489,873.95 5,570,583,069.92
Details about adjusting the retained profits at the beginning of the period:
1) The retroactive adjustments to Accounting Standards for Business Enterprises and its relevant new regulations affect the retained
profits at the beginning of the period amounting to 0 Yuan.
2) The changes in accounting policies affect the retained profits at the beginning of the period amounting to 0 Yuan.
3) The major accounting error correction affects the retained profits at the beginning of the period amounting to 0 Yuan
4) Merge scope changes caused by the same control affect the retained profits at the beginning of the period amounting to 0 Yuan.
5) Other adjustments affect the retained profits at the beginning of the period amounting to 0 Yuan
126
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
41. Operating income and cost
In RMB
Amount of this period Amount of last period
Item
Income Cost Income Cost
Main operating 3,191,384,324.10 2,486,566,408.51 3,286,301,950.71 2,469,244,190.19
Other operating 199,053,599.54 157,072,625.17 243,517,904.92 199,303,447.26
Total 3,390,437,923.64 2,643,639,033.68 3,529,819,855.63 2,668,547,637.45
42. Business tax and surcharges
In RMB
Item Amount of this period Amount of last period
Business tax 105,118.36 132,235.73
City maintenance and construction tax 9,367,404.21 12,722,422.40
Educational surtax 6,691,003.08 9,088,616.26
Total 16,163,525.65 21,943,274.39
43. Sales expenses
In RMB
Item Amount of this period Amount of last period
Salary and fringe benefit 14,453,820.10 16,074,626.30
Consumption of office materials and business travel charge 4,060,067.70 5,132,587.67
Transportation charge 16,876,111.42 15,464,872.07
Warehouse charge 7,832,128.68 4,947,905.01
Three-guarantee fee 35,199,612.15 55,811,673.82
Other 6,693,072.64 5,162,662.62
Total 85,114,812.69 102,594,327.49
44. Administration expenses
In RMB
Item Amount of this period Amount of last period
Salary and fringe benefit 115,885,283.08 112,939,535.27
Depreciation charger and long-term assets amortization 23,862,832.96 17,225,788.77
Consumption of office materials and business travel charge 10,193,844.89 11,517,091.05
127
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Tax 7,575,179.96 7,229,170.26
Other 136,256,936.92 195,328,291.10
Total 293,774,077.81 344,239,876.45
45. Financial expenses
In RMB
Item Amount of this period Amount of last period
Interest expenses 7,568,318.34 10,054,081.24
Note discount interest expenses 1,085,681.85 3,686,643.42
Saving interest income -24,019,365.88 -30,149,038.17
Gains/losses from exchange 9,581,587.54 518,088.44
Handling charges 1,616,408.48 580,268.02
Total -4,167,369.67 -15,309,956.65
46. Asset impairment loss
In RMB
Item Amount of this period Amount of last period
I. Bad debt loss 251,287.53 171,739.23
II. Inventory falling price loss 9,642,246.99
III. Impairment loss of fixed assets 0.03
Total 251,287.53 9,813,986.25
47. Investment income
In RMB
Item Amount of this period Amount of last period
Income of long-term equity investment calculated based on equity 606,080,898.87 516,186,307.98
Investment income from holding financial assets available for sales 74,212,675.77 20,864,274.00
Investment income from disposal of financial assets available for sales 102,044,890.13
Total 782,338,464.77 537,050,581.98
128
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
48. Non-operating income
In RMB
Amount reckoned into current
Item Amount of this period Amount of last period
non-recurring gains/losses
Non-current assets disposal gains 16,067,700.28 490,048.81 16,067,700.28
Including: fixed assets disposal gains 16,067,700.28 490,048.81 16,067,700.28
Government subsidy 60,694,363.98 6,697,146.38 60,694,363.98
Other 435,953.35 1,764,039.53 435,953.35
Total 77,198,017.61 8,951,234.72 77,198,017.61
Government subsidy reckoned into current gains/losses:
In RMB
Assets
Amount of this Amount of
Item related/Income
period last period
related
Industrialization project for injection VE pump system with electronically
721,000.30 Assets related
controlled high pressure for less-emission diesel used
Support incentive of technological enterprise innovation 820,000.00 Income related
Funding of the post-doctor of Ningbo for year of 2014 100,000.00 Income related
Reward of the key small and micro businesses of Wuxi for year of 2014 46,000.00 Income related
Budget subsidy of the Sharpened Teeth of Jiangbei District, Ningbo for
30,000.00 Income related
year of 2014
Patent license subsidy of the management committee of Jiangbei District,
12,000.00 Income related
Ningbo for 2014.7-2014.10
Assets
Compensation for the removals losses of parent company 58,965,363.68 5,159,046.38 related/Income
related
Special transformation of the key industrial technology for year of 2013 630,000.00 Income related
Appropriations matching funds of the special transformation of the key
505,600.00 Income related
industrial technology of Ningbo for year of 2013
Special funding of the enterprise technology innovation team of Ningbo for
200,000.00 Income related
year of 2013
Contribution rewards of the industrial corporation tax 100,000.00 Income related
Budget funding of the Post-doctor work station of the City-level for year of
80,000.00 Income related
2013
Green business subsidy 20,000.00 Income related
Grand of licensing area of the management committee of Jiangbei District,
2,500.00 Income related
Ningbo for 2013.1-8, the grand of licensing city for 2013.4-8
Total 60,694,363.98 6,697,146.38 --
129
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
49. Non-operating expenditure
In RMB
Amount reckoned into current
Item Amount of this period Amount of last period
non-recurring gains/losses
Non-current assets disposal losses 814,848.79 300,543.56 814,848.79
Including: fixed assets disposal losses 814,848.79 300,543.56 814,848.79
Donations 13,500.00
Relocation expenses of parent company 53,835,107.52 5,159,046.38 53,835,107.52
Local fund etc. 2,117,680.69 2,235,964.79
Other expenditures 156,706.71 225,972.21 156,706.71
Total 56,924,343.71 7,935,026.94 54,806,663.02
50. Income tax expense
(1) Statement of income tax expense
In RMB
Item Amount of this period Amount of last period
Current income tax expense 85,350,566.93 71,674,064.97
Adjusted the previous income tax -3,950,301.30 -173,861.60
Increase/decrease of deferred income tax assets 6,840,468.91 -5,707,214.02
Increase/decrease of deferred income tax liability -55,516.50 -55,516.50
Total 88,185,218.04 65,737,472.85
(2) Adjustment on accounting profit and income tax expenses
In RMB
Item Amount of this period
Total profit 1,158,274,694.62
Income tax measured by statutory/applicable tax rate 173,741,204.19
Impact by different tax rate applied by subsidaies -895,329.98
Adjusted the previous income tax -3,950,301.30
Impact by non-taxable revenue -92,712,179.07
The deductible temporary differences or deductible losses of the un-recognized deferred income
5,814,786.41
tax assets in the Period
Other 6,187,037.79
Income tax expense 88,185,218.04
130
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
51. Other comprehensive income
See Note VII. 37 ― Other comprehensive income‖.
52. Items of statement of cash flow
(1) Other cash received in relation to operation activities
In RMB
Item Amount of this period Amount of last period
Income from bank deposit interest 23,562,295.35 75,550,916.02
Operational government subsidy 3,112,600.00 4,411,100.00
Other 123,385.67 1,412,322.63
Total 26,798,281.02 81,374,338.65
(2) Other cash paid in relation to operation activities
In RMB
Item Amount of this period Amount of last period
Expenses of sales cash paid 42,799,085.61 65,832,960.05
Expenses of management cash paid 77,452,273.07 121,618,644.64
Other 1,561,600.71 1,508,077.92
Total 121,812,959.39 188,959,682.61
(3) Cash received from other investment activities
In RMB
Item Amount of this period Amount of last period
Relocation compensation received 145,230,000.00
Total 145,230,000.00
(4) Cash paid related with investment activities
In RMB
Item Amount of this period Amount of last period
Relocation expenses paid 37,388,366.46 5,159,046.38
Clearing amount paid for minority of the Weifu Nano and Weifu Jialin 10,189,542.80
Total 37,388,366.46 15,348,589.18
131
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
53. Supplementary information to statement of cash flow
(1) Supplementary information to statement of cash flow
In RMB
Supplementary information This Period Last Period
1. Net profit adjusted to cash flow of operation activities: -- --
Net profit 1,070,089,476.58 870,320,027.16
Add: Assets impairment provision 251,287.53 9,813,986.25
Depreciation of fixed assets, consumption of oil assets and depreciation
90,133,118.81 93,671,385.31
of productive biology assets
Amortization of intangible assets 7,527,399.00 5,761,498.49
Amortization of long-term deferred expenses 3,294,049.37 3,558,070.69
Loss from disposal of fixed assets, intangible assets and other long-term
-15,252,851.49 -189,505.25
assets(gain is listed with ―-‖)
Loss of disposing fixed assets(gain is listed with ―-‖) -5,130,256.16
Financial expenses (gain is listed with ―-‖) 7,568,318.34 10,054,081.24
Investment loss (gain is listed with ―-‖) -782,338,464.77 -537,050,581.98
Decrease of deferred income tax asset( (increase is listed with ―-‖) 6,840,468.91 -5,707,214.02
Increase of deferred income tax liability (decrease is listed with ―-‖) -55,516.50 6,094,483.50
Decrease of inventory (increase is listed with ―-‖) 153,225,376.86 88,331,275.28
Decrease of operating receivable accounts (increase is listed with ―-‖) -227,343,576.83 -603,544,712.40
Increase of operating payable accounts (decrease is listed with ―-‖) 129,477,321.20 452,499,315.14
Net cash flow arising from operating activities 438,286,150.85 393,612,109.41
2. Material investment and financing not involved in cash flow -- --
3. Net change of cash and cash equivalents: -- --
Balance of cash at period end 1,401,913,809.50 2,177,714,731.07
Less: Balance of cash equivalent at year-begin 2,028,227,816.93 2,288,739,620.44
Net increasing of cash and cash equivalents -626,314,007.43 -111,024,889.37
(2) Constitution of cash and cash equivalent
In RMB
Item Closing balance Opening balance
Ⅰ. Cash 1,401,913,809.50 2,028,227,816.93
Including: stock cash 774,120.49 820,195.99
Bank deposit available for payment at any time 1,401,139,689.01 2,027,407,620.94
Ⅲ. Balance of cash and cash equivalent at period-end 1,401,913,809.50 2,028,227,816.93
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
54. Notes of changes of owners’ equity
Explain the name and adjusted amount in ―Other‖ at end of last year:
Not applicable
55. Assets with ownership or use right restricted
In RMB
Item Book value at Period-end Reason
Monetary fund 22,156,898.08 margins paid for opening the LC
Notes receivable 14,934,079.43 Notes pledge for opening bank acceptance bill
Monetary fund 39,788,452.45 Margins paid and NCD pledge for opening bank acceptance bill
Total 76,879,429.96 --
56. Item of foreign currency
(1) Item of foreign currency
In RMB
Item Closing balance of foreign currency Rate of conversion Ending RMB balance converted
Monetary fund
Including: USD 1,305.25 6.1136 7,979.78
EUR 163,057.10 6.8699 1,120,186.04
JPY 9.00 0.050052 0.45
Accounts receivable
Including: USD 2,435,886.38 6.1136 14,892,034.97
EUR 1,763,405.10 6.8699 12,114,416.70
JPY 3,420,198.57 0.050052 171,187.78
Accounts payable
Including: USD 961,254.05 6.1136 5,876,722.76
EUR 6,598,400.20 6.8699 45,330,349.53
JPY 141,017,522.93 0.050052 7,058,209.06
(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
133
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
57. Hedging
Disclosed the hedging projects and relevant hedging instrument by category, the qualitative and quantitative information of the
hedged risk: Nil
58. Other
VIII. Changes of consolidation range
1. Other reasons for consolidation range changed
Reasons for changed on consolidation range (such as new subsidiary established, subsidiary liquidated etc.)And relevant information:
(1) Weifu Nano cancel in February 2014, the profit statement and cash flow statement from 2014-begin to date of the cancelled
included in consolidated statement for the Period;
(2) Weifu Jialin cancel in April 2014, the profit statement and cash flow statement from 2014-begin to date of the cancelled included
in consolidated statement for the Period
2. Other
Nil
IX. Equity in other entity
1. Equity in subsidiary
(1) Constitute of enterprise group
Main Share-holding ratio
Registered
Subsidiary operation Business nature Acquired way
place Directly Indirectly
place
Spare parts of Enterprise merger under
Weifu Jinning Nanjing Nanjing 80.00%
internal-combustion engine the same control
Automobile exhaust purifier, Enterprise merger under
Weifu Leader Wuxi Wuxi 94.81%
muffler the same control
Spare parts of
Weifu Mashan Wuxi Wuxi 100.00% Investment
internal-combustion engine
Spare parts of
Weifu Chang’an Wuxi Wuxi 100.00% Investment
internal-combustion engine
Weifu Diesel Spare parts of
Wuxi Wuxi 100.00% Investment
System internal-combustion engine
Weifu
Enterprise merger under
International Wuxi Wuxi International trade 100.00%
the same control
Trade
Spare parts of Enterprise merger not
Weifu ITM Wuxi Wuxi 100.00%
internal-combustion engine under the same control
Spare parts of
Weifu Schmidt Wuxi Wuxi 66.00% Investment
internal-combustion engine
Spare parts of Enterprise merger not
Weifu Tianli Ningbo Ningbo 51.00%
internal-combustion engine under the same control
134
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Spare parts of
Weifu Tianshi Quanjiao Quanjiao 52.00% Investment
internal-combustion engine
Spare parts of Enterprise merger not
Kunming Xitong Kunming Kunming 70.00%
internal-combustion engine under the same control
Spare parts of Enterprise merger not
Weifu Autocam Wuxi Wuxi 51.00%
internal-combustion engine under the same control
Explanation on share-holding ratio in subsidiary different from ratio of voting right:
Nil
(2) Important non-wholly-owned subsidiary
In RMB
Dividend announced to
Share-holding ratio of Gains/losses attributable Ending equity of
Subsidiary distribute for minority in
minority to minority in the Period minority
the Period
Weifu Jinning 20.00% 4,831.26 4,000,000.00 142,869,477.05
Weifu Schmidt 34.00% -716,103.03 10,097,240.43
Weifu Leader 5.19% 7,308,873.14 63,768,846.80
Weifu Tianli 49.00% 364,064.34 95,186,244.59
Weifu Tianshi 48.00% -586,957.71 1,171,598.53
Kunming Xitong 30.00% -124,943.22 2,141,847.63
Weifu Autocam 49.00% 17,852,510.97 117,356,800.37
Explanation on share-holding ratio of minority different from ratio of voting right:
Nil
(3) Main finance of the important non-wholly-owned subsidiary
In RMB
Closing balance Opening balance
Subsi Non-curr Non-cur Non-curr Non-cur
diary Current Total Current Total Current Total Current Total
ent rent ent rent
assets assets liability liability assets assets liability liability
assets liability assets liability
Weifu
604,196,5 316,886, 921,082,9 163,582,2 42,164, 205,747,0 591,653,4 371,845, 963,499,3 184,841, 42,885, 227,727,
Jinnin
54.60 423.45 78.05 29.76 811.17 40.93 98.30 843.07 41.37 569.18 811.47 380.65
g
Weifu
42,867,76 26,939,8 69,807,65 39,661,53 39,661,53 56,067,71 23,508,2 79,575,98 47,420,3 47,420,3
Schmi 0.00
9.26 89.81 9.07 5.14 5.14 6.60 68.97 5.57 88.20 88.20
dt
Weifu
1,664,765 625,715, 2,290,480 1,050,665 11,234, 1,061,900 1,391,329 557,325, 1,948,654 851,770, 9,130,1 860,900,
Leade
,285.49 079.45 ,364.94 ,738.10 766.33 ,504.43 ,401.22 015.01 ,416.23 461.50 66.33 627.83
r
Weifu 234,095,3 206,970, 441,066,2 180,827,8 65,805, 246,633,4 206,526,7 193,754, 400,281,3 140,602, 65,861, 206,463,
Tianli 25.22 876.53 01.75 09.66 678.94 88.60 75.18 562.75 37.93 153.44 195.44 348.88
135
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Weifu
12,996,57 2,102,69 15,099,27 12,658,44 12,658,44 12,528,44 2,161,50 14,689,95 11,026,2 11,026,2
Tians 0.00
8.37 2.86 1.23 0.95 0.95 3.40 7.74 1.14 92.29 92.29
hi
Kunm
ing 8,605,175 1,357,51 9,962,689 2,815,123 2,815,123 17,027,48 1,513,60 18,541,08 10,977,0 10,977,0
0.00
Xiton .02 4.46 .48 .72 .72 1.72 0.24 1.96 38.79 38.79
g
Weifu
173,534,6 146,707, 320,242,1 83,463,65 83,463,65 146,304,9 133,131, 279,436,4 96,280,4 96,280,4
Autoc 0.00
08.00 522.40 30.40 4.01 4.01 56.30 538.91 95.21 30.97 30.97
am
In RMB
Amount of this period Amount of last period
Subsidiar Cash flow Cash flow
Total Total
y Operation from Operation from
Net profit comprehensiv Net profit comprehensiv
Income operation Income operation
e income e income
activity activity
Weifu 73,556,860.1
174,054,625.68 -185,538.54 -185,538.54 540,245,713.87 63,351,827.17 63,351,827.17 5,412,351.45
Jinning 0
Weifu -2,886,241.4 -10,895,382.0
18,491,795.86 -2,101,294.96 -2,101,294.96 71,911,452.89 12,956.61 12,956.61
Schmidt 9 8
Weifu 1,325,968,298. 140,826,072.1 140,826,072.1 1,684,437,672. 163,423,606.6 163,423,606.6 41,697,263.3
9,548,896.25
Leader 36 1 1 19 5 5 1
Weifu
123,440,877.63 588,351.07 588,351.07 2,658,537.39 186,095,541.06 484,794.46 484,794.46 -3,629,929.33
Tianli
Weifu -1,233,489.2
2,803,490.60 -1,222,828.57 -1,222,828.57 19,646,403.45 -1,432,928.06 -1,432,928.06 646,895.68
Tianshi 1
Kunming
3,045,435.88 -416,477.41 -416,477.41 361,596.54 32,262,763.83 -869,230.02 -869,230.02 239,171.87
Xitong
Weifu 50,096,705.9 76,779,530.4
177,429,223.63 36,423,818.15 36,423,818.15 318,323,994.15 59,256,186.83 59,256,186.83
Autocam 3 6
2. Transaction that has owners equity shares changed in subsidiary but still with controlling rights
(1) Owners equity shares changed in subsidiary
Nil
136
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
3. Equity in joint venture and cooperative enterprise
(1) Important joint venture and cooperative enterprise
Main Share-holding Accounting treatment on
Registered ratio
Name operation Business nature investment for joint venture
place
place Directly Indirectly and cooperative enterprise
I.Joint venture
Wuxi Weifu Environment Protection
Catalyst Co., Ltd.(referred to as " Wuxi Wuxi Catalyst 49.00% Equity method
Weifu Environment Protection‖)
II. Cooperative enterprise
Internal
RBCD (referred to as " Bosch Diesel
Wuxi Wuxi combustion engine 34.00% Equity method
System ")
and attachment
Zhonglian Automobile Electronic Internal
Co., Ltd(referred to as " Zhonglian Shanghai Shanghai combustion engine 20.00% Equity method
Automobile ") and attachment
Wuxi Weifu Fine Machinery Internal
Manufacturing Co., Ltd. (referred to Wuxi Wuxi combustion engine 20.00% Equity method
as " Weifu Fine Machinery ") and attachment
Share-holding ratio or shares enjoyed different from voting right ratio:
Nil
Basis of the voting rights with 20% below but with major influence, or without major influence but with over 20% (20% included)
voting rights hold:
Nil
(2) Main financial information of the important joint venture
In RMB
Closing balance /Amount of this Opening balance /Amount of
period last period
Weifu Environment Protection Weifu Environment Protection
Current assets 1,333,663,595.26 907,115,481.36
Including: cash and cash equivalents 29,589,957.16 25,800,231.27
Non -current assets 94,745,582.35 87,095,164.09
Total assets 1,428,409,177.61 994,210,645.45
Current liabilities 682,974,035.84 312,376,648.90
Non –current liabilities 12,373,000.00 12,418,000.00
Total liabilities 695,347,035.84 324,794,648.90
Attributable to parent company shareholders’ equity 733,062,141.77 669,415,996.55
Share of net assets calculated by shareholding ratio 359,200,449.48 328,013,838.31
Book value of equity investment in joint ventures 359,200,449.48 328,013,838.31
Operation income 1,051,026,112.86 1,312,844,298.84
137
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Financial expense 23,845,029.05 32,808,775.34
Income tax expense 15,166,793.77 19,540,258.94
Net profit 66,995,942.34 111,853,619.05
Total comprehensive income 66,995,942.34 111,853,619.05
Dividends received from joint venture in the year
(3) Main financial information of the important cooperative enterprise
In RMB
Closing balance /Amount of this period Opening balance /Amount of last period
Bosch Diesel Zhonglian Weifu Fine Bosch Diesel Zhonglian Weifu Fine
System Automobile Machinery System Automobile Machinery
Current assets 4,517,479,173.00 727,824,072.95 208,315,986.43 5,404,320,593.00 91,942,833.35 144,868,443.01
Non -current
2,960,128,831.00 2,660,208,782.20 168,016,896.39 2,990,008,607.00 2,591,466,379.52 174,849,484.64
assets
Total assets 7,477,608,004.00 3,388,032,855.15 376,332,882.82 8,394,329,200.00 2,683,409,212.87 319,717,927.65
Current liabilities 2,661,188,618.00 4,148,473.61 151,299,341.66 2,059,311,012.00 20,864,287.88 111,182,775.02
Non –current
2,376,000.00 2,376,000.00
liabilities
Total liabilities 2,661,188,618.00 6,524,473.61 151,299,341.66 2,059,311,012.00 23,240,287.88 111,182,775.02
Attributable to
parent company
4,816,419,386.00 3,381,508,381.54 225,033,541.16 6,335,018,188.00 2,660,168,924.99 208,535,152.63
shareholders’
equity
Share of net
assets calculated
1,637,582,591.24 676,301,676.31 45,006,708.23 2,153,906,183.92 532,033,785.00 41,707,030.53
by shareholding
ratio
--Goodwill 267,788,761.35 1,407,265.96 267,788,761.35 1,407,265.96
--Unrealized
profit of internal -5,515,628.79 -10,419.72 -9,317,224.00 -22,640.00
trading
--Other -529,034.05 -529,034.05
Book value of
equity investment 1,899,855,723.80 677,708,942.27 44,467,254.46 2,412,377,721.27 533,441,050.96 41,155,356.48
in joint ventures
Operation income 5,291,426,049.00 3,885,020.44 113,163,699.52 9,809,093,936.00 9,986,411.79 217,295,193.62
Net profit 1,239,568,252.00 721,344,954.17 16,498,388.53 1,846,063,493.00 1,027,126,362.54 28,861,636.66
Total
comprehensive 1,239,568,252.00 721,344,954.17 16,498,388.53 1,846,063,493.00 1,027,126,362.54 28,861,636.66
income
Dividends
received from
641,416,774.00 116,000,000.00 3,600,000.00
joint venture in
the year
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
X. Risk related with financial instrument
Main financial instrument of the Company including equity investment, loans, account receivable, account
payable etc., more details of the financial instrument can be found in relevant items of Note VII. Risks concerned
with the above mentioned financial instrument, and the risk management policy takes for lower the risks are as
follow:
Aims of engaging in the risk management is to achieve equilibrium between the risk and benefit, lower the
adverse impact on performance of the Company to minimum standards, and maximized the benefit for
shareholders and other investors. Base on the risk management targets, the basic tactics of the risk management is
to recognized and analyzed the vary risks that the Company counted, established an appropriate risk exposure
baseline and carrying risk management, supervise the vary risks timely and reliably in order to control the risk in a
limited range.
In business process, the risks with financial instrument concerned happen in front of the Company mainly
including credit exposure, market risk and liquidity risk. BOD of the Company take full charge of the risk
management target and policy-making, and takes ultimate responsibility for the target of risk management and
policy. Risk management department and financial control department manager and monitor those risk exposure
to ensuring the risks are control in a limited range.
1. Credit Risk
Credit risk refers to the one party fails to perform the obligation of the financial instruments, form the other party
company mainly face credit risk for financial loss caused by the customer credit risks. In order to prevent the risks,
the Company formulated an evaluation system for the new client’s credit and system to analyze the book credit for
regular customer. The evaluation system for the new client’s credit aims at the new clients, the Company will
conduct an background investigation based on the established process, with purpose of determine whether offer
credit limit to the client and the amount of the credit and credit terms or not. Whereby, the Company setting a
credit limits and credit period for every new client, and such limit is the maximum amount without additional
approval. The system to analyze the book credit for regular customer refers to after purchase order received by
regular customer, the Company will examine the order amount and outstanding balance, if the total over the credit
limit, on the premise of additional approval, sales on account shall be realized, or prepayments for relevant
amount shall be required.
Furthermore, as for the sales on account occurred, the Company will guarantee the total credit risks in a
controlling range by analyzed and review the monthly report of the risk attention for account receivables.
The maximum credit risk exposure of the Company is the book amount of such financial assets, till end of 30 June
2015; lists of the maximum credit risk exposure of the Company are as:
Item Amount of merge Amount of parent company
Accounts receivable 1,546,817,238.25 641,922,327.09
Other receivables 15,172,861.64 90,139,174.28
2. Market risk
Market risk of the financial instrument refers to the fair value of financial instrument or future cash flow due to
fluctuations in the market price changes and produces, mainly includes the IRR, FX risk and other price risk.
(1) Interest rate risk (IRR)
IRR refers to the fluctuate risks on Company’s financial status and cash flow arising from rates changes in market.
IRR of the Company mainly related with the bank loans. In order to lower the fluctuate of IRR, the Company, in
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
line with the anticipative change orientation, choose floating rate or fixed rate, that is the rate in future period will
goes up prospectively, than choose fixed rate; if the rate in future period will decline prospectively, than choose
the floating rate. In order to minor the bad impact from difference between the expectation and real condition,
loans for liquid funds of the Company are choose the short-term period, and agreed the terms of prepayment in
particular.
(2) Foreign exchange (FX) risk
FX risks refer to the losses arising from exchange rate movement. The FX risk sustain by the Company mainly
related with the USD, EUR, SF and JPY, except for the USD, EUR, SF and JPY carried out for the equipment
purchasing of parent company and Autocam, system material purchasing from Weifu Diesel, system technical
service and trademark usage costs from Weifu Diesel and the import and export of Weifu International Trade,
other main business of the Company are pricing and settle with RMB (Yuan). In consequence of the foreign
financial assets and liabilities takes minor ratio in total assets, the Company has small FX risk of the financial
instrument, considered by management of the Company.
End as 30 June 2015, except for the follow assets or liabilities listed with foreign currency, assets and liabilities of
the Company are carried with RMB
①Foreign currency assets of the Company till end of 30 June 2015
Ending foreign
Item Convert rate Ending RMB balance converted Ratio in assets(%)
currency balance
Monetary fund
Including: USD 1,305.25 6.1136 7,979.78 0.00
EUR 163,057.10 6.8699 1,120,186.04 0.01
JPY 9.00 0.050052 0.45 0.00
Accounts receivable
Including: USD 2,435,886.38 6.1136 14,892,034.97 0.10
EUR 1,763,405.10 6.8699 12,114,416.70 0.08
JPY 3,420,198.57 0.050052 171,187.78 0.00
Total ratio in assets 0.19
②Foreign currency liabilities of the Company till end of 30 June 2015
Ending foreign
Item Convert rate Ending RMB balance converted Ratio in liabilities(%)
currency balance
Accounts payable
Including: USD 961,254.05 6.1136 5,876,722.76 0.17
EUR 6,598,400.20 6.8699 45,330,349.53 1.33
JPY 141,017,522.93 0.050052 7,058,209.06 0.21
Total ratio in liabilities 1.71
③Other pricing risk
Classification of the Company held is the equity investments in financial assets available for sale, and such
investment can be measured by fair value on balance sheet date, thus, the Company owns a risks of stock market
changes.
Furthermore, on the premise of deliberated and approved in 16th meeting of 7th session of the Board, the
Company exercise entrust financing with the self-owned idle capital; therefore, the Company has the risks of
collecting no principal due to entrust financial products default. Aims at such risk, the Company formulated a
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
―Management Mechanism of Capital Financing‖, and well-defined the authority approval, investment
decision-making, calculation management and risk controls for the entrust financing in order to guarantee a
security funds and prevent investment risk efficiently. In order to lower the adverse impact from unpredictable
factors, the Company choose short-term and medium period for investment and investment product’s term is up to
3 years in principle; in variety of investment, the Company did not invested for the stocks, derivative products,
security investment fund and the entrust financial products aims at security investment as well as other investment
with securities concerned.
3. Liquidity risk
Liquidity risk refers to the capital shortage risk occurred during the clearing obligation implemented by the
enterprise in way of cash paid or other financial assets. The Company aims at guarantee the Company has rich
capital to paid the due debts, therefore, a financial control department is established for collectively controlling
such risks. On the one hand, the financial control department monitoring the cash balance, the marketable
securities which can be converted into cash at any time and the rolling forecast on cash flow in future 12 months,
ensuring the Company, on condition of reasonable prediction, owes rich capital to paid the debts; on the other
hand, building a favorable relationship with the banks, rationally design the line of credit, credit products and
credit terms, guarantee a sufficient limit for bank credits in order to satisfy vary short-term financing
requirements.
XI. Disclosure of fair value
1. Ending fair value of the assets and liabilities measured by fair value
In RMB
Ending fair value
Item
First-order Second-order Third-order Total
I. Sustaining measured by fair value -- -- -- --
(II) Available for sale financial assets 523,015,500.00 523,015,500.00
(2) Equity instrument investment 523,015,500.00 523,015,500.00
Total assets sustaining measured by fair value 523,015,500.00 523,015,500.00
II. Non-persistent measure -- -- -- --
2. Recognized basis for the market price sustaining and non-persistent measured by fair value on
first-order
According to relevant requirement of accounting standards, the Company continues to measure the financial
assets available for sale-equity instrument investment by fair value on balance sheet date. On 30 June 2015, the
financial assets available for sale-equity instrument investment held by the Company refers to the SDEC (stock
code: 600841) and Miracle Logistics (Stock code: 002009), determining basis of the market price at period-end
refers to the current closing price.
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3. Other
Nil
XII. Related party and related transactions
1. Parent company of the enterprise
Registered capital Share-holding ratio
Registration Voting right ratio on
Parent company Business nature on the enterprise for
place （In 10 thousand Yuan） the enterprise
parent company
Wuxi Industry Operation of
Wuxi 368867.095343 20.00% 20.00%
Group state-owned assets
Explanation on parent company of the enterprise
Wuxi Industry Development Group Co., Ltd was solely state-owned enterprise funded and established by Wuxi Municipal People’s
Government which mainly took responsibility of authorizing the state-owned assets operation within a certain areas, investment
management of significant project, investment and development of manufacturing and services and venture capital in high-tech
achievement
Ultimate controller of the Company is State-owned Assets Supervision & Administration Commission of Wuxi Municipality of
Jiangsu Province.
2. Subsidiary of the Enterprise
Found more in Note IX. 1.‖ Equity in subsidiary‖
3. Cooperative enterprise and joint venture
Found more in Note IX.3.‖ Equity in joint venture and cooperative enterprise ―
4. Other related party
Other related party Relationship with the Enterprise
Germany BOSCH The second largest shareholder of the Company
Key executive Director, supervisor and senior executive of the Company
5. Related transaction
(1) Goods purchasing, labor service providing and receiving
Goods purchasing/labor service receiving
In RMB
Amount of this Trading limit Whether over
Related party Content Amount of last period
period approved the limit (Y/N)
Weifu Fine Machinery Goods 20,248,305.78 41,000,000.00 No 27,944,090.40
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Bosch Diesel System Goods 80,847,225.31 290,000,000.00 No 113,307,799.10
Weifu Environment Protection Goods 563,994,116.70 1,258,000,000.00 No 359,289,821.39
Germany BOSCH Goods 42,908,813.48 100,000,000.00 No 54,477,464.43
Goods sold/labor service providing
In RMB
Related party Content Amount of this period Amount of last period
Weifu Fine Machinery Goods 2,015,589.87 14,140,405.46
Bosch Diesel System Goods 836,300,560.54 764,835,499.82
Weifu Environment Protection Goods 11,564,447.60 7,446,638.32
Germany BOSCH Goods 1,323,647.83 7,860,748.62
(2) Related trusteeship management/contract & entrust management/ outsourcing
Nil
(3) Related lease
Nil
(4) Related guarantee
Nil
(5) Related party’s borrowed funds
Nil
(6) Related party’s assets transfer and debt reorganization
Nil
(7) Remuneration of key manager
In RMB
Item Amount of this period Amount of last period
Directors, supervisors and senior management of the Company 3,817,000.00 3,385,000.00
(8) Other related transactions
Amount of this Amount of last
Item Related party
period period
Payable Technology service etc. Bosch Diesel System 596,624.00 1,812,501.00
Fixed assets purchased Bosch Diesel System 4,810,403.83
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Detection income receivables Bosch Diesel System 16,716.10
Land and trademark fee payable Wuxi Industry Group 1,600,000.00
Technology royalties paid etc. Germany BOSCH 5,016,667.78 10,342,338.43
Sales of fixed assets Weifu Environment Protection 226,495.72 2,750,775.89
6. Receivable/payable items of related parties
(1) Receivable item
In RMB
Closing balance Opening balance
Item Related party Bad debt Bad debt
Book balance Book balance
reserves reserves
Note receivable Weifu Fine Machinery 50,000.00
Account receivable Weifu Fine Machinery 939,691.86 641.41 568,941.49
Account receivable Bosch Diesel System 190,431,688.73 4,974.50 179,458,511.15 1,955.78
Account receivable Germany BOSCH 2,414,512.51 1,556,668.94
Account paid in advance Weifu Environment Protection 2,606,658.46 3,722,621.89
(2) Payable item
In RMB
Item Related party Ending book balance Opening book balance
Note payable Weifu Environment Protection 250,000,000.00
Account payables Weifu Fine Machinery 9,627,602.77 5,081,250.04
Account payables Weifu Environment Protection 300,522,849.60 132,104,066.15
Account payables Bosch Diesel System 15,850,750.78 16,501,199.39
Account payables Germany BOSCH 17,046,349.31 16,951,334.13
Other payables Bosch Diesel System 49,745.00
Other payables Weifu Fine Machinery 6,865.72
Account received in advance Weifu Environment Protection 1,131,746.42 1,099,200.00
7. Commitments of related party
Nil
8. Other
Nil
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XIII. Share-based payment
1. 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. Modification and termination of the 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
Guarantees to subsidiary
Guarantee Whether
Guarantee amount (in 10 Terminated guarantee
Guarantee provided Debit bank Starting from
received thousand dated implemente
Yuan) d or not
Weifu High-Technology Group Co., Ningbo branch of
Weifu Tianli 6,000.00 2013-12-24 2016-12-23 No
Ltd. Everbright Bank
(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
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
XV. Events after balance sheet date
1. Important non-adjustment events
Nil
2. Profit distribution
In RMB
Profit or dividend declare to distributed which have been approved 408,080,396.80
3. Sales return
Nil
4. Other events after balance sheet date
Nil
XVI. Other important events
1. Previous accounting errors collection
(1) Retrospective restatement
Nil
(2) Prospective application
Nil
2. Debt restructuring
Nil
3. Assets replacement
(1) Non-monetary assets change
Nil
(2) Other assets replacement
Nil
4. Pension plan
The ―Enterprise Annuity Plan under the name of WFHT‖ has deliberated and approved by 8th meeting of 7th
session of the Board: in order to mobilize the initiative and creativity of the employees, established a talent
long-term incentive mechanism, enhance the cohesive force and competitiveness in enterprise, the Company
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
carried out the above mentioned annuity plan since the date of reply of plans reporting received from labor
security administration department. Annuity plans are: the annuity fund are paid by the enterprise and employees
together; the amount paid by enterprise shall not over the 1/12 of the total salary of last years, amount paid by
individual and enterprise shall not over the 1/6 of the total salary of last year, in accordance with the State’s
annuity policy, the Company will adjust the economic benefits in due time, in principle of responding to the
economic strength of the enterprise, the amount paid by the enterprise at current period control in the 5 percent of
the total salary of last year, specific paying ratio later shall be adjust correspondingly in line with the operation
condition of the Company.
In December 2012, the Company received the ―Reply on annuity plans reporting under the name of WFHT‖ from
labor security administration department, later, the Company entered into the ―Entrusted Management Contract of
the Annuity Plan of WFHT‖ with PICC.
5. Termination of operation
Not applicable
6. Segment
(1) Recognition basis and accounting policy for reportable segment
Determine the operating segments in line with the internal organization structure, management requirement and
internal reporting system. Operating segment of the Company refers to the followed components that have been
satisfied at the same time:
①the component is able to generate revenues and expenses in routine activities;
②management of the Company is able to assess the operation results regularly, and determine resources
allocation and performance evaluation for the component;
③being analyzed, financial status, operation results and cash flow of the components are able to required by the
Company
The Company mainly engaged in the manufacture of fuel system of internal combustion engine products, auto
parts, muffler and purifier etc., based on the product segment, the Company determine three reporting segment as
auto fuel injection system, air intake system and car after-treatment system. Accounting policy for the three
reporting segments are shares the same policy state in Note
(2) Financial information for reportable segment
In RMB
Product segment of
Product segment of Product segment of
automotive
Item automotive fuel automotive air intake Offset of segment Total
post-processing
injection system system
system
Operating revenue 2,554,240,134.19 144,701,096.46 1,325,968,298.36 634,471,605.37 3,390,437,923.64
Operating cost 2,060,226,214.86 114,958,543.55 1,110,736,396.45 642,282,121.18 2,643,639,033.68
Total profit 1,015,584,569.00 -5,092,732.43 159,426,650.46 11,643,792.41 1,158,274,694.62
Net profit 947,717,526.95 -5,309,239.25 140,826,072.11 13,144,883.23 1,070,089,476.58
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Total assets 15,161,222,283.87 591,171,307.37 2,290,480,364.94 2,590,291,478.47 15,452,582,477.71
Total liabilities 3,194,598,753.24 285,976,094.78 1,061,900,504.43 1,143,054,320.18 3,399,421,032.27
(3) The company has no reportable segments, or unable to disclose total assts 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
8. Other
Nil
XVII. Principle notes of financial statements of parent company
1. Accounts receivable
(1) Category
In RMB
Closing balance Opening balance
Book balance Bad debt reserves Book balance Bad debt reserves
Types
Accru Book value Accr Book value
Rati Rati
Amount Amount al Amount Amount ual
o o
ratio ratio
Receivables with
bad debt provision 100. 0.78 641,922,327 569,924,306. 100. 4,154,988.9 0.73 565,769,317.
646,969,643.89 5,047,316.80
accrual by credit 00% % .09 83 00% 4 % 89
portfolio
100. 0.78 641,922,327 569,924,306. 100. 4,154,988.9 0.73 565,769,317.
Total 646,969,643.89 5,047,316.80
00% % .09 83 00% 4 % 89
Account receivable with single significant amount and withdrawal bad debt provision separately at period end :
□ Applicable √ Not applicable
Account receivable provided for bad debt reserve under aging analysis method in the groups:
√ Applicable □ Not applicable
In RMB
Closing balance
Age
Account receivable Bad debt reserves Accrual ratio
Sub item of within one year
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Within 6 months 250,331,337.80
6 months to one year 12,118,685.93 1,211,868.60 10.00%
Subtotal within one year 262,450,023.73 1,211,868.60
1-2 years 7,414,012.13 1,482,802.43 20.00%
2-3 years 582,458.71 232,983.48 40.00%
Over 3 years 2,119,662.29 2,119,662.29 100.00%
Total 272,566,156.86 5,047,316.80 1.85%
Explanations on combination determine:
Except for the receivables with impairment reserves accrual singly; base on the actual loss ratio of the receivables of previous years,
with same or similar credit portfolio, and combining actual condition accrual bad debt reserves to determined the accrual ratio for bad
debt reserves
In combination, withdrawal proportion of bad debt provision based on balance proportion for account receivable:
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for account receivable:
(2) Bad debt provision accrual, collected or reversed
Accrual bad debt provision 892,327.86 Yuan; collected or reversed 0.00 Yuan.
(3) Receivables actually written-off during the reporting period
Nil
(4) Top 5 receivables at ending balance by arrears party
Total receivables collected by arrears party for the Period amounting to RMB 415,451,533.86, takes 64.21 percent
in closing balance of the account receivables, RMB 4,974.50 are accrual correspondingly for bad debt reserves.
(5) Account receivable derecognition due to financial assets transfer
Nil
(6) Assets and liabilities resulted by account receivable transfer and continues involvement
Nil
Other notes:
2. Other accounts receivable
(1) Classification
In RMB
Closing balance Opening balance
Type Book balance Bad debt reserves Book balance Bad debt reserves
Book
Accru Book value Accrual
Amount Ratio Amount Amount Ratio Amount value
al ratio ratio
Other receivables
100.00 90,139,174.2 5,113,272.9 100.00 5,071,840
with bad debt 90,194,607.37 55,433.09 0.06% 41,432.25 0.81%
% 8 3 % .68
provision accrual
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
by credit portfolio
100.00 90,139,174.2 5,113,272.9 100.00 5,071,840
Total 90,194,607.37 55,433.09 0.06% 41,432.25 0.81%
% 8 3 % .68
Other receivable with single significant amount and withdrawal bad debt provision separately at end of period:
□ Applicable √ Not applicable
In combination, other accounts receivable whose bad debts provision was accrued by age analysis:
√ Applicable □ Not applicable
In RMB
Closing balance
Age
Other receivable Bad debt reserves Accrual ratio
Sub item of within one year
Within 6 months 5,953,832.38
6 months to one year 137,766.97 13,776.70 10.00%
Subtotal within one year 6,091,599.35 13,776.70
1-2 years 53,606.97 10,721.39 20.00%
2-3 years 30,776.76 12,310.70 40.00%
Over 3 years 18,624.29 18,624.29 100.00%
Total 6,194,607.37 55,433.08 0.89%
Explanations on combination determine:
Except for the other receivables with impairment reserves accrual singly; base on the actual loss ratio of the receivables of previous
years, with same or similar credit portfolio, and combining actual condition accrual bad debt reserves to determined the accrual ratio
for bad debt reserves
In combination, withdrawal proportion of bad debt provision based on balance proportion for other account receivable
□ Applicable √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for other account receivable
□ Applicable √ Not applicable
(2) Bad debt provision accrual, collected or reversed
Accrual bad debt provision 14,000.84 Yuan; collected or reversed 0 Yuan.
(3) Other receivables actually written-off during the reporting period
Nil
(4) Other receivables by nature
In RMB
Nature Ending book balance Opening book balance
Intercourse funds receivable from units 89,147,847.37 3,105,062.80
Staff loans and petty cash 1,046,760.00 1,216,779.50
Other 791,430.63
Total 90,194,607.37 5,113,272.93
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
(5) Top 5 other receivables at ending balance by arrears party
In RMB
Ending
Ratio in total ending
Ending balance of
Company Nature Book age balance of other
balance bad bet
receivables
provision
Wuxi Weifu Chang’an Co., Ltd. Unit current fund 80,000,000.00 Within 6 months 88.70%
Wuxi Weifu Schmidt Power System
Unit current fund 4,000,000.00 Within 6 months 4.43%
Spare Parts Co., Ltd.
Special engineering deposit Deposit 1,353,873.10 Within 6 months 1.50%
Wuxi Waterworks Corp. Water meter deposit 1,000,000.00 Within 6 months 1.11%
Wuxi Weifu China-italygear Co., LTD Technology fee 87,777.31 Within 6 months 0.10%
Total -- 86,441,650.41 -- 95.84%
(6) Account receivable with government grand involved
Nil
(7) Other account receivable derecognition due to financial assets transfer
Nil
(8) Assets and liabilities resulted by other account receivable transfer and continues involvement
Nil
3. Long-term equity investment
In RMB
Closing balance Opening balance
Item
Book balance Impairment Book value Book balance Impairment Book value
Investment for subsidiary 1,427,414,954.43 1,427,414,954.43 1,418,636,324.43 1,418,636,324.43
Investment for associates
2,565,451,239.10 2,565,451,239.10 2,889,682,835.13 2,889,682,835.13
and joint venture
Total 3,992,866,193.53 3,992,866,193.53 4,308,319,159.56 4,308,319,159.56
(1) Investment for subsidiary
In RMB
Ending
Impairment balance of
The invested entity Opening balance Increased Decreased Ending balance
accrual impairment
provision
Weifu Jinning 178,639,593.52 178,639,593.52
151
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Weifu Leader 460,113,855.00 460,113,855.00
Weifu Diesel System 260,187,500.00 260,187,500.00
Weifu Mashan 48,693,380.51 48,693,380.51
Weifu Chang’an 70,902,037.30 70,902,037.30
Weifu International Trade 30,999,996.22 30,999,996.22
Weifu ITM 167,000,000.00 167,000,000.00
Weifu Schmidt 31,680,000.00 31,680,000.00
Weifu Tianli 90,229,100.00 90,229,100.00
Kunming Xitong 5,471,793.17 5,471,793.17
Weifu Tianshi 5,200,000.00 5,200,000.00
Weifu Autocam 69,519,068.71 8,778,630.00 78,297,698.71
Total 1,418,636,324.43 8,778,630.00 1,427,414,954.43
(2) Investment for associates and joint venture
In RMB
+,-
Other Ending
Addi compr balance
tiona ehensi Cash dividend Impai of
Opening Capital Investment Other
Company l ve or profit rment Oth Ending balance impair
balance reducti gains recognized equity
inves incom announced to accru er ment
on under equity change provisi
tmen e issued al
t adjust on
ment
I. Joint venture
II. Associated enterprise
Bosch
Diesel
2,315,163,539.60 424,566,889.71 896,404,294.00 1,843,326,135.31
Syste
m
Zhong
lian
Autom
obile
533,441,050.96 144,267,891.31 677,708,942.27
Electr
onic
Co.,
Ltd
Weifu
Fine
41,078,244.57 3,337,916.95 44,416,161.52
Machi
nery
Subtot
2,889,682,835.13 572,172,697.97 896,404,294.00 2,565,451,239.10
al
Total 2,889,682,835.13 572,172,697.97 896,404,294.00 2,565,451,239.10
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
4. Operating income and cost
In RMB
Amount of this period Amount of last period
Item
Income Cost Income Cost
Main business 797,148,642.77 610,786,653.56 1,196,299,308.98 938,909,440.59
Other business 83,084,533.70 82,621,552.01 130,174,065.00 115,472,574.95
Total 880,233,176.47 693,408,205.57 1,326,473,373.98 1,054,382,015.54
5. Investment gains
In RMB
Item Amount of this period Amount of last period
Income of long-term equity investment calculated based on cost 16,000,000.00 194,174,913.70
Income of long-term equity investment calculated based on equity 572,172,697.97 492,416,778.66
Investment income obtained from disposal of long-term equity investment 1,797,629.13
Investment income from period of holding the financial assets available for sale 74,212,675.77 20,864,274.00
Investment income obtained from disposal of financial assets available for sale 102,044,890.13
Total 764,430,263.87 709,253,595.49
6. Other
Nil
XVIII. Supplementary Information
1. Current non-recurring gains/losses
√ Applicable □ Not applicable
In RMB
Item Amount Note
Gains/losses from the disposal of non-current asset 117,297,741.62
Governmental subsidy reckoned into current gains/losses (not including the subsidy Including government
enjoyed in quota or ration according to national standards, which are closely relevant 60,694,363.98 subsidy income received
to enterprise’s business) from relocation by policy
Profit and loss of assets delegation on others’ investment or management 66,030,608.77
Switch-back of impairment of account receivable that practice impairment test
1,003,115.00
independent
Other non-operating income and expenditure except for the aforementioned items 279,246.64
Relocation expenses -53,835,107.52
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无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Less: Impact on income tax 28,750,377.07
Impact on minority shareholders’ equity 734,350.49
Total 161,985,240.93 --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for Companies
Offering Their Securities to the Public --- Extraordinary Profit/loss, and 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, explain reasons
□ Applicable √ Not applicable
2. REO and earnings per share
Earnings per share
Weighted
Profits during report period
average ROE Basic EPS Diluted EPS
(RMB/Share) (RMB/Share)
Net profits belong to common stock stockholders of the
9.14% 1.03 1.03
Company
Net profits belong to common stock stockholders of the
7.72% 0.87 0.87
Company after deducting 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
(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
Not applicable
4. Other
Nil
154
无锡威孚高科技集团股份有限公司 2015 年半年度报告全文
Section X. Documents available for reference
I. Semi-Annual Reports with the chairman’s own signature;
II. Financial statement with signature and seal of legal representative, person in charge of financial works and
accountant officer;
III. The original manuscripts of all documents and announcements of the Company publicly disclosed on China
Securities Journal, Securities Times and Hong Kong Commercial Daily during the Period.
Board of Director of
Weifu High-Technology Group Co., Ltd.
Chairman:
Chen Xuejun
25 August 2015
155
