ANNUAL REPORT 2021
Stock Code: 600519 Stock Abbr.: Kweichow Moutai
KWEICHOW MOUTAI CO., LTD.
ANNUAL REPORT 2021
1 / 156
ANNUAL REPORT 2021
Important Statements
The Board of Directors, Board of Supervisors, directors, supervisors and the senior management
of the Company guarantee that the information presented in this report is free of any false
records, misleading statements or material omissions, and shall bear individual and joint legal
liabilities for the truthfulness, accuracy and completeness of its contents.
The situation of directors who did not attend the board meeting in person
Position Name Reason Proxy
Independent director Lu Jinhai Pandemic prevention Zhang Jingzhong
Baker Tilly China CPAs has issued a standard unqualified audit report for the Company.
Ding Xiongjun, responsible person for the Company, Jiang Yan, responsible person for
accounting work, and Cai Congying, responsible person for the Company’s financial affairs
(Accounting Supervisor), have warranted that the financial statements in this report are true,
accurate and complete.
The proposed profit distribution plan or the proposed plan of capitalization of capital reserves in
the reporting period approved by the resolution of the Board of Directors
On the basis of a total capital of 1,256,197,800 shares by the end of 2021, all shareholders will be
distributed a cash dividend of CNY 216.75 (before tax) for every 10 shares, with a total profit
distribution of CNY 27,228,087,315.00, and the remaining CNY 133,488,774,605.19 will be reserved
for future annual distribution. The above profit distribution proposal shall be submitted to the general
assembly of shareholders of the Company for deliberation and approval before implementation.
Risk disclosure statement for forward-looking statements
Forward-looking statements in this report concerning future plans or development strategies do not
constitute substantial promises to investors, due to the related uncertainty. Investors are advised to be
aware of their own investment risks.
Existence of non-operational embezzlement of funds by controlling shareholders or their
associated parties
No
Existence of Financial Guarantees to External Parties in Violation of the Regulated Decision
Procedures
No
2 / 156
ANNUAL REPORT 2021
Over half of the directors’ failure to guarantee the truthfulness, accuracy and completeness of the
Company’s disclosed annual report
No
Significant risk statements
The Company has elaborated the potential risks in the chapter of “The Company Discussion and
Analysis on its Future Development”. Investors are advised to pay their due attention.
Information Statement
All information and data cited in this Report are objective and authentic. Financial figures herein are rec
orded in CNY, unless otherwise specified. This Report is prepared in Chinese and English, respectively.
In case of any ambiguity in the Chinese and English texts, the Chinese text shall prevail.
3 / 156
ANNUAL REPORT 2021
Contents
Section I Definitions.................................................................................................................................. 5
Section II Company Profile and Key Financial Results ........................................................................ 5
Section III Management’s Discussion and Analysis .............................................................................. 8
Section IV Corporate Governance ................................................................................................... 23
Section V Environment and Social Responsibility ............................................................................... 41
Section VI Significant Events ........................................................................................................... 46
Section VII Changes in Shares and Information about Shareholders ........................................... 59
Section VIII Preferred Shares ............................................................................................................... 63
Section IX Information about Bond...................................................................................................... 63
Section X Financial Report ............................................................................................................. 64
References include the accounting statements signed and stamped by the
respective individuals in charge of the company, the company accounting
work, and the accounting department (their accounting supervisor).
Documents Available for References include the audit report original signed and stamped by the
Reference certified public accountant and stamped by the accounting firm.
The originals of company documents and announcements that are publicly
disclosed in China Securities Journal and Shanghai Securities News during
the reporting period.
4 / 156
ANNUAL REPORT 2021
Section I Definitions
1. Definitions
Unless it is otherwise referred in the context, the terms in this report have the following meanings:
Terms and Definitions
CSRC refers to China Securities Regulatory Commission
SSE refers to Shanghai Stock Exchange
Company, the company refers to Kweichow Moutai Co., Ltd.
Controlling shareholder, group refers to China Kweichow Moutai Distillery (Group) Co., Ltd.
company
Reporting period refers to Fiscal Year of 2021
This report, the report refers to Annual Report 2021
Section II Company Profile and Key Financial Results
1. Corporate Information of “the Company”
Name of the Company in Chinese 贵州茅台酒股份有限公司
Abbr. of the Company name in Chinese (if 贵州茅台
any)
Name of the Company in English Kweichow Moutai Co., Ltd.
Legal Representative Ding Xiongjun
2. Contact Information
Secretary of the board Representative for securities
affairs
Name Jiang Yan Cai Congying
Address Maotai Town, Renhuai City, Guizhou Maotai Town, Renhuai City,
Province Guizhou Province
Tel. 0851-22386002 0851-22386002
Fax 0851-22386193 0851-22386193
E-mail mtdm@moutaichina.com mtdm@moutaichina.com
3. Company profile
Registered address Maotai Town, Renhuai City, Guizhou Province
Office address Maotai Town, Renhuai City, Guizhou Province
Zip code of office address 564501
Website address http://www.moutaichina.com/
E-mail address mtdm@moutaichina.com
4. Information disclosure and the place where the report is available
Media name and its website address where the China Securities Journal and Shanghai Securities
report is disclosed News
Website address of the stock exchange where http://www.sse.com.cn/
the report is disclosed
Place where the report is available The office of the Board of Directors
5 / 156
ANNUAL REPORT 2021
5. Stock information
Stock information
Stock type Stock exchange Stock abbreviation Stock code Previous stock
where the shares Abbreviation (if
are listed any)
A shares Shanghai Stock Kweichow Moutai 600519
Exchange
6. Other information
Name Baker Tilly China CPAs
Office address Building 12, Foreign Language Culture and Creativity
Appointed Park, 19 Chegongzhuang West Road, Haidian District,
accounting firm Beijing
(domestic) Name of the Tong Wenguang, Liu Zonglei, Yang Shu
signing
accountant
7. Last Years’ Key Accounting Data and Financial Indicators
7.1 Key accounting data
Unit: CNY
Key accounting date 2021 2020 Change (%) 2019
Operating proceeds 106,190,154,843.76 94,915,380,916.72 11.88 85,429,573,467.25
Net profits attributable to 52,460,144,378.16 46,697,285,429.81 12.34 41,206,471,014.43
shareholders of the Public
Company
Net profits attributable to 52,581,102,656.24 47,016,420,742.73 11.84 41,406,909,012.08
shareholders of the Public
Company after deducting
non-recurring gains and
losses
Net cash flows from 64,028,676,147.37 51,669,068,693.03 23.92 45,210,612,632.56
operating activities
Changes of
31 December 31 December
31 December 2020 the Same
2021 2019
Period(%)
Net assets attributable to 189,539,368,797.29 161,322,735,087.56 17.49 136,010,349,875.11
shareholders of the Company
Total assets 255,168,195,159.90 213,395,810,527.46 19.58 183,042,372,042.50
Share capital 1,256,197,800.00 1,256,197,800.00 1,256,197,800.00
7.2 Key financial indicators
Key financial indicators 2021 2020 Change (%) 2019
Basic earnings per share (CNY/share) 41.76 37.17 12.34 32.80
Diluted earnings per share (CNY/share) 41.76 37.17 12.34 32.80
Basic earnings per share after non-recurring 41.86 37.43 11.84 32.96
gains and losses (CNY/share)
Weighted average ROE (%) 29.90 31.41 -1.51 33.09
Weighted average ROE after non-recurring 29.97 31.63 -1.66 33.25
6 / 156
ANNUAL REPORT 2021
gains and losses (%)
8. Differences in accounting data by domestic and overseas accounting standards
8.1 Differences in the net profits and net assets attributable to shareholders of the company
disclosed in the financial reports prepared under the international accounting standards and
China accounting standards
□Applicable √N/A
8.2 Differences in the net profits and net assets attributable to shareholders of the Company
disclosed in the financial reports prepared under the overseas accounting standards and China
accounting standards
□Applicable √N/A
8.3 Explanations for above accounting data differences
□Applicable √N/A
9. Quarterly key financial data in 2021
Unit: CNY
Q1 Q2 Q3 Q4
(Jan.-Mar.) (Apr.-Jun.) (Jul.-Sept.) (Oct.-Dec.)
Operating proceeds 27,270,884,813.14 21,816,392,982.87 25,554,926,006.54 31,547,951,041.21
Net profits attributable to 13,954,462,085.61 10,699,523,465.97 12,612,188,608.39 15,193,970,218.19
shareholders of the Company
Net profit attributable to 13,969,463,370.71 10,679,654,343.72 12,707,913,515.40 15,224,071,426.41
ordinary shareholders of the
company after deducting
non-recurring profit and loss
Net cash flows from -1,484,892,858.66 23,204,363,591.63 15,032,826,622.95 27,276,378,791.45
operating activities
Explanations for the differences between quarterly data and those disclosed in previous periodical
reports
□Applicable √N/A
10. Non-recurring Items and Their Gains/Losses
√Applicable □N/A
Unit: CNY
Amount in Note (if Amount in Amount in
Non-recurring gains and losses
2021 applicable) 2020 2019
Gain or loss from disposal of -11,920,829.77 -100,113.92 -510,515.56
non-current assets
Government grants accounted for, 4,616,000.00 2,028,500.00
in the profit or loss for the current
period (except for the government
grants closely related to the
business of the Company and
continuously given at a fixed
amount or quantity in accordance
with certain standards)
Gains and losses from changes in -3,750,122.23 4,966,170.34 -14,018,472.46
fair value arising from holding
trading financial assets, derivative
financial assets, trading financial
7 / 156
ANNUAL REPORT 2021
liabilities and derivative financial
liabilities, as well as investment
income from disposal of trading
financial assets, derivative
financial assets, trading financial
liabilities, derivative financial
liabilities and other debt
investments, except for the
effective hedging business
associated with the company’s
regular business operations.
Other non-operational income and -210,928,052.99 -438,037,777.35 -258,459,086.43
expenditure in addition to the
items listed above.
Other items of gains and losses 61,031,069.26 237,455.55
that fall into the category of
non-recurring gains and losses
Less: Income tax impact -40,237,983.93 -107,726,441.35 -68,247,018.61
Minority shareholder equity 244,326.28 -4,044,011.11 -4,303,058.19
impact (after tax)
Total -120,958,278.08 -319,135,312.92 -200,437,997.65
11. Items evaluated at fair values
√Applicable □N/A
Unit: CNY
Opening Closing Amount of impact on
Item Change
balance balance current profit
Other non-current 9,830,052.91 -9,830,052.91 -3,750,122.23
financial assets
Total 9,830,052.91 -9,830,052.91 -3,750,122.23
Section III Management’s Discussion and Analysis
1. Discussion and analysis of business situation
In 2021, Adhering to be guided by Xi Jinping’s Thought of Socialism with Chinese Characteristics for
a New Era, the company comprehensively carried out the spirit of the important speech of President
Xi’s inspection of Guizhou, fully implemented the strategic plan of the provincial party committee
and the provincial government, followed the requirements of “high-quality development, big-stride
forward”, focused on “dual-doubling, dual-consolidating and dual-construction” target demanded by
the group company, and coordinated the work of epidemic prevention and control, production and
operation, reform and development in an integrated manner. In all, the Company has made
remarkable and excellent achievements, painted the picture of the era of “five lines” development,
stepped onto the new path of development of a high quality and strong industry, and realized a grand
start in the “14th Five Year Plan” development.
2. Industry sector situation in the reporting period
See “Industry profile” and “Industry pattern and trend” in this report.
3. Business scope in the reporting period
The Company’s main business is the production and sales of Moutai and a series of liquors. The
leading product “Kweichow Moutai” is one of the three most famous distilled liquors in the world,
8 / 156
ANNUAL REPORT 2021
and is also a brand of Chinese Baijiu that embodies national geographical hallmark products, organic
foods and national intangible cultural heritages.
The Company’s business model is: raw materials acquisition – merchandise production – sales. The
acquisition of raw materials is carried out according to the Company's production and sales plan; the
production process of products is as follows: yeast making - Chinese Baijiu making – cellaring -
blending - packaging; the sales model is as follows: the Company's products are sold through direct
sales and distributor channels. Direct sales channels refer to self-operated channels, while distributor
channels refer to social distributors, supermarkets, e-commerce and other channels.
4. Analysis of core competitiveness
√Applicable □N/A
The Company possesses “four core potentials”, i.e, unique territorial protection of product origin,
irreplicable microbial colonies, unique brewing techniques inherited for generations over a thousand
years and long-term cellaring base of high-quality Chinese Baijiu resources. In addition, the
company also owns famous brands, outstanding quality, long-standing culture and long history. No
significant changes in the core competitiveness of the Company has ever taken place during the
reporting period.
5. Business operation briefing for the reporting period
Firstly, the new blueprint has been inspiring. The Company pursued high-quality development for the
all situations, formulated the “14th Five Year Plan” development program, confirmed the
“five-color-lines” development path, affirmed the “one base and one benchmark” target,
comprehensively carried out top-level designs, built a new system of corporate governance, drew a
“concentric circle” of dream building for thousands of people, and opened a new chapter of building
a high-quality and strong industry.
Secondly, new achievements have accumulated into powerful potentials. The Company has been
adhering to the motto of “quality is the soul of lifeline”, and established the quality concept of five
craftsmanships of the new era, built a “365 quality management system”, deeply delved into the “nine
series” of Moutai culture. Major projects such as packaging logistics park and Tongminba liquor base
in Xishui County were orderly carried forward. Safety and environmental protection management
were taken to a new level. The Moutai culture and sports center was brought into use. All these have
been building a more solid foundation for a high-quality and strong industry.
Thirdly, the new business performance is remarkable. The Company has achieved a total operating
proceeds of CNY 109.46 billion, an increase of 11.71% year-on-year; the total profit is CNY 74.53
billion, a year-on-year increase of 12.59%; the net profit attributable to the owner of the parent
company is CNY 52.46 billion, with a year-on-year increase of 12.34%. All indicators have
maintained double-digit growth, and the comprehensive strength of the Company has once again
reached a new level.
5.1Main business analysis
A.Analysis of accounting item changes related to the income statement and the cash flow
statement
Unit: CNY
Amount in the same
Amount in the
Item reporting period of YoY Change (%)
reporting period
last year
Operating proceeds 106,190,154,843.76 94,915,380,916.72 11.88
Operating costs 8,983,377,809.96 8,154,001,476.28 10.17
Sales expenses 2,737,369,434.78 2,547,745,650.95 7.44
9 / 156
ANNUAL REPORT 2021
General and administrative 8,450,274,065.03 6,789,844,289.39 24.45
expenses
Financial expenses -934,523,406.02 -234,610,582.44 N/A
R&D expenses 61,923,213.59 50,398,036.33 22.87
Net cash flows from operating 64,028,676,147.37 51,669,068,693.03 23.92
activities
Net cash flows from investment -5,562,445,704.34 -1,805,227,155.72 N/A
activities
Net cash flows from financing -26,564,141,388.96 -24,127,536,908.26 N/A
activities
Causes for the operating proceeds change: mainly due to the increase of sales and the product
structure change in the reporting period.
Causes for the operating expense change: majorly due to the sales increase, the production cost
increase, and the product structure change in the reporting period.
Causes for the sales expense change: mainly due to the advertising and marketing expense increases
for the the Moutai-flavor series liquor in the reporting period.
Causes for the general and administrative expense change: mainly due to employee compensation
increase and maintenance cost increase in the reporting period.
Causes for the financial expense change: mainly due to the increase of commercial bank interest
income increase in the reporting period.
Causes for the R&D expense change: majorly due to the increase of R&D project increases in the
reporting period.
Causes for the Net cash flow change from operating activities: mainly due to the increase of cash
received from sales of goods and rendering of services in the reporting period.
Causes for the Net cash flow change from investment activities: mainly due to the increase of cash
payment used to buy certificates of deposit in the reporting period.
Causes for Net cash flow change from financing activities: mainly caused by the increase of cash
dividend distribution in the reporting period.
Detailed reasons for any significant changes to the business type, profit structure or profit sources of
the Company in the reporting period.
□Applicable √N/A
B. Income and cost analysis
√Applicable □N/A
a. Main business grouped by business segment, by product, by geographical zoning and by sales
model.
Unit: CNY
Main business grouped by business segment
YoY
YoY YoY change
Gross Change of
Business change of of gross
Operating proceeds Operating costs profit operating
segment operating profit margin
margin proceeds
costs (%) (%)
(%)
Liquor 106,059,290,342.18 8,890,990,510.7 91.62 11.85 9.99 0.14
2
Main business grouped by product
10 / 156
ANNUAL REPORT 2021
YoY
YoY YoY change
Gross Change of
change of of gross
Product Operating proceeds Operating costs profit operating
operating profit margin
margin proceeds
costs (%) (%)
(%)
Moutai 93,464,512,115.94 5,577,910,539.0 94.03 10.18 9.36 0.04
0
Other liquor 12,594,778,226.24 3,313,079,971.7 73.69 26.06 11.06 3.55
2
Main business grouped by geographical zoning
YoY
YoY YoY change
Gross Change of
Geographic change of of gross
Operating proceeds Operating costs profit operating
al zonging operating profit margin
margin proceeds
costs (%) (%)
(%)
Domestic 103,440,817,492.55 8,649,283,176.1 91.64 11.96 9.83 0.16
8
Overseas 2,618,472,849.63 241,707,334.54 90.77 7.66 15.96 -0.66
Main business condition by sales model
YoY
YoY YoY change
Gross Change of
change of of gross
Sales model Operating proceeds Operating costs profit Operating
operating profit margin
margin proceeds
costs (%) (%)
(%)
Wholesale 82,029,927,984.26 7,958,382,622.4 90.30 0.55 6.06 -0.50
agency 8
Direct sales 24,029,362,357.92 932,607,888.24 96.12 81.49 60.89 0.50
b. Analysis of production volume, sales volume and inventory
√Applicable □N/A
YoY YoY
change of change of
Main Production Sales YoY change of
Unit Inventory production sales
product volume volume inventory (%)
volume volume
(%) (%)
Liquor Ton 84,721.17 66,438.69 260,746.17 12.72 3.72 4.62
c. Execution situation of major acquisition contracts and major sales contracts
□Applicable √N/A
d. Coast Analysis Table
Unit: CNY
Condition by business segment
As % of
By As % Amount in the
total
busines Main Amount in the of same YoY Descriptio
cost in
s breakdown reporting total reporting chang n of
previou
segmen items of cost period cost period of e (%) reasons
s year
t (%) previous year
(%)
Liquor 8,890,990,510.7 100 8,083,371,418.2 100 9.99
2 4
Condition by product
Main Amount in the As % Amount in the As % of YoY Descriptio
By
breakdown reporting of same cost chang n of
product
items of cost period total reporting in e (%) reasons
11 / 156
ANNUAL REPORT 2021
cost period of previou
(%) previous year s year
(%)
Direct 5,006,828,759.7 56.32 4,426,309,798.9 54.76 13.12
materials 4 9
costs
Direct labor 2,776,100,778.1 31.22 2,626,407,879.9 32.49 5.70
costs 7 3
Manufacturin 592,850,869.35 6.67 553,108,867.79 6.84 7.19
Liquor g costs
Fuels and 271,547,032.80 3.05 244,593,638.55 3.03 11.02
energies
Transportatio 243,663,070.66 2.74 232,951,232.98 2.88 4.60
n costs
Total 8,890,990,510.7 100.0 8,083,371,418.2 100.00 9.99
2 0 4
e. Any share changes of subsidiaries merger scope changes in the reporting period
□Applicable √N/A
f. Information about significant changes or adjustments of the Company’s businesses, products or
services
□Applicable √N/A
g. Major customers and suppliers
(1)Major customers
The top five customers constitute a total proceeds of CNY 14,982.74 million, accounting for 14.13%
of annual total proceeds, among which the proceeds by the affiliated parties totaled CNY 5,240.25
million, accounting for 4.94% of the total annual proceeds.
(2)Major suppliers
The total acquisition cost paid to the five suppliers is CNY 2,917.35 million, accounting for 43.33%
of annual total acquisition cost, among which the total to the affiliated parties is CNY 842.89 million,
accounting for 12.52% of annual total acquisition cost.
C. Expenses
√Applicable □N/A
Financial expenses in the reporting period was CNY -934,523,406.02, comparing with that in the last
period of CNY -234,610,582.44, the cost reduction was mainly due to the increase of interest income
from commercial bank deposits.
D.R&D expenses
a. Statement of R&D expenses
√Applicable □N/A
Unit: CNY
R&D expenses in this period 190,053,124.36
Total R&D expenses 190,053,124.36
as（%）in operating proceeds 0.18
Note: The R&D expenses in this period include the R&D expenses listed in the operating costs and
the compensation of scientific researchers.
b. Statement of R&D employee
√Applicable □N/A
12 / 156
ANNUAL REPORT 2021
Number of R&D employees 659
as (%) in the total number of the Company’s employees 2.20
Educational background structure of R&D employees
Number in each educational
Educational background structure type
background structure
Doctorate 53
Master’s degree 153
Undergraduate 405
Junior college 42
High school and below 6
Age structure of R&D employee
Age structure type Number in each age structure
under 30 (excluding 30) 134
30-40 (including 30 but excluding 40) 371
40-50 (including 40 but excluding 50) 113
50-60 (including 50 but excluding 60) 34
over 60 7
c. Explanation
□Applicable√ N/A
d. Reasons for the significant changes in R&D employees and their impacts on the Company’s future
development
□Applicable√ N/A
E. Cash flows
√ Applicable □N/A
Unit: CNY
Amount in this Amount in last
Item Change (%)
period period
Net increase customer and interbank deposits 7,511,166,145.93 3,189,100,199.87 135.53
Receipt of other cash related to business 1,643,536,862.48 221,421,226.63 642.27
activities
Net increase in loans and advances to customers 484,244,272.00 2,978,755,728.00 -83.74
Net increase in lending funds -400,000,000.00 200,000,000.00 N/A
Net increase in central and interbank deposits 559,089,326.28 -2,506,406,682.56 N/A
Cash paid for interests, fees, and commissions 163,462,728.48 107,241,768.26 52.42
Cash received from investment recoveries 6,079,930.68 314,906,521.48 -98.07
Cash received from investment returns 860,000.00 N/A
Net cash received from disposal of fixed assets, 2,463,474.29 495,904.85 396.76
intangible assets and other long-term assets
Cash received from other investment relate 9,983,452.63 6,675,319.03 49.56
activities
Cash paid to acquire or construct fixed assets, 3,408,784,532.01 2,089,769,498.78 63.12
intangible assets and other long-term assets
Cash paid for investments 2,150,000,000.00 20,000,000.00 10,650.00
Cash paid for other investment related activities 23,048,029.93 17,535,402.30 31.44
Net cash flow from investment activities -5,562,445,704.34 -1,805,227,155.72 N/A
Cash paid for other financing related activities 88,121,549.59 36,507,157.75 141.38
Impact of fluctuation in exchange rate on cash -2,026,542.60 380,639.36 N/A
and cash equivalents
13 / 156
ANNUAL REPORT 2021
(1) The net increase in customer and interbank deposits is mainly due to the Company’s holding
subsidiary, Kweichow Moutai Group Finance Co., Ltd. gathered more funds from other member
companies of the group company than the previous reporting period.
(2) The increase in the cash received from other business related activities, is mainly due to the
interest income increases from commercial bank deposits in the reporting period.
(3) The decrease in the net increase in loans and advances to customers, is mainly due to less loan
increase was issued by the Company’s holding subsidiary, Kweichow Moutai Group Finance Co., Ltd.
to the member companies of the group company in the reporting period.
(4) The decrease in the net increase in lending funds, is mainly due to the due recovery of interbank
loans by the Company’s holding subsidiary, Kweichow Moutai Group Finance Co., Ltd.
(5) The increase in the central and interbank deposits is mainly due to the maturity of the fixed term
bank deposits deposited by the Company’s holding subsidiary, Kweichow Moutai Group Finance Co.,
Ltd. in the previous reporting period.
(6) The increase in the cash paid for interests, fees and commissions, is mainly due to the increase of
interest payments by the Company’s holding subsidiary, Kweichow Moutai Group Finance Co., Ltd.
in the reporting period.
(7) The decrease in the cash received from investment recoveries, is mainly due to the decrease in the
cash received from disposal of non-current financial assets in this period.
(8) The increase in the cash received from investment returns, is mainly due to bond interests receive
by the Company’s holding subsidiary, Kweichow Moutai Group Finance Co., Ltd.
(9) The increase in the net cash received from disposal of fixed assets, intangible assets and other
long-term assets, is majorly caused by the increase in the cash received from disposal of fixed assets
in this period.
(10) The increase in the cash received from other investing activities, is caused by the increase in the
performance bond for basic construction in this period.
(11) The increase in the cash paid to acquire and construct fixed assets, intangible assets and other
long-term assets, is majorly caused by the increase in the land transferring fees in this period.
(12) The increase in the cash paid for investments, is majorly caused by the purchase of the certificate
of deposit in this period.
(13) The increase in the cash paid for other investing activities, is caused by the increase in the return
of the performance bond for basic construction in this period.
(14) The decrease in the cash paid for other financing activities, is majorly caused by the increase in
the cash for purchasing certificate of deposit.
(15) The increase in the cash paid for other financing activities, is majorly caused by the adjustment
regarding the accounting affairs in leasing according to the new leasing principles.
(16) The decrease in the effect of fluctuation in exchange rate on cash and cash equivalents, is caused
by the Company’s wholly-owned subsidiary, Kweichow Moutai Paris Trading, whose financial
statement of overseas operation has been converted as the foreign currency translation differences in
the statement of recording currency.
14 / 156
ANNUAL REPORT 2021
5.2 Reasons for significant changes of profit caused by non-core business
□Applicable√ N/A
5.3 Analysis of assets and liabilities
√Applicable □N/A
A. Assets and liabilities
Unit: CNY
As % As %
of of Change in
Amount by the end of Amount by the end of Explanation about
Item total total percentage
this period last period any material change
assets assets (%)
(%) (%)
Cash and cash 51,810,243,607.11 20.30 36,091,090,060.90 16.91 43.55 Majorly caused by
equivalents the increase in
commercial bank
deposit
Notes 1,532,728,979.67 0.72 N/A Mainly because the
receivables sales of bank
acceptable bills by
the Company’s
wholly-owned
subsidiary,
Kweichow
Moutai-Flavor
Liquor Marketing
Co., Ltd., has
decreased.
Prepayment 389,109,841.28 0.15 898,436,259.15 0.42 -56.69 Mainly the
intangible assets
converted from the
pre-paid real-estate
funds.
Inventories 33,394,365,084.83 13.09 28,869,087,678.06 13.53 15.68
Other current 71,527,560.74 0.03 26,736,855.91 0.01 167.52 Mainly the VAT
assets credit increases
Debt 170,468,623.71 0.07 20,143,397.78 0.01 746.28 The Company’s
investment holding subsidiary,
Kweichow Moutai
Group Finance Co.,
Ltd. purchased
bonds
Investment 5,242,431.75 0.002 N/A The Company’s
real estate holding subsidiary,
property Moutai Custom
Marketing
(Guizhou) Co., Ltd.,
leased real estate
properties.
Fixed assets 17,472,173,182.85 6.85 16,225,082,847.29 7.60 7.69
Right-to-use 362,785,970.23 0.14 N/A Impacted by the
assets newly-implemented
leasing regulations
Other 2,059,761,333.33 0.81 N/A Purchased of
non-current certificates of
assets deposit
Other 9,830,052.91 0.005 N/A Disposal of the
non-current equities of
financial shareholding
assets company, Kweichow
Moutai Distillery
15 / 156
ANNUAL REPORT 2021
(Group) Foreign
Investment
Cooperation
Management CO.,
Ltd.
Deferred 2,237,206,443.84 0.88 1,123,225,086.37 0.53 99.18 Mainly caused by
income tax the increase of
assets deferred tax assets
due to the
confirmation of
internal transactions
with unrealized
profits.
Accounts 2,009,832,495.56 0.79 1,342,267,668.12 0.63 49.73 Mainly due to the
payable account payable
increase for raw
materials.
Taxes payable 11,979,802,144.01 4.69 8,919,821,015.58 4.18 34.31 Mainly because the
taxes realized in this
period increased
over the previous
period.
Deposits from 21,763,575,647.32 8.53 14,241,859,949.77 6.67 52.81 Mainly because the
customers and Kweichow Moutai
inter-bank Group Finance Co.,
Ltd. absorbed more
deposits from other
member companies
of the group
company.
Non-current 104,319,886.87 0.04 N/A Impacted by the
liabilities due newly-implemented
within one leasing regulations.
year
Leasing 296,466,199.74 0.12 N/A Impacted by the
liabilities newly-implemented
leasing regulations.
Deferred 1,457,513.23 0.001 N/A Disposal of the
income tax equities of
liabilities shareholding
company, Kweichow
Moutai Distillery
(Group) Foreign
Investment
Cooperation
Management CO.,
Ltd.
Other -13,017,880.78 -5,331,367.75 N/A The financial reports
comprehensive for the overseas
income operation of the
Company’s
wholly-owned
subsidiary,
Kweichow Moutai
Paris Trading Co.,
Ltd., were converted
into its bookkeeping
base currency.
Other explanation: According to the relevant provisions of the accounting standards for Business
Enterprises No. 21 - leasing (CK [2018] No. 35) revised and issued by the Ministry of Finance in
2018, the Company implemented the new leasing regulations from January 1, 2021, and the
accounting treatment of leasing business was listed in the items of right-to-use assets, lease liabilities
and non-current liabilities due within one year.
16 / 156
ANNUAL REPORT 2021
B. Main assets overseas
□Applicable √N/A
C. Restricted assets rights as of the end of this reporting period
□Applicable √N/A
5.4 Analysis of operating information in the industry
√Applicable □N/A
Analysis of operating information in the liquor production industry
A. Industry profile
√Applicable □N/A
According to the National Bureau of statistics, the total output of Chinese Baijiu production
enterprises in Chinese Baijiu above designated size has reached 7,156.30 million liters in 2021, a
slight decrease of 0.59% compared with the same period last year. The sales revenue has reached
CNY 603.35 billion, a year-on-year increase of 18.6%; the total profit was CNY 170.19 billion, a
year-on-year increase of 32.95%.
B. Production Capacity
Current capacity
√Applicable □N/A
Main Factories Designed Capacity Actual Capacity
Chinese Baijiu production workshop of Moutai 42,742.50 56,472.25
Series liquor production workshop 31,660.00 28,248.92
Notes: (1) In the design capacity of 31,660.00 tons of series base liquor, due to the production process
characteristics of the series liquor, the design capacity of 6,400.00 tons of series base liquor was
placed into operation in November 2021, and the actual capacity would be released in 2022. (2) The
company uses the weight unit to measure according to the usual practice. The units of measurement
used for production, sales, inventory, and production capacity in this report are all in "tons".
Capacity under Construction
√Applicable □N/A
Unit: CNY 10,000
Planned Amount Accumulated
Name of the Capacity under Construction investment invested in this investment
amount reporting period amount
30000 ton Moutai-flavored series liquor 838,400.00 205,273.00 371,273.00
technical renovation project and its
supporting facilities
Production capacity calculation standards
√Applicable □N/A
In the above “existing capacity” table, the design capacity is calculated according to the production
process requirements, combined with the plant specifications and the number of cellars, and the actual
capacity is calculated according to the actual base liquor production yield in the reporting period.
C. Inventory at the end of the reporting period
√Applicable □N/A
Unit: Ton
Finished liquor Semi-finished liquor (including base liquor)
10,282.35 250,463.82
Note: The finished liquor is the Company’s packaged inventory stock (including Moutai-flavor series
liquor).
17 / 156
ANNUAL REPORT 2021
Inventory Impairment Risk Warning
□Applicable √N/A
Product profile
√Applicable □N/A
Unit: CNY 10,000
Change Change Change
Producti Main
Product Productio （%） Sales （%） （%）
on/sales Sales revenue representing
grade n (ton) Same (tons) Same same
rate (%) brand
Period period period
Moutai 56,472.25 12.42 36,261.31 5.68 9,346,451.21 10.18 Moutai
28,248.92 13.33 30,177.38 1.46 1,259,477.82 26.06 Moutai
Wangzi
Other liquor, Han
series Moutai-flav
liquor ored liquor,
Lai Mao
liquor
Note: (1) In order to ensure the sustainable development of the Company, a certain amount of base
liquor needs to be retained every year. According to the production process, it takes Maotai liquor at
least 5 years of cellaring since its production before in can be released from the factory. (2) Moutai is
a blend of base liquor of different years, different rounds and different concentrations. It is a perfect
combination of technology and art. Therefore, the base liquor of a certain year may appear as a
product in the next several years. (3) The Company regards quality as its life, adheres to quality first,
adheres to the spirit of craftsmanship, and adheres to the principle of “honoring the principles, abiding
by the rules, sticking to the craftsmanship, cellaring enough liquor to age, and not selling young
liquor”. The production of Moutai is of natural solid-state fermentation, brewed with traditional
craftsmanship, and therefore the production yield has certain volatility. (4) Based on the above
reasons, the production and sales rate of Moutai base liquor cannot be accurately calculated. The
product formation process of series liquor is similar to that of Moutai.
Product grading standards
√Applicable N/A
Graded by the quality of the product.
Changes in the product structure and business strategy
□Applicable √N/A
E. Raw material purchase
a. purchase model
√Applicable N/A
Raw materials are mainly purchased from the market through centralized procurement according
to the Company’s production and sales plan.
b. purchase amount
√Applicable N/A
Unit: CNY 10,000
Purchase amount in Purchase amount in as % in total
Raw materials type
this period last period purchase amount
Liquor brewing raw
310,081.75 295,279.42 48.90
materials
Packaging materials 282,811.20 239,037.16 44.59
Energies 35,258.15 26,730.70 5.56
Workshop auxiliary
6,042.04 4,690.69 0.95
materials
18 / 156
ANNUAL REPORT 2021
F. Sales
a. Sales model
√ApplicableN/A
The Company’s products are sold through direct selling and distributor channels. Direct sales
channels refer to self-operated channels, while wholesale agency channels refer to social distributors,
supermarkets, e-commerce and other channels.
b. Sales channel
√ApplicableN/A
Unit: CNY 10,000
Sales amount in Sales amount in Sales volume in Sales volume in
Channel type
this period last period this period (ton) last period (ton)
Direct selling 2,402,936.23 1,324,035.65 5,735.70 3,932.08
Wholesale agency 8,202,992.80 8,158,164.26 60,702.99 60,123.80
c. Regional situation
√ApplicableN/A
Unit: CNY 10,000
Sales
Sales as % in Sales volume
Region Sales revenue volume in as % in the
revenue in the total in last period
Name in last period this period total volume
this period amount (ton)
(ton)
Domesti 10,344,081.
9,238,973.51 97.53 64,877.80 62,529.32 97.65
c 75
Overseas 261,847.28 243,226.40 2.47 1,560.89 1,526.56 2.35
Regional division standards
Applicable √N/A
d. Distributor Situation
√ApplicableN/A
Number of distributors
Number increased in Number decreased in
Region Name by the end of the
the reporting period the reporting period
reporting period
Domestic 2,089 63 20
Overseas 104
Facts:
√ApplicableN/A
The increase is mainly the distributors of Moutai-flavor series liquor, and the decrease is mainly the
distributors of Moutai liquor.
Management of distributors
Applicable √N/A
e. Online-sales situation
Applicable √N/A
Future online business strategy
Applicable √N/A
G. Analysis of the Company’s revenue and cost
a. disclose the composition of the company’s main business by different types
19 / 156
ANNUAL REPORT 2021
√ApplicableN/A
Unit: CNY
Gross
Operating Change Change Change
Type Operating costs profit
proceeds （%） （%） （%）
rate（%）
By class of product
Moutai 93,464,512,115.94 10.18 5,577,910,539.00 9.36 94.03 0.04
Other series liquor 12,594,778,226.24 26.06 3,313,079,971.72 11.06 73.69 3.55
Subtotal 106,059,290,342.18 11.85 8,890,990,510.72 9.99 91.62 0.14
by sales channel
Direct selling 24,029,362,357.92 81.49 932,607,888.24 60.89 96.12 0.50
Wholesale agency 82,029,927,984.26 0.55 7,958,382,622.48 6.06 90.30 -0.50
Subtotal 106,059,290,342.18 11.85 8,890,990,510.72 9.99 91.62 0.14
By regional segment
Domestic 103,440,817,492.55 11.96 8,649,283,176.18 9.83 91.64 0.16
Overseas 2,618,472,849.63 7.66 241,707,334.54 15.96 90.77 -0.66
Subtotal 106,059,290,342.18 11.85 8,890,990,510.72 9.99 91.62 0.14
Fact Sheet
Applicable √N/A
Cost
√ApplicableN/A
Fact Sheet
√ApplicableN/A
See Statement of Cost, Analysis of main business, Section III Management Discussion and Analysis.
5.5Analysis of investment situation
Total investment
Applicable √N/A
A. Significant equity investment
Applicable √N/A
B. Important non-equity investment
√ApplicableN/A
Non raised fund projects (projects with total investment exceeding 10% of the Company’s audited net
assets at the end of last year)
a. According to the resolution of the Company’s 2011 annual shareholders’ meeting, the Company has
planned to invest CNY 3,583.16 million in the construction of Moutai-flavor series liquor making
technical transformation project and supporting facilities project. By the end of the reporting period, a
total of CNY 1,994.84 million had been invested.
b. According to the resolution of the Company’s first extraordinary general meeting in 2012, the
Company has planned to invest CNY 4,139.00 million in the construction of phase I of the Moutai
liquor technical transformation project and supporting facilities project in Zhonghua Area. By the end
of the reporting period, a total of CNY 4,281.51 million has been invested.
C. Financial assets measured at fair value
Applicable √N/A
20 / 156
ANNUAL REPORT 2021
5.6Analysis of major holding companies
√ApplicableN/A
Unit: CNY 10,000
Registered Operating Operating
Company name Industry Total assets Net assets Net profit
capital proceeds profit
Liquor,
Kweichow Moutai beverages
1,000.00 7,651,886.93 5,678,012.95 9,061,083.73 6,405,840.18 4,803,918.40
Sales Co., Ltd. and tea
wholesale
5.7Structured entities controlled by the Company
Applicable √N/A
6. Discussion and analysis of the Company’s future development
6.1Pattern and trend in the industry
√Applicable N/A
Pattern and trend. In 2021, the ever-changing situation and the century epidemic situation are
intertwined, and the external environment becomes more complex, severe and uncertain. However,
the fundamentals of China’s long-term economic improvement will not change. The total volume of
liquor production and sales has stabilized, and quality and efficiency have been steadily improved.
The main trends are as follows: first, the industry will further improve quality and efficiency. In 2021,
the Chinese Baijiu enterprises have completed their business income of CNY 603.35 billion, an
increase of 18.6% over the same period last year. The total profit was CNY 170.19 billion, a
year-on-year increase of 32.95%. The high-quality development of the industry has achieved
remarkable results; second, the industrial concentration was further improved. The market share of the
industry will continue to concentrate on advantageous brands, advantageous production capacity and
advantageous production areas, and the structural growth pattern will exist for a long time; third, the
consumption structure was further upgraded. Under the background of common prosperity, disposable
income of residents continues to increase. The demand for Chinese Baijiu with high quality will drive
the development of high-quality and famous Chinese Baijiu.
Competitive advantage of the Company. First, the Company has “four core potentials” composed of
unique geographical protection of origin, non-replicable microbial colony, unique brewing technology
inherited for thousands of years and high-quality base liquor resources stored for a long time; Second,
the company has large-scale product production and supporting capacity, strong management,
technology and marketing team and craftsman team proficient in Chinese Baijiu making, starter
making, blending and tasting; Third, as a traditional pillar and characteristic advantage industry in
Guizhou Province, local governments have successively introduced various policies to support the
development of Chinese Baijiu industry. The external environment of Chinese Baijiu development has
been continuously improving, the market competitiveness is outstanding, and brand competitiveness
has been leading continuously.
6.2 Development strategy
√Applicable N/A
During the “14th Five Year Plan” period, the Company will take the overall situation with
high-quality development, closely focus on the development goal of “dual-doubling,
dual-consolidation and dual-construction” of the group company, unswervingly follow the “five line
development path”, adhere to the principle that quality is the soul of life, build the two lifelines of
ecology and safety, focus on the main business, deeply practice the “five-in-one marketing”, make
decisions according to the situation, take advantage of the situation, gather strength, and continuously
improve product quality, brand value, marketing ability, cultural content and management efficiency
to promote high-quality development and make great strides forward.
6.3 Business plan
√Applicable N/A
21 / 156
ANNUAL REPORT 2021
In the new year of 2022, the Company will strictly follow the decisions and arrangements of the CPC
Central Committee, the State Council, Guizhou Provincial Party Committee and the provincial
government, put every effort into the production and operation, reform and development, strive to
promote the high-quality development of the company.
This year’s business objectives are as follows: first, the total operating proceeds will increase by about
15% compared with the previous year; and the second is to complete the capital construction
investment of CNY 6.97 billion. The Board of Directors will focus on the annual targets and tasks,
take overall consideration and go all out to do the following key tasks:
First, we will make every effort to ensure high-quality and stable production. Further practice the
concept of “quality is the soul of life”, establish the new era of quality concept, build and implement
the “365” quality management system, adhere to the traditional process, scientific innovation,
continue to promote the modernization of Moutai quality management; constantly optimize the
production process analysis and judgment system, pay close attention to production process
implementation and process management, strengthen scientific research and technology, build and
improve the whole industry chain and whole life cycle information platform, support Moutai quality
engineering with modern science and technology, and provide strong technical support for sustainable
quality and stable production.
Second, we will continue to do a good job in marketing. We will strengthen market coordination,
accelerate the optimization and upgrading of product mix, targeted product delivery, and increase
market share. We will resolutely crack down on fake and shoddy goods, and maintain market order
and stability. Accelerate the application of new anti-counterfeiting technology to provide technical
guarantee for Moutai’s anti-counterfeiting rights protection. Constantly enrich the brand connotation,
enhance the brand characteristics, promote the upgrading of consumption experience, and strive to
build Moutai Cultural Experience Hall into a cultural display store, brand image store, drinking
experience store and customer service store, so as to continuously provide consumers with higher
quality services.
Third, we will continue to deepen reform and innovation. We will carry out a campaign to improve
the management of world-class enterprises, continue to improve modern enterprise systems, and
systematically improve their governance capacity and level. We will make every effort to reform the
marketing system, optimize the distribution of the marketing network, and ensure that the fruits of
reform and development will benefit more consumers. We will promote the integrated development of
“industry, university and research”, introduce professional and technical personnel, deepen
cooperation in scientific research projects, accelerate the transformation of innovation achievements,
further enhance the independent innovation capacity of enterprises, and provide strong technical and
intellectual support for high-quality development.
Fourth, we will promote project construction in an orderly manner. To manage the quality, cost and
progress of the whole life cycle projects, start the construction of packaging logistics park; accelerate
the construction of 30,000 tons of Moutai-flavor series liquor technical renovation project and 15
liquor warehouses in Zhonghua area; strengthen the overall scheduling and supervision, accelerate the
effective disposal of historical “legacy projects”, and lay a solid foundation and enhance the
sustainability for the sustainable and steady development of Moutai.
Fifth, we will adhere to the red line of safety and environmental protection. We will continue to carry
out a three-year campaign to improve work safety, improve the work safety management mechanism,
promote the construction of a safety risk control and hidden danger management system, implement
smart safety and smart fire protection, improve the professional level of safety management, and
enhance the ability of prevention and rescue and relief. Adhere to the ecological priority, green
development path, promoting “de-pollution” and “de-carbon” project, strive to build
“Mountain-River-Forest-Soil-River-Microbe” life community and green low-carbon circulation
industry system, promote the construction of “xi ecological civilization thought practice
demonstration base” and build “Chinese Baijiu industry ecological benchmarking enterprise”, to
protect Moutai survival and development of natural ecological environment.
22 / 156
ANNUAL REPORT 2021
Sixth, to enhance the level of cultural development. Focusing on the nine aspects of Moutai culture,
“people, culture, material, art, ceremony, festival, harmony, history and tool”, we will
comprehensively excavate, refine, build and enrich Moutai culture. We will plan and hold high-end
international wine culture activities, hold traditional cultural activities such as the “Dragon Boat
Festival” and “Moutai Festival”, launch the compilation of the Chinese Wine Culture Ceremony, and
strive to build a key national cultural project. Coordinate service management, standardize brand
monitoring and supervision, and strive to establish and improve the corporate culture system in line
with their own characteristics.
Seventh, we will strengthen the construction of personnel teams. Focusing on the needs of
development, we will cultivate and introduce national and provincial high-level innovative talents,
outstanding professional talents and operation and management talents in key areas. We will deepen
the “Eight-step craftsman” training system, set up the “Moutai Craftsman Day”, and cultivate a group
of post-90s skills through versatile craftsmen, including craftsmen, Moutai craftsmen, skill
identification, teachers, skill competitions, labor competitions, and “five small” activities. We will
continue to increase staff training, smooth the channels for the evaluation and employment of job
technology and professional titles, strive to improve the working vision and professional level of
technical personnel, establish a talent classification and evaluation system that fits the development of
Moutai, and strive to create a good environment to attract talents, love and use talents.
Eighth, we will continue to strengthen our responsibility. We will actively carry out social public
welfare activities such as donating money for students and helping the poor, and continue to highlight
the image of Moutai charity brand. Continue to optimize the support methods, steadily improve the
base support standards, and effectively protect the fundamental interests of farmers; continue to help
Daozhen develop advantageous and characteristic industries, drive development by industry, continue
to consolidate the achievements of poverty alleviation and rural revitalization, help the economic and
social development of the province, and make contributions to promoting common prosperity.
6.4Possible confronting risk
Applicable√ N/A
First, the risk of macroeconomic uncertainty; second, the epidemic impact on the consumption
demand of Chinese Baijiu; and third, the risk of ecological environment protection; fourth, the risk of
intellectual property protection.
6.5Micellaneous
Applicable √N/A
7. The Company’s failure to disclose the information and reasons in accordance with the
standards due to non-application of the standards or special reasons such as state secrets and
trade secrets
Applicable √N/A
Section IV Corporate Governance
1. Description of the related situation of corporate governance
√Applicable □N/A
In strict accordance with the Company Law, Securities Law, “Governance Standards of Listed
Companies” and other laws and regulations and the China Securities Regulatory Commission,
Shanghai Stock Exchange, our company issued regulatory documents on corporate governance,
combining the actual situation of the company, establish and improve the corporate governance
structure, actively promote the optimization of corporate governance structure, standardize the
company operation. The company has formulated the relevant rules and regulations, and all the
23 / 156
ANNUAL REPORT 2021
systems have been effectively implemented. The company has revised and improved the articles of
Association, Rules of Procedure of the General Meeting of Shareholders, Rules of Procedure of the
Board of Directors and Rules of Procedure of the Board of Supervisors, with clearer rights and
responsibilities. The general meeting of shareholders, the board of directors, the board of supervisors
and the managers of the company shall perform their own duties and standardize the operation, and
the information disclosure of the company should be true, accurate, complete, timely and fair. The
board of directors consists of five special committees, including strategy, audit, risk management,
nomination, salary and assessment, each of which carries out its work according to its duties. The
independent directors expressed their independent opinions in accordance with the regulations and
played a full role.
(1) Situation of the General Meeting of Shareholders. In accordance with the requirements of the
Articles of Association and the Rules of Procedure of the General Meeting of Shareholders of the
Company, the Company convene the general meeting of shareholders to ensure that all shareholders,
especially minority shareholders, enjoy equal status and can fully exercise their rights, and employs
legal counsel to issue legal opinions on the general meeting of shareholders. In 2021, the company
held two general meetings of shareholders, deliberated and passed 15 motions, and all the resolutions
were carefully implemented.
(2) Situation of the Board of Directors. At present, the board of directors of the company is composed
of 6 directors, among which 3 are independent directors and 1 is a staff director. The board of
directors should meet the requirements of laws and regulations. The board of directors of the company
has five special committees: strategy, audit, risk management, nomination, salary and assessment.
Each committee has a clear division of labor, clear rights and responsibilities, and effective operation.
All the directors of the company can proceed from the interests of the company and all shareholders,
perform their duties in good faith, loyalty, diligence, professional and due diligence, and earnestly
safeguard the legitimate rights and interests of the company and all shareholders.
(3) Situation of the Board of Supervisors. At present, the board of Supervisors of the company is
composed of 3 supervisors, one of whom is an employee supervisor. The composition of the board of
supervisors meets the requirements of laws and regulations. The Board of Supervisors of the
Company shall be diligent and responsible, exercise the function of supervision and inspection in the
spirit of responsibility to shareholders, supervise the company’s financial situation and operation,
related transactions and the performance of duties of senior management personnel, and safeguard the
legitimate rights and interests of the Company and all shareholders.
(4) Situation of controlling shareholders and listed companies. The controlling shareholder shall
exercise the rights of the investors and assume their obligations in strict accordance with the
requirements of the Company Law. The company has independent business and independent
operation ability. The controlling shareholders and the listed company have achieved independent
business, personnel, assets, institutions and finance. The board of directors, board of supervisors and
internal institutions of the company all operate independently to ensure that the company’s major
decisions are independently made and implemented by the company.
(5) Company information disclosure. The Company discloses relevant information in strict
accordance with laws, regulations, the Articles of Association and the Information Disclosure
Management Measures of the Company truly, accurately, completely, timely and fairly, and ensures
that all shareholders and other stakeholders can have equal access to the Company information.
During the reporting period, the company disclosed 30 interim announcements and 4 periodic reports.
(6) Related party transactions. Related party transactions between the Company and its controlling
shareholder China Kweichow Moutai (Group) Liquor Co., Ltd. and other related parties, these related
transactions are to ensure the normal production and operation and business, the specific content
through relevant agreement, and perform the legal procedures, follow the principle of openness,
fairness and justice, there is no adverse effect on the company operation.
24 / 156
ANNUAL REPORT 2021
(7) Internal control and construction situation. During the reporting period, the company continued to
carry out internal control related work in accordance with the requirements of the Basic Standards for
Enterprise Internal Control, continued to promote the internal control construction, evaluation, audit
and other related work, ensure the realization of the company’s internal control objectives, and further
improve the level of corporate governance.
(8) The formulation and implementation of the registration and management system of insider. In
accordance with the relevant provisions of the CSRC and the Shanghai Stock Exchange, the Company
has formulated the Registration and Management System for Company Insider. The company has
strictly implemented relevant systems, registered and filed insider information in accordance with the
regulations, further standardized the management of insider information, done a good job in the
confidentiality of insider information, safeguarded the principles of openness, fairness and justice of
information disclosure, and protected the legitimate rights and interests of the general investors.
Whether there are significant differences between corporate governance and laws, administrative
regulations and the CSRC regulations on the governance of listed companies; if there are any major
differences, the reasons shall be explained
√Applicable □N/A
2. The specific measures taken by the controlling shareholders and actual controllers of the
company to ensure the independence of the company's assets, personnel, finance, institutions
and business, as well as the solutions, work progress and follow-up work plans that affect the
independence of the company work progress and follow-up work plans that affect the
independence of the company
√Applicable □N/A
The situation of the controlling shareholders, actual controllers and other units under their control
engaged in the same or similar business as the company, as well as the impact of great changes in the
industry competition or competition on the Company, the solution measures taken, solution progress
and subsequent solution plans
√Applicable □N/A
3. Introduction of shareholders’ Meeting
Date of
Query index of
disclosure of
the designated
Session of Date of the
website Meeting resolution
the meeting convening publication
published in the
of the
resolution
resolution
For details, please refer to the
the annual Announcement of the Resolution
The Shanghai
general of Kweichow Moutai Annual
2021-06-09 Stock Exchange 2021-06-10
meeting in General Meeting of Shareholders
www.sse.com.cn
2020 in 2020 (Announcement No.: Lin
2021-013).
For details, please refer to the
The first
Announcement of the Resolution
extraordinary
The Shanghai of the First Extraordinary General
general
2021-09-24 Stock Exchange 2021-09-25 Meeting of Shareholders of
meeting of
www.sse.com.cn Kweichow Moutai in 2021
shareholders
(Announcement No.: Lin
in 2021
2021-026).
Preferred shareholders with restored voting rights request an extraordinary general meeting of
shareholders
√Applicable □N/A
25 / 156
ANNUAL REPORT 2021
Description of the shareholders’ general meeting
√Applicable □N/A
26 / 156
ANNUAL REPORT 2021
4. Situation of directors, supervisors and senior officers
4.1 Shareholding changes and remuneration of outgoing directors, supervisors and senior
managers currently and during the reporting period
√Applicable □N/A
Unit：per share
Total Whet
Num pre-tax her to
The
ber Caus remuner get
incre
Numb of e of ation paid
ase
er of shar The obtaine from
or
shares es incre d from the
Start Termin decre
held held ase the relate
Full Position Gen A Date ation ase
at the at or Compan d
Name (note) der ge of date of of
begin the decre y during partie
Term term share
ning end ase the s of
s
of the of of reportin the
withi
year the share g period comp
n the
year s (ten any
year
thousan
d CNY)
Ding Chairma mal 47 Septe Yes
Xiongj n and e mber
un director 24,
2021
director Nove
mber
28,
2018
Li mal
Acting 57 July Yes
Jingren e
general 2,201
manager 9
responsib
ilities
Lu mal 51 May 7
Jinhai independ e 18,
No
ent 2016
director
Xu mal 58 Septe 7
Dingbo independ e mber
No
ent 20,
director 2016
Zhang mal 58 Septe 7
Jingzh independ e mber
No
ong ent 20,
director 2016
Fu worker mal 43 June
Zhigan director e 10,20 Yes
g 20
You Chairma mal 52 March 80.56
Yalin n and e 20,
superviso 2020
r of the No
Board of
Supervis
ors
27 / 156
ANNUAL REPORT 2021
Che superviso Mal 54 June 63.76
xingyu r e 10,20 No
20
Liu Staff Mal 44 June 66.06
Chengl superviso e 10,20 No
ong r 20
Zhong vice-gen Mal 50 July 116.44
Zheng eral e 13, No
qiang manager 2015
Tu vice-gen Mal 46 Febru 76.38
Huabin eral e ary
No
manager 27,
2020
Wang vice-gen Mal 50 Febru 76.17
Xiaow eral e ary
No
ei manager 27,
2020
Deputy Nove
General mber
Manager 15,
and 2021
Jiang Chief Fem
44 4.18 No
Yan Financial ale
Officer
Secretary Januar
of the y 25,
Board 2022
Gao Chairma Mal 49 March Septem
Weido n and e 20, ber
Yes
ng director 2020 24,202
1
Wang Mal 52 Octob January
Yan director； e er 16, 6,2021 Yes
trustee 2018
Deputy
General
Manager July
and 2,201
Octobe
Liu Chief Mal 9
51 r 89.66 No
Gang Financial e
8,2021
Officer
Secretary Januar
of the y 18,
Board 2020
summa / / / / / / 594.21 /
tion
Note: 1. According to the relevant regulations of Guizhou State-owned Assets Supervision and
Administration Commission, the annual salary of enterprise leaders is composed of basic annual salary,
performance-based annual salary and term incentive. In principle, they do not enjoy other salary
expenses except the three parts, such as subsidies.2. The pre-tax remuneration received by Mr. Zhong
Zhengqiang and Mr. Liu Gang from the company during the reporting period included reissue of the
year-end performance of previous years
28 / 156
ANNUAL REPORT 2021
Full Name Main work experience
He served as deputy Secretary General of Guizhou Provincial Government and member
of the Party Leadership Group of The General Office of Guizhou Provincial Government,
Deputy Director of the Office of the Leading Group for Comprehensively Deepening
Reform of Guizhou Provincial Party Committee, Standing Committee member and Vice
Ding
Mayor of Bijie Municipal Committee of Guizhou Province (in charge of the executive
Xiongjun
work of the municipal Government), and Secretary of the Party Leadership Group and
Director of Guizhou Energy Bureau.Currently, he is the Secretary of the Party
Committee, Chairman and director of China Kweichow Moutai Distilley (Group) Co.,
Ltd., and the chairman and director of Kweichow Moutai Co., Ltd.
He served as a member of the Party Group and chief accountant of Guizhou Reservoir
and Ecological Immigration Bureau, a member of the Party Group and deputy Director of
Guizhou Reservoir and Ecological Immigration Bureau, the chief accountant of China
Li Jingren Kweichow Moutai Distillery (Group) Co., Ltd.. Currently, he is deputy Secretary of the
Party Committee, Vice Chairman, Director and general Manager of China Kweichow
Moutai Distillery (Group) Co., LTD, and director and acting general manager of
Kweichow Moutai Co., Ltd.
He used to be director of Financial Engineering Department and Director of Information
Technology Department of Southern Fund Management Company, general manager of
Baoying Fund Management Co., Ltd., and deputy general manager of China Re Asset
Lu Jinhai
Management Co., Ltd. He is currently a partner of Shenzhen Qianhai Daoming
Investment Management Co., Ltd. and an independent director of Kweichow Moutai Co.,
Ltd.
He was a teaching assistant at the University of Pittsburgh and Minnesota, an assistant
professor at Hong Kong University of Science and Technology, and an adjunct professor
at Peking University. Current central Europe international business school according to
the way accounting teaching professor, deputy provost, central Europe international
Xu Dingbo business school education development foundation secretary general, CGMA100 north
Asia management accounting leaders, vice President of China association of chief
accountants, executive director, societe generale (China) co., LTD., independent director,
China Kweichow Moutai Distillery (Group) Co., Ltd.., independent director, Jingdong
Group independent director.
He once served in the Research Office of the Political and Legal Committee of Zhejiang
Provincial Party Committee. He is currently the director of Zhejiang Tianji Law Firm, an
Zhang
independent director of Shanghai Chenguang Stationery Co., Ltd., an independent
Jingzhong
director of Kweichow Moutai Co., Ltd., and an independent director of Gansu Huangtai
Liquor Co., Ltd.
He once served as the director of the Quality Department of China Kweichow Moutai
Distilley (Group) Co., Ltd., the director of the Quality Department of Kweichow Moutai
Co., Ltd., and the secretary of the Production Party branch of Kweichow Moutai Co., Ltd.
Fu Zhigang Currently, he is the director and deputy secretary of the Party branch and director of the
Central Procurement Center of China Kweichow Moutai Distilley (Group) Co., LTD.,
and employee director of the Centralized Procurement Center of Kweichow Moutai
Liquor Co., LTD, director.
He used to be assistant to the general manager, director of the Party Committee Office,
Secretary of the Party Committee, director of the National Security Office, Director of the
You Yalin confidentiality Office, and director of the petition Office of China Kweichow Moutai
Distillery (Group) Co., LTD. He is currently the chairman and supervisor of the Board of
Supervisors of Kweichow Moutai Co., Ltd.
He used to be the director of the Enterprise Management Department of Kweichow
Moutai Co., Ltd., a member of the Office of the Leading Group of China Kweichow
Che Moutai Distilley (Group) Co., Ltd., and the full-time chairman of the Board of
Xingyu Supervisors of the Management Office of the Subsidiary Board of Supervisors. Currently,
he is the director and Deputy Secretary of the Party Committee of the Life Service and
Security Center of China Kweichow Moutai Distilley (Group) Co., LTD., supervisor,
29 / 156
ANNUAL REPORT 2021
Director.
He served as the director of the Legal Protection Department of Kweichow Moutai
(Group) distillery Co., Ltd, and the director of the Legal Protection Department of
Kweichow Moutai Co., Ltd. Currently, he is the director of the Human Resources and
Liu
Social Security Department of China Kweichow Moutai Distilley (Group) Co., Ltd., the
Chenglong
vice president of the Party School (Staff Training School), the staff supervisor and the
director of the Human Resources and Social Security Department of Kweichow Moutai
Co., Ltd.
He served as director and Deputy Secretary of Workshop 13 of Kweichow Moutai Co.,
Zhong
Ltd.; Assistant General Manager and Director of Production Management Department.
Zhengqiang
He is currently the deputy general manager of Kweichow Moutai Co., Ltd.
Assistant general manager of Kweichow Moutai Co., LTD., director of production
management department, new workshop preparation group leader, party branch secretary
of production, assistant general manager of China Kweichow Moutai (Group) distillery
Tu Huabin Co., Ltd., Kweichow Moutai (Group) distillery Co., Ltd. Deputy Party secretary, vice
chairman, general manager. Currently, he is the deputy general manager of Kweichow
Moutai Co., LTD., and serves as the Party Secretary of Kweichow Moutai Co., LTD., and
Yixing Liquor Branch.
He served as Deputy Secretary and Deputy Director of the Party Branch of the 4
Workshop of Kweichow Moutai Co., Ltd., Secretary and Deputy Director of the Party
Wang Branch of Kweichow Moutai Co., Ltd., and Secretary and Deputy Director of the 25
Xiaowei Workshop of Kweichow Moutai Co., Ltd. Currently, he is the deputy general manager of
Kweichow Moutai Co., Ltd., and the Party Secretary and chairman of Kweichow Moutai
Sales Co., Ltd.
She served as general manager of Moutai CCB (Guizhou) Investment Fund Management
Co., LTD., chairman of Moutai (Shanghai) Financial Leasing Co., LTD., and vice
chairman of Guiyang GYB Financial Leasing Co., LTD. Currently, he is deputy general
Jiang Yan
manager, Chief Financial Officer and Secretary of the Board of Directors of Kweichow
Moutai Co., Ltd., chairman of Moutai CCB (Guizhou) Investment Fund Management
Co., Ltd., and Party Branch Secretary of Moutai (Shanghai) Financial Leasing Co., Ltd.
Other information
√Applicable □N/A
4.2 The current and outgoing directors, supervisors and senior management personnel during the
reporting period
A. Appointment in shareholder entity
√Applicable N/A
End date of
Name of Positions held in Start date of term
Name of shareholder units term of
incumbent shareholder units of service
service
China Kweichow Moutai Party secretary,
Ding Xiongjun August 2021
Distillery (Group) Co., Ltd. chairman and director
Deputy Party
Secretary, Vice
July 2019
China Kweichow Moutai Chairman and General
Li Jingren
Distillery (Group) Co., Ltd. Manager
Director October 2018
Chief accountant October 2018 August 2021
Director of
Centralized
China Kweichow Moutai
Fu Zhigang Procurement Center March 2019
Distillery (Group) Co., Ltd.
and Deputy Secretary
of Party Branch
Director of Life
China Kweichow Moutai Service Guarantee
Che Xingyu December 2020
Distillery (Group) Co., Ltd. Center and Deputy
Secretary of Party
30 / 156
ANNUAL REPORT 2021
Committee
Director of Human
Resources and Social
Security Department,
China Kweichow Moutai
Liu Chenglong Vice President of February 2020
Distillery (Group) Co., Ltd.
Party School of Party
Committee (Staff
Training School)
B. Appointment in other units
√Applicable N/A
End date
Name of Positions held in other Start date of
Name of other units of term of
incumbent units term of service
service
Lu Jinhai Shenzhen Qianhai Daoming Partner
Investment Management Co., January 2016
Ltd.
Professor of
Accounting, Deputy
China Europe International Provost, Secretary
January 2004
Business School General of Education
Xu Dingbo Development
Foundation, Essilor
Societe Generale (China) Independent Director December
Limited 2015
JD.COM Group Independent Director May 2018
Zhejiang T&C Law Firm Director October 1988
Zhejiang Jinggong August
Independent Director January 2015
Technology Co., Ltd 2021
All China Lawyers October
Vice President April 2016
Association 2021
Zhang
October
Jingzhong Lily Group Co., Ltd Independent Director August 2017
2021
Shanghai M&G Co., Ltd Independent Director May 2017
Gansu Huangtai
Wine-Marketing Industry Co., Independent Director October 2020
Ltd.
China Kweichow Moutai
October
Distillery (Group) Cultural Supervisor June 2013
2021
Tourism Co., Ltd.
Kweichow Moutai Distillery
December November
Group Changli Winery Co., Director
2015 2021
Ltd.
Kweichow Moutai Distillery
(Group) Real Estate December
Director
Liu Investment Development Co., 2015
Chenglong Ltd.
Moutai & CCB Trust
September
(Guizhou) Investment Fund Director June 2017
2021
Management Co., Ltd.
Kweichow Moutai Distillery
September
(Group) Sanya Investment Director August 2017
2021
Industry Co., Ltd.
Kweichow Moutai Group December
Director
Finance Co., Ltd. 2018
31 / 156
ANNUAL REPORT 2021
December
Moutai & CCB Trust Chairman of the Board
2017
(Guizhou) Investment Fund
December March
Management Co., Ltd. General Manager
2017 2022
Secretary of Party December
Jiang Yan
Moutai(Shanghai)Financial Branch 2017
Leasing Co., Ltd. December March
Chairman of the Board
2017 2022
Guiyang GYB Financial December
Vice Chairman March 2021
Leasing Co., Ltd 2021
4.3 Remuneration of directors, supervisors and senior management personnel
√Applicable N/A
The annual remuneration decision-making procedures and basis of
directors, supervisors and senior management personnel who
receive remuneration in the Company shall be determined by the
Decision-making procedures for relevant regulations of Guizhou Provincial State-owned Assets
remuneration of directors, Supervision and Administration Commission and the Company’s
supervisors and senior managers Measures for the Evaluation and Remuneration Management of
Deputy Leaders and Measures for the Implementation of Wage
Management, while the remuneration of independent directors shall
be determined by the Shareholders Meeting.
It shall be determined by relevant systems such as Measures for the
Administration of Remuneration of Heads of Enterprises
Supervised by State-owned Assets Supervision and Administration
Commission of Guizhou Province, Measures for the Evaluation of
Basis for determining the Operating Performance of Heads of Enterprises Supervised by
remuneration of directors, State-owned Assets Supervision and Administration Commission
supervisors and senior managers of Guizhou Province, Measures for the Evaluation and
Remuneration Management of Deputy Personnel of Company
Leadership Team, and Measures for the Implementation of
Company Wage Management, and the remuneration of
independent directors is decided by the shareholders’ meeting.
Actual payment of remuneration of For details, please refer to “Changes in Shareholding and
directors, supervisors and senior Remuneration of Incumbent and Outgoing Directors, Supervisors
management personnel and Senior Management during the Reporting Period” in this
report.
Total actual remuneration received For details, please refer to “Changes in Shareholding and
by all directors, supervisors and Remuneration of Incumbent and Outgoing Directors, Supervisors
senior management personnel at the and Senior Management during the Reporting Period” in this
end of the reporting period report.
4.4 Changes in directors, supervisors and senior management personnel of the company
√Applicable N/A
Situation
Name Position Reasons of change
of change
Election of Shareholders Meeting and Board of Directors.
For details, please refer to the Announcement of
Resolutions of the First Extraordinary General Meeting of
Ding Chairman, Kweichow Moutai in 2021 (Announcement No.:
Elected
Xiongjun Director P.2021-026) and the Announcement of Resolutions of the
Eighth Meeting of the Third Board of Directors of
Kweichow Moutai in 2021 (Announcement No.:
P.2021-027) disclosed on September 25, 2021.
32 / 156
ANNUAL REPORT 2021
Appointed by the Board of Directors. For details, please
Deputy General refer to the Resolution Announcement of the 11th Meeting
Manager, Chief of the Third Board of Directors of Kweichow Moutai in
Jiang Financial Officer 2021 disclosed on November 16, 2021 (Announcement
Employed
Yan and Secretary of No.: P.2021-029) and the Resolution Announcement of the
the Board of First Meeting of the Third Board of Directors of
Directors Kweichow Moutai in 2022 disclosed on January 27, 2022
(Announcement No.: P.2022-002).
Resolutions of the Shareholders Meeting. For details,
please refer to the Announcement on Resolutions of the
Gao Chairman,
Left post First Extraordinary General Meeting of Kweichow Moutai
Weidong Director
in 2021 (Announcement No.: P.2021-026) disclosed on
September 25, 2021.
Resign. For details, please refer to the Announcement of
Wang
Director Left post Kweichow Moutai on Resignation of Directors disclosed
Yan
on January 8, 2021 (Announcement No.: P.2021-002).
Deputy General Board resolution. For details, please refer to the
Manager, Chief Announcement of Resolutions of the 9th Meeting of the
Liu Financial Officer Third Board of Directors of Kweichow Moutai in 2021
Left post
Gang and Secretary of (Announcement No.: P.2021-028) disclosed on October 9,
the Board of 2021.
Directors
4.5 Explanation of punishment by securities regulatory agencies in recent three years
Applicable √N/A
4.6 Others
Applicable √N/A
5. Board meetings during reporting period
Session of the Date of convening Meeting resolution
meeting
The first annual February 8,2021 Please refer to the Announcement of the Resolution of the
meeting of the First Meeting of the Third Board of Directors of
third Board of Kweichow Moutai in 2021 (Announcement No. Lin
Directors in 2021 2021-003 disclosed on February 10, 2021).
The second March 29, 2021 For details, see the Resolution Announcement of the
meeting of the Second Meeting of the Third Board of Directors of
third Board of Kweichow Moutai in 2021 (Announcement No. Lin
Directors in 2021 2021-004 disclosed on March 31, 2021:).
The third meeting April 26, 2021 For details, see the Resolution Announcement of the
of the third Board Third Meeting of the Third Board of Directors of
of Directors in Kweichow Moutai in 2021 (Announcement No. Lin
2021 2021-008 disclosed on April 28, 2021).
The fourth meeting May 17, 2021 The meeting deliberated and adopted the motion on
of the third Board convening the 2020 Annual General Meeting of
of Directors in Shareholders.
2021
The fifth meeting July 28, 2021 For details, see the Resolution Announcement of the Fifth
of the third Board Meeting of the Third Board of Directors of Kweichow
of Directors in Moutai in 2021 (Announcement No. Lin 2021-015
2021 disclosed on July 29, 2021).
The sixth meeting July 29, 2021 For details, see the Resolution Announcement of the
of the third Board Sixth Meeting of the Third Board of Directors of
of Directors in Kweichow Moutai in 2021 (Announcement No. Lin
2021 2021-016 disclosed on July 31, 2021).
33 / 156
ANNUAL REPORT 2021
The seventh September 7,2021 For details, see the Announcement of the Resolution of
meeting of the the Seventh Meeting of the Third Board of Directors of
third Board of Kweichow Moutai in 2021 (Announcement No. Lin
Directors in 2021 2021-018 disclosed on September 9, 2021).
The eighth September 24, 2021 For details, see the Resolution Announcement of the
meeting of the Eighth Meeting of the Third Board of Directors of
third Board of Kweichow Moutai in 2021 (Announcement No. Lin
Directors in 2021 2021-027 disclosed on September 25, 2021).
The ninth meeting October 8,2021 For details, see the Announcement of the Resolution of
of the third Board the Ninth Meeting of the Third Board of Directors of
of Directors in Kweichow Moutai in 2021 (Announcement Lin No.
2021 2021-028 disclosed on October 9, 2021).
The Tenth meeting October 21, 2021 The meeting deliberated and adopted the third quarter
of the third Board 2021 Report.
of Directors in
2021
The eleventh November 15, 2021 Please refer to the Resolution Announcement of the 11th
meeting of the Meeting of the Third Board of Directors of Kweichow
third Board of Moutai in 2021 (Announcement No. Lin 2021-029
Directors in 2021 disclosed on November 16, 2021).
The twelfth December 9,2021 Please refer to the Resolution Announcement of the 12th
meeting of the Meeting of the Third Board of Directors of Kweichow
third Board of Moutai in 2021 (Announcement No. Lin 2021-030
Directors in 2021 disclosed on December 10, 2021).
The thirteenth December 30,2021 The meeting deliberated and passed the “on the review of
meeting of the motion” and “on
third Board of the capital purchase and Yixing wine branch talent
Directors in 2021 turnover room”.
34 / 156
ANNUAL REPORT 2021
6. Performance of duties by the directors
6.1The directors attend the board of directors and the general meeting of shareholders
Joining
the
sharehold
Participation in the Board of Directors
ers’
general
director Whether meeting
surnam an Did not
e and independ persona Number
Number
persona ent Number Number of lly of
of Number of Absen
l name director of board participatio attend attendanc
in-perso commissio ce,
attenda n by the e at
n ned numbe meeting
nce this communica sharehold
attenda attendance r
year tion for ers’
nce twice in meetings
a row
Ding no 6 6 5 0 0 no 0
Xiongj
un
Li no 13 13 11 0 0 no 2
Jingren
Lu yes 13 12 12 1 0 no 1
Jinhai
Xu yes 13 13 12 0 0 no 1
Dingbo
Zhang yes 13 13 11 0 0 no 2
Jingzho
ng
Fu no 13 13 11 0 0 no 2
Zhigan
g
35 / 156
ANNUAL REPORT 2021
Failure to personally attend board meetings for two consecutive occasions
Applicable √N/A
Number of board meetings held within the year 13
Including: the number of live meetings 1
Number of meetings held by communication mode 11
The number of meetings were held on site 1
combined with communication methods
6.2 Explanation of directors' objections to company-related matters
Applicable √N/A
6.3 Other
Applicable √N/A
7. Situation of a special committee under the Board of Directors
√Applicable N/A
7.1 The members of a special committee under the Board of Directors
Special Committee category Member name
The Audit committee Xu Dingbo, Ding Xiongjun, Lu Jinhai
The Nomination committee Lu Jinhai, Zhang Jingzhong, Fu Zhigang
The Salary and Assessment Committee Zhang Jingzhong, Li Jingren, Lu Jinhai
The Strategy Committee Ding Xiongjun, Li Jingren and Zhang Jingzhong
The Risk Management Committee Li Jingren, Xu Dingbo, Fu Zhigang
7.2 The audit committee held four meetings during the reporting period
Date of
content of meeting Important comments and suggestions
convening
March 29, 2021 The first annual Deliberated and passed the 2020 audit committee of the
meeting of the Audit board performance report, 2020 annual report (full text and
Committee in 2021 abstract), 2020 financial budget plan, 2021 financial budget
plan , 2020 internal control audit report, 2021 financial audit
institutions and internal control audit institutions, on daily
related transactions with related parties, and agreed to
submit the relevant proposals to the board of directors for
consideration according to the provisions.
April 26, 2021 The Second Annual Deliberated and passed the “First Quarter of 2021 Report”,
Meeting of the “Proposal on Accounting Policy Change” and other motions,
Audit Committee in and agreed to submit the motion to the board of directors of
2021 the company for deliberation.
July 29, 2021 The third annual Deliberated and adopted the 2021 Semi-Annual Report (Full
meeting of the Audit text and Abstract), and agreed to submit the motion to the
Committee in 2021 board of directors of the company for deliberation.
October 21, 2021 The Fourth Meeting Deliberated and adopted the Third Quarter 2021 Report, and
of the Audit agreed to submit the motion to the company’s board of
Committee in 2021 directors for deliberation.
7.3 The nominating committee convene a meeting during the reporting period
Date of convening content of meeting Important comments and suggestions
November 15, The First Meeting Deliberated and passed the “Motion on Nominating
2021 of the Nomination Candidates of Directors”, “Motion on the appointment of
Committee in 2021 Senior Managers” and other motions, and agreed to submit
the motion to the board of directors of the company for
deliberation.
7.4 The strategy committee held a meeting during the reporting period
36 / 156
ANNUAL REPORT 2021
Date of convening content of meeting Important comments and suggestions
December 9,2021 The first annual Deliberated and passed the proposal on the investment
meeting of the and implementation of the First phase of the Packaging
Strategy Logistics Park Project, and agreed to submit the
Committee in 2021 proposal to the board of directors of the company for
deliberation.
7.5The risk management committee hold a meeting during the reporting period
Date of convening content of meeting Important comments and suggestions
March 29th, 2021 The first annual We deliberated and passed the 2020 Annual Report
meeting of the risk (full text and abstract), 2020 Internal Control
management Evaluation Report, Proposal on Daily Related
committee in 2021 Transactions and other motions, and agreed to submit
the motions to the board of directors of the company
for deliberation.
7.6 Specific circumstances where objections exist
Applicable √N/A
8. Explanation that the Board of Supervisors finds the risks of the Company
The Board of Supervisors has no objection to the supervision matters during the reporting period.
9. Report on the employees of the parent company and its main subsidiaries at the end of the
period
9.1 Employee condition
Number of active employees in the parent 28,756
company
Number of active employees in the main 1,215
subsidiary
Total number of current employees 29,971
The number of retired employees of the parent 1,657
company and its main subsidiary that shall bear
the expenses
Professional composition
Professional composition category Number of majors
operating personnel 24,868
salesman 1,056
artisan 587
financial staff 222
clerical staff 1,670
Other personnel 1,568
Total 29,971
Educational background
Education background type Quantity (person)
Graduate degree or above 304
university degree 7,269
college degree 4,001
Technical secondary school, high school and 18,397
below
Total 29,971
9.2 Compensation policy
√ ApplicableN/A
First, the senior managers implement the annual salary system, according to the relevant regulations of
SASAC and the Company; Second, the intermediate managers implement the quasi annual salary
system, according to the work nature, responsibilities, risk and performance, the performance pay
system, and adopt the total wage contract system according to different management needs, the
technical content, knowledge content, labor intensity and performance of different series and posts.
9.3 Training plan
37 / 156
ANNUAL REPORT 2021
In order to meet the requirements of the company’s strategic development for human resources and
improve the company’s core competitiveness, 167 staff training projects will be carried out in 2022,
including 54 company-level training projects and 113 department-level training projects. First, to
improve the quality of training. According to the principle of “classification, overall consideration,
focus, tendency, internal training, outsourcing” training plan, made more targeted, more detailed,
practical adjustment, curriculum design more optimization, teaching content, increase training and per
capita training class, constantly improve the training quality; second, strict training content. In strict
accordance with the “each employee receives at least 42 hours of professional training every year”,
“training for 24 hours or more, national laws and regulations, company rules and regulations, corporate
culture included in the training courses” and other provisions, the safety, regulations, culture,
environmental protection and others into the general training; third, highlight the characteristic content.
The training not only sets up professional knowledge of wine production, professional skills and quality
improvement training related to production, but also provides various special training, such as
production technology, finance, comprehensive management, equipment management, qualification
evidence collection, pre-job training of various functional units.
9.4 Labor service outsourcing condition
The company accepts the labor service of Kweichow Moutai Liquor Factory (Group) Technology
Development Co., Ltd., the holding subsidiary of the parent company, for packaging some products of
Moutai-flavor series liquor. The transaction amount is calculated based on the actual packaging
workload. The annual transaction amount in 2021 was 202 million yuan.
10. Profit distribution or capital reserve conversion plan
10.1The formulation, implementation or adjustment of the cash dividend policies
√ ApplicableN/A
The articles of Association of the company defines the principles, conditions, methods, cycles, cash
dividend ratio, profit distribution decision and adjustment procedures and mechanisms of profit
distribution.
According to the “2020 Annual Profit Distribution Plan” approved by the company’s annual general
meeting of shareholders in 2020, the company is based on the total share capital of 1,256,197,800 shares
and distributed cash dividend of CNY 192.93 (before tax) to all the shareholders of the company for
every 10 shares. The profit distribution plan shall be expressed by the independent directors of the
company and approved by the board of directors of the company and submitted to the general meeting
of shareholders for deliberation and approval. When the shareholders’ meeting deliberated on the bill,
the small and medium shareholders were counted separately. The profit distribution has been
implemented in June 2021.
During the reporting period, the company’s profit distribution shall comply with the provisions of the
Articles of Association of the company.
10.2 Special explanation of the cash dividend policy
√ ApplicableN/A
Whether it complies with the provisions of the √ YesNo
articles of association or the resolution of the
general meeting of shareholders
Whether the dividend standard and proportion √ YesNo
are clear
Whether the relevant decision-making √ YesNo
procedures and mechanisms are complete
Whether the independent directors perform √ YesNo
their duties and play their due role
Whether minority shareholders have the √ YesNo
opportunity to fully express their opinions and
appeals, and whether their legitimate rights and
interests have been fully protected
38 / 156
ANNUAL REPORT 2021
10.3 If the profits are made during the reporting period and the parent company’s distributable
profits available to shareholders are positive, but fails to put forward the cash profit distribution
plan, the company shall disclose in detail the reasons, the use and use plan of the undistributed
profits
Applicable√ N/A
11. Situation and impact of the Company’s equity incentive plan, employee stock ownership plan
or other employee incentive measures
11.1 The relevant incentive matters have been disclosed in the interim announcement and there is
no progress or change in the subsequent implementation
Applicable√ N/A
11.2 Incentives if not disclosed or with subsequent progress in the interim announcement
Equity incentive
Applicable√ N/A
Other specifications
Applicable√ N/A
Employee stock ownership plan condition
Applicable√ N/A
Other incentives
Applicable√ N/A
11.3 The equity incentive situation granted by the directors and senior managers during the
reporting period
Applicable√ N/A
11.4 The evaluation mechanism of senior management personnel and the establishment and
implementation of the incentive mechanism during the reporting period
√ ApplicableN/A
Evaluation and incentive mechanism of senior managers in 2021, in accordance with the Measures for
the Management of Compensation of Principals of Enterprises of Guizhou Province, the Measures for
the Performance Assessment of Principals of Enterprises of Guizhou Province and other relevant
provisions, And the company’s “leadership deputy personnel assessment and salary management
measures” relevant provisions implementation, In accordance with the Notice of SasAC on the Business
Performance Assessment and Salary Audit Results of the Main Principals of Moutai Group in 2020 and
the Notice of SasAC on the Compensation Audit Opinions and Related Matters of the Principals of
Moutai Group in 2020, Combined with the company’s annual operating conditions and performance
evaluation results, To comprehensively determine the remuneration of senior management personnel
comprehensively.
12. Construction and implementation of the internal control system during the reporting period
√Applicable N/A
According to the basic specification of enterprise internal control and its supporting guidelines and other
internal control regulatory requirements, combined with the company’s internal control system and
evaluation method, on the basis of daily supervision and special supervision, the board of directors of
the company on December 31, 2021 (internal control evaluation report base date) internal control
effectiveness of the evaluation. See the Shanghai Stock Exchange website along with this report
(website: www.sse.com.The cn) 2021 Internal Control Evaluation Report.
Description of the major defects existing in the internal control during the reporting period
Applicable√ N/A
39 / 156
ANNUAL REPORT 2021
13. Management and control of the subsidiaries during the reporting period
√Applicable N/A.
The company adheres to the principles of “centralized management and control, one enterprise and one
policy”, “combination of management and release, dynamic authorization”, “combination of blocks,
management and service”, “based on corporate governance and functional management and control as
the core” as the control principles, and implements control over subsidiaries and subsidiaries. In 2021,
the Company adjusted and optimized the control mode: from “management based” to “management
combination”, which stimulated the development of the subsidiary with the original management and
functional control line and the importance of “legal management”; the third further optimized the
control office and corresponding line responsibilities, further highlighting the coordination and control
responsibilities of the control office.
To strengthen the management of the subsidiary, standardize its body and procedures, the company
irregular system review, in accordance with the management principle of legitimacy, applicability,
timeliness, problem oriented improvement principle, front review subsidiary the articles of association
and “three” rules of procedure, the articles of association and “three will” rules of procedure of the
overall framework, responsibilities and specific scope of study, discussion. Through the evaluation of
the articles of association of the subsidiary and the rules of procedure of the “three meetings”, the
company should strengthen the restriction and supervision of the power operation of the subsidiary
leadership, improve the work efficiency and work level, and promote the legalization,
institutionalization and scientization of the decision-making of the discussion body.
14. Relevant information description of the internal control audit report
√Applicable N/A
See the Shanghai Stock Exchange website along with this report (website: www.sse.com.The cn) Part
21 was disclosed in the Company’s 2021 Internal Control Audit Report.
Whether to disclose the internal control audit report: Yes
Type of internal control audit report opinion: standard unqualified opinion
15. Rectification of self-inspection problems in the special action of governance of listed
companies
According to the requirements of the Announcement of China Securities Regulatory Commission on the
Special Action of Listed Companies and the Notice of Guizhou Securities Regulatory Bureau on
Matters Related to the Self-examination of The Governance of Listed Companies, the company
conscientiously carried out the special self-inspection of listed companies according to the special
self-inspection list of the governance of listed companies.
In view of the problems found in self-inspection, the company attaches great importance to and
conscientiously rectify. As of the end of this report, there are the following four problems: controlling
shareholders have overdue failed to fulfill the commitment of the equity incentive plan, senior
management in the controlling shareholder part-time, independent directors for the outbreak of the
annual working time of less than 10 working days, to facilitate the daily work, the company and the
controlling shareholders exist part of the common office system.
In the next step, the company will continue to carry out the rectification work as required, strengthen the
modernization of corporate governance capacity and governance level, constantly improve the corporate
governance system and mechanism, continue to optimize the internal control system, steadily improve
the effectiveness of corporate governance, and promote the high-quality development of the company.
16. Other
Applicable√ N/A
40 / 156
ANNUAL REPORT 2021
Section V Environment and Social Responsibility
1. Environmental information situation
1.1 Environmental information of the company and its major subsidiaries that are key emission
units announced by the environmental protection authorities
√Applicable N/A
A. Emission information
√Applicable N/A
(1) Main pollutants: waste water, waste gas, solid waste.
(2) Name of characteristic pollutants: COD, ammonia nitrogen, sulfur dioxide, nitrogen oxides, smoke
(dust).
(3) Emissions of pollutants from January to December 2021.
①Wastewater
The company has five wastewater treatment plants, each with one outlet, located in the old factory area
and Zhonghua area of the company’s headquarter, and the Dadi area, Xinzhai area and Erhe area of
Heyixing Liquor Branch, with direct discharge of wastewater after treatment to standards.
COD Ammonia nitrogen
Name of sewage Average Average Pollutant emission
Total Total
treatment plants emission emission standards implemented
emissions emission
concentrat concentrat
(ton) s (ton)
ion (mg/l) ion (mg/l)
7000t/d sewage treatment
18.410 13.860 0.367 0.319
plant
Xinzhai sewage Emission Standards for
treatment plant of 25.130 8.484 0.379 0.121 Pollutants in Fermented
Heyixing Liquor Branch Alcohol and White Wine
Industry
4000t/d sewage treatment 25.724 11.166 0.810 0.379 (GB27631-2011) Table 3
plant Direct Emission
Dadi sewage treatment Standards
plant of Heyixing Liquor 36.222 16. 400 1.283 0.621
Branch
Standards for Discharge
Erhe sewage treatment
of Pollutants from Urban
plant of Heyixing Liquor 22.568 8.931 0.468 0.208
Sewage Treatment Plants
Branch
(GB18918-2002) Class A
②Exhaust gas
The company’s gas boilers are located in the old factory and Zhonghua area of the company’s
headquarters, and in the Dadi area, Xinzhai area and Erhe area of Heyixing Liquor Branch. The
company’s gas boilers use natural gas as the energy source, with direct emissions of boiler exhaust.
Sulfur dioxide Nitrogen oxides Smoke (dust)
Standards
Name of Average Average Average
Total Total Total implement
facilities emission emission emission
emission emissions emission ed
concentrati concentrat concentrat
s (ton) (ton) s (ton)
on ion ion
41 / 156
ANNUAL REPORT 2021
(mg/m3) (mg/m3) (mg/m3)
Gas boilers in
the old
factory
(including the
3.00 2.470 73.624 63.750 2.044 1.690
Zhonghua
area) of the
Emission
company
Standards
headquarters
for Boiler
Gas boilers in
Air
Xinzhai and
Pollutants
Dadi areas of
3.00 0.631 48.828 10.469 10.373 2.252 (GB13271
Heyixing
-2014)
Liquor
Table 2
Branch
Gas boilers in
Erhe area of
Heyixing 3.00 0.290 56.047 5.670 12.425 1.200
Liquor
Branch
③Solid waste disposal
The company’s solid waste lees, waste cellar sludge and waste yeast are handed over to
Kweichow Moutai (Group) Circular Economy Industrial Investment and Development Co., Ltd. and
other units for comprehensive utilization and disposal, while domestic waste is entrusted to third-party
units for transportation to waste incineration power plants for incineration.
(4) Total approved emissions
The company has declared and obtained the emission permit according to the “Management Measures
of Emission Permit (for Trial Implementation)” and related requirements. The total approved emissions
for the reporting period are: COD 60.097 tons; ammonia nitrogen 6.0097 tons; nitrogen oxides
203.8662 tons; sulfur dioxide and (powder) dust in accordance with Table 2 of the Emission Standards
for Boiler Air Pollutants (GB13271-2014).
B. Construction and operation of pollution prevention facilities
√Applicable N/A
Wastewater pollutant control facilities are mainly sewage treatment plants and other equipment facilities,
whose construction has been completed and in normal operation; the company began to implement the
boiler “coal to gas” project in 2011, and completed the comprehensive transformation in 2014,
eliminating the coal-fired boilers and building 33 gas boilers, which are now in normal operation.
C. Environmental Impact Assessment of Construction Projects and Other Administrative Permits
for Environmental Protection
√Applicable N/A
(1) The company carried out environmental impact assessment for new, reformed and expanded projects
in accordance with the law and obtained 3 approvals for administrative permits for environmental
impact assessment in 2021.
(2) Environmental protection inspection and acceptance of completed projects have been carried out in
accordance with the law and 5 online recordings have been completed.
D. Emergency response plan for environmental emergencies
√Applicable N/A
42 / 156
ANNUAL REPORT 2021
According to the Management Measures for the Filing of Emergency Response Plans for Enterprises
and Institutions (for Trial Implementation) (Huanfa [2015] No. 4) and other relevant documents, the
Company’s plants (Old Plant Area/Zhonghua area), and Heyixing Wine Branch (Dadi Area, Xinzhai
Area and Erhe Area) have prepared emergency environmental response plans and obtained filing forms
from environmental protection authorities, and conducted emergency response drills for emergency
environmental events in July 2021.
E. Self-monitoring environmental program
√Applicable N/A
According to the Measures for Environmental Information Disclosure by Enterprises and Institutions
(Ministry of Environmental Protection Decree No. 31), Self-monitoring Technical Guide for Emission
Units Wine and Beverage Manufacturing (HJ1085-2020), Self-monitoring Technical Guide for
Emission Units Thermal Power Generation and Boilers (HJ820-2017) and Self-monitoring Technical
Guide for Emission Units General Rules (HJ819-2017) and other documents, in order to grasp the status
of pollutant emissions from our enterprise and its impact on the surrounding environment quality, fulfill
our legal obligations and social responsibilities, we have developed a self-monitoring program to ensure
that our self-monitoring meets the requirements of environmental management.
F. Administrative penalties for environmental issues during the reporting period
Applicable √ N/A
G. Other environmental information that should be made public
Applicable √ N/A
1.2 Environmental information of the company other than key emission units
Applicable √ N/A
1.3 Relevant information conducive to ecological protection, pollution prevention and control, and
environmental responsibility fulfillment
√Applicable N/A
The company adheres to the road of green development. Focusing on the construction requirements of
“one base, one benchmark”, the company has linked up with Tsinghua University’s Academy of
Environmental Sciences and other scientific research institutions to further clarify the direction and path
of Maotai’s green development. We have launched researches on ecological capacity, pollution control
capacity improvement, and the layout of “the Production, Living and Ecological Space”. We have
implemented “five special projects”, such as water enhancement project, gas enhancement project, soil
consolidation project, micro-protection project and comprehensive monitoring and evaluation project of
ecosystems, and carried out “five special actions”, such as energy-saving, carbon reduction and
efficiency improvement action, green product design action, green transformation action of industrial
chains, green science and technology innovation action and green low-carbon life action. Our
environmental protection work focuses on “gas, water, slag, green, carbon” and other aspects,
constantly building facilities, optimizing mechanisms, strengthening supervision and making guarantees
to effectively protect the ecological environment on which Maotai depends for its survival and
development.
The company actively integrates into the development of Guizhou’s “National Ecological Civilization
Pilot Zone” initiative, carries out ecological protection of the Chishui River with utmost efforts, and
solidly promotes ecological construction. Since 2014, the company has decided to contribute CNY 500
million annually, specifically for the ecological protection of the Chishui River basin. In addition, buffer
zones and no-construction zones for medium and long-term ecological environmental protection are
planned for Maotai, and greening and restoration of the barren slopes on the west bank of the Chishui
River are also planned. Meanwhile, the company will make every effort to promote regional ecological
environmental protection legislation, making “water, air, soil, microorganisms, cultural heritage, and
43 / 156
ANNUAL REPORT 2021
planning and construction” as key legislative protection objects to better protect the irreproducible
ecological environment.
1.4 Measures taken to reduce its carbon emissions during the reporting period and their effects
√Applicable N/A
First, carry out ecological restoration and greening beautification. In 2021, the company made efforts to
improve the regional environment by carrying out bare soil treatment, vigorously implementing
greening projects, organizing employees to participate in forest protection and greening activities,
planting an area of about 1,430,000 square meters, adding 160,000 square meters of greening to the
plant area, with a total greening area of about 1.43 million square meters, as well as investing to
complete the landscape greening of the wine making and starter-making workshops in Zhonghua area
during the Thirteenth Five-Year Plan. We established a positive and negative list of regional plants,
gradually reducing exotic tree species and effectively protecting the native environment; second,
actively promoted vehicle exhaust treatment. Our commuter vehicles are gradually replaced with natural
gas vehicles, the single and double number restrictions on employee vehicles are implemented and
gradual replacement with new energy vehicles is encouraged. In this way, our factory areas can reduce
exhaust emissions by 120 million mper year and achieve an excellent air quality rate of over 98%.
2. Social Responsibility Work
√Applicable N/A
For details, please refer to our “Social Responsibility and ESG Report 2021” disclosed on the website of
Shanghai Stock Exchange (URL: www.sse.com.cn) at the same time as this report.
3.Specific work on consolidating and expanding the progress in poverty alleviation and rural
revitalization
√Applicable N/A
In 2021, the company always adhered to the guidance of Xi Jinping’s Thought on Socialism with
Chinese Characteristics for a New Era, deeply implemented the spirit of the important speech by
General Secretary Xi Jinping during his inspection of Guizhou, conscientiously implemented the spirit
of the national and provincial summing-up and commendation conferences on poverty alleviation, and
strictly followed the requirements of “four no-takes”, taking the consolidation of poverty alleviation and
rural revitalization progress as important political tasks and striving to fulfill our social responsibilities.
3.1 Work Progress
A. Help build and strengthen the work team. First, select and enhance the strength of the support team.
The company has further promoted and appointed comrades with excellent performance and
outstanding achievements in support and assistance, so as to stimulate the motivation and dedication of
cadres and staff. In accordance with the requirements, we have selected and sent outstanding young
cadres to the front line of Daozhen town as the first secretary, cadres and helpers, thereby strengthening
the team of helpers, and successfully completing the rotation of villages in rural revitalization in 2021.
Second, strict team management. In order to strictly manage the work, the company has formulated
management methods for the help team in Daozhen, promoting the implementation of help work by
clarifying work responsibilities and strengthening daily management. Third, explore new paths of talent
cultivation. We have conducted mutual posting of affiliated cadres with Chishui City to train and
reserve talents for promoting project construction, playing a leading role in party building and
promoting tourism industry development. Fourth, strengthen agricultural technology guidance. We
worked together with Daozhen County Agricultural and Rural Bureau to organize township agricultural
service center leaders and growers for “training sessions on sorghum cultivation”, systematically
teaching sorghum seedling transplanting, pest control, harvesting and storage to further enhance the
technical reserves and planting confidence of farming-related cadres and growers.
B. Help solidify the industrial base. First, optimize the construction of raw and auxiliary material bases.
Combined with the development needs to strengthen the construction of raw and auxiliary material
bases, the company has invested in deepening the construction of sorghum demonstration bases,
optimizing the base construction of raw and auxiliary materials such as rice straw, wheat, etc. The areas
44 / 156
ANNUAL REPORT 2021
cover Renhuai, Xishui, Congjiang and many other counties or cities, promoting the transition of
traditional agriculture to industrialization and specialization of modern agriculture in poverty-alliviated
areas, thereby driving nearly 100,000 households of farmers to increase income. Second, focus on the
development of edible mushroom industry. Based on Daozhen’s industrial positioning of “a vegetable
and mushroom township”, we have mobilized dealers to donate funds to help the development of
Daozhen’s edible mushroom industry, and join hands with the county government to promote the scale,
quality and branding of Daozhen’s edible mushroom industry by centering on our assistance goal of
helping Daozhen build the edible mushroom industry. Third, deepen the cooperation mode with the
guaranteed vegetable base in Renhuai City. We purchased vegetables in poverty alleviated areas in the
procurement mode of “farmers + guaranteed bases (cooperatives) + canteens” to realize industrialized
employment in local places for poverty-alleviated population.
C. Continue to strengthen education support. First, we invested a total of CNY 100 million in 2021, to
solve the “last mile” problem from home to university for nearly 20,000 students by focusing on
“education support” through the “China Maotai - the backbone of the country” public welfare project.
Second, a public welfare project of “Dream Libraries” and a reading program for rural children were
launched, covering five schools in Daozhen County, gathering positive energy for the revitalization of
rural culture. Thirdly, we coordinated to build a civic education base and a remote education station for
rural revitalization in Daozhen County, helping to build a talent team in the poverty-alleviated areas and
enhancing the development momentum of the areas themselves.
D. Expand the consumption channels of agricultural products. First, strengthen the top design. The
company’s support team in Daozhen organized a “meeting to promote Daozhen goods out of the
mountain”, systematically sorting out the problems in Daozhen’s agricultural and sideline products,
production, packaging and sales, as well as providing scientific advice and suggestions to promote
Daozhen goods. Second, give full play to the assistance of consumption. Through internal purchase,
social forces and other ways to increase the purchase of agricultural and sideline products in
poverty-alleviated areas of Daozhen County and Renhuai City. In 2021, the completion of direct
procurement of high-quality agricultural products amounted to more than CNY 48 million, apart from
coordinating social forces to help Daozhen’s sales of high-quality agricultural products. Third, create a
well-known brand. We helped coordinate Daozhen’s agricultural and sideline products into the
Jingdong Group, the RT-Mart and other online and offline platforms, recommending Daozhen’s
agricultural and sideline products through company activities or publicity media to enhance its brand
influence.
3.2 Next work plan
First, continue to thoroughly implement the guiding opinions and arrangements of the Party Central
Committee and the provincial government on consolidating and expanding the progress in poverty
alleviation and rural revitalization, and make every effort to promote the implementation of the work.
Second, further strengthen the study of policies related to rural revitalization, understand the spirit of the
documents and formulate effective measures to strengthen work coordination and to improve the
mechanism of coordination between departments. Third, continue to play the advantage of Maotai’s
resources. Fully implement the “Implementation Opinions of Maotai on Playing the Function of
State-owned Enterprises to Achieve Rural Revitalization and Agricultural and Rural Modernization”,
and effectively carry out practical projects, so that the fruits of development can benefit wider areas and
more people. Fourth, in accordance with the deployment of higher-level work, implement our support
for the pilot construction of beautiful red villages. Fifth, further strengthen the foundation of social
livelihood. Continue to deepen the “1+10+1” system of advancing rural revitalization by party building,
coordinate grass-roots party organizations to understand the situation of assisting villages in a timely
manner, and try to support the development of industries, education and medical care, while actively
guiding social forces to join the Daozhen support team and strengthen the helping force, so as to
consolidate the progress in poverty alleviation and promote the comprehensive rural revitalization.
45 / 156
ANNUAL REPORT 2021
Section VI Significant Events
1. Undertakings of Commitment Fulfillment
1.1 Undertakings of the Company’s actual controller, shareholders, related parties and acquirers,
as well as the Company and other commitment makers fulfilled in the reporting period or ongoing
by the end of this reporting period
√Applicable N/A
Explai
If State the n the
If there fulfille specific next
Commitmen Commitme Commitme
Typ Committe is a d reason in plan in
t nt nt time and
e d Parties fulfillme timely case of case
Background Content period
nt period and failure to of
strictly fulfill failure
to
fulfill
Commitmen Othe China Equity Advance Yes No The
ts related to r Kweicho incentive the higher
shareholdin w Moutai commitme developme authoriti
g reform Distillery nt: After nt of equity es have
(Group) the incentives not
Co., Ltd. completion for the issued
of the company’s relevant
equity manageme guidance
share nt and core and
reform, the technical specific
company team by the measures
will end of .
develop the December
equity 2017.
incentive
scheme for
the
manageme
nt and core
technical
team
according
to the
relevant
national
policies
and
regulations.
1.2 If there is a profit forecast for the company’s assets or projects, and the reporting period is
still in the profit forecast period, the company provides an explanation on whether the assets or
projects meet the original profit forecast and its reasons
Have met Have not met √N/A
1.3The completion of performance commitments and their impact on the goodwill impairment
test
Applicable √ N/A
46 / 156
ANNUAL REPORT 2021
2. Non-operating appropriation of funds by controlling shareholders and other related parties
during the reporting period
Applicable √ N/A
3. Non-compliance with guarantees
Applicable √ N/A
4. Explanation of the board of directors regarding the “Non-standard audit opinion” by the CPA
firm
Applicable √ N/A
5. Analysis of the reasons for and effects of changes in accounting policies, accounting estimates or
corrections of significant accounting errors by the Company
5.1 Analysis of the reasons for and effects of changes in accounting policies and accounting
estimates
√Applicable N/A
For details, please refer to Section X of this report on financial reporting V. Significant accounting
policies and accounting estimates 23. Changes of significant accounting policies and accounting
estimates.
5.2 Analysis of the reasons for and effects of corrections of significant accounting errors by the
Company
Applicable √ N/A
5.3 Communication with the previous CPA firm
Applicable √ N/A
6. Engagement and disengagement of CPA firms
Unit: CNY 10,000
Current CPA
Name of the domestic CPA firm Baker Tilly China CPAs
Remuneration of the domestic CPA firm 97
Years of audit by the domestic CPA firm 4
Name Remuneration
Internal control audit CPA firm Baker Tilly China CPAs 41
Note on the engagement and disengagement of CPA firms
Applicable √ N/A
Note on reappointing the CPA firm during the audit
Applicable √ N/A
7. Cases facing the risk of delisting
7.1 Reasons of delisting risk warnings
Applicable √ N/A
7.2 Measures to be taken by the Company in response
Applicable √ N/A
47 / 156
ANNUAL REPORT 2021
7.3 Circumstances and reasons for facing termination of listing
Applicable √ N/A
8. Matters related to bankruptcy restructuring
Applicable √ N/A
9. Significant litigation and arbitration matters
The company has significant litigation and arbitration matters during the year
√ The company has no significant litigation and arbitration matters during the year
10. The listed company and its directors, supervisors, senior management, controlling
shareholders and actual controllers are suspected of violating the law, being punished and their
rectification
Applicable √ N/A
11. Description of the integrity of the Company and its controlling shareholders and actual
controllers during the reporting period
√Applicable N/A
The integrity of the Company and its controlling shareholders during the reporting period is good.
12. Significant related party transactions
12.1 Related party transactions related to daily operations
A. Matters that have been disclosed in the interim announcement with no progress or changes in
subsequent implementation
Applicable √ N/A
B. Matters that have been disclosed in the interim announcement with progress or changes in
subsequent implementation
Applicable √ N/A
C. Matters not disclosed in the interim announcement
√Applicable N/A
(1) Related party transactions with the same related party as those considered and approved by the
Board of Directors
Unit: CNY
Reasons
for large
Pricing Proportion Settleme
Type of Content of differences
Principles of the nt of
Related Related Connected Amount of between
Name of related Relationshi for Related amount of Related Market
party party transaction Related party transaction
parties p party similar party Price
transaction transaction price transactions prices and
transaction transactions transacti
s s market
s (%) ons
reference
prices
Comprehe
China Kweichow Acceptanc
Parent nsive Agreed cash
Moutai Distillery e of labor 100
company Service Price 379,394.43 payment
(Group) Co., Ltd. services
Fee
Referto
Holding
independen
Kweichow Moutai subsidiary Acceptanc
transportati t cash
Distillery (Group) of the e of labor 73.86
on services third-party 215,293,693.93 payment
Logistics Co., Ltd. parent services
transaction
company
prices
The same
purchase
price as the
Shenren Packaging
supply
and Printing Co., Purchase Purchase cash
Other price of 8.57
Ltd., Renhuai City, of goods of goods 242,357,820.96 payment
other
Guizhou Province
unrelated
suppliers
of the
48 / 156
ANNUAL REPORT 2021
company
The same
purchase
CHINESE-FOREIG price as the
Holding
N VENTURE supply
subsidiary
DRAGON AND Purchase Purchase price of cash
of the 6.6
LION CAP of goods of goods other 186,644,711.14 payment
parent
CO.,LTD ZHUHAI unrelated
company
S.E.Z suppliers
of the
company
Kweichow Moutai Wholly-ow
(Group) ned
Circular Economy I subsidiary Purchase Purchase Agreed cash
100
ndustrial Investment of the of goods of goods Price 150,339,280.00 payment
and Development parent
Co., Ltd. company
The same
purchase
price as the
Kweichow supply
Moutai Logistics Purchase Purchase price of cash
Other 3.54
Park Grain Storage of goods of goods other 109,617,071.39 payment
Co., Ltd. unrelated
suppliers
of the
company
The same
purchase
price as the
supply
Guizhou
Purchase Purchase price of cash
Fumingxing Other 2.62
of goods of goods other 73,963,369.22 payment
Packaging Co., Ltd.
unrelated
suppliers
of the
company
The same
purchase
price as the
supply
Guizhou New
Purchase Purchase price of cash
Huaxi Glass Co., Other 2.14
of goods of goods other 60,580,925.36 payment
Ltd.
unrelated
suppliers
of the
company
Wholly-ow
ned
Guizhou Maotai
subsidiary Purchase Purchase Agreed cash
Distillert (Group) 42.15
of the of goods of goods Price 2,892,054.00 payment
Xijiu Co., Ltd.
parent
company
Kweichow Moutai
Winery (Group) Purchase Purchase Agreed cash
Other 32.11
Health Wine Co., of goods of goods Price 2,203,000.00 payment
Ltd.
Kweichow
Holding
Moutai Distillery
subsidiary
(Group) Purchase Purchase Agreed cash
of the 25.75
Technology of goods of goods Price 1,766,767.13 payment
parent
Development Co.,
company
Ltd.
Wholly-ow
China Kweichow ned
Moutai Distillery subsidiary Purchase Purchase Agreed cash
100
(Group) Cultural of the of goods of goods Price 33,274.34 payment
Tourism Co., Ltd. parent
company
Other
Wholly-ow
utility
ned
Guizhou Maotai costs such Receiving
subsidiary Agreed cash
Distillert (Group) as water, water 100
of the Price 3,925,458.51 payment
Xijiu Co., Ltd. electricity services
parent
and gas
company
(purchase)
Kweichow Moutai Holding
Distillery (Group) subsidiary Acceptanc
Agreed cash
Technology of the e of labor Labor cost 27.22
Price 201,743,603.42 payment
Development Co., parent services
Ltd. company
Wholly-ow
ned
Hotel Management Acceptanc
subsidiary Agreed cash
Company Of e of labor Labor cost 8.29
of the Price 61,437,621.87 payment
Moutai Group services
parent
company
Kweichow Acceptanc Agreed cash
Other Labor cost 12.86
Moutai Logistics e of labor Price 95,320,754.85 payment
49 / 156
ANNUAL REPORT 2021
Park Grain Storage services
Co., Ltd.
Kweichow Moutai
Acceptanc
(group) Agreed cash
Other e of labor Labor cost 3.31
International Travel Price 24,511,528.39 payment
services
Service Co., Ltd.
Kweichow Moutai
Wholly-ow
(Group) Circular
ned
Economy Industrial Acceptanc Labor Agreed cash
subsidiary
Investment and e of labor cost Price 15,019,725.64 2.03 payment
of the
Development Co., services
parent
Ltd.
company
Kweichow Moutai
Winery (Group) Acceptanc Labor Agreed cash
Other
Health Wine Sales e of labor cost Price 4,091,215.49 0.55 payment
Co., Ltd. services
Holding
Kweichow Moutai
subsidiary Acceptanc Labor Agreed cash
Distillery (Group)
of parent e of labor cost Price 573,223.59 0.08 payment
Logistics Co., Ltd.
company services
China Kweichow Rent in
Parent Agreed cash
Moutai Distillery and rent Rental fee
company Price 26,724,386.73 58.41 payment
(Group) Co., Ltd. out
Kweichow Moutai
Holding
Distillery (Group) Rent in
subsidiary Agreed cash
Technology and rent Rental fee
of parent Price 11,712,556.79 25.60 payment
Development Co., out
company
Ltd.
Kweichow Moutai
Rent in
Winery (Group) Agreed cash
Other and rent Rental fee
Health Wine Sales Price 3,000,000.00 6.56 payment
out
Co., Ltd.
Kweichow Moutai
Distillery (Group)
Guiyang High-tech Rent in
Agreed cash
Real Estate Other and rent Rental fee
Price 1,691,467.44 3.70 payment
Investment out
Development Co.,
Ltd.
Kweichow Zunyi
Moutai Airport Holding
Rent in
Ecological Park subsidiary Agreed cash
and rent Rental fee
Investment and of parent Price 236,674.53 0.52 payment
out
Development Co., company
Ltd.
The sale
Kweichow Moutai price is the
Distillery (Group) same as the
Guiyang High-tech purchase
Purchase Purchase cash
Real Estate Other price of the
of goods of offices 9,741,492.16 19.20 payment
Investment company’s
Development Co., other
Ltd. unaffiliated
dealers
The sale
price is the
Wholly-ow same as the
Kweichow Moutai ned purchase
Sales of Sales of cash
Group Marketing subsidiary price of the
goods goods 5,193,690,831.85 4.90 payment
Co., Ltd. of the company’s
parent other
company unaffiliated
dealers
The sale
price is the
Wholly-ow same as the
Hotel Management ned purchase
Sales of Sales of cash
Company of Moutai subsidiary price of the
goods goods 19,511,175.24 0.02 payment
Group of the company’s
parent other
company unaffiliated
dealers
The sale
price is the
same as the
China Kweichow purchase
Parent Sales of Sales of cash
Moutai Distillery price of the 0.01
company goods goods 7,293,281.43 payment
(Group) Co., Ltd. company’s
other
unaffiliated
dealers
The sale
price is the
same as the
Shanghai Moutai Sales of Sales of purchase cash
Other 0.01
Trading Co., Ltd. goods goods price of the 5,526,159.30 payment
company’s
other
unaffiliated
50 / 156
ANNUAL REPORT 2021
dealers
The sale
price is the
Wholly-ow
same as the
China Kweichow ned
purchase
Moutai Distillery subsidiary Sales of Sales of cash
price of the 0.005
(Group) Cultural of the goods goods 4,778,230.09 payment
company’s
Tourism Co., Ltd. parent
other
company
unaffiliated
dealers
The sale
price is the
Wholly-ow
same as the
ned
Guizhou Maotai purchase
subsidiary Sales of Sales of cash
Distillert (Group) price of the 0.003
of the goods goods 3,372,637.17 payment
Xijiu Co., Ltd. company’s
parent
other
company
unaffiliated
dealers
The sale
price is the
Wholly-ow
same as the
ned
purchase
Beijing Moutai subsidiary Sales of Sales of cash
price of the 0.003
Trading Co., Ltd. of the goods goods 2,729,246.02 payment
company’s
parent
other
company
unaffiliated
dealers
The sale
price is the
Wholly-ow
same as the
Kweichow Moutai ned
purchase
Winery (Group) subsidiary Sales of Sales of cash
price of the 0.002
Health Wine Co., of the goods goods 1,723,539.82 payment
company’s
Ltd. parent
other
company
unaffiliated
dealers
The sale
price is the
Wholly-ow
same as the
ned
Shanghai purchase
subsidiary Sales of Sales of cash
Kweichow Moutai price of the 0.001
of the goods goods 1,309,890.28 payment
Industrial Co., Ltd. company’s
parent
other
company
unaffiliated
dealers
The sale
price is the
Kweichow Zunyi
same as the
Moutai Airport
purchase
Ecological Park Sales of Sales of cash
Other price of the 0.0003
Investment and goods goods 315,142.49 payment
company’s
Development Co.,
other
Ltd.
unaffiliated
dealers
Kweichow Moutai
Holding
Distillery (Group)
subsidiary Providing Agreement cash
Technology Labor fee 100
of parent services price 682,486.89 payment
Development Co.,
company
Ltd.
Wholly-ow
ned
Guizhou Maotai
subsidiary Providing Agreement cash
Distillert (Group) Labor fee 100
of the services price 560,412.74 payment
Xijiu Co., Ltd.
parent
company
Holding
Kweichow Moutai
subsidiary Providing Agreement cash
Distillery (Group) Labor fee 100
of parent services price 27,771.05 payment
Logistics Co., Ltd.
company
Wholly-ow
ned
Kweichow Moutai
subsidiary Rent in and Agreement cash
Group Marketing Rental fee 59.99
of the rent out price 495,146.47 payment
Co., Ltd.
parent
company
China Kweichow
Parent Rent in and Agreement cash
Moutai Distillery Rental fee 40.01
company rent out price 330,275.22 payment
(Group) Co., Ltd.
Total 6,748,147,297.37
(2) Related party transactions with the same related party approved by the Shareholders Meeting.
The company registered trademark of the parent company China Kweichow Moutai Distillery (Group)
Co., Ltd., and the trademark usage fee is CNY 1,332.73 million during the reporting period.
51 / 156
ANNUAL REPORT 2021
(3) Related transactions with other related parties
A. The Company purchased raw materials from Shanghai Rencai Printing Co., Ltd., and the amount
incurred in the current period is CNY 12.49 million.
B. The Company purchased comprehensive security insurance for female employees from Huagui Life
Insurance Co., Ltd., and the amount incurred in the current period is CNY 477,500.
C. The ending deposit balance of the Company in Bank of Guizhou is CNY 23.81 billion CNY
(including a large-denomination certificate of deposit of CNY 2 billion), the current interest income is
CNY 445.24 million, and the investment income is CNY 59.76 million. Kweichow Moutai Group
Finance Co., Ltd., a holding subsidiary of the Company, subscribed for the bonds issued by Bank of
Guizhou Co., Ltd. from the open market at a cost of CNY 100 million, and the recognized interest
income is CNY 179,600 in the current period. As of the end of the period, the balance of the provision
for impairment of the debt investment is CNY 56,700, the accrued interest balance is CNY 179,600, and
the carrying amount is CNY 100.12 million.
12.2Affiliated transactions arising from the acquisition or sale of assets or equity
A. Matters disclosed in the interim announcement but without progress or change in subsequent
implementation
□Applicable √N/A
B. Matters disclosed in the interim announcement but without progress or change in subsequent
implementation
□Applicable √N/A
C. Matters not disclosed in the interim announcement
□Applicable √N/A
D. If performance agreement is involved, the realization of performance during the reporting
period shall be disclosed
□Applicable √N/A
12.3 Important related party transactions jointly invested
A. Matters disclosed in the temporary announcement without subsequent progress or change
□Applicable √N/A
B. Matters disclosed in the temporary announcement with subsequent progress or change
□Applicable √N/A
C. Matters not disclosed in the temporary announcement
□Applicable √N/A
12.4 Related debt transactions
A. Matters disclosed in the temporary announcement without subsequent progress or change
□Applicable √N/A
B. Matters disclosed in the temporary announcement with subsequent progress or change
□Applicable √N/A
C. Matters not disclosed in the temporary announcement
□Applicable √N/A
52 / 156
ANNUAL REPORT 2021
12.5 Financial business between the Company and the financial company with which the
Company is associated, the financial company in which the Company holds a majority of shares
and the related parties
√Applicable □ N/A
A. Deposit business
√Applicable □ N/A
Unit: CNY
Current period
Total Closin
Maximum Range of Total
Related party Opening withdrawa g
Related party deposit per deposit deposit in
relationship balance l in the balanc
day rate the current
current e
period
period
Guizhou Xijiu Sales Co., 6,712,436, 28,788,362,0 25,766,406,3 9,734,39
Other 958.20 72.05 43.85 2,686.40
Ltd.
China Kweichow Moutai
Parent 705,138,0 42,116,523,1 40,325,735,8 2,495,92
Distillery (Group) Co., 50.22 32.88 17.77 5,365.33
company
Ltd.
Wholly-own
Kweichow Moutai Group ed subsidiary 2,510,738, 10,333,655,9 8,718,711,30 4,125,68
Marketing Co., Ltd. of the parent 390.91 33.31 4.62 3,019.60
company
Kweichow Moutaichun 920,842,4 4,279,679,66 4,588,681,90 611,840,
Other 28.98 7.30 2.62 193.66
Marketing Company
Majority-ow
Kweichow Moutai
ned
Distillery (Group) 1,053,210, 5,523,138,66 4,858,421,16 1,717,92
subsidiary of 194.61 7.67 5.80 7,696.48
Technology Development
the parent
Co., Ltd.
company
Kweichow Moutai
300,139,3 1,345,166,31 941,362,389. 703,943,
Winery (Group) Health Other 45.18 8.83 43 274.58
Wine Sales Co., Ltd.
Guizhou Renhuai Shenren
173,286,5 850,552,541. 813,582,346. 210,256,
Packaging and Printing Other 72.76 62 16 768.22
Co., Ltd.
China Kweichow Moutai Wholly-own
Distillery (Group) ed subsidiary 204,287,6 578,479,529. 564,209,290. 218,557,
Cultural Tourism Co., of the parent 10.43 42 16 849.69
Ltd. company
ChangLi Moutai Wine 152,585,9 846,608,322. 713,434,724. 285,759,
Other 56.02 83 86 553.99
Trade Co., Ltd.
Majority-ow
Kweichow Moutai ned
108,370,6 718,004,995. 772,569,797. 53,805,8
Distillery (Group) subsidiary of 83.60 05 09 81.56
Logistics Co., Ltd. the parent
company
Wholly-own
Beijing Moutai Trading ed subsidiary 150,354,3 469,246,525. 587,149,260. 32,451,6
Co., Ltd. of the parent 70.95 46 91 35.50
company
Shanghai Moutai Trading 53,455,76 341,598,600. 348,378,120. 46,676,2
Other 8.17 17 80 47.54
Co., Ltd.
KWEICHOW MOUTAI
WINERY(GROUP) 224,537,0 95,444,427.4 256,250,753. 63,730,7
Other 66.64 3 22 40.85
BAIJIN LIQUOR SALES
CO., LTD.
Guizhou Maotai
58,614,22 339,428,074. 362,038,494. 36,003,8
Ecological Agriculture Other 8.79 23 43 08.59
Sales Co., Ltd.
Kweichow Moutai Wholly-own
37,080,92 496,595,645. 403,771,331. 129,905,
(Group) ed subsidiary 2.96 51 19 237.28
Circular Economy Industr of the parent
53 / 156
ANNUAL REPORT 2021
ial Investment and Develo company
pment
Co., Ltd.
Wholly-own
Shanghai Kweichow
ed subsidiary 24,541,54 173,615,134. 182,188,718. 15,967,9
Moutai Industrial Co., 5.55 48 38 61.65
of the parent
Ltd.
company
Guizhou Zunpeng Liquor 6,207,766. 453,457,901. 341,349,114. 118,316,
Other 48 96 52 553.92
Industry Co., Ltd.
Health Industry Co., Ltd.
63,850,97 232,073,169. 256,554,795. 39,369,3
of Kweichow Moutai Other 5.86 61 15 50.32
Group.
Kweichow Moutai Wholly-own
Distillery (Group) Real ed subsidiary 100,151,7 188,328,986. 270,214,376. 18,266,3
Estate Investment of the parent 61.05 99 20 71.84
Development Co., Ltd. company
Kweichow Moutai
18,366,98 169,849,461. 172,060,336. 16,156,1
Logistics Park Grain Other 2.68 05 88 06.85
Storage Co., Ltd.
Majority-ow
CHINESE-FOREIGN
ned
VENTURE DRAGON 61,111,18 304,635,699. 306,278,758. 59,468,1
subsidiary of 3.48 32 09 24.71
AND LION CAP
the parent
CO.,LTD ZHUHAI S.E.Z
company
Guizhou Fuming 17,141,40 97,529,116.7 102,899,843. 11,770,6
Other 4.68 7 04 78.41
Packaging Co. Ltd
Guizhou Jiuyuan Property 25,917,28 55,607,363.8 53,199,390.0 28,325,2
Other 6.51 3 7 60.27
Co., Ltd.
GUI ZHOU NEW
1,379,775. 102,859,277. 103,559,472. 679,580.
HUAXI GLASS CO., Other 63 54 79 38
LTD
Tianchao Shangpin
142,935,4 286,801,127. 414,856,000. 14,880,5
Liquor Industry(Guizhou) Other 51.25 23 00 78.48
Co., Ltd.
Zhongshan Sanrun
28,305,07 430,939,956. 459,245,033.
Printing Consumables Other 7.01 08 09
Co., Ltd.
Wholly-own
GUIZHOU MAOTAI
ed subsidiary 215,328,2 1,649,952,80 1,291,290,59 573,990,
DISTILLERT(GROUP) 73.97 4.33 3.61 484.69
of the parent
XIJIU CO., LTD.
company
Majority-ow
KWEICHOW MOUTAI
ned
DISTILLERY GROUP 7,864,923. 276,717,314. 275,104,255. 9,477,98
subsidiary of 85 98 86 2.97
CHANGLI WINERY
the parent
CO., LTD.
company
Kweichow Moutai
6,395,353. 49,741,638.6 30,294,650.3 25,842,3
(group) International Other 49 1 8 41.72
Travel Service Co., Ltd.
Majority-ow
Kweichow Moutai Distille
ned
ry (Group) Foreign Invest 17,661,45 54,703,868.3 72,365,319.4
subsidiary of 1.08 2 0
ment Cooperation Manage
the parent
ment Co., Ltd.
company
KWEICHOW MOUTAI
4,754,545. 322,149,948. 278,049,260. 48,855,2
WINERY(GROUP)BAIJI Other 99 42 17 34.24
N LIQUOR CO., LTD.
Kweichow Moutai Wholly-own
(Group) Ecological ed subsidiary 7,080,670. 78,479,510.9 83,450,000.0 2,110,18
Agriculture Industry of the parent 17 2 0 1.09
Development Co., Ltd. company
Wholly-own
Hotel Management
ed subsidiary 39,622,01 79,060,587.8 81,960,227.6 36,722,3
Company Of Moutai 5.86 0 0 76.06
of the parent
Group
company
Kweichow Moutai Other 39,163,54 116,114,495. 137,967,061. 17,310,9
54 / 156
ANNUAL REPORT 2021
Distillery (Group) Sanya 2.59 77 76 76.60
Investment Co., Ltd.
Majority-ow
ned
Kweichow Zunyi Moutai 6,020,201. 705,640,084. 649,071,535. 62,588,7
subsidiary of 77 78 08 51.47
Airport Co., Ltd.
the parent
company
Kweichow Moutai Wholly-own
Distillery (Group) ed subsidiary 2,364,476. 1,947,19
3,868,456.77 4,285,735.55
Guiyang Business Co., of the parent 57 7.79
Ltd. company
Kweichow Zunyi Moutai
Airport Ecological Park 486,511.0 37,016,991.1 37,500,000.0
Other 1 1 0
3,502.12
Investment and
Development Co., Ltd.
Wholly-own
Kweichow Moutai
ed subsidiary 39,304,38 2,450,554,14 2,378,049,23 111,809,
Winery (Group) Health 5.43 1.16 7.47 289.12
of the parent
Wine Co., Ltd.
company
Majority-ow
Moutai & CCB Trust
ned
(Guizhou) Investment 807,602.9
subsidiary of 6
145.76 803,730.42 4,018.30
Fund Management Co.,
the parent
Ltd.
company
Wholly-own
Moutai Financial Leasing ed subsidiary
5,150.13 118.55 5,268.68
Co., Ltd. of the parent
company
Majority-ow
Moutai & CCB Trust
ned
(Guizhou) Investment
subsidiary of 840.34 2.99 843.33
Fund (Limited
the parent
Partnership)
company
Kweichow Moutai
Distillery (Group)
621,579.
Guiyang High-tech Real Other 11,964.96 621,600.89 11,986.14
71
Estate Investment
Development Co., Ltd.
Guizhou Hengdao
Forestry and Agriculture
Other 281.00 383,587.70 383,840.83 27.87
Technology Development
Co., Ltd.
Kweichow Moutai
Distillery (Group) 108,906,206. 55,963,940.1 52,942,2
Other 61 7 66.44
Guiding Jingqi
Glasswork Co., Ltd.
Guizhou Renhuai
32,016,874.2 29,103,6
Renshuai Liquor Industry Other 4
2,913,269.33
04.91
Co., Ltd.
Kweichow Moutai
Distillery (Group) 179,194.
Other 770,815.42 591,621.31
11
Lvsheng Organic
Fertilizer Co., Ltd.
21,763,5
14,241,85 105,584,880, 98,063,165,1
Total / 9,949.77 843.75 46.20
75,647.3
2
Note: The above deposit interest rates range from 0.35% to 2.75%.
Interest paid to related parties
This reporting
Related party
period
Guizhou Xijiu Sales Co., Ltd. 108,362,072.05
55 / 156
ANNUAL REPORT 2021
Kweichow Moutai Group Marketing Co., Ltd. 16,906,786.89
Kweichow Moutai Distillery (Group) Technology Development Co., Ltd. 11,545,138.89
Kweichow Moutaichun Marketing Company 7,160,221.58
China Kweichow Moutai Distillery (Group) Co., Ltd. 12,838,051.86
Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. 2,552,541.62
China Kweichow Moutai Distillery (Group) Cultural Tourism Co., Ltd. 1,877,899.92
Changli Moutai Wine Trading Co., Ltd. 2,182,551.69
Kweichow Moutai Distillery (Group) Platinum Liquor Sales Co., Ltd. 1,263,300.22
Kweichow Moutai Distillery (Group) Logistics Co., Ltd. 844,471.54
Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. 1,705,436.82
Kweichow Moutai Group Health Industry Co., Ltd. 573,169.61
Tianchao Shangpin Wine Industry (Guizhou) Co., Ltd. 301,127.23
Guizhou Jiuyuan Property Co., Ltd. 407,973.76
Guizhou Maotai Distillert (Group) Xijiu Co., Ltd. 456,797.84
Kweichow Moutai Ecological Agriculture Sales Co., Ltd. 428,074.23
Beijing Moutai Trading Co., Ltd. 246,525.46
Kweichow Moutai Distillery (Group) Real Estate Investment Development Co.,
192,542.66
Ltd.
Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Zhuhai S.E.Z 163,293.69
Shanghai Moutai Trading Co., Ltd. 198,600.17
Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 114,917.05
Kweichow Moutai (Group)
647,329.13
Circular Economy Industrial Investment and Development Co., Ltd.
Kweichow Moutai Winery (Group) Health Wine Co., Ltd. 586,454.62
Shanghai Kweichow Moutai Industrial Co., Ltd. 103,632.88
Guizhou Zunpeng Liquor Industry Co., Ltd. 473,901.96
Gui Zhou New Huaxi Glass Co., Ltd 73,550.70
Kweichow Moutai Winery(Group)Baijin Liquor Co., Ltd.. 73,294.29
Gui Zhou New Huaxi Glass Co., Ltd 93,938.83
Hotel Management Company Of Moutai Group 70,097.95
Kweichow Moutai (group) International Travel Service Co., Ltd. 56,743.61
Kweichow Zunyi Moutai Airport Co., Ltd. 301,102.66
Guizhou Moutai Distillery (Group) Guiding Jingqi Glass Products Co., Ltd. 213,054.05
Zhongshan Sanrun Printing Consumables Co., Ltd. 39,956.08
Kweichow Moutai Distillery (Group) Sanya Investment Co., Ltd. 44,495.77
Kweichow Moutai Distillery (Group) Foreign Investment Cooperation Manage
42,584.06
ment Co., Ltd.
Kweichow Moutai (Group) Ecological Agriculture Industry Development Co.,
35,478.66
Ltd.
Kweichow Moutai Distillery Group Changli Winery Co., Ltd. 49,318.35
Kweichow Zunyi Moutai Airport Ecological Park Investment and Development
16,991.11
Co., Ltd.
Kweichow Moutai Distillery (Group) Guiyang Business Co., Ltd. 27,712.60
Moutai & CCB Trust (Guizhou) Investment Fund Management Co., Ltd. 145.76
Kweichow Moutai Distillery (Group) Guiyang High-tech Real Estate Investment
621,600.89
Development Co., Ltd.
Moutai Financial Leasing Co., Ltd 18.55
Guizhou Hengdao Danlin Agricultural Technology Development Co., Ltd. 7.02
Moutai & CCB Trust (Guizhou) Investment Fund (Limited Partnership) 2.99
56 / 156
ANNUAL REPORT 2021
Guizhou Renhuai Renshuai Wine Industry Co., Ltd. 4,220.74
Kweichow Moutai Distillery (Group) Lvsheng Organic Fertilizer Co., Ltd. 69.92
Total 173,897,197.96
B. Loan business
√Applicable □N/A
Unit: CNY
Amount for this period
Total
Interest Opening Total loan
Related party Relation Loan amount repayment Closing balance
Rate balance amount for the
amount for the
current period
current period
China Kweichow
Parent
Moutai Distillery 3,500,000,000.00 3.80% 3,000,000,000.00 3,500,000,000.00 3,000,000,000.00 3,500,000,000.00
company
(Group) Co., Ltd.
Kweichow Moutai
Logistics Park Grain Other 20,000,000.00 3.80% 18,355,728.00 11,644,272.00 20,000,000.00 10,000,000.00
Storage Co., Ltd.
Chinese-Foreign Holding
Venture Dragon subsidiary
10,000,000.00 4.05% 10,000,000.00 10,000,000.00
And Lion Cap Co., of parent
Ltd Zhuhai S.E.Z company
Total / 3,530,000,000.00 / 3,028,355,728.00 3,511,644,272.00 3,030,000,000.00 3,510,000,000.00
Interest charged to related parties
Item Related party This reporting
period
Loan interest income China Kweichow Moutai Distillery (Group) Co., Ltd.
109,865,697.45
Loan interest income Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 647,083.70
Loan interest income Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Zhuhai S.E.Z 89,150.94
Total 110,601,932.09
C. Credit business or other financial business
√Applicable □N/A
Unit: CNY
Business Total Actual
Related party Relation
type amount amount
Wholly
Kweichow Moutai (Group) Ecological owned
Entrusted
Agriculture Industry Development Co., subsidiary 9,955,184.18 9,955,184.18
deposit
Ltd. of parent
company
Guizhou Hengdao Danlin Agricultural Entrusted
Other 9,955,184.18 9,955,184.18
Technology Development Co., Ltd. loans
D. Other instructions
√Applicable □N/A
The Kweichow Moutai Group Finance Company, a controlling subsidiary of the Company, has
withdrawn the loans to Guiyang GYB Financial Leasing Co., LTD. at expiration, with recognized
interest income of CNY 11.13 million in the current period. Bonds issued by Guiyang GYB Financial
Leasing Co., LTD. was subscribed from the open market with cost of CNY 20.00 million, and
recognized interest income of CNY 857,900 in the current period. As of the end of the period, the
balance of the debt investment impairment provision is CNY 11,300, the accrued interest balance is
CNY 153,200, and the carrying amount is CNY 20.14 million.
57 / 156
ANNUAL REPORT 2021
13. Significant contracts and their performance
13.1 Trusteeship, contracting and leasing
A. Trusteeship
□Applicable √N/A
B. Contracting
□Applicable √N/A
C. Leasing
□Applicable √N/A
13.2 Major guarantees
□Applicable √N/A
13.3 Entrusting others to manage cash assets
A. Entrusted assets management
a. Overview of entrusted assets management
□Applicable √N/A
Other situations
□Applicable √N/A
b. Principal entrusted assets management
□Applicable √N/A
Other situations
□Applicable √N/A
c. Provision for impairment of entrusted assets management
□Applicable √N/A
B. Entrusted loans
a. Overview of entrusted loans
□Applicable √N/A
Other situations
□Applicable √N/A
b. Principal entrusted loans
□Applicable √N/A
Other situations
□Applicable √N/A
c. Provision for impairment of entrusted loans
□Applicable √N/A
C. Other situations
□Applicable √N/A
13.4 Other significant contracts
□Applicable √N/A
14. Instruction of other major events that have a significant impact on investors’ value judgments
and investment decisions
□Applicable √N/A
58 / 156
ANNUAL REPORT 2021
Section VII Changes in Shares and Information about Shareholders
1. Changes in share capital
1.1 Changes in shares
A. Changes in shares
During the reporting period, there is no change to the total number of shares and share capital structure
of the Company.
B. Explanation of changes in shares
□Applicable √N/A
C. The impact of changes in shares on financial indicators such as earnings per share and net
assets per share in the last year and the latest period (if any)
□Applicable √N/A
D. Other contents deemed necessary by the Company or required by securities regulators to
disclose
□Applicable √N/A
1.2 Changes in restricted shares
□Applicable √N/A
2. Securities issuance and listing
2.1 Issues of securities as of the reporting period
□Applicable √N/A
Explanation of securities issuance as of the reporting period (for bonds with different interest rates in
the duration, please explain separately):
□Applicable √N/A
2.2 Changes in the Company’s total shares and shareholder structure, and changes in the
Company’s asset and liability structure
□Applicable √N/A
2.3 Existing employees’ shares
□Applicable √N/A
3. Shareholders and actual controllers
3.1 Total number of shareholders
The total number of ordinary shareholders as of the end 153,535
of the reporting period
The total number of ordinary shareholders at the end of 162,591
the previous month before the disclosure date of the
annual report
3.2 Shareholdings of the top ten shareholders and top ten tradable shareholders (or shareholders
without restrictions on sales) as of the end of the reporting period
Unit: share
Shareholdings of the top ten shareholders
Increase or Number of Prop Num Staking, Nat
Shareholder name
decrease shares held ortio ber tokenizing or ure
(full name)
during the at the end of n (%) of freezing of
59 / 156
ANNUAL REPORT 2021
reporting the period share shar
period s eho
held lder
Qua
with Share s
ntit
restri status
y
ction
s on
sales
Stat
e-o
wn
China Kweichow Moutai
678,291,955 54.00 None lega
Distillery (Group) Co., Ltd.
l
pers
on
Hong Kong Securities Un
Unkno
Clearing Company Ltd. -14,672,136 89,681,844 7.14 kno
wn
(HKSCC) wn
Stat
e-o
Guizhou Provincial wn
Unkno
State-owned Capital -1,827,151 56,996,777 4.54 lega
wn
Operation Co., Ltd. l
pers
on
Kweichow Moutai Distillery Stat
(Group) Technology e-o
Development Co., Ltd. wn
(formerly known as 27,812,088 2.21 None lega
Kweichow Moutai Distillery l
Group Technology pers
Development Co., Ltd.) on
Stat
e-o
wn
Central Huijin Asset Unkno
-390,196 10,397,104 0.83 lega
Management Co., Ltd. wn
l
pers
on
Un
China Securities Finance Unkno
-91 8,039,447 0.64 kno
Corporation Limited wn
wn
Shenzhen Jinhui Rongsheng
Wealth Management Co., Ltd. Un
Unkno
- Jinhui Rongsheng No. 3 908,400 5,929,350 0.47 kno
wn
Private Securities Investment wn
Fund
Bank of China Limited -
Un
China Merchants CSI Liquor Unkno
2,683,033 5,838,354 0.46 kno
Index Graded Securities wn
wn
Investment Fund
Zhuhai Ruifeng Huibang
Asset Management Co., Ltd. - Un
Unkno
Ruifeng Huibang No. 3 1,205,785 5,366,717 0.43 kno
wn
Private Securities Investment wn
Fund
60 / 156
ANNUAL REPORT 2021
Industrial and Commercial
Bank of China - Shanghai
Un
Stock Exchange 50 Unkno
1,596,504 5,335,765 0.42 kno
Exchange-traded Open-end wn
wn
Index Securities Investment
Fund
Shareholdings of the top ten shareholders without restrictions on sales
The number of tradable Type and quantity of
Shareholder name shares held without shares
restrictions on sales Type Quantity
China Kweichow Moutai Distillery (Group) 678,291,9
678,291,955 ordinar
Co., Ltd. 55
y shares
Hong Kong Securities Clearing Company 89,681,84
89,681,844 ordinar
Ltd. (HKSCC) 4
y shares
Guizhou Provincial State-owned Capital 56,996,77
56,996,777 ordinar
Operation Co., Ltd. 7
y shares
Kweichow Moutai Distillery (Group)
Technology Development Co., Ltd.
27,812,08
(Formerly known as Kweichow Moutai 27,812,088 ordinar
8
Distillery Group Technology Development y shares
Co., Ltd.)
10,397,10
Central Huijin Asset Management Co., Ltd. 10,397,104 ordinar
4
y shares
China Securities Finance Corporation
8,039,447 ordinar 8,039,447
Limited
y shares
Shenzhen Jinhui Rongsheng Wealth
Management Co., Ltd. - Jinhui Rongsheng 5,929,350 ordinar 5,929,350
No. 3 Private Securities Investment Fund y shares
Bank of China Limited - China Merchants
CSI Liquor Index Graded Securities 5,838,354 ordinar 5,838,354
Investment Fund y shares
Zhuhai Ruifeng Huibang Asset Management
Co., Ltd. - Ruifeng Huibang No. 3 Private 5,366,717 ordinar 5,366,717
Securities Investment Fund y shares
Industrial and Commercial Bank of China -
Shanghai Stock Exchange 50
5,335,765 ordinar 5,335,765
Exchange-traded Open-end Index Securities
y shares
Investment Fund
Among the above shareholders, there are relations
between China Kweichow Moutai Distillery (Group)
Co., Ltd. and Kweichow Moutai Distillery (Group)
Explanation of the relations or concerted Technology Development Co., Ltd. (formerly known
actions of the above shareholders as Kweichow Moutai Distillery Group Technology
Development Co., Ltd.). In addition, the Company is
not aware of the relations among other shareholders
and whether they are persons acting in concert.
Number of shares held by the top ten shareholders with restrictions on sales and restrictions on sales
□Applicable √N/A
3.3 Strategic investors or general legal persons become the top 10 shareholders due to placement
of new shares
61 / 156
ANNUAL REPORT 2021
□Applicable √N/A
4. Controlling shareholders and actual controller
4.1 Controlling shareholder
A. Legal person
√Applicable □N/A
Name China Kweichow Moutai Distillery (Group) Co., Ltd.
Legal Representative Ding Xiongjun
Date of establishment January 24, 1998
Production and operation of alcoholic products (main business);
production technology consulting and services of alcoholic
products; production and sales of packaging materials and
Main business beverages; catering, accommodation, tourism, logistics and
transportation; import and export trade business; Internet industry;
real estate development and leasing, parking lot management;
education, health; ecological agriculture..
Holding 0.24% of the shares of Bank of Communications Co.,
Shareholdings of other domestic and Ltd.; holding 5.16% of the shares of Huachuang Yangan Co.,
overseas listed companies that Ltd.; holding 1.45% of the shares of Bank of Guiyang Co., Ltd.;
controlled and participated in during holding 11.55% of the shares of Guizhou Radio and Television
the reporting period Information Network Co., Ltd.; holding 12% of the shares of
Bank of Guizhou Co., Ltd.
B. Natural person
□Applicable √N/A
C. Special instructions for the fact that the Company does not have controlling shareholders
□Applicable √N/A
D. Explanation on changes of controlling shareholders during the reporting period
□Applicable √N/A
E. Block diagram of the property rights and control relationship between the Company and the
controlling shareholders
√Applicable □N/A
China Kweichow Moutai Distillery (Group) Co., Ltd.
54%
Kweichow Moutai Co., Ltd.
4.2 The actual controller
A. Legal person
√Applicable □N/A
Name State-owned Assets Supervision and Administration Commission
of the People's Government of Guizhou Province
The person in charge or the legal Xiao Kailin
representative of the entity
B. Natural persons
□Applicable √N/A
C. Special instructions for the fact that the Company does not have an actual controller
□Applicable √N/A
62 / 156
ANNUAL REPORT 2021
D. Explanation on the change of the Company’s control during the reporting period
□Applicable √N/A
E. Block diagram of the property rights and control relationship between the Company and the
actual controller
√Applicable □N/A
State-owned Assets Supervision and Administration Commission of
the People's Government of Guizhou Province
90%
China Kweichow Moutai Distillery (Group) Co., Ltd.
54%
Kweichow Moutai Co., Ltd.
F. The actual controller controls the Company through trust or other asset management methods
□Applicable √N/A
4.3 Other information about the controlling shareholder and actual controller
□Applicable √N/A
5. The accumulative number of pledged shares of the Company’s controlling shareholder or the
largest shareholder and its persons acting in concert account for more than 80% of the
Company’s shares held by them
□Applicable √N/A
6. Other legal person shareholders holding more than 10% of the shares
□Applicable √N/A
7. Explanation of share restriction and reduction
□Applicable √N/A
8. The specific implementation of share repurchase during the reporting period
□Applicable √N/A
Section VIII Preferred Shares
□Applicable √N/A
Section IX Information about Bond
1. Corporate bonds, company bonds and non-financial corporate debt financing instruments
□Applicable √N/A
2. Convertible corporate bonds
63 / 156
ANNUAL REPORT 2021
□Applicable √N/A
Section X Financial Report
1. Audit report
√Applicable □N/A
2. Financial statements
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
December 31, 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
Item Notes December 31, 2021 December 31, 2020
CURRENT ASSETS
Cash and Cash equivalents 1 51,810,243,607.11 36,091,090,060.90
Settlements Provision
Loans to banks and other financial 2 135,067,287,778.03 118,199,586,541.06
institutions
Financial assets held for trading
Derivative financial assets
Notes receivable 3 1,532,728,979.67
Accounts receivable 4
Financing receivables
Prepayments 5 389,109,841.28 898,436,259.15
Insurance premium receivable
Due from reinsurers
Reinsurance contract reserves
receivable
Other receivables 6 33,158,974.32 34,488,582.19
Including: Interest receivable
Dividends receivable
Financial assets purchased under
agreements to resell
Inventories 7 33,394,365,084.83 28,869,087,678.06
Contract assets
Assets classified as held for sale
Current portion of non-current
assets
Other current assets 8 71,527,560.74 26,736,855.91
Total current assets 220,765,692,846.31 185,652,154,956.94
NON-CURRENT ASSETS
Loans and advances 9 3,425,175,000.00 2,953,036,834.80
Debt investment 10 170,468,623.71 20,143,397.78
Other debt investments
Long-term receivables
Long-term equity investments
Other equity instruments
investments
Other non-current financial assets 11 9,830,052.91
Investment properties 12 5,242,431.75
Fixed assets 13 17,472,173,182.85 16,225,082,847.29
64 / 156
ANNUAL REPORT 2021
Construction in progress 14 2,321,988,541.82 2,447,444,843.03
Productive biological assets
Oil and gas assets
Right-of-use asset 15 362,785,970.23
Intangible assets 16 6,208,358,330.24 4,817,170,981.91
Development expenditures
Goodwill
Long-term prepaid expenses 17 139,342,455.82 147,721,526.43
Deferred tax assets 18 2,237,206,443.84 1,123,225,086.37
Other non-current assets 19 2,059,761,333.33
Total non-current assets 34,402,502,313.59 27,743,655,570.52
Total assets 255,168,195,159.90 213,395,810,527.46
Current liabilities
Short-term borrowings
Borrowing from the central bank
Deposits and balances from banks
and other financial institutions
Financial liabilities held for
trading
Derivative financial liabilities
Notes payable
Accounts payable 20 2,009,832,495.56 1,342,267,668.12
Receipts in advance
Contract liabilities 21 12,718,465,288.02 13,321,549,147.69
Financial assets sold under
agreements to buy
Customer deposits and balances 22 21,763,575,647.32 14,241,859,949.77
from banks and other financial
institutions
Customer brokerage deposits
Securities underwriting brokerage
deposits
Payroll and employee benefits 23 3,677,845,718.53 2,981,125,503.86
payable
Taxes payable 24 11,979,802,144.01 8,919,821,015.58
Other payables 25 4,124,404,781.29 3,257,245,259.42
Including: Interest payable
Dividend payable
Fees and commission payable
Payable reinsurance
Liabilities classified as held for
sale
Current portion of non-current 26 104,319,886.87
liabilities
Other current liabilities 27 1,535,976,293.22 1,609,801,368.51
Total current liabilities 57,914,222,254.82 45,673,669,912.95
Non-current liabilities
Insurance reserves
Long-term borrowings
Bonds payable
Including: Preference share
Perpetual debt
65 / 156
ANNUAL REPORT 2021
Lease liabilities 28 296,466,199.74
Long-term Payable
Long-term payroll and employee
benefits payable
Provisions
Deferred income
Deferred tax liabilities 18 1,457,513.23
Other non-current liabilities
Total non-current liabilities 296,466,199.74 1,457,513.23
Total liabilities 58,210,688,454.56 45,675,127,426.18
SHAREHOLDERS’EQUITY：
Paid-in capital 29 1,256,197,800.00 1,256,197,800.00
Other equity instruments
Including: Preference share
Perpetual debt
Capital reserve 30 1,374,964,415.72 1,374,964,415.72
Less: treasury shares
Other comprehensive income 31 -13,017,880.78 -5,331,367.75
Special reserve
Surplus reserve 32 25,142,832,818.16 20,174,922,608.93
General risk reserve 33 1,061,529,724.00 927,577,822.67
Retained earnings 34 160,716,861,920.19 137,594,403,807.99
Equity attributable to owners of 189,539,368,797.29 161,322,735,087.56
the parent
Non-controlling interests 7,418,137,908.05 6,397,948,013.72
Total shareholders’ equity 196,957,506,705.34 167,720,683,101.28
TOTAL LIABILITIES AND 255,168,195,159.90 213,395,810,527.46
SHAREHOLDERS’ EQUITY
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
COMPANY STATEMENT OF FINANCIAL POSITION
December 31, 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
Item Notes December 31, 2021 December 31, 2020
CURRENT ASSETS
Cash and Cash equivalents 79,115,779,990.88 50,925,698,935.43
Financial assets held for
trading
Derivative financial assets
Notes receivable 142,286,376.00
Accounts receivable 1 1,480,080,983.77 9,203,780,107.14
Financing receivables
Prepayments 355,933,658.53 858,363,840.62
Other receivables 2 9,210,501.43 42,323,669.01
Including: Interest
receivable
Dividends receivable
Inventories 32,424,250,538.15 28,162,833,603.66
Contract assets
66 / 156
ANNUAL REPORT 2021
Assets classified as held for
sale
Current portion of
non-current assets
Other current assets 74,711.92
Total current assets 113,385,330,384.68 89,335,286,531.86
NON-CURRENT ASSETS
Debt investment
Other debt investments
Long-term receivables
Long-term equity 3 1,624,535,587.55 1,624,535,587.55
investments
Other equity instruments
investments
Other non-current financial 9,830,052.91
assets
Investment properties
Fixed assets 16,992,010,693.65 15,742,514,190.13
Construction in progress 2,280,929,738.91 2,447,444,843.03
Productive biological assets
Oil and gas assets
Right-of-use asset 249,696,982.21
Intangible assets 6,207,018,624.16 4,815,945,940.55
Development expenditures
Goodwill
Long-term prepaid expenses 137,500,000.25 147,500,000.21
Deferred tax assets 639,335,397.34 521,030,214.32
Other non-current assets 2,059,761,333.33
Total non-current assets 30,190,788,357.40 25,308,800,828.70
Total assets 143,576,118,742.08 114,644,087,360.56
Current liabilities
Short-term borrowings
Financial liabilities held for
trading
Derivative financial
liabilities
Notes payable
Accounts payable 1,859,402,871.20 1,077,677,482.55
Receipts in advance
Contract liabilities 142,568.14 557,514,370.46
Payroll and employee 3,551,461,301.23 2,846,669,812.23
benefits payable
Taxes payable 6,857,150,756.70 5,032,321,722.08
Other payables 1,374,157,867.96 926,532,063.22
Including: Interest payable
Dividend payable
Liabilities classified as held
for sale
Current portion of 63,501,723.59
non-current liabilities
Other current liabilities 18,533.86
Total current liabilities 13,705,835,622.68 10,440,715,450.54
Non-current liabilities
Long-term borrowings
67 / 156
ANNUAL REPORT 2021
Bonds payable
Including: Preference share
Perpetual debt
Lease liabilities 225,090,785.68
Long-term Payable
Long-term payroll and
employee benefits payable
Provisions
Deferred income
Deferred tax liabilities 1,457,513.23
Other non-current liabilities
Total non-current 225,090,785.68 1,457,513.23
liabilities
Total liabilities 13,930,926,408.36 10,442,172,963.77
SHAREHOLDERS’ EQUITY：
Paid-in capital 1,256,197,800.00 1,256,197,800.00
Other equity instruments
Including: Preference share
Perpetual debt
Capital reserve 1,374,303,082.72 1,374,303,082.72
Less: treasury shares
Other comprehensive
income
Special reserve
Surplus reserve 25,142,832,818.16 20,174,922,608.93
Retained earnings 101,871,858,632.84 81,396,490,905.14
Total shareholders’ equity 129,645,192,333.72 104,201,914,396.79
TOTAL LIABILITIES 143,576,118,742.08 114,644,087,360.56
AND SHAREHOLDERS’
EQUITY
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
CONSOLIDATED INCOME STATEMENT
For the year ended 31 December 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
Note
Item 2021 2020
s
I. Total revenue 109,464,278,563.89 97,993,240,501.21
Including: Operating proceeds 35 106,190,154,843.76 94,915,380,916.72
Interest income 36 3,274,123,720.13 3,077,859,584.49
Net earned premiums
Net fee and commission revenue 36
II. Total operating costs 34,776,902,467.47 31,305,130,587.56
Including: Operating costs 35 8,983,377,809.96 8,154,001,476.28
Interest expenses 36 173,897,197.98 111,128,537.31
Fees and commission expenses 36 115,082.12 105,888.96
Surrenders
Net payments for insurance claims
68 / 156
ANNUAL REPORT 2021
Net provision of insurance reserve
Policyholder dividends
Reinsurance expenses
Taxes and surcharges 37 15,304,469,070.03 13,886,517,290.78
Selling expenses 38 2,737,369,434.78 2,547,745,650.95
General and administrative expenses 39 8,450,274,065.03 6,789,844,289.39
R&D expenses 40 61,923,213.59 50,398,036.33
Financial expenses 41 -934,523,406.02 -234,610,582.44
Including: Interest expense 13,529,867.76
Interest income 944,578,412.02 278,697,733.32
Add: Other income 42 20,515,911.19 13,138,152.69
Investment income/(loss) 43 58,255,937.39 305,631.46
Including: Share of profits or loss of
associates and joint ventures
Gain from derecognition of
financial assets measured at amortized cost
Exchange gains or losses
Net exposure hedging gains/ (losses)
Gain/ (loss) on the changes in fair value 44 -2,244,726.29 4,897,994.43
Credit impairment losses 45 -13,022,441.19 -71,371,809.85
Assets impairment losses
Gain/ (loss) from disposal of assets
III. Operating profit 74,750,880,777.52 66,635,079,882.38
Add: Non-operating income 46 68,989,219.74 11,051,136.15
Less: Non-Operating costs 47 291,838,102.50 449,189,027.42
IV. Profit/(loss) before tax 74,528,031,894.76 66,196,941,991.11
Less: Income tax expense 48 18,807,501,938.30 16,673,612,108.71
V. Net profit /(loss) 55,720,529,956.46 49,523,329,882.40
(1) Categorized by operation continuity
1. Net profit from continuing operations 55,720,529,956.46 49,523,329,882.40
2. Net profit from discontinuing operations
(2) Categorized by ownership
1. Net profit attributable to owners of the 52,460,144,378.16 46,697,285,429.81
parent
2. Net profit attributable to non-controlling 3,260,385,578.30 2,826,044,452.59
interests
VI. Other comprehensive income, net of tax 49 -7,686,513.03 1,867,354.04
(1) Other comprehensive income, net of tax, -7,686,513.03 1,867,354.04
attributable to owners of the parent
1. Other comprehensive income that will not be
reclassified to profit or loss
1.1 Remeasurement gains or losses of a defined
benefit plan
1.2 Other comprehensive income using the
equity method that will not be reclassified to
profit or loss
1.3 Changes in fair value of other equity
instrument investments
1.4 Changes in fair value of enterprise’s own
credit risk
2. Other comprehensive income to be -7,686,513.03 1,867,354.04
reclassified to profit or loss
2.1 Other comprehensive income that can be
reclassified to profit or loss in equity method
2.2 Changes in fair value of other debt
investments
69 / 156
ANNUAL REPORT 2021
2.3 Amount of financial assets reclassified into
other comprehensive income
2.4 Provision for credit impairment of other
debt investments
2.5 Cash flow hedging reserves
2.6 Exchange differences on translation of -7,686,513.03 1,867,354.04
foreign currency financial statements
2.7 Others
(2) Other comprehensive income, net of tax,
attributable to non-controlling interests
VII. Total comprehensive income 55,712,843,443.43 49,525,197,236.44
(1) Total comprehensive income attributable to 52,452,457,865.13 46,699,152,783.85
owners of the parent
(2) Total comprehensive income attributable to 3,260,385,578.30 2,826,044,452.59
non-controlling interests
VIII. Earnings per share
(1) Basic earnings per share (CNY / share) 41.76 37.17
(2) Diluted earnings per share (CNY / share) 41.76 37.17
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
INCOME STATEMENT OF COMPANY
For the year ended 31 December 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
Note
Item 2021 2020
s
I. Total revenue 4 37,344,898,964.17 27,474,592,438.64
Less: Total operating costs 4 8,991,912,828.37 7,770,822,451.00
Taxes and surcharges 14,172,007,646.53 12,801,958,138.67
Selling expenses 562,890,060.03 102,662,855.84
Administrative expenses 7,891,014,092.82 5,485,599,325.68
Research and development expenses 61,923,213.59 50,398,036.33
Finance expenses -1,229,581,298.58 -910,287,572.32
Including: Interest expenses (expressed 9,093,212.00
with positive value)
Interest income (expressed with 1,228,595,916.86 943,450,751.53
positive value)
Add: Other income 6,279,409.80 5,371,922.84
Investment income/(loss) 5 44,799,409,723.82 34,474,979,155.43
Including: Share of profits or loss of
associates and joint ventures
Gain from derecognition of
financial assets measured at amortized cost
Net exposure hedging gains/ (losses)
Gain/ (loss) on the changes in fair value -2,244,726.29 4,897,994.43
Credit impairment losses -85,848.47 -1,545,197.60
Assets impairment losses
Gain/ (loss) from disposal of assets
II. Operating profit/Loss 51,698,090,980.27 36,657,143,078.54
Add: Non-operating income 51,287,742.20 6,486,699.48
Less: Non-operating costs 265,265,782.93 336,421,577.72
III.Profit/(loss) before tax 51,484,112,939.54 36,327,208,200.30
70 / 156
ANNUAL REPORT 2021
Less: Income tax expense 1,805,010,847.21 534,972,481.19
IV. Net profit /(loss) 49,679,102,092.33 35,792,235,719.11
(1) Net profit from continuing operations 49,679,102,092.33 35,792,235,719.11
(2) Net profit from discontinuing operations
V. Other comprehensive income, net of tax
(1) Other comprehensive income, net of tax
1. Other comprehensive income that will not
be reclassified to profit or loss
2. Other comprehensive income using the
equity method that will not be reclassified to
profit or loss
3. Changes in fair value of other equity
instrument investments
4. Changes in fair value of enterprise’s own
credit risk
(2) Other comprehensive income to be
reclassified to profit or loss
1. Other comprehensive income that can be
reclassified to profit or loss in equity method
2. Changes in fair value of other debt
investments
3. Change in the fair value of
available-for-sale financial assets
4. Amount of financial assets reclassified
into other comprehensive income
5. Reclassification of held-to-maturity
investments as available-for-sale financial assets
6. Exchange differences on translation of
foreign currency financial statements
7. Others
VI. Total comprehensive income 49,679,102,092.33 35,792,235,719.11
VII. Earnings per share
(1) Basic earnings per share (CNY / share) 39.55 28.49
(2) Diluted earnings per share (CNY / share) 39.55 28.49
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
CONSOLIDATED STATEMENT OF CASH FLOWS
For the year ended 31 December 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
Item Notes 2021 2020
I. CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts from the sale of goods and the 119,320,536,796.65 107,024,384,560.17
rendering of services
Net increase in customer bank deposits and due 7,511,166,145.93 3,189,100,199.87
to banks and other financial institutions
Net increase in loans from the central bank
Net increase in funds borrowed from other
financial institutions
Cash premiums received on original insurance
contracts
Net cash received from re-insurance business
Net increase in deposits and investments from
71 / 156
ANNUAL REPORT 2021
insurers
Cash received from interest, fees and 3,145,747,032.91 3,075,945,383.34
commission
Net increase in funds deposit
Net increase in repurchase business funds
Net income from securities trading brokerage
business
Tax refunds received
Cash received relating to other operating 50 (1) 1,643,536,862.48 221,421,226.63
activities
Sub-total of cash inflows 131,620,986,837.97 113,510,851,370.01
Cash paid for purchase of goods and services 7,745,959,630.90 7,230,646,129.19
Net increase in loans and payments on behalf 484,244,272.00 2,978,755,728.00
of customers
Net increase in deposits with central bank and 559,089,326.28 -2,506,406,682.56
other financial institutions
Payments for claims for original insurance
contracts
Net increase in funds lent -400,000,000.00 200,000,000.00
Cash paid for interest, fees and commission 163,462,728.48 107,241,768.26
Commissions on insurance policies paid
Cash paid to and on behalf of employee 10,061,366,201.66 8,161,813,197.26
Cash paid for taxes 44,609,684,025.28 41,622,706,350.37
Cash paid relating to other operating activities 50 (2) 4,368,504,506.00 4,047,026,186.46
Sub-total of cash outflows 67,592,310,690.60 61,841,782,676.98
Net cash flows from operating activities 64,028,676,147.37 51,669,068,693.03
II. CASH FLOWS FROM INVESTING ACTIVITIES
Cash received from disposal of investments 6,079,930.68 314,906,521.48
Cash received from investment income 860,000.00
Net proceeds from disposal of property, plant 2,463,474.29 495,904.85
and equipment, intangible assets and other
long-term assets
Cash received from disposal of subsidiaries
and other business units
Cash received relating to other investing 50 (3) 9,983,452.63 6,675,319.03
activities
Sub-total of cash inflows 19,386,857.60 322,077,745.36
Purchase of property, plant and equipment, 3,408,784,532.01 2,089,769,498.78
intangible assets and other non-current assets
Cash paid for investments 2,150,000,000.00 20,000,000.00
Net increase in secured loans
Net cash paid for acquisition of a subsidiary
and other operating units
Cash paid relating to other investing activities 50 (4) 23,048,029.93 17,535,402.30
Sub-total of cash outflows 5,581,832,561.94 2,127,304,901.08
Net cash flows from investing activities -5,562,445,704.34 -1,805,227,155.72
III. Cash flows from financing activities
Cash received from investment
Including: Cash receipts from capital
contributions from non-controlling interests of
subsidiaries
Proceeds from borrowings
Cash receipts relating to other financing
activities
Subtotal of cash inflows
Repayments for debts
Cash payments for distribution of dividends or 26,476,019,839.37 24,091,029,750.51
72 / 156
ANNUAL REPORT 2021
profit and interest expenses
Including: Dividends or profit paid to 2,240,195,683.97 2,704,262,179.11
non-controlling shareholders of subsidiaries
Cash payments relating to other financing 50 (5) 88,121,549.59 36,507,157.75
activities
Subtotal of cash outflows 26,564,141,388.96 24,127,536,908.26
Net cash flows from financing activities -26,564,141,388.96 -24,127,536,908.26
IV. EFFECT OF EXCHANGE RATE -2,026,542.60 380,639.36
CHANGES ON CASH AND CASH
EQUIVALENTS
V. NET INCREASE IN CASH AND CASH 31,900,062,511.47 25,736,685,268.41
EQUIVALENTS
Add: Cash and cash equivalents at beginning of 146,740,524,868.05 121,003,839,599.64
year
VI. CASH AND CASH EQUIVALENTS AT 178,640,587,379.52 146,740,524,868.05
END OF YEAR
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
COMPANY STATEMENT OF CASH FLOWS
For the year ended 31 December 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
Item No 2021 2020
tes
I. CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts from the sale of goods and the 48,582,727,792.21 29,748,943,961.12
rendering of services
Tax refunds received
Cash received relating to other operating activities 1,330,181,729.83 669,399,842.28
Sub-total of cash inflows 49,912,909,522.04 30,418,343,803.40
Cash paid for purchase of goods and services 7,730,438,800.94 7,196,881,556.42
Cash paid to and on behalf of employee 9,421,372,112.36 7,615,738,706.94
Cash paid for taxes 17,808,661,856.89 16,700,898,450.93
Cash paid relating to other operating activities 2,170,307,857.51 948,160,346.44
Sub-total of cash outflows 37,130,780,627.70 32,461,679,060.73
Net cash flows from operating activities 12,782,128,894.34 -2,043,335,257.33
II. CASH FLOWS FROM INVESTING ACTIVITIES
Cash received from disposal of investments 6,079,930.68 314,906,521.48
Cash received from investment income 44,741,153,786.43 34,940,030,979.52
Net proceeds from disposal of property, plant and 2,453,676.06
equipment, intangible assets and other long-term assets
Cash received from disposal of subsidiaries and
other business units
Cash received relating to other investing activities 9,983,452.63 6,675,319.03
Sub-total of cash inflows 44,759,670,845.80 35,261,612,820.03
Purchase of property, plant and equipment, 3,349,912,221.23 2,081,844,620.34
intangible assets and other non-current assets
Cash paid for investments 2,000,000,000.00 4,507,157.75
Cash Paid for disposal of subsidiaries and other
business units
Cash paid relating to other investing activities 23,048,029.93 17,535,402.30
Sub-total of cash outflows 5,372,960,251.16 2,103,887,180.39
73 / 156
ANNUAL REPORT 2021
Net cash flows from investing activities 39,386,710,594.64 33,157,725,639.64
III. Cash flows from financing activities
Cash received from investment
Proceeds from borrowings
Cash receipts relating to other financing activities
Subtotal of cash inflows
Repayments for debts
Cash payments for distribution of dividends or profit 24,235,824,155.40 21,386,767,571.40
and interest expenses
Cash payments relating to other financing activities 53,056,483.06
Subtotal of cash outflows 24,288,880,638.46 21,386,767,571.40
Net cash flows from financing activities -24,288,880,638.46 -21,386,767,571.40
IV. EFFECT OF EXCHANGE RATE CHANGES
ON CASH AND CASH EQUIVALENTS
V. NET INCREASE IN CASH AND CASH 27,879,958,850.52 9,727,622,810.91
EQUIVALENTS
Add: Cash and cash equivalents at beginning of year 50,053,974,421.28 40,326,351,610.37
VI. CASH AND CASH EQUIVALENTS AT END 77,933,933,271.80 50,053,974,421.28
OF YEAR
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
74 / 156
ANNUAL REPORT 2021
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the year ended 31 December 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
2021
Equity attributable to owners of the parent
Other equity Les
Other Total
instruments s: Non-con
Item Capit comp Speci Surpl sharehol
trolling
trea Ot ders’
Share Perp al rehen al us General Retained interests
her Subtotal equity
capital prefe sur
etua Oth reserv sive reser reser reserve earnings s
rence y
share l ers e inco ve ve
sha
debt me
res
1. 1,256,1 1,374 -5,33 20,17 927,577 137,594, 161,322 6,397,94 167,720,
Balance 97,800. ,964, 1,367 4,922 ,822.67 403,807. ,735,08 8,013.72 683,101.
at the 00 415.7 .75 ,608. 99 7.56 28
end of 2 93
previou
s year
Add:
changes
in
account
ing
policies
Correct
ions of
prior
period
errors
Busines
s
combin
ation
under
commo
n
control
Others
2. 1,256,1 1,374 -5,33 20,17 927,577 137,594, 161,322 6,397,94 167,720,
Balance 97,800. ,964, 1,367 4,922 ,822.67 403,807. ,735,08 8,013.72 683,101.
at the 00 415.7 .75 ,608. 99 7.56 28
beginni 2 93
ng of
the year
3. -7,68 4,967 133,951 23,122,4 28,216, 1,020,18 29,236,8
Increas 6,513 ,910, ,901.33 58,112.2 633,709 9,894.33 23,604.0
e/(decre .03 209.2 0 .73 6
ase) 3
during
the
period
(1) -7,68 52,460,1 52,452, 3,260,38 55,712,8
Total 6,513 44,378.1 457,865 5,578.30 43,443.4
compre .03 6 .13 3
hensive
income
(2)
Shareh
olders’
contrib
utions
and
reducti
on
(i)
Shareh
olders
‘contrib
utions
in
ordinar
y share
(ii)
Other
equity
instrum
ents
75 / 156
ANNUAL REPORT 2021
contrib
utions
(iii)
Amoun
t of
share-b
ased
paymen
ts
recogni
zed in
equity
(iv)
Others
(3) 4,967 133,951 -29,337,6 -24,235, -2,240,1 -26,476,
Profit ,910, ,901.33 86,265.9 824,155 95,683.9 019,839.
distribu 209.2 6 .40 7 37
tion 3
(i) 4,967 -4,967,91
Transfe ,910, 0,209.23
r to 209.2
surplus 3
reserve
(ii) 133,951 -133,951,
Transfe ,901.33 901.33
r to
general
reserve
(iii) -24,235,8 -24,235, -2,240,1 -26,476,
Distrib 24,155.4 824,155 95,683.9 019,839.
ution to 0 .40 7 37
shareho
lders
(iv)
Others
(4)
Transfe
r within
equity
(i)
Capital
reserve
s
convert
ed to
share
capital
(ii)
Surplus
reserve
s
convert
ed to
share
capital
(iii)
Loss
made
up by
surplus
reserve
s
(iv)
Change
s in the
defined
benefit
plan
transfer
red to
retained
earning
s
(v)
Other
compre
hensive
income
transfer
red to
retained
earning
s
(vi)
Others
(5)
Special
reserve
(i)
Additio
ns
76 / 156
ANNUAL REPORT 2021
(ii)
Utilisati
on
(6)
Others
4. 1,256,1 1,374 -13,0 25,14 1,061,5 160,716, 189,539 7,418,13 196,957,
Balance 97,800. ,964, 17,88 2,832 29,724. 861,920. ,368,79 7,908.05 506,705.
at the 00 415.7 0.78 ,818. 00 19 7.29 34
end of 2 16
the
period
2020
Equity attributable to owners of the parent
Item
Other equity instruments Capital Share Other equity Capital Other equity Capital Sha
Share capital Share capital
preference Perpetual capital cap
Others reserve instruments reserve instruments reserve
share debt
1. Balance at 1,256,197,800 1,374,964,415 -7,198,721.7 16,595,699,03 898,349,936.77 115,892,337,4
the end of .00 .72 9 7.02 07.39
previous year
Add: changes
in accounting
policies
Corrections of
prior period
errors
Business
combination
under common
control
Others
2. Balance at 1,256,197,800 1,374,964,415 -7,198,721.7 16,595,699,03 898,349,936.77 115,892,337,4
the beginning .00 .72 9 7.02 07.39
of the year
3. 1,867,354.0 3,579,223,571 29,227,885.90 21,702,066,40
Increase/(decre 4 .91 0.60
ase) during the
period
(1) Total 1,867,354.0 46,697,285,42
comprehensive 4 9.81
income
(2)
Shareholders’
contributions
and reduction
(i)
Shareholders
‘contributions
in ordinary
share
(ii) Other
equity
instruments
contributions
(iii) Amount
of share-based
payments
recognized in
equity
(iv) Others
(3) Profit 3,579,223,571 29,227,885.90 -24,995,219,0
distribution .91 29.21
(i) Transfer to 3,579,223,571 -3,579,223,57
surplus reserve .91 1.91
(ii) Transfer to 29,227,885.90 -29,227,885.9
general reserve 0
(iii) -21,386,767,5
Distribution to 71.40
shareholders
(iv) Others
(4) Transfer
within equity
(i) Capital
reserves
converted to
share capital
(ii) Surplus
reserves
converted to
share capital
(iii) Loss
made up by
surplus reserves
(iv) Changes in
the defined
77 / 156
ANNUAL REPORT 2021
benefit plan
transferred to
retained
earnings
(v) Other
comprehensive
income
transferred to
retained
earnings
(vi) Others
(5) Special
reserve
(i) Additions
(ii) Utilisation
(6) Others
4. Balance at 1,256,197,800 1,374,964,415 -5,331,367.7 20,174,922,60 927,577,822.67 137,594,403,8
the end of the .00 .72 5 8.93 07.99
period
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
COMPANY STATEMENT OF CHANGES IN EQUITY
For the year ended 31 December 2021
Prepared by: Kweichow Moutai Co., Ltd.
Unit: CNY
2021
Other equity Less
Spe
instruments : Other Total
cial
Item Share Capital treas compre Surplus Retained sharehold
prefe Perp Ot res
capital reserve ury hensive reserve earnings ers’
rence etual her erv
shar income equity
share debt s e
es
1. Balance at 1,256,19 1,374,3 20,174,9 81,396,49 104,201,9
the end of 7,800.00 03,082. 22,608.9 0,905.14 14,396.79
previous year 72 3
Add: changes
in accounting
policies
Corrections
of prior
period errors
Others
2. Balance at 1,256,19 1,374,3 20,174,9 81,396,49 104,201,9
the beginning 7,800.00 03,082. 22,608.9 0,905.14 14,396.79
of the year 72 3
3. 4,967,91 20,475,36 25,443,27
Increase/(dec 0,209.23 7,727.70 7,936.93
rease) during
the period
(1) Total 49,679,10 49,679,10
comprehensi 2,092.33 2,092.33
ve income
(2)
Shareholders’
contributions
and reduction
(i)Shareholde
rs’
contributions
in ordinary
share
(ii) Other
equity
instruments
contributions
78 / 156
ANNUAL REPORT 2021
(iii) Amount
of
share-based
payments
recognized in
equity
(iv) Others
(3). Profit 4,967,91 -29,203,7 -24,235,8
distribution 0,209.23 34,364.63 24,155.40
(i) Transfer 4,967,91 -4,967,91
to surplus 0,209.23 0,209.23
reserve
(ii) -24,235,8 -24,235,8
Distribution 24,155.40 24,155.40
to
shareholders
(iii) Others
(4) Transfer
within equity
(i) Capital
reserves
converted to
share capital
(ii) Surplus
reserves
converted to
share capital
(iii) Loss
made up by
surplus
reserves
(iv)
Changes in
the defined
benefit plan
transferred to
retained
earnings
(v) Other
comprehensi
ve income
transferred to
retained
earnings
(vi) Others
(5). Special
reserve
(i).
Additions
(ii).
Utilisation
(6) Others
4. Balance at 1,256,19 1,374,3 25,142,8 101,871,8 129,645,1
the end of the 7,800.00 03,082. 32,818.1 58,632.84 92,333.72
period 72 6
2020
Other equity Les
instruments s: Other Spe
Total
trea compre cial
Item Share prefe Capital Surplus Retained sharehold
Perp Ot sur hensiv res
capital rence reserve reserve earnings ers’
etual her y e erv
share equity
debt s sha income e
res
79 / 156
ANNUAL REPORT 2021
1. Balance at 1,256,19 1,374,30 16,595,6 70,570,24 89,796,44
the end of 7,800.00 3,082.72 99,037.0 6,329.34 6,249.08
previous year 2
Add: changes
in accounting
policies
Corrections
of prior
period errors
Others
2. Balance at 1,256,19 1,374,30 16,595,6 70,570,24 89,796,44
the beginning 7,800.00 3,082.72 99,037.0 6,329.34 6,249.08
of the year 2
3. 3,579,22 10,826,24 14,405,46
Increase/(decr 3,571.91 4,575.80 8,147.71
ease) during
the period
(1) Total 35,792,23 35,792,23
comprehensiv 5,719.11 5,719.11
e income
(2)
Shareholders’
contributions
and reduction
(i)
Shareholders’
contributions
in ordinary
share
(ii)Other
equity
instruments
contributions
(iii) Amount
of
share-based
payments
recognized in
equity
(iv) Others
(3). Profit 3,579,22 -24,965,9 -21,386,7
distribution 3,571.91 91,143.31 67,571.40
(i) Transfer 3,579,22 -3,579,22
to surplus 3,571.91 3,571.91
reserve
(ii) -21,386,7 -21,386,7
Distribution 67,571.40 67,571.40
to
shareholders
(iii) Others
(4) Transfer
within equity
(i) Capital
reserves
converted to
share capital
(ii) Surplus
reserves
converted to
share capital
(iii) Loss
made up by
surplus
reserves
(iv) Changes
80 / 156
ANNUAL REPORT 2021
in the defined
benefit plan
transferred to
retained
earnings
(v) Other
comprehensiv
e income
transferred to
retained
earnings
(vi) Others
(5). Special
reserve
(i).
Additions
(ii).
Utilisation
(6) Others
4. Balance at 1,256,19 1,374,30 20,174,9 81,396,49 104,201,9
the end of the 7,800.00 3,082.72 22,608.9 0,905.14 14,396.79
period 3
Legal Representative: Ding Xiongjun
Chief Accountant: Jiang Yan
Head of Accounting Department: Cai Congying
81 / 156
ANNUAL REPORT 2021
3. Company Profile
3.1 Company Overview
√applicable □Non-applicable
Kweichow Moutai Co., Ltd. is established after being approved by Guizhou Provincial People’s
Government in its document of (1999) No. 291, Reply on Approving the Establishment of Kweichow
Moutai Co., Ltd.. As an incorporated company, its main promoter is China Kweichow Moutai Distillery
(Group) Co., Ltd., with Kweichow Moutai Distillery (Group) Technology Development Co., Ltd.,
Guizhou Textile Collective Industry Association, Research Institute of Tsinghua University in Shenzhen,
China National Research Institute of Food and Fermentation Industries, Beijing Sugar Tobacco & Wine
Group Co., Ltd., Jiangsu CANDY & WINE & TOBACCO Parent Co., Shanghai Jieqiang Tobacco
Sugar & Wine (Group) Co., Ltd. as co-founders.
The company was established on November 20,1999. Its registered capital at its establishment was
CNY 185 million. After being approved by CSRC with the document of [2001] No.41 and Ministry of
Finance with the document of [2001] No. 56, the corporation publicly offered 71,500,000 A shares
(including 6,500,000 state-owned shares) at Shanghai Stock Exchange on July 31, 2001, marking a total
capital of its shares at 250,000,000 shares. On August 20, 2001, the corporation completed registration
for alternation of registered capital from Administration for Industry& Commerce of Guizhou Province.
According to the plan of profit distribution and converting capital reserves into share capital audited and
approved by the 2001 Annual General Meeting, the corporation set the total share capital at the end of
2001- 250,000,000 shares as the baseline, and distributed dividends (CNY 6 every 10 shares, tax
inclusive) to all shareholders, and converted capital reserves into increased share capital at a 10:1 ratio,
totally increasing 25,000,000 shares. After this profit distribution, the total capital share increased from
250,000,000 shares to 275,000,000 shares. On February 13, 2003, the corporation completed
registration for alternation of registered capital from Administration for Industry& Commerce of
Guizhou Province.
According to the plan of profit distribution audited and approved by the 2002 Annual General Meeting,
the corporation set the total share capital at the end of 2002- 275,000,000 shares as the baseline, and
distributed dividends (CNY 2 every 10 shares, tax inclusive) to all shareholders. With the same baseline,
the corporation distributed bonus shares (1 bonus share every 10 share) to all shareholders. After this
profit distribution, the total capital share increased from 275,000,000 shares to 302,500,000 shares. On
June 10, 2004, the corporation completed registration for alternation of registered capital from
Administration for Industry& Commerce of Guizhou Province.
According to the plan of profit distribution and converting capital reserves into share capital audited and
approved by the 2003 Annual General Meeting, the corporation set the total share capital at the end of
2003- 302,500,000 shares as the baseline, and distributed dividends (CNY 3 every 10 shares, tax
inclusive) to all shareholders, and converted capital reserves into increased share capital at a 10:3 ratio.
After this profit distribution, the total capital share increased from 302,500,000 shares to 393,250,000
shares. On June 24, 2005, the corporation completed registration for alternation of registered capital
from Administration for Industry& Commerce of Guizhou Province.
According to the plan of profit distribution and converting capital reserves into share capital audited and
approved by the 2004 Annual General Meeting, the corporation set the total share capital at the end of
2004- 393,250,000 shares as the baseline, and distributed dividends (CNY 5 every 10 shares, tax
inclusive) to all shareholders, and converted capital reserves into increased share capital at a 10:2 ratio.
After this profit distribution, the total capital share increased from 393,250,000 shares to 471,900,000
shares. On January 11, 2006, the corporation completed registration for alternation of registered capital
from Administration for Industry& Commerce of Guizhou Province.
According to the Reform Plan of Equity Division of Kweichow Moutai Co., Ltd. (Revised Version)
audited and approved by the second provisional General Meeting and the Meeting of relevant
shareholders, the corporation set the total share capital at the end of 2005- 471,900,000 shares as the
82 / 156
ANNUAL REPORT 2021
baseline, and converted every 10 capital reserves into 10 increased share capital. After this profit
distribution, the total capital share increased from 471,900,000 shares to 943,800,000 shares. On
November 17,2006, the corporation completed registration for alternation of registered capital from
Administration for Industry& Commerce of Guizhou Province.
According to the 2010 annual plan for profit distribution audited and approved by the 2010 Annual
General Meeting, the corporation set the total share capital at the end of 2010- 943,800,000 shares as the
baseline, and distributed dividends (CNY 23 every 10 shares, tax inclusive) and bonus share (1 bonus
share for every 10 shares) to all shareholders. After this profit distribution, the total capital share
increased from 943,800,000 shares to 1,038,180,000 shares. On October 27, 2011, the corporation
completed registration for alternation of registered capital from Administration for Industry&
Commerce of Guizhou Province.
According to the 2013 annual plan for profit distribution audited and approved by the 2013 Annual
General Meeting, the corporation set the total share capital at the end of 2013- 1,038,180,000 shares as
the baseline, and distributed dividends (CNY 43.74 every 10 shares, tax inclusive) and bonus share (1
share every 10 shares) to all shareholders. After this profit distribution, the total capital share increased
from 1,038,180,000 shares to 1,141,998,000 shares. On August 5, 2014, the corporation completed
registration for alternation of registered capital from Administration for Industry& Commerce of
Guizhou Province.
According to the 2014 annual plan for profit distribution audited and approved by the 2014 Annual
General Meeting, the corporation set the total share capital at the end of 2014- 1,141,998,000 shares as
the baseline, and distributed dividends (CNY 43.74 every 10 shares, tax inclusive) and bonus share (1
share every 10 shares) to all shareholders. After this profit distribution, the total capital share increased
from 1,141,998, 000 shares to 1,256,197,800 shares. On October 29,2015, the corporation completed
registration for alternation of registered capital from Administration for Industry& Commerce of
Guizhou Province.
The corporate’s business scope includes: production and marketing of Moutai wine and wines of series,
production and marking of beverage, food and package materials, the development of anti-counterfeit
technology and the research and development of IT-related products, the service of management of
hotel, housing, catering, entertainment, bath and parking lot, and vehicle transporting (dangerous
chemicals not included) and maintenance.
3.2 Scope of consolidated financial statements
√applicable □Non-applicable
This year, eight subsidiaries were included in the consolidated financial statement, including Guizhou
Moutai Chiew Import And Export Co., Ltd., Guizhou Xijiu Sales Co., Ltd., Kweichou Moutai Group
Finance Co., Ltd., Moutai Custom Marketing (Guizhou) Co., Ltd., Beijing Friendship Messenger
Trading Co., Ltd., Kweichow Moutai Paris Trading, Guizhou Laymau Wine Industry Co., Ltd. and
Kweichow Moutai-Flavor Liquor Marketing Co., Ltd.
4. Basis of preparation of financial statements
4.1 Basis of preparation of financial statements
The company has prepared its financial statements on a going concern basis.
4.2 Going concern
√applicable □non-applicable
Since the date of this report, there are no events resulting in significant uncertainties over going concern
of the operation of this company for at least 12 months.
5. Significant accounting policies and accounting estimates
Specific accounting policies and accounting estimates:
√applicable □non-applicable
83 / 156
ANNUAL REPORT 2021
5.1 Statement of compliance with accounting standards for business enterprises
The financial statements have been prepared in accordance with the requirements of accounting
standards for business enterprises, which truly and completely reflect the Company’s financial status,
operating results, changes in shareholders’ equity, cash flow and other relevant information.
5.2 Accounting period
The accounting year of the Company is from 1 January to 31 December.
5.3 Operating cycle
√applicable □non-applicable
The Company sets 12 months as an operating cycle.
5.4 Reporting Currency
The Company’s functional currency is CNY.
5.5 Accounting treatments of “Business combination involving entities under common control”
and “Business combination involving entities not under common control”
√applicable □non-applicable
(1) Business combination involving entities under common control
For business combination involving entities under common control, assets and liabilities obtained by the
combining party through business combination shall be measured at the book value of the combined
company at the combination date. The capital reserve (stock premium or capital premium) is adjusted
according to the difference between the book value of net asset acquired through combination and the
book value of consideration paid for the combination (or total par value of shares issued). If the capital
reserve (stock premium or capital premium) is insufficient to offset, the retained earnings shall be
adjusted.
(2) Business combination not under common control
For business combination involving entities not under common control, the combination cost is
calculated at fair value of the assets, liabilities incurred or assumed and the equity securities issued by
the combining party on combination date in the purpose of gaining the combined party’s control. For
business combination involving entities not under common control that are achieved step by step in
multiple exchanges and transactions, different approaches in accounting treatment are adopted for
individual financial statements and combination financial statements as follows.
A. For individual financial statements, the initial investment cost of the investment is calculated as the
sum of the book value of the combined party’s equity investment held by the combining party before
the combination date and the increased investment cost on the combination date. If the combined party’s
equity held by the combining party entails other comprehensive profits, then the profits (e.g. the part of
the difference of fair value of saleable financial assets that is calculated in capital reserves, the same for
the follows) shall be calculated as the investment profits of the current period.
B. For combination financial statements, the combined party’s equity held by the combining party
before the combination date shall be recalculated in fair value of the equity on combination date. The
margin of its fair value and book value shall be calculated into the investment profits of the current
period. If the combined party’s equity held by the combining party entails other comprehensive profits,
then the profits shall be calculated as the investment profits of the current period of the combination
date. Fees, commissions, and other transaction expenses and other relevant administration expense paid
for combination shall be calculated into current profits or losses as they occur. Transaction fees of
equity securities and debt securities paid by the combining party for combination consideration shall be
included in the initial measurement amount of equity or debt securities. The Company shall recognize
the difference of the combination costs in excess of the fair value of the net identifiable asset acquired
from the acquiree through combination as goodwill. After the review, if the combination costs are still
in short of the fair value of the net identifiable asset acquired from the acquiree through combination,
include the difference in the current profits or losses.
84 / 156
ANNUAL REPORT 2021
5.6 Base of consolidated financial statements
√applicable □non-applicable
The combination financial statements of the Company comply with ‘Norms for Enterprise Accounting
No.33- Combination Financial Statements’ and relevant regulations. At combination, all major internal
transactions and businesses within combination rage have been offset. The subsidy’s shareholder’s
equity that is not owned by the parent company shall be listed individually in the shareholder’s equity
item in the combination financial statements as minor shareholder equity. When composing
combination financial statements, necessary adjustments shall be made according to the Company’s
accounting policies and accounting period if the accounting policies and accounting period of the
subsidiary corporation is different from those of the Company. For subsidiary corporations acquired by
combination under common control, their operating results and cash flow shall be included in the
financial statement in the current period. Adjustments shall be made in relevant projects in the last
year’s financial statements. The statement entity formed after the combination remains since the
ultimate controlling part takes control. For subsidiary corporations acquired by combination not under
common control, their operating results and cash flow shall be included in the financial statement since
the Company takes control.
5.7 Cash and cash equivalents
Cash equivalents include Cash on hand, Bank balances, other monetary funds, provision at central bank
retrievable at any time, deposits with other banks, placements with banks, buying securities and return
sale within the same industry and other investments featuring short investment period (generally due
within three months since purchase), high mobility, easy convertibility to cash with known amount and
low risk of value change.
5.8 Foreign operations and foreign currency translation
√applicable □non-applicable
(1) Foreign currency operations
The amount in the foreign currency shall be translated into CNY currency according to the middle rate
of exchange rate in foreign currency market on the day of transaction. At the end of the period, the
balance of monetary foreign currency account shall be translated into CNY currency according to the
middle rate of exchange rate at the end of the period. The difference between the translated CNY
balance and the original book balance shall be calculated as exchange gains or lost, and recorded into
items like ‘finance expense’ and ‘construction in progress’. For non-monetary foreign currency projects
calculated with historical cost, the spot exchange rate on transaction day is employed, and the amount of
reporting currency stay unchanged.
(2) Foreign currency translation
Assets and liabilities in the balance sheets shall be translated at the spot exchange rates on balance sheet
date. Shareholders’ equity items, except for the item of “undistributed profits”, are translated at the spot
exchange rates on the dates when the transactions occur. Revenue and expense items in the income
statement are translated at the spot exchange rates on the dates when the transactions occur or at the
exchange rate determined in a systematical and reasonable method and similar to the spot exchange rate
on the day when the transactions occur. Differences arising from the above translations of foreign
currency financial statements are separately listed under other comprehensive income in the
consolidated balance sheet. Cash flow projects operated overseas shall be translated at approximate
exchange rate of spot rate on the date of cash flow. The amount of cash affected by fluctuations of
exchange rate shall be separately listed in the table of cash flow.
5.9 Financial instruments
√applicable □non-applicable
(1) Recognition and derecognition of financial instruments
85 / 156
ANNUAL REPORT 2021
When the Company becomes a party to a financial instrument contract, the related financial asset or
financial liability should be recognized. Transaction of financial assets by regular means shall be
recognized and derecognized according to accounting on transaction date. Regular means refers to
gaining or giving financial assets within the time period designated by law or regulations according to
contract items. Transaction date refers to the date that the Company promises to purchase or sell
financial assets.
Derecognition of financial assets (or part of financial assets) shall be conducted- written off from the
account and asset liability list, if it meets following conditions: A. expiration of the right to acquire cash
flow of financial assets; B. Transfer of the right to obtain cash flow of financial assets, and (a)
substantively transferring almost all risks and rewards of the possession of financial assets, or (b)
though substantively neither transferring nor retaining almost all risks and rewards of the possession of
financial assets, relinquishing the control over the financial assets.
(2) Classification and measurement of financial assets
Based on the business model of financial asset management and the contract cash flow characteristics of
financial assets, the Company classifies financial assets into: financial assets measured at amortized cost;
financial assets measured at fair value with their changes included into other comprehensive income;
and financial assets measured at fair value with their changes included into current profits/losses. The
following measurement of financial assets depends on its classification.
A．Financial assets measured at amortized cost
The business model in which the Company manages financial assets measured at amortized cost aims to
receive contract cash flow. Furthermore, the characteristics of the contract cash flow of such financial
assets are consistent with basic borrowing and lending arrangements, which means that cash flow
generated on a specific date serves only as payment for principal and interests based on the amount of
unpaid principal. The Company adopts the effective interest method for such financial interests,
performs subsequent measurement of them at amortized cost, and includes the gains or losses from
derecognition, changes or impairment of them into current profits/losses.
B．Financial assets at fair value at fair value through other comprehensive income
The financial assets that meet the following conditions are of this category: The business model in
which the Company manages such financial assets both aims to receive contract cash flow and for the
purpose of sale; furthermore, the characteristics of the contract cash flow of such financial assets are
consistent with basic borrowing and lending arrangements. The Company measure such financial assets
at fair value and include their changes into other comprehensive income, but record impairment losses
or gains, exchange gains or losses and interest income calculated in the effective interest method into
current profits/losses.
C．Equity instrument investments at fair value at fair value through other comprehensive incom
The Company irrevocably chooses to designate part of non-transactional equity instrument investments
as financial assets calculated with fair value whose changes are included in other comprehensive income,
and only relevant dividend income is calculated into current profits or losses. Changes in fair value are
recognized as other comprehensive income. When the financial asset is derecognized, cumulative gains
or losses should be transferred into retained earnings.
D. Financial assets at fair value at fair value through current profits/losses
For financial assets other than the above financial assets measured at amortized cost and financial assets
measured at fair value with their changes included into other comprehensive income, the Company
classifies them as financial assets measured at fair value with their changes included into current
profits/losses. In addition, at the initial recognition, the Company specifies partial financial assets as
financial assets measured at fair value with their changes included into current profits/losses, in order to
eliminate or substantially reduce accounting mismatch. For such financial assets, the Company performs
subsequent measurement using fair value and records changes in the fair value into current profits/losses.
86 / 156
ANNUAL REPORT 2021
When and only when the Company changes its business mode for management of financial assets, will
be influenced relevant financial assets be reclassified. For financial assets measured at fair value with
their changes included into current profits/losses, relevant transaction fees are calculated into current
profits or losses; while for other financial assets, relevant transaction fees are included into the initial
recognition amount.
(3) Classification and measurement of financial liabilities
At their initial recognition, financial liabilities are divided into financial liabilities measured at
amortized cost and financial liabilities measured at fair value with their changes included into current
profits or losses.
Financial liabilities meeting the following conditions are specified as financial liabilities measured at
fair value with their changes included into current profits or losses at initial measurement: (A) The
specification can eliminate or notably reduce account mismatch; (B) Based on risk management or
investment strategy from official documents, management and business evaluation are conducted on
financial liability combination or financial asset and financial liability combination on the basis of fair
value, which are reported to key management personnel inside the company; (C) The financial liabilities
include embedded derivatives that need to be separated.
The Company recognize the classification of financial liabilities at initial recognition. For financial
liabilities measured at fair value with their changes included into current profits or losses, relevant
transaction fees are calculated into current profits or losses; while for other financial liabilities, relevant
transaction fees are included into the initial recognition amount.
The subsequent measurement of financial liabilities depends on its classification:
A. Financial liabilities measured at amortized cost
For financial liabilities of this category, effective interest rate is adopted, and subsequent measurement
is performed at amortized cost.
B. Financial liabilities measured at fair value with their changes included into current profits or
losses
Financial liabilities measured at fair value with their changes included into current profits/losses include
trading financial liabilities (including derivatives classified as financial liabilities) and the financial
liabilities specified to be measured at fair value with their changes included into current profits/losses at
the initial recognition.
(4)Offsetting of financial instruments
Financial assets and financial liabilities meeting the following conditions simultaneously shall be listed
in balance sheet in their net amounts after manual offset: The Company has the legal right to offset
recognized financial assets and financial liabilities and may execute the legal right currently and
simultaneously; The Company plans to settle or simultaneously encash the financial assets in net
amounts and pay off the financial liabilities.
(5)Impairment of financial assets
For financial assets measured at amortized cost and debt instrument investment measured at fair value
with its changes included into other comprehensive income, the Company recognizes the provision for
loss based on the expected credit loss.
When assessing expected credit loss, the Company considers reasonable and well-founded information
on past matters, present conditions and forecast of future economic conditions, sets the risk of default as
87 / 156
ANNUAL REPORT 2021
the weight, and calculates the weighted amount of the difference of present value between the cash flow
according to the contract and the cash flow expected to be gained in practice.
On each balance sheet date, the Company calculates expected credit loss for financial instruments at
different stages. If the credit risk of financial instrument hasn’t substantially increased since the initial
recognition, then it is in the first stage, and the Company will measure the loss provision at the amount
equivalent to the expected credit loss for the next 12 months. If the credit risk has substantially
increased since the initial recognition without credit impairment, then the financial instrument is in the
second stage, and the Company will measure the loss provision at the amount equivalent to the expected
credit loss for the entire duration. If credit impairment has occurred since the initial recognition, then the
financial instrument is in the third stage, and the Company will measure the loss provision by the
amount equivalent to the expected credit loss for the entire duration.
For financial instruments featuring relatively low credit risk on asset balance date, the Company
assumes no substantial increase of credit risk since the initial recognition, and will measure the loss
provision at the amount equivalent to the expected credit loss for the next 12 months.
For financial instruments that are in the first stage or second stage, or featuring relatively low credit risk,
the Company will calculate the interest income according to the book balance and the effective interest
rate without deducting provision. For financial instruments that are in the third stage, the Company will
calculate the interest income according to the amortization cost and the effective interest rate, deducting
provision from the book balance.
For notes receivable and accounts receivable formed in daily operations like sale of product and
provision of labor, regardless of substantial financing component, the Company will measure the loss
provision by the amount equivalent to the expected credit loss for the entire duration
When the information about the expected credit loss of a single financial asset cannot be evaluated at a
reasonable cost, the Company shall divide the accounts receivables portfolio according to credit risk
characteristics and measure the expected credit loss based on portfolios. The foundation to determine
portfolio and provision means are as follow:
Bank acceptances portfolios Bank acceptances
Accounts receivable portfolios Accounts receivable of related party within range of merge
Other accounts retrievable with lower credit risk (e.g. advances to
Other accounts retrievable portfolios
employees, deposit, security fund)
Other accounts retrievable portfolios
Other accounts retrievable of related party within range of merge
Other portfolios Other accounts apart from above portfolios
For accounts retrievable divided as portfolio and accounts retrievable formed in daily operations like
sale of product and provision of labor, the Company calculates the expected credit loss through the
comparative table of accounts retrievable and accounts retrievable age and the expected credit loss rate
over the entire duration based on the current situation and prediction of future economic situation
consulting historical credit loss experience. For other notes retrievable and accounts retrievable
classified as portfolio, the company will calculate the expected credit loss through the exposure at
default and expected credit loss rate for the following 12 months or over the entire duration based on the
current situation and prediction of future economic situation consulting historical credit loss experience.
The Company calculates provision withdrawn or reversed into profits/ losses of the current period. For
liability instruments in fair value whose changes are included in other comprehensive profits, the
Company calculates impairment losses or income into profits/ losses of the current period, while
adjusting other comprehensive profits.
(6) Transfer of financial assets
88 / 156
ANNUAL REPORT 2021
If almost all the risks and rewards in respect of the ownership of the financial asset are transferred, the
financial asset shall be derecognized; if they are retained, the financial asset shall not be derecognized.
If almost all the risks and rewards in respect of the ownership of the financial asset are neither
transferred nor retained, the Company will conduct further evaluation: If the enterprise does not retain
control over the asset, then its financial assets shall be derecognized, and the rights and obligations
produced or retained during transfer shall be separately recognized as assets or liabilities. If the
enterprise retains control over the asset, then relevant financial assets shall be recognized according to
the degree to which it continues to be involved in the transferred financial assets, and relevant liabilities
shall be recognized.
If the enterprise continues to involve itself by obligation of guarantee for transferred financial assets,
then the lower one of the book value and guarantee amount of financial assets on transfer date shall be
selected and recognized as the transferred financial assets. The relevant liabilities are determined as the
sum of guarantee amount and fair value of guarantee contract (usually the consideration received from
obligation of guarantee). The guarantee amount refers to the highest amount repayable among the
considerations an enterprise receives.
5.10 Inventory
√applicable □N/A
(1) Classification of inventory
Inventories are classified as: raw materials, semi-finished goods, goods in progress, finished goods, and
revolving materials.
(2) Measurement method of dispatched inventories
The planned cost is used for daily accounting of raw materials, and the difference of material cost
should be carried forward on a monthly basis to adjust the dispatch cost into the actual cost. The
semi-finished goods and finished goods shall be accounted according to the actual cost, and the moving
weighted average method shall be used in accounting for costs of sales.
(3) Basis to determine net realizable values of inventories and method of write-down
of inventories
At the end of the period, inventory is measured according to the lower of cost and net realizable value.
The difference between cost of one inventory and net realizable value is higher than the write-down of
inventories.
(4) Inventory system
The Company adopts perpetual inventory system
(5) Amortization method of low-cost consumables and packing materials
One-time amortization method is adopted.
5.11 Long-term equity investment
√applicable □N/A
(1) (1)Judgment criteria of control and significant influence
The majority of long-term equity investments of the Company are investments to subsidiaries.
Subsidiaries refer to invested parties upon which the Company can exert control. Control refers to the
fact that the investing party has power over the invested party, enjoys variable returns and can influence
the return amount by exercising power over the invested party. The term ‘significant influence’ refers to
the power to participate in decision-making on the financial and operating policies of the investee, but
with no control or joint control over the formulation of these policies.
(2) Determination of the investment cost
A. Long-term equity investments resulting from combination
89 / 156
ANNUAL REPORT 2021
For business combination under common control, for the long-term equity investments obtained by cash
paid, non-monetary assets paid or assumed liabilities as consideration by the acquirer, on the merger
date, the initial investment cost of long-term equity investment shall be taken as the share of the owner’s
equity of the investee in the book value of the final control party’s consolidated financial statements.
According to the margin amount between initial investment cost and cash payment, non-monetary asset
paid or assumed liabilities, capital reserve should be written down. If the capital reserve is not sufficient
to be written down, then the retained earnings shall be written down. For investments obtained by equity
securities issued by the acquirer, on the merger date, the initial investment cost of long-term equity
investment shall be taken as the share of the owner’s equity of the investee in the book value of the final
control party’s consolidated financial statements. Setting total book value of issued shares as share
capital, according to the difference between the initial investment cost and total book value of issued
shares, capital reserve shall be written down; if the capital reserve is not sufficient to be written down,
then the retained earnings shall be written down.
For business combination not under common control, on the merger date, the combination cost
according to ‘Business Accounting Norms No.20- Business combinations’ should be calculated as the
initial investment cost of long-term equity investment.
B. Other long-term equity investments not resulting from combination
For the long-term equity investments obtained by cash paid, the Company recognizes their fair value as
the initial investment costs. For the long-term equity investments acquired by the issue of equity
securities, the initial investment cost shall be the fair value of the equity securities issued.
(3) Subsequent measurement and recognition of profits and losses
The investments of subsidiaries are measured with the cost method, and shall be adjusted according to
equity law according to initial investment cost when making the combination financial statements. Costs
shall be added or retrieved in adjustment of long-term equity investments. The cash dividends or profits
declared by the investee shall be recognized as the investment income of the current period.
For long-term equity investments measured under the equity method, if the initial investment costs are
higher than the investor’s attributable share of the fair value of the investee’s identifiable net assets,
initial investment cost shall be calculated as long-term equity investment cost; if the initial investment
costs are lower than the investor’s attributable share of the fair value of the investee’s identifiable net
assets, the margin shall be calculated into profits/ losses of the current period, and long-term equity
investment cost shall be increased. The Company shall, according to the shares of net profits and other
comprehensive income realized by the investee that shall be enjoyed or borne by the Company,
recognize the profit and loss on the investments of the current period. When recognizing the net losses
of the invested party, the losses should be limited to zero at least according to book value and other
long-term equities of long-term equity investment. Nonetheless, if the Company bears the obligation for
additional losses and meets conditions to recognize expected liabilities, then it shall continue to
recognize investment losses and calculate it into liabilities. When recognizing the net profits and losses
and other comprehensive income of the investee that the Company shall enjoy or bear, the Company
shall calculate the part is enjoys or bears according to share-holding ratio on the basis that the
Company’s share-holding ratio remains the same, and include the part directly into share-holders’
equities, and make adjustments to book value of long-term equity investments. For the part of the
interest or dividend from the invested party that is favorable for declaration and distribution, the book
value of long-term equity investments shall be reduced accordingly. For unachieved internal transaction
profits and losses between the Company and the invested party, the part of the Company shall be
calculated according to the ratio that should be shared or born by the company and be offset, on the
basis of which the recognition of investment profits/ losses shall be conducted. The part of asset
impairment incurred in internal transaction loss shall not be offset.
5.12 Investment property
(1) When adopting cost model:
90 / 156
ANNUAL REPORT 2021
Method of depreciation or amortization
The company shall deduct expected net residual value (residual value rate: 5%) and cumulative
impairment provision from the cost of investment property, and conduct depreciation or amortization
using straight-line method within the service life (20 years).
5.13Fixed assets
(1) Recognition of fixed assets
√applicable □non-applicable
Fixed assets refer to tangible assets with relatively high unit value, which are held for the purpose of
producing commodities, providing services, renting or business management with useful life exceeding
one accounting year.
(2) Method of depreciation
√applicable □non-applicable
Depreciation Estimated useful Residual value Annual
Category
method life (Year) rate depreciation rate
Buildings Straight-line 20 5% 4.75%
method
Machinery and Straight-line 10 5% 9.5%
equipment method
Electronic Straight-line 5 5% 19%
equipment and method
others
Vehicles Straight-line 5 5% 19%
method
A. After January 1st, 2014, the amount less than CNY 1,000,000 spent on newly-purchased equipment
and apparatus for the special use of R&D shall be calculated into cost of the current period.
B. After January 1st, 2014, the amount more than CNY 1,000,000 spent on newly-purchased
equipment and apparatus for the special use of R&D, shall be depreciated according to the
following table:
Asset category Estimated useful life (Year)
Machine equipment 6 years
Electronic equipment 2 years
(3) (3)Method of impairment test and provision for impairment for fixed assets
At the end of the period, check on fixed assets shall be implemented item by item. If the recoverable
amount is lower than book value because of outdated technology, impairment or long-term idle
condition, the Company shall calculate the difference between recoverable amount and book value as
the provision for impairment for fixed assets. Provision for impairment for fixed assets shall be
conducted in terms of individual asset.
5.14 Construction in progress
√Applicable □N/A
Accounting method for construction in progress: each construction in progress is initially measured at
the actual cost.
(1) The construction in progress shall be transferred to fixed assets in the following conditions:
A. The acquired fixed assets are ready for use;
B. The physical construction of the construction in progress has been completed or substantially
completed;
C. The acquired fixed assets conform to the design requirements or contract requirements, they can be
used normally, and it needs little or no expenditure on the acquired construction in progress.
91 / 156
ANNUAL REPORT 2021
(2) The new construction, reconstruction and expansion projects of the company’s fixed assets are
included in the construction in progress according to the actual expenditure incurred. Borrowing interest
and foreign exchange gains and losses incurred in the construction of borrowed loans can be capitalized
and included in the cost of construction in progress before the fixed assets reach the intended usable
state if the fixed assets meet the capitalization conditions.
(3) On the balance sheet date, the construction in progress shall be checked by items. If there is
evidence that the construction in progress is impaired, the provision for impairment shall be made based
on the difference between the recoverable amount and the carrying amount.
The main factors in making provision for impairment of construction in progress are as follows:
A. Suspended construction for a long time and is not expected to restart construction in the next three
years;
B. The constructed projects are backward in terms of technology and performance, and it is uncertain
for the economic benefits brought to the enterprise;
C. Other circumstances sufficient to prove that the construction in progress has been impaired.
5.15 Borrowing costs
√Applicable □N/A
The principle to confirm the capitalization of borrowing costs is as follows: the borrowing costs such as
interest on borrowings, amortization of discounts or premiums, auxiliary costs, and exchange
differences due to foreign currencies incurred by the Company due to borrowings, which can be directly
attributed to the acquisition & construction or production of assets that meet the capitalization
conditions, shall be capitalized and included in the cost of the asset; other borrowing costs shall be
recognized as expenses in the period in which they are incurred and included in profit or loss.
Determination method of capitalization period:
(1) Begin capitalization: borrowing costs can only begin to be capitalized if the following three
conditions are all met simultaneously
A. Asset expenditure has occurred;
B. The borrowing costs have been incurred;
C. The acquisition & construction or production activities to make the asset ready for its intended use or
sale have begun.
(2) Suspension of capitalization: if the acquisition and construction of fixed assets is suspended
abnormally, and the suspension lasts for more than 3 months, the capitalization of borrowing costs will
be suspended, and the borrowing costs incurred during the interruption period will be recognized as
current expenses until the assets are acquisition and construction activities resumed.
(3) Stop capitalization: when the acquired and constructed fixed assets reach the intended usable state,
stop the capitalization of borrowing costs.
The calculation method of the capitalized amount of borrowing costs:
A. If a special loan is borrowed for the acquisition, construction or production of assets that meet the
capitalization conditions, the interest expense actually incurred in the current period of the special loan
shall be determined after deduction of the interest income obtained by depositing the unused loan funds
in the bank or by temporary investment;
B. If general borrowings are occupied for the purpose of acquisition, construction or production of
assets that meet the capitalization conditions, the Company shall calculate and determine amount of
interest of general borrowings to be capitalized based on weighted average number of asset expenditures
over which the accumulated asset expenditure exceeds the special borrowings multiplied by the
92 / 156
ANNUAL REPORT 2021
capitalization rate of the occupied general borrowings. The capitalization rate is calculated based on the
weighted average rate of borrowings, and the auxiliary expenses incurred by general borrowings shall
not be capitalized.
5.16 Intangible assets
(1) Valuation method, service life, impairment test
√Applicable □N/A
A. Pricing of intangible assets: intangible assets are initially measured at the cost when they are actually
acquired. For the intangible assets developed by the Company, the expenditures in the research stage
shall be included in the current profit and loss when incurred; the expenditures in the development stage
shall be recognized as intangible assets (patented technology and non-patented technology) if the
following conditions are all met simultaneously:
a. It is technically feasible to complete the intangible asset so that it can be used or sold;
b. There is intention to complete the intangible asset for use or sales.
c. The usefulness of methods for intangible assets to generate economic benefits include that there is a
potential market for the products manufactured by applying the intangible assets or that there is a
potential market for the intangible assets themselves;
d. It is able to finish the development of the intangible assets, and able to use or sell the intangible assets,
with the support of sufficient technologies, financial resources and other resources.
e. The expenditure attributable to the intangible asset during its development phase can be measured
reliably.
B. Amortization of intangible assets: The intangible assets are amortized in the straight-line method
over the beneficial years from the month of acquisition, and intangible assets with indefinite useful lives
are not amortized.
C. On the balance sheet date, each intangible asset should be checked, and if there is any sign of
impairment, an impairment provision should be made based on the difference between the recoverable
amount and the carrying amount.
(2). Accounting policy for internal research and development expenditures
□Applicable √N/A
5.17 Long-term prepaid expenses
√Applicable □N/A
Long-term prepaid expenses are expenses that have occurred but should be borne by the current and
subsequent periods for a period of more than one year.
5.18 Employee benefits
The Company’s employee benefits refer to various forms of remuneration and compensation given by
the Company to the employees for obtaining services provided by employees or for termination of labor
relations, including short-term benefits, post-employment benefits, termination benefits and other
long-term employee benefits. The benefits provided by the Company to employees’ spouses, children,
dependents, survivors of deceased employees and other beneficiaries also belong to employee benefits.
(1) Accounting treatment of short-term benefits
√Applicable □N/A
Short-term benefits are the benefits that the Company expects to pay in full within 12 months after the
end of the annual reporting period in which the employee provides relevant services, excluding the
compensation for the employment termination. The Company’s short-term remuneration specifically
includes: employee wages, bonuses, allowances and subsidies, employee welfare expenses, social
insurance premiums such as medical insurance premiums, work-related injury insurance premiums and
93 / 156
ANNUAL REPORT 2021
maternity insurance premiums, housing provident fund, labor union funds and employee education
funds, short-term paid absences, short-term profit-sharing plans, non-monetary benefits, and other
short-term benefits.
During the accounting period in which the employees provide services, the Company recognizes the
actual short-term benefits as liabilities, and includes the current profits and losses or relevant asset costs
according to the beneficiaries of the services provided by the employees. Non-monetary short-term
benefits shall be measured at fair value.
(2) Accounting treatment of post-employment benefits
√Applicable □N/A
Post-employment benefits refer to various forms of benefits provided by the Company in order to obtain
the services provided by the employees after the employees retire or terminate the labor relationship
with the enterprise.
Defined contribution plan: The contributions to be paid to a separate entity in exchange for the services
provided by employees during the accounting period on the balance sheet date are recognized as
employee compensation liabilities, and are included in the current profit and loss or related asset costs.
(3) Accounting treatment of termination benefits
√Applicable □N/A
Employee benefits liabilities shall be recognized and included into profit or loss for the current period
on the earlier date of the two following circumstances:
a. When the Company is not able to withdraw the benefits from termination of employment or
resignation persuasion unilaterally;
b. When the Company recognizes costs and fees relevant to reforming the termination benefits payment.
(4) Accounting treatment method of other long-term employee benefits
□Applicable √N/A
5.19 Revenue
(1) Accounting policies adopted for revenue recognition and measurement
√Applicable □N/A
Revenue refers to the total inflow of economic benefits that are formed in the daily activities of the
Company and will lead to an increase in owners’ equity and have nothing to do with the capital invested
by the owners.
When the Company has fulfilled its performance obligations in the contract, that is, recognized the
Revenue when the customer obtains control over the relevant commodities, which means that the
customer is able to dominate the use of the commodity and obtain almost all economic benefits from it.
After the Company delivers the product to the customer as agreed in the contract, the Revenue is
recognized based on the net amount after deducting the consideration payable to the customer. The
Company recognizes the amount of contract consideration that has been collected from the customer as
a contract liability before entering into a contract with the customer, having received the order but not
delivering the product to the customer.
(2) Differences in accounting policies for Revenue recognition due to the adoption of different business
models for similar businesses
□Applicable √N/A
5.20 Government grants
√Applicable □N/A
94 / 156
ANNUAL REPORT 2021
Government grants refer to the monetary or non-monetary assets that the Company obtains from the
government for free, but does not include the capital invested by the government as the owner of the
Company. Government grants are divided into asset-related government grants and income-related
government grants. Government grants can only be confirmed if they meet the following conditions at
the same time:
(1) Judgment basis and accounting treatment method of government grants related to assets
Government grants related to assets shall be written off against the carrying amount of related assets or
recognized as deferred income. If government grants related to assets are recognized as deferred income,
they shall be included in profit or loss in stages within the useful life of the relevant assets in a
reasonable and systematic manner. Government grants measured at the nominal amount are directly
included in the current profit and loss. If the relevant assets are sold, transferred, scrapped or damaged
before the end of their useful life, the undistributed balance of relevant deferred income shall be
transferred to the profit and loss of the current period of asset disposal.
(2) Judgment basis and accounting treatment method of government grants related to income
Government grants related to income shall be dealt with according to the following circumstances:
A. If it is used to compensate the Company’s relevant expenses or losses in future periods, it should be
recognized as deferred income and included into the current profit and loss or written off of the related
costs when the relevant expenses, losses are recognized;
B. If it is used to compensate the Company’s relevant expenses or losses incurred, it is directly included
into the current profit and loss or written off of the related costs.
(3) Government grants related to the daily activities of the Company shall be included in other income
or written off relevant costs according to the nature of economic business. Government grants unrelated
to the daily activities of the Company shall be included in non-operating income and expenditure.
5.21 Deferred tax assets/Deferred tax liabilities
√Applicable □N/A
On the balance sheet date, according to the deductible temporary differences and taxable temporary
differences of asset and liability items, the applicable tax rate is used to calculate the amount of deferred
tax assets and deferred tax liabilities.
5.22 Lease
(1) Accounting treatment of operating lease
□Applicable √N/A
(2) Accounting treatment of financial lease
□Applicable √N/A
(3) Determination and accounting treatment of lease under the new lease standards
√Applicable □N/A
A. As the lessee
On the contract start date, the Company evaluates whether the contract is a lease or includes a lease. If
one party in the contract transfers the right to control the use of one or more identified assets within a
certain period in exchange for consideration, the contract is a lease or includes a lease. In order to
determine whether the contract transfers the right to control the use of the identified asset for a certain
period, the Company evaluates whether the customer in the contract is entitled to receive substantially
all the economic benefits arising from the use of the identified asset during the period of use, and has
the right to dominate the use of the identified asset during the period of use. The general accounting
treatment is as follows:
95 / 156
ANNUAL REPORT 2021
On the commencement date of the lease term, the Company recognizes its right to use the leased asset
during the lease term as a right-of-use asset, including the initial measurement amount of the lease
liabilities; for the lease payments paid on or before the commencement date of the lease term, if there is
a lease incentive, the following items should be deducted, including the relevant amount of the lease
incentive that has been enjoyed, the initial direct expenses incurred by the lessee, and the costs of the
lessee for dismantling and removing the leased asset, restoring the site where the leased asset is located,
or restoring the leased asset to the state agreed in the lease terms.
On the commencement date of the lease term, the Company recognizes the present value of unpaid lease
payments as lease liabilities, excluding short-term lease and low-value assets lease. When calculating
the present value of lease payments, the Company takes the interest rate implicit in the lease as the
discount rate; if the interest rate implicit in the lease cannot be determined, the incremental borrowing
rate of the lessee is used as the discount rate.
The Company subsequently adopts the straight-line method to depreciate the right-of-use assets,
calculates the interest expenses of the lease liabilities in each period of the lease term, and includes them
in the current profit and loss, unless otherwise stipulated to be included in the cost of the relevant assets.
Variable lease payments that are not included in the measurement of lease liabilities are included in the
current profit and loss when they are actually incurred, unless otherwise stipulated to be included in the
cost of the relevant asset.
The Company does not recognize right-of-use assets and lease liabilities for short-term lease and
low-value asset lease. In each period of the lease term, it is included in the relevant asset cost or current
profit and loss on a straight-line basis.
B. As the lessor
As a lessor, a financial lease refers to substantially transfer almost all the risks and rewards related to the
ownership of the leased asset on the lease commencement date, and all other leases are operating leases.
a. Rental income from operating leases is recognized as current profit and loss on a straight-line basis
over each period of the lease term.
b. On the start date of the lease term, the Company recognizes the finance lease receivables for the
finance lease, and derecognizes the finance lease assets. During the initial measurement of the finance
lease receivables, the net investment in the lease is taken as the entry value of the finance lease
receivables. The net lease investment is the sum of the unguaranteed residual value and the present
value of the lease receipts not yet received at the commencement date of the lease term which is
discounted at the interest rate implicit in the lease.
5.23 Changes in significant accounting policies and accounting estimates
(1) Changes in significant accounting policies
√Applicable □N/A
The Ministry of Finance revised and issued Accounting Standards for Business Enterprises No. 21 -
Leases (hereinafter referred to as New Lease Standards) in December 2018. The Company will
implement and follow the new lease standards from January 1, 2021. No adjustment will be made to the
comparative financial statements, and the above accounting policies have been approved by the
Company’s board of directors.
When measuring the lease liability, the Company discounts the lease payments at the incremental
borrowing rate at 1 January 2021.
Unit: CNY
Undiscounted amount of operating lease commitments on 639,664,840.54
January 1, 2021
Incremental borrowing rate on January 1, 2021 3.20%-3.40%
Lease liabilities discounted at the incremental borrowing rate 536,281,365.04
96 / 156
ANNUAL REPORT 2021
on January 1, 2021
including: lease liabilities due within one year 121,378,096.65
Lease liabilities due over one year 414,903,268.39
Please refer to this section for the changes in the corresponding accounting statement items: V.
Significant accounting policies and accounting estimates; 23. Changes in significant accounting policies
and accounting estimates; (3) Adjustments to the financial statements at the beginning of the execution
year of any new standard governing leases from 2021.
(2) Changes in significant accounting estimates
□Applicable √N/A
(3) Adjustments to the financial statements at the beginning of the execution year of any new standard
governing leases from 2021
√Applicable □N/A
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Unit: CNY
Item 31 December 2020 January 1, 2021 Adjustments
CURRENT ASSETS
Cash and Cash equivalents 36,091,090,060.90 36,091,090,060.90
Settlements Provision
Loans to banks and other
118,199,586,541.06 118,199,586,541.06
financial institutions
Financial assets held for
trading
Derivative financial assets
Notes receivable 1,532,728,979.67 1,532,728,979.67
Accounts receivable
Financing receivable
Prepayments 898,436,259.15 898,436,259.15
Insurance premium
receivable
Due from reinsurers
Reinsurance contract reserves
receivable
Other receivables 34,488,582.19 34,488,582.19
Including: Interest receivable
Dividends receivable
Financial assets purchased
under agreements to resell
Inventories 28,869,087,678.06 28,869,087,678.06
Contract assets
Assets classified as held for
sale
Current portion of
non-current assets
Other current assets 26,736,855.91 26,736,855.91
Total current assets 185,652,154,956.94 185,652,154,956.94
NON-CURRENT ASSETS
Loans and advances 2,953,036,834.80 2,953,036,834.80
Debt investment 20,143,397.78 20,143,397.78
Other debt investments
Long-term receivables
Long-term equity investments
Other equity instruments
investments
97 / 156
ANNUAL REPORT 2021
Other non-current financial
9,830,052.91 9,830,052.91
assets
Investment properties
Fixed assets 16,225,082,847.29 16,225,082,847.29
Construction in progress 2,447,444,843.03 2,447,444,843.03
Productive biological assets
Oil and gas assets
Right-of-use asset 536,281,365.04 536,281,365.04
Intangible assets 4,817,170,981.91 4,817,170,981.91
Development expenditures
Goodwill
Long-term prepaid expenses 147,721,526.43 147,721,526.43
Deferred tax assets 1,123,225,086.37 1,123,225,086.37
Other non-current assets
Total non-current assets 27,743,655,570.52 28,279,936,935.56 536,281,365.04
Total assets 213,395,810,527.46 213,932,091,892.50 536,281,365.04
Current liabilities
Short-term borrowings
Borrowing from the central
bank
Deposits and balances from
banks and other financial
institutions
Financial liabilities held for
trading
Derivative financial liabilities
Notes payable
Accounts payable 1,342,267,668.12 1,342,267,668.12
Receipts in advance
Contract liabilities 13,321,549,147.69 13,321,549,147.69
Financial assets sold under
agreements to buy
Customer deposits and
balances from banks and other 14,241,859,949.77 14,241,859,949.77
financial institutions
Customer brokerage deposits
Securities underwriting
brokerage deposits
Payroll and employee
2,981,125,503.86 2,981,125,503.86
benefits payable
Taxes payable 8,919,821,015.58 8,919,821,015.58
Other payables 3,257,245,259.42 3,257,245,259.42
Including: Interest payable
Dividend payable
Fees and commission payable
Payable reinsurance
Liabilities classified as held
for sale
Current portion of
121,378,096.65 121,378,096.65
non-current liabilities
Other current liabilities 1,609,801,368.51 1,609,801,368.51
Total current liabilities 45,673,669,912.95 45,795,048,009.60 121,378,096.65
Non-current liabilities
Insurance reserves
Long-term borrowings
98 / 156
ANNUAL REPORT 2021
Bonds payable
Including: Preference share
Perpetual debt
Lease liabilities 414,903,268.39 414,903,268.39
Long-term Payable
Long-term payroll and employee
benefits payable
Provisions
Deferred income
Deferred tax liabilities 1,457,513.23 1,457,513.23
Other non-current liabilities
Total non-current liabilities 1,457,513.23 416,360,781.62 414,903,268.39
Total liabilities 45,675,127,426.18 46,211,408,791.22 536,281,365.04
SHAREHOLDERS’ EQUITY：
Paid-in capital 1,256,197,800.00 1,256,197,800.00
Other equity instruments
Including: Preference share
Perpetual debt
Capital reserve 1,374,964,415.72 1,374,964,415.72
Less: treasury shares
Other comprehensive income -5,331,367.75 -5,331,367.75
Special reserve
Surplus reserve 20,174,922,608.93 20,174,922,608.93
General risk reserve 927,577,822.67 927,577,822.67
Retained earnings 137,594,403,807.99 137,594,403,807.99
Equity attributable to owners
161,322,735,087.56 161,322,735,087.56
of the parent
Non-controlling interests 6,397,948,013.72 6,397,948,013.72
Total shareholders’ equity 167,720,683,101.28 167,720,683,101.28
TOTAL LIABILITIES AND
213,395,810,527.46 213,932,091,892.50 536,281,365.04
SHAREHOLDERS’ EQUITY
Adjustment of each item:
√Applicable □N/A
The Ministry of Finance revised and issued Accounting Standards for Business Enterprises No. 21 -
Leases (Cai Kuai (2018) No. 35) in December 2018. The Company will implement and follow the new
lease standards from January 1, 2021. The Company separately lists the right-of-use assets and lease
liabilities in the balance sheet in accordance with the provisions of the new standard. According to the
linking regulations, the enterprise that implements this new standard for the first time shall adjust the
amount of retained earnings at the beginning of the period and other relevant items in the financial
statements according to the cumulative impact of the first implementation of this new standard, and not
adjust the comparative financial data.
COMPANY STATEMENT OF FINANCIAL POSITION
Unit: CNY
Item 31 December 2020 January 1, 2021 Adjustments
CURRENT ASSETS
Cash and Cash equivalents 50,925,698,935.43 50,925,698,935.43
Financial assets held for
trading
Derivative financial assets
Notes receivable 142,286,376.00 142,286,376.00
Accounts receivable 9,203,780,107.14 9,203,780,107.14
Financing receivables
Prepayments 858,363,840.62 858,363,840.62
99 / 156
ANNUAL REPORT 2021
Other receivables 42,323,669.01 42,323,669.01
Including: Interest
receivable
Dividends
receivable
Inventories 28,162,833,603.66 28,162,833,603.66
Contract assets
Assets classified as held for
sale
Current portion of
non-current assets
Other current assets
Total current assets 89,335,286,531.86 89,335,286,531.86
NON-CURRENT ASSETS
Debt investment
Other debt investments
Long-term receivables
Long-term equity
1,624,535,587.55 1,624,535,587.55
investments
Other equity instruments
investments
Other non-current financial
9,830,052.91 9,830,052.91
assets
Investment properties
Fixed assets 15,742,514,190.13 15,742,514,190.13
Construction in progress 2,447,444,843.03 2,447,444,843.03
Productive biological
assets
Oil and gas assets
Right-of-use asset 470,585,429.10 470,585,429.10
Intangible assets 4,815,945,940.55 4,815,945,940.55
Development expenditures
Goodwill
Long-term prepaid
147,500,000.21 147,500,000.21
expenses
Deferred tax assets 521,030,214.32 521,030,214.32
Other non-current assets
Total non-current assets 25,308,800,828.70 25,779,386,257.80 470,585,429.10
Total assets 114,644,087,360.56 115,114,672,789.66 470,585,429.10
Current liabilities
Short-term borrowings
Financial liabilities held for
trading
Derivative financial
liabilities
Notes payable
Accounts payable 1,077,677,482.55 1,077,677,482.55
Receipts in advance
Contract liabilities 557,514,370.46 557,514,370.46
Payroll and employee
2,846,669,812.23 2,846,669,812.23
benefits payable
Taxes payable 5,032,321,722.08 5,032,321,722.08
Other payables 926,532,063.22 926,532,063.22
Including: Interest payable
Dividend payable
100 / 156
ANNUAL REPORT 2021
Liabilities classified as
held for sale
Current portion of
101,062,708.92 101,062,708.92
non-current liabilities
Other current liabilities
Total current liabilities 10,440,715,450.54 10,541,778,159.46 101,062,708.92
Non-current liabilities
Long-term borrowings
Bonds payable
Including: Preference share
Perpetual debt
Lease liabilities 369,522,720.18 369,522,720.18
Long-term Payable
Long-term payroll and
employee benefits payable
Provisions
Deferred income
Deferred tax liabilities 1,457,513.23 1,457,513.23
Other non-current
liabilities
Total non-current
1,457,513.23 370,980,233.41 369,522,720.18
liabilities
Total liabilities 10,442,172,963.77 10,912,758,392.87 470,585,429.10
SHAREHOLDERS’ EQUITY：
Paid-in capital 1,256,197,800.00 1,256,197,800.00
Other equity instruments
Including: Preference share
Perpetual debt
Capital reserve 1,374,303,082.72 1,374,303,082.72
Less: treasury shares
Other comprehensive
income
Special reserve
Surplus reserve 20,174,922,608.93 20,174,922,608.93
Retained earnings 81,396,490,905.14 81,396,490,905.14
Total shareholders’
104,201,914,396.79 104,201,914,396.79
equity
TOTAL LIABILITIES AND
SHAREHOLDERS’ 114,644,087,360.56 115,114,672,789.66 470,585,429.10
EQUITY
Adjustment of each item:
√Applicable □N/A
The Ministry of Finance revised and issued Accounting Standards for Business Enterprises No. 21 -
Leases (Cai Kuai (2018) No. 35) in December 2018. The Company will implement and follow the new
lease standards from January 1, 2021. The Company separately lists the right-of-use assets and lease
liabilities in the balance sheet in accordance with the provisions of the new standard. According to the
linking regulations, the enterprise that implements this new standard for the first time shall adjust the
amount of retained earnings at the beginning of the period and other relevant items in the financial
statements according to the cumulative impact of the first implementation of this new standard, and not
adjust the comparative financial data.
(4) Explanation on adjustment of previous comparative financial data for implementation of the new
lease standards for the first time from 2021
□Applicable √N/A
101 / 156
ANNUAL REPORT 2021
6. Tax
6.1 Main taxes and tax rates
Main taxes and tax rates
√Applicable □N/A
Tax Tax basis Tax rate
VAT Calculation of output tax and input tax on 13%
product sales revenue
Consumption tax Taxable price and sales volume of sales 20%、CNY 0.5 /500ml
revenue of alcoholic products
City construction and Turnover tax payable 7%
maintenance tax
Enterprise income tax Taxable income 25%
Education surcharges Turnover tax payable 3%
Local education Turnover tax payable 2%
surcharges
Disclosure of taxpayers with different corporate income tax rates
√Applicable □N/A
Tax entity Income tax rate (%)
Kweichow Moutai Paris Trading Co., Ltd. 26.5、27.5
6.2 Tax benefits
□Applicable √N/A
7. Notes to consolidated financial statements
7.1 Cash and Cash equivalents
√Applicable □N/A
Unit: CNY
Item Closing balance Opening balance
Cash on hand 9,500.00 9,554.00
Bank balances 51,810,234,107.11 36,091,080,506.90
Other monetary fund
Total 51,810,243,607.11 36,091,090,060.90
including: total amount deposited 20,665,732.96 17,011,338.58
abroad
Cash and cash equivalents with restrictions on use
Item Closing balance Opening balance
Statutory deposit reserve with the
6,381,004,565.81 6,821,915,239.53
central bank
7.2 Loans to banks and other financial institutions
Unit: CNY
Item Closing balance Opening balance
Deposits with other banks 135,071,807,332.94 117,800,411,402.21
Loans to banks and other 402,680,555.57
financial institutions
Less: impairment 4,519,554.91 3,505,416.72
Carrying amount 135,067,287,778.03 118,199,586,541.06
Loans to banks and other financial institutions with restrictions on use
Item Closing balance Opening balance
102 / 156
ANNUAL REPORT 2021
Deposits with other banks that can
1,000,000,000.00
not be withdrawn at any time
7.3 Notes receivable
(1) Categories of notes receivable
√Applicable □N/A
Unit: CNY
Item Closing balance Opening balance
Bank acceptances 1,532,728,979.67
Total 1,532,728,979.67
7.4 Accounts receivable
(1) Disclosed by aging
√Applicable □N/A
Unit: CNY
Aging Book balance at the end of the reporting period
Within 1 year
1 to 2 years
2 to 3 years
More than 3 years
3 to 4 years
4 to 5 years
More than 5 years 3,097,678.25
Total 3,097,678.25
(2) Disclosed by bad debt provision methods
√Applicable □N/A
Unit: CNY
Closing balance Opening balance
Bad debt
Book balance Bad debt provision Book balance
provision
Carry
Category Prop Prop Pro Carryin
ing
Propo amou
g
ortio Amoun ortio port amount
Amount rtion nt Amount
n t n Amount ion
(%)
(%) (%) (%)
Bad debt
provision
assessed
individua
lly
Bad debt 3,097,678. 100.00 3,097,67 100.00 3,243,804.43 100.00 3,243,804 100.
provision 25 8.25 .43 00
assessed
by
groups
Including 3,097,678. 100.00 3,097,67 100.00 3,243,804.43 100.00 3,243,804 100.
: bad 25 8.25 .43 00
debt
provision
assessed
by
groups
3,097,678. / 3,097,67 / 3,243,804.43 / 3,243,804 /
Total
25 8.25 .43
Bad debt provision assessed by groups:
√ Applicable □ N/A
Items assessed by groups: aging of accounts
103 / 156
ANNUAL REPORT 2021
Unit: CNY
Name Closing balance
Accounts receivable Bad debt provision Proportion (%)
Within 1 year
1-2 years
2-3 years
3-4 years
4-5 years
More than 5 years 3,097,678.25 3,097,678.25 100.00
Total 3,097,678.25 3,097,678.25 100.00
Recognition criteria and explanations for bad debt provision assessed by groups:
□ Applicable √ N/A
Refer to the disclosure of other receivables if bad debt provision is made based on the general ECL
model:
□ Applicable √ N/A
(3) Bad debt provision
√ Applicable □ N/A
Unit: CNY
Changes in the current period
Opening Recovery Closing
Category Other
balance Provision or Write-off balance
changes
reversal
Bad debt provision 3,243,804.43 47,413.76 98,712.42 3,097,678.25
assessed by groups
Total 3,243,804.43 47,413.76 98,712.42 3,097,678.25
(4) Accounts receivable written off at the end of the reporting period
√ Applicable □ N/A
Unit: CNY
Item Amount of write-off
Actual write-off of accounts receivable 98,712.42
Significant write-off of accounts receivable
□ Applicable √ N/A
Explanations on write-off of accounts receivable:
□ Applicable √ N/A
(5) Top five accounts receivable based on debtors
√ Applicable □ N/A
Unit: CNY
Proportion to total Closing
closing balance of balance of
Entity Closing balance
accounts receivable bad debt
(%) provision
Yunnan Kunming Yuanwei Economic 847,620.00 27.36 847,620.00
and Trade Co., Ltd.
Tianjin Feimeng Industrial Co., Ltd. 784,900.00 25.34 784,900.00
Shanghai International Famous Wine 375,776.00 12.13 375,776.00
Development Co., Ltd.
Shenzhen Friendship Shopping Mall 194,200.00 6.27 194,200.00
Shenzhen Grain and Oil Import and 109,504.86 3.54 109,504.86
Export Corporation Beijing Branch
Total 2,312,000.86 74.64 2,312,000.86
104 / 156
ANNUAL REPORT 2021
7.5 Prepayments
(1) Aging analysis of prepayments
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Aging
Amount Proportion (%) Amount Proportion (%)
Within 1 377,984,374.85 97.14 136,773,510.50 15.22
year
1-2 years 1,575,835.77 0.40 609,099,761.73 67.79
2-3 years 1,343,437.85 0.35 122,235,839.95 13.61
More than 3 8,206,192.81 2.11 30,327,146.97 3.38
years
Total 389,109,841.28 100.00 898,436,259.15 100.00
(2) Top five prepayments based on the payers
√ Applicable □ N/A
Proportion to the total closing
Entity Closing balance
balance of prepayment (%)
Renhuai Municipal People’s Government 173,000,000.00 44.46
Xishui County People’s Government 130,339,307.06 33.50
Guizhou Renhuai Grain and Oil Collection 12.93
50,300,844.00
and Storage Co., Ltd.
iSoftStone Information Technology (Group) 2,269,329.41 0.58
Co., Ltd.
Guizhou Radio and Television Station 1,698,113.21 0.43
Total 357,607,593.68 91.90
7.6 Other receivables
Presentation of items
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Interest receivable
Dividends receivable
Other receivables 33,158,974.32 34,488,582.19
Total 33,158,974.32 34,488,582.19
Other receivables
(1) Disclosure by aging
√ Applicable □ N/A
Unit: CNY
Aging Book balance at the end of the reporting period
Within 1 year 29,081,462.35
Subtotal of within 1 year 29,081,462.35
1-2 years 1,695,588.73
2-3 years 1,499,488.43
3-4 years 967,917.47
4-5 years 37,951.22
More than 5 years 5,100,600.00
Total 38,383,008.20
(2) Details of classification by nature
105 / 156
ANNUAL REPORT 2021
√ Applicable □ N/A
Unit: CNY
Book balance at the end of the Book balance at the beginning
Nature
reporting period of the reporting period
Petty cash 16,271,192.50 10,399,194.10
Current Account 22,111,815.70 29,458,352.01
Total 38,383,008.20 39,857,546.11
(3) Details of bad debt provision
√ Applicable □ N/A
Unit: CNY
Stage I Stage II Stage III
Bad debt provision Lifetime ECL Lifetime ECL Total
12-month ECL
(not impaired) (impaired)
As at 1 January 2021 211,315.55 5,157,648.37 5,368,963.92
Changes due to financial
instruments recognised as at
1 January 2021
--Transfer to stage II
--Transfer to stage III
--Reverse to stage II
--Reverse to stage I
Provision 81,250.63 13,662.43 94,913.06
Reversal 211,398.75 18,414.35 229,813.10
Elimination
Write-off 10,030.00 10,030.00
Other changes
As at 31 December 2021 81,167.43 5,142,866.45 5,224,033.88
Explanations on significant changes in the book balance of other receivables where there are changes in
provision for the current period:
□Applicable √ N/A
(1). Bad debt provision
√ Applicable □ N/A
Unit: CNY
Changes in the current period
Opening Closing
Category Recovery Other
balance Provision Write-off balance
or reversal changes
Bad debt 5,368,963.92 94,913.06 229,813.10 10,030.00 5,224,033.88
provision
assessed by
aging groups
Total 5,368,963.92 94,913.06 229,813.10 10,030.00 5,224,033.88
Significant recovery or reversal of bad debt provision for the current period:
□ Applicable √ N/A
(2). Other receivables written off as at the end of the current period
√ Applicable □ N/A
Unit: CNY
Item Amount of write-off
Actual write-off of other receivables 10,030.00
Significant write-off of other receivables:
□ Applicable √ N/A
Explanations on write-off of other receivables:
□ Applicable √ N/A
106 / 156
ANNUAL REPORT 2021
(3). Top five other receivables based on debtors
√ Applicable □ N/A
Unit: CNY
Proportion
to the total
closing
Closing Bad debt
Entity Nature Aging balance of
balance provision
other
receivables
(%)
11th Construction Engineering Co., Ltd. Current 1,584,682.49 Within 1 4.13
of Guizhou Construction Engineering Account year
Group
Guizhou Kailin Xifeng Synthetic Current 1,000,000.00 Within 1 2.61 52,000.00
Ammonia Co., Ltd. Account year
Xinghe Industry (Shenzhen) Co., Ltd. Current 869,520.12 Within 1 2.27
Account year
Guiyang Urban Construction Current 801,039.00 2-3 years 2.09
Investment (Group) Co., Ltd. Account
Shenzhen Jinzhaolin Trading Co., Ltd. Current 781,672.56 Within 1 2.04
Account year
Total / 5,036,914.17 / 13.14 52,000.00
A. The receivable of the 11th Construction Engineering Co., Ltd. of Guizhou Construction Engineering
Group is the payment for office fit-out from majority-owned subsidiary Guizhou Laymau Wine Industry
Co., Ltd..
B. The receivable of Guizhou Kailin Xifeng Synthetic Ammonia Co., Ltd. is the deposit paid to the
supplier.
C. The receivable of Xinghe industry (Shenzhen) Co., Ltd. is the rental deposit paid by
majority-owned subsidiary Kweichow Moutai Sales Co., Ltd.
D. The receivable of Guiyang Urban Construction Investment (Group) Co., Ltd. is the rental deposit
paid by majority-owned subsidiary Kweichow Moutai Sales Co., Ltd.
E. The receivable of Shenzhen Jinzhaolin Trading Co., Ltd. is the prepayment for promotion from
majority-owned subsidiary Guizhou Laymau Wine Industry Co., Ltd.., and the relevant notes were
entered in the books of account in January 2022.
7.7 Inventories
(1). Categories of inventories
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Write-down of Write-down of Carry
Item inventories/impairmen Carrying inventories/impairmen ing
Book balance Book balance
t provision of contract amount t provision of contract amou
performance costs performance costs nt
Raw 4,019,538,465.82 4,019,538,465.82 3,485,831,193.61 3,485,8
materials 31,193.
61
Goods in 14,310,650,087.5 1,283,984.83 14,309,366,102.6 11,941,066,479.6 1,283,984.83 11,939,
progress 1 8 4 782,49
4.81
Finished 1,319,352,631.84 1,319,352,631.84 1,047,225,896.31 1,047,2
goods 25,896.
31
107 / 156
ANNUAL REPORT 2021
Semi-finish 13,746,107,884.4 13,746,107,884.4 12,396,248,093.3 12,396,
ed goods 9 9 3 248,09
3.33
Total 33,395,649,069.6 1,283,984.83 33,394,365,084.8 28,870,371,662.8 1,283,984.83 28,869,
6 3 9 087,67
8.06
(2). Write-down of inventories and impairment provision of contract performance costs
√ Applicable □ N/A
Unit: CNY
Increase in the current Decrease in the
period current period Closing
Item Opening balance
Reversal or Other balance
Provision Others
elimination s
Goods in 1,283,984.83 1,283,984.83
progress
Total 1,283,984.83 1,283,984.83
7.8 Other current assets
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
VAT not deducted at the end of the 67,014,310.91 22,218,754.41
reporting period
Prepaid income tax 4,513,249.83 4,518,101.50
Total 71,527,560.74 26,736,855.91
7.9 Loans and advances
Unit: CNY
Item Closing balance Opening balance
Loans and advances 3,425,175,000.00 2,953,036,834.80
Item Closing balance Opening balance
Total amount of loans and advances 3,513,000,000.00 3,028,755,728.00
Less: provision for loan impairment 87,825,000.00 75,718,893.20
Carrying amount of loans and
3,425,175,000.00 2,953,036,834.80
advances
7.10 Debt investment
(1). Debt investment
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Provision Provision
Item Carrying Carrying
Book balance for Book balance for
amount amount
impairment impairment
Guiyang 20,153,150.69 11,340.00 20,141,810.69 20,155,277.78 11,880.00 20,143,397.78
GYB
Financial
Leasing
Co.,
LTD.
Bank of 50,232,273.98 28,350.00 50,203,923.98
Guiyang
Co. Ltd.
108 / 156
ANNUAL REPORT 2021
Bank of 100,179,589.04 56,700.00 100,122,889.04
Guizhou
Co., Ltd.
Total 170,565,013.71 96,390.00 170,468,623.71 20,155,277.78 11,880.00 20,143,397.78
(2). Provision for impairment
√ Applicable □ N/A
Unit: CNY
Stage I Stage II Stage III
Provision for
Lifetime ECL Lifetime ECL Total
impairment 12-month ECL
(not impaired) (impaired)
As at 1 January 2021 11,880.00 11,880.00
Balance at 1 January
2021 in the current
period
--Transfer to stage II
--Transfer to stage III
--Reverse to stage II
--Reverse to stage I
Provision 85,050.00 85,050.00
Reversal 540.00 540.00
Elimination
Write-off
Other changes
As at 31 December 2021 96,390.00 96,390.00
Explanations on significant changes in the book balance of debt investments where there are changes in
provision for the current period:
□ Applicable √ N/A
7.11 Other non-current financial assets
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Kweichow Moutai Distillery (Group) Foreign In 9,830,052.91
vestment Cooperation Management Co., Ltd.
Total 9,830,052.91
7.12 Investment properties
Measurement of investment properties
(1). Investment properties measured at cost
(2). Unit: CNY
Land use Construction
Item Buildings Total
rights in progress
I. Cost
1. Opening balance
2. Increase in the current period 6,023,231.76 6,023,231.76
(1) Purchases
(2) Transfer from inventories\fixed 6,023,231.76 6,023,231.76
assets\construction in progress
(3) Increase arising from business
combination
3. Decrease in the current period
(1) Disposal
109 / 156
ANNUAL REPORT 2021
(2) Other transfer-out
4. Closing balance 6,023,231.76 6,023,231.76
Ⅱ. Accumulated depreciation and amortization
1. Opening balance
2. Increase in the current period 780,800.01 780,800.01
(1) Depreciation or amortization 286,459.93 286,459.93
(2) Transfer from inventories\fixed 494,340.08 494,340.08
assets\construction in progress
3. Decrease in the current period
(1) Disposal
(2) Other transfer-out
4. Closing balance 780,800.01 780,800.01
III. Provision for impairment
1. Opening balance
2. Increase in the current period
(1) Provision
3. Decrease in the current period
(1) Disposal
(2) Other transfer-out
4. Closing balance
IV. Carrying amount
1. Carrying amount at the end of 5,242,431.75 5,242,431.75
the reporting period
2. Carrying amount at the
beginning of the reporting period
(1). Investment property of which certificates of title have not been obtained
□ Applicable √ N/A
Others
□ Applicable √ N/A
7.13 Fixed assets
Presentation of items
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Fixed assets 17,472,173,182.85 16,225,082,847.29
Disposal of fixed assets
Total 17,472,173,182.85 16,225,082,847.29
Fixed assets
(1). Details of fixed assets
√ Applicable □ N/A
Unit: CNY
Machinery and Electronic equipment
Item Buildings Vehicles Total
equipment and others
I. Cost：
1. Opening Balance 22,132,224,920.44 1,999,629,112.98 276,593,468.31 777,794,492.36 25,186,241,994.09
2. Increase in the current
2,450,899,506.50 78,839,832.19 49,663,726.77 49,862,986.39 2,629,266,051.85
period
(1) Additions 41,200,048.72 651,810.69 18,738,972.91 11,099,469.07 71,690,301.39
(2) Transfer from
2,409,699,457.78 78,188,021.50 30,924,753.86 38,763,517.32 2,557,575,750.46
construction in progress
(3) Increase arising from
business combination
110 / 156
ANNUAL REPORT 2021
(4) Foreign currency
translation
3. Decrease in the current
84,725,840.68 45,204,306.62 17,725,859.31 9,249,576.82 156,905,583.43
period
(1) Disposal or retirement 51,624,105.92 45,204,306.62 17,725,859.31 9,247,071.17 123,801,343.02
(2) Foreign currency
7,014,133.31 2,505.65 7,016,638.96
translation
(3) Transfer to investment
6,023,231.76 6,023,231.76
properties
(4) Transfer to
20,064,369.69 20,064,369.69
construction in progress
4. Closing balance 24,498,398,586.26 2,033,264,638.55 308,531,335.77 818,407,901.93 27,658,602,462.51
II. Accumulated depreciation
1. Opening balance 6,893,835,855.08 1,261,486,281.12 204,581,877.52 600,187,916.28 8,960,091,930.00
2. Increase in the current
1,131,097,966.69 137,766,944.46 22,208,035.32 53,474,504.99 1,344,547,451.46
period
(1) Provision 1,131,097,966.69 137,766,944.46 22,208,035.32 53,474,504.99 1,344,547,451.46
(2) Foreign currency
translation
3. Decrease in the current
56,316,578.05 38,665,455.21 16,158,488.77 8,136,796.57 119,277,318.60
period
(1) Disposal or retirement 47,039,249.90 38,665,455.21 16,158,488.77 8,134,978.48 109,998,172.36
(2) Foreign currency 1,243,683.79 1,818.09 1,245,501.88
translation
(3) Transfer to investment 494,340.08 494,340.08
properties
(4) Transfer to 7,539,304.28 7,539,304.28
construction in progress
4. Closing balance 7,968,617,243.72 1,360,587,770.37 210,631,424.07 645,525,624.70 10,185,362,062.86
III. Provision for impairment
1. Opening balance 1,060,865.02 6,351.78 1,067,216.80
2. Increase in the current
period
(1) Provision
3. Decrease in the current
period
(1) Disposal or retirement
4. Closing balance 1,060,865.02 6,351.78 1,067,216.80
IV. Carrying amount
1. Carrying amount at the
end of the reporting 16,529,781,342.54 671,616,003.16 97,899,911.70 172,875,925.45 17,472,173,182.85
period
2. Carrying amount at the
beginning of the reporting 15,238,389,065.36 737,081,966.84 72,011,590.79 177,600,224.30 16,225,082,847.29
period
(2). Fixed assets of which certificates of title have not been obtained
√ Applicable □ N/A
Unit: CNY
Reasons why
certificates of
Item Carrying amount
title have not
been obtained
Second phase of the “12th Five Year Plan” 10,000 ton Moutai 558,732,546.81 In procedure
liquor project (2012): technical transformation project that
added 2,500 tons of Moutai liquor production capacity
Technological transformation project launched in 2011 that 346,872,092.02 In procedure
added 2,000 tons of Moutai Prince production capacity and
supporting facilities
Technological transformation project launched in 2012 that 217,128,781.77 In procedure
added 2,800 tons of Moutai Prince production capacity and
supporting facilities
Moutai Huanshan liquor storage area project 473,072,853.57 In procedure
Technological transformation project for Moutai flavor liquor 930,374,657.42 In procedure
series and supporting facilities
7.14 Construction in progress
111 / 156
ANNUAL REPORT 2021
Presentation of items
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Construction in progress 2,321,988,541.82 2,447,444,843.03
Materials for construction of fixed
assets
Total 2,321,988,541.82 2,447,444,843.03
Construction in progress
(1). Construction in progress
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Provision Provision
Item Book Carrying Book Carrying
for for
balance amount balance amount
impairment impairment
Construction 2,321,988,541.82 2,321,988,541.82 2,447,444,843.03 2,447,444,843.03
in progress
Total 2,321,988,541.82 2,321,988,541.82 2,447,444,843.03 2,447,444,843.03
(2). Changes in significant construction in progress
√ Applicable □ N/A
112 / 156
ANNUAL REPORT 2021
Unit:CNY
Amount
injected
Amount of
as a
Increase in the Transfer to fixed Other Construction accumulated
Item Budget Opening balance Closing balance proportion
current period asset decreases progress capitalized
of budget
interest
amount
(%)
Prepaid 197,400,282.45 221,393.58 133,370,392.21 64,251,283.82
expenses
Technological 3,454,160,000.00 38,657,886.81 28,641,680.46 67,299,567.27 55 100%
transformation
project for
Moutai flavor
liquor series
and
supporting
facilities
(6,400 tons)
Moutai 1,602,000,000.00 63,605,346.05 32,058,971.17 86,726,408.66 8,937,908.56 80 100%
Huanshan
liquor storage
area project
Phase I 3,797,000,000.00 3,487,111.66 3,487,111.66 104 100%
Moutai liquor
technological
transformation
project in
Zhonghua
Area
“12th 2,667,325,000.00 109,555,579.84 31,181,870.16 109,426,929.74 31,310,520.26 99 100%
Five-Year
Plan”
expansion and
technological
transformation
project: Phase
II Moutai
liquor
technological
transformation
project in
Zhonghua
Area
Technological 289,000,000.00 93 100%
transformation
project for the
starter-making
production
room that
produces
4,000 tons of
Moutai liquor
annually in
Plot 7 and
supporting
facilities
Landslide 450,000,000.00 98,061,623.74 91,960,188.09 6,101,435.65 58 100%
control, slope
protection and
anti-sliding
support
project in the
liquor
production
area between
Zhonghua
Hengyi Road
and Henger
Road
113 / 156
ANNUAL REPORT 2021
Hengsi Road 356,320,000.00 246,738,070.34 235,921,809.08 10,816,261.26 69 90%
(link between
Tanmao
Express and
Zhonghua
Area) Project
in Zhonghua
Area
“13th 189,000,000.00 41 100%
Five-Year
Plan” project
for the
construction
of the first
batch of liquor
storehouses in
Zhonghua
Area
Embankment 218,210,000.00 1,481,132.07 1,481,132.07 49 100%
reinforcement
and
renovation
project in the
plant area
Upgrading 199,000,000.00 63 100%
and
renovation of
the network of
pipes for
separating
clean and
dirty water in
the old plant
area
No. 4 liquor 39,590,000.00 1,296,275.23 1,296,275.23 43 100%
making
workshop
maintenance
and
renovation
project
Moutai 261,000,000.00 131,543,467.87 5,224,689.66 136,768,157.53 64 100%
Cultural and
Sports Center
Link between 28,830,000.00 10,873,850.61 10,873,850.61 81 100%
Plot 7 and
Tanmao
Express Road
“13th 3,559,000,000.00 665,093,144.27 248,107,359.05 709,623,093.98 203,577,409.34 57 95%
Five-Year
Plan” Moutai
liquor
technological
transformation
project in
Zhonghua
Area and
supporting
facilities
Moutai plant 60,100,000.00 29,487,939.19 1,944,954.12 31,432,893.31 57 90%
water supply
network
renovation
project
30,000-ton 8,384,000,000.00 674,837,982.48 1,621,224,919.20 681,700,000.00 1,614,362,901.68 45 58%
technological
transformation
project for
Moutai flavor
liquor series
and
supporting
facilities
Fire station in 84,590,000.00 13,071,450.13 13,071,450.13 51 100%
Tanchang
Area and
supporting
facilities
114 / 156
ANNUAL REPORT 2021
Liquor 430,000,000.00 83,082,357.83 59,025,806.64 142,108,164.47 35 90%
making
workshop
cooling water
recycling
project
3000T/H 47,940,000.00 22,914,131.90 22,914,131.90 51 90%
sewage
treatment
plant
upgrading and
renovation in
the Dadi Area
of Plant 201
Phase I of the 7,833,000,000.00 141,509.43 141,509.43
packaging
logistics park
project
Upgrading 26,200,000.00 4,954,128.43 4,954,128.43 21 35%
and
renovation of
the network of
pipes for
separating
clean and
dirty water,
river dredging
and riverbed
repair at Plant
301 of
Heyixing
Liquor Branch
Upgrading 33,420,000.00 7,706,422.00 7,706,422.00 26 40%
and
renovation of
the network of
pipes for
separating
clean and
dirty water in
the Dadi Area
of Plant 201
of Heyixing
Liquor Branch
Others 105,894,050.50 342,048,905.41 251,655,252.30 196,287,703.61
Total 34,009,685,000.00 2,447,444,843.03 2,432,119,449.25 2,557,575,750.46 2,321,988,541.82 / /
115 / 156
ANNUAL REPORT 2021
7.15 Right-of-use asset
√ Applicable □ N/A
Unit: CNY
Machinery and
Item Buildings Total
equipment
I. Cost
1. Opening balance 525,953,161.51 10,328,203.53 536,281,365.04
2. Increase in the current 83,679,272.44 9,525,145.70 93,204,418.14
period
3. Decrease in the current 198,301,402.36 2,142,838.02 200,444,240.38
period
4. Closing balance 411,331,031.59 17,710,511.21 429,041,542.80
II. Accumulated depreciation
1. Opening balance
2. Increase in the current 96,795,992.07 4,812,054.11 101,608,046.18
period
3. Decrease in the current 35,173,903.78 178,569.83 35,352,473.61
period
4. Closing balance 61,622,088.29 4,633,484.28 66,255,572.57
III. Provision for impairment
1. Opening balance
2. Increase in the current
period
(1) Provision
3. Decrease in the current
period
(1) Disposal
4. Closing balance
IV. Carrying amount
1. Carrying amount at the end 349,708,943.30 13,077,026.93 362,785,970.23
of the reporting period
2. Carrying amount at the 525,953,161.51 10,328,203.53 536,281,365.04
beginning of the reporting
period
7.16 Intangible assets
(1). Intangible assets
√ Applicable □ N/A
Unit: CNY
Software
Item Land use rights Total
development fees
I. Cost
1. Opening balance 5,463,040,902.80 49,294,481.51 5,512,335,384.31
2. Increase in the current 1,514,894,351.39 377,415.91 1,515,271,767.30
period
(1) Additions 1,514,894,351.39 377,415.91 1,515,271,767.30
(2) Internal R&D
(3) Increase arising from
business combination
3. Decrease in the current
116 / 156
ANNUAL REPORT 2021
period
(1) Disposal
4. Closing balance 6,977,935,254.19 49,671,897.42 7,027,607,151.61
II. Accumulated amortization
1. Opening balance 659,517,220.54 35,647,181.86 695,164,402.40
2. Increase in the current 120,559,705.74 3,524,713.23 124,084,418.97
period
(1) Provision 120,559,705.74 3,524,713.23 124,084,418.97
3. Decrease in the current
period
(1) Disposal
4. Closing balance 780,076,926.28 39,171,895.09 819,248,821.37
III. Provision for impairment
1. Opening balance
2. Increase in the current
period
(1) Provision
3. Decrease in the current
period
(1) Disposal
4. Closing balance
IV. Carrying amount
1. Carrying amount at the 6,197,858,327.91 10,500,002.33 6,208,358,330.24
end of the reporting period
2. Carrying amount at the 4,803,523,682.26 13,647,299.65 4,817,170,981.91
beginning of the reporting
period
(2). Land use rights of which certificates of title have not been obtained
√ Applicable □ N/A
Unit: CNY
Reasons why
certificates
Item Carrying amount of title have
not been
obtained
Moutai Huanshan liquor storage area project 144,000,000.00 In procedure
Phase I and phase II Moutai liquor technological transformation
2,108,400,462.64 In procedure
project in Zhonghua Area
Second phase of the “12th Five Year Plan” 10,000 ton Moutai
liquor project (2012): technical transformation project that added 330,000,000.00 In procedure
2,500 tons of Moutai liquor production capacity
Maoyuan Road construction and Plot 5 liquor storehouse
363,071,300.00 In procedure
construction project
Technological transformation project for the starter-making
250,000,000.00 In procedure
production room in Plot 7 and supporting facilities
The first batch of construction projects in Tanchang Area of the
428,000,000.00 In procedure
circular economy science and technology demonstration park
Technological transformation project for Moutai flavor liquor
352,681,578.55 In procedure
series and supporting facilities
117 / 156
ANNUAL REPORT 2021
2,000-ton Moutai Prince technological transformation project and
30,000,000.00 In procedure
2,800-ton Moutai Prince technological transformation project
“13th Five-Year Plan” Moutai liquor technological transformation
215,259,100.00 In procedure
project in Zhonghua Area and supporting facilities
30,000-ton technological transformation project for Moutai flavor Under
841,671,558.95
liquor series and supporting facilities construction
Moutai international hotel construction project 673,430,000.00 In procedure
7.17 Long-term prepaid expenses
√ Applicable □ N/A
Unit: CNY
Amortization
Increase in
Opening for the current Other
Item the current Closing balance
balance period reductions
period
Zhongshu Urban 147,500,000.21 9,999,999.96 137,500,000.25
Area - Moutai
Road
reconstruction
project
Cost of major 221,526.22 1,238,679.26 473,849.77 986,355.71
repairs to fixed
assets
Office fit out 1,070,124.90 214,025.04 856,099.86
cost
Total 147,721,526.43 2,308,804.16 10,687,874.77 139,342,455.82
Note: The company and Renhuai Urban Development, Construction, Investment and Operation Co., Ltd.
jointly completed transfer and amortization for the Zhongshu Urban Area - Moutai Road reconstruction
project according to the resolution of the third meeting of the second board of directors in 2013.
7.18 Deferred tax assets/deferred tax liabilities
(1). Deferred tax assets before offset
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Item Deductible Deductible
Deferred tax Deferred tax
temporary temporary
assets assets
differences differences
Provision for 66,916,641.87 16,729,160.47 55,903,585.82 13,975,896.46
impairment of assets
Unrealized profit of 6,303,346,118.88 1,575,836,529.72 2,342,118,180.24 585,529,545.06
internal transactions
Accrued but unpaid 214,872,045.38 53,718,011.35 214,872,045.38 53,718,011.35
achievements-related
wages
Others 2,363,690,969.19 590,922,742.30 1,880,006,533.97 470,001,633.50
Total 8,948,825,775.32 2,237,206,443.84 4,492,900,345.41 1,123,225,086.37
(2). Deferred tax liabilities before offset
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Item Taxable Deferred Taxable Deferred tax
temporary tax temporary liabilities
118 / 156
ANNUAL REPORT 2021
differences liabilities differences
Assets appreciation arising from
business combination not under
common control
Changes in fair value of other debt
investments
Changes in fair value of in other
equity instruments investments
Changes in fair value of other 5,830,052.91 1,457,513.23
non-current financial assets
Total 5,830,052.91 1,457,513.23
(3). Deferred tax assets or liabilities presented at the net amount after offset
□ Applicable √ N/A
(4). Unrecognized deferred tax assets
□ Applicable √ N/A
(5). Deductible losses for which deferred tax assets are not recognized will be expired in the
following year
□ Applicable √ N/A
7.19 Other non-current assets
√ Applicable □ N/A
Unit: CNY
Closing balance Opening balance
Provision Provision
Item Carrying Book Carrying
Book balance for for
amount balance amount
impairment impairment
Contract
acquisition
cost
Contract
performance
cost
Return cost
receivable
Contract
assets
Certificates 2,059,761,333.33 2,059,761,333.33
of deposit
Total 2,059,761,333.33 2,059,761,333.33
7.20 Accounts payable
(1). Presentation of accounts payable
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Trade accounts payable 2,009,832,495.56 1,342,267,668.12
Total 2,009,832,495.56 1,342,267,668.12
7.21 Contract liabilities
(1).Contract liabilities
√ Applicable □ N/A
Unit: CNY
119 / 156
ANNUAL REPORT 2021
Item Closing balance Opening balance
Prepayments 12,718,465,288.02 13,321,549,147.69
Total 12,718,465,288.02 13,321,549,147.69
7.22 Customer deposits and balances from banks and other financial institutions
Unit: CNY
Item Closing balance Opening balance
Customer deposits 21,763,575,647.32 14,241,859,949.77
Total 21,763,575,647.32 14,241,859,949.77
7.23 Payroll and employee benefits payable
(1).Presentation of payroll and employee benefits payable
√ Applicable □ N/A
Unit: CNY
Increase in the Decrease in the
Item Opening balance Closing balance
current period current period
I. Short-term 2,913,327,473.61 9,590,272,175.88 8,828,323,955.46 3,675,275,694.03
benefits
II. 67,754,030.25 1,334,433,592.43 1,399,631,419.95 2,556,202.73
Post-employment
benefits – Defined
contribution plan
III. Termination 44,000.00 23,539,812.68 23,569,990.91 13,821.77
benefits
Total 2,981,125,503.86 10,948,245,580.99 10,251,525,366.32 3,677,845,718.53
(2).Presentation of short-term benefits
√ Applicable □ N/A
Unit: CNY
Increase in the Decrease in the
Item Opening balance Closing balance
current period current period
I. Wages or salaries, 2,850,160,827.76 7,809,070,214.14 7,048,507,477.75 3,610,723,564.15
bonuses, allowances and
subsidies
II. Staff welfare 262,186,601.48 262,150,146.28 36,455.20
III. Social security 44,906,932.03 712,049,379.23 721,269,656.87 35,686,654.39
contributions
Including: Medical 42,487,600.55 670,551,507.08 677,354,054.02 35,685,053.61
insurance
Work injury insurance 2,419,331.48 41,497,872.15 43,915,602.85 1,600.78
IV. Housing funds 28,716.00 625,836,484.57 625,865,200.57
V. Labor union and 18,230,997.82 159,114,141.49 150,130,150.32 27,214,988.99
employee education
costs
VI. Short-term paid leave
VII. Short-term
profit-sharing plan
Ⅷ. Others 22,015,354.97 20,401,323.67 1,614,031.30
Total 2,913,327,473.61 9,590,272,175.88 8,828,323,955.46 3,675,275,694.03
Note: “Others” is labor remuneration.
(3).Defined contribution plan
√ Applicable □ N/A
Unit: CNY
Opening Increase in the Decrease in the
Item Closing balance
balance current period current period
120 / 156
ANNUAL REPORT 2021
1. Basic pension 57,703,888.44 804,095,643.58 861,707,086.62 92,445.40
insurance
2. Unemployment 2,523,534.73 35,105,421.07 37,626,810.21 2,145.59
insurance
3. Enterprise 7,526,607.08 495,232,527.78 500,297,523.12 2,461,611.74
annuity
Total 67,754,030.25 1,334,433,592.43 1,399,631,419.95 2,556,202.73
7.24 Taxes payable
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Value added tax 1,933,633,784.18 1,643,379,279.88
Consumption tax 4,123,882,929.27 4,459,274,304.55
Enterprise income tax 5,254,498,943.15 2,424,108,672.50
Individual income tax 84,112,032.43 33,289,158.95
City construction and 343,737,264.76 215,690,203.31
maintenance tax
Education surcharges 135,636,926.73 80,876,611.91
Local education surcharges 91,717,665.75 55,207,436.90
Stamp duty 11,280,516.53 6,963,385.30
Property tax 721,095.74 1,018,686.72
Land use tax 9,420.06 13,275.56
Others 571,565.41
Total 11,979,802,144.01 8,919,821,015.58
7.25 Other payables
Presentation of items
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Interest payable
Dividends payable
Other payables 4,124,404,781.29 3,257,245,259.42
Total 4,124,404,781.29 3,257,245,259.42
Other payables
(1). Other payables presented by nature
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Material quality deposit 286,891,441.71 276,381,894.05
Project quality deposit 103,727,351.31 122,107,035.45
Dealer deposit 2,016,098,008.20 1,636,956,073.84
Current Account 1,717,687,980.07 1,221,800,256.08
Total 4,124,404,781.29 3,257,245,259.42
(2). Significant other payables aged over 1 year
□ Applicable √ N/A
Others:
□ Applicable √ N/A
7.26 Current portion of non-current liabilities
√ Applicable □ N/A
121 / 156
ANNUAL REPORT 2021
Unit: CNY
Item Closing balance Opening balance
Lease liabilities due within one 104,319,886.87 121,378,096.65
year
Total 104,319,886.87 121,378,096.65
7.27 Other current liabilities
Other current liabilities
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Pending output VAT 1,535,976,293.22 1,609,801,368.51
Total 1,535,976,293.22 1,609,801,368.51
7.28 Lease liabilities
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
Long-term lease liabilities 296,466,199.74 414,903,268.39
Total 296,466,199.74 414,903,268.39
7.29 Paid-in capital
√ Applicable □ N/A
Unit: CNY
Changes in the current period (+, -)
Opening New Capitalization Closing
balance Share balance
shares of capital Others Subtotal
donation
issued reserve
Number 1,256,197,800.00 1,256,197,800.00
of shares
7.30 Capital reserve
√ Applicable □ N/A
Unit: CNY
Increase
Decrease in
in the
Item Opening balance the current Closing balance
current
period
period
Capital premium 1,374,048,653.54 1,374,048,653.54
Other capital reserves 915,762.18 915,762.18
Total 1,374,964,415.72 1,374,964,415.72
7.31 Other comprehensive income
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current period
Less: Less:
Amount Attribut
Amount Amount Less:
incurred Attributa able to
Opening included included Inco
before ble to the minorit Closing
Item balance in other in other me
income Compan y balance
comprehe comprehe tax
tax in the y after interest
nsive nsive expen
current tax s after
income in income in ses
period tax
the prior the prior
122 / 156
ANNUAL REPORT 2021
periods periods
that is that is
transferre transferre
d to profit d to
or loss for retained
the earnings
current for the
period current
period
I. Other
comprehe
nsive
income
that
cannot be
reclassifie
d to profit
or loss
Including:
Remeasur
ement of
changes in
defined
benefit
plan
Other
comprehe
nsive
income
that
cannot be
transferred
to profit or
loss under
equity
method
Changes
in fair
value of in
other
equity
instrument
s
investmen
ts
Changes
in fair
value of
the
Company’
s own
credit risk
II. Other -5,331,3 -7,686,5 -7,686,5 -13,017,8
comprehe 67.75 13.03 13.03 80.78
nsive
123 / 156
ANNUAL REPORT 2021
income to
be
reclassifie
d to profit
or loss
Including:
Other
comprehe
nsive
income
that may
be
transferred
to profit or
loss under
equity
method
Changes
in fair
value of
other debt
investmen
ts
Amount
of
financial
assets
reclassifie
d to other
comprehe
nsive
income
Provision
for credit
impairmen
t of other
debt
investmen
ts
Cash flow
hedging
reserves
-5,331,3 -7,686,5 -7,686,5 -13,017,8
Exchange 67.75 13.03 13.03 80.78
difference
s on
translation
of foreign
currency
financial
statements
Total -5,331,3 -7,686,5 -7,686,5 -13,017,8
other 67.75 13.03 13.03 80.78
comprehe
nsive
income
124 / 156
ANNUAL REPORT 2021
7.32 Surplus reserve
√ Applicable □ N/A
Unit: CNY
Item Opening balance Increase in the Decrease in the Closing balance
current period current period
Statutory surplus 20,174,922,608.93 4,967,910,209.23 25,142,832,818.16
reserve
Discretionary
surplus reserve
Reserve fund
Enterprise
development fund
Others
Total 20,174,922,608.93 4,967,910,209.23 25,142,832,818.16
7.33 General risk reserve
Unit: CNY
Decrease in
Increase in the
Item Opening balance the current Closing balance
current period
period
General risk 927,577,822.67 133,951,901.33 1,061,529,724.00
reserve
Total 927,577,822.67 133,951,901.33 1,061,529,724.00
Note: The general risk reserve was set aside by Kweichow Moutai Group Finance Co., Ltd., a
majority-owned subsidiary of the Company, in accordance with the provisions of the Measures for the
Administration of the Setting Aside of Reserves for Financial Enterprises (Cai Jin [2012] No. 20)
promulgated by the Ministry of Finance.
7.34 Retained earnings
√ Applicable □ N/A
Unit: CNY
Item Current period Prior period
Before adjustment: retained earnings of the prior 137,594,403,807.99 115,892,337,407.39
period
Adjustment: Total retained earnings at the
beginning of the reporting period (increase “+”,
decrease “-”)
After adjustment: retained earnings at the 137,594,403,807.99 115,892,337,407.39
beginning of the reporting period
Add: Net profit attributable to owners of the 52,460,144,378.16 46,697,285,429.81
Company for the current period
Less: Transfer to statutory surplus reserve 4,967,910,209.23 3,579,223,571.91
Transfer to discretionary surplus reserve
Transfer to general risk reserve 133,951,901.33 29,227,885.90
Declaration of dividends on ordinary shares 24,235,824,155.40 21,386,767,571.40
Conversion of ordinary shares’ dividends into share
capital
Retained earnings at the end of the reporting period 160,716,861,920.19 137,594,403,807.99
7.35 Operating proceeds and costs of sales
(1). Operating proceeds and costs of sales
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current period Amount incurred in the prior period
Item
Revenue Cost Revenue Cost
Main 106,059,290,342.18 8,890,990,510.72 94,821,999,102.45 8,083,371,418.24
125 / 156
ANNUAL REPORT 2021
business
Others 130,864,501.58 92,387,299.24 93,381,814.27 70,630,058.04
Total 106,190,154,843.76 8,983,377,809.96 94,915,380,916.72 8,154,001,476.28
Note: Other operating proceeds and costs are mainly the revenue and costs of Moutai International
Hotel.
(2). Description of contractual obligations
√ Applicable □ N/A
Revenue is recognized when the customer obtains control of the goods specified in the contract and the
Company fulfills its obligations under the contract.
(3). Description of apportionment to remaining contractual obligations
√ Applicable □ N/A
The amount of revenue corresponding to contractual obligations that have not yet been performed or
have not been fulfilled at the end of the reporting period is CNY 12,718,465,288.02.
7.36 Interest income, interest expense, net fee and commission revenue, and fees and commission
expenses
Unit: CNY
Amount incurred in the current Amount incurred in the prior
Item
period period
Interest income 3,274,123,720.13 3,077,859,584.49
Fees and commission
revenue
Interest expense 173,897,197.98 111,128,537.31
Fees and commission 115,082.12 105,888.96
expense
7.37 Taxes and surcharges
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current Amount incurred in the prior
Item
period period
Consumption tax 12,056,605,155.34 10,958,391,087.32
City maintenance and 1,734,297,928.93 1,574,078,013.46
construction tax
Education surcharges 743,270,540.94 670,869,561.91
House property tax 158,049,318.08 142,475,530.38
Land use tax 38,625,999.87 34,836,782.87
Vehicle and vessel usage tax 393,682.35 269,578.61
Stamp duty 75,936,478.31 58,095,473.30
Local education surcharges 495,513,694.19 447,326,056.68
Environmental protection tax 187,817.17 175,206.25
Others 1,588,454.85
Total 15,304,469,070.03 13,886,517,290.78
7.38 Selling expenses
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current Amount incurred in the prior
Item
period period
Advertising and marketing expenses 2,362,973,054.42 2,189,674,995.48
Transportation expenses and 15,581,555.64 12,762,118.95
126 / 156
ANNUAL REPORT 2021
transportation insurance expenses
Marketing travel expenses and
65,584,708.40 56,919,357.36
office expenses
Others 293,230,116.32 288,389,179.16
Total 2,737,369,434.78 2,547,745,650.95
7.39 General and administrative expenses
√ Applicable □ N/A
Unit: CNY
Item Amount incurred in the Amount incurred in the
current period prior period
Payroll and employee benefits 3,964,469,622.29 3,279,447,243.22
Trademark licensing fees 1,332,728,678.71 1,195,642,243.60
Depreciation on fixed assets 394,652,013.52 371,103,457.14
Environmental remediation expenses 125,256,351.95 76,743,481.36
Company expenses 186,406,218.53 176,360,506.15
Amortization of intangible assets 124,084,418.97 110,349,099.00
Property insurance 62,245,135.74 60,322,596.02
Raw material base expenses 228,662,175.32 179,552,860.11
Rent for the use of property 20,126,797.76 22,870,672.67
Business reception expenses 9,841,359.31 9,973,302.25
Intermediary expenses 28,716,580.54 21,222,461.03
Rent for the use of land 2,636,686.30 4,361,551.06
Board expenses 4,722,307.27 3,815,997.52
Others 1,965,725,718.82 1,278,078,818.26
Total 8,450,274,065.03 6,789,844,289.39
7.40 R&D expenses
√ Applicable □ N/A
Unit: CNY
Item Amount incurred in the Amount incurred in the
current period prior period
Payroll and employee benefits 22,645,218.77 20,873,377.72
Consumable 4,300,483.79 3,971,325.60
R&D cooperation expenses 26,605,729.70 19,270,124.21
Depreciation on fixed assets 4,758,510.21 5,122,301.55
Company expenses 1,898,827.45 318,214.08
Others 1,714,443.67 842,693.17
Total 61,923,213.59 50,398,036.33
7.41 Financial expenses
√ Applicable □ N/A
Unit: CNY
Item Amount incurred in the Amount incurred in the
current period prior period
Interest expense (lease liabilities) 13,529,867.76
Interest income -944,578,412.02 -278,697,733.32
Others -3,474,861.76 44,087,150.88
Total -934,523,406.02 -234,610,582.44
7.42 Other income
√ Applicable □ N/A
Unit: CNY
Item Amount incurred Amount
127 / 156
ANNUAL REPORT 2021
in the current incurred in the
period prior period
Financial support for the economic development of Shanghai 4,677,000.00 2,794,000.00
Pudong New Area
Incentives given by Jinan municipal government for innovation 2,630,000.00 2,010,000.00
and development
Incentives given by Changsha Municipal Development and 2,030,000.00
Reform Bureau to support industrial development
Incentives for key enterprises given by Beijing Xicheng District 1,200,000.00
Development and Reform Commission
Funds earmarked by Guiyang Municipal Bureau of Commerce 300,000.00
for foreign economic and trade development
Funds earmarked by Nanning Municipal Bureau of Commerce 240,000.00
for service industry development
Incentives given by Guiyang city to support the stable 200,000.00
development of above-norm wholesale, retail and catering
enterprises in response to COVID-19 and encourage them to
reach their design capacity and increase efficiency
Incentives given by Taohua town government of Xihu District, 190,000.00
Nanchang
Town-level financial incentives given by Nanchang city 35,000.00
Incentives for “four above” enterprises given by Zhengzhou city 80,000.00
Incentives for best progressive enterprises given by the bureau of 80,000.00
commerce of Chaoyang District, Changchun
Incentives given by Wuhan city to encourage enterprises to meet 80,000.00
retail sales targets and go above the norm
“Sales competition month” incentives and incentives for “four 61,000.00
above” enterprises given by Gulou District, Nanjing
Nanning city’s support for the development of above-norm 50,000.00
commercial and trade enterprises and other for-profit service
industries above designated size
District-level incentives for high quality development given by 30,000.00
Hefei city
Grants for COVID-19 prevention and control 20,000.00
Funds earmarked by Changsha city for guiding service industries 20,000.00
Incentives for contributions given by Beijing Xicheng District 1,000,000.00
Government
Subsidies given by Guizhou Provincial Department of 767,000.00
Commerce for increases in imports and exports
Rent subsidies given by the investment attraction service center 500,000.00
of Guanshanhu District, Guiyang
Incentives given by Jinan Municipal Bureau of Commerce to 100,000.00
promote trade during the pandemic
Incentives for for-profit service industries given by Nanning city 50,000.00
Incentives given by Shanxi Yangqu Industrial Park for 50,000.00
outstanding contributions
Incentives given by the bureau of commerce of Guanshanhu 50,000.00
District, Guiyang
Training grants given by Guiyang Employment and Vocational 11,500.00
Skills Development Center
Refund of service charges for withholding individual income tax 8,537,082.76 5,805,652.69
Additional value-added tax credit 55,828.43
Total 20,515,911.19 13,138,152.69
128 / 156
ANNUAL REPORT 2021
7.43 Investment income
√ Applicable □ N/A
Unit: CNY
Amount incurred in the Amount incurred
Item
current period in the prior period
Income from long-term equity investments under
equity method
Investment income on disposal of long-term 237,455.55
equity investments
Investment income from holding held-for-trading
financial assets
Dividend income from holding investments in
other equity instruments
Interest income from holding debt investments
Interest income from holding other debt
investments
Investment income from disposal of
held-for-trading financial assets
Investment income from disposal of investments
in other equity instruments
Investment income from disposal of debt
investments
Investment income from disposal of other debt
investments
Income from debt restructuring
Investment income from disposal of other -1,505,395.94 68,175.91
non-current financial assets
Interest income from holding certificates of 59,761,333.33
deposit
Total 58,255,937.39 305,631.46
7.44 Gains from changes in fair value
√ Applicable □ N/A
Unit: CNY
Source resulting in gains from changes in fair Amount incurred in the Amount incurred in
values current period the prior period
Held-for-trading financial assets
Including: Gains from changes in fair values
arising from derivatives
Held-for-trading financial liabilities
Investment properties carried at fair value
Other non-current financial assets -2,244,726.29 4,897,994.43
Total -2,244,726.29 4,897,994.43
7.45 Credit impairment losses
√ Applicable □ N/A
Unit: CNY
Amount incurred in the Amount incurred in the prior
Item
current period period
Bad debt provision of notes receivable
Bad debt provision of accounts 47,413.76
receivable
Bad debt provision of other receivables 134,900.04 3,060,659.45
Impairment on debt investments -84,510.00 -11,880.00
Impairment on other debt investments
Bad debt provision of long-term
129 / 156
ANNUAL REPORT 2021
receivables
Impairment on contract assets
Others -13,120,244.99 -74,420,589.30
Total -13,022,441.19 -71,371,809.85
Note: “Others” is mainly the provision for impairment of loans issued by the company’s
majority-owned subsidiary Kweichow Moutai Group Finance Co., Ltd.
7.46 Non-operating income
Non-operating income
√ Applicable □ N/A
Unit: CNY
Amount incurred Amount included in
Amount incurred in
Item in the current non-recurring profit or
the prior period
period loss in the current period
Total gains on disposal of 3,437.33 13,939.82 3,437.33
non-current assets
Including: Gains on disposal 3,437.33 13,939.82 3,437.33
of fixed assets
Gains on disposal of
intangible assets
Gains on exchange of
non-monetary assets
Donations received
Government grants
Gains on fines and damages 66,338,633.29 5,853,430.16 66,338,633.29
Others 2,647,149.12 5,183,766.17 2,647,149.12
Total 68,989,219.74 11,051,136.15 68,989,219.74
7.47 Non-operating costs
√ Applicable □ N/A
Unit: CNY
Amount included in
Amount incurred in Amount incurred in
Item non-recurring profit or
the current period the prior period
loss in the current period
Total losses on disposal of 11,924,267.10 114,053.74 11,924,267.10
non-current assets
Including: Losses on disposal 11,924,267.10 114,053.74 11,924,267.10
of fixed assets
Losses on disposal of
intangible assets
Losses on exchange of
non-monetary assets
Donations to third parties 271,167,088.19 443,979,504.00 271,167,088.19
Amercement outlay 200,000.00 200,000.00
Others 8,546,747.21 5,095,469.68 8,546,747.21
Total 291,838,102.50 449,189,027.42 291,838,102.50
7.48 Income tax expense
(1). Income tax expenses
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current Amount incurred in the prior
Item
period period
Current tax expenses 19,922,940,809.01 16,768,125,335.29
Deferred tax expenses -1,115,438,870.71 -94,513,226.58
130 / 156
ANNUAL REPORT 2021
Total 18,807,501,938.30 16,673,612,108.71
(2). Reconciliation of income tax expenses to the accounting profit
√ Applicable □ N/A
Unit: CNY
Amount incurred in the
Item
current period
Total profit 74,528,031,894.76
Income tax expenses calculated at statutory/applicable tax rate 18,632,007,973.69
Effect of different tax rates applicable to subsidiaries 123,348.19
Effect of adjustment to income tax of prior periods
Effect of non-taxable income
Effect of non-deductible costs, expenses and losses 175,756,116.42
Effect of using deductible losses for which deferred tax assets were -385,500.00
previously not recognized
Effect of deductible temporary differences or deductible losses
unrecognized in the current period
Income tax expense 18,807,501,938.30
Others:
□ Applicable √ N/A
7.49 Other comprehensive income
√ Applicable □ N/A
See Note 31 Other Comprehensive Income for details
7.50 Items of the cash flow statement
(1). Cash received relating to other operating activities
√ Applicable □ N/A
Unit: CNY
Amount incurred in the Amount incurred in the prior
Item
current period period
Interest income from self-owned 549,608,351.20 53,004,711.11
funds
Other income received 1,093,928,511.28 168,416,515.52
Total 1,643,536,862.48 221,421,226.63
(2). Cash paid relating to other operating activities
√ Applicable □ N/A
Unit: CNY
Amount incurred in the Amount incurred in the prior
Item
current period period
Advertising and publicity expenses 1,047,792,182.25 1,192,070,830.64
paid
Transportation expenses and 238,511,859.13 363,860,058.26
transportation insurance expenses
paid
Property insurance premiums paid 56,151,552.10 74,790,069.53
Other expenses paid 3,026,048,912.52 2,416,305,228.03
Total 4,368,504,506.00 4,047,026,186.46
(3). Cash received relating to other investing activities
√ Applicable □ N/A
Unit: CNY
Item Amount incurred in the current Amount incurred in the prior
131 / 156
ANNUAL REPORT 2021
period period
Performance bond received for 9,983,452.63 6,675,319.03
capital construction
Total 9,983,452.63 6,675,319.03
(4). Cash paid relating to other investing activities
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current Amount incurred in the prior
Item
period period
Refunded performance bond for 23,048,029.93 17,535,402.30
capital construction
Total 23,048,029.93 17,535,402.30
(5). Cash payments relating to other financing activities
√ Applicable □ N/A
Unit: CNY
Amount incurred in the current Amount incurred in the prior
Item
period period
Amount paid to repay lease liabilities 88,121,549.59
Disposal of equity interests in Tier-3 32,000,000.00
subsidiaries
Acquisition of minority shareholders 4,507,157.75
equity interests in subsidiaries
Total 88,121,549.59 36,507,157.75
7.51 Supplementary information to the cash flow statement
(1). Supplementary information to the cash flow statement
√ Applicable □ N/A
Unit: CNY
Supplementary information Current period Prior period
1．Reconciliation of net profit to cash flow from operating activities:
Net profit 55,720,529,956.46 49,523,329,882.40
Add: Provision for impairment losses of assets
Credit impairment losses 13,022,441.19 71,371,809.85
Depreciation of fixed assets, depletion of oil and gas assets, 1,344,833,911.39 1,195,956,468.60
depreciation of productive biological assets
Amortization of right-of-use assets 101,608,046.18
Amortization of intangible assets 124,084,418.97 110,349,099.00
Amortization of long-term prepaid expenses 10,687,874.77 10,562,811.76
Losses on disposal of fixed assets, intangible assets and other
long-term assets (gains are indicated by “－”)
Losses on retirement of fixed assets (gains are indicated by “－”) 11,920,829.77 100,113.92
Losses on changes in fair values (gains are indicated by “－”) 2,244,726.29 -4,897,994.43
Financial expenses (income is indicated by “－”) 13,529,867.76
Losses arising from investments (gains are indicated by “－”) -58,255,937.39 -305,631.46
Decrease in deferred tax assets (increase is indicated by “－”) -1,113,981,357.47 -23,278,138.80
Increase in deferred tax liabilities (decrease is indicated by “－”) -1,457,513.23 -71,235,087.78
Decrease in inventories (increase is indicated by “－”) -4,525,277,406.77 -3,584,166,871.73
Decrease in receivables from operating activities (increase is 504,305,749.89 -504,008,375.44
indicated by “－”)
Increase in payables from operating activities (decrease is 11,880,880,539.56 4,945,290,607.14
indicated by “－”)
132 / 156
ANNUAL REPORT 2021
Others
Net cash flow from operating activities 64,028,676,147.37 51,669,068,693.03
2．Significant investing and financing activities that do not involve cash receipts and payments:
Conversion of debt into capital
Convertible bonds due within one year
Fixed assets acquired under finance leases
3．Net changes in cash and cash equivalents:
Closing balance of cash 178,640,587,379.52 146,740,524,868.05
Less: Opening balance of cash 146,740,524,868.05 121,003,839,599.64
Add: Closing balance of cash equivalents
Less: Opening balance of cash equivalents
Net increase in cash and cash equivalents 31,900,062,511.47 25,736,685,268.41
(2). Composition of cash and cash equivalents
√ Applicable □ N/A
Unit: CNY
Item Closing balance Opening balance
I. Cash 178,640,587,379.52 146,740,524,868.05
Including: Cash on hand 9,500.00 9,554.00
Bank balances 42,099,344,994.22 27,989,073,619.13
Other monetary funds
Deposits with the central bank 2,705,674,089.61 1,054,398,626.03
Deposits with other banks 133,835,558,795.69 117,697,043,068.89
Placements with banks
II. Cash equivalents
Including: Investments in debt securities
due within three months
III. Closing balance of cash and cash 178,640,587,379.52 146,740,524,868.05
equivalents
Including: Restricted cash and cash
equivalents of the Company and
subsidiaries within the Group
Others:
□ Applicable √ N/A
7.52 Notes to items in the statement of changes in owners’ equity
Describe matters such as the names and the adjustment amount of the items included in “others” in
respect of adjustments to the closing balances of the prior reporting period:
□ Applicable √ N/A
7.53 Assets with restricted ownership or right-of-use
√ Applicable □ N/A
Unit: CNY
Carrying amount at
Item the end of the Reasons of restriction
reporting period
Cash and Cash 6,381,004,565.81 Cash and Cash equivalents deposited in the central bank’s
equivalents statutory deposit reserve
Loans to banks and 1,000,000,000.00 Interbank deposits that cannot be withdrawn in advance
other financial
institutions
Total 7,381,004,565.81 /
7.54 Foreign currency monetary items
133 / 156
ANNUAL REPORT 2021
(1). Foreign currency monetary items
√ Applicable □ N/A
Unit: CNY
Closing balances of Exchange rates for Closing balance of
Item
foreign currencies translation RMB
Cash and Cash equivalents
Including: USD
EUR 2,862,408.82 7.2197 20,665,732.96
HKD
(2). Description of foreign operations: for significant foreign operations, major domicile and
functional currency and its basis of selection shall be disclosed, and reasons for foreign
operations changing their functional currencies shall also be disclosed.
√ Applicable □ N/A
The Company’s wholly-owned subsidiary, Kweichow Moutai Paris Trading, is registered in Paris,
France, and its functional currency is Euro.
7.55 Government grants
(1). Basic information of government grants
√ Applicable □ N/A
Unit: CNY
Amount
Presenting
Category Amount included in
items
profit or loss
Financial support for the economic development of 4,677,000.00 Other 4,677,000.00
Shanghai Pudong New Area income
Incentives given by Jinan municipal government for 2,630,000.00 Other 2,630,000.00
innovation and development income
Incentives given by Changsha Municipal 2,030,000.00 Other 2,030,000.00
Development and Reform Bureau to support industrial income
development
Incentives for key enterprises given by Beijing 1,200,000.00 Other 1,200,000.00
Xicheng District Development and Reform income
Commission
Funds earmarked by Guiyang Municipal Bureau of 300,000.00 Other 300,000.00
Commerce for foreign economic and trade income
development
Funds earmarked by Nanning Municipal Bureau of 240,000.00 Other 240,000.00
Commerce for service industry development income
Incentives given by Guiyang city to support the stable 200,000.00 Other 200,000.00
development of above-norm wholesale, retail and income
catering enterprises in response to COVID-19 and
encourage them to reach their design capacity and
increase efficiency
Incentives given by Taohua town government of Xihu 190,000.00 Other 190,000.00
District, Nanchang income
Town-level financial incentives given by Nanchang 35,000.00 Other 35,000.00
city income
Incentives for “four above” enterprises given by 80,000.00 Other 80,000.00
Zhengzhou city income
Incentives for best progressive enterprises given by 80,000.00 Other 80,000.00
the bureau of commerce of Chaoyang District, income
Changchun
Incentives given by Wuhan city to encourage 80,000.00 Other 80,000.00
enterprises to meet retail sales targets and go above income
134 / 156
ANNUAL REPORT 2021
the norm
“Sales competition month” incentives and incentives 61,000.00 Other 61,000.00
for “four above” enterprises given by Gulou District, income
Nanjing
Nanning city’s support for the development of 50,000.00 Other 50,000.00
above-norm commercial and trade enterprises and income
other for-profit service industries above designated
size
District-level incentives for high quality development 30,000.00 Other 30,000.00
given by Hefei city income
Grants for COVID-19 prevention and control 20,000.00 Other 20,000.00
income
Funds earmarked by Changsha city for guiding service 20,000.00 Other 20,000.00
industries income
(2). Return of government grants
□ Applicable √ N/A
8. Equity in other entities
8.1 Equity in subsidiaries
A. Composition of the Group
√Applicable □N/A
Main Shareholding ratio
Place of Business Acquisition
Subsidiary place of
registration nature Directly Indirectly method
business
GUIZHOU MOUTAI Guiyang, 70 Investment
CHIEW IMPORT AND Guizhou
EXPORT CO., LTD.
Kweichow Moutai Sales Co., Renhuai, 95 Investment
Ltd. Guizhou
Kweichow Moutai Group Renhuai, 51 Investment
Finance Co., Ltd. Guizhou
Moutai Custom Marketing Guiyang, 70 Investment
(Guizhou) Co., Ltd. Guizhou
Beijing Friendship Beijing 70 Investment
Messenger Trading Co., Ltd.
Kweichow Moutai Paris Paris, 100 Investment
Trading France
Guizhou Laymau Wine Guiyang, 43 Investment
Industry Co., Ltd. Guizhou
Kweichow Moutai-Flavor Renhuai, 100 Investment
Liquor Marketing Co., Ltd. Guizhou
The basis for holding half or less voting rights but still controlling the investee, and holding more than
half of the voting rights but not controlling the investee:
The Company holds 43% of the equity in Guizhou Laymau Wine Industry Co., Ltd., but may actually
control this company, in that the Company has a majority of the board members in Guizhou Laymau
Wine Industry Co., Ltd..
B. important non-wholly owned subsidiaries
√Applicable □N/A
Unit: CNY
Shareholding of Profit and loss Dividends declared Closing balance of
Subsidiary minority attributable to and distributed to minority
shareholders minority minority shareholders’
135 / 156
ANNUAL REPORT 2021
proportion shareholders in the shareholders in the equity for the
current period current period period
Kweichow 5% 2,401,959,199.09 2,124,324,789.09 2,839,006,474.21
Moutai Sales
Co., Ltd.
Explanation of the difference between the shareholding proportion of minority shareholders and the
voting right proportion of subsidiaries:
√Applicable □N/A
Others:
√Applicable □N/A
C. Major financial information of significant non-wholly owned subsidiaries
√Applicable □N/A
Unit: CNY 10,000
Closing balance Opening balance
Subsi Non-cu Non-cu
Non-cu Current Total Non-cu Current Total
diary Current Total rrent Current Total rrent
rrent liabiliti liabiliti rrent liabiliti liabiliti
assets assets liabiliti assets assets liabiliti
assets es es assets es es
es es
Kwei 7,588,9 62,91 7,651,8 1,968,3 5,561 1,973,8 7,829,3 47,56 7,876,8 2,754,1 2,754,1
chow 67.01 9.92 86.93 12.40 .59 73.99 26.95 8.47 95.42 51.29 51.29
Mout
ai
Sales
Co.,
Ltd.
Current period Prior period
Cash flow Cash flow
Total Total
Subsidiary Operating from Operating from
Net profit comprehensive Net profit comprehensive
income operating income operating
income income
activities activities
Kweichow 9,061,083.73 4,803,918.40 4,803,918.40 3,616,271.47 8,224,889.10 4,423,287.59 4,423,287.59 4,794,099.85
Moutai
Sales Co.,
Ltd.
9. Risks relevant to financial instruments
√Applicable □N/A
The main financial instruments of the Company include other non-current financial assets, cash and
cash equivalents etc. These financial instruments are created mainly for the operating financing of the
Company. The Company has many other financial assets and liabilities, such as accounts receivable,
other receivables, accounts payable and other payables, which are directly produced as a result of
operation.
The major risks caused by the financial instruments of the Company are credit risk, liquidity risk,
exchange rate risk and interest rate risk.
9.1 Credit risk
The financial assets of the Company include cash and cash equivalents, accounts receivable, other
receivables etc. The credit risk in these financial assets originates from breach of the agreement by the
counter party. The maximum risk exposure is equivalent to the carrying amount of these instrument.
No guaranty is required as the Company only trades with the recognized and reputable third parties. The
credit risk is managed by customers in a centralized manner. The Company faces a low credit risk as it
collects accounts in advance during sales.
136 / 156
ANNUAL REPORT 2021
9.2 Liquidity risk
Liquidity risk refers to the risk of shortage of funds when the enterprise performs its obligation of
settlement through delivery of cash or other financial assets.
The policy of the Company is to ensure that it has sufficient cash to repay the debts due. The
subsidiaries shall be responsible for their own cash flow predictions. The finance department of the
Company shall constantly monitor the short-term and long-term funds demands at the group level to
maintain the fund demands according to the summary of the cash flow predictions of the subsidiaries.
9.3 Exchange rate risk
The foreign exchange fluctuation risk faced by the Company is mainly related to the operating activities
of the Company (when the receipts and payments are not settled in a foreign currency other than the
functional currency of the Company) and its net investment in overseas subsidiaries. The foreign
exchange risk sustained by the Company is mainly related to the United States dollars and Euro. The
Company’s major business activities are priced and settled in CNY except for those settled in USD and
EUR.
9.4 Interest rate risk
Interest rate risk refers to the risk of fluctuation in the fair value of the financial instruments or the
future cash flow due to the change in the market interest rate. The risk of fluctuation in the market
interest rate faced by the Company is mainly related to the liabilities with the interest accrued at a
floating interest rate. As at December 31, 2021, the Company has no liabilities with the interest accrued
at a floating interest rate.
10. Disclosure of fair value
10.1 Fair value of assets and liabilities measured at fair value at the end of the period
√Applicable □N/A
10.2 The basis for determining the market price of continuous and non-continuous level 1 fair
value measurement items
√Applicable □N/A
10.3 Qualitative and quantitative information on the valuation techniques used and important
parameters for continuous and non-continuous level 2 fair value measurement items
√Applicable □N/A
10.4 Qualitative and quantitative information on the valuation techniques used and important
parameters for continuous and non-continuous level 3 fair value measurement items
√Applicable □N/A
10.5 Continuous level 3 fair value measurement items, adjustment information between the
opening and closing carrying amount and sensitivity analysis of unobservable parameters
√Applicable □N/A
10.6 Continuous fair value measurement items, if there is a conversion between various levels
during the current period, the reasons for the conversion and the policy for determining the
timing of the conversion
√Applicable □N/A
10.7 Changes in valuation technology during the current period and reasons for the changes
√Applicable □N/A
137 / 156
ANNUAL REPORT 2021
10.8 The fair value of financial assets and financial liabilities not measured at fair value
√Applicable □N/A
11.Related parties and related party transactions
11.1 The Company’s parent company
√Applicable □N/A
Unit: CNY 10,000
Shareholding Proportion of
ratio of voting rights of
Place of Business Registered
Parent company parent parent
registration nature capital
company to company to the
the Company company
China Kweichow Moutai Guiyang, 1,000,000 54.00 54.00
Distillery (Group) Co., Guizhou
Ltd.
11.2 Subsidiaries of the Company
√Applicable □N/A
Please refer to “VIII. Equity in other entities” for the details of the subsidiaries of the Company
11.3 Other related parties
√Applicable □N/A
Relationship with the
Name of other related parties
company
Wholly-owned
Beijing Moutai Trading Co., Ltd. subsidiary of the parent
company
ChangLi Moutai Wine Trade Co., Ltd. Other
Shanghai Moutai Trading Co., Ltd. Other
Guizhou Fuming Packaging Co. Ltd Other
Guizhou Hengdao Forestry and Agriculture Technology Development Co., Other
Ltd.
Guizhou Jiuyuan Property Co., Ltd. Other
Guizhou Kunen Bioengineering Co., Ltd. Other
Kweichow Moutai (group) International Travel Service Co., Ltd. Other
Wholly-owned
Kweichow Moutai (Group) Ecological Agriculture Industry Development
subsidiary of the parent
Co., Ltd.
company
Kweichow Moutaichun Marketing Company Other
Health Industry Co., Ltd. of Kweichow Moutai Group. Other
KWEICHOW MOUTAI WINERY(GROUP)BAIJIN LIQUOR SALES CO., Other
LTD.
Kweichow Moutai Winery(Group)Baijin Liquor Co., Ltd.. Other
Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. Other
Wholly-owned
Kweichow Moutai Winery (Group) Health Wine Co., Ltd. subsidiary of the parent
company
Majority-owned
Kweichow Moutai Distillery Group Changli Winery Co., Ltd. subsidiary of the parent
company
Majority-owned
Kweichow Moutai Distillery (Group) Foreign Investment Cooperation Mana
subsidiary of the parent
gement Co., Ltd.
company
138 / 156
ANNUAL REPORT 2021
Kweichow Moutai Distillery (Group) Guiyang High-tech Real Estate Other
Investment Development Co., Ltd.
Wholly-owned
Kweichow Moutai Distillery (Group) Guiyang Business Co., Ltd. subsidiary of the parent
company
Kweichow Moutai Distillery (Group) Sanya Investment Co., Ltd. Other
Majority-owned
Kweichow Moutai Distillery (Group) Logistics Co., Ltd. subsidiary of the parent
company
Wholly-owned
Guizhou Maotai Distillert(Group) Xijiu Co., Ltd. subsidiary of the parent
company
Wholly-owned
Kweichow Moutai (Group)
subsidiary of the parent
Circular Economy Industrial Investment and Development Co., Ltd.
company
Wholly-owned
Kweichow Moutai Distillery (Group) Real Estate Investment Development
subsidiary of the parent
Co., Ltd.
company
Majority-owned
Kweichow Moutai Distillery (Group) Technology Development Co., Ltd. subsidiary of the parent
company
Guizhou Maotai Ecological Agriculture Sales Co., Ltd. Other
Kweichow Moutai Logistics Park Grain Storage Co., Ltd. Other
Majority-owned
Kweichow Zunyi Moutai Airport Co., Ltd. subsidiary of the parent
company
Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. Other
Guizhou Xijiu Sales Co., Ltd. Other
Gui Zhou New Huaxi Glass Co., Ltd Other
Majority-owned
Moutai & CCB Trust (Guizhou) Investment Fund (Limited Partnership) subsidiary of the parent
company
Majority-owned
Moutai & CCB Trust (Guizhou) Investment Fund Management Co., Ltd. subsidiary of the parent
company
Wholly-owned
Shanghai Kweichow Moutai Industrial Co., Ltd. subsidiary of the parent
company
Shanghai Rencai Printing Affairs Co., Ltd. Other
Tianchao Shangpin Liquor Industry(Guizhou) Co.，Ltd. Other
Wholly-owned
Hotel Management Company Of Moutai Group subsidiary of the parent
company
Kweichow Zunyi Moutai Airport Ecological Park Investment and Other
Development Co., Ltd.
Wholly-owned
China Kweichow Moutai Distillery (Group) Cultural Tourism Co., Ltd. subsidiary of the parent
company
Majority-owned
Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Zhuhai S.E.Z subsidiary of the parent
company
Wholly-owned
Moutai Financial Leasing Co., Ltd subsidiary of the parent
company
Kweichow Moutai Group Marketing Co., Ltd. Wholly-owned
139 / 156
ANNUAL REPORT 2021
subsidiary of the parent
company
Joint stock company of
Huagui Life Insurance Co., Ltd.
the parent company
Joint stock company of
Guiyang GYB Financial Leasing Co., Ltd.
the parent company
Zhongshan Sanrun Printing Consumables Co., Ltd. Other
Bank of Guizhou Co., Ltd. Other
Guizhou Zunpeng Liquor Industry Co., Ltd. Other
Kweichow Moutai Distillery (Group) Guiding Jingqi Glasswork Co., Ltd. Other
Kweichow Moutai Distillery (Group) Lvsheng Organic Fertilizer Co., Ltd. Other
Guizhou Renhuai Renshuai Liquor Industry Co., Ltd. Other
Others
(1) ChangLi Moutai Wine Trade Co., Ltd. is a wholly-owned subsidiary of Kweichow Moutai Distillery
Group Changli Winery Co., Ltd.;
(2) Shanghai Moutai Trading Co., Ltd. is a wholly-owned subsidiary of Shanghai Kweichow Moutai
Industrial Co., Ltd.;
(3) Guizhou Fuming Packaging Co.Ltd is a majority-owned subsidiary of Kweichow Moutai Distillery
(Group) Technology Development Co., Ltd.;
(4) Guizhou Hengdao Forestry and Agriculture Technology Development Co., Ltd. is a majority-owned
subsidiary of Kweichow Moutai (Group) Ecological Agriculture Industry Development Co., Ltd.;
(5) Guizhou Jiu yuan Property Co., Ltd. is a majority-owned subsidiary of China Kweichow Moutai
Distillery (Group) Cultural Tourism Co., Ltd.;
(6) Guizhou Kunen Bioengineering Co., Ltd. is a majority-owned subsidiary of
Kweichow Moutai Distillery (Group) Foreign Investment Cooperation Management Co., Ltd.;
(7) Kweichow Moutai (group) International Travel Service Co., Ltd. is a wholly-owned subsidiary of
China Kweichow Moutai Distillery (Group) Cultural Tourism Co., Ltd.;
(8) Kweichow Moutaichun Marketing Company is a wholly-owned subsidiary of Kweichow Moutai
Distillery (Group) Technology Development Co., Ltd.;
(9) Health Industry Co., Ltd. of Kweichow Moutai Group. is a majority-owned subsidiary of Kweichow
Moutai Winery (Group) Health Wine Co., Ltd.;
(10) KWEICHOW MOUTAI WINERY (GROUP) BAIJIN LIQUOR SALES CO., LTD. is a
wholly-owned subsidiary of Kweichow Moutai Winery(Group)Baijin Liquor Co., Ltd..;
(11) KWEICHOW MOUTAI WINERY (GROUP)BAIJIN LIQUOR CO., LTD. is a majority-owned
subsidiary of Kweichow Moutai Winery (Group) Health Wine Co., Ltd.;
(12) Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. is a wholly-owned subsidiary of
Kweichow Moutai Winery (Group) Health Wine Co., Ltd.;
(13) Kweichow Moutai Distillery (Group) Guiyang High-tech Real Estate Investment Development Co.,
Ltd. is a wholly-owned subsidiary of Kweichow Moutai Distillery (Group) Real Estate Investment
Development Co., Ltd.;
(14) Kweichow Moutai Distillery (Group) Sanya Investment Co., Ltd. is a wholly-owned subsidiary of
Kweichow Moutai Distillery (Group) Real Estate Investment Development Co., Ltd.;
(15) Guizhou Maotai Ecological Agriculture Sales Co., Ltd. is a wholly-owned subsidiary of Kweichow
Moutai (Group) Ecological Agriculture Industry Development Co., Ltd.;
(16) Kweichow Moutai Logistics Park Grain Storage Co., Ltd. is a majority-owned subsidiary of
Kweichow Moutai Distillery (Group) Logistics Co., Ltd.;
(17) Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. is a majority-owned subsidiary of
Kweichow Moutai Distillery (Group) Technology Development Co., Ltd.;
(18) GUIZHOU XIJIU SALES CO., LTD. is a wholly-owned subsidiary of GUIZHOU MAOTAI
DISTILLERT (GROUP) XIJIU CO., LTD.;
(19) GUI ZHOU NEW HUAXI GLASS CO., LTD is a majority-owned subsidiary of Kweichow
Moutai Distillery (Group) Technology Development Co., Ltd.;
(20) Shanghai Rencai Printing Affairs Co., Ltd. is an associate of Kweichow Moutai Distillery (Group)
Technology Development Co., Ltd.;
(21) Tianchao Shangpin Liquor Industry (Guizhou) Co.，Ltd. is a majority-owned subsidiary of
Kweichow Moutai Distillery (Group) Technology Development Co., Ltd.;
140 / 156
ANNUAL REPORT 2021
(22) Kweichow Zunyi Moutai Airport Ecological Park Investment and Development Co., Ltd. is a
wholly-owned subsidiary of Kweichow Zunyi Moutai Airport Co., Ltd.;
(23) Zhongshan Sanrun Printing Consumables Co., Ltd. is a majority-owned subsidiary of
CHINESE-FOREIGN VENTURE DRAGON AND LION CAP CO., LTD ZHUHAI S.E.Z;
(24) Bank of Guizhou Co., Ltd. is an associate of the parent company;
(25) Guizhou Zunpeng Liquor Industry Co., Ltd. is a majority-owned subsidiary of Kweichow Moutai
(Group) Circular Economy Industrial Investment and Development Co., Ltd.;
(26) Kweichow Moutai Distillery (Group) Guiding Jingqi Glasswork Co., Ltd. is a wholly-owned
subsidiary of Kweichow Moutai Distillery (Group) Technology Development Co., Ltd.;
(27) Kweichow Moutai Distillery (Group) Lvsheng Organic Fertilizer Co., Ltd. is a majority-owned
subsidiary of Kweichow Moutai (Group) Circular Economy Industrial Investment and Development Co.,
Ltd.;
(28) Guizhou Renhuai Renshuai Liquor Industry Co., Ltd. is a wholly-owned subsidiary of Kweichow
Moutai Winery (Group) Health Wine Co., Ltd.;
11.4 Related party transaction
A. Related party transactions of purchase and sales of goods, render and accept services
Purchase of goods / accept of services
√Applicable □N/A
Unit: CNY
Related party
Related party Current period Prior period
transaction
China Kweichow Moutai Distillery (Group) Co., Ltd. Right to use the 1,332,728,678.71 1,195,642,243.74
trademark
Kweichow Moutai Distillery (Group) Logistics Co., Ltd. Goods 215,293,693.93 238,165,178.44
transportation
service
Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. Purchase of 242,357,820.96 186,661,814.93
goods
Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Purchase of 186,644,711.14 185,429,878.58
Zhuhai S.E.Z goods
Shanghai Rencai Printing Affairs Co., Ltd. Purchase of 12,490,908.50 159,859,493.05
goods
Kweichow Moutai (Group) Purchase of 150,339,280.00 136,786,770.00
Circular Economy Industrial Investment and Development Co., goods
Ltd.
Kweichow Moutai Logistics Park Grain Storage Co., Ltd. Purchase of 109,617,071.39 111,857,416.69
goods
Guizhou Fuming Packaging Co.Ltd Purchase of 73,963,369.22 57,005,297.86
goods
Gui Zhou New Huaxi Glass Co., Ltd Purchase of 60,580,925.36 54,943,356.56
goods
Guizhou Maotai Ecological Agriculture Sales Co., Ltd. Purchase of 2,576,091.90
goods
Guizhou Maotai Distillert (Group) Xijiu Co., Ltd. Purchase of 2,892,054.00
goods
Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. Purchase of 2,203,000.00
goods
Kweichow Moutai Distillery (Group) Technology Development Purchase of 1,766,767.13
Co., Ltd. goods
China Kweichow Moutai Distillery (Group) Cultural Tourism Purchase of 33,274.34
Co., Ltd. goods
Kweichow Moutai Distillery (Group) Guiyang High-tech Real Purchase of 9,741,492.16
Estate Investment Development Co., Ltd. offices
China Kweichow Moutai Distillery (Group) Co., Ltd. Comprehensive 379,394.43 76,169,819.49
service fee
Huagui Life Insurance Co., Ltd. Purchase of 477,500.00 22,998,000.57
insurances
Kweichow Moutai Distillery (Group) Technology Development Labor cost 201,743,603.42 172,331,684.53
Co., Ltd.
Hotel Management Company Of Moutai Group Labor cost 61,437,621.87 60,660,418.26
141 / 156
ANNUAL REPORT 2021
Kweichow Moutai Logistics Park Grain Storage Co., Ltd. Labor cost 95,320,754.85
Kweichow Moutai (group) International Travel Service Co., Labor cost 24,511,528.39 23,004,681.50
Ltd.
Kweichow Moutai (Group) Labor cost 15,019,725.64
Circular Economy Industrial Investment and Development Co.,
Ltd.
Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. Labor cost 4,091,215.49
Kweichow Moutai Distillery (Group) Logistics Co., Ltd. Labor cost 573,223.59
China Kweichow Moutai Distillery (Group) Cultural Tourism Labor cost 3,360.00
Co., Ltd.
Guizhou Maotai Distillert (Group) Xijiu Co., Ltd. Acceptance of 3,925,458.51 7,800,185.70
water supply
services
Sales of goods / render of services
√Applicable □N/A
Unit: CNY
Related party
Related party Current period Prior period
transaction
Kweichow Moutai Group Marketing Co., Sales of goods 5,193,690,831.85 4,611,179,958.71
Ltd.
Kweichow Zunyi Moutai Airport Co., Ltd. Sales of goods 183,857,776.11
China Kweichow Moutai Distillery (Group) Sales of goods 4,778,230.09 179,759,579.66
Cultural Tourism Co., Ltd.
Beijing Moutai Trading Co., Ltd. Sales of goods 2,729,246.02 174,659,531.86
Shanghai Moutai Trading Co., Ltd. Sales of goods 5,526,159.30 113,817,222.12
Shanghai Kweichow Moutai Industrial Co., Sales of goods 1,309,890.28 107,038,224.75
Ltd.
Hotel Management Company of Moutai Sales of goods 19,511,175.24 19,990,384.98
Group
China Kweichow Moutai Distillery (Group) Sales of goods 7,293,281.43 14,798,007.04
Co., Ltd.
Kweichow Zunyi Moutai Airport Sales of goods 315,142.49 2,843,124.81
Ecological Park Investment and
Development Co., Ltd.
Guizhou Maotai Distillert (Group) Xijiu Sales of goods 3,372,637.17
Co., Ltd.
Kweichow Moutai Winery (Group) Health Sales of goods 1,723,539.82
Wine Co., Ltd.
Kweichow Moutai Distillery (Group) Sales of goods 1,191,902.06
Technology Development Co., Ltd.
Guizhou Maotai Distillert (Group) Xijiu Provision of 2,745,540.73
Co., Ltd. vapor service
Kweichow Moutai Distillery (Group) Labor cost 682,486.89
Technology Development Co., Ltd.
Guizhou Maotai Distillert (Group) Xijiu Labor cost 560,412.74
Co., Ltd.
Kweichow Moutai Distillery (Group) Labor cost 27,771.05
Logistics Co., Ltd.
Guizhou Renhuai Shenren Packaging and Labor cost 14,507.24
Printing Co., Ltd.
Description of related party transactions of purchase and sales of goods, render and accept services
√Applicable □N/A
B. Related entrusted management / contracting and entrusted management / outsourcing
Entrusted management / contracting of the Company
√Applicable □N/A
142 / 156
ANNUAL REPORT 2021
Description of related trusteeship / contract
√Applicable □N/A
Entrusted management / outsourcing of the Company
√Applicable □N/A
Description of related management / outsourcing
√Applicable □N/A
C. Related lease
The Company as the lessor:
√Applicable □N/A
Unit: CNY
Lease income Lease income
Lessee Types of leased assets in the current in the prior
period period
China Kweichow Moutai Distillery Plant and buildings 330,275.22
(Group) Co., Ltd.
Kweichow Moutai Group Marketing Plant and buildings 495,146.47
Co., Ltd.
Guizhou Kunen Bioengineering Co., Plant and buildings, 6,422,018.35
Ltd. machinery and equipment
The Company as the lessee:
√Applicable □N/A
Unit: CNY
Lease Lease
Types of leased expenses in expenses in
Lessor
assets the current the prior
period period
China Kweichow Moutai Distillery (Group) Co., Plant and 21,301,731.00 21,545,894.21
Ltd. buildings
China Kweichow Moutai Distillery (Group) Co., Land use rights 5,422,655.73 4,361,551.06
Ltd.
Kweichow Moutai Distillery (Group) Technology Plant and 11,712,556.79 12,572,144.06
Development Co., Ltd. buildings,
machinery and
equipment
Kweichow Moutai Winery (Group) Health Wine Plant and 3,000,000.00
Sales Co., Ltd. buildings,
machinery and
equipment
Kweichow Moutai Distillery (Group) Guiyang Plant and 1,691,467.44
High-tech Real Estate Investment Development buildings
Co., Ltd.
Kweichow Moutai Distillery (Group) Real Estate Plant and 312,794.29
Investment Development Co., Ltd. buildings
Kweichow Zunyi Moutai Airport Co., Ltd. Plant and 236,674.53 78,891.51
buildings
According to relevant provisions in Accounting Standards for Business Enterprises No. 21 - Leases (Cai
Kuai [2018] No. 35) amended and promulgated the Ministry of Finance in 2018, the Company
presented the accounting treatment of the leasing businesses in the items including right-of-use assets,
lease liabilities and current portion of non-current liabilities as of January 1, 2021 according to the new
leasing standards.
143 / 156
ANNUAL REPORT 2021
Description of related lease
√Applicable □N/A
D. Funds borrowing from related parties
√Applicable □N/A
Unit: CNY
Related party Amount Starting date Expiry date Description
Lending
Guiyang GYB Financial Leasing Co., 200,000,000.00 2021-01-12 2021-04-14
Ltd.
Guiyang GYB Financial Leasing Co., 100,000,000.00 2021-01-26 2021-04-16
Ltd.
Guiyang GYB Financial Leasing Co., 100,000,000.00 2021-02-05 2021-04-27
Ltd.
Guiyang GYB Financial Leasing Co., 100,000,000.00 2021-04-21 2021-07-15
Ltd.
Guiyang GYB Financial Leasing Co., 130,000,000.00 2021-04-30 2021-07-23
Ltd.
Guiyang GYB Financial Leasing Co., 100,000,000.00 2021-04-28 2021-07-23
Ltd.
Guiyang GYB Financial Leasing Co., 70,000,000.00 2021-07-08 2021-10-08
Ltd.
Guiyang GYB Financial Leasing Co., 100,000,000.00 2021-07-15 2021-10-14
Ltd.
Guiyang GYB Financial Leasing Co., 230,000,000.00 2021-07-23 2021-08-23
Ltd.
The funds lent by Kweichow Moutai Group Finance Co., Ltd. a majority-owned company of the
Company, to Guiyang GYB Financial Leasing Co., Ltd. has been due and recovered, and the interest
income recognized in the current period is CNY 11,130,600.
E. Remuneration of key management personnel
□Applicable √N/A
F. Other related party transactions
√Applicable □N/A
a. Kweichow Moutai Group Finance Co., Ltd. a majority-owned company of the Company, has
businesses with its related parties in terms of deposit, loan, discount and letter of guarantee.
“Customer deposits and balances from banks and other financial institutions” mean the deposit balances
and accrued interests of the related parties at Kweichow Moutai Group Finance Co., Ltd.; “Interest
expenses” mean the interests on deposits payable by Kweichow Moutai Group Finance Co., Ltd. to the
related parties; “Interest income” means the interest collected by Kweichow Moutai Group Finance Co.,
Ltd. from the related parties for its provision of the loan transaction; “Loans and advances” mean the
loan balances provided by Kweichow Moutai Group Finance Co., Ltd. to the related parties. (Unit:
CNY)
(1) Customer deposits and balances from banks and other financial institutions
Related party December 31, 2021
Guizhou Xijiu Sales Co., Ltd. 9,734,392,686.40
China Kweichow Moutai Distillery (Group) Co., Ltd. 2,495,925,365.33
Kweichow Moutai Group Marketing Co., Ltd. 4,125,683,019.60
Kweichow Moutaichun Marketing Company 611,840,193.66
Kweichow Moutai Distillery (Group) Technology Development Co., Ltd. 1,717,927,696.48
Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. 703,943,274.58
Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. 210,256,768.22
144 / 156
ANNUAL REPORT 2021
China Kweichow Moutai Distillery (Group) Cultural Tourism Co., Ltd. 218,557,849.69
ChangLi Moutai Wine Trade Co., Ltd. 285,759,553.99
Kweichow Moutai Distillery (Group) Logistics Co., Ltd. 53,805,881.56
Beijing Moutai Trading Co., Ltd. 32,451,635.50
Shanghai Moutai Trading Co., Ltd. 46,676,247.54
KWEICHOW MOUTAI WINERY(GROUP)BAIJIN LIQUOR SALES CO.,
63,730,740.85
LTD.
Guizhou Maotai Ecological Agriculture Sales Co., Ltd. 36,003,808.59
Kweichow Moutai (Group)
129,905,237.28
Circular Economy Industrial Investment and Development Co., Ltd.
Shanghai Kweichow Moutai Industrial Co., Ltd. 15,967,961.65
Guizhou Zunpeng Liquor Industry Co., Ltd. 118,316,553.92
Health Industry Co., Ltd. of Kweichow Moutai Group. 39,369,350.32
Kweichow Moutai Distillery (Group) Real Estate Investment Development Co.,
18,266,371.84
Ltd.
Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 16,156,106.85
Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Zhuhai S.E.Z 59,468,124.71
Guizhou Fuming Packaging Co., Ltd 11,770,678.41
Guizhou Jiuyuan Property Co., Ltd. 28,325,260.27
Gui Zhou New Huaxi Glass Co., Ltd 679,580.38
Tianchao Shangpin Liquor Industry(Guizhou) Co.，Ltd. 14,880,578.48
Guizhou Maotai Distillert (Group) Xijiu Co., Ltd. 573,990,484.69
Kweichow Moutai Distillery Group Changli Winery Co., Ltd. 9,477,982.97
Kweichow Moutai (group) International Travel Service Co., Ltd. 25,842,341.72
Kweichow Moutai Winery(Group)Baijin Liquor Co., Ltd.. 48,855,234.24
Kweichow Moutai (Group) Ecological Agriculture Industry Development Co.,
2,110,181.09
Ltd.
Hotel Management Company Of Moutai Group 36,722,376.06
Kweichow Moutai Distillery (Group) Sanya Investment Co., Ltd. 17,310,976.60
Kweichow Zunyi Moutai Airport Co., Ltd. 62,588,751.47
Kweichow Moutai Distillery (Group) Guiyang Business Co., Ltd. 1,947,197.79
Kweichow Zunyi Moutai Airport Ecological Park Investment and Development
3,502.12
Co., Ltd.
Kweichow Moutai Winery (Group) Health Wine Co., Ltd. 111,809,289.12
Moutai & CCB Trust (Guizhou) Investment Fund Management Co., Ltd. 4,018.30
Moutai Financial Leasing Co., Ltd 5,268.68
Moutai & CCB Trust (Guizhou) Investment Fund (Limited Partnership) 843.33
Kweichow Moutai Distillery (Group) Guiyang High-tech Real Estate
621,579.71
Investment Development Co., Ltd.
Guizhou Hengdao Forestry and Agriculture Technology Development Co., Ltd. 27.87
Kweichow Moutai Distillery (Group) Guiding Jingqi Glasswork Co., Ltd. 52,942,266.44
Guizhou Renhuai Renshuai Liquor Industry Co., Ltd. 29,103,604.91
Kweichow Moutai Distillery (Group) Lvsheng Organic Fertilizer Co., Ltd. 179,194.11
Total 21,763,575,647.32
(2) Interest expenses
Current reporting
Related party
period
Guizhou Xijiu Sales Co., Ltd. 108,362,072.05
Kweichow Moutai Group Marketing Co., Ltd. 16,906,786.89
145 / 156
ANNUAL REPORT 2021
Kweichow Moutai Distillery (Group) Technology Development Co., Ltd. 11,545,138.89
Kweichow Moutaichun Marketing Company 7,160,221.58
China Kweichow Moutai Distillery (Group) Co., Ltd. 12,838,051.86
Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. 2,552,541.62
China Kweichow Moutai Distillery (Group) Cultural Tourism Co., Ltd. 1,877,899.92
ChangLi Moutai Wine Trade Co., Ltd. 2,182,551.69
KWEICHOW MOUTAI WINERY(GROUP)BAIJIN LIQUOR SALES CO.,
1,263,300.22
LTD.
Kweichow Moutai Distillery (Group) Logistics Co., Ltd. 844,471.54
Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. 1,705,436.82
Health Industry Co., Ltd. of Kweichow Moutai Group. 573,169.61
Tianchao Shangpin Liquor Industry(Guizhou) Co.，Ltd. 301,127.23
Guizhou Jiuyuan Property Co., Ltd. 407,973.76
Guizhou Maotai Distillert (Group) Xijiu Co., Ltd. 456,797.84
Guizhou Maotai Ecological Agriculture Sales Co., Ltd. 428,074.23
Beijing Moutai Trading Co., Ltd. 246,525.46
Kweichow Moutai Distillery (Group) Real Estate Investment Development Co.,
192,542.66
Ltd.
Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Zhuhai S.E.Z 163,293.69
Shanghai Moutai Trading Co., Ltd. 198,600.17
Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 114,917.05
Kweichow Moutai (Group)
647,329.13
Circular Economy Industrial Investment and Development Co., Ltd.
Kweichow Moutai Winery (Group) Health Wine Co., Ltd. 586,454.62
Shanghai Kweichow Moutai Industrial Co., Ltd. 103,632.88
Guizhou Zunpeng Liquor Industry Co., Ltd. 473,901.96
Gui Zhou New Huaxi Glass Co., Ltd 73,550.70
Kweichow Moutai Winery(Group)Baijin Liquor Co., Ltd.. 73,294.29
Guizhou Fuming Packaging Co., Ltd 93,938.83
Hotel Management Company Of Moutai Group 70,097.95
Kweichow Moutai (group) International Travel Service Co., Ltd. 56,743.61
Kweichow Zunyi Moutai Airport Co., Ltd. 301,102.66
Kweichow Moutai Distillery (Group) Guiding Jingqi Glasswork Co., Ltd. 213,054.05
Zhongshan Sanrun Printing Consumables Co., Ltd. 39,956.08
Kweichow Moutai Distillery (Group) Sanya Investment Co., Ltd. 44,495.77
Kweichow Moutai Distillery (Group) Foreign Investment Cooperation Manage
42,584.06
ment Co., Ltd.
Kweichow Moutai (Group) Ecological Agriculture Industry Development Co.,
35,478.66
Ltd.
Kweichow Moutai Distillery Group Changli Winery Co., Ltd. 49,318.35
Kweichow Zunyi Moutai Airport Ecological Park Investment and Development
16,991.11
Co., Ltd.
Kweichow Moutai Distillery (Group) Guiyang Business Co., Ltd. 27,712.60
Moutai & CCB Trust (Guizhou) Investment Fund Management Co., Ltd. 145.76
Kweichow Moutai Distillery (Group) Guiyang High-tech Real Estate
621,600.89
Investment Development Co., Ltd.
Moutai Financial Leasing Co., Ltd 18.55
Guizhou Hengdao Forestry and Agriculture Technology Development Co., Ltd. 7.02
Moutai & CCB Trust (Guizhou) Investment Fund (Limited Partnership) 2.99
Guizhou Renhuai Renshuai Liquor Industry Co., Ltd. 4,220.74
146 / 156
ANNUAL REPORT 2021
Kweichow Moutai Distillery (Group) Lvsheng Organic Fertilizer Co., Ltd. 69.92
Total 173,897,197.96
(3) Loans and advances
Item Related party December 31, 2021
Kweichow Moutai Logistics Park Grain
Mortgage loan 10,000,000.00
Storage Co., Ltd.
China Kweichow Moutai Distillery
Credit loan 3,500,000,000.00
(Group) Co., Ltd.
Total 3,510,000,000.00
Less: Provision for
87,750,000.00
impairment of loans
Carrying amount of loans
3,422,250,000.00
and advances
(4) Interest income
Current
Item Related party reporting
period
Loan interest income Chinese-Foreign Venture Dragon And Lion Cap
89,150.94
Co., Ltd Zhuhai S.E.Z
Loan interest income Kweichow Moutai Logistics Park Grain Storage
647,083.70
Co., Ltd.
Loan interest income China Kweichow Moutai Distillery (Group) Co.,
109,865,697.45
Ltd.
Total 110,601,932.09
(5) Entrusted loan
Principal Borrower December 31, 2021
Kweichow Moutai (Group) Guizhou Hengdao Forestry and
Ecological Agriculture Industry Agriculture Technology 9,955,184.18
Development Co., Ltd. Development Co., Ltd.
(6) Kweichow Moutai Group Finance Co., Ltd. a majority-owned company of the Company, has
purchased the bonds issued by Guiyang GYB Financial Leasing Co., Ltd. from the open market at a cost
of CNY 20 million. The interest income confirmed in the current period is CNY 857.90 thousand. As at
the end of the period, the balance of the provision for impairment of this bond investment is CNY 11.3
thousand. The balance of the accrued interest is CNY 153.2 thousand. The carrying amount is CNY
20,141.80 thousand.
b.The deposit balance of the Company in Bank of Guizhou at the end of the period is CNY
23,810,899,200 (including a large-amount deposit of CNY 2 billion). The interest income of the current
period is CNY 445,237,300. The investment income is CNY 59,761,300 Kweichow Moutai Group
Finance Co., Ltd., a majority-owned company of the Company, has purchased the bonds issued by Bank
of Guizhou Co., Ltd. from the open market at a cost of CNY 100 million. The interest income
confirmed in the current period is CNY 179.6 thousand. As at the end of the period, the balance of the
provision for impairment of this bond investment is CNY 56.7 thousand. The balance of the accrued
interest is CNY 179.6 thousand. The carrying amount is CNY 100,122,900.
11.5 Receivables and payables of related parties
A. Receivables
√Applicable □N/A
Unit: CNY
147 / 156
ANNUAL REPORT 2021
Closing balance Opening balance
Item Related party book Bad debt book
Bad debts
balance provision balance
Kweichow Moutai 100,000.00
Distillery (Group) Guiyang
Other
High-tech Real Estate
receivables
Investment Development
Co., Ltd.
Other receivables of Kweichow Moutai Distillery (Group) Guiyang High-tech Real Estate Investment
Development Co., Ltd. are the leasing security deposits to be paid by GUIZHOU MOUTAI CHIEW
IMPORT AND EXPORT CO., LTD., a majority-owned company of the Company.
B. Payables
√Applicable □N/A
Unit: CNY
Item Related party Book balance at Book balance at
the end of the the beginning of
reporting period the reporting
period
Other China Kweichow Moutai Distillery (Group) Co., Ltd. 806,014,062.86 442,335,049.85
payables
Other Kweichow Moutai Distillery (Group) Technology Development 47,171,388.10 52,219,850.77
payables Co., Ltd.
Other Kweichow Moutai Distillery (Group) Logistics Co., Ltd. 70,400,854.08 89,833,895.59
payables
Other Kweichow Moutai Winery (Group) Health Wine Sales Co., Ltd. 7,091,215.49
payables
Other Hotel Management Company Of Moutai Group 4,510,977.34 1,066,037.73
payables
Other Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 1,609,349.28 1,309,349.28
payables
Other Shanghai Rencai Printing Affairs Co., Ltd. 1,395,000.00 1,400,000.00
payables
Other Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. 949,643.50 1,015,643.50
payables
Other Guizhou Fuming Packaging Co.Ltd 890,000.00 1,000,000.00
payables
Other Gui Zhou New Huaxi Glass Co., Ltd 888,000.00 1,000,000.00
payables
Other Chinese-Foreign Venture Dragon And Lion Cap Co., Ltd Zhuhai 965,000.00 1,000,000.00
payables S.E.Z
Other Beijing Moutai Trading Co., Ltd. 700,000.00 700,000.00
payables
Other Kweichow Moutai Winery (Group) Health Wine Co., Ltd. 591,695.00 591,695.00
payables
Other Guizhou Maotai Distillert (Group) Xijiu Co., Ltd. 504,376.93 5,148,504.89
payables
Other Kweichow Moutai Group Marketing Co., Ltd. 260,000.00 260,000.00
payables
Other China Kweichow Moutai Distillery (Group) Cultural Tourism Co., 110,000.00 310,000.00
payables Ltd.
Kweichow Moutai (Group) 158,992.00 100,000.00
Other
Circular Economy Industrial Investment and Development Co.,
payables
Ltd.
Other Shanghai Kweichow Moutai Industrial Co., Ltd. 100,000.00 500,000.00
payables
Other Shanghai Moutai Trading Co., Ltd. 100,000.00 500,000.00
payables
Other Kweichow Zunyi Moutai Airport Ecological Park Investment and 50,000.00
payables Development Co., Ltd.
Other Kweichow Moutai (group) International Travel Service Co., 212,350.00 20,650,151.00
payables Ltd.
Other Kweichow Moutai Winery(Group)Baijin Liquor Co., Ltd.. 300,000.00
148 / 156
ANNUAL REPORT 2021
payables
Other Kweichow Zunyi Moutai Airport Co., Ltd. 7,722,900.00
payables
Other Kweichow Moutai (Group) Ecological Agriculture Industry 23,777.50 36,163.61
payables Development Co., Ltd.
Other ChangLi Moutai Wine Trade Co., Ltd. 14,696.65
payables
Contractual Kweichow Moutai Group Marketing Co., Ltd. 79,358,066.37 40,691,971.68
liabilities
Contractual Kweichow Zunyi Moutai Airport Co., Ltd. 8,046.90 3,737,549.64
liabilities
Contractual Beijing Moutai Trading Co., Ltd. 221,238.94 221,238.94
liabilities
Contractual Shanghai Kweichow Moutai Industrial Co., Ltd. 41,444.25
liabilities
Contractual Kweichow Zunyi Moutai Airport Ecological Park Investment and 38,221.24 31,849.00
liabilities Development Co., Ltd.
Contractual China Kweichow Moutai Distillery (Group) Cultural Tourism Co., 2,978.76 4,778,230.09
liabilities Ltd.
Leasing China Kweichow Moutai Distillery (Group) Co., Ltd. 245,892,878.88
liabilities
Leasing Kweichow Moutai Distillery (Group) Guiyang High-tech Real 7,212,098.95
liabilities Estate Investment Development Co., Ltd.
Leasing Kweichow Moutai Distillery (Group) Technology Development 33,308,809.87
liabilities Co., Ltd.
Accounts Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 58,396,226.41
payable
Kweichow Moutai (Group) 15,019,725.64
Accounts
Circular Economy Industrial Investment and Development Co.,
payable
Ltd.
Accounts Hotel Management Company Of Moutai Group 4,840,909.43 4,195,383.02
payable
Accounts Guizhou Renhuai Shenren Packaging and Printing Co., Ltd. 16,181,715.39
payable
Accounts Kweichow Moutai Distillery (Group) Logistics Co., Ltd. 43,448,338.14 23,816,979.96
payable
Accounts Kweichow Moutai Distillery (Group) Technology Development 14,855,345.00 1,241,299.13
payable Co., Ltd.
Accounts Kweichow Moutai Group Marketing Co., Ltd. 2,217.00
payable
Accounts Shanghai Rencai Printing Affairs Co., Ltd. 14,502,744.53
payable
Accounts Kweichow Moutai Logistics Park Grain Storage Co., Ltd. 6,399,547.32
payable
Note: Absorption of deposits from and issuance of loans and advances to related parties by Kweichow
Moutai Group Finance Co., Ltd. a majority-owned subsidiary of the Company
It has been disclosed in “(6) Other related party transactions, 4. Related party transaction, XI. Related
parties and related party transactions, Section X Financial Statements”.
11.6 Commitment of related parties
□ Applicable √ N/A
12. Subsequent events
12.1 Important non-adjustment events
□ Applicable √ N/A
12.2 Profit distribution
√Applicable □N/A
Unit: CNY
Profit or dividend to be distributed 27,228,087,315.00
149 / 156
ANNUAL REPORT 2021
12.3 Sales return
Applicable√ N/A
12.4 Notes to other subsequent events after the balance sheet date
Applicable√ N/A
13. Notes to major account of the Company’s financial statements
13.1 Accounts receivable
A. Disclosure by aging
√Applicable □N/A
Unit: CNY
Aging Closing book balance
Within 1 year 1,480,080,983.77
Subtotal for within 1 year 1,480,080,983.77
1-2 years
2-3 years
3-4 years
4-5 years
More than 5 years
Total 1,480,080,983.77
B. Disclosed by bad debt provision methods
√Applicable □N/A
Unit: CNY
Closing balance Opening balance
Bad debt Bad debt
Category book balance book balance
provision Carrying provision Carrying
Proportion Amo Proporti amount Proportion Amo Proport amount
Amount Amount
(%) unt on (%) (%) unt ion (%)
Bad debt
provision
assessed
individually
Bad debt 1,480,08 100 1,480,080,9 9,203,780 100 9,203,780,
provision 0,983.77 83.77 ,107.14 107.14
assessed by
groups
Including:
Combination 1,480,08 100 1,480,080,9 9,203,780 100 9,203,780,
of related 0,983.77 83.77 ,107.14 107.14
parties within
the scope of
consolidation
1,480,08 / / 1,480,080,9 9,203,780 / / 9,203,780,
Total
0,983.77 83.77 ,107.14 107.14
Bad debt provision assessed by groups:
Applicable√ N/A
C. Top five accounts receivable based on debtors
√Applicable □N/A
Unit: CNY
150 / 156
ANNUAL REPORT 2021
Proportion to
Closing
total closing
balance of
Entity Closing balance balance of
bad debt
accounts
provision
receivable (%)
Kweichow Moutai Sales Co., Ltd. 881,539,635.14 59.56
Kweichow Moutai-Flavor Liquor 583,588,956.00 39.43
Marketing Co., Ltd.
GUIZHOU MOUTAI CHIEW 14,952,392.63 1.01
IMPORT AND EXPORT CO., LTD.
Total 1,480,080,983.77 100.00
13.2 Other receivables
Presentation of items
√Applicable □N/A
Unit: CNY
Item Closing balance Opening balance
Interest receivable
Dividends receivable
Other receivables 9,210,501.43 42,323,669.01
Total 9,210,501.43 42,323,669.01
Other receivables
A. Disclosure by aging
√Applicable □N/A
Unit: CNY
Aging Book balance at the end of the reporting period
Within 1 year 8,853,850.09
Subtotal for within 1 year 8,853,850.09
1-2 years 420,700.00
2-3 years 7,313.00
3-4 years
4-5 years 37,951.22
More than 5 years 5,100,000.00
Total 14,419,814.31
B. Details of classification by nature
√Applicable □N/A
Unit: CNY
Book balance at the end of the Book balance at the beginning of
Nature
reporting period the reporting period
Petty cash 2,840,284.11 4,966,015.96
Current Account 11,579,530.20 42,481,117.46
Total 14,419,814.31 47,447,133.42
C. Details of bad debt provision
√Applicable □N/A
Unit: CNY
Stage I Stage II Stage III
Bad debt provision Lifetime ECL (not Lifetime ECL Total
12month ECL
impaired) (impaired)
151 / 156
ANNUAL REPORT 2021
As at January 1, 2021 8,981.39 5,114,483.02 5,123,464.41
Balance at 1 January 2021 in
the current period
-- Transfer to stage II
-- Transfer to stage III
-- Reverse to stage II
-- Reverse to stage II
Provision 81,250.63 13,662.43 94,913.06
Reversal 9,064.59 9,064.59
Elimination
Write-off
Other changes
As at December 31, 2021 81,167.43 5,128,145.45 5,209,312.88
Explanations on significant changes in the book balance of other receivables where there are changes in
provision for the current period:
Applicable√ N/A
D. Details of bad debt provision
√Applicable □N/A
Unit: CNY
Changes in the current period
Opening Closing
Category Recovery Elimination Other
balance Provision balance
or reversal or write-off changes
Bad debt 5,123,464.41 94,913.06 9,064.59 5,209,312.88
provision
assessed by
aging
Total 5,123,464.41 94,913.06 9,064.59 5,209,312.88
Significant recovery or reversal of bad debt provision for the current period:
Applicable√ N/A
E. Top five other receivables based on debtors
√Applicable □N/A
Unit: CNY
Proportion
to the total
Bad debt
closing
Closing provision
Entity Nature Aging balance of
balance Closing
other
balance
receivables
(%)
GUIZHOU MOUTAI CHIEW Current 1,858,505.80 Within 1 12.89
IMPORT AND EXPORT CO., Account year
LTD.
Guizhou Kailin Xifeng Current 1,000,000.00 Within 1 6.93 52,000.00
Synthetic Ammonia Co., Ltd. Account year
Kweichow Moutai-Flavor Current 496,619.90 Within 1 3.44
Liquor Marketing Co., Ltd. Account year
Mu Jun Petty cash 420,700.00 1-2 years 2.92
Luo Nanbo Petty 313,334.50 Within 1 2.17
cash year
Total / 4,089,160.20 28.35 52,000.00
/
Note:
a. The receivables of GUIZHOU MOUTAI CHIEW IMPORT AND EXPORT CO., LTD. are the social
insurance advances.
152 / 156
ANNUAL REPORT 2021
b. The receivables of Guizhou Kailin Xifeng Synthetic Ammonia Co., Ltd. are the security deposits paid
to the supplier.
c. The receivables of Kweichow Moutai-Flavor Liquor Marketing Co., Ltd. are enterprise annuity
advances.
d. Mu Jun is an employee of the Company, and the accounts are the borrowings for handling the land
ownership business.
e. Luo Nanbo is an employee of the Company, and the accounts are the borrowings for handling the
litigation and anti-counterfeit businesses.
13.3 Long-term equity investments
√Applicable □N/A
Unit: CNY
Closing balance Opening balance
Item Carrying Carrying
book balance Provision book balance Provision
amount amount
Investment in 1,624,535,587.55 1,624,535,587.55 1,624,535,587.55 1,624,535,587.55
subsidiaries
Total 1,624,535,587.55 1,624,535,587.55 1,624,535,587.55 1,624,535,587.55
A. Investment in subsidiaries
√Applicable □N/A
Unit: CNY
Provision
Closing
Increase Decrease for
balance of
in the in the impairment
Investee Opening balance Closing balance provisions
current current in the
for
period period current
impairment
period
Kweichow 9,500,000.00 9,500,000.00
Moutai Sales
Co., Ltd.
GUIZHOU 5,600,000.00 5,600,000.00
MOUTAI
CHIEW
IMPORT AND
EXPORT CO.,
LTD.
Kweichow 1,275,000,000.00 1,275,000,000.00
Moutai Group
Finance Co.,
Ltd.
Moutai Custom 14,000,000.00 14,000,000.00
Marketing
(Guizhou) Co.,
Ltd.
Beijing 22,507,157.75 22,507,157.75
Friendship
Messenger
Trading Co.,
Ltd.
Kweichow 80,728,429.80 80,728,429.80
153 / 156
ANNUAL REPORT 2021
Moutai Paris
Trading
Guizhou 17,200,000.00 17,200,000.00
Laymau Wine
Industry Co.,
Ltd.
Kweichow 200,000,000.00 200,000,000.00
Moutai-Flavor
Liquor
Marketing Co.,
Ltd.
Total 1,624,535,587.55 1,624,535,587.55
13.4 Operating proceeds and costs of sales
A. Operating proceeds and costs of sales
√Applicable □N/A
Unit: CNY
Current period Prior period
Item
Revenue Cost Revenue Cost
Main business 37,237,062,420.65 8,898,857,511.93 27,387,426,280.99 7,696,025,939.31
Others 107,836,543.52 93,055,316.44 87,166,157.65 74,796,511.69
Total 37,344,898,964.17 8,991,912,828.37 27,474,592,438.64 7,770,822,451.00
Note: Other operating proceeds and costs are mainly the perating proceeds and costs of Moutai
International Hotel.
B. Description of performance obligation
√Applicable □N/A
The revenue is confirmed when the customer acquires the control of the goods agreed in the contract
and the Company fulfills the contract performance obligation.
C. Description of allocation to the remaining performance obligations
√Applicable □N/A
The revenue of the performance obligations which have been contracted but not fulfilled or not
completely fulfilled in the current reporting period is CNY 142,568.14.
13.5 Investment income
√Applicable □N/A
Unit: CNY
Item Current period Prior period
Income from long-term equity 44,741,153,786.43 34,474,910,979.52
investments under cost method
Income from long-term equity
investments under equity method
Investment income on disposal of
long-term equity investments
Investment income from holding
held-for-trading financial assets
Dividend income from holding
investments in other equity instruments
Interest income from holding debt
investments
Interest income from holding other debt
investments
Investment income from disposal of
154 / 156
ANNUAL REPORT 2021
held-for-trading financial assets
Investment income from disposal of
investments in other equity instruments
Investment income from disposal of
debt investments
Investment income from disposal of
other debt investments
Income from debt reconstruction
Investment income from disposal of -1,505,395.94 68,175.91
other debt investments
Interest income from holding 59,761,333.33
large-amount deposits
Total 44,799,409,723.82 34,474,979,155.43
14. Supplementary information
14.1 Details of current non-recurring profit and loss
√Applicable □N/A
Unit: CNY
Item Amount Description
Gains and losses on disposal of non-current assets -11,920,829.77
Government grant included in the current profit and loss 4,616,000.00
(except for the government grant which are closely related
to the business of the company and are in accordance with
the national unified standard quota)
Profits and losses arising from contingencies unrelated to
the normal operation of the company
In addition to the effective hedging business related to the -3,750,122.23
company’s normal business operations, the profit and loss
of fair value changes arising from the holding of trading
financial assets, derivative financial assets, trading
financial liabilities, derivative financial liabilities, and
investment income obtained from the disposal of trading
financial assets, derivative financial assets, trading
financial liabilities, derivative financial liabilities and
other debt investment
Other non-operating income and expenses except the -210,928,052.99
above items
Other profit and loss items conforming to the definition of 61,031,069.26
non-recurring profit and loss
Less: The impact of income tax -40,237,983.93
The impact on non-controlling interests 244,326.28
Total -120,958,278.08
The reasons shall be explained for the non-recurring profit and loss items defined by the company
according to the definition of “explanatory Announcement No. 1 of information disclosure of
companies offering securities to the public - non recurring profit and loss” and the items of
non-recurring profit and loss listed in the explanatory announcement of information disclosure of
companies offering securities to the public No. 1 - non recurring profit and loss as recurring profit and
loss items.
Applicable√ N/A
14.2 Return on net assets and earnings per share
√Applicable □N/A
Profit in the reporting period Weighted Earnings per share
155 / 156
ANNUAL REPORT 2021
Average return Basic earnings Diluted earnings
on net assets (%) per share per share
Net profit attributable to ordinary 29.90 41.76 41.76
shareholders of the company
Net profit attributable to ordinary 29.97 41.86 41.86
shareholders of the company after
deducting non-recurring profit and loss
14.3 Differences of accounting data under domestic and foreign accounting standards
Applicable√ N/A
Chairman: Ding Xiongjun
Date of approval and submission by the Board: March 29, 2022
Amendment
Applicable√ N/A
156 / 156
